Evening star., 1942-05-19
Price Ceiling Placed
On Canned Vegetables
Packed This Year
Similar Action on Fruits
Expected to Follow
In Short Order

CAPeCte0 10 TOiiOW
In Short Order
With price ceilings on most food
and clothing in effect. the Once of
Price Administration and the Agri-
culture Department last night
placed a ceiling on the prices of
vegetables to be canned this year,
and also placed a floor under them
The action. it was explained, Is
to protect consumers from unwar-
ranted increases and to guarantee
Gamers price of 80 per cent Of
the maximum prescribed by the
o. p. A.
Meantime housewives found that
price ceilings saved them a few
cents on many articles. There were
exceptions. however. The Govern
ment order freezing other retail
prices at their highest March level
did not apply to perishable foods.
These exceptions included such
things as butter, cheese, evaporated,
condensed and other canned milk
products, poultry and eggs, fresh
fruits and vegetables, flour, mutton
and lamb, sea food and game, nuts,
dried prunes and dry beans.
The Labor Department estimated
the ceilings would establish a gen.
eral price level of about ISL per
cent Of the l934-l939 average.
Stores Changing Prices.
Throughout Washington stores
affected were busy yesterday chang
ing the prices on articles affected
The price of a bottle of beer or
a glass Of milk sold by restaurant,
soda fountain or bar is controlled by
the price ceiling. it was explained,
but that Of cocktail, ice cream soda
or cup of coffee is not. Any bev-
erage mixed and consumed on the
premises is not subject to price
control.
The mere dropping Of ice into
a drink is not preparation" Price
Administrator Henderson said.
THE regulation exempts food or
beverages prepared and sold for
consumption on the premises by
restaurants. hotels, etc." Mr.. Hen
derson explained. The word pre-
pared means that something must
be done besides cooling and icing,
opening and pouring a beverage.
The price of a glass, bottle or other
container Of beverage not mixed on
the premises is therefore controlled"
He listed as among other beverages
whose prices need not be held to
the March level highballs, matted
milks, tea. cocoa and chocolate.
Reason for Distinction.
Mr.. Henderson said the reason for
the distinction was that it would
be impossible to determine whether
the price of a mixed drink was
raised by cutting the quantity or
quality of its ingredients or skimping
its preparations"
Where beverages are not mixed
on the premises and are sold in
bottles or poured into glasses or
other containers for immediate con-
sumption" he observed, admins
trative and enforcement difnculties
are reduced to minimum"
In regard to the new ceiling just
announced for canned vegetables,
it was explained that through 4
Government purchase program, the
Agriculture Department expects to
to f~r
all vegetables that the producers in
his area can deliver, in line with the
food -for-freedom program of ex-
panded farm production.
Government purchases for lease
lend and other use at the 90 per
cent figure. it was believed. would
control the canned foods markets.
The vegetables to be supported are
asparagus, lima beans, snap beans,
beets. sweet corn, carrots, peas,
spinach. pumpkins, squash, tomatoes
and tomato juice. Only U. S. P.
grades, A, B and c are covered.
Order on Fruits Expected.
o. p A. also announced that SIM
liar price regulation on canned
fruits could be expected to follow
in short order"
The formula for figuring can
ners' prices is based on the average
price charged by each Gamer for
sales made during the first so days
Of the 1941 pack. To this he may
add 8 per cent for necessary cost
increases incurred, including in
creased cost of labor. supplies. con-
tainers and the like; plus the actual
increases in the cost of raw produce
for the l942 pack over the l94l pack.
Such raw materials increases shall
not exceed, however, the advances
in cost as of May 4. 1912
The formula applies only at the
Gamers level and only to canned
vegetables packed in 1942. Ceilings
for the 1941 packs and those Of
prior years will continue to be the
highest prices prevailing in March,
as prescribed by the universal price