§ 42. Mr. LOUGHasked the Parliamentary Secretary to the Ministry of Food whether co-operative societies 'are to be allowed to retail tea at 2s. 8d. per 1b. and give a dividend to buyers which reduces the net price to 2s. 6d., whilst private traders are forbiden to retail tea at less than 2s. 8d. per lb.; and, seeing that the effect of such a privilege will be to induce customers of private traders to register with co-operative societies for their future tea supplies when an official rationing scheme is introduced, what steps he pro poses to take in the matter?
§ Mr. CLYNESCo-operative societies, in common with other traders, are required to retail tea at 2s. 8d. per 1b. The payment of a dividend to the members of a co-operative society is not thought to affect the position inasmuch as that dividend represents the profit earned on the total purchases of members and not merely on their purchases of tea.
§ Mr. LOUGHWhen 10 per cent. Is given back to the customer has not that the effect of selling tea at 3d. per 1b. or, at all events, 2d. per 1b., under the controlled price, while other traders are prevented from doing anything of the kind?
Mr. CLYN ESI did not say that. I said the dividend paid to members of co-operative societies corresponds to the profits which the private trader receives. If the private trader wishes to hand back to his customers any of that profit, there is nothing to prevent his doing so.
§ Mr. PETOCan the private trader, who sells at 2s. 8d. a lb., hand over 20 per cent. discount on that price to the customer?
§ Mr. CLYNESI know of nothing to interfere with any private trader offering back anything to the public.
§ Mr. CLYNESNo; it is only trying to induce the private traders to hand back any excess profit to the public.
§ Mr. LOUGHIs my hon. Friend aware that his Department issued a Supplementary Order only last week to prevent private dealers from selling under 2s. 8d. a 1b. in any circumstances whatever?
§ Mr. CLYNESYes; but that is a very different point from that raised by the hon. Member opposite (Mr. Peto).
§ Mr. LOUGH (by Private Notice)asked the Parliamentary Secretary to the Ministry of Food whether the Food Controller has issued instructions to the Tea Control Committee to allot an increase of 50 per cent. in the weekly distribution of tea to alleged co-operative societies without making any corresponding increase to other distributors; whether the Tea Control Committee have passed a resolution protesting against this decision; and whether the Government intend to maintain it?
§ Mr. CLYNESThe Food Controller has issued instructions to the Tea Control Committee to allot to the Co-operative Wholesale Society for distribution to retail co-operative societies sufficient tea to enable those retail societies to distribute 1½ozs. per head per week to their regular customers. Sufficient tea in the aggregate is being distributed to other retailers to enable them to supply approximately similar quantities. I understand the Food Control Committee are about equally divided on the point raised in the Committee.
§ Mr. CLYNESI say they were about equally divided.
§ Mr. OUTHWAITEIs any preference given, as is believed by small tradesmen, to co-operative societies?
§ Mr. CLYNESOn the contrary; co-operative societies have suffered under the disability of a vastly increased membership during the last two years, and the arrangement now come to has been to redress a grievance which their members have felt.