Inside the warehouses hiding Australia's booming baby formula black market
A factory tucked away in an industrial estate has its roller doors up - but this is a closed shop, part of a booming but legal "grey market" trade in baby formula.
Inside, Seven News discovered pallets, bags and shopping trolleys full of Aptamil infant milk powder which had been stripped from supermarket shelves, ready to be sent to China.
"There are lots of companies that want to ship their parcels overseas, we just leave the formula here and it's going there," the factory manager told Seven News.
The rise of professional Chinese shoppers - or daigou's, as they are known - is putting pressure on supermarket supplies.
For mothers like Jodie, it means their children are missing out.
"I've driven around for about an hour, just trying to find the same brand formula," she said.
Supermarket giants Coles and Woolworths have a four-tin limit per purchase, but no policy is in place to stop shoppers returning again and again.
When asked if separate shoppers came in to collect the baby formula each morning the factory manager said, "no, my English is not good".
A similar operation is run at another warehouse across town.
Seven News filmed shoppers buying in bulk in various grocery stores across Sydney.
Consumer watchdog the ACCC said the shoppers are not breaking any laws and there are some in government who support the buying frenzy.
'Desperate' mum's plea after catching baby formula hoarders emptying shelves
‘This happens every morning’: Mum films group's 'daily' scramble to strip Coles of baby formula
"Demand is a key indicator of where our economy should be going," Liberal MP Peter Phelps said.
"If there is demand for this product then people will hopefully be investing in them, so in that regard Chinese interest in our agricultural products should be encouraged, it should be supported."
