N 5

21. The above operations were generally satisfactory. As in the previous year, better results were obtained from broadcastings than from pit sowings. On the whole, germination was very good and results in this direction were very satisfactory.

22. Outturn of Timber The outturn of timber from the forest areas was in conformity with the arrangements made for passing extracted timber to the Stores Department for issue to government departments in the form of firewood. The estimated amount required for this purpose is 900 tons (avoirdupois) per annum. These extractions consist chiefly of dead and damaged timber from the forest areas and of small quantities removed from building sites, etc. The actual amount of timber of this nature passed to the Stores Department totalled 912 tons (avoirdupois) and its estimated value for firewood purposes at wholesale prices (after allowing for transport and conversion costs) was $21,764. Costs of felling and extraction to the nearest point on the main roads was $2,400 i.e. $2.63 per ton or about 15 cents per picul (H.K. $1/-1s. 3d; 1 picul=133 lbs.)

23. Imports and Exports of Timber etc. (Standard Form X.)-Reference to this form shows that imports are large and timber for all purposes is derived entirely from other countries. Charcoal has been included on this occasion as it is an item of considerable importance. The chief countries of origin in order of importance are British North Borneo, Thailand, U.S.A., Malaya, Canada. Comparison with figures for the previous year show that the chief increases are from British North Borneo and Malaya. In addition to increases in other items these two colonies supplied 67.5% of the total firewood imports as against 21.6% for the previous year. Co-incident with this, imports from South China dropped from 52% to 2.9%. With regard to Charcoal, the chief sources in order of importance were French Indo-China, Malaya and British North Borneo. Exports of timber (re-exports) were considerably reduced, being a little more than a third by value of those for the previous year, which gives some indication of the state of the South China market under present conditions. Total imports showed little variation in value, for the reduction in imports of China Fir and Softwood n.o.e. was offset by corresponding increases in American Pine. The fact that the Colony absorbed timber to the value of a little over one million dollars more than in the previous year is interesting. The thanks of the department are due to the Imports and Exports Department for kindly supplying the statistical data for this form.

24. Revenue and Expenditure-In view of the composite nature of the department and the fact that some votes serve all sides of the work, it is not possible to give absolutely accurate figures for expenditure on forestry such as are required for standard forms, but those supplied in departmental Tables II, III and IV are considered to be a fair statement of forestry revenue and expenditure and may be taken as substantially correct. As in the previous year, the value of the timber extracted and passed to the Stores Department is estimated and put to the credit side. The high figure thus obtained is due to the artificial prices ruling for firewood which is a result of the abnormal conditions prevailing.

25. Strength of Staff-The permanent staff of the forestry section is as follows: senior officers 2 (1 part time) intermediate officers 3, foresters 3, forest guards 13 others 35. This staff is augmented by temporary labour as required and the average daily number of employees of this nature during the year was 116. The staff was employed as follows:-administration and supervision 5, routine work 75, protection 92. The necessity for employing a larger number of men for protection work than was employed for normal forestry operations is worthy of note.

26. Taipo Kau Forest Reserve-This reserve is now the forest experimental station but before it can properly function as such a good deal of preliminary work is needed. Part of this was dealt with, the chief items being (i) survey and plan of the area this was kindly dealt with by the P.W.D. (ii) resumption of some small padi areas (1.3 acres in all) and preparation of the site for nursery purposes. (It

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