TIMBER INDUSTRY

Hokitika Guardian, 7 April 1927, Page 1

TIMBER INDUSTRY

DEPUTATION TO GOYEENAIE-NT

'By Telegraph.—Special to Gcatipian)

\YELLIXGT'DX, .April ft

The state ol the timber industry was to-day described as chaotic, and the necessity for immediate protective action on the part of the Government was urged upon the Prime .Minister, Hon. Oowuie Stewart. Hon. AlcLeoil and Hon. Williams by a big deputation from the West Coast.

There were twenty speakers and the hearing occupied two and a half hours. During the speeches it was pointed out that if something were not done b.v the State very soon, things would become extremely serious from the point ol view of the West Coast.

King Country interests were also present and advanced their views. The Prime Minister assured the deputation that he would do his best to carry out the intention of the Government to have Xew Zealand considered before giving consideration in outsiders.

Mr T. E. V. Seddoti (.Member for Westland) sail! the deputation represented timber workers from till parts

of the Dominion. The industry employed 10.(1ST men and the wages paid aggregate to £2.”8(1.1 )()() per year. They asked that a bigger protective duty should he placed upon importations from oversea. He considered foreign timber the deadly enemy of Xew Zealand Limber producer. Royalties m Westland district averaged from Las

to :5s Oil per Kit) feet and wages from UJs to 18s. Last year's importations had not been so great in comparison, because of the slackening oil' in hardwood poles, hut a comparison with 1903 showed that 192(5 figures reveal an increase ol 'XL.i per cent in quantity and 100 per cent in value. The mills closing had, caused unemployment and a lower output. One group of eighteen mills on the Coast laid closed down six. while tlie remaining twelve were working upon a restricted output, 111 some eases only TO per cent of the normal output was being

sec it ret I. while great stocks of timber were lying at Lite mills and had to he stacked in order to be preserved. Another group of nineteen mills had reduced men from 020 to 2<>7, ami in still another case where there were fourteen mills, usually having work for 251} men. there were now only o'-’. The loss in wages to the district through this was estimated tit. li\e thou.-nmi pounds. •■I have alroadv taken up the altitude." said Ihe Leader of the Opposition (Mr 11. K. Holland) ‘'That where there is an industry that is natural to the country, that industry should he conserved. The timber industry ionc of the largest in Xew Zealand. Something over 10,000 limber workers are concerned nnd p rot tv wo 11 2CKX) will bo found to bo unomployod at the present time. r fejliovc is about a million of money going out of the Dominion everv year for imported timber, money that ought to he circulated in Xew Zealand. There is no question that some of the hardwood timbers must he imported, hilt the position is that Oregon pine. Japanese oak and hemlock arc taking the place ol Xev. /calami timber. Japanese- oak. ii has been sititl resists the borer, hut I have it- front people who arc working Japanese oak ami Now Zealand timbers that Japanese oak does not resist the borer. Surely it is far better to have the niotiev spent in New Zealand than scut in could t'ies where the trade balance 1-. hopelessly against tt-.. On the question of freight, charges Mr Holland drew attention to the lact that ship loads of timber could be brought Iroiu America and Sweden at a chcapci rate than it could he transported from the West: Coast to the Metropolis. Me urged the Government, to take some action next session to place the industry on tt. better footing. Mr \Y. H. I.’amtt (Mayor of Greymouth) stiid the business people were affected by the falling oil' in output and consequent tightening of the local money market. Mr I'arlitt emit iiiued to quote ligliros showing the manner in which trade in timber through the port had gone down during recent months. This affected the purchasing pow er of the people aml was had lor business as a whole in the Low 11. Hon. J. G. Coates—Have you got the import figures as well as export.

Mr I’arlitt—Oh no. there is no timber, or very little coming into the port. 1 hope not. because ii would not he welcomed.

A member of tin* deputation ---There would bo war.

Mr Holland They would probably do to it whiil was (lotto to tea it! Boston Harbour.

lion. .1. G. Coates—Oh. we do not wain any more Boston tea parties. Mr I). M. I’oherstou (Progress League) said the reduction in turnover in business in Gre.vmottlh was estimated at 12 pel' cent. This he considered. was due entirely to the had stale of the timber industry. Drastic action by the Government was necessary to enable the Coast to take its part in the producing units ol the country.

Mr Ridiiinl Wilil (representing Hokitika ami district) said mill workers spout a greater amount of money in the town than did dairy lac-lory employees, and tlieroiore it followed that a slump in timber was more serious than a slump in dairy produce so far as Westland was concerned.

The point of view of Kumara was advanced by Mr A. B. Spiers (Mayor) who said tliat of eight mills in Iris district. only one was working lull time at present. The timber industry provided the life blood of the place and at present there was a doubt as to what was going to happen to tlm township of Kumara. Mr I try a ut ( Muller Progress League) said although liuller was not, so greatly affected as Westland, the closing clown of many of the mills was being fell in all departments of commercial activity, 'the waterside and Railways were feeling it more than others. It was just, a question, through fires and ill,pul-led pests whether NViv /valued virgin forests should be kept in a stale of preservation. .Air X. K. Turnbull (Timber Protection League) deplored the tact that farmers were willing to buy imported timber for butter boxes, simply because it was just a little cheaper than our own wood. The Mayor of Kaonlii said the time had arrived for desperate action amt it was now a question as to whether we should consider our own people or those in United States. Air F Turlev (Timber Workers Setretarv) said if some immediate action were' not taken to protect the indus-t,-v there would lie four thousand men from this industry out of work on the West Coast, At the present time then, were live or seven thousand less men employed in this line than twehe months ago. Three or live thousand further south and fifteen hunched in the King Country less than eighteen months ago. The result ot the toernmeiit’s policy instituted neatly to veal's ‘mo was that the exports would grow less and less till it became ml and Xew Zealand would have no maiket at all As a matter of fact the tmibei interests in the dominion had already lost their market in Australia, and it would take a great white to get it hack if it ever recovered. Aon mu. have' a. free market if you are going to do any good. Lion. J. G. Coates—Do you there should be no restriction on esP \fr Turley—l say that if the imports are to be free and they are neaiIv so because the 2s really amounts to verv little, the exports should be equally free, or there will be kitchen, all over the country this winter. Something will have to he done within tinnest week or two. Other speakers advanced the views of the deputation, some of them merely

reiterating the views expressed by those advancing the initial requests. Mr Smith, ALP.. from King Country described the conditions in the industry as chaotic, and said it was for the Government to decide whether the timber industry in Xew Zealand was to he strangled and allowed to go out altogether, or kept going. Details ol the matter did not affect the position much. They were not asking the Government to create a market for the timber. They simply asked thorn to conserve for the people the trade ol the Dominion.

Tfon. Dow 1 tie Stewart —It is the same thing. Mr Smith—lt is not. I am surprised yon should say so. Hon .T. G. Coates—Do you ask F Xew Zealand productions should ho used for Xew Zealand. Mr Smith—That is s*>.

The Minister of Customs (Mon. Downie Stewart) stud the speaker* had mentioned that the seriousness of the position should he realised by the Tariff Commission. It would he improper for hint to anticipate till* recommendations of the Commission, whether they were accepted or departed from by the Government. Concerning the proposal that the Government should take immediate aH ion in connection with the timber industry, the Minister said he wo.-tld not be justified in expressing an opinion on that- matter. since it was one for decision by Cabinet. If the matter were so critical that immediate action was necessary. overwhelming evidence to that effect would have To he obtained, so overwhelming that it amounted to a national crisis. It was to be noted, however, that when the question was raised in the House last session, the same line of argument as had been put forward that day had been advanced by Mr Smith, that, the industry was in a state of chaos and that: unless immediate action were taken disaster would result. .Mr Smith interposed tjiat subsequent events had borne out his statements. Continuing, the Minister said he had placed the question before Parliament anil the Industries and Commerce Committee of the House. The latter was not prepared to regard it as being so critical as to recommend immediate action, without a thorough investigation. In his judgment, the sawmilling industry could not lie said to hare hitherto reached a stage where it would be wise for the Government, to anticipate the will of Parliament. The Minister said the moment a prohibitive duty was imposed they wore faced with the consequences of the regulation ol prices. AVhat the Government had to discern between were the difficulties which arose temporarily and those which would inlliet permanent injury on an industry. To alter a larill and make it higher to meet a temporary difficulty, meant placing a permanent burden on the consumer, and that was not necessary.

Quoting from officially supplied figures, the Minister of Industries and Commerce (TTou A. I). AfcLead) stated lit at the number of men employed in actual milling operations was 7(500. Was he to understand the statement that 2500 workers would he unemployed as the result of the importation of ■10.000.0(10 feet of timber out of a total prod net ion inoliuling importation, of T 00,000,000 feel. The figures showed that in West land Province there were forty-live mills in 1923. In IP-7 there were eighty mills. Relerring to exportations front the Dominion the Minister said that no permits except for kauri had boon refused during the last three or four years, and nnylmdv making contracts would olitaiu permits.

The Prime Minister expressed the opinion that, few disagreed with the idea that Xew Zealand produced goods should he used in the Dominion and as long as the competitive element remained that policy as far as possible should ho fostered. The Government was more concerned about the people of Xew Zealand than about outsiders. A question of policy concerning forestry in Xew Zealand had Loot raised, and in the speakers view, the weight of opinion expressed by the deputation went out of direction by suggesting that the country should not look to the future in regard to its native lorests. Voices--No! No!

The Prime Minister said he understood the statement was made that the existing virgin forests should hi* cut out on account, of fires and general deterioration. A voice—They can’t be preserved for ever.

The Prime Minister said it was not proposed to preserve the forest country for ever, except for scenic purposes. The Government had in view to estimate the capacity of the forests in Xew- Zealand. It was hoped to cventuallv arrive tit a. period when importations of New Zealand producers would he met. Ho thought oversea timber should be allowed to come in. so that the country could plant, sttfhrient to meet its own requirements, in the interest of the country, millers and workers. It wits wise lor any Goiormnent to spread industry over as long a period as possible, to provide permanency of employment, and not to cut: out all the forests nnmed.atel} and use the resources during our own generation. Me promised to give the representations the most serious consideration.