Minister told not to dream

Press, Volume CXV, Issue 33965, 4 October 1975, Page 16

Minister told not to dream

'■.Veto Zealand Press Association! WELLINGTON, October 3. The Minister of Trade and Industry (Mr Freer) should spend more time finding out how industry worked and less dreaming up ways to increase the cost of living, said the president of the Grocery Manufacturers’ Association (Mr J. E. Roberts) today.

It was a matter of real concern to the industry that a Minister of Trade and Industry should so persistently show ignorance of the way the industry worked, he said. “Mr Freer has repeated time and again that it costs no more to put a price on a

package than for any other labelling change.” Mr Roberts said. “This shows a fundamental lack of knowledge of our industry, and this seriously worries us. “Labelling changes must be planned months in advance, to ensure that there is no wastage of packaging materials, and even then there are significant costs involved. Any special promotions are planned meticulously, cover a limited production run, and come from a manufacturer’s advertising budget. “In other words, as the Minister should know full well, there is an additional cost involved which is part of marketing expenses. How much more difficult is it going to be to place orders months in advance for packaging material incorporating a maximum price which is probably going to be out of date before the material arrives because of cost increases completely out of the hands of the manufacturer?” asked Mr Roberts. “No more can manufacturers obtain economies of scale in ordering labels and packages, and this is caused entirely by an M.R.P. scheme that will do nothing for the consumer,” said Mr Roberts.