14 



X. H. Ac.R. Experiment Station 



[Bulletin 318 



Estimates of production wore obtained on an annual basis, and to as- 

 sure comparability it is desirable to present estimates of consumption in 

 the same manner. 



Any comprehensive discussion of demand must consider both the quan- 

 tity and quality of the product demanded. Each wood-using industry 

 has certain specifications as to grade of log desired and quality below 

 which it will not purchase. In obtaining an estimate of consumption, 

 consideration has been given to this quality factor. 



For many wood-using plants the amount of raw material used during 

 any particular year will not be an accurate measure of effective plant 

 capacity. By "effective plant capacity" is meant that capacity which is 

 attainalDle under the practical operating conditions which exist, ^ To ob- 

 tain the estimates presented in Table 5, all available data were utilized 

 and were supplemented with an examination of each plant. Such factors 

 as efficiency of set-up, obsolescence of machineiy, and any other factors 

 which might limit the output were considered. 



Table 5. — Typical^ annual cut and effective capacity of stationary and 

 portable mills operating within the area 



For products such as low-grade saw timber, the area from which it is 

 economical to haul logs is relatively limited because of the tendency of 

 transportation costs to exceed value of the raw material. The situation 

 is very different, however, when dealing with products of high value. In 

 a later section dealing with transportation this whole question of the dis- 

 tance of economical haul of various products is discussed in some (h'tnil. 

 In preparing Table 5 the policy has been to include wood-using plants 

 located within the area or within economical hauling distance. Sales of 

 small quantities of such products as high-quality ash, sugar maple, paper 

 birch, etc.. to industries located outside the area have been infliulod in 

 the table. 



Sales of pulpwood, excelsior wood, and cordwood are not included in 

 this table. Because pulp mills have been located at too great dist^inces 

 from the area, they have not offered markets sufficiently attractive to 

 bring forth an appreciable amount of pulpwood. 



'This concept is used in the Brookings Institution study: America's Capacity to Produce, p. 27, 

 1934. 



