Canadian lmports and the Northwest Lumber lndusfry

Canadian sawmills have pushed their share of the United States market for softwood lumber to 12 percent or close toit-and they are entirely capable of boosting this to 18 or 20 percent within 15 years.

British Columbia alone has the potential for shipping more than four billion board feet of lumber a year into this country, compared toits three billion feet which is proving troublesome today.

Canadian reports and planning show that lurnber exports to America are a long-term venture, with growth as a major goal, declares the West Coast Lumbermen's Association. Temporary measures to offset cost advantages enjoyed by the northland producers would not be adequate, in the opinion of WCLA officials.

Competition's Rapid Rise

Competition of Canadian lumber is nothing new. Its rapid rise from around 6f percent of the U.S. market ten years ago to nearly 12 percent, while total rrsage of softwood lumber has not risen, is the spark behind the industry's demand for governmental remedies.

tr{ost disturbing to Northwest proclucers has been the success of B.C. coastal mills in the Atlantic Coast market. For the first time, they forged ahead of Oregon and Washington in 1961, and by last November were selling nearly tu'ice as much lumber on the east coast as were the two states.

Up to a few years ago, West Coast mills sold a billion feet a year in that market; sales last year sagged by more than one-fourth. B.C.'s gains result mostly from an estimated $7 to $12 advantage per thousand board feet on \4,ater shipments.

Southern Colifornio Gonvention Will Honor Pioneers

The Pioneers of the Lumber Industry will be honored at a breakfast meeting, Wednesday, May 9, during the 45th Annual Convention and Trade Show of the Lumber Association of Southern California.

Place will be the Lafavette Hotel. Long Beach, scene of the- convention.

To qualify for this honor, the person must have been continuously engaged in some segment of the lumber and allied products industries for at least 40 years. He may or may not be retired, but he must have spent some of his qualifying time wbrking in Southern California.

Each Pioneer and his wife will be formallv introduced at the breakfast. where ?ioneer Lumbermen's Certificates will be oresented.

U.S. lumber going by water to any U.S. port must move in American ships, undei terrns of the Jones Act, and charges are that much higher than in foreign bottoms.

But as disturbing as British Columbia's gains are on the Atlantic Coast, the larger long-term threat to U.S. sawmills lies in that province's vast forests of the interior.

Its coastal and interior mills now are cutting about the same volume of lunrber, each around 2.2 billion feet a year. But the potential in the interior is a tremendous 11.7 billion feet a year, compared to six billion for the B.C. coast. The interior can produce more than the entire present lumber output of Oregon and Washington.

Closest market for the fast-growing industry in interior B.C. is the vast hinterland of the United States. Water shipping is not available to this huge new foreign source of lumber. A11 of the interior's output moves by rail.

B.C.'s world markets have declined recently, particularly in Europe and Great Britain, where lower-priced Russian lumber has made huge inroads. But even a revival of the Drovince's overseas trade may not bring any material relief from the huge flow of lumber which Interior B.C. will be ready and willing to export southward.

Cost advantages enjoyed by British Columbia producers have been explored many times since their exports started to hurt U.S. mills several years ago. These advantages over West Coast producers include lorver stumpage and wage costs, as well as sharply lower shipping costs and recently a profitable devaluation of the Canadian dollar.

Stumpage costs in the coastal area run to just about one-half those in western Oregon and Washington. The

R. Hogon Millwork Tqkes Over Old Albony Mill & Lumber Plont

Bob Hogan established a new Hogan enterprise, R. Hogan l\4illwork Co., a detail millwork and pre-hung door operation, in Richmond, California, on March 1. The new plant is located on the premises of the old Albany Mill & Ltrmber ooeration. 5620 Central Avenue, Richmond.

From the Hoo-Hoo-Ette No.8 Gropevine

Hoo-Hoo-Ette ClubNo.8, San Francisco, reports an active year beginning witha queen candidate at Forest Products' Day, State Fair in Sacramento, September 19, a cosmetic demonstration by the Dorothy Daley Charrn and Modeling School, work for pet charity "The Friendship Pro- disparity is not as great between the B.C. interior and the western Pine region in the states, but there too the provincial regime keeps prices in line with economic conditions. Government owns all but 11 percent of the coastal timber and all but a mere 2.7 petcent in the interior.

Average Price Comparisons

Here are comparisons of average prices compiled for 1960 by species north and south of the border, the first figure being for British Columbia:

Coastal, Douglas fir, $15.10 versus $32.04: western hemlock, $5.58 versus $10.52 ; cedar, $5.20 versus $1 1.59 ; spruce, $5.67 versus $13.35. All species averaged $7.30 versus $22.13.

Interior, larch, $3.56 versus $7.19; spruce, $4.78 versus $6.54; all species, $5.27 versus $7.49.

Lower r,r'age rates are another oftcited factor in western Canada's lower lumber costs. Average hourly earnings in sawmills stacked up this waY in 1960, latest available comparison:

Ilritish Columbia coast, $2.15 versus $2.49 on the West Coast. Interior B.C., $2,00 versus $2.38 in the western pine reglon, gram," Sonoma State Hospital, the opening of an employment agency for members of the club and a cocktail party.

If production of 1,000 board feet of lurnber requires 12 man-hours in woods and sawmill, then the Canadians hold an advantage of as much as $4.20 per 1,000 feet on wages.

Lower stumpage and wage rates give British Columbia producers in both coastal and interior regions a strong advantage. Shipping costs also favor the Canadians currently. Their tremendous reserves of sawtimber, combined with favorable costs, threaten to make them a growing factor in the LT.S. lumber market, rather than a diminishing one.

And they still find time every 3rd Thursday for meetings. Chez Yvonne welcomeh the entouiage January 25 when they presented Connie Redd, 3rd vice-president with a bon voyage present for het 2 month tripto Europe and Bonnie Snider, now Mrs. Wm. S. Carpenter a beautiful pink linen luncheon cloth set wedding present.

Leading this active group of HooHoo-Ettes is president Ruth Glenn; Mary Robinson, 1st vice-president; Amy Harrington, 2nd vice-president; Connie Reed, 3rd vice-president; secretary, Nancy Dugan; Marna Popovich, treasurer ; Pat Fraser, initiation; Bonnie Carpenter, publicity and Eliee Lewis, membership.