H.— 44

fertilizers and the additional production of butterfat, particularly in the North Island, were both conducive to a greater demand for implements, and for milking-machines and separators. Sales of machinery to butter and cheese factories did not increase to any extent. In the South Island cereal-crop-machinery manufacturers have experienced extraordinarily keen competition from American implement-makers, whose selling and finance methods are extremely difficult for New Zealand manufacturers to compete with. There are, nevertheless, very hopeful reports from the leaders of these industries in the South as well as in the North Island, and it is expected that as a result of the generally improved financial state of the Dominion and the extra protection afforded by the new tariff conditions will take a decided turn for the better. There appears to be ample room for extension in these industries, as various classes of machinery made in the Dominion are still being imported on a large scale. The following table shows the extent of the importation of machinery competitive with similai classes made in the Dominion :—

Imports (Calendar Years).

The total value of all agricultural machinery imported in 1925 was £196,090 ; in 1926, £176,317 ; in 1927, £183,163. The total value of dairying machinery imported in each of those three years was as follows : 1925, £157,044 ; 1926, £140,951 ; 1927, £109,552. The reduction in value does not represent a corresponding reduction in quantity of imports, as the prices of this class of machinery have been falling. Woollen-manufacturing. Official statistics, year ended 31st March : — 1925. 1926. 1927. Establishments (number) .... 13 12 12 Employees (number) .. .. 2,381 2,326 2,380 Wages paid .. .. .. £381,886 £362,020 £369,323 Value of output .. .. ..£1,263,743 £1,159,771 £1,053,306 Value added by manufacture .. £581,137 £552,694 £550,163 Imports, calendar years-:— Woollen piece - goods (pure or containing wool) .. .. .. .. £879,434 £813,537 £787,986 The reports from some mills are distinctly encouraging, and in one district a marked improvement in trade has been noted since July, 1927, resulting in an increase in the number of employees. In other districts it has been difficult to maintain output in face of overseas competition, which is, however, more particularly keen in the cheaper grades of cloth. Union textiles of wool and cotton, and cloth of remade wool, can be manufactured in the United Kingdom at low cost, and such goods, both in the piece and as made-up clothing, come into strong competition with local productions of pure wool. The high prices of wool which have prevailed during the past year are a disturbing factor in this industry, and manufacturers recognize a danger of appreciable loss when values decline. Printing and Publishing. Official statistics, year ended 31st March : — 1925. 1926. 1927. Establishments (number) .. . . 310 325 344 Employees (number) .. .. 6,779 7,274 7,874 Wages paid .. .. .. £1,501,662 £1,632,797 £1,752,291 Value of output .. .. .. £4,052,545 £4,407,655 £4,527,696 Value added by manufacture .. £3,027,140 £3,328,674 £3,421,672 This industry continues to grow fairly rapidly and consistently, and it gives a considerable amount of employment at good wages. Unfortunately, newspaper-work cannot be separated in the figures from ordinary printing-work, and this to a very great extent reduces the value of the statistics.

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1925. 1926. 1927. . Number. Value. Number. Value. Number. Value. I Agricultural machinery — £ £ £ Cultivators, spring tine .. 384 5,777 121 1,442 541 7,102 Drills and sowers .. .. 810 11.133 662 9,211 1,233 17,629 Harrows, disk .. .. 555 7,028 329 5,028 621 8,102 Ploughs .. .. .. 1,080 10,726 1,205 17,363 848 9,419 Presses —wool, hay, and straw. . 8 713 22 1,287 32 2,045 Dairying machinery— Churns .. .. .. 2,777 3,380 2,610 8,944 2,158 5,189