WEST COAST TIMBER ROYALTIES.

Dominion, Volume 2, Issue 398, 6 January 1909, Page 5

WEST COAST TIMBER ROYALTIES.

Sir','—During the recent conference of sawmillers in; November last the. member for Grey telegraphed to the Prime Minister as follows:—"Regret I was out of town when I received wire that timber deputation was to wait on you yesterday.: I: heartily support what deputation', urged.. Have every confidence that your Government' will do all' "in its power to, assist' the most important' colonial industry till Parliament can deal with the question; Meanwhile 1 ' I\Vould recommend Government to reduce; railage, as suggested by you, and mate, reductions in royalties and rents. As timber industry l affects toy constituency, and also Buller and West-land, I feel convinced that the / members for _ those districts will' support the Government m any temporary .assistance that can be • given." , , The reference to reductions in, royalties and rents draws" attention;to advantages held by the millers of the-West Coast of the' South Island which are denied to those in. the, North Island, .and' more, especially ; to those in the Auckland district.- On the. coast,', royalties are based ,on the measurement of the ;sawn output- : of: the' toiUs,; as'-'against that'of-log measurement: of - 'standing timber in vogue .in the north. To anyone conversant'with the waste and loss in*.the!conversion of.logs to sawn" timber it will readily bo, 'seen what a great advantage the West Coast miller lias over'his northern confrere when their'outputs come into competition in the open market. '•1 Owing .to''the large importations .of Oregon .timber having.closed the.markets to .the West Coast rimvi, the millers there have', in order to keep their mills running, turned their attention to white :'pine, with-which they have flooded the Australian market. -This extra quantity of white, pine,,-together withthe large'/ quantities of cheaply-produced.; Oregon and: Siberian timbers - now-.'imported, -has - so' affected the Australian ' market ■' that, ~the northern -mills-are.unable to ship .their outputs, -and'in consequence closed down earlier, than usual'for, Christmas, and wiiii some the time of restarting'is'uncertain. ' . With the'cry'bf 'the: fast' disappearance of 'the . New'Zealand'timber, supply; the royalty based-on'sawn;output; measurement is manifestly against , the best Interests of the co'u'n-. try'.' A- West; Coast'miller, working on this ; basis, "can. run through' hiss bush; only taking the cream of the logs, and- leaving a -great deal •of millable timber behind. When he gets .the logs to liis mill he does not-have to consider;,the wasto 'in' : sawing, but can slash, up as .much of the logs into slabs as ' suits -his convenience;;by this, means he gets a large proportion:.of wide timber, arid prac- ; tically no olfcuts, the latter' being practically, ; unsaleable, and necessitating; &. large amount ' of, ! handling' are 5 no. advantage .to him,' in fact,, quite- the' reverse.;"' On the other hand, the northern miller must get every-millable ;log-out.of the>bush,,-;and cut out,.every,:po"s-;V : sible foot at .the mill, in, order/to make', his business pay;. ' .' . . ' y. Another advantage. held by the, ..West Coaster. is that simply .by making application lie can have certain- areas. reserved for. : him, -in addition:.to, the. area'held -.for-, working.:. : They can, without trouble,, get. an .extension: of . time for removal, _ and .by ; this mearis : lock up-large .areas of to their advanlage^~ ; jn f.thq,,north,- ; all. ; ;timber.,.ist I put up . for. public, competition, ...and a very ' short' timo 'is allowed v iisr : .' remoVal. : ;If circumstances'provent; the-successful purchaser A or tenderer removing the timber' inthe stipulated, time he runs -the risk of losing it iftliidgethefi ,and is^asked: to: show why * his'righf; should noty-te cancelled. Sometimes, ihe. has to; pay ..a '-rental at . the rate of. 5 per ie'ent. oh' the capital value of the- area,. in order to.;get ;an-'extension;.;, There-are - many ,arglimorits : 'ii;'favouf;of the southern' miller, jbeing piit on.-the s'anie footing-;as those, inthe north, and no doubt , others with, greater knowledge can' advance, them so * that these unfair, anomalies can .be wiped out, and all ,work jUnder.the same conditions.. The, regu-;, lations for the .West: Coast; were made' at 'the; time when 'the -West Coasters'.were spoon-■ fed, at the expense' of Hie rest of New Zealand, and now that;.the country is coming to its senses it is. time : that ..the unfair advantages held the millers, .of .that , por-: jfion of', the Dominion, should .be done,.away •wii.lv •' :-.'•'lf' the 'members' of ; th"o proposed Royal Com'mission'- look at . these questions. from a-.busi-. 'ness -standpoint they: can; come,,to. -only-'onev .conclusion,, and, if they .remedy, these evils, that alone will' jusify their appointment.— I am, etc., '• ' : .' ICAHIKATEA. - January 3.. ■ ' •.-••