OK—lO.

Under developmental operations there are 1,570 acres, of which 1,116 acres are in grass and upon which two dairy herds are run. Seven new herds will be established during the coming season. Seven cottages have already been erected, and a two-roomed extension will be added this ensuing season to one house ; and five cow-sheds have been built. It is interesting to record that one of the settlers, who is eighty years of age, is farming on his own account. His mana and example are an incentive to the other Maoris in the locality The health of the Natives is good, and the scheme supports eighty-four persons. The butterfat production of the one settler who was milking during the previous year was 7,267 lb., while for the current season from July to March 10,543 lb. of butterfat were produced from the eighty cows and heifers of the two sheds. A comparative table of cash receipts is appended : —

The live-stock carried last winter comprised 96 dairy cattle, 373 dairy heifers (grazed while awaiting distribution to herds next season), 60 beef heifers (transferred to Tokaanu), 109 beef cattle, and 1,592 wethers which have since been sold as fats. The wool-clip from 1,556 sheep totalled 14,568 lb. net. The work undertaken included the top-dressing of 1,116 acres, the eradication of ragwort on 100 acres adjacent to the bush, 389 chains of fencing, cleaning 484 chains of drains, 3 chains of roading, the laying of 150 chains of water-line, the installation of thirteen water-troughs, and the clearing of 150 acres of second growth. There are 300 acres that can be brought in for grazing, but apart from this area the balance of the property will be left in standing bush. The block is well served internally by roads, and also it fronts on to the main Atiamuri Road. Parekarangi Extension. Adjoining Ngati-Tuara scheme and fronting the Rotorua-Atiamuri Road, this block of 700 acres, gazetted under Parekarangi, was taken in hand in 1933, when the area was ring-fenced and shelter-belts planted. Active developmental work was recommenced this year, when 370 acres were cleared and 120 acres were ploughed, grassed, and top-dressed. This is an excellent block to provide work for the Natives of Rotorua. It is anticipated that approximately eight families will be eventually established on dairy holdings on this scheme. Peka. In 1931 Mita Taupopoki, of Whakarewarewa, a well-known chieftain who has since passed away, asked that his lands be brought under the development scheme in order to make work available for his people, who were at that time suffering as a result of the depression. This property is situated just south of the Hemo Gorge at the junction of the Rotorua-Taupo and Rotorua-Atiamuri roads and completes the series of schemes along the latter road. The block comprises 1,364 acres, of which 390 acres are now in grass. Its proximity to Rotorua makes it an ideal area for absorbing unemployed labour. There are two dairying settlers, who are milking on a share basis. Three cow-sheds and four cottages have been erected, the latter being occupied by the two settlers —the permanent stockman for the Atiamuri Road schemes and a nursery foreman. As the Wharenui Nursery was closed down last year a nursery was established on this block with the object of supplying trees for general scheme purposes. At present there are two million trees of various species, including 500,000 barberry cuttings, available for the coming season's planting. During the past year Peka has been used for the receiving and assembling of dairy stock from the Atiamuri Road schemes. The work carried out during the year consisted of the top-dressing of the grassed portion, 121 chains of fencing, 12i chains of new drains with 285 chains of cleaning, 40 acres of gorse-grubbing, and the clearing of second growth, fern, and tea-tree. The cash receipts for the year were £379, of which £289 was for butterfat. Putaruru. This is a small holding of 38-J acres which is being developed by the Board of Native Affairs as a dairy farm. The property is situated near Putaruru, and the land is a subdivision of the Mangakaretu block. Work was commenced late in 1936, and at the end of the year under review 26 acres had been cleared and sown down in grass. The nominated occupier should be milking twelve cows next season, and when fully improved the property should carry a herd of twenty cows.

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1935-36. I 1936-37. « ( £ £ Cream .. .. .. 343 579 Cattle .. .. .. 3 7 Wool .. .. .. .. 791 Sheep .. .. .. .. 1,705 Sundries .. .. .. 9 8 Totals .. .. 355 ; 3,090