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loss through this cause, reimbursement was made from the pool for such losses. The landed value of corn-sacks placed through the pool amounted to £632,917 for 1947-48 and £441,198 for 1948-49. Flour Quality For the most part the flour produced was of a high standard of quality, and a relatively small number of complaints were received during the year. On 6th December, 1949, a meeting was held at which representatives of the New Zealand Four-millers' Society (Inc.), New Zealand Federation of Bakers and Pastrycooks (Inc.), Wheat Research Institute, and Wheat Committee attended, and this meeting was worth-while as it enabled a full discussion to take place between the millers and the principal users of flour, the bakers, along with the other organizations most interested in questions affecting the quality of flour. Both millers and bakers are anxious to see the production of wheat in New Zealand increased, as a means of improving the quality of flour. As from Ist March, 1949, the extraction rate of flour was reduced from 80 per cent, to 78 per cent. The 80-per-cent. rate had ruled since May, 1946. Flour Consumption On the basis of population at 31st December, 1949 (1,902,000) and sales of flour and wheatmeal for the twelve months ending 31st January, 1950 (173,108 tons), the consumption of flour and wheatmeal for the twelve months was 182-03 lb. per head of population. Bakers' Flour-Prices During the year two reductions in the flour-prices charged to bakers came about as the result of decisions on the part of the Price Tribunal to compensate bakers for increased costs. The first amounted to 14s. 3d. per ton effective in the case of all bakers from Ist June, 1949, and the second, on 21st November, 1949, amounted to lis. 6d. per ton in the scheduled areas (where the price of bread is s£d. cash over the counter) and 18s. per ton in the non-scheduled areas (where the price is more than s|d.) The prices to bakers then became : In scheduled areas : £ll 6s. per ton less 1|- per cent., sacks extra, delivered. In non-scheduled areas : £l2 7s. 6d. per ton less 1| per cent., sacks extra, c.i.f. or rail paid. Bread-baking Industry On 31st January, 1950, 504 bread-baking units were operating compared with 526 at 31st January, 1949. New units were established at Taihape and at Hinds, and 3 were reopened, at Otahuhu, Waitoa, and Oamaru. Bread-baking thus ceased at 27 units, accounted for as under : 9 are still in the bakery business, manufacturing pastrycook goods. 1 purchaser of a " mixed " business decided to bake " smalls " only. 4 storekeepers gave up bread-manufacture. 5 bread-bakers retired for reasons of old age and ill health. 2 were involved in difficulty with landlords. 1 became financially involved. 1 unit closed on account of a widow's inability to obtain competent bakehouse assistance. 1 baker closed down under circumstances undisclosed. 3 sold out to existing units.

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