asked the Minister for Industry, Commerce and Energy if he has considered or will consider the introduction of statutory ceilings on the percentage mark-up in consumer prices on all farm products based on ex-farm prices.
2.
Ceisteanna—Questions. Oral Answers. - Consumer Prices.
1.
asked the Minister for Industry, Commerce and Energy if he has considered, or will consider the introduction of statutory ceilings on the percentage mark-up in the consumer prices of all goods based on production cost.
With the permission of the Ceann Comhairle, I propose to take Questions Nos. 1 and 2 together.
At present, the maximum retail price at which certain commodities may be sold are fixed by maximum price orders. The commodities for which the maximum price is so fixed are: certain baby foods; tinned peas and beans; frozen peas, beans and brussels sprouts; margarine and cooking fats; sugar; butter; milk, flakemeal and cornflakes; white flour, wheatenmeal, wheatmeal and wholemeal, white self-raising flour, white soda bread mix, brown bread mix; bread; certain intoxicating drinks, cigarettes, petrol, kerosene; pre-packed coal; turf briquettes and bottled gas.
As the maximum price at which these products may be sold is fixed, the margins which wholesalers and retailers can take on these commodities is controlled. The Deputy will note that the list covers a wide range of essential foodstuffs.
In the case of items for which the maximum retail prices are not controlled by order, all complaints of alleged overcharging are investigated by the prices inspectorate of my Department.
If these investigations reveal that excessive margins are being taken, I am empowered to fix maximum prices for these commodities.
I would also mention that under the Prices and Charges (Notification of Increases) Order, 1976, manufacturers are required to give me advance notice of all proposals to increase prices. Similarly, wholesalers and importers with a turnover in excess of £250,000 per annum are required to notify me of any increase which they propose to make in their actual cash margins.
In view of the wide powers which I have to control prices, I do not consider it necessary at this time to introduce statutory ceilings on the percentage mark-up on consumer prices for all goods, including farm products. The position is, of course, kept under constant review.
Does the Minister recognise that despite all the existing powers there are wide disparities in prices and obvious infringements of prices orders? Does she recognise that the request I made in both questions is aimed at cutting out a great deal of work on the part of the inspectorate of her Department and would be a much cleaner and fairer way of doing the job than trying to control prices by individual price orders which is the effort being made at the moment, but not with any great success.
I would not agree with the Deputy that the efforts being made at the moment have not met with tremendous success. They have. The controls the Minister has at the moment are more severe than those Deputy Blaney urges here today.
I would ask the Minister to bear in mind that my request for these ceilings is the result of obvious and blatant ignoring of prices orders as between shop and shop, supermarket and supermarket, wholesaler and wholesaler, and all the middle men. I would ask her for a complete reappraisal of the Department's role in price control with a view to simplifying it and making it more effective. The simple expedient—and it would be much more simple than what is being done at the moment—of imposing ceilings and letting the middle men work it out between themselves rather than trying to control them at various levels would be a much more effective operation.
This is a very long statement.
Price control and the greater efficiency of price control are matters which are under constant review in the Department. If changes are necessary, they will be made. There is no necessity for the changes Deputy Blaney is urging. If he knows of certain instances where there is gross overcharging as he claims I would be perfectly happy to have the inspectorate investigate them.
I thank the Minister for that and ask her to keep in mind that this is the one way in which all prices could be kept within reason, rather than hitting in the dark here, there and elsewhere while prices statutorily fixed are being exceeded blatantly and frequently, and no number of inspectors can catch up with that.