Wumart allocates more than $40m to curb prices amid outbreak

Wumart Group, the Beijing-based retail giant, has earmarked 300 million yuan ($42.7 million) to curb rising prices for vegetable and daily groceries, as well as to ensure the quality and supply of products during the novel coronavirus outbreak.

The retailer sent top executives to South Korea to procure facemasks and sanitizing products to ease the shortage of virus prevention and control products among residents in Beijing.

On Wednesday, the first batch of 3 million facemasks was shipped to Wumart's stores in Beijing.

To avoid panic buying behavior, every resident is eligible to buy a maximum of 10 facemasks. Customers can either buy online through the Dmall application – Wumart's digital platform – and pick them up in a store or purchase at Wumart outlets directly.

Wumart's vegetable sales on a daily basis have reached more than 2 million kilograms, which is three times normal sales, on average.

Zhang Wenzhong, chairman of Wumart Group, said their own vegetable bases and logistic teams in many provinces have contributed to the effectiveness of their supply chains, providing sufficient products to meet the sharp rise in demand from Beijing residents.