The Rising Price of Timber.

Progress, Volume XIV, Issue 4, 1 December 1918, Page 386

The Rising Price of Timber.

By W. J. BUTLER,

President Dominion Federated Sawmillers' Association. It is gratifying and instructive when one is able to base calculations upon authentic figures. The opportunity for doing this, in connection with the rising price of timber, is afforded by returns contained in the Board of Trade's Beport, recently presented to both Houses of the General Assembly. In Appendix (F) are shewn the values of the principal exports for the years, 1914 to 1917. The totals are as.under : . .:'.,..- ",..-...».; '•■ ■•••■■.-' .

The following is a sliderule analysis of the above figures:—

Per centage of increase The comparative above 1913 prices in the .increase taking total declared • values that of timber for the four years • at one shilling.

From the above it will be seen that the increase in the value of beef has been nearly thirteen times that of timber. The other commodities range down to tallow; which yet shows an increase equal to over 250 per cent that of timber. The total increase in the value of all items other than timber has been 29.02 per cent; and the proportionate increase of same compared with that of timber at one shilling has been 6/1.02. The Board of Trade report shows the declared values for each year, and the comparative values when assessed at 1913 prices. An analysis of the figures given for ,1917 shows' : that timber recovered somewhat; but it shows a much less increase in price than any of the other items, under; ' " ■ , '.-.

Per centage of increase above 1913 prices in the declared values for the year 1917. .

The comparative increase taking that of timber as one shilling

The total increase, during 1917, of all items other than timber has been 58.44 per cent.; and the proportionate increase of same compared with that of timber at one shilling has been 4/2.92.

On folio 15 of above report it is stated that timberworkers’ wages have increased from 1914 to 1918 by 17.39 per cent., but this, it is stated, refers to the minimum rates. It would certainly be moderate to assume that an average rate of wage would be quite 20 per cent, above 1914 rates. On this basis it appears that timber values ought to have increased 45.25 per cent, more than they did in order to have kept pace with wages.

Taking the increased cost of living (as shown on folio 15 of report) at 34 per cent., as a basis for comparison, it appears that export timber should have increased in value in 1917, over 1913 prices, 146.9 per cent, more than it did.

A factor that does not appear in any such comparisons is the diminished output by the labour employed. This, if taken into account, would certainly necessitate a considerably larger increase in timber prices in order -to keep pace.

Other factors that do not appear in the report, and that are, therefore, outside this analysis, are the proportionately greatly increased prices of commodities other than labour that enter into the production of timber. It is remarkable, in the face of such figures, that timber should be so invariably the point upon which the exporters of the other commodities mentioned above pounce whenever they are out after more scalps.

■ V ' ■ r Values assessed r Values assessed , Declared values at prices ruling • .... ' / in 1913. . / in 1913. £ £ Wool ' 44,267,529 33,653,530 Cheese , 12,757,897 10,176,565 Mutton 9,996,384 . 7,639,022 Butter 9,702,945 8,125,702 Lamb .. • -9,362,182 ■8,111,427 Beef 6,782,127 4,194,584 Phormium ,, 3,413,529 2,523,480 Tallow 2,813,531 2,517,591 Hides and Skins 2,116,087 1,502,728 Timber 1,595,873 - 1,523,086

s d Timber 4.77 1 0.00 Beef ' • • 61.7212 11.28 Hides and Skins 40.82 , 8 6.70 - * Phormium (fibre & tow) . . 35.29 ..■ :i 4.79 Wool • •• 31.54 6 7.35 Mutton 30.86 6 5.63 Cheese 26.36 5 3.80 Butter 19.42 4 0.86 ' Lamb 15.44 3 2.84 . Tallow 11.76 2 5.58

Timber 13.77 s d 1 0.00 d 0.00 Hides and skins 114.2G 8 3.58 3.58 Phormium 104.40 7 6.98 - 6.98 Beef 74.72 .. 5 5.11 5.11 Wool 58.46 4 2.94 2.94 Mutton 57.74 4 2.31 2.31 Cheese 54.06 3 11.11 11.11 Tallow 50.55 3 8.05 8.05 Butter ., 44.20 3 2.51 2.51 Lamb 35.69 2 7.10 7.10