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To take the place of an equivalent number of parades, week-end camps, especially in the case of Mounted units, were held in many instances, and proved a most valuable and satisfactory medium of instruction. I trust that they may be continued during the forthcoming summer, and that money will be forthcoming to give forage and rations for the purpose. 11. Territorial Training-camps. All units of the Territorial Force have completed their annual training in camp. Since last year, by an alteration in the regulations, it was arranged that Mounted Rifles ■and country companies of Infantry should spend eleven days in camp, and that four of these days should be instead of a proportionate number of drills and parades. It was found that the mounted men and country companies from the backblocks had experienced great difficulty in attending the same number of parades and drills as those in the towns. For town units the training has been only seven days in camp, and the scale of parades and drills has been unaltered. By this means it has also been possible for many men who for various'reasons were unable to put in the requisite number of parades and drills during the year to go to camp for four extra days, and there make them up. This alteration having been made entirely in the interests of the men, no pay has been granted for the extra four days, but forage and rations have been provided. The effect has been that all camps have been open for eleven days, and that a large proportion of men have had eleven days' training in camp instead of only the statutory seven, which has been a great help to the efficiency of the Forces. Camps have been for the first time held on a large scale by brigades and coast-defence commands, and the troops have greatly benefited by the experience of training in the higher organizations. Not only has considerable economy of money and instruction and an increased efficiency been attained, but Brigade Commanders have been afforded the very necessary opportunity of exercising their commands, and a very healthy emulation and esprit de corps has been engendered among the various units of the Forces. Field operations were held in all camps on as extended a scale as the state of the training permitted. Many mistakes were made, but these afforded much instruction, and a repetition of the various exercises gave opportunity for their correction. A portion of the annual musketry course was done during the camps, but this practice is not to be recommended where it can possibly be avoided. The musketry should be done as far as possible at other times of the year, as the time of the annual camp is all too short for the necessary practice in manoeuvre, and nothing should be allowed to interfere with the latter. Sanitation was good. Cooking is specially referred to under Section 111, 44 (d). A great waste of rations occurred in most camps. This was in great measure due to want of supervision on the part of the Permanent Staff, and of commanding, squadron, and company officers. I have again to call attention to the necessity for all officers taking more care for the comfort and welfare of their men. My views on this subject will be found in paragraph 4 (a) of the memorandum on " Training and Administration " (Appendix C). The sites selected for camps varied considerably, and it is noticeable that those in the North Island, except at Kerikeri, were the best suited for camping and the least suited for training, while those in the South Island were the reverse. Suitable ground for training must, of course, be the first consideration. In Otago, if the same training-ground is selected again next year, the site of the camp should be moved from Sutton to Matarae. We have again to thank many public-spirited landowners and public bodies for the use of camping-grounds. Their names will be found in Appendix B; also many farmers, for permission to manoeuvre over their land. Our thanks are also due again to the Church of England Men's Society, the Young Men's Christian Association, the Presbyteries of the Presbyterian Church, other religious bodies, the Salvation Army, and chaplains of all denominations for much help in connection with the recreation of the men, and the generous action of the V.M.C.A., C.E.M.S., and the Salvation Army in supplying recreation tents was highly appreciated by all ranks. A summary of the camps held —(1) by units, (2) by camps —will be found in Appendices A and B. " Casual " camps were also held for those men who were unable for various reasons to attend the annual camp of their unit. A total of 18,687 have done their annual training in camp—an average of 8378 per cent., which may be considered very satisfactory, and compares favourably with the average of 8249 per cent, attained last year. His Excellency the Governor inspected the troops at several of the camps, and expressed his approval of their appearance and work. 12. Training Generally of the Territorial Force. The training of the Territorial Force has steadily progressed during the past year, and a great measure of improvement is shown in discipline and general efficiency. The work of the Instructors has been most satisfactory, and the system of instruction has worked as well as can be expected with the very limited number of Instructors at our disposal. A regulation has been gazetted by which all applications for exemption from training must be brought before a Magistrate for decision. This is very satisfactory, as the militarj authorities have hitherto frequently been put in a difficult position by having to decide questions relating to the enforcement of the civil law—namely, the Defence Act.