JUNE 25.] THE NEW ZEALAND GAZETTE. 1801

The work of developing suitable blocks of Crown land prior to selection
is proceeding steadily, and in connection particularly with the development of
pumice land my Ministers are pleased to record that the operations already
carried out give every promise of success.

The acquisition of private lands for closer settlement has also received
attention, and almost all the subdivisions offered have been selected. A
new feature of this policy has been the purchase of estates which afford
scope for development work by the State prior to offering the land for
selection.

My Ministers are confident that by placing large numbers of settlers on the
land and providing reproductive employment for many others a substantial
contribution will be made towards alleviating the problem of unemployment.

Satisfactory progress is being made in the development of Native lands.
At the end of last financial year there were in active operation schemes affecting
twenty areas in both Islands, while preparations were made to commence others
affecting eleven areas. The Maori communities concerned have displayed the
greatest interest in the schemes, which by providing much needed employment
on productive work are assisting large numbers of them during a very difficult
period.

Agricultural practice generally in the Dominion is keeping well abreast of
modern methods, based upon the world's latest scientific knowledge, and the
instructional and advisory services provided by the Government are exten-
sively utilised by farmers in connection with all phases of primary production.
It is satisfactory to note that the volume of output has been well maintained.

In connection with the dairying industry the continued fall in the
market-price of New Zealand cheese has been receiving the earnest attention
of the Government. Research now in progress, and its application, will,
it is believed, lead to the removal of major defects in manufacture and to
the production of a high-grade quality, which will restore New-Zealand-made
cheese to the position which it formerly occupied in the British market. An
extended trial has been given in recent years to the manufacture from high-
testing milk of cheese of standardised fat content. This has proved
unacceptable to buyers, and a strong prejudice has arisen against it. My
Ministers consider it desirable that the manufacture of this type of cheese
should cease entirely, as being calculated seriously to hamper successful
marketing and to alienate the good will of British purchasers.

My Ministers have had under consideration the steps necessary to facilitate
the more active development of the Dominion's industries, and their more
effective co-operation with the scientific services provided by the State. Pro-
posals for this purpose will be placed before you, including, in particular,
provision for a greater measure of specialisation in those Departments respon-
sible for scientific research and for closer contact between both primary and
secondary industries which they are designed to assist.

The question of the future prosecution of railway construction work in
connection with both old and new schemes has been referred for investigation
to the Railway Board, whose reports will be duly laid before you.

The construction of the key stations for the supply of hydro-electric energy
to all parts of the country, and their interconnections, will be proceeded with
expeditiously, while transmission-lines will be extended as the demand expands.

The ideal of having a road, capable of use under all weather conditions,
from the property of every producer to the nearest railway-station or port
will still be pursued. While it may not be possible to proceed at the same
rate with the programme of improvements which has of late years been fol-
lowed on the roads, their maintenance, which is necessary to prevent dissipation
of capital already expended, will be kept up to the present satisfactory
standard.

Irrigation works to serve the regions in the South Island, which cannot
be otherwise fully developed and utilised, will be continued, as will also other
reclamation works involving drainage and river-control.