N.Z. TIMBER SLUMP.

Grey River Argus, 23 July 1926, Page 5

N.Z. TIMBER SLUMP.

LARGER DUTY ASKED By Big Deputation. MINISTERS WILL TRY TO HELP. (Special to “Argus.”) WELLINGTON, July 22. The serious state of the sawmilling industry in New Zealand was stressed to-day when a deputation comprising representatives of the New Zealand Sawmillers ’ Federation, accompanied by over twenty members of Parliament, waited on the Minister of Customs (the Hon. W. Downie Stewart) and the Commissioner of State Forests (the Hon. O. J. Hawken), to urge that the Government should assist the industry, which was stated to be in a languishing condition. A PROMISE DISCOUNTED. It was stated that tho sawmillers were prepared to guarantee that tho price of timber would not be increased through the customs duty being raised against importations. Mr Downie Stewart, however, replied that such a representation was of no value because the Government had no means of checking mill costs. Both Mr Stewart and Mr Hawken stated that the public would not stand high priced local timber as a result oi unreasonable customs duties. THE UNEMPLOYMENT. The serious state of the industry was placed before the Ministers by Messrs W. S. Glen, H. E. Holland, A. Hamilton, F. F. Hockly, T. E. Y. Seddon, and R. W. Smith, M.P.’s. They quoted figures to show the plight in which the industry was placed at present, and pointed out that the depression caused 'through the importations of timber was causing much unemployment. Mr W. J. Butler. President of the Sawmillers’ Federation, supported the request. He stated that the Fedora-I tion would guarantee that there should be no increase in the price of timber if protection was given against importations.

, The Minister of Customs, in replying, said he recognised the A’ery serious nature of the problem faced by the industry, and this had been known to the .Customs and Industries Departments for many months. In considering the question of duty, it should bo remembered that it was only when they were about to impose a duty that the opposition to such began to rcve:u itselfHo had seen eases before, where most careful inquiries seemed to show that Ithere would be no opposition to a duty, but as soon as a duty was proposed in the House, protests were received lie was perfectly certain that would be tli'ease in this instance. THE IMPORTERS. Quoting statistics of the importation of dressed timber, Mr Stewart said that an increase of four and a quarter million superficial feet for the first six months of this year, as compared with the corresponding period of last year, was largely made up by the. importation of over three million feet bj the British Imperial Oil Coy. tor the manufacture of petrol cases at Miramar. That company, while importing, Jiad stated that in future it Would try to avail itself of New Zealand timber. The Minister quoted a number of other figures in connection with the importations, and said that when the duties were taken off cedar, oak, and ash, it was never anticipated that those timbers would be used for building purposes. There was a difficulty there, and it would have to be faced. It haa been stated that if the duties were increased, guarantees would be forthcoming that no increase would be made in the price of timber. That was n representation that was made almost every time the Government was asked to increase a duty, but it was praeti eallv of no value, because there was no means of cheeking every mill and supervising its daily output. HOUSING ASPECT. In reference to a suggestion by Mr Hockly that the Government should insist on only New Zealand timber being used in the erection of houses on which Government money had been advanced, the Minister said he thought it would be found that there would be a con sidcrable outcry on the part of those to whom every shilling was of importance in getting a cheap house, if there was a real margin of difference between tue price of imported and local timber. 1 DUMPING DENIED.

On the subject of dumping, Mr Stewart said the New Zealand agent in America had been watching the position very closely, and had reported that there was no dumping on the part of America. In fact, the position ot tho American timber industry was sum that it was likely that, before long, the American mills would either have to curtail the output, or put up the prices. It might bo that some relief would come from that direction. Some verv elaborate schemes, the Minister added, had been put in connection with increasing the aur • P 8 of timber, and it had been found that some of them would involve inmeases as high as 90 per cent. Ho w satisfied that the public wouldno increase would have to be reasonable The sawmills were Mini iu excessive, the timber be running at a loss, out i nn/ ive're ZelcmSng “JI on, if tho sawnnller was not t g anything out of , 1L , wa<i taking the Minister of Industries and . Dm inquiry would be public or not but 2 n wcre large interests mvolved besides those of' the sawmillers. H^llo^T I ?'Hawken)' expressed the (the Hon O. J dary i n , lus tnes view that, the thv o{ the Govshould have the D (bat the ernment. It 'end verv con housing position had . - . siderably in the last (bat years, and that meant, ~ f less timber would 8 wanted bu;1(1 - inK purposes• pvf , rv way timb-r would on ■ ]owpf . t pos . possible, to get ur^cney of the houssible price. Th ■ 'made for high i„g problem, “ n mc t to a prices of tirab ";e’ii The sawmfllers considerable t , f f wprP must recognise that ra np to keep their b ) have to thought the indus . house in orlook to itself, al ! d ’ , t t rv lt was overmander. When on industry n a . fp , - 1 ’ » was over-coinpetition in New Zealand,

that the local mills could supply all the timber required. At the same■ m that did not get the rnffi-stiy out the necessity of putting its home in order. The public would not stanid much extra in the price of New Zen land timber as compared with imported timber. They could not. put on prohibitive duties on that account The Government, however, would look into the matter very carefully and. 'help. , - z ‘