asked the Minister for Supplies if he will say whether he has received any representations with reference to the low rate of 1d. per lb. on butter fixed by him to cover handling costs and profit, and whether, as business people with heavy overhead charges find it impossible to handle butter at this rate, he will reconsider his decision.
Ceisteanna.—Questions. Oral Answers. - Price of Butter.
asked the Minister for Supplies if he will state the production costings on which he has based the price fixed by him of 1/11 per lb. for butter.
I will take Questions Nos. 3 and 4 together. It is evident that the Deputy misunderstands the position. The Order made by me and which came into force on the 15th March fixed the maximum retail price of all butter at 2/- per lb., which was the prevailing price for bulk butter in Dublin during practically the past 12 months. Representations have been made as to the rate of profit which this price allows, and generally it was suggested that the margin was 1d. per lb. This is not correct. In the sale of bulk butter, the retailer's margin varies from 2d. to 2½d. per lb. according to the quantity he purchases. The representations made have had my most careful consideration and I am satisfied that I would not be justified in increasing the price to the consumer above that now fixed by Order. In the light of the representations received I am having further investigations made in regard to the sale and distribution of roll butter, that is, butter supplied by creameries already weighed and wrapped in lb. lots. I should say, however, that it is not intended to increase the prices to consumers above 2/- per lb.
Does the Minister realise that the bulk of the butter sold in country districts is roll butter?
In Dublin?
In the country. I am not concerned with Dublin. The bulk of the butter sold is roll butter, and in a great many cases other costs have to be added to the wholesale price. Traders therefore find it impossible to handle butter within the margin of 1d. per lb. allowed.
I am aware that in some districts the bulk of the creamery butter sold is roll butter.
The Minister has not replied to Question No. 4. How did the Minister arrive at the price?
On the basis of the wholesale price.
How is that arrived at?
By the Minister for Agriculture.
And how is that arrived at?