TIMBER AND TARIFF

Dominion, Volume 15, Issue 54, 26 November 1921, Page 9

TIMBER AND TARIFF

PROTEST BY THE SAWMILLERS THE LOCAL INDUSTRY PENALISED Duties on imported timber coming into this country are little different under the new tariff. The general rate on sawn timber stands unchanged at 2s. per hundred feet. According to Messrs. W. J. Butler and A. Seed (respectively president and secretary of the Dominion federated Sawmillers’ Association), who made a. statment on the subject last evening, sawmillers throughout tho Dominion regard the proposed duties as absolutely inadequate to protect the local timber industry, or to safeguard' the public against the ultimate bad effects of the dumping of foreign timber. The attitude of thoso engaged in the industry towards the tariff proposals is indicated in. the following telegram from Main Trunk sawmillers which was forwarded yesterday by the federation to the Prime Minister and Minister of Cus, toms: — "Marton, November 25, 1921. "At a meeting of Main Trunk sawmillers held here to-day, the following resolution was passed:—'That this meeting of sawmillers protest against the policy of Government in not increasing duties on imported timbers. They respectfully urge upon the Government the advisability of an increase ' in timber duties for the following reasons:— " ’(1) The railage to Auckland and Wellington from Ohakune has been increased by the Government tenpence per hundred feet, as compared with the prewar charge; consequently sawmillers are labouring under an increased handicap of tenpence per hundred feet when competing with imported timbers. They realise the necessity for the Government to increase the railage, but consider that in face of these charges tho duty should be increased for the maintenance of railway revenue and to enable the millers. to pny increased charges and compete with the foreign timbers. “ ‘(2) Government royalties on the Main Trunk lino have increased 2s. per hundred feet, log measure, compared with the pre-war royalties, and they consider that the present royalties cannot be maintained by the Government unless duties on imported timbers are substantially increased’. "‘(3) Failure to grant adequate protection to the industry will eventually mean that their low grade timber will be left in the bush. They consider that the Government is inconsistent in establishing a Forestry Department for the conservation and better utilisation of Now Zealand timbers, particularly the tow grades, when at tho same time the tariff proposals’‘are such as will prevent the policy of conservation and better utilisation being carried into effect. ** 74) In conclusion, they would point out that the present Government royalties on Main Trunk are equal to 4s. on sawn measure, which, together with the railage of 4s. Bd. to W’ellington, makes the total direct Government revenue from Now Zealand’ timbers Bs. Bd. per hundred, as. against the proposed 2s. on foreign timbers.’ ” The federation officials particularly emphasised the point that if the lower grades of local timber were displaced by importations, timber of better quality would of necessity be cut and marketed ot greatly increased cost. In these conditions a considerable part of each . tree felled would have to be left to rot in the bush arid, apart from the immediate waste thus occasioned, the whole cost of . working would have to be recovered in tho price of the better classes of timber. It would be much the same thing. Mr. Butler observed, as if only tho prime cuts of slaughtered cattle, were marketed and all the' rest of the meat wero thrown away. On an average, the flawmilling representatives added, the Government collected in railway chargee, royalties, and under other heads, a revenue of about six shillings per hundred feet on all .New Zealand timber cut and marketed, and from this standpoint alone, they contended, a duty of corresponding amount on imported timber ought to be justified. Australia, they remarked, treats this country as unfairly in the matter of timber duties as in regard to duties on other commodities. While Australian sawn timber entering the Dominion pays a duty of only two shillings per hundred feet, New Zealand timber imported into Australia pays a duty of six shillings per 'hundred feet. Box-making timber in largo sizes is the only item which escapes this heavy duty. Apart, from the absence of reciprocity, Mr. Butler remarked, the disparity in Australian and New Zealand timber duties in effect offered a premium of four ..shillings a hundred feet upon tho dumping of such foreign timbers as low-grad* Oregon in this country instead of in tho Commonwealth. . Sawmillers, the federation officials stated, did not wish to see 'heavy duties imposed on classes of timber which are necessarily imported, such as long lengths of Oregon and Australian hardwoods. but they considered that reciprocal treatment ‘ought to bo demanded from Australia, and that increased duties ouriit to bo imposed on low-grade foreign timbers as much in the ultimate interests of the public as for the protection of the local timber industry. WEST COAST CLAIMS SPECIAL CONSIDERATION DESERVED. Bv Te.er’nrli—Press Association. Groymouth, November 25. A meeting of local bodies unanimously supported the appeal of the sawmilling industry that additional protection was of paramount local importance. It was claimed that the timber trade, deserves special consideration, because it is essentially a workers’ industry, providing nirioteen per cent, of total wages paid in all industries, though the capital involved is only seven per cent, oftlio total capital of all industries. ThrYfillacy that importations conserve supplies 'and reduce prices was refuted, and it was demonstrated that the reverse would take place, native timbers being left to rot and their incomplete utilisation involving higher prices for clean R rad «s> and disastrous results to the Forestry Department. Sawmillers were making no claim for the exclusion of hardwoods or other timbers they cannot produce.