§ Mr. Skeetasked the Minister of Agriculture, Fisheries and Food pursuant to his answer of 16 April, Official Report, columns 422–3, when he expects the retail price of coffee to reflect the international market price of the commodity more closely; and if he will identify the factors affecting the slower retail price movement.
§ Mr. WigginThere are many factors affecting the retail price of soluble coffee apart from the price of green beans quoted on the commodity markets. These include the price paid by the manufacturer for physical coffee, the length of time it takes the coffee to reach the retail pack, the exchange rate of sterling and increases in all the manufacturer's other costs apart from the raw material. The trend in the retail price will depend on how these variable factors balance out, and it has in fact continued to decline since mid-April.