RELIEF NEEDED

Auckland Star, Volume LXXIII, Issue 124, 28 May 1942, Page 8

RELIEF NEEDED

BAKING INDUSTRY

EXTREME DISSATISFACTION

(P.A.) WELLINGTON, Wednesday,

Extreme dissatisfaction at what was felt to be the Government's failure to reimburse the baking trade adequately against the heavy increase in the'cost of commodities u sed in the manufacture and delivery of bread wa s expressed at a meeting in Wellington to-day of bakers from many parts of New Zealand. "After negotiations extending oyer a lengthy period, including numerous deputations and costly investigations and hearings before the Price Tribunal, the Government nas at last made an offer to read a statement made after the meeting. "The offer oy the Government of a subsidy on the price of flour at the rate of £1 a ton in the case of small bakers, to 14/ for large units, is if ti? trade to fall very far short o the amount required to enable the function on a profitable

fivc 3 h ® present price of bread was Qwf % . Government in 1936. ? time, in spite of many se ? in costs, no relief has been accorded. Bread to-day is almost tne only common article of diet the pi ice of which to the public has cost^ e 'Th o ll^ Cieasecl to cover rises in H?fi ".The Government decided some little time ago to stabilise the price hf-o^i any i 116 !? 3 ' one of which was Diead, and the only relief therefore hv ilo * to i he bakin g industry is by way of subsidy.

Costly Investigation To obtain the relief so urgentlv required the trade conducted, at its own expense, a costly investigation throughout the Dominion, the results Pi which have proved conclusively tnat, apart altogether from increases in costs before the beginning of 1939, further increases from that date to the middle of 1941 amount to approximately £3 a ton of flour. This means the baker is compelled increased costs equivalent to au a -lb loaf. Further increases since tne presentation of the case to the rir C f tribunal bring the amount of due to th e vicinity of £4 a ton. The meeting to-day affirmed willingness to accept £3 a ton as a war measure and considered nothing less tnan this figure was necessary to save numbers of bakers from being forced out of business. Since the commencement of the investigation, over 100 bakers have closed their doors, and this number is growing every month. Many smaller units have been able to continue only bv the owners working abnormally long hours in an effort to make ends met J he industry cannot carry on if it is denied adequate relief, which is now long overdue."