COST OF TIMBER

Hokitika Guardian, 10 August 1926, Page 4

COST OF TIMBER

FARMERS DfSSATISFIE D WITH PRICES. Tlio price of timber occupied the attention of the New .Zealand Farmers’ Union/ at the Dominion conference on Friday. The folloujng remit was submitted from the combined conference: “That owing to the shortage and high price of timber, the Government be urged to remove the import duty on All timber, and that the railway freights on imported timber ho brought into line with New Zealand timber rates.” Mr A. Seed, secretary cf the New Zealand Sawmffilcrs’ Federation, said that the duty pn timber was hound tip .in the question of freetradc- v. protection. The sawmillers of New Zealand did not wish a duty placed on Australian timbers : they wished for absolute freetradc between ' Australia and New Zealand. At present most of the timber imported into the Dominion nine from America .and Canada. The freight on timber from Pacific ports was about 5s 9d, and as ,low as 4s. All. the quotations were c.i.f., and it was difficult to know what prices the American millers were charging. The New Zealand prices fur bulk timber, which was mainly 0.8. rimn, were governed by output on the West Coast. The average price was about 10s Od. which was below cost, of production. If anyone could tell the West Coast millers how they could reduce costs, they would be very grateful.

Captain F. Colebeek: T. will tell you for nothing, sir. Mr Seed: Then I will be very pleased to hand the information on to the West 'Const millers. Mr «T. MeCort (Albui’y) said that the Now Zealand .towmillers had recently raised the wages of all their employees, and now came along and asked the Government to put a heavy duty on imported timbers, in order that the increased cost might he handed on to the consumer. Mr W. B. Mathcson (Eketahuna) 'asked if it would not help the sawmillers if they were: to reduce their prices, and thus help bv getting rid of all their timber, to which Mr Seed replied that many of the sawmilling companies were on the verge of bankruptcy; he knew of three who had gone out altogether.

Mr A. E- Robinson (Auckland), in moving the remit, said that one of the troubles was that New Zealand forests were milled over four and five times. From 1919 to 1920 the output of timber in New Zealand had gone tip from £3,000,000 to £5,009,000. They had to consider how the;/ assisted the sawmiller.

Captain F. Colebeek (Morrinsville) seconded the remit, remarking that the sawmillers were suffering from the same trouble ns the farmer—too high costs of production. The Government had recently spent £20,000,000 in bousing, and the sawmillers had been able to get such prices for their timber that they would not bother with formers orders. The sawmillers would have to put their house in order by reducing costs of production. Mr IT. G. Carter (Westlaiul) declared that limber was neither scarce nor dear on the West Coast. If the buildin£C by-lnivN in the Xortli Island were altered, it would assist the timber industry greatly. Ho 'moved as an •amendment that tlie remit he referred to tlio Dominion Executive for further investigation.

Captain H. AT. Bush worth (Auckland) said that if Mr Seed could show the farmers how they could assist the sawmillers without tightening the noose which was around their necks, they would bo with him heart and soul.

On being put to the vote the amendment was carried bv 2-J votes to 21.

THE TIMBER. INDUSTRY. A SHEAF OF PETITIONS. The House of Representatives wtis on Tuesday inundated with petitions presented from all parts of the North Island on behalf of timber workers, who claimed the imposition of a reasonable and more . adequate Customs protection against the importation of nil timbers, which principally competed with the product of the Dominion mills.. Half the House, from the Prime Minister downwards, handed in petitions, the signatories to which

totalled in all over 3000. Petitioners maintained that the sawmilling industry was in a sorely depressed state as the result of competition from heavy importations of softwoods and other timbers, prineipiliy from foreign countries, where they were produced by alien labour, mostly employed at low wages. It was further contended that the recent increase in the, railway timber freights had contributed materially towards the present situation, and by rtfison cf the existing depression many of the 10,000 adult workers, which the industry normally absorbed, could he employed only half time, while others had necessarily been discharged. In view of the importation figures, grave fears were entertained that- still mure mills would he obliged to close down.