§ 39. Mr. PENNEFATHERasked the Minister of Food whether his attention has been drawn to a published statement to the effect that the de-control of bacon has cost the nation £20,000,000 and that this loss has been concealed by charging the public more than is necessary for lard and other commodities; and will he make a statement on the subject?
§ Mr. McCURDYBacon was de-controlled in March, 1919, without any financial loss. De-control was followed by a 999 considerable rise of prices in the American market, upon which we were largely dependent, with a corresponding rise of wholesale prices in this country. In August, 1919, bacon was re-controlled, and stocks in the country were deliberately sold below the then existing market prices, in order to break the market in the interest of the consumer. Subsequently to re-control, fresh difficulties which could not be foreseen arose from the collapse of the American exchange, but the price of the standard cut of American bacon has throughout been kept considerably below the uncontrolled price of July, 1919, and with the same rate of exchange it would be to-day about 25 to 30 per cent. below that point. It is not yet possible to state what is the difference between the prices to be paid on the bacon requisitioned and the Ministry's selling prices, but in any event this difference will involve no loss to the taxpayer.
§ Mr. REMERBefore the Ministry decontrolled bacon, did they take any advice from the expert people in the trade?
§ Mr. McCURDYYes, we have, throughout the existence of the Ministry, had advisory committees representative of the trades affected, and they have continually been called into consultation by successive Ministers of Food.
§ Mr. REMERIs it not a fact that in taking this particular action they ignored the advice of the advisory committee?
§ Mr. McCURDYNo; I should not like to give any definite answer to that without looking up the records.