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11    <Metadata name="pj.Title">The Timber Protection Advisory Committee</Metadata>
12    <Metadata name="pj.Year">1955</Metadata>
13    <Metadata name="pj.Location">ADMINISTRATION</Metadata>
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15    <Metadata name="pj.Provenance">Pei Te Hurinui Jones</Metadata>
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133i4/5! P. 6. 4&quot;. 76'; 711/7,76,,Ked, MECIUTES CF '7MY-NINTH MEETING CF THE TI7a2ER FRODIXTION ADVISORY COMNITTM MELD IN ROOM 113, PARLIA)',0ENT BUILDINGS, W.11`ZTON, ON THE i) 28th =MEER, 1955, AT 15  Present,- Mr A. R. Entrican (Chairman) Mr K. C. A. Carter kr F. Craig Mr J. T. Currie (deputising for Mr Buekett) Mr J. Freeman MX J. V. Jebson Mr P. H. Jones Mr J. A. Marshall (deputising for Mr Mni4Y) Mr D. G. O'Toole Mr H. Parsonage Mr F. L. Turley Mr W. C. Ward kr H. A. Lake (Secretary) The Hon. S. W. S7ith, Minister of Fores,s, opened the meeting with a short speech in which he traced the development of the Ccmmittee's activities and the scope of its membership. Re thanked the Committee for doing a worthwhile job for the industry and then asked Mr Entrican to take the chair. Mr Smith then left the meeting end Mr Entrican assumed the chair. Mr Entrican expressed his appreciation for the attendance of members and for the understanding with which the Committee approached its cork. He suggested that the meeting might take the opportunity of recording its thanks to the former chairman, the Hon. kr E. B. Corbett, for the great interest he had taken not only in the Committee's activities but in the Timber Industry in general. Resolution 29/1  The Committee resolved, on the motion of Mr Craig, seconded by Mr Carter, &quot;That this Committee record its appreciation of the work that Corbett had put into the Timber Industry during his term as Minister of Forests&quot;. It was unanimously decided by members that the Secretory should draft a suitable letter to Mr Corbett expressing the Committee's appreciation of Mr Corbett's cork and his interest in the timber industry. 1. Minutes of Last Yeetinm:- The minutes oh' the last meeting, held on the 2nd December, 1953, were taken as read and confirmed (Mr O'Toole - Mr Craig). 2. Matters arising out of Members had no specific matters to bring up. 3. Assessments of Millers failing to furnish Returns of sawn timber for the year ceded 1st March 1955:- This year approximately 160 millers (about 20 of registrans) failed to furnish returns and the State Advances Corporation was accordingly advised of assessments on the bssis of their expected cut, plus 333. . 88A
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164a,solution 29/2 This Committee formally approves the making o.,7 such assessments as are necessary for the year ended 31/3/55, such assessments to be on the basis of the expected cut plus 33'3 (Carter - O'Toole). Mr O'Toole requested that the State Advances Corporation be asked if all millers paid the levy for the year ended 1954 :me. that if any levies had been unpaid, the names of the sawmil3ars concerned and the amounts involved be given to the Committee. The Committee arced with this end asked that the Secretary take the matter up with the Corporation. At a later stage in the meeting the Chairman informed members of the following details which had in the interim been obtained by telephone from the Chief Accountant of the Stain Advances Corporation:- ?3,841 WEa outstanding as at 3.55 b legal action is taken by the Corporation to recover all unpaid levies. c ?143 was written off last year as bad eebts. Members enpreseed satisfaction with these details 4. Timber Workers' loaning levy  a) 2xemetion of levy on timber exported. ma CASTER in introducing, this sub net said that the Dominion Sawmillers. Federation had on previous occasions recommended that the levy be abolished on export timber. The industry was strongly of the opinion that such levy should not be paid on exported timber when, at the present stage of developing and expanding markets in Austratlia, price is such a significant factor. With the continual rise in costs, coupled Ath en adverse exchange rate, it was essential that all unnecessary costs be avoided and to this end the removal of the housing levy would assist. rie pointed out that approximately 79 to 8C of exported timber was box grade which returned approximately 34/- to the sawmiller. This Bade had to eut up with competition from ether forms of packing and must get to Australia at the cheapest economical price. The levy was not paid by the public on exported timber - as world market conditions allowed only a certain price. Mr Carter emphasised that had to keep prices on world parity in order to export and more and more timber must be exported from New Zealand. He concluded by pointing out that the Gd. levy becomes over 7d. (due to exchange) on the highly canpetitivc Australian market and that the Industry in. New Zealand considered it to be in the National interest to remove the 6d. housing levy from all timber exported. MR WARD said that the principle involved eras that the levy must be paid by the public; but in effect upon export sales this could not be collected. The retention of the levy on exported timber therefore conflicted with the principle of imposing the levy in the first instance. YR CURRI7. stated that the levy hit some firms very eolialy as they could not recover the amount. He considered that there was no real basis for applying the levy to export timber. He also quoted figures for the quantities of timber exported fcr the :,car ended 3.54 and for 7 months of this year t related these quantities to,ihe resulting levies of ?8,400 and ?5,600 respectively. TIPLEY spoke very strongly against removing the levy frot exported timber. He considered that every Gd. not collected on export timber was extra for local production to carry. He pointed cat that the Pool Account would cn present indications be wound up in approximately 18 months. He considered that the 6d. involved had no real effect on the prices of exported timber - it was such a small amount.
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1953 MR CRAIG outlined his Union's desire to extend the housing scheme and in doing so considered that the levy on exported timber must be continued in order to pay for any such extension. I'M O'TOOLE supported the exemption of the levy from exported timber as he felt that the heeds of the levy rust be &quot;the user pays&quot;, Alt MARSHALL said that there was no chance of the scheme being sacrificed as a result of the exemption as a levy on Nun Zealand timber consumption would more than satisfy the finances of the scheme. MR JEBSON likewise supported the exemption as it would assist the export position and yet have no effect on the Pool accounts. MR PARSONAGE also spoke in support of the exemption. AltrsITill:= stated that the export of the loner grades of timber was going to be cf serious import to the whole industry. He drew the Committee's attention to the fact that the expected anneal cut for today was 500,000,000 bt. whereas last year it was over 600,000,000 bt. Next year it may attain 720,000,000 bt. The expert market would only be expended if it were at really competitive prices in Australia. The tire would come when the industry would look et every penny on the Australian market, as every reduction would mean extra market, He warned the Committee not to l'e7tly dismiss the present export trade as the competitive power of the New Zealand timber industry on export markets must be strengthened. MR CURRIE than pointed out that vary low bidding by other overseas countries on the Australian market vas getting such countries more business. The A. had no price control and with its huge timber production was able to adjust its export prices down to a vary minimum in order to get the business offering. KR WARD explained to Mr Turley that the industry was obtaining under cost of production for approximately ao of its export trade and for the other 20 was only getting slightly above cost of production. 41 CRAIG asked what quantity of timber would become available for export and if Australia was the only overseas market.  Ward and Mr Entrican considered that 150,000,000 bt. would be available for export and tic Ward explained that if the export market were to move away from Australia it would gc closer to the markets served by North America and/er Scandinavia which would give the New Zealand industry an even smaller chance of operating on e competitive market. Yr Craig then asked if an approach had been made to the shipowners to get cheaper freights and was assured by Kr Ward that such contacts had been made many times. Alt FREEMAN else spoke in favour of extending the housing scheme but thought in vie,. of the present levy and Pool account figures that it ems quite reasonable to support the exemption being discussed. He considered that a good housing scheme was useless if the sawmills world not seil their product and the industry fell into the doldrums. They must obtain and. retain their markets. MR CARTER emphasised that 6d. (the amount of the levy) arrant a lot on e competitive market and to utilise its forests New Zealand must export everything produced over 550,000,000 bt. 152 ENTRICAN made a strong plea for unanimity on the question and emphasised that the export trade eats vital to the industry which mist develop and protect its oversees markets in Australia. The question cf export must be treated on a very special plane as :Mere was no question of the fund being Jeopardized by such exemption of levy. The fund was in r. very strong position.
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226Resolution 29/3  That in view of our future earning from exports of timber this Comrittee recommends to the Government that the Timber Workers' Housing levy of 6d. per 100 ht. be removed 'rom all timber exported. (Turley - Carter) b) Imnosition of levy on im2orted timbers  Re CeRTER also introduced thin subject. He considered that users of highpriccd overseas timbers should contribute to the liquidation of the scheme's Pool account. n O'TOOLE considered it bad strategically to introduce a levy on imported timbers at this sta,:c of the scheme, whilst Mr IWD express-d similar views. RR CARTER said that upon reflection he would withdraw the request. Extension of Timber Workers. Housing Scheme  AR CRAIG introduced this subject. He stated that his Union Conference had instructed him to bring before the Comnittee its request that the Timber Workers' Housing Scheme be continued and applied to both indigenous and exotic mills. It was realised, he said, that rents must be higher than those paid for present houses erected under the scheme. Even so he felt such increased rentals as were necessary would not be as high es the rentals paid for normal houses; this was to the benefit of sawmill workers and consequently the industry in general. He added that he had discussed the question of the actual building of houses with Sir James Fletcher who had offered his help in building any houses necessitated by extending the scheme. Mr Craig concluded his remarks by re-iterating that a properly arranged scheme could provide houses cheaper for the workers than would be obtained otherwise. ER ENTRICAN gave the background to the introduction of the present scheme and said that the exotic industry had been excluded from participating in the scheme because such industry was established on a sustained yield basis. The indigenous industry on the other hand found that the construction of permanent housing was not an economic preposition, as normally the life of the bush in the neighbourhood of such mills was relatively short. The demountable houses erected under the scheme could be moved as required and as indigenous bush was cut out. Re Entrican said that the committee must consider what was desirable and practical in its deliberations on this question. He added that he had. been thinking of a housing scheme which could oasis, employees to own their otm houses. (The meeting adjoined for lunch et 1:5. resuming; at 5 ) XR PECeeAle spoke in support of air Craig. He said. that his Union was not seeking a definite decision from the pre sent metteng ma it realistd that the finances of the existing schema had approximately 18 months still to run, before consideration could be given to ceasing the levy. However, he would. lilac members to give some thought to continuing a housing scheme when the present housing scheme empires.  CeRTER endorsed the principle of good accommodation for timber-workers but added that he did not want to perpetuate the anomalies in the present scheme. Ho was inclined to favour the provision or finance for long tors/ to assist employers to provide housing. MR TLELEY considered the scheme should go en as should the levy. The levy could provide other amenities for the industry besides housing - he instanced water supplies end sports Lrounds.
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257- 5 - MR JONES said that it appeared that the need for houses was only in the exotic industry. 1St 114TRICAN suggested that the Forest Service should carry-out a housing survey and ascertain what schemes wore available in other countries as well as ascertain what facilities were available within New Zealand to finance schemes of employee housing. HR FIRSONAGE pointed out that the Mines Departrent have a housing scheme and that it might pay the committee to enquire into the details of same. Resolution 29/4  The Now Zealand Forest Service be asked to carry out a housing survey, to gather information from all sources as to schemes in other countries, and to ascertain what facilities are available within New Zealand and overseas to finance schemes of employee housing.; (Mr Craig - bir Parsonage) EN7RICAN gave the meeting an undertaking that this would be done immediately and said that he hoped that the Forest Service would be able to submit a report within 6 months. 6. a) Request re policy. from the State Advances Cormcration  The Committee considered letters forwarded by the State Advances Corporation, which, inter alit outlined two methods of disposing of further houses which may revert to the Crovm, and outlined the Corporation's contention of tie desirability of disposing of timbervmrkers' houses for cash when and as opportunity offers. Ma O'TOOLE re-iterated the Cormittec's policy that houses must be kept within the industry whilst Hi CARTER thought that in reallocating houses economies are studios far more than the needs of applicants, and that the houses should not necessarily go to the saemiller with the cash - his needs of housing might be less than the sawmiller withomt the capital. Resolution 29/5  That in all cases where houscs revert tc the Pool they should be re-allocated in the order of priority set out in Resolution 28/3 (viz. 1. to the indigenous industry under H. P. agreement 2. to the indigenous industry by coy of sale 3. to the exotic industry under H. P. egxeement 4. to the exotic industry by way of sale and 5. sold outside the industry by tender with such restrictions as are deemed necessary.) - and all costs of removal should be borne by the Pool. The terms of the fresh Hire Purchase agreement should be assessed on the basis of the amount owing on the original Hire Purchase agreement, plus the costs of removal and reconditioning, and the period to be the balance of the 20 year term. (Mr Carter -Mr O'Toole). b) Requs,st re policy from N. C. L. Ca, ter  A copy of a letter from lie Carter was before the Committee. 4 Carter said that he would like a discussion by the full Committee with a. view to laying down a policy regarding reallocations. (See Resolution 29/5). After passing Resolution 29/5 the Committee re-affirmed the follrmaing resolutions which had been passed by the Committee in December, 1953.
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288- 6 - 1. Retention of Existing houses within the Industry (Resolution 28/2) Existing houses should be retained within the industry as far as possible. 2. Re-allocation of Houses (Resolution 28/4) Where houses are reallocated, this should be the subject of a recommendation of the Timber Production Advisory Caaeittee to the State Advances Cerpo\_ tion. The Committee should continue to take into account the cutting lives cf mills, labour and accommodation requirements, and if the houses arc to be shifted, the . economics of shifting and the proximity of the proposed sites to State houses. 3. Removal of Houses to Other Sites (Resolution 23/5) Where a miller holding houses under a hire purchase agreement requests the houses to be reAoved to another site, cn the bosh accessible to the cesisting site being cut out, cor ent may be given under such conditions am are considered necessary by the Timber Production Advisory Committee. 4. Where Mill is sold as a zoina Concern (Resolution 28/6) Where e. mill is sold as a going concern, control of the houses be transferred to the incoming miller. Where S, Miller gives up sa,milllag The Committee considered that where a mil/or gives up savmilling before the available bush is cut out, and hands back the houses, the miller should be hold to his contract and if his case did coxe before the Committee it should be considered on its merits. MR CARTER considered the C.:mit had ample power to consider such cases and that no further action be taken. .6, Lump-sum Cash Psyment in lieu of Hire-Purchase (Resolution 28/8) Millers should not be permitted to pay in a lump sum the instalments payable under the hiro purchase agreement. 7. Permanent Sub-Comxietee to be set-up to deal with apnlications for re-allocation  (Resolution 2229) a) ,' permanent sub-committee o' the Timber Production Advisory Committee be sot up to deal with applications for, reallocation of houses, such committee to ir consist of a Forest Service representative, Mr Craig end Mr O'Toole.
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319- 7 - b) This sub-coamittee to act after the application and New Zealand Forest Service reports have Ices circulated to all members and their resulting opinions received. It was also agreed by the Committee that the former Resolution 28/3, which follows, was now amended by Resolution 29/5. Houses reverting to the Corporation (Resolution 28/3) Where houses revert to the State Advances Corporation they should be offered in the following order of priority:- 1. to the indigenous industry under hire purchase agreement; 2. &quot; by way of sale; 3. &quot; &quot; exotic &quot; under hire purchase agreement; 4. &quot; by way of sale; and 5. sold outside the industry by tender; with such restriction as are deemed necessary in the case of sales. It was agreed likewise that Resolution 28/7, which folis, was now replaced by Resolution 29/5. Reallocation and Resiting of Houses reverting to the State Advances Corporation  (Resolution 28/7) Whore houses have reverted to the Corporation and are to be reallocated under hire purchase and resited it shall be carried out under such terms as laid down by the Timber Production Advisory Coamittee. The Committee instructed the Secretary to bring down a review of all decisions on reallocations made to date, with details of same - such review to be placed or, the agenda for the next meeting. 7. Resiting of Houses, Stewart Samailling Coy Ltd. YR O'TOOLE outlined, the circumstances of this came. The Stewart Sawmilling Coy Ltd, had requested approval to shifting two timber workers' houses from Table Flat to Maewa. The sub-coactittee had agreed that as the spirit of the scheme was to assist the housing position of remotely situated sawmillers they could not support the application to transfer houses to Maewa - a site within 3 miles of Feilding. It was considered that if the two houses we, ,zo longer required at Table Flat they should first of all be offered to the Industry before alloving a transfer to Maewa. The State Advances Corporation accepted this recasiendation and advised the applicant accordingly. An appeal vas then made to the tbmister for State Advances who supported the decision not to atlas; the transfer. However, further representations were made to the Minister for State Advances who met representatives of the Company on a visit to Fending. The matter was then reconsidered by the Board of Yenegement of the Corporation at the request of their Minister. The Board /ted upon review to approve of the removal as c. special case. ;it O'TOOLE said that the sub-covaittee had done its best to be fair and just in its decisions and that the Committee should protest to the State Advances Corporation for setting aside a considered opinion from the Committee. MR WARD stated that such procedure on the part of the Corporation put the Committee in a very invidious position.
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350- 8 lIt CARTER informed the meeting that Mr Mitchell of the Corporation had told him that he personally had made the final decision to approve of the removal, after being unsuccessful in contacting either Mr Entrican or Mr Ward, :ho were unavailable at the time. The meeting agreed that the Director of Forestry should take this case up with the Minister of Forests with a view to lodging a protest at the action taken. 8. Use of Timber Workers' Houses  The State Advances Corporation in making enquiries into a complaint lodged by Whataroo. Sawmills Ltd had submitted a letter wherein they sought the co-operation of the Committee and requested the Committee's view as to whether forfeiture of the Hire Purchase Agreement is desirable in cases where it is found that Timber Workers' houses are not being used for the purpose for which they were intended etc.  TURLEY thought that a connittee should be appointed to carry out inspections of of the houses allocated under the schen'.e. He suggested that a Secretary of an Employees' Union should be on any such Committee. MR CRAIG however thought that the New Zealand Forest Service should be able to assist in carrying out any inspections required. The Committee decided that they would certainly co-operate with the Corporation in any investigation of tha complaint made. MR ENTRICAN asked if the Committee desired to charge his Department with keeping an eye cn the houses. Resolution 29/6 That the New Zealand Forest Service make a surwry of the condition of houses erected under the scheme, and instruct its officers to make periodic reports on them and ensure that they arc being occupied by Timber-Workers. (Mr O'Toole - Craig). . It woo: leeided to defer any further action on this submission until the above report is received from the New Zealand Forest Service. 9. Ccemittee reports (majority and minority) to the Government en Conservation MR ENTRICAN told the meeting that the majority and minority reports submitted by the Committee (22nd September, 1993) toed been shelved in the meantime because of hr J. J. De Gryse's views. As a result of his inspection of the New Zealand Indigenous forests Mr De Gryse, the late world famous Canadian forest biologist, had questioned the wisdom of the conservation proposals and accordingly rethinking on the whole question wes necessary. Mr Entrican said that the De Gryse report will be published and copies will be mailed to each member of the Committee. HR CARTER asked Mr Entrican if the Forest Service policy on conservation and utilization of indigenous forests could be placed before a full committee meeting. Mr Entrican agreed thatthis would be done.
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381- 9 - Resolution 29/7  Copies of the Dc Gryse report and also the Nee Zealand Forest Service policy on the conservation and utilisation of indigenous forests be placed before a full committee meeting of the Timber Production Advisory Committee. (Mr Carter - Mr Freeman). Mr Entrican told the meeting that copies cf New Zealand Forest Service annual report were available to all members who desired same and he suggested that those interested inform the Secretary. (Subsequently, Mr Craig was the only member who informed the Secretary that he desired a copy). 10. Timber Workers' Housing Scheme Removal cf houses from Mangahouhou to Kakahi - F. D. Smith. Legging Contractor The Secretary advised the meutina that this application had just been received and consequently no time had been available to prepare papers for submission to the meeting. However, it was explained that in December 1953 the Committee had agreed to Hr Smith shifting six houses from Mangahouhou 2B Block to Hauhangaroa 2C. Block. Subsequently, gr Smith had amended his request and, iv lieu of this approval, asked for approval to shifting two houses from Mangahouhou 23 to Hauhangaroa 8C. -the other 4 houses to stay in the gangahouhou 22 block meantime. On the 5th August, 1954, the sub-committee agreed to this amended request. The Secretary explained that the request before the meting related to the 4 houses left in the Mangahouhoe block. Mr Smith desired to transfer these to a site at Kakahi as he had acquired cutting rights on the Whangaipeke block. The Conservator of Forests in a brief report had recommended that the application be granted. The Committee agreed to support the request. 11. Timber Trade Commissioners in Australia  gR CARTER suggested to the meeting that it would be appropriate for the Committee to recordits views on the suggested appointment of Timber Trade Commissioners in Australia. Members agreed and the following resolution was passed:- Resolution 2928 Governlia timber Production Advisory Committee supports the suggestion that the appoint special Timber Trade Coxseissioners in Australia in order to promote the wide acceptance and use of New Zealand exotic softwoods in that country. 12. Shipping at Mt. Knganui Both lie Currie and lie Ward spoke about the bottleneck of shipping at Mt Maunganui and the Committee resolved to take the question up with the Government.
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412- 10 - Resolution 29/9  The Committee take up ;ith the Covernmntthe question of the bottleneck of shipying at Mt Maunganui and emphasize the necessity of the new wharf at Mt Maunganui becoming fully operative as soon as possible. (Mr Currie - Mr Wald) Rescion 30/9  If there is any delay in the new wharf becoming fully operative the Committee approach Rail-sys to offer a freight service to the Port of Auckland, on the basis of the freight rate to Mt Maunganud, until the Mt Moxngrrui wharf is fully cporative.(Mr Carter - Mr O'Toole). 13. Preparation of Agenda CARTER said he would like to draw attention to the amount of work that the Secretary :/ad put into preparing the agenda and business papers for the meeting -all papers were in detail and lucid. Mr Parsonage and Er C'Tocle commented in a similar vein. In his closing remarks Mr Entrican,as Chairman, asked members to inform either Mr Ward or himself of any signs changing market conditions they might see in the industry. much advance knowledge as possible would assist in combatting any signs of a market recession. lie pointed o that the acceleration of horse construction had overtaken many of the arrears incurred during the Depression and World War II and that any decrease in house construction would be most marked by ft recession in demand for timber within New Zealand. kr Carter and Mr O'Toole said that their organisations, the Dominion Sawmillers' Federation, and the New Zealand Timber Merchants' Federation suspeetively, would assist by notifying Ibr intrican of any such signs as came to their notice. The meeting closed at 5 with a Vote of thanks to the Chair. Gne-irman.
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