SUGAR DISCOUNTS.

Dominion, Volume 4, Issue 1110, 25 April 1911, Page 8

SUGAR DISCOUNTS.

. POSITION AT CHRISTCHUBCH. \Us Tclcsraph.-l'rcss Association.! Chrlstchurch, April 24. A telegram from Grcymoutli wcs recently published, stating that great indignation had been expressed in that town by the public aim merchants owing to the rchibal of the- Colonial Sugar Company to allow any bonus on direct purcnases, unless they amounted to JHSUU or over. Tho telegram added that '"this must prove detrimental to working men, who strongly condemn tho tactics of the company in arranging with a New Zealand syndicato in the direction of keeping the price of sugar up," A reporter to-day made some inquiries as .to the reasons which might prompt Grcymouth people in making their complaint. It appears that .the Sugar Company has a scale of extra discounts payable halfyearly to the purchasers of certain quaniities of sugar. A purchaser of i'sW)| worth per month receives an extra discount of one per cont. ; for £1000. worth the rate is two per cent.; for £25C(I' three per cent.;_ and for £10,000 4J per cent. There is no discount to pur-, chasers of-less than £500 worth per month. It appears that prior to the passing of the ulonopolies Act, the company had its priyato arrangements as to the discounts it allowed its customers, but it was considered that these might not bo legal under the Acti A new scale was then drawn up, and lias been issued on the company's printed prico list. On the old list, the extr; ■ discounts were stated at one-half poi ■ cent, for £150 worth of sugar purchased 1 per month, and one per cent, for £400 ! worth. Under that scale, Grcymouth ■ buyers who dealt direct with the company would probably bo able to uvail themselves of the discount. The causo of the complaint is apparently that Greymouth buyers cannot by combination or other means bring their monthly purchases up to the value of £500, and so pain the minimum discount on purt chases. The position in Christcluueh ia entirely different, as a number of lead- , ing grocers have combined tn send , in ! such'orders for sugar that the maximum discount of •< J per cent, is p:iid on their • purchases. To secure this they have to . makn up an order averaging £10,000 I worth of sugar per month. Tho smaller r grocers, on tho other hand, deal with ; the merchants, and get their sugar on tlio same terms as previous to lho.comr pany's rearrangement of its extra disa counts. According to several merchants t and grocers who were seen, neither tho t public nor Hie sugar purchasers of i Christchnrch have, any reason to comt plain about the operation of the extra I discounts,