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consistent effort in order to make a success of his venture. Here it is that good supervision, exercised by tactful men who understand the Maori, can render the best assistance by suitable encouragement, especially during the months when returns are small and appear insufficient reward for the work undertaken up to that time or in prospect. In sheep-farming, where there is one wool cheque a year and stock is sold during a short period only, a high degree of self-reliance is required not only to finance the home and farm, but also to carry out maintenance to plant, buildings, gates and fences, and to husband the stock without any expectation of a return for many months. Undoubtedly this has accounted for the high popularity of dairying among the Maori farmers, for many feel that the quick and recurrent returns from their labours each month more than compensate for the additional toil and self-discipline required in a dairy-farmer. Farm Production Although New Zealand is capable of growing a wide variety of crops, the climate and soil fertility arc especially conducive to pastoral pursuits. Even in the cold seasons, grasses make some growth, and stock can be wintered in the open, their food-supply supplemented in some measure by hay and ensilage, which are for the most part products of the land in the season of flush growth harvested to supplement the feed upon which the stock is wintered. The possibility of all-the-year-round pastoral farming has probably been the cause of its having greater favour in the North Island compared with cropping. The Native land development schemes in the South Island have this year produced commercial crops of potatoes, peas, and barley with a small quantity of wheat. In addition, 26 tons of chaff were also obtained. Occupiers of Native land development farms (units) arc almost invariably nominated upon a recommendation of the Native Land Court. The Court's recommendation of a unit for any property is given only after a public hearing, and takes into account the wishes of the owners of the property, the industry and capacity of the nominee, the proposals of the Department's local farm supervisor, and relevant circumstances. Notwithstanding the care given to the selection of occupiers, some fail to attain the standard necessary for success as farmers. As the total number includes many who arc but recently settled and have not yet been adequately tried as farmers, the number of units considered as unlikely to become efficient farmers is very small indeed. In the case of unsuccessful farmers, application is made to the Court for the recommendation of another person to take over the farm, but no change is made until every opportunity has been given to the unsuccessful unit to overcome any lack of experience or training which may be retarding his progress and so prove his right to further trial. During the year, grants amounting to £141,485 were received from the Consolidated Fund by way of labour subsidies. This money has been expended on the development of marginal lands which, without some form of financial assistance, could not be brought into production and so made to bear its resident population, for it must not be overlooked that the land is always found in association with the people. The gross expenditure of public moneys for the year on all the agricultural and pastoral schemes controlled by the Department, including labour subsidies, was £780,014 (compared with £668,400 for the previous year), while receipts from farming operations amounted to £667,807 (compared with £574,455 for the previous year). Thus the year's working, without recourse to new capital, resulted in a surplus of £29,278 after the payment of £98,100 to the Consolidated Fund in interest charges. Expenditure under the Native Housing Act, 1.935, amounted to £39,613, while during the year housing mortgagors made repayments of principal £20,121 and met interest charges of £4,000. Cash collections by the Department under each heading showed some variation when compared with the previous year. Receipts from butterfat increased by 23 per cent., while the Department's share of wool proceeds dropped by 9 per cent. Sales of live-stock brought an additional 24 per cent., but the returns from miscellaneous items (including crops), which are grouped under the heading " Sundries," fell by 15 per cent. Taken over the whole, the collections in cash were 16 per cent, above last year's total. The actual amount of the revenue collected under each heading was as follows : butterfat (representing the Department's retention, which averaged 44 per cent.), £192,484, compared with £156,000 for the previous season ; wool sales, £103,036, as against £112,803 for 1944 ; live-stock sales, £336,500, in comparison with £269,324 for the previous year ; and sundry receipts (crops and other farm produce), £30,479, the previous years receipts being £36,301. On State-controlled schemes the volume of dairy-produce increased last year from 4,816,281 lb. to 5,756,5911b., while the wool clip of 5,925 bales showed an increase of 225 bales over the 1944 season. The nineteen stations financed by the Native Trustee and the Maori Land Boards produced a total of 2,069 bales of wool of a gross value of £37,133, as compared with 2,033 bales (£38,723) for the preceding year ; sales of live-stock on these properties reached £60,386, in comparison with £50,211 in 194-4. On the East Coast Trust stations, 3,653 bales of wool were shorn, the previous year's clip being 3,650; live-stock sales amounted to £105,006 (£85,765). The live-stock returns at 31st March, 1945, show an increase in dairy cattle and breeding-ewes, with a drop in the numbers of other stock carried. The tallies, with the previous year's figures shown in parentheses, on the farming schemes financed by the State were as follows : cows milked during the season, 43,382 (39,500) ; other dairy stock, 20,291 (22,600) ; run cattle, 26,954 (30,500) ; breeding-ewes, 163,173 (160,200) ; dry sheep, 116,779 (128,100). The sixteen Native Trust stations were carrying 7,559 (7,300) run cattle, 32,350 (31,700) breeding-ewes, and 30,410 (34,900) dry sheep, while the figures for the three Maori Land Board stations were 2,972 (3,350) run cattle, 17,552 (18,500) breeding-ewes, and 14,212 (11,600) dry sheep. Weather In the far North the weather this year was favourable for dairy-farming, the abundant summer rains bringing a growth of grass that is unusual, but in this case welcome, as it was the means of increasing the butterfat production to a figure much higher than that of the preceding year, The Waikato district

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