Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1908-05-29
PAPER AND PULP REPORT.
CONTINUED from Page One.)

presented which might excite suspicion
that such a combination had been made
and was in existence.
| ''Such of the paper manufacturers
as have appeared before the committee
| during its hearing have. strenuously
and completely denied under oath the
| existence Of any combination, agree
fment, or understanding Of any nature
whatever among the paper manufac-
| turers or their selling agents
to regulate. control or advance
| the price of paper the assign
ment of customers, or for ans other
| purpose in restraint of trade
| In the course Of this preliminary re-
port there are discussed the increased
cost OF production. increased cost Of
wood pulp, cost Of ground pulp, hours
Of labor in mills, some increases in
:ne price OF paper Justified Canadian
| competition. expectation from Canada.
removal of the tariff, and the Stevens
| bill Under the sub-llcad Removal Of
the tariff" the report in part says:
| 1.-The question as to the removal OF
| the tariff on print paper and wood
| pulp is Intimately connected with the
| conservation OF the forest resources OF
the United States as we'll as its effect
| upon the paper manufacturing indus
try, and the news aper publishing in
| lustry The committee is not yet pre-
| pared to make recommendation as
| to the permanent policy of the United
| states il regard to the duty on pa
| per and pulp, except that the COM
mittec is firmly Of the opinion that
| the tariff on news print paper and on
wood pulp should not be removed as
| to Paper or pulp coming from any
country or place which prohibits the
| expectation of pulp wood, or which
| levies export duty on paper pulp, or
| pulp wood, or makes any higher
charge in any way upon wood pulp or
pulp wood intended for expectation to
| the United States.
"The evidence taken 50 far would
seem to indicate that the temporary
| suspension or entire removal Of the
present tariff would not have any
great immediate effect, and if the tar
| if is removed at any time it should
| be coupled with the right to free eX-
| pdrtation OF wood pulp from the Ca
! madam forests. The removal Of the
tariff on print paper and wood pulp,
| il followed by an export duty on pulp
wood coming from Canada would
! probably result in q considerable in
crease in the price of print paper and
the early destruction of the pulp
| wood forests i'll the United States.
ut would seem that for the Amer
| lean publisher to he assured Of low
prices for his paper, it is essential to
-...--..-.t--l peli,ci mas ~ l.4v .4-.tCe
| States Any policy that would give
| tie Canadian mills the preferential ad-
vantage over American mills in Oh
tanning the raw material at a lower
price. must inevitably result in the
| di.martling of American paper ma
| chimes and the ultimate dependence OF
| American publishers On Canadian
| mills. Under such conditions, Canada
| could levy export duties on print pa
per that would result in enhanced
| prices without the presence of compe-
titiOn from American paper manufac-
| turcr:,.
Your committee proposes, during
| the summer vacation to continue It's
| Investigations and expects to be able
to present to the House at the next
session OF Congress definite recon-
men1ations. based upon complete in
formation thoroughly considered.
"Tho scare Of last year as to the fu-
ture supply and price of pulp WOOD
and as 10 the ability Of the mills t.
| furnish rows print paper enough t.
| met the demands Of consumption has
subsidized and when new contracts are
| 1A ,IIt,i ln 80
pulp wood to be delivered in 1909 the
| price is likely to be lower than the
| prices now being paid for pulp wood
on contracts made last year. The de-
creased consumption Of paper conse-
quent upon the general business CON
| ditions Of the country. means a les
| sened demand for wood pulp, and we
| believe a consequent return to nor
| mai prices"
The minority report endorses the
Stevens bill in its entirety and rec
ommcnds its passage.
Discussing the issues between the
publishers and the paper manufacture
| sls, the report states that an acute
| situation which might be termed
trade hysteria" was precipitated il
| 1907 in news print paper manufacture
when a group of 1G Wisconsin mills
| known as the Wisconsin Wood PulI
| Association, about $4,000 cords of pulr
! wood in the province of Quebec, Can
| ada, which purchase entailed a trans
| nortatiOn of that material distance
| of 1900 miles. 1T introduced q new
| and unlocked for factor into what was
| more or less q speculative operation, -
| says the report. ut demoralized tho
| wood pulp markets of the United States
as we'll as of Canada, where nearly t.
ooC,o00 cord of pulp wood are bought
| for expert to the United States.
at started paper quotations up
wards until enc paper trade journa
reported that the current prices fol-
news print Darer on July l. 1907
ranged from $50 to So per ton Thi:
advance had been foretold by paper
statesmen and others nearly a veal
| prior to a so-called paper famine
The report points out the fact that
mere than one half Nof the spruce
| wood used in American mills for max.
ing news print paper comes from Can
| ada, and states that at the time the
! Wisconsin purchase of the Quebe,
WOOD caused the trade furry, eth,