VEGETABLE PRICES

Press, Volume LXXIX, Issue 23977, 18 June 1943, Page 4

VEGETABLE PRICES

“DEPRESSION LEVELS ” ALLEGED REPLY BY HON. D. G. SULLIVAN "I notice that Mr Sullivan ‘ has not replied to my challenge demanding 4 schedule of costs,” states Mr C. E. Pope, a past president of the Dominion Coun* cil of Tomato, Berry Fruit, and Pro* duce Growers, in a letter to the editor of “The Press” on the subject of vegetable prices. “If the present ridiculous index price of lid per lb for spring cabbage, AugUst-Septeirtber, was double, I still defy the Minister to show any margin of profit to the producer. The Minister emphasised the necessity for price control of vegetables, giving a reason for introducing price index orders to bring an end of conditions under which retailers had been making profits exceeding 300 per cent. The prices fixed have undoubtedly victimised growers. Canterbury growers cannot possibly recover costs on index prices for spring cabbage, whether a flat rate is maintained or not. The grower is entitled at least to an increase on depression price levels, which exceed present index prices. We assure the Minister and the consuming public that the growers desire to co-oper-ate fully. We request an immediate revision of index prices to do justice to the producer." Mr Pope’s letter was referred for comment to the Minister in charge of Stabilisation (the Hon. D, G. Sullivan). “The price fixed is not a de'pression price,” said Mr Sullivan. “It is based on the average level of 1941-42, which was nothing like the depression level of prices. It is well known that vegetable prices in 1941-42 were high, and that there was, in fact an official vegetable inquiry in November, 1941, because prices went to such an exceptionally high level. “The growers, for their part, have not submitted any satisfactory cost data,” the Minister continued. “Nor has it been established that the high levels of 1941-42 did not meet the costs Of production—a point which Mr Pope would have to demonstrate before the basis of the fixed price could be challenged. The price for spring cabbage has not yet been fixed.”