8.—6.

The total gross expenditure on the development schemes and unit farms at the I 31st March last was approximately £905,623, while credits amounted to £315,350, leaving a net expenditure to that date of £590,273. The gross expenditure for the year ended on the 31st March last amounted to £191,726. Credits during the year reached the sum of £104,382, leaving a net increase of £87,344 in the expenditure on development. The collections from the schemes for the first three months of the current financial year show an increase of 55 per cent, on the figures for the corresponding period of last year, leading to the justifiable expectation of further substantial progress over the full year. SMALL-FABMS SETTLEMENT. As a partial remedy for unemployment the original Small Farms Scheme l was inaugurated. Areas ranging from 5 acres upwards were acquired under agreement to lease and suitable unemployed workers were chosen as occupiers. The intention underlying this scheme was to provide holdings where the tenants could have a garden, run a cow or two, fowls, &c., and also obtain two or three days' work each week from outside sources. The administration of this scheme was placed in the hands of the Department of Agriculture, and while it was in operation some 488 men were placed. It was soon realized, however, that this method of settling men could only be regarded as a temporary palliative, except in localities where plenty of seasonal work was available over a fairly long period, such as near freezing or other works. The Small Farms Board was then constituted in April, 1933, and immediately commenced a programme of acquiring areas which would provide the occupier with a living without relying on outside work. Applicants lor farms were advised to try to obtain options over properties which could be purchased, developed, and stocked at a total cost not exceeding £1,200. The Board also acquired several areas of undeveloped and partially improved land and properties which had been gradually deteriorating because the original owners lacked sufficient finance to farm the land successfully. These areas are being developed by the use of unemployed labour, and all improvements are being carried out prior to settlement. The method of selection of permanent occupiers for the subdivisions is by ballot among the most suitable of the married workers engaged on the development-work. Since its inception the Board has established 359 individual settlers on an area of 24,035 acres, while the development of a further 38,711 acres now in hand will eventually provide another 491 holdings. While the total figure of 850 farms may not appear to be large in comparison with the total number of unemployed in I\ew Zealand, it should be realized that the settlement of this number means the building of 850 cottages, cowsheds, and outbuildings, the erection of many miles of boundary and subdivisional fencing, the clearing and grassing of thousands of acres, and the construction of new roads and schools to cater for new settlements. It is interesting to note that up to the present on fifteen of the blocks under development over 120 miles of new fencing have been erected. Bight hundred and fifty new settlers, with their wives and families, means a total population of about 3,500 people. Established farms also provide indirect employment to other workers. In connection with the development operations referred to previously, 1,257 unemployed men are at present employed on definitely reproductive work, and, of these, 491 may ultimately expect to get sections on completion of the work. These men have shown great keenness and, with the incentive of obtaining good farms to spur them on, excellent results are being obtained. All cottages on small-farms and development blocks are being erected by contract, hence the building and allied trades are also benefiting to some extent by the scheme. Another scheme of which considerable advantage has been taken, and which still offers some scope, is known as the | Share Milkers' Cottage Scheme." The Small Farms Board is prepared to advance up to £300 for the erection of a cottage and/or a cow-shed on privately-owned farms on condition that the owner engages

Finance.

Small Farm Scheme.

Small Farms Board.

I Share Milkers' ; Cottage Scheme. 3

15