DEPARTMENT OF TOURIST AND HEALTH RESORTS AND PUBLICITY (ANNUAL REPORT OF THE)

Appendix to the Journals of the House of Representatives, 1945 Session I, H-02

H.—2

1945 NEW ZEALAND

DEPARTMENT OF TOURIST AND HEALTH RESORTS AND PUBLICITY (ANNUAL REPORT OF THE)

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

The Hon. the Minister in Charge of the Department of Tourist and Health Resorts and Publicity to His Excellency the Governor-General. Wellington, 25th July, 1945. I have the honour to submit to Your Excellency the report of the Department of Tourist and Health Resorts and Publicity for the year ended 31st March, 1945. W. E. Parry, Minister of Tourist and Health Resorts and Publicity. His Excellency the Governor-General of New Zealand. ANNUAL REPORT OF THE GENERAL MANAGER OF THE DEPARTMENT OF TOURIST AND HEALTH RESORTS AND PUBLICITY g IR) Wellington, 23rd July, 1945. I have the honour to submit the following report on the organization and work of the Department of Tourist and Health Resorts, with which is now incorporated the Publicity Department, for the year ended 31st March, 1945. I have, &c., L. J. Schmitt, General Manager. The Hon. W. E. Parry, Minister of Tourist and Health Resorts and Publicity. CONTENTS PAGE Introduction .. • • • • • • ■ .. 2 The General Position and Outlook — (a) The Overseas Field .. .. • ■ • • ■ ■ • • • ■ .. 2 (b) The Domestic Field .. .. • • • • • • • • • ■ .. 2 (c) The Tourist Industry .. .. . ■ • • • • • • • • .. 2 Review oe the Year's Work —■ I. Publicity— (a) Film and Advertising Studios .. .. .. .. .. .. 3 (b) Replanning of Literature .. .. •. • • • • .. 3 (c) Forward Planning .. . ■ • • • • • • • • .. 3 11. Maintenance and Development of Resorts, Hotels, &c., under the Department's Control— (i) Sanatoria and Baths .. • ■ • • ■ • • • • • .. 4 (ii) Hotels, &c. .. .. • ■ ■ • • • • • • • .. 4 (iii) Miscellaneous .. ■ • • • • • • • ■ • .. 5 111. Passenger-booking Activities .. . • • • • • • • ■ • .. 6 IY. Liaison with Allied Interests .. .. . • • • • • • • .. 7 Revenue and Expenditure .. .. > < < • • • • • > • • * ®

H.—2

ANNUAL REPORT INTRODUCTION The preludes to the resumption of normal activities on a more intensive scale than ever in the past are planning, organization, and development, and a feature of the Department's work during the past year has been the initiation of the essential preliminary ground-work that will enable it to fulfil its position of acknowledged importance in the national economy when peace is restored to the world. Preparation for the tasks of the immediate future and for the years ahead has occupied much thought and effort and continues to do so, and the Department is confident that it will result in NewZealand's greater participation in the world's travel market, and an extension of that popular service to travellers—both overseas visitors and the domestic traffic—which has been progressively expanded over the years and has been a major factor in creating and maintaining that goodwill which is not the least of the national assets for which the Department is trustee. The future prospects for a very great expansion in the tourist industry of New Zealand are more propitious than ever before in the history of this country mainly because of speedy, comfortable air-travel, which brings the Dominion within a few days of the great populations of the world. The usual internal functions of the Department, having regard to the many exigencies of war and the inevitable restrictions thereby necessitated, have, however, been maintained—sometimes on a reduced scale, but at all times as far as possible during these difficult days. The results achieved arc satisfactory and activities have been marked by some degree of progress. THE GENERAL POSITION AND OUTLOOK (a) The Overseas Field The present position in the international tourist field is one of almost universal dormancy. It would seem that no portion of the world, with the possible exception of the Latin Americas, is at the present time in a position to handle tourist traffic. The potential capacity, however, of New Zealand to participate in this field in the future is considered to rank very highly. It is significant that during the year under review innumerable inquiries have been received and dealt with in the Head Office of the Department with reference to tourist travel in New Zealand in the immediate post-war period. Some of these inquiries emanate from North America, and it therefore follows that the presence here of large bodies of Allied Forces in the recent past has resulted in making many aspects of this Dominion better known abroad. Conversely, New Zealand Forces overseas have likewise been responsible for a great deal of interest being created about the Dominion in other parts of the world. During the year no overseas tourist traffic was handled by the Department, but in some instances facilities and courtesies were extended to notable visitors who were members of service, supply, or other official missions. It is encouraging to note that interest generally in this country was maintained, and, in many ways, widened, during the period under review, and there are very strong indications that as soon as the means of international civilian communication are reinstated there will be an influx of visitors from overseas. There are already unmistakable signs that great developments in every branch of travel—air, sea, and land—may be anticipated early in the post-war period. It is well known that transport organizations everywhere have already been preparing the "blue prints" for the passenger services of to-morrow, and it is safe to assume that in the near future there will be a substantial trend towards better forms of passenger travel than have been available in the pre-war years and which will make for higher standards of safety, speed, comfort, and economy. The Department's officers located at London, Melbourne, Sydney, Washington, and Ottawa have been employed mainly on supply work during the year, but have found a little time to keep Head Office informed about tourist developments overseas. (b) The Domestic Field New Zealand's internal tourist traffic is considerable, and one of the principal functions of the Department is to service this traffic which ranks so importantly in the health and recreation of the people. It is satisfactory to record that, notwithstanding the necessary restrictions on travel during the year, most of the holiday resorts of the Dominion have been well patronized. In addition to the normal users of the Department's services, large numbers of members of the Armed Forces, both New Zealand and Allied, made the fullest use of our several booking-offices, and the assistance given has been greatly appreciated by the men. (c) The Tourist Industry Those organizations and individuals concerned with passenger transport, hotels, travel agencies, and other related activities serving the visitor and local traveller whose main objective is sightseeing, form, in the aggregate, the tourist industry of this Dominion, and their combined efforts are, in essence, the logical extension of the main service of the Department and therefore indissolubly linked with it. The future of the industry is so closely identified with the Department's progress that it has long been recognized that continuous liaison and complete co-ordination of efforts are not only desirable, but also necessary. Full co-operation and a uniformly cordial relationship have existed between the various sections of the industry and the Department for many years, and the confidence of these many interests continues to be enjoyed.

2

H.—2

Forward steps were taken during the year to consolidate the activities of the component elements of the industry in such a way that the liberal policy of the Department may be implemented to the maximum national advantage. Visits by the General Manager to various parts of the country, often with Ministerial support, have provided many opportunities for mutual discussions of the various problems that confront the industry and have enabled the Department to cement still further the common bonds of unity of purpose. Added to these efforts towards consolidation are the achievements during the year of the Tourist Development Committee of the Organization for National Development, an outline of which appears in Part IV of the next section of this report. REVIEW OF THE YEAR'S WORK I. PUBLICITY (a) Film and Advertising Studios For the past four years the staff of the Studios has been engaged principally on the production of photographs, films, and publicity material in connection with war activities which covered such subjects as the switch-over of industries to munitions, aspects of the efforts of local industries to meet the supply position, the work of the civil population and of the services, and publicizing of the national war effort. Photographs.—During the year nearly 100,000 photographs of all sizes were produced. Of these, a very large proportion consisted of prints from pictures of service personnel taken by military photographers in the Middle East and in the Pacific. These were in heavy demand from the relatives of servicemen. The useful facilities provided were very much appreciated by those concerned. Overseas distribution of photographs representative of all phases of New Zealand scenery, industries, resources, peoples, and of its national contribution to the war effort of the Allies commenced during the year. A photographer is employed fully in obtaining up-to-date pictures of the Dominion's scenic and other attractions, the customs, life, and work of the people, and of its production activities. Film Strips.—The work of making film strips continues to expand, and apart from valuable publicity material created, fairly large quantities of these film strips have been prepared for educational purposes and supplied to the Education Department for distribution to schools and colleges. A commencement has been made with the object of producing film strips in natural colour, but, unfortunately, there is a considerable delay as the negatives made have to be forwarded to the United States of America for processing and printing. Film.—Production of a weekly review covering the war effort, various local items of news interest, and of the activities of New Zealand Forces overseas continued and was distributed, as usual, through the various Dominion theatres. This topical film continues with sustained interest and is well received throughout New Zealand. Copies of selected items have been forwarded from time to time throughout the year to news-reel companies in Australia, in London, and in Washington. A number of special films was made, and these have covered a wide range—some of the subjects dealt with were war loans, air training, and pilchard fishing. Films in the 16 mm. size have been distributed locally, to all overseas Legations, to the Middle East, and to the Pacific Islands. Production in natural colour was commenced, and a special film, " Auckland— City of Health," was distributed overseas. Further subjects are in preparation, but progress in natural colour work lias been handicapped by the necessity for the processing to be carried out in the United States of America. The Producer of the National Film Unit visited North America during the year and purchased a considerable quantity of up-to-date equipment. The quantity of film distributed during the year under review, in both 35 mm. and 16 mm. sizes, exceeded, in the aggregate, 1,000,000 ft. National Film Library.—This continues to grow, and the current distributions exceed four hundred films weekly throughout New Zealand. The future activities of the library are under consideration as regards augmentation of the stock of films. In the meantime a new and comprehensive catalogue has been issued. Art Branch.—The activities of this section were centred upon national campaigns, booklets, and posters, and other material for publicity purposes. Considerable work was also carried out in connection with the Christchurch and Dunedin Industrial Exhibitions. A large number of paintings of New Zealand scenes was also undertaken. (b) Replanning of Literature The work of rewriting and replanning of tourist literature covering the whole of New Zealand's natural and sporting attractions has been put in hand. All the essential material necessary to supplement other forms of publicity will also be in readiness for distribution abroad and at home immediately it is -propitious to do so. (c) Forward Planning Satisfactory progress was made during the year in formulating plans for future advertising operations. Staff conferences have been convened at intervals, and a progressive policy calculated to provide the widest dissemination of material and information has been laid down. The basic principles of distribution and coverage have been decided upon, and every practical step has been taken to ensure that at the time when it becomes desirable to inaugurate selling campaigns overseas and within New Zealand all equipment necessary to the successful undertaking of these tasks will be at hand.

3

H.—2

11. MAINTENANCE AND DEVELOPMENT OF RESORTS, HOTELS, ETC., UNDER THE DEPARTMENT'S CONTROL (i) Sanatoria and Baths Rotorua. —The number of applications for sanatorium and out-patient treatment has remained very large, and difficulty has been experienced in maintaining staff and equipment adequate to deal with the position. The baths have been availed of by patients from the Services and the Air Force Convalescent Hospitals. Pyretic baths have been found of value in a number of Service cases, and the installation of two new baths of this type is in hand. The average number of patients in the Sanatorium during the year was 37, and the limited staff available owing to man-power difficulties has prevented the institution from being kept full the whole time. The results, however, reflect credit on the present depleted staff, who have carried out essential and useful work under great difficulties. Bath treatments given to Sanatorium patients during the year numbered 7,792, and massage and special treatments were 7,578. The Main Bath House, in spite of frequent shortages of staff, has been conducted on very efficient lines, and the Acting-Balneologist records many personal expressions of appreciation from satisfied patients. Serious concern was felt at the position that has arisen at Whakarewarewa through the drop in the level of Lake Roto-a-tamaheke. During the year the supply of hot water for the baths from this source ceased, and although many alternative sources in the locality were tapped no satisfactory results were obtained. The resultant loss for a time seriously curtailed the functions of the treatment and pleasure baths. Representations made to the Department of Scientific and Industrial Research have been implemented during the year with the assistance of that Department's geophysicist. Bores were put down in the Government Gardens to maintain a satisfactory supply of hot mineral water to the Blue and other baths, and, in conjunction with the officers of the Department of Scientific and Industrial Research, exploration and investigation of permanent supplies of thermal water are in progress. The continued popularity of Rotorua as a spa depends upon an ample supply of thermal water for treatment and recreational purposes. The massage and physiotherapy work at the Sanatorium has been carried out very well, notwithstanding the smallness of the massage staff, but an increase in numbers and equipment is essential to meet the demands now made. The prospects of obtaining increased staff and equipment for the present are not good, and the work is heavy throughout the year. Great assistance from the Health Department by the allocation of two masseuses for six-monthly periods is gratefully acknowledged, but the strain is being felt by the older members of the staff. A great deal of maintenance work has been, carried out during the year in connection with the various bath buildings, and much more is still required at the main building, the structures of which are showing the effects of steam and sulphur compounds. The most urgent work, that of the repair of the Public Priest Bath on the women's side, is in hand. The Acting-Balneologist reports 1,834 first consultations and 1,663 second consultations ; 30,523 massage treatments have been given, and the total of treatment baths during the year was 36,390. Te Arolia.—Revenue receipts at Te Aroha show a slight increase as compared with the preceding year, but there has been a substantial decrease in the number of treatments at the baths. This is due, substantially, to the closing of No. 1 Bath, the accommodation difficulties resulting from staff shortages evident throughout the country, and the absence of massage facilities at this spa at the present time. Maintenance and repairs during the year have been carried out, and the administrative building and other installations have been painted. It has been decided that the Mokena Geyser be re-bored twice in the year instead of once in order that the supplies of hot mineral water may be obtained on a more plentiful scale. As hitherto, bowls, tennis, and croquet have continued to be very popular and these amenities have been fully utilized during the season both by visitors and residents. The most distinguished visitors at Te Aroha during the year were His Excellency the GovernorGeneral and Lady Newall. Morere.—The caretaker reports that the Department's swimming and treatment baths and reserve have been maintained in an efficient manner. Several chains of additional track have been formed, following the stream beyond the top bath-house, and resulting in a pleasant scenic walk. Morere has become increasingly popular during recent years with those who desire a restful holiday in delightful surroundings. The progressive extermination of deer and goats has resulted in the regeneration of the beautiful native forest in portions of the reserve that had been damaged in the past. (ii) Hotels, etc. Waitomo Caves.—This resort continues to attract many visitors, and although, in common with other houses under the control and management of this Department, staffing difficulties have been a serious problem and have limited the hotel's capacity to accept bookings, the results have been very satisfactory. The Manager reports that during the past year much of the deferred maintenance and repair work that was not possible of accomplishment during the past four years has been carried out. Lake House, Waikaremoana.—This house has continued to receive popular support and was well patronized by visitors from other parts of New Zealand, but particularly by residents of the East Coast districts. As usual during the summer months, camp-sites and huts were well occupied. Facilities for excursions to places of interest in the vicinity and for angling were fully availed of. No major reconstruction activities are recorded for the year other than improvements in drainage and disposal of effluent. Because of the impossibility of securing staff this house had to be closed to the public from May to November.

4

H.—2

Tokaanu.—This hotel has been operated by the Department since Ist March, 1944. Removal to a new site has, for the time being, necessarily been in abeyance. It has been found essential to effect a number of repairs and various improvements in the meantime with a view to affording reasonable service. Hermitage, Mount Cook.—The Hermitage made satisfactory progress since its reversion to Departmental control last year. An additional area of 1,350 acres of Crown land in the Mount Cook District was vested in the Department during the year. Many very necessary repairs have been effected since the Department took over, and a number of improvements, mainly to afford better staff accommodation and to provide more comfort for guests, are now being carried out. Great difficulties have been experienced by the management largely because of the isolated position of the Hermitage in securing experienced hotel workers, and because of the great shortage of suitable labour offering for this class of work. Te Anau.—Notwithstanding the road-travel restrictions that have prevailed, this hotel has made satisfactory progress and it has been maintained at an excellent standard. The main buildings have been completely painted and the whole premises kept in good order. When tourist traffic to Glade House and the " World's Wonder Walk " is resumed it may be necessary to provide additional shipping facilities on the lake. Glade House, Milford Hotel, and Milford Track.—The Milford Track remained closed during the year, and since war broke out. A great deal of repair and maintenance work will be involved in restoration of the condition of the track, huts, and Glade House before this tourist route is reopened for traffic. None, however, of the work is of an urgent nature at the present time, and it has therefore been decided to defer restoration until the season before which it is proposed to reopen. The unavoidable deterioration through avalanches and floods is not regarded as irreparable. The Hotel Milford has been maintained in good order and, although access during the year has been restricted to a large extent, a few visitors have made the journey via the Homer Tunnel. Owing to man-power difficulties no improvements could be carried out, but everything has been maintained in first-class condition. When the Eglington Valley Road is completed and bridged, a huge traffic to this scenic wonderland is expected. Cascade Creek Camp.—This camp has been closed ; the contents are reported to be in first-class order and condition. It is not anticipated that much work will be involved in restoring it to running order before normal traffic is again resumed. Chateau Tongariro.—This hotel has continued under the temporary control of the Mental Hospitals Department during the year. Stewart Island. —Improved shipping facilities have been provided by the Marine Department subsidized by the Tourist Department. Certain sites have been investigated with the idea of purchase for development of additional holiday accommodation at this delightfully unspoiled scenic island. (iii) Miscellaneous (a) Little Barrier Island The report of the caretaker of this valuable sanctuary discloses that good work has been carried out during the year and that the island has been efficiently patrolled. Energetic steps have beeii taken, with considerable success, to exterminate cats and rats, a large number of the latter pests having been destroyed. The native bird population, both endemic and migratory varieties, appears to be as numerous as ever, and, in accordance with established practice, the natural bird-food resources of the island have been supplemented with food substances appreciated by the feathered inhabitants. The only untoward events of moment were a damaging gale during August and a large slip at East Cape in November. The cottage and outbuildings have been reconditioned, essential repairs and painting completed, and a concrete path extended by the caretaker. Endeavours are being made to arrange for radio communication with the mainland. (b) Rotorua (1) Electrical System.—Marked progress has been made during the year in changing the primary voltage of the Rotorua system to 11,000 volts. Difficulties of obtaining materials and supplies and the absence of trained labour have resulted in the supervising staff carrying an added burden in the execution of the specialized work involved in changing the primary voltage. At the end of the year 75 per cent, of the Department's load had been transferred to the new voltage, but further change-over was prevented by inability to obtain certain equipment. Fifteen miles of main lines were completely rebuilt with little interruption to main supply, and transformer positions relocated to enable efficient distribution of power and provide for anticipated increases in loading. Renewals and maintenance of services were vigorously pushed ahead. New development work during the year was carried out in connection with the Native Department's farming scheme at Tikitere. Delay in the receipt of essential apparatus prevented the use of electric power for the last dairying season, but it is anticipated that before the new season begins the Native farmers will have the advantage of electric power. In all, 4J miles of new high-tension lines, six transformer positions, and 3J miles of low tension distribution lines were constructed. An overhaul of the street lighting system to restore it to pre-war standard attended the lifting of the emergency lighting restrictions.

5

H.—2

The supply area under the control of the Department was not subject to major storm damage during the year and 110 excessive periods of power interruptions were experienced. Individual consumer's faults showed a marked reduction on the previous year's figures —this is attributable to detailed attention to maintenance of consumers' services and the reiuspection of consumers' installations and appliances. The engineering staff has maintained the system's demand within the close limits of the Orders issued by the Electricity Controller for the conservation of electricity. In anticipation of post-war development in the Rotorua area, preliminary surveys are being made of the surrounding areas not at present served with electric power and the engineering staff is ready to proceed with the reticulation of those areas when the demand requires it. (2) Water and Drainage System.—With the exception of two small extensions to the system, little new work was carried out during the year. During periods of dry weather the adequacy of the supply was severely tested and was of some concern to the Department's officers and restriction oil the use of garden hoses was found necessary. The necessity for additional reservoir capacity and the provision of additional mains is evident. Continuous maintenance work provided the main activities of the staff. A landslide in the Homo Gorge following heavy rains in August, 1944, carried away portion of the main water-supply pipe-line, leaving Rotorua without water for forty-eight hours until repairs of a semi-permanent nature were effected. A new route has been surveyed to take the line through more stable country, and it is proposed to proceed with this work when materials come to hand. Major reconstruction work to remedy inadequacies in the sewerage system will require to be provided for in the near future. During the year the Rotorua Borough Council made representations to the Government with a view to having the water-supply and inner sewerage systems transferred to the Council. The Government has agreed to the transfer at a price to be determined by a Commission as provided by the Rotorua Town Act. Both the Department and the Council are assembling information for presentation to the Commission. (3) Gardens and Reserves. —The policy of past years has been carried out and the usual displays have been maintained within the available limits imposed by war conditions. The playing areas were well patronized during the year, and it is hoped to carry out a number of improvements and enlarge the present areas during the coming year. (4) Waimangu Round Trip. —The District Manager reports that although traffic early in the year was light, greatly increased numbers undertook this trip during the last quarter of the year. The Waimangu Tea House was reopened during the year. The efforts of the staff in re-establishing this side trip have been successful, and it continues to be popular with visitors. The Department's launches have been maintained in good order, but some replacements will be necessary to cope with traffic in the future. (5) Hotel Accommodation. —The District Manager invites attention to the lack of adequate accommodation in Rotorua and the need for improvement in the standard provided. For various reasons at least ten accommodation houses are no longer catering to the needs of the visitor. This represents a very serious loss of approximately seven hundred beds, and means that hundreds of persons have had to be turned away each summer. The present indications arc that only two, possibly three, of these houses will again reopen to the public, and even then this does not appear likely to take place for some time after the end of the war with Japan. Of four licensed houses in Rotorua one only has a few rooms with private baths, three only have hot and cold water in bedrooms, and one only has central heating ; of about twenty-five unlicensed houses three only have hot and cold water in bedrooms, and none provides private baths or central heating. (c) Queenstown A mild winter with little snow and frost provided conditions favourable for growth 011 the playing areas and for the propagation of seedlings. Seedling trees have- been cut out of the top portion of the gardens and trees in the vicinity of the Scott Memorial thinned to provide a more attractive view from this part. The bowling-greens are being reconditioned, and the croquet-lawn and tennis-courts have also received attention. All playing areas were satisfactory for play during the season. Repairs were made to the park kiosk and the building has been repainted. Lawns and gardens generally have been maintained in good order. The playing areas and gardens have, as usual, been most popular with visitors. The Routeburn Track and huts were inspected and necessary repairs carried out, including the clearing of fallen trees, the erection of a new bridge across Bridal Falls Creek, and the building of new fireplaces into the huts at Routeburn. The tracks from Elfin Bay to Howden, and from Queenstown to Ben Lomond Hut and Queenstown Hill, are reported to be in good order. As in previous years, the tourist traffic to Queenstown has been heavy, and all accommodation available has been fully taxed. Many hundreds of visitors were of necessity turned away because of the lack of accommodation, which was accentuated by staff: shortages in hotels and guest-houses. The provision of additional tourist accommodation by the Department has been under consideration. 111. PASSENGER-BOOKING ACTIVITIES The scope of the work performed by the various bureaux and booking agencies of the Department in New Zealand is reflected very largely in the sales turnover for internal travel for the year under review. Total sales amounted to £619,731. The results are particularly satisfactory in view of the difficulties with which the existing very depleted staffs have had to contend, and are more than £56,000 better than the pre-war year 1938-39.

6

H. 2

Tlve upward trend of sales that has been experienced since 1938-39 is largely attributable to the greater use of the public transport services and the correspondingly smaller use of private motorvehicles. This has greatly taxed the capacity of all public conveyances, including rail and road transport. The lack of facilities for overseas travel lias probably been an important factor also, and doubtless lias induced some residents to see more of their own country. Hallway travel restrictions on a more severe scale have had a braking effect on this upward trend, and the departure of Allied servicemen is also reflected in a decrease this year as compared with the previous year. In common with other organizations, many of the Department's well-trained sales officers are still serving with the Armed Forces. This expert personnel is indispensable for the normal conduct of business, and the absence of a large proportion —virtually every fit and able member of the booking staff —has thrown much additional work and responsibility upon the remaining trained skeleton force. It is pleasing to record that several members of the staff, their experience broadened by overseas service, have since returned to duty, and as others resume the position will become stronger. Apart from staff difficulties, major problems have been those associated with reduced time-tables, accommodation shortages, and travel restrictions. Every effort, however, lias been made, and with some success, to extend the best possible service to all travellers, and the assistance that has been given to travelling members of the Armed Forces and returned servicemen continues to be appreciated. Altogether the limits of the capacity of the booking-offices to render the complete service of normal times have been narrowed by the fortuitous circumstances of wartime emergency and certain factors beyond our control; but the continuing popular support and the co-operation of all associated interests which is being received by the .Department is, in itself, evidence of the importance and essentiality of the work that is entrusted to it. The sixteen booking agencies established in various centres throughout the Dominion have extended the facilities of the Department's system to the travelling public, especially in areas not directly serviced by the regular bureaux. Excellent work has been performed by each of these booking agents, and they share the credit for the increased sales turnover. IV. LIAISON WITH ALLIED INTERESTS An important function of the Department in servicing travel to and within New Zealand is the co-ordination of all component sections of the tourist industry so that the united efforts of alt concerned may be focused upon a common objective—that of fullest service to the tourist, whether from overseas" or those who constitute the domestic traffic. The work of the Tourist Development Committee of the Organization for National Development is therefore of considerable significance in regard to the Department's forward programme, and the following outline of the activities of this advisory and consultative body during the year are, accordingly, a propos. The Tourist Development Committee is representative of all organizations directly connected, on a national basis, with the tourist industry. It has enlisted the interest and assistance of all those, both governmental and private, that perform the many incidental services required for the development of what is expected to rank as one of New Zealand's most lucrative industries and one that can ultimately occupy a position of considerable importance in the internal economy of this Dominion. Every aspect of the development of the tourist industry receives the attention of the Tourist Development Committee, but the more important matters that have received consideration during the year were :— (1) Adequate publicity and advertising overseas : (2) The development of national parks and domains for the use and enjoyment of the people, and full co-operation with ski, tramping, fishing, shooting clubs, &c.: (.3) The provision of modern hotel accommodation and suitable lodge and camping sites : (4) The training of hotel staff: (5) The provision of modern transport facilities : (6) The development of the spas along the lines of modern health resorts : (7) Sponsorship of " staggered " holidays to relieve congestion on transport services and in hotel accommodation at peak periods : (8) Extension by the Department of tour sales liaison with travel agents, shipping and air service organizations in overseas countries: (9) Expansion of " group travel" and party tour facilities: (]()) Restoration of separate entity to the Department. The policy of the Department and the Tourist Development Committee is essentially national in conception and outlook, and, apart from the development of New Zealand's natural attractions and the encouragement of travel to this country, it also rates as equally important the provision of facilities that will enable the resident population to enjoy these attractions and obtain the undoubted benefits of annual holidays at a reasonable cost. The amount of money expended in any country by visitors ranks as an invisible export —the export of scenic and other attractions. In the 1938-39 season more than 22,000 tourists visited this Dominion, and it is estimated that the amount spent by them on hotel accommodation, transport, and the many services directly associated with the tourist industry amounted to £1,500,000 to £2,000,000. Tourists' expenditure benefits all sections of the community, directly or indirectly—some immediately, others ultimately. Tourists also contribute to the national revenue in other ways —e.g., by indirect taxation and by the use of Government services and, moreover, the costs incurred in providing the necessary services for overseas visitors also benefit many local businesses and industries and help to provide amenities for the New Zealander to see his own country.

7

H.—2

It will be seen, therefore, that the work of the Tourist Development Committee is not only of importance in regard to the achievement of certain national aims, but it also provides the machinery for greater active liaison between the Department and the innumerable interests that combine to form the tourist industry of the Dominion. REVENUE AND EXPENDITURE The following is a table of revenue and expenditure over three consecutive years to the end of the year in review : — 1942-43. 1943-44. 1944-45. £ £ £ Expenditure .. .. .. 173,967 170,652 249,485 Less revenue and credits-in-aid .. 148,735 162,897 207,841 Excess of expenditure over revenue 25,232 7,755 41,644 Development of tourist resorts .. .. 34,511 10,029 38,550 Total net expenditure .. .. £59,743 £17,784 £80,194

Approximate Cost of Paper.—Preparation, not- given ; printing <,745 copies, £15;

Authority: E. V, Paul, Government Printer, Wellington. —1945.

Price G(t.\

8