WHEAT AND BREAD

Dominion, Volume 10, Issue 2959, 23 December 1916, Page 10

WHEAT AND BREAD

FIXING PRICES

SEVENPENNY LOAF IS POSSIBLE .■

' Tho report of the Board of Trade upon the subject of wheat, flour and bread prices is not yet available lor publication, but there aro indications that it will be fairly drastic in its recommendations, to the Government. An impression has cot abroad that the Government is going to pay the farmers 6s. 3d. per bushel for their wheat. This was the price mentioned by the wheat-growers who attended the. recent conference in Chris (church, but as a matter of fact there is no likelihood at, all of the Government paying the fanners so high 'a price. The conferonce was held in order that tho Minister of' Agriculture and. tho members of the Board of Trade might discuss the position with tile'wheat-growers, and the resolutions adopted by the delegates present had no binding force. - Since the Jirhoat-growors' conference the members of the board have met the niill«rs and bakers in conference at Christehurch. They hare made a general survey of the conditions affecting the prices of wheat, flour and hrcad; thev have hoard I 'the views of thftthree parties, and .'they are ready now to make a report'- covering • the whole field. Y'llie board, it is safe to say, will hare m mind the interests of a. certain party not represented at the con-ferences,"-this is, the: consumers. The recommendations made to the Government are expected to include the fixing of prices for whent, flour, and breajl for the period of the war and one sea-, •son afterwards. ;

There are indications that the price to he T>aid the farmers bv the Government for their wheat will not exceed ss. per bushel. The evidence placed hefore the hoard showed that 4s. a- bushel was regarded by the farmers as a'profitable t>rico'in normal times, and tho extra shilling is expected to cover any increased costs due to the war. The payment of than ss. is made unlikely by flie reports from Australia, where there is soine; to be a hjige' exportable surplus of wheat for the new season, at a time when the Imperial Government is still engaged in' moving last year's acquired for consumption in the United Kingdom. If estimates aro realised, Australia will have 125,000.000 bushels of wheat for.export when the present season's crop is thrashed. .

If the farmer is paid ss. per bushel for his wheat, the price of flour will probably be fixed at £13 per ton. Then the price of bread,, according to the illformation placed before the board, could be fixed at 7d. for the four pound loaf, over the counter,, or B}d. delivered. - Tho cost of delivery is stated bv the bakers to amount to about l}d. ■per loaf, and it is likely that most people would continue to , take the loaves at. their doors - oven if, the additional charge were defined in the manner'indicated. But the fixing of -a lower price for bread sold over the,counter would assist the poorer section of tho community without involving the baker in loss.