H.—35.

Production and Employment in Primary Industries. The rapid abnormal movement in prices has been too recent to have reflected itself yet in the official statistics of agricultural, pastoral, and factory production. Figures for the year ended 31st March, 1930, do not show the full effects of the slump in prices, since the movement had by no means reached its lowest point by the end of March, 1930. Nevertheless, the following summary of production and employment in the principal industries of the Dominion during the last five years throws some light on the present situation. The quantities of the principal items of produce exported from New Zealand during each year since 1926 were :—

The quantity of wool exported increased steadily each year between 1926 and 1929. In 1930 exports of this commodity showed a decline. Evidence that this falling-ofi in exports of wool was due in part at least to the withholding of wool from sale owing to the abnormally low prices ruling during that year is borne out by the official statistics showing the number of sheep in the Dominion, the total number of sheep on the 30th April, 1930 —(30,841,287) —being the highest figure yet recorded in the history of the Dominion. The quantities of frozen meat, butter, cheese, and tallow exported are on a considerably higher level than in 1926. Consideration of these figures emphasizes the fact that the recent fall in prices has been responsible for the reduction in the favourable balance of trade from £11,302,215 in 1928 to £1,914,778 in 1930. There seems little doubt that the increases shown in the quantities of our principal farm-products exported during the past few years have been caused largely by the adoption of more scientific methods of cultivation. Statistics are now collected by the Census and Statistics Office as to the quantities of manure used by farmers in top-dressing. In 1929-30, 8,585,399 cwt. of manures were so used —an increase of 1,070,040 cwt. as compared with the 1928-29 figure (7,515,359 cwt.). These figures were not collected prior to the 1928-29 season. With the present low prices prevailing, there is a grave danger that many farmers will not be able to maintain their holdings at the existing high level of productive efficiency. Apart from the immediate effects on the unemployment situation of the farmer's lack of funds for the proper maintenance and development of his pastures, any retrogression in this respect will necessarily be accompanied by a lowering in the volume of primary production in the future, which would have a very adverse affect on the economic position of the Dominion. With these considerations in mind, the Board has allocated part of its available funds to the payment of wages on farm-development work. Statistics as to the number of wage-earners ordinarily employed on farms are available for the 1928-29 season and the 1929-30 season. In 1929-30 there were 31,427 male and 1,484 female wageearners employed on farms —a decrease of 1,286 males and 1,276 females as compared with the 1928-29 figures (32,713 males and 2,760 females). The total number of persons engaged on farm-work, including occupiers and members of occupier's families engaged in farm-work during the last five years, were (males only) — 1925-26 .. .. 102,771 1928-29 .. .. 112,885 1926-27 .. 102,335 1929-30 .. .. 119,321 1927-28 .. .. 106,649 Production and Employment in Secondary Industries. The steady growth in the volume of factory production in recent years is illustrated by the following table, showing the added value created in process of manufacture during the past eleven years. The " added value "is obtained by deducting the cost of materials from the gross value of the products.

31

I Year. Wool. Frozen Meat. Butter. Cheese. Tallow. lb. Cwt. Cwt. Cwt. Gwt. 1926 .. .. .. 213,154,399 3,034,356 1,168,040 1.461,548 422,560 1927 .. .. .. 220,500,720 3.364,965 1,455,539 1,492,792 477,500 1928 .. .. .. 226,804,744 3,793,828 1,449,570 1,567,272 514,960 1929 .. .. .. 234,955,978 3,336,200 1,653,807 1,779,093 416,640 1930 .. .. .. 197,219,509 4,041.231 1.884,237 1,812,981 492,560 \__ , _J

.2 § % m 8 Belative Number of Relative Added Value tit Ml Added Value I NumW (uncorrected). ° 11 7 (corrected). (1919 _ 20 = Workin | (1919-20 = 1000.) I Proprietor. 100 ° > ,3 S J I £ £ 1919-20 .. .. 21,538,209 1592 13,529,025 1000 72,889 1000 1920-21 .. .. 25,555,220 1737 14,712,274 1087 78,853 1082 1921-22 .. .. 27,101,944 1670 16,228,708 1200 70,316 965 1922-23.. .. 28,757,736 1467 19,603,092 1449 73,662 1011 1923-24.. .. 29,969,364 1650 18,163,250 1343 77,661 1065 1924-25 .. .. 31,939,893 1750 18,251,367 1349 80,327 1102 1925-26 .. .. 32,569,430 1690 19,271,852 1424 82,018 1125 1926-27 .. .. 32,799,021 1545 21,229,139 1569 81,904 1124 1927-28 .. .. 32,423,806 1527 21,233,664 1577 81,756 1122 1928-29 .. .. 33,301,652 1633 20,392,928 1507 83,680 1148 1929-30 . .. 34,255,719 1559 21,908,736 1619 85,797 1177