The Alaska daily empire., 1923-08-10
PRESIDENT ON FORESTRY PROBLEMS

ON FOhEol III TNODhi'i rho Aeeociated Press account of President Ha ns's Seattle speech, in which il was said that syered "lesnening the restrictions in the imber contracts, led to the conclusion here and e ,here in Alaska that he had reference to the reqt hat the term of years between reappraisals of lumpage price should be extended, and that he svored that reading of the text of the spe -culd seem that he probably had reference to so hing else, fer he seemed 10 be content With sfme of the contract fer the sale of pulp timber, ludng the prices fixed by the Forestry Bureau The full reference to the entire timber quest , Alaska, in the Seattle speech, was as follows;
 must confess l journeyed to Alaska with the impression that our forest conser- vation was tco drastic and that Alaskan protests would be heard on every side Frank ly had wrong impression. Alaska Ia vore no miserly hoarding, but her people, Alaskan people, find little to grieve about in the restrictive policies of the Federal Government. There is not unanimity of opinien but the vast majority is of one mind The Alaskan people do not wish their natural wealth sacrificed in vain attempt to de- feat the laws of economics which are everlasting and unchanging l fear the chief opponents of the forestry policy have never seen Alaska, and their concern for speedy Alaskan development is not inspired by Alaskan interests.
  ton Of the fisheries due to admitted lack of regulation and protection We have begun on the safe plan with the forests, even though we may have erred in excessive strctons With the lesson of forest de- struction painfully learned with the naton- wide call for rcforestation throughout the States. which will require generations and painstaking, it has been sought to provide for the utilization of the Alaskan forests and at the same time provide their perpetua oh O6n pti inn ha float ttnp of the policy to the proposed paper and pulp industry in Alaska will make for ready understanding.
 The cutting ever of vast areas of forests in the States for pupwood, wholly without regard to reproduction, and which left the land barren, is familiar to all of Us. To pre- vent that disaster in Alaska the Government has adopted the program of surveying toreet units to lease for pulp and paper making. unit fer mill of 100 tons daily capacity must contain first, waterpower site anording, at reasonable development cost sufficient power for the mills: and second, timber enough to keep the paint operating for 45 years. That period is se- lected because it is the enc in which the lands first cut over will, with proper care reproduce their timber. Thus after the whole tract has been cut in the forty-ffth year, the new crop of trees on the land cut over in the first year will be ready for an other cutting. Instead of removing the mill
 
 ing the larger part of the basic investment, the business becomes self-perpetuating enc. The allowance of timber. although made on the basis of 45 years, is really sufficient for Go to 65 years.
 The lessee is given two years to prepare plans and organize for business; then two more years 10 install his plant. deposit Of S2O,oo0 is required; and that. plus the annual payment for timber actually cut is all the Government asks. Tn basic price for tmbCr at lq ic cord for hemock 50 cents for spruce cord of wood produces about three-fourths of ton Of paper; that is, the manufacturer pays about 53 cents for wood and water power rights to make a ton of paper worth about s70. Can 1t be charged that three fcurths of one per cent. for these two raw materials Is so heavy tax to paralize the industry? l reply that it is not and that no such charge is seriously made by intelligent and sincere people.
 But there is another provso which the critics prctoCt. We reserve the right in each hith year to revise the cordage price II may be raised, but not beyond the price which has been paid for other timber of like quality and in like circumstances during the preceding year We adjust to the prevail ing market. Does that seem unreasonable9 II the same manufacturer had taken his con- tract on the Canadian crown lands he would pe tloJecl 10 an advance of his price at any time, and without such q limitation. or If he had bought outright the necessary ilmDer lands to operate mill for a long period, he would have had to carry comparatively large initial investment I venture With some knowledge Of conditions In yaiiouc paper-making countries to state that no better contract indeed none so good can be secured in any of them
 But there is also protest that "the red tape of departmental regulation and inter- ference makes it impossible enlist en- teipiife which the Government in any wise sapervisec At this point the answer is easy.