THE FINANCIAL ASPECT OF FORESTRY. 21 



lend money to the Government at 2| per cent, interest, or to 

 municipal corporations at about 3 per cent., but these conditions 

 do not prevail at the present time, and although a period of 

 cheap money has now^ returned, I am inclined to think that the 

 investing public will never again lend their money at the same 

 low rate of interest, especially if public bodies embark upon 

 such risky undertakings as afforestation. 



From time to time proposals are made that the Government 

 should lend money for afforestation purposes to public bodies 

 and even to private owners at a lower rate of interest than they 

 themselves can borrow from the public. But I fail to see any 

 justification for such a course. Why should the credit of the 

 nation be mortgaged in order that a bounty may be granted 

 on home-grown timber? For this is really what such a scheme 

 would result in. Why should the Government foster and favour 

 this industry in preference to others ? Except from the aesthetic 

 point of view, forestry should be looked upon as a commercial 

 undertaking, to be carried out on sound commercial principles. 

 Regarding it in this light, I cannot, in the case of oak, beech, 

 Norway spruce, and Scots pine form a very favourable opinion 

 concerning the realisation of future profits, if the present prices 

 which prevail for timber remain unaltered. Under such 

 circumstances the aim of foresters must be, not " what profits 

 they can make," but " how little shall they lose." 



I am quite willing to admit that there is a possibility that 

 prices for home-grown timber, at any rate for coniferous timber, 

 may rise substantially. An export duty imposed by foreign 

 countries, or a duty levied at home on imported timber, would 

 have this effect. But these anticipations are perhaps beyond 

 the sphere of a forester. 



It should be remembered that he who embarks upon timber 

 growing is really " dealing in futures." Great risks are incurred 

 from danger wrought by insects, fungi, fire, and storm : and 

 hidden dangers which cannot be foreseen are almost legion. 

 Again, who shall be bold enough to deny the possibility 

 that, at some future date, any enhanced value of timber may be 

 regarded as unearned increment and penalised accordingly by 

 taxation imposed by some Socialistic Government.'* For, be it 

 remembered, growing timber is " real property " — it is part of 

 the land in the eyes of the law. 



^ Midsummer, 1909. 



