The Ocala evening star. [volume] (Ocala, Fla.) 1895-1943, 1914-07-27
LUMBER INDUSTRY
INVESTIGATION TO BE
ALONG NEW LINES


now being perfected for the forest
service part of the inquiry to be made
jointly by the departments of COM
merce and agriculture into the tim
Der and lum'ber-trade conditions in
the United States provides for COW
ering entirely new ground.
Lumbermen are now admittedly
conducting their operations with a
large percentage of waste, said TO
be largely due TO market conditions
which make close utilization unprof-
liable. There is no general agree
ment as to the actual causes OF ex-
listing conditions and the RESPONSE
bility for present undoubted evils.
With rapidly diminishing supplies OF
timber to draw upon, wasteful lum-
bering has come to be recognized as
matter OF serious public concern
and an inquiry to discover the causes
and seek for possible remedies IS re-
garded by forest service officials as
an urgent need. 1t is believed that
the lumber industry itself recognizes
the need and will welcome an inquiry
conducted along constructive lines.
Private capital invested in timber
lands. mills, logging railroads, and
other forms of equipment reach an
enormous aggregate and the lumber
industry, which employs $4,000 per-
sons has an annual output valued at
1 10 billion dollars, is the third
largest in the country. In seeking
to realize conditions which will
safeguard the public against waste
full methods of timber exploitation,
possible timber monopoly, and other
Objectionable practices while insur-
ing healthy conditions and fair
treatment for the lumber trade, an
understanding of the basic facts is
Indispensable. These facts, howev-
er, have never been ascertained in
their entirety. 1t is the purpose of
the Forest Service to obtain and in
terpet them impartially, in co-opera-
ton with the other bureaus assigned
to the study.
Lumbermen complain that the
carrying charges created by interest
on long-term investments, taxes and
cost of fire protection where such
protection is given, compel them to
operate even where lumber prices
will not repay them the costs involv-
ed. The necessity of operating un-
der these conditions is advanced as
the principal cause Of waste since the
market is easily glutted with lum-
Der of the poorer grades, which must
then be left manufactured. On the
other hand, the public complains that
the cost of lumber is so high. Over
competition may result in destruction
Of timber resources with no common
surate advantages to the custo-
mer but with the certainty of un-
necessarily high prices later Yet re-
striction of competition on the part
Of lumbermen with a view to great
er profits to themselves through
higher prices is both contrary to law
and highly Objectionable from the
standpoint of public policy Thus
highly complex situation exists
Any attempt to adjust the present
conflict of interests on basis fair to
the public and to the lumber indus
try demands full knowledge OF al
the facts.
Lines of inquiry provided for by
the plans of the forest service in
clude the present lumber output and
demand, the conditions known 20 the
trade as overproduction, the effects
| upon production and market prices OF
speculation in timber and of carrying
charges, producing and distributing
costs including freight and charge:
levied upon the product by whole
salers and retailers, and the amount
OF waste under present methods ot
exploitation.
Special attention will be given tc
means utilized to dispose of the low
grades of lumber and by-products.
1t is recognized that the national
forests are becoming an increasing
ly important factor in the timber
market through the offerings of gov
eminent stumpage, and this aspect
of the situation will receive careful
analysis. The question of future sup
plies and the need for the general
practice Of forestry to provide them
is another important part of the field
to be covered.
From the outset the data gathered
by the bureau of domestic and for
eign commerce of the department of
commerce will be correlated with
those in possession of the forest SER