THE SLUMP IN SAWMILLING.

Dominion, Volume 2, Issue 407, 16 January 1909, Page 5

THE SLUMP IN SAWMILLING.

ON THE MAIN TRUNK LINE. (FHOU OUB TEiVELUNO COEUESPONDENT.) There seems to be a; likelihood that"the setback which- has been jjiven to; the saw 1 - liiilling industry will soriously affect the progress of settlement on tho Main Trunk' lino. Tho, trouble appears to. be- one which should be grappled with' immediately. Laiid prices 111 all parts of the district, extending from Mataroa to ■ Taumarunui. have -been based, in a large measure, _on the fillip which .the opening up of .the Main Trunk line .was to give to the timber business. The point in this connection iq that it is not '.the

speculators who .will be wholly losing their money, but' tenants, and, later, purchasers, who have in many instances invested al. , their savings in their now properties. It is, of course, generally understood that the sawmilling industry must flourish, but the manner, in Which it' is being retarded now is most' regrettable, and, if continued much longer, must have a prejudicial effect on trade and development not only, in tho middle but in tho Auckland and Wellington divisions of tho Island. Mills are. not being erected in the now dsitricts nearly so quickly:, as was imagined.; Some have closed down, and hugo stocks of timber aro to bo seen 1 everywhere"along, the' lino. "' In the" Taihape district' tho trouble appears :. to . hafe - been *" intensified 1 : by the' railway .-' freight tariff under which timber .on l certain portions of the Main Trunk lino suffers considerably through the apparent anomalies .of ; the tariff.* , Tho difference' between'the'concession / allowed "ori the Main Trunk line in the ;Taihape area and that of Dunedin, for. instance, is 9d. : per 100 feet: between tho Taihape area and Auckland 6a. per 100 feet; and between-'.Taihape and near Wellington 4d. per 100 . feet. It is said that tho Main • Trunk line timber area, is hampered with a • . restriction .which is. affecting v its powers_ to' compete' against tho trade in' other portions •of. New Zealand..', In this; sense not only . the Taihape arid Main. Trunk line district '< : suffers, kit also • Wellington, .which': is : the' . distributing, metropolitan: centre. , , . Travellers.'throughout-the : district.. note that trade generally' is' hot; nearly':what it ;. might be if ;the _.timber trade. Twcre' in a Nourishing condition;• .This .slackness' .may" he attributed '.in: a ifieasure to .tho financial: , stringency, but the sawmillers contend that i .in those: circumstances "there *is aft the more. :, .reason for the tariff 'to; be placed upon an i equitable basis. Tho falling-oil: ..in the timber , ■ trade, is endenced'by .the''fact.'.that whereap. i -Ithe-.average. output" of Cth.o'. Ehiigitikei 'Co ": ■ operative "Sawmilling Company is -1,000,000 i feet per month,; thevoutput :in;.December was -. 1,500,000' feet) a' decrease;'of 2,500,000 feet. . • A prominent sawmiller on,'-"the Main Trunk - .line informed a Dominion representativethat . ' when ' the; rriitlers waited - upon. Sir': Joseph 5 Ward some timo ago they had ! understood . .that a temporary, concession .would be. made . Vto tide:, them' over:their difficulties)-'.hut' ap-.-'i parently Sir Joseph had not thought tho - matter .worthy of. further attention. If ho y. had. thought about, the. matter'., the trouble f had been intensified, because" he' apparently e had taken no. action.

. The "'appointment ; of a. Royal Commission . Was , 110 don'bt a' sensible precaution to get to the bottom |of tlio. difficulty, ; but Alio, whole, business might bo dead before' ■: tho! commission got .to work. . The trouble .was acute I ,' so"; acut'e," in . fact, that tlio; sawmillera ■ intended to again ■'send downa 'deputation -to" Wellington to interview tho:Minister for .Railways, in thehope , ilia t._tho existing; ■ anomalies of ; the; railway; .tariff!'could. Tie re-' moved.. If .this-were done, said tho miller, the. sawinilling trade on the Main Trunk line bould be reasonably, cxpectcd to pay : ;a tremendous contribution-'.''to.- til©. < cos£ '"of --Tth# great undertaking,.and then,:"with. tlio clear.' ahcri ofth e : , forest, fiirthcy.. development 'o; the. 'country ;on : farming lines', would ■ follow If nothing- were 'done, then ;the. liush : woulcV be locked Up in a great measure, tlio railway would bp'i'unning .through uhproductivp 'srea.'-, I. and. hundreds of peoplo' who'. were settling i on the' Main Trunk lino would 'be irretnevv ably ruined.