The Ocala evening star. [volume] (Ocala, Fla.) 1895-1943, 1918-05-13
GETTING NEXT TO THE
UNLICENSED GROCER
By Will P. Kennedy


Washington, May IA decision
from the u. S. food administration
of great interest to the Florida peo-
pie dealing in food commodities, has
been secured by Congressman Frank
Clark. This statement by the food
administration meets the ideas pre-
sented by Congressman Clark in be-
half of the Florida people as to what
constitutes fair margin of profit. 1t
will be read with interest in every
community throughout the state. 1t
is as follows:
The food administration act of Au-
gust 10 exempts from license the re-
tail grocer whose gross sales of food
commodities does not exceed $4,000
a year. Our control, therefore, must
be indirect Tin order to protect the
consumer) on any retailer who may be
chargin gexcessive prices. 1t is proper
for US to take this position inasmuch
as the only provision of the act from
which the retailer is exempt is the
licensing provision. He is subject to
the other provisions of the statute,
which make it unlawful wilfully to
destroy any necessaries, to hoard, to
make any unjust or any unreasonable
rate or to enter into any conspiracy
or combination to restrict the supply
and distribution of food COMMITTEES.
We have adopted three general
plans of controlling the unlicensed re-
taller:
1. By the publication by the food
administrators of fair prices which
will serve as guides to householders in
making purchases, in order that they
may ascertain that they are not being
overcharged.
2. By obtaining from retailers re-
ports as to their cost and selling
prices on commodities. There are OBJ
tanned through various sources which
are at the command of the govern
ment.
3. By cutting off from any retailer
who has actually violated the law, his
supplies, by notification to the whole
sale grocer and others from whom he
may purchase.
As pointed out above, the food ad-
ministration law forbids excessive
charges. Because of the varying costs
! of doing business, the food admins
tration has not ordinarily expressed
in terms of figures what it considers
to be a reasonable margin as a mar.
gin over the actual cost which will not
yield profit in excess of the profit
which the dealer customarily enjoyed
on the particular goods sold in the
lpre-war period on market free from
speculation and under freely compe.
titive conditions This means that
the dealer is not entitled now to any
speculative profit which he may have
made previously, nor is an excessive
price justified now even though the
dealer made excessive prices before
the war
In the case of sugar and flour the
food administration has indicated
what lie considers to be fair margins
viz: not over 1c pound on sugar, anC
not over $1.20 on a barrel of foul
where the -four is sold in the origina
mill packages. If, however, the foul
is re-sacked, the retailer may max,
1c pound without criticism. Thes,
margins are guides only, and con
form to the pre-war practice of retail
dealers generally. They help tn,
food administration in determining
whether or not excessive prices ar,
being charged, and where it is fount
that margins in excess of these ar
being charged investigation will b.
instituted. This is made plain in tn
circulars on the subject which we en-
close.