G.—lo.

The grant from the Unemployment Board has everywhere influenced an acceleration of the development programme, especially the undertaking of operations such as bushfelling, scrubcutting, draining, fencing, and roading, on which unemployed labour could be profitably used, but which under normal circumstances would have been spread over a few years. While due care has been exercised to prevent the factor of unemployment from stampeding the development policy, the benefits immediately accruing from the grant have been fully appreciated. The labour cost of every operation has on the average been reduced by one-fourth. The amount thus saved has been devoted to further development work. It is anticipated that the strain on the development funds will come from the increase in the demand for grass-seed, fertilizer, and fencing-material for the additional areas improved, and that this will affect the financial provision to be made next year. Enough has been said to show that every reasonable attempt is being made to keep the costs of development to the lowest possible limit consistent with efficiency, and that the Maori settler is strongly imbued with the idea of preventing the creation of heavy liabilities against himself and the land he owns or occupies. RESULTS. While it is possible to estimate the amount of new work carried out and ihe area of new land broken in under the development policy, it is not easy to assess the amount of improved or partially improved land that was taken over and made more productive and efficient by the expenditure of development funds. It is proposed to make a close survey of the results before the end of the present financial year and to present a report on the details of each scheme during the next ordinary session of Parliament. Meantime, as all lands on which development funds are expended stand charged with the expenditure, the results may be summarized as follows:—

Summary in Maori Land Districts.

No reliable estimate can be given of the extent of fencing carried out on all schemes during the period under review. Fencing is proceeding all the time, including the splitting of posts, strainers, and battens, the clearing of fencing-lines, and the packing and laying of materials. If the wire supplied to schemes may be taken as a guide, the mileage of fencing completed and in progress cannot be less than two hundred. Nor can the extent of draining be ascertained with any approach to accuracy. The length computed for drainage contracts subsidized from the Maori unemployment grant is 1,123 chains, but this does not take account of drainage works on Waimiha, Horohoro, and Waipipi, or on +he North Auckland schemes, which -were not so subsidized. Internal access roads have been made on Onewhero, Horohoro, Parekarangi, Peka, Mourea, Taheke, Maketu, Ruatoki, and Ranana, the labour cost of 360 chains of which was subsidized from the Maori unemployment grant. While the building programme has been severely restricted, it has been found necessary to build residences for some of the supervisors and foremen, and small cottages for settlers at Waipipi, Kaihau, and Horohoro. Depots for seeds and manures and implement-sheds have been erected at Kaihau, Waimiha, Taheke, Ruatoki, Whakatobea, Torere, and Ranana; also cow-sheds on various sections throughout the North Auckland District, and on Waipipi, Kaihau, Onewhero, Maketu, Ruatoki, Opape Base Farm, Mohaka, and Ranana ; and a woolshed and sheep-yards on Poroporo. It is anticipated that with many of the blocks in pasture and ready for occupation the problem of housing settlers and of providing dairies and station-buildings will have to be faced. Other activities such as clearing land infested with blackberry, gorse, briars, and rushes, stumping and grubbing, providing water-supply, transporting material and supplies of all kinds, distributing fertilizers and top-dressing both old and new pastures, have kept the Maori settlers fully occupied. Under the system of development outlined in this statement, based largely on a policy of self-help, it is not easy to show the cost of each item that has contributed to the total expenditure. FUTURE PROSPECTS. A good deal remains to be done to perfect the organization of the Native-land-development schemes. When the farming stage is reached on a large number of them the accounting system in both the local offices and the Head Office will have to be adapted so as to test out at frequent

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§ if a | «• J s Development Work. 8 J f § £ " | m | | __ i 5 l___J gj j Acres. Acres. Acres. Acres. Acres. Acres. Acres. Acres. Area grassed or improved 6,550 3,400 12,703 3,418 3,600 960 .. 30,631 with cultivation and fertilizers Area cleared of forest or 4,140 3,689 4,648 10,671 775 1,300 .. 25,223 scrub, ploughed, or prepared ready to sow Grand totals .. 10,690 7,089 17,351 14,089 4,375 2,260 .. 55,854 ' | i