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PROVINCE OF BRITISH COLUMBIA REPORT OF THE DEPARTMENT OF TRADE AND INDUSTRY FOR THE YEAR ENDED MARCH… British Columbia. Legislative Assembly 1940

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 PROVINCE OP BRITISH COLUMBIA
EEPOET
OF  THE
DEPARTMENT OF TRADE AND
INDUSTRY
for the tear ENDED MARCH 31ST
1940
PRINTED  BY
AUTHORITY  OF THE  LEGISLATIVE  ASSEMBLY*.
VICTORIA,   B.C. :
Printed by Charles F. Banfield, Printer to the King's Most Excellent Majesty.
1940.  To His Honour E. W. Hamber,
Lieutenant-Governor of the Province of British Columbia.
May it please Your Honour:
I beg to submit herewith the Report of the Department of Trade and Industry for the
year ended March 31st, 1940.
WILLIAM JAMES ASSELSTINE,
Minister of Trade and Industry.
Department of Trade and Industry,
Office of the Minister,
Victoria, British Columbia. Honourable William J. Asselstine,
Minister of Trade and Industry, Victoria, B.C.
Sir,—I have the honour to submit herewith the Report of the Department of Trade and
Industry for the year ended March 31st, 1940.
I have the honour to be,
Sir,
Your obedient servant,
EDWIN G. ROWEBOTTOM,
Deputy Minister of Trade and Industry. Report of the Department of Trade and Industry
for the Year ended March 31st, 1940.
In the period covered by this report, despite the chaotic state of affairs in Europe, British
Columbia was still able to show satisfactory progress in the fields of Trade and Industry.
The confidence this Province commands by its ability to carry out its undertakings and
for the quality of its products has been not only maintained but strengthened; and industrial
and financial interests in Eastern Canada, Great Britain, and the United States are more
than ever aware of British Columbia as the logical field for expansion and investment.
This impression was greatly strengthened by the promptitude with which the Province took
action on the outbreak of hostilities, by being the first to appoint a representative to advance
its interests in Ottawa. Elsewhere in this report reference is made to the gratifying results
which have accrued to British Columbia's basic and secondary industries.
Still further evidence is found in the fact that, in the fiscal year 1939-40, 219 new companies were incorporated in British Columbia, with a capitalization of $71,628,209.85.
The tourist industry, too, is steadily expanding, and the British Columbia Government
Travel Bureau has been indefatigable in its efforts in that direction, and highly successful in
combating erroneous impressions which were current in the United States in regard to
Canada's war-time regulations.
The Bureau of Economics and Statistics has been particularly active and of very great
assistance in furthering the efforts of our representative in Ottawa.
TRADE REPRESENTATIVE AT OTTAWA.
To ensure British Columbia's proper participation in the business resulting from Canada's war effort, Mr. W. Lloyd Craig, Director of the Bureau of Industrial and Trade Extension, was detailed to Ottawa, where he arrived on October 22nd, 1939, and proceeded at once
to establish relations with the various Departments, the officials of the War Supply Board,
the members of the British Mission, and the several foreign legations.
At that time, it appeared as though the war effort would be directed through three main
channels—namely, that the Maritime Provinces and British Columbia would supply timber
and vessels and, in the case of British Columbia, mineral products; that most of the manufactured goods would be supplied by Ontario and Quebec; and that grain, grain products, and
bacon would come from the Prairie Provinces.
This made it imperative to exert every effort on behalf of the British Columbia manufacturers, and a British Columbia Commodity Index was prepared and placed in the hands of
every member of the War Supply Board. The index was well received and has been the
means of acquainting the Board and purchasing agents with British Columbia's real capabilities and wide range of products manufactured within the Province.
It is estimated that there are now some 2,200 men employed in British Columbia shipyards. Many plants engaged on general commodities are working overtime, some of them on
24-hour shifts, and many others are on full time, and it is reasonable to assume that in the
near future British Columbia manufacturers will participate in a substantially greater volume.
REPORT OF THE BUREAU OF INDUSTRIAL AND
TRADE EXTENSION.
The Trade Commissioner, pursuant to the policy adopted by the Department, has co-operated
closely with the Federal Department of Trade and Commerce and local organizations, with
the view of making possible the increased use of existing facilities for industrial and trade
extension.
CO-OPERATIVE CONTACTS.
The closest co-operation has been maintained with producers and exporters throughout
the Province. The Federal Trade Commissioner service overseas has continued to use the
Bureau as a clearing-house for problems affecting exporters in British Columbia;   assistance 0 6 BRITISH COLUMBIA.
has been given to visiting Trade Commissioners on tour, and introductions effected for them
which provide central contacts for their work overseas as far as British Columbia interests
are concerned.
Close co-ordination has been maintained with market and other programmes lying within
the scope of other Provincial Departments at Victoria, with the Federal Departments at
Ottawa and with their representatives in British Columbia. In particular, the problems
of agricultural producers arising from war conditions has led to an approach by them to the
Department on market problems, and sales promotions induced or affected by emergency
conditions.
NEW INDUSTRIES.
In new industries the Bureau has undertaken numerous surveys from production and
marketing angles for establishment or for developments and extension. This has involved
contact in the earlier stages of establishment, with help in preliminary surveys of market
possibilities, sources of supply for raw material, and factory equipment. In a number of
cases on actual establishment this assistance has been extended to market surveys at home
and overseas after the stage of actual production was achieved.
SUMMARY  REVIEW  OF  THE  WORK.
Last year's report showed in summary a review of the work of the Bureau's practical
efforts under three main headings:—
(1.)   Trade extension, which involves constructive production or marketing surveys
on a wide variety of produce, and assistance in promotion programmes.
(2.)  Assistance in industrial establishment.
(3.)   Special investigations.
That the machinery set up and operating under these three headings has become increasingly effective under emergency conditions is shown by the fact that to these three main
headings can be added to this year's summary additional main headings as follows:—
(1.)   Special export surveys in co-operation with other Departments.    These include
roundwood surveys, to which reference is made in another portion of the report.
(2.)   Special export surveys arising from war conditions,
(a.)  Loss of existing markets:
(6.)  Opportunities to replace exports from Germany:
(c.)   Survey of new markets opened by disruption of Scandinavian or other
sources of supply.
(3.)   War-time co-operation with agricultural interests.
(4.)   Assistance in mobilization of war industries of the Province.
Under (4) attention has already been drawn to the work of the Director as special representative at Ottawa, and to the co-ordinating effort of the Department in his work as affecting
the manufacturers and producers of the Province.
Another main heading of the work of the Bureau is covered elsewhere in this report by
reference to the formation of a committee for general industrial survey of the Province. The
Bureau has co-operated in the sessions of this committee on market problems.
TRADE EXTENSION.
A special section of the report, as in previous years, deals with Timber Trade Extension,
which comes unsder the first of the original main headings as above.
In addition to the items covered under the Timber Trade Extension heading, the Bureau
has had occasion to investigate a number of products and by-products, including roundwoods
(cottonwood and pit-props), ply-wood and veneers, pulp and newsprint. In addition, investigations were completed and reports submitted covering a full range of the commodities
exported from the Province. Some of these were made at the request of the contacts overseas, some at the request of exporters breaking into new fields. In one case (flour) the
survey at this end resulted in the participation for the first time of a British Columbia mill
in War Office business for shipment to Singapore.
Co-operation has been maintained by the office of the Acting Agent-General in London
on general trade inquiries and on special investigations, in spite of the difficulties under which
his office has been operating under war-time conditions.    This office has also referred numerous DEPARTMENT OF TRADE AND INDUSTRY. 0 7
inquiries relating to agencies on or sales of United Kingdom goods, and these have been
handled in co-operation with the office of the British Trade Commissioner in Vancouver.
The Bureau has been able to establish direct and effective contacts with Provincial industries which use United Kingdom material, and the co-operation afforded is of increased
importance in view of the exchange situation.
ASSISTANCE—INDUSTRIAL ESTABLISHMENT.
Assistance has been given in the locating of plant sites, supplies of raw material, factory
equipment, labour personnel, transportation, and taxation.
Conditions in Europe resulted during the year in a further flow of capital to the Province
and in the expansion of industries already established with European capital, on which the
Bureau had co-operated in the earlier stages.
Assistance was given during the year on specific matters to six industries under this
classification. In three cases capital and the application of European processes resulted in
new or enlarged factory establishment, and in other cases the capital or experience has been
used in the assistance of existing industries, thereby increasing pay-rolls and strengthening
financial and production structure.
Assistance has also been given to existing industries in the Province which do not look
for financial aid, but who have turned to the Bureau for guidance on special surveys
or special problems in contemplation of new lines, or of increased manufacturing facilities,
or of surveys of industrial areas.
Co-operative contacts for branch factory work were maintained throughout the year with
Canadian Trade Commissioner offices in the United States, the Department of Trade and
Commerce at Ottawa, selected industrial commissions, and the industrial bureaus of the
Boards of Trade where such Bureau forms part of the organization.
SPECIAL INVESTIGATIONS, ETC.
Through introductions effected, the Bureau was able to assist visiting representatives of
Government and commercial organizations, and firms from overseas or elsewhere who came to
the Province to conduct investigations.
Under " special endeavours " as such, the scope of the work has increased greatly during
the last year, and the Bureau has been asked to assist in problems of transportation and
rates; in representation on outside committees relating to industrial endeavour; in investigation of factory conditions and price-levels; in organization and display at exhibitions of
British Columbia produce; in campaign participation to focus attention on British Columbia
products, to encourage award to British Columbia manufacturers on public contracts; in the
development of the building material industry; and in advertising campaigns at home and
overseas.
In addition to these special activities an entirely new endeavour during the year is dealt
with under the additional main headings of special surveys and war-time activities.
SPECIAL EXPORT SURVEYS.
Soon after the outbreak of the war it became apparent that the supply of pit-props
would be a serious problem in the United Kingdom, due to the cut-off of supplies from the
Baltic and an increasing war demand. Accordingly, with the co-operation of the British
Columbia Lumber and Shingle Manufacturers' Association, the Department of Lands, and
the Timber Commissioners in the United Kingdom, an exhaustive survey was undertaken by
the Department to ascertain possibilities for shipment of pit-props from British Columbia.
The survey covered a period of more than two months and disclosed available sources of
supply, species available, and shipping facilities. Price-levels were brought to a point competitive with supplies from the Maritimes, but the movement from British Columbia can take
place only if or when the Timber Control in the United Kingdom is prepared to pay the
freight differential and more shipping space becomes available.
Another special survey undertaken was that of cottonwood for the veneer-chip basket
trade in the United Kingdom. The same difficulty of space was encountered and there will
be no volume movement unless shipping licences can be granted for at least a proportion of
normal requirements. As in the case of pit-props, the survey was exhaustive and as at
March 31st the position was that a trial shipment was going forward for testing purposes. O 8 BRITISH COLUMBIA.
SPECIAL EXPORT SURVEYS ARISING FROM WAR CONDITIONS.
From the beginning of September the foreign trade of the Province was completely disrupted by war conditions. Ship movements became irregular and for established markets,
with particular reference to lumber, the matter of shipping space became an acute problem.
The Bureau was closely identified with measures taken to meet this emergency situation.
It also has had occasion to survey market possibilities in South America and elsewhere
due to:—
(a.)  Loss of the market to German exporters:
(6.)   Disruption of the market due to the Scandinavian situation:
(c.)   Loss  of  the  market,  particularly in  the  United  Kingdom  and  in  Australia,
through shipping licence restrictions.
WAR-TIME  CO-OPERATION WITH AGRICULTURAL INTERESTS.
The shipping licence restrictions in the United Kingdom referred to above have been
partly responsible for action taken by the Department in co-operation with agricultural
interests, to preserve old markets or to find new ones where restrictions made normal shipments impossible. As at March 31st, for example, the restrictions on canned fruits and vegetables in the United Kingdom presented a very definite problem to British Columbia producers.
MOBILIZATION OF WAR INDUSTRIES IN THE PROVINCE.
The Bureau was in active co-operation with the Canadian Manufacturers' Association
in August, 1939, when a representative delegation of manufacturers and industrialists visited
the United Kingdom. Following up the work of this delegation, the Department has aided
efforts made to co-ordinate activities and to mobilize British Columbia industries for war
purposes.
TIMBER TRADE EXTENSION WORK ABROAD.
A grant of $40,000 was made to the Trade Extension Bureau of the British Columbia
Lumber and Shingle Manufacturers' Association. The Department of Trade and Industry
is represented on the Timber Trade Extension Committee, whose function it is to direct the
work of the fieldmen. Following are some of the concrete results of the Lumber Trade
Extension work in various fields, also interesting statistics on the trend of shipments from
British Columbia to its export markets:—
The work during the past year has been divided into two distinct parts, pre-war and
war periods. The fieldmen were particularly active in the several markets which they cover
and the appended tables are indicative as to the value of this work.
It is the policy of the Trade Extension Bureau and its fieldmen to bend all energies
towards increasing markets for hemlock and cedar in order to better balance the forest
production. Notable advance was made in some markets, particularly with hemlock in the
United Kingdom, where sales exceeded those of 1938* by 42 million feet, which is 102 million
feet more than in 1935.
A record was established in total shipments of lumber from British Columbia to export
markets, and while many factors contribute to this achievement the accumulative, intelligent
work of the fieldmen has had much to do with turning our export trade from 1,036 million in
1938 to 1,284 million in 1939.
It is particularly gratifying to note that Mr. Roe served in an advisory capacity to the
Timber Control Board immediately after the declaration of war. After war was declared
it was thought desirable and in the interest of expediency for the work of the Committee to
be merged with the War Committee of the Association so that action would be more direct;
this was done on October 3rd, 1939.
Restrictive import regulations were brought into effect during the year in markets where,
fortunately, we have enjoyed a preference, notably in Australia and New Zealand, and
while this legislation became effective late in the year the lumber interests view with concern
its possible effect on our shipments during 1940.
The preferences granted under our trade treaties with these countries are partly nullified.
; All figures for calendar year. DEPARTMENT OF TRADE AND INDUSTRY. 0 9
United Kingdom.
Mr. R. Douglas Roe and Mr. J. C. Berto have done excellent work for the industry in this
field. Preferential tariffs, shipping, sales services, all have their place, but the entry into
Government, municipal, and other large undertakings would be very difficult without trained
fieldmen.
A few years ago British Columbia's share of the United Kingdom market was negligible,
but in 1939 British Columbia shipped 965 million feet, which is 223 million feet more than in
the corresponding period in 1938. This is more than double 1935 shipments and represents
about 25 per cent, of the United Kingdom's imports of lumber.
Cedar shingles have also made definite gains and 58,695 squares were shipped into the
United Kingdom during 1939. This was more than all export markets absorbed during 1938,
omitting, of course, shipments to the United States.
Australia.
This is our second largest export market, and while no marked advance is noted in the
exports over the previous year, yet we enjoy 99 per cent, of their imports from this Coast.
In 1939 our shipments totalled 145 million feet. In 1938 they were 141 million feet. This is
a very important market for hemlock, 85 million feet having been shipped during the year.
Owing to the importance of this market the lumber interests were perturbed when Australia and the United States were negotiating a trade treaty, and Major L. R. Andrews,
Manager of the Timber Trade Extension Bureau, was sent to Australia in the early part of
the year to look after British Columbia interests. His trip resulted in assurance of continued good-will and support from dried-fruit interests which could be counted on to support
existing preferences.
Mr. Ralph E. Smith, Timber Commissioner in Australia, has contributed in no small
measure to the increased use of British Columbia timber in the Australasian market.
Mr. Smith covered the whole area very thoroughly during the year and has kept in close
touch with Government matters affecting our industry. He writes very appreciatively of the
invaluable assistance and co-operation rendered by Col. Cosgrave and Mr. Palmer, the Canadian Trade Commissioners at Sydney and Melbourne.
New Zealand.
The shipments to this market in 1938 amounted to 7,805,000 feet and in 1939 to 5,143,000
feet.
While this is not a large market it is valued, but governmental restrictions on imports
make it impossible for us to look for expansion here as long as they are continued.
South Africa.
British Columbia lumber shipments to this market amounted to 80,121,000 feet in 1939
and 41,614,000 feet in 1938. This constitutes a record year's shipment and no mean achievement in a market that grants a small preference on rough lumber and no preference on
dressed lumber.
South Africa imports annually about 200 million feet, and the Baltic has long had the
major share, but with war conditions prevailing as well as favourable exchange we stand to
materially increase shipments in 1940 and made a good start in January with shipments of
12,373,000 feet. This is a promising market for both cedar and hemlock and purchases
of these species doubled over 1938.
This market steadily increases its interest in shingles and 23,000 squares were shipped
during the year. Mr. William Johnston, Timber Trade Commissioner, continues to do splendid work on behalf of the industry and is well received by the lumber trade throughout the
Union.
British West Indies.
The shipments to this market in 1938 amounted to 13,583,000 feet and in 1939, 12,828,000
feet.
Shipments to the British West Indies were well maintained during the past year, despite
a decrease in some instances of our preferential position, resulting from the Canada-United
States-United Kingdom Trade Agreements. O 10 BRITISH COLUMBIA.
British Columbia cedar shingles are being used more and more in the West Indies. Last
year this district was our third best export market for shingles.
In view of the impending renewal and possible revision of the Canada-West Indies Trade
Agreement, projected extensive housing schemes in Trinidad and Jamaica, and trade promotion work following up that of the former Timber Commissioner, it was considered advisable
for Major L. R. Andrews to visit this market and he interviewed the various governmental
authorities of the British West Indies, whom he found only too willing to co-operate as in the
past in giving British Columbia timber every advantage possible. Similarly market opportunities for our lumber were investigated in the non-British Caribbean countries. Unfortunately this work was cut short by the outbreak of war, which necessitated Major Andrews's
immediate return.
In October a brief was submitted to the Dominion Government by this Department, setting
forth recommendations regarding the revision of the Canada-West Indies Trade Agreement in
connection with lumber and its products based upon information obtained by Major Andrews.
Although the prevailing high freight rates on British Columbia lumber to the West Indies
react detrimentally to our lumber's competitive position as compared with pitch pine, monetary exchange rates are in our favor.
Governmental housing schemes which were expected to require large quantities of lumber
are being held in abeyance at present. However, in view of the greatly increased production
in the Trinidad oilfields, the purchase of all raw sugar by the British Supply Board, and
general military and commercial activity in the British West Indies, it would appear that the
demand for lumber for both domestic and industrial needs should increase during the current
year.
Ceylon, India, Egypt, and Palestine.
By joint agreement made by the Timber Trade Extension Bureau with the two creosoting
companies, Mr. W. W. Harvey was again delegated to investigate and follow up the possibilities already presented in his first tour; he left again from San Francisco on February 14th,
1940.
The success of Mr. Harvey's trip has proven worth while and again demonstrates that
there is no substitute for personal representation by men who know their subject and can
intelligently present their case.
The immediate result of the first tour was two cargoes of creosoted sleepers for Ceylon
and a cargo between Egypt and Palestine and a fourth cargo of mixed lumber products for
Palestine. Two additional cargoes already have been sold for these markets since January
1st, 1940.
China.
The shipments to this market in 1938 amounted to 43,457,000 feet and in 1939, 34,775,000
feet.
The market prospects for British Columbia lumber in China have not changed appreciably
from a year ago. Shipments in 1939 were still further reduced by about nine million feet.
A further drop in the Chinese dollar during the year and unsettled conditions have made
trading more difficult. Unsettled conditions in China still prevent any development of this
market.
Japan.
The shipments to this market in 1938 amounted to 6,012,000 feet and in 1939, 5,592,000
feet.
British Columbia lumber trade with Japan was still further restricted during the past
year. Exchange difficulties coupled with foreign exchange and trade control have reacted in
such a way as to almost completely stop imports of our lumber.
Central America and East and West Coast of South America.
1938. 1939.
Thousand Thousand
Feet. Feet.
British Columbia shipments to Central America     2,267 2,018
West Coast of South America     8,023 3,349
East Coast of South America      1,924 2,211 DEPARTMENT OF TRADE AND INDUSTRY. O 11
British Columbia continues to supply only a small portion of West Coast woods imported
by Central and South America. In fact, this year we have shipped five million feet of lumber
to Peru, which is three million feet less than was exported in 1938.
As in the past, these countries offer a sizable market for West Coast woods when one considers that they purchased ninety million feet from Oregon and Washington in 1939. The
problem is one of established shipping, buying, selling, and credit facilities. It is hoped with
out present advantageous exchange position with South America, coupled with almost certain
export trade improvement in those countries resulting from European demand for their commodities, that British Columbia shippers will be able to obtain a larger portion of this market.
Canada.
With the outbreak of war it became imperative to send Major Andrews to Ottawa. There
he is maintaining effective liaison with the purchasing connections of the army, navy, and air
force of Canada and allied countries.
The Department wishes at this time to pay tribute to all of those connected with the
logging, lumber, and shingle industry for their co-operation during the past year in our
endeavours to promote the sale of our forest products in the Dominion and abroad.
LOANS AND GUARANTEES.
(" Department of Industries Act, 1919.")
Following is a statement covering loans and guarantees outstanding under the " Department of Industries Act, 1919." Every effort is being made to collect these accounts and it
is expected that several substantial payments will be received in the near future:— '
Statement of Loans and Guarantees outstanding, March 31st, 1940.
Loans.
Principal. Interest.
Acme Cabinet Works  $1,343.99 $407.60
B.C. Livestock Exchange  25,000.00 498.04
Canadian Western Woodworks  9,799.70 2,022.71
Gordon Campbell Investment Co., Ltd  28,678.39 53.04
James Canadian Seeds, Ltd  59,999.96 25,495.30
Fort St. John Flour Mills  16,503.98 4,564.48
T. H. Waters & Company  15,807.16 1,908.63
West Coast Woollens  11,279.71 413.13
Guarantees.
Gray's Lumber Mills, Ltd  $2,499.30
Big Bend Cedar Pole Co., Ltd.  (White Pine Lumber Co., Ltd.) _____ 14,888.29
REPORT OF THE BUREAU OF ECONOMICS AND
STATISTICS.
Although the commencement of hostilities in September, 1939, made it necessary to
subordinate several peace-time surveys in favour of matters which had assumed greater
importance under war conditions, the Bureau of Economics and Statistics has maintained all
existing statistical services and has continued the regular and special economic investigations
in progress prior to the outbreak of war.
No new arrangements were concluded during the fiscal year, but inter-departmental coordination plans arranged previously have worked with complete satisfaction. Agreements,
or working arrangements, relating to the collection, co-ordination, and publication of statistics
now exist between this Bureau and the Dominion Bureau of Statistics; the Wartime Prices
and Trade Board; as well as the Provincial Departments of Mines, Labour, and Provincial
Secretary.
Economic surveys and analyses covering many phases of the Provincial economy have
been concluded during the year. The regular report on the Trade of British Columbia with
other Provinces and with foreign countries for the year 1939 will be completed early in the 0 12
BRITISH COLUMBIA.
fall of 1940. Foreign trade statistics for the calendar year 1939 have already been released.
A full description of research projects completed during the fiscal year, together with a
detailed account of statistical services performed, has been arranged for convenience under
their appropriate divisions.
Millions
of
Dollars.
260
240
Chart I.—Estimated Net Value of Industrial Production
in British Columbia, 1931-39.
220
200
180
160 -
140
1931
1932
1933
1934
1935
1936
1937
1938
1939
REVIEW OF ECONOMIC CONDITIONS IN BRITISH COLUMBIA.
Business activity in British Columbia during 1939 returned to the relatively high levels
of 1937. Despite the uncertain international outlook, the major industries of the Province
were fully engaged during the first nine months of the year.
The outbreak of hostilities introduced a number of disturbing factors which retarded
activity to some degree in the export industries. The dependence of the Provincial economy
upon foreign trade made inevitable some readjustment in overseas shipping. The restrictive
character of some of these adjustments, however, has been partly offset by increased industrial
activity associated with the war effort. Several industries, confronted with reduced foreign
opportunities, have directed increased attention to the Canadian domestic market. The ability
of the domestic market, under war conditions, to absorb a portion of the British Columbia
products normally sold overseas will doubtless be fully explored. Although hostilities have
removed a large section of continental Europe from the orbit of world trade, the direct loss
to British Columbia's foreign trade has not been severe thus far. In 1939 the affected European countries provided markets for only 2% per cent, of the Provincial export trade and in
recent years have not exceeded 5 per cent. The indirect loss may not be as clearly assessed.
The leading foreign export markets for British Columbia products—the United Kingdom and
the United States—took 72 per cent, of the entire export trade in 1939. While the character
of the trade with the United Kingdom has shown some variation—in response to Great Britain's
import control measures—the importance of the British market to British Columbia producers
has remained unchanged. DEPARTMENT OF TRADE AND INDUSTRY.
0 13
Production in basic industries reached an estimated net value of $254,000,000 in 1939,*
compared with $246,404,000 in 1938.f Improvement was largely due to increased production
in the forest industries. Salaries and wages paid to employees in the leading industries have
been estimated at $165,683,460 in 1939, an increase of at least $7,000,000 over the estimated
1938 gross pay-roll of $158,026,375.J Merchandising, both wholesale and retail, reflected the
increased consuming power with increased sales. Bank debits, reflecting the volume of commercial payments and, as such, a useful guide to the tempo of business activity, were reported
to have shown a 4 per cent, increase in 1939 over 1938. Employment, measured by the
Dominion Bureau of Statistics' monthly index, showed an improvement of 3.17 per cent, in
the same period. A brief glimpse of other business characteristics during 1939 may be seen
from Table I.
* Preliminary estimate by the Bureau of Economics and Statistics.
t Dominion Bureau of Statistics.
t Annual Report of the Department of Labour, 1939.
Table I.—Economic Activity in British Columbia, 1939, compared with 1938.
Unit.
1938.
Percentage
Increase (+) or
Decrease ( — ).
Mining—
Total value of productions-
Gold production!	
Silver production1..	
Copper production1	
Lead production1 _
Zinc production1—	
Coal production1 	
Forestry—
Total value of productions..
Timber scaled2 	
Paper production2 	
Fisheries—
Total value caught and marketed3..
Pack of canned salmon3	
Agriculture—
Total value of productions	
Apples—
Total shipments4 —
Domestic shipments1	
Export shipments4 	
External Trade—
Exports from Vancouver5 	
Imports from Vancouver5— —	
Exports of canned salmon6  	
Exports of planks and boards, Douglas fir8-
Exports of red cedar shingles6	
Internal Trade—
Index of wholesale sales6	
Index of retail sales, department stores6	
Index of retail sales, grocery stores6—.	
Automobile sales, new6	
Gasoline sales6 	
Railway freight loaded in B.C.6
Consumption of electric power6 ...
Sales of life insurance6 	
Construction—
Building permits issued6. —
Construction contracts awarded6 .
$
Oz.
Oz.
Lb.
Lb.
Lb.
Long ton
$
M.B.M.
Ton
Case
Box
Box
Box
Ton
Ton
Cwt.
M. ft.
Square
1930=100
1930 = 100
1930=100
$
000 gal.
Ton
000 k.w.h.
000 $
000$
000 $
65,681,547
636,926
10,771,585
73,254,679
378,743,763
278,409,102
1,477,872
88,221,000
3,354,896
267,412
17,698,980
1,539,063
49,402,011
5,522,5107
2,798,967"
2,723,5437
2,958,322
4,016,615
592,911
924,686
2,822,757
100.0
105.2
109.1
8,677,270
59,824
6,641,816
1,963,338
30,874
8,523
11,725
64,485,551
615,281
10,861,578
65,769,906
412,979,182
298,497,295
1,309,428
67,122,000
2,779,034
218,987
18,672,750
1,707,798
47,782,012
5,574,1877
2,701,4967
2,872,6917
2,559,542
3,796,612
488,400
805,326
1,813,807
98.9
105.3
104.7
8,892,277
57,158
5,761,996
1,924,170
29,958
10,259
10,643
+ 1.85
+    3.52
— 0.83
+ 11.38
— 8.29
— 6.73
+ 12.86
+ 31.43
+ 20.72
+ 22.11
— 5.21
— 9.88
+   3.39
— 0.93
+    3.61
— 5.19
+ 15.58
+ 5.79
+ 21.40
+ 14.82
+ 55.63
4- 11.22
+ 1.84
+    4.20
— 2.42
+ 4.66
+ 15.27
+ 2.04
+    3.06
— 16.92
+ 10.17
1 British Columbia Department of Mines.
2 British Columbia Department of Lands, Forest Branch.
3 British Columbia Department of Fisheries.
4 British Columbia Tree Fruit Board.
5 National Harbours Board.
6 Dominion Bureau of Statistics.
7 Crop years ending June 30th, 1940 and 1939, respectively.
8 British Columbia Department of Agriculture.
(Continued on next page.) O 14
BRITISH COLUMBIA.
Table I.—Economic Activity in British Columbia, 1939, compared with 1938—Continued.
Unit.
1939.
1938.
Percentage
Increase ( +) or
Decrease ( — ) .
Finance—
000 $
No.
1926 = 100
1926 = 100
1926=100
1926 = 100
1926 = 100
1926=100
1926=100
1926 = 100
1926 = 100
1926 = 100
1926=100
1926=100
1926=100
1926 = 100
2,020,300
113,781
107.5
113.5
85.9
96.3
108.9
124.8
142.8
111.4
91.9
80.5
112.1
96.6
124.6
136.9
1,937,000
117,694
104.2
107.5
89.0
88.2
106.2
126.1
134.2
113.6
82.3
88.4
109.8
94.1
114.9
133.2
+   4.30
Tourist Trade—
Automobile entries on 60-dav permits6 —
Employment6—
—   3.32
+   3.17
+   5.58
—    3.48
Lumber products— ..._	
+   9.18
+   2.54
—   1.03
+   6.41
—   1.94
+ 11.66
—    8.94
+   2.09
Transportation—    	
Services   —	
Trade        ~.~     	
+   2.66
+    8.44
+   2.78
6 Dominion Bureau of Statistics.
THE RESEARCH DIVISION.
Occupational Survey of Public School Students.
In June, 1938, an occupational survey of students leaving Grades VII. to XIII., inclusive,
was conducted for the first time by the Bureau of Economics and Statistics, in collaboration
with the Department of Education and with the co-operation of School Boards and teachers
throughout the Province. The objective of the survey was to ascertain the probable number
leaving school, their reasons for leaving school, and the occupations or special training which
the students would seek thereafter. Although quite satisfactory from the point of view of
quality, it was considered that many students, uncertain as to their probable movements, had
been omitted. The results of that survey were accordingly held over. The survey was repeated
with very satisfactory results in June, 1939, and several preliminary statements have been
prepared to illustrate the character of the survey.
Preliminary tabulation has revealed that 3,974 students were registered in the 1939 June
survey. Of this number, 2,175 students were uncertain whether they would or would not
return to the public school system in September. The remainder, 1,799 students, were definite
in stating that they would not return. Those students in Grades VII. to XIII. who knew
definitely in June that they would be returning to school in September did not complete the
questionnaire. Students who left the public school system earlier during the school-year were
not included.    The principal reasons given for leaving school were as follows:—
Reason.
Total.
Boys.
Girls.
1,728
846
18
849
325
21
23
20
144
969
198
3
461
135
9
7
11
68
759
648
15
388
No further school in vicinity.. _    	
16
9
Total                  	
3,974
1,861
2,113 DEPARTMENT OF TRADE AND INDUSTRY.
O 15
Excluding the students intending to seek special training and those leaving British
Columbia, there were 3,107 students who would probably seek employment in the labour
market.
All students were asked to state the occupation they would seek and whether or not they
had been assured of an opportunity to engage in that occupation. The survey revealed that
353 boys and 190 girls were assured of an opportunity, but that 1,301 boys and 1,263 girls
were not. In spite of the obvious difficulties confronting students asked to state the occupations they intended to seek after leaving school, only 28 per cent, of the boys and 31 per cent,
of the girls were unable to indicate their intended occupations. It is probably true to say
that the particular occupations shown by the students in this survey were merely indicative,
but when the occupations were arranged by industries the information assumed a more positive meaning.    In the following table the occupations have been consolidated in this way:—
Students leaving the Public School System, June 30th, 1939, to seek Employment,
showing the Industry but not the Occupation sought.
Boys.
Girls.
Industry.
Total.
Definitely
leaving.
Uncertain.
Total.
Definitely
leaving.
Uncertain.
133
23
58
41
227
18
105
91
1
56
3
419
140
90
12
10
167
15
1
463
48
8
19
26
103
6
36
35
1
21
183
56
32
6
3
86
8
136
85
15
39
15
124
12
69
56
35
3
236
84
58
6
7
81
7
1
327
78
24
218
672
20
12
209
421
8
453
38
11
105
414
18
3
91
302
1
179
40
13
Warehousing and storage...	
113
258
12
9
118
119
7
Total, all occupations	
1,654
630
1,024
1,453
748
705
Occupational Survey of Vancouver Island.
Under the direction of the Honourable G. S. Pearson, Minister of Labour, officials of the
Provincial Department of Labour undertook to make an occupational survey of Vancouver
Island early in 1939. Technical advice and assistance was given to this project by the Bureau
of Economics and Statistics. With the co-operation of employers, and the use of field investigators, the survey was completed in July, 1939. Employers were asked to complete special
questionnaires designating the number of their employees and their occupations, the number
employed seasonally, the difficulty of the employer in obtaining skilled labour, and other
related questions.
The total population of Vancouver Island and adjacent smaller islands, which comprised
the area studied, probably numbered 140,000 persons in 1938, and of this number at least
42,852 persons came within the scope of the survey. Certain important groups were excluded,
notably the Dominion, Provincial, and most of the municipal employees. Certain other
industries, particularly fishing, prospecting, and agriculture, were considered to be poorly
represented in the survey. Probably 5,000 persons altogether, in these groups, were not
included.
The survey showed that when employment reached its maximum in each individual
industry there were jobs for 42,852 persons—35,942 males and 6,910 females.    On the other O 16 BRITISH COLUMBIA.
hand, minimum employment was shown to have provided work for 25,624 persons—21,035
males and 4,589 females. Steady employment was available, consequently, for at least 25,624
persons (not necessarily wage-earners) on Vancouver Island during 1938.
A number of industries provided relatively steady employment; this was particularly
noticeable in the case of banking, other financial firms, and certain retail and wholesale
groups. Seasonal and other displacement, on the other hand, was very apparent in the
logging industry, sawmilling, coal-mining, building, transportation, certain retail lines, and
the hotel and restaurant industries, as well as in other types of business.
Returns were received from 4,539 separate business establishments on Vancouver Island,
and of this number only 148 firms reported that they had experienced difficulty in obtaining
sufficient employees. One hundred and twenty-six firms claimed that they could not always
secure skilled help in their own districts. Four thousand three hundred and fifty-five establishments reported, however, that they were always able to secure a sufficient number of
employees when required.
Only 528 Vancouver Island farms were included in the survey. On these farms, members
of the farmers' own families, numbering approximately 1,140 persons, were given steady
employment. In addition, 192 farm hands were continuously employed. Seasonal employment added 960 fruit- and berry-pickers at the peak. Employment was, of course, largest in
the three months of June, July, and August.
The Trade of British Columbia.
The agreement between this Bureau and the Customs Compilation Section, Dominion
Bureau of Statistics, concluded in the fall of 1938 and effective January 1st, 1939, has made
possible a very important improvement in Provincial foreign trade statistics. Under this
arrangement a monthly coded statement has been sent regularly to the Bureau from Ottawa,
showing in detail the importation and exportation of every commodity, regularly listed in
the Federal reports, moving through customs ports in British Columbia. During the year,
regular monthly trade recapitulations have been prepared from this authentic information,
released to the Press and distributed to officials and business men actively concerned with
foreign trade. Since the circulation of a descriptive brochure in the spring of 1940, outlining
the improved trade statistics available under the agreement, over 300 specific foreign trade
queries have been submitted to the Bureau by business groups and fully answered. This
development, an incidental by-product of the research-work in this field, has accordingly
placed complete foreign trade statistics at the ready disposal of British Columbia business
interests.
Although efforts were made during the year to improve the existing interprovincial trade
statistics, no material changes could be effected. The regular report on the trade of British
Columbia with foreign countries and with other Canadian Provinces for the year 1939 is now
in preparation and will be completed early in the fall. The difficult and prolonged task of
assembling scattered information about interprovincial trade prevents the early compilation
of this annual report.
In addition to the regular trade statistics compiled and published during the year, a
number of special foreign trade and market analyses were undertaken for interdepartmental
purposes. DEPARTMENT OF TRADE AND INDUSTRY.
O 17
The Trade of British Columbia with other Canadian Provinces, the British Empire, and all
Foreign Countries, 1937, 1938, and 1939.
Country or Province.
Imports into
British Columbia.
Exports from
British Columbia.
Total Trade.
Other Canadian Provinces—
1937.  _	
$77,153,440
65,967,890
.
18,669,989
18,628,470
19,000,000
22,271,603
19,926,329
22,000,000
$34,556,241
35,133,846
*
55,905,816
47,569,696
56,062,000
69,427,446
52,873,193
48,028,000
1,227,990
1,113,510
*
161,117,493
136,690,245
$111,709,681
1938. _  •	
101,101,736
1939       __ _..._	
*
British Empire (excluding Canada) —
1937. __ _	
74,575,805
1938 .__	
66,198,166
1939 (preliminary) f  __  	
75,062,000
Foreign Countries—
1937 .._   ._.	
91,699,049
1938	
72,799,522
70,028,000
Ship's Stores—
1937 -	
1,227,990
1,113,510
*
1938  _____ _._  	
1939   ._ ...  	
Totals—
1937.. ...	
1938   _
1939        _	
118,095,032
104,522,689
*
279,212,525
241,212,934
*
* Not yet available.
t Excluding gold.
The Cost of Living in British Columbia.
Continuing the plan inaugurated in the Research Department of the former Economic
Council, this Bureau has collected and compiled current price information for the Provincial
Department of Labour. Close co-operation with the Dominion Bureau of Statistics and the
War-time Prices and Trade Board, Ottawa, in this field has been maintained during the past
year. Much of the information obtained is designed for administrative problems and is not
published.
During the year, in addition to the index of food costs, which has been regularly compiled
since 1936, a new full cost-of-living index was established for administrative purposes, which
includes clothing, rentals, fuel, and other essential household items in the larger Pacific Coast
cities. Under arrangements sponsored by the Provincial Department of Labour, this full
cost-of-living index has been adopted as a barometer in certain industries where wage
schedules are from time to time reviewed.
The food index measures the change in prices as they occur in the case of forty-six
selected food items, forming a scientifically tested food budget. The budget contains sufficient
quantities of staple foods to maintain, in good health for one month, a family of five; of
which two are adults, one an infant—6 months to 1 year old, one a child—6 years to 10 years
old, and one a child—11 years to 13 years old. Fifty-two towns and villages are included in
the monthly food index.
Food Index in British Columbia.
1938— (1936 = 100.)
First quarter  ,  103.6
Second quarter  105.3
Third quarter  . _  104.6
Fourth quarter    :  101.0
1939—
February 15th      96.4
May 15th .____      96.0
August 15th  :.___.    94.4
October 15th        104.3
November 15th  105.7
December 15th  .   .  101.5
(Continued on next page.) 0 18 BRITISH COLUMBIA.
Food Index in British Columbia—Continued.
1940—
January 15th   100.4
February 15th   100.9
March 15th   101.2
Industrial Survey of British Columbia.
Just prior to the outbreak of hostilities, the Department of Trade and Industry undertook
the preparation of a report intended to show opportunities in British Columbia for the profitable investment of capital in new industrial enterprises. To direct the survey, an interdepartmental committee was formed, composed of responsible executive officials representing
other Provincial departments intimately concerned with the project. It was deemed advisable
after the war began to pursue investigations along certain specific channels rather than to
examine the entire economy as had been originally intended. In this connection the Bureau
of Economics and Statistics has analyzed nearly 8,000 individual items appearing in the
regular foreign import trade of the Province. From this information a selected list of
commodities  has been assigned  by the  interdepartmental  committee  for  further  intensive
Industrial Directory of British Columbia Firms.
To assist representatives of the Department of Trade and Industry in their efforts to
keep the various war-purchasing authorities accurately informed about British Columbia
producers, a mimeographed directory of manufacturing establishments was prepared during
the winter. The directory contains the names of nearly all British Columbia manufacturers
arranged alphabetically under the products manufactured. It was necessary to omit certain
leading industries, such as forestry, lumber, general contracting, plumbing, and all building
trades, laundries, and all service trades.
Other Reports.
In addition to the projects outlined previously, special reports and memoranda were
prepared during the year for officials of the Provincial Government dealing with a wide
variety of subjects. Several reports were prepared for members of the Executive Council.
Other studies were undertaken for non-governmental bodies in an effort to assist in the
solution of marketing problems. A special estimate of the trade of the Okanagan Valley
with other sections of British Columbia, the Prairies, and with Eastern Canada, was prepared
for the British Columbia Tree Fruit Board. Special reports were also compiled for Interior
broadcasting stations and for other bodies. The Bureau has prepared special information,
also, in response to written inquiries from corporations and from private individuals, and
publications have been sent out in response to a large number of requests from individuals
and institutions. ^  LABQUR mvisI0N.
In accordance with an agreement concluded in 1938 between the Provincial Department
of Labour and the Bureau of Economics and Statistics, the Labour Division of this Bureau
conducted and compiled the 1939 statistical survey of wage-earners employed in British
Columbia trades and industries. Detailed statistical information on this subject may be
found in the annual report of the Department of Labour for the calendar year 1939.
Work in this Division is largely concerned with statistical requirements of the Department of Labour and its various administrative bodies. Complete co-ordination of information
in the field of labour statistics with other divisions of this Bureau has now been attained.
Some progress was made in advancing the arrangements made last year with the Employment
Division of the Dominion Bureau of Statistics. It is hoped that this year employment indexes
will be made available on a regional plan within the Province; this information is available
now only for the Province as a whole.
The Bureau, in planning to provide data of importance to the study of employment
conditions in British Columbia, undertook in 1938 the task of collecting data on the question
of labour turnover in basic industries. Some measure of success has been achieved in this
direction during the past fiscal year. Employers were requested to report on this subject in
the regular 1938 and 1939 annual labour surveys. In spite of the difficulties involved, most
employers were able to provide fairly accurate returns. In the following tables some of the
1939 results have been tabulated to show the nature of the project.    The figures should be DEPARTMENT OF TRADE AND INDUSTRY.
0 19
considered as experimental until the survey has had the benefit of several years' experience.
In Table II. the smelting industry is shown to have a very low turnover in male employees, in contrast to such industries as logging and fish canneries. Female employees, in
Table III., are shown to have a low rate of turnover in the utilities, light, water, gas, and
power, but a high rate of turnover in the canning industries. The precise percentage
measurements given in these tables, however, should receive further confirmation. Percentage
figures obtained in the case of casually employed persons were not considered significant, since
the work involved was of an essentially temporary nature. It is believed, however, that the
labour turnover ratios given in the case of regularly employed persons—persons who occupied
a regular position—are of direct significance.
Table II.—Estimated Labour Turnover of Male Employees in
certain British Columbia Industries, 1939.
Industry.
Total Employed
Wage-earners.
Average
Monthly
Employment
in 1939.
Average Proportion not
on Pay-roll
during preceding
Month.
Labour
Turnover.
Regularly Employed
Wage-earners.
Average
Monthly
Employment
in 1939.
Average Proportion not
on Pay-roll
during preceding
Month.
Labour
Turnover.
Sawmills and planing-mills	
Logging and logging-railways .
Metal-mining _ 	
Street-railways, gas, water, light, power .
General contracting, construction	
Smelting    	
Pulp and paper manufacturing..
Garages  	
Coast shipping	
Fish-canneries 	
9,000
7,449
5,678
4,699
3,470
3,061
2,627
2,433
2,208
1,863
Per Cent.
4.82
14.45
5.01
4.41
13.84
1.05
6.16
3.28
6.05
21.61
8,745
7,175
5,548
4,311
2,579
3,065
2,544
2,333
2,036
1,282
Per Cent.
3.80
13.38
4.05
1.66
9.75
.93
3.72
2.25
3.94
18.99
Table III.—Estimated Labour Turnover of Female Employees in
certain British Columbia Industries, 1939.
Industry.
Total Employed
Wage-earners.
Average
Monthly
Employment
in 1939.
Average Proportion not
on Pay-roll
during preceding
Month.
Labour
Turnover.
Regularly Employed
Wage-earners.
Average
Monthly
Employment
in 1939.
Average Proportion not
on Pay-roll
during preceding
Month.
Labour
Turnover.
Light, water, gas, street-railways, power..
Fruit and vegetable canneries	
Laundries, cleaning, dyeing	
Fish-canneries  	
Garment-making (not fur)  _._
Bakeries  -	
Printing and publishing  _	
Leather and fur goods	
Candy-manufacture _.  	
House-furnishing _ _	
2,001
958
780
724
558
357
290
162
195
170
Per Cent.
2.98
28.37
3.35
30.75
5.42
6.64
6.63
6.95
7.06
5.87
1,929
306
759
439
548
320
254
154
189
162
Per Cent.
1.46
23.79
2.23
29.65
4.79
1.87
1.80
5.39
5.38
3.64
THE MINING AND METALLURGICAL DIVISION.
In accordance with an agreement concluded in 1938 between the Provincial Department
of Mines, the Dominion Bureau of Statistics, and the Bureau of Economics and Statistics, the Mining and Metallurgical Division conducted and compiled the 1939 annual statistical survey
of the mining industry. Detailed statistical information on this subject may be found in the
annual report of the Minister of Mines for the calendar year 1939.
The work of this Division during the year has been largely concerned with the preparation
of statistical material for the Department of Mines, and the co-ordination of mining statistics
with information collected and compiled in other divisions of the Bureau.
THE MECHANICAL TABULATION DIVISION.
Large-scale statistical surveys, such as the occupational survey of Vancouver Island and
other reports described elsewhere in this report, depend upon the use of tabulating machinery.
The Mechanical Tabulation Division, utilizing Hollerith punch-card equipment, is responsible
for this phase of work in the Bureau. The Division, which is operated as a service department, has accepted custom work from other Provincial Departments in addition to statistical
work arising within the Bureau. The large volume of work made possible by this arrangement has permitted efficient machine operation. The Division has been operated on a straight-
cost basis and each Department has been assessed in proportion to the number of machine-
hours required in the performance of their contracts. Weekly, monthly, and annual statements have been produced on schedule during the year.
REPORTS AVAILABLE FOR DISTRIBUTION.
The Bureau has several reports which are available to the public on request, including:—
The Annual Report on the Trade of British Columbia with other Provinces and with
Foreign Countries.     (Limited supply only.)
Monthly   Press  Release,  the  Trade  of  British   Columbia  with  Foreign   Countries
(excludes Trade with other Provinces).
List of Manufacturers in British Columbia, arranged by Products.     (Limited supply
only.)
REPORT OF THE BRITISH COLUMBIA GOVERNMENT
TRAVEL BUREAU.
The British Columbia Government Travel Bureau engages essentially in stimulating and
developing the tourist industry, and incidentally deals with other functions. It serves as an
information and publicity bureau, as an advertising agency for all Government advertising-,
and has miscellaneous other duties. A Provincial Tourist Council, appointed by the Minister
and organized as a non-executive board, acts in an advisory capacity. Since its formation
the Council has studied many phases bearing upon tourist traffic and its promotion and has
made recommendations approved by the Minister to which effect has been given by the Bureau.
The Bureau has done much within the compass of its financial and physical capacity
toward the development of the tourist industry, with result that steady expansion is being
made; and it is proceeding with developments which will, undoubtedly, lead to further
expansion. The promotion of tourist travel in recent years has become a highly specialized
business, involving intervention of technical skill and experience along varied lines, and the
officials of the Bureau have developed considerable proficiency in this respect.
British Columbia has excellent opportunities for development of a great tourist industry.
This industry can be steadily expanded to the benefit of every city and district throughout
the Province providing there is a continuance of adequate advertising, publicity, promotion
along sound lines, mobilization of all activities and promotional agencies relating to tourist
traffic.
To enable development of a successful tourist industry a country must have the necessary
attractions, recreational facilities, climatic and other resources, background and charm to lure
and satisfy visitors. British Columbia has these assets in great array and diversity. There
must be adequate equipment to provide access, accommodation, comfort, and pleasure—to
cater to the many requirements of travel. The Province has a large measure of the necessary equipment. These resources form a great stock-in-trade available for annual sale without diminution—their enjoyment takes no toll of the resources—to provide an annual income
of many millions of dollars widely circulated among the people of the Province, with the
result that practically every one benefits in some degree. DEPARTMENT OF TRADE AND INDUSTRY. O 21
The exploitation and exportation—an invisible exportation—of these resources can be
more or less profitable according to the extent and nature of the resources possessed,
importance of the accessible market which can be developed, and especially according to the
methods and extent of promotion brought into play. This is the task of the Bureau. The
tourist business, like other big businesses, requires an energetic sales promotion branch utilizing like measures which big business has found necessary to provide customers in volume—
notably research, advertising, and publicity. The British Columbia Government Travel
Bureau is, in effect, the sales promotion branch of the tourist industry of British Columbia.
With great resources, and sharing with the rest of Canada the neighbourhood of the
world's most important travel market, British Columbia has unlimited possibilities for
exploitation of these resources and of this market, whose people spend four billion dollars
yearly on travel. This business is highly competitive; but the nature of British Columbia's
attractions is such that it can compete advantageously for the business.
The exploitation of these resources and of this market is essentially the task of the
Bureau and it has brought much skill and energy into this task. It has organized its information and publicity services, developed sound promotion; has done much to arouse people to
the economic importance of tourist travel and to the importance of local and private enterprise co-operating with the Government organization, with the result that certain regions are
already active in this respect; and it has instituted developments of varied nature which will
tend to further the progress of the industry and to augment the resources and equipment.
The Bureau has steadily improved its efforts to make the resources and opportunities better
and more widely known; the Council has studied various aspects; and local and private
interests have expanded and improved their activities, with the result that progress is being
steadily made toward increased development of the industry.
The role of the Bureau is to compile as complete a list as possible of the tourist resources,
to make these resources known to potential visitors, and to augment the value of the industry.
This task is being done for the general welfare of the Province and for the particular welfare
of each of its regions without discrimination. The work of the Bureau, therefore, must be
essentially general in character. Its literature, publicity, and advertising must be a resume
of the attractions and advantages of the Province, and it cannot be expected that this material
can go into detail or enumerate all localities or establishments which cater to the visitor,
although the Bureau has contrived wherever practical to include localized advertising or
publicity material for more specific advantage of cities and districts, and has rendered as
much co-operation as is practical or possible to localities and private interests. It is, however,
largely a matter of local initiative and local enterprise to engage to take advantage of the
Bureau's activities specifically for regional advantage. This report outlines the main aspects
of the Bureau's work under various heads during the past year, together with remarks anent
the tourist traffic. INFORMATION.
Tourist travel is like any commodity for which sales in volume are sought; and as in
any sales plan the development of clientele for a tourist industry requires in the first instance
as complete knowledge as can be obtained of the commodity to be sold. Consequently the
Bureau has to take stock of the resources and of the available equipment in every particular.
It has to make inventory, and as there is a wide scope it is necessary to compile a complete
compendium of documental information—a virtual encyclopaedia of facts. This documentation has to be classified, catalogued, and be made available for ready use.
It has to be revised constantly to provide for changing conditions and additions. In fact,
the acquisition and editing of information must be constant; and the work involves more
effort than the physical capacity of the Bureau can provide. In this work the aid of local
bureaus and interests have been most valuable.
In addition to documentation dealing with the attractions, recreational and sporting
facilities and other resources, much information must be assembled relating to equipment—
regarding highways, rail and steamship, trail and water routes; rail, steamship, bus, and
ferry schedules; concerning resorts and stopping-places; and varied other features of equipment catering in many ways to tourist travel.
DIRECT ADVERTISING.
As in any business seeking sales in volume, advertising and publicity is an essential
factor to successful promotion of tourist travel.    The millions of potential travellers must
3 O 22
BRITISH COLUMBIA.
be informed of the attractions and opportunities, in order to induce them to take advantage
of our vacation resorts. Not only must they be informed but the information must be conveyed in a manner which will appeal and allure in competition with that of other regions.
This advertising must be conducted continuously to be successful.
Following survey of the prevailing conditions in the possible markets according to their
importance, of travel trends and the varied factors likely to affect travel, the Bureau designed
an advertising plan in accordance with its estimated budget. The plan comprised joint
objectives of stimulating travel from markets already developed to some extent and of developing potential markets and extending the scope of them. In co-operation with the Washington
State Progress Commission and Oregon Highway Commission, a joint advertisement, covering
two pages printed in four colours, was used in the Saturday Evening Post. This one advertisement alone attracted 7,000 inquiries. The advertising plan, including national and regional
campaigns, attractively presented information concerning opportunities available for pleasure-
travel in British Columbia through media reaching more than 95 million paid subscribers—
and a far greater audience when recirculation is considered.
Due care was given, not only to selection of media and arrangement of schedules, but also
to planning the pictorial theme, text, lay-out, and technique of treatment, the Bureau and
agency collaborating fully in this respect. In addition to the broad advertising plan, consideration was given to special interests of cities and regions and displays with objective
copy, in preparation of which local bureaus were consulted. This material was incorporated
in the regional advertising. Similarly, local interests were considered with reference to the
publicity campaign conducted on organized lines to support the advertising plan; and further
consideration was given to the cities and regions by relaying inquiries attracted by the advertising to them. In addition to an energetic publicity campaign, outdoor advertising was used
comprising fifty-one billboards erected at strategic points along the main highways of Pacific
Coast States. As a large proportion of the present traffic is derived from this region, considerable percentage of the advertising expenditure was alloted to this area, although the
effort to widen the market was not neglected. Media used, exclusive of the billboards, totalled
seventy-six, carrying 578 advertisements and reaching 95,794,068 paid subscribers at a cost
of 2,400 messages per dollar. A summary of the magazine and newspaper campaign—national
and regional—follows: —
Media.
Advertisements.
Lineage.
Total
Circulation.
15
8
20
6
17
9
1
■
44
27
200
60
166
80
1
4,323
2,514
44,800
13,448
13,560
6,754
224
39,368,132
743,011
Newspapers—■
17,830,480
3,057,410
17,227,488
16,822,820
744,727
Totals	
76
578
84,623
95,794,068
The geographical distribution of the circulation obtained, shown by regions comprising
groups of States, follows:—
National.
Regional.
Total.
Per Cent.
5,035,349        5.26
1,426,291         1.49
5,968,963         6.24
9,928,944       10.36
11,552,652      12.06
3,385,495        3.53
979,381        1.02
1,091,057         1.14
Per Cent.
18,573,491      19.38
3,057,410        3.19
17,227,488      17.98
16,822,820       17.57
744,727          .78
Per Cent.
23,608,840      24.64
Mountain .._. _.. __ _ ....
West Central     _	
4,483,701        4.68
23,196,451      24.22
26,751,764      27.93
North Atlantic 	
12,297,379      12.84
3,385,495        3.53
979,381        1.02
1,091,057         1.14
Totals      -- -  -	
39,368,132      41.10
56,425,936      58.90
95,794,068    100.00 DEPARTMENT OF TRADE AND INDUSTRY. 0 23
NATIONAL ADVERTISING.
The national campaign comprised forty-three advertisements used in fourteen nationally
circulated publications with an aggregate of 36,202,262 paid subscribers, inserted at a cost of
2,246 subscribers reached per dollar. As these publications have considerable recirculation,
the total number of persons reached, many successfully, probably exceeded a hundred million.
Magazines in which these advertisements were inserted included the National Geographic,
American, Time, Colliers, Woman's Home Companion, Life, Fortune, Country Life, Sunset,
Newsweek, Instructor, Grade Teacher, Scholastic. Advertisements also were used by the
Bureau in special travel editions issued in the Chicago News and the New York Times.
REGIONAL ADVERTISING.
To reinforce the national advertising in various regions spot newspaper and other forms
of displays were used in the Pacific, Mountain, West and East Central States. In the Pacific
and Western States, display advertising was inserted totalling 270 advertisements in twenty-
seven selected newspapers published in California, Oregon, Washington, Idaho, Colorado,
Utah, Arizona, and Oklahoma; also (a) fourteen displays in six motor magazines—official
publications of the leading motoring organizations which render valuable co-operative services; (6) a page advertisement in a widely circulated motor guide-book; (c) twelve advertisements in a special magazine circulated in guest-rooms of leading hotels; and (d) fifty-one
billboards alongside Coast highways. These advertisements reached 18,573,491 subscribers.
In the West and East Central groups of States smaller displays totalling 246 were used in
twenty-six newspapers published in larger centres of Minnesota, Iowa, Missouri, Nebraska,
Kansas, Michigan, Wisconsin, Ohio, Illinois, and Indiana reaching more than 34,000,000 subscribers at cost of over 7,000 per dollar.
These newspaper campaigns were supported by an organized publicity campaign, one
feature of which was the use of a series of eight illustrated three-column feature lay-outs
prepared in mat form and circulated for eight weeks to 1,100 newspapers each week. These
secured a large measure of publication in newspapers published in more than forty States.
Also, a " See British Columbia First " advertising campaign was carried out, using five insertions—these advertisements being designed and produced by W. H. Currie of the Bureau's
staff—in sixty British Columbia newspapers, supported by radio announcements, literature,
and publicity. The Game Board co-operated by using advertisements in Field and Stream,
Sports Afield, and Outdoor Life, appealing specially to hunters and fishermen and relaying
inquiries to the Bureau. The advertising campaigns contributed measurably to the increase
which took place in travel, particularly from wider markets.
SAN FRANCISCO EXHIBITION.
A feature of an extensive and energetic publicity plan which covered a wide and miscellaneous range was an attractive exhibit displayed in the Hall of Western States at the Golden
Gate International Exposition at San Francisco, which is dealt with elsewhere in this report.
LOS ANGELES OUTING SHOW.
An attractive display was made by the Bureau occupying a prominent position at the
annual Outing Show of the Automobile Club of Southern California. The display attracted
much attention. The background consisted of a large reclining coloured map with representations of mountains, forests, lakes, and streams, with numerous enlarged photographs, and
also casts of sport fishes. At each flank were pylons framing a series of large illuminated
transparencies. The display was visited by about 250,000 persons largely interested in vacation travel and outdoor recreation. It was attended by the Commissioner, incidental to a
contact trip to California. A large number of registrations were made of those interested in
visiting the Province, and subsequent information indicated that a considerable proportion
had made visits. The Automobile Club of Southern California which sponsors this show
renders valuable services to the Bureau by distributing literature, disseminating information,
directing travel and otherwise; and in addition to its value as a medium for attracting travel
directly it serves to augment the good-will of this organization. Material also was provided
for a display of the Canadian Travel Bureau at the New York World's Fair; a display made
by the Pacific Northwest Tourist Association at Chicago;   and for window displays arranged 0 24 BRITISH COLUMBIA.
by the Woman's Home Companion. In addition to literature sent to these exhibits, supplies
of literature and films also were provided to the exhibit of the Canadian National Railway at
the New York Fair.
"ASK MR. FOSTER" SERVICE.
Arrangement was made with the " Ask Mr. Foster " Service, whereby its services were
engaged to encourage direct travel to the Province. Posters and publicity material were displayed at each of the seventy-two agencies operated by this service in centres scattered over
the continent. Supplies of literature were made to each of the offices. The various bureaus
of this service interviewed prospective visitors and informed them concerning the vacation
opportunities of the Province, and lists of persons dealt with were forwarded to the Bureau.
To facilitate the answering of inquiries at each agency a comprehensive folio of answers to
possible questions—compiled by W. H. Currie originally to aid attendants at the exhibit at
San Francisco—was supplied.
DISTRIBUTION OF PHOTOGRAPHS.
Further improvement was made to the photograph library, now standardized to enable
economic distribution of prints. An extensive photograph library is a necessity, prints being
required not only for distribution for publicity purposes but also to provide illustrations for
advertisements and for illustrating the booklets of the Bureau. Some pictures were enlarged
and transparencies produced for display purposes. Efforts are being made constantly to
improve the library. Officials of the Bureau have visited various sections of the Province to
obtain new prints, and other additions have been made by purchase from time to time. Use
of colour is steadily expanding, and special attention is being paid to the assembly of koda-
chrome pictures.
MOTION PICTURES.
A number of additions were made during the year to a library of motion pictures begun
some years ago. In its initial stages the library consisted for the most part of prints obtained
on indefinite loan from various branches of the Dominion Government and from trans-
continent railways. Additions were made to suitable films by purchase, and later the Bureau
began to produce its own films. During this year some additions have been made of films
produced by officials of the Bureau. Numerous showings have been made. Additions were
made during the year to the equipment.
It is anticipated that improvements will be effected in organization of the film library,
and that additions will be made to the library and equipment during the coming year. It
is hoped, also, to improve and widen the distribution. Investigations are being made with
view to arranging for production of a theatre-sized travelogue film for wide-scale theatrical
showing.
POSTERS AND CAR STICKERS.
Two striking posters were produced by the silk-screen process and were widely distributed and exhibited. A motor-car sticker in four colours, attractively designed, was
produced and distributed to visiting motorists. Co-operation in distributing these stickers to
incoming motorists was given by border customs and immigration officials, travel and tourist
bureaus, boards of trade, gasoline-stations, and others.
LITERATURE.
During the year 253,942 pieces of literature were distributed to satisfy inquiries and to
supply various agencies and organizations which co-operate to provide distribution. Literature provides the most efficient and most economic means of satisfying inquiries and is a
valuable medium of publicity. The production, and notably the supply, of literature offers
problems. Keen competition requires that booklets should be highly attractive and adequacy
of supply is essential. However, the amount available for this purpose is limited. Solution
of problems of production and supply within scope of the funds available require use of
considerable technical skill.
In order to cope with the literature problem and to enable the production of high-class
material in as ample quantity as possible, it was determined to restrict the range of publications issued to those considered as essentials.    The demand is steadily increasing, owing to DEPARTMENT OF TRADE AND INDUSTRY. O 25
increasing numbers of inquiries and increased demands from many sources for supplies for
distribution. In addition to the demands for the exterior propaganda, the Bureau is faced
with heavy demands for local bureaus, travel agencies, boards of trade, and other organizations within the Province, and the necessity—at considerable expense to the Bureau—of
s-upplying the requirements of the Agent-General's office in London. The compilation of booklets, in large measure, is carried out by W. H. Currie, who has developed much ability in this
regard. The several booklets, attractively prepared and produced in the Bureau, have brought
commendation from experts.
The chief publications include (a) " British Columbia, Canada," a folder incorporating
numerous reproductions of photographs and a map with minimum of letter-press, used for
broadcast and rack distribution as an initial approach to prospective visitors, and containing
an invitation to write for further information and booklets; (b) " Alluring British Columbia,"
a well-illustrated booklet with a number of illustrations in four colours, dealing broadly and
concisely with the attractions; (c) " British Columbia's Picturesque Highways," an illustrated
road guide with strip maps dealing with highways, routes, and historical and other notes;
(d) "Hunting and Fishing," illustrated, dealing with sporting and recreational facilities;
(e) " Tweedsmuir Park," illustrated, dealing with the park and the visit to it of Governor-
General and Lady Tweedsmuir.
To provide for other than travel-promotion purposes the Bureau also compiles and
publishes: (a) "British Columbia," illustrated, dealing generally with resources, industrial,
settlement, and other opportunities; (6) " Questions and Answers," a pamphlet containing
several hundred questions largely asked appertaining to regulations and other matters and
answers to them; (c) Land Series bulletins, comprising wide range of pamphlets dealing with
regulations regarding lands, and with topographical and other conditions in the various land
districts and divisions.
Various other leaflets, bulletins, and informative circulars are prepared dealing with
hunting, fishing, customs, and other regulations; canoe trips, waterways, etc.; also much
mimeographed material of informative nature. The Bureau also acts as a clearing-house
for literature of a number of local bureaus, resorts, stopping-places, etc., for the Canadian
Travel Bureau, Dominion Parks, railways, and other organizations. All publications and
printed matter are produced for the Bureau by the King's Printer.
Road Bulletins.
As a service to travellers and also aid to publicity, the Bureau prepares and distributes
fortnightly during the travel season bulletins dealing with prevailing road conditions. Information, up to date, is obtained through co-operation of the Department of Public Works and
British Columbia Police. The district engineers assemble information which is forwarded by
the radio service of the Police. This information is co-ordinated and condensed into bulletins
by the Bureau; mimeographed and dispatched to more than 300 organizations, including
motor clubs—many of which recirculate the information—travel bureaus, newspapers, boards
of trade, local tourist bureaus, and others.
CONTACTS AND CO-OPERATION.
The Bureau has established close relations with many organizations and interests, notably
in the more important travel markets, through which valuable co-operation is obtained
enabling extension of publicity, distribution of literature, dissemination of information, and
direction of travel. These relations, built up and extended each year, aid much in the promotional efforts of the Bureau. To maintain and improve these connections periodical visits are
necessary. Consequently in April, incidental to arranging and attending the Outing Show
display at Los Angeles and attending the Pan-American Travel Conference held at San
Francisco, the Commissioner visited and conferred with a large number of executives of motor
organizations, travel bureaus, transportation, oil company, hotel, newspaper, magazine, film-
producing and other organizations, syndicate services, advertising and publicity agencies,
and others. Also, arrangements were effected relating to advertising and publicity schedules
of the Bureau.
Amono- arrangements at Seattle was a provision for syndicating publicity material by
the Hearst newspapers, and for interchange of inquiries with the Washington State Progress
Commission and Evergreen Playground Association.    At Portland inclusion of material in radio scripts, improved services of local travel bureaus, and co-operation with the Oregon
Highways Association were among arrangements effected. At San Francisco arrangements
were made with feature syndicate services, newspapers, magazine representatives, oil companies, and others for further publicity; discussions held with travel bureaus, and arrangements made for window displays in transportation offices. Conferences with motor clubs
effected improved distribution of literature and information, and arrangements were made
for inclusion of a large transparency in a motor association exhibit on Treasure Island.
Discussions were held with representatives of Colliers regarding unsatisfactory references
in articles and understanding reached that due care would be taken to represent the Province
more correctly. Also discussions were held with officials representing the Women's Home
Companion for inclusion of British Columbia material in window displays and radio broadcasts sponsored by the magazine. At Los Angeles, in addition to attending the Outing Show
exhibit, valuable contacts with the Automobile Club of Southern California were strengthened;
arrangements made for use of material by a syndicate service; and conferences held with the
All Year Club, oil company officials, newspapers, radio, and other interests. Inclusion of
British Columbia material in special events features planned by the Columbia Broadcasting
Company was arranged, and valuable information obtained relating to film production.
Incidental to the trip, considerable volume of publicity was obtained through newspapers,
radio broadcasts, etc.
INQUIRIES.
Increased number of inquiries were dealt with—both respecting tourist travel and dealing
with settlement, resources, and various matters requiring special treatment. The Canadian
Travel Bureau again relayed inquiries affecting British Columbia to the Bureau. The inquiries
dealt with during the year, compared with those handled in the preceding year, were:—
1939. 1938.
Replies to advertising  13,410 6,357
" Ask Mr. Foster " service  5,003 __________
Canadian Travel Bureau  6,938 4,545
Evergreen Playground Association  1,430 4,535
Washington State Progress Commission __._ 1,746 21,406
Pacific Northwest Tourist Association  127 249
Game Board  1,056 1,016
San Francisco Exhibit—
General   144,355                  	
Special  2,782                 	
176,847 38,108
General  inquiries  ____    11,473 9,993
Totals  188,320 48,101
Literature distributed, pieces  253,942 147,224
FIELD-WORK.
During July, W. A. Macdonald, with energy and ability, engaged in field-work in
Washington and Oregon. He travelled over 2,600 miles and visited officials in charge of
travel bureaus, boards of trade, motor associations, transportation offices, newspapers, radio
stations, hotels, resorts, motor camps, garages, etc., engaging, in general, as a " travelling
salesman" for British Columbia's touristic opportunities. In all, 227 organizations and
establishments were visited. Among other points, the following cities were visited: Seattle,
Olympia, Walla Walla, Yakima, Wenatchee, Spokane, Portland, Astoria, Salem, Eugene,
Roseburg, Grant's Pass, Medford, Klamath Falls, Bend, Dalles, Creston, Trail, Grand Forks,
Nelson, Oliver.
Calls were made at twenty-six travel bureaus, twenty-two chambers of commerce, seven
motor association offices, seventeen transportation offices, forty-six hotels, forty-seven motor
camps, six resorts, nine immigration offices, six police posts, three sporting goods establishments with clientele interested in British Columbia, twenty-one garages and other places.
Many individuals planning vacations were contacted and advised regarding routes and attrac- DEPARTMENT OF TRADE AND INDUSTRY. O 27
tions. Three motion-picture films in colour were shown at several places. At Walla Walla
the showing was sponsored, by the chamber of commerce, and subsequent newspaper comment
indicated that the pictures attracted much attention. Literature totalling 30,312 pieces was
advantageously distributed and arrangements made for future supplies to several agencies.
Posters were circulated, displays arranged, and supplies of wind-shield stickers furnished for
issue at border points. The Bureau's contact officer reported keen interest in British
Columbia, willingness to co-operate in distributing literature, publicity, and information; and
general attitude, notably on part of travel directors, of friendliness and wholesome regard
for the undoubted attractions of British Columbia.
ORGANIZATION OF LOCAL BUREAUS.
A valuable part in the development of the tourist industry can be taken by regional
tourist bureaus supported by local enterprise. For many years the Vancouver and Victoria
bureaus, largely supported by civic grants augmented by subscriptions, have promoted travel
to their localities successfully, and many other cities and regions have become interested in
the development of district activities. The role of such bureaus is important. The Government Travel Bureau, or Tourist Council, cannot achieve complete success without the aid of
these offices as there are many duties which the central bodies must, of necessity, leave to
local enterprise.
The exterior propaganda of the Government Bureau will do much to make the attractions
in general—and local opportunities in some degree—more widely known; but it is desirable
that cities and communities which can benefit should engage to take advantage of the promotional work of the Government Bureau.
A district bureau can advantageously engage to seek improvement of access, transportation, reception, accommodation, and entertainment of visitors; to secure preservation and
betterment of local attractions, resources, and equipment. It can organize reception and
entertainment. It can develop artificial stimulants, such as celebrations of historic, sporting,
or other events; can stimulate and co-ordinate efforts of other organizations; can act as intermediary between public administration, boards of trade, motor or other organizations and
interests. The local bureau can look to maintenance of standards in the equipment for catering to tourist travel, to improvement of fishing or other recreational sites; can regulate guide
and other services; promote use of products and merchandise grown or produced in that
area; encourage use of arts and handicrafts. In fact, there is wide range of activities open
to the local bureau apart from seeking to make the region better known. The Government
Bureau can co-operate in many ways. It can provide a clearing-house for further distribution
of regional information, literature, and publicity; can relay inquiries; and can co-operate
with the various agencies more effectively through the channel provided by a local bureau.
These bureaus can, in turn, advantageously co-operate with the central bureau by providing
copies of the documentation assembled relating to local information.
The British Columbia Government Travel Bureau has encouraged the establishment of
district organizations, and to this end visits were made to Kamloops, Vernon, Penticton,
Grand Forks, Nelson, Trail, Rossland, Cranbrook, Nakusp, Prince Rupert, Stewart, Smithers,
Burns Lake, Vanderhoof, Prince George, Quesnel, Lillooet, Nanaimo, and Port Alberni, where
meetings were addressed and discussions held with boards of trade and other interested bodies
and persons. Several of the cities, with energetic support of their boards of trade and other
bodies have established bureaus, some of which have already accomplished much for their
districts.    Work along this line is proceeding.
SEE BRITISH COLUMBIA FIRST.
Following upon recommendations of the Tourist Council that, in addition to exterior
propaganda, attention should be given to development of domestic travel, the Bureau planned
and executed a " See British Columbia First " campaign. Attractive advertisements were
prepared and inserted in over sixty of the newspapers of the Province. A series of five
advertisements was used, each stressing some phase of the attractions and the desirability
of a vacation in the Province. These advertisements attracted much interest. Through
co-operation of the manager of the Canadian Broadcasting Corporation station at Vancouver,
arrangements were made for daily broadcasts in support of this campaign, and ■ announcements prepared by the Bureau were made at close of the station's programmes each  day O 28 BRITISH COLUMBIA.
during the holiday season. Sticker-stamps, in four colours and of attractive design, were
printed in quantity and supplies were forwarded to various organizations and agencies for
distribution; also a leaflet, in part printed in four colours and including scenes in Interior
districts, together with a tracery of the highway system, was printed and supplies were made
available to firms and others with large mailing-lists for inclusion as inserts in their mail.
MARKING HISTORIC SITES.
Study relating to marking historic sites and preserving historic objects with a view to
furthering tourist travel was made by the Bureau, inclusive of developments and methods
elsewhere. Information was assembled and compiled of sites and objects available for consideration. Local opinion was canvassed and numerous organizations and persons were invited
to provide lists of historic events relating to their regions considered suitable for commemoration, with approximate locations and notes dealing with their significance. Research was made
by the Bureau and a report, comprising information under various other heads bearing upon
this matter, was prepared. Included were references to the activities in British Columbia
of the Historic Sites and Monuments Board of Canada, with lists of the sites and objects
marked by the Board.
Investigations were made regarding marking of historic sites, preserving—and also
restoring and reconstructing—historic objects in various parts of the United States. The
information obtained was epitomized and included in the report, together with reproductions
depicting examples of signs, shelters, shrines, and other forms of markings; also of reconstructions, some of large scale. The possibilities for like restorations in British Columbia,
and their utilization for publicizing touristic resources were instanced.
IMPROVED COLLECTION OF STATISTICS.
Statistics relating to tourist travel are compiled monthly, and annual reports issued.
The Dominion Bureau of Statistics, the Customs and Immigration services co-operate in the
compilation. The statistics provided are incomplete; and in some cases are prepared following methods which result in inaccurate impressions of actual conditions—particularly with
reference to outgoing Canadian cars.
Correspondence was exchanged with officials of the Dominion statistical bureau with a
view to securing statistics which enabled a more accurate statement, notably of the outgoing
Canadian traffic, being secured. It was disclosed that the method used in this respect was
not uniform and that some classes of this traffic were not taken into consideration in Eastern
Provinces but were included with reference to British Columbia. Many instances were presented indicating how the figures were unduly swollen by inclusion of all trans-border travel,
including taxis in some instances, large proportion of which remained beyond the border for
brief duration; by constant repetition of commuting travel; and by inclusion of traffic which
crossed between two Provincial points. The result was that the figures presented for outgoing British Columbia cars—which were nearly triple the number of passenger-cars registered in the Province—gave the impression that an adverse balance existed in motor travel,
which is not the case. The result of this correspondence was that in June an arrangement
was effected whereby outgoing traffic was thereafter shown in two classes—namely, cars
remaining less than twenty-four hours and cars remaining over twenty-four hours.
Under the prevailing method of*presenting statistics of tourist travel the only accurate
statement is that of the numbers of United States cars entering through customs ports on the
international border. Based on information from a limited number of returning motorists,
averages for Canada are presented annually of the passengers per car, stay, expenditure, and
mileage travelled. Figures are presented as showing arrivals by rail and by steamship from
the United States; but these cannot be considered as showing the actual traffic. For instance,
none of the incoming rail traffic is credited to the main transcontinental railways, the figures
for British Columbia including only persons who entered directly from the United States by
railways crossing the border within.the Province. Arrivals by ocean steamship are shown
for Canada only, without segregation; and information is lacking regarding various classes
which contribute to tourist travel in the aggregate.
The consequence is that, in order to obtain information from a Provincial standpoint, it
is necessary that steps be taken to secure more accurate data. This matter was discussed
with the Director of the Bureau of Economics and Statistics and various suggestions were DEPARTMENT OF TRADE AND INDUSTRY. 0 29
made for securing information relative to various forms.    Not until this information is developed will it be possible to make a close estimate of the volume or value of the tourist traffic.
INTER-AMERICAN TRAVEL CONGRESS.
The Bureau was represented at the first Inter-American Travel Congress, held in April
at San Francisco, under auspices of the Golden Gate International Exposition and Pan-
American Union. Delegates representing twenty-two American countries attended. Many
topics were discussed; among them the proposed Alaska Highway and a Pan-American
Highway. Plans were outlined for inter-American motor caravans starting from Washington, Ottawa, and Buenos Aires to meet at Bogota, Colombia, October 12th, 1942, to inaugurate
a Pan-American highway system. Improvement of highways, hotels, and resorts; control
for protection of travel; simplification of passport and immigration regulations, bi-lateral
agreements between countries to further travel promotion were discussed.
Establishment of national travel boards to co-ordinate activities and co-operate in
developing inter-American travel was recommended. Discussions dealing with marketing,
travel, publicity, cultural effects of travel promotion, and various other phases elicited useful
information. It was recommended that an inter-American travel office and permanent secretariat be established with co-operation of the Pan-American Union; and the Congress was
organized on permanent basis, with D. Leo Dolan of the Canadian Travel Bureau as chairman,
and arranged to hold its next convention at Mexico City in 1941.
CO-OPERATION.
The Bureau enjoyed, and provided, co-operation with various Departments of the Government service, travel and tourist bureaus, boards of trade, transportation and other organizations and interests. The Public Works and Police Departments aided by assembling and
forwarding information on road conditions, enabling successful development of a road bulletin
service; the Game Commission assisted in dealing with inquiries concerning hunting, fishing,
and other matters, and in improving recreational facilities. The Forest Branch engaged to
improve attractions. All branches readily responded to requests for specific information at
times required to deal adequately with inquiries.
The Canadian Travel Bureau, National Parks, Customs, Immigration, and other Federal
services co-operated by relaying inquiries, providing literature, and otherwise. The Dominion
Bureau of Statistics furnished data freely respecting travel. The Washington State Progress
Commission, Oregon Highways Commission, Evergreen Playground Association, Vancouver,
Victoria, and other tourist bureaus readily co-operated; as also did boards of trade, both
senior and junior. The Commissioner attended the annual convention of the Junior Board
of Trade to outline the Bureau's activities and arrange for co-ordinating co-operation. The
convention appointed a special Provincial committee to deal with tourist traffic affairs, and
committees to deal with this business have also been appointed by many local boards.
PROVINCIAL TOURIST COUNCIL.
The British Columbia Tourist Council met in November. Due to resignations of W. H. J.
McMillan, of Kamloops, and H. M. Whimster, of Nelson, Messrs. Sydney Smith and W. G.
Lanskail were appointed to the Council in their stead. A summary of the work of the
Government Travel Bureau during the year, of travel conditions and prospects, and a statement respecting the advertising, publicity, and other plans proposed for the coming year was
presented and approved. Many subjects relating to tourist travel and its improvement were
brought forward by various members and discussed. Among matters dealt with were travel
to Interior points; improved collection of statistics; control of coarse fish; improvement of
fishing-places; publicity by means of radio broadcasts; development of the use of motion
pictures; accommodation for travel; marking of historic sites; development of ski-ing and
ski-ing grounds.    The Council, appointed in 1938, consists of the following members:—
E. G. Rowebottom (Chairman)...Deputy Minister, Trade and Industry.
J. Gordon Smith Commissioner, Government Travel Bureau.
T. W. S. Parsons Commissioner, British Columbia Police.
E. C. Manning Chief Forester, Department of Lands.
Arthur Dixon Chief Engineer, Department of Public Works. O 30 BRITISH COLUMBIA.
John V. Fisher Assistant Deputy Minister, Department of Finance.
F. R. Butler Member, Provincial Game Commission.
E. H. Adams Director, Vancouver Tourist Association.
G. I. Warren Commissioner, Victoria and Island Publicity Bureau.
T. W. Brown Solicitor, Prince Rupert.
J. B. Spurrier President, Fish and Game Club, Kelowna.
Sydney J. Smith Kamloops Board of Trade.
W. G. Lanskail Nelson Board of Trade.
Since its formation the Council has discussed and studied many phases relating to the
tourist industry and its promotion, has made various recommendations, and by its advice has
assisted the Bureau in the development of its plans and work.
OFFICE-WORK.
The Bureau's activities, as evidence by review of the many phases dealt with, covers
wide range and involves a mass of office detail. Considerable volume of documentation has
to be assembled, revised, catalogued, and filed. An encyclopaedia of information has to be
compiled, dealing with a wide range of subjects—touristic and other resources, equipment,
markets, travel trends, media available for advertising and publicity, and others. A large
volume of correspondence has to be dealt with and filed. Recording, book-keeping, accounting,
and vouchering expenditures, checking advertising and publicity, counter work to deal with
direct inquiries; follow-up to develop potential business; circularization, collection of statistics, packaging, mailing, and many other duties make great and varied volume of office
detail which taxes the capacity of the staff.
GOVERNMENT ADVERTISING.
In addition to the tourist traffic promotion, information, and other duties, the Bureau
also acts as an advertising agency charged with placing, supervising, and accounting for the
advertising business of all Departments and branches of the Government service. In some
instances it also acts as advertising counsel; assists in preparing and arranging material;
in fact, renders all services of an advertising agency. The Bureau's functions in this respect
result in increased efficiency and effect much economy.
SETTLEMENT INQUIRIES.
The Government Travel Bureau's interest in settlement and general development was
explained at length in last year's report. That the Bureau should be interested in those
angles is entirely natural, when it is borne in mind that many of our permanent residents
came in the first place as tourists. Also, in its work of fostering and encouraging travel to
all parts of the Province the Bureau has gained an extremely comprehensive knowledge of
the Province as a whole. Indeed, it is safe to say that no branch of the Service has a better
or more practical insight into the domestic situation or is better equipped to deal with
questions of a broad general nature.
In those circumstances, the Bureau is the repository for all settlement inquiries where
careful consideration and exhaustive detail are required, and it has been singularly successful
in dealing with them, taking quite considerable pains to give them complete and sympathetic
attention. In this, it has the ready co-operation of the other Departments, which recognize
the Bureau's unusual facilities for this work.
The disturbed state of Europe and its inevitable reaction in other portions of the globe,
of course has affected this phase to some extent. Emigration from Europe has to all intents
been suspended, and there are few remaining countries anywhere from which such movement
is unrestricted. On the other hand, there is a marked eagerness to inquire into the conditions
which prevail in Canada, and notably in British Columbia, and a keen anxiety to take
advantage at the first opportunity of the safety and security which this country seems to
afford.
The following inquiries are typical:—
From Lima, Peru: " I should be most grateful if you could supply me with two really
good maps, one of Vancouver Island and one of British Columbia, the price per acre for land DEPARTMENT OF TRADE AND INDUSTRY. 0 31
suitable for small fruit and chicken farming, a rough idea of place about 50 acres with house,
cost of living, schooling, etc."
From Para, Brazil: " While at San Francisco last summer, I visited your exhibit on
Treasure Island. Although I am interested in travel in British Columbia, my main object is
to find out about the possibilities of securing a place and owning it."
From Winnipeg, Man.: "A friend of mine is thinking of coming out to Canada to live.
He has lived in India for years, and I should think the most suitable part of Canada for him
would be Vancouver Island."
From Batavia, N.E.I.: " I am anxious to have some general information on immigration,
naturalization, income tax, cost of living, etc. For reasons of an entirely private nature,
I now wish to leave this country for good towards the end of the year, and would like to settle
down in your country."
From Hong Kong: " Your address has been given me by the Canadian Government
Immigration Commissioner. I would like to find for my family a quiet and healthy place to
settle down, preferably in the neighbourhood of Victoria or Vancouver."
From Kenya Colony, East Africa: " I thank you very cordially for the trouble you have
taken, and for the kindly courteous tone of your letter, also for the numerous publications
relative to British Columbia."
From Hong Kong: " I expect to retire from the Hong Kong Government Service next
year and would be grateful if you could let me know something of living costs in British
Columbia."
From South Euclid, Ohio, U.S.A.: " I have just received a letter from a party in India
who wants to settle in British Columbia early next year."
From Mackenzie Island, Ont.: " I have often thought of a small acreage in your Province,
a place where a person could settle down comfortably, not to start making money, but a
living."
TOURIST TRAVEL DURING 1939.
Volume or value of the tourist traffic cannot be accurately measured until more complete
statistics are available. The only definite information relates to but one phase—motoring
travel from the United States—and covers but part of the detail in that respect. The numbers
of United States motor-cars entering directly through customs ports is shown under heads of
48-hour, 60-day, and 6-month permits in the reports issued by the Dominion Bureau of Statistics; also averages for Canada struck from information obtained from limited proportion
of this traffic enables comparative estimates of the numbers of passengers per car, days' stay,
expenditure, and mileage travelled. The Dominion statisticians also present figures, with
similar averages, purporting to show the numbers of arrivals by rail and steamship from the
United States; but these returns, particularly with respect to the rail travel, cover but a
proportion of the actual travel. The totals for rail travel from the United States into the
Province comprise only those who come by railways crossing the international border directly
into the Province and arrivals by the main transcontinental railways—which are credited to
the Provinces of entry irrespective of destination—are not included. Thus, the figures shown
cannot be considered as being inclusive of total travel. Further additions are to be made to
the motoring traffic of travel of United States and Canadian cars over the Alberta border and
of cars from other Provinces coming by way of the United States and crossing through border
customs ports.
Ocean steamship and bus, air, and ferry travel is not segregated by Provinces in the
returns; and various forms of travel which add materially to the volume and value of the
business, such as coastwise and steamship excursions, yachting, hunting, and fishing, and
other classes are not taken into account; nor is consideration given to interprovincial travel.
Consequently estimates of the volume or value of the tourist travel must necessarily be rough
approximations computed under three heads: (1.) From information provided in the reports
of the Dominion Bureau of Statistics of (a) the numbers of United States motor-cars checked
when entering the customs ports in the three classes, and the number of travellers' vehicle
permits issued to commercial and other cars which make repeated crossings, with computations of the numbers of passengers, days' stay, and expenditures based on the averages for
Canada published by the Dominion bureau; (6) the numbers of arrivals by rail or by steamship from the United States as reported by the Dominion statisticians with computations of O 32
BRITISH COLUMBIA.
stay and expenditures based on averages as furnished. (2.) Calculations based upon arbitrary assumptions of the proportions of ocean travel and bus, air, and ferry traffic, and of the
expenditures of these classes as reported, which can be conservatively estimated as the share
enjoyed by British Columbia. (3.) Estimates based upon such information as can be obtained
of various other contributing classes not considered in the report of the Dominion Bureau of
Statistics on tourist travel. •
(1.) (a.) United States motor travel through customs ports:—
Cars.
Persons.
Average.
Expenditure.
Average.
1939.
47,701
113,781
81
7,392
143,839
328,827
221
?
3.08
2.89
2.73
$996,599
10,029,795
13,548
1,578,400
$21.34
88.15
6-month cars   	
167.26
200.00
Totals                	
472,887
$12,618,342
1938.
42,635
117,869
10,658
134,300
346,535
,    1
3.15
2.94
$952,982
11,171,623
2,131,600
$22.35
94.78
200.00
Totals	
480,835    [
1
$14,256,205
(1.) (6.)  Rail and steamship from United States, as shown:—
Persons.
Expenditure.
Average.
1939.
Rail from U.S     _             —-                           	
36,743            $2,831,783
148,782    |        8,019,349
$77.07
53.90
Totals _	
185,525    |    $10,851,132
1938.
Rail from U.S   ___           	
35,520             $2,229,235
102,903    j        5,145,150
$62.76
50.00
Totals    	
138,423
$7,374,385
(2.)   Ocean steamship and bus, air, and ferry travel, based on assumed proportions of
25 per cent, and 8 per cent., respectively, of totals shown for Dominion:—
1939. Persons. Expenditure.
Ocean travel         4,044 $3,103,250
Bus, plane, ferry, etc.      220,320 1,680,000
Totals
224,364
1938.
Ocean travel         3,866
Bus, plane, ferry, etc.      209,840
Totals
$4,783,250
$3,670,750
1,600,000
$5,270,750
Based on these showings the direct United States motor travel through customs ports and
rail and steamship travel from the United States credited to British Columbia, plus assumed
proportion of 25 per cent, of ocean steamship travel—more than that percentage is shown as
originating in Asia and Oceania—and of 8 per cent, of the bus, plane, ferry, and other travel
as shown for the Dominion, would aggregate as follows:—
Persons. Expenditure.
1939   882,776     $28,252,724
1938  : .  832,964     26,901,340 DEPARTMENT OF TRADE AND INDUSTRY.
0 33
There remain further classes not taken into account in the report upon tourist travel,
including: (1.) Additional motor travel of United States and Canadian cars entering by way
of the Alberta border and of Canadian cars coming by United States highways and entering
through customs ports, at least exceeding 15,000 with about 45,000 passengers whose expenditures, based on the average of $88.15 shown for 60-day cars from the United States,
would total $1,322,250. (2.) Additional rail travel (a) from the United States and entering
in other Provinces and continuing into British Columbia by the transcontinental railways, and
(6) Canadian rail travel from other Provinces. These further rail travellers will probably
exceed 40,000 with probable expenditures exceeding $2,000,000. (3.) Recreational classes—
hunting, fishing, yachting, etc., and other forms, probably included in some degree in other
forms shown but having much higher average expenditures with effect upon expenditures.
(4.) Coastwise steamship traffic, including Alaska, British Columbia coast and local trip
excursion business. These several classes would probably result in addition of about $5,000
to the tourist expenditures.
It can be conservatively estimated, when consideration is taken of all forms and classes
which contribute to the tourist traffic and tourist income that, with due allowance for possible
duplication, that the tourist traffic of British Columbia circulates in excess of $30,000,000 a
year—possibly much more.
United States Motor-cars as reported by Customs Ports.
1938.
1939.
48-hour.
60-day.
Total.
48-hour.
60-day.
Total.
Pacific Highway..   -
4,108
4,696
5,224
3,712
3,330
48,571
19,543
9,983
4,978
5,643
242
19
88,979
9,836
2,288
12,124
3,732
43
157
52,679
24,139
15,207
8,690
8,973
242
19
109,949
9,836
2,288
12,124
5,079
126
163
5,568
4,459
5,850
4,280
3,106
43,047
22,907
9,218
5,771
5,707
226
14
86,890
8,146
1,438
9,584
4,660
79
238
4
4,981
2,669
78
4,571
1,146
198
1,513
1,893
48,615
27,366
15,068
10,051
8,813
23,263
14
110,153
8,146
1,438
9,584
6,777
188
289
Lower Mainland _ —	
20,970
1,347
83
6
2,117
109
51
3
2,280
4,291
3,828
3,779
2,600
1,405
Similkameen  , 	
Bridesville   	
1,436
4,998
4,418
1,493
3,025
1,543
3,932
2,803
56
4,049
1,816
144
1,893
1,494
75
504
12,834
5,368
7,801
4,474
5,542
4,841
1,687
1,893
1,494
136
1,165
29,033
3,756
274
4,030
7,261
6,950
3,906
8,350
3,746
1,603
1,513
2,115
222
933
17,058
3,885
215
4,100
61
661
16,199
3,756
274
4,030
347
12,405
2
1,280
29,463
3,887
215
2
4,102
Totals	
42,635
117,870
160,604
46,701
113,862
160,563 O 34
BRITISH COLUMBIA.
Origins of 60-day United States Cars by States, 1939.
Washington     79,526
California   16,017
Oregon   6,506
Idaho   1,646
Montana    916
Illinois   803
Colorado    615
New York  569
Texas    565
Michigan    464
Utah      417
Minnesota   411
Ohio   396
Kansas     388
Missouri    337
Nebraska   315
Pennsylvania   295
Iowa    287
Oklahoma    255
Florida    213
Wisconsin   252
Indiana    209
Arizona   202
Massachusetts    188
Wyoming  r_. 178
New Jersey  _i_ 150
Nevada  	
133
North Dakota 	
129
Georgia   	
120
District of Columbia 	
111
South Dakota 	
105
Virginia   	
87
Tennessee 	
80
Kentucky  _.
79
Louisiana  	
73
Connecticut 	
73
New Mexico 	
68
Maryland  __ 	
58
North Carolina 	
45
South  Carolina       _
43
Arkansas  ,___
43
Alabama 	
37
Mississippi 	
32
Maine 	
25
New Hampshire 	
24
Rhode Island         	
24
West Virginia 	
23
Delaware      ___          	
19
Vermont  	
9
Others                       __..
302
Total    113,862
Percentages of 60-day United States Cars from Groups of States in
Various Regions.
1937.
Pacific States   91.26
Mountain   2.98
West  Central   2.59
East Central   1.64
North Atlantic   0.86
South Atlantic   0.45
Others    .  0.22
United States Cars entered through Customs Ports.
(Passengers, days'  stay, expenditure, and mileage computed from averages reported each
year by Dominion Bureau of Statistics.)
1938.
1939.
87.76
89.62
4.80
3.67
3.43
2.55
1.95
2.07
1.20
1.19
0.62
0.63
0.24
0.27
Year.
Cars.                 Persons.
Days' Stay.
Expenditure.
Mileage.
1930                        _ —	
185,418
169,475
143,879
102,863
110,041
116,883
144,108
156,398
160.504
593,486
507,170
447,466
293,466
329,051
366.987
826,798
788,855
832,927
426,933
488,032
614.120
$15,872,180
13,473,200
10,644,855
4,397,679
5,506,895
8,060,274
8,606,292
11,490,887
12,043,000
11,039,942
69,878,780
75,168,080
64,153,756
40,008,951
46,473,012
54,615,159
73,515,417
91,461,394
87,317,080
87,582,582
1931                      -_- —	
1932	
1934                             	
1935                                          _.
1936
445,774                 757,517
470,051                 931,026
476.956         !             935 Ri9.
1939	
160,663                  472,887       |           871,879
Total, 10 years- - 	
1,450,132               4,403,293               7,473,729
!                        I
$101,135,204
690,074,211 DEPARTMENT OF TRADE AND INDUSTRY. O 35
THE   GOLDEN   GATE   INTERNATIONAL   EXPOSITION,   SAN
FRANCISCO, FROM MARCH 31st TO OCTOBER 29th, 1939.
In last year's report we dwelt upon the success which had attended British Columbia's
exhibit to that date, and are now pleased to say that its remarkable popularity continued
until the closing of the Exposition.
Inclement weather during the months of March, April, and May affected the general
attendance, but during these months and until the end British Columbia's display received
a full measure of attention.
Actually the Exposition ran for 254 days, and in that period the Commissioner was
privileged to address thirty-two different organizations in the cities bordering on San Francisco Bay and to speak over the several networks, including that of the National Broadcasting
Corporation, on twenty-two separate occasions. At all times the reception accorded to British
Columbia was extremely gratifying.
Indeed, the publicity given us by the press of California and the various radio stations
was of inestimable value. The attitude of the press throughout was warmly cordial, and as
much space was given to British Columbia as to all the other exhibitors in the Hall of
Western States combined. Scrap-books were compiled of these innumerable notices and reflect
admirably the interest shown in British Columbia's display.
Distribution of appropriate literature was an important feature. This included 225,000
special pamphlets, "British Columbia, 1939, the Royal Year"; 1'3,000 British Columbia
Government automobile stickers; 10,000 pamphlets, " The Evergreen Playground "; 22,500
road maps of Western Canada and the Western States; and 3,250 copies of the booklet
" Canada Calls." The two last named were supplied by the Canadian Travel Bureau from
Ottawa, delivered directly to our exhibit free of charge, and.we would like here to express
a warm appreciation of Mr. D. Leo Dolan's courtesy and friendly co-operation in this regard.
The booklet " Canada Calls " was an outstanding publication and, naturally, was used with
some discretion. It excited much highly favourable comment and was the means of sending
many parties to British Columbia.
Literature was placed in hotel libraries, tourist bureaus, and travel agencies, and was
forwarded by request to a large number of high schools in California where it will be
permanently available.
Apart from the distribution from San Francisco, no less than 147,000 pieces of literature
were mailed by the British Columbia Government Travel Bureau, in response to requests by
visitors to our exhibit, to points as far distant as Western Australia.
During the period of the Exposition, conventions were frequent in San Francisco. Most
of them were given written invitations to the exhibit and all of them were supplied with
literature.
In March, 1939, the Commissioner arranged with the Exposition for July 1st to be set
aside and recognized as " British Columbia Day." The occasion was marked by the official
visit of the Honourable T. D. Pattullo, K.C., LL.D., whose party was met at the State
boundary and escorted by a detachment of the State Motor Police for the entire distance.
On the morning of July 1st the Prime Minister was received on Treasure Island by the
Exposition officials and a detachment of the Royal Canadian Mounted Police under the
command of Col. T. H. Irvine, when the Canadian flag was raised with impressive ceremony
to the strains of " O Canada " and the American National Anthem.
Later the Prime Minister was greeted by the Honourable George Creel, United States
Federal Commissioner to the Exposition, and escorted over the Federal Building and Treasure
Island and, finally, to witness the arrival of 110 vessels of the United States Navy.
An official luncheon followed, tendered by the State, the City of San Francisco, and the
Exposition Board, at which the Prime Minister was met by a gathering of 250 leading
Federal, State, and civic officers, among them Governor Culbert L. Olson.
This was followed by a series of colourful and impressive events specially designed to
emphasize the theme of " British Columbia Day," at all of which the Prime Minister was the
central figure and principal speaker to an audience of over 6,000.
Altogether, " British Columbia Day" was a complete and outstanding success and a
highlight of the entire Exposition. 0 36 BRITISH COLUMBIA.
Unfavourable weather affected travel in British Columbia during the early part of the
season, and labour troubles entirely beyond our control reduced the annual influx to Victoria
and Vancouver Island. However, it is certain that British Columbia's participation in the
Golden Gate International Exposition, where this Province was the only part of the Dominion
to be represented, will have far-reaching effects, and that its influence will be felt for many
years to come. With Europe closed entirely to the pleasure-seeker and ocean travel robbed
of much of its appeal, it seems reasonable to assume that British Columbia and Canada will
receive a greatly increased share of American travel in the next few years.
During the 254 days of the Exposition, 10,496,203 people visited Treasure Island—an
average of 41,323 persons per day. Of this number, 1,275,998 visited British Columbia's
exhibit—slightly over 12 per cent, of the total admissions and an average of 5,023 per day.
In all, 282,380 persons, or over 22 per cent, of our visitors, registered themselves as desiring
further information on travel, sport, and settlement in this Province.
In conclusion, we would like to express our sincere appreciation of the valuable assistance
given by the various Departments of the Government in the assembling, fabricating, installing,
and carrying on of this most successful exhibit.
VICTORIA,   B.C. :
Printed by Charles F. Banfield, Printer to the King's Most Excellent Majesty.
1940.
1,025-940-6812

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