8.—6

18

SECONDARY INDUSTRIES. Complementary to land-settlement, there is the development of our secondary industries. Owing to our geographical position and distance from the world's markets we cannot expect in the meantime to develop an export trade in manufactured goods, but honourable members will agree that the requirements of the local market are sufficient to justify a more extensive development of our secondary industries than obtains at present. Moreover, this country could support and keep employed a much larger population if greater support were given to the local industries. The Government has given serious consideration to the problem and has already assisted to a considerable extent. In this connection I might mention on the technical side the investigations conducted by the Department of Scientific and Industrial Research into the leather industry, the low temperature carbonization of coal, and the profitable utilization of slack coal in the form of briquettes, &c. On the financial side, in addition to the considerable assistance given by the imposition of Customs duties on imported goods, the Government is giving a bounty for the successful production of iron and steel within the Dominion, and also offering a bonus in connection with the utilization of by-products of coal. The Government has also borne the expense of several inquiries into local industries, as, for instance, the Timber Industry Committee, which inquired into the possibility of greater utilization of New Zealand timbers for building and other purposes, and the Footwear Committee, which dealt exhaustively with the problems facing that industry. EDUCATION. As indicated in last year's Budget, the Government is of opinion that the educational system of the Dominion should be developed on more practical lines than have obtained in the past. I mentioned in the earlier part of this statement that practically 99 per cent, of our exports, and consequently the greater part of our national income, is derived from the sale of primary products, so that it is evident that adequate provision should be made in our educational system for tuition in subjects relating to such industries. The Select Committee on Education which was set up la.st session has now completed its investigations into the education system of the Dominion, and its report has now been received. Included in the matters which have been inqiured into is that of co-ordination in administration. In some districts, for instance, there are three separate controlling bodies (Education, High School, and Technical School Boards), each with separate staffs and offices. It should be possible to avoid this overlapping without impairing the efficiency of the administration. Another problem is that of reorganization of schools, whereby the break between primary and secondary education will occur earlier than at present. As regards these and other matters of an. important nature, however, action is being withheld until the Committee's report has been considered by the Government. Further progress was made during the year in the consolidation of country schools, and in districts where local opinion has been favourable, the extra expenditure inconsiderable, and the conditions suitable, the small schools have been closed down and the children conveyed daily to large central schools, where the pupils have the advantage of instruction by more qualified teachers and in better equipped schools. Conveyance of the children by motor-vehicles to the central schools is, where possible, arranged by contract, but in some cases Government buses are provided. The correspondence school continues to minister to the needs of children in isolated localities. It is pleasing to note that a high standard is maintained, and the pupils of this school can compete successfully with those from the ordinary schools. During the year a secondary department was commenced, and three courses have been provided —a general course with an agricultural trend, a course leading to the Public Service Entrance, and another to Matriculation. The educational needs of backward children are not neglected, and the establishment of special classes for such children has been continued. Tuition along very practical lines is being given, and it is gratifying to note the satisfactory results obtained.

Secondary industries.

State assistance.

Education.

Select Committee.

Consolidation of country schools.

Correspondence school.

Backward children.