DIRECT SHIPMENTS TVX: LB 5026

fir plywood industry's phenomenal growth of the past few yeals to the manufacturers' cooperative program of joint (uality control, research and promotion administered by the association.

Agnew announced that revised figures showed Production in 1958 was 6.3 billion feet, up 16.1/o over 1957 and tlrat sales were up l5/o. He compared this with an increase in sales of all business of only four per cent, adding:

"Our continuing growth in sales occurred at a time u'hen total construction in dollars went up only 1.8/o ar.rd residential work went up only seven percent. Obviously we are getting an ever-growing share of the existing coustruction market-regardless of increase or decrease in that market.

"All this is the result of one of the hardest-hitting programs ever developed by any association. Every one of us (the plywood manufacturers) needs DFPA. The tremendous job the association is doing cannot be weakened in any way without disastrous results."

Agnew, who is vice-president and general manager of Pacific Coast Co. in Sonoma. Calif.. also said that the new amendments to the Commercial Standard for fir plywood should erase or minimize the large amount of plywoocl going to market without adequate testing and inspection.

"This condition," he said, "has done incalculable harm to our industry. Now we have a standard that is specific and one that means the same thing to all manufacturers, trade buyers and users. Together with effective testing and inspection, this should do much to improve our markets."

Agnew said the new changes in the grading rules will permit utilization of up to 50/o of the available white pocket veneer in Oregon. He pointed out that the industry has put aside $21,000 for new research on a cooperative basis with the Forest Products Laboratory aimed at developing profitable outlets for the remainder of this material -outlets which will not jeopardize the markets which DFPA members have fought so hard to achieve for plywood over the past 20 years.

Commenting at greater length on the growth of the plywood industry, Agnew said it is one of the fastest growing industries in the country, with a growth rate exceeding aluminum and second only to electronics and missiles and possibly plastics.

"In the past six years we have doubled our output," Agnew said. "In view of the favorable economic climate