Chris Perley writes: >Any reduction in stumpage rates through whatever policy (export bans, >direct concessions etc) does two things. Most importantly it reduces the >value of the forest ecosystem, with a subsequent trend toward a forester >focusing on reducing the cost of harvesting, instead of a focus on >maintaining an ecosystem's integrity. I do not believe that the rent (stumpage) has a direct impact on the value of the forest ecosystem. Rents are usually determined by the market value, not the other way around. The reason stumpage rates are being reduced in British Columbia is because they are so high that companies cannot make a profit in the market. British Columbia has among the world's most efficient sawmilling infrastructure, so the problem is not one of economic inefficiency. With regard to the ban on export of raw logs from public lands in BC, I agree with you, this tends to favour BC mills and to protect BC employment. This is a social policy, not an economic one. Do you think BC should allow unrestricted sales of raw logs from public lands? Cheers Patrick Moore, Greenspirit http://www.greenspirit.com May the Forest be With You Snail Mail: 4068 West 32nd Avenue Vancouver, B.C. V6S 1Z6 Canada
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