PRICE OF VASELINE

Dominion, Volume 13, Issue 212, 2 June 1920, Page 7

PRICE OF VASELINE

By Tolecraph—Press Association Hawera, Juno 1. \ charge of having sold a pot of vaseline at a price tbat was unreasonably high within the meaning attached to tho word by the Board : of Trade Act was brought against George CTait, chemist, beforo Mr. Bailey, S.M. The alleged offence consisted of selling a pot of Cheescborough vaseline for 15(1. A plea of not guilty was entered. Mr. Billings, who prosecuted, contended tbat the price of an article must not only produce a profit that was not unreasonably high, but must not bo calculated to produce more than a reasonable rate of commercial profit. Ho asked that the article be considered alono. not with what a merchant or vendor was making on other articles. Counsel contended it was not a question under tho Act of what profit was made in the business as a whole, but what the seller was making on the particular article. That position was supported by tho purposes of the Act, which were to regulate and control the cost of living. If the price was calculated to yield a big profit it was unreasonably high, and each particular line should be considered bv' itself. , The Magistrate stated that in trade prices could not be definitely fixed. Some articles turned over rapidly. In ether cases an article in a lino was not sold once In six months. Five per cent, miglit be a fair profit on a lino turned over every day. Twenty per cent. might not.be a big profit on other linos rarely demanded. ' •

Mr. Billings agreed that a uniform nroiit could not be fixed. Referring to this case he said the wholesale cost of vaseline differed with various marcnants, apparently at the timo of purchase. Others purchased a line at Bd. wholesale, while others, nerhnns. at a little more. Ho suggested that'B7 per cent, was an unreasonably high profit. Ho could show that other chemists were selling a line at a shilling, a grocer at a shilling, and another grocer at Md. v Charles Chappie, cheese factory mana?er. Whareroa, cave evidence of purchasing n pot containing lour ounces of vaseline at Ta'it's shoo for 15d. Later he found he could have bought the some at a grocer's for 10d., and at another chemist's for a shilling. Fe_ had inquired because he thought Tail's price was particularly birth. Richardson, chemist, in clinrge of tho Friendly Societies' shop, said he charged a shilling for a similar pot. For tho nast six months the cost had been 7s. 2d. to Bs. a dozen, in Wellington. Ho had to pay freight. He was satisfied with the nrofit made in selling at k shilling. Thero was no recognised way of fixing prices among business people. Cross-examined wjtness 'said his dispensary claimed to be a non-profit-mak-ing concern, run for the benefit oi' iho United Friendly Societies. He sold to the general public, but did not cater for them primarily. He would not necessarily be' satisfied if in "Business on his own account with the. same profits as the society was satisfied with. In chemists' shops thev did not snlit 3d. This wns a universal practice before tho war. Four ounce pots sold ip Auckland at a shillipg, and two ounce pots- at sixpence. Since two ounce, pots, had ri-en nearly 2 per cent., while the four ounce nots remained stationery, it would only be a fair nrice. if tho two ounce pot now was !>d. He knew Cheeseborouch vaseline. Before the war it could be bought at ss. M. a dozen. It was then selling at a shilling generally. A chemist did not comneto on tho same lines with a grocer. Witness gavo evidence as to the comparative cost of running chemists' and grocers' busiuesses, a chemist's assistant, owing to his professional flualificatinns, noedip" higher p.iv than grocers' assistants. He could not express nn opinion whether nth°r chemists were ohnrging too much for vaseline at 15d. a pot. If costing (hem !>'. fid. a dozen. I.VI. n pot would be fair: if costing Bs. a dozen, a shilling would be a fair nr'we. He could not sny whether the society madn n nrofit. The gronlos-r nrofit wns mmlc in dispensing. Mr. Billings snid there might be too many chemists in Hawera to sell the lines required. It was not a justification for the high prices if five were trying t»*"innkn a profit by handling what Ten hired only three men. At this stago the Court adjourned.