THE PRICE OF SUGAR.

Taranaki Daily News, 20 August 1921, Page 7

THE PRICE OF SUGAR.

THE GOVERNMENT POLICY. FEELING OF UNCERTAINTY. The price of sugar and the question of a further Government contract has been occupying the attention of Mr. S. G. Smith, M.P. Mr. Smith has drawn the attention of the Minister of Industries and Commerce (the Hon. E. P. Lee) to conflicting reports as to the exact policy of the Government having caused a feeling of uncertainty and some confusion among retailers and consumers, and he asked the Minister for reasonable notice before any alteration in policy or price is decided on. In reply, the Minister writes: “I have to confirm my telegram of the 12th instant regarding the sugar contract, in which I informed you that the contract was at present under consideration by the Government and when a decision was come trt I would be pleased to advise you. I have to add that the Government is in no way responsible for the feeling of uncertainty which exists amongst traders and consumers, as from time to time statements have been made in the Press, both by the Acting Minister in charge of my Department during my absence in the Islands and the Minister of Customs, and by the Board of Trade itself. These statements have put the position quite frankly that, whilst the Government is entering into a renewed agreement, with the Colonial Sugar Refining Company for another year, there is no control by the Government and the market is quite open. Furthermore, it appears to me that the complaints come not from the consumer or the • manufacturer, but from interested dealers who do not care to see any Government interference in trade matters for fear it may mean less profit to themselves. The criticism is from interested parties and does not reflect public opinion. With regard to the uncertainty as to the price of sugar, the Government, has repeatedly announced that no change in price is likely to take place before November 1, and, moreover, I have instructed the Departiqant that before any change in price is made, merchants, manufacturers, and others shall receive a month’s notice of the change.” To this Mr. Smith I elegraphefl the following reply yesterday: “The first portion of your letter does not agree with the evidence available here; the latter portion, however, regarding . promise to give a months’ notice is entirely satisfactory.”