DROP IN COST OF COMMODITIES

Hokitika Guardian, 2 June 1931, Page 2

DROP IN COST OF COMMODITIES

MINISTER’S SURVEY. “BUSINESS PEOPLE CUTTING COST.” WELLINGTON, May 29. The Hon. P. A. tie la Penvlle (Minister or Internal Affairs), commenting today on the trend of prices, said there hail been very many reductions lately in the cost of commodities, anc.' quoted comparative returns showing reductions in several essential items ol food and clothing. “There is no doubt,” said Mr Perrelle ,“that business people in line with the curtailment in salaries and wages are, as lar as they can, cutting down the cost of household commodities.” The Minister referred to a list prepared by the Govercnment Statist cian demonstrating the fall in the index figures for food, fuel and light, clothing, boots and shoes, etc., He said that between the first quarter of 1929 and the corresponding period of 19111, the retail prive index number (including rent) fell by 6 2-.‘l per cent. While some important foodstuffs, notanry bread, and flour, showed less than this fall, such items as meat, potatoes, butter, milk and sugar had fallen to a much greater extent than the average for all commodities. SAVINGS DETAILED. * Mr Pirr-dla added: “It is of In-./ terost to take a few more important convmoditifea and gauge the sayings to the housewife represented by the recorded decrease in the price. The latest statistics of the total annual consumption per head of the principal articles of foodstuff's arc as follows: Rutter 34/,-lb. fresh beef 1561 b, mutton and lamb 871 b, bacon and ham 141 b., sugar 8(311). From tbc.se figures the approximate weekly consumption of those ] items in the average family is shown j to be: Hotter 31b. beef 131 b, mutton and lamb 711 b, bacon and hum l ; 'lb., sugar 7',d. A fall of 4d per lb in but. ter prices represents a sav ng of Is per week in the average family expenditure Reef prices are shown to have decreased Id to lij per lb. Taking the average decrease in the prices of beef as Tfd 1 per lb, a further' saving ot Is 4d per week is noted. APPRECIABLE FALL. “The very considerable fall in mutton prices compared with the' prices ruling two years ago ,'approximately. 3d per lb all round) will represent a deduction of Is lOd from tile weekly expenditure. The fall is bacon and sugar prices represents a decrease of (3d per week in the household accounts, Assuming a moderate consumption of 1$ pints ot milk per day by the average household, a reduction of Id per quart in this item represents a saving of od per week, while even the slight fall of Id per 21b loaf recorded in the price of bread reduces the family account for this item by 2d per week. This is an inconsiderable saving in itself, but, when added to the decreases in the items already shown, makes up quite an appreciable fall in the weekly outgo. The decrease ip the weekly household expeniiitiule on these essential iood items alone totals over ss, without taking into account the smaller items in this class, CHANCE FOR CAREFUL BUYERS. “Clothing, drapery, and footwear items account for approximately 12. J per cent of expenditure of the average household. From the .small selection of items included in this review of prices it is apparent that considerable savings in expenditure on this important item in household' accounting can lie made, and the fall in prices in this group of commodities is even greater than is assessed by the official figures, for the abnormal selling conditions prevalent at the present time in the clothing trade enables a careful buyer to effect savings of up to 39 per cent in this type of expenditure. Special lines of goods are being sold at a sacrifice of prices in order to attract custom ,and the bargain seeker can, by taking advantage 'of the shopkeepers’ dilemma, secure household requirements at a greatly reduced figure.