National, business ‘unholy alliance’

Press, 2 April 1980, Page 12

National, business ‘unholy alliance’

PA Auckland The National Party has entered into an “unholy alliance” with big business, according to the Labour member of Parliament for Auckland Central (Mr R. W. Prebble). T - ' He made the comment im a prepared speech this week during which he attacked agreements between manufacturers and retailers J.o control prices. Under retail-price maintenance agreements, manufacturers dictated to retailers the price and mark-up of goods, Mr Prebble' told a Labour Party rally in Auckland. If the retailer did not accept this, goods were not supplied.

"ineie are no fewer than 113 different, individually registered price-maintenance agreements,” Mr Prebble said. “None has been investigated to see if it is fair and reasonable.” ' ■Mr Prebble said the agreements covered the whole gamut of manufacturing goods, and involved New Zealand’s biggest companies, including Alex Harvey, Winstones, New Zealand Steel, and most of the motor companies. . Mr Prebble said companies such as Unilever and Watties were not included because they already had a monopoly, price-leading position in the market place. Mr Prebble accused the Government of failing to

practise what is preached about free enterprise, because National “has been captured by an aggressive group of new-rich, urban members of Parliament. “They, really believe in a form of National Party cor-, porate Stateism,” Mr Prebble said. “The National Party has entered an unholy alliance with big business in New Zealand. The ordinary citizen has his rights chipped away every day with yet more and more regulations being passed.” Where competition was not possible there must be rigorous and strong price control, Mr Prebble said.