CROWN LANDS DEPARTMENT. (REPORT UPON THE), FOR THE YEAR ENDED 31st MARCH, 1887.

Appendix to the Journals of the House of Representatives, 1887 Session I, C-01

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1887. NEW ZEALAND.

CROWN LANDS DEPARTMENT. (REPORT UPON THE), FOR THE YEAR ENDED 31st MARCH, 1887.

Presented to both Houses of the General Assembly by Command of His Excellency.

The Secretary for Crown Lands to the Hon. the Minister of Lands. Sir,— General Crown Lands Office, Wellington 27th May, 1887. I have the honour to forward the annual report and returns of the Crown Lands Department for the twelve months ended the 31st March, 1887. I have, Ac, James McKerrow, The Hon. J. Ballance, Minister of Lands. Secretary for Crown Lands.

BEPOBT. The main effort of the Land Department in this, as in the last few years, has been directed, not to raising revenue by cash sales of the Crown lands, but to the promotion of the occupation of the country by a population holding the land on residential and improvement conditions. This year is remarkable for the greater development of this feature in respect of the encouragement offered to settlers and in the fact that the number of selectors is much greater than that of any former year, and more than double the usual average. Thus, the number of selectors for the twelve months is 2 424 absorbing 245,000 acres, as against an average of 878 selectors and 121,257 acres for each of the previous eight years, beginning with 1879. The increase is mainly due to the special-settle-ment and village-homestead systems; the latter, more especially, having originated in the endeavour to draft the unemployed from the large towns to the country. The special inducements which were offered in dealing with that class will be detailed further on. In accordance with the rule observed in former annual reports, a general statement of the year s operations will now be given before remarking on the several heads. Land sold on immediate payments— . A li P Purchasers. Scrip. Cash received. Town 46 139 1091 £ s. d. £ s. d. Village small farm ... 227 227 65, lgs 11Q 36 653 6 0 Suburban 430 1 16 741 Eural 32,633 1 36 243 j Lands sold on deferred payments — Acres. Selectors. Rm-al ... ... 50,527 557 ) Instalments from these and Nine special settlements... 43,873 455- from former selections still Village small farm ... 585 112 J current ... ... 67,290 0 0 Agricultural leases on goldfields— 475 acres, leased to 14 selectors—rents from these and former selections current from former years ... ••■ ••• ••■ J'93* 1 1 Perpetual leases — . 49 475 acres, leased to 249 selectors—rents from these and from selections 'of former years ... ... ••• , ••• - 6 >091 1 1 Small areas under section 161 of " The Land Act, 1885 "— 854 acres to 23 selectors ... •■• ••• ■•• dy u u Village homestead settlement — 28,700 acres to 896 selectors Homestead — 6,977 acres to 49 selectors Small grazing runs— n 105 857 acres to 68 selectors—rents from these and from former selections a,Wo a 0 I—o. 1.

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Cash received. Pastoral rents— £ s. d. From 11,006,557 acres held in I,236leases ... ... ... 170,595 17 8 Miscellaneous — Coal and mineral leases, timber-licenses, &c, about ... ... 18,800 0 0 Total ... ... ... ... ... £305,208 8 10 Land sold. The cash sales on freehold tenure have diminished very much of lato years, partly, no doubt, from the available Crown lauds lying farther back, but in a greater degree from the policy of offering all the best lands, on settlement conditions, as they become opened out by roads. With the exception of town lands, which are always sold for cash, there is very little opportunity given for acquiring Crown lamls on immediate payment. Eeseeves. For the twelve months ended the 31st March, 1887, 289 reserves, covering an aggregate area of 87,018 acres, were gazetted for the following public purposes : — A. B. P. 21 reserves for endowment of primary education ... ... 7,917 2 6 45 reserves for endowment of boroughs and town districts ... 210 1 30 25 reserves for recreation ... ... ... ... 551 3 3 51 reserves for forests ... ... ... ... 76,411 1 8 147 reserves for miscellaneous ... ... ... ... 1,927 023 Total ... ... ... ... 87,018 030 The reserves for education, boroughs, and town districts were made in terms of " The Education Reserves Act, 1877," and of "The Land Act, 1885." The forest reserves have been made on the advice of the Chief Conservator of Forests, and comprise valuable timber belts, and also areas of open lands selected as the sites of future forests. The total areas of Crown lands included in forest reserves now amount to 682,625 acres. The 147 miscellaneous reserves comprehend the areas set apart as sites for the various public purposes detailed in section 227 of "The Land Act, 1885." Settlement Conditions. Although there are considerable differences in the conditions of the land tenure under the various modes of settlement, they all proceed on the principle that the occupancy of the land and its use and improvement are essential conditions, failure to comply therewith being forfeiture of the land. The greatest difference is that, in the deferred-payment system, in the agricultural lease of the goldlields, in the perpetual-lease system exterior to the proclaimed goldfields, and in the homestead system the land on fulfilment of conditions becomes freehold ; whereas in the perpetual-lease system within the goldfields, in the small areas under the 161st section of " The Land Act, 1885," in the village-homestead and the small grazing-run systems the land is held on lease, with right of renewal and periodical adjustments of rent, but with no right of acquiring the freehold. As the Crown lands are almost entirely administered through these systems, it will be worth while reviewing each shortly, even at the risk of recapitulating what has already been said in former reports. Deferred Payments. —ln this, residence, with certain exceptions, is compulsory for the first six years on rural land, and on suburban land for five years. In both cases substantial improvements have to be completed within these periods. The freehold of rural and suburban land is, in ordinary course, obtained respectively in ten and five years from the commencement of the term ; but in the case of rural land there is the option of completing the freehold at the end of six years on payment of the balance of purchase-money. This system is the most popular, and since 1873 has been availed of by about eight thousand persons, who have selected over one million acres, of which area one-third has been made freehold by fulfilment of conditions. A sum of about £660,000 has been paid in instalments, and there remains current 4,545 settlers, holding 586,055 acres, on which £366,413 has been paid up to the 31st March last; and there remains to be paid in future instalments the sum of £676,091 as they become due. During the year 1,012 persons have selected 95,400 acres on this system, and 33,500 acres have been made freehold. There is thus a continual progression of settlers moving on in the different stages of selecting land, of fulfilling conditions, and of becoming freeholders. In the Otago Land District, where the system has had much the greater development, seventy settlers made freehold of 11,248 acres, having paid in all £20,162 ; and in Canterbury, where the village system of small areas has been very successful in settling industrious, thrifty families on small areas, 101 holdings, aggregating 330 acres, or an average of a little over three acres each, have been made freehold. Capitalization. —Undeß this the settler has, at any time after the first year, the option of capitalizing the remaining instalments and postponing the payment of principal till fourteen years from the commencement of the term; meanwhile he pays interest at 5 per cent, per annum. This is a very great assistance to settlers, and has been availed of by 997, holding 138,852 acres, owing in future instalments running over what remains of the ten years an aggregate sum of £192,712, and by capitalization £164,612. The immediate effect of this process on the revenue is to diminish

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it by considerably more than a half. So large a number of capitalizations has also materially aided in reducing the sum outstanding in arrears, which on the 31st March, 1686, was £32,150, while on the 31st March, 1887, it was £22,450, or nearly £10,000 less. The Land Act provides another way of relieving deferred-payment settlers who may require assistance, in the option given of exchanging the deferred-payment lease or license for a perpetual lease of even date. By this the annual payment of rent is reduced to one-half the amount of instalment, and one-half of the back payments of instalments go to credit of future rents. No one, however, has elected to come under this method. Although giving greater immediate relief than capitalization, all seem to prefer the capitalization and payment of interest, thereby retaining the opportunity of securing the freehold. Special Settlement. This system is founded on the main lines of the deferred-payment and perpetual-lease conditions, modified by regulations restricting the maximum area on the deferred-payment system to 150 acres, and on the perpetual lease to 200 acres, instead of to 320 and 640 acres respectively, as in Parts 111. and IV. of " The Land Act, 1885." On the other hand there are concessions in favour of the purchaser : he is one of an association that has a block of land assigned to it at a definite price, which cannot be less than £1 an acre, and usually does not exceed that by more than a few shillings. All the sections of the block are of an uniform price per acre, and the allotment of them is by ballot confined to the members of the association. Personal residence of the purchaser on his section during the first six years is not imperative as in the Land Act, but may be performed by a registered substitute. The attractions of the system are in the residence condition and the fixed price per acre. The expedient of registering a substitute enables any one to employ labour in clearing and improving his land against the time when it may be convenient for himself to remove to it, or to transfer it to another; and the fixed price disposes of the uncertainties attendant on the auction and tendering systems. As yet the special-settlement associations have all taken the land on deferred payment. During the year nine associations, comprising 4-55 selectors, being part of the 1,012 already mentioned, have had allotted 44,900 acres under special-settlement conditions. There are other five associations who will shortly be in a position to allot 40,000 acres among their members. Nelson System of Deferred Payment. — There are neither residence nor improvement conditions required of the selector in the so-called leasing system of Nelson. The Crown lands in that district are open for selection before survey. When an application is made, the Land Board fixes the price per acre, on which the selector pays 10 per cent, per annum for fourteen years, when the land becomes freehold. It would be easy to raise objections to the system, but it works well, and is suitable to the conditions of the land district. Perpetual Lease. —This gives the settler the opportunity of obtaining an area of land not exceeding 640 acres on lease for ever at a rent of 5 per cent, on the valuation, subject to appraisement of rent by arbitration at the end of thirty years from the commencement of the lease, and thereafter at the end of every recurring period of twenty-one years. The tenant has the right of surrender and transfer, the value of all the improvements on the land being secured to him on very favourable conditions. There is also the right outside goldfields to convert the leasehold into a freehold at any time between the end of the sixth and eleventh years from the commencement of the lease, on paying the original capital price of the land. On these terms 249 selectors have leased 49,000 acres for the twelve months ended the 31st March, 1887. Small Areas (Section 161, Land Act). —This provides for the perpetual lease, without right of purchase, of areas not exceeding fifty acres each. The greater attraction of the special-settlement and village-homestead systems has withdrawn attention from this form of settlement for the present. Only twenty-three selections, of an aggregate area of 854 acres, is the result for the year. Agricultural Lease of the Goldfields. —In the early days of the goldfields the agricultural-lease system was devised and adapted to allow of the use of the soil for cropping, subject to the ground being taken when wanted for mining purposes. It served that object well; but, now that the auriferous country is much better known, it has been superseded in great measure by the deferredpayment and perpetual-lease systems, which, in the residence and other conditions, check speculative applications, and insure the land for those who are willing to occupy it as resident settlers. The return of the year is fourteen leases, covering 475 acres. Village and Small-farm Settlement. —One of the features of this system is, as the name implies, the dealing with small areas, which, for village lots, do not exceed one acre, and for small-farm lots fifty acres. Usually the latter do not exceed ten or twenty acres. A price per acre, from £1 to £10, is fixed for each lot, according to value. The lots may either be disposed of for cash or on deferred-payments, but in either case only one section is allowed to a purchaser. If on deferred-payment, the land is held on the usual residence and improvement conditions of that system. In the case of more than one application on the same day for a section the occupancy is determined by ballot; hence there is no increase on the price of the land, no matter how many may apply for the same section. This system of settlement became law in the year 1880, and has been very successful in establishing knots of fifteen, twenty, and thirty industrious, thrifty families in several districts of the colony, greatly to their own advantage and that of the districts in which they reside. During the year 112 selectors on deferred took up 585 acres, and sixty-five cash selectors 227 acres ; and, of former village and small lots held on deferred payments, 134 settlers, holding an aggregate of 856 acres, completed their payments and became freeholders,

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Village Homestead Settlement. —With the object of finding a way to enable such of the unemployed in towns as were willing to go to the country to occupy land an opportunity of doing ao, it was not only necessary to open land on very easy terms, but also to recognize that for the first year, at least, substantial aid would have to be given as well. Regulations were accordingly issued, offering £20 to each settler towards the erection of a house, and £2 10s. per aero in bush land for felling, clearing, grassing, and fencing, up to twenty acres. Advances to be made as the work proceeds, and to bear interest at the rate of 5 per cent. Up to the 31st March, a period of nine months since the opening of the first land on the system, 896 persons have taken up 28,780 acres, or an average of about thirty-two acres each. These are all over the colony, but the greater number arc in the districts north of Auckland. One important element of success in the ordinary village and small-farm settlements has been their location in settled districts, where employment could be had at certain seasons of the year from the farmers around. The settlements in the North are not well situated in this respect, but in the gumflelda adjacent the settlers have a bank to draw on when necessary. This class of settlers, beginning without means, and many of them having but little knowledge of country-work, will have an up-hill task for a few years, but, with industry and frugality, plenty and comfort will begin to gather around their homestead as the land gets cleared and in crop, and there is grass for the cow. In the colonies the habit of dealing with large areas begets in some a sort of contempt for small holdings. This feeling has led many a settler in the eager desire to add field to field to go beyond his depth, ending in embarrassment and ruin ; while a more cautious neighbour, concentrating his energies on a limited area, which he could handle well, has attained to a position of substantial comfort and independence. With the growing of garden, orchard, and sub-tropical fruits, dairy-produce and poultry, the out-turn of a few acres is a large income. In the matter of small holdings it is interesting to note that in Great Britain, according to the returns obtained for the Agricultural Department, Privy Council Office, the number of agricultural holdings over one acre in extent in June, 1886, was 532,34-3, of which 368,691, or 69 per cent., were under fifty acres in area, the average being thirteen acres. In NewZealand the census returns for March, 1885, issued by the Registrar-General in a Supplement to the New Zealand Gazette No. 52, the number of holdings over one acre in extent is given as 36,485, of which 16,679, or 45 per cent., are under fifty acres, the average being sixteen acres. A comparison of the same statistics also shows that, while only one person in every sixty in Great Britain is a holder of an acre or more of land, the proportion in New Zealand is one to sixteen, with the distinction that in Great Britain the land is mostly on leasehold, while in New Zealand it is mostly freehold. Homestead.— The giving of land free, without any payment except the cost of survey, on the condition of personal residence and the improvement of a definite portion of the land within the first five years of occupation, was prior to the passing of " The Land Act, 1885," confined to the Laud Districts of Auckland and Westland. By that law the system was extended to each of the ten land districts of the colony, the area which may be set aside being limited to 3,000 acres a year for each district. Any one over eighteen years of age not already possessing land can obtain fifty acres, and the members of a family or household can obtain 200 acres in one lot. Blocks have been opened for selection in the Auckland, Westland, Otago, and Southland Districts. During the year twentyseven selections, covering 4,117 acres, were made in Auckand, and twenty-two in Otago, covering 2,860 acres. Small Grazing Runs. —Since the introduction of this system in January, 1886, an area of 168,485 acres has been taken up by 102 lessees to the 3.lst March last, of which sixty-eight leases, representing 105,857 acres, were let during the year at rents varying from 3d. to Is. Hd. per acre, the average being 7d. The long and secure tenure, the right to cultivate as well as pasture the land, and the other advantages pertaining to this mode of settlement, render it peculiarly well adapted to hilly country, where the greater portion of holdings must be kept in pasture. The maximum area which may be included in a small grazing run being fixed at 5,000 acres affords considerable scojm in adapting the size of the runs to the nature of the country : the full size in rough, stoop country, and a less area —it may be only a few hundred acres—where a considerable proportion of the land can be brought under the plough. There are large areas in the North Island to which this system is peculiarly well adapted. Of the country taken up on this system during the year, forty-four runs, comprising an area of 58,357 acres in scrub and bush, have boon let at an average of about sd. per acre, which but for this system would have remained unoccupied. .Crown Lands held on Pastoral Lease or License. —During the year 111 runs, comprising an area of 895,136 acres, were leased at rentals varying from Jd. to 3d. per acre. Of these, seventeen runs, agregating 23,794 acres, comprise the belt of sandhills along the coast-line between Waitotara and Rangitikei, in the Wellington District. This country is of no great value in itself; but the landowners behind it saw that, unless means were taken to preserve and nurse the natural vegetation, the sand would encroach on their farms. The land was not worth purchase at £1 per acre, and the law would not have permitted its being sold for less. The sandhills were therefore divided off so as to give each proprietor the opportunity of securing, on pastoral lease for twenty-one years, the jjortion in front of his land. This has been effected at a rent of ljd. per acre, to the satisfaction of those most interested in preventing the spread of the sand. The other runs leased are chiefly in Otago and Canterbury, where, in the high back country of the Lake Districts, there are frequent surrenders and releases of country taking place. Notwithstanding these changes, the number of leases, the area leased, and the receipts from year to year have been nearly alike for the last three years. On the 31st March, 1887, there were 1,236 leases, covering an area of 11,006,557 acres, yielding a revenue of £1.70,596, being £3,500 more than the previous year, and the largest amount ever received for rent in one year, except in 1882, when the revenue was increased by the rents paid a year in advance at the sale of the leases of a large number of the most valuable runs in Otago. The rents have come in very well upon the whole for

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the year : but there is a sura of nearly £3,000 outstanding in Otago, which the lessees in default have not been able to pay as yet, on account of the great expense of the rabbit-pest and the diminished carrying capacity of the country from the same cause. Part of this money will most likely never be recovered, as several of the back-lying runs have been abandoned, and it is on these back mountainous runs that the rabbit-difficulty is most felt, for the cost of clearing high-lying country of small-carrying capacity is often found to be more than the thing is worth. By giving long leases at nominal rents, and in other ways, the Land Department gives every encouragement to the lessees to cope with this great evil, which, although held in check over the older-infested districts, is, unfortunately, reported to bo extending its ravages by the back-country from Otago into Canterbury. Theemal Speings. More than usual interest has been taken in the North Island Hot Springs during the year, on account of the Tarawera eruptions on the 10th June, 1886. One of the immediate effects was to diminish the stream of visitors to Eotorua, the number of 'oaths taken for the twelve months ended the 31st March, 1886, being 6,250, as against 4,878 fortho like period ended the 31st March, 1887. There are reasons for believing that the diminution is only temporary, and that the stream of visitors will flow on stronger than ever ; for, although the Botomahana Terraces arc goirß for over, there are great attractions for the invalid and tourist at Eotorua in the splendid baths, fountains, ornamental grounds, the geysers of Whakarewarewa and Tikitere, and even in the grandeur of desolation of the great fissure, craters, and ejecta of the volcanic eruption itself. The time is not far distant when the grand tour of the North Island will be through the volcanic zone, taking in turn Te Aroha, Botorua, the sinter terraces of Waiotapu Valley and of Orakei - Korako, on the Waikato, which recall—the latter more especially—the memory of the beauty of the famous White Terrace of Eotomahana; the Alum Cave at Orakei - Korako; the geysers at Wairakei; the Huka Falls; Joshua's Baths near Taupo (a most beautiful retreat); Lake Taupo (an inland sea of 241 square miles, environed with bold and sloping shores and waterfalls); Toka-ano, on the south side of the lake, with its numerous hot springs and geysers ; the road by the Poutu Valley, and along the northern base of Tongariro, and by picturesque Lake Roto Airi, and thence for twenty or more miles along the eastern bases of Tongariro, Ngaruhoe, and Euapehu, on through most beautiful woodland and park-like plains, to the surveyed line of the central trunk railway at Waimarino, a point about half-way between the Cities of Auckland and Wellington, or a little over 200 miles from each. The Survey Department has for several years past been steadily at work opening out, bit by bit, a road to open out this wonderland to the traveller and the settler. At first there were considerable difficulties with the Natives, but these were overcome, and it only now remains to keep on with the road formations, which are easy, in the endeavour to have the line completed throughout by the time the railway, is open to Waimarino. Forty-five miles have been formed, and are in daily use for wheeled traffic; ten miles are in progress, and there are about fifty miles still to do, with several bridges. To the present and future generations of travellers, scientists, and invalids this region of mountain, lake, and healing-waters, when opened out, will possess an irresistible charm. The Te Aroha Baths have been a place of great resort ever since the railway was opened throughout from Auckland. The springs are on Crown lands, and are in charge of a Local Domain Board appointed by the Governor. The erection of bath-houses and laying-out of grounds were done at the expense of Government, and the fees from baths serve to discharge current expenses. The springs and railway react on each other to the advantage of both, and a small town has sprung up to supply the wants of visitors. The Hanmer Hot Springs, in Amuri County, ninety miles north of Christchurch, are not the only springs of that nature in the Middle Island, but Hanmer Plain is the only place where baths have been erected. An area of five acres has been enclosed around the baths and planted with an encircling belt of trees. There is a public reserve of 2,560 acres in connection with the springs, on which building-leases of seven acres can be granted for sixty-three years, on favourable terms, for houses of accommodation. There are now two houses where visitors stay, bat they are from one to two miles-distant from the baths. Proposals for a third house on an extensive scale, and close to the baths, were made several months ago, and either that or some other proposal will be given effect to before long, as the springs are drawing more and more visitors, and the: number will increase rapidly now that the bridge over the Waiau Eiver is about finished, and the journey can be made by rail and coach from Christchurch in a few hours. The following table gives the number of baths taken and the fees received at the three Government sanatoria for the twelve months ended the 31st March, 1887 :— Xo. of Baths. Voea. Eotorua ... ... ... ... ... 4,878 ... £151 10 0 Te Aroha... ... ... ... ... 28,553 ... 535 7 6 Hanmer ... ... ... ... ... 2,216 ... 95 0 0 ROTOEUA SaNATOBIUM HOSPITAL. From the opening of the institution in January, 1888, there have been forty-five Native and forty European patients, suffering from phthisis, rheumatism, &c, admitted, of whom twenty-four Natives and fourteen European*have been cured, and seven Natives and nine Europeans have been benefited. There are now ten Europeans under treatment. Foeest-teees Plantations. A very satisfactory report of the work done last year by the Plantation Board of Canterbury will be found in the Appendix. It contains the gratifying information that no less than 383 acres

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were sown with gum- and wattle-seeds, and 270 acres planted with pines and other forest-trees. Mr. Wright's observations on the small cost that the planting can be done are very encouraging, for there are large treeless districts in the colony yet in possession of the Crown that would be vastly improved by being clothed and adorned with plantations. A copy of his specification of work to be done in preparing land for tree-planting is given with the report, and may be useful to others about to plant. It is to be hoped that Mr. Wright's parting injunctions to the County Councils about keeping the plantation-fences secure against the inroads of cattle and sheep will be scrupulously observed, for neglect in that particular may causo the work of years to be undone in a few hours. In the Appendix will also be found a report on the Cardrona Nursery, Lake County, by Mr. E. McDougall, to whose spirit, energy, and valuable services given gratuitously for years we owe the creation of the nursery, and the practical proof of what trees arc suitable for the soils and altitude of the lake districts. The Maniototo County Nursery, near the main-road end of Eough Eidge, at an altitude of 1,700ft. above sea-level, has done a very useful work in showing what kinds of trees succeed in the interior of the country, and in affording settlers an opportunity of getting hardy acclimatized plants for their shelter-belts. The report of last year's operations has not yet reached this office, and therefore cannot be embodied in xhis report. Forest and Agricultural Branch. The department has for the last few years endeavoured to promote rural economy by disseminating information on dairy management, on olive- and silk-culture, and other subtropical industries ; by encouragement of forest-tree planting; and generally' by doing from time to time what seemed most likely to give an impetus to settlement. For more than a year the department has had the services of two officers solely devoted to these objects : Mr. Kirk as Conservator of Forests, and Mr. W. de G. Eeeves as officer in charge of the Agricultural Branch. Both have prepared annual reports lor publication which will enter into details, but it will be interesting to sketch here the main outlines of the year's operations : — In the School of Forestry, near Whangarei, a beginning has been made in the preparation of the ground for plantations and orchards; about 1,900 acres are being enclosed in a ring-fence, 600 acres have been ploughed, and it is proposed to plough 200 acres additional for plantations, and to plant fully 2,000 fruit-trees —oranges and olives, &c.; also to commence a series of experiments with grasses and forage-plants. A cottage and outhouses have been erected for the nurseryman, and other necessary work done, which need not be further detailed. Wairenga, Waihato. —On a reserve of Crown lands intersected by the railway-line a plantation of wattles and eucalypti was commenced last year, but on account of the dry season and poor soil the plants have not done well so far. It is intended to sow fully six hundred acres with wattle and red-gum this season. Puhipuhi Forest, about thirty miles north of Whangarei, contains a large amount of kauri. It is proposed to commence plantations on the south-west margin of this valuable forest, to act as a safeguard against lire from the surrounding fern. In the matter of bush-fires it is satisfactory to report that, notwithstanding the recent unusually dry summer, no serious fire occurred in any of the State forests in the Auckland District, In the Maniototo Plain, Otago, it is proposed this year to plough a portion of one of the plantation reserves set apart for forest purposes a few months ago, and to plant and sow it. There is no place in the colony where the creation of a State forest seems more necessary than in the dry, bare, open country of Maniototo, where within a radius of fifty miles there is not a single indigenous tree growing. Forest Begulations. —Eules for controlling the cutting and removal of timber in the State forests have been brought into force, and so far have worked satisfactorily. Agriculture. —In the Agricultural Branch Mr. Eeeves has devoted his attention principally to the dairy-factory system, which is gradually extending, there being about forty factories in operation, besides several extensive private dairies, where cream-separators and other factory arrangements are in daily use. The export of both butter and cheese for 1886 shows an increase in value on the previous year: in butter £105,537, as against £102,387; in cheese £45,657, as against £35,742. This is all the more gratifying in the case of butter, from the fact that, notwithstanding New South Wales took less by £5,500 than the previous year, the export to the other colonies and to the United Kingdom more than made up for that falling away in the demand for New South Wales, which has hitherto been the best market. The recent moist season there has rendered that colony less dependent on New Zealand for supplies for the present. Further, a great deal of systematic attention has been given lately in New South Wales to butter-making. Cream-separators have been extensively introduced, cool chambers erected in Sydney, and a well-organized co-operative system set at work to supply the market. Further, there is the import duty of Id. per pound, so that altogether the New Zealand farmer has more against him in that quarter than formerly. The supply of the English market is the hope of the future extension of butter export from New Zealand. It is being tried, and apparently with success; for in 1886 there were 635-J-cwt. exported, against 273cwt. in? 1885. The account-sales just received of a shipment from Wellington of good ordinary keg-butter in the cold chamber of one of the large steamers shows a gross return of from £3 ss. to £5 12s. per cwt. The unequal quality of the butter produced in the colony is what greatly lessens the price in the export market. Every effort should be made, by the dissemination of information about the make of butter, to raise the standard of quality. In the south of Ireland, where butter is the principal agricultural

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produce, the quality has been very sensibly raised by the establishment of the Minister Dairy School, near Cork, where the principles and practice of butter-making are taught to farmers' sons and daughters, also by a travelling dairy going round the country giving lessons in other districts. In the south-west of Scotland, where cheese is made extensively, the quality of the out-turn was greatly and permanently improved by the agricultural association introducing the Cheddar system, by employing a skilled cheese-maker to travel from place to place, making a cheese or two at a dairy in each district, and explaining the process to all who choose to attend. In similar ways the quality of butter and cheese in New Zealand could be improved and brought nearer one high standard, and it will have to be done if the settlement of the country is to advance, for dairy produce is the mainstay of successful farming on the 100- or 150-acre scale, and it is on the export in the cool chambers of the direct steamers to London that the future extension of this business must depend. All the countries of the world have now been brought so close to each other by steamship lines and submarine cables as to be so nearly equal, that no one has a preference in the free markets of the world except such as is legitimately due to a superior article. The country that cannot, or will not, keep up in quality with the similar products of other countries must succumb to a competition from which there is no escape. Bearing on the question of dairy products is the cultivation of the best and most nutritious grasses. Mr. Thomas Mackay's first volume on this subject is now in the press, and will be issued shortly. Bilk-culture. —lt having been shown that climate, situation, and soil of the greater part of New Zealand is suitable to the growth of the mulberry, and to the propagation and rearing of silkworms, the department has availed itself of the services of experts with the object of introducing this "home industry" among the class of smaller settlers. Mr. Schock, whose services are now retained for the work, has been actively distributing mulberry plants among the settlers around Auckland, and giving instructions as to the rearing of the silkworms. He has sent to Italy several pounds' weight of cocoons, the produce of last season, to be reeled, and it is expected the result will encourage the sending of more next season. The greatest difficulty apprehended in the successful introduction of silk-culture in New Zealand is the overcoming the prejudice and inertness of the population, to whom the industry is entirely new; but this is a difficulty which has to bo encountered by all new industries in the earlier stages of their history. Mr. Schock has furnished a report on his operations. Olive-culture is being tried on an extensive scale at the One-tree Hill estate of Dr. Logan Campbell, Auckland. About twenty acres were planted about four years ago, and the young trees show a vigorous growth. It is expected that about a ton of berries will be gathered this season. The progress and results of this enterprise will be watched with interest, as, if commercially successful, it will be another addition of considerable importance to the products of the colony. Olive-oil is used extensively in woollen manufacture, and there is great difficulty in getting the genuine article. In 1886 there were 31,867 gallons of olive-oil imported, of a value of £5,621. Linseed is another product which can be very well produced in New Zealand, and is grown to some extent. There is plant in the colony for the extraction of the oil, but as yet the local output has fallen far short of actual requirements, for in 1886 there were 183,483 gallons of linseed-oil imported, of a value of £21,537. There will necessarily be a growing demand for this oil in a country where there are so many wooden houses to paint as in New Zealand. Fruit-growing is another field where there is still considerable scope in New Zealand, as expressed in the fact that in 1886 fresh fruit to the value of £67,930 was imported, and also jams to the value of £12,172. The colony should, instead, be a large exporter of these articles. A good deal of attention is now being devoted to apple-orchards, and before long the export qf apples and other fruits to England is likely to become of importance. Departmental. " The Crown Lands Guide," No. VIII., was issued in February last, and widely distributed throughout and beyond the colony. Although this publication has scarcely left the press before some of its announcements of land open for selection have become obsolete, from the land having meanwhile been actually taken up, yet it serves a very useful purpose in disseminating information about the land system and the colony ; and the frequent calls for copies show that it meets a public want. There has been a considerable addition to the clerical work of both the head and district offices from the large number of selectors who have entered into relations with the department during the year. From one or two district offices there have been demands made for more clerical assistance accordingly. In conclusion, I have again much pleasure in acknowledging the able assistance of Mr. Eliott, and generally the cordial co-operation of the Commissioners and other officers of the department. J. McKeeeow.

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APPENDICES.

APPENDIX No. 1. Canterbuey Plantation Board Eeport. Sir,— Windermere, 10th May, 1887. When reporting to you last year upon the work of the Plantation Board in Canterbury, negotiations were in progress for vesting the bulk of the plantation reserves in the County Councils of Selwyn and Ashbnrton, and I concluded that my work in connection with them was at an end. But, as the planting season approached, it became evident that the transfer would not be completed until the planting season was over. The members of the Board therefore requested me to proceed with the work, to avoid the loss of the entire season. I have now much pleasure in reporting that the amount of work done last spring was greater than during any previous year, comprising in all 653 acres. Of this area, 291 acres were sown with blue-gum seed, 92 acres were sown with wattle- and gum-seed mixed, and 270 acres were planted with pines and other forest-trees, in terms of the appended specification. The contracts were let upon exceedingly favourable terms, varying from £2 ss. to £2 10s. per acre, for supplying and planting 435 trees per acre, under substantial guarantees for their maintenance. You will observe that 60per cent, of the trees supplied are valuable forest-trees, the other 40 per cent being inferior trees of quick growth, introduced as nurses to shelter the more valuable kinds. The experience of this season has proved the ability of our nurserymen to supply large quantities of young trees at a very low price indeed, being about ljd. per tree upon the total average. This information will be of value to those settlers who desire to obtain shelter by means of plantations, but are deterred trom doing so by erroneous ideas of the costliness of the work. Neither is the preparation of the ground an expensive process, the land being ploughed, rolled, and harrowed at a cost varying from 12s. to £1 per acre, the latter price being paid only where the land is rough and full of large stones. The whole of the land planted this season shows a very healthy growth of young trees, indicating that the method of treating the ground is efficient as well as cheap. The gum- and wattle-seed also made, a good start in the spring. I commend the plantations to the vigilance of those who are now intrusted with their management to protect the young trees against the trespassing of sheep and cattle, which, I regret to say, is often permitted by the very men whose properties will be sheltered and beautified by the plantations, if protected in their early growth. I have, &c, Edwaed Weight, Chairman, Canterbury Plantation Board. James McKerrow, Esq., Surveyor-General, Wellington.

APPENDIX No. 2. Canterbury Plantation Board. Specification of work to bo psrformed in planting 200 acres in the County of Ashburtion with pines and other trees enumerated below : —The; land to be planted comprises five blocks, situate as under : Fifty acres near Valetta Railway-station ; forty acres near Anama Railway-station ; thirty acres near Cavendish Railway-station : forty acres near Coskerie's, at Mayfield ; forty acres near Ballantyne's, Eangitata. These several blocks of land are being ploughed bin. deep, and rolled and liarrowed, preparatory to the planting. The entire area of each block is to be planted with trees (of the kind scheduled below) 10ft. apart in line and row, taking 435 trees to the acre. The trees are to consist of 20 per cent. Pinus insignia, 10 per cent. Pinus laricio, 20 per cent, larch, 10 per cent. Cupressus macrocarpa, 10 per cent. Gupressns lawsoniana, 10 per cent. Abies excelsa, 10 per cent. Abies menziesii, 10 per cent, silver birch. The trees are all to be good of their kind, and all twoyear old transplanted trees, except the Pinus insignis, which are to be one year old. The trees are to be planted in blocks or groups of the several sorts as may be directed, to secure protection to the kinds most needing it. The trees are to be well and carefully planted to the satisfaction of the Board, and the whole work completed by the 7th October next. Any trees failing to grow are to he replaced continually until the 30th September, 1888. Payment will be made upon completion of the work to the extent of 60 per cent, of the contract sum, a further payment of 30 per cent, will be made at the end of three months should a fair proportion of the trees appear to be thriving, and the balance of 10 per cent, will be retained as a guarantee for the replacement of those that may die. Any trees failing to grow may be replaced either in the autumn or spring following, and the 10 per cent, retained may be paid to the contractor at the expiration of fifteen months after the first planting, if the Board shall be satisfied that the trees are all living. Tenders may be sent in for one or more blocks, and, should the parties tendering be unable to supply the full complement of the specified kind, they may submit alternative tenders to suit the trees which their nurseries can furnish; but Pinus sylvesiris, Pinus pinaster, and Pinus austriaca will not be accepted in any combination. The Board do not bind themselves to accept the lowest or any tender. Tenders for the above must be addressed to the undersigned, and sent in not later than Saturday, the 4th September, accompanied by a deposit equal to 5 per cent, of the amount tendered, the deposit to be returned upon completion of flhe planting in October next. Edward D. Weight. Windermere, 27th August, 1886. • Chairman.

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APPENDIX No. 8. Lake County Fobest Nursery Repobt. Sir,— Pembroke, 21st May, 1887. I have the honour to lay before you my report for the year 1886-87 on the Lake County Forest Nursery. During the period mentioned 9,350 tree-plants and 31,500 hawthorn-quicks were sold and distributed gratuitously. There are at present ready for sale 24,500, comprising the following varieties: Pinua insigntSj strobus, muriccita, ponderosa, rigida, and maritima; Cupressus macrocarpa and sempervircns; Abies douglasii, menziesii, mertenzeissi; and Norway spruce, Wellingtonia, larch, Betula lenta, Catalpha, arbor-vitae, and sycamore, varying in size from lft. to sft. ; also forty thousand hawthorn-quicks transplanted, from one two three years old. Five hundred fruit-stocks, consisting of cherry, plum, peach, and apricot, have been successfully budded, and can bo sent out next year. The seed-beds contain eleven thousand seedlings. This very small yield is due to the ravages of the cockchafer-grub, the grasshopper, and the intense heat of the past summer; springs hitherto useful were completely dried up early in the season. In the reserve the permanentlyplanted trees have made excellent growth; Finns insignia, cmstricica, and sylvestris excepted; the leader and top branches of the former, especially in light soil, have suffered from burning, and the austriaca and sylvestris from blight. To those who contemplate planting in light shingly soil I would say reject the latter, and for the insignis substitute muricata; in appearance it is similar to the insignis, grows as rapidly, and has not displayed a single defect. Of loss the percentage has been greatest in the spruce family, notably Abies excelsia, douglasii, and menziasii. Much disappointment will result to those planting the last-named variety if they persist in planting in light and gravelly soil. They arc undoubtedly amongst our loveliest of evergreens, but their beauty can only be brought out by planting in soil possessing a cool bottom. These same remarks are applicable to the Norway spruce and Wellingtonia gigantea. Eeports from public bodies as to the satisfactory growth of plants formerly supplied by this institution are to hand: the present demand for plants is good ; owners of the better class of homes are indulging in the tree adornment; and public taste awakened, though yet too slowly, in the direction of tree-planting. I have, &c, H. J. H. Elliot, Esq., Under-Secretary, Eobert McDougall, Crown Lands, Wellington. Chairman, Lake County Forest Committee.

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No. 2.—Summary of Extent of Crown Lands absolutely disposed of for Cash, Scrip, or in any other Manner, during the Year ending 31st March, 1887.

No. 1.—Summary of Lands disposed of from Foundation of the Colony, with Total Cash received, &c., for the Year ending 31st March, 1887.

* Includes 13,248 acres 1 root! 30 perches owned by seventy deferred-payment settlers, who completed their purchases during the year. i Of this only £12,934 13s. l(Jd. was received during the year, the balance was previously received as deferred-payment instalments.

Land Districts. Total Area sold. Total Area granted or reserved under Acts. Total Area sold or otherwise disposed of from the Foundation of the Colony. Total Cash received. Total Area open for Selection. Total Area remaining for Future Disposal, exclusive of Area in preceding Column and of Native Lands. Auckland Hawke's Bay Taranaki Wellington Nelson ,„ Marlborougli Canterbury Westland Otago Southland A. B. P. 1,674,055 1 17 1,013,387 2 9 182,751 0 27 1,666,799 1 30 1,050,527 1 0 783,948 2 31 3,001,920 2 14 52,394 1 15 2,244, 501 3 9 1,048,398 3 32 a. B. r. 2,546,616 1 0 156,257 0 38 414,986 3 38 537,070 0 22 137,003 2 14 177,933 0 38 571,804 3 10 73,408 0 17 811,956 0 23 288,893 0 3 A. R. P. 4,220,671 2 17 1,169,644 2 37 597,738 0 25 2,203,869 2 12 1,187,530 3 14 961,881 3 29 3,573,725 1 24 125,802 1 32 3,056,457 3 32 1,337,291 3 35 £ s. d. 578,505 16 8 492,300 0 6 523,928 15 9 872,629 0 10 381,005 15 9 277,010 4 5 6,018,512 1 11 01,499 13 8 2,419,213 6 7 1,186,772 10 4 A. E. P. 143,104 3 8 13,151 3 20 56,316 0 23 115,010 2 10 5,794,730 0 26 520,000 0 0 3,604,435 2 28 83,613 0 0 241,702 3 27 1,443,300 1 5 A. E. P. 2,722,161 3 38 198,381 0 34 612,914 2 38 1,061,153 1 0 1,067,000 0 0 1,468,967 2 3 2,836,344 2 8 9,653,368 0 0 Totals 18,434,614 3 17 12,718,085 0 24 5,715,929 2 33 12,810,437 6 5 11,920,365 1 27 19,620,291 1 1

Lands sold. Land Districts. Number of Acres. Rate per Acre« Consideration. Lands disposed of without Sale, by Grants, or in any other Manner. Town. Number of „ , , Number of Purchases. Suburban- Purchases. Country. Number of Purchases. Town. Suburban. Country. Cash. Scrip. Auckland Hawke's Bay Taranaki Wellington Nelson Marlborough Canterbury Westland Otago Southland A. K. P. 2 19 2 1 14 110 8 2 a. r. p. 59 2 18 5 3 25 35 0 8 12 2 1 A. R. P. 16,591 3 35 227 2 0 9 3 37 362 1 1 3,252 1 12 301 1 22 3,710 3 39 231 2 0 *18, 801 0 31 392 2 39 120 2 5 6 16 9 44 7 •153 21 £ s. d. 188 0 0 30 0 0 46 0 0 £ s. d. 4 3 0 10 7 1 3 11 0 £ s. d. 0 13 3 0 18 2 3 12 2 12 1 0 10 0 0 13 9 2 9 2 10 6 1 10 0 1 11 2 £ s. a. 11,261 7 7 337 15 6 218 18 2 399 15 8 2,137 13 9 261 2 6 9,789 13 6 271 11 3 f29,056 0 11 1,205 14 0 £ s. d. 98 15 0 A. B. P. 56,130 1 39 155 1 27 249 2 0 21,776 3 18 4,748 2 3 22,345 2 35 829 2 0 109 0 19 4,243 0 11 416 1 19 10 2 34 13 3 7 1 0 23 9 3 30 5 0 2 39 ig 3 29 7 17* 2 16 24 0 6 142 3 9 141 3 34 1 4 48 *5 6 34 5 5 30 0 0 33 19 0 10 12 0 3 0 0 8 0 8 25 26 3 15 0 3 16 2 36 6 10 Totals 109 43,881 3 16 46 1 39 426 3 36 71 313 54,939 12 10 135 1 10 111,004 2 11

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No. 3.—Land selected up to 31st March, 1886.

Land Districts. Nature of Selection. Number of Applications made. Average Total to each Selector. Land in Occupation under Previous Transactions. Total Land granted for Conditions fulfilled. Total Land forfeited for Breach of Conditions up to Date. Number approved. Area selected. Fees payable Yearly. Number of Acres. Bents paid. Auckland .».. •• Deferred payment Homestead Agricultural lease Village settlement Deferred payment Village settlement Deferred payment Village settlement Deferred payment Village settlement Leasing Acts .. \ 10-per-cent. clauses .. Reserves Mineral .. .. ) Deferred payment 240 488 225 1 949 1 1,448 2 577 24 ( 165 488 110 1 819 1 982 2 523 24 199 694 90 45 31 605 134 39 50 8 A. K. P. 28,549 0 12 80,001 0 0 5,720 8 2 8 2 4 70,908 1 22 3 2 5 90,193 1 30 24 3 9 97,395 0 24 208 0 28 33,207 3 30 09,277 3 23 1,025 1 28 19,043 2 11 2,972 1 24 41,288 2 35 5,213 0 12 1,480 0 0 595 0 11 1,000 1 5 A. K. P. 307 1 25 £ s. d. 2,821 5 G A. R. P. & s. d. A. P.. P. 3,017 1 23 11,552 2 29 A. R. P. 3,007 0 20 4,370 2 0 1,250 0 0 Hawke's Bay .. Taranaki Wellington Kelson 2,933 49 1 24 8 2 4 80 2 24 3 2 5 97 3 33 12 1 24 186 0 36 8 2 28 100 3 3 99 3 11 18 0 9 413 3 38 95 3 21 08 1 0 38 3 0 38 0 0 11 3 25 132 2 5 287' 0 0 17,238 15 2 8,104 7 7 840 10 0 5,043 0 10 086 14 0 2,775 14 0 210 4 0 11,457 10 4 029 10 9 42,647' 3 19 2,35l' 0 5 16 3 39,203 1 0 138 8 1 96,703 7 11 2,223 8 8 78,118 8 0 89 8 9 23,328 3 24 17,409 1 29 1,081 0 30 00,950 2 19 29,995 1 22 2,883 1 13 4,991 2 19 8,593 1 27 109 3 14 2,208 2 38 29,573 2 20 0,080 0 20 72 1 30 0,544 1 23 460 3 5 2.943 0 30 389 3 31 •• Marlborough Canterbury "Westlancl " I 31 005 134 55 07 14 34,140 0 12 4,172 2 21 830 0 0 180 3 32 1,000 1 5 31,658 18 9 2,884 19 0 729 1 8 650 2 0 650 0 0 280 1 27 Otago Homestead Agricultural lease Perpetual lease Deferred payment .. \ pastoral „ exchange j - suburban village j Agricultural lease Deferred payment Special settlement 6,131 2,025 389,982 0 33 192 2 13 99 12 0 50 11 9 17,025 0 3 195,727 2 17 87 0 0 87 2 10 261,063 17 8 110,021 2 31 133 2 27 84,232 3 25 Southland 0,074 1,750 4 4,125 1,194 4 278,595 2 19 140,412 3 28 19 1 35 G7 2 0 117 2 10 4 3 19 2,501 17 C 8,358 15 11 20,319 2 25 06,525 0 20 3,964 1 9 322,167 12 4 39,901 9 7 329 14 7 165,039 2 33 57,854 3 3 733 0 21 93,236 3 8 16,032 3 39 556 0 20 r/ • ■ Totals 21,753 371,919 2 11 074,658 3 5 486,178 1 32 12,364 1,304,453 1 30 78,197 8 7 264,920 1 8

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No. 3— continued. — Land selected during the Year ended 31st March, 1887.

Land District. Nature of Selection. Number! of Applications made. | Number approved. Area selected. Average to each Selector. Fees payable Yearly. Land in Occupation under previous Transactions. Total Land granted )r Conditions fulfiled. Total Land forfeited for Breach of Conditions. Number of Acres. Rents paid. Auckland Deferred payment Perpetual lease small areas Agricultural lease Village settlement homestead sped, settlt. Special-settlement association Homestead Deferred payment Perpetual lease „ small areas .. Agricultural lease Village settlement homestead sped, settlt. Special-settlement association Homestead Deferred payment Perpetual lease „ small areas .. Agricultural lease Village settlement .. „ homestead sped, settlt. Special-settlement association Homestead Deferred payment Perpetual lease „ small areas .. Agricultural lease Village settlement .. „ homestead sped, settlt. Special-settlement association Homestead Leasing 10-per-cent. clauses Mineral Deferred payment Perpetual lease small areas .. Agricultural lease Village settlement homestead sped, settlt. 21 13 21 13 A. B. P. 1,8G1 2 19 1,118 2 11 A. B. P. 88 2 0 80 0 0 £ s. a. 207 2 4 78 11 11 a. p.. p. £ s. d. 2,242 5 10 a. n. p. 527 1 8 A. B. P. 157 0 0 2,437 1 15 .. 16 3 783 56 27 10 13 481 56 27 10 13 21,650 0 0 5,655 1 6 4,117 0 0 212 2 11 4,450 0 7 45 0 0 101 0 0 152 1 37 21 1 0 342 1 19 80,601 0 0 35,331 3 26 7,8G8 1 2 4,984 4 2 505 4 11 929 0 0 7,188 3 4 275 0 0 108 1 7 Hawke'a Bay .. 42' 6 7 505 4 0 G4 58 17 36 58 83 3 8 214 1 5 5,120 3 31 4 3 28 5 3 32 88 1 C ai 4 1 5~ S 1G 13 1 6 ,/ Taranaki 142 46 121 46 13.83G 1 22 6,733 3 8 114 1 16 145 3 32 1,858 3 2 1,822 5 G 63,829 1 35 10,975 0 13 12,831 9 0 1,822 3 6 5,653' 2 4 332' 0 37 "10, "lO 92 0 39 9*0 35 705 'lS 8 278' 0 13 Wellington "60 44 39 44 5,364 3 31 9,303 2 35 137 2 10 211 1 31 825 1 2 1,022 5 1 6,284 4 9 1,022 5 1 1,939 2 22 45 2 32 lO,84o" 2 37 ! ■■ 14 192 341 14 128 341 154 1 11 1,789 1 24 33,096 2 21 14 0 0 13 3 36 97 0 9 Gl'lO 8 29 14 6 Nelson 3 155 3 7 1 20 3 155 3 7 1 20 405 3 0 13,839 2 31 26 2 33 756 0 8 82 0 0 356 1 17 135 1 0 89 1 6 S 3 24 108 0 1 82 0 0 17 3 10 11 1G 0 935 1 0 13 0 0 69 14 0 8 4 0 13 4 0 1,030 8 3 ,6,097 4 8 510 8 0 2,322 16 6 202 1 8 910 0 34 846 3 39 904 2 28 1,394 1 11 11 0 24 1,741 0 28 460 3 5 Marlborough 2,5OS' 2 19 21 "l9 305 0 27 1C"O 9

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Canterbury Special-settlement association Homestead Deferred payment Perpetual lease „ small areas .. Agricultural lease Village settlement .. „ homestead speol. settlt. Special-settlement association Homestead Deferred payment Perpetual lease small areas .. Agricultural lease Village settlement .. „ homestead specl. settlt. Special-settlement association Homestead .. fEural Deferred payment] f-^. { Suburban 70 12 20 "70 12 20 1,574 3 26 986 2 21 714 1 13 22 2 0 82 0 33 35 2 34 793 17 10 34,140 0 12 223 0 0 714 1 13 7,342 6 6 119 0 3 38 19 9 330' 0 6 352 2 39 38 19 9 "58 167 58 119 127 3 16 3,428 3 23 2 0 3 28 3 1 235 0 G 2,234 7 5 235 0 6 29 1 20 •■ "Westlancl "41 i 22 3 38 3 715 1 28 140 0 0 140 0 0 18 3 12 46 2 36 37 0 0 71 11 10 7 0 0 7 0 0 3,390 2 20 71312 4 37 3 10 181 2 0 OOO' 2 1 180' 3 32 j 15 16 3 1 "" I Otago 115 13 "57 13 8,465 2 12 2,034 2 8 148 2 3 156 2 0 1,435 11 2 305 5 0 1,480 0 0 75,120 2 13 7,407 2 33 86,524 2 17 189 1 27 32,039 0 17 9,193 9 1 1,026 2 6 3,147 14 8 236 18 6 2,421 14 2 3,135 13 11 100 0 0 10,119 2 14 1,105 0 26 7,165 2 13 1,183 3 34 6,414 0 15 46 2 31 "l5 95 "14 95 83 2 23 25,537 1 22 5 3 36 268 3 10 75 12 6 1,596 0 0 23 2 20 " I Southland Perpetual lease Capitalization interest Perpetual lease, small areas .. Agricultural lease Village settlement .. „ homestead spool, settlt. Special-settlement association Homestead Deferred payment Perpetual lease „ small areas .. Agricultural lease Village settlement .. „ homestead specl. settlt. Special-settlement association Homestead 19 93 i "22 14 i "C3 22 18 3 474 2 38 861 0 12 2,860 0 0 2,455 2 13 848 0 35 33' 3 28 13 2 26 130 0 0 136 1 27 282 2 38 59*17 6 486 15 0 13,747 0 36 [ 395 3 16 62,120 0 18 1,318 0 24 1,934* 1 1 248 8 11 7,126 15 0 71 11 5 4,673* 3 11 3,475 2 33 1,898 0 11 32 2 8 929' 1 15 i "l3 52 "l3 45 126 2 30 443 1 17 9 2 37 9 3 16 1,046 4 0 338 0 0 57 0 30 15 2 2G 19 18 5 Totals up to 31st March, 1887 Totals up to 31st March, 1886 " 2,955 i 2,363 21,753 ! 12,364 182,686 0 22 1,364,453 1 30 14,184 6 9 78,197 8 7 79,049 11 11 674,658 3 5 36,861 2 16 486,178 1 32 24,176 1 11 264,920 1 8 1 Grand Totals 24,708 14,727 1,547,139 2 12 • • 92,381 15 4 753,707 15 4 523,040 0 8 289,096 2 19

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No. 4.—Particulars of Applications to exchange Agricultural Leases for Leases on Deferred Payments, and to convert Leaseholds into Freeholds, during the Twelve Months ending 31st March, 1887.

No. 5. —Number and Area of Pastoral Licenses issued during the Year ending 31st March, 1887.

No. 6. —Lands held under Pastoral License or Lease on 31st March, 1887.

To exchange Agricultural 1 Leases on Deferred Pay] .eases for lents. To convert Leaseholds into P: reeholds. ,and Districts. App^ at f ons Extent. Land Districts. No. of Applications. Extent. Value of Improvements. Extent cultivated. A. E. P A. B. P. 5,497 1 27 131 2 7 12,925 1 22 3,475 2 33 £ s. a. A. e. r. kelson tlarlborough )tago Southland .. 13 2034 2 8 i Nelson Marlborough Otago Southland 57 2 88 48 5,103* 0 0 938' 0 0 Totals .. 13 2034 2 8 Totals 195 ! 22,057 0 9 5,163 0 0 938 0 0

4-H O . ! W : Land District, || Ml Area. 1 Date when J "o License g 2 expires. £ „_, Rent (annual). License Fees (if any). Total, and Rent per Aero. 4 A. It. 1>. 34,375 0 0 £ s. d. 237 10 0 £ s. d. £ s. d. acre. 237 10 0 lgd. Auckland rlawke's Bay.. Daranaki iVellington kelson tlarlborough .. Canterbury iVestland )tago Southland 17 8 i 4 10 23,794 2 0 16,130 0 0 3,805 0 0 175,114 0 0 177 11 2 87 17 0 18 8 9 342 12 0 17 7 0 8 8 0: 4 4 0; 8 8 0: 19S 8 2 IJd. 96 5 0 lid. 22 12 9 lXd. 351 0 0 -469d. 63 ! 5 I 604,6G8' 1 10 37,250 0 0 7,695 11 10 162 1 0 GG ~3 & 5 5 0! 7,761 14 10 3-054d. 167 G 0 l^d. Totals .. 111 [ 895,136 3 10 8,721 11 9 110 5 0 8,831 10 9 I

Land Districts. Area approximately. Average Area to each. Stock depastured. ,, -i License Rent paid. Total Payments. Average per Acre. Auckland Hawke's Bay Wellington kelson .. Marlborough Canterbury vVestland Jtago Southland 25 23 18 116 99 417 43; 429 66 A. E. i>. 163,576 0 0 86,844 2 li 24,119 2 0, 795,148 0 0 1,066,293 0 0 2,829,307' 0 0 j 507,020 0 0 5,007,265 0 17 466,384 0 0: A. R. P. 6,543 0 0 3,775 3 15 1,339 3 35 6,854 0 0 10,770 0 0 6,772 0 0 11,805 0 0 ill, 811 3 9 7,066 0 0 136,000 £ s. a. £ s. a. 574 15 0 797 14 11 18 13 C 303 10 10 17 17 C 9,045 0 Oj 8,559 11 OJ 4 4 C 49,558 14 9 28 18 6 748 0 10 G 6 10 97,271 0 8 70 7 Cj 3,590 18 4 5 5 0 £ s. a. 574 15 0, 811 7 ll| 321 7 10 9,045 0 0 8,563 15 6. 49,587 13 3, 754 7 8 [97,341 7 8: 3,596 3 4 s. a. 0 Si 0 2J 0 3' 0 2£ 0 1-92 0 4-15 0 1-35 0 4-607 0 1| Totals i ___ | 11,000,557 0 18 1,286' 170,449 6 4146 11 4 170595 17 8

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No. 7.—Number and Area of Leases and Licenses, other than Agricultural and Pastoral, issued during the Year ending 31st March, 1887, and Revenue therefrom.

No. 8.—Number of Licenses revoked during the Year ending 31st March, 1887.

Land Districts. Object for which leased. Area leased. Rent. Auckland .. Hawke's Bay Uaranaki .. Wellington Nelson Uarlborough Canterbury Westland .. 3tago Southland.. .. Til .. Mi .. Co .. Mi Timber floating and felling Miscellaneous Coal leases, royalties, timber and other leases .. Miscellaneous A. B. P. 8 1 G 145 2 27 268 3 13 10,000 1 24 4,004 2 22 1,095 2 18 1,840 3 8 1,223 0 33 0,854 8 19 £ s. d. 229 5 0 12 10 0 100 7 1 27 8 0 4,385 14 9 53 0 0* 120 11 5 378 3 3 50 0 4 4,387 5 10 Totals 31,508 1 20 9,830 5 8 ■ And tithes.

Land Districts. Description of License forfeited or revoked. At Licensee's Request. For Nonpayment of Foes. Noncompliance with and Violation of Conditions. Total Number. Extent. Auckland Hawke's Bay Paranaki Wellington Nelson .. M"arlborough Canterbury Westland Dtago .. Southland Deferred payments .. Miscellaneous 1 4 2 1 5 59 1 1 9 2 24 15 5G "3 1 3 5 1 0 4 43 20 121 13 A. it. p. 157 0 0 121 2 13 332 0 37 45 3 32 5,637 1 8 '• 6,950 0 0 130,821 2 39 42,690 2 1 1322,514 0 14 945 0 0 '18 "c 13 Totals 72 108 40 220 510,215 1 24

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No. 9.—Statement of Amounts due to the Crown on the 31st March, 1887, on account of Crown Lands held under any System of Deferred Payments.

No. 10.—Capitalization.

Selecto: ■s still Holding. Soled ;ors in Arrear, 3: -st March, 1887. Districts, and Nature of Holding. I | Acreage held. Amount to accrue inFutun Instalments. Total Payments made to Dlst March, 1887. | •A Area held. Amount of Arrears. Auckland— Rural Pastoral Suburban .. [lawke's Bay— Deferred payment Village settlement Special settlement laranaki— Deferred payment Village settlement Wellington— Deferred payment Village settlement Special settlement Nelson— Sundry Acts and 10-per-cent. clauses Marlborough— Deferred payment Canterbury— Village settlement Small-farm village settlement Rural Pastoral Westland— Deferred payment Otago— Deferred payment Agricultural lease Southland — Rural Suburban Village settlement A. B. P. 17,227 1 19 0,217 1 3 8 2 4 £ s. a. 1G,898 0 0 £ s. d, 10,301 18 5 2,093 17 0 2 12 G a. b. r. £ s. a. 123 0 1 io'io o }" 11,300 2 14 1,558 12 5 237 42 58 21,592 0 5 239 3 10 5,120 3 31 23,142 18 8 432 9 0 4,007 13 9 10,012 12 10 404 5 1 750 13 11 20 3 12 3,203 2 12 10 3 0 1,051 3 30 413 18 8 4 7 9 52 13 5 7G2 55 77,924 0 35 939 1 2 94,121 5 3 3,178 10 6 110,403 17 G 9,211 10 0 106 12 10,753 1 32 194 1 7 1,397 0 2 00 15 1 225 38 341 38,128 1 27 302 1 39 33,090 2 21 41,213 15 3 1,103 8 0 31,521 3 10 20,718 3 1 340 8 9 3,308 14 8 50 2 7 0,571 1 6 13 3 32 704 1 24 078 10 11 5 11 8 39 12 G 832 80,913 0 8 ! 54,027 17 1 28,043 5 10 27 2,587 2 19 1,495 1 6 1,257 3 0 8 437 0 0 22 18 0 74 157 89 13 29 3 21 1,353 0 30 8,380 2 13 28,070 0 0 518 14 9 5,878 5 10 21,070 10 10 50,310 3 1 310 9 11 5,908 5 1 9,240 0 9 13,505 9 0 17 42 40 G 1 2G 414 0 14 3,444 2 8 27 10 0 386 18 8 707 13 3 80 4,100 0 8 2,910 14 7 1,910 15 5 55 2,227 0 4 101 19 0 012 143 180,221 3 29 14,221 3 34 231,095 18 2 19,272 1 8 90,995 2 9 4,753 17 9 378 10:! 132,519 0 12 9,331 0 25 10,047 14 8 1,704 1 10 326 111 167 01,282 1 24 994 1 24 2,425 2 18 02,490 4 4 3,259 18 7 3,921 10 10 30,004 0 8 2,492 2 4 3,058 4 5 243 (11 123 47,445 1 8 492 3 1 1,807 9. 38 4,201 6 3 330 15 1 576 G 10 Totals 4,545 580,055 2 31 070,091 11 6 360,413 7 3 1,335 231,989 1 8 22,450 17 8

Number of Applications made to the Board. Number of Applications Board. [ranted by the Land Districts. Number, j Area. Amount due under the Deferred-pay-ment System. Number. ] Area. Amount due under the Deferred-pay-ment System. Amount due under Capitalization System. Auckland Hawke's Bay Faranaki Wellington Marl borough Canterbury Westland Dtago Bouthland 17 7 398 34 5 26 38 84 392 A. B. P. 3,773 1 2 1,337 0 18 37,927 0 5 5,127 1 7 780 1 34 1,407 0 24 2,870 1 31 14,843 1 20 70,701 2 15 £ s. d. 3,063 17 4 1,289 14 11 69,918 IS 8 5,611 5 0 479 IS 0 4,321 18 11 2,768 18 4 26,81G 7 3 79,701 0 7 17 7 394 34 5 20 38 84 392 A. R. P. 3,773 1 2 1,337 0 13 37,605 2 34 5,127 1 7 780 1 34 1,407 0 24 2,876 1 31 14,843 1 20 70,701 2 15 £ s. d. 3,003 17 4 1,289 14 11 08,659 10 3 5,611 8 0 479 15 0 4,321 13 11 2,768 18 4 26,816 7 3 79,701 0 7 £ s. a. 2,871 17 11 1,062 5 8 57,734 12 8 4,854 15 9 417 19 6 3,659 16 0 2,208 9 10 23,701 1 11 68,041 15 5 Totals 138,773 2 31 193,971 10 7 997 138,852 1 20 192,712 2 7 164,012 14 8 1,001

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No. 11.-Return of the Number of Perpetual Leases taken up during the Year ended 31st March, 1887.

Total Rents received during the Twelve Months, both from Land taken up during Previous Years and during the Current Year. Area taken up Previous Years. Selectors in Arrear, 31st March, 1887. Rental. Total Area now i | Number of Holdings. Area. mder Perpetual-; lease System. Number, j Area held. Amount of Arrears. District. Upset. | Obtained. Number of Holdings. Area. 1 7 A. E. P. f>74 0 0 £ s. d. 38 19 0 A. R. P. 1,118 2 11 £ s. d. 0 10 £ s. a. 0 15 £ s. d. 78 11 11 A. R. P. 2,437 1 15 A. R. P. 3,555 3 26 20 3 619 0 0 37 0 1 Auckland .. .. t 13 505 4 11 29 7,868 1 2 12,318 1 9 _ 0 0 10 Hawke's Bay 13 4,450 0 7 0 0 10 16,372 0 37 21 3,60G 0 0 260 7 11 46 6,733 3 8 0 13 1,822 5 0 74 10,975 0 13 Taranaki... 0 13 0 1 3| 1,022 5 1 57 10,840 2 37 20,144 1 32 12 2,201 1 6 110 1 10 44 9,303 2 35 I Oil 1 Wellington Kelson I 0 15 13 4 0 356 1 17 1,209 2 21 Marlborough I 20 356 1 17 0 15 34 11 7 0 4 10 119 0 3 2 223 0 0 5 399 2 30 Canterbury 12 986 2 21 0 2 U j 7 117 082 1 32 21,221 2 12 28 9 0 ', • 0 10 37 3 10 8 1,060 1 5 1,200 1 5 3 140 0 0 0 10 2,247 4 6 Westland .. 2,421 14 2 1C5 45,885 0 7 95 25,537 1 22 848 0 35 0 10 0 13 32,039 0 17 2,166 1 19 96 17 8 Otago 6 1,318 0 24 5 1,074 3 3 3 0 1 3J ! 0 1 3J 71 11 5 Southland 361 0C,761 3 33 103,208 2 13 177 30,598 3 9 ' 2,859 12 1 Totals 249 49,474 2 36 !__ 6,091 1 1

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No. 12.—Return of Homestead Lands selected, &c., during the Year ending 31st March, 1887.

No. 13.—Return of Grants, Schedules, Certificates of Titles, &c., issued from 1st April, 1886, to 31st March, 1887.

No. 14.—Return of Special Settlements under Clause 163 of "The Land Act, 1885," for the Year ending the 31st March, 1887.

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FreehoL da acquired. Forfeitures. Land Districts. Number of Seiectors. Area. Number of Selectors. Area. Number of Selectors. Area. Auckland Hawke's Bay Taranaki Wellington Nelson Marlborough Canterbury Westland Otago .. Southland 27 A. B. P. 4,117 0 0 A. B. P. 929 0 0 2 A. B. P. 275 0 0 7 22 2,860 0 0 2 100 0 0 Totals 49 6,977 0 0 1,029 0 0 2 275 0 0

Provincial Districts. Number of Grants. Number of Acres in Grants. j Area in Schedules. Total Area \ "° I in (hants ! ® § and gS Schedules. g SO r3 -2 a I! 00 11 M li II Auckland Hawke's Bay .. Taranaki Wellington Nelson M arlborough Canterbury Westland Otago Southland 90 Acres. 22,313 53 11 23 •2-2 8 3 80 1 55 10 Acres. 35,664 31,168 39,625 46,700 5,000 140 53,500 700 35,547 14,891 Acres. 57,977 31,168 89 ,"999 73.672 5,029 140 77,660 700 40,869 17,045 274 102 138 146 83 12 1,333 27 556 310 3 2 2 5 16 :s 874 20,972 29 "l 1 87 24|160 "2 "3 1 100 64 5,322 2,754 2 5 "3 Totals .. 305 81,924 266 262,935 344,859 2,981 4

District. (Survey District. Name of Special Settlements. Total Area of Mock. o . •A Average Area of each Selector. Price per Acre. Total Amount received to 31st March, 1887. Auckland Onowhero .. Te Aroha .. Norsewood .. Tuakau Gordon Waipawa Danevirke .. Woodville-Tiraumea .. Peilding Pahiatua Puketoi ■Birmingham Masterton-Mangahoe A. B. P, 2,024 3 4 3,030 2 2 3,221 1 39 1,899 1 32 5,006 1 8 9,158 0 13 5,080 8 0 8,828 0 0 5,023 2 0 26 30 33 25 50 90 50 87 64 A. B. P. 101 0 0 101 0 0 97 2 19 75 3 36 100 0 20 101 3 1 101 2 18 101 1 35 78 2 0 £ s. d. 10 0 10 0 1 1 0 01 1 2 61 1 2 6\ 1 0 0 1 0 0 12 6 1 0 Oj £ s. d. 130 0 0 256 0 0 Hawke's Bay .. Wellington Makuri Apiti Makuri Apiti Mangahoe .. 750 18 11 3,808 14 8 Totals 4,455 0 0 43,872 3 18 455

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No. 15.—Return of Village-settlement Lands disposed of for Cash and on Deferred Payments during the Year ending 31st March, 1887.

Cash. Deferred Payments. I Village Sections. Small-farm Sections. Village Sections. Small-farm Sections. Freehold acquired. Forfeitures. Village. Small Farm. Village. >. Small Farm. District. -S--3 Area Amount g g realized. Is i I •So &0B Area. Amount realized. £3 Area. 8.2 Area. realized during the Year. 8.1 Area. 1 S CD Area. •f-s 3-3 Area. I'l ■ Area. a. b. p. 1 1 0 0 , & B . d. 45 0 0 A. R. 1". £ s. a. A. It. P. a. r. p. £ s. d. ! A. 15. P. | A. R. P. A. B. P. A R. P. Auckland 79 3 8 33 4 3 92 0 30 765 18 8 " Hawke's Bay .. 7 3 3 8 13 0 0 .. 4 4 0 0 13 1 5 2 16 1 13 1 6 i Taranaki 5 3 2 23 35 0 0 1 3 1 28 10 5 6 10 16 278 0 13 Wellington 12 8 0 3 126 0 0 3 3 1 20 30 0 0 i 14 154 1 11 I 61 10 8 Nelson 2 2 0 1 20 0 0 .. I . . . . . . JIarlborough .. 5 2 2 30 25 0 0 .. .. i .. Canterbury 36 18 0 18 - 109 2 38 2,234 7 8 54 28 1 22 40 .206 2 24 8 3 11 4 20 2 0 Westland 15 0 0 1 50 0 0 18 .. .. .. .. Otago 3 0 3 0 11 2 13 11 11 7 .. .. 248 8 11 4 ,30 228 6 ' 57 0 30 Southland 7 5 0 37 182 0 24 483 4 0 I 13 120 2 30 1,046 4 0 " 23 1338 0 0 .. ■ I ; I. I 562 3 6 ,4,389 15 2 ! ! Totals 42 27 0 22 359 0 0 23 200 2 5 535 1 1 i T2 54 14 ! 8 3 11 15 121 2 33 40 22 0 18 | 28 1 22 SO '828 1 13 I I

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No. 16.—Return of the Number of Selectors of Small Areas on Perpetual Lease, under Clause 161 of "The Land Act, 1885," for the Year ended the 31st March, 1887.

No. 17. —Return of Small Grazing Runs taken up during the Year ended March 31st, 1887.

No. 18.—Return of Selectors under the Village Homestead Special-settlement Regulations, for the Year ended 31st March, 1887.

[d%yproximate Cost of Taper. —Preparation, nil; printing (2,375 copies), .-£2495. Cd.i

By Authority : Geobge Didsbuby, Government Printer, Wellington.—lBB7.

Land Districts. Number °* Holdings. Area. li Upset. Be ital. Total Area taken up in previous Years. Total Ai-oa now in Occupation Z | Area. lem is i>aii Area. Obtained. a. n. p. £ s. d. I £ s. a. & s. a. A. E. P. A. B. P. Auckland Hawke's Bay Wellington .. Canterbury .. Nelson Wostland Dtago Southland .. 20 3 714 1 13 140 0 0 77 19 6 7 0 0! 77 19 6 7 '6 0 38 19 9 3 10 0 20 3 714 1 13 140 0 0 Totals .. 854 1 13 84 19 6 84 19 6 42 9 9 23 23 854 1 13

Land Districts. O o 4 Area. Jig Total Kent received during the Twelve Months ended 31st Mar., 1887. Area PI •si taken up during ■evious years. fotal Area in Occupation. Arrears oil 31st March, 1887. No.: Amount. Area. Area. A. E. P. s. a. a, s. a. A. E. P. A. K. P. £ s. a. .uokland , 'aranaki f awke's Bay Vellington. lanterbury itago .. 1 13 20 3 31 517 0 0 25,835 1 1 25,115 3 22 3,203 3 27 51,185 0 0 0 6 0 3 0 6J 1 8 0 8} 6 9 3 245 16 1 353 14 0 268 0 0 2,931 8 8 io 6,889 0 0 1 13 30 3 55 517 0 0 25,835 1 1 32,004 3 22 3,203 3 27 100,923 3 23 4 5 62"l C 8G 9 C 24 55,738 3 23 21 671 13 S Totals 68 105,857 0 10 0 7 3,805 8 0 34 62,627 3 23 102 168,484 3 33 80 820 3

Land Districts. < o 63 ■si it m Area allotted. Average Area to each Selector. Average Amount advanced to Selectors. Payments made by Selectors in arrear on 31st March, 1887. No. Amount. per Aero. Fm-HniiiifiB For Bush- Total 1 Ol Houses- felling. Advances. during the Year. Auckland fiawke's Bay .. Wellington Waiiborough .. S relson Canterbury 3tago Southland 783 64 192 21 6 167 93 52 481 36 128 19 5 119 63 45 ■ A. K. P. A. K. P. S. d. 21,650 0 0 45 0 0 1 1J 214 1 5| 5 3 32 4 G" 1,789 1 24:13 8 36 3 1 305 0 27|16 0 9:1 6 88 0 818 10 .. 3,428 3 23128 8 l! 2 8-15 861 0 1213 2 26 1 7-1 443 1 17 9 8 16 3 6 ; ! £ s. a. 648 8 1 234 10 0 £ s. a. 243 2 6 201 5 0 719 5 8 i £ s. a. 891 10 7 1 201 5 0 953 15 8| £ s. d. 29*14 6 "*9 £ s. d. 9 19 6 280 0 0 10 '6 0 25 0 0 280 0 0 10 0 0 145 0 0 120 0 0; 19 18 5 6 5 2 0 Totals 1,377 89G 28,780 0 31 1,282 18 1 997 8 2 2,481 11 3 49 12 11 15 15 1 G