AN INTERESTING REVIEW.

Taranaki Daily News, 4 December 1920, Page 7

AN INTERESTING REVIEW.

FUTURE TRADE CONDITIONS. PERIOD OF LESSENED PRICES. Mr. W. Vryor, secretary of the Employers' Federation, on '.Monday told (lie Arbitration Court whaK, in his view, would be the effect upon certain industries if they were compelled to pay the 9s cost-of-living bonus concerning which the Court recently made a pronouncement. "The wholesale and retail traders of tlie Dominion are in a position in manyways different from that of others who have been affected by the present position of affairs in New Zealand. During the war period the greatest difficulty has been experienced in securing the necessary supplies, while, on the other hand, the demand for all classes of goods was probably greater than ever before in the history of these industries. The result was that a practice arose of importers ordering more than their actual requirements in the hope that a sufficient quantity of the goods ordered would be received to keep their trades going. As a result of the abnormal situation very many lines of goods were ordered without' any limit as to price or as to time of delivery, with the result that in consequence of the drop in trade in the United Kingdom orders have recently been completed which were given one, two, and in some eases three years ago. Unfortunately, the Home manufacturers, taking advantage of the. situation, have charged the prices ruling at the time of shipment, which means that the wholesale and retail warehouses of the Dominion are full to overljwim? with goods which have to be paid for at the top of the highest pri'es which have ruled during the war period. In consequence of the, banks' policy of restricting credits, many merchants find themselves with difficulties regarding finance, and with large stocks, which look as though they will have to be considerably reduced in price if they arc to be disposed of within a reasonable time. Matters are also complicated pretty considerably by merchants being required to reduce their overdrafts at comparatively short notice, and this also it appears likely will necessitate lower prices being accepted for stocks on hand. In addition to these complications it is evident there is a persistent demand on the part of the public for goods at cheaper prices than have been operating for some time.

Mr. Justice Stringer: Are wo going to get them?.

Mr. Pryor: I think we have got to get them. Even with the bonus I venture to say this: We have got to have lessened prices. The public of this Dominion, apart from everything else, will demand it, and. they have got the say. Mr. Justice Stringer: We can summon spirits from the vasty deep, but will they come?

My. Pryor: Sir, if any community decides not to purchase in the- quantities and at tlio prices that have been oper- ! a ting, tlien the merchant is at the mercy of the purchaser, and sooner or ; later the prices have to come down. Altogether, with the prospect of lower prices having to lie accepted for goods purchased at high cost on the one hand, and the prospect of increased wages having to he paid on the other, the »en- | eral trading community is in a most , unenviable position. Even without, the | addition of any bonus, these traders have been compelled to look into the question ui workine costs taota esriouolv

than for some considerable time past, with the result that there is considerable prospect' that the less efficient worker and the one who is now hardly worth the money lie is being paid is in danger of losing his position. Nothing is surer than that if any bonus is imposed considerable numbers of wholesale and retail trade employees will be dismissed, and the work will have to be carried on by the more efficient employees.—Dominion.