7

0.—3

(3.) Improved stacking by careful filleting and classing in millyards. (4.) The more extended use of kiln-drying in sawmills and remanufacturing plants. (5.) A very significant trend which has perhaps a most important price influence is the tendency in distribution to eliminate the middleman or urban timber-yard merchant. Whereas in post-war days it is estimated that only 30 per cent, of the distributed timber in consumption reached the builder directly from the producer, to-day it is estimated at least 70 per cent, conies this way. In other words, the primary producer is now beginning to realize that direct producer-consumer relations mean better returns to the former and lower landed charges to the latter. In addition to wiping out the independent distributor, many sawmillers are establishing their own retail yards in the consuming centres and thereby stimulating wider use of the lower grades, which were always moved slowly under the old system of sale. Another marked tendency (all in the interest of customer service) is the greater merging of the sale of overseas and home-produced timber by the same distributors.

Incline Tramway used for logging Kauri (Agathis australis), North Auckland.

National Arboretum. The original area of 50 acres acquired for the establishment of the national arboretum at Rotorua has been extended by the acquisition of 29 acres of adjoining land. Stocks of about two hundred and fifty indigenous and exotic species are being raised in the Whakarewarewa Nursery for the arboretum, and the first instalment of specimens will be planted therein during the 1928 planting season. Every effort is being made to make the arboretum fully representative of the world's principal softwood utility and ornamental trees. Study of Forest Engineering. The work of training forest engineers and forest rangers at the Schools of Forestry at the Auckland and Canterbury University Colleges made excellent progress during the year, fifteen students being in attendance. It is to be hoped that official consideration can be given in the near future to a merging of these two schools into one strong School of Forest Engineering.