“RAW” EGG DEAL

Ashburton Guardian, Volume 70, Issue 257, 17 August 1950, Page 5

“RAW” EGG DEAL

TWO-PRICED SYSTEM DANGEROUS TO MARKET “The two-priced structure is highly dangerous, especially in the marketing of eggs.” This was the opinion voiced by an Ashburton produce firm this morning in an interview with a “Guardian” reporter. “This system of payment is most unsatisfactory, particularly in view of the fact that the old price orders afford a rise in price of approximately 3d a dozen, whereas the present price order in operation now brings the price down approximately Is per dozen. The same merchant is still holding a debit for several hundreds of pounds from eggs consigned away at the previous price change. This change, in effect putting the price up, was published in the newspapers a fortnight before this new high price came into operation, and naturally vendors kept supplies for that fortnight in store, and offered their eggs when the high price came into operation. This was the logical action on ttye part of the vendors, and any person with even the slightest business knowledge, but the policy in issuing prices a fortnight before resulted in a congestion on the market, with the merchants suffering severe losses as the quantity of eggs retailed was no greater. The congestion was such that supplies had to be dumped, while further supplies were used for the making of pulp. The low price order this year came into effect on July 31. Three consignments from this merchant were sent by air freight on July 12, 19 and 25 at an extra cost of 5d a dozen, because og the alleged congestion on the Lyttelton waterfront. These .were all graded and distributed by the Farm Products Co-operative in Wellington before the new price change. However, when the merchant received returns, the new price had been used, and this means that the, price .was Is 2d per dozen lower than they shopld have been, and it does not take many crates to make the loss a substantial one. . . The merchant stated that the public should.be shown the faults in the twopriced ■ system, and eventually the Government should attempt to find a more suitable 5 alternative.