FOOD PRICES AND THE WAR

Dominion, Volume 8, Issue 2384, 13 February 1915, Page 7

FOOD PRICES AND THE WAR

DEBATE IN THE HOUSE OP COMMONS OUR MERCHANT SHIPPING (Eec. February 13, 0.10 a.m.) London, February T2', In the House of Commons, Mr. R. T. Forens, member for Hull, initiated a debate on food prices by moving: "That this House regrets the rise, ill the price of the necessaries of life, aid calls upon the Government to prevent this unfortunate consequenoe of the war." Mr., Asquith, Prime Minister, in the course of his reply, compared the corresponding month of 1914. The price of wheat had increased, 72 per cent., flour 75 per cent.; meat, British, 6 por cent.; foreign, 12 per cent.; sugar, 72 per cent.; and coal 15 per cent. The increases were due principally to the diminution of supplies and the greater consumption rather than to high freights coupled in the case of wheat with New York and Chicago speculations. He refusod to believe that any advantagewould be secured by buying up the world's supply aud commandeering home stocks. Mr. Asquith added that there was no evidence of any unusual shortage in meat supplies. The rise in price was largely, if not ontiroly, due to increased consumption by the Army. The stocks of sugar in the hands of the Government were sufficient to last majiy months, and so far as any change in price was likely in the next few; weeks, or months, it would bo downward. The situation respecting our shipping was unprecedented. Germany and Aus-tria-Hungary possessed fourteen per cent of the merchant shipping of the world. That had disappeared from the seas. Another factor: The Admiralty was employing for transports one-tenth of the whole of the world's tonnage. He had reason to bolieve that very sliortly there would be somo adaptation of the available ships to routes the trade necessities of which ought to "dominate the situation.

Wliilo he agreed that the rise in prices was imposing severe burdeus on the consnraing classes, and the Government should do something to mitigate those hardships. "We must all recognise," ho said, "that a state of whr, and the safety of the country demands sacrifices on the part of tho working classes, while we should do everything to sccure a. free influx a.t reasonable prices of food, and raw material. Wo shall not hesitate to face our great emergencies and gigantic responsibility, and will make sacrifices which patriotism and public spirit demand." Mr. Asquith said that retail prices had risen in London by 2d per cent, in six months, 23 per cent, in the large towns, 201 per cent, in,the villages, and tbey were substantially ]nil«w (.to; !Kn»t. ( t oli«fit»tlntlis(l (f/spt.s Biioim.mUßl£aw9P.s tka war.

It was not thought that the shortage of wheat would last after June, when the feverish speculation would end. Germany had fixed the maximum prices of commodities with disastrous results.

Mr. Bonar Law (Leader of the Opposition) agreed that they could not now attempt to control wheat, though they might have advantageously bought largo stocks on the outbreak of war; also they might have done something at the same time with regard to shipping.