Captain TERRELLasked the Minister of Food whether he is aware that granulated sugar for manufacturing purposes has risen to practically 11W. a pound, but that the price at which it is sold to the trade by the Royal Commission on the Sugar Supply is about 61d. a pound; why there is such a large margin between the 1323W controlled price and the present market price; and can he hold out hopes of increasing the allotment to manufacturers at the controlled price?
Mr. ROBERTSThe answer to the first part of the question is in the affirmative. As the hon. and gallant Member will be aware, the price of sugar has been raised by 1d. per pound as from yesterday. But a certain difference between the controlled price and the market price will, I anticipate, be maintained, so long as the comparatively small balance which enables the Government to do so is available, in order to obviate the hardship which would be caused by a sudden rise corresponding to that of the market price. As regards the last part of the question, I am afraid that I can hold out no hope of increasing the allotments to manufacturers at the controlled prices. On the contrary, it will be necessary to restrict such supplies for some time to come.
§ Sir A. FELLasked the Minister of Food if there is a loss and, if so, of how much a pound on the sale of sugar at the present price; and if it is proposed to raise the price of sugar to the least at which it is sold in other countries?
Mr. ROBERTSThe answer to the first part of the question is in the affirmative. It is not possible to state the precise amount of the loss, as it may be affected by changes in cost of freight and in the exchanges, as supplies come forward. The Royal Commission on the Sugar Supply has in hand, on previous sales and on its insurance fund, a balance sufficient to cover losses on contracts already made. But this balance will be exhausted before long, even when the recent rise in the retail price of sugar is taken into account.