Mr. Cashin Mr. Chairman, when we adjourned
the other afternoon I suggested to you that we had
something additional to the supplementary
report, and I will now read that additional supplement....
The Committee has recently received
numerous representations from certain sections of the country requesting that certain
timber areas now held by private corporations either under lease or free simply should
revert to the Crown. These particular areas
carry the only available timber in these ter
ritories that could be of benefit to the people
generally, either for fuel or the manufacture
of lumber for local consumption. The
Forestry Committee feels that the Commission government might make an effort to
negotiate with the companies concerned for
an exchange of properties by mutual encouragment and if possible try and effect a
settlement that would be equitably fair. A
settlement along these lines would be of
material assistance to the people concerned.
The whole supplementary report is now
286 NATIONAL CONVENTION February 1947
before the House. The other part was read the
other afternoon, and it is now open for discussion
or question.
Mr. Higgins I wonder if Major Cashin would
tell us how the amount of $25 million is computed?
Mr. Cashin If you will remember that time we
brought the original Forestry Report before this
House, we estimated that the total earning power
from the pulp and paper industry would be in the
vicinity of $16 million. Since that time, we have
had Mr. Lewin, General Manager of the Bowater
Pulp and Paper Company before the Committee,
and I think he stated in his address that the industry would be earning around $20
million in a
very short period. He said that the development
of timber for export or pulp and paper on the
Labrador could be very reasonably expected to
produce another $5 million a year. Consequently
with the price of newsprint as it is today and the
future prospects for it in the next two or three
years at $83 a ton, and figuring $35 or $40 a ton
labour, and some 500,000 tons of newsprint annually, you will find that it will go
over $20
million annually. It is well known that newsprint
gives an earning power of half the price obtained
for it. That is general.
Mr. Higgins Why I asked this is not idle
curiosity In the end of the year issue of the
Daily
News Mr. Lewin wrote an article, and in that he
said: "When it is also realised that the total
payroll of the Corner Brook company will have
increased nearly fourfold in the last ten years and
will reach close to $12 million in 1948, it will
readily be seen what this means to the west coast
in particular and the country as a whole." I assume his position was that Comer Brook
would
contribute $12 million, and I presume he meant
that Grand Falls would make up the other $8
million.
Mr. Cashin Yes, the total industry of the
country.
Mr. Smallwood When Mr. Lewin estimates the
wage bill of Bowaters reaching around $12 million in 1948, does that include the amount
of
wages that they are paying out on construction of
the new extension to the mill, or is it for permanent labour in and around the mill
and in the
woods, or does it include the short-time construction period?
Mr. Cashin No, in 1948 the constmction period
will be over, and the mill will be running in full
capacity and will have around a $12 million
earning power....
Mr. Smallwood Has Major Cashin any estimate
of what Bowaters are likely to spend year by year
for the next few years?
Mr. Cashin Their programme calls for over $12
million.
Mr. Cashin Corner Brook. Grand Falls is additional to that.
Mr. Smallwood What is under discussion is
construction or extension?
Mr. Smallwood Have you any idea what the
AND Co. are paying out now and next year and
the year after in regular wages?
Mr. Smallwood So that if Bowaters pay out $12
million in regular wages, and the AND Co. pay
out $7-8 million, it is $19-20 million a year?
Mr. Smallwood I notice that Mr. Lewin's estimate is based on present operating conditions.
Your report goes on to say, "This means that our
total prospective earning power from forest industry would be approximately $25 million
annually." I take it you mean $12 million from
Bowaters, $7-8 million from the AND Company,
and $5 million from perhaps Labrador?
Mr. Smallwood Would you give the local industry as $1.75 million?
Mr. Smallwood Is there any real reason for
supposing there might be $3-4 million spent in
Labrador.
Mr. Cashin There is no official reason, but
when Mr. Lewin came before the Committee he
indicated that there might be people who were
seriously interested in the timber resources of
Labrador — sulphite mills in Hamilton Inlet and
the Bay D'Espoir area.
Mr. Smallwood I don't want Major Cashin to
use any names he is not supposed to use, but may
we take it that there are pulp and paper mill
February 1947 NATIONAL CONVENTION 287
people somewhere who are actively interested in
developing Labrador?
Mr. Smallwood I wonder if Major Cashin
would tell us a little more about this statement
here — the third last paragraph of your supplementary report, page 2: "We understand
that
recently 320 square miles of timber area have
been granted to the Three Rapids Estate...."
That's the survey containing 20-odd million
cords of wood. Do you know the terms on which
they were granted this?
Mr. Smallwood Do you suppose that would be
the normal $2 per square mile?
Mr. Cashin Yes, and possibly a special
stumpage. I am just figuring on what some people
who were negotiating some years ago did get, and
I don't see why the government would give them
anything less than 75 cents a cord under these
circumstances.
Mr. Smallwood Would Major Cashin tell us
who the Three Rapids Estate are?
Mr. Cashin Mr. Grieve, and some English capital I believe it is Pierce and Price, timber dealers
in Great Britain.
Mr. Smallwood I have no wish to delay anything or talk too long, but this is really important,
and I don't feel like being rushed in the matter.
Mr. Lewin appeared before the Forestry Committee and gave an estimate of what they
have been
paying out in wages, and what they will be paying
out say in 1948 and maybe 1949, which is very
encouraging. He also makes the statement in your
original report here, that they had sold their
newsprint output for the next ten years in advance.
Mr. Cashin I think so. I think they sell it one to
the other at market price.
Mr. Smallwood Therefore the question we have
to ask ourselves in trying to look ahead is what is
the newsprint and woods industry generally
going to be worth to us in the next eight or ten
years. It is all sold, and is there any indication of
the terms on which it has been sold?
Mr. Cashin At the present time, as far as I know,
the rates or prices paid for newsprint are based on
a price fob New York, and that is at present $84
a ton. If they send it to South America they pay
more for it, but the basic price is $84 per ton fob
New York, and the prospects for the next few
years are that it will not go below that price. I
don't know what the Bowaters contract calls for,
but the price is the usual market price. Sometimes
they get more than market price and sometimes
less.
Mr. Smallwood I understand that the output is
sold for the next ten years to come, but at market
price. In other words it will be at the 1947 market
price, and sometimes if they want to bootleg a bit,
they might get a bit more?
Mr. Smallwood I think it is only fair to touch on
that for a moment. I have here a copy of
World
Reporter which is a very well known publication,
for November 5, and there is an article here called
"Newsprint still fails to meet the world's need."
They are running short in the world at the rate of
1,200,000 tons a year. Canada will turn out
4,200,000 tons this year, setting a new record.
Three quarters of that goes to the United States,
and the Canadian plants have reached their
capacity. Perhaps 250,000 tons could be
squeezed out of the Canadian mills by speeding
up their machines, but it says "widespread expansion is not planned because the industry
regards
the present market as a passing phase." This
present world wide shortage, and the high price
based on that shortage, is, they think, a passing
phase. Newfoundland produces 350,000 tons a
year, but most of it goes to the United States and
Great Britain. Expansion of capacity by 75,000
tons will be completed by 1948. That's the
Bowaters expansion is it not?
Mr. Smallwood It speaks of Finland, Scandinavia, Germany, Poland, etc., and it winds up
by saying, "Regardless of price, however, there
is ample evidence that the current shortage of
newsprint on a worldwide basis will carry
through 1947 and may reach 1948." The indication is that the worldwide shortage will
be overtaken in 1947 or 1948, they will catch up with the
need. Bearing on that also, the January 25 issue
ofthe
Financial Post has this on newsprint: "pulp
and fine paper price up", did you read that?
288 NATIONAL CONVENTION February 1947
Mr. Cashin Yes, that type of paper is not made
in Newfoundland.
Mr. Cashin ....Thank God we have got two
good mills in Newfoundland. They are on the
upward trend, and running at full capacity. One
is definitely going to increase its capacity 70,000-
odd tons a year, and it seems pretty sure that in
the next two or three years the price is going to
look pretty good, but I don't want to delude
myself into the belief that for the next eight or ten
years the price is going to hold at anything like
the $83 or $84 a ton that it is today. I wonder if
Major Cashin can tell us what the price has been
in the last four or five months?
Mr. Cashin During the last 40 years it has
averaged about $60 a ton.
Mr. Cashin Well it's $84 a ton now, from about
$40 in 1939. During the war we had difficulty
owing to lack ofshipping, the paper was rationed,
papers were smaller, but now everything is open
wide and Canada is producing over four million
tons a year. If the price goes down in Newfoundland it will go down everywhere, so
that it
will affect all the world.
Mr. Smallwood That's the point I am trying to
get at. The sale of all this paper is at market price,
and that is what we will get. The price may go up
or down. These are the only questions I want to
ask Major Cashin, but I do want to say a word on
this little supplementary report brought in today.
This concerns the district I come from more than
anywhere else in the country — it deals with the
three-mile limit. I remember a speech given by
Mr. Ewbank when he was Commissioner, he
deals with this three-mile limit....
[1] Do I understand that there is no three-mile limit left in White
Bay?
Mr. Smallwood He says that the whole of the
east side of White Bay is private property. You
have parts of this island, and I speak with personal knowledge of one part of Bonavista
Bay,
where there is not a scrap of timber left on the
three-mile limit, and yet on that stretch of coast
you have quite a number of saw mills, and you
have the utterly maddening situation that the
people are without timber on the three-mile limit.
Yet flanking that three-mile limit, is fine first-
class timber owned by private companies, which
they got into their hands by grant or purchase or
some other way. I notice that the Committee say
that they have received numerous representations
from certain sections of the country about this
matter. I have no doubt that many of these were
from Bonavista North, Gambo and other places
around there.
Mr. Smallwood That's a sad story, but we won't
go into that just now. i know that I am only
wasting breath, because we are not the government of the country and can't do anything
about
it. But the people who are suffering from this
would not think very much of us if we skimped
it over withjust a passing word. Some of us here
may be in the next government of the country, I
know Major Cashin hopes he will be, and I know
I hope I am.
Mr. Smallwood No, I am not convened, l always wanted our own government back. Something has to
be done. Out of that $34 million
accumulated surplus that the government has we
are going to have to lash out $1 million in the next
year or two, to buy back from Bowaters and AND
and other private owners, that timber, and make
it available to the small saw mills in various parts
of this island. I think when Major Cashin brings
in his Finance Report he had better put that down
in his budget.
Mr. Cashin Does that mean that Mr. Smallwood is admitting that we are going to have
responsible government?
Mr. Smallwood Well, the kind of government I
want includes responsible government. The
people have to have timber as much as we need
breath, and we had better get alive to that fact. I
am sure the people who sent these letters to you
and me, Major Cashin, don't expect that we can
do anything about it, and they won't blame us or
this Convention. But so long as they know that
we have it in the front of our mind that it has got
to be taken care of, that's all we can do.
Mr. Cashin We will put that in our first manifesto!
February 1947 NATIONAL CONVENTION 289
Mr. Smallwood No, I want it put in the budget.
We may have to pay them a royalty or stumpage,
but we have got to have timber for these people.
Mr. Burry I would like to express my satisfaction about this supplementary report dealing with
Labrador area. When the report came in first I
was very reluctant to accept the figures of 50 to
100 million cords in Labrador, but now that we
have the result of this survey made by the
Bowater Pulp and Paper Co., which is reliable, I
am satisfied that we do have a very fine bulk of
timber in Labrador.... On this 6,000 square miles
there is 25 million cords of wood, and that territory is drained by the great rivers
of Labrador,
Hamilton, Nascopie, Goose, etc. It is a wide area
and takes in the lower waters of these rivers. I was
pleased that Mr. Lewin says that it is possible to
put in a sulphite mill in that area. The supplementary report speaks of a paper mill
going up on the
southwest coast. Labrador will be pleased to be
able to feed that mill. I always had doubts of that
but Mr. Lewin knows what he is talking about,
and he says it is possible. Of course that will be
one of the conditions under which any concessions are given for this timber.
I have been tempted to ask for roads, etc. for
Labrador, but I don't think we should take up the
time for that. I do ask your indulgence for a few
minutes about the possibilities of the sulphite
mill. We have 130 - 140 families in this area that
are going to be robbed almost completely of their
means of livelihood down through the ages. They
are trappers, and go far afield, and when this
wood cutting project starts in these rivers,
naturally it is going to destroy the trapping
grounds, not only in the immediate vicinity but it
will bring in other outside people who will not
observe the customs and unwritten laws of these
people under which they have been trapping all
these years. These have been observed religiously among the people. Their trapping
grounds 200
miles away are going to be destroyed and their
work spoilt. It will take a long time for them to
change from that to wood cutting, and they are
very much afraid of it. I think it is of great
importance that whatever government is in power
in the future Labrador is going to be represented
on it, and this will be a point brought out at that
time. I want the members to bear this in mind,
when they do become members of the next
government of Newfoundland....
Mr. Vincent ....The outlook as far as forestry is
concerned appears for the year just opened to be
one of continued and reasonably profitable activity. The records for l945-46 show
a total export value of our forest industries that exceeded
$20 million, and at present the demand for
woodsmen far exceeds the available supply. The
overall picture is fairly optimistic. Mr. H.M.
Spencer Lewin, General Manager of Bowaters
voiced opinions which amply justify our optimism.
The forest industries have progressed to such
a degree that today they occupy the position of
the major asset in terms of comparative values;
and the fact that they are not subject to the extremes of booms and depressions which
so characterise our fisheries, makes them figure still
more prominently in the economic life of our
country. Worthy of special notice is the fact that
the output of our mills have been sold ten years
in advance. This bespeaks sound markets and a
healthy demand for our products, and while it
must be clearly understood that the ten year contract is naturally at the then market
price, it nevertheless portrays a very flourishing condition for
our newsprint industry.
The tragic fire at Glovertown recalls to us the
value of reafforestation and the importance of a
competent forest tire patrol. It would be criminal
negligence on the part of corporations and people
not to do everything to prevent a repetition of
such wanton destruction of our God-given
wealth. Reafforestation is of great importance,
and if our forests are not to be depleted, the
government should replace the present passive
policy of awaiting natural regrowth by a vigorous
well-planned programme of reafforestation.
Labrador, a vast potential of unknown wealth,
may in the near future contribute in substantial
measure to the stability and growth of our
economy... But are the men who have to live
from our forest resources just one big, happy and
prosperous family? After such a pleasant
prospect it is tragic to introduce a negative note,
but I have a letter here from a constituent of the
District of Bonavista Centre, and many such letters came to me last week.
I have said that I am not greatly interested in
forms of government; as far as I am concerned,
whatever's best administered is best. But I am
gravely concerned about the alienation of the last
290 NATIONAL CONVENTION February 1947
privilege and right of the fisherman and mill
owner. This one came from Mr. Smallwood's
district:
Dear Sir:
With the opening of the National Convention, I wish to draw your attention for a few
moments — knowing you are appointed one
of the Forestry Committee.
What I wish for you to do, is to put before
your committee the circumstances of the
sawmill owners and the general public of the
east coast of Bonavista Bay.
In this district there are quite a number of
sawmills which support quite a number of
families and do a lot of good. Without these
mills, the people of the east coast would be
in a very awkward position for building purposes. In the very near future — if something
is not done — if we need say one hundred
feet of lumber, we will have to import it from
Canada, which to my idea should not be
necessary.
I think it time we should get busy and
demand a certain cutting plan, not that I want
to interfere with the operations of any of the
companies; I will say there is sufficient timber if laid out in the proper way, so
will you
kindly do your best to get something done.
To my mind the forestry situation is
similar to the road building in this country; a
few places get all the roads leaving the others
with nothing.
Hoping to hear from you in the near future.
We may be forced to import lumber for our
people. The fishing industry cannot exist without
timber resources. My friends down in
Greenspond must have material to build boats.
They must cut wood to erect stages, and they
must have fuel. Obviously none of today's temporary political administrators in this
country
care two hoots as to what happens to the fishermen, planter, or the small mill owner.
Their very
existence is dependent on the forests of our island. Have these men a case? Their
fathers
pioneered and blazed the trails. Now this
birthright is gone; they may not operate their
mills; they may not erect a shipbuilding yard.
This deplorable situation cannot be laid at the
doors of the large newsprint corporations —
rather it is to be placed squarely on the shoulders
of the government which permitted such a thing
to happen.
The two paper companies play a big role in the
economic life of Newfoundland. Both are
progressively managed and contribute in a large
way to the welfare of our people. But I affirm that
the two past governments have blundered in permitting the leasing of the timber limits
around the
coastal belt of our island; but sympathy is not
enough.... These men have a case. They have to
protest....
Mr. Chairman The motion is that the committee rise and report having considered the matter
to them referred.
Mr. Ashbourne Mr. Chairman, before the committee rises, I would like to make a few observations.
What I would like to see is a statement
showing how much money from the products of
the forests remains in Newfoundland. We know
some money goes out, but we are mostly interested in what remains. The people in our
section
were greatly disappointed when we realized that
there would not be a mill on the Gander River,
because we hoped to have a great deal of employment for the people of Notre Dame Bay
and it
was also hoped that mill would be able to utilise
a considerable quantity of the timber on the
Labrador.
I don't want it to be thought that I have any
fantastic ideas on the value of Labrador, yet I
maintain that we have an asset of great potential
value, and that this territory should be safeguarded for generations to come, and
not be
bartered away. We have minerals, tremendous
water-power, the Hamilton River, and ten main
rivers in Labrador, a territory almost three times
as large as Newfoundland, and twice as large as
England. I hope and trust that these assets and
natural resources will be so utilised that they will
be an increasing earning power for our people.
The matter ofa sulphite mill (I presume to be run
by waterpower) is an admirable suggestion....
I see that the government are making plans for
a complete survey of Labrador timber, and I trust
the people who make this survey will be competent to do it by an aerial survey and
also a
survey by land. It would be a good idea for the
people of Newfoundland to put up a paper mill to
be run on a co-operative basis, but unfortunately
we are a small country. While we have many
millions of dollars in the banks yet, unfortunate
February 1947 NATIONAL CONVENTION 291
ly, we have to look to outside interests, these big
companies to come here and start these industries. We are glad to have them here,
but we
want to be very careful when we are making
arrangements with these big companies. I think
one of these companies is protected, as far as the
tax they have to pay is concerned, up to 1973....
All these resources that can be manufactured in
Newfoundland mean much more to us than if we
export raw wood. We know the coal mines in
England need the pit props, and that there is a
demand for wood for export, but the best interests
of Newfoundland will be served by manufacturing into finished products as much of
the assets
of our country as we can possibly do.
Mr. Higgins Speaking of forms of government,
and remembering the old adage "politics makes
strange bed-fellows", and referring to the statement by Mr. Smallwood that he hoped
that he and
Major Cashin would be in the same government,
I was wondering just what form of government
that would be. But what I really meant to say was
that I was very impressed by the addition to the
supplementary report, and I think that particular
aspects should be stressed very highly — the
three-mile limit has practically nothing left on it.
I think, if possible, the recommendations of the
Committee should be carried out in some form,
and possibly if we tacked a little more on it the
powers that be may be impressed, otherwise all
that will be left for these people will be "small
wood".... With reference to the sulphite mill in
Labrador, is it a fact that sulphite pulp cannot be
kept very long as it goes sour, and that is why
there is no sulphite mill there at the present time?
The other question is, can you split up that $5
million extra over the $20 million for Newfoundland?
Mr. Cashin ....I understand there is now some
process whereby they can store sulphite for a
considerable period.
Mr. Cashin No, not years ago. With regard to
splitting up that $5 million, I would like to have
it here to divide between us! But the labour from
that sulphite mill, that is the manufacturing,
would average $40 a ton. You would want a
capital of roughly $5 million to build town sites,
wharves, etc., to produce 100,000 tons of wood
or more a year, and that would give from $1.5 —
$2 million earning power. Is that satisfactory?
Mr. Smallwood I don't want to delay things, but
something has me puzzled, and that's the actual
amount of timber in Newfoundland. This is a
copy of everything taken in 1914 by the
Dominions Royal Commission.
[3] Sir Edgar
Bowning was a member. Before that there was
George Turner, who was Deputy Minister of
Mines. He was examined by Sir Rider Haggard,
who said:
You have in this country a vast area of
timberland still left? Ans. I would not say a
vast area. There remains the considerable
timbered portions of the three mile coast
fringe.
Ques. But inside that? Ans. All inside that
is now owned by private parties. Ques. The
government has only the three mile coast
fringe?
Ans. Yes. Ques. And inside the three mile
limit it is mostly covered with timber? Ans.
No, about l0,000 square miles would cover
all the remaining timber of merchantable
quality.
In 1939 Mr. Ewbank said this: "We have not
yet made a complete survey of the timber on
Crown lands, but the Forestry Officer, Mr.
Turner, has been collecting data for some years
and now reports that he has enough information
on which to make a rough estimate. He calculates
that the total value of soft wood on Crown lands
is not more than six million cords. In addition
there is a good deal of acreage where young trees
are growing up after burning. He calculates that
there would be two million cords of growing
stock." That gives us eight million cords of soft
wood.
Now I come to the Report, page 12, paragraph
10: "From information given us we find that, the
total amount of wood available on Crown lands
is roughly five million cords (excluding birch)
and the total amount on leased lands is 60 million
cords." The point I want to make is that in 1914
the Government of Newfoundland estimated that
the Crown had in this island 10,000 square miles
of timber. In 1939 the government estimated
eight million cords of soft wood, that is counting
two million cords of young stuff that was just
292 NATIONAL CONVENTION February 1947
growing where it had been burnt over. Now the
government estimates a total of roughly five million cords, not counting birch. What
I am getting
at is this: does anyone know how much timber
we have in Newfoundland?
Mr. Smallwood But does anyone know how
much timber we have belonging to the Crown?
Mr. Smallwood I wonder if the Convention
realises what a damning reply that is. Not damning to the Forestry Committee now,
but to the
Commission of Government, particularly damning to them, but damning to every government
we have ever had. For 13 years they have been in
this country and surely within the first six months
they would have taken immediate steps not merely to find out how much timber we had
in Newfoundland, but how much minerals, and how
much waterpower. Today they still don't know
how much timber the Crown owns in this
country; or how much waterpower is here. The
other day the government decided to get a
hydroelectric engineer to come and make a survey of the waterpower — after 13 years!
And
here we are trying to make an appraisal of the
value of the resources of the country, and we
don't know yet (a) how much timber we have, (b)
how much waterpower we have, (c) how much
minerals. Major Cashin is looking very pleased,
but I am not saying it for his benefit, that is the
position. Would Major Cashin tell us frankly that
he does not know and the Committee does not
know?
Mr. Cashin The only information is what we
have got from the Department of Natural Resources — about five million cords.
Mr. Cashin Well, they told us they are only
making a stab at it.
Mr. Smallwood No doubt when Mr. Higgins
brings in his Mining Report he will be able to tell
us just what minerals we have. What about the
waterpower'? What committee looks after that?
Mr. Cashin It comes under the Finance Report,
I think.
Mr. Smallwood You mean that we will have a
watered financial report?
Mr. Miller After Mr. Smallwood spoke about
the government purchasing back that timber I
really thought he was going to suggest that we
include another $5 million to survey the waterpower and minerals, etc. in Newfoundland,
but
he did not do it. I am rather disappointed.
Mr. McCormack Hitherto I have taken very
little part in debate on the different reports. For
this reason, and also because of the fact that you
have patiently tolerated irrelevancy in the past, I
now tmst that you will allow me some latitude if
I too am a bit irrelevant. I did not take part in
debates for various reasons, chief of which was
that I always felt, and still do, that we should
never have had public sessions and that we would
have done our work much more efficiently and
with less politics if we had had a summary of our
proceedings given weekly to the press and broadcasting stations. lt is a rather late
date to be
expressing such opinions — I give them now
only because some of the people in my district
listening to the various speakers talking of roads,
etc., in their districts seem to think that those
districts are going to have a lot of public funds
expended there, and are afraid that history will
repeat itself as in the old days of responsible
government when it was said, "All gone and none
for St. Mary's". This phrase originated presumably because of the fact that St. Mary's
district never seemed to be able to get anything done
from the Public Works Department. I wish to
assure them that were it a matter of voicing our
needs at this Convention, I would be on my feet
as readily as any of the delegates.
Mr. Chairman this supplement to the Report
of the Forestry Committee is very encouraging
and the co-operation of Mr. Lewin in giving us
the results of his company's private surveys is to
be appreciated. I am not over-enthused over these
companies getting so much control over so much
of our territory. The different governments in the
past have made a rather thorough job of giving
away our assets — waterpower and forests. The
paper companies have virtually closed towns
with the corporations controlling everything and
we, the owners, even leave it to them to carry out
a scientific reafforestation policy. It is quite true
that these industries leave considerable money in
the country but it is only sufficient to operate their
work and the profits go outside the country.
If we are to judge by the different committee
February 1947 NATIONAL CONVENTION 293
reports received to date which recommend an
additional expenditure in every department of
government, it would seem that we cannot look
forward with any degree of optimism to being
self-supporting, when we consider the enormous
expenditure at present. However, this may not be
a true picture. We have been told that our
economy is affected by things outside our control. This is only partly true and might
be partially
overcome by a revised policy with a progressive
programme to lessen these outside influences.
Also we should produce in this country as much
of our necessities which can economically be
produced. We have plenty fish, and I am convinced and I believe the report of the
Agriculture
Committee will convince you that we can
economically produce beef, pork, veal, lamb,
chicken, potatoes, cabbage and turnips — besides
other vegetables — as also milk and butter. If we
can do this we should be able to export fish
enough to give us a good surplus for luxuries,
after buying the essential foods, clothing, etc.,
which we cannot produce ourselves.
It should be obvious that the salvation of this
country is primarily the fisheries from which the
bulk of the profits are ploughed back into the
industry. Fresh frozen fish in particular should be
encouraged and exploited to the full with an
advertising campaign to secure more markets,
and which is very important, marketing in local
bottoms. Most important if we are to encourage
young men to go back to the fisheries is that we
re-organise the whole set-up for a more equitable
distribution of the profits so that the primary
producer, the fisherman, gets returns capable of
giving his family the ordinary amenities of life.
As pointed out we should expect some assistance in securing markets, by reason of
the lease
of bases to the United States of America and
Canada. Most Newfoundlanders feel that we got
a rotten deal as we got only the labour value of
construction, and even this was considerably
reduced due to our own government limiting the
rate which Newfoundlanders should be paid.
These bases were necessary for the joint defence
of the United Kingdom, the United States of
America and Canada; therefore we should get
special consideration by all three countries,
whether by tariff concessions or otherwise in the
development of markets. I will not now deal with
the absurdity of a little country without planes of
its own operating an airport, the facilities of
which are enjoyed by the international transport
system. Personally I don't think we are losing any
money by it but do feel that we could use it to
better advantage.
In addition we have imports, the importance
of which is often overlooked — banking, insurance, and ocean freights as examples.
These
are a drain on our economy even though they do
leave a certain amount of money in the country
in salaries, commissions, etc. We pay high rates
with the money going to foreign concerns, whilst
our own people are investing their money outside
this country.
Should our future government take steps to
remedy some if not all of these conditions, we
could then indeed look forward with optimism.
Most delegates have spoken of conditions in
their districts, particularly road conditions. If you
will permit me, I would make a few observations
on my district. Road conditions in general are far
below the level of secondary highroads with
many sections without any roads. The people of
Colinet Island, where there are two settlements
of about 50 families who make a comfortable
living from the fisheries, have been seeking for
years assistance in the building of six miles of
road. Colinet island is about one-half mile from
Admiral's Beach, a settlement on the mainland,
six miles from O'Donnell's, which at the present
time is the end of the road connecting through to
St. John's and other points on the Avalon. It is
unnecessary for me to elaborate on the convenience and necessity of this road to these
people. Another instance of neglect is the settlement of North Harbour, one of the
best harbours
on the Newfoundland coast, where they have no
road nor even telephone communication. Five
miles of road would connect North Harbour with
the Argentia highroad at a point near Colinet. The
lack of it necessitates a motorboat journey of 20
miles, and in the case of medical attention or
hospitalisation, this is not only very unpleasant
and dangerous, but sometimes impossible. Both
these settlements get a weekly mail service,
where the courier who carries the mail on his
shoulders gets around $7 per round trip. Mal Bay,
where there are about 40 families, has no post
office or mail service. I could go on picturing the
utter disregard towards the people of Trepassey,
where they are cut off all winter without medical
294 NATIONAL CONVENTION February 1947
services of any kind. However, I see no point in
enumerating the various needs of our districts and
I feel sure that the people in St. Mary's district
realise just what the Convention was appointed
to do. I wish to assure them that I have great
optimism for the future of this country and feel
confident that never again shall it be said, "All
gone and none for St. Mary's."
Mr. Higgins Mr. Chairman, if you will pardon
me for diverting a moment or two to the last
phrase, maybe St. Mary's pays for it all. I believe
that the last speaker has a communication on his
desk, and he should bring it forth; it is from his
district.
Mr. Chairman That is a matter for himself, I
have no knowledge of the contents of the document.
Mr. McCormack Mr. Chairman, this is a communication from a person in my district asking
fora bridgewhich he thinks it is necessary to have
there. Perhaps it is, but if any of the people in my
district wish to have anything for the district
mentioned here, they will have to speak of it to
myself.
Mr. Higgins I think it is off the line, but as the
communication came to me I passed it to him and
I feel he should give it to the people. Perhaps he
might for a moment tell what his constituents
want.
Mr. McCormack I think I made it very clear
that I believe the people of St. Mary's realise
what the Convention was appointed to do here,
and, as I said at the beginning of my talk, we are
not here to talk of the needs of our different
settlements. If most of the delegates had realised
that from the beginning we would probably have
finished up our work by this time. As I told Mr.
Higgins, if this gentleman wants to have anything
spoken of about his district he will communicate
with Mr. McCormack and not Mr. Higgins.
Mr. Hollett In rising to ask Major Cashin a
question I congratulate him on the complete
report his Committee has brought in, and I would
also like to congratulate both him and Mr.
Smallwood on the affability with which they
carried on their conversation today. I would like
to ask if your Committee had any discussion with
Mr. Lewin relative to the matter of either reafforestation or afforestation?
Mr. Cashin Yes, there was. I just give it to you
from memory. We covered reafforestation in this
Report, I think you were there, and he told us that
an expert who came here about a year and a half
ago, went into the matter and made certain
recommendations, and the two companies
together were prepared to pay two-thirds of this
reafforestation, the total cost being around
$19,000. They were prepared to put up two-
thirds, but the government refused to put up the
other one-third, feeling that it would be an awful
thing for the government to put up $6 - 7,000.
That is the matter this gentleman was down here
to discuss....
Mr. Smallwood Where were they to reafforest,
was it company grounds?
Mr. Smallwood While you are on your feet, is
that this Avalon Peninsula scheme that Mr.
Lewin spoke of? We know that the Avalon is
nearly barren now, is that the scheme?
Mr. Hollett I understood it was also on the
three-mile limit, and it would take ten years to
develop.
Mr. Smallwood I would like to ask Major
Cashin one final question.
Mr. Smallwood All this information you have
here in your supplementary report about the timber in Labrador, is information apparently
that
you got from Mr. Lewin. Right?
Mr. Smallwood What information did you get
from the government on timber in Labrador?
Mr. Smallwood This information that you got
from Mr. Lewin, didn't the government have
that?
Mr. Cashin No, I don't think so, it was
Bowaters private property which they paid for in
1937 or 1938. They had given it to the government to have a look at, but they returned
it.
Mr. Cashin I don't think so. I think we put in
February 1947 NATIONAL CONVENTION 295
there in the end of the report that they are now
considering having a survey made on Labrador.
[The committee of the whole rose and reported
that it had passed the report. The Convention
adjourned]
