The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1888-10-05
- .nnn,v 81 mauufactured lumber

supply OF manufactured lumber,
cement OF hrst control ~ the eniei
u Il making yearly market values, II be-
efD F1enced only by the probable demand,
S1Ls fte or perspective assert tnat III tne
~ ek-ag OF prices the American iumoermen
I've never been controlled, scarcely infiu-
Ienced In any degree by the compel Ion OF
Canadian pine lumber.
.1he fact that pine trees are not reproduced
enters largely Into the question of the posi-
bility OF the control of timber. The question
how, Ms well rs by whom, are the pine forests
OF the United States owned and oiled - u
factor In determining the future OF trices
and OF the possible advantages to be derived
by the proposed Legislation
1.-The manner In which the United States
government has disposed of It's timbered pos
sessions is well understood, and that fndiyid.
uaf purchasers have come into possession OF
them In fee simple at a liked price per acre;
that having thus obtained absolute control
aud ownership they can aud do manage their
own business affairs In connection thefewith
without let or hindrance from the govern
ment as grantpr, such lands, subsequent 10
purchase by individuals, being subject only to
local and state taxation. The timber thereon
IN cut at will or left standing, as the necessi-
ties or inclinations OF the owners may COM
Turning now 10 tho Canadian timber, we
lind widely different practice. The fore st
possessions are not sold by the governments
which are the owners. The lands in Quebec
are controlled by the provincial government
OF Quebec, while those in Ontario are con-
trolled by the provincial government OF ON,
controls but II limited area IN the Northwest.
The forest possessions are not sold In fee SIM
pie, but are leased for term OF one year. I'M
der certain conditions and regulations. the
modus of doing which Is by public uuction.
Whenever the government NAV deem IL Jadi-
cious or opportune To dispose OF certain areas
of timbered lands IL gives pubic notice OF the
time and place, with u description of the
lands tn be disposed OF, and the privilege 81
leasing is put up for the highest attainabie
| sum, which sum Is To be paid simply as a boz
nus for the privilege of being the lessee OF the
lands offered, under crnditia ms of lease or Ii
cense. which are statutory and, OF course.
well understood by the bidders. The CHIEF
conditions of the lease termed timber IL
cense' are that the lessee shall additional to
/ the first bonus paid, on the LIST day of May
pay into the Grown Land Office a certain sum
/ per square mile $40 acresl, which sum wns
| originally 81; then il WIS advanced to s.. and
| is now fixed at 81. III any trees have been cut
| ON lands covered by the license, such cutting
shall be duly reported under oath and Crown
dues paid there, or according to the tariff
schedule
| Consul Hotchkss next explains that
the arabian authorities reariange the
charges for cutting timber annually on
the LIST of May, and expresses the opin-
ion that the two dollars taken off by the
Mills bill would undoubtedly be added
by Canada to its present stumpage tax
at the first annual announcement oi
rates after the passage OF the bill. He
says:
"There is no dispute that the American
manufacturer controls the making of prices.
| In doing this he is not influenced by the Cana
| dian supply in any degree. If the duty of
| two dollars is removed it will not affect the
| American price, because ii has never been Il
/ factor and will be still unfelt. No lower Price
will prevail in the United States than hereto
| fore, and no different net results will bc ex-
perenced by the manufacturer.
| 1.-THE Canadian, on the contrary, will lay his
| lumber down in the American market at two
| dollars less per thousand, and will obtain for
it the same as the American does, so that the
| net result to the Canadiln manufacturer will
| tc a clear gain of the two dollars which the
| American Government has RENTED. This adj
| ditional net result to the Canadian manufac-
turer will, however be uf very brief duration
| Having shown how the Governments in
| Canada continue their control of the timber
| land and their disposition 10 tax them TO the
utmost, / am confde mt that not a May pay day
will pass before public notice will issue in
| effect that further increase in annual and
timber dues has been made an order in Coun
Gil in sums sufficient To absorb the So per thou
sand into the Provincial Treasuoies."
Mr.. Hotchkiss then presents statistics
clearly show that the Canadian product
could not possibly affect prices i'm the
/ United States, and continues:
sThe figures show that if all the lumber
| sent into the United States from Canada was
placed in the Chicago market it would supply
| but one quarter of the requirements of that
market alone, and but one half of the quantity
handled in either Tonowanda or Buffalo
Regarding the few logs shown to be ex-
ported to the United States, they are of no &C
count whatever, nor do believe tnat, If free
lumber were to fpreyail, any appreciable in
| crease of log exports would be seen, for the
1 logs would, to a large extent, be manufacture
ed into lumber at the place of growth, or APP
proXimately So, as long as the lumber was adj
mitted free. This course presents very many
palpable advantages as against the expense OF
| the transfer of the mill.
"A few mill owners on the shores or adjacent
| to the shores of Lake Huron and Lake Mich.
gan, having exhausted their available timber
| would make a few spasmOdic attempts to i'm
ports ,gs from Canada, but very brief at
tempt to handle logs across the lakes would
develop the superiory of the location nearer
| the timber. In addition to this, by operating
their mills i'm Canada, they would find the Eng
| that the English buyer of pine lumber always
has and undoubtedly will continue to look foi
| his stock.
In a fine irony which must have
amazed the Administration free traders
by it's boldness, Consul HotchkIss thus
concludes:
1.-THE abnormal exports of the year 1884 will
be especially observed, but can not be ex
planned.
This subject is prolific one, and very
many points of interest and commercial value
| could be entered into in connection Herewith
but to do this would occupy more space than
| is allotted to this character of consular re-
ports. Ii, however, from the statements, con
illusions and statistics given, l have in any de
gree assisted toward clearer understanding
of the free lumber problem, the purpose in
view will have been attained"
Thus has the Administration, though
by an exasperating oversight which il
has not been able to remedy, furnished
an official document which utterly de.
molishes the free lumber section of the
Mills bill for the relief of Canada and
England.