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(2) In regard to butter, by—• (a) Manufacturing mainly from fresh cream to ensure rich creamy flavour in product (187 and 198) : (b) Daily collection of all cream (subject to certain exceptions), (200-202) : (c) Rationalization of cream-collection and termination of excessive competition for creamsupplies (199) : (d) Cancelling in certain circumstances the registration of cream-receiving depots (194) : (e) Raising the standard of cream-grading and increasing differential price-margin for secondgrade cream (203) : (/) Separately manufacturing cream of different grades (205) : Requiring greater care in manufacture (216) : (h) Improving the " Saranac " box (209). (3) In regard to cheese, byfa) Raising milk-grading standards (212) : (6) New waxing regulations (215) : (c) Requiring more care in manufacture (216) : (d) Compulsory control of temperatures (i) of milk during pasteurization and (ii) in cheesecuring rooms (214, 218) : (e) Prolonging the period of storage in factories and grading-stores of cheese made in spring (218): (f) Determining methods of payment for milk based on cheese-yielding capacity (213). (4) fn regard to both butter and cheese, by — (a) Payment of a bonus according to grade-points for the higher grades (224) : (b) Publication monthly of factory grading returns (225) : (c) Improvement in the transport of produce from farm to market (193, 219, 221) . (d) Rebuilding and renovating dairy factories where necessary (222) : (e) Providing a system of universal laboratory assistance (226) : (f) Frequent inspection in New Zealand of stored produce (227) : (g) Extending present instructional services for managers and assistants (229, 230, 231) . (h) Improving labour conditions (233) : (i) Extending and intensifying present research work on cheese openness and other defects of dairy-products (204, 207, 211, 213, 221) : (j) Providing for the testing of dairy-factory plant and materials (192, 222) : (k) Arranging for commercial demonstration factories (232). CONTROL OF ANIMAL - DISEASES. 235. Incidence of Bovine Tuberculosis in New Zealand : The Commission called evidence as to the incidence of bovine tuberculosis in New Zealand. An estimate based on data collected by the Meat Inspectors of the Live-stock Division of the Department of Agriculture during their inspections at meat-export slaughterhouses and public abattoirs, and supplemented by information gained by the same Department from a limited amount of tuberculin testing carried out by it, indicates that approximately 9 per cent, of our dairy stock is affected with tuberculosis in some degree. This figure may be considered as overstating rather than understating the present incidence of the disease in New Zealand. It tends to be biased in an upward direction owing to the relatively large number of aged and cull cows that enter into the calculation. This needs to be borne in mind in subsequent discussions as to the probable cost of eradicating the disease, and also in any comparisons that may be made between the incidence of the disease in New Zealand and in other countries. 236. Incidence of Bovine Tuberculosis in other Dairying Countries : The evidence submitted on this latter point indicates that most dairying countries have a much higher degree of infection than New Zealand. There are cases, however, where the operation of a tuberculosis-eradication campaign has reduced the incidence of the disease below the most favourable estimate that could be made for our own country. Thus in parts of the United States, where such a campaign has been in operation for many years, only 2 per cent, of some thirteen million cattle tested during 1933 were found to be tuberculous. In New York State alone a tuberculosis-eradication campaign reduced the incidence of the disease from 35 per cent, in 1918 to 3-3 per cent, in 1931. In Canada, although there are provinces with a much higher degree of infection than ours, there are others where the incidence has been reduced to not more than 3 per cent. No figures for Australia as a whole are available, but in New South Wales a tubercle-free herd scheme is in operation. This is limited to purebred herds and those supplying milk for human consumption. In the 1933 report it is stated that three municipalities have been declared tubercle-free areas. In Denmark a considerable amount of tuberculin testing has been carried out in recent years, and although the average incidence has been estimated to be 40 per cent., instances are on record showing that many badly affected herds have been effectively cleaned up, and that the general position in Denmark is improving. 237. Action in other Countries for Eradication of Bovine Tuberculosis : The Commission has been much impressed by the attention which is being devoted to this problem in other countries. In Great Britain there has been in operation for some years a voluntary scheme for the eradication of tuberculosis, and milk from herds certified free from disease has been sold under a special grade, and has commanded a relatively high price. The rapid growth of the

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