372 



Canadian Forestry Journal, September, I9J9 



WHO WILL PAY THE FORESTRY PIPER? 



The following portions of an article in the 

 "American Lumberman" by B. A. Chandler, 

 have an interesting relation to the contention 

 of Canadian conservationists that the Provincial 

 Governments, notably of Ontario and Quebec, 

 and New Brunswick, are "cashing in" each year 

 on their forest resources and selling the capital 

 assets regardless of the effect on the future 

 interest returns. 



Of course, there is a handy rejoinder that 

 the provinces do not know their timber re- 

 sources and therefore estimates of excess cut- 

 ting are speculative. A lawyer might com- 

 fort himself with such a thought, but exceed- 

 ingly few lumbermen or professional foresters 

 will. It has frequentlybeen urged that On- 

 tario, Quebec and New Brunswick will soon 

 have no other alternative as a matter of self- 

 preservation, than to put back into replacement 

 account the bulk of income now derived from 

 forest taxes. 



Mr. Chandler is discussing, not the Canadian 

 position, where the Governments own the for- 

 ests and are masters of the situation, but the 

 American dilemma consequent upon private 

 ownership of the nation's main timber supply. 

 No Future Supply. 



"The public in the long run, gets what it 

 wants. Many a city wanted an electric rail- 

 way, purchased it at the price of an unlimited 

 franchise, and would not give much to be rid 

 of its bargain. Such cities are repenting in 

 'sackcloth and ashes' that they did not look far- 

 ther and think deeper before making their de- 

 mands. Yes; the American public gets what it 

 demands, but it is sometimes sadder and wiser 

 because of the unforeseen results of its action. 



"At present much is said about the failure 

 of the lumber industry to provide a future sup- 

 ply of timber to take the place of the crop now 

 being harvested. Evidently some now feel that 

 it is time for the pressure of public sentiment 

 to be applied to the lumber industry. 



"That the lumber industry is in a very bad 

 economic condition and that a future supply of 

 timber for our wood-using industries is not 

 being provided are two facts beyond doubt. 

 Permanent Management. 



"The lumber industry has frankly cut out 

 one region after another without making any 

 provision for a future crop. The pulp compan- 

 ies have been a little more interested in natural 



reproduction and planting; but few, if any, 

 of the mhave provided a jiermanent supply of 

 raw material. The difficulty with which cer- 

 tain species were obtained for war purposes 

 makes it evident that the supply of our more 

 valuable species is getting low. The condition 

 of any region after a wood using industry has 

 moved on it is so bad that it is, for this reason 

 alone, to the interest of society to establish per- 

 manent forest management as soon as possible. 



Private Funds for Planting. 



"The growing of timber has already attract- 

 ed private capital on a small scale. The writer 

 knows of men who have purchased small tracts 

 of cheap land and planted them to forest trees 

 instead of buying a life insurance policy for 

 their children. Private individuals have been 

 doing considerable planting within the last few 

 years and most of it has been done on the in- 

 vestment basis, although very few of them are 

 keeping accurate enough accounts to tell just 

 how much they have invested. However, when 

 a shortage in the supply of timber has forced 

 the price of wood products high enough to at- 

 tract large quantities of private capital it will 

 be too late to save our forest industries or our 

 communities dependent on them. Private cap- 

 ital can not be depended on to respond soon 

 enough to any situation which requires as much 

 time as it does to grow a crop of trees. 



Broad Issues Suggested. 



"If we can hope that private capital will 

 handle the situation and we have not the moral 

 right to force private capital into it, the only 

 way the investment idea can be carried out is 

 by the Federal and several State Governments. 

 Since our governments have not surplus capital 

 for investments, the only way is by bond issues. 

 The principle of bond issues for public im- 

 provements which are expected to last over 

 long periods of years has been accepted to a 

 great extent. These public utilities all depre- 

 ciate in value, and those who get the first use 

 get the best use. A young forest is of no use 

 at first and is continually increasing in value. 

 If it is just to tax the coming generations to pay 

 both the interest and principle on bonds on 

 depreciating improvements it would surely seem 

 just to tax them to carry timber bonds on which 

 both the principal and the accumulated interest 

 will finally be paid by the consumer of the for- 



