38 



growth. One specific example of yield may here be mentioned. 

 A nine-year-old stand of Eucalyptus, consisting mainly of red 

 mahogany (E. resinifera), on Maui, yielded 723 cords of fuel 

 wood and 1800 fence posts on an area of 33.16 acres, or an av- 

 erage of 21.8 cords of wood and 55 fence posts to the acre, 

 which at a value of $2.50 per cord of firewood and 10 cents 

 apiece for the posts amounts to $60 per acre a very good show- 

 ing. 



A Eucalyptus forest is a valuable and remunerative crop pro- 

 vided the owner is willing to wait some years for the returns on 

 his investment. The "business of raising Eucalyptus is, there- 

 fore, particularly well adapted to long-lived corporations and 

 companies. That the forest has a value before the crop matures 

 goes without saying. This value can be quite accurately figured 

 in the assets of a plantation by discounting back to present date 

 at an acceptable rate of compound interest, the prospective or 

 expected value of the forest at the time when it will be cut. Thus 

 if it is expected to cut the forest at the end of eight years and 

 obtain cordwood to the value of $55 per acre, and money is 

 valued at 8 per cent., the value of the grove at the end of seven 

 years is $50.92, at the end of six years $47.15, at the end of five 

 years $43.65, and so on. A lumber forest may be discounted in 

 the same way. This should be borne in mind by plantation man- 

 agers who hesitate to invest money in forest planting because 

 no showing is made of the money expended until the forest is 

 cut. In this connection it may not be out of place to state that 

 there is hardly anything on a plantation or ranch which shows 

 the foresight and thrift of the manager and is a more enduring 

 monument to his wise management than a well-regulated, rapid- 

 ly-growing forest. 



FOREST MANAGEMENT FOR SUGAR J^ljAJM T ATiON S. 



It has been shown in the early part of the report that the fuel 

 supply is becoming a serious problem with many plantations in 

 Hawaii, that the fuel bill of the average plantation amounts to 

 from $5,000 to $10,000 a year, and that there are a number of 

 places where firewood .can not be obtained at any reasonable 

 price. The fuel question in many cases can be solved only by 

 the plantations devoting a part of their land to forest planting 

 in a systematic way. On almost every plantation in the Islands, 

 pineapple and coffee as well as sugar plantations, there are 

 pieces of land, small in themselves, but aggregating a large total 

 area, unfit for the main crop, either because the land is too steep. 



