G.—lo.

drains have been made ; 961 acres of new grass have been laid down ; 80 chains of road have also been formed ; and the erection of 5 cottages and 14 cow-sheds comprise the building operations. Live-stock figures have increased considerably since the previous year, tallies now being 1,583 cows, 425 other dairy stock, 564 run cattle, 8,400 sheep, 194 horses, 75 bulls, and 135 pigs. The butterfat production was 200,040 lb. and the wool-clip totalled 49,631 lb. Cattle receipts were £632, sheep realized £2,658, and sundries produced another £653. During the year twenty-three herds were placed under test with the Poverty Bay Herd-testing Association, the average return of butterfat for the 555 cows tested being 159 lb. in 194 days. Brief reports on three of the larger single areas are as follows : — Toetoe Station. —The Ahuwhenua (Son-of-the-Soil) Trophy presented by Viscount Bledisloe for general excellence in farming by Maoris under the Native land development legislation, in consideration of " good farming husbandry, economy of management with a view to a commercial profit, the cleanliness and neatness of the holding, and the progress made by the farmer in the development of the holding, having regard to its conditions when he first occupied it and the advantages he has enjoyed," was awarded to the occupier of this section, Henry Dewes. This adjudication is sufficient indication of the sound manner in which the station is farmed. The country has been further improved and sheep-yards and a sheep-dip are at present being erected. Kaiwaru Station. —On this comparatively new country the occupiers have felled and grassed 230 acres and erected two miles of boundary fences. Live-stock comprised 94 cattle and 1,350 sheep. Marangairoa la, 2, 3, and 4. —The 500 acres of this property are worked as a sheep-station under a Native manager. Stock carried comprised 878 sheep and 162 cattle. The balance of the Waiapu-Matakaoa area is divided into 80 unit holdings, which are grouped as follows : — Herupara.—Situated in a southerly direction about a mile and a half from Tikitiki and overlooking the Waiapu River with Waiomatatini in the distance, this one section block of the above scheme comprises some 368 acres, of which 189 acres are old pasture, 15 acres reserves, and 164 acres new bush burn. During last winter 160 acres of bush were felled, burned, and sown, and fencing was commenced preparatory to stocking with lambs. Dairying is carried on on the old pasture, which is all flat and of good quality. Mangaoporo. —Lying in a westerly direction some ten miles from Tikitiki this block extends over an area of 1,567 acres. It is very isolated, the only access being by the unmetalled Poroporo River Valley Road. Work during the year included bush-felling, burning, and sowing 266 acres, the erection of 235 chains of new fencing, and 225 chains of fencing repairs. The stock at present carried on the sections with the bush burn still unstocked comprises 2,500 sheep and 150 head of cattle. Tikitiki. —This area comprises 2,115 acres and takes in most of the land from the mouth of the Poroporo Stream to the banks of the Waiapu River as far as Tikitiki. At present there is only a portion of these areas under development, the balance being let to Tikitiki Station for grazing. Two new cottages and seven cow-sheds were erected during the year ; 400 chains of new subdivisional fencing were erected ; 55 chains of draining were undertaken ; and 30 acres of new pastures laid down. Hinetiraha. —Adjoining Pohooterangi, this block comprises some of the best country in the Waiapu Valley. Situated midway between Tikitiki and Rangitukia, this settlement has nine units farming an area of 329 acres. They milked 153 cows during the past season. The work performed includes the clearing and stumping of 55 acres ; 250 chains of new fencing, with 150 chains of fencing repairs ; regrassing of 40 acres ; and the erection of two buildings (one cottage and one cow-shed). Hahau. —Distinguished as being the most easterly piece of land under development, and taking in all the remaining land from the Waiapu River to the Maraehara Stream and from the edge of the Hinetiraha block down to the Pacific Ocean, this area of 782 acres is worked by fifteen units. It is a most progressive area, for although two years ago practically all the land was covered in gorse, it has now been nearly all eradicated and sown in good pasture. Further progress is shown in the completion of 590 chains of new fencing, 460 chains of repairs, and 30 chains of drain excavation, while two new cottages and four new cow-sheds have also been erected. Tikajia and Herenga.—These blocks are situated on the south-eastern side of the Waiapu River from Tikitiki, the former extending from the river to the Port Awanui Beach, and the latter southwards from the Port Awanui Road parallel with the beach. On the Tikapa sections there are twelve units, but as their boundaries are not yet finalized development has not been able to assist them to a great extent. However, those who have definite areas allocated to them are making a start, and at the present time some 155 cows are being milked and general development work is being diligently pursued. The Herenga sections comprise 126 acres, half of which is new bush burn, and on this area ewes are being carried, as the land is too steep for dairying. Waihua. Formerly designated Ngamahanga, this area of Crown land was handed over for development in 1933. It is situated twenty miles on the Napier side of Wairoa, and five miles inland from the Napier-Wairoa Railway, and contains 4,300 acres, of which all but 200 acres are farmed as a sheep station. The soil is a light pumice formation. The station is at present running 8,443 sheep, 502 cattle, and 244 goats, the latter being necessary to keep the blackberry in check. During the season 4,144 wethers were sold for £6,032, while the wool-clip realized £3,000. That the station is being farmed in an efficient and capable manner is demonstrated by the fact that a pen of fat wethers from the station won the first prize for the export-wether class at the Wairoa Agricultural and Pastoral Show, notwithstanding strong competition. Developmental work for the past year consisted of 200 acres which were felled, cleared, and grassed, 93 chains of new fencing, and 76 chains of roading. A wool-shed, with shearers' accommodation and dining-room, and a sheep-dip were erected in time for the shearing season, thus surmounting the previous difficulty of having to drive the sheep some seven miles to the nearest shearing-shed.

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