12 REPORT OF THE No. 3 



Old Licenses 



The question of resuming old timber licenses granted under sales where no 

 time conditions were provided has been vigorously taken up and already large 

 areas, in one instance over 300 square miles, of young growth have been released 

 to the Crown and will form the centre of wide circles of forest productive land 

 that will be theoretically fenced and retained for the direct advantage of the 

 Crown. These releases to the Crown are under a mutual arrangement with 

 the licensees and consequently perplexing problems are being solved with no 

 direct outlay by the Government or appearance of confiscation. 



Restrictive -- Cutting 



The importance of the lumbering and paper industry is so universally 

 recognized that the most modern methods must be adopted to preserve for 

 posterity the sources of supply. Measures with regard to judicious cutting 

 and caring for the forest are being insisted upon in all new undertakings and 

 in order to place in the hands of the Government indisputable power to improve 

 any obsolete methods, the Legislature may be asked to vest in the Minister 

 through his officers power to regulate the cutting as to diameter limit, types of 

 trees, etc. Sympathetic co-operation with representatives of the industry is 

 the basis of any Legislative amendments and already conferences have been 

 held and will be further conducted when draft legislation is ready. 



Sales 



Timber sales have been made primarily with a view to caring for going 

 concerns, public competition, nevertheless with adequate upset prices fixed by 

 the Government being the policy followed. In one instance the Department 

 in order to rehabilitate an industry that had been inexistence for many years 

 but had found the sledding too hard and had later gone into bankruptcy made 

 provisions for adding to the old areas and for the creation of means whereby 

 the pulpwood supply would be manufactured into the finished product paper 

 in our own province, thus promoting industrial expansion and materially im- 

 proving the labour situation of the section involved. 



Under Appendix 11 will be found a list of the sales consummated throughout 

 the year and a cursory examination of the areas sold and the purchasers in 

 each case will disclose that the raw material disposed of was acquired by real 

 operators whose heavy committments during the coming winter will rebound 

 so much to the real life of their respective communities through the purchase of 

 camp equipment, and supplies and the payment of huge wage accounts in con- 

 nection with the cutting and hau'ing of their wood and logs, all of which in turn 

 when manufactured during the coming summer will be of vital interest to the 

 milling centres. 



The mainspring of the continued existence of the great lumbering and 

 pulp and paper industries with the communities immediately dependent thereon 

 is raw material, and when such material is cut and operated under government 

 supervision and restrictions, based upon the principles of rotation of crop and 

 perpetuation of forest wealth, sales are amply justified. 



Exclusive of cne mixed logging and pulp concession proper, covered by 

 special agreement authorized by Order in Council, there were fifty-seven separate 

 areas sold during the year, of which eighteen were two square miles or less and a 

 like number comprised ten square miles or less. The balance, or twenty-one 



