Does Enfanmil Lipil with Iron suppose to smell yucky when it is mixed with water?

I have been feeding my daughter pure milk ever since she was born, but because my milk is getting low as a backup I made 1-4oz formula that was given to us from the hospital. The brand is Enfamil Lipil with Iron. Has a blend of DHA & ARA - Nutrients found in milk. On the box it also says - Milk-Based Infant Formula Powder. After I mixed 1packet of powder with 4oz water - I smelled it and I immediately gagged - LoL - My question is, "Does formula suppose to smell horribly? And if so, does it taste bad as well?" Most mothers won't be able to answer the above question, but those of you who fed this product to your newborn babies .. did your baby like it? Please explain. I know my milk smells sweet because whenever I hold my daughter she breathes in my face to where I always get a whiff of her sweet breath, which I enjoy smelling.