H.—29.

ANNUAL REPORT OF THE DIRECTOR-GENERAL The varying influences of war tend to create new and unexpected difficulties. Despite the problems that have arisen during the year under review, the main objective of the Department—increased production—has been steadfastly pursued, and commendable results have been achieved. The area sown in arable crops, particularly wheat, oats, and barley, has been maintained at a reasonable level, and in view of the excellent growing season, the estimated high yield from these crops should materially assist the stock position. Although slight decreases have been recorded in the actual acreage of some crops, this has, in the main, been substantially offset by yields higher than the average. A gratifying increase has been shown in potatoes, which have arisen from 15,200 acres to approximately 22,000 acres. It is anticipated that the resulting crop from this area will be sufficient to meet all Dominion requirements and allow considerable quantities for overseas forces. The sowings of linen flax reached a new level during the year, the area having increased from 15,000 acres to 22,000 acres, thus enabling New Zealand to ship 180 tons of linen-flax fibre monthly to Great Britain. The Services' Vegetable Production Scheme, inaugurated to meet the demands of the armed forces for fresh vegetables, involved considerable organization. Projects were established in various parts of the Dominion, and arrangements were also made with private contractors to provide supplies. Deliveries to the armed forces commenced in December, 1942, and in the four months ended March, 1943, over 6,000,0001b. of fresh vegetables were delivered from these projects. Prom private contractors a further 2,000,000 lb. were obtained. Of the above, over 2,000,000 lb. have been shipped to the United Nations forces in the South Pacific. The greatly-increased demand for eggs has necessitated a close investigation of the poultry industry. Steps have been taken to build up the poultry flocks of the Dominion and to provide practical assistance to the industry. A drive to increase the number of backyard poultry-keepers and to influence the keeping of larger flocks of birds on general farms has also been undertaken. The request from Great Britain for increased supplies of butter involved further changes in the dairy industry. During the 1941-42 season four thousand three hundred dairies were changed from cream to milk delivery. Practically the whole of this number have now reverted from milk to cream supply to meet the United Kingdom requirements. Circumstances have necessitated further rationing in fertilizer during the past year. Organic fertilizers have been brought under the rationing regulations, and special reserves have been set aside for market-gardeners. In conjunction with the British Phosphate Commissioners, the Government has explored the possibilities of the Clarendon phosphate deposits, and arrangements have been made with the British Phosphate Commissioners for the quarrying of high-grade rock at Clarendon. Deliveries of this rock are now being made to South Island manufacturers, and the Commissioners anticipate a delivery of some 12,000 tons during the ensuing year. There is a further possibility of low-grade rock to the extent of 20,000 tons) being available during the next twelve months. The possibilities of securing large quantities of both high- and low-grade phosphate from the Clarendon deposits appear excellent, and this should materially assist the fertilizer position in the Dominion. The National Council of Primary Production, District Councils, and other producer organizations continue to render invaluable assistance to the Government. Their close contact with the farmer has been of practical assistance in the administering of the fertilizer-rationing scheme. They have given helpful reports on matters affecting manpower, and generally assisted the production policy of the Government. The wartime requirements in agricultural products continue to increase. The maintenance of supplies to Great Britain, the necessity to fulfil our obligations to the United Nations forces in the South Pacific, and growing consumption within the Dominion represents increasingly heavy commitments. Nevertheless, the farmers of the Dominion realize that a policy of expanding production is vital in many commodities. The co-operation existing between the Department of Agriculture and producers is to a large extent responsible for the results achieved during the past year, and is an assurance that the demands of the future will be met to the fullest possible extent. Mr. A. H. Cockayne, who has occupied the position of Director-General since 1936, retired on the 31st March, 1943. The following reports of the Directors of the respective Divisions indicate the wide range of departmental activities in greater detail. E. J. Fawcett, Director-General.

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