POLITICAL.

Stratford Evening Post, Volume XXXIII, Issue 29, 31 May 1912, Page 5

POLITICAL.

speedily on to tho market, but also to deal with the lands hitherto considered valueless. It must be evident to all thinking people that we must subdivide our lands by every legitimate process. It is our very life's blood. We require country population, not only to (insure the proper development of the Dominion, but to bring about that position of financial stability so necessary to progress and permanent prosperity. (Applause.) A vital problem to the country is that of land settlement. It must be gratifying to the country to know that the purchases under the Land for Settlements Act have been considerably larger during the period, Ist April', 1911, to 21st May, 1912, than for some time previously. In Canterbury eighteen estates have been secured of an area of 42,876 acres, costing £467,116, and in Otago three have been bought.comprising 12,243 acres, at a cost of £7.5.986; the total area being 55,119 acres, and the price paid £518,102. There have been purchased, since the coming into force of the Act, 230 estates containing 1,307,615 acres, costing £6,109,690. The number of large properties suitable for closer settlement, especially in the South Island, is now very limited, while the prices demanded have precluded the Boa I'd recommending the purchase of many of them. Quite a number, however, have within the past few years been subdivided and settled at high figures by the owners. A number of small agricultural properties are offering, and the desirableness of securing several of these is now being considered by the Land Purchase Board. There is a very demand for grazing properties, and the Board is directing its attention to the purchase of freeholds adjoining Crown leaseholds which are suitable for closer settlement, and noon which there are no homestead sites. Under tho present provisions of the Laud for Settlements Act it is found that in many instances owners have so increased the unimproved values of their properties that it is impossible to acquire these compulsorilv. The Government .therefore intends te provide for the compulsory taking of lands under Hie provisions originally applying prior to the Land for Settlements Act of 1908. Land Settlement Finance Act.

Tito operations under this Act have not been quite so active lately, but the formation of fourteen associations lias been completed, with a total of ninety-two members, representing 15,372 acres valued at £195,000. There are several others just about to lie settled. Since the 'Act came into operation there have been formed 25 associations, with IGO members, the area so settled being 2!,f>26 acres of a total value of £327,886. With the Act a little more "elastic" a, great deal more could be done. It is undoubtedly a good measure.

Native Lands. The settlement of our Native Lands is proceeding at a more satisfactory rate than many arc inclined to credit. The problem has not been easy of solution, but the way is now fairly clear for success to attend our efforts. . 'Since the passing of the Maori Land Administration Act of 1900, there have been urgent demands made by Europeans, for the more speedy opening up and sottlemnt of Native Lands. To give effect to this demand, while at the same time safeguarding the rights of jthe native owners, hasi jbeen the aim; of the; Native Land legislation of,the last ten years, and * generally speaking', the progress made must be considered satisfactory. It is claimed, that the younger portion of the Maori race is endeavouring, to get into touch,.with and stand in a similar position to their European .brethren. ,If that be so, then it becomes necessary for a great deal of caution to be'»exereised in disposing of all the Native Lands. The lands'' for Maori occupation are being definitely allocated, and the surplus is being thrown open for settlement by Europeans as fast as present conditions will allow. Agriculture. No nation can be considered great or be assured of permanent prosperity in which the industry of 'agriculture is not flourishing. If this be true of countries such as those of the Northern Hemisphere, which enjoy the advantages necessary to be able to manufacture at a low cost of production, it is assuredly true of such a country as ours, isolated from the great consuming masses of the world, and with our higher standard of living. Agricultural industries being ,therefore, the first requirement of New Zealand, it has been one of the chief planks in the platform of the Liberal Party to foster them in every legitimate manner. So liberal and successful have been the measures taken to this end that }<e\v Zealand leads the world in several matters making for the successful prosecution of rural industries. No country has so effectively stamped out certain diseases of stock, and is so successfully controlling others as has New Zealand, while the system of grading our dairy produce and maintaining its quality is unequalled in the world.- In the old days the Inspector of the Department of Agriculture was largely a police officer. This has all been changed. Realising as I have that the fanner was ready and anxious to improve his methods if he were only shown the way and given tine opportunity, I have laid it down as the policy of the Department of Agriculture'that the Inspector must be an Instructor first. The effect of the new order has been most gratifying.

The experts with their special knowledge are approaching the farmer in the right spirit, and the farmer is appreciating the fact. There is now a mutual understanding between the farmer and the Department's officers, which is making for solid advancement in the methods of production. Take for example the ehe-ese industry, which live years ago represented an export of 8819 tons, and is now gone up to 25,214 tons. Yet in the face of this enormous increase there has been no falling off in the quality of our cheese. On the other hand a steady improvement is being manifested. The serious question of so-called "fishiness" in butter lias cost this and other countries enormous sums of money in the past. As a result of experiments car ri'id out by my Department during tho last two rears I am glad to l>e aide to announce that this hitherto mysterious defect need no longer ho a menace to the industry, as definite means have l>een discovered by the

New Zealand investigation of preventing its' development- Tliia will be gratifying news, not only to the dairy men of this country, but to the dairy meii of the world. Information received from London indicates that the presence of this defect in New Zealand butter has been less prevalent this

season than in past years, owing to advice given to manufacturers at the beginning of the season as the result of the nvestgaton work in "fishiness" conducted by the officers of my Department. It may be said that whenj ever the primary producer has a dimcult? to lace the Department is prepared to render him practical assist- ! ance In many cases tho best brains liave been secured to strengthen tin i work of the eDpartment. Apart from i

the many services rendered the "dairy industry in the direction of grading, instructional work, herd-testing, homo inspection of produce, etc., fruitgrowing, bee-keeping, poultry raising, in which minor industries so much instructional work is demanded, arc all being fostered. The livestock interests of New Zealand, of

paramount importance, are being carefully controlled and assisted. Our meat inspection work lias readied a high standard of proficiency and is a credit to the country, in addition to this a body of skilled men are engaged in safeguarding our flocks from infectious and other diseases. liesearch work in animal disease is a feature of the work of the live-stock and meat division of the Department. .Much important work of a far-reach-ing influence is being carried out at the Veterinary Laboratory at Wallaceville. A solution of the mysterious "bush sickness," present on certain types of pumice country, and so disastrous in its ill effects, is in sight.' At the Veterinary Laboratory at Wallaceville investigations into ergot poisoning lias disclosed that ergot is responsible for a fairly common disease affecting the extremities in cattle. The discovery in a most important one, as the Department will now be able to give definite advice on the point. Among other diseases being dealt with at Wallaceville is one which has caused considerable loss in dairying industries —contagious mammitis. One interesting fact disclosed is that many farmers are confusing tho ordinary form with the contagious variety, so

that tho more dangerous form of disease is tlms shown to be less common than is generally supposed. That this and other troubles of dairy stock are becoming less noticeable is a gratifying evidence that dairy farmers arc adopting the preventive measures recommended by the officers of my Department. The experimental farms of the Department, established in several instances to solve local problems have now passed beyond the development stages, and are well-equipped centres for exprimental and demonstration work. Instead of being a draw on the resources of the Dominion they aro> now a source of profit, and this while their activities for good are being extended. For the past financial year they have shown a profit of £4,600. The most interesting development in agricultural education of recent years is the farm training school, a practical "workshop" where the farmer's son may acquire a proper knowledge of the fundamental principles necessary to fully equip him for his life's OCClipa-i tion ; not to train the specialist, but tho men who are to carry on the work of the farm. It is such an institution which I intend should be established in connection with the experimental farms of this country. The farm school does not demand of the farmer's son a scientific education, but a sound training in the three r's with which it is hoped to combine a good practical knowledge, of the latest methods of cultivating, manuring, and farm management, together with some knowledge of animal and plant disease ; in other words knowledge which may be immediately applied to current problems of the farmers of the Dominion itself. The great need of the country, and the need will become the keener with the advance of closer settlement and increasing market competition, is the supply of better breeding stock for the farmer, especially the milk-record bulls for the milk producer. I have decided to make this work a feature of the three chief experimental farms in the North Island, with tibe object of being able in a few years to provide annual drafts of purebred milk-record bulls of the leading dairy breeds for the dairy farmers of the'Dominion. It is gratifying to mo in this connection to know that the special efforts I have made to advance the standard of our dairy stock by means of herd testing associations and the demonstrations in breeding dairy stock on scientific methods at the experimental farms, is being appreciated, and that in consequence a solid advance is already taking place in the work of improving our dairy herds. The better feeding of stock is also being encouraged by the experiments and demonstrations conducted in connection with improved methods of forage-crop production at tho experimental farms. The work of the farms is being taken direct to the producer by means of co-operative experiments, in which important work no less than 400 farmers are working in conjunction with my Department to provide practical lessons in improving methods, and the value of new and better varieties of plants in their respective districts. One of our most pressing problems is the discovery of a means of turning to advantage the large area of poor and apparently infertile lands in the north, and the bringing back to a state of futility the vast areas of hill country in the south, the grazing value of which has . been largely lost owing to crude and at times wasteful methods of management. (Already we have proved that much of the despised northern lands can be turned to profitable account, while experiments are being actively prosecuted to discover if the more unpromising types of gum and pumice country can be turned to good account. In the south important experiments are in progress in the endeavour to discover the best plants to use to replace the natural herbage, many foreign varieties of plants having been imported for the purpose, and encouraging results are being secured. Among the minor industries of the soil fruit growing is making good headway. Growers are adopting improved methods and the area under fruit trees is steadily expanding. With a better understanding of the requirements of an export trade and an improved system of supplying local markets fruit must eventually become one of our chief exportable products. It is gratifying to have these evidences of progress, as with the knowledge that situation and climatic conditions have more to do with successful gruii culture than the class of soil available, it means that manyof the poorer lands of the Dominion may be turned tp very profitable account.

London Markets. We have at last succeeded in solving the problem of the safe over-sea carriage of our fruit, and have thereby demonstrated that a trad? with Hrit.fsh and European markets is feasible. Recent trial shipments have shown that many over-sea markets are open to us. The South American mar!:.'! is affording a good opportunity for a profitable trade in apples, as is-that of Western Canada, while v: c completion of the Panama Canal will open up good avenues for our fruit ii: the eastern cities of America, oui seasons being favourable to supplying all markets in tho Northern Hemi; sphere. Every encouragement an< assistance has been given by the Govrnment to opening up the export trr.di for our fruit growers, and after carefully investigating the question 1 an convinced that: a great future awaits the fruit-growing industry of the Do minion. One leading factor in t.!i< satisfactory position of l'r;iit-grow:ii}: in this country is the freedom of om orchards from dangerous pests owinj to the measures taken by the Govern

ment to prevent their introduction. The farmer and this Department are now being brought into closer touch by reason of the monthly Journal of the Department. With this better known the support being ac-

corded to it is most encouraging, there being now over seven thousand subscribing fanners. Personally I am very gratified that a work inaugurated by "myself and in face of considerable opposition has mot with so much public acceptance. Realising that the lessons of the experimental farms, and even of co-operative experiments, can only he made truly effective if taken direct to the fanner I have encouraged the preparation of largo departmental displays at the winter shows of the Dominion. A feature of these is that complete particulars are supplied as to the method of production, manuring, comparative value of different varieties of plants, disease resistance, etc. It is decidedly satisfactory to me to know that these educative displays are being keenly appreciated and that tin l object for which they were designed, to encourage the fanner to improved methods, is being achieved. The Departmnt of Agriculture is steadily attaining the ideal 1 have in view—a comprehensive service assisting the farmer to make the best use of the splendid natural resources of his country, and maintaining the exported products of New Zealand at a high standard of excellence. The welfare of the farmer and the welfare of the Dominion are indissolubly linked, and that which will strengthen the one will strengthen the other. Any assistance the State can render the primary producer is therefore more than justified. Never in the history of the Dominion has the rural prospect appeared more en'Couraging. With the methods of farming being improved, sources of individual and national wealth are expanding, .and while competition on the world's markets is increasing tihe standard of living is being raised throughout the great consuming countries while fresh avenues of trade are being presented. To further improve the system of fanning, to encourage the producer to make the most of his opportunities and to widen the field of our markets will lie my earnest endeavour in the future as it has boon in the past. (Applause.) Work of Department of Agriculture.

The asistance rendered the farmer, and incidentally the country, by the Government, is oi : a many-sided nature. Altogether there are 171 experts and officers engaged in instructional wo,rk—-professional men and practical authorities, whose duty it is to advise the farmer as to the best methods of conducting his business, lighting pests and diseases, and generally enabling him to make the best use of his opportunities. Two of the more important divisions of the Department is that dealing with live stock (including the- work of meat inspection), and that which has charge of the control of weeds and the experimental farms. The Dairy-produce Division has charge of the extensive instructional work in connection with dairying, the supervision of our exported dairy produce both here and in London. It is also carying out such important work as "Oho establishing of herd-testing associations, and is conducting important demonstration work in other directions. The Biology Section deals with the identification of plants of all kinds, the diseases of plants, and investigations into their biology; seed testing, and the identification of insects; and acts as the general advising agency to the Department on economic botany and economic zoology. Then there is the Orchards, Gardens, and Apiaries Division. The Publications Section, in addition to the issue of the monthly Journal of the Department, issue a large number of bulletins written by the experts of the Department free of cost, as well as the Annual Report. The Commerce Section distributs cable and other market information received from the High Commissioner and special correspondents in other parts of the world. It also acts as a commercial bureau and supervises exhibition work. An important M>hase of the Department's work is the correspondence it conducts with fanners and others, principally in the direction of giving direct expert advice to primary producers. During the past year no less than 62,054 letters have been despatched from the head offices of the Department in Wellington. This of course does not include circular letters, weekly market cables, etc.. nor does it take into account the large correspondence of district officer?, fields- instructors, and experimental station officers. Urban anil Rural Population. A problem receiving the serious consideration of economists and public men in older lands, and which must be faced even in this young country, is that of the rural exodus. In «ome countries it has become most acute, so much so that notwithstanding tho libera! fostering of agricultural industries, the drift to the cities ha* proceeded at such a rapid pace tha 1 - bhe position has been aptly termed "the dying land." While the country population of New Zealand in 188 j was 150 to 100 in boroughs, in 1911 it was only 99 to 100 in boroughs, en white the proportion of country to borough population was 1.5 in ISBI, it fell to .09 in 1911. The one solution of this town ward tendency of the rural population is to make couutrv I'fe more attractive, to afford the farmer some of the conveniences and comfj rts at the command of the city .iweier. This the Government is hung. A daily rural mail delivery lias been !«■ | troduced, the.erection of country telephones is being facilitated, ; lid the farmer has, which tho farmers of very few countries possess, a parcels [est. which enables him to deal direct- with the city trader.' Good roads :\-.\q ar adequate railway system are ri'" means of lessening the rural uehi bion, and these we are attemi>:ing to provide to a satisfactory degree. I'"in ally, education in regard to l.ettei methods of farming, an important means to the end of ensuring a con-, tented husbandry, is being actively prosecuted by the Government, by means of a thoroughly up-to-date Department of Agriculture, experimental farms, which are to be extended, cooperative "vicriinents, exhibits, practical advuv. ir attractive literature. ,<!,(] ,n of'uv ivuvj thi.s •'• -enraging the adontion of more profitable methods of (arming and an increase or individual aiu! national wealth. Defence. It is a malier of considerable gratification thai the registration of Territorials and their assembling on parade grounds, and attendance in camps, have been accomplished so successfully. The figures for the four districts-Auckland, Wellington. Canterbury, and Otago—give the following results:— Territorials.—Now serving, under 21 vents: Auckland 1613, Wellington j i!ISJ, Canterbury 1536, Otago 1669. | Registered for enrolment: Auckland i 5975, Wellington 6731, Canterbury j 510:>, Otafo iliO. Senior Cadets (including those serving—Auckland 7078. Wellington 9954, Canterbury 712!. Otago 6215. Totals: 1 Auckland 14,699, Wellington 15,149,

Canterbury 14,065, Otago 12,027. Grand total 59,240. The cost of the defence system, however, is much greater than was expected, and has exceeded the estimate of Lord Kitchener. No more than the amount recommended by him should be spent, but, at the same time, the eificier.cy of the forces must he maint.r.a<\l; and the Government will do everything in its power' to see that nothing ig Hone to retard the progress of the scheme under the present capable Commandant. Economy must be exercised however, where it fan be effected without doing injur? to the svste-jn ; and the Government is at the pyjSs&nfc time going into the wine? question of the financial side of this great scheme with the object of obtaining efficiency with due economy. H.M.S. "N"w Zealand.'' I desire to make a brief reference to Imperial affairs, particularly relating to .Naval matters. The recently expressed desire of the 3ritish Government to change the location of the warship contributed by Xew Zca.and to the Imperial Navy will bo fresh in your minds, and 1 should like to wfer to the special significance that their request implies. I„ 1909, at a time When the question of armaments in Europe was creating serious apprehensions, Sir Joseph Ward, who was then Prime Minister, on behalf of the Government and people, offered to the iintish Government a Dreadnought tor tiie defence of the Empire. The real value and importance of that offer, which was subsequently confirmed by larliament, is now apparent, however much it may have been criticised by those who differed as to mode of contributing help to the Empire at a time when it was required As we know, the free offer of this ship created a strong impression of solidarity of Empire to the outside world • am the significant fact that in a wide-scattered Empire such as ours a gratuitous contribution of such value and importance to the welfare of all did not fail to create in other Powers an impression of the strength of an Empire based on such a free, and at the same time co-operative basis. Within the last few weeks the British Government have asked the Government to approve of the ship, which was at that time presented to the Na'7' ~ n R s * atio »ed for service in tho North Sea instead of the original inKHttion "I" P-acing here on the China Station. This, as you are aware, the Government, at once readily acceded ■ to, feehng sure that not only the ■ best interests of New Zealand "would • be conserved m this May, but that ■ they were expressing in a tangible ; manner the wishes of the people of ' the Dominion. You will notice from , the newspapers that this request is ; contemporaneous with a movement ' tor increased armaments in the Home waters of the European Powers that - are concerned with the Naval strength of Great Britain, and it is great sat- ■ isfactiont to tho Government to know 3 that the gift of 1909 has now proved to - be a real help and support to the Em--3 pire at a time of pressure.

EnccuraEsmsnt of the iron Bntiustry.

The Importance rj. a prosperous ?ron industry to any country can hardly be exaggerated. In a new country it is especially valuable, as it stimulates other industries not found in newly settled lands. Some .writers on political economy believe the development of iron works is the best foundation on which a civilised and progressive State can be built. Suppose that in New Zealand a vigorous development oi iron and steel production from New Zealand ores took place, these results could follow—(1) A large number of men would be employed forthwithunskilled as well as skilled labour being necessary. (2) Subsidiary industries would be created, such* as the large production of fertilisers from basic slag, ammonia, and tar from the furnaces, etc. (3) A large increase in the output of coal; for each ton of iron or steel produced nearly two tons of coal is required. (4) As iron and steel can be manufactured very cheaply, and on the seashore both at Parapara and New Plymouth, ship-build-ing would be certain to grow. To an insular country like New Zealand tin's is of the greatest importance. (5) Cheap iron and steel would help our foundries and other industries to enable them to compete sticcesfully with many articles now being imported. (6) The iron and steel production from eur native ores would give many openings to our educated young men as chemists, metallurgists, etc. They are now lost to the Dominion if they go abroad for training as such. The Australian Commonwealth, by the Manufactures Encouragement Act, 1908, has provided for the payment of bounties up to £150,000 for * pig-iron, puddled bar iron, and steel, up to Juno 30th, 1914, and for £30,000 on galvanised steel and plate iron, pipes, etc. The bonus is payable at the rate of 12s per ton on pig iron or steel bars, and 10 per cent, on the value of goods. In Canada the industry made feoblo progress until bounties were given. Up to 1910 the total bounties pa;d by Canada amounted to over £3,000,000. There is a great deal to he said in favour of taking over all the rights acquired, and starting State iron works; but as against the advantages these facts must be noted: (1) Owing to the absence of an outside market the works would be on a small scale, and would grow but slowly. (2) The cost per ton of any product is greater when the factory is small than if the output is large. This is especially the case with iron and steel owing to the costliness of the plant required in a modern iron and stee] mill. (3) The State could not, as a private company can, establish trade in a foreign market, give long credit, cut rates, etc. The arrangement that ran probably be mndo by the New Zealand Government with

investors combines the advantages of jm’vnto enterprise and nationalisation All the experimental work, -the obtain!no; of markets, the responsibility for losses, and unforeseen expenditnre is to lie undertaken by private enterprise. The share of the State is a contribution based on a minimum amount to be actually expended in the development of the industry. The actual amount will be much larger than this minimum ; how much it is not possible to say, but it may bo two or three times as great. After the works are actively in operation the State will have at the end ■T, say, twenty years, a right to take everything over at a fair and reasonable valuation. At the end of forty years the whole of the works, plant, rights and goodwill of the company will go to the State without any compensation at all. Tt must not he overlooked that neither Canada nor the Commonwealth made any provision for resumption of the works on compensation, nor the passing of wei-ything hack to the State without compensation after a reasonable time. A very important part of the proposed arrangement is that all iron and steel vr>nn”-od hv the Government is to he supplied at cost price pins 5 per cent. As it is expected that iron and steel girders, rails, bars and other goods can he made in New Zealand at a very low cost, it is obvious that this provision is of great benefit to the people of the Dominion. With the ex-

I tension of our railway system, the replacing of light mils by heavier ones> I the substitution of iron bridges for J wooden ones, and the increasing consumption of iron and steel in our publie buildings and public works, the company will almost from the first gain more in cheaper supplies than *.he the whole cost of the annual subsidy. As the Dominion grows this consumption and consequent gain will undoubtedly increase. The, investors have large interest:; in South America and elsewhere, and will at once establish rail and girder mills for supplying their own requirements. Tin's means a rapid growth of the works. The State, or a local company, would not have an immediate output for its mills, and it would of necessity be many years before they would be of any importance. To summarise—By accepting the offer now ma.de these advantages will be obtained:—(l) Modern, up-to-date iron and steel mills will be in working order in the shortest possible time. (2) Owing tc the interests of the investors in other countries a large immediate output is assured. There is no necessity in their ea.se for creating a market. (3) The Government will get all its iron and steel goods at a low figure, probably sufficiently low to recoup the State the whole of the annual subsidy. (I) A right to resume on full compensation will bo given after twenty years. (5) All the plant, rights and goodwill of the, company will pass to the State at the end of forty years without any compensation whatever. Taranaki is specially interested u\ the development of the iron and steel industry. The railway froTu Stratford to the Main Trunk Lino will cross Mre great coal belt extending from the Waikato southwards, and it may within a few years be possible to'obtain large supplies of good coal in New Plymouth much cheaper than elsewhere in New Zealand. In other countries it has beet; found cheaper to bring iron ore to coal than the reversa. For instance, it is found more economical to bring Spanish iron ore to the coal districts of England and ores from the great lakes in" America. 1000 miles by rail and boat to be smelted at Pittsburg. It is quite likely that large supplies of iron ore may be brought from Parapara to be staedted near the seashore at New Plymouth. Taranaki has not only large quantities of ironsand, but has coal, too, and the successful establishment of the iron and steel producing industry is of speoil importance to this part of New Zealand. (Applause.)

Civil Service Commission

As you are aware, the Government has decided to set up a Royal Commission, consisting of Messrs W. I). Hunt, Inveroargi.il; Petsr Barr, Duneelm; and James Macintosh, Wellington. The ordor of reference sets oul that it is e-pedient that enquiry shall be !ii:i'_,, juto the working of the vari--ol7l* unclassified Departments of the Public Service, with a view to simplifying procedure, preventing duplication, and generally adopting such methods as will increase the efficiency of the Service, ensure the due recognition of merit, and quicken the despatch of business. It has been urged that there is need in the public interest for more co-operation between departments in their bnsinss relations, and better facilities should be, given and received in order to remove unnecessary formality and delay, having regard,to the fact that they are all engaged in State business. The purpose of the Commission is simple. It is a business committee to enquire whether the Civil Service is being carried on on business lines, much as the shareholders of a company would expect the staff of a. company to transact their affairs. I want at once to say that no reflection is east upon past Governments by the appointment of such a Commission ; and the statements that have been made by our friends on the opposite side—that the setting up of the Commission tacitly admitted tltat something was wrong—ihas no justification in fact. Generally spoaking, the Service lias continued on much the same 1 lines as were laid down when the constitution was granted, and from the order of reference it will be seen that what is desired is to make for the modernising and bringing up-to-date- of the Civil Service of our country. It is the Government's earnest desire to place our public service on such a footing that whilst it will encourage merit and. industry arid also give adequate "reward for the best ability, we will provide a service that meets the requirements of our progressive and democratic country. Tlio Commission, therefore, may be regarded perhaps as one which has to review the situ.".tier., realising, as we all must do, that the functions of Government have widened, and that many responsibilities are underta-ken of a commercial, humanitarian and social nature undreamt of under previous methods. I am sure, from the personnel of, the Commission, that good work will be done—a work the benefit of which will be no whit the less because it is absolutely free from all political colour. The Commissioners are some of the most capable men in the financial, actuarial and business world, and are of very high standing personally and professionally. Another point—and an important point—is that the Commission will deal with the simplii'catioa of public accounts. it has been

said over and over again that our accounts are prepared in so intricate and complicated a form that nobody but a highly skilled accountant can pretend to understand them. The Government sees no reason why they should not be prepared in a form which can be understood by every man of ordinary intelligence; and it is with the intention that something will bo accomplished on these lines that the question of the simplification of the public accounts has bean included in the order of reference.

Mew Zealand Railways

The figures indicating the results of the operations of the railways for the year ending 31st March, 1912, are now available. They show that there has been a substantia] increase both in the volume of traffic carried and the revenue earned. The number of passengers has increased by no less than 690,000. The items included under the .be,id of coaching have increased by HO,OOO. The goods tonnag*' by 4:5,000 tone, and the gross

revenue bv £182,327 The revenue foi the year ending :51st March, 19!!., was £3,-194,1K2, while t!m year just ended amounted to no lees then £3,676,509. The actual earnings exceeded the es

timated revenue by £151,509. The 1 net earnings are equal to a return of £3 19s y>cr cent, on the total capita! invested in the railways open for traffic. Having regard to the fact that considerable increases in pay were granted to the railway men as

from Ist November, 1911, involving a considerable increased expenditure in the working expenses the net return of l"? ins per rent, must, I submit, be regarded as satisfactory. As the railways of the Dominion form the chief moans of transport for tili-e people and the products of the country, the railway traffic may be said to form a good index of the commercial pros-

perity of the community and regarded and looked upon from this standpoint. The Government is firmly of opinion that an improvement in the railway facilties should be provided wherever the circumstances are such as to indicate a probability of inducing closer settlement and ultimately creating a remunerative traffic. In following out this policy arrangements niv being made for improving tlfe train services in the suburban districts of the main centres of population, namely.—Auckland, Wellington, Christchurch, and Dunedin. Improvements in train services on the other lines connected with the system will be made from time to time to meet the public requirements and the growth of trafiie aikl the railways of the Dominion will thus continue to perform their important functions as adjuncts to settlement and development of the trade of the Dominion. The Government }mq also devoted itself to imjMvwiiig old line; and has relaid Some 1500 miles of main line® with heavy rails and additional sleepers, the whole eOkt of this betterment which amounts to approximately £2,250,000 has been

charged to working expenses. The tractive power of the locomotive's and the carrying capacity of carriages and waggons ha* ii'so been materially increased, and all charges that tftoukl be made against working expenses have consistently horn debited thereto in addition to the cost of carrying oul I many *iew works that wquld have been a, fair and leaitirtVAt-e charge against capital. Wri&fly put, the Government, by Reason of tlio policy it has followed in the administration of the New Zealand railways has been able to grant :—TO the public, concessions in r»+<oS and charges which amount to oyer £1,000,000; additional train services, a large proportion of which were merely to meet public conveniences, £885,000; increase in the matter of pay to railway staff. £870,000; making a total of £2,765,000. There are under in the railway workshops two self-propelled oil motor ears, which it is intended to run experimentally on the existing lines, with a view Hi developing business and running a more frequent passenger Service than it is practical to give by the ordinary means. As indicating that e are alive, to the requirements of our Settlors and shippers. I may say wo !,.v(. appointed for each island a traffic Superintendent, and have this Week approved of £500,000 being spent this year on railway waggons. As there is a misapprehension in some quarters respecting the building of rolling stock USed on the railways, I may stated there have been no importations since TOOL. In order to place the railways in a position to fully meet the increasing demands that have arisen, owing to the development of the traffic, for quicker transport and greater facilities, the Government has adopted a progressive railway policy having for its object the improvement of the lines themselves and the transport facilities provided. It may be stated that we are on the eve of some still greater changes. I will not at the moment say anything beyond this that the public'may depend on having a thoroughly up-to-date railway service controlled'by able men. \ '-While the Government as a result of its 'railway policy made large concessions to the users' of the'railway, it has'not been unmindful Of■ the welfare'of the railway operatives and artisans.' ; The building of tmb : bulk of the > rolling stock in the railway' workshops of the Dominion has opened avenues for employment for an ever increasing number of artisans and other workers in the railway workshops, and the conditions, of employment/ in the railway service have been " materially ' improved.

Light Railway Unas. , , Many portions, of the Dominion are as yet badly rdaded, and tliereloro inaccessible for settlement. The construction and upkeep of roads in many of the localities is also a matter of very considerable expense and difficulty owing to the heavy traffic and to the want of proper materials for road metal, ft is desirable therefore that? consideration should be given to the question as to whether it would not be better to construct light railway lines for the opening up and development cf many portions of the .Dominion. Light raihvay lines have been constructed and used wick satisfactory results in Europe, India, and some of the Australian States, and I see no cogent reason why they should not be constructed and worked with equal satisfaction in this country. I am, moreover, firmly convinced that they arc essential to fully develop the resources of the country, and to givq proper means of access to the backblocks where the want of roads and transport facilities are much felt. The question is one of very considerable importance to the community generally. It will be gone into fully at an early (late, and an endeavour will be made to evolve- a. scheme of light railway construction based on the experience of ether countries that will, I am confident, be of incalculable benefit to tho Dominion. Light or pioneer rail-

ways have been built, and are operated with success in Victoria, Queensla ml and Tasmania. The Tasmanian lino runs through very difficult country, heavy grades and sharp curves predominate, the maximum grade being 1 in 25, and the radius of curve Li chains against the load. Tho speed maintained is eight miles per hour. The heaviest engines are non--20 tons, and the truck;; carry from 10 to 15 tons.' The maximum load of an engine is 40 tons of goods plus calami van. The tractive power of the •_'!) ton engine on 1 in 25 grade combined with curves of 2 chains radius

is .30 tons, which represents the max-! imam load. Tho cost of line construction was £2BOO per mile. Lines cousin • •■<] on this principle would avoid the ! ;-.advantage of break of gauge, and would cost little" if _ anything more than narrow gauge lines, while the rolling stock used on the standard 1 gauge line (engines excepted) would be available for use on the pioneer lines. Users of the railway would, by tfie adoption of light or pioneer lines be able to get their goods carried at a scale of charges that would bring about a material saving in cost and lime compared with the conveyance by road, and there need be no loss on interest charges. If lijr'ht lines are constructed in New Zealand on the 3ft. Gin. gauge there need be no special rolling stock, as there are plenty of light engines available that are getting too small for regular purposes. Attention has also been given to the question of utilising the road motor in sparsely populated districts, as feeders to tike railway lines. Con-

sidorable investigation lias, therefore, been made respecting tlio suitability of the llonard road trains for sue purposes. The information received indicates that trials made in India an oleswhers have not been altogether satisfactory tlio Renarcl road train lias b- en abandoned In these circumstances f!i(- Government is now prosecuting further enquiries with a view to obtaining up-to-date information as to the most suitable road motor available. On receipt of Ibis information it is the intention of (lie Government to go closely into the whole matter with a. view lo establishing some such system of carriage under State control, to bring the outlying districts

into closer touch with the railways already open for traffic, or with such iieht lines as may be constructed.

Yhe Customs. It is interesting to note that the concessions already made in Customs duties, principally on the necessaries of life and materials' fol' fafmijlg. ivrid industrial enterprises, totals for the past twenty years £6,300,000. An increase on a number of articles has taken place, but this was with a view of granting preference to certain countries, and were largely levied on ihe luxuries of life. During the las! five years (from January, 1907, to Detoni's, largely on the riecesßafies of life, amounted to £2,234,000. Tlie preferential treatment to British goods has had the desired effect of encouraging the importation 1 of the British-made Article against that of foreign manufacture.' Prior to the establishment of preference the percentage of Imported fiir'oigil-rhado boots was 45 and British-made 55, whereas since that, time the percentage of British-made hoots imported I haft risen ho 95, while the importation of boots of foreign production has declined to 5. Also, gratifying has been the effect of preference in regard te candles. Previous to preference the foreign import was 2(5 per cent. against the British 71 per cent. Now the Foreign importation has entirely disappeared, the sole importation be ing from Britain. In connection with gas and oil engines, the importations of the foreign article represented 45) per cent, under the former tariff, against 51 per cent, from Britain. The foreign imports have now decreased to 18 per cent,, while the British have risen to 82 per cent. Tn the case of nails, the foreign importation has declined from 71 per cent to 28 per cent, whereas the British have risen from 29 per cent, to 52 per cent. I have always advocated reciprocity, on the principle that we should support the people who arc the chief purchasers of our raw material. It is surely good business to buy all we can from our best customers. By according ou< support to British manufacturers we are simply circulating money which will e largely spent on the goods we produce For if the workman of the Homeland is doing well he is in a better position to spend money on the products we supply to bis markets. No one is therefore more pleased than myself to seo the splendid results of the preferential treatment we hare accorded the Mother Country. Weather Forecasts.

A forward movement in regard tc safeguarding the interests of the farmer, who is so much, dependent on tiie weather for the success of his enterprise, has been deeided on. Daily weather forecasts are sent at present to 101 places, which are principally on the coasts, as the messages have hitherto been sent primarily for the benefit of shipping. Occasional forecasts have also been sent to other places to notify, the probable approach of bad weather and falls of snow. These occasional forecasts have _ proved of very great value in the high country, and have enabled pastoralists to save large numbers of their sheep by getting them down into lower countrj before the snowstorms come on. Pressing requests have been made by both agricultural and pastoral conference delegates, and by private individuals. for an increase in the number of stations, and it has been deeided to send daily forecasts to an additional 100 places, principally inland places, mainly for the benefit of persons engaged iii farminz and agricultural pursuits.

E.aT>cur. It is always difficult to sj>cak as t« the future'in regard to the proepects for employment, but I think it can bo safely said that this year promises to be equally as good as last year, when practically, during the whole of the twelve months, employment was available for all classes of competent labour, both skilled and unskilled. In fact, the winter of 11)11 exceeded expectations, and the present indications for 1912 would appear to be equally as favourable as these for last year. The total number of persons assisted during the year ending 31st March last was 5750, of whom 1407 were married and 4343 single. Since the inception of the Department in 1891 to date the total number assisted is 90,531, on whom were dependent 123,587 persons, making a total of 214,118 benefited by this branch of tho Department's work.

The Women Under the Workers' Dwelling Act the acquiring of suitable land (either by means of setting apart Crown land or by purchasing private land for the purpose where Crown land is not available), and also the erection of dwellings to meet tho requirements of the various applicants, are being pushed forward to the utmost. _ In addition to the l'2f.> houses previously erected in the four centres, seventy-three bouses are now either in course of erection or about to be commenced. Tho provisions of the Act and the manner in which workers can acquire their own dwellings in the course ol 25. J years are well known. I may here mention that the following Bills are under consideration by the Governin nt for the benefit of workers:— Shearers' Accommodation Bill: This Bill is a revision of the old Act, and, while it will not require station-hold-ers to provide any better accommodation than is necessary under the old Act, the new Act makes the procedure in dealing with the matter more expeditious. Sawmill Workers' Accommodation Bill: Providing for accommodation being erected for bushmen and others engaged in connection with sawmills while away from tho mill in the hush. .Scaffolding Inspection Act: It is proposed to widen the -scope of this Act in order to provide for inspection of all work in connection with the erection and demolition of buildings whether scaffolding is being used or not. It has boon found that, in eases, serious accidents have occurred where no scaffolding is being used, which couid have been avoided by propen - precaution being taken. Industrial Conciliation and Arbitration Act: The Government has under consideration the important matter of the reconstitution of the Arbitration Courl t'> bring the Act into operation in a more practicable manner. With a view to providing for the necessities of the country in the matter of domestic as-

si-stance, the Government proposes to arrange for the immigration of a number of carefully selected girls from high-class English orphanages, including the masonic, clergy and commercial travellers orphanages. The number of the first instalment will he fifty. It is intended the scheme shall he under the direct supervision of the lady officers of the Dominion who administer flie laws relating to orphans atid children.- If this scheme is successful, as the Government anticipates it will lie, the number will he considerably increased, so that the housewives of the Dominion may be able to ibave as their domestic assistants girls of a high class, who are likely to make their hemes in New Zealand.

THE Pi.ti.MK MINISTER. HON. IHOS. MACKENZIE AT UPIJAAiYU. The Opunake 'town Hall was packed to us Utmost capacity last <nennig, wnen the Hon. 1. Mackenzie, Prime! Minister, and member for toe Egmont 1 district, delivered Ills _ lilSt policy! speecn. ine'meeting througnout was a most cntiiiiisiastie one. Tno chair-j man of the I'own hoard (Mr YY. V.\ Dudley) presided, and in introducing tin;- speaker, spoke of the, importance j at the occasion, and said that Lginout nas reason to he proud of its member, it was an indication of the interest tneir member took in ids' clectorau-, 1 wnen he selected a town in it in wmcii; to make so important a prououuce- ( iiient, and. on the day following Opunake would probably be known in London, as no doubt some of the Prime Minister's remarks would be deemed worthy of cabling Home. Un-eers followed the Prune Minister's rising to address tlio audience. Mr .Mackenzie returned thanks for the iofv' kind and cordial reception accorded aim, and said it was a tribute he was proud of, and especially was .he pleased to see so many in the audience ironi different part:; of the district. This showed a healthy interest in political matters. He was conscious of the honour that had been conferred upon ih-im by the people of Egmont on electing him their member, and by so doing they had made it possible for him to occupy the position of Leader of the Liberal Party and Prime Minister of the Dominion. It would be his duty to speak on a number of matters of considerable importance to the country, and as the year's finances had recently closed he wo.d-d first of all make reference to them. lne Hon. Mr Mackenzie then said, dealing with Finale, 1 am very pleased to be able to tell you that tne unanciai result of the mat year is highly satisfactory, and, .■.lien compared with tnat ol uie previous year, is an indication of the soundness and continued prosperity

ended the revenue has amounted to no less a sum 1 than £11,032,5-1-1. luis' constitutes a record, as tilie largest, amount yet reached was that ot the previous year, viz., £10,2U7,000. IhC: revenue of the year exceoded that oi the previous year by £735,500, tne principal increases being: Ousto-ma,' j;iul,lAJo; liailways, £182,000;' stamps, £123,UU0; Land and income; lax, £do,oou. l'he revenue timing tne year, including other receipts am-j ounting to £2is,tiUU, was in excess ol i the expenditure by no less a sum I than £/20,800. A surplus of £58(5,-' 500 was brought forward on the Ist of April of last year. Of this am-| i>unt £500,000 was transferred to tuc Public Works Lund; wJiile 1 am gratiJied to be able to tell you that tne surplus for the year just ended amounts to £807,270, of which the Uov-| eminent contemplate boing to transfer a considerable sum to Public; Works. As to the expenditure for the year: this amounts to £10,340,-

000. Of this sum the Post and Tel errraph Department was responsible for £960,500; Railways, £2,-161,700; Education, £1,012,0110; Defence, £-101, :

870. The transactions, relating to c\ii Public Works Fund amounted last

year to £2,350,800. This included receipts of loan money of £700,000, and transfer from the Consolidated Fund of £500,000. The expenditure on public works during the year amounted to £2,208.000, and other charges £67,000, leaving a cash balance of £82,580 at the end of the year. At the same time it must be remembered that the loan money, amounting to £1,050,000, was not raise;!, so that available public works money !n start c.'ie current year with is £1,132,000. This witili the amount transferable irom the Consolidated Fund will give the Government a sum of from :C.1.750,000 to £2,000,000 for public works for the current year. It was not considered advisable to raise the loan money authorised until it was actually required, as we would be paying interest upon a large sum cf money which we did not require to mo at the time. Then again though the loan has not been raised it is more than satisfactory to know that arrangements have been so made that the ways and means are provided for until October. It may, however, be necessary to take an early opportunity to go upon the money market, if favourable, to secure the necessary funds to carry on until the end oi the financial year. During the Liberal regime the total amount transferred to Public Works Fund from revenue amounts to no less a sum than £8,530,000. This means that, in ad-

dition to 'the amount borrowed for public works, there was expended upon such works out of revenue this large sum during a period of twenty years. Notwithstanding th; l demands on our revenue for payment of widows' pensions, the increased cost of Defence, and old age pensions, the finding of money for tuu-se purposes lias been done without taxation, ini\vw\, when it is remembered what has been given away in the past in remissions of taxation (for ' Customs alone exceeding £0,000,000) it must be very gratifying to all those iv. o are interested in their country to know that with all these increased servicer: our revenue continues to improve ar.d

is sufficient to uieel our requirements, That our country is flourishing cannot be gainsaid. The hanks hav< struck a note of caution and in thif ! think they were right. At the snm< time it is gratifying to be able i<

fool that tho stringency of the money market which at present exists is due to causes wholly unconnected v. it:i New Zealand. All the iigures iudicate internal prosperity; dairy produce is high, and its markets assured; the latest wool sales show an advance; and so with all our staple products: the harvest is hountiiul : nowhere is the slightest symptom of decline, and this view is abundantly indicated hy the buoyancy of the revenue which after all is a sure barometer. Cnfortnnately, New Zealand, like all other countries, is subject to the general fluctuation of the world's money markets, and the present stringency is in large measure due to 1 lie enormous calls lor capital Irom London and other money markets of the world. For example, £60,000,01>0 mss ( rone to China. Canada will take nearly as much for different enterprises, and enormous sums are being sent in various other directions. All this, hewover, is for development purposes, am! will in due time produce its harvest, If is a matter oi regret that some of our lending institutions are taking advantage of the position Inexacting higher rates of inverrsd titan the increased price of money jin idi s. (),, r settlers, however, would he in a much worse position were it not for the cheap money supplied by the Careminent. (Applause.) Advances to Settlers. Sinto Advances to Retilers have h-m n roved to he sound in principle am: a

boon to liio country. When first'established predictions were made that tlie aVJmimslralion of the fund would be marred by political influence and that great losses would bo made. 'J he experience, since tlie principle was afiirmed in 189) has absolutely falsified idiesc criticisms. The administration indeed has been so good, ti :ii no weakness has been disc) isetl, and the Department is in an eminently satisfactory position. As a result' of its work thousands of settlers arid workers have now homes of their own. I lie records show that many of these were without a property stake i:i the country—their labour betheir only capital—until the Government came to their assistance. 'J'hey received a small amount to start wit.!', and the security having i nproved by thair labour in the meantime fuiahsir advances were subsequently made. Thus many settlers in different parts of the .Dominion are now comfortably off as a result of the assistance received from the Government. Since the State-guaranteed Advances Act of 1909 was passed all loans to local bodies by the Government are made through the office. The money is lent at the same rate of interest at which it is borrowed. Most of the money is lent at ■'!> per cent, but as money rates are now higher loans have recently been granted at :;;[ per c< nt only. Xcariy all is lent on a 36$ years' term. The instalments of principal and interest for that period being £4 I7s 6d per_auuuni for 3} per cent loans and £5 Is f:r 3:, 1 per cent loans. In no part of the world can local bodies obtain money on such favourable terms us in New Zealand when the loans are from the Government. In order to show how the Department has progressed it may be slated that whereas in 1896 the total advances to settlers amounted to £129,122, the advances to settlers and workers during the lastsix years have been as follows: 1907, £•773,220; 1903,*£1,401,391 ■; 1909, £l,792,019; 1910, £1,457,472; 1911, £l,012,070; 1912, £2,717,925. At present, as required by the Act, there not being sufficient funds to meet all applications preference is being given to'tiiose of £SOO and under. Notwithstanding this limitation last year was a record one in advances. The profits have been considerable, increasing from £12,321 in 1399 to £60,440 in

tercst will rise and higher rates of interest will prevail throughout the work!. The large profits ihithcrto made by the Department cannot, therefore, be expected to continue. The losses to 31st March, 1912, were only £940 's« -Id. The administration of the Department is absolutely free from political influence, the granting or refusal of loans being a matter entirely in the discretion of the Board, which consists of the Superintendents the Public Trustee,, the Valuer-General, K,r.d two non-members of the Civil Service the present members being Mr Warburton, late Controller and Auditor-General, and Mr Henry Kcmber. Dori'svs/lns. Much has' been said regarding our extravagant borrowing in the past. It must, however, be remembered that in a developing community it is essential that borrowing takes place, and after all the success or otherwise o! borrowing is contingent on the manner in which the money is used. Tho result of our piiblic expenditure shows on the whole a, satisfactory return. It is, cf course, for the public to say whether or not borrowing is to take place; but if the country is to develop we must borrow considerable sums because it is impossible to consider the raising of moneys necessary for development by means of taxation alone. It is, however, doubtful if cur loans oiMi be obtained during the next few years on anything like as favourable terms as thev have been for the pasl ten years, and it therefore behoves us to be cautious in our borrowing policy. Land ant! Income Tax. Last year the revenue collected from Land and Income Tax was £1,095,950. The Government has at present under consideration several important questions relating to taxation. It is considered that'" the present land Lax exemption of £SOO may be increased witn advantage to settlers with iannlios.depcudeiit'upon them. It is furtner contemplated to thoroughly reconsider the system of graduation and recast the rates applicable to the graduated laud tax. Tliese alterations are being considered with a view of placing the burden of taxation on the shoulders of those who are best able to pay, ana relieving those who are in less affluent circumstances, and also with a distinct view to rendering more land available for close settlement. The loss ol revenue from the enlargement of the exemption clauses of the Act ivill be provided tor by an increase in the higher o-rades of 'the graduated tax. With

regard to ' making concession to parents who are educating and maintaining a family, a principle which has boon adopted in various Continental Income Tax systems, and also in England and -Now South Wales, though the allowance varies in different countries. In England the allowance 1; £lO in resoect of each child living and under the age of 16 years, but taxpayers whose incomes exceed £ooo are not entitled to such allowance. In \Y\v South Wales an allowance el £sl) 'is made for each child who is wholly nsin! I'ued l>v the taxpayer and who i r under the age of 18 years. I think in New Zealand an allowance of £SO might be made in respect of each child wholly dependent on the taxpayer For support, (Applause.) I will next turn to the important matter of

Survey and Selection of Crown Lands

Kor the five year period ending Hist \hn-ch last, SI HI persons selected an area of 2,0-10.000 acres. This compares very favourably with the preceding live year period ending Hist March, the figures for which are 8410 persons with an area oi 2,~ 270,000 acres—the average holding for the live years being H2I acres, and tiie previous live years 1.0 0 acres. !he average rate of selection, therefore, has been 525.000 acres a year during ; he part live yearly period. 'i h s is very satisfactory, and shows conclu?;ivf!e Ilia; groat progress is being in.ad ! * in that all important problem —the settlement of tin* land, and that the. Govern:nent is alive to the necessity of energetically preparing _ the Crown estate for the people* is indif.;ii<*d by tin* followhig figures regarding survey. At the present time thorn are (509,000 acres of rural lands being surveyed for settlement purposes, made up as under:—Auckland band District 198,000 acres, Hawke’s I lay SO,(100. Taranaki 98.000, Wellington 49,000, Nelson 97.000. Marlborough 7000. Westland 5000, Canterbury VkOOO. Otago and S'-outliland if;,000. The total number of surveyors eugag:*(l upen this work is 58. There are ornr.ent advertised in the I.and cg-io* ( rown binds lo the extent of 1.191.800 acres. The districts in wire's lb** largest areas are available M-e : Auckland, ‘H0,009 : Nelson, 1 44,000 acres; Westland, 055.000 acres, tile area opened for rel 'c'ion during M'c uast year amounted to .'74,951 acres' under all tenures. It is my earnest desire tl’.at further are’s,

-—--., L _ ; jrrrrr. ———-* earlies! possible moment, and I haves given instructions to the Department lo continue to press forward the preparation of the areas i\>v sale, and. selection, and to do everything possible to accelerate settlement. Experience has shown that land at tho present lime is capable, with profitable utilisation, of supporting a family in much smaller areas .than was considered possible some years ago ween the Land Act prescribed 040 acres of first-class land; 2100 acres of second, and 5000 acres of thirdclass hind as the .maximum which a person could acquire froro the Crown., the expansion of the dairying industry and the improved methods and conditions cf cultivating ja.ud show chat the t'mc has arrived to amend the law to reduce and restrict the occupation of laud to the following limit's:—loo acres of first-clriss land, or 1000 acres of second-class land, or 2.500 acres of third-class land: Yaluo of laud to be a determining factor in subdividing laud. Owing to the great diversity that exists in tho quality and character of land throughout New Zealand, it is also necessary that the value of the land should be a determining factor in deciding tho size of an allotment for a family, and although it is proposed to fix by statute the acreage limit referred to previously, nevertheless it is intended that the Act will be so interpreted as to provide that where necessary shall an allotment reach the maximum area. In the majority of cases the holdings will contain areas tnac may. u e considered sufficient after an examination based upon their possible productiveness and the por.-um which they may occupy in regard to fatalities' for the marketing of tlie produce. By this means it a. imp.-d I hat the remaining porthn of tlie Crow* iaiKls will be dealt ivitn in -neb a manner that the largest : um'oer <•'. pasjil'lo settlers may be placed thereon. Non-Aggregation of Land.

That it is necessary to take sowsteps to prevent aggregation of land. is evident to those who are aware of what is taking place at the present time, and it will be my endeavour to pass legislation to check any improper ageregati'on in so far as it may be possible, with regard to the lands that are to he disposed of in the future by the Crown. When Crown lands are subdivided and placed -upon the market such subdivision Iws been made and the size of the allotments fixed so as to give nn area suffi-

cient to support a settler and his family in reasonable comfort, and therefore it is not intended, nor ought; i! li" allowed without reasonable cause* that one man should occupy two holding* each of which may support a. family'. This reduction of area should. be made io apply to the eases of Crown lands sold in freehold, as to future, transfers or sales, that is. all future purchasers of Crown lands, the freehold of which is now granted, ought in be compelled to make a similar deelaiation as applicants for Crown lands —that they do not hold land above the prescribed limit. This will ensure thai when the Grown parts with the freehold of any section, aggregation in undue proportions will be checked. At present the law provvles that any land that has been sold by the Crown is fee simple since tho. 20fch November. 1907. shall remain ■mbj'Tf, tr the Land Act, and it is not lawful for any person to acquire any interest in land so subject to t'm Act if ho possesses a total area, of (vm)'neves first-class land. It. is

eovs'ccred advisable to provide iegisSitlon to reduce the area to 400 .icies of g'-ocl land, and to prevent evasions of the Act safeguards can be prepared inlno'siug "substantial penalties for all infringements. Lends for Settlement. The question of finding land for those in search of it is still an insistent one, and it behoves the Government to meet the demand as much as it is possible and equitable to do go. The Crown lands are bemg roaded and placed in the market as rapidly as possible, and from the figures J have already given, you will have learnt that there are three quarters of a million acres now under survey. The Government have purchased for further subdivision some estates, and would have acquired many more were, it not that the owners do not see their way to sell at prices which, would enable them to be settled with a possibility of financial success bv incoming tenants. Tho time has, therefore, arrived to make another

therefore, arrived to make another forward movement in the matter of clo«er settlement, and 1 propose to Ink.' action in the direction of introducing legislation so as to provide that no one person should be aide to inherit upon the death of an owner of land more than a certain area of firstclass Land, or the proportionate areas of other classes of land. If a testator did not accordingly make a distribution of his estate to comply with this intention, it would be provided that the laud should, upon payment of the valuation fixed by arbitration in the usual manner, become Crown land, and be dealt with accordingly. Every acre of land in the Dominion ought to therefore net only he utilised to its nimost capacity, but should also carry as large a population as possible, and there should be no portion capable of cultivation that should be overlooked, and until such an Act, as I have indicated, is placed upon the Statute Bonk, we are unable to say that adequate proviVon has been made for the settlement of the country in the mosl advantageous holdings, and to enable the lands of the Dominion being utilised to their fullest development and capacity.

National Endowment. In regard to the area set apart for the endowing of education and old age pensions by the Act of 1907, the area al present leased amounts to 0.270,700 acres, the rent roll for this amounts t > the sum of £BB,OOO. This amount is also supplemented by the money received from limber and coal royalties collected under licenses issued fiv.m t ; me to time. For the past three years the revenue obtained from the endowment is as follows: -Eor the vcar 1909-1910. £78,400; for the y. j a.r 1910-1911, £9-1,700; for the year h)Il--1912, £90,K)0. This is vciy gratifying, and shows that as years go by this will hi 1 a valuable endowment for education and old age pensions. As you are doubtless aware, the revenue after- the costs of collection and administration are deducted is divided between these two purposes—the former receiving 7(1 per cent, and the latter 30 per cant. The area at pre-f,--'tit in the endowment amounts to 5,3J,3,700 acres, which is 656,300 acres i :■-.: than the nine million acres set ::>; ni by the Act. Land Settlement.

Since assuming the important position r,!' Minister of Lands, I have devoted jmsolf rather to the practical question of providing territory for those who wan I to go on the land than to the academic question of tenure. As I have done with agriculture, so I will endeavour to do with the lands of the country—viz., get right down to the nractical work. By this process I hooo soon to he able to show good results. Not only do I intend to assist in bringing Crown and Native lands

social insurance against sickness, invalidity, etc., for the industrial classes has been tattler consideration, and I take this opportunity of making known the Government's intentions. This reform has attracted great attention in Great Britain in connection with the universal and compulsory scheme adopted in that country which ( is framed much on the lines of the German system. A study of these systems shows that the condiions in this country do not, fortunately, demand such drastic and expensive methods. On the whole, therefore, the Government has decided to extend the scope of our present measures and at t. •:• same time offer to co-operate with the friendly societies. I wish to say here that the position of the friendly societies as the leading agents in .carrying on the beneficent work cl assistance in sickness, disability, and death, is of national importance, am do State scheme that sets out to deal with this problem can ignore thcr* organisations. I consider the wor.» they do, and their manner of dome it, to be so valuable that it should be stimulated and encouraged by the State. . Maiona! Provident Puna.

In 1910 the State in New Zealand j took the first step in Bociall insurance, sohemes by passing the National iro-i vident Fund Act. Tins measure, which is administered by, a ><>a ra 'i offers at less than cost price, libera J benefits in maternity, incapacity, widowhood, orphanage and old age. The benelits are:—(l) After contributing for twelve months, a payment not exceeding £6 for medical attendance on the birth of a contributors child or children; ('2) after contributing for five years, an allowance alter three months' incapacity to work oi 7s 6d per week for each child oi a contributor under 14 years of age, payable independent of any allowances due from friendly societies. No contributions are payable while a person is m • receipt of an incapacity allowance; (.J) on reaching 60 years of age, a pension of 10s, 20, 30, or 40, according to the scale of contributions. The payment of this pension will not affect any rights under the Old-age Pensions Act. (U After contributing for five years, an allowance on the death of a contributor of 7s Gd per week for each child until 14 years of age, and 7s 8d tor the widow so long as any chile is under 14 years of age. These benelits are obtainable.for contributions ranging from nineponce per week at age I>, one shilling per week at age 21. one shilling and sixpence per week at age 28, and so on according to age. Government are now assisting the Board to make the Act known as widely as possible at reasonable cost, by! sending out a lecturer to bring the scheme personally before the workers; at their factories, workshops, etc., and| I am pleased to state that very satisfactory results are the outcome of this policy" If the present monthly en- • rolment rate is maintained, the sue-] cess of the fund and its membership is assured. This says a good deal lorj tho attractive features of this Act, asi voluntary schemes are in general not availed of as they should be. lhe expenses of administration compare most favourably with, the initiatory expenses of other insurances. Hie State is very liberal towards contributions to this fund by way of subsidising to the extent of one-fourth ot their contributions, granting a maternity allowance and paying administration expenses .

Co-operation with Friendly Societies. In announcing therefore that the Government proposes to further relieve some of the workers' burdens caused through sickness, I, at the same time, desire to -state that in my opinion toe friendly societies are the best and most deserving organisations through which this important work can be carried out. Their members are entitled to somo help, and a subvention for them will, if the experience elewhere, is to ho repeated, result in a cheapening of benefits and a consequent increase in membership. The proposed extension of the National Provident Fund Act will liberally subsidise the prolonged and old-age sickness in friend y societies, and will be based broadly on the State paying up to one-ba t ot the weeky allowances. The subsidy hesides bringing about an increase ot members has also the following advantages :-(D I* Places friendly.societies on sounder financial footing. (2) Improves their contribution rate where inadequate without calling upon members to increase their payment; and (8) enabled societies to lower contributions or offer higher benefits.

Local Authorities and Employers. Government also proposed to offer facilities for local, authorities, emninwr, pte.. to insure tneir em$SS in the National Provident ?'und by giving the Board power to make special terms for .this warpow. Where the local authorities 01 the employers themselves pay a portion 01 the contributions, they will be em-powored-and if possible the friendlj societies, also-to deduct their ■ oloyees' contribution from wages, under certain conditions. The -State 6 subsidy of one-fourth of the contributions will go towards the cost of benefits that may be agreed upon with local authorities or employers Ito whole scheme represents an extension of the principles underlying the -National Provident Fund— namely, social insurance on a contributory and voluntary basis, whilst at the same time forming the ground-work r,t a futuro universal and compulsory system. These proposals will . affect a very considerable number of our workers In the friendly societies alone the're are some 70,000 members, and indirectly about 300,000 persons, including their families and dependents. The facilities to be given local authorities and employers will, of. course, further increase the numbers. 1 lie preliminary estimates show that the cost will be moderate, and with the use of the friendly societies' method:' in administering it, the State can rely on its subsidy being well and economically expended. Old-ag- Pensions.

Among humanitarian measures tin < have been placed on the Statute Book, one of outstanding importance i; that providing for our aged pioneers. The liabilities incurred last year war £416,530, whereas' the percentage ol pensioners to that portion of the ;:•'>- pulation eligible by age was •'•'> '"'"• cent., as against 32 y>w cent, fir Mi" preceding year. The number of pen-! sioners at the .31st of \ar,t March w-irs 16,649. This comprised 15,98-1 whites and 665 Maoris, representing an i • crease on the previous year's total < T 629. The average pension paid was £25. For the previous year the cross amount paid in pensions was £406.260, the average annual increase over the past five years being £18,414. The gross payments to date amount to £3,556,660; while the amount credited to the old-age pension fund from the Endowment Lands Revenue Fund 19 £55,610. A pleasing feature in connection with the Act is the low cost of administering it, this being only 1.5 per cent, of the gross amount paid out—the total cost for the thirteen years the Act has been in operation being £55,563. Taking the amount

paid last year in pensions—namely, £■116,530, this works out at a total cost to the population of 7s lOd per head. Since the inception of the Act, the total claims lodged number 54,245, and 34,751 have been granted. Last year the benefits under the scheme were extended to include widows. Though this provision has been in force only a few mouths, the great relief it is affording has been shown, the number of claims lodged to date being 1283, of which 950 have been granted, 200 being refused for various reasons. 'I he average pension payable is between CIS and £l9, and the annual liability in regard to the pensions granted is approximately

£IB,OOO. An interesting fact is that tho families of the participating widows range from one to seventeen, the average being iivo children per family. The Act provides that where there are children under 14 years of age, special allowances shall be made; and the number of children under this age ranges from one to eight in a family, the average age being about two and a half years. It is also interesting to note that of the 950 widows who have been granted pensions, 591 arc native born. Electoral. Regarding the vexed question of electoral matters: The Government has

come to the determination that the Second Ballot Act shall be repealed, In order to provide a substitute therefor it is intended to introduce into Parpiament a Bill to give the right to each elector to vote on a system of electoral preferences under an adaptation of the methods that obtain in Queensland, Victoria, and Western Australia. The elector will state the r.vdcv of his preferences beside the name of the candidates for election, and by a very simple process these preferences will be counted in order to ensure that no person _ shall be elected who lias not a majority of the votes recorded. The system is extremely simple, and it is expected that by this means the country will be able to secure the benefits of the second ballot without the delay, expense and inconvenience that attend tho present system.

Local Government. • As yon arc aware, a conference of delegates appointed ~y the local governing bodies of New Zealand recent-! ly sat in Wellington for the purpooe of considering proposals in the direction of local government reform. The hasis of discussion was the Bill mti,«bdnced by my predecessor during l last session. As the result of the con-j ference a large amount of valuable information has been obtained, and the Government has been able to ascer-j tain the directions in which it is der.ired that local government reform | should proceed. These directions may, bo briefly summarised as. follows: (1) That'a number of superfluous bodies whoso functions overlap should be abolished by legislation; (2) that there should be a re-arrangement of the boundaries of the existing counties. in order to secure, wherever possible, | larger public bodies for which experienced staffs of engineers, etc., could |,o provided; (3) that the system and payment of grants for roads and bridges should be reviewed, with o| view to providing a system _ under; which the necessities of the districts < should be more fully provided for | than at'present, and upon something like. a. scientific basis. These matters are now receiving the careful consul-; '•ration of the Government, and it rei intended in due course to prepare a measure which will go as far as possible in the direction of local govern-; merit reform, while at the same time . paying due respect to the wishes o. j districts which have become wedded; by long experience to any particular, form of local government that may exist at present. The conference proved most valuable, and the questions placed before it were considered in a broad, national spirit, and without the introduction into the discussion of any; parti' element. Rest Homes, With regard to Mental Hospitals: A most important change is proposed, and is now receiving consideration—viz., the establishment of ."Rest Homes," an institution which will j bo entirely apart from the mental hospitals, "into which persons suffering from what may be only a temporary mental aberration, may be placed. These rest homes will have as little j similarity to the institutions for the insane as possible, and it is hoped by their establishment the number of those who may lie enabled to return to their friends cured, without having seen the inside of a mental hospital, may be very considerable J think you will agree with me that there are no greater claims that ran bo placed -before t the people of the Dominion than those of the unfortunates who are suffering from mental disease, and I feel sure the Government will he supported in its determination that no question of cheeseparing economy shall bo allowed to stand in the way of every assistance being given to them. Nurses. Already there have been established a- series of nursing stations for Maoris, which are in charge of trained and refined European women. In some oases the women of the native race are being trained for the purpose of working amongst their own people. By means of the St. Helen's Hospitals the number of trained midwives are being constantly increased, in order to provide for the women of the country in their hour'of trouble. Special encouragement is being given to capable women to reside in the backblocks for the benefit of the wives of the settlers in the out-districts. You will I am sure agree with me that no class of settlers in the Dominion so much deserve the consideration of the State as the wives of those noble pioneers who settle in the hinterland to fell the virgin forest and extend the settlement of the country. Everything the State can do should be done For them, and at the present time the Government regards it as an urgent need that midwives and medical men should be provided for the benefit of these settlers, and in arranging for subsidies for the assistance of settlers in the matter of medical attendance, and encouraging trained midwives to make their homes in the outsettlements the Government feels it is doing a great deal to encourage the U'orl; of colonisation. State Firs insurance. Coming now to the operations of the State' Vtv" Office. The average amount oaid in insurance premiums in the Dominion for the last seven years is estimated at &>7;">,000 per annum, which for the seven years tinState office has been in operation amounts to, say, £4,000.000; amount paid to the State fire Office, C2.000,000; amount paid to private companies, C.'],7fH,ooo. On the coming info operation of the State Office, rates were reduced ten per cent, on business risks, and thirty-three and a, third per cent, on offices and dwellings, and higher ratings of which there were many were abolished. The reductions are estimated to have averaged twenty-five per cent, all round. The saving' to the people of the Do-

minion in premiums m seven years isj therefore estimated in round figures at slightly over £1,250,000. This saving of £1,250,000 may, I think, bo regarded as a reduction of that amount in taxation on the people. (Applause.) Post and Teiegraph. And now 1 would like to say a few words about the Post and Telegraph Department, which is so closely associated with the life of the people. I cannot touch the administration of this Department without pausing fori a moment to pay a tribute to the outstanding position occupied by Sir .Joseph Ward during the many years that he had control of its destinies. ] Not only did Sir Joseph Ward effect wide reaching reforms that have bene- 1 fited directly all classes of the community in New Zealand, but his persistent and eloquent advocacy of cheap universal postage and telegraph! facilities has earned for him and for] New Zealand a world wide reputation! i:i postal reform. It must be ai great satisfaction to Sir Joseph to find that now, after so many authori-

ties had questioned the commercial soundness of adopting universal cheap postage, it has fulfilled expectations to the full. There arc many other items of 'his able administration of this Department that I might refer to but on this occasion I have confined my remarks to what has undoubtedly earned him a lasting reputation for successful financial and commercial administration of one of the greatest of State institutions. When acting as Postmaster-General last year, I obtained a good idea of the well-directed efforts of the Department to keep pace with the growing demands of the people, and from my experience I am convinced that the machinery of the Department can be made use of i t many additional useful direction:-. Perhaps the particular section of the Department's work which is at the present time being anxiously looked towards by country settlers fo the telephone. "At the beginning of this year a comprehensive scheme for tin erection of lines to serve more than cue settler at a greatly reduced rate was brought into force. The idea was to make such arrangements as would enable as long a line as posr.ible to be erected, by means of which puttiers could be connected with each other, and with the nearest telephone office at a subscription of £3 per annum, a slightly higher charge being made for longer lines. Instead of tho individual lines which were almost universally used, facilities are row given for settlers to join together in using a line. lam glad to nay that the scheme has been a pronounced success, so much so that it will be necessary for the Government to consider a large addition, to this \ear's vote for Telephone Dine Construction to meet increasing demands. With the cost of these telephone lines at such a low rate, it will be recognised that the Government is making no attempt to make a profit out of the people. The lines lam referring t i are of immense benefit to farmer| i :id others within n few miles of a telephone office, but it is obvious that the maximum distance must be limited. There is, however, another section of the people to be considered. namely, the back-block settlers. Recently it was decided, in the case of

isolated places, to reduce the rate oi interest on the capital cost from 5 to :$V per cent, and to take ibalf the risk of loss on the lines. This applied io all lines already guaranteed as well as to new lines. The concession has led to great developments and brought many places formerly isolated within touch of the telegraph system. _ It is now being considered whether this cannot lie carried further, and the wants of still more isolated settlers be met bv asking Parliament for a special vote. I can assure you that Government fully recognises the value of the telephone', not' only as a means of ready communication, but as being invaluable at times for the safety of life and property, and no efforts will be. spared en my part to extend the system. The cardinal policy of the Government in respect to the granting of telephonic facilities is io eons : der the needs of the country settlers first, but at the same time the convenience of the cities is not being overlooked. The development in telephone engineering has been so rapid during tie last few years that the Government recently

sent its chief electrician to America and Europe to examine and report on the latest telephone systems. As a -result it is found that our systems can bo considerably improved, and it is proposed to bring them up to date. Although the initial expenditure in tliis direction will be heavy, there is no doubt that it will eventually lead to a large saving in the cost of working, besides being of immense advantage to the people. With the saving that is effected Government will Ik enabled to grant further facilities ir

other directions, such as the extension of existing telephone lines in the country districts, and I am also hopeful of being able to fix a radius of several miles in lieu of one mile at the minimum rate as regards telephonos in metropolitan areas. Long distance telephoning is also occupying attention. Within a very shorf time a new telephone wire between Auckland and Wellington will lie completed, enabling speech to be had between these cities, and as funds permit, the erection of long distance wires will be extended; but T would like to make it quite clear that we look upon long distance telephoning as a luxury and that Government in tends that such long distance wires are to be regarded as on a -strictly commercial basis, any profits being utilised for assistance in building lines to isolated districts. Parcel Pest. A reduction In parcel post rates, which are at present 4d for the first lb., and 2d for each succeeding lb. up to 111 b. is now under consideration. Difficulties which seemed well-nigh insurmountable have been experienced, but I hope that these will be overcome, and that it may be possible to announce not only a substantial re duction in the rates but an increase in the maximum weight of parcels tr be carried. This is a matter i' which, while ! was acting in the dual capacity of Minister of Agriculture and Postmaster-General, 1 saw possi

bilities nob only as regards the netua.l carriage of parcels but the utilisation of tlit- general scheme of parcel posi to facilitate the bringing together ol the producers and consumers of sue! articles as fruit and fish. In con Miction with this scheme it is hoped that very great benefit will arise t< consi'iiu rs. At present many arc largely barred From enjoying these necessaries of life at reasonable cost. Ait certain seasons nf the year crops ol' fruit are exceedingly abundant, ami large quantities of these go to waste because of the lack of Facilities foi

getting such fruit where there an {rose requiring them, at reasonable rates, and an endeavour to bring the producer and consumers in tmiol

should be of mutual benefit. Every family should, as far as possible, b< helped to secure fish and fruit. As the mail contracts expire this year, the Department has been instructed to take ino consideration the desirableness of utilising motor cars as far as possible. An interesting experi-

incut which will determine the best class of car for use for important services is about to be undertaken by the Department which is sending one of its proved vehicles to make a run between Blenheim and Nelson. The car will be loaded up to the extreme service conditio.is, and the test carried out if possible in unfavourable weather. When the result of this trial is known, 1 feel convinced that the use of motor cars of the right construction for mail work will generally increase. The use of motor cars means improved roads, and improved roads may make possible the development of motor carriages for goods in many

places where it would not oc pi outside to build railways. For smaller mail services the Department, after exhaustive experiments, has come to the conclusion that not only can large arias be served, but much more rapid delivery of mails be effected by the us-3 of "motor bicycles. These would also be used for rural mail service deliveries. Another matter which has bean brought under my notice is the desirableness of transmission at specit! rates of books to and from country libraries. The 'Department has been instructed to make a report on tho question in connection with the re-letting of the mail services for the coming triennium. Here again it is hoped that the motor bicycle may overcome a difficulty. I have been so long connected with educational matters that I view with great favour any scheme which will bring the isolated country settler into closer touch with his public library. Telegraphs. He growing importance of the telephone'has of late somewhat overshadowed the telegraph. Nevertheless, tho number of telegrams forwarded is six adily, if slowly, increasing. A really good service is given; but it is noped to still further improve it b, the use of modern machinery which

::■;;; recently attained to some perfection, and which considerably increases the capacity of operators. Local in-v-itors have devised a method of printing telegraph forms and folding iiie received telegrams when will materia'ly exptV.to business. Money Orders. A recent innovation which it is hoped wii! lie of great benefit to working iue:i and their wives is the domestic money order. In place of the payee being required to call at the post office for the money the order is sent out by tho letter-carrier and paid at the place of residence of tho person entitled to receive payment. As the system was devised specially to meet the cn?.i of workers who may be away from home, the amount of such orders is at present limited to £5, but if th< ro is found to he a demand for an increase this will be arranged for. Savings Bank. The savings hank closed last year with £15,543,186 at the credit of depositors. When I tell you that six years before the balance at the credit of depositors was £8,662,022, you will at once realise that the savings of tho per.pie are increasing by leaps and bounds. These figures scarcely need comment here, as the general finance of the Dominion has already been dealt with. I mention the figures, h.owever', as an indication of the magnitude of the operations, of the Post Office. '"' Education. ,: The question of per'footing our national,system of education has received very full'consideration at the hands of the" Government. 'ln order that it may be thoroughly investigated a commission comprising leading authorities on educational problems has been set upland will duly'go Exhaustively into "the .matter. '"'The' Commission comprises Messrs. Markl Cohen (chairman"), of Dunedin; William Davidson, of Dunedin ; Jas. R. Kirk, of Gisborne:"'Frederick Pirani. of Feilding; Hugh Poland. M.P., ofrPaeroa; J. C. Thomson, M.P., of Riverton; Thos. T T . Wells, M.A., of Auckland. I am confident the work of these gantiemen will result in a report which will be of considerable value in the work of framing the future policy of the Government in regard to education. Ccnoral. 1 have at the limited time at my disposal endeavoured to give you an outline of what the Government is doing, and also of the more important national ouestions which I think should be dealt with. There are other subjects of importance indicated in the Speech from the Throne last session which are also worthy of attention. However, speaking of the legislative proposals as a whole contained ; '! Mint Speech, I may say that I think it better when considering what programme of work should be attempted during a Parliamentary session Mint attention should be focussed on a reasonable number of practicable, progressive proposals, which can lie carefully considered and effectively dealt with in one session, and not to undertake a programme of work which, having regard to the average length of the session, can only be satisfactorily accomplished by instalments. Conclusion. And now I have concluded my task. I have, I hope, made clear to you the policy and intentions of the Government, and have endeavoured to deal with principles and measures and not with party or men. The past has been placed under review, the present has been treated, and as far as possible our future lines of action indicated. We are endeavouring to meet the problems of the hour, in my opinion we •ire on the verge of great possibilities. There is everywhere a political and industrial unrest, and it behoves us [o direct it to good ends. People usually gravitate to one or two sides; the progressive or the stationary. The tendency of the former is the desire for development, and of the latter for conservatism. "Our party stands for progress—decisive and rational pro-

airpss; and for liberty—genuine and literal liberty." We have _no programme promising a political paradisc for a people without effort, econ-

omy and industry. Our aim will be largely administrative, keeping stead- ; ly before us the necessity for legislative enactments whenever the condi-

tions require them. We expect eriti•ism, and will no douht receive our ;''Mn\ Imt attempts to discredit us i"d our work will not deter ns in our '(forts Lo work for the well-being of ifl classes of the community. We will uanfnlly do the work that lies before •<;. and then (rust ourselves with con-

■dence ho the judgment of the people. \\V desire to advance this country on vhl'> lin«'s, extending to every mem- ■ f of the community the utmost priileaes possible, consistent with sound "iiifiiil"- and economic administraion, with due regard to the nature md occupation of our people and the ■omnetitinn we have to meet and con"t'd against both in local and foreign n:\rkets. CApplanse.) On r]ic Premier resuming his seat, 'u-idst prolonged applause, Mr. Fleni- >• moved, and Mr. Wright seconded.

''Th'-it this meeting tenders a verv -• :el v vote of thanks to the Hon. he Prime Minister for his able, in•"•'irtivo. and statesmanlike speech, md exoresses entire confidence in the

Administration of which ho is tho head, and trusts that the Dominion will give that Administration an opportunity of giving effect to its policy." The motion was carried unanimously, and cheer after cheer given for the Prime Minister. Cheers for the Chairman concluded the meeting.