7

H.—8,

V. Revenue derivable from State Forests. Semi-official statements relating to the forest revenue in Germany, circulated in the colony, had the effect of representing the amount of the said revenue as not being above a few shillings per acre, from which a large amount of expenditure had to be deducted. Upon the admitted value of that source of information, it was resolved, in the House of Representatives, a few years ago, that, " judging from the results attained in Germany, the conservation or regeneration of the indigenous forests in this colony would not pay." In. the said statements, the forest revenue, arising from the annual acreage of fellings, has been ascribed to the Avhole forest area, through an erroneous analogy between the productive powers of high timber State forests and those of freehold property : but dissimilarity in the conditions pertaining to each kind of property does not admit of comparison; besides which, the annual acreage being calculated on only a portion of the whole arboreal stock, it cannot be taken as the produce of the whole forest. However, the essential point to be observed is the amount of revenue derivable from State forests, when managed under such principles as are generally adopted in Europe. The item of expenditure involved in the management of those forests also requires consideration. All State forests in Europe have been, and many are still, encumbered with forest rights and servitudes of feudal origin, the commutation of which necessitates expenses generally included in the expenditure of the Forest Department; which, with other causes of expense, such as the preservation of game, the collection of the forest revenue, &c, are in Germany also included in the departmental expenditure. In France, the Forest Department has nothing to do with the preservation of game, nor with financial matters; besides which, all forest rights and servitudes have been redeemed, and the departmental expenditure is thus confined to the salaries of the staff and forest-guards, and does not exceed 5 per cent, of the revenue; Avhilst in Germany, owing to causes just stated, the average forest expenditure in the German States hereafter named is above 30 per cent. On the other hand, as may be observed in the following tables, the gross returns from the annual sales of the standing timber haA'e hitherto been less in France than in Germany, the cause for such a difference being mainly that a systematic treatment of State forests had been adopted in Germany long before it Avas introduced into France, and that, the revolution or age of maturity of forest trees haA*ing been fixed so high as a hundred to two hundred years, according to species, climate, soil, &c, forests in Germany yield at the present time a larger number of trees, arrived at maturity and full dimensions, than those of France, thereby affording larger money returns. Table 11.

Forest Revenue in Europe: Column 1 showing the Total Area of State Forests in each State; Column 2, the Annual Acreage devoted to the Fellings, as the computed Total Surface of the Separate Lots of Ground where Trees have been felled;* Column 3, State Income per Sales of the Standing Timber, as the Exhaustive Product per Column 2; Column 4, Income per acre, per Column 2; Column 5, Amount of the Departmental Expenditure under circumstances special to each State; Column 6, Percentage of Expenditure on Revenue.

Forest Revenue in the Colony (as might be expected two years from date of formation of a special administration, acting under the same principles as adopted in Europe).

* The working of high timber forests by thinnings, being intended to secure the natural regeneration of the forest, prevents at the same time the existence of large open spaces or blanks in the interior of the forest, which would provo fatal to the surrounding standing timber.

1. 2/ 3. _. 5. 6. Percentage of Expenditure. Name op State. Area. Annual Acreage. State Income, Income per Acre, Amount of Expenditure. per Column 2. per Column 2. Bavaria Hanover Acres. 3,000,000 591,000 394,000 6,216,500 2,500,000 Acres. 24,000 4,728 3,152 49,732 20,000 £ 1,261,279 408,200 350,000 2,100,000 1,400,000 £ s. a. 52 11 0 86 G 0 114 6 0 42 4 0 70 0 0 £ 494,287 128,000 101,000 1,100,000 70,000 Per cent. 39 31 29 51 5 Saxony Prussia France

ew Zealand 5,000,000 40,000 1,000,000 25 0 0 See ante.