The Food and Agriculture Organization of the United Nations REPORT OF THE NEW ZEALAND DELEGATION ON THE FOURTH SESSION HELD AT WASHINGTON, D.C., 15-29 NOVEMBER, 1948

Appendix to the Journals of the House of Representatives, 1949 Session I, A-08

A—B

1949 NEW ZEALAND

The Food and Agriculture Organization of the United Nations REPORT OF THE NEW ZEALAND DELEGATION ON THE FOURTH SESSION HELD AT WASHINGTON, D.C., 15-29 NOVEMBER, 1948

Vresented to Both Houses of the General Assembly by L^ave

By Authority: E. E. Owen, Government Printer, Wellington.—l 949.

CONTENTS

Page Report of the New Zealand Delegation .. .. 3 Annexes — ; I. Extracts Taken from an Interpretative Summary of the 1948 FAO Conference Written by the DirectorGeneral .. .. .. .. .. 10 11. Brief Summary of the Report on the Work of FAO in 1947-48 .. .. .. .. ..15

3

FOURTH SESSION OF THE FOOD AND AGRICULTURE ORGANIZATION OF THE UNITED NATIONS The fourth session of the FAO Conference was held at Washington, D.C., from 15 to 29 November, 1948. The New Zealand delegation consisted of —Member : E. J. Fawcett, Director-General, Department of Agriculture. Alternate : R. W. Marshall, Department of Industries and Commerce, Washington. Associate: J. S. Scott, Department of Industries and Commerce, Washington. Advisers: L. J. K. Futter, Department of Industries and Commerce, Washington; W. N. Perry, President, Federated Farmers of New Zealand (Inc.). Secretary-Typist: L. Gair, Department of Industries and Commerce, Washington. At the second plenary meeting Charles F. Brannan, United States of America, was appointed Chairman of the Conference, and V. K. Wellington Koo, China, Jose Manual Casanova, Cuba, and James M. Dillon, Ireland, were appointed Vice-Chairmen. The Chairman and Yice-Chairmen, together with representatives of Brazil, Egypt, France, India, New Zealand, Poland, and the United Kingdom constituted the General Committee of the Conference. The Credentials Committee was comprised of representatives of Ceylon, Costa Rica, Luxembourg, Canada, Mexico, Syria, and Iceland. REPRESENTATION The Conference was attended by delegations from 51 nations, as follows : Australia, Austria, Belgium, Bolivia, Brazil, Burma, Canada, Ceylon, Chile, China, Costa Rica, Cuba, Czechoslovakia, Denmark, Dominican Republic, Ecuador, Egypt, El Salvador, Ethiopia, Finland, France, Greece, Guatemala, Haiti, Honduras, Iceland, India, Iraq, Ireland, Italy, Luxembourg, Mexico, Netherlands, New Zealand, Nicaragua, Norway, Pakistan, Panama, Philippine Republic, Poland, Portugal, Siam, Switzerland, Syria, Turkey, Union of South Africa, United Kingdom, United States of America, Uruguay, Venezuela, Yugoslavia. The following non-member nations and organizations were represented by observers : Argentine ; Bulgaria ; Holy See ; Israel; Iran ; Korea ; Saudi Arabia ; Sweden ; Supreme Command for the Allied Powers; United Nations ; International Bank for Reconstruction and Development ; International Labour Organization; International Monetary

4

Fund; UNESCO ; International Bureau of Analytical Chemists; International Cotton Advisory Committee ; International Wine Office ; Organization of American States ; Associated Country Women of the World; International Federation of Agricultural Producers; International Chamber of Commerce ; International Co-operative Alliance ; International Council of Women ; League of Red Cross Societies ; World Federation of United Nations' Associations ; American Federation of Labour; International Council of Agricultural Industries. ORGANIZATION OF CONFERENCE The work of the Conference was organized in three Commissions : Commission I (iChairman: Viscount Bruce). —Annual World Food and Agriculture Review. Commission II (Chairman: Mr. B. R. Sen, India). —Activities of the Organization. Commission 111 (iChairman : Mr. A. Wantus, Belgium).—Constitutional, Administrative, and Financial Questions. WORLD FOOD AND AGRICULURE REVIEW The Conference had the benefit of the FAO publication, " The State of Food and Agriculture, 1948," as a base document and was therefore .able to review the situation expeditiously. Some later information was available, particularly in relation to crops and harvests. Favourable climatic conditions during 1948 resulted in excellent harvests, particularly in cereals, and a feeling of optimism prevailed so far as supplies of bread and coarse grains were concerned. The demand and supply position for the period July, 1948 - June, 1949, is as follows : Bread Grains. Coarse Grains. Total. Provisional import demands 27 • 4 12*7 40-1 Exportable supplies .. 27*3 12 • 4 39-7 (All figures in million tons.) The significance of these figures can best be gauged if we remember that the deficit between demand and supply in 1947-48 was 20 million metric tons. For the first time since the war, the demand for wheat can be met, and grain is available for stock-feeding in reasonable quantities. The rice position is not so favourable, but it is expected that gradual improvement will take place. The sugar situation has changed from one of shortage and allocations to one of fear of surpluses. World production of oils and fats has reached pre-war level, but consumption in certain regions, particularly in Europe, has not yet fully recovered.

5

It is anticipated that the live-stock industry in the Northern Hemisphere will show substantially increased output, due greatly to availability of feed grain. The European milk situation has already improved, and meat production in Europe and North America should increase during 1949. The supply of textile fibres is, in general, adequate to meet effective demand, but supplies of forest products are inadequate. As a result of the generally improved situation, rationing of food and clothing has been relaxed by some Governments. The Conference realized, however, that favourable seasons have been responsible for much of the improvement, and as reserve stocks will continue at a low level throughout 1949 we will be, to a great extent, at the mercy of climatic conditions. The most significant feature of expansion in food production during the past decade is the 30 per cent, increase which has taken place in North America. This increase has been achieved by improved yields per unit of area employed—not by bringing in new land. This region has become the principal supplier of all deficit areas, and 80 per cent, of the world's cereal exports are from hard-currency countries. Less food is being and is likely to be exported from other areas as a result of political changes associated with increased domestic consumption. It is also a fact that production is expanding less rapidly than population in the deficit areas themselves. This is certainly true of Asia and possibly also of Europe. The situation is complicated by difficulties of international exchange, and unless international trade and payment problems can be resolved, the result might well be aggravated by disequilibrium among supply, demand, and distribution in many spheres. The conference agreed that FAO has a heavy responsibility in the study of these problems, and in the formulation of plans which might alleviate the situation. Higher production and improved nutrition is needed in many areas, but the magnitude of the task is realized. In many deficit countries, production must be increased by 2-3 per cent, per annum to keep pace with population increases alone. As the main source of food supply to these countries must be local, the capital invested in land improvement and organization of production must be increased. Although some assistance might be forthcoming from the International Bank, capital investments in agriculture proper are essentially internal. As individual incomes in backward countries are low, the margin of saving available for investments does not allow of rapid expansion. Thus money incomes, capital investment, and living standards are interwoven.

6

The inability of deficit countries to purchase increasing quantities of food from high-cost countries having exportable surpluses is likely to react detrimentally on production unless steps are taken at an international level. The Conference has stressed the importance of stability in prices and distribution, and the study of this phase of the food problem is to be given special consideration. In order that this might be ensured, the Conference instructed the Council of FAO to make a special study of agreements, in being or contemplated, and to prepare tentative plans suited to all major commodities which are in short supply or which might become surplus to demand under normal trading conditions. The Council was asked to submit a preliminary report of its analysis immediately following the first meeting of the Council, which is scheduled to be held in Paris on 13th June. The Council immediately established a working group consisting of representatives of Australia, Belgium, Brazil, Canada, India, the United Kingdom, and the United States. The commodities coming under review are wheat (including flour), sugar, coarse grains, rice, cotton, fats and oils (limited to edible oils, plus linseed-oil), coffee, rubber, wool,, dairy products entering into world trade (chiefly butter, cheese, and processed milk), cocoa, and tea. In pursuing its studies, the working party will consider the role of FAO in relation to commodity studies and problems ; will analyse the supply—demand position, current and prospective, for each commodity included in its review*; will review past international action on each commodity and the nature of problems arising in developing suitable international action ; and, finally, will draw up recommendations for consideration of the Council. The Council will then report to member Governments. ACTIVITIES OF THE ORGANIZATION The technical activities of FAO are organized under eight Divisions—namely, Agriculture; Distribution; Economics and Statistics Fisheries ; Forestry and Forest Products ; Information ; Nutrition, and Rural Welfare. The Divisions are staffed with specialists in their various spheres,, and are administered by men of wide experience. They are responsible for detailed analysis of the world situation in these particular fields, and v supply or arrange for expert advice to member Governments on all phases of production and distribution of food and forest products.. The Distribution Division has but recently been formed to exercise the functions previously carried out by IEFC. As the commodity committees of IEFC are disbanded, the Distribution Division assumes

7

responsibility for continuing survey and review of the position. This Division will provide the machinery whereby FAO may exercise its responsibilities in the field of marketing, international trade, and distribution. It is feared that the budgetary position of the Organization may become restrictive on the activities of the technical Divisions and it is apparent that the use of divisional staffs must be concentrated on projects of the widest possible application for the attainment of FAO objectives, rather than on details which, whilst important in themselves, may have but limited effect in the over-all improvement of production and distribution. CONSTITUTIONAL, ADMINISTRATIVE, AND FINANCIAL QUESTIONS Finance The accounts for the second financial year, ending 31st December, 1947, closed with a surplus of $145,500.50. Unpaid contributions by member Governments occasion the Organization grave concern. One member Government became ineligible to vote at the Conference as arrears were, equal to two full years' contributions. It appears as though a number of members may become affected during 1949. Budget for 1949 The Conference approved the estimated budget of $5,000,000 for 1949 with minor amendments. This involves an allocation of $378,000 from reserve. It was realized that financing from reserves is unsound, and must not be allowed to continue even if it means a curtailment of activities. The Conference approved of the establishment of a special committee composed of qualified representatives of five member States to prepare a new scale of contributions. This committee is to consider the over-all income in relation to anticipated expenditure, the special position of certain member Governments which are weak financially, and the practicability of contributions being paid partly or wholly in currency other than United States dollars. The report of this committee is to be available to the 1949 annual Conference in order that adjustments, if approved, become operative in 1950. In the meantime, New Zealand's contribution remains at $43,000, and the over-all income from contributions at $4,609,000. Pension Scheme The Conference authorized the Director-General to negotiate and enter into an agreement with the Secretary-General of the United Nations for FAO's entrance into the UN pension scheme, subject to certain conditions covering over-all cost to FAO and the actuarial soundness of the scheme as so amended.

8

Diplomatic Privileges and Immunities The Conference accepted the standard clauses of the UN convention on privileges and immunities of specialized agencies. The provisions contained in Annex 2, which applies to FAO, do not raise any new or controversial matter. Laissez-passer The conference approved certain amendments to the 1947 agreement between FAO and the United Nations in terms of the new clause to be added as Article XVI of the agreement. This new clause provides that officials of FAO shall have the right to use the laissez-passer of the United Nations in accordance with special arrangements to be negotiated. Membership The application of Saudi Arabia for membership was approved. The application of Israel for membership was held in abeyance pending clarification of the attitude of the General Assembly of the United Nations. In the meantime, Israel was admitted as an observer. The application of the Holy See for a special status of " permanent observer " was approved. Permanent Headquarters of FAO The report submitted by the Council of FAO was before Conference, and it appeared as though the offer from the University adjacent to Washington would be favoured. The position became complicated through receipt during Conference deliberations of a letter from the Secretary-General of UN advising that some accommodation would be available at the permanent site of the UN in New York within a reasonable period. As the area, suitability, and general conditions of this offer were not clear, Conference delayed a decision, but instructed the Council of FAO to further investigate the Washington and New York offers. When in a position to make a firm recommendation to member Governments, the Council is to convene a special Conference of FAO in order that the matter might be finalized.

Vacancies on Council of FAO

Five vacancies on the Council were under consideration by Conference. These vacancies occurred in terms of the Constitution, which provides that five member Governments of the original Council retire after one, two, and three years' service respectively. Any future appointment is for a period of three years. The member Governments retiring at the end of the first year were : Australia ; Denmark ; Egypt; France ; India; Mexico. Although the Constitution does not specify region as

9

an essential consideration in representation on the Council, the Conference is advised that regional and geographical factors should be taken into account. Thus under normal conditions Australia and New Zealand should rotate. The election was finally decided by secret ballot, and resulted in all the retiring member Governments being re-elected. This means that New Zealand will not be in a position for election to the Council until 1951 Conference. Chairman of Council Lord Bruce was re-elected to the Chairmanship of the Council of FAO under the same terms and conditions as for 1947-48. Lord Bruce intimated he would not be available for election after 1949, and Conference accordingly instructed the Council to consider the advisability of reviewing the position of independent Chairman and the conditions of his engagement. Fifth Session of the Conference The Conference received an invitation from the Government of Cuba to hold the fifth session of the Conference in Havana, Cuba. As this was the only invitation before Conference, and having been advised that the cost to FAO of holding the session in Havana and in Washington would be approximately the same in either case, the Conference accepted the invitation of Cuba. The session will convene in November, 1949. Some extracts taken from an interpretative summary of the 1948 Conference written by the Director-General are annexed to this report, together with a summary of " The Work of FAO, 1947—48," the report of the Director-General to the fourth session of Conference.

10

ANNEX I EXTRACTS TAKEN FROM AN INTERPRETATIVE SUMMARY OF THE 1948 FAO CONFERENCE In this brief account of the highlights of the Conference, a few words will suffice to call attention to basic facts summarized in the Conference report itself and dealt with at greater length in " The State of Food and Agriculture." The better-than-average 1948 harvests eased the immediate emergency but not the two pressing world needs that keynoted this fourth session to increase production of food and other primary products and to expand international trade in these products. The great economic unbalance in the world to-day heavily underlies these needs. For a decade there have been notable increases in agricultural production only in North America. Most of the rest of the world has not yet caught up with the pre-war position from the standpoint of supplies of food per person. In heavily populated areas especially, the number of human beings to be fed is in general increasing faster than food production. North America has become the principal supplier not only of food but of production equipment for the areas that do not produce enough. In general only this one large area is rich in material goods; most of the rest of the world is poor, much of it desperately poor. For both the physical and the economic health of their people, the underdeveloped areas must greatly increase their food production. But they do not have enough equipment and materials to do it on the necessary scale, enough hard currency to purchase these things where they might be obtained, or enough goods to exchange for them; and many do not have enough land. At the same time, effective demand in the international market—that is, customers able to pay the going price—for food from the highproducing areas is about at the saturation point. Producers in these areas fear that they may break the market if they increase production further —perhaps even if they maintain it at present high levels. Yet they must maintain and even increase production if human needs, as against effective demand, are to be met. There are three dangers in this precarious situation. There will be greater deprivation and unrest in the deficit areas if the gap between population and food supply continues to widen. In the areas producing exportable surpluses there will be difficult and painful economic adjustments to make if steps are not taken to increase commercial demand. Finally, with reserve stocks of food at a low ebb, as they are to-day, any serious crop failures in the area that has become the world's chief food supplier would bring widespread suffering. INTERNATIONAL PROBLEMS OF PRODUCTION AND TRADE Several recommendations passed by the Conference were intended to go down to the roots of these problems. (1) Of the many complex difficulties that stand in the way of increasing production to the necessary extent in underdeveloped countries, lack of adequate financial resources is probably the most fundamental.

11

Much of the financing for agricultural development in the underdeveloped countries—and for the industrial development that must accompany or even in some cases precede it —will obviously have to come from within the countries themselves. A large segment might also be furnished by investments of private capital from abroad. But some financing by public international agencies will also be necessary. At this session of the FAO Conference a representative of the International Bank for Reconstruction and Development outlined what that institution could and could not do under present circumstances. In the opinion of many of the Conference delegates, all present resources for international loans are unequal to the need. On this question, which is so fundamental, of how world production development can be adequately financed it soon appeared in the Conference discussions that there is a dearth of definite knowledge. As a prerequisite for making adequate recommendations for further action therefore, the Conference requested that the Director-General invite the assistance of appropriate agencies, including the United Nations and the International Bank, in preparing a fact-finding statement concerning all present financing facilities suitable for this purposetheir nature and magnitude, the demand for them,' the use being made of them. The Council, in turn, is directed to report these facts to the 1949 session of the FAO Conference. (2) In the case of international trade also, the Conference found that it is necessary to dig out and assess fundamental facts before clear decisions can be made. That the past few years have witnessed great changes in the international trade pattern is widely recognized. These dislocations are both symptoms and causes of many present economic ills. But there is little definite knowledge concerning the nature and magnitude of the changes or the trends significant for the future. To develop the facts necessary for adequate recommendations in this field, the Conference directed the World Food Council —in consultation with all appropriate international organizations, including the Economic and Social Council, its regional economic commissions, and the International Monetary Fund—to study the trends in international trade in food and agricultural products. The results of the investigation, together with suggestions for action by member Governments, are to be submitted by the Council to the 1949 session of the FAO Conference. (3) Meanwhile, the Council was also asked-to undertake a preliminary review of the situation in a narrower range —that of the individual commodities and groups of commodities within FAO's fields. In many of these cases, expanded production in the " surplus" areas (and therefore expanded consumption elsewhere) cannot be attained unless producers have enough assurance regarding future market conditions and prices to enable them to plan ahead. The World Food Council's review is to deal first with intergovernmental commodity arrangements now in existence or under consideration, including their relations to the objectives of FAO and FAO's relations to bodies already established for commodity discussions or negotiations ; secondly with commodities for which there are no existing or contemplated arrangements. The review was considered urgent; its results, together with any proposals or suggestions the Council may wish to make for governmental and inter-governmental action, are if possible to be submitted to member governments immediately after the first 1949 meeting of the Council.

12

In the case of wheat, an international commodity agreement was •drawn up in 1948 but failed of ratification by several Governments. At this session of the FAO Conference the United States delegation announced that negotiations for concluding an agreement will be •reopened early in 1949, and in a speech to the conference the President of the United States said that he would press for ratification by his Government. (4) Another study of primary importance concerns the level of reserve stocks of basic commodities held by Governments. World reserves of food and feedstuffs are in general very low. Larger stocks, particularly of cereals, will have to be accumulated in most countries in the near future. The present balance-of-payment difficulties in many importing countries will necessarily put the burden of financing these stocks more than ever on the shoulders of the producers and the Governments of exporting countries. Meanwhile, there is real danger, the Conference felt, that at current rates of increase the number of live-stock, especially pigs and poultry, may soon be larger than is justified by the supplies of coarse grains that will probably be available in 1949-50. The Conference therefore drew the attention of Governments to the need for caution in utilizing the 1948 harvest, and it requested the FAO Council during the year 1949 to go into the whole question of stocks, including financing, in connection with its proposed review of commodity problems. (5) The FAO Council was also requested at its first meeting in 1949 to review the question of continuing the international allocation of scarce commodities and to take such action as the circumstances may require. The Conference agreed that the time has not yet come to dissolve the International Emergency Food Committee but that each commodity committee that no longer serves a useful purpose should be promptly disbanded. OTHER ASPECTS OF THE FAO PROGRAMME OF WORK The major recommendations outlined above are largely directed to determining more accurately than is now possible what needs' to be and can be done about financing expanded agricultural production in underdeveloped countries and about expanding international trade. The studies to be made during the next few months are designed to lead to proposals for action on some of the world's most important economic problems. Meanwhile, by approving with little change the programme of work for 1949 submitted by the Director-General, the Conference ensured the continuance of the work already undertaken and planned by the Organization in agriculture, distribution, economics and statistics, fisheries, forestry, and forest products, nutrition, rural welfare, and information. This also includes the establishment of regional offices and further development of co-operative relationships v with other international organizations, in particular the regional commissions of the Economic and Social Council. In considering the programme of work, the Conference laid down a number of general principles. For example, first priority should be given to projects that will increase production and result in more effective use of available supplies ; projects that transcend national boundaries and involve co-operation on a regional or a world scale should

13

have special consideration ; so should those arising from requests for technical advice and assistance from the International Bank of Reconstruction and Development or any other agency prepared to give material help to member Governments in expanding production. Much emphasis was given to the need for extension and educational activities if projects for developing and improving agriculture are to be put into effect on the world's farms. Noting that the services of expert technicians are often difficult to obtain, the Conference urged member Governments to grant their officials leave of absence for periods ranging in exceptional cases to as long as five years so that they might accept temporary service with FAO. The Conference also noted with concern that several projects which deserve high priority cannot be carried out because of lack of funds. As one means of stretching the available funds, it recommended that Governments assume a substantial part of the cost involved whenever they call on FAO for special assistance. This would apply to technical missions as well as to visits of FAO staff members undertaken on the request of a member Government. Action on this recommendation is to be postponed for a year, however, pending the preparation of a report by the Director-General for the Council. The Conference emphasized the need for obtaining advice from the Technical Co-ordinating Committee, which was established at the 1947 session but did not meet during the following year. This Committee,, it was suggested, should meet each year prior to the session of the Council dealing with the programme of work for the following year, and assist the Director-General in selecting a limited number of projects to form the basis of a four- or five-year programme. Also the Conference recommended that prior to the next annual session the Director-General convene regional conferences of Government representatives and analysts for the purpose of developing regional appraisals and co-ordinating national plans and programmes. A few points were given special emphasis in connection with the 1949 programme. For example, in the case of fisheries, attention was directed particularly to the need for greater exploitation of inland fish resources and for the provision of gear and other requisites for expanding fisheries production. In the field of rural welfare, emphasis was given to the need for expanding FAO's work on co-operatives by providing a consultative service to member Governments. Convinced that rice problems urgently demand concerted international effort, the Conference approved the draft constitution for an International Rice Council drawn up at the Baguio Rice Meeting but suggested changing the name to the " International Rice Commission " to avoid confusion with commodity councils. The Director-General was asked to proceed with the organization of the Rice Commission as quickly as possible. In forestry, the need for establishing forestry schools in all countries with important forest resources was emphasized. The Conference v urged all interested countries to participate actively in the forthcoming FAO Conference on world wood-pulp problems. The plans for 1949 for a Conference on Forestry and timber problems in the Far East and for a World Forestry Congress to be held in Finland were noted with approval. A recommendation was made that the Director-General convene a meeting of experts in agriculture, forestry, and grazing management for a concerted attack on the problems of land utilization in tropical and subtropical regions.

14

Among recommendations regarding the information and publications programme was one asking that member Governments consider establishing national advisory or co-ordinating groups on information which would work with the National FAO Committees or other national FAO agencies. Another emphasized the need for enlarging the circulation of FAO publications among administrators, technicians, students, and •others. A number of activities not included by the Director-General in his proposed programme were added to it by the Conference : Work on foot-and-mouth disease control, a survey of existing facilities for international reporting of outbreaks of plant and animal diseases, establishment of the consultative service on co-operatives, already mentioned, continuance of the agricultural library at Rome during the coming year (including acceptance of an offer of temporary collaboration by UNESCO), and continuance of the work of collecting information on national laws relating to agriculture. Since no recommendations were made for dropping other projects to meet the additional costs of these activities, it was left for the Director-General to . take up with the Council the problem of how and on what scale the additions to the programme are to be carried out.

15

ANNEX II THE WORK OF FAO, 1947-48 SUMMARY OF THE REPORT The following paragraphs briefly summarize the work of FAO in the twelve months since the third session of the Conference, held in Geneva, 25 August to 11 September, 1947. The Council of FAO, or World Food Council, was set up immediately after the Geneva Conference. It has kept world problems of food and agriculture under review during the year and strengthened the organization in dealing with them. Following the instructions of the Council, the Director-General has drawn up a programme of work for 1949 which sets priorities for the numerous recommendations for FAO activities made by the Conference. International allocation of basic foods has taken the sharp edge off some acute shortages. This work was continued without interruption by the International Emergency Food Committee of the Council of FAO, which in January 1948, took over the functions and responsibilities of the former International Emergency Food Council. Several regional meetings were held in 1948 to lay foundations for future work. At Cairo, representatives of Near East countries made proposals for irrigation and other improvements capable of greatly stimulating the economy of that region. At Baguio, in the Philippines, a series of conferences drew up plans for co-operative action designed to increase rice and fish supplies and improve the nutrition of peoples of South and East Asia. At Teresopolis, Brazil, a Timber Conference agreed on farreaching measures needed for developing the forest resources of Latin American countries. At Montevideo, Uruguay, the countries of Latin America made plans for future work in nutrition. At Rome, representatives of European National FAO Committees dealt with problems of agricultural rehabilitation and development. A wide range of technical advisory services designed to help countries and regions overcome handicaps to increased production and better distribution of food and other products has been supplied to member countries. Much but not all of this work is done under the FAO/UNRRA agreement, which made it possible to place FAO technical experts directly at the service of many countries formerly receiving UNRRA aid. In Europe, some 35 assignments were completed by the end of June, 1948. In China, where a great deal of UNRRA equipment was available, more than 50 projects have been in operation, including some large-scale undertakings—for example, a programme now under way for vaccinating 15 million animals against the deadly live-stock disease, rinderpest. FAO missions went to two countries at the request of their Governments. One mission went to Siam, the chief rice-exporting country of South-east Asia, to make a broad survey emphasizing possible improvements in the production of rice and of forest products, and in the management of live-stock. Another went to Venezuela to determine ways of increasing the production of edible oils, now seriously lacking in the Venezuelan food supply. Also, the full report of the mission to Poland, which completed its work in 1947, was published this year. With the regional economic commissions set up by the United Nations, FAO is carrying out agricultural, fisheries, and forestry work. One FAO group working with the Economic Commission for Europe (ECE) analysed the agricultural reconstruction and development programmes ■©f 26 European countries through 1950/51. The FAO/ECE European Timber Committee has followed up the recommendations of the Marianske Lazne Timber Conference, which resulted in a 10-per-cent. increase in

European timber production to meet the severe shortage. A Joint Working Party on which FAO has three members has been set up by the Economic Commission for Asia and the Far East to determine the equipment and materials needed for expanded production in that region. FAO will also have two members on the Joint Working Party which will be set up by the Economic Commission for Latin America to survey the economy of the region and determine what equipment and materials are needed for expansion. With other international agencies a network of co-operation is developing. At its sixth session the Economic and Social Council focused attention on the continuing world food crisis and took steps to bring about coordinated action by the specialized agencies in alleviating it. FAO will report to the Council on what has been done and recommend further action. FAO has worked hand-in-hand with the United Nations International Children's Emergency Fund throughout the year, and is establishing close working relations with the World Health Organization. On technical matters —statistics and economic studies, for examplethere is day-to-day co-operation with United Nations units and with other specialized agencies, such as the International Bank for Reconstruction and Development and the International Monetary Fund. Collaboration with various intergovernmental and non-governmental organizations outside the United Nations is also increasing. Work in the regional offices has been clarified by establishing principles which will govern their organization. Main objects are to ensure centralized policy and programme making at the headquarters of FAO, but decentralized operation of programmes in the regions. A regional representative, directly responsible to the Director-General, will have charge of actual operations in each region. Technical workers will be sent to the region for temporary periods from FAO headquarters as they are needed but will remain attached to their Divisions and on the headquarters pay-roll. The nucleus of a regional office for the Near East was established in Cairo during the year. In Europe, the work of the regional office at Rome has been supplemented by FAO activities at Geneva, the centre for co-operation with ECE. An interim appointment of a regional representative for the Far East will be made soon, and a regional representative will likewise be appointed for Latin America. General and regular services to Governments, unsensational but indispensable, are crystallizing into more definite patterns as needs become clearer and experience shows what can and cannot be done with the funds available. In particular, the year has seen some notable publications in international statistics—a "Yearbook of Food and Agricultural Statistics," a " Yearbook of International Trade in Agricultural Commodities," a " Yearbook of Forest Products Statistics," and a pioneering international " Yearbook of Fisheries Statistics," the first ever to be compiled. Publication of statistical bulletins for agriculture, forestry, and fisheries was also begun. A number of technical studies in fields of interest to all or most FAO member nations have been published. A full-scale consultation on the world food situation and the programmes of member Governments for the next year will be the principal business •of the 1948 FAO Conference, to be held in Washington beginning 15 November. The Director-General will present an analysis, " The State of Food and Agriculture, 1948." This, together with the recommendations of the Council of FAO, should provide a basis for policy decisions on urgent issues relating to better use of soil and water resources, increased production from farms, forests, and fisheries, and more effective distribution.

Approximate Cost of Paper.—Preparation, not given ; printing (598 copies), £3O.

By Authority: E. E. Owen, Government Printer, Wellington.—-1949. Price 6d.]