PRICE OF TYRES

Nelson Evening Mail, Volume 80, 30 July 1945, Page 4

PRICE OF TYRES

ANALYSIS OF SELLING PRICE Information, "claimed to be authentic and accurate, about the cost of tyres in Australia and how the selling pricy? in New Zealand is made up, is given in the latest issue of “Transport News.” “Here are the fads,’’ says the journal. " ’Transport News’ is not beholden to the Acting-Prime Minister, or the Minister of Supply, or the Minister of Transport for any of them. Vet, with its much more limited opportunity, it has obtained the facts within a few days of inquiry. The industry can now see lor itself where the price i 6 being forced up and where something can be done to bring about some reduction.’’ The figures are set out in an elaborate table, which is summarized at the end of this article. The only estimates in the figures, states the journal, are ou the freight, etc., to New Zealand and subsidy by the Government. and any difference in ihese figures from the actual will be small an/1 have little effect on the final result. The journal also makes certain proposals for adjustment of prices, which, it states, would be fair to the Government, the importer, the dealer and the buyer. In the following figures (a) represents the cost of the tyre, made up of the Australian export price to the New Zealand Government, freight, insurance, exchange and export duty; (bi the amount the New Zealand Government receives, made up of import duty and sales tax, less subsidy; (c) the New Zealand wholesale distributor's profit; (clI the dealers profit; (e) the price to the buyer; (f) the percentage by which the selling price iiv New Zealand exceeds the buying price in Australia; (g) the price suggested as fair by "Transport News." 0.00 X 30 (0 ply): tai £3/8/10: (b) £2 6/0: (e) £2/8/8; (d) £1 12/-; (o) £ll 18/-; (f) 241 per eent.; tg) £O/0/9. (J. 30 X 20 (8 ply); (a) £B. 2 10; (b) £3 8/3; (cl £3/9/3; (d> £2/11,0; <ej £l7 12/-: (f) 238 per cent.; (g) £l3 14/0. 7.00 x 20 ( 8 ply): iai £B/7/2; (b) £3 10/10; ( C ) £4/11/11: (d) £2 10/1; (e) £lO 12/-; (f) 238 per cent.: tg* £l4/2/-. 7.30 x 20 (8 ply): <a» £O/13/4; (U) £3 4/3; (el £ 7/0/8: <d> £3/12/7: (e) £23 13/-; (f) 280 per cent.; igl £lO/11/0. 34 x 7 <lO ply): <ai £ 12/4/7; tb) £0 9/8; (c) £O/0 3: (di £4/10.0; (e» £32 32 x 0 (10 ply): (ai £9/10 -: ( b) £3 2/2; (ci £3/19/2: <d) £3/7/7: <e) £24/3/-: if, 272 per cent.; <gj £lO 13/-. :t4 x 7 (10 ply): ta.i £l2/4/7; (t») £0 9/8; (C) £O/0/3; <di £4/10 0: <e, £32 14/-; (f) 204 per eent.: <g, £2O/13/0. 8.23 x2O 1 10 pl.v): (a i £l2/18/-; (b» £0 18/8; <c> £lO7/0: (di £4/10 2: i<-. £34 4/-: (f) 311 per cent.: (g) £2O 11 0. " ‘Transport News’ has now giveu the Acting-Prime Minister all the particulars of these prices, has given the Minister of Transport the full facts and saved him the embarrassment of asking the Minister of Supply permission to hand on the information to the industry, and has surely given the Minister of Supply reason to get a further statement from the Price Tribunal a* to the ‘unavoidable’ nature of the high prices in New Zealand as compared with Australia!” says the journal. “His assurance that the Government is anxious to see more favourable prices in this Dominion can surely now he translated into action that > will have this result.”