TEA WORTH l1d. SOLD FOR 2s. 9d.

Stratford Evening Post, Volume I, Issue 258, 9 October 1931, Page 6

TEA WORTH lld. SOLD FOR 2s. 9d.

COMMITTEE’S INVESTIGA- > TIGNS Coupon Trading Bill Before • . i. House Press Association. —Copyright.- , WELLINGTON, Thursday. Mr. G, C. Munns, on behalf of the Industries and Commerce Committee] reported in the House of Representafives to-night on the Trading Coupons Bill, which it was recommended should be ’allowed to proceed with amendments. He said the Bill had been amended to provide that instead of the issuer and seller of the goods containing the coupons being permitted to redeem ; coupons up to a certain date, only the issuer and his agents could redeem them. Mr. Munns said that nearly all the witnesses who' had been heard by the committee had; asked that the gift system be prohibited. The committee had had placed before it an advertisement stating that every purchaser of half a •chest of a certain tea would be entitled to a variety of gifts. He enumerated a list of gifts ranging from a 701 b. bag of sugar to a pound of sausages.- .. Mr. S. G. Smith: Who got the empty shop ? > . . i Mr. Munns said the committee had obtained samples of the tea, which had been valued by officers of the Industries and Commerce Department, also by independent valuers. It had been ascertained that the cost of the tea would be fid a (b. It vyas being retailed at 2s >9d a lb. The committee had Compared the cost of the tea and the cost of the gifts and had found that, even making allowance for " the grahtihg of gifts, the firm was . .making 50 per cent, profit on the •The Industries and Commerce Desf&tttfierit had befen asked to report on 'the gift -system and Had said it was almost impossible to draw a Clear line demarcation between legitimate systems and Others. The department ! bud ptfinted out that the gift system did hot lehd itself to shies promotion iff inferior articles Us- a continuous process,' and in this respect it was different from the coupon system. It Expressed the opinion that the prohibition of the gift system would be a Very extreme step and very difficult lo carry out The committee had ask,ed whether the department could prosecute the firm responsible for the advertisement tO which he had referred. Mr. H: M. Rushworth: Under what Act?. i,vo • fei Mrr Munns: The Board of Trade .Act, . ... Mr. Munns said the department had Advised that a magistrate or whatever Authority heard the case would take ■ill the facts into consideration, and : the department.. would probably be finable to 'get a conviction. The committee had found it had not the power to deal with the gift system and could, under the Bill before it, deal only with trading- coupons. ‘ Mr. A. Harris (Reform, Waitemata) : &aid that as a member of the committee he wished to dissociate himself from the report. He said there had %een no evidence of a desire,on the ;.part ,pf the qOnsuming public for the; passage of the Bill. He did not conlider there was any-necessity for restrictive legislation of this kind, audit was possible the public might obtain .considerable benefit from the' system of advertising which, he said, was: cheaper than advertising in the. Press %r by posters. In. Mr. P. Fraser said the problem was j* difficult one, but there were certain ‘features about coupon trading that ■should not be allowed. On the other, ijjjaild, Parliament should 'not interfere too much with private trading. SI Mr. W. D. Lysnar (Inc!., Gisborne) shid it was. the duty of the ■ House to stop unfair trading. He thought the 'Mill should be enlarged to cover free ~ Mr. A. E, Ansell (Reform, Chalmers) said he supported the Bill be-; 'pause he believed the coupon system fended to increase the cost of necessary commodities to the public. If flie system were abolished the manufacturer would improve his goods or 'Teduce the price to gain custom, and £the consumer would benefit. Mr. W. E. Barnard (Labour, Napier) said he felt sure the whole House 7 Vould support the clause providing for file abolition of the Trading Coupon Company, which traded in coupons %iy v ■ "Mr. R- McKeen (Labour, Wellington “SpUtH) said the Bill was just as essential as the law governing correct weights and measures. He regarded coupon trading as a specious form of friuid and believed It should be abolished, kr. : H. Holland (Reform, Christchurch North) supported die recommendation of the committee, and said he: hoped gifts without coupons would also -.be? stopped. Mr. P. Lye (United, Waikato) said he,: was disappointed that there was nothing in the Bill to stop the granting of gifts. Mr. Munns, in reply; said the evidence before the committee concerning certain coupons had shown that about one-third of them were never redeemed. Consequently the packers were gaining and the'consumers were paying for something they did not receive. The report was adopted and the Bill was set ddWn for committal.