C.—l.

APPENDICES.

APPENDIX I.—SETTLEMENT OF CKOWN LANDS. EXTRACTS FROM THE REPORTS OF THE COMMISSIONERS OF CROWN LANDS.

NORTH AUCKLAND. (W. D. Akmit, Commissioner of Crown Lands.) Generally speaking, the past year has been favourable from a production point of view, and there has been a further increase in dairy factory output. A severe dry period during the summer caused early drying-off of some herds in the far North, and loss of pasture growth ; but this was not common throughout the district. Hay yields were good and stock wintered satisfactorily. The low value for heifers does not encourage breeding of dairy stock, and more attention is being given to pig husbandry. The prolonged period of low prices is a source of grave anxiety to all dairyfarmers, and the Department is doing everything possible to meet the position. The dairyman is relatively in the same position as the sheep-farmer during the worst period of the wool slump, a,nd it is now necessary to consider each dairy-farmer's position from the budgetary aspect. Reasonable living and working expenses are agreed to be first charges, and the Department, as lessor, has agreed in numerous cases to accept a pro rata share of any surplus remaining. The majority of Crown tenants have met their charges in full, and sympathetic consideration is given each case of default following the usual investigation. . The necessity for top-dressing is very evident, and the financial stringency is curtailing essential expenditure in this direction. On the North Auckland gum clays in particular an annual expenditure of £1 per acre in application of fertilizer is desirable if milking-grasses are to be retained, and the present cash returns for dairy-products may result in permanent depreciation of existing pastures on the low-fertility country. During the past season some attention has been drawn to the existence of areas m ragwort, and it is pleasing to note that the local County Councils have taken the matter up and devoted close attention and expenditure to combating the spread of this dangerous growth. The increase in sheep and wool values has been very satisfactory and has given great encouragement to graziers. The Department has participated in this improvement by way of securing rental payments on grazing areas previously farmed at a loss. A considerable turnover in cattle has taken place. Laro-e cull drives are responsible for elimination of numbers of inferior nnlking-stock, and a gradual herd improvement is possible. With a return to better conditions in the grazing areas the practice of dairying on unsuitable areas is declining as the grazier is turning once again to increasing sheep flocks and disposing of cows. There is evidence of a large amount of new development through, the operations of the Unemployment Board schemes in subsidizing contracts under the supervision of the Lands Department. Farmers are very much alive to the necessity of improving their holdings wherever finance permits, thereby assisting in offsetting the results of poor cash returns for produce. There has been a good demand for areas of Crown land offered for selection throughout the year, particularly where partly drained swamp areas have been placed on the market. _ Advances for developing Crown lands have been continued, and a stage is being reached m numerous instances at which the lessees will be self-supporting.

AUCKLAND. (K. M. Graham, Commissioner of Crown. Lands.) The continued low pay-out for butterfat has again made the year a difficult one for most dairyfarmers, ' although the favourable rate of exchange has tended to ease the situation for them to a material extent. Weather conditions in the early part of the season were very favourable, and, during that period, a substantial increase in production over the previous year was shown. A dry spell m the new year, however, resulted in the earlier increase in production not being maintained. Late rains have proved beneficial to pastures and crops, and settlers will be able to look forward to the winter season without fear of any serious feed shortage. A pleasing feature of the year's operations has been the enhanced prices obtained for wool and lambs; and sheep-farmers generally may be said to have had a very good season. With another such season most sheep-farmers will probably have recovered from the several disastrous years which they have experienced. . . ' The Land Board has had to deal with many cases of applications for relief, particularly by dairyfarmers, and substantial concessions have been granted by way of remissions and postponements of rent and interest, where necessary. This relief has enabled many settlers to carry out the usual top-dressing and prevent deterioration of pastures. Numerous development loans have also been granted to "Crown lessees of undeveloped or partly developed land ; This has enabled many settlers to bring in areas and increase production which would not otherwise have been possible owing to the difficulty of obtaining finance outside.

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