RETAIL PRICE OF ORANGES

Press, Volume LXXII, Issue 21973, 23 December 1936, Page 5

RETAIL PRICE OF ORANGES

FRUITERERS’ COMPLAINTS MARGIN OF PROFIT (PRESS ABSOCIATIOE TELEGRAM.) DUNEDIN, December 22. Resentment at the Minister’s comment that retailers were not complying with the price regulations affecting oranges was expressed by Mr Newall, secretary of the retail fruiterers, who said that instead of removing the ban on Australian supplies as requested, the Government instead had given special permission to certain New Zealand brokers to import specified quantities. The retailers considered that since they had openly to notify the public of the cost of oranges, and their profit margin, it was reasonable for the importers also to publish their costs and margin of profit. Retailers were expected to sell oranges in some cases below cost, Mr Newall said. Jamaican oranges provided a glaring example. The Government had fixed the retail price at such a margin that loss was inevitable. It was well known that these oranges cost less than 19s a case to land, and, the fixed wholesale price being 32s 6d, it appeared that the importers were not working at a loss. The figures provided by the Minister showed varying margins of profit to the retailers of Is 6d to 6s a case, but as the supply allowed only one case to each retailer, the law of averages did not work. Mr Newall showed one case of 176 oranges in which 31 were unsaleable. He stated, too, that a Government inspector had certified 69 wasty fruits in a case of 200 Jamaican oranges.