H.—29.

1931. NEW ZEALAND.

DEPARTMENT OF AGRICULTURE. ANNUAL REPORT FOR 1930-31.

Presented to both Houses of the General Assembly by Command of His Excellency.

Sir, — Wellington, 31st. July, 1931. I have the honour to forward herewith, for Your Excellency's information, the report of the Department of Agriculture for the financial year ended 31st March, 193 L It will be .seen that, notwithstanding difficult working conditions due to the necessity for economy, the varied services of the Department for the agricultural industries have been well and efficiently maintained. On the scientific side much valuable work is recorded from the Plant Research Station at Palmerston North, while the Wallaceville Veterinary Laboratory report indicates a keen attack on animal health problems, in keeping with similar work overseas. The Chemistry organization continues to do most useful work, particularly in connection with soil and pasture deficiency investigations. In all this scientific work close touch is maintained with the related Imperial Agricultural Research Bureaux and overseas research, centres. I wish to acknowledge with much appreciation the valuable grants made by the Empire Marketing Board towards the cost of various important investigations. Never has agricultural research been of greater moment than at present, and it may be fairly claimed that the Department is giving a good return for the expenditure by practical application of the knowledge gained. A feature of the past agricultural year has been a continued increase in production of most of our primary staples. On the other hand, a substantial decline in the Dominion's sheep-stock is recorded after a series of years marked by rapidly increasing numbers. This check, however, may be largely ascribed to causes capable of rectification. Arable production was satisfactory in general, despite weather handicaps, a fact which reflects improved farming practice, based largely on the Department's experimental work and advice. On the marketing side our agricultural industries have had to face the prevailing universal economic depression. While the increased output of marketable products provided a valuable offset to this, the position calls for special effort by producers towards the reduction of costs and a related increased per-acre yield. Various measure are being taken to this end, and the Department of Agriculture is endeavouring to carry out its share of the Government policy. The dairy industry has gone through a difficult year, falling market-values for both butter and cheese, combined with the development in the British market of a strong prejudice against cheese standardization, being outstanding features. The improvement of cheese quality is having marked attention, and it is realized that those engaged in cheese manufacture fully appreciate the necessity for this. The Department's specialist officers are working in close co-ordination with the Dairy Research Institute in its investigations. The increase in the Department's estimates of expenditure for the current financial year is due to its taking over the whole cost of the concessions on railway freight-rates for the carriage of farm fertilizers and lime. The shrinkage in the use of fertilizers of late, owing to financial stress, is recognized as a matter of the utmost concern, and the Government is using the organization of the Rural Intermediate Credit Board to facilitate advances to farmers on this account. Some encouragement in the present position is afforded by evidence that bedrock has apparently been reached in the price-level of our main exports. Hard work, improved practice, and mutual sacrifice among all interests will go far towards the economic advance of our agricultural industries. I have, &c., A. J. Murdoch, Minister of Agriculture. His Excellency the Governor-General.

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