HC Deb 25 March 1919 vol 114 cc228-9W
Colonel W. THORNE

asked the Food Controller whether margarine is now being sold at 8d. per lb. compared with 1s. per lb., formerly 1s. 2d. per lb., from July to September last; whether the cost of refined cocoanut oil, for the first eleven months of 1918, as imported, was 70s. per cwt.; cotton-seed oil, refined, 110s. per cwt.; ground nuts, £32 10s. per ton; and palm kernels, £26 3s. per ton; whether these prices for the first two months this year are 74s. for cocoanut oil; 115s. for cotton-seed oil; £32 15s. for ground nuts; and £25 15s. for palm kernels; and why it is now that the raw materials are dearer margarine can be sold at 6d. per lb. less than when they were less expensive?

Mr. ROBERTS

The answer to the first part of the question is in the affirmative. The prices of raw materials are not, however, correctly stated by the hon. and gallant Member. During the year 1918, up to 26th August, refined cocoanut oil was delivered at £85 per ton, refined American cotton-seed oil at £115 per ton, refined deodorised ground nut oil at £80 per ton, and refined deodorised palm kernel oil at £67 per ton. From 26th August to 19th September, 1918, raw materials were delivered to the manufacturers at the flat rate of £100 per ton, which was subjected at the latter date to an all-round allowance of 7s. 6d. per ton for all loss due to leakage, super-tare and short weight. This arrangement remained in force until 22nd February, 1919, when the following reduced prices were substituted:

Per ton delivered.
£ s. d.
Refined cocoanut oil 77 17 6
Refined American cotton seed oil 95 0 0
Refined deodorised ground nut oil 80 0 0
Refined deodorised palm kernel oil 67 0 0

On 31st March these prices will be further reduced respectively to £64 10s., £64, £65, and £63 per ton delivered. The last-named prices will represent a loss to the Ministry. The low price of margarine at which a number of manufacturers are now selling is the result of the resumption of normal trade competition; with the object of securing increased turnover firms are willing for a time to sell the finished products at less than the cost of the raw material. I may add that in order to safeguard the quality of margarine the Ministry of Food propose to continue the arrangement by which margarine manufacturers are licensed and weekly samples are submitted.