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Contract Growing of Pedigree Strains. —As more supplies of nucleus seed of pedigree or selected origin have become available extensions have been made in the areas sown out under contract to the Department. The areas coming under this heading in the 1937-38 season included : Perennial rye-grass, 35 acres ; white clover, 46 acres ; red clover, 3 acres. Arrangements are now in hand for the sowing-down of further areas of each of the above seeds, while an area is also being sown to a specially selected strain of Italian rye-grass. It is expected that over 100 acres will be harvested under contract in the ensuing season. Additional to the above, the Canterbury Agricultural College is handling along similar lines, and under the supervision of this Department, the production of supplies of cocksfoot-seed of a selected strain. The demand for seeds harvested from these special areas (certified Government stock seed) has been such that it has been found impossible to fill in their entirety all the orders received. Reports received during last season from those farmers who have established pastures with certified Government stock seed are all very encouraging, and a very bright future exists for seeds of superior strains. Perennial Rye-grass. —A little under 8,000 acres of perennial rye-grass were entered for certification in the 1937-38 season, this being a slight reduction on the acreage entered in the previous season. A considerable increase is being shown, however, in the quantity of seed being accepted under the scheme of certification as " Commercial," where acreage figures are not available for comparison, and it is considered that over the whole of the 1937-38 season a definite increase in the quantity of perennial rye-grass seed finally certified will be recorded. While in some localities, as was the case in the previous season, adverse weather conditions have resulted in a reduced acreage being harvested for seed purposes, the seed which has been obtained has, in general, been of higher germinating-capacity. Nevertheless, there is insufficient seed available to fill all requirements and the present supply of seed is very low. A feature of this season's operations has been the availability for the first time of certified pedigree perennial rye-grass seed. This seed is the once-grown product of certified " Government stock " seed mentioned earlier. The several thousand bushels produced in this grade were rapidly adsorbed through commercial channels at premium prices, and served to a certain extent to allay the insistent demand for supplies of the higher grade of seed produced under contract. Nevertheless, the demand for certified " Government stock " seed still exceeds the supply, a quantity of over 1,000 bushels available from the 1937-38 harvest having already been absorbed by the orders received. Cocksfoot. —A further increase has been shown in the acreage of cocksfoot-seed entered for certification, the figure for the 1937-38 season being 8,300 acres. The seed harvested is in much better condition than was the case in the 1936-37 season, no difficulty being experienced in dressing lines to the standard required for certified seed. The production under certification of a selected strain of cocksfoot-seed has resulted in the placing on the market of commercial quantities of this superior strain. As in the case of perennial rye-grass, the seed is certified in one of two classes. One area passed certification in the Government stock seed class, while several other areas qualified in the pedigree class. In addition to the usual identification of the particular type or strain, a high degree of freedom from rye-grass seed in the machine-dressed article is demanded before certification is granted in either of these classes. In the 1937-38 season it has been found necessary to degrade the produce of several areas on this one point of rye-grass impurity. White Clover. —The certification of white-clover seed by the method introduced at the commencement of 1937 is being continued, the effect of the change being shown in a vastly increased quantity of seed being certified. During 1937, for instance, the quantity of seed certified under this method exceeded the total quantity previously certified during the eight years during which a certification scheme has been in operation. In addition to the certification of seed in the mother and permanent-pasture classes as indicated above, a few areas sown out with certified Government stock seed have now qualified under a method of field inspection and sample testing for certification in a pedigree class. The quantity of white clover-seed produced on contract to the Department in 1937-38 season was well below expectations. This has been occasioned by adverse seasonal conditions, and as a result it will be impossible to meet more than a small proportion of the inquiries received for certified Government stock seed. It is the aim of the Department to build up a reserve supply of this seed at the first opportunity in order to offset the occurrence of similar circumstances in future. Red Clover. —The production under certification of Montgomery-red-clover seed has not progressed as was anticipated, despite a further substantial increase in the area entered, making a total of 1,200 acres under certification this season. Here again adverse seasonal conditions supply the reason for the small quantity of seed harvested. Continued wet weather in the principal seed-producing district— South Canterbury —has resulted in the almost complete inability to harvest a satisfactory seed crop. As a result mercantile firms have, of necessity, made recourse to the importation of seed of this strain from England to supply the demand which now exists in this country. The certification of the broad red type of clover is at present receiving consideration, and preliminary work in this direction is being undertaken. Brown-top. —Though the entries for brown-top certification are not yet complete, there would appear to be no great variation in the areas being harvested for seed. The certification of brown-top seed seems now to have reached a more or less stable level, and as no selection or breeding programme is under consideration it is not likely that any further developments will be made in respect of this seed for some considerable time at least.

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