TIMBER COMMISSION.

Evening Post, Volume LXXVII, Issue 73, 27 March 1909, Page 6

TIMBER COMMISSION.

SITTING AT INVEROARGILL. £»V TELE&BAPH. — WSESS ASSOOIAHON. J INVERCARGIL, This Day. The Timber Commission sat to-day to take eA'Mence. E. A. Leary, secretary to the Otago and Southland Sawmillers' Association, said the association was formed in 1907, with fifteen members, representing 21 mills, out of a total of 73 mills in the district. One object of the association was to maintain uniform prices. Thero were now eighteen members. Thero wero no penalties for breaches of tho rules of the association. They never asked outside mills to join. There had been resolutions passed limiting the output, which had lately been" cut down one-third or more, the mills boing over- | stocked This had not been done for the ! purpose of raising prices. The association did nob work in concert with tho northern bodies. J Honsley, managing director of the Southland Timber Company, said the cost of production varied according to the nature of tho country. The cosfc would average 8s to 8s 6d, 50 per cent, of that representing wages. The difficulty was that tho life of a bush area was short and depreciation considerable. The average life was six years. With the area allowed the cost of a mill to cut 100,000 feet a month would bo £4000, and tho value of the plant would be £700 after six years' yae Discounts varied. Timber delivered in Invercargill sold at 7s 9cl net. His was rough first-class, the average net selling price being 9s to 9s 6d, including timber of all classes. The great bulk of the timber in the western district was birch, and it was difficult to sell. A duty had been imposed in the Commonwealth. His company had paid fair interest. Tho price of timber in 1907 showed an "" average increase of liinepence per 100 feet, or 10 per cent. Wages rose higher in proportion . as the pvic.e was raised, because in the increase in cost of production wages ( was the main item.. Oregon pine did not affect Southland to any appreciable .extent. The inactivity in the building trade was largely due to tightness in the money market. Millers got a profit of one shilling per 100 feet, which was not sufficient, considering the risk they run. Timber was brought from tho Baltio at the same freight as it wae carried from Bivertoa to Moegiel.