§ 79. Mr. Challenasked the Minister of Supply if he is aware that the disposition of the whole 40,000 Government surplus pocket watches in November to one firm resulted in the public being asked to pay £8 10s., as compared with 85s. for the same kind of watches disposed of by his Department last May; whether he is satisfied that this transaction did not, in effect, create a monopoly; and whether he will now arrange for Government surplus watches to be disposed of through the normal trade channels.
§ Mr. WilmotA maximum retail price is fixed by order, but retailers can sell below that price if they wish. Surplus watches 799 are disposed of by competitive tender to dealers in watches before the war.
§ Mr. ChallenCan the Minister explain why there is this monopoly, in view of the fact that one firm advised the retail trade that he had secured the whole of these 40,000 watches in November and that the price is £8 10s. to the public? Does not that, in fact, amount to a monopoly?
§ Mr. WilmotThe watches are sold in lots from time to time. If the hon. Member is referring to one particularly large purchase, that was by far the best tender, and it was accepted, subject to satisfactory arrangements as to distribution and re-sale.
§ Mr. ChallenCould the Minister say how the average price tendered by the trade for the 170,000 watches in May compared with the price tendered for the 40,000 watches in November?
§ Mr. WilmotI think the hon. Member must put down a Question if he wants those details
§ Mr. SorensenIs it not a fact that the firm made a profit of £4 5s. per watch?
§ Mr. WilmotOh no, that is not a fact at all