The local wood-products industry began to grow around 1900, which the supply of timber in the upper Midwest declined. The industry began to boom when the Oregon and Electric Railroad was completed, in 1932. New sawmills were built along the line in town as well as in the mountains. From 1937 to 1942, twenty new mills opened in the city; they made a great variety of wood products. The paper mill, which had originally made paper from wheat straw, doubled in size in 1936 to process logs that were floated down the South Santiam River. The local population swelled, and the Great Depression had little effect on the city.<br>