COST OF FLOUR.

Lyttelton Times, Volume CXVIII, Issue 18352, 9 March 1920, Page 6

COST OF FLOUR.

ANOTHER SEQUEL TO THE RISE. [From Our Correspondent.] WELLINGTON, March 8. Pastrycooks, whose product was not covered" by the Board, of Trade price limitation, are providing another problem as a consequence or increased cost of flour. The position has already been discussed by the pastrycooks, but until further developments in regard to the bakers’ position are forthcoming no definite action will be taken. “On 70 per cent of _ small goods we are now-selling,” said the member of a firm “ our books are showing a loss, in fact in the case of manufacture of two blocks of cake, taken as an example, wo have found that by the time they have been sold over the counter there is a loss of 16 per cent. Heavy fruit block cake is showing a loss of over 83 per cent. The loss on 70 per cent of the lines is taken on the basis of the new price of flour, £l6 10s per ton.” One chief reason for the position was stated to he the substantial increase in the price of ingredients, which waa approximately 75 per cent on the prewar price. In regard to fruit the price had risen 100 per cent, while pulped eggs were now almost unprocurable at Is 10d per lb, which represents about 2s 4d a dozen. . Dessicated cocoanut, which had at one time been bought for as low as 5d was now 2s 6d per lb. Butter was also another essential that showed a marked increase. The use of margarine, which had likewise gone up, was now being dropped to a large extent and butter was being more largely used now than before the war. In spite of these increases small goods were being retailed without any alteration in price, except that where fourteen cakes were previously sold for lathe number had now been reduced to twelve- In Auckland and Christchurch pastrycooks had discontinued the sale of penny goods, and while Wellington pastrycooks tried to meet the position as fairly as possible it seemed that something would have to he done to avoid much further loss. Probably this would be overcome best by making the goods smaller.