Let's just say it had more to do with marketing and maximizing profit...
After re-reading this thread this afternoon I recalled that I had in my archives a copy of a summary of the history of the Charatan pipe collated by Mr. R.J. Noble for for Mr. Basil Sullivan, and which was given to me in 1995 by Mr. Trent McCranie of McCranie's Pipe and Tobacco Shop. Mr. Noble seems to corroborate your opinion.
Mr. Noble stated, in part, "The Supreme S reigned supreme until 1964, the year that Charatan and Herman Lane shocked the pipe world. They unveiled the Charatan Supreme S-100 Freehand, which would sell for a record-shattering $100.00, a retail figure unheard of until that time. Many predicted that this spelled Charatan's doom, feeling that the public would not tolerate such exorbitant prices for smoking pipes." Further on in the summary he wrote, "Beginning shortly after his takeover, and in rapid succession, Lane introduced the S-200, then the S-300, dropped the Supreme S, added the S-150 and the S-250, and then the Coronation. In April, 1968, he brought out, in a full-page
New York Times Easter Sunday ad, the Crown Achievement. The initial set was originally priced at ten thousand dollars."
I believe that the S-200 was priced at $200.00, the S-300 at $300.00, and so on, thus it may be fair to say that Mr. Lane was indeed interested in marketing and maximizing profit. Of that, Mr. Noble said, "Values changed after Lane officially took control and after Ken Barnes had been installed in London. Production and marketing quotas were the first order of business. Quality was to find itself in the rumble seat. There is some supposition that the decline really occurred in 1964, when the Surgeon General issued his cigarette edict. However, I don't believe that that was the root of Charatan's problems; and at that time Land hadn't yet taken complete control. It was the world economy and Lane's rapidly expanding marketing which brought the pedigree of pipes to its knees."
...than a supply of extraordinary wood suddenly becoming available.
Coincidentally, Mr. Noble had this to say about that, "Charatan had enjoyed, through Lane's connections, a splendid rapport with the world's foremost supplier of briar, Otto Braum. But this source was threatened by internal strife and by increased demand for choice briar by the Danes and the emerging Italian pipe makers. Wholesale prices soared."
I hope that this information is useful to the discussion.