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had ample stocks at the outbreak of hostilities, but few, even though import licenses were issued, have been successful in maintaining this position. The stocks of wire ropes in particular commenced to give some concern to the Office of the Timber Controller almost twelve months ago, but for some time afterwards assurances were received that adequate supplies would be released from Australia. By the end of 1940, however, the position had deteriorated so badly that urgent recommendations were made for the creation of a national reserve of logging-wire rope, and this is now in process of being created, in addition to allowing the issue of ordinary import licenses. More recent developments indicate that similar action should be taken in reference to saws, corrugated fasteners, and binding-wire, and a national survey of all four items is now being undertaken. 108. The following public notices were issued under the Timber Emergency Regulations 1939 :— (a) Notice regulating the disposal of Oregon or Douglas fir and redwood. This notice was published in the New Zealand Gazette, No. 32, of the 11th April, 1940, page 705, to ensure in the interests of conserving exchange funds that the timbers mentioned were used for essential purposes only. (h) Notice controlling the manufacture and sale of cheese, apple, and pear crates and cases was published in the New Zealand Gazette, No. 70, of the 4th July, 1940, page 1626, for the purpose of assuring economic manufacture and distribution of the containers mentioned. (c) Notice restricting the export of kauri and insignis pine was published in the New Zealand Gazette, No. 74, of the 18th July, 1940, page 1724, to ensure that local demands for these timbers received priority over export. (d) The Charcoal Manufacture and Sale Notice 1940 was published in the Neiv Zealand Gazette of the 10th October, 1940, and provided for the licensing of charcoal manufacture for sale. This was to give control in respect of the quality of charcoal manufactured for sale. (e) The Southland and Otago Cheese-crates Order 1940 was published in the New Zealand Gazette, No. 109, of the 31st October, 1940, and was introduced to stabilize manufacture and distribution of export cheese-crates in Southland and Otago. (/) Notice prohibiting the sale of Westland timber in the Southland and Otago Land Districts was published in the New Zealand Gazette, No. 121, of the 28th November, 1940, page 3501. This was to assure the Southland and Otago sawmillers of a market capable of absorbing their production and at the same time to permit West Coast sawmillers to release the maximum possible quantities of rimu for export. (g) The Southland and Otago Silver Beech Marketing Notice 1940 was published in the New Zealand Gazette of the 19th December, 1940, and provided for the control of the production and marketing of Southland silver-beech timber with the object of developing the local use of the timber as a wartime substitute for imported woods. Section J. —Expoet Butter-box Pool. 109. The Service again co-operated with the New Zealand Dairy Board in the purchase and distribution of export butter-boxes for the North Island export butterbox pool. Before the opening of the season it was estimated that butter-production during the 1940-41 period would show a 5-per-cent. increase above the 1939-40 output, but for the first five months alone 3,135,000 boxes were required, representing an increase of 16 per cent, over the demand for the corresponding period of the 1939-40 season. As reserve stocks of boxes had been used to pack the abnormally high autumn production of the 1939-40 season, it was necessary to work overtime in sawmills and box-factories and to undertake the kiln drying of timber in order to supply factories' needs. The number of export butter-boxes manufactured during the year ended 31st March, 1941, was 5,300,000, compared with 4,600,000 during

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