THE TIMBER INDUSTRY, INCREASED DUTY ON AMERICAN TIMBERS URGED. THE PREMIER'S REPLY.

Evening Post, Volume LXVIII, Issue 97, 21 October 1904, Page 7

THE TIMBER INDUSTRY, INCREASED DUTY ON AMERICAN TIMBERS URGED. THE PREMIER'S REPLY.

A strong deputation, representative of the sawmilUng; and timber industry of all parts of the country excepting the Auckland province, waited upon the Premier yesterday .afternoon, "and brought under his notice the question of the importation of American timbers into New Zealand. Mr. Hall, member for Waipawa-, who introduced the deputation, presented several petitions from' workers in sawmills who urged the Government to impose further protective duties upon Oregon pine and other American timbers, the importation of which threatened to seriously compete with the growth of the timber industry in the colony. Mr. J. J. Patterson (Dannevirke) read a lengthy and comprehensive statement concerning fclie cennpebifcion. He said that within recent weeks two cargoes of Oregon pine, aggregating a million feet, had arrived in Lyttelton from America. The sending of the timber to New Zealand was part of the American system of sending surplus stocks into new markets in order to keep the mills going and to keep up prices at home. The cost of labour was cheaper - and the hours of working longer in America than in New Zealand, and ib would become a serious matter to the industry in New Zealand j if the colony was to become an American dumping ground, Oregon pine took the place of our rimu. The average cost) of labour only in producing rimu was 5s per lOOf fc, and the average railage from country mills to Wellington was 3s; so that for each 1,000,000 ft of American timber imported into Wellington £2500 was lost to the -workers and £1500 to the New Zealand railways. The cost of railage was always on the increase, owing to supplies gradually getting further a-way. Before the opening of the Manawatu Gorge line Wellington practically drew all its rimu from ihe Wairarapa and Mana-Watu lines. At the present time only 40 per cent, was supplied by these lines, the balance being sent from Hawkes Bay and the Mangaweka districts, excepting a small proportion from WesHand. As time goes on the tendency would be to draw in larger proportions from the Mangaweka district, where the average railage to Wellington was 3s 9d per 100 ft. The effecb of competition from America, would be that those mills least advantageously situa-ted would have to close down. These mills were naturally working m difficult country, or cutting isolated patches of bush from settlers' holdings. . The result of these mills closing down would be that the settlers would lose the royalty they were at present receiving from the timber, which would have to be burnt. The object of the deputation was to urge the Government to increase the import duties on American timber by 3s per 100 ft. (The present duly is 2s per 100 ft undressed and 4s dressed.) Mr. Wm. Morris (Greymouth) said he had been informed that Oregon pine teas being landed in Australia at 7s per 100 ft, and there - was urgent need for those in the New Zealand trade to seek to protect themselves. Mr. T. Wallace (Christchurch) pointed, out that the Government would suftW by the American invasion, as the Railway Department derived an average l'evenue of Is per 100 ft from the mills on the West Coasb. The Union Steam Ship Company's trade would also be seriously affected. His firm had been offered Oregon pine at 8s per 100 ft c.i.f. at Lyttelton, which meant 12s 6d in the yards at Christohurch, and rimu could not be placed in the yards* under 13s. Mr. W. A. L. Bailey (Mangaweka) .urged the Premier to deal with the question this session. Mr. E. Hopkins (Manawatu) said that when the present timber duty was fixed, 20 years ago, it meant an impost equal to 40 per cent., but nowadays, owing to the increase of wages, etc., the impost only equalled 20 per cent. It was thought that millers were making big •profits, but as a matter of faqt the proht amounted to about 9d per 100 ft. Mr. A. Quinlaud (Wairarapa) urged the cause of the worker in the industry. Nine-tenths of the value of the products of the mills went to the workers. The small sawmiller was one of the best of colonisers. As to prices, they had not been increased by the sawmiller by more than 9d per 100 ft in the last two years. Mr. B. L. Thomas said the trade should be kept within the Empire, and should not go to an outside nation. The Uniteu States of America sent New Zealand more than they took from the colony. » Mr. Field, M.H.R. for Otaki, presented a petition from sawmill workers in his electorate. . Replying, the Premier said he realised the importance of the question raised and of the timber industry. But it did not seem to him that there was any need for haste. Certainly it was too late this session to deal with the question, for the request meant altering the tariff, and that raised something as impressive as liquor legislation. (Laughter.) It would be interesting to find out whether the two snipments mentioned by Mr. Patterson were in the nature of trial shipments to test the market, or specula- . tion cargoes. (Mr. Wallace : They were speculations.) "Then, ' replied Mr. Seddon, "that gets rid of your 'dumping' theory." If the speculation proved successful, then the American millers might send along further shipments. Therefore, was the time ripe for Parliamentary interference? He did not think so. h.e would like the deputation clearly to understand that legislation on this matter was not to be used as a means of sending up prices in the colony. -"If you keep prices down, then we would keep the duty up; but if you used an increased duty as a means to raise your prices, then we would lower the duty. So we would keep hanging over you the threat of the outsider as a competitor." (Various kinds of smiles were exchanged.) The Premier thought there had either been great profit or great patriotism in the sawmill ing and timber-selling business in the past, and the system of charges prevailing needed enquiring into^ He suggested to the deputation that it should immediately prepare and submit to Parliament a petition setting forth its requests. On receiving that petition, he would move that it oe remitted to the Industries and Commerce Committee of the House. The Committee would call for direct evidence on the timber industry, . and representatives of the deputation could give that evidence. The Crown, as owners of much of the land xipon which limber was being cut, was greatly interested in the question, as to whether it 'was getting fair value for timber rights, and much information of a valuable kind could be gathered before next session. The deputation thanked the Premier for his courtesy.