PRICE OF SWEETS

Hokitika Guardian, 13 July 1920, Page 3

PRICE OF SWEETS

AUCKLAND, July 8. By fur the most important feature as affecting trade this week is the increase by 100 per cent, in the cost of sugar, which is, naturally, causing a general revision of' costs in all lines which contain sugar. Quite a feature of the position is the absurdity of the margin allowed between cost and selling price, especially to the small retailer who is compelled to purchase ex store at cost fqr 1A of. 51s a cwt., and Mo sell at 6d p er lb. This decision is being very unfavourably viewed by retailers, and an endeavour will be made to secure more sympathetic treatment. .The margin allowed, it Is stated, will he easily swallowed by overhead expenses, leaving the retailer with a .losing proposition, With the cost of paper bags at 9d to 10d per b., twine at 3s 6d to 4s por lb. and wages , rents, and taxes at the highest level ever known to the , tr ade, it is only natural retailers are annoyed. The margin rouglitly represents 10 j>er cent, between the cost and the retail price and it is generally recognised it is impossible to retail under 15 per cent., and working expenses, in some instances are mentioned as running to 25 per cent. All indications point to an increase that will &nge from 35 to 60 per cent, in the retail cost of sweets made locally, i‘This is going to have a cruel effect on dozens of the keepers of small sweet shops,” said one business man. “Many of these people earn their living by their little shops that do a good deal of -*S business in small sales. No longer wnl the threepenny hag of lollies be waiting to seduce the heart of the small boy goin" into a picture show. Thero will , gpon be nothing except rubbish for anyp- thin" less than sixpence, and as a mat- ' ter of cold, hard fact, even to-day a very smaJl quantity of decent sweets or candies can be purchased even for a gbillipg:" '