112. Mr. Reidasked the President of the Board of Trade what costing factors were taken into account in reckoning that synthetic rubber can be profitably produced at 10d. a pound, labour of all grades, raw materials, capital, plant and the like and the approximate date of the computation.
§ Mr. MarquandThe first report of the U.S.A. Inter-Agency Policy Committee on Rubber, dated 19th February, 1946, states that general purpose synthetic rubber GR-S has been produced at a cost of approximately 11 cents per pound, excluding provision for amortisation, depreciation, obsolescence, profit and certain administrative expenses, and that, assuming a reasonable amortisation and a fair profit, it is anticipated that the price of GR-S to the consumer may eventually be approximately 15–16 cents per pound (equivalent to ½9d. to 9½d. a pound). Certain details of costs of manufacture were submitted in confidence to the meeting of200W the Rubber Study Group held last November by the representatives of the U.S. Government which I have no authority to publish. The present selling price of GR-S is 18½ cents per pound (about 11d.) ex plant U.S.A.