WHAKATANE PAPER MILLS LTD.

Nelson Evening Mail, Volume LXX, 26 September 1936, Page 14

WHAKATANE PAPER MILLS LTD.

(To The Editor)

Sir.-—As a regular reader of your paper, will you kindly permit me to give expression to the report set- out by the Hon. M. Fagan, in your issue of Friday last, the 18th inst. ? Being one of the many investors in this company in this district. I think a few facts'should be known relative to this report. The Hon. M. Fagan stated that t,he Government propose: certain things, and sets them out under clauses A to E. Take clause . : '

B. The company, having sufficient capital subscribed to commence operations, withdrew' all unsold shares—a very creditable action: D. The architect'for this company- is recognised as one of the greatest authorities in North America, and I understand he has/one exhaustively into the question of producing paper in this country, and he.is convinced that with.the advantages this country offers, in comparison with’ the existing conditions in the Northern ’ Hemisphere, where over 90 per cent, of paper is made, this company can manufacture paper competitively for this country and export. The only paper at present made in this country is made by a small mill who have to import their 1 pulp (in dry form) nine thousand miles, and yet this mill has been- so successful that they are paying 7 per cent, per annum and their £1 shares have been quoted at £1 10s to £1 14s. The kraft wrapping paper they are making does not meet 20 per cent, of the requirements of this country, I believe. Now, with ’ the Whakatane Paper Mills 1 ,. Ltd., producing their own ' pulpwood riind pulp, and feeding their paper-making machines with this pulp in liquid (slush) form, any business mail can see. the-saving in cost of production on this item' alone, and-the prospects.E. The question of this company’having adequate' supplies of pulpwood is easily answered. The company’s forests of exotic timber have been so planned under the control, of Prof. H. H. Corbin, B.'Sc., etc., who is,recognised as one of the greatest living authorities on exotic forests, and.in whose hands these forests are controlled; that working on an annual cutting cycle, and reestablishing all timber cut, (his company hap sufficient pulpwood for its maximum annual requirements of pulp. Having seen this company’s forests several times .since they were established, I, and others', consider they are second to none in these islands: and comparing them with'some of the State forests, the Land Department of the Government can learn a lesson. What is this department doing;? Are they thinning the hundreds of acres that are, fast becoming a conglomerated mass, that will never grow to commercial timber, which the Government is now so concerned about ? These State forests have been planted with .the people’s money, and they have a right to ask if they are being looked after properly. Are they? Paper is as necessary as food, and there is no substitute; and at present'we are dependent for our supply from overseas. thousands of miles away, and If we can make it here; and we can. any company doing so is securing a valuable asset, to our welfare, besides giving additional employment to hundreds, and thereby keeping money in the country for circulation. The consumption of paper is increasing annually all over the world, arid there is an ever-increas-ing demand for woodpulp, because, apart front’paper, hundreds of otfier things that come into use' in our daily life are made from it, and to-day we are importing these things, and sending money out of the country. I consider it is a privilege to be connected with a pioneer company, such as the Whakatane Paper Mills, Ltd., is, apart from beintr an .7 “INVESTOR” ■ Nelson, 24th September.' -