COMPETITIVE CONDITIONS IN SOUTH AMERICAN TRADE. 187
the River Plate market at prices which are substantially competitive,
the local preference for yellow pine is at present a deciding factor in
the competition between these two woods.
Inasmuch as Douglas fir gives good service, as a general utility
and finishing wood, in parts of the United States where climatic
conditions are similar to those in the River Plate region, it is probable,
as was stated by prominent informants well acquainted with the
lumber trade in the River Plate market, that the principal difficulty
in developing a fir trade is the ignorance of the consumer regarding
its possible uses and the proper methods of handling it. It was
maintained that if the fir manufacturers should make an organized
and concerted effort to establish trade in all sizes and grades of fir
lumber it would be successful. It was suggested that the fir exporters
should establish agencies in Uruguay and Argentina which would
import the lumber direct, maintain local supply depots and mills
for the reworking of the stock where the demand was for dressed lumber,
 and control the distribution of their product to the yardmen or
the builders.
It was pointed out that such a project would need strong financial
backing. The expense of a propaganda campaign for popularizing
the use of fir would be heavy. If successfully carried out, the result
would be the creation of a demand for fir lumber. In order that this
expense should be borne by those who would profit from this demand,
it was held that the organization must include all of the principal
fir manufacturers engaged in the export trade, and must have the
exclusive sale of their product destined for the River Plate market.
The conditions under which the importation of lumber is handled
in certain of the South American ports are such as to facilitate local
trade agreements between the relatively few importing houses which
control the business. Information that was gathered indicates the
existence, from time to time, of temporary agreements between the
principal importers to act in concert for the purchase of cargoes
shipped to their port on consignment or thrown on the local market
for some reason or other. Also, there is some evidence of concerted
action on the part of the importing houses to prevent American
lumber manufacturers from building up a direct trade with the local
yardmen, in the few instances where such attempts have been made.
No evidence was found, however, of an organized combination
primarily used for cooperative buying. The organization in Buenos
Aires known as the “Centro de Importadores y Anexos,” comprising
the principal importers of lumber, while forming a medium for concerted
 action in some matters, is reported not to be interested in
agreements covering the purchase of incoming cargoes, or selling
prices: but to act rather as a lumber board of trade for the promotion
 of common interests of the members.