THE SUGAR SHORTAGE.

Taranaki Daily News, 9 February 1920, Page 2

THE SUGAR SHORTAGE.

DOMINION SUPPLY, STATEMENT BY BOARD OP TRADE CHAIRMAN. The chairman of the Board of Trade (Mr. W- G. McDonald) has given a very clear explanation of the sugar position in New Zealand. In speaking of the frequent assertion a3 to a shortage, Mr. McDonald said the returns of the deliveries of refined sugar by the Colonial Sugar Company to merchants, manufacturers, and other customers during 1919 totalled 56,400 tons, as compared with 55,908 tons in 1918, there thus Ijaving been an increase of 500 tons. Possibly the larger population due to the returning soldiers last year would account for an increase in consumption, he said, but alter making due allowance for this factor there did not appear to be any apparent explanation for the acute shortage, which, it had been stated, had existed. The Board of Trade was satisfied that there had not been any hoarding on the part of either wholei sale or retail dealers, or on the part of manufacturers. If hoarding had taken place those responsible must be householders, who had accumulated stocks in anticipation of a rise in price. That there was at present no warrant for any such anticipation was shown by the recent statement by the Prime Minister that the existing arrangement in respect to (price would remain in force until June next. This would be the position unless something happened in the interval to interfere with the transportation of raw sugar from Fiji to New Zealand. . AN INCREASED DEMAND. One of the reasons for the recent exceptional demand for sugar, in Mr. McDonald's opinion, is to be found in the cessation of the arrivals of small quantities of BUgar from other countries, and also in the cessation of the importation of jams, chocolates, and other foods. This had led to an increased demand for sugar in the Dominion, and the limited capacity of the Chelsea works had made an elasticity of supply impossible. A mention of the supply of sugar to breweries elicited the remark by Mr. McDonald that at present neither breweries itorithe various classes of trade comprised within the designation of sugar-boiling were receiving their normal supplies of refined sugar, but they were deriving relief from deliveries of raw sugar which were suitable for most requirements in such industries. This supply of raw sugar was in no way prejudicial to the interests of ordinary consumers. "The object of the control of the distribution of, sugar by the Board of Trade." said Mr. McDonald, "has been to make as much refined sugar as possible available to householders for domestic requirements and for the jammaking season. As far as we are in a position to judge, the jam-makers, both factories Rnd householders, are in a better position to-day than they were a month ago- Until the present period of exceptional demand for su?ar for jam is over it will not be possible, unless in exceptional circumstances, for I householders to obtain big lots."