ADEQUATE STOCKS

Otago Daily Times, Issue 27404, 1 June 1950, Page 6

ADEQUATE STOCKS

Sufficient To Meet Demands OIL COMPANIES’POSITION PA WELLINGTON, June 1. Petrol stocks in New Zealand are considered by oil companies to be more than sufficient to meet any increased demand that may develop following the de-rationing of motor spirit today. Several authorities in the industry. who were consulted were of the opinion that, the normal demand was more likely to show a temporary downward trend until such time as the reserve supplies held by most motorists had been used. Now that rationing had been terminated, there was no longer any need for motorists to store supplies of petrol. Executives of oil companies said that the overall stock position was good, and that there were adequate stocks in the country, or at short call, to meet any increased demand. One authority stated that a marked increase in demand was not expected as this was the middle of the year when the demand for petrol was slackest. Another authority considered it highly probable there might be a drop in consumption in the meantime, for it was estimated that at the end of a month motorists in the aggregate held from 3,000,000 to 4,000,000 gallons in store in the tanks of their cars or in small containers. “ I think the abolition of petrol rationing will be just a nine days’ wonder,” said one executive. “In a day or so it will be accepted as a matter of course. Retailers of petrol do not expect any rush to buy.”