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SECRETARY'S REPORT The Hon. D. G. Sullivan, Minister in Charge of the Scientific and Industrial Research Department. I have the honour to submit herewith the annual report of the Department for the year 1945-46. The Council of Scientific and Industrial Research held five meetings during the year. The personnel of the Council is as follows : Sir Theodore Rigg, M.A., M.Sc, F.R.1.C., F.R.S.N.Z., Director, Cawthron Institute, Nelson (Chairman). J. C. Andrews, Ph.D., M.Sc, Fertilizer-works Manager, Auckland (Vice Chairman). E. R. Hudson, B.Sc, B.Agr., Dip.C.A.C, Director, Canterbury Agricultural College, Lincoln. R. 0. Page, D.Sc, A.R.I.C, Tannery-works Manager, Christchurch. J. M. Ranstead, Dip.C.A.C, Bledisloe Medallist, Farmer, Matangi. W. Riddet, B.Sc. (Agric), N.D.A., N.D.D., Professor of Dairying, Massey Agricultural College, Palmerston North. D. F. Sandys Wiinsch, M.A. (Oxon.), B.Sc. (McGill), M.l.Chem.E., Assoc. Inst.M.M., Factory-manager, Edendale. E. J. Fawcett, M.A. (Cantab.), Director-General of Agriculture, Department of Agriculture, Wellington. J. C. Eccles, M.8., B.Sc. (Melb.), M.A, D.Phil. (Oxon.), F.R.A.C.P., F.R.S., Professor of Physiology, University of Otago, Dunedin. E. Marsden, C.8.E., M.C., D.Sc, F.R.S.N.Z. (Secretary). F. R. Callaghan, M.A., F.R.E.S. (Deputy Secretary). The expenditure of the Department during the year was as follows : Permanent services— Head Office : Comprising general expenses of £ £ administration .. .. .. .. 19,217 Dominion Laboratory (with branches) .. .. 50,634 Dominion Observatory .. .. .. .. 2,066 Geological Survey .. .. .. .. 14,544 Magnetic Observatory .. .. .. .. 4,218 Dominion Physical Laboratory .. .. .. 81,806 Auckland Industrial Development Laboratories .. 12,784 185,269 Research investigations .. .. .. .. .. 187,913 Grants and miscellaneous services, including Information Section and Scientific Liaison Services .. .. .. 42,949 416,131 Recoveries .. .. .. .. .. .. 84,856 331,275 Grants made to research and allied institutions in Great Britain, £6,863. With the cessation of hostilities during the year the course of policy which was tending already in a direction which anticipated an early conclusion of the war was accelerated in order that research development might meet the complicated and difficult conditions of the immediate post-war period. Naturally, most action was required in the physical and engineering sections of the Department, as these had been geared directly in to the war effort, assisting in the provision of munitions. Conversion to peacetime activities has not been an easy task, but in the course of the year the position has clarified to a marked extent. Fortunately,

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