U.S. MARKET GUARANTEED

Canada's phoney

‘paper shortage

By NELSON CLARKE

U.S. imperialism is alive, if not too well, and still living in Washington. Nixon may go, to be replaced by “Clean Gerry”: Ford, but Canadians as well as people outside the socialist sec- tor around the world will have to continue -to fight for their independence.

We've been reading a lot late- ly about the fight the Canadian government is being compelled to put up to get a U.S. subsidi- ary to sell 25 locomotives order- ed by Cuba. The “continental oil policy” continues to be a cher- ished dream on Wall Street and in Washington. William Porter who stalled the Vietnam peace talks in Paris for years has now arrived as the new U.S. Ambas- sador to Ottawa. Canada is im- portant enough to begin to rate such “top level” treatment. We should not feel honored.

Paper “Shortage”?

This article is about a problem that has not yet broken into the headlines, but which should be the cause of deep concern and anger in this country. This is what is called the “paper: short- age” in a country which is one of the biggest producers of pap- er in the world.

At stake is the future of the Canadian ‘publishing industry, and involved in that is the whole ability of Canadians to produce the books which are so _neces- sary if we are to understand our past, present and future, eSsen- tial to the development of a sense of cultural identity with- out which our two nations can- not survive.

The price in Canada of high quality . book paper increased 35% in 1973. Not only that but the paper companies just simply

The Independent Publishers Association which represent in the

stopped making the less expen- sive book paper. A printshop which has been using a satisfac- tory grade of paper will be told that it is not “available,” but that another grade can be obtain- ed which will cost 50% more.

The Paper Is There

The Independent Publishers Association which represents in the main small, struggling firms that concentrate on’ producing Canadian books put its finger on the problem in a brief submitted to Industry, Trade and Com- merce Minister Alastair Gilles- pie. They pointed out that “In- dustry statistics make it quite clear that there is no real short- age of paper.” In the first nine months of 1973 shipments of book paper totalled ‘581,000 tons up 92,000 tons over the same period in 1972.

“These figures,” say the Inde- pendent Publishers, “make it quite clear that the paper is there. The paper industry is pro- ducing it. The cause of the short- age faced by publishers is that paper exports have been allow- ed to increase dramatically in 1973 over 1972. Exports of book paper to the end of Sept. 1973 were up by 51% over 1972. That increase in exports would have been more than enough to meet Canadian needs in 1973.

“So Canadian publishers are facing a paper shortage only be- cause Canadian paper is being exported, mainly to the U.S. in- stead of being available here.”

Windfall Prefits

The brief goes on to make the point that price increases in the United States are producing windfall profits for the Canadian companies. It says: :

“By the end of the third- quar- ter of 1973 almost all paper

main small firms who concentrate on producing Canadian books points out that there is no paper shortage. They charge that 1973 paper production is up 92,020 tons over 1972. Exports of book paper were up 51%, — that increase alone would have been enough to

meet Canada’s needs.

The results of the export policy has been a 35° price hike in Can-

ada for high-quality book paper.

PACIFIC TRIBUNE—FRIDAY, MARCH 22, 1974—PAGE 6

companies had at least doubled and in most cases more than doubled their 1972 earnings. By year end average profits in the industry may well be up on the average more than 200% from 1972.”

It is not hard to see why the Financial Post for March 2, 1974 can carry a headline happily pro- claiming: “Now’s the time to buy pulp and paper stocks.”

It is important to hote that the Canadian paper industry is more “Canadian” than many other sectors of our manufacturing. “Only” 60% is controlled by

foreign investors. But the Cana-

dian monopolists are very happy to export away to the presently highly-profitable U.S. market, paper that is desperately needed for the development of the cul- tural life of Canada. This is “eontinentalism.”

U.S. Supplies Assured

The same situation is operat- ing in newsprint.

The American Newspaper Publishers Association assures us that there is no shortage in the United States. “It appears,” they say that “the supply of newsprint available to the Unit- ed States in 1974 should exceed 11 million. tons. This tonnage should be adequate to meet the current needs of newspapers and other newsprint users.” ;

The Guild Reporter, journal of the American Newspaper Guild tells us that “Canadian manu- facturers, who produce 64% of the U.S. supply, expect to pro- duce 900,000 more tons this year than they did last through great- er plant efficiency and reacti- vation of mothballed equip- ment.”

Canadian paper manufacturers are very happy to export away Hs the profitable U.S. market paper that is desperately needed for ty development of the cultural life of Canada. This is “continentalism *

“Greater plant efficiency” of course is a code word for step- ping up the exploitation of the paper workers.

The increased production in Canadian mills is being achieved in face of trends to more pro-

duction of book paper which is -

more profitable, and even the closing of some mills in Canada, like E. B. Eddy in Hull, who re- fused to conform to anti-pollu- tion regulations which were at long last put into effect to end the fumes which for decades had been floating across the Ottawa River to Parliament Hill. Eddy has lots of other interests and lots of other places where they can pollute more freely without disturbing the nostrils of our parliamentarians.

And of course the increased

‘production going over. the line

is very profitable. Crown Zeller- bach Canadian Ltd. and Mac- Millan - Bloedel have just an- nounced price increases on 30 pound paper to $213.50 a ton, up from recent prices of about $200 a ton. ,

And of course Canadian pub- lishers and printers will pay these higher prices too, as well as continuing to face a quota on newsprint deliveries. (if you’ve been wondering why your Tribune subscription rate went up last Jan. 1, here’s one of the main reasons why. Unlike the New York Times, the Tribune doesn’t own several Canadian forests.) :

Foreign control attacked

Energy meet poses alternatives

By HAROLD DYCK

WINNIPEG — The University of Manitoba was the site of what was billed as “The Real Energy Conference” on March 8-10. Designed as a counter- conference to the recent Federal- Provincial Energy Conference, the meeting was called to focus attention on those energy and environmental problems facing the Canadian people which were evaded or ignored by the “offi- cial” conference.

Some two dozen _ speakers and over a hundred delegates from all across Canada attended. Most prominent were James Laxer and Mel Watkins of the Waffle. In fact, the conference almost resembled a Waffle con- vention, as most participants were Waffle supporters, mainly professors and students. What was missing was participation from the general community, particularly from the labor movement (with the sole excep- tion of Sam Sharpe of the Oil, Chemical, and Atomic Workers Union). This would seem to re-

“flect the Waffle’s inability to win

broad. sections of the working class to its policies,

The mood of most of the dele- gates was reflected by Professor Larry Pratt of the University of Alberta in his talk on the Atha- baska Tar Sands, in which he stated that the choice facing Canadians was clear, “Syncrude (the multinational corporation set up to exploit the Tar Sands) or socialism.”

In what could be termed the keynote address, Professor Lax- er said that the only real alter- native to Canadians is full pub- lic ownership of energy in solv- ing our “phony” energy crisis. Otherwise we face control by Exxon and other multi-national corporations. He went onto say, “We should not pay Exxon a penny when we take over Im- perial Oil (reflecting the fact that the value of the Canadian resources ripped off by the multi- nationals has repayed their in- vestments many times over).” It boils down to which class will control Canada. It cannot. be the class that is now in power, Professor Laxer concluded. It is the working Class, representing

Put Canzda’s Needs First

The Independent Publishet® Association has put forward # set of proposals to meet the im: mediate situation: :

1. That export controls be a, posed immediately by the eee eral government on all pane exports, to return paper exporty to their 1972 level, and that aly increases in exports be perml™ ted only after the paper con panies and paper users agre’ that Canadian demands are b ing met. ‘

2. That the federal gove™ ment institute price controls 9 paper in 90 days if the par companies are unwilling to 10 back recent price increases levels which eliminate wind! profits beyond the industry 1° in the previous 10 years.. ‘

3. That the government esta i f lish immediately a liaison CO mittee with Canadian publishé ee and other users of paper I jan der to ensure fuH consulta?” on this important matter.

These SH should be a ported by all sections ° ent labor and democratic mover as a start towards restr Canadian control over 4 ae of industry which is vital t Phe development of our nationh®

‘In the longer term, it wi b found that that control es be fully effective until the PI eed and paper industry }§ Cane from the giant U.S. and : dians monoplies, and’ Orr under public ownership. ~

Je; 80% of the Canadian per that must take power. = Most of the speakers ii strong on exposure of the ah the national corporations and ° of need for an energy policy adi! on the needs of the Ca ert people. By posing the er: tive to the control of our 4 resources by the multi-n@ corporations as being ni socialism, they fail to at he program which, could unl now labor and democratic force for # involved into the strugs'® national energy policy. ted

The conference also refle’ the one-sided approach. 5 whe hard line environmentalist strit! are opposed to further 1° ents and technological devel0F iy 3 and advanced what 35. be of © politcally reactionary in hat growth. They fail to reall?” «of the working class cannot gal’ to their position if it Med > jit rificing a better standar' ing. f stat” The Communist Party ‘i in * ment on energy, print’ ute Tribune insert, was 4% to the delegates.