H.—29.

conditions for New Zealand fruit in the United Kingdom and Europe, and one result has been a reduction in the Swedish duty on New Zealand fruit from 4s. to 2s. a case. Reports indicated that the bulk of the 1935 fruit-exports reached their destination in good condition, with the exception of Cox's Orange Pippin, in which there was a considerable incidence .of bitter-pit. The prices obtained for apples in general were considered satisfactory. Pears were disappointing in regard to both price and condition. Their keeping quality was poor in comparison with that of the 1934 exports. This, combined with excessive supplies from Australia, resulted in low prices. It seems that the quantity of pears shipped to the United Kingdom from all countries reached saturation-point in 1935, and the matter of New Zealand exports calls for consideration. The Government guarantee relative to the 1935 exports applied only to fruit shipped to new markets. Apart from that, the Government contributes to the New Zealand Fruit-export Control Board's Central Guarantee Fund up to £12,500. The liability of the Government under the arrangement does not exceed £12,500 for each year. Government assistance to the Central Guarantee Fund ceases with the payment for 1937, by which time it is expected that the fund will have become self-supporting. As a result of careful organization in the past, New Zealand fruit has gained a good position on overseas markets, and every possible effort is being made both to hold and to improve this position. Citrus-growing continues to make steady progress, and there has been a further increase in the area planted in lemons and in sweet oranges, which are now receiving considerable attention. The lemon crop has been satisfactory, and shows evidence of improved quality in commercial lines. With the prospect of increasing crops, marketing arrangements rightly are receiving attention : in North Auckland provision is being made for central grading and packing and the manufacture of by-products, such as lemon-peel and lemon-juice, is being considered. In North Auckland the extraction of passion-fruit juice is being carried out on a fairly extensive scale. The establishment of a new cannery at Hastings for pulping and preserving fruit and for the manufacture of jams and sauces is an interesting development. A steady increase is taking place in the culture of vines for both wine and table purposes. The quantity of wine produced for the current season is estimated at 148,000 gallons —an increase of 10,000 gallons in comparison with the previous year. The season was favourable for the more important pests and diseases affecting the main orchard crops —e.g., codlin moth, leaf roller, and black spot. In general, growers adopted appropriate control measures. Fireblight made very little headway during the year. The successful eold-storing of fruit is a very important factor in the orchard industry,. and considerable work, including experiments in co-operation with the Department of Scientific and Industrial Research, has been devoted to it. The work with certain new features is being continued. While the local markets have been well supplied with fruit, some further improvement may result from cool-storage facilities which are being considered by Otago orchardists. Other Branches oe Primary Industry. The highly satisfactory position in respect to quantity and quality of products recorded in respect to the main primary industries of the Dominion has been duplicated in certain primary industries which though smaller are of considerable current importance —importance which may readily increase if marketing difficulties increase or develop in respect to the products of the mam primary industries. pig-keeping. It has been demonstrated well and often that there are great differences in the financial returns obtained from pig-keeping as a side-line in dairying, and that the potentialities of pigkeeping associated with dairying are far from being fully realized ; numerous actual farm results show that an output of 40 lb. of pig-meat per 100 lb. of butterfat produced may be obtained with little diffculty and expense. It is gratifying that this knowledge is being translated into practice more and more. As some evidence of this is the increase of approximately 100,000 in the number of pigs in the Dominion at 31st January —758,064 in 1935 and 660,393 in 1934. Other evidence lies in the killings for export. These were in the season 1925-26, 28,819 porkers and 21,184 baconers; in the season 1930-31, 110,092 porkers and 22,308 baconers; in the season 1933-34, 361,430 porkers and 103,181 baconers; from the Ist October to 30th June, 1933-34, 338,44-4 porkers and 102,535 baconers ; for the corresponding nine months of 1934-35 season, 417,461 porkers and 148,999 baconers.

2—H. 29.

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