FOREIGN TRADE IN FOREST PRODUCTS FROM A POINT OF VIEW OF AN EXPORTING COUNTRY—CANADA
Although Canada has been blessed with an abundant store house of natural resources and enjoys a significant measure of economic and political influence throughout the world, she has a relatively small and widely scattered population. The Canadian economy is largely based on resource industries of which those producing forest products are outstanding, and the very economic existence of Canada is dependent upon her ability to export goods and services.Some of the more critical export problem areas include non-resident ownership, the wage-cost spiral, the loss of traditional markets in forest products and finally the problems associated with researching markets in foreign countries.A matter of concern to many is the lack of investment in Canada's forests although the forest resource is capable of sustaining several times present production. Most disturbed lands regenerate naturally, but not necessarily in the desired species. The questions to be asked by management foresters are: (1) should we concentrate on the production of wood fibre or, (2) should we stress the growing of known species of superior quality? The pros and cons of each of these widely divergent forest policies are easily argued.Lack of an internal market is incurable over the short term; but Canada's immigration policies, her participation in trade conferences, agreements and international organizations, and her attempts at economic diversification all help to alleviate problems associated with her dependency on foreign markets.The results of these actions coupled with a trend toward equalization between forest growth and utilization will provide the necessity and incentive for a stepped up forest investment program in Canada.