PRICE OF BUTTER.

Sun (Christchurch), Volume VII, Issue 2027, 13 August 1920, Page 3

PRICE OF BUTTER.

PETITIONS FROM RETAILERS. BIGGER MARGIN REQUESTED. [From Our Own Parliamentary Reporter.] WELLINGTON, August 12. Several petitions from grocers, store-keepers and other purveyors of butter, praying for a greater margin between the wholesale and 'retail prices of butter, were presented in the House, of Representatives to-night. The petitioners pointed out that, at the present time, butter costs the grocer 1/6 per lb, and, under the War Regulations, he has to sell it at 1/8 per lb, which is a gross profit on the turnover of 10 per cent. By discounts, this is reduced on the average to 61 per cent., on which the grocer has to run his business, although the cost of running a business is now about 17 per cent, on turnover. It is pointed out that the pre-War profit of 2d per lb on butter represented a considerably higher percentage than does 2d to-tlay, and the petitioners state that they are seriously contemplating ignoring any Order-in-Council which will not permit a difference of 3d between the factory price and the retail price, as even that would not cover them against expenses.