Let Chinese Infants Drink American Milk

The American government has started a new program to provide low-income families with powdered milk. In the event of a problem, the government could financially compensate in the millions for a single infant. Taken together, this could result in an astronomical figure for the government to pay.

On March 1, 2013, the Hong Kong government started to limit the purchase of milk powder to guarantee its availability to local mothers. Persons 16 and older are limited to leaving the region with no more than 1.8 kilograms (two American-made 32-ounce cans) of milk powder. This news caused a strong reaction on the mainland Chinese Internet. Aside from extreme criticism of Hong Kongers, opinions were mostly of two perspectives. One was that this action constitutes meddling with the market by the Hong Kong government, and that it tarnishes Hong Kong’s reputation as a free-market region. Another perspective was offered at the People’s Daily newspaper by the government via its official microblog, expressing the matter in terms of shortcomings on behalf of the mainland’s relevant administrative departments: “The background to this event is a crisis of confidence in domestic milk powder producers. Re-establishing confidence requires a more rigid system, stricter law enforcement, stronger supervision and more severe punishment for transgressions. Can a country with the second highest GDP in the world manage its own safety? Look forward to the imminent National People’s Congress and Chinese People’s Political Consultative Congress joint session — an answer is sure to emerge.”

However, both the general economics and specific investigative practices needed appear to be a bit distant. The top priority is to ensure that infants who are accustomed to consuming imported milk powder continue to have access to it. Don’t blame tiny Hong Kong or New Zealand and Australia, whose supply of good milk is unable to support the panicked over-consumption of Chinese tourists. If one considers the whole world, only America has the capacity to supply China with the milk it needs. America has plenty of quality milk powder. Losing weight has become popular in America, so the rate of milk consumption has been decreasing there year after year. Back in the days when my brother was a student in America, he found that his white classmates would drink milk like water. Nowadays, they only drink mineral water. As a result, the increasingly anxious dairy industry has started purchasing television advertising for the first time, to encourage milk consumption.

Furthermore, China wouldn’t shock the U.S. dairy market by participating in it. The American government gives milk to low-income households for free. In reality, many households find breastfeeding to be sufficient, perhaps because they prefer to save cash. All Chinese tourists need to do is find low-income Americans who are willing to sell their free milk for a reasonable price — it should be more convenient than acquiring it in China. American companies have already taken this milk into account and, due to America’s sheer size, one should expect the milk available in this fashion to be more plentiful than the amount Hong Kong is allowing to be exported.

The American government has a program called the Special Supplemental Nutrition Program for Women, Infants, and Children (WIC.) A similar pilot program was started during the 1960s civil rights movement, and in 1972 Congress passed a bill formally implementing the program. The program has already been active for over 40 years. In accordance with the plan, the federal government allocates funds to state governments, who in turn issue WIC vouchers to low-income families with children. Printed on the vouchers is a list of items for which they can be redeemed. The list includes milk powder, because newborn children need it. Also printed on every voucher is its monetary exchange value and expiration date. The vouchers issued for infants are redeemable for one month’s supply of milk powder. This welfare program isn’t just for citizens’ households to enjoy, either. Foreign graduate students with scholarships that require them to teach for 20 hours a week receive $1,000 dollars per month living stipend. Also, if they have a family of three with an income that falls below $35,000 per year, they can also apply for WIC vouchers. Aside from the free milk powder, mothers can also purchase milk, eggs and meat with their government allowance.

WIC seems to be a good program for looking after low-income families, but Americans are eternally chattering with one another, having a thousand opinions on every topic — WIC being one of them. As the government offers the milk powder, and compensation to families with infants who encounter a problem as a result of the program could be in the millions of dollars, the government could be made to pay out an astronomical sum of money. To make government oversight more convenient, the WIC vouchers only deal with the three largest producers. The program covers 53 percent of infants in America, which is equivalent to saying that those three companies are guaranteed to possess half the market share. Other firms are, of course, unhappy with the situation, and criticize the WIC as encouraging monopoly.

Additionally, public figures for medicine and women’s affairs in America encourage breastfeeding as being good for developing infants’ antibodies and immune systems. They criticize the WIC for discouraging breastfeeding and being responsible for low-income black mothers having the lowest rate of breastfeeding amongst the demographics. They observe that this discrepancy in child-rearing is an injustice in American society.

So, WIC vouchers put more cash in the hands of impoverished Americans, enliven the economy and make progressive public figures happy. Reselling it could increase government revenue, while at the same time allowing Chinese children to have milk powder produced with American government oversight. It would certainly be of benefit to a multitude of parties.

But action must be swift. On the first of March 2013 another important event transpired: The federal government’s automatic spending cuts will cause a 5.1 percent spending decrease for all welfare programs. If no special action is taken, this will mean a $340 million dollar cut to the WIC program. Fortunately, funds have already been allocated for March. The cuts will have no actual influence until April, so the WIC will have adequate funding until then. Maybe in April The People’s Daily government microblog will announce action from the central government joint meeting to address the powdered milk problem.