16 REPORT OF THE No. 7 



lack of business frankness, and, to a limited extent, European importations, in 

 connection with the pulp and paper enterprise, are reflected in decreased output 

 and unstable employment. It is hoped that in due time the situation, gradually 

 improving, will be completely adjusted and the community centres that have 

 developed about and relied upon a full-time plant operation will become more 

 buoyant. 



It is interesting to observe that all agencies directly or indirectly associated 

 with the forest products industry are animated with a desire to work harmoniously 

 towards a common end of perpetuating, so far as it is humanly possible, the 

 n?+ural forest wealth. Much indeed is written nowadays concerning an approach- 

 ing world shortage of raw material. Ontario, while singularly favoured above 

 most countries, in respect of its timber supplies, must by reason of this very fact 

 ever look forward, and in its administration of the timber resources consider its 

 great tracts of wooded land as a real capital investment that must yield a fair 

 annual return not only for the present generation, but for generations yet unborn, 

 and with the acquiescence of the general public and the practical co-operation 

 of the interested dealers a solid foundation is being laid upon which a proper 

 superstructure can be effectively built. 



Areas Sold 



Fifty-two areas ranging in size from one-quarter square mile to 975 square 

 miles, were sold under advertised public competition. Thunder Bay District 

 was credited with twelve, Timiskaming with ten, Cochrane with nine, Kenora 

 with seven, Rainy River with six, Sudbury with five, Algoma with two, and 

 Nipissing with one. Of these, nineteen were exclusive logging propositions, 

 largely red and white pine and jackpine with a percentage of spruce, all being 

 acquired for the manufacture of lumber. Thirteen were mixed timber operations 

 comprising logging for saw milling, cutting pulpwood and making ties. Pulp- 

 wood areas accounted for fourteen sales, and fuelwood, tie-making and clean-up 

 logging for the balance. In seventy-five per cent, of the sales the Crown received 

 bids above the upset price and in no case was an area sold at less than the price 

 fixed in the advertised conditions. The prices bid and successful tenderers may 

 be seen by a reference to Appendix No. 11. A perusal of this tabulated state- 

 ment will disclose that with the exception of certain small areas, covering one 

 square mile or thereabouts, where small jobbers find it convenient to invest and 

 do a logging business on a scale proportionate to their means, the limits were 

 acquired by active operators who are operating mills and employing labour 

 throughout the summer and winter seasons. 



The largest area disposed of comprised 975 square miles in the Sudbury 

 District, the successful tenderer being the Howard Smith Paper Mills, Ltd., who 

 operate a very large mill at Cornwall. This company have been depending 

 partly on raw material imported into the province and that secured from the 

 settlers or private owners. The indeterminate nature of this arrangement placed 

 the company in a position where security of continuing an Ontario concern was 

 uncertain. Consequently the company for some years had been seeking a home 

 supply that greater stability would be assured. Their rights on the limit have 

 been restricted to spruce, balsam and poplar pulpwood, the log timber being 

 free for disposition on the part of the Crown. 



Logging 



The area under license, exclusive of that covered by pulp concessions proper, 

 was 19,608 square miles and the number of licenses issued was 953. The actual 



