Evening star., 1942-10-31
j. ). and Canada Join
In Move 10 Conserve
Supply Of Paper
Orders Are Issued Fixing
Production Limits for
Entire Industry
By CLAUDE A. JAEGER,

1iACA ia, producing AiAo1C 'l1iolA lldA
the worlds supply, went under joint
United States-Canadian restriction
today, in the first wartime conti-
mental conservation plan embracing
an entire civilian industry.
In parallel orders effective at mid
night tonight, the War Production
Board in Washington and the War;
time Prices and Trade Board in Ot-
tawa have forbidden manufacturers
of paper, including newsprint, book
and magazine papers, to produce
more than their average rate of
output IN the six months ended
September 30
At the same time, both govern
ment bodies warned that this was
a preliminary step to curtailment
OF production in the near future.
Paper industry authorities esti-
mated that rates at which produc-
tion is being frozen are substan-
TALLY at the current rate of con-
sumption
Further curtailment, paper sources
estimated, would bring production
below demand and begin to eat into
stocks. Although inventories are
well above pre-War levels in most
lines of paper-American newspapers
have an average of 66 days sup
ply-plans to regulate inventories
and use are in the making. Said
the Canadian Board:
Diminished production of paper
products entails equitable regulation
in the fields of distribution, inven-
tories and consumption The in
PRODUCTION of such measures is there
fore included among steps which
are being taken on an international,
basis"
Limited TO 90-Day Supply.
The joint orders, announced in
Washington and Ottawa yesterday,
already forbid manufacturer to
deliver to consumer. or con-
suner to accept a shipment which
would boost his inventory above a
90-day supply
Representatives of the paper in
dustry said no rationing among
United States users of neWsprint ap-
peared necessary as the order now
stands, but that plans for such steps
would probably be taken up shortly,
by the WPB printing and publishing
branch in the case of printing pa
pers, in consultation with publish
erS
This branch is expected to be
headed shortly by William G..
Chandler, general manager of the
Scripps-Howard Newspapers, New
York City succeeding George A,
Renard, who has resigned as branch
chief.
The situation in the United States,
so lar as producers are concerned,
involves largely paper board, con-
talner, wrapping, and tissue papers.
Only about Is per cent of domestic
output is printing paper, only per
cent newsprint.
In Canada, it is largely a news
print situation. The dominion sup
plies some three-quarters of United
States newsprint, exports the bulk
of its paper.
Cut in Production Seen.
Many factors beyond the control
OF the paper industry" said WPB,
inevitably will diminish the pro-
duction of paper in Canada and the
United States. Both countries have
more than adequate forest reserves.
The trees to make the pulp are
there, but every other factor, from
the manpower behind the wood
mans axe to the transportation to
the paper consumer is becoming in
creaSlngly scarce as& the require
mentS for Americas all-out war
, effort develop
The order specifically EXEMPTED
Six paper products from the restric-
ion order: Building papers, build
Ing boards, vulcanizing fiber stock,
resin impregnating stock used in
plastics, sanitary napkins and hos
pital wadding stock.
1t was explained in both capitals
- that the restriction order is a step
toward concentration of production
of paper in mills located where the
. operations will interfere least with
1.-The war effort. In the United States
the order freezes output at about 81
per cent OF capacity, in Canada al
around IS per cent. in both instances
little below estimated output In
the past week or two
In view Of Canadas relatively low
rate OF operations, and the need fo,
electric power for aluminum-mak.
ing and other purposes the Domin.
ion had already started allocatins
production away from certain mill.
TO others. 1t had been expected
Canada, with her large unused ca.
pacity, would thus be able to NEE,
all United States requirements fol
newsprint.
Broadened Approach.
Said the Wartime Prices ane
Trade Board in announcing the allo.
cation plan September 3:
..E IF it is necessary for anv par,
ticular mill to be restricted in it.
operations below the level of demane
for its product. or to be shut dow,
N''eAitAy' oii oAlSNiilClltS Will UC llldul
to see that its customers require
ments are met by other mills"
Canadian authorities have Offered
no detailed explanation of tn,
change in position about being abb,
to meet normal newsprint require
ments, beyond citing the genera
wartime stringencies. Some pape
men suggested the change seemed t,
have developed in the broadened ap
proach to the problem on a contin
entail basis, coincident with discus
sions between Washington an,
Ottawa authorities.
Could Shift Production.
In the United States, the WPB or
der takes step toward concentra
ton, in permitting owners of NOR
than one paper to shift production
from one mill to another, with WPI
approval. Also, the order is light
ened for owners of single mills oper
seting only one machine. They ma,
srun 100 hours a week, regardless O
3previous production.
q No predictions were made IL
esther Washington or Ottawa, o
In paper. trade circles in New York