GROCERS EXPRESS CONCERN

Southland Times, Issue 23953, 20 October 1939, Page 6

GROCERS EXPRESS CONCERN

ADVANCE IN WHOLESALE PRICE OF SUGAR (United Press Association) WELLINGTON, October 19. An advance of £3/16/- in the price of sugar was notified to wholesalers in Wellington on Monday, but, in accordance with the Government’s statement, the price to the public is to remain at fourpence a pound. Retailers contend that fourpence does not allow them a margin of profit sufficient to cover overhead costs, and a meeting of all sections of the trade, including the Master Grocers’ Association and representatives of chain store companies, is called for tomorrow night to discuss the position. One grocer said the price landed in the store worked out at £l/0/l| and fourpence would return £l/2/8, which provided a margin smaller than would be absorbed by overhead charges. Fourpence halfpenny was the lowest price at which retailers could afford to handle sugar. A well-attended meeting of the combined grocers of Wellington tonight decided to send a deputation to wait on the Minister of Industries and Commerce (the Hon. D. G. Sullivan) and place before him the serious position facing the grocers of the Dominion if they are not allowed to pass on to the public at least portion of the increase in the wholesale price of sugar.