THE PRICE OF BENZINE.

Taranaki Daily News, 14 August 1920, Page VI

THE PRICE OF BENZINE.

LARGE INCREASE ANTICIPATED. THE VALUE Off THE 'DOLLAR, The fixing of the maximum retail price of benzine for New Plymouth at 35s a case was referred to by a local merchant in conversation with a Daily News reporter yesterday. Die merchant stated that this means at the wharf, and the cost of transit to the point of sa.le will be added. He does not think it will be long before the price will be over the 40s mark. Roughly there are three things to watch: (1) The price in America, which is usually cabled by the Press Association; (2J the cost of transit to New Zealand; (3) the conversion rate, which is published at about weekly intervals.

The merchant said that benzine being retailed in Neiv Plymouth to-day was probably bought on a conversion rate round about four dollars to the pound.' The rate'has since dropped to 3.59, and is now probably about 3.03. This alone means an increase in price of about 2s a case. It is assumed that cargoes on the water, whatever their cost, are not goiiig to be sold below the maximum, while he doubted if it would pay to buy in America to-day to sell at the 35s retail maximum.

"We all, at times, growl about the ouality nowadays, and there is no doubt that the various brands' do not give equal results, and the dealers' assurances of this gravity or that specific gravity do not convey much to the average motorist," added the merchant. "Briefly, tbere is apt to be confusion between gravity and specific gravity. Gravity is determined by the Baume test, and the higher the figure the better the benzine. The best brand on the market—aiid we do not see much of it — is 60 test; we have seen some in the very early fifties. An ordinary brand should not be lower than 54 to 56, and this is what the bulk of it is, although recently there has been a good quantity of. a higher grade. When we come to specific gravity the figures quoted should be preceded by a decimal point, and then it is important to remember that the lower the figure the better the quality. A Dutch spirit with a specific gravity of .735 would therefore be preferred to an American of '.li or .75. Remember, therefore, when your dealer talks in seventies, the lower the figure the better; but when he talks in fifties, the higher the figure the better quality."