TEA PRICES RISE

Waikato Times, Volume 125, Issue 20957, 9 November 1939, Page 6

TEA PRICES RISE

TWO WELL-KNOWN BRANDS SHORTAGE OF STOCKS SUPPLY POSITION UNCERTAIN Advice was received in Hamilton to-day Uial two well-known brail us ul tea nave isu Ul we by 4jU a to. it is aiateu uiat tne supply position is uncertain, and Uie increase win operate imme-

dinteiy. Kumuurs were current m Hamilton about a weex ago Uiat nearly all bianus ol lea wouru rise in puce by trom 6d to aa per ib, but at mat tune mere was no tounualion tor tne reports.

cummentmg on reports of a shortage in stouts of tea tnruugnout the dominion, a Hamilton relaner stated mis morning tnat to a targe extent me rapid uepieuon in tne available supplies was caused by the public, wno made a rush on me stocks wnen the first suggestion ol rationing was made. Were it not for tne practice ul hoarding, whicn was bemg carried out by many people, the position today would not be so acute. “We have tried to convince the public to purchase only their usual requirements, but many of them have oeen afraid of being left without tea and nave tried to rush the supplies," said the retailer. "Again we appeal to them not to endeavour to purchase abnormal supplies. Of course, owing to the lack of overseas funds, the position of the Colombo market and me uncertain shipping services, there is no indication wnen replemsnments

in adequate supply will reach New Zealand, but any rush on tne available stocKs will not make the position any easier.”

The stocks of several Auckland tea merchants are slated to be practically exhausted, and wholesale and retail sales are strictly limited. The lailure of the Government to provide sufficient funds to finance imports in the usual way is a major difficulty, but it is accentuated by the limited supply of tea at Colombo and the demands of other markets which guarantee prompt payment. Increases in the price of tea are confined to a comparatively lew firms. However, many other merchants have made application lor sanction to raise the prices on account of the higher overseas rates. They are awaiting authorisation. It is stated that some supplies of tea are on the water. These would normally be allowed to come in under an arrangement with the Internal Marketing Department and the Customs Department, but the Hon. W. Nasn has indicated that there are no funds to pay for the consignments. As a result difficulties in obtaining delivery are expected.