Israel – Since acquiring 51% of the Israeli franchise of infant food company Materna from Maabarot for NIS 259 million in December 2009, Osem sharply raised prices, an examination by “Globes” has found on the basis of retail figures. Materna had not raised prices for most of its products in the two years preceding the acquisition.
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Osem has also hiked prices for other Materna products since acquiring the company: the price for the Gam ve-Gam porridge has been raised by 12.5%, semolina porridge was raised by 7.1%, and the 700-gram Materna Stage 1 Mehadrin formula was raised by 12.4%. The semolina porridge (excluding VAT) costs 16.5% more than the retail price in the US of NIS 10.20.
“They’re exploiting the brand, exploiting their exclusivity,” Rami Levi Chain Stores Hashikma Marketing CEO Rami Levi told “Globes”, referring to Similac. “They know that mothers have no choice; they’re prisoners of the product until their babies grow. I once put one of the products at the main check-out counter, rather than on the shelf. I wanted to lower the price, but there were a lot of complaints from customers. It isn’t like ketchup, which you can do without. I’ve been losing money on Materna for 30 years. I have nothing against Osem, but they’re exploiting the brand.”
That’s garbage. Not every mother can naturally provide for their children. Also, not everyone has a lot of extra cash for essentials. It’s not like formula is a luxury that people might be willing to fork out a lot for. It is something some babies need.
Chas VeShalom a family that has always held Cholov Yisroel drops to OU-D for their baby.
“Mothers who don’t nurse their babies are lazy” – Rav Avigdor Miller
Michoel Dovid,
It is your right to rely on R’ Moshe’s chiddush of chalav ha’companies. There are many poskim that do not hold of this chiddush and consider such milk 100% treif. You can’t tell these people to rely on ou-d because you do. Also, this article was talking about E”Y. ou-d doesn’t work there.