PRICE-CUTTING.

Auckland Star, Volume LIX, Issue 33, 9 February 1928, Page 17

PRICE-CUTTING.

PROHIBITION SOUGHT.

DISCUSSION BY GROCERS.

CABINET MINISTER'S VIEWS,

(By Telegraph.—Press Association.)

NELSON, Wednesday.

The aim of the Cabinet is to have as little interference with business by the Government as possible, declared the Hon. A. D. McLeod, Minister of Industries and Commerce, when addressing the of the Master Grocers' Federation. At the request of the federation, the Minister was present at the conference to hear a discussion on the following remit: "That this federation urges upon manufacturers, packers and wholesale distributors, the adoption of such measures as they are legally entitled to, to prohibit the cutting of goods below the price which shows a fair margin to the retailer; and it further pledges its best efforts to secure the whole-hearted support of the Dominion grocery trade for those who arc prepared to adopt suGh measures." The secretary of the federation, Mr. J. Heaton Barker, said that even the Government transgressed. Coming from Auckland, they saw iu the railway refreshment rooms a certain brand of tobacco for sale at 1/6 a tin, which was & price at which no grocer could sell it. Manufacturer Should Fix Price. They contended, said Mr. Barker, that a manufacturer had an inalienable right to his goods until they reached the consumer, and should have the right, save for Government interference, to fix the price. A slight amendment to the present Commercial Trusts Act would give them what they needed. No steps, apparently, were being taken to deal with one evil of the day, namely, the time-payment system. In some cases up to 31 per cent was charged for accommodation. Grocers did not seek that. They were restricted in fixing prices for foodstuffs. Would it not be possible, as in Queensland, to make prices subject to Government approval? Grocers recognised the difference between "cash and carry" grocers and those who delivered goods. The evils of pricecutting were on the increase, and they had a right to ask the Government to interfere.

To a very large extent the average price-cutter had no regard for his fellows, and for increasing the status of the trade, in which the conference was interested. Mr. Barker said he hoped they would hear of the Minister introducing a bill. In reply, Mr. McLeod said it was not the Government they had to educate on these matters, but the public. Feeling of the Farmers. He held a dual position as Minister of Industries and Commerce, and he tried to keep a balance, even when considering the statements of these conflicting interests. Generally speaking, the manufacturers and retailers, through their various organisations, had done their share in trying to get in touch with the nan on the land. As a rule the farmers, although not some of their so-

called representatives, were reasonable and were prepared to listen to the views of the man in town.

He had listened to their discussion. Their request involved a matter of policy. When his leader, Mr. Coates. took up the reins of Government he made his policy, "More business in Government, less Government in business."' It was not a job that could be done in a day, but the aim of Cabinet was to have as little interference with business by the Government as was possible. Their views would have full consideration.