§ Mr. Bryant Godman Irvineasked the President of the Board of Trade why, arising out of the arrangement made following the Monopolies Commission report, the retailer as a result of the new price structure for Kodacolor X127 reel film has to sell 13 films to make the same profit as six previously, an increase of 116.3 per cent., while Kodak Limited only have to sell 13 to get the same return as on 12 previously, an increase of 8.3 per cent., in view of the fact that the tax liability remains constant.
§ Mr. JayThe Monopolies Commission made separate recommendations about Kodak's own selling prices and the discounts that it allowed to retailers. The reduction by Kodak of approximately 20 per cent. in the level of their recommended prices is the effect of an average reduction of 12½ per cent. in prices to dealers and a reduction in discounts to dealers. The selling price to the public is no longer determined by Kodak, who have abandoned retail price maintenance; but I am informed that the discounts vary according to quantities purchased, and that the great majority of dealers get a discount of 22½, per cent., compared with 30 per cent. previously.
I understand that the purchase tax on a Kodacolor X127 film is now 1s. 4d. compared with 1s. 6d. before the price reduction.