Random Ramblings Editorially

By Jach Dionne

Talked to a California Pine manufacturer the other day, and before asking him what sort of a year he had had in 1927,I got my shoulder all ready to receive the flow of tears that I generally get when I ask that question recently in the lumber business (I've had my shoulder cried on by lumbermen for so many years that I've almost become immune to any feeling in the matter.) What was my surprise when he replied that while they had not set the world afire, nor startled their stockholders with the size and volume of their dividends, that they HAD made some money in 1927, had declared some decent dividends, and were looking forward to a much better year in 1928. "We worked hard, kept down our production, gave our sales the best thought we were capable of, and we got by," was the way he put it. Well, I've found that that prescription will get by almost any year.

Am hoping for a good California Pine year. (Since the dispute about what White Pine really is, I've developed the habit of just saying "California Pine" to be on the safe side.) Hope to see them straighten out their affairs so that their merchandising efforts can be renewed. It's going to be a merchandising year, and California Pine should not lag in its merchandising efiorts.

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How terrifically the truth was again driven home to the manufacturers of lumber in 1927 that price cutting does NOT increase the demand for lumber. That has been proven'through the history of the industry, but 1927 was the sort of year.that ma.de assurance of that fact doubly sure. We had a price cutting year throughout the industry, and it hurt, rather.than helped the demand. The same amount of lumber could have been sold at a price one third higher, had it been asked. In fact, the chances are that had lumber held a sustained level one third higher it would have INCREASED lumber buying. Itfs just the history of lumber, that's all.

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Don't make the mistake of selling California "short" for 1928. It should be a good year for agriculture, business, and all that goes to make prosperity. Already the rains guarantee that there will be no shortage of water, or of the power that comes from a big water storage. The founda- tions are secure. The human element is the only doubtful quantity. Industry is growing apace. Factories spring up everywhere in the state. Farm and ranch products are better distributed than ever before. The tourist crop should be a record-breaker. Building operations should not slacken in the least. All business should be good. Let's all help make it good.

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The lumber industry of the Pacific Northwest sorely needs and is eminently entitled to, a touch of prosperity. It would be a wonderful thing for the entire lumber industry of the nation if.1928 would bring higher values and a better situation in the Northwest. They need a more moderate prodirction up there, coupled with more general and intensive merchandising efforts. In the latter regard they are improving. Excellent efforts at promoting the use of their woods, are under way. But they have got to get more for their lumber than they have been getting. A year of decent prices would be a God-send in the Northwest.

The greatest trouble with the Nbrthwest is the ease with which they can turn out huge volumes of lumber. It's entirely too easy, especially for the plants that do not season their lumber for market. A two band Fir mill shipping green lumber will cut on the average about four times as much lumber as a Southern Pine mill, a California Pine mill, or a California Redwood mill of the same equipment. That's what hurts. And, on top. of that, when nothing is done to create a demand for this easily made lumber, the burden put upon Providence of finding a-satisfactory market for all that stock, is rather a heavy one.

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I often think over the situation in the millwork industry in California. It's rqtnarkable. They make the most wonderful millwork in California that is made anywhere on earth. No such variety of beautiful things from wood is known anywhere else. From a manufacturing standpoint, they beat the world. .But they ought to hire some Celotex or patent roofing man to handle their merchandising.

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Necessary ingredients for a successful 1928 prescription: Faith, courag'e, optimism, cooperation, merchandising.