H.—2o.

The saleyards have been regularly attended, and there now being dips in connection with nearly all the yards sheep infested with lice are at once dipped, the result is a marked improvement in the state of the sheep exposed for sale. The returns of sheep on the 31st May, 1890, showed an increase of 7,144 sheep only. This small increase was owing mainly to the sheepowners not being prepared to meet the increased demand for sheep for export. This demand, however, resulted in a much larger number of lambs being bred last season, and it is expected that the coming returns will still show an increase. The export of frozen mutton and lamb shows a very large increase, the numbers being 472,909 sheep and 218,297 lambs, being an increase of 289,418 carcases. Thirty-eight thousand sheep were preserved. The quality has been well maintained, and is likely to improve as breeders now better understand the class of mutton best adapted for the English market. There were also 350 cattle frozen. The numbers of stock exported are: To Calcutta—Horses, 169. Australia—Horses, 87; cattle, 52; dogs, 113 ; pigs, 80. There were imported: From Great Britain—Sheep, 7 ; dogs, 2. From Australia—Sheep, 17 ; dogs, 3 ; horses, 7. Christchurch, 22nd May, 1891. E. Fosteb, Inspector.

Otago Disteict. Stock of all description continue in a healthy condition. The death of a few cattle and two or three horses in the western district, and about 30 head of young cattle on an estate in the Clutha district, have been reported, but the cause has been purely local. Very little lung-worm has been observed during the last year, and owing to systematic inspection of saleyards and proper dipping being insisted upon, lice is very seldom seen. There have been only eight prosecutions for the whole of Otago during the year. The proper branding of sheep has also been more fully carried out. There has been eight convictions under this Act. The lambing was very prolific on all low country in the southern portion of the district, but very stormy weather occurred in October, and greatly reduced the percentage among hill sheep in Wallace and Lake Counties. The long-continued drought and consequent scarcity of succulent feed also militated against the lambing in the northern portions of Otago. During the year 265,405 frozen carcases of sheep have been exported, 47,507 preserved, and 4,222 boiled down, and there were twenty-one stud sheep imported from Victoria. Three hundred and eighty-eight head of cattle, principally stud stock, and 176 horses, have been exported to Sydney and Melbourne. Dunedin, 29th April, 1891. Alfred Douglass, Inspector.

Appendix A. Comparative Statement of the Number of Carcases of Frozen Mutton exported from the Colony during the Years ended 31st March, 1884 to 1891.

Appendix B. Comparative Statement of the Number of Sheep in the Colony, returned annually, under Section 21 of "The Sheep Act, 1878," on the 31st May, 1879 to 1890. 1879 ... ... 11,693,911 1885 ... ... 14,546,801 1880 ... ... 11,530,623 1886 ... ... 15,174,263 1881 12,190,215 1887 15,155,626 1882 ... ... 12,408,106 1888 ... ... 15,042,198 1883 ... ... 13,306,329 1889 ... ... 15,423,328 1884 ... ... .13,978,520 1890 ... ... 16,116,113 Note. —The return of all sheepowners, and the number of sheep and lambs on 30th April, 1891, showing the county in which owners reside and their sheep are depastured, so far as the information is supplied in the Schedule " G" furnished by sheepowners under section 21 of " The Sheep Act, 1890," will be published in the Neto Zealand Gazette as soon as the returns are complete.

3

Estiini Lte for Over Previous Year. 1884. 1885. 1886. 1887. 1888. 1889. 1.88!). 1890. 1891. 1882. 1883. Increase. Decrease, .uokland lapier Vollington 'ieton jyttelton lamarn )unedin Huff 7,968 9,003 .. ! 46,803 89,089, 130,4.36! 15,950 121,627! 18,561 ,132,700 137,964 161," 462 32,250 19,913 157,800' 140,302 235,631' 9,697 155,057 208,335 '209,785 229,466 I .. !31G,455 327,652! 63,103; 950 229 'I 134 '091! f 00 ' 9 1 40,688 7,104 279,081 238,583j I 401,7881 94,415 146,837 87,255 11,286 471,068 407,318; 691,206 88,599j 126,849 49,957 4,132 191,987 168,735 289^418; .. j 80,920 .. ' 86,781) .. j 16,297 J" •• i j 5,816 19,988 133,964 91,255 153,321' 12,702,' Totals 30,488 173988 247,772 !491,066! 574,192 706,967 j i931,6261,018,082 1,205,063] [1,846,283 Less 666,974 25,804 25,804 Total 1 increase 641,170