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'Three-child' policy switch lifts Chinese baby and health stocks

Analysts urge Beijing to reduce child-rearing costs to support more births

SHANGHAI -- Shares of Chinese infant formula and parenting product makers were mostly higher on Tuesday, following Beijing's move to loosen family planning controls and permit couples to have a third child.

Baby formula producer Beingmate Baby & Child Food opened 6.5% higher, at 6.40 yuan, on the Shenzhen Stock Exchange, building on a 8.1% gain on Monday when the policy change was announced. The Hangzhou-based company is one of China's largest baby formula makers, sourcing raw materials from countries such as Australia, New Zealand and Ireland.

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