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1893. NEW ZEALAND.

MANUFACTURES AND INDUSTRIES COMMITTEE. (REPORT ON THE FLAX INDUSTRY, TOGETHER WITH PROPOSED CONDITIONS RELATIVE TO THE GRANTING OF BONUSES.)

Report brought up Ist September, 1893, and ordered to be printed.

ORDERS OP REFERENCE. Extract from the Journals of the House of Representatives. Pbiday, the 21st Day op July, 1893. Ordered, " That a Select Committee be appointed to consider how the manufactures and industries of the colony may be encouraged. The Committee to consist of Mr. Wilson, Mr. Duncan, Mr. Lawry, Hon. Mr. Mitchelson, Mr.. O'Conor, Mr. Pinkerton, Mr. E. M. Smith, Mr. Tanner, and the mover."—(Hon. Mr. Reeves.)

Wednesday, the 2nd Day op August, 1893. Ordered, " That the name of Mr. Carncross be added to the Manufactures and Industries Committee." —(Hon. Mr. Reeves.)

EEPOET ON THE ELAX INDUSTEY. The Committee to whom the above industry was referred for consideration have the honour to report that they have taken evidence upon the flax industry, and are of opinion that an expert grader should be appointed by Government for the purpose of protecting the interests of the producers, such expert to be paid by the grading fees charged to the manufacturers, so that no expense will fall upon the colony, notwithstanding the possible difficulty of getting the purchaser to take advantage of such a grade. The Committee would strongly urge upon the Government the necessity of offering a bonus of £4,000 for the encouragement of the flax industry, to be distributed in the following manner : — 1. A bonus of £3,000 for a machine or process which will materially reduce the cost of production. 2. A bonus of £500 for a machine or process which materially increases the value of the dressed fibre. 3. A bonus of £500 for a mode of utilising the waste products of the industry. Your Committee further report that they append regulations, drawn up by them as requested by the House, which will require to be complied with before any bonus could be granted. Such regulations are sufficiently stringent to insure that, before public money would be spent, the industry must be materially benefited by the expenditure. Ist September, 1893. James G. Wilson, Chairman.

Bonus foe the Encoueagement op the Flax Industey. Mode of distribution and regulations in relation to above bonus. A bonus will be given,— (1.) Of £3,000 for a machine or process which will materially reduce the cost of production ; (2.) Of £500 for a machine or process which materially increases the value of dressed fibre; and (3.) Of £500 for a mode of utilising the waste products of the industry. Conditions in Belation to Bonuses Nos. 1 and 2. 1. All applications for either of the bonuses must be sent addressed to the Hon. the Minister of Agriculture, not later than 31st March, 1894 ; and each application must be accompanied by a description of the machine or process, setting forth the particulars of improvement on present machines or processes, and also the cost at which the machine or process can be supplied. 2. The applicants must be prepared to show their machines or processes at such time and place as the Minister may direct. 3. The Government shall appoint a Committee of three or more experts, under whose instructions and before whom all tests shall be made. Such Committee may inspect the machines or processes at the place where the applicant desires to exhibit them, and, having so inspected the whole of the machines or processes, may direct that any machine may be brought to such place as they may select. The costs of bringing such machines, and all costs of trial, to be defrayed by the Government. 4. Twenty tons of green flax will be supplied to each machine or process to manufacture into dressed fibre, baled up ready for shipment.