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Thursday, November 29, 1973

Mr. Haddon-Cave said it was very difficult to speak "with

any great certainty about the future course of fuel prices." However,

household expenditure on kerosene and liquefied petroleum gas currently

accounted for only about one-and-a-half per cent of total household

expenditure.

Even if total expenditure on electricity was included, instead

of simply its fuel oil cost component, the figure would rise to only

three per cent.

On future supplies of rice, Mr. Haddon-Cave said the view is

widely held that world wide rice yields in 1974 will be an all-time

record.

"The increase in the price of rice alone this year, on a seasonally

adjusted basis, accounted for something like a quarter of the overall

increase in the General Consumer Price Index," he added.

The fact that rice was likely to be more plentiful in the near

future was, in itself, likely to have a "profoundly stabilising effect

on the rate at which consumer prices increase."

On the question of fish supplies, the Financial Secretary said that

to restrict exports of fish, at this time, would have only a marginal effect

on supplies, "and it could well damage the longer-term interests of the

fishing industry."

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"But, 11 he added," I can see there is a potential weakness in the

Fish Marketing Ordinance in the sense that the Director of Agriculture and

Fisheries has no powers to control exports."

Mr. Haddon-Gave said he intended to introduce an amendment to the

ordinance "at an early date" to provide for a licensing system in case it

should ever prove necessary to restrict exports.

/Dealing

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