COST OF TIMBER.

Putaruru Press, Volume VII, Issue 311, 24 October 1929, Page 4

COST OF TIMBER.

SAWMILLERS’ STATEMENT. Increase Denied. Recently the Rotorua sub-provincial executive of the New Zealand Farmers’ Union decided to draw the attention of the Government, through Mr. C. H. Clinkard, M.P., to the fact that, despite promises given by the secretary of the Sawmillers’ Association, the recent regrading of timber had resulted in very considerable increases of prices on the whole. Much ordinary building timber had been put into the best class. The freight is not from the nearest mill from which the timber is ordered but is at the option of the combine. All through grades have been altered until price comparison is difficult. There has been a decided rise in price.

When in Putaruru on Saturday Mr. Clinkard sought out a representative of this paper and handed him a letter from the Dominion Federated Sawmillers’ Association. Mr. Clinkard said he was a believer in the two-sides-to-every-story policy, and consequently he had placed the Farmers' Union’s complaint before the sawmillers. Inter alia the sawmillers’ reply stated:—

“ The promise referred to in the letter that prices would not be advanced presumably had reference to the undertaking given to the then Government in 1925 that the prices would not be advanced if a greater measure of customs protection were granted the industry against the growing importations of foreign timber. This undertaking still stood, and the actual price lists then operative were lodged with the Minister of Industries. The undertaking was not to be binding in respect of any increases of production costs which were definitely beyond the control or influence of the miller, such as increases in Government royalties, railway freights, etc. The sawmillers were still prepared to stand by the promise then given, and would not seek to increase prices beyond the 1925 level without first submitting their case for investigation by the Department of Industries. It was difficult to answer the statement that there had been a decided rise in prices owing to the adoption of the new grading system. This cannot be done until the system has been in operation for a considerable period to enable the incidence of demand and consumption of the various grades to be g^pged. The latest price lists disclose that the average prices of timber on trucks at country sawmills were substantially less than when the promise not to raise prices was given. This, notwithstanding that the forests to be worked are ever receding and becoming more difficult to work.

The letter concludes with a reference to the new grading system, which the sawmillers state has the approval of the Government architect, the New Zealand Railway Comptroller of Stores, and the executive of the New Zealand Institute of Architects.