§ 34. Mr. T. WILLIAMSasked the President of the Board of Trade whether any calculation has been made as to the expected reduction in the price of cattle and sheep in South America on account of the reduction of the imports into this country of beef and mutton; and whether any representations on these points have been made by the Government or by the interests concerned in this country as to the effect on the ability of South American countries to import British and other goods and to pay the interest on their foreign loans?
§ The PARLIAMENTARY SECRETARY to the BOARD of TRADE (Dr. Burgin)So far as the reduction of imports has the effect of raising wholesale prices in this country, it should ultimately result in an increase of price to the producer. According to Press reports such an increase has already taken place in Argentina. Suggestions of the kind contained in the last part of the question have no doubt been made but I am not aware that any formal representations of the kind suggested have been made to His Majesty's Government.
§ Mr. WILLIAMSIf the ordinary manmade law of supply and demand operates in the Argentine will that not necessarily cause a fall in prices of beef and mutton in the Argentine, and will not that reflect itself in the inability of the Argentine to meet its obligations and to buy goods from this country?
§ Dr. BURGINA Reuter's telegram of 16th November says that the price of 464 steers has risen from 23 cents to 25 cents per kilo.
§ Mr. D. GRENFELLWho pays the cost of that increase in price in the Argentine?
§ Mr. MAXTONWould the hon. Gentleman communicate with the Argentine and ask them who is responsible for this fearful breach of the law of supply and demand?
§ 36. Mr. WILLIAMSasked the President of the Board of Trade whether he has made any calculations as to the total amount of extra profits which the British meat importing companies will make out of the operation of the quota scheme in respect of stocks of meat held in this country and of imports in the next six months, respectively?
§ Dr. BURGINNo, Sir.
§ Mr. WILLIAMSIs the hon. Gentleman aware that it is already estimated that the extra profit of the importing companies approximates to £600,000; and has he made any calculation as to what extra profit the importers are likely to get out of this arrangement?
§ Dr. BURGINI am not aware of anything of the kind.
§ Mr. WILLIAMSWill the hon. Gentleman state whether the importers gave any guarantee to the Government when accepting the new policy of restrictions that they themselves would hand on the increase of wholesale prices to the producers in the Argentine
§ Dr. BURGINThat is a question of which I should require notice.
§ 37. Captain McEWENasked the President of the Board of Trade whether he has in contemplation any measures regulating the flow of meat already in cold storage in this country into the market?
§ Dr. BURGINI have reason to believe that the trade is fully alive to the desirability of regulating as far as possible the flow of meat supplies on the market, and is working with that object in view.
§ Captain McEWENIs the hon. Gentleman's Department satisfied, having regard to the question of wholesale prices, that the amount in cold storage is not excessive at the present time?
§ 38. Mr. LAMBERTasked the President of the Board of Trade the firms that have consented to restrict meat imports from South America; and whether he proposes to take steps to limit the profits of monopolistic importers?
§ Dr. BURGINThe names of the firms in question were stated in the answer I gave to the Noble Lady the Member for Kinross and West Perth (Duchess of Atholl) on 9th November. I am sending my right hon. Friend a copy. The reply to the second part of the question is in. the negative.
§ Mr. WILLIAMSIs it not the case that there is a monopoly of importers consisting of five companies combined together; and do we understand from the hon. Gentleman that the Government have secured no guarantee that the importers will not exploit the position?
§ Dr. BURGINThe hon. Member must understand nothing of the kind.