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TARANAKI. (F. H. Waters, Commissioner of Crown Lands.) The past year has required a careful husbanding of the Department's resources in relation to soldier settlement. The present indications are that all preconceived ideas of successful establishment must be revised, owing to the loss of equities and margins carefully built up by the soldier farmers in previous years. In grazing districts where revenue is confined to wool and store lamb, with a small turnover on cattle, the living and essential working expenses have again absorbed most of the revenue. The fat lamb has yielded as satisfactory return as any class of farming and properties capable of rearing fat lamb have shown a decidedly better return. The high costs of production on dairying iarms, such as power charges for milking-plants, manurial costs to even maintain existing pastures, and transport costs, combined with the steady decrease in dairy-produce prices, necessitates the utmost care in administering this class of account. The Land Board and Department have treated, farm maintenance as a first call on revenue, realizing that the immediate concern is to keep the farms in production. Nevertheless, eighteen discharged-soldiers-settlement farm securities have reverted to the Department during the year. In some cases farms were abandoned and in a few cases the Department took steps to realize its security. The Department is farming five properties, pending a resale of these areas. Difficulty is being experienced by an increasing number of mortgagors in meeting commitments in respect of house properties. Loss of employment compels a cessation of payments, and this is particularly noticeable where previously rebates have been constantly earned for prompt payment over a period of years. Recapitalization of charges and suspension of principal payments have assisted in a large number of cases, where reduced incomes necessitate some form of relief. Twelve house properties reverted to the Department during the year, and ten have been disposed of. At present there are sixteen houses on hand, fourteen of which are tenanted. WELLINGTON. (H. W. C. Mackintosh, Commissioner of Crown Lands.) As the areas farmed by discharged soldiers are situated right throughout the land district, the observations made upon the settlement of ordinary Crown lands will apply to these lands also. The income of these men from the sale of primary products has been so restricted that, in many cases, especially those of pastoralists, only enough has been received to pay working and living expenses. With their restricted incomes settlers have not been able to provide fertilizers for their pastures, and the Department has advanced money for this purpose where necessary. . - < The soldier settlers have also been assisted by granting them postponements of their payments, while, in many instances, considerable sums owing as rent and interest have been remitted. The occurrence of the slump at this time is most unfortunate, as settlers were just beginning to feel the benefit of the liberal concessions granted by the Dominion Revaluation Board in recent years. But for the depression it is fair to assume that these settlers would have been not only well established, but also meeting all their obligations. . '_',' In the southern part of the Wairarapa a severe drought was experienced in the autumn and hay that had been saved for winter had to be fed out to stock. This resulted in settlers having to graze their stock out during the winter. Many sought the aid of the Government in the matter, and the Department was fortunately able to procure grazing in the Pirinoa and Hinakura districts for over 900 cows. The cows came through the winter in reasonable condition. A number of soldier settlers have availed themselves of the Unemployment Board's Schemes 4a and 4b-, with the result that many scrub- and gorse-infested areas have been cleaned up and brought into profit. It is hoped that camps may be established on some of the settlements to deal with areas covered with manuka and tahinau. In spite of the smallness of their incomes, many of the settlers with a little assistance from the Department have maintained their pastures and effected necessary improvements. Hay and ensilage have been saved, and provision made generally to meet the winter and early spring. MARLBOROUGH. (P. R. Wilkinson, Commissioner of Crown Lands.) The discharged soldier settlers, in common with the rest of the farming community, are finding it increasingly difficult to make ends meet during the present difficult period. To maintain production and prevent deterioration of the Department's securities, it has been necessary to extend the maximum consideration possible to settlers and in many cases where the Department holds milk-orders, it has been necessary to readvance for maintenance and living expenses moneys which in normal times would have gone to pay annual charges. Although there are still some complaints regarding the Deaprtment's policy of controlling revenue, especially as regards milk-orders, it is gratifying to know that the bulk of the settlers appreciate that the Department is doing everything in its power to assist them.

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