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The Pamphlet Collection of Sir Robert Stout: Volume 43
VII. Approximate Returns from the Forest within the period of the Lease
VII. Approximate Returns from the Forest within the period of the Lease.
What may he the returns to be obtained from the forest in the case of a lease for 99 years?
Besides the present value of the forest, calculated at £30 per acre, it is obvious that on a lease for such duration there will be an increased value arising not only from the natural
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growth of trees during the period of the lease, but much more on account of the enhanced value of timber resulting from augmentation of the population in the colony, diminution of the produce, and from markets to be found abroad, etc.
Details as to the working of the forest need not be entered into at present; and it may suffice to say that the lessee would have to fell the entire indigenous forest within the period of the lease, coming back on sections for the old reserved fourth as soon as the plantations did not require any longer the protection of the old trees.
Respecting the fellings of the planted forest and natural reproduction, time and experience will tell at what age they may be available
From the fertility of the soil and favourable climate of New Zealand, it may be thought that several species of trees may attain valuable dimensions before or at the age of fifty or sixty years.* In such a case there would be nearly two fellings of the new forest within the period of the lease.
However, it may be prudent to calculate on a period of seventy-five years for the fellings of the new forest, in which case they could not be affected on more than one-half of the area within the duration of the lease on account of the reserved fourth, and of plantations on the last-
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worked sections not being of age to be felled before the expiration of the lease. Delay for clearing his own wood may be granted to the lessee without affecting the duration of the lease, and plantations not to be available to him should be made at the expense of the State.
Again, the value of the new forest when it shall have attained sufficient growth, say in 75 years from date of the lease, will be fully double the value of the indigenous forest at the present time, for the reasons previously stated, so that one-half of the total area in planted forest would afford returns equal in value to those of the entire old forest.
Within the period of the lease the lessee would have received—
| By actual value | £30,000,000 |
| By increased value (and including minor produce of the forest, firewood, bark, etc.) | 30,000,000 |
| By profit at 20 per cent. on £60,000,000 | 12,000.000 |
| Returns from the old forest | £72,000,000 |
| Returns from the new forest | 72,000,000 |
| Total | £144,000,000 |
| Less allowance for plantations on one-half of the area, etc. | 4,000,000 |
| Remains | £140,000,000 |
* Captain Campbell Walker strongly recommends the introduction of the Eucalyptus in the forests of the colony. Trees of that species planted here some fifteen years ago are now measuring two feet in diameter.