The Caledonian-record. [volume] (St. Johnsbury, Vt.) 1920-current, 1922-07-21
OPTIMISTIC
FEELING IN
PAPER CIRCLES
Business On Sound Basis
In Fall Say Head of
Canadian Co.

Conditions in the paper industry
formed the basis of an exception
ally interesting talk at the Ro-
tary luncheon at Sherbrooke when
A. l.. Dave, of the Canadian EX-
port Company of Montreal, re-
viewed conditions as they existed
today.
Mr.. Dave pointed out the
growth of the paper industry, OBJ
serving that in 1881 there were
four mills in operation while to-
day there were 100 mills in ope-
ration with 4 capitalization of
$400,000,000. Going back thirty
years, the exports for a complete
year were of a value of $120
while for the fiscal year conclud
ed in 1921 they amounted to $3.50,
100000.
The speaker contended that the
paper industry could claim a large
part of the credit for bringing
down the rate of exchange, and
he held that the Province of Que
bee had every reason to feel sat
istied with the position it held as
a result largely of its forests and
its water powers. He referred to
the action of the Quebec govern
ment in 1908 in placing an en-
barge on pulp wood for export
which subsequently resulted in
American capital being forced to
come to Canada. Later the reci-
procity bill was killed but this did
not include a rider which allowed
newsplint to be imported into the
States with the result that there
has been, and probably will be
for a long time, a free market
for this product.
Mr. Dave made reference to
the fact the United States con-
sumes about 100000 tons of
newsprint a year Of which Canada
supplies 100000 tons. A ton of
newsprint represents about a cord
and half of wood and the total
value of the neWsprint is figured
around $175, 100000.
The speaker added that at the
beginning of the year, the manu-
facturers were faced with a reac-
tionary market but conditions had
altered materially and instead of
a poor year prospects pointed to a
good year. The chief causes at
tributed to this substantial change
in conditions and increase in com
sumption were newspaper circula-
ton and advertising. The Amer
lean daily newspapers showed an
increase of five per cent every G2X
months, while the Sunday papers
had increased their circulation
from twenty to tWenty-seVen mil
lion. Mr.. Dave referred to the
large amount of paper consumed
by publishing "Gumps" and other
comics and stated that Mr.. Smith,
responsible for "Gumps" was now
drawing a salary of $4,000 "a
year in addition to receiving a
new Rolls-Royce every second
year.
Commenting upon actual busl-
ness conditions, Mr.. Dave con-
tended that the wrapping paper
and bag departments were bar
ometcrs" of business inasmuch as
they indicated very strongly the
trend of retail life, although the
best indication Of all was the
supply an demand of the fiber
boxes, etc, which actually repre-
scnted the definite arrival OF or
ave feel" said the speaker,
chat by the fall the paper bust
ness will be on very sound
basis. Paper is basic article
and forms the seniws of civiliza-
ton, in fact the use of paper is
universal which, according, to
Webster, means used everywhere,
by everybody and for everything;
The uses of paper are bounded
only by the ingenuity of the hu-
man mind. Ten years ago there
were eighty papers in China, to-