G.—l

9

Eewi, rumour states, will take up his residence at Te Kopua, a settlement on the Waipa Eiver, a few miles beyond the confiscated boundary. Prom the conversation of the natives generally, I gather that Ngatimaniapoto are anxious for Waikato to remove from their territory, .being afraid of that tribe committing some act which would lead to a forfeiture of their lands. Waikato no doubt chafe under the loss of their lands ; they would like to see Ngatimaniapoto landless like themselves. I believe this is the real grievance between the two tribes, and the cause of the many differences that have taken place during the last two years. The opening of the Ohinemuri district for gold-mining purposes cannot but show to the few Natives who still oppose the advancement of their own interests, the absurdity of their foolish stubbornness. This change in the state of Native matters amongst that section of them denominated Kingites may chiefly be attributed to the fact of their at last realizing the benefit to be derived from the policy initiated by you. drops. This year the crops throughout the district were more extensive than usual. Potatoes have everywhere turned out remarkably well, more especially those cultivated at Aotea, and at the North arm of Eaglan harbour. I regret to say, the local Natives do not cultivate wheat in any quantities, but what was sown has given a good return. At Kawhia, the grain crops were very large, the whole of which I understand have turned out well. On the whole, this year promises to bo one of plenty; the kumaras being the only crop that has turned out indifferent. The Kawhia and Mokau Natives have purchased one or two flour mills; others are applying to me to procure mills for them, all to be paid, for by them. These people are at present engaged in gathering fungus, for which they receive twopence per pound. A great deal has already been shipped from here. Tawhiao has also obtained Hone to One's sanction to dig for kauri guna on his land at Kawhia. Eumour says next year they will commence the gum-digging. Hone Kiwi objects to the Kawhia gum being taken elsewhere for sale, and insists upon its being fetched from there by vessel. If this is a fact, a wonderful change must have come over this very turbulent man. Public Works. The Natives have not been employed at any Government public works during the past year. They are anxious to improve the present road from here to Waipa, and many of them would gladly accept work on it, if it pleased the Government to employ them. Many of the Natives, principally those resident at Aotea, were engaged last winter in improving the road from here to Aotea. The work was given to them by tho Karioi Highway Board: -they appear to have done the work well, which is a great improvement to the road. The Ngatihaua. I have visited the Ngatihaua residing at Tamahere, Maungakawa, Matamata settlements, and Maungatautari, during the past year as usual. Those portions of this tribe formerly resident at Aratitaha and Wharepapa migrated to Te Kuiti about two years ago. It is now said they will follow Tawhiao and Waikato to Oparau, around which settlement many patches of bush have been felled for cultivations by these people, who are abandoning Te Kuiti. A few of the Ngatiwairere, a section of Ngatihaua formerly living at Piako, are now the occupants of Aratitaha. Hote and Tana, sons of the late Wiremu Tamihana, and Tangimoana, a son of Te Pakaroa's, with a few others, have returned to Wharepapa. The reason given for this movement is the incessant fault-finding of Manuhiri and other chiefs with them while they were living at Te Kuiti. The Matamata portion of this tribe have not indulged in spirits so freely this year as heretofore, which may probably be attributed to a want of funds on their part, they having leased and sold all their available lands. Several of the Ngatikoroki and Ngatikahukura have lived within a short distance of Cambridge for the last two years. I regret to say the change has not tended to improve their morals, nor added to their sobriety. I have seen two or three of their chiefs, who were total abstainers, intoxicated since their residence there; and men who formerly were scarcely ever seen wasting their time in our settlements are, lam sorry to say, becoming hangers about the township. The Hauhau portion of this tribe have a native named Turo, a Ngatikahukura, till lately resident at Maungatautari, amongst them, who, I am given to understand, has become quite an adept at distilling a kind of intoxicating drink from maize, potatoes, and pumpkins, which natives say is much stronger than the spirits procured from the Europeans, one glass being ample to make any ordinary man drunk. It is preferred to the European article, in consequence of those who indulge too freely not suffering any after effects, the same as they do from that purchased from the Europeans. According to report, Turo is doing a thriving business, having a ready sale for all distilled at three shillings per bottle. Great quantities are said to have been consumed at the late Te Kuiti meeting. I have not seen the Ngatihaua since I saw them at Hamilton at the time of your visit to Waikato. It is my intention to visit all their settlements during the present month. There is no change in the disposition of the Kingite portion of this tribe since last year. They, like the majority of the Waikato, appear to be getting lukewarm with regard to Hauhauism; and I cannot but think, had William Thompson taken a less prominent part in the King movement than he did, the most of the tribe would now be found with Te Baihi at Tamahere. I have, &c, Kobebt 8. Bush, Government Interpreter. 2—G. 1.