New Guinea Pine Forests Go To Monopoly

Big Flail For New Timber Industry

AFTER discussions extending over three years, the Australian Commonwealth Government and Bulolo Gold Dredging Ltd. (the most successful goldmining company in New Guinea) have agreed to jointly form Commonwealth New Guinea Timbers Ltd. (CNGTL), with a nominal capital of £2,000,000 (each side contributing £1.000,000), to exploit in the Morobe section of New Guinea a stand of Hoop and Klinkii Pine estimated to produce 500 millions of super feet.

Feature of the plan is that no more than 10 million sup. ft. will be taken out per annum; that scien tific re-afforestation will follow the cutting, so that the forests will have grown again when. 50 years hence, the last of the forests now standing on the Morobe uplands have been cut.

Government will be a sleeping partner. Private enterprise (BGD) will operate the new company. BGD is part of a very efficient and pro fitable American mining organisa tion.

Australian Prime Minister Men zies, making the announcement, on February 29, said that not only did BGD have all the facilities for this enterprise (hydro-electric stations, experienced staff, wide knowledge of how to work this timber) but it also had an excellent reputation for caring for and training its native employees.

The agreement is subject to rati fication by Parliament. It is un likely to be opposed, because the plan was actually initiated during the Socialist regime.

BGD has been cutting, logging, milling and marketing this pine, in a small way, for over a year. The Forestry Department, under Mr. McAdam, has been pro ducing and planting seedling pines, as BGD removed the trees. From the data and experience gained in this joint pilot enterprise, it should be possible to launch the bigger in dustry without argument or con fusion.

This development ensures the economic future of the Bulolo Valley and Morobe District, already threatened bv the working-out of the gold-bearing country. Timber, like gold, can be worked out; but timber, unlike the precious metal, can be made to grow again. Some where—probably Bulolo—big mills will produce large quantities of ply wood and veneers.

MANY people will feel regret that a close monopoly has been created in this new industry.

Since a monopoly had to be created, none is better fitted than BGD for the major and active part. But why a monopoly? . ..

The open goldfield attracted the

best type of individualist. Condi tions were tough, and competition ruthless, and only the best of them survived. But the country bene fited, overwhelmingly. The remark able development seen in the interior of New Guinea in the last 25 years would never have taken place under monopoly.

If this valuable Bulolo pine had been thrown open, under proper control, to selected individuals and companies, the development of the famous New Guinea plateaus and rich valleys would have been assisted more than under the present plan.

This new plan probably will much more acceptable, to both tl native-welfare-conscious Admini tration and the Trusteeship Cou cil, than competition, and an “opi go.” But it may not be in the be interests of New Guinea, in general way. On the other hand, guarantees a substantial income the sleeping partner (the Gover ment).

New Guinea Goldfields Ltd., al operating in the Bulolo Valley, p in a sawmill plant in 1950 ar working on a small lease of go pine, demonstrated that it, all could produce good sawn timb efficiently and profitably. W should it now be shut out. of

rther timber development? Pre mably, when its present limited nber lease is worked out, shortly, will have to close its timber en •prise. That seems unfair.

Trans-Busu Area

rhe name of the successful ten rer for the exclusive right to cut nber in the 21.000-acre Trans isu area near Lae, New Guinea, ,s announced on March 3. He Mr. C. R. Patterson, of Cairns, leensland.

Fenders for timber rights in this ja were called just on 12 months o. rhe area is east of Lae, between s Busu and Bunga Rivers and s described as “comparatively pessible.” Mr. Patterson will now ve the right to remove 70,000,000 per feet of timber in the area the next 10 years. In return he s to build a bridge over the isu river, and within 12 months ;ct a mill and begin operations.

\fter local requirements for

vn timber are met, the surplus 11 be available for export to Aus ilia. As well as building timbers, 5 area contains stands of red iar, rosewood and walnut.