Kingsbury County independent. (DeSmet, Kingsbury County, S.D.) 1894-1929, 1911-02-24
STANDING timber
MONOPOLY SHOWN
IN PUBLIC REPORT
Corporation Commissioner In
Great Detail, Exhibits Evil
Effects of the Present
Policies.

Washington, Feb. 15.-Concentration
OF the standing timber in a very few
hands, vast speculative holdings FAR
in advance of any use thereof n an
increase of value in this
diminishing natural with
great profits to it's owners and inciden-
tally IAN equally sinister monopoly"
and a closely connected railroad DOM
~ination, are the findings reported to
the president by Herbert Knox Smith,.
commissioner of corporations, in the
first instaiiment OF his long awaited
report on the lumber industry of the
United States.
The report was made public today by
the president sending it to congress.
The report is effectively summarized
in the commissioners letter of submit
tai. His conclusion, in a forecast Of
the future, partakes of the sensational.
Due to Public Policy.
q There are many great combinations
In other Industries" says the commits
sioner, whose formation is complete.
In the lumber industry, on the other
hand, the bureau now finds now in the
making a combination caused, funda-
mentally, by a long standing public
policy. The concentration already
existing is sufficiently impressive. In
the last 20 years concentration has
progressed 81 that 195 holders, many
inter-related, but have practically one
half of the privately owned timber i'm
the investigated area (Which contains
so per cent of the whole). This for
midable process certainly involves
grave future possibilities OF inn
pregnable mcnopolistic conditions.
whose far reaching consequences 1t Is
difficult to anticipate fully or to over
estimate"
The commissioner reserves for later
report the subject Of combination In
the manufacture or sale of lumber (as
distinguished from ownership of stand
Ing timber).
The foremost facts shown by Mr..
Smith are:
y. The concentration of dominating
control of our standing timber in a
comparatively few enormous holdings,
steadily tending toward a central con-
troll of the lumber industry.
20. Vast speculative purchase n
holding OF timber lane for advance of
any use thereof.
"3. An enormous increase in the
value of this diminishing natural re-
source, with great profits to it's owners
This value, by the very nature of
standing timber. the holder neither
created nor substantially enhanced"
Concentration of Holdings.
THE 1902 largest holders Of timber
now own S8,579, 900 acres of lands as
compared with a vastly wider distribu-
ton OF public lands in non-timbered,
agricultural sections.
There is now left in continental
United States about 1900, 600, 600 600
board feet of privately owned standing
timber, Of which 1,747, 900. o00, 900 in the
investigation was covered In great de-
tail by the bureau. This district in
cludes the northwest, the southern pine
region, the lakes states and contains 80
per cent of all the private timber In the
m
I'm addition there are about 39.000,-
600. 900 feet in the national forest and
private ands. Thus the total amount
OF standing timber ~ continental
United States Is about see Gee, Gee Gee
board feet. The present annual drain
upon the supply of raw timber Is about
80, 000, 900, 900 feet. At his rate the
timber now standing, without allow
ance for growth. would last only about
So years.
Value of the Timber.
The present commercial value of
the privately owned standing timber,
not including the value of the land, Is
estimated Though such an estimate
must be very rough) at least $6,000,-
600, 900. Ultimately the consuming
public will hav to pay such prices for
lufnDer as VIII give tHIS tiiiipei u idE
greater value"
Proceeding next to consider the con-
centsation of the timbers ownership,
Mr.. Smith says:
Three vast holdings alone, the
greatest in the country, those OF the
Southern Pacific company, the Weyer-
hauser Timber company and Northern
Pacific Railway company Qncludina
their subsidiary companies) together
have 23S, 600, 000, 900 feet or nearly II
per cent of all our privately owned
timber. They have IA per cent Of that
In the investigation area
With the five next largest they AVE
over 10 per cent of the privately owned
timber and over 10 per cent Of that
within the investigation area. Finally
nearly one-half CAS- per cent? of the
private timber in that area is held by
only 1876 great holders. The term
holder covers any single individual
corporation or group-which Is SO
united 60 aS TO he under one CONTROL