Kauri Timber Company further records.

The Kauri timber industry was Auckland's major industry by the 1880s. However, by 1888 the depression was evident and timber merchants were severely affected by the virtual cessation of the local building trade.

In 1888, timber merchants David Blair of Melbourne and George Holdship (Auckland Timber Co) of New Zealand, conceived of a plan to salvage the Kauri timber industry by using Melbourne capital to finance the amalgamation of the main NZ timber concerns. Both were relying on John Sharpe of Melbourne (founder of The Australian Steam Saw and Moulding Mills in 1865) for capital.

In March 1888 a Provisional Syndicate was formed to investigate the venture. Interest widened and in April the Provisional Syndicate was replaced by the Kauri Syndicate which floated The Kauri Timber Company on 7 July 1888, with 600,000 two-pound shares. The syndicate paid the costs of the negotiations and agreed to accept as payment 150,000 paid up shares.

According to the prospectus the company had the virtual monopoly of the Kauri forests in New Zealand currently alienated from the crown and owned most of the important saw mills (See Appendix 1 for list of companies).

As 450,000 contributing shares were not fully subscribed the syndicate had to pick up the rest and hence directors in Auckland and Melbourne owned half of all the shares.

Although Holdship was made Managing Director in August 1888, by 1889 the need for administrative changes had become apparent. Holdship was relieved of administrative duties and Bridgeman put in as acting secretary to get the business in working order.

By 1889 only 12 mills were working in New Zealand and some of those at half time. By 1890 the depression in New Zealand was at its lowest point. The few mills that were still going were able to do so because of the 1880s building boom in Melbourne.

Increasing references by NZ government to needs for conservation of kauri and the introduction in 1903 of a three limit of Crown kauri to each mill led The Kauri Timber Company to diversify into other sorts of timber; totara, matai, rimu and white pine. Shares were acquired in White Pine Co. in 1902, Ellis and Burnand in 1904, and Butler Bros Ltd in 1907. The Australian company West Australian Jarrah Saw Mills Ltd was also purchased in 1912.

In 1902 The Kauri Timber Co. were offered and accepted 3000 shares in White Pine Co., established by the Butler brothers in 1900. This also gave them holdings in subsidiaries Mitchelson Timber Co. and Bagnall Brothers Co. Ltd.

In 1907 they acquired a half interest in the firm by purchasing 7000 shares from the Butler brothers. The other 7000 shares were purchased by Mitchelson Co. and each company appointed two directors.

The Butler brothers had sold White Pine Co. in 1907 to pursue a proposition in the South Island. They later formed a company to take over their interests in the South Island venture and offered Kauri Timber Co. an interest. Kauri Timber Co. accepted 2/5ths share and Butler Bros located their head office in the Auckland offices of The Kauri Timber Co. In 1911 Butler Bros needed capital for expansion and Kauri Timber agreed to accept a greater share.

As the Ellis and Burnand association would have been looked on unfavourably by the Seddon government, both parties wanted to be discrete. In 1904 Ellis and Burnand were reconstituted and a new company formed. Of 50,000 shares Kauri Timber Company held 23,750 and Ellis and Burnand 26,250. Although the first years were difficult, by 1911 things had improved.

In August 1920 The Kauri Timber Company went into voluntary liquidation and a new company was formed.

In 1961 The Kauri Timber Co. was taken over by Fletcher Timber. In Melbourne a holding company was formed and The Kauri Timber Co. was made a subsidiary of Kauri Holdings Ltd.

APPENDIX 1

KAURI TIMBER INTERESTS TAKEN OVER IN 1888

Auckland Timber Co. Ltd. New Zealand Timber Co. Ltd. Union Steam Saw, Moulding, Sash and Door Co. Ltd. Te Kopuru Saw Mill Co., Kaipara (John Logan Campbell). Mercury Bay Saw Mill Co. David Blair and Son, Hikutaia, Thames River. Shortland Saw Mill (Stone & White). Jagger & Parker, Whananaki (Kaipara). Shappe & Ansenne, Mercury Bay. Pearce Lanigan, Ngunguru. Onehunga Saw Mill (F.P. Clarke), Waitakarei. John Wigmore, Whangaroa. Helensville Timber Co. Ltd. Coulthard Bros., Papakura. Hokianga Saw Mill Co, Ltd. Whitelaw and Day, Hikurangi (Whangarei). Henry Brett, (Kaipara district). Port Fitzroy Timber Co. (Great Barrier Island). Bradley, Cairns, and Mander, Kaiwaka (Kaipara). W.B. Jackson & Co. Ltd., Pupuki W.W. Jackson, Pupuki (Hokianga and Whangaroa). E.S. Dufaur, Auckland (Interest in freehold and leasehold lands in Kaipara district). Whangaroa Rafting Co., Whangaroa. Whangaroa Saw Mill Co., Whangaroa. William Meikle, Mercury Bay. J. Trounson.

BIBLIOGRAPHY

Carter, Benita. The Kauri Timber Company 1888-1914. MA Thesis. University of Melbourne, 1972.