The President's Greetings to the Consumer Advisory Council.

[ As read by the Vice President ] I AM ASKING our very able Vice President to convey to you my greetings and best wishes for a most successful conference.

I had planned to meet with you myself today, but my doctors claimed a prior appointment with me. However, my stay in the hospital does not diminish my deep interest in affairs of the consumer.

I have stressed to you before the vital importance of your mission, but this is something that cannot be repeated too often. You represent the voice of the American housewife in Government. That is enough to justify your efforts. But your role is vastly greater. You are working for every citizen in our land, because every citizen is a consumer.

American consumers today are benefiting from the longest peacetime expansion in history. Since 1961:

--Personal consumption has expanded 32 percent, with all this means in the way of rising living standards;

--Wages and salaries have increased by 33 percent, or $90 billion, an amount greater than the Nation's entire food bill in 1960;

--Purchasing power has increased; the average weekly earnings of manufacturing workers rose 22 percent;

--And prices have risen comparatively little.

Consumers have also benefited recently from the greatest income tax cut in our Nation's history. In the past few months the people have begun to benefit from the excise tax reduction, putting still more purchasing power into their hands. The latest report indicates that 90 percent of excise tax reductions are being passed on to consumers.

Before we reduced excise taxes, we reached a general understanding that all the reduction would be passed along to consumers. I am directing the Council of Economic Advisers to conduct a thorough recheck immediately to see that all establishments are keeping faith and passing all excise tax reductions to the consumers.

Since the Council was established, still other significant developments benefited consumers:

--The Office of Economic Opportunity has made 17 grants, totaling over $893,000, for the development of consumer education programs throughout the country.

--The Federal Power Commission not only stemmed the rising cost of natural gas, it retroactively reduced rates. As a result, over $650 million has been refunded and there is now an annual reduction of $130 million in natural gas costs to the American consumer. Further, the Commission's National Power Survey estimates that by 1980 as much as $11 billion per year can be saved in the cost of electricity for Americans.

--The Federal Communications Commission moved to reduce the rates of interstate telephone costs. This means estimated savings of $100 million a year for American consumers.

--The Civil Aeronautics Board reduced domestic air fares, air cargo rates, and transatlantic fares which will amount to an eventual saving of over $50 million annually for consumers.

--Legislation has been passed protecting consumers from the indiscriminate sale and use of dangerous drugs.

--The National Food Marketing Commission, established last year by the Congress at my request, has held hearings to study the widening spread between what the farmer receives and what the consumer pays for food. Its recommendations, when implemented, will undoubtedly benefit consumers. In the meantime, it is gratifying to note that food prices are stable, and that good nutritional food can be obtained at reasonable prices.

The list could go on and on--for virtually every piece of legislation affects consumers. The record is indisputable--consumers have benefited greatly.

But this is not the time to look back in self-satisfaction. It is the time to look ahead.

One of the greatest contributions this Consumer Advisory Council can make will be to identify the needs of consumers, now and in the years ahead, and to recommend programs to fill their needs.

There are several areas in which I would recommend your careful interest:

First, business-consumer relations. I believe the time has come to bury forever the myth that furthering the interest of the consumer must be at the expense of the producer. There is, I am convinced, a common interest between Americans in their capacity as producers and in their capacity as consumers. This mutuality must be emphasized.

Second, adequate consumer information. Prosperity depends just as much on the freedom of consumers to make informed choices as it does on the ingenuity of business and labor. In our modern age, when the marketplace has become more complex, more impersonal, and more national in character, consumers must be kept adequately informed.

And third, groups needing special attention. Low-income consumers and other special groups--including the elderly, teenagers, and new family units--deserve adequate solutions for their particular problems.

I will continue to support the Congress in its move towards more adequate consumer legislation. Informed consumer choice among increasingly varied and complex products requires information concerning price, quantity, and quality. Greater truth in packaging will help protect consumers. More disclosure of facts in lending will help consumers to more easily compare costs of credit, and thereby help avoid the personal tragedy of being overburdened with debt.

Through the Committee on Consumer Interests, Federal agencies will continue to call on the Consumer Advisory Council for expert and timely advice on specific issues. The Consumer Advisory Council can render valuable assistance by recommending further steps:

--to improve consumer education in the Nation's schools;

--to meet the information needs of modern-day consumers; and

--to take a fresh look at how adequately the Federal Government is equipped to serve and protect the consumer interest.

I am confident that you who are gathered here today will discharge your important and unique function with honor and distinction.

A large share of credit for the progress we have made--and will make in the future-must go to Esther Peterson. Through her leadership and her dedication, a new day has dawned for every American consumer.

We thank her--and we thank you--for the entire Nation.