COST OF LIVING

Greymouth Evening Star, 7 May 1931, Page 12

COST OF LIVING

PRICES AT GREYMOUTH. The recent declaration of the Minister of Industries and Commerce, that the Government would carry put a policy of bringing the cost of living in- 1 to alignment with the reduction io wages, is interesting, but many Greymouth citizens, particularly those who are married and have families to provide for, are inclined to ask: “How long, O Mr. Forbes, how long?” Nevertheless, apart from action by the Government, there is apparently some justification for the statement by the Minister that there has been a decline in the cost of food and clothing. A “Star” representative made a few enquiries on the subject to-day. “There is no doubt that prices are coming down,”,said a grocer, who conducts a cash business, after quoting several lines. “These figures are given to the Government periodically, and there is no getting away from them. The trouble with lots of English lines is that the rate of exchange affects them. Although they are down in price at Home, the price in New Zealand comes out practically the same, owing to the exchange. Many of the English lines, however, are what may be described as luxuries, and if people insist upon having them, they must pay for them/ There is not the slightest doubt that the prices of New Zealand goods are coming down, and everyday lines are down more than 10 per cent. ,1 consider that there are still some lines the prices for which could be still further reduced. Biscuits, for instance, but the trouble is that there are not many biscuit factories in the Dominion.”

He quoted the following comparative prices, pointing out that they were, all for cash. The present prices are given, with the prices ruling twelve months ago in parentheses: — Bacon 1/2 (1/4), butter 1/3 (1/7), cheese 9d. (1/-), potatoes 12/- per sack (12/-), onions Id. (IJd.), flour 5/-. per 251bs. (5/6), oatmeal 6/- (6/6), rolled oats 1/6 (1/9), rice, sago, and tapioca 3d. (4d.), condensed milk lid. (1/-), sugar, 701bs. 12/- (14/-), jam, 21b. tin 1/2 (1/3), prunes 4d. (5d.), dates 3d. (5d.), pepper 3/- per lb. (4/-), baking powder 1/3 (1/4), soap Bd. per bar (lid.), kerosene 8/- per tin (8/6), sheep tongues 1/- (1/3), tinned meats 9d. (1/-). A wholesaler stated that, a few years ago, sugar cost £3O per ton, but to-day it was down to £l5 per ton, which was cheaper than ever it had been, so far as he could remember. In his opinion, it would be quite an edsy matter to reduce the cost of living by 10 per cent., to make up for the wage cut..

CHEAPER MEAT. Compared with twelve months ago, said a butcher, there was a reduction of twopence per pound on practically all lines, and more in some cases. Legs of mutton were down by 3d. per lb., shoulders by 4d., and chops 4d. Beef had not changed so much, but there had been a reduction of about Id. per lb. on all cuts. Small goods were all cheaper, he reported. Sausages had been reduced from 6d. per lb. to three pounds for 1/-, and luncheon sausage from lOd. to Bd. Tripe remained about the same at Bd. per lb., but there was no profit on it al? any time, and it was kept just for the'convenience of customers. Pork was Id. to 2d. per lb. down in price. “There should be a bigger reduction in the price of footwear,” he added. “We have been getting practically nothing for hides during the past eighteen months or two years. A good pair of boots twenty years ago could be bought for 10/6, but a similar boot now costs 25/-, despite the fact that we were getting more for hides then than we are to-day. I can show you returns set down in black and white for the sale of-hides since I have been in business, and there is a terribly big difference. We were averaging over £1 per hide twenty years ago; now we are getting about five shillings.” A retailer of clothing and footwear 'stated that there had been a slight reduction in prices recently, so far as .New Zealand made goods were concerned, but the increased taxation militated against the cheaper sale of imported goods. For instance, he mentioned the Wolsey brand of English woollen goods. Previously, the firm’s six-monthly order, worth between £BO and £lOO, cost £27 or £2B to clear through the Customs, but it now cost £39 or £4O. In such circumstances, the retail price of goods could .not be reduced. There had been a slight drop in the Home price, but it amounted only to 5/- per dozen, or fiyepence per garment. The price of clothing made in the Dominion was showing a slight drop, he said, and the demand for Colonial goods was much improved. The firm was trying to concentrate more on Colonial goods. “Why imporlt,” he asked, “when one can buy articles just as good in New Zealand. ,Of course, there are certain lines we have to import, as they are not yet made in New Zealand.” Overcoats made in the Dominion were in good demand, he said.

Boots and shoes made in New Zealand were cheaper, and he quoted ladies’ shoes, the wholesale price of which had been reduced from 22/- or 23/- to 17/-, for the same quality. The manufacture of slippers was going ahead in New Zealand, and the product could compete with the imported article. Moccasins, however, could not yet be made in New Zealand at satisfactory prices to compete with the American article, on the manufacture of which cheap Indian labour was employed. His firm was seriously thinkpng of cutting out indented footwear in future, and importing moccasins only. The increased duty made landed costs too high to allow a reduction in the retail prices of imported goods, at the present, rate of exchange. ,

CONSUMER’S GRIEVANCE. One consumer drew attention to the .lerence between prices ruling at Greymouth and Christchurch, and expressed the opinion that they should be reduced to the Christchurch levels. He admitted that Greymouth traders had to pay railway freight from Christchurch, but pointed out that the traders at Christchurch had to pay for the transport of most of their stocks from Wellington. He quoted ovaltine, which was used by many invalids, and said that the price in Greymouth was 5/6 per tin, compared with 4/11 in Christchurch. Best eggs could be bought for 1/6 in Christchurch, but were double that price in Greymouth Biscuits priced at 1/- in Christchurch cost 1/3 in Greymouth. Tins of salmon which could be bought in Christchurch for 7id. were sold for 9d. in Greymouth, although the quality was the same. He also said that clothing was much cheaper in Christchurch,

and he did not think that any of the extra costs at Greymouth were justifi<3“So far as I know,” said an estate agent, “there has been no reduction in rents at Greymouth. Some of the older tenants have been allowed to remain at the same figure, but, on the other hand, some landlords look for fairly stiff rents. There has been no reduction to compensate for the 10 per cent, cut in salaries. Saturation point has not yet been reached so far as houses are concerned, although a fair amount of building is going on. It is not so brisk as it was, but a numbei of houses are going up. There are ■still a few State advances coming through.” The most recent reduction, of course, has been that of one penny in the price of the 41b. loaf, and this was hailed with satisfaction, as it was considered that the 1/1 charged at Greymouth,' with an extra penny for delivery, was too much. Competition was the cause of the reduction. xiiere are also indications of something in the nature of a price war among hairdressers, and some of the latter have cut the price of cutting hair from 1/6 to 1/3, while shaving has been brought down from ninepence to sixpence. One citizen pointed out, in connection with haircutting, that a graduated price seemed to be a fair proposition, as much less time and effort was needed where some of the less-hirsute customers were concerned. There certainly appears to be a slight downward tendency in the cost of living. On the other hand, an undertaker stated that there had ■ been no change in prices during the past twelve months, so that the cost of dying remains the same.