COLD STORAGE 6^ 



Individual instances of profiteering occurred during 191 6. The pro- 

 fiteering companies as a rule lowered their margins in 1917, after the order-in- 

 council as to the cost of living had come into force, but these margins 

 seem to have remained too high. The question of their justice or injustice 

 cannot however be absolutely determined without either a criminal prose- 

 cution or a declaration by the Food Cositroller as to fair prices or a fair 

 margin. 



A tendency has become apparent on the part of a few companies to 

 exact seemingly excessive margins on beef and butter. As to this mat- 

 ter also there cannot be certainty without a prosecution or a declaration of 

 the Food Coutroller. 



The profits of most of the cold storage companies not convicted of 

 profiteering might probably be lessened as regards certain of their lines of 

 trade, although the prices they obtain are not high as compared with those 

 prevalent before the war. The great extension of their business during the 

 war would probably make lessened profits on individual transactions fair. 



Any lowering of the margins of the cold storage companies will only 

 go a short way towards reducing prices to the consumer. The profits of 

 the companies were made on their enormous tujnov^ers, their margin per 

 pound or per dozen being comparatively small. 



Finally the report of the investigation states that the farmer, the cold 

 storage warehouse, the wholesale produce merchant, the retailer and the 

 consumer, indeed all persons who in any way have come into relation with the 

 commodities covered by this report — including, among a multitude of others, 

 the farm labourers whose wages have been increased, the carter whose 

 charge has risen, the miller whose shorts and bran command higher prices, 

 the employees of wholesalers and retailers whose pay is higher, the consu- 

 mer who requires delivery on a more expensive system, and who besides 

 is, on his own account as master or employee, a link in a chain causing other 

 high prices which react upon the i)rices of the commodities covered by 

 this report — all have contributed to produce existing prices. There cannot 

 be peace prices in war conditions. 



