NATIVE LANDS

New Zealand Times, Volume XXIX, Issue 6272, 27 July 1907, Page 7

NATIVE LANDS

COMMISSIONERS’ REPORTS RECOMMENDATIONS TO PARLIAMENT. CROWN PURCHASES SHOULD CEASE. PRIVATE ALIENATION CONDEMNED. A number of interim reports of the Native Land Commission were laid on the table of the House of Representatives yesterday. In the general report, dated July 11th, the Commissioners (Sir Robert Stout, Chief Justice, and Mr A. T. Ngata, M.H.R.), submit the following recommendations, falling under two heads (general and specific): GENERAL., ■ 1. That the purchase of native lands by the Crown under the present system be discontinued. Pending dealings to be completed through the Maori Land Board of each district, after due inquiry as to the wishes of the non-sellers in. the different blocks affected, and with due regard to the location and accessibility of the Crown interests, three-fourths of pur-chase-money to be paid to Public Trustee to hold in trust for the owners, to be invested for.their benefit, or used for the improvement of their lands. Balance to be paid to owners. 2. That alienation by direct novel iation between the owners and private individuals be prohibited, .

Pending dealings: —(a) Sales having been permitted by Order-in-Council, time should be given for completion of signatures and compliance with formalities, (b) Leases:—; (i) In order to meet the difficulties raised by the presence of.minors in the title, and seeing that Parliament last year intended, as we think, to empower the trustees of minors to leas© to the .full extent allowed as in’ tbe case of adult Interests, and it having been represented to us that the Maori owners are anxious and willing that the leasee should bo validated, and that large sums of money have been expended by les-sees in improvements and in obtaining leases, such leasee shall be validated 'as good up to twenty-one years, and for a further term of twenty-one years if the Board is satisfied as to the rental for the extended term and that such extension will not injure the Maori infants.

(ii) Other leases: Within two months of the passing of an Act giving effect to those ; recommendations application to be made to the Board for permission to complete, and Board may grant ’ such permission and fix a time within which leases may be completed. At end of such time, if not complete, interests of non-lessors to be partitioned. 3. Further alienations only through the Board as agent for the owTiers. or, in the case of, lands' vested in it. as registered owner of such lands. Powers of Board: (a) May sell land or part thereof—(i) If owners so desire, after due inquiry as to their ’ wishes, ii) In order to raise money for the purpose of reading, surveying, opening land for settlement, or to discharge liens and encumbrances. J (iii) In order to raise money to enable owners to farm, or for purchase of other lands for them’. ’ (iv) To the Crown for the purpose of State 1 forest", reserves, reserves, parks, etc.

(b) May lease, and may set aside, out of areas to be leased to general public, sections to be leased to Maoris other than the owners- ,

(o) May borrow money on the security of land or revenue for purposes indicated in danse 3.

(d) May make reserves for burial places. ; / Provisoes: All sales and leases to be by auction to the highest bidder, eubjeot to the following limitations:— (i) No person may acquire land, either by purchase or lease, if unimproved value thereof, together with unimproved value of land he already owns or holds under any tenure, exceeds £3OOO.

(ii) No sublease or transfer without consent of Board, who shall require sublessee or transferee to make declaration as in case (i). (e) Throe-fourths of the net proceeds of sales. } to be , paid to Public Trustee for.invesiment.v /. ; 4. Maori settlement: As to lands set apart for Maori occupation and farming. Powers of Board:—

(a) Reserve burial-places. (b) Set aside village-sites and issn© occupation licenses to . defined areas therein to native owners, so as to secure good government in the. kaingas. (c) Set aside papakaingas for individuals, families, or tribes.

(d) Set aside blocks or parts of blocks as communal farms under the management of competent farmers, and to form the nucleus of farming communities, (©) Grant leases to Maori tenants specified by the owners for such terms as' it may think fit, or issue certificates of partnership to members of families wishing to farm their subdivisions, or 3 declare the owners of any land incorporated, in order that the land may be farmed under a committee elected by the owners.

(f) Leases may contain provision—(i) Exempting lessee from payment of rent for term not exceeding four years. (ii) Requiring a percentage of improvements to be effected each year, and compelling residence and effective occupation within a prescribed time. (iii) For forfeiture of lease, saving value of improvements, and offer of land to other owners—failing them, to general public. (g) Raise money on security of land or revenue for purpose of advancing to Maori owners farming, or may out of proceeds of any sale form a fund for the purpose. Regulations as to terms, interests, etc.

5. Boards to have special powers aa to timber, flax, minerals, grant of prospecting rights, etc. 6. To obviate delay and expense in disposal of areas for settlement. Board may offer lands after rough survey indicating allotment. Arterial roads may be laid out and formed where absolutely necessary before selection, the cost of reading and survey to be loaned on sections.

7. be constituted a e at present; but the presidents should be drawn from men experienced in the cutting-up and letting of lands, and should be Government officers paid by the 'Government. Travelling allowances of president and allowances to members to be a charge on revenue from land, and each Board to have competent accountant as clerk and receiver.

8. Governor in Council may except lands from, operation of above proposals, on condition that land so excepted be sold or leased at auction. Exception may be made in favour of owner, who ; in the opinion of the Governor in Conn-, cil, on recommendation of Board, Is able to manage his own affairs. Return of .such exemptions to be laid on table of House within fourteen days of commencement of session.

9. Jurisdiction of Native Land Court limited as to land administered by the Board in matter of partitions, but not in regard to succession, testamentary disposition, ascertainment of owners or and adjustment of ‘ dis-

puted tribal boundaries. Court may partition on application of Board. 10. The law requires amendment to permit of exchanges on a large scale, so as to secure the consolidation of individual and family holdings.

The Commissioners have not yet gone fully into the procedure and judicial functions of the Native Laud Court, but they are strongly of opinion that the statutes should be codified and the law embodied in one Act. There is also urgent necessity for tho codification of native customs.

The Commissioners urge tho necessity for expedition in the survey of native lands, there being a vast amount of work pending before titles can be put on the register. The specific recommendations occur under their separate heads. The Commission asks that for tho more effective carrying out of its work it be invested with statutory powers, as follows: — (a) On notification in the "Gazette” and "Kahiti” that the Commission will inquire into any block or blocks, all dealings therewith shall be suspended until such time as the Commission thinks fit. ■

(b) The specific recommendations of tho Commission to have the effect ■ of law, unless within thirty days of -report being laid before Parliament a resolution to the contrary is passed by either House.' FINDINGS OF THE COMMISSION. NATIVE LEGISLATION TRACED, CHANGES OF POLICY. , , j In their general report the Comma*, sioners say the confusion of our native land laws is admitted by everyone, the history of over forty years’ legislation on tho subject revealing sharp changes or oscillations of policy. Tho mind of the Legislature has swung. like a pendulum between the extremes of restric* tinu against private alienation and free trade in native lauds. ; INDIVIDUALISATION : OP TITLES. The Act of 186 Z required,',thap..the native owneiehip of, land should bo decided prior to the leasing or sale. The Clown waived its right cf pre-emption, and direct dealings with Maoris tinder certain restrictions were authorised. In 1865 tho Native Land Court was established as a tribunal to investigate titles. Not more than ten individuals could bo it sorted in any certificate of title, and these ten became the absolute owners for purposes of alienation. Complaints regarding this led to the passing, of the Act of 1867 under which, though a titlo could .still be issued to ten individuals, the names of tbe beneficiaries require to be registered. The next great change vvas in 1873, when the j Legislature established the principle Jof individual title. No contract or agreement., lease, sale,-or mortgage could be valid unless. it were executed by every person named in tho nv mortal of ownership. "So far,” say the Commissioners, "the policy followed by Parliament. was to permit direct no* gotiation for tho sale, Rase or mortgage of native lands to ascertainment of title and complying with certain formalities. The Crown had waived the right of pre-emption. This was the heyday of the freetrade policy.” PURCHASE OF NATIVE LANDS.

In ISa-l the Crown resumed -its -preemptive right in ; the King Country and absolutely prohibited the sale . or.; lease of any portion of that territory to private individuals. Two years later, an Act was passed to stay individual dealings in native lands, but this was inoperative for certain reasons, no land being brought under its operation. The Commission of 1891 advised the appointment of a Native Land Board, to which would be delegated the sole power of leasing and managing tribal lands, under, 'directions; from native committees representing, the. owners i of - various blocks, fn the following year the pre-emptive right was resumed all over the. State, and the Government set about the purchase of native lands -in a systematic manner, the issue of a proclamation that negotiations were,in progres .barring private dealings- In 1894; Parliament passed ' a general enactment prohibiting private dealings with ■ native lands but saving all the rights of the Crown. Provision was also made for the incorporation of the; owners of a block ,or blocks &nd}thc appointment of committees : with; .-.full powers to alienate under,,/certain,:conditions, In 1*515 the .Government centralised in itself the power to decide what native lands should bo acquired for general settlement and what lands of vvnat native owners should be sold, leased or mortgaged to private individuals.':' ■ ,

The period 1895-1000 was marked by no change of policy,-but by a vigorous, prosecution of the purchase of native lands by the Crown. Continuing, the report says-—Eventsthat followed in quick succession between 1892 and 1000 —the wholesale purchase of native lands under the pre-omptivo right at oricar that eesmed inadequate, and under a system that appealed to tho weaknesses and improvidence of the j Maoris, the sudden introduction of- settlers ■ • into hitherto virgin areas • through tho medium of ih© ballot-box, the necessity of providing roads and other means * of communication with the new settlements and of providing by rates for . their maintenance; the hampering restrictions against leasing, which, ■ while retarding the utilisation of unoccupied lands; allowed large areas of expired leaseholds to revert to the owners and to be ‘evhiected to costly and futile litigation; the delays in partitioning. vandv«uxveying lands and in the completion ,of titles. J.o which delay Parliament > contributed oy legislative interference with the work of the Native Land Court; those j and other circumstances conspired to create between 1897 and 1900 a bewildering state of affairs.

Haori opinion was gradually consolidated in numberless meetings all over the North Island; and for tho first timo the Waikato confederacy, under 'tho leadership of their hereditary chief and of their representative in Parliament, took an active part in Maori politics* Petitions setting forth general principles for the. future administration of native lands were presented year after year, and one numerously signed was presented to the late Queen Victoria on the occasion of her Diamond Jubilee. Though divided on many points, tha tribes were unanimous in asking—G) That tho Crown cease the purchase of native lands; (2) that /the adjudication,, management, and administration of the remnant of their lands be vested in controlling Councils, Boards, or committees composed of representative Maoris. CESSATION OF PURCHASE.

This general revulsion of feeling amongst Maoris and p&kehas against the Crown purchases influenced the Government to practically decree the cessation of its purchases, except as? to dealings then pending, without waiving tho Crown's right to pre-emption. The Act of 1809 wae doomed to fail. Large areas in the Wanganui. district and others in the Hot Lakes, the. King Country, and the East Coast were vested in. the District Councils, but, on the whole, the Maori people showed an, unwillingness to entrust the administration of their lands to the Councils. Be* tween 1900 and 1906 the Legislature encroached upon tne principle of voluntarily vesting lands in the Councils. The Governor and the Minister were empower* ed for certain purposes to vest land in the Council, and, finally, the Minister was empowered, to move the Governor to vest in the Councils in certain districts lands not required or. not suitable for. proper settlement by the Maori owners. “ The position reached in 1906 was, therefore, this: ' that Parliament. or those initiating the native legislation, recognising the unwillingness of the Maori people to place their lands under the administration of the Councils or

Board*, had decided to use compulsion in certain cases/' PRIVATE ALIENATION. Concurrently witn inis, limited private alienation was permitted by the legislation of 1960, and in districts hitherto restricted, syicli -is the King ■'ouniry and Upper Wanganui, many blocks were leased with the and upon the recommendation of the Councils. The tendency towards free trade developed in 1905 a demand for the removal of all restrictions againd; leasing, and resulted in the passing of the Maori Land Settlement Act of 1J505, which permitted a greater measure of freedom than had boon enjoyed for over a decade. ''There is no doubt in our minds," continues the report, “that the legislation of 1894 to 1990 and that of 1900, by tying the hands of the Crown in the further acquisition or native landa, by restricting the leasing of tlio- c lands and by substituting a system depending for its success on tho willingness* of tho native owners to vest areas in tho administrative bodiew constituted, created a deadlock and a block in the settlement of the unoccupied lands. Tho agitation of ICC 4 and 120 a forced the Crown onco more into the field to resume its purchaser, forced Parliament to sanction tho compulsory vesting of lands in the Maori Land Boards, and reopened tho free leasing of native lauds/' Thrown on their own resources, actuated by the example of farmers newly settled in their inukt. and alarmed by the fyiticisrne of the press, which pointed towards compulsory seizure and practical confiscation, tho Maoris contemplated the possibility of utilising their lands in tho pakeha fashion. INJUSTICE OF CROWN PURCHASES. Remark is made under another head on the injustice of Crown purchases prior to 1905. when a .vast estate passed from the Maori owners for the purpose* of general settlement in tho Wanganui and Rohc-Potae for a price which seemed to be inadequate. Parliament fixed the minimum price in 1905 at the capita! value assessed under the Valuation of Land Act. 1898, which was equitable, but in tho absence of competition an approach to market value was difficult of ascertainment. It is admitted that the Crown has made no provision forth© value of milling timber in localities where it can bo economically worked, “alleging that in tho rands of tho Waste Lands Board milling timber is not an asset. But why should the Maori owners bo penalised because in tho administration of crur Crown lands the most has not been made of valuable milling timber?" SOLD AT ANY PRICE.

Theoretically the Crown does not bny unless tho owners are willing to Bell, but the Commissioners remark that circumstances are created which practically compel the Maori people to sell at any price in the absence of competition. Tho weaknesses and improvidence of the race are directly appealed to, and th" eight of a Government cheque book is sufficient for the majority of oivners to waive all considerations and put their signatures to tho purchase deeds. The evidence of -waste and prodigality in connection with recent purchases in Hawke’s Bay, Wanganui, and the King Country are absolutely conclusive that provision is necessary for controlling and preventing tho wasteful expenditure of the proceeds of a sale. While it is death the duty of the State to provide land for tho wants of an increasing population it must see that in the performance of that dutv it does no injustice to any portion of tho community, least of all to members of the race to which the State has peculiar obligations and responsibilities. The time has come when it behoves the State to consider not the theory on which its purchases of native lands are founded, but the practical results of a system which, with occasional pauses and slight improvements, has persisted for more than half a century. ' RESERVATION OF LANDS. Discussing the reservation of lands for the maintenance of the individual Maoris, the Commissioners state that it each of the owners exercised the right oselecting and retaining up to say one half of the maximum of 1000 acres of first-class land, or 2000 acres of secondclass or 5000 acres of third-class, thev know of Only three cases in the districts which they have visited where any surplus would be available for settlement. To suggest that Maori owners should be restricted within such limits—narrower than those permitted to a European—would ' reveal a desire to ignore tho Maori Rights Act of 1865, anti to treat the Maoris not as citizens but as pariahs. AN INDEFENSIBLE SYSTEM. It is our duty, say the Commissionere. to point out that it would be difficult to defend the present system of land-pur-chases. The Crown purchases land from the Maoris, and pays for these purchases out of borrowed money. As soon as the purchases aro complete and a title obtained from the Native Land Court the land is passed over to the Lands Depart ment for survey, sale, etc. The income derived from the sale of these lands beeomea ordinary revenue. No provision is made for the repayment of the amount borrowed for the purchase of the lands. We do not suppose that any one would say that this is sound finance, yet this is the system that has been going on tor a number of years, and it has been the policy adopted not by one Government, but by many Governments. Our review of the position compels us to recommend to your Excellency that the acquisition of native lands by the Ciuwu under the present system of purchase be discontinued. LIMITATION OP AREA. On the question whether there is anything to prevent a lessee taking up as much land as be likes under separate leases, each less than . the prescribed maximum, the Commissicners state that probably leaseholds may be aggregated either in the hands of a person already possessing an abundance of leaseholds or in the hands of those who own large freeholds. “It is a curious reflection that while the colony has committed itself to a policy of close settlement m respect of Crown lands, with limitations as to the area any one selector may hold, it has permitted, and still apparontly pei mite, aggregation in native lands." The Commission believes that the principle of limitation was intended to apply to native lands, and urges that this should bo made clear. It does not inquire whether a graduated tax would secure the end best, but believes that it limitation’ is a proper policy, as has often been affirmed By the Legislature, it should be directly enforced. FEEETEADE. On tho subject of freetrade in native land, the Commission says;—"The only fair thing, in our opinion, both to the Maori owners and to all would-be purchasers or lessees, is that the latter should bo put on an equality, and this can only bo attained by allowing the highest bidder to become the purchaser or lessee; but limiting the persons who can become competitors according to tho extent of their land-holdings at the time of sale so as to accord with the policy of tho country in respect to Crown lands. But no such scheme is possible unless at auction the title is guaranteed to the highest bidder. And here tho nature of the native title places insuperable difficulties in tho way. No auctioneer under such circumstances can give satisfactory assurances." . Having remarked that the policy between WOO and 1906 tended -in the direction of compulsorily vesting lands in tho Boards for administration, the Commissioners express the opinion that the Boards must be used much more freely and on a greater scale in future if large areas of unoccupied land are to bo thrown open for settlement. In dealing with the lands now remaining in the hands of the Maori people, the Commission considers that the settlement of the Maoris should bo the first consideration. “And it is because we recognise the impossibility of doing so on a comprehensive scale by the ordinary method of partition and individualisation that we recommend the intervention of a body such as tho Maori Land Board, to be armed with powers sufficiently elastic to meet the exigencies of tho situation, vv e

are of opinion that some of the surplus Maori land should bo sold, hut the purposes of any such rui« should b'* defined. The urea of good land available for disposition in this manner, having regard *to tnc present necessities of tho Maori people, their prospects settlers iU)U‘.*r a proper system, and tue needs of their descendants, is not as great as is generally supposed. Of inferior land not suitable for close settlement, and fit only for forest reserves and such purposes, there is ample, but wo doubt if th'-re will bo any kemi demand for such land. Where we have recommended areas for sale wo have done so at the request of the owners. We have staled their wishes as to leasing." THE WANGANUI DBSTRIGT LANDS INQUIRED INTO. PURCHASING SYSTEM CONDEMNED. Tho Commissioners, in their interim report relative to native lands in the Wanganui district, state that the lands inqaiiea into consisted of three groups totalling 433,07-1 acres. To ascertain the unoccupied area, it was necessary to deduct from this the total lands partly purchased by the Crown, lands in occupation of the owners, leased or in respect of which applications are ponding before tho Board. Of such lands there was an area of 129.813 acres, as follows :—Undefinoa interests bought by Crown in Blocks, 4X40; under lease by direct negotiation (prior to 1901) 30,000 acres, (since 1901) 19,509 acres, total 49,589 acres: leased by tho Board (being lands vested in it), 58,476 acres; in Maori occupation, Suuo acres; subject to applications for approval of leases ponding before the Board, 17,578 acres, less applications recommended to be suspended, 8950 acres, total 9628 acres. Of tho usance of i*03,20l acres there were vested in the Board for general settlement and not yet leased 22,601 acres, cut up and ready to bo offered, and 34,675 acres not ready, also 7200 acres vested in tho Board for Maori settlement. This left a balance of 238,582 acres to be dealt with.

Regarding the latter, the Commission recommends that 2-170 acres be set apart for Maori occupation and farming; 11,988 acres for farming to bo vested in the Board, 35,506 acres for farming, but not recommended to bo vested at present ; 93,443 acres to bo leased to tho general public (4995 of which to bo vested in the Board), 5646 acres* Papatupu block (the titles to which have not been ascertained) to be referred by tho Native Minister to the Court for investigation: 5600 acres, subject to regulations and in respect of which no recommendations are made, and the balance of 8-1,839 acres to bo further inquired into. In this balance for further investigation there are a few largo blocks, notably Waimarino No. 5, of over 13,000 acres. REVIEW OF THE POSITION.

In a review tho Commissioners state that “the Crown has been purchasing largely in this district since the early eighties. We find that from ISSI to the present time, during a period of twentysix years, the total area purchased is nearly 1,273,000 acres, at a cost of ,£273,310, one-half of this area lies within the boundaries of wftat mov be called the North Island Main Trunk railway loan system of blocks, and was acquired in conjunction with that undertaking. Deducting from the cost incidental expenses, tho amount paid to the oivnera did not average more than 4s an acre. We believe that but for the practical cessation of Crown purchases between 1901 and 1905 another quarter of a million of acres would have been acquired. The Maoris knew in Inter venrs that they w-ere parting with their lands at absurdly low prices, but the restriction against private dealings left them no alternative. They had to sell to the Crown at the latter’s price, for, among other things. Court fees, agents’ costs, and survey charges had to he met. and in litigation, in order to substantiate claims to one block, a whole tribe would recklessly throw away the laad it has already won. And the taste for good Government cash or cheques once cuiti vated easily became a passion. The purchase-money has generally gone in litigation and riotous living. This weakness has been known for a genera* non, and ministered to whenever there is an outcry for the settlement of the waste areas of tho colony. ‘‘There yet remain to tho Maoris of the Wanganui district about 500,000 acres at a liberal estimate. For outside the lands covered by this report are small blocks in the vicinity of the Wanganui township, all in profitable occupation, and into which there is no urgent necessity at the present time to inquire. The average interest per head of adults and minors is 250 acres. As a matter of fact, the relative interests vary greatly from, thirty or forty acres to 3000 or 4000 acres per head. Our general inquiry into the titles and ownership of the lands yet remaining to the Wanganuis, though necessarily incomplete, has led us to believe that though a minority of owners can afford to sell a proportion of their interests, it will not be wise to treat the mass as having surplus lands for sale. We do not think it advisable that the present system of purchasing should bo continued in this district. We find, moreover, that the larger Maori landowners have in most cases succeeded in individualising their interests. They are in a favourable position to deal with such lands, and are availing themselves of tho opportunities afforded by recent legislation. “It was disappointing to find among the Wanganui Maoris a lack of the ambition to become farmers that seems to fire the Maoris of such portions of the East Coast as we have been able to visit. Among some of the leading men theie was a disposition to decry any attempt to make of the Maori a decent farmer. We found reason to discount their o; inions somewhat by the fact that many of them, being busy promoting leases to Europeans even of lands already partly occupied by Maoris and within a stone’s throw of Maori kaingas, were impatient of schemes and experiments likely to jeopardise the negotiations. We have reason to believe that there is reod rratorial among the Wanganuis, as yet undeveloped and unorganised, that if l iken in hand in the proper way there will be found a proportion able, under guidance and instruction, to make farming a success, and by their example lead others to adopt tho same healthy occupation." THE KING COUNTRY AREAS FOR SETTLEMENT. The report of the Commission dealing with native land in the Eoho-Potae (King Country) states, inter alia; "More than any other district wherein the Maoris own large areas of land, this has attracted the attention of the public, particularly of the Auckland province, who have used every possible means of emphasising tho defects and anomalies of our Maori land laws as exemplified in the position of the unsettled lands of the King Country. The construction of the Main Trunk railway, the extensive purchases of native lands and the rapid settlement thereon of European farmers, followed by tho creation of local bodies with powers necessitating direct contact with Maoris and Maori-owned areas at every turn, have thrown into strong relief the short- , comings of tho old regime, wherein rates ’and taxes were unknown, weeds were not obnoxious, and tho hustle of the modern money-making agriculturist and pastoralist not dreamt of. So high did feeling run that criticism overstepped the limits of fairness, and fastened upon the Maori owner, wo think without sufficient justification, the responsibility of blocking settlement. We feel it our duty to discharge the Maori owners from most, if not all, of the responsibility for the tardy settlement of these lands, ’ * In 1883 different tribes affected petitioned Parliament to have the district brought under tho jurisdiction of the Native Land Court, and tho titles to their lands investigated. The area cover-

>od by tho request was 3,500.000 acrea; . and the* wishes of tf:o pAiti ners we:© ; given effect to in IoSG, when the Native ' Laud Court commenced operations. At ; lht* time Parliament had closed all | land* to private dealers, had re-asserted

the* pre-emptive right of the Crown, and had earmarked a proportion of the territory for the purposes of tho Main Trunk railway. Over 350,000 acres of the huge Waimarino Block had already : been acquired. The report xu'ocecds to : deal with the history of the different : blocks comprising the King Country, showing the areas already alienated or fleelt with, their resources and possibilities. From tho tables prepared it would seem that the natives have al- ; ready sold one-third of tho territory to tho Crown. Tho cutting rights of timber companies cover an area of over (59,050 acres, exclusive of which there are under lease, or negotiations for lease, over 125,000 acre*; and but for practical difficulties occasioned by recent legislation and by tho nature of the titles, a much larger area would now bo in profitable occupation. Among the Ngati--11 •* ntn poto the area under profitable farming is very email. Little has been done IJ.v the owners to start farming on an efficient scale. Tho most hopeful thing brought under the notice of tho Commission v:ae that at a dairy factory at To Kuifci, out of 21,8641 b of butter-fat supplied last season, 15,0001 b were supplied by Maoris. With European advice available, and with means provided for the purchase of good dairy cattle, small dairy communities may he successfully fostered in the neighbourhood of Otorohanga, Te Kuiti, and To Kumi. The railway will carry the milk to tho central factory which already exists at Te Kuiti. Sheep-farming is a ncAv industry in the Roho-Potae, for it wns not till a few years ago that European farmers found entry into the district. The Ngati-Manir*uoto have not had the advantage of Maoris In pome parts of seeing efficient sheep-farming carried on, and of observing the process of fom-crushing and clearing bush lands, or of erecting modern eheop-proof fences; but tho Commission does not think it too late to foster sympathetic farming amongst them, and in that belief recommends tho setting apart of any lands they have demanded over and above what tho Commission deems necessary for papakaingas. The report sets forth that the number of blocks requiring survey is as follows;—(a) Original blocks not surveyed but which have been further subdivided, efi; subdivisions, 10C8; required by the Crown cutting out portions for survey linos and by recent Crown purchases in blocks partially acquired, 60: total. 1104. The area of natty© lands in the RohePotao prior to alienations was 1,814,780 acres. Of this the Crown has alienated 757,159 acres, and there lias been alienated by sale to private persons 17,818 acres.

The report, after dealing with tho history of the Mokau-Mohakatino block, the lease of which has a currency of thirty-two years from now, at an annual rental of .£25, concludes:

“After deducting the area covered by different alienations, there remains a balance of 851,930 acres. In dealing with this balance wo have consulted the owners or their representatives and ascertained at first hand not only what areas they _ required for papakaingas and for their use or occupation as farms, but what they themselves desired should be done with the area, they offered for general settlement. The reserves they made for their own use and occupation they did not desire to be made inalienable at tho present time, as they recognised the possibility of adjustment on further consideration. The general opinion was hostile to selling, and strongly in favour of leasing through the agency of the Board to the highest bidder. “Wo regret that the time at our disposal did not permit of our visiting Kawhia and other parts of the RohePotae. A large area of land still remains to be inquired into, and it will bo necessary for the Commission to pay another visit to the Eohe-Potae to complete its investigations.”