BRIGHTER PROSPECTS FOR BUILDING TRADE

Wanganui Chronicle, Volume LXXXIII, Issue 20190, 5 July 1928, Page 6

BRIGHTER PROSPECTS FOR BUILDING TRADE

EARLY REVIVAL OF ACTIVITY FORECASTED

Despite the fact that timber production nas Known t. marked decline in New Zealand in recent years, there are said to be prospects of a revival that should fill the building trade with optimism. The opinion was expressed by a competent authority yesterday that the day is not far distant when a revival will commence.

Timber production, as declared by the railway returns, show a decline in 1926 of 3.1,000,000 feet below the 1925 return; and the 1927 returns show a further decline of 49,000,000 feet below that of 1926. These figures are phenomenal. The total dcline in the two years is 81,000,000 feet, representing 23.50 per cent. Tho falling off is reflected in the Railway Department’s returns, which reveals a combined loss in revenue from the timber traffic of £186,606 alone. In the Otorohanga to Hunterville section, from which district Wanganui draws its supplies, there was a decline in production of approximately 18,000,000 feet last year. There is every indication of a further decline in the present year; although, no doubt, at a very early period there will be one of those building booms which disturb the trade and unduly increase the cost of building, both from a material and labour point of view, as was the case a few years ago. The Wanganui City Council ’s report on building aeitivity in this city, in the last five years, shows a decline in building operations in two years, namely from 1925-26 and 1927-28, of no less a sum of £322,783. Last year alone, permits were issued for buildings valued at £127,148 while in 1925-26 the value was £373,313. In the former case the permits were for .105 buildings and in the latter, for 254 buildings. Cause for Hope 4 ‘lf we take it that there arc 6000 buildings in Wanganui,” said Mr R. J. Jackson, manager of the Sash and Door Co. Ltd., in the course of on interview with a “Chronicle” reporter, “and that the average life of each is 40 years we would then require 150 new buildings every year to maintain the city as it is, disregarding altogether any development and growth. So these figures

clearly point out that the day is not far distant when the whole of the building trade must revive and, with the pressure of abundance of competent labour and cheap materials at the present moment, anyone is fortunate who can avail himself of such a favourable opportunity. ’ ’ Regarding the operations of the tariff, sufficient time had not elapsed to note the effect on New Zealand timI bers as yet, Said Air Jackson. The importations had gone down but that might be largely attributable to the decline in the building trade in general and not to the tariff. No doubt when brighter days arrived the embargo woult in some measure, help to afford relief. Increase in Exports Expected. The year 1925 was the peak year for importations of foreign timber. Then, slightly over 71,000,000 feet were imported, as against 56,000,000 feet last year. This represented a decrease of £294,000 in the values for the respective years. On the other hand one might reasonably expect an increase in the export trade of New Zealand timbers, more especially to Australia, as the duty over there was recently raised from 11 s to 15s per 100 feet on both Pacific and Swedish timbers under the size of 7 inches by 24 inches. As New Zealand timber is free under the reciprocity agreement, there could be no doubt that the reaction would be favourable to the Dominion sawmiller, although one could not expect any considerable improvement for a little time, owing to the excessive importations into Sydney and Melbourne just prior to the alteration of the tariff. In this connection, it probably might be as well to call attention to the New Zealand tariff to which some people objected as being rather high. It was only 5s per hundred feet.