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This is the cover image for the Manufacturers' Bids for Infant Formula Rebate Contracts, 2013–23 report.

Manufacturers' Bids for Infant Formula Rebate Contracts, 2013–23

  • ERR-349

Overview

This study summarizes trends in infant formula rebate contracts and examines how factors, such as declining shares of infants born in the United States participating in the Special Supplemental Program for Women, Infants, and Children (WIC), contribute to these trends. For contracts in effect in March 2023, WIC State agencies, on average, received rebates that exceeded manufacturers’ wholesale prices for their formula. This resulted in greater savings to WIC compared with previous contracts. Manufacturers’ net wholesale price bids are positively correlated with the share of infants participating in WIC. On average, when the share of infants in a State participating in WIC decreases, net wholesale price bids decrease.

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