H. —44,

RECLAMATION OF WASTE MATERIAL. As a result of the activities of the National Council for the Reclamation of Waste Material (a war activity set up under the authority of the Minister of Supply) and its affiliated Boards and Committees during the twelve months to the 31st March, 1942, the sum of £9,440 was paid into the National Patriotic Fund making the total contribution since the Council s appointment m July, 1940, £14,48^. In order to supply the needs of essential industries, especially those industries working on war production the Council has followed strictly the policy of securing wanted waste materials and has regarded as a secondary consideration the matter of securing funds. During the year the co lection of waste paper, non-ferrous metals, and rags was continued. For the first time a drive for all types of bottles was made in order to meet temporary shortages. Sales of waste paper realized £3,664, metals £3,833, rags £1,309, and bottles £1,121. INDUSTRIES COMMITTEE (IMPORT CONTROL). The activities of the special Industries Committee which was set up to assist in the administration of the Import Control Regulations have, as has been customary in the past, been undertaken with a view to ensuring adequate supplies of raw materials for our essential industries, and a very large number of applications for licenses to import were dealt with. NEW ZEALAND MANUFACTURERS' FEDERATION AND DISTRICT ASSOCIATIONS. Close contact has been maintained throughout the year with the Manufacturers' Federation and its affiliated associations in the four main centres. Matters connected with the supply of raw materials under the policy of import selection are discussed to the mutual advantage of manufacturers and the Department. . . , , , The Department desires to place on record its appreciation of the co-operation extended by the federation and its district associations to the Ministry of Supply, Bureau of Industry, and the Industries Committee in their consideration of the various problems which arise from time to time. TOBACCO INDUSTRY. The usual close liaison has been maintained between the Department and the Tobacco Growing and Manufacturing Industry. For three successive seasons—that is, for the harvests of 1939, 1940, and 1941—growers have received an average price of Is. 10id. per pound for flue-cured, and Is. 7|d. per pound for air-dried leaf In 1940, and again in 1941, it was recommended to the Government that the minimum average price to be paid by all manufacturers for the crops of these respective years should be on the same basis as in 1939, and that regulations to this effect should be introduced. The Government agreed to this, and the prices were accordingly fixed by Price Orders issued by the Price Tribunal. Price Order No. 77 again fixes the minimum average prices to be paid by tobacco-manufacturers for raw tobacco of the 1941-42 crop at the levels above mentioned. The stabilization of the industry, with an assurance of reasonable prices, has resulted in a steady increase in production, as is reflected m the statistics of the past two years, which arc quoted later in this report. Growers are now assured of a reasonable and definite average price for their leaf. The minimum price below which raw leaf cannot be sold has been the same as ror the tour previous seasons—namely, Is. 2d. per pound. Regulations fixing this price were passed in accordance with the Board of Trade Act, 1919, and were entitled the Board of Trade (Raw Tobacco Price) Regulations 1941, being gazetted on the 2nd April, 1941 _ One of the chief objectives has been the expansion of the production of leaf m New Zealand, and its increased utilization in local manufacture. It is therefore most encouraging that the 1941 harvest established a record for New Zealand with its production of 3,143,355 IV). At the same time an even greater proportion of domestic leaf is planned and the growers have been asked to co-operate with this plan and to extend their acreage of tobacco-planting during the 1941-42 season. Such an increase in production is very necessary having regard to war conditions and the necessity for conserving dollar funds. As in previous years, a keen interest has been taken m the research programme effected by the Tobacco Research Committee, and gr«nts have been continued towards the cost of upkeep of the Research Station at Umukuri. The Tobacco Research Committee comprises representatives of the Departments of Industries and Commerce, Agriculture, and Scientific and Industrial Research, the Tobacco Board, manufacturers, and growers. _ _

Statistics of Tobacco-growing. —The following table provides a comparison between the year under review and previous years : —

7

Season r ■ Nun 5 b^ r of Acreage. Production, season. Licensed Growers. lq o fi Q 7 .. 508 2,770 1,609,493 iq<w_* 8 " " .. .. 442 2,563 2,067,827 1938-39 .. 342 2,225 1,423,610 i Q39-40 .. 339 2,570 *2,202,387 1940-41 !! ;! .. •• 381 2,963 3,143,355 * Amended figure,