22 



HARDWOOD RECORD 



FebruaiT 10, li)'22 



{Continued from page 20) 

 mitted to the association by the Liverpool Timber Trade Associa- 

 tion and the Hardwood section of the Timber Trade Federation of 

 the United Kingdom were approved and ratified. 



The amended forms will be submitted to the two associations by 

 G. A. Farber, chairman of the Uniform Contracts Committee, who 

 was instructed to make a strong effort to have the contracts as 

 amended ratified by the two foreign associations. 



After being installed as the new president, Mr. Hartlove an- 

 nounced that he would appoint a committee of five members in 

 the very near future to confer with a like committee of the steam- 

 ship interests in reference to the stabilization of ocean freight 

 rates. 



The new leader of the exporters' association was born in Balti- 

 more and has spent all of his life in this city. He went with the 

 old firm of Price & Heald, which was the successor of two others, 

 dating back more than seventy years, in 1899, just after he had 

 been discharged as a soldier in the Spanish-American war, and was 

 called upon to serve in a great variety of capacities, being in turn 

 salesman, buyer, general utility man, and giving attention to ex- 

 ports. For a time he held another connection, but he soon found 

 himself back with the old firm, and in 1916, after the death of 

 John M. Heald, the surviving partner, Mr. Hartlove took over 

 control, forming a closely held stock company, but retaining the 

 established name. Mr. Hartlove holds membership also in the 

 National Hardwood Lumber Association, in the Merchants' and 

 Manufacturers' Association, and in the Export .-ind Import Roard 

 of Trade of Baltimore, besides other bodies. 



how little they regard the reduction as a helpful factor in the 

 present rather complicated hardwood situation. 



Townshend Files Plea for Further Rate Cuts 



J. H. Towusliend, sceretary-nmnager of the Southern Hardwood 

 Traffic Association, has returned to his office in Memphis from Wash- 

 ington, where he and J. V. Norman, general counsel, appeared before 

 the Interstate Commerce Commission January 25 and 26, "lumber 

 days" of the general freight rate investigation, and asked for: (1) 

 A further reduction in rates on lumber and forest products moving to 

 consuming destinations, and (2) for a substantial cut in rates on 

 logs and other rough materials moving to the mills. 



The association feels that the recent reduction ordered by the 

 commission is not enough so far as logs and forest products are 

 concerned, and that failure on the jiart of this body to reduce rates 

 on logs and rough materials is a very serious matter as touching the 

 future of the hardwood lumber industry. Mr. Townshend, on his 

 return to Memphis, declined to make any statement beyond the fact 

 that he and Mr. Norman put in just as strong a plea as possible for 

 rates that will permit the industry to get back on its feet again and 

 at the same time furnish the railroads with increased revenues by 

 virtue of the large tonnage that would result from a reduction in 

 rates all around. 



"The reduction in rates ordered by the commission a few days 

 ago will probably do more harm than good," says one of the most 

 jirominent members of the trade in Memphis, who does not wish his 

 name made known. "It is not enough to prove of more than neg- 

 ligible value to any manufacturer of hardwood lumber in the South 

 and it is certain to have the efifect of causing consuming interests to 

 hold out of the market until it actually becomes effective. It has 

 failed to stimulate demand in the slightest degree, and it is not 

 overstating the case to say that the commission, through failure to 

 lower rates more substantially, has completely eliminated No. ,3 

 common hardwood lumber as a merchantable commodity." 



Some members of the trade in Memphis think so little of the re- 

 duction in rates ordered by the commission that they are offering 

 to absorb the difference between present rates and those to become 

 effective around March 6 as a means of stimulating current buying, 

 They point out that the reduction is so slight as to be unimportant 

 and that they would rather lose the amount of the reduction tlian to 

 have consumers delay placing of orders until the lower rates actually 

 become effective. This at least, they say, has the merit of showing 



Northern Operators Do Not Want General Rate 

 Reduction 



The unique and striking declaration that the association which he 

 represents does not think this is the time for a general reduction in 

 freight rates was made by A. L. Osborn of Oshkosh, Wis., when he 

 appeared before the rate hearings of the Interstate Commerce Com- 

 mission in Washington, on the two days, January 25 and 26, which 

 were devoted to the lumber interests. He made the reservation, 

 however, that "if the commission takes a different view of the 

 situation and determines to order reductions in rates, then the 

 northern hemlock and hardwood people do not want to be over- 

 looked. ' ' Mr. Osboi-n testified as a representative of the Northern 

 Hemlock and Hardwood Manufacturers' Association. He was accom- 

 panied to Washington by F. M. Ducker, traffic manager of the associ- 

 ation. Mr. Osborn is chairman of the committee on transportation 

 and legislation. 



Mr. Osborn referred to the recent slight reductions in the rates 

 on southern hardwood lumber, declaring that "we are in vastly 

 worse shape than the southern mills. More of our mills are closed 

 down and we know we have lost more money than they." 



In liis refusal to insist upon a general reduction in rates Mr. 

 Osborn made an exception of rates on logs from the woods to the 

 mills, declaring that they are "outrageous" and should be sub- 

 stantially reduced in both the northern and southern regions. 



Mr. Osborn surprised members of the commission when he said his 

 logging road and those of other Association mills are now paying 

 section hands on their logging roads 22% cents to 25 cents an hour 

 and working them ten hours a day, while common carrier roads 

 nearby are paying 40 cents on an eight-hour day basis. 



"And our men are working, too," he declared, "while no sign of 

 strain is shown by the men who are receiving the higher wage on 

 common carrier roads." 



Commissioner Esch called attention to statements made by the 

 Northern Hemlock and Hardwood Manufacturers ' Association in a 

 complaint filed some time ago urging reduction in log rates. 



He w-anted to know whether it was true that logging operations in 

 Wisconsin and the upjjcr peninsula of Michigan had been largely 

 curtailed. 



"Yes," replied Mr. Osborn. "Many logging operations were not 

 started which should now be in full swing." He said this meant 

 reduced production this year. 



"But we have a lot of low grade lumber on hand and will be pre 

 pared to ship it in large volume when the railroads and factories 

 begin to buy," Mr. Osborn added. "We have not been able to ship 

 the lower grades, but they will soon disappear when manufacturers 

 know they will liave markets for their products and the carriers have 

 flie means with which to buy." 



Wages Not So High 



Mr. Osborn said he had logging crews in the woods and did not 

 personally believe the way to get the country back to normal was to 

 stop production. 



He said he was paying $20 to $25 per month and board for labor 

 in the woods, and other members of the association were doing like- 

 wise. 



This labor not long ago cost them as high as $82 per month. 



Asked about common labor at the mills, Mr. Osborn said he was 

 paying $2.50 a day and getting all the help he could use, and this 

 included married as well as single men. In reply to questions, he 

 said that unemployment in Wisconsin is very marked. 



Before he left the stand Mr. Osborn was asked whether the views 

 he expressed were his alone. 



"We had a meeting of our leading men which I called," he said. 

 "I told them what I thought about the situation and nobody ob 

 jected. They told me to go as far as I liked and come down here 

 and say anything I liked. Therefore, what I have said does not 

 represent only my individual view." 



