The Daily Alaska empire., 1946-02-22
ARNOLD HINTS
 COURT ACTION
 IF LIMIT IS SET
Industry Spokesman Pro- phesies Chaos in Indus
 try af Trap Hearing
By c D. Watkins

WASHINGTON. Feb. p. - Pro-
 posed amendments to the Alaska Commercial Fisheries regulations
 threaten a serious reduction in Ann erican food productions and scores of millions of dollars" invested in
 fish packing plants, representa- tive of salmon packers testified yesterday. The Interior Department opened
 hearings on it's proposal to limit
 salmon traps to 20 for any firm or individual. A spokesman said, eight packing companies now have 22l of 397 available trap sites and ad-
 ded that one company controlled 55 traps. another 49, and a third 35. The maximum number of sites
 was APO, the Department figures showed
 w. c. Arnold, of Seattle, repre-
 senting the Alaska Salmon Indus
 tries Inc, only witness heard dur ing the day, was closely cross-ex- amined by Warren w. Gardner
 Acting Under-Secretary Arnold told the Under Secretary ne believed that if the Department limited it's permits, as planned, pre- sent holders of traps would insti- tute court proceedings. The witness said he believed if the plan became effective it woule cause chaos in the industry. adding he represented 52 firms and indi- viduals who produce 95 percent oi the Territory's canned salmon. He said the plan would prevent full production this year because ii would deprive the present cannerS of their traps.
 Present Holders Not Sell He said it would cost $50,000 to s10oo00 for independents to install traps and added that the present holders would not lease or sell theh equipment.
 He said new owners of trap sites could not obtain materials to in- stall the traps in less than a year or Is months and this would cause sharp drop in production. Gardner asked why canner could not buy his fish from inde- pendent trappers and the witness -eplied there was no assurance the
 rish could be delivered and that it .ost up to $500,000 for the canners to prepare for the Alaska fishing reason. Gamers, he asserted, would not invest that amount unless they were assured of getting needed fish.
 Some one in the Department, Arnold said, apparently believes that it is an evil thing to operate more than one fish trap" The proposed regulations would provide that first preference for fish traps be given to independent owners in Alaska.
 Regulation To Conserve Arnold declared the Alaska sal non industry was built on the as- sumption it would be regulated only on the basis of conserving fish and said any departure from that policy would lead Ito chaos.' He agreed under questioning that theoretically" it might be good thing to award traps to residents If Alaska but insisted there were only few residents who could af-
 lord to install traps.
 He said that the real trouble with independent trap owners was that they are unable to finance installation of cannery. He refused to answer question ! by Gardner as to what would be the long range effect of limiting traps to maximum of 20 to a firm or individual
 T am opposed to the entire plan
 he said, and do not care to ans wer such a question: The hearing will be resumed to-
 day and is expected to continue through Saturday.
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