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1935. NEW ZEALAND.

KAURI-GUM INDUSTRY (REPORT ON THE) FOR THE YEAR ENDED 31st MARCH, 1935.

Presented, to both Houses of the General Assembly pursuant to Section 5 of the Kauri-gum Industry Amendment Act, 1914.

Sir, — Department of Lands and Survey, Wellington, Ist August, 1935. I have the honour to submit herewith the annual report under the Kauri-gum Industry Amendment Act, 1914, for the year ended 31st March, 1935. 1 have, &c., W. Robertson, Under-Secretary. The Hon. Sir E.A, Ransom, Minister of Lands.

Market conditions during the past year have not shown any appreciable improvement. The demand for medium-grade (varnish) gums has shown a continued falling tendency, with prices still at a low level. Some slight improvement in prices for the lower-grade (linoleum) gums has been noted, and there is a fair demand for this class of gum from England and the Continent. The American demand, however, is still confined almost entirely to varnish grades. For the time being kauri-gum has lost its position in the varnish and lacquer industries. Hope for the future of the industry exists, however, in the production of pure gum by a new solvent process, the possibilities of which are at present being investigated. Undoubtedly a standard purified product of a high quality can be prepared, but commercial production has not yet been advanced sufficiently to ascertain whether it can be marketed profitably under constantly increasing competition from the synthetic resins and plastics. Export of Kauri-gum. For the year ended 31st March, 1935, the export amounted to 3,412 tons, of the value of £91,070, an average price of about £27 per ton. The tonnage, value, and average price per ton of the export for the past fifteen years are — Year ended Tonnage v , Average 31st March, exported. ' per Ton. £ £ 1921 6,131 - 521,701 85 1922 3,968 391,301 98 1923 6,080 520,409 85 1924 6,923 640,712 92 1925 5,132 446,019 82 1926 5,495 414,420 75 1927 4,529 301,335 66 1928 4,531 267,559 59 1929 4,566 241,223 53 1930 1,911 264,452 53 V-- 1931 3,145 155,602 49 1932 3,164 124,757 39 ' : 1933 2,056 57,970 28 1934- 3,378 83,945 25 1935 3,412 91,070 27