COMMODITY MARKETS AND PRICES.

Manawatu Standard, Volume LX, Issue 126, 27 April 1940, Page 5

COMMODITY MARKETS AND PRICES.

BRITAIN’S BUDGET. (B.v “Penloo.”) The war has caused a drastic disturbance in the domestic lives of millions of families in Europe. 11l the United Kingdom heavy taxation, together with rationing and the inevitable rise in prices, is making home life extremely difficult, and these hardships are bringing the people together and increasing their determination to see the matter through. This is illustrated by the calmness with which the Chancellor’s war Budget with its astronomical figures has been received. The British people are facing up to a daily expenditure of £OS millions. In every household in Britain strict economy has to be observed. Although we in New Zealand are so far away from the 7.011 c, the effects of the war are being felt in every home. It is true that we are not being rationed in respect of the essentials of foodstuffs such as we produce ourselves, but we are being' rationed in respect of many necessary goods that we must import. However, our difficulties are insignificant and are easily borne. Our duty is to increase pro--1 duction so that we may be able to help the Allies. Bad as it is for the housewives of Britain and France, it is infinitely worse for the German housefrau, who is now beginning to leel the full effects of the war. The rationing system is very stringent. The plan has been drawn up on the principle that the heavier a man’s work the heavier his meals should I he. Ration cards are graded in three groups—average, heavy, and heaviest. A company director rates “average,” whereas a labourer rates “heaviest.” Irrespective of the' difference in their financial positions, the navvy is bettor off as far as food is concerned. Vegetables and fruits arc not rationed, but almost every other item on the household menu is. Meat, the great standby of the German people, is strictly rationed, the allowance per person being only enough io permit three meat meals per week. Monday is invariably a meatless day. the main dish for dinner being spaghetti or macaroni. or perhaps vegetable soup and bread. Wednesdays, Fridays and Saturdays are also meatless days, ’flic meat-rationing is felt most of all at supper-time. The favourite supper was always bread and sausage, followed by cheese and salad. Rationing has cut sausage right out of the supper menu. One cake of soap has to last- each German a whole month. The allotment of laundry soap is particularly meagre and all houfefraus have had to leython the period between wash days. Glotliing cards allot 100 points a year to each person. A man’s suit, nr a woman’s costume, uses up 00 points. In England, while the rationing is comparatively mild, great stress is laid on the importance of avoiding waste. For example, it is claimed that if every person wasted a half ounce of bread a tlav the yearly total would amount to 247,000 tons, enough for a fortnight's normal supply of wheat. WASTE OF WAR. In point of fact the people are urged to economise in the home so that the waste of war may not be restricted. The daily cost of war is over £5,000,000 and tlio greater proportion of the money is wasted. And the irony of it is that we must economise in the home so that' there may he more to waste in the war zone. It is undoubtedly a personal war, for it affects each one of us profoundly. If the trading conditions of the Allies are difficult, Germany is in an infinitely worse position. Since the Allies rendered prompt aid to Norway neutral countries have taken their courage in both hands / and are now disposed to defy Germany. A ease in point is that of Rumania. The German trade delegation demanded “greater supplies of petrol from Rumania than had been previously agreed to.” This was refused by Rumania and the Germans had to yield. The Germans also “demanded” a further depredation of Rumanian currency in relation to the Reichsmark, which was also refused by Rumania. If Germany were in a position to pay in cash like ihe Allies, the Rumanians, would no doubt be glad to expand trade with her, but Germany can only pav in goods, and these goods are mainly munitions, which Rumania can just as readily obtain from Britain or France and the United States. Rumania is actually selling more oil to Britain than to Germany. The German Government demanded the right to police the Danube throughout- its length to facilitate imports to Germany, hut this was declined by fiotli Yugoslavia and Rumania, notwithstanding that Germany has concentrated large forces on the Yugoslavia frontier. The Germans are now trying to fix up some sort of trade agreement with Italy, but it is difficult to see what help Italy can give in Ihe matter. Italy has to import all her raw materials, including coal. iron, and steel, and with a million men under arms she will lie unable to spare much spaghetti and macaroni to feed German families. Italy needs all the raw materials she can lay hands on for her own war preparations, and finally it is difficult to see what. Germany can supply in exchange lor Italian goods. Germany is unable to run the British bloekndc and must get whatever slip can from her neighbours. most of whom have now overcome their fear eomplox. and arc holding Germany in her place.