H.—24

Under the present and past regulations the waste of timber in sawmilling operations was very apparent in some of the forests visited. Trees 16 in. and 18 in. diameter were frequently left standing, although, in other forests inspected, trees of 12 in. and even less in diameter were felled and milled, thus doing away with waste. It is desirable that such needless waste should be prevented, and it is therefore suggested that Forest Rangers should be empowered to inspect sawmilling areas with the object of insuring that all milling-timber is cut out by the licensee, and not left standing to be subsequently destroyed by fire. It is "felt that the time has now arrived when stricter regulations should be framed and enforced with regard to the felling and milling of timber on Crown land. (6.) The Estimated Area of Crown Land still available for Sawmilling Purposes but not taken up, showing the Districts in which the Areas are situate and the Total Area in each District. The total area is 4,042,280 acres, and it is set forth in detail in Appendix B, and also on the map attached to the appendix. Although this large amount of forest land is available for sawmilling purposes, it is well to point out that a great part of it is not at the present time in close-enough proximity to existing means of transport to render the utilisation of the timber a profitable undertaking for the sawmiller. In many cases, too, the proportion of milling-timber of good quality and in sufficient quantity is not large enough to induce milling operations on a payable basis. For these and other reasons we desire to represent that it is not in the interests of the public that a sawmiller should be invited to purchase unmarketable timber when tendering at Crown sales, and every effort should be made to conserve the same until a market is available for it. With respect to Oregon Timber. (7.) The Extent to which it is imported, and the Effect of these Importations on the Local Timber and Timber-building Industries. For the period between the Ist day of January, 1907, and the 30th day of April, 1909, a total of 10,332,371 laths and shingles were imported into Auckland, Wellington, Wanganui, Nelson, Christchureh, Timaru, and Dunedin,--30 round logs into Wellington; 4,500 palings into Christchurch; and 21,188,506 sup. ft. of rough sawn timber into Auckland, New Plymouth, Wanganui, Wellington, Napier, Nelson, Hokitika, Christchurch, Timaru, Oamaru, Dunedin, and Invercargill. Full details thereof are given in Appendix C. The sudden and enormous increase in importations of Oregon is shown by the fact that in 1907 only 270,000 sup. ft. came in, whilst in 1908 and the first four months of 1909 a total of about 21,000,000 ft. came into this country. After full consideration of the somewhat diverse opinions and varied evidence given by numerous witnesses who testified on this point, we have come to the conclusion that the effect of the importation of Oregon pine on the timberbuilding industries has been of a beneficial character, and in the interests of the public in meeting the requirements of the building trade, as it has furnished a ready and efficient supply of timber for building purposes of a class which would otherwise have been difficult to obtain in suitable sizes and lengths. Although this has been the case as regards building requirements, yet there appears to be little doubt but that this importation has helped to intensify the recent depression in the sawmilling industry, particularly in certain localities. In view of the large quantity of Oregon timber being used for other purposes than joists and long beams, it is recommended that a duty of three shillings (35.) per hundred (100) superficial feet be imposed on sizes under twelve (12) inches by two (2) inches, or equivalent, in any lengths; other sizes under twentyfive (25) feet in length to remain as at present, subject to a duty of two shillings (25.) per one hundred superficial feet; lengths from twenty-five (25) to thirtvfive (35) feet to be reduced to a duty of one shilling (Is.) nor one hundred (100) superficial feet; and lengths above thirty-five (35) feet to be admitted duty-free. In Appendix J will be found a return of Customs duty received on imports and exports of timber for the past fifteen years.

ii—H. 24.

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