£300,000,000 MARKET POTENTIAL FOR N.Z. TIMBER IN AUSTRALIA

Gisborne Herald, Volume LXXVI, Issue 23020, 10 August 1949, Page 3

£300,000,000 MARKET POTENTIAL FOR N.Z. TIMBER IN AUSTRALIA

PARLIAMENT IN SESSION

(P.r.) WELLINGTON’. Aug. 30. A potential market of at least £300.000,000 a year existed in Australia for timber, and New Zealand should do the most it could to get its share of that market, said the Commissioner of State Forests, Air. C. F. Skinner, when replying to the second reading debate on 1 ho Forests Bill in the House of Representatives yesterday.

Mr. Skinner admitted in response —* to Opposition interjections that the additional freight rate across the Tasman was causing “quite a lot of trouble” and was certainly not making things easier for the New Zealand industry.

Timber production in New Zealand should be maintained and extended so as to provide all the exportable timber possible'to Australia, he said. Every effort should be made to encourage millers who were producing highqualitv timber and fine-sawn timber in order to meet competition in Australia from other parts of the world. Lower Infernal Costs Mr. C. M. Bowden (Oppos. Karori): We will have to reduce our internal costs. “Some of the sawmills today are able to meet those costs but others cannot,” said the Minister. "The efficient units can but that is something entirely up to them.” Mr. F. W. Doidgc (Oppos. Tnuranga) informed the House that there hau oeea newspaper reports in Sydney that negotiations were proceeding for tht purchase by the Government of an area owned bv New Zealand Forest Products, the price mentioned being 5/- per tree, but he noticed that this report had not been reproduced by any New Zealand newspaper, which suggested that its authenticity was suspect. “I think that it is just an attempt by someone who wants to raise the price of their shares.” replied Mr. Skinner. It had never been discussed by himself or the Government with the directors of Forest Products. “Too Fantastic For Words” Another suggestion from Australia that the State intended to take over the holdings of New Zealand Forest Products, Limited, was described by the Minister as too fantastic for words. He said the directors of Forest Products had gone ahead with their nlans and they were going a very fine job. There was nothing in the taking over idea at all. “We are negotiating with the owners of land in and around Murupara for additional land for the proposed site.” said the Minister. Preliminary plans were being finalised now for establishment of a railway and other works in connection with the State pulp and paper mill project. The bill passed its second reading stage and on the suggestion of the Leader of the Opposition. Mr. S. G. Holland, was referred to the Lands Committee.