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from all its bearings in last year's report, I can only indorse what I there stated. The number of rabbit-skins exported during the last financial year shows that good work has been done, while the gradual increase in the number of sheep in Otago shows that rabbits must be diminishing in numbers. I cannot, however, at present hold out much hope of any cessation to the continuous annual expenditure and exertions necessary to keep the evil within bounds until the natural enemy turned out has increased sufficiently to act as a check on the pest's increase. It is satisfactory to see, on country overrun two years since, that the carrying capacity of some runs has again increased by thousands of sheep, and on others full percentage of lambs, with excellent clips, were obtained, attributable to reduction in numbers of rabbits, together with two favourable seasons for pasture. Attached returns show the Government expenditure for the year and other tabulated matter. I have, &c, Benjn. P. Bayly, The Hon. the Colonial Secretary, Wellington. Superintending Inspector.

Statement of Expenditure, &c.

Genebal Bemabks. —Payments to agents, labour, material purchased, and other contingencies not included in this expenditure. It is impossible to give the number of skins from each district; but the total export for the whole colony from the Ist April, 1884, to the 31st March, 1885, is shown herein, as exported from the different ports. The number of rabbit-skins exported during year ended 31st March, 1884, was 9,892,341, of the value of £100,677.

APPENDIX. Sir, — Colonial Secretary's Office (Stock Branch), Wellington, Ist April, 1885. I have to request that you will be good enough to furnish replies to the following questions with as little delay as possible. The period to which these questions refer is between the Ist April, 1884, and the 31st March, 1885. I have, &c, B. P. Bayly, Eabbit Inspector, . Superintending Inspector. (1.) What means have been adopted for destroying rabbits? (2.) Have you any recommendations to make? (3.) What progress has there been made ? (4.) How many tenders have been accepted ? (5.) What did the whole of them amount to? (6.) Number and description of reserves you will require to deal with, and the approximate area of such available for grazing purposes ? (7.) What quantity of phosphorus was used for Government purposes ? (8.) What quantity was sold to private individuals ? (9.) What was the quantity on hand on the 31st March last ? (10.) Number of skins exported ?

District. a EH M ■+= CD PU ,.O CD S8 o 60 | Pi o I o ** CD O S cy o Is CO o la CO •—< r4 O §§ II 5 5 id o lift . feoo«>ffl _2 f^^ CO -3 <H O a r-( o °*| ||| Ith 6 a £ s. a. lb. lb. lb. lb. £ Acres. Napier Wellington Wairarapa North ... Wairarapa South ... Nelson Blenheim (Picton) ... Kaikoura ... Timara Lyttelton... Oamaru ... Palmerston Dunedin ... Naseby Clyde Tuapeka ... Balclutha Queenstown Invercargill Southland 5 5 5 9,220 13,000 4 13 1 1 1 30 10 171 15 25 0 65 0 20 0 o o o o o 8 148 41 35 40 2 4 18 6 35 40 2 889,436 4 130 35 32 41 198 70 30 25,000 68J736 "848 4,000 2 9 2 1 4 10 8 4 12 10 68 0 98 0 38 0 5 0 709 11 266 0 143 10 423 0 380 0 429 18 o 0 0 0 0 0 0 0 0 7 150 193 40 150 193 30 l,525J30 24,534 15J28 256 5,000 3,000 15,000 600 27,700 34,800 7,000 40,000 10 333 180 7,014,993 79^242 47 158 50 100 203 80 591 242 40 540 412 318 400 300 574 300 345,636 3^346 258,300 Totals 82 2,873 4 7 662 678 1,795 3,433 9,869,065 108,640 433,40i