asked the Minister for Industry and Commerce whether he is contemplating any measures to stabilise the price of bread.
Ceisteanna—Questions. Oral Answers. - Price of Bread.
63.
I consider the present control of bread prices to be adequate for ensuring that bread prices will not be increased unnecessarily.
Does the Minister consider a penny on the loaf of bread unnecessary?
I do not understand the Deputy's question. The question of whether a price increase is necessary relates to the increased costs of particular commodities. Therefore, the question as put to me is one I cannot answer.
Perhaps bread may not be simply a commodity in which costs enter. We must consider its effect on the consumer price index. In that situation, does the Minister consider an increase of a penny on the loaf as being necessary?
Does the Deputy mean as an alternative to increasing the price of bread that the increased cost should be met by subsidy? That appears to be what he is suggesting. In relation to increased costs, if they are established as costs which must be met, the only way to do so is to increase the price of the commodity or to subsidise it.
Has the Minister visualised the possibility of cutting profits? Does that suggest itself to the Minister's philosophy?
If the Deputy has any knowledge of the situation in this industry, he will know there is not any leeway for us to cut profits. In fact, a number of mills, as the Deputy is aware, have closed down and it has been represented that a number of the larger mills would close down if they were to continue giving up the profit margin——
Considering the wealthy full-page advertisements in the national newspapers, this is a very hard-up industry. Is the Minister aware of the efforts of take-overs? These take-overs are not for losses but for profits. The point is that the price of bread should be stabilised.
If the Deputy can give me evidence to show that these firms are making profits of which I am not aware, I will be very glad to take action.
Is the Minister suggesting that these firms are in business to lose?
The Deputy is suggesting that they are making large profits out of which they can absorb increased costs.
They are not paying for full-page advertisements in the daily newspapers out of their losses.