a.—lo.

on either bank of the Whakatane River and, besides growing maize and the usual vegetable crops, were supplying milk to the cheese-factory which was close to the settlement. It was said that they were responsible for one-third of the output of the factory in that season. The pastures were, on the whole, of poor quality, the fences were constructed of indifferent materials, willows serving as posts; there were undrained marshes; the milking-sheds and equipment were correspondingly in need of improvement; and the herds, as shown by herd-testing since the development policy was applied, were of very low yield. The position to-day, making all due allowance for the setback to all farming caused by the low price-level for primary produce, marks a vast improvement. The Consolidation Officers have completed the adjustment of titles, so that farm operations are conducted with a knowledge of the ownership and of boundaries. Top-dressing has been carried out extensively ; the whole of the fencing is being reorganized with permanent materials ; indifferent pastures have been ploughed up and resown with approved mixtures of good seed ; increased provision is being made for winter feed ; herd-testing and culling have been commenced, and new dairy stock (500 head) purchased from good herds in Waikato has been introduced. It is reported that the proportion of the Native output from the Ruatoki factory has increased from one-third to nearly one-half. New land is being brought in, but, as this aspect relates to breaking in undeveloped land, no further mention need be made here. (5) The variations in the type of land. Operating, as the Native development schemes are literally from the North Cape to the Bluff, it is easy to appreciate the great variation in soils, occasioning a corresponding variation in development practice and soil-treatment. The papa soils of the Poverty Bay east coast, a district free of the blackberry and ragwort pests, are best suited for surface sowing on bush burns. Pastures are easily established in favourable weather conditions, and the land requires only judicious stocking with sheep and cattle to consolidate it and to enable it to commence production. The forest areas north of and in the King-country need more careful handling, and in some cases a light application of fertilizers. Those of Southland, at Oolac Bay and Kawhakaputaputa, demand still more expert management by men familiar with the farm practice of that district. The open fern and scrub areas vary from the gum lands and scoria of the north to the pumice lands of the lower King-country, Taupo, and Rotorua districts. On these the Maori settlement colonies have been introduced to large-scale development with the most modern tractor or horse-drawn implements. Reclaiming tidal flats, draining small marshes, grubbing gorse- or blackberry-ridden areas, and stumping old clearings ready for the plough are experiences met with over the two Islands by the far-flung development units. General Organization. Adjustments were made in the Head Office of the Native Department for the official direction of the organization and for the control of finance. Mr.. G. P. Shepherd, Chief Clerk, was appointed Director of Native Land Development, and Mr. Lawless, the accountant, took charge of the special development scheme accounts. The work has entailed a severe strain on the office staff, which is difficult to relieve in this period of economy in the Public Service. Apart from the Tokaanu Scheme, which is administered by the Native Trustee, the local administration is conducted through the seven Maori Land Boards. These bodies had already acquired experience in making advances to Maori farmers and in passing judgment on facts relative thereto. They had custody of the titles, had local knowledge of the lands and people, and possessed staffs, both European and Maori, which with some adjustments could be made to serve the development policy. In the field there was already an efficient staff of consolidation officers, whose assistance in regard not only to the title basis on which it was proposed to establish the future farmers, but also in regard to the selection of personnel, would prove invaluable. There remained one important factor to be supplied—namely, a body of supervisors which would organize the various schemes and lay out and watch over the development and farming operations. Much depended on the capacity of a supervisor to adapt himself to the policy of developing land with would-be Maori settlers in a manner and by methods calculated to inspire confidence and draw out the best in them. The technique of land-development with units of Maori tribes for occupation and farming on modern lines by those units has produced a special organization in which the field officers, consolidation officers, and farm supervisors have been brought into ready communication with the Head Office. The facts and recommendations are assembled with despatch, and decisions are made with due regard to field conditions. Formulae and regulations are adapted as far as possible to the facts, while the enthusiasm of field officers and settlement workers is restrained by the limits of finance and by considerations governing the general policy of development schemes. Supervision. At the very inception of the schemes the importance of supervision was recognized and insisted upon. Its nature and ultimate form could not be clearly visualized at the time, but the circumstance that State-loan funds were to be used seemed to demand that it should be European in order to inspire confidence in official quarters. The appointment of a competent supervisor to manage the development operations on a scheme or a group of schemes was regarded as a condition precedent to the actual undertaking thereof. The commencement of many of the schemes was delayed, while some had to be postponed indefinitely because satisfactory arrangements could not be made in this important respect. Tt was necessary to consider the fitness of a man to manage a Maori community, but no candidate for appointment could satisfy any one of this prime qualification except by displaying it under service

iii—G. 10.

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