COST OF LIVING COMMITTEE.

Colonist, Volume LVIII, Issue 14538, 16 October 1917, Page 5

COST OF LIVING COMMITTEE.

VARIOUS RECOMMENDATIONS'.

A FOOD- CONTROL MINISTER.

- CRITICISM BY SIR JOSEPH * "WARD.

REPORT OPPOSED BY THE

PREMIER

(From "our Parliamentary Corresi pondent.)

Wellington, Oct. 15. Tho Coßt of Living Committee reeoni-* mends the appointment of a Food (Jon-* trol Minister witJi .special plenary pow-» ens to prevent increase of pripos" where increases are not justified to his satis-« faction and to iix minimum wholesale raid retail prices of goods -throughput Now Zealand, or regulate retail prices of local products to New Zealand consumers by cheir purchase at ruling -ports prices and distributing them at such, lower prices as the Controller shall: think fit, the-loss to be met out of the Consolidated Fund. '

i'lie committee suggests that the duty, bo oast, upon the- Labour Department* to chock unfair increases of rents by, investigating cases and prosecuting jf necessary.

The committee, being of opinion thai? the curtailment. of suburban train ser-i vices has been a'factor in increasing city rents, requires the reinstatement oi- such services a3 will enable subur-i ban residents to attend to their oecu«» potions and reach their homes without} serious difficulty. Other suggestions 'nchide tho esta!» lishment of State-controlled co-operaw tive steamers in the overseas,' inter* colonial, and Islands trades; that re* tail co-operative societies be x encour* aged; that tho fishing-^industry be developed; that the present unnecessary: ■•and wasteful cost of distributing and middlemen's profits, be eliminated; wherever possible • and that the Commercial Trusts Act apply to any goodei whatever.

A lively discussion followed the presentation of the report in the Houseespecially on the proposal that any losses on the sale of exportable products in the Dominion at low price* be borne by the Consolidated Fund-M-misters taking a lead in opposing tho suggestion. Mr Sidey moved an amendment that' the report be referred back for the furtner consideration of the paragraph proposing that any loss on the sale of exportable products for local cou-< sumption bo borne from tho Consolidated Revenue.. The mover said' the Premier knew the committee was noti unanimous on the clause, which avoided a salient feature. When the committee divided it was nearly equal* Mr J. S. Dicksoii: Eight to six. Dr. Thacker: Which way did butterfat vote ? ■

Mr Sidey declared that he declined to subscribe to the unrestricted principle that no matter what famine price' was paid for our products outside, the Consolidated Revenue should bear tho brant- of keeping local prices down.. In normal times:.lie would be the lasts" to suggest making a levy on exports, but he believed that was the proper method to equalise prices during* wa** time;

Sir Joseph Ward said he was amazed at'the committee-1 s suggesting thati the Consolidated Revenue should beas the cost of tho proposal. A member: The Prime Minister must have voted for it.

Mr Massey: But' I told them it would not work out. (Laughter).. ~ Sir Joseph Ward, continuing, said tfce Consolidated Fund comprised revenue from stamps and railways and all taxes.. He had asked what tho loss&s would- be. The reply was indefinite, '.?' because nobody could tell. They might easily run into three or four millions. If* the Food Controller' was to have plenary powers, why mako. him a Minister? If ho.had power to override his colleagues no Minister would work,with him. ■ It was suggested that some genius of extraordinary powers would be appoint*«sd;- Would1 he be able to say what losses would )>e made? He would be greater" than, tho Government or Parliament.

Mr Nosworthy: A Ministry in himself. .

Sir Joseph Ward: As a matter offaoti he, should be outside ■Parliament, and he should be by law put above everybody else. Why not adjourn Parliament until the war is over, and let him do. what ho liked? New Zealand was dependent, for the great revenue required for war. purposes, upon our big exports, while there was a "difficulty ox townspeople having to pay prices on a. rising scale owing to the export demand. Rather than have the uncertainty; cf a demand on the Cons&lic!ated Fund, he would ten thousand times see a di-. recb contribution by the Government- to> help to overcome the strain imposed on. most of tho peoplo by high prices.

Mr Massey made an 'Interesting contribution to' the debate. The Government, he Gaid. was just as anxious as anyone to reduce the cost of living, but unfortunately it cbukt not be done by a scratch of* the pen. History showed that in nearly every case minimum price fixing had been a failure, because production was interfered with, .scarcity; followed, and prices went up. Many, of our foodstuffs came from overseas. Could this country control those prices in ish-p slightest ? Many of them hc-rj-become prohibitive since the Imperial Government'put'up freight*." It wa'a almost the sa;no with wheat. The fact that wo did not grow enough wheat foi' Dominion consumption was partly- duo to the abuse directed at growers in. Parliament and outside during the last; lew -years. .Regarding other products, their producers had not been getting the prices prevailing in the world's ■'■.market*. They had got less in selling to the Imperial Government—less probably by eight millions —"but ho admitted! that the prices were remunerative. As an abstract theory it was right to tako tho difference between export and local prices out of the Consolidated Fund, *but in practice it would work out with, grewt injustice to small producers. If the House wanted that done, they would have to find another Minister, to do it. (Hoar, .hoar.) The Premier; added that he believed it would be a; good thing to cany Mr Sidey'.s amendment.

Five eggs a week va.s the fee collected by tho German authorities for each hex French peasants -were allowed to keep., If the hens did not lay five eggs tho peasants had to borrow them from their neighbours, and they "were delighted when the liens at la^t were coi> fiseatod.