THE NEW ZEALAND OFFICIAL YEAR-BOOK, 1955


Table of Contents

PREFACE

THIS is the sixtieth issue of the New Zealand Official Year-Book. In addition to the normal scrutiny and revision of material contained in each section certain new features have been added. A special article on the tourist attractions of New Zealand has been prepared by the Tourist and Publicity Department and published in Appendix (d) of this issue, while a new and greatly improved map of New Zealand has been substituted for the earlier somewhat inadequate one. A section on history, constitution, and administration replaces the previously brief references to constitutional matters, while several other sections, namely, External Trade, Building and Construction, Production, Distribution, and Industry Sector Accounts, have been substantially revised.

My sincere thanks are due to all who assisted in the preparation and printing of the Year-Book.

G. E. WOOD,
Government Statistician.

Census and Statistics Department,
6 July 1955.

PUBLICATIONS OF THE NEW ZEALAND CENSUS AND STATISTICS DEPARTMENT

(Obtainable from the Government Printer, Publications Branch, Wellington)

TitleLatest No.Date of IssuePrice Per Copy (Post Free)

* £2 10s. per annum (post free).

† Cyclostyled copies showing numbers with overseas War Service, enumerated in each county, borough, and town district at the 1951 Census, are available on application (no charge) from the Department.

‡ 1954 Reports being prepared for printing.

NOTE.—This list is subject to revision from time to time.

   s.d.
New Zealand Official Year-Book1955October 1955150
Pocket Digest of New Zealand Statistics1954April 195536
Annual Statistical Reports:    
  Population, Migration, and Buildings Statistics1953–54May 195576
  Vital Statistics1953October 195470
  Justice Statistics1953June 195576
  Shipping and other Transport Statistics1954In the Press.. 
  External Trade Statistics, Report on and Analysis of1953July 195576
  Farm Production Statistics1953–54July 195596
  Industrial Production Statistics1953–54In the Press.. 
  Insurance Statistics1953June 195556
  Prices, Wages, and Labour Statistics1953March 1955106
  Industrial Accidents Statistics1953August 195576
  Income and Income Tax Statistics for the Income Year1951–52April 195586
  National Income and Sector Accounts1938–39 to 1954–55In the Press.. 
  Balance of Payments1950–51 to 1953–54October 195446
Local Authorities Handbook of New Zealand1952–53May 1955150
Monthly Abstract of Statistics*  50
  Supplements:    
    Retail Trading Statistics (Quarterly Issue)June QuarterAugust 1955.. 
    Population Projections:    
      New Zealand (Inch Maori) (December Abstract)..December 1953.. 
      Non-Maori (October Abstract)..November 1953.. 
      Industrial Production Statistics (March Abstract)1953–54April 1955.. 
Special Supplements:    
      New Zealand Life Tables (non-Maori) (July Abstract)1950–52August 195316
      New Zealand Life Tables (Maori) (November Abstract)1950–52December 195316
      Retail Prices in New Zealand (October-November) Abstract..December 194920
Census of Distribution, 19531953April 195460
Maps of Urban Areas, 19511951January 1953200
Census of Public Libraries, 19541954June 195546
Volumes of 1951 Census Results:    
  Vol. I. Increase and Location of Population1951April 195376
  Vol. II. Ages and Marital Status1951January 1954106
  Vol. III. Religious Professions (Including Summaries for Dependent Children, Race, and War Service)1951November 195350
  Vol. IV. Industries, Occupations, and Incomes1951September 1954126
  Vol. V. Birthplaces and Duration of Residence of Overseas-Born1951December 195450
  Vol. VI. Maori Census1951January 195566
  Vol. VII. Dwellings and Households1951August 195460
  Appendix A. Census of Poultry1951February 195326
  Appendix B. Life Tables 1950–52 and Values of Annuities1951December 195656
  War Service1951November 1953... 

LATEST STATISTICAL INFORMATION

FOR some of the statistical series included in this issue of the Year-Book later information is available than is included in the body of the book. This later information is given in the following paragraphs, with references to the appropriate portion of the Year-Book containing more detailed information for earlier periods.

POPULATION

Inter-censal Population (p. 33).—Recent population changes are given in the following table.

POPULATION AT END OF YEAR

Year EndedMalesFemalesTotalMean Population for Year
Total Population (Including Maoris)
30 June 19541,052,2011,040,5782,092,7792,073,319
30 September 19541,057,1511,045,3812,102,5322,084,223
31 December 19541,065,4901,052,9442,118,4342,094,910
31 March 19551,072,0901,058,8372,130,9272,105,767
Maori Population
30 June 195465,67162,753128,424126,240
30 September 195466,24363,295129,538127,327
31 December 195466,94663,860130,806128,456
31 March 195567,56064,405131,965129,611

The above figures are exclusive of the population of the Cook Islands, 15,657 (at 31 March 1954); Niue Island, 4,734 (at 31 March 1955); Tokelau Islands, 1,796 (at 31 March 1955), and Western Samoa, 94,128 (at 31 December 1954).

Natural Increase.—Owing to the uniformly high levels in births in the last few years and the relative stability in the number of deaths, population gains from natural increase—i.e., excess of births over deaths—have been particularly marked in recent years, the excess of births over deaths in 1954 at 35,255 constituting a record.

Migration (pp. 34–36).—The total number of arrivals in New Zealand during the year ended 31 March 1955 was 136,294, while the total number of departures in the same year was 128,918. Excluding crews and through passengers, arrivals totalled 61,610 and departures 54,580, making the net excess of arrivals 7,030, as compared with 15,441 in 1953–54. A classification of total arrivals and departures gives the following results.

Year Ended 31 March
19541955
Migration: Arrivals
Immigrants intending permanent residence24,89619,453
New Zealand residents returning17,44320,211
Visitors—  
  Tourists13,85815,827
  Others5,6486,119
Through passengers7,44811,005
Crews55,80363,679
      Total arrivals125,096136,294
Year Ended 31 March
19541955
Migration: Departures
New Zealand residents departing—  
  Permanently7,0489,012
  Temporarily18,27721,965
Temporary residents departing21,07923,603
Through passengers7,44811,005
Crews56,19763,333
        Total departures110,049128,918

Until 1953–54 recent statistics of the numbers of immigrants intending permanent residence had shown considerable increases, arrivals under this heading being 18,234 in 1950–51; 24,922 in 1951–52; and 29,005 in 1952–53. This upward trend was not only halted in 1953–54 but in fact a decrease of 4,109 was shown, the number totalling 24,896. A further decrease of 5,443 was shown in 1954–55 when immigrants intending permanent residence totalled 19,453.

The resumption of assisted passages for certain classes of immigrants is reflected in the statistics. The following were the numbers arriving under this heading over the past five years: 1950–51, 2,928; 1951–52,4,949; 1952–53,7,581; 1953–54,6,299; 1954–55,4,332.

The numbers of assisted migrants, which had been steadily rising over the last few years, showed a substantial drop during 1953–54; unassisted migration fell 13.2 per cent, as against a decrease of 16.9 per cent in assisted migrants. This trend continued in 1954–55, when unassisted immigrants fell 18.7 per cent and assisted immigrants 31.2 per cent compared with the previous year.

VITAL STATISTICS

Vital statistics for the calendar years 1953 and 1954 are shown, in summary form, in the following table. Statistics in more detail for 1953 and earlier years are given on pages 56–108.

19531954
NumberRate Per 1,000 of Mean PopulationNumberRate Per 1,000 of Mean Population

* Infant mortality rates per 1,000 live births.

Births—    
  Europeans46,41424.1248,43124.63
  Maoris5,52944.545,70044.37
    Total population51,94325.3554,13125.84
Deaths—    
  Europeans17,0098.8417,6678.98
  Maoris1,34510.841,2099.41
    Total population18,3548.9618,8769.01
Marriages (total)17,2248.4117,5578.38
Infant deaths under one year—    
  Europeans93120.06*96819.99*
  Maoris40473.07*33458.60*
    Totals1,33525.70*1,30224.05*

Births.—The total number of births registered in 1954 (54,131) is the highest recorded in the history of New Zealand, exceeding the previous high total in 1953 by 2,188. The birth-rate, however, is still below the high figure of 27.70 recorded in 1947.

PRODUCTION

Farm Production

Estimated Areas and Yields of Principal Crops, 1955 Season.—Estimates of areas sown under wheat, oats, barley, and potatoes were collected in the spring of 1954 by inquiry from growers of these crops, and from these estimates, together with reports from Field Officers of the Department of Agriculture at the end of January 1955, total yields of wheat, oats, and barley are estimated. In compiling these estimates of yields due allowance is made for areas not threshed (fed off, etc.). Following are the estimates for 1954–55, together with the final figures for the preceding season 1953–54. (Refer pp. 472–488.)

1953–54 (Final Figures)1954–55 (Estimated)
Area (For All Purposes)Yield (From Area Threshed)Area (For All Purposes)Yield (From Area Estimated to be Threshed)

* Not available.

 (Acres)(Bushels)(Acres)(Bushels)
Wheat115,8754,783,227100,0004,000,000
Oats75,681945,386100,0001,500,000
Barley75,0943,335,39952,0002,000,000
Peas for threshing30,889953,74926,000*
  (Tons) (Tons)
Potatoes21,651155,94221,000*

These figures relate only to holdings of 1 acre and over situated outside borough boundaries. In addition, in the case of potatoes, a fairly considerable amount in the aggregate is grown on smaller holdings and on holdings within borough boundaries.

Livestock Figures.—See page xxxviii.

Timber Production

Timber Production (pp. 520–523).—Provisional figures issued by the New Zealand Forest Service indicate a continued high level of timber production for the year ended 31 March 1955, the output of rough-sawn timber being given as 616,000,000 board feet, an increase of 43.8 million board feet above the output of the previous year. The output of the principal species was as follows: rimu and miro, 211,000,000 board feet; matai, 37,700,000 board feet; kahikatea, 19,000,000 board feet; beech, 18,700,000 board feet; totara, 14,700,000 board feet; tawa, 16,500,000 board feet; and exotic pines, 281,500,000 board feet. Indigenous species totalled 323,600,000 board feet, and exotics, 292,400,000 board feet.

Mines and Mineral Production

Mines and Mineral Production (p. 543).—The following quantities were produced during the calendar year 1954: Coal, 2,594,300 tons; gold, 41,713 ozs.; silver, 33,049 ozs.; manganese ores, 239 tons; iron ores, 2,916 tons; tungsten ores, 28 tons; magnesite, 720 tons; evaporated salt, 1,500 tons; and petroleum, 239,800 gallons.

Factory Production Statistics, 1953–54

Totals for the year 1953–54 show a recovery from the decline recorded in 1952–53. The volume of production index for each industry group has risen, the index for all industries being 6.1 per cent greater than that of the previous year. The greatest rises in the volume of production occurred in the following groups: Paper and pulp products; textiles; electrical machinery and appliances; rubber products; chemicals and chemical products.

The amount of overtime worked increased in this year by 56 per cent, this being distributed over thirteen of the twenty groups, the number of persons engaged being some 3,200 greater than in 1952–53. Salaries and wages rose by 10.3 per cent as compared with the previous year, and added value increased by 11.9 per cent.

Capital expenditure during 1953–54 was approximately £19.2 million, compared with £18.1 million and £14.8 million in 1952–53 and 1951–52 respectively.

One final point of some note is the rise recorded in the manufacturers' surplus—from £31.3 million in 1952–53 to £35.5 million in the latest year. Expressed as a proportion of added value, manufacturers' surplus accounted for 21.9 per cent in 1953–54 as against 21.5 per cent the previous year.

This series of factory production statistics compiled by the Census and Statistics Department covers 77 per cent of the labour force engaged in manufacturing activity. Actually the proportion of factory production covered by the survey would be greater, in that all establishments of any considerable size are included.

The year covered by these statistics is in general that ending 31 March 1954, although concerns are permitted to furnish returns covering their financial years most closely corresponding to that period. In the case of dairy factories and meat-freezing works the years correspond to the respective seasons ending June and September 1954.

Summary (p. 564).—Following are the principal statistics of factory production for 1953–54, with comparable figures for the two previous years.

General Summary1951–521952–531953–54
Number of establishments 8,5478,5128,377
Persons engagedNo.144,370143,180146,426
Production costs—    
  Salaries, wages£75,038,79378,490,49286,579,123
  Materials£290,682,891318,945,336332,858,177
  Other expenses£32,027,62235,359,70440,392,917
    Totals£397,749,306432,795,532459,830,217
Value of output£431,038,354464,064,555495,376,770
Manufacturers' surplus£33,289,04831,269,02335,746,553
Value added in manufacture£140,355,463145,119,219162,518,593
Overtime worked by wage-earnersHrs.16,549,55315,489,70516,363,370
Volume index for industry: Base 1949–50 (= 1000) 111911161184
Premises and plant—    
  Value at end of year—    
    Land and buildings£56,982,65763,278,85069,895,860
    Plant and machinery£40,797,23545,828,72453,255,370
  Capital expenditure during year—    
    Land and buildings£5,370,3456,775,4997,047,437
    Plant and machinery£9,426,89211,301,03112,132,769
Coal consumption as fuelTon860,536855,796864,521

Principal Statistics 1953–54 (p. 586).—The following table gives the number of persons engaged, production costs, value of output, and added value for the year 1953–54, classified according to industry groups.

Industry GroupNumber of Persons EngagedProduction CostsValue of OutputAdded Value
Salaries and WagesMaterialsOther ExpensesTotal
  £(000)£(000)£(000)£(000)£(000)£(000)
Food26,15417,752170,92310,215198,890206,38735,463
Beverages2,2231,4794,5331,3227,3348,8074,273
Tobacco manufactures1,2836064,5563935,5546,4391,883
Textiles8,1874,41219,5172,19026,11927,4787,961
Footwear, other wearing apparel, and made-up textile goods24,80610,61621,1792,38834,18336,17314,994
Wood and cork products (except furniture)12,1577,69115,8823,83227,40530,60114,719
Furniture and fittings5,0592,8894,1566477,6928,4994,343
Paper and paper products3,1481,7845,9511,8139,54810,8124,861
Printing, publishing, etc.8,6355,3735,7642,17713,31415,88810,124
Leather and leather products (except footwear and apparel)1,6569403,1593054,4044,6641,505
Rubber products2,2671,5173,4351,0596,0117,1143,678
Chemicals and chemical products4,6152,81014,2322,11819,15921,7677,536
Petroleum and coal products2581791,0691311,3791,541472
Non-metallic mineral products n.e.i.5,8563,7874,9503,34712,08413,6008,651
Basic metal manufactures7525051,3142462,0652,288974
Metal products (except machinery and transport equipment)6,5624,3007,8101,45713,56615,3027,492
Machinery (except electrical)8,3315,33412,6701,78019,78321,9989,329
Electrical machinery and appliances4,2512,4415,2049488,5939,4614,257
Transport equipment17,57510,81424,4543,51138,77842,13317,679
Miscellaneous products2,6511,3522,1015143,9674,4262,325
    Totals, all groups146,42686,579332,85840,393459,830495,377162,519

Volume of Industrial Production (pp. 583–584).—The following analysis shows the variations in the volume of industrial production in the several industrial groups. The series is based on the volume of production in 1949–50.

GROUP INDICES: BASE 1949–50 (= 1000)

Industry Group1951–52 Index1952–53 Index1953–54
IndexIncrease Over 1952–53
    Per Cent
Food1028103510632.71
Beverages1106114511823.20
Tobacco manufactures1114112711744.17
Textiles1041994118519.20
Footwear, other wearing apparel, and made-up textile goods1125101110554.38
Wood and cork products (except furniture)1184118211961.15
Paper and paper products12841301159922.87
Printing, publishing, etc.1061112411744.40
Leather and leather products (except footwear and apparel)10279679811.42
Rubber products1803132614398.49
Chemicals and chemical products1169114912387.83
Non-metallic mineral products n.e.i.1048111711553.39
Electrical machinery and appliances11221128128614.03
Furniture and fittings }

Petroleum and coal products }

Basic metal manufactures }

Metal products (except machinery and transport equipment) }

Machinery (except electrical) }

Transport equipment }

Miscellaneous products }

1160120012816.71
    Totals, all groups111911161184610

BUILDING ACTIVITY (pp. 613–620)

Building Permits in Urban and Rural Districts Combined.—The following table gives a summary for New Zealand of building permits (including State building operations) for the years ended 31 March 1954 and 1955.

1953–541954–55
New Dwellings: NumberNew Dwellings: ValueTotal, All Buildings: ValueNew Dwellings: NumberNew Dwellings: ValueTotal. All Buildings: Value
  ££ ££
Urban districts12,59631,524,23953,972,84515,44340,241,57374,590,286
Rural districts4,86110,212,04215,527,0205,42012,525,26918,814,951
    Totals, New Zealand17,45741,736,28169,499,86520,86352,766,84293,405,237

Building Permits Issued: Urban Districts.—Urban districts include all cities, boroughs, town districts, and the road district of Panmure Township, together with the counties of Waitemata, Manukau. Makara, Hutt, Paparua, Waimairi, Heathcote, Peninsula, and Taieri.

Year Ended 31 MarchNew DwellingsValue of Other Buildings and Alterations and AdditionsTotal Value of All Buildings
NumberValue
  £££
195311,70028,045,24119,134,62947,179,870
195412,59631,524,23922,448,60653,972,845
195515,44340,241,57334,348,71374,590,286

Building Permits Issued: Rural Districts.—Rural districts include the remaining counties of New Zealand and islands outside county boundaries.

Year Ended 31 MarchNew DwellingsValue of Other Buildings and Alterations and AdditionsTotal Value of All Buildings
NumberValue
  £££
19534,5179,232,9934,715,13113,948,124
19544,86110,212,0425,314,97815,527,020
19555,42012,525,2696,289,68218,814,951

Dwelling Units Completed.—Local authorities supplying building permit figures were also requested to supply the number of dwelling units which were completed during the year. Estimates have been made in some cases where it was not possible to supply actual figures. While absolute accuracy for these statistics cannot be claimed, it is believed they will give reasonably approximate results, and also reasonably accurate comparisons of year to year changes.

The total figures on this basis for new dwelling units completed during 1954–55 were 18,500, compared with 16,600 in 1953–54 and 16,100 in 1952–53. Those completed in urban districts numbered 13,900 in 1954–55, 12,200 in 1953–54, and 11,900 in 1952–53.

EXTERNAL TRADE

Statistics of external trade in the calendar year 1954, in continuation of the statistics included in pages 265–321 of this Year-Book, are given below.

Total Commodity Trade.—Following are statistics of exports and imports in 1952, 1953, and 1954.

Calendar YearExportsImports (c.d.v.)Exports Over Imports
New Zealand ProduceTotal Experts

* The corresponding c.i.f. values were £276,215,000 in 1952, £192,180,000 in 1953, and £245,380,000 in 1954.

 £(000)£(000)£(000)£(000)
1952238,419240,561229,447*11,114
1953233,474235,860163,613*72,247
1954242,330244,432213,275*31,157

INDEX NUMBERS OF VALUE AND VOLUME OF TRADE

Calendar YearExportsImports
Value IndexVolume IndexValue IndexVolume Index
1936–38 (average)100100100100
1952397143486176
1953389129346133
1954403128452175

The total trade per head of mean population in 1954 was £218 (exports £116 and imports £102).

Exports.—New Zealand's export commodity trade in 1954 was valued at £244.4 millions, an increase of 3.6 per cent over the previous year. An indication of the movement in the value of exports in the main groups of commodities is afforded by the following table.

VALUE OF EXPORTS

Calendar YearButterCheeseFrozen MeatWoolHides, Pelts, and Skins
 £(000)£(000)£(000)£(000)£(000)
195255,92915,76940,47581,9989,949
195351,38518,37339,88784,59810,721
195444,80716,38151,86688,43710,449

Apart from the question of values, a special interest attaches to progress in the volume of our export trade in major export commodities. In the following table the fluctuations in the quantities of exports of butter, cheese, meat, and wool since 1944 are shown.

Calendar YearButterCheeseFrozen MeatWool

* Record.

 Tons (000)Tons (000)Tons (000)Tons (000)
1944115.377.7207.884.2
1945103.587.4282.774.2
1946101.875.7337.7163.1
1947127.687.0347.8167.5
1948135.675.6343.51880
1949147.693.9344.1191.8
1950137.599.9338.1175.9
1951147.1106.6274.8141.5
1952183.5*91.3385.5*195.6*
1953159.6101.4326.7174.8
1954132.992.4370.3175.4

NOTE.—The figures do not include wartime supplies to Allied Forces under mutual-aid arrangements, a factor of particular importance in 1944.

Direction of Export Trade.—The table below shows the main destinations of New Zealand exports in 1954.

CountryTotal Exports
 £(000)
United Kingdom163,024
Republic of India1,485
Pakistan36
Federation of Malaya637
Hong Kong108
British West Africa131
Rhodesia-Nyasaland Federation252
Union of South Africa552
Bermuda185
British Guiana122
British West Indies1,964
Canada2,953
Australia6,491
Fiji894
Gilbert and Ellice Islands58
Tonga243
Nauru55
Western Samoa558
Other Commonwealth countries121
    Totals, Commonwealth countries179,869
Belgium3,402
Czechoslovakia252
Denmark697
France14,675
West German Federal Republic10,488
Eastern Germany136
Greece296
Republic of Ireland403
Italy4,268
Netherlands4,072
Poland2,278
Russia2,943
Sweden452
Norway83
Switzerland117
Philippine Islands251
Japan1,274
French Indo-China1,597
Belgian Congo93
Egypt141
Mexico340
Netherlands Antilles211
Panama Republic165
United States of America13,932
Society Islands266
Tutuila148
Other countries931
    Totals, all other countries63,911
Ships' stores652
    Totals, all countries244,432

Exports to Commonwealth countries in 1954 accounted for 74 per cent of the total exports, excluding ships' stores.

Imports.—The table following classifies imports by broad divisions.

IMPORTS VALUED AT CURRENT DOMESTIC VALUE IN COUNTRY OF EXPORT

Calendar YearFood, Drink, and TobaccoApparel, Textiles, Fibres, and YarnsOils, Fats, and WaxesMetals, Metal Manufactures, and MachinesPaper and StationeryDrugs, Chemicals, and ManuresVehicles (Including Parts and Tires)Total*

* Including classes not listed.

 £(000)£(000)£(000)£(000)£(000)£(000)£(000)£(000)
195224,11435,85416,04074,93714,7419,90127,589229,447
195320,02824,11213,69153,7458,2787,18215,249163,613
195424,77136,00916,01866,2809,61710,77823,976213,278

Direction of Import Trade.—The next table shows the main sources (origin) of New Zealand's imports in 1954.

CountryTotal Imports*

* Provisional figures.

 £(000)
United Kingdom120,746
Bahrein Island2,439
British Borneo76
Ceylon2,624
Hong Kong471
India2,747
Pakistan45
Malaya and Singapore4,817
British West Africa967
Kenya and Uganda234
Tanganyika101
Seychelles87
Union of South Africa1,217
British West Indies305
Canada4,347
Australia27,661
Fiji1,511
Gilbert and Ellice Islands113
Nauru Island497
Western Samoa358
Other Commonwealth countries189
    Totals, Commonwealth countries171,552
Austria226
Belgium1,691
Czechoslovakia179
Denmark227
Finland91
France1,758
West German Federal Republic4,362
Germany—Eastern Zone278
Italy1,146
Netherlands2,278
Norway638
Portugal141
Spain109
Sweden1,670
Switzerland1,402
Russia150
China220
Indonesia2,738
Iraq121
Japan1,066
Tunisia88
Brazil68
Chile60
Cuba99
Peru267
Netherlands Antilles2,325
United States of America17,493
Venezuela520
Other countries312
    Totals, all other countries41,723
    Totals, all countries213,275

Imports from Commonwealth countries in 1954 comprised 80 per cent of the total.

DISTRIBUTION STATISTICS: QUARTERLY SURVEY OF RETAIL TRADING (pp. 658–660)

Following the Census of Distribution in 1953 a continuing quarterly retail sample inquiry was inaugurated. The results of the census formed the framework from which a random sample of firms, stratified by store-type in broad geographical divisions and size of turnover, was drawn.

The actual sample inquiry is confined to just under 10 per cent of establishments, but these, on the basis of the census, represent approximately 28 per cent of total turnover. To provide the estimates presented in the following tables the figures have been expanded to represent the activity of all retail stores with the exception of hotel, motor vehicle, and motor accessory trading, which are excluded from the sample inquiry, and also from the census figures quoted by way of comparison.

Turnover by Store-types.—In the following tables details are shown for the years ended 31 March 1953 and 1955, and for the quarters ended 31 March 1954 and 1955.

Value of turnover increased in all store-types in the year ended 31 March 1955 as compared with the year ended 31 March 1953. The largest relative increase occurred in household appliances, radios, etc., the smallest movement being in furniture and soft furnishings.

TOTAL SALES OR TURNOVER £(000)

Store-typeNorth IslandSouth IslandTotals, New Zealand
Auckland Urban AreaWellington and Hutt Urban AreasRemainder or North IslandTotals, North IslandChristchurch Urban AreaDunedin Urban AreaRemainder of South IslandTotals, South Island
Year Ended 31 March 1953
Butcher, etc.3,6852,5567,84514,0862,0121,3283,3006,64020,726
Grocer7,4746,12615,87229,4724,6282,3147,51714,45943,931
Other food and drink8,8884,56811,95825,4143,2432,0014,5649,80835,222
Footwear1,3619952,4284,7847114301,0212,1626,946
Other apparel9,5395,63716,77631,9524,4082,4026,96513,77545,727
Furniture and soft furnishings4,3232,2794,92911,5311,5379602,0844,58116,112
Household appliances, radios, etc.1,4411,0902,8655,3966955111,0902,2967,692
Hardware2,3633,5655,54611,4748394471,7963,08214,556
Chemist1,6499172,5655,1316954391,0122,1467,277
General, department, and variety11,9644,52030,08546,5696,8622,91512,37922,15668,725
Other11,3688,57320,68540,6269,9493,0738,16421,18661,812
    Totals64,05540,826121,554226,43535,57916,82049,892102,291328,726
Year Ended 31 March 1955
Butcher, etc.3,8672,8638,71315,4432,3411,5183,9457,80423,247
Grocer8,1686,53617,27831,9825,0362,5758,39416,00547,987
Other food and drink9,2715,39912,83627,5063,5322,3024,68010,51438,020
Footwear1,6221,1312,7565,5098294911,2552,5758,084
Other apparel10,0476,49118,87235,4104,4972,6877,55814,74250,152
Furniture and soft furnishings4,6842,3895,40812,4811,6571,0122,1284,79717,278
Household appliances, radios, etc.1,9771,3783,2796,6348626501,2622,7749,408
Hardware2,9673,8746,26513,1068624931,9923,34716,453
Chemist1,7841,0452,7875,6167644851,1822,4318,047
General, department, and variety13,5275,34333,99752,8678,1263,22813,93525,28978,156
Other11,7958,98323,22344,00111,4103,1859,27623,87167,872
    Totals69,70945,432135,414250,55539,91618,62655,607114,149364,704
Quarter Ended 31 March 1954
Butcher, etc.8826321,9773,4914933568921,7415,232
Grocer1,9091,5624,2047,6751,2026001,9953,79711,472
Other food and drink2,2181,4133,2306,8618425601,2402,6429,503
Footwear3342445701,1481751062715521,700
Other apparel2,0911,3083,9057,3049595521,5163,02710,331
Furniture and soft furnishings9604791,1502,5893401884459733,562
Household appliances, radios, etc.3592727201,3511721222425361,887
Hardware5937871,3292,7091921024127063,415
Chemist4182306561,3041731082635441,848
General, department, and variety2,8401,0577,64611,5431,6757083,0875,47017,013
Other2,6331,9995,2999,9312,4186612,0145,09315,024
    Totals15,2379,98330,68655,9068,6414,06312,37725,08180,987
Quarter Ended 31 March 1955
Butcher, etc.9166652,2403,8215663529631,8815,702
Grocer1,8771,5304,2487,6551,2246062,1193,94911,604
Other food and drink2,2661,3663,2686,9008675701,2032,6409,540
Footwear3472596061,2121891062885831,795
Other apparel2,0431,4704,1617,6749766131,6003,18910,863
Furniture and soft furnishings9345561,1622,6523852174581,0603,712
Household appliances, radios, etc.4693397641,5721971363256582,230
Hardware6938851,4553,0331901184547623,795
Chemist4062557061,3671791102765651,932
General, department, and variety2,9851,1428,09212,2191,7777343,5216,03218,251
Other2,8662,0795,68410,6292,9117162,1085,73516,364
    Totals15,80210,54632,38658,7349,4614,27813,31527,05485,788

The following table covering retail trading throughout the whole of New Zealand reflects to a certain extent both the seasonal pattern of trading (e.g., milk, ice-cream, confectionery, soft drinks, etc.) and changes due to other circumstances.

COMMODITY SALES OR TURNOVER OF RETAIL STORES

Commodity GroupYear EndedQuarter Ended
31 March 195331 March 195531 March 195431 March 1955

* Information obtained in the quarterly surveys indicates that retail trading in “Clothing, drapery, dress piece goods” was divided in the following proportions in the year ended 31 March 1955: Men's and boys' wear, 31 per cent; women's, girls', and infants' wear, 59 per cent; household drapery, 10 per cent.

 £(000)
Groceries and small goods (including butter, bacon, etc.)59,70466,51215,92515,830
Butchers' meat, fish, fruit, and vegetables31,00834,4227,8708,372
Other foods (bread, cakes, pastry, etc.)12,06112,8343,1823,101
Milk, ice-cream, confectionery, soft drinks, etc.10,15111,1192,9253,081
Tobacco, cigarettes, and tobacconists' sundries8,9909,0792,1172,110
Chemists' goods, toiletries, cosmetics (including dispensing)8,7659,6582,2152,298
Clothing, drapery, dress piece goods*57,34863,53812,88613,994
Footwear8,86210,2632,1492,289
Furniture, bedding, floor coverings, soft furnishings, and household textiles21,76522,5304,6514,931
Musical instruments, including radios4,6815,0761,0061,127
Household appliances and electrical goods9,50112,6512,4992,845
Hardware—    
  Domestic hardware, china, and glassware10,55712,0172,5092,778
  Builders' hardware and materials (excluding timber, bricks, and roofing tiles)13,10515,1593,2063,496
Books, stationery, etc.9,1719,7962,3662,439

Stocks.—The Census of Distribution, together with the present sample inquiry, provides stock figures as at 31 March of the last four years, and these are presented in the form of actual values and index numbers of actual value in the table which follows.

The figures for March 1955 show a rise in value of stocks of 7 per cent as compared with the March 1954 figure, an increase of 3 per cent as compared with March 1953, and an increase of 15 per cent as compared with March 1952.

VALUE OF STOCKS HELD BY RETAIL STORES AT END OF MARCH

Actual Value of StocksIndex Numbers of Value of Stocks
19521953195419551952195319541955
Store-type—£(000)Base 1953 (= 1000)
  Butcher, etc.3784413634088571000823925
  Grocer4,5204,5854,7124,758986100010281038
  Other food and drink1,6171,8811,8301,8628601000973990
  Footwear2,3212,4682,6253,031940100010641228
  Other apparel14,64015,11915,04217,62696810009951166
  Furniture and soft furnishings4,3284,3914,3454,56598610009901040
  Household appliances, radios, etc.1,2781,4141,3461,58090410009521117
  Hardware, builders', etc.2,7783,7433,4773,6177421000929966
  Chemist1,4031,5411,6301,726910100010581120
  General, department, and variety12,85114,25613,38114,75690110009591035
  Other11,97414,52713,41812,6518241000924871
    Totals, all retail stores58,08864,36662,16966,58090210009661034

FINANCE

Banking and Currency

Reserve Bank (p. 778).—Data showing the liabilities and assets of the Reserve Bank of New Zealand at the last balance day in May 1955 are shown below, together with the corresponding figures for the last balance day in March 1955.

As at Last Balance Day in
March 1955May 1955

* Expressed in New Zealand currency.

Liabilities—££
Total liabilities (including other)168,416,300136,588,085
Bank notes69,864,70369,943,745
Demand liabilities—  
  State38,539,5749,396,232
  Marketing1,898,6142,086,892
  Banks44,345,75044,397,749
  Other4,179,492875,750
Assets—  
  Total assets (including other)168,416,300136,588,085
Investments—  
  Overseas*23,140,97422,890,974
  In New Zealand10,337,64710,373,555
  Reserve*  
  Sterling exchange44,679,58347,569,686
  Other exchange448,599349,336
Advances—  
  State50,058,32416,044,050
  Marketing organizations26,016,10626,741,818
  Other5,818,7505,018,750

Trading Banks (pp. 779–788).—The principal statistics of trading banks for the months of March and May are given below. Debits and clearings cover the monthly periods ended on the last Wednesday of the respective months, while the remaining figures are as at those dates.

As at Last Balance Day in
March 1955May 1955
Bank debits—££
  Government16,383,7799,267,050
  Other144,556,80999,746,110
Bank clearings76,554,85457,158,126
Advances, including notes and bills discounted189,240,526186,928,866
Unexercised overdrafts98,641,216102,010,010
Deposits—  
  Total293,850,410292,201,433
  Government16,944,5778,316,474
  Not bearing interest237,133,978243,843,415
  Bearing interest39,771,85540,041,544
Reserve Bank notes—  
  Notes held by trading banks9,121,59310,788,752
  Net note circulation60,743,11059,154,993
Ratio of advances to deposits64.4063.97

An analysis of advances of the trading banks at quarterly intervals is published by the Reserve Bank of New Zealand, and the classification as at the last Wednesday in March of 1954 and 1955 is contained in the following table. Figures for earlier years will be found on page 784.

Advances toAs at Last Wednesday in March
19541955
 £(000)£(000)
Farmers24,60929,270
Industries allied to primary production20,84033,207
Other manufacturing and productive industries22,92428,560
Merchants—  
  Wholesalers14,84819,322
  Retailers14,85119,234
Transport3,9244,050
Other44,40950,589
    Total advances146,405184,234

Overseas Assets of Banks (p. 790).—In the following table overseas assets of banks (on account of New Zealand business only) are shown.

Overseas Assets at End of
March 1954March 1955
 £(000)£(000)
Trading banks' overseas assets—  
  In London27,55329,518
  Elsewhere4,5975,367
Reserve Bank's overseas assets—  
  Sterling exchange78,21144,680
  Other overseas assets24,74123,692
Total gross overseas assets135,102103,257
Overseas liabilities of trading banks6,0418,970
Overseas liabilities of Reserve Bank5156
Net overseas assets129,01094,230

Savings Banks (pp. 794–800).—A summary of statistics of savings banks at 31 March 1955 is given below.

Post Office Savings BankTrustee Savings BanksNational Savings Accounts

* On deposits held during year ended 30 June 1954.

Number of depositors1,554,549382,357 
 £££
Total amount of deposits during year117,880,90026,924,40311,128,289
Total amount of withdrawals during year112,842,48626,187,60710,281,512
Excess of deposits over withdrawals5,038,414736,796846,777
Interest credited to depositors4,710,920957,8231,911,672*
Total amount to cr. of depositors at end of March 1955215,671,14642,826,14168,227,566

Post Office Savings-bank Accounts Classified by Amount Groups (p. 796).—The following is a classification of the balances in Post. Office Savings-bank accounts at 31 March 1953, 1954, and 1955, shown by amount groups and percentage of accounts within each group.

At 31 March 1953Percentage of TotalAt 31 March 1954Percentage of TotalAt 31 March 1955*Percentage of Total

* Excludes 17,343 accounts domiciled at Apia and Rarotonga.

££      
Under 1 352,32323.71354,38923.30354,53523.06
1 and under10357,79624.08361,86823.79368,07023.94
10 and under50281,50518.95286,94418.87289,71418.85
50 and under100120,7288.13122,1068.03123,7868.05
100 and under200119,3878.03124,2048.17125,9558.19
200 and under30066,3674.4770,7824.6570,7344.60
300 and under40043,8892.9546,2863.0445,7772.98
400 and under50033,6512.2635,8402.3636,9522.40
500 and under60026,5831.7928,1511.8527,3471.78
600 and under70015,3791.0415,8011.0416,4861.07
700 and under80011,4880.7712,2410.8112,3670.81
800 and under9009,0790.619,3290.6110,0590.66
900 and under1,0007,2500.497,8260.518,2990.54
1,000 and under1,50021,6861.4623,5721.5523,8971.56
1,500 and under2,00010,0040.6710,7020.7011,0220.72
2,000 and under3,0007,3910.508,6040.579,2170.60
3,000 and under4,0008340.061,4330.091,8280.12
4,000 and under5,0003310.025750.046740.04
5,000 and over 1810.013350.024870.03
    Total number of accounts 1,485,832100.001,520,988100001,537,206*100.00

Overseas Receipts and Payments.—The following statement gives statistics of exchange-control transactions for the years ended 31 March 1954 and 1955. Comparable items for the calendar years 1953 and 1954 are, however, given on pages 792–793. All figures quoted are taken from Reserve Bank sources.

Year Ended 31 March 1954Year Ended 31 March 1955
ReceiptsPaymentsReceiptsPayments
Exports—£NZ(000)£NZ(000)£NZ(000)£NZ(000)
  Butter50,412..30,563..
  Cheese20,475..9,558..
  Meat48,924..49,852..
  Wool87,206..91,533..
    Total (including other)239,872..216,230..
Imports—    
  Licensed..38,404..50,944
  Decontrolled..133,915..177,048
  Government..25,141..20,844
    Total (including other)..200,449..252,910
Transport: Freights, fares, ships' charters1,5201,2161,5273,821
Travel: Private and business (exclusive of fares)1,6054,7831,9505,925
Insurance—    
  Insurance7131,170784934
  Reinsurance..598..1,210
    Totals, insurance7131,7687842,144
International investment income—    
  Interest, dividends, and other private investment income6,6375,1676,5365,193
  Interest on Government and local authority loans..2,866..3,117
    Totals, international investment income6,6378,0336,5368,310
Government transactions—    
  Current expenditure by New Zealand Government overseas..9,890..8,486
  Current receipts by New Zealand Government and expenditure by other Governments in New Zealand2,124..948..
    Totals, Government transactions2,1249,8909488,486
Miscellaneous current transactions—    
  Commissions, royalties, rebates, etc.5361,3401,0231,729
  Films and entertainments..817..789
  Unilateral transfers (immigrants' transfers, personal remittances, charitable, legacies, etc.)5,5715,6896,4417,740
  Expenses of business firms4423,1534763,348
  Other current transactions705694513913
    Totals, miscellaneous current transactions7,25411,6938,45314,520
Capital transfers—    
  Private2,7992,89920,58310,739
  Government8,8021,78817,2481,875
  Local authority..154..425
    Totals, capital transfers11,6014,84137,83113,039
Cook Islands exports or imports1018984112
Unidentified101 63 
    Grand totals271,527242,763274,405309,267

PUBLIC FINANCE

Summary of the Public Account for the Financial Years 1953–54 and 1954–55 (p. 711).—The source of the following table is parliamentary paper B–6, 1955.

Year Ended 31 March
19541955

* Expenditure from Public Works Account.

† Transfer from National Development Loans Account.

‡ Sale or purchase of investments by Public Account.

§ A number of transfer entries, such as the annual transfer from Consolidated Fund to Social Security Fund and the transfers of the surplus for previous years which do not affect the over-all cash surplus or deficit, have been excluded from both sides of the above statement.

|| Excludes £12 million borrowed from trading banks.

¶ As from 1 April 1954, all highways taxation is credited direct to National Roads Fund. Previously it was credited partly to Customs revenue and partly to highways taxation.

** As from 1 April 1954, all expenditure on roads is being met from National Roads Fund. Previously construction expenditure was met from Public Works Account and maintenance expenditure from Consolidated Fund.

Receipts£(m.)£(m.)
Taxation—  
  Income tax80.888.3
  Social security charge49.756.7.
  Customs26.328.0
  Sales tax21.122.6
  Stamp and death duties15.016.2
  Other taxation7.77.3
  Highways taxation5.3
    Totals, taxation205.9218.6
Interest7.78.4
Profits from trading1.83.1
Departmental receipts16.717.4
    Total Consolidated Fund and Social Security Fund receipts232.1247.5
National Roads Funds receipts..18.2
 232.1265.7
Receipts from borrowing (less repayments)—  
  Borrowing in New Zealand—  
   National Savings2.92.7
   Post Office Saving Bank11.511.5
   Other borrowing21.4||9.9
 35.824.1
  Overseas borrowing—  
   London and Australia12.411.6
    Totals, borrowing48.235.7
Other capital receipts—  
  Transfer from Consolidated Fund for debt repayment6.912.3
  Sinking Fund contributions3.72.7
Transfers from Consolidated Fund to—  
  War Emergency Fund and Defence Fund3.53.8
  Public Works Account..6.3
  National Development Loans Account..3.5
Miscellaneous capital receipts7.09.5
 21.138.1
    Totals301.4339.5
Excess receipts of trading accounts, etc., within the Public Account7.53.9
Grand totals308.9§343.4§
Expenditure£(m.)£(m.)
Social services105.7114.0
Defence29.024.1
Administration, etc.21.923.1
Stabilization14.512.9
Maintenance of works, etc.15.19.0
Development of industry13.213.6
Interest and management of the public debt  
 19.121.0
Transfer for repayment of the public debt  
 6.912.3
Transfer to Defence Fund3.51.0
Transfer to Public Works Account..2.0
Transfer to National Development Loans Account..3.5
Transfer to National Roads Fund..1.0
    Totals, Consolidated Fund and Social Security Fund expenditure228.9237.5
Works and other capital expenditure—  
  Housing construction*10.69.4
  School buildings*5.95.1
  Highways construction*3.3..
  Forest development*1.81.6
  Electric supply13.212.0
  Land settlement1.71.0
  Railways*6.36.3
  State coal1.10.2
  Post Office3.66.0
  Murupara Pulp and Paper Scheme*4.39.2
  State Advances Corporation 12.06.0
  Other*3.43.0
    Totals, works, etc.67.259.8
Other expenditure—  
  Defence Fund..3.2
  National Roads Fund..14.8**
Purchase of miscellaneous investments not included above67.277.8
 6.010.4
    Totals302.1325.7
Over-all cash surplus or deficit—  
  Sale of S.A.C. securities to trading banks−12.0..
  Fixed deposits with trading banks in New Zealand..14.6
  Increase in cash (and imprest) balances18.83.1
 6.817.7
    Grand totals308.9§343.4§

Summary of Budget Proposals.—The presentation of the Financial Statement was made on 21 July 1955, principal changes from the existing situation being briefly recorded below.

Taxation: Income Tax.—A rebate of 20 per cent from income tax, computed in accordance with existing rates and provisions, is to be granted for the tax year 1955–56 to individual taxpayers, with an upper limit of £75 to any rebate.

Sales Tax.—A fairly lengthy list of goods, of which the most important items were bicycles, clocks, and medicinal preparations and drugs, was exempted from sales tax by Resolution of the House of Representatives.

Death Duties.—Legislation to be introduced in the present session will abolish succession duty and impose a single estate duty, calculated on the value of the estate, which will combine the two existing duties, but will effect a general concession throughout the whole range of estates (estimated to amount to 17½ per cent reduction on total death and succession duties). The new scale will apply to estates of all persons dying on or after 21 July 1955.

Gift Duties.—The rates of gift duty will also be liberally adjusted (amounting to a 20 per cent reduction) throughout the entire range of gifts, for those gifts made on or after 21 July 1955.

Social Security.—The Social Security Commission is given a discretionary authority to raise the basic rate of benefit for single persons living alone by an amount of 5s. a week (i.e., maximum benefits £3 15s. a week). As already announced, it has been decided to apply the domestic service concession to women beneficiaries who perform domestic and nursing services in private homes, hospitals, and charitable institutions. An amendment to the Act is to be introduced enabling an unmarried woman between fifty-five and sixty years of age, who is unfit for regular employment, to be paid a benefit on the same basis as an age benefit. Also, as already announced, payments of benefits for which tuberculosis sufferers may qualify will be at rates up to £4 10s. for a single person and £8 10s. for a married couple, with additions where there are dependent children. For war pensions, a discretionary power is given to the War Pensions Board to provide a similar extra payment for single war pensioners who are in receipt of economic pensions, and also single war veterans, as in the case of social security beneficiaries.

Deferred Maintenance.—The deferred maintenance provisions introduced in 1944 will be repealed with effect for the income year ending 31 March 1956.

Hire Purchase.—Hire purchase regulations were gazetted on 21 July 1955 providing for minimum deposits of 50 per cent for motor vehicles and 15 per cent for all other goods, and for maximum periods for payment of the balance of 18 months for motor vehicles and 24 months for all other goods.

Local Authority Works.—The Local Government Loans Board has been informed that it is Government policy at the present time to confine local authority works activity to the most essential classes.

Public Loan.—It is intended to issue a public loan later in the year to complete the financing of the Government's capital programme.

Estimates of Receipts and Expenditure for 1955–56 (p. 712).—The following table shows the estimated receipts and payments for 1955–56 for the Consolidated and Social Security Funds.

Estimated Receipts, 1955–56£(m.)Estimated Payments, 1955–56£(m.)
Consolidated Fund
Taxation— Interest and debt repayment34.7
  Customs28.0Permanent appropriations4.2
  Beer duty6.5Annual appropriations— 
  Sales tax21.5  Stabilization12.6
  Film hire0.1  Defence26.7
  Stamp duties14.9  Development of primary and secondary industries15.0
  Land tax1.0  Social services (excluding transfer to Social Security Fund)51.8
  Income tax90.7  Other votes43.3
 162.7Supplementary estimates2.0
Other receipts—   
  Interest9.4    Total190.3
  Trading profits2.9  
  Departmental17.7  
    
    Total192.7  
Social Security Fund
Social security charge60.0Administration and special assistance1.8
Transfer from Consolidated Fund14.0Monetary benefits56.8
Miscellaneous0.1Medical, hospital, etc., benefits14.8
    Total74.1    Total73.4

Consolidated Fund (pp. 712–716).—The following table contains a summary of the receipts and payments of the Consolidated Fund for the financial years ended 31 March 1954 and 1955.

1953–541954–55

* Now a payment of the National Roads Fund.

Receipts££
Taxation156,195,535162,508,544
Interest on capital liability—  
  Post and Telegraph1,183,7851,326,103
  Electric supply2,811,8033,179,972
  Housing and Housing Construction1,162,3941,271,929
  Land settlement1,578,2101,599,330
  Other accounts140,08642,000
Interest on other public moneys869,604958,767
Profits on trading undertakings1,780,2873,143,946
Departmental receipts16,597,59117,185,650
    Totals, receipts182,319,295191,216,241
Payments  
Permanent appropriations—  
  Civil list143,739143,446
  Debt services—  
  Interest18,128,18220,014,417
  Amortization6,883,89712,315,865
  Administration and management1,004,7091,033,250
Superannuation (subsidy and contribution)3,068,0004,305,000
Contribution to National Roads Fund..1,000,000
Miscellaneous372,888430,808
    Totals, permanent appropriations29,601,41539,242,786
Annual appropriations—  
  Legislative213,259216,237
  Prime Minister's Office18,56419,993
  External Affairs1,811,8602,070,450
Finance—  
  Treasury289,651298,948
  Stabilization14,451,66412,923,126
  Customs412,579434,935
  Inland Revenue1,222,3491,295,964
  Audit182,472194,310
    Totals, finance16,558,71515,147,283
General administration—  
  Public Service Commission95,904106,142
  Internal Affairs3,788,7183,171,638
  Island Territories1,193,5791,161,923
  Printing and Stationery772,365936,095
  Marine516,491519,445
  Labour2,168,8841,792,394
  Maori Affairs805,108797,625
  Valuation399,937402,264
  Census and Statistics145,671145,621
  Rehabilitation1,235,7261,145,909
    Totals, general administration11,122,38310,179,056
Law and order—££
  Justice1,225,1851,560,230
  Crown Law19,85121,853
  Police1,758,8201,778,284
    Totals, law and order3,003,8563,360,367
Defence—  
  Navy5,254,4006,019,748
  Army11,840,8607,240,188
  Air9,196,0458,947,016
  Defence construction and maintenance2,721,1841,891,614
    Totals, defence29,012,48924,098,566
Maintenance—  
  Maintenance of public works and services9,626,5509,043,322
  Highways maintenance5,507,898*
  Totals, maintenance15,134,4489,043,322
  Development of primary and secondary industries—  
  Lands and Survey1,739,3781,882,319
  Forest Service1,790,6532,137,008
  Agriculture2,980,9733,801,555
  Milk Marketing652,334..
  Industries and Commerce378,070393,371
  Tourist and Publicity1,337,0371,362,884
  Scientific and Industrial Research1,089,8081,149,378
  Mines122,110119,172
  Transport789,985568,678
  Civil Aviation and Meteorological Services2,323,1742,202,756
    Totals, development of primary and secondary industries13,203,52213,617,121
Social services—  
  Health5,010,2265,195,853
  Subsidies to Hospital Boards10,270,07910,726,676
  Education20,782,20822,886,086
  War and other pensions7,241,6738,013,050
  Payment to Social Security Fund14,000,00014,000,000
    Totals, social services57,304,18660,821,665
    Totals, annual appropriations147,383,282138,574,060
Unauthorized expenditure31,61859,479
Transfer to Public Works Account..2,000,000
Transfer to Defence Fund3,500,0001,000,000
Transfer to National Development Loans Account..3,500,000
    Totals, payments180,516,315184,376,325
Surplus from current year's operations1,802,9806,839,916
Balance in Fund at end of year8,943,68213,980,618

The surplus for the year 1952–53 of £3,307,043 was expended during the year 1953–54 by transfer to the Public Works Account. The corresponding surplus for the year 1953–54 of £1,802,980 was expended during the year 1954–55 by transfer to the Public Works Account.

Taxation (pp. 722–723).—Particulars of revenue from taxation for the financial years 1952–53, 1953–54, and 1954–55 are contained in the following table.

Item of Revenue1952–531953–541954–55

* Now included under National Roads Fund taxation.

Consolidated Fund—£££
  Customs27,273,20626,343,30327,968,865
  Beer duty5,466,7015,833,8716,208,359
  Sales tax21,991,70321,133,74022,621,119
  Film-hire tax135,348131,190135,959
  Highways4,908,4925,328,922*
  Stamp duties5,702,5266,327,0426,905,585
  Death (including gift) duties8,767,8578,682,3769,385,145
  Land tax1,315,1361,615,372966,632
  Income tax78,701,37680,799,71988,316,880
    Totals154,262,345156,195,535162,508,544
Social security taxation—   
  Social security charge45,507,93849,717,37656,175,151
National Roads Fund taxation—   
  Highways revenue (less rebates)..889,40616,082,403
    Grand totals199,770,283206,802,317234,766,098

A summary showing the amounts received from direct taxes on income and from all sources during the last eleven years is now given.

YearDirect Taxes on Income (Including War and Social Security Charges on Income)Total Taxation
AmountPer Head of Mean PopulationPercentage of Total TaxationAmountPer Head of Mean Population
 ££s.d. ££s.d.
1944–4568,438,477412363.0108,681,81465510
1945–4671,582,87041161162.3114,954,8736740
1946–4763,873,162361756.5113,119,04663180
1947–4863,581,244353652.0122,275,911671211
1948–4978,386,0574210360.1130,440,249701411
1949–5080,186,0204212559.2135,556,3197211
1950–5195,208,07549121060.3157,946,9758271
1951–52121,714,371622960.7200,549,80710279
1952–53124,209,3146116362.2199,770,2839983
1953–54130,517,095636463.4206,802,31710065
1954–55144,492,0316812461.5234,766,09811199

State Indebtedness (p. 742).—The public debt as at 31 March 1955 amounted to £730,683,878, an increase of £24,222,056 as compared with a year earlier. Of the 1955 debt figure, £99,880,283 was held in the United Kingdom, an increase of £9,999,646.

SOCIAL SECURITY AND WAR PENSIONS (pp. 177–209)

Revenue of the Social Security Fund for the year ended 31 March 1955, together with the 1953–54 figures in parentheses, was as follows: Charge on salaries and wages, £32,423,831 (£28,714,790); charge on company and other income, £23,751,320 (£21,002,586); grant from Consolidated Fund, £14,000,000 (£14,000,000); interest on investments, £35,094 (£15,639); miscellaneous receipts, £103,865 (£105,956); total receipts, £70,314,110 (£63,838,971).

Payments from the Fund in 1954–55, with 1953–54 payments in parentheses, were: Monetary benefits, £52,901,484 (£48,626,205); emergency benefits and special assistance, £565,297 (£468,887); medical, etc., benefits, £12,588,924 (£10,607,046); Christmas bonus, £3,481 (£1,644,925); administration expenses, £1,097,219 (£1,017,140); other payments, £7,231 (£6,111). Total payments from the Fund were therefore £67,163,636 (£62,370,314). The balance in the Fund at the end of March 1955 was £15,578,640.

Particulars of the various social security benefits (monetary and health) and war pensions in force at the end of March 1955, together with total payments during the financial year 1954–55, are shown in the following table.

Class of Benefit or PensionAs at 31 March 1955Payments During Year Ended 31 March 1955
Number in ForceAnnual Value
Social security benefits—   
  Monetary— ££
    Superannuation78,1737,035,5706,750,226
    Age121,06322,530,89422,251,098
    Widows'12,1972,693,7452,664,461
    Orphans'30030,76528,899
    Family298,37018,099,12418,179,099
    Invalids'8,1101,665,0281,616,562
    Miners'481129,822128,663
    Sickness4,277..1,276,817
    Unemployment19..5,660
    Emergency2,201..430,13
    Totals525,191..53,331,620
Medical—   
    Medical....3,350,180
    Hospital....3,411,040
    Maternity....1,147,307
    Pharmaceutical....3,047,331
    Supplementary....1,633,066
      Totals....12,588,924
War pensions—   
    First World War17,0742,988,7773,110,948
    Second World War24,7032,274,2792,341,940
    War veteran's allowance7,6162,584,8702,212,223
    South African War285,0665,051
    Mercantile Marine pensions242,7612,867
    Emergency Reserve Corps91,8881,934
    Kayforce16414,31914,505
      Totals49,6187,871,9607,689,468
Sundry pensions and annuities42466,24168,869
      Grand totals575,233..73,678,881

PRICES

Retail Prices (pp. 892–895).—Details of the consumers' price index for the calendar year 1954, and for each of the quarters ended 31 March 1955 and 30 June 1955, are given below.

CONSUMERS' PRICE INDEX

Base: Weighted average twenty-one towns, first quarter, 1949 (=1000)

Calendar Year 1954Quarter Ended 31 March 1955Quarter Ended 30 June 1955
Food—   
  Meat and fish190219791965
  Fruit, vegetables, and eggs146613581502
  Other foods149715331549
    All foods158716011638
Housing—   
  Rent125112971297
  Other housing132214161416
  All housing129313691369
Fuel and lighting148014841497
Clothing and footwear—   
  Clothing135913841391
  Footwear148715041515
    Clothing and footwear137814021409
Miscellaneous—   
  Household durable goods116011381131
  Other commodities114711391140
  Services128713221322
    All miscellaneous119812021200
    All groups139514181432

Share Prices (pp. 904–907).—Index numbers of share prices in 1954, together with the average for the year ended March 1955, are given below.

GroupIndex Numbers Base Average for Each Group, 1938 (= 1000)
Average for 1954Average for Year Ended March 1955
Frozen meat22272323
Woollens19432009
Gas598608
Timber14881571
Minerals12861295
Miscellaneous (including breweries)13191339
    All industrial groups13581389
Banks12521279
Insurance23832422
Loan and agency26822850
Miscellaneous22582322
    All finance, etc., groups20492102
    All groups combined17031745

Monthly statistics for the first five months of 1955 are given below, together with figures for the corresponding months of 1954.

SHARE PRICES MONTHLY INDEX NUMBERS, YEAR 1938 (=1000)

19541955
Industrial GroupsFinance GroupsAll GroupsIndustrial GroupsFinance GroupsAll Groups
January125918951577140221351768
February128019171598141021391775
March129819421620140421161760
April130419531628143221331782
May132120231672144221361789

LABOUR STATISTICS

Wage-rates (pp. 912–915).—Index numbers of average nominal wage-rates of wage-earners in 1953 and 1954 are as follows.

Industrial GroupBase: All Groups 1926–30 (= 1000)
Adult MalesAdult Females
Average for YearAverage for Year
1953195419531954
Provision of—    
  Food, drink, etc.2416259323672531
  Clothing, footwear, and textiles2311247125812765
  Building and construction22272385....
  Power, heat, and light22982472....
  Transport by water25132767....
  Transport by land22382410....
  Accommodation, meals, and personal service2161234427833022
Working in or on—    
  Wood, wicker, seagrass, and fibre23332506....
  Metal24242614....
  Stone, clay, glass, and chemicals21782344....
  Paper, printing, etc.2459264723882953
  Skins, leather, etc.21332293....
  Mines and quarries22852483....
  The land (farming pursuits)21502299....
    All groups combined2284245926112826

Effective Weekly Wage Rates (p. 916).—The following table shows nominal and effective weekly wage rates of adult workers for the years 1953 and 1954. The base of the index numbers is in each case the average of the five years 1926–30 (= 1000).

YearRetail Prices (All Groups)Nominal Weekly Wage RatesEffective Weekly Wage Rates
MalesFemalesMalesFemales
195317652284261112941479
195418472459282613311530

Revision of Nominal Wage Rate Index Numbers.—The 1954–55 revision of the wage rate index numbers has resulted in adjustments being made to the weights for occupations, occupational groups, and industrial groups. It has been found necessary to introduce some new occupations and occupational groups, but the framework of the existing industrial groups has been maintained. A full account of the revision is included as an appendix to the “Report on Prices, Wages, and Labour Statistics” for 1954. The base of the new index has been taken as the calendar year 1954 and the linking of the old series has been made through 1954 also. The all-groups index numbers of average weekly wage rates of adult wage-earners for the calender year 1954 and for adult males as at 31 March 1955 are as follows. The linked series for 1950 to 1953 are also included.

INDEX NUMBERS ALL GROUPS COMBINED

Base: All Groups 1954 (= 1000)

YearMalesFemales
1950729727
1951829817
1952871852
1953929924
195410001000
As at 31 March 19551032..

The following table shows a comparison of nominal and effective weekly wage rates of adult male and female workers in each of the years 1950–54 and for adult males for the first quarter of 1955. The base of the index numbers is in each case the calendar year 1954 (= 1000).

YearRetail Prices (All Groups)Nominal Weekly Wage RatesEffective Weekly Wage Rates
MalesFemalesMalesFemales
1950764729727954952
1951848829817978963
1952914871852953932
1953956929924972967
195410001000100010001000
1955—     
  March quarter10161032..1016..

Average Rates of Wages (pp. 918–921).—The following table gives the prescribed minimum average weekly wage rates as at 31 March 1955, the series being confined to adult males.

OccupationAverage Wage (Four Principal Districts) at 31 March 1955

NOTE.—The following perquisites (as assessed for statistical purposes), as at 31 March 1955, should be added to the listed occupations: General farm hands, ploughmen, shepherds, and dairy-farm hands, 35s. per week for board and lodging; shearers and wool pressers, 7s. per day for rations; assistant stewards (first and second grade), chief and second cooks, able and ordinary seamen, 44s. 5d. per week as value of board and lodging; and hotel chefs and waiters, 41s. 10d. per week as value of board and lodging.

Adult Males
Bakers—s.d.
  Journeymen2320
  Labourers1961
Butchers—  
  First shopmen2478
  Second shopmen2306
Butter-factory employees—Churning and butter making: General hands2511
Flourmilling—  
  Kilnmen2248
  Assistant smuttermen2143
  Rollermen2417
Meat freezing—  
  Slaughtermen, per 100 sheep1055
  General hands2392
Meat preserving—s.d.
  Boners28210
  General hands2392
Sausage-casing making: General Hands2469
Aerated water and cordial making—  
  Cordial makers20611
  Bottle washers1972
  Brewing: Labourers2204
Tailors—  
  Journeymen2299
  Factory hands2260
  Boot operatives2260
Woollen mills—  
  Spinners2299
  General hands2053
Building—  
  Bricklayers2408
  Carpenters and joiners2337
  Plasterers2400
  Plumbers (competent)2430
  Builders' labourers2140
  General labourers19310
Sawmilling—  
  Engine drivers2404
  Sawyers2456
  Tailers-out22311
  Yardmen, head2404
  General hands2202
  Boatbuilding: Shipwrights2393
Metal works, etc.—  
  Boilermakers, journeymen2309
  Iron and brass moulders2356
  Tinsmiths, journeymen2370
  Engineering fitters, etc.23710
  Electrical workers2387
  Motor mechanics2438
Printing—  
  Linotype operators (day)2469
  Letterpress machinists (day)2374
  Skin and leather workers—  
  Curriers2214
  General hands19510
  Mineral and stone workers—  
  Brickmakers2223
  General hands2020
Mining (coal)—  
  Surface—  
  Screen worker22711
  Miners (on day wages, per shift)479
  Truckers2169
  Quarry men2005
Agricultural and pastoral workers—  
  General farm hands1560
  Threshing-mill hands, per hour54*
  Ploughmen1560
  Shearers (per 100 sheep shorn)726
  Shepherds1560
  Wool pressers2622
  Dairy-farm hands1900
Railways—  
  Engine drivers, average third and sixth years2618
  Firemen, average second and ninth years2339
  Guards, average first and third years2505
Tramways—2176
  Motormen  
  Conductors2091
  Shipping and cargo working—  
  Assistant stewards, first grade2181
  Assistant stewards, second grade2149
  Chief cooks2674
  Second cooks2416
  Able seamen2342
  Ordinary seamen, first class1813
  Waterside workers: Ordinary  
  cargo2384
Hotel workers—  
  Chefs22710
  Waiters16210
Miscellaneous—  
  Soft-goods assistants (male)2209
  Grocers' assistants2161
  Warehouse storemen21011

Aggregate Weekly Wage Payment in Industry (pp. 922–924).—The following data, showing the average weekly wage pay-out in industry, have largely been extracted from the half-yearly surveys conducted by the Department of Labour.

All Industrial Groups CombinedPay-roll Strength, Males and Females Combined (Including Juveniles and Salaried Executives)Weekly Wage Payout (Including Overtime, Bonus Earnings, etc.)
AggregateAverage Per Person

* Does not include retrospective payments arising from the general order of the Court of Arbitration of 19 November 1953.

  ££s.d.
1949 October450,1043,632,663815
1950 April459,6983,780,634846
1950 October457,0284,016,4858159
1951 April463,8884,526,7279152
1951 October465,7284,729,1591031
1952 April475,9754,945,72410710
0952 October474,3165,050,68910130
1953 April487,9135,401,4991115
1953 October487,2665,409,8591120*
1954 April502,4426,089,62412 5
1954 October502,4476,206,0361270
1955 April516,5736,590,48712152

Estimated Distribution of the Labour Force (p. 981).—The following table supplies an estimated distribution of the total labour force at 15 October 1954 and 15 April 1955.

Industrial GroupMalesFemalesTotals
October 1954April 1955October 1954April 1955October 1954April 1955
Thousands
Primary industry138.5137.512.212.8150.7150.3
Manufacturing industry145.8152.446.546.4192.3198.8
Power, water, and sanitary services10.91100.70.811.611.8
Building and construction65.967.91.21.367.169.2
Transport and communication67.969.08.38.576.277.5
Distribution and finance86.988.640.742.2127.6130.8
Domestic and personal services19.119.226.126.545.245.7
Administration and professional54.755.050.251.6104.9106.6
    Totals, in industry589.7600.6185.9190.1775.6790.7
Armed forces9.79.70.70.810.410.5
Unemployed      
    Totals, labour force599.4610.3186.6190.9786.0801.2

Half-yearly Surveys of Employment (pp. 984–986). Following is a summary of the employment statistics as returned for 15 April 1955.

Primary Industry (Other than Farming, Fishing, and Hunting)Manufacturing IndustryPower, Water, and Sanitary ServicesBuilding and ConstructionTransport and CommunicationDistribution and FinanceDomestic and Personal ServicesAdministration and ProfessionalTotals, all Industries Covered
Male employees10,234134,65510,95547,59050,44865,31811,22341,439371,862
Male working proprietors3048,48955,4651,6308,8102,93649128,130
Female employees22643,0807881,1277,98936,14013,62841,733144,711
Female working proprietors..1,204..3352,8051,8252016,073
Number of establishments60312,3752435,1872,48514,1534,4013,63543,082

The figures shown in the manufacturing industry column are further subdivided as follows.

Food, Drink, and TobaccoTextiles, Clothing, and LeatherBuilding Materials and FurnishingsEngineering and Metal WorkingMiscellaneous Manufacturing
Male employees29,39512,27724,58050,78217,621
Male working proprietors1,0499971,7973,764882
Female employees6,57123,5391,4445,1776,349
Female working proprietors468543317488
Number of establishments1,8681,9802,6004,5671,360

Limitations in the coverage of the figures shown above are noted on page 984.

Summary of Vacancies, Placements, and Disengaged Persons.—This table gives additional figures to those presented on page 993.

Vacancies at End of MonthPlacements During MonthDisengaged Persons at End of Month
MulesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Monthly average over calendar year—         
  19537,9443,45511,3991,3615301,891671885
  19548,4044,12812,5329974221,419481058
Monthly total—         
  1955—         
  January9,4774,46313,9408315711,402331346
  February10,1714,74514,9161,1049442,04841748
  March9,9374,70414,6411,2245591,783521668
  April10,0944,65814,752664247911312152

TRANSPORT

Shipping and Cargo Handled (pp. 334–342).—Statistics of entrances and clearances of vessels in the foreign trade in 1953 and 1954, and the total calls made in the foreign and coastal trade for the same years, are shown in the following table. The tonnage of cargo handled is also given.

Calendar Year
19531954
Entrances—  
  Overseas—  
   Number of vessels673751
   Net tonnage2,767,5573,160,132
Clearances—  
  Overseas—  
   Number of vessels676735
   Net tonnage2,804,0203,132,934
Total calls made—  
  Overseas—  
   Number of vessels1,8412,049
   Net tonnage7,257,7758,332,107
  Coastal—  
   Number of vessels13,69613,502
   Net tonnage4,451,4654,782,208
  Total—  
   Number of vessels15,53715,551
   Net tonnage11,709,24013,114,315
Tonnage of cargo handled—  
  Inwards5,811,3716,650,451
  Outwards3,111,9923,225,767
  Transhipped348,588341,710
Total manifest tonnage9,271,95110,217,928

Statistics of shipping movement and cargo handled at New Zealand ports in 1953 and 1954 are given below.

Total Shipping MovementTotal Cargo Handled
1953: Net Tonnage1954: Net Tonnage1953: Tons1954: Tons
 (000)(000)(000)(000)
Auckland4,4065,2703,0283,264
Wellington7,1537,2912,2802,402
Lyttelton4,4005,0311,0241,173
Dunedin1,7972,085536629
Other ports5,6876,4382,4042,750
    Totals23,44326,1159,27210,218

Railway Transport (pp. 346–354).—Summarized statistics of railway transport in the years ended 31 March 1953, 1954, and 1955 follow.

UnitYear Ended 31 March
195319541955

* Including road motor and other subsidiary services.

Passenger journeys—    
  Railways(000)21,45523,27224,735
  Railway road motor services(000)24,12022,62719,956
Tonnage of goods carried—    
  TimberTons (000)819772785
  LivestockTons (000)647631647
  Other goodsTons (000)8,5608,2318,904
  TotalsTons (000)10,0269,63510,336
Net ton-miles runMillions1,0631,0341,109
Revenue—    
  Railway operation£(000)22,58923,68227,009
  Total*£(000)26,60827,89531,285
Expenditure—    
  Railway operation£(000)22,75523,62125,542
  Total*£(000)26,52527,49129,417

Road Transport (p. 367).—Statistics of motor vehicles licensed at 31 March 1954 and 1955 are as follows.

ClassAs at 31 March
19541955
Cars323,641356,284
Trucks—  
  Light56,70758,007
  Heavy46,25848,263
Contract vehicles2,1642,174
Omnibuses1,8222,022
Taxis2,2582,319
Rental cars1,7061,839
Private-hire cars289257
Service cars723699
Trailers48,67554,768
Vehicles exempted from payment of licence fees (other than exempted Government-owned vehicles)47,28749,256
Government vehicles14,63214,905
Motor cycles25,75426,244
Power cycles3,9724,114
    Totals575,888621,151
Dealers' cars2,4432,653
Dealers' motor cycles128147
    Grand totals578,459623,951

FIRE LOSS STATISTICS, 1953 (pp. 845–852)

A classification of insured property losses through fire during the calendar year 1953 is given below. The figures are comparable with those covering the year 1952 shown in Section 34c.

Type of Fire DistrictNumber of Separate FiresGross Amount of Insurance Cover on Risks AffectedGross Amount of Loss Paid on Risks AffectedPercentage of Loss Paid to Amount at Risk
  ££ 
United urban fire districts5,06717,646,888592,3223.36
Urban fire districts6,56016,686,306647,5293.88
Secondary urban fire districts7911,618,514136,6398.44
Remainder of New Zealand (including floating risks)1,8293,984,328273,9006.87
    Totals14,24739,936,0361,650,3904.13

The principal causes of outbreaks during 1953 are set out in the following table.

Causes of FiresNumber of Separate FiresInsurance Cover on Risks AffectedAmount of LossAverage Loss Per Fire
  £££
Electricity3,2198,679,629150,23247
Gas233598,7255,08022
Naked lights169325,2599,10754
Defective chimneys, etc.6571,502,89934,19152
Smoking and careless use of matches2,2105,087,722109,24349
Sparks from fireplaces5,1035,754,76482,27916
Heating, boiling-down343906,28823,06167
Inflammable spirits and materials3475,510,617150,089433
Incendiarism and arson34147,06558,3011,715
Outside causes251583,43621,69186
Other causes5682,5847,330131
Unknown causes1,62510,757,048999,786615
    Totals14,24739,936,0361,650,390116

REHABILITATION (pp. 256–264)

The following table gives particulars of rehabilitation-loan authorizations for the years ended 31 March 1954 and 1955, and the totals to 31 March 1955.

Class of LoanNumberAmount
1953–541954–55Total to 31 March 19551953–54*1954–55*Total to 31 March 1955*

* Excludes suspensory loans.

    £(000)£(000)£(000)
Purchase of farm, etc.68547210,6066,4174,62357,402
Housing—      
  Erection1,2891,54121,9605,5795,48367 284
    Purchase1,7471,32027,225
Tools of trade1031,47210.149
Furniture2,4541,61761,1742581585,731
Business26421111,1742281717,241
Miscellaneous25666421131
    Totals6,4745,170134,27512,48510,435137,838

Included in the foregoing total figures are 22,735 supplementary housing loans for £2,928,838. These loans, which are not repayable so long as the ex-serviceman or his dependants continue in occupation of the property, are granted to assist in bridging the gap between present-day costs and normal values, and each case is considered on its merits.

The figures shown in the table are exclusive of 7,936 suspensory loans (5,742 residential and 2,194 farm), amounting to £3,309,458 (£961,165 residential, £2,348,293 farm), made up to 31 March 1955.

EDUCATION (p. 152)

The following table shows the number of scholars and students receiving instruction in the educational institutions of New Zealand during the years 1953 and 1954. Registered private schools are included.

19531954

* Exclusive of students taking part-time courses with the Correspondence School, 1,179 in 1953, and 2,085 in 1954.

† Includes 636 students taking short courses at the agricultural colleges in 1953 and 707 in 1954.

Primary schools359,537374,657
Post-primary schools67,478*75,247*
Technical classes (part-time)30,63735,152
Universities11,46711,510
Teachers' training college2,7692,834
    Totals471,888499,400
Kindergartens5,6166,044

MISCELLANEOUS STATISTICS

Radio Licences (p. 401).—The number of radio licences for receiving stations in force on 31 March 1955 was 508,943, and for all classes of radio licences 513,715, compared with 501,756 and 506,323 respectively at 31 March 1954.

Horse Racing (p. 737).—The number of racing days in the calendar year 1954 was 362. Totalizator investments totalled £43,616,000 in 1954 (£38,611,000 in 1953), while Government taxation totalled £4,034,000 in 1954 (£3,563,000 in 1953).

Land Transfers (pp. 407–410).—Transactions under the Land Transfer Act have been on a very heavy scale during the last three financial years. The average amount per transaction (town and suburban properties) in 1954–55 was £1,889, as compared with £1,739 in 1953–54 and £1,665 in 1952–53.

Year Ended 31 March
195319541955
Town and suburban properties—   
  Number39,32543,42746,978
  Consideration    £65,461,00075,503,00088,761,000
Country properties—   
  Number9,0539,1889,593
  Area    Acres1,616,7811,675,6172,123,500
  Consideration    £35,241,00038,915,00047,964,000
All properties—   
  Number48,37852,61556,571
  Consideration    £100,702,000114,419,000136,725,000

Mortgages (pp. 809–819).—Particulars of gross totals of mortgages registered and discharged during the last three financial years are shown below. In sympathy with the movement in land transfer registrations, mortgage registrations have been heavy during recent years. The 1954–55 figure of £85,258,000 showed an increase on the total of £70,910,000 for the previous year.

Year Ended 31 MarchRegistered*Discharged*
NumberAmountNumberAmount

* Inclusive of duplicate registrations and discharges.

  £ £
195350,65974,732,00034,16031,401,000
195452,83470,911,00036,73136,082,000
195558,03185,258,00037,93441,196,000

Justice.—Prisoners in gaols at end of calendar year (pp. 230–235): 1953, 1,115, or 5.44 per 10,000 of population; 1954, 1,223, or 5.83 per 10,000 of population.

Registration of Aliens (pp. 41–42).—The number of aliens on the register at 1 April 1955 totalled 24,066 (15,770 males, 8,296 females), compared with 1 April 1954 figures of 23,148 (15,304 males, 7,844 females).

Naturalizations (p. 40).—The number of certificates of naturalization issued to former aliens during the year ended 31 March 1955 was 220, compared with a total of 136 in the previous year. Certificates of registration as a New Zealand citizen were granted to 364 citizens of other countries of the Commonwealth or of former aliens (250 in 1953–54), and 115 certificates of registration (65 in 1953–54) to minor children (either citizens of other countries of the Commonwealth or former aliens).

LIFE ASSURANCE BUSINESS 1954 (pp. 834–841)

During 1954 further striking progress was made in life assurance business, the number of new policies issued (116,866) exceeding those for the previous year by 9,112. The total value of the new assurances amounted to £88,083,000, compared with £73,137,000 during 1953. The average amount per policy issued in 1954 was £997 for ordinary life assurance and £135 for the industrial type.

Policies in force at 31 December 1954 numbered 1,429,756 (882,018 ordinary and 547,738 industrial). The comparative figure for twelve months earlier was 1,383,709 (827,321 and 556,388). The average face value per policy in force at the end of 1954 was £625 for ordinary and £74 for industrial.

Premium revenue during 1954 totalled £19,053,000, an increase of £1,824,000 over the previous year.

LIVESTOCK ON FARMS (pp. 489–508)

Livestock figures as at 31 January 1955 on farm holdings of one acre and over outside borough boundaries were as follows, the previous year's figures being also given.

 31 Jan. 195431 Jan. 1955
Dairy cattle3,110,4243,079,053
Beef cattle2,634,4542,807,724
Total cattle5,744,8785,886,777
Pigs648,902681,495
Horses158,280147,063
Sheep shorn (season 1953–54)35,542,83637,361,303
Lambs shorn (season 1953–54)8,355,9478,115,998
Lambs tailed (season 1953–54)23,594,80524,239,189

Chapter 1. SECTION 1—DESCRIPTIVE

Table of Contents

AREA AND BOUNDARIES.—The administrative responsibilities of New Zealand devolve over a large area, the land territories of which consist principally of a number of islands of varying size in the South Pacific Ocean, together with a large uninhabited tract in the Antarctic Ocean. While the two largest and most important islands, the North and South Islands of New Zealand, are separated only by a relatively narrow strait, the remaining islands or island groups are very much smaller and in general are widely dispersed over a considerable expanse of ocean.

The boundaries of New Zealand inclusive of its most outlying islands and dependencies range from the northern limit of the 8th degree of south latitude to south of the 60th degree of south latitude, the complementary extremes of longitude with origin Greenwich being from the 160th degree of east longitude to the 150th degree of west longitude.

The precise boundaries as they now exist were originally defined in the relevant proclamations, letters patent, and legislation mentioned in the pages immediately following; general statements are contained in the description next presented relating to those areas over which New Zealand exercises jurisdiction or administrative responsibility. In all instances the measurement of longitude refers to the number of meridians east or west of Greenwich.

In proceeding from north to south, the first area, including the Tokelau Islands some 300 miles north of Western Samoa or 2,300 miles approximately north by east of Wellington (the capital of New Zealand), extends from the 8th to the 10th degrees of south latitude and from the 171st to the 173rd degrees of west longitude. The second area encloses the Cook and associated islands distant from Wellington in a north-easterly direction approximately 2,100 miles Lower (Southern) Group to 2,800 miles Northern Group and Niue. The Lower (Southern) and Northern Groups are bounded on the east and west by the 156th and 167th degrees of west longitude respectively, and on the north and south by the 8th and 23rd degrees of south latitude. Niue Island is situated in latitude 19° 02′ south and longitude 169° 52′ west.

Then follows a third zone covering the trust territory of Western Samoa, which is some 2,000 miles distant to the north-north-east and contained within the 13th to the 15th degrees of south latitude and the 171st to 173rd degrees of west longitude.

Farther south, and slightly north by east from New Zealand, a matter of roughly 1,000 miles from Wellington, are situated the Kermadec Islands. These islands lie between the 29th and 32nd degrees of south latitude and the 177th and 180th degrees of west longitude.

New Zealand as defined after the extension of boundaries in 1863 constitutes the fifth and principal area. Its boundaries extend from the 33rd to the 53rd degrees of south latitude and from the 162nd degree of east longitude to the 173rd degree of west longitude.

The sixth area relates to the Ross Dependency which is administered by New Zealand and consists of the coasts of the Ross Sea with adjacent islands and territories between the 160th degree of east longitude and the 150th degree of west longitude, and south of the 60th degree of south latitude.

Jointly with the United Kingdom Government and the Government of Australia, New Zealand is responsible for the administration of the Trust Territory of the Island of Nauru. The administrative appointments for Nauru are made by the Australian Government, but New Zealand appoints a representative to the British Phosphates Commission, which controls the working of the phosphate deposits.

For statistical purposes, the following classification of the administrative area of New Zealand is the most convenient, the actual areas being also given. It should be noted also that statistics for “New Zealand” refer to the group of islands shown in (a) only, unless it is expressly stated that the other islands as a whole or in part are included.

New Zealand:—

(a) Exclusive of Island Territories—Area in Square Miles
  North Island44,281
  South Island58,093
  Stewart Island670
  Chatham Islands372
  Minor islands— 
   Inhabited— 
    Kermadec Islands13
    Campbell Island44
   Uninhabited (areas in parentheses)—263
    Three Kings (3). Snares (1). 
    Solander (½). Antipodes (24). 
    Bounty (½). Auckland (234). 
    Total New Zealand, exclusive of Island Territories103,736
(b) Island Territories— 
  Tokelau Islands, comprised of4
   Fakaofo Island, Nukunono Island, Atafu Island 
  Cook and associated islands, comprised of— 
   Lower (Southern) Group78
    Rarotonga.    Aitutaki. 
    Mangaia.    Mauke. 
    Atiu.    Takutea. 
    Mitiaro.    Manuae and Te-au-o-tu. 
   Northern Group12
    Palmerston.    Pukapuka. 
    Penrhyn.    Suwarrow. 
    Manihiki.    Nassau. 
    Rakahanga. 
  Niue Island100
    Total New Zealand, inclusive of Island Territories103,930
Ross Dependency(Estimated) 175,000
Trust Territory of Western Samoa1,133

The total area of the foregoing groups exclusive of the Ross Dependency and the Trust Territory of Western Samoa is 103,930 square miles. Elsewhere in this issue—viz., in the section on land tenure, settlement, etc.—the aggregate area of New Zealand appears as 66,390,700 acres—i.e., 103,736 square miles. The latter area does not include the Cook and associated islands or the Tokelau Islands.

The relevant Proclamations, defining from time to time the administrative area of New Zealand, are briefly referred to in the following paragraphs.

The Proclamation of British sovereignty over New Zealand, dated 30 January 1840, gave as the boundaries of what was then the colony the following degrees of latitude and longitude: On the north, 34°30′ S. lat.; on the south, 47° 10′ S. lat.; on the east, 179° 0′ E. long.; on the west, 166° 5′ E. long. These limits excluded small portions of the extreme north of the North Island, and of the extreme south of Stewart Island.

In 1842, by Letters Patent, and again by the Imperial Act 26 and 27 Vict., c. 23 (1863), the boundaries were altered so as to extend from 33° to 53° of south latitude and from 162° of east longitude to 173° of west longitude. The minor islands mentioned earlier were thus brought within the extended boundaries of New Zealand, being assigned to the appropriate province on the occasion of the 1847 Proclamation dividing the country into two provinces. The number of provinces was increased in later years, though all were finally abolished in 1875. By Proclamation bearing date 21 July 1887 the Kermadec Islands were declared to be annexed to and to become part of the then colony of New Zealand.

By Proclamation of 10 June 1901 the Cook Islands, and all the other islands and territories situate within the boundary lines mentioned earlier, were included as from 11 June 1901.

The territory of Western Samoa was formerly administered pursuant to a mandate conferred upon His Britannic Majesty, to be administered on his behalf by the Government of New Zealand, and confirmed by the Council of the League of Nations on 17 December 1920. Following the replacement of the League of Nations by the United Nations, a draft Trusteeship Agreement for Western Samoa was prepared by the New Zealand Government and submitted to the General Assembly of the United Nations late in 1946. This draft agreement replaced the original mandate and thus brought the Territory within the framework of the international trusteeship system established under the United Nations Charter. Under the new agreement the New Zealand Government assumed direct responsibility for the administration of Western Samoa. The agreement was approved by the General Assembly on 13 December 1946. Western Samoa is comprised of two large islands, Upolu and Savai'i, and the small islands of Manono, Apolima, Fanuatapu, Namu'a, Nu'utele, Nu'ulua, and Nu'usafe'e.

By Imperial Order in Council of 30 July 1923 the coasts of the Ross Sea (in the Antarctic regions), with the adjacent islands and territories between the limits specified earlier, were declared a British settlement within the meaning of the British Settlements Act 1887. This region was named the Ross Dependency, and placed under the administration of the Governor-General of New Zealand. The dependency is uninhabited.

By Imperial Orders in Council of 4 November 1925 the Tokelau Islands (consisting of the islands of Fakaofo, Nukunono, and Atafu, and the small islands, islets, rocks, and reefs depending on them, a total area of only four square miles) were excluded from the Gilbert and Ellice Islands Colony, and placed under the administration of the Governor-General of New Zealand. In accordance with a provision of the second of these Orders in Council, the Governor-General's authority and power in connection with the administration of the islands were, by New Zealand Order in Council of 8 March 1926, delegated to the Administrator of Western Samoa.

By the Tokelau Islands Act 1948, which came into operation on 1 January 1949, the Tokelau Islands were declared to form part of New Zealand. This Act emerged as the result of an agreement between the United Kingdom and New Zealand Governments.

GEOGRAPHICAL FEATURES.Coast Line.—Since the combined length of the North and South Islands extends just over a thousand miles, and since the width of neither Island exceeds 280 miles at its broadest point, New Zealand possesses a very lengthy coast line in proportion to its area. With the exception of the low-lying North Auckland Peninsula, the New Zealand landmass lies along a south-westerly and north-easterly axis, parallel to the direction of its mountain chains.

By reason of the latter fact the coast line is, on the whole, not greatly indented; and, as a consequence, New Zealand is not well endowed with natural harbours. In the North Island, Auckland and Wellington are the only two safe natural harbours of which the fullest commercial use can be made. On the east coast of the North Auckland Peninsula several deep and sheltered harbours exist, but as the surrounding country is comparatively undeveloped they are of little economic consequence at present. In the South Island the Marlborough Sounds and the West Coast Sounds form perfect land-locked harbours, but owing to their situations and to the rugged nature of the terrain they have—with the exception of Queen Charlotte Sound—little or no commercial utility. Where vital localities have not been endowed with ideal harbours it has been necessary to improve existing facilities by dredging and by breakwater construction, etc. In this manner efficient ports, capable of accommodating overseas vessels, have been formed in Lyttelton, Otago, and Bluff harbours. On the west coast of both Islands the strong ocean drifts and high seas cause shoaling at river mouths and harbour entrances, while on the east coast of the South Island similar circumstances prevail, due to the large quantities of shingle brought down by the rivers being spread along the coast by ocean currents. The mountainous nature of the country makes the haulage of goods to and from the better equipped natural harbours both costly and difficult, and the construction and maintenance of further ports at various points along the coasts of both Islands has been necessary, either by dredging river mouths or by harbour-construction work.

Mountains.—The mountainous nature of New Zealand is one of its most striking physical characteristics, less than one-quarter of the land surface lying below the 650 ft. contour. In the North Island the higher mountains occupy approximately one-tenth of the surface; but, with the exception of the four volcanic peaks of Egmont (8,260 ft.), Ruapehu (9,175 ft.). Ngauruhoe (7,515 ft.), and Tongariro (6,458 ft.), they do not exceed an altitude of 6,000 ft. Of these four volcanoes only the first named can be classed as dormant. Ruapehu was particularly active from March 1945 to the end of that year, being responsible for considerable deposits of volcanic ash over a very wide area, while spectacular activity was exhibited by Ngauruhoe in 1949 and again in 1953 and 1954. In both cases violent eruptions alternated with quieter periods. Other volcanoes include Mount Tarawera and White Island, each of which has, upon one occasion within historical times, erupted with disastrous consequences. Closely connected with the volcanic system are the multitudinous hot springs and geysers.

The mountain system of the North Island runs generally in a south-west direction, parallel to the coast, from East Cape to Cape Turakirae, and includes the following ranges from the north: Raukumara, Huiarau, Ruahine, Tararua, and Rimutaka. This chain is flanked on the west between the Huiarau and Ruahine by the Ahimanawa, Kaweka, and Kaimanawa ranges, white west of the Kaimanawa is the National Park volcanic group comprising Mounts Ruapehu, Ngauruhoe, and Tongariro. The Hauhangaroa and Rangitoto ranges run in a northerly direction from the National Park group. In the east the Colville and Moehau ranges parallel the length of the Coromandel Peninsula. Mount Egmont forms the only country above 4,000 ft. on the west coast of this island.

The South Island is much more mountainous than the North, but shows fewer manifestations of recent volcanic activity. Along almost the entire length of the Island runs the massive chain known as the Southern Alps, which attains its greatest height in Mount Cook (12,349 ft.), while no fewer than seventeen peaks exceed 10,000 ft. West and north-west of the main portion of the Southern Alps are the Victoria, Brunner, and Lyell ranges and the Tasman Mountains, the Victoria Range being flanked by the Paparoa range. To the north run the St. Arnaud and Raglan ranges, while to the north-east are the Spenser Mountains and the Kaikoura and Seaward Kaikoura ranges, the two latter ranges running parallel to the east coast. The south portion of the Southern Alps breaks up into a miscellany of ranges dominating the mountainous Fiord and north-western Southland regions.

As might be expected, the higher mountains of the South Island have exerted a greater influence on the economic development of the country than those of the North Island. For many years the Southern Alps were an effective barrier to communication by land between the east and west coasts, while their climatic effects on the Canterbury plains and Otago plateaux determined the types of cultivation undertaken. Moreover, the existence of much elevated open country led to the development of pastoral holdings on a large scale. While the mountains in the North Island are not as high nor as extensive as those of the South Island, in the early days they effectively isolated various portions of the coastal plains and valleys. Their effect on climatic conditions, however, is considerably less, the rainfall being more evenly distributed. Owing to this more even distribution of the rainfall, and to the existence of considerable areas of lower relief, the foothills of the mountain systems were heavily wooded, and so proved a hindrance to agrarian development.

In the 1931 issue of the Year-Book a list was given, not claimed as exhaustive, of 223 named peaks of 7,500 ft. or more in altitude. Below is a list of the peaks restricted to the four largest volcanic cones in the North Island and to mountains of a minimum height of 9,000 ft. in the South Island. The list has been compiled from various sources, and does not purport to be free from omissions.

Mountain or PeakHeight (Feet)
NORTH ISLAND 
Ruapehu9,175
Egmont8,260
Ngauruhoe7,515
Tongariro6,458
SOUTH ISLAND 
Kaikoura Ranges 
  Tapuaenuku9,465
  Alarm9,400
Southern Alps 
  Cook12,349
  Tasman11,475
  Dampier11,287
  Silberhorn10,757
  Lendenfeldt10,450
  David's Dome10,443
  Malte Brun10,421
  Torres10,376
  Teichelmann10,370
  Sefton10,354
  Haast10,294
  Elie de Beaumont10,200
  Douglas Peak10,107
  La Perouse10,101
  Haidinger10,059
  De la Beche10,058
  The Minarets10,058
  Aspiring9,975
  Hamilton9,915
  Glacier Peak9,865
  Arguilles Rouges9,731
  Nazomi9,716
  Darwin9,715
  Chudleigh9,686
  Annan9,667
  Lowe9,653
  Haeckel9,649
  Le Receveur9,562
  Goldsmith9,532
  Big Mac9,511
  Conway Peak9,510
  Bristol Top9,508
  Walter9,507
  Grey9,490
  Green9,307.
  Hutton9,297
  D'Archiac9,279
  Bell9,276
  Hochstetter Dome9,258
  Earnslaw9,250
  Nathan9,200
  Barnicoat9,183
  Sibbald9,181
  Arrowsmith9,171
  Spencer9,167
  The Footstool9,073
  Rudolf9,039
  The Dwarf9,025
Darran Range 
  Tutoko9,691
  Madeline9,042

Glaciers.—In keeping with the dimensions of the mountain system, New Zealand possesses, in the South Island, a glacial system of some magnitude. Of the glaciers the largest is the Tasman, which, with others of comparable size, rises in the more elevated area surrounding Mount Cook. Flowing down the eastern slope of the range, the Tasman glacier has a length of 18 miles and a width of 1¼ miles. In common with other glaciers on the eastern slope, of which the more important are the Murchison (11 miles), the Mueller (8 miles), the Godley (8 miles), and the Hooker (7¼ miles), its rate of flow is slow, while its terminal face is at an altitude of somewhat over 2,000 ft. On the western slope of the range, owing to the greater snow precipitation, the glaciers are more numerous and descend to lower levels, while the steeper slope gives them a more rapid rate of flow. The two largest of these are the Fox and the Franz Josef, with lengths of 9¾ miles and 8½ miles respectively, and terminal faces at altitudes of 670 ft. and 690 ft.

As will be realized, these glaciers are an important tourist attraction, and as such have definite economic significance. Moreover, those glaciers on the eastern slopes which feed rivers utilized for irrigation and hydro-electric purposes are valuable in that they help to ensure a steady volume of water throughout the year.

Rivers.—Of the numerous New Zealand rivers few are of sufficient length or volume to be navigable. Moreover, owing to the high relief of the country, they are mostly swift-flowing, while, as mentioned previously, nearly all are obstructed at their mouths by bars. For the purpose of internal communication, therefore, they are of little economic utility, and only in two or three isolated instances have they been thus consistently used. With improved roading conditions, however, their traffic has become negligible even in these cases.

As sources of hydro-electric power New Zealand rivers are of considerable importance, since their rapid rate of flow and dependable volume of ice-free water make them eminently suitable for this purpose. At the present time the Waikato and the Mangahao in the North Island and the Waitaki, Cobb, and Waipori in the South are used for major hydro-electric schemes, and a further major development is now being undertaken on the Clutha. The characteristics just mentioned are also important for purposes of irrigation, but, owing to the country's reliable rainfall, there are few areas other than in Canterbury and Otago where the rivers are so utilized.

In the 1932 Year-Book appears an account of the rivers of New Zealand, but space in this issue is, however, available only for a list of the more important ones. The lengths of rivers shown have been recently revised and differ in many instances from those previously given. For purposes of uniformity, the length of a river is taken to be the distance from the mouth to the farthest point in the system whether this should happen to bear the same name or that of an affluent, and is inclusive of the estimated course of a river flowing into and emerging from any lake in the system.

NORTH ISLAND

Flowing into the Pacific OceanMiles
  Piako65
  Waihou (or Thames)95
  Rangitaiki95
  Whakatane65
  Waiapu (from source Mata River)75
  Waipaoa (from source Waipapa Stream)70
  Wairoa (from source Hangaroa River)85
  Mohaka (from source Taharua River)95
  Ngaruroro90
  Tukituki70
Flowing into Cook Strait 
  Ruamahanga90
  Hutt35
  Otaki30
  Manawatu120
  Rangitikei130
  Turakina70
  Wangaehu100
  Wanganui180
  Waitotara55
  Patea75
Flowing into the Tasman Sea 
  Waitara85
  Mokau85
  Waikato (from source Upper Waikato River)270
  Wairoa (from source Waiotu Stream)115
  Hokianga (from source Waihou River)45

SOUTH ISLAND

Flowing into Cook StraitMiles
  Aorere (from source Spee River)45
  Takaka (from source Cobb River)45
  Motueka70
  Waimea (from source Wai-iti River)30
  Pelorus40
  Wairau105
  Awatere70
Flowing into the Pacific Ocean 
  Clarence130
  Conway30
  Waiau-uha (or Waiau)105
  Hurunui90
  Waipara40
  Ashley60
  Waimakariri100
  Selwyn50
  Rakaia90
  Ashburton70
  Rangitata (from source Clyde River)75
  Opihi50
  Pareora35
  Waihao45
  Waitaki (from source Hopkins River)135
  Kakanui40
  Shag45
  Taieri175
  Clutha (from source Makarora River)210
Flowing into Foveaux Strait 
  Mataura140
  Oreti120
  Aparima (Jacobs River)70
  Waiau (from source Clinton River)135
Flowing into the Tasman Sea 
  Hollyford50
  Cascade40
  Arawhata45
  Haast60
  Karangarua25
  Cook25
  Waiho (from source Callery River)20
  Whataroa35
  Wanganui35
  Waitaha25
  Hokitika40
  Arahura35
  Taramakau50
  Grey75
  Buller (from source Travers River)110
  Mokihinu35
  Karamea50
  Heaphy25

The discovery in 1861 that the beds of numerous rivers in the South Island contained extensive deposits of alluvial gold was of considerable importance in the economic development of the country. Not only did it lead to an increase in population and in wealth, but, through the following of the numerous streams to their sources, it also led to the rapid exploration of large tracts of remote country. The exploitation of these deposits has been carried on with varying degrees of success up to the present time by both manual and mechanical means.

A further factor in connection with the rivers is that, owing to the very successful acclimatization of fresh-water fish, notably trout, many of them now provide exceptionally fine fishing.

Lakes.—In considering New Zealand's numerous lakes a distinction can be made, especially from the scenic viewpoint, between the lakes of the two Islands. Surrounded by extremely rugged country the larger lakes of the South Island are distinguished by the grandeur of their alpine settings, while those of the North Island, situated on a volcanic plateau, are of interest by reason of the neighbouring thermal activity. Owing to the excellence of their fishing, the North Island lakes possess an added tourist attraction. In both Islands the larger lakes are situated at high altitudes, and their consequent remoteness renders them unsuitable as a means of communication. In their functions as reservoirs the lakes of both Islands are of vital importance for the maintenance of the streams draining them and as a means of flood prevention. More especially is this the case where hydro-electric schemes are involved, Lakes Waikaremoana and Taupo in the North Island, and Lakes Coleridge, Pukaki, Tekapo, Wanaka, Hawea, and Wakatipu in the South Island, being of particular significance in this respect.

An article on the lakes of New Zealand will be found in the 1932 Year-Book. Some particulars of the more important are given in the following table.

LakeLength, in MilesGreatest Breadth, in MilesArea, in Square MilesDrainage Area, in Square MilesApproximate Volume of Discharge, in Cubic Feet Per SecondHeight Above Sea Level, in FeetGreatest Depth, in Feet
NORTH ISLAND       
Taupo25172381,2505,0001,211534
Rotorua63215842091584
Rotoiti10¾1426500913230
Tarawera641575..1,032285
Waikaremoana12211287722,015846
Wairarapa104271,250....64
SOUTH ISLAND       
Rotoiti5286..1,997228
Rotoroa78146..1,470..
Brunner5416145..280357
Kaniere5811..422646
Coleridge1131870..1,667680
Tekapo124325805,0002,323620
Pukaki105315156,0001,588..
Ohau103234245,0001,720..
Hawea205485185,7001,062..
Wanaka30475960..922..
Wakatipu5231121,16213,0001,0161,242
Te Anau3361321,32012,660694906
Manapouri12656416..5961,458
Monowai1211251700600..
Hauroko203251951,800611..
Poteriteri17217162..96..
Waihola1⅛342,200..(Tidal)52
Ellesmere16101074745..(Tidal)45

GEOLOGY.—An article on the geology of New Zealand prepared by Dr. J. Henderson, M.A., F.R.S.N.Z., former Director of the Geological Survey, is contained in the 1940 and earlier editions of the Year-Book. For more detailed information the reader is referred to the treatises of Professors Park and Marshall, the bulletins of the Geological Survey, and the many papers that have appeared in the “Transactions of the New Zealand Institute” (now the Royal Society of New Zealand).

EARTHQUAKES.—An article on earthquakes in New Zealand appeared in the 1942 and earlier issues of the Year-Book. The information given below has been supplied by Mr. R. C. Hayes, Director of the Seismological Observatory.

Seismicity and Earthquake Distribution.—A comparison between the records of destructive earthquakes in New Zealand and those in other seismic countries shows that the seismicity of New Zealand, on the whole, is surprisingly high. However, this is due to the occurrence of a large number of earthquakes of the semi-destructive type (M.-M. 7) with comparatively few major destructive shocks (M.-M. 8–12).

During the period 1835–1954, 80 destructive earthquakes are known to have occurred in New Zealand, 60 of which were of the semi-destructive type (not exceeding intensity M.-M. 7). Of the remainder 14 were of intensity M.-M. 8–9 and 6 of intensity M.-M. 10–12.

The total number of earthquakes of all intensities, and the maximum intensity, reported felt in New Zealand in each of the years 1922 to 1954 were as follows.

YearNumber of Earthquakes Reported FeltMaximum Intensity of Heaviest ShockYearNumber of Earthquakes Reported FeltMaximum Intensity of Heaviest Shock
R.-F. ScaleM.-M.* ScaleR.-F. ScaleM.-M.* Scale

* Modified Mercalli Scale of 1931, which is now used for recording earthquake effects in New Zealand.

19221,18787193915776–7
19237665–6194012076–7
19247076–7194110787
1925768719421989 +9
192617387194317687
19271078719449565+
19288087194512776+
19296781010194630287
19307488719472338+7 +
1931432101019481278 +8
193231398 +1949916–76
193310876–7195018876–7
193423098 +195122687–8
193515076–71952836–76
193612365–6195313387
19371796–761954946–76
193813287    

The abnormally large number of earthquakes reported in the year 1922 was due to the swarm of local shocks in the Taupo region in the latter half of that year. Abnormally large numbers of shocks also occurred in 1929–30, due to aftershocks of the Buller earthquake of 17 June 1929.

Summary of Earthquake Activity in New Zealand During the Year 1954.—Seismic activity was unusually low in 1954, although there was relatively more activity than usual in the South Island.

The maximum felt intensity reported was M.-M. 6. This occurred during swarms of shallow local shocks in the thermal regions from August to October. Detailed reports of these disturbances were furnished by Geophysical and Geological Survey officers in the Rotorua area. The earthquakes were associated with frequent rumblings and explosive sounds.

In January and February several strong earthquakes centred in the vicinity of Auckland Islands were perceptible in the southern parts of New Zealand. The maximum intensity reported was M.-M. 5 at Stewart Island.

A shock on 4 May was felt widely in the southern districts, with maximum intensity M.-M. 5 at Queenstown.

On 20 July a shock was felt extensively in the northern parts of the South Island, with maximum intensity M.-M. 5 at Murchison.

Ninety-four shocks were reported felt during the year. Eighty of these were in the North Island and seventeen in the South Island, while three were felt in some part of both Islands.

Regional Distribution.—New Zealand earthquake statistics over the past hundred years or so show that certain parts of the country are subject to almost continuous seismic activity with occasional destructive shocks, while other parts are more or less free from seismic disturbances. By combining early earthquake records with the more precise data of later years it is possible to divide the country roughly into four seismic regions. These regions are classified below, in order of seismicity.

  1. All areas of the North Island east and south of an approximate line from the vicinity of Whakatane in the Bay of Plenty to the vicinity of Hawera in South Taranaki, and all areas of the South Island north of an approximate line from the vicinity of Hokitika on the West Coast, through the region of Lake Coleridge, to Banks Peninsula:

  2. South Auckland, western Bay of Plenty, Waikato, and Taranaki (except the southern portion):

  3. Areas of the South Island, south of the boundary of region I:

  4. Areas north of Auckland.

The following table shows the average frequency of earthquakes in each of the four regions defined above.

RegionAverage Number of Earthquakes Per Year (1921–1940)Average Number of Destructive Shocks Per Decade (1835–1940)Relative Seismicity Based on Destructive Shocks
Minor Shocks (R.-F. 8)Major Shocks (R.-F. 9, 10)
I97.84.11.711.5
II23.01.1..1.1
III12.10.1..0.1
IV1.1....0.0

The boundaries between the seismic regions are not well defined, since one region generally merges more or less imperceptibly into another. Further, seismic frequency is not uniform. This leads to the number of shocks being considerably above the average in some years and below it in others. The normal irregularity is increased by the occasional occurrence of earthquake swarms in certain regions. Probably the most notable swarm in New Zealand was that which occurred in the Taupo region in the latter half of 1922. The number of minor local shocks in this swarm was so great that only the stronger ones, or those affecting the adjacent region, were used in determining the average frequency of region I. Major earthquakes occur chiefly in the eastern and southern parts of region I.

Deaths Due to Earthquakes.—During the period 1848–1954 the number of deaths recorded in New Zealand as due directly or indirectly to earthquakes was 284. Of these, 255 were due to the Hawke's Bay earthquake of 3 February 1931.

CLIMATE.—The collection of climatic data for the use of Government Departments and the general public is a function of the New Zealand Meteorological Service. It maintains approximately 130 stations within New Zealand and 35 on islands of the South West Pacific for the recording of full climatic data, supplemented by approximately 980 stations in New Zealand and 130 in the Pacific Islands recording rainfall. Most of these stations are operated by public bodies, Government Departments, or voluntary observers. Additional records are provided by over a hundred stations which report by telegraph or radio for forecasting purposes.

A general description of the climate of New Zealand is contained in an article supplied by Dr. M. A. F. Barnett, O.B.E., M.Sc., Ph.D., F.Inst.P., Director of the New Zealand Meteorological Service, which was included in the 1942 and earlier editions of the Year-Book.

Detailed climatological statistics are published annually in the Meteorological Observations. Work on this publication ceased during the war years, and this has delayed the appearance of recent issues, the latest available being that for 1950. Current statistics appear monthly in a climatological table included in the New Zealand Gazette.

The following table provides a brief summary of the main climatological elements for selected locations.

CLIMATOLOGICAL AVERAGES (OVER A PERIOD OF YEARS)

StationAltitudeAverage Annual Rainfall*Average Number of Rain DaysAverage Bright SunshineTemperature in Shade, Degrees Fahrenheit
Mean Daily MaximumMean Daily Minimum
Jan.JulyYearJan.JulyYear

* Rainfall averages refer to standard period (1921–1950).

† Normals relate to present site.

 Ft.In. Hrs.      
Te Paki, Te Hapua20056.711692,16972.859.265.957.045.952.0
Auckland16048.801822,05972.856.764.960.046.153.2
Tauranga1053.421522,37674.557.466.154.740.147.6
Hamilton East13145.951612,05674.655.965.551.737.144.7
Rotorua96954.441452,06174.353.663.651.336.944.5
Gisborne1239.751472,28475.755.865.953.839.547.1
Onepoto, Lake Waikaremoana2,10076.90183..68.147.658.042.037.745.0
New Plymouth16061.161862,21169.154.862.255.242.949.3
Napier531.201142,40673.955.164.857.039.448.7
“Hiwi”, Taihape2,15736.93179..68.247.257.950.136.143.2
Wanganui7234.321552,18271.054.263.055.941.048.9
Plant Research Bureau, Palmerston North11039.051701,83970.553.162.254.339.146.9
Waingawa, Masterton34038.011422,09174.353.363.750.535.843.4
Kelburn, Wellington41547.471662,04567.651.259.854.441.548.3
Nelson2438.631162,49071.254.263.054.537.146.1
Blenheim1225.841102,44972.053.063.552.735.144.4
Hanmer1,27045.251331,96671.648.260.947.829.039.1
Hokitika15110.401971,89855.351.758.850.935.643.8
Lake Coleridge1,19531.54114..70.148.160.648.629.840.2
Christchurch2226.281251,98870.250.060.952.734.744.0
Timaru5623.461161,92770.049.460.751.433.442.8
Milford Sound20253.50194..64.448.357.050.034.242.5
Queenstown1,10032.031042,00369.845.658.849.030.940.9
Alexandra52013.22992,14372.644.660.950.828.040.2
Musselburgh, Dunedin529.741611,71565.249.359.051.236.244.3
Invercargill3243.302011,64066.348.858.348.433.841.7

Brief Review of 1953.—Rainfall was near to or above normal over the greater part of the country. The excess was greatest in Northern Wairarapa, Marlborough, and North Canterbury; for quite a number of stations in these districts this was the wettest year in over thirty years of records. Rainfall was appreciably below normal in Gisborne, northern Hawke's Bay, and most of Otago and Southland. The percentage deficiency was greatest in a small area surrounding the town of Gisborne.

Annual temperatures were generally above normal throughout the North Island, and in Nelson and Westland. The departure was as much as 1° F. in parts of Northland. The remainder of the South Island was slightly cooler than the average.

Sunshine was below average over the whole country. The deficiency exceeded two hundred hours over most of the North Island, and also over Nelson and Buller. For the cities of New Plymouth, Wellington, and Nelson, sunshine was the lowest in over thirty years of records.

Seasonal Notes.—January followed the general pattern of the two previous months with warm sunny weather in Westland, but high rainfall in eastern areas. In many districts from North Canterbury to Hawke's Bay it was the wettest January for more than fifty years. Towards the end of the month there were serious floods in the Ashley, Clarence, Porangahau, and Manawatu rivers.

Rainfall decreased generally in February, but conditions were predominantly cloudy and cool. March was a month of comparatively settled weather with more plentiful sunshine until near the end, when heavy rains affected most of the South Island. On the whole it was not a favourable season for primary production.

For the next three months the weather was cloudier than usual, and rainfall was above average over the North Island. April was cool and stormy, with an exceptionally high frequency of strong winds from Cook Strait southward. May and June were both comparatively mild.

July was a sunny month and also rather dry. However, heavy rain over the Auckland province during 3–5 July caused serious flooding in the lower Waikato on 7 July, and some areas of farmland were under water for several weeks. Snow fell to low levels in eastern districts of the South Island on 10 and 11 July. August was cloudy and milder, and provided favourable conditions for lambing in the North Island. Stock wintered reasonably well in most districts, but were adversely affected by the waterlogged ground in the Auckland and Taranaki provinces.

The next three months were all comparatively dry. Temperatures were mild, apart from three exceptionally cold southerly changes which affected eastern districts of the South Island between 25 September and 7 October. Many lambs were lost in Southland and West Otago, while late frosts ruined a considerable proportion of the Central Otago fruit crop. The dry weather proved rather welcome at first, but in November strong winds dried up the ground and retarded pasture growth. For the provinces of Auckland and Hawke's Bay, December, like the previous month, was warm, with deficient rainfall; in some areas farmers complained of very dry conditions.

Brief Review of 1954.Year.—Over the districts of Taranaki, Wellington, Canterbury (except North Canterbury), and Otago rainfall was mainly 15 to 25 per cent below normal. Over the remainder of the country it was about normal, except in northern Hawke's Bay and the Gisborne district, where there was a surplus of 15 to 30 per cent.

Temperatures were well above normal over the whole country, mainly by about a degree. The departure reached 1½° in the National Park - Wanganui area and in Central Otago and western Southland.

It was a cloudy year for the North Island, with sunshine deficiencies mainly exceeding 100 hours. The South Island fared better, sunshine being mainly close to normal. The Ashburton-Christchurch area was specially favoured, with a surplus of over 100 hours. In parts of South Canterbury, however, sunshine was more than 100 hours below normal.

Seasonal Notes.—The first two months of the year were both warm and dry, February being, in fact, the hottest month since February 1938. The combined effect of two to four months of dry weather and unusually high temperatures caused a serious shortage of green feed in most North Island districts. Although the warm weather continued into March, the dry spell was broken by considerable rain, especially in the North Island, and it was a month of good pasture growth. The Auckland district suffered damage from north-easterly gales and flooding from 6–8 March.

In contrast to the three previous months, April was appreciably cooler than usual. However, May and June were both mild months; in fact, in the South Island it was the warmest June for at least forty-five years. For a large part of the country these two months were also somewhat drier than usual, and the combination proved beneficial to pasture growth. There was serious flooding in parts of the Auckland district as a result of four days of continuous rain from 17 May, the Hauraki Plains suffering most damage. Serious flooding also occurred in the Wairau River, Marlborough, on 16 and 17 June.

The mild weather of autumn and early winter gave place to dull, unsettled, and colder weather early in July, and similar conditions persisted in August. These months were notable for three or four rather extensive falls of snow. In the first, from 8–10 July, low levels as far north as the King Country were affected, some areas receiving their first snowfall for twenty-five years. About a fortnight later there was a rather heavy fall on the central plateau of the North Island. The third extensive fall occurred in the middle of August in Central Otago and the Canterbury high country, and it led to considerable losses of lambs in these districts. On 14 and 15 August strong gales affected many parts of the country, several hundred trees being blown down in the Nelson-Buller-Westland area. On 26 and 27 August heavy rain caused extensive surface flooding in the Manawatu-Rangitikei-Wanganui area.

In marked contrast to July and August, the spring season was very dry; in fact, the total rainfall from September to November was the lowest in over fifty years. The first two months were sunny, but November was cloudy and also exceptionally warm. The dry weather proved beneficial at first, but growth slowed up during October, and dairy production soon declined. Hay crops were everywhere very light. A severe frost in Hawke's Bay on 16 October spoilt a considerable part of the fruit crop. There were several falls of snow on the high country, the last about the middle of November.

December was a dull, wet month in most eastern districts, but comparatively warm and sunny in Westland. Most parts of the country received sufficient rain to restore pastures to good condition.

SUMMARY OF METEOROLOGICAL OBSERVATIONS

The observations from which the following summary was compiled for the year 1953 were taken at 0900 hours New Zealand Standard Time—i.e., 2100 hours Greenwich Mean Time.

StationTemperatures in Shade—Degrees FahrenheitHours of Bright SunshineRainfall
Mean Daily MaximumMean Daily MinimumApproximate Mean Temp.Extremes for 1953Extremes*
Maximum and MonthMinimum and MonthAbsolute MaximumAbsolute MinimumTotal Fall (Inches)No. of Rain Days

* Highest and lowest temperatures for duration of records.

Te Paki, Te Hapua66.952.459.777.5 Mar.30.3 July80.227.02,116.653.83176
Auckland66.353.760.080.9 Dec.36.1 July90.431.91,800.954.63182
Tauranga66.048.757.382.1 Dec.28.2 July91.922.52,200.249.19156
Hamilton East64.945.955.480.9 Dec.23.5 July94.414.21,734.953.60179
Rotorua63.545.854.782.8 Dec.26.7 July98.021.31,832.960.37153
Onepoto, Lake Waikaremoana58.345.051.679.8 Nov.26.3 July88.122.2..64.78190
Gisborne66.646.956.789.0 Nov. & Dec.25.9 July95.825.92,176.430.20142
New Plymouth62.250.356.376.0 Feb.32.5 June86.029.11,870059.21182
Napier65.949.157.586.6 Mar.28.4 July96.527.52,188.324.47120
Wanganui63.250.156.683.2 Dec.28.6 July88.028.61,824.741.63175
Plant Research Bureau, Palmerston North63.147.355.282.0 Dec.28.2 July87.021.21,585.846.62194
Waingawa, Masterton63.143.853.583.0 Dec.23.0 July95.419.51,837.552.60188
Kelburn, Wellington59.348.854.175.9 Dec.34.4 Aug.88.028.61,797.858.25166
Nelson Airfield61.944.753.378.8 Dec.24.0 July92.022.42,261.442.71144
Blenheim63.844.654.286.8 Dec.26.1 July94.616.12,317.135.38130
Hanmer60.238.949.685.0 Feb.17.2 July97.08.21,794.456.46162
Hokitika59.344.451.877.0 Jan.27.4 July84.525.01,790.3118.94209
Lake Coleridge59.740.750.287.0 Feb.22.6 June92.010.0..34.22132
Christchurch61.543.852.688.2 Mar.24.8 July95.719.31,864.329.23133
Timaru61.042.551.786.6 Nov.26.2 June99.019.81,810.926.25120
Milford Sound57.842.650.272.8 Feb.27.2 July79.823.1..227.63180
Alexandra61.539.750.688.1 Feb.19.0 June94.411.02,072.311.2194
Musselburgh, Dunedin58.544.151.385.2 Nov.27.8 June94.023.01,651.228.56171
Invercargill58.142.250.183.0 Feb.24.0 June90.019.01,601.636.79172

For 1953 the mean sea-level pressure values in millibars at 0900 hrs. New Zealand Standard Time were: Auckland, 1015.8; Wellington, 1013.5; Nelson, 1013.8; Hokitika, 1013.9; Christchurch, 1011.9; and Dunedin, 1011.2.

PLANTS OF NEW ZEALAND.—Those desiring information on the flora and plant covering of New Zealand are referred to the article by Dr. W. R. B. Oliver, D.Sc., F.R.S.N.Z., which appeared in the 1940 and previous issues of the Year-Book, while a brief reference to the geographical distribution of the forest trees is made in the section of this Year-Book dealing with Forestry (Section 21). For more detailed information the following works may also be consulted: “Plants of New Zealand,” by R. M. Laing and E. W. Blackwell, ed. 4, 1940; “Manual of the New Zealand Flora,” by T. F. Cheeseman, ed. 2, 1925; “The Trees of New Zealand,” by L. Cockayne and E. Phillips-Turner, 1950 (reprint); “The Forest Flora of New Zealand,” by T. Kirk, 1889; “New Zealand Trees and Shrubs and How to Identify Them,” by H. H. Allan, 1928; “New Zealand Ferns,” by H. B. Dobbie, ed. 4, 1952; “New Zealand Plants and Their Story,” by L. Cockayne, ed. 3, 1927; “The Vegetation of New Zealand,” by L. Cockayne, ed. 2, 1928; “The Cultivation of New Zealand Plants,” by L. Cockayne, 1923; “The Flora of New Zealand,” by W. Martin, ed. 3, 1947; “The Botanical Names of the Flora of New Zealand,” by A. Wall and H. H. Allan, ed. 2, 1950; “Grasses of New Zealand,” by H. H. Allan, 1936; “A Handbook of the Naturalized Flora of New Zealand,” by H. H. Allan, 1940; “Poisonous Plants in New Zealand,” by H. E. Connor, 1951; and numerous articles published in the Transactions of the Royal Society of New Zealand.

FAUNA.—A brief article on the fauna of New Zealand, originally prepared by the late Mr. James Drummond, F.L.S., F.Z.S., and revised by him in 1935, is contained in the 1940 and earlier editions of the Year-Book. Later publications dealing with this topic include “Native Animals of New Zealand,” by A. W. B. Powell, 1947, and “Introduced Mammals of New Zealand,” by Dr. K. A. Wodzicki, 1950.

Chapter 2. SECTION 2—HISTORY, CONSTITUTION, AND ADMINISTRATION

Table of Contents

EARLY HISTORY: General.—When New Zealand was discovered by Europeans in 1642 it was found to be inhabited by a race of Polynesians called Maoris, who had migrated to these islands many centuries previously. At what time the discovery of New Zealand was made by the Maoris, and from what country they came, cannot be stated accurately, for being an unlettered people they had only oral records of their history. The origins of the Maori people prior to their final migration are even more obscure, but in accordance with the general tradition of the Polynesian race it would seem that from Asia they migrated eastward by way of Malaysia to the Pacific. According to their mythology their Pacific home was the island of Hawaiki—the position of which is now unknown—and from there, many generations ago, one of their chiefs, after a long voyage, reached the northern island of New Zealand. Returning to his home with a glowing description of the country he had discovered, this chief persuaded a number of his people to set out in a fleet of double canoes for the new land. This migration was followed by others, and from comparisons of the tribal legends it has been possible to obtain a definite knowledge of the subsequent division and history of the numerous tribes after their occupation of New Zealand. On their arrival the Maoris found inhabitants on the east coast of the North Island of similar racial origins to themselves. Known to the Maoris as Morioris, “inferior people”, this race was driven to the South Island and to the Chatham Islands. Through absorption by the dominant Maoris, the Morioris finally became extinct by the death of their last member during the last decade. Of their history nothing is known, and their origins remain a mystery.

Coming from tropical latitudes, the Maoris mainly confined themselves to the warmer North Island, and when discovered by Europeans were in a high state of neolithic civilization, with marked superiority in the arts of wood-carving and military engineering. Their principal social unit was the family group, and from combinations of the numerous groups were formed the sub-tribes and tribes. With highly developed social and ritualistic customs, their system of land tenure and methods of cultivation were communal within the sub-tribes. Inter-tribal and intra-tribal warfare was common, and as individuals they displayed exceptional courage and intelligence.

The immediate effect of European contacts on the Maoris was the outburst of a series of tribal wars waged with greater ferocity and a vastly greater loss of life than was customary in pre- European tribal engagements. The high mortality could, of course, be credited to the acquisition of a more lethal weapon, the musket. The advantage lay originally with the coastal tribes as a result of their earlier contact with Europeans, the wars continuing until all tribes were equally well armed. These wars were later followed by wars against the colonists, but after 1870 the story has been one of unbroken peace between Maoris and Europeans.

The introduction of European diseases and firearms, and the impact of European civilization on the traditional way of life and customs of the Maoris, had such an adverse effect that their numbers must have been reduced by over half during the nineteenth century. However, the virility of the race gradually 'asserted itself, and from the beginning of the twentieth century the Maori population has been rapidly increasing.

Other island groups such as the Cook Islands, Niue Island, and the Tokelau Islands, had also long been inhabited by Polynesians from various successive migrations extending over considerable periods prior to their discovery by Europeans.

Discovery by Europeans.—On 13 December 1642, Abel Janszoon Tasman, a navigator of the Dutch East India Company, discovered the country to which he gave the name of Straaten Land, and which later became known as “Nieuw Zeeland”. Tasman had left Batavia on 14 August 1642, and, after having discovered Tasmania, he steered eastward and sighted the west coast of the South Island, described by him as a high mountainous country. Sailing north, he had the misfortune to come into conflict with the Maoris at Golden Bay, on the north coast of the South Island, so that though he continued his northward journey until he reached the northern tip of the country, he did not again attempt to land. His exploration was of necessity very cursory, for having explored only part of one coast he had no knowledge of the country's extent or shape.

There is no record of any European visit to New Zealand after Tasman's departure until Captain Cook sighted land on 6 October 1769, at Young Nick's Head. On his first voyage Cook spent six months exploring the New Zealand coast-line, and he completely circumnavigated the North and South Islands. His activities can be best described by saying “he found New Zealand a line on the map, and left it an archipelago.” Not only was Cook's ability shown by his cartographical accuracy, but also in his peaceful dealings with the truculent Maoris. He returned to New Zealand again in 1773, in 1774, and in 1777.

Several other explorers also visited New Zealand during the latter portion of the eighteenth century, amongst whom may be mentioned M. de Surville 1769, M. Marion du Fresne 1772, Captains Vancouver and Broughton 1791, Captain Raven 1792–93, Alejandro Malaspina and Jose de Bustamentey Guerra 1793, Lieutenant Hanson 1793.

The European discovery of many of the islands of the Cook group was made by Captain Cook in 1773. Rarotonga and Mauke were not officially discovered for another fifty years, although there were records of earlier visits by the Bounty under the control of the mutineers in 1778 and later, in 1814, by the Cumberland. Niue Island was discovered by Cook in 1774. The first recorded discovery of the Tokelau Islands was made by Quiros in 1606. Of the remaining islands of the group, Atafu was discovered in 1765, Nukunono in 1791, and Fakaofa in the 1840's.

European Settlement and Colonization.—So far as is known, the first instance of Europeans being left in New Zealand to their own resources occurred in 1792, when Captain Raven of the Britannia landed a sealing-party at Facile Harbour, on the west coast of the South Island, where they remained a little over twelve months before being called for.

In the years that followed, whaling stations sprang up along the coast, and a trade with New South Wales began not only in whale oil and seal skins, but also in flax and timber—to say nothing of the disreputable traffic in dried tattooed heads. Attracted to New Zealand were deserters from whaling vessels and escaped convicts from Australia, who, in the absence of any jurisdiction, soon became notorious for their extreme lawlessness. In 1814 Samuel Marsden, chaplain to the Governor of New South Wales, obtained permission to send two of his proteges, Kendall and Hall, to the Bay of Islands to consider the desirability of establishing a mission station. Later they returned to Sydney for Marsden, who arrived in New Zealand to preach his first sermon at the Bay of Islands on Christmas Day, 1814. Of the many admirable activities undertaken by the missionaries, their action in having the Maori language “reduced to a rational orthography” deserves special mention.

In 1825 three separate, but abortive, attempts were made to found colonies; however for some years the only settlements were those round the principal whaling stations, although a number of Europeans gradually penetrated inland and resided there permanently, many marrying Maori women.

The first body of immigrants under a definite scheme of colonization arrived in Port Nicholson in January 1840, there to found the town of Wellington. The New Zealand Company, whose moving spirit was Edward Gibbon Wakefield, endeavoured to systematize colonization by transplanting sections of English society into virgin country.

It was hoped that, by producing a proper balance of capitalists and artisans, self-contained communities could be successfully established. However, owing to the unsatisfactory nature of the land-purchases, considerable difficulty was experienced in these initial settlements, and friction grew up not only between the settlers and the Maoris, but also between the Governor and the settlers. Before his death in 1843 Governor Hobson had transferred his capital from Russell to Auckland, but this transfer was of little assistance to the colonists, who had extended their settlements to Wanganui, New Plymouth, and Nelson. In 1865 the seat of government was removed to Wellington.

Following the death of Hobson, the existence of the colony became precarious, for, through lack of funds and weak administration, Maori aggression became a real menace. To cope with the situation, the Colonial Office appointed Captain George Grey as Governor. Being well equipped with troops and funds, as well as being a man of vigour and perception, Grey soon restored order and won the confidence of both the settlers and the Maoris. During Grey's term two further organized settlements were made. In co-operation with the New Zealand Company the Free Church of Scotland sponsored the Dunedin Settlement of 1848, and the Church of England the Canterbury Settlement of 1850. These settlements, owing to their more favoured situations, their satisfactory land-purchase agreements, and their freedom from trouble with the Maoris, achieved a greater measure of success in carrying out the company's avowed aims.

After Grey's departure the question of relationship with the Maoris again came to the fore through the land-purchasing activities of the settlers—a situation aggravated by subsequent lack of consideration for the Maori system of land-tenure. Following an incident at Waitara in the Taranaki district, where a dispute arose concerning land titles, war broke out in 1860 and lasted spasmodically till 1870. The recall of Grey did not solve the problem, as Grey, an autocrat, could not work with the elected Ministers, nor did his presence prevent the confiscation of land belonging to the Maoris, whether friendly or hostile. It was under the sympathetic administration of Sir Donald McLean as Minister for Maori Affairs that the dispute finally died down.

These hostilities were confined to the North Island; and, in the meantime, in 1861, large alluvial deposits of gold had been discovered in the South Island—leading to a tremendous influx of population and an alteration of the economic structure of the country.

No organized form of European colonization has at any time taken place in the Cook Islands, Niue Island, or the Tokelau Islands.

SUBSEQUENT HISTORY AND DEVELOPMENT (1870 ONWARDS).—The discovery of gold, by its increase of wealth, allowed the South Island to obtain a lead in commercial and political development which it long maintained. Moreover with the subsequent agrarian expansion, especially in the development of the large pastoral holdings, the country ceased to be merely self sufficient agriculturally, but began to develop a substantial export trade, mainly in wool, which it has maintained to the present day.

These factors, together with freedom from strife with the Maori population, led after 1870 to a quickening in political activities. Under the leadership of Sir Julius Vogel a policy of extensive borrowing for railway and road construction was begun. The Provincial system which really commenced in 1853 had largely outlived its usefulness; in fact, the parochialism of their assemblies had frequently proved obstructive, and in consequence the provincial system was abolished in 1875, local administration being provided for by the Counties Act and the Municipal Corporations Act of 1876.

Of great social significance was the passing in 1877 of the Education Act, making education free, compulsory, and secular, while the laying during that decade of the first cable between Australia and New Zealand was a major advance in communications. At this time party politics began to enter into the parliamentary system, and the slump conditions which prevailed in the “eighties" (due to a fall in the world price level) intensified the political atmosphere. By the abolition of plural voting in 1889, and the introduction of female suffrage in 1893, the way was opened for a practical expression of political convictions by all adult members of the community.

In 1891 Ballance, as Leader of the Liberal Party, became Premier, to be followed on his death in 1893 by Seddon, and during the next decade the legislative essays of this party evoked world-wide interest. The main aim of the legislation was social justice, and its principal manifestations were in land division, the establishment of the Court of Arbitration, and the introduction of old-age pensions. The policy of land division aimed at closer land settlement, and it was achieved by the compulsory subdivision of large estates, with subsequent loans to small independent farmers wishing to establish themselves. In inaugurating the Court of Arbitration the object was to eliminate strikes by giving labour a recognized bargaining status; and the enactment was in accord with the enlightened code of labour legislation passed at that time.

With the commencement of the refrigerated trade in 1882, the policy of closer settlement progressed rapidly, since the production of frozen meat and dairy produce for export encouraged more intensive farming. There thus arose a new farming class which in 1911, some five years after Seddon's death, was mainly responsible for the overthrow of the Liberal regimé.

The policy of the succeeding Reform Party under Massey was one favouring agricultural production. Farming interests were given constant encouragement by a series of enactments of which the extension of rural credit was typical. Three years after the advent of the Reform Party the First World War 1914–18 broke out, leading to the formation of a Coalition Government and an Imperial commandeer of exports. War activities were marked by heavy casualty lists, in proportion to the population, and by enhanced cordiality in Imperial relations. One noteworthy outcome of the war commandeer was the precedent given for the establishment, after the war, of Control Boards to regulate the export of pastoral products.

Though the effects of the post-war depression during the period 1921–24 showed themselves in an increase in unemployment and slight wage reductions, no drastic legislation was necessary to stabilize economic conditions. During the following years the price level rose; and, from the administrative side, it was characterized by extensive public-works expenditure, with particular attention to hydro-electric schemes and highways.

Owing to the encouragement given to farming, pastoral production constantly expanded, so that New Zealand became one of the world's greatest exporters of pastoral produce. As a consequence, her national income was extremely sensitive to price fluctuations of these products; so that, with the advent of the depression in 1930, her economic position became extremely vulnerable. In order to produce balanced budgets, both public and private, various legislative remedies were attempted. In particular, enactments were provided for unemployment relief, for the suspension, in effect, of compulsory arbitration, for the establishment of a Reserve Bank, for a mortgage moratorium, for raising the exchange rate, and for reduction in interest rates and wages. With the recovery in price levels and consequent general economic revival, amendments were made to several of these Acts, removing the more stringent measures. The election of a Labour Government in 1935 led to a change in administrative policy, the preoccupation being mainly with social problems. Further amendments were made to the depression legislation, certain restrictive measures were removed, and other temporary adjustments made permanent.

The general climate of opinion and gradual maturity of outlook furnish the background in which certain distinctive trends appear in legislation passed from 1936 to 1955.

The first major influence was an attitude which forcefully rejected the human suffering and economic waste associated with a major depression. Evidence of this is implicit in the provision for a basic wage, and later for a minimum wage, employment-promotion legislation, amendments to workers' compensation, industrial conciliation and arbitration, mining, etc., legislation, the system of guaranteed prices for certain primary produce, the creation of farm industry reserves, and the rationalization of production and marketing by the establishment of boards for certain items of primary produce.

The second major influence on legislation was conditioned by the outbreak of the Second World War 1939–45. A vast body of legislation was placed on the statute book during the war period dealing with the control of manpower and materials, stabilization of prices, wages, and rents, conditions of employment and suspension of certain peacetime features of industrial activity, discouragement of some industries and diversion to or encouragement of other industries, provision for rehabilitation, etc.

A third dominant trend was the acceptance of the principle that society should take active steps towards the improvement of the working, living, and social circumstances of its members. Foremost in this category was the Social Security Act and its later extensions providing for monetary benefits such as age, superannuation, family allowances, sickness, and unemployment, and for removal of the fear of want; failure to obtain needed medical assistance and hospitalization by the deterrence of crippling costs was obviated by the provision of a system of medical benefits.

Other legislative enactments under this heading include the provision for paid annual holidays, joint family homes, reduction of working hours, extension of workers' compensation insurance, improvement in safety and health and welfare conditions in industry, and extension of educational facilities and opportunities.

A fourth approach to law-making resulting from maturity of outlook has been the increased participation by New Zealand in international affairs consequent on its acceptance of responsibility in the wider issues of the present era. Legislation authorizing participation in the United Nations' activities generally and in particular emergencies, such as army and naval service in Korea; the extension of New Zealand representation in overseas countries and with the United Nations; the greater frequency of Commonwealth consultation; extension of aid to less developed countries, e.g., to Greece, and participation in the Colombo Plan; all bear witness to this change in outlook.

Another influence on legislation presents some parallels to that last mentioned, but is more concerned with the domestic sphere. It is exemplified in the increasing interest taken in welfare and social development generally of both the rapidly growing Maori population and the inhabitants of New Zealand's island and trust territories, such as the Cook Islands and Western Samoa.

Contemporaneously with the expansion of the field of legislative interest, other economic and industrial development of the country has proceeded with marked impetus in recent years. Partly induced by war-time shortages and the lack of self-sufficiency, and partly because the predominantly fanning section of the country cannot absorb any very large inflow into the labour force, there has been in evidence a marked expansion with greater diversification of secondary industry. At the same time the basic industries of the country, those concerned with primary production, have prospered, assisted by the rapid absorption into practice of the technological improvements and achievements of the period.

The history of New Zealand's island territories has been largely one of wise paternal oversight, particularly in the earlier periods, by the New Zealand Government and by the various missions established in the islands. More recently, successive Governments have in various ways encouraged the inhabitants to take an increasing share in the administration of their communities, thus paving the way for some form of self-government. Much attention has been paid to combating tropical diseases and to health problems generally; such island industries as citrus, orange, and banana growing being fostered and encouraged in various ways, with outlets being found for produce available for export. By and large, however, their economy is necessarily one of a subsistence type only, with financial and other assistance provided from Government sources for the expansion of educational facilities and opportunities, public works such as roading, conservation of water supplies by reservoir construction, communication facilities, etc.

Owing to limitations of space, the foregoing is but a brief résumé of New Zealand history. For detailed information, reference should be made to the many excellent books dealing with the subject, of which the more recent ones are listed in the General Bibliography appearing in Appendix C of this volume, and others in earlier issues.

SOVEREIGNTY.—Following representations from Maori chiefs for protection from the prevailing turmoil and lawlessness caused by inter-tribal warfare and the rough element around the whaling stations, the New South Wales Government appointed, in 1832, Mr James Busby as British Resident at Russell. Owing to the failure to supply him with any means of exerting authority, his appointment was largely ineffective. Finally the disorder, and the friction between the two races, became so intolerable that even the missionaries, who were opposed to annexation, made representations for British sovereignty.

On 29 January 1840, Captain William Hobson, R.N., arrived at the Bay of Islands, empowered, with the consent of the Maoris, to proclaim the sovereignty of Queen Victoria over the Islands of New Zealand, and to assume the government thereof. Hobson formally read his commissions at Kororareka on 30 January 1840, and on 6 February of the same year a compact called the Treaty of Waitangi was entered into, whereby all rights and powers of sovereignty were ceded to the Queen, all territorial rights being secured to the chiefs and their tribes.

On 21 May 1840 Governor Hobson proclaimed British sovereignty in the case of the North Island by virtue of the Treaty of Waitangi, and in the case of the South Island and Stewart Island by right of discovery. New Zealand remained a dependency of New South Wales until 3 May 1841, when it was created a separate colony by Royal Charter dated 16 November 1840. The capital was at first transferred by Hobson from Russell to Auckland, but in 1865 it was again transferred, on this occasion to Wellington, where the seat of Government has since remained.

During Governor Grey's term, steps were taken to draft a constitution for the colony. An Act granting representative institutions was passed by the Imperial Parliament on 30 June 1852, and was published in New Zealand by Proclamation on 17 January 1853. Under it provision was made for the constitution of a General Assembly consisting of a Legislative Council and a House of Representatives. Provision was also made for the division of the country into provinces, each province having an elected Council and an appointed Superintendent. Of these the provincial system was abolished in 1875 and the Legislative Council in 1950. In the first General Assembly of 27 August 1854 certain members of this body were associated with the permanent members of the executive but they did not hold any portfolios. It was not until 7 May 1856 that responsible government was actually established.

With the gradual development of the country's economy, the acquisition of political and administrative experience, and the increasing desire for self-reliance in political matters, the stage was set for more complete self-government. Accordingly the country ceased to be a colony and was raised to the status of a Dominion, this change taking place from 26 September 1907.

Of the constitutional events in recent years the passing by the United Kingdom Parliament of the Statute of Westminster in December 1931, was of major importance. The draft of this statute was submitted for the confirmation of the various Commonwealth Legislatures before its passage through the United Kingdom Parliament. The statute granted complete autonomy to the various self-governing member countries, but it did not automatically apply. In other words, its operation in any of the self-governing members of the Commonwealth required specific adoption by the Legislature of that country. It was not until 1947 that the New Zealand Government formally adopted the Statute of Westminster.

As far as the island territories are concerned, the Cook Islands were proclaimed a British protectorate in 1888, and in 1901 were annexed and proclaimed part of New Zealand under the Colonial Boundaries Act 1895. Niue Island is part of the Cook Islands, though separately administered, and became part of New Zealand in 1901 with the extension of boundaries to include the Cook Islands. The Tokelau Islands were placed under the protection of Great Britain in 1877, formally annexed at the inhabitants' request in 1916, and from 1925 were administered by New Zealand at the request of the United Kingdom Government. From 1948 they have become part of New Zealand by virtue of the Tokelau Islands Act 1948.

CONSTITUTION OF NEW ZEALAND: General.—New Zealand is a monarchical state; it is also a constituent member of the Commonwealth. It is in this context that the preamble to the Royal Titles Act 1953 is significant … whereas it is expedient that the style and titles at present appertaining to the Crown should be altered so as to reflect more clearly the existing relationships of the Members of the Commonwealth to one another and their recognition of the Crown as the Symbol of their free association and of the Sovereign as the Head of the Commonwealth …

Constitutional elements besides that of the titular head, the Monarch, can be reviewed under the categories of legislative authority, the executive and administrative structure, and the judiciary. This division is a convenient one, even though there is no absolute line of demarcation between the three phases (e.g., legislation may and often does arise through the day to day experience of those responsible for administration and execution of policy, or through difficulties or anomalies made explicit in the course of dispensing justice or interpreting law). Conversely, in the exercise of the powers and functions of industrial and other tribunals, commissions, authorities, etc., both administrative and judicial elements may be discerned.

THE MONARCH.—The New Zealand Parliament in the Royal Titles Act 1953 gave its assent to the use of the royal style and titles as follows: Elizabeth the Second, by the Grace of God of the United Kingdom, New Zealand, and Her Other Realms and Territories Queen, Head of the Commonwealth, Defender of the Faith.

While the seat of the Monarch is normally in the United Kingdom, the Queen is represented in New Zealand by the Governor-General appointed by the Crown on the advice of Her New Zealand Ministers. The Governor-General has however an official existence, even in the country to which he has been appointed, only in the absence of the Queen from that country. In the island territories the Crown is represented by the Resident Commissioner or Resident Agent, and in the trust territory of Western Samoa by the High Commissioner. These officials carry out any constitutional functions of the Crown, but they also possess in varying degree certain executive and legislative powers, being responsible to the New Zealand Government for the administration and good government of the islands concerned.

Many powers held by the Monarch (or her representative) comprise but the means of giving effect to the public will. In New Zealand the Governor-General acts on the advice of the Ministers, which cannot be constitutionally ignored. Despite the long-term trend for powers to be assigned directly to Ministers without any necessity for vice-regal consultation, there are still many phases of Government which require Royal participation.

The Queen (in her absence the Governor-General) gives consent or approval prior to a Minister taking office or the formation of a Ministry; summons and prorogues Parliament; delivers the Speech from the Throne at the opening of a session; gives the Royal Assent to measures which have passed all stages in the House of Representatives, without which they have not the force of laws; makes appointments to most important State offices, to Knighthoods, and other honours, etc.; and also provides that background of stability, continuity, and experience in many facets of government which is so desirable whenever there are sweeping changes in the dominance of political parties.

Besides those duties associated with the constitutional role, the Royal personage or representative makes an important contribution to the ceremonial life of the nation. This was particularly well illustrated during the sojourn of the Royal visitors to New Zealand in 1953–54. Both as the symbol of the nation and in virtue of her identification with the life and interests of her people, the Queen becomes the focus for all State occasions, as does the Governor-General in her absence.

LEGISLATIVE AUTHORITY.—The Supreme law-making body with power to legislate for the whole country is Parliament, which consists of the House of Representatives only, the former Legislative Council having been abolished since the close of 1950.

The powers of Parliament to make laws are constitutionally untrammelled. This was not always so, for prior to the adoption by New Zealand of the Statute of Westminster in 1947 there was incapacity to make laws on certain matters which conflicted with United Kingdom statutes extending to New Zealand. There was also some doubt as to New Zealand's power to make laws possessing extra-territorial validity.

While the law-making function is the prerogative of the members of Parliament, it must be remembered that, as in most democracies, by far the great majority of laws made are passed because of their acceptability to the majority party in Parliament—i.e., the Government party. Furthermore the initial acceptance will have probably been made in the deliberations of Cabinet.

With the increasing range and complexity of the statutory field, the multifarious concerns of a modern twentieth century government, and the necessity of conserving time for consideration of more important issues, much of the detailed procedural steps and other amplifying matter must become the subject of Orders in Council or of regulations made under the authority of some statute, rather than being incorporated in the statute itself. In this form of what has been termed legislation by delegation, the power to originate and sanction regulations rests with that comparatively small proportion of the majority party in Parliament individually known as Members of the Executive Council (or of Cabinet) and who collectively, together with the Governor-General, comprise the Executive Council. The same individuals, excluding the Governor-General, in New Zealand are members of the Cabinet provided that each is the holder of a portfolio.

Cabinet may and often does function in a deliberate sense as well as in an executive or administrative sense. However regulations, etc., though originating in Cabinet and becoming effective in the proceedings of the Executive Council, still remain subject eventually to the sovereign will of Parliament as a whole.

Parliament—The General Assembly now consists of the House of Representatives, the former Legislative Council (in existence 1854 to 31 December 1950) having been abolished by the Legislative Council Abolition Act 1950.

Meeting of Parliament.—A meeting of Parliament is summoned, and at the expiry of the life of Parliament is dissolved, by proclamation issued by the Governor-General. A session is that period between the meeting of Parliament (whether after a dissolution and subsequent general elections or prorogation) and the date on which it is prorogued. Prorogation implies the termination of all affairs on hand until such time as Parliament is summoned (e.g., bills not passed would have to be re-introduced); an adjournment, on the other hand, does not affect any matters which have not been completed. The length of a session varies, but is usually from autumn to late November or early December.

Parliamentary Privileges.—While in session these include freedom of speech and freedom from arrest, and also the right to engage in secret debate, if required, etc.

The Party System.—There are two political parties represented in Parliament in New Zealand at present: National and Labour. At any General Election these parties, together with any other political parties which may be desirous of so doing and also those standing as independents, state their respective policies before the electors. Each party normally puts forth one candidate for each of the eighty electorates into which the country is divided. The party which wins the majority of seats, although not necessarily the majority of votes, at the General Election forms the Government. The leader of the elected members of the majority party becomes the Prime Minister, who selects the most outstanding or experienced persons from among the majority party (Government members) for Ministerial appointments. The leader of the minority party in Parliament becomes the Leader of the Opposition. The effectiveness of the party system relies largely on the general agreement that the majority party is to govern and the minority is to criticize—so that there is ample time allocated for debate on Government measures in Parliament. While party control is exercised by national and local organizations outside Parliament, within the latter it is maintained by the respective party Whips.

Parliamentary Procedure.—The House of Representatives has its Standing Orders, but the main means by which Parliament does its work is through the system of debate and Committees. The Speaker's prime function is to control debates, having power to set limits on members' times, and his rulings and points of order are followed.

Parliamentary Functions and Control.—The Parliament controls the Government in power in the last resort by its power to pass a resolution of no confidence in the Government, or to reject a proposal which the Government considers so necessary that it is made a matter of confidence, and thus force the Government to resign.

Financial control is exercised by the fact that expenditure of public money must be authorized by the House of Representatives in the form of an Appropriation Act, which authorizes or grants money to the Government for the purposes approved. The authority for the raising of revenue by taxation or borrowing must also be given by Parliament. The functions of Parliament are of course the passing of legislation and taking action to make available finances or funds as required for State expenditure, while it also controls the Government. Legislation can be initiated from any member of Parliament, but in practice almost all Bills are introduced by the Government in power as a result of policy decisions taken in Cabinet, sometimes at the instigation of those Government Departments which will be responsible for their administration when the Bills become law. The chief exceptions are private Bills, which relate usually to some matter of individual interest or individual, and local Bills which relate largely to matters of local (as distinct from central) government business. The process of passing a public Bill is as follows: it receives a formal first reading on introduction, is then printed, and after some time may be given a second reading as a result of a debate on its general merits or principles. It is then referred either to one of the Standing Committees, or it may be the whole House sitting in Committee, and during this stage members may suggest appropriate amendments which can be incorporated in the Bill if the majority so decide. After this stage the Bill is reported to the House and a further debate takes place. Finally, it is submitted for a third reading, and if passed it is sent to the Governor-General for assent. The Bills providing for receipt of moneys, such as the Finance Bill, and expenditure of moneys, such as the Appropriation Bill, are initiated only by a Minister of the Crown, normally the Minister of Finance.

Duration of Parliaments.—Quinquennial Parliaments, instituted under the Constitution Act, were abolished by the Triennial Parliaments Act 1879, which fixed the term at three years. General elections have been held at three-yearly intervals since 1881, with a few exceptions. The term of the nineteenth Parliament was during the First World War extended to five years by special legislation, and that of the twenty-fourth (1931–35) and subsequent Parliaments to four years under the Electoral Amendment Act 1934. By the Electoral Amendment Act 1937 the three-year term was restored, but on account of war conditions the term of the twenty-sixth Parliament was extended to four years by the Prolongation of Parliament Act 1941. The Prolongation of Parliament Act 1942 extended the term still further to one year from the termination of the war, but with a proviso for a motion to be moved in the House of Representatives each year after the year 1942 either approving the continuation of the House or fixing an earlier date for its expiry. During the 1943 session a motion in favour of dissolution was carried, and Parliament was dissolved on 30 August 1943. Since then the duration of Parliaments has been of three years, with the exception that the twenty-ninth Parliament was dissolved after the expiration of approximately twenty months.

Number of Representatives.—The number of members constituting the House of Representatives is eighty—seventy-six Europeans and four Maoris. They are designated “Members of Parliament”. The number was originally fixed by the Constitution Act as not more than forty-two and not less than twenty-four, and the first Parliament called together in 1854 consisted of forty members. Legislation passed in 1858 fixed the number of European members at forty-one; in 1860, at fifty-three; in 1862, at fifty-seven; in 1865, at seventy; in 1867, at seventy-two; in 1870, at seventy-four; in 1875, at eighty-four; in 1881, at ninety-one; in 1887, at seventy; and in 1900, at seventy-six. By the Maori Representation Act 1867, which is still in force, as embodied in the Electoral Act 1927, four Maori members were added, three for the North Island and one for the South Island.

Qualifications of Members.—Under the Electoral Act 1927 every registered elector of either sex, but no other person, is qualified to be a parliamentary candidate. It is provided, however, that a person shall not be so elected who is disqualified as an elector under any of the provisions of the Act (see under “Franchise" post); or is an undischarged bankrupt; or is a contractor to the public service of New Zealand to whom any public money above the sum of £50 is payable, directly or indirectly (but not as a member of a registered company or incorporated body), in any one financial year. Though women's suffrage has been operative since 1893, women were not eligible as parliamentary candidates until the passing of the Women's Parliamentary Rights Act 1919, the provisions of which are now embodied in the Electoral Act 1927. Under the Electoral Act public servants were prohibited from being elected, but this prohibition was removed by the Political Disabilities Removal Act 1936, which provided that if elected they immediately cease to be public servants.

Salaries, etc.—In accordance with the recommendations contained in the report (issued in 1951) of the Royal Commission upon parliamentary salaries and allowances, the Prime Minister's salary, as from 1 September 1951, was increased to £3,000 with a tax-free allowance of £1,000 for the expenses of his office and the Ministerial residence. In addition, while travelling on official business he receives £3 3s. per day to meet expenses, and by virtue of his office is entitled to free cars, secretarial assistance, and free postage. The salary of each Minister holding a portfolio is £2,000 with a tax-free expense allowance of £450, and that of each Minister without portfolio £1,650, with £400 tax-free expense allowance. Where the office of Minister of External Affairs is held by a Minister other than the Prime Minister the expense allowance is increased to £600. Any Minister not occupying a Ministerial residence receives an allowance in lieu at the rate of £300 per annum. This allowance or the assessed value of the residence where one is provided is subject to income tax. Previously Ministers did not receive an expense allowance as such, but the Commissioner of Inland Revenue allowed a deduction from salary of £250 as an expense allowance. Ministers also receive an allowance of £3 3s. per day when travelling on official business.

The Civil List Amendment Act 1936 made provision for the appointment of Parliamentary Under-Secretaries, an innovation in executive control in New Zealand. The rate of salary attachable to such position is now £1,250, with the same house provision or allowances, and travel allowance while on official business, as for Ministers. An expense allowance of £350 is also payable. Since the general election of November 1954, no appointments or reappointments have been made.

The Civil List Act 1950 provided that, on a recommendation of a Royal Commission, the salaries and allowances of Ministers and Members of Parliament may be fixed by Order in Council, in which event the salaries and allowances so fixed will be payable instead of those specified in the Civil List Act 1950. In conformity with the recommendations of the Royal Commission issued in 1951 the honorarium paid to members of the House of Representatives has been increased to £900 per annum. They are also paid a basic allowance at the rate of £250 per annum for expenses incurred in connection with parliamentary duties and a sessional allowance of £150 per annum to all members except those representing the nine electorates in or around Wellington. To meet the higher travelling and other expenses for partly rural and predominantly rural-electorates additional increments of £75 and £150 respectively are paid to members representing such electorates, subject to the classification of electorates by the Representation Commission into the four classes of (a) urban electorates in or near Wellington or Lower Hutt, (b) urban electorates other than Wellington electorates, (c) partly urban and partly rural electorates, and (d) predominantly rural electorates (refer Parliamentary Salaries and Allowances Order 1951). Payment to members is subject to certain deductions for absence not due to sickness or other unavoidable cause. In addition to the honorarium, members are entitled to certain privileges in respect of railway and other forms of travel, a stamp allowance of £4 a month, etc.

Part V of the Superannuation Act 1947 introduced a contributory superannuation scheme for members of the House of Representatives, which provided a minimum retiring allowance of £250 per annum for a member with nine years' service, the allowance increasing by £25 per annum for every year's service in excess of that period until a maximum allowance of £400 per annum is reached after fifteen years' service.

A member must be fifty years of age before he qualifies, on ceasing to be a member, to receive the allowance. The annual contribution, which is compulsory, is £50 per annum, but a member may if he so desires receive a refund of his contributions upon ceasing to be a member.

In the case of a male member dying and leaving a widow surviving she becomes entitled during her widowhood to receive an annuity of two-thirds of the retiring allowance to which her husband was entitled at the time of his death.

The election of a Speaker is the first business of a new House after the members have been sworn. A Chairman of Committees is elected as soon afterwards as is convenient. Both Speaker and Chairman of Committees hold office until a dissolution and receive payment until the first meeting of a new Parliament. The Speaker's remuneration is £1,600 per annum, in addition to which he receives an expense allowance of £500 and residential quarters in Parliament House. The honorarium of the Chairman of Committees is £1,300, and an allowance of £350 per annum to cover expenses incurred in connection with his parliamentary and official duties is also paid.

The Leader of the Opposition is paid a salary of £1,600 with an expense allowance of £400. In addition, a secretary and typist are provided by the State and an allowance of £150 is payable for travel outside his electorate. His official stamp allowance is £10 per month.

Twenty members, inclusive of the Speaker, constitute a quorum.

ADMINISTRATION AND EXECUTIVE RESPONSIBILITY.—After the election of a new Parliament, the Prime Minister, who is the leader of the majority party in the elected members, is given the task of selecting the members of the Executive Council (i.e., the new Ministry). Each of those members of Parliament to form the Government is entrusted by the Prime Minister with responsibility for administration of a specified field or aspect of government. This field is entitled a portfolio e.g., all relevant matters relating to Customs would be allocated to one member, who is henceforth known as the Minister of Customs. He may also have other portfolios and the supervision of one or more Government Departments in which the activities carried out though important, either do not rank as portfolios or are subsidiary aspects of the field—in these cases the Minister's responsibility will extend to being in charge of the named Department. One or other of the appointed Ministers in this way is responsible for the direction of activities and executive acts of each of the Government Departments and offices, etc., embracing the entire range of State activities. Thus arises the concept of Ministerial responsibility.

In the legal sense those members of Parliament who have been appointed Ministers, together with the Governor-General, comprise the Executive Council; for purposes of prior and informal discussion on executive or administrative action, deliberation on proposed policy, they, with the exclusion of the Governor-General, become what is known as Cabinet.

Executive Council.—The powers, duties, and responsibilities of the Governor-General and the Executive Council under the present system of responsible government are set out in Royal Letters Patent and Instructions thereunder of 11 May 1917, published in the New Zealand Gazette of 24 April 1919. The Royal Powers Act 1953 provides that the statutory powers conferred on the Governor-General may be exercised either by Her Majesty the Queen in person or by the Governor-General. In the execution of the powers and authorities vested in him the Governor-General must be guided by the advice of the Executive Council; but, if in any case he sees sufficient cause to dissent from the opinion of the Council, he may act in the exercise of his powers and authorities in opposition to the opinion of the Council, reporting the matter to Her Majesty without delay, with the reasons for his so acting.

In any such case any member of the Executive Council may require that there be recorded in the minutes of the Council the grounds of any advice or opinion that he may give upon the question.

At present (January 1955) the Executive Council consists of sixteen members in addition to the Governor-General. Two members, exclusive of His Excellency or the presiding member, constitute a quorum.

Under the Civil List Act 1950, which consolidated and amended the Civil List Act 1920 and its amendments, His Excellency the Governor-General receives an honorarium of £5,000 per annum, an allowance of £5,000 per annum for the salaries and expenses of his establishment (exclusive of the Official Secretary), plus all expenditure incurred in respect of the transport to and from New Zealand and the travel within or outside New Zealand of the Governor-General and his family and staff.

Cabinet.—There is a very close relationship between the Cabinet, in itself not a legal entity, and the Executive Council, a statutory body. Cabinet, as stated previously, consists of the Ministers of Crown but does not include the Governor-General, being virtually the same body. Where certain Cabinet decisions have to bear the imprint of legal form to become effective, it is the Executive Council which, in the shape of Orders in Council or regulations, confirms these decisions. The preliminary review of proposed policy or of current administrative developments which take place in the informal discussion atmosphere of Cabinet meetings implies both deliberate or selective and administrative procedures on the part of this body. Consequently, as a result of the device of Cabinet, a general consensus of agreement can exist on any proposed line of action by either an individual Minister, or by the Government as a whole, which enables (a) the Executive Council confirmation to proceed smoothly and expeditiously, (b) the Minister in introducing legislation into the House of Representatives or on other occasions to be confident that his measure will have the unqualified support of the Government no matter what divergences of opinion may have individually been apparent before the general agreement in Cabinet was made, (c) a consistent and agreed upon course of action or attitude can be followed on any particular issue. Thus the concept of collective responsibility of the Government is introduced and exemplified in the workings of Cabinet.

Complex questions and/or related problems may be initially considered by committees of Cabinet composed of those Ministers primarily concerned. Some executive action may be undertaken by these committees within the lines of established Government policy. Their work is subject to periodical report to and overall supervision by the entire Cabinet. On occasions also ad hoc committees may be established to review or investigate particular questions of the moment and to present their conclusions and recommendations to Cabinet for decision or for authority to take executive action. The decisions of Cabinet which require executive action, although notified to all concerned, are usually made effective through the agency of the Minister concerned.

Cabinet deliberations being investigatory or preliminary to action in other organs of Government are naturally informal, while anonymity as to the individual advocacy of opposition to some concerted line of action or area or general agreement is preserved in the form of recording system adopted. A small Cabinet secretariat is set up for the purpose of achieving co-ordination, continuity of action, and review, and to enable the smooth functioning of the work of Cabinet.

In brief, the functions of a Cabinet have been described as (a) the final determination of the policy to be submitted to Parliament, (b) the supreme control of the national executive in accordance with the policy prescribed by Parliament, (c) the continuous co-ordination and delineation of the activities of several Departments of State.

Government Departments.—The Minister as the political head of a Department of State may in fact have several Departments under his control. There are however some forty-four different Departments with separate functions in New Zealand. Each of these has a permanent head who is responsible for the work and administration of the Department. He is of course responsible to the Minister in charge of the Department, while he also acts as adviser to the Minister on all matters within his appointed competence. Besides ensuring that the Ministerial policy and policy communicated to him are effectively put into practice, his functions as the adviser include assessing the consequences of any executive action resulting from his departmental activity, evaluating the merits and demerits, whether political, social, or financial, of various modes of action, and making suggestions for improvements and for new policy measures as derived from departmental experience in the day to day execution of policy.

Departments can be broadly classified according to the administrative or regulatory, developmental, or social nature of their activities. Within the first group are the servicing sub-group, such as the Legislative, Prime Minister's Office, External Affairs, Printing and Stationery, Law Drafting, Valuation, Census and Statistics, and Audit; the finance sub-group—Treasury, Customs, Inland Revenue; the regulatory sub-group—Public Service Commission, Internal Affairs, Island Territories, Labour, Marine; the defence and law and order sub-group—Navy, Army, Air, Justice, Crown Law, and Police; the publicity and research sub-group—New Zealand Broadcasting Service, Tourist and Publicity, Scientific and Industrial Research.

In the second group are the transport and communications sub-group, such as Transport, Post and Telegraph, and Railways; the developmental—Ministry of Works, Agriculture, Lands and Survey, Mines, State Hydro-electric, Maori Affairs, and Industries and Commerce; the commercial—Public Trust, Government Life Insurance, State Advances Corporation, and State Fire and Accident Insurance.

The third group comprises the Education, Health, and Social Security Departments.

This broad division serves merely to indicate in which field the dominant activity or purpose of the particular Department is engaged on or concerned with. Most Departments have servicing, informative, and regulatory functions, and many are equally regulatory and developmental in nature.

In addition to the system of direct administration in the form of Government Departments, there are other activities over which the State exercises some ultimate measure of control or ownership, though divorced in varying degrees from immediate supervision. The Reserve Bank of New Zealand (the central bank), and one trading bank, are entirely State-owned, although the actual administration is quite independent, subject in the case of the Reserve Bank to the proviso that the Governor or Board of Directors is to give effect to any resolution of the House of Representatives in respect of the bank's functions or business.

A further instance of this principle is shown by the National Airways Corporation, which, although owned by the State, is administratively self-contained. In certain other avenues the type of administration is in between the normal departmental form and that evident in the corporation type; of such are the Railways Commission and the National Roads Board, which, though determining policy to a large degree, yet make use of departmental administrative structures for implementation of policy.

Some administrative organizations have also quasi-judicial functions. Examples of this class are the Price Tribunal, Transport Charges Authority, Licensing Commission, and Local Government Commission.

JUDICIARY.—The hierarchy of Courts in New Zealand comprises the Court of Appeal, the Supreme Court, and the Magistrates' Court. Apart from these Courts of general jurisdiction there are other Courts dealing with specific fields. In the latter category are the Court of Arbitration, concerned with awards and general orders governing wage determination and conditions of employment in industry; the Compensation Court dealing with workers' compensation; and the Land Valuation Court, which settles land valuation disputes and compensation claims where land is taken for public works. For further details refer to Section 8 (Justice) of this issue.

ELECTORAL PROVISIONS.—Following each population census, which is normally taken every five years, New Zealand is divided anew into seventy-six European electorates. In addition, there are four Maori electoral districts, three in the North Island and one covering a portion of the North Island together with the whole of the South Island, where the Maori population is comparatively small. The Governor-General may at any time, by Proclamation, alter the boundaries of the Maori electoral districts, but, as in the case of European electoral districts, any alterations are to come into force at the expiry of the Parliament existing when the Proclamation is issued.

The population used as the basis in obtaining the quota for each European electoral district is the total population as disclosed by the census, with the following exceptions:

  1. Maoris:

  2. Persons detained in mental institutions:

  3. Persons detained in prisons:

  4. Persons on board ship:

  5. Temporary guests in licensed hotels:

  6. Persons residing temporarily in military, etc., camps:

  7. Patients in public hospitals.

Provision exists for an allowance by way of addition or subtraction of ½ per cent of the total population where districts containing the exact quota could not be formed consistently with consideration of topography, community of interest, communications, and existing electoral boundaries.

These provisions, which differ considerably from those previously in force, are contained in the Electoral Amendment Act 1950. This Act also provided that all general elections and by-elections shall be held on a Saturday and for both European and Maori elections to be held on the same day. Previously the Maori elections were held on the day preceding the European elections. An amendment in 1951 provides for the polling hours in Maori electorates to be extended to 7 p.m., as in the case of European electorates.

The Electoral Amendment Act 1951 provided that, if at any time Parliament is dissolved before it has been two years in existence, the general and supplementary rolls used in the previous general election, together with a further supplementary roll, may be used if in the opinion of the Chief Electoral Officer it is impracticable to print new general rolls. The same rolls, together with a further supplementary roll, are to be used for any by-election occurring before the next following general election.

The latter amending Act also provides for the voting at elections and licensing polls by servicemen serving overseas who are or will be of, or over the age of, twenty-one years before the date of the election or poll, whether or not registered as electors of any electoral district. Each such serviceman shall be qualified to vote as an elector of the electoral district in which is situated his usual place of residence before he last left New Zealand.

FRANCHISE.—Since the abolition of plural voting in 1889 and the introduction of women's suffrage in 1893 every person twenty-one years of age or over has had the right to exercise a vote in the election of members for the House of Representatives. To be registered as an elector a person must have resided for one year in New Zealand, and for three months in the electoral district for which he claims to vote. A system of compulsory registration of electors was introduced at the end of 1924, but for Maori electors a Proclamation was necessary before registration became operative. The Electoral Amendment Act 1948, however, provided for the preparation of rolls for Maori electoral districts, which, subject to and after notification in the Gazette that these rolls have been formed, shall be for all purposes the electoral rolls of the districts concerned.

Legislative provisions exist enabling persons to vote as absent voters (those away from electorates on polling day) and postal voters (those ill or infirm), and for voting on declaration (those persons qualified to be enrolled as electors but whose names are not on the rolls due to becoming qualified after the date of the issue of the writ), etc.

There are, of course, slight exceptions to the foregoing, for, if a person is classified as one of the following, he or she is not entitled to register as an elector or to vote:

  • An alien:

  • A mentally defective person:

  • A person convicted of an offence punishable by death or by imprisonment for one year or upwards within any part of Her Majesty's Dominions, or convicted in New Zealand as a public defaulter, or under the Police Offences Act 1927 as an idle and disorderly person or as a rogue and vagabond, unless such offender has received a free pardon, or has undergone the sentence or punishment to which he was adjudged for such offence.

Maoris are qualified to vote only at elections of the four members representing the Maori race. A Maori half-caste is entitled to be registered either as an elector of a Maori or a European electoral district, while special provisions govern any changeover of registration.

By the Electoral Amendment Act 1937, which made provision for a secret ballot in Maori elections, Maori electors were granted the same privileges, in the exercise of their vote, as European electors.

For the system of local-government administration a modified form of franchise exists, a ratepaying qualification being necessary for the exercising of votes on financial issues. Further reference to this aspect of franchise will be found in Section 31 of this Year-Book.

Chapter 3. SECTION 3—POPULATION

Table of Contents

GENERAL REVIEW.—A population census was taken as for the night of Tuesday, 17 April 1951, in New Zealand, while censuses of its island territories were conducted by the Department of Island Territories for the night of Tuesday, 25 September 1951.

The minor islands (see page 2), other than the Kermadec Islands and Campbell Island, were uninhabited at the date of the census, as was also the Ross Dependency, situated in Antarctic regions.

The 1951 census population of geographic New Zealand (i.e., excluding Island Territories) was 1,939,472, inclusive of 115,676 Maoris.

For the Island Territories 1951 census figures were: Cook Islands and Nine Island, 19,632; Tokelau Islands, 1,580; Trust Territory of Western Samoa, 84,909. The total census population of New Zealand and Island Territories was 2,045,593. Armed Forces personnel overseas at the time of the census and not included in the population numbered 1,894 (Europeans 1,830, Maoris 64).

The figures contained in the following summary are the latest available.

DateMalesFemalesTotals

* Includes population of the inhabited minor islands—i.e., Kermadec Islands, 10 (males); and Campbell Island, 5 (males).

New Zealand—    
(a) Exclusive of Island Territories—    
  Europeans30 September 1954990,926982,1161,973,042
  Maoris30 September 195466,24363,295129,538
  Totals, New Zealand (excluding Island territories)30 September 19541,057,1691,045,4112,102,580
(b) Island Territories—    
  Tokelau Islands30 June 19548469401,786
  Cook Islands31 March 19548,1587,49915,657
  Niue Island30 September 19542,3152,4484,763
  Totals, New Zealand (including Island territories)..1,068,4881,056,298*2,124,786
Trust Territory of Western Samoa30 June 195447,62445,19392,817

INCREASE OF POPULATION.—Since the commencement of European settlement in New Zealand the European population has in every year shown an increase, though the rate of increase has fluctuated considerably. As will be seen later in this Section, the movement of Maori population has followed a different course. Census records for the last half-century are quoted in the succeeding table and include Maoris.

Date of CensusNumbersIntercensal Numerical IncreaseIntercensal Percentage IncreaseAverage Annual Percentage Increase

* Excludes New Zealand Armed Forces personnel overseas.

† Includes New Zealand Armed Forces personnel overseas.

March 1901*815,85372,6469.771.89
April 1906936,304120,45114.762.75
April 19111,058,308122,00413.032.52
October 1916*1,149,22590,9178.591.50
April 19211,271,664122,43910.652.27
April 19261,408,139136,47510.732.06
March 19361,573,810165,67111.771.13
September 1945*1,702,298128,4888.160.83
September 19451,747,679173,86911.051.11
April 1951*1,939,472237,17413.932.37
April 19511,941,366193,68711.081.91

In no fewer than four of the nine censuses covered by the above table the figures are disturbed by the absence overseas of Armed Forces in time of war. Increase during the intercensal period preceding the census is thus diminished and in the period following is augmented by the return of such personnel or, more accurately and regrettably, the survivors. Numbers of Armed Forces personnel overseas at the respective dates were: 1901, 2,500 (approx.); 1916, 44,000 (approx.); 1945, 45,381; and 1951, 1,894.

It will be noted that the growth of population has been substantial in each period. The lowest rates are those of 1926–36, a result of the great economic depression, and of 1936–45, which included six years of war.

Omitting movements of army and air force personnel but including naval crews, post-war increases in population have been—

 NumbersPer Cent

* 1.77 for a full year.

194634,9322.02
194733,7161.89
194833,7101.85
194938,3632.07
195036,6781.94
195143,3922.25
195253,9132.74
195350,3842.49
1954 (9 months)27,5051.33*
Total352,593..

The increase in the rate of population growth, after an upward movement from 1950 to 1952 (the highest gain in the history of New Zealand), showed a downward trend in 1953 which has continued in the first nine months of 1954 to an even more marked degree.

Sources of population increase are threefold—viz., enlargement of territory, excess of arrivals over departures, and excess of births over deaths or natural increase. The first is inapplicable to New Zealand, the second is dealt with later in this Section, and the third is discussed in the Section relating to vital statistics. One aspect of the latter may, however, be given here. This is the reproduction index which, though not free from error, is a convenient indication of the growth or decline of a population. It is based on female children born (gross rate) and probably surviving to maturity (net rate). A net rate of 1.0 indicates a stationary population; above unity a rising population and Mow unity a falling population.

Reproduction rates during the last four years were as follows, the figures relating only to the European population.

YearGross RateNet Rate
19501.6501.587
19511.6401.578
19521.7171.652
19531.6961.632

A cautionary observation may be appended here. Though the total increase of population is the sum of natural increase and migration increase, certain discrepancies may be noted. The reason is that, following the census, revisions have been made to statistics of total population, but it has not been possible to make corresponding adjustments to migration or natural increase figures. A further discrepancy may be due to the exclusion from the migration statistics of movements of members of the Armed Forces.

POPULATION PROJECTION.—It is of interest to note that New Zealand reached its first million of population in December 1908 and the second million in August 1952, the population thus having doubled in approximately 43¾ years.

Interest in the future population of New Zealand was such that it was obvious there was a real need for up-to-date forecasts. However, to produce forecasts of real value, considerable work is involved in making careful studies of trends in fertility, mortality, immigration, etc. To meet the needs of those wishing to make estimates based on probable future changes in population, the following provisional projections have been made for the total population, inclusive of Maoris. These are based on two assumptions:

  1. That the annual rate of natural increase will be 15 per thousand persons living.

  2. That the net inflow due to migration will be 10,000 persons per annum.

MEAN POPULATION FOR TWELVE MONTHS ENDING 31 MARCH (INCLUDING MAORIS)

YearEstimated Population
 (000)
19552,090
19562,132
19572,174
19582,216
19592,260
19602,303
19612,348
19622,393
19632,439
19642,486
19652,533
19662,581
19672,630
19682,679
19692,729
19702,780
19712,832
19722,884
19732,938
19742,992
19753,047
19763,102
19773,159
19783,216
19793,275
19803,334
19813,394
19823,455
19833,516
19843,579
19853,643
19863,707
19873,773
19883,840
19893,907
19903,976
19914,046
19924,116
19934,188
19944,261
19954,335
19964,410
19974,486
19984,563
19994,642
20004,721

Population Projections by Age-Groups.—Population projections are used for many purposes, but the practical uses generally have one objective in common—planning for the future. It is therefore necessary that careful studies of trends in fertility, mortality, longevity, immigration, etc., should be made in order that population projections can be made on the bases of reasonable assumptions. However, such estimates must not be construed as predictions of what the population will be at any given future time, they merely show the effect on the existing population of the stated assumptions, without implying that these assumptions will necessarily be fulfilled. If any one wishes to predict the future population of New Zealand, the figures given and the validity of the assumptions made should be examined.

Before commencing the current projections careful investigation was made of the basic data used. Sources of population increase in New Zealand are excess of births over deaths (natural increase) and excess of arrivals over departures. Briefly stated, the basic material used was as follows:

  1. The existing population, by quinquennial age groups at the end of December 1952, was taken as the starting point.

  2. Chances of surviving were taken from the New Zealand Life Tables, 1950–52, for non-Maori and Maori lives and were applied to births and the net inflow from migration as well as the existing population.

  3. Expected births have been calculated with reference to the average number of women of child-bearing age, using an average annual birth rate for each quinquennial age group of mothers based on the period 1949–52. In the case of Maoris it was necessary to assume that ages of mothers would be more or less the same as in the non-Maori population, as Maori birth registrations have not included provision for age of mothers to be stated.

  4. Age and sex distribution of the net inflow from migration was assumed to be the same as for the period 1934–53. It has not been necessary to include any figures for migration in the Maori estimates.

POPULATION PROJECTIONS, INCLUDING MAORIS

(a) Assuming No Net Inflow from Migration

 1957 1962
 MalesFemalesTotal MalesFemalesTotal
0 and under 15352,550336,500689,0500 and under 15376,700358,500735,200
15 and under 65650,700640,4501,291,15015 and under 65701,050687,0001,388,050
65 and over90,060106,420196,48065 and over90,410112,360202,770
    Totals1,093,3101,083,3702,176,680    Totals1,168,1601,157,8602,326,020

 1967 1972
 MalesFemalesTotal MalesFemalesTotal
0 and under 15395,100375,150770,2500 and under 15430,800408,850839,650
15 and under 65760,750745,5001,506,25015 and under 65816,750800,6001,617,350
65 and over95,860118,810214,67065 and over104,810127,270232,080
    Totals1,251,7101,239,4602,491,170    Totals1,352,3601,336,7202,689,080

(b) Assuming 5,000 Per Annum Net Inflow from Migration

 1957 1962
 MalesFemalesTotal MalesFemalesTotal
0 and under 15355,950339,500695,4500 and under 15384,250365,450749,700
15 “ 65662,800647,9001,310,70015 and under 65726,100702,4001,428,500
65 and over90,260106,870197,13065 and over90,860113,260204,120
    Totals1,109,0101,094,2702,203,280    Totals1,201,2101,181,1102,382,320
 1967 1972
 MalesFemalesTotal MalesFemalesTotal
0 and under 15407,400386,500793,9000 and under 15447,850424,750872,600
15 and under 65799,100769,5001,568,60015 and under 65869,200833,9001,703,100
65 and over96,560120,260216,82065 and over106,060129,420235,480
    Totals1,303,0601,276,2602,579,320Totals1,423,1101,388,0702,811,180

(c) Assuming 10,000 Per Annum Net Inflow from Migration

 1957 1962
 MalesFemalesTotal MalesFemalesTotal
0 and under 15359,400342,500701,9000 and under 15391,850372,350764,200
15 and under 65674,950655,3001,330,25015 and under 65751,100717,7501,468,850
65 and over90,460107,370197,83065 and over91,210114,260205,470
    Totals1,124,8101,105,1702,229,980    Totals1,234,1601,204,3602,438,520
 1967 1972
 MalesFemalesTotal MalesFemalesTotal
0 and under 15419,650397,950817,6000 and under 15464,900440,700905,600
15 and under 65837,500793,3501,630,85015 and under 65921,600867,1001,788,700
65 and over97,310121,760219,07065 and over107,360131,620238,980
    Totals1,354,4601,313,0602,667,520    Totals1,493,8601,439,4202,933,280

COMPARISON WITH OTHER COUNTRIES.—In the following summary of certain selected countries the two most recent census years are quoted together with the annual average percentage increase of population during the respective intercensal periods.

CountryCensus PeriodAverage Annual Percentage Increase

* Excluding Newfoundland.

† European population.

‡ Including Hyderabad, but excluding Kashmir, Jammu, and the tribal areas of Assam.

§ Excluding full-blooded aborigines.

NOTE.—Minus sign (−) denotes a decrease.

New Zealand1945–512.37
England and Wales1931–510.46
Scotland1931–510.26
Northern Ireland1937–510.48
Austria1939–510.33
Denmark1945–501.04
Finland1940–500.82
France1936–46−0.34
Hungary1941–49−0.15
Republic of Ireland1946–510.03
Netherlands1930–471.18
Portugal1940–500.95
Sweden1945–501.09
Switzerland1941–501.12
Canada*1941–511.72
Union of South Africa1946–512.18
India 1941–511.26
Pakistan1941–510.75
Ceylon1931–461.51
Australia§1947–542.46
United States of America1940–501.36

It will be noted from the above table that the highest annual rate of increase is that shown for Australia—2.46 per cent for the intercensal period 1947–54. During the previous intercensal period 1933–47, the annual rate of increase was only 0.96 per cent. The large rise in the annual rate, thus revealed, is due mainly to post-war immigration.

The next highest rate of increase is that shown for New Zealand, 2.37 per cent. This however would be reduced to 1.91 per cent if members of the Armed Forces absent overseas in 1945 and 1951 were added to the totals at census dates and not regarded as population gains in the intercensal period.

The Commonwealth countries, Union of South Africa (2.18 per cent), Canada (1.72 per cent), and Ceylon (1.51 per cent), show the next highest rates of increase. On the other hand, European countries show the lowest rates of increase—France and Hungary actually show decreases—with the United Kingdom countries recording very low figures.

SEX PROPORTIONS.—Latest available figures (September 1954) show that males outnumber females by 8,810 in the European population, 2,948 in the Maori population, and 11,758 in the total population. Females per 1,000 males were: European, 991; Maori, 955; total population, 989. Net increase of population from migration adds to the male preponderance, but the major source of population increase is the excess of births over deaths, and this results in a female preponderance. In the relatively near future it seems probable that females will outnumber males. Females per 1,000 males at the last four censuses have been—

19269571945 (including Armed Forces abroad)991
19369701951991
194510441951 (including Armed Forces abroad)989

There are marked differences in the sex proportions of the population of different parts of New Zealand. The following observations relate to the census of 1951 and give the number of females per 1,000 males.

In the aggregate of cities and boroughs the ratio was 1,071; in town districts, 1,010; and in counties, 885. For the provincial districts ratios were—

Canterbury1028
Otago (Otago portion)1016
Hawke's Bay1003
Wellington999
Auckland982
Marlborough960
Taranaki958
Otago (Southland portion)951
Nelson948
Westland937

Female preponderance in towns does not appear to have a direct relation to the size of the towns. Of the fifteen urban areas which comprise the largest centres of population eight had ratios higher than the average for all cities and boroughs, but seven were below the average, and of these Hutt, fifth largest urban area, even had an excess of males.

New Plymouth1119
Dunedin1100
Timaru1098
Gisborne1089
Christchurch1087
Napier1085
Hastings1083
Wanganui1075
Palmerston North1070
Invercargill1062
Hamilton1059
Nelson1058
Auckland1057
Wellington1052
Hutt991

METHOD OF COMPILATION.—In common with almost all countries, the chief instrument in compiling population data in New Zealand is the census, which in this country in normal times is taken quinquennially. The minutiae of the distribution of population, together with analyses of various population characteristics compiled from census data, will be found in the official publications compiled after each census.

The basis adopted for the census, and virtually throughout population statistics in New Zealand, is that of the population present, which may be defined as the population present at the place of enumeration at the time of the enumeration.

Intercensal population statistics for New Zealand are statistics of record; those for lesser divisions such as provincial districts, counties, or boroughs are estimates.

All references to New Zealand relate solely to geographic New Zealand—i.e., Island Territories are omitted except in the first table where their inclusion is specifically stated. Though Cook Islands, Niue Island, and Tokelau Islands are constitutionally part of New Zealand, for geographical reasons they are administered separately.

Maoris are included in all population data unless the contrary is stated. Maori-Europeans who are in half or greater degree of Maori origin are included with Maoris. For some purposes the population dichotomy of European and Maori is necessary or desirable and “European" is used, conveniently if not altogether accurately, as referring to all population other than Maori, a usage long established in New Zealand.

INTERCENSAL RECORDS.—The intercensal statements of total population, prepared from the records of vital statistics and of external migration, have been, by virtue of the favourable position of New Zealand in this respect, relatively accurate. Moderate discrepancies, however, are inevitable and, in the tables following, revisions have been made for figures subsequent to the 1945 census to conform with the 1951 census figures.

The following population figures exclude members of New Zealand Armed Forces who were overseas, and also members of the Armed Forces of other countries who were in New Zealand.

Population (Including Maoris) at End of YearIncrease During YearMean Population for Year
MalesFemalesTotalsNumericalPer Cent
Years Ended 31 March
1944789,772854,1281,643,9009,8060.601,637,570
1945814,470865,5021,679,97236,0722.191,664,585
1946878,739878,0171,756,75676,7844.571,710,680
1947894,810894,6661,789,47632,7201.861,770,291
1948915,359912,6661,828,02538,5492.151,807,611
1949935,019929,5411,864,56036,5352.001,843,767
1950955,427947,4561,902,88338,3232.061,881,317
1951973,082964,9501,938,03235,1491.851,917,934
1952997,468987,2621,984,73046,6982.411,958,729
19531,024,4631,013,0902,037,55352,8232.662,009,506
19541,049,9631,037,7772,087,74050,1872.462,061,376
Years Ended 31 December
1943790,842851,1991,642,0415,6380.341,635,635
1944813,568862,7181,676,28634,2452.091,655,795
1945855,494872,3231,727,81751,5313.071,694,641
1946891,321889,8931,781,21453,3973.091,759,526
1947910,055907,3981,817,45336,2392.031,798,262
1948929,233924,5731,853,80636,3532.001,834,655
1949949,443942,5991,892,04238,2362.061,871,748
1950967,308960,3211,927,62935,5871.881,909,092
1951989,513981,0091,970,52242,8932.231,947,529
19521,017,8741,006,6822,024,55654,0342.741,996,149
19531,043,1431,031,6382,074,78150,2252.482,048,826

The figures given in the preceding table show the population inclusive of Maoris. The following table shows the population exclusive of Maoris.

Population (Excluding Maoris) at End of YearIncrease During YearMean Population for Year
MalesFemalesTotalsNumericalPer Cent
Years Ended 31 March
1944739,744805,2971,545,0417,4040.481,539,978
1945763,155815,2361,578,39133,3502.161,564,436
1946826,877828,9671,655,84477,4534.911,610,193
1947841,070843,8701,684,94029,0961.761,667,631
1948860,419860,5381,720,95736,0172.141,701,873
1949878,487876,1111,754,59833,6411.951,735,223
1950897,618892,7101,790,32835,7302.041,770,130
1951913,852908,6741,822,52632,1981.801,803,944
1952936,338929,1041,865,44242,9162.351,841,332
1953961,389952,9651,914,35448,9122.621,888,334
1954984,822975,5341,960,35646,0022.401,936,202
Years Ended 31 December
1943741,045802,7411,543,7863,1560.201,538,651
1944762,566812,8851,575,45131,6652.051,556,318
1945804,809823,5481,628,35752,9063.361,593,898
1946838,010839,4881,677,49849,1413.021,657,851
1947855,480855,6401,711,12033,6222.001,693,168
1948873,062871,4891,744,55133,4311.951,726,839
1949891,991888,2371,780,22835,6772.051,761,204
1950908,479904,4671,812,94632,7181.841,795,830
1951928,879923,3371,852,21639,2702.171,831,058
1952955,354947,1021,902,45650,2402.711,875,940
1953978,636969,9991,948,63546,1792.431,924,680

EXTERNAL MIGRATION.—Statistics of external migration have been recorded in New Zealand since 1860. Since 1 April 1921 they have been compiled from individual statements obtained from each person entering or leaving New Zealand.

Including crews of vessels, 117,648 persons from overseas arrived in New Zealand during the year ended 31 March 1954, which, compared with 1952–53, shows a decrease of 3,823. During the same period 102,601 persons departed. This figure, compared with the corresponding one for 1952–53, shows an increase of 1,464.

In addition to the figures just quoted there were also 7,448 “through" passengers who called at a port of New Zealand en route to their destination.

The excess of total arrivals over total departures for 1953–54 was 15,047, compared with a similar excess of 20,334 during 1952–53.

The numbers of arrivals and departures during the last eleven years are given in the table following. Crews of vessels, “through" passengers, tourists on cruising liners, and members of the Armed Forces, etc., have not been taken into account in this table.

Year Ended 31 MarchArrivalsDeparturesExcess of Arrivals Over Departures
MalesFemalesTotalsMalesFemalesTotals
19442,1221,6253,7471,8481,7923,640107
19453,6673,5407,2073,1123,0776,1891,018
19466,4166,89313,3095,6575,30910,9662,343
194712,68212,67625,35811,41710,90322,3203,038
194817,00416,14033,14413,94513,44327,3885,756
194918,64617,30035,94615,83715,92831,7654,181
195026,19024,69050,88021,47121,52943,0007,880
195128,30926,33554,64423,41123,71147,1227,522
195233,16229,33662,49824,00922,82546,83415,664
195335,57430,66666,24022,39921,80944,20822,032
195432,26629,57961,84524,17622,22846,40415,441

The number of arrivals in 1952–53 was the highest in the history of New Zealand migration statistics. However in 1953–54 arrivals showed a substantial drop of 4,395. The number of departures, after showing a decrease for two successive years, showed in 1953–54 an increase of 2,196. These two factors, in conjunction, were responsible for the large decrease of 6,591 in the figure for excess arrivals over departures.

In the nine-year period ending 31 March 1954 the net gain from passenger migration was 83,857, while if movement of crews is taken into account this is increased to 86,596.

Classes of Arrivals and Departures.—The following table gives an analysis of all classes of arrivals during the last five years, including “through" passengers, and crews. In classifying arrivals or departures as “permanent" the commonly used international rule is applied—i.e., residence or absence of one year or more.

1949–501950–511951–521952–531953–54
Immigrants intending permanent residence17,70118,23424,92229,00524,896
New Zealand residents returning18,46319,97620,42618,57017,443
Visitors—     
  Tourists10,76812,18312,32513,30913,858
  On business1,9362,4062,8462,5022,834
  Theatrical, entertaining, etc.1,117634582785686
  Educational purposes97111133199128
  Others, officials, etc.3134696131,0351,198
  In transit485631651835802
Through passengers2,4892,9232,7445,6457,448
Crews47,49947,26349,56155,23155,803
    Totals100,868104,830114,803127,116125,096

The succeeding table gives a similar analysis of departures.

1949–501950–511951–521952–531953–54
New Zealand residents departing—     
  Permanently6,8867,7887,3006,2717,048
  Temporarily20,10621,37121,09018,31518,277
Temporary residents departing16,00817,96318,44419,62221,079
Through passengers2,4892,9232,7445,6457,448
Crews45,95846,41149,74656,92956,197
    Totals91,44796,45699,324106,782110,049

Ages.—The following table gives the age-distribution of immigrants and emigrants for the twelve months ended 31 March 1954.

Age, in YearsPermanent ArrivalsPermanent DeparturesExcess of Arrivals Over Departures
MalesFemalesTotalsMalesFemalesTotals
0–142,5112,2604,7715766441,2203,551
15–243,1692,5685,7378157931,6084,129
25–343,9093,4587,3671,0211,0372,0585,309
35–441,7501,7523,5024184758932,609
45–591,0081,1862,1943254227471,447
60 and over4158291,244192317509735
Unspecified2754813101368
    Totals12,78912,10724,8963,3503,6987,04817,848

Of the permanent arrivals during the year 1953–54, 19 per cent were under fifteen years of age, 42 per cent under twenty-five years, 72 per cent under thirty-five years, and 86 per cent under forty-five years. Permanent departures represented a similar age distribution with percentages of 17, 26, 69, and 82 respectively.

Origin.—The following table shows for the last three years the birthplaces of immigrants intending permanent residence and of New Zealand residents departing permanently.

Abnormal figures are reflected in some years, particularly in those cases where the acceptance of displaced persons or assisted immigrants from countries other than Great Britain (e.g., Netherlands) was for a limited period only.

Country of BirthImmigrants Intending Permanent ResidenceNew Zealand Residents Departing Permanently
1951–521952–531953–541951–521952–531953–54
Commonwealth Countries      
England and Wales8,51011,41610,7251,3791,3251,677
Scotland1,5062,1662,338270263279
Northern Ireland227490507814361
United Kingdom (undefined)16022124017835
Republic of India3593473701068778
Canada112130201626750
Australia1,3621,8512,091762565765
Cook Islands and Niue245345314303129
Fiji155179200473242
New Zealand3,4393,8663,6224,0873,3423,359
Other Commonwealth countries in the Pacific268250218555361
Other countries within the Commonwealth3153523876356101
      Totals, Commonwealth countries16,65821,61321,2136,9595,8726,537
Other Countries      
Republic of Ireland305597601505771
Russia (U.S.S.R.)2352032111214
Poland2105638151116
Germany29113711471218
Netherlands3,3565,0241,68153082
Czechoslovakia214209344
Yugoslavia4005961328
Rumania69419174 5
Indonesia37223744347
China27923722522189
United States of America230170248117132133
Others1,66879559396117139
      Totals, other countries8,2547,3713,663336399506
At sea121......
Not specified919195..5
      Grand totals24,92229,00524,8967,3006,2717,048

Assisted Immigration.—Various systems of assisted immigration have been in force since 1871, with the exception of the period 1892 to 1903 (inclusive). The scheme that was operating prior to 1947 had been largely suspended since 1927, and only 50 immigrants received financial assistance during the ten years ended 31 March 1946.

To alleviate the shortage of staffs in mental hospitals the Government decided in 1946 to recruit labour in the United Kingdom, and the number of arrivals under this system totalled 240 (all females).

In July 1947 a comprehensive assisted passage scheme was introduced by the Government. Under this scheme financial aid was granted to certain categories of immigrants. Eligibility was confined to single residents of the United Kingdom (with no dependants) between the ages of twenty and thirty-five years who were suitable for, and willing to accept employment in, a wide variety of productive and servicing occupations. All assisted immigrants were required to enter into a contract with the New Zealand Government that they would engage in approved employment for two years after their arrival in New Zealand.

A scheme of child migration from the United Kingdom was in operation from June 1949 to May 1953. Arrivals of British children between the ages of five and seventeen years totalled 169 in 1949–50, 107 in 1950–51, 99 in 1951–52, 87 in 1952–53, and 68 up to terminating date during 1953–54.

In May 1950 a new immigration policy was announced by the Government, the main changes being as follows:—

  1. The existing scheme in regard to unmarried British immigrants, including nominations, to continue, but with an extension of the age limit from thirty-five to forty-five years of age.

  2. Extension of the free passage scheme to certain categories of married British immigrants with up to two children.

  3. The acceptance, after negotiation and conclusion of agreements with the countries concerned, of a number of single non-British men and women between the ages of twenty and thirty-five years. Such an agreement was later entered into with the Netherlands Government.

Arrivals of “assisted" Dutch immigrants were 55 males in 1950–51,937 males and 163 females in 1951–52, 2,108 males and 601 females in 1952–53, and 495 males and 193 females in 1953–54.

The number of assisted immigrants (exclusive of displaced persons) arriving in New Zealand since the reintroduction of the scheme in 1947 was as follows.

Year ending 31 MarchNumber
1947158
19481,140
19491,527
19502,532
19512,928
19524,949
19537,581
19546,299

In the preceding migration tables assisted immigrants are included in the totals of “Immigrants intending permanent residence”.

Displaced Persons.—Commencing with the year 1949–50 the Government agreed to accept drafts of displaced persons from Europe, who were brought to New Zealand in shipping provided by the International Refugee Organization. These settlers were chosen by a New Zealand Selection Mission, and arrivals totalled 941 in 1949–50, 978 in 1950–51, and 2,663 in 1951–52, made up of young single men and women, widows with one child, family groups, orphans, and a number of elderly people. This scheme was brought to an end with the arrival in April 1952 of the final two displaced persons accepted by the Government.

PASSPORTS.—Authority for the issue of passports in New Zealand and by New Zealand representatives overseas is contained in the Passports Act. 1946 and the Passport Regulations 1946.

New Zealand passports are issued by the Department of Internal Affairs at Wellington and Auckland. United Kingdom, Canadian, and Australian passports are issued by the respective High Commissioners for those countries. The representatives of New Zealand at London, Washington, New York, San Francisco, Ottawa, Canberra, Paris, The Hague, Bombay, and Tokyo are authorized to issue and renew New Zealand passports.

Entry into New Zealand.—Apart from British subjects arriving from Australia, no person sixteen years of age or over may land in New Zealand unless in possession of a valid passport or other travel document satisfactorily establishing nationality and identity. Exemption (which is additional to the requirements of the Immigration Restriction and Undesirable Immigrants Exclusion Acts) may be granted by the Minister of Internal Affairs. With the exception of nationals of those countries with which New Zealand has concluded agreements for the mutual abolition of visas, all aliens require a British visa.

People born in Niue and Cook Islands are British subjects and New Zealand citizens. They require to obtain formal exit permission from the Resident Commissioner if they wish to proceed to New Zealand.

Most people born in Western Samoa are New Zealand protected persons. If they wish to visit New Zealand for periods of up to three months they must obtain prior permission from the High Commissioner for Western Samoa. Those desiring to enter New Zealand for longer periods than three months are required to make prior application to the Secretary of Labour, Department of Labour, Wellington.

A British subject who is the master or a member of the crew of the vessel in which he arrives does not need to produce a passport.

Departure from New Zealand.—British subjects leaving New Zealand, with the exception of those travelling to Australia or making the round trip to New Zealand's island territories, should be in possession of a valid passport or other travel document.

IMMIGRATION RESTRICTION.—The legislation respecting the restriction of immigration into New Zealand is contained in the Immigration Restriction Act 1908 and its amendments, and the Undesirable Immigrants Exclusion Act 1919.

The Immigration Restriction Act is administered by the Department of Labour, while the Undesirable Immigrants Exclusion Act is administered by the Department of Justice.

Subject to certain exemptions, the following classes of persons are prohibited from landing in New Zealand:—

  1. Persons not of British birth and parentage, unless in possession of permits issued by the Department of Labour. (Note.—A person is not deemed to be of British birth and parentage by reason that he or his parents or either of them is a naturalized British subject or by reason that he is an aboriginal Native or the descendant of an aboriginal Native of any dominion (other than New Zealand), colony, possession, or protectorate of Her Majesty.)

  2. Idiots or insane persons.

  3. Persons suffering from contagious diseases which are loathsome or dangerous.

  4. Persons arriving in New Zealand within two years after the termination of a period of imprisonment for a serious offence.

  5. Persons who are considered by the Attorney-General to be disaffected or disloyal, or of such a character that their presence in New Zealand would be injurious to the peace, order, and good government of the country.

  6. Aliens of the age of fifteen years or over who refuse or neglect to take an oath (or make an affirmation) of obedience to the laws of New Zealand.

To obtain permits to enter New Zealand as permanent residents, application must be made by the intending immigrants themselves to the Secretary of Labour, Wellington. The application must be made in the prescribed form and must be supported by documents duly attested in the country of origin, in which country the applicant must have resided for at least twelve months prior to the date of application. Each application is considered individually on its own merits.

Provision is made in the law to permit persons covered by clause (1) above to pay temporary visits to New Zealand for the purposes of business, pleasure, or health. Temporary permits are normally restricted to some period not exceeding six months, but may be extended if the proper authorities consider that the circumstances warrant such action. A deposit may be required in respect of such temporary permit, and is returned on the departure of the visitor if the conditions of the temporary permit have been complied with. A deed to be entered into by some approved person or persons resident in New Zealand guaranteeing to pay all expenses that may be incurred by the Crown or any public body for the visitor's maintenance, relief, arrest, or detention in New Zealand or his deportation therefrom may also be required.

Provision is also made whereby, under certain conditions, students may be allowed to enter New Zealand temporarily.

Restricted Immigrants.—When persons who are lunatic, idiotic, deaf, dumb, blind, or infirm arrive in New Zealand and are likely to become a charge upon the public or upon any public or charitable institution, the master, owner, or charterer of the ship by which such persons came to New Zealand may be called on to enter into a bond of £100 for each such person, guaranteeing payment of any expenses which may be incurred for his support and maintenance by or in any such institution within a period of five years.

Declaration by Persons Arriving in New Zealand.—Every person of and over the age of fifteen years who lands in New Zealand must, unless exempted by the Minister of Immigration, make and deliver to an officer of Customs a declaration giving the following particulars: Name, age, marital status, occupation, birthplace, nationality, race, particulars of children under fifteen years of age arriving with him, residence, etc.

NATIONALITY AND NATURALIZATION.—The British Nationality and New Zealand Citizenship Act 1948, which came into force on 1 January 1949, was enacted following a conference of nationality experts of Commonwealth countries in February 1947, to discuss the basis of fresh nationality legislation. The scheme of the new legislation recommended by the Conference and accepted by Commonwealth Governments, is the “common status” of all British subjects, namely, that in each Commonwealth country all persons are recognized as British subjects who possess citizenship under the citizenship laws of any of the members of the Commonwealth. (Note.—The Act states that “British subject” and “Commonwealth citizen” have the same meaning.)

Upon the commencement of the Act, New Zealand citizenship was automatically conferred on the following classes of British subjects:—

  1. Those born in New Zealand.

  2. Those naturalized in New Zealand.

  3. Those ordinarily resident in New Zealand throughout the whole of the year 1948.

  4. Those whose fathers were British subjects born or naturalized in New Zealand.

  5. Women (being British subjects) married before the commencement of the Act to men who become citizens under the various provisions of the Act.

After the commencement of the Act, New Zealand citizenship may be acquired in the following ways:—

  1. By birth in New Zealand.

  2. By descent.

  3. By registration.

  4. By naturalization.

Citizens of other Commonwealth countries acquire New Zealand citizenship by registration. The requirement is twelve months' ordinary residence. A British woman married to a New Zealand citizen is entitled to registration without any residence qualification.

The principal conditions governing the grant of naturalization to aliens under the 1948 Act are that the applicant shall satisfy the Minister of Internal Affairs (a) that he has resided in New Zealand for a period of five years, (b) that he is of good character and has a sufficient knowledge of the English language, (c) that if his application is granted he intends to reside permanently in New Zealand, (d) that the applicant gives a year's notice of his intention to apply, and (e) that the applicant possesses a sufficient knowledge of the responsibilities and privileges of New Zealand citizenship. There is discretionary provision for the Minister to allow residence in other Commonwealth countries to be reckoned for the purposes of the first condition, but in such cases a minimum of two years' residence in New Zealand is essential.

Naturalization granted to a married man does not automatically confer New Zealand citizenship on his wife and children, if they are aliens. These dependants may apply to be registered as New Zealand citizens after the head of the family has been naturalized. An alien woman marrying a British subject does not acquire her husband's nationality on marriage, but may apply to be registered as a British subject and New Zealand citizen. Acquisition of citizenship by naturalization or registration automatically confers the status of a British subject, and the two methods of acquiring citizenship are differences in legal procedure only.

A British woman marrying an alien does not lose her nationality under the present Act.

The complete numbers of naturalizations, registrations, etc., during the year ended 31 March 1954 were as follows.

Country of BirthCertificates of Naturalization (Aliens and British-protected Persons)Certificates of Registration as a New Zealand Citizen (British Subjects, Irish Citizens, British-protected Persons, and Aliens)Certificates of Registration as a New Zealand Citizen—Minor Children (British Subjects and Aliens)
MalesFemalesMalesFemalesMalesFemales
United Kingdom....753965
Union of South Africa....1....1
Republic of India....1114146
Pakistan......1....
Canada....1......
Australia....72....
Cyprus......2..1
Western Samoa1....1....
Fiji......3....
Tonga1..1......
Republic of Ireland....6......
Finland1....1....
Estonia..2........
Latvia11..3....
Russia (U.S.S.R.)....121..
Poland147..9..2
Norway3..........
Sweden1..........
Denmark8....2....
Germany64..111..
Switzerland11..1....
Netherlands10....852
Belgium....1111
Italy7....1011
Czechoslovakia43..21..
Austria6214....
Hungary22..21..
Yugoslavia192..711
Greece4....3..1
Burma....321..
Indonesia4..1343
United States of America2....4....
Bolivia........11
Israel..1........
Egypt..2........
Lebanon1....1....
Turkey..11......
China9..........
Other countries3..11..2
    Totals108281111393827

Of the certificates of registration granted to adult males, 108 were to British subjects or Irish citizens who acquired New Zealand citizenship by virtue of one year's residence in the country immediately preceding the date of application, and 3 to British subjects generally resident outside New Zealand who were registered as New Zealand citizens by virtue of their close associations by way of descent, residence, or otherwise, with New Zealand.

The certificates of registration granted to adult females were 51 to British subjects who acquired New Zealand citizenship by virtue of one year's residence in the country immediately preceding the date of application, 17 to British wives of New Zealand citizens, and 71 to alien women married to New Zealand citizens by birth or naturalization.

Certificates of registration granted to minor children were 62 (35 males, 27 females) to children of New Zealand citizens, by naturalization or registration, and 3 to males who lodged applications independently.

REGISTRATION OF ALIENS.—The registration of aliens in New Zealand is provided for by the Aliens Act 1948, the administration being carried out by the Police Department. This Act repealed earlier enactments relating to aliens.

The number of aliens on the New Zealand register at 1 April 1954 was 23,148, comprising 15,304 males and 7,844 females. This is not the complete number in New Zealand, as certain classes are not required to register, including the following: (a) children under sixteen years of age; (b) persons holding diplomatic status, Consuls, or employees of Embassies, Legations, and Consulates who are resident in New Zealand solely for the purpose of performing official duties; (c) certain temporary visitors to New Zealand; (d) Western Samoans, except in special circumstances. Under the British Nationality and New Zealand Citizenship Act 1948 a citizen of the Republic of Ireland, though not possessing the status of British subject (or, in alternative phraseology, Commonwealth citizen), is nevertheless not classed as an alien and is not required to register.

The following table shows the numbers on the register at 1 April 1953 and 1 April 1954.

Country of Nationality1 April 19531 April 1954
MalesFemalesTotalsMalesFemalesTotals
Norway1343917312243165
Sweden84331178033113
Denmark364188552365197562
Finland271744352661
Russia (U.S.S.R.)1288921713087217
Estonia7410317772105177
Latvia232247479233248481
Lithuania84891738689175
Poland9967031,6991,0036991,702
Germany184203387152203355
Netherlands6,5742,6049,1787,2273,27710,504
Belgium35944331144
France73741477686162
Portugal5101551015
Switzerland282294406302140442
Italy225168393239167406
Czechoslovakia251117368248112360
Austria1355218720350253
Hungary178111289165115280
Yugoslavia7443271,0717123331,045
Albania3113231132
Rumania492877472774
Bulgaria1401215214111152
Greece6014231,0246064311,037
Lebanon181331201333
China2,3738423,2152,2719323,203
United States of America548238786536267803
Other countries652994573188
Stateless98101199107100207
    Totals14,7326,99421,72615,3047,84423,148

The number of aliens on the register as at 1 April 1954 shows an increase of 1,422 as compared with twelve months earlier. The only country which contributed a substantial increase in the number of aliens at 1 April 1954, as compared with twelve months earlier, was Netherlands, the increase being 1,326. Other countries showing increases of note were Austria, 66 and Switzerland, 36.

Decreases were shown by several countries, the largest being Yugoslavia, 26.

The age distribution and occupations of aliens on the register at 1 April 1952 will be found on page 31 of the 1953 issue of the Year-Book.

DISTRIBUTION OF POPULATION.—Detailed population statistics are compiled for each census and these are published in Vol. I—Increase and Location of Population. In the 1951 issue will be found figures for provincial districts, land districts, urban areas, counties, cities, boroughs, town districts, extra-county islands, and shipping. In addition, county figures are subdivided further into (a) ridings, and (b) townships, localities, etc.

North and South Islands.—In 1858 the North Island had a larger population than the South, but this position was reversed at the succeeding enumeration and the South Island had the larger population (exclusive of Maoris) at each census from 1861 to 1896. In 1901 the North Island was found to have slightly the larger total and since then has steadily increased its lead.

The following table gives the population of the North and South Islands as disclosed by each census since 1901.

Census YearPopulation (Excluding Maoris)Proportions Per Cent
North IslandSouth IslandTotalsNorth IslandSouth Island

* Includes Maori half-castes (total, 4,236) living as Europeans.

1901388,626381,678770,30450.4549.55
1906474,605411,390885,99553.5746.43
1911561,281444,3041,005,58555.8244.18
1916648,439447,7891,096,22859.1540.85
1921741,255*477,658*1,218,913*60.8139.19
1926831,813512,6561,344,46961.8738.13
1936938,939552,5451,491,48462.9537.05
19451,050,984552,5701,603,55465.5434.46
19511,202,357621,4391,823,79665.9334.07

The natural increase of European population (i.e., excess of births over deaths) for the North Island during the 1945–51 intercensal period was 103,954, and the total net increase 151,373. For the South Island the natural increase was 48,806, and the total net increase 68,869. It is clear that in the strict sense of the term there was no “northward drift” of population in this period. Inclusive of Maoris, the North Island increase was 167,577, or 14.62 per cent, and the South Island increase 69,597, or 12.52 per cent. In contrast to preceding periods the South Island rate of increase approaches fairly closely that of the North Island.

At the 1951 census the North Island population was 1,313,869, inclusive of 111,512 Maoris; and the South Island population 625,603, inclusive of 4,164 Maoris.

At 31 March 1954 the North Island population was estimated as 1,428,976, inclusive of 123,070 Maoris; and the South Island population as 658,764, inclusive of 4,314 Maoris.

Provincial Districts.—The approximate areas and the estimated populations, inclusive of Maoris, of the various provincial districts are given in the next table.

For the guidance of overseas readers it is necessary to explain that there have been no provinces in New Zealand since 1875. Provincial districts are simply the former provinces, but they have no functions and are now merely historic divisions serving as useful units for a primary geographical break-down. There is no Southland Provincial District and the “Southland portion of Otago” has little resemblance in area to the former Southland Province.

Provincial DistrictArea (Square Miles)Estimated Population 1 April 1954
Auckland25,420817,276
Hawke's Bay4,26098,000
Taranaki3,75092,100
Wellington10,870421,600
Marlborough4,22024,700
Nelson10,87071,400
Westland4,88018,800
Canterbury13,940295,964
Otago—  
  Otago portion14,050167,100
  Southland portion11,48080,800
New Zealand103,7402,087,740

The foregoing table illustrates the wide disparities in the size of the provincial districts, whether measured by area or by population.

Urban and Rural Population.—On 17 April 1951 somewhat over two-fifths (43–7 per cent) of the population of New Zealand (excluding Maoris) were included in the five principal urban areas—Auckland, Hutt, Wellington, Christchurch, and Dunedin—and over one-half (54–4 per cent) in these or in the ten secondary urban areas. In the following table urban population means the population in cities and boroughs, while rural population covers counties, all town districts, and extra-county islands. It will be observed that there was a marked slackening in the rate of the urban drift between 1926 and 1936, but the 1945 figures, due, no doubt, to wartime influences, disclosed a substantial increase in the urban population, whereas the rural population, for the first time, recorded a decrease. In the 1945–51 period a substantial gain was recorded in the rural population, but it was insufficient to prevent further deterioration of its ratio to total population.

CensusPopulationPercentage of Total
RuralUrbanMigratoryRuralUrbanMigratory

* Figures exclude military and internment camps.

† Figures include Armed Services in New Zealand at census date and internment camps, but exclude members of the United States Forces present in New Zealand and also enemy prisoners of war.

‡ Inclusive of Maori half-castes (3,221 in 1916 and 4,236 in 1921) living as Europeans.

Excluding Maoris—      
  1901416,701349,8423,76154.0945.420.49
  1906457,297424,2514,44751.6147.890.50
  1911495,577505,0035,00549.2850.220.50
  1916*501,956585,3063,46346.0253.660.32
  1921531,694681,9885,23143.6255.950.43
  1926552,344785,0407,08541.0858.390.53
  1936602,519884,2934,67240.4059.290.31
  1945591,8551,008,5343,16536.9162.890.20
  1951654,9211,163,0905,78535.9163.770.32
Including Maoris—      
  1926610,446790,5557,13843.3556.140.51
  1936677,087892,0244,69943.0256.680.30
  1945674,8211,024,2923,18539.6460.170.19
  1951748,9221,184,6725,87838.6261.080.30

Another conception of urban and rural population is presented in the next table. For this purpose urban population has been taken as that enumerated in cities, boroughs, or town districts with a minimum population of 1,000. Migratory population is excluded.

Including MaorisExcluding Maoris
1926195119261951
Numbers
Urban: towns of—    
1,000– 2,500104,36088,532102,20186,560
2,500– 5,00086,408123,59685,430114,757
5,000– 10,00082,662107,25182,144115,666
10,000– 25,000186,545251,812185,580236,930
25,000 or over338,213625,666337,221617,921
      Totals, urban798,1881,196,857792,5761,171,834
Rural602,813736,737544,808646,177
      Totals, New Zealand1,401,0011,933,5941,337,3841,818,011
Percentages
Urban: towns of—    
1,000– 2,5007.454.587.644.76
2,500– 5,0006.176.396.396.31
5,000– 10,0005.905.556.146.36
10,000– 25,00013.3113.0213.8813.03
25,000 or over24.1432.3625.2133.99
      Totals, urban56.9761.9059.2664.45
Rural43.0338.1040.7435.55
      Totals, New Zealand100.00100.00100.00100.00

Some apparent anomalies where the numbers exclusive of Maoris exceed those inclusive of Maoris arise from the transfer of towns to other categories as a result of the different basis of population.

An important characteristic of the distribution of urban population in New Zealand is what may be termed its decentralization. In place of one great metropolis containing a huge proportion of the population, the more highly urbanized portion of the community is localized in four widely separated centres. These four centres (counting Wellington and Hutt as a single conurbation) have always existed more or less on the same plane, a fact which has played no small part in the development of the country. An interesting feature is the wide gap which has long existed between the four major centres and the next largest towns.

Urban and rural communities are not evenly distributed. The South Island, for example, contains proportionately more rural population than does the North Island.

RECENT MOVEMENTS IN TOWNS AND COUNTIES: Urban Areas.—These are statistical conceptions and not administrative units. Their purpose is to provide definite, stable, and comparable boundaries for the larger centres of population. In addition to the central city or borough, they include neighbouring boroughs, town districts, and parts of counties which are regarded as suburban to the centre of population.

Urban areas were formed in 1917 and, except for two additions and one deletion, remained unaltered until 1951, when a revision of boundaries was made and the new areas used in the 1951 census. From census records and maps revised population figures were prepared on the basis of the new boundaries. In the case of European population the figures were revised for each census back to 1911, and on the basis of population including Maoris the revision was possible back to the 1926 census. The most significant change resulting from this revision was the division of the former Wellington Urban Area, plus additional areas to the north, into the two adjacent urban areas of Hutt and Wellington. The two areas in a sense form a single conurbation, and for some purposes it may still be convenient to use a combined figure. However, the extent and pattern of development in the Hutt Valley have been such as to establish it as a centre complementary to Wellington but no longer suburban to it. In Auckland the boundaries were extended considerably, but in most other cases it was found that little change was necessary.

Urban AreaPopulation (Including Maoris)Population Increase 1945–51
1926193619451951NumericalPercentage
Auckland204,549226,366286,767329,12342,35614.77
Hamilton17,27120,09627,31933,1375,81821.30
Gisborne15,08915,87816,99519,7742,77916.35
Napier18,59419,17020,74124,5383,79718.31
Hastings14,61217,92020,30623,7973,49117.19
New Plymouth16,34418,59721,05724,9233,86618.36
Wanganui26,52125,75026,26229,7173,45513.16
Palmerston North20,10724,37227,82032,9085,08818.29
Hutt25,32737,29555,78674,87819,09234.22
Wellington103,687122,062132,305133,4141,1090.84
Nelson11,74613,49316,52320,4973,97424.05
Christchurch118,708133,515151,068174,22123,15315.33
Timaru16,95918,77119,67222,8513,17916.16
Dunedin88,86285,60787,58795,4577,8708.99
Invercargill22,05425,91227,75531,6133,85813.90
    Totals720,430804,804937,9631,070,848132,88514.17

In the quarter-century covered by the table all urban areas, with two exceptions, have consistently recorded increases in population. Of these exceptions, one comprised a slight recession at Wanganui, 1926–36. The other was Dunedin, 1926–36, but there the recession arose from the inflation of the 1926 population by visitors to the exhibition then being held at Dunedin. In numbers, growth during the twenty-five years is led by Auckland; in rate, Hutt and Hamilton are outstanding.

The Wellington Urban Area increase of 0.84 per cent between 1945–51 is partly explained by the substantial growth in the adjacent Hutt Urban Area. However, the increase for the two urban areas combined is 10.74, a rate exceeded by all urban areas except Dunedin.

Of particular interest is the marked increase in the Maori population in urban areas during the last twenty-five years. In Auckland the number of Maoris increased from 1,209 in 1926 to 7,621 in 1951. In the fifteen urban areas there were 3,457 Maoris in 1926, as compared with 16,010 in 1951.

The next table contains the population (Maoris included) of the fifteen urban areas as estimated for 1 April 1954. The component parts of the five largest centres of population are given in detail, while for the remaining ten areas totals only are quoted. In most of the ten cases the urban area comprises the central city or borough plus the urban portion of the adjoining county. At 1 April 1954 the five largest urban areas had a total population of 870,700, this being equivalent to 41.71 per cent of the New Zealand total. The total for urban areas at the same date was 1,158,400, or 55.49 per cent of the total population of New Zealand.

Urban AreaPopulation (Including Maoris)
Auckland 
Auckland City134,500
  East Coast Bays Borough7,800
  Birkenhead Borough5,270
  Northcote Borough3,550
  Takapuna Borough17,250
  Devonport Borough12,000
  Henderson Borough2,390
  Glen Eden Borough3,220
  New Lynn Borough7,120
  Mount Albert Borough26,700
  Mount Eden Borough19,450
  Mount Wellington Borough9,490
  Newmarket Borough2,580
  Ellerslie Borough4,060
  One Tree Hill Borough13,000
  Mount Roskill Borough23,300
  Howick Borough2,830
  Onehunga Borough17,750
  Otahuhu Borough8,580
  Papatoetoe Borough9,880
  Manurewa Borough3,780
  Papakura Borough4,190
  Panmure Township Road District750
  Remainder of urban area22,160
    Total361,600
Hutt 
Lower Hutt City47,800
  Upper Hutt Borough10,200
  Petone Borough10,600
  Eastbourne Borough2,790
  Remainder of urban area11,510
    Total82,900
Wellington 
Wellington City127,700
  Tawa Flat Borough3,350
  Remainder of urban area9,350
    Total140,400
Christchurch 
Christchurch City141,000
  Riccarton Borough8,480
  Lyttelton Borough3,660
  Heathcote County4,700
  Remainder of urban area28,660
    Total186,500
Dunedin 
Dunedin City71,900
  Port Chalmers Borough3,130
  West Harbour Borough2,050
  St. Kilda Borough7,440
  Green Island Borough3,960
  Mosgiel Borough3,470
  Remainder of urban area7,350
    Total99,300
Hamilton36,800
Gisborne21,900
Napier26,900
Hastings26,100
New Plymouth27,300
Wanganui32,000
Palmerston North36,400
Nelson22,200
Timaru24,700
Invercargill33,400

Counties.—The following table gives the estimated population (including Maoris) of individual counties at 1 April 1954, together with the approximate area of each. It should be noted that “Administrative Counties” do not include boroughs or town districts independent of county control, but include town districts which form parts of counties.

Administrative CountyPopulation (Including Maoris)Approximate Area, in Square Miles
North Island—  
  Mangonui7,850958
  Whangaroa2,480240
  Hokianga7,990613
  Bay of Islands11,890823
  Whangarei14,6001,044
  Hobson6,530745
  Otamatea6,460421
  Rodney5,980477
  Waitemata23,400600
  Eden1,8101
  Great Barrier Island280110
  Manukau17,850240
  Franklin17,310550
  Raglan11,400930
  Waikato15,090644
  Waipa15,270444
  Otorohanga6,370600
  Kawhia1,980325
  Waitomo7,9101,138
  Taumarunui3,750878
  Coromandel2,740444
  Thames3,130414
  Hauraki Plains5,390233
  Ohinemuri4,360241
  Piako11,900444
  Matamata16,200994
  Tauranga16,200717
  Rotorua11,4501,040
  Taupo9,4003,040
  Whakatane13,4501,682
  Opotiki5,1301,326
  Matakaoa1,990295
  Waiapu6,260793
  Uawa1,710261
  Waikohu3,5501,018
  Cook8,250832
  Wairoa8,0401,371
  Hawke's Bay17,8001,671
  Waipawa3,760524
  Waipukurau1,130128
  Patangata3,170651
  Dannevirke4,410428
  Woodville1,840156
  Weber330118
  Ohura1,900423
  Whangamomona780447
  Clifton2,680443
  Taranaki7,980229
  Inglewood3,330199
  Egmont5,040239
  Stratford5,310419
  Eltham3,710207
  Waimate West2,87083
  Hawera 191
  Patea3,880591
  Kaitieke3,720550
  Waimarino2,270829
  Waitotara3,650468
  Wanganui3,910460
  Rangitikei12,5501,729
  Kiwitea2,380359
  Pohangina1,350259
  Oroua4,170190
  Manawatu6,730265
  Kairanga5,750184
  Horowhenua9,300544
  Hutt21,100450
  Makara7,56099
  Pahiatua2,770286
  Akitio1,250321
  Castlepoint620230
  Eketahuna1,830311
  Mauriceville550115
  Masterton3,350586
  Wairarapa South3,110440
  Featherston4,070952
    Totals493,63043,700
South Island—  
  Sounds950507
  Marlborough8,3801,896
  Awatere1,6001,030
  Kaikoura3,210906
  Amuri2,6702,285
  Cheviot1,370327
  Waimea16,3501,537
  Takaka2,620458
  Collingwood1,020552
  Buller4,8201,885
  Murchison1,4601,372
  Inangahua3,480942
  Grey5,2801,579
  Westland4,6604,410
  Waipara2,510937
  Kowai1,970157
  Ashley670309
  Rangiora3,47096
  Eyre1,730175
  Oxford1,600318
  Tawera740941
  Malvern3,460250
  Paparua10,450136
  Waimairi20,70043
  Heathcote4,70013
  Halswell2,85040
  Mount Herbert59066
  Akaroa1,520169
  Chatham Islands480372
  Wairewa910170
  Springs2,22091
  Ellesmere2,880231
  Selwyn1,620954
  Ashburton10,5002,459
  Geraldine5,200691
  Levels5,060263
  Mackenzie3,1902,739
  Waimate6,1001,383
  Waitaki9,2702,391
  Waihemo1,180338
  Waikouaiti3,600316
  Peninsula4,09040
  Taieri6,880902
  Bruce3,860520
  Clutha5,9801,025
  Tuapeka7,9301,388
  Maniatoto2,6801,340
  Vincent4,2902,922
  Lake1,7403,871
  Southland25,8203,723
  Wallace9,3203,727
  Fiord203,035
  Stewart Island560670
    Totals240,21058,897
      Grand totals733,840102,597

During the year ended 1 April 1954 nine counties are estimated to have gained population to the extent of 500 persons or more. However, during the year several large boundary changes between boroughs and surrounding counties must be considered as abnormally affecting increases or decreases of certain counties. For instance, the population of Waimairi County decreased by 8,500 (due to transfer of area to Christchurch City) and that of Waitemata by 8,100 (due to constitution of East Coast Bays Borough). Other decreases of over 1,000 as a result of boundary changes were shown by Heathcote County 2,960, and Waitaki County 1,230.

With the constitution of Kawerau Borough, Whakatane County showed a drop of 500. The rapid expansion of population in this county owing to the paper and pulp project was responsible for the relatively small decrease considering a new borough had been formed from a portion of the county.

Four other counties—namely, Bay of Islands 400, Mackenzie 300, Waimarino 230, and Buller 100—registered decreases.

Of the nine counties showing increases, Makara County headed the list with an increase of 1,290. This was chiefly attributable to the development of the State housing area at Titahi Bay. Matamata County then followed with an increase of 1,200. A major factor in this increase was the development of the forest industry, particularly at Tokoroa, a township built to house the employees of the timber mills at Kinleith, 4½ miles away. Next in order was Hutt County with a population increase of 1,000.

Other counties with increases of over 500 were Rotorua 850, Ohinemuri 820, Manukau 650, Levels 650, Rangitikei 600, and Paparua 590.

The increase in Ohinemuri County was caused by the transfer of the Waihi Beach portion of Waihi Borough to the county, while Levels County increased as a result of Pleasant Point Town District being merged into the county.

Boroughs.—Similar information as in the case of counties is now given for boroughs.

BoroughPopulation (Including Maoris)Approximate Area, in Acres
North Island—  
  Kaitaia2,0401,310
  Kaikohe1,8301,342
  Whangarei13,2503,507
  Dargaville3,0202,800
  Helensville1,2301,315
  East Coast Bays7,8003,850
  Birkenhead5,2703,084
  Northcote3,5501,190
  Takapuna17,2503,280
  Devonport12,0001,100
  Henderson2,3901,265
  Glen Eden3,2201,244
  New Lynn7,1201,393
  Auckland (City)134,50018,253
  Mount Albert26,7002,430
  Mount Eden19,4501,476
  Mount Wellington9,4903,770
  Newmarket2,580182
  Ellerslie4,060745
  One Tree Hill13,0002,430
  Mount Roskill23,3004,605
  Howick2,8301,103
  Onehunga17,7501,876
  Otahuhu8,5801,345
  Papatoetoe9,8801,587
  Manurewa3,7801,545
  Papakura4,1902,010
  Pukekohe4,2203,470
  Huntly4,0101,678
  Ngaruawahia2,3801,112
  Hamilton (City)33,3006,145
  Cambridge3,3001,280
  Te Awamutu4,3601,162
  Otorohanga1,710560
  Te Kuiti3,5401,668
  Taumarunui3,3401,925
  Thames4,8902,712
  Paeroa2,7301,419
  Waihi2,9501,330
  Te Aroha2,8002,783
  Morrinsville3,140950
  Matamata2,630934
  Putaruru2,320975
  Mount Maunganui2,8403,475
  Tauranga9,3602,748
  Te Puke1,6901,047
  Rotorua11,7003,611
  Taupo1,8702,290
  Whakatane4,5901,539
  Kawerau1,5601,330
  Opotiki2,120772
  Gisborne19,2503,378
  Wairoa3,6201,603
  Napier (City)21,8003,007
  Hastings19,1502,612
  Taradale2,7701,000
  Havelock North2,3801,165
  Waipawa1,5001,710
  Waipukurau2,650971
  Dannevirke4,9801,300
  Woodville1,3001,054
  Waitara3,4401,587
  New Plymouth (City)24,0004,132
  Inglewood1,610703
  Opunake1,170676
  Stratford4,8902,016
  Eltham2,0501,599
  Hawera5,700897
  Patea1,8101,420
  Ohakune1,6802,079
  Raetihi1,200958
  Wanganui (City)29,5005,731
  Taihape2,3801,923
  Marton3,8401,415
  Feilding6,4902,031
  Foxton2,400757
  Palmerston N. (City)34,2006,943
  Shannon1,130844
  Levin5,6901,332
  Otaki2,9001,390
  Upper Hutt10,2002,165
  Lower Hutt (City)47,8007,688
  Petone10,6001,132
  Eastbourne2,7901,546
  Wellington (City)127,70017,798
  Tawa Flat3,350799
  Pahiatua2,250720
  Eketahuna740948
  Masterton12,6503,116
  Carterton2,3901,265
  Greytown1,3701,927
  Featherston1,170759
  Martinborough9901,070
        Totals916,890214,118
South Island—  
  Picton2,0501,052
  Blenheim8,7901,945
  Nelson (City)18,2505,550
  Richmond2,3602,600
  Motueka2,8802,523
  Westport5,750760
  Runanga1,8401,186
  Greymouth9,1902,594
  Brunner1,1805,700
  Kumara490842
  Hokitika3,110674
  Ross4703,800
  Rangiora3,020877
  Kaiapoi2,490786
  Riccarton8,480728
  Christchurch (City)141,00024,737
  Lyttelton3,6602,560
  Akaroa590233
  Ashburton8,7801,860
  Geraldine1,630745
  Temuka2,340795
  Timaru (City)23,1003,524
  Waimate3,160771
  Oamaru9,9001,755
  Hampden280630
  Palmerston940900
  Waikouaiti6201,958
  Port Chalmers3,130714
  West Harbour2,0502,181
  Dunedin (City)71,9003,536
  St. Kilda7,440462
  Green Island3,960878
  Mosgiel3,470965
  Milton1,810315
  Kaitangata1,2501,280
  Balclutha2,7301,000
  Tapanui450129
  Lawrence700615
  Roxburgh840515
  Naseby220112
  Alexandra1,570815
  Cromwell870972
  Arrowtown200457
  Queenstown1,100998
  Gore6,3202,276
  Mataura1,7701,272
  Winton1,170505
  Invercargill (City)28,4006,571
  South Invercargill1,2702,204
  Bluff2,3102,111
  Riverton1,230989
        Totals412,510113,957
        Grand totals1,329,400328,075

During the year 1953–54 it was estimated that Christchurch City, with a gain of 14,400 persons, had the highest numerical increase in population of all cities and boroughs. This large increase was mainly owing to the transfer to the city of nine areas of Waimairi County with a population of 9,000, and five areas of Heathcote County with a population of 3,000. Thus with an estimated population of 141,000 Christchurch becomes the largest city in New Zealand, exceeding Auckland by 6,500.

Auckland City increased by 3,100 for the same period, then followed Takapuna Borough with an increase of 2,500, chiefly owing to the inclusion in the borough of a portion of Waitemata County. Another borough largely affected by boundary changes was Oamaru with an increase of 1,450, the majority of this increase being gained from the transfer of part of Waitaki County to the borough Seven other cities or boroughs each gained 1,000 or more.

A large population decrease of 770 was shown by Waihi Borough, principally owing to the transfer of the Waihi Beach portion of the Borough into Ohinemuri County.

Devonport 150, Petone 150, South Invercargill 60, and Newmarket 50 were the only other boroughs to show decreases of fifty or more.

During 1953–54 several boroughs were newly created or constituted. Most important of these was the constitution of East Coast Bays Borough, with an estimated population of 7,800, from Waitemata County. Although much smaller in size, of similar importance was the constitution of Kawerau Borough with a population of 1,560 from Whakatane County. The development of the pulp and paper project in Whakatane County will centre on this borough, whose future growth will be bound up in the progress of this scheme.

New boroughs created from existing town districts were those of Tawa Flat, Taradale, Taupo, and Otorohanga.

Town Districts.—As stated earlier, the population of independent town districts—i.e., those contained in section (a) of the following table—is not included with that of the county in which the town district is located, but the population of dependent town districts—section (b)—is included in that of the respective parent county.

Town DistrictPopulation (Including Maoris)Approximate Area, in Acres

* Parent county shown in parentheses.

(a) Town Districts Not Forming Parts of Counties
North Island—  
  Kawakawa680280
  Hikurangi940960
  Kamo880852
  Warkworth7901,420
  Waiuku1,2701,275
  Tuakau1,2001,265
  Leamington1,0601,330
  Manunui8401,251
  Ohura560815
  Manaia680510
  Waverley820484
  Mangaweka380955
  Hunterville530791
  Bulls720677
    Totals11,35012,865
South Island—  
  Takaka620585
  Leeston770391
  Tinwald9001,525
  Wyndham590680
  Lumsden5101,264
  Nightcaps610285
  Otautau740954
        Totals4,7405,684
      Grand totals16,09018,549
(b) Town Districts Forming Parts of Counties*
North Island—  
  Kohukohu (Hokianga)2301,020
  Rawene (Hokianga)500280
  Russell (Bay of Islands)6401,066
  Onerahi (Whangarei)1,100990
  Mercer (Franklin)3101,000
  Te Kauwhata (Waikato)6901,290
  Ohaupo (Waipa)3101,281
  Kihikihi (Waipa)510523
  Te Karaka (Waikohu)410700
  Patutahi (Cook)2201,275
  Kaponga (Eltham)450558
  Normanby (Hawera)410260
    Totals5,78010,243
South Island—  
  Havelock (Marlborough)290210
  Southbridge (Ellesmere)390531
  Outram (Taieri)360886
  Edendale (Southland)520696
    Totals1,5602,323
      Grand totals7,34012,566

Extra-county Islands and Migratory Population.—In addition to the populations quoted for administrative counties, cities and boroughs, and independent town districts, the New Zealand totals include migratory population and persons located on islands not within the boundaries of any county. The two latter categories comprised an estimated total of 8,410 people at 1 April 1954.

Of the islands concerned, Waiheke, estimated at 2,020 for 1 April 1954, was the only one with a population of any size.

AGE DISTRIBUTION.—The following table shows the estimated age distribution of the population at 31 December 1953 and of the mean population for the year 1953. The figures are based on the 1951 census data and brought up to date from statistics of births, ages of persons dying, and ages of persons arriving in or departing from New Zealand.

Age, in YearsEstimated Numbers. Excluding MaorisEstimated Numbers. Maoris
MalesFemalesTotalMalesFemalesTotal
Age Distribution at 31 December 1953
Under 5113,196107,999221,19512,19211,45923,651
5 and under 10101,70097,700199,4009,5209,13018,650
10 and under 1580,60077,200157,8008,3607,99016,350
15 and under 2063,80061,900125,7007,0906,98014,000
20 and under 2566,20062,900129,1005,480511,080
25 and under 3074,20068,900143,1004,5204,0009,120
30 and under 3570,90070,400141,3003,6203,6307,250
35 and under 4066,20067,500133,7002,9303,0706,000
40 and under 4566,60065,200131,8002,9502,6705,620
45 and under 5059,90057,400117,3002,2301,8504,080
50 and under 5551,70050,100101,8001,8001,5603,360
55 and under 6040,50044,00084,5001,2609602,220
60 and under 6536,10040,10076,2009907901,780
65 and under 7033,10036,60069,7007206201,340
70 and under 7526,50029,40055,900440390830
75 and under 8016,50018,91035,410240190430
30 and over10,94013,79024,730165220385
      Totals, adults (21 and over)606,840613,3001,220,14026,12524,98051,105
      Totals, minors (under 21)371,796356,699728,49538,38236,65975,041
      Grand totals, all ages978,636969,9991,948,63564,50761,639126,146
Age Distribution of Mean Population, Year 1953
Under 5112,451107,259219,71011,94311,24323,186
5 and under 1098,30094,300192,6009,3208,95018,270
10 and under 1578,90075,900154,8008,3007,95016,250
15 and under 2063,00061,000124,0006,9306,75013,680
20 and under 2566,40063,000129,4005,4305,53010,960
25 and under 3073,50068,600142,1004,4604,5108,970
30 and under 3569,70069,600139,3003,5203,5507,070
35 and under 4066,10067,200133,3002,9503,0706,020
40 and under 4565,90064,300130,2002,9102,6005,510
45 and under 5059,10056,500115,6002,2001,8304,030
50 and under 5550,80049,600100,4001,7701,5103,280
55 and under 6040,00043,50083,5001,2409502,190
60 and under 6536,20040,00076,2009807901,770
65 and under 7033,20036,40069,6007306101,340
70 and under 7526,30029,10055,400435380815
75 and under 8016,14018,36034,500240180420
80 and over10,66013,41024,070160225385
      Totals, adults (21 and over)611,500607,5701,209,07025,82524,57550,400
      Totals, minors (under 21)365,151350,459715,61037,69336,05373,746
      Grand totals, all ages966,651958,0291,924,68063,51860,628124,146

NOTE.—The age stated is the age last birthday.

DENSITY OF POPULATION.—The relation of population to area, which is commonly referred to as “density of population,” is a subject of much interest and a source of serious misconceptions. Generally speaking, a dense population must depend upon land-utilization or industrialization. In New Zealand there is a great area of high mountainous country, particularly in the South Island, while there are also large areas of water or of broken, swampy, or hilly country which is either incapable of effective use or which can be used profitably only for pastoral purposes, afforestation, or the like. No exact figures for the whole country are available, but it is known that only a moderate fraction of the total area of New Zealand is potentially arable.

There are no large areas of good land still to be brought into occupation, and most of the land remaining will require special methods or heavier capital expenditure to bring into use. Ultimately many such areas will be developed, and, in addition, improved methods and facilities will no doubt increase production from the land, but it seems unlikely that exceptional development may be expected in the near future.

While industrial development has made very marked growth in New Zealand over the years, and extensive further development appears certain, there are factors unfavourable to the growth of industry to a point where dense populations could be supported—not the least of which are weakness in mineral resources, relative smallness of the home market (even with an expanded population), and distance from export markets.

Within New Zealand there are wide variations in density of population. The North Island, with an area of 44,294 square miles, had a population density of 29.66 persons per square mile at the 1951 census date, and the South Island, with an area of 59,442 square miles, had a population density of 10.52 persons per square mile at the same date.

The following table provides comparative density figures on a provincial district basis.

Provincial DistrictArea, in Square MilesPersons Per Square Mile
19011911192119361951
Auckland25,4208.0611.7516.0021.5229.31
Hawke's Bay4,2609.3012.4614.9418.0721.41
Taranaki3,75010.7914.4417.4020.7123.17
Wellington10,87013.4618.8023.4329.1135.94
Marlborough4,2203.263.904.334.545.42
Nelson10,8703.504.484.395.476.23
Westland4,8802.983.242.923.833.72
Canterbury13,94010.3412.5214.3416.8120.09
Otago—      
  Otago portion14,0508.959.469.7610.7611.33
  Southland portion11,4804.185.175.446.356.76
    Totals103,7407.8610.2012.2615.1718.70

MAORI POPULATION.—The first official general census of Maoris was taken in 1857–58, and others occurred in regular sequence from 1874 onwards. Owing to inherent difficulties the earlier census records make no pretence towards complete accuracy.

According to census records the Maori population suffered a period of almost unbroken decline from 1858 to 1896. The following causes no doubt contributed to this decline—internecine Warfare of the tribes and the heavier casualties which resulted from the introduction of firearms; the susceptibility of the Maori to epidemic and other diseases introduced with the white race; and the mental outlook of the Maori under the new conditions.

During the last fifty years, however, the Maori population has increased continuously, at first steadily and of later years at a fairly rapid rate. In fact, the vitality exhibited by the Maori race in recent years is a most outstanding feature. The rate of natural increase of the Maori population is about double that of the European.

A statement of Maori population is now given for each census from 1901 to 1951.

YearMaori Population.Intercensal IncreaseIntercensal IncreaseAverage Annual Increase

* Includes members of Armed Forces overseas at census date.

  NumberPer CentPer Cent
190145,5493,4368.21.6
190650,3094,76010.52.0
191152,7232,4144.81.0
191652,9972740.50.1
192156,9873,9907.51.6
192663,6706,68311.72.2
193682,32618,65629.32.6
194598,74416,41819.91.9
1945*100,04417,71821.52.1
1951115,67616,93217.12.9
1951 *115,74015,69615.72.7

The average annual percentage increase from 1945 to 1951 was 2.89, which is considerably higher than the corresponding figure for the European population—viz., 2.34 per cent. Movements of troops have tended to invalidate this comparison; the natural increase ratios for the year 1953 shown below afford a better illustration.

 EuropeanMaori
Birth rate24.1244.54
Death rate8.8410.84
Natural-increase rate15.2833.70

Of the 115,676 Maoris at the 1951 census, 111,512 were in the North Island. Auckland Provincial District contains the bulk of the Maoris, particularly in the Auckland Peninsula and Poverty Bay regions. In the South Island Maoris do not attain any numerical significance. Maoris have always been residents in rural communities and this is still substantially true. A marked change is, however, taking place which probably acquired impetus during the war as a result of employment conditions. As late as the 1936 census only 8,249 Maoris (1002 per cent) dwelt in cities, boroughs, or independent town districts. By the 1951 census the comparative figure was 22,726 (19.65 per cent). The largest concentration is in Auckland Urban Area, where 7,621 Maoris were enumerated.

The records of the 1945 and 1951 censuses permit of a statement of the total numbers wholly or partly of Maori blood.

Counted in the Maori population—

 19451951
Full Maori61,44076,918
Maori-Europeans—  
  Three-quarter caste18,95615,201
  Half-caste18,34823,183
  Maori-other Polynesian..374
    Totals98,744115,676

Counted in the population other than Maori—

 19451951
Maori-European quarter-caste16,90218,421
Maori-Polynesian263..
Maori-Japanese2016
Maori-Chinese198369
Maori-Indian134220
Maori-Syrian5742
Maori-Lebanese31
Maori-American Indian28 
Maori-Negro1911
Maori-Filipino810
Maori-West Indian1113
Maori-Melanesian1033
    Totals17,65019,166

In 1951 there were recorded in New Zealand some 134,842 persons wholly or partly of Maori origin, compared with 116,394 in 1945.

STATISTICS OF THE 1951 CENSUS.—The tabulation and analysis of the population census taken for the night of 17 April 1951 is practically complete. All subject volumes (listed below) have been published, and the only remaining volume is the General Report.

  • Volume I—Increase and Location of Population.

  • Volume II—Ages and Marital Status.

  • Volume III—Religious Professions, etc.

  • Volume IV—Industries, Occupations, and Incomes.

  • Volume V—Birthplaces and Duration of Residence of Overseas Born.

  • Volume VI—Maori Census.

  • Volume VII—Dwellings and Households.

  • Appendix A—Census of Poultry.

  • Appendix B—New Zealand Life Tables, 1950–52, and Values of Annuities.

  • Interim Returns of Population and Dwellings.

Certain statistics of the 1951 Census will be found on pages 44–54 of the 1954 Year-Book.

Chapter 4. SECTION 4—VITAL STATISTICS

4 A—BIRTHS

REGISTRATION.—The law as to registration of European births is embodied in the Births and Deaths Registration Act 1951, a consolidation of the then existing legislation. The provisions generally as to registration are that a birth may be registered within two months without fee. After two months and within six months a birth is registrable only after a statutory declaration of the particulars required to be registered has been made before the Registrar by the parent or some person present at birth, and on payment of the prescribed fee. A birth may be registered after six months only upon the direction of the Registrar-General, who may authorize registration in any case within two years after the date of birth. An information for neglect to register must be laid within two years of date of birth. In cases of neglect or refusal to give the Registrar information in respect of any birth the Registrar-General may at any time within two years after the birth of the child authorize some person to give the Registrar the information required to enable him to register the birth, and to sign as informant the entry in the register, upon which the Registrar shall register the birth.

Notwithstanding the foregoing provisions, power is given by the Act for the Registrar-General to register an unregistered birth which occurred in New Zealand, irrespective of the time that may have elapsed. Satisfactory evidence on oath, and such other proof as the Registrar-General may deem necessary, are required. This provision does not, however, relieve any person from liability to prosecution for failure to register in the proper manner.

Although two months are allowed for the registration of a birth, it is compulsory to notify the birth to the Registrar within a much shorter interval. The occupier of any premises in which a child is born is to give notice to the Registrar according to the best of the knowledge and belief of the occupier of the fact of the birth, the date on which it occurred, the name and address of the mother or father of the child, and of such other particulars as the Registrar-General may require. Any such notice is to be in writing, signed by the occupier and endorsed by some other person, if any, in attendance at the confinement, and is to be delivered or posted to the Registrar within forty-eight hours after the birth if in a borough, or seven days in any other case. Births are to be registered by the Registrar whose office is nearest to the place of birth.

Particulars required to be registered are: date and place of birth; name and sex of child; names, ages, and birthplaces of parents; occupation of father; maiden name of mother; date and place of parents' marriage; and ages and sex of previous issue (distinguishing living and dead) of the marriage. The father of an ex-nuptial child is not required to give information, nor is his name entered in the register unless at the joint request of the mother and himself, or unless he subsequently marries the mother. A child born out of New Zealand but arriving before attaining the age of eighteen months may be registered within six months of arrival. The Registrar-General may authorize registration of such a child who is over eighteen months but under three years of age. Additional information required on notification of birth—but not registration—includes (a) weight of child at birth, and (b) period of gestation of mother. These particulars are required for statistical purposes.

Birth statistics are compiled from the records of the Registrar-General. The births covered by a year's statistics are those registered during the year irrespective of the year of birth. The figures do not include still-births, except in the tables on pages 60–61. A special classification of still-births is given on pages 67–68.

Registration of Maori Births.—Registration of the births of Maoris are effected with the Maori Registrars in the various districts set up for this purpose. Statistics relating to the births of Maoris are not included in this subsection, but are fully covered in Section 4D.

NUMBERS AND RATES.—The general long-term history of the birth rate in New Zealand has been downward. A reference to the diagram on page 59 and to the table on page 57, showing quinquennial average birth rates, indicates this trend very clearly. After the pioneering days of the nineteenth century, when the population consisted very largely of young immigrants faced with the raising of a family, the birth rate began to decline appreciably. A further migration wave at the turn of the century reversed the trend temporarily, but in 1909 the downward movement was again resumed. With minor fluctuations in the earlier stages and in the years influenced by the First World War this decline continued until 1936. In that year a slight upward movement began, and by 1940 some of the deficit had been made up by the gradual rise. This was accelerated during the Second World War (with minor fluctuations) until successive record high totals (as regards the numbers of births) were established in 1945–47. In 1948 a decline in births was shown with a further recession in 1949. The decreases were not large, and in 1950–52 increases were again in evidence with the 46,469 births registered in 1952 as the highest recorded in the history of New Zealand. This record was not maintained, however, and a very small decrease was shown in 1953. The numbers and rates of births (children born alive) for each of the last twenty years are given in the following table.

YearNumberRate Per 1,000 of Mean Population
193424,32216.51
193523,96516.17
193624,83716.64
193726,01417.29
193827,24917.93
193928,83318.73
194032,77121.19
194135,10022.81
194233,57421.73
194330,31119.70
194433,59921.59
194537,00723.22
194641,87125.26
194744,81626.47
194844,19325.59
194943,98824.98
195044,30924.67
195144,65124.39
195246,46924.77
195346,41424.12

Much of the movement in the birth rate during recent years has been allied to movement in the marriage rate. As may be expected, the movement in the birth rate reflects the tendency for couples to marry and have children in prosperous years rather than in years of depression.

Comparisons of birth rates over a series of years or between different countries are usually made on the basis of the “crude" rates—i.e., the number of births per 1,000 of the mean population, irrespective of sex or age.

The “crude" rates do not permit of allowance being made for variations in the proportion of women of the child-bearing ages, and it is advisable and of interest to supplement the table of “crude" rates with a computation of the legitimate birth rate per 1,000 married women of 15 and under 45 years of age, or the total birth rate per 1,000 of all women of these ages. The following table gives both rates for New Zealand for each census from 1901 to 1951 together with the “crude" rate for the year.

YearBirth Rate Per 1,000 Women 15 and Under 45 Years“Crude" Birth Rate
Legitimate*Total

* Per 1,000 married women.

1901246.2111.726.34
1906235.3114.127.08
1911211.7109.525.97
1916193.6106.725.94
1921181.699.023.38
1926166.990.921.06
1936136.672.216.64
1945166.599.823.22
1951172.8116.924.39

The legitimate rate per 1,000 married women between the ages of 15 and 45 fell steadily at each census date from 1901 to 1936, the figure registered in the latter year being equal to a decline of 44 per cent. Considerable improvement was, however, effected in 1945, with a further improvement in 1951, but the latter rate shows a fall of 42 per cent on the 1901 figure. The rate on the basis of all women between the ages of 15 and 45 did not exhibit such a large fall, the 1936 figure being 35 per cent lower, but again substantial improvement was shown in 1945 and 1951, the latter rate being equivalent to an increase of 5 per cent. The proportion of married women in the child-bearing ages is now much higher than in former years; in fact the percentage in 1901 was 43.3 as compared with 64.8 in 1951.

The “crude" birth rates have fluctuated more so than the refined rates, but the decline in 50 years has not been great, the 1951 figure being equal to a fall of 7 per cent on the 1901 rate.

A study of the figures for successive censuses reveals considerable changes in the age constitution of married women within the child-bearing ages. As the birth rate varies with age, the change in age constitution over the period is a factor which should be taken into account.

NATURAL INCREASE.—The decline of the birth rate in New Zealand has been accompanied until recent years by a decrease in the death rate. Nevertheless, the nominal rate of natural increase of population has fallen from 29.32 per 1,000 of mean population in 1880 to 15.28 in 1953. Acceptance of this figure without consideration of the effect of the changing age constitution will give an erroneous view of the present margin of increase and of the probable trend of population growth in the future.

The last eleven years have seen considerable movement in the rate of natural increase, the exceptionally low figure in 1943 being the result of a low birth rate due to war conditions. The increase in births coupled with a decrease in deaths resulted in increases each year to 1947 when the natural increase rate rose to 1708. Since then the rate declined each year to 1951 on account of decreases in the birth rate, and for the three years 1949–51 owing to increases in the death rate. An increase in the birth-rate in 1952 together with a decrease in the death rate has resulted in the highest natural increase since 1949. A further decrease in the death rate was recorded in 1953, but it was insufficient to counterbalance the decrease in the birth rate, with the result that natural increase for the year was lower than in 1952. The average annual rate of natural increase for the quinquennium 1946–50 was 1606, and it is necessary to go back to 1911–15 to find a higher average annual rate, the figure for that period being 16.76.

YearNumbersRate Per 1,000 Mean Population
BirthsDeathsNatural IncreaseBirthsDeathsNatural Increase
194330,31115,44714,86419.7010.049.66
194433,59915,36318,23621.599.8711.72
194537,00716,05120,95623.2210.0713.15
194641,87116,09325,77825.269.7115.55
194744,81615,90428,91226.479.3917.08
194844,19315,81228,38125.599.1616.43
194943,98816,01227,97624.989.0915.89
195044,30916,71527,59424.679.3115.36
195144,65117,51227,13924.399.5614.83
195246,46917,41329,05624.779.2815.49
195346,41417,00929,40524.128.8415.28

The natural increase rate provides a useful guide to population increase and a further method is that of the net reproduction index, which is based on female children born and probably surviving. Details of gross and net reproduction rates for recent years will be found in Section 3 of this issue.

The movements that have taken place since 1880 are well illustrated in the accompanying diagram, which shows the rates at annual intervals, although only every tenth year is labelled.

COMPARISON WITH OTHER COUNTRIES.—An international comparison of birth and natural increase rates is made in the following table. New Zealand's position is higher on the basis of natural increase than it is on that of the birth rate. The rates, which are the average of the five years 1949–53, are taken from the Monthly Bulletin of Statistics issued by the United Nations.

CountryRates Per 1,000 of Population
BirthsNatural Increase
Costa Rica49.237.2
Mexico44.728.4
Ceylon39.927.7
Puerto Rico37.327.7
Chile33.518.2
Israel31.524.9
Yugoslavia29.116.1
Canada27.518.6
Japan26.316.2
India25.910.9
Union of South Africa25.616.8
New Zealand24.615.4
Portugal24.512.2
United States of America24.214.6
Finland23.713.6
Australia23.113.6
Netherlands22.6150
Republic of Ireland21.68.9
Spain20.710.0
France19.76.8
Norway18.910.2
Italy18.78.8
Denmark18.29.2
Switzerland17.67.2
Sweden16.16.3
United Kingdom16.14.3
Germany (Western)16.05.5
Austria15.22.8

SEXES OF CHILDREN BORN.—With the exception of one year (1860), there has always been a preponderance of males in the number of children born in New Zealand. The proportions are usually shown by stating the number of births of male children to every 1,000 female births. This number has been as high as 1,113 (in 1859), and as low as 991 (in 1860), but little significance can be attached to any figures prior to 1870, on account of the comparatively small number of births. It is a popular idea that the proportion of male births tends to increase considerably in war years, but the experience in this country does little to bear out this theory, the average over the six years 1940–45 being 1,057, as against that of 1,050 for the preceding ten years. Figures taken out some years ago prove that the masculinity rate for first births is distinctly higher than for subsequent births. As the first-birth rate tends to rise during war years, and actually reached a very high peak during the early part of Second World War, the total masculinity rate would also be affected and would give rise to the popular idea that wars result in an increase in the proportion of male children born. The extreme range since 1870 has been from 1,016 male per 1,000 female births in 1878 to 1,081 in 1923. Rates for the last five years are given below.

YearNumber of Births ofMale Births Per 1,000 Female Births
MalesFemales
194922,73321,2551,070
195022,67721,6321,048
195123,06821,5831,069
195223,81422,6551,051
195323,82222,5921,054

MULTIPLE BIRTHS.—The number of cases of multiple births and the proportion per 1,000 of the total (living births only) during the last five years are shown in the following table.

YearTotal BirthsTotal CasesCases of TwinsCases of TripletsMultiple Cases Per 1,000 of Total Cases

* Includes one case where triplets would have been recorded had not one child been still-born.

† Includes one case of quadruplets.

194943,98843,450533*312.34
195044,30943,756540612.48
195144,65144,125510*811.74
195246,46945,893570*312.49
195346,41445,840563*512.39

Counting only cases where both children were born alive, there were 562 cases of twin births registered in 1953. There were also one case of quadruplets, four cases of triplets, and one case where one of triplets was still-born.

The total number of confinements resulting in living births was 45,840, and on the average one mother in every 81 gave birth to twins (or triplets).

When still-births are taken into account, the total number of confinements for the year 1953 is increased to 46,675, and the number of cases of multiple births to 619. On this basis the proportion of mothers giving birth to twins or triplets is increased to one in 75.

The incidence of multiple births has not varied greatly in recent years, as may be seen from the following summary.

YearCases of TwinsCases of TripletsTotal Multiple CasesRate Per 1,000 Confinements
Both Born AliveOne Born Alive, One Still-bornBoth Still-bornTotalAll Born AliveOne Born Alive, Two Still-bornTwo Born Alive, One Still-bornAll Still-bornTotal

* Includes one case of quadruplets.

19495324395843..1..458813.3
195054046125986*....1760513.6
195150940105598..1..956812.7
19525694786243..1..462813.7
19535624386135*..1..661913.3
Average of five years5424495955..1..660113.3

The proportion of multiple births has been consistently high during recent years, while the rate of 14.2 experienced in 1944 was a record figure. The number of cases of triplets recorded in 1951 was exceptional.

The likelihood of still-births occurring is much greater in cases of multiple births than in single cases. This is exemplified in the following table. The figures in respect of multiple cases include all cases where one or more of the children were still-born.

YearStill-birth Cases Per 100 of Total Cases (Including Still-births)
Single CasesMultiple Cases
19491.688.86
19501.819.75
19511.688.98
19521.708.92
19531.808.40
    Average of five years1.738.98

During the five years 1949–53 there were 2,712 cases of live twin births (including ex-nuptial), and of these in 889 instances, or 32.8 per cent, both children were males; in 852, or 31.4 per cent, both were females; and in the remaining 971, or 35.8 per cent, the children were of opposite sexes.

The four cases of triplets in 1953 comprised two of three females, one of one male and two females, and one of two males and one female. The one case of quadruplets comprised all females.

AGES OF PARENTS.—Information as to the relative ages of parents of legitimate living children whose births were registered in 1953 is shown in the following tables.

Age of Mother, in YearsAge of Father, in Years
Under 2121 and Under 2525 and Under 3030 and Under 3535 and Under 4040 and Under 4545 and Under 5050 and Under 5555 and Under 6565 and OverTotal Cases

* Including 43 legitimate cases where twins would have been registered had not one child been still-born.

† Including 1 case of quadruplets, 4 cases of triplets, and 1 case where one of triplets was still-born.

Single Births
Under 212881,3368791484210412..2,710
21 and under 25933,0455,4951,546342941492110,641
25 and under 3086676,4415,1431,60140979299314,389
30 and under 351551,0444,0362,9621,034274672949,506
35 and under 40..91005871,9381,37145315855104,681
40 and under 45....8242215093611275171,308
45 and over......261036199..82
    Totals3905,11213,96711,4867,1123,4371,22141015725*43,317
Multiple Births
Under 21199..............19
21 and under 25545631631........133
25 and under 30..376571852..1..162
30 and under 35..113674012103....146
35 and under 40....373516921..73
40 and under 45........3812....14
45 and over......................
    Totals65816414799422272 547
      Grand totals3965,17014,13111,6337,2113,4791,2434171592543,864

PREVIOUS ISSUE OF PARENTS.—Information as to the previous issue of the existing marriage, required in connection with the registration of births in New Zealand, is useful not only for record purposes, but also as providing valuable data for statistical purposes. Tables are given in the annual Report on Vital Statistics containing detailed information as to number of previous issue in conjunction with (1) age of mother and (2) duration of marriage. The table under the first heading for the year 1953 is here summarized.

Age of Mother, La YearsNumber of Previous IssueTotal Legitimate Cases
0123456 and Under 1010 and Under 1515 and Over

* This number represents 43,317 single cases and 547 multiple cases.

Under 212,0845419311..........2,729
21 and under 255,6663,4011,24936283121....10,774
25 and under 303,7245,0193,5141,52850319766....14,551
30 and under 351,4212,3662,6901,71075337332811..9,652
35 and under 405538231,11494355634337844..4,754
40 and under 451451632342081671192315411,322
45 and over461411119205282
    Totals13,59712,3198,9084,7732,0731,0531,0241143*43,864

In computing previous issue, multiple births have been given their full significance, the numbers at the head of the columns relating to children born alive. In the following table this procedure has been followed not only for the previous issue, but also for children covered by the 1953 registrations, who are also taken into account in the computation of the averages.

Age of Mother, in YearsTotal MothersTotal IssueAverage Issue
Under 212,7293,4891.28
21–2410,77418,1571.69
25–2914,55134,6002.38
30–349,65229,7203.08
35–394,75417,6493.71
40–441,3226,1154.63
45 and over824825.88
    Totals43,864110,2122.51

It should be stressed that the averages are no more than they purport to be—viz., the average number of children (including those registered in 1953) born up to the present time to those mothers of legitimate children whose births were registered during the year. They do not purport to represent, nor do they represent, the average issue of all women of the ages shown. Furthermore, they include issue born to the existing marriages only. The averages for recent years were as follows: 1949,242; 1950, 2.45; 1951, 2.46; and 1952, 2.49. In 1915, the earliest year for which reliable comparative figures are available, the average issue was 3.11. This fall in the average issue of women giving birth to children is some indication of the tendency towards smaller families. The 1943 average, for the first time since these figures were compiled, reversed the trend, and a further increase was recorded in 1944, but with the increase in the proportion of first births in the three following years the average declined. A slight improvement has been noted for each year since 1948, this being accounted for by decreases in the proportion of first births.

OCCUPATIONS OF FATHERS AND AVERAGE NUMBER OF CHILDREN.—The following table shows the average issue, in conjunction with the occupations of fathers who had children born to them during the year 1953. A similar analysis was made for the year 1938 and a summary of the results obtained for the two years are given in comparison below.

Occupation GroupAverage Number of Children*
19331953

* Relates to fathers who had children born to them during the years specified.

Fishermen and trappers2.832.93
Agricultural and pastoral occupations2.612.44
Forest occupations2.773.11
Miners and quarrymen2.612.78
Workers in stone, clay, earthenware, lime, and cement2.032.87
Workers in chemical, animal, and vegetable products2.281.88
Workers in non-precious metals, electric fittings, etc.2.082.23
Workers in precious metals, jewellery, scientific instruments, etc.1.852.12
Workers on ships, boats, and conveyances2.072.35
Workers in fibrous materials and textiles, other than clothing or dress2.312.28
Workers in clothing and dress2.012.17
Workers in harness, saddlery, and leatherware2.922.67
Workers in food, drink, and tobacco2.252.77
Workers in wood2.132.51
Workers in paper, printing, and photography1.942.17
Workers in other materials1 .702.29
Workers in building, construction, and maintenance of roads, etc.2.532.57
Workers in production or supply of gas, water, electricity, or power2.522.77
Workers in transport or communication2.362.61
Financial and commercial occupations2.032.42
Persons engaged in public administration1.992.20
Clerical and professional occupations1.942.25
Entertainment, sport, and recreation2.082.64
Personal and domestic occupations2.242.44
Other or ill-defined occupations2.852.66
Persons not actively engaged in gainful occupations4.623.77
    Totals2.412.51

The figures of average issue quoted above should not be regarded as a criterion of the average number of children in a New Zealand family, representing, as they do, only the average family to date of those parents who had children born to them during the years specified. Nevertheless, they may serve as an index for a comparison of the relative reproductivity of different occupational groups.

An analysis of the 1953 figures by individual occupations reveals some interesting variations, although the differences are somewhat small. The general average number of issue for all fathers in 1953 was 2.51, but amongst the individual occupations are found the following instances with figures higher than the general average; surfaceman, 3.60; bushman, 3.25; fisherman, 3.03; freezing worker, 3.01; engine-driver, 2.95; coal-miner, 2.71; watersider, 2.70; shopkeeper, 263; and civil servant, 2.63.

Among the low averages, on the other hand, may be found the following: manager-director, 2.49; policeman, 2.39; cabinetmaker, 2.37; solicitor, 2.22; hairdresser, 2.21; teacher, 2.15; fitter, 2.12; printer, 203; and marine engineer, 1.99. These figures, when considered in conjunction with wage-rates and other economic factors, make interesting reading. Apart from the selection of only those occupations represented by 100 cases or over, no allowance has been made for any anomalies such as variations in age-constitution of fathers as between the various occupational groups.

FIRST BIRTHS.—Of a total of 255,694 confinements resulting in legitimate births during the six years 1948–53, the issue of no fewer than 83,647, or 33 per cent, were first-born children. In 34,007, or 41 per cent, of these cases the birth occurred within twelve months, and in 61,372, or 73 per cent, within two years after the marriage of the parents. In the remaining 27 per cent of cases where there was any issue to the marriage two years or more had elapsed before the birth of the first child.

The annual number of first births registered naturally follows closely the movement in the marriage rate. With the return of men from service overseas there came a heavy increase in the number of marriages, and correspondingly the proportion of first births rose steeply to 4003 per cent in 1947, a rate very little below the record figure of 41.69 per cent established in 1940. Since 1947, however, a downward tendency has been evident. An interesting feature of the birth statistics for 1947 and 1948 was the high proportion of first births occurring within two years after marriage—75.62 per cent of all legitimate first cases recorded in 1947 and 75.44 per cent in 1948 falling in this class. These are the highest figures recorded since 1929. The steady decline in the marriage rate since the post-war peak figure of 1946 has been accompanied by a marked downward movement in the actual proportion of first births to total births.

YearTotal Legitimate CasesTotal Legitimate First CasesProportion of First Cases to Total CasesFirst Cases Within One Year After MarriageFirst Cases Within Two Years After Marriage
NumberProportion to Total First CasesNumberProportion to Total First Cases
   Per Cent Per Cent Per Cent
194842,00515,16436.106,24441.1811,44075.44
194941,79614,08733.705,65940.1710,26972.90
195042,00613,62932.455,41939.769,96473.12
195142,21013,44731.865,42440.349,83073.10
195243,81313,72331.325,54740.429,88172.00
195343,86413,59731.005,71442.029,98873.45
  Totals for six years255,69483,64732.7134,00740.6661,37273.37

The period of time elapsing before the birth of the first child has varied considerably during recent years mainly as a result of war and post-war influences. The following table compares the 1953 figures with those for earlier years, and illustrates the movement in the duration-of-marriage factor in first births.

Duration of Marriage, in YearsProportion Per Cent of Total First Births
19141924193419441953
Under 1 year52.9550.0646.2538.4742.02
1 and under 2 years28.6226.6426.7926.3031.43
2 and under 3 years9.0210.4310.2411.2811.83
3 and under 4 years3.435.516.167.885.97
4 and under 5 years1.883.033.967.182.98
5 and under 10 years3.263.365.497.364.86
10 years and over0.840.971.111.530.91
    Totals100.00100.00100.00100.00100.00

For the years covered by the foregoing table the average duration of marriage before the birth of the first child was—1914, 1.63 years; 1924, 1.76 years; 1934, 1.85 years; 1944, 2.22 years; and 1953, 1.76 years.

An item of interest extracted from the birth statistics is a table of first births occurring to mothers in different age groups, expressed as a proportion per cent of the total first births. A comparison has also been computed on this basis for the years 1914, 1924, 1934, 1944, and 1953.

FIRST BIRTHS, BY AGE OF MOTHER

Age of Mother, in YearsFirst Births, Proportion Per Cent at Each Age Group to Total First Births
19141924193419441953
Under 206.737.558.907.338.35
20 and under 2535.8938.1640.3941.7948.65
25 and under 3035.0132.5932.7929.5427.39
30 and under 3515.6114.6813.1014.6110.45
35 and under 405.525.333.795.364.07
40 and under 451.161.590.991.341.06
45 and over0.080.100.040.030.03
    Totals100.00100.00100.00100.00100.00

The figures of average ages of mothers at the birth of their first child are as follows for the above years: 1914, 26.55; 1924, 26.39; 1934, 25.90; 1944, 25.18; and 1953, 25.33.

EX-NUPTIAL BIRTHS.—The numbers of ex-nuptial births registered during each of the years 1943–53, with the percentages they bear to total births registered, were as follows.

YearNumberPercentage of Total Births
19431,4674.84
19442,0206.01
19451,8244.93
19461,8244.36
19471,7273.85
19481,6863.82
19491,6713.80
19501,7683.99
19511,9354.33
19522,1044.53
19531,9974.30

War influences, resulting in unusual movements of the population and the influx of servicemen to the more heavily populated centres, no doubt are responsible for the high percentages recorded during 1943–45.

The long-term trend in the rate of ex-nuptial births is indicated by the movement in the proportion of ex-nuptial births per 1,000 unmarried women—i.e., spinsters, widows, and divorced women—at the reproductive ages. The figures for each census year from 1911 to 1951 are as follows.

Census YearUnmarried Women 15 and Under 45 Years of AgeEx-nuptial BirthsEx-nuptial Birth Rate Per 1,000 Unmarried Women
1911120,7781,0788.93
1916125,4611,1599.24
1921136,5391,2589.21
1926148,5511,4739.92
1936167,7811,1266.71
1945156,3261,82411.67
1951130,3431,93514.85

Included in the total of 1,997 ex-nuptial births in 1953 were twenty-one cases of twins, the number of confinements being thus 1,976. From the following table it will be seen that of the 1,976 mothers 587, or 30 per cent, were under twenty-one years of age.

AgeCases
132
146
1520
1636
1795
18128
19151
20149
21148
22150
23116
24115
25–29408
30–34271
35–39138
40–4443
    Total1,976

The Births and Deaths Registration Amendment Act 1930 directed the omission of the word “illegitimate" from the register when the birth of an ex-nuptial child is registered. The word “illegitimate" appearing in any entry made prior to the passing of the Act is deemed to be expunged and deleted, and must also be omitted from any certified copy of an entry.

The Legitimation Act.—Important changes were made by the Legitimation Act of 1939, which repealed previous legislation on the subject. This Act stipulates that every ex-nuptial person whose parents have intermarried, whether before or after the passing of the Act, shall be deemed to have been legitimated from birth by reason of such marriage. The Act requires the parents or surviving parent of any person legitimated under the Act to register with the Registrar-General the particulars of the birth of that person, showing that person as the lawful issue of the parents. Application for registration was required to be made within six months after the date of the passing of the Act in cases where the marriage took place prior to that date. In cases where the marriage has taken place subsequent to the passing of the Act, application for registration must be made within three months after the date of the marriage.

Where the Registrar-General has reason to believe that any person has been legitimated under the terms of the Act, and no application for registration has been made within the prescribed time, he may require the responsible parents or parent to make an application within a specified period of not less than seven days after receiving notice to do so. Any failure to comply with the notice requiring application for registration within the time specified renders the person or persons responsible liable on summary conviction to a fine of £5. If no application for registration is made within the appropriate time specified in the Act or in the notice received from the Registrar-General, application for registration of the particulars of the birth of any legitimated person may be made by that person, or by one of his parents, or by any other person.

The number of legitimations of Europeans registered in each of the last five years, and the total since the Act of 1894 came into force, are shown in the following table.

YearNumber of Children Legitimated
Previously RegisteredNot Previously RegisteredTotal
19494112413
1950401 401
1951394 394
1952415 415
1953449 449
      Totals from 1894 to 195312,1753,29415,469

ADOPTIONS.—The Births and Deaths Registration Act contains provision for the registration of adopted children. The Registrar of the Court by which any adoption order is made is required to furnish to the Registrar-General particulars of the order, including the full name and place of birth of the child, as well as the full names and addresses of both the natural and the adopting parents. An entry is made in the prescribed form in the register of births, particulars of the adopting parents being given in lieu of those of the natural parents. If the child's birth has previously been registered in New Zealand a note of the adoption order is made on the original entry. An amendment to the Infants Act in 1939 extended the age at which a child might be legally adopted from under fifteen years to under twenty-one years.

The adoption of a Maori child is required to be registered in the same manner as that of a European child unless the adoption order is made under the Maori Affairs Act 1953.

The following table shows the number of adoptions (exclusive of Maori children) which have been registered during the last five years.

YearNumber
MalesFemalesTotal
19496545951,249
19506296261,255
19516967091,405
19526907401,430
19537097361,445

Of the 1,445 adoptions registered in 1953, 866 were children under the age of one year, 225 were between one and five years, 188 were between five and ten years, and 166 were aged ten years or over. In addition, 240 Maori children (128 males and 112 females) were adopted in 1953.

Statistics of adoptions registered have been available in New Zealand since 1919, and these indicate that the numbers are considerably influenced by the economic condition of the country, the lowest total, 329, being recorded in 1931. The highest total prior to 1940 occurred in 1921, when 584 adoptions were registered, this, no doubt, being the result of influences operating after the First World War. Possibly various factors arising out of the Second World War have had a bearing on the high totals for recent years, but the extension of age at which a child might legally be adopted is also of importance in this connection. It should also be noted that the unprecedented totals since 1944 are associated with the high number of ex-nuptial births occurring in these years.

STILL-BIRTHS.—The registration of still-births was made compulsory in New Zealand as from 1 March 1913. Although it is necessary to effect a birth-registration entry for a still-born child, no entry is made in the register of deaths. Section 15 of the Statutes Amendment Act 1946, amending the Births and Deaths Registration Act 1924, stipulated, however, that a medical practitioner or a midwife in attendance at a confinement where a still-birth occurs must furnish a certificate stating to the best of his or her knowledge and belief the cause of the still-birth. Particulars of causes of still-births will be found in Section 4C relating to deaths. A still-born child is defined as one “which has issued from its mother after the expiration of the twenty-eighth week of pregnancy and which was not alive at the time of such issue.” Still-births are not included either as births or as deaths in the various numbers and rates shown in this subsection and in that relating to deaths.

The registrations of European still-births during each of the years 1949–53 were as follows.

YearMalesFemalesTotalsMale Still-births Per 1,000 Female Still-birthsPercentage of Still-births to—
Living BirthsAll Births
19494493477961,2941.811.78
19504893768651,3011.951.92
19514493558041,2651.801.77
19524424048461,0941.821.79
19534814068871,1851.911.88

Masculinity is in general much higher among still-births than among living births, the rate for still-births in 1953 being 1,185 males per 1,000 females as compared with 1,054 for living births.

The percentage of ex-nuptials among still-born infants was in 1953, 5.19, and among infants born alive, 2.30.

Of the living legitimate births registered in 1953, 31 per cent were first births, while of legitimate still-births 34 per cent were first births. Statistics over many years indicate that there is a considerably greater probability of still-births occurring to mothers having their first confinement than to those having subsequent confinements. In addition to the 887 European still-births in 1953, there were 122 Maori still-births registered, comprising 63 males and 59 females.

FOETAL DEATHS.—Section 20 of the Births and Deaths Registration Act 1951 stipulates that in the case of a foetal death where the child has issued from its mother after the twentieth week, and up to and including the twenty-eighth week of pregnancy, a medical practitioner or a midwife who was in attendance at the confinement shall sign and supply a certificate stating to the best of his or her knowledge and belief the cause of the foetal death, and such other particulars as may be required by the Registrar-General. This requirement came into force as from 1 April 1952. A foetal death is not required to be registered as in the case of a still-born child.

4 B—MARRIAGES

MARRIAGE may be celebrated in New Zealand only on the authority of a Registrar's certificate, either by a person whose name is on the list of officiating ministers under the Marriage Act, or before a duly appointed Registrar or Deputy Registrar of Marriages. Marriage by an officiating minister may be celebrated only between 8 o'clock in the morning and 8 o'clock in the evening. Marriage before a Registrar can be celebrated at any time during the hours the office of the Registrar is open for the transaction of public business.

Notice of intended marriage must be given to a Registrar of Marriages by one of the parties to the proposed marriage, and one of the parties must have resided for three full days in the district within which the marriage is to be celebrated. In the case of a person under twenty-one years of age, not being a widow or widower, the consent of parent or guardian is necessary before the Registrar's certificate can be issued. A schedule to the Guardianship of Infants Act 1926 sets out the person or persons whose consent is required in various circumstances. In cases where double consent is required, section 8 provides for dispensing with the consent of one party if this cannot be obtained by reason of absence, inaccessibility, or disability. In similar cases where the consent of only one person is necessary, consent may be given by a Judge of the Supreme Court. Consent of the Court may also be given in cases of refusal by any person whose consent is required.

If in any particular case a declaration is made that there is no parent or lawful guardian resident in New Zealand, then a certificate may be issued by the Registrar (without the necessity of Court proceedings) fourteen days after the date on which the notice of intended marriage was given.

The system of notice and certificate has operated in New Zealand since 1855. Officiating ministers and Registrars are required to send to the Registrar-General returns of all marriages celebrated, and as the returns come in they are checked off with the entries in the Registrars' lists of notices received and certificates issued. In case of the non-arrival of a marriage return corresponding to any entry in the list of notices, inquiries are made as to whether the marriage has taken place.

Marriage is forbidden between persons within certain degrees of relationship, any such marriage being declared void. The prohibition applies whether the relationship is by the whole blood or by the half-blood, and whether the relationship is nuptial or ex-nuptial. The present law on this matter is contained in the Marriage Amendment Act 1946.

An amendment to the Marriage Act in 1939, which repealed a similar provision passed in 1933, stipulates that a Registrar may not issue a certificate of marriage where either of the intending parties is under sixteen years of age. No marriage shall be deemed to have been unduly solemnized, however, by reason only of this provision. The 1933 amendment made provision enabling women to become officiating ministers for the purposes of the Marriage Act. The 1946 amending Act provides for the validity of Service—i.e., Armed Forces overseas—marriages.

The Maori Purposes Act 1951 stipulates that after 1 April 1952 every marriage to which a Maori is a party shall be celebrated in the same manner, and its validity shall be determined by the same law, as if each of the parties was a European; and all the provisions of the Marriage Act 1908 shall apply accordingly.

As a result of this legislative change, marriage statistics for the year 1952 are inclusive of Maoris and Maori marriage figures as a separate feature have lapsed. Figures quoted in this subsection for years prior to 1952 are all exclusive of Maoris.

Particulars regarding divorce will be found at the close of this subsection.

NUMBERS AND RATES.—The movement of the marriage rate over a lengthy period of time may be observed from the statistical summary appearing towards the end of this Year-Book. The numbers and rates of marriages during each of the last twenty years are here given.

YearNumberRate Per 1,000 of Population

* Inclusive of Maoris.

193411,2567.64
193512,1878.23
193613,8089.25
193714,3649.55
193815,32810.09
193917,11511.12
194017,44811.28
194113,3138.65
194212,2197.91
194311,5797.53
194413,1258.43
194516,16010.14
194620,53512.39
194718,52510.94
194817,1929.96
194916,7859.53
195016,5049.19
195116,3598.93
195217,061*8.55*
195317,224*8.41*

Both the marriage rate and the number of marriages in 1946 were the highest on record, The main reason for this was the return from overseas of many thousands of men in the most prolific marriage age groups. An appreciable decline, however, in both the number of marriages and in the marriage rate took place in 1947 and 1948 and continued until 1951. Separate figures for European marriages are not available after 1951, but the total of all marriages in 1953 showed a small increase on the 1952 figure.

Comparison with Other Countries.—Marriage rates for certain countries for 1953 are given below (these particulars have been taken from the Monthly Bulletin of Statistics, issued by the Statistical Office of the United Nations).

CountryRates Per 1,000 Mean Population
United States of America9.9
Yugoslavia9.9
Israel9.5
Canada9.0
Chile9.0
Puerto Rico8.9
New Zealand8.4
Netherlands8.2
Australia8.0
Norway7.9
Austria7.8
Portugal7.8
United Kingdom7.8
Denmark7.7
Switzerland7.7
Spain7.6
Sweden7.4
France7.2
Italy7.0
Ceylon6.3
Mexico6.1
Republic of Ireland5.3

MARITAL STATUS.—The total number of persons married during the year 1953 was 34,448, of whom 30,433 were single, 1,593 widowed, and 2,422 divorced. The figures for the five years 1949 to 1953, showing the sexes separately, are given in the table following.

YearSingleWidowedDivorcedTotal Persons Married
BridegroomBrideBridegroomBrideBridegroomBride

* Inclusive of Maoris.

194914,48014,5848707811,4351,42033,570
195014,28014,4528947761,3301,27633,008
195114,24414,3718547311,2611,25732,718
1952*14,92714,9409118391,2231,28234,122
1953*15,17315,2608387551,2131,20934,448

The position is more easily seen by studying the percentages given in the next table.

YearBridegroomsBrides
SingleWidowedDivorcedSingleWidowedDivorced

* Inclusive of Maoris.

 Per CentPer CentPer CentPer CentPer CentPer Cent
194986.275.188.5586.894.658.46
195086.525.428.0687.574.707.73
195187.075.227.7187.854.477.68
1952*87.495.347.1787.574.927.51
1953*88.094.877.0488.604.387.02

Reference to the divorce statistics at the end of this subsection will show that the number of divorces since and including the later war years has been at a high level, although there has been a steady decline since 1946. The number of decrees absolute in the period 1949–53 was 8,331, as compared with 4,907 in the five years 1936–40, an increase of 70 per cent. The large number of divorced people remarrying is therefore not surprising. The number of widowed persons remarrying, which was 39 per 1,000 in 1940, rose to 46 per 1,000 in 1953.

The relative marital status of bridegrooms and brides for each of the five years 1949 to 1953 is next given.

YearMarriages Between Bachelors andMarriages Between Widowers andMarriages Between Divorced Men and
SpinstersWidowsDivorced WomenSpinstersWidowsDivorced WomenSpinstersWidowsDivorced Women

* Inclusive of Maoris.

194913,336327817385302183863152420
195013,271285724378330186803161366
195113,260288696364306184747137377
1952*13,875316736378367166687156380
1953*14,211290672329339170720126367

The relative proportions of divorced men and divorced women remarrying during the last three years has changed but little compared with ten years earlier. During the three years 1938–40 the number of male divorcees remarrying was 2,066, as compared with 2,169 females, which gives a rate of 95 males for every 100 females. In 1951–53 the respective numbers were 3,697 males and 3,748 females, and the corresponding rate 99 males for every 100 females. In the case of widowed persons remarrying, however, there has been a marked change in the figures. In the three-year period 1938–40, 2,420 widowers remarried but only 1,619 widows, whereas in 1951–53 there were 2,603 widowers and 2,325 widows who remarried, the number of widowers per 100 widows being 149 in the former period and 112 in the latter period.

AGES OF PERSONS MARRIED.—Of the 34,448 persons married in 1953, 5,318, or 15 per cent, were under twenty-one years of age; 12,719, or 37 per cent, were returned as twenty-one and under twenty-five; 8,471, or 25 per cent, as twenty-five and under thirty; 4,777, or 14 per cent, as thirty and under forty; and 3,163, or 9 per cent, as forty years of age or over. The following table relates to the year 1953.

Age of Bride, in YearsAge of Bridegroom, in YearsTotal Bridegrooms
Under 2121 and Under 2525 and Under 3030 and Under 3535 and Under 4040 and Under 4545 and Over
Under 21666170163......855
21 and under 252,4103,03948951102..6,001
25 and under 301,1472,7071,355295531365,576
30 and under 351805786383531322981,918
35 and under 40451532552371935825966
40 and under 4510507510915710764572
45 and over521671211792007431,336
    Total brides4,4636,7182,8951,16972440984617,224

There have been some considerable changes in the proportions of persons marrying at the various age periods. To illustrate the extent to which these figures have varied a table is given showing since 1920 the proportions of men and women married at each age group to every 100 marriages.

PeriodUnder 2121 and Under 2525 and Under 3030 and Under 3535 and Under 4040 and Under 4545 and OverTotals
Males
1920–243.1324.6632.2117.7310.245.436.60100.00
1925–293.4928.0434.4914.337.704.487.47100.00
1930–343.4627.2837.0215.146.103.617.39100.00
1935–392.6825.9138.2616.466.753.226.72100.00
1949–534.6034.6831.2711.446.313.727.98100.00
Females
1920–2415.9935.4726.2110.665.532.983.16100.00
1925–2918.6137.8823.678.934.652.823.44100.00
1930–3418.6738.5124.798.223.852.403.56100.00
1935–3917.1038.2626.308.863.912.023.55100.00
1949–5324.4339.0417.487.114.352.614.98100.00

A perusal of the above table reveals the fact that greater proportions of marriages are now being celebrated at the younger and, to a lesser extent, at the older age groups. This has become very marked in the 1949–53 period, and is mainly due to the fact that the outbreak of war induced a number of earlier marriages which has resulted in fewer unmarried people entering the middle age groups.

For many years the average age (arithmetic mean) at marriage for both males and females, more particularly the latter, showed a tendency to increase. However, in recent years there has been very little change, the year to year fluctuations being within very narrow limits. The figures for each of the years 1946–53 are as follows.

YearBridegroomsBrides
 (Years)(Years)

* Inclusive of Maoris.

194629.7326.18
194729.7126.11
194829.9626.32
194929.8926.30
195029.6726.14
195129.4225.96
195229.52*26.19*
195329.31*25.90*

The average ages of bachelors and spinsters at marriage are considerably lower than those shown in the preceding table, which covers all parties and is naturally affected by the inclusion of remarriages of widowed and divorced persons. The average ages of grooms and brides for each of the last five years according to marital status were as shown below.

YearBridegroomsBrides
BachelorsDivorcedWidowersSpinstersDivorcedWidows

* Inclusive of Maoris.

 YearsYearsYearsYearsYearsYears
194927.4239.8952.8224.3135.4245.46
195027.1540.0654.4624.1935.5946.90
195126.9540.7753.9323.9736.1947.05
1952*26.9841.0055.6024.0835.9848.83
1953*26.9640.7755.6123.9736.5147.83

The foregoing figures give the average ages at marriage, but these do not correspond with the modal or popular age, if the age at which the most marriages are celebrated may be so termed. The modal age for brides (21) has remained unchanged for very many years, but in the case of bridegrooms the most popular age has varied, and for recent years it has been 23 or 24.

Marriages of Minors.—Of every 1,000 men married in 1953, 50 were under twenty-one years of age, while 259 in every 1,000 brides were under twenty-one.

In 666 marriages in 1953 both parties were given as under twenty-one years of age, in 3,797 marriages the bride was returned as a minor and the bridegroom as an adult, and in 190 marriages the bridegroom was a minor and the bride an adult.

The proportion of minors among persons marrying has been increasing over a fairly long period, and in the table below figures are given for the last five years. In the latest year (1953) one bride in every four was under twenty-one years of age, the proportion for grooms being one in twenty.

YearAge, in YearsTotals
1617181920NumberRate Per 100 Marriages

* Inclusive of Maoris.

Bridegrooms
1949..26681684126744.02
195029741954217014.25
1951313632224577584.63
1952*2261032544898745.18
1953*6291042174998554.96
Brides
19491113037441,1411,4563,75522.37
19501003017771,2741,5133,96524.02
19511153167271,2361,6464,04024.70
1952*1583848841,3001,5624,28825.13
1953*1624438331,3711,6544,46325.91

MARRIAGES BY MINISTERS OF VARIOUS CHURCHES.—Of the 17,224 marriages registered in 1953, Church of England clergymen officiated at 4,313, Presbyterians at 4,657, Roman Catholics at 2,501, and Methodists at 1,405, while 3,246 marriages were celebrated before Registrars.

The following table shows the proportions of marriages by ministers of the largest churches and before Registrars in each of the years 1947–53.

ChurchPercentage of Marriages
194719481949195019511952*1953*

* Inclusive of Maoris.

Presbyterian28.2628.8628.0728.3127.9125.9527.04
Church of England26.5326.5525.8025.9525.8325.4025.04
Roman Catholic12.2511.8112.1711.9312.6713.2314.52
Methodist9.589.259.199.328.538.528.16
Others5.185.505.785.655.517.066.39
Before Registrars18.2018.0318.9918.8419.5519.8418.85
    Totals100.00100.00100.00100.00100.00100.00100.00

The foregoing figures must not be taken as an exact indication of the religious professions of the parties married, as it does not necessarily follow that both (or even one) of the parties are adherents of the Church whose officiating minister performed the ceremony, and persons married before Registrars may belong, in greater or lesser proportion, to any or none of the churches. Of the total population (inclusive of Maoris) at the general census of 1951, 37.8 per cent were recorded as adherents of the Church of England, 24.3 per cent Presbyterian, 13.6 per cent Roman Catholic, 8.1 per cent Methodist, and 16.2 per cent of other religions or of no religion, or who objected to state their religious profession.

NUMBER OF OFFICIATING MINISTERS.—The number of names on the list of officiating ministers under the Marriage Act was (January 1954) 2,765, and the churches to which they belong are shown hereunder.

ChurchNumber
Roman Catholic Church602
Church of England504
Presbyterian Church of New Zealand460
Methodist Church of New Zealand329
Ratana Church of New Zealand150
Salvation Army147
Baptist117
Seventh Day Adventist51
Ringatu Church46
Brethren44
Associated Churches of Christ35
Latter Day Saints33
Congregational Independent30
Commonwealth Covenant Church26
Assemblies of God21
Jehovah's Witness18
Apostolic Church16
Liberal Catholic Church14
United Maori Mission11
Evangelistic Church of Christ10
Churches of Christ8
Spiritualist Church of New Zealand8
Church of Te Kooti Rikirangi7
Evangelical Lutheran Concordia Conference7
Church of God6
Hebrew Congregations5
Others60
    Total2,765

The Ratana Church of New Zealand, the Ringatu Church, the United Maori Mission, and the Church of Te Kooti Rikirangi are Maori organizations.

DIVORCE.—The provisions as to dissolution of marriage are contained in the Divorce and Matrimonial Causes Act 1928 (which consolidated and amended the then existing legislation on the subject) and its later amendments.

A brief historical account of divorce legislation is given in the 1931 issue of the Year-Book; the present position is outlined in the following résumé.

Any married person domiciled in New Zealand (for two or more years in the case of restitution and separation, grounds (i), (j), (k), (l) below) at the time of filing the petition may obtain a divorce on one or more of the following grounds:

  1. Adultery since the celebration of the marriage.

  2. Wilful and continuous desertion for three years or more.

  3. Habitual drunkenness for four years, coupled with (wife's petition) failure to support or habitual cruelty, or with (husband's petition) neglect of, or self-caused inability to discharge, domestic duties.

  4. Since the celebration of the marriage the respondent has been convicted of attempting to commit the murder of the petitioner or any child (of any age) of the petitioner or respondent, or has been convicted of any offence under section one hundred and ninety-seven of the Crimes Act 1908 against the petitioner or any such child.

  5. Respondent has since the celebration of the marriage been convicted of murder.

  6. Insanity and confinement as a lunatic for seven out of ten years preceding the petition.

  7. Insanity for seven years, and confinement for three years immediately preceding the petition.

  8. Insanity and confinement as a lunatic for the five years immediately preceding the petition.

  9. Failure for three years or more to comply with a decree for restitution of conjugal rights.

  10. Parties have separated under an agreement, written or verbal, which has been in full force for not less than three years.

  11. Parties have been separated by a decree of judicial separation or a separation order which has been in force for three years. (An amendment in 1930 removed the restriction imposed by the principal Act—which permitted only New Zealand decrees or orders—and extended the provision to cover similar decrees or orders made in any country.)

  12. Parties are living apart, are unlikely to be reconciled, and have been living apart for not less than seven years.

  13. Husband guilty of rape, sodomy, or bestiality since marriage.

In cases based on separation of the parties, whether by order or agreement or otherwise, the Court is bound to dismiss the petition if the respondent opposes it and the Court is satisfied that the separation was due to the wrongful act or conduct of the petitioner; and in all those cases, as well as in cases where the ground is failure to comply with a decree for restitution of conjugal rights, the Court has in any event a discretion whether or not to grant a decree.

A deserted wife whose husband was domiciled in New Zealand at the time of desertion is considered, for the purpose of the Divorce and Matrimonial Causes Act 1928, as retaining her New Zealand domicile. Where a wife petitions on grounds (j), (k), and (l), her New Zealand domicile is retained if her husband was domiciled in New Zealand at the date of the agreement, decree, order, or commencement of separation.

The amending Act of 1953 establishes a New Zealand domicile for a wife petitioning for divorce where she has been living apart from her husband if she has been living in New Zealand for three years preceding the petition and has the intention of residing in New Zealand permanently.

Until the passing of the Divorce and Matrimonial Causes Amendment Act 1953 there were no statutory provisions as to nullity of marriage. This Act embodies the common law on the subject, with several additions to the grounds on which a marriage is voidable, and some changes.

The basis of the Court's jurisdiction in nullity is established as the domicile of either petitioner or respondent in New Zealand at the time of the filing of the petition, or the celebration of the marriage in New Zealand.

A petition for a nullity decree may be presented in respect of either a void or a voidable marriage, the former being those which are invalid and of no effect whether or not a decree is obtained, and the latter those which are valid unless and until a decree is obtained.

Marriages are void in the following cases:

  1. Where at the time of the ceremony either party to the marriage was already married.

  2. Where, whether by reason of duress or mistake or insanity or otherwise, there was at the time of the marriage an absence of consent by either party to marriage to the other party.

  3. Where the parties are within the prohibited degrees of relationship as set out in the Marriage Amendment Act 1946.

  4. Where the marriage was not solemnized in due form.

Marriages are voidable on the following grounds:

  1. Incapacity or wilful refusal of the respondent to consummate the marriage.

  2. Mental deficiency of either party within the meaning of the Mental Defectives Act 1911 although that party was capable of consenting to the marriage.

  3. Venereal disease (of the respondent) in a communicable form.

  4. Pregnancy of the respondent by some person other than the petitioner.

In cases (b), (c), and (d) the facts alleged must have existed at the time of the marriage and proceedings must be instituted within a year of the marriage. The Court must be satisfied—

  1. That the petitioner was at the time of the marriage ignorant of the facts;

  2. That marital intercourse with the petitioner's consent has not taken place since the discovery of the existence of the grounds for a decree.

The Matrimonial Causes (War Marriages) Act 1947 made special provisions in respect of war marriages (i.e., a marriage celebrated on or after 3 September 1939 but before 1 June 1950) where one of the parties was domiciled outside New Zealand by: (1) extension of jurisdiction of the Supreme Court to certain marriages irrespective of domicile; (2) recognition of decrees and orders (in relation to such marriages) made in the United Stales of America; and (3) shortening the period of desertion or separation as ground for divorce in such cases from three years to twelve months.

By authority of the Act, previous legislation on the subject embodied in the Matrimonial Causes (War Marriages) Emergency Regulations 1946 was revoked, accrued rights being protected.

Figures showing the operations of the Supreme Court in its divorce jurisdiction during recent years are as follows. About 50 per cent of the decrees granted in any year relate to petitions filed in prior years.

YearDissolution or Nullity of MarriageJudicial SeparationRestitution of Conjugal Rights
Petitions FiledDecrees NisiDecrees AbsolutePetitions FiledDecrees for SeparationPetitions FiledDecrees for Restitution
19431,6411,3981,10041302227
19441,9921,8211,63072499421
19452,2111,9151,725112550461
19462,3632,1372,133106562463
19472,1912,05'2,11771430371
19482,1601,9741,853207355300
19492,0011,8241,892151331262
19501,9121,7071,633114304217
19511,8821,6661,582117263210
19521,9601,7271,684158296204
19531,8971,6431,540103227197

The later years of the war and the immediate post-war years witnessed a marked increase in divorce. The peak year occurred in 1946, when 2,133 decrees absolute were granted. The following two years, 1947 and 1948, saw a falling off in numbers, that of the latter year being much larger than the former. A small increase was shown in 1949, after which a substantial decrease was recorded in 1950, with a smaller one in 1951. In 1952, however, an increase of 102, or 6.4 per cent, was shown, followed by a decrease in 1953 of 144, or 8.6 per cent. This is the lowest number of decrees absolute recorded since 1943.

It is worth noting that there was one divorce for every ten marriages solemnized in 1952, while the ratio in 1953 was one divorce to every eleven marriages.

The next table gives the grounds (dissolution or nullity cases) of petitions and decrees during 1952 and 1953.

GroundsPetitions FiledDecrees Absolute Granted
Husbands' PetitionsWives' PetitionsHusbands' PetitionsWives' Petitions
19521953195219531952195319521953
Adultery277269153185183197102128
Bigamy31252..32
Desertion165153173153143120136140
Drunkenness with cruelty, failure to maintain, etc.2158..216
Insanity1574410861
Consanguinity....1........ 
Sodomy......1......1
Non-compliance with order for restitution of conjugal rights13613749481341344543
Separation for not less than three years415382555536386300527454
Non-consummation2234145..
Bestiality......1........
    Totals1,015952945945859765825775

The figures shown for decrees absolute cover all such granted during the year, whether the antecedent decree nisi was granted in the same or in a previous year. It should be mentioned here that the number of decrees absolute granted can, and often do, number more than the petitions filed. The reason for this is that all decrees granted are not necessarily from petitions filed in a particular year. The petition may have been filed in one year but the case not heard until the succeeding year.

Mention should be made here of the fact that over a period of five years, 1949–53 inclusive, the average percentage of decrees absolute granted on wives' petitions was greater than those granted to husbands. The figures are—wives 88.9 per cent, husbands 84.2 per cent.

The principal grounds on which decrees absolute were granted during 1953 showed the following increases compared with 1938, a normal pre-war year: adultery, 168 (107 per cent); desertion, 57 (28.1 per cent); non-compliance with restitution order, 81 (84.4 per cent); and separation, 182 (31.8 per cent).

In 462 of the 1,540 cases where decrees absolute were granted during 1953 there was no living issue of the marriage. The number of living issue was 1 in 430 cases, 2 in 324 cases, 3 in 163 cases, and 4 or more in 161 cases.

The table which follows shows the duration of marriage in all cases for which decrees absolute were granted in the five years 1949 to 1953.

Duration of Marriage, in YearsHusbands' Decrees Absolute GrantedWives' Decrees Absolute Granted
1949195019511952195319491950195119521953
Under 5202165165156126140132140110111
5 and under 10296256222259231301219228242255
10 and under 15194170171177173196185161206178
15 and under 201031098090109123102114115101
20 and under 3013210510912491124109118113102
30 and over43454053353536323928
Not stated2..2....1........
    Totals972850789859765920783793825775

The number of living issue affected by the decrees absolute of their parents during each of the last five years was as follows: 1949, 2,626; 1950, 2,385; 1951, 2,178; 1952, 2,497; and 1953, 2,348.

4 C—DEATHS

REGISTRATION.—The law as to registration of deaths is now embodied in the Births and Deaths Registration Act 1951, a consolidation of the then existing legislation. Particulars required in the registration of a death include date, place of residence and domicile, name, occupation, sex, age, cause of death, birthplace, duration of residence in New Zealand, whether cremated or not, marital status, living issue of married persons, race (European or Maori), medical attendant by whom certified, particulars as to burial, and, in the case of married males, age of widow.

Every death occurring in New Zealand is required to be registered within three days after the day of the burial. There is a penalty up to £10 for neglect, the funeral director in charge of the burial being solely responsible for registration. When an inquest is held the Coroner becomes responsible for registration, the time allowed being three days after the conclusion of the inquest. The Coroner may, in writing, authorize an agent to attend to registration on his behalf. Registrations must not be effected before the conclusion of the inquest.

Where the Coroner decides not to hold an inquest the funeral director is responsible for registration of the death.

The law does not impose any limit of time after which a death may not be registered as it does in the case of a birth. Although it is necessary to effect a birth-registration entry in the case of a still-born child, no entry is made in the register of deaths. The principal Act stipulates, however, that a medical practitioner or a midwife in attendance at a confinement where a still-birth occurs must furnish a certificate stating to the best of his or her knowledge and belief the cause of the stillbirth.

New provisions in the 1951 Act include prohibition of burial at sea of a person dying in New Zealand except upon the authority of a Coroner, and provide for the registration of the death of a person whose body is removed for anatomical examination under Part II of the Medical Act 1908, or is removed for burial outside New Zealand.

Any person burying, or permitting or taking part in the burial of the body of any deceased person without a certificate of cause of death signed by a duly registered medical practitioner, or a Coroner's order to bury the body, renders himself liable to a fine of £50.

From 1 April 1952 (reverting to the system followed prior to 1937) it is incumbent upon a medical practitioner to give the certificate of cause of death to the person required to supply information for the purpose of registering the death (the funeral director in charge of the burial). During the intervening period the medical practitioner was required to deliver the certificate direct to the Registrar. The practitioner is required to report forthwith to the Coroner any case where, in his opinion, the death has occurred in any circumstances of suspicion.

The Act provides for the correction of errors (clerical, of fact, of substance, or of omission) in the register in the manner authorized by the Registrar-General.

Deaths of Members of the Forces while Overseas.—The Registration of Deaths Emergency Regulations 1941, which superseded 1940 regulations of similar title, required the Registrar-General to compile a War Deaths Register of persons of New Zealand domicile who died while out of New Zealand on service in some capacity in connection with the Second World War. Members of the New Zealand Naval Forces were excluded from the regulations, special provision having previously been made in their case. These regulations were revoked by the Births and Deaths Registration Amendment Act 1947, which made statutory provision in this connection. The amendment required the Registrar-General to compile a register of all persons who have died while out of New Zealand on service with any of the Armed Forces of Her Majesty and who at the time of their deaths were domiciled in New Zealand. Deaths registered in the War Deaths Register were not taken into account in arriving at the number and rate of deaths in New Zealand, nor were deaths of visiting overseas servicemen or prisoners of war in New Zealand. Deaths of New Zealand servicemen which occurred in New Zealand were, however, included. The Births and Deaths Registration Act 1951 requires the Registrar-General to compile a register containing particulars of all persons who have died while out of New Zealand on service with any Commonwealth force within the meaning of the Army Act 1950 and who at the time of their deaths were domiciled in New Zealand.

Registration of Maori Deaths.—Registration of the deaths of Maoris are effected with the Maori Registrars in the various districts set up for this purpose. Statistics relating to the deaths of Maoris are not included in this subsection, but are fully covered in Section 4D.

NUMBERS AND RATES.—The following table shows the number of deaths and the death rate per 1,000 of the mean population during each of the last twenty years.

YearNumberRate Per 1,000 of Mean Population
193412,5278.50
193512,2178.25
193613,0568.75
193713,6589.08
193814,7549.71
193914,1589.20
194014,2829.24
194115,1469.84
194216,38510.60
194315,44710.04
194415,3639.87
194516,05110.07
194616,0939.71
194715,9049.39
194815,8129.16
194916,0129.09
195016,7159.31
195117,5129.56
195217,4139.28
195317,0098.84

New Zealand has been noted for many years for its favourable death rate. The fact that the death rate is still comparatively very low, despite the older age constitution of the population, is probably due, inter alia, to improvements in medical techniques, expansion of health services, etc. This progress has been reflected, for example, in a relatively low incidence of serious outbreaks of the more important epidemic diseases (which were much more prevalent in the early years of colonization) and in a remarkably low infant-mortality rate.

The general trend of the death rate in New Zealand was for many years downwards, reaching its lowest level during the depression years of the early “thirties”. Since then an upward trend was in evidence for some years, the figures recorded during the war years being the highest for a long time. It is possible that the absence overseas of considerable numbers of men of early adult age, at which mortality experience is the most favourable, would have some effect on the rates established. The strains of wartime would also have some effect on deaths in the older age groups; in fact, the high rate of 1942 disclosed a sharp rise in deaths resulting from diseases of the heart and nervous system. For four years following 1945 a downward trend was again in evidence and, although small increases were recorded in 1950 and 1951, the 1952 and 1953 rates again showed decreases; the figure of 8.84 for 1953 being the lowest recorded rate since 1936 (8.75).

The death rates of males and females for the last eleven years are shown separately in the next table.

YearDeaths Per 1,000 of Mean PopulationMale Deaths to Every 100 Female DeathsMale Rate Expressed as Index Number of Female Rate (= 100)
MalesFemalesTotals
194311.368.8110.04119129
194411.328.539.87123133
194511.378.8410.07122129
194610.558.869.71118119
194710.508.289.39127127
194810.178.149.16125125
19499.948.249.09121120
195010.238.389.31123122
195110.508.629.56122122
195210.128.449.28121120
19539.807.868.84126125

COMPARISON WITH OTHER COUNTRIES.—An international comparison of death rates is made in the following table. They are the average of the five years 1949–53 and are taken from the Monthly Bulletin of Statistics issued by the United Nations.

CountryRates Per 1,000 of Population

* European population only.

Israel6.6
Netherlands7.6
Norway8.7
Union of South Africa*8.8
Canada8.9
Denmark9.0
New Zealand9.2
Australia9.5
United States of America9.6
Puerto Rico9.6
Sweden9.8
Italy9.9
Finland10.1
Japan10.1
Switzerland10.4
Germany (Western)10.5
Spain10.7
United Kingdom11.8
Costa Rica12.0
Ceylon12.2
Portugal12.3
Austria12.4
Republic of Ireland12.7
France12.9
Yugoslavia13.0
India15.0
Chile15.3
Mexico16.3

DISTRIBUTION OF DEATHS OVER THE YEAR.—An examination of the total number of deaths registered in each quarter of the period 1943–53 gives the following averages: March quarter, 3,511; June quarter, 3,919; September quarter, 4,723; and December quarter, 4,078.

A classification according to month of death shows that in 1953 the months during which the greatest number of deaths occurred were August, July, and September, with totals of 1,675, 1,670, and 1,506 respectively. Excluding December, a proportion of deaths occurring in that month not being registered till January, February had the least number of deaths, 1,126, followed by January and March, with 1,240 and 1,241 respectively.

The lowest number of deaths on any one day, again excluding December, was 24, this number occurring on 16 February and 10 March. The greatest number (67) occurred on 21 and 31 July and 21 August.

AGE AT DEATH.—The deaths registered during the year 1953 are tabulated below according to age.

AgeMalesFemalesTotals
Under 1 month396268664
1–2 months533184
3–5 months404181
6–116042102
1 year454186
2 years382664
3 years272552
4 years171229
5–9 years473986
10–14 years403272
15–19 years9029119
20–24 years10543148
25–29 years11245157
30–34 years11173184
35–39 years12397220
40–44 years215160375
45–49 years316247563
50–54 years449296745
55–59 years5954171,012
60–64 years8575631,420
65–69 years1,2098402,049
70–74 years1,4711,1472,618
75–79 years1,3951,1732,568
80–84 years1,0011,0102,011
85–89 years4775511,028
90–94 years149230379
95–99 years355186
100 years..33
101 years112
105 years112
    Totals9,4757,53417,009

The following table indicates the changes that have occurred since 1930 in the age distribution of persons dying. The movement in the proportions of deaths occurring at the different age groups is very striking. The results of three main factors are illustrated—viz., health measures, which have achieved an immense saving of young life; the fluctuations in the birth rate over the period; and the great increase in the proportion of old people in the community.

Age, in YearsNumber of DeathsPercentage of Total
19301940195019531930194019501953
Under 19249901,0089317.576.936.035.47
1 and under 53272051992312.681.441.191.36
5 and under 101679887861.370.690.520.51
10 and under 1510510864720.860.760.380.42
15 and under 202221511201191.821.060.720.70
20 and under 253152471581482.581.730.950.87
25 and under 303372701421572.761.890.850.92
30 and under 353372901911842.762.031.141.08
35 and under 403743202752203.072.241.651.29
40 and under 454783623283753.922.531.962.21
45 and under 506404725225635.253.303.123.31
50 and under 557947986977456.515.594.174.38
55 and under 608811,1451,0211,0127.228.026.115.95
60 and under 651,0031,4611,5031,4208.2210.238.998.35
65 and under 701,0771,6972,1702,0498.8311.8812.9812.05
70 and under 751,1711,7722,5362,6189.6012.4115.1715.39
75 and under 801,2421,5562,3162,56810.1810.8913.8615.10
80 and over1,8052,3403,3783,51114.8016.3820.2120.64
    Totals12,19914,28216,71517,009100.00100.00100.00100.00

During the earlier period covered by the next table the fall in the death rate was common to all ages and to both sexes. In more recent years, however, there have been some fluctuations in the rates for the higher age groups, but the 1953 figures again reflect a declining tendency. Of special significance are the low rates recorded in the childhood and early adult life age groups in recent years and the high percentage reduction effected during the entire period. The female rate for the various age groups is almost invariably lower than the male rate. The increase in the death rate (per 1,000 of population) at successive age groups is well exemplified.

YearUnder 1*1 and Under 55 and Under 1515 and Under 2525 and Under 3535 and Under 4545 and Under 5555 and Under 6565 and Under 7575 and Over

*Per 1,000 live births in this case.

Males
190178.606.811.893.523.976.1611.9423.1250.59141.67
191163.485.361.912.423.876.2711.0220.8353.22130.58
192153.104.781.852.443.565.559.6119.9646.17128.60
193138.212.831.352.282.774.648.6918.2544.18130.57
194132.552.140.991.982.623.768.7920.6746.31137.85
195126.491.400.641.541.322.937.2020.0446.90127.33
195323.051.430.491.511.562.566.9619.0645.04114.14
Females
190163.875.501.643.584.726.7010.6219.4443.32127.98
191148.745.371.482.764.344.928.3817.8940.44119.60
192142.314.491.312.343.384.468.0014.8836.81120.23
193125.672.470.971.853.203.816.8415.3636.83122.87
194126.852.040.711.352.053.146.5814.5538.06116.57
195118.811.190.360.731.172.045.2913.2732.35113.75
195316.911.220.420.580.851.955.1211.7430.3495.06
Both Sexes
190171.406.171.773.554.336.4011.3721.6347.87135.71
191156.315.361.702.584.095.649.8219.5547.74126.13
192147.824.641.582.393.475.108.8517.5941.90124.84
193132.152.651.172.072.984.227.8016.8840.56126.87
194129.772.090.851.652.323.447.6517.6842.20126.76
195122.771.300.501.151.492.496.2616.5239.36119.96
195320.061.330.451.051.212.266.0615.2337.34103.79

The average (arithmetic mean) age at death of persons of either sex at ten-yearly intervals since 1901 and during each of the last five years was as follows.

YearMales (Years)Females (Years)
190141.6437.68
191146.1742.37
192148.4546.97
193154.1455.48
194158.6559.60
194960.4362.94
195062.1564.37
195161.5865.25
195262.1664.89
195362.3165.34

There has been a striking upward movement in the average age at death since 1901. A noticeable feature is that in the earlier years the age for females was considerably lower than that for males, the margin gradually narrowing until virtual equality was reached in 1927–28, since when the female average age at death has been higher than the male.

EXPECTATION OF LIFE.—Life tables for the European section of the population based on the mortality experience of New Zealand, ranging from 1880 to 1938, have been published at various times in previous issues of the Year-Book. The latest investigation was based on the 1951 census combined with the deaths for the three years 1950–52, and the (complete) expectation of life at various ages is given below.

AgeMalesFemalesAgeMalesFemales
068.2972.432051.1554.64
169.0372.903041.8945.06
268.1772.054032.6535.64
367.2771.125023.8326.68
466.3370.186016.1918.53
565.3969.237010.0511.46
1060.6064.37805.556.16

The expectation of life at age 0 has risen by 13.00 years in the case of males and by 14.34 years in the case of females over the period since the first New Zealand life table of 1891–95. The effect of the lowered infant-mortality rate and the efficacy of the health services generally is clearly demonstrated, however, by the fact that at age 5 the expectation of life of males has increased by only 7.10 years and females by 9.20 years over the same period.

A brief comparison is quoted below.

PeriodMales (Years)Females (Years)
1891–189555.2958.09
1896–190057.3759.95
1901–190558.0960.55
1906–191059.1761.76
1911–191560.9663.48
1921–192262.7665.43
1925–192763.9966.57
193165.0467.88
1934–3865.4668.45
1950–5268.2972.43

The above tables are exclusive of Maoris. A table showing the expectation of life of the Maori population is given in Section 4D.

A comparison of the expectation of life at age 0 for various countries is now given. In selecting comparable tables from the experience of other countries due regard was had to securing the most recent figures available. The countries selected are for the most part those of similar racial stock.

CountryMalesFemales

* Exclusive of Maoris.

† White population.

New Zealand (1950–52)*68.2972.43
Australia (1946–48)65.0770.63
Union of South Africa (1945–47)63.7868.31
England and Wales (1950–52)66.4771.48
United States of America (1951)66.672.6
Norway (1945–48)67.7671.68
Netherlands (1947–49)69.471.5
Denmark (1946–50).67.870.1
Sweden (1941–45)67.0669.71
Finland (1941–45)54.6261.14
France (1946–49)61.967.4
Switzerland (1939–44)62.6866.96
Canada (1947)65.1869.05

STANDARDIZED DEATH RATES.—Except where specifically stated, all death rates quoted throughout this Section are crude rates—i.e., those ascertained by applying the mean population for the year to the total deaths registered during the year.

In New Zealand the age and sex constitutions of the people have changed very materially over the years, so that death rates for recent years relate to a differently constituted population than do death rates for earlier years. This factor has had a marked influence on the risks—and causes—of dying. In order to eliminate the effect of a changing age constitution from other causes influencing the death rate, the device of standardization is resorted to. The principle of this method is to compute death rates on the assumption that the sex and age composition of the population has not varied. A “standard" population is selected, and the mortality experience of any particular year is weighted according to the age distribution of that standard population.

The standardized death rates thus calculated for each of a number of countries, or for a number of years for the same country, may then be regarded as indices of the relative mortalities free from the distortion which might arise through differences in their respective sex or age constitutions. A comparison of the relative proportions of population in various age groups between New Zealand and the United Kingdom, for instance, shows this country to have higher proportions in the age groups under 30, while the United Kingdom has higher proportions in the age groups over 30 years.

A system of standardization of death rates was introduced some years ago in New Zealand, the age and sex constitution of the population as disclosed at the census of 1911 being taken as the basis. The following table gives both recorded and standardized death rates per 1,000 of population (on the 1911 standard population) for each fifth year from 1920 to 1950 and for the year 1953.

YearRecorded RatesStandardized Rates
MalesFemalesTotalsMalesFemalesTotals
192011.119.1510.1510.838.849.89
19259.107.488.308.686.787.78
19309.427.698.578.666.487.63
19358.957.528.257.685.786.78
194010.188.289.247.955.676.87
194511.378.8410.077.965.406.75
195010.238.389.316.944.555.81
19539.807.868.846.674.105.46

INFANT MORTALITY.—Over a long period of years New Zealand has been renowned for its low rate of infant mortality, a fact attributable partly to such matters as climate, virility of the race, comparative absence of densely settled areas, etc., and partly to legislative and educative measures—the latter conducted by the State as well as by various organizations (one of the most important of these is the Royal New Zealand Society for the Health of Women and Children which was founded in 1907).

Particulars of deaths of infants under one year of age for each of the years 1943–53 are shown in the following table.

YearNumberRate Per 1,000 Live Births
MalesFemalesTotalsMalesFemalesTotals
194355140095135.027.431.4
19445784341,01233.626.530.1
19456074291,03632.023.828.0
19466314621,09329.322.726.1
19476244981,12227.322.725.0
194856940197025.218.622.0
19496004461,04626.421.023.8
19505694391,00825.120.322.8
19516114061,01726.518.822.8
19525534611,01423.220.421.8
195354938293123.016.920.1

In the following table New Zealand's infant-mortality rate is shown in comparison with that of other countries. The figures are taken from the United Nations Monthly Bulletin of Statistics. It is interesting to observe that the distinction of having the lowest infant-mortality rate in the world now belongs to Sweden, which achieved the phenomenally low ratio of 19 infant deaths per 1,000 live births in 1953, as compared with New Zealand's 20 for the same year. In the case of the Union of South Africa and New Zealand the European population only has been taken into account.

CountryQuinquenniumDeaths Under 1 Year Per 1,000 Births
Sweden1949–5321
New Zealand1949–5322
Australia1949–5324
Netherlands1949–5324
Norway1948–5227
United States of America1949–5329
Denmark1949–5330
Switzerland1949–5331
United Kingdom1949–5332
Union of South Africa1949–5335
Canada1949–5339
Finland1949–5339
Israel1949–5342
Republic of Ireland1949–5345
France1949–5349
West German Federal Republic1949–5352
Belgium1948–5253
Japan1949–5355
Cyprus1949–5360
Austria1949–5361
Italy1949–5365
Spain1949–5367
Ceylon1949–5380
Venezuela1949–5380
Czechoslovakia1947–5181
Portugal1949–5398
Mexico1947–51100
Peru1949–53106
India1948–52124
Egypt1947–51132
Chile1949–53144

The male rate of infant mortality is considerably above the female rate, the average for New Zealand over the five-year period 1949–53 being 24.8 male deaths per 1,000 male births and 19.5 female deaths per 1,000 female births.

The rates per 1,000 births for the two sexes combined at different ages during the first year of life are now given for each of the last eleven years.

INFANT-MORTALITY RATES, 1943–53 (PER 1,000 LIVE BIRTHS)

YearUnder One DayOne Day and Under Two DaysTwo Days and Under One WeekTotal Under One WeekOne Week and Under Two WeeksTwo Weeks and Under Three WeeksThree Weeks and Under One MonthTotal Under One MonthOne Month and Under Twelve MonthsTotal Under One Year
19438.43.65.817.82.00.80.721.310.131.4
19448.62.55.516.62.31.30.420.69.530.1
19458.42.55.416.31.90.80.619.68.428.0
19468.23.04.916.11.80.70.519.17.026.1
19478.03.04.515.51.40.70.518.16.925.0
19486.72.94.113.71.10.60.415.86.222.0
19498.23.04.015.21.00.50.317.06.823.8
19507.33.14.214.61.20.60.216.66.222.8
19516.92.94.914.71.00.20.316.26.622.8
19526.32.44.313.01.20.40.515.16.721.8
19535.92.14.112.11.10.60.514.35.820.1

Infants who die in the first year of life may be grouped roughly into two main classes—viz., those dying within one month of birth and those surviving the first month of life but dying before the first anniversary of their birth. Deaths amongst the first class, called neo-natal deaths, are due principally to pre-natal and natal influences. The second group covers those infants who have succumbed in the main to causes arising from post-natal influences such as the various epidemic diseases, diseases of the respiratory system, faulty feeding, and other environmental factors.

The next table shows that, whereas in the quinquennium 1946–50 the death rate for children under one month of age was 42 per cent lower than in the quinquennium 1881–85, the rate for children who had survived the first month of life was only approximately one-ninth as high as in the “eighties.” In other words, whereas formerly over sixty children out of every 1,000 who survived the first month of life died before reaching one year of age, now only seven such deaths occur. While the decline in the under-one-month group has been progressive for some years, it was among infants who had survived the first month of life that the most marked reductions were achieved. In the “thirties,” however, the reduction of this rate was arrested, and in the quinquennium 1941–45 an increase was recorded for the first time. For some years it had been considered that any further substantial decrease in the total infant-mortality rate would have to be achieved in the under-one-month group. The figures for 1946–50, however, indicate that whereas this group recorded a decrease of 13 per cent from 1941–45, the one-month-and-over group declined by 31 per cent.

PeriodDeaths Per 1,000 Births
Under 1 YearUnder 1 MonthBetween 1 and 12 Months
1881–188590.6029.7760.83
1886–189084.0927.5756.52
1891–189587.6030.3457.26
1896–190080.0630.3849.68
1901–190574.7730.6444.13
1906–191069.6230.2839.34
1911–191553.6329.2824.35
1916–192048.6228.1620.46
1921–192542.7527.4815.27
1926–193036.7024.8211.88
1931–193531.8822.349.54
1936–194031.8322.519.32
1941–194529.5320.019.52
1946–195023.9217.316.61
195320.0614.265.80

The accompanying diagram further illustrates the reduction in the infant-mortality rate that has taken place over a long period.

Causes of Infant Mortality.—The principal causes of infant mortality over the last ten years, showing both numbers and rates per 1,000 live births, are shown in the following table. The classification is according to the Sixth (1948) Revision of the International List.

Causes of DeathNumber of Deaths
1944194519461947194819491950195119521953
Tuberculosis, all forms685635..142
Congenital syphilis522..14....1..
Enteric fever and other salmonella infections............3......
Dysentery, all forms....1....1........
Diphtheria58105....2......
Whooping-cough32512041212464
Meningococcal infections58924..25107
Tetanus..24....1..1....
Poliomyelitis....................
Measles..311..31..22
Influenza, pneumonia, and bronchitis after the first four weeks of life73617280748553967973
Pneumonia of the newborn19322725312622302224
Gastro-enteritis after the first four weeks of life28182921211715261012
Diarrhoea of the newborn6565233..15
Congenital malformations165182181190159163198151205163
Birth injury103115130154167158142146118127
Asphyxia and atelectasis647793100102111128164174152
Haemolytic disease of newborn (erythroblastosis)34293437353050383437
Immaturity unqualified284274311276193238225191191162
Accidents33333538445230332624
Other and undefined causes150174142162130137122131129136
    Totals1,0121,0361,0931,1229701,0461,0081,0171,014931
Causes of DeathRates Per 1,000 Live Births
1944194519461947194819491950195119521953

*Less than 0.1.

Tuberculosis, all forms0.20.20.10.10.10.1..*0.1*
Congenital syphilis0.20.10.1..*0.1....*..
Enteric fever and other salmonella infections............0.1......
Dysentery, all forms....*....*........
Diphtheria0.20.20.20.1....0.1......
Whooping-cough1.00.1*0.50.10.30.30.10.10.1
Meningococcal infections0.20.20.2*0.1..0.10.10.20.2
Tetanus..0.10.1....*..*....
Poliomyelitis................0.1*
Measles..0.1**..0.1*..0.1*
Influenza, pneumonia, and bronchitis after the first four weeks of life2.21.71.71.81.71.91.22.21.71.6
Pneumonia of the newborn0.60.90.60.60.70.60.50.60.50.5
Gastro-enteritis after the first four weeks of life0.80.50.70.50.50.40.30.60.20.3
Diarrhoea of the newborn0.20.10.10.10.10.10.1..*0.1
Congenital malformations4.94.94.34.23.63.74.53.44.43.5
Birth injury3.13.13.13.43.83.63.23.32.52.7
Asphyxia and atelectasis1.92.12.22.22.32.52.93.73.73.3
Haemolytic disease of newborn (erythroblastosis)1.00.80.80.80.80.71.10.90.70.8
Immaturity unqualified8.57.47.46.24.45.45.14.34.13.5
Accidents1.00.90.80.91.01.20.70.70.60.5
Other and undefined causes4.14.63.43.62.83.12.62.92.82.9
    Totals30.128.026.125.022.023.822.822.821.820.0

Some remarkable changes are disclosed by the next table, which gives the infant-mortality rates for various groups of causes in quinquennial periods commencing with the years 1872–76 and for 1953. It would appear that diseases which can be combated openly, such as epidemic diseases, respiratory diseases, and diseases due to faulty nourishment, etc. (i.e., diseases of the digestive system), have shown a definite response to the strenuous campaigns launched against them. If a comparison be made between the averages of the first and last five-yearly periods given —i.e., 1872–76 and 1947–51—it is found that the general infant-mortality rate shows a decline of 74 per cent, while even greater decreases are recorded for tuberculosis (98 per cent), convulsions (99 per cent), gastric and intestinal diseases (95 per cent), epidemic diseases (92 per cent), and respiratory diseases (78 per cent). The rate for epidemic diseases still continues to decline, and it is interesting to note that over 40 per cent of the total under this heading in the years 1947–51 were due to whooping-cough, while an additional 27 per cent were assigned to influenza. During the five-year period 1949–53 there were only two deaths of infants from diphtheria and three deaths due to scarlet fever and streptococcal sore throat.

The increase shown for malformations and the decrease for tuberculosis are probably somewhat less than is indicated by the figures. In the earlier years covered by the table the latter heading included all deaths from hydrocephalus, many of which were no doubt due to congenital hydrocephalus, which is now included among the malformations. A proportion of the deaths from hydrocephalus in the earlier years would also probably be due to meningitis. The following table shows quinquennial average death rates of infants under one year of age per 1,000 live births. To enable the comparison with past years to be maintained, the infant deaths for 1950 onwards have been re-assembled to conform to the former classifications for the purposes of this table—i.e., influenza deaths have been included under epidemic diseases, while both pneumonia and diarrhoea of the newborn have been included under respiratory and gastric and intestinal diseases respectively, and not as diseases of early infancy.

PeriodEpidemic DiseasesTuberculosisInfantile ConvulsionsRespiratory DiseasesGastric and Intestinal DiseasesMalformationsEarly InfancyOther CausesTotals

*Less than 0.1.

1872–187613.55.59.712.924.21.225.017.3109.3
1877–188110.25.27.512.319.81.421.915.393.6
1882–18869.34.77.911.819.11.225.512.391.8
1887–18918.93.76.310.518.51.324.78.882.7
1892–18969.83.36.611.016.61.424.911.284.8
1897–19016.12.65.610.017.21.526.29.778.9
1902–19065.51.54.19.715.31.327.67.972.9
1907–19115.91.33.37.615.51.926.76.368.5
1912—19163.60.62.25.17.43.926.23.552.5
1917–19213.20.51.94.74.54.326.12.948.1
1922–19261.80.41.34.32.84.822.43.341.1
1927–19311.50.30.53.71.75.019.43.135.2
1932–19361.50.20.63.3125.017.52.431.7
1937–19411.40.20.23.11.35.517.42.531.6
1942–19461.10.102.91.24.616.12.628.7
1947–19510.60.10.12.30.83.813.62.023.3
19530.3**2.20.53.511.32.220.0

It is convenient to consider still-births and neo-natal deaths together, as they are largely the result of common causes. The combined group may be termed perinatal mortality. The term is particularly appropriate when we consider how deaths in the newborn crowd closely towards the day of birth. This effect is clearly shown in the table on page 89. Still-births and neo-natal deaths are considered together in the next table and are computed as rates per 1,000 total births.

YearStill-birthsNeo-natal DeathsNeo-natal Deaths Plus Still-births
NumberRateNumberRateNumberRate
194979617.7774816.701,54434.47
195086519.1573416.251,59935.40
195180417.6972415.931,52833.62
195284617.8870414.881,55032.76
195388718.7566214.001,54932.75

Recent years have shown a definite trend towards improvement in the combined rate.

CAUSES OF STILL-BIRTH.—A still-born child is defined in New Zealand as one “which has issued from its mother after the expiration of the twenty-eighth week of pregnancy and which was not alive at the time of such issue.”

The registration of still-births has been effected in New Zealand since 1913, but no information regarding the causes of still-births was required for registration purposes until 1947. As from 1 July 1952 a certificate of the cause of death in cases of intermediate foetal deaths—i.e., deaths after the end of the twentieth but before the end of the twenty-eighth week of pregnancy—was also required to be furnished. There were 43 such cases recorded during 1953. The certificates of causes of still-birth and foetal death provide for both maternal and foetal causes to be entered.

The following table shows the 887 still-births registered during 1953 classified (a) according to maternal causes and (b) according to foetal causes.

Causes of Still-birthNumber of Cases
MalesFemalesTotal
(a) Maternal Causes   
Chronic disease in mother151631
Acute disease in mother628
Diseases and conditions of pregnancy and childbirth11093203
Difficulties in labour6049109
Other causes in mother4711
    Totals195167362
(b) Foetal Causes   
Placental and cord conditions12087207
Birth injury235
Congenital malformation of foetus4956105
Diseases of foetus and ill-defined causes11593208
    Totals286239525
      Totals, all causes481406887

PERINATAL MORTALITY AND PREMATURITY.—Approximately three out of every four infants who die in the first year of life do so in the first month, and of those dying in the first month 41 per cent die in the first day of life and 85 per cent in the first week.

A principal factor in the loss of this new life is prematurity. This is seen in the following table, where causes of neo-natal deaths for 1953 are set out in accordance with the International List of 1948.

Causes of DeathUnder One DayOne Day and Under One WeekOne Week and Under Two WeeksTwo Weeks and Under Three WeeksThree Weeks and Under One MonthTotal Under One Month
Congenital malformations17461581298
Injury at birth35358..179
Injury at birth with prematurity20231....44
Post-natal asphyxia and atelectasis222921..54
Post-natal asphyxia and atelectasis, with prematurity43313....77
Pneumonia of newborn..712717
Pneumonia of newborn, with prematurity1311..6
Disorders arising from maternal toxaemia43......7
Disorders arising from maternal toxaemia, with prematurity1271....20
Haemolytic disease of newborn (erythroblastosis)161411..32
Haemolytic disease of newborn (erythroblastosis), with prematurity131....5
Haemorrhagic disease of newborn25......7
Haemorrhagic disease of newborn, with prematurity111....3
Diarrhoea of newborn....12..4
Diarrhoea of newborn with prematurity....1....1
Ill-defined diseases peculiar to early infancy23......5
Ill-defined diseases peculiar to early infancy, with prematurity55..1..11
Immaturity with mention of any other subsidiary condition..1......1
Immaturity, unqualified896472..162
Pemphigus neonatorum....1....1
Umbilical sepsis..........1
Other sepsis of newborn..1..1..2
Other sepsis of newborn, with prematurity..11....2
External causes..1......1
Other causes3738..22
    Totals273290492723662

A total of 163, or 25 per cent, of all neo-natal deaths are directly attributed to prematurity (immaturity) and a further 169 deaths are given as associated with it. The principal conditions of early infancy with which prematurity was associated were (i) asphyxia in 77 cases (11.6 per cent of all neo-natal deaths), (ii) birth injury in 44 cases (6.6 per cent of all neo-natal deaths), and (iii) all other causes peculiar to early infancy, 48 cases (7.3 per cent of all neo-natal deaths).

In the case of still-births, out of 887 there were 471 cases, or 53 per cent, where gestation fell short of full term.

It is not possible to assess what the reduction in perinatal mortality would be if every pregnancy were to go to full term, but there is no doubt that it would be considerable.

As a first step in the campaign to reduce this grave loss of new life, details of the birth weight and gestation period of all infants born alive or dead after 1 July 1952 were required to be furnished to the Registrars of Births and Deaths. These will provide essential basic data for further studies on prematurity. It will give a measure of the extent of the problem in different localities according to the age and parity of the mother and the occupation of the father, and it will enable cohorts of infants to be followed through their first year of life so that their mortality and morbidity experience may be shown according to their degree of maturity at birth.

CAUSES OF DEATH.—Since 1908 the classification of causes of death in New Zealand has been on the basis of the international classification initiated by Dr. Jacques Bertillon. Almost all countries are member States of the World Health Assembly, and the International Statistical Classification of Diseases, Injuries, and Causes of Death has world-wide application.

The sixth (1948) revision of the classification was applied in New Zealand to the deaths for 1950. At the same time a departure was made from the previous arbitrary rules of selection, when more than one cause of death was entered on a certificate, to an assignment according to what is termed the underlying cause of death. This may be defined as (a) the disease or injury which initiated the train of morbid events leading directly to death, or (b) the circumstances of the accident or violence which produced the fatal injury. The responsibility for indicating the train of events is placed on the physician or surgeon signing the medical certificate of death.

The following table shows the numbers of deaths and death rates per million of mean population according to the Abbreviated List of 50 Causes (Sixth Revision, 1948). In order to provide a comparison with the years 1950 et seq the individual causes for 1949 were, wherever possible, reassembled under the headings of the 1948 revision of the classification. It should be observed that no allowance was possible for the alteration in method of primary cause selection.

The statistics for tuberculosis, cancer, puerperal causes, and violent causes, which are of special interest and significance, are discussed later on in this subsection. Certain diseases (cholera, plague, smallpox, typhus, and malaria) are not listed in the table below, as there were no deaths occurring from these causes in the years shown.

Causes of DeathNumbersRates Per Million of Mean Population
1949195019511952195319491950195119521953

* Comparative figures not obtainable.

† Less than one.

‡ These figures and rates are not comparable with those given for later years (see letterpress).

Tuberculosis of respiratory system36535131922518320719517412095
Tuberculosis, other forms70616447554034352528
Syphilis and its sequelae71916762614051373332
Typhoid fever32....221....1
Dysentery, all forms3532..2321..
Scarlet fever and streptococcal sore throat..1112..11
Diphtheria5432332212
Whooping-cough2116775129443
Meningococcal infections791419204581010
Acute poliomyelitis13215426712913
Measles24323071421164
All other diseases classified as infective and parasitic55857566673147413535
Malignant neoplasms, including neoplasms of lymphatic and haematopoietic tissues2,5882,6522,8362,7992,7861,4691,4771,5491,4921,448
Benign and unspecified neoplasms46553642362631202219
Diabetes mellitus355228244221242202127133118126
Anaemias29578075611632444032
Vascular lesions affecting central nervous system*1,8242,0632,1652,252*1,0161,1271,1541,170
Non-meningococcal meningitis151815234191081221
Rheumatic fever9141781758949
Chronic rheumatic heart-disease258233204220219146130111117114
Arteriosclerotic and degenerative heart-disease}4,7754,9604,6574,849}2,6592,7092,4822,519
Other diseases of the heart}5,744595591660528}3,261331323352274
Hypertension with heart-disease}653676632559}364369337290
Hypertension without mention of heart*162154165144*90848875
Influenza457778129352643436918
Pneumonia554414406416370315231222222192
Bronchitis1281502503482867384137186148
Ulcer of stomach and duodenum1471461501401588381827582
Appendicitis40342827282319151414
Intestinal obstruction and hernia1151271181101116571645958
Gastritis, duodenitis, enteritis, and colitis, except diarrhoea of newborn858611575794848634041
Cirrhosis of liver56546457463230353024
Nephritis and nephrosis*212199188178*11810910092
Hyperplasia of prostate1061491541401176083847561
Complications of pregnancy, childbirth, and the puerperium45403133252622171813
Congenital malformations217299202255234123166110136122
Birth injuries, post-natal asphyxia, and atelectasis}270310292260}150169156135
Infections of the newborn}64025302536}36314161319
Other diseases peculiar to early infancy, and immaturity unqualified}318296274258}177162146134
Senility without mention of psychosis, ill-defined and unknown causes2061862091771191171041149462
All other diseases3,0141,3341,4261,5351,4651,711742778818761
Motor-vehicle accidents195212269252279111118147134145
All other accidents547501549550558311279300293290
Suicide and self-inflicted injury171165182189192979299101100
Homicide and operations of war202014191011118105
    Totals16,01216,71517,51217,41317,0099,0929,3089,5649,2828,837

TUBERCULOSIS.—The death rate from tuberculosis of the respiratory system has shown a declining tendency for many years, but the reduction by over one-half in the space of the five years 1949–53 is a noteworthy achievement. The rate for 1953, 95 per million of population, is a record low rate for this country.

In addition to the 183 deaths from tuberculosis of the respiratory system during 1953, there were 55 deaths from other forms of tuberculosis, comprising—

Tuberculosis of meninges and nervous system17
Tuberculosis of intestines, peritoneum, and mesentery3
Tuberculosis of bones and joints5
Tuberculosis of skin1
Tuberculosis of lymphatic system2
Tuberculosis of genito-urinary system8
Tuberculosis of adrenal glands3
Disseminated tuberculosis15
Tuberculosis of other organs1

The following table shows the number of deaths from tuberculosis in 1953, classified according to sex and age groups. Of those dying from this cause in 1953, persons under the age of 45 years formed 34 per cent.

Age, in YearsMalesFemalesTotals
Under 58614
5 and under 10134
10 and under 15112
15 and under 20 22
20 and under 25123
25 and under 30257
30 and under 355914
35 and under 4011516
40 and under 4513821
45 and under 5011516
50 and under 5512820
55 and under 6017623
60 and under 6522729
65 and under 7018624
70 and under 7518321
75 and under 8010414
80 and over358
    Totals15385238

CANCER.—A special report on cancer is issued annually by the Medical Statistics Branch of the Department of Health. Besides a section dealing with cancer as a cause of death there are analyses of returns received from the various cancer clinics established in New Zealand under the auspices of the British Empire Cancer Campaign Society. These returns, together with those of patients treated in the public hospitals of New Zealand, provide for reasonably wide coverage. A system of registration enables a follow-up of each patient to be maintained which will eventually enable survival rates by site and method of treatment to be compiled. Special articles and statistical tables on the subject of cancer are contained in the 1917 and 1926 issues of the Year-Book, while the 1949 report of the Department of Health contains data covering the twenty-six years from 1924 to 1949.

Attention is drawn to the transference, under the 1948 Revision of the International Classification, of Hodgkin's disease, leukaemia, etc., into the category of malignant diseases. This classification was introduced in 1950, and all cancer figures quoted for that and subsequent years include these conditions.

Cancer is annually responsible for more deaths in New Zealand than can be assigned to any cause other than diseases of the heart. While it is most prevalent in middle and old age, it exacts a heavy toll throughout the life-span. With the inclusion of Hodgkin's disease and leukaemia under the cancer heading the disease assumes a very high position as a cause of death among children and adolescents. It is interesting to compare the decline in the death rate from tuberculosis with the rise in the cancer death rate. These rates are set out in the following table and diagram. The fall in the tuberculosis rate may be said to reflect the achievements of the public-health service, whilst the rise in the cancer rate portrays in general the increasing age of the population.

This is illustrated by the following figures.

PeriodAverage Death Rates Per 10,000 of Population
 TuberculosisCancer
1880–8912.353.42
1890–9910.625.44
1900–099.106.79
1910–196.998.22
1920–295.699.30
1930–394.1711.17
1940–493.4613.56
1950–531.7614.91

The relative movements in the death rates from cancer and tuberculosis are further illustrated in the following diagram, which shows the rates at five-yearly intervals since 1880.

In 1953 there were 2,786 deaths from cancer in New Zealand, a proportion of 14.48 per 10,000 of mean population. A summary for the last eleven years is given below.

YearNumber of Deaths From CancerRecorded Death RateStandardized Death Rate*

* Standard population used for standardized rates—England and Wales 1901.

† Includes Hodgkin's disease, leukaemia, etc., from 1950 onwards.

19432,13113.858.67
19442,18214.028.58
19452,21313.888.42
19462,26813.688.48
19472,31513.678.30
19482,45314.218.65
19492,47214.048.59
19502,65214.778.99
19512,83615.499.49
19522,79914.929.03
19532,78614.488.89

A summary showing the location of the disease in deaths from cancer during 1953 is given in the following table.

Site of DiseaseNumbersRates Per Million of Mean Population
MalesFemalesTotalsMalesFemalesTotals
Buccal cavity and pharynx391655401729
Oesophagus482775502839
Stomach281165446291172232
Intestine, except rectum140187327145195170
Rectum8362145866575
Larynx2232523313
Trachea, and of bronchus and lung not specified as secondary2363527124437141
Breast42482524259131
Cervix uteri..7777..8040
Other and unspecified parts of uterus..4747..4924
Prostate162..162168..84
Skin322557332630
Bone and connective tissue171431181516
All other and unspecified sites291300591301313307
Leukaemia and aleukaemia6849117705161
Lymphosarcoma and other neoplasms of lymphatic and haematopoietic system7236108743856
    Totals1,4951,2912,7861,5471,3481,448

The standardized figures for recent years suggest that cancer, while undoubtedly increasing in numerical incidence, is not doing so out of proportion to the population exposed to the cancer risk. Improvement in diagnosis has been responsible for some of the numerical increase in the recorded deaths from cancer, though this factor has now become more stabilized. A classification according to sex and age groups for 1953 is now given.

Age, in YearsMalesFemalesTotals
Under 5161026
5 and under 105712
10 and under 156410
15 and under 20628
20 and under 256713
25 and under 30111122
30 and under 35151631
35 and under 40132538
40 and under 45275380
45 and under 506892160
50 and under 5591100191
55 and under 60133124257
60 and under 65174141315
65 and under 70250153403
70 and under 75275199474
75 and under 80227168395
80 and over172179351
    Totals1,4951,2912,786

Ninety-one per cent of the deaths from cancer during 1953 were at ages 45 years and upwards, and 58 per cent at ages 65 years and upwards. Approximately one death in every six of persons who die after the age of 50 years is due to cancer.

PUERPERAL CAUSES.—In point of numbers of deaths, puerperal accidents and diseases do not rank high among causes of death. Nevertheless, deaths from puerperal causes are of special importance and significance. The rate per 1,000 live births in each of the last twenty years is shown in the following table.

YearProportion Per 1,000 Live Births
19344.85
19354.21
19363.70
19373.61
19384.07
19393.64
19402.93
19413.36
19422.53
19432.21
19442.71
19452.24
9462.05
19471.07
19481.26
19491.02
19500.90
19510.69
19520.71
19530.54

A survey of the death rate from puerperal causes since 1872 shows that for a period in the early part of the twentieth century there was a tendency for the rate to decline. Then followed a definite upward movement, culminating in a rate of 6.48 per 1,000 live births in 1920, the third highest on record, this figure having been exceeded only in 1884 and 1885. Comparatively high rates persisted until 1931, since when the decline has been more or less steady. The efficacy of new drugs and methods of treatment is reflected in the extremely low rates recorded in recent years, the figure for 1953 of 0.54 being a new record. This low rate has been achieved mainly by a reduction in the number of deaths from septic abortion and puerperal sepsis. Deaths from complications of childbirth have also been unusually few since 1949.

It is generally conceded that in years of high birth rates the maternal-mortality rate tends to rise, probably due to the abnormally high proportion of first births in the total of births, upon which the death rate for these causes is based. In common with most countries for which recent figures are available, the reverse has been the experience in New Zealand during recent years. Possibly a contributory factor in this reversal has been the rise in the proportion of births taking place in institutions, more particularly in special annexes attached to the larger hospitals, where every facility for the care of the patient is more readily available.

Details of deaths from deliveries and complications of pregnancy, childbirth, and the puer-perium for the three years 1951 to 1953 are shown in the following summary. The disease headings conform to the 1948 Revision of the Classification introduced in 1950.

Causes of DeathNumber of DeathsRate Per 10,000 Live Births
195119521953195119521953
Toxaemias of pregnancy79131.571.942.79
Placenta praevia31..0.670.22..
Other haemorrhage of pregnancy11..0.220.22..
Ectopic pregnancy..1.. 0.22..
Other complications arising from pregnancy1....0.22....
Abortion without mention of sepsis or toxaemia3310.670.640.22
Abortion with sepsis2410.450.850.22
Delivery complicated by placenta praevia or antepartum haemorrhage13..0.220.64..
Delivery complicated by retained placenta..12..0.220.42
Delivery complicated by other post-partum haemorrhage4430.900.850.64
Delivery complicated by disproportion or malposition of foetus....1....0.22
Delivery with trauma3310.70.40.22
Delivery with other complications of childbirth....1....0.22
Sepsis of childbirth and the puerperium1110.220.220.22
Puerperal phlebitis and thrombosis..11..0.220.22
Puerperal pulmonary embolism31..0.670.22..
Puerperal eclampsia1....0.22....
Other and unspecified complications of the puerperium1....0.22....
      Totals, including septic abortion3133256.927.105.39
      Totals, excluding septic abortion2929246.476.255.17

A summary of maternal mortality from all puerperal causes, in triennial periods since 1927 is now given.

Causes of Death1927–291930–321933–351936–381939–411942–441945–471948–501951–53
Number
Puerperal sepsis12858394446301263
Eclampsia and other toxaemias1019793948058624230
Septic abortion47859168586133207
Accidents, haemorrhage, and other mortality12412410491135941107349
      Total maternal mortality40036432729731924321714189
      Maternal mortality, excluding septic abortion35327923622926118218412182

DEATHS FROM EXTERNAL CAUSES.—Deaths from external causes, apart from suicide, claim approximately 4 per cent of the total deaths. The following table shows deaths from external causes for the three years 1951, 1952, and 1953 according to the Intermediate List of the 1948 Revision of the International Classification. It is necessary to refer to the detailed list of circumstances of accident or means of injury if a comparison with years prior to 1949 is required, as the inclusions under the headings below differ considerably from past practice—e.g., drowning from boats and ships or from horseback whilst crossing rivers are included below as transport fatalities, as also are falls on board ship and from horseback.

Causes of DeathNumber of DeathsRate Per Million of Mean Population
195119521953195119521953
Motor-vehicle accidents269252279147134145
Other transport accidents1159097634850
Accidental poisoning293027161614
Accidental falls139168182769095
Accident caused by machinery193529101915
Accident caused by fire and explosion of combustible material192123101012
Accident caused by hot substance, corrosive liquid, steam, and radiation17118964
Accident caused by firearm2217141297
Accidental drowning and submersion908178494341
All other accidental causes9997102545253
Homicide and injury purposely inflicted by other persons (not in war)1418108105
    Totals832820849454437441

The number of deaths recorded from all accidental causes in 1953 was 839, corresponding to a rate of 4.36 per 10,000 of population. By comparison with 1936, there was an increase of 141 in the number of deaths, but the death rate has decreased by 0.32 per 10,000 of population.

Transport Accidents.—In classifying deaths attributable to transport accidents under the various subheadings shown in the following table the rule of assignment is that in fatalities due to collisions of railway trains and electric tram cars with motor vehicles the death is assigned to the railway train or electric tram car as being the heavier and more powerful vehicle. In the case of collisions between motor vehicles and horse-drawn vehicles, the death is assigned to the motor vehicle.

The number and rate of deaths resulting from railway, tramway, motor vehicle, and aircraft accidents during each of the last eleven years are as follows.

YearDeaths Due to AccidentRate Per 10,000 of Mean Population
RailwayTramwayMotor VehicleAircraftRailwayTramwayMotor VehicleAircraft
1943749113970.480.060.730.63
19443611129410.230.070.830.26
19453611104270.230.070.650.17
1946402215730.240.130.950.02
194739918780.230.051.100.05
1948347175240.200.041.010.14
1949287190250.160.041.080.14
195030719860.170.041.100.03
195139925490.210.051.390.05
1952322240140.170.011.280.07
1953262269280.140.011.400.15

It should be noted that deaths occurring as a result of the Tangiwai railway disaster were not registered till 1954, and consequently were not included in the 1953 totals.

Deaths arising out of aircraft accidents fell off steeply after 1945. This was to be expected, since the figures include Air Force accidents in New Zealand as well as civilian casualties. In 1948 the crashing on Mount Ruapehu of a National Airways Corporation plane with the loss of 13 lives was the principal cause of the high figure for civil air transport accidents in that year. New Zealand's worst air disaster occurred in 1949, when fifteen lives were lost in a crash at Waikanae. The figure of 25 deaths is the highest total recorded in a non-war year. The sharp increase in 1943 in deaths due to railway accidents is accounted for by one serious accident near Hyde in Central Otago, which resulted in twenty-one deaths. In 1948 a derailment near Blenheim resulting in the loss of six lives was a substantial contribution to the total in that year.

Deaths from motor-vehicle accidents recorded an appreciable increase up to 1930, but this trend was reversed during the depression years, largely owing to a great reduction in the number of motor vehicles on the roads during that period. With the advent of more prosperous times, the toll of the motor vehicle again mounted, although, fortunately, not in proportion to the tremendous increase in motor vehicular traffic on the highways. An appreciable drop, however, was experienced during the war years on account of there being less traffic on the roads owing to restrictions in the use of motor spirits and rubber tires. Since the war the number of fatalities from motor-vehicle accidents progressively increased up to 1953, with the exception of a small decline in 1952.

The figures given in the above table for deaths from motor-vehicle accidents (which do not include deaths of Maoris) are exclusive of accidents where persons have been killed in collisions between motor vehicles and trains or trams, these being assigned to the heavier vehicle. For 1953 there were 10 deaths from such accidents, bringing the total number of deaths in cases where a motor vehicle was involved up to 279. The corresponding figure for 1952 was 252.

Non-transport Accidents.—The 1948 Revision of the International List makes provision for non-transport accidents (excluding therapeutic misadventure in treatment, complications following vaccination or inoculation, and late effects of injury and poisoning) to be grouped according to the place where the accident or poisoning occurred. The following table shows the deaths, both numbers and rates, for each of the three years 1951, 1952, and 1953 according to this classification.

Place of OccurrenceNumberRate Per Million of Mean Population
195119521953195119521953
Home (including home premises and vicinity and any non-institutional place of residence)222195244121104127
Farm (including buildings and land under cultivation, but excluding farm and home premises)294743152522
Mine and quarry7107454
Industrial place and premises1918910105
Place for recreation and sport789445
Street and highway101217569
Public building (building used by the general public or a particular group of the public)1356733
Resident institution (homes, hospitals, etc.)233219131710
Other specified places839489455046
Place not specified1632810174
    Totals429453451234241235

One in every two fatal non-traffic accidents occurs in or about the home.

The chief killer in the home is falls, which exacts a heavy toll of the aged and infirm. Second comes asphyxia from regurgitation of foodstuffs and inhalation of other objects, or mechanically from pillows and bedclothes: this is the principal hazard of the first six months of life, though a proportion of these deaths is probably due to some undisclosed underlying respiratory infection. Almost all the home drowning fatalities are amongst toddlers between one and two years of age who fall into rivers, creeks, and ponds in the immediate home vicinity.

There were 119 deaths from non-transport accidents on farms in the period covered, while fatal non-transport accidents in industrial plants, factories, and workplaces totalled 46.

Further data regarding accidents will be found elsewhere in this volume (see Index). A later Section is devoted wholly to statistics of industrial accidents.

SUICIDES.—Suicidal deaths in 1953 numbered 190—males 135, females 55—the death rate per 10,000 of mean population being 0.99.

YearNumber of Suicidal DeathsRate Per 10,000 of Mean Population
MalesFemalesTotalsMalesFemalesTotals
1949114571711.290.650.97
1950121441651.340.490.92
1951136461821.480.500.99
1952141481891.500.511.01
1953135551901.400.570.99

The following table presents, for annual averages of various quinquennia, the suicide rate per 10,000 of mean population.

Annual Average DuringMalesFemalesBoth Sexes
1895–991.480.310.93
1900–041.660.311.02
1905–091.620.341.02
1910–141.830.411.16
1915–191.790.401.10
1920–241.920.461.20
1925–292.170.561.38
1930–342.290.551.44
1935–391.630.571.10
1940–441.440.560.99
1945–491.380.570.97
1950–53 (4 years)1.430.520.98

4 D—MAORIS

Unless specially stated to the contrary, in each of the preceding subsections Maoris have been excluded from the statistical tables presented. The standard of registration of Maoris is still below that of the European section of the population of New Zealand. This is due partly to difficulties of language, educational status, etc., and partly to problems of access. This latter difficulty arises from the fact that the greater portion of the Maori population is resident in country districts not so well served with modern facilities as regards transport, medical, and nursing services, etc. Consequently registration of vital facts regarding the Maori race as a whole is not quite at the same high level of accuracy as obtains for the European population, but very considerable improvement has been effected in recent years.

MAORI BIRTHS.—In the successive Registration Acts special provision was made for exemption from the necessity of registration in the case of births and deaths of Maoris, though registration could be effected if desired. Section 20 of the Births and Deaths Registration Amendment Act 1912 (now section 52 of the Births and Deaths Registration Act 1951) empowered the making of regulations to provide for the registration of births and deaths of Maoris. Regulations were made accordingly, and Maori births and deaths became registrable as from 1 March 1913. The number of Registrars of Maori Births and Deaths in New Zealand is over 250, most of these being in the North Island, where the great majority of the Maori population is located. Every Maori settlement of any size is within reach of one of these Registrars. Maori registrations are entered in a separate register, which does not, however, make provision for as many particulars as is the case with registrations of Europeans.

The number of births of Maoris registered during 1953 was 5,529 (2,884 males, 2,645 females). The Maori birth rate in 1953 was almost twice the European birth rate (24.12 per 1,000). Registrations of Maori births in each of the last eleven years were as follows.

YearNumber of Maori BirthsRate Per 1,000 of Mean Population
MalesFemalesTotals
19432,2672,1734,44045.78
19442,3282,1804,50845.32
19452,3892,2554,64446.10
19463,0072,7695,77656.81
19472,5412,4474,98847.46
19482,5892,3674,95645.97
19492,5102,4074,91744.48
19502,6062,4995,10545.07
19512,7462,4925,23844.97
19522,8562,6035,45945.41
19532,8842,6455,52944.54

Prior to 1946 there was reason to believe that the number of Maori births was somewhat understated, and this view was confirmed by the registration figures for 1946, the year in which the provision of family benefits under the Social Security scheme was extended to cover all children under sixteen years of age irrespective of the income of the parents. Of the 5,776 Maori births registered during 1946, no fewer than 1,447, or 25 per cent, had actually occurred before 1945—i.e., over a year before registration.

For the purposes of the Maori Births and Deaths Registration Regulations 1935 a Maori is defined as “a person belonging to the aboriginal race of New Zealand, and includes a half-caste and a person intermediate in blood between half-castes and persons of pure descent from that race”.

Only registrations relating to persons possessing half or more Maori blood are made in the register of Maori births or Maori deaths. All registrations in respect of persons possessing less than half Maori blood must be made in the European register.

MAORI MARRIAGES.—In the 1953 and preceding issues of the Year-Book a brief statement of the legislative position relating to Maori marriages was given. The Maori Purposes Act 1951, however, brought about a complete change to that hitherto existing. The view was taken that the Maori race had reached a stage where such special dispensations were no longer justifiable. From 1 April 1952 all Maori marriages are subject to the ordinary laws affecting European marriages, and no marriage according to Maori custom subsequent to that date will be held valid. As a result it is not now possible to distinguish marriages of Maoris from those of Europeans, and Maori marriage statistics as a separate feature will lapse.

The Maori marriage figures for each of the ten years (1942–51) were as follows.

YearUnder Maori Land ActUnder Marriage ActTotals
194246393556
194336379442
194442893521
194545776533
194651150561
194746854522
194851840558
194955019569
195056926595
195152234556

MAORI DEATHS.—Registrations of Maori deaths during each of the last eleven years have been as follows.

YearNumberRate Per 1,000 of Maori Population
MalesFemalesTotalsMalesFemalesTotals
19438628131,67517.5117.1117.27
19448618251,68617.1216.7716.95
19458657701,63516.9315.5016.23
19468377901,62716.0315.9716.00
19477967421,53814.7414.5214.63
19487896841,47314.2513.0413.66
19497977691,56614.0314.3114.17
19507346351,36912.6211.5212.09
19517395851,32412.3810.3111.37
19528036801,48313.0411.6012.34
19537605851,34511.979.6510.84

The rates for the two sexes are much more nearly equal for Maoris than for the rest of the population, the female rate being indeed higher than the male in some years. The total Maori death rate has shown considerable improvement during recent years, and is fast approaching equality with the European rate. Further improvement in the infant mortality rate for Maoris could result in such equality in the near future.

Apart from mere numbers by sex, statistics of Maori deaths are not available prior to 1920, but annual tabulations are now made on the bases of age and cause of death. The ages of Maoris whose deaths were registered during the year 1953 were as shown in the following table.

Age, in YearsMalesFemalesTotals
Under 1243161404
1 and under 5485098
5 and under 10172138
10 and under 15172138
15 and under 20171027
20 and under 25341953
25 and under 30161531
30 and under 35151328
35 and under 40211435
40 and under 45243155
45 and under 50422163
50 and under 55322355
55 and under 60373269
60 and under 65362965
65 and under 70513081
70 and under 75412970
75 and under 80351449
80 and under 85121426
85 and under 90101828
90 and under 953811
95 and under 100639
100 and over279
Not specified123
    Totals7605851,345

EXPECTATION OF LIFE.—Official life tables dealing with the Maori population have been compiled for the first time. The investigation was based on the 1951 Census combined with the deaths for the three years 1950–52, and the (complete) expectation of life at various ages is given below.

AgeMalesFemales
054.0555.88
157.6959.08
257.7159.03
357.0258.26
456.2557.45
555.4256.61
1050.9952.05
2042.2143.29
3034.2535.11
4026.4127.00
5018.8620.07
6012.8114.41
708.399.98
804.795.71

The expectation of life of Maoris is much shorter than that of the European population. A comparison at age 0 shows a longer expectation of 14.24 years for European males and 16.55 years for European females.

A similar table to the above for Europeans will be found in Section 4C.

Causes of Maori Deaths.—With the exception of diphtheria and scarlet fever, epidemic and infectious diseases generally exact a much heavier toll proportionately among Maoris than among the European population, the most noteworthy examples being tuberculosis, particularly of the respiratory system, and typhoid fever. Other diseases of the respiratory system also show much higher rates for Maoris than for Europeans, and the same state of affairs is disclosed for diarrhoeal diseases and stomach complaints.

On the other hand, there is a much lower mortality rate among Maoris from certain diseases which rank high as causes of death among the European population. Principal among these are cancer, heart-disease and other diseases of the circulatory system, nephritis, the group of general diseases which includes diabetes and exophthalmic goitre, and the group of diseases of the nervous system which includes apoplexy and cerebral haemorrhage. Malformations show lower rates for Maoris than for Europeans, but the indefinite nature of the data in the registration entries covering the deaths of many Maori infants may be partly responsible, as the figures of deaths from malformations and the group “early infancy” taken in conjunction indicate a much higher rate for Maoris from these causes as a whole than for the European population.

The Introduction of the Sixth (1948) Revision of the International Classification of Causes of Death in 1950, together with the change to assignment according to the underlying cause of death, prevent accurate comparisons being made between the 1950 and subsequent mortality tabulations and those for earlier years. The following table shows the Maori deaths for 1951 to 1953 classified according to the Abbreviated List of the 1948 Revision.

Causes of DeathNumber of DeathsRate Per 10,000 of Mean Maori Population
195119521953195119521953
Tuberculosis of respiratory system1291117911.089.236.36
Tuberculosis, other forms3938403.353.153.22
Syphilis and its sequelae4480.340.330.65
Typhoid fever2..30.17..0.24
Dysentery, all forms2340.170.250.32
Scarlet fever and streptococcal sore throat..1....0.08..
Whooping-cough411100.340.920.81
Meningococcal infections8270.690.170.56
Acute poliomyelitis1310.090.250.08
Measles..156..1.250.48
All other diseases classified as infective and parasitic1114190.941.161.53
Malignant neoplasms, including neoplasms of lymphatic and haematopoietic tissues771061036.618.828.30
Benign and unspecified neoplasms2150.170.080.40
Diabetes mellitus55110.430.420.89
Anaemias1150.090.080.40
Vascular lesions affecting central nervous system5144404.383.663.22
Non-meningococcal meningitis1217151.031.421.21
Rheumatic fever614160.521.161.29
Chronic rheumatic heart-disease4036403.432.993.22
Arteriosclerotic and degenerative heart-disease19114114916.4011.7312.00
Other diseases of the heart8344457.133.663.63
Hypertension with heart-disease1921201.631.751.61
Hypertension without mention of heart1570.090.420.56
Influenza142261.201.830.48
Pneumonia14918714712.8015.5611.84
Bronchitis3065462.585.413.71
Ulcer of stomach and duodenum11030.090.830.24
Appendicitis4350.340.250.40
Intestinal obstruction and hernia139101.120.750.81
Gastritis, duodenitis, enteritis, and colitis, except diarrhoea of the newborn5076584.296.324.67
Cirrhosis of liver1110.090.080.08
Nephritis and nephrosis923150.771.911.21
Hyperplasia of prostate2510.170.420.08
Complications of pregnancy, childbirth, and the puerperium51470.431.160.56
Congenital malformations2340281.973.332.26
Birth injuries, postnatal asphyxia, and atelectasis4847574.123.914.59
Infections of the newborn1214121.031.160.97
Other diseases peculiar to early infancy, and immaturity unqualified6582645.586.825.16
Senility without mention of psychosis, ill-defined and unknown causes3221152.751.751.21
All other diseases731041046.258.658.38
Motor-vehicle accidents2944392.493.663.14
All other accidents6168815.245.666.53
Suicide and self-inflicted injury6960.520.750.48
Homicide and operations of war9270.770.170.56
    Totals1,3241,4831,345113.68123.37108.34

From 1925 onwards information has been obtained as to whether the cause of death has been certified by a medical practitioner or a Coroner's inquest. As an indication of the improvements achieved in the specifying of the causes of deaths of Maoris, it may be said that in 1925, out of a total of 867 deaths, 446, or 51 per cent, were definitely shown to have been certified, while in 1953 the number so certified was 1,295 out of 1,345 registrations, equivalent to 96 per cent.

MAORI INFANT MORTALITY.—As regards infant mortality, the Maori rate is much higher and more variable than the European, principally owing to the ravages of epidemic diseases, tuberculosis, respiratory diseases, and diarrhoeal diseases. The infant-mortality rate for the first year of life was 76 per 1,000 births in the case of Maoris for the five years 1949–53, as compared with 22 per 1,000 among European infants. The decrease in the Maori infant-mortality rate during the years 1946 and 1947 is more apparent than real, as the birth figures on which they are based include a considerable number of late registrations of hitherto unregistered births (see p. 99).

The numbers and rates per 1,000 live births for the last eleven years are given in the next table.

YearMaorisEuropeans
Number of Deaths Under One YearRate Per 1,000 Live BirthsNumber of Deaths Under One YearRate Per 1,000 Live Births
194339989.8695131.37
1944461102.261,01230.12
194541388.931,03627.99
194643174.621,09326.10
194736573.181,12225.04
194838076.6797021.95
194942285.821,04623.78
195035669.741,00822.75
195135768.161,01722.78
195246184.451,01421.82
195340473.0793120.06

The next table shows for the year 1953 the principal causes of death of Maori infants in the various subdivisions of the first year of life. The classification is according to the Sixth (1948) Revision of the International Classification of Causes of Death.

Causes of DeathUnder 1 Day1 Day and Under 2 Days2 Days and Under 1 Week1 Week and Under 2 Weeks2 Weeks and Under 3 Weeks3 Weeks and Under 1 Month1 Month and Under 2 Months2 Months and Under 3 Months3 Months and Under 6 Months6 Months and Under 9 Months9 Months and Under 12 MonthsTotals
Tuberculosis................2349
Syphilis........................
Dysentery, all forms..........1......2..3
Whooping-cough............1142..8
All other diseases classified as infective and parasitic....1..2....146216
Non-meningococcal meningitis......1........5129
Influenza..............1......1
Pneumonia, except of newborn......1..265412223100
Bronchitis............2..1249
Intestinal obstruction and hernia................1..12
Gastritis, duodenitis, enteritis, and colitis, except diarrhoea of newborn............2516151149
Congenital malformations81231..2..43..24
Birth injuries138101..............32
Post-natal asphyxia and atelectasis11833..............25
Infections of the newborn21315221......17
Immaturity unqualified23691....1........40
Other diseases peculiar to early infancy42221....132219
Accidents1..1..11..2101118
Other diseases........1..4..77423
    Totals622631131162017986654404

Of the total of 17 deaths in the above table due to infections of the newborn, 4 were defined as diarrhoea and 8 as pneumonia. Immaturity unqualified accounted for 40 infant deaths, but in a further 35 deaths due to diseases peculiar to early infancy, prematurity was an associated condition.

The great achievement in reducing the infant-mortality rate for the European population has been accomplished during the period after the first month of life up to the end of the first year. Conversely, the causes of the extremely high Maori mortality rates are to be found in the same period of life. This is indicated in the next table, which contrasts the mortality rates per 1,000 live births for European and Maori infants respectively for the last twenty years.

YearEuropeansMaoris
Under One MonthOne and Under Twelve MonthsTotal Under One YearUnder One MonthOne and Under Twelve MonthsTotal Under One Year
193422.869.2532.1117.1176.4893.59
193522.0310.2332.2624.3084.90109.20
193622.318.6530.9622.3287.60109.92
193722.219.0031.2121.6670.5192.17
193824.1511.4835.6330.32122.94153.26
193921.859.2931.1432.0782.85114.92
194022.038.1830.2123.9263.3087.22
194120.009.7729.7726.8598.21125.06
194218.739.9828.7119.4078.5297.92
194321.2710.1031.3718.9270.9489.86
194420.609.5230.1219.3082.96102.26
194519.598.4027.9926.0562.8888.93
194619.087.0226.1018.3556.2774.62
194718.086.9625.0425.4647.7273.18
194815.806.1521.9528.8547.8276.67
194917.016.7723.7822.7863.0485.82
195016.576.1822.7528.4141.3369.74
195116.226.5622.7825.0143.1568.16
195215.156.6721.8225.8258.6384.45
195314.265.8020.0626.9546.1273.07

The principal causes of death of Maori infants responsible for the high mortality rates after the first month of life are diarrhoea and enteritis, broncho-pneumonia, pneumonia, and other diseases of the respiratory system.

4 E—TOTAL POPULATION, INCLUDING MAORIS

IT is desirable that a complete coverage of the vital statistics of a country as a whole should be available, and the statistical data presented in this subsection cover the entire population of New Zealand.

For many years the standard of registration of vital events for Maoris was subject to elements of inaccuracy and incompleteness due to several factors. However, with the introduction of the medical and related benefits under the social security legislation, which covers Maori and European alike, certain information was essential for the claiming of benefits, and a gradual improvement in recent years has been in evidence. Since 1 April 1952 all Maori marriages have been celebrated in the same manner and registration effected in the same way as European marriages. As regards births and deaths, however, separate registers for Maoris and Europeans are used, and in the case of Maoris the information required is not as detailed as that for Europeans. It is probable that the standard of registration of Maori vital statistics is now very little inferior to that of Europeans.

TOTAL BIRTHS.—As mentioned previously, registration of Maori births are somewhat less accurate (although improvement has been manifest in recent years) than those of the European population. In the table following, which shows the numbers and rates of European, Maori, and total births for each of the last eleven years, allowance should be made for the element of inaccuracy and incompleteness affecting a proportion of the figures, particularly for the earlier years covered.

For instance, owing to the extensive time lag in the receipt by the Registrar-General of a considerable number of registrations, the statistics of Maori births relate to the number of registrations received during the year, whereas the European figures cover actual registrations effected during the year.

YearNumbersRates Per 1,000 of Mean Population
EuropeanMaoriTotalEuropeanMaoriTotal
194330,3114,44034,75119.7045.7821.25
194433,5994,50838,10721.5945.3223.01
194537,0074,64441,65123.2246.1024.58
194641,8715,77647,64725.2656.8127.08
194744,8164,98849,80426.4747.4627.70
194844,1934,95649,14925.5945.9726.79
194943,9884,91748,90524.9844.4826.13
195044,3095,10549,41424.6745.0725.88
195144,6515,23849,88924.3944.9725.62
195246,4695,45951,92824.7745.4126.01
195346,4145,52951,94324.1244.5425.35

The abnormal increase in the number of Maori births shown for the year 1946 is mainly accounted for by the late registration of births which occurred prior to 1946 (see page 99).

The inclusion of Maoris raises the level of the birth rate all through the period covered, but in no case does it reverse the trend of the rate on the normal published basis—i.e., the birth rate of New Zealand, exclusive of Maoris. In an international comparison for the quinquennium 1949–53 the inclusion of Maoris raises New Zealand's position from twelfth to eleventh in a total of twenty-eight countries covered.

TOTAL NATURAL INCREASE.—The birth and death rates of the population are not subject to violent fluctuation, and consequently the natural-increase rate—i.e., excess of births over deaths—shows, in the period covered by the next table, a steady the to 1947, and then a regular decline each year until 1952, when a sharp increase was recorded. In 1953 a small decrease was again evident despite the fact that the numerical increase was greater than the previous year. The following table shows the numbers gained by natural increase, together with the rate per 1,000 of mean population, for the last eleven years.

YearNumbersRates Per 1,000 of Mean Population
EuropeanMaoriTotalEuropeanMaoriTotal
194314,8642,76517,6299.6628.5110.78
194418,2362,82221,05811.7228.3712.71
194520,9563,00923,96513.1529.8714.14
194625,7784,14929,92715.5540.8117.01
194728,9123,45032,36217.0832.8318.00
194828,3813,48331,86416.4332.3117.37
194927,9763,35131,32715.8930.3116.74
195027,5943,73631,33015.3632.9816.41
195127,1393,91431,05314.8333.6015.94
195229,0563,97633,03215.4933.0716.54
195329,4054,18433,58915.2833.7016.39

In the ten years 1944–53 New Zealand has gained by natural increase of the population a total of 299,507, comprising 263,433 Europeans and 36,074 Maoris.

TOTAL MARRIAGES.—The following table shows the numbers of European, Maori, and total marriages celebrated during each of the last eleven years.

YearNumbersRates Per 1,000 of Mean Population
EuropeanMaoriTotalEuropeanMaoriTotal

* Not available, see following paragraph.

194311,57944212,0217.534.567.35
194413,12552113,6468.435.248.24
194516,16053316,69310.145.299.85
194620,53556121,09612.395.5211.99
194718,52552219,04710.944.9710.59
194817,19255817,7509.965.189.67
194916,78556917,3549.535.159.27
195016,50459517,0999.195.258.96
195116,35955616,9158.934.778.78
1952**17,061**8.55
1953**17,224**8.41

The fluctuations in the Maori marriage rate, and hence, to a lesser extent, in the total marriage rate, cannot be taken at their face value, as elements of Maori psychology played no small part on occasions in influencing the number of Maori marriages registered, as distinct from the number actually celebrated. Apart from these factors, the differences observed in the movements of the respective rates to 1951 are, of course, considerably affected by variations in the application of social and other legislation to the Maori race and the European population respectively. As a result of legislative changes it is not possible to distinguish marriages of Maoris from those of Europeans after 1 April 1952.

TOTAL DEATHS.—The effect of including Maoris is to increase slightly the total death rate for New Zealand, as is seen in the following table.

YearNumbersRates Per 1,000 of Mean Population
EuropeanMaoriTotalEuropeanMaoriTotal
194315,4471,67517,12210.0417.2710.47
194415,3631,68617,0499.8716.9510.30
194516,0511,63517,68610.0716.2310.44
194616,0931,62717,7209.7116.0010.07
194715,9041,53817,4429.3914.639.70
194815,8121,47317,2859.1613.669.42
194916,0121,56617,5789.0914.179.39
19501,7151,36918,0849.3112.099.47
195117,5121,32418,8369.5611.379.67
195217,4131,48318,8969.2812.349.47
195317,0091,34518,3548.8410.848.96

Although the Maori death rate is consistently higher than the European rate, the inclusion of Maoris does not raise the general death rate much above the European rate. Countries with lower death rates (in 1953) than New Zealand included Israel, 6.3; Netherlands, 7.7; Norway, 8.3; Canada, 8.6; and Union of South Africa (European population only), 8.9.

Total Deaths by Causes.—Although the incidence of different diseases as causes of death varies considerably as between the Maori and European sections of New Zealand's population, the only important disease to show a marked influence on the general death rate by the inclusion of Maoris is tuberculosis. The average death rate for the total population from tuberculosis (all forms) for the four years 1950–53 was 253 per million of mean population, as against 176 for the European death rate. New Zealand has for many years had a comparatively low tuberculosis death rate for the European section of its population, but when Maoris are included the latest triennial international figures available (1947–49) show New Zealand to be sixth out of a total of thirty-one countries. With Maoris excluded, New Zealand's position would be second for the same period.

Total deaths for the years 1950 to 1953, according to the Abbreviated List of the Sixth (1948) Revision of the International Classification of Causes of Death, are contained in the following table. Comparative tables for the European and Maori population separately may be found by reference to Section 4C and Section 4D respectively.

Causes of DeathNumber of DeathsRate Per Million of Mean Population
19501951195219531950195119521953
Tuberculosis of respiratory system545448336262285230163128
Tuberculosis, other forms121103859563534346
Syphilis and its sequelae10071666952363334
Typhoid fever72 541 2
Dysentery, all forms125546332
Scarlet fever and streptococcal sore throat21221111
Diphtheria43232212
Whooping-cough2311181512697
Meningococcal infections92221275111013
Acute poliomyelitis225727112913
Measles32441321226
All other diseases classified as infective and parasitic9586768650443842
Malignant neoplasms including neoplasms of lymphatic and haematopoietic tissues2,7172,9132,9052,8891,4231,4961,4551,410
Benign and unspecified neoplasms5938434131192120
Diabetes mellitus232249226253121128113124
Anaemias5881766630423832
Vascular lesions affecting central nervous system1,8552,1142,2092,2929721,0851,1071,119
Non-meningococcal meningitis3627405619142027
Rheumatic fever2323223312121116
Chronic rheumatic heart-disease271244256259142125128126
Arteriosclerotic and degenerative heart-disease4,9165,1514,7984,9982,5752,6452,4042,439
Other diseases of the heart641674704573336346353280
Hypertension with heart-disease662695653579347357327283
Hypertension without mention of heart16415517015186808574
Influenza97921524151477620
Pneumonia579555600517303285301252
Bronchitis17728041333293144207162
Ulcer of stomach and duodenum14815115016177777579
Appendicitis3932303320161516
Intestinal obstruction and hernia13713111912172676059
Gastritis, duodenitis, enteritis, and colitis, except diarrhoea of the newborn13616515113771857667
Cirrhosis of liver5965384731331923
Nephritis and nephrosis23120821219312110710694
Hyperplasia of prostate15015614511879807358
Complications of pregnancy, childbirth, and the puerperium5236473227182316
Congenital malformations320225295262168116148128
Birth injuries, post-natal asphyxia, and atelectasis325358339317170184170155
Infections of the newborn3342394817221923
Other diseases peculiar to early infancy, and immaturity unqualified393361356322206185178157
Senility without mention of psychosis, ill-defined, and unknown causes21324120313411212410265
All other diseases1,4301,4991,6401,569749770822766
Motor-vehicle accidents238298296318125153148156
All other accidents574610638639301313320312
Suicide and self-inflicted injury17218819819890969997
Homicide and operations of war242321171312108
    Totals18,08418,83618,89618,3549,4739,6729,4668,958

TOTAL INFANT MORTALITY.—The establishing of the vital statistics of New Zealand on a total basis by the inclusion of Maoris has the greatest influence upon the infant-mortality rate. The infant-mortality rate of the European population of New Zealand was the lowest in the world for a long period, and recently has declined to a particularly low level. The Maori rate, on the other hand, always a high one, has not shown any noticeable improvement in recent years. It is also subject to violent fluctuations owing to the ravages of certain epidemic diseases, which have relatively very little effect on the European rate. The European, Maori, and total infant-mortality figures for the last twenty years are given in the next table.

YearNumbersRates Per 1,000 Live Births
EuropeanMaoriTotalEuropeanMaoriTotal
19347812791,06032.1193.5938.82
19357733551,12832.26109.2041.45
19367693991,16830.96109.9241.03
19378123661,17831.2192.1739.29
19389715661,53735.63153.2649.67
19398984731,37131.14114.9241.61
19409903721,36230.2187.2236.78
19411,0455171,56229.77125.0639.81
19429644241,38828.7197.9236.62
19439513991,35031.3789.8638.85
19441,0124611,47330.12102.2638.65
19451,0364131,44927.9988.9334.79
19461,0934311,524261074.6231.99
19471,1223651,48725.0473.1829.86
19489703801,35021.9576.6727.47
19491,0464221,46823.7885.8230.02
19501,0083561,36422.7569.7427.60
19511,0173571,37422.7868.1627.54
19521,0144611,47521.8284.4528.40
19539314041,33520.0673.0725.70

The inclusion of Maoris not only places the infant-mortality rate for New Zealand on a considerably higher level, but also replaces the general downward movement by a much more fluctuating trend.

It also has a considerable effect on the position occupied by New Zealand among the countries of the world. In the quinquennium 1949–53 New Zealand's infant-mortality rate (exclusive of Maoris), with an average of 22, was the second lowest of twenty-five countries for which reliable figures were available, whereas the inclusion of the Maori population relegated it to fourth place, with Sweden clearly in the lead, and Australia and the Netherlands in second place.

4 F—MORBIDITY

COMPARISONS of healthiness of a community over a period of years which are based on death rates do not fully take into account the effect of the advance of medical science in recent years. It is common knowledge that many diseases regarded a few decades ago as incurable now show a fair proportion of recoveries. Similarly, the death rates in epidemics are in general much lower now than formerly, owing partly to the steps taken to prevent the spread of the disease, partly to the necessity of early notification in most countries, and partly to increased medical knowledge. Again, many diseases seldom if ever result fatally. Death-rate statistics are therefore supplemented by data relating to illness.

The principal source of statistics of illness in New Zealand, apart from that resulting in death, comes from the public hospitals, to which some 85 per cent of all hospital inpatients are admitted. Information concerning every person discharged from a public hospital is collected and tabulated (from 1 January 1950) in accordance with the International Statistical Classification of Diseases, Injuries, and Causes of Death, and published annually in the Health Department's publication Medical Statistics. Similar information was formerly published in the Annual Report on Vital Statistics issued by the Census and Statistics Department. At present no attempt is being made to bridge the gap between illness where there was admission to a public hospital and illness where there was no such admission. Other morbidity statistics in New Zealand are those concerning certain notifiable diseases, shown in the next paragraph, those about industrial accidents reported in Section 42, those concerning benefits granted under the Social Security Act reported in Section 7A, and those to sick members of Friendly Societies mentioned in Section 7E.

NOTIFICATION OF DISEASES.—The numbers of all notifiable diseases reported during the calendar year 1953 are shown in the following table; the total figures (including Maoris) are given month by month, with the totals for Maoris being shown in the last column.

DiseaseAll CasesMaoris
JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecemberTotalsTotals Only
Streptococcal sore throat45641392052152803432972152894034492,94428
Diphtheria5361412691295448913
Typhoid fever446105991289779062
Paratyphoid fever2143231..12112112
Pulmonary tuberculosis1281191311071751391391521591591701321,710523
Other tuberculosis392021143034471838443028363113
Cerebrospinal meningitis86357151916131461112323
Poliomyelitis179103482117433651134036
Influenza............1....2159..
Erysipelas141015139152512241717131845
Puerperal fever—              
  Ordinary323332231423313
  Following abortion 2454 233143312
Eclampsia31387'4121051028731
Tetanus33244......1148304
Hydatids63465521147446110
Trachoma..21..........11..498
Ophthalmia neonatorum..1....................11
Food poisoning252861118171039112161627116
Bacillary dysentery152121665151133122312346
Amoebic dysentery12311125..322234
Undulant fever871343261194104815
Malaria..221569241042..656
Actinomycosis..................1....1..
Anchylostomiasis (hookworm)11....1..........1..41
Leptospirosis62..11 132173148111333
Salmonellosis310475193423456920
    Totals4983984314695345677556155406407517446,942915

Total notifications for each of the last five years for all cases and for Maoris for some of the notifiable diseases are shown in the following table.

Disease19491950195119521953
Streptococcal sore throatAll cases1,0491,0377707362,944
 Maori116101028
DiphtheriaAll cases8956675289
 Maori6561013
Typhoid and paratyphoid feverAll cases80827385111
 Maori5648495474
Pulmonary tuberculosisAll cases1,6931,7691,5571,7051,710
 Maori476475387493523
Cerebrospinal meningitisAll cases465174104123
 Maori83111623
PoliomyelitisAll cases3557227890403
 Maori921296
Puerperal fever and septic abortionAll cases8779556062
 Maori65555
TetanusAll cases1939263230
 Maori26434
HydatidsAll cases4338583961
 Maori168161410
Food poisoningAll cases111519456312271
 Maori711254116
Bacillary dysenteryAll cases155190116115123
 Maori3959283646
Undulant feverAll cases3245587881
 Maori12355

Streptococcal Sore Throat.—Notifications showed a very marked increase in 1953 on recent years, in fact 1945 was the last year with an equally high incidence. The disease continued to be mild in nature.

Diphtheria.—Notifications at 89 were an increase of 37 on 1952 and showed the highest incidence since 1949.

Typhoid and Paratyphoid Fever.—Slight increases occurred in 1953, mainly in the Auckland, Hamilton, and Gisborne districts, the majority of cases being Maoris.

Cerebrospinal Meningitis.—In 1953 the incidence was slightly higher than for recent years—123 cases as compared with 104 in 1952.

Poliomyelitis.—Between July 1952 and April 1953 New Zealand experienced its fifth major epidemic of poliomyelitis in a space of thirty-eight years. This was unexpected, for whereas previously major epidemics have occurred at approximately ten-year intervals, this recent outbreak began barely three years after the end of the 1947–49 epidemic. Furthermore, while all four earlier epidemics had begun explosively in the summer the latest began gradually in the autumn and was at its worst in winter and spring.

From 1 April 1952 to 1 April 1953 total cases numbered approximately 1,292. In the 1953 calendar year 403 cases were notified. For the calendar year 1952 the number of cases notified was 890 (October-December being the worst months). The disease tended to be more severe in older people, there being 20 deaths in 510 patients under fifteen years, and 37 deaths in 380 patients over 15 years. Included in the total of 890 were 29 Maoris. The number of paralysed cases was 502 and non-paralysed 388.

Details for the years 1951 and 1950 are summarized herewith. Cases in 1951 totalled 27 (of whom 18 were paralysed), while deaths numbered 3. There was only 1 Maori case included in the total. For 1950, cases recorded were 72 (including 2 Maoris), of which 17 were paralysed, with 2 deaths resulting.

The 1947–49 epidemic first appeared in November 1947 and continued with undiminished intensity throughout 1948, and only died down in the middle of 1949, although it was less intense than the previous epidemics. In the period November 1947 to July 1949 the number of cases and suspected cases notified was 1,720, of which 1,406 proved positive. Of these, 805 showed evidence of paralysis or paresis, and there were 77 deaths from the disease.

The youngest age group (0–4 years) which in 1916 and 1924–25 suffered the highest attack rate dropped to third place in 1947–49. The incidence in the higher age groups was greater than in previous epidemics.

The number of deaths in the 1947–49 epidemic was 77, of whom 42 were males and 35 females. These numbers included 5 Maori males and 1 Maori female. The case mortality for all cases was 5.1 per cent for males, 5.9 per cent for females, with a combined rate of 5.5 per cent. For paralysed cases the mortality rates were: males, 9.3 per cent; females, 9.9 per cent; combined, 9.6 per cent. The highest mortality rates were in the higher age groups, particularly in females over thirty years of age.

The attack rate varied considerably in different parts of the country and the incidence in the New Plymouth Health District (22.43 per 10,000 of population) was markedly higher than elsewhere. The epidemic took approximately one year to travel from Auckland to Dunedin, although air transport covers the distance in a few hours. The outbreak in Wellington was unusual in that it was almost entirely a winter outbreak, whereas elsewhere the incidence showed a lessened intensity in the winter months.

As indicated earlier, there were differences between the major epidemics of poliomyelitis in respect of their duration, and this applies also to their intensity, severity, and distribution by age groups. Data showing these features for the four earlier epidemics were given on pp. 99–100 of the 1953 issue of the Year-Book.

Hydatids Disease.—The figures for 1953 remained at a fairly consistent level with those of previous years. As a result of the educational activities of the Department of Health, carried out in conjunction with the Department of Agriculture, farmers' organizations in several parts of the country have become very conscious of the existence of the disease, and are giving valuable assistance in encouraging their members to dose their dogs and to avoid re-infecting them.

Food Poisoning.—The reported cases numbered 271. It is certain, however, that while outbreaks involving numbers of people are generally reported there must be many sporadic cases and family outbreaks which are dismissed as “summer sickness” “or gastric flu'.”

Undulant Fever.—The notified cases of this disease show a rising tendency, although probably only a small proportion of the total infections are notified. All cases are due to Br. abortus, the infectivity of which, for humans, is relatively low.

Venereal Disease.—In the early war years the incidence of venereal disease increased considerably, but after 1941 there was an appreciable decrease. This trend was not sustained, however, and a new peak for gonorrhoea was reached in 1946, while the incidence of syphilis also increased substantially. The 1947 and 1948 figures for gonorrhoea showed some improvement, but an increase was recorded in 1949. New cases of syphilis rose very steeply in 1948, but there were considerable reductions in notifications between 1949 and 1953. Gonorrhoea has shown little marked change during the period 1950 to 1953. The following table shows the number of persons seen for the first time at the venereal-disease clinics in the four main centres of Auckland, Wellington, Christchurch, and Dunedin, during each of the years 1949–53, and found to be suffering from gonorrhoea or syphilis.

GonorrhoeaSyphilis
MalesFemalesTotalMalesFemalesTotal
19491,1043961,500107107214
19508183131,1316487151
19519612831,2445572127
19528473101,157345084
19538543331,187294473

A large proportion of these recorded male cases refer to first attendances of infected seamen visiting our main ports. So far as the local population is concerned, as indicated by the figures for females, these diseases are relatively uncommon except in the Auckland district, where the number of new female infections remains high.

Tuberculosis.—With, an intensification of case-finding by all tuberculosis workers in recent years the notification of tuberculosis has improved to a degree that enables a reasonable picture of the disease to be presented as it affects this country. From a study of the returns over the last few years there is reason to believe that the annual increase in notifications of the disease has reached stability. The Department of Health is continuing its efforts to reduce both incidence and mortality. In fact the mortality has decreased over 50 per cent since 1945. The corps of Public Health Nurses available for tuberculosis case-finding work has been increased, and hospital clinics in the charge of chest specialists have now been provided to give a wider coverage. The responsibilities of the Department of Health in case-finding and domiciliary care are being co-ordinated with those of the Hospital Boards, which are responsible for diagnosis and treatment.

The medical officers of the Department of Health assist the Public Health Nurses in the examination of contacts and arrange tuberculin tests and X-ray examinations. One mass miniature X-ray unit has been in operation for over three years in Taranaki, one mobile unit will proceed to Christ-church shortly, and five others will soon be built, while transportable units are established in Auckland, Christchurch, Wellington, and Dunedin. Special investigation by these methods is directed towards those groups of the population which are likely to show a high incidence of the disease, and this type of work is being extended. Cases that are found to be tuberculous, or suspected of having the disease, are referred to hospital chest clinics, which assess the diagnosis and prescribe treatment. The supervision of “after care” on discharge from a hospital or sanatorium then becomes the joint responsibility of the Public Health Nurse and the hospital clinic staff.

As a contribution to prophylaxis, health education is being stimulated, and B.C.G. vaccination against tuberculosis which was commenced in hospital staffs, contacts, and adolescents is being extended.

The following figures reflect the work performed by the district nursing service and school medical officers in this connection during the five years 1949–53.

 19491950195119521953
Total number of homes under control9,6879,88010,28210,57811,115
Number of new contacts brought under supervision during year5,4235,1214,7285,1026,156
Total number of contacts under surveillance during year—     
  Found to be tuberculous272476223286278
  Removed from list3,2382,5822,8582,3592,249
  Remaining under supervision23,10324,19423,83424,68478,119
    Totals26,61327,25226,91527,32930,646

The Department of Health maintains a Tuberculosis Register, which attempts to classify all known cases, and a clearer conception of the type, form, and extent of the disease is being obtained as workers become more accustomed to provide the necessary information. The number of cases on the Register (inclusive of Maoris) at 31 December 1953 was 11,768, of which 10,226 were pulmonary and 1,542 non-pulmonary. The number of new cases notified in 1953 was 2,073, of which 1,439 were European and 634 Maori. Of the European cases, 1,189 were pulmonary and 250 non-pulmonary, and in the Maori cases the figures were 521 and 113 for pulmonary and non-pulmonary respectively. Some of these cases have since proved non-tuberculosis and have been deregistered.

The total number of persons on the register at the end of 1953 amounted to 43.3 per 10,000 of the European population, and 268.0 per 10,000 of the Maori population. The combined figure was 56.9 per 10,000.

PUBLIC HOSPITALS: Patients Treated.—The hospitals to which the following statistics relate include all except private hospitals.

The following table shows the numbers of patients treated annually since 1947, the rate per 10,000 of mean population, and the average length of stay of patients in hospital.

Year Ended 31 MarchTotal Patients TreatedRate Per 10,000 of Mean PopulationAverage Stay (Days)

* Not available.

1947179,6581,01321.1
1948174,81496421.0
1949181,34898020.3
1950187,25999020.2
1951190,68198319.7
1952200,3281,023*

The total number of patients treated has risen by about 14,000. Accommodation for the extra number hospitalized has to some extent been found by a reduction by almost 20 per cent in the average length of stay of patients.

Age and Sex of Patients.—A 1950 survey showed that there were proportionately more admissions for men than for women at all ages, especially at the extremes of life. The length of time spent on the average in hospital showed an increase with age, at first gradual then rising more steeply in the evening of life, so that the average number of days spent in hospital by persons aged sixty-five and over was four times greater per head than that for persons under sixty-five.

Principal Diseases.—A summary is now given of the principal diseases treated in public hospitals during the year 1952, based on a modification of the “C" list of the International Classification. Cases of normal delivery in childbirth are excluded. All figures given are inclusive of Maoris.

It should be noted that the disease or condition for the treatment of which a patient is admitted to hospital is not necessarily that which would rank as the cause of death in the death statistics. Cystitis, for instance, ranks comparatively high in hospital cases as the condition immediately affecting the patient, but is frequently only the consequence of some more important disease, which would take precedence over cystitis in the statistics of causes of death As indicated earlier, the hospital returns now show each disease for which the patient was treated during his stay in hospital, but the classification for statistical purposes has been made on the basis of the principal disease for which he was admitted, regardless of what other diseases may have been present or developed during the stay of the patient in hospital. In the death statistics, on the other hand, the underlying cause of decease is of paramount importance. In the hospital statistics a case admitted on account of the fracture of any bone is treated and classified as “fracture.” Should the patient die, however, the death would be classified in the mortality statistics according to the cause of the fracture—e.g., motor-car accident, accidental fall, etc. The morbidity code, with a few exceptions and a considerable extension of the accident group, follows the mortality code fairly closely, and a comparison of the morbidity and mortality statistics can be obtained without difficulty.

SUMMARY OF PRINCIPAL DISEASES TREATED IN PUBLIC HOSPITALS DURING 1952

DiseaseTotal Cases in Public HospitalsDeaths in Public HospitalsFatality Rate, Per Cent
Tuberculosis of respiratory system3,2451875.8
Tuberculosis, other forms987727.3
Syphilis and its sequelae2202812.7
Gonococcal infection102....
Dysentery, all forms16731.8
Other infective diseases commonly arising in intestinal tract28951.7
Scarlet fever and streptococcal sore throat35010.3
Diphtheria4324.7
Whooping-cough21483.7
Measles655132.0
Mumps64910.2
Hydatids15863.8
All other diseases classified as infective and parasitic2,8151144.0
Malignant neoplasms, including neoplasms of lymphatic and haematopoietic tissues5,3751,45427.1
Benign neoplasms, and neoplasms of unspecified nature3,067401.3
Allergic disorders1,36220.1
Diseases of thyroid gland702121.7
Diabetes mellitus1,3551017.5
Avitaminosis, and other deficiency states447235.1
Anaemias4244911.6
Mental psychoneurotic, and personality disorders3,368511.5
Vascular lesions affecting central nervous system2,2251,05447.4
Diseases of eye2,30920.1
Diseases of ear and mastoid process'2,35160.3
Rheumatic fever447112.5
Chronic rheumatic heart disease2795118.3
Arteriosclerotic and degenerative heart disease2,71579829.4
Other diseases of the heart1,84948226.1
Hypertensive disease1,64031519.2
Diseases of veins3,470401.2
Acute nasopharyngitis (common cold)173....
Acute pharyngitis and tonsillitis, and hypertrophy of tonsils and adenoids6,76760.1
Influenza1,273201.6
Pneumonia5,1774879.4
Bronchitis2,052984.8
All other respiratory diseases3,1731093.4
Diseases of stomach and duodenum except cancer2,2601215.4
Appendicitis5,603300.5
Hernia of abdominal cavity3,547270.8
Diarrhoea and enteritis1,273443.5
Diseases of liver, gall-bladder, bile ducts, and pancreas2,809692.5
Other diseases of digestive system4,3301764.1
Nephritis and nephrosis8779510.8
Other diseases of urinary system2,184703.2
Diseases of male genital organs2,1021034.9
Diseases of female genital organs5,89270.1
Complications of pregnancy, childbirth, and the puerperium2,980110.4
Boil, abscess, cellulitis, and other skin infections2,98760.2
Other diseases of skin1,912150.8
Arthritis and rheumatism, except rheumatic fever1,858321.7
Diseases of bones and other organs of movement4,103160.4
Congenital malformations and diseases peculiar to early infancy3,12138012.2
Symptoms, senility, and ill-defined conditions8,2331742.1
Other specified diseases8,0616438.0
Fractures8,3722833.4
Burns1,296292.2
Poisoning765182.4
Other injuries11,7671191.0
Special conditions and examinations without sickness2,892....
Admissions for convalescent care, plastic treatment, and fitting of prosthetic devices160....
    Totals151,2788,1195.4

Chapter 5. SECTION 5—PUBLIC HEALTH, HOSPITALS, ETC.

5 A—PUBLIC HEALTH

DEVELOPMENT OF PUBLIC HEALTH SERVICES IN NEW ZEALAND.—Before 1872 there was no public health service in New Zealand. A few local authorities appear to have exercised a crude form of negative sanitary government, but otherwise little seems to have been done. Certainly no attempt was made to cope with outbreaks of diseases, even when they assumed epidemic proportions.

In 1872 the first Public Health Act became law. Under it a Central Board of Health was set up in each province and power was given to each Central Board to set up Local Boards of Health as required.

The Central Boards each consisted of the Provincial Superintendent, the Provincial Executive Council, and three other members. They acted mainly in a supervising capacity and took little active part in initiating or controlling preventive health measures. They were required to make periodical reports to the Governor of the colony, but, in fact, few were made.

The local Board of Health was usually the local authority for the area concerned. The Board was normally financed from rates, though if appointed by the Central Board it could be financed by parliamentary appropriation. In general its function was to administer the Public Health Act in its district, and it had power to appoint a medical adviser, who was in all cases a part-time officer.

The abolition of the provinces in 1876 brought the disappearance of the provincial Central Boards of Health and the establishment of one Central Board of Health for the whole colony. Otherwise there was practically no change in the system which had existed since 1872.

The first period of public health administration in New Zealand came to an end in 1900. It is doubtful whether at any time during these twenty-eight years the administration of the 1872 Act and the later consolidating Act of 1876 was marked by much energy or thoroughness. Local Boards were hampered by lack of finance and by lack of zeal and knowledge. The powers of their Medical Officers (where appointed) were limited, and often the advice given by these officers was disregarded. The incidence of typhoid fever, a good index to the sanitary standards of a community, remained high throughout the whole of this period.

In 1900 the outbreak of bubonic plague in Australia stimulated the authorities to action. In that year a Bubonic Plague Prevention Act was passed which, later in the same year, was repealed and embodied in the Public Health Act 1900. Under this Act public health administration in New Zealand was put on a much more satisfactory basis. A separate Department of Public Health was set up under its own Minister; the country was divided into a number of health districts, and properly trained and qualified staff were appointed to administer the Act. In the years following the establishment of the Department steady progress was made in the building-up of a public health organization. Acts were passed dealing with the sale of food and drugs; the registration of medical practitioners, pharmacists, nurses and midwives, plumbers; the prevention of quackery: and the control of venereal disease. Sanatoria were established to help in the prevention and treatment of tuberculosis. Attention was given to problems of maternal welfare. Medical supervision of school children came into operation, at first under the control of the Department of Education, though in 1921 it was transferred to the Department of Health.

In 1909 a closer link between curative and preventive medicine was forged by merging the Hospitals and Charitable Aid Department into the Department of Public Health's organization.

During the years 1900 to 1920 there was also an increasing public interest being taken in health matters. As a result a number of voluntary health organizations were established with the objects of diffusing knowledge of infant welfare, first aid, and home nursing.

The 1918–19 influenza epidemic brought to light a number of defects in the public health organization, particularly the need for a simplification of existing health legislation and the need for a clear definition of the duties of local authorities, Hospital Boards, and the Department of Health. The result of this experience was the passing of the Health Act 1920 under which, with its amendments, the Department of Health has since operated.

Following the passing of this Act new health districts were created and the existing activities of the Department were expanded. Among the more important of the new activities of the Department were the establishment of a School Dental Service in 1920, the building-up of health publicity work, and, in 1937, the institution of the Medical Research Council. Registration was also widened to include dentists, opticians, and masseurs.

The interest of the general public in health matters continued to expand after 1920, and was marked by the establishment of additional voluntary health organizations.

Recent developments have included a more positive attack on the problem of tuberculosis marked by the passing of the Tuberculosis Act 1948, the establishment as a Government agency of the Dominion X-ray and Radium Laboratory existing at Christchurch, and the creation of the National Health Institute in Wellington. At the end of 1947 the Mental Hospitals Department ceased to be a separate Government Department, and became the Division of Mental Hygiene of the Department of Health. Occupational therapists and dietitians are further professional classes with legislation providing for national registration.

A more detailed outline of the development of public health services in New Zealand up to 1939 will be found in the annual report of the Department of Health for that year.

PRESENT ORGANIZATION OF PUBLIC HEALTH SERVICES.—Local Authorities: Part II of the Health Act 1920 lays definite obligations on local authorities in regard to public health. Each local authority must either appoint its own Sanitary Inspectors or contribute to the salary of an Inspector of the Department of Health. Each Inspector must hold a certificate of the Royal Sanitary Institute (or certain equivalents) before he can be appointed. A local authority's responsibility in health matters is wide. It must promote and conserve the public health within its district—a function which includes regular inspections of its district; abatement of nuisances as defined in the Health Act; provision of efficient refuse, nightsoil, and sanitary services; protection and purification of water supplies; closing and demolition of insanitary buildings; registration and regulation of cattle saleyards; and the enforcement of certain minimum sanitary requirements for residences and business premises. It may also make by-laws dealing with public health matters.

Department of Health: The chief administrative officer of the Department is the Director-General of Health. He is assisted by two Deputy Directors, and the work of the Department is divided among the following Divisions: Public Hygiene, Hospitals, Child Hygiene, Nursing, Clinical Services, Tuberculosis, Private and Maternity Hospitals, Dental Hygiene, Occupational Health, and Physical Medicine. There is also the Division of Mental Hygiene, the activities of which are described in Section 5C. New Zealand as a whole is divided into fourteen health districts, each under the control of a Medical Officer of Health, who must be a medical practitioner with special qualifications in sanitary science.

The Department is required to take whatever steps are necessary to secure the preparation, effective carrying out, and co-ordination of measures necessary to promote public health. It administers all Acts relating to public health; it advises local authorities on matters relating to public health; it must do whatever is possible to prevent, limit, or suppress disease; it promotes research into matters connected with public health and the prevention and treatment of disease; it conducts health publicity and organizes and controls medical, dental, and nursing services paid from public funds. With the authority of the Minister, a Medical Officer of Health may exercise very wide powers in the event of an outbreak of infectious disease, including the requisitioning of land and buildings, prohibition of public gatherings, and controlling the movements of cases and contacts of any infectious disease. Certain diseases, mostly infectious, but including some non-communicable, must be notified by medical practitioners. Provisions relating to quarantine are included in the Health Act; and extensive power is given to make regulations relating to the conservation and promotion of public health.

The Department's organization includes a Board of Health, which may in certain circumstances require local authorities to carry out prescribed sanitary works.

In addition to the Health Act 1920, a summary of which is given in the 1927 issue of the Year-Book, the following Acts are administered by the Department:

  • Cemeteries Act 1908.

  • Dangerous Drugs Act 1927.

  • Dentists Act 1936.

  • Dietitians Act 1950.

  • Food and Drugs Act 1947.

  • Hospitals Act 1926.

  • King George the Fifth Memorial Children's Health Camps Act 1953.

  • Medical Act 1908.

  • Medical Advertisements Act 1942.

  • Medical Practitioners Act 1950.

  • Medical Research Council Act 1950.

  • Mental Health Act 1911.

  • Nurses and Midwives Act 1945.

  • Occupational Therapy Act 1949.

  • Opticians Act 1928.

  • Physiotherapy Act 1949.

  • Plumbers Registration Act 1953.

  • Poisons Act 1934.

  • Radioactive Substances Act 1949.

  • Social Hygiene Act 1917.

  • Social Security Act 1938 (Part III).

  • Tuberculosis Act 1948.

A detailed report of the activities of the Department of Health is given in the annual report of the Director-General of Health (parliamentary paper H–31).

The actual expenditure on the activities of the Department of Health for the years ended 31 March 1953 and 1954, and the estimated expenditure for the year ended 31 March 1955, are given in the following table.

Expenditure, Year Ended 31 March 1953Expenditure, Year Ended 31 March 1954Estimated Expenditure, Year Ended 31 March 1955
 £££
Salaries, departmental officers1,106,0481,222,9081,398,733
Health education and publicity24,38323,83131,405
Medical bursaries16,67513,84510,070
Subsidies under Hospitals Act9,618,37310,270,07910,650,000
Medical research work40,00040,00055,000
Grants to voluntary organizations100,170117,739117,000
Departmental institutions348,179339,845338,010
Other costs of administration724,382741,172820,375
    Expenditure from Consolidated Fund11,978,21012,769,41913,420,593
Maternity benefits919,122924,6161,241,200
Medical benefits3,047,2023,085,7493,205,300
Hospital benefits2,135,2182,184,2393,510,500
Pharmaceutical benefits3,015,8332,919,6203,086,000
Supplementary benefits1,310,9221,492,8221,648,000
    Expenditure from Social Security Fund10,428,59710,607,04612,691,000
  Total Expenditure by Department22,406,80723,376,46526,111,593

The above figures do not include expenditure on mental hygiene, which, for the year ended 31 March 1953, was £2,446,344; for the year ended 31 March 1954, £2,510,886; and which was estimated to be £2,619,822 for the year 1954–55.

PUBLIC HEALTH ACTIVITIES.—This account covers measures relating to “preventive" medicine, as distinct from activities in “curative" medicine, which are dealt with elsewhere in this volume—see Section 5B (Hospitals) and Section 5C (Mental Hospitals). Information on medical, hospital, and other related benefits, which are administered by the Department of Health, is given in Section 7A (Social Security)

It is convenient to consider public health activities under headings which correspond generally to certain of the divisions within the Department of Health. These headings are—

  • Public Hygiene.

  • Tuberculosis.

  • Child Hygiene.

  • Dental Hygiene.

  • Maternal Welfare.

  • Occupational Health.

  • Physical Medicine.

  • Nursing.

PUBLIC HYGIENE.—The Health Act places responsibility for the maintenance of the public health largely on the Department, but local authorities have powers and duties to perform in a number of sanitary and inspection services. Each of the fourteen health districts in New Zealand is under the control of a Medical Officer whose duties include the administration of all enactments relating to Public Health and who can provide local governing bodies with expert advice in this field. Public Hygiene is concerned more particularly with the control of infectious disease, environmental hygiene, food and drugs, poisons and addiction-producing drugs, and burial and cremation.

Disease: The control of disease is based on a system of notification which has long been in force. The present list of notifiable diseases is as follows.

Notifiable Infectious Diseases

Acute poliomyelitis (infantile paralysis). Anthrax.Puerperal fever, involving any form of puerperal sepsis other than, or in addition to, puerperal septicaemia and puerperal sapraemia.
Cerebrospinal fever (cerebrospinal meningitis).Salmonella infections.
Cholera.Septicaemia consequent upon abortion or miscarriage.
Dengue.Septicaemic influenza.
Diphtheria.Any form of sepsis or sapraemia consequent upon abortion or miscarriage.
Dysentery (amoebic and bacillary).Smallpox (variola, including varioloid, alastrim, amaas, Cuban itch and Philippine itch).
Encephalitis lethargica.Streptococcal sore throat.
Enteric fever (typhoid fever, paratyphoid fever).Trachoma (granular conjunctivitis, granular ophthalmia, granular eyelids).
Erysipelas.Typhus.
Fulminant influenza.Undulant fever.
Leprosy.Yellow fever.
Leptospiral infections. 
Ophthalmia neonatorum. 
Plague (bubonic or pneumonic). 
Pneumonic influenza. 
Puerperal fever (puerperal septicaemia, puerperal sapraemia). 

Other Notifiable Diseases

Actinomycosis.Any damage to eyesight arising from occupation.
Anchylostomiasis (hookworm disease).Impaired hearing arising from occupation.
Bilharziosis (endemic haematuria, Egyptian haematuria).Diseases of the respiratory system arising from occupation.
Beriberi.Poisoning from any insecticide, weedicide, fungicide, or animal poison met with at work.
Eclampsia.Poisoning from any gas, fumigant, or refrigerant met with at work.
Hydatids.Poisoning from any solvent met with at work.
Food poisoning (botulismus, ptomaine poisoning).Poisoning from any metal or salt of metal met with at work.
Chronic lead poisoning. 
Malaria. 
Phosphorus poisoning. 
Tetanus 
Skin diseases arising from occupation. 

All forms of tuberculosis are notifiable under the Tuberculosis Act 1948.

Venereal Diseases: Venereal diseases, while scheduled infectious diseases, are only notifiable if the patient discontinues treatment before cure is effected. The Venereal Diseases Regulations 1941 give adequate powers for the examination and treatment of persons suspected of suffering from the diseases. Free treatment has been established in the larger cities and treatment is available to seamen at the main ports in accordance with the Brussels Agreement. Restrictions are also placed on the nature of the employment such persons may undertake if they are suffering from the diseases in a communicable form.

In the administration of the regulations, every precaution is taken to ensure the avoidance of publicity.

Environmental Hygiene is concerned with the provision and proper maintenance of public water supplies and sewerage systems, the disposal of refuse, the condition of dwellinghouses, the control of offensive trades, and the hygiene of premises in which food is manufactured and sold, including eating-houses. These matters are primarily the responsibility of the local authorities, but the Department of Health acts in a general advisory capacity. In the case of many of the smaller local authorities the necessary inspections are made by departmental Inspectors on behalf of and by arrangement with the local authorities.

Food and Drugs: Legislation relating to the sale of food and drugs has been in force since 1908. The Act at present in force is the Food and Drugs Act 1947. It provides for the analysis, by analysts appointed under the Act, of any article of food or drink, or of any drug, which may be sold, offered for sale, or exposed for sale, and for the inspection of any place where there is any food or drug intended for sale. If any such article is proved to be unfit for human consumption heavy penalties may be inflicted on the person or persons responsible. Stringent measures are provided for the prevention of adulteration of food, drink, or drugs, and for the inspection of places where such goods are manufactured or packed. Control is also established over all utensils and appliances coming into contact with food and drugs.

Considerable progress has been made in implementing the purposes of the Act. All the common foodstuffs are standardized, and the labelling of packages is controlled by regulations, which are revised and added to as the necessity arises. Regular sampling of foods, particularly milk, is undertaken by departmental Inspectors, and these samples are analysed in the Dominion Laboratory and its branch laboratories.

An important provision of the Act controls all kinds of publicity concerning any food or drug whereby a purchaser would possibly be deceived in regard to the properties of such food or drug, whether or not it is standardized by regulation. This matter is also covered by the Medical Advertisements Act 1942, which is referred to later.

The definition of “drug" includes medicines used externally or internally by man, anaesthetics, soaps, and disinfectants.

Any person may, on payment of the prescribed fee, together with the cost of the sample, require any authorized officer to purchase a sample of any food and submit it for analysis.

A new power contained in the 1947 Act enables any drug to be withheld from the public except when prescribed by a doctor., dentist, or veterinary surgeon.

Dangerous Drugs and Poisons: In order to carry out New Zealand's obligations under international conventions relating to habit-forming drugs, the Dangerous Drugs Act 1927 was enacted. The dealing in and the use of prepared opium are prohibited, and the production, manufacture, sale, and distribution of other dangerous drugs are restricted to persons licensed by the Director-General of Health. The importation of these drugs is controlled by the Customs Department. Provision is made to prevent illicit traffic in drugs of a habit-forming nature. Suitable regulations, the Dangerous Drugs Regulations 1951, are in force to give effect to the provisions of the Act, and are similar to the regulations in the United Kingdom and Australia.

The Poisons Act 1934 controls the proper labelling and packing of poisons, and in particular requires that all liquid poisons be packed in bottles of distinctive colour and shape. It is an offence to pack poisons in bottles that are ordinarily used for food, drink, or medicine. The Act also provides for the control of certain poisonous drugs by preventing their sale to the public except on the prescription of a doctor, a dentist, or a veterinary surgeon. The regulations under the Poisons Act follow the corresponding legislation in force in the United Kingdom. Power to introduce special safeguards for certain dangerous chemicals used in horticulture is contained in the Poisons Amendment Act 1952. Labels for poisons in this “Deadly Poison” group must bear statements of the precautions to be taken in using the poison, the symptoms of poisoning, and the remedial treatment, and must be approved by the Director-General of Health.

Hydatids Prevention: In January 1937 an amendment to the Dogs Registration Act 1908 came into force requiring local authorities to keep a supply of approved remedies for the care or prevention of disease in dogs caused by infection from the parasite echinococcus granulosus. At the time of registration every person registering a dog receives a sufficient amount of an approved remedy to enable him to treat the dog every three months until the ensuing date of registration, and also printed instructions for the use of the remedy. The approved remedy at present supplied is arecoline hydrobromide.

Medical Advertisements Act 1942: This Act, which repealed the Quackery Prevention Act 1908, came into force in January 1943. Under it the word “advertisement" is defined broadly, but does not include any advertisement or scientific matter distributed only to members of the medical and allied professions.

The Act sets up a Medical Advertisements Board, which is given power to control all medical advertisements. The Board may require the claims or statements made or implied in any medical advertisement to be substantiated to its satisfaction. Subsequent publication of such an advertisement is prohibited until the Board has notified its decision, and the veto on publication becomes permanent if the Board decides the claim or statement has not been proved. For the purpose of protecting the public the Board is given power to publish privileged statements concerning the subject matter of any medical advertisement.

Regulations issued under the Act limit the nature of the subject matter which may be included in any medical advertisement, and include a list of diseases concerning which no advertisement may make a claim to cure.

Cemeteries: The law governing burial and cremation in New Zealand is found in the Cemeteries Act 1908 and its amendments of 1912, 1922, 1926, 1950, and 1953. The registration by local authorities of funeral directors and mortuaries operated by them is provided for in the Health (Burial) Regulations 1946.

Widespread provision for cemeteries has been made in the past by the reservation of areas of Crown land for this purpose, but apart from this the Cemeteries Act makes it clear that local authorities are charged with ensuring that in their districts there exists adequate provision for the disposal of the dead.

In most rural areas and in the smaller centres the local authority either acts as trustee or else has been delegated the power of appointing individual trustees to carry out the provisions of the Act. For some cemeteries established on Crown reserves trustees are appointed by the Governor-General. In the larger centres local authorities have acquired land for the establishment of cemeteries.

The law provides that cremation may be carried out subject to the conditions that the deceased was not known to have left any written direction to the contrary and that the cremation is effected in conformity with the regulations. The latter impose stringent precautions against cremation being used for any criminal purpose. Crematoria have been established in Auckland, Wellington, Christchurch, Dunedin, Hastings, Wanganui, Nelson, and Palmerston North.

TUBERCULOSIS.—In the 1947–49 issue of the Year-Book (pp. 110–112) is given an account of the developments in the control of tuberculosis in this country, which led to New Zealand being one of the first countries to have special legislation dealing solely with this disease. In addition to giving the background to the Tuberculosis Act 1948, the account mentions the work of the Tuberculosis Division of the Department of Health and refers to the recommendations of the World Health Organization.

Briefly, the control of tuberculosis is based on—

  1. Accurate notification and registration of cases.

  2. Adequate supervision and reclassification of cases.

  3. Segregation of active infectious cases.

  4. Instruction and treatment of individual patients.

  5. Rehabilitation of convalescent and arrested cases.

  6. Supervision of the health of contacts.

  7. Mass radiography and ready availability of chest X-rays.

  8. B.C.G. vaccination in hospital staff, contacts, post primary school children, and young adults.

The death rate has significantly decreased, and there is some evidence that the incidence of infection and morbidity is also falling.

The 1950 amendment to the Tuberculosis Act 1948 empowers Inspectors of Health, in addition to those classes of persons already specified, to make inspections of residences or places of work of persons known or suspected to be suffering from tuberculosis or to be a contact of such a sufferer. The principal Act is also amended by strengthening those powers relating to isolation, in certain cases, of persons likely to spread infection who refuse to undertake the necessary treatment.

CHILD HYGIENE.—The Division of Child Hygiene is responsible for the supervision of all measures for safeguarding the health of pre-school and school children, and also for ensuring a satisfactory environment at school. Priority is given to the health of the pre-school child.

The professional staff of the Division consists at present of a Director, who is a medical practitioner, and nineteen full-time and fifteen part-time medical officers. The Medical Officer of Health in charge of a health district is responsible within the limits of the policy laid down and the instructions he receives for the direction and control of all child hygiene works in his district.

An effort is being made to have every pre-school child examined twice during pre-school life. The examination of pre-school children is carried out in Plunket Rooms in conjunction with Plunket nurses and at kindergartens, day nurseries, and other pre-school organizations assisted by public health nurses.

The Division aims at giving each primary school child three physical examinations during primary school life. Each infant not recorded as having been examined at a pre-school clinic by a medical officer within the preceding calendar year will be examined by the public health nurse, who will select those children who require examination by the medical officer. During the remainder of primary school life two other examinations are carried out by the public health nurse. These are in Standard 2 and Form II. As in the case of new entrants not seen by a medical officer at a preschool clinic the nurse refers any departure from normal for a special examination by the medical officer. Special medical examinations by the medical officer are also made whenever parents, teachers, the public health nurse, or the medical officer considers them to be necessary. The children found to be suffering from defects are kept under observation until the necessary treatment is obtained from the private practitioner or the hospital.

Mentally backward and feeble-minded children are given special attention, arrangements being made in conjunction with the Department of Education for their entry into a special school or other institution as may be necessary.

A start has been made on the more detailed medical examination of post-primary-school children. Physically handicapped children enrolled with the Correspondence School are also thoroughly examined.

Throughout its work the Division tries to secure the interest and co-operation of parents, because only in this way can the work be made effective. With this object in view parents are invited to be present at the medical examination of their children, an opportunity of which the majority take advantage.

Prevention of Disease: The activities of the Division are not confined to the routine medical examination of school children. In addition, certain positive measures are taken to prevent disease and correct physical defects. The more important of these measures are—

  1. Diphtheria Immunization.—Protection against diphtheria is a routine procedure, and protection against whooping-cough is generally given at the same time by the use of a combined vaccine. It is preferable that immunization be done by the family doctor, and the course of injections should be commenced as soon as possible after the third month of infant life. Arrangements can be made for mothers who are unable to have the immunization done privately to attend with the infant at a departmental clinic. Where necessary in country areas the public health nurse will visit the home to immunize the child. Booster doses are given after the child's fourth birthday. If this booster dose has been missed it is given as soon as possible after the child commences school.

  2. Typhoid Inoculations.—Maori children in the North Island are inoculated annually against the typhoid group of diseases.

  3. Goitre Control.—The use of iodized salt and iodine-rich foods are advocated by the officers of the Division.

  4. The Milk-in-schools Scheme aims at maintenance of nutrition and convalescence.

  5. Health Camps are established to which children are admitted for convalescence or correction of malnutrition.

The object of the Milk-in-schools Scheme is to supply to each school child in New Zealand half a pint of pasteurized milk on each day the school is open. The milk, delivered at the school bottled under the organization of the New Zealand Milk Board, is consumed through a straw from the original container. To ensure that the milk delivered to the schools is of the best possible quality the sources of supply are inspected regularly, and the processing and distribution of the milk is subject to close supervision. If for any reason it is not possible to supply a school with milk under the scheme, then powdered malted milk is supplied, provided that it can be served under hygienic conditions. In some schools with facilities available the milk is used in making cocoa in winter.

Health camps cater for delicate and undernourished children in the 5–12 years age group. The service selects the children to attend the camps (which are maintained by an independent organization—the King George the Fifth Memorial Children's Health Camps Federation) and, as necessary, re-examines them before admission and after discharge. In the camps the children live under an orderly and disciplined routine, they eat plain, well-cooked food, and they get plenty of rest and sunshine. In practically all cases a child who attends a health camp benefits both physically and mentally.

DENTAL HYGIENE.—The Division of Dental Hygiene, which was instituted in 1921, is concerned with the administration of the various dental activities of the Government, and in particular —(a) The national dental service which comprises (i) the School Dental Service and (ii) the Adolescent Dental Service; (b) The Dentists Act 1936 and regulations; (c) Dental bursaries; (d) Inspection of dental departments of Public Hospitals; and (e) Dental research.

The Division of Dental Hygiene has at its head a Director (a dental surgeon) who is responsible to the Minister of Health, through the Director-General of Health. The Director is assisted by a Deputy Director, an Assistant Director, a Principal Dental Officer (Health Education), and a Principal Dental Officer (Orthodontics). A Senior Executive Officer is responsible for the secretarial services. Also attached to the Director's staff is a Dental Field Research Officer, who is seconded from the New Zealand Medical Research Council.

The service is organized in eight units, each of which is controlled by a senior dental officer, who is directly responsible to the Director. These officers are: the Principal of the Dominion Training School for Dental Nurses, the Principal of the Student Dental Nurses Training School, Auckland, and the Principal Dental Officers in charge of the six dental districts into which New Zealand is divided.

The School Dental Service is staffed by trained school dental nurses and the Adolescent Service by dental surgeons.

The School Dental Service.—Briefly, the functions of the Service are to improve the standard of dental health of school children (and of pre-school children) by affording them regular and systematic treatment at six-monthly intervals, commencing from the primer classes (or earlier where possible), and continuing through to the highest class of the primary (or intermediate) school. Thereafter they are eligible for enrolment in the Adolescent Service. At present an unprecedented increase in the school population is being experienced as a result of the unusually high birth rate of late years. Until the number of dental nurses can be increased proportionately, children are being transferred to the “adolescent" service at an earlier stage, in order to enable the dental nurses to maintain six-monthly treatment for the younger children. This is a temporary phase, pending the training of more dental nurses.

The other main function of the School Dental Service is health education—the instruction of the children and of the general public in the principles of oral hygiene and the prevention of dental disease. For this purpose there is within the Division an organization for health education, to which further reference is made under a later heading.

The Dominion Training School in Wellington is the main training centre for school dental nurses. A second training school for dental nurses at Auckland has now been established. Two years are devoted to their theoretical and practical training. Approximately two hundred student dental nurses are in training at the one time. The course is carefully graduated, and is in the hands of a staff of dental surgeons and dental tutor sisters. Private dental practitioners are represented on the examining board for the final examination. During the period of training student dental nurses reside in hostels owned and controlled by the Department of Health.

On completing her training, a school dental nurse is posted to a school dental clinic, where she becomes responsible to the Principal Dental Officer of her district for the dental treatment of a group of approximately five hundred patients. She is visited at intervals by the Principal Dental Officer or one of his staff, who discusses current problems, and assists the dental nurse to maintain a high standard in the conduct of her work.

Dental treatment comprises fillings in both temporary teeth and permanent teeth, cleaning and scaling of the teeth, extractions where necessary, and sodium fluoride treatment. There were 240,772 children under regular treatment by the school dental nurses during the year 1953–54. The aim of the Service is to promote dental health by conserving the natural teeth and preventing dental decay. Only a small number of teeth have to be extracted as unsaveable, about six for every hundred saved by suitable treatment.

Orthodontic treatment is carried out principally in Wellington, where an orthodontic section is established at the Wellington Dental Clinic. Dental officers on field clinics undertake a limited amount of orthodontic treatment of a simple nature.

Adolescent Dental Service.—The original aim was to provide dental service for adolescents through the medium of a full-time salaried service, but while the present shortage of dental surgeons continues progress towards this objective will be slow. In addition to the service provided by a number of clinics controlled by the Department of Health, dental care for adolescents is in the meantime being provided by private practitioners as a dental benefit under the Social Security Act, the practitioners being reimbursed on a fee-for-service basis.

Eligibility for dental treatment as an adolescent is contingent upon a person having undergone regular dental care up to within three months of the time of application, either at a school dental clinic or from a private dental practitioner.

Treatment of adolescents is in effect a continuation of the treatment provided by the School Dental Service, and is continued until a patient has reached his nineteenth birthday, or such earlier age as the Minister may from time to time appoint. For the present the maximum age has been fixed as the sixteenth birthday.

Treatment is essentially of a nature designed to conserve the natural teeth. Dental supervision of adolescents is on a basis of examination and treatment at six-monthly intervals. There is free choice of dentists, and dentists have the right to decline patients.

The treatment (other than treatment requiring special approval) which may be provided as dental benefits, and the fees payable, are indicated in the 1951 Schedule to the Social Security (Dental Benefits) Regulations 1946. Dentists are free to exercise their professional judgment, and, if in their opinion a case demands a form of treatment that is not provided for in the schedule, there is provision, with certain limitations, for such treatment to be approved as a charge on the Social Security Fund.

At 31 March 1954 the number of adolescents enrolled for dental benefits, and the amount paid for dental benefits for the year 1953–54, were—

 NumberAmount Paid, 1953–54 £
For general dental benefits168,496663,950
For special dental benefits859 

Dental Health Education.—The dental health education activities of the Department are under the control of the Principal Dental Officer (Health Education), who is responsible for the production of posters, pamphlets, sound films, film strips, radio talks, newspaper advertisements, and all other types of advertising media. In the departmental health exhibit is a dental section which is staffed when on tour by a Dental Tutor Sister (Health Education) and by school dental nurses from the locality in which the exhibit is on view.

Officers of the Service are kept in touch with health education and other matters by means of the national Dental Service Gazette, which is published bi-monthly.

Dental officers and school dental nurses are expected to impress on their patients the necessity of maintaining a high standard of oral health. To further this end every opportunity is taken of distributing health educational literature, displaying posters, and devoting reasonable clinical time to instruction in oral hygiene. Opportunities to address meetings of various kinds are availed of wherever possible.

Dental Research.—By arrangement with the New Zealand Medical Research Council, a Dental Field Research Officer is attached to the Service. Primarily this officer is engaged in a long-term programme of field research on dental problems, but his services are also available to assist the dental administration in carrying out short-term research projects when information is required for a specific purpose.

In addition to this work, the investigation of dental materials and methods of using them goes on constantly, and provides useful data for the selection and use of materials for the Service.

Dental Bursaries.—The Government grants between twenty and thirty bursaries each year to selected students to assist them to qualify as dentists. The bursaries are of a value of £70 per annum, plus free tuition the value of which is £50, and are tenable for five years, subject to satisfactory reports from the University authorities. An additional allowance of £40 per annum is payable to students who have to live away from home in order to pursue their studies. Students who are granted bursaries must enter into an agreement to pursue their studies diligently and, on graduating, to enter the service of the Crown or of a Hospital Board appointed by the Crown for a specified period not exceeding three years.

MATERNAL WELFARE.—Maternal- and infant-welfare work in New Zealand is based on cooperation between the Department of Health, Hospital Boards, the medical and nursing professions, and the Plunket Society.

The Director who deals with maternal welfare is a medical practitioner, and the division of the Department is styled “Private and Maternity Hospitals.” He supervises the inspection of maternity hospitals, the techniques in use in these hospitals, and, generally, the promotion of all aspects of maternal welfare.

The Medical Officers of Health, through their staff of Nurse Inspectors, exercise a general supervision over the work of midwives and closely control the private hospitals throughout the country. All private hospitals are required to be licensed under the Hospitals Act 1926, and the Department of Health sees that standards regarding buildings, equipment, and staff are observed.

Except in an emergency, no persons other than registered medical practitioners and registered midwives are allowed to conduct confinements, and only registered midwives and registered maternity nurses are permitted to nurse women in childbirth. Approximately 97 per cent of all confinements take place in the various types of maternity hospital—a maternity annex to a public hospital, a St. Helens Hospital, or a private maternity hospital.

Important contributions to maternal welfare are made by the Division of Nursing, which includes in its duties the supervision of the training of midwives and maternity nurses, and by the Hospitals Division, which includes in its duties the approval of plans for accommodation to be provided by the various types of maternity hospital. The work of these two Divisions is surveyed elsewhere in this Section.

OCCUPATIONAL HEALTH.—In 1944 a Medical Inspector of Factories in Great Britain was seconded to the Department of Health in order to undertake a survey of conditions of work in New Zealand factories. In his report he suggested “that consideration be given to the formation within the Department of Health of a Division of Industrial Hygiene to include the factory inspectorate, relieved of all other duties and to administer those parts of a new Factories Act and such other legislation as is concerned with the health, welfare, and safety of the industrial worker”.

The principle of a Division of Industrial Hygiene was accepted, and the first medical appointment to the new Division was made during 1946, the appointee taking up his duties in January 1947. The name of the Division has since been changed from Industrial Hygiene to Occupational Health, the new title giving a better indication of the scope of the work that might well eventually be covered. Four District Industrial Medical Officers have also been appointed to work in the four main centres, and a fifth in Palmerston North. Between them they cover the whole of New Zealand, under the general direction of the Director of the Division at the Head Office of the Department of Health.

A prominent characteristic of the diversification of New Zealand industry is that it is of recent growth and is contained in small units. In many of the small factories, on account of the high per caput cost, amenities tend to be of a lower standard than in the average large factory. A substantial proportion of small factories, in addition to a number of the larger ones, fail to conform to the 1946 Factories Act standards, and the first objective of the Occupational Health Service, therefore, is to assist the Department of Labour to establish the minimum standards required by the Act. In this the District Industrial Medical Officers work in close co-operation with the inspectors of the Department of Labour, and in order to facilitate this liaison, office accommodation has been provided in most centres for the medical officers in the district Labour offices.

The Factories Act 1946, section 78, gives to Medical Officers of Health or other authorized officers of the Department of Health the same powers and authorities as Inspectors of Factories with regard to the health and welfare sections of the Act. The Act gives the officers of the Department of Health no legal standing in relation to the provisions for safety, although the lost time caused by accidents demands more preventive work in which medical men and nurses with an industrial training should play a part.

The Division has also the more confined objective of guarding the health of those workers who are exposed to the special health risks, such as those handling lead salts, or liable to breathe dangerous fumes, or those who are in contact with skin irritants. Inevitably there is a great deal of ignorance and lack of consciousness on the part of management and workers of the dangers and hazards associated with their work. Education on these matters, together with publicity and propaganda, will do much to raise the level of understanding and is properly a function of the Division.

In 1947 an industrial nursing course was incorporated into the syllabus of the Post-graduate Nurses' Training School, and this has been repeated in subsequent years. Nurses completing this course have been appointed to the Department of Health, attached to the staff of the District Industrial Medical Officers, or to Government Departments such as the Railways and Post and Telegraph. These nurses have had special training in blood examination of workers at risk from lead absorption, and their duties include the monthly blood examination of such workers required under the Lead Process Regulations. Other groups of workers at special risk from health hazards, such, for example, as those in electro-plating shops, are included under the regular supervision of the nurses, who are also available for any special work that may be required in looking after juveniles, pregnant women, or physically handicapped workers.

In addition, a number of industrial nurses are employed by the larger private firms. A Nurse Inspector appointed by the Department of Health regularly visits these nurses in order to advise them in their work and to co-ordinate and broaden the conception of a health service in industry. Part of this officer's time is occupied as tutor at the Post-graduate Nurses' School in Wellington.

In 1952 an Investigating Officer was appointed to the Division. He is available to travel throughout the country investigating special problems and surveying the health risks of particular industries and occupations, in co-operation with the District Industrial Medical Officers.

The Division is concerned with the health of all workers, not merely those covered by the Factories Act, and from time to time surveys of working conditions are undertaken in specific industries. As a result of inspections and reports on conditions of work of waterside workers at Wellington, Lyttelton, and Auckland, industrial health centres have been set up at each of these ports, staffed by the Department's industrial nurses and under the supervision of the Industrial Medical Officer for the area. An industrial health centre has been established in the Woolston area of Christchurch and another at the Foreshore, Dunedin, to serve industries in the neighbourhood. These are situated in premises made available by one of the larger firms in each area. The first ad hoc industrial health centre has been built in the Penrose area of Auckland, the cost of construction being borne by the Workers' Compensation Board. Contributions towards maintenance costs will be made by the Penrose Industrial Progress Association, and equipment and nursing staff provided by the Department of Health.

Radiation Protection.—An important step was taken with the passing of the Radioactive Substances Act 1949. Although the dangers associated with the generation and use of X-rays have long been realized, there had previously been no statutory authority for specific control of X-ray plants and their operators. The hazards arising from the high voltages employed have been well known, but it was not until 1944, when the Electrical Wiring (X-ray) Regulations were drawn up, that these hazards became subject to specific control. With the increasing use of radium in medicine and the possibility of radioactive elements being used in industry and research, there came a need for legislation designed to protect all persons from harmful radiations. Factors contributing to the realization of this need were that X-ray equipment of old design was still being used and that X-rays were increasingly used in industry, and even in some special branches of merchandising, such as the fitting of footwear.

The Radioactive Substances Act 1949 established a special council of radiologists and physicists, to advise the Minister of Health on all questions of a technical nature. The Act set up a very thorough licensing system for all users of irradiating apparatus and radioactive substances, and gave very wide powers for the making of specific regulations. These latter, known as the Radiation Protection Regulations 1951, have specific requirements relating to the health of those persons whose work is likely to expose them to harmful radiations, ventilation of rooms in which these radiations are produced, quantitative limitations on the exposure of persons to radiation, and generally those precautions and protective devices which will all contribute to safe practice. The same regulations require full records to be kept of various uses of radiations, in order that long-term effects on a person's health may later be traced. Separate regulations, the Transport of Radioactive Substances Regulations 1951, have been made to deal with all aspects of the packing, shielding, labelling, and transport of radioactive substances, and, in addition, the Department has issued to all radiation workers, to supplement the regulations, a booklet entitled “Recommendations for Protection from Radiation Hazards.” In the Departmental administration of licensing and inspection services arising from this legislation and generally in all problems associated with the use of irradiating apparatus and radioactive substances, the Dominion X-ray and Radium Laboratory at Christchurch is playing an important part.

PHYSICAL MEDICINE.—The Division of Physical Medicine is concerned with rheumatology, cerebral palsy, and other disorders of the locomotor system, and is responsible for the general organization and maintenance of physiotherapy and occupational therapy throughout the country.

A centre for the treatment of rheumatic diseases is established at the Queen Elizabeth Hospital, Rotorua. This hospital has approximately one hundred beds set aside for the treatment of rheumatic diseases, and active research is being carried out there in an effort to elicit information as to the causation and treatment of these diseases. A large hydrotherapy establishment, known as the Main Bath House, makes full use of the thermal waters of Rotorua, and also acts as the Out-patient Department of the Queen Elizabeth Hospital, with which it is administratively combined.

A cerebral palsy unit is also situated at the hospital, and provides residential accommodation for eighteen children. At this unit the activity of a team of physiotherapists, occupational therapists, teachers, and speech therapists are co-ordinated by the supervisor of the unit working under a physician. In addition to treatment, continuous research is being carried out on the problems connected with cerebral palsy, and post-graduate courses are given to physiotherapists, occupational therapists, teachers, and speech therapists. The unit is to be enlarged this year to take an additional four patients. Cerebral palsy day schools have been established in Auckland, Wellington, Christ-church, Dunedin, and Invercargill. These schools are administered by the relative Education Boards under the Department of Education, but close liaison exists between these schools and the Division and the Rotorua Unit. An experimental cerebral palsy visiting physiotherapy service has been established in the Canterbury district.

The Division is closely associated with the Physiotherapy and Occupational Therapy Boards, and the Divisional-Director deputises for the Director-General of Health as Chairman of these Boards.

The selection of candidates for training at the Physiotherapy School, Dunedin, is carried out by the Principal of the School in conjunction with the Departmental Inspector of Physiotherapy, who also interviews applicants for bursaries which are awarded to suitable candidates. Such bursaries carry with them conditions that on qualification the bursar will work in a public hospital for two years. The training school for occupational therapists is situated at Auckland Mental Hospital and is administered by the Mental Hospitals Division. Trainees are paid a salary while training, and have to agree to work in a departmental or public hospital for two years after qualification.

The division is actively concerned in the problem of the rehabilitation of the physically disabled, the organization of which is at present being developed by an inter-departmental committee.

NURSING DIVISION.—Training of nurses commenced in New Zealand in 1886, and registration of nurses was introduced in 1901 and of midwives in 1904. In 1921 the Division of Nursing was set up in the Department of Health and the Nurse Inspector of Hospitals was appointed Director of the Division. In 1928 a post graduate course for the purpose of providing nurses for executive, teaching, and public health positions was established. Today a block and study day system of organization of theoretical and practical work operates in nearly all nursing schools, and any reasonable experimentation by the schools is encouraged.

The training of all nurses and midwives is governed by the Nurses and Midwives Act 1945. This Act is administered by the Nurses and Midwives Board, which comprises mainly nurse members who are in active practice, and is independent of political and departmental control, although the Director-General of Health is the Chairman, and the Director, Division of Nursing, is the Registrar. The current regulations under the Act are the Nurses and Midwives Regulations 1947 and amendments thereto.

The Division is responsible for the maintenance of an adequate and efficient nursing service and the supervision of conditions, including health for nurses and other staff and recruitment of nurses.

The Nurses and Midwives Board delegates to the Division the supervision of hospitals and nursing schools on all aspects of training, and also the examination and registration of nurses. The Nurse Supervisor who makes a visit to a hospital carries out the dual purpose, therefore, of making reports both to the Director-General of Health through the Nursing Division, and to the Nurses and Midwives Board. This integration of work is a feature which has preserved good relationships in the hospitals, and has enabled the practical and theoretical training of nurses as well as their conditions to be maintained at a uniformly high standard.

The control of most of the public health nursing services and of district (home) nursing is exercised from the Division, although the specialized infant welfare and mothercraft work of the Plunket Society is under the control of that organization; close co-operation with that Society is, however, maintained.

Another part of the work is the selection and placement of nurses in the various groups of Pacific islands for which the New Zealand Government is responsible. These nurses for hospital and public health work are seconded from the New Zealand service for periods of two years, pension rights being continuous. The supervision of this service is exercised by regular visits to the islands.

Close liaison exists between the nursing services organized for the Armed Services and the Division, while any organization for emergency nursing is carried out by the Division.

The organization of refresher courses for all groups is another responsibility, while the post graduate course is a special feature of its work. As already stated this was organized in 1928 and is controlled by a committee on which the Department of Health, the University, and Hospital Boards Association, are represented. Courses are followed in Hospital and Nursing School Administration, Public Health Nursing, Medical Social Work, Industrial Nursing, and Teaching and Administration in Obstetric Nursing. Up to sixty students take the eight months' course annually, and with few exceptions they are specially selected and attend on bursaries from the Department of Health, Hospital Boards, and voluntary organizations, while during recent years there has been an increasing number from overseas countries. The school has its own building, library, classrooms, offices, and hostel. The full-time instructors at the school conduct the refresher courses during the school recess, and also carry out supervision of hospitals, nursing schools, and public health work, thus keeping up to date with the practical needs of the field.

The New Zealand Nurses' Association is an active body having relationships with the Nursing Division, it being represented by three members on the Nurses and Midwives Board and by two on the Nurses' Salaries Board, while at the annual conference and more frequent executive meetings various matters are brought to the notice of the authorities concerned.

New Zealand with its small population, good climate, and good standard of living, should have a comparatively healthy people, but has its particular health and social needs. The administration on the nursing side has expanded to meet these and the increasing opportunities for service in the fields of human welfare.

MEDICAL RESEARCH COUNCIL.—Under the Medical Research Council Act 1950 a Medical Research Council was set up with the following functions:

  1. To foster medical research and to prepare and publish such reports on these matters as may in its opinion be necessary or of value to teachers or other persons.

  2. To furnish information, advice, and assistance to persons and organizations concerned with medical research.

This Council took over and developed the work of a departmental committee, bearing the same name, which had been in existence since 1938. At the end of 1953 research in the following fields was in progress:

  1. Chest diseases.

  2. Clinical medicine.

  3. Dentistry.

  4. Endocrinology.

  5. Island Territories research.

  6. Microbiology.

  7. Neuropathology and neurophysiology.

  8. Nutrition.

  9. Obstetrics.

The Council maintains liaison with the research work being carried out by the Travis Trust Laboratory for tuberculosis research and the New Zealand Branch of the British Empire Cancer Campaign Society.

REGISTRATION COUNCILS AND BOARDS.—Medical Practitioners: The Medical Council of New Zealand, constituted under the Medical Practitioners Act 1950, consists of the Director-General of Health, the Dean of the Faculty of Medicine in the University of Otago, and five other registered medical practitioners. One of the five members is appointed on the recommendation of the New Zealand Branch of the British Medical Association.

The Council deals with all applications for registration under the Act, which prescribes that every person shall be entitled to conditional registration who satisfies the Council that he is a graduate in medicine and surgery of the University of New Zealand; or registered on the register kept in accordance with the provisions of the Acts regulating the registration of medical practitioners in the United Kingdom or the Republic of Ireland; or the holder, after a course of not less than five years, of a foreign diploma approved by the Council. The Council may, however, refuse to approve any diploma (even in the case of persons registered in the United Kingdom or the Republic of Ireland) unless it appears that New Zealand graduates are, without further examination, entitled to registration in the country granting the diploma. It may also require the holder of a foreign diploma to attend a course and pass an examination in medicine and surgery.

The fee for registration is £5, which is payable on deposit of evidence of qualifications. An applicant who is refused registration has the right of appeal to the Supreme Court. Each year every registered medical practitioner who is not specially exempted under the Act and who is actually practising medicine in New Zealand is required to obtain an annual practising certificate, the fee payable being £1.

The Medical Council is vested with certain disciplinary powers. Right of appeal to the Supreme Court is provided. The Supreme Court, on the motion of the Medical Council, may order the removal of a name from the register in cases where a medical practitioner is guilty of grave impropriety or infamous conduct in a professional respect, or is convicted of an indictable offence punishable by imprisonment with hard labour for a term of two years or upwards. The Medical Council is also given power to hear appeals against the decisions of the Medical Practitioners Disciplinary Committee also set up under the Medical Practitioners Act 1950. Any person involved who feels aggrieved by the decision of the Medical Council on an appeal from the Disciplinary Committee may appeal to the Supreme Court against the Council's decision.

The Medical Council has been given power to institute an internship scheme in New Zealand. This became effective from 1 December 1952.

The number of medical practitioners on the register at 30 June 1954 was 2,901.

Dentists: The Dentists Act 1936 provides for the constitution of a Dental Council, the functions of which are to examine and approve of the qualifications of applicants desiring registration as dentists and to exercise disciplinary control over registered dentists.

The Dentists Register is kept by the Director-General of Health, to whom applications for registration are addressed. The applications are submitted by the Director-General of Health to the Dental Council for consideration and direction regarding acceptance for registration. The Director-General of Health may issue to any person who has applied for registration as a dentist, a provisional practising certificate which entitles the person to practise dentistry pending consideration of his application by the Dental Council.

Any adult person is entitled to be registered as a dentist who satisfies the Dental Council that he is the holder of a qualification in dentistry obtained from the University of New Zealand; or that he is the holder of a qualification approved by the Dental Council and obtained from a University or other institution in the United Kingdom or in some other part of the British Commonwealth (in the latter case, however, the Council may require a further examination); or is the holder of an approved foreign qualification, but the Council may refuse to approve any foreign qualification if New Zealand graduates in dentistry are not accepted for registration without further examination in the country concerned, or the Council may require the applicant to pass a further examination.

The fee for initial registration is £5. If a provisional practising certificate is required, there is a further fee of 5s. A fee of £1 per annum is payable for an annual practising certificate.

The number of private dental practitioners holding annual practising certificates at 31 March 1954 was 746.

Nurses and Midwives: Under the Nurses and Midwives Act 1945 is constituted the Nurses and Midwives Board, consisting of the Director-General of Health (Chairman), the Director, Division of Mental Hygiene, the Registrar (Director, Division of Nursing), one registered medical practitioner, a representative of the Hospital Boards' Association of New Zealand, two registered nurses, one registered midwife, and one registered psychiatric nurse. Members other than official members are appointed on the recommendation of the Minister of Health, the nursing personnel being nominated by the New Zealand Registered Nurses' Association.

The functions of the Board are—

  1. To determine the courses of training and instruction to be undergone by candidates for examination.

  2. To approve hospitals and other institutions at which training or any portion of training may be received.

  3. To conduct examinations; to appoint examiners and make all necessary arrangements for examinations; to issue suitable certificates of registration.

  4. To receive applications for registration and to authorize registration in proper cases.

  5. To have regard to the conduct of persons registered under the Act, and, within the scope of its authority, to do whatever may be necessary for the effective administration of the Act.

Under the Act, regulations authorized by the Governor-General by Order in Council may be made, the current regulations being the Nurses and Midwives Regulations 1947 and amendments.

Registration.—The Nurses and Midwives Act 1945 requires that the following registers be kept by the Registrar: (a) Nurses, (b) Midwives and Maternity Nurses, (c) Male Nurses, (d) Psychiatric Nurses, and (e) Nursing Aids.

Every person trained in New Zealand who satisfies the Board that she or he has served the stipulated training period, has passed the prescribed qualifying examination, and has complied with the other conditions laid down by the Act, is entitled to have her or his name entered in the appropriate register. In addition, persons trained outside New Zealand who satisfy the Board that their training and qualifications are equal to the equivalent New Zealand training and qualifications are entitled to be registered in the appropriate New Zealand registers.

In the case of New Zealand trained nurses the fee payable for the qualifying examination includes the registration fee. Overseas-trained nurses whose applications for registration have been approved by the Board are required to pay a fee of £1 for the initial qualification and a further fee of 10s. for each additional qualification. A practising fee of 5s. is payable annually.

Physiotherapists: Under the Physiotherapy Act 1949 is constituted the New Zealand Physiotherapy Board, consisting of the Director-General of Health, the Principal of the New Zealand School of Physiotherapy, Dunedin, the Inspecting Physiotherapist of the Department of Health, one registered medical practitioner nominated by the Minister, and three practising physiotherapists nominated by the New Zealand Society of Physiotherapists (Incorporated).

The Board is concerned with the training, examination, and registration of candidates for physiotherapy practice, and has regard to the conduct of those registered under the Act.

At present the training period is three years. Full time training for male and female students is conducted at the New Zealand School of Physiotherapy, Dunedin, and six months of the final year is spent at one of the subsidiary training schools in various parts of New Zealand. At the conclusion of training all students are required to pass the State final examination in physiotherapy in order to qualify for registration. The fees payable for examination and registration are prescribed by regulations under the Act.

Every person registered under the Act and engaged in the practice of physiotherapy must hold an annual practising certificate. The fee payable is 10s. per annum.

The Act also provides for the admission to the register of overseas personnel whose standard of training is acceptable to the Board.

Occupational Therapists: Under the Occupational Therapy Act 1949 is constituted the Occupational Therapy Board, consisting of the Director-General of Health as Chairman; the Director, Division of Nursing as Registrar; the Director, Division of Mental Hygiene; the Medical Superintendent of a mental hospital; the Supervisor of Occupational Therapy; a Medical Superintendent of a public hospital; a representative of the Red Cross Society; a representative of the Occupational Therapists' Association, and one other person appointed by the Minister.

The Board is concerned with the training, examination, registration, and conduct of persons engaged in the practice of occupational therapy in New Zealand.

The training period is at least two years, and is undertaken at the School of Occupational Therapy, Avondale, Auckland.

Every person registered under the Act and engaged in the practice of occupational therapy in New Zealand must hold an annual practising certificate.

The Act also provides for the admission to the register of persons trained outside New Zealand whose standard of training is acceptable to the Board.

Dietitians: Under the Dietitians Act 1950 is constituted the Dietitians Board, consisting of the Director-General of Health as Chairman; the Dean of the Faculty of Home Science of the University of Otago; the Director, Division of Nursing, Department of Health; the Nutritionist, Department of Health; Inspecting Dietitian, Department of Health; two dietitians nominated by the New Zealand Dietetic Association (Incorporated); and one other person appointed by the Minister of Health.

The functions of the Board are (a) to advise and make recommendations to the Minister of Health in respect of any matter affecting the profession of dietetics, (b) to determine courses of training and instruction to be undergone by candidates for examinations, (c) to approve hospitals and allied institutions as training schools, (d) to conduct examinations, (e) to effect registration, (f) to have regard to the conduct of persons registered under the Act, and (g) to effectively administer the Act.

The training period is, in the case of the holder of a degree in home science conferred by the University of New Zealand or of the holder of a Diploma of Associate in the Home Science of the University of Otago, fifteen months in a hospital training school. In the case of a registered nurse, the training period is two academic years in the School of Home Science, University of Otago, together with two periods totalling ten months in a hospital training school.

At the conclusion of training all students are required to pass the State examination for dietitians in order to qualify for registration. The fees payable for examination and registration are prescribed by regulations under the Act.

Every person registered under the Act and engaged as a practising dietitian must hold an annual practising certificate. The tee payable is 10s. per annum.

The Act also provides for admission to the Register of overseas personnel whose standard of training is acceptable to the Board.

Opticians: The Opticians Act 1928 provides for the constitution of an Opticians Board, consisting of the Director-General of Health (the Registrar), three persons engaged in practice as opticians in New Zealand (one of whom must be practising as an employee of another registered optician), and a registered medical practitioner with special knowledge of diseases of the eyes.

The Board deals with all applications for registration under the Act. On payment of the prescribed fee (£5), every person is entitled to registration as an optician who satisfies the Board that—

  1. He has received satisfactory training qualifying him to practise as an optician and is the holder of a certificate of qualification recognized by the Board; or

  2. He has passed an examination under the Act, both theoretical and practical, after a course of not less than three years' approved training in New Zealand as prescribed by regulations, or produces evidence of satisfactory training overseas.

An annual practising certificate fee of £1 is required.

Regulations pursuant to the Opticians Act 1928 prescribe the conditions and period of training and the syllabus for the examination conducted by the Opticians Board.

The number of opticians on the register at 30 June 1954 was 305, although the number in actual practice at that date was 252.

Plumbers: The Plumbers Board of New Zealand, constituted under the Plumbers Registration Act 1953, consists of five members—viz., the Director-General of Health or his deputy (Chairman), the Director of Education, a city or borough engineer nominated by the Municipal Association of New Zealand, and a master plumber and a journeyman plumber elected by their respective associations.

The Board is concerned with the examination and registration of plumbers. Once registered under the Act a plumber is not required to pass any further examination or pay licence fees to local bodies.

The total of names on the register at 30 November 1954 was 3,103, but they were not all employed in the plumbing trade. Since 31 March 1953 the register has been purged, which accounts for the reduction of 966 in the total number on the register.

Pharmaceutical Chemists: There are about 1,250 names on the Register of Pharmaceutical Chemists in New Zealand. All “registered pharmaceutical chemists” automatically become members of the Pharmaceutical Society of New Zealand, the Society's affairs being managed by the Pharmacy Board constituted by the Pharmacy Act 1939.

The Board consists of twelve members, one of whom is appointed by the Minister of Health, nine are elected on a district basis by registered pharmaceutical chemists, and two by persons, not necessarily registered pharmaceutical chemists, who have served an approved apprenticeship and who, at the time of the election, are employed in pharmacy. The main function of the Pharmacy Board is to administer the Pharmacy Act and generally to protect and promote the interests of the profession of pharmacy and the interests of the public in relation thereto.

It is a specific requirement of the Pharmacy Act that pharmacies in New Zealand be at all times maintained under the immediate supervision and control of a registered pharmaceutical chemist, either in the capacity of proprietor or enrolled manager.

The Board has reciprocal arrangements with the pharmaceutical authorities of Great Britain, Northern Ireland, Republic of Ireland, and all the Australian States in the matter of registration. Any person registered as a pharmaceutical chemist in any of these places is eligible for registration in New Zealand. Persons registered as pharmaceutical chemists in New Zealand, similarly, are eligible for registration in the countries mentioned.

The Board conducts the examinations prescribed in the Pharmacy Regulations. A person completing these examinations, as well as an approved apprenticeship of four years, qualifies for registration as a registered pharmaceutical chemist.

The College of Pharmacy in Wellington was taken over as a function of the Society at the beginning of 1944 after having been conducted privately for a period of eleven years. All persons indentured after 1 October 1944 are obliged to attend personally at the College for a period of three weeks during their final year of apprenticeship.

Pharmacy is subject to the provisions of the Pharmacy Amendment Act 1954. Any chemist or company in which not less than 75 per cent of the share capital is owned by a chemist or chemists may established one pharmacy. Companies in which less than 75 per cent of the share capital is chemist-owned must, however, secure the consent of the Pharmacy Authority, set up under the Act, before commencing business, and in all cases the establishment of more than one pharmacy under the same ownership is subject to the consent of the Authority.

VOLUNTARY WELFARE ORGANIZATIONS.—Over the years voluntary welfare organizations have made valuable contributions to the solution of certain problems of public health. In many cases they are encouraged and assisted in their work by grants from public funds. Among the more important of these organizations are the Plunket Society, the King George the Fifth Memorial Children's Health Camps Federation, St. John Ambulance (N.Z.), the New Zealand Red Cross Society, the Crippled Children Society, and the New Zealand Federation of Tuberculosis Associations.

The Plunket Society—the Royal New Zealand Society for the Health of Women and Children —trains its own baby-welfare nurses, conducts baby-welfare clinics throughout the country, and maintains four Karitane Hospitals for premature babies or difficult feeders, but does not cater for the sick baby. The oversight of the healthy baby is left to the Plunket Society, except in those areas where there is no Plunket clinic. In these areas the Department of Health District Nurse does baby-welfare work.

The King George the Fifth Memorial Children's Health Camps Federation maintains a chain of permanent health camps for delicate and undernourished children. The Federation works in close co-operation with the Department of Health. It is the means whereby the voluntary nature of the various organizations is preserved, while ensuring that the available resources are utilized to the best advantage. Much of the finance for the Federation's activities is derived from the proceeds of the annual health stamp appeal.

The St. John Ambulance (N.Z.) has divisions throughout the country carrying out free ambulance work and instruction in first aid and home nursing. It is a branch of the Venerable Order of the Hospital of Saint John of Jerusalem.

The New Zealand Red Cross Society, a part of the International Red Cross Committee, has centres and sub-centres throughout the country. It gives training in first aid, home nursing, hygiene and sanitation, and emergency transportation of the injured. Graduates of these classes form voluntary aid detachments that in peacetime are recruited as aids in hospitals, and in wartime may be recruited for service overseas as well.

The Crippled Children Society keeps a register of all crippled children, helps them to acquire all possible medical treatment, and undertakes vocational training and home education where these are required.

The New Zealand Federation of Tuberculosis Associations looks after the interests of the tuberculous. It assists the Department of Health with health education of the public regarding tuberculosis and concerns itself with after-care and vocational training and guidance.

NATIONAL PHYSICAL WELFARE AND RECREATION.—Because of the abundant natural facilities for popular recreation, New Zealand citizens have always been characterized by a love of outdoor sporting and recreational activity. Although, compared with the older countries of the world, there are large areas available as playing-fields, even in the cities, the demand still exceeds the supply. On the other hand, the long coastlines and frequent mountain ranges enable most people to enjoy outdoor life. A temperate, equable climate ensures the use of facilities on a year-round basis.

The most popular summer sports are swimming and surfing, tennis, cricket, athletics, lawn bowls, softball, rowing, and cycle touring.

Rugby football is the premier sport in winter, but there are enthusiastic and numerically large followings for hockey, association football, tramping, ski-ing and mountaineering, outdoor and indoor basketball, badminton, and table tennis. Both professional and amateur boxing and wrestling are quite popular winter sports, whilst the game of indoor bowls, hitherto confined to isolated areas, is attracting increasing numbers.

Generally speaking, facilities for indoor sports are inadequate in the face of the growing interest and participation in such sports as indoor basketball, badminton, table tennis, and indoor bowls. There is a growing realization of this inadequacy, and steps are being taken, usually in conjunction with community-centre movements, to provide and maintain indoor sporting facilities of a high standard.

All sporting activities in New Zealand are organized on a district basis, with representatives from each district forming a national controlling body. In this way every sport has a number of associations, unions, sub-associations, etc., which control the sport in each district from the strictly local aspect, while a New Zealand association (or union) is the controlling body in all matters of nation-wide significance in that particular sport.

An exception to this arrangement, whereby each sport is responsible for its own administration, is that of selection of representatives for the Olympic and the Empire Games. There exists in New Zealand an Olympic Council made up of representatives of all sports bodies interested in Olympic and Empire Games competition.

Organizational and Practical Assistance in Learn to Swim Campaigns—Extensive “Learn to Swim” campaigns are conducted each summer by the Department of Education (for school children) and by the Physical Welfare and Recreation Branch in conjunction with swimming associations (for adults). Frequently the two organizations combine in specific district campaigns.

During the last four summers an extensive publicity campaign has been conducted in an effort to decrease the incidence of deaths by drowning.

Community Centres.—A noteworthy trend in New Zealand of recent years has been the formation and planning of community centres in many districts. This trend has been facilitated by the Government subsidy on a pound-for-pound basis for such “living" war memorials as community centres, halls, and play areas. In addition to conforming to the requirements for a living war memorial, projects must be sponsored by the local authority in order to ensure future maintenance.

Financial Assistance for Sport and Recreation.—Provision was made in the Physical Welfare and Recreation Act 1937 for the making of grants by the Government to assist sport and recreation. Such grants are not made for honoraria, travelling expenses, personal uniforms, or general administrative expenses, nor where it is considered that an organization can carry out a project without grant assistance—i.e., grants are made only for additional capital expenditure.

5 B—HOSPITALS AND CHARITABLE INSTITUTIONS

HISTORY.—Authentic information regarding the earliest steps taken to establish public hospitals is meagre. In July 1841 mention is made in the New Zealand Government Gazette of the appointment by the Government of the first Colonial Surgeon with Auckland as his headquarters. Apparently there was some institution in existence for European patients who obtained admission by applying to the Colonial Secretary, who was the only person having this authority. In the case of Maoris it was different; all that was required of them was to present themselves at the institution.

Due to Governor Grey's efforts, which were at first criticized by many, the Government in 1846 consented to grant money for the erection of hospitals in each of the four centres—Auckland, Wellington, Wanganui, and Taranaki—for the treatment of sick and destitute Europeans and free treatment for all Maoris. The foundation stone of the Wellington Hospital was laid in November 1846, whilst the Auckland Hospital was founded the following year.

It is recorded that the first Dunedin Hospital was built in 1851, and that Christchurch was first served by a hospital at Lyttelton known to have been operating in 1853.

In 1854 control of public hospitals was vested in the six Provincial Councils of Auckland, Taranaki, Wellington, Nelson, Canterbury, and Otago, but in 1876, following the abolition of the provinces, the hospitals reverted to the General Government.

As the result of a conference between local authority representatives and the Government in 1878 the first two hospital districts as they are now known were formed. They were based respectively on the hospitals of Dunstan (Clyde) and Cromwell. However, hospitals generally remained under Government control until 1885, when the first Hospitals and Charitable Institutions Act was passed. By it New Zealand was divided into thirty-eight hospital districts, each under the control of its own Board.

In 1886 the Hospitals and Charitable Institutions Amendment Act was passed giving power to two or more hospitals to join into a united district and control their own affairs. The legislation followed a recommendation of the Inspector of Hospitals that thirteen of the thirty-eight hospitals be closed as the population in some districts was insufficient to support a fully-equipped hospital. Instead of taking advantage of this legislation districts have moved in the opposite direction, and by amending legislation the number of districts gradually increased until by 1909 there were forty-seven; amalgamations since that date have reduced the number to thirty-seven, at which it now stands. In 1948 the title of the Act was changed to the Hospitals Act.

CONSULTATIVE COMMITTEE ON HOSPITAL REFORM.—A Consultative Committee on Hospital Reform was appointed in May 1953 to inquire into and report on matters affecting the administrative control of public hospitals and other services provided by Hospital Boards and, after taking evidence, to make recommendations to the Government for the reform of the hospital system. The following list of recommendations taken from parliamentary paper H.-31A of 1954, was contained in the report of the Committee.

New Hospitals Act.—A new Hospitals Act should be passed placing the initial responsibility and authority for the provision of free and adequate hospital, specialist, and ancillary services on the Minister of Health. The Minister should delegate his authority widely and freely.

In general the Minister's function should be to define the services to be given and to co-ordinate, direct, and control subordinate authorities. Regional Hospital Authorities should co-ordinate, direct, and control Hospital Boards in their regions. Hospital Boards should actually provide the service.

A sufficient period should be allowed between the time any new authority is constituted and the appointed date on which it assumes its responsibilities.

Regional Hospital Authorities.—Five Authorities should be appointed based on Auckland, Palmerston North, Wellington, Christchurch, and Dunedin.

Each Authority should consist of seven members, all appointed by the Minister. Five members (one of whom must be a medical man) are to act on a part-time and voluntary basis and their appointment should be the subject of prior consultation with chairmen of Hospital Boards and organizations in the region. The remaining two members (Principal Medical Officer and Principal Executive Officer) should be whole-time paid members and should be appointed on the recommendation of the regional authority. Term of appointment should be five years for the part-time medical member and six years for the other four part-time members, but re-appointments of those four members should be staggered. Chairman should be nominated by Minister and receive an honorarium.

Staff of Authority and the Principal Medical Officer and Principal Executive Officer should be outside the Public Service.

Hospital Boards.—The existing thirty-seven boards should be reduced to twenty-three by the following amalgamations: Taumarunui with Waikato; Waiapu, Wairoa, and Opotiki with Cook; Waipawa with Hawke's Bay; Dannevirke and part Wairarapa with Palmerston North; Stratford and Hawera with Taranaki; Patea with Wanganui; Buller, Inangahua, and Westland with Grey; Vincent and Maniototo with Otago.

The principal board of each region (Auckland, Palmerston North, Wellington, North Canterbury, and Otago) should consist of eight elected members and four members appointed by the Minister. In addition, Auckland and Otago should have one member appointed by local University College.

All members of the other eighteen boards should be elected—numbers to range from eight to twelve depending on local circumstances. The Medical Officer of Health, a departmental officer, should be given the right to attend the meeting of any board in his health district, with the right to be heard, but not to vote.

Hospital management committees should be set up in respect of institutions previously controlled by boards that are amalgamated. Boards should also retain discretionary power to set up committees for other institutions. Board member for the area concerned should be a member of local hospital management committee, remaining members to be appointed by local authorities in area.

Hospitals.—The hospital should be the medical centre for its district. Staffing should be on the “open" system. In general, part-time staff should be two-thirds total staff and should be appointed for terms of from three to five years.

Educational functions of hospitals should receive greater recognition and regional authorities should arrange training of those groups of staff not otherwise covered.

Pressure on hospital beds should be relieved by:

  1. Further extension of Hospital Boards' district nursing service. This service should not be merged with the Department's service.

  2. Further provision of non-professional services to do domestic work for patients at home, thus relieving District Nurse from these duties.

  3. Giving more diagnostic examinations before admission to hospital.

  4. Encouraging general practitioners to treat patients at home or in their surgeries.

Department of Health.—The Hospitals Division of the Department of Health should pass much of the detailed work it does to regional authorities and devote more time to:

  1. A survey of hospital requirements and possible development.

  2. The establishment of a costing system. A special investigator should be appointed for this purpose.

  3. “Medical audits” of hospitals.

  4. Research on hospital problems.

  5. Hospital inspections.

Departmental Institutions.—Queen Mary Hospital at Hanmer; Queen Elizabeth Hospital at Rotorua; and the St. Helens Hospitals at Auckland, Wellington, and Christchurch, all of which are run by the Department of Health, should be transferred to the Hospital Board in whose district they are situate. No change is recommended in the control of mental hospitals.

Sanatoria.—These should be under the general jurisdiction of a regional authority, but should continue to serve the same districts as at present and be managed by joint committees as heretofore.

Care of Old People.—Present policies are reviewed and endorsed. The fulfilment of existing programmes for the care of the aged should considerably reduce the present financial burden of hospital administration.

Hospital Finance.—Capital expenditure should be controlled and directed by the settlement of priorities of work. This primarily is a matter for the Department. Duplication of capital development can be avoided by regional authorities making the fullest use of existing buildings and equipment in their areas.

The system of estimating and approving annual maintenance costs should be improved by introducing a new system of accounting and costing, together with comparable statistics. An experienced Hospital Board officer with suitable qualifications should be engaged by the Department to devise, install, and supervise for some years a new system. When this costing system is working a budgetary system of estimating could then be introduced and, except for emergencies, boards could be expected to live within approved estimates.

Boards' estimates of expenditure should be examined and approved earlier in the year than at present.

Better organization of hospital staff duties, better planning of duty rosters, and development of an “organization and methods” machinery should result in a saving in the expenditure on salaries and wages.

Some standardization of textiles, crockery, and equipment should be possible. Purchasing methods could be rationalized in some cases.

In the final analysis the only way to check expenditure will be to put a “ceiling" on it.

Private Hospitals.—To assist in payment of reasonable charges higher subsidy should be paid direct to private hospital patients (in addition to present subsidies to hospitals). Subsidy should be of as permanent a character as possible and not be subject to the application of a means test either to the hospital or the patient.

Paying Wards in Public Hospitals.—These should be made the subject of consideration only after present shortage of public hospital beds has been met.

Hospital Building and Architectural Services.—The committee endorsed a proposal which has now been implemented, that an inter-departmental committee of senior representatives of Treasury, Ministry of Works, and Department of Health should be established to consider and approve works projects (a) when initiated, (b) before proceeding to working drawings, (c) before tenders are accepted.

Department's architects should devote more time to general supervision, formulating and distributing bases of planning, and research and educational work.

A panel of architects with hospital experience should be established. Architects employed by boards and authorities should be on this panel or be associated with an architect on the panel.

Ambulance Service.—Full use should be made of voluntary effort when boards are organizing ambulance services. This endorses established policy.

Mounting Expenditure on Drugs.—Small charge for drugs supplied outside hospitals might help to arrest mounting expenditure.

CONSTITUTION.—A “hospital district” comprises one or more counties and includes boroughs and town districts within the boundaries of the county or counties. The County Councils, Borough Councils, and Town Boards are the “contributory local authorities” within the hospital district.

Districts vary in size from Auckland with a population of 408,440 down to Maniototo which has only 2,890 people.

A Board consists of one or more representatives of each contributory local authority district or combined districts of two or more contributory districts where these do not justify independent representation, the number being fixed by the Governor-General by Order in Council, having regard to the relative populations and relative values of rateable property of the local authority districts. The total number of members of any Board must in no case be less than eight or more than twenty.

Board members are elected by the electors of the various contributory districts or combined districts in the hospital district, and the term of office is three years. Formerly electors in counties required a ratepayer's qualification, whereas electors in boroughs and town districts required only a residential qualification, and this applied even though the elected members sat on the same Board. Legislation in 1946 made the residential qualification universal.

POWERS.—A Hospital Board has power to establish, control, and manage any of the following institutions: hospitals, charitable institutions, maternity homes, convalescent homes, sanatoria, habitual inebriates' homes, reformatory institutions for women and girls, residential or day nurseries, and any other institutions for any purpose which the Governor-General by Order in Council may declare to be a public charitable purpose.

A Board cannot do the following without the consent of the Minister of Health:

  1. Borrow money for the purpose of either maintenance or capital expenditure.

  2. Expend more than the sum of £250 for the purpose of erecting, adding to, or altering buildings, or of purchasing land, or for paying off any loan, or for any other purposes of capital expenditure.

  3. Sell or exchange land.

  4. Close an institution.

  5. Make grants to medical or nursing associations or to hospitals.

  6. Make appointments to certain specified staff positions.

AUTHORITY OF DIRECTOR-GENERAL OF HEALTH.—It is the duty of every Hospital Board to provide and maintain such hospitals as the Director-General of Health considers necessary in any part of the district for the reception, relief, care, treatment, isolation, and removal to hospital or “other place” of persons who are suffering from infectious or other disease or from injury, and for maternity cases.

A Board must appoint such number of medical practitioners, dentists, nurses, dental nurses, midwives, and other officers as the Director-General may from time to time deem necessary for the care and treatment of persons in the district of the Board, whether within an institution under the control of the Board or elsewhere within the district. The Director-General is authorized to visit and inspect hospitals and to appoint Assistant Inspectors, and is required to report to Parliament through the Minister on the administration of the Hospitals Act.

FINANCE.—When Boards were first established in 1885 they obtained their revenue from the following sources:

  1. Voluntary contributions and bequests.

  2. Government subsidy £1 for £1 on voluntary contributions and bequests.

  3. Patients' fees.

  4. Levy on contributory local authorities by rate on the capital value of land.

  5. Government subsidy on levies paid from general taxation.

Voluntary contributions and bequests and subsidy thereon at no time formed an important part of Board revenue, and in 1932 the subsidy in this connection was abolished.

In the earliest days public hospitals were meant only for the destitute sick, but as time went on the standard of service was greatly improved and gradually they were availed of by all sections of the community. The hospitals charged a fee which covered cost of maintenance, and patients able to pay were expected to do so. Fees collected were usually found to form about one-third of a Board's total revenue.

Until 1923 the subsidy on levy was paid at the rate of £1 for £1 for both capital and maintenance purposes, but in that year the subsidy on account of maintenance was amended to a scale which had relation to the burden of levy on the rates of local authorities: the Board with the highest burden was paid 26s. subsidy; the Board with the lowest burden was paid 14s. subsidy; the average of all Boards remained at 20s. subsidy.

Under the Social Security Act 1938 a charge was made on all salaries and wages and other income, and the proceeds were paid into a special fund named the Social Security Fund. The charge was fixed at 1s. in the pound, and in 1946 it was raised to 1s. 6d. in the pound. The Act was to provide, inter alia, “a system whereby medical and hospital treatment will be made available to persons requiring such treatment.” Hospital benefits for inpatients were inaugurated in 1939. The effect of this change was to transfer the liability for payment of patients' fees from the patient to the Social Security Fund. The charge on the Fund was initially fixed at 6s. per patient per day, if for more than one day, being the average collection made by the Boards from patients. To keep up with the rising cost of maintenance the rate in 1943 was increased to 9s. per day. As from 1 October 1954 the rate is £1 1s. in a Class A hospital and 18s. for a Class B hospital.

In 1943 the proportions of revenue derived from the three main sources of Social Security Fund, levy on local authorities, and Government subsidy from general taxation were almost even. Rising costs led to increases in the levies on local authorities and property owners complained that they were being asked to carry an unfair burden as compared with other sections of the community. As a result legislation was passed in 1946 limiting the levy on contributory local authorities to 0.5d. in the £1 of rateable capital value, and this had the immediate effect of transferring a substantial portion of Boards' cash requirements from levy to the subsidy paid from general taxation. Also it followed that any further increases in cost would fall solely on the subsidy except to the extent that increases in rateable capital value of property increased the amount of levy. In consequence of this development the proportions of revenue derived from the main sources have changed. The approximate position for 1950–51 was: Social Security Fund, 25 per cent; levy, 15 per cent; subsidy, 55 per cent; for 1953–54 the corresponding percentages were 19, 12, and 67 respectively. The Hospitals Amendment Act 1951 provides for the abolition of the levy on contributory local authorities by an annual reduction of the rate of levy during the next five years. The first reduction was made for the year ended 31 March 1953, when the rate was 5/12d. on the capital value. For the year ending 31 March 1955 the levy is 3/12d. per £1 of rateable capital value.

Board expenditure is subject to a measure of control by the Minister of Health. Boards are required in the month of April each year to make an estimate of their expenditure for both capital and maintenance purposes and to have the estimates confirmed at a special meeting of the Board. The Minister may, if he thinks it necessary so to do, require the Board to amend the estimate submitted.

Receipts.—Following is a summary of the actual receipts and payments of all Hospital Boards for the years ended 31 March 1953 and 1954.

1952–531953–54
 ££
Voluntary contributions and bequests23,5035,667
Payments from Social Security Fund and by inmates of old people's homes2,905,2093,014,109
Levies1,748,1861,657,825
Subsidies10,137,09810,632,603
Rent, interest, and dividends45,39645,201
Sale of capital assets23,04817,507
Miscellaneous108,301259,310
    Totals, excluding loans14,990,74115,632,222
Loans for capital works1,508,3013,284,712
    Totals16,499,04218,916,934

Payments.—Actual payments during the same two years (excluding payments between Boards) are now given.

1952–531953–54
 ££
Hospital maintenance11,046,32712,092,344
Old people's homes: Maintenance261,815286,806
Outdoor relief22,94623,939
Subsidies to private hospitals, grants to Ambulance Association, etc.82,46291,884
District nursing108,387118,111
Administration325,272346,915
National Provident Fund contributions99,122106,764
Miscellaneous—  
Maintenance203,711505,612
Capital103,02147,548
Interest on loans237,907283,628
Amortization of loans496,410497,373
Capital works other than “loan”1,194,8061,102,101
    Totals, excluding loans14,182,18615,503,025
Loan works1,492,1951,836,988
    Totals15,674,38117,340,013

Hospital Maintenance Expenditure.—The average annual maintenance expenditure in general hospitals per occupied bed in the eleven-year period 1943–44 to 1953–54 was as follows.

YearProvisionsSurgery and DispensaryDomestic and EstablishmentSalaries and WagesMiscellaneousTotals
 ££££££
1943–4452.427.871.4187.06.3344.9
1944–4555.028.969.9195.26.0355.0
1945–4660.033.682.9231.27.0414.7
1946–4764.739.097.3243.48.8453.2
1947–4873.747.2117.4291.411.2540.9
1948–4981.356.1137.9351.011.2637.5
1949–5086.156.5153.9364.912.8574.2
1950–5198.562.7179.5414.914.3769.9
1951–52112.277.6208.5486.016.3900.6
1952–53119.380.9219.3532.216.9968.6
1953–54126.781.0232.2582.118.61,040.6

Charitable Aid.—The Act of 1885 laid down for the first time that charitable aid should be associated with hospitals and Hospital Boards were charged with the administration of charitable aid. Aid was both “indoor" and “outdoor,” the indoor being mainly the provision of homes for aged and destitute people, and the outdoor the provision of food, clothing, etc., for people in necessitous circumstances.

The passing of the Social Security Act 1938 reduced materially Boards' charitable-aid activities. Practically all people over the age of sixty without means or having only limited means are entitled under this Act to an age benefit.

The introduction of invalidity benefits in 1936 and sickness and unemployment benefits in 1938 also relieved Boards of an appreciable amount of expenditure on outdoor relief.

Expenditure over the past ten years on old people's homes and outdoor relief is set out hereunder.

YearMaintenance, Old People's HomesOutdoor Relief
 ££
1944–4594,35538,197
1945–46112,26132,536
1946–47121,72221,687
1947–48137,49320,028
1948–49151,07720,361
1949–50168,53518,963
1950–51173,20220,389
1951–52194,01320,322
1952–53208,47622,429
1953–54228,00223,993

Cost to Local Authorities and Government.—The following is a comparative statement of levies on local authorities and subsidies payable by Government during each of the five financial years from 1949–50 to 1953–54.

YearLeviesSubsidiesTotal
 £££
1949–501,503,7354,725,2146,228,949
1950–511,668,1585,955,4857,623,643
1951–521,853,0038,230,36610,083,369
1952–531,747,8379,819,03511,566,872
1953–541,660,01910,235,07511,895,094

The reduction in levy is due to the limiting of the levy to 5/12d. in the £1 of rateable capital value as from 1 April 1952, and, with annual decreases, to 3/12d. in the £1 as from 1 April 1954.

Loans.—Boards have been authorized by the Minister of Health to raise loans to cover a very extensive building programme, but in recent years building progress generally has been slow because of shortage of labour and materials. In consequence, many loans authorized have not yet been floated or have been floated only in part.

The position of loan liability is as under.

YearAmount FloatedRepaymentBalanceReducible by Sinking Fund
 ££££
1949–50547,205372,4815,460,301101,488
1950–51695,532353,4135,802,419112,188
1951–52905,473395,0736,312,816108,195
1952–531,509,479451,4727,370,819113,323
1953–543,284,235459,46110,177,590115,331

PUBLIC HOSPITALS.—Section 4F contains statistics of inpatients treated at public hospitals other than purely maternity hospitals. In the following table the figures are inclusive of maternity hospitals, sanatoria, etc., and relate to the financial year instead of to the calendar year.

YearInpatients TreatedAverage Number of Occupied BedsBeds Available
Total NumberProportion per 1,000 of PopulationNumberProportion per 1,000 of PopulationNumberProportion per 1,000 of Population
1949–50187,25999.010,9025.814,1297.5
1950–51190,68198.310,8035.614,3947.4
1951–52200,328102.311,0445.614,2887.3
1952–53203,657101.311,1995.614,3887.2
1953–54210,633102.211,4105.514,4347.0

The average number of occupied beds per thousand of population in hospital districts varies from three to ten. Most of this variation can be accounted for by the relative distribution of population as between urban and rural areas and also by the fact that many hospitals to a varying extent draw patients from other districts. Other factors which influence the figures are the availability of medical practitioners and their habits in sending patients to hospital or retaining them for home treatment, the availability of private-hospital beds, housing facilities, domestic assistance, private or district nursing assistance, and the efficiency of the outpatient department.

The number of institutions coming under the heading of public hospitals for the year ended 31 March 1954 was 186, comprising 77 general hospitals (6 of which were also old people's homes, and 2 special hospitals), 2 non-acute hospitals, 3 convalescent hospitals, 95 maternity hospitals, 6 tuberculosis sanatoria, 1 tuberculosis prevention institution, 1 chronic-tuberculosis hospital, and 1 chest clinic. A comparison of beds and patients is as follows.

 1949–501950–511951–521952–531953–54

* Now included under “General”.

† In addition, dental cases treated during the year and attendances were: Auckland. 3,059, 11,518; Wellington, 20,762, 27,880; Lower Hutt, 8,641, 16,358; Christchurch, 3,737, 17,549; and Timaru, 904, 2,043.

Number of institutions182184187185185
Number of beds—     
  General8,3618,56610,73810,76510,821
  Children's cots1,6851,746   
  Maternity1,7701,8251,8931,9372,034
  Tuberculosis1,6311,6151,6571,6861,579
  Infectious disease682642***
    Totals14,12914,39414,28814,38814,434
Average number of occupied beds per day10,90210,80311,04411,19911,410
Inpatients treated during year187,259190,681200,328203,657210,633
Deaths during year7,5537,6378,1517,9897,829
Outpatients—     
  Number552,068582,358585,921639,866679,641
  Attendances1,335,4051,396,0961,350,4751,447,7171,551,756

PRIVATE HOSPITALS.—The control and licensing of private hospitals is provided for in Part III, Hospitals Act 1926. With specified exceptions every house in which two or more patients are lodged must be licensed. No premises are so licensed unless the Director-General is satisfied that they are suitable. Staffing and other requirements are governed by regulations, and all private hospitals are subject to regular inspection by the Department of Health.

The total number of private hospitals licensed in New Zealand at 31 March 1954 was 151, providing 492 maternity beds and 1,789 beds for general cases.

The Social Security Act, inter alia, provides for the payment to licensees of private hospitals of prescribed amounts in respect of hospital treatment afforded by them. Particulars are contained in Section 7A.

HOSPITAL ACCOMMODATION.—The total number of hospitals (public and private, but exclusive of mental hospitals) at 31 March 1954 was 337, of which 181 were the responsibility of Hospital Boards, 5 continued under the control of the Department of Health, and the remaining 151 were operated as private hospitals.

The number of available beds for the last five years in all classes of hospitals, except those in mental hospitals and those in a few institutions maintained by religious and charitable organizations, are given in the following table.

Number of Hospital Beds as at 31 March
19501951195219531954
Hospital Board and Department of Health hospitals14,34014,39414,28814,38814,434
Private hospitals2,4422,3892,2432,2122,281
    Totals16,78216,78316,53116,60016,715
Number per 1,000 of population8.98.78.48.38.1

Not all of the beds shown as available in 1950–51 were correctly so described. A survey placed the number of beds then temporarily closed on account of staff shortages at approximately 800 beds. This number has since been substantially reduced.

MATERNITY SERVICES.—Benefits Under the Social Security Act 1938.—The Social Security Act, inter alia, makes provision for payments from the Social Security Fund to hospitals, medical practitioners, and nurses for services in connection with maternity cases. Particulars of maternity benefits provided under the Act will be found in Section 7A.

At the end of 1953 there were 200 maternity hospitals with a total available bed accommodation of 2,302, made up as follows:

Public hospitals1,681
Private hospitals489
State (St. Helens) hospitals113
Alexandra Home (Wellington)19
    Total2,302

The total number of confinements in maternity hospitals in 1953 was 47,477, of which 34,397 were in public maternity hospitals, 10,184 in private hospitals, 2,505 in St. Helens Hospitals, and 391 in the Alexandra Home, Wellington. Of the total confinements 44,892 were confined at the full term and 2,485 at from 7–9 months. In addition, there were 3,926 admissions for ante-natal treatment. These figures are inclusive of Maoris.

State Maternity Hospitals.—There were three State maternity (St. Helens) hospitals operating at 31 March 1954, these being located in Auckland, Wellington, and Christchurch. Prior to the advent of the maternity benefits under the Social Security Act the use of these hospitals was restricted to cases where the husband's income did not exceed £5 per week, and in cases of large families £6 per week. There are now no restrictions in this respect, and all service is free to the patient. The main function now served by these hospitals is to provide extended training for maternity nurses, so that they may qualify for the more responsible work of midwives.

This service is given under the supervision of a Medical Superintendent, who is also responsible for the conduct of all abnormal cases and for the supervision of the ante-natal and post-natal care of all patients attending. There is also an outpatient department attached to each hospital which provides nursing services for patients not entering the institution.

District Midwives and Maternity Nurses.—A considerable number of Hospital Boards have district nurses who in most cases carry out some obstetrical work in conjunction with other health work. In addition, there are Department of Health nurses appointed for the purpose of attending the Maori population, part of their work being attendance on Maori women during confinement.

Ante-natal Services.—Since maternity benefits have been provided free to patients under the Social Security Act and medical practitioners have been paid a fee under that Act for giving ante-natal, neo-natal, and post-natal attention, the bulk of the ante-natal attendance has been provided by the patient's own medical attendant, this being one part of the service for which he receives a fee. The doctor's attendance, if desired, is supplemented by that of the midwife in charge of an ante-natal clinic. These free ante-natal clinics are established in connection with the three St. Helens Hospitals, ail public maternity hospitals or maternity wards, and a number of clinics conducted by the Plunket Society. In the case of women living far from the main centres of population the work is also supplemented by the district nurses who are employed by the Department of Health or by Hospital Boards.

The majority of women now realize that ante-natal care is as essential to their welfare as attendance, during their delivery and lying-in period, by a doctor and trained maternity nurse or midwife. The Department has supplemented the service by the free distribution of a pamphlet “Suggestions to Expectant Mothers,” which has served its purposes as propaganda for ante-natal care.

Every effort is being made to impress the public with the importance of parental hygiene and systematic ante-natal care throughout pregnancy. Addresses and lectures are delivered by Medical Officers of the Department of Health to nurses and societies interested in this subject. So that there will be definite co-operation between the midwife and the ante-natal clinic, and in order that the midwife may be informed of the clinical methods adopted by the Department, refresher courses of lectures, particularly on ante-natal work, are available to all registered midwives and maternity nurses.

BENEVOLENT INSTITUTIONS, ORPHANAGES, AND YOUTH HOSTELS.—For some years returns were collected from benevolent and orphan institutions, the information covering such particulars as admissions, discharges, deaths, ages, orphanhood status, and the class of authority controlling the institutions. The collection was discontinued as from 1948, and the statistics for earlier years will be found in previous issues of this publication and in the annual reports on Vital Statistics.

In April 1950 Government approved a policy under which, provided certain conditions were complied with, religious or charitable organizations could be granted up to 50 per cent of the cost of establishing homes for old people. During 1951–52 this assistance was extended to cover erection of cottages or flats. In approved cases and subject to certain conditions cottages which are part of a larger approved scheme with a central building providing common amenities qualify for a subsidy of up to 50 per cent. Where the cottages are self-contained units the subsidy offered is up to 33⅓ per cent, but in addition a loan sufficient with the subsidy to bring the total assistance up to 50 per cent is also available if required. The Department of Health is responsible for the administration of this policy.

During 1953–54 subsidies totalling £34,282 were approved to assist in providing accommodation for old people. Since April 1950 subsidies totalling £412,405 have been approved and the buildings to be erected will accommodate over 600 old people.

Benevolent and orphan institutions, which are conducted by Hospital Boards, religious bodies, and other public or semi-public organizations, are alike in that they provide accommodation on a benevolent or charitable basis, but differ largely in the classes of persons to whom they afford assistance. The generic name covers old people's homes, maternity and refuge homes for women and girls, orphanages, homes for the infirm or afflicted, “prison-gate" homes, and an institute for the blind. Some of the orphanages deal with cases similar to those dealt with by the special schools under the control of the Department of Education, and a few of the women's institutions receive offenders committed to them by the Courts.

In many cases there is a variation in the class of inmate provided for by the different controlling bodies. For instance, none of the homes under the supervision of the Presbyterian Church, the Methodist Church, the Baptist Church, or the Brethren are maternity homes of any description. The four churches mentioned control children's homes, orphanages, and old people's homes, while the Church of England and the Roman Catholic Church also provide for children, and in addition some maternity cases are dealt with. The Hospital Boards concentrate chiefly upon old people's homes, while the Salvation Army deals with all types, and is the only body that conducts extensively the “prison-gate" or industrial type of institution. Factors such as these affect the demands made upon the different institutions for accommodation or relief.

In June 1951 the Government decided that in approved cases and subject to certain conditions it would assist religious or welfare organizations to establish hostels for young people by granting up to 50 per cent of the cost of erecting or acquiring hostels. The object of this decision is to assist young men and young women who are living away from their homes and are having difficulty in finding suitable living accommodation. The Department of Health was made responsible for the administration of this policy.

During 1953–54 subsidies totalling £5,447 were approved to assist in the erection of hostels for young people.

5 C—MENTAL HOSPITALS

THE legislative authority relating to mental hospitals is the Mental Health Act 1911 and its amendments, its administration under the direction of the Minister of Health devolving upon the Mental Hygiene Division of the Department of Health. Hospital Boards have no jurisdiction over mental hospitals which are under the direct control of the Mental Hygiene Division.

There are eleven public mental hospitals in New Zealand maintained wholly or in part out of the public revenue. There is also one private hospital licensed for the reception of the mentally afflicted.

The patients on the register at the end of 1953 were distributed as shown below. Numbers given throughout this subsection are inclusive of Maoris. Figures for Maoris are also given separately toward the end of the subsection.

Statistics showing the numbers of voluntary patients are excluded from the following series of tables, though they are given later under the appropriate heading.

Mental HospitalMalesFemalesTotals
Auckland7537401,493
Kingseat (Papakura)465453918
Raventhorpe (Drury)12258270
Tokanui447427874
Lake Alice (Marton)165..165
Levin Farm22882310
Porirua5767961,372
Nelson5824771,059
Seaview (Hokitika)229306535
Sunnyside (Christchurch)7567921,548
Seacliff, Waitati, and Cherry Farm6375331,170
Ashburn Hall (private mental hospital)151328
    Totals4,8654,8779,742

The number of patients remaining at the end of each of the last five years is shown in the following table. During the period covered by the table the number of patients shows an increase of 708, or 7.8 per cent, but the proportion per 10,000 of population has fallen from 48.27 to 47.77.

YearPatients Remaining at 31 DecemberProportion per 10,000 of Mean Population
MalesFemalesTotalsMalesFemalesTotals
19494,6864,3489,03449.9246.5948.27
19504,7244,4459,16949.3046.7548.03
19514,7584,5379,29548.6646.7947.73
19524,7974,6489,44547.8146.8247.32
19534,8654,8779,74247.2247.8847.55
    Average of five years4,7664,5719,33748.5546.9847.77

The total number of patients under supervision, care, or control during 1952 and 1953 was 11,267 (5,654 males and 5,613 females) and 11,639 (5,770 males and 5,869 females) respectively. The average number resident in mental hospitals was 8,584 in 1952, and 8,783 in 1953.

ADMISSIONS.—The total admissions to mental hospitals during the year 1953 was 1,928 (864 males and 1,064 females), this number not including 266 transfers from one institution to another. A new system of compilation of statistics of patients treated in mental hospitals was introduced in 1953, together with a new classification of causes of mental illness based on the International Classification issued by the World Health Organization. Statistics of the principal causes of admission are therefore not strictly comparable with previous years. The figures given in the following table relate to first admissions only.

Cause1953
Heredity63
Other natal and pre-natal influences143
Puerperal state22
Other emotional stress or trauma119
Senility339
Epilepsy28
Syphilis5
Factors in the structure of the personality142
Alcohol55
Organic brain disease8
Other disease, injury, or illness of patient124
Other factors7
Cause of mental illness unknown397
    Total1,452

Of the 1,928 persons admitted to mental hospitals during 1953 those admitted for the first time to any mental hospital in New Zealand numbered 1,452 (662 males, 790 females), and those readmitted 476 (202 males, 274 females). First admissions for the year 1952 totalled 1,419 (663 males and 756 females), and readmissions 338 (122 males and 216 females).

The figures for 1953 represent one first admission for every 1,411 persons of the mean population of New Zealand. The number of first admissions and the rate per 10,000 of mean population for each of the last five years were as follows.

YearNumber of First AdmissionsProportion per 10,000 of Mean Population
MalesFemalesTotalsMalesFemalesTotals
19495146321,1465.486.776.12
19505476581,2055.716.926.31
19515747091,2835.877.316.59
19526637561,4196.617.617.11
19536627901,4526.437.767.09
    Average of five years5927091,3016.037.296.66

AGES OF INMATES.—A summary is now given showing the ages of patients admitted to mental hospitals during the year 1953. The figures include voluntary boarders.

Age in YearsMalesFemalesTotals
Under 10362359
10 and under 208666152
20 and under 30266299565
30 and under 40275342617
40 and under 50190234424
50 and under 60179208387
60 and under 70157205362
70 and under 80158197355
80 and over7091161
Age not stated16824
    Totals1,4331,6733,106

Probably symptomatic to some extent of the ageing of the New Zealand population, the number of patients aged sixty years or over has attained a high proportion of admissions during recent years. Of those admitted to mental hospitals during 1953, patients in this age group numbered 878—i.e., 28.3 per cent of the total.

DISCHARGES AND DEATHS.—The next table gives the average number resident, those who were discharged as recovered, and those who died, during the period 1949–53.

YearAverage Number ResidentDischarged as RecoveredDied
NumberPercentage of Number AdmittedNumberPercentage of Average Number Resident
19498,28751134.485496.64
19508,38455836.646167.35
19518,50758336.596357.46
19528,58460934.667528.76
19538,78369936.266106.95
    Average of five years8,50959235.736327.43

The recovery rate has been satisfactorily maintained, particularly when it is considered that approximately 20 per cent of admissions suffer from senility and a further 5 per cent suffer from heredity conditions.

Old age and diseases of the circulatory and respiratory systems are the principal causes of death among mental hospital patients. The figures for the principal causes and groups of causes for the year 1953 are as follows.

Cause1953
Tuberculosis16
Syphilis (including 3 general paralysis of insane)5
Other infective and parasitic diseases3
Malignant neoplasms18
Diseases of metabolism, endocrine system, and haematopoietic system4
Mental disorders17
Epilepsy10
Other diseases of the nervous system5
Arteriosclerosis and hypertensive disease275
Other cardiovascular disease42
Diseases of the respiratory system66
Diseases of the digestive system8
Diseases of the genito-urinary system3
Puerperal causes1
Senility62
Trauma and poisoning9
Other and ill-defined diseases22
Died on probation44
    Total610

PRIVATE MENTAL HOSPITAL.—A licence may be granted to enable a private mental hospital to receive patients for treatment. Stringent conditions are attached to the issue of such a licence, which may be revoked at any time. The Director of the Mental Hygiene Division of the Department of Health has wide powers in the regulation and control of private institutions, which are placed practically on the same footing as public mental hospitals in regard to inspection and other matters.

There is only one licensed private mental institution in New Zealand, that at Wakari (Ashburn Hall), near Dunedin, established in 1882. Particulars for the last five years of admissions, discharges, deaths, and patients remaining, are as follows. These figures are included in preceding tables.

YearAdmissions (Including Transfers)Discharges (Including Transfers)DeathsPatients Remaining at End of Year
19491510430
1950119230
19511714330
19521618..28
19531816228

MAORIS IN MENTAL HOSPITALS.—The number of Maoris admitted as patients to mental hospitals is small. The figures for the last five years were as follows.

YearAdmitted During YearRemaining at End of Year
MalesFemalesTotalsMalesFemalesTotals
1949232447128104232
1950241943134115249
1951464086133107240
1952423779157123280
19535963122164132296

The above figures are also included in the tables covering all inmates of mental hospitals.

The number of Maoris remaining in mental hospitals at the end of 1953 represented a rate of only 23.84 per 10,000 of the mean Maori population, as compared with a rate of 46.97 in the case of the European population.

VOLUNTARY PATIENTS.—A person labouring under mental defect, but capable of understanding the meaning of the procedure, may seek admission to a mental hospital as a voluntary boarder. At the beginning of 1953 there were 525 such patients on the books (231 males. 294 females), and during the year 1,178 (565 males, 613 females) were admitted. If a voluntary boarder should after admission show mental defect sufficiently pronounced and sustained to render it improper to classify him any longer as such, application for a reception order is made to a Magistrate. During the year 1953, 22 (11 males, 11 females) were transferred from the voluntary to the ordinary register, and 21 males and 16 females died, while 1,131 (562 males, 569 females) were discharged, leaving 781 (349 males, 432 females) on the records at the end of the year.

A feature of interest has been the tendency for voluntary admissions to increase, both in absolute numbers and also in proportion to total first admissions. The following series illustrates this trend.

Voluntary Patients First Admissions
NumbersPercentage of All First Admissions
1915324.7
1920648.1
192512314.1
193023620.2
193521719.2
194025221.5
194535924.3
194753430.6
194857833.8
194957633.4
195059533.1
195165333.7
195277135.2
195379335.3

EXPENDITURE, ETC.—The total expenditure on maintenance of public mental hospitals (not including the cost of new buildings and additions) and particulars of receipts during the last eleven financial years are shown in the next table. As from 1 April 1939 free maintenance and treatment have been provided in all public mental hospitals in accordance with the provisions of the Social Security Act 1938. The consequent loss of revenue through the operation of the Act was recoverable from the Social Security Fund, but as from 1 April 1945 such recoveries ceased, and from that date all maintenance expenditure has been borne by the Consolidated Fund. The amounts shown as receipts on account of patients' fees for the years subsequent to 1939–40 represent in part the recovery of accounts outstanding at 31 March 1939. The Mental Health Amendment Act 1950 provides that the cost of maintenance of any person who is not ordinarily resident in New Zealand and who is detained in any public institution shall be a debt due to the Crown. These provisions became effective on and after 23 November 1950.

Year Ended 31 MarchTotal ExpenditureReceiptsNet ExpenditureGross Average Cost per Patient
Patients' FeesSale of Produce, etc.Social Security Fund
 ££££££s.d.
1944766,53013,21866,198183,199503,9159542
1945827,1288,20767,433187,942563,54610061
1946940,1675,85970,500..863,80811382
19471,072,1308,22887,065..976,837128102
19481,243,3328,95888,397..1,145,977147123
19491,476,7687,99338,427..1,430,3481731311
19501,766,6591,602177,152..1,587,90520300
19511,810,2852,956125,771..1,681,55820620
19522,288,5894,983138,465..2,145,14125760
19532,446,3441,84955,210..2,389,28527220
19542,510,8861,21871,528..2,438,14023188

In the period covered by the foregoing table total expenditure increased by £1,744,356, or 227 per cent, while the gross average cost per patient rose by £136 4s. 6d. per annum, or 143 per cent.

As already stated the expenditure included in the foregoing table does not include amounts spent on new buildings, additions, etc., the cost of which is met by the Ministry of Works. The sums spent in this connection fell away considerably in the later war years. Expenditure for the last three financial years, however, has amounted to £259,289 in 1951–52, £382,647 in 1952–53, and £560,275 in 1953–54, while the aggregate expenditure from 1 July 1877 to 31 March 1954 was £5,327,459.

Chapter 6. SECTION 6—EDUCATION

Table of Contents

HISTORY AND ADMINISTRATION.—The education system of New Zealand can be understood only when it is seen against its historical background. The first settlements in the new colony were relatively isolated units each of which had to make its own provision for the education of its children. In some places the provision of schools was left to the churches, in some to private enterprise, and in others to public associations. When the provinces were established in 1852 the Provincial Councils took over education as one of their functions, but this brought no degree of uniformity to New Zealand schools, for each province tended to foster the type of school organization already established in its area. The provinces varied considerably in the efficiency of their school systems; but, in spite of some success in the face of difficulties in certain areas, at the end of the provincial period in 1876 not more than half the children between the ages of five and fifteen were attending school at all.

The present national system of free, secular, and compulsory* education is based on the Education Act of 1877. This Act followed upon the abolition of the provinces, but the provinces, though dead as political units, left their mark upon the school system. A fierce struggle between the protagonists of central and of local control ended in a victory for the provincialists, and the public schools were placed under the control of District Education Boards, which were for the most part the same bodies as the old Provincial Education Boards. The Colonial Government, however, had to provide all the finance in the form of capitation grants, and a small Department of Education was set up in Wellington, very largely for the purpose of distributing the grants. For every school district constituted under the Act there was a School Committee, elected by householders, which, subject to the control of the Board, had “the management of educational matters within the school district.” The School Committees elected the members of the Education Board.

As far as mere structure is concerned, this still remains the pattern of the system of school administration in New Zealand, but there have been, in the intervening years, great changes in the relative functions of the three authorities. The general tendency has been for final power and responsibility to shift from the Committees to the Boards and from the Boards to the Department. The Committees, in fact, through lack of professional executive officers and independent sources of revenue, from the very beginning were unable to take over the full powers that the 1877 Act obviously intended them to have, and for the first twenty years of national education the Education Boards were the predominant authorities in the system.

From just before the beginning of this century the Department of Education began to play an increasingly important part in educational administration, partly as a result of improved means of communication. Under the Act of 1877 the Boards had been given wide powers: to administer funds from endowments and departmental grants, to appoint and remove teachers, to pay teachers' salaries according to their own scales, to establish scholarships and provide for secondary education in district high schools, and to control the inspectorate. Legislation, beginning with the establishment of a national scale of primary school salaries and staffing in 1901 and culminating in the Education Act of 1914 (still the basic measure under which the education system is administered), concentrated these powers more and more in the hands of the Department, which began to take a more detailed interest in expenditure by the Boards. The original freedom of the Boards in the expenditure of building grants was taken away, and the present system, requiring special departmental authorization for each new building, gradually became established. From 1901 onwards the Department paid over to the Boards the exact sum required for teachers' salaries, thus leaving a much-reduced capitation grant to be used by the local authorities at their own discretion. In 1914 the Department took over the control of the primary-school inspectorate.

The centralization of the inspectorate made possible a further change affecting the powers of the Boards. In 1920 a New Zealand grading scheme was instituted under which all primary-school teachers were annually awarded grading marks by the Inspectors. A teacher's total marks give him a place on a numerically graded list. Since all ordinary appointments are decided on the basis of this list, the system of appointment is in effect a national one, and the Boards have very limited powers of discretion although they make the appointments and the teachers are servants of the Boards. In 1940 biennial grading was substituted for annual grading, thus freeing the inspectors of schools in alternate years to give more time to schools. The provision of an annual grading number for teachers was, however, retained. A new appointments scheme involving the classification of teachers in four broad Divisions and triennial assessment was agreed upon in 1954. Transition to the new scheme from the present one will not be fully effective for four years.

* Every child (with certain statutory exemptions) between the ages of seven and fifteen years has to be enrolled as a pupil of either a public or a registered school.

It does not follow, however, since the Boards and the School Committees have lost many of their original powers, that they have ceased to play an important part in the system. The Committee's primary function is the care of school buildings, grounds, and equipment, but, in addition to this, many interest themselves very keenly in the general activities of the school and provide in each district a focusing point for local opinion on educational matters. The Education Boards are still the initiating bodies on matters of buildings, sites, conveyance of pupils, consolidation, and provision of school facilities generally; and, although the final word often lies with the Minister of Education or the Department, the Boards have no small influence in the fixing of policy within their districts. The schools are legally their schools and the teachers their teachers, and, although in general the Boards' choices of applicants are limited by the grading system, they have much more discretion in the selection of applicants for special or key positions. The teachers' class-room activities are under the control of the Inspectors, but their general responsibility is to the Boards, and their professional life tends to centre on the Boards rather than on the Department. In spite of the apparent clumsiness of the administrative structure and of periods of strong feeling in the past, the system at present functions remarkably smoothly, and has achieved a balance, workable if not ideal, between the claims of local initiative and national efficiency. A certain degree of decentralization was achieved in 1948 when a branch of the Department of Education was established at Auckland.

Post-primary education, with the exception of that given in the district high schools, was not brought by the Act of 1877 within the province of the Education Boards. Several secondary schools had been established in various ways before 1877, and these continued under their own Boards of Governors, which were in no way related to the Education Boards. The Education Reserves Act 1877 set aside one-fourth of the educational reserves for secondary education, vesting the remainder in the Education Boards for primary-school purposes. Thus there was introduced into the colony that cleavage between elementary and secondary education that was characteristic of the English system. In the years immediately following the Act of 1877 a series of Acts set up a number of local High School Boards, each in control of its own land endowments. No effective provision was made for the inspection of these schools by any outside authority or for the co-ordination of their work with any other part of the school system.

Further secondary schools, and, from 1902 onwards, technical high schools, were from time to time established. Before 1901 fees had been charged even in district high schools. In that year free places were instituted in district high schools, and in 1902 secondary schools were offered special capitation grants if they would provide free places for deserving scholars. Under the Education Act of 1908 free places at the technical schools were granted on a more liberal basis, and by 1914 all State post-primary schools were obliged to give free places for two years at least to any pupil who had passed the Proficiency Examination. In 1936 the Proficiency Examination was abolished, and free post-primary education to the end of the year in which he reached nineteen years of age became available to every child who completes a primary-school course, or who attains fourteen years of age by 31 March of the first year in which he attends a post-primary school.

A direct effect of this movement towards free post-primary education was that the Department began to exercise an increasing degree of control over the schools. The Education Amendment Act 1920 authorized the establishment of New Zealand staffing and salary scales for post-primary schools, and instituted the system—already operative in the case of the Education Boards—of paying over to the schools the exact sum required for salaries plus a capitation grant for incidental expenses, less the amount received from local secondary-school endowments. This, in effect, nationalized these endowments, and spread more evenly the benefits resulting from the foresight of the early settlers. As from 1 April 1949 all revenue received by the schools was handed over to the Crown and the total cost of salaries and incidental expenses met from the Consolidated Fund. The endowment reserves themselves were vested in the Crown as from the beginning of 1950.

THE SCHOOL SYSTEM.—Perhaps the best method of sketching the outline of the school system as it now stands is to trace the career of a child as he passes through the system. He may at the age of three enter a free kindergarten under the control of the Free Kindergarten Association. At the age of five he may enter, and at seven he must enter, either a primary school under one of the ten Education Boards, or a registered private primary school, or, if living in an isolated area or physically handicapped, the primary department of the Department's Correspondence School. All state primary schools are co-educational. The child passes through the infant classes and Standards 1, 2, 3, and 4. This normally takes six years. The remaining two years of the primary course will be taken either in Forms I and II at the same primary school or, if there is one conveniently situated, at an intermediate school. The intermediate school is a comparatively recent development within the primary-school system, the first of these schools being established in 1922. It is a centrally situated school which pupils enter from the surrounding primary schools (called in these circumstances “contributing schools”) after they have completed the primary-school course as far as Standard 4. Because the intermediate school comprises a fairly large number of pupils (usually between 300 and 600) who are mainly between the ages of eleven and thirteen years it is possible to classify them into groups of approximately equal ability, provide a good range of optional courses, and utilize specialist teachers and advanced equipment to the full. As at this point in his school career the pupil's social and intellectual interests have developed, he is ready to take full advantage of the varied and enriched courses provided. Where the number of pupils in an area is not sufficient to justify the establishment of a separate intermediate school an intermediate department may be attached to the local post-primary school, and thus utilize the special facilities available at the senior school. In some intermediate schools a third-year course (Form III) is provided to give a rounded-off education to pupils who do not intend to proceed to a post-primary school.

On completing a course in Form II the child is granted a Primary School Certificate, on the receipt of which, or on reaching the age of fourteen by 31 March of the first year in which he attends a post-primary school, he becomes entitled to free post-primary education until the age of nineteen is reached. The Education Amendment Act 1920 made provision for the raising of the school-leaving age from fourteen to fifteen years, but this change was not brought into operation until February 1944, and all children are now required to attend school until the new leaving age is reached. This means, in effect, that some period of secondary education is now compulsory for nearly all children. The only provision for exemption is inability to profit from the further period of education.

When a country child leaves the primary stage he may have no alternative but to enter Form III of a district high school (which is really a secondary top to a primary school and is under the same control), or enrol in the Correspondence School. In more thickly populated areas there will be either a secondary school or a technical high school available. In some towns a secondary school and a technical high school have been amalgamated to form a combined school. To those not understanding the peculiar character of the New Zealand technical high school this may seem a strange union, but the differences between schools of the two types are, except in the larger centres, relatively slight. The difference was further obscured when after 1944 secondary schools catered increasingly not only for “academic" pupils, but for those pupils as well who specialized after two years' core work in the more practical subjects (technical, agricultural, domestic, commercial). A number of secondary departments of district high schools that had grown very large were made separate post-primary schools. The result of these developments was that post-primary schools are now all more or less multilateral.

The School Certificate Examination conducted by the Department of Education is now regarded as the accepted test of a completed post-primary education for the great bulk of the pupils who do not desire to proceed to University. The School Certificate Examination is taken at the end of the third or fourth year of the post-primary course. The subjects of the examination are English and such other subjects as are prescribed from time to time by the Minister of Education by notice in the Education Gazette. The School Certificate is awarded to pupils who pass the examination and, in other respects, have complied with the regulations governing the award of the certificate.

Provision is contained in the Education (Post-primary Instruction) Regulations 1954 for endorsement of School Certificates on satisfactory completion of an advanced course of instruction for one year. The regulations also provide for the award of Higher School Certificates. In general this certificate is awarded after a five years' course to pupils who have been awarded a School Certificate and satisfactorily complete an advanced course of two years; and to pupils who have been accredited for or have passed the University Entrance Examination and satisfactorily complete an advanced course of one year.

The technical schools, combined schools, and a few of the secondary schools run evening classes, particularly in practical and vocational subjects, which an adolescent may attend after he leaves full-time day school. Apprentices in some trades are required to attend evening classes as a part of their trade training. In 1948 approval was given to the establishment of day classes for apprentices. Classes in motor engineering, plumbing, and baking were commenced in 1949. In some of the larger technical schools part-time students may take professional courses in engineering, architecture, accountancy, pharmacy, etc.

Prior to 1944 all pupils desiring to undertake a University course were required to sit and pass the University Entrance Examination conducted by the University of New Zealand. In 1944 a system of partial accrediting came into operation. Under this system pupils attending certain approved schools may be accredited for matriculation purposes provided they have completed a four years' post-primary-school course. The University Entrance Examination is still conducted by the University of New Zealand, and pupils not accredited for entrance to University may qualify in this manner. The standard of the present entrance examination is somewhat higher than that maintained prior to the introduction of the accrediting system.

Pupils who have been accredited for, or who have passed the University Entrance Examination, may, without further post-primary education, receive tuition fees for a period of four years at a University college.

The University of New Zealand, whose controlling body is the University Senate, is constituted of the University colleges of Auckland, Wellington, and Canterbury, and the University of Otago (which does not itself grant degrees). Massey and Canterbury Agricultural Colleges, associated with the University of New Zealand, are open to students specializing in agricultural studies.

The five teachers' training colleges, although they work in conjunction with the four University colleges, are organically related to them only through their Boards of Studies. The Education Boards in the four main centres are the controlling authorities of the training colleges.

The State system also caters for the needs of certain special groups of children. Maori children may attend the public schools, but there are also public Maori village schools provided for their primary education. There are also a few private mission schools remaining from the pre-Maori War system established with the help of Government subsidies. For his post-primary education the Maori child may go free to any available public post-primary school or Maori district high school. If he lives in a remote area he may gain a Maori scholarship awarded by the Department of Education which will enable him to attend a denominational Maori secondary school. These are boarding schools of which five are for boys and five for girls. Some of them are partly financed out of public endowments originally provided for the purpose of Maori education.

As mentioned earlier, children living in isolated areas or prevented in other ways from attending school may be enrolled in the Correspondence School for both primary and post-primary work.

For children with various types of handicap there are provided special schools and classes. The mentally backward are grouped in special classes, and a portion is enrolled in two residential special schools. For children who are extremely backward mentally there are special centres (occupation centres) in five main cities, and a number of voluntary groups (occupational groups) which are given financial assistance by the Department have been formed in several smaller towns. Two residential schools cater for the needs of the deaf and those near-deaf children who cannot profit from teaching in an ordinary primary school. In one city there is a class for partially deaf children attached to an ordinary school. Children with speech defects attend regularly one of the speech clinics. Four separate classes have been established for children with very poor eyesight (sight-saving classes), and blind children are catered for in a school for the blind attached to the Institute for the Blind, Auckland. Six schools have been organized as separate units for cerebral-palsied children. Where a sufficient number of children in hospital justifies it, teachers are made available to conduct hospital classes which are attached to a local school. Children who are admitted to one or other of the seven health camps for a period of six to ten weeks attend the school associated with each health camp. Finally, there are special schools and homes to take care of children with the most serious and deep-seated problems of maladjustment or delinquency. These last-named institutions, the schools for the deaf, and the two special schools for the mentally backward, are being administered for the Department by the Child Welfare Division, which, in educational matters, is under the control of the Minister of Education. All other special classes and centres are controlled by the Education Boards. The Boards also employ Visiting Teachers whose task it is to help problem children by acting as a link between the school, the home, and the community. The Department of Education has a small psychological division which includes five psychologists, three assistant psychologists, all of whom are available for psychological examining and educational testing of children with special problems, and five area organizers of special classes.

In addition to the various State schools described, a parent may send his child to a private school, either primary or secondary, conducted by either religious bodies or private individuals. No Government free place is tenable at these schools,* but a Secondary School Bursary (referred to on page 164) may be tenable at a private school, while assistance for transport by rail and road and a boarding allowance under certain conditions may also be given to pupils attending private schools, whether primary or post-primary. All private schools must be registered, and are subject to an annual inspection by the Department's Inspectors. The majority of the private schools are conducted by the Roman Catholic Church. Amongst the private schools are two endowed secondary schools modelled after the English public school.

* Except for Maori “Government pupils” in the denominational secondary schools.

To complete the above sketch it should be added that co-education exists in all stages of the system. At the primary stage, public, intermediate, and Maori schools and some private schools teach boys and girls together. At the teachers' training colleges and the University colleges, students of both sexes attend together. At the post-primary level all district high schools and technical colleges have both boys and girls on their rolls, whilst just over two-thirds of the secondary and combined schools and all private secondary schools are single-sex schools. A comparison of the total enrolment at all post-primary schools (State as well as private) in 1953 with that twenty years earlier shows that the ratio of single-sex to co-educational schools has changed from 51 to 49 in 1933 to 46 to 54 in 1953, whilst during that period the total number of pupils has more than doubled.

SCHOLARS AND STUDENTS.—The number of scholars and students receiving instruction in the educational institutions of New Zealand is shown in the following summary. The table refers to roll numbers as at the end of the year (except in the case of technical classes, which are as at 1 July).

Class of Institution19491950195119521953

* Pupils on roll at end of year.

† There were also 1,179 students taking part-time courses.

‡ Part-time students, excluding 1,757 part-time students (1,420 in 1952) enrolled with the Technical Correspondence School.

§ Includes 636 students taking short courses at the agricultural colleges in 1953.

Preschool Education*     
Kindergartens3,8944,3984,9065,2715,616
Primary Education     
Public (State) schools241,742254,266267,273284,784300,508
Intermediate schools and departments     
Maori village schools13,28813,42613,66314,07614,345
Maori mission schools805826822790781
Registered private primary schools34,15535,92237,69039,65442,018
Lower departments of secondary schools187172160150141
Correspondence classes (primary)1,7491,6731,6731,5961,645
Chatham Islands schools1099510810699
    Totals, primary292,035306,380321,389341,156359,537
Post-primary Education     
Secondary schools18,40019,35220,34121,87223,924
Combined schools3,5103,4723,5793,8134,090
Secondary departments of district high schools7,3206,9927,1957,9468,709
Technical high schools12,50413,85914,87116,17918,136
Maori secondary (boarding) schools777813863871834
Registered private and endowed secondary schools9,1129,3419,79110,41311,303
Correspondence classes (secondary)533494457435482
    Totals, post-primary52,15654,32357,09761,52967,478
Technical Classes (excluding Technical High Schools and Technical Day Schools)     
Conducted by Education, Secondary School, or High School Boards8,1208,4678,5389,69012,090
Conducted by Technical School Boards12,84412,70814,31216,65918,547
Conducted by University colleges262........
    Totals, technical21,22621,17522,85026,34930,637
Higher Education     
University colleges9,6829,8099,4669,3239,441
Canterbury and Massey Agricultural Colleges1,0761,0141,2181,0421,106§
Students exempt from lectures1,3621,1821,007940920
Teachers' training colleges2,3212,6842,7042,7102,769
    Totals, higher14,44114,68914,39514,01514,236
    Totals, scholars and students383,752400,965420,637448,320477,504

The preceding table of enrolments shows that there have been steady increases of between 17,000 and 29,000 pupils and students in each of the last five years. These figures illustrate for this short period of five years what a significant expansion is taking place in the whole educational system. Between 1930 and 1944 primary-school rolls had remained almost stationary year after year, but they increased in 1945 by 5,000, in 1946 by 6,000, and in the following seven years (1946 to 1953) by a total of 95,000. These enrolment increases were so marked that the Department and Education Boards began several years ago to pay urgent attention to the population changes that caused the expansion, which in turn was calling for proportionate increases in the supply of teachers and in the provision of classrooms, of teaching equipment, and other facilities such as transport. Even a short account of this expansion must stress the relevant change in the age composition of the population, and then illustrate its impact at the various levels of the school system.

The expansion was in the first instance due to the increase in the yearly number of births. This rose from some 28,000 in 1936 to almost 50,000 in 1947, remained nearly at that level from 1948 to 1951, and rose to nearly 52,000 in 1953.

A comparison between the Census years of 1936 and 1951 shows that in 1936 all children of age 0 to under 15 years represented 26.5 per cent of the total population, but fifteen years later, in 1951, the proportion was 29.7 per cent, whilst the total population had increased to 1,940,000, or by just over 23 per cent; the 23 per cent increase of total population compares with an increase of the child population alone of 38 per cent. The change in the age groups of school age is shown in more detail in the following table.

Age Group, in Years19361951IncreaseDecrease
NumberPer CentNumberPer Cent
5 and under 10140,990183,80042,81030....
10 and under 14115,670127,40011,73010....
14 and under 18113,430105,800....7,6307
    Totals, 5 and under 18370,090417,00046,91013....

A special feature has been the increase during the same period in the Maori juvenile population. The increase in the Maori birth rate had begun earlier and coincided with a marked reduction in the Maori infant death rate. The corresponding figures for the Maori population are as follows.

Age Group, in Years19361951Increase
NumberPer Cent
5 and under 1012,60516,0003,39527
10 and under 148,38012,2003,82045
14 and under 186,64010,6003,96060
    Totals, 5 and under 1827,62538,80011,17540

The school enrolment increases were first felt in the primer classes (4,000 in 1944–45, 6,500 in 1945–46, 6,300 in 1946–47), then in the lower standards. They gradually spread to the upper primary classes, and are now reaching the post-primary schools. The increase in the total number of children enrolled between 1945 and 1951 was 37 per cent in Standard 2, 31 per cent in Standard 3, but only 13 per cent in Form II.

It has been estimated that rolls will continue to expand until at least the early 1960's, when the total school population will have increased by some 220,000 over and above the 1936 enrolment of approximately 280,000 full-time pupils at all public and private schools.

Concurrently with the recent rise in roll numbers due to the increasing child population, a further expansion of the education system took place at the post-primary level. The number of post-primary school pupils declined for a time during the earlier war years, but increased by 3,000 in 1943, and a further 6,000 in 1944. These increases were due to the raising of the school-leaving age to 15 years, a measure which took effect at a moment when three-quarters of those in the age group 14 to 15 were attending school. The proportion had gradually increased to that figure in the preceding eight years. The proportion of primary' school children entering upon a post-primary course has undergone considerable changes. While it was approximately 10 per cent at the beginning of the century, it had risen to 45 per cent at the end of the First World War and to 65 per cent before the Second World War. By 1953 the figure was 93 per cent. At the same time as the more recent increase from 65 to 93 per cent of the number of primary school children proceeding to post-primary schools took place, the average length of time spent at post-primary schools showed an increase. In 1936, approximately one-quarter of all pupils entering post-primary schools reached either Form V (Upper) or Form VI (Lower), the normal goal of a four-year course; by 1953 this figure had increased to approximately one-third of all entrants.

The changes in enrolment due to the varying size of the age groups of school age and to the extended schooling were accompanied by changes in the yearly number of school leavers entering occupations. The following table shows a decline in the total number of school leavers to a low point in 1948, some recovery in the following year, approximately stable numbers in the following three years, and a definite increase in 1953. At the same time the proportion of school leavers entering upon their working life direct from a primary or intermediate school, without any full-time attendance at a post-primary school, has markedly declined. The following figures refer to pupils leaving public primary and intermediate schools who did not enter post-primary schools, and to post-primary school leavers who did not enter University, but exclude pupils from Maori schools and private schools.

 Number LeavingPercentage From Primary Schools
193622,99442
194121,01436
194618,90216
194818,08015
194919,33713
195019,58612
195119,96411
195219,94710
195321,2668

The development since 1930 of the total enrolment at all public and private primary and postprimary schools (full-time pupils) is illustrated by the diagram below, which gives for the years 1955 to 1960 estimated rolls based on the probable increases in the school age population.

The number of part-time students attending day or evening classes also shows a steady increase in recent years. The total increase between 1947 and 1953 was 12,513, or 58 per cent. An important factor in this increase is the development of apprentice training. The attendance at day classes for apprentices more than doubled in the last three years (1950, 1,492; 1953, 4,099), and the availability of training has been extended to several further trades. As the major trades (except printing) in which there are apprentices are now covered by day or evening classes, it is to be expected that developments will be in the nature of consolidation rather than of extension.

The enrolment at University colleges which reached a total of 11,467 in 1953 has nearly doubled since 1939. The enrolment figures in the immediate post-war years were still higher, as they included a number of ex-servicemen students. From about 1956 onwards the age groups born after the depression years will reach the institutions of higher education, and these will from then on have to be ready to accommodate increasing numbers of students. The intake at the five teachers' training colleges was increased from 1948, when the fifth college was opened and the number of students admitted raised to 1,050, in order to meet the expected higher demand for certificated teachers. The total rolls at the training colleges were 1,875 in 1948, 2,321 in 1949, 2,684 in 1950, 2,704 in 1951, 2,710 in 1952, and 2,769 in 1953.

ANNUAL EXAMINATIONS.—The number of candidates who actually presented themselves for the various examinations conducted by the Department of Education and also by the Trades Certification Board during the last five years is given below.

Examination19491950195119521953
Teachers' Certificate257279308256224
School Certificate9,3529,4799,76310,46812,008
Special Bursaries260296337350339
London University65667
Handicraft Teachers' Certificate3728404548
Homecraft Teachers' Certificate6732414957
Technological22416711711287
City and Guilds of London6884124118137
Samoan Public Service......4375
Engineers' and Surveyors' Assistants......2657
    Totals10,27110,37010,73611,47313,039
Trades Certification1,3501,9782,5183,2343,989

The University of New Zealand conducted examinations in 1953 in the faculties of arts, science, medicine, dentistry, home science, law, engineering, commerce, agriculture, music, architecture, and divinity; for diplomas in journalism, in banking, and in fine arts; and for admission to the legal and accountancy professions. There were 11,668 entrants for the degree and professional examinations in 1953, compared with 11,416 in 1952 and 12,027 in 1951.

The number of entries for the University Entrance Examination in 1943 was 5,152, but the introduction of the accrediting system in 1944 saw the number in that year reduced to 543. Comparative figures for the last five years are given in the following table.

CandidatesAccreditedBy Examination
19491,9541,874
19501,9871,766
19512,0051,777
19522,0551,944
19532,1781,889

PUBLIC EXPENDITURE ON EDUCATION.—The following table shows the expenditure (after recoveries have been deducted) from public funds on each branch or service of education for the three years ended 31 March 1954.

Expenditure Year Ended 31 March
195219531954
Expenditure from vote, Education—£££
  General1,624,5691,765,9301,844,888
  Buildings, land, furniture, and equipment2,011,1662,930,2024,095,398
  Primary education6,166,8666,720,5147,437,021
  Post-primary education2,645,2072,991,8393,366,193
  Higher education1,168,0061,266,1671,371,724
  Training of teachers950,1491,002,6371,115,531
  Maori schools347,662370,339402,191
  Education of the blind30,26944,30450,154
  Special schools106,754126,255134,149
  Child welfare412,063420,395430,231
  Miscellaneous grants149,863162,167218,500
  National Library Service154,465149,024152,221
    Totals, vote Education15,767,03917,949,77320,618,201
Expenditure from other sources—   
  Vote, Education Buildings1,885,0333,388,3503,428,556
  Revenue from reserves vested in post-primary schools — period, 1 April 1949 to 31 December 19493,510 Cr.....
    Grand totals17,648,56221,338,12324,046,757

The foregoing figures do not include revenue received by University colleges from endowments, fees, etc., which are available for educational purposes. By the Land Act 1948 all education reserves were declared Crown land, and the revenues received as from 1 April 1949 were paid into the Land Settlement Account. The reserves vested in post-primary schools were also declared by the Education Lands Act 1949 to be Crown land subject to the Land Act 1948.

The following figures show the cost of education during the period 1943–44 to 1953–54.

Year Ended 31 MarchExpenditure from Public FundsExpenditure Per Head of Mean Population
 ££s.d.
19445,221,389339
19456,216,9473148
19467,853,04941110
19478,711,6374185
19489,950,8185101
194911,023,0165197
195013,744,960761
195115,030,2017169
195217,648,562903
195321,338,12310124
195424,046,75711133

Education Buildings.—The increases in school population have led to an expansion of the school-building programme. The following numbers of classrooms were completed in recent years:

 PrimaryPost-primary
194933663
1950517115
1951476141
1952589198
1953662234

Pre-school Education.—Children below the age of five are not enrolled in the State primary schools. They may be enrolled, however, at free kindergartens controlled by local Free Kindergarten Associations which are voluntary bodies formed for the purpose. In 1947 a Supervisor of Pre-school Services was appointed to the Department of Education. Since 1942 the Government has made grants available to kindergarten students in training: in 1948 the Department undertook the payment of the salaries of kindergarten teachers and of full-time staff in training centres, and the system of payment of capitation grants to local Associations was discontinued. Subsidies on voluntary contributions raised for the purchase of land, erection of buildings, and purchase of initial equipment are paid by the Department. The number of trainees in 1953 was 148.

At the end of 1953 there were 9,752 children on the rolls of 145 free kindergartens (5,616 being enrolled for morning sessions and 4,136 for those held in the afternoon). In 1952 the corresponding figures were 8,859 and 137 respectively. As yet the system is far from universal, although, besides those enumerated, there were at the end of 1953, 87 nursery play centres catering for 3,153 children and a considerable number of private kindergartens the total enrolment of which is unknown.

Nursery play centres which meet a required standard in equipment receive a small subsidy from the Government.

PRIMARY SCHOOLS.—The primary-school system at the end of 1953 consisted of 1,899 public schools (including district high schools and intermediate schools or departments), 164 Maori village schools, 310 registered private primary schools (which included 10 Maori mission schools), and 4 lower departments of secondary schools. There were also 145 free kindergarten schools.

Lower departments of secondary schools may be run for pupils who have not passed Form II, provided that no part of the cost of instruction or of the maintenance of the department is met from public moneys. At the end of 1953 the total number of pupils in the four departments mentioned in the preceding paragraph was 141 with 5 teachers.

The curriculum of the primary school, as set out in the syllabus of instruction, includes English, arithmetic, geography and history, arts and crafts (including needlework), nature study and elementary science, physical education (including swimming), moral instruction and health, and music. Teachers are advised on the teaching of nature study, physical education, and arts and crafts by itinerant specialists. At the Forms I and II levels woodwork and metalwork instruction is given to boys at manual-training centres, and girls are taught domestic subjects, including cookery and hygiene.

The syllabus as a whole has been revised in recent years. Textbooks in English and arithmetic are issued free to pupils in all schools, both State and private. A series of basic primer readers and a considerable amount of equipment for primer classes are also provided by the Government.

Public (State) Schools.—The figures tabulated below refer to pupils in public schools—i.e., all pupils in primary schools and intermediate schools and departments. Pupils in the secondary-departments of district high schools are not included.

YearNumber of Schools (Including Intermediate Schools and Departments)Pupils at End of YearMean of Average Weekly RollAverage Attendance, Whole YearAverage Attendance as Percentage of Weekly Roll
19491,905241,742231,913207,19989.3
19501,908254,266246,869224,27790.8
19511,885267,273255,268231,61690.7
19521,889284,784270,835244,48090.3
19531,899300,508287,210262,62291.4

While the number of schools has declined, mainly owing to the consolidation of small rural schools, the total rolls have increased by 58,000 since 1949. The changes which have taken place in the size of schools may be seen from the following table.

Number of Public Schools19431953Increase (+) or Decrease (—)
Roll 70 and under1,4881,057—431
Roll 71 to 350451534+ 83
Roll 351 and over176308+ 132
    Totals2,1151,899−216

In each of the education districts are located Inspectors of Primary Schools who form part of the staff of the Department of Education. The total number of Primary-school Inspectors at 31 March 1954 was 57, allocated as follows: Auckland, 12; South Auckland, 7; Hawke's Bay, 4; Taranaki, 3; Wanganui, 4; Wellington, 8; Nelson, 2; Canterbury, 9; Otago, 5; Southland, 3. These figures exclude two Chief Inspectors and six Inspectors in the Head Office of the Department.

The following table relates to pupils on the rolls of the public primary schools and Forms I and II only of intermediate schools at 1 July in each of the years shown.

Age, in Years1951: Total Pupils1952: Total Pupils1953Percentage of Total Pupils
BoysGirlsTotal Pupils195119521953
5 and under 632,04538,36220,16719,13839,30512.714.313.8
6 and under 732,12534,35320,97020,05841,02812.812.814.4
7 and under 830,65132,63817,70716,68534,39212.212.112.1
8 and under 926,73130,88316,74015,77132,51110.611.511.4
9 and under 1030,38826,65515,99914,86030,85912.19.910.9
10 and under 1130,52130,75214,02913,22027,24912.111.49.6
11 and under 1227,52030,44615,57114,97430,54510.911.310.8
12 and under 1323,19026,29315,20213,95529,1579.29.810.3
13 and under 1412,82012,7978,1016,03714,1385.14.85.0
14 and under 154,7414,7452,5881,7424,3301.91.81.5
15 and under 166836113802105900.30.20.2
16 and over131935137880.10.1..
    Totals251,546268,628147,505136,687284,192100.0100.0100.0

In 1953 a total of 21,369 pupils (10,849 boys and 10,520 girls) left public primary schools, as compared with 19,870 (10,068 boys and 9,802 girls) in 1952. Of those leaving in 1953, 20,077, or 940 per cent, had gained the Primary School Certificate. The effect of the raising of the school leaving age in 1944 is reflected in the numbers who proceeded to full-time post-primary schooling. Of those leaving in 1953, 93.4 per cent (boys, 92.4 per cent, girls, 94.5 per cent) went on to post-primary schools, as compared with 76 per cent (boys, 74 per cent, girls, 78 per cent) in 1943. Of the pupils who left intermediate schools and departments in 1953, 95 per cent went on to post-primary schools.

The next table gives the number of public primary schools in each education district as at 30 November 1953, classified according to roll numbers. The number of intermediate schools and departments is also shown.

Roll NumbersEducation District
AucklandSouth AucklandTaranakiWanganuiHawke's BayWellingtonNelsonCanterburyOtagoSouthlandTotals
1–8..1..135413119
9–2438441950484816783335409
25–301010111515106211314125
31–7079894134333523844343504
71–1103544131811186291811203
111–150192271010122131011116
151–19014176584364471
191–23010104537326454
231–270542145254234
271–310422219152129
311–350511424351127
351–390811249264..37
391–430841..74144336
431–470511226165130
471–510523121..63..23
511–55036..215..43..24
551–590563..26141129
591–63092..3..112....18
631–6705....2..3..81221
671–710612....2..1..113
711–75044..221........13
751–79046......3..2....15
791–8303............2....5
831–8701..................1
871–910......1............1
911–950..........1........1
951–990..1................1
991..........1........1
Intermediate schools and departments126..224124134
Normal schools2........1..11..5
    Totals299284117162160205762971631361,899

Primary Schools for Maoris.—Over 60 per cent of the Maori children in New Zealand are educated in the public schools. At the end of 1953 there were 20,202 attending public schools out of a total of 33,302 Maori children receiving primary education in State schools.

The language of instruction in the Maori schools is English, but the schools are not completely English in outlook, for Maori arts and crafts, song, legend, and history are taught.

Methods of teaching are practical, and objectives closely related to the special needs of the Maori people. In many of the Maori schools, such equipment as woodwork rooms, cookery rooms, model cottages, baths, hot and cold showers, and laundries is supplied. Elementary agriculture and health education feature in every Maori school.

The number of pupils on the rolls of the 164 Maori village schools at the end of 1953 was 14,345 (including 1,745 European children), while the total roll number of the ten Maori mission schools was 781.

The following table gives the principal statistics of Maori village schools during the last five years.

YearNumber of Schools at End of YearRoll at 1 JulyAverage Attendance, Whole YearAverage Attendance as Percentage of Weekly RollNumber of Teachers*
MaoriEuropeanMalesFemales

* Includes Junior Assistants (13 males and 75 females in 1953).

194916011,9511,08911,48887.1214306
195015911,9051,06411,64387.8220320
195115911,8581,12611,43988.0227311
195216212,1951,15211,56084.8236310
195316412,0161,52011,52388.4232288

Five Inspectors of Schools attached to the Department of Education are engaged in the inspection of Maori schools, mission schools, and secondary schools for Maoris.

Intermediate Schools.—Pupils on the rolls of the twenty intermediate schools and fourteen intermediate departments at the end of 1953 numbered 15,011. The progress that is being made with the establishment of this type of school may be gauged from the fact that eleven years earlier (1942) the number of pupils was 6,817. Of all children in Forms I and II of public (primary and intermediate) schools at the end of 1953, 25.2 per cent were enrolled at the intermediate schools. The average attendance during the year was 14,144. The ages of pupils on the roll at 1 July of each of the last three years were as follows.

Age, in Years195119521953
BoysGirlsTotalBoysGirlsTotalBoysGirlsTotal
Under 1193131224721352077991170
11 and under 121,7511,8303,5811,9262,1144,0401,8422,1243,966
12 and under 132,5132,5955,1082,9022,6395,5413,4513,2376,688
13 and under 141,5991,1942,7931,5611,2282,7891,8371,3413,178
14 and under 156404631,1036073991,0066374141,051
15 and under 1610035135996015910765172
16 and over247313133418624
    Totals6,7206,25512,9757,1986,57813,7767,9717,27815,249

Private Schools.—No private school may be established unless application is first made to the Department of Education for registration. Certain standards of efficiency and suitability of staff, premises, equipment, and curriculum have to be fulfilled.

The following table contains the principal statistics of private primary schools for each of the last five years. The figures include Maori mission schools which are also shown separately in the summary table on page 152.

YearNumber of SchoolsRoll at End of YearAverage Yearly AttendanceTeachers
BoysGirlsTotalMalesFemalesTotal
194930617,01717,94334,96030,9691509061,056
195031017,88918,85936,74832,6071619221,083
195130818,82819,68438,51234,2351679311,098
195230619,75220,69240,44435,6741699451,114
195331020,82321,97642,79938,0451699681,137

The majority of the schools included in the preceding table are Roman Catholic Church schools, of which there were 244 at the end of 1953 with 36,355 pupils (17,975 boys and 18,380 girls) and 879 teachers (83 males and 796 females). The average attendance was 32,061. The remaining private schools comprised 51 church schools of other denominations with 206 teachers and 5,389 pupils, and 15 undenominational schools with 52 teachers and 1,055 pupils.

POST-PRIMARY SCHOOLS.—One of the most striking features in the development of New Zealand education—i.e., the marked increase in the proportion of pupils who proceed to some form of post-primary education at the conclusion of the primary course—has already been mentioned (page 154). The raising of the school leaving age to fifteen years from 1944, which had been foreshadowed over twenty years earlier in the Education Amendment Act 1920, stimulated the movement towards secondary education for all. This movement began in 1901 when free places were introduced in district high schools. In 1903 it became obligatory on all State post-primary schools to provide some free places, and from 1914 every child who had passed the Proficiency Examination was entitled to free education for at least two years in any State post-primary school. In 1936 the Proficiency Examination was abolished, and every child gaining a Primary School Certificate or attaining the age of fourteen years became entitled to free post-primary education until the year in which he reached the age of nineteen years; extension beyond the age of nineteen is allowable in special cases approved by the Minister of Education. In 1945, when it became clear that secondary education for all was no longer a programme but had become a reality, the postprimary syllabus was revised. The whole course was based on a common core, consisting of English, social studies, general science, elementary mathematics, music, arts and crafts, and physical education, to be followed by a degree of specialization within a wide range of subjects that may be taken to the School Certificate stage. All types of post-primary schools are required by regulations made in 1945 (consolidated and amended in 1954) to give to all pupils during the first two years of post-primary course a minimum number of units of instruction in the common core subjects.

Post-primary schools are either public (State) or private. The following table shows the number and types of post-primary schools in existence during each of the last five years.

YearState Secondary SchoolsCombined SchoolsSecondary Departments of District High SchoolsTechnical High SchoolsMaori Secondary Schools*Endowed and Private Secondary SchoolsTotals

* In addition there was one farm training school classed as a Maori secondary school.

1949407111281073269
1950407110291073269
1951407110301074271
1952407112301079278
1953427109331084285

A combined school is an amalgamation of a secondary and a technical school under a single governing body. District high schools are public primary schools with a secondary “top" and the basic course is academic, as in the normal secondary school. Where staffing and equipment allow, special courses are provided in agriculture, commercial work, and domestic science. Technical schools are described later in this Section.

Until 1904 secondary schools were established by special (local) Acts of the General Assembly, and the majority of schools giving post-primary education have been established in this manner. At the present time the provisions of the 1914 Education Act allow the Minister of Education to establish such schools. State secondary schools and combined schools are controlled by Boards of Governors, and district high schools by the Education Boards.

The inspection of State post-primary schools is carried out by Inspectors of Post-primary Schools attached to the Department of Education. Commencing in 1947, these Inspectors took over the inspection of secondary departments of district high schools which were previously inspected by Primary-school Inspectors. There were (in 1954) 29 Inspectors and one Chief Inspector of Post-primary Schools.

The number of pupils at the end of each of the last five years is shown in the following table. No account is taken of lower departments of secondary schools, and in the case of district high schools only the secondary departments are included.

YearState Secondary SchoolsCombined SchoolsDistrict High SchoolsTechnical High SchoolsMaori Secondary SchoolsEndowed and Private Secondary SchoolsCorrespondence SchoolTotal
194918,4003,5107,32012,5047779,11253352,156
195019,3523,4726,99213,8598139,34149454,323
195120,3413,5797,19514,8718639,79145757,097
195221,8723,8137,94616,17987110,41343561,529
195323,9244,0908,70918,13683411,30348267,478

In addition to the foregoing, there were, in July 1953, 30,637 part-time students attending technical classes, 1,846 students receiving part-time tuition from the Correspondence School, and 1,757 students receiving part-time instruction from the Technical Correspondence School.

The numbers of each sex attending post-primary schools at the end of 1953 were: State secondary schools, 11,842 boys and 12,082 girls; combined schools, 2,298 and 1,792; secondary departments of district high schools, 4,026 and 4,683; technical schools, 10,096 and 8,040; endowed and registered private secondary schools, 5190 and 6113; Maori secondary schools, 430 and 404; and full-time at correspondence school, 190 and 292.

Technical Schools.—The technical schools fall roughly into two types: (a) those in the small centres, which provide for all the post-primary needs and are distinguishable from secondary schools only by having in general a rather more strongly developed practical side; and (b) the large technical schools in the main centres, in which there is less evidence of the generalized academic curriculum, since this is adequately provided by the city secondary schools.

However, even in the latter type most of the courses in the day schools are still designedly pre-vocational and not genuinely “technical" in character. Technical schools are normally controlled either by a Board of Managers or by the Education Board of the district acting in a similar capacity.

There were thirty-three technical schools in 1953. The following table shows the number of pupils taking the different courses available (as at 1 July in each of the last five years).

Course19491950195119521953
Industrial4,9865,2755,5935,6836,298
Commercial and general5,3456,1907,0587,7319,136
Domestic2,6712,8622,9032,9363,096
Agricultural9631,1151,0301,0751,364
Fine arts320124182229212
    Totals14,28515,56616,76617,65420,106

Technical Classes.—The number of centres at which technical classes for part-time day and evening students are provided was 157 in 1953.

The number of individual students including apprentices attending day classes in 1953 was—

  • Classes conducted by Education or High School Boards 12,090

  • Classes conducted by Technical School Boards or by Managers 18,547

Of the total of 30,637 students, 22,635 (12,571 males and 10,064 females) held free places.

The above figures do not include 3,603 part-time students at 1 July on the rolls of the Correspondence and Technical Correspondence Schools.

Technical Correspondence School.—In July 1946 the Department took over the responsibility for the study courses previously conducted by the Army Educational and Welfare Service. A Technical Correspondence School was established in Wellington to develop these courses for men in the Armed Services, and also to provide correspondence instruction in vocational and technical subjects for apprentices and advanced students unable to attend technical schools or classes.

The number of students on the roll at 1 July 1953 was 1,757. There were 27 full-time teachers besides the Principal on the staff at the end of the year 1953.

Probable Destination of Post-primary Pupils.—An indication of the vocations intended to be followed by pupils leaving public post-primary schools during 1953 is contained in the next table. Of the totals, 5.4 per cent of boys and 21 per cent of girls intended to proceed to full-time University studies, while a further 1.9 per cent of boys and 6.2 per cent of girls stated their intention of entering the teaching profession. Clerical occupations (including typing) claimed 11.5 per cent of boys and 310 per cent of girls; shops and warehouses, 7.7 per cent and 15.8 per cent; manual trades, 30.7 per cent and 1.4 per cent; farming, 23.2 per cent and 10 per cent; 0.3 per cent and 16.6 per cent intended to stay at home; various other occupations claimed 13.3 per cent and 21.2 per cent; while 60 per cent and 4.7 per cent of boys and girls respectively did not know their future vocations at the time.

OccupationSecondary SchoolsCombined SchoolsTechnical High and Day SchoolsDistrict High SchoolsTotals
BoysGirlsBoysGirlsBoysGirlsBoysGirlsBoysGirls
University college386145592610228115558204
Teacher or teacher training college1123571241511282188196614
Professional cadetships781219..671721318532
Health services373564646207213549762
Office work—          
(a) Government or local body183302317314319685137442708
(b) Industry and commerce4441,02786154169929552427542,352
Shop and warehouse assistants26251165883436391333268031,564
Skilled trades—          
(a) Government or local body121611..234554842019
(b) With private employers6856918671,57320329182,773114
Farming (including those engaged at their own homes)58744187695628683172,41395
Clothing workers31491154282..668512
Factory operatives4146271311724354217279
Domestic work and at home8406..1111855910562361,638
Armed forces (not included elsewhere)731191841951122722
Other occupations238223512625719215746703487
Not known2072023I3382047159619466
    Totals3,4653,8367366204,4763,6251,7261,76710,4039,868

Duration of Stay at Post-primary School.—The following table gives particulars of pupils who left public post-primary schools in 1953, classified according to years of attendance. The approximate average length of stay at the various types of school was: secondary schools, 3 years 2 months; combined schools, 3 years; technical high and day schools, 2 years 5 months; secondary departments of district high schools, 2 years 4 months; all post-primary schools, 2 years 8 months.

Year of AttendanceSecondary SchoolsCombined SchoolsTechnical High and Day SchoolsDistrict High SchoolsAll Schools
NumberPer CentNumberPer CentNumberPer CentNumberPer CentNumberPer Cent
First5056.914911.01,28915.972520.82,66813.2
Second1,97226.945433.53,53143.61,40940.37,36636.4
Third2,07728.430822.72,13526.389725.75,41726.7
Fourth1,65022.525518.882410.237710.83,10615.3
Fifth93412.816612.22903.6752.11,4657.2
Sixth and over1832.5241.8320.4100.32491.2
    Totals7,321100.01,356100.08,101100.03,493100.020,271100.0

It has been mentioned earlier that, except in special circumstances, children are not permitted to leave school until they reach the age of fifteen years, and it would appear that many pupils entering post-primary schools remain there only as long as they are required to, as no less than 50 per cent do not proceed beyond the second year of attendance.

Secondary Schools for Maoris.—At the end of 1953, 786 Maori pupils were receiving post-primary education at the 11 Maori secondary schools, 240 of the total being Government scholarship holders. In addition, there were 45 scholarship holders enrolled in public post-primary schools.

A further step forward in the provision of post-primary education for Maoris was the approval of the establishment of Maori district high schools. These schools, unlike the private denominational schools, are controlled by the Department of Education; they provide courses of a practical nature specially suited to the needs of the Maori pupils. There were 9 such schools at the end of 1953.

Secondary School Bursaries.—Under regulations made in 1943, bursaries, of a maximum annual value of £40 and tenable for a period of up to two years, may be granted to pupils obliged to live away from home in order to take a Sixth Form course at a post-primary school (public or private) which is approved for accrediting purposes. In order to qualify, applicants must be under eighteen years of age and must have passed either the School Certificate or the University Entrance Examinations or have been accredited for the latter.

Technical School Bursaries.—Bursaries of a maximum value of £40 may be awarded to pupils who have completed at any post-primary school a two years' course preparatory to a specialized course in agriculture, fine arts, engineering, building construction, commerce, or home science which can be completed only at some technical school. The bursaries are tenable at post-primary schools approved for that purpose and may be held for a maximum of two years. Applicants must be under the age of seventeen years at the commencement of the specialized course and must be obliged to live away from home in order to receive satisfactory instruction in the courses to be followed.

VOCATIONAL GUIDANCE.—Since 1938 full responsibility for the work of vocational guidance of pupils at post-primary schools, which for some years had been carried on almost entirely by voluntary organizations, has been taken by the Government. Vocational guidance officers were appointed in each of the four chief centres; and educational guidance officers, known as “careers advisers,” were also selected at certain large post-primary schools to work in conjunction with the district vocational guidance officers. So far as the work of finding positions for children leaving school was concerned, the vocational guidance officers acted in collaboration during the war with the Man-power Officers of the National Service Department, and in each of the four main cities a “Youth Centre” was established where the work of guidance and placement was undertaken jointly by officers of the Education and National Service Departments.

The Department of Education assumed the full control of the youth centres in 1943, and the staffs of the centres (now called Vocational Guidance Centres) have been greatly strengthened and their activities expanded. Offices have been opened in the four main centres and in Lower Hutt. At Invercargill there is a part-time centre. The Vocational Guidance Officers are, however, in close contact with the post-primary schools in other centres. The Vocational Guidance Officers, acting in conjunction with headmasters and special careers teachers in the schools, offer their services at any point in the child's career where a choice has to be made, whether of school course or of vocation. When a child has made his choice of career the Vocational Guidance Officer will if requested find suitable employment for him and endeavour to follow up his progress until he is finally and satisfactorily settled in his line of work. Working in conjunction with the Education Committee of the Rehabilitation Board, the Vocational Guidance Officers at the conclusion of the last war assisted in the rehabilitation of returned servicemen, particularly in the selection of suitable courses of study. This particular work has declined in recent years.

The centres are in frequent touch with a number of voluntary agencies such as “Heritage,” Crippled Children Society, and lay Tuberculosis Associations.

For the year ended 31 December 1953 the total callers at the centres numbered 14,433. In addition, 7,086 pupils were interviewed individually in post-primary schools. Group interviews were carried out with 488 groups of children (numbering in the aggregate several thousands) interested in discussing particular vocations. Other activities, apart from attention to numerous inquiries by letter and the preparation of information sheets covering over one hundred occupations, included 779 visits to schools, addresses at 162 meetings, and 1,118 follow-up visits to persons placed in employment.

RURAL EDUCATION: Consolidation of Schools.—In order to give children in country districts the advantages of special equipment and more specialized teaching in larger schools the consolidation of the smaller rural schools has been undertaken wherever practicable. The extent of this consolidation will be evident from the fact that, whereas in 1934 there were 2,532 public primary (excluding intermediate) schools, the number in 1953 had fallen to 1,865. The fall in numbers is also due in part to the exclusion since 1946 of part-time and side schools from the totals. There were approximately 80 such schools in 1934 and 40 in 1946.

Transport and Board.—A natural consequence of consolidation is the provision of adequate transport facilities to bring children into the centres. Free passes on the railway to the nearest public or private school are granted to eligible children living near a railway line but out of reach of a primary school, and the same privilege is enjoyed by pupils having to travel to attend secondary schools, combined schools, district high schools, technical high schools, and private secondary schools, as well as to part-time pupils travelling to attend technical schools or classes, and pupils attending manual-training centres.

Where railway facilities are not available or sufficiently convenient, transport of pupils is by motor vehicle, horse, or ferry. Transport by buses operated either by the Department or by private operators under contract with the Department is free. Where neither a departmental nor contract bus service is available assistance towards the cost of transport is met by payment of a conveyance or horseback allowance.

The expenditure on transport of pupils for the financial year 1953–54 was £1,159,261, as compared with £1,059,489 in 1952–53.

The expenditure on boarding-allowances of pupils attending schools for the last three years is given in the table below.

 1951–521952–531953–54
 £££
Public primary and intermediate13,7009,4029,807
Private primary7,7307,0186,038
State secondary71,79974,58770,598
Maori3,8264,6233,810
Private secondary33,92937,65644,808
    Totals130,984133,286135,061

The next table gives particulars of the number of children transported to school and the number in receipt of boarding allowance as at 1 July 1953, according to the type of school attended. Totals for the two preceding years are also shown.

Type of SchoolNumber of Pupils on RollTotal Pupils Transported to SchoolNumber Receiving Boarding-allowance
Public primary schools269,19944,745235
Intermediate schools and departments15,2491,23422
Secondary departments of district high schools9,7185,330177
State secondary schools25,1085,2601,586
Technical high schools20,1068,185643
Combined schools4,370884577
Maori village schools13,5364,29748
Chatham Islands schools104723
Private primary schools41,2772,889281
Private secondary schools12,4761,2971,815
    Totals, 1953411,14374,1935,387
    Totals, 1952387,17569,6405,358
    Totals, 1951363,49264,7644,453

Correspondence School.—Since 1922 correspondence classes have been conducted for the primary education of children in very remote areas and of those unable to attend school on account of lengthy illness or other causes. In 1929 courses were extended to cover secondary education up to the stage of the University Entrance Examination. The usual subjects of the syllabus of instruction are taught at the school, and in addition pupils who require instruction which is usually available in a special class in a public school can receive instruction by correspondence. A corporate school spirit is developed through craft and club activities, weekly radio lessons, and personal visits from itinerant teachers. The work of the school has been greatly facilitated by the extension of the practice of visiting pupils in their homes. Vacation schools have been organized in various centres in order to give pupils the opportunity of doing practical work and of taking part in group activities.

Young persons in employment, including uncertificated teachers of small public schools, junior assistants in Maori schools, Post Office cadets, and others who are unable to attend post-primary schools for evening classes, also receive tuition as part-time pupils of the Correspondence School. One of the features of the school is the provision of instruction for pupils taking practical subjects, such as needlework, woodwork, practical agriculture, and science subjects.

At the end of 1953 there were 3,306 pupils on the roll of the Correspondence School, 1,645 being in the primary department and 482 full-time and 1,179 part-time students in the secondary department. The teaching staff of the school consists of a headmaster, 77 secondary, and 49 primary assistant teachers.

Agricultural Clubs.—More particularly in rural schools, practical interest in agriculture has been stimulated by the widespread formation of boys' and girls' agricultural clubs. The pupils undertake projects in livestock rearing and crop growing which are adjudged annually on the club field day, usually held at the school or local centre.

The agricultural instructors and nature study specialists employed by the Education Boards play an important part in the formation of the clubs, and by giving technical advice do much to assure the successful completion of the various projects. The clubs receive active support from parents, teachers, and the farmers' organizations.

HEALTH SERVICES.—Information on the medical and dental inspection of school children and the dental-clinic system is given in Section 5A (Public Health) of this Year-Book.

Free Issue of Milk.—The milk-in-schools scheme, for the free issue of a half-pint daily ration of milk to children, commenced on 1 March 1937. Information concerning this scheme is also contained in Section 5A.

TEACHING PROFESSION: Training of Teachers.—There are five teachers' training colleges available to students who desire to enter the teaching profession, and at the end of 1953 there were 2,354 students in training. Of these, 2,205 were “Division A” students and 149 “Division C” students. The minimum academic qualification for “Division A” is the School Certificate Examination, while students of “Division C” must be University graduates. Consideration is being given to the establishment of a sixth teachers' training college.

The following table shows the number of students in training at the teachers' training colleges in December of each of the years 1949–1953.

YearMalesFemalesTotals
19499291,2652,194
19509431,3592,302
19518881,4302,318
19528181,4832,301
19538041,5502,354

The normal course of training for “Division A” students is a period of two years at a teachers' training college, followed by a further period of one year as a probationary assistant attached to a public school. Third-year studentships, which entitle holders to an extra year's training in lieu of a probationary year, are available to selected students who wish to specialize in nature study, music, physical education, or arts and crafts, or who wish to become speech therapists or teachers of the deaf. A limited number of selected students are permitted to spend most of the third year of training doing full-time study towards a University degree. There were 112 such students in December 1953. For students of “Division C” the course is for one year. These students are University graduates who train for service in post-primary schools. To enable students to qualify to teach homecraft subjects, bursaries providing training at a teachers' training college and at a technical high school were instituted in 1943. There were 87 homecraft trainees in the Auckland and Dunedin Training Colleges in 1953.

In order to meet future staffing requirements due to the rapidly increasing school population a special training scheme was started in September 1949 for selected trainees aged twenty-one years and over. In December 1953 the number of trainees taking the special one-year course at the training colleges was 259 (179 men and 80 women). The corresponding figure in December 1952 was 276 (168 men, 108 women). On completion of the special training-college course these trainees are required to serve for one year as probationary assistants before being granted trained teachers' certificates. These trainees are not included in the figures in the tabulation of students at training colleges shown above.

Post-primary Teachers' Bursaries are awarded annually to students who have reached a standard of education at least equivalent to University Entrance, to enable them to attend full time at University to complete approved degree courses in preparation for entry into the post-primary teaching profession. Candidates must have reached 16 years of age by 31 December of the year in which their application is submitted. The bursaries are of an annual value of £70, plus payment of tuition fees, with an additional £40 if students are obliged to live away from home to attend University. The tenure is for a maximum period of four years. On completing their University courses students may be required to attend a teachers' training college for one year as “Division C” students, and then to serve for a period of four to five years as teachers in post-primary schools. The number of these bursars attending University in 1953 was 440.

A maximum of twenty Physical Education Bursaries are awarded annually to students to enable them to attend the School of Physical Education at the University of Otago for a three-year diploma course in physical education. The bursaries are of the same value as the Post-primary Teachers' Bursaries, and the bursars may be required, on completion of the course, to undertake work for a period of four to five years either as teachers of physical education or in some other occupation approved by the Director of Education. The number of such bursars attending University in 1953 was 49.

Public Primary-school Teachers.—The following table shows the number of teachers in public primary schools in the various education districts as at 30 November 1953, together with totals for 1952, 1951, and 1940.

Sole TeachersHeads of SchoolsAssistant TeachersProbationary AssistantsTotal Number of TeachersPercentage of Male to Female Teachers
M.F.M.F.M.F.M.F.
Education District—          
Auckland507220104718591021361,85583.3
South Auckland532217626157149921,25186.4
Taranaki343755921771833437100.5
Wanganui581081111222283848596100.7
Hawke's Bay63118041372202841584111.6
Wellington54131221229646454901,10590.8
Nelson295383551001917266112.8
Canterbury88131801432556465901,33996.6
Otago45610261792304753668126.4
Southland458775941302032411134.9
Intermediate schools and departments....21..281214....516140.7
    Totals, 1953519781,213762,3133,7574406329,02898.7
    Totals, 19525171041,178772,0503,6304445578,55795.9
    Totals, 19515351021,158771,8353,5504685338,25893.8
    Totals, 19406443639911478862,8902274386,58671.6

Between 1940 and 1953 the total number of teachers increased by 2,442, male teachers contributing 1,737 of this increase and female teachers 705. The average number of pupils per teacher was 27.3 in 1940, 28.5 in 1952, and 29.0 in 1953.

Post-primary-school Teachers.—The following table indicates the number of full-time teachers employed in the post-primary schools mentioned. The principals are included except in the case of district high schools, the figures for which apply to assistants in the secondary department only.

YearSecondary SchoolsDistrict High SchoolsTechnical High SchoolsCombined SchoolsGrand Totals
MalesFemalesMalesFemalesMalesFemalesMalesFemales
194948140229112649223099672,188
1959511421286110535251102682,284
1951527447308102564263103702,384
1952572461334116632273114722,574
1953621503344122696303116772,782

Male teachers employed in post-primary schools fell from 908 in 1940 to 707 in 1942, this decrease being almost entirely due to enlistment in the Armed Forces. The position was slightly improved in 1943, and each succeeding year has shown a further advance, the number in 1953 being 1,777, an increase of 869 as compared with 1940. The number of female teachers rose from 630 in 1940 to 838 in 1945, this increase being partially due to the employment of women during the war period in positions normally occupied by men. There was a fall to 795 in 1946, but the number at the end of 1953 (1,005) was 375 in excess of the number employed in 1940. Teachers employed in private post-primary schools and Maori secondary schools are not included in the figures. In 1953, 575 full-time teachers (251 male, 324 female) were employed in these schools.

TEACHING AIDS.—Regular broadcasting programmes for schools were initiated in 1931. A varied series of programmes linked with the curriculum are broadcast each school day from all main national stations. Special lessons are also broadcast each day for Correspondence School pupils.

Visual Aids.—The National Film Library, a branch of the Department of Education, lends films free of charge to schools and to organizations having some educational purpose. More than 1,300 schools have 16 mm. sound projectors.

Film strips are also available on free loan from the film-strip libraries in the offices of Education Boards. They can also be purchased for a nominal sum from the National Film Library. About two-thirds of the schools are equipped with film-strip projectors.

Museums.—To assist schools to make the fullest use of the museums, an education officer is attached jointly to the museum and the teachers' training college in each of the four main centres. Cases of exhibits are circulated amongst schools where pupils are unable to make regular visits to a museum.

Publications.—The School Journal, an illustrated paper, is published regularly in four separate parts suitable for pupils in the various standard classes. Five Primary School Bulletins, dealing with topics of New Zealand history, geography and nature study, are published every year. These publications are prepared in the Department of Education and issued free to all primary and intermediate schools, both State and private. Vernacular Journals are also issued to schools in Western Samoa and the Cook and Niue Islands.

The Post Primary School Bulletin is published ten times a year and issued free to all public and private post-primary schools. It provides background reading for subjects of the revised curriculum, particularly in social studies, science, literature, and music.

A bi-monthly Gazette, mainly for the information of teachers, is published by the Department. It is a medium for the dissemination of official information and for the advertisement of vacancies. Copies are distributed to educational authorities and to State schools throughout New Zealand.

As stated under an earlier heading, textbooks, prepared in the Department of Education, are issued free to all pupils in public and private primary schools.

HIGHER EDUCATION: New Zealand University.—Control of higher education in New Zealand is vested in the New Zealand University, founded by the New Zealand University Acts of 1870, 1874, and 1875.

The University was formerly an examining, not a teaching, body with four teaching institutions affiliated to it—the Auckland University College, founded in 1882; Victoria University College, founded in 1897 at Wellington; Canterbury University College, founded in 1873 at Christchurch; and Otago University, founded in 1869 at Dunedin. By the New Zealand University Amendment Act 1926 the constitution of the University was altered so that it now actually consists of the four University colleges. Each of the colleges, besides providing the usual University courses, specializes in certain directions: Otago University has medical and dental schools, a school of mining and metallurgical engineering, a school of home science, and a school of physical education; Canterbury University College has a school of engineering (mechanical, electrical, civil, and chemical), and a school of fine arts; Auckland University College has a school of architecture, a school of fine arts, and a school of engineering (mechanical, electrical, and civil); and Victoria University College specializes in law, has a school of public administration, and a school of social work. There are also two agricultural colleges—viz., Massey and Canterbury—associated with the University (see page 172).

In 1930 a New Zealand University Amendment Act was passed to enable the University to discharge its functions under the Law Practitioners Amendment Act 1930. For this purpose a Council of Legal Education was established to make recommendations to the Academic Board of the University with respect to any matter relating to legal education. Further, the Senate of the University in making or altering statutes concerning legal education must first consider any recommendations made by the Academic Board or the Council of Legal Education.

By means of an amendment to its own statutes and with the consent of the colleges, the University has set up a University Grants Committee, through which applications for grants are placed before the Government.

The New Zealand University Amendment Act 1954 provides for the establishment of a Curriculum Committee to which the Senate of the University may delegate certain powers of approving courses, and which may in its turn delegate certain powers to the colleges. The effect of this Act is to make it possible for the colleges to achieve a considerable degree of autonomy in academic matters.

In 1953 there were 10,547 students actually in attendance at the four University colleges and the two agricultural colleges. Of these, 1,121 were graduates, 7,801 undergraduates, and 1,625 unmatriculated students. Of the unmatriculated students, 636 were taking short courses at the agricultural colleges. A number of the unmatriculated students are returned servicemen, who are admitted under special terms. In addition, there were 920 students attached to the various University colleges, but exempt from lectures. Comparable figures for the five years quoted are given in the following table.

YearStudents Attending LecturesExempt StudentsTotals
MalesFemalesMalesFemales
19498,4902,2681,18417812,120
19508,2542,6191,01816412,055
19518,1622,52288212511,691
19527,7932,57283310711,305
19537,9442,60380811211,467

The numbers of male students attending lectures in the last five years are substantially above those of pre-war years, although there was a decrease of 1,233 between 1947 and 1953. The peak was reached in 1947, the number in that year being 5,052, or 124 per cent, above 1939. The numbers of female students attending lectures have also increased, the number in 1953 being 1,318, or 102 per cent, higher than in 1939. Students exempted from attendance at lectures increased in number during the post-war years, but their number declined after 1948, and in 1953 it represented 80 per cent of all students (11.8 per cent in 1948). The award of rehabilitation bursaries to exservicemen no doubt contributed to the high figures from 1946 to 1948. Holders of rehabilitation bursaries fell from approximately 3,400 in 1946 to 255 in 1953. Indications are therefore that an increased proportion of young people in the relevant age-groups is continuing education at the University level, so that the falling-off in numbers of ex-servicemen is being almost balanced by increases in numbers from other sources.

Professors attached to the various University colleges in 1953 numbered 93, of whom Auckland had 22; Victoria, 19; Canterbury, 17; Otago, 27; Massey, 5; Canterbury Agricultural, 3. In addition there was a considerably larger number of full-time lecturers, part-time lecturers, and assistants.

The following table gives particulars of students who were taking definite courses during 1953 and each of the preceding two years.

Course195119521953
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Agriculture—         
Degree1275132102210492395
Diploma276528126722692885293
Other745795315476177
Architecture—         
Degree90..9079..7976177
Diploma372394634940242
Other65..6561..6171273
Arts2,5331,3803,9132,3571,3373,6942,3011,3333,634
Commerce1,483771,5601,416841,5001,421851,506
Dentistry189419316041641585163
Divinity353383243626329
Education: Diploma9013103749839331124
Fine Arts: Diploma6111417555911464586131
Engineering36913703761377378 378
Home Science—         
Degree..4242..3434..4040
Diploma..393914950..8080
Horticulture: Diploma251136251439271340
Journalism: Diploma191332191736181230
Law440144545251954461726643
Medical Science2..24..44..4
Medicine504485524925054250056556
Mining: Diploma13..137..74..4
Music8284166699516469101170
Physical Education: Diploma234164213657194059
Public Administration: Diploma9..914..1412..12
Science (including Medical, etc., intermediate)1,6563071,9631,6473101,9571,6552621,917
Social Science: Diploma12132591019111425
Other courses305989395594234871
    Totals8,2442,28010,5247,9502,22710,1778,0242,24910,273

Free University Education.—Free University education was instituted in 1911 for all holders of University Scholarships and, in more recent years, increasing numbers of bursaries have been awarded. The most important awards for those entering the University are the ten University Junior Scholarships awarded by the University of New Zealand, and the twenty University National Scholarships for which funds are provided by Department of Education. Both are tenable for four years and provide full tuition fees, a scholarship allowance (£80 and £70 respectively), and an additional allowance (£60 for the former and £40 for the latter), for students who have to live away from home. These scholarships, together with the Taranaki Scholarship and certain privately endowed scholarships, are awarded on the results of the Entrance Scholarships Examination conducted by the University of New Zealand.

Scholarships awarded during the degree course are the University Senior (£90 per annum) and John Tinline Scholarships (£90 per annum). The various colleges also have private scholarships for which their own students may compete. The scholarships awarded at the end of the University course, which are listed in full in the University calendars, include the Rhodes Scholarships, the 1851 Exhibition Scholarships, the Post-graduate Scholarships in Arts and Science, the Travelling Scholarships in Commerce, Law, Engineering, Architecture, Medicine, and Dentistry, the Macmillan Brown Agricultural Scholarship, the Shirtcliffe Scholarships, the Gordon Watson Scholarship, the Shell Post-graduate Scholarship, the Michael Hiatt Baker Scholarship, the Rutherford Scholarships, the Orford Studentship, and the National Research Scholarships. All these are tenable abroad. In addition there are post-graduate scholarships tenable in New Zealand. The University of New Zealand also awards Research Fellowships, the value of which is not fixed, but the normal grants have been approximately £300 per annum for a period of two years. Each University college may also award one Research Scholarship of an annual value of £200, tenable in New Zealand.

Several different kinds of bursaries, as distinct from scholarships, are awarded each year. For the most part these provide full tuition fees, while several provide also bursary or boarding allowances. Bursaries awarded by the Department of Education are University National (boarding and ordinary), Special, Post-primary Teachers' and Physical Education Bursaries. There are also bursaries awarded by other Government Departments.

National Boarding Bursaries to the number of 65 are available annually to candidates who, though not qualifying for scholarships, have performed creditably in the Entrance Scholarships Examination. At least forty of these bursaries go each year to students who are required to live away from home in order to attend a University College; the remainder, however, may be held by students who, though living at home, are in need of financial assistance. In addition to full tuition fees, the bursary allowance (£70) is paid.

Ordinary National Bursaries are available to all students qualifying for University Entrance either by examination or by accrediting. These bursaries cover full tuition fees. Bursars who hold a Higher School Certificate receive in addition a small bursary allowance of £30 if they attend as full-time students. Both forms of National Bursary are tenable for four years, or for five years in the case of medical, dental, and engineering students.

In order to assist qualified students to pursue University courses in agriculture, architecture, fine arts, engineering, science, and home science, approximately 110 Special Bursaries are awarded each year. They are tenable for five years for engineering and four years for other courses. They provide full tuition fees, a cash payment of £30, and (where appropriate) a boarding allowance of £40.

Full details of the amounts payable and other qualifying conditions for the various classes of bursaries are available in a vocational guidance pamphlet issued by the Department of Education annually entitled “Next Year”.

The total number of University National (ordinary and boarding) and Special Bursaries current in 1953 was 3,623.

Bursaries, etc., are also awarded annually by other Government Departments and include Medical and Dental Bursaries (Department of Health), National Research Scholarships and National Research Fellowships (Department of Scientific and Industrial Research), Rehabilitation Bursaries (Rehabilitation Board), Coal Mining Bursaries (Mines Department), Public Service Bursaries (Public Service Commission).

From the table given below will be seen the number of students, including those taking short courses at agricultural colleges, who received free University education during each of the last five years.

YearJunior University, University National, and Taranaki ScholarshipsSenior University ScholarshipsUniversity National (Ordinary and Boarding) and Special BursariesTraining-college StudentshipsOtherTotals
1949109303,4048472,3986,788
1950107253,6617151,8206,328
1951104243,6107191,4195,876
1952124223,5105011,4105,567
1953125193,6235411,4165,724

Holders of rehabilitation bursaries numbered 255 in 1953, 384 in 1952, 572 in 1951, 907 in 1950, 1,727 in 1949, and 2,655 in 1948.

Agricultural Colleges.—There are two agricultural colleges specializing in higher agricultural education—Massey Agricultural College, near Palmerston North, and Canterbury Agricultural College, near Christchurch. The colleges are separately governed, though both are attached to the University of New Zealand. The staff of Massey College consisted in 1953 of 5 professors, 45 lecturers and assistant lecturers, while that of Canterbury was made up of 3 professors, 29 lecturers and assistant lecturers. The total number of students at Massey College in 1953 was 573 and at Canterbury 568. These numbers include 251 students at Massey and 385 at Canterbury Agricultural Colleges taking short courses.

Encouragement in the development of higher agricultural education is given through Government grants to the colleges, amounting to £167,009 in 1953–54. Various research projects at the colleges have been aided by expert assistance and grants from the Department of Scientific and Industrial Research.

In addition, special bursaries in agriculture (referred to on the previous page) are awarded to qualified candidates to provide them with practical training for positions as teachers or instructors of agriculture. During 1953, 19 bursars were in attendance at Canterbury Agricultural College, 15 at Massey College, and 8 at the four University colleges.

CHILD WELFARE.—The Child Welfare Act of 1925 provided for the creation of a special branch of the Department of Education now known as the Child Welfare Division. The Act was passed to make better provision with respect to the maintenance, care, and control of children who are placed specially under the protection of the State, and to provide generally for the protection and training of indigent, neglected, and delinquent children. The meaning of the expression “delinquent" was extended by a 1954 amendment to the principal Act.

An important section of the Act provided for the establishment of Children's Courts, to be presided over by Stipendiary Magistrates or Justices specially authorized to exercise jurisdiction in these Courts. Any necessary acts preliminary to the hearing, however, may be done by any Magistrate or Justice. Provision was also made for the appointment of honorary associates of either sex, whose function it is to consider all the facts concerning children brought before the Courts and to advise the presiding Magistrate or Justice as to what action should be taken. The appointment of Child Welfare Officers for the investigation of all cases coming before the Courts was also provided for. These investigations are carried out mainly by the regular officers employed by the Department, but in outlying districts the services of honorary child welfare officers are utilized for this important work. At 31 March 1954 there were 179 men and women serving as honorary child welfare officers.

The principle of dealing with children in the privacy of the Magistrate's room had been followed for many years throughout New Zealand, and the Child Welfare Act was designed to give legality to such a practice. Very wide discretionary powers are given to these special Courts in dealing with children. The ordinary procedure of requiring the child to plead, of taking evidence on oath, and, indeed, of hearing the particular charge may be dispensed with altogether. Wherever practicable the Children's Court is held in premises apart from the ordinary Police Court, and no newspaper is permitted to publish either the names of children appearing before these Courts or any particulars that are likely to identify a child.

A child was originally defined for purposes of the Act as one under sixteen years of age. This age was raised to seventeen in 1927.

Children's Courts deal with cases of children brought either (a) on a complaint under the Child Welfare Act that a child is neglected, indigent, delinquent, not under proper control, or living in a detrimental environment or (b) charged with an offence. After hearing the complaint or the charge and in the light of the Child Welfare Officer's report, the Court may, according to the needs of the case, commit the child to the care of the Superintendent of Child Welfare, or place him under supervision of a Child Welfare Officer for a period (usually one year or two years) or discharge him with an admonishment and, on occasion, an order for restitution or a fine.

The numbers of children appearing before the Children's Courts in the last three years (ended 31 March) were as follows.

 195219531954
On “complaints" (under the Child Welfare Act)468440424
For offences (including offences against Acts, regulations, or by-laws)1,7911,8202,018
    Totals2,2592,2602,442

On the basis of the total juvenile population of New Zealand at the time, the incidence of appearances for offences is shown as follows.

 195219531954

* Number of cases per 10,000 of the population aged seven to seventeen years.

Total Court appearances for offences1,7911,8202,018
Rate*535254
Court appearances for all more serious offences (excluding offences against special Acts, regulations, or by-laws)1,2861,2741,409
Rate*383638

The decisions made in the Children's Court during the year ended 31 March 1954 are shown in the summary below.

DecisionYear Ended 31 March 1954
Committed to the care of the Child Welfare Superintendent385
Placed under supervision of Child Welfare Officers829
Admonished and discharged with or without costs, restitution, or fine983
All other decisions245
    Total2,442

Most of the children who are committed to the care of the Superintendent of Child Welfare and who are thereby under his guardianship are placed by him and his officers either in foster-homes and at school, or in employment and at private board. Only those who require special care and training which cannot be provided in the ordinary life of the community are placed in institutions administered by the Superintendent. Some few reside in private institutions—e.g., in post-primary school hostels.

Of the total of 6,283 children under the control and supervision of the Child Welfare Superintendent and his officers at 31 March 1954, 2,957 were under the guardianship of the Superintendent and a further 38 were in effect his wards for the time being. These 2,995 children were at that date placed as shown in the following summary.

 NumberPercentage of Total
Residing in individual private homes (foster-homes, employers' or relatives' homes)2,44381.6
In institutions administered by the Child Welfare Division (including those temporarily admitted)2819.4
In mental hospitals1224.1
In residential schools and colleges (including schools for handicapped children)1123.7
In hospitals, convalescent homes, etc.130.4
In children's homes (including orphanages, etc.)240.8

For the children requiring institutional care and training the Child Welfare Division administers several different types of institutions. The Girls' Training Centre at Burwood, Christchurch, and the Boys' Training Centre at Levin each provide for the more difficult or disturbed girls or boys. The centres are open institutions providing full educational facilities with qualified and trained teachers and also a wide range of vocational training. Another small institution at Featherston provides specially for Maori girls who, while not seriously difficult, require some training before placement in the community. Two small hostels for girls at Wellington and at Christchurch provide for those who, while in ordinary employment, require for the time being the conditions of supervision and care obtainable in a hostel. Receiving homes and boys' homes in several of the main centres provide for temporary care and observation.

Children placed by the Courts under supervision of Child Welfare Officers are supervised in their own homes, except that in a few cases, with the approval of the parents or guardians, the Child Welfare Officer arranges placement elsewhere—e.g., in employment. For most children placed under supervision the methods available thereby prove sufficient for the needs; where it is not sufficient the child usually appears before the Court again and is committed to the care of the Superintendent. There were 965 children under supervision at 31 March 1954.

Preventive cases, numbering 929 at 31 March 1954, consist of children who, without any Court appearance, are being supervised and assisted by Child Welfare Officers under arrangements made voluntarily with the parents or guardians.

As provided for in the Child Welfare Act 1925, Child Welfare Officers, on receiving notification from the Registrars of ex-nuptial births, make confidential inquiries and assist the mother as necessary in making provision for her child.

Child Welfare Officers administer the provisions of the Infants Act 1908 by which young children living apart from their parents or guardians are required to be in licensed foster-homes. At 31 March 1954, 991 such children were being supervised.

Also under the provisions of the Infants Act 1908, on request by a Magistrate to whom an application for the adoption of a child has been made, a Child Welfare Officer investigates the proposal and reports to the Court accordingly.

The Child Welfare Superintendent, under the provisions of the Child Welfare Amendment Act 1948, assumes guardianship of unaccompanied immigrant children from Britain on their arrival in New Zealand, and similarly of refugee children from other countries. He also has administrative responsibility for the Polish refugee children who came to New Zealand during the war.

COUNCIL FOR EDUCATIONAL RESEARCH.—In 1933 the Carnegie Corporation of New York set up a committee to report on the proposal to found in New Zealand a Council for Educational Research. This committee called a conference of representative educationists to consider the proposal, and approached educational authorities for their co-operation. In view of the unanimous support given to the proposal, the committee recommended the foundation of the Council, and in November 1933 the Carnegie Corporation appropriated a substantial grant for the purpose, payable in five yearly instalments, beginning in 1933–34. In 1938 the Corporation extended the grant to cover a second five-year period, from 1940 to 1944.

When the Corporation grants ceased in 1944 the Government passed legislation giving statutory existence to the Council, and since 1945 has made an annual grant of £3,000 to it. In 1953 the Government grant was raised to £4,000. The Corporation has continued to show an interest in the work of the Council, and from time to time has made smaller grants for specific purposes.

The Council has concentrated on New Zealand problems, and many of its publications (35 research reports and 14 shorter studies in education) consist of critical surveys on various aspects of New Zealand education and of accounts of outstanding experiments in school practice. The work done under the auspices of the Council has been carried out not only by its own permanent staff but also by part-time investigators.

In addition to its activities as a research organization, the Council acts as a clearing house for information on educational matters.

The Council's activities are under the control of a permanent officer (the Director), who is assisted by a staff of three. There are local Institutes for Educational Research in Auckland, Wellington, Christchurch, and Dunedin.

ADULT EDUCATION: National Council of Adult Education.—In 1938 an Education Amendment Act provided for the establishment of a Council of Adult Education to co-ordinate activities of adult education, lo make recommendations to the Minister of Education concerning the amount and distribution of the annual grant, and to receive reports from the bodies to whom grants were made.

The Adult Education Act 1947, which followed largely the recommendations of a Consultative Committee reporting in the same year, abolished the Council and set up a National Council of Adult Education with much wider powers. The functions of the National Council are—

  1. To promote and foster adult education and the cultivation of the arts; and

  2. To make recommendations to the Minister of Education as to the amount of the annual grant to be made to the National Council of Adult Education out of moneys appropriated by Parliament for the purpose, and to receive, administer, and control the expenditure of such moneys granted.

The National Council has power to appoint staff and to impose conditions on grants made by it. The full-time executive officer of the Council, the National Secretary of Adult Education, is located in Wellington. The National Council comprises the Director of Education, the Director of Broadcasting, the Director of the National Library Service, or their representatives; one member appointed by the Senate of the University of New Zealand; two members appointed by each of the four University Colleges; one member appointed by the Dominion Council of the Workers' Educational Association; one member appointed by the Minister of Education to represent the Maori race; and up to two members appointed by the Council itself.

Regional Councils of Adult Education.—Staff for field work in adult education is employed by the Councils of the four constituent colleges of the University of New Zealand. Each College Council has the advice of a Regional Council of Adult Education, to which certain of the powers of the College Council are delegated. The four Regional Councils are differently constituted, but the 1947 Act requires that at least one-half of the members shall be persons appointed on the nomination of voluntary associations or organizations engaged or interested in adult education in the district. In each region the teaching staff consists of a director, “general purpose” tutors, and specialist tutors. The work supervised by the Regional Councils covers a wide range of interests—lecture courses, discussion courses, and various forms of assistance to specially organized groups or groups formed originally for other purposes, in both town and country. An important recent development has been the establishment of the Community Arts Service, which arranges for visits of exhibitions, musicians, and drama and ballet groups to country centres. The Regional Councils also organize short-term summer and winter schools in town and country.

Voluntary Agencies.—The tutors, working under the direction of the Regional Councils of Adult Education, offer assistance to a large number of voluntary agencies such as Parent-Teacher Associations, Home and School Societies, Play Centre Associations, and groups concerned with drama, music, and art.

The Country Women's Co-ordinating Committee, representing both the Women's Division of Federated Farmers and the Women's Institutes, organizes classes in rural areas and is supplied with tutors by the Regional Councils.

The Workers' Educational Association operates in conjunction with the University Colleges and organizes classes, mostly one-year classes, in the main cities and in a few of the larger towns. Tutors for these classes are provided by the Regional Councils of Adult Education. The Regional Councils also now conduct much of the country work formerly organized by the Workers' Educational Association. The Workers' Educational Association is financed by grants from the National Council of Adult Education and donations from local authorities, trade unions, and private individuals.

Education of New Settlers.—The large number of new settlers who have come to New Zealand from European countries in recent years has led to the establishment of evening classes for teaching English and what may broadly be called civics. During 1954 some 110 such classes, with an enrolment of over 2,000, were established in over fifty centres. Special textbooks and other material have been prepared for use by teachers and students.

Community Centres.—In 1938 an experimental Community Centre was established at Feilding under the supervision of two experienced educationists specially appointed to the staff of the Feilding Agricultural High School. Classes have been conducted in drama, child care, literature, art appreciation, and physical welfare, both at the centre and in outlying areas. In 1944 a community centre was opened in a suburb of Christchurch. More recently experimental centres have been opened in Westport, Wakari, and in the coal-mining districts of the Buller. All these receive some assistance, directly or indirectly, from public funds. There are, however, many other community centre schemes supported by voluntary effort.

The Adult Education Act 1947 gave the Minister of Education power to establish or recognize community centres and to make grants to them.

NATIONAL LIBRARY SERVICE.—The establishment of a National Library Service by the Minister of Education in 1945 followed a recommendation by the New Zealand Library Association. The National Library Service has four divisions—the Country Library Service, the School Library Service, the National Library Centre, and the Library School.

Country Library Service.—The Country Library Service, founded in 1938 under the control of the Minister of Education, has been extended through district offices for closer contact with participating libraries. It assists library authorities in country districts and towns with a population of less than 15,000 to give better service. Libraries in towns with a greater population, excluding the four main centres, receive assistance under certain conditions. Free loans of books are made to libraries controlled by local authorities which operate a free service locally and maintain it at a reasonable standard of efficiency. Subscription libraries in country districts—i.e., outside the area of boroughs and town districts—may hire books at the rate of £3 for 50. Seven specially equipped vans, each

carrying 1,600–2,000 books covering a wide range, travel over the whole territory so that both free and subscription libraries can make their own exchanges every four months. In between visits books go by post from the headquarters and district offices to libraries requesting them. Hampers of books are sent to isolated groups of readers.

Free public libraries which extend their service to general hospitals in their area receive special collections of books for the use of patients. A library service is given to lighthouses, and a service to Ministry of Works, State Hydro-electric, and New Zealand Forest Service camps has been given since 1949. Tuberculosis patients in sanatoria and in tuberculosis wards of general hospitals are served from a special collection of books built up to meet their particular needs. Mental hospitals receive collections of books which are exchanged regularly. Prisons and borstal institutions receive books and change them on the four-monthly visits of the travelling hook vans.

The number of libraries obtaining books from the Country Library Service on 31 March 1954 was as follows: free libraries, 98; subscription libraries, 759; groups, 42; Ministry of Works, State Hydro-electric, and New Zealand Forest Service camps, 49; tuberculosis sanatoria, 18; mental hospitals, 9; hospitals, 14; prisons and borstal institutions, 15. Lighthouse staff receiving a library service numbered 105.

School Library Service.—The launching of the School Library Service, operating on a circulating basis, has been a most important development. This service, which is financed by the Department of Education and administered by the National Library Service, aims at giving children access to the best literature.

At 31 March 1954 the School Library Service was circulating loans of children's books to 2,206 schools, representing 203,332 children. The schools served are primary, intermediate, and district high schools, public and private, outside the four main cities, and include the Correspondence School. The public libraries of the main cities receive bulk loans from the Service for circulation to 170 schools in their area.

A service is also available through which all schools, including post-primary, receive additional books on request. Approximately 136,329 requests were filled during the year ended 31 March 1954.

National Library Centre.—The National Library Centre is responsible for the professional work of the headquarters sections of the National Library Service, including the purchase of books and periodicals for Government Departments operating within the Public Account. It also undertakes various bibliographical projects such as the maintenance of the Union Catalogue of Non-fiction Books, the Union List of Serials, and a National Bibliography of New Zealand publications. The Centre's other main functions, developed in conjunction with the Book Resources Committee of the New Zealand Library Association, are concerned with the national system of inter-library loan and the necessary steps to ensure the availability through New Zealand libraries of at least one copy of all books of any consequence published in the English language.

Library School.—The Library School was established in 1946, and at the end of 1953 one hundred and sixty-three students had taken the course.

The school offers professional training to those holding University degrees or with equivalent education. The course lasts from February to November.

Students receive allowances equal to those paid to students of Teachers' Training Colleges.

Short courses for Librarians of smaller libraries were held in 1947, 1948, and 1950. A short course for Librarians of Government Departments was held in 1949, and in the same year the Library School collaborated in holding a short course for teacher-librarians. Since 1952, Part Two of the New Zealand Library Association's General Training Course has been carried out by a five weeks' course at the school.

Chapter 7. SECTION 7—SOCIAL SECURITY, PENSIONS, SUPERANNUATION, ETC.

7A—SOCIAL SECURITY

DEVELOPMENT.—The Social Security Act 1938, which came into operation on 1 April 1939, may be said to have as its principal aim the provision for payment of superannuation and other benefits designed to safeguard the people of New Zealand from disabilities arising from age, invalidity, widowhood, orphanhood, unemployment, sickness, or other exceptional conditions. Its two main objectives were—

  1. To substitute for the previous system of non-contributory civil pensions a system of monetary benefits on a contributory basis:

  2. The inauguration of a system of medical and hospital benefits and of other related benefits.

The various classes of pensions, etc., which were superseded by monetary benefits of similar application were old-age pensions, widows' pensions, Maori War pensions, miners' pensions, invalidity pensions, and family allowances, while the unemployment benefit replaced the system of sustenance payments previously in force. A brief history of the introduction of the principal classes of pensions superseded by the social security scheme, and of the former Pensions Department which administered them, is given on pages 451–452 of the 1947–49 issue of the Year-Book. In addition, four new classes of monetary benefits were inaugurated—the orphan's benefit, the sickness benefit, the emergency benefit (for cases of hardship), and the superannuation benefit.

The Social Security Amendment Act 1945 introduced a further important addition to the social legislation of New Zealand. It established the principle of universal family benefits, and from 1 April 1946 each mother receives a benefit in respect of each of her dependent children irrespective of the family income or property.

A further development in 1948 occurred with the passing of legislation providing for reciprocity of social security benefits with Australia, and reciprocity in relation to family benefits with Great Britain and Northern Ireland. The respective Acts were entitled the Social Security (Reciprocity with Australia) Act 1948, the Family Benefits (Reciprocity with Great Britain) Act 1948, and the Family Benefits (Reciprocity with Northern Ireland) Act 1948.

The first mentioned of these three Acts repealed the Age Benefits and Invalids' Benefits (Reciprocity with Australia) Act 1943, and came into force on 1 July 1949. In the 1948 Act the classes of benefits were extended and now cover the following: age-pensions and age benefits, invalid pensions (including wives' and children's allowances) and invalids' benefits, widows' pensions and widows' benefits, child endowment and family benefits, unemployment benefits, and sickness benefits.

ADMINISTRATION.—The Social Security Act 1938 established a Department of State entitled the Social Security Department, under the control of a Commission consisting of not more than three members. The Department administers, under the direction of the Minister of Social Security, Part II of the Act dealing with those monetary benefits to which reference has been made, while Part III of the Act, dealing with medical, hospital, and other related benefits, is administered by he Department of Health under the direction of the Minister of Health. Provision was made in the Social Security Amendment Act 1947 for the Social Security Commission, with the written consent of the Minister of Social Security, to delegate to any Registrar or other officer of the Department any of its powers under Part II of the principal Act.

The War Pensions Act 1954 (which consolidated and amended the previously existing legislation on the subject and incorporated the War Pensions and Allowances (Mercantile Marine) Act 1940) is also administered by the Social Security Department, one of whose officers is also designated Secretary for War Pensions. It should be noted, however, that, unlike the benefits under the Social Security Act which are paid from the Social Security Fund (referred to later), war pensions are paid through the Consolidated Fund from general taxation.

FINANCIAL PROVISIONS.—Finance to enable the provisions of the Act to be carried out is provided for by the establishment within the Public Account of the Social Security Fund The principal revenue of the Fund is derived from a charge (collected by the Department of Inland Revenue) on salaries, wages, and other income, including the income of companies, but the Act also makes provision for the payment to the Fund of such other moneys as may be appropriated by Parliament from time to time, and a substantial amount has been received from the Consolidated Fund each year.

The social security charge, which had been at the rate of 1d. for every 1s. 8d. or part thereof of income since the inception of the scheme, was increased in 1946 to 1d. for every 13⅓d. or part thereof—i.e., 1s. 6d. in the pound. The increase, in the case of salaries and wages, became effective from and including 13 May 1946, while “other" income received during the year ended 31 March 1946 was subject to the increased rate.

In the case of salaries and wages the amount of the charge is deducted by the employer or other person by whom the wages or salaries are paid, while the charge on other income is payable by the recipient in equal instalments on 7 June and 7 November in the year following the financial year in which the income was derived.

Receipts.—Receipts of the fund for the financial years 1949–50 to 1953–54 are given in the following table.

1949–501950–511951–521952–531953–54

* Includes for some years small amounts which are not chargeable against the amounts paid out under the heading of widows' benefits.

 £££££
Charge on salaries and wages18,766,78020,650,97524,318,13826,650,92228,714,790
Charge on company and other income12,935,79015,115,26119,294,73018,857,01621,002,586
Grants from Consolidated Fund (Social Security Act)12,000,00014,000,00014,000,00014,000,00014,000,000
Maintenance recoveries against defaulting husbands*65,27366,90073,55578,42977,653
Interest on investments17,6987,0824,94619,90915,639
Reciprocity arrangements: Recoveries from Australian Government..1,8603,4283,4146,379
Other receipts52,64240,31186,86918,54621,925
      Total revenue43,838,18349,882,38957,781,66659,628,23663,838,972

Payments.—Particulars of payments during the same five financial years are contained in the next table.

1949–501950–511951–521952–531953–54
Monetary benefits—£££££
  Superannuation2,179,3652,336,2753,144,0915,564,6296,029,183
  Age15,133,75117,150,83919,235,32619,091,30319,922,234
  Widows'2,159,6512,142,2322,230,6352,157,1152,323,835
  Orphans'31,17633,06133,66735,40427,583
  Family14,850,95915,289,34616,110,29716,854,26117,618,581
  Invalids'1,397,7131,429,2761,476,2811,416,5611,488,425
  Miners'120,061125,189127,619121,636123,547
  Maori War2........
  Unemployment10,4025,3553,9143,1876,575
  Sickness1,008,6511,042,0501,128,8041,062,1761,086,241
  Emergency280,155292,069365,181340,625366,558
      Total, monetary benefits37,171,88639,845,69243,855,81546,646,89748,992,762
Medical benefits—     
  Medical2,524,2902,661,1662,760,5833,047,2023,085,749
  Hospital2,011,6492,018,9632,112,4942,135,2182,184,239
  Maternity871,386885,316884,781919,422924,616
  Pharmaceutical2,043,8432,097,0002,428,2163,015,8332,919,620
  Supplementary1,009,9411,060,9381,181,9531,310,9221,492,822
      Total, medical benefits8,461,1098,723,3839,368,02710,428,59710,607,046
Reciprocity benefits—     
  Australia1,7153,0503,7304,9676,049
  Great Britain 334123..
Balance of maintenance moneys26311733..62
Other payments6,641........
Administration expenses783,822848,486950,405957,5581,017,140
Special assistance....2,19221,287102,329
Bonus......767,1151,644,925
      Total payments46,425,43649,420,76154,180,24358,826,44462,370,313
Balance of Fund at end of year6,094,6656,556,29310,157,71610,959,50812,428,167

MONETARY BENEFITS.—A brief description of the main provisions relating to the various monetary benefits under Part II of the Act is now given. The rates prescribed for several of the benefits under the principal Act were increased by way of bonus to the extent of 5 per cent of the maximum rate payable in each case, as from 1 May 1942. The Social Security Amendment Act 1943, however, superseded these bonuses with permanent increases as from 1 July 1943, and further increases were granted in most benefits as from 1 October 1945. The Social Security Amendment Act 1947 provided for a further increase in the rate of benefits payable, the effective date being as from 1 October 1947. The same amendment gave the Commission power to continue superannuation, family, and miners' benefits without review for a period longer than the twelve months to which it was previously restricted. Other benefits subject to a means test may not be granted, or renewed for a period exceeding twelve months, without further investigation as to changes in circumstances. The Social Security Amendment Act 1949 also provided for an increase in the basic rates of monetary benefits as from 1 June 1949. On 2 June 1950 the Government announced that, in consideration of the effect of the removal of certain subsidies, it had been decided to increase social security benefits by a flat cost-of-living bonus representing a 5 per cent increase, or 2s. 6d. per week for single beneficiaries and 5s. per week for married couples, on existing rates. Benefits affected with retrospective payments as from 8 May 1950, were age, invalids', miners', orphans', widows', sickness, unemployment, and emergency benefits. An earlier announcement (22 December 1949) stated that the amount of allowable income that could be earned by a beneficiary without affecting the benefit was to be increased from £1 to £1 10s. per week. This concession applied to age, invalids', and sickness benefits. These increases were later incorporated in the Social Security Amendment Act 1950. This Act also provided that the reduction in the basic rates of benefit on account of accumulated property exceeding £500 in those cases where it applied (age benefits and invalids' benefits) was to be £1 for every £15 of value instead of £1 for every £10 as formerly. Further increases ranging from 2s. 6d. to 5s. per week for recipients of social security benefits who are not generally in regular employment were made from 15 February 1951 and validated by the 1951 amendment to the Act. In accordance with the provisions of the 1954 Amendment Act the rates of benefits were increased by 10s. per week from 1 January 1954. The same amendment authorized increases in the rates of monetary benefits in respect of the period 15 September-31 December 1953. A further increase of 2s. 6d. a week was granted from 18 November 1954.

The following payments, authorized by the Finance Act 1951, were made by way of cash bonus to certain social security beneficiaries and others during the year 1951. An amount of £2,045,273 was paid in accordance with the proposal of the Government announced on 16 December 1950 to pay a Christmas bonus of £10 to certain social security beneficiaries and war pensioners. For superannuitants and others of that class whose income during the year ended 31 December 1950 did not exceed £226 for a single person or £374 for married persons, payments of £10 and £20 respectively were also made, with proportionately lesser amounts as the gross income increased until at £236 and £394 the bonus payments ceased. The amount paid out under the latter arrangement totalled £148,669. A family bonus of £5 per child was paid in respect of children for whom the family benefit (or a war pension in lieu of family benefit) was payable at 30 June 1951. The amount involved under this heading was £3,078,910.

A special bonus of £5 to unmarried persons and £10 to married couples was paid to certain social security beneficiaries and war pensioners for Christmas 1952. Expenditure on this bonus to 31 March 1953 totalled £860,555, of which £767,115 was paid to social security beneficiaries. A further bonus of £10 for unmarried persons and £20 for married couples was paid at Christmas 1953, this amount forming one of the circumstances to be taken into account in determining the rate of increase in benefits from 15 Sept.–31 Dec. 1953. The sum involved was £1,856,225, of which £1,644,925 was paid to social security beneficiaries. Both the 1952 and 1953 social security portions of the payments were made from the Social Security Fund and are included in the previous table.

Payments of benefits, other than invalids' or miners' benefits for which separate provision had been made earlier, during temporary absence from New Zealand was made permissible at the Commission's discretion by the Finance Act (No. 2) 1948.

For the purpose of determining eligibility for benefit on grounds of residence, persons employed outside New Zealand will be deemed to be resident in New Zealand if employed on Government business, and may be so deemed at the Commission's discretion if employed otherwise, for the purposes of Part II of the principal Act, where liable for the payment of social security charge on their earnings. In each case the wife and children are also included. The 1950 amendment provided that persons employed by the Governments of Western Samoa and the Cook Islands are exempted from payment of the social security charge unless they remain ordinarily resident in New Zealand.

A person who is in receipt of a war disablement pension or a basic war widow's pension may be granted any social security benefit.

SUMMARY OF RATES OF SOCIAL SECURITY BENEFITS.—The list below gives a summary of the annual and weekly rates for monetary benefits as at the present time (January 1955).

BenefitAnnual RateWeekly Rate
 £s.d.£s.d.
Superannuation (from 1 April 1955, £95)9000 .. 
Age—      
Basic rate182003100
Married man with wife not eligible in her own right Widows'—36400700
Basic rate182003100
Mother's allowance (widow with one dependent child)123100276
Mother's allowance (widow with more than one dependent child)1491002176
Orphans' (each child)841001126
Family (each child)26000100
Invalids'—      
Basic rate182003100
Under twenty years without dependants1491002176
Married male with wife included36400700
Limit of income, including earnings, subsidy, and benefit for blind invalid36400700
Limit of income, including benefit where domestic or nursing assistance required for a married woman5460010100
Miners'—      
Basic rate182003100
Married with wife included36400700
Miner's widow1491002176
Sickness or Unemployment—      
Basic rate182003100
Under twenty years without dependants123100276
Married persons with wife included36400700
EmergencyAccording to circumstances
Special AssistanceAccording to circumstances

Superannuation Benefits.—Every person over the age of sixty-five years who satisfies the prescribed residential qualifications is entitled to a superannuation benefit without conditions as to income or property. The superannuation benefit is, however, regarded as assessable income for income-tax purposes but is exempt from the social security charge. The residential qualifications are contained in section 12 of the Act, which reads as follows:—

  1. No person shall be entitled to a superannuation benefit under this Part of this Act unless he satisfies the following conditions, namely,—

    1. In the case of a person who was resident in New Zealand on the fifteenth day of March, nineteen hundred and thirty-eight (being the date of the passing of the Pensions Amendment Act 1937), that he has resided continuously in New Zealand for not less than ten years immediately preceding the date of his application for a superannuation benefit:

    2. In any case to which the last preceding paragraph does not apply, that he has resided continuously in New Zealand for not less than twenty years immediately preceding the date of his application for a superannuation benefit.

  2. For the purposes of the last preceding subsection, continuous residence in New Zealand shall not be deemed to have been interrupted by absence therefrom—

    1. In any case to which paragraph (a) of the last preceding subsection applies—

      1. If the total period of absence from New Zealand does not exceed one year; or

      2. If the total period of absence from New Zealand exceeds one year but does not exceed that period by more than six months for every year of residence in New Zealand in excess of a period of ten years, and the applicant has been actually resident in New Zealand for the twelve months immediately preceding the date of his application:

    2. In any case to which paragraph (b) of the last preceding subsection applies—

      1. If the total period of absence from New Zealand does not exceed two years; or

      2. If the total period of absence from New Zealand exceeds two years but does not exceed that period by more than six months for every year of residence in New Zealand in excess of a period of twenty years, and the applicant has been actually resident in New Zealand for the twelve months immediately preceding the date of his application.

Provision is made to cover absence by a seaman serving on board any ship registered or owned in New Zealand and absence in any capacity as a member of any of Her Majesty's Forces.

A superannuation benefit is not payable in addition to any other benefit or war pension. For example, a superannuation benefit and an invalid's benefit cannot be paid to the one person. Similarly, a superannuation benefit and an age benefit are not payable to the one person. If a beneficiary in receipt of a superannuation benefit is later granted an age benefit, the maximum benefit payable is £182, the amount of the superannuation benefit being merged in the amount of the age benefit granted.

At the date of commencement on 1 April 1940, and for the remainder of the year, the rate of benefit was £10 per annum, thereafter being increased by £2 10s. per annum. As from 1 October 1951, however, the amount payable for the balance of the year 1951–52 was raised from £37 10s. to £75 per annum, this amount increasing by £5 per annum on 1 April of each succeeding year (for 1954–55 being £90 a year) until the amount equals the full rate payable under the Act.

The number of superannuation benefits in force at 31 March 1954 was 75,227, an increase of 3,266 above the total for the previous year. Expenditure on these benefits rose from £5,564,629 in 1952–53 to £6,029,183 in 1953–54.

Age Benefits.—Every person who has attained the age of sixty years is entitled to receive an age benefit, subject to satisfying certain qualifications in regard to residence and character. The residential qualifications are the same as those set out under the preceding heading in regard to superannuation benefits. The character qualifications mainly relate to desertion of wife or husband or wilful failure in the case of a married man or widower to provide adequate maintenance for wife or for children under sixteen years of age.

The basic rate of the benefit is £182 per annum, subject to certain deductions on account of income or accumulated property, etc. Particulars of additions to and deductions from the basic rate are as follows:—

  • Unmarried applicants: The basic rate is reduced by £1 for every complete £1 of income in excess of £78 per annum.

  • Married applicants: Where husband and wife are both entitled to the benefit the basic rate is reduced by 10s. for every complete £1 of their combined incomes in excess of £78 per annum. In cases where only one of them is entitled to the benefit the reduction is at the rate of £1 for every complete £1 of their total income (excluding a family benefit) in excess of £260 per annum. A further provision allows of an extra payment, not exceeding £182 per annum, to a male recipient when his wife is ineligible for any benefit under the Act. This is payable only up to a limit of the total income of the couple plus benefit of £442 per annum.

For the above purposes, income is deemed not to include amounts received by way of war disablement pension or basic war widow's pension.

Age beneficiaries are entitled to surrender their benefits while their earnings are excessive and to apply for reinstatement immediately the employment ceases. The earnings received during the period that both husband and wife were not in receipt of age benefits are not taken into account.

An age beneficiary on attaining the age of sixty-five years is entitled to an increase in his allowable income of £6 10s. per annum for each complete year between the ages of sixty and sixty-five years during which he did not receive the benefit but was otherwise eligible so to do. The maximum allowable income under this provision is £110 10s. per annum. Appropriate adjustments are made to apply the same provision to a beneficiary whose benefit is reduced by reason of accumulated property, so as to place him in an equivalent position—i.e., the amount of reduction may be diminished by £6 10s. for each year of deferment.

During 1953–54, 3,407 beneficiaries received additional benefit for the first time on account of the deferment concession. The periods of deferment were: one year, 288; two years, 370; three years, 386; four years, 372; and five or more years, 1991.

In computing the allowable income of any female beneficiary or the wife of any beneficiary no account is taken of her personal earnings from domestic service in a private home up to £78 per year.

A special allowance not exceeding £13 13s. per annum may be paid to any person in receipt of an age benefit who served as a member of a New Zealand contingent in connection with the South African War or in any of Her Majesty's Forces in that war if he had been born in New Zealand or was domiciled therein at the commencement of the war: Provided that an allowance shall not be granted under this section of such an amount that the total amount from all sources (including the value of any benefits in kind) received by the beneficiary in any year shall exceed the sum of £260.

The Commission may also, in its discretion, increase by an amount not exceeding £26 per annum the rate of any benefit under Part II of the Act (including the age benefit) payable to any beneficiary who was one of the parents of a deceased member of any of Her Majesty's Forces established in New Zealand whose death was attributable to service with the Forces. Similar powers exist in respect of a parent of a deceased member of the New Zealand Mercantile Marine whose death was attributable to the Second World War. The provision also covers from 1 April 1949 the case of a deceased member of any Force or of the Mercantile Marine of any part of the British Commonwealth other than New Zealand who was domiciled in New Zealand at the commencement of the Second World War and whose death was directly attributable to that war. At 31 March 1954 there were 2,236 of these allowances in force, an increase of 143 over the corresponding 1953 total.

In addition to the deductions on account of income set out above, the rate of the benefit is reduced by £1 for every £15 of capital value of accumulated property in excess of £500. The accumulated property of a husband or wife for this purpose is half of the total accumulated property of both.

In computing the capital value of property no account is taken of the following, but any income derived therefrom is charged as income:—

  1. Any interest in land or house property, or mortgage or other encumbrance over such property:

  2. Any interest in any annuity or in any policy of life assurance:

  3. Any furniture used in the home of the applicant or any personal effects belonging to the applicant.

Income from a property and the value of the same property are not both charged to reduce the age benefit—e.g., if shares worth £600 produce an income of £30 per annum, either the value of the shares or the income therefrom may be charged, whichever method provides for the greater reduction.

Where an applicant for an age benefit is totally blind the rate of the benefit, together with any benefits and allowances payable to or in respect of the wife or husband of the applicant, is not to be less than the total of benefits and allowances that would have been paid if the applicant had been eligible for an invalid's benefit.

The number of age benefits in force at 31 March 1954 was 122,205, a decrease of 899 from the figure at the end of March 1953. The 1954 total was inclusive of 6,456 husbands receiving benefits on account of dependent wives who were not eligible for benefits in their own right, and of 333 males receiving the additional allowance of £13 13s. per annum paid to veterans of the South African War. Expenditure on age benefits increased from £19,091,303 in 1952–53 to £19,922,234 in 1953–54.

The following table shows the estimated age distribution of (a) persons who were granted new age benefits during the calendar year 1953 (including transfers from widows' and invalids' benefits), and (b) total age beneficiaries at 31 December 1953.

Age, in YearsPersons Granted New Age Benefits During 1953Total Age Beneficiaries at 31 December 1953
MalesFemalesTotalMalesFemalesTotal

* The majority of persons granted new age benefits at age sixty have attained the age of sixty-one years by the following 31 December, this serving to account for the smaller numbers in the second portion of the table for age sixty.

60*1,0102,3603,3705821,4252,007
612903706609272,3313,258
622502605101,2183,1024,320
632202204401,5403,4164,956
642102504601,8423,5315,373
    Totals, 60–641,9803,4605,4406,10913,80519,914
65–698906601,55012,59519,89532,490
70–7455041096013,50117,92731,428
75 and over22020042015,97322,45238,425
    Totals3,6404,7308,37048,17874,079122,257

Widows' Benefits.—Every widow who is the mother of one or more children under sixteen years of age is entitled to a benefit in respect of widowhood. In addition, any widow not being the mother of children under sixteen years of age who satisfies the following conditions is also entitled to the benefit:—

  1. A widow who has had one or more children, provided that the duration of her marriage was not less than fifteen years or, in the alternative, that the aggregate of the period of the duration of her marriage and any subsequent period during which she had the care of at least one of her children under sixteen years of age was not less than fifteen years:

  2. A widow who, on the expiration of not less than five years after the date of her marriage, became a widow after she attained the age of fifty years:

  3. A widow of not less than fifty years of age who became a widow after she had attained the age of forty years, provided that the duration of her marriage was not less than ten years and that not less than fifteen years have expired since the date of her marriage.

It will be noted that no widow under fifty years of age who has not had one or more children can qualify for the benefit.

Provision is also made for other classes of women (not being widows) to receive benefits as if they were widows. Particulars are as follows:—

  1. Any married woman who satisfies the Commission that she has been deserted by her husband and that she has taken proceedings against him for a maintenance order under the Destitute Persons Act 1910. Either the beneficiary or the Commission may institute and prosecute proceedings for the enforcement of the order, or for an order cancelling, varying, or suspending the maintenance order. Any moneys paid by a husband, whether by way of maintenance order or otherwise, are set off against any benefit so granted. Benefits for deserted wives may be continued after divorce:

  2. Any married woman in respect of whose husband a reception order is in force under the Mental Defectives Act 1911 (whether or not he is detained in an institution under the Act), or whose husband is for the time being detained in an institution under that Act, whether as a voluntary boarder or otherwise.

The two paragraphs which follow also apply in such cases, reference to the date of death being deemed to be reference to date of desertion by the husband or to the making of a reception order.

Except in the case of widows with one or more children under sixteen years of age, no widow is entitled to receive a widow's benefit unless she and her husband were both resident in New Zealand for not less than three years immediately preceding the death of the husband or, unless either of them, being ordinarily resident in New Zealand at the date of the husband's death, has resided continuously in New Zealand for not less than five years.

The term “children" does not include any child born out of New Zealand unless at least one of the following conditions is satisfied—namely, that—

  1. The mother of the child was only temporarily out of New Zealand at the time of its birth; or

  2. Both parents were resident in New Zealand for the three years immediately preceding the date of the death of the husband of the applicant; or

  3. One of the parents, being ordinarily resident in New Zealand at the date of the husband's death, has resided continuously in New Zealand for not less than five years.

The term “child" includes a step-child or a child adopted during the lifetime of the husband of the applicant (in cases where the husband is dead) or adopted while the husband and wife were living together (in cases of desertion, etc.). It may also (at the discretion of the Commission) include any child who is being maintained by the applicant or was at any time maintained by the husband of the applicant.

No woman shall be entitled to receive a widow's benefit unless the Commission is satisfied that she is of good moral character and sober habits.

The rate of widow's benefit payable is £182 per annum.

In addition to the benefit payable to a widow with a dependent child under sixteen years of age, she is entitled to receive a mother's allowance at the rate of £123 10s. per annum. The rate of mother's allowance for a widow with two or more dependent children is £149 10s. per annum.

Any income received, exclusive of war disablement or basic war widow's pension, is taken into account in computing the benefit payable, and where such income exceeds £78 the annual rate of benefit is reduced by £1 for every complete £1 of such excess. The maximum of income plus benefit in the case of a widow with a dependent child is £383 10s. per annum, with two or more dependent children is £409 10s. per annum, and in the case of a widow without dependent children £260 per annum. A widow with dependent children will, of course, receive in addition the universal family benefit of 10s. per week for each child.

The provision relating to the allowable income of £78 per year gained from domestic service in a private home without affecting the amount of the benefit payable to women age-beneficiaries also applies to widows' benefits.

Where there are no dependent children, the benefit of widows attaining the age of sixty years is also reducible by £1 for every complete £15 of the accumulated property in excess of £500 computed as if she were an applicant for age benefit. Widows' benefits cease on remarriage.

At 31 March 1954 there were 12,072 benefits in force, an increase of 46 during the year. Expenditure totalled £2,323,835 in 1953–54, compared with £2,157,115 in 1952–53. Offset against these amounts were the sums of £77,652 and £78,429 respectively, being recoveries of maintenance from defaulting husbands.

The following table affords an analysis of widows' benefits in force at 31 March 1954.

With Dependent ChildrenWithout Dependent ChildrenTotal
Widows3,8627,14911,011
Deserted wives586380966
Wives of mental hospital patients534295
    Totals4,5017,57112,072

Orphans' Benefits.—A benefit in respect of complete orphanhood is payable in the case of a child under sixteen years of age who was born in New Zealand or whose last surviving parent was resident in New Zealand for a period of not less than three years preceding the date of his or her death. A step-child or an adopted child comes within the definition of the term, and payment may be made to any person for the time being having the care and control of the child. No payment is made on account of any orphan maintained in a State institution, but payment may be made to the governing bodies of homes and orphanages of religious or other organizations.

The amount payable as an orphan's benefit is limited to a maximum of £84 10s. per annum less any income received by or for the benefit of the orphan, but a lesser amount may be granted if it is considered that the circumstances of the case warrant it. In any case where the benefit of the orphan falls below £26 per annum application may be made for a family benefit of 10s. a week in lieu of orphan's benefit. For the purpose of assisting in the further education of any child, the Commission may grant or continue the benefit until the end of the year in which the child reaches the age of eighteen years.

The number of benefits in force at the end of March 1954 was 302 (in respect of 404 children), a decline of 12 during the year. Expenditure decreased from £35,404 in 1952–53 to £27,583 in 1953–54.

Family Benefits.—As from 1 April 1946 the father or mother of any child or children under sixteen years of age may apply for a family benefit, irrespective of the income or property of the parents or children. Prior to 1 April 1946 family benefits were payable subject to a means test.

The rate of the benefit is 10s. per week for each child, and in every case is paid to the mother of the children, unless in special circumstances the Commission considers that it should be paid to the father or to some other person for the benefit of the children.

If a beneficiary in receipt of an age or other monetary benefit is the parent of dependent children, payment in respect of the children is made by way of a separate family benefit.

The term “children" includes step-children and adopted children, but does not include—

  1. Any child who has attained the age of sixteen years unless such child is continuing its education as a full-time day pupil at a school or college, in which case the Commission may grant or continue the benefit until the end of the year in which it reaches the age of eighteen years.

  2. Any child who is not in fact maintained as a member of the family of the applicant.

  3. Any child in respect of whom any other benefit is payable under the Act.

The Commission may regard as a member of the applicant's family any child who, although not a child of the applicant, is being maintained as a member of the family. A benefit may also be continued beyond the age of sixteen years in respect of any child who is totally incapacitated from earning a living by reason of some physical or mental defect.

In order to qualify for a family benefit at least one of the following conditions must be satisfied, namely—

  1. The child was born in New Zealand.

  2. The mother of the child was only temporarily absent from New Zealand at the time of its birth.

  3. The Commission is satisfied that the child is likely to remain permanently in New Zealand.

  4. The child has resided continuously in New Zealand for not less than twelve months.

A benefit is not payable in respect of any child committed to the care of the Child Welfare Division of the Department of Education nor in respect of any child residing in an institution under the care of the Division of Mental Hygiene of the Department of Health. Family benefits are, however, paid to children of a member of any of Her Majesty's Naval, Military, or Air Forces.

A family benefit may be paid in cash, to the credit of the Post Office Savings Bank account of the mother, or to the Commissioner of Inland Revenue to meet the income tax payments of the mother or father. The number of family benefits being paid to Post Office Savings Bank accounts increased from 91,772 at 31 March 1953 to 105,301 at 31 March 1954, and the amount lodged increased from £5,140,816 to £5,381,218. The number of benefits wholly or partly diverted in payment of income tax continued to fall, from 3,434 at March 1953 to 3,212 at March 1954, the amount paid in the earlier year being £148,393, as compared with £148,278 during 1953–54.

The total number of benefits in force at 31 March 1954 was 290,480, covering 671,523 children, compared with the corresponding figures of 280,747 and 643,557 at 31 March 1953. Included in the 1953–54 total of children were 10,169 pupils and 86 incapacitated minors over the age of sixteen years. Expenditure increased from £16,854,261 in 1952–53 to £17,618,581 in 1953–54.

The next table gives the number of family benefits in force at the end of March 1953 and 1954, classified according to the number of children receiving the benefit in each case.

Number of Children Receiving Benefit in Each CaseNumber of Benefits at 31 March 1953Number of Benefits at 31 March 1954
195,08796,217
289,46192,465
352,31655,474
424,48226,038
510,19610,615
64,6104,970
72,3342,390
81,1881,217
9619625
10 or over454469
    Totals280,747290,480

The average number of children per family in respect of whom benefit was paid was 2.13 in 1946–47, 2.25 in 1950–51, 2.27 in 1951–52, 2.30 in 1952–53, and 2.31 in 1953–54.

Invalids' Benefits.—Subject to certain residential and other qualifications, every person of the age of sixteen years and upwards who is not qualified to receive an age benefit is entitled to an invalid's benefit if he—

  1. Is totally blind; or

  2. Is permanently incapacitated for work as the result of an accident or by reason of illness or of any congenital defect.

The other qualifications referred to are as follows:—

  1. That he has resided continuously in New Zealand for a period of not less than ten years immediately preceding the date of his application. Continuity of residence is not deemed to be interrupted where the total period of absence does not exceed twelve months, or does not exceed twelve months by more than one month for every year of residence in New Zealand in excess of ten years, if the applicant has been actually resident in New Zealand for the twelve months immediately preceding the date of his application. In the case of a totally blind person continuous residence is not deemed to be interrupted by absence for the purpose of vocational training or for treatment in respect of the eyes, or in other cases by any period of absence for the purpose of obtaining any special surgical treatment, if the Commission is satisfied that there were good and sufficient reasons for leaving New Zealand to obtain such special treatment.

  2. In the case of an applicant in respect of blindness, that he was born in New Zealand or became blind while permanently resident in New Zealand. In the case of every other applicant, that he was born in New Zealand with the condition to which his incapacity for work is attributable, or that he became incapacitated for work by reason of an accident happening in New Zealand or by reason of illness contracted in New Zealand. These restrictions do not apply to any applicant who was actually resident in New Zealand on 4 September 1936 (the date of the passing of the Pensions Amendment Act 1936, which first made provision for invalidity pensions other than for blindness), or to any person becoming resident in New Zealand after that date, who has resided continuously in New Zealand for not less than twenty years immediately preceding the date of his application for a benefit.

  3. That incapacity for work was not self-induced or in any way brought about with a view to qualifying for an invalidity benefit.

  4. Applicant must be of good moral character and sober habits.

Provision is made for a medical examination, when necessary, to determine the extent of incapacity. In the event of an application being declined on medical grounds, the applicant has the right of appeal, within three months after the decision of the Commission has been communicated to him, to a Board of three medical practitioners nominated by the Department. An invalid's benefit may be paid in respect of a period of absence from New Zealand not exceeding two years in the aggregate, if the Commission is satisfied that such absence was for the purpose of obtaining any special medical or surgical treatment, or in the case of blindness, for the purpose of undertaking vocational training or treatment in respect of the eyes.

The prescribed rates for invalids' benefits, together with the amounts of allowable income, exclusive of war disablement or basic war widows' pensions, are as follows.

Class of PersonRate of BenefitAllowable Income
WeeklyYearlyWeeklyYearly
 £s.d.£s.d.£s.d.£s.d.
Single, under twenty years217614910011007800
Widower with dependent children31001820011007800
Married man31001820011007800
Wife310018200
Married woman31001820050026000
All other persons31001820011007800

As in the case of other benefits, dependent children are paid for by way of the family benefit at 10s. per week each.

In each case the amount of the benefit is reduced by £1 for every complete £1 of income, exclusive of war disablement or basic war widow's pension, in excess of the amounts stated as allowable. Deductions on account of property are the same as for age benefits, which are described under a previous heading. In computing the income for any blind person no account is taken of personal earnings up to £156 per annum. In addition, personal earnings of such blind persons are subsidized to the extent of 25 per cent so long as the total income, including any benefit received, does not exceed £364 per annum. The maximum invalid's benefit payable plus allowable income is £442 per annum, while in the case of a blind person the maximum is £598.

Where an applicant is a married woman and, by reason of incapacity, necessary nursing or domestic assistance is required to be paid for, the Commission may increase the rate of any benefit which may have been reduced on account of income or property to an amount not in excess of £182 a year, but so that the total income of applicant and husband, inclusive of the benefit, does not exceed £10 10s. per week.

Any person in receipt of an invalid's benefit who, on the attainment of age sixty, becomes entitled to receive an age benefit is required to relinquish his invalid's benefit and is granted an age benefit in lieu thereof, but the aggregate amount payable for a blind beneficiary and his wife (if any) is not altered by this transfer.

Of the 832 new benefits granted in 1953 the marital status of the recipients was—single 399, married 284, widowed 37, and divorced, separated, etc., 112. By far the greatest number were aged 50 or over, 429; the numbers for other age groups being as follows: under 20 years, 114; 20 and under 40 years, 129; and 40 years and under 50, 160.

Invalids' benefits in force at 31 March 1954 numbered 8,194, a decrease of 63 on the March 1953 figure, while expenditure rose from £1,416,561 in 1952–53 to £1,488,425 in 1953–54.

Miners' Benefits.—Subject to the qualifications set out hereunder, a miner's benefit is payable to any person who, while engaged as a miner in New Zealand, contracted miner's phthisis and is thereby permanently and seriously incapacitated for work, or to any person who contracted, while engaged as a miner in New Zealand, any other occupational or heart disease and is thereby permanently and totally incapacitated for work. The term “miner's phthisis” means pneumoconiosis and includes tuberculosis of the lungs or any other disease of the respiratory organs commonly associated with, or a sequel to, pneumoconiosis. The necessary qualifications are—

  1. Employment as a miner in New Zealand for not less than two and a half years:

  2. Continuous residence in New Zealand for not less than five years immediately preceding the date of his application for a benefit. Continuity of residence is not deemed to have been interrupted by occasional absences aggregating not more than six months:

  3. Good moral character and sober habits and must not have deserted or wilfully failed to provide for his wife and children during the period of five years immediately preceding the date of application:

  4. That compensation under the Workers' Compensation Act in respect of the same disability is not being received.

The rates of miners' benefits are £3 10s. per week or £182 per annum, increased by £3 10s. per week, or £182 per annum, for a wife. Dependent children under sixteen years are paid for by way of family benefit at the rate of 10s. per week each.

There is no reduction in the benefit on account of the income or property of the applicant and/or his wife.

Provision is made for medical examination where necessary to determine whether the applicant is permanently incapacitated for work, or the extent of his incapacity.

A special provision is made for the payment from the Social Security Fund of a reasonable contribution towards the funeral expenses of any person who dies while in receipt of a miner's benefit. The amount to be paid is at the discretion of the Commission.

If a person in receipt of a miner's benefit dies leaving a widow, such widow is entitled to a benefit of £2 17s. 6d. per week, or £149 10s. per annum, during widowhood. This benefit is payable regardless of the circumstances of the widow, her income or property not being considered in the granting of a benefit.

Payment of benefits is not affected by a period of absence from New Zealand not exceeding two years in the aggregate.

Miners' benefits in force at 31 March 1954 numbered 508, 20 fewer than at the corresponding date in 1953. During 1953–54 the expenditure on this class of benefit was £123,547, compared with £121,636 in 1952–53.

Unemployment Benefits.—Subject to the conditions set out below, every person over the age of sixteen years who is not qualified to receive an age benefit is entitled to a benefit in respect of unemployment. An applicant is required to satisfy the Commission in respect of the following:—

  1. That he is unemployed:

  2. That he is capable of undertaking and is willing to undertake suitable work:

  3. That he has taken reasonable steps to obtain suitable employment:

  4. That he has resided continuously in New Zealand for not less than twelve months.

An unemployment benefit is not payable in respect of the first seven days of any period of unemployment, except in special circumstances. In addition, the Commission may postpone, for a period not exceeding six weeks, the commencement of the benefit, or it may terminate the benefit in any of the following circumstances:—

  1. If the applicant has voluntarily become unemployed without good and sufficient reason:

  2. If the applicant has lost his employment by reason of any misconduct as a worker:

  3. If the applicant or beneficiary has refused or failed, without a good and sufficient reason, to accept any offer of suitable employment:

  4. In the case of a seasonal worker, if his earnings for the season are sufficient for the maintenance of himself and his family notwithstanding a period of temporary unemployment.

Unemployment benefits are payable in accordance with the following scale.

 Weekly Benefit
 £s.d.
To applicants sixteen and under twenty years without dependants276
To all other applicants3100
In respect of the applicant's wife3100

Dependent children are paid for by way of family benefit at the rate of 10s. per week each.

The benefit is payable so long as the beneficiary is unemployed or until he becomes eligible to receive another class of benefit, other than a family benefit—e.g., an age benefit.

A married woman is entitled to receive the benefit only if her husband is unable to maintain her. If a beneficiary is not receiving a benefit in respect of a wife, an allowance may be made in respect of any person who has the care of his home.

The foregoing rates of benefits may be reduced, having regard to the income received or the property owned by the applicant or his wife.

The number of applications for unemployment benefits dealt with during the years ended 31 March 1953 and 1954 were 199 and 265 respectively, 125 persons being granted a benefit in 1952–53, and 189 in 1953–54. At the end of March 1954, 17 benefits were in force, compared with 15 at the end of the previous year. Expenditure for the year 1953–54 amounted to £6,575, as against £3,187 in 1952–53.

Sickness Benefits.—Every person over the age of sixteen years who has resided continuously in New Zealand for not less than twelve months and who satisfies the Commission that he is temporarily incapacitated for work through sickness or accident, and that by reason thereof he has suffered a loss of salary, wages, or other earnings, is entitled to a sickness benefit. The amount of the benefit is limited to the amount by which the weekly earnings of the applicant have been reduced by reason of his incapacity or to a maximum of £7 a week payable to a man and his wife. Where a person is engaged in business on his own account and by reason of sickness or accident is obliged to employ a substitute during the period of incapacity, the remuneration paid to the substitute is regarded as loss of earnings. Every application for a benefit must be supported by a medical certificate, and no benefit is payable for the first seven days of incapacity except under special circumstances.

A married woman shall be entitled to receive a benefit under this section only if the Commission is satisfied that her husband is unable to maintain her.

Subject to the foregoing remarks concerning amount of benefit, the rates of sickness benefits shall be computed as follows:—

  1. In the case of an applicant under twenty years of age without dependants, the benefit shall be at the rate of £2 7s. 6d. a week.

  2. In every other case the benefit shall be at the rate of £3 10s. a week, increased (in the case of an applicant with a wife) by £3 10s. a week in respect of his wife.

Any applicant who is maintaining a home and who is not drawing a benefit in respect of a wife, may receive a benefit at a rate not exceeding that for a wife, in respect of any person who has the care of his home.

Dependent children are paid for by way of family benefit.

The rate of benefit computed as aforesaid is reduced by 1s. for every complete shilling of the total income, exclusive of war disablement or basic war widows' pensions, of the applicant and of his wife or her husband, as the case may be, in excess of £1 10s. a week or, in any case where the applicant or his wife or her husband, as the case may be, is in receipt of a sick benefit from a friendly society or a like benefit from any other source, in excess of £2 10s. a week.

The number of applications for sickness benefits dealt with during the years ended 31 March 1953 and 1954 were 29,350 and 27,388 respectively. The number of persons granted sickness benefits was 26,741 in 1952–53 and 25,173 in 1953–54. Benefits in force at 31 March 1954 totalled 4,395, compared with 4,376 at the end of March 1953. Total expenditure for 1953–54 amounted to £1,086,241, an increase of £24,065 on the 1952–53 figure.

In the following table sickness benefits which ceased during the year ended 31 March 1954 are shown according to the duration of the sickness benefit.

Duration of Sickness Benefit (Weeks)Number of Benefits
MalesFemalesTotal
1–46,7701,4538,223
5–126,7631,8188,581
13–252,4729303,402
26–521,2194631,682
53 and over682272954
    Totals17,9064,93622,842

The following table gives a classification of sickness benefits according to the disease suffered by the beneficiary. The data are estimates based on 89 per cent of the benefits which ceased during the calendar year 1953.

Disease or InjuryMalesFemales
Infective and Parasitic Diseases  
  Tuberculosis of the respiratory system583247
  Tuberculosis, other forms10138
  Mumps779
  Infectious hepatitis29155
  Typhoid fever203
  Undulant fever203
  Scarlet fever1912
  Poliomyelitis10544
  Measles2522
  Chicken pox9423
  Herpes zoster9621
  Other21772
Neoplasms  
  Malignant neoplasms10930
  Neoplasms of lymphatic and haematopoietic tissues313
  Benign neoplasms9291
  Neoplasms of unspecified nature10733
Allergic, Endocrine System, Metabolic, and Nutritional Diseases  
  Asthma21666
  Other allergic disorders226
  Diseases of the thyroid gland5356
  Diabetes mellitus8212
  Diseases of other endocrine glands35
  Avitaminoses and other metabolic diseases585
Diseases of the Blood and Blood-forming Organs  
  Anaemia3450
  Other diseases of the blood and blood-forming organs215
Mental, Psychoneurotic, and Personality Disorders  
  Psychoses10031
  Psychoneurotic disorders541410
  Disorders of character, behaviour, and intelligence206
Diseases of the Nervous System and Sense Organs  
  Vascular lesions affecting, and inflammatory and other diseases of, the central nervous system31175
  Diseases of nerves and peripheral ganglia, excluding sciatica9319
  Sciatica14114
  Diseases of the eye18434
  Diseases of ear and mastoid process11129
Diseases of the Circulatory System  
  Rheumatic fever10027
  Chronic rheumatic, arteriosclerotic, degenerative, and other diseases of the heart68549
  Hypertensive disease14157
  Varicose veins and haemorrhoids47657
  Other diseases of the circulatory system13142
Diseases of the Respiratory System  
  Acute upper respiratory infections279103
  Influenza507121
  Pneumonia60174
  Bronchitis53092
  Hypertrophy of tonsils and adenoids5753
  Chronic sinusitis9525
  Pleurisy16132
  Bronchiectasis3219
  Other diseases of the respiratory system21828
Diseases of the Digestive System  
  Diseases of buccal cavity and oesophagus4921
  Diseases of stomach and duodenum78460
  Appendicitis771336
  Hernia of abdominal cavity65421
  Other diseases of intestines and peritoneum31397
  Diseases of liver, gallbladder, and pancreas22797
Diseases of the Genito-urinary System  
  Nephritis and nephrosis15720
  Other diseases of urinary system19280
  Diseases of the genital organs209171
Deliveries and Complications of Pregnancy  
  Childbirth and puerperium..464
Diseases of the Skin and Cellular Tissue  
  Infections of skin and subcutaneous tissue31652
  Eczema6324
  Dermatitis27671
  Chronic ulcer of skin7414
  Other diseases of the skin and subcutaneous tissue8430
Diseases of Bones and Organs of Movement  
  Arthritis and rheumatism, except rheumatic fever817192
  Osteomyelitis and other diseases of bones and joints55682
  Other diseases of musculoskeletal system18888
Congenital Malformations  
  Congenital malformations6526
Symptoms, Senility, and Ill-defined Conditions  
  Symptoms referable to systems and organs513110
  Senility and ill-defined diseases228159
Accidents, Poisonings, and Violence (Nature of Injury)  
  Fractures1,637166
  Dislocation without fracture18921
  Sprains and strains34778
  Burns8518
  Poisonings12..
  Head injury (excluding skull fractures)20629
  Laceration and open wound of upper limb24110
  Laceration and open wound of lower limb10821
  Contusion and crushing with intact skin surface10615
  Other unspecified injuries and reactions44955
    Totals17,9064,936

Emergency Benefits.—An emergency benefit may be granted by the Commission on the grounds of hardship to any person who by reason of age, physical or mental disability, domestic circumstances, or any other reason is unable to earn a sufficient livelihood for himself and those dependent on him and is ineligible for any other monetary benefit.

The amount of the emergency benefit is at the discretion of the Commission, which fixes as nearly as possible an amount equal to that payable for the type of benefit for which the applicant most closely qualifies.

Emergency benefits in force at 31 March 1954 numbered 2,230, compared with last year's figure of 2,248. Expenditure in the 1953–54 year amounted to £366,558 and in 1952–53 to £340,625.

Special Assistance.—In November 1951 the Social Security Special Assistance Fund was established to provide special financial assistance to social security beneficiaries and others in need. Assistance is granted where applicants have special commitments which cannot be met out of current income, have insufficient other means available to them, and where there is no possibility of their helping themselves. Welfare and other organizations have been encouraged to assist in bringing these funds to the knowledge of persons who might qualify, and departmental literature has included information on the purpose of the Fund.

In the 1953–54 year, 5,474 applications for assistance were granted, expenditure totalling £102,329, compared with 1,708 grants totalling £21,287 in 1952–53. There were 2,687 grants in force at 31 March 1954.

Domestic Concession.—From 1 October 1950, female social security beneficiaries or the wives of social security beneficiaries have been allowed, in addition to the ordinary income exemption of £78 per annum, an income from domestic employment in a private home without reduction in their benefits of up to £78 per annum. During the year 1953–54, 496 applications were received, of which 484 were granted, while at 31 March 1954 there were 679 concessions in force, compared with 527 at the end of March 1953.

Reciprocal Benefits.—The Social Security (Reciprocity with Australia) Act 1948, which repealed the Age Benefits and Invalids' Benefits (Reciprocity with Australia) Act 1943, is designed to provide for reciprocity in relation to a wide range of benefits between New Zealand and the Commonwealth of Australia. The Act came into force on 1 July 1949. A similar Act was passed in Australia and came into force on the same date.

Part II of the Act covers the case of former residents of Australia and applies to any person who, having at any time resided in Australia, is permanently resident in New Zealand inasmuch as he either satisfies the Commission that he is so permanently resident or has been in continuous residence in New Zealand for not less than six months (unless in this case the appropriate authorities in both countries agree that the residence is not to be regarded as permanent).

For the purpose of any application for a benefit in respect of a person covered by this Act, residence in Australia or birth in Australia will be regarded as residence or birth in this country.

Applicants for age, invalids', or widows' benefits must be qualified on residential grounds to receive the corresponding pensions under the Social Services Act (Australia) as if their residence in New Zealand had been residence in Australia. No male person is entitled to receive an age benefit unless he has attained the age of sixty-five years. The Act also provides that the Commission shall treat blindness or permanent incapacity for work occurring in Australia as if it had occurred in New Zealand.

Part III of the Act deals with persons who, although ordinarily resident in New Zealand, are temporarily resident in Australia. Such residence is not a disqualification for a benefit. Benefits may be applied for and paid in Australia, although the Commission may, in its discretion, postpone payment of the whole or any part of the benefit until the return of the beneficiary to New Zealand.

The appropriate reciprocal provisions made in respect of Australia are contained in the Schedule to the Act.

Reciprocity exists in respect of the following classes of pensions, allowances, endowments, and benefits under the respective Acts governing social security provisions:—

  1. Age pensions and age benefits.

  2. Invalid pensions (including wives' and children's allowances) and invalids' benefits.

  3. Widows' pensions and widows' benefits.

  4. Child endowment and family benefits.

  5. Unemployment and sickness benefits.

The total reciprocal benefits in force in New Zealand as at 31 March 1954 numbered 456, as compared with 414 at 31 March 1953

As mentioned earlier, reciprocity in respect of family benefits between New Zealand and Great Britain and Northern Ireland was provided for by legislation during 1948, reciprocal family benefits in force at 31 March 1954 numbering 26, compared with the 1953 figure of 13. The Social Security Amendment Act 1951 contained a provision that a family benefit may be paid in respect of a child immediately on arrival in New Zealand if the Commission is satisfied that the child is likely to remain permanently in New Zealand. The fall in reciprocal family benefits from the 1952 figure of 787 is therefore accounted for by the substitution in most cases of ordinary family benefits.

MEDICAL, HOSPITAL, AND OTHER RELATED BENEFITS.—The part of the Act dealing with medical and like benefits is of general application to all persons ordinarily resident in New Zealand, and makes provision for medical, pharmaceutical, hospital, maternity, and other related benefits. The Act provided that the various benefits should be available on and after 1 April 1939 or, if for any reason arrangements for the effective administration of benefits of any of the prescribed classes could not be completed before that date, such benefits should be available on or after such later date as might be determined by the Minister (being the earliest possible date on which arrangements for their effective administration could be brought into operation).

The Act also gives authority for the inauguration of supplementary benefits as and when the occasion for providing such benefits arises. Among the supplementary benefits contemplated were specialist and consultant services, radiological services, dental services, home nursing services, and domestic assistance. All of these benefits have been introduced and are referred to under their respective headings.

Medical Benefits.—Under the provisions contained in the Act every person is entitled to such medical treatment as is ordinarily given by medical practitioners in the course of a general practice. Certain services are excluded, the principal of these being as follows:—

  1. The administration of anaesthetics:

  2. Medical services afforded in relation to maternity cases. (These services are covered by maternity benefits and are described under a later heading):

  3. Medical services involved in any medical examination of which the sole or primary purpose is the obtaining of a medical certificate:

  4. Medical services involved in the treatment of any venereal disease in a communicable form. (Treatment in this connection is provided for under the Health Act 1920):

  5. Medical services involved in or incidental to the extraction of teeth by a medical practitioner:

  6. Medical services in respect of which fees are payable under the Social Security (X-ray Diagnostic Services) Regulations 1941, Social Security (Physiotherapy Benefits) Regulations 1951, and Social Security (Laboratory Diagnostic Services) Regulations 1946—see later headings:

  7. Medical services afforded by means of advice given by telephone, telegram, or letter except under circumstances specifically approved by the Director-General of Health, and medical services not afforded by a medical practitioner in person.

The principal Act provided that a registered medical practitioner who wished to come within the scope of the scheme was required to enter into a contract with the Minister, and regulations issued on 19 February 1941 prescribed the procedure in connection with the initiation of the scheme, the classes of benefits that were to be provided, the obligations of practitioners who undertook to operate the scheme, and the rates of remuneration payable to them. A person entitled to receive medical benefits was required to make application on the prescribed form, which he then presented to the medical practitioner of his choice. If the practitioner was willing to provide the necessary services for the person named in the form, he completed an agreement as between the applicant and himself by attaching his signature thereto. These completed agreements formed the basis of the practitioner's list of patients, for each of whom he was entitled to receive from the Social Security Fund a capitation fee at the rate of 15s. per annum, plus mileage fees in certain circumstances. This scheme came into operation on 1 March 1941.

An important change in principle was made by the Social Security Amendment Act 1941, which provided an alternative to the capitation scheme. This amendment, which came into force on 1 November 1941, and which was subsequently modified by the 1949 amendment to the principal Act, provides that every medical practitioner who renders any of the prescribed services shall be entitled to receive from the Social Security Fund a reasonable fee not exceeding 7s. 6d. for every occasion on which any such service is provided. Mileage fees are also provided for in certain cases. Regulations which came into force from 1 September 1950, and revoked the Social Security (General Medical Services) Regulations 1941, stipulate that where the practitioner is called upon to provide, in response to an urgent request, services on a Sunday or holiday, or between the hours of 8 p.m. and 8 a.m., the appropriate fee shall be a reasonable one not exceeding 12s. 6d. The Act also provides that the practitioner, instead of claiming from the Fund the amount to which he is entitled under the Act, may receive payment from the patient. This refund system, by virtue of the 1949 amendment, is not to apply unless authority is given by the Council of the New Zealand Branch of the British Medical Association after consultation with the Minister or where the amount is recovered from a registered friendly society. In such cases the patient is entitled to recover from the Fund (such recovery being limited to the prescribed fee), and the practitioner is required to provide the necessary receipt to enable this to be done.

The 1949 amendment to the Social Security Act prohibited practice under the capitation system and fee for service system at the same time. This amendment also laid down conditions in respect of the right to recover fees from patients and for reference of accounts to the Divisional Disciplinary Committee appointed under the Medical Practitioners Amendment Act 1949. These provisions came into force as from 1 April 1950.

Pharmaceutical Benefits.—Persons claiming medical benefits are entitled to receive, without cost to themselves, all such medicines, drugs, approved appliances, and materials as are prescribed for their use by a medical practitioner in the course of providing any medical services under the Act. This class of benefits was introduced on 5 May 1941, regulations providing for them having been issued on 22 April 1941. Under these regulations the proprietor of any pharmacy within the meaning of the Pharmacy Act 1939, or any other person entitled to sell any drugs or pharmaceutical requirements, may be permitted to become a contractor under the scheme. The regulations stipulate that the Minister shall prepare a drug tariff, which shall contain particulars of maximum quantities, standards of quality, and prices of medicines, drugs, appliances, etc., that may be supplied and charged against the Fund. Hospital Boards are entitled to receive payment for pharmaceutical requirements supplied to outpatients, but not in respect of inpatients.

Hospital Benefits.—The Act provides for the payment to Hospital Boards and the proprietors of licensed hospitals and to other approved institutions (who have entered into contracts under the Act) of prescribed amounts in respect of hospital treatment afforded by them. The amount paid to a Hospital Board is in full satisfaction of its claim for the treatment of patients; in the case of licensed hospitals and other institutions the amount paid is in partial satisfaction of claims against the patients or other persons liable for the hospital charges.

These benefits came into force on 1 July 1939, and the present rates from 1 October 1954, which vary for different classes of hospitals defined by regulations, are as follows:—

  1. Where treatment has been afforded in a Class A hospital on not more than two days, the sum of £2 2s.:

  2. Where afforded in a Class A hospital on more than two days, the sum of £1 1s. for every day on which any treatment is afforded:

  3. For treatment in a Class B hospital, the sum of 18s. for each day:

Provided that the day of admission to hospital and day of discharge therefrom shall together be counted as one day.

Prior to 1 April 1943 the rates were 12s. and 6s. for (a) and (b) respectively and from then to October 1954, the corresponding rates were 18s. and 9s.

The Act also provides that in lieu of payment being made in respect of individual hospital patients the Minister may from time to time authorize the payment of a grant in respect of hospital treatment afforded in any private hospital or other approved institution.

In addition to the public hospitals and licensed private hospitals, there is another limited class of semi-public hospitals which, in accordance with the Act, has been approved for the purposes of hospital benefits. This class includes the Karitane Baby Hospitals (six), conducted by the Royal New Zealand Society for the Protection of Women and Children, more commonly known as the Plunket Society, and in addition a home for incurables operated under a charitable trust. Special rates were determined for these classes of hospital, and such payments must be accepted in full satisfaction of the claim of the institution authorities.

Hospital benefits are also available in respect of maintenance and treatment afforded to any inpatient of Queen Mary Neurological Hospital, Hanmer Springs, or of the Rotorua Sanatorium. The fees chargeable to patients of these institutions are reduced by 9s. per day, and corresponding payment is made from the Social Security Fund to the credit of the Departments controlling the institutions.

Regulations issued on 19 March 1941 (since replaced by the Social Security (Hospital Benefits for Outpatients) Regulations 1947) made provision for free treatment of outpatients at public hospitals. “Hospital treatment” in relation to an outpatient of any public hospital covers the supply of artificial aids, including contact lenses (introduced 1 June 1947), hearing aids (1 November 1947), and artificial limbs (1 April 1948), and all medical, surgical, or other treatment afforded by the staff of the hospital; but does not include dental treatment or services in respect of which fees are payable under specific Social Security Regulations (X-ray diagnostic services, laboratory diagnostic services) referred to under later headings. The amounts to be paid to Hospital Boards from the Social Security Fund for providing outpatient treatment are determined by the Minister and may not be less than one-half of the expenditure or liability incurred in providing the services.

Mental Hospitals.—The principal Act made provision for the treatment of patients in public mental hospitals without charge as from 1 April 1939. By section 10 of the Social Security Amendment Act 1939 a licensed (private) mental hospital may be recognized and approved by the Minister as a hospital for the purposes of the Act, and hospital benefits in respect of treatment therein are payable accordingly. All expenditure since 1 April 1945 in connection with public mental hospitals has been borne by the Consolidated Fund.

Maternity Benefits.—Maternity benefits include ante-natal and post-natal advice and treatment by medical practitioners, and the services of doctors and nurses at confinements in maternity hospitals or elsewhere.

These benefits came into force on 15 May 1939, but the maternity medical practitioner service was not in full operation until 1 October of that year. The principal Act required that medical practitioners, licensees of private hospitals, etc., and midwives and maternity nurses who wished to come within the scope of the scheme should enter into a contract with the Minister. While this provision remains in force in regard to hospitals and midwives and maternity nurses, the Social Security Amendment Act 1939 provides that any medical practitioner who renders medical services to a woman entitled to a maternity benefit is thereby entitled to receive certain prescribed fees from the Social Security Fund. The scale of fees, which may be fixed by agreement between the Minister and the New Zealand Branch of the British Medical Association, or in default of such agreement by a special tribunal, is intended to cover the usual services performed in maternity cases. The amount calculated in accordance with the scale of fees for the time being in force shall be accepted by the medical practitioner in full satisfaction of his claims in respect of the services for which payment is made, except in the case of a practitioner who is recognized as an obstetric specialist in accordance with the terms of the Act. Such a practitioner, in addition to the fees payable from the Social Security Fund, may recover additional fees from the patient.

The main provisions in regard to maternity benefits apart from the medical practitioner service are as follows:—

  1. State maternity (St. Helens) hospitals: No charge is made for any services in the St. Helens Hospitals.

  2. Public maternity hospitals or maternity wards under the control of Hospital Boards: Payment from Social Security Fund to Hospital Board—

    1. £1 10s. in respect of the day of birth of the child and for each of the succeeding fourteen days:

    2. A fee of £2 where any patient is actually attended during labour and at delivery by a medical officer employed by the Board.

      These amounts are to be regarded as in full settlement of all claims in respect of the maternity benefits afforded by the Board.

  3. Licensed (private) maternity hospitals: Licensees of licensed maternity hospitals who have entered into contracts under the Act are entitled to receive fees from the Social Security Fund at the same rate as stated in (2) (a) in regard to Hospital Boards. In some cases the licensee's contract requires him to accept such payment in full satisfaction of his claim in respect of the prescribed period, and in other cases he is permitted under his particular contract to make a specified additional charge on the patient.

  4. Midwives and maternity nurses: Approved midwives and maternity nurses who are in attendance in cases where confinement takes place other than in a maternity hospital are entitled to receive from the Fund fees at the rate of £1 for the day or days of labour (£2 in the case of midwives) and 13s. per day for each of the fourteen days succeeding the birth of the child or 5s. per day if a visiting obstetric nurse only. These amounts are to be regarded as in full satisfaction of a nurse's claims in respect of the nursing services.

X-ray Diagnostic Services.—The first of the supplementary benefits was introduced by the Social Security (X-ray Diagnostic Services) Regulations 1941, which came into operation on 11 August 1941. The benefits provided for by these regulations comprise the following:—

  1. The making of X-ray examinations with the aid of a fluorescent screen:

  2. The taking of X-ray photographs:

  3. The supply and administration of any drugs or other substances for the purposes of any such examination or photograph:

  4. The provision of medical services incidental to any such examination or photograph except medical services of a kind not ordinarily performed by radiologists as such:

  5. The provision of any other incidental services for the purposes of any such examinations or photographs.

X-ray photographs or X-ray examinations made or taken for dental purposes or for the purposes of life assurance are not included in the services that may be provided.

In order to be recognized as a radiologist for the purpose of the regulations a medical practitioner is required to make application to the Minister specifying his academic qualifications and professional experience, and also the nature of the apparatus or equipment in his possession or available for his use in the performance of radiological work. The Minister may give absolute or limited recognition or may refuse recognition. Absolute recognition covers all classes of X-ray diagnostic services, whereas limited recognition may exclude any specified class or classes of service, or may be restricted to certain specified classes of service. An amended scale of fees payable from the fund in respect of services rendered by recognized radiologists is prescribed in a schedule to the Social Security (X-ray Diagnostic Services) Regulations 1941, Amendment No. 1, issued on 28 January 1942. Where the service is rendered by a medical practitioner employed or engaged by a Hospital Board the prescribed fees are to be accepted by the Board in full settlement, but in other cases the amount of such fees is deducted from the amount charged to the patient, who is responsible for the balance, if any.

Physiotherapy Benefits.—The second supplementary benefit introduced concerns physiotherapy treatment by private physiotherapists, and commenced on 1 September 1942, the current regulations being the Social Security (Physiotherapy Benefits) Regulations 1951. The general arrangement for these benefits consists of contracts with registered physiotherapists under which they are paid from the Social Security Fund a fee of 3s. 6d. for each treatment and undertake not to charge the patient any additional fees in excess of 6s. 6d. for treatment afforded in their rooms or 11s. 6d. for treatment afforded elsewhere.

No physiotherapy treatment is recognized for the purpose of the benefits unless it is given on the recommendation of a medical practitioner, and not more than six weeks' treatment may be given on a single recommendation.

Specialist Services.—The Finance Act (No. 2) 1942 brought specialist services within the scope of the medical benefits. Specialist services are defined as “medical services that involve the application of special skill and experience of a degree or kind that general practitioners as a class cannot reasonably be expected to possess”. An amount not exceeding 7s. 6d. is payable from the Fund (by way of refund to the patient) in respect of every occasion on which any such services have been provided. The Social Security Amendment Act 1949 authorizes the making of regulations providing for benefits in respect of any class or classes of specialist medical services and for conditions governing the determination of a scale of fees.

Home-nursing Services.—Home-nursing services free of cost to the recipients were introduced by the Social Security (District Nursing Services) Regulations 1944, which stipulate that no charge may be made for district nursing services provided by any Department of State, Hospital Board, or subsidized association elsewhere than in a hospital or other institution. Provision is made for payment from the Social Security Fund to the Department of State, Hospital Board, or association providing district nursing services, of such amounts as the Minister of Health may determine, having regard to the costs incurred in providing such services. The commencement date was 1 September 1944.

Domestic Assistance.—The provision of monetary assistance to approved incorporated associations formed for the purpose of providing domestic assistance in homes, or whose objects include the provision of such assistance, is made by the Social Security (Domestic Assistance) Regulations 1944. Assistance in this connection (commenced 20 December 1944) is restricted by the regulations to the following classes:—

  1. Cases where there are one or more children under twelve years of age permanently residing in a home and the mother or other woman in charge of the home is wholly or partially incapacitated from undertaking her ordinary domestic duties by reason of pregnancy or maternity, or by reason of accident, sickness, etc.:

  2. Cases where there are three or more children under twelve years of age permanently residing in the home, and any member of the household requires special care and attention by reason of sickness or infirmity:

  3. Cases where all members of the household of an age or condition to help in the home are wholly or partially incapacitated from work by sickness or otherwise:

  4. Cases where lack of domestic assistance in the home is a cause of undue hardship.

The terms on which the services of a domestic assistant are provided are to be determined by agreement between the association and the householder, and the association is deemed to be the employer.

In fixing the amounts to be paid from the Social Security Fund to any association the Minister shall have regard to the expenses incurred in providing the services of domestic assistants, including expenditure incurred in the organization of any scheme of registration or enrolment or in the training of the assistants, and to the amounts recovered from the householders to whom assistance has been rendered.

Laboratory Diagnostic Services.—The benefits concerning laboratory diagnostic services came into operation on 1 April 1946, and comprise the supply of all materials or substances required for the purpose of providing laboratory diagnostic services, and the provision of medical services incidental to any laboratory diagnostic service, except medical services of a kind that are not ordinarily performed by pathologists as such, and the provision of any other incidental services for the purposes of laboratory diagnostic services.

The following services are not included:—

  1. Examination of specimens for public health.

  2. Post-mortem examinations.

  3. Laboratory services for dental purposes or for the purposes of life insurance.

  4. The preparation of sera and vaccines.

The schedule of fees payable from the Fund provides for two scales, one covering fees payable to Hospital Boards and the other covering fees payable to recognized pathologists. In each case the prescribed fee shall be accepted in full satisfaction in respect of the services provided.

Dental Services.—The Social Security (Dental Benefits) Regulations 1946 made provision for the introduction of free dental treatment as from a date to be appointed by the Minister. The regulations restricted the application of dental benefits to persons under nineteen years of age, and provided that they were to be introduced according to such age groups as the Minister may determine. These benefits commenced on 1 February 1947, and at present are confined to persons who, for the time being, are under sixteen years of age or were, in the last term of the immediately preceding calendar year, enrolled in a primary or intermediate school or department.

The regulations provide that the services may be provided—

  1. By a registered dentist or a State dental nurse in a State dental clinic; or

  2. By a contracting dentist pursuant to a contract under the regulations; or

  3. By a contracting authority in a dental department of a public hospital or in a dental school pursuant to a contract under the regulations.

A schedule to the regulations prescribes the nature of the benefits that may be provided and a scale of fees payable to contracting dentists and authorities in respect thereof.

Artificial Aids.—As stated earlier (page 195), the Social Security (Hospital Benefits for Outpatients) Regulations 1947 made provision for the supply of artificial aids, which term includes artificial limbs, hearing aids, contact lenses, and other appliances for the physical aid or relief of persons as the Minister may from time to time prescribe, either wholly or partly at the cost of the Social Security Fund. Artificial aids at present prescribed for the purposes of the regulations, are—

  1. Contact Lenses.—These may be supplied in respect of the following optical disabilities: (a) conical cornea, (b) gas keratitis, (c) certain forms of irregular astigmatism and any other conditions which cannot be corrected by ordinary spectacle lenses and which show marked improvement with contact lenses. In each case the supply of such lenses must be recommended by an ophthalmologist employed or engaged by a Hospital Board and approved by the Director-General of Health, acting upon the advice of a medical referee appointed for this purpose.

  2. Hearing Aids.—Individual valve type hearing aids may be supplied subject to the following conditions:—

    1. The patient possesses a hearing loss of at least 35 decibels in the better ear over the significant frequencies of speech or such other loss of a lesser degree as, in the opinion of an otologist employed or engaged by a Hospital Board, renders the use of an aid necessary.

    2. The patient's hearing loss is such that in the opinion of the otologist it is capable of correction or marked improvement by the use of the type of hearing aid supplied or approved for the purpose of the benefit.

      It is provided that in respect of patients who satisfy all of the above conditions but who do not wish to avail themselves of the hearing aid issued free of charge by Hospital Boards there may be paid a sum not exceeding £13 towards the purchase of any aid approved for the purposes of these benefits. If a patient has received a benefit for a hearing aid within the preceding five years, the Hospital Board may pay half (or up to a maximum of £6 10s.) of the cost of replacement, provided that the replacement aid will assist hearing more than the existing aid and that the patient is otherwise eligible.

  3. Artificial Limbs.—The supply of artificial limbs is subject to the following conditions:—

    1. The patient has not obtained or is not entitled to obtain a limb as an ex-serviceman under the provisions of the War Pensions Regulations 1945 or under the provisions of section 46 of the Workers' Compensation Amendment Act 1947:

    2. The supply of the limb is recommended by an orthopaedic surgeon employed or engaged by a Hospital Board:

    3. The limb is of an approved type and can, in the opinion of the supplier's orthopaedic adviser, be satisfactorily fitted:

    4. Not more than 80 per cent of the cost of the limb shall be borne by the Social Security Fund.

For the purposes of the regulations “artificial limb” includes artificial arms, artificial hands, artificial legs, and artificial feet, and includes an initial supply of not more than six pairs of limb socks for such limbs.

Benefits and Pensions in Force.—A summary showing particulars of the various social security benefits and the various pensions in force in each of the last three financial years is as follows.

Class of Benefit or PensionNumber in Force at 31 MarchAnnual Value at 31 March 1954Payments During
1952195319541951–521952–531953–54

* The expenditure figures given under this heading are gross—i.e., not reduced by the amounts recovered under maintenance orders, widows' benefits.

Social security benefits—       
 Monetary—   ££££
  Superannuation69,13371,96175,2276,394,2953,144,0915,564,6296,029,183
  Age125,775123,104122,20521,901,58019,235,32619,091,30319,922,234
  Widows'*12,36712,02612,0722,542,3112,230,6352,157,1152,323,835
  Orphans'32431430230,32733,66735,40427,583
  Family272,084280,747290,48017,446,22916,110,29716,854,26117,618,581
  Invalids'8,5288,2578,1941,643,6341,476,2811,416,5611,488,425
  Miners'562528508131,820127,619121,636123,547
  Unemployment21517..3,9143,1876,575
  Sickness4,5694,3764,395..1,128,8041,062,1761,086,241
  Emergency2,3062,2482,230..365,181340,625366,558
  Special assistance571,1272,687..2,19221,287102,329
    Totals495,707504,703518,317..43,858,00746,668,18449,095,091
 Medical, etc.—       
  Medical........2,760,5833,047,2023,085,749
  Hospital........2,112,4942,135,2182,184,239
  Maternity........884,781919,422924,616
  Pharmaceutical........2,428,2163,015,8332,919,620
  Supplementary........1,181,9531,310,9221,492,822
    Totals........9,368,02710,428,59710,607,046
War pensions, etc.—       
  First World War (1914–18)18,13517,78617,4193,109,3612,711,7102,747,2982,776,891
  Second World War (1939–45)25,35625,14124,7662,349,6742,071,8292,072,4292,107,575
  Kay Force138510410,7686714,4789,377
  South African War3432294,7744,4294,3154,528
  War Veterans' Allowances5,4685,9646,8102,117,9101,282,0941,471,4051,822,018
  Mercantile Marine2424242,9282,8722,9572,384
  Emergency Reserve Corps10992,0181,9731,7641,618
  War Pensions Emergency Fund..........1,0812,772
    Totals49,04049,04149,1617,597,4336,075,5786,305,7276,727,163
Other: Sundry pensions and annuities23629536459,15742,55046,91355,285
Bonuses—       
  Social Security........} 3,078,910767,1151,644,925
  War pension........93,440211,300
    Grand totals544,983554,039567,842 62,423,07264,309,97668,340,810

The total number of persons in respect of whom social security benefits (including dependent wives and children) were payable at 31 March 1954 was 907,098, or 4,345 per 10,000 of population. For the previous year the corresponding figures were 877,323 and 4,306 respectively.

During the year ended 31 March 1954, £23,771,311, or 48 per cent of the total expenditure (£49,095,091) on monetary benefits including special assistance but excluding bonuses, was paid without a means test, the remaining amount being subject to a means test.

The following table gives details of expenditure on the various classes of medical benefits during the last five financial years.

1949–501950–511951–521952–531953–54

* Mainly on account of hospital benefits.

Maternity benefits—£££££
  Public hospital fees400,334414,175417,058443,094455,271
  Private hospital fees188,739178,739168,085157,782142,455
  Medical practitioners' fees268,166279,191281,351298,222296,967
  Mileage fees7,9867,8518,3979,5859,949
  Obstetric nurses' fees6,1615,1274,0664,1234,415
  Private hospital subsidies..2335,8246,6168,059
  Private hospital loans........7,500
    Totals871,386885,316884,781919,422924,616
Medical benefits—     
  Capitation fees12,0026,6224,5195,1704,792
  Mileage fees131,995145,396155,626171,716169,643
  General medical services2,328,1542,453,5162,529,9062,784,0512,835,983
  Special arrangements47,40642,49957,22365,81863,746
  Purchase of sites and erection of residences for medical officers4,73313,13313,30920,44711,585
    Totals2,524,2902,661,1662,760,5833,047,2023,085,749
Hospital benefits—     
  Public hospitals—     
  Inpatients1,566,8241,557,8301,562,7161,566,3201,598,947
  Outpatients147,505164,508152,930163,719175,338
  Private hospitals249,085246,199269,142261,878241,918
  Approved institutions48,23543,47749,26450,24056,107
  Private hospital subsidies..6,94968,44279,72697,138
  Grants towards operating costs of Karitane hospitals....10,00013,33514,791
      Totals2,011,6492,018,9632,112,4942,135,2182,184,239
Pharmaceutical benefits—     
  Chemists1,991,3502,036,9902,371,7692,952,7732,847,919
  Medical practitioners11,2666,8038,2879,14310,267
  Institutions41,22753,20748,16053,91761,434
    Totals2,043,8432,097,0002,428,2163,015,8332,919,620
Supplementary benefits—     
  Radiological services276,999294,883310,189350,120379,641
  Laboratory services118,447128,546149,917178,892189,070
  Physiotherapy services63,84067,38862,57262,24962,575
  Specialist services (neuro-surgery)6,5534,0893,0194,6542,794
  District nursing services116,007113,571124,250114,931127,016
  Dental services324,933385,612469,989545,002659,570
  Domestic assistance3,0823,5204,6995,9437,015
  Artificial-aids benefits99,77762,53455,32246,98161,721
  Other3037951,9962,1503,420
    Totals1,009,9411,060,9381,181,9531,310,9221,492,822
  Grand totals8,461,1098,723,3839,368,02710,428,59710,607,046
  Recoveries*35,41131,1904,2504,0335,285
  Net totals8,425,6988,692,1939,363,77710,424,56410,601,761

A summary of social security (monetary and health benefits, special assistance and bonuses) and war and other pension payments during each of the last eleven years, together with the amount per head of mean population, is now given.

Year Ended 31 MarchPayments During Year
TotalPer Head of Mean Population
Social Security and Pensions
 ££s.d.
194420,261,8791276
194522,489,25013103
194626,198,2481563
194740,660,62222194
194844,331,51024106
194946,939,3652592
195050,696,783261811
195153,859,1532818
195262,423,07231175
195364,309,9763201
195468,340,8103331

MISCELLANEOUS PENSIONS, ETC.—In addition to the various classes of benefits enumerated in the foregoing part of this Section there were 364 pensions at 31 March 1954 classed as “sundry pensions and annuities'”. This class covers ex-officers of the Legislative Department, ex-members of the Defence Forces, certain ex-members of the Legislature, and others, by way of compassionate allowance, etc.

7B—WAR PENSIONS, ETC.

LEGISLATIVE AUTHORITY.—All pensions payable to or on account of members of the Forces are now governed by the War Pensions Act 1954, which consolidated the 1943 Act and its amendments, and also incorporated the War Pensions and Allowances (Mercantile Marine) Act 1940 and amendments. The 1915 Act had provided for the payment of pensions on certain conditions to disabled members of the New Zealand Forces of the First World War 1914–18 (as defined by the Act) and to dependants of disabled, deceased, or missing members of such Forces. The object of the War Veterans' Allowances Act 1935, which was deemed part of the War Pensions Act 1915, was to make provision for returned servicemen who, apart from any wounds or other disability not directly attributable to war service, were ageing prematurely or otherwise becoming unemployable by reason of mental or physical disability. The War Pensions Extension Act 1940 extended the provisions of the 1915 Act to cover overseas service in the Second World War, overseas service in any other war in which Her Majesty was or is engaged, and service within New Zealand. This brought Territorials and members of the Permanent Forces within the scope of the war pensions legislation. Pensions to veterans of the South African War were granted prior to 1940 under the authority of the Defence Act 1909, but the Finance Act 1940 transferred this authority to the War Pensions Extension Act 1940. The 1943 Act consolidated these earlier Acts.

The War Pensions Act 1954 extended the grounds for payment of pensions by including overseas service not only in time of war, but also in connection with United Nations emergencies and other emergencies. The same Act also provided that pensions for dependants are no longer to be restricted to the value of benefits received by them from the member during the immediate pre-service period. A new section enables the Governor-General in Council to extend the Mercantile Marine and Emergency Reserve Corps provisions of the Act to any future war.

ADMINISTRATION.—The Secretary for War Pensions, who under the Act must be an officer of the Social Security Department, is charged with the administration of war pensions under the general direction and control of the Minister of Defence. The Act also provides for the appointment of a War Pensions Board (or Boards), which has the responsibility of granting or declining claims for pensions and allowances. This Board consists of not less than three and not more than four members, one of whom must be a registered medical practitioner and one a representative of returned servicemen. Claimants have the right of appeal to a War Pensions Appeal Board, also appointed under the Act. The Appeal Board consists of three members, two of whom must be registered medical practitioners one of these being a representative of returned servicemen. For some years two War Pensions Boards were operating but, with the diminution of the work in the later part of the 1952–53 year, the second War Pensions Board became no longer necessary, and it ceased operations after 31 March 1953.

From 1 January 1953 the administration of war bursaries under the War Bursaries Regulations 1941 was taken over from the Department of Education. These are available to children of war veterans, seriously and permanently disabled ex-servicemen, and of deceased ex-servicemen in respect of whose death a war pension is paid. The bursaries are £25 a year for full-time post-primary pupils, £30 a year for full-time University students, and £1 10s. a year for part-time students at technical classes. Up to 31 March 1953, 308 war bursaries had been granted, while during 1953–54, 1,684 were granted, expenditure on this behalf being £31,086 for the year.

GROUNDS FOR PAYMENT OF WAR PENSIONS.—Pensions in respect of the death or disablement of any member of the New Zealand Forces are payable to the dependants of the member (in the case of death) and to the member and his dependants (in the case of disablement) in any of the following cases:—

  1. Where death or disablement occurred while on service overseas as a member of the Forces in connection with any war in which Her Majesty was then engaged, or in connection with any emergency, whether arising out of the obligations undertaken by New Zealand in the Charter of the United Nations or otherwise (i.e., includes service rendered in Korea, Malaya and Cyprus):

  2. Where death or disablement is attributable to his service in New Zealand or overseas:

  3. In any case where the condition which resulted in the death or disablement was aggravated by his service in New Zealand or overseas.

Provision is also made for pensions and allowances to members of the Emergency Reserve Corps and their dependants in respect of death or disablement attributable to their duties as members.

The provisions in regard to attributability were considerably liberalized by the 1943 Act, which laid down that the onus of proving that death or disablement was attributable to service, or that the condition which resulted in death or disablement was aggravated by such service, shall not be on the claimant and that the War Pensions Board and the War Pensions Appeal Board shall give claimants the full benefit of all presumptions in their favour. A member who was graded fit for service when he entered the Forces is deemed to have been absolutely fit at that time unless any defects were noted then or within the first two months of service. This presumption does not operate if the member failed to disclose any material fact to the medical examiner. The Act also states that the Boards are not to be bound by technicalities or legal forms or rules of evidence, but shall determine all claims in accordance with their merits.

RATES OF WAR PENSIONS.—The 1943 Act provided for the general rates of disablement pensions being increased by 50 per cent, and for increases in dependants' and economic pensions, other increases being given in later amendments to that Act.

The Prime Minister announced in December 1953 increases of 10s. per week in the basic rate of disablement and widows' pensions from 1 January 1954 and 10s. per week in the rate of war veterans' allowances from 15 September 1953.

WAR PENSIONS AND ALLOWANCES, AND WAR VETERANS' ALLOWANCES: SUMMARY OF MAXIMUM RATES.—The list below summarizes the present (January 1955) maximum rates of war and economic pensions and allowances.

* Ranges from £3 for all ranks and ratings of Forces up to Captain (Army) and equivalent in other services, masters of ships up to 5,000 tons and ratings of all ships, members of Emergency Reserve Corps; to £3 7s. Major or equivalent and master of ship over 5,000 tons; £3 16s. Lieutenant-Colonel and equivalent; £3 18s. Colonel and equivalent; and £4 Brigadier or upwards and equivalent in other services.

Class of Pension, Allowance, etc.Weekly Rate
Dependants of Deceased Members of the Forces, Mercantile Marine, or Emergency Reserve Corps£s.d.
Widow—   
  Basic rate*300
  Mother's allowance (where one child)276
  Mother's allowance (where two or more children)2176
  Economic pension3100
  Allowable income1100
Child—   
  Where both parents dead or if not under control of mother226
  Other children0100
Widowed mother—   
  Basic rate      Up to300
  Economic (wholly dependent or mother of two or more sons being deceased members of the Forces)3100
  Economic (partly dependent)2100
  Other dependant      Up to300
  Guardian of children of deceased member3100
Totally Disabled Members of the Forces, Mercantile Marine, or Emergency Reserve Corps   
Member—   
  Basic disablement pension400
  Special increment for blindness, multiple, or serious disabilities2100
  Economic pension3100
  Allowable income1100
  Attendant's allowance7100
  Wife3100
  Child0100
  Other dependant      Up to3100
War Veteran's Allowance   
  Unmarried veteran or married female veteran (£ 182 a year)3100
  Married male veteran (£364 a year)700
 Yearly Rate
  Age supplement (maximum) payable to veteran, or to his wife, or both, as each attains the age of 65 years£s.d.
 3900
  Allowable income (including value of age supplement)7800
Assistance from Emergency FundAccording to circumstances
 Yearly Rate
Clothing Allowance   
Loss of—£s.d.
  Two limbs or parts2400
  Leg or part2200
  Arm or part1600
  Use of mechanical appliance Up to1600

The payment of 10s. a week to each child may be made either by way of family benefit or, alternatively, by way of war pension.

The maximum allowable earnings of women from domestic service in private homes is, in every case, £78 a year.

Pensions payable for specific disabilities are assessed as a percentage of the fr pension payable for total disablement. The following schedule sets out the relevant disabilities and percentages.

Nature of DisabilityPer Cent of Full Pension Payable
Total blindness100
Loss of: two limbs; limb and eye; both hands; all fingers and thumbs; both feet; hand and foot100
Incurable insanity100
Very severe facial disfigurement100
Amputation of— 
  Right arm through shoulder joint; leg through hip joint; leg through upper third of thigh (without useful stump)100
  Left arm through shoulder joint95
  Leg through upper third of thigh (with useful stump)90
Permanent loss of speech90
Amputation of: arm at or above elbow; leg through knee joint or middle or lower third of thigh85
Total deafness85
Severe facial disfigurement80
Amputation of— 
  Arm below elbow; leg below knee; right hand75
  Left hand70
Loss of— 
  One eye; four fingers50
  Three fingers; thumb40
  Two fingers25
  Index finger of either hand20

If a member, while in receipt of a permanent pension of an amount of not less than 70 per cent of the maximum pension that would be payable in respect of total disablement, dies from any cause not attributable to service as a member of the Forces, a pension may be granted to his widow or dependent children as if death was attributable to service.

Other grants and concessions which may be made to disabled servicemen include the following:—

  1. A free pass on the New Zealand Railways rail and road services to members in receipt of full permanent pensions:

  2. A permit to travel first class at second-class rates on the New Zealand Railways to amputees and others suffering locomotive disabilities to a degree of over 50 per cent for which they receive permanent pensions:

  3. Free medical and surgical treatment in respect of pensionable disabilities. Surgical appliances such as artificial limbs, etc., are also supplied free and kept in good order and repair:

  4. Payment of an annual travelling-allowance of up to £26 to totally disabled pensioners who are unfit to travel alone:

  5. Payment of up to £100 towards the cost of structural alterations to provide special accommodation for a pensioner suffering from pulmonary tuberculosis:

  6. An accommodation allowance of £1 10s. per day is payable to war pensioners reporting for medical examination or treatment, while compensation in respect of loss of earnings is 15s. per half-day.

During the 1952–53 year the administration of interest-free loans for the purchase of motor cars granted to war pensioners in receipt of permanent war pensions for locomotive disabilities (£200 to those with 85 per cent or more pension for locomotive disability and £500 to those with a minimum of 100 per cent pension with certain severe locomotive disabilities) was transferred to the Secretary for War Pensions from the Director of Rehabilitation. In the 1953–54 year, 39 loans were granted, with a total value of £8,655, compared with totals of 24 and £7,537 in the previous year.

Pensions to Dependants (other than Wives or Children).—In addition to pensions for wives and children, a pension may be granted to any member of a deceased or disabled serviceman's family. “A member of the family “includes a parent, grandparent, step-parent, grandchild, step-child, brother, sister, half-brother, half-sister, and mother-in-law. “Child,” in relation to any member of the Forces, means a child under the age of sixteen years, and includes an adopted child and an ex-nuptial child (subject to certain conditions). The parents of a male member of the Forces are included in the definition of dependant in every case, without proof of pre-service dependency. Also, except in the case of the wife, widow, children under sixteen, and parents, the eligibility of dependants may be based on the expectation of dependency on the member, whereas previously actual dependency at some time in the twelve months preceding the commencement of service had to be shown.

South African Veterans' War Pensions.—The original authority for the payment of pensions in respect of service in the South African War was the Defence Act 1909, but the Finance Act (No. 4) 1940 provided that pensions might be granted under Part III of the War Pensions Extension Act 1940 in respect of death or disablement suffered by members of any New Zealand Contingent who served in South Africa in connection with the South African War. The War Pensions Extension Act 1940 was repealed by the War Pensions Act 1943, and pensions to veterans of the South African War were made payable under the general authority of the latter with its amendments. The provisions of the Act have been extended to include a member who served in any of Her Majesty's Forces in the South African War if he had been born in New Zealand or was domiciled therein at the commencement of the war. The present authority is the War Pensions Act 1954.

In addition to war pensions, a South African veteran who is in receipt of an age-benefit under the Social Security Act may receive an additional benefit of £13 13s. per annum, provided that his total income, including pension, does not exceed £260 per annum. Such payments are included with social security benefits and not with war pensions.

Economic Pensions.—An “economic pension” is defined as a supplementary pension granted on economic grounds and is in addition to any pension payable as of right in respect of death or disablement. In considering a claim for an economic pension the Pensions Board is required to take into consideration the ability of the claimant to obtain and retain suitable employment, the personal income and ownership of any property, the cost of living, and other relevant matters.

Servicemen pensioned for minor disabilities do not receive economic pensions.

WAR VETERANS' ALLOWANCES.—The object of war veterans' allowances was to make provision for members of the Forces who, apart from any wounds or other injuries received during war service, were ageing prematurely or otherwise becoming unemployable by reason of mental or physical incapacity. The term “veteran" includes—

  1. Any male member of the New Zealand Forces who has served as such in actual engagement with the enemy or, by reason of his period of overseas service and the arduous or dangerous nature of it, is considered a proper person for the grant of such:

  2. Any female member who has served overseas as a member of the New Zealand Forces:

  3. Any other person who, being a bona fide resident of New Zealand at the commencement of any war or emergency in which members of the New Zealand Forces have served as such, has served in that war or emergency as a member of any of Her Majesty's Forces, other than the New Zealand Forces.

A condition precedent to the granting of a war veteran's allowance is a minimum of five years' continuous residence in New Zealand immediately preceding the date of the claim. Continuous residence is not deemed to be interrupted by occasional absences not exceeding six months in the aggregate increased by one month for each year in excess of five that the veteran has resided in New Zealand; any absences as a member of the Commonwealth Forces are also disregarded.

Whether or not a claimant for an allowance is unfit for permanent employment by reason of mental or physical infirmity is a question of fact to be determined by the War Pensions Board. Claimants have the right of appeal to the War Pensions Appeal Board.

No account is taken of the amount of war disablement pensions in the determination of the war veterans' allowances. The 1950 amendment authorized the War Pensions Board in computing any war veteran's allowance to take no account of the personal earnings of any woman from domestic service in a private home up to £78 per year.

Where a veteran in receipt of an allowance dies leaving a widow in respect of whom an allowance is being paid a War Pensions Board may, in its discretion, grant the widow a gratuity equivalent to £338 a year for two years or of such lesser amount as it thinks fit.

In conformity with the policy of granting family benefits under the Social Security Act, the War Pensions Amendment Act 1945 abolished war veterans' allowances in respect of dependent children, and from 1 October 1945 these allowances have been paid by way of family benefit.

EMERGENCY RESERVE CORPS PENSIONS.—These pensions are payable under the 1954 Act where death or disablement was suffered by a member of the Emergency Reserve Corps in the course of service (including training), or was directly attributable to such service.

MERCANTILE MARINE PENSIONS.—The War Pensions and Allowances (Mercantile Marine) Act 1940 made provision for the payment of pensions and allowances to members of the New Zealand mercantile marine and their dependants in respect of death, disablement, or detention suffered as a result of the Second World War, this being a new departure as far as New Zealand's war-pension legislation is concerned. An amendment passed in 1943 extended the scope of the Act to permit of pensions being paid to members of any mercantile marine who are in receipt of similar pensions or allowances from any other Government within the British Commonwealth, provided that such members were, immediately prior to the commencement of the war, bona fide residents of New Zealand. A claimant under this new provision must be actually resident in New Zealand, and the amount of pension or allowance that may be granted is limited to a sum which, together with the amount granted out of New Zealand, will not exceed the pension or allowance that would have been payable had the claimant been a member of the New Zealand mercantile marine. These pensions have been incorporated with war pensions generally under the provisions of the War Pensions Act 1954.

WAR PENSIONS EMERGENCY FUND.—This Fund was established in November 1951 to provide for similar cases to those set out under the Social Security Special Assistance Fund (see page 192). Experience over the last two years would seem to indicate that few have found it necessary to make claims, 73 of which were granted during 1952–53, and 171 in 1953–54.

WAR PENSIONS APPEAL BOARD.—A claimant may appeal to a War Pensions Appeal Board from a decision of a War Pensions Board within six months of the date on which the decision of the latter was communicated to him. Such an appeal can only be made in so far as it consists of—

  1. The rejection of any claim for a pension in respect of the death or disablement of a member of the Forces on the ground that the death or disablement was not attributable to his service as a member of the Forces or that the condition that resulted in his death or disablement was not aggravated by such service.

  2. The assessment of a pension granted to any member of the Forces in so far as the assessment is based on medical grounds.

  3. The rejection of any claim for a war veteran's allowance on the ground that the applicant is not unfit for permanent employment.

The Appeal Board may confirm the decision of the War Pensions Board or may grant a pension, or, within the limits prescribed by the Act, may increase or reduce the amount of any pension. The number of appeals lodged each year has fallen steadily from the peak of 2,661 in 1944–45 to 236 in 1953–54. Of the 245 appeals dealt with during the year ended 31 March 1954, 106 or 43 per cent were upheld, 114 dismissed, and 25 struck out or withdrawn.

STATISTICAL REVIEW OF WAR PENSIONS, ALLOWANCES, ETC.—During the year ended 31 March 1954 the Department received 3,711 applications for war pensions. Of these, 692 applications were lodged by ex-servicemen in respect of their own disabilities, the balance being made up of claims by dependants, applications for economic pensions, and war veterans' allowances. The total for the previous year was 3,210, of these 665 being in respect of the applicants' own disability. In addition there were 92 claims received during the year in respect of disablement arising from Compulsory Military Training, 55 of which were granted.

Summary of Disabilities for which Pensions Granted, 1939–54.—The following is a summary of the disabilities attributed to war service from 1939 onwards and for which ex-service personnel had been granted pensions up to 31 March 1954.

Class of Disability or DiseaseType of ServiceTotalPercentage of Total
Overseas (1939–45)KayforceJayforceNew Zealand
Infections and infestations1,7794071181,9443.5
Nervous system9,20323131,66310,90219.6
Eye, ear, and nose6,54729181,3477,94114.3
Circulatory and blood system2,017321,0053,0275.4
Metabolism and endrocrine system393111725671.0
Lungs3,34614541,1334,5478.2
Diseases of bones, joints, muscles, tendons, and ligaments5,1561681,8467,02612.7
Digestive system4,0301571,1545,2069.4
Generative system323 21204450.8
Gunshot wounds and accidental injuries to bones, joints, and soft tissues7,20335251,2528,51515.3
Skin2,44812115453,0165.4
Tumours and neoplastic growths1561 532100.4
Malformations300  1314310.8
Amputations4782 194990.9
Urinary tract566131457151.3
Debility443  1095521.0
    Totals44,38819215110,81255,543100.0

The following table shows for all classes of war pensions the number in force at the end of March in each year and the expenditure during the year for the eleven years 1944–54.

Year Ended 31 MarchFirst World War (1914–18)Second World War (1939–45)KayforceWar VeteransSouth African WarMercantile MarineEmergency Reserve CorpsTotal
Number in Force
194421,03813,037..1,79144121035,932
194520,84920,584..1,89245181243,400
194620,46026,926..2,02946261149,498
194720,08130,028..2,27742271052,465
194819,71528,249..2,61742241150,658
194919,32027,187..3,36741231049,948
195018,97626,537..3,99739241149,584
195118,57325,901..4,77637261149,324
195218,13525,356135,46834241049,040
195317,78625,141855,9643224949,041
195417,41924,7661046,8102924949,161
Expenditure
 ££££££££
19441,973,069917,855..224,7052,5507191,4043,120,302
19452,046,0051,407,460..242,5013,2431,6521,2283,702,089
19461,997,3901,662,227..275,0293,5471,8791,3513,941,423
19472,036,8252,080,952..346,6943,5022,9851,3364,472,294
19482,049,3912,031,194..422,2753,6892,7271,3684,510,644
19492,104,6271,906,232..562,6343,8922,7001,4474,581,532
19502,271,3712,010,852..743,9993,8262,4031,5885,034,039
19512,311,6061,970,236..964,8823,7262,3591,6285,254,437
19522,711,7102,071,8296711,282,0944,4292,8721,9736,075,578
19532,747,2982,072,4294,4781,471,4054,3152,9571,7646,304,646
19542,776,8912,107,5759,3771,822,0184,5282,3841,6186,724,391

The foregoing figures do not include the following: (a) costs of certain medical treatment not available under social security amounting to £70,102 in 1953–54; (b) railway and bus concessions to pensioners for total and permanent disablement and for locomotive disabilities for which a permanent pension of over 50 per cent disablement had been granted, costing £14,410 in 1953–54 and £13,852 in the previous year; and (c) loading on life assurance policies where the loading is due to war disabilities, expenditure under this heading being £1,697 in 1953–54 and £1570 in 1952–53. Travelling allowances of £26 a year were being paid to 434 pensioners at 31 March 1954, and 1,393 clothing allowances of total annual value £26,819 were also being paid. Funeral grants cost £13,946 for the year 1953–44. The annual value of gallantry awards payable to disablement pensioners was £1,375.

Administrative costs for 1953–54 in respect of war pensions and allowances amounted to £14,111, as against £15,719 in 1952–53.

Particulars of First and Second World War and Kayforce pensions in force as at 31 March of each of the last five years are given below.

At 31 MarchDisablement PensionsDependants of Disabled Ex-members (No.)On Account of DeathTotal (No.)
Permanent (No.)Temporary (No.)Widows (No.)Parents and Other Dependants (No.)
First World War, 1914–18
195013,5852302,5092,37727518,976
195113,3851262,3852,44323418,573
195212,7583602,3782,45718218,135
195312,5173082,2982,49217117,786
195412,0963462,2602,56515217,419
Second World War, 1939–45
195010,06513,0119231,58295626,537
195111,34411,2118961,46698425,901
195211,79910,3598081,42296825,356
195312,3429,6257781,42397325,141
195413,1428,5457771,36593724,766
Kayforce
1952310......13
19534801....85
195410922....104

Mothers' allowances were paid to 685 widows of deceased ex-servicemen during the year ended 31 March 1954. The number of children for whom payments were made during 1953–54 but who were not included in the preceding table totalled 2,593, being 492 in respect of First World War pensions and 2,101 for Second World War pensions.

The next table shows the number of economic pensions in force at 31 March 1954, classified according to percentage of disability, but excludes those payable to widows and widowed mothers.

Percentage of DisabilityFirst World WarSecond World WarKayforceTotals
PermanentTemporaryPermanentTemporaryPermanentTemporary
1001,38941388357172,183
90–99813114....99
80–8915132721....202
70–79408153034..1488
60–6928952419....337
50–5955472029..1611
40–492101910....230
Under 404..22....8
    Totals3,08675511476194,158

Details of economic pensions payable at 31 March 1954 are now given, together with the totals as at 31 March 1953. The figures contained therein are included in the tables shown under the preceding subheading.

Class of PensionFirst World War, 1914–18Second World War, 1939–45Kayforce
NumberAnnual ValueNumberAnnual ValueNumberAnnual Value
  £ £ £
Ex-members with permanent pensions3,086531,007511119,0091175
Ex-members with temporary pensions7513,31747681,86291,424
Widows1,785306,351809137,034....
Widowed mothers162,319678,993....
    Totals, as at 31 March 19544,962852,9941,863346,898101,599
    Totals, as at 31 March 19534,954726,1621,869262,59591,346

7 C—SUPERANNUATION

General.—Superannuation for Government employees is provided for under the authority of the Superannuation Act 1947, which replaced the earlier separate provisions. Members of the Armed Forces, Police, Post and Telegraph, Public Service, Railways, and teachers, are now contributing to the one Fund; slightly differing terms and conditions being provided to meet the requirements of the various Services.

Local government employees and the permanent employees of all statutory bodies are provided for under the National Provident Fund Act 1950. There are now no schemes operative under the authority of the Local Authorities Superannuation Act 1908. For the operations of the National Provident Fund, sec Section 7D.

There are also a number of private superannuation funds in existence. Information respecting these is given at the end of this subsection.

The Government Superannuation Fund.—The Government Superannuation Fund, which came into being on 1 April 1948, replaced (and absorbed the moneys belonging to) the former Public Service Superannuation Fund, the Teachers' Superannuation Fund, and the Government Railways Superannuation Fund. Its revenues comprise contributions, subsidies from the Consolidated and other Funds, interest accruing from the investment of moneys in the Fund, fines, all moneys that would have been paid into the three Funds mentioned if the 1947 Act had not been passed, and all other moneys that may be payable into the Fund.

The Fund is administered by a Board consisting of the Minister of Finance as chairman, the Secretary to the Treasury, the Chairman of the Public Service Commission, the General Manager of Railways, the Director of Education, the Director-General of the Post and Telegraph Department, the Controller-General of Police, and six staff members appointed on the nomination of the various Service organizations.

The benefits of superannuation are now available for a greater number of persons in the permanent service of the State than was the case under the 1927 Act. Employees of the Government Service, including the Education Service, Police, the Cook Islands Public Service, the Samoan Public Service, and the State Advances Corporation, in addition to the Departments of State under the control of the Public Service Commission, the Railways Department, and the Post and Telegraph Department, may all become contributors to the Fund. Separate parts of the Act make provision for superannuation for Members of Parliament, permanent members of the regular Armed Forces, and for Magistrates and Maori Land Court Judges. Members of the Judicature—i.e., Judges of the Supreme and Arbitration Courts—are provided for elsewhere.

Contributions range from 5 per cent of annual salary if under thirty years of age at commencement of contributory service to 10 per cent where the age exceeds fifty years, the increase being at the rate of 1 per cent per year for each five-year increase in age group. Retiring allowances are computed at the rate of a one hundred and twentieth part of the annual salary for each year of contributory service, this amount being increased by a sum equal thereto, but in no case shall the added amount be computed on a lesser salary than £600 per annum nor shall the added amount exceed £300 per annum. The annual salary for the purpose of this computation is deemed to be the average of that received during the five years immediately preceding retirement, although in special cases so long as the first computed portion of the retiring allowance remains a lesser amount than £150, the average salary received during the last three years may be used if it results in a more favourable computation.

Commencing on 1 January 1954 provision was made for payment of retiring allowances and annuities in advance in monthly instalments, no recovery being made should the beneficiary die during the benefit period. When a married contributor dies, whether before or after becoming entitled to a retiring allowance, his widow may elect to receive a refund of the amount of his contributions less any sums received by him during his lifetime, or to receive an annuity at one-half of the rate of his retiring allowance at the date of his retirement, or, if he died before then, to which he would have been entitled if he had retired on the date of his death on the ground of being medically unfit for further duty, disregarding any election to take a variable allowance or to surrender part of the allowance to an approved dependent. The amount of the widow's annuity is not to be less than £104 or greater than £300 per annum. In addition, £26 per annum is payable in respect of each child under sixteen years of age left by a deceased contributor. The above are general provisions only and for a complete survey need to be supplemented by reference to other provisions in respect of age, length of service, sex, sickness, withdrawals, refunds, subsidiary benefits, etc., contained in the Act. Contributory membership and retiring allowances as outlined apply generally to permanent members of the Regular Armed Forces. Magistrates and Judges of the Maori Land Court are also entitled to retiring allowances, subject to age and length of service qualifications, one-fortieth of the annual salary at the date of retirement being allowed for each year of service, but in no case is the retiring allowance to exceed two-thirds of that salary. Members of Parliament contribute at the rate of £50 a year, but if at the date of commencement of the retiring allowance contributions are less than £250 the deficiency must be paid into the Consolidated Fund within such time and in such manner as the Minister of Finance may allow. Retiring allowances subject to nine years of service and attainment of the age of fifty years are at the rate of £250 a year for the first nine-year period of service, and for each additional year of service an increase of £25, with a maximum rate of allowance of not more than £400 a year.

At 31 March 1954 there were 61,970 contributors, paying £2,292,062 per annum into the Fund. The pensioners at the same date numbered 17,251, and were entitled to £4,005,666 per annum, made up as follows.

NumberAnnual Allowances
MalesFemalesTotal
    £
Retired for age or length of service7,0652,5969,6613,072,632
Retired for ill health1,5402851,825307,021
Police injured on duty25..255,173
Widows..4,5864,586591,064
Children5835711,15429,776
    Totals9,2138,03817,2514,005,666

Accumulated funds at 31 March 1954 amounted to £16,318,931. Total assets, which amounted to £16,379,289, included: Investments, £14,436,278; interest, due and accrued, £139,837; contributions in course of transmission, etc., £139,483; and cash in hand and at bank, £1,607,358.

The average effective interest earnings (per cent) of the Fund for the year ended 31 March 1954 was £3.

The total revenue of the Fund for the year ended 31 March 1954 was £6,694,794, including members' contributions £2,292,062, interest on investments and on contributions £521,784, and subsidy £3,837,477. The total amount expended during the year was £4,300,081, including retiring and other allowances £3,808,421, refunds of contributions £462,201, transfers to National Provident Fund £19,928, and other expenditure £1,298.

The following statistics present a review of the operations of the Fund during the last five years.

Year Ended 31 MarchNumber of ContributorsAnnual ContributionsInterest Receivable From InvestmentsContributions From GovernmentAnnual Value of AllowancesAccumulated Fund

* The accounts for the 1950, 1951, and 1952 years were consolidated and individual figures for these items are not available.

  £££££
1950*1,509,357160,7202,590,000**
1951*1,628,124259,1852,850,000**
195258,9312,002,877377,2652,915,0003,409,53811,808,520
195359,3512,040,519352,8162,998,0003,673,08913,924,218
195461,9702,292,062430,9142,068,0004,005,66616,318,931

Private Superannuation Funds.—Most large and many small employers have established their own staff superannuation funds. Certain taxation concessions are available to an employer and his employees in respect of their contributions to a superannuation fund provided the fund is approved by the Commissioner of Inland Revenue, and it is probable that there are no funds being administered which have not been approved.

NUMBER OF APPROVED FUNDS

Number of Approved Funds
As at 31 MarchNumber to Date
19501,450
19511,726
19522,123
19532,587
19542,912

A few funds, particularly those of banks, oil companies, insurance companies, and large companies engaged in international trade, provide pensions on retirement, but approximately 95 per cent of all approved funds provide lump-sum payments on retirement.

Of every 95 lump-sum funds approximately 2 are invested in shares, debentures, and trustee securities, and the remaining 93 are invested in life-insurance policies taken out on the lives of the various employees.

The life-insurance companies regard superannuation funds as an important part of their business, and they have been responsible for a great increase in the number of approved funds in recent years.

7 D—NATIONAL PROVIDENT FUND

THE National Provident Fund established by Act in 1910 came into operation on 1 March 1911. The Fund is administered by a Board comprising the Minister of Finance as Chairman, the Secretary to the Treasury, the Director-General of Health, the Valuer-General, the Superintendent of the Fund, and two other members appointed by and holding tenure of office during the pleasure of the Governor-General. The present legislative authority is contained in the National Provident Fund Act 1950, which consolidated and amended previous legislation on this subject, and the 1954 amending Act.

In addition to guaranteeing the benefits payable under the Act, the State provides a subsidy to the extent of one-fourth of the contributions paid into the Fund, and also meets all the administrative expenses.

The Fund provides two distinct services:

  1. Public Fund Branch.—Pensions and subsidiary benefits for members of the general public, with extensions for members of approved friendly societies and employees of firms, trade unions, etc.

  2. Superannuation Branch.—Superannuation for employees of all local authorities and other statutory bodies.

Membership of the public portion of the Fund is open to any resident of New Zealand over the age of sixteen. Parents, guardians, or relatives of children may make advance deposits to secure the entry of the child to full membership when he attains the age of sixteen. No medical examination is required on entry. The method of joining is extremely simple: the applicant fills in a form at any money order post office, or local office of the Fund, and pays a first contribution. Subsequent contributions may be met by deduction from salary, wages, or a savings-bank account. A liberal discount is allowed where contributions are paid 157 weeks or more in advance.

Contributions for each 10s. unit of weekly pensions range from 9d. per week for persons joining the Fund at age sixteen to 9s. 4d. per week for persons joining at age forty-nine; full subsidiary benefits attach to the first unit of pension. Any contributor may elect to increase the rate of contribution in accordance with attained age at date of election, so as to increase the number of units of his prospective pension.

The following benefits are payable:—-

  • *(1) On Incapacity of Contributor.—After five years' membership, for the fourth and subsequent months of total incapacity for work, an allowance of 10s. per week for each child under sixteen years of age. Contributions in respect of the first 40s. weekly pension are remitted during the receipt of this allowance, which may at the discretion of the Board be abated in respect of other income in excess of £6 per week.

  • *(2) On Death of a Contributor.—After five years' membership, an allowance of 10s. per week for each child under sixteen years of age, and 10s. for the widow so long as any child is under sixteen years of age.

  • (3) On reaching age sixty (or sixty-five, subject to reduced contributions or increased pension rates), pensions ranging from 10s. to 200s. per week according to the scale of contributions; options as to joint and survivorship pensions and for refund of contributions in lieu of pensions are provided.

  • (4) On withdrawal, lapse, or death leaving no children under age sixteen, a refund to contributor or to personal representative of all contributions paid, less any benefits theretofore received.

The scope of the Fund was extended in 1914, the Board being empowered to entertain applications by local authorities for superannuation on behalf of their employees. In 1926 Hospital Boards became contributors on behalf of their nursing and clerical employees. With the consent of the Minister of Finance, State Departments contribute for nurses and other specialist officers, thus facilitating their transfer anywhere within the Government services without loss of pension rights.

To achieve uniformity in benefits and to make improved conditions of superannuation available to permanent employees of all local authorities, the Board was empowered in 1946 to vary the conditions and benefits in the original schemes and to issue a notice to all local authorities containing conditions and benefits under which any permanent employee might elect to become a contributing employee. Funds earlier established under the Local Authorities Superannuation Act 1908 have been merged with the National Provident Fund, and there is now operating one uniform superannuation scheme to which all local authorities in New Zealand contribute; employees may move freely from employment in one local authority to another without sacrifice of accrued superannuation benefits.

The principle of voluntary membership introduced into State schemes extends to the National Provident Fund schemes and provision is made for the recognition, by agreement with the employing local authority, of General or Local Government service within the British Commonwealth or within New Zealand. Further provision enacted during the year authorizes the Board to protect accrued superannuation rights of New Zealanders moving from General or Local Government Service to service with a United Nations organization.

The Fund is the approved superannuation vehicle for statutory corporations and also provides facilities whereby registered educational institutions may provide superannuation for teachers, thus removing another artificial barrier to the free interchange of teachers in the educational services.

The benefits and contributions are substantially the same as those operating in the Government Superannuation Fund, and there is provision whereby employees may transfer from local authority to State employment, and vice versa, without loss of accrued rights.

On retirement there are several options as to joint and survivorship or variable pensions which enable the income payable after retirement to be arranged to meet individual needs.

Since the inauguration of the Fund in 1911, 145,976 persons (100,826 males, 45,150 females) have joined the Fund, and of these 123,278 (82,440 males and 40,838 females) have discontinued for one reason or another, leaving 22,698 (18,386 males and 4,312 females) contributors at 31 December 1953. Of the 2,957 discontinuances in 1953, 1,917 were on account of withdrawal, 509 on account of lapse or cancellation, 69 on account of death, 293 on account of attainment of pensions age, and 169 on account of transfer.

* If the child remains at school, these allowances may be continued up to attainment of age eighteen years.

The numbers of contributors for the various pension rates as at 31 December 1953 were as follows.

PensionsMalesFemalesTotal
10s. per week8,8793909,269
20s. per week2,3142682,582
30s. per week34361404
40s. per week698111809
Superannuation6,1523,4829,634
    Totals18,3864,31222,698

Summarized figures set out below for the years ended 31 December 1943, 1948, and 1953 form a useful basis for comparative analysis. Increased contributions and total income figures are attributable mainly to expansion in the superannuation branch.

Year Ended 31 December
194319481953
New contributors2,8462,5272,596
      Total of contributors28,35224,45622,698
Pensioners1,3242,1473,006
Income—£££
  Contributions349,096573,680875,536
  Interest (including fines)260,018316,539472,860
  Total income (including State subsidy)718,0751,068,2041,613,379
Outgo—   
  Pension payments110,233203,044308,122
  Other benefits173,046266,108260,845
  Total payments287,295472,961570,720
Funds at end of year7,293,13710,181,85414,687,551
Rate of interest per cent earned on invested funds£3 14s. 1d.£3 5s. 0d.£3 7s. 6d.

The amount of the subsidy paid by the State on contributions paid to the Fund during 1953 was £232,195.

The next table presents an alternative comparison, the period covered on this occasion being the five years ended 31 December 1953.

YearNumber of ContributorsAnnual Rate of Contributions PayableTotal Amount of FundPensions and Allowances Paid During Year
IncapacityRetiringWidows' and Children's
  £££££
194923,815528,52010,877,61913,285226,17350,616
195022,796577,96711,713,56113,158246,03250,927
195122,570602,92512,638,68113,514267,30252,224
195222,890705,30313,644,89212,677289,61953,975
195322,698759,82614,687,55112,250308,12256,530

Of the accumulated fund of £14,687,551 at 31 December 1953, £14,431,813 was invested, the principal classes of investment being Government securities, £5,471,336; local authority securities, £8,308,366; and mortgages, £638,596.

The following table sets forth the extent to which the facilities of the Fund are being utilized by local authority employees at 31 December 1953.

Class of Contributing AuthorityNumber in Each ClassNumber Contributing in Each ClassEmployeesAnnual Contributions
MalesFemalesTotals
      £
Cities and boroughs138921,8551912,046156,584
Counties125973233635931,641
Electric-power Boards43416393767658,080
Fire Boards2420166116719,847
Harbour Boards2414750675665,220
Hospital Boards43437102,8753,585201,774
Sundry local authorities31642361836928,642
Schools..29955915412,317
Others..838762311,10799,736
    Totals..4615,7753,4449,219673,841

7 E—FRIENDLY SOCIETIES

THE legislation dealing with friendly societies is contained in the Friendly Societies Act 1909 and its amendments. Provision is made for the registration of all societies and branches with the Registrar of Friendly Societies, and also for the general superintendence by the Government of the administration of the funds of the societies.

LODGES AND MEMBERS.—The table following gives the number of registrations (i.e., of friendly societies proper, or lodges, together with benevolent societies, working-men's clubs, etc., registered under the Act) and of lodge members as at 31 December of the years shown.

Name of OrderRegistrationsLodge Members
195119521953195119521953

* Membership figures relate to “actuarial" societies only.

Manchester Unity Independent Order of Oddfellows25125024728,16628,18328,089
Independent Order of Oddfellows1921911958,6938,4188,388
National Independent Order of Oddfellows111918378
Ancient Order of Foresters14213813712,20111,91911,684
United Ancient Order of Druids14314214216,07015,82515,682
Independent Order of Rechabites5454523,3503,2283,170
Order of Sons of Temperance888428425429
Sons and Daughters of Temperance111939286
Hibernian-Australasian Catholic Benefit Society8080803,8233,7753,737
Protestant Alliance Friendly Society of Australasia121212565537531
Grand United Order of Oddfellows101010248251242
Isolated friendly societies696868635*643*639*
Working-men's clubs242424......
International Order of Good Templars111111......
Specially authorized societies181717......
    Totals1,0161,0071,00574,36373,37972,755

Annual returns of receipts, expenditure, etc., of lodges are required by law. For the year 1953 the Registrar of Friendly Societies received returns from 843 lodges, with an aggregate membership of 72,755 at the end of the year, as compared with 845 lodges and 73,379 members for 1952. During the year 2,320 members were admitted by initiation, etc., and 408 by clearance; 1,265 died, 403 left by clearance, and 1,684 by arrears, etc.

The aggregate membership of lodges increased year by year, reaching a peak in 1930 when the total was 107,167. The economic depression probably accounted for the decrease in each of the following three years, the number at the end of 1933 being 100,237. A series of increases then commenced, the 1930 level being passed in 1936, and by 31 December 1938 a total of 113,709 had been reached. Each of the succeeding years, however, has witnessed a fall in membership, although the decrease in 1953 was comparatively slight. The number at the end of that year (72,755) was, however, 40,954, or 36 per cent less than in 1938. The various benefits under the social security scheme, particularly medical and hospital benefits (see Section 7A), have no doubt had a considerable effect on the membership of friendly societies. Circumstances arising from the late war may also have been a contributing factor.

The statistics given subsequently relate to the lodges (843 in 1953) for which returns were received and tabulated.

MORTALITY AND SICKNESS.—In the following statement of the mortality experience for the last five years no account has been taken of age incidence.

YearDeaths of MembersPer 1,000 Members at RiskDeaths of Members' WivesPer 1,000 Members at Risk
19491,14714.873564.61
19501,15915.233134.11
19511,20215.973574.74
19521,24316.693584.80
19531,26517.163534.79

The number of members sick during 1953 was 12,583, equal to 17.6 per 100 members at risk. The sickness experienced during 1953 was 301,132 weeks, equal to 24 weeks per sick member and 4 weeks 1 day for each member at risk.

FUNDS OF FRIENDLY SOCIETIES.—The total funds of the societies and branches as at 31 December 1953 amounted to £7,523,883, made up as follows.

FundsAmountAssetsAmount
 £ £
Sick and Funeral Funds5,715,883Investments at interest6,960,791
Surplus Appropriation Funds, etc.965,355Value of land and buildings339,623
Management Funds, goods, etc.371,327Cash not bearing interest170,675
Distress, Benevolent Funds, etc.475,318Value of goods22,241
  Other assets26,744
  Owing by Management Funds3,809
    Total£7,523,883    Total£7,523,883

The net income from investments credited to the Sick and Funeral Funds for 1953 amounted to £250,365, the average rate being £4 10s. 1d. per cent, as against £4 8s. 9d. in 1952.

There has been over many years a continuous increase in the amount of accumulated funds standing to the credit of friendly societies, the increase in the last ten years amounting to £1,625,924, or 28 per cent. The average capital per member has also appreciably increased, the gain in the last ten years amounting to £36 7s. 11d. (54 per cent). The substantial fall in membership over the last ten years has resulted in outstanding increases being shown for the average capital per member.

YearTotal FundsAverage Capital Per Member
 ££s.d.
19435,897,9596704
19446,018,83170148
19456,135,41373180
19466,278,40978011
19476,419,52381155
19486,568,0398530
19496,706,7138845
19506,858,0629190
19517,126,44995168
19527,331,34199183
19537,523,88310383

The contributions and entrance fees paid to Sick and Funeral Funds in 1953 amounted to £171,720. Divided by the mean number of members, the average for 1953 was £2 7s., as against £2 6s. 2d. for 1952.

The interest and rent received by the lodges and central bodies amounted to £250,365 in 1953, equal to £3 8s. 6d. per member, as against £3 5s. 7d. for 1952.

The amount of sickness benefit paid was £152,405 in 1953, equal to £12 2s. 3d. per member sick and £2 1s. 9d. per member, as against £11 17s. and £2 3s. 8d. respectively for 1952. Viewing the amount paid in relation to the weeks of sickness, the average benefit per week is found to be 10s. 1d. in 1953 as against 10s. 6d. for 1952.

The funeral benefit paid amounted to £81,322 in 1953, equal to £1 2s. 3d. per member, as compared with £1 0s. 3d. for 1952.

The total worth of the Sick and Funeral Funds at the beginning of 1953 was £5,653,716, and at the end of the year, £5,711,883.

Chapter 8. SECTION 8—JUSTICE

Table of Contents

LAW OF NEW ZEALAND.—The law applied in the Courts of New Zealand has three principal sources—the common law of England, certain statutes of the United Kingdom Parliament enacted prior to 1947, and statutes of the New Zealand Parliament.

The initial law of New Zealand when it became a British colony was the law of England as it existed on 14 January 1840—that is, the common law—together with those statutes of the United Kingdom Parliament which were applicable to the circumstances of the colony at that date. Subsequent law consists of those enactments of the United Kingdom Parliament between 1840 and 1947 which extended expressly or by necessary implication to New Zealand, and the enactments of the New Zealand Legislature.

In interpreting the common law the Courts have been concerned to preserve uniformity with the common law as it has developed in England. This unity is ensured not only by the existence of the Privy Council as the final Court of appeal for New Zealand, but by the practice of the Judges of following English decisions even though they are in theory not bound by them.

The New Zealand Parliament is now the sole authority with inherent power to legislate for the country, and there are no constitutional restrictions on the law which it can pass. Before the adoption by New Zealand of the Statute of Westminster in 1947 the powers of Parliament were limited in two respects. First, there was a somewhat uncertain and ill-defined incapacity to make laws having extra-territorial application, and, secondly, there was an incapacity to make laws conflicting with a statute of the United Kingdom Parliament extending to New Zealand. Since 1947, however, both these limitations have disappeared, although the United Kingdom Parliament still has the power to make laws extending to New Zealand at the request and with the consent of the New Zealand Legislature.

COURTS.—The hierarchy of Courts in New Zealand comprises the Court of Appeal, the Supreme Court, and the Magistrates' Court.

The Court of Appeal, unlike other Courts, exercises an appellate jurisdiction only. As constituted by the Judicature Amendment Act 1913 it comprises two divisions, a First and Second Division. Each division consists of five or six Judges of the Supreme Court appointed by the Governor-General in Council on the recommendation of the Chief Justice and two other Judges, there being no separate Judges of Appeal in New Zealand. The jurisdiction of the Court is exercised by each division at alternate sittings, but in important cases of special difficulty a joint sitting of both divisions may be authorized. The Judicature Act provides that the Court of Appeal shall sit at times and places appointed by the Governor-General in Council. In practice it almost invariably sits at Wellington. The decision of the Court is that of the majority of the Judges present, but if these are equally divided in opinion the decision appealed from is deemed to be affirmed.

An amendment of 1933 allows the Court of Appeal to hold special sittings at times and places appointed by Order in Council. This authority may be exercised only on a certificate of at least three Judges (including the Chief Justice) that it is not expedient to delay the hearing of the appeal. At a special sitting three or more Judges may exercise the jurisdiction of the Court whether or not they are members of the same division.

In addition to ordinary appeals from the Supreme Court certain other proceedings in inferior Courts may on an order of the Supreme Court be removed into the Court of Appeal for argument. It may be noted that the Court of Appeal also determines criminal appeals under the Criminal Appeal Act 1945, which is discussed later in the Section.

All decisions of the Court of Appeal are final unless leave is granted to appeal to the Privy Council. This leave may be granted either by the Court of Appeal or by the Privy Council itself. The Privy Council thus remains the final Court of appeal in all civil cases and also occasionally hears appeals in special criminal cases.

The Supreme Court, which has existed since New Zealand became a British colony in 1840, is now constituted under the Judicature Act 1908. The Members of the Court are a Chief Justice and ten other Judges, the number being fixed by statute. The 1953 amendment provides, however, that an additional Judge or Judges may be appointed whenever the Governor-General deems it necessary by reason of absence or anticipated absence of any of the Judges on leave prior to retirement, each appointment being a permanent one from the time when it is made. This, together with the provision that the salary of a Judge shall not be diminished during his term of office, is an important safeguard for the principle of judicial independence. Judges, who retire at seventy-two, are appointed to hold office during good behaviour and may be removed only by the Queen upon an Address by the House of Representatives. The Governor-General may suspend a Judge upon a like Address.

Magistrates' Courts are now set up under the Magistrates' Courts Act 1947 and possess an extensive jurisdiction in both civil and criminal cases. The jurisdiction of the Court is exercised by Stipendiary Magistrates, whose number is limited by statute to thirty-five, there being twenty-nine at present holding office. Justices of the Peace, however, still sit as a Magistrates' Court to hear a limited number of minor criminal charges.

Stipendiary Magistrates must have been qualified as barristers and solicitors of the Supreme Court for at least seven years. They are appointed by the Governor-General, and under the Magistrates' Courts Act 1947 may be removed by the Governor-General for inability or misbehaviour only. They retire at sixty-eight years of age.

Apart from these Courts of general jurisdiction there are in New Zealand several Courts with specialist functions. These include the Court of Arbitration, which makes awards governing pay and working conditions in industry, and also makes general wage orders; the Compensation Court, which determines claims under the Workers' Compensation Act; and the Land Valuation Court, which determines disputes over the valuation of land and hears claims for compensation when land is taken for public purposes.

JURIES.—The institution of the jury is regulated in New Zealand by the Juries Act 1908. Subject to certain exceptions, every male British subject (other than a Maori) between twenty-one and sixty-five years resident within a certain distance of a Supreme Court centre is liable to serve on a jury. A new list of exempted persons was enacted by the Juries Amendment Act 1951, the principal change being the removal of most Government servants from the class of exempted persons.

The following is a summary of the persons now exempted from jury service:

Members of the Executive Council and of the House of Representatives; Judges of the Supreme Court and of the Compensation Court; Judges and Members of the Court of Arbitration and of the Land Valuation Court; Judges and Commissioners of the Maori Land Court; Magistrates; Visiting Prison Justices; Coroners; the Chairman of the Local Government Commission; the Chairman and Members of the Licensing Control Commission; Officers of Parliament; clergymen; persons wholly engaged in teaching and school inspectors; barristers and solicitors; medical practitioners and dentists: registered chemists; members of the Armed Forces; members of the Police Force and traffic officers; pilots, masters, and crews of vessels; members of fire brigades; and certain officers of the Department of Justice, including those engaged in Court or prison work.

Provision was made by the Women Jurors Act 1942 for women to serve on juries. Women between the ages of twenty-five and sixty who would be liable for jury service if they were men may have their names placed on the jury list, but there is no obligation for them to do so. In fact, very few women have volunteered for jury service.

Special juries are provided for in section 71 of the Juries Act. That section provides that in a civil action in the Supreme Court triable by jury either party may, by leave of the Court or a Judge thereof, procure trial by a special jury instead of a common jury. Except with the consent of all the parties, however, no action may be tried with a special jury unless in the opinion of the Court or a Judge difficult questions in relation to scientific, technical, business, or professional matters are likely to arise.

New Zealand still retains the Grand Jury as part of its legal system, although it has been abolished in most other countries outside the United States of America, where it performs a different function.

CIVIL JURISDICTION: Magistrates' Courts.—From the beginning of settlement in New Zealand there has existed a speedy and inexpensive forum for determining every-day disputes between citizens. From 1846 to 1925 there were two types of Lower Court, as well as the Supreme Court. Resident Magistrates' Courts (from 1893 called Magistrates' Courts) dealt with the smallest claims while larger minor claims were determined first by Courts of Requests, and from 1858 by District Courts.

The most important feature of this period was the gradual replacement of the three tier structure by a two-tier structure as the jurisdiction of Magistrates' Courts became more extensive and the District Courts fell gradually into disuse. The jurisdiction of the Magistrates' Courts was considerably extended in 1893, but the main reason for the increasing importance of these Courts was the requirement, first introduced in 1913, that every Magistrate should be a qualified barrister and solicitor. In 1925, District Courts were formally abolished, leaving the Magistrates' Courts and the Supreme Court as the sole Courts with general jurisdiction.

Before 1947 the jurisdiction of Magistrates' Courts was limited (a) as to amount, the maximum sum which could be claimed being £300, and (b) as to remedies, which virtually limited jurisdiction to claims for debt or damages.

The Magistrates' Courts Act 1947 revised the whole framework of Magistrates' Courts procedure which had been substantially unchanged for eighty years and brought it into line with present day jurisdiction and requirements. The jurisdiction of the Court was also widened. It may now hear all claims up to £500, but if the parties agree in writing that the Court shall hear their case it has jurisdiction whatever the amount claimed. In the exercise of this jurisdiction it may now grant the same remedies, legal and equitable, as the Supreme Court.

The following table shows the number of plaints entered, cases disposed of, amounts sued for, and amounts for which judgment was recorded in the Magistrates' Courts during the last eleven years.

YearPlaints EnteredCases Disposed of
NumberTotal Amount Sued forNumberTotal Amount ClaimedTotal Amount for Which Judgment Entered
  £ ££
194322,337353,73615,027215,764175,315
194420,800395,94614,016228,428181,262
194520,184412,32712,890277,579193,785
194624,407544,08414,507311,505241,523
194728,332694,87316,724422,046345,472
194834,927911,32120,218546,026437,240
194934,403994,29117,694550,362463,995
195035,7471,209,98818,090553,021460,910
195138,9665,331,37520,111733,562588,300
195246,8361,701,96324,753880,840743,680
195353,2772,183,45229,8421,180,2751,014,240

The average amount claimed in each plaint has risen from £16 in 1943 to over £40 in 1953.

Supreme Court.—The jurisdiction of the Supreme Court is twofold, original and appellate. It has by statute a general jurisdiction to administer the laws of New Zealand. One important aspect of this original jurisdiction is an inherent power to control inferior Courts and judicial tribunals through the writs of certiorari and prohibition. This is essentially a power to determine the limits of jurisdiction of other Courts and is to be distinguished from its appellate function by which the Supreme Court reviews a case which was properly heard and determined by a Lower Court. An appeal to the Supreme Court lies only where it is provided for by statute. With certain exceptions, all cases determined in the Magistrates' Court are subject to appeal to the Supreme Court.

The next table shows the number of actions commenced, cases tried, and judgments entered, together with the amounts for which judgments were recorded in the civil jurisdiction of the Supreme Court from 1943 onwards.

YearNumber of Actions CommencedCases TriedJudgments Recorded
With JuryWithout JuryNumberAmount

* Not available.

     £
19435555118215848,400
19447137719916665,067
194577986209159116,739
194688970255231109,252
19471,05584225197110,595
19481,342104301299136,857
19491,208108293241158,202
19501,05990268202108,132
19511,13591224218169,440
19521,451125302242182,036
19531,435106282*232,733

Court of Appeal.—During the five years 1949 to 1953 there were 123 civil appeals, of which 49 were allowed, and also 17 cases removed to the Appeal Court, resulting in 7 judgments for the plaintiffs and 10 for the defendants.

CRIMINAL JURISDICTION: Magistrates' Courts.—The criminal jurisdiction of Magistrates' Courts has gradually grown out of the general jurisdiction enjoyed in respect of minor offences by Justices of the Peace. The Court previously had power to deal with all summary cases—that is, cases where a statute provides that an offence shall be dealt with summarily. Magistrates have, however, now acquired by the Summary Jurisdiction Act 1952 (which came into force on 1 January 1953) jurisdiction to deal with the majority of indictable offences. This Act gives a Magistrate jurisdiction over all crimes against property and all but the most grave of other crimes, such as treason, homicide, and rape. If the Magistrate deals summarily with an indictable offence, he may impose a sentence of imprisonment of up to three years or a fine of up to £200. A Magistrate may however, decline to deal with an offence summarily, in which case the accused is committed for trial in the Supreme Court in the ordinary way. The accused person has, moreover, the right to claim jury trial if he is charged with any indictable offence punishable by imprisonment for more than three months.

Justices of the Peace now hear only a small number of summary charges and charges of theft up to £20. The tendency is to have all criminal cases dealt with by Stipendiary Magistrates, except in country districts.

The following table shows the number of criminal charges dealt with in Magistrates' Courts from 1943. These figures and all the figures relating to Magistrates' Courts, Supreme Court, and prisons include Maoris, but Children's Court cases are excluded and will be found under the section relating to juvenile offences.

YearNumberPer 1,000 of Mean Population
Against MalesAgainst FemalesTotalsAgainst MalesAgainst FemalesTotals
194334,2472,92137,16843.413.4522.72
194436,8803,16840,04846.163.7024.19
194539,5522,92242,47447.833.3725.06
194644,8632,69947,56251.063.0627.03
194746,3372,42548,76251.502.7027.12
194850,0062,75652,76254.433.0128.76
194954,7682,88357,65158.353.0930.80
195055,5362,91558,45158.183.0530.62
195160,1063,00263,10861.463.0932.40
195278,5363,66682,20278.263.6941.18
195385,8954,60690,50183.384.5244.17

As may be expected the great majority of these charges are for comparatively minor offences, particularly against the traffic laws, which alone account for over three-fifths of the convictions in the Magistrates' Courts. Of the 82,143 convictions in the Magistrates' Courts in 1953, 51,046 were for minor traffic offences, 5,515 for offences against the liquor laws, and 5,432 for drunkenness.

The following table classifies the convictions in Magistrates' Courts into more common offences or groups of offences for the years 1949 to 1953. The figures refer to total charges, with the corresponding number of distinct cases following the totals in each year. Until the Summary Jurisdiction Act 1952 became effective the more serious cases, such as those of a sexual nature or those involving grave bodily injury, were not tried summarily; consequently certain of the figures quoted below for 1953 are not comparable with earlier years.

Type of Offence19491950195119521953

* Counting only the principal offence in cases where a person is charged simultaneously with two or more offences.

Common assault617653700635700
Sexual offences2827397
Other offences against the person74548176180
Theft2,5402,4042,2302,4872,676
Wilful damage426405392365422
Other offences against property (including forgery)1,1021,2381,1251,2352,476
Drunkenness (including drunk in charge, etc.)3,8284,1124,7165,7405,432
Application for prohibition order8147497838351,072
Offensive conduct or language, obstruction, etc., of police, and vagrancy1,4671,4471,6151,5511,602
Minor traffic offences26,31628,95132,01545,06051,046
Other offences against good order1,3121,4411,4631,4952,600
Breach of probation133167126138148
Unlawfully on licensed premises and other breaches of Licensing Act3,7123,3723,9634,7935,515
Failing to furnish return and making false return of land and income3192831,0632,2412,209
Failing to pay maintenance1,3711,2121,0921,2211,347
Deserting merchant ships568677438399263
Breaches of price control orders740596443693403
Other offences4,6593,8383,3814,9893,655
    Totals50,00051,60756,12873,96082,143
Distinct cases*42,09243,90947,46062,43468,222

The total convictions (82,143) for 1953 represent a rate of 40.1 per thousand of mean population. The rise of 8,183 in the number of convictions for 1953 is made up mainly of the following increases:

Minor traffic offences5,986
Other offences against property1,241
Other offences against good order1,105
Unlawfully on licensed premises, etc.722
Application for prohibition orders237
Theft189

On the other hand, the convictions for other offences, drunkenness, breaches of price control orders, and ship desertion, showed decreases.

The next table classifies the result of hearing and punishment inflicted on summary conviction for all cases during 1953.

Result of HearingOffences Against the PersonOffences Against PropertyOffences Against Good OrderOther OffencesTotals
Dismissed, withdrawn, or struck out3236253,1773,8307,955
Committed for trial or sentence1651492440378
Admonished and discharged2710625
Imprisonment4211,8007574193,397
Order of detention in Borstal Institution, etc.82652234329
Released under Offenders Probation Act1621,2521581151,687
Convicted and ordered to come up for sentence901678919365
Fined4991,07256,4909,92367,984
Convicted and discharged (or pay costs)821,0163,1277624,987
Order made1521,1091,1432,269
Suspended imprisonment (maintenance cases)......1,1251,125
    Totals1,7676,35564,96317,41690,501
Distinct cases1,3073,21056,96413,26174,742

Traffic Offences.—Traffic offences form so large a proportion of summary convictions that a further analysis is of interest. The most frequent traffic offences are breaches of parking regulations and excessive speed. This is a feature common to many countries and is associated with the temptation provided by modern high-powered vehicles and with the congested streets of the main cities and towns.

The following table analyses all traffic offences dealt with in Magistrates' Courts for the years 1949–53 inclusive.

Offence19491950195119521953
Negligently driving motor vehicle causing death....102125
Negligent driving causing injury31141814
Drunk in charge of motor vehicle causing injury........1
Failing to stop motor vehicle after accident involving bodily injury4..1323
Unlawfully converting vehicle to own use336459419496637
Drunk in charge of motor vehicle416464603704747
Drunk in charge of other vehicle126873
Excessive speed in motor vehicle5,3126,3986,1659,94511,244
Negligent or dangerous driving of motor vehicle3,5934,0854,9156,9637,871
Negligent or dangerous driving of other vehicle339186236188114
Breaches of regulations for the lighting of vehicles3,0402,3142,3953,1543,306
Offences relating to the registration, etc., of motor vehicles2,2382,6363,2524,6836,134
Offences relating to driver's licence1,6691,8372,1923,2132,969
Breaches of parking regulations5,7197,1398,71611,33911,266
Other traffic offences4,4004,3544,1445,5758,142
    Totals27,08129,87933,07046,30952,496
Convictions per 1,000 of mean population14.4715.6516.9723.1925.62

This table includes the more serious cases involving death or injury which are sent forward to the Supreme Court for trial or sentence. In 1953, 16 such cases were sent forward and there were 12 sentences, comprising 2 for negligent or drunken driving causing death, 6 for negligent or drunken driving causing injury, and 4 for failing to stop after an accident involving injury.

Drunkenness.—The following table shows the number of convictions for drunkenness, together with the rate per 1,000 of mean population for each of the years 1949 to 1953.

YearConvictions for DrunkennessPer 1,000 of Mean Population
MalesFemalesTotalsMales FemalesTotals
19493,7011273,8283.940.142.05
19503,9441684,1124.120.182.15
19514,5271894,7164.630.192.42
19525,5531875,7405.530.192.87
19535,2262065,4325.070.202.65

Repeated charges against the same person are included in the totals shown in the preceding table, but the figures do not include technical convictions in cases of application for the issue of prohibition orders, of which there were 1,072 in 1953. After dropping to a record low rate of 1.54 convictions per 1,000 mean population in 1947, the convictions for drunkenness rose steadily each year until 1953, which showed a small decrease. In 1895 the proportion was 6.52.

Supreme Court.—Criminal cases in the Supreme Court are of two classes—those in which the accused person has pleaded guilty in the Lower Court and has been committed to the Supreme Court for sentence, and those actually tried in the Supreme Court.

In 1952 the Summary Jurisdiction Act was passed and came into force on 1 January 1953. This Act gave Magistrates jurisdiction to deal with the majority of indictable offences. The tables following amply demonstrate the effect of the Act on the number of cases sent to the Supreme Court for trial or sentence. For this reason no true comparison can be made between the latest figures and those for previous years.

The following table gives a summary of criminal cases dealt with in the Supreme Court during each of the last five years. Frequently a series of charges is preferred against the one offender and this serves to explain the distinction between total cases and distinct persons.

YearTried in Supreme CourtSentences in Case of Committal for SentenceTotal Sentences
Indictments and InformationsConvictions
MFMFMFMFTotals
(a) Total Cases
194998335476201,201211,677411,718
19507594937181,178261,549341,583
195174633291101,235381,526481,574
195280457382361,252361,634721,706
1953584412511195434615361
(b) Distinct Persons
194932416217114371165422676
19503151619574251562022642
19513131517574471562222644
195231119207164552666242704
195320713118751316910179

Of the 220 distinct persons indicted during 1953, 125 were convicted and 86 acquitted, and no bill was returned or the prosecution was not otherwise proceeded with in the remaining 9 cases.

The next table summarizes the offences of persons convicted and sentenced in the Supreme Court during each of the last five years.

YearTotal Convictions and SentencesDistinct Persons Convicted and Sentenced
Offences Against the PersonOffences Against PropertyForgery and Offences Against the CurrencyOther OffencesTotalsOffences Against the PersonOffences Against PropertyForgery and Offences Against the CurrencyOther OffencesTotals
19493551,24288331,7182323972522676
19504091,08375161,5832793282510642
19513761,11060281,5742533562015644
19524091,20253421,7062703952019704
1953155169181936110360115179

The table which follows shows the number of distinct persons sentenced in the Supreme Court during each of the years 1943 to 1953, classified according to the principal types of offences.

Type of Offence19431944194519461947194819491950195119521953
Murder2..433638323
Attempted murder..3..21......1....
Manslaughter23523167827
Traffic offences involving death or injury79172437221930192012
Assaults and wounding1921212930293425312619
Sexual offences10611312212414911915518617719858
Other offences against the person242325222723162313224
Robbery, burglary, and breaking and entering15320023126322923419618319418920
Theft, receiving, and fraud13012514013521423217712914719140
Other offences against property8131899924161518..
Forgery and uttering251617251416252520201
Other offences1834191724262110161915
    Totals494560619655740717676642644704179
Per 10,000 mean population3.023.383.653.724.123.913.613.363.303.520.87

From 1943 to 1947 there was a considerable increase in serious crime, an experience not by any means confined to New Zealand. Most other countries reported a similar trend, which might be regarded at least partly as a result of war conditions. With the exception of offences such as murder and sexual offences, the general tendency has been for the number of serious offences to fall since 1947.

Sentences imposed in the Supreme Court during 1953 were as follows:

Released under Offenders Probation Act26
Ordered to come up for sentence2
Fined13
Imprisoned91
Sentenced to reformative detention36
Ordered to be detained in Borstal institution8
Death (one commuted to life imprisonment)3

Five of those sentenced to imprisonment received in addition a term of reformative detention and 4 were declared habitual criminals.

In 1941 the death sentence for murder was abolished, life imprisonment with hard labour being substituted therefor, but was restored in 1950 by the Capital Punishment Act. On conviction for murder a sentence of death must be imposed except in the case of an expectant mother, who is to be sentenced to imprisonment for life, and a person under eighteen, who is to be sentenced to detention during Her Majesty's pleasure.

Flogging and whipping were also abolished in 1941 and have not been restored.

CRIMINAL APPEALS.—The law relating to criminal appeals was substantially changed by the Criminal Appeal Act 1945. Previously an appeal lay only on a point of law and was available both to the prosecution and to the accused. These provisions have been retained, but the Act for the first time gave a convicted person a general right of appeal to the Court of Appeal against conviction. The Act provides that any person convicted on indictment or committed for sentence may appeal to the Court—

  1. Against his conviction on any ground involving a question of law;

  2. With the leave of the Court or on the certificate of the Judge who tried the case, on any ground involving a question of fact or on any other ground deemed sufficient by the Court;

  3. With the leave of the Court against the sentence passed unless it is one fixed by law. The Court may quash the conviction, vary the sentence, or order the case to be retried in the Supreme Court.

The Act does not affect the Crown's prerogative of mercy, but contains a provision enabling the Governor-General to refer to the Court of Appeal any application for the exercise of the prerogative.

OFFENCES BY WOMEN.—Of the 90,501 criminal charges dealt with in the Magistrates' Court in 1953, 4,606, or 5–1 per cent, were against females. This figure showed a substantial increase on the 1952 total of 3,666. The comparable figure for 1947 was 2,425, which was the lowest recorded since 1933.

Most of the offences for which summary convictions are entered against women are of a trivial nature, such as minor breaches of traffic regulations.

Of the convictions for more serious offences during 1953, the most common were—

Attempted suicide11
Common assault34
Drunkenness191
Theft382
Fraud and false pretences60
Offensive conduct or language28
Vagrancy71

Supreme Court statistics also showed that women in general are of a law-abiding disposition, only 10 females (5.59 per cent of the total) being sentenced in 1953 for criminal offences.

During 1953, 103 women were received into prison under sentence. The principal offences concerned were theft, 28; vagrancy, 33; drunkenness, 7; breach of probation, 8; selling liquor without a licence, 4; and fraud and false pretences, 3. Corresponding figures for 1952 were 81, the principal offences being theft, 31; vagrancy, 22; receiving stolen property, 4; cruelty to children, 3; and breach of probation, 3.

OFFENCES BY MAORIS.—As previously mentioned, Maoris are included in the statistical tables presented elsewhere in this Section, the data given here being for purposes of comparison. According to the population estimate of 31 December 1953, 469 per cent of the total population of New Zealand aged fifteen and over were Maoris.

In recent years it has become increasingly difficult to classify, with any degree of accuracy, Maoris and non-Maoris in Magistrates' Court summons cases, and this classification has now been discontinued. However, an accurate classification can be arrived at in the case of arrests, and the following summary shows total charges for arrest cases in 1953. Figures for Europeans are quoted for comparative purposes.

Class of OffenceTotal Charges for Arrest Cases
Against the PersonAgainst PropertyAgainst Good OrderOther Offences
DrunkennessOtherMalesFemalesTotals
Maoris192868502334671,7871761,963
Europeans9754,1205,0181,67585112,05558412,639
    Totals1,1674,9885,5202,00991813,84276014,602

Of the total number of arrests and convictions 13.4 per cent and 13.9 per cent respectively were Maoris.

The total number of Maoris convicted and sentenced in the Supreme Court during the five years 1949 to 1953 was 495, or 17.4 per cent, of the total of 2,845. Of the 34 Maoris (including 5 females) sentenced during 1953, 15 were committed from Magistrates' Courts and 19 were tried and convicted in the Supreme Court. The following table shows the number of Maoris sentenced in the Supreme Court during each of the last eleven years, together with the percentage of Maori offenders to total persons sentenced in each case.

YearOffences Against the PersonOffences Against Property*Total Offences
Sexual OffencesOther
Maoris SentencedPercentage or Total SentencesMaoris SentencedPercentage of Total SentencesMaoris SentencedPercentage or Total SentencesMaoris SentencedPercentage of Total Sentences

* Including forgery and uttering.

† Includes other offences.

19432624.5916.74113.47815.8
19442522.1711.94512.77813.9
19453932.01318.18921.914323.1
19463427.41518.36916.012418.9
19473221.51918.88718.714018.9
19482420.21417.38417.112717.7
19493220.61519.55713.510415.4
19504122.01111.85615.910816.8
19514324.31215.85715.211317.5
19525326.81419.46716.113619.3
19531932.71022.258.23419.0

During 1953, 449 Maoris (including 46 females) were received into prison under sentence, this being 19.1 per cent of the total committals. Of the 1,115 persons held in custody on 31 December 1953, 266, or 23.8 per cent, were Maoris. Corresponding figures for 1952 were 431 received under sentence (including 33 females), 19.0 per cent of the total committals, and 1,113 held in custody on 31 December 1952, of which 260, or 23.3 per cent, were Maoris.

JUVENILE OFFENDERS.—Children's Courts were established in New Zealand under Part IV of the Child Welfare Act 1925, and are expressly designed to separate youthful offenders and children in need of protection from the atmosphere and associations of the regular Courts. All offences, except murder or manslaughter, committed by children under seventeen years are dealt with in Children's Courts, the procedure and rules of which differ widely from those of the ordinary Courts. In addition, when an offender between seventeen and eighteen years comes before a regular Court, the Court may order his case to be heard in the Children's Court.

To fulfil the object for which Children's Courts were set up, the legislation prescribes that as far as possible persons attending a Children's Court shall not be brought into contact with persons attending any other Court. Unless no other suitable room is available, sittings of the Children's Court are not held in a courtroom, and where a Children's Court is in the same building as any other Court it does not sit when that other Court is in session. Proceedings in Children's Courts are' not open to the public, and no report of them may be published except with the consent of the presiding Magistrate.

When a child was brought before a Children's Court and charged with any offence, the Court was formerly not required to hear the charge against him. The law was changed in 1948, and all charges must now be heard and determined. It is not necessary, however, to record a conviction even if the charge is proved, and in practice convictions are not entered. The Court has power without recording a conviction to impose any penalty or make any order as if a conviction had been recorded.

The following table shows the number of cases dealt with in the Children's Court during each of the years 1943 to 1953 and (except for the years 1943 to 1946) the number of distinct cases—that is, excluding multiple charges against the same person.

YearTotal CasesDistinct Cases
MalesFemalesTotalsMalesFemalesTotals

* Not available.

19434,2625784,840***
19443,8505264,376***
19453,7324954,227***
19463,1754583,633***
19472,9413653,3061,6202851,905
19482,9484243,3721,6503431,993
19492,6753933,0681,5373211,858
19503,1854773,6621,7723642,136
19513,3155083,8231,8164052,221
19523,9104534,3632,1183452,463
19533,7755764,3512,1384162,554

Detailed statistics for Children's Court cases during each of the years 1948 to 1953 are as follows. The figures shown refer to total cases.

Type of Offence194819491950195119521953

* Includes forgery and uttering.

Sexual offences774361558584
Assaults384036283334
Other offences against the person4469626
Robbery, burglary, and breaking and entering223331288394650540
Theft, receiving, and fraud1,5661,3611,7031,5641,7151,618
Unlawful conversion of vehicles222167227299360400
Wilful damage305258329339255383
Other offences against property*31101211026
Offences against good order233251297351505499
Indigent or delinquent child546519606652593491
Other offences12784108111151250
    Totals3,3723,0683,6623,8234,3634,351

The 4,351 cases heard during 1953 resulted as follows:—

Dismissed or withdrawn274
Admonished and discharged1,436
Committed to care of Child Welfare Division of the Department of Education763
Placed under supervision1,385
Committed to an institution95
Fined241
Otherwise dealt with157

PROBATION.—By passing the First Offenders' Probation Act in 1886 New Zealand introduced the second Probation Act in the world. Originally it was intended that probation should only be used for first offenders guilty of trivial offences, but its scope was gradually widened. The present legislation, Part I of the Criminal Justice Act 1954, applies to any offender guilty of an offence punishable by imprisonment either on indictment or summarily.

An offender may be released on probation for a period of not less than one year nor more than three years, and during this time he must observe certain statutory conditions governing his behaviour and must accept the supervision of a Probation Officer. The statutory conditions of probation relate to such matters as reporting to a Probation Officer, employment and residence, associates, and general behaviour. In addition, the Court may impose particular conditions designed to assist his rehabilitation and to prevent further crime. It may also impose a fine in addition to probation. At the end of his period of probation the offender is deemed to be a free man, but if at any time during the period he breaks any of the conditions on which probation has been granted to him, he may be brought back to Court and becomes liable to a term of imprisonment or to a fine. In addition, he may be sentenced for the original offence for which he was placed on probation.

The probation method has come to be accepted as an integral part of the penal system and is widely used in New Zealand. The following figures show the number of persons released on probation during each of the past eleven years.

YearNumber Admitted to Probation
1943896
1944920
1945886
1946919
1947972
19481,036
19491,104
19501,098
19511,071
19521,176
19531,098

The next table gives the ages of offenders placed on probation during 1953, together with the period of their probation.

Age, in Years6 Months or Under1 Year18 Months2 Years3 Years4 Years5 YearsTotals
Under 20119127158193..309
20 and under 251211425195121..359
25 and under 30356107410....153
30 and under 40752138312....167
40 and under 501232394....69
50 and under 60..101161....28
60 and under 70..4151....11
70 and over..1..1......2
    Totals3435179571594 1,098

Probation is a conditional suspension of imprisonment and provides the opportunity whereby the offender may, with the assistance and supervision of a Probation Officer, rehabilitate himself. The real purpose of probation is to prevent further offences, and it is more freely used in the case of first offenders and young offenders.

INQUESTS.—The law relating to inquests, which had previously been partly common law and partly contained in the Coroners Act 1908, was consolidated into a single code by the Coroners Act 1951. This Act provides for the appointment by the Governor-General of Coroners for New Zealand and defines their powers and duties.

An inquest may be held for the purpose of establishing—

  1. The fact that a person has died;

  2. The identity of the deceased person;

  3. When, where, and how the death occurred.

All inquests are held in public, but the Coroners Act 1951 repeated a common-law power to exclude persons from an inquest and to prohibit the publication of any part of the evidence. The power to prohibit publication has now been made subject to review by a Magistrate, unless the Coroner is himself a Magistrate.

The following is a table of inquests held during each of the eleven years from 1943 to 1953.

YearMalesFemalesTotals
19431,0463861,432
19441,0103791,389
19459754161,391
19461,0714011,472
19471,1153671,482
19481,0854271,512
19491,0864291,515
19501,1503821,532
19511,3164461,762
19521,0313571,388
19539742861,260

The next table classifies inquests for the same period according to the verdict returned.

YearDisease and Natural CausesAccidentHomicideSuicideViolent Deaths, Nature Unknown
MFMFMFMFMF
1943350176566165969336283
194439618445813379108424111
19453902334141031610112514319
19464362204821157597444917
194748618349813256103292317
194842419749316534125444017
19494072165241412911256417
1950490214509123113106323410
19515292496121318813150368
195228314857614728139353119
19531987861114796102365419

It will be noticed that in the case of disease and natural causes there are over twice as many inquests on males as on females. An even more arresting fact is that the incidence of suicide among men is from two to three times greater than among women, although in 1952 the number of male suicides was four times greater than among women. The small proportion of women among those whose death is due to accident is perhaps more to be expected.

PRISONS: Historical Development.—The first prison in New Zealand of which there is any record was established in 1838, when the citizens of Kororareka (now Russell) joined together to provide for the administration of justice. It is recorded that an old sea chest, ventilated by means of gimlet holes, served as the first place of confinement for offenders.

In 1841 an ordinance provided for the institution of Courts of Justice and, as the colony developed, local gaols were established, though prisoners found guilty of the more serious offences were transported to Tasmania.

The first statutory provision dealing with prisons was passed in 1846. All buildings used at the time as public gaols were declared to be public gaols, and power was given to the Governor to declare other buildings public gaols. The Governor might make regulations prescribing the duties of officers, and the classification, diet, and treatment of prisoners. The appointment of Visiting Justices was also provided for. In 1854 the Secondary Punishment Act abolished the punishment of transportation and substituted penal servitude within the colony. Penal servitude was itself abolished in 1893.

Inconsistencies arose in the conduct of the prisons, and the state of affairs became so unsatisfactory that in 1868 a Royal Commission was set up to inquire into conditions. Although the Commission was extremely critical of what it found, little improvement or alteration was apparently made. In 1878 a special parliamentary committee was set up to inquire into prison conditions. The committee reported that the Government exercised no real control over the gaols or gaol officers in the country, and that the actual punishment varied from one district to another. Little or nothing had been done towards the classification of prisoners.

As the result of the committee's report the Government decided to reorganize the prison system and brought out one Captain Hume from England (Dartmoor Prison) to undertake the work. When he retired in 1909 much had been done to improve the prison system.

The first experiment in the direction of a roadmaking camp was made before the end of the century. At about the same time the first tree-planting camp was begun at Waiotapu, and was followed by others a few years later. For a variety of reasons the tree-planting camps later gave way to prison-farm camps. In their annual report for 1912 the then Inspector of Prisons and his deputy stated, “The undoubted advantage from all points of view of employing prison labour 'in the open' has been thoroughly demonstrated by the successful work of tree-planting operations since the initiation of the scheme, and for some time past it has been felt that an extension of the scheme to include all classes of agricultural work should be attempted. It is considered that in a country like New Zealand the natural outlet is in the country and not in the towns. From a public point of view it has a very important bearing as it tends to prevent the aggregation of prisoners in the towns where, partly for lack of adequate equipment for earning their living, and partly owing to their return to their former environment, they often revert to crime”.

There has since been gradual extension of the work in other directions. More prison farms have been opened. In 1914 Rotoaira prison camp was established, and a start made with the work of road building, which has continued until the present day. The year 1921 saw the beginnings of land-development camps, the object of which is to utilize prison labour for the development of the land for settlement purposes.

Outdoor occupations, however, were obviously not suitable for every prisoner, and those prisoners who had to be detained in an institution providing greater security were employed at a number of productive industries.

A milestone in the history of prisons in New Zealand was the Crimes Amendment Act 1910, sponsored by Sir John Findlay. This Act provided for sentences of reformative detention for periods of up to ten years in the case of the Supreme Court and up to three years in the case of the Magistrates' Courts. It also set up a Prisons Board charged with the responsibility of inquiring into the case of every prisoner at least once a year and of making recommendations whether he should be released on probation or discharged. The reason prompting the institution of the sentence of reformative detention was the lack of opportunity for any reformation or training during the short sentence that might be the maximum for a particular offence.

In 1924 New Zealand followed the example of Great Britain by providing for the establishment of Borstal institutions for the training of young offenders.

Present-day Administration.—In the course of time reformative detention came to be regarded as merely a lighter form of imprisonment. The terms imposed were measured in relation to the gravity of the offence rather than, as had been intended, in the light of the possibility of reforming the offender if there was sufficient time for the administration to undertake a constructive training programme. In addition, the measures provided by the Crimes Act 1908 for dealing with the confirmed criminal—namely, declaring him an habitual criminal or an habitual offender—had become less effective. A declaration meant that the offender could be detained in prison indefinitely, but in fact many were released after a fairly short period.

Partly as a result of these defects, recidivism had become a serious problem in New Zealand. An attempt to improve the situation was made in the Criminal Justice Act 1954, which came into force on 1 January 1955 and revised the penal system. The Act had a two-fold purpose, the first, to provide every possible means of diverting the young or inexperienced offender from a life of crime, and the second, to protect the community for a long lime.

From the coming into force of the Act the sentences of detention which the courts may impose are as follows:

  1. Borstal training, which means detention in a borstal institution for an indefinite period not exceeding three years. The offender must be at least seventeen years (in special cases fifteen) but under twenty-one years. The time of his release is decided by the Parole Board, which must consider his case from time to time. After his release he is on probation for twelve months.

  2. Detention in a detention centre, the term fixed by statute being four months. The offender must be at least seventeen but under twenty-three years of age, and he may earn up to one month's remission of his sentence by good conduct.

  3. Corrective training, which means detention in prison for corrective training for an indefinite period not exceeding three years. The offender must be at least twenty-one but under thirty years of age (in exceptional cases thirty-five) and must qualify for this sentence by the gravity of his offence or by the number of his previous convictions and the type of his previous sentences. The time of his release is decided by the Parole Board, which must consider his case from time to time. After his release he is on probation for twelve months.

  4. Imprisonment for a stated number of years or for life. If the sentence is for less than twelve months the Court may order that the offender be on probation for a period of up to twelve months from his release. If the sentence is for twelve months or more the offender will automatically be on probation on his release, the period of probation being for twelve months or for the unexpired term of his sentence, whichever is the greater. An offender sentenced to imprisonment may earn remission of his sentence up to one-quarter.

  5. Preventive detention, which means detention in prison for an indefinite term to be decided by the Parole Board, but in any event not less than three years nor, except where the offender has qualified for preventive detention through sexual offences, more than fourteen years. The offender must be twenty-five years of age or over and must have qualified for preventive detention by the number of his previous convictions and the type of his previous sentences. After serving three years of his sentence the offender may be released on probation on the recommendation of the Parole Board, provided the Board is of opinion that he is not likely to resume his criminal career. The period of probation in each case extends until the expiry of the full fourteen years or for life, as the case may be.

Subject to the over-all control of the Minister of Justice, the administration and general management of the prisons and the borstal institutions are the responsibility of the Secretary for Justice.

There are twelve institutions serving as prisons or borstals in New Zealand, and twenty-one police gaols. Any person serving a sentence of not more than eight days may be detained at any police station, which is deemed to be a prison for that period.

A summary of receptions and discharges during the year 1953 is given below.

MalesFemalesTotals

* Further analysis in next table.

In confinement 1 January 19531,041711,112
Distinct prisoners received during year2,2511032,354
Transfers between institutions, etc.*2,0641172,181
Discharged during the year—   
  Transferred to other prisons or to police1,543581,601
  On expiration of sentence1,598821,680
  Released on bail1366142
  Released on recommendation of Prisons Board48137518
  Released on special remission39019409
  Debtors67269
  Mental defectives22426
  Other672087
In confinement at 31 December 19531,052631,115
Daily average number in confinement during year1,095601,155

The total of 4,535 receptions during 1953 shown in the above table was arrived at by counting each person once every time received, whether by the same prison or not.

The total of receptions is further analysed in the following table.

Debtors and mental detectives91
Transfers between institutions1,048
Acquitted, fined, placed on probation, etc.671
Multiple receptions of same prisoner374
Distinct prisoners received under sentence2,354
    Totals4,538
Less difference between number held on remand at beginning and end of year3
    Totals4,535

Of the different classes of receptions into prison shown above the important figure is that of distinct persons received under sentence—that is, counting each sentenced person once only during the year, irrespective of the number of separate terms served. Of the 2,354 distinct persons received during 1953, 2,251 were males and 103 females. Corresponding figures for 1952 were 2,268 distinct persons, 2,187 being males and 81 females.

An analysis is given below of distinct persons received into prison according to the nature of sentence for each of the years 1949–53. Because of the changes made by the Criminal Justice Act 1954 the types of sentence are not identical with those now applicable.

Nature of Sentence19491950195119521953

* Includes 4 prisoners sentenced to life imprisonment in 1949 and 7 in 1950; also prisoners declared habitual offenders, 1 in 1951, 3 in 1952, and 2 in 1953.

† Sentence commuted to imprisonment for life.

‡ Includes 1 female commuted to life imprisonment and 3 Niueans sentenced outside New Zealand.

Hard labour or simple imprisonment*1,4121,6651,6011,9161,977
Reformative detention237251218199196
Borstal detention109113131128142
Hard labour and reformative detention2739141220
Declared habitual criminal and sentenced to hard labour312101213
Death....116
    Totals1,7882,0801,9752,2682,354

The next table shows the number of persons in prison at 31 December in each of the last eleven years.

At 31 DecemberPersons in GaolProportion Per 10,000 of Population as at 31 December
Undergoing SentenceOn Remand and Awaiting Trial, etc.TotalUndergoing SentenceTotal in Confinement
19431,024531,0776.246.56
1944945489935.645.92
1945998421,0405.786.02
1946992401,0325.575.79
19471,088491,1375.996.26
1948986391,0255.325.53
1949941509914.975.23
19501,043401,0835.415.62
19511,040361,0765.285.46
19521,083301,1135.355.50
19531,088271,1155.245.37

The number of distinct persons received into prison under sentence of imprisonment during the last eleven years, with the proportion per 10,000 of mean population, is given in the next table.

YearNumberPer 10,000 of Mean Population
19432,48215.17
19442,09912.68
19452,06512.19
19462,21312.58
19472,35113.07
19482,18111.89
19491,7889.55
19502,08010.90
19511,97510.14
19522,26811.36
19532,35411.49

The Aim of the Prisons Administration.—The object of imprisonment is the protection of society, and this may be achieved by the processes of deterrence and reformation. It is the duty of the prisons administration to exert every effort to divert the young and malleable offender from further crime and to attempt reformation in any case offering any hope of success. It is also necessary to balance the demands of reformative training and security. The interests of the community as well as of the offender demand that so far as possible the time spent in prison should be so used as to bring about the greatest likelihood that the prisoner will lead a law-abiding and socially purposeful life on his discharge.

Classification.—The key to successful prison work lies in understanding the individual prisoner, and in order to assist the prisons administration to this end Classification Boards have been established in the three main reception centres, Auckland Prison, Wellington Prison, and Paparua Prison, Christchurch.

Classification is still in an experimental stage, but it is intended that every man sentenced to imprisonment for a term of six months or more will come before a sub-committee of the Board—consisting of the superintendent, deputy superintendent, and welfare officer of the prison—which will determine whether or not it is necessary for the prisoner to be more fully examined. According to the circumstances of each case the sub-committee will either report finally to the administration or will call upon a psychologist, psychiatrist, vocational guidance officer, probation officer, or any other form of specialist service which may be of assistance in defining the offender's character and potential, and in advising upon the most hopeful form of treatment while he is in prison.

In New Zealand the total number of prisoners is not high. There is therefore little opportunity for special categories of prisons. The task of the Classification Board is to advise on the question of allocation of prisoners. Boards have no executive powers, but they furnish to the prisons administration a report on each prisoner whom they see and their recommendations are as far as possible carried out.

The following table analyses the ages and offences of distinct persons received into prison under sentence during 1953.

Age, in YearsOffences Against the PersonBurglary, Theft, and FraudConversion, Wilful Damage, etc.Vagrancy and DrunkennessOther OffencesTotals
Sexual OffencesAssaultsOther
Under 201513..71411137188
20 and under 25344161585768144508
25 and under 302635101443893117463
30 and under 4042331017715127158562
40 and under 503115108359899341
50 and over277456514449292
    Totals175144406891615416042,354
Maoris (included above)36467146717766449

The next table gives particulars of ages and length of sentence of distinct persons received into prison under sentence during 1953.

Age, in YearsLength of Sentence
Under 1 Month1 Month and Under 3 Months3 Months and Under 12 Months1 Year and Under 3 Years3 Years and Under 5 YearsOver 5 YearsOtherTotals

* Sentenced to death—2 executed; 1 female commuted to life imprisonment; 3 Niueans sentenced outside New Zealand.

Under 212075181192521260
21 and under 259914382941512436
25 and under 30111142122701611463
30 and under 4015315713510413....562
40 and under 501099775527..1341
50 and under 6079653925..21211
60 and over272717811..81
    Totals5987064884727776*2,354

Of the total of distinct persons received into prison in 1953 no less than 62.1 per cent had been convicted for an offence on at least one previous occasion, and 26.9 per cent of these had been convicted more than six times.

Measures Employed in Treatment.—This section may conveniently be dealt with under five heads—vocational and non-vocational training; earnings; punishments; and after-care.

Vocational Training.—Every prisoner must assist by his labour to reduce the cost of his maintenance in custody; it is also necessary that he should develop the habit of hard and consistent work. In New Zealand all available prisoners are put to work on some form of constructive employment whether it be industrial production in a secure institution or food production on a prison farm. In addition, and particularly for the younger offender, there are courses of trade training.

Non-vocational Training.—If a prisoner is eventually to be released into the community, then it is important during his period of imprisonment to pay regard to every aspect of his life as a citizen. It is not enough merely to restrict his freedom and to train him to work; he must also be kept or made mentally and morally fit.

An increasing number and variety of evening activities are being introduced into the prisons, and the number of prisoners engaged on them is likewise increasing. Very real training benefit is derived from these activities, whether they be recreational, educational, cultural, individual, or collective.

There are full-time teachers in Auckland Prison and in Invercargill Borstal Institution, and part-time teachers in many other institutions. It is their task to seek to improve the general education of those prisoners who have been unable to reach the level of the present Form II or the old Standard VI, and also to assist those who are undertaking further education or technical courses through a Correspondence School. The interest shown in education is encouraging, since in many cases it fits a prisoner for better employment on his release and thereby helps to reduce the chances of his further offending.

Since 1945, when, as the Country Library Service, it made some provision for the Invercargill Borstal Institution, the National Library Service has year by year increased its assistance to prisons. At the present time all institutions receive at regular intervals a generous supply of well-chosen books and, in addition, inmates are permitted a free use of the Library's Request Service.

Earnings.—All prisoners are credited with earnings based on a system of marks assessed according to industry and good conduct. The present system has been in operation for several years and is proving beneficial. A portion of the earnings may be spent on tobacco, confectionery, and toilet necessities in a prison canteen, and this provides an incentive to good work and conduct. At the same time the loss of this privilege is a useful disciplinary measure.

Punishments.—An inmate charged with one of the less serious offences against discipline appears before the Superintendent, who may impose a penalty or in his discretion refer the case to a Visiting Justice or to the Court. A Visiting Justice may deal with all cases of offences against discipline and must deal with those which are outside the jurisdiction of the Superintendent, unless he thinks they should be brought before the Court. His powers of punishment are wider than a Superintendents. The provisions as to offences and punishments are the same for both prisons and borstals.

After Care.—Offenders serving a sentence of borstal training, corrective training, preventive detention, or imprisonment for twelve months or more, are released on licence. For a period of time they must be under the supervision of a Probation Officer and are subject to recall if their behaviour on release is not satisfactory. This period of supervision has a dual purpose—it is the protection of the community against further offending and it is at the same time an aid to the prisoner to re-establish himself. The step from custody to freedom is a difficult one for prisoners, many of whom require assistance, advice, and discipline during this period.

An offender serving a sentence of imprisonment of less than twelve months is on probation after release if the sentencing Court so orders.

Parole Board.—This Board was established in 1910 under the name of the Prisons Board and it formerly reviewed the cases of all persons undergoing a sentence in prison or borstal. Following the coming into force of the Criminal Justice Act 1954, cases of all offenders serving terms of borstal training, corrective training, preventive detention, or life imprisonment are reviewable from time to time by the Board, whose duty it is to recommend release on probation in any instance where it thinks the person under sentence is sufficiently reformed to warrant it. Offenders serving sentences of imprisonment other than life are able to earn remission of up to a quarter of the sentence, but may have their cases referred to the Board in special circumstances.

The Board consists of a Judge of the Supreme Court, the Secretary for Justice, and at least one but not more than five other members, all except the Secretary for Justice being appointed by the Governor-General for three years and being eligible for reappointment.

The cases considered by the Prisons Board during each of the years 1949 to 1953 are as follows.

YearBorstal DetentionReformative DetentionHard LabourHabitual CriminalsProbationersTotals
Crimes Amendment ActOffenders Probation Act
19492314612383611281,005
19502855022253411201,077
19512374992374713141,047
1952282445245428231,045
195326434728037918955

Of the cases considered in 1953, recommendations were made for release on probation in 523 cases. Ten probationers under the Offenders Probation Act were ordered to be discharged, and 3 were granted modifications of the conditions of probation. Six under the Crimes Amendment Act were recommended for discharge. Twelve petitions were declined, while the remaining 401 cases were deferred.

POLICE FORCE.—The Police Force in New Zealand is a national body maintained wholly by the General Government. It was established under the provisions of the Police Force Act 1886, which came into operation on 1 September of that year. Prior to that date police duty in New Zealand had been carried out by members of the Armed Constabulary, which was then disbanded, some of its members being transferred to the newly constituted Police Force and others to the Permanent Militia. The Police Force Act 1886, consolidated in 1908, was revised and brought up to date by the Police Force Act 1913, and minor amendments were enacted in certain subsequent years. In 1947 an Act to consolidate and amend the law relating to the establishment and regulation of the Force was passed, and the Police Force Act 1947, as amended in 1951, 1952, 1954 and 1955, is the statute under which the Force now functions.

Organization and Duties.—The Commissioner of Police, with headquarters at Wellington, had until recently, subject to the directions of the Minister in Charge of the Police Department, the general superintendence and control of the Police Force. The Commissioner was assisted by an Assistant Commissioner, provision for this appointment having been made in the 1951 amending Act, while under the 1954 amending Act provision was made for the appointment of further Assistant Commissioners. The Government in December 1954, however, appointed a Commission of three with the Commissioner as Chairman, to control and administer the Police Force for the following six months. Following on the resignation of the Commissioner this arrangement was terminated in favour of the appointment of a Controller-General and a Deputy Controller-General. New Zealand is divided into fifteen districts, each under the charge of a Superintendent or Inspector of Police, who is responsible for the maintenance of good order and the proper execution of police duty therein. Districts are divided into sub-districts under the charge of sergeants or constables, and cities and towns where regular beat duty is performed are divided into beats, patrolled by constables under the supervision of sergeants.

The principal duty of the Police Force as defined by the Police Force Act is “the preservation of peace and order, the prevention of crime, and the apprehension of offenders against the peace”. In addition to the enforcement of the criminal law and the provisions of the Police Offences and the Official Secrets Acts, there are several statutes of a regulatory nature which the police are called upon to administer, wholly or partly, such as the Arms Act, Licensing Act, Gaming Act, Dangerous Drugs Act, Transport Act, Pawnbrokers Act, Secondhand Dealers Act, etc. They also undertake inquiries and other duties on behalf of other Departments of the Government Service, principally the Social Security Department, Registrar-General's Office, Department of Internal Affairs, and Department of Education (Child Welfare Division).

Police in country districts in many cases hold such additional appointments as Clerks and Bailiffs of Magistrates' Courts, Inspectors of Factories, Probation Officers, Inspectors of Sea-fishing, and Kauri-gum Rangers.

Recruiting.—In general, recruits for the Police Force must be between the ages of twenty-one and thirty-two years, be not less than 5 ft. 9 in. in height, and have a normal chest measurement of not less than 38 in. There is provision, however, to accept suitable recruits from the age of nineteen years, and men with previous police experience up to forty years of age may also be admitted to the Force. Recruits must be the holders of a certificate of school attainment for Form II, or possess educational qualifications of an equal or higher standard. They must be of good moral character, smart, active, intelligent, and free from bodily complaint or infirmity. The selection of recruits is made after exhaustive inquiries have been made into the character, antecedents, and qualifications of the applicants. Before appointment they undergo a course of training in the Training Depot, in which they are drilled and receive instruction in the duties they will be called upon to perform.

Appointments to vacancies in the higher ranks of the Force are made from those members of the next lower rank who have qualified by examination, efficiency, and seniority for such promotion.

Members who show an aptitude for detective duty are detailed for service in the Criminal Investigation Branch which is attached to each district headquarters and undertakes the investigation and detection of the more serious crimes.

Strength of Force.—In addition to the Commissioner, the strength of the Police Force on 31 March 1954 was 1,651, being an increase of 51 during the year. The total is made up as follows: 1 Assistant Commissioner, 8 Superintendents, 19 Inspectors, 17 Sub-Inspectors, 60 senior sergeants, 167 sergeants, 1,063 constables, 195 temporary constables, 18 senior detectives, 49 detective sergeants, and 54 detectives. There were also 39 policewomen, 5 matrons 11 police surgeons, and 1 district constable.

The following table shows the strength of the Police Force during the last eleven years.

As at 31 MarchAll OfficersNoncommissioned Officers (Uniform Branch)Criminal Investigation Branch (excluding Officers)ConstablesTotals*

* Not including surgeons, police-women, matrons, etc.

1944321731161,3141,635
1945381681101,2501,566
1946351741031,1641,476
194739208971,1541,498
194837212941,1781,521
1949362241031,1791,542
1950362201061,1771,539
1951412221101,1951,568
1952372301191,2031,589
1953442281271,2031,602
1954452271211,2581,651

The proportion of police to population at 31 March 1954 was 1 to 1,227.

Women Police.—By the Statutes Amendment Act 1938 provision was made for the appointment of women police, it being enacted that the terms of the Police Force Act shall apply to women appointees. The Police Force Act 1947, which repealed the relevant section of the earlier legislation mentioned above, provided that the term Police Force was to include all members of either sex appointed under the Act. The first 10 appointees completed their training and commenced duty in October 1941. The present strength is 39, and these are stationed at Whangarei, Auckland, Napier, New Plymouth, Wanganui, Palmerston North, Wellington, Greymouth, Christchurch, Dunedin, and Invercargill.

Their duties consist mainly in investigating complaints in respect of women and children, patrol duties in uniform, and generally their work is confined largely to their own sex.

Chapter 9. SECTION 9—DEFENCE AND REHABILITATION

9 A—DEFENCE

CONTROL AND CO-ORDINATION OF DEFENCE.—In New Zealand control and co-ordination of defence activities are obtained through the Defence Council, the appointment of one Minister of Defence in charge of the three Services, and through a series of inter-Service committees. The comparative simplicity of defence problems in New Zealand has required neither the appointment of a Minister of Defence directing subordinate Ministers in charge of each Service nor the establishment of a Department of Defence superior to the Navy, Army, and Air Departments. Co-ordination is facilitated by the presence in the Prime Minister's Department of a Defence Secretariat serving the main policy-forming committees and performing some of the functions which in other countries are handled by Departments of Defence.

Defence Council.—The Defence Council consists of the Prime Minister, the Minister of Defence, and other Ministers concerned with various aspects of national security. The Chiefs of the Naval, General, and Air Staffs, and the Secretaries of the Treasury and of External Affairs, attend meetings of the Council in a consultative capacity. The purpose of the Council is to keep defence policy and organization constantly under review, including questions of co-operation on defence with other countries of the British Commonwealth and military questions arising as a result of New Zealand membership of the United Nations.

Chiefs of Staff Committee.—The Chiefs of Staff Committee, comprising the Chiefs of the Naval, General, and Air Staffs, is responsible for advising the Government on defence policy and strategic questions. It is served by several inter-Service committees dealing with various subjects such as strategic and operational plans, intelligence, and communications.

Principal Administrative Officers' Committee.—This Committee consists of the Senior Personnel, Supply, and Finance Officers of each of the Services and a representative of the Treasury. For the convenient exercise of its functions the Committee normally divides into separate Supply and Personnel Committees, each of which is assisted by subordinate committees considering particular problems such as medical arrangements, recruiting, and the design and provision of clothing and other stores.

Co-operation With Other Countries.—In order that contact might be maintained with other countries, New Zealand Joint Service Liaison Staffs are stationed in London, Melbourne, and Washington. Similarly, both United Kingdom and Australia have Service Representatives in Wellington attached to the Offices of their respective High Commissioners, and there is a Military Attaché on the staff of the United States Embassy in Wellington.

Industrial War Potential.—Planning in respect of the demands which, in war or on the threat of war, the Services would make on industry is the task of the Joint War Production Committee. This Committee, which reports to the Government through the Minister of Industries and Commerce, is centred in the Department of Industries and Commerce. It consists of the Secretary of the Department of Industries and Commerce (Chairman), and representatives of the Treasury, the Department of Scientific and Industrial Research, the Prime Minister's Department, and the Senior Supply Officers of the Services.

Defence Science.—Defence science activities in New Zealand are guided by an executive committee, comprising the Chiefs of Staff and the Secretary of the Department of Scientific and Industrial Research, and known as the Defence Science (Policy) Committee. Research projects approved by the Defence Science (Policy) Committee are carried out by the Department of Scientific and Industrial Research, usually within its existing laboratories, but, if necessary, a special organization may be brought into being. Defence research expenditure is wholly provided on the vote of the Department of Scientific and Industrial Research, with the exception of the Defence Scientific Corps, which is provided on the votes of the respective Services.

The Defence Science (Policy) Committee is served by appropriate technical sub-committees of Service and scientific composition. It is aided by a group of advisory members consisting of non-Government scientists and experts. The Policy Committee with its supporting groups is known as the Defence Research Organization.

In order to build up a group of scientific workers with an insight into Service requirements the Defence Scientific Corps of the New Zealand Military Forces was established in 1948. The purpose of the Corps is to aid New Zealand and Commonwealth defence research. These men are recruited (approximately six per annum) at Master of Science level to one of the Services, on a short-term commission basis of five or six years. After an initial Service training period of up to six months they undertake post-graduate training at Universities and/or research establishments, either in New Zealand or the United Kingdom, for two to three years. For the remaining period of their commission they are employed in New Zealand, or wherever is most appropriate within the Commonwealth, on problems related to defence requirements.

The Defence Science programme is co-ordinated with Commonwealth requirements through the Commonwealth Advisory Committee on Defence Science or by direct negotiation with other Commonwealth Governments. A number of scientists have been seconded to work on projects in other Commonwealth countries.

LEGISLATIVE AUTHORITY FOR THE ARMED SERVICES.—The principal statutes governing the Armed Services are as follows: Army, the New Zealand Army Act 1950 and 1954 amendment, the Military Manoeuvres Act 1915; Navy, the Navy Act 1954, the Naval Discipline Act (U.K.), the Naval and Victualling Stores Act 1908; and Air Force, the Royal New Zealand Air Force Act 1950 and 1954 amendment.

Two other Acts of general application, though the first affects the Army to a greater extent, are the Military Training Act 1949 and the Courts-Martial Appeals Act 1953. The latter provides for the establishment of a special Court of Appeal for the Navy, Army, and Air Force, to which persons convicted by a Court-martial may appeal against conviction.

The Court is to consist of an uneven number of Judges (not fewer than three), of whom one is a Judge of the Supreme Court and the others either Judges, barristers, or former Judges of the Supreme Court.

The Courts-Martial Appeal Court is empowered to allow an appeal if it thinks that the finding of the Court-martial is unreasonable, or cannot be supported having regard to the evidence, or involves a wrong decision on a question of law, or that on any other ground there was a miscarriage of justice. The Court may dismiss any appeal if it considers that no substantial miscarriage of justice has actually occurred. When the Court allows an appeal it may direct either an acquittal or a new trial.

The Court may also substitute what it regards as another lawful conviction for the conviction appealed from, and it is empowered to substitute where necessary an appropriate sentence for the sentence of the Court-martial without increasing the sentence.

The decision of the Court on any appeal is to be final unless the Attorney-General grants a certificate that a point of law of exceptional public importance is involved, and that another appear is desirable in the public interest, in which case it may be made to the Court of Appeal.

The Military Training Act 1949.—Under the Military Training Act 1949 every British male subject ordinarily resident in New Zealand is liable to be called upon to serve three terms of service on attaining the age of eighteen years. Provision is made for exemptions, principally in the case of conscientious objectors, and also for deferment in the cases of students and others.

The service is as follows:

  1. A period of whole-time service of fourteen weeks, which is served in a training camp. This period has been temporarily reduced to 10½ weeks with the aim of building up establishments more quickly.

  2. A period of part-time service of three years during which a total of sixty days, made up of fourteen days in-camp and six days out-of-camp training each year, must be served.

  3. A six-year term of service in the Reserve, involving no training liabilities.

The 1951 amendment to the Military Training Act extended its operation to men who were over the age of eighteen years but under the age of twenty years on 1 November 1949. Those over eighteen but under nineteen on that date were made liable for service in the normal way (except that the period of part-time service has now been reduced to one year's duration), and those over nineteen but under twenty years were liable to register and be medically examined and to serve four years in the Reserve. The 1953 amendment extended liability to male British subjects becoming resident in New Zealand after the age of eighteen and under twenty-one years. By the 1954 amendment the liability for service ceases at the age of thirty years unless previously terminated.

THE ROYAL NEW ZEALAND NAVY.—Since 1877 the New Zealand Government has made a financial contribution towards maintaining Royal Navy ships in New Zealand waters. The Naval Defence Act was passed in 1913 to provide for the maintenance of a sea-going Naval Force and a training centre under the immediate control of the New Zealand Government. The First World War intervened, but in 1921 this policy was implemented and the Naval Force was given the designation “The New Zealand Division of the Royal Navy.” In 1941 His late Majesty King George VI graciously approved the proposal that the New Zealand Naval Forces should be designated “The Royal New Zealand Navy.”

Command and Administration.—The Royal New Zealand Navy is controlled by the New Zealand Naval Board, which consists of—

  • The Minister of Defence as Chairman.

  • A Commodore, 2nd Class (to be Rear Admiral from 1955) as First Naval Member and Chief of the Naval Staff.

  • A Captain as Second Naval Member and Member for Personnel.

  • A Captain (S) as Third Naval Member and Member for Supply.

An officer of the New Zealand Public Service as Navy Secretary and Member of the Board for Finance and Secretariat, and as Permanent Head of Navy Department.

The base for the Royal New Zealand Navy is at Devonport, Auckland, where H.M.N.Z. Dockyard is situated. The Dockyard undertakes the repair and maintenance of all ships of the Royal New Zealand Navy. Since 1936 the Dockyard has been considerably enlarged and modernized, and during the Second World War was able to operate as a repair base for ships of the Allied Forces in the South Pacific. The Dockyard has been organized on the same lines as Royal Navy Dockyards, with modifications to suit New Zealand conditions. In addition to its primary commitment of maintaining ships of the Royal New Zealand Navy, the Dockyard undertakes work for other Government Departments and for private firms where this involves the use of specialized equipment not available elsewhere in New Zealand.

Role of the Royal New Zealand Navy.—At present the Royal New Zealand Navy is mainly concerned with the defence of New Zealand, but, in addition, it contributes where possible to the over-all defence of the Commonwealth. In time of war this includes the defence of trade routes to the United Kingdom, Australia, and North America, and the defence of certain Pacific island groups which are under the jurisdiction of the United Kingdom or New Zealand. Peacetime activities of the Royal New Zealand Navy include tours of the island territories for the purposes of “showing the flag,” assisting the local administrators, rendering medical assistance, transporting stores and mails, and helping to improve navigational facilities by the blasting of coral reefs and the recording of soundings.

Nearer home the Royal New Zealand Navy carries out fishery protection patrols and assists in servicing lighthouses and meteorological stations. One New Zealand frigate is permanently engaged on survey duties.

Exercises are carried out regularly in home waters, and with units of the Royal Australian Navy and Royal Navy elsewhere in the world.

From 1950 to the Cease Fire in 1953 the Navy maintained two frigates in Korean waters as its contribution to United Nations Naval Forces. After the Cease Fire this was reduced to one, with a second available in New Zealand if required; the frigate left in the area was placed under the administrative control of the Commander-in-Chief, Far East Station, so that, in addition to serving in Korean waters, it could operate as a unit of the Far East Fleet.

State of the Navy.—Her Majesty's New Zealand ships are at present:

 
CruisersBellona. 
 Black Prince. 
FrigatesRotoitiOne on Far East Station; a second maintained in New Zealand waters, available for service in the Far East but employed on training duties until required; a third in preparation as a replacement for one of the two mentioned above; the remainder in reserve.
 Taupo
 Hawea
 Kaniere
 Tutira
 Pukaki
 LachlanSurvey ship.
Ocean minesweepersKiamaIn reserve.
 Stawell
 Inverell
 Echuca
Anti-submarine mine-sweeping vesselsKiwiTraining ships.
 Tui
 InchkeithIn reserve.
 Killegray
 Sanda
 Scarba
Motor launchesTwelveFishery protection. Training. Harbour duties. Survey work. R.N.Z.N.V.R. Divisions.

Shore Establishments.—The New Zealand Naval Board is the controlling authority of the Royal New Zealand Navy, and is situated in Navy Office, Wellington, together with Naval Staff Officers and administrative departments of the Navy.

The Naval Base, situated at Devonport, includes the Dockyard, the Naval Barracks (H.M.N.Z.S. Philomel), and the Royal New Zealand Naval Hospital. The Naval Officer in Charge, Auckland (a Captain R.N.), is responsible for general organization and administration. The Dockyard, which is administered by a Captain Superintendent, includes the Naval Store Depot and the Naval Armament Depot, and provides facilities for repair of all ships up to a light cruiser standard.

H.M.N.Z.S. Tamaki is situated at Motuihe Island, Auckland, and is the Navy's Basic Training Establishment.

H.M.N.Z.S. Irirangi, situated at Waiouru, in the centre of the North Island, is the Royal New Zealand Naval Wireless Telegraphy Station.

Personnel.—Entry into the Royal New Zealand Navy is open to young New Zealanders through the following channels:

BoysAges 15 years 3 months to 16 years 7 months.
Artificer apprenticesAges 15 years to 17 years.
YouthsAges 16 years 7 months to 17 years 6 months.
Adult entriesAges 17 years 6 months to 25 years (28 years for tradesmen).

With the exception of the artificer apprentices who carry out their initial training in Philomel before proceeding to the United Kingdom for trade training, all new entries receive their basic training in Tamaki. Technical and specialist training is, as far as possible, carried out in New Zealand, but where no facilities exist, ratings attend courses in naval establishments in Australia and the United Kingdom.

Suitable ratings who qualify educationally and professionally are eligible for promotion to commissioned rank or branch rank, dependent on age and experience.

There are also two schemes for direct entry as officer cadets. Candidates between the ages of 15 years and 16 years 3 months are eligible for selection as Cadet Midshipmen, and these cadets carry out two years' training in the Royal Australian Naval College, Flinders, Victoria, before proceeding to the Royal Navy, where the remainder of their training is carried out. Candidates between the ages of 17 years 8 months and 19 years are eligible for selection as Special Entry Cadets. These cadets proceed to the United Kingdom on entry, and serve one term in the Royal Naval College, Dartmouth, before joining the fleet for further training. All officers return to New Zealand for service in the Royal New Zealand Navy when they have completed the necessary courses for promotion to Lieutenant.

Women's Royal New Zealand Naval Service.—The Women's Royal New Zealand Naval Service was first formed in 1942 as a wartime service, being disbanded at the end of 1946 upon conclusion of hostilities. It was reinstituted in April 1947 as a temporary measure to offset the manning shortage (at that time) in the Royal New Zealand Navy. In 1949 the W.R.N.Z.N.S. became a permanent part of the Royal New Zealand Navy. Employment of members of the W.R.N.Z.N.S. is varied and includes duties as cooks, stewards, writers, shorthand-typists, chart correctors, motor-transport drivers, and teleprinter operators. These duties are supplemented or amended as necessary to meet the requirements of the Navy.

Royal New Zealand Naval Volunteer Reserve.—The post-war R.N.Z.N.V.R. has been reestablished with Divisions in the four main centres, and training of officers and ratings is being carried out. The implementation of the Military Training Act 1949 affects the R.N.Z.N.V.R. to the extent of about three hundred ratings annually. Compulsory Naval reservists undergo fourteen weeks' basic training in H.M.N.Z.S. Tamaki, after which they join up with their local R.N.Z.N.V.R. Division for four years' further part-time training.

Strength of the Navy.—The strength of the Navy as at 31 December 1954 is shown below.

 OfficersRatingsTotal
Regular Forces (incl. W.R.N.Z.N.S.)3112,5112,822
Active reserves—   
  Royal New Zealand Naval Reserve27..27
  Royal Fleet Reserve..1111
  Royal New Zealand Naval Volunteer Reserve1171,0351,152
    Totals1441,0461,190
Inactive reserve—   
  Royal New Zealand Naval Reserve..1,0181,018
  Royal New Zealand Naval Volunteer Supplementary Reserve305..305
  Royal New Zealand Naval Emergency Reserve..579579
  Retired officers and pensioners144158302
  Compulsory naval reservists..858858
    Totals4492,6133,062

These figures include 69 officers and 22 ratings on loan or exchange from the Royal Navy.

Naval Expenditure.—During the year ended 31 March 1954 the sum of £5,685,408 was expended on the Royal New Zealand Navy. Of this sum, £5,254,400 was expended from vote “Navy" and £431,008 from vote “Defence: Construction and Maintenance—Subdivision I—Navy.” The total expenditure for the previous financial year was £6,148,829.

Activities in 1953–54.—After the Cease Fire in Korea on 28 July 1953, New Zealand's naval contribution was reduced to one frigate (on the Far East Station) with a second available although not actually maintained in the area. The first, Pukaki, a replacement for Kaniere, left Auckland on 21 September 1953 and returned to New Zealand on 28 September 1954. In February 1954 she was placed under the administrative control of the Commander-in-Chief, Far East Station. This enabled her to vary her Korean service with anti-terrorist operations in Malaya and anti-pirate patrols in North Borneo. Pukaki was replaced by Kaniere, which left Auckland on 19 July 1954 to begin the tenth tour of duty by a New Zealand ship since the outbreak of the Korean war in 1950.

In December 1953 Black Prince had the distinction of being the first to extend a New Zealand welcome to Her Majesty the Queen and H.R.H. the Duke of Edinburgh when she replaced H.M.S. Sheffield as escort to the Royal Yacht Gothic at the limits of the New Zealand Naval Station. Royal tour escort duties continued until 3 February. Black Prince then sailed for Hobart, where she represented New Zealand at the Tasmanian 150th anniversary celebrations. She returned in May to Australian waters to attend the Coral Sea Celebrations at Sydney. This was followed by two weeks' exercises in the Jervis Bay area. In June she took the Governor-General, Sir Willoughby Norrie, on his first official visit to New Zealand's Island Territories. A full programme was concluded in November with a Spring Cruise during which eight New Zealand ports were visited.

The frigate Hawea followed exercises in Australian waters with a cruise to the Gilbert and Ellice Islands. In August she accompanied Kiwi to Suva for anti-submarine exercises with the Royal Navy submarine H.M.S. Telemachus. Training of reservists, an Islands Cruise in March, and a five-port Spring Cruise of New Zealand in October, for which the Chief of Naval Staff, Commodore Sir Charles Madden, Bart., R.N., was embarked, concluded Hawea's year.

Lachlan, the Royal New Zealand Navy's survey ship continued during 1954 a survey of 8,000 square miles of coastal waters between Wellington and Gisborne. In May she left for her second successive winter trip to the Pacific, where a survey of Western Samoa was continued.

Kiwi and Tui spent most of the year training reservists from the four centres. Both ships visited the islands in the Fijian group during June. Kiwi completed in April a seven weeks' cruise visiting nine minor ports, some of which had seldom been visited by a unit of the Royal New Zealand Navy.

Tui visited Waitangi for the treaty celebrations on 6 February and during a New Zealand cruise from October to December took scientists on visits to the Auckland and Campbell Islands.

THE ARMY.—The New Zealand Army is raised, maintained, and organized under the authority of the New Zealand Army Act 1950.

The Army consists of the Regular Force, the Territorial Force, the Army Reserve, the Cadet Corps, and military forces raised in time of war or other like emergency.

The New Zealand Army comprises the following Corps:

  • The Royal New Zealand Artillery.

  • The Royal New Zealand Armoured Corps.

  • The Royal New Zealand Engineers.

  • The Royal New Zealand Corps of Signals.

  • The Royal New Zealand Infantry Corps.

  • The Royal New Zealand Army Service Corps.

  • The Royal New Zealand Army Medical Corps.

  • The Royal New Zealand Army Ordnance Corps.

  • The Royal New Zealand Electrical and Mechanical Engineers.

  • The Royal New Zealand Dental Corps.

  • The Royal New Zealand Chaplains Department.

  • The New Zealand Army Pay Corps.

  • The New Zealand Army Legal Department.

  • The Royal New Zealand Provost Corps.

  • The New Zealand Army Education Corps.

  • The Royal New Zealand Nursing Corps.

  • The New Zealand Women's Royal Army Corps.

  • The New Zealand Cadet Corps.

The New Zealand Army Act as far as possible places the officers and soldiers of the Regular and Territorial Forces on the same footing.

Command and Organization.—The Army Board consists of—

  • The Minister of Defence, as President;

  • The Chief of the General Staff (First Military Member);

  • The Adjutant-General (Second Military Member);

  • The Quartermaster-General (Third Military Member);

  • The Army Secretary; and

  • A Territorial Officer (Associate Member).

The Board is charged with the administration and, through the officers appointed for that purpose, the command of the Army.

The Army in peace is so organized, trained, and equipped that, in the event of war, it can undertake rapidly and efficiently the tasks which will fall to it. Based on this principle, the higher grouping within the Army is—

  • Army Troops, which include Army Headquarters, the Army Schools, and base units. In general, Army Troops contain the machinery for the higher command and administration of the Army.

  • District Troops, which include District and Area Headquarters, District Training Camps, and such other units as are placed under command. These comprise the home defence and training elements of the Army.

  • New Zealand Division, which is a formation for employment within or outside New Zealand as the situation may demand.

Liability for Periods and Conditions of Service.—The liability for and conditions of service are given briefly in the following paragraphs.

Regular Force.—All officers and soldiers of the Regular Force are liable at all times for service within New Zealand and, with the exception of minors, overseas.

Enlistment in the Regular Force, which is voluntary, is until retiring age for officers, with provision for special short-term engagements, and for soldiers as follows:

  • Men: Eight years, of which the first five years are served on the Active List and the remaining three on the Reserve. Re-engagement for seven years or until retiring age for rank may be made at the conclusion of the initial five-year term. There is also provision for short-term engagements.

  • Women: Three years with re-engagement for two years or until retiring age for rank.

Territorial Force.—In time of war or other like emergency the Governor-General may, by Proclamation, transfer the Army Reserve or any specified portion thereof to the Regular Force or to the Territorial Force, and declare the Territorial Force liable for continuous service within New Zealand or overseas during the continuance of such state of war or emergency.

Territorial soldiers on completing their obligations for whole-time and part-time training under the Military Training Act 1949 are posted to the Army Reserve, Class A, which will provide the trained manpower if and when, in any future war, an Expeditionary Force is required.

The New Zealand Army Act also empowers the Governor-General to accept the offer of any officers or soldiers of the Territorial Force or the Army Reserve, or of any other persons, to render themselves liable, or to enlist in the Army, as the case may be, for service within or outside New Zealand.

Training.Regular Force: Except in cases of special entry from the Universities, a limited number of suitable Regular soldiers, and personnel who have had active service experience, Regular officers are commissioned, in the rank of Lieutenant, on graduation from the Royal Military College, Duntroon, Australia. They receive specialist and refresher training in New Zealand, while in certain cases their advanced training is carried out at British and Australian Army schools. Promotion to Captain and Major is gained after six and thirteen years commissioned service respectively, providing that the prescribed promotion examinations and courses are passed. Candidates for Staff College must pass the same entrance examinations as officers of the British Regular Army.

Regular soldiers are trained at the Army Schools in New Zealand. In certain cases advanced training is received in the United Kingdom and Australia. Before promotion to Corporal and Sergeant other ranks must pass the prescribed promotion examinations.

Territorial Force: The annual obligatory training prescribed for Territorial personnel consists of—

  1. Annual training camp: Fourteen days.

  2. Out-of-camp training: Six days, made up of whole-day or week-end parades, plus a proportion of evening parades in the form of instructional classes.

Attendance for a further twenty days' training annually, including courses at Army or District Schools, is authorized for officers and non-commissioned officers.

Before promotion officers are required to qualify at the prescribed courses and examinations for the next higher rank.

Compulsory Military Service Under the Military Training Act 1949: This service is as follows: (a) a period of whole-time service of fourteen weeks in a training camp (at present the period is 10½ weeks), (b) a period of part-time service of three years during which the soldier must serve for a total of sixty days, made up of fourteen days in-camp and six days out-of-camp training each year, (c) service for six years in the Army Reserve, with no training liabilities.

Training Establishments.Army Schools: Headquarters, Army Schools, commands and administers a group of Army Schools situated at the one centre, which provide courses for all ranks of the Regular Force as well as officers and specialist non-commissioned officers of the Territorial Force.

The group consists of the Tactical School, Regular Force Depot, School of Army Administration, School of Artillery, Armoured School, School of Signals, School of Infantry, Royal New Zealand Army Service Corps School, Royal New Zealand Electrical and Mechanical Engineering School, the Regular Force Cadet Unit, and the Regular Force Cadet School.

The Regular Force Depot provides basic recruit and instructor courses for all arms of the Regular Force, including Regular Force Cadets.

The Regular Force Cadet School provides academic training for cadets between the ages of sixteen and eighteen years.

Two other training establishments, the School of Military Engineering and the Medical Corps Depot, are situated apart from the central Army Schools organization but fulfil similar functions. In addition, each military district from time to time holds courses for Territorial officers and soldiers, and for personnel of the New Zealand Cadet Corps.

New Zealand Division.—On 1 May 1951 the headquarters of the New Zealand Division was established at Linton Military Camp, and as from 1 June assumed normal functions of command and administration of the formations and units of the Division. Both Regular and Territorial officers have been appointed to the headquarters staff.

Since the introduction of compulsory military training the formation of Divisional Headquarters is an important move in the furtherance of the policy of having a New Zealand Army organized and trained in peace so that it can efficiently take over its tasks and responsibilities in time of war.

New Zealand Armed Forces Serving in Korea.—As a signatory of the Charter of the United Nations New Zealand has a general obligation to co-operate with other members in the prevention of aggression and the restoration and maintenance of peace.

New Zealand is currently discharging this obligation by providing Naval and Army forces to participate under United Nations command in Korea.

The New Zealand Army “Kayforce”, enlisted from special volunteers, has been serving in Korea since January 1951. It originally consisted of a field regiment of artillery and auxiliary units but in November 1954 was reduced to a transport company.

The personnel of the force serve in the theatre of operations for from eighteen to twenty-one months, after which they may either elect to serve for a further period of one year or be returned to New Zealand for discharge. Those re-engaging are granted one month's furlough in New Zealand.

New Zealand Cadet Corps.—One hundred and thirty-three secondary schools have Cadet units. These units are designated by the name of the school. Service is voluntary, and annual training approximates thirty drills, each of one and one-half hours. All units are basically infantry, but provision is made in the larger units for such specialist activities as Sea Cadets, Artillery Troops, Signal Troops, and Air Training Corps Flights. All units can take part in certain Empire shooting competitions, and have had marked success in this respect. Courses for officers and noncommissioned officers are held at District Schools, and units may hold camps or barracks annually.

Activities During 1953–54.—The Territorial Force continued to grow in numbers and efficiency, while Kayforce was maintained at its established strength. Assistance was continued to the Fiji Military Forces, including the regiment engaged in operations in Malaya. Two Army officers were also provided as United Nations Observers in Palestine. A further four officers are serving as United Nations Observers in Kashmir.

All units of the Territorial Force completed their annual obligatory training. Realistic training exercises, held during annual camps, were generally well done. Some units were set exercises by Brigade Commanders, while all Brigades held tactical exercises without troops for officers of all arms. In addition a three day Divisional tactical exercise without troops was held during the year.

The main work of the Army during the Royal tour 1953–54 was in assisting the police and civic authorities by street-lining, all units, both regular and territorial, taking part. Guards at Government House in Auckland and in Wellington, and a Guard of Honour on the occasion of the State luncheon and the opening of Parliament, were also provided.

The Army also rendered considerable assistance on the occasion of the Tangiwai railway disaster, in the form of food, clothing, quartering, and hospital treatment to survivors and working parties, provision of search parties, supply of Bailey bridging, Army vehicles, and communications.

Rifle Clubs and Associations.—All rifle clubs and associations (including the parent body, the National Rifle Association of New Zealand) must be formally recognized by the Army Board. There are 170 rifle clubs and 13 rifle associations in New Zealand.

The planning, construction, and maintenance of rifle ranges, and safety precautions to be observed in conducting rifle practices and competitions, are governed by orders issued by the Army Board.

Army Expenditure.—The following table shows Army expenditure for the financial years 1952–53 and 1953–54.

Year Ended 31 March £
1953Consolidated Fund—Vote “Army”11,005,104
1954Consolidated Fund—Vote “Army”11,840,860

Strength of the Army.—The strength of the Army as at 30 September 1954 was as follows.

 OfficersOther RanksTotal

* Includes 271 women.

† Excluding 24 Regular officers and 68 Regular other ranks included under Regular Force.

Regular Force (incl. seconded from British Army)5523,2703,822*
Territorial Force (Active)1,28032,06133,341
Reserve of Officers (Regimental List)389..389
Class A Reserve..5,9885,988
Class B Reserve..178178
Class C Reserve..5,9665,966
Cadet Corps70234,73535,437
Kayforce711,5781,649

THE ROYAL NEW ZEALAND AIR FORCE: Command and Organization.—The Royal New Zealand Air Force is raised, maintained, and organized under the Royal New Zealand Air Force Act 1950 and consists of—

  1. The Regular Air Force.

  2. The Territorial Air Force.

  3. The Air Force Reserve.

  4. The Air Training Corps.

  5. The Women's Royal New Zealand Air Force.

The R.N.Z.A.F. is administered by the Air Board which consists of:

  • The Minister of Defence, as President.

  • The Chief of the Air Staff.

  • The Air Member for Personnel.

  • The Air Member for Supply.

  • The Air Secretary.

The Air Board is charged with the administration of the R.N.Z.A.F. Command is exercised by the Air Officer Commanding R.N.Z.A.F., who also holds the appointment of Chief of the Air Staff. R.N.Z.A.F. Headquarters is located in Wellington and a Task Force Administrative Headquarters and Inspectorate-General is established in the Auckland area. There are nine stations in New Zealand, including two stores depots and a headquarters unit, and one station in Fiji. A fighter/ground attack squadron served until recently with the R.A.F. in the Middle East Air Force.

Role.—The role of the R.N.Z.A.F. is to provide forces for the defence of New Zealand and her island and trust territories, for the defence of sea communications, and for deployment overseas as necessary to support the United Nations and to meet obligations to, and defence arrangements with, the Commonwealth and other allies. In order to meet these commitments the R.N.Z.A.F. is organized to provide an operational force immediately available in an emergency, and on mobilization to expand to provide additional operational and supporting units. The main peacetime duties of the R.N.Z.A.F. include the provision of overseas garrison forces, military air transport, and the training of both regular and non-regular units. In addition, a search and rescue organization is maintained in New Zealand and the South Pacific area.

Administration: Regular Air Force.—Candidates for commissions in the General Duties branch are drawn mainly from civil life and appointed to short-service commissions of four to eight years. Candidates for commissions in branches other than General Duties are drawn largely from the ranks, and some with higher educational and specialist qualifications are commissioned on joining the Service. Commissions are either permanent or short service; the latter are of two to eight years' duration and carry an obligation for service with the Air Force Reserve.

Permanent commissions in all branches are granted also to limited numbers of men who are selected for training at the R.A.F. and R.A.A.F. colleges at Cranwell and Point Cook respectively.

Retiring ages for officers holding permanent commissions in the General Duties branch are: Squadron Leader and below, forty-five years; Wing Commander, forty-eight years; Group Captain and above, fifty-three years; while those for other branches are forty-nine, fifty-one, and fifty-three years respectively.

Service for airmen in the Regular Air Force is through an initial engagement of eight years (for skilled and semi-skilled trades), with a reserve liability of four years in each case. Twelve-year engagements are granted to selected men who have been trained at the R.A.F. apprentice schools at Halton and Locking. Opportunities exist for re-engagement to qualify for pension. Normally, total service for pension is twenty-four years, but it may be reduced to twenty years in certain cases, or extended to permit service until fifty-five years of age. For women, the initial term of service is normally for three years with no reserve obligation. Opportunities exist for re-engagement, and airwomen may qualify for pension.

Non-Regular Air Forces.—The non-regular Forces of the R.N.Z.A.F. are in the main manned by volunteer officers and airmen with wartime experience, by personnel with reserve obligations on the completion of regular service, and by airmen enlisted under the provisions of the Military Training Act. University students can qualify for commissions in the Territorial Air Force after undergoing their initial compulsory military training and further periods of training with the Regular Air Force during their long vacations. Women are enlisted in certain trades in a Territorial section of the W.R.N.Z.A.F. Members of the Territorial Air Force and the Active Reserve have an annual training commitment; members of the General Reserve have no training obligation, but are liable to be called up in the event of war.

The Air Training Corps provides a valuable source of recruits for the Regular Air Force and the training provided is a sound basis for further training under the Military Training Act. Annual flying scholarships provide training at aero clubs for selected cadets.

Recruitment.—Recruiting is effected through three area recruiting and reserve centres in New Zealand and through R.N.Z.A.F. Headquarters in London.

Operational Units: Regular Units.—Regular units of the R.N.Z.A.F. comprise a maritime squadron stationed in Fiji, a fighter/ground attack squadron serving with the R.A.F. in Cyprus, and another training at Ohakea, a long range and a medium range transport squadron at Whenuapai, and a transport and communications squadron at Ohakea.

Non-Regular Units.—Non-regular units consist of four fighter/ground attack squadrons of the Territorial Air Force recruited in the four main centres, a territorial maritime squadron recruited in Auckland area, and the following Task Force Ancillary Units:

  • Two light anti-aircraft squadrons.

  • Air Stores Park.

  • Aviation Fuel and Ammunition Park.

  • Mechanical Transport Light Repair Unit.

  • Repair and Salvage Unit.

  • Mobile Field Hospital.

  • Casualty Air Evacuation Section.

In addition, air defence units established on a territorial basis are being raised for the control of all defence in the three main areas of Auckland, Wellington, and Christchurch. A fourth is being raised in the Auckland area for deployment in Fiji in an emergency.

Training Establishments: Flying Training.—Flying training activities are co-ordinated by a Flying Training Wing Headquarters established at Wigram. Within the wing organization the following schools operate at Wigram:

  • The Flying Training School (for the training of pilots up to “wings" standard).

  • The Air Navigation and Air Signals School (for the training of navigators and signallers (air)).

  • The Central Flying School (for the training of flying instructors). This school also provides refresher flying courses.

  • The initial training of all aircrew both regular and non-regular is undertaken at the Initial Training School at Taieri. At this school all pilots are flight graded for further training. Regular and territorial pilots then go on to the Flying Training School, while others receive additional training at selected aero clubs.

Ground Training.—Trade training is carried out at No. 1 T.T.S. Hobsonville, No. 2 T.T.S. Wigram, No. 3 T.T.S. Whenuapai, No. 4 T.T.S. Woodbourne, No. 5 T.T.S. Taieri, and No. 6 T.T.S. Ohakea, according to trade. The training of N.C.O.s and general service instructors is centred at Wigram. Initial general service training for airwomen recruits is given at the W.R.N.Z.A.F. Recruit School at Whenuapai. Officer training is done at the Officers School, Whenuapai. Boy entrants receive their initial training at the Boy Entrants School, Woodbourne. This school has been enlarged and will in future provide the means of entry into the R.N.Z.A.F. for an increasing proportion of recruits.

Compulsory Military Training.—Under the Compulsory Military Training Scheme young men are selected for training as pilots and ground staff to meet R.N.Z.A.F. mobilization requirements. Pilots training under this scheme are given further flying at aero clubs over a period of three years. Airmen in ground trades, after their initial training, undergo three annual periods of training either on a station or as a member of one of the Task Force Ancillary Units.

Activities During Year 1953–54.—No. 14 Squadron, operating Vampire aircraft, was stationed in Cyprus from the end of 1952 on training and garrison duties with the R.A.F. and has achieved a high standard of operational efficiency. It took part, in conjunction with other units, in a number of major defence exercises, which were held in the Mediterranean area.

No. 75 Squadron, which is also equipped with Vampires, is undergoing intensive training at Ohakea. In addition to working up to operational standards as a squadron, it has provided replacements for tour-expired members of No. 14 Squadron.

Until December 1954 No. 41 Squadron, equipped with Hastings and Bristol Freighter aircraft, maintained a regular transport service between New Zealand, Cyprus, and the United Kingdom, and a regular service to Japan in support of Kayforce. During 1954 it carried out the largest airlift so far undertaken by the R.N.Z.A.F. in peacetime when it transported military equipment from New Zealand to Tonga.

In December 1954 No. 40 Squadron was re-established and took over the Hastings aircraft from No. 41 Squadron to undertake the long range transport role. No. 41 Squadron now performs the medium range transport function only, with Bristol Freighters.

No. 42 Squadron provides communications within New Zealand and meets regional requirements. It also undertakes the multi-engine conversion training of pilots and performs target-towing duties. During the New Zealand tour of Her Majesty the Queen a special flight of the Squadron carried the Royal party over several stages of the route. It was responsible for the movement of the party's baggage throughout the tour.

No. 5 (Maritime) Squadron in Fiji has been re-equipped with Sunderland aircraft flown out from the United Kingdom by New Zealand crews, and continues to train in its appropriate role and at the same time provides air/sea rescue services in the Fiji area. During the past year it has co-operated in exercises with units of the New Zealand and other Commonwealth navies.

No. 6 (Maritime) Squadron has also been re-equipped with Sunderlands and performs a similar role to No. 5 Squadron.

Strength of the Air Force.—The strength of the R.N.Z.A.F. as at 31 March 1954 was:

Regular Air Force4,245
Women's Royal New Zealand Air Force446
Territorial Air Force405
Territorial Air Force (Supplement)2,548
Active Reserve4,023
General Reserve5,756

Air Force Expenditure.—The total expenditure of the Air Force for the year ended 31 March 1954 was £10,326,960. The comparable figure for 1952–53 was £8,386,103.

POST-WAR ARMED FORCES EMPLOYED OVERSEAS.—A brief summary of forces raised after the termination of hostilities in the Second World War and employed overseas is now given.

New Zealand Contingent of the British Commonwealth Occupation Force in Japan.—After the capitulation of Japan in August 1945 New Zealand agreed to join with the United Kingdom, India, and Australia in the despatch of a British Commonwealth Force to take part in the occupation of Japan. The objects of the British Commonwealth Occupation Force (B.C.O.F.) were to represent worthily the British Commonwealth in the occupation of Japan; to maintain and enhance British Commonwealth prestige and influence in the eyes of the Japanese; and to illustrate to, and impress on, the Japanese people, as far as was possible, the democratic way and purpose of life. The military role of B.C.O.F., under the direction of the Supreme Commander for the Allied Powers and within its allotted area, was: the safeguarding of all Allied installations, and of all Japanese installations awaiting demilitarization; the demilitarization and disposal of Japanese installations and armaments; and military control (which did not include military government).

The Army Component of the New Zealand Contingent was constituted as the Japan Section of the Second New Zealand Expeditionary Force. It was formed in Italy late in 1945 from the 9th Infantry Brigade and other units of the Second New Zealand Division, some 4,239 personnel being found from the single members of the 13th, 14th, and 15th Reinforcements, which were already in the Mediterranean theatre. The New Zealand Force sailed from Naples in February and arrived in Kure, Japan, on 19 March 1946. Its allotted area of occupation included the Hiroshima Prefecture.

The original members of the Force were repatriated to New Zealand in July 1946, their places being taken by volunteers from New Zealand who had enlisted for twelve months' service in Japan. In 1947 a further relief of personnel took place, enlistments again being on a voluntary basis, and for reasons which included the diminishing nature of the military tasks connected with the occupation, the strength of the Force was reduced to 2,400.

Early in 1948, by agreement with the other Commonwealth Governments concerned and with the concurrence of the Government of the United States of America, the New Zealand Government decided to withdraw the Force, without relief, between July and October of that year.

The Air Component of the New Zealand Contingent comprised No. 14 (Fighter) Squadron, R.N.Z.A.F. This Squadron, which initially comprised 33 officers and 239 other ranks, was formed on 1 December 1945, and together with its Corsair aircraft was transported to Japan in March 1946. In Japan it formed part of the British Commonwealth Air Group (B.C. AIR) and was stationed initially at Iwakuni and later at Bofu. Operational flying began early in May 1946 and included surveillance patrols over the B.C.O.F. occupation area, searches for shipping bringing Koreans illicitly to Japan, and on occasion operational exercises with other units of B.C. AIR. The tour of duty for personnel was planned to be not more than one year, and reliefs were carried out progressively.

Air Courier Service: In addition to the provision of the Army and Air components of the New Zealand Contingent of B.C.O.F., an air courier service was maintained between New Zealand and Japan from March 1946 to June 1948. This service was undertaken by No. 41 Squadron, R.N.Z.A.F., and carried mail for the New Zealand Contingent together with freight and personnel for the relief of No. 14 Squadron. A number of Army personnel were also carried.

New Zealand Armed Forces for Service in Korea.—As a result of an appeal from the Secretary-General, United Nations, for assistance in the operations in Korea, the Prime Minister announced on 29 June 1950 that units of the Royal New Zealand Navy would be made available for service in that area. Two frigates, H.M.N.Z.S. Tutira and H.M.N.Z.S. Pukaki, accordingly left New Zealand waters on 3 July 1950.

Army Personnel.—As a result of a further appeal from the United Nations for each member country to examine its capacity to provide more fighting forces, particularly ground troops, the Prime Minister announced on 26 July 1950 that New Zealand was offering to the United Nations a special volunteer combat force for service with other ground forces in Korea, the first force, comprising a regiment of artillery and ancillary units, leaving New Zealand in November–December 1950.

The history of the Force up to the signing of the Armistice is summarized in earlier issues of the Year-Book.

In the latter half of 1954, following the decision of the United States of America to withdraw part of its forces from Korea, the Commonwealth Division was also reduced.

As part of a co-ordinated plan 16 New Zealand Field Regiment, which up to then had been New Zealand's main contribution to the United Nations ground forces, and ancillary units were disbanded. This left 10 Company Royal New Zealand Army Service Corps, a small Force Headquarters, and a few personnel on certain integrated headquarters, as New Zealand's contribution to the reduced force. Personnel of the disbanded units were returned to New Zealand; those who had been overseas longest being brought back first.

In New Zealand recruiting for Kayforce was suspended for the time being except that men who were in camp or under notice to proceed to camp for training were trained as reinforcements for the Royal New Zealand Army Service Corps Company.

New Zealand Frigates in Korea.—New Zealand's first contribution to the United Nations Naval Forces in the Korean area, the frigates H.M.N.Z.S. Tutira and Pukaki, sailed from Auckland on 3 July 1950, almost immediately after the outbreak of hostilities. From then until the Cease Fire two frigates were maintained in the area, each ship serving approximately twelve months before returning to New Zealand. Their duties at first consisted of patrolling and escorting troops and supplies from Japan to Pusan. The New Zealand frigates also acted as escorts for the Inchon landing. Subsequently the duties of the Naval Forces were extended. A steady blockade patrol was kept up on the west coast of Korea and junk traffic was controlled, such vessels often being stopped and searched for enemy troops or supplies. New Zealand frigates controlled Republic of Korea minesweepers, and assisted in their activities.

After June 1951 the monotony of routine blockade patrols was varied by bombardments of enemy gun positions, supply columns, troop concentrations, and lines of communications. The frigates also provided gun-fire support for raids against the mainland or enemy-held islands by friendly forces. The navigationally treacherous Han River was negotiated to enable the enemy well inland to be harassed. H.M.N.Z.S. Rotoiti personnel took part in three commando landings when they destroyed enemy positions and took prisoners. H.M.N.Z.S. Taupo played an important part in repelling a landing on a friendly-held island off the east coast of Korea and sank the majority of the junks carrying enemy troops.

On the average three-quarters of the New Zealand frigates' time was spent at sea, often for three or four weeks, and occasionally longer, without a respite. A brief visit to a Japanese port for fuel and stores was then made before taking up patrol duties again.

From 3 July 1950 until the Cease Fire on 28 July 1953 New Zealand frigates steamed 339,584 miles and expended 71,625 rounds of ammunition. There were eight tours of duty involving all six of the Royal New Zealand Navy's frigates, and approximately half the Navy's strength (over 1,200 naval personnel) during this period saw Korean War Service. Three casualties were suffered due to operations in Korea.

After the Cease Fire, New Zealand's Naval contribution was reduced to one frigate in the area with a second immediately available but maintained in New Zealand where it could also be used for training duties. From February 1954 the frigate left in the area was placed under the administrative control of the Commander-in-Chief, Far East Station. Thus, while it still spent part of its time in Korean waters it also became available for routine duties as a unit of the Royal Navy's Far East Fleet. This has included anti-piracy patrols in North Borneo and anti-terrorist activities in Malaya.

Cyprus.—A fighter/ground attack squadron, operating Vampire aircraft, was stationed in Cyprus from the end of 1952 on training and garrison duties with the R.A.F. It has achieved a high standard of operational efficiency and, with other units, participated in a number of major defence exercises which were held in the Mediterranean area. It has been announced recently that this squadron will be withdrawn from Cyprus and will operate in the Malaya area.

Malaya.—The Prime Minister announced in early 1955 that it was intended to recruit an Army Special Air Service Squadron for jungle warfare in Malaya. This unit would be in addition to the Royal New Zealand Air Force contribution comprising No. 14 Squadron, transferred to Malaya from Cyprus, and a half transport squadron, together with occasional training visits by maritime reconnaissance aircraft. The Royal New Zealand Navy will continue to maintain a frigate in the area.

STRENGTHS OF THE ARMED SERVICES, 1939–54.—Approximately 60,000 men volunteered for service in the New Zealand Forces in the Second World War before conscription was introduced in July 1940.

The net intake of men to the Armed Forces—i.e., exclusive of transfers between the Services and of re-entries—was 194,000, equivalent to 67 per cent of the male population between the ages of eighteen and forty-five years. In addition, approximately 10,000 women served in the Forces.

The following table shows the approximate strength of each of the Services from the outbreak of war in September 1939 at yearly intervals until March 1954 and also in August 1945, when hostilities ceased. The figures at July 1942 are also shown, as that month marked the peak for mobilization, there being 151,073 men in the Armed Forces at that time, representing approximately 43 per cent of the male population of military age.

As at 31 MarchNavyArmyAir ForceAll ServicesTotalFemale Personnel (Included in Previous Columns)
In New ZealandOverseas

* Exclusive of Territorial Force (or service equivalent) and Reserves.

† Not available.

1939 (September)1,32018,0001,48620,39241420,806..
19401,79129,3003,80827,6287,27134,89918
19413,57975,14810,21354,99733,94388,940202
19425,605109,38918,22882,20151,021133,2222,356
1942 (July)6,110124,77323,666104,49050,059154,5493,476
19437,657104,08733,77782,74062,781145,5217,302
194410,01872,66241,59555,03969,236124,2757,942
194510,41246,69835,00442,73149,38392,1145,609
1945 (August)10,46640,94231,57836,96246,02482,9864,632
19464,52814,1296,91819,2146,36125,5751,838
19471,6327,1643,6577,4105,04312,453577
1948*1,6574,7462,8966,4652,8349,299435
1949*2,2672,5683,0497,884498
1950*2,5113,0963,4959,102684
1951*2,6694,4023,50010,571645
1952*2,5255,9953,98512,505846
1953*2,8236,5584,62414,005957
1954*2,9155,9704,69113,576771

The establishment of the Emergency Reserve Corps in August 1940, consisting of (1) the Home Guard, (2) the Emergency Precautions Services, and (3) the Women's War Service Auxiliary, provided for the effective utilization of civilian personnel in the case of emergency. The Home Guard, which was constituted a part of the Defence Forces on 30 July 1941, reached its peak in April 1943 with a total strength of 124,194 men, while the total numbers involved in the Emergency Precautions Services at one stage reached 150,000. The New Zealand Naval Auxiliary Patrol Service commenced operations in December 1941, and attained its maximum strength of 463 ratings in August 1942. None of these figures is included in the table given.

CASUALTIES ON ACTIVE SERVICE: Second World War and Jayforce.—The following table gives particulars of casualties suffered on active service by members of the New Zealand Armed Forces and Mercantile Marine from the outbreak of the Second World War in September 1939 up to 31 December 1946. The figures shown for the Navy and Air Force include New Zealand personnel serving with the Royal Navy and Royal Air Force respectively. Deaths and injuries due to accidental causes while on active service are included in the figures of deaths and wounded respectively. The number shown as “missing" refers to the number so classified as at 31 December 1946.

Deaths (Including Died as Prisoner of War)Wounded and InjuredPrisoners of WarWounded and Taken Prisoner of WarInternedMissingTotals
Navy57317054..3..800
Army6,79315,3246,6441,219 4630,026
Air Force4,1492555203223..4,979
Mercantile Marine110......123..233
    Totals11,62515,7497,2181,2511494636,038

In addition to the above figures there were 11 deaths reported in the 2nd N.Z.E.F. (Japan) up to 31 December 1948.

Korea.—New Zealand casualties recorded as a result of service with the United Nations Forces in Korea from the commencement of service up to 31 December 1954 are as follows.

Class of CasualtyCasualties in Korean Theatre to 31 December 1954
Royal New Zealand NavyArmyTotal
Killed in action11415
Died of wounds..66
Drowned112
Died of sickness..77
Died on active service..99
      Total, deaths23739
Wounded17980
Prisoner of war (now released)..11
      Total casualties3117120

HONOURS AND AWARDS.—A number of honours, decorations, etc., have been made to personnel for service in Korea or Korean waters, and the following list shows the number of each class awarded up to 31 December 1954.

Navy
Distinguished Service Cross8
Member of the Most Excellent Order of the British Empire1
Distinguished Service Medal2
Mentioned in Despatches17
Posthumously Mentioned in Despatches1
Army
Companion of the Bath1
Distinguished Service Order4
Member of the Most Excellent Order of the British Empire11
Military Cross11
Distinguished Conduct Medal1
Military Medal7
British Empire Medal5
Mentioned in Despatches49

SUMMARY OF WARTIME ACTIVITIES OF ARMED FORCES.—In the following pages a condensed account of the wartime activities of the three armed services is given. A more detailed account is given on pages 203–206 of the 1950 issue of the Year-Book. Post-war armed forces raised for duties overseas are given earlier in this Section.

Army Expeditionary Forces.South African War: New Zealand supplied ten contingents for service during the South African War, comprising a total of 6,500 officers and men.

First World War 1914–18: Immediately the First World War of 1914–18 broke out an Expeditionary Force was despatched to Western Samoa and occupied those islands, while a larger force in the form of a mixed brigade was despatched to Europe. The latter force was, however, landed in Egypt, and took part in the defence of the Suez Canal. It gave a good account of itself in the desperate campaign on Gallipoli, and after being withdrawn to Egypt was expanded into a Division and a Mounted Brigade. The Division then went to the Western Front, while the Mounted Brigade continued to operate in Palestine. Both forces became famous for their military qualities, and took part in practically all the great actions of their respective theatres up to the Armistice.

A total of 98,950 troops left New Zealand for service with the New Zealand Expeditionary Forces, and, of these, 16,697 lost their lives on active service. In addition to the 98,950 of all ranks of the New Zealand Expeditionary Forces, 944 British Army Reservists, British Naval Reservists, and others left New Zealand to rejoin their units in the United Kingdom or in a theatre of war. It is also known that 3,370 (not included above) left New Zealand during the period of the war and joined units of the British Forces or the Expeditionary Forces of other Commonwealth Countries.

On the Armistice being declared in November 1918 New Zealand had 52,000 troops in the field, while 10,000 more were ready to embark or were under training.

The tremendous amount of transport work involved in the conveyance of these forces to Egypt, France, Britain, Gallipoli, and Samoa was carried out with extraordinary success, not one New Zealand transport having been lost while conveying troops.

The troops provided for foreign service represented nearly 10 per cent of the total population of New Zealand in 1914, and over 40 per cent of the male population between the ages of twenty and forty-five years. These percentages do not take into account New Zealanders who served in the British or Australian Naval or Military Forces.

Second World War 1939–45—Middle East Theatre: Shortly after the outbreak of war with Germany on 3 September 1939 the 2nd New Zealand Expeditionary Force, consisting of an Infantry Division with numerous auxiliary units and its own base and hospital services, was formed.

This Force, which was commanded by Major-General B. C. Freyberg, V.C., left New Zealand in three Echelons, the First Echelon sailing on 5 January 1940 and proceeding to Egypt. The Second Echelon was diverted to England in May, and the 2nd Division was first concentrated in Greece in March 1941, a few days before the German invasion. In the Greece Campaign the Division fought severe rearguard actions at the Servia Pass, Katerini Pass, Platamon, and Peneios Gorge. The 6th Brigade was evacuated to Egypt, 4th and 5th Brigades to Crete. General Freyberg took command of all the forces in Crete, which included 7,150 New Zealanders when the German airborne invasion began on 20 May. After a week of hard fighting, especially at Maleme and Galatos, the ill-equipped troops were forced to retreat across the mountains to Sphakia, where most were evacuated.

After reorganization and a period of training the Division took part in the campaign in Cyrenaica and the relief of Tobruk, in which it played a prominent part. Severe actions were fought at Sidi Rezegh, Belhamed, Capuzzo, and Gazala. Early in 1942 the Division moved to Syria. It returned to Egypt by a notable move of 900 miles in the height of summer to meet the German invasion of Egypt after the fall of Tobruk. During the summer of 1942 it fought costly actions at Minqar Qaim, Ruweisat, El Mreir, and Alam Haifa, and made an important contribution to the defence of Egypt.

On 23 October it was one of the assaulting Divisions in the decisive battle of Alamein. It then took part in the pursuit to Tripoli, fighting several actions en route, in the defensive battle of Medenine, and in the subsequent advance to Tunis, fighting severe actions at Tebaga Gap and Takrouna-Enfidaville. The campaign in Africa ended on 13 May 1943, with the surrender of all the Axis forces, and the Division returned to Egypt.

In September 1943 the Division moved to Italy and was constantly and heavily engaged until the end of the war. The most notable battles in which it took part were: Orsonga (Nov.-Dec. 1943), Cassino (Feb.-May 1944), the advance to Florence (July-Aug. 1944), Rimini (Oct.-Nov. 1944), Faenza (Dec. 1944), and the final Battle of the Senio and pursuit to Trieste (Apr.-May 1945). The German armies in Italy surrendered on 2 May 1945.

Total casualties in the 2nd New Zealand Expeditionary Force, Middle East and Pacific, were 6,793 deaths from all causes, 16,543 wounded, 7,863 prisoners of war (including 1,219 wounded), and 46 missing: total 30,026.

Pacific Theatre: A detachment of 2 officers and 30 other ranks occupied Fanning Island, to protect the cable station there, immediately on the outbreak of war and until relieved by United States troops in May 1942.

The 8th Brigade Group was despatched to Fiji in November 1940. It was reinforced by the 14th Brigade Group in January 1942, and became the 3rd New Zealand Division, which was relieved by United States troops and returned to New Zealand in July 1942. New Zealand officers and noncommissioned officers trained, and to a large extent commanded, the three Fijian Battalions and two Commandos which had distinguished service with American troops in Bougainville and other Pacific islands.

One New Zealand battalion garrisoned Tonga and a second one Norfolk Island.

The 3rd Division, under command of Major-General H. E. Barrowclough, moved to New Caledonia in November 1942, and in August 1943 to Guadalcanal. Under United States command it carried out successful amphibious operations on Vella Lavella, the Treasury Islands, and Nissan. Owing to man-power difficulties it was withdrawn to New Zealand in 1944 and disbanded in October, the personnel returning to industry or going to the Middle East to reinforce the 2nd Division. Casualties in the Pacific operations were 111 killed in action, 213 wounded, and 26 taken prisoner.

Royal New Zealand Navy.Second World War 1939–45: H.M.N.Z.S. Achilles, a light cruiser, took part in the Battle of the River Plate, the first occasion on which the New Zealand ensign was flown in action.

Achilles was thereafter employed in patrol and escort duties in New Zealand waters and in the Pacific under United States command. She was severely hit by a bomb off Guadalcanal on 5 January 1943, and sustained 21 casualties. She was paid off at Portsmouth on 21 September 1943, and recommissioned on 23 May 1944. In the last months of the war she served in the British Pacific Fleet and took part in several bombardments of Japanese island positions.

H.M.N.Z.S. Leander, a light cruiser, was employed on patrol and escort duties in New Zealand waters until May 1940, when she sailed for the Middle East for escort duty in the Red Sea. While operating later in the Indian Ocean she sank the Italian raider Ramb I after a short action. Between June and September 1941 she took part in several actions off the Syrian coast. After Japan cattle into the war she was employed in the Pacific, and in the Battle of Kolombangara on 13 July 1943 was severely damaged, with 43 casualties.

H.M.N.Z.S. Monowai, armed merchant cruiser, was employed in patrol and escort duties in the Pacific and in New Zealand waters.

H.M.N.Z.S. Gambia, a light cruiser, was commissioned as a unit of the Royal New Zealand Navy by the officers and ship's company of the Achilles on 22 September 1943. After service in the North Atlantic she joined the British Eastern Fleet on 19 February 1944, and took part in all the major operations of that Fleet and of the British Pacific Fleet. She was present at the signing of the Japanese surrender in Tokyo Bay.

25th Minesweeping Flotilla was organized in April 1941. On 14 May 1941, while the flotilla was clearing a minefield in the Hauraki Gulf, the Puriri struck a mine and sank with 5 casualties. In December 1942 this flotilla came under American command. On 29–30 January 1943 the Kiwi and Moa sank a large Japanese submarine off Guadalcanal after a sharp action. The Moa was later sunk by air attack, with 21 casualties. In August 1943 the Tui took part in the sinking of another big submarine.

Forty minesweeping and anti-submarine vessels, 12 Fairmile launches, 16 harbour defence motor launches, and about 100 other motor boats served in the Royal New Zealand Navy in New Zealand waters, doing much arduous service.

New Zealanders in the Royal Navy: Approximately 7,000 New Zealanders served in the Royal Navy, the peak of 1,242 officers and 3,659 ratings being recorded in September 1944. They saw service in every type of ship from battleships and aircraft carriers to submarines and motor torpedo boats, and took part in notable actions and operations in every theatre of war. Deaths totalled 458, the heaviest casualty list being 148 New Zealand ratings and two officers lost when the cruiser Neptune was sunk in the Mediterranean on 18–19 December 1941.

Total casualties among New Zealand personnel (Royal Navy and Royal New Zealand Navy) were 800, including 573 deaths.

Royal New Zealand Air Force.Second World War 1939–45: Until Japan came into the war the R.N.Z.A.F. was mainly concerned with escort and convoy duties in New Zealand waters and with training aircrews for service in the R.A.F.

Operational aircraft began to arrive from the United States in 1942, and eventually 26 squadrons were formed and saw service in the Pacific, under American command. They took part in offensive operations in the Solomons, on Bougainville, New Ireland, and against Rabaul, and carried out much supply dropping and convoy escort work and many anti-submarine patrols and survivor searches.

Ninety-nine enemy aircraft were shot down by R.N.Z.A.F. fighter squadrons and four by bomber squadrons. One submarine was sunk, many barges and small craft were destroyed, and 10,700 tons of bombs dropped.

Casualties in the R.N.Z.A.F. in the Pacific were 345 killed, 58 seriously injured, and 4 taken prisoner, 3 of whom died. In New Zealand 335 were killed, 100 died from natural causes, and 44 were injured.

New Zealanders in the Royal Air Force: Seven squadrons with a New Zealand identity and a majority of New Zealand personnel served with and as part of the Royal Air Force. They were 75 and 487 Bomber Squadrons, 489 Torpedo Bomber Squadron, 485, 486, and 488 Fighter Squadrons, and 490 Flying-boat Squadron.

All took part in very numerous operations and sustained and inflicted heavy losses.

The great majority of the 9,000 New Zealanders who served in the Royal Air Force were scattered in Royal Air Force squadrons, and there were some in every important operation carried out by the Royal Air Force. Their casualties were extremely heavy—3,267 killed, 128 seriously injured, and 571 taken prisoner. Of the 500 New Zealanders serving in the Royal Air Force on the outbreak of war in September 1939, 327 were killed and 8 died while prisoners of war.

New Zealand Mercantile Marine.—Five New Zealand merchant ships were lost by enemy action—the Awatea, 13,482 tons; Limerick, 8,724 tons; Hauraki, 7,113 tons; Komata, 3,900 tons; Holmwood, 546 tons.

110 seamen were killed and 123 interned.

9 B—REHABILITATION

LEGISLATIVE AUTHORITY AND ADMINISTRATION.—The Rehabilitation Act 1941 and its amendments made provision for the re-establishment in civil life of discharged servicemen and for the reconstitution of wartime industries on a peacetime basis. The Act provides for the constitution of a Rehabilitation Board and a National Rehabilitation Council. The principal function of the Council is to make recommendations to the Minister (after investigation) in relation to the re-establishment of discharged servicemen in civil life. Particular matters mentioned in the Act in this regard include the following:

  1. The reinstatement of discharged servicemen in civil employment or occupation:

  2. The necessary training required to qualify them for entry into civil employment and the granting of financial assistance during such training:

  3. The making of special arrangements concerning the passing of examinations, the completion of apprenticeships, or the obtaining of practical experience, etc.:

  4. The granting of financial assistance to discharged servicemen and to servicemen's widows to enable them to acquire homes and furniture, or to acquire land, stock, implements, tools of trade, etc., to commence any employment or occupation.

The Council consists of the Minister of Rehabilitation as Chairman, the members of the Board, and such other persons as the Governor-General may from time to time appoint. At 31 March 1954 the total number of members was twenty-one. The Board consists of the Minister as Chairman, the Director of Rehabilitation, the Secretary to the Treasury, the Managing Director of the State Advances Corporation, the Director-General of Lands, the Secretary of Maori Affairs, the Commissioner of Works, and five other persons appointed by the Governor-General. The general functions of the Board are to organize the establishment in civil life of discharged servicemen or servicemen's widows, and to co-ordinate and use the services available in departments of State and elsewhere for the carrying-out of its functions. The Board also determines the nature and extent of the assistance that may be granted to any class or classes of servicemen, and approves the granting of such assistance.

The Board has the assistance of district Rehabilitation Committees, which keep in touch with discharged servicemen and act in an advisory capacity concerning rehabilitation matters in their respective districts. The number of committees operating at 31 March 1954 was 9.

Other legislative measures for the purpose of rehabilitating discharged servicemen are the Land Act 1948 and its amendments. The Land Act 1948 contains provisions which enable the Land Settlement Board to give preference at ballots to discharged servicemen of the Second World War, and also to sell or grant a lease or licence to such a serviceman without public notice and without competition.

The Emergency Forces Rehabilitation Act 1953, re-enacting Part III of the Emergency Forces Act 1950 in an extended form, enables regulations to be made for the rehabilitation and protection of servicemen and the dependants of servicemen who have served overseas in connection with any emergency, whether a United Nations one or otherwise—i.e., includes service in Malaya as well as in Korea.

The Emergency Forces Rehabilitation Regulations 1953, made under the 1953 Act, extend to the widows, widowed mothers, and children of servicemen, and also make provision for the financial assistance of servicemen while serving. The Rehabilitation Board is to determine the nature and extent of the assistance to be granted in each case, within the limits prescribed in the regulations. The general provisions of Part I of the Rehabilitation Act 1941 and its amendments as to the Board and its powers are to apply except insofar as they are inconsistent with the regulations.

The Emergency Forces Occupational Re-establishment Regulations 1951 safeguard the rights of a worker in relation to his civil employment, in the event of his serving as a member of an emergency force raised in New Zealand or elsewhere in the Commonwealth in connection with a United Nations emergency.

Future of Rehabilitation Assistance and of the Organization.—Since 1947 the Rehabilitation Board has closely watched the demand for rehabilitation assistance, and as this demand has lessened steps have been taken to reduce and adjust the organization as at the time constituted. These adjustments have resulted in the closing of all except five departmental offices and cessation of operations at the Board's full-time training centres, with a consequent reduction of staff.

In 1953 the Government made certain decisions on the future of rehabilitation generally.

It was considered that the present minimum service requirements constituting eligibility for the various forms of rehabilitation assistance met any real need arising from service and that further lowering of these requirements would not be justified.

The provision of initial rehabilitation assistance has been substantially completed in all fields except land settlement and housing. Because of the numbers still requiring assistance in these two fields, it was considered that, at this stage, it would be both unreasonable and impracticable to set a time limit. This applies also to those who, for special reasons and in accordance with the policy of the Board, may be accepted in the future as eligible for land-settlement assistance either generally or for a specific property or class of property. Similarly, no time limit is to be fixed at this stage for applications for housing loans, or preferences for sections. These decisions are to be reviewed in July 1955.

The need for the 50 per cent preferential quota of State houses for ex-servicemen has, in some districts, diminished considerably and no new applications are being admitted after 31 March 1954, except in special circumstances.

The present policy for business loans provides that, in general, and having regard to the time elapsed since discharge, loan assistance for establishment in business will be confined to cases where the proposition involved has been within the contemplation of the applicant, and he has demonstrated his interest by gaining suitable experience and by saving to make a reasonable contribution to his establishment in the particular business field. It has been decided that the present policy be confirmed but that no time limit be fixed at this stage. This decision also will be reviewed in July 1955.

The close relationship of furniture loans to housing warrants similar treatment, and it was accordingly decided that here also no time limit would be fixed for receipt of applications at this stage, but that this decision would be reviewed in July 1955.

In view of the very pronounced reduction in the demand for education and trade training, and the opportunity to apply which has been offered over a long period, it has been decided that, except in special circumstances, new applications be not accepted after 31 March 1954.

Notwithstanding the continued lessening of the demand for rehabilitation assistance, the work of attending to post-settlement problems of some ex-servicemen will continue for a considerable time. Under the reorganization which took effect from 31 March 1954, the Board retains control of post-settlement questions. It provides relief in those cases where, through no fault of the individual concerned, help is justified.

None of these decisions has any force in respect of:

  1. Members or ex-members of emergency or similar forces;

  2. Children of deceased and totally incapacitated ex-servicemen;

  3. Ex-servicemen whose rehabilitation may at any time be retarded or interrupted or become necessary from war disability.

Appropriate forms of assistance for these groups will continue under such terms and conditions as may be considered appropriate by the Rehabilitation Board from time to time.

The following components of the organization have been retained: Portfolio of Rehabilitation, Rehabilitation Board, and the Rehabilitation Council. Farming Sub-committees were absorbed into reconstituted Land Settlement Committees from 1 April 1954.

The Rehabilitation Committee organization has been replaced by one consisting of a limited number of district Rehabilitation Committees comprised of representatives of towns or communities within the respective district.

From 1 April 1954 the Rehabilitation Department ceased to function as a separate department and became a division of the Department of Internal Affairs. From this date it took the form of a Board Secretariat with regional representation, now at Auckland, Napier, Wellington, Christchurch, and Dunedin.

TRADE TRAINING.—The “A" Class training scheme provided in a number of the building trades full-time intensive theoretical and practical indoor classes, followed by full-time advanced practical work under the supervision of the Board's Instructors. At the peak of the scheme full-time training in carpentry was in operation at twenty-one centres, and at some of these also in painting, bricklaying, and plastering. As the needs of ex-servicemen were substantially met it was decided that no further applications for training in the building trades in the full-time centres operated by the Board would be received after 31 January 1951, and that centres would cease to operate as the final classes of trainees undergoing training completed their courses. The final centre, at Gisborne, was closed in June 1953. The number of men who completed “A" Class training from the inception of the scheme to 31 March 1954 was 7,346.

During their period of advanced practical training, trainees were engaged on the construction of houses under the Government's housing scheme, and from a modest beginning in 1942 the output increased to the extent that the Rehabilitation Department became one of the biggest contractors for State houses.

In the earlier stages of the “A" Class training scheme provision was also made for the training of ex-servicemen in general engineering, welding, and the footwear-manufacturing industry.

The “B" Class scheme of training provides for contracts between employers and trainees and the Board for engagement and training over suitable periods in the employer's own workshop. The wages are subsidized by the Board at a gradually decreasing amount as the training progresses and the trainee's skill and productive value increases. With the closing down of the “A" Class training centres, “B" Class facilities are available to ex-servicemen who wish to learn a skilled trade.

Certain trades such as boot repairing, watchmaking, jewellery manufacturing, etc., are particularly suited to the needs of disabled men, and, so far as is reasonably possible, training in such vocations is reserved for ex-servicemen suffering from major disabilities.

Arrangements similar to those in regard to trade training have been made for the training of ex-servicemen with suitable educational background as clerical workers, and in a number of professions such as law, accountancy, surveying, architecture, and journalism.

The following table summarizes the result of the “B" Class training scheme up to 31 March 1954.

TradeUnder TrainingCompleted TrainingTotal
Carpentry34259293
Joinery38184
Plumbing40218258
Bricklaying13233
Painting and paperhanging8187195
Plastering117182
Other building trades13637
Clerical and professional2434436
Engineering and metal trades4561565
Electrical trades15248263
Foodstuffs2112114
Footwear and leather trades1175176
Furniture trades5375380
Motor trades12444456
Other mechanical trades24749
Printing298100
Retail trades3367370
Roof-tiling..66
Textile and clothing trades1176177
Miscellaneous trades3171174
    Totals1504,0984,248

The “C" Class training scheme caters for the resumption of apprenticeships interrupted by service. The Suspension of Apprenticeship Emergency Regulations 1944 and the Emergency Forces Occupational Re-establishment Regulations 1951 provided that an apprentice on reviving his contract should receive at least the apprenticeship rate of wages that he would then be receiving had his employment been continuous. If the expiry date of the contract (calculated on the basis of an apprenticeship of not more than five years) has passed, the employer is called upon to pay to the apprentice the final contract rate, and similar payment must be made if the apprentice has reached the age of twenty-one years and had at least twelve months' home service or has rendered military service overseas. Where a contract is revived after the original expiry date (five-year basis) has passed, or where the contract expires after revival, the wage is appreciably less than the journeyman's rate which would have been payable had the full contract erm been served. As this is an obvious financial hardship arising directly from military service, the Board makes available a subsidy over and above the amount which the regulations require the employer to pay in order to bring the apprentice's wage up to the journeyman's rate. The Suspension of Apprenticeship Emergency Regulations were revoked by the Military Training Act 1949, which, however, preserved the rights and privileges of apprentices who had revived their apprenticeships under those regulations. At 31 March 1954, 3 ex-servicemen were undergoing training under this scheme, 3,400 had completed their training, and 371 had discontinued for various reasons.

DISABLED SERVICEMEN.—Apart from the Board's general forms of assistance which are available to these men, special training assistance continues to be provided on behalf of the Board by the Disabled Servicemen's Re-establishment League and the Blinded Servicemen's Trust Board.

The League provides training in trades particularly suited to seriously disabled men, and the Rehabilitation Board is prepared to subsidize wages of any such disabled men whose disabilities make institutional treatment necessary or preferable to training within industry. This assistance is valuable for the ex-serviceman whose disability prevents him from following his normal occupation.

The League also provides employment under sheltered conditions for ex-servicemen whose disabilities make them unemployable in the ordinary industrial life of the community. Here again the Rehabilitation Board is prepared to assist by subsidizing wages.

Since the League undertook this work on behalf of the Rehabilitation Board 478 men had completed their training by 31 March 1954. Forty-three men were receiving training at that date.

The Blinded Servicemen's Trust Board was constituted in 1945 to provide training facilities for the wholly or partially blinded ex-servicemen and to promote their welfare. One man was under training during the year ended 31 March 1954, but many men have attended the training centre, “St. Dunstan's,” for instruction in additional techniques and new methods. The bulk of training has now been accomplished, and the Trust Board's activity is mainly concentrated on aftercare of over 50 men located throughout New Zealand and the co-ordination of assistance available through State and private channels.

FARM TRAINING AND SETTLEMENT.—In its approach to the task of settling the servicemen on the land the Rehabilitation Board had the benefit of the experience gained from the operations of the Discharged Soldiers' Settlement Act 1915, and in framing its policy it has endeavoured, as far as possible, to avoid the pitfalls of the past.

The Board decided that the following basic principles should be applied in its land-settlement scheme for ex-servicemen from the Second World War:

  1. To make settlement facilities available only to fully experienced applicants.

  2. To give adequate training to those eligible applicants who were not fully experienced.

  3. To settle ex-servicemen on farms which should, under reasonable conditions, be capable of producing sufficient to maintain the property, provide a reasonable standard of living, and pay all other outgoings, including mortgage charges.

The Grading System.—The Board, in consequence of the above, decided that the qualifications of every farming applicant should be subjected to the closest scrutiny and that eligible applicants should be classified according to their ability.

  • Grade “A”: Experienced men qualified for immediate settlement on farms of their own.

  • Grade “B”: Partly experienced men in need of further training to fit them to take up and manage farms of their own.

  • Grade “C”: Inexperienced men considered suitable for training with the intention that they should ultimately be established on farms of their own.

  • Grade “D”: Not suitable for farm training or settlement.

The grading of applicants is the responsibility of Land Settlement Committees established under the Land Act 1948, and comprising the Commissioner of Crown Lands as Chairman and experienced private farmers and representatives of the State Advances Corporation or the Department of Maori Affairs. Twenty of these committees operate throughout the country, they having taken over the functions previously exercised by Farming Sub-committees. Provision is made for discharged servicemen from the Emergency Forces who were engaged continuously in farm employment prior to service, but otherwise only in special circumstances have new applications for farm gradings been accepted since 31 March 1951.

The Training Scheme.—For those eligible applicants who did not measure up to “A" Grade standard every facility and encouragement was given to them to obtain the experience necessary to enable them to operate farms on their own account successfully. The Rehabilitation Board made provision for subsidizing the wages of trainees in special circumstances.

Full-time tuition has been provided for student-trainees placed at Canterbury and Massey Agricultural Colleges. The majority of the men selected for these courses have had a background of practical experience, and short courses at the colleges have served a very useful purpose in giving the men an insight into the most up-to-date farming methods.

Full-time training on a special farm was provided for physically disabled ex-servicemen who had a rural background and in respect of whom there were prospects of ultimate successful settlement as farmers, although possibly in a different class of farming from that previously followed. The administration of the farm was in the hands of the Disabled Servicemen's Re-establishment League, while the wages paid to the trainees were subsidized by the Board. The farm ceased operations on 28 February 1953.

The following table shows the number of ex-servicemen settled and the number of ex-servicemen graded “A" awaiting settlement as at 31 March 1954.

Class of SettlementNumber
Settled on single units by Rehabilitation Loans Committee7,805
Settled on land settlement blocks by Rehabilitation Loans Committee2,329
Settled on land settlement blocks, financial adjustments yet to be made463
Employed by Department of Lands and Survey with promise of titles68
Settled on single units and blocks through Maori Rehabilitation Finance Committee107
Employed by Department of Maori Affairs on single units and blocks with promise of title12
Settled without rehabilitation assistance on freehold, Crown, and private leasehold properties1,009
Maori ex-servicemen assisted by Department of Maori Affairs under Maori Land Amendment Act 193689
      Total settled11,882
Number of “A" Grade ex-servicemen awaiting settlement1,330

The area of land acquired for the settlement of ex-servicemen up to 31 March 1954 was 1,715,233 acres. This area does not include particulars relating to those who have purchased established farms on their own account with rehabilitation assistance. Further particulars are contained in Section 18B. Particulars of financial assistance will be found under a later heading.

EDUCATION.—Educational facilities are provided by the Rehabilitation Board for ex-servicemen in the way of bursaries, payment of fees, book allowance, etc.

Full-time bursaries for study at New Zealand University Colleges and some private institutions and colleges include all tuition and examination fees, together with a book allowance limited to £5 per annum. Subsistence allowances for the academic period are also granted at the rate of £8 per week for married men and £4 10s. 6d. per week for single bursars. For some courses at the agricultural colleges students are required to live at the colleges. In such cases their board and lodgings are paid, and in addition allowances of £5 7s. 6d. and £2 per week are paid to married and single men respectively.

Assistance for part-time study at University Colleges, State institutions, and private institutions is also given, and consists of tuition and examination fees, plus an allowance for books.

It should be noted that these forms of assistance are granted in relation to career training only and not for purely cultural studies. In deciding the type of bursary and the period for which assistance will be granted, factors such as interruption to study through service, length and type of service in the Armed Forces, relation to pre-service career, and prospects upon qualification and suitability for the particular course of study, are all taken into account.

In certain cases bursaries are granted to enable an ex-serviceman to pursue a course of study overseas. These are only granted to men with long military service overseas and a serious interruption to study or career, or for courses of study which are not available in New Zealand. A full overseas bursary usually includes subsistence allowance at the rate of £328 per annum sterling for married bursars and £250 per annum for single bursars, payable from the time of arrival in the United Kingdom until the earliest date a bursar can obtain a return passage to New Zealand after the completion of his course. Tuition and examination fees, refund for textbooks purchased up to £5 per academic year, tourist-class passages from and to New Zealand, voyage allowances at the rate of 16s. 5d. per day for married men and 5s. 3d. per day for single men, and reasonable travelling expenses in New Zealand and the United Kingdom (from home address in New Zealand to port of embarkation and port of disembarkation to place of study, with similar assistance on the return journey) are also payable.

Particulars of educational facilities granted to 31 March 1954 are contained in the following table.

FacilitiesEx-OverseasEx-Home ServiceTotal
Full-time assistance—   
(a) In New Zealand3,2792403,519
(b) Overseas7397746
Part-time assistance13,9212,67516,596
Renewals—   
(a) Full-time4,1382604,398
(b) Part-time21,7632,93724,700
Miscellaneous facilities2,8943513,245
    Totals46,7346,47053,204

Education and Career-assistance to Children of Deceased or Totally Incapacitated Servicemen.—In conjunction with the War Pensions Office, the Rehabilitation Board is also concerned with the education of the children of deceased servicemen whose deaths have been the result of war injuries, and of the children of ex-servicemen who through war disability are totally incapacitated for work. The responsibility for the education of these children through the primary and post-primary school stages is undertaken by the War Pensions Office. A bursary up to £25 per annum is available to eligible children attending post-primary schools. Assistance for education and career training after post-primary schooling is completed may be granted by the Rehabilitation Board, the assistance taking the form of tuition and examination fees and a contribution towards the cost of books. Where full-time study is approved, a subsistence allowance is payable, varying from £3 7s. 6d. per week to £4 10s. 6d. per week at the age of twenty-one years, with married male bursars being granted the same rate as ex-servicemen.

So that due encouragement is given to any children wishing to train for a worth-while trade or career the Board will, where necessary, consider a payment to bring their wages up to £4 0s. 6d. net per week where required to live away from home or £3 7s. 6d. per week when living at home. Those twenty-one years of age and over, whether living at or away from home while engaged in career occupations not covered by apprenticeships, may be considered for a grant sufficient to bring their net wages up to £5 3s. 0d. per week.

FINANCIAL.—The following is a summary of loan limits and net interest rates applicable to the various types of loan granted by the Rehabilitation Board.

Type of LoanMaximum AmountRate of Interest
 £Per Cent
(a) Tools of trade50Free
(b) Furniture100Free
(c) Business5004
(d) Farms—  
  Going concerns—  
  Dairy5,0003
  Sheep6,2503
  Stock and plant only—  
  Dairy1,5004
  Sheep or mixed2,5004
(e) House—  
  New2,2003
  Existing1,8003

In the case of business, farm, and housing loans the interest rate for the first year is reduced to 2 per cent per annum. Supplementary and suspensory interest-free loans are available in the case of housing loans in appropriate cases. Both classes of loan are on a percentage basis. Supplementary loans, which are interest-free and repayable only in the event of the sale of the security, amount to 5 per cent of the reasonable cost with a maximum of £100 in the case of new houses, and for existing dwellings are 5 per cent of the approved value with a maximum of £90. Suspensory loans, also interest-free, relate to new houses only and are cancelled after a period of seven years provided the owner fulfils the required occupancy conditions. They are limited to 10 per cent of the approved cost with a maximum of £200.

Supplementary loans have also been made available in a number of farm loans, and the Land Amendment Act 1950 extended the suspensory loan principle to cases where ex-servicemen are settled, under the Rehabilitation Act, on Crown land after 1 November 1950. The suspensory loan in such cases is for an amount not exceeding the difference between the 1942 value and the current market value. Such a loan will not be enforceable as long as the purchaser resides personally on the land and farms it for his own use and benefit and fulfils the conditions of any prior mortgage to the Crown or to the State Advances Corporation.

Provided the purchaser fulfils these conditions the loan is discharged at the end of ten years. These suspensory loans were introduced consequent upon the passing of the Servicemen's Settlement Act 1950, which provided that the value of land for the purposes of that Act was to be the current market value instead of the 1942 value.

Particulars of the various classes of loan authorized during the year ended 31 March 1954, and the totals to 31 March 1954, are as follows.

Class of LoanYear Ended 31 March 1954Totals to 31 March 1954
NumberAmountNumberAmount
  £ £
Purchase of farms, etc.6855,955,47510,13452,778,817
Housing loans3,0365,371,39146,32461,801,108
Tools of trade103691,46948,504
Furniture2,454243,12159,5575,573,356
Business264212,86010,9637,070,279
Miscellaneous252,054658130,722
    Totals6,47411,785,270129,105127,402,786

Rehabilitation expenditure (including loan authorizations) for the year ended 31 March 1954, together with the totals to 31 March 1954, was as follows.

ItemTo 31 March 1953 From OutsetYear Ended 31 March 1954To 31 March 1954 From Outset
 £££
Administration expenses (incl. advertising and publicity)2,899,109126,1823,025,291
Educational facilities (incl. books, tuition fees, and subsistence allowances)1,686,70826,4391,713,147
Farm training and settlement (excluding loans)—   
  Farm training (incl. fees and subsistence allowance at approved agricultural colleges and training farms and subsidy to approved employers)481,262618481,880
  Purchase of lands for settlement, development, and other expenses in connection therewith (excl. £15,167,251 recovered from Rehabilitation Loans Committee and appearing under “Loans”)25,441,9182,510,27227,952,190
Trade training—25,923,1802,510,89028,434,070
  Grants to Disabled Servicemen's Re-establishment League251,61112,040263,651
  Land and buildings for trade training schemes, Disabled Servicemen's Re-establishment Leagues, etc.271,7592,698274,457
  Motor vehicles purchased for trade training centres12,429..12,429
  Plant and equipment for hostels, etc.7,987..7,987
  Private firms and Disabled Servicemen's Re-establishment League (includes subsidies to employers and separation allowances)1,467,60022,0421,489,642
  Purchase and establishment of artificial-limb factories30,57783831,415
  Therapeutic employment for ex-servicemen25,302..25,302
  Tool store (cost of tools for resale to ex-servicemen tradesmen)156,971..156,971
  Trade training centres operated by Rehabilitation Department (incl. establishment and operational charges, trainees' wages, separation allowances and travelling expenses, tools, plant, and equipment)5,856,3783,6495,860,027
  Training of blinded ex-servicemen95,8933,35599,248
Loans—8,176,50744,6228,221,129
  Interest concessions3,807,709775,4724,583,181
  Loans authorized (Maori Rehabilitation Finance Committee)1,582,830100,8651,683,695
  Loans authorized (Rehabilitation Loans Committee)115,617,51611,785,270127,402,786
  Reserve Fund contributions1,575,335191,3811,766,716
  Small Farms Act leases: Losses and interest concessions55,327..55,327
  Suspensory loans (Maori Rehabilitation Finance Committee)44,1195,03149,150
  Suspensory loans (Rehabilitation Loans Committee)2,181,875620,9982,802,873
Grants—124,864,71113,479,017138,343,728
  Rehabilitation allowances431,885..431,885
  Special grants to ex-servicemen105,234486105,720
  Special grants to Returned Services Associations44,3864,35048,736
  Travelling expenses of ex-servicemen, including fares, furniture removals, and loss of earnings42,2022842,230
 623,7074,864628,571
Plans and specifications, including plan service4,039..4,039
Other items5,670..5,670
    Totals164,183,63116,192,014180,375,645

Business Assistance for Ex-servicemen.—In addition to the loan facilities available to assist exservicemen in purchasing existing businesses, or in establishing new businesses, special assistance has been given to ex-servicemen requiring licences for licensed industries and trades, and also in obtaining stocks, plant, and equipment which may be in short supply or subject to control.

The following table shows the main classes of business for which loans have been granted up to 31 March 1954.

TypeNumberAmount
Butchery250£ 214,542
Grocery, general store747649,176
Bakery, dairy, refreshment rooms467323,258
Stationery, fancy goods12997,294
Radio dealer, electrician265148,061
Hairdresser, tobacconist13772,515
Bootmaker16757,109
Chemist3639,680
Manufacturing business331219,899
Eggs, poultry, etc.4327,073
Milk rounds356298,230
Hotels, guesthouses4346,288
Fishing ventures11978,184
Agricultural contractors448322,886
Taxi, service car, and transport2,3181,272,524
Carrier and mail contractors1,4001,057,121
Building and related trades1,299633,205
Mechanical trades508348,520
Professional services1,002504,970
Miscellaneous898637,742
Additional advances..22,002
    Totals10,9637,070,279

Housing.—Owing to the prevailing housing shortage, the housing of ex-servicemen has been one of the Rehabilitation Board's main problems. Assistance in this connection consists of a certain priority in the allocation of State rental houses, and provision of finance for the erection of new, and the purchase of existing, dwellings.

During the year ended 31 March 1954, 1,028 State rental houses and flats were allocated to ex-servicemen, making a total allocation to 31 March 1954 of 17,236.

The number of loan authorizations for the erection of new homes during the year ended 31 March 1954 was 1,289, making a total of 20,419 to 31 March 1954.

Loans for the purchase of existing dwellings were authorized in 1,747 cases in 1953–54, while the total up to the end of that period was 25,905.

MAORI REHABILITATION.—The following table gives particulars of assistance afforded to Maori ex-servicemen up to 31 March 1954. Maoris are entitled to the same assistance under the same general conditions as Europeans, although special measures have been provided to meet their particular needs.

At 31 March 1954, 5,296 Maori ex-servicemen had been demobilized, of whom 3,889 had served overseas.

Type of AssistanceNumber of ExservicemenAmount Authorized
  £
Farm land purchased..73,230
Loans—  
  Farm loans154724,891
  Housing loans8281,125,447
  Furniture loans1,293127,573
  Business loans237103,428
  Tools of trade loans601,943
  Miscellaneous loans and grants617,987
      Totals, loans2,6332,091,269
  Educational assistance150..
Trade training—  
  "A" Class673..
  "B" Class52..
  "C" Class8..
  "D" Class62..
  "F" Class3..
      Total, trade training798..
Farm training271..
      Total number assisted3,852..

In addition, 89 ex-servicemen have been settled on farms under the Maori Land Amendment Act 1936 and 36 ex-servicemen have received housing assistance under the Maori Housing Act 1935.

DEMOBILIZATION.—Demobilizations as recorded by the Rehabilitation Department for the year 1953–54 numbered 895, the total to date being 213,991.

Chapter 10. SECTION 10—EXTERNAL TRADE

10 A—GENERAL

DATA regarding the overseas trade of New Zealand have special significance in view of the country's particularly high degree of dependence upon its external trade. However, in making use of the external trade statistics their limitations for balance of payments studies should be clearly recognized.

In the first place these trade statistics do not relate to the whole of the New Zealand currency area, the Cook Islands, Niue Island, and the Trust Territory of Western Samoa not being included, while vessels transferred to or from New Zealand ownership travelling on their own bottoms are excluded from the statistics, so also are ships' stores (other than bunker fuel and goods on which drawback of duty is claimed).

Of greater significance is the basis of valuation used in recording exports and imports. Exports generally are recorded at free-on-board (f.o.b.) values, but in the case of goods exported by a New Zealand national to be sold in an overseas market (e.g., some wool) the actual net f.o.b. price realized could differ from the value estimated at time of shipment. Wool acquired under the wartime appraisal scheme and exported to be auctioned overseas was valued on export at appraisal prices. Since the prices realized at auction were higher, and New Zealand shared in this profit, export values for the years concerned are consequently understated.

Up to the end of 1951 imports were recorded on the basis of their value for Customs purposes, this being their current domestic value (c.d.v.) in the country of export at the time of shipment plus 10 per cent. For several years the limitations of this basis of valuation for economic studies, particularly those relating to balances of trade and of payments, had been apparent. There was a tendency generally to regard the Customs value of imports as being equivalent to at least a conventional c.i.f. value. In fact the Customs value of all imports probably fell short of the actual c.i.f. cost by varying amounts ranging up to 10 per cent. The domestic and export price levels in the exporting country may differ on account of price controls, subsidies, etc., while external packing, railway freights, etc., generally tend to raise the f.o.b. cost of goods above the current domestic price. For some few types of commodities the 10 per cent allowance is more than adequate to cover insurance and freight charges. For a larger proportion of imports, particularly those where the value relative to weight or bulk is low, the allowance is inadequate to cover these costs. As from 1 January 1952 a change was made in that imports were recorded in the trade statistics without the additional 10 per cent required for duty purposes—i.e., at current domestic value, generally, as indicated above, equivalent to but not identical with the f.o.b. cost. Provision was also made to record by class and grand totals the actual c.i.f. costs of imports.

The proportional difference between the two figures of valuation now made available—viz., c.d.v. and c.i.f.—will vary from period to period depending on (1) the make-up of imports in the different periods, (2) differential charges in import prices and in freight rates, (3) differences between domestic and export prices in the exporting countries, and (4) price fluctuations between dates of purchase and of shipping. The relatively high freight rates and insurance charges in wartime resulted in c.i.f. costs rising considerably above Customs values. The high charter freights of 1951–52 had a similar effect. In all the tables imports are now shown at c.d.v., unless otherwise specified in respect of particular tables.

The exports recorded in the trade statistics relate to goods on vessels which have cleared their final port of call in New Zealand during the period named, save that, in order to facilitate the flow of work through the Customs accounting machines, the figures for each month are in fact closed off some time prior to the end of the month. However, the omissions at the end of any month are balanced by the carry-forward from the end of the previous month. Since the whole of the end of the year holiday period falls in the January accounting period the figures for this month are typically low. Depending on the length of time a vessel is in New Zealand waters, goods could have been actually loaded several weeks before they are recorded in the export statistics.

The trade figures for imports are compiled from the import entries, either for home consumption or into bonded warehouse, passed by the Customs Department. Under the system in use it is possible for an importer to pay the duty involved, if any, and have the import entry passed very shortly after he receives the shipping documents; this enables him to take delivery of the goods on arrival. Thus the import may be recorded before the carrying vessel has reached New Zealand. Generally, however, the import entries are not passed until the goods are available for discharge from the wharf. On the other hand, it may sometimes occur that goods may have been unloaded and in the custody of a Harbour Board for some time before the importer has the entry passed (and the import is recorded) and takes delivery.

In the official annual statistics of the trade of New Zealand the twelve-monthly period adopted is the calendar year. Summarized trade statistics over a long period of years are included in the Statistical Summary towards the end of this volume. The latest figures covering the principal items of export and import are published in the Monthly Abstract of Statistics, so that summarized figures are available for any twelve-monthly period ending in March, June, September, or December. As the farm production year ends about June and the financial year on 31 March, it is desirable to record trade for years ended 30 June and 31 March as well as for calendar years.

The following table relates to merchandise only—i.e., it excludes specie, particulars of which will be found on page 278. Up to the end of 1929 New Zealand currency and sterling were at virtual parity, bat thenceforward 1 New Zealand currency was at a discount with sterling until 20 August 1948, from when it was restored to parity with sterling (see Section 32—Banking and Currency). Consequently figures of total merchandise trade have been converted to a sterling basis, and a summary covering the last eleven years follows.

YearExports f.o.b.ImportsExports f.o.b.Imports
c.d.v. + 10 Per Centc.d.v.c.i.f.c.d.v. + 10 Per Centc.d.v.c.i.f.
 £(N.Z.)000£(N.Z.)000£(N.Z.)000£(N.Z.)000£(Stg.)000£(Stg.)000£(Stg.)000£(Stg.)000
YEAR ENDED 31 DECEMBER
194477,78786,39778,543..62,23069,11862,835..
194581,63155,08850,080..65,30544,07140,065..
1946101,30271,57165,065..81,04257,25752,052..
1947129,420128,641116,946..103,536102,91393,557..
1948147,821128,534116,849..125,375110,926100,842..
1949147,281120,033109,121..147,281120,033109,121..
1950183,752157,943143,585..133,752157,943143,585..
1951248,127206,534187,758..248,127206,534187,758..
1952240,561..229,447276,215240,561..229,447276,215
1953235,860..163,613192,180235,860..163,613192,180
1954244,431..213,274245,380244,431..213,274245,380
YEAR ENDED 31 MARCH
194475,25295,85087,136..60,20276,68069,709..
194579,35231,61174,192..63,48265,28959,354..
194688,97657,00351,821..71,18145,60341,457..
1947107,51881,73374,303..86,01465,38659,442..
1948140,139138,306125,733..112,112110,645100,586..
1949148,288119,435108,577..134,819108,84198,946..
1950154,603134,825122,569..154,603134,825122,568..
1951197,173152,358138,508..197,173152,358138,507..
1952248,820246,901224,456..248,820246,901224,455..
1953238,413..198,713240,725238,413..198,713240,725
1954242,817..173,308201,915242,817..173,308201,915
YEAR ENDED 30 JUNE
194473,23597,49088,628..58,58877,99270,902..
194586,92367,73561,577..60,53854,18849,262..
194691,00462,66256,966..72,80350,13045,573..
1947122,07590,96082,691..97,66072,76866,153..
1948146,634146,843133,494..117,307117,474106,795..
1949149,069110,492100,447..144,926107,10797,370..
1950162,040140,748127,953..162,040140,748127,953..
1951207,708164,902149,911..207,708164,902149,911..
1952254,000272,303247,548..254,000272,303247,548..
1953244,123..171,592208,224244,123..171,592208,224
1954241,829..182,080210,130241,829..182,080210,130

TRADE PER HEAD.—The next table shows the total merchandise trade, exports, and imports per head of mean population. Values are expressed in terms of New Zealand currency.

YearExportsImportsTotal Trade

* From 1952 valuation of imports at c.d.v. In previous years these were valued at c.d.v. plus 10 per cent.

 £s.d.£s.d.£s.d.
193430103204050143
193529159234115308
19363607281116426
19374119235657757
193836683491070166
1939351211306665195
194045092918674193
194141763021171105
1942491163216118285
194343189584710234
19444619752379932
194548353210280137
194657116401369850
19477119571109143102
1948801157012150127
1949781396427142164
1950965082148178198
1951127811061023391
19521201031141811*23592*
19531152579172194197
195411613710116021897

The import figures for the years 1942 to 1945 did not represent purely commercial imports, but included large figures for munitions and war stores, especially in 1943 and 1944. Except for 1949, each of the seven years following the war successively produced a figure for total trade per head higher than that of the preceding year. The reduction in 1949 was due to the appreciation of New Zealand currency to parity with sterling, with its concomitant drop in the export and import price levels. The fall in 1953 was the result of the decrease in the value of imports for the year.

The table following shows comparative figures of total trade per head in 1953 for New Zealand and certain other countries. The figures are from a United Nations publication, which provides data on the value of the trade of various countries using the c.i.f. basis for the valuation of imports. For comparative purposes the c.i.f. basis has been used for valuing New Zealand imports. Hence the value of trade per head for New Zealand in this table is greater than that shown in the above table.

Total External Trade Per Head
 £(Stg.)
Canada210
New Zealand209
Hong Kong184
Belgium–Luxemburg183
Switzerland174
Netherlands154
Denmark153
Sweden152
Norway151
Venezuela143
Australia132
United Kingdom115
Malaya and Singapore107
Ireland101
Finland95
France65
Western Germany60
United States of America59

VISIBLE BALANCE OF TRADE.—As a debtor country New Zealand has normally a substantial excess of exports over imports, imports having exceeded exports in only six (calendar) years since 1885—viz., in 1908, 1920, 1926, 1943, 1944, and 1952. The figures for the last twenty years—merchandise only—are as follows. Imports are here valued as for Customs purposes (c.d.v. plus 10 per cent).

YearVisible Excess of Exports

* Excess of imports.

† As from 20 August 1948 New Zealand currency was appreciated to parity with sterling.

 £(N.Z.)£(stg.)
193416,003,29512,803,000
193510,221,1148,210,000
193612,493,05410,035,000
193710,552,6848,476,000
19382,954,0942,373,000
19398,662,1336,929,000
194024,743,46419,795,000
194118,312,40314,650,000
194227,428,62521,943,000
1943−23,379,732*−18,704,000*
1944−8,610,266*−6,888,000*
194526,543,09621,234,000
194629,730,93323,785,000
1947778,821623,000
194819,286,77314,449,000
194927,247,47927,247,000
195025,809,41525,809,000
195141,593,65741,594,000
1952−11,831,335*−11,831,000*
195355,885,41755,885,417

NOTE.—The 1942–45 figures included imports of lend-lease supplies which did not involve normal transactions in monetary exchange (being cancelled by reciprocal aid provided in New Zealand). To show the true balance of trade they should be eliminated, giving approximate export surpluses for the four years as follows (New Zealand currency): 1942, £38,000,000; 1943, £4,000,000; 1944, £13,000,000; 1945, £34,000,000.

A pronounced fall in exports from the previous year's level was responsible for the low excess of exports in 1938. The improvement in 1939 was effected by a reduction in imports under the policy of import selection and control inaugurated at the beginning of that year. Extremely large import totals, mainly as the result of the huge expansion of the importation of defence materials and supplies under lend-lease arrangements (which to a large extent invalidates comparisons with earlier years), were responsible for the excess of imports in 1943 and 1944. At the conclusion of the war the fall in imports of defence materials and lend-lease supplies and increases in exports combined to produce large favourable balances, that for 1946 being a new record. The value of exports in 1947 was 28 per cent higher than in 1946, but imports increased in value between the two years by 80 per cent, so that the excess of exports fell away to only £778,821. Continuing substantial increases in the values of exports (partly disguised in the New Zealand currency figures by the appreciation of the £N.Z. to parity with sterling), accompanied by less marked increases (except in 1950) in the values of imports, resulted in the 1948, 1949, 1950, and 1951 figures for the visible excess of exports being of a high order. The particularly high wool prices of the 1950–51 selling season were reflected more fully in the 1951 export figures, the favourable balance for that year at £41,594,000 being 40 per cent higher than the previous record in 1946.

The high export values were maintained in 1952, but owing to several factors imports in this year rose to an unexpectedly high figure: the strong demand for imported goods was accentuated by buoyant export prices; import controls had been progressively lifted and some importers (after the experience of many years of limited imports) were over-sanguine both of the market demand and of the share of this market which they could expect to obtain; orders placed overseas in expectation of long delays in delivery were unexpectedly fulfilled when manufacturers' alternative markets were closed.

Some measures to control and discourage the flow of imports were taken at the beginning of 1952, primarily in the interests of the balances of the sterling area as a whole, and these were followed by more stringent measures when the danger to New Zealand's own overseas balances became apparent. In 1953 the considerable decrease in the value of imports resulted in a record visible excess of exports. (See note on Import and Export Control—page 275.)

The visible balance of trade—i.e., the excess of exports over imports or vice versa—is an essential record valuable for numerous purposes, but with very definite limitations to which attention has been drawn in the opening paragraphs of this Section. For year-to-year comparisons of the values of exports and imports the inevitable errors in the figures are of no statistical significance, but they do result in significant errors in the residual visible balances of exports or imports, especially so when these balances are small.

There are additional difficulties where trade with individual countries is concerned. The ultimate destination of goods exported is sometimes not known at the time of export. In particular, it is evident from the United Kingdom trade statistics that a considerable proportion of New Zealand's exports to continental countries in normal times is recorded in the New Zealand statistics among exports to the United Kingdom. Such produce may be sold on the United Kingdom markets to continental purchasers; while, again, goods may be diverted to continental markets after arrival in the United Kingdom.

Various factors arising out of the war further obscured the position in those years, particularly during the period that the Lend-Lease and the Canadian Mutual Aid Agreements were operating. In considering the 1942–45 balances the effect of the inclusion in imports of lend-lease supplies should be noted. With the mutual cancellation of any obligations under lend-lease and reciprocal-aid arrangements as announced in the final settlement it was apparent that lend-lease imports were not the subject of ordinary transactions in monetary exchange, and their inclusion in imports conveyed a false impression in so far as balances of payments were concerned. A further complication in this connection arose during the war period in connection with exports. Considerable quantities of foodstuffs and equipment were exported for the use of Allied Forces, etc., at the direction of the United Kingdom Government. In accordance with the general practice, such exports were credited to the country of final destination—e.g., Egypt, Algeria, Iraq, Italy, India, etc.—although the responsibility for payment rested with the United Kingdom Government.

This position, goods exported to one country being paid for by the nationals of another country, arises also where operators deal internationally in commodities. Thus a national of one country may purchase, say, wool, but consign it to another country for processing. In the trade statistics the wool would be shown as exported to the country of consignment, not that of the national who purchased it. Similarly, the import of a commodity, say, motor spirits, from one country will not necessarily involve any direct payment to a national, or in the currency, of that country.

Visible trade is not the only factor to be taken into account in considering the balance of payments between countries. Debt services, capital transfers, charitable and other personal remittances, freight payments, insurances, tourist expenditure, and the like, are vitally important factors which frequently reverse a credit visible balance of trade into a debit balance of payments. A statement of New Zealand's overseas receipts and payments is given later in this Section.

The following table shows for the year 1953 the amount of merchandise exports to, and imports from, each of the principal countries trading with New Zealand. Exports are valued f.o.b. New Zealand ports, and imports at current domestic value in country of shipment. The New Zealand trade statistics will yield different results, in respect of its trade with any given country, from those obtained from the trade statistics of that country, since in the latter New Zealand's exports will normally be valued c.i.f. in the given country and New Zealand's imports f.o.b. in that country.

TRADE BY COUNTRIES, 1953

CountryExportsImports
New Zealand ProduceTotalBy Country of PurchaseBy Country of Origin
 £(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)
United Kingdom157,752,560158,047,31793,496,32292,352,430
Bahrein Island....2,889,2032,889,203
British Borneo1,7531,753451,729511,822
Ceylon21,74322,0211,943,0571,944,481
Hong Kong102,165104,386301,395218,886
Republic of India959,183959,7401,781,7411,797,519
Federation of Malaya708,463974,3273,530,6243,057,184
Rhodesia-Nyasaland Federation551,193551,5001,7651,946
British West Africa140,181140,257297,627449,575
Kenya and Uganda2,9242,934126,502131,517
Union of South Africa550,316597,2111,029,7401,085,872
British West Indies1,426,1821,426,425438,933442,665
British Guiana107,375107,3754,9367,889
Canada2,954,0762,958,0632,375,9772,287,060
Australia3,908,5074,655,26224,130,83923,637,707
Fiji656,900788,3041,401,6461,378,975
Nauru46,27954,525412,690411,631
Tonga188,142216,11244,55342,520
Western Samoa394,484450,049255,671246,133
Other British Commonwealth countries308,061333,955202,108225,583
    Totals, British Commonwealth countries170,780,487172,391,516135,117,058133,120,598
Republic of Ireland978,304978,30421,06728,470
Austria47,72047,894570,679585,349
Belgium3,469,6943,469,8281,421,4691,475,015
Czechoslovakia311,801311,801133,917169,960
Denmark419,426419,686312,151294,170
France15,683,42315,684,3331,845,8911,969,796
West German Federal Republic6,071,0156,083,5071,853,6921,971,379
Germany (Eastern Zone)501501210,155261,232
Greece198,051198,0518681,843
Italy4,946,2644,946,364817,587875,185
Netherlands2,447,2622,449,4301,091,5221,145,147
Norway39,75939,759407,531422,150
Poland3,625,5103,625,510 875
Portugal47,84447,847110,865116,533
Sweden381,210383,8811,931,2791,978,722
Switzerland136,476140,1741,314,9581,372,683
Spain232,671232,87048,99171,073
China....62,551201,014
Indonesia5,5497,7802,294,2122,741,039
Formosa55257,469260,188
Japan3,122,9953,123,114371,721388,286
Egypt149,179149,2307691,203
Saudi Arabia86,75086,750596,784602,410
Belgian Congo121,563121,5634652,085
Tunisia....89,027120,867
Mexico184,737184,7371263,085
Netherlands Antilles243,562243,562137,957141,443
Panama Republic294,832294,832....
United States of America18,266,55418,378,72111,738,93812,142,806
Philippine Islands246,020246,06815,50315,503
Venezuela1717481,796635,939
Tutuila132,448135,321....
Society Islands152,978157,6573,8043,788
Remaining countries572,646573,721352,498493,464
    Totals, other countries62,616,76662,762,81828,496,24230,492,702
Ships' stores76,403705,713....
    Grand totals233,473,656235,860,047163,613,300163,613,300

The progress of, and the trends in the direction of New Zealand's overseas trade, are illustrated by the following diagram. Among the features portrayed are New Zealand's dependence on the United Kingdom as a market for its exports, and the huge expansion in the values of both exports and imports in the post-war years, despite the deflationary effect of the appreciation of New Zealand currency in 1948.

OVERSEAS RECEIPTS AND PAYMENTS.—Since the institution of exchange control in New Zealand it is possible through the records of the Reserve Bank, which administers exchange control, to give a detailed statement of the foreign exchange transactions of the country.

The first table shows, in summary form, figures relating to overseas receipts and payments for the last ten years, and for each of the quarters of the three latest years. The figures relate to the whole of the New Zealand currency area, which includes the island territories and Western Samoa.

ReceiptsPaymentsSurplus (+) or Deficit (−)
ExportsTotal (Including Other)ImportsGovernment Debt and Other ServicesOther PaymentsTotal
PrivateGovernment
£N.Z.(000)
Calendar year—        
194597,574129,15231,74540,19514,05785,997+43,155
1946112,054148,13360,11878,94115,634154,693−6,560
1947129,045164,521115,19056,39818,881190,469−25,948
1948145,270174,808108,18946,57925,232180,000−5,192
1949139,203158,734109,65728,42627,140165,223−6,489
1950194,786213,576140,81622,0386,40629,861199,121+ 14,455
1951254,135276,134201,29318,91611,07828,790260,077+16,057
1952216,133245,362200,06030,2908,21330,240268,803−23,441
1953243,469266,318170,47327,06414,31528,297240,149−26,169
1954221,154271,284217,64720,21217,22232,800287,880−16,596
Quarter ended—        
1952—March69,47078,84868,0749,2792,8006,91587,068−8,220
June54,41862,16454,2066,7071,5388,01370,464−8,300
Sept.40,94847,45243,1627,3621,7037,27859,505−12,053
Dec.51,29756,89834,6186,9422,1728,03451,766+ 5,132
1953—March80,62586,70240,0508,1425,9246,26360,380+26,323
June61,92567,07137,1745,6532,1576,80851,791+ 15,280
Sept.41,87447,97242,8876,6203,5297,85460,891−12,919
Dec.59,04564,57350,3616,6492,7047,37467,088−2,515
1954—March77,12891,91244,9756,2195,9775,82262,994+28,918
June66,89376,84949,1824,7372,3738,83265,123+ 11,726
Sept.38,25044,80961,3344,3744,0978,92678,732−33,922
Dec.38,88357,71462,1564,8324,7759,21981,031−23,317

NOTE.—New Zealand currency was raised to parity with sterling on 20 August 1948.

It is not practicable to give comparable figures for earlier years in respect of the items listed in 1950 and subsequent years owing to the adoption of a revised classification from October 1949. The next table, also drawn from Reserve Bank statistics, gives summarized foreign exchange transactions with the United Kingdom and with the principal currency areas for recent periods.

Transactions With19531954
Six Months Jan.–JuneSix Months July–Dec.Six Months Jan.–JuneSix Months July–Dec.
United Kingdom—£N.Z.(Million)
Receipts—    
Exports92.175.696.148.1
    Total98.882.2112.368.0
Payments—    
Imports65.472.774.090.6
    Total77.984.588.8106.6
Surplus (+) or deficit (−)–    
On trade transactions+26.7+3.0+22.1−42.4
On all transactions+20.9−2.3+23.5−38.6
Sterling Area—    
Receipts—    
Exports98.880.2101.754.6
    Total109.190.9124.078.4
Payments—    
Imports80.391.690.5111.0
    Total98.8109.8110.5134.6
Surplus (+) or deficit (−)—    
On trade transactions+ 18.5−11.4+ 11.2−56.5
On all transactions+ 10.318.9+ 13.5−56.2
Dollar Area—    
Receipts—    
Exports18.06.213.26.2
    Total18.67.014.37.4
Payments—    
Imports7.210.89.614.7
    Total9.113.512117.4
Surplus (+) or deficit (−) on all transactions+9.5−6.5+2.2−10.0
Non-Sterling European Payments Union countries and possessions—    
Receipts—    
Exports22.310.122.310.8
    Total22.630.222.611.1
Payments—    
Imports3.03.64.45.7
    Total3.44.04.76.1
Surplus (+) or deficit (−) on all transactions+ 19.2+ 6.2+ 17.9+ 5.0

The export receipts and import payments figures recorded in these tables differ from the corresponding external trade figures as a result of (1) the different territorial coverage of the two sets of figures, (2) the lack of uniformity in the basis of valuation, particularly in imports, (3) the inclusion in the trade figures of “no-remittance" imports and similar movements of goods with no corresponding monetary transactions, and (4) the actual movements of goods and the corresponding monetary transactions occurring in different recording periods.

These exchange figures, like the trade figures on page 266, show the development and subsequent curbing of the import boom. They bring out, too, New Zealand's heavy annual deficit on “invisibles" with the sterling area, mainly United Kingdom and Australia, which has to be made good by a surplus on commodity trade. The nature of these “invisibles" is apparent in the next table giving detailed figures for the 1953 and 1954 calendar years.

ItemYear Ended 31 December
19531954
ReceiptsPaymentsReceiptsPayments 
Merchandise—£N.Z.(000)£N.Z.(000)£N.Z.(000)£N.Z.(000)
Exports243,469 221,154 
Licensed imports..38,561..47,810
Decontrolled imports..128,327..166,377
Government imports..27,064..20,212
Other imports..3,585..3,460
    Totals, merchandise243,469197,536221,154237,859
Transport—    
Freights, fares, ships' charters1,5101,5571,5933,071
Travel—    
Private and business (exclusive of fares)1,5744,6731,7565,550
Insurance—    
Insurance8301,311575883
Reinsurance 624 1,161
    Totals, insurance8301,9355752,044
International investment income—    
Interest, dividends, and other private investment income5,9005,1136,9175,542
Interest on Government and local authority loans..2,691..3,207
    Totals, international investment income5,9007,8046,9178,749
Government transactions—    
Current expenditure by New Zealand Government overseas..11,049..10,139
Current receipts by New Zealand Government and expenditure by other Governments in New Zealand1,825..1,621..
    Totals, Government transactions1,82511,0491,62110,139
Miscellaneous current transactions—    
Commissions, royalties, rebates, etc.4841,3638201,615
Films and entertainments 849 781
Unilateral transfers (migrants' transfers, personal remittances, charitable, legacies, etc.)5,8225,8035,8947,306
Expenses of business firms3923,0225413,308
Other current transactions875645360882
    Totals, miscellaneous current transactions7,57311,6827,61513,893
Capital transfers—    
Private2,7723,2338,7982,852
Government78252621,2073,300
Local authority..154..425
    Totals, capital transfers3,5543,91330,0056,577
Unidentified83..48..
Grand totals266,318240,149271,284287,880

INDEX NUMBERS OF VOLUME OF EXTERNAL TRADE.—Annual index numbers of the volume of total exports, imports, and total trade have been regularly shown in the Year-Book, but the publication of the series for the three major export groups and for all New Zealand produce is a new departure. Quarterly indices on this same basis are also now published in the Monthly Abstract of Statistics.

The series for exports of New Zealand produce are linked chain series. Up to the year 1949 the exports of each year were revalued at the unit-values of the immediately preceding year and the aggregate so obtained (after imputing to the 2 per cent of items, for which quantities and consequently unit-values were not available, similar price movements to the priced items) was compared with the recorded value in that (preceding) year. Each year's index was, therefore, a Laspeyre type index on base previous year. From 1950 on, aggregates were also calculated for immediately preceding years at the unit-values of the latest year, which, compared with the recorded value in the latest year, gave a Paasche type index. The final index for the year was then obtained as the geometric mean of these two—i.e., a Fisher “Ideal" index. In the table the successive annual movements are linked into a chain. The quarterly indices are similarly calculated on base previous year, but only a limited number of the more important commodity headings are used in the calculation. When the final indices for the year become available the quarterly indices are adjusted to accord with these; consequently, the indices for quarters are provisional.

Apparent discrepancies in the table between the indices for the three major groups and that for all exports of New Zealand produce, in particular for the years 1944 and 1951, arise partly from disparate movements in commodities outside the three major groups and partly from the methodology of the index.

The series for total exports includes an allowance for re-exports of imported goods. Since these are normally approximately 1 per cent of total exports and only became significant during the war years, the approximate volume movements were obtained by “deflating" the recorded values by the import price index as the best indicator available of price movements for these commodities. The two indices, exports of New Zealand produce and re-exports, were then combined by weighting by their relative values in the base period. This was a change from the method previously used and resulted in some slight alterations in the indices from those published in Year-Books prior to 1954.

The import volume index up to 1946 was calculated by revaluing each year's imports at 1937 unit-values, assuming comparable price movements in the unpriced items as in the priced items. Thereafter a change was made to the calculation of each year on base previous year and the linking of these annual movements. Anterior year weights were used up to 1949 to give a Laspeyre type index. From 1950 on, a Fisher “Ideal" index has been obtained as the geometric mean of both anterior year and current year weighted indices. The quarterly indices, too, are calculated on base previous year, and, like the export series, are provisional until the calculation of the annual index. Currently, the items for which quantities are recorded (and consequently unit-values obtained) represent approximately two-thirds of the total value of imports. Price movements are imputed to the remaining third on the basis of the price movements of items in the same statistical class.

The total exports and imports series are combined into the total trade series by weighting by their relative values in the base period.

VOLUME INDEX NUMBERS OF EXTERNAL TRADE. Base: 1936–38 (=100)

Calendar YearExportsImportsTotal Trade
New Zealand ProduceTotal Exports
Dairy ProduceMeatWoolTotal
194385100739596128110
19448481689297105101
1945831046292946480
1946791261311111117594
194797127135118118116117
194399128148122122114118
1949113130151128128117123
1950111128138122122141131
1951119110110109109157131
1952138153153143143176158
1953127134136128129133131

INDEX NUMBERS OF VALUE OF EXTERNAL TRADE.—The following table provides index numbers for the value of New Zealand's external trade on the basis of New Zealand currency for the years 1946–53, revised to be on base 1952 (=100).

VALUE INDEX NUMBERS OF EXTERNAL TRADE. Base 1952 (=100)

YearExportsImportsTotal Trade
1946422835
1947545152
1948615156
1949614854
1950766369
19511038292
1952100100100
1953987184

IMPORT AND EXPORT PRICES AND TERMS OF TRADE.—Descriptions of the index numbers of export and import prices compiled in New Zealand are given in Section 36. The table below shows, for the years 1946 to 1953, index numbers of import prices and of export prices and terms of trade for major commodity groups and total exports. The terms of trade indices relate the movements in export prices from the base period in relation to the movements in import prices over the same periods. In earlier issues of the Official Year-Book the terms of trade series has been expressed on the base 1936–38 (= 100). A change has recently been made in the method of expressing terms of trade. The last available complete calendar year is now used as the base, so that in the following table the base is 1953 (= 100). Following the completion of the calculations for 1954 the base will be changed to 1954 (= 100), and so on. If export prices rose by a greater percentage, or fell by a lesser percentage, than did import prices (either of these relative movements would be favourable to New Zealand, enabling more imports to be purchased than for the same exports), the terms of trade index rose above 100. Conversely, if the relative movement of export and import prices was unfavourable the terms of trade index fell below 100.

INDEX NUMBERS OF PRICES AND TERMS OF TRADE OF EXPORT COMMODITIES, 1953 (= 100)

YearImport PricesButterCheeseMeatWoolAll Exports
Export PriceTerms of TradeExport PriceTerms of TradeExport PriceTerms of TradeExport PriceTerms of TradeExport PriceTerms of Trade
19466961886188588433485073
1947827187738971874352 77
19488378948198708455667084
19497675997497668759786788
19508381988096718512214795114
195197889185887981148153112115
195210694899388928783789085
1953100100100100100100100100100100100

IMPORT AND EXPORT CONTROL AND EXCHANGE ALLOCATION.—A decline in overseas assets commenced during 1936–37 and continued steadily until 28 November 1938, when the net overseas assets of the New Zealand banking system stood at under £(N.Z.)8 million. This figure compared with an average of £(N.Z.) 29 million in 1936.

So that overseas assets might be conserved to ensure that overseas debt services would be met and sufficient funds be available for essential imports, the Import Control Regulations 1938 and the Export Licences Regulations 1938 were issued by Orders in Council dated 5 December 1938. The Import Control Regulations were confirmed as valid by the Customs Acts Amendment Act 1939. The Import Control Regulations prohibit the import of goods except under a licence or an exemption (e.g., Government imports). The Export Licences Regulations provide (with minor exceptions) that an export licence must be obtained before goods can be exported. In addition the requirement of an export permit was introduced by the Export Prohibition Emergency Regulations 1939.

Export Control.—Three classes of export licences are provided for, viz., particular, general, and purchaser's. The particular licence applies to an occasional shipment, the general licence is issued to exporters who make regular or frequent shipments, while the purchaser's licence applies to those cases where goods have been purchased in New Zealand for export and credits have been established from overseas funds (e.g., wool purchases). A condition of the issue of any export licence is that the overseas exchange earned must be sold to a New Zealand bank for New Zealand currency.

Whereas the purpose of the Export Licences Regulations is to ensure that all foreign exchange earned is sold to the New Zealand banking system, the aim of the Export Prohibition Emergency Regulations 1939 (which have been replaced by the Export Prohibition Regulations 1953) is to control the export of essential goods in short supply, of goods on which subsidies have been granted, of produce committed under contracts with the United Kingdom Government, and of goods shipped to strategic destinations.

Import Selection.—The power to grant, revoke, and modify import licences was delegated by the Minister of Customs to the Comptroller of Customs, who was advised by the Department of Industries and Commerce on the import of materials and machinery for existing or planned New Zealand manufacturing industries, and the imports of goods of a kind made in New Zealand. Commencing with the 1951 import licensing schedule the tariff items were divided between the Customs and the Industries and Commerce Departments, the latter being responsible for items affecting New Zealand industries. The actual issue of licences, however, was left with the Customs Department, to which all applications are directed.

The administration of the Import Control Regulations is carried out by means of import licensing schedules. The first four schedules were for six-monthly periods, and the first three were confidential to the Departments only. Since 1941 the schedules were issued for calendar years—with occasional extensions into the following year—and, from the schedule for the second half of 1940 on, the allocations were made public.

The items in the import licensing schedule were originally divided into three main categories:

  1. Items for which import licences were allocated on the basis of the previous import history of the applicant (basic allocations), distinguished by the letters A, AA, B, BB.

  2. Items for which applications were considered individually (Control or “C" items).

  3. Items for which no allocation was made (“D” items).

The basic allocations originally differentiated between the United Kingdom and the Crown Colonies (A), the United Kingdom, the Crown Colonies, and all other British Countries (AA), and all sources (B and BB), but the 1949 schedule excepted Canada and the U.S.A. from basic allocations. The exception was extended in the 1950 schedule to two other countries whose currencies had also become scarce, Belgium and Switzerland.

In the 1949 licensing period, provision was made for token licences to allow old established business connections with United Kingdom exporters to be maintained on a small scale in cases where no allocation for such items had been made. The amount of token licences is a percentage of 1938 imports from the United Kingdom.

In May 1950 the Government set up an Import Advisory Committee for the purpose of examining the import licensing system and recommending improvements in its administration. The activities of the Committee resulted in the extension of import licences on sterling area countries to all non-scheduled countries, announced in the latter half of 1950 on the publication of the 1951 import licensing schedule. Non-scheduled countries are those countries not included in a schedule to the yearly import licensing schedule, which enumerates the countries for which imports generally require a licence. The number of these scheduled countries has been greatly reduced over the last few years, and the schedule comprises at present only the dollar area countries—East European countries (with the exception of Czechoslovakia, Greece, Yugoslavia), Japan, Argentine, Iran, Korea, French Somaliland, and Tangier. Apart from these scheduled countries there is full equality from the import licensing point of view between sterling area countries and foreign countries, thus enabling traders to buy from the best source within the non-scheduled countries.

On the recommendation of the Import Advisory Committee, the Government also decided in 1950 to free 326 items from licensing if the goods are imported from non-scheduled countries. The work of reducing the items under import control and of replacing import licensing by Customs duties as a means of protecting New Zealand industries was later entrusted to a Board of Trade established under the Board of Trade Act 1950, which replaced the Import Advisory Committee as from 1 December 1950. The freeing of imports from licensing resulted in a reduction of the controlled items from 950 in the 1950 licensing schedule to 282 in the 1955 schedule. The number of “D" items was reduced from 333 in 1950 to 43 in 1955.

A new departure announced in December 1951 was the introduction of world exemption (EE) items—i.e., items which can be imported from any country including the scheduled countries without a licence. Six world exemption items were created in the first place; they were increased to 30 during 1954 and to over 90 in the 1955 licensing schedule.

Two new categories were introduced in 1953 and 1954. The “SD" category provides for individual licences for goods of a specific kind not made in New Zealand, although similar and possibly competitive kinds may be manufactured in New Zealand. The second category is the “OD" one (Opened up D), which allows the limited import of items (especially clothing) of a kind manufactured in New Zealand to give the consumer a greater variety of goods, to enable the New Zealand manufacturers to become acquainted with overseas fashions and designs, and to introduce some overseas price and quality competition in fields hitherto reserved exclusively for domestic industries. The “OD" category was merged in the 1955 schedule into the basic allocation, the licences being based on the 1954 allocations.

In May 1950 the Government made provision for the issue of no-remittance licences for motor vehicles and durable goods which could be financed out of the applicant's own overseas funds. These provisions were considerably tightened in November 1953, when it was stipulated that the funds must have been held by the applicant for not less than one year.

The import of motor vehicles was brought back under control in March 1952 after the earlier freeing of this item had resulted in excessive imports. The number of motor vehicles imported in 1953 was considerably reduced, but an increase of about 50 per cent on the 1953 figure took place in 1954, and licences of about 120 per cent of 1954 licences were authorized for 1955. Apart from motor vehicles a few other items were brought back under control, the most important being certain kinds of paper for particular uses.

Some relaxation in New Zealand's import policy towards Japan was introduced in 1954 and continued in 1955. The main items, for which additional licences were issued, were salmon, manures, iron and steel products, textiles, and timber. However, the high prices of most Japanese commodities in the fields listed and improved supplies from New Zealand's usual sources kept imports at a low figure.

For 1954 an opportunity was given to apply for licences to import specified goods from the U.S.S.R. These included salmon, fur skins, textiles, cigarettes, cameras, binoculars, wines, tea.

Following the improved position of the sterling area's gold and dollar reserves, a more liberal policy in regard to imports from the dollar area has been adopted in recent times. The list of world exemption items has been increased, as shown earlier, and the criteria for the issue of dollar licences have been considerably relaxed.

The Board of Trade is at present reviewing the New Zealand secondary industries to advise the Government whether the industry under review should continue to be protected by import control, whether control should end and, if so, what increase in tariff duties (if any) should be granted. A number of important products manufactured by domestic industries has already been freed from import licensing, including electric motors, vacuum cleaners, washing machines, jams, jellies, and preserves, confectionery, biscuits, and toilet preparations. The degree of relaxations can be seen from the fact that payments for licensed imports during the year ended 30 June 1954 amounted to £39.6 million, compared with £143.9 million for decontrolled imports.

Exchange Allocation.—Exchange allocation was introduced in April 1952, when New Zealand's overseas assets declined heavily because of the fall in wool prices and an abnormally high volume of imports. Sales of exchange to importers by the trading banks during 1952 were limited to 80 per cent of the importers' 1950 purchases of foreign exchange, and applications to the Reserve Bank were required in all cases where an importer desired exchange in excess of this basic allocation. Each application was considered on its merits, and decisions were made in consultation with the Board of Trade, the Customs Department, the Department of Industries and Commerce, and the Treasury, taking into consideration the essentiality of the goods, the supply position, any prior commitments entered into by the importer and any import licences held, and any special circumstances. The forecast for import payments for 1952 other than on Government account was for £170 million to £180 million, but reached, in fact, £200 million.

For 1953 the basic allocations of exchange were reduced to 40 per cent of the 1950 figure. Payments for private imports amounted to £170 million.

Basic allocations for 1954 were fixed in June 1953 at 50 per cent of 1950 remittances, but increased to 75 per cent in November 1953. In addition a number of items, including sugar, tea, sulphur, basic slag, rock phosphate, cement, newsprint, tobacco, woolpacks, books, was exempted from exchange allocation.

In July 1954 the Prime Minister announced on the occasion of the Budget presentation that the exchange allocation system for imports would terminate on 31 December 1954. This does not, however, apply to remittances other than for imports, which still require a Reserve Bank permit.

CLASSIFICATION OF TRADE STATISTICS.—Over the years New Zealand has used several systems for the classification of its trade data. Up to 1913 the details of exports and imports were published merely as alphabetical lists of the various commodities involved. In 1914 a classified grouping was introduced whereby the commodities were arranged under 23 class headings comprised of a total of approximately 1,000 items. With minor variations this scheme was continued in use until 1948. A new classification was introduced in 1949, whereby commodities were grouped into 31 classes composed of approximately 3,000 items.

For many years the need had been felt for better comparability of the foreign trade statistics of various nations, and in 1938 the League of Nations published a minimum List of Commodities for International Trade Statistics. Although accepted by some countries this list was not utilized in New Zealand as a primary classification. The third session of the United Nations Statistical Commission recommended a revision of the Minimum List and consequently a draft classification was drawn up by a committee of experts, commented upon by various member nations, and presented to the fourth session of the Commission in 1949. The fifth session in 1950 further reviewed the proposed classification, which was finally approved on 12 July 1950 by the Economic and Social Council to be accepted as the Standard International Trade Classification. Some 40 countries have adopted the S.I.T.C. for the recording of their trade, these representing 75 per cent of the total world trade. New Zealand has introduced the S.I.T.C. as from 1 January 1955, and as from the same date Cook Islands, Niue, and Western Samoa are also putting this classification into effect.

MOVEMENT OF SPECIE.—Although there is a fairly considerable production of gold bullion, there is no Mint in New Zealand. Uncoined gold, therefore, ranks as an ordinary export, along with wool, dairy produce, and other merchandise.

The following table shows exports and imports of specie stated at face value for each of the eleven years 1943–53.

YearSpecie ImportedSpecie ExportedExcess of Specie Imports (+) or Exports (−)
 £££
1943461,8001,240+460,560
1944159,640400+159,240
1945208,1484,400+203,748
1946418,9704,532+414,438
1947147,99210,375+137,617
1948624,75555,169+569,586
19491,040,725570,220+470,505
1950169,823514,455−344,632
1951250,108280,150−30,042
195284,56726,943+57,624
1953107,1067,929+99,177

GOVERNMENT CREDITS FOR FINANCING WOOL PURCHASES.—Financial agreements designed to facilitate the sale of New Zealand wool to France and Czechoslovakia were entered into by the New Zealand Government and the French and Czechoslovakian Governments—the former on 2 July 1947 and the latter on 22 January 1948.

The French agreement made available to France a credit up to £5,000,000 sterling for use in the purchase of New Zealand grown wool during the five years ending 30 June 1952. Other produce could also be brought under the scheme, if mutually agreed upon. Credit was made available to the Government of France to the value of one-half of the cost of wool purchased by French buyers, the remaining one-half being financed in the normal manner. At 31 March 1954 the total drawings on the account amounted to £(N.Z.)5,018,750. The total advances are to be repaid not later than 31 December 1957, and interest at the rate of 2½ per cent per annum is payable.

The Czechoslovakian agreement made available to Czechoslovakia a credit up to £1,000,000 in New Zealand currency for use in the purchase of New Zealand grown wool during the four years ended 30 June 1951. Credit was made available to the Government of Czechoslovakia to the value of one-half of the cost of the wool purchased by its buyers, with the proviso that the total credit drawn to 30 June 1948 was not to exceed £(N.Z.)250,000, to 30 June 1949 £(N.Z.)500,000, and to 30 June 1950 £(N.Z.)750,000. The total drawings on the credit at 31 March 1954 were £(N.Z.)999,864. The total advances were to be repaid not later than 30 June 1954, and interest at the rate of 2½ per cent per annum is payable.

INTERNATIONAL TRADE CONFERENCE.—The Economic and Social Council of the United Nations, by a resolution dated 18 February 1946, resolved to call an International Conference on Trade and Employment for the purpose of promoting the expansion of the production, exchange, and consumption of goods.

This Conference was ultimately held at Havana, Cuba, from 21 November 1947 until 24 March 1948, and a résumé of the main provisions of the Charter as finally drawn up at Havana is given on pages 210–212 of the 1947–49 issue of the Year-Book. This Charter has not, however, been ratified by any country.

At the second session of the Preparatory Committee (to prepare the ground for the International Conference) held in 1947 at Geneva, negotiations for a multilateral trade agreement embodying tariff concessions by the participating countries took place. Further concessions were agreed to in negotiations held in 1949 and 1950–53. The resulting concessions are contained in schedules to the General Agreement on Tariffs and Trade Act 1948 and amendments thereto. Details of this as it affects New Zealand are given in Section 10D, “Customs Tariff and Revenue,” of this issue.

Further sessions of the Contracting Parties were held in Geneva in October–November 1952, September–October 1953, and from November 1954 onwards. The major subject considered was the accession of Japan to the Agreement. It was finally agreed that Japan be associated with the Agreement, but not as a Contracting Party. Some of the Parties agreed to apply the provisions of GATT to their trade relations with Japan. The 1953 session agreed to an extension of the terms of GATT for a further 18 months from 31 December 1953.

BULK PURCHASE OF PRIMARY PRODUCE BY UNITED KINGDOM GOVERNMENT.—The bulk purchase of New Zealand's primary produce by the United Kingdom Government originally commenced with the 1939–40 season's produce. It was a wartime measure whereby the United Kingdom Government became the sole purchaser of imported foodstuffs, and in New Zealand the Marketing Department became the authority for the bulk purchase and shipment of most of the produce concerned. The principal products which came within this bulk purchase plan were wool, butter, cheese, meat, tallow, and woolly sheepskins.

With the conclusion of the war, so ended the bulk purchase agreements for wool and sheepskins, the sale of these products reverting to the open market. Dairy produce and meat contracts, however, were continued under the bulk purchase scheme as part of peacetime marketing, and in 1948 new agreements were signed in London extending these contracts up to 1955; both of these were, however, terminated at the close of the 1954 seasons. Reference to these agreements will be found in Section 19.

TRADE COMMISSIONER SERVICE.—Facilities for commercial interests to promote overseas trade are offered by the Department of Industries and Commerce through its Trade Commissioner Service. Trade Commissioners are stationed in the United Kingdom, Australia, Canada, India, Japan, and the U.S.A. The service, although small, is efficient, and is made up of well-qualified men of wide experience in trade matters.

The functions of a Trade Commissioner cover a wide range of activities. They represent New Zealand at international conferences, report on economic matters, act on behalf of Government Departments in their various oversea activities, and maintain liaison with business and official circles in their particular territories.

While the selling of goods in overseas markets is generally the responsibility of the exporters themselves; the Trade Commissioner can be of considerable help in appraising and developing market prospects overseas. This help is given by supplying information on import or similar restrictions, Customs duty, sales tax or similar taxes, present source of supply (local production or imported), marketing methods, and statutory or market requirements for picking, labelling, etc.

The Trade Commissioner keeps a watch on the New Zealand trade in his territory and reports on trade developments generally as well as on individual commodities. Where trade is being adversely affected the Trade Commissioner may be used to make representations on an official level, or where import licences are refused he may support the application with the appropriate authorities. His advice may be sought also in selecting suitable overseas agents.

For businessmen visiting overseas much time may be saved and many difficulties eliminated by the use of the services of the Trade Commissioner. With his knowledge of the market and local conditions and his connections with local businessmen and Government officials, he is in a position to give advice on the procedure the visitor should adopt to make the contacts most suitable to his particular class of business.

In using the Trade Commissioner Service, businessmen may write directly to the New Zealand Trade Commissioner in the country concerned, but where convenient it is preferable for the requests to be made through the Secretary, Department of Industries and Commerce, Wellington, who in many instances is able to give preliminary advice and assistance.

10 B—EXPORTS

IN New Zealand the Department of Her Majesty's Customs requires for every package exported a declared statement of the contents, value, and destination, the export statistics being compiled from the analysis and summation of these statements.

Exports are valued in New Zealand currency “free on board at the port of shipment,” except re-exports ex bonded warehouse or under drawback of duty which are recorded at the original import values. Where goods are not sold till arrival at their destination values are assessed at current prices at time of shipment. Meat and dairy-produce exports are valued like other commodities, on the basis of overseas realizations, not on the basis of the prices payable to producers under the internal purchasing procedures. Wool acquired under the wartime appraisal scheme and subsequently exported to be auctioned overseas was valued on export at appraisal prices; not ruling prices at the time of export. New Zealand currency was below parity with sterling from the beginning of 1930 to 19 August 1948, when it was again restored to parity. A table in the preceding subsection gives the values in sterling of total exports for the years 1944 to 1954.

The ultimate destination of the goods is distinguished as far as practicable, but it is impossible to discover what proportion of the exports is intended for home consumption in the country of destination. The trade records distinguish between exports of New Zealand produce and re-exports of imported goods.

CLASSIFICATION OF EXPORTS.—The table following gives merchandise exports (i.e., excluding specie) for the last eleven years by main commodity groups.

YearDairy ProduceMeatWoolAnimal FatsHides, Skins, and PeltsTotal Merchandise Exports*

* Including other commodities, among them uncoined gold and silver.

 ££££££
194324,521,00017,459,00013,484,0001,101,0004,397,00071,863,000
194426,619,00014,353,00012,711,000657,0004,520,00077,787,000
194529,953,00019,443,00012,717,000980,0005,008,00081,631,000
194629,621,00026,235,00026,593,0001,113,0005,743,000101,302,000
194742,557,00032,323,00031,970,0002,577,00010,383,000129,420,000
194847,844,00032,156,00044,505,0003,226,0009,473,000147,821,000
194951,867,00030,439,00046,554,0002,694,0006,679,000147,281,000
195054,612,00032,302,00074,653,0002,299,0009,996,000183,752,000
195163,324,00031,303,000128,176,0002,686,00012,862,000248,127,000
195279,856,00050,445,00081,998,0004,907,0009,949,000240,561,000
195377,684,00047,808,00084,370,0002,031,00010,692,000235,860,000

The commodity groups shown normally account for more than 90 per cent of the total value of merchandise exports. The proportion fell to only three-quarters during the Second World War as a result of (1) increases in the domestic exports and re-exports to the Armed Forces of other goods, especially ordnance supplies, (2) the accumulation of unshipped wool in New Zealand, and (3) the supply to the United States Forces in New Zealand of produce which would normally have been exported. In the post-war period the proportion returned to the pre-war figure, and in 1951 it exceeded 96 per cent, mainly on account of the extremely high prices ruling for wool.

These high prices, too, resulted in wool alone accounting for 52 per cent of the total value of merchandise exports in 1951, by far the highest proportion recorded since the development of the refrigerated export trade. The other two major commodity groups, dairy produce and meat, accounted for 26 and 13 per cent respectively of the total. In 1952 with the fall in wool prices the proportions were: wool 34, dairy produce 33, and meat 21. This distribution was more comparable with that which obtained in pre-war years. In 1953 these commodities retained approximately the same relative importance as in 1952, the percentages being 36, 33, and 20 respectively.

New Zealand's reliance upon grassland farming for her exports is brought out by the figures in the next table showing exports of pastoral products and the percentage which they represent among total exports of New Zealand produce. The percentage; supplied by this group was high in the late “nineties,” but after 1898 fell relatively, owing mainly to increased exports of agricultural and mining products. From 1902 onwards, however, the percentage increased almost continuously, till in 1924 and 1925 it amounted to 94 per cent of the total. The percentage dropped noticeably in the depression years, owing to the relatively greater fall in prices of pastoral products, particularly wool, but recovered in subsequent years with the advent of improved prices. Shipping difficulties were mainly responsible for the decline recorded in the aggregate value of pastoral products exported in 1941, the stocks of a number of items held in New Zealand at the end of that year being heavier than usual, and this factor contributed to the high total for 1942. During the next three years considerable quantities of meat and dairy produce were supplied locally to the United States Forces, by way of reverse lend-lease. The approximate value of this produce, which was not treated as an export, even when subsequently shipped to the United States Forces in the Pacific, was: 1943, £7,000,000; 1944, £10,000,000; 1945, £8,000,000. The withdrawal of this produce from export resulted in decreased quantities of most of the principal pastoral products being exported in 1943 and 1944, and this, together with the substantial increase in the export of manufactured articles mainly to the Armed Forces, and increased agricultural exports (notably peas and seeds), caused the percentage of pastoral exports to fall to its lowest level since 1913.

From 1945 onwards the value of pastoral produce exported rose enormously, reaching a total of £239,116,000 in 1951, an increase of 421 per cent as compared with the average of the three prewar years 1937–39. The total value of pastoral produce exported in 1951 also represented a record percentage of 97.0 per cent of the total value of exports of New Zealand produce. This fell to 95.7 per cent in 1952, largely on account of the falling-off in the price of wool. In 1953 there was a further fall in the total value of pastoral exports, but owing to a greater reduction in the value of other exports the pastoral products represented a slightly increased percentage of the total.

EXPORTS OF PASTORAL PRODUCTS

YearValuePercentage*

* Of total exports of New Zealand produce.

 £ 
193337,111,00091.8
193443,351,00092.7
193542,647,00092.6
193652,686,00093.6
193762,549,00094.5
193854,299,00093.9
193953,744,00093.6
194069,057,00094.6
194162,238,00093.0
194274,361,00092.3
194361,029,00086.9
194458,948,00082.2
194568,112,00087.0
194689,582,00089.3
1947120,342,00094.2
1948137,750,00094.0
1949138,702,00095.0
1950174,399,00095.7
1951239,116,00097.0
1952228,079,00095.7
1953223,612,00095.8

Of exports other than pastoral the principal ones of economic significance are: frozen fish exported to Australia, supplemented now by the export of crayfish tails to the United States of America, and of fish-liver oils; timber, now mainly of exotic species; fresh apples, this trade having been resumed after a break during the war; peas, and grass and clover seeds, the latter having now risen to be the most important single export outside the pastoral group.

Quantity figures of exports of the principal items of New Zealand produce are next given for the years 1951 to 1953, while the Statistical Summary, towards the end of the book, shows the figures for some of the more important commodities from 1904 up to date. For some purposes, especially for comparisons between recent and more remote years, quantities are preferable to values, since the latter are affected by price-variations.

Commodity (New Zealand Produce)195119521953

* Ounces of the fineness of 20 carats and upwards.

The mine—   
  Coal (ton)6,06514,7071,665
  Pumice, sand and stone (cwt.)24,74715,82116,068
  Gold* (oz.)68,92966,61629,674
  Scheelite (cwt.)780980900
  Silver (oz.)2,3021,59334,344
  Cement (cwt.)11,93623,92815,819
The fisheries—   
  Fish (cwt.)60,41369,67072,641
  Fish and fish-liver oils (gal.)21,81112,20817,598
  Whale oil (gal.)173,050151,960130,186
The forest—   
  Kauri gum (ton)1,071576317
  Timber, sawn and hewn (sup. ft.)21,490,05716,622,52620,136,892
Pastoral products—   
  Butter (cwt.)2,942,6663,670,3343,178,447
  Butterfat, dry (cwt.)6,60910,2273,666
  Casein (cwt.)117,835167,282172,147
  Cheese (cwt.)2,132,3721,825,1052,027,209
  Edible fats (cwt.)198,056301,777267,249
  Inedible fats (ton)21,14035,15827,863
  Hair not made up (cwt.)445408730
  Honey (lb.)751,280925,5981,115,595
  Live sheep (number)380786433
  Live horses (number)266310335
  Canned meats (cwt.)151,935312,248282,812
  Meat extract (lb.)1,253,859799,5731,329,212
  Frozen and chilled meats (cwt.)5,496,0237,711,2156,533,751
  Other preserved meat (cwt.)18,25120,29113,738
  Meat meal (cwt.)36,37944,32154,981
  Milk, dried and condensed (lb.)104,637,883140,519,662141,098,067
  Sugar of milk (lb.)7,439,9348,100,5498,199,617
  Inedible offals (lb.)2,875,1333,480,1091,638,114
  Neatsfoot oil (gal.)59,31675,085122,589
  Sausage casings (lb.)5,289,6876,722,1766,107,433
  Cattle and horse hides (number)343,440547,224412,367
  Calf skins (number)977,4771,577,712961,374
  Deer skins (number)103,19466,40968,330
  Opossum skim (number)921,888229,057492,105
  Rabbit skins (number)5,745,4602,839,3422,626,462
  Sheep skins and pelts (number)14,704,64920,092,12318,286,635
  Wool (lb.)316,863,280438,107,606391,607,133
Agricultural products—   
  Biscuits (cwt.)4,6083,2014,027
  Fresh apples (lb.)27,920,76554,589,76044,977,380
  Fresh pears (lb.)23,080678,8701,144,265
  Peas (cental)302,918379,365221,635
  Barley (cental)5,66289,486176,143
  Hops (lb.)409,214100,583335,865
  Oatmeal (lb.)9,2005001,100
  Onions (ton)2,3991,7211,752
  Potatoes (ton)2,7511,0051,154
  Canned vegetables (lb.)2,300,0953,748,9685,195,099
  Seeds (grass and clover) (cwt.)88,428163,452179,267
  Linen-flax fibre and tow (cwt.)3,9842,3142,804
Miscellaneous—   
  Ale, stout, and cider (gal.)232,782256,737168,203
  Tobacco, manufactured (lb.)78,264125,935147,129
  Sugar, refined (cwt.)6,9558,9885,284
  Metals, scrap (not precious) (cwt.)192,164278,910706,718
  Soap and soap powder (lb.)2,784,8781,340,9991,920,038
  Building board (sq. ft.)2,872,9333,328,6683,791,651

The values of the principal exports are given in the following table.

Commodity (New Zealand Produce)195119521953

* Including items not enumerated.

The mine—£££
  Coal24,43258,54110,234
  Pumice, sand and stone10,6548,1318,506
  Gold843,792798,956364,912
  Scheelite64,31877,81345,522
  Silver68049710,590
  Cement5,60315,0999,522
The fisheries—   
  Fish692,305902,5161,125,375
  Fish and fish-liver oils58,93958,51562,440
  Whale oil48,04942,55036,048
The forest—   
  Kauri gum132,12681,51743,712
  Timber, sawn and hewn733,207593,267628,404
Pastoral products—   
  Butter41,361,93455,929,34851,385,252
  Butterfat, dry127,665215,84675,875
  Casein955,6831,316,9731,254,079
  Cheese16,650,13115,527,23318,373,114
  Edible fats1,209,9711,629,264743,167
  Inedible fats1,475,5443,277,9421,287,841
  Malted milk52,53349,55617,545
  Hair not made up19,29214,32220,814
  Honey34,99443,41257,980
  Live sheep36,23120,97857,865
  Live horses155,960181,218191,081
  Canned meats1,697,5704,756,5524,743,103
  Meat extract166,261119,117535,131
  Frozen and chilled meats25,393,53840,474,95539,886,599
  Other preserved meat142,163195,643175,019
  Meat meal95,172136,112137,007
  Milk, dried and condensed.3,952,0286,563,9416,277,745
  Sugar of milk276,886302,219318,307
  Inedible offals244,439368,014182,316
  Neatsfoot oil34,05732,69143,753
  Sausage casings3,902,5574,898,6952,472,884
  Cattle and horse hides1,943,1051,968,4941,504,254
  Calf skins1,081,5281,333,396935,883
  Deer skins245,97192,99572,042
  Opossum skins323,54658,021184,368
  Rabbit skins203,23263,36084,504
  Sheep skins and pelts9,033,2996,415,9077,934,093
  Wool128,176,05181,998,14184,597,996
Agricultural products—   
  Biscuits25,98220,56027,067
  Fresh apples690,8882,034,5971,671,821
  Fresh pears82925,49243,082
  Peas572,655996,901582,780
  Barley4,949109,469220,738
  Hops80,13722,76975,846
  Onions134,61256,13161,179
  Potatoes56,03936,55541,725
  Canned vegetables107,543206,385240,032
  Seeds (grass and clover)1,246,0142,106,6271,869,676
  Seeds (various)69,732321,366334,805
  Linen-flax fibre and tow49,72727,56512,278
Miscellaneous—   
  Ale, stout, and cider56,17265,55050,395
  Tobacco, manufactured21,44933,74042,963
  Dairying machinery80,80362,12230,863
  Electrical apparatus53,23937,02242,518
  Manures11,14373,521108,320
  Sugar, refined19,11428,00816,735
  Metals, scrap (not precious)96,915164,552392,585
  Leather44,41942,19973,346
  Soap and soap powder97,82654,78362,134
  Soup and soup powder52,60037,5269,638
  Books, papers, etc., printed27,76042,28161,493
  Building board58,65969,45461,044
  Vitamins and vitamin concentrates69,86865,48558,900
    Totals, New Zealand produce*246,394,217238,418,724233,473,656

DESTINATION OF NEW ZEALAND EXPORTS.—The first exports from New Zealand went naturally to the earlier-developed sister colony, and for a considerable time Australia had a monopoly of our trade. In 1865, 70 per cent, and even in 1871, 44 per cent, of the total exports went to Australia. But since the establishment of direct shipping lines the United Kingdom has absorbed the bulk of New Zealand exports, the proportion going to that country being usually in excess of 70 per cent and often exceeding 80 per cent of the total merchandise exports. The proportion is markedly affected by relative movements between the prices of (1) dairy produce and meat, most of which are sold to the United Kingdom, and (2) wool, hides, and skins, which are exported in much greater proportions to other countries. The prices of the former are generally less variable than those of the latter, resulting in a greater stability in the value of exports to the United Kingdom than to other countries. Hence, when the prices of wool, hides, and skins are relatively low the proportion of exports going to the United Kingdom is high; it reached 88 per cent in 1932. Conversely, when the prices of wool, etc., are relatively high the proportion of exports going to the United Kingdom is low. In 1951 the extremely high wool prices ruling resulted in the proportion falling to 58 per cent, easily the lowest figure recorded since the United Kingdom supplanted Australia as the principal export market about 1870.

The same cause operated to reduce the proportion of exports going to British Commonwealth countries in 1951 to only 65 per cent, easily the lowest figure on record. This rose in 1952 to 72 per cent, with a further rise to 73 per cent in 1953.

The principal destinations of New Zealand's exports of merchandise (including re-exports) during the last twenty years are given in the table below. The nomenclature used in this and subsequent tables in regard to the countries of destination refers generally to status and territories in the years indicated and not necessarily to the present position.

YearUnited KingdomCanadaAustraliaFranceGermanyUnited States of AmericaOther Countries*Total Merchandise Exports

* Including ships' stores.

 ££££££££
193438,629,240697,8651,882,5161,228,699944,3101,250,3642,709,85347,342,847
193538,921,568656,9841,781,811484,610165,3042,468,0662,060,03846,538,381
193645,492,9891,103,0081,843,4751,646,168272,4812,877,7523,516,06756,751,940
193750,705,5911,678,4031,824,1831,014,941919,1484,784,0995,787,01466,713,379
193848,897,9901,127,1242,189,4541,015,456890,9761,421,6302,833,65358,376,283
193946,689,198963,7102,256,0071,579,176390,0062,847,1583,324,06158,049,316
194064,129,1061,709,1692,159,339716,752..2,825,8982,200,86973,741,133
194152,395,5382,822,3342,400,266....5,190,6134,670,66267,479,413
194260,471,0983,616,6462,717,619....5,990,0678,489,20781,284,637
194346,367,9404,535,2072,849,125....6,385,40211,724,92471,862,598
194455,426,5331,939,8143,092,981....5,062,60812,265,01077,786,946
194558,643,4112,250,8624,195,24746,965..7,984,6968,510,09581,631,276
194670,923,7722,803,2823,630,7503,465,3751,639,1299,715,7519,124,207101,302,266
194798,698,4793,059,6604,096,0644,447,17478,2948,174,45210,865,524129,419,647
1948107,915,2662,990,8143,954,4168,308,1892,724,8347,272,63214,654,874147,821,025
1949107,706,3052,196,3523,747,7467,657,8992,993,5035,491,54617,487,600147,280,951
1950121,684,9503,556,9164,779,3688,076,5935,940,23918,387,38921,326,836183,752,291
1951142,362,1698,564,9895,112,87417,853,9583,836,33228,859,04436,537,806248,127,172
1952156,485,2535,212,4783,930,23710,558,6495,227,02327,267,43431,879,630240,560,704
1953158,047,3172,958,0634,655,26215,634,3336,083,50718,378,72130,052,844235,860,047

The statistics quoted in the foregoing table indicate the destination of New Zealand exports as recorded by the Customs Department. In some instances the ultimate destination of exports is not known at the time of export, such goods being entered as exported to the country to which they are being shipped. This consideration applies more particularly to wool, considerable quantities of which are shipped to the United Kingdom, and, in normal times, subsequently re-exported to the Continent. It should be observed, however, that in all instances where the final destination is known at the time of export, the exports are credited to that destination in the New Zealand trade statistics. It is possible, of course, that the destination of goods may be changed while in transit; and this, in fact, happens occasionally in the case of wool. In such cases the actual destination will be different from that to which the goods have been credited in the statistics; however it is quite impossible to keep a record of all movements of this nature.

A further point of some importance is the fact that an appreciable quantity of wool is exported on an “optional" basis—United Kingdom, option Continent. In these cases, however, subsequent information is received by the Customs Department as to the actual destination of the goods, and the entries are amended.

It will be realized from the considerations outlined above that the actual final destinations of New Zealand exports may vary appreciably from the classification shown in the table. For these reasons it is probable that exports to Continental countries are normally somewhat higher than the figures indicate; conversely, exports to the United Kingdom for retention in that country are lower than the totals quoted in the table.

The table which follows shows for each of eleven years the percentage of total exports (excluding specie and ships' stores), taken by each of the principal countries trading with New Zealand.

Country19431944194519461947194819491950195119521953
 Per CentPer CentPer CentPer CentPer CentPer CentPer CentPer CentPer CentPer CentPer Cent
United Kingdom64.8871.7572.2870.3576.6673.3073.3866.4457.5765.3367.21
Republic of India3.595.273.623.070.380.540.600.420.390.630.41
Pakistan0.050.110.060.080.19
Canada6.352.512.772.782.382.031.501.943.502.181.26
Australia3.994.005.173.603.182.692.562.612.071.641.98
Other British Commonwealth countries1.541.361.732.011.561.341.341.191.382.192.25
    Totals, British Commonwealth countries80.3584.8985.5781.8184.1679.9079.4372.7164.9772.0573.30
Netherlands....0.010.491.331.941.661.871.320.851.04
Belgium......0.471.551.021.241.612.121.251.48
France....0.063.443.455.645.224.417.224.416.67
Germany......1.630.061.852.043.243.572.182.59
Italy..1.150.760.290.520.510.981.041.561.822.10
Poland....0.050.010.060.140.820.852.961.241.54
Russia (U.S.S.R.)1.28....0.010.391.731.980.560.50  
Egypt8.906.842.960.410.160.140.170.080.140.06006
Japan........0.040.030.530.541.551.461.33
United States of America8.936.559.849.646.354.943.7510.0411.6711.387.82
Remaining countries0.540.570.751.801.932.162.183.052.423.302.07
    Totals, other countries19.6515.1114.4318.1915.8420.1020.5727.2935.0327.9526.70

Exports to Each Country, 1951–1953.—The table following shows the exports (including re-exports, but excluding specie) according to the countries of destination. Reference should be made to remarks made earlier regarding re-exports of New Zealand produce from the United Kingdom.

Country195119521953
British Commonwealth Countries, Protected States, and Trust Territories   
Europe—£££
  United Kingdom142,362,169156,485,253158,047,317
  Gibraltar404....
  Malta26,25621826,878
    Totals142,388,829156,485,471158,074,195
Asia—   
  British Borneo7482,4971,753
  Ceylon21,19218,04522,021
  Hong Kong271,07667,943104,386
  Republic of India963,4211,503,994959,740
  Pakistan148,053197,67845,841
  Malaya and Singapore321,285428,965974,327
  Kuwait2,5536,9233,936
  Other7,2151,93015,694
    Totals1,735,5432,227,9752,127,698
Africa—£££
  British West Africa77,940142,065140,257
  Kenya and Uganda11,62615,5162,934
  Rhodesia-Nyasaland Federation15,350472,703551,500
  Union of South Africa268,725557,847597,211
  Other8,8723,73917,604
    Totals382,5131,191,8701,309,506
America—   
  Bermuda41,577192,54584,025
  British Guiana43,040158,701107,375
  British Honduras13,1797,8178,846
  British West Indies715,6271,531,8681,426,425
  Canada8,564,9895,212,4782,958,063
  Falkland Islands5061182,352
    Totals9,378,9187,103,5271,587,086
Pacific—   
  Australia5,112,8743,930,2374,655,262
  Fiji778,027839,005788,304
  Gilbert and Ellice Islands86,46272,08365,936
  Nauru Island42,98940,51934,525
  Norfolk Island27,91439,48522,406
  Papua6,8862,944571
  Pitcairn Island1,9791,0111,089
  Solomon Islands19,60218,78124,327
  Tonga212,853239,398216,112
  Western Samoa481,207395,180450,049
  New Hebrides27,20416,33314,450
    Totals6,797,9975,594,9766,293,031
    Totals, British Commonwealth countries, etc.160,683,800172,603,819172,391,516
Other Countries   
Europe—   
  Austria95,91034,58347,894
  Belgium5,239,1792,983,2813,469,828
  Czechoslovakia763,699604,292311,801
  Denmark1,157,146642,368419,686
  Finland322,16249,48433,050
  France17,853,95810,558,64915,684,333
  Greece253,693380,059198,051
  Italy3,847,4874,362,4184,946,364
  Netherlands3,261,8692,036,3682,449,430
  Norway227,92040,79039,759
  Poland7,312,1452,960,6923,625,510
  Portugal13,72921,93847,847
  Republic of Ireland95,5593,367,346978,304
  Rumania103,07337,172
  Russia (U.S.S.R.)1,246,911....
  Spain69232,870
  Sweden672,908486,492383,881
  Switzerland128,27756,447140,174
  West German Federal Republic8,835,5955,227,0236,083,507
  Yugoslavia312,24255,0861,452
  Other1,0371,5513,600
      Totals51,641,44233,871,94939,134,513
Asia—£££
  Burma103,39173,07159,765
  Iraq7,7113,6501,514
  Israel1,5068516,201
  Japan3,844,7383,505,3343,123,114
  Korea50,416 41,323
  Lebanon20,22723,5584,690
  Philippines105,037183,397246,068
  Saudi Arabia81,789116,87086,750
  Thailand45,9341,14210,570
  Turkey47,42944,3711
  Other3,0756,2808,697
    Totals4,311,2533,958,5243,588,693
Africa—   
  Algeria21,31940,1843,292
  Belgian Congo1,010113,836121,563
  Egypt353,120136,418149,230
  French Morocco12,52213,99859,709
  Libya12,918434123
  Portuguese East Africa6,97210,43820,724
  Other1,355777512
    Totals409,216316,085355,153
America—   
  Argentina1,2585,90614,902
  Chile9,8171,0791
  Colombia....16,818
  Cuba..14,80741,905
  Mexico295,059267,005184,737
  Netherlands Antilles175,235322,195243,562
  Panama Republic305,814202,961294,832
  Panama Canal Zone113,93059,22886,047
  United States of America28,859,04427,267,43418,378,721
  Uruguay27,28234239,429
  Venezuela..2,59017
  Other4,98923,41821,213
    Totals29,792,42828,166,96519,322,184
Pacific—   
  Hawaii21,216145,46866,127
  New Caledonia3,94521,7682,494
  Society Islands275,343306,007157,657
  Tuamotu Archipelago11,36917,575618
  Tutuila134,577131,809135,321
  Other..758
    Totals446,450622,634362,275
    Totals, other countries86,600,78966,936,15762,762,818
Ships' stores842,5831,020,728705,713

Destination of Main Exports.—The table which follows shows quantities and values of the principal exports of New Zealand produce sent to various destinations during the years 1952 and 1953.

Country to Which Exported19521953
QuantityValueQuantityValue
Wool
 lb.£lb.£
United Kingdom199,864,87537,295,201184,776,06040,719,863
Union of South Africa1,810,250413,5371,946,927498,609
India1,229,921405,0151,190,520289,669
Canada11,662,2482,334,5638,315,3811,896,323
Australia2,510,820439,4654,727,3961,005,470
Republic of Ireland138,59627,005369,56677,315
Belgium15,179,2842,554,85714,767,1413,004,122
Norway163,60740,652112,05532,502
Denmark1,584,963404,3381,061,803286,260
Finland173,65742,66847,85914,772
Rumania12,8763,056150,83237,154
Poland12,290,4792,890,1464,533,0051,046,934
Portugal52,93410,966130,50736,114
West German Federal Republic14,092,3922,833,13223,144,3295,169,268
Netherlands5,958,8091,078,4716,903,6151,460,911
France53,978,8749,173,43464,498,68513,126,272
Sweden1,114,214308,0151,072,620297,087
Switzerland157,81235,450210,92537,823
Italy16,055,5832,965,05615,622,1043,311,097
Czechoslovakia4,186,971602,6531,556,900311,648
Yugoslavia254,52153,507....
Greece1,293,851359,734614,899178,203
Spain....1,011,440230,805
Algeria218,65540,17610,9993,287
Egypt176,50742,310445,305132,090
French Morocco68,78312,293186,22540,927
Japan4,853,4901,042,5635,722,5811,311,144
Colombia....59,44316,816
Mexico1,739,905266,607886,399184,720
United States of America,87,220,18516,309,34647,519,1269,838,191
Other countries62,54413,92512,4862,600
    Totals438,107,60681,998,141391,607,13384,597,996
Frozen and Chilled Meat
 Cwt.£Cwt.£
United Kingdom7,052,91437,128,0476,287,78838,093,344
Malta....2,02115,307
Hong Kong3,07626,8394,23640,176
British West Africa7,54246,2769,28670,577
Bermuda7,38763,2922,57626,511
British West Indies66,758454,48360,984422,611
Canada12,82932,33917,357128,761
Malaya2,02713,1756,37343,430
Australia1,51610,3001,3608,752
Fiji15,97195,44510,43874,768
Tonga2,20113,5111,2789,962
 Cwt.£Cwt.£
Western Samoa4,08723,7814,84829,976
West German Federal Republic....10,11247,299
Italy2,2578,96174,891504,622
Saudi Arabia4,17469,1765,48386,750
Netherlands Antilles24,789190,07218,633155,989
United States of America493,0072,208,8705136,609
Society Islands1,40611,0888527,307
Hawaii2,03026,5634,64642,553
Tutuila3,67427,8113,57729,510
Other countries3,57024,9266,49941,785
    Totals7,711,21540,474,9556,533,75139,886,599
Canned Meat
 Cwt.£Cwt.£
United Kingdom248,4073,901,028232,0074,040,422
Malaya74616,86355864
British Guiana2,22728,6122,37534,594
British West Indies18,287243,6117,964110,922
Fiji11,338156,51310,321141,167
Tonga7,36191,2786,43783,506
Solomon Islands6548,28172910,324
Gilbert and Ellice Islands2,20528,1202,43134,465
Nauru4384,9762,18528,709
Western Samoa5,71671,7966,55086,894
New Hebrides97612,9594565,845
United States of America....73912,446
Society Islands8,005116,3035,50279,928
Tutuila4,17751,0704,10356,485
Other countries1,71125,14295816,532
    Totals312,2484,756,552282,8124,743,103
Butter
 Cwt.£Cwt.£
United Kingdom3,175,38647,388,8482,764,06044,015,778
Hong Kong1,34923,1391,45725,190
Ceylon94016,18360010,372
India5,801101,6537,482128,979
Pakistan96419,822....
Malaya and Singapore3,92167,4666,023102,117
British West Africa4,52983,1523,30661,119
Rhodesia–Nyasaland Federation20,969352,48129,012487,477
Union of South Africa4,94879,1364507,774
British Guiana2,99054,30288415,341
Bermuda6,30099,2332,72045,980
British West Indies25,746439,72526,169451,097
Canada35,703719,310....
Australia2,19436,709....
Western Samoa1,58015,2411,56017,901
Republic of Ireland200,0003,239,21933,000596,533
France20,130362,54990,0001,627,667
West German Federal Republic65,6001,212,83589016,192
Italy39,200678,97420,000343,833
Poland....139,9642,504,675
Japan10,505177,2661,64429,228
Philippines8,349142,39411,758205,028
Saudi Arabia80015,539....
Belgian Congo6,475113,8077,006121,534
Portuguese East Africa4938,4491,12419,432
Netherlands Antilles6,319115,0034,03674,565
United States of America....1,80035,090
Cuba84514,2072,13340,274
Panama Canal Zone2,87555,5564,24880,860
Panama Republic10,137193,79315,022282,822
Society Islands1,75937,08823525
Other countries3,52766,2692,07637,869
    Totals3,670,33455,929,3483,178,44751,385,252
Cheese
 Cwt.£Cwt.£
United Kingdom1,640,44813,567,4731,895,75316,884,077
Bermuda1,17612,95496510,204
British Guiana4,42642,6553,06531,243
Rhodesia-Nyasaland Federation10,569102,0643,86639,126
British West Indies23,119250,02619,737230,235
Canada44,560454,017....
Belgium16,861162,1896,57365,388
France1,99819,525....
Republic of Ireland2,00416,59213,925151,313
West German Federal Republic29,426282,57815,517168,456
Italy10,638109,8903,37935,380
Japan3,41835,8181,86423,394
Egypt1,84823,41679611,066
United States of America29,848391,31857,722673,912
Other countries4,76656,7184,04749,320
    Totals1,825,10515,527,2332,027,20918,373,114
Milk (Dried, Condensed, etc.)
United Kingdom88,822,5263,689,995116,076,3904,991,720
Aden12,9901,719233,52014,975
India12,265,804639,9196,376,682281,134
Pakistan384,44522,207601,04835,676
Malaya and Singapore4,893,762253,7119,955,980481,953
Hong Kong79,3603,017214,40010,427
Rhodesia-Nyasaland Federation112,5405,894261,50014,094
Mauritius1,950169216,88015,203
British West Indies1,025,82052,512834,58446,067
Canada2,103,086122,022....
Australia639,07429,426....
Fiji406,25127,606404,65623,298
Western Samoa134,5909,521168,45412,108
Japan9,120,664518,73014,400593
Saudi Arabia491,32232,155....
Burma1,090,41650,922971,66447,065
Egypt1,221,68054,777123,1805,004
Philippine Islands427,82416,571635,99227,252
Brazil161,28011,987....
United States of America14,612,285874,7102,382,753176,885
Hawaii473,72822,469....
Society Islands1,128,90975,585546,65535,085
Other countries909,35648,3171,079,32959,206
    Totals140,519,6626,563,941141,098,0676,277,745
Edible Fats
 Cwt.£Cwt.£
United Kingdom244,7761,275,981142,954386,577
India31,568202,11463,893165,532
Pakistan3,82623,9021,5663,934
Fiji3,82129,5493,55220,140
Western Samoa1,90814,3881,5389,262
Italy2,51113,3578,47122,755
Netherlands7,47032,94427,31179,071
Egypt2,89614,587196452
Other countries3,00122,44217,76855,444
    Totals301,7771,629,264267,249743,167
Inedible Fats
 Tons£Tons£
United Kingdom34,8423,255,16915,334703,506
India....37319,405
Malaya....70832,610
British Guiana201,20028712,675
British West Indies....1,26865,330
Republic of Ireland....37518,907
West German Federal Republic418975031,983
Italy....3,526161,793
Netherlands1448,4942,998129,880
Japan251,81378040,244
French Morocco....25510,831
Other countries12311,0771,20960,677
    Totals35,1583,277,94227,8631,287,841
Cattle Hides
 Number£Number£
United Kingdom49,001208,37222,71781,233
Canada5,20012,5643,5003,457
Australia13,52940,32812,84338,697
Sweden2,0329,9394,40916,163
Denmark2,10010,4107,28430,158
Poland13,34869,90023,09973,361
West German Federal Republic36,858126,82150,893174,234
Netherlands24,23276,86341,623141,435
Portugal3,3508,9613,77511,710
France18,76858,44815,51348,688
Italy50,889135,35230,93886,941
Austria7,87528,28112,13047,110
Japan293,6611,087,479167,978697,201
Turkey8,41935,478....
Other countries4,08015,4163,25210,814
    Totals533,3421,924,612399,9541,466,202
Calf Skins
 Number£Number£
United Kingdom366,563310,824221,526211,092
Canada19,99015,81410,97511,000
Australia24,29519,28223,57224,052
Belgium33,52428,702131,617131,683
France12,97411,57627,08727,529
West German Federal Republic227,126190,69352,66750,761
Greece20,30719,59917,66017,240
Netherlands310,161260,42769,34559,106
Italy396,454335,767228,198226,599
United States of America154,736131,488167,760166,221
Other countries11,5829,22410,96710,600
    Totals1,577,7121,333,396961,374935,883
Rabbit Skins
 Number£Number£
United Kingdom1,897,29632,2491,671,18847,731
United States of America684,98616,510744,46427,104
Other countries257,06014,601210,8109,669
    Totals2,839,34263,3602,626,46284,504
Sheep Skins (With Wool)
 Number£Number£
United Kingdom182,861179,453343,747404,505
Canada6,0366,36850,48962,509
Australia89511715,85120,367
France854,949676,608788,181625,371
West German Federal Republic33,45118,36419,8228,787
Italy1,6331,05726,71919,204
United States of America19,97714,338....
Other countries....9,6186,967
    Totals1,099,802896,3051,254,4271,147,710
Sheep Skins (Without Wool)
 Number£Number£
United Kingdom2,849,714922,0642,316,319950,668
Canada37,1129,157102,19841,497
Australia69,67115,26828,63210,743
Belgium351,396137,520332,564163,210
France199,65774,95747,14814,600
West German Federal Republic1,010,342319,269175,55181,508
Italy62,49619,53491,47641,908
Netherlands999,582366,066867,788423,465
Sweden38,78411,390....
Japan1,48845029,28011,219
United States of America13,371,8993,643,83313,038,7895,046,485
Other countries180942,4631,080
    Totals18,992,3215,519,60217,032,2086,786,383
Sausage Casings
 lb.£lb.£
United Kingdom2,340,2621,513,4843,078,3161,272,395
Canada1,321,6721,316,5041,240,861622,113
Australia295,02521,964118,08216,640
Denmark213,585187,910116,62863,658
Republic of Ireland31,33632,95415,68912,676
Netherlands33,99735,4473,0241,538
Sweden141,935144,70833,70913,700
West German Federal Republic10,20810,930181,54558,508
United States of America2,324,6091,627,6541,317,010410,813
Other countries9,5477,1402,569843
    Totals6,722,1764,898,6956,107,4332,472,884
Peas (Unprepared)
 Cental£Cental£
United Kingdom291,864732,758152,542375,774
Union of South Africa4,54911,2104,51411,703
Australia66,742214,47847,278158,825
Belgium6,76813,5151,6822,332
United States of America4,97213,0808,64618,921
Other countries4,47011,8606,97315,225
    Totals379,365996,901221,635582,780
Apples (Fresh)
 lb.£lb.£
United Kingdom47,754,9201,814,99240,621,8001,523,311
Malaya725,44025,654....
Canada999,56037,4831,057,96039,673
Belgium....580,00017,037
West German Federal Republic3,550,00099,9271,213,16035,587
United States of America1,062,24039,8341,022,04038,326
Other countries497,60016,707482,42017,887
    Totals54,589,7602,034,59744,977,3801,671,821
Seeds (Grass and Clover)
 Cwt.£Cwt.£
United Kingdom61,097843,49371,578891,533
Canada5,63992,6354,33186,065
Australia27,665201,89552,443423,959
Republic of Ireland4,07844,24110,78581,311
Belgium3,35233,7994,62730,948
France2,07528,7275,67247,825
Denmark1,23618,7301,18425,152
Italy3607,7841,79116,387
Sweden2535,98962911,173
West German Federal Republic4,25449,22811,17883,673
Netherlands4,38264,7334,70750,971
Japan5,68850,3152,19925,286
United States of America41,752646,8706,59684,150
Other countries1,62118,1881,54711,243
    Totals163,4522,106,627179,2671,869,676
Timber (Sawn and Hewn)
 Sup. ft.£Sup. ft.£
Australia15,878,562560,90616,803,647477,848
Fiji29,7961,2201,039,45847,118
Tonga204,7548,381337,98214,526
Western Samoa406,26018,0611,373,05366,427
Korea....505,44319,110
Other countries103,1544,69977,3093,375
    Totals16,622,526593,26720,136,892628,404

EXPORTS BY PORTS.—From 1914 to 1921 the Customs Department allocated exports, as far as possible, to the appropriate district of production, whether exported through the port for such district or not, and no complementary figures are available to show the export trade from each individual port for this period.

The system, however, did not prove satisfactory in practice, and the method of recording exports according to the port at which the goods are placed on board the vessel by which they leave New Zealand was reverted to from 1 January 1922.

The following table shows for the years 1949–53 the value of total exports according to the port at which they were actually placed on board the overseas vessels.

While, in the case of imports, goods received through parcels-post are allocated according to ports of entry, similar treatment is not possible in the case of exports. The total of goods exported by parcels-post is accordingly shown under the heading “Parcels-post.”

Port19491950195119521953
 £££££
Auckland52,583,29556,018,42472,454,12392,278,86885,214,272
Tauranga163,229126,852327,129143,486481,104
Gisborne12563984,7941,042,3701,717,600
Napier14,766,17220,710,86031,026,81524,743,18922,016,561
New Plymouth8,622,73610,600,71012,566,65811,043,66312,890,378
Wanganui1623425,8144,311184
Wellington30,522,00543,346,15350,818,19147,042,85345,644,606
Wairau (including Picton)32,23714,31073,354....
Nelson7857706,1481,027,5461,061,987
Westport7,780..19,07153,817..
Greymouth52,30358,950..137,153252,449
Hokitika......180..
Lyttelton13,531,01516,407,33022,760,91924,437,98619,007,790
Timaru5,767,0988,509,57116,521,6179,297,80510,622,846
Oamaru..2,055..3,36358,463
Dunedin8,969,21113,189,46118,782,11912,571,28616,119,593
Invercargill11,986,42814,597,94021,791,57716,558,02020,637,135
Parcels-post276,370168,687188,843174,808135,079
    Totals147,280,951183,752,291248,127,172240,560,704235,860,047

Auckland occupies a commanding position in the export trade of New Zealand, usually one-third of all exports being contributed by that port. Wellington occupies second place, usually with approximately one-fifth of the trade. As will be seen from the above table, the order of the other ports varies from year to year.

EXPORTS FOR YEARS ENDED 30 JUNE.—As indicated elsewhere in this Section (page 282), farm products account for an extremely high proportion of exports from New Zealand. The form-production export season fits much more closely to a June year than to a calendar year. The bush of the dairy-production season is spread over the months of October to March, while the whole harvest season, and most of the wool-selling season, occur in the early months of the calendar year. By 30 June in normal times the great bulk of the season's farm produce destined for export is shipped, except held-over wool and a certain amount of dairy produce and frozen meat kept in cool store to equalize shipments. It is desirable, therefore, for some purposes to tabulate New Zealand exports for years ending in June instead of December, a desideratum which, it may be observed, applies to most countries in the Southern Hemisphere.

EXPORTS OF NEW ZEALAND PRODUCE (QUANTITIES) FOR YEARS ENDED 30 JUNE

Commodity1951–521952–531953–54
Butter(cwt.)3,085,7253,545,5982,862,059
Butterfat, dry(cwt.)7,8139,4904,246
Casein(cwt.)137,202177,903165,023
Cheese(cwt.)2,013,9371,868,9352,023,505
Fish(cwt.)76,48573,33479,960
Honey(lb.)791,231597,4391,412,003
Beef, frozen(cwt.)867,781981,6731,117,364
Lamb, frozen (whole carcases)(cwt.)3,963,4394,119,0043,734,932
Mutton, frozen (whole carcases)(cwt.)1,540,2501,844,0871,374,293
Pork, frozen(cwt.)162,980233,780229,139
Veal, frozen(cwt.)98,38286,24257,396
Other frozen meats(cwt.)378,856552,722365,635
Meats, canned(cwt.)176,577363,310284,362
Meat extract(lb.)1,024,131834,6871,433,608
Sausage casings(lb.)7,057,9396,502,0477,055,089
Milk, preserved(lb.)27,615,18230,129,23815,693,411
Milk, dried(lb.)92,075,403112,930,165119,956,661
Apples, fresh(lb.)57,894,18546,867,02049,714,559
Peas(cental)412,580296,204239,929
Potatoes(ton)2,4371,0981,463
Hops(lb.)262,995189,520352,847
Calf skins(number)1,071,2781,202,4641,027,535
Cattle hides(number)415,810484,377458,482
Rabbit skins(number)4,394,9953,084,2392,249,129
Opossum skins(number)1,007,049306,966371,971
Sheep skins, with wool(number)934,0221,221,8641,183,355
Sheep skins, without wool(number)22,756,98818,732,36018,247,138
Woollb.474,991406,267384,512
Linen-flax (fibre and tow)(cwt.)4,7626662,152
Seeds, grass and clover(cwt.)136,080151,996185,797
Edible fats(cwt.)301,303255,905307,024
Inedible fats(ton)29,43634,26733,738
Coal(ton)19,2882,140690
Kauri gum(ton)955284269
Gold(oz.)85,70961,70131,580
Silver(oz.)3,53132,1703,016
Timber, sawn(sup. ft.)29,879,19912,600,44925,371,528
Sugar of milk(lb.)6,867,1048,864,1018,498,161

EXPORTS OF NEW ZEALAND PRODUCE (VALUES) FOR YEARS ENDED 30 JUNE

Commodity1951–521952–531953–54

* Including commodities not enumerated.

 £££
Butter45,186,45756,013,60846,963,352
Butterfat, dry152,846202,20386,450
Casein1,268,4201,243,3381,270,424
Cheese16,626,09516,738,01018,617,846
Fish867,0131,149,1001,227,500
Honey34,45450,06472,543
Beef, frozen3,370,4764,774,3956,367,398
Lamb, frozen (whole carcases)21,813,95227,610,52028,761,410
Mutton, frozen (whole carcases)4,112,3225,341,2994,355,960
Pork, frozen1,402,6282,051,7882,210,525
Veal, frozen412,790492,732360,486
Other frozen meats2,181,5023,760,2052,469,813
Meats, canned2,400,5205,608,9824,617,419
Meat extract119,240200,757574,513
Sausage casings5,431,4963,536,9353,034,505
Milk, preserved1,156,4841,408,818711,604
Milk, dried3,856,9395,543,0345,089,824
Biscuits23,28331,50915,416
Apples, fresh2,119,0491,740,7891,557,566
Peas891,632783,433678,067
Potatoes61,64636,31048,699
Hops52,62542,78680,057
Calf skins1,032,736996,8681,025,773
Cattle hides1,923,2251,730,3071,603,333
Rabbit skins150,18673,04854,285
Opossum skins317,24986,456152,478
Sheep skins, with wool1,033,451952,3541,155,606
Sheep skins, without wool9,709,4816,408,4677,145,276
Other hides and skins216,009133,231261,753
Wool110,883,56681,564,43986,792,013
Linen flax (fibre and tow)70,3072,0289,295
Seeds, grass and clover1,811,5491,796,9901,952,183
Edible fats1,721,7001,076,796947,568
Inedible fats2,392,7872,542,5731,797,948
Coal74,06512,9723,964
Kauri gum129,89742,19734,966
Gold1,042,417744,962384,112
Silver1,0529,916930
Machinery and machines352,117234,764368,859
Timber, sawn1,055,200435,589732,794
Sugar of milk249,474331,319338,035
    Totals*251,908,558241,741,607239,661,002

RE-EXPORTS.—Until recent years the forwarding trade of New Zealand has never been of great significance. In most years, ships' and international aircraft stores, in which aviation spirit and bunker and lubricating oils loom largely, make up between a third and a half of the total re-exports. The balance is mainly comprised of various classes of machinery and metal manufactures, motor spirits, textiles, and cinematograph films. Munitions and war stores comprised the bulk of the large totals for the later war years.

There is a genuine entrepôt trade with the islands of the Pacific, the amount of which is, however, comparatively small. Exports to Cook Islands and Niue, which are treated as part of New Zealand, are not included in the figures of either exports or re-exports.

Particulars of re-exports over a period of years are contained in the next table. Specie is not included in the figures.

 £
1933597,168
1934571,554
1935486,648
1936488,135
1937505,322
1938575,657
1939601,286
1940767,597
1941532,477
1942739,063
19431,627,900
19446,105,148
19453,114,747
1946994,612
19471,703,235
19481,354,856
19491,194,463
19501,420,140
19511,732,955
19522,141,980
19532,386,391

The destination of this re-export trade is shown in the following table.

Country195119521953
 £££
United Kingdom228,845247,752294,757
Hong Kong4,7941,2422,221
Malaya4138,639265,864
Union of South Africa2,5036,51846,895
Canada1,5333,2673,987
Australia359,145459,435746,755
Fiji125,966198,642131,404
Gilbert and Ellice Islands6,9289,7736,156
Nauru Island14,55911,9618,246
Norfolk Island17,99627,00911,780
Solomon Islands4,1493,6805,510
Tonga35,71435,49127,970
Western Samoa77,99968,69555,565
West German Federal Republic1,6296,96812,492
Belgium24,8611,043134
France137868910
Japan6,55611,829119
United States of America21,03272,262112,171
Society Islands9,91814,4604,679
Tuamotu Archipelago3,203932..
New Caledonia..13,108..
Other countries13,85421,20819,466
Ships' stores771,221917,198629,310
    Totals (excluding specie)1,732,9552,141,9802,386,391

EXPORTS TO COOK ISLANDS AND NIUE.—Trade with the Cook and associated Pacific Islands is not regarded as external to New Zealand, but merely as interchange between different parts of the country, and it is therefore not included in the account of the external trade. The trade of these islands with other countries is also omitted from New Zealand trade statistics. Separate returns are made of the transactions between New Zealand and these islands, and exports to the islands are summarized below.

YearExports
 £
1943103,760
194493,229
1945133,012
1946166,496
1947254,461
1948291,227
1949278,471
1950210,066
1951525,100
1952478,290
1953490,440

Further particulars regarding the trade of the islands will be found in Section 43, Island Territories.

10 C—IMPORTS

THE statistics of imports are compiled from entries passed at the Customs. The value shown for all merchandise imported is, for the purpose of this Section, now based on the current domestic value in the country of export at the time of exportation. Import values are expressed in terms of New Zealand currency. In Section 10A will be found (in conjunction with export figures) a summary of import totals for recent years, expressed both in New Zealand currency and in sterling, together with a series of index numbers of the volume of import trade. Import totals are exclusive of specie, except where the contrary is expressly stated. Reference should be made to Section 10A for details of the system of valuation of imports as now used in these tables.

IMPORT CONTROL.—A brief discussion of import control appears in Section 10A.

CLASSIFICATION OF IMPORTS.—The table following, classifying imports by broad divisions, is based on a grouping of the classes given in the subsequent table (refer page 302). It illustrates the great variety of imports which New Zealand receives in exchange for its few basic exports, figures of which are given in the table on page 281. The food, etc., division accounts for a little in excess of 10 per cent of the total imports in most years, the principal constituents being wheat, fruits, sugar, cocoa beans, tea, beverage spirits, and tobacco. Petroleum fuels are the principal items in the oils, etc., division, comprising approximately 6 to 7 per cent of the total, while drugs, chemicals, and manures account for approximately 4 per cent. It should perhaps be mentioned that, while New Zealand's livestock production is independent of imported animal feeding stuffs, it is highly dependent on the import of phosphatic manures and materials for their manufacture, these constituting a large proportion of the drugs, chemicals, and manures group. The remainder of the imports are made up largely of manufactured textiles and metal goods (including machinery and vehicles) both for capital purposes and consumption. The above classes in general comprise some 60 per cent of the total imports.

Calendar YearImports (c.d.v.)
Food, Drink, and TobaccoApparel, Textiles, Fibres, and YarnsOils, Fats, and WaxesMetals, Metal Manufactures, and MachinesPaper and StationeryDrugs, Chemicals, and ManuresVehicles (Including Parts and Tires)Total*

* Including classes not listed.

£(000)
19435,24410,6274,14813,1392,3762,8561,31286,584
19446,37513,0204,42515,4342,3122,7012,26078,543
19458,32511,7383,53511,7002,1882,9131,54550,080
19469,23814,2013,83817,9123,3254,1164,90965,065
194714,01529,0716,56428,4046,7875,45511,950116,946
194813,20525,5218,83834,4886,3104,78910,629116,857
194912,90923,5577,45534,3054,6284,8618,601109,121
195017,68131,34210,67242,5516,0566,36312,548143,585
195121,77544,24211,66549,75410,0787,45518,550187,758
195224,11435,85416,04074,93714,7419,90127,589229,447
195320,02624,11213,69153,7458,2787,18215,249163,613

Since 1914 the statistics of both imports and exports have been classified according to the nature of the commodity, the items being assembled in well-defined classes as shown in the following table, covering merchandise imports for the years 1952 and 1953. In January 1949 the fist of individual trade items within each class recorded for statistical purposes was greatly extended, and the contents of a few of the classes were slightly altered. Consequently the figures for some classes are not strictly comparable with those for earlier years shown in the 1950 and earlier issues of the Year-Book. The 1952 and 1953 c.i.f. values are also given.

No.Class19521953
c.d.v.c.i.f.c.d.v.c.i.f.
  £(000)£(000)£(000)£(000)
01Foodstuffs of animal origin788850335366
02Foodstuffs of vegetable origin16,01619,06913,31615,707
03Beverages, non-alcoholic, and materials therefor2,1452,6952,8523,689
04Spirits and alcoholic beverages2,8993,3281,9202,247
05Tobacco and manufactures thereof2,2672,4381,6031,750
06Live animals, birds, fish97111109113
07Animal substances (mainly unmanufactured) inedible634664480507
08Vegetable substances and unmanufactured fibres2,6543,2161,4111,718
09Apparel, footwear, and minor articles therefor3,9854,1963,5163,718
10Textile piece-goods and drapery23,20125,35515,77117,022
11Manufactured fibres and miscellaneous textile manufactures8,66810,4544,8245,737
12Oils, greases, waxes, and inedible fats16,04025,16913,69119,432
13Paints, colours, and varnishes9871,204637722
14Stone, earth, ores, and non-metallic minerals1,4462,8441,5092,824
16Metals22,37927,84413,50516,659
17Metal manufactures other than machinery11,06113,0437,1237,623
18Machinery41,49744,53333,11735,374
19Rubber and manufactures n.e.i.1,9032,0481,6881,823
20Leather and manufactures n.e.i.539579445471
21Timber2,7484,0101,8132,883
22Wood, cane, and wicker manufactures7158361,2331,406
23Chinaware, earthenware, glassware, and stoneware3,7164,7331,9322,476
24Paper11,02013,3644,7565,703
25Stationery and paper manufactures3,7214,0683,5213,761
26Fancy goods, jewellery, sports requisites, and timepieces2,0892,2462,0642,266
27Optical, surgical, dental, and scientific instruments and materials and photographic goods2,3532,1622,1231,853
28Chemicals, drugs, and druggists' wares6,6317,9404,4324,963
29Manures3,2717,3552,7515,578
30Vehicles and rubber tires27,58932,98215,24917,534
31Miscellaneous6,3876,8785,8886,255
   Totals, merchandise imports229,447276,215163,613192,180

The next classification presented is that according to the purpose or use of commodities, particulars being given for the years 1952 and 1953. It should be mentioned that the absence of essential information in regard to actual purpose or use of a number of commodities has created certain difficulties, necessitating the employment of arbitrary decisions in some instances. Where certain commodities are used for more than one purpose it has not been possible to segregate the portion applicable to each. In such cases the whole import has been assessed according to the principal use of the article or commodity in New Zealand.

Class of Merchandise19521933
Producers' materials—£(000)£(000)
  Building and construction16,3159,710
  Farm4,4403,572
Manufacturing—  
  Food12,04810,253
  Beverages741696
  Tobacco1,7811,398
  Textiles (apparel or household goods)21,64115,308
  Other43,40127,558
Fuels and lubricants14,61612,736
Auxiliary aids to production6,3463,063
Producers' equipment—  
  Farm8,7745,591
  Commerce and industry30,89025,736
Transport equipment—  
  Railway3,0853,485
  Road23,90111,618
  Other664705
Consumers' goods—  
  Food5,3443,854
  Beverages4,1834,019
  Tobacco560260
  Clothing and accessories3,4203,188
  Household equipment12,2916,143
  Other13,06512,077
Unclassified1,9412,642
    Totals, merchandise imports229,447163,613

In the next table particulars are given of New Zealand's import trade for the years 1952 and 1953 according to the stage of production or degree of manufacture of commodities, the divisions used, following the classification of the former League of Nations, being “crude,” “simply transformed,” and “more elaborately transformed.”

19521953

* Including unclassified items.

Producers' materials—£(000)£(000)
  Crude15,27012,699
  Simply transformed33,08921,843
  More elaborately transformed52,00733,952
Fuel and lubricants—  
  Crude368
  Simply transformed14,58012,727
  More elaborately transformed....
Auxiliary aids to production—  
Crude....
  Simply transformed2..
  More elaborately transformed6,3443,063
Producers' equipment—  
  Crude5074
  Simply transformed1,070120
  More elaborately transformed38,54431,133
Transport equipment—  
  Crude....
  Simply transformed1,1771,469
  More elaborately transformed26,47314,339
Consumers' goods—  
  Crude4,1064,486
  Simply transformed429452
  More elaborately transformed34,32724,604
Total merchandise imports*  
  Crude19,49417,306
  Simply transformed50,42836,694
  More elaborately transformed159,525109,613
    Totals, all merchandise*229,447163,613

An indication of the changes that have occurred during the same period is contained in the next table, which gives the figures for each of the divisions as percentages of total imports.

19521953
Producers' materials—Perr CentPer Cent
Crude6.77.8
Simply transformed14.413.4
More elaborately transformed22.720.8
Fuels and lubricants—  
Crude....
Simply transformed6.47.8
More elaborately transformed....
Auxiliary aids to production—  
Crude....
Simply transformed....
More elaborately transformed2.81.9
19521953

* Including unclassified items.

Producers' equipment—Per CentPer Cent
Crude  
Simply transformed0.50.1
More elaborately transformed16.819.0
Transport equipment—  
Crude  
Simply transformed0.50.8
More elaborately transformed11.58.8
Consumers' goods—  
Crude1.82.7
Simply transformed0.20.3
More elaborately transformed15.015.0
Total merchandise imports—  
Crude8.510.6
Simply transformed22.022.4
More elaborately transformed69.567.0
    Totals, all merchandise*100.0100.0

It will be noted that, despite the changes which have taken place over the last few years in the total value of imports, the proportions of the various classes of goods have not shown marked change.

DIRECTION OF IMPORT TRADE.—In the early years of settlement Australia was the source from which the young colony drew most of its supplies, and for a long period imports from Australia overshadowed imports from the United Kingdom. The proportion of imports from Australia, however, decreased steadily from 60 per cent in 1862 to 7 per cent in 1929. For some years up to the beginning of the Second World War the trend was steadily but slowly upward, reaching 16 per cent in 1941. Since then the percentage has fluctuated below this figure, and fell to 10 per cent in 1951, in which year the value of total imports of Australian origin was approximately four times that of New Zealand exports to Australia. In 1952 imports from Australia were worth six times as much as New Zealand exports to that country. In 1953 Australia supplied 14 per cent of our imports and the proportion between exports and imports improved, the imports being worth only five times as much as the exports.

Imports from the United Kingdom comprised between 60 per cent and 70 per cent of total imports during the “eighties" and “nineties"; so that, at that time, the United Kingdom and Australia between them supplied approximately 80 per cent of the total imports of New Zealand. With the disruption in trading relations during the First World War other countries—notably the United States of America and Japan—increased their share of New Zealand's import trade. This trend was accentuated by the appearance of new industrial products, in which the United States occupied a dominant position, and by severe foreign competition in staple United Kingdom manufactures such as the textile industry. In the circumstances it is not surprising to find that the proportion of goods of United Kingdom origin included in New Zealand's imports of merchandise fell from about 60 per cent before the First World War to about 46 per cent in the late “twenties.”

From 1930 onwards the relative position of the United Kingdom in New Zealand's import trade improved, partly due to New Zealand's tariff policy of preference to Commonwealth countries. During each of the five years 1931–35 over 50 per cent of the imports of merchandise were of United Kingdom origin, this recovery having been made despite the growth in imports from Australia of certain goods—e.g., iron and steel—which were formerly almost entirely imported from the United Kingdom. From 1935, however, the proportion again declined, particularly during the war years, owing to difficulties of supply and abnormal imports of lend-lease material from the United States. With the return to more normal trading conditions in 1946 imports from the United Kingdom rose to 48 per cent of the total. Increased imports from Canada and the United States of America during 1947, plus the re-opening of many pre-war continental markets, resulted in the percentage dropping to 43 in 1947, but since then the imperative need to restrict expenditure in non-sterling areas and the increased availability of British goods for export has resulted in the United Kingdom resuming its pre-war position as the supplier of more than half New Zealand's import requirements (60 per cent in 1950, but dropping to 54 per cent in 1951 and 1952 and rising to 56 per cent in 1953).

The United States of America was sending goods to New Zealand almost from the foundation of the colony, and the share of the imports received from that country steadily increased till in the first decade of the present century it was 11 or 12 per cent. The adoption of Imperial preference seems to have caused a temporary drop in the figure to about 7 per cent, though the proportion maintained a steady increase for several years after the First World War, and, indeed, considerably surpassed its old level. From 1933 to 1940 about one-eighth of the total imports came from the United States of America. The cutting-off of supplies from the United Kingdom and certain other countries owing to the exigencies of war and the necessity of obtaining war materials resulted in imports of United States of America origin showing large increases in the later war years. In 1943 imports from this quarter reached 37 per cent of the total, higher than the percentage from the United Kingdom. However, in 1946 imports from the United States of America were only 16 per cent of the total, but rose again in 1947 to 18 percent. Both these percentages were well above those of the immediate pre-war years. In 1948, 1949, and 1950 the acute shortage of dollar exchange imposed, of necessity, a drastic restriction in imports of United States of America origin, which fell progressively to 11, 10, and 7 per cent of the total. In 1951, with the easing of import restrictions, the absolute value of imports from this country again rose, by two-thirds of the previous year's figure, but was still only 9 per cent of the total. It remained at this level in 1952, but fell to 7 per cent in 1953.

Imports of Canadian origin gradually rose to 10 per cent of the total (in 1929), but fell during the depression period to 4.5 per cent (in 1932). By 1939 the proportion had risen to 9 per cent, but a very irregular movement prevailed during the war years, the 1943 figures reaching the high proportion of 12 per cent. Imports from Canada, as a “hard" currency area, fell to a marked degree during 1948, 1949, and 1950, the percentages of total imports being 5, 4, and 2, but recovered very slightly in 1951, reaching 3 per cent of the total, and remained at that figure in 1952. In 1953, however, the value of imports from Canada fell to a little over a quarter of the 1952 figure.

It should be noted that the nomenclature used in the following tables in regard to countries of origin of imports refers generally to status and territories in the years indicated and not necessarily to the present position.

The table which follows shows imports during the last eleven years from the United Kingdom, other British Commonwealth countries, and other countries.

YearCountry of ShipmentCountry of OriginTotal Merchandise Imports
United KingdomOther British Commonwealth CountriesOther CountriesUnited KingdomOther British Commonwealth CountriesOther Countries
 £££££££
194329,642,30224,018,00432,923,63129,650,79423,845,87433,087,26986,583,937
194431,751,73618,893,04927,898,13531,711,95918,687,45328,143,50878,542,920
194517,920,37616,948,01315,211,77518,038,99216,648,13315,393,03950,080,164
194631,061,18819,631,76414,371,89631,079,07419,336,63114,649,14365,064,848
194750,323,51536,085,56230,537,12850,006,54535,700,86931,238,791116,946,205
194861,309,64532,463,09623,076,57961,006,47432,028,30723,814,539116,849,320
194960,516,62729,507,03519,097,67659,976,32228,509,71420,635,302109,121,338
195087,583,19433,253,97522,747,26486,240,94132,353,07524,990,417143,584,433
1951102,804,11747,946,23937,007,385100,620,06446,429,15540,708,522187,757,741
1952129,213,35750,855,50849,378,444125,990,76048,734,38654,722,163229,447,309
195393,496,32241,620,73628,496,24292,352,43040,768,16830,492,702163,613,300

The next table shows in more detail the principal countries from which New Zealand draws its imports, figures on the basis of country of origin being given for the years 1951 to 1953.

Country195119521953
British Commonwealth Countries, Protected States, and Trust Territories£££
Europe—   
  United Kingdom100,620,064125,990,76092,352,430
  Gibraltar, Malta, and Gozo8,67515,6368,629
Asia—   
  Bahrein Island1,883,7352,678,0962,889,203
  British Borneo1,159,940998,818511,822
  Ceylon3,455,1811,359,7311,944,481
  Hong Kong276,629282,218218,886
  Republic of India6,030,1322,335,2431,797,519
  Malaya and Singapore3,696,6151,783,0363,057,184
  Pakistan68,79212,61240,311
  Other1,4674,6702,342
Africa—   
  Anglo-Egyptian Sudan10,96318,8889,811
  British West Africa726,015540,174449,575
  Kenya and Uganda256,099307,036131,517
  Rhodesia-Nyasaland Federation9,53630,0511,946
  Seychelles 55,562 
  Swaziland, Bechuanaland, Basutoland2,91321,1501,925
  Tanganyika Territory369,878259,08144,903
  Union of South Africa1,563,3111,251,6631,085,872
  Zanzibar3,3581,9825,851
  Other16212,497560
America—   
  British Guiana14,2766,7427,889
  British West Indies342,3731,004,185442,665
  Canada5,586,6088,070,6312,287,060
  Other20464912
Pacific—   
  Australia19,321,91424,364,53023,637,707
  Fiji1,005,2792,332,0151,378,975
  Gilbert and Ellice Islands107,33398,93667,196
  Nauru Island292,406622,665411,631
  New Zealand (re-imports)30,99853,23540,983
  Tonga29,10325,18042,520
  Western Samoa171,976186,773246,133
  Other3,2857013,060
      Totals, British Commonwealth countries147,049,220174,725,146133,120,598
Other Countries   
Europe—   
  Austria271,431682,454585,349
  Belgium2,705,8924,625,1891,475,015
  Czechoslovakia247,666352,342169,960
  Denmark135,211217,732294,170
  Finland242,895503,73374,489
  France2,112,4563,621,7421,969,796
  Germany, Eastern Zone58,081155,811261,232
  Greece28,79921,4851,843
  Republic of Ireland17,30938,62528,470
  Italy870,5391,488,372875,185
  Luxemburg32,712162,2979,004
  Netherlands1,099,7502,270,0211,145,147
  Norway740,955637,924422,150
  Poland15,3956,815875
  Portugal169,908178,497116,533
  Russia (U.S.S.R.)113,84060,16647,648
  Spain57,896111,16871,073
  Sweden1,731,2193,110,2691,978,722
  Switzerland875,9521,027,6201,372,683
  West German Federal Republic1,260,8932,279,9991,971,379
  Other5,9145314,549
Asia—   
  Burma9,7716,0721,769
  China490,912236,022201,014
  Formosa6,1607,920260,188
  Indonesia3,661,2694,879,7602,741,039
  Iran2,390,911208,0093,806
  Iraq124,667115,96876,055
  Japan2,219,0273,758,903388,286
  Philippines40,95655,75515,503
  Saudi Arabia12,188328,611602,410
  Thailand20,71191,29631,382
  Turkey72,83072,95145,969
  Other5,56023,6153,174
Africa—   
  Algeria15,4655,13710,198
  Belgian Congo12,9795,5862,085
  Ethiopia10,22311,48134,636
  French Morocco4,28456,8444,522
  Portuguese West Africa11,1922,666263
  Tunisia443,843189,085120,867
  Other9,5188,4788,979
America—   
  Brazil90,22275,28566,281
  Chile86,31678,96165,053
  Ecuador11,7944,9033,463
  Mexico9,220156,3423,085
  Netherlands Antilles245,8751,258,539141,443
  United States of America17,620,81021,249,32112,142,806
  Uruguay274,6261..
  Venezuela..249,201635,939
  Other8,48429,8113,357
  Pacific Islands3,9952,8483,858
      Totals, other countries40,708,52154,722,16330,492,702
      Totals, all countries187,757,741229,447,309163,613,300

The following table shows for the last eleven years the percentage of the value of total imports (excluding specie) received from each of the principal countries trading with New Zealand.

IMPORTS (COUNTRY OF ORIGIN)

Country19431944194519461947194819491950195119521953
 Per CentPer CentPer CentPer CentPer CentPer CentPer CentPer CentPer CentPer CentPer Cent
United Kingdom34.2440.3836.0247.7742.7652.2155.1360.0653.5954.9156.45
Bahrein Island......0.610.851.001.261.071.001.171.77
Ceylon0.500.991.582.041.521.851.411.261.840.591.19
Republic of India3.073.784.792.963.662.822.551.413.211.021.10
Pakistan0.010.020.040.010.02
Malaya and Singapore......0.030.390.570.750.931.970.781.87
Union of South Africa0.100.100.450.310.380.560.400.620.830.550.66
Canada12.035.909.256.519.035.383.872.262.983.521.40
Australia10.6711.9015.1114.5611.6111.1312.7912.0510.2910.6214.45
Fiji0.630.580.951.751.691.720.770.710.541.020.84
Other British Commonwealth countries0.550.541.110.951.402.382.192.212.031.961.62
    Totals, British Commonwealth countries61.7964.1769.2677.4973.2979.6281.1382.6078.3276.1581.37
Belgium......0.341.901.191.550.711.442.020.90
France......0.100.680.730.340.771.131.581.20
Germany........0.020.070.280.140.700.991.20
Sweden0.02..0.230.700.891.190.560.780.921.361.21
Iran..0.140.500.641.471.701.492.311.270.09 
Japan..........0.050.300.301.181.640.24
Indonesia0.01....0.010.021.261.932.131.952.131.68
Netherlands Antilles..0.781.050.41........0.130.550.09
Peru0.751.533.011.240.02............
United States of America36.6332.2323.7216.4118.1310.799.627.299.389.267.42
Tuamotu Archipelago0.400.451.131.130.600.430.540.37......
Other countries0.400.701.101.532.992.982.262.603.584.234.69
    Totals, other countries38.2135.8330.7422.5126.7120.3818.8717.4021.6823.8518.63

It will be seen that the great bulk of New Zealand's imports of merchandise are of British origin, the average proportion for the post-war years being 79 per cent.

Origin of Principal Imports.—The table which follows shows by main countries of origin details of the principal imports into New Zealand for the years 1951–53.

Country of Origin195119521953
 £(000)£(000)£(000)
Fish (Canned)
United Kingdom16914530
Union of South Africa731446
Denmark332
Norway40818330
Portugal2379
Japan53....
Other countries212228
    Totals750374145
Fruits (Canned)
Malaya11973
Union of South Africa532209204
Australia575558390
Fiji234842
Other countries41014
    Totals1,253832653
Fruits (Dried)
Union of South Africa23211750
Australia765681758
Greece27191
Netherlands....18
Iraq12411676
Turkey434518
United States of America9738..
Other countries3710
    Totals1,2911,023931
Fruits (Fresh)
Union of South Africa2069119
British West Indies122101177
Australia510442564
Fiji5832120
Tonga242139
Western Samoa273488
Italy..10..
Other countries..1..
    Totals7617101,107
Wheat
Australia3,3886,3685,165
Sugar
United Kingdom34969690
Union of South Africa623540
British West Indies..548..
Australia1,9726111,771
Fiji8682,2041,172
Belgium4616
Netherlands151160
Formosa....252
United States of America1564
Other countries912..
    Totals3,2944,1293,405
Cocoa Beans (Raw)
British West Africa561472443
Kenya and Uganda11....
Western Samoa382717
Other countries745
    Totals617503465
Tea
Ceylon3,2711,2191,795
India641134241
China524
Indonesia1095158
Other countries..1..
    Totals4,0261,4072,098
Spirits (Beverages)
United Kingdom8041,2031,298
Republic of Ireland9275
Union of South Africa1519..
British Guiana1454
British West Indies11211025
Australia19015839
France360834243
Netherlands969228
Other countries252110
    Totals1,6252,4691,652
Tobacco and Tobacco Manufactures
United Kingdom115437152
Netherlands..1119
Switzerland..2122
United States of America1,4991,7771,398
Other countries62112
    Totals1,6202,2671,603
Wool
United Kingdom149..46
Australia580263151
    Totals729263197
Kapok
India421724
Indonesia282179231
Other countries268
    Totals326202263
Seeds (excluding Oil Seeds)
United Kingdom2189840
Australia2724266
Denmark91..
Finland10....
France3261
Netherlands11128
Sweden52....
United States of America554334
Other countries81015
    Totals667212164
Hats, Caps, and Millinery
United Kingdom383250298
Australia22119
Czechoslovakia151432
France172953
Italy615359
Switzerland442422
China2478
Japan1063
Ecuador1252
Other countries211715
    Totals609416501
Hosiery
United Kingdom849827828
Other countries1321
    Totals862829829
Other Apparel
United Kingdom1,6221,6721,145
Hong Kong1233
India2942
Australia11388135
France131333
Italy223938
West German Federal Rep.42464
China1042
United States of America635212
Other countries274377
    Totals1,9151,9421,511
Footwear and Grindery
United Kingdom475657565
India1064
Malaya1531
Canada39221
Australia263467
United States of America16124
Other countries132733
    Totals594767675
Made-up Textiles
United Kingdom2,7402,1141,026
Hong Kong6559105
India321731
Australia926428
Belgium26188
Italy32404
Netherlands25214
Portugal1152
Switzerland102828
China2132
Japan2526 
Other countries293037
    Totals3,1082,4251,275
Cotton Piece-goods
United Kingdom7,9477,6824,946
Hong Kong43171
India628389452
Canada1671311
Australia924043
Austria997
Belgium265101103
Czechoslovakia27113
France261819
Italy355412
Netherlands6894101
Switzerland4173101
West German Federal Rep...1836
Japan75451
United States of America3194252
Other countries16129
    Totals9,7589,1195,837
Silk, Rayon, and Nylon Piece-goods
United Kingdom5,5034,2772,738
Canada69221
Australia1418672
Belgium698
Czechoslovakia54..
France186120168
Italy325519295
Netherlands153820
Switzerland2295128
West German Federal Rep.4664140
Japan30513721
United States of America183932
Other countries241210
    Totals6,8305,4763,603
Woollen Piece-goods
United Kingdom4,5413,4072,957
Australia1341115
Belgium12315
France2161
Italy25282
Other countries911
    Totals4,7233,4662,991
Other Textile Piece-goods and Drapery
United Kingdom2,5062,2411,646
India743238272
Australia842830
Belgium1523..
France653553
Italy358814
Switzerland241925
Japan151..
United States of America2782
Other countries213523
    Totals3,5352,7162,065
Bags, Sacks, and Woolpacks
United Kingdom11283
India2,912944437
Australia13328531
Other countries1194
    Totals3,0671,266475
Linoleum and Congoleum
United Kingdom858844670
India21013
Other countries..1..
    Totals860855683
Carpets and Floor Rugs
United Kingdom3,6213,1391,287
India31389
Australia85174
Other countries10313
    Totals3,7473,1971,313
Threads and Yarns
United Kingdom3,3582,5461,952
Ceylon863
India14111
Australia49915496
Netherlands26139
West German Federal Rep.3229
United States of America208541
Other countries321423
    Totals4,1482,7912,124
Mineral Lubricating Oils and Greases
United Kingdom3072121
Australia14254
United States of America9821,595638
Other countries4 10
    Totals1,0301,692773
Motor Spirits
United Kingdom11425
British Borneo901728395
Malaya..5111,080
France..329299
Bahrein Island1,7472,3092,340
Iran1,443164..
Italy....101
West German Federal Rep.....50
Indonesia1,6152,8721,497
Saudi Arabia..175537
Netherlands Antilles8480779
Venezuela..249626
United States of America3017861,319
Other countries..11
    Totals6,0918,9318,749
Kerosene, Diesel, and Fuel Oils
United Kingdom..192530
British Borneo15220026
Malaya124260524
British West Indies..12641
Bahrein Island128265544
France....270
Belgium..5545
Iran88940..
Indonesia1,2781,392778
Saudi Arabia1215364
Mexico..148..
Netherlands Antilles16144641
United States of America472553268
Other countries..1410
    Totals3,2163,8443,141
Linseed Oil
United Kingdom572..
India27217327
Canada4377..
United States of America19....
    Totals39125227
Faints and Varnishes
United Kingdom561619386
Canada3651
Australia147154150
Netherlands6101
West German Federal Rep.72416
United States of America25312980
Other countries14443
    Totals1,024985637
Cement
United Kingdom287539274
Australia..4852
Belgium191..533
Japan306167213
Other countries..29
    Totals7847561,081
Iron and Steel—Pipes, Tubes, and Fittings
United Kingdom5631,3361,055
Canada231201
Australia311605263
Belgium..159..
France221205..
United States of America3119
Other countries1510917
    Totals1,1362,5451,345
Iron and Steel—Plate and Sheet
United Kingdom1,8283,1983,489
Australia209402972
Belgium19240013
France10431
Japan3091,36416
United States of America278684189
Other countries301019
    Totals2,8566,1924,689
Iron and Steel—Cordage and Wire
United Kingdom6821,011655
Canada5115
Australia120284621
Belgium62087092
France2414887
Netherlands..74..
West German Federal Rep.451181
Japan37797..
United States of America891589
Other countries1303
    Totals2,1803,1411,393
Iron and Steel—Other Shapes and Forms
United Kingdom8601,0431,116
Canada10253
Australia3216641,049
Belgium2238988
France622238
Luxenburg241365
Netherlands2161
West German Federal Rep.131231
Japan1701,0948
United States of America251410113
Other countries135..
    Totals1,9374,6672,312
Aluminium and Alloys
United Kingdom706939749
Canada51336170
Australia7312
Belgium22651
Netherlands9213995
West German Federal Rep.26190..
Japan226339..
United States of America68523
Other countries23711
    Totals1,2002,1001,041
Brass, Bronze, and Copper
United Kingdom1,4051,8611,533
Union of South Africa4887
Canada389866197
Australia666875
United States of America5266
Other countries5351
    Totals1,9182,8641,819
Other Metals
United Kingdom361505169
Malaya40011202
Canada26118
Australia308263505
Japan1018..
United States of America74588
Other countries..610
    Totals1,179872902
Artificers' Tools
United Kingdom780898610
Canada194232117
Australia21612788
Netherlands13....
Sweden324025
West German Federal Rep.237462
United States of America174293122
Other countries19224
    Totals1,4511,6861,028
Other Metal Manufactures (Not Machinery)
United Kingdom5,0717,0544,805
Hong Kong25152
India1322
Canada12415829
Australia617781664
Austria121410
Belgium1671613
France374120
Netherlands6213829
Sweden91176141
Switzerland183219
West German Federal Rep.82225135
United States of America489520197
Other countries245719
    Totals6,8209,3756,095
Office and Commercial Machines and Appliances
United Kingdom430687482
Canada7260..
Australia141414
Sweden391816
Switzerland14171
West German Federal Rep.9143
United States of America282444196
Other countries91511
    Totals8691,269723
Agricultural Machinery
United Kingdom7401,4351,004
Canada6011130
Australia231395235
France346529
Sweden424741
West German Federal Rep.144161
United States of America576654426
Other countries5127
    Totals1,7022,7601,833
Electric Motors and Parts
United Kingdom1,0511,2801,087
Canada315013
Australia635721
Sweden375649
United States of America323219
Other countries1876
    Totals1,2321,4821,195
Insulated Cable and Wire
United Kingdom1,5252,6762,258
Canada45458
Union of South Africa....29
Australia454241
Denmark....12
Netherlands..14041
Sweden6210
Other countries994
    Totals1,5892,9232,453
Other Electrical Machinery and Equipment
United Kingdom3,9596,6365,578
Hong Kong393611
Union of South Africa1459
Canada18215458
Australia361569489
Belgium898033
France51116
Netherlands181285131
Sweden3987127
Switzerland1420364
West German Federal Rep.64743
United States of America335392204
Other countries252722
    Totals5,2498,3497,085
Engines and Parts
United Kingdom9261,359852
Canada21724176
Australia796151
West German Federal Rep.1324
United States of America529379219
Other countries9138
    Totals1,7732,0551,210
Tractors and Parts
United Kingdom2,4823,1782,909
Canada71686
Australia12213246
France2373118
Italy16143
West German Federal Rep.201534
United States of America2,8812,1061,583
Other countries222
    Totals5,6175,5884,701
Domestic Machinery and Appliances n.e.i.
United Kingdom6881,015498
Australia13106
Czechoslovakia2719..
Denmark475844
Italy201716
Netherlands21321
Sweden16226
Switzerland5266107
West German Federal Rep.36217
Other countries8814
    Totals8951,309709
Metal and Wood-working Machinery
United Kingdom9741,4551,102
Canada767949
Australia215397295
Sweden376756
West German Federal Rep.135135
United States of America214385221
Other countries243031
    Totals1,5532,4641,789
Rubber and Manufactures n.e.i.
United Kingdom593812429
Ceylon265127
Malaya2,9698571,118
Union of South Africa219..
Canada24194
Australia686257
Western Samoa13145
France18151
Sweden141
United States of America464124
Other countries3922
    Totals3,7631,9031,688
Leather and Manufactures n.e.i.
United Kingdom519415316
India263044
Canada118..
Australia565055
France1544
West German Federal Rep.4719
United States of America26161
Other countries896
    Totals665539445
Timber
British Borneo515..
Malaya..2223
British West Africa10353
Canada485634188
Australia5011,4691,439
Sweden132434
Japan17517277
United States of America5536329
Other countries91420
    Totals1,2532,7481,813
Table Glass and Chinaware
United Kingdom8881,349614
Australia494918
Czechoslovakia267411
Other countries267547
    Totals9891,547690
Glass, Plate and Sheet
United Kingdom300551380
Belgium84212117
Other countries14128
    Totals398775505
Pulp and Paperboard
United Kingdom236293157
Canada208226..
Australia212330
Finland10425442
Netherlands11382
Norway513644
Sweden310421224
West German Federal Rep.6193
United States of America35650942
Other countries25295
    Totals1,3281,848549
Printing Paper
United Kingdom1,1921,5641,209
Canada1,2752,021683
Austria1273335
Czechoslovakia181619
Finland22214
France912113
Netherlands10203
Norway8211444
Sweden766631
French Morocco..501
United States of America34338158
Other countries284824
    Totals3,1824,7552,094
Other Paper
United Kingdom1,3141,7651,201
Canada2945406
Australia56102171
Austria8426044
Belgium10514
Czechoslovakia819..
Finland9712713
France265139
Italy..562
Netherlands30392
Norway138231240
Sweden300374268
West German Federal Rep.1018050
Japan2712..
United States of America21470145
Other countries20928
    Totals2,7194,4172,113
Printed Books, Papers, Magazines, and Music
United Kingdom1,1441,3891,468
Canada361
Australia460766824
Netherlands121012
United States of America133177155
Other countries152113
    Totals1,7672,3692,473
Other Stationery and Paper Manufactures
United Kingdom922743622
Canada251
Australia115123108
Sweden2425278
West German Federal Rep.6112
United States of America162012
Other countries183515
    Totals1,0811,3521,048
Timepieces and Parts
United Kingdom21715676
Australia482511
France28156
Switzerland487433292
West German Federal Rep.42106109
United States of America988
Other countries1244
    Totals843747506
Photographic Equipment
United Kingdom304222244
Australia272340379
Belgium231629
France62188
Italy114..
West German Federal Rep.594061
United States of America182219
Other countries192118
    Totals768683758
Scientific, Surgical, etc., Instruments and Appliances
United Kingdom923886572
Union of South Africa251928
Canada422
Australia876067
France1999
Italy84312
West German Federal Rep.143143
United States of America1319162
Other countries193236
    Totals1,2301,173831
Chemicals, Drugs, and Druggists' Wares
United Kingdom2,6684,2562,753
India1774
Union of South Africa324745
Canada42183
Australia1,0721,1401,008
Belgium38526
France919978
Italy566915
Netherlands826361
Norway61315
Sweden162316
Switzerland446788
West German Federal Rep.41118132
China1974
Japan5684
United States of America536514166
Other countries407034
    Totals4,8056,6314,432
Manures (including Crude Sulphur)
United Kingdom137165103
Seychelles..56..
Gilbert and Ellice Islands1079967
Nauru293623412
Belgium586568325
France207366195
Netherlands436652
West German Federal Rep.312573
Germany—Eastern Zone41129257
Japan3815721
Algeria15....
Tunisia443189121
Chile857563
United States of America6207481,057
Other countries355
    Totals2,6493,2712,751
Aircraft and Parts
United Kingdom574313331
Canada401615
Australia212119
United States of America4598151
Other countries1....
    Totals681448516
Bicycles, Motor and Power Cycles, and Parts
United Kingdom9241,185543
Australia552
Other countries93611
    Totals9381,226556
Motor Cars
United Kingdom8,25012,5237,410
Canada5158432
Belgium..548..
France111024
United States of America198371133
Other countries313148
    Totals8,97714,3107,617
Commercial Vehicles
United Kingdom3,0353,8112,516
Canada15126..
Australia112259170
United States of America1158275
Other countries121
    Totals3,2784,2802,762
Parts of Motor Vehicles
United Kingdom8741,633967
Canada24820286
Australia186196193
France9135
United States of America364552180
Other countries173
    Totals1,6822,6031,439
Railway and Tramway Vehicles and Equipment
United Kingdom1,0252,4162,272
Australia3794141
United States of America30298445
Other countries..1..
    Totals1,0922,8092,858
Pneumatic Tires and Tubes (exceeding 1¾ in. Diameter)   
United Kingdom561894180
Union of South Africa2271
Canada20496
United States of America407821
Other countries5107
    Totals6281,058215
Musical Instruments
United Kingdom575614520
Australia673923
Czechoslovakia955
France583
Italy365029
West German Federal Rep.132244
Other countries363721
    Totals741775645
Plastic and Synthetic Resins and Materials Therefor
United Kingdom902981665
Australia184246204
Canada134
United States of America10511313
Other countries134865
    Totals1,2051,391951

QUANTITIES OF PRINCIPAL ITEMS IMPORTED.—The following table shows the quantity imported, during each of the years 1951 to 1953, of a large number of the principal items.

ItemUnit of Quantity195119521953
Canned fishlb. (000)6,0703,1151,389
Fruit—    
  Cannedlb. (000)25,49516,50311,921
  Driedlb. (000)26,03519,27715,586
Fresh—    
  Bananaslb. (000)19,49013,62143,073
  Orangeslb. (000)27,73220,42434,140
Grain and pulse—    
  WheatBush. (000)5,1728,4637,115
  Maizena and cornflourlb. (000)5,7395,1594,038
Rice (other than rice flour and ground rice)Cwt.48,20050,80054,800
Nuts, ediblelb. (000)5,6544,0295,291
Vegetable butters and fatslb. (000)1,4561,448721
Confectionerylb. (000)213.4190.2249.9
SugarCwt. (000)2,0112,1641,797
Tealb. (000)24,4669,93214,855
Coffee, rawlb. (000)1,1879601,072
Cocoa-beans, rawlb. (000)5,3795,2024,994
Cigaretteslb. (000)179614256
Tobaccolb. (000)6,5416,8125,171
Spirns (beverages)Liq. gals. (000)1,3111,7371,003
WineLiq. gals. (000)277265208
Cotton and linen piece-goods—    
  Cheese-bandages and meat-wrapslb. (000)2,4182,8552,955
  Knittedlb. (000)25217831
  WovenSq. yds. (000)52,76941,62133,029
  Woollen piece-goodsSq. yds. (000)8,3125,7805,293
Silk, and artificial and synthetic fibre piece-goods—    
  WovenSq. yds. (000)26,59118,06113,350
  Knittedlb. (000)1,9671,612897
Yarns—    
  Cottonlb. (000)2,1791,8101,433
  Silk and artificial silklb. (000)887596631
  Woollenlb. (000)2,1091,1661,197
Bags, sacks, wool-packsDoz. (000)1,370643392
Footwear—    
  Children'sDoz. pairs39,00047,80051,200
  Adults'Doz. pairs15,60017,70016,900
Hosiery—    
  Full lengthDoz. pairs (000)232.4200.5181.2
  Half and three-quarter hoseDoz. pairs (000)59.861.863.2
GlovesDoz. pairs (000)106.186.468.6
Hat-hoods, felt, unblockedDoz. (000)114.569.675.8
Mowers and harvestersNo.5,3656,3824,567
Cream separatorsNo.3,5894,5741,454
Electrical—    
  Storage batteriesNo.7,30730,6667,438
  Wireless valvesNo. (000)8421,364390
  Lamp bulbsNo. (000)3,0765,1942,287
Sparking plugsNo. (000)1,2512,056891
TypewritersNo.5,7617,8006,410
Sewing machines, domesticNo.30,63329,47613,489
Iron and steel—    
  Bar, rod, billet, bloom, pigCwt. (000)9981,962986
  Angle, tee, channel, girderCwt. (000)288564476
  Plate and sheetCwt. (000)1,0871,8831,568
  Pipes, tubes, and fittingsCwt. (000)403751441
  WireCwt. (000)720913437
Copper: bar, plate, pipingCwt.59,50072,40048,200
Brass: bar, plate, pipingCwt.27,70039,10015,800
Lead: pig, sheetCwt.67,90051,60089,600
Tin: bar, ingot, etc.Cwt.9,2004,9006,700
Cordage of metalCwt.58,80090,100105,100
BicyclesNo.33,31562,15624,041
Motor cyclesNo.5,1984,2782,403
Motor carsNo.26,89839,17320,889
Lorries, trucks, etc.No.10,34110,4574,838
TractorsNo.10,04510,1759,775
Tires (excluding bicycle)No. (000)7613230
Mineral oils—    
  Motor spiritsGals. (000)140,355196,738198,606
  Lubricating oilGals. (000)6,1588,9924,463
  KeroseneGals. (000)7,1939,0195,428
  Crude petroleum fuel oils, etc.Gals. (000)124,148134,214108,073
Chemicals—    
  Acidslb. (000)1,7941,8851,330
  Calcium carbideCwt.20,80038,40034,400
  SulphurTons73,65979,24587,399
  SaltCwt. (000)7861,445726
  Caustic sodaCwt.49,90081,60043,000
  Carbonate of sodaCwt. (000)145.9339.9112.4
Manures—    
  Nitrate of sodaTons4,0423,3023,427
  PhosphaticTons522,333723,291494,465
  PotashTons14,87924,23628,855
  Sulphate of ammoniaTons4,6924,5652,576
Timber, sawnSup. ft. (000)25,24746,81726,295
Glass: plate and sheetSq. ft. (000)10,52417,55212,589
Linseed oilGals. (000)63738034
Dry paintsCwt. (000)199.9167.7129.1
Plaster-of-parisCwt. (000)141.2365.2222.2
GypsumCwt. (000)304.3702.0610.2
Asbestos, crudeCwt.47,00094,90036,500
CementCwt. (000)2,868.12,466.33,863.8
Pulp and paper building boardSq. ft. (000)6,87114,7981,534
Printing paperCwt. (000)930.61,149.1712.9
Other paperCwt. (000)165.7335.2141.3
Cardboard, etc.Cwt. (000)281.1342.9143.6
Raw rubberCwt. (000)152.363.71180
Paraffin waxlb. (000)3,3973,6931,577
Asphalt, bitumen, and road oilsCwt. (000)347.9638.6634.6

Imports by Ports.—With the closing of the Customs Houses at Kaipara, Patea, Hokitika, and Westport (from 31 January 1953), New Zealand now has sixteen ports of entry for Customs purposes—seven in the North Island and eight in the South Island, plus the port of Waitangi in the Chatham Islands.

The following table gives the total value of imports of merchandise for the several ports of entry during the five years 1949–53. Waitangi had no overseas imports during this period.

Port19491950195119521953
 £££££
Auckland39,566,55053,671,44873,200,38385,245,60467,195,057
Tauranga20,14431,56227,32237,77950,845
Gisborne112,154166,248236,963289,731230,041
Napier1,082,6851,628,6291,605,7762,519,3151,747,465
New Plymouth1,639,7902,291,3012,396,8494,064,8272,300,066
Patea18,74624,86714,109....
Wanganui377,656467,726604,592830,685407,089
Wellington40,972,25153,622,05265,460,46280,228,18555,295,217
Wairau (including Picton)33,12535,885233,96686,24749,253
Nelson270,065463,757378,468602,281481,793
Westport68,789124,998240,236195,2374,815
Greymouth83,590103,65378,921119,164108,880
Hokitika3,9573,386......
Lyttelton14,441,06318,547,28925,904,06532,808,21722,573,719
Timaru379,196354,787778,1851,072,5331,128,394
Oamaru49,354208,745128,143290,50172,813
Dunedin8,850,02210,315,90714,764,40518,167,48810,327,897
Invercargill1,152,2011,522,1921,704,8962,889,5151,639,956
    Totals109,121,338143,584,432187,757,741229,447,309163,613,300

Three-quarters of the total imports usually come in by way of Wellington or Auckland. For some years prior to the Second World War the value of imports received at Wellington exceeded the Auckland figure by a considerable margin, but in the last four years the Auckland figure has been higher than the Wellington total. On the basis of import values, the next most important ports are Lyttelton, Dunedin, New Plymouth, Napier, Invercargill, and Timaru.

Perhaps it should be mentioned that imports by air have been credited to the port in whose district the air-port is located. Thus goods which came in through Mechanic's Bay and Whenuapai were included in the Auckland figures, imports through Evans Bay and Ohakea in the Wellington figures, and through Harewood in the Lyttelton figures.

IMPORTS FROM COOK AND ASSOCIATED ISLANDS.—Trade with the Cook and associated islands is not included in the export and import totals for New Zealand, but is shown separately in official publications. The following table shows imports into New Zealand from the Group. Further particulars of the trade of the islands will be found in the Section dealing with Island Territories.

YearImports
 £
194380,781
194489,072
194580,959
1946113,313
1947117,434
1948168,553
 £
1949171,314
1950161,705
1951192,398
1952245,883
1953287,002

The principal articles imported into New Zealand from the Cook and associated islands are as follows.

Item1950195119521953
Fruits, fresh—££££
  Bananas1,3352,3842,9511,122
  Oranges9,7986,12038,74540,331
  Tomatoes8,75813,76132,21349,817
  Other2,44712,28326,31722,089
Copra, coconut oil and meal101,06993,02081,630117,297
Apparel24,61248,27442,26412,653
Cinematograph films (re-imports)2,5613,7604,0157,264
Arrowroot943133  
Vegetables553,5052,00420,134
Wickerware3,9583,9204,8314,212
All other items6,1695,23810,91312,083
    Totals161,705192,398245,883287,002

10 D—CUSTOMS TARIFF AND REVENUE

THE TARIFF.—The rates of Customs and excise duty in force in New Zealand are set out in the publication entitled “The Customs Tariff of New Zealand,” published by the Government Printer, Wellington.

A summarized historical account of the Customs tariff of New Zealand, setting forth the principal developments and changes from earliest times to 1930, will be found in the 1931 number of the Year-Book. Considerations of space preclude a detailed account of the rates of duty now levied on goods imported into New Zealand, and only a brief survey of the nature of the tariff and of developments since 1930 can be given here.

The basis of Customs taxation is principally ad valorem, but specific duties are applied to some lines, including several of the principal revenue items such as alcoholic beverages, tobacco, tea, sugar, and motor spirits.

As the rates of duty on goods vary according to their country of origin as well as their classification, the tariff is printed in “multi-column" form listing rates of duty under the British Preferential Tariff, agreements with certain Commonwealth countries, the Most-favoured-nation Tariff (under which goods from all countries adhering to the General Agreement on Trade and Tariffs are admitted), and the General Tariff.

Briefly the Customs tariff, apart from the obtaining of revenue, has for its objects the following:

  1. The development of New Zealand industries.

  2. The maintenance and extension of markets for New Zealand produce.

  3. The encouragement of intra-Commonwealth trade.

Under the Ottawa Agreement of 1932 New Zealand, in common with the other Commonwealth countries, was committed to hold an inquiry into the tariff and, if necessary, to revise it in accordance with certain explicitly stated principles. As a result of the Ottawa Conference, dutiable goods the produce of the United Kingdom or of any British Commonwealth country except Canada (including Newfoundland), the Union of South Africa, the Republic of Ireland, India, and Pakistan were exempted from the surtax on duty previously payable. Reductions were made in the rates of duty charged on confectionery, apparel, hosiery, and silk and artificial silk piece-goods, and an additional preference to British Commonwealth countries was granted by the imposition of a duty or an increase in the existing rate on foreign cocoa-beans, raw coffee, cigars, rum, asphalt and bitumen, certain unground spices, and paper.

A Tariff Commission was set up in 1933 to inquire into the Customs tariff and to recommend for the consideration of the Government any alterations thereto with a view to implementing the agreement made at Ottawa, and having regard, inter alia, to the financial, economic, and industrial conditions in New Zealand.

The revision which followed the report of this Commission was the last complete revision of the tariff undertaken and the resultant new tariff, enacted by the Customs Acts Amendment Act 1934, is in the main still in operation, although extended in its scope by subsequent trade agreements. Some of the principal alterations made in the British preferential rates at that time were listed in the 1946 and earlier issues of the Year-Book.

This tariff retained the surtax payable since 1930 on foreign goods and on some goods of British origin, of nine-fortieths of the duty in some cases but one-twentieth in the case of a few lines, notably spirits, tobacco, timber, sugar, and motor spirits. With the exception of motor spirits, surtax is not payable in respect of goods qualifying for entry as the produce of the United Kingdom or any British Commonwealth country except Canada (including Newfoundland), the Union of South Africa, India, and Pakistan. The primage duty of 3 per cent imposed on 31 July 1931 on most goods not otherwise dutiable also remained, but the list of exemptions from primage has subsequently been extended. Imports from the Republic of Ireland are accorded the same preference under the British Preferential Tariff as those from Canada, the Union of South Africa, India, and Pakistan.

The following is a fist of the principal items which, regardless of their country of origin, are entirely free of duty or subject to primage only:

Live animals; barley (if to be used as stock food); bran; pollard; seeds; vegetable butters or fats; currants; dates; figs; prunes; glucose and caramel; nuts, except walnuts; rice; acids, other than acetic; inorganic salts of metallic elements, and many other drugs and chemicals; certain surgical appliances; bags and sacks of jute, etc.; woolpacks; raw cotton; hatmakers' materials; buttons; needles and pins; wadding; cotton piece-goods for meat wraps and cheese bandages; umbrella-makers' materials; upholsterers' materials; coir, flax, and jute yarns; grindery; leather made from goat and kid skins; patent leathers; bricks, other than firebricks; marble in the rough; grindstones and whetstones; cinema films (subject, however, to film-hire tax); bookbinders' materials; cardboard and similar boards; parchment and greaseproof paper; printed books, papers, and music; beekeepers' apparatus; percussion caps, detonators, and explosives; hay rakes, reapers and binders, mowers, and certain other agricultural implements; certain dairying machinery; sewing machines; iron and other metal in ingots, pigs, or billets; fish and vegetable (other than linseed) oils; kerosene and other refined mineral oils not exceeding in specific gravity 0.860 at 60° F. (other than motor spirits); waxes; cork; crude tanning materials; manures; skins and hides.

The following are entirely free or subject only to primage duty if British but dutiable at varying rates if of foreign origin:

Tea in bulk; bananas; oranges, mandarins, and grapefruit; raisins; infants' and invalids' foods; mustard; salt; cocoa beans; raw coffee; sago and tapioca; cornflour; macaroni; acetic acid; cream of tartar; disinfectants; chloroform and other anaesthetics; antiseptics; manufactured dyes; most surgical, dental, optical, and scientific instruments and materials; felt, cotton, linen, and canvas piece-goods; silk and artificial silk piece-goods; leather cloth; oil baize; sewing, etc, cottons and threads; elastics; plain tape; tailors' lining materials; cotton, silk, and artificial silk yarns; plain tablecloths, towels, and similar plain articles; belting (other than leather); children's boots and shoes; gum boots; rubber hose; most rubber manufactures, except tires for motor vehicles; sheet glass; lenses; watch glasses; pianos and certain other musical instruments; gramophone records; artists' materials; paperhangings; sensitized surfaces; waxed paper; paper (other than wrapping) in large sheets or rolls; ball bearings; bolts and nuts; rivets and washers; buckles; chains; fire engines, fire extinguishers, and other fire-extinguishing appliances; typewriters; most electrical apparatus; measuring, testing, etc., appliances; sheep-shearing machines; tractors; artificers', etc., tools; machinery peculiar to industrial processes; iron and other metal in bars or sheets; wire and wire netting; metal cordage; rails for railways and tramways; under-carriage springs and metal fittings for vehicles; asphalt and bitumen; table chinaware.

With the object of reducing the cost of building in order to relieve the shortage of dwellings in particular and buildings in general, prefabricated houses, from 20 April 1951, Portland cement, from 6 July 1951, and steel, corrugated aluminium sheet, and certain timbers, from 9 November 1951, were temporarily exempted from all duty, regardless of their origin. The exemption respecting steel and aluminium sheet ceased on 31 December 1952. Provision was made for the exemption of cement and timber to continue until 31 December 1954. The exemption respecting prefabricated houses ceased on 30 June 1954.

It is impossible to give here an account of the range of duties payable on all of the numerous tariff items, but the duties as at the beginning of December 1953 on some of the principal commodities in general use are mentioned hereunder. It should be noted that, in addition, surtax or primage may also be payable.

Tea.—Tea in bulk, when of British origin, was placed on the free list as early as 1907, when the duty on foreign tea was fixed at 2d. per pound. In 1917 a duty of 3d. per pound was imposed on British tea, the foreign rate being increased to 5d. per pound. British tea in bulk was again placed on the free list in 1923, and the duty on foreign tea reduced to 2d. Rates of 3d. and 5d. per pound respectively were reinstated as from 31 July 1931. On and after 26 July 1948 a duty of 4d. per pound was introduced on tea in bulk imported from most-favoured nations, and from the same date all tea imported under the British preferential tariff was exempted from surtax. On 3 September 1951 tea in bulk of British origin was exempted from all duty and the rates on foreign tea became most-favoured-nation, 1d., general tariff, 2d. per pound.

Sugar.—Sugar also was placed on the free list in 1907, prior to which the duty was ½d. per pound. Refined sugar of foreign origin was charged ½d. per pound under the 1921 tariff, the rate being altered in 1923 to 5/16 d. and in 1924 to ¼d., irrespective of origin. The duty on refined sugar was increased to ¾d. per pound in 1931; and raw sugar was made dutiable at ½d. per pound. Raw sugar imported for refining at Auckland enters free of duty under bond, an excise duty of ½d. per pound being levied on the refined products. An additional ½d. per pound on both refined and raw sugar was imposed as from 9 February 1933.

Tobacco.—Prior to the imposition of special war taxation in 1939 the duties on tobacco were as follows: cigarettes, exceeding in weight 2½ lb. per 1,000, 10s. 6d. per pound; cigarettes, not exceeding 2½ lb. per 1,000, 25s. 6d. per 1,000; cigars, 12s. per pound under the British preferential tariff and 14s. or 16s. under the general tariff; manufactured tobacco, cut, 6s. 10d. per pound, and plug, 6s. 8d. per pound; unmanufactured tobacco for the manufacture of cigarettes, 3s. per pound; and unmanufactured tobacco for the manufacture of tobacco, cigars, or snuff, 2s. per pound. In order to assist in financing the expenses of the war, further duties, in addition to those set out above, and equal to 25 per cent of the duties, were levied as from 27 September 1939. As from 1 May 1942 this war impost was replaced by the following specific duties additional to the ordinary revenue duties quoted above: Cigarettes, exceeding 2½ lb. per 1,000, 8s. per pound; cigarettes, not exceeding 2½ lb. per 1,000, 20s. per 1,000; cigars, 8s. per pound; tobacco, cut and plug, 7s. 2d. per pound; tobacco, unmanufactured, for cigarettes, 9d. per pound; tobacco, unmanufactured, for the manufacture of tobacco, 6d. per pound. As from 31 October 1947 the duties on unmanufactured tobacco were consolidated and the one rate of 3s. 9d. per pound applied to all unmanufactured tobacco imported for manufacturing purposes in a bonded tobacco factory. As from 26 July 1948 surtax was removed from the duty on all cigarettes and unmanufactured tobacco imported from most-favoured nations or from any British Commonwealth country. On 26 September 1952 an additional duty of 2s. per pound plus 10 per cent ad valorem was imposed on cigars imported from all sources, and an exemption from all duty was provided for unmanufactured tobacco imported for manufacturing cigars in a bonded tobacco factory. A duty of ½d. British preferential tariff or ¾d. general tariff is levied on each sixty cigarette tubes or papers or the equivalent thereof. The excise duties on tobacco, etc., made in New Zealand are shown later under “Excise Duties”.

Alcoholic Beverages.—Prior to the imposition in 1939 of special taxation for war purposes the rate of duty payable on most spirituous beverages was 40s. per proof gallon, except rum of foreign origin, which was dutiable at 44s. per proof gallon. Sparkling wine was liable to a duty of 10s. per gallon under the British preferential tariff, 9s. 6d. under the trade agreement with the Union of South Africa, and 13s. or 15s. under the general tariff. Australian and South African still wines were liable to a duty of 5s. 6d. per gallon, the duty under the British preferential tariff was 4s. and under the general tariff, 6s. The duty on imported beer was 1s. 9d. per gallon under the British preferential tariff, and 3s. under the general tariff. In order to assist in financing the expenses of the war further duties, in addition to those set out above, and equal to 15 per cent of the duties, were levied as from 27 September 1939; these were increased to 50 per cent as from 1 May 1942, except in the case of beer, on which the additional duty is 1s. 3d. per gallon.

On 26 July 1948 rum, brandy, and gin imported from British Commonwealth countries and most-favoured nations were exempted from surtax and a special most-favoured-nation rate of 15s. per gallon (including the additional 1942 duty) was established for champagne. The excise duty on beer produced in New Zealand is given under “Excise Duties.”

Apparel.—Most apparel, except that made to the order or measurement of a New Zealand resident which is liable to duty at the rate of 40 per cent under the British preferential tariff, pays duty at the rate of 20 per cent or 25 per cent under the British preferential tariff and 65 per cent under the general tariff. The duties on apparel of Canadian and Australian origin vary from the British preferential rates to 40 per cent, 45 per cent, and 55 per cent.

Timber.—A review of the rates of duty imposed is given on pages 271–2 of the 1951–52 Year-Book. The duties on coniferous timbers, other than dressed, were suspended from 9 November 1951.

Textiles.—Piece-goods of cotton, silk, or artificial silk are in general admitted free of duty under the British preferential tariff and liable to 15 per cent from foreign sources. Dress, curtain, and similar nets are dutiable at 15 per cent British preferential and 35 per cent most-favoured-nation tariff. For woollen piece-goods, other than moquettes, the rates are 20 per cent and 40 per cent respectively.

Motor Vehicles.—Motor vehicles imported in an unassembled or completely knocked-down condition are dutiable at 5 per cent under the British preferential tariff, 40 per cent under the most-favoured-nation tariff, and 50 per cent under the general tariff. Assembled motor vehicles are subject to a duty of 15 per cent, if admissible under the British preferential tariff, 50 per cent under the most-favoured-nation tariff, and 60 per cent if liable to the general tariff. Rates intermediate between the British preferential and the most-favoured-nation tariffs apply to vehicles of substantially Canadian origin.

Tires for Motor Vehicles.—Previously dutiable at 10 per cent ad valorem under the British preferential tariff and 40 per cent under the general tariff, these were in 1934 made subject to a duty based on the weight of the tires. Pneumatic rubber tires for motor vehicles, inner tubes of rubber therefor, and moulded rubber strip for repair of such tires are now dutiable at 2½d. per pound under the British preferential tariff and 8d. per pound under the general tariff. Solid rubber tires are liable to a duty of 1d. per pound and 4d. per pound under the British preferential and general tariffs respectively.

Motor Spirits.—Towards the end of 1927 the Motor Spirits Taxation Act of that year imposed a duty of 4d. per gallon (increased in 1930 to 6d.) on motor spirits. The proceeds of this tax were devoted to reading purposes. In 1931 and 1933 an increase in duty of 2d. per gallon in each year was made, and an additional 4d. per gallon duty was imposed as from 2 August 1939. The total duty on motor spirits remained at 1s. 2d. per gallon (plus a surtax of one-twentieth of the duty if of foreign origin) until 3 September 1951, when it was reduced by 2d. per gallon. On 4 December 1951 the surtax was made payable also on motor spirits of British origin. The tax on motor spirits was raised to 1s. 3d. per gallon from 26 November 1953, all of which has been devoted to roading purposes from 1 April 1954.

PROHIBITED AND RESTRICTED IMPORTS.—Full particulars of the goods which are prohibited or restricted from being imported into New Zealand are contained in the publication entitled “The Customs Tariff of New Zealand.”

The Import Control Regulations 1938 (made by Order in Council of 5 December 1938) prohibit the importation of any goods except in pursuance of a licence under the regulations or of an exemption granted by the Minister of Customs. A considerable number of items were exempted from import licensing during 1950 and 1951, and of approximately 1,000 items in the earlier import licensing schedules only 282 remained in the 1955 schedule. Some of these items were residual portions only of items appearing in the previous schedules (see pages 275–278).

EXCISE DUTIES.—An important excise duty is that on beer, which up to 1915 was charged at the rate of 3d. per gallon. In that year the beer duty was altered so as to increase according to the specific gravity of the worts used, the rate being 3¾d. per gallon when the specific gravity did not exceed 1,047, and increasing by 1/16 d. per gallon for every unit of specific gravity up to 1,055, and by ⅛d. thereafter. On 2 August 1917 the minimum rate of duty for beer was increased from 3¾d. to 4¾d. per gallon, and further (on 15 September 1917) to 5¾d., with a maximum of 6d. per gallon. In 1921 a rate of 11½d. per gallon (increased to 1s. in 1930, and to 1s. 6d. in 1931) was imposed where the specific gravity of the worts used did not exceed 1,047, the rate being increased by 1/16d. for every unit of specific gravity above 1,047. The basic rate of excise duty on beer was reduced from 1s. 6d. to 1s. 3d. per gallon by the Customs Acts Amendment Act 1934, but was increased to 1s. 9d. per gallon as from 2 August 1939. In order to assist in financing the expenses of the war a further increase to 2s. per gallon was made as from 27 September 1939. The duty was again increased on 11 May 1942, when provision was also made for a lower alcoholic content. When the specific gravity of the worts was 1,036 the new duty was 3s. per gallon, rising by 1d. for every unit of specific gravity above, and falling by 1d. for every unit below, 1,036, but subject to a minimum of 2s. 3d. per gallon. These duties were further amended as from 22 August 1947 by abolishing the reduction of 1d. in the basic duty for every unit of specific gravity below 1,036, so that the duty is now 3s. per gallon where the specific gravity of the worts does not exceed 1,036, increased by 1d. for every unit of specific gravity above 1,036. The specific gravity of distilled water at 60° F. is taken as 1,000, and the specific gravity of the worts is determined in relation thereto.

Prior to the introduction of special taxation for war purposes, cut tobacco was charged an excise duty of 4s. 6d. per pound; other tobacco, 4s. 4d. per pound. Cigars and snuff paid 6s. per pound, and the excise duty on cigarettes made in New Zealand was 13s. 6d. per 1,000 on cigarettes not exceeding in weight 2½lb. per 1,000, and 5s. 6d. per pound on cigarettes over 2½ lb. per 1,000. A war surcharge of 25 per cent of the excise duty on tobacco, cigars, cigarettes, and snuff was levied as from 27 September 1939, but this was replaced on 1 May 1942 by additional taxation similar to that imposed on imported tobacco, etc. (see page 324). An excise duty of ½d. is levied on each sixty cigarette tubes or papers or the equivalent thereof.

The Customs Acts Amendment Act 1931 imposed an excise duty of ½d. per pound (increased to 1d. per pound from 9 February 1933) on sugar manufactured in New Zealand.

Excise duties were formerly levied direct on certain manufactures the preparation of which involved the use of a considerable proportion of spirits. In lieu of excise duty on the finished manufactured article, however, a special schedule of duties has been provided since 1921 on imported alcohol used in manufacturing these articles in licensed warehouses. The present rates are: on alcohol used in the manufacture of—perfumed spirits, 36s. per proof gallon; toilet preparations, 34s.; culinary and flavouring essences, 20s.; medicinal preparations containing more than 50 per cent of proof spirit, 4s. 6d. per gallon. In similar medicinal preparations containing not more than 50 per cent, the alcohol used is duty-free.

EXPORT DUTIES.—The Gold Duty Act of 1858 first imposed an export duty on gold. This duty was amended from time to time and was finally abolished in 1949, there being now no export duty on gold. A summary of the movements on gold duty is available on page 273 of the 1951–52 Year-Book.

An export duty was also imposed on timber (white-pine and kauri) by Acts of 1901 and 1903, and still operates. The present rates of 5s. per 100 superficial feet on logs, and 3s. or 5s. per 100 superficial feet on flitches, were imposed by the Timber Export Duty Order of 23 June 1937. This duty is not payable in respect of sawn timber in smaller sizes.

The Wool Industry Act 1944 provides for a levy on all wool exported or delivered to a wool manufacturer for use in New Zealand, and the proceeds, less cost of collection, etc., are payable to the New Zealand Wool Board established under the Act to enable it to carry out its functions. At the present time, however, the provisions in regard to the payment of the levy are suspended, but an equivalent amount is received by the Board from the contributory charge imposed by the Wool Commission Act 1951 (see Section 20A). Prior to the passing of the Wool Industry Act 1944 a similar levy was payable under the authority of the Wool Industry Promotion Act 1936 on exported wool only.

Under section 13 of the Meat-export Control Act 1921–22 provision is made for a levy on all meat exported from New Zealand. The section further provides that the net amounts, after deduction of the cost of collection, shall be paid to the New Zealand Meat Producers Board and shall form part of its funds.

By the Meat-export Control Act (Partial Suspension) Regulations 1940 the operation of section 13 was suspended and provision was made for the payment to the Board, out of an account established in the Reserve Bank, of such a sum, not exceeding £30,000, as the Minister of Marketing approved.

As from 1 November 1954 the collection of the levy under section 13 was reinstated. The levy is at the rate of 1/20d. per pound on lamb, mutton, beef, veal, bobby veal, and pig meat.

CUSTOMS REVENUE.—In the earlier years of New Zealand's history the revenue derived from Customs and excise duties represented a greater proportion of the total revenue from taxation than it does today. For a considerable period prior to 1914 there was a constant tendency for this proportion to decrease, and the taxation legislation of the First World War period temporarily accelerated the movement. From 1921–22 to 1925–26 the percentage rose continuously, but did not regain its former proportions. A gradual decline then commenced and, with one slight interruption (1935–36), continued up to and including 1945–46. The low percentages following the year 1938–39 were the result of the huge increase in taxation imposed for war purposes, only a small proportion of which was derived from Customs and excise duties. The amount of war taxation received by way of Customs and excise duties in 1945–46 was only £4,574,021 out of a total war taxation of £51,416,847. The high figures shown in the last seven years are accounted for by a substantial increase in dutiable imports. The figures for the last twenty years are as follows.

Year Ended 31 MarchTotal TaxationCustoms and Excise DutiesYear Ended 31 MarchTotal TaxationCustoms and Excise Duties
AmountPercentage of Total TaxationAmountPercentage or Total Taxation
 ££Per Cent ££Per Cent
193524,739,4098,094,60532.721945108,681,81414,869,44913.68
193625,478,5988,876,20334.841946114,954,87315,682,63713.64
193731,181,60310,340,83833.161947113,119,04619,970,49217.65
193836,798,97111,737,17031.901948122,275,91128,794,93223.55
193937,797,90411,727,22431.031949130,440,24923,666,86018.14
194044,522,02811,734,78426.361950135,556,31926,296,87319.40
194161,360,84011,258,37018.351951157,946,97528,636,20718.13
194268,163,25610,622,09215.581952200,549,88137,873,40018.88
194387,940,84412,342,11514.031953199,771,07532,739,90716.39
1944100,839,48413,922,57413.811954206,802,31732,177,12915.56

The figures for Customs and excise duties are exclusive of tire tax and the highways proportion (6d. per gallon) of the motor-spirits tax, two classes of taxes collected through the Customs and paid to the Consolidated Fund in the years quoted. Such taxation is, however, included in total taxation. Figures given under the heading of Customs and excise duties include for 1939–40 and subsequent years the amounts received on account of additional rates imposed on certain commodities for war purposes. Most of these additional rates are still in operation.

The Customs and excise duties received during the last three financial years available are shown in more detail in the next table. The figures have been rounded off to the nearest thousand. Primage duties and surtax are included, but not tire tax or the highways proportion of motor-spirits tax, which do not really represent Customs taxation, although levied on imports and for the sake of convenience collected through the Customs.

1951–521952–531953–54*

* Provisional.

Customs duties—£££
  Wines and spirits2,874,0002,914,0002,749,000
  Cigars, cigarettes, snuff, and tobacco1,601,0001,150,0001,502,000
  Motor spirits4,411,0004,649,0004,989,000
  Other duties, including primage and surtax16,576,00011,371,0009,623,000
    Totals, Customs duties25,462,00020,084,00018,863,000
Excise duties—   
  Alcohol used in perfumed spirit, etc., in New Zealand43,00046,00041,000
  Cigarette papers and tubes78,00093,00090,000
  Tobacco, cigars, cigarettes, snuff, New Zealand manufactured6,335,0006,350,0006,510,000
  Beer, New Zealand5,274,0005,447,0005,834,000
  Sugar681,000720,000839,000
    Totals, excise duties12,411,00012,656,00013,314,000
Grand totals, Customs and excise duties37,873,00032,740,00032,177,000
Revenue per head of population—£s.d.£s.d.£s.d.
  From Customs duties121679172908
  From excise duties651642677
    Totals191816141583

PREFERENCE AND RECIPROCITY.—Preference to British Commonwealth countries in respect of certain commodities was provided for in the earliest tariff in force in New Zealand—that introduced in 1841. The amended tariff of 1844 involved the dropping of this preference to British goods, but two years later preference was again introduced.

The first definite attempt at reciprocity was made in 1870, when the Colonial Reciprocity Act gave power to the Government to make reciprocal agreements with the Australian States, including Tasmania; but this Act failed to receive the Royal assent and consequently lapsed.

In 1895, however, the Customs Duties Reciprocity Act received the Royal assent and ratified an agreement which had been tentatively proposed with South Australia, besides giving power to the Government to make further agreements with the other Australian States. In 1907 the New Zealand and South African Customs Treaty was negotiated. A tariff agreement with the Australian Commonwealth has been in operation since 1922, and with Canada since 1932.

Imperial preference proper was introduced in New Zealand by the Preferential and Reciprocal Trade Act 1903, which followed the lead given by Canada. At first only a few items were covered by the extra duties levied upon goods of foreign origin, but the Tariff Act of 1907 extended this additional preferential duty to a great number of items. The effect of the 1921, 1927, 1930, and 1934 tariffs has been to widen the disparity in the duty as between goods of British Commonwealth countries and those of foreign origin. Under the Ottawa agreement New Zealand undertook to preserve the existing margins of preference on United Kingdom goods where the margin of preference did not exceed 20 per cent, and where the margin exceeded that figure not to reduce it below 20 per cent without the consent of the Government of the United Kingdom. In the tariff of 1934, where reductions in duty were made under the British preferential tariff, the rates of duty under the general (foreign) tariff were, except in a few cases, retained.

The following are the classes of goods which are deemed to be the produce or manufacture of countries and which are entitled to be entered for duty at British preferential rates:

  1. Goods wholly the produce of such countries:

  2. Goods wholly manufactured in such countries from unmanufactured raw material and/or from one or more of the imported partly manufactured raw materials which are enumerated in the regulations:

  3. Goods partially manufactured in such countries, provided that the final process of manufacture has been performed in such countries, and also that the expenditure in material produced in such countries and/or labour performed within such countries in each and every article is not less than one-half of the factory or works cost of such article in its finished state.

The conditions applying to British Commonwealth countries, the products of which are admissible under the British preferential tariff pursuant to agreements made by New Zealand with such countries, may be varied to suit the provisions of such agreements.

Prior to 1 April 1926 the minimum mentioned in paragraph (c), which is now one-half, was one-fourth.

In the calculation of the proportion of produce or labour none of the following items is to be included or considered:

  1. Manufacturer's profit, or the profit or remuneration of any trader, agent, broker, or other person dealing in the article in its finished condition:

  2. Royalties payable in respect of the finished goods:

  3. The cost of outside packages or any cost of packing the goods thereinto:

  4. Administrative and general office expenses:

  5. Any cost of conveying, insuring, or shipping the goods subsequent to their manufacture:

  6. Any other charges incurred subsequent to the completion of the manufacture of the goods.

Tea to be free of duty must have been grown in some part of the British Commonwealth, and the final process of manufacture must also have been performed in some country of the British Commonwealth.

Under the reciprocal trade agreements with Australia and Canada discussed hereunder, the duties on certain items are sometimes higher than the corresponding duties under the British preferential tariff.

Reciprocity with the Union of South Africa.—As already stated, there was inaugurated in 1907 a reciprocal arrangement with the Union of South Africa whereby products of that country, when imported direct, were admitted into New Zealand at reduced rates of duty, in return for similar concessions granted by South Africa in respect of New Zealand products. This agreement was revised in 1922, the duties on wines being increased, and tobacco being deleted from the list. A further alteration, whereby maize and dried apples were deleted from the list, was made in 1925. Dried fruits formerly came under the agreement, being admitted free when the general tariff was 4d. per pound and the British preferential rate 2d. On 1 January 1934, however, the general tariff was reduced to 2d. and the British rate made free.

The items specially provided for in the agreement were feathers, fish, fresh fruit, dried fruit, tea, and wine; while in the case of all other dutiable goods, with the exception of spirits and tobacco, a reduction of 3 per cent of the duty payable was made.

The legislation giving effect to the arrangement with the Union of South Africa was revoked by the General Agreement on Tariffs and Trade Act 1948, although that Act provides for the continuation of most of the concessions previously granted, an exception being the reduction of 3 per cent of the duty formerly granted.

The following table shows the merchandise trade with the Union of South Africa during the eleven years ended in 1953.

YearMerchandise ImportsMerchandise Exports to Union of South Africa
From Union of South AfricaOf Union of South Africa Origin
 £££
194391,27393,38926,882
194482,35686,88148,033
1945237,849247,035193,899
1946221,582220,86659,161
1947490,345494,86165,064
1948748,044725,15189,053
1949452,616472,805132,934
1950939,877985,118289,742
19511,612,6631,719,643268,725
19521,205,8941,251,663557,847
19531,029,7401,085,872597,211

Reciprocity with Australia.—A trade agreement between Australia and New Zealand was first entered into on 11 April 1922. Under this agreement each country granted to goods of the other the benefits of its British preferential tariff, except with regard to certain classes of goods on which special rates were fixed.

During 1933 a Minister of the Commonwealth Government visited New Zealand to discuss the commercial relations between the two countries. A provisional agreement was reached in April 1933, and confirmed by the Trade Agreement (New Zealand and Australia) Ratification Act 1933. The new agreement came into operation from 1 December 1933.

The agreement provided for lower duties than those under the British preferential tariff on many lines of New Zealand products entering Australia—e.g., fresh and frozen fish and fish pastes; dried peas; hay; chaff; fresh, smoked, and preserved meats; onions; lucerne seed; wine; furs; hats; caps; floor rugs; various agricultural and dairying implements; whale oil; casein; sugar of milk; and timber.

Article X of the agreement sets out the conditions under which goods are regarded as the produce or manufacture of Australia or New Zealand.

Article IX provides that, where with respect to any goods not specially enumerated in the agreement the rate of duty thereon under the New Zealand British preferential tariff is less than the duty under the Australian British preferential tariff, the New Zealand Government may request the Australian Government to admit into the Commonwealth goods of such class produced in New Zealand at the rate of duty chargeable on goods of that class under the New Zealand British preferential tariff. If within three calendar months after the receipt of the request the Australian Government does not comply therewith, the New Zealand Government may, without further notice, impose on such goods of Australian origin a rate of duty not being greater than the rate of duty for the time being in force in Australia on the like goods under the Australian British preferential tariff. A similar provision is made with respect to the admission of Australian produced goods into New Zealand.

The rates of duty payable on Australian goods imported into New Zealand and not specifically mentioned in the agreement are automatically affected by changes in the New Zealand British preferential tariff. A modification of the agreement was made in May 1935, whereunder the duty on certain Australian goods which would otherwise have been reduced or removed from 1 June 1935, following changes made in the British preferential tariff by the Customs Acts Amendment Act 1934, remained unaltered.

The duties on many Australian goods were increased as from 1 March 1938 by an Order in Council made on 26 February 1938, while the duties on fresh grapes, canned pineapples, slippers, boots and shoes, and certain types of refrigerating units were reduced as from 26 July 1948 by the Trade Agreement (Australia) Order 1948.

Merchandise trade between New Zealand and Australia during the eleven years ended in 1953 has been as follows.

YearMerchandise ImportsMerchandise Exports to Australia
From AustraliaOf Australian Origin
 £££
194310,354,78610,160,3802,849,125
194410,483,55510,277,3733,092,981
19458,651,5438,326,4944,195,247
194610,733,49510,423,8863,630,750
194715,467,44114,940,5414,096,064
194814,904,33014,307,8533,954,416
194916,339,42315,673,6513,747,746
195019,490,30119,025,9984,779,368
195121,940,43221,254,1055,112,874
195224,893,62824,887,1935,930,237
195324,130,83923,637,7074,655,262

Reciprocity with Canada.—From October 1925 reciprocal trade arrangements with respect to certain items of Canada – New Zealand trade were in force, but ceased in May 1930.

Negotiations between the Canadian and New Zealand Governments bore fruit in a trade agreement which came into force in both countries for a period originally of one year, as from 24 May 1932. This agreement has been extended from time to time, and is now to continue in force indefinitely.

By Order in Council dated 21 July 1948 the duties on canned fish and certain types of refrigerating units were reduced as from 26 July 1948, and the duties on slippers, boots and shoes, and motor vehicles were consolidated by the absorption of surtax into the ad valorem rate.

Pursuant to the agreement the following rates inter alia apply to New Zealand products imported into Canada: butter, 5 cents per pound; cheese, 1 cent per pound; and lamb and mutton, ½ cent per pound; while sausage casings, hides and skins, wool, apples, seeds, kauri gum, and phormium fibre are amongst commodities admitted free.

The rates of duty payable in New Zealand on certain imports from Canada are as under: Canned fish, 1½d. per pound; silk or artificial silk or nylon stockings, 55 per cent; electric cooking and heating appliances, 30 per cent; certain agricultural implements, 35 per cent; timber, 7s. 6d. or 9s. 6d. (rough sawn) and 19s. (sawn and dressed) per 100 superficial feet. The duty on undressed coniferous timbers has been suspended since 9 November 1951. Canadian goods not mentioned in the agreement enter New Zealand at the ordinary British preferential rates of duty. In some instances where the British preferential rates of duty were reduced by the 1934 tariff, the rates on certain Canadian goods mentioned in the agreement were also reduced to the British preferential level. Special duties are payable on motor vehicles of Canadian origin, these duties varying according to the Canadian content.

Merchandise trade with Canada during the eleven years ended in 1953 is shown in the following table.

YearMerchandise ImportsMerchandise Exports to Canada
From CanadaOf Canadian Origin

* Includes Newfoundland from 1949.

 £££
194311,453,20311,455,1474,535,207
19445,103,4385,104,5061,939,814
19455,079,0265,094,3532,250,862
19464,650,1504,657,0752,803,282
194711,580,51911,610,2543,059,660
19486,868,9496,913,7102,990,814
1949*4,626,7954,639,3862,196,352
19503,622,3983,568,9363,556,916
19516,402,7846,145,2698,564,989
19528,277,1658,070,6315,212,478
19532,375,9772,287,0602,958,063

Other Trade Arrangements.—New Zealand is also a party to certain commercial treaties, conventions, or arrangements with countries outside the Commonwealth. Particulars of the trade agreements with certain European countries are contained in the 1940 and previous issues of the Year-Book, but, owing to the war with Germany and its subsequent effects, these agreements became largely inoperative. In certain instances the agreements referred to became applicable to New Zealand automatically as a member of the British Commonwealth, while in others New Zealand became a party by signifying her willingness to adhere to treaties negotiated by the United Kingdom. New Zealand also in some cases entered into agreements with foreign countries by direct negotiation with those countries, among these being Belgium, the Netherlands, and Switzerland, and in others the United Kingdom acted for New Zealand in making trade agreements on her behalf. In some instances the trade involved was insignificant.

On the resumption of normal trade relations after the Second World War most-favoured-nation preferences were accorded to the following countries: Argentina, Belgium and Luxemburg, Brazil, China, Czechoslovakia, Egypt, Greece, Netherlands, Norway, Spain, and Sweden, while the agreement with Switzerland provided for similar preferences on certain products only.

The Customs (Tariff Preference and General) Regulations 1936 set out the classes of goods from foreign countries which may be entered at concessional rates of duty applying to any such countries as a result of treaty obligations between New Zealand and such countries, viz:

  1. Goods wholly the produce of such a country:

  2. Goods wholly manufactured in such a country from unmanufactured raw materials:

  3. Goods partially manufactured in such a country, provided (1) that the final process of manufacture has been performed in that country or in any British country the produce or manufactures of which are entitled to be entered under the British preferential tariff; (2) that the expenditure in material the produce of that country, and/or in labour performed in that country, on each and every article is not less than one-half of the factory or works cost of such article in its finished state.

GENERAL AGREEMENT ON TARIFFS AND TRADE (GENEVA).—At its first meeting in February 1946 the Economic and Social Council of the United Nations set up a Preparatory Committee to prepare the ground for an International Conference on Trade and Employment, and New Zealand was appointed a member.

At the Committee's first session in London during October and November 1946, the important step was taken of drawing up a procedure for the negotiation of a multilateral trade agreement embodying tariff concessions by the participating countries.

These tariff negotiations took place during the second session of the Preparatory Committee in Geneva in 1947, and the concessions given by each country were embodied in schedules to a General Agreement on Tariffs and Trade. The tariff negotiations themselves were bilateral but all the concessions were applied multi-laterally, so that New Zealand receives the benefit of reductions made by all participants, and, conversely, New Zealand's concessions apply to all the other countries which took part. In addition, the existing commitments to countries mentioned earlier that they should receive most-favoured-nation treatment required that the benefits should be extended to them even though some of these countries did not adhere to the General Agreement. Where they did adhere the Agreement superseded the existing arrangements.

Concessions are of two kinds—actual reductions of duties and bindings of duties against increase.

The Agreement, which provides for concessions under both the British preferential and most-favoured-nation tariffs, was applied provisionally by New Zealand on 26 July 1948.

Further negotiations took place at Annecy (1949) and Torquay (1950–51).

The foreign countries to whose products the concessional rates of duty apply (i.e., the most-favoured nations) were proclaimed in the General Agreement on Tariffs and Trade Provisional Application Order 1948, and with later additions and deletions are now as follows: Argentina, Austria, Belgium (including overseas territories), Brazil, Chile, China, Cuba, Czechoslovakia, Denmark, Dominican Republic, Egypt, West German Federal Republic, Finland, France (including overseas territories), Greece, Haiti, Italy, Liberia, Luxemburg, Netherlands (including overseas territories), Nicaragua, Norway, Peru, Republic of the United States of Indonesia, Spain, Sweden, Turkey, United States of America, Uruguay.

Some of the more important products of those countries in respect of which concessions have been made are as follows: onions; tea; raw coffee; raisins; oranges; certain canned fruits; spices; sago; matches; tapioca; cornflour; cigars; cigarettes; tobacco; rum; brandy; gin; wines; flavouring essences; surgical and dental instruments; carpets; linoleum; lace; sewing cotton; woollen piece-goods; belting for machinery; leather manufactures; glassware; clocks; fancy goods; toys; sporting requisites; certain musical instruments; gramophones; cameras and photographic goods; toilet preparations; tobacco pipes; paperhangings; certain types of paper; adding and accounting machines; cash registers; typewriters; duplicating machines; certain lawn mowers, power operated; engines for motor cycles, other motor vehicles, and tractors; certain electrical machinery and appliances; certain mining and quarrying machinery; tractors; certain industrial machinery; refrigerators; hardware; wire; certain pipes and tubes; wire netting; bicycles; motor cycles: motor vehicles; certain timbers.

While the reduction of tariffs and other barriers to trade has been the principal aim of the General Agreement, it has also provided an internationally accepted code of trade rules. The annual sessions of the Contracting Parties to the Agreement have provided a forum for discussion of international trade problems and trade difficulties arising between member countries.

At the eighth session of the Contracting Parties in Geneva in 1953 it was decided to review the operation of the Agreement. This review began in November 1954.

INTERNATIONAL WHEAT AGREEMENT.—The original International Wheat Agreement was negotiated in March 1949. It was renewed in 1953 and the revised Agreement runs from 1 August 1953 to 31 July 1954.

The basis of the Agreement is a guarantee on the part of each exporting country to make a certain quantity of wheat available to participating importers, each of whom in turn guarantees to buy a specified tonnage from participating exporters. These guarantees are effective only in the case of exporters at the maximum price and in the case of importers at the minimum price. The maximum and minimum are respectively $2.05 and $1.55 per bushel, equivalent to (N.Z.) 14s. 9d. and (N.Z.)11s. 2d. New Zealand's guaranteed purchase quantity is 5,878,994 bushels per year.

Over the last year world prices have tended towards the minimum, although exporting countries have not had to call on importers to fulfil their guarantees.

The day-to-day working of the Agreement is in the hands of an Executive Committee consisting of three exporting countries and eight importers (including New Zealand).

INTERNATIONAL SUGAR AGREEMENT.—At a United Nations Sugar Conference, held in London during July-August 1953, an International Sugar Agreement was negotiated. The New Zealand Trade Commissioner in London attended as an observer to represent New Zealand.

The objectives of the Agreement are to assure supplies of sugar to importing countries, and markets for sugar to exporting countries at equitable and stable prices.

Provision is made for a maximum quantity of sugar which may be sold by each exporting country in any one year. Prices are to be determined by world market operations, but the International Sugar Council, set up to administer the Agreement, may reduce quotas if the market price approaches or falls below the lower limit of equitable prices—3.25 U.S. cents per pound.

New Zealand is already committed under the Commonwealth Sugar Agreement to buy 75,000 tons of raw sugar annually from the United Kingdom Ministry of Food until the end of 1959. Therefore, in the meantime it is only the quantity additional to this 75,000 tons which could be committed under the International Sugar Agreement if New Zealand were to join it. New Zealand's average annual imports are in the vicinity of 100,000 tons.

Chapter 11. SECTION 11—SHIPPING AND TRADE OF PORTS

Table of Contents

THE tonnage of all shipping arriving at or departing from New Zealand ports is recorded by the Customs authorities. On the arrival or departure of an overseas merchant vessel, foreign or coastwise, the master or owner must “enter" or “clear" the vessel with the Collector of Customs of the port concerned. The movement of coastal shipping is similarly recorded.

The figures given in this Section include all registered merchant vessels trading at New Zealand ports: thus they exclude naval vessels when engaged in their normal duties, private launches, lighters engaged in loading or unloading vessels in roadsteads, trawlers and other fishing vessels, and yachts when not employed in trading. Merchant vessels used in the transport of troops are included.

OVERSEAS SHIPPING.—In recording the following statistics only one entry and one clearance is counted for each voyage: at the first port of call and the port of final departure, regardless of the number of ports visited by the vessel while in New Zealand waters.

However, statistics are also compiled (see page 337) showing the relative overseas trade of the various ports, wherein every overseas vessel is recorded, whether entered or cleared, overseas or coastwise.

The following table gives the number and net tonnage of overseas vessels entering and clearing New Zealand ports during the years 1943–53, distinguishing those entered and cleared “with cargo” (cargo manifest tonnages are also shown for these) from those “in ballast.”

YearWith CargoIn BallastTotal
VesselsNet TonnageCargo Manifest Tonnage*VesselsNet TonnageVesselsNet Tonnage

* Direct comparisons of import and export tonnages are invalid since the former contain a much higher proportion of goods recorded in “measurement" tons than do the latter.

† “In ballast” means (a) inwards—" having no cargo for discharge in New Zealand"; (b) outwards— “having no cargo loaded in New Zealand.”

Entered
19433201,230,2951,916,239161834,1994812,064,494
19442951,067,5321,815,514151721,1554461,788,687
19452751,096,3851,712,923138722,5744131,818,959
19463441,485,4192,097,037118656,1074622,141,526
19474141,812,7032,822,52052245,2884662,057,991
19484461,857,8252,758,41860279,6565062,137,481
19495092,186,6923,100,36854285,9645632,472,656
19505492,464,0933,492,03248224,1305972,688,223
19515022,316,3443,641,66744236,4655462,552,809
19526522,759,9494,400,25452268,0817043,028,030
19536142,502,8563,617,49759264,7016732,767,557
Cleared
19432501,019,390971,4922221,026,8884722,046,278
1944227918,463855,360230864,5234571,782,986
19452551,108,877891,347158727,8504131,836,727
19462841,343,6581,044,616151689,1694352,032,827
19472961,285,4401,077,184167769,2434632,054,683
19483301,420,4011,118,493164721,9104942,142,311
19493821,703,9931,033,725174740,9755562,444,968
19503631,713,2421,163,934212911,6475752,624,889
19513321,561,6421,129,629218986,3985502,548,040
19523881,774,6581,173,5773381,365,6387263,140,296
19534061,746,1571,175,0352701,057,8636762,804,020

The ballast figures include vessels embarking and disembarking passengers only, or entering for, or clearing with, bunkers and stores only, as well as the normal ballast movement.

Ports of Arrival and Departure.—The next table shows the extent to which various ports were made the first port of arrival or the last port of departure by overseas vessels during the last three years. The figures should not be regarded as indicating the relative overseas trade of the various ports.

PortEnteredCleared
195119521953195119521953
 Net TonsNet TonsNet TonsNet TonsNet TonsNet Tons
Auckland1,273,8711,469,5791,383,622880,2831,120,2851,086,774
Tauranga..2,47496713,0288,85115,626
Gisborne..6,73213,586..12,0249,492
Napier37,73754,45353,093126,371109,88376,660
New Plymouth107,887131,096118,82376,94080,58994,065
Wanganui..221........
Wellington768,445888,480797,631933,2051,128,749959,407
Picton2,214..1,982......
Nelson11,4557,30010,89118,43410,68616,509
Westport155310..4,1914,473..
Greymouth..1,000416..1,0001,603
Lyttelton191,721286,870226,960137,491250,273203,483
Timaru24,73740,70245,29039,33645,17210,206
Oamaru..2,658....3,946..
Dunedin95,605112,41982,533239,953250,972224,472
Bluff38,98223,73631,76378,808113,393105,723
    Totals2,552,8093,028,0302,767,5572,548,0403,140,2962,804,020

Figures for the last three years show that 79 per cent of overseas vessels (on a tonnage basis) arriving in New Zealand made Auckland or Wellington their first port of entry.

For the same period, and again on a tonnage basis, 72 per cent of overseas vessels finally departing from New Zealand were cleared from either Auckland or Wellington.

Direction of Overseas Shipping.—Particulars of the number and net tonnage of vessels entered and cleared between New Zealand and various countries during 1952 and 1953 are given in the following table.

19521953
EnteredClearedEnteredCleared
No.Net TonnageNo.Net TonnageNo.Net TonnageNo.Net Tonnage
United Kingdom147914,480143949,784126820,127132869,389
British Borneo528,168315,371526,657736,159
Republic of India517,992934,668516,943936,791
Malaya and Singapore27142,181634,4531053,359930,881
Union of South Africa634,12314,453849,50114,308
Canada1996,57720107,7951372,507322,675
Australia252821,337275887,737250735,683292917,625
Fiji2879,6162771,4833886,8824079,577
Gilbert and Ellice Islands1344,4691869,793721,4521341,456
Nauru Island54194,23949170,24743147,75735124,567
Belgium620,628....1568,054....
France315,528725,067633,4101045,795
Bahrein Island1587,54024135,45019107,43324145,076
Iran............314,977
Indonesia1796,26417102,67321108,341422,851
Japan1439,7771548,5021849,3811332,644
Egypt....28,157....27,940
Portuguese East Africa15,126....634,457....
Tunisia25,658....15,151....
Netherlands Antilles844,23519105,042....955,952
United States of America41191,11035144,36239172,65428133,557
Tuamotu Archipelago....24,602........
Other countries41148,98254220,65743157,80842181,800
    Totals7043,028,0307263,140,2966732,767,5576762,804,020

The year 1952 was a record year for overseas shipping entering New Zealand ports. The figures for 1953 show a decrease of 9 per cent in the tonnage and of 4 per cent in the number of vessels. The year 1953, however, showed an increase over 1951.

The tonnage entered from the United Kingdom showed a decrease in 1953 on the previous year of 10 per cent, while clearances for the United Kingdom were 8 per cent below the 1952 figures. The tonnages entering from and clearing to the United Kingdom were the highest for any individual country and represented 30 per cent of the respective totals.

The next table shows the net tonnage of shipping between New Zealand and certain principal countries for the five years 1949–53.

YearAustraliaUnited KingdomUnited States of AmericaCanadaPacific Islands
Entered (Net Tons)
1949857,139531,641176,40397,811259,043
1950896,546701,294136,07593,661242,361
1951686,668716,810166,467102,304226,484
1952821,337914,480191,11096,577319,902
1953735,683820,127172,65472,507259,003
  Cleared (Net Tons)   
1949774,430856,20966,39658,154274,756
1950805,745870,35267,23470,417305,502
1951656,961882,116133,97999,786289,160
1952887,737949,784144,362107,795369,104
1953917,625869,389133,55722,675283,224

Nationality of Overseas Shipping.—The table following shows the nationality of vessels arriving in New Zealand during the years 1949–53. Vessels registered in the United Kingdom represented 57 per cent of the total tonnage recorded in 1953, the remaining British Commonwealth countries accounted for 24 per cent and other countries for 19 per cent.

A feature of the table is the relatively small totals shown for shipping registered in New Zealand, the figures for which were considerably higher prior to the Second World War.

OVERSEAS SHIPPING INWARDS

Country of Registry19491950195119521953
Net Tons (000)
British Commonwealth—     
  United Kingdom1,7391,8481,7641,6331,591
  New Zealand262290228388478
  Other British Commonwealth171183144190167
    Cargo1,8992,1171,9242,2111,996
    Ballast273204212226240
    Totals, British Commonwealth countries2,1722,3212,1362,4372,236
Percentage of total8886848081
Other—     
  Norway90164130244206
  Sweden33885667
  Netherlands724406539
  Panama447911485101
  United States of America9239383221
  Remaining countries3553876798
    Cargo288347392549507
    Ballast1320254225
    Totals, other countries301367417591532
Percentage of total1214162019
Grand totals2,4732,6882,5533,0282,768

TRADE OF PORTS.—The following matters dealing with the trade of ports are covered below: shipping tonnages, cargo statistics, and transhipments.

Shipping Tonnages.—This section deals with the tonnage recorded by the various ports in New Zealand and includes overseas and coastal shipping, irrespective of whether the former had been entered or cleared overseas or coastwise. Thus overseas vessels have been recorded as overseas arrivals and departures on every visit to a New Zealand port, instead of only at the first port of call and the final port of departure as under the earlier heading.

The movement of overseas and coastal vessels on the New Zealand coast is well illustrated in the following table, which gives the aggregate number and tonnage of the total calls made during each of the years 1943–53.

YearOverseas VesselsCoastal VesselsTotal
NumberNet TonnageNumberNet TonnageNumberNet Tonnage
19431,3794,526,54212,0504,007,17913,4298,533,721
19441,0833,729,63112,1613,981,70013,2447,711,331
19451,0883,827,78012,3693,756,87113,4577,584,651
19461,1914,774,61312,7703,709,35713,9618,483,970
19471,1444,966,08812,8084,528,94113,9529,495,029
19481,1734,857,98213,3334,579,30014,5069,437,282
19491,4825,946,33213,1174,298,38814,59910,244,720
19501,5296,364,06812,8644,324,15214,39310,688,220
19511,3976,131,36711,4223,806,25312,8199,937,620
19521,8207,640,41013,6224,621,96315,44212,262,373
19531,8417,257,77513,6964,451,46515,53711,709,240

The war years showed a remarkable decline in the number of vessels and net tonnage, particularly in the overseas section. The 1944 figures for the latter represented a fall of nearly 57 per cent in the number of vessels and 62 per cent in tonnage. In addition to the large decrease in overseas arrivals in the country during the war period, a contributory cause was the limited number of ports visited by overseas vessels, shipping, as a war necessity, being concentrated at the main ports.

Figures for the post-war years show a substantial recovery in both the overseas and coastal trade of ports, although the coastal trade on this basis showed a decrease in 1951 as compared with 1950. This would be mainly accounted for by the waterfront dispute which occurred in the later year.

The following table shows the average number of calls made by overseas ships arriving in New Zealand, based on total arrivals and total entrances in New Zealand ports for the last five years.

Overseas Vessels19491950195119521953
Total number entered New Zealand563597546704673
Total entrances at New Zealand ports1,4821,5291,3971,8201,841
Average number of calls at New Zealand ports2.72.62.62.62.7

The following table shows for the three years 1951–53 the number and net tonnage of overseas vessels arriving at New Zealand ports, and covers vessels entered overseas or coastwise.

Port195119521953
NumberTonnageNumberTonnageNumberTonnage
Whangarei615,581512,7911451,241
Auckland4101,715,8165022,005,1014891,847,816
Tauranga1316,550910,8962323,324
Gisborne15,0681162,6471574,328
Napier66294,15182355,48678361,621
New Plymouth69323,31286357,76381349,094
Wanganui....1221....
Wellington3571,781,2774692,145,8464932,094,337
Picton33,910126134,023
Nelson1353,7251955,2442064,760
Westport1310,4591713,8001261
Greymouth11,29788,6401817,123
Lyttelton184845,7212631,164,3992621,045,607
Timaru40151,53851202,65162226,578
Oamaru78,256814,84668,951
Dunedin163698,930210914,464201789,080
Bluff51205,77678315,35475299,631
    Totals1,3976,131,3671,8207,640,4101,8417,257,775

Overseas vessels are shown to have called at 16 ports in 1951, 17 in 1952, and 16 in 1953. In the years 1936–58 approximately 24 New Zealand ports were visited by overseas vessels. During the war years the concentration of overseas shipping at the main ports was most marked. This concentration is still noticeable, though now lessened from what it was during those years. The following table shows the percentages of overseas shipping tonnage recorded at the ports of Wellington, Auckland, and Lyttelton for the years 1939 and 1950–53. In 1939 these three ports handled 63 per cent of the overseas shipping tonnage, as compared with 71 per cent in 1950 and 1951, and 69 per cent in 1952 and 1953.

Port19391950195119521953
Percentage
Auckland27.327.028.326.225.5
Wellington24.530.228.328.128.9
Other North Island15.410.510.810.511.8
  North Island67.267.767.464.866.2
Lyttelton11.314.213.915.214.4
Other South Island21.518.118.720.019.4
South Island32.832.332.635.233.8
  New Zealand totals100.0100.0100.0100.0100.0

The table below shows for the years 1951–53 the total shipping traffic handled inwards at the various ports. Overseas and coastal vessels calling at more than one port in the course of a single voyage have been recorded as entered at every port visited.

Port195119521953
NumberTonnageNumberTonnageNumberTonnage
Parengarenga15110,60616611,8631148,800
Awanui1267,50219312,65219813,202
Mangonui483,391816,017554,077
Whangaroa745,7951068,625917,172
Russell533,709795,281775,130
Hokianga....2330....
Whangarei82373,145992132,5651,109169,703
Auckland4,5882,000,2745,2982,362,2435,1892,219,115
Onehunga5312,9077620,9318321,984
Raglan153,456153,467185,010
Thames73228,90461022,70236813,500
Coromandel492,158593,097241,363
Whitianga671,635732,159821,886
Tauranga10932,18311426,70815642,661
Whakatane717,722899,6228710,067
Opotiki303,060424,320535,368
Tokomaru Bay5610,9057515,9034913,839
Tolaga Bay214,641236,974257,190
Gisborne16663,185167130,898172140,184
Napier266349,501261421,614212422,492
New Plymouth123346,651174386,346172379,652
Patea676,95010911,29212613,460
Wanganui18039,81928768,90334883,302
Wellington1,8743,144,5172,3733,758,4902,5203,552,488
Picton389163,405362150,802319178,401
Wairau674,888675,644726,336
Nelson548254,158838349,632880250,094
Motueka13314,94922924,65825926,063
Waitapu411,786442,306281,717
Collingwood........361,770
Westport143140,562163148,308157129,398
Greymouth10068,777147101,588148109,017
Hokitika7563........
Lyttelton7341,824,2409782,284,6741,0672,199,112
Timaru139225,223189295,959283332,408
Oamaru4436,4587058,9297455,738
Dunedin266762,2313541,009,637382895,105
Bluff332265,354397384,209377369,736
Half-moon Bay13412,41014013,02512712,700
    Totals12,8199,937,62015,44212,262,37315,53711,709,240

In 1953 Wellington ranked as the first port of New Zealand as regards aggregate tonnage of shipping entered, followed by Auckland, Lyttelton, Dunedin, Napier, New Plymouth, Bluff, Timaru, and Nelson in that order.

It should be remembered in any comparison of port statistics of shipping tonnages that certain ports are termini of inter-Island passenger services, and this factor adds considerably to the volume of shipping traffic credited to these ports—viz., Wellington, Lyttelton, Picton, and Nelson (up to April 1953).

Cargo Statistics.—In order to obtain statistics of the total trade of each port a system of monthly returns from the various port authorities was instituted in 1922 showing under a number of headings the quantity of goods handled, distinguishing inwards and outwards cargo, coastal and overseas, and transhipments. The resultant statistics show on a tonnage basis the total trade of each port, including all exports, whether placed on the overseas vessel there, sent to a central port for shipment overseas, or despatched coastwise to another port for consumption in New Zealand.

The following table gives a summary of the tonnage of cargo handled at all ports for the years 1946–53.

YearInwards*TranshipmentsOutwards*Total Tonnage
CoastalOverseasCoastalOverseas

* Excluding transhipments.

Manifest Tons
19462,062,8832,077,881209,9112,008,9711,112,8647,682,421
19472,114,9642,790,934231,6411,943,3891,099,1508,411,719
19482,034,8502,956,793264,0561,952,1141,150,3858,622,254
19491,922,3393,266,667222,4161,889,2521,108,1958,631,285
19501,923,2213,504,616225,4641,901,2241,203,2038,983,192
19511,649,4393,810,425152,8391,596,3871,166,1358,528,064
19521,971,9254,811,147207,2181,846,6161,328,21810,372,342
19531,975,4483,835,923174,2941,858,6081,253,3849,271,951

The next table shows for each port the total cargo inwards and outwards in 1953. The high proportion of transhipments in the case of Wellington is very noticeable.

PortInwards*TranshipmentsOutwards*Total Tonnage
CoastalOverseasCoastalOverseas

* Excluding transhipments.

Manifest Tons
Mangonui2,254....728..2,982
Russell987....350..1,337
Whangarei62,90221,009..110,218..194,129
Auckland579,9241,684,70335,749225,712466,1133,027,950
Onehunga31,743..1046,4973878,298
Raglan12,677....977..13,654
Thames3,802....883..4,685
Tauranga20,8731,529..4,84828,32555,575
Whakatane10,971....11,395..22,366
Opotiki6,404....3,460..9,864
Tokomaru Bay2,464....3,250..5,714
Tolaga Bay721....1,127..1,848
Gisborne54,9622,97820416,44913,35788,154
Napier69,47071,6965,7759,29488,145250,155
New Plymouth31,105275,558973,52477,025387,406
Patea573....20,764..21,337
Wanganui82,795....28,103..110,898
Wellington433,093982,404124,419361,096254,6902,280,121
Picton37,115....35,279..72,394
Wairau6,012....4,610..10,622
Nelson83,90112,3231,91357,57022,987180,607
Motueka6,177..3919,615..25,870
Waitapu641....847..1,488
Westport4,750....224,125..228,875
Greymouth11,479....201,1741,408214,061
Lyttelton198,146441,0301,794284,79996,0861,023,649
Timaru30,57926,943..63,70244,767165,991
Oamaru6,1666,643..31,759..44,568
Dunedin121,278276,7274,29464,71464,480535,787
Bluff59,24632,380..20,46795,963208,056
Half-moon Bay2,238....1,272..3,510
    Totals1,975,4483,835,923174,2941,858,6081,253,3849,271,951

In any consideration of these statistics it is advisable to note that the term “ton" does not invariably denote a weight of 2,240 lb. For a portion only of the goods handled is it practicable to obtain the actual weights involved. In other cases close approximations are made by applying uniform formulae as to the number of bales, cases, sacks, etc., to the ton. A considerable portion of trading goods, however, is recorded in measurement tons, 40 cubic feet of space being regarded as the equivalent of a ton. As the practice is uniform, comparisons from year to year are not appreciably affected, nor are comparisons between ports, unless there is a radical difference in the class of trade carried on, in which case recourse should be had to consideration of items of trade. Since a much larger proportion of imports are in measurement tons, thus artificially swelling the figures, direct comparison of import cargo tonnage with export is invalid.

The penultimate column of the preceding table shows, excluding coastal to overseas transhipments, the quantity of cargo placed on board the overseas vessels at the respective ports, while a table on page 338 shows the number and tonnage of overseas vessels calling at each port. These tables give a good indication of the extent to which each port enters directly into the overseas trade of New Zealand. The following table shows for the year 1953 the total shipments from each port overseas and coastwise (including transhipments) of nine principal commodities exported overseas by New Zealand, and thus shows the extent to which the various ports handle overseas exports, although the goods may be sent outwards coastwise for transhipment at another port.

PortWoolFrozen MeatCanned MeatButterCheeseOther Milk ProductsTallowHides, Skins, and PeltsSeedsAll Other GoodsTotals
Manifest Tons
Mangonui80....190......8..450728
Russell..................350350
Whangarei452....6,662..222917..102,856110,218
Auckland33,22769,67918,284142,69119,01497,03614,63210,332622322,057727,574
Onehunga50484411122825227545,77146,545
Raglan8........422..7..540977
Thames............25...876883
Tauranga....9............33,16433,173
Whakatane157....7,4881,6931,280 41..73611,395
Opotiki289....2,589..4274726..823,460
Tokomaru Bay3,190................603,250
Tolaga Bay435................6921,127
Gisborne6,8238,474330758....1,1918881211,53430,010
Napier34,63038,243177807781705,5063,318320,282103,214
New Plymouth1,51423,158..13,56531,5143,4012,6171,684..3,19380,646
Patea........20,756........820,764
Wanganui11,47473..1,0577,969..1,312408..5,81028,103
Wellington46,93968,0881,08320,37547,71015,9789,31411,924710518,084740,205
Picton5843,299....1,245..193....29,95835,279
Wairau169..............1,4942,9474,610
Nelson7871,541..162..2705463193578,81082,470
Motueka141..2110......11919,46219,654
Waitapu93....545......7..202847
Westport............13....224,112224,125
Greymouth6....3..15..2..202,556202,582
Lyttelton25,39724,5432907492,570176,0638,4969,822304,732382,679
Timaru10,69827,708..9157..2,5751,4773,41762,428108,469
Oamaru........662....36531,32631,759
Dunedin24,78118,3482811121,8816402,8652,3572,27879,945133,488
Bluff20,66547,2845362349,7047,0464,9082,8471,91621,290116,430
Half-moon Bay..................1,2721,272
    Totals222,589330,48621,055198,007144,469127,20851,79844,39120,6982,125,5853,286,286

Transhipments.—Transhipments of cargo during 1953 totalled 174,294 tons. of which 124,419 tons were transhipped at Wellington.

Transhipments fall into the following four classes:

  • Coastal to Coastal.—Cargo which has been loaded in a vessel at one New Zealand port and is transhipped to another vessel for discharge at another New Zealand port.

  • Coastal to Overseas.—Cargo which has been loaded in a vessel at a New Zealand port and is transhipped to another vessel for discharge at a port outside New Zealand.

  • Overseas to Coastal.—Cargo which has come from overseas and is transhipped to another vessel for discharge at a New Zealand port.

  • Overseas to Overseas.—Cargo which has come from overseas and is transhipped to another vessel for discharge outside New Zealand.

The first class represents purely coastal trade while goods in the last class do not enter New Zealand, but each of the others may be added to the appropriate figures of overseas trade shown previously, to ascertain the total tonnage of goods arriving from or departing overseas. Thus the total inward tonnage from overseas in 1953 was 3,920,223, and the total outward tonnage going overseas 1,332,460. Comparative figures for 1952 were 4,927,639 and 1,402,994 tons respectively.

The following table shows for 1952 and 1953 the transhipment trade of each port affected.

PortCoastal to CoastalCoastal to OverseasOverseas to CoastalOverseas to OverseasTotals
1952195319521953195219531952195319521953
Manifest Tons
Auckland1,0108093,6354,44929,30027,1633,4883,32837,43335,749
Onehunga1710............1710
Gisborne....131204........131204
Napier39359,8635,35711,464383  21,3665,775
New Plymouth........279..889971,16897
Wellington8,5392,91160,32669,05270,73452,14116315139,615124,419
Nelson1,6331,91380..500......2,2131,913
Motueka..39..............39
Lyttelton811,05272322,173722..182,9771,794
Dunedin23839218112,0423,891....2,2984,294
    Totals11,5577,16174,77679,075116,49284,3004,3933,758207,218174,294

The next table shows the various items of merchandise, etc., which comprised the transhipment trade in 1952 and 1953.

ItemCoastal to CoastalCoastal to OverseasOverseas to CoastalOverseas to OverseasTotals
1952195319521953195219531952195319521953
Manifest Tons
Beans and peas7111,4211,32231192..1,6151,324
Butter16711,7321,629........1,8991,630
Cement........523577..6005
Cheese....27,86628,874........27,86628,874
Coal2,001163............2,001163
Flour19834........70..26834
Fruit, preserved107864232,8061,7364102,9591,835
Fruit, fresh219413,04116,3052,0581,959....15,10118,458
Hides, skins, and pelts2161,5531,030....5061,6051,052
Manures, artificial103289....3,6722,5858..3,7832,874
Meat, frozen (beef, mutton, and lamb)1..6,8313,132........6,8323,132
Meat, preserved8132,547309..1....2,555323
Milk products (other than butter and cheese)5222229310........281332
Motor spirits, kerosene, and other fuel oils500773..1320,33624,5081,0751,39421,91126,688
Oats2120....3......2420
Potatoes..162..49198......198211
Seeds7274855172189 8513641
Tallow....2,1393,974.......2,1393,974
Timber330776755110,65510,43730..11,69010,565
Wines, spirits, and beer25471621,05163737471,129733
Wool3,2766814,33316,412....1186217,72716,542
All other goods4,6865,1681,8665,14375,13842,3422,8322,23184,52254,884
    Totals11,5577,16174,77679,075116,49284,3004,3933,758207,218174,294

Values of Exports and Imports by Ports.—Tables showing the values of exports and imports through the various ports are included in Sections 10B and 10C respectively.

NEW ZEALAND SHIPPING REGISTER.—The number and tonnage of vessels on the New Zealand register at 31 December 1953 were as follows.

Port of RegistrySailing VesselsSteam VesselsMotor Vessels
VesselsGross TonnageNet TonnageVesselsGross TonnageNet TonnageVesselsGross TonnageNet Tonnage
Auckland331,9891,599358,3183,96024324,95512,045
Napier......294853792,8121,391
Wellington7705442113,77859,0485668,27137,135
Nelson......55,9132,411154,1451,700
Lyttelton......62,9361,077163,2511,601
Timaru......19424881113
Dunedin......610,4175,5521211,5016,388
Invercargill......31,05843011377116
    Totals402,0591,653100144,31073,503363115,32360,379

Auckland is the port of registry of the majority of the vessels forming New Zealand's “mosquito" fleet, the average net tonnage of the 311 vessels on the Auckland register being only 56 tons. At Auckland, Wellington, and Dunedin a number of the vessels of the Union Steam Ship Company of New Zealand are registered, while several are also registered in Australia. The figures for vessels registered in New Zealand as at the end of each of the last eleven years are as follows.

YearSailing VesselsSteam and Motor VesselsTotals
VesselsGross TonnageNet TonnageVesselsGross TonnageNet TonnageVesselsGross TonnageNet Tonnage
1943454,0873,553410159,62580,606455163,71284,159
1944454,0873,553407159,51780,552452163,60484,105
1945454,0873,553406159,20380,376451163,29083,929
1946444,0753,541419161,68581,728463165,76085,269
1947454,0913,547433181,28991,542478185,38095,089
1948434,0493,515430190,38896,655473194,437100,170
1949444,0663,525438201,797102,079482205,863105,604
1950444,0663,525455241,477124,538499245,543128,063
1951433,7613,281460249,781128,622503253,542131,903
1952432,9202,492462246,819127,758505249,739130,250
1953402,0591,653463259,633133,882503261,692135,535

In the next table vessels registered in New Zealand at the end of 1953 have been classified according to whether employed in the coastal or the foreign trade. The totals given therein do not agree with those shown above, as vessels employed exclusively within “restricted limits” and pleasure vessels are not included. The total number of vessels so engaged was 174 of an aggregate net tonnage of 119,415.

Size of VesselEmployed in the Coastal Trade OnlyEmployed Partly in the Coastal and Partly in the Foreign TradeEmployed in the Foreign Trade Only
Number of VesselsNet TonnageNumber of VesselsNet TonnageNumber of VesselsNet Tonnage
Under 50 tons41758........
50 and under 100 tons251,783........
100 and under 200 tons273,6311155....
200 and under 300 tons61,495........
300 and under 400 tons144,93713681383
400 and under 600 tons41,925........
600 and under 800 tons43,045....21,497
800 and under 1,000 tons1987........
1,000 and under 1,200 tons33,30811,100....
1,200 and under 1,500 tons810,63645,27711,293
1,500 and under 2,000 tons58,367611,88735,554
2,000 tons and over39,27424,5301138,225
    Totals14150,1461523,3171846,952

MARINE OFFICERS' CERTIFICATES.—The examinations for masters, mates, and engineers serving in the Mercantile Marine are conducted by the Marine Department, the regulations relating to these examinations being based upon those of the United Kingdom Ministry of Transport with such modifications as are necessitated by local conditions. The Ministry of Transport recognizes the following certificates only as of Imperial validity: extra master, master, first mate and second mate foreign-going ships, first and second class steam and motor engineers. It is a condition of such recognition that candidates must possess service qualifications and pass examinations similar and not inferior to those prescribed by the Ministry of Transport.

New regulations for the examination of masters and mates came into force on 1 August 1952 and those for marine engineers on 1 October 1939. Both sets of regulations provided for partial passes—i.e., the examination may be taken in two parts.

During the year ended 31 March 1954, 197 examinations were held for certificates as masters and mates. A summary of these examinations is as follows: of the 102 who passed in their examinations, 39 passed for certificates as masters and mates of foreign-going ships, 24 for masters and mates of home-trade ships, 8 as masters of river steamers, 29 as masters of oil-engine vessels under ten tons register, 1 yacht master, New Zealand waters, and 1 for New Zealand pilot.

A summary of the examinations of marine engineers held during the year ended 31 March 1954 is as follows: 254 candidates presented themselves for certificates of Imperial validity, of whom 59 passed and 67 secured partial passes. There were 193 examinations for certificates of New Zealand validity only, and 118 were successful in their examinations, which included 75 for third class steam engineer, 1 for river steam engineer, 20 for first and second class coastal motor engineer, 17 river oil engineer, and 5 for local motor-ship engineer's certificates.

The year in review has seen some notable events in the history of New Zealand merchant shipping. Of these, the most important was the coming into force on 19 November 1953 of both the Shipping and Seamen Act 1952 and the International Convention for the Safety of Life at Sea 1948.

SURVEY OF SHIPS.—Survey certificates were issued during the year ended 31 March 1954 for 4 foreign-going passenger ships, 2 foreign-going cargo steamships, 20 foreign-going cargo motor-ships, 20 home-trade steamships, 87 home-trade motor-ships, 23 restricted-limits steamships, 283 restricted-limits motor-ships. A total of 350 surveys were made for seaworthiness, efficiency of equipment, extension of survey certificates, tonnage measurements, etc.

In addition, certificates were issued in terms of the International Convention for the Safety of Life at Sea 1948, 4 Safety Certificates Passenger ships, 24 Safety Equipment Certificates Cargo ships, 27 Safety Radiotelegraphy Certificates Cargo ships, 3 Safety Radiotelephony Certificates Cargo Ships, 12 Exemption Certificates Cargo ships.

LIGHTHOUSES.—Along the New Zealand coast there are sixty-two coastal lights of various types. In twenty-eight cases the lights are watched or attended lights and the apparatus is classed as of the dioptric order—i.e., a central lamp sending its ray through a combination of surrounding lenses—while the remaining thirty-four coastal lights, exclusive of harbour-entrance lights, are automatic lights. The buildings housing the lights are of varying kinds, as necessitated by their respective situations.

Fog signals of the diaphone type are established on Tiri Tiri Island, at Pencarrow Head, Godley Head, and Taiaroa Head; while radio beacons have been established at Cape Reinga, Tiri Tiri Island, Portland Island, Cuvier Island, Mokohinau, Baring Head, Stephens Island, Cape Campbell, and Puysegur Point.

The most powerful light is that of Stephens Island, which, placed some 600 ft. above high water, is visible at a distance of 32 nautical miles. Next in order come Cape Reinga (altitude 542 ft.), visibility 31 miles; East Cape (505 ft.), visible at 30 miles; Cape Brett (altitude 490 ft.), visible at 29 miles; Cuvier Island (altitude 390 ft.) and Mokohinau (altitude 400 ft.), both of which have a visibility of 26 miles; Godley Head (altitude 317 ft.) and Portland Island (altitude 300 ft.), both visible at 24 miles. Thirteen other lights have a range of 20 miles or over, being Centre Island, Baring Head, Kaipara (North Head), and Akaroa, of 23 miles; Cape Palliser, Brothers, and Nugget Point of 22 miles; Tiri Tiri Matangi, Cape Saunders, Channel Island, Marotiri, and Gibson Point, 20 miles each. The remaining 11 watched lights have visibilities as follows, the distance being recorded in miles; Moeraki and Castlepoint, 19 each; Manakau (South Head), Cape Campbell, Dog Island, and Puysegur Point, all 18 miles; Kahurangi and Cape Egmont, 16 miles each; Farewell Spit, 15 miles; Waipapa, 14 miles; and French Pass, 8 miles.

All manually-attended coastal lighthouses are equipped with signalling flags and lamps, the keepers being competent to transmit or receive messages. In addition, fourteen of the principal lighthouses are equipped with radio-telephone systems of communication. Coastal lights—i.e., those outside the bounds of the various harbour authorities—are maintained by the Marine Department.

The expenditure on all lighthouses under the control of the Marine Department during the year 1953–54 was as follows: salaries and wages, £39,877, stores and general maintenance, £57,330, radio beacons, improvements, etc. £36,036; administrative expenses, £11,141; depreciation, £20,352: total, £164,736. Light dues for 1953–54 totalled £110,677, a decrease of £1,058 on the previous year.

WRECKS.—In the case of any wreck or shipping casualty in New Zealand waters a Collector of Customs, Superintendent of Mercantile Marine, or other person empowered by the Minister of Marine, institutes an inquiry into the cause and circumstances of such casualty. If necessary, a formal investigation is held by a Magistrate, who has power to cancel or suspend the certificate of any officer from whose wrongful act or default, damage has resulted.

Should any wreck occur on the coast, the Receiver of Wrecks for that district, usually an officer of the Customs, has the necessary authority to be used in the preservation of life and property.

The numbers of shipping casualties reported to the Marine Department during the year ended 31 March 1954 is shown in the following table.

Nature of CasualtyOn or Near the Coast of New ZealandOutside New ZealandTotal Number Reported
Number of ShipsRegistered TonnageNumber of ShipsRegistered TonnageNumber of ShipsRegistered Tonnage

* 4 lives lost from 2 small fishing launches.

Strandings—      
  Total loss*326....326
  Damaged6753....6753
  Undamaged35,722....35,722
    Totals, strandings126,501....126,501
Collisions—      
  Total loss............
  Damaged1316,315....1316,315
  Undamaged11,380......1,380
    Totals, collisions1417,695....1417,695
Fires—      
  Total loss244....244
  Damaged37,830....37,830
  Undamaged.......... 
    Totals, fires57,874  57,874
Miscellaneous—      
  Including damage by heavy seas, machinery defects, etc.133,9481754144,702
    Grand totals4436,01817544536,772

Chapter 12. SECTION 12—RAILWAYS

Table of Contents

HISTORY AND DEVELOPMENT.—Railway history in New Zealand dates from the year 1860. In that year a contract was let for the construction of a line from Christchurch to Lyttelton, and the first portion of this line was opened on 1 December 1863. A line from Invercargill to Bluff Harbour was opened on 5 February 1867. The Provincial Council of Auckland in 1863 began the construction of a line from Auckland to Drury.

Although practically the whole of the railways are now State-owned, some were built by private enterprise. Of these the more important were constructed by the Midland and the Wellington-Manawatu Railway Companies.

At 31 March 1880, 1,167 miles of State-owned lines were open for traffic, and at 31 March 1900, 2,104 miles. The rail link between Wellington and Auckland was completed on 3 August 1908, and the first through passenger train left Wellington on 7 August 1908. Daily through express services were not operated until the privately-owned Manawatu line was taken over on 7 December 1908 and the last section from the Public Works Department on 15 February 1909. Total mileage open for traffic at 31 March 1910 was 2,717, a figure which increased by 292 to 3,009 during the next ten years.

The last section of the South Island Main Trunk railway from Picton to Bluff was taken over from the Public Works Department on 15 December 1945.

At 31 March 1954 there were 3,504 miles of State railways open for traffic, divided into three distinct sections as follows:

SectionLength (Miles)
North Island main line and branches1,686
South Island main line and branches1,758
Nelson60
      Total, South Island1,818

The Christchurch–Lyttelton section of railway, including the Lyttelton Tunnel, was electrified in 1928–29, the Otira – Arthur Pass section, including the Otira Tunnel, in 1923, the Wellington–Johnsonville section in 1938, and the Wellington–Paekakariki section in 1940.

Work is proceeding on the electrification and duplication of the line, approximately 20 miles, between Wellington and Upper Hutt. Portion of this line, between Petone and Haywards, has been re-routed over the Hutt Valley suburban line. Electrified suburban services to Taita commenced running in October 1953.

A tunnel through the Rimutaka Range in the North Island is under construction, holing through taking place in April 1954. This tunnel, 5 miles 36 chains in length, will be part of a deviation to eliminate the difficult hill section between Upper Hutt and Cross Creek. The proposed route deviates from the existing line at Upper Hutt and links with it again near Featherston. The new section will obviate the use of the special Fell engines and vans, with centre rail equipment, at present operating between Summit and Cross Creek. Rail cars and diesel-electric trains are to operate through this tunnel.

New timber and paper mills in the extensive exotic forests of the Putaruru-Taupo district of the North Island are served by the recently completed Tokoroa Branch of approximately 18 miles from Putaruru to Kinleith. Similar industries which are to be established in the nearby Kaingaroa Forest - Bay of Plenty area will be served by a branch line of about 40 miles from Awakaponga to Murupara, which was opened for traffic in April 1955.

Government railways are constructed by the Ministry of Works and transferred to the Railways Department when completed. The gauge is 3 ft. 6 in. Standard rails for heavy traffic main lines weigh 91 lb. per lineal yard, and for secondary and branch lines 72 lb. per yard. At present much of the track is laid to the standards adopted prior to 1950—viz., 85 lb. and 70 lb. rails. Sleepers, 2,400 to the mile, are principally of Australian hardwood and New Zealand silver pine and totara.

ADMINISTRATION.—In the year 1876 the railways of New Zealand passed from the control of the Provincial Governments to the Public Works Department. A few years later the opened lines were handed over to the Working Railways Department, and in 1889 a Board of three Railway Commissioners was appointed. This was the form of management for five years, when a General Manager, responsible to the Minister of Railways, was appointed. Control by a General Manager continued until 1952 except for two short periods of board management, from 1925 to 1928, when a Board of three members was appointed, and from 1931 to 1936, when the Board consisted of five members.

On the recommendation of a Royal Commission appointed on 3 March 1952 to inquire into and report upon all aspects of the New Zealand Government Railways, their future development, and sphere of operations, the Government established a Railways Commission. Five Directors were appointed from 12 January 1953.

COST OF CONSTRUCTION.—The capital cost of State railways as at the end of each of the last five financial years is given below.

31 March 195031 March 195131 March 195231 March 195331 March 1954

* Equal to £26,473 per mile of open line.

Open for traffic—£££££
Railway77,624,30380,885,09683,640,54488,648,41692,761,047*
Lake Wakatipu steamer service21,87821,87822,55722,55722,557
Subsidiary services3,895,6864,075,2234,353,7264,648,8494,828,838
General9,8969,8969,8969,8969,896
    Totals81,551,76384,992,09388,026,72393,329,71897,622,338
Works under construction1,738,7222,282,7383,168,6324,654,5636,972,169
Grand totals83,290,48587,274,83191,195,35597,984,281104,594,507

So varied are the geographical features of New Zealand that a great disparity exists in the cost of constructing the individual sections of lines. Numerous mountain chains and rivers make railway construction in general both difficult and expensive. The Otira Tunnel is 5 miles 26 chains long, and the Rimutaka Tunnel, which is now under construction, is 5 miles 36 chains. The length of the longest bridge, over the Rakaia River, is 5,720 ft., and the largest viaduct, the Mohaka, is 887 ft. long and 318 ft. above water-level.

ROLLING STOCK.—Information as to the rolling stock in use on the State railways as at 31 March 1954 is given in the following table.

Locomotives— 
  Tender489
  Tank158
  Electric28
  Diesel electric15
  Diesel shunting28
    Total718*
Passenger vehicles— 
  Sleepers15
  Combination day-sleepers3
  First class110
  Second class1,214
  Composite21
  Rail cars21
  Electric multiple units127
  Postal8
    Total1,519
Wagons—Four-wheeledBogie

* In addition there are 5 diesel-electric shunting locomotives in use in workshops and 59 diesel and petrol shunting tractors in use at stations.

  Horse boxes9983
  Cattle1,09744
  Sheep3,35756
  Frozen and chilled meat745557
  Cool, ventilated1,090..
  Covered goods627386
  High-side21,433366
  Low-side1,657..
  Platform..1,101
  Brake vans12449
  Other3,658374
 33,7753,416
    Total37,191

From 1901 to 1939 most of the rolling stock, including carriages, diesel-mechanical rail cars, wagons, and locomotives, was built in the Department's workshops. Special types were imported from England, notably multiple unit electric coaches and the prototypes of electric locomotives.

During the war years the resources of the Railway workshops were directed towards Armed Forces requirements and urgent repairs of rolling stock. Construction programmes consequently fell far behind schedule, and little headway has since been made owing to staff and material shortages.

To alleviate an acute post-war wagon shortage orders were placed in Great Britain for 5,500 general-purpose four-wheeled LA and LC wagons and 2,380 wagons of other classes. Deliveries commenced in 1947, and by November 1953 all had been received. Final assembly of these wagons in New Zealand Railway Workshops should be completed by the end of 1955. The 1956–58 programme envisages 2,950 new wagons, of which 1,450 will be imported.

Locomotives were also ordered overseas, and recent deliveries were 16 JA steam oil burning, 7 EW electric, 5 (1,500 h.p. main line) diesel-electric, 15 (660 h.p.) diesel-electric, and 34 diesel-mechanical shunting locomotives. Still to be supplied are 36 (1,500 h.p. and 750 h.p.) main-line diesel-electric locomotives and 48 diesel-mechanical shunting locomotives. To provide fast passenger services where traffic warrants (initially on main-line services), 35 diesel-mechanical twin-car sets are being imported, of which 5 had been received by the end of April 1955. In addition 30 mainline diesel-electric locomotives of Canadian and American make are to be imported.

The heaviest types of locomotive used in New Zealand have been designed and built in the New Zealand Railway workshops, the K class weighing 140 tons in working trim, the KA 145 tons, and KB (with booster) 146 tons. Twenty-nine locomotives of a programme of 35 class JA (109 tons) have been completed at Hillside. This type is similar to the imported J-class locomotives.

The following steam locomotives of comparatively recent construction haul most of the traffic.

ClassTypeWeightTractive Force
  Tonslb.
AB4–6–2 superheated; simple, with tender8720,000
G4–6–2 superheated; simple, with tender9825,800
J, JA, and JB4–8–2 superheated; simple, with tender10924,920
K4–8–4 superheated; simple, with tender14030,815
KA4–8–4 superheated; simple, with tender14530,815
KB4–8–4 superheated; simple, with tender (fitted with booster)14636,815

Standard carriages are 56 ft. in length, fitted with chair seats to accommodate thirty-one to fifty-six passengers, steam-heated, and lighted by electricity.

REVENUE AND EXPENDITURE.—The total revenue from and expenditure on the railways (including subsidiary services) during each of the years 1943–44 to 1953–54 were as shown below.

Year Ended 31 MarchGross RevenueExpenditureNet Revenue

* Loss recovered from Consolidated Fund.

 £££
194415,325,30612,757,3362,567,970
194514,459,75013,260,2771,199,473
194615,444,84714,384,8441,060,003
194715,680,05715,944,270−264,213*
194817,070,87217,710,897−640,025*
194918,597,72819,700,594−1,102,866*
195019,541,18420,596,740−1,055,556*
195122,085,49122,079,7015,790
195223,993,18625,195,674−1,202,488*
195326,607,93726,524,66583,272
195427,894,86827,490,573404,295

The expenditure figures do not include interest on capital liability. With £3,325,811 interest added, the 1953–54 profit of £404,295 would become a loss of £2,921,516.

A sum of £2,551,035 was set aside in 1953–54 for depreciation and track renewals, while expenditure from these funds amounted to £2,092,396. The amounts standing to the credit of the Depreciation and Renewals Accounts at 31 March 1954 were £6,385,083 and £367,913 respectively.

The revenue and expenditure for the last five years, distinguishing between railway operation and other items, are given in the following table.

Year Ended 31 MarchGross RevenueExpenditureNet Revenue
Railway OperationSubsidiary Services, etc.Railway OperationSubsidiary Services, etc.Railway OperationSubsidiary Services, etc.

* Net loss.

 ££££££
195016,062,0663,479,11817,360,9133,235,827−1,298,847*243,291
195118,500,3443,585,14718,725,4163,354,285−225,072*230,862
195220,097,2423,895,94421,515,3003,680,374−1,418,058*215,570
195322,588,7584,019,17922,755,3973,769,268−166,639*249,911
195423,682,3654,212,50323,621,4033,869,17060,962343,333

The various subsidiary services now conducted by the Railways Department, with the revenue and expenditure of each during the last two years, are shown below. Full working costs, including interest, are charged against these services, and the interest so charged is taken into miscellaneous receipts as revenue.

ServiceRevenueExpenditure
1952–531953–541952–531953–54
 ££££
Lake Wakatipu steamers18,13119,49625,57027,706
Refreshment service347,395336,381386,633375,913
Bookstall service252,022265,718247,673261,374
Advertising service66,67366,40453,25458,090
Departmental dwellings203,437219,181527,457541,655
Leases of bookstalls, etc.84,62087,65579,64590,255
Road services—Passengers and goods2,445,4042,550,5332,449,0362,514,177
Miscellaneous receipts601,497667,135....
    Totals4,019,1794,212,5033,769,2683,869,170

Revenue.—In the following table the railway operating revenue during 1953–54 and each of the preceding ten years is classified according to the class of traffic, etc., from which it was derived.

Year Ended 31 MarchPassenger FaresParcels, Luggage, and MailsGoods and LivestockLabour, Demurrage, etc.Totals
 £££££
19444,275,482435,9288,479,387274,18213,464,979
19453,504,453411,0218,261,087271,74612,448,307
19463,912,509426,6198,515,673249,78613,104,587
19473,253,748440,7318,903,762225,54312,823,784
19482,687,767553,36610,486,744236,40313,964,280
19492,759,478560,59311,747,129271,68215,338,882
19502,847,925480,86912,434,487298,78516,062,066
19512,662,987532,55614,978,599326,20218,500,344
19522,264,922519,46816,957,810355,04220,097,242
19532,522,883545,84119,136,216383,81822,588,758
19542,565,253600,49720,121,367395,24823,682,365

The revenue from passenger fares during the year 1953–54 represented an expenditure on railway travel of £1 4s. 11d. per head of mean population. The total railway operating revenue was equal to £11 9s. 9d. per head.

On 21 June 1953 suburban fares were increased by 10 per cent, while increases varying from 5 per cent to 20 per cent were made in some goods rates, further increases in the latter class, mostly from 5 to 7 per cent, taking effect from 17 January 1954.

Expenditure.—The total railway expenditure in 1953–54 represented 98.55 per cent of the gross earnings, and the operating expenses 99.74 per cent of operating revenue. It is of interest to trace the movement over a series of years, as in the following statement. The figures show the percentage of operating expenditure to operating revenue.

Year Ended 31 MarchPer Cent
193486.65
193586.98
193688.46
193791.81
193896.05
193995.73
194090.66
194186.72
194285.73
194380.71
194484.41
194593.96
194695.77
1947106.40
1948108.06
1949109.44
1950108.09
1951101.22
1952107.06
1953100.74
195499.74

The operating expenditure under various heads is now given for 1953–54 and for each of the previous ten years.

Year Ended 31 MarchMaintenance of Ways and WorksMaintenance of SignalsMaintenance of Rolling StockLocomotive TransportationTraffic TransportationHead Office and General Charges*Totals

* Including superannuation subsidy.

† Merged with Maintenance of Ways and Works.

 £££££££
19442,146,448326,1902,868,0062,555,9563,207,782261,53511,365,917
19452,250,736332,0152,839,5912,473,5813,460,705340,26711,696,895
19462,524,485375,4993,055,3032,627,8683,618,584347,98512,549,724
19472,466,020376,4583,241,1392,996,0164,138,817426,32913,644,779
19482,528,407426,8413,298,7003,786,7564,550,376499,01115,090,091
19492,904,028482,4923,885,4934,032,8644,956,482526,89716,788,256
19502,966,062540,0743,889,1524,064,9015,355,345545,37917,360,913
19513,171,856566,6874,217,9514,605,6955,615,272547,95518,725,416
19524,671,8694,582,8015,322,2316,341,828596,57121,515,300
19534,800,452..4,795,9605,914,4946,640,290604,20122,755,397
19545,593,236..5,142,9145,495,6626,761,097628,49423,621,403

The increase in expenditure in recent years has been due chiefly to an increased wages bill, mainly the result of higher rates of pay and improved conditions of employment, to the high cost of locomotive fuels, and to a general rise in the price of stores. In an endeavour to overcome an unsatisfactory coal position, the Department was obliged to import coal from overseas during the years 1947 to 1952, and convert seventy-seven locomotives to burn oil fuel.

PASSENGERS AND GOODS.—During the period 1926–33 there was a rapid falling off in passenger journeys, due mainly in the earlier years to intensive motor competition and later to the economic depression. This period was followed by an upward trend as a result of the improvement in economic conditions. After the outbreak of war in 1939 passenger traffic increased sharply, owing to the movement of members of the Armed Forces and to the curtailment of road services and partial immobilization of private motor cars, the result of restrictions placed on the use of motor spirits and rubber tires. Following the cessation of hostilities the number of passenger journeys receded considerably, owing to the large decline in Armed Forces traffic, intensified road and air competition, and, until recently, to the difficulty in obtaining sufficient coal to run full passenger services.

In 1951–52 ordinary passenger services were curtailed through a shortage of coal arising from industrial disputes. In 1952–53, although coal was more plentiful and several imported oil-burning and diesel-electric locomotives were placed in service, it was not possible to fully restore passenger services, a shortage of train crews being the limiting factor. In 1953–54, however, more passenger trains were provided. The electric multiple unit service from Wellington to Taita was inaugurated in October 1953 and has transferred to rail travel, numerous suburban passengers previously carried by the Department's road services. Compared with the previous year, rail-passenger journeys in 1953–54 increased by 1,816,699, or 8.5 per cent.

To enable staff to cope more satisfactorily with the increase in traffic on the Wellington – Hutt Valley section, the fare structure for the whole of the Wellington area was redesigned and placed on a “zone" basis. This has considerably reduced the variety of tickets issued by guards and at stations.

The impact of the modern electrified rail service in the Hutt Valley is reflected in the reduced passenger journeys on the Railway Road Services. In 1953–54 these totalled 22,626,525, a decline of 1,493,411, or 6.19 per cent, compared with the previous year.

The tonnage of goods carried increased steadily up to 1929–30, but from then until 1932–33 successive declines were recorded, due mainly to the world economic depression and to road competition. From 1934 to 1950 goods tonnage recorded an upward trend, with a slight reduction in 1944–45 through a falling-off in military freights.

In 1950–51 traffic declined as a result of widespread industrial disputes, but the upward tendency was resumed in the two following years with the tonnage exceeding the ten-million mark in 1952–53. In the later portion of that financial year, however, traffic again fell away, the decline continuing for several months into the year 1953–54. Although there was a considerable improvement later in the year, tonnage for 1953–54 failed by 390,878 tons, or 3.9 per cent, to reach the previous year's record figure.

Freight ton-mileage in 1953–54 decreased by 29,009,919, or 2.7 per cent, compared with 1952–53, but the average distance for which goods were hauled rose from 106 to 107 miles. The 1953–54 goods revenue of £20,121,367 represented 85 per cent of operating revenue.

Year Ended 31 MarchLength Open MilesTrain-mileage (Revenue)PassengersSeason Tickets IssuedTonnage of Goods and Livestock*
Including Season-ticket HoldersExcluding Season-ticket Holders

* Livestock converted to equivalent tonnage.

19443,50415,328,98738,611,26718,317,3231,518,0459,026,626
19453,50412,802,53632,994,52913,629,5231,394,8178,954,239
19463,52813,454,50832,417,67513,553,0831,369,5729,210,466
19473,52813,169,23328,869,13510,222,3251,358,4539,329,333
19483,52613,712,10325,887,1898,111,4171,347,6719,524,043
19493,52613,895,48826,167,8457,708,0491,387,9619,666,130
19503,52614,420,85225,895,2537,881,2551,402,7899,948,261
19513,53114,153,21124,824,0757,574,2751,338,4359,615,857
19523,53912,371,04321,292,5565,641,9701,195,6399,828,771
19533,53513,409,38021,455,1935,779,3891,209,00410,025,939
19543,50413,718,89623,271,8926,840,6171,336,0869,635,061

Passenger train-miles run during 1953–54 totalled 4,589,195, and the passenger revenue received represents 134.15d. per passenger train-mile and £895 per mile of line operated by passenger services.

The number of ordinary passenger journeys in 1953–54 increased by 18.36 per cent compared with the previous year. The tonnage of goods handled decreased by 3.9 per cent.

The numbers of livestock carried in 1953–54 were 734,174 cattle and horses, 733,491 calves, 8,146,257 sheep, and 480,176 pigs. The equivalent tonnage was 631,392. Comparative figures for 1952–53 were 794,343 cattle and horses, 802,789 calves, 7,964,075 sheep, 479,968 pigs, and 647,484 tons.

Detailed figures showing the number of rail passengers carried during the last five years are given in the following table.

1949–501950–511951–521952–531953–54

* Workers weekly abolished and 12 trip tickets reduced to 10 trip from 17 January 1954.

Ordinary4,353,2724,023,8503,055,7902,944,3172,827,035
Suburban2,177,2782,307,0791,843,4952,052,6763,045,015
Other reduced fares1,350,7051,243,346742,685782,396968,567
    Totals7,881,2557,574,2755,641,9705,779,3896,840,617
Season tickets only—     
  Suburban weekly:—     
   Twelve-trip477,366462,060432,791423,937482,296*
   Ten-trip 7,22714,06514,502
  Workers' weekly64,49457,78950,40850,51543,974*
  Weekly twelve-trip40,95735,22227,51932,11531,944*
  Bearer twelve-trip55,79056,69747,51652,17059,980
  Bearer six-trip696,857656,483565,464578,174659,889
  School17,82718,08716,92216,74016,658
  Tourist3221131114
  Travellers' annual113101867679
  Other49,35344,74840,85540,76441,252
    Totals1,402,7891,338,4351,195,6391,209,0041,336,086

The following table gives interesting information as to the constitution of the goods traffic for the year 1953–54. The figures are exclusive of steamer traffic on Lake Wakatipu.

CommodityTonnageRevenue
Tons CarriedPercentage of TotalTons, One-mileAverage HaulTotalPer Ton-mile
 No.Per CentNo.(000)Miles£d.
Grain and seeds319,3983.3118,78759392,9915.02
Meals99,6021.037,15472142,5954.78
Fruit and vegetables54,7390.5711,141204179,4853.87
Root crops and fodder98,7711.0311,362116173,3853.66
Cattle, calves, horses281,3962.9226,61695649,6615.86
Sheep and pigs349,9963.6236,7181051,005,7616.57
Meat, fresh and frozen334,2643.4716,72150698,54710.03
Butter145,9951.5215,114104373,9965.94
Cheese91,3350.954,86453149,4217.37
Wool203,7922.1216,03479508,4517.61
Dairy by-products74,0210.777,544102178,5635.68
Fat, hides, and skins62,0400.644,78677154,7457.76
Fish9,3810.101,82519525,5883.37
Agricultural lime501,5395.2146,27792542,6972.81
Coal, New Zealand hard639,0196.6342,62467647,1333.64
Coal, New Zealand brown1,198,88912.44166,6961391,947,0672.80
Road-metal53,0910.553,6846963,3124.12
Timber, imported29,5550.312,6739068,8876.18
Timber, New Zealand742,7247.71127,1121711,830,2313.46
Firewood, posts, etc.58,6190.616,27210781,9223.13
Motor spirits, kerosene372,6153.8737,2801001,034,3336.66
Cement231,5492.4031,821137545,5144.11
Manures929,0319.64101,7841101,529,6143.61
Miscellaneous2,753,70028.58288,7681057,169,8935.96
    Totals9,635,061100.001,033,65710720,093,7924.65

The next table shows the tonnage of goods carried, freight train-miles run, and net ton-miles run, together with the respective averages for each of the last eleven years.

Year Ended 31 MarchTonnage CarriedFreight Train-milesTons One-mileGross Revenue
Per TonPer Freight Train-milePer Ton-mile
   (000)£s.d.£s.d.d.
19449,026,6268,873,974832,594019201962.50
19458,954,2398,199,598814,906018101062.48
19469,210,4668,646,417842,542018101012.47
19479,329,3338,516,995883,66401951132.45
19489,524,0439,002,430937,4221241382.73
19499,666,1309,157,049970,7561481602.94
19509,948,2619,326,9931,021,1381511692.93
19519,615,8579,153,1371,026,9351115112113.51
19529,828,7718,514,4531,069,24311482003.82
195310,025,9399,194,3281,062,667118421104.34
19549,635,0619,129,7011,033,6572192404.65

A classification of goods traffic for the eleven years ended 1953–54 is now given.

Year Ended 31 MarchAgricultural and Pastoral ProduceAgricultural Lime and ManuresTimber and FirewoodCoalMotor Spirits and KeroseneOther
Agricultural ProduceDairy ProduceMeat, Fish, and LivestockWool
Tons (000)
19447572521,1962191,2407572,0842022,320
19457522551,1942051,4027152,0842052,142
19467952501,2552501,4576922,0972212,193
19477332491,2122331,6477012,0622612,231
19487592601,2022221,5347932,0882982,368
19497362771,1572201,5358602,0843052,492
19506892941,1312261,6378822,1313302,628
19516522971,0472191,6549221,8693582,598
19525983199592321,5568351,9523703,007
19535643161,0862001,5249001,9533753,108
19545723119752041,4318311,8383733,100

RAILWAY EMPLOYEES.—The average number of persons employed by the State railways throughout the year ended 31 March 1954 was 25,286. The staff is divided into two divisions—namely, the salaried or clerical division, and the general or out-of-door division—and is further classed in five branches, as shown in the following table.

Year Ended 31 MarchTrafficWays and WorksLocomotive RunningWorkshopsOther BranchesTotals
19508,3474,9343,6445,9283,92726,780
19518,0844,6913,5315,5513,81625,673
19527,9235,3293,5195,4073,03125,209
19537,7855,5913,5345,2893,05725,256
19547,5876,0213,5225,1742,98225,286

A system of classification, first introduced in 1896 and revised at various times since, applies to railway employees. An Appeal Board is constituted to hear grievances of members dissatisfied with decisions in regard to promotion, loss of status, or breaches of discipline. The Board consists of a Magistrate and two members of the Railways service, one appointed by the Minister of Railways and the other elected by the members of the Department. The Government Railways Amendment Act 1944 provided for the establishment of a Tribunal of three members whose principal functions are to prescribe scales of salaries and rates of wages for railway employees; conditions in regard to hours of work, overtime, etc.; and terms and conditions in regard to leave of absence, railway travel concessions, etc. This tribunal, known as the Government Railways Industrial Tribunal, is deemed to be a Commission of Inquiry under the Commissions of Inquiry Act 1908. The members, who must not be members of the Railways Department or of any of the railway employees' organizations, are appointed for a term of three years.

A superannuation fund in connection with the Railways service was established in 1903, but was merged with other State superannuation funds as from 1 April 1948, all moneys standing to the credit of the fund being transferred to the newly created Government Superannuation Fund as from that date. Information concerning this is given in Section 7C. A sick-benefit fund, providing for the payment of weekly allowances for periods up to fifty-two weeks to employees other than salaried staff who are incapacitated by sickness, was instituted in 1929. The fund is subsidized by the Department up to a maximum of £28,000 per annum. The amount claimed in 1953–54 was £6,000. The Sick Benefit Society had a membership of 14,734 at 31 March 1954.

RAILWAY ACCIDENTS.—The most tragic train disaster in New Zealand railway history occurred on 24 December 1953 near Tangiwai, on the North Island Main Trunk Line. The train involved was the Wellington–Auckland 3 p.m. Express, consisting of 9 carriages, guard's van and postal van, hauled by a class KA locomotive. The cause of the accident, which happened at nighttime, was the destruction of a bridge over the Whangaehu River by a violent flood of ice water, silt, and debris which originated on Mount Ruapehu. The locomotive and six of the carriages fell into the swollen river. It was established that 154 persons, including the driver and fireman, perished.

Of earlier accidents which may be termed disasters the first occurred near Ongarue in 1923 when seventeen persons were killed and twenty-six injured as a result of an express train colliding with a fallen boulder on the line; the second was a major derailment of a passenger train near Hyde, in the South Island, on 4 June 1943, which caused the deaths of twenty-one passengers and injuries to forty-six others.

Another serious accident occurred on 25 February 1948 when the Picton–Christchurch passenger express train was derailed two miles south of Seddon Station, through entering a curve at a speed far in excess of that authorized. Six passengers were killed and sixty-one injured. The driver and fireman were also injured.

During the year ended 31 March 1954, 174 persons were killed and 485 were injured in all kinds of accidents arising from train working and movements of rolling stock. Comparative figures for the previous year were 44 killed and 435 injured. These figures do not include employees who were killed or injured whilst engaged on other duties—e.g., railway workshops.

Of the 174 persons meeting with fatal accidents in 1953–54, 155 were passengers and 6 were employees; of the remainder who were neither passengers nor employees 7 were killed at railway crossings, 2 in accidents on the line, 3 whilst trespassing, and 1 from other causes. Of those injured 37 were passengers, 371 were employees (chiefly minor accidents), and 77 were neither passengers nor employees. Of the 77 other persons, 49 were injured in crossing accidents.

The number of passengers injured in train accidents does not include passengers injured in the Tangiwai disaster as the dispersal of survivors rendered the collection of such information impracticable.

PRIVATE RAILWAYS.—There are a number of private railways in New Zealand, chiefly lines of light construction serving colliery and sawmilling areas. On the timber tramways, special rolling stock is used for log haulage with various types of locomotives, many of interesting design, according to the nature of the work required of them. The longest of the private lines connecting collieries to the State system is the 11 miles 67 chains of railway between Birchfield and Wairio, operated by the Ohai Railway Board.

Chapter 13. SECTION 13—ELECTRIC TRAMWAYS AND ASSOCIATED TRANSPORT

Table of Contents

SYSTEMS AND OWNERSHIP.—The five electric tramway systems operating in New Zealand at 31 March 1954 served the cities of Auckland, New Plymouth, Wellington, Christchurch, and Dunedin, and were controlled by local authorities under powers conferred by the Tramways Act 1908. Since that date the tramway systems in New Plymouth and Christchurch have ceased to function, and have been replaced by combination trolley-bus and motor-bus services. In Auckland and Christchurch the authorities were boards—namely, the Auckland Transport Board and the Christchurch Transport Board; control of the other three systems was exercised by the City Councils concerned.

Trolley buses are being run in conjunction with each of the remaining tramway services and have replaced tramcars on some routes as well as covering routes not previously served by tramways. In Wellington and Dunedin the City Councils also operate cable tramways, the former having one cable tramway serving Kelburn, and the latter a service to Mornington.

The tables which follow are divided into two parts, the first series dealing with the operations of electric tramways, trolley buses, and motor buses which form integrated transport services, and the second portion giving details of the cable tramways.

ELECTRIC TRAMWAYS, TROLLEY BUSES, AND MOTOR BUSES.—In the following pages are reviewed the operations of these forms of transport, showing each system separately for 1953–54, and summary figures for all systems combined for the last three years.

Passenger Vehicles in Use.—The following table sets out details of vehicles in use by the various authorities during the year ended 31 March 1954.

SystemTramcars and TrailersTrolley BusesMotor Buses
Number of Vehicles
Auckland12347202
New Plymouth10414
Wellington1872864
Christchurch2711137
Dunedin334941
    Totals380139458
Seating Capacity
Auckland6,4162,4808,118
New Plymouth356168421
Wellington6,5501,1762,229
Christchurch1,0884245,059
Dunedin1,4211,9601,295
    Totals15,8316,20817,122
Miles Run During Year
Auckland3,996,9561,248,9664,147,422
New Plymouth197,64886,496224,482
Wellington3,363,036301,996735,119
Christchurch477,902228,2333,375,207
Dunedin768,715711,660970,210
    Totals8,804,2572,577,3519,452,440

Summary.—The three most recent years are compared in the next series of tables, which shows total number of vehicles in use, total seating capacity, and total mileage recorded.

YearTramcars and TrailersTrolley BusesMotor Buses
Number of Vehicles
1951–5259182273
1952–53492119338
1953–54380139458
Seating Capacity
1951–5223,4073,3699,722
1952–5321,2054,98812,418
1953–5415,8316,20817,122
Miles Run During Year
1951–5213,137,0511,442,7876,458,308
1952–5311,635,2822,037,9256,911,257
1953–548,804,2572,577,3519,452,440

Passengers Carried.—During the years 1951–52, 1952–53, and 1953–54 passengers carried totalled 177,427,140, 171,358,382, and 173,436,292 respectively. The number carried by each of the systems during the year ended 31 March 1954 is given below.

SystemNumber of Passengers
Auckland76,107,095
New Plymouth3,438,457
Wellington44,525,056
Christchurch22,868,857
Dunedin26,496,827

Electric Power Used.—Power used during the year amounted to 34,294,000 kWh., compared with 42,419,000 kWh. during 1952–53 and 43,249,000 kWh. during 1951–52. The quantities used by individual authorities are given in the following table.

SystemThousand kWh.
Auckland19,065
New Plymouth856
Wellington9,764
Christchurch2,541
Dunedin2,067

Length of Routes.—The length of roadways traversed by tramway and trolley bus routes totalled 72 miles 71 chains and 44 miles 50 chains respectively, details for each system being available in the next table.

SystemLength of Road Traversed at 31 March 1954
TramwaysTrolley Buses
 M.ch.M.ch.
Auckland27341130
New Plymouth443329
Wellington267792
Christchurch562936
Dunedin8151133

Capital Outlay.—As 31 March 1954 the capital value of the five systems was £8,016,509 and expenditure less sales during the year amounted to £1,459,543. This total value was made up of the assets shown below.

SystemLand and BuildingsTracks and Overhead EquipmentVehiclesOther AssetsTotals
 £££££
Auckland347,563430,6241,757,482177,3532,713,022
New Plymouth15,10981,72775,37921,871194,086
Wellington330,689685,8781,055,102109,1582,180,827
Christchurch196,113546,406915,201164,4211,822,141
Dunedin111,356279,334612,358103,3851,106,433
    Totals1,000,8302,023,9694,415,522576,1888,016,509

The introduction of trolley buses to replace tramcars, which has been proceeding for several years, is reflected in the next table, which gives details of capital outlay on the various types of vehicles.

Class of VehicleValue at 31 March 1953Net Expenditure During YearValue at 31 March 1954
 £££
Tramcars and trailers961,613Cr. 9,362952,251
Trolley buses973,018214,6241,187,642
Motor buses1,445,489830,1402,275,629

Revenue.—The table which follows shows the revenue of each of the authorities for the 1953–54 year.

SystemPassenger FaresOther RevenueTotals
CashConcession

* Total passenger revenue

 ££££
Auckland1,056,700434,33262,7011,553,733
New Plymouth34,34021,70022,99379,033
Wellington430,568327,87230,483788,923
Christchurch397,65198,39822,748518,797
Dunedin377,490*..21,002398,492
    Totals2,296,749882,302159,9273,338,978

The next table gives total revenue of all authorities for each of the three years specified.

Revenue1951–521952–531953–54
Passenger fares3,105,4142,992,9563,179,051
Other revenue68,107176,125159,927
    Totals3,173,5213,169,0813,338,978

Expenditure.—Details of expenditure by each of the authorities during the 1953–54 year are now given.

SystemOperating ExpenditureCapital ChargesOther ExpenditureTotals
 ££££
Auckland1,471,783206,287..1,678,070
New Plymouth67,6015,0095,69478,304
Wellington823,11484,746385908,245
Christchurch460,204128,67055,576644,450
Dunedin419,13398,782..517,915
    Totals3,241,835523,49461,6553,826,984

The corresponding data for all authorities are shown for the last three years in the table below.

Expenditure1951–521952–531953–54
 £££
Operating expenditure2,941,5103,027,2393,241,835
Capital charges391,847421,069523,494
Other expenditure41,92594,85561,655
    Totals3,375,2823,543,1633,826,984

Employment, Salaries and Wages paid.—Included in the total expenditure for the year ended 31 March 1954 and distributed between operating and other expenditure, is an amount of £2,415,386 paid as salaries and wages. The total amounts of salaries and wages paid during 1951–52 and 1952–53 were £2,259,148 and £2,307,608 respectively. Details of the number of persons employed by these transport systems and the manner in which salaries and wages were allocated during 1953–54 are as follows.

MalesFemales
Average Number of Persons Engaged
 No.No.
Management and office staff16443
Traffic staff (including inspectors)1,899288
Other (maintenance, etc.)1,0278
    Totals3,090339
Salaries and Wages Paid
 ££
Management and office staff127,72918,431
Traffic staff (including inspectors)1,361,413198,817
Other (maintenance, etc.)705,7343,262
    Totals2,194,876220,510

Summary of Operations.—Averages derived from the information given concerning passengers carried, fares paid, revenue, and expenditure, are supplied in the table which follows, together with similar details of the operations of the previous two years.

Item 1951–521952–531953–54
Passengers per mile runNo.8.438.328.32
Average fare per passengerPence4.204.194.40
Revenue per mile runPence36.2036.9538.46
Expenditure per mile runPence38.5041.3044.09

CABLE TRAMWAYS.—There were two cable tramway systems in operation during 1953–54, one in Wellington and one in Dunedin. Both are electrically operated. The total length of track in use by the two systems amounted to 1 mile 71 chains.

Operations during the year ended 31 March 1954 resulted in a total deficit of £11,234, each system showing a loss. Details of revenue and expenditure are set out in the next table.

SystemRevenueExpenditure
 ££
Wellington15,71819,397
Dunedin25,29332,848
    Totals41,01152,245

Review of Operations.—Principal statistics for the three latest years are as follows.

Year Ended 31 March
195219531954
SystemsNo.322
Passenger vehicles in useNo.251818
Passenger capacityNo.716464464
Miles runNo.267,638242,823184,540
Passengers carriedNo.3,577,5723,165,0913,737,749
Passengers per mile runNo.13.3713.0320.25
Average fare per passengerd.3.063.052.63
Employees paid out of revenueNo.624841
Salaries and wages paid£37,19533,72437,008
Capital outlay£117,50481,22881,228
Revenue£46,16040,82041,011
Revenue per mile rund.41.3940.3553.34
Expenditure£56,49649,29952,245
Expenditure per mile rund.50.6648.7367.95

Chapter 14. SECTION 14—ROADS AND ROAD TRANSPORT

Table of Contents

ROADS AND BRIDGES.—The total mileage of formed roads in New Zealand at 31 March 1953 was 55,463, in addition to which there were 5,384 miles of bridle-tracks and 16,767 miles of unformed legal roads. Details are given in the following table.

CountiesBoroughsTown DistrictsRoad DistrictsTotals

* Includes 5 miles of wood or stone.

† Includes 7 miles clay and shell.

‡ Includes 391 miles of pumice roads.

Formed roads and streets, paved or surfaced with—MilesMilesMilesMilesMiles
  Bituminous or cement concrete175253....435
  Bitumen or tar5,8612,555*10828,526
  Metal or gravel37,9291,2942155939,497
Unmetalled formed roads and streets (i.e., not paved or surfaced)6,73716687157,005
    Totals, formed roads50,7024,2684177655,463
Bridle-tracks5,28798805,384
Unformed legal roads16,40231746216,767
    Totals, all roads72,3914,59447113877,614

The formation of roads in many parts has been attended with considerable expense and difficulties, arising from the configuration of the country and the abundance of rivers. As illustrating the latter aspect, the following table, showing the number and lengths of bridges incorporated in the roads system as at 31 March 1953, is of interest. Only bridges 25 ft. or over in length have been taken into account, no official enumeration having been made of the innumerable culverts and short bridges. A perusal of the figures shown in this and in the preceding table gives an average of 13.9 feet of bridging per mile of formed road.

Material of which Bridge ConstructedCountiesBoroughsTown DistrictsRoad DistrictsTotals
No.Total LengthNo.Total LengthNo.Total LengthNo.Total LengthNo.Total Length
  Ft. Ft. Ft. Ft. Ft.
All concrete or stone1,642166,98611711,2558548....1,767178,789
Steel and concrete29432,197467,8676774....34640,838
Steel, concrete, and timber52953,599203,5352115....55157,249
Steel and timber96488,883264,043........99092,926
Australian hardwood2,446232,9959010,0567360....2,543243,411
Native timbers2,517151,399423,711738151432,571155,634
    Totals8,392726,05934140,467302,17851438,768768,847

ROADS ADMINISTRATION.—The main statutes covering roads administration in New Zealand are the Public Works Act 1928, the Counties Act 1920, and amendments, and the National Roads Act 1953 with its 1954 and 1955 amendments.

By the National Roads Act a National Roads Board was established from 1 April 1954, and its functions are defined as follows:

  1. To administer the National Roads Fund in accordance with the provisions of the Act;

  2. To provide an advisory service in respect of the whole roading system of counties, boroughs, and town districts throughout New Zealand, and to report to the Government from time to time on the progress being made in providing a roading system adequate for needs arising from current developments in motor traffic;

  3. To advise the Government of any changes necessary in the legislation and regulations relating to the use of roads;

  4. To act as the final authority in disputes relating to road classifications;

  5. To advise the Government of changes necessary in the provision of finance for road construction and maintenance, particularly of changes considered advisable in the levying and collection of motor taxation, including exemptions therefrom;

  6. To assist and advise local authorities generally on roading matters and any special roading problems arising from development of industries, etc.;

  7. To undertake at not more than five or less than three year intervals a comprehensive survey into the roading position in New Zealand, including standards, growth of traffic, adequacy, etc.;

  8. To give effect to any special matter of roading policy communicated to it by the Government;

  9. To initiate and conduct research into roading problems in New Zealand;

  10. To collect information on roading developments in other countries and make this available to roading authorities in New Zealand;

  11. To undertake any other activity for the provision of a roading system adequate both for the needs of an efficient road transport system and for the benefit generally of motor-vehicle operators and the safety of the public in relation to motor traffic.

District Roads Councils are also established to function in their districts in relation to roading requirements and standards of the various local authorities. The National Roads Board, through the District Councils and otherwise, has functions in relation to the maintenance of roads other than main highways in the districts of local authorities.

The 1953 Act provided that there would be automatic allocation of moneys to a National Roads Fund to be expended for roading purposes, but the 1955 amendment provided that the portion contributed from the Consolidated Fund would be appropriated annually by Parliament. Portion of the funds are allocated to boroughs and independent town districts for roading purposes calculated on a population basis, and to counties and road districts based on general rates (other than those levied for hospital purposes or for other local authorities) and special rates for roading purposes collected by them.

The composition of the National Roads Board is: (a) one member, to be appointed Chairman of the Board (prior to the 1955 amending Act the Chairman was an officer of the Ministry of Works); (b) an engineer officer of the Ministry of Works (Deputy Chairman); (c) an administration officer from the Ministry of Works; (d) an officer of the Transport Department; (e) two nominees of the New Zealand Counties Association (Incorporated); (f) a nominee of the Municipal Association of New Zealand (Incorporated); (g) a representative of commercial road users; and (h) a representative of private motorists.

Roads Council Districts.—New Zealand is divided into twenty roads districts, composed of local authorities grouped according to geographic situation and community interest.

For each roads district there is an advisory body, known as the District Roads Council, which is constituted to include the District Commissioner of Works, one representative of each constituent county and road district, one person to represent boroughs and independent town districts for each two members representing counties or road districts, a representative of commercial road users, a representative of private motorists, and a nominee of the Commissioner of Transport.

The principal functions of these councils include the making of recommendations to the Board each year as to which roads within the several districts should be declared main highways and the works which should be undertaken, together with estimates of the cost of works, their opinion of the roading needs of their districts as a whole, and their recommendations on other matters of interest to road users or affecting road safety.

Finance.—The National Roads Act 1953 provided for a National Roads Fund to be established within the Public Account, the revenue of the Fund to be derived mainly from motor taxation together with an annual contribution from the Government. Expenditure from the Fund is for the purpose of developing State and main highways to modern standards and of subsidizing the roading programmes of local authorities.

On the revenue side of the Fund's operations the Act reintroduced the principle of reserving motor taxation for roading purposes.

Details of the classes of revenue automatically paid into the Fund from 1 April 1954 are as follows:

  1. Fees and charges from registration and licensing of motor vehicles (section 34, Transport Act 1949), refer page 366 for present rates;

  2. Heavy traffic licence fees (section 59, Transport Act 1949), less cost of collection not exceeding 5 per cent of the amount;

  3. Motor spirits tax and mileage tax (Part IV of Transport Act 1949);

  4. Tire tax (Customs Duties Tariff item 205 (b), Customs Acts Amendment Act 1934);

  5. Receipts from any source in respect of the construction, maintenance, or control of any highway;

  6. Receipts from transfers, sales, or hire of materials or plant or property of any kind or from executing works for other organizations;

  7. Any other moneys credited to the Fund.

In addition, the former automatic payment of £1,000,000 annually from the Consolidated Fund was made subject to annual appropriation by the 1955 amendment to the principal Act.

The tax on motor spirits, from November 1953, is 1s. 3d. per gallon, all of which is paid into the National Roads Fund.

Expenditure from the Fund may be made without appropriation as follows:

  1. Payment of annual subsidies to local authorities for roading purposes (not exceeding 10 per cent of the Fund's revenue to borough councils and independent town boards, or 12 per cent to county councils and road boards; nor less than receipts during 1953–54 by way of heavy-traffic fees and annual subsidy, under the Municipal Corporations Act 1933, to boroughs or, under the Appropriation Act 1916, to counties, road districts, or town districts);

  2. Payments by the Crown in respect of the construction, maintenance, and control of main highways;

  3. Compensation payable by the Crown for acquisition of land for a main highway;

  4. Compensation and damages payable by the Crown for accidents and injuries in relation to works the cost of which is chargeable to the Fund;

  5. Cost of purchase or hire of machinery or equipment;

  6. Cost of survey and other preparatory work for main highways;

  7. Cost of experimental work;

  8. Cost of administration by the Ministry of Works; and

  9. Other expenses by the National Roads Board in exercise of its functions.

The following table gives a summary of the returns from special taxation of motor vehicles for the last five financial years.

Yield of1949–501950–511951–521952–531953–54

* Share for highway purposes only (first 6d.).

 £££££
Tire tax64,34926,74540,16325,22417,551
Motor spirits tax*2,823,3693,104,2163,459,6643,814,2274,113,418
Fees, etc., under Transport Act 1949705,576805,1601,000,496995,5771,090,583
Mileage tax19,99725,93232,15336,74553,685
Heavy-traffic fees727,641802,315917,737977,418983,605
Drivers' licences123,551130,685140,132152,472161,903
    Totals4,464,4834,895,0535,590,3456,001,6636,420,745

In the following table are shown the amounts which have been expended on main highways construction, renewal, or maintenance during the last five years. Maintenance figures include the cost of flood damage restoration when applicable.

Class of Expenditure1949–501950–511951–521952–531953–54
 £££££
Construction and improvement2,246,7361,765,1432,683,4943,082,3103,222,014
Renewal of bridges436,450417,334594,857838,145915,467
Maintenance, repairs, etc.2,508,9452,685,8933,796,2373,689,9654,003,846
    Totals5,192,1314,868,3707,074,5887,610,4208,141,327

An analysis of the actual expenditure on maintenance in each Island, as compared with the number of motor vehicles in each Island at 31 March of each of the last five years, appears in the following table, the percentages relating to New Zealand totals.

1949–501950–511951–521952–531953–54
Percentage of New Zealand Totals
North Island—     
  Maintenance expenditure70.0769.6767.9367.1371.33
  Motor vehicles66.2666.7566.9166.9266.81
South Island—     
  Maintenance expenditure29.9330.3332.0732.8728.67
  Motor vehicles33.7433.2533.0933.0833.19

The following table shows the mileage of main highways in the North and South Islands as at 31 March 1954, together with a classification as to the type of construction or surface.

Length of Main Highways
Dustless SurfaceGravel or Macadam SurfaceTotals
 MilesMilesMiles
North Island3,2543,8977,151
South Island1,9233,7155,638
    Totals5,1777,61212,789

Assistance to Local Authorities.—On State highways the Board meets the whole cost of maintenance, construction, and reconstruction. In terms of the National Roads Act 1953, the National Roads Board is required to provide a £3 for £1 subsidy of the cost of maintenance, construction, or reconstruction of main highways. A similar subsidy is payable in respect of bridges where the cost is not greater than £60,000. In cases where the cost is greater than £60,000, the excess is met in full by the Board.

In special circumstances the Board may advance money, by way of loan, to local authorities to provide for the proportion of cost payable by a local authority in respect of the construction or reconstruction of a main highway. Such loans must be repaid by instalments extending over a period (not exceeding ten years) to be agreed upon between the Board and the local authority, and interest is payable at a rate approved by the Minister of Finance.

The payment of annual subsidies to local authorities from the National Roads Fund for roading purposes is made at the following rates: Borough councils whose districts have a population of 6,000 or more, at the rate of £1 2s. per head of population; borough councils and independent town boards with less than 6,000 population, 15s. per head; county councils and road boards, 8s. for each £1 of general rates (excluding levies for hospital purposes or for other local authorities) or of special rates for roading purposes collected during the year. This replaces the former system under which 8 per cent of the proceeds of the first 6d. per gallon of the motor spirits tax and of the mileage tax was distributed on a population basis to cities and boroughs with a population of over 6,000 for expenditure on streets forming continuations of highways. (Local authorities also collected and retained receipts from heavy-traffic fees and drivers' licences, receipts from the latter being still retained by the local authorities). In the year ended 31 March 1954 the amount distributed among cities and boroughs under the former system mentioned was £325,818, and for the previous year £294,452.

The Board is also empowered to sell roadmaking machinery, plant, and equipment to local authorities on such terms as it thinks fit, including terms for the repayment of the purchase money by instalments extending over not more than four years, with interest on the unpaid balance at such rate as is fixed by the Board. Since this scheme was introduced by the Main Highways Board, plant etc., has been purchased to the value of £761,367, of which sum £30,410 was outstanding at 31 March 1954.

Main and State Highways.—The National Roads Act 1953 provides for the declaration of roads as main highways and with the approval of the Minister of Works, the Board may classify any main highway as a State highway.

The National Roads Board has the sole powers of construction, maintenance, and control of all main highways. These powers may be delegated, for any main highway or portion thereof, to the local authority in whose district the road is situated. Any construction or maintenance work that is not delegated by the Board to a local authority is carried out by or through the agency of the Commissioner of Works and the cost borne by the Fund. The Board may also delegate to the Ministry of Works its duties in connection with design, supervision, construction, or, maintenance, or the administration of any specified main highway. No new construction works are to be commenced by the Board, however, without the prior consent of the Minister of Works.

As stated earlier the cost of construction and maintenance of main highways is apportioned so that the three-quarters is met from the Fund and the rest is payable by the several local authorities within whose districts any part of the highway is situated in such proportions as may be fixed by the Board. For those main highways declared as State highways, however, the whole cost of construction is to be met from the National Roads Fund.

At 31 March 1954 the length of main highways totalled 12,789 miles, compared with 12,836 miles in March 1953, the decrease of 47 miles being due to minor adjustments of lengths, deviations, and revocation of sections through boroughs attaining populations of 6,000.

Main Highway Standards.—In order to qualify for financial assistance local authorities are required to carry out works to a standard approved by the National Roads Board. Subsidies are not payable unless the approved standard is observed, although work of a higher standard may be undertaken provided that the additional expenditure involved is found by the local authorities concerned. From time to time the Board's standards are revised to meet the latest developments in highway practice and engineering design and also to cater for the requirements of increasing traffic. Roadmaking materials used in highway works are subject to standard tests, and during recent years advances have been made in the direction of framing standard specifications which allow of a wider use of certain local materials which formerly were not accepted.

Motor-ways.—Legislation by means of the Public Works Amendment Act 1947, as amended by section 44 of the Public Works Amendment Act 1948, makes provision for the declaration of limited-access highways or, more shortly, motor-ways. It is emphasized that motor-ways are not merely better all-purpose highways.

In addition to providing the most efficient and economic transport service, the main distinguishing features of a motor-way are the control of access and the total elimination of ribbon development, both of which will go far to improve road safety and prevent obsolescence.

Activity During the Year Ending 31 March 1954.—During the year ended 31 March 1954, 189 miles of new sealing were completed, giving an aggregate of 5,177 miles of sealed roads, or 40 per cent of the total mileage of main highways. In addition, a length of 296 miles of existing sealed surfaces received a maintenance coat, and 43 miles of sealed surface were reinstated.

New bridging totalled 5,608 lineal feet, compared with 6,655 lineal feet in the previous year.

TOTAL EXPENDITURE ON ROADS BY GENERAL GOVERNMENT AND LOCAL AUTHORITIES.—The following table compiled from Transport Department sources shows the total expenditure upon roads, streets, and bridges for the years quoted. The amounts expended on maintenance and construction of main highways differ from those given on page 363, since the figures given in the table presented here are inclusive of local authority expenditure on roads classed as highways, whereas the earlier data refer only to funds expended by the Main Highways Board on this account.

1950–511951–521952–531953–54

* The bulk of interest is an estimate of interest on local-authority and public road liability.

Maintenance—££££
  Rural main highways3,533,7994,708,5284,915,3145,354,345
  Urban roads and streets889,5041,050,5111,150,6001,243,139
  Other rural roads2,366,8092,866,9243,250,1603,686,987
    Totals6,790,1128,625,9639,316,07410,284,471
Construction—    
  Rural main highways2,322,0913,509,8484,182,7884,407,747
  Urban roads and streets1,096,5611,346,8261,852,9012,142,046
  Other rural roads819,0481,060,1921,326,9841,392,442
    Totals4,237,7005,916,8667,362,6737,942,235
Interest* and sinking fund charges—    
  Rural main highways588,985516,493538,582524,430
  Urban roads and streets716,663642,751675,804844,342
  Other rural roads1,251,0731,222,0801,298,5051,347,543
    Totals2,556,7192,381,3242,512,8912,716,315
    Totals, New Zealand13,584,53116,924,15319,191,63820,943,021

The total expenditure shown in the preceding table was made available from the following sources of revenue.

1950–511951–521952–531953–54

* This item covers sources of revenue other than receipts by way of loans, local rates, Government grants, and motor taxation, the latter including receipts from motor-drivers' licences and heavy-traffic fees.

All roads—££££
  Loans3,027,2334,405,3955,620,6296,033,370
  Local rates4,223,2904,837,4775,522,5866,437,916
  Government grants13,26012,70111,5449,613
  General taxation*1,810,7362,119,5162,333,0722,644,522
  Motor taxation4,510,0125,549,0645,703,8075,817,600
    Totals13,584,53116,924,15319,191,63820,943,021

REGISTRATION AND LICENSING OF MOTOR VEHICLES.—Before the Main Highways Act 1922 was passed, the Government, by the provisions of the Customs Amendment Act 1921 and the Finance Act 1921–22, recognized and applied the principle that motor-vehicle owners should contribute toward the cost of the construction and upkeep of the road surfaces which were required principally for them. This principle is still applied in the National Roads Act 1953.

When the Main Highways Act was passed it was expected that a Motor Vehicles Act dealing with the registration and annual licensing of motor vehicles would be simultaneously passed, but owing to the difficulty of co-ordinating all interests it was not until November 1924 that the Motor Vehicles Act became law. The 1924 Act was repealed by the Transport Act 1949, which became from 1 November 1949 the statutory authority dealing with these requirements.

The following scale of fees is operative from 1 July 1954: Registration fees are £1 for any tractor, trailer or power cycle, and £2 for any other motor vehicle. Annual licence fees are as follows: Power cycles, £1; motor cycles, £2; motor cars and private station wagons £3; motor vehicles designed to carry more than nine passengers, £5; motor vehicles of which the gross unladen weight plus rated weight-carrying capacity exceeds two tons, £5; traction engines, £7 10s.; motor vehicles not otherwise specified, £4; trailers (two or more axles), £5; trailers (other), £1 10s. Other fees include drivers' licences, 5s.; changes of ownership, 10s.; and dealers' licences (motor cycles, £2; any other motor vehicles, £3). All such fees, except those for drivers' licences which are payable to the local authorities, were credited to the Consolidated Fund until 31 March 1954, and thereafter are credited to the National Roads Fund. Heavy-traffic fees which are referred to under the next heading are levied under the Transport Act, and receipts therefrom, until 31 March 1954, were distributed among local authorities, but have been credited to the National Roads Fund in the Public Account since 1 April 1954.

The 1949 Act provides that the annual licence may take the form of new registration plates or be in such other form as prescribed by regulation. The Motor Vehicles (Registration and Licensing) Regulations 1949, replacing earlier emergency regulations, authorize the permanent alternative of a licensed label system instead of an annual change of registration plates. The sum of 6d. has been the charge for licence stickers, and 2s. 6d. for each set of two number plates and 1s. 3d. for each single number plate on issue or replacement of number plates.

The following table shows the numbers of the various types of motor vehicles licensed as at 31 March in each of the last five years.

Type of VehicleLicensed as at 31 March
19501951195219531954

* Not required to register in years prior to 1953.

Cars233,812251,122280,458305,672323,641
Light trucks (i.e., 2 tons and under, laden)43,18646,71453,16756,58256,707
Heavy trucks (i.e., over 2 tons laden)34,44038,20742,01444,45946,258
Contract vehicles2,2252,1432,1032,1062,164
Omnibuses1,4941,5831,6781,7621,822
Taxis2,0212,1162,2222,2332,258
Rental cars1,2001,3931,5571,6381,706
Private-hire cars266308306352289
Service cars689734703727723
Trailers32,86036,47140,93744,13748,675
Vehicles exempted from payment of annual licence fees (other than exempted Government-owned vehicles)28,55734,50942,97145,56447,287
Government vehicles10,14911,03612,01813,90014,632
Motor cycles20,73321,04826,70325,54625,754
Power cycles*......3,6513,972
    Totals411,632447,384506,837548,329575,888
Dealers' cars1,6511,6772,1822,3122,443
Dealers' motor cycles8089140121128
Grand totals413,363449,150509,159550,762578,459

The abolition of motor-spirits rationing as from 1 June 1950 was the culmination of the gradual lifting of wartime restrictions on the use of motor-spirits. The increased figures for recent years follow on the higher importations of motor vehicles, particularly of cars. Motor vehicles exempted from the annual licence fee include a miscellaneous collection of machines such as farmers' motor vehicles used solely on the farm and only venturing on roads to proceed from one part of the farm to another, or from farm to garage for repair, etc., excavators, scoops, trench diggers, logging machinery, cranes, etc.

The next table shows the estimated total consumption of motor spirits in New Zealand, together with the quantity consumed by motor vehicles, for each year during the period 1943 to 1954.

Calendar YearConsumption of Motor Spirits
By Motor VehiclesTotal Consumption
 Million GallonsMillion Gallons
194350.259.4
194453.762.7
194565.674.6
194686.596.6
1947103.3117.0
1948102.6118.3
1949111.5132.6
1950122.5145.8
1951139.4165.9
1952149.0182.9
1953160.5196.7
1954172.1213.0

Consumption of motor spirits for civilian purposes reached its lowest level in 1942, successive increases occurring from then until 1948, which was influenced by reversion to a modified form of the wartime rationing. The following years also recorded increases principally owing to the abolition of rationing in 1950 and to the greater number of vehicles on the roads in recent years. Consumption by the Armed Forces was excluded from the figures given for years up to the 1947 year.

The following diagram illustrates the movement that has taken place in the number of motor vehicles licensed, and in the consumption of motor spirits by motor vehicles since 1933. The low consumption of motor spirits during the depression period, the effects of rationing during the war years, the post-war recovery, and increases paralleling the greater number of vehicles licensed in later years, are clearly demonstrated.

The following table gives particulars of the numbers of motor vehicles registered during each of the last five financial years. It must not be assumed, however, that the figures are a record of the number of new vehicles introduced into the country's traffic system each year, since they include an unknown number of vehicles which have been brought back into commission after having been removed from the register. In this connection it may be mentioned that dormant registrations—i.e., vehicles the registrations of which have not been cancelled, but which have not been relicensed for the current year—may be cancelled after the expiration of that year. If, however, a vehicle is again brought into use after its registration has been cancelled, it is treated as a new registration.

Year Ended 31 MarchCarsMotor Cycles (Including Power Cycles)Commercial VehiclesTotal Registrations
195011,7762,79123,77038,337
195119,2012,93725,66047,798
195234,6998,12531,04573,869
195328,4196,45928,84163,719
195424,7134,91524,62154,249

The large number of registrations shown for the last three years reflect the heavy importations of vehicles during the period.

ROAD TRANSPORT.—The period following the First World War ushered in a rapid development of an already considerable road motor transport which has necessitated extensive legislation not alone for its control, but also for the provision of adequate road-surfaces. Certain principal enactments are referred to briefly in chronological order.

The Customs Amendment Act 1921, among numerous tariff changes, imposed a tire tax on rubber tires and tubes, previously duty free. The proceeds were credited to the Main Highways Account until 31 March 1947, and since then to the Consolidated Fund. For an account of the moneys derived from this and other highways taxation, see Section 30B (Taxation).

The Main Highways Act of 1922, referred to earlier in this Section, constituted the next landmark. Two years later came the Motor Vehicles Act 1924 (this being repealed by the Transport Act 1949). At the same time the Public Works Amendment Act 1924 was passed (later included in the 1928 consolidation of that Act). Under it regulations could be made fixing, in respect of commercial vehicles of over 2 tons gross weight, heavy-traffic fees payable to local authorities for road-maintenance purposes, and also classifying roads and providing other measures. Regulations to this effect were made in 1925, and are now embodied in the Heavy Motor Vehicle Regulations 1950, replacing 1940 regulations of similar title. In the financial year 1953–54 local authorities received £982,179 by way of heavy-traffic fees, the amount in the previous year being £977,418. Quarterly licence fees under the Heavy Motor Vehicle Regulations range from £2 3s. 4d. (not above 2 ½ tons) to £97 15s. (30 tons), with £3 10s. for each additional ton or part thereof above 30, commencing from 1 June 1954. The fees for farmers' trucks range from £1 1s. 8d. to £92 1s. 8d. on a corresponding basis. No distinction is now made between passenger and goods vehicles, while the range of weight classes is considerably extended. Heavy-traffic fees, less the cost of collection, etc., were apportioned among the local authorities having control of roads within each heavy-traffic district, either as may be mutually agreed upon by such local authorities or, in default of such agreement, by the Minister of Transport, but from 1954 the fees (less collection costs if not exceeding 5 per cent) are payable to the National Roads Fund.

With the object of controlling motor-omnibus competition with tramways, regulations under the Board of Trade Act were issued in 1926. In the same year they were superseded by the Motor Omnibus Traffic Act, itself later repealed by the comprehensive Transport Licensing Act 1931 (amended in 1933, 1935, 1936, 1939, and 1948). All this legislation was consolidated by the Transport Act 1949.

The Motor Spirits Taxation Act 1927 imposed a duty of 4d. per gallon (raised in 1930 to 6d. per gallon; further subsequent increases are not connected with road taxation). As previously mentioned, from the net proceeds 8 per cent was formerly distributed on a population basis among cities or boroughs of a population of 6,000 upwards. From November 1953 the full duty was increased to 1s. 3d. per gallon, all of which is now paid into the National Roads Fund instead of only the first 6d. per gallon.

In 1927 the administration of the Motor Vehicles Act 1924 was transferred to the Public Works Department, which subsequently issued in draft form regulations containing a uniform code of rules for motor traffic in New Zealand. After full opportunity for criticism by interested parties the regulations were brought into force in 1928; they were later reissued through the Transport Department as the Traffic Regulations 1936.

The Public Works Act 1928 contained extensive provisions relating to the construction, maintenance, and use of roads. Almost simultaneously came the Motor Vehicles Insurance (Third Party Risks) Act 1928—refer Section 34B (Accident Insurance).

In 1929 the Transport Department Act constituted the portfolio of Minister of Transport, and also constituted the Transport Department under a Commissioner of Transport. The Act placed the administration of the following Acts under the Transport Department: Motor Vehicles Act 1924, Motor Omnibus Traffic Act 1926, Motor Spirits Taxation Act 1927, Motor Vehicles Insurance (Third Party Risks) Act 1928, and Public Works Act 1928 in so far as it related to heavy traffic or to motor vehicles. The Transport Licensing Act 1931 was also under the administration of the Department. The Transport Act 1949 consolidated all previous legislation and repealed the Acts quoted.

TRANSPORT LICENSING.—The Transport Act 1949, which repealed the Transport Licensing Act 1931 and its amendments, provides that any authority under the Act when dealing with an application or any other matter concerned with road transport or harbour-ferry services, is to have regard to the following:

  1. The provision of modern transport facilities best suited according to the nature of the service to meet the needs of national production and living standards and of national defence:

  2. The fair and impartial regulation of all forms of public transport in order to develop and maintain transportation facilities adequate to meet the needs of New Zealand and of national and Commonwealth defence; and, for these purposes, to administer such facilities so as to recognize and preserve the inherent advantages of each form of transport; to promote safe, adequate, economic, and efficient service, and the fostering of sound economic conditions in transportation; to encourage the establishment and maintenance of reasonable transport charges without unjust discrimination, undue preference or advantage, or unfair or destructive practices;; and to promote good working conditions for workers.

The more important provisions of the 1949 law are described in the paragraphs now given, most of these being the re-enactment of the former legislation.

The constitution of transport, goods-service, and harbour-ferry service districts was provided for in the Act, together with the establishment of a Licensing Authority for each district. For the four metropolitan transport districts, the Licensing Authorities appointed are the Auckland Transport Board and the Wellington, Christchurch, and Dunedin City Councils respectively. Goods-service districts may be identical with a transport district or be a part of the latter. The Minister of Transport may also declare any specified harbour or harbours or parts thereof to be a harbour-ferry service district.

The Licensing Authority for any transport district may also be declared to be the Licensing Authority for the goods-service district. The Act provides for the appointment of a Licensing Authority for each harbour-ferry district instead of the former practice under which the Licensing Authority for the transport district to which the harbour is contiguous was to be the Licensing Authority for the harbour-ferry district. The Minister may authorize any specified Licensing Authority to exercise jurisdiction in respect of licences which would otherwise come within the jurisdiction of some other Licensing Authority.

The Licensing Authority, other than a Metropolitan Authority, is to consist of either one or three persons as the Minister may determine, who are appointed for a term of up to three years' duration. Members are also eligible for reappointment. The sole member or the Chairman (where the Authority consists of three members) has the authority and privileges of a Magistrate in respect of proceedings.

Passenger and goods services and harbour-ferry services are only to be carried on under licence. The meaning of “goods service” is intended by the Transport Act to include the transport of goods otherwise than for hire or reward by means of a heavy motor vehicle over 2£ tons gross laden weight from one place to another if there is between these places an available route for the carriage of goods that includes not less than 30 miles of open Government railway unless (a) the route including the railway is longer by one-third than the shortest road route available, or (b) the owner of the motor vehicle is a farmer or market gardener who is carrying goods in connection with his business as a farmer or market gardener, or (c) the owner of the motor vehicle is the Crown or a local authority or public body.

A transport licence is not required for (1) the carriage to and from school of school children and their teachers only; (2) the carriage by a contract vehicle or a harbour ferry of a private party on a special occasion; (3) carriage of workmen to and from work by the Government or a public body, where the vehicle is not designed principally for the carriage of persons and such service has been approved by the Minister for this purpose; (4) carriage of passengers in a trackless trolley omnibus; (5) for carriage of newspapers, or in connection with funerals or repair and wreckage of vehicles which have met with mishap; (6) farmers carrying milk, cream, or whey to and from dairy factories for their neighbours where a licensed goods service is not available; (7) relieving or assisting inhabitants of a locality affected by flood, earthquake, or fire; (8) carriage of showman's goods, etc., by a vehicle owned by the showman; and (9) goods services otherwise exempted by Order in Council.

In considering applications for licences the Licensing Authority is to have regard to the extent to which any proposed service or improved service is necessary or desirable in the public interest, and the needs of the district concerned. If further consideration be then given, factors to be taken into account are existing services, financial ability of applicant to carry on the service, provision and maintenance of a reasonable standard of living and satisfactory working conditions in the transport industry, the manner in which a service has already been carried on, or the likelihood of satisfactorily carrying on a service, time-tables and frequency of service, vehicles or ferries to be used, conditions of roads, routes and load restrictions, speed, etc., and representations that may be made by various bodies, persons carrying on transport services and likely to be affected, and petitions of twenty-five or more adult persons of the locality concerned, etc.

Preference is to be given to applications by Government and local authority or other public body under certain conditions, chiefly where no existing services are available or where the proposal is for an extension of an existing service, or if the new service is wholly within the applicant's district in the case of a local authority, etc., or where there will be no competition with an existing service to the same locality by means of another route.

The Licensing Authority is to prescribe the terms and conditions of the licences such as class (continuous, seasonal, or temporary), commencement date, localities and routes, time-tables, etc.

Additional requirements may be prescribed for taxicab licences to ensure the control of the service in the interests of efficiency and of the public—e.g., complying with roster of duties, joining an organization for the purpose of obtaining telephone facilities, etc. Licences are transferable subject to certain conditions, while the maximum duration of a harbour-ferry service licence is to be ten years, and that of road transport licences to be five years.

Certificates of fitness are required for each passenger service or goods-service vehicle and all trucks with gross laden weight exceeding two tons.

The Transport Act 1949 provided that the fixing, altering, or reviewing of charges in respect of any transport service should be carried out solely by the Transport Charges Committee or the Transport Charges Appeal Authority established under the Act. The 1950 amendment, however, abolished the Transport Charges Committee and provides that charges are to be fixed, in the case of a service owned by a public body, by that body itself, and in the case of any other service, by the Commissioner of Transport, there being a right of appeal to the Transport Charges Appeal Authority in either case.

The Transport Charges Appeal Authority, as in the case of the Transport Licensing Appeal Authority, also established under the Act, is to be either a Judge of the Supreme Court or the holder of any office under any Act who is entitled to the equivalent rights and tenure of office as a Judge of the Supreme Court.

Applications to fix road and harbour-ferry charges may be made by the holder of, or an applicant for, the licence; any other person whose interests are affected, being the holder of a licence, an applicant, the permanent head of a Government Department, a local authority, or a public body; any twenty-five or more adult residents of a locality in which the charges are or would be in force; all parties to a contract for the carriage of passengers or goods by any such services; and incorporated bodies whose members have a special interest in the type of transport concerned or whose principal objects are the protection of the interests of transport operators. The power to fix fares to be charged on any road passenger service carried on by the Minister of Railways to which the Government Railways (Wellington to Johnsonville) Act 1935 applies, is expressly excluded from the jurisdiction of the charge-fixing bodies or Appeal Authority.

The principles to be observed in determining transport charges include: the promotion and maintenance of the economic stability of New Zealand; desirability of increasing national production by granting concessions on the carriage of producers' goods; desirability of providing special fares for all regular users of passenger services and that children under four years be carried free, with children from the age of four years and under fifteen years at half adult rates; desirability of maintaining a reasonable standard of living and satisfactory working conditions in the road transport and harbour-ferry industries; and the maintenance of efficiency of the transport services to which the proceedings relate.

Included in the general provisions is one under which the owner of any motor vehicle licensed for passenger services or goods services and involved in an accident attended by serious injury to any person or serious damage to the property of any person, shall notify the Commissioner of Transport within forty-eight hours of the occurrence.

Operations of Licensed Goods and Passenger Services.—The following tables review the operations of licensed road transport services to which the preceding paragraphs relate. The first of these tables gives the estimated overall figures concerning licensed road goods services for the four years ended 31 March 1950–53.

Road Goods Services 1949–501950–511951–521952–53
Revenue£16,523,00017,962,00023,342,00024,555,000
Capital£13,560,00013,908,00015,074,00016,357,000
      Total vehicle-milesNo.150,177,000156,866,000195,300,000195,100,000
Vehicles ownedNo.11,75011,95912,28513,075
Number of operators 4,7115,0995,2485,373
Average revenue per vehicle-miled.26.4227.4828.6830.21
Average number of miles per vehicle 12,78113,11715,89914,919

The second table shows traffic data, operating expenses, revenue, and profit of the road passenger services operating in New Zealand, and is inclusive of services in the four Metropolitan Transport Districts, for each of the four years ended 31 March 1950–53.

Road Passenger Services1949–501950–511951–521952–53
Traffic statistics—     
  Passengers carriedNo. 102,177,874108,364,764119,080,344114,235,629
  Vehicle-milesNo. 53,365,72455,230,27759,692,82259,750,261
Total revenue 4,900,4195,367,7666,242,3736,357,710
Total revenue, in pence per mile 22.4623.3025.0925.53
Number of vehicles included 2,3522,5402,7492,849

ROAD SAFETY.—During 1947 the New Zealand Road Safety Council was reconstituted. This body was first set up in 1936 to advise the Government on matters of road safety. Sub-committees have now been set up dealing with the following: the motor driver, motor vehicle, roads, traffic laws, traffic law enforcement, road accident statistics, road safety publicity, and child education in traffic.

Publicity directed towards road safety is carried out per medium of the press, posters, screen slides, and radio, concentrating on simultaneous presentation, as far as possible, of specific aspects of the problem. Other means employed in furthering road safety consist of traffic instruction in schools, inspection of motor vehicles, and enforcement of traffic laws.

The Transport Act 1949, as amended in 1950, contains several provisions designed to achieve greater safety on the roads. A maximum speed limit of 50 miles per hour is fixed, but lower limits are provided for special classes of vehicles—e.g., motor cycles with pillion riders and heavy passenger vehicles, 40 miles per hour; vehicles drawing trailers, 35 miles per hour; and heavy goods vehicles, 30 miles per hour. A uniform speed limit of 30 miles an hour is fixed in boroughs, town districts, or other localities which have been declared to be closely populated localities by notice published by the Minister of Transport in the New Zealand Gazette. The Act also gives the Minister power to exempt any road in a particular borough or town district from the provisions of the maximum speed limit, and further exceptions are ambulances (fitted with a siren or bell) or police vehicles travelling on urgent duty, or fire engines proceeding to a fire.

Persons convicted on indictment of negligent or reckless driving, or driving while under the influence of drink or a drug to such an extent as to be incapable of having proper control of a motor vehicle, if injury to any person results from their actions, are liable to a maximum penalty of five years' imprisonment or a fine of £500. Where no person is injured or where the offence as above results in summary conviction, the maximum penalty is three months' imprisonment or a fine of £100. Where any person is convicted of negligent or reckless driving or driving or attempting to drive a vehicle while under the influence of drink or a drug to such an extent as to be incapable of having proper control of a motor vehicle the Act provides that, unless the Court directs otherwise, an order must be made cancelling the offender's licence and disqualifying him from obtaining another for a period of at least one year from the date of conviction. By the 1950 amendment application may be made after six months to the Court imposing this penalty for removal of the disqualification. The Act prescribes penalties for careless or inconsiderate driving, certain accident promoting offences (28 days' disqualification), the carnage of intoxicants in a public vehicle, and makes compulsory the reporting to the police of all motor-vehicle accidents involving injury.

Included in the Traffic Regulations 1936, as amended up to and including the 1953 amendment, are the requirements to which motor drivers must conform and which are designed to promote the safety of those using the roads.

The following table shows the nature of the offences resulting in convictions during the four years ended 31 March 1951–54.

Type of Offence1950–511951–521952–531953–54
(a) Road traffic offences—    
  Intoxicated in charge120157207194
  Negligent driving16101818
  Dangerous manner222283383382
  Dangerous speed110141254217
  Careless or inconsiderate driving330296513650
  Exceeding 30 m.p.h.1,7772,3134,3565,284
  Overtaking offences100122199204
  Failing to keep left127272436405
  Failing to yield right of way201215500508
  Driver's licence offences6107289551,187
  Licensing and registration offences429402546920
  Lighting offences5577391,3221,698
  Defective brakes63144266243
  No warrant of fitness9471,1391,9462,194
  Loading offences161215282358
  Exceeding 50 m.p.h.150176399611
  Cycling offences722444436489
  Failing to dip537610898
  Failing to give right of way to pedestrians5146107111
  Exceeding 40 m.p.h. with pillion passenger122234409528
  L plate offences174277510529
  Crossing railway line64767565
  Miscellaneous9999771,7682,955
(b) Heavy motor vehicle offences—    
  Exceeding heavy-traffic licence250465794770
  Exceeding axle load2276551,1691,407
  No heavy-traffic licence242258524565
  Speeding624641657800
  No heavy-traffic disc or class plates20498969
  Miscellaneous515523194
(c) Transport licensing offences—    
  Unlicensed goods service149209310327
  Breach of goods service licence2534145124
  Unlicensed passenger service1414198
  Breach of passenger service licence1510416
  No certificate of fitness212260455368
  No vehicle authority39489486
  Drivers' hours breaches26158
  Overloading1475205102
  Rental car offences31274042
  Miscellaneous transport offences1251522
(d) Miscellaneous offences under miscellaneous Acts and regulations102714764
    Totals10,15812,35920,79824,720

The above table covers only the offences reported by officers of the Transport Department.

TRAFFIC ACCIDENTS ON ROADS.—Motor-vehicle accidents involving death or personal injury are required by law to be reported to the police, and since 15 March 1937 very full particulars of all accidents have been furnished to the Transport Department. For the year ended 31 December 1953, 5,669 such accidents, resulting in 313 fatalities and in injuries to 7,686 other people, were reported. Comparative figures for 1952 and. 1951 years were (1951 figures being given in parentheses): number of accidents, 5,589 (5,224); fatalities 272 (292); persons injured 7,448 (6,938) The increase in the traffic flow over the last few years, caused largely by the increased number of vehicles on the road, has been an important factor in the increase in motor accidents. New Zealand has one of the lowest motor accident death rates (based on deaths per 10,000 licensed motor vehicles) of any of the motorized countries, the New Zealand figure for 1953 being 6.19. Details of the number and nature of road accidents for the five calendar years ended in 1953, which have been compiled by the Transport Department, are as follows.

Nature of AccidentNumber of Accidents
19491950195119521953
Collisions—     
  Between two or more motor vehicles1,3781,5901,9672,2182,224
  Between motor vehicle and bicycle8789021,0561,1011,004
  Between motor vehicle and pedestrian8069289249021,000
  Between motor vehicle and fixed object208249234249289
  Between motor vehicle and animal or horse vehicle2836454547
  Between motor vehicle and railway train3933403937
  Between motor vehicle and tram3937384022
  Multiple and other collisions122188180201214
    Totals, collisions3,4983,9634,4844,7954,837
Non-collisions—     
  Drove off road151177197176202
  Went over bank162182194194245
  Overturned on roadway151187232290254
  Person fell from vehicle1141129210897
  Other1626252634
    Totals, non-collisions594684740794832
      Total accidents4,0924,6475,2245,5895,669

Particulars of fatal motor-vehicle accidents included in the foregoing table are now given. It should be noted that the figures relate to the number of accidents and not to the number of deaths, which, as stated above, numbered 313 in 1953.

Nature of AccidentNumber of Fatal Accidents
19491950195119521953
Collisions, motor vehicle with—     
  Pedestrian4557696079
  Motor vehicle5046556068
  Train109867
  Tram....123
  Bicycle2722363027
  Horse vehicle or animal12124
  Other1928292337
  Otherwise4659737067
    Totals198223272253292

Statistics of deaths resulting from motor-vehicle accidents are available for many years from vital statistics, these figures being discussed briefly in Section 4c.

The following table shows the distribution of motor accidents on the system of roads and streets during the calendar year 1953.

Classification of LocalityFatal AccidentsInjury AccidentsAll Accidents
NumberPercentage of TotalNumberPercentage of TotalNumberPercentage of Total
Four main cities4114.01,60029.81,64128.9
Secondary cities (8)155.164412.065911.6
Boroughs, 6,000 to 20,000 population4515.483115.487615.5
Small boroughs, town districts, and closely populated localities279.361811.564511.4
    Total in built-up areas12843.83,69368.73,82167.4
State highways9532.599918.61,09419.3
Main highways3512.03666.84017.1
Other rural roads3411.73195.93536.2
    Total on rural roads16456.21,68431.31,84832.6
    Total accidents292100.05,377100.05,669100.0

The next table gives an analysis of the more important causes of accidents involving motor vehicles during the year ended 31 December 1953.

CausePercentage of Accidents Where Motorists Considered ResponsiblePercentage of Accidents Where Pedestrians Considered ResponsiblePercentage of Accidents Where Cyclists Considered ResponsiblePercentage of all Miscellaneous Causes
Failure to yield right of way27..25..
Failure to keep left9..6..
Driver/rider inattentive10..15..
Excessive speed8......
Passing or overtaking negligently3......
Skidding4......
Pedestrian crossing roadway heedless of traffic..52....
Pedestrian emerging from behind vehicle or object..16....
Pedestrian stepping into roadway without due care..11....
Pedestrian intoxicated..6....
Pedestrian confused by traffic..2....
Pedestrian walking on roadway when footpath available..2....
Swerving negligently....7..
Failure to give proper signal....5..
Reckless emergence from another road....6..
Door opened in moving vehicle......9
Animals on roadway......11
Passenger riding in insecure position......6
Road surface slippery from rain......10
Narrow road......5
Excessive depth of loose metal......7
Sundry causes39113652
    Totals100100100100

On week days, from Monday to Friday inclusive, the worst hourly period for motor accidents was from 5 p.m. to 6 p.m., on Saturdays from 7 p.m. to 8 p.m., and on Sundays from 4 p.m. to 5 p.m. More accidents occur on Saturday than on any other day of the week.

Chapter 15. SECTION 15—CIVIL AVIATION AND AIR TRANSPORT

Table of Contents

ADMINISTRATION.—Civil Aviation in New Zealand is administered by the Civil Aviation Administration of Air Department. The Air Department was constituted by the Air Department Act of 1937. Prior to that date the control of Civil Aviation, like its military counterpart, was vested in the Defence Department.

The Civil Aviation Act of 1948 provides for the position of Director of Civil Aviation as well as giving effect to the Convention on International Civil Aviation signed at Chicago on behalf of New Zealand on 7 December 1944.

The present organizational structure of the Civil Aviation Administration divides the Branch into three technical divisions—viz., Operations, Airworthiness, and Airways, plus a Directorate Staff and Administration Section. Principal functions of the three Technical Divisions include—

  1. Examining and licensing of flight crews and aircraft maintenance engineers.

  2. Operation of the airways communication and air traffic control systems.

  3. The surveying of, and issuing certificates of airworthiness for, civil aircraft.

  4. Collaboration with the Ministry of Works on airport projects.

  5. Licensing of aerodromes.

  6. The provision and maintenance of radio aids to air navigation.

  7. Operational certification of commercial aircraft operators.

  8. Dissemination of aeronautical and general aviation information.

  9. Liaison with the Royal New Zealand Air Force on matters of common interest and with overseas organizations, particularly the International Civil Aviation Organization.

STAFF.—The staff of the Civil Aviation Administration at 31 March 1954 totalled 646. This figure is inclusive of officers stationed in Fiji, the Cook Islands, and Western Samoa, but excludes local island labour employed at those places.

FACILITIES.—Various facilities for air navigation are provided by the Civil Aviation Administration. Radio navigational aids of different kinds are installed at the more important airfields in New Zealand and in the South West Pacific, as well as en route aids at various points along the internal airways.

In addition, the Civil Aviation Administration has a number of aeradio stations in New Zealand providing air to ground, ground to air, and ground point to point communication facilities, plus communication centres located at Auckland, Christchurch, and Wellington.

The Air Traffic Control system comprises control towers situated at the important aerodromes with Area Control Centres situated at Auckland, Wellington, and Christchurch. In addition, communication facilities are provided at aerodromes in the Cook Islands, Fiji, and Western Samoa. In Fiji an Air Traffic Control Service is also maintained by the Civil Aviation Administration.

As already mentioned, the Civil Aviation Administration is responsible for collaborating with the Ministry of Works on airport planning, with the Ministry undertaking the actual construction and maintenance. At the larger airports in New Zealand and in the South-west Pacific crash/fire facilities are provided by the Civil Aviation Administration.

The Civil Aviation Charges Regulations 1954 prescribe the rates of dues payable by operators for the use of airways and airport facilities provided or maintained by the Crown. Different rates are prescribed in respect of international and domestic operators, and a distinction is made in respect of air transport and other domestic operations. No charges, other than those prescribed by regulations, are to be made for the use of aerodromes or connected facilities without the approval of the Minister in Charge of Civil Aviation.

The administration of Raoul Island in the Kermadec Group and Campbell Island, on which weather reporting stations are located, is another responsibility of the Civil Aviation Administration.

EXPENDITURE.—The total Government expenditure on civil aviation in New Zealand and its island territories in 1953–54 was £1,589,019, compared with £1,541,632 in 1952–53. Expenditure on the South Pacific Trunk Air Route (partly recoverable from South Pacific Air Transport Council Member Governments) was £421,752 in 1953–54 and £413,743 in 1952–53.

AIR SERVICES LICENSING.—Licensing of air services in New Zealand is now vested in the Air Services Licensing Authority which was constituted by the Air Services Licensing Act of 1951. This authority consists of three members appointed by the Crown, and its principal functions are to hear and determine applications for the granting, renewal, or transfer of air service licences. An air service may not be commenced or carried on without a licence granted under the Act except that any aero club affiliated to the Royal New Zealand Aero Club (Inc.) may carry club members in club owned or hired aircraft without such a licence.

For the year 1953–54, 102 applications were received for air service licences. During the current year, one licence to operate helicopter services in New Zealand was granted, and this covers the first commercial helicopter to arrive in the country.

The following table summarizes the disposition of licences and applications during the year 1953–54.

CategoryTotal to 31 March 1953Applications Received During Year Ended 31 March 1954Total at 31 March 1954
GrantedDeclinedWithdrawn or LapsedAdjourned Sine DieAdjourned for Further HearingAwaiting Disposal
By New Continuous LicenceBy Temporary LicenceBy Amendment to Existing Licence
Aerial top-dressing539..1221....684
Other aerial work539..1221......84
Scheduled services275..311....138
Non-scheduled services55325..1....167
Joy-riding (excluding aero clubs)3....2........16
Photography73..1........11..
Mapping and survey work 2..1........ 5
Advertising62..5...........13
    Totals20633241542..15308

Provision also is made in the Air Services Licensing Act for the appointment of an Appeal Authority of one member. Two appeals were lodged in 1953–54, of which one was allowed, and the other had not been heard by the end of the year.

NEW ZEALAND NATIONAL AIRWAYS CORPORATION.—The operation of the internal air services is no longer under the complete control of the National Airways Corporation, as provision was made for other operators to run services under the Air Services Licensing Act 1951 previously mentioned. However, the bulk of the internal scheduled services are still operated by the Corporation. Information concerning the establishment of the National Airways Corporation and its duties and functions may be found on pages 329–330 of the 1951–52 Year-Book.

The Corporation's operating revenue figures for the year ended 31 March 1954, together with those for the two preceding years, are as follows.

 1951–521952–531953–54
 £££
Passenger fares1,324,6061,475,3301,742,942
Excess baggage22,57020,68424,376
Freight184,603138,554198,814
Mail99,22872,74877,434
Charters48,27513,93625,848
Incidental revenue50,20055,34133,710
    Totals1,729,4821,776,5932,103,124

Operating expenditure in 1953–54 totalled £2,034,723 (including depreciation on equipment), as compared with £1,713,519 in 1952–53 and £1,527,120 in 1951–52. The Corporation thus enjoyed a successful year financially. After allowing for interest on capital a net profit of £44,717 was made in 1953–54, the corresponding figure for 1952–53 being £22,564. Of the total of £44,717, a sum of £14,962 was paid into the Public Account and £10,000 transferred to insurance reserve.

FLYING OPERATIONS: Domestic Scheduled Services.—Scheduled air transport operations over specific routes were first commenced in New Zealand in December 1934, on the route Inch-bonnie – Hokitika – Franz Josef Glacier, on the West Coast of the South Island. Subsequent extensions of services up to the outbreak of war in September 1939 had covered almost the whole of New Zealand. During 1946 and 1947 the New Zealand National Airways Corporation absorbed all then existing scheduled commercial services, and by adding to the fleet of aircraft was able to commence new services.

In February 1953 a scheduled service between Christchurch and Oamaru via Ashburton and Timaru was commenced by South Island Airways, Ltd., followed by a Christchurch to Nelson service during 1954.

At 31 March 1954 domestic scheduled services were being operated on the following routes.

Route No.Terminating Sector PointsIntermediate StopsRoute MilesScheduled Frequency
New Zealand National Airways Corporation
1Auckland-WhangareiNil723 return trips daily.
 Auckland-KaitaiaKaikohe1421 return trip daily.
2Auckland-DunedinWellington, Christchurch703I trip south and one north daily.
 Auckland-DunedinWellington7011 trip south daily.
 Auckland-ChristchurchWellington5052 return trips daily.
 Auckland-ChristchurchNil4791 return trip daily.
 Auckland-WellingtonNil2871 trip south daily plus 1 return trip weekly.
 Palmerston North–WellingtonNil521 return trip daily.
 Wellington-ChristchurchNil2181 trip south daily, plus 1 return trip weekly.
 Wellington-DunedinChristchurch4162 south trips and 1 trip north daily.
 Wellington-ChristchurchNil2184 return trips weekly and as required.
3Auckland-ChristchurchHamilton, Palmerston North, Blenheim5241 return trip daily.
4Dunedin-InvercargillNil1074 return trips daily.
5Auckland-RotoruaNil1341 return trip daily.
 Rotorua-HamiltonNil551 return trip daily.
 Hamilton-WellingtonNil2131 return trip daily.
6Auckland-GisborneNil2231 return trip daily.
 Auckland-GisborneTauranga2261 return trip daily.
7Gisborne-WellingtonNapier, Palmerston North2261 return trip daily.
 Gisborne-WellingtonNapier2251 return trip daily.
8Auckland-WellingtonNew Plymouth, Palmerston North3321 return trip daily.
 Auckland-WellingtonNew Plymouth2981 return trip daily.
9Rongotai-BlenheimNil505 return trips daily plus 2 return trips weekly.
 Rongotai-NelsonNil836 return trips daily.
 Wellington-NelsonNil963 return trips daily.
10Nelson-WestportNil951 return trip daily.
11Westport-HokitikaNil751 return trip daily.
12Hokitika-HaastWaiho1253 return trips weekly and as required.
South Island Airways, Ltd.
13Christchurch-OamaruAshburton, Timaru1332 return flights weekly.
 Christchurch-TimaruNil924 return flights weekly.
14Christchurch-NelsonNil2002 return flights weekly.
Straits Air Freight Express, Ltd.
15Wellington-NelsonNil96Daily as required.
 Wellington-BlenheimNil72

The following table gives the summarized results of the operations of scheduled commercial air services during the last seven years. Statistics for the New Zealand Railways Freight Service are excluded.

Year Ended 31 MarchHours FlownMiles FlownPassengersFreight (lb.)*Mail (lb.)Passenger-milesFreight Ton-milesMail Ton-miles

* Includes excess baggage.

† Includes excess baggage ton-miles.

194826,7353,320,992154,3291,211,345597,23135,695,285126,01097,310
194931,3864,015,831174,8361,934,626752,49244,323,199242,846108,580
195035,2494,508,306204,7072,757,701873,30549,478,365351,175121,251
195134,0664,369,308238,4055,724,341916,68859,744,623658,817128,920
195237,1914,818,331303,04810,880,8221,782,08478,351,8051,351,088238,507
195337,0494,739,727312,4227,834,8681,123,62679,512,1391,010,009146,457
195444,0475,504,250370,00610,490,8921,740,49589,956,7431,366,220174,132

Aircraft used in the operation of services on these routes were—

Douglas D.C. 321
Douglas C.47B (Freighter)2
D.H. 89B Dominie8
D.H. 83 Fox Moth1
D.H. Heron4
Bristol Freighters2
    Total38

During the year ended 31 March 1954, 370,006 passengers, 50,988,573 lb. of freight, and 1,740,495 lb. of mail were carried on these services. Of the total amount of freight carried 40,497,681 lb. was carried by the New Zealand Railways Rail/Air Freight Service.

Cook Strait Rail/Air Freight Service.—The New Zealand Railways Air Freight Service was commenced officially in February of 1947 following a number of special inter-island freight flights which had been carried out by the Royal New Zealand Air Force at the request of the Railways Department to meet a shipping emergency. With the introduction of the Cook Strait Rail/Air Freight Services, delays caused by lack of shipping space and industrial troubles were somewhat alleviated. The service was conducted by the R.N.Z.A.F. operating Dakota aircraft until June 1947, when the service was handed over to the New Zealand National Airways Corporation, which continued to operate with Dakotas.

In 1950 the Railways Department decided to allow private enterprise the opportunity of tendering for the contract to run the service, and the successful tenderer was Straits Air Freight Express, Ltd., which took over on 1 April 1951. The service is at present (January 1955) being maintained by two Bristol Freighters on a daily basis, the number of trips varying according to the amount of cargo offering.

Traffic statistics for this freight service for the years 1947 to 1954 are as follows.

Year Ended 31 MarchTrips FlownHours FlownMiles FlownFreight (lb.)Freight Ton-miles
194729917322,5852,040,10171,297
19481,7861,114138,26613,081,232448,891
19492,2301,482181,63017,286,265600,682
19503,0181,949232,04221,789,779745,781
19514,2972,781320,51431,293,3291,045,558
19524,5412,461335,71449,671,1251,644,051
19532,9131,412213,45933,879,4451,106,476
19543,9371,954293,89240,497,6811,360,322

Non-scheduled Air Services.—In addition to the scheduled services mentioned above, charter and taxi flights were carried out by New Zealand National Airways Corporation as well as by other companies, including Tasman Empire Airways, Ltd., which operated flights to the Chatham Islands as required; the Chatham Islands service has, however, been discontinued since April 1954. Aero clubs also operated air services on a charter basis. The following is a traffic summary of these services for the years ended 31 March 1953 and 1954.

1952–531953–54
Commercial CompaniesAero ClubsTotalCommercial CompaniesAero ClubsTotal
Number of flights6,1068,51814,6247,2426,05413,296
Hours flown4,6145,60310,2175,2343,9869,220
Miles flown504,557512,0351,016,592592,389361,802954,191
Passengers carried13,59615,96029,55617,31310,55027,863
Freight carried (lb.)4,280,22521,4874,301,7126,769,89858,2766,828,174

Aerial Work Operations.—The Royal New Zealand Air Force undertook extensive trials in the dropping of fertilizer from the air in 1948 at the request of the Soil Conservation and Rivers Control Council, which was interested in aerial top-dressing as a means of improving hill pastures and checking and preventing soil erosion. As the R.N.Z.A.F. experiments were successful and showed the distinct possibilities of aerial top-dressing as a commercial proposition, interest among the farming community quickened, and private firms commenced operations in 1949 assisted by the knowledge and experience gained in the official trials. Spectacular progress has resulted since the commencement of commercial operations, and the number of firms engaged in aerial top-dressing has grown from 9 at the end of 1949 to 45 in September 1954. The number of aircraft also has shown a striking increase, from 12 aircraft in December 1949 to more than 200 in September 1954. To the end of March 1954 a total of 4,585,307 acres had been top-dressed from the air, a figure which shows that the importance of aerial top-dressing is appreciated by the farming community of New Zealand.

Although not as prominent as aerial top-dressing, other aerial work activities are rendering invaluable services to farmers and others. The dropping of rabbit poison, supplies, and fencing materials from the air, aerial seed sowing, spraying and dusting of crops and noxious weeds, are important phases of aerial-work operations.

The dropping of supplies to deer cullers and fencing materials in remote areas showed a decrease over last year's figures, the total weight dropped in 1953–54 being 113 tons as against 140 tons for the year ended 31 March 1953.

A summary of aerial work operations for the year ended 31 March 1954 follows:

Top-dressing— 
  Hours flown54,038
  Fertilizer distributed (tons)203,110
  Area treated (acres)1,929,499
Seed sowing— 
  Hours flown312
  Seed sown (tons)211
  Area treated (acres)37,251
Rabbit poisoning— 
  Hours flown3,501
  Bait distributed (tons)2,787
Spraying of noxious weeds— 
  Hours flown196
  Weed-killer and insecticide distributed (gallons)25,658
Aerial photography and survey— 
  Hours flown329

International Services.—In March-April 1954 broad proposals for the reorganization of the Pacific air services were announced. Tasman Empire Airways is now owned equally by the New Zealand and Australian Governments and was re-equipped with D.C. 6 pressurized land planes previously operated by British Commonwealth Pacific Airlines. These aircraft are based in New Zealand, and the company uses the land-based aircraft to replace the previous flying-boats in services to Australia and to Fiji.

The services formerly carried out by British Commonwealth Pacific Airlines between Australia and North America were taken over by Australia and integrated with the Kangaroo services now operated by Qantas Empire Airways, which continues in partnership with British Overseas Airways Corporation on the Kangaroo route; New Zealand withdrew from the British Commonwealth Pacific Airlines, which was then wound up.

Tasman Empire Airways, Ltd.—An air service from Australia to New Zealand across the Tasman Sea is the last stage of an air route from the United Kingdom to New Zealand. The first survey of this route was undertaken by Imperial Airways, Ltd., of London, in 1937. Subsequently a company known as Tasman Empire Airways, Ltd., was formed to operate a proposed trans-Tasman air service. The share capital was subscribed by the Governments of the United Kingdom, Australia, and New Zealand, the share proportions being 20, 30, and 50 per cent respectively. Later it became equally owned by Australia and New Zealand.

On 30 April 1940 the Auckland-Sydney service commenced. In June 1950 the company took over from New Zealand National Airways Corporation the Auckland-Suva service. The Wellington-Sydney service was inaugurated on 3 October 1950 and the Christchurch-Melbourne service on 28 June 1951. With the withdrawal of the Short Solent flying boats from the trans-Tasman routes, the Wellington-Sydney service was discontinued in June 1954 and a new service from Christchurch to Sydney using the Douglas D.C. 6's was commenced in the following month. The same type of aircraft were also employed on the Auckland-Fiji route as from June 1954.

The Coral Route to Tahiti via Suva and Aitutaki was inaugurated in December 1951 with a frequency of one return trip monthly. This was increased to one return trip fortnightly in May 1952. In October 1952 Apia in Western Samoa was added to the route, and in August 1953 a service to Tonga was inaugurated. Short Solent flying boats are still used on this route, which now commences at Fiji.

The following routes were operating at 30 November 1954.

Route No.RouteRoute MilesScheduled Frequency
1Auckland-Sydney1,3426 return trips weekly.
2Christchurch-Sydney1,3422 return trips weekly.
3Christchurch-Melbourne1,5021 return trip weekly.
4Auckland-Nandi1,3302 return trips weekly.
5Auckland-Suva—  
   Suva-Papeete, via Apia, Aitutaki2,2232 return trips monthly.
   Suva-Tonga4801 return trip monthly.

Revenue traffic statistics for the year ended 31 March 1954 are given below.

ItemAuckland-SydneyWellington-SydneyChristchurch-MelbourneAuckland-PapeeteTotal
Hours flown3,3832,9498911,8609,083
Miles flown635,124549,763162,216336,3481,683,451
Passengers14,57012,2964,0225,02235,910
Passenger-miles19,552,94017,103,7366,041,0448,037,96750,735,687
Available seat-miles24,879,33820,927,5957,239,64012,640,79965,687,372
Passenger load factor (per cent)78.5981.7383.4463.5977.24
Cargo (lb)—     
  Freight307,403201,44762,47951,736623,065
  Excess baggage39,10635,4567,78214,55096,894
  Mail344,208368,45310,74154,671778,073
Ton-miles flown—     
  Passenger1,870,3341,639,119576,502758,2054,844,160
  Excess baggage23,42822,0185,21611,11361,775
  Freight184,169125,09241,89335,919387,073
Mail206,216228,8027,20338,143480,364
      Total ton-miles2,284,1472,015,031630,814843,3805,773,372
Available capacity ton-miles3,049,1862,464,399811,1851,446,8337,771,603
Overall load factor (percent)74.9181.7777.7658.2974.29

The following is a summary of traffic statistics for Tasman Empire Airways, Ltd., for the last five years, and includes services flown by other airlines under charter to the company.

Year Ended 31 MarchHours FlownMiles FlownPassengersFreight*MailPassenger-milesFreight Ton-milesMail Ton-miles

* Includes excess baggage.

† Includes excess baggage ton-miles.

19506,6601,183,64422,579361,623405,58730,301,018216,337243,046
19517,0261,325,38431,233561,779461,79241,845,054336,223276,538
19529,7381,817,54742,3011,675,447665,20658,037,2771,008,468403,323
19539,4861,790,71236,898620,252728,48554,845,653381,516448,217
19549,0831,683,45135,910719,959778,07350,735,687448,848480,364

New Zealand National Airways Corporation.—The handing over of the Regional Services in the South-west Pacific to Tasman Empire Airways, Ltd., was completed on 31 October 1952, when the last flight from Rarotonga to Auckland via Aitutaki, Faleolo, and Nandi commenced. The service to Tonga had previously been discontinued in July 1951. The only international service now being operated by the New Zealand National Airways Corporation is to Norfolk Island, on a frequency of one return trip weekly, the route mileage being 661 miles. The service to Norfolk Island, however, is to be taken over by Tasman Empire Airways Ltd. from 1 March 1955, using D.C. 6 aircraft.

Revenue traffic statistics for these routes for the years ended 31 March 1953 and 1954 are as follows.

Item1952–531953–54*

* Auckland-Norfolk Island service only.

Hours flown1,571813
Miles flown245,793126,912
Passengers3,4082,490
Passenger-miles2,795,0751,645,890
Available seat-miles3,585,6002,022,650
Passenger load factor (per cent)77.9581.37
Cargo (lb.)—  
  Freight88,20591,177
  Excess baggage8,3954,899
  Mail24,2524,004
Ton-miles flown—  
  Passenger242,125143,181
  Excess baggage2,9371,445
  Freight27,83826,904
  Mail12,0021,180
    Totals284,902172,710
Available capacity ton-miles363,774204,482
Overall load factor (per cent)78.3184.46

Pan American World ways, Inc.—The service between San Francisco and Auckland via Honolulu, Kingman Reef, and Pago Pago was commenced by Pan American Airways after a survey flight from Honolulu to Auckland in December 1937, but was discontinued after an accident to a Clipper aircraft on 11 January 1938. The service was resumed in 1940 on a reduced schedule, the first flight terminating at Auckland on 18 July 1940. Operations ceased in December 1941 after the outbreak of hostilities with Japan.

This organization recommenced services in the Pacific on 6 June 1946, over the route Auckland – San Francisco (via Fiji, Canton Island, and Honolulu). Aircraft employed at present between Auckland and Fiji are Douglas D.C. 4's. The frequency is two return trips weekly.

Canadian Pacific Air Lines.—Under the terms of the Air Transport Agreement of 1950 between New Zealand and Canada, Canadian Pacific Air Lines was selected as the Canadian airline to operate across the Pacific to New Zealand. Canadian Pacific Air Lines originally intended to commence operations to New Zealand in January 1951 but, as many of its aircraft were participating in the transport under charter, of military personnel and cargo to the United Nations forces in Korea at the time, the service was not actually commenced until January 1952. The route at present followed is Vancouver – Honolulu – Nandi (Fiji) – Auckland. Canadian Pacific Air Lines use Douglas D.C. 6B aircraft on the route.

Revenue Traffic Statistics for Overseas Airlines (C.P.A., P.A.W.A., and B.C.P.A.).—Revenue traffic statistics for Canadian Pacific Air Lines, Pan American World Airways, and British Commonwealth Air Lines to and from New Zealand for the year ended March 1954, together with the totals for 1952–53, are given below.

Year Ended March 1954Total 1953–54Total 1952–53
C.P.A.P.A.W.A.B.C.P.A.*

* Ceased operations in early 1954.

Hours flown3,5585,8442,89412,2968,118
Miles flown900,9001,335,096761,0872,997,0831,953,173
Traffic entering New Zealand—     
Passengers6641,2301,3553,2493,041
Freight (lb.)4,93380,51978,955164,40782,326
Mail (lb.)1,07028,5814,37834,02921,734
Traffic leaving New Zealand——     
Passengers4821,0031,2182,7032,682
Freight (lb.)69013,14722,68136,51826,126
Mail (lb.)2,0201,08712,65315,76013,439

Entrances and Clearances of Aircraft in the Overseas Trade.—The following figures supplied by the Customs Department give the number of aircraft entering New Zealand classified by the countries from which they arrived, and aircraft departing by the countries to which they departed, during the calendar years 1953 and 1954. Air freight carried is also shown for the same years.

Country from Which Arrived or to Which DepartedEntrancesClearances
NumberAir Freight (lb.)NumberAir Freight (lb.)
19531954195319541953195419531954
United Kingdom7..715..........
Canada776050,39345,17467586,3696,650
Fiji54979,38555,354639617,79555,794
Norfolk Island1008232,89513,507988864,26861,091
Australia542557474,753603,757562567117,413158,119
Malaya1..............
Cook Islands3..2,146..3..3,936..
Western Samoa9..1,266..2176189
Netherlands..1....2..2,240..
United States of America109115163,730205,69399102305,312297,397
Hawaii..........5..755
Society Islands1672,6011,72125919,3485,987
    Totals918919737,884925,206921926536,757585,982

AERO CLUBS.—Practical interest in aviation was greatly stimulated by the first trans-Tasman flight of Kingsford-Smith and Ulm in 1928, and to this flight the aero-club movement largely owes its inception. The steady progress made by the movement has been in a great measure due to the scheme initiated by the Government of subsidizing a limited number of light aeroplane clubs. This subsidy (abolished from 31 March 1937) took the form of the loan of light aircraft and payments to clubs on account of pupils qualifying for their “A" flying licences, and for male pilots renewing their licences. The payment of subsidy was discontinued on the institution of the Civil Reserve scheme, by which the Government entered into an agreement with approved clubs for the training of civil reservists and Air Force candidates. On the outbreak of war in September 1939 the Government took over all aircraft suitable for training purposes, so that training operations of the clubs had to be suspended in most cases. The remaining clubs continued operations until December 1941, when, after the Japanese entry into the war, all civil flying with the exception of commercial scheduled services was prohibited under Proclamation issued by the Governor-General. This prohibition was lifted on 24 December 1945. After the cessation of hostilities an immediate resumption of club activities was not possible because of non-availability of accommodation at aerodromes and the shortage of qualified instructors. However, by 31 March 1946 there were four clubs again in operation, the number rising in later years, and in March 1954, 22 aero clubs were affiliated to the Royal New Zealand Aero Club.

The aircraft which had been purchased from the aero clubs by the Government at the outbreak of war were resold to the clubs to facilitate an early resumption of their activities. In addition, a number of Tiger Moths were presented free to the aero clubs by the Government. Assistance was also given to the clubs through the Air Training Corps flying training plan. This plan, which was inaugurated in 1947, provides for training by the clubs of selected Air Training Corps cadets, and Government subsidies are paid in connection therewith.

Also the aero clubs undertook the responsibility of providing annual refresher courses for R.N.Z.A.F. Active Reserve instructors, for which payment was made by the Government. The additional revenue received by the clubs for Air Training Corps and other instruction for the year ended 31 March 1954 amounted to £26,027.

The next table gives a summary of the training activities of aero clubs for the last five years.

Year Ended 31 MarchClubs OperatingMembershipAircraft in UseHours FlownAb Initio Pupils Under Training
AssociateFlyingDualSolo
1950243,9602,5771067,78418,939411
1951223,4672,613846,06015,937348
1952213,3292,517756,02514,757392
1953233,2042,359846,15016,328505
1954223,0452,338756,27715,899569

LICENCES.—A summary of licences and certificates current at 31 March 1954 is given below.

LicencesNumber at 31 March 1954
Flight Crew (I.C.A.O.) Type— 
 Pilot Licences— 
  Student Pilot873
  Private Pilot543
  Commercial Pilot357
  Senior Commercial Pilot1
  Airline Transport Pilot124
 Pilot Licence Ratings— 
  Instructor96
  Instrument172
Navigator Licences— 
  Flight Navigator37
 Licences to Operate Radio Equipment in Aircraft— 
  Flight Radio Operator15
  Flight Radio Telephone Operator140
  Restricted Flight Radio Operator104
 Flight Engineer Licences— 
  Flight Engineer15
Other Licences, Certificates, etc.— 
  Aircraft Maintenance Engineer Licences275
Aircraft— 
  Certificates of Registration454
  Certificates of Airworthiness380
Aerodromes— 
  Public Licences75
Authorities in Lieu of Passports— 
  Crew member certificates (for stewards, etc.)30
  Special endorsement(s) (for licensed flight crew)68
Air Service Certificates32

METEOROLOGICAL FACILITIES.—The provision of meteorological information for the use of civil and military aircraft operating within New Zealand or on trans-ocean routes in the South West Pacific region is one of the functions of the New Zealand Meteorological Service. The head office and general forecast office are located at Wellington, and branch forecasting offices are maintained principally for aviation purposes at Nandi (Fiji), Auckland, Ohakea, Paraparaumu, Christchurch, and Taieri (Dunedin).

Weather reports are collected by telegraph and radio at three-hourly or six-hourly intervals from approximately 110 stations within New Zealand and 40 on islands of the South West Pacific. Most of the reports are prepared by airfield, telegraph, or lighthouse officials. Twenty airfields report hourly. In addition, routine measurements of the temperature and humidity in the upper atmosphere are made by balloon-borne radiosos released from five stations, and radar tracking of balloons is employed for wind measurement at six stations. The collected reports are broadcast from Wellington and Nandi for the benefit of neighbouring Services. Similar information is received from Australia and other Pacific administrations.

Forecasting and other services for aviation are provided in accordance with recognized international procedures and agreements. Detailed written forecasts are made available to all scheduled commercial aircraft and supplemented where possible by personal discussion.

Pilots operating from airfields not staffed by meteorological personnel may obtain forecasts and other information by telephone.

AIR MAILS: Inland.—From 1920 onwards various attempts were made to operate air-mail services, but it was not until the inauguration of a service between Hokitika and South Westland in January 1934 that a service of any permanency was established. The district served in this instance is one which possesses very poor transport facilities; and, though the population is sparse and the area small, the carriage of mails by air has great advantages over a land service. It is for this reason that no surcharge is made on the mail matter carried by this service.

On 16 March 1936 the first regular air-mail services linking up the larger centres of population were established between Palmerston North and Dunedin, and between Nelson, Blenheim, and Wellington. As air services increased in frequency and extent the air-mail facilities were correspondingly expanded. The present network extends from Kaitaia to Invercargill.

The rate of postage for inland air-mail correspondence was originally 2d. per ounce, but from October 1939 to 29 February 1952 it was 3d. per half-ounce. Since 1 March 1952 the rate has been fixed at 4d. per half-ounce. For parcels up to 28 lb., the rates range from 2s. 6d. to 15s.

The numbers of letters and parcels carried by air in New Zealand during the years 1943–44 to 1953–54 are shown hereunder.

Year Ended 31 MarchLettersParcels

* Abnormal increase due to interruption of surface connections owing to industrial dispute.

19444,436,92018,760
19457,055,90025,690
19467,968,92032,204
194711,368,00048,298
194813,008,08065,205
194913,542,72077,607
195013,839,60091,226
195114,206,00099,575
195219,089,800*217,726*
195314,577,960150,680
195414,590,360151,222

Overseas: Trans-Tasman Air Services.—The first flight of the regular trans-Tasman service linking Auckland and Sydney took place on 30 April 1940, connection being made at Sydney with the Empire service to London. A service between Wellington and Sydney was commenced on 3 October 1950, and continued until 25 June 1954, when it was replaced by a service from Christchurch to Sydney, the first flight in this service being made on 28 June 1954. Direct flights between Christchurch and Melbourne were commenced on 28 June 1951. In normal weeks there are now seven to nine flights weekly between New Zealand and Australia.

New Zealand – United Kingdom Air Service.—The Empire service had been extended to Sydney in December 1934 but, until the establishment of the direct air link across the Tasman in April 1940, it was necessary for air mails to be forwarded by sea from New Zealand to Sydney. In June 1940 the through service from New Zealand to London was interrupted with the entry of Italy into the war, and it was necessary for air correspondence from New Zealand for the United Kingdom to be forwarded by air via Egypt to South Africa, and thence by sea to destination. Following the entry of Japan into the war the service beyond Australia was totally interrupted in March 1942; and it was not until 30 June 1944 that the through service from Australia to the United Kingdom was restored. The service is now operating six times weekly between Sydney and London, the transit time New Zealand to the United Kingdom being normally five to six days.

Trans-Pacific Services.—The trans-Pacific service operating on a regular fortnightly schedule between New Zealand and North America commenced on 20 July 1940, the route followed being via Noumea, Suva, Canton Island, and Honolulu. This service, which was operated by Pan American Airways, ceased on the entry of Japan into the war in December 1941, and it was not until 20 September 1945 that arrangements of a temporary nature were made for the resumption of the conveyance of civilian air-mail correspondence for North America by the Royal Air Force Transport Command service, the route followed being via Suva, Canton Island, and Honolulu. The Royal Air Force Transport Command service ceased on 18 December 1945. The Pan American air service was recommenced on 6 June 1946, and is now on a regular twice-weekly schedule, the route being via Suva, Canton Island, and Honolulu to San Francisco. On 25 April 1947 British Commonwealth Pacific Airlines commenced a direct service from Auckland to Vancouver, via Suva, Honolulu, and San Francisco, the service being a fortnightly one. In February 1949 the frequency was increased to once weekly. The service operated by British Commonwealth Pacific Airlines was taken over in April 1954 by Qantas, operating from Sydney to San Francisco. Connections with Qantas are made twice weekly at. Nandi (Fiji) by Tasman Empire Airways planes from Auckland. A service between Auckland and Vancouver by Canadian Pacific Air Lines was commenced on 2 February 1952.

Regional Pacific Services.—Services from New Zealand to Norfolk Island, Fiji, Tonga, Samoa, and the Cook Islands operated by the R.N.Z.A.F. in the immediate post-war period were placed under the control of the National Airways Corporation on 1 November 1947. Tasman Empire Airways subsequently took over the Auckland-Fiji service on 6 November 1950, and on 27 December 1951 extended this service to Aitutaki (Cook Islands) and Papeete (French Oceania). On 14 October 1952 Tasman Empire Airways finally replaced the National Airways Corporation services to the Pacific by including Apia (Samoa) in their services; while an extension to Tonga was made in August 1953. From 31 October 1952 the only place beyond New Zealand served by National Airways Corporation was Norfolk Island.

Chapter 16. SECTION 16—POSTAL AND TELEGRAPHIC

Table of Contents

POSTAL BUSINESS.—At 31 March 1954 there were 1,445 post offices in New Zealand. In addition, there were 333 offices at which telephone business only was transacted.

The following table shows the numbers of articles posted during the years ended 31 March 1950 to 1954.

Year Ended 31 MarchLetters, Lettercards, and PostcardsAccounts, Circulars, Newspapers, Packets, etc.Parcels
1950169,798,000165,041,0008,185,000
1951178,857,000171,487,0007,839,000
1952174,591,000164,781,0007,282,000
1953176,895,000173,638,0007,078,000
1954173,532,000179,408,0006,406,000

Compared with the year ended 31 March 1953 letters, lettercards, and postcards posted during the year ended 31 March 1954 showed a decrease of 3,363,000 (2 per cent); and accounts, circulars, etc., an increase of 5,770,000 (3 per cent). Parcel postings dropped by 672,000 during the year,

The average numbers of letters, etc., posted in New Zealand per head of population during the year ended 31 March 1954 were: letters, lettercards, and postcards, 87; accounts, circulars, newspapers, packets, etc., 89; parcels, 3.5.

During the 1953–54 year, 364,759 lb. of letters and 151,222 parcels were posted by inland air mails, and 198,248 lb. of letters, and 19,780 lb. of parcels were posted by overseas air mail.

RURAL MAIL DELIVERY.—The rural-mail-delivery system was instituted in New Zealand about 1900, but, as the boxholders were generally called upon to meet part of the cost, development was slow until 1922. In that year the system was altered and a fee was introduced, the rates being 10s. per annum for a delivery of thrice weekly or less and £1 per annum for a greater frequency. The system showed gradual development until 1947, when a review of postal facilities in rural areas was commenced which resulted in a considerable increase in the number of boxholders. The growth of this scheme can be gauged from the following figures: 1921, 8,700; 1940, 32,382; 1950, 51,827; and in March 1954, 61,424 boxholders.

The rural delivery system enables country settlers to obtain postal notes, money orders, and stamps, to register correspondence, and to collect or post their mail in boxes at or near their gates. The deliveries are generally performed by contractors who handle the mail in conjunction with the carriage of goods, and thus the rural-mail delivery is in many areas the medium by which settlers obtain their newspapers, bread, parcels, etc.

AIR-MAIL SERVICE.—Details of the New Zealand air-mail service are given at the end of the preceding Section.

OVERSEAS PARCEL-POST.—The facilities afforded for the transmission of parcels through the Post Office to places within and beyond New Zealand have proved of much convenience to the public. The regulations admit of parcels up to 22 lb. in weight being sent to Great Britain and Northern Ireland and many other countries, but to South Africa, and a few other countries the

weight limit is 11 lb. Inland parcels may weigh up to 28 lb. Particulars of overseas parcels received and despatched in each of the years 1950 to 1954 are contained in the following table.

YearOverseas Parcels ReceivedOverseas Parcels Despatched
NumberWeightCustoms DutyNumberWeight
  lb.£ lb.
1950340,0822,679,932539,265572,4055,369,425
1951470,0353,703,993561,309509,9464,838,980
1952393,9603,104,5031,079,971489,7544,647,374
1953354,1383,010,673616,254439,7143,720,098
1954424,4833,926,468780,170240,6972,090,128

NEWSPAPERS.—In October 1954 there were 292 publications on the Post Office Register of Newspapers. Of these, 42 are published daily, 10 being morning papers and 32 evening papers. Eleven appear three times per week, 20 twice per week, 71 weekly, 17 fortnightly, 130 monthly, and 1 at irregular intervals.

MONEY-ORDER AND POSTAL-NOTE SERVICES.—Details of these services are given below.

Money-orders.—New Zealand has reciprocal money-order agreements with all British Commonwealth countries and also with the United States of America, the Republic of Ireland, and Tonga. Money-orders may also be issued in New Zealand for payment in any other country with which the United Kingdom has exchanges of money-orders.

For payment within New Zealand the maximum amount for a single order is £100, but there is no limit to the amount which may be remitted. The commission is computed on each individual order. Commission on inland money-orders is 7d. for the first £10 and 3d. for each additional £5 or part thereof.

A money-order may be transmitted by telegraph for the additional telegraph charge of 1s. 9d.

For money-orders issued for payment overseas there is a limit for most countries of £40 for a single order, but for some countries the limit is £10. There are two special rates of commission, one rate applying to Australia (and countries advised through Australia), Fiji, Norfolk Island, and Tonga, and the other rate to all other countries.

During 1953, 1,136,349 money-orders were issued in New Zealand for a total of £14,666,638, and of that total 64,838 orders of a value of £271,977 were issued for payment overseas.

Money-orders issued overseas for payment in New Zealand in 1953 numbered 26,444 and totalled in value £124,328.

The analysis of the overseas money-order business for 1953 is given below.

Country of Issue or PaymentOrders Issued in New Zealand for Payment OverseasOrders Issued Overseas for Payment in New Zealand
NumberValueNumberValue

* No service to New Zealand.

  £ £
United Kingdom27,108171,4298,49561,714
Australia33,24771,12510,73220,644
Canada1487821,2724,613
Ceylon17891526
Fiji6727,4661,6446,716
Hong Kong4538210128
India7986,482225299
Republic of Ireland9528,03069455
Norfolk Island1634594366,562
Pakistan60506**
South Africa4292,0993902,358
United States of America1,1322,6562,53111,249
Tonga674726259,564
    Totals64,838271,97726,444124,328

The following table gives particulars of all money-orders issued and paid during each of the last five years,

Year Ended 31 DecemberNumber of Offices at End of YearMoney-orders IssuedMoney-orders Paid
NumberValueCommissionNumberValue
   ££ £
1949970952,21410,855,64831,393934,26210,821,786
1950975977,00011,638,09133,577948,49111,540,875
19519731,026,51012,680,89836,544987,39612,550,991
19529721,090,86214,373,89139,5561,055,77214,283,987
19539701,136,34914,666,63841,9031,089,69914,475,814

Postal Notes.—Postal notes in thirty-nine denominations ranging from 1s. to 20s. are issued in New Zealand for payment within New Zealand, Niue, the Cook Islands, and Western Samoa. The poundage payable is as follows: 1s. to 2s. 6d., 2d.; 3s. to 7s. 6d., 3d.; 8s. to 15s., 4d.; and 15s. 6d. to 20s., 5d.

Postal notes are negotiable, and their period of validity is unlimited. They are, therefore, a popular medium for making small inland remittances by post, and during the year ended 31 March 1954, 2,230,167 postal notes valued at £1,080,076 were purchased by the public.

Information regarding the issue and payment of postal notes is given below.

Year Ended 31 MarchNumber of Offices at End of YearPostal Notes IssuedPostal Notes Paid
NumberValue*CommissionNumberValue

* Value figures are inclusive of commission shown in next column.

   ££ £
19501,1232,460,7621,119,66736,4012,457,2031,078,641
19511,1302,371,5771,083,97734,6592,386,3541,049,851
19521,1262,349,8901,115,56435,6642,337,9821,075,228
19531,1182,297,2391,101,00435,1992,287,9081,066,761
19541,1052,230,1671,080,07634,5172,226,7291,044,959

British Postal Orders.—These are both issued and paid in New Zealand. Denominations sold in this country are 6d., 1s., 1s. 6d., 2s., 2s. 6d., 3s., 5s., 10s., 15s., and 20s. The commission payable ranges from 2d. to 6d.

As these orders are payable in several British Commonwealth countries they are a popular medium for making small postal remittances to overseas countries, particularly the United Kingdom.

During the year ended 31 March 1954 the Post Office sold 273,206 British postal orders valued at £190,661 and paid 46,859 orders valued at £39,440.

TELEGRAPH AND TELEPHONE SERVICES.—Up to 31 March 1954 a total sum of £35,586,389 had been expended on telegraph construction, including the construction of telephone exchanges. The amount expended during the financial year 1953–54 was £3,934,379.

During the year ended 31 March 1954 the revenue from telegrams and toll communications was £4,175,180, of which £717,336 represented ordinary telegrams, £109,565 press telegrams, and £3,348,279 toll communications. To these figures should be added £4,820,395 revenue of telephone exchanges and £357,557 miscellaneous receipts, making a total telegraph and telephone revenue of £9,353,132. The mechanized system of accounting for telephone rentals and tolls, with bi-monthly accounts, is now in full operation.

The handling time of telegrams has been slightly improved upon in the year, but delivery, especially in the larger cities, continues to have its problems because of difficulties in the recruitment of staff for this work. To meet these difficulties the telephoning of telegrams was resorted to some years ago. The system provides also for the phoning in of telegrams for despatch. Tn 1946, 15 percent of telegrams were phoned to addresses, the percentage now being 34.2. In 1946 subscribers phoned in 28 per cent of the telegrams sent, while the present percentage is 45.6.

Details of telegraph and telephone services for each of the last five financial years are now given.

Year Ended 31 MarchNumber of Paid Telegrams and Toll Messages Forwarded During the YearRevenue (Including Miscellaneous Receipts)Total Value of Business
Telegraph and TollTelephone Exchange
  £££
195034,983,3352,922,4782,540,1245,462,602
195134,866,6633,359,8013,464,0996,823,900
195236,030,1443,789,9803,766,0437,556,023
195336,935,3143,980,4354,061,2458,041,680
195438,774,0104,532,7374,820,3959,353,132

The number of telegrams forwarded in 1953–54 was 7,688,064, while the number of toll communications at 31,085,946 showed an increase of 1,786,025 (6.1 per cent).

The charge for ordinary telegrams on week-days is 1s. for six words or less, and 1d. for each additional word. The charge for letter-telegrams, which are delivered by post on the morning following the day of lodgment, is a fiat rate of 1s. 6d. for twenty-two words, and 1d. for each additional two words. On Sundays and departmental holidays the rate for ordinary telegrams is 1s. 6d. for six words or less, and 1 ½d. for each additional word, the total charge being taken to the next penny where necessary. An additional charge of 9d. is made for an urgent telegram, irrespective of the number of words contained in the message.

TELEPHONE-EXCHANGE SERVICE.—At 31 March 1954 there were 397 telephone exchanges in New Zealand, serving a total of 456,289 connections. Of these exchanges 326 were manually operated, serving 184,127 connections, or 46 per cent of the total, and 71 were automatic, serving 272,162 connections, or 60 per cent of the total.

The following table indicates the growth of the New Zealand telephone-exchange service (the figures are as at 31 March of each year shown).

194619471948194919501995195219531954

* Represents separate instruments connected to main telephone system.

Exchanges347348350356358364371381397
Subscribers' main stations194,508206,337219,185234,874253,458268,365285,171307,453330,825
Service stations3,0053,1683,3193,4183,5763,5703,5333,5963,755
Toll stations1,8541,8291,8361,8271,7841,7651,7191,6911,659
Public call stations1,4131,4561,5501,6401,8021,9582,0852,2232,341
Extension stations60,78365,25170,66276,83283,80490,53698,239106,591114,193
Private telephone lines4,2004,3004,0004,1664,1153,7953,8193,6323,516
Telephone station totals*265,763282,341300,552322,757348,539369,989394,566425,186456,289
Number installed during year10,57317,00217,88321,06724,80624,11126,53633,56036,155
Number of waiting applicants27,00034,80041,29248,37855,30958,48458,34854,94643,303

The total number of telephone stations shows an increase of 190,526, or 71 per cent, during the period covered by the table, the net gain for each of the last five years being 25,782, 21,450, 24,577, 30,620, and 31,103 respectively. The increase in subscribers' main stations during the same period amounted to 136,317, or approximately 70 per cent, while extension stations show an increase of 53,410, or a little over 87 per cent.

The “party" line system of telephone service is extensively used, particularly by those whose premises are situated at a distance from an exchange. In March 1954 the number of “party" lines was 42,200, serving a total of 154,978 stations.

According to the latest comparative data available (January 1953) compiled by the Chief Statistician of the American Telephone and Telegraph Co., New Zealand ranks fourth equal in the number of telephones per 100 of population, the leading countries being the United States of America (30.3), Sweden (26.4), Canada (22.9), New Zealand (20.9), Switzerland (20.9), and Denmark (18.1).

The first public call stations (coin-in-the-slot telephones) erected in New Zealand were installed at Wellington in August 1910, and a total of 2,103 such instruments were in use at 31 March 1954. The revenue of these slot telephones during the year ended 31 March 1954 was £156,669. In addition, there are 238 multi-coin slot telephones in use, the first of which was installed at Christchurch in October 1938. These instruments take penny, sixpenny, and shilling coins and are used for effecting toll calls.

The capital expenditure on the equipment, etc., of the telephone exchanges up to 31 March 1954 was £29,545,606.

The following table shows the classification of telephone exchanges and the annual rental rates for different classes of connection.

Class of ExchangeClass of ConnectionAnnual Rate Within Base-rate Area
BusinessResidential
  £s.d.£s.d.
Special (Auckland, Wellington, Christchurch, Dunedin)Individual281761500
 2-party220012100
 3-party195011110
 4-party1610010126
Class 1 (Over 3,000 subscribers)Individual220012100
(Typical exchanges are Gisborne, Hamilton, Napier, New Plymouth, and Invercargill)2-party1610010126
 3-party15261000
 4-party13150976
Class II (2,001 to 3,000 subscribers)Individual195011176
(Typical exchanges are Hawera, Oamaru, and Blenheim)2-party15261000
 3-party13150976
 4-party12768150
Class III (1,001 to 2,000 subscribers)Individual171761150
(Typical exchanges are Cambridge, Marton, and Waimate)2-party1489976
 3-party13138150
 4-party11139826
Class IV (201 to 2,000 subscribers with continuous attendance)Individual1610010126
(Typical exchanges are Piopio, Waipawa, Waverley, and Picton)2-party131508150
 3-party1276826
 4-party11007100
Class V (Up to 1,000 subscribers with restricted attendance and automatic exchanges with less than 200 subscribers)Individual13150976
 2-party11007100
(Typical exchanges are Akaroa, Kawhia, Te Akau, and Waitotara)3-party10636176
 4-party9126650

In respect of stations located outside the boundary of the base-rate area of an exchange a mileage rate as indicated hereunder is added to the general base-rate area rental.

For every furlong or part of a furlong by line measurement from the base-rate boundary to the respective subscriber's station—

 BusinessResidential
 s.d.s.d.
Individual line166150
2-party line—each party8376
3-party line—each party5650
4-party line—each party4239

Rural line telephone service is provided at all exchanges except those in the special class. This service provides for a minimum of 5 subscribers and a maximum of 10 subscribers on any one line. In general, subscribers connected on rural lines reside beyond the boundary of the basic-rate area.

Annual rental charges for rural line stations vary according to the number of subscribers on the line and the distance of the subscribers from the exchange.

TOLL SERVICE.—The basic rates for toll calls are as follows:

  1. Initial charge for an ordinary call not exceeding three minutes in duration.

    For DistancesBetween 8 a.m. and 6 p.m. on Week Days and Between 6 a.m. and Midnight on Sundays and Departmental HolidaysBetween Midnight and 8 a.m. and Between 6 p.m. and Midnight on Week Days and Between Midnight and 6 a.m. on Sundays and Departmental Holidays
     s.d.s.d.
    Up to and including 10 miles0404
    Over 10 miles but not over 15 miles0606
    Over 15 miles but not over 20 miles0808
    Over 20 miles but not over 30 miles011011
    Over 30 miles but not over 40 miles1313
    Over 40 miles but not over 60 miles1815
    Over 60 miles but not over 80 miles2218
    Over 80 miles but not over 100 miles26111
    Over 100 miles but not over 150 miles3325
    Over 150 miles but not over 200 miles4131
    Over 200 miles but not over 250 miles5039
    Over 250 miles but not over 300 miles5642
    Over 300 miles but not over 350 miles6046
    Over 350 miles but not over 400 miles66411
    Over 400 miles but not over 450 miles7053
    Over 450 miles7658
  2. The charge for every additional minute exceeding three is one-third of the respective initial charge except in the case of calls from coin box telephones.

  3. The additional charge for an ordinary call exceeding three minutes in duration from telephones having coin boxes associated therewith in which charges for toll calls may be deposited is assessed in multiples of the respective initial charge for a three minute call.

  4. Charge for an urgent call: double the rate for an ordinary call.

OVERSEAS CABLE SERVICES.—Telegraphic communication overseas was first established between New Zealand and Australia by means of the Eastern Extension Telegraph Company's cable from Wakapuaka (Nelson) to Sydney in 1876, this cable being duplicated in 1890. Subsequent developments were the opening in 1902 of the Pacific cable between Auckland and Canada via Norfolk Island, Suva, and Fanning Island, with a connection linking Norfolk Island to Brisbane; the laying of a cable direct between Auckland and Sydney in 1912; shifting of terminals from Wakapuaka to Wellington in 1917; laying a cable direct between Auckland and Suva in 1923, and duplicating the Suva-Canada cable in 1927. In 1929 a merger of British cable and wireless companies resulted in the overseas cable services being brought under the control of one authority (the private company of Cable and Wireless, Ltd., with headquarters in London), following which one cable between Wellington and Sydney was abandoned, part of it being lifted for re-use, and the route of the other was altered to terminate at Auckland instead of Wellington. One of the two direct Auckland-Sydney cables later became faulty and has not been repaired, leaving only one direct cable link between Auckland and Sydney. Following upon a conference of representatives of Commonwealth Governments (including New Zealand) held in London in 1945, the Commonwealth's external telecommunications systems were brought under Government control and, in accordance with the Commonwealth Telegraphs Agreement 1948, the New Zealand Post Office purchased the assets of Cable and Wireless, Ltd., in New Zealand, and took over the operation of the overseas cable services.

RADIO COMMUNICATION: Government Stations.—The first wireless-telegraph station in New Zealand for communicating with ships at sea was opened at Wellington on 26 July 1911.

An event of major importance in the development of New Zealand's external telecommunication services was the opening of the Himatangi radio transmitting service station in November 1953. High-powered transmitters and associated aerials have been installed to cater for the first direct New Zealand – United Kingdom radio-telephone and radio-telegraph circuits. In addition a transmitter has been installed to improve the New Zealand – United States of America radio-telephone circuit. The receiving station complementary to the Himatangi transmitting station is Makara Radio, at which preliminary construction has been commenced on a new aerial-receiving system, designed to improve generally the operation of New Zealand overseas radio services.

The principal stations under the control of the New Zealand Government are at Awarua, Wellington, and Auckland on the New Zealand mainland, at Apia in Western Samoa, at Rarotonga and Niue in the Cook Islands, and at the Chatham Islands. Smaller stations are established at certain lighthouses on the New Zealand coast and also on a number of adjacent islands. Marine radio beacons are operated at the lighthouses at Cape Reinga, Cuvier Island, Puysegur Point, Tiri Tiri Island, Mokohinau, Portland Island, Stephen's Island, Baring Head, and Cape Campbell, and are shortly to be established at East Cape, The Brothers, Godley Head, Taiaroa Head, and Dog Island.

Communication is effected with outer islands in the Cook Group by Rarotonga-Radio through small feeder stations at Aitutaki, Atiu, Mangaia, Manihiki, Manuae, Mauke, Mitiaro, Nassau, Palmerston, Penrhyn, Pukapuka, and Rakahanga Small stations at Aleipata, Atafu, Fagamalo, Sataua, Satupaitea, Fakaofo, Nukunono, Salailua, and Tuasivi communicate with Apia-Radio. Niue communicates with Apia-Radio, Rarotonga-Radio, and Wellington-Radio.

By means of the radio stations at Wellington, Apia, Rarotonga, and Niue, communication is maintained between New Zealand and the Pacific islands, the last three stations mentioned having direct communication with New Zealand. Wellington-Radio has also direct communication with Chatham Islands, Papeete-Radio (Tahiti), Nukualofa (Tonga), Noumea (New Caledonia), and San Francisco (United States of America).

Particulars of the radio business, exclusive of free (service) messages, transacted by the New Zealand coast stations during the last five years are given in the following table.

Year Ended 31 MarchForwardedReceived
MessagesWordsPost Office RevenueMessagesWordsPost Office Revenue
   £  £
195028,896581,9617,64373,3661,365,07016,416
195132,219608,3586,82476,9191,493,13411,683
195236,667727,3357,34388,8831,769,12114,055
195339,632778,5398,43888,6621,655,69713,882
195439,558748,6719,92388,2571,609,14015,923

Facilities exist for the despatch of radio-telegrams to vessels at sea, and special rates operate for vessels registered in New Zealand.

Other Radio Services.—Telephone communication by radio is now available to thirty-eight countries in addition to certain inter-island and trans-Tasman vessels as well as to Raoul Island, Chatham Islands, and Campbell Island. There has also been a remarkable expansion of the Post Office very-high-frequency radio-telephone service for mobile units first introduced in 1948. It is now operating in twenty centres for a total of 1,789 mobile units. Ambulance services, fire boards, traffic officers, taxi companies, veterinary services, and motor-transport companies are the principal users of the service. Radio-telephone services continue to provide essential service for isolated communities which cannot reasonably be reached by land-line—e.g., isolated settlers, alpine huts, etc. There is also a free radio-medical service for ships at sea and for lighthouses on the New Zealand coast for use in emergency cases.

Private Stations.—Private radio stations are governed by the New Zealand Radio Regulations 1953.

The licences for broadcast receiving stations (i.e., ordinary radio licences) authorize reception from broadcasting stations, and may be obtained at any postal money-order office on payment of the prescribed fee. Further reference to these licences will be found in Section 17, dealing with radio broadcasting.

Licences for amateur stations are intended to provide facilities for experimental transmission to those interested in radio science, and are issued only to holders of amateur operators' certificates.

Two radio manufacturing organizations and four colleges have been given authority to conduct experimental television transmissions for the purposes of studying the techniques involved and for investigating equipment developments in this new field of radio.

RECEIPTS AND PAYMENTS.—The receipts and payments of the Post and Telegraph Department for the last three financial years are now shown.

 1951–521952–531953–54
Receipts£££
Postages3,617,1363,801,4804,645,452
Money-order and postal-note commission72,11673,99375,430
Private box and bag rents and rural-delivery fees120,294123,624131,038
Miscellaneous receipts1,785,0571,826,2911,962,036
Telegrams770,740768,632826,902
Tolls2,695,7442,897,0603,348,279
Telephone-exchange rentals3,577,4843,857,6044,557,479
Overseas telecommunications442,705356,749445,292
    Totals£13,081,276£13,705,433£15,991,908
    
Payments£££
Salaries5,853,8406,106,8926,776,510
Conveyance of mails by sea and air654,473652,058681,635
Conveyance of mails by road365,382406,052426,059
Conveyance of mails by railway247,407290,018291,752
Maintenance and renewal of telecommunication system974,6311,275,3891,262,846
Motor services and workshops725,948847,764674,252
Miscellaneous3,264,3743,451,2713,471,285
Interest on capital liability947,8861,016,2661,183,785
Sick-benefit Fund17,24517,87117,625
Post Office buildings312,938318,346309,378
Superannuation Fund subsidy232,385239,100263,945
Overseas telecommunications254,065145,159219,239
    Totals£13,850,574£14,766,186£15,578,311

Receipts and payments for the last eleven years are shown by the following figures.

Year EndedReceiptsPayments
31 March££
19446,251,2425,105,982
19456,694,9015,970,244
19467,068,3976,478,956
19478,672,6407,374,561
19488,974,4488,956,316
19499,519,6529,877,525
19509,647,95010,491,851
195111,324,13711,186,126
195213,081,27613,850,574
195313,705,43314,766,186
195415,991,90815,578,311

WORK PERFORMED FOR OTHER DEPARTMENTS.—In addition to its natural functions, the Post and Telegraph Department performs a large amount of work for other Government Departments, its widespread organization being of inestimable value in this respect. Among the principal activities in this connection are the receipt and payment of moneys on behalf of the various Departments, the more important of which are enumerated below.

Receipts.—For the following Departments: Social Security (social security charge on income, social security charge on wages, sale of social security stamps), Agriculture (orchard tax and inspection fees, etc.), Education (child welfare receipts and examination fees, etc.), Health, Inland Revenue (land tax and income tax), Lands and Survey, Treasury (special mileage tax on motor vehicles), Public Trust Office, State Advances Corporation (state rents, loan and interest repayments), State Hydro-electric (Southland electric-power receipts), Transport, Tourist and Publicity (Mamaku and Ngongotaha power receipts), Valuation, New Zealand Broadcasting Service (radio licence fees and subscriptions to New Zealand Listener), Customs (collection of Customs duty and sales tax), National Provident Fund, and Government Superannuation Board.

Payments.—Departments of Social Security (social security benefits and war pensions, etc.) Health (refunds of medical expenses), Army, Air, Education (boarding-out orders), Labour (subsidized wage payments, military training medical examination payments, and holiday cards), Maori Affairs (Maori Trust payments), Public Trust Office, Police (witness warrants), Treasury (refunds of duty on motor spirits and miscellaneous payments for other Departments), Ministry of Works, Government Superannuation Board, and for Reserve Bank (interest warrants and coupons).

Other services performed by the Post and Telegraph Department are the control of the licensing of, and the issue of licences in respect of, motor vehicles and radio apparatus, provision of advice and service on radio matters to the Marine Department and the Civil Aviation Administration of the Air Department, and provision of a fleet of motor vehicles in the larger centres for hire by other Departments. In the smaller centres Postmasters act as Registrars of Births, Deaths, and Marriages, Registrars of Electors, and agents for the Government Life Insurance Office, State Fire and Accident Insurance Office, and State Advances Corporation.

Other activities, not strictly departmental, include the receipt of Motor Vehicles Insurance (Third Party Risks) premiums under the Transport Act 1949, the issue of fishing and game licences on behalf of acclimatization societies, organizing and collecting investments in respect of national savings, organizing and selling health stamps, and collecting revenue for such outside bodies as the New Zealand Poultry Board, the New Zealand Trade Certification Board, and the Armed Forces Canteen Council.

STAFF.—The large volume and varied nature of the business of the Post and Telegraph Department entails the employment of a large staff. The Department is administered by the Postmaster-General and Minister of Telegraphs, with the Director-General as executive head. The staff at 31 March 1954 was as follows: Permanent, 13,757; temporary, 5,160; non-classified, 299: total, 19,216. In addition, there were 996 country postmasters and telephonists who acted as such in conjunction with other pursuits and did not rank as officers of the Department. There were also 63 officers of the Railways Department who acted as postmasters.

VEHICLES.—The Post motor vehicles fleet consists of 2,076 vehicles—1,461 trucks and vans and 615 motor cars of this fleet, 429 vehicles are used for hire to other departments, 1,256 for engineering construction work, 91 on telegram delivery, and 300 on postal and other general work.

Chapter 17. SECTION 17—RADIO BROADCASTING

Table of Contents

NEW ZEALAND BROADCASTING SERVICE.—The Broadcasting Act of 1936 established the National Broadcasting Service as from 1 July 1936, and vested its control in a Minister of the Crown. All property, rights, liabilities, and engagements of the pre-existing controlling authority (the New Zealand Broadcasting Board) were transferred to the Crown. Details of the Board's activities and of the early history and development of radio broadcasting in New Zealand are given in the 1942 and earlier issues of the Year-Book.

The administration of the National Broadcasting Service was placed in the hands of a Director of Broadcasting, appointed by the Governor-General in Council to hold office for a period not exceeding three years. Permanent officers in the employ of the Board became officers of the Public Service as from 1 July 1936.

Section 9 of the Act allows for the appointment of an advisory body called the Broadcasting Advisory Council, to consist of not more than five members, to be appointed from time to time by the Governor-General on the recommendation of the Minister. Appointment to the Council is for a period of three years, except that members may be reappointed or removed from office by the Governor-General. No Advisory Council has however been appointed under this section.

The Broadcasting Act 1936 also authorized the Minister of Broadcasting to establish and operate commercial broadcasting stations from which advertising matter might be broadcast. For every locality that is served by a commercial station the Minister is required to provide an alternative service from at least one non-commercial station. Advertising over the air is forbidden except from the commercial stations authorized under the Act.

The Broadcasting Amendment Act 1937 made legislative provision for the establishment of a National Commercial Broadcasting Service. The administration of the Commercial Service, which in 1938 operated five stations, was placed in the hands of a Controller. Thus in 1938 there were two separate broadcasting organizations in New Zealand—the National Broadcasting Service under a Director, and the National Commercial Broadcasting Service under a Controller. This provision was repealed by section 4 of the Statutes Amendment Act 1943, the position of Controller was abolished, and from 26 August 1943 the two services were combined under a Director of Broadcasting. The Commercial Service was thus absorbed into the National Broadcasting Service.

In 1946 the title of the Department was changed to the New Zealand Broadcasting Service to give effect to the complete amalgamation of the two pre-existing authorities, which had in fact commenced prior to 1943 with the amalgamation of all technical resources under a Chief Engineer. Thus since 1946 there has been only one broadcasting organization, the New Zealand Broadcasting Service, controlling commercial and non-commercial broadcasting in New Zealand.

Stations and Programmes.—There were, at 31 March 1954, twenty-nine medium-wave broadcasting stations and two short-wave transmitters of Radio New Zealand with eighteen assigned frequencies. Two of the medium-wave stations are privately owned (2XM and 4XD) and operate with the assistance of a subsidy from the Broadcasting Account, five are national advertising stations—marked “(a)" in the following list—and seven are local stations carrying advertising up to nine hours daily, Monday to Saturday, the balance of programme time carrying no advertising—these stations are marked “(b)”, the complete list being given below.

StationAerial EnergyFrequency*Normal Hours of Transmission Per Week

* The frequencies used vary from time to time.

* Operates during period when 2YA is broadcasting proceedings of the House of Representatives.

 KilowattsKilocyclesHr.min.
SHORT-WAVE STATIONS
ZL2 Wellington7.59,54011535
ZL3 Wellington7.511,78011535
ZL4 Wellington7.515,28011535
ZL8 Wellington7.59,62011535
ZL10 Wellington7.515,22011535
MEDIUM-WAVE STATIONS
1XN, Whangarei (b)2.009705830
1YA, Auckland10.0076012120
1ZB, Auckland (a)10.001,0701260
1YD, Auckland0.751,250480
1YC, Auckland10.00880310
1XH, Hamilton (b)2.001,31010730
1YZ, Rotorua10.0080010830
2XG, Gisborne (b)2.001,0105830
2XM, Gisborne0.091,1801630
2YZ, Napier5.0086010830
2XP, New Plymouth (b)2.001,3705830
2XA, Wanganui (b)2.001,2005830
2ZA, Palmerston North (a)2.0094010730
2YA, Wellington60.0057012820
2YX, Wellington1.001,400*
2YC, Wellington60.00660370
2ZB, Wellington (a)10.009801260
2YD, Wellington0.501,130210
2XN, Nelson (b)2.001,3405830
3YZ, Greymouth10.0092010830
3YA, Christchurch10.0069012120
3ZB, Christchurch (a)10.001,1001260
3YC, Christchurch10.009603830
3XC, Timaru (b)2.001,1605830
4YA, Dunedin10.0078012120
4ZB, Dunedin (a)10.001,0401260
4YC, Dunedin10.009003830
4XD, Dunedin0.061,430130
4YZ, Invercargill5.0072010830

Station 2AP, Apia, is operated by New Zealand Broadcasting Service staff under secondment to the Broadcasting Department of the Government of Western Samoa. The New Zealand Broadcasting Service also acts in an advisory capacity in respect of broadcasting matters and arranges for the supply and maintenance of technical equipment in Western Samoa.

The aggregate transmission time of all stations—National, Commercial, and Short-wave—amounted during the year ended 31 March 1954 to 123,109 hours. Of the scheduled time, 33 hours were lost owing to technical defects in equipment.

At the request of the authorities responsible for the conservation of electric power, broadcasting after May 1950 was curtailed, but early in 1954 these restrictions were eased.

All programmes to be transmitted from the private broadcasting stations are supervised, and the Minister has authority to prohibit the broadcasting of any programme or part of a programme which in his opinion is unsuitable for broadcasting.

The programmes of the various stations are published in the New Zealand Listener, a weekly paper which was first issued on 30 June 1939.

Radio Coverage of New Zealand.—The call signs of the stations operated by the New Zealand Broadcasting Service and their functions in the programme coverage of New Zealand are as follows:

  1. Stations 1YA, 2YA, 3YA, 4YA, 1YZ, 2YZ, 3YZ, and 4YZ. These stations are operated to provide non-advertising programmes separately or in link to listeners throughout the whole country.

  2. Stations 1YC, 2YC, 3YC, 4YC, 1YD, 2YD, and 2YX provide alternative non-advertising programmes to the programmes of the YA and YZ stations listed in (a) above, but with coverage not quite so extensive.

  3. Stations 1ZB, 2ZB, 3ZB, 4ZB, and 2ZA present advertising programmes mainly of a light nature giving further alternative programmes to those provided by stations listed in (a) and (b) above.

  4. Stations 1XN, 1XH, 2XG, 2XP, 2XA, 2XN, and 3XC. These are stations of local coverage in the smaller cities and towns and are designed to serve the immediate locality and present advertising and non-advertising programmes in specified time bands. Within their coverage range, these stations provide alternative programmes to those provided by stations listed in (a), (b), and (c) above.

In addition, the overseas short-wave service of Radio New Zealand operates from ZL2, ZL3, ZL4, ZL8, and ZL10.

Television.—A departmental committee was set up in July 1949 by the Minister of Broadcasting to advise him on the development of television overseas and on the problems involved in the establishment of a television service in New Zealand. The Service continues to study closely the latest developments both in the technical and programme fields of overseas television organizations and the committee mentioned reports periodically to the Minister in this direction.

SHORT-WAVE SERVICE.—The service provided by Radio New Zealand is now well established, with a wide listening audience in Australia, the Pacific Islands, and even as far afield as Western Europe, the United States of America, and Japan.

Broadcasts by New Zealand artists are increasing in number each year. Features include the broadcasting of the National Orchestra, spoken material informing listeners of life in New Zealand—e.g., in such documentary programmes as “Felling the Timber”, “Big Game Fishing in the Bay of Islands”, etc., and the daily news service for New Zealand forces serving in Korea. A home service programme is rebroadcast from 6 a.m. to 7 p.m., and the special overseas transmission “Calling Australia and the Islands” follows. For the benefit of New Zealanders overseas, a full New Zealand summary of all sports results is broadcast each Saturday evening.

NATIONAL NON-COMMERCIAL SERVICE.—An analysis of the combined programmes of the National non-commercial stations for a sample week in February 1954 showed that, of the total broadcasting hours, 2007 per cent was devoted to serious music; 46.71 per cent to light music; 3.46 per cent to modern dance music; 9.10 per cent to plays, sketches, and dramatic serials; 2.83 per cent to sporting commentaries; 4.83 per cent to talks, general and educative; 8.12 per cent to news and commentaries; 2.29 per cent to church and devotional services; and 2.59 per cent to children's sessions.

The Service maintains a broad policy of broadcasting from the National stations in the four main centres programmes designed and classified to suit the major divisions of community taste. In the smaller centres, where there is only a single station, the problem is more difficult. Every effort is made to solve it equitably and experiments are tried continually.

The practice is followed of giving broadcasting engagements to the best musical and other talent available in New Zealand. Throughout the year ended 31 March 1954 the Service engaged in the studios, or by relayed performance, bands, large choral groups, and similar societies.

The writing and production of dramatic and other special features in which local actors and actresses are employed are carried out by the productions section of the New Zealand Broadcasting Service, and encouragement is being given to New Zealand writers.

The recording facilities are a valuable adjunct, and the studios are engaged daily in recording plays and programmes written by overseas and New Zealand authors, talks and news bulletins broadcast overseas which are rebroadcast in New Zealand at more convenient times, and historical events and other features.

The proceedings of the House of Representatives are broadcast from Station 2YA in order to acquaint the public with the provisions of the various Bills and the views of their representatives. During this time its scheduled programme is broadcast by 2YC, and 2YX takes over the scheduled programme of the latter.

Regular broadcasting programmes for schools are undertaken. The weekly schedule consists of three hours, and the following subjects are dealt with: music appreciation, singing, rhythm for juniors, literature, history through literature, nature study, book reviews, talks on news, social studies, and science, and French lessons for post-primary pupils. The Correspondence School of the Department of Education also broadcasts three half-hourly programmes per week. A programme “Kindergarten of the Air”, is broadcast for the benefit of pre-school children.

Time signals from the Seismological Observatory are broadcast through Station 2YA or 2YC each day. The signals take the form of a series of six “dots" at intervals of one second, the last “dot" being the exact minute. Fuller details of this time service may be obtained from the article on time service arrangements published in Section 44 (Miscellaneous) of this Year-Book.

The National Orchestra of the New Zealand Broadcasting Service was formed in 1946. Its concerts, studio broadcasts, tours, and free concerts to schools, are arranged and managed by the Concert Section of the Service, which also arranges for the presentation of overseas celebrity artists in public concerts associated with the National Orchestra, in concert tours without the Orchestra, and in studio broadcasts.

COMMERCIAL SERVICE.—Following the coming into operation of the Broadcasting Act 1936 the State purchased Station 1ZB, Auckland, which had previously operated as a “B" station, and commenced the broadcasting of programmes which included advertising matter. Commercial stations were subsequently established at Wellington, Christchurch, and Dunedin, all of which were opened in 1937, while a station at Palmerston North was opened in 1938.

In January 1949 the first station to broadcast both commercial and non-commercial programmes was opened at Timaru. Similar stations now operate at Whangarei, Hamilton, Gisborne, Wanganui, Nelson, and New Plymouth.

The programmes of the Commercial stations contain a high percentage of entertainment, as compared with commercial announcements or direct advertising.

Sessions of informative value and services such as the broadcasting for missing persons and cars are provided in addition to the normal programmes.

FINANCIAL STATISTICS.—The following tables show the financial results of the principal activities of the Service for the last four financial years.

1950–511951–521952–531953–54
Non-commercial activities    
National stations—££££
  Expenditure on programmes144,561125,623141,419159,496
  General administrative and running expenses422,645507,601514,164472,599
  Post and Telegraph charges for licence fee collection, etc.46,49748,87848,84651,390
  Depreciation67,22288,45599,277105,406
 680,925770,557803,706788,891
   Less recovery from Commercial for provision of technical facilities and services82,300112,400124,00078,028
  Net expenditure598,625658,157679,706710,863
  Revenue618,597648,117648,020680,096
  Balance of revenue over expenditure19,972−10,040−31,686−30,767
National Orchestra and Concert presentation—    
  Net expenditure81,56488,068100,754114,027
   Less Concert proceeds15,16821,12921,92427,791
    Balance of expenditure66,39666,93978,83086,236
New Zealand Listener    
  Expenditure on publication52,13460,28764,82368,208
  General administrative and running expenses24,10127,96926,52129,843
  Net expenditure76,23588,25691,34498,051
  Revenue72,72293,94793,66794,321
   Balance of revenue over expenditure−3,5135,6912,323−3,730
      Total deficit non-commercial activities49,93771,288108,193120,733
Commercial    
Expenditure on programmes48,93149,95255,69676,470
General administrative and running expenses299,040351,078359,172488,604
Charge from National for provision of technical facilities and services82,300112,400124,00078,028
Net expenditure430,271513,430538,868643,102
Revenue464,716609,182681,623729,988
Net surplus before tax34,44595,752142,75586,886
Provision for taxation19,40650,69876,35543,019
Net surplus after tax15,03945,05466,40043,867
Summary    
Total net deficit non-commercial activities49,93771,288108,193120,733
  Less Commercial surplus15,03945,05466,40043,867
Net deficit for Service34,89826,23441,79376,866

NOTE.—Minus sign (—) indicates an excess of expenditure over revenue.

In the table for national stations the reduction in the amount recovered from commercial in 1953–54 on account of provision of technical services is due to direct charging of technical operational costs to the commercial stations concerned. These costs were previously included in the charge made to the commercial account which, from the 1953–54 financial year, provides for only Head Office engineering overhead and services and depreciation provision on assets in use commercially. This change accounts for the apparent reduction in the general running expenses of the national stations for the 1953–54 financial year and accounts in some measure for the increase in the general running expenses of the commercial stations, and the reduction in the charge from national for the provision of technical facilities and services.

Radio licence fees are credited to national stations, no portion being specifically allocated to the other activities.

The principal source of revenue of commercial stations is sale of station time (advertising). Revenue from these two sources for the last four financial years is shown in the following table.

1950–511951–521952–531953–54
 ££££
Radio licence fees580,821610,216610,277642,010
Sale of station time441,830589,961664,277712,677
    Totals1,022,6511,200,1771,274,5541,354,687

STATISTICS OF RADIO LICENCES.—The growth in the number of radio-receiving licences is apparent from the following table. Free licences, which are referred to later, are included in the figures. The licence fee for a receiving station, which from 1 April 1935 had been £1 5s. per annum, was increased to £1 10s. per annum as from 1 January 1954.

As at 31 MarchAucklandWellingtonCanterburyOtagoNew Zealand TotalsLicences Per Hundred of Population
1944124,855133,84566,04650,666375,41222.84
1945126,716133,70668,15550,612379,18922.57
1946130,445139,24371,36751,943392,99822.35
1947139,487143,81274,47257,452415,22323.16
1948144,646146,48474,16455,689420,98322.95
1949148,742150,37375,38557,589432,08923.07
1950155,797155,58578,28659,679449,34723.86
1951160,743160,97380,79560,907463,41823.89
1952165,838167,47183,92462,300479,53324.11
1953173,008169,91885,41563,515491,85624.14
1954178,499171,93887,01864,301501,75624.18

A summary of all radio licences in force in New Zealand as at 31 March 1954 follows.

DistrictReceiving StationsRadio DealersPrivate ExperimentalOtherTotal Licences
AmateurResearch
Auckland178,4997727942326180,114
Wellington171,9387249003828173,628
Canterbury87,01829738351987,722
Otago64,30127625971664,859
    Totals501,7562,0692,3367389506,323

Licences are issued free of charge to institutions for the blind and also to any blind person. In addition, public hospitals, benevolent and orphan institutions, and other charitable institutions are granted free licence privileges, provided that the sets are used for the benefit of patients or inmates. Free licence privileges have also been extended to the operation of receiving sets in schools, where such sets are used for educational broadcast purposes. The number of free licences as at 31 March of each of the last five years was: 1950, 2043; 1951, 2,274; 1952, 2,428; 1953, 2,533; and 1954, 2,626.

A penalty is attached to the operating of unlicensed radio apparatus.

Chapter 18. SECTION 18—LAND TENURE, SETTLEMENT, VALUATION, ETC.

18 A—GENERAL

OCCUPATION OF LAND.—The total area of New Zealand, excluding the island territories comprising Cook and associated islands and Tokelau Islands, and exclusive of the trust territory of Western Samoa, but inclusive of the minor islands since these form parts of land districts, is 66,390,700 acres. Of this total, 43,263,492 acres were assessed in 1954 as being in occupation, including reserves and Maori lands leased, but excluding areas within borough boundaries, holdings of less than 1 acre in extent, and Maori land held on the communal system.

The number of holdings and percentages of total holdings in occupation, grouped according to size, as returned in each of the years 1941, 1946, 1949, and 1952, are given below.

Area, in AcresNumber of HoldingsPercentage of Total
19411946194919521941194619491952
1 and under 1011,26511,38011,46312,16313.0413.2013.1613.69
10 and under 5014,58514,01413,61113,71616.8916.2515.6315.19
50 and under 10012,73912,81212,96213,46014.7514.8614.8914.91
100 and under 20016,64616,69917,25018,10419.2719.3619.8120.05
200 and under 3209,8619,86210,08410,30811.4211.4411.5811.42
320 and under 64010,20210,39210,65311,08311.8112.0512.2312.27
640 and under 1,0004,1544,1544,2154,3824.814.824.844.85
1,000 and under 5,0005,8835,8825,8275,8666.816.826.696.50
5,000 and under 10,0005445565385350.630.640.620.59
10,000 and under 20,0002942872782760.340.330.320.31
20,000 and under 50,0001451451441430.170.170.170.16
50,000 and over555651520.060.060.060.06
    Totals86,37386,23987,07690,288100.00100.00100.00100.00

Although approximately 44 per cent of holdings in 1952 were less than 100 acres in extent, the total area of such holdings represented only a little over 3 per cent of the occupied land of New Zealand. A further 20 per cent of the holdings ranged between 100 and 200 acres, but the aggregate area of these amounted to less than 6 per cent of the total. At the other end of the scale it is found that 65 per cent of the occupied land was held in areas of 1,000 acres and upwards, although the number of such holdings was only a little over 7 ½ per cent of the total. Holdings of 5,000 acres and upwards, of which there were 1,006 in 1952, accounted for 39 per cent of the total area of occupied land.

The total acreage of holdings in each group is given in the following table.

Area of Holdings, in Acres1941194619491952
Acres
1 and under 1052,52552,93853,05356,401
10 and under 50374,038356,797344,548346,400
50 and under 100925,878936,146949,958989,287
100 and under 2002,330,8672,338,3152,417,3422,536,230
200 and under 3202,476,2092,468,8172,527,4012,584,876
320 and under 6404,614,3254,697,2904,823,0685,011,073
640 and under 1,0003,307,7313,302,2243,349,9843,470,297
1,000 and under 5,00011,517,58211,498,50711,377,53911,367,370
5,000 and under 10,0003,707,1753,793,5913,661,1383,670,182
10,000 and under 20,0004,133,4004,012,3853,891,5863,870,948
20,000 and under 50,0004,406,4094,408,2094,457,0354,404,001
50,000 and over5,042,1985,214,7894,864,8474,912,638
    Totals42,888,33743,080,00842,717,49943,219,703

The following additional details not normally obtained in the annual collection were collected under the special Census of Agriculture in 1950:

Holdings at 31 January 1950NumberPercentage of Total
Occupied by Maoris4,6555.16
Worked on share system2,6782.97
Lying entirely idle and unused2,3392.59
Status of occupier—  
  Owner55,08861.01
  Lessee17,84419.77
  Manager2,5322.80
  Partner1,2421.38
  Shareworker2,3032.55
  Part owner, part lessee11,28112.49
    Totals90,290100.00

Condition of Occupied Land.—The land in occupation in New Zealand at 31 January 1954 was classified according to condition and use as follows.

 AcresPercentage of Total

* Includes areas also sown with grasses and clovers.

In principal cereal crops and crops for threshing*316,9470.73
In green, root, and other crops*820,2011.90
In fallow144,3280.33
In sown grasses and clovers—  
  Cut for hay, seed, or ensilage923,5302.13
  Not cut for hay, seed, or ensilage16,573,00438.31
In vineyards and orchards22,4380.05
In passion-fruit vines82..
In hop vines644..
In market gardens and nurseries16,8260.04
In private gardens and pleasure grounds93,2420.22
In plantations967,6662.24
      Total area in cultivation19,878,90845.95
Unimproved land23,384,58454.05
      Total area in occupation43,263,492100.00

Information collected in 1950 in conjunction with the World Census of Agriculture showed that 60 per cent of the area under sown grasses was stated as being capable of cultivation by ploughs or discs. Of the total area in occupation, 34 per cent was considered to be capable of being so cultivated.

Land in cultivation (under crop and in pasture) forms the subject matter of Section 20, Farm Production. An indication of the condition and geographical distribution of unimproved land is afforded by the following table, which relates to the position at 31 January 1954.

Land DistrictPhormium (New Zealand Flax)Tussock and Naturally Established Native GrassesFern, Scrub, and Second GrowthStanding Native BushBarren and Unproductive LandTotal, Unimproved Occupied Land
Acres
North Auckland2,491130,847823,184287,85972,1181,316,499
South Auckland1,45753,2751,046,112376,31799,9481,577,109
Gisborne5997,849213,471156,93034,711503,020
Hawke's Bay18347,320338,382127,82649,964863,510
Taranaki109,070184,411232,81318,222444,526
Wellington8,596545,181653,899303,459117,7541,628,889
Marlborough4,5541,368,375287,279102,298289,6332,052,139
Nelson2,879183,117351,409181,03219,427737,864
Westland5,26158,802178,463377,543127,027747,096
Canterbury3,9904,123,014255,015156,728573,7675,112,514
Otago1,2405,227,384584,608346,455422,4846,582,171
Southland7,3401,244,360400,831105,89260,8241,819,247
    Totals37,89513,388,5945,317,0642,755,1521,885,87923,384,584

Tenure of Occupied Lands.—The area of land in occupation as at 31 January 1954, classified according to tenure, was as follows.

 Acres
Crown land (including leases and licences)18,780,084
Freehold (including all land held on deferred payment)21,711,917
Leasehold2,771,491
      Total occupied area43,263,492

Lands in occupation are not strictly comparable with Crown lands alienated or in process of alienation, for certain lands which were never made waste lands of the Crown have passed into the hands of Europeans. It must also be remembered that not all of the freehold land is in occupation, while (as stated previously) holdings within boroughs or under 1 acre in extent are excluded from the annual statistics.

PUBLIC AND SCENIC RESERVES, PUBLIC DOMAINS, AND NATIONAL PARKS.—The Reserves and Domains Act 1953 replaced, with certain amendments, both the Scenery Preservation Act 1908 and the Public Reserves and Domains Act 1928.

The new legislation provides under one enactment, the legislative powers over the control, management, and development of public reserves, domains, scenic reserves, and historic reserves.

The provisions relating to public reserves do not extend to State Forest land and are to be read as subject to any other enactment or trust dealing with any particular reserve or class of reserves.

Public domains, which include any public reserve for health or recreation purposes vested in the Crown, or any lands acquired by the Crown for those purposes and declared to be public domains, are generally administered by Domain Boards, many of which are already existing local authorities. Domains and recreation reserves may be leased to provide recreational development or amenities for the public for terms of up to 33 years. Temporary licences to occupy reserves, including scenic reserves, may be granted for terms not exceeding 5 years.

Provision is made for creating historic reserves, the purpose of which is to preserve in perpetuity as historic places for the use, benefit, or enjoyment of the public such places, objects, and things as are of historic, archaeological, scientific, educational, or other special interest.

Provision is also made for the creation of private scenic reserves and private historic reserves. Such reservation in each case is subject to revocation at pleasure by the owner, who does not part with any portion of his title. The reservation of private, scenic, and historic reserves ensures for such properties the full protection, conservation benefits, and other advantages that the Act applies to the scenic and historic reserves which are in public ownership. One private scenic reserve was created in 1953–54, being the celebrated White Island, Bay of Plenty.

The purposes of scenic reserves are also defined in general terms in the Act as the preservation, for the benefit and enjoyment of the public, of suitable areas possessing such qualities of scenic interest that their preservation is desirable in the public interest. They are to be preserved as far as possible in their natural state and the public are to have freedom of entry and access, subject to such restrictions and prohibitions as are necessary for the preservation of the natural features of the reserves.

Scenic reserves of New Zealand vary in size from a few perches to tracts containing some thousands of acres. They comprise some of the more outstanding and attractive features of the natural landscape and the attendant scenery of many routes; areas containing thermal activity, mineral springs, and interesting or unique natural objects; and some include many places and objects that are memorable or are of national significance in this country's history.

Bird sanctuaries are provided for on Little Barrier Island, Hauraki Gulf; Cape Kidnapper, south-eastern Hawke's Bay; near Okarito, Westland, for a white heron colony; and on Kapiti Island, off Paraparaumu.

The legislative control over National Parks is now contained in the National Parks Act 1952. This provides for the establishment of a National Parks Authority whose general functions are to—(a) advocate and adopt schemes for the protection of national parks and for their development on a national basis; (b) recommend the enlargement of existing parks and the setting apart of new areas; (c) recommend the manner of allocation of moneys voted by Parliament for the administration, maintenance, and improvements of national parks; (d) exercise such powers and duties as the Act confers upon it; and (e) generally control in the national interest the administration of all national parks in New Zealand.

There are seven national parks in New Zealand, the names of these with areas in acres being as follows: Urewera (120,000); Tongariro (160,601); Egmont (80,336); Abel Tasman (40,473); Arthur Pass (239,090); Mount Cook (151,780); and Fiordland (2,761,760). Steps are being taken for the production of general descriptive matter dealing with all national parks, and the compilation of a series of informative handbooks dealing in considerable detail with individual parks is in hand.

Each national park is controlled by a National Park Board which has power, subject to the prior consent of the Authority, to fix fees for camping or picnicking within the park.

The following data are as at 31 March 1954.

 NumberAcres
Public domains91480,000
Scenic reserves1,358887,303
National parks73,554,040

WILDLIFE SANCTUARIES.—The Wildlife Act 1953, consolidating with amendments the Animals Protection and Game Act 1921–22, provides for the constitution of wildlife sanctuaries, these being areas devoted primarily as habitat areas for wildlife where the maximum degree of protection can be afforded. Restrictions are imposed on entry into the sanctuaries and certain prohibitions dealing with killing or disturbance of wildlife are imposed. The former game sanctuaries are now termed wildlife refuges, and a new provision authorizes occupiers of any land in a wildlife refuge to carry out certain operations necessary for the normal use of the land.

LAND TRANSFER AND DEEDS REGISTRATION.—Under the land transfer system introduced in 1870 the title to land is not effected by the execution of documents. Registration is the fundamental principle, and it is only on registration that any interest passes. The Land and Deeds Registry assumes all responsibility for the registration, and any person named in the register as taking an interest under a registered instrument acquires a practically indefeasible title.

No instrument or dealing may be registered unless it is in accordance with statute or general law or is not forbidden by positive law. An increasing number of statutes and regulations expressly impose upon the District Land Registrar the duty and responsibility of ensuring that no instrument is registered or no interests in land are acquired in contravention of the statutory provisions and requirements regulating the aggregation and subdivision of land, the alienation of Crown land, Maori land, or public reserves, the dedication or constitution of roads, streets, and access-ways, and many other matters involving Government policy.

The land transfer system of title by registration has great advantages over the older system of title by deeds, even when the deeds are duly registered. The state of a land transfer title can be ascertained by a search of the register with very much greater facility than can the state of a title under the deeds system, and the powers vested in Registrars under the Land Transfer Act enable them to keep the register simple, clear, and free from doubts; the simplicity of searching and of the preparation of instruments under the land transfer system enables transactions with land under that system to be carried out at less cost than under the deeds system; and under the land transfer system there is the State guarantee of a practically indefeasible title, as mentioned previously.

These considerations led to the passing in 1924 of the Land Transfer (Compulsory Registration of Titles) Act, now incorporated in the Land Transfer Act 1952, which had for its object the bringing under the provisions of the Land Transfer Act of all land alienated by the Crown and not already under the provisions of that Act, except lands held by Maoris under their customs and usages. Where on investigation it is found that a title is satisfactory the District Land Registrar issues in the name of the proprietor of the land an ordinary indefeasible certificate of title. Where however the title or the survey plans of the land are unsatisfactory a certificate of title, limited either as to title, or as to description of parcels, or limited both as to parcels and as to title, may be issued. By lapse of time or by compliance with such Acts or matters as are stated in the Registrar's Minutes issued with the limited certificate of title, the registered proprietor of the land may obtain an ordinary certificate of title in lieu of the limited one.

The work of bringing all land titles under the provisions of the Land Transfer Act as required by the Land Transfer (Compulsory Registration of Titles) Act 1924 has been completed for all practical purposes. There are in each district, however, several titles that it has been considered unwise to deal with at present owing to grave doubts as to ownership, or for some other reason.

The Land Transfer Act 1952, which came into force on 1 January 1953, consolidated the Land Transfer Act 1915 and its amendments. The Property Law Act 1952, the provisions of which, except as expressly provided, apply to land and instruments under the Land Transfer Act 1952, also came into force on 1 January 1953. These two Acts together have made a number of important alterations in the law of property including provision for noting restrictive covenants against Land Transfer titles. In addition they have correlated and consolidated the law relating to property and to the registration and transfer of title to, and the dealing with, estates in land.

The provision for the issuing of certificates of title, limited as to parcels, introduced by the Land Transfer (Compulsory Registration of Titles) Act 1924 and now incorporated in the Land Transfer Act 1952, has been extended to permit the issue of certificates of title, limited as to parcels, in cases where land comprised in an ordinary certificate of title is subdivided and the District Land Registrar, in his discretion, exempts the owner, on the grounds of hardship, from the requirement of depositing a survey plan of the land.

To expedite the acquirement of title and to enable the registration of dealings by purchasers of dwellings and sections of land sold by the State and local authorities, provision has now been made by various statutes for agreements for sale and purchase and licences to occupy to be registered and endorsed “limited as to parcels” until roads are dedicated, surveys are completed, and other formalities are complied with to enable ordinary certificates of title to be issued. Where a registered agreement or licence is so endorsed, it shall have the same effect as if it were registered against a certificate of title limited as to parcels. Particulars of the main terms of sale of State housing properties are given in Section 33B of this volume.

For administrative purposes a special register of certain classes of pastoral leases, pastoral occupation licences, and other leases and licences, issued under the Land Act 1948 but not required to be registered under the Land Transfer Act 1952, is kept in the Land Transfer Office. Transfers, sub-leases, mortgages, or other dealings with such leases or licences are registered at the Land Registry Office and entered on this special register as evidence of the disposition or dealing. This secondary system of registration introduced by section 83 of the Land Act 1948 is one of registration of deeds and not of title. As the leases and licences concerned are not subject to the provisions of the Land Transfer Act 1952, such registration has no State guarantee.

Deeds Registration.—Provision has existed since 1841 and is now contained in the Deeds Registration Act 1908 for the registration of deeds and instruments affecting land which is not subject to the provisions of the Land Transfer Act. Registration is not essential to the validity of the instrument, but it is highly important as a record and to secure priority. The Act provides that every deed shall be void as against any person claiming for valuable consideration under any subsequent deed duly registered, unless the earlier deed was registered before the subsequent one. The Department is not responsible for the form or matter of the instruments registered beyond seeing that they are duly stamped and contain a sufficient description of the land to identify it. Provision is made for the deposit of instruments in the Deeds Register Office for safe custody and reference, and such deposit operates as a release from any covenant for production. The Deeds Index and all recorded and deposited instruments are open to public inspection, and certified copies may be obtained on payment of the prescribed fees. (This system of deeds registration is now for all practical purposes obsolete.) Information as to transactions under the Deeds Registration Act for each of the years 1942–43 to 1952–53 was given in the 1954 Year-Book.

Registrations under Joint Family Homes Act 1950—Information as to applications to settle joint family homes under the Joint Family Homes Act 1950 registered for each of the years 1950–51 to 1953–54 is given in the following statement.

Year Ended 31 MarchHomes Settled
195121
19525,763
19536,037
19544,808

Land Transfer.—Information as to applications to bring land under the Land Transfer Act during each of the last five years is given in the next table.

Year Ended 31 MarchNumberAreaValue
Town and SuburbanCountry
  AcresAcres£
195097355,830
19511053225,654
19522025483,841
19532731095,431
19541512..1,039

Certificates of Title Issued.—The following table shows the number of certificates issued for the last five years.

Year Ended 31 MarchIn Lieu of Crown GrantsUnder Transfer Act of 1924OrdinaryTotal
195090135518,40019,656
1951940' 30120,55321,794
19521,55313321,97723,663
19532,7463419,98322,763
19542,1122924,76626,907

The table next following shows transfers registered under the Land Transfer Act during each of the last eleven years.

Year Ended 31 MarchTown and Suburban PropertiesCountry PropertiesAll Properties: Total Consideration
NumberAreaConsiderationNumberAreaConsideration
  Acres£ Acres££
194426,7799,82524,563,7406,9221,404,83413,581,41838,145,158
194526,3779,68421,359,3266,9071,282,03611,099,58232,458,908
194631,23910,93825,393,0896,8211,310,55712,961,05238,354,141
194734,68512,22127,208,1588,3091,844,04817,764,34244,972,500
194832,08011,41925,039,5056,7211,756,58815,413,01340,452,518
194930,49410,95424,802,8436,0701,691,74313,607,15938,410,002
195033,18210,82227,629,1795,8761,783,38713,033,53040,662,709
195149,88014,06361,536,9708,0581,457,70617,822,81879,359,788
195246,14512,08473,164,86810,4641,848,60235,964,546109,129,414
195339,32510,00865,460,9619,0531,616,78135,241,475100,702,436
195443,42710,92575,503,4079,1881,675,61738,915,264114,418,671

The numbers of transfers shown in the table relate only to transfers of land on sale—i.e., they do not include transfers of land from trustees to beneficiaries or to new trustees, transfers of mortgages, easements, etc.

The totals for the year ended 31 March 1944, showed a substantial increase over the previous year, both town and suburban and country properties contributing to the increase. In the following year the numbers of transactions in regard to both town and suburban properties and country properties were only slightly below the 1943–44 figures, but in both instances there was a marked fall in the amount of consideration, 13 per cent in the case of the former and 18 percent in the latter. In 1945–46 a substantial increase was shown in the number of town and suburban properties transferred, with a corresponding increase in the amount of consideration, while country properties showed a slight decrease in number but a noticeable increase in the amount of consideration. Further substantial increases were recorded in 1946–47, particularly in relation to country properties, but slight recessions were recorded in 1947–48 and in 1948–49. This downward movement was arrested in 1949–50, and in 1950–51 transfers of town and suburban properties increased by 16,698 (50 per cent) and the amount of consideration by £33,908,000 (123 per cent). Country transfers increased by 2,182 (37 per cent) in number and by £4,789,000 (37 per cent) in the amount of consideration. The large increase in transfers in 1950–51 was contributed to by the exemption of town and suburban properties from control by Order in Council operative from 23 February 1950 and by the relaxation of control on farm lands by the enactment of the Servicemen's Settlement Act 1950, which came into force on 1 November 1950.

Whereas the number of transfers registered during 1951–52 did not reach the record figure established in the previous year, the amount of consideration involved reached the record level of £109,129,000. This figure represented an increase of 38 per cent on the total for 1950–51, and was 33 per cent greater than the previous highest figure of £81,790,000 recorded in 1921. Town and suburban transfers during 1951–52 showed decreases in both number registered and area, but a substantial increase of £11,628,000, or 19 per cent, in the amount of consideration involved. The 1951–52 year was the first complete one since the enactment of the Servicemen's Settlement Act 1950. The effect of the relaxation of control on farm lands brought about by this legislation is evidenced in the large increases in the number, area, and value of country transfers registered. The increases amount to 2,406 in number, 390,896 acres in area, and £18,142,000 in consideration, representing percentage increases of 30 per cent, 27 per cent, and 102 per cent respectively.

This was followed in 1952–53 by decreases in all categories from the previous year, very slight as far as the consideration for country properties is concerned, but amounting to £7,704,000, or 11 per cent, for town and suburban properties. The numbers for town properties fell by 6,820, or 15 per cent, and country properties by 1,411, or 13 per cent, the total areas involved showing sympathetic movements.

Increases in number, area, and consideration were recorded for 1953–54. Town and suburban properties showed marked increases of 4,102 in number, 917 acres in area, and £10,042,000 in value, representing percentage increases of 10 per cent, 9 per cent, and 15 per cent respectively. Country transactions only slightly increased in number and area, but showed a rise of £3,674,000, or 10 per cent, in consideration. Although the total number of transactions did not equal that of the years 1950–51 and 1951–52 the total consideration was a record, exceeding the previous year by £13,716,000, or 14 per cent, and exceeding the previous record of 1951–52 by £5,289,000, or 5 per cent.

As all classes of properties are included, land-transfer figures do not give a precise indication of any changes that may take place in property values. In the case of town and suburban properties, however, the numbers involved are sufficient to smooth out changes from year to year in the proportions of different classes of property included in the total. The average amount of consideration per town and suburban property transferred in 1939–40 was £627, and this rose by successive stages to £917 in 1943–44, the year in which the Servicemen's Settlement and Land Sales Act was introduced. In 1944–45 the average fell to £810, a decrease of £107 as compared with 1943–44, while the low point for subsequent years was £781 in 1947–48. Increases were recorded in the next six years, the averages being £813 in 1948–49, £833 in 1949–50, £1,234 in 1950–51, £1,6 in 1951–52, £1,665 in 1952–53, and £1,739 in 1953–54.

Further particulars relating to country properties from the year 1943–44 onwards are contained in the next table, but in this instance freehold properties only have been taken into account. From these figures in conjunction with those of the preceding table it will be seen that leasehold properties form a very small proportion of the total transferred in any one year. As indicated previously, very diverse types of property are included in the figures, and the averages should not be taken for more than they purport to show. This is particularly so in the case of country properties, where the number of transactions is comparatively small.

Year Ended 31 MarchNumberAreaConsiderationAverage Value per TransactionAverage Value per Acre
  Acres£££
19446,3991,209,13813,106,9932,04810.84
19456,3391,045,83310,504,5131,65710.04
19466,2121,063,73812,091,1271,94611.37
19477,4981,466,56516,631,8822,21811.34
19486,0381,462,98214,539,0972,4089.94
19495,5011,239,34112,663,6272,3029.82
19505,3361,268,76312,288,8852,3039.69
19517,4191,161,92616,885,9822,27614.53
19529,6551,514,28934,010,4593,52322.46
19538,2851,343,13133,049,7143,98924.61
19548,4421,371,09436,596,4524,33526.69

Monthly statistics of transfers on sale of land registered under the Land Transfer Act are available and are published regularly in the Monthly Abstract of Statistics.

The following analysis shows, for 1953–54, transfers of country freehold properties classified by area groups.

Size Group (Acres)NumberAreaConsiderationConsideration per Acre
  Acres££
Under 304,03329,1818,345,369285,986
30 and under 5057222,9722,081,37990,605
50 and under 1001,02075,5894,907,16164,918
100 and under 2501,480236,2309,134,65438,668
250 and under 500721258,2925,490,35921,256
500 and over616748,8306,637,5308,864
    Totals8,4421,371,09436,596,45226,691

LEGISLATION CONCERNING LAND SETTLEMENT AND SALE OF LAND—Legislation governing this aspect is found in the Land Settlement Promotion Act 1952. This Act replaced the previous enactments—viz., Servicemen's Settlement and Land Sales Act 1943 and the Servicemen's Settlement Act 1950.

Land Settlement Promotion Act 1952.—This Act has the objectives of providing for the closer settlement of farm land, for the acquisition of farm land that is, or when subdivided and developed will be, capable of substantially increased production, to prevent the undue aggregation of farm land, and to require that for a period of three years from the passing of the Act persons acquiring farm land shall personally reside on and farm the land.

For the purposes of the Act the current market value of any land, estate, or interest in land at any time is to be the sum determined by an order of the Land Valuation Court as being the sum which the land might be expected to realize at that time if offered for sale, unencumbered by any mortgage or other charge thereon, on such terms and conditions as a bona fide seller might reasonably be expected to require and as a willing but prudent and informed purchaser might reasonably be expected to accept.

Part I relates to the taking of farm land for settlement (including a lease or licence of Crown land or a lease of West Coast settlement land) and gives power to the Minister of Lands to do so if he is of the opinion that additional farm land is required for the settlement of landless discharged servicemen and others requiring land on which to establish themselves in farming, and that sufficient land cannot be acquired for that purpose by voluntary negotiation. The Minister in such a case may, on the recommendation of the Land Settlement Board, take any farm land that is, in his opinion, suitable for settlement, and is, or when subdivided and developed will be, capable of substantially increased production.

Land is not to be taken from any owner unless he owns farm land in fee simple or on lease perpetually renewable or on lease in perpetuity which, in the aggregate, amounts to three or more economic farms or could provide for these by subdivision.

The owner also has the right to retain an area of land which is the equivalent of two economic farms (or which could by subdivision provide these) and also is sufficient to provide (a) a separate economic farm for each child of the owner under twenty-one years of age at the time, and (b) at the Minister's discretion, for each child of the owner over the age of twenty-one years who, at the time, is in the Minister's opinion likely to follow farming as a career. In every case the owner shall be entitled if he so desires to retain his homestead.

Objections to the taking of land may be made, and provision is made for the hearing of the objection by the Land Valuation Committee or the Land Valuation Court, which may allow or disallow it either unconditionally or subject to such conditions as the Court thinks fit.

Provision is also made for the payment of compensation for any land or estate or interest in the land so taken, If the offer of compensation made by the Minister is not accepted the amount of compensation payable will be that prescribed by order of the Land Valuation Court, which shall be final as regards the amount awarded. Another provision deals with compensation in respect of mortgaged lands.

Part II deals with the control of sales and leases of farm land to prevent undue aggregation and to ensure personal residence. The Act applies to sales of freehold farm land, to leases of farm land for terms of three years or more, to sales of the lessees' interest under leases granted under the West Coast Settlement Reserves Act 1892, and to transfers of Crown land which, under section 208 of the Land Act 1924, do not require the consent of the Land Settlement Board, as well as to options for such sales and leases.

The consent of the Land Valuation Court is not required where the purchaser or lessee owns no other farm land, has not since the passing of the Act transferred any farm land to any person as trustee for any person or created any trust in respect of any farm land, and either intends to reside personally on the land and farm it exclusively for his own use and benefit or has been exempted by the Minister from the requirement of personal residence. The Minister is entitled, on considering all the circumstances, to dispense with the requirement of personal residence in any case, and if he declines to do so, the purchaser or lessee is entitled to apply to the Court, which may dispense with personal residence requirements, either absolutely or subject to conditions. In transactions entered into after 31 August 1955, personal residence will not be required.

All sales and leases to which Part II of the Act applies are prohibited unless they are entered into subject to the consent of the Land Valuation Court (application for consent is to be made within one month) or, in cases where no question of aggregation or personal residence arises, an appropriate declaration is deposited within that time in the Land Transfer Office or the Deeds Register Office.

The Land Valuation Committee may dispense with the requirement of personal residence if it is satisfied that (a) the production of the land will be substantially increased if it is acquired by the purchaser or lessee and the land is not suitable or adaptable for closer settlement, or (b) having regard to the purpose to which the purchaser or lessee proposes to devote the land and to his ability to achieve that purpose, its acquisition by him will be in the public interest.

The matters to be considered by the Court or Committee in determining v. whether undue aggregation would result are briefly (a) whether the farm land already owned, leased, held, or occupied in fee simple or under any tenure of more than one year's duration, by the purchaser or lessee, is sufficient to support him, his wife, and any dependent children in a reasonable manner and reasonable standard of comfort; (b) whether, having regard to land so held, etc., the acquisition of additional land could, judged by ordinary and reasonable standards, be considered excessive; (c) the nature of the use to which the purchaser proposes to devote the land and his ability to achieve that purpose; (d) whether the acquisition would be in or against the public interest; and (e) such other matters as, in the particular case, the Court or Committee considers relevant.

Part III of the Act deals with miscellaneous and machinery matters.

There is also legislation governing the administration of Crown lands, viz., the Land Act 1948. Details of this will be found in Section 18B, Crown lands.

18 B—CROWN LANDS

THE Crown lands are now administered under the authority of the Land Act 1948 and its amending Acts of 1950, 1951, 1952, and 1953. The principal Act consolidated into one Act all previously existing legislation relating to the lands of the Crown and also made certain amendments thereto. The Acts so consolidated and amended were the Land Act 1924, the Land for Settlement Act 1925, those provisions of the Education Reserves Act 1928 which relate to education reserves administered by a Land Board, the Hanmer Crown Leases Act 1928, the Small Farms Act 1932–33, and the amendments to those Acts. It also repealed, but did not re-enact, the Discharged Soldiers' Settlement Act 1915, the Hutt Valley Lands Settlement Act 1925, the Deteriorated Lands Act 1925, the Fruit Farms Settlement Act 1910, and the amendments to those Acts. The distinction that existed between Crown land subject to the various enactments mentioned was abolished by the new Act.

The Minister of Lands is charged with the administration of the Land Act, and his executive officer is the Director-General of Lands, who is the Permanent Head of the Department of Lands and Survey.

New Zealand is divided into twelve land districts, the executive officer for each district being a Commissioner of Crown Lands. The Act abolished the former Land Boards and vested their powers, rights, obligations, etc., in a central authority entitled the Land Settlement Board. This Board consists of the Minister of Lands (Chairman), the Director-General of Lands (Deputy Chairman), the Secretary to the Treasury, the Director-General of Agriculture, the Valuer-General, a representative of the State Advances Corporation, the Director of Rehabilitation, the Assistant Director-General of Lands, the Fields Director of the Department of Lands and Survey, a representative of the New Zealand Returned Services' Association, and not more than two other persons to be appointed by the Governor-General.

The duties of the Board are broadly defined in the Act as follows:

It shall be the duty of the Board to carry out the provisions of this Act for the administration, management, development, alienation, settlement, protection, and care of Crown land; and to carry out all negotiations for the purchase of land by the Crown under this Act, and the performance and completion of all contracts of purchase so entered into by the Crown.

To replace the former District Land Boards, the Land Settlement Board was required to appoint one or more Land Settlement Committees for each land district, and nineteen of these Committees have been set up. Each Committee consists of three members, including the Commissioner of Crown Lands for the land district as Chairman. The Board may also appoint as an associate member of any Committee any person who in the opinion of the Board possesses expert knowledge of advantage to the Committee in the execution of its functions, but associate members have no voting powers. The Committees have no functions expressly set out in the Act, but the Board has wide powers of delegating to Committees any of its functions.

METHODS OF ACQUIRING CROWN LAND.—A selector may purchase for cash, or on deferred payments, or may select on renewable lease. The normal practice is for applications to be invited for any vacant Crown lands, and for the successful applicant to be selected by ballot, although in certain circumstances preferential allotment can be made. Under legislation introduced by the Land Amendment Act 1950 any urban or commercial or industrial land may be offered for disposal by tender at a minimum price or rental value or by public auction at an upset price. Every applicant must be of the age of seventeen years or upwards, and may apply for Crown land solely for his own use or benefit, and not directly or indirectly for the use or benefit of any other person. Two or more persons may make application to purchase or take on lease or licence as joint tenants in common. No application for Crown land will be granted if, having regard to the land already owned, leased, held, or occupied under any tenure of more than one year's duration, the acquisition of additional land would, in the opinion of the Board, amount to undue aggregation of land. An application will also be refused if the Board considers that the land is intended to be used for speculation or for uneconomic purposes.

Crown land may be acquired on the following tenures:

  1. Farm land or urban land—(a) On renewable lease; (b) for cash; (c) on deferred payments. A renewable lease is for a term of thirty-three years with a perpetual right of renewal for the same term, and, except where otherwise provided for, with a right of acquiring the fee simple. The Board may, however, determine that any specified land may be taken on renewable lease only, but without the right of acquiring the fee simple.

  2. Commercial and industrial land—(a) On renewable lease for thirty-three years; (b) on lease for any term, but so that the aggregate term, including the renewals (if any), does not exceed fifty years. These lands may be now acquired in the same manner as urban or farm land, including the right of freehold.

  3. Pastoral land—(a) On pastoral lease for a term of thirty-three years with a perpetual right of renewal for the same term, but with no right of acquiring the fee simple; (b) on pastoral occupation licence for a term not exceeding twenty-one years.

  4. Short tenancies for grazing or other purposes for a term not exceeding five years.

  5. Land for communal grazing—The Board may grant a lease or licence for any Crown land to any person or group or association of persons, or to any body corporate, for use as communal grazing. The term is for a period not exceeding thirty-three years, with or without a right of renewal and subject to such conditions as the Board may decide.

  6. Unclassified land—Where in the opinion of the Board any Crown land available for disposal cannot properly be classified as farm land, urban land, commercial or industrial land, or pastoral land, the Board may sell or grant a lease for any term not exceeding thirty-three years, with or without a right of renewal, perpetual or otherwise, for the same term.

Every holder of a lease or licence is required to effect within a certain specified period such improvements as the Board determines. In most cases the lessee or licensee of any farm or pastoral land is required to commence to reside on the land within one year after the date of his licence.

LAND DEVELOPMENT.—The Land Act empowers the Land Settlement Board to carry out such development works as may be required to improve the quality or condition of any Crown land or to make it fit for settlement. This includes the erection of buildings, and the Board may carry on all usual farming activities on land developed or being developed until the time is appropriate for the disposal of the land on permanent tenure.

The Board may also make advances or re advances to lessees or licensees of Crown land to assist them in the development of their holdings. Purposes for which advances may be made include erection, improvement, etc, of buildings; clearing, draining, fencing, cultivation, grassing; provision of electric power, telephone services, and water; purchase of fencing materials, fertilizers, implements, etc.; and purchase of live-stock.

The Government announced in March 1953 that while land would continue to be purchased and developed for the settlement of A grade ex-servicemen as long as there was the necessity, a start had been made with the settlement of civilians by the introduction of a general land settlement scheme. The first offerings under this scheme were made at the end of 1953.

SELECTIONS UNDER SETTLEMENT CONDITIONS.—As stated earlier, the Land Act 1948 consolidated all enactments relating to lands of the Crown and abolished the distinctions between ordinary Crown land (that is, land subject to the Land Act 1924), settlement land, Education reserve endowments, and small farms land; all these lands are now simply Crown land subject to and administered under the Land Act 1948. The numerous tenures under which Crown land could be held (approximately forty different tenures) are replaced by four principal ones—sale for cash, sale on deferred payments, renewable lease, and pastoral lease or licence.

The following table shows details of the various freehold selections during the year 1953–54, together with totals for 1952–53.

FreeholdNumber of SelectorsTotal Area SelectedPurchase-price
Crown lands— Acres£
  Farm land27812,33653,563
  Urban land377144109,691
  Commercial or industrial land3139109,339
Lands freeholded pursuant to section 67, Land Act32519,642
Lands freeholded: Land Subdivision in Counties Act521315,495
    Totals 1953–5474112,783297,730
    Totals, 1952–536987,797187,082

Corresponding details concerning selections made under leasehold tenures are now given for similar periods.

LeaseholdNumber of SelectorsTotal Area SelectedAnnual RentalAnnual Instalment

* Areas and rentals not shown, as licences are on royalty basis only.

NOTE.—Section numbers refer to Land Act 1948.

Crown lands—    
  Renewable lease— Acres££
  Farm285118,77822,6931,884
  Urban3610416..
  Commercial or industrial737312..
  Pastoral leases327,495185..
  Pastoral occupation licences11,03015..
  Deferred payment licences—    
    Farm8314,636..9,405
    Urban290122..10,625
    Commercial or industrial2611..2,975
    Land Subdivision in Counties Act11..35
Special leases under section 671132,644725..
*Special leases under section 16527......
Special leases under section 166264777..
Annual grazing leases, section 69116054..
Grazing and other leases, section 6889550,57734,507..
    Totals1,770216,14858,98424,924
Endowment lands—    
Westport Harbour Board endowments524314..
Leases under section 1692212152..
Leases of public reserves202648..
Leases under section 48265331,923..
    Grand totals, 1953–541,823217,16261,12124,924
    Grand totals, 1952–532,055305,49440,45336,566

The total number of selections for the year, 2,564—i.e., both freehold and leasehold—fell short by 189 of those for last year, when the number was 2,753. The area selected was also less, being 229,945 acres, as against 313,291 acres in the previous year, a difference of 83,346 acres.

In the freeholds, however, the selections were up 43 on last year's figures of 698, with a correspondingly higher figure for acreage selected, viz., 12,783 acres, as against 7,797 acres, an increase of 4,986 acres. However, it is in the purchase prices paid that the difference is noticeable, this year's figures for freehold selections being £297,730, an increase of £110,648 over last year's total of £187,082.

With leasehold selections there were 232 fewer, the area involved being 88,332 acres less than the previous year's. However, annual rentals showed an increase of £20,668 over last year's figures of £40,453, but annual instalments fell from £36,566 to £24,924, a difference of £11,642.

While interest in purchasing Crown lands for cash is still high, the reason for the decrease in leasehold selections can largely be attributed to the fact that the backlog of renewals of leases which had accumulated as a result of the war years has been practically overtaken and districts are now faced only with the job of dealing with current expiries. It is to be noted that the figures include farm, urban, and industrial lands as well as selections on miscellaneous tenancies.

CROWN LAND HELD UNDER LEASE OR LICENCE.—Since the Land Act 1948 came into operation on 1 April 1949 any new leases issued have been under that Act. The next table shows the leases current as at 31 March 1954. Part (a) gives details of those leases which have been issued under the Land Act 1948, while Part (b) shows the leases issued under Acts prior to the Land Act 1948 and which were still current at 31 March 1954. The numbers of leases in the second Part will gradually diminish as the leases concerned expire and lessees on renewal are given a new lease under the Land Act 1948.

The following table summarizes the year's operations in the various tenures under the Land Act 1948. The total number of leases and licences current as at 31 March 1954 was 274 less than at the same time last year, the area being 185,598 acres less. This is due to the fact that the number of new leases and licences issued under the Land Act 1948, mainly from selections, renewals, or conversions, almost equalled the number of those freeholded, paid-off, converted, or expired.

TenureNumberAreaAnnual RentAnnual Instalments (Including Improvement Loadings)

* Areas and rentals not included, as licences on royalty basis only.

(a) Tenures Under the Land Act 1948
Crown land—    
  Renewable leases— Acres££
    Farm2,8331,670,983247,5377,332
    Urban5673135,011119
    Industrial25241,043..
  Pastoral leases1022,224,44921,450116
  Pastoral occupation licences43611,7633,256..
  Deferred payment licences—    
    Farm845277,740..84,228
    Urban851429..30,784
    Industrial601,256..10,088
    Land Subdivision in Counties Act11..35
  Special leases (section 67, Land Act)—    
  Renewable—    
    Farm192,339575446
    Urban10425414..
  Non-renewable—    
    Farm133,038384..
    Urban34259..
Licences for removal of minerals*87......
Flax leases368578..
Miscellaneous licences4,681430,23247,516115
    Totals, Crown land10,2375,223,281327,523133,263
Endowment lands—    
Leases under section 169, Land Act71,021202..
Leases under section 48, Land Act539973,257..
Leases of public reserves100582262..
Sundry tenures10288,1453,557..
    Totals, tenures under Land Act 194810,4995,314,026334,801133,263
(b) Tenures Under Acts Prior to the Land Act 1948
Crown land— Acres££
  Renewable leases6,3971,807,035205,5204,057
  Leases under section 5, Discharged Soldiers' Settlement Amendment Act 1921–229719,2526,120258
  Special tenure leases688211,92935,625873
  Leases in perpetuity6,5981,233,321153,82231
  Perpetual leases994,998683..
  M.D.L.O. leases3126,398758..
  Pastoral regulation licences (mining districts)19035,784875..
  Small grazing run leases4381,445,23838,15980
  Pastoral run licences4425,221,72052,05034
  Education reserves: Public Bodies' Leases Act1,415185,06431,496169
  O.R.P. licences6717,6051,590..
  Deferred payment licences1,327287,559..44,312
  Miscellaneous licences1,399285,06710,31627
  Small farm leases702,516930..
Leases under Education Lands Act—    
  Leases350119,99824,700198
  Temporary tenancies382642,362..
  Agreement, sale and purchase: Waikato Land
  Settlement Society131,180..1,507
  Hanmer Crown leases140323683..
  Cheviot grazing farm leases1521,2274,963..
  Sundry leases333,8501,20747
      Sub-totals20,12810,910,328571,85951,593
Endowment lands—    
  Westport Harbour Board endowment58211,8961,698..
  Otago University endowment969,4422,257..
  Lower Clutha River Trust525,691712..
  Thermal Springs licences9197347..
  Sundry other endowments68113,2213,32029
    Totals, tenures under Acts prior to Land Act 194820,88311,130,675580,19351,622
    Grand totals, all tenures31,38216,444,701914,994184,885

LEASES AND LICENCES FREEHOLDED OR CONVERTED TO OTHER TENURES.—There were only 5 cases, involving 5,802 acres, during the year where lessees availed themselves of the provisions of the Land Act to convert their existing tenures to those pertaining under the new legislation. All cases related to farm land. For purposes of comparison, last year's figures were 11 conversions over 12,336 acres. Particulars of the transactions completed during the year are as follows:

Conversions to Other TenuresNumberArea
Conversions to— Acres
  Renewable leases: Farm (section 126, Land Act)45,533
  Deferred payment licence: Farm (section 127, Land Act)1269
    Totals55,802

That there are still many Crown lessees desirous of obtaining a freehold title to their lands is illustrated by the fact that in the twelve months ended March 1954, 700 applications to freehold have been dealt with. Although this number fell short of that for the previous year by 154, the area freeholded and the price paid for it was little short of the previous year's totals. This year freeholdings totalling 124,919 acres realized £715,055, against the previous year's figures of 854 completed applications for 145,677 acres bringing £742,331. The figures for 1953–54 do not include particulars of deferred-payment licences which have been paid off, and do not take into account applications lodged and on which action has not been completed.

Leases and Licences FreeholdedNumberAreaPurchase Price
For cash— Acres£
  Crown lands47359,989330,447
  Endowment lands354,658
On deferred payments—   
  Crown lands22364,924379,040
  Endowment lands11910
    Totals700124,919715,055

PURCHASE OF LAND FOR SETTLEMENT.—The Land Act 1948 authorizes the Land Settlement Board to purchase private land or the interest of any lessee or licensee in any Crown land or Maori land for the purposes of settlement as farming, urban, commercial and industrial, or pastoral land. The Servicemen's Settlement and Land Sales Act 1943 also authorized the purchase of privately-owned lands, and, in addition, gave power to acquire farm land compulsorily for the settlement of ex-servicemen. This latter power was also contained in the Servicemen's Settlement Act 1950, which expired on 30 June 1952. By section 3 of the Land Settlement Promotion Act 1952 power is given to the Minister of Lands, under certain conditions, to take any farm land suitable for settlement, where additional farm land is required for settlement of landless discharged servicemen and others requiring land on which to establish themselves in farming (see p. 411).

ASSISTING PRIVATE PURCHASE OF LAND—Where the Land Settlement Board is satisfied that the area of Crown land held by any lessee or licensee is too small to be successfully occupied as a single unit, it may authorize the making of an advance to enable him to purchase the interest of a lessee or licensee in any other Crown land which can be conveniently farmed with the land already held.

LAND FOR DISCHARGED SERVICEMEN.—Authority is contained in the Land Act 1948 for the granting of a lease or licence over Crown land to a discharged serviceman without competition. The Act also provides that where there are simultaneous applications for Crown land and, in the opinion of the Land Settlement Board, there are two or more applicants who are equally suitable to be allotted the land, an applicant who is a serviceman or a discharged serviceman or the wife or widow of a serviceman or discharged serviceman shall have preference over all other classes of applicants.

Land is acquired by the Crown for the purposes of settling ex-servicemen under the following methods:

  1. By the purchase of privately owned properties:

  2. By the setting apart for the purposes of the Act of Crown lands subject to the Land Act 1948:

  3. By the resumption by the Crown of land already held under Crown lease or licence:

  4. By the provisions of section 3 of the Land Settlement Promotion Act 1952 giving power to the Minister to take farm land under certain conditions. The owner has the right to retain an area which is, or will provide, the equivalent of two economic farms and, in addition, will provide for an economic farm for each of his children under twenty-one years of age and, at the Minister's discretion, for each child of the owner over twenty-one years who is likely to follow farming as a career.

The following table contains particulars of land acquired for development and for the settlement of ex-servicemen during the year ended 31 March 1954, and from the commencement of the scheme to 31 March 1954; also shown are those areas made available for settlement and the balance on hand at the latter date. The figures do not include particulars relating to ex-servicemen who have been assisted by way of rehabilitation loans to purchase established farms on their own account. Further information concerning the settlement of ex-servicemen on the land will be found in Section 9B, “Rehabilitation”.

Year Ending 31 March 1954From Inception to 31 March 1954
AreaUnitsAreaUnits

* Includes areas purchased for other than ex-servicemen settlement and not included in this schedule in previous years.

† The reduction on last year's figures is explained by the revocation of the taking over of one area of 1,299 acres comprising 4 units, plus the rescheming of other areas, resulting in a further reduction of 2 in the number of units to be obtained.

‡ Disposals to civilians promised allotment, or actually settled prior to the introduction of ex-servicemen settlement scheme, on parts of blocks which were brought into the Land Development Scheme.

ACQUISITIONSAcresNumberAcresNumber
  (a) Purchased by voluntary negotiation105,5621061,106,555*2,030*
  (b) Compulsorily acquired (Servicemen's Settlement and Land Sales Act 1943 and Servicemen's Settlement Act 1950)....281,474938
  (c) Properties where ex-servicemen substituted under section 31 (3) (b), Servicemen's Settlement Act 1950....17,39079
  (d) Crown land made available25,55176327,2041,153
    Totals, Acquisitions131,1131821,732,6234,200
DISPOSALS    
1. To Grade “A" Ex-servicemen    
  (a) Developed units (including substitutions)71,6632081,122,1672,890
  (b) Partially developed units1,865114,18232
  (c) Unimproved units33721,3145
  (d) General Land Settlement Scheme1,820121,82012
 75,6852331,129,4832,939
2. To Non-graded Ex-servicemen and Civilians    
  (a) Developed units343310,58824
  (b) Partially developed units1,73595,37423
  (c) Unimproved units6,8591414,83037
  (d) General Land Settlement Scheme2,691152,69115
  (e) Miscellaneous....7,87058
 11,6284141,353157
3. Sundry Disposals    
  (a) Transferred to Department of Maori Affairs for settlement of Maori ex-servicemen....11,96330
  (b) Transferred to Department of Agriculture for experimental purposes....1,6856
  (c) To adjacent owners, riverbank reserve, bush reserve, unsuitable for settlement, etc.....82,892..
 ....96,54036
    Totals, Disposals....1,267,3763,132

Rent under renewable lease is based on the unimproved value of the land at the date of the lease or renewal, and in the case of discharged servicemen is calculated at the rate of 2 per cent of such unimproved value for the first year and 3 per cent for the balance of the first term.

The amount of the value of the improvements on the land at the date of the lease is deemed to have been advanced to the lessee and is secured by mortgage of the lease, the mortgage being secured to the State Advances Corporation, which extends interest concessions and gives the same terms as are given in respect of mortgages of freehold properties. The State Advances Corporation also has power to make advances on its usual terms for stock, chattels, or further improvements.

Provision was made in the Land Amendment Act 1950 for the granting of suspensory loans in cases where an ex-serviceman was settled on Crown land after the commencement of the Servicemen's Settlement Act 1950 and had been granted rehabilitation assistance for the purpose. This loan, which was not to exceed the difference between the 1942 value and the current market value, was not enforceable so long as the purchaser resided personally on the land and farmed it exclusively for his own use, etc. If the purchaser carries this out for ten years, the loan is discharged.

18 C—MAORI LANDS

DEFINITION AND KINDS OF MAORI LANDS.—Maori land is of two kinds—namely, customary land and Maori freehold land. Customary land is land which has never been the subject of a Crown grant and is held by Maoris under the customs and usages of the Maori people. It is land in respect of which the ancient customary Maori title as recognized by the appropriate provisions of the Maori Affairs Act 1953 has not yet been extinguished. Such land, since it has not been Crown-granted, remains vested in the Crown, subject, however, to the customary title of the Maoris, and to their right to have the customary title transformed into a freehold title by the Maori Land Court. There is little of this class of land now left in New Zealand.

Customary land has always been restricted from alienation except in favour of the Crown. By the Treaty of Waitangi the exclusive right to purchase such land was reserved to the Crown, and in all statutes since passed the alienation of customary land to private individuals has been prohibited, and this prohibition is now extended to the Crown. Maori freehold land is the land held by Maoris under an ordinary freehold title, though subject to certain restrictions on alienation and other special incidents which are unknown to the ordinary law.

Whether land is Maori or European land depends upon the beneficial ownership of it, and not merely on the legal ownership. If land is held by a European in trust for a Maori, it is Maori land; if it is held in trust by a Maori for a European, it is European land. There are, however, four exceptions to this:

  1. When land has once become European land it does not again become Maori land unless by special enactment, by being exchanged for Maori land, or in special circumstances by declaration by Order in Council.

  2. Land purchased by a Maori from the Crown for a pecuniary consideration is not Maori land. This does not include an exchange of land, with or without a payment of money by way of equality of exchange.

  3. Land held by a Maori in severalty may be declared to be European land by the Maori Appellate Court.

  4. Under certain circumstances (see page 309 of 1942 Year-Book) the Maori owner may have been declared a European.

Even though one of many Maori owners may sell, the land remains Maori land until all have disposed of their interests, or until the purchaser has had his interests partitioned off. The term “Maori" includes a half-caste, or a person intermediate in blood between a Maori and a half-caste.

The Maori Land Act 1931 and the Maori Purposes Act 1931 were consolidations, with amendments, of previously existing legislation.

The Maori Affairs Act 1953 replaced most of the provisions of the 1931 Acts and, in addition, amended the law relating to Maori lands in many ways. The Maori Trustee Act 1953 forms another part of the plan for the consolidation of the law relating particularly to Maoris and Maori land. These two Acts are closely related.

By virtue of the Maori Affairs Act 1953 the problem of “uneconomic interests” in Maori freehold land is left to a large extent to the discretion of the Maori Land Court, and only those interests which cannot be otherwise satisfactorily dealt with will be vested in the Maori Trustee.

BOARD OF MAORI AFFAIRS.—The Board of Maori Affairs constituted under the Maori Affairs Act 1953 consists of the Minister of Maori Affairs, the Secretary for Maori Affairs, the Director-General of Lands, the Valuer-General, the Secretary to the Treasury, the Director-General of Agriculture, the member (if any) of the Executive Council representing the Maori race, and three other members appointed by the Governor-General.

The functions of the Board include, inter alia, the following:

  1. The control of the development and settlement of Maori land or land owned or occupied by Maoris.

  2. The approval of investment and advances, and of certain expenditure from the Maori Trustee funds.

  3. The control of negotiations for the acquisition of Maori lands by the Crown.

  4. The control of expenditure on housing operations under the Maori Housing Act 1935 as amended in 1938.

MAORI LAND COURT.—The Maori Land Court consists of a Chief Judge and such other Judges as the Governor-General may think fit to appoint. All powers of the Court may be exercised by a single Judge, but there are certain important powers vested exclusively in the Chief Judge. Commissioners are appointed who exercise such jurisdiction of a Judge as the Governor-General authorizes. The chief matters within the jurisdiction of the Court are—

  1. The investigation of title to customary land, and transforming it into Maori freehold land.

  2. The exclusive power of partitioning land among the owners.

  3. The sanctioning of exchanges for other Maori land and European land.

  4. Granting probates of wills and effecting succession to the estates of Maoris.

  5. Making orders for the adoption of children.

  6. Appointing trustees for Maoris who are minors or under other disability.

  7. The incorporation of the owners of Maori land.

  8. The determination of various claims as between Maoris.

  9. To grant confirmation of alienation of Maori land.

The Maori Appellate Court consists of any two or more Judges of the Maori Land Court, provided that two Judges at least shall concur in every decision of the Court. With certain exceptions the Appellate Court determines appeals, whether on law or on fact, from all final orders of the Maori Land Court.

MAORI TRUSTEE.—The Maori Trust Office was originally created to take over from the Public Trust Office the administration of certain Maori reserves and the administration of the estates of deceased Maoris and those under disability. The Maori Trust Office now forms part of the Department of Maori Affairs and is headed by the Maori Trustee, comparable in status and function with the Public Trustee. The control of most Maori Trustee activities has been decentralized by the delegation of wide powers to the District Officers of the Department of Maori Affairs, who deal primarily with all Maori Trustee matters in their districts. A detailed review of the functions and powers of the Maori Trustee is contained in parliamentary paper G-9 of 1954.

By the Maori Land Amendment Act 1952 the Maori Trustee took over much of the powers, functions, and property of the former Maori Land Boards abolished by that Act.

The Maori Trustee may be appointed executor of the will of a deceased Maori or administrator of an intestate Maori estate. He may also be appointed trustee to manage the property of Maoris who are minors or suffer from some other legal disability, and is statutory trustee of the estates of Maori mental patients. The Maori Trust Office Regulations 1954 prescribe the rates of commission and fees chargeable by the Maori Trustee and the rates of interest payable in respect of moneys held by him in his Common Fund.

In the past the Maori Trustee has been engaged in fairly extensive farming operations principally in the East Coast district, but this activity is now being discontinued, the control of the various farms and stations being handed back to the interested Maoris.

In addition to the administration of Maori reserves, situated mainly in Taranaki, and in Nelson, Greymouth, and other South Island localities, the Maori Trustee has taken over from the Maori Land Boards the administration of large areas of Maori land elsewhere. Most of these lands are, like the Maori reserves, vested in the Maori Trustee, who is responsible for leasing them and distributing the proceeds to the owners. Another function taken over from the Maori Land Boards is the collection and distribution to owners of rents from most other Maori land under lease.

The Maori Trustee has extensive lending powers used principally for the settlement and improvement of Maori land and for the establishment of Maoris in business. Most advances are made on the security of Maori land.

The following table contains a summary of the financial position of the Maori Trustee as at 31 March 1953 and 1954. The particulars of assets and liabilities are for the twelve months ended in those years.

As at 31 March
19531954
Assets—££
Cash68,091202,943
Investments—  
Government securities1,905,4092,029,653
Local body debentures102,551101,582
Mortgages, charges, and advances on overdraft500,005502,435
Land, buildings, and miscellaneous116,586128,046
    Totals2,692,6422,964,659
Liabilities—  
Amounts held for beneficiaries and sundry depositors2,210,1852,423,851
Reserves and Appropriation Account473,083538,028
Sundry creditors, etc.9,3742,780
    Totals2,692,6422,964,659

POWERS OF ALIENATION.—The ordinary provisions as to alienation of Maori land do not affect the power to dispose of land by will, but a Maori cannot will to a European except it be a husband or wife or other relative of the person making the will. A Maori cannot dispose of customary land, whether by will or otherwise. No alienation of Maori land by a Maori has any effect until it is confirmed by the Maori Land Court.

The Court, before confirming an alienation, must satisfy itself, inter alia, that it is not contrary to the interests of the Maori alienating; that the consideration is adequate; that the purchase money or other consideration is paid or secured; and that the alienation is not otherwise prohibited by law. A lease of Maori land cannot be for a longer term than fifty years.

With regard to Maori freehold land, the Court during 1953–54 approved of new leases comprising 24,295 acres to Europeans and 21,015 acres to Maoris, the previous year's figures being 19,092 and 16,976 acres respectively. It confirmed transfers (apart from sales to the Crown) affecting 19,153 acres of freehold land to Europeans and 4,456 acres to Maoris in 1953–54, the corresponding 1952–53 figures being 16,430 and 3,954 acres respectively. During the year ended 31 March 1954 timber-cutting rights were confirmed by the Court in respect of 33,169 acres.

PURCHASE OF MAORI LAND FOR THE CROWN.—The duty of undertaking, controlling, and carrying out all negotiations for the acquisition of Maori lands by the Crown, and the performance and completion of all contracts entered into, is imposed by statute upon the Board of Maori Affairs.

Pending any purchase by the Crown the Governor-General may, by Order in Council, prohibit alienation other than to the Crown. Upon the purchase being completed the land is proclaimed Crown land, and is subject to administration under the Land Act 1948. Where the land is subject to lease when purchased, there may be extended to the tenant the option of purchasing the land from the Crown or having a renewable lease granted to him.

The area of Maori land still held by Maoris in the North Island is estimated at 3,750,000 acres, and in the whole of New Zealand at 4,000,000 acres. In many cases the Maoris are utilizing their land for pastoral and dairying purposes. Other lands are being farmed for them by the Maori Trustee. Extensive areas formerly managed for the Maori owners by the East Coast Commissioner, acting under statutory powers, are in the process of being returned to the management of the owners, who propose to continue farming them under the system of incorporated owners provided by Part XXII of the Maori Affairs Act 1953.

MAORI LAND DEVELOPMENT.—The main activities in new development during 1953–54 have been in the Waikato - King Country, and Northland districts. In the Waikato - King Country considerable areas are being brought back to production by clearance of noxious weeds; and in Northland the pressure of a large Maori population makes development worth while.

In general there is evidence that the standard of Maori farming has recently improved. Increased numbers of farmers are making provision for supplementary winter and summer fodder as well as recognizing the value of rationed grazing by the use of the electric fence. The establishment of training farms in certain areas has shown good results.

In 1953–54, 53 Maori settlers (including 6 ex-servicemen) were settled on economic holdings.

Since the commencement of development to 30 June 1954, 331 settlers (including 36 in 1953–54) had repaid advances and had their lands released from the provisions of Part I of the Maori Land Amendment Act 1936.

The following table gives statistical data on unit settlers up to 30 June 1954.

Area (acres)185,167
Capital value£3,327,978
Number of settlers— 
  (a) Dairy1,048
  (b) Sheep104
  (c) Mixed175
Development to date (acres)— 
  (a) Permanent grass121,786
  (b) Under cultivation7,685
  (c) Undeveloped but suitable30,976
  (d) Not suitable for development24,720
  (e) Grassed during year1,981
Livestock— 
  (a) Dairy cows (January 1954)37,000
  (b) Other dairy stock25,976
  (c) Run cattle5,501
  (d) Sheep87,678
Production for year— 
  (a) Butterfat (lb.)6,159,814
  (b) Wool (bales)2,235
Tenure— 
  (a) Leaseholds and freeholds480
  (b) Nominated occupiers847

Certain statistics on Maori land development (schemes and stations) are now given.

1953–54 Year Land Under Part XXIV, M.L.A. ActLand Under Maori TrusteeTotal
Area of stationsAcres260,11446,918307,032
Stations, 1 July 1954No.1026108
Stations returned to owners or otherwise releasedNo.7310
Area in grassAcres123,35327,773151,146
Area in course of developmentAcres10,30260910,911
Area undeveloped but suitable for developmentAcres64,3777,31371,690
Area not suitable for developmentAcres62,60211,22373,825
Area cleared last yearAcres6,0836886,771
Area grassed last yearAcres11,32918111,510
New fencingChains13,75425414,008
New drainsChains79458852
Planned subdivisionNo.5242526
SheepNo.198,31344,961243,274
Run cattleNo.32,8205,40338,223
Dairy cattleNo.2,618282,646
Wool productionBales4,3251,0595,384
Butterfat productionlbs.93,030..93,030

18 D—SURVEYS AND MAPS

INTRODUCTORY.—The surveys of Crown lands, Maori lands, land purchased under the former Settlements Acts and the Land Act 1948, lands acquired under the Lands Settlement Promotion Act 1952, and lands acquired or taken for public works, are executed under the authority of the Minister of Lands, and are carried out by staff and contract surveyors registered by the Survey Board under the provisions of the Surveyors Act 1938, which came into operation on 1 July 1939. This Act provides that in order to undertake surveys all registered surveyors must hold annual practising certificates, issued by the Secretary of the New Zealand Institute of Surveyors.

The surveys of private lands for the purpose of the Land Transfer Act are carried out by private surveyors similarly registered.

Statutory authority for the surveyor to enter upon any land and to place survey marks thereon is contained in several Acts, and the wilful destruction of these marks is subject to a severe penalty.

All surface surveys are made in accordance with regulations laid down and are subject to field check (if thought necessary) and to office examination prior to approval and deposit.

The standard of length is the chain of 22 Imperial yards divided into 100 links, and all linear measurements have to be expressed in terms thereof, and areas in acres, roods, and perches, with decimals of a perch. Standard comparison bands are available in each District Office, as well as at the office of the Surveyor-General.

SURVEY SYSTEM.—Control Survey: Until the abolition of the provincial system of government in 1876 the surveys of New Zealand were conducted by nine survey departments, each independent of the other, and working on no common system. At that date an amalgamation into one department was accomplished. Several of the provincial services had conducted their surveys on a trigonometrical basis, but, as the others were building one survey on another by traverse on magnetic or other azimuthal bearings, without any reference to true meridian or the independent check of triangulation, a state of considerable confusion and uncertainty had arisen in the survey records.

In these circumstances it was necessary to devise a system that would rapidly bring the surveys under control and record, so that settlers might be placed in secure possession of their land, and the Crown be safe to issue titles on reliable plans and descriptions.

The plan adopted was to divide the country into twenty-eight districts, designated “meridional circuits.” At the initial or main station of each the astronomical meridian was determined from observations of circumpolar stars, and the latitude from observations of stars north and south of zenith. Lines of bearings on the true astronomical meridian of the initial station were extended throughout its circuit to the plains and valleys where surveys were in progress. Within three years these standard bearings had been so extended as to enable all the surveys to be conducted on the true meridian of their respective circuits. Following immediately on this operation, a base line was measured, and a minor triangulation of two- and three-mile sides, starting from one of the stations of the standard bearing, was spread over the country wherever most required for the check and connection of the settlement surveys. In this way New Zealand was placed very quickly under a system of correct recordable survey, readily adjusted to the requirements of a population rapidly spreading over areas widely apart. The intervening spaces have since been filled in, and the network of triangles is a continuous chain extending over the Islands from north to south, a distance of 1,100 miles. Simultaneously with the minor triangulation of the country, a topographical survey was carried on, giving the positions of rivers, plains, mountains, forests; best lines for future roads; altitudes of valleys, passes, and mountains; and generally a correct representation of the features of the country, to a scale of 2 inches to the mile.

Sectional: Each meridional circuit was subdivided into squares with sides of 1,000 chains in length, the meridian and perpendicular through the initial station being taken as the starting point. These squares, called “survey districts,” were further divided into sixteen squares called “blocks,” with sides of 250 chains in length. The sections for sale or lease were superimposed upon these and numbered consecutively in each block. Thus each section has for the purpose of record and title registration a complete identification by means of its number, the number of the block, and the name of the district. Unfortunately, it was not found practicable to incorporate in this system the sections which had been alienated prior to 1876; and the provincial registration districts—parishes, hundreds, Crown grant districts, squares, etc.—were perpetuated.

In general, sections were surveyed before selection or disposal, and in these cases the sections were set off with due regard to the topography, thus making each section as far as possible a farm unit with good access, water supply, and those other factors which make for the economical working of a farm.

The boundary lines of the sections were marked at all corners by stout pegs and lockspits, with additional marks where lines were long and straight. In bush the lines were cut out and similarly marked at corners.

The main object of the survey is to enable the settlement of lands to proceed on a system which will give the settler the possession of a definite piece of land without fear of future rival claims. The Crown, which guarantees titles, is also freed from embarrassing claims for compensation caused by overlapping boundaries.

Office Computation and Records: The triangulation of each circuit was computed as plane, neglecting the curvature of the earth, and the triangulation stations were co-ordinated on the meridian and perpendicular passing through the initial station. Road and sectional surveys were made by traverses with theodolite and chain, rigidly connected to the triangulation stations, and the traverse points were similarly co-ordinated. All surveys were thus subject to complete mathematical check, and could be recorded by direct plot from co-ordinates. Areas generally were mathematically deduced, graphic methods being used only for those portions bounded by irregular lines such as streams. All surveys were recorded on index maps, on scales varying from 4 inches to a mile in rural districts to 1 inch to 1 chain in urban districts. The original survey plans, field notes, and co-ordinate tabulations are all carefully stored in fireproof strong-rooms and are readily available to surveyors requiring the use of the information contained.

In a new country it is of the first importance that all surveys should stand the mathematical test of reduction to the meridian and perpendicular of a governing trigonometrical survey, for, unlike the surveys of old countries, where time-honoured landmarks and a settled population conserve boundaries, the surveys of a new country have no such aid, but, instead, have to create boundaries, in the unoccupied wilderness, which at best can only be marked by perishable surface marks. Then, again, the frequent changes of ownership of land in New Zealand facilitated by the Land Transfer system, and the responsibility of the Government in guaranteeing all titles under it, are cogent reasons why the rigid mathematical system of reduction of traverse to the meridian and perpendicular of the stations of a trigonometrical survey should be adopted and maintained.

GEODETIC SURVEY.—Increasing Accuracy: On completion of the original triangulation in the meridional circuits it was found that there were considerable discrepancies in the lines on the boundaries of the circuits, which were common to two or more. These discrepancies were caused principally by two factors—the accumulation of observational errors in the triangulation and the want of a common standard of length in the measurement of the bases. These differences were not sufficiently large to cause any embarrassment while traverses were made with the gunter chain and early pattern theodolite, but on the invention (by a New Zealander, Mr. A. Fairburn) of the long steel tape in the early “seventies,” and the increased accuracy of later model theodolites, part of the value of the triangulation was impaired. Thus, while the network of permanent marks still controlled the position of boundaries, the field traverses of equal or even greater accuracy than the triangulation sides could no longer be used as definite checks.

First Order Triangulation: Early in this century it was decided to throw over the country a network of large triangles with a high degree of accuracy and from this to recompute the original minor triangulation to conform. In 1904 twelve steel bands were obtained, each with a Board of Trade certificate as to its correct length at a defined temperature and tension. Base lines were selected, and five in the North Island were measured between 1909 and 1914, when the outbreak of the First World War stopped further progress. In 1922 work was resumed, to be again stopped by the depression in 1931. After five years' cessation this work was resumed in 1936, the first order network observations being completed by the end of 1941, when it was necessary to divert the staff engaged thereon to the urgent task of topographical mapping for the Army. One of the three selected base lines in the South Island was measured temporarily to provide a more adequate control for the plotting of the topographical map series in the Southland district.

Field operations of the geodetic triangulation were completed in 1948, when all the necessary longitude fixes were made. The measurement of the base lines in the South Island was completed in the 1947 season.

The observational work has been done to an accuracy well within the limits set by the International Association of Geodesy for work of the highest precision.

Astronomical Positions: Latitude and azimuth observations have been taken in conjunction with the first order triangulation, about one station in every three being so observed. Longitude observations by wireless telegraphy have been made at stations 100 miles apart, so that in conjunction with latitude and azimuth these stations may be used for Laplace equations to control the entire triangulation.

The work of adjusting the observations and computing co-ordinates of the first order triangulation was sufficiently advanced in 1949 to establish a new datum which has already been adopted for some mapping work and in terms of which it is intended to bring ultimately all geographic and grid co-ordinates. This datum is known as the Geodetic Datum, 1949.

Second and Third Order Triangulation: It was originally anticipated that the old minor triangulation could be utilized after readjustment to conform to the new first order, but after attempting to do this it was found that larger corrections than could now be tolerated were being introduced into the old work. In some instances this was undoubtedly due to actual displacement of old stations, but in the majority of cases the fault lay in the old triangulation not being of sufficiently high standard. It was therefore necessary to re-observe the old work, and this has been done in three of the circuits to date.

In this way accurate geographical results over New Zealand will be moulded into one harmonious whole on a co-ordinated system and on a basis which gives the correct relation of one part to another, with no possibility of overlapping where different circuits join.

In most districts, over selected areas, the geodetic survey party has simultaneously broken down the first order triangulation into second order and, where necessary, third order triangulation.

Precise Levelling: Approximately 540 miles of precise levelling have been carried out for the purpose of correlating the level data of irrigation and drainage and other engineering works. This type of levelling has been carried out in accordance with international standards of accuracy—namely, 0.012 feet or 0.144 inches per mile.

These levels are at mean sea-level datum determined from the tidal records of the principal tidal stations or of tide gauges established specially for that purpose. The traverses are referenced at approximately ten-mile intervals by fundamental bench marks and at approximately one-mile intervals by permanent bench marks.

This work is being further extended to meet the requirements of national drainage, irrigation, hydro-electric, and river-control development, where related and co-ordinated levels in terms of a fixed datum are essential.

STANDARD SURVEYS.—In order to more adequately correlate and redefine old boundary marks for land-title purposes and to provide a permanent standard of reference for future surveys in cities and boroughs where land values are high, and on highways and on main arterial roads where modern road surfaces have eliminated survey marks, a precise survey is carried out, all intersections being referenced with permanent standard marks, normally concrete blocks protected by an iron cover.

These surveys are of two classes—(1) those in the cities and boroughs, being of standard of accuracy of 2 inches to the mile, the cost of which is borne partly by the local authority concerned and partly by the Department of Lands and Survey and (2) those carried out on highways and arterial roads to a lesser standard of accuracy for the purpose of referencing survey marks lost or obliterated by road works and surfaces.

These standard traverses will in the future be correlated with precise levelling traverses, thus providing a standard level datum for engineering works.

AERIAL SURVEY AMD TOPOGRAPHICAL MAPPING.—The incidence of war emphasized the need for up-to-date topographical maps of New Zealand. The use of the aerial photograph for the production of topographical maps had at the same time revolutionized the methods of production, requiring the introduction of an entirely new technique.

Up to 1936 several hundred square miles of topographical mapping had been carried out by plane-table methods in localities scattered throughout the country. With the introduction of the aerial photograph for mapping purposes in 1935, a co-ordinated mapping policy was laid down by the Army authorities. A revised map series on the scale 1 mile to an inch on an approved map grid was adopted, each sheet covering an area of 45,000 yards by 30,000 yards. Later a 1: 25,000 map series was also introduced, each sheet covering an area of 15,000 yards by 10,000 yards.

At the outbreak of war in 1939 an area of 1,000 square miles had been mapped on the scale 1 mile to an inch in the Hawke's Bay District, the first map sheet being published in March 1939.

During the war period the Department was made responsible for topographical mapping for military purposes. All the available resources of the Department and the services of a private aerial mapping company were concentrated on the production of maps in this connection.

Owing to post-war activities staff previously employed on topographical mapping was engaged on other survey work mainly connected with land settlement. In 1949 the Department was able to resume its mapping operations in the Rotorua-Taupo region, and to date has completed 2,600 square miles of large-scale mapping in this area.

Extensive use is made of the aerial photographs for other than purely mapping purposes. All types of land and engineering development, investigations into geological resources, afforestation, and town and rural planning are now based on data extracted from the aerial photographs. The Department is responsible for the maintenance of a complete library of aerial photographs, which are made available for all national purposes. All orders for photography required by any Department of State are co-ordinated and priorities for such photography fixed by a co-ordinating committee. By such co-ordination it is expected that a basic photographic coverage of the whole country will be completed in the next few years.

Since the war additional plotting equipment for the production of maps from aerial photographs has been acquired. The mapping equipment in the Photogrammetric Branch now includes a Wild A5 Autograph, three Wild A6 stereoplotters, six Multiplex bars, a Saltzman Vertical Mapping Projector, and extensive darkroom facilities. With this equipment, topographical mapping work is undertaken for all Government Departments, and some work has been done for Fiji and Western Samoa also.

TIDAL SURVEY.—The tidal work carried out by the Department at the commencement of the survey operations in New Zealand consisted of determinations of mean high-water mark (H.W.M.) for the purpose of defining the boundary of land abutting on tidal waters.

Later the adoption of mean sea-level as the datum of reference for the heights shown on the maps of trigonometrical and precise levelling surveys led to a more accurate system of tidal observations being initiated; but it was not until 1909 that a complete tidal survey was inaugurated, at the request of the Admiralty, to include the predictions of the times and heights of high and low water of the ports of Auckland and Wellington in the Admiralty Tide Tables.

The tidal observations are made mainly by self-registering tide-gauges, in which a curve is traced which shows the height of the water at any time above an arbitrary datum. This curve is decomposed, by a process devised by Lord Kelvin, and known as “harmonic analysis,” into its harmonic elements. These components are now computed for the ports of Auckland, New Plymouth, Wellington, Lyttelton, Dunedin, Bluff, and Westport, and from them the predicted times and heights of high and low water are obtained by means of the tide predictor at the Tidal Institute, University of Liverpool, and published in advance in the “New Zealand Nautical Almanac.” the Admiralty Tide Tables, and several of the maritime publications of foreign nations.

The seven ports for which tide tables are prepared serve as standards of reference on which to base, by means of tidal difference, the times and heights of high and low water of all the other ports in New Zealand.

GEOGRAPHIC BOARD.—The principal functions of the New Zealand Geographic Board, established under the New Zealand Geographic Board Act 1946, are as follows:

To adopt rules of orthography and nomenclature in respect of place names in New Zealand.

To examine cases of doubtful spelling of place names, and determine the spelling to be adopted on official maps.

To investigate and determine the priority of the discovery of any geographic feature.

To collect original Maori place names for recording on official maps.

To determine what alien names appearing on official maps should be replaced by British names.

To investigate and determine any proposed alteration of a place name.

The Board, which replaced the honorary Geographic Board previously in existence, consists of the Surveyor-General, two representatives of the Maori race, a representative of the New Zealand Geographic Society, a representative of the Federated Mountain Clubs of New Zealand, and two other persons.

MISCELLANEOUS.—The Department, in addition to the activities outlined in the preceding paragraphs, carries out many miscellaneous functions, among which are the drawing of maps and diagrams for special publications, the periodic preparation of maps for census and electoral purposes, the copying of maps and plans by photostat process, the preparation of aerial photograph mosaics and enlargements for departmental purposes, compilation of maps and data for town and regional planning purposes, the control and administration of the subdivision of land in counties required for housing, the preparation of special topographical maps for land settlement, engineering and scientific development, the preparation of maps for air navigation requirements, the production of all maps for the Armed Services, and many other cognate duties requiring the services of the surveyor or the draughtsman.

PUBLICATIONS.—Reports: An annual report of the departmental activities is published as a parliamentary paper, C-1A. At regular intervals a publication called “The Records of the Survey” is issued, the latest volume being numbered five. The publication of professional papers is now discontinued, these being incorporated in the Records.

Maps.—Map sales agencies are maintained at each of the district offices of the Department of Lands and Survey. All maps for sale are listed in the “Catalogue of Maps” published by the Department. The catalogue lists maps under the following headings:

  1. GENERAL AND MISCELLANEOUS MAPS.—General Maps New Zealand are small-scale maps of New Zealand and larger scale maps which are not included in the cadastral and topographical section of the catalogue.

    Pacific Islands Maps are of islands within the territories of New Zealand, the trust territory of Western Samoa, and Norfolk Island.

    Miscellaneous Maps are maps which have been prepared for special purposes, and in general include those of interest to mountaineers and tourists.

  2. CADASTRAL MAPS.—The following series are published by the Department, these maps showing land title boundaries and land designations:

    1. Survey District Series—1 inch to 1 mile.

      2 inches to 1 mile.

    2. County Series—1 inch to 1 mile.

    3. Town Map Series—At various scales from 40 inches to 8 inches to 1 mile.

  3. TOPOGRAPHICAL MAPS.—The following medium and large scale maps pre published:

    1. 1: 63,360–1 inch to 1 mile.

    2. 1: 25,000.

    3. 1: 15,840–4 inches to 1 mile.

    4. 1: 10,000 to 1: 20,000—Street maps of towns.

    The 1: 63,360 series now covers approximately half of the country and embraces most of the settled areas. The 1: 25,000 series is as yet restricted to the closely settled areas at the main centres of population. The 1: 15,840 series is confined to certain areas of undeveloped lands which are being developed as farmlands.

  4. MOSAIC MAPS.—The sheet lines of the mosaic maps conform to the sheet lines of the 1: 25,000 topographic series. The mosaic maps are gridded and show place names and are published at scale 1: 25,000 and at scale 1: 15,840 (4 inches to 1 mile).

  5. AERONAUTICAL CHARTS.—Aeronautical charts published include—

    1. Aerodrome approach and landing charts.

    2. Plotting charts at scales 1: 1,000,000 and 1: 3,000,000.

    3. Aeronautical charts 1: 500,000.

18 E—VALUATION OF LAND

GENERAL.—The necessity for fixing equitable land values arises in many of the relations of the General Government and local governing authorities with the individual. In particular they are required in connection with the following:

  1. The levying of land tax.

  2. The apportionment of Hospital Boards' and other similar rating levies over contributory local authorities.

  3. The levying of rates by local authorities.

  4. The advancing of money on mortgage by Government Departments and by trustees under the Trustee Act.

  5. The assessing of stamp, death, and gift duties.

  6. The fixing of prices payable by lessees to the Crown for acquiring the freehold of Crown lands.

  7. In assessing the compensation payable where land is taken under the Public Works Act and certain other statutes.

  8. In estimating the prices payable in alienations of Maori lands.

SYSTEM AND PROCEDURE.—Prior to 1896 the valuing of land was not conducted on a uniform basis. Each State Department and local authority employed as valuers such persons whom it thought fit, and estimates of values by different authorities varied considerably. To bring about some order the Government Valuation of Land Act 1896 set up a separate Department of State charged with the duty of assessing the values of real estate for taxation and other purposes of the General Government and for local rating purposes. The present law relating to the valuation of land is contained in the Valuation of Land Act 1925 (which consolidated previous legislation), as amended in 1926, 1927, 1933, 1940, 1945, 1946, 1948, and 1949, and in the Land Valuation Court Act 1948.

The work of the Valuation Department is directed by the Valuer-General, the actual work of valuing being done by District Valuers and assistant valuers. The duty of a valuer is to examine each property and to estimate to the best of his ability (1) the unimproved value of the land contained therein, (2) the value of the buildings (if any) or other improvements (if any) upon such land, and (3) the capital value of the property.

Valuers are enjoined not to strain after high values, nor to accept special prices paid for land in exceptional circumstances, but to determine the value neither above nor below the fair selling value in view of the many and diverse purposes for which the values are used.

Generally, under the New Zealand law the increased value attaching to any piece of land which is due to the successful working of other lands in the district, or to State or local-body expenditure on public works, or to the general prosperity and development of the country, forms portion of the “unimproved value.”

“Improvements" on land are defined, with certain provisos, as any work done or materials used on or for the benefit of the land by any owner or occupier resulting in an increase in the value of the land.

The “capital value” is the sum of the “unimproved value” plus the value of “improvements.”

Notwithstanding the repeal of the Servicemen's Settlement and Land Sales Act 1943, from 1 November 1950 the revaluations of county lands intended to come into force not later than 31 March 1951 were completed as if that Act had continued in force. Authority for this procedure was conferred by section 38 of the Statutes Amendment Act 1950.

THE VALUATION ROLL.—The Valuation of Land Act directs the preparation of a valuation roll for each district over which a local authority has rating jurisdiction, setting forth in respect of each separate property the following particulars:

  1. The name of the owner of the land, and the nature of his estate or interest therein, together with the name of the beneficial owner in the case of land held in trust:

  2. The name of the occupier within the meaning of the Rating Act:

  3. The situation, description, and area of the land:

  4. The nature and value of the improvements:

  5. The unimproved value of the land:

  6. The capital value of the land:

  7. Such other particulars as are prescribed.

Revision of Rolls.—District valuation rolls are revised by the Valuer-General at such dates as the Governor-General in Council from time to time directs. Previously there were no fixed periods between revisions. Since the necessity for revision depended upon the extent to which values had moved since the previous revision, the periods between revisions varied considerably between old-established and currently-developing districts. The considerable changes in land values over recent years have caused a wider realization of the need for up-to-date valuations, and it has now been provided that all revisions of district valuation rolls made after 31 March 1947 must be again revised within five years unless the Governor-General in Council directs otherwise.

There is provision that in the revaluation of a borough rating on the unimproved value the Governor-General in Council may direct that the revision is to be confined either to the unimproved values only or to the value of improvements only, with consequent adjustments of the capital values.

Alterations During Currency of Rolls.—At any time between the revisions of district rolls the Valuer-General may readjust, correct, or bring up to date the entries therein in consequence of—

  1. Any improvements being added to or removed from the land:

  2. Any change in the ownership or occupancy of the land:

  3. Any amended valuation being made on the requirement of the owner of the land:

  4. Any land being omitted from the roll, or the name of the owner or the description or other particulars of the land being erroneously entered therein:

  5. Any subdivision of the land:

  6. Any lease or any other terminable charge or interest affecting the respective interests of the respective owners.

In new valuations as a consequence of (c) or (e), the aim is to preserve uniformity with the existing roll values of comparable parcels of land.

The Supplementary Roll.—There is, in addition to the district valuation roll for each district, a supplementary roll for that district. The supplementary roll may be used for the same purposes as the district roll except that it may not be used for the assessment of land tax or local rates. Generally, all special valuations of land made during the currency of a district roll for particular purposes—e.g., the granting of loans by Government Departments or trustees on the security of lands, the assessment of stamp, gift, and death duties—are entered on the supplementary roll but not on the district roll. There is generally a right of objection to such special valuations procedurally similar to the objections discussed under the next heading.

Objections to Valuations.—When a district valuation roll is revised the Valuer-General addresses to each owner, and also to the owner concerned when any particular valuation in that roll is altered, a notice showing the new valuation and naming a date before which all objections (in writing) to the values must be lodged. In the case of a revision of a district roll the Valuer-General, any local authority, or any owner whose name appears on the roll, may object to any valuation thereon. Where a particular property only is revalued, only the owner has a right of objection.

The Valuer-General refers any objections to his District Valuers for reconsideration. He may then decide (1) of his own motion to refer the objection to the Land Valuation Court. (2) to alter the valuation to the extent claimed, (3) to alter the valuation to such extent as is agreed upon with the objector, or (4) to decline to alter the valuation. If his decision is either (2), (3), or (4), he serves notice of it on the objector, and on the owner if other than the objector. Either of these may notify the Valuer-General within fourteen days that he desires the objection to be heard by the Land Valuation Court. If no such notice is received the Valuer-General's decision is deemed to be assented to, and the roll is amended, if necessary, to give effect to his decision.

LAND VALUATION COURT.—The Land Valuation Court Act 1948 established the Land Valuation Court, transferred to that Court the jurisdictions previously exercised by Assessment Courts under the Valuation of Land Amendment Act 1945, and abolished the latter Courts. The Court consists of three members appointed by the Governor-General in Council, one of whom is the Judge of the Court. In addition to its jurisdiction under the Valuation of Land Act the Court hears claims for compensation under the Public Works Act 1928 and determines values under the Land Settlement Promotion Act 1952.

The Act also established Land Valuation Committees which, in the exercise of their powers and functions, are subject to the general jurisdiction of the Court. A local authority may appoint a person, other than a member or paid officer of a local authority, to be an additional member of the Land Valuation Committee exercising its functions in the district of that local authority. This provision is limited to cases where objections to valuations of property situated in that local authority's district are being heard.

The Valuer-General files with a Registrar of the Land Valuation Court a list of objections, including those which of his own motion he has decided to refer to the Court and those which the objectors desired to be heard by the Court. Copies of the objections are filed with the list. The Registrar refers the objections to the appropriate district Land Valuation Committee for hearing, and the Committee embodies its determination in each case in a formal order which, after a lapse of fourteen days, is sealed by the Registrar and becomes an order of the Court. Within the period of fourteen days, however, either the Crown representative, or any one affected by the order, may appeal to the Land Valuation Court, or the Court of its own motion may amend the order. Except that the Judge of the Court may on the application of any party to proceedings, or of his own motion, state a case for the opinion of the Court of Appeal on a question of law, the decisions of the Land Valuation Court (either decisions of the Court itself or orders of the Committees sealed by the Registrar) are final.

In the case of an objection to a valuation being allowed, the new valuation dates back to the date at which the valuation objected to would have been effected had no objection been lodged.

If any owner who has objected to a valuation made at a revision of a district roll is not satisfied with the value of the land as fixed by the Land Valuation Court's order, he may, within fourteen days of the sealing of the order, give me notice to the Valuer-General that he requires the capital value to be reduced to the value which no (the owner) considers to be the fair selling value as specified in his notice (but not less than the aggregate amount owing on mortgages or other charges on the land), or the land to be acquired on behalf of Her Majesty, or sold, at that value. There is also provision that if the Valuer-General is of the opinion that the value has been fixed by the Court at less than the capital value, he may within fourteen days after the sealing of the Court's order require the owner to consent to what he (the Valuer-General) considers is the fair capital value, and, failing such consent being given within thirty days after notice is delivered, he may, with the approval of the Governor-General in Council, acquire the property at that value on behalf of Her Majesty.

VALUATIONS IN RELATION TO RATING.—The district valuation roll so long as it continues in force is by law the roll from which the valuation roll of every local authority rating on the capital or on the unimproved value is framed.

Owing to the heavy decline in values during the early nineteen-thirties, and the impracticability of a universal revaluation, the provision enabling new valuations to be made was availed of by many owners with the object of reducing their rate payments. In order to maintain rating equity the Valuation of Land Amendment Act 1933 authorized local authorities to levy rates upon a proportionate part (not being under 75 per cent) of values upon the roll. Where an individual owner had obtained a revaluation, the lower of either the new figure or the proportionate part of the previously existing figure was taken. Since 1945 the right of objection to such a new valuation is limited to the claim that uniformity has not been preserved with existing roll values of comparable parcels of land.

The Urban Farm Land Rating Act 1932 (amended in 1933, 1935, and 1944) provides for rating relief for farm lands subject to rates levied by Borough (or City) Councils, Independent Town Boards, and certain Road Boards. The Act provides that these local authorities may assess valuations for rating purposes for such farm lands lower than the values for the same lands appearing on the district valuation rolls. There are rights of objection to such valuations, either to a specially constituted Assessment Court where the valuations are to appear on a farm land roll, or to a Magistrate if special rateable values are being assessed for the ordinary rating roll. The values are generally revised at five-yearly intervals.

A heritage of the days of independent valuations by local authorities is the provision by which they can rate on the annual (rental) values of properties within their areas, these values being assessed by the local authorities' own valuers. The annual value is defined as the rent at which a property would let from year to year reduced by 20 per cent in the case of houses, buildings, and other perishable property, and by 10 per cent in the case of land, but it may not be less than 5 per cent of the value of the fee simple. A new valuation roll in this regard is prepared either annually or triennially.

CAPITAL AND UNIMPROVED VALUES OF LAND.—General valuations of land for the whole of New Zealand were made periodically up to the year 1897–98. Since that year no general valuations for the whole country have been made, but portions are revalued from time to time. As previously mentioned, however, it is now provided that every revision of a district valuation roll made after 31 March 1947 shall be followed by a further revision within five years, unless such revision is postponed by the Governor-General in Council. The figures in the following table, showing valuations over a number of years, therefore represent general valuations up to 1897 only, while for subsequent years the figures include the latest valuation available of each division.

GROSS CAPITAL AND UNIMPROVED VALUES

As at 31 MarchCapital Value (Land and Improvements)Unimproved Value of Land (Included in Previous Column)
 ££
187899,566,67962,573,868
1885113,270,649..
1888111,137,71475,497,379
1891122,225,02975,832,465
1897138,591,34784,401,244
1902154,816,13294,847,727
1905197,684,475122,937,126
1907236,644,536149,682,689
1909271,516,022172,759,948
1911293,117,065184,062,798
1913340,559,728212,963,468
1915371,076,683230,705,147
1916389,164,729241,322,255
1917405,466,071251,087,708
1918421,383,373260,921,812
1919445,533,445275,988,409
1920470,093,697290,880,264
1921518,584,318317,631,245
1922544,503,376329,174,337
1923553,403,794330,790,991
1924568,500,653333,869,581
1925587,349,575339,310,260
1926603,250,306341,047,952
1927618,264,093341,519,107
1928631,454,676335,217,075
1929655,906,887344,757,796
1930664,571,181338,887,411
1931667,911,212331,634,774
1932662,829,264321,798,700
1933653,707,517314,556,174
1934650,362,355309,770,390
1935637,604,203301,137,513
1936635,801,798295,695,574
1937632,229,720287,844,804
1938636,362,641282,326,015
1939652,898,894282,806,212
1940660,524,008278,880,855
1941673,118,250277,541,575
1942681,921,681276,884,859
1943684,180,966276,881,168
1944688,794,796277,038,582
1945697,365,953277,494,868
1946710,425,005279,214,040
1947746,412,384284,274,437
1948796,037,683291,617,238
1949889,268,331307,152,159
1950985,879,820324,465,347
19511,112,746,940349,159,931
19521,314,494,995394,136,584
19531,532,357,718449,813,658
19541,701,850,086486,833,459

The table shows a continuous decrease in land values from 1929 to 1943. Probably the lowest point in real values was reached about 1934, and the decreases shown after that year merely indicate that the new valuations being made were still at levels lower than the existing pre-depression figures. After 1943 land values were stabilized through the operation of the Servicemen's Settlement and Land Sales Act 1943, and the increases shown to 1950 mainly reflect the writing into new valuations, of increases which had occurred prior to 1943.

The lifting of land sales control on urban properties from 23 February 1950 was reflected in the 1951 general revaluations of boroughs and cities. County revaluations did not, however, reflect the transition to a free market basis until the 1952 revaluations, the effect of the higher basis having been postponed twelve months as provided for by section 38 of the Statutes Amendment Act 1950.

The fact that land valuations are not continuously up to date has the effect in the above table of delaying the appearance of other than the steepest movements and of reducing their apparent magnitudes. Consequently, the movements in the table cannot be regarded as indicative of the trends in land values at any given time. Rural land values are generally dependent on the prices received for our exports of primary products, and these prices are also the major influence affecting the country's economy and to some extent price levels generally. If it were not for the irregular periodicity of revisions of valuations, the movements in unimproved values in the preceding table could be expected to follow the trends of export prices shown in Section 36, though with less exaggerated movements and perhaps an upward bias due to improved efficiency in farming methods, growth of population, improved internal transport, and other facilities, etc.

Capital values are influenced not only by the prices of primary products (in so far as they affect the unimproved value included in the capital value and indirectly by their effect on price levels generally), but also by the amount of activity in the building and construction industry.

The values shown in the foregoing table and in that following are the gross values; they include the value not only of rateable properties, but also of churches, schools, unoccupied Crown lands, and other lands exempt from local rating.

GROSS VALUES

As at 31 MarchNumberNorth IslandSouth IslandNew Zealand
Capital Value (Land and Improvements)Unimproved Value of Land (Included in Previous Column)Capital Value (Land and Improvements)Unimproved Value of Land (Included in Previous Column)Capital Value (Laud and Improvements)Unimproved Value of Land (Included in Previous Column)
  ££££££
Counties
1950129303,181,716109,402,568138,793,19266,159,388441,974,908175,561,956
1951129324,862,948112,457,552147,559,20166,669,032472,422,149179,126,584
1952129373,252,727123,352,450186,332,06573,875,225559,584,792197,227,675
1953129438,049,409139,657,177208,454,10278,747,734646,503,511218,404,911
1954129498,341,070153,460,314222,882,57183,670,009721,223,641237,130,323
Boroughs
1950134379,021,605104,843,295154,936,33141,979,086533,957,936146,822,381
1951134447,995,267120,478,603180,826,08746,962,625628,821,354167,441,228
1952134526,957,361138,557,188209,276,29254,191,592736,233,653192,748,780
1953137640,847,917170,907,114227,620,42756,836,328868,468,344227,743,442
1954144717,470,949187,726,541254,495,38660,498,745971,966,335248,225,286
Independent Town Districts
1950297,880,1821,688,7502,066,794392,2609,946,9762,081,010
1951289,774,1072,316,8441,729,330275,27511,503,4372,592,119
19522917,064,2463,944,7691,996,440306,31519,060,6864,251,084
19532714,974,4983,331,8902,411,365333,41517,385,8633,665,305
1954216,481,8601,181,7002,178,250296,1508,660,1101,477,850
Grand Totals
1944 466,892,602179,335,535221,902,19497,703,047688,794,796277,038,582
1945 47,372,283179,701,239223,993,67097,793,629697,365,953277,494,868
1946 483,837,330181,281,576226,587,67597,932,464710,425,005279,214,040
1947 513,590,129186,069,652232,822,25598,204,785746,412,384284,274,437
1948 550,732,233192,176,749245,305,45099,440,489796,037,683291,617,238
1949 628,189,742206,260,945261,078,589100,891,214889,268,331307,152,159
1950 690,083,503215,934,613295,796,317108,530,734985,879,820324,465,347
1951 782,632,322235,252,999330,114,618113,906,9321,112,746,940349,159,931
1952 917,274,334265,854,407397,604,797128,373,1321,314,879,131394,227,539
1953 1,093,871,824313,896,181438,485,894135,917,4771,532,357,718449,813,658
1954 1,222,293,879342,368,555479,556,207144,464,9041,701,850,086486,833,459

RATEABLE VALUES.—The values quoted earlier in this Section relate to gross values (i.e., the value of all property, whether exempt from local rating or not). The following summary indicates rateable values for counties, boroughs, and independent town districts as at 31 March 1954.

North IslandSouth IslandNew Zealand
Capital Value (Land and Improvements)Unimproved Value of Land (Included in Previous Column)Capital Value (Land and Improvements)Unimproved Value of Land (Included in Previous Column)Capital Value (Land and Improvements)Unimproved Value of Land (Included in Previous Column)
 ££££££
Counties446,530,089144,484,863205,831,56580,364,044652,361,654224,848,907
Boroughs651,485,140169,691,567229,353,39155,287,023880,838,531224,978,590
Town districts (independent)5,780,1751,072,8801,941,010272,5157,721,1851,345,395
    Totals1,103,795,404315,249,310437,125,966135,923,5821,540,921,370451,172,892

The next table shows the percentage distribution of area and population as at 1 April 1954, and of rateable property values between the different types of local authority districts as at 31 March 1954.

Local Authority DistrictAreaPopulationRateable Property Values
Capital ValueUnimproved ValueValue of Improvements

* Less than 0.05 per cent.

Percentage Distribution
Counties99.535.342.349.839.2
Boroughs0.563.957.249.960.2
Town districts (independent)0.0*0.80.50.30.6
    Totals100.0100.0100.0100.0100.0

It will be observed that there is a closer correlation between value of improvements and population distribution than in the case of unimproved values and population distribution, with capital values consequently taking up an intermediate position.

Particulars of values for each county, borough, and independent town district in considerable detail are contained in the Local Authorities Handbook, where similar data are also given for dependent town districts and for road districts.

Chapter 19. SECTION 19—PRODUCTION: GENERAL

Table of Contents

ESTIMATES of the value, and of movements in the volume, of physical production have been made in New Zealand for many years, considerably antedating the technique of national income estimates. The latter, of course, take into account the value of the tertiary services of transport, commerce, administration, social services, etc., as well as physical production; the earlier series were concerned only with the last named. The estimates of physical production in this Section are based in the main on the production data which appear in the seven Sections following.

GROSS FARMING INCOME.—Farming occupies such an important position in the economic structure of New Zealand that statistical information relating to farm production is vested with special interest. Statistics of quantitative farm production and prices received by farmers constitute the basic data used in the computation of estimates of aggregate receipts from sales of farm produce. The figures do not purport to show the aggregate net income from farming after all expenses of farm operations have been met. They are intended to afford an indication of the income available to farmers as a whole to meet current expenses of farm operation, living costs, interest payments, and all other costs. Arising out of the preparation of the Farming Sector Account of the National Income series the estimates were recently revised. It was considered that within the limitations set out below, the series served a useful purpose and no major change in concept was required, but various modifications were made with the double purpose of obtaining greater consistency and simplifying calculations where this could be done without reducing accuracy.

Except in the cases indicated in the next paragraph, no attempt has been made to exclude from the scope of the compilations that portion of marketable farm produce which may be consumed on the farm. Similarly, that portion of farm produce which is sold to other farmers as material for further farm production is in general included. For example, the value of production of grass seeds is included under the heading “Agricultural Produce,” although—except for exports—almost the whole of this crop is used for the sowing or renewal of pasture lands. An exception, however, occurs in the case of inter-farm sales of livestock, whether the animals are for breeding or fattening, no data being available on which to base an estimate of the aggregate annual value of such sales. With this exception, the totals shown for all farm produce thus represent the total income (including receipts from sales to other farmers), plus certain allowances for farm produce used on the farm. On the other hand, products of kitchen gardens and of other activities more intimately associated with the home than with the farm do not come within the ambit of this inquiry.

Production of green-fodder crops, turnips, and mangolds is not included. The view taken is that production of these crops is a normal and essential part of farm routine to be regarded more in the nature of a farm cost than as production of a saleable commodity. Consequently, the unknown—but, it is believed, very small—proportion sold of the total production of this class of farm produce is omitted from the totals shown. It is arbitrarily assumed that 20 per cent both of grasses and clovers cut for hay, and of oats cut for chaff or hay, come within the scope of this inquiry, the remainder being omitted for reasons similar to those advanced in the case of green fodder, etc.

The division into the three groups—(1) Agricultural, (2) Pastoral, and (3) Dairying, Poultry, and Bees—has been made entirely on the basis of the nature of the produce. The values of all livestock slaughtered, including bobby calves, cull cows from dairy herds, and pigs, are included in the pastoral group.

The principal items included in the agricultural group are wheat, oats, and other grain crops, grass seeds, potatoes, onions, tobacco, linen flax, orchard produce, and produce of market gardens, nurseries, hop gardens, etc. The prices at which the various commodities are valued are, in general, the prices received by farmers in the early months of the year, when the crops are harvested. Transport charges from farm to market and commission on sales are excluded.

The principal items included in the pastoral group are livestock and wool production Slaughterings of livestock have been assessed on the basis of values (alive) at freezing works, deductions being made to cover the cost of transport from farm to works, saleyards, etc., and of commission on sales of livestock. The value of store stock or young lambs sold by one farmer to another is counted only once—that is, when sold for slaughtering as fat stock. In the recent revision, slaughterings during years ended 30 June were substituted for the figures for years ended 31 March as used hitherto.

Wool production is valued at the average prices realized at sales or appraisals held during each season, the aggregate arrived at representing the value of wool produced in each season at average sale or appraisal prices ruling during that season. No adjustments are made to cover the unknown increase or decrease in the total ultimate return from the season's production owing to higher or lower prices realized for wool carried over and sold in a subsequent season. Deductions have been made to cover the cost of transport of wool to selling centres.

The estimates for the pastoral group take into account the value of real income represented by changes in the numbers of livestock held on farms, which in individual years may represent a marked accretion or reduction in terms of real income. These changes in cattle and sheep are now assessed as at 30 June instead of as at 31 January or 31 March as was the case previously.

The largest individual item included in the dairying, etc., group is the pay-out to suppliers by butter, cheese, and dried milk, etc., factories during each of the dairy seasons shown. From 1938–39 onwards this is on a farm-gate basis, an estimated allowance for the cost of milk transport to cheese factories being deducted. An estimate of the value of human consumption of raw milk at farm-gate prices is also included, together with the value of butter produced on farms for home use or for sale. The available data permit of only a rough estimate of the value of poultry products, which, with bee products, are included in this group mainly for purposes of convenience.

The following table shows the revised figures of gross farming income (in £N.Z. millions) for each of the sixteen production seasons from 1938–39 onwards, which is as far back as the recent revision was carried. The total effect of the changes in method is not great, particularly in the earlier years of this period, so that comparisons between these figures and those for still earlier seasons given in previous issues of the Year-Book are by no means invalidated. The table also shows the relative contributions of the three groups in each year, in the form of percentages of the total of all farm production.

Production YearAgricultural ProducePastoral ProduceProduce of Dairying, Poultry, and BeesAll Farm Produce
ValuePer CentValuePer CentValuePer CentValuePer Cent

* Provisional.

 £(m.) £(m.) £(m.) £(m.) 
1938–398.31231.44431.04470.6100
1939–409.61332.24234.04575.8100
1940–4110.31238.64536.84385.7100
1941–4211.41338.14535.34284.8100
1942–4313.31538.34534.24085.8100
1943–4414.41739.74533.63887.7100
1944–4516.41647.04540.339103.7100
1945–4615.91644.54636.73897.1100
1946–4715.91451.64644.640112.1100
1947–4817.41367.34951.938136.5100
1948–4919.61369.84758.240147.5100
1949–5020.811100.45463.935185.1100
1950–5120.87199.26871.525291.6100
1951–5223.511113.85283.037220.3100
1952–5324.49144.55593.936262.8100
1953–54*30.911155.15691.633277.6100

In the course of the compilation of the indices of volume of total production given later in this Section index numbers have been compiled showing the movements in volume of farm production. For the compilation of these index numbers a computation has been made for each season showing what the aggregate annual value would have been had 1938–39 prices been constant throughout the period. From the resultant aggregates, index numbers have been compiled which measure the movements in the volume of production; for, since prices were assumed to be constant, volume is the only variable factor in the aggregates. The coverage of the pastoral production series includes allowances for changes in the numbers of livestock on farms.

In the following table index numbers of value and volume on the base: 1938–39 (= 100) are given, and these give a clearer idea of the extent of year-to-year changes.

Production YearAgriculturalPastoralDairying, etc.All Farm Produce
ValueVolumeValueVolumeValueVolumeValueVolume

* Provisional.

1938–39100100100100100100100100
1939–4011611910398110107107104
1940–41124126123111119115121115
1941–42137128121110114109120111
1942–43160139122105110102122107
1943–4417314812610610896124106
1944–45198160150113130105147115
1945–4619214214211211892138107
1946–47192152164110144102159111
1947–48210144214115167104193114
1948–49236156222113188113209118
1949–50251150320123206117262123
1950–51251153634124231123413127
1951–52283148362124268123312126
1952–53294146460130303130372132
1953–54*372162494136295123393133

In recent seasons the general upward movement in prices has resulted in the value series outstripping the volume series. Wool prices have been a major factor affecting the pastoral and all farm produce value series, their influence being clearly seen in the indices. Over the fifteen-year period between the earliest and latest years shown, the annual increase in the volume series has averaged 1.9 per cent compound.

FARM PRODUCTION: EXPORTS AND NEW ZEALAND CONSUMPTION.—Estimates of the relative importance of exports and of consumption within New Zealand in the disposal of farm produce have been compiled by utilizing the statistics of gross farming income, in conjunction with statistics of trade in farm products.

In the paragraphs covering the statistics of gross farming income it is explained that these estimates were framed on the basis of “on the farm” values in order that they might indicate the gross receipts by the farmer, after making provision for transport charges and other expenses incurred in the marketing of produce.

In compiling the statistics of the relative importance of the New Zealand market and of export markets for farm products the value of exports has been assessed at the “farm" value of the commodities concerned, and not at the f.o.b. declared value for export. This adjustment has been made in order to ensure that both sets of statistics from which the comparison is made are on the same value basis. It will be realized, then, that the figures given in this statement indicate the proportions of total gross returns to farmers arising from farm products exported and from consumption of such products within New Zealand.

The figures of the return to farmers in respect of New Zealand consumption of farm produce have been obtained by deducting exports from total production. In these compilations exports of milk products have been converted to a butterfat equivalent, the returns to farmers being computed on the basis of butterfat pay-out; while the slaughterings represented by exports of meat products have been taken as the basis on which to estimate farmers' receipts from exports of meat. In instances where statistics of stocks are available adjustment has been made for the carry-over from one season to another. It has been assumed that stocks of wool, frozen meat, and butter and cheese carried over are held for export, and that stocks of wheat and oats are subsequently consumed within New Zealand.

Since the estimates of New Zealand consumption are the residual element in the process of compilation, any lack of correspondence between the statistics of production and of trade will affect the accuracy of these estimates. Statistics of production relate to the production year for each commodity, or group of commodities, coming within the scope of this investigation. In many instances the production years do not cover identical twelve-monthly periods, so that the aggregate of production of farm produce includes statistics for a number of yearly periods ending in different months. Exports during any one year do not consist entirely of commodities produced within the same twelve-monthly period to which the export statistics relate. Since the estimates of gross farming income include changes in the number of livestock on farms, it follows that the resultant increase or decrease in the total production is necessarily included in the residual New Zealand consumption figure. The effect of these various factors is, however, minimized by taking averages for five seasons.

The following table shows for quinquennial periods and for the latest triennium the proportions of gross farming income arising from exports of farm produce and from consumption of such produce within New Zealand.

Gross Farming Income1931–32 to 1935–361936–37 to 1940–411941–42 to 1945–461946–47 to 1950–511951–52 to 1953–54
 Per CentPer CentPer CentPer CentPer Cent
Agricultural produce—     
From exports129181217
From New Zealand consumption8891828883
    Totals100100100100100
Pastoral produce—     
From exports7880848383
From New Zealand consumption2220161717
    Totals100100100100100
Produce of dairying, purity, and bees—     
From exports7268656965
From New Zealand consumption2832353135
    Totals100100100100100
All farm produce—     
From exports6667667170
From New Zealand consumption3433342930
    Totals100100100100100

VALUE OF PRODUCTION.—Complete statistics covering all phases of production are not available, and in compiling the following statistics estimates of production have been made in several cases where direct data are not obtainable. Since statistical information as to production in each of the major productive activities is readily available, the items for which estimates must be made are, with the exception of one group of commodities, relatively unimportant. Although the value of products made in the home—e.g., home-made clothing, jams, kitchen-garden products, etc.—must, in the aggregate, account for a considerable annual value, it is impossible to estimate with any reasonable degree of accuracy the value of such production, which is, on this account, omitted from the statistics of the value of production.

It should be noted that production of material commodities only is taken into consideration in these statistics.

The general principle followed in assessing values has been to value products as near as possible to the actual point of production. For example, livestock is valued at “on the hoof” prices, while values at the factory are used in the case of factory products. In some few cases, however, reliable data as to values at or near the point of production cannot be obtained; and in these cases export valuations or wholesale-price quotations have been used in assessing values. Although absolute uniformity of treatment in the basis of valuation as between different commodities has not been possible, the basis of valuation gives comparable aggregate values for the period covered. The statistics thus afford a fairly accurate indication of fluctuations in the value of production from year to year, although the absolute figures for any individual year must be regarded as an approximation only.

Since the basis of valuation is (as far as possible) at the point of production, transport costs are only partly represented in the values shown, while the accretions to the value of commodities caused by the services of retailers and other distributors of finished products are not included in the statistics.

In classifying the value of production into the principal groups care has been taken to avoid duplication, products of one group which constitute the raw material of another group being counted once only. For example, the major portion of agricultural products, being animal fodder crops utilized in livestock production, are excluded, since livestock and livestock products are included in either the Pastoral or the Dairying, etc., group.

Products have been classified into the groups to which they most logically belong from a production point of view, butter and cheese, for example, being classified under Dairying, etc., and not as factory products. The figure shown under the heading “Factory" is the aggregate value added to materials by the process of manufacture, excluding industries which are already included in other groups (e.g., butter and cheese making, meat freezing, fish curing, and sawmilling). As a result of the inclusion of these industries processing farm products in the appropriate farming subgroups, the values for these sub-groups and for the farming group shown in this series naturally differ from the corresponding values in the gross farming income series. The total value of output of factory industries is included in cases where the materials are produced in New Zealand and are not already included as production in some other group.

The recent revisions in the Gross Farming Income series mentioned earlier in this Section have necessitated corresponding revisions in the farming groups in this series. These revised estimates (from 1938–39 onwards) are quoted in the following table, in terms of New Zealand currency. Since comparisons between the old and the revised series are of limited validity the figures for years prior to 1938–39 which appeared in the 1954 and earlier issues of the Year-Book are not reproduced here. It has not appeared worthwhile attempting to carry the revisions back any further, the old series up to 1937–38 being quite valid measures of movements up to that date. Global estimates such as these, are, from their nature, subject to amendment from time to time as additional data on production become available and improvements are made in technique.

VALUE OF PRODUCTION

YearAgriculturalPastoralDairying, Poultry, and BeesTotal, Farming GroupsMiningFisheriesForestryFactory*Building and MiscellaneousTotals (All Groups)

* Excluding factory industries included in other groups.

† Provisional.

 £(m.)£(m.)£(m.)£(m.)£(m.)£(m.)£(m.)£(m.)£(m.)£(m.)
1938–398.337.533.379.14.40.64.030.514.7133.3
1939–409.638.836.384.74.90.64.433.515.4143.5
1940–4110.346.339.395.95.10.64.537.114.4157.6
1941–4211.445.937.995.25.40.64.541.214.8161.7
1942–4313.346.936.696.85.30.65.045.215.5168.4
1943–4414.448.136.298.75.70.75.349.415.9175.7
1944–4516.456.343.3116.05.80.75.452.016.4196.3
1945–4615.955.039.8110.76.00.96.155.619.0198.3
1946–4715.964.948.4129.26.41.06.661.723.1228.0
1947–4817.481.155.9154.46.31.18.770.824.4265.7
1948–4919.684.462.7166.76.91.210.577.027.8290.1
1949–5020.8118.068.9207.78.21.410.984.531.1343.8
1950–5120.8213.077.4311.29.41.412.897.436.8469.0
1951–5223.5136.889.5249.89.31.515.5112.341.4429.8
1952–5324.4167.5100.3292.211.01.815.5115.943.0479.4
1953–5430.9180.298.0309.111.02.117.2130.548.2518.1

Taken together the farming groups outweigh all others so that the all-groups aggregate reflects the movements in these groups. Primary produce, particularly wool, prices have been major factors influencing movements in the all-groups aggregate in recent years.

VOLUME OF PRODUCTION.—The method of computation of the volume series is somewhat involved and is based on figures of physical volume of output where available (as for practically all farm, mining, forestry, and fishery production). For factory industries, quantity figures—either of products or of materials used—have been utilized where available, and in the case of other factory industries an estimate of volume of production is assessed by applying to the cost of materials used or of products, an index of wholesale prices of the principal materials or products of the particular industry. In the case of some of the industries where the above methods were not applicable, a figure closely indicative of volume movements has been arrived at by assessing the number of man-hours worked.

Information as to the number of dwellinghouses erected, classified according to size, is normally available, and from a consideration of this data, value figures for other classes of building activity have been converted into equivalent dwelling or room units. The composite total of actual and equivalent dwelling or room units is a sufficiently reliable indicator of actual volume of building production to permit of its incorporation in an index measuring the year-to-year movement in the volume of total production. Similarly, for those physically productive occupations (representing only a small percentage of aggregate production) not included in any of the groups mentioned above, a reasonably close approximation of movement is afforded by a consideration of the numbers of men engaged, with allowance for changes in working hours and also for the relative productive output of different classes of labour.

The following table gives figures of value, and index numbers of value and volume of production, for the principal headings.

VALUE AND VOLUME OF PRODUCTION

Base of index numbers: 1938–39 (= 100)

YearFarmFactory*Total (Including Other)
ValueIndex of VolumeValueIndex of VolumeValueIndex of Volume
TotalIndexTotalIndexTotalIndex

* Excluding factory industries included in other groups.

† Provisional.

 £(m.)  £(m.)  £(m.)  
1938–3979.110010030.5100100133.3100100
1939–4084.710710433.5110110143.5108106
1940–4195.912111537.1122114157.6118112
1941–4295.212011141.2135117161.7121110
1942–4396.812210745.2148122168.4126109
1943–4498.712510649.4162129175.7132109
1944–45116.014711552.0170132196.3147114
1945–46110.714010755.6182136198.3149112
1946–47129.216311161.7202146228.0171118
1947–48154.419511470.8232159265.7199123
1948–49166.721111877.0252167290.1218130
1949–50207.726312384.5277174343.8258137
1950–51311.239312797.4319184469.0352141
1951–52249.8316126112.3368196429.8322144
1952–53292.2369132115.9380196479.4360147
1953–54309.1391133130.5428211518.1389152

A measure of relative productivity is afforded by the next table, which gives figures and index numbers of value and volume of production in total and per head of population.

VALUE AND VOLUME OF PRODUCTION

YearMean Population Year Ended 30 JuneValue of ProductionVolume of Production
TotalPer HeadIndex Numbers 1938–39 (= 100)Index Numbers 1938–39 (= 100)
TotalPer HeadTotalPer Head

* Provisional.

  £(m.)£    
1938–391,616,650133.382.5100100100100
1939–401,636,680143.587.7108106106105
1940–411,634,238157.696.4118117112111
1941–421,631,375161.799.1121120110109
1942–431,639,407168.4102.7126125109108
1943–441,641,433175.7107.0132130109108
1944–451,673,378196.3117.3147142114111
1945–461,729,195198.3114.7149139112104
1946–471,779,129228.0128.2171156118107
1947–481,816,938265.7146.2199177123110
1948–491,853,049290.1156.6218190130113
1949–501,890,752343.8181.8258221137117
1950–511,927,212469.0243.4352295141118
1951–521,970,491429.8218.1322265144118
1952–532,022,684479.4237.0360288147118
1953–54*2,073,329518.1249.9389303152118

MARKETING OF PRIMARY PRODUCE.—Prior to the First World War, internal arrangements for the marketing of primary produce destined for export were the subject of individual negotiation between producers and intermediaries. Government assistance in the marketing of primary products, however, had been given in many ways since organized settlement began, such as by monetary grants, by research and instruction, and by inspection and regulation in the public interest. Organized bulk marketing commenced in 1915 with the establishment of the Imperial Government Supplies Department in Wellington as agent for the New Zealand Government in controlling the export of the various items of primary produce, notably meat, wool, butter, cheese, hides and skins, etc. After the termination of Imperial bulk purchasing by March 1921 producers of meat and dairy produce viewed more favourably participation in some form of common marketing organization, though wool producers were much less favourably disposed, owing to the different circumstances pertaining in regard to overseas markets for wool.

In 1922 and 1923, therefore, attempts to gain at least some of the advantages of organization were apparent in the establishment in the former year of the Meat Producers Board under the authority of the Meat Export Control Act, and of the New Zealand Dairy Produce Control Board in 1924 under the Dairy Produce Export Control Act of the later year mentioned. Other such Boards established include the Honey Export Control Board (1924), the Fruit Export Control Board (1924), the Kauri Gum Control Board (1925), the New Zealand Poultry Board (1933), and the Wheat Committee (1936).

The effect of the economic depression of the early “thirties" affected the operations of the Boards so seriously that after an investigation by a Royal Commission, an Executive Commission of Agriculture was created in 1934 by virtue of the Agriculture (Emergency Powers) Act 1934. The Commission was granted very wide powers, including those to take over the functions of various existing Boards, and to make regulations for the improvement of marketing methods in order to improve the prices at which farm produce was being sold.

In respect of the direct control and marketing of primary produce, the Executive Commission of Agriculture was superseded by the Primary Products Marketing Department in 1936, though it continued to function in an advisory and regulatory fashion, being, among other things, responsible for the zoning of dairy factory supply areas.

The Meat Producers Board arranged for the grading, handling, and storage of meat for shipment and the regulation of shipping, while no valid contract for shipment by exporters could be made without the approval of the Board. This practice continued until the early stages of the Second World War, when recourse was again made to bulk purchase between Governments, the Marketing Department taking over the export of meat.

The Dairy Board in a similar manner became responsible for the control of shipping in respect of dairy produce. As an experiment in 1927 it endeavoured to make use of its London office as the sole agent for the sale of butter and cheese, including the fixation of prices by the London agency in conjunction with distributors. This experiment was abandoned shortly thereafter, but a modified form of marketing organization was adopted in the early depression years by the preparation of a list of licensed wholesalers to whom allocations of dairy produce were made. Further plans for the more complete control of export marketing by the Board were rendered void with the establishment of the Marketing Department under the Primary Products Marketing Act 1936. The Department was empowered to acquire primary products and market these either in New Zealand or overseas. During the ensuing period up to the outbreak of war the operations of the Department were confined to dairy produce, while throughout this period and subsequently, payments to butter-fat producers were based on the guaranteed-price scheme. Concurrently with the control of marketing of dairy produce for export the Department assumed the responsibility of marketing such products within New Zealand.

In the case of wool the Government utilized the services of organizations already in existence for the bulk sale of this product. General administration and the financial aspects were dealt with, however, by the Marketing Department.

The Meat Pool, Meat Industry Stabilization, and Dairy Industry Stabilization Accounts received the benefit of price increases occuring during the war years (the first mentioned, of increases in meat prices up to December 1942; the second, thereafter). The surpluses remaining in the two latter accounts, after payment of subsidies, etc., designed to keep down farm production costs, constituted reserves intended to maintain producer incomes during periods of falling prices and, in the case of the Meat Pool surplus, for the future use of the industry. The Finance Act 1950 amalgamated the Meat Pool and Meat Industry Stabilization Accounts to form the Meat Industry Reserve Account.

The existence of the Marketing Department was thus a factor in achieving a smooth changeover to a system of bulk-purchase agreements covering meat, dairy produce, wool, hides, tallow, etc., between the United Kingdom and New Zealand Governments. This procedure was to remain a dominant feature of marketing during the war and immediate post war years. Shipping and storage difficulties associated with wartime conditions also led to the export of meat becoming a function of the Marketing Department.

Government Marketing.—The Marketing Department was established by the Marketing Act 1936, which transferred to it many of the functions previously exercised by the New Zealand Dairy Board, and made provision for the compulsory acquisition by the Department at prices fixed by it of butter and cheese for export, followed in 1937 by butter and cheese for local consumption. These functions were in 1947 relinquished to the Dairy Products Marketing Commission. Control of prices of export meat was assumed by the Marketing Department under the authority of the Marketing Amendment Act 1939, meat marketing orders being issued annually until 1947, and again from 1949 to 1953. The physical handling arrangements for export meat were resumed by the Meat Producers Board in 1948, and the same authority conducted the price negotiations with the United Kingdom Ministry of Food for the 1953–54 season. The Marketing Amendment Act 1937 set up the Internal Marketing Division of the Marketing Department, with power to control wholesale and retail prices of eggs, fruit, and honey, as well as dairy produce, while subsequent regulations added other commodities, notably meat, wool, hides, wire, galvanized iron, and industrial and farming machinery. The Department's functions were by no means fully exercised in respect of these commodities. It guaranteed a minimum price for kauri gum in 1937; provided a minimum guarantee for eggs and undertook an advisory service for the trade in 1937; took over the processing and marketing of New Zealand standard lemons in 1939; and in 1940 became responsible for the administration of regulations setting up egg floors in the four main centres and in Hastings.

In 1942 it became necessary to set up floors in most of the provincial centres and these have continued to operate. The marketing of eggs became the sole responsibility of the National Egg Marketing Committee in 1951, but the committee continued to use the Department as its agent. The Poultry Industry, however, set up its own marketing organization and took over completely at the end of 1953.

In 1938 regulations administered by the Division were introduced regulating the sale and disposal of bobby calves, but in 1953 the New Zealand Dairy Board took over the administration of these regulations. In 1938 also the Minister of Marketing assumed the powers of the Honey Export Control Board. Honey in blended and packed form was distributed both within the country and to overseas markets, in 1953 this becoming the responsibility of the Honey Marketing Authority. Upon the outbreak of war in 1939 and by agreement with the New Zealand Fruitgrowers' Federation, but actually commencing duty in 1940, the staff of the Fruit Export Control Board was taken over, the Board retiring from active participation, but remaining as an advisory committee. The growers were given a fixed return for their fruit, the Government undertaking to sell the whole crop within New Zealand and to bear whatever losses were consequent upon such policy.

In 1948 the Apple and Pear Board became responsible for the marketing of these fruits, followed in 1951 by a registered company controlling imported citrus fruits and bananas, while New Zealand lemons came under the Citrus Marketing Authority in 1953.

The Milk Act 1944 created the Milk Marketing Division of the Marketing Department. The Department's functions in regard to milk were eventually assumed by the New Zealand Milk Board in 1953.

In a relatively minor but financially substantial field the Marketing Department operated wartime-built processing factories at Motueka and Pukekohe, administered supplies for Government institutions, hired storage space to commercial interests, provided staff and facilities for the Armed Forces Canteen Council, and maintained liaison with various marketing organizations.

By the Marketing Amendment Act 1948 the Export Division, the Internal Marketing Division, and the Milk Marketing Division were abolished as separate divisions of the Marketing Department. With the industry bodies assuming control of the marketing of their produce progressively from 1947 onwards, by 1953 the remaining functions did not justify the retention of a separate Department, and provision was made in the Marketing Amendment Act 1953 for the abolition of the Marketing Department and the transfer of its remaining functions to the Director-General of Agriculture. By the beginning of December 1953 arrangements had been made in respect of these functions, and since then the Marketing Division of the Department of Agriculture has relinquished all active participation in the marketing processes. A brief description of the transfer of functions from the former Marketing Department to industry bodies, as affecting certain commodities, is given in the following pages.

The general policy of State marketing of primary products has exhibited four phases:

  1. The original tendency was for the State to trade directly, buying products outright, bearing losses, and retaining profits.

  2. This was followed by the formation of financial pool accounts for each industry, the profits, subject to the general policy on stabilization, being paid out to the suppliers, and any reserves held for the benefit of the industry.

  3. The third phase has been the direction of policy by boards and committees with the assumption of executive, and not as previously merely advisory, powers. Each body continued to use the marketing organization for assembly, storage, transport, distribution, and accounting, which the Department had built up, these services having been made available at cost.

  4. The fourth phase has been the progressive transfer to various boards or authorities, representative of the industries concerned (with Government representation to protect consumer interests), of the responsibility and authority for the effective marketing of their own products.

Marketing Authorities, Specific and General.—The major statutes under which specific marketing authorities operate are the Dairy Products Marketing Commission Act 1947, the Meat Export Control Act 1921–22 (for the Meat Producers Board), the Wool Commission Act 1951, the Milk Act 1944, the Potato Growing Industry Act 1950, and the Apple and Pear Marketing Act 1948.

In addition to the specific statutes authorizing the industry body concerned to carry out marketing functions for certain major commodities—e.g., dairy produce, meat, potatoes, apples and pears, milk—an Act passed in 1953, entitled the Primary Products Marketing Act 1953, authorized the setting-up of other marketing authorities by Orders in Council. The Minister was required to be satisfied that a large majority of the producers in the industry concerned desired to have an authority established, and provision was made for the protection of consumer interests by the appointment of experienced Government representatives to such authorities. Other protection measures included provision for consultation between the Minister and the various boards or authorities, empowering the Minister to give directions on matters of Government trade policy, the presentation of annual reports to Parliament by each body, and by Government audit of their accounts.

Orders in Council have been gazetted, up to the present time, entitled the Citrus Marketing Regulations 1953, the Egg Marketing Regulations 1953, and the Honey Marketing Regulations 1953, all three being confirmed and validated by the Primary Products Marketing Confirmation Act 1953.

Summary of Present Position.—The present position may be summarized as set out below.

Dairy Produce.—Provision was made in 1936 for the compulsory acquisition by the Marketing Department, at prices fixed by it, of butter and cheese for export, and also in 1937 for consumption in New Zealand. By the Dairy Products Marketing Commission Act 1947, however, these functions, as regards butter and cheese for export (later extended to cover all dairy produce for export) were transferred to the New Zealand Dairy Products Marketing Commission. By the same Act the control and regulation of butter and cheese for local consumption was also transferred to the Commission. The Commission was given the task of determining the guaranteed price to be paid out to producers, while the general conditions to be taken into account in its determination were also specified.

The Dairy Products Marketing Commission negotiates with the overseas buyers in respect of prices and quantities of export dairy produce, acquires and provides for the handling of the New Zealand dairy production, determines the guaranteed prices to be paid to local producers for dairy produce, and regulates the marketing of butter and cheese in New Zealand. The amendment Act of 1953 empowered the Commission to acquire shares in overseas marketing companies and to delegate to a committee the control of the marketing of milk powder intended for export. The Commission is authorized to join with the New Zealand Co-operative Dairy Company in setting up the Milk Powder Committee for this purpose.

Meat.—Control of prices of export meat was assumed by the Marketing Department in 1939.

By arrangement with the Government in early 1948, the Meat Producers Board resumed the regulation of shipping and physical handling of meat and became responsible for the purchase of meat for export and the payment to the freezing companies for such meat. In negotiation of prices, etc., for the sale of meat and meat products overseas the representatives of the Board acted as advisers in association with the representatives of the New Zealand Government, and for the 1953–54 season's prices the Meat Producers Board was authorized to conduct the price negotiations with the United Kingdom Ministry of Food. The United Kingdom Government agreed to this procedure subject to the New Zealand Government vouching for the accuracy of any cost statistics used by the Board's representatives. Meat destined for local consumption is not dealt with by the Meat Producers Board. With the end of the bulk purchase agreements in September 1954, the export trade in meat reverted to a trader-to-trader basis.

Wool.—The minimum-price system created by the Joint Organization for the disposal of war surplus stocks of wool was continued by the operations of the Wool Disposal Commission, which was prepared to buy, at minimum reserve prices, wool from current clips offered at public auction but in respect of which prices failed to exceed the reserve fixed. By the Wool Commission Act 1951 the Wool Disposal Commission was abolished and a Wool Commission authorized, with the principal function of assuring minimum prices for greasy, scoured, and growers' slipe wool in accordance with the table of minimum prices (effective only after agreement with the Minister), for New Zealand wool sold in New Zealand or the United Kingdom at auction sales approved by the Commission. The Wool Disposal Account was abolished and its moneys, together with those standing to the credit of the Wool Industry Deposit Account, were transferred to the Wool Commission Account which was established by the Act. The marketing of wool is carried out by public auction, though a charge on the proceeds of sales may be retained by the Wool Commission sufficient to cover administration costs and the amount of the levy imposed by the Wool Industry Act 1944. The latter amount is expended by the Wool Board for the benefit of the industry as a whole.

Apples and Pears.—Apples and pears are purchased from growers by the New Zealand Apple and Pear Marketing Board. This Board was set up in 1948, in terms of the Apple and Pear Marketing Act 1948, to take over direction of the acquisition and marketing of the apple and pear harvest. It administers a guaranteed price scheme based on the cost of production of apples and pears. This price is a New Zealand average, and within it prices to growers vary for the different varieties, grades, type of packs, and sizes. In this case the Board does not itself declare the average price to be paid for apples and pears, its powers being limited in this respect to making recommendations to the Minister of Marketing, who declares the cost of production. The Minister then, after consultation with the Board, declares the average price to be paid for apples and pears. The Board is charged with the duty of recovering from the market these prices together with the costs of marketing. It determines the wholesale prices at which fruit is sold by authorized wholesalers to retailers, but there is no control by price order at either the wholesale or the retail level.

The Apple and Pear Board at first did not employ its own staff, except for secretarial and investigational duties, the physical functions in assembly, distribution, and marketing being carried out by the Marketing Department as the agent of the Board. However the Board set up its own marketing organization and took over direct control as from 1 December 1953.

Orchardists are permitted to sell direct to consumers in lots of not more than two cases at one time, and factories may be licensed by the Board to purchase their requirements direct from growers, though in some cases the Board itself purchases the fruit and re-sells it to the factory. With these exceptions all fruit must be offered to the Board, which must accept it if it comes within the scope of the New Zealand Grown Fruit Regulations 1952, which sets standard grades with which the packed fruit must conform. Officers of the Department of Agriculture inspect the fruit and if it complies with these standards the fruit becomes the property of the Board. The Board decides what proportion of the fruit is to remain in New Zealand and what proportion is to be exported, and arranges for the storage and release of varieties according to their condition and keeping capacity, in order to make fruit available for as long a period as possible during the year. The Board has purchased the greater part of the facilities previously owned by the Government situated in fruit-growing districts, consisting principally of stores and cool stores and sundry ancillary equipment such as motor trucks and mechanized handling equipment.

Potatoes,—Commencing during the war period, the Marketing Department let contracts to ensure an adequate supply of main-crop potatoes for local consumption. The last such contracts were let for the 1950–51 season.

The Potato Board, with equal representation of growers and merchants, was established by the Potato Growing Industry Act 1950. Its principal function is to ensure that an adequate supply of main-crop potatoes shall be available for consumption. Its powers include the making of contracts between growers and the Board, and the appointment of wholesalers authorized to purchase from growers and to sell potatoes in respect of which contracts have been made with the Board. The Board replaced the Potato Advisory Committee of the Marketing Department from November 1950.

Milk.—The Milk Act 1944, as amended in 1951, set up a Central Milk Council under whose general direction were to be established local milk authorities of various types according to conditions. The Marketing Department, and later the Department of Agriculture, acted as the administrative agent of the Council. It also administered the National Milk Scheme under which local supply associations of farmers contract to supply the requirements in given areas at prices fixed from time to time by agreement between the industry representatives and the Government. The scheme controlled prices and allowances for processing and distribution at all stages from the farm gate to the consumer. The Milk Amendment Act 1953, however, further implemented the Governments policy of divorcing marketing of primary products from direct Government control. It provides for the setting-up of the New Zealand Milk Board to replace the Central Milk Council, with powers considerably greater than those of the Council, and for this reason one extra Government member was appointed to the Board. The Board has its own officers and operates the National Milk Scheme and treatment stations owned by the Crown, and engages in other activities for the purpose of ensuring an adequate supply and efficient distribution of milk.

The Central Milk Council Account is also replaced by the Milk Industry Account. While subsidies are payable from the Consolidated Fund, the Board may make a levy on milk for the purpose of providing for its operations if the Minister of Agriculture approves.

Retail prices are fixed by Price Order. The price for the milk to the producer is negotiated between the Government and the Town Milk Producers Federation of New Zealand. Intermediate margins, such as those for chilling and bottling milk and to vendors for its delivery, are fixed with the bodies representing these parties. The total cost at the present time exceeds the amount paid by the consumers, the balance being met by subsidy. It is the function of the Milk Board to administer the whole town milk scheme on behalf of the Government which, however, retains a direct interest by virtue of the substantial sum still paid in subsidy.

Eggs.—The marketing of eggs and egg products was formerly controlled by the National Egg Marketing Committee, set up under regulations issued in 1951 and amended in 1952. Private firms in various towns and cities were licensed by the Minister of Marketing to receive and sell eggs on commission and to manufacture and sell egg pulp. The prices paid to the poultrykeepers were those fixed from time to time by the Minister on the Committee's recommendation, while the wholesale and retail selling prices to the public were fixed by price order. It was the responsibility of the Committee to obtain from the market the average cost of production for the producer. It operated by adjusting prices, by deciding the proportion of eggs for pulping, and by instituting economies in marketing; it also administered funds collected from the producers by means of levies on feed and eggs, applying these towards meeting administrative costs and marketing expenses.

The Egg Marketing Authority Regulations 1953 transferred to the Egg Marketing Authority the power to regulate and control the marketing and distribution of eggs and egg pulp in substantially the same manner and extent as those powers were exercisable by the Minister and the Department of Agriculture under the Egg Marketing Regulations 1951.

The Egg Marketing Authority consists of seven members—four producer members of the New Zealand Poultry Board and three Government representatives.

The principal function of the Authority is to regulate and control the marketing and distribution of eggs and egg pulp in New Zealand and elsewhere in accordance with the regulations, to ensure as far as possible sufficient supplies of eggs and their equitable distribution in the general interests of producers and consumers.

The New Zealand Egg Marketing Authority as the successor with autonomous powers to the National Egg Marketing Committee, operates principally through licensed distributors in the various districts who, on commission, receive and re-sell eggs, or, as directed by the Authority, manufacture egg pulp for the use of bakers and pastry cooks. The poultry industry does not enjoy a full guaranteed price from the Government, but, within limits fixed by the assessed costs of production, is free to recover these costs from the market. A subsidy, at present at the rate of 4d. per dozen, is paid by the Government in respect of eggs received at authorized egg floors (as the licensed distributors are known). The Authority has, with the approval of the Minister, delegated its powers in the daily supervision of the details of egg and egg pulp marketing to a Committee of four persons, one nominated by each of the Provincial Councils of the New Zealand Poultry Board.

Imported Citrus Fruits and Bananas.—The control and distribution of bananas and imported citrus fruits were placed in the hands of the Internal Marketing Division in 1938, pineapples being added in 1940. Since the beginning of 1951, however, the importation and marketing of imported citrus fruits, bananas, and pineapples have been taken over by a registered company, Fruit Distributors, Ltd., representing trade interests.

New Zealand Lemons and Oranges.—The Citrus Marketing Authority Regulations 1953 provided for the Citrus Marketing Authority with the principal task of selling fresh lemons, either directly or through agents, throughout New Zealand at prices related to cost of production, and to process unmarketable but otherwise sound fruit into by-products, such as fruit juice and lemon peel. The Authority has a membership of five, four of whom are nominees of the New Zealand Citrus Council and represent the producers, and one appointed by the Minister of Agriculture representing the consumers.

The Citrus Marketing Authority is now empowered to control the assembly and distribution of New Zealand lemons, including the variety known as the meyer lemon which was hitherto exempt from regulation, and also New Zealand grown sweet oranges. The entire output of packed lemons, which now come under the jurisdiction of the Authority, is sold at agreed prices to Fruit Distributors, Ltd, following discussions with the predecessors of the Citrus Marketing Authority, and confirmed by the Citrus Marketing Authority. The Authority has taken over the processing and packing facilities at Kerikeri, Auckland, and Tauranga, and most of the staff previously associated with this work.

Honey.—A Honey Export Control Board was set up in 1924, the powers of which were assumed by the Minister of Marketing in 1938. In the same year regulations were made to provide for a levy at the rate of ½d. per pound on honey sold by beekeepers within New Zealand, subject to certain small exceptions. At a later date regulations under the Marketing Acts set up the Honey Marketing Committee which at first was advisory in nature, but some years later was given virtually executive powers. The Honey Marketing Authority Regulations 1953, made under the Primary Products Marketing Act 1953, amalgamated all the foregoing provisions and provided for a Honey Marketing Authority, which undertakes the task of packing and marketing honey within New Zealand and for export, and either directly or through agents operates the blending plant in Auckland. The levy referred to is continued at the rate of 1d. per pound and the funds paid into the Honey Industry Account, which is administered by the Authority for the benefit of the industry in general. The greater part of the funds hitherto obtained from this levy has been applied to subsidizing the return received by those whose honey has been exported through the Honey Marketing Committee.

The Authority comprises four members elected by beekeepers, one appointed by the National Beekeepers' Association (Inc.), and one member appointed by the Government to watch the interests of the consumer.

Processing and Storage Facilities.—The New Zealand Packing Corporation, Ltd., was formed in November 1953 for the express purpose of operating the trading and storage facilities of the Marketing Division at Auckland, Pukekohe, and Motueka as the Government's agent. The property and facilities, buildings, plant, and equipment remain with the Government, but are transferred for the purposes of practical administration to the custody of the company. The company is charged under an agreement between it and the Government to operate the facilities in a prudent and businesslike manner. All profits are paid into the Consolidated Fund, after making due allowance for income tax and such other charges as a commercial organization would be required to bear.

The Government is responsible for the provision of such plant as may from time to time be required to keep the facilities up to date and in effective working order. The company will operate the factories for a period of five years. At the end of this period the last four years of operation will be taken into account to decide the purchase price at which a future public company will purchase the entire assets of the undertaking from the Government. The agreement provides that the price to be paid shall be based upon the earning capacity of the undertaking, taken over the average of the preceding four years.

PURCHASE OF PRIMARY PRODUCE BY UNITED KINGDOM.—The deterioration in the European situation during 1938 and 1939 had led to the formulation of plans in the United Kingdom and New Zealand for the supply of foodstuffs and other produce in the event of war. These plans, which were put into effect shortly after the outbreak of war, envisaged the United Kingdom Government becoming the sole purchaser of imported foodstuffs, and the Marketing Department becoming the authority in New Zealand responsible for the bulk purchase and shipment of the various food and other products.

In general the arrangements for the purchase of produce were to continue for the duration of the war and a subsequent period to be agreed upon, except in the case of wool, where the period was fixed for the duration of the war and one season's clip thereafter. The bulk purchases of wool terminated with the sale of the 1945–46 season's clip, but early in 1944 long-term contracts were entered into in regard to butter, cheese, and meat, the period covered in the original agreement being the four production seasons 1944–45 to 1947–48. At the beginning of the 1946–47 season the period of the contracts was extended to 31 July 1950, with arrangements to confer in 1948 on the desirability of a further extension. As a result of conferences held in 1948 new long-term agreements were entered into covering the period to the end of the production year which terminated in 1955. These agreements are referred to later under their respective headings. However, during 1954, after discussions with the United Kingdom, the long-term contracts for both dairy produce and meat were terminated from the beginning of the 1954–55 season—i.e., one year before expiry date.

The principal products coming within the bulk-purchase plan which commenced at the outbreak of the Second World War were wool, dairy produce, meat, tallow, and woolly sheep skins. A brief history of the contracts entered into in regard to the three main items—wool, dairy produce, and meat—and of the principal changes that have taken place since the inception of the scheme is given on pages 319–326 of the 1950 issue of the Year-Book. In the following pages only recent years are dealt with in the text together with summary tables.

WOOL.—In the case of wool the contract commenced with the 1939–40 season's clip and was for the duration of the war and one season's clip thereafter. Following the cessation of hostilities in August 1945, the sale of the 1945–46 season's clip marked the end of the contract obligation of the United Kingdom Government. All wool not required for manufacture in New Zealand was covered by the terms of the contract. Huge surplus stocks of wool purchased under contract from Australia, South Africa, and New Zealand had accumulated by the end of the contract period. The total stocks of United Kingdom owned wool at 30 June 1945 were estimated at 3,245,000,000 lb., including 540,000,000 lb. (or 17 per cent) from New Zealand. Owing to the increased world consumption of wool, the surplus stocks were disposed of at a much faster rate than was anticipated, being at a rate of approximately 2,000,000 bales each year.

The problem of dealing with and disposing of the accumulated surplus in a manner that would not detrimentally affect future prospects of the trade resulted in the formation of a partnership between the Governments of the United Kingdom, Australia, New Zealand, and South Africa. A Joint Organization was formed and incorporated in England as a private registered company, the capital consisting of eight shares, of which four were held by the nominees of the United Kingdom, two by nominees of the Government of Australia, and one each by nominees of the Governments of New Zealand and South Africa. The company had three subsidiaries acting on its behalf, one in each of the three wool-producing countries. The subsidiary in New Zealand was the New Zealand Wool Disposal Commission established under the Wool Disposal Act 1945.

The Joint Organization bought, held, and sold wool as agent for the four Governments. The post-war wool clips were not acquired by it by way of bulk contracts—these, and existing surplus wool being auctioned subject to a system of minimum or reserve prices, at which the Organization itself bought if no other buyer bid that price or better. Reserve prices were fixed prior to the opening of each wool season by representatives of the four Governments.

Stocks of wool taken over by the Joint Organization for disposal in 1945 amounted to 10,407,000 bales, the New Zealand share of this wool comprising 1,777,000 bales. By early 1952 all stocks held in New Zealand were liquidated.

A total final profit of £19,748,187 was estimated to accrue to New Zealand as its share from the sale of wool under the Joint Organization scheme. Most of this amount has been invested in Government securities, and is to be expended for the purposes set out in the Wool Commission Act 1951. The operating expenses of the Joint Organization were borne equally by the woolgrowers and the Joint Organization. The share of the woolgrowers was paid from a contributory charge on all sales of current clip wool at auction sales or sales to the Joint Organization at reserve prices. The rate of the contributory charge in New Zealand was 7 ½ per cent for 1946–47 season, 5 per cent for 1947–48 and 1948–49, 2 ½ per cent for 1949–50, and ½ per cent for the 1950–51 season, this percentage being calculated on the sale value of all wool produced in New Zealand.

The Wool Commission set up by the Wool Commission Act 1951, and replacing the Wool Disposal Commission, was given the necessary powers to complete the winding-up of the Joint Organization. The objective of the 1951 Act is to ensure that during each wool-selling season the growers selling greasy, scoured, and growers' slipe wool at auction sales will receive for their particular types of wool at least the minimum prices prescribed from time to time in the table of minimum prices prepared by the Commission. This table is not to become effective except by agreement with the Minister of Agriculture. The Commission is authorized to approve auction sales in New Zealand or the United Kingdom for the purposes of the Act and, where wool is sold at less than the minimum price at an approved sale, to supplement the sale price so as to increase it to the minimum price; alternatively, the Commission may buy such wool at a price not greater than the minimum price. Provision is also made in the 1951 Act for a charge on wool sufficient to cover the costs of administration of the Act and the levy imposed by the Wool Industry Act 1944. As stated above, there was no charge imposed on the sale value of wool for seasons 1951–52 to 1954–55 to cover administration costs, the only amount deducted being the levy per bale contributed to the Wool Board for its wool promotion purposes. The amount of this levy for the 1954–55 season is 2s. 6d. per bale from the sale of wool, supplemented by 2s. 6d. from the income of the Wool Commission. All moneys standing to the credit of the Wool Disposal Account and the Wool Industry Deposit Account were transferred to the Wool Commission Account established by the Act.

Statistics of greasy wool sold at auction in New Zealand (compiled from information supplied by the New Zealand Wool Commission) are given below in two sections. The first table gives a summary of the transactions that took place during the seasons 1947–48 to 1954–55. Actual total quantities and values are shown as recorded at sales, no attempt being made to allow for variations in quality or in the relative quantities of the various types of wool sold from season to season. Besides price movements, therefore, the average value per pound of wool sold shown in this table includes variations on account of these additional factors.

WEIGHT, SALE VALUE, AND AVERAGE VALUE PER POUND OF GREASY WOOL SOLD AT AUCTION

SeasonWeight of Greasy Wool SoldSale ValueValue Per Pound
 lb.(000)£(000)d.
1947–48280,72929,37525.11
1948–49287,21130,88225.81
1949–50297,88647,13837.98
1950–51293,737107,50987.84
1951–52314,89652,73440.19
1952–53311,90260,02246.19
1953–54317,09366,39250.25
1954–55338,60870,08449.67

In the next table details of a wool price index on base 1949–50 (= 1000) are given. This index has been compiled in an attempt to eliminate all but the price factor in movements of average wool values during the seven seasons. A description of the make-up of this index is given in the March 1952 issue of the Monthly Abstract of Statistics.

SeasonPrice Per Pound on Floor, Greasy*Index Numbers Base: 1949–50 (= 1000)

* Average of selected types.

† Based on price on floor, clean.

 d. 
1947–4825.62676
1948–4926.10686
1949–5037.981000
1950–5187.472299
1951–5241.591088
1952–5347.071219
1953–5450.831310
1954–5549.981286

The following table shows the total wool production (greasy basis), the movement in the average price per pound of wool (greasy basis), and the estimated total value of wool production for seasons 1938–39 to 1954–55 inclusive. The reserve prices mentioned earlier are also given for the seasons 1946–47 to 1954–55—e.g., an overall average greasy reserve price of 24d. per pound represented a range of prices over the various qualities of fleece wool from 44id. for finest wools down to approximately 20d. for coarsest wools. In the first season of operation, 1951–52, the Wool Commission bought in 1,600 bales of wool, which were subsequently sold at a profit.

Season Ended 30 JuneTotal Wool Production (Greasy Basis)Average Price Per Pound (Greasy Basis)Reserve Price Per Pound of Greasy WoolEstimated Value of Total Wool Production

* Minimum floor price.

 lb.(million)d. per lb.d. per lb.£m.
1939327.79.17..12.5
1940310.012.85..16.6
1941331.512.87..17.8
1942345.012.88..18.5
1943340.014.58..20.7
1944330.014.60..20.1
1945372.014.61..22.6
1946365.014.51..22.1
1947367.017.8316.2327.3
1948362.025.1116.2337.9
1949367.025.8116.9839.5
1950390.037.9816.9861.7
1951390.087.8419.10142.7
1952407.040.1924.00*68.2
1953418.046.1924.00*80.4
1954426.050.2526.00*89.2
1955455.049.6726.00*94.2

DAIRY PRODUCE.—In previous issues of the Year-Book there is an account of the earlier bulk purchasing agreements, the following paragraphs relating only to agreements made in 1948 and later years up to the termination of the agreements as from the 1954–55 season.

Negotiations in June and July 1948 between the United Kingdom Ministry of Food and the delegation representing the Dairy Products Marketing Commission resulted in a new long-term agreement (incorporating the unexpired term of the then current contracts) for the period throughout 1948 and up to 31 July 1955. Agreement was also reached at these discussions in respect of prices for the 1948–49 season, followed by discussions in 1949 at which prices and quantities for the 1949–50 season were agreed upon. The salient features of the 1948 agreement for the ensuing period were as follows:

  1. All purchases were to be f.o.b. New Zealand ports and the responsibility for providing snipping for transport rested with the United Kingdom Government:

  2. Payment was to be made in sterling in London as to 97 ½ per cent on shipment and as to the remaining 2½ per cent within sixty days after the date of the last bill of lading. If the lifting of available supplies was unduly delayed, the United Kingdom Government was to make interim payments:

  3. Prices, terms, and conditions of sale set out in the agreement were to apply throughout the period, unless before 1 May in each year either party required reconsideration for the ensuing season. Price variations in any one season were to be subject to a maximum of 7 ½ per cent above or below the previous season's price:

  4. The United Kingdom Government and the New Zealand Dairy Products Marketing Commission were to consult and agree upon the ratio of butter production to cheese production for the season and the quantities of butter and cheese which would be reserved for sale to other countries during the production season.

The agreement for the season 1947–48 had provided that New Zealand was to be at liberty to reserve for sale at her own discretion from that season's production up to 1,500 tons of butter and 1,000 tons of cheese. From this free allocation the Dairy Products Marketing Commission could, and did, sell direct, or through exporters acting as its agents, to other countries for the purpose of maintaining connections in those markets where New Zealand has in the past enjoyed an established trade, and of exploring new markets which were considered to hold prospects of permanent trade in the future. These free allocations were in addition to sales to specified colonies permitted by the United Kingdom Ministry of Food agreements with the Governments of the colonies concerned.

For the 1948–49 season sales of batter and cheese to the United Kingdom Government, inclusive of the amounts for the colonies as above, were to be confined to not less than 97 per cent of the exportable surplus of butter and cheese, calculated on a butterfat basis. There were no changes from the above quantities involved in the agreement for the 1949–50 season. For the 1950–51 season the agreement announced in April 1951 provided for a full 7 ½-per-cent increase in price for finest- and first-grade butter and a proportionate increase for finest- and first-grade cheese. There were no increases in the prices paid for second-grade butter or cheese or for whey butter. The quantity to be shipped was not to be less than 90 per cent in butterfat equivalent of exportable surplus with a maximum export of 12,000 tons of cheese to markets outside New Zealand and the programmed countries. Payment was also made in London as to 100 per cent on shipment in lieu of the former 97 ½ per cent.

Agreement reached for the 1951–52 and 1952–53 seasons provided for a 7 ½-per-cent increase in the price paid for New Zealand butter and an appropriate increase in the price for cheese. For 1953–54 the increase was approximately 4 per cent. In respect of quantities, up to 15 per cent of the exportable surplus of butter and cheese could be reserved for sale to other countries in 1951–52; for 1952–53 the corresponding figures were 12 ½ per cent of butter and 10 per cent of cheese; and for 1953–54, 10 and 7 ½ per cent respectively.

The question of long-term contracts for the sale and purchase of the exportable surplus of milk powders was also discussed in 1949 and an agreement reached by which the Ministry of Food undertook to purchase specified percentages of the exportable surplus of buttermilk powders and skimmed roller milk powder from participating dairy factories for the six-year period 1 August 1949 to 31 July 1955. For 1952–53 the prices for first-quality products were as follows, second grades being 5s. less: spray skim-milk powder in tins, 91s. sterling per hundredweight; roller skim in bags, 75s. 6d.; and roller buttermilk in bags, 65s. For 1953–54 the corresponding prices were 84s. 6d., 70s., and 60s., respectively, a decrease of 7 ½ per cent. These contracts were terminated as from 1954–55 season, although the United Kingdom Ministry of Food has agreed to purchase from the 1954–55 season an estimated quantity of from 2,000–3,000 tons of milk powder which certain New Zealand manufacturers who were parties to the contract wished to ship at prices as follows: spray skim milk powder, 45s., roller skim milk powder, 37s. 6d., and buttermilk powder, 32s. 6d. (all f.o.b.).

Following discussions which took place in London in June the United Kingdom - New Zealand bulk purchase dairy contract was terminated as from the commencement of the 1954–55 season.

The following table shows the contract price in sterling per hundredweight of butter and cheese over the years 1944–45 to 1953–54—i.e., up to the end of the bulk-purchasing period.

SeasonButterCheese
CreameryWheyFinest and First Grade (91 Points and Over)Second Grade
Finest Grade (93 Points and Over)First Grade (90–92 ½ Points)Second GradeFirst GradeSecond Grade
 s.d.s.d.s.d.s.d.s.d.s.d.s.d.
1944–4515061493145614261386890870
1945–4615061493145614261386890870
1946–471750173917001670163010261006
1947–482050203920001970193011801160
1948–492350233923002270223013301310
1949–502526251324762446240614161396
1950–512716270324762446240615101396
1951–522920290928202720267016161516
1952–533140312930402940289017601660
1953–543260324931603060301018261726

Overseas Prices in Post-contract Period.—With the cessation of contract prices, the following table, source New Zealand Dairy Products Marketing Commission, shows the latest Official London Provision Exchange market reports for the particular week.

Week EndedButterCheese
Finest GradeFirst GradeFinest and First GradeSecond Grade
ColouredWhite
Price per Cwt. (Shillings)
1954–1 July410410180165
  22 July390390180165
  5 August390390180160
  19 August370370180145
  2 September370370180145
  16 September370370180140
  7 October370370180140
  14 October370370180140
  4 November370370180..
  18 November360–372360–370180..
  30 December364362212182..
1955–6 January364–365362–363205–212180–182..
  13 January364362–363205–208180–182170
  20 January362–364360–362180–182160–162150
  27 January350–352348–350176–182160–162..
  3 February348–350347–349170–176158–162150
  10 February343–346342–345160–166152–156..
  17 February342340–341158–162150–152140
  24 February342340–341158–160151–152..
  10 March342341154–158151–152..
  17 March342341151–153151–152..
  24 March342341151–152150–152..
  31 March342341150–152150–152..
  14 April342341150–151150–152..
  5 May342341150–151150–152..

NOTE.—Prices listed above rule indicates ex-Ministry of Food stocks; below rule, free imports, i.e., not under contract.

Agreement on Guaranteed Price Procedure Between New Zealand Government and New Zealand Dairy Board.—An agreement on future guaranteed price procedure between representatives of the Government and the Dairy Board (after consultation with the Dairy Products Marketing Commission) was approved in June 1952 and published as parliamentary paper H-49, 1952. The principal features of the agreement are described below.

    1. The purpose of the guaranteed price scheme is to stabilize the income of the dairy farmer and to give him some certainty as to probable farm income in any production season.

    2. Over a long period of years the guaranteed price scheme must be to a large extent self-balancing. The existing reserves, wisely used, will help to cushion price falls over a number of years; and in the interests of national economy and for the welfare of the dairy industry, if and when reduction becomes necessary, prices to producers for butter and cheese should be reduced gradually and in harmony with reductions on real income borne by other sections of the community.

    3. In giving effect to the preceding clause there may be periods when overseas price recessions will lead to deficits in the Dairy Industry Account. The Government has stated categorically that in such circumstances the existing statutory obligations as to the guarantee of prices will be honoured. This is understood as a statement that the existing provisions of the Act will be applied so that the dairy farmer will at least receive a price sufficient to meet costs and to maintain himself and his family in a reasonable state of comfort, and the necessary moneys will be made available by the Government.

    4. The desirability of discussions annually to consider whether the scheme is working in the interests of the industry and of the country as a whole was affirmed; and in particular to determine whether modification or amendments are desirable in the light of economic circumstances, marketing conditions, or practical considerations.

    1. Having regard to present economic circumstances and to the balances likely to be accrued in the Dairy Industry Account as at 31 July 1952, unless otherwise agreed by the Dairy Board, it was agreed until the end of the 1954–55 season to use for the benefit of suppliers and for dairy companies the full realizations received for butter and cheese in each season.

      In arriving at this conclusion the parties had in mind that trading in overseas markets demands every effort on the part of the dairy farmer and dairy factory to produce and process a product of highest quality. The Dairy Division of the Department of Agriculture and the Dairy Board are at present engaged in a campaign aimed at securing this result, and it is inevitable that additional capital expenditure will be required both on the farm and in the factory, particularly in the initial period.

    2. For these specific purposes it was agreed—

      1. That a payment under section 22 (2) (6) of the Dairy Products Marketing Commission Act 1947 be made to all dairy companies on the basis of ¾ d. per pound for all butterfat received for manufacture into butter and cheese during the dairy companies' 1951–52 financial year, such payment to be in the form of a non-interest-bearing loan for approved capital expenditure. The loan will be cancelled upon production of a certificate, signed by the company's auditor, that the moneys have been expended on such approved capital expenditure:

      2. The Dairy Products Marketing Commission recognizes the validity of a claim made by the Dairy Board that farmers will be required to incur additional capital expenditure on the farm for the purposes stated above, and when fixing the guaranteed price for the 1952–53 season the Commission will take appropriate action to meet this requirement:

      3. If on calculating the guaranteed price on existing standards and methods for any of the 1952–53, 1953–54, and 1954–55 seasons it appears probable that the realizations from sale of butter and cheese would exceed the guaranteed price so calculated, the Commission before fixing the price will confer with the Dairy Board with a view to determining by agreement how the full estimated realizations for the year shall be used in accordance with clause 2 (a) above:

      4. Except as provided for below, should the movement of costs as measured by the Dairy Products Marketing Commission according to the present standards justify a price in excess of realizations, then the Commission shall determine and pay such price.

    1. In March 1955 (or at any time that it is clear to the Commission and the Board that the total balance in the Dairy Industry Account may fall below £20 million) the parties to this agreement will again meet to review the operation of the scheme, to discuss any desirable amendment to the procedure operating at that date, and to arrange for the ascertainment of new cost standards and the period to which they may be applied.

    2. After the date of the operation of new standards as determined in accordance with paragraph 3 (a) above, the price fixed by the Dairy Products Marketing Commission shall not in any event be lower than 95 per cent of the price indicated by the new cost standards. If at any time, and not later than 1960, it appears that the total funds in the Dairy Industry Account may fall below £10,000,000, there shall be consultation between the parties with a view to agreement to meet the position in the interests of the industry.

    3. The Dairy Products Marketing Commission shall consult with the Dairy Board as to the advisability and procedure to be followed in any adjustment to the present standards in the guaranteed-price costs structure. Moreover, in any adjustment of the output per labour unit between the present standards and the standards to be adopted after 1955 due regard shall be had to allocating a proper share of the increased efficiency in output per labour unit to the credit of the dairy farmer.

  1. The parties to the agreement were convinced of the urgency and importance of the need for increased capital investment in butter and cheese factories during the next few years. Considerable expansion of capital is required for the rebuilding and extension of existing factories, renewal of capital equipment, and modernization of manufacturing equipment.

Some portion of Dairy Industry Account funds could profitably be invested in dairy factories for the processing of by-products, as these will assist toward a diversification of products and an improved economic balance within the industry that will be of advantage in giving flexibility in marketing.

For these purposes it was agreed between the Dairy Products Marketing Commission and the Dairy Board that a Loans Application Committee, domiciled with the Dairy Board, be set up consisting of three representatives each of the Commission and the Dairy Board, the Chairman of such Committee to have a deliberative vote only. The Director of the Dairy Division of the Department of Agriculture is to be co-opted in an advisory capacity. The Loans Application Committee will recommend the approval of loans to the Dairy Products Marketing Commission, and only those loans approved by the Committee may be granted by the Commission. The interest rate on all such loans is 3 ½ per cent per annum; this rate is to apply until further notice.

Security for such loans is by irrevocable order from the dairy company or companies concerned giving the Dairy Products Marketing Commission authority to deduct the necessary repayment moneys from future purchases by the Commission. Such authority is to be accompanied by a supply agreement between shareholders and their parent company sufficient to ensure that future butterfat supply is adequate to provide repayment of the loan at an approved annual rate and over an approved period of years. The Committee may, at its discretion, waive the requirement of a supply agreement.

Loan applications will only be received in respect of future capital expenditure, and existing loans will not be recommended by the Loans Application Committee for refinance.

Guaranteed Prices for Butter and Cheese.—The fixed prices in pence per pound of butter and cheese for export payable to dairy factories under the Marketing Act 1936 and, as from the 1946–47 season, under the Dairy Products Marketing Commission Act 1947, are as follows, the figures given including total farm- and factory-costs allowances.

SeasonCreamery ButterCheese
Finest, 94 Points and OverFinest, 93–93 ½ Points (Basic Grade)First 92–92 ½ PointsSecond GradeFinest, 94 Points and OverFinest, 93–93 ½ PointsFirst, 92–92 ½ Points (Basic Grade)Second Grade
 d.d.d.d.d.d.d.d.
1944–4518.18518.06017.997517.31010.3602510.32910.2049.954
1945–4619.05918.93418.871518.18410.7842510.75310.62810.378
1946–4721.56221.43721.374520.68712.0882512.05711.93211.682
1947–4823.97723.85223.789523.10213.2182513.18713.06212.812
1948–49—        
Aug. 1948-May 194924.72324.59824.535523.84813.6822513.65113.52613.276
June-July 194925.868725.743725.681224.993714.2048514.173614.048613.7986
1949–50—        
Aug. 1949-April 195025.994425.869425.806525.119414.4019514.370714.245713.9957
May-July 195026.592426.467426.404525.717414.6827514.651514.526514.2765
1950–51—        
Aug. 1950–14 Feb. 195127.283927.158927.096426.408915.1084515.077214.952214.7022
15 Feb. 1951-July 195128.71528.5928.527527.8415.8142515.78315.65815.408
1951–5230.931630.806630.744130.056617.312517.215017.000015.8000
1952–5332.662232.537232.474731.787218.412518.315018.100016.9000
1953–54—        
Aug. 1953–14 Sept. 195332.662232.537232.474731.787218.487218.389718174716.9747
15 Sept. 1953-July 195434.478234.353234.290733.603219.450519.3531913817.938
1954–55—        
Aug. 1954–30 Nov. 195434.067533.942533.8833.192519.056218.958718.743717.5437
1 Dec. 1954-July 195534.621934.496934.434433.746919.332919.235419.020417.8204

NOTE.—First grade (90–91 ½ points) creamery butter is 0.5d. higher than second grade; first grade (91–91 ½ points) cheese was 0.1875d. higher than second grade up to and including the 1950–51 season and 1.1375d. for the later seasons.

In addition to the guaranteed price payments, payouts were made from realizations of the sale of butter and cheese in the 1951–52, 1952–53, and 1953–54 seasons, in accordance with the agreement by which the full proceeds received from the sale of these commodities up to the end of the 1954–55 season are to be used for the benefit of suppliers and/or dairy companies.

It was decided to make the following distribution surpluses thus accruing from the 1951–52, 1952–53, and 1953–54 seasons:

  1. A monthly payment to dairy farmers during the 1952–53 season of ⅝ d. per pound of butterfat used in the manufacture of butter and cheese. This payment is to assist with capital expenditure on dairy farms and comprises ⅜d. per pound from the 1951–52 surplus, and ¼d. per pound from the 1952–53 surplus:

  2. A monthly payment to dairy farmers during the 1953–54 season of ⅝ d. per pound of butterfat used in the manufacture of butter and cheese. Of this amount ⅜ d. was made from the 1952–53 surplus:

  3. Payments to dairy companies as interest-free loans for approved capital expenditure, such amounts to be cancelled on production of certificates that the moneys have been expended on approved capital works, at the following rates: ¾d. per pound of butterfat received for manufacture into butter and cheese during the 1951–52, 1952–53, and 1953–54 seasons.

The prices quoted in the preceding table were designed to enable efficient dairy companies to pay to suppliers the following amounts in pence per pound of butterfat for butter or for cheese manufactured over the period up to 1953–54. Also given is the average payout per pound of butterfat supplied for seasons up to 1948–49, the amounts shown including farm-costs and farm-labour allowances, and of average net revenue for later seasons.

SeasonPrice Per Pound of Butterfat Used for—
Butter-making (Basic Price)Cheese-making (Basic Price)Butter-making (Average Payout or Net Revenue)Cheese-making (Average Payout or Net Revenue)

* Additional amounts at the rate of 6d. per pound 1952–53 and 1953–54 were also payable (see text above).

 d.d.d.d.
1944–4519.37721.37719.79022.055
1945–4620.39422.39420.56822.884
1946–4723.39125.39123.69125.753
1947–4825.90727.90726.22927.945
1948–49—    
  August 1948 to May 194926.75128.75127.36929.190
  June 1949 and July 194928.14630.146
1949–50—    
  August 1949 to April 195028.24430.24428.72030.785
  May 1950 to July 195028.97230.972
1950–51—    
  August 1950 to 14 February 195129.67831.67830.56832.425
  15 February 1951 to July 195131.40733.407
1951–5233.65536.15534.10636.764
1952–53*35.67038.67035.91638.958
1953–54*    
  August 1953 to 14 September 195335.83438.83437.61040.554
  15 September 1953 to July 195437.98440.984

The structure of the basic price per pound of butterfat for butter manufacture over the period up to 1953–54 is given in the next table.

SeasonWorking CostsCapital ChargesLabour RewardTotal Price Per Pound Butterfat
 d.d.d.d.
1944–456.7573.24010.92019.377
1945–467.2543.24011.44020.394
1946–478.0153.24013.67623.391
1947–4810.0113.24014.19625.907
1948–49—    
  August 1948 to May 194910.1793.24014.87226.751
  June 1949 and July 194910.1793.24016.26728.146
1949–50—    
  August 1949 to April 195010.1993.24016.34528.244
  May 1950 to July 195010.1993.24017.07328.972
1950–51—    
  August 1950 to 14 February 195110.9053.24017.07329.678
  15 February 1951 to July 195110.9053.24018.80231.407
1951–5212.3423.24019.61333.655
1952–5312.4513.24021.51935.670
1953–54—    
  August 1953 to 14 September 195312.6153.24021.51935.834
  15 September 1953 to July 195412.6153.24023.66937.984

The total price given in each case was the figure arrived at after adding the three units allowed respectively for farm working and maintenance, capital charges, and labour reward, but after subtracting a return fixed at 1.540d. per pound of butterfat, this being a standard allowance for pigs. The price for butterfat for cheesemaking was 2d. a pound higher in each year from 1937–38 to 1950–51. For 1951–52 this price was 2 ½d. higher, and for 1952–53 and 1953–54, 3d. higher, than the price of butterfat for butter manufacture.

MEAT.—As in the case of dairy produce, details of bulk purchasing agreements, etc., for earlier years may be found in previous issues of the Year-Book, the account presented now relating only from 1948 up to the termination of the agreements as from the 1954–55 season.

An agreement was signed in 1948 covering the period to 30 September 1955, the general scope of this long-term contract for the purchase of the exportable surplus of meat (after providing for domestic consumption and quantities to be mutually agreed upon for supply to other markets) being as follows:—

  1. The arrangement covered the total available supplies of beef, veal, mutton, and lamb, and the frozen sundries and edible offals thereof. All products named were to be as normally graded for export and available for shipment in the period to 30 September 1955:

  2. During the first four years of the agreement the quantity of pig meat covered by the contract was to be the total available supplies, the United Kingdom to negotiate in advance the quantities required in the final three years:

  3. The prices were to be reviewed annually, but were subject to a maximum annual variation of 7 ½ per cent above or below the previous year's price (see, however, text following):

  4. Purchases were to be on an f.o.b. basis, and the responsibility of providing freight rested with the United Kingdom Government. Payment was to be made in sterling in London as to 97 ½ per cent on shipment and the remaining 2 ½ per cent within sixty days after the date of the last bill of lading. If the lifting of available supplies was unduly delayed, the United Kingdom Government was to make interim payments:

  5. The United Kingdom Government would progressively resume the importation of chilled beef from New Zealand as and when the shipping position permitted.

Negotiations on meat prices for the 1951–52 season resulted in the United Kingdom Ministry of Food making a special adjustment on all prices in view of certain circumstances and paying an average price increase of 15 per cent for lamb and approximately 10 per cent for mutton for the 1951–52 season. Beef prices were also substantially increased.

During the negotiations for the 1952–53 season's prices, alterations were made to the conditions of the long-term agreement in so far as they affected the annual price variations. It was agreed that for the remaining period of the existing long-term contract, variations in prices on account of movement in prices paid to other countries supplying the United Kingdom would be limited to 10 per cent instead of 7 ½ per cent. However, if costs of production in New Zealand were proved to have moved by more than 10 per cent, the limitation would not apply and prices might move to the extent that costs had altered. The negotiations resulted in an overall average price increase of 12 ½ per cent, and ranged from 15 per cent for lamb, quarter beef, and porkers, to 20 per cent for wethers, 7 ½ per cent for edible offal, and no increase for ewe meat and baconers.

The contract prices for the 1953–54 season showed an increase of 7 ½ per cent for lamb and lamb offals, and an average increase of approximately 5 ½ per cent for mutton and mutton offals (varying according to weight and quality). Prices for frozen beef were increased by 5 ½ per cent, while the premium of £26 10s. a ton for chilled beef was continued, and a new classification of frozen beef, “baby beef”, received a premium of 13s. 4d. per 100 lb. over prime frozen beef.

New Zealand in March 1954 accepted the United Kingdom Government's offer to cancel the bulk purchase agreement for meat on 30 September 1954, a year before the contract was due to expire.

A review of the contract prices under the bulk-purchase agreements for the years 1944–45 to 1953–54, i.e., up to the end of the bulk purchasing period, is given in the following table. All prices are in sterling per pound. Where seasons are combined, this indicates that there was no change during the seasons concerned.

ItemSeason
1944–45 and 1945–461946–47 and 1947–481948–491949–501950–511951–521952–531953–54

* These prices were increased to 12.5349d. and 7.3420d. respectively for the period 23 April to 30 September 1951.

Lambs—d.d.d.d.d.d.d.d.
  Downs (23–36 lb.)8.59.137510.837511.650312.400314.386616.2517.47
  Canterbury (23–36 lb.)8.41669.047810.731211.536112.286114.2002160617.26
  Cross bred (23–36 lb.)8.258.868710.518711.307612.057713.936215.8116.99
  Seconds (23–36 lb.)7.83338.42089.987510.736610.736612.4341150316.16
Wethers—        
  Prime (48 lb. and under)5.75618127.33127.88117.88118.833610.6011.61
  Seconds (56 lb. and under)4.91665.28536.26876.73896.73897.30398.769.46
Ewes (49–56 lb.)3.66663.94164.6755.02565.02565.49065.495.54
Quarter beef—        
  Ox and heifer G.A.Q.—        
   Hinds5.83336.27087.43757.99539.0343*12.2514.0914.86
   Fores3.41663.67284.35624.68295.2916*9.562511.0011.60
  Ox and heifer F.A.Q.—        
   Hinds4.58334.9275.84376.28206.282010.7512.3613.04
   Fores3.33333.58334.254.56874.56878.68759.9910.54
  Cow G.A.Q.—        
   Hinds4.33334.65835.5255.93945.93948.05749.2710.14
   Fores3.253.49374.14374.45454.45456.35557.318.48
Porkers—        
  Full carcases (first quality)8.08338.992710.670111.470214.470219.223.5723.57
  Sides (first quality)8.41679.363511.1111.943214.943220.812525.9525.95
Baconers—        
  Full carcases (first quality)8.16669.085310.7811.588514.588517.267218.1918.19
  Sides (first quality)9.083410.105211.9912.889215.889220.290620.9420.94

The f.o.b. prices (i.e., for bare meat only) paid to the exporters and freezing companies by the Meat Producers Board as agent for the marketing authority, the New Zealand Government, were fixed by the Meat Producers Board in consultation with the Government; factors such as contract prices, encouragement or discouragement of certain types of meat by means of price differentials, costs of production and movements therein being taken into account. From the commencement of the 1951–52 season meat producers received the full amount of the proceeds from meat exported (this was similar to the procedure in respect of dairy produce). To the bare meat prices were added allowances for pelts, fat, and wool in the case of lamb and mutton, and for fat and hides in the case of beef; deducted from the totals were the killing and freezing, processing, buying and administration, interest and insurance charges. The resultant prices were the basis of those paid to producers.

Overseas Prices in Post-contract Period.—With the cessation of contract prices, the only overseas information at present available consists of ruling wholesale prices for representative quantities of meat sold during the particular week. The following prices were compiled by the Imported Meat Trade Association on the basis of ex-store London for frozen meat and delivered to Smithfield Market for chilled beef, and have been made available by the Meat Producers Board.

DescriptionWeight Range (lb.)Notification Date
28 Jan. 195511 Feb. 195511 Mar. 195515 Apr. 195513 May 1955

* 100–185 lb. range.

(Pence per lb.)
Crossbred weathers and/or maiden ewes48/U16 ½1716 ½1616
 49–56151514 ½1414
 57–641212 ¼11 ½1112
 65–7210109 ½99 ½
Ewes48/U910 ¼10 ¾10 ½11
 49–56899 ½9 ½10
 57–646 ½7 ½7 ½7 ½8
Lamb, Crossbred—65–72 6 ½6 ¾6 ¾7 ½
  1st quality36/U27 ½272523 ½23 ¾
 37–42262624 ½22 ½22
  2nd qualityabout 312726 ½252323 ¼
Lamb, Downs—      
  1st quality36/U27 ½272523 ½23 ¾
 37–42262624 ½22 ½22
  2nd qualityabout 31 26 ½25  
Lamb, Canterbury—      
  1st quality36/U27 ½272523 ½23£
 37–42262624 ½22 ½22
  2nd qualityabout 312726 ½252323 ½
Chilled beef—      
  Ox hinds145–21023–2529–3135–2529–3128*
  Ox fores145–21016–1719–2129–1816–1715*
Frozen beef—      
  Ox hinds145–210   1616 ½
  Ox fores145–210   1312

Opening Schedule Prices.—Under the stabilized prices and costs procedures operative up to the 1947–48 season, the fat stock schedule prices at which meat operators purchased from producers were fixed. In the two seasons following, while the opening schedules for each season were fixed in consultations between the Government, the Meat Producers Board, and the meat operators, subsequent movements during each season due to wool growth and fluctuations in prices of byproducts were the responsibility of the meat operators. Since the beginning of the 1950–51 season the fixing of the schedule prices has been wholly in the control of the operators. The Meat Producers Board keeps a close watch on the prices being received for the meat and all by-products and on processing costs to ensure that the schedule prices give a just and equitable return to producers.

The opening schedules for the 1944–45 to 1954–55 seasons are given below.

ItemSeason
1944–451945–461946–471947–48 and 1948–49*1949–501950–511951–521952–531953–541954–55

* Schedule unchanged from 1947–43 except for boner beef, which rose to 3 1s.

† Owing to the late commencement of the season, figures quoted are the effective opening prices issued in December 1950.

Price of Lamb, Wether, and Ewe Mutton, in Pence per Pound
Lambs—          
  Downs (36 lb. and under)99 ½1011 ⅛11 ½191618 ¾19 ¾27
  Canterbury (36 lb. and under)16 ¾19 ½20 ¼
  Crossbred (36 lb. and under)8 ¾9 ¼9 5/710 ⅞11 ¼18 ¾16 ½1919 ¾
  Seconds (36 lb. and under) (N.I.)8 ¼8 ¾9 ⅞9 ⅞10 ½17 ¾1518 ¼1926
Wethers—          
  Primes (48 lb. and under)—          
   North Island5 ¾5 ¾6 ½7 ⅛7 ½10 ½101112 ½14 ¾
   South Island5 ¾5 ½6 ¼6 ⅞7 ¼10910 ½11 ⅝14 ½
  Seconds (56 lb. and under)—          
   North Island5 ¼5 ¼5 ¾6 ⅜6 ¾9 ½99 ⅛10 ⅜11 ¾
   South Island555 ½6 ⅛6 ½988 ⅝9 ½11 ½
Ewes (48 lb. and under) (N.I.)3 ⅝3 ⅝4 ⅛4 ¾5 ⅛7 ½6 ½5 ¾7 ½6 ¼
ItemSeason
1944–451945–461946–471947–48 and 1948–49*1949–501950–511951–521952–531953–541954–55

* Schedule unchanged from 1947–43 except for boner beef, which rose to 3 1s.

† Owing to the late commencement of the season, figures quoted are the effective opening prices issued in December 1950.

‡ From 1947–48 to 1952–53 price is given for 720 lb. and under, from 1953–54, 880 lb. and under, and for 1954–55, 800 lb. and under.

Price in Shillings and Pence, Per 100 lb. of Beef (N.I.)
Quarter beef—                    
   Ox, heifer, chiller beef (680 lb. and under)................12701400
   Ox—                    
   G.A.Q. (840 lb. and under)400420460510570700910100010401240
   F.A.Q. (all weights)3503704004304905866708869201076
  Heifer—                    
   G.A.Q. (840 lb. and under)390410450500560700910100010401240
   F.A.Q. (all weights)3403693904204805866708869201076
  Cow, G.A.Q. (all weights)3363563804164765806467507301000
   Bener beef (cow)230230260286340480500750600850

The large increases which occurred in the 1950–51 season resulted mainly from the lifting of the stabilization controls on by-products, so that the full returns from these were available to producers, rather than from increases in the bare-meat prices, which were only moderate. The prices for subsequent seasons reflect the movements in the prices of both meat and by-products.

It was announced in early 1955 that the Government approved the general principle of a scheme for floor prices for meat using the Meat Industry Reserve Funds.

TALLOW.—Bulk purchase by the United Kingdom of all surplus tallow available for export commenced during the 1939–40 season. The contract system was terminated as from the end of the 1951–52 season, and the export of tallow is now on a trader-to-trader basis. A table showing the prices obtained and other details regarding the tallow contract over the period in which the contract system operated (1939–40 to 1951–52) is given on page 427 of the 1953 Year-Book.

FARM INDUSTRY RESERVES.—In the preceding pages reference is made to amounts paid in to the various primary produce accounts, these normally accruing from the surpluses obtained after deducting from the contract or sterling prices received for primary produce the amounts paid to producers by way of guaranteed prices, purchase prices, etc.

The following table shows the balances remaining in the various farm industry reserves during the period quoted, the source of the data being the parliamentary paper B-5.

Balances as at 31 JulyDairy Industry Stabilization AccountMeat Industry Reserve AccountsWool Capital Account*Wool Contributory ChargeWool Retention Moneys

* Profits from disposal of wool stocks taken over by Wool Disposal Commission at the end of the war.

† This was a levy on all wool sold at auction.

‡ As at 30 September from 1948.

§ Estimated total credited to individual wool retention accounts for 1950–51 wool season.

 £(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)
1942..749,801......
1943..1,883,547......
19441,066,5994,317,432......
19454,675,4469,159,084......
19464,703,24012,201,928......
19478,907,45918,222,1405,046,287 Dr.1,165,402..
194812,663,48725,628,6351,047,385 Dr.2,592,618..
194915,331,08729,535,6605,181,539 Cr.4,205,416..
195018,449,54735,337,27312,933,244 Cr.5,563,391..
195123,037,18937,255,65119,608,187 Cr.6,166,72132,755,151§
   Wool Commission Account (30 June) 
195223,584,77840,429,379£26,672,68528,117,210
195324,147,26140,449,822£27,630,16321,786,961
1954 (estimated)24,750,00041,000,000£28,380,16316,200,000

SUBSIDIES.—It is clear that for the effective operation of the policy of price stabilization a system of Government subsidies has been essential. An account of the use and extent of subsidies paid in 1942–43 and from 1947–48 to 1951–52 was given in parliamentary paper B-5 of 1952. The following table is chiefly extracted from that publication, but has been brought up to date by the inclusion of corresponding figures for 1952–53, 1953–54, and 1954–55.

Subsidy PaymentsYear Ended 31 March
194319481949195019511952195319541955

* Includes meat, sugar, tea, etc.

† Includes gas, etc.

‡ Although subsidies are shown for March years and recoveries for July years, the final figures shown for “Subsidies, net” represent a fair approximation to general subsidies paid each year.

£(000)
Shipping, transport, and incidental273,0752,5851,559731,106381....
Coal production and distribution3561,4791,8452,8904879100....
Primary production1,3152,4005337278741,054634495559
Essential clothing and foodstuffs—         
   Clothing 1,0648091,4832,3061,8571504..
   Dairy produce 2,2473,3644,3573,3695,8247,6608,6887,908
   Other*1,2712,2471,1921,065139642133136
Wheat5831,9411,2002,7182,0004,4634,8265,0003,900
Miscellaneous12114013644116938943231420
Total subsidies, gross (March year)3,67314,59311,66414,8439,36415,31514,71514,45112,923
   Less recoveries from farm industry stabilization accounts (July year)4131,015190394672626365365366
Subsidies, net3,26013,57811,47414,4498,69214,68914,35014,08612,557

The general position is that stabilization subsidies increased up to 1947 as import prices and wages rose. The full increase in above basic level (mainly 15 December 1942) has not always been covered by subsidy. In most cases a part of the increased cost has had to be borne by the industry concerned, either at the source of the increased cost or at some later stage in the distribution of the goods and services.

In 1947 the Government decided to review the position. The number of commodities on which subsidy was paid had grown too large for administrative ease. Also to have continued subsidies at the previous rate would have raised the estimated expenditure to £19.6 millions, which would have imposed a severe strain on the public finances. Further, a great many of the costs met by subsidy were permanent. Accordingly many farm subsidies, which on an annual basis cost approximately £4.2 millions, were removed, and compensating adjustments were made in the prices of farm products. Of the other subsidies, all the smaller and less important ones were abolished, in part or in full. There were also increases in the price of shipping and railway freights and fares, tea, sugar, and many other commodities. On an annual basis these subsidies would have cost about £8 millions.

In spite of the removal in 1947 of total subsidies of over £12 millions a year, the cost of the remaining subsidies had risen to a level of over £17 millions a year by 1950. The Government therefore removed subsidies in May 1950 amounting to £12 millions a year. The subsidies on coal and tea were discontinued (apart from certain special payments), and subsidies on flour, bread, milk, butter, and eggs were reduced substantially. In addition, rail freights and fares were again increased. In September 1951 the retail prices of butter, bread, flour, and gas were substantially reduced, the subsidies on these commodities being adjusted accordingly. By mid-1952 subsidy expenditure was running at the annual rate of £17.5 millions. Following upon the general wage order of November 1953 (see Section 38c) the position was again reviewed. It was decided that the maintenance by subsidy of price levels previously subsisting would have entailed too great a burden on the public funds, and accordingly the prices of subsidized items, particularly bread, butter, and milk, were allowed to rise. Nevertheless these items still carry heavy subsidies, as is indicated in the following table, which shows the amount of subsidy paid on the main commodities in April 1955.

 

* Including 4d. per dozen egg floor subsidy and 3d. per dozen imported wheat subsidy.

 s.d. 
Butter10.47per lb.
Milk03.5per quart.
Bread03.8per 2 lb. loaf.
Flour49per 25 lb. bag.
Gas20per 1,000 cubic feet sold.
Eggs07*per dozen.

Chapter 20. SECTION 20—FARM PRODUCTION

20 A—GENERAL

NEW ZEALAND is a pastoral country. Of the 43,000,000 acres occupied at 31 January 1954 by farm holdings of one acre and over situated outside borough boundaries, sown pastures cover 17,500,000 acres and pastures of tussock and other native grasses a further 13,000,000 acres. These grasslands support 5,700,000 cattle (of which 1,999,000 are dairy cows in milk) and 38,000,000 sheep. After allowing for 10,000,000 acres taken up by areas in fern, scrub, and second growth, standing bush, and barren and unproductive land, approximately 2,500,000 acres are left, this comprising areas in field crops, private gardens, market gardens, orchards, plantations of trees, fallow land, areas in flax, etc. Of the field crops, cash crops such as wheat, oats, barley, peas, linseed, and potatoes account for 338,000 acres, and green fodder and root crops for winter and summer supplementary feed for stock, 765,000 acres. In addition, a further 68,000 acres were sown under wheat, oats, barley, and maize for the purposes of green fodder, or chaff, hay, and ensilage. From this an indication is obtained of the importance of the grazing animal in the economy of this country.

The natural tussock grassland, which occurs mainly on the hilly and mountainous country to the east of the Main Divide of the South Island, is used for extensive pastoral farming, where the main product is wool and in some instances store sheep, while on the less steep country, particularly in the North Island where there is surface-sown grassland, both store sheep and cattle are additional products. The third type of grassland, that sown after ploughing, is found on the flat and gently undulating country of both Islands and is used mainly for the production of meat and dairy produce. It is in the latter area that considerable progress has been made over the past thirty years. Here farmers have exploited the use of certified strains of grasses and clovers and phosphatic fertilizers and lime. However, the advent of the blower, and, more particularly, the use of aircraft for top-dressing hill pastures, has resulted in considerable areas of surface-sown grassland being top-dressed in the last two years. This treatment of country otherwise inaccessible to normal top-dressing methods is expected to result in considerable improvement to hill pasture, with a consequent increase in carrying capacity and production.

With the development of the country's water resources for hydro electricity most farming districts have been reticulated with electricity, which is being put to a variety of uses on the farm, but by far the most important is that of providing power for milking machinery. For instance, in the dairying districts of the North Island there are approximately 82,000 electric motors, which is 67 per cent of the total number used on farms in New Zealand.

The North Island.—Because of the temperate climate, which makes possible the grazing of stock outside all the year round, many parts of the North Island have proved very suitable for dairying. Approximately 84 per cent of the total dairy cows in the country are grazed on the flat and undulating land of Northland, the Waikato, Bay of Plenty, Taranaki, Manawatu, and Horowhenua districts. Pastures of high feeding value form the basis of the industry. The main winter supplementary feed is hay and silage made from the surplus spring and early summer growth of the pastures. The area saved for this purpose in these dairying districts comprises approximately 65 per cent of the total area saved in New Zealand. In most of the dairying areas fat-lamb raising is associated with dairying, particularly in the Waikato and the Bay of Plenty.

Various forms of sheep farming are carried on throughout the Island, but it is most concentrated on the eastern section from the Wairarapa, through Hawke's Bay, to the hill country north of Gisborne. Approximately half of the sheep in the North Island are in this section. Extensive sheep farming is the main feature, the receipts from the sale of store sheep and store cattle contributing a considerable portion of the farm revenue.

Where climatic and soil conditions are favourable, orchard areas, market gardens, and other specialized types of farming are found. The Pukekohe district, 30 miles south of Auckland, provides that city with a considerable portion of its vegetable requirements as well as being the main onion-growing area of the Island. Wellington draws most of its vegetable supplies from the Otaki and Levin districts, while Ohakune, in the centre of the Island, with climate and soils suitable for the production of cabbages and broccoli, supplies both cities with these vegetables. Further large areas are utilized for these purposes in Hawke's Bay, around Hastings, from where also comes the largest contribution of canned or processed vegetables.

In certain particularly warm areas of the Island with suitable soils citrus fruits are grown, the principal areas being Kerikeri, in Northland; Tauranga, in the Bay of Plenty; and Gisborne. The main orchard area is located at Hastings, where there are approximately 3,000 acres of pip and stone fruits.

It is in the North Island that the principal areas of undeveloped land remain, these being situated mainly on the central plateau. The State is active in developing some of this land for farming.

The South Island.—Sheep farming is carried on in practically all parts of the Island. On the tussock grasslands, particularly on the higher parts, extensive sheep farming is practised. Merino and half-bred flocks predominate, with emphasis on the production of fine wool. Because of the comparatively severe climate—hot, dry summers and cold winters with occasional heavy snowstorms—there is a considerable risk of heavy sheep losses. On the easier hill country, in addition to returns from wool, a considerable portion of the revenue comes from the sale of store sheep, which are purchased by the farmers on the plains and undulating country for fattening and for flock-replacement purposes.

On the plains and downlands of Canterbury and in parts of Marlborough, Otago, and Southland, where the climate and soils are suitable, arable mixed farming is a feature. Approximately 91 per cent of New Zealand's wheat acreage, 90 per cent of the area in oats, and 86 per cent of the barley acreage are in these districts. Associated with cereal production is fat-lamb raising, for sheep and lambs are fattened on the majority of these farms. On account of the dry summers and relatively severe winters considerable areas (approximately 73 per cent of the New Zealand acreage) of rape, kale, turnips, and swedes are grown for summer and winter supplementary feed.

Dairying is very localized and is concentrated near the cities to cater for whole-milk requirements. Districts where herds are run for dairy-factory supply are the plains areas of Southland, parts of Nelson and Westland, and Banks Peninsula, in Canterbury.

Market gardening is carried on near the cities, and on the rich soils near Christchurch some 2,400 acres are devoted to this purpose; also to the immediate south of Oamaru and on the Taieri Plains just south of Dunedin there are other areas aggregating 1,200 acres. Nelson also produces considerable quantities of fresh and processed vegetables, most of which are marketed in Wellington.

With the warm climate and more frost-free areas, the Nelson and Motueka districts are the most important orchard districts in the country, as well as being the centre of New Zealand's tobacco-growing industry. Around the Alexandra and Roxburgh districts in Central Otago, with its almost continental climate, is situated New Zealand's major stone-fruit-growing areas.

DEPARTMENT OF AGRICULTURE.—The Department of Agriculture has existed as a separate Department since 1893. In 1953 it was, however, formally constituted by virtue of the Department of Agriculture Act 1953. The principal functions of the Department as set out therein are—(a) to promote and encourage the development of all phases of the agricultural, pastoral, and horticultural industries in New Zealand, including the stock, poultry, fruit, vegetable flax (Phormium tenax), tobacco, hops, and honey production industries, with a view to maintaining and improving the quality of the products derived from those industries and increasing the production of those products; (b) to promote and encourage the marketing and sale of those products.

Under the control of the Minister of Agriculture, the Department of Agriculture provides a service of which the main object is the advancement of the interests of primary production. Under a Director-General of Agriculture there are Directors of Divisions of Animal Industry, Animal Research, Dairy, Extension, Horticulture, and Marketing.

While the service is primarily educative, the Department administers a number of acts and regulations. Under the Animal Industry Division all meat killed at meat export slaughterhouses and abattoirs is inspected by qualified officers, and periodical inspections are carried out at registered rural slaughterhouses.

All meat intended for local consumption is graded by the inspection staff. The Division is responsible for the control of infectious diseases of livestock, and vaccination and testing is carried out to prevent and eradicate certain serious stock diseases. Special attention is given to herds supplying milk for human consumption. Livestock husbandry forms an essential part of the extension service provided by this Division.

All stock exported and imported is examined by the Division's veterinarians. Special instruction and advice are given in poultry keeping, swine husbandry, and wool growing and handling. Among other activities the Division is concerned with the eradication of rabbits and noxious weeds. Recently a wool testing service has been established.

The Animal Research Division, which was formed in 1939, works in co-operation with the Animal Industry, Dairy, and Extension Divisions, as well as other institutions engaged in agricultural research, notably the Department of Scientific and Industrial Research and Massey and Canterbury Agricultural Colleges. The Division has well-equipped laboratories at Wallaceville and at its research station at Ruakura, an important function of the former being the provision of a veterinary diagnostic service, while the latter is mainly concerned with animal nutrition and breeding.

Instruction in the manufacture of butter, cheese, milk powder, and casein is given by the Dairy Division. Dairy produce is inspected and graded before shipment and a close supervision is exercised over butter and cheese at all stages of manufacture. Dairy farm premises are inspected, and the Division is responsible for the registration of town milk supply premises. It also provides technical advice on the administration of market milk treatment.

The Extension Division is concerned with research and advisory work in soil management, crop and pasture production, and farm management. A field staff of instructors in agriculture acts as a link between the research stations and the farmers and also carries out co-operative field trials and demonstrations on farmers' properties. The Division has special sections devoted to seed certification and crops, field experimental work, pastures, farm management and economics, fertilizers and lime, rural sociology and home economics, farm engineering and machinery, and farm forestry. Soil testing and assistance with farm drainage work are both undertaken on a fee-paying basis. The Division controls the following stations: Seed Testing Station, Palmerston North; Rukuhia Soil Research Station, Hamilton; Experimental Area, Marton; Phormium plantation, Moutoa; Flock House Farm of Instruction, Bulls; Winchmore Irrigation Station, Ashburton; and Invermay Agricultural Research Station, Mosgiel.

The Horticulture Division provides an advisory service to fruitgrowers, market gardeners, and beekeepers. Its officers inspect market gardens, nurseries, and apiaries for disease and grade pip fruit for export and home consumption. The Division operates the plant quarantine service in New Zealand, which is designed to prevent the introduction of diseased plant material. At Te Kauwhata Experimental Station investigations are carried out into grape and wine production, and at Levin Research Station into berry fruit and vegetable production.

The Department's Editorial Section is responsible for the production each month of the Journal of Agriculture, which has a very wide circulation amongst farmers. In addition, a large number of bulletins on special subjects are produced, most of which are available free of charge.

In 1953 the former Marketing Department was absorbed by the Department and, although most of its functions have been assumed by statutory producer Boards, the Department is concerned with many of the issues relating to the marketing of primary products, both overseas and within New Zealand, as well as with general economic problems affecting farming industries as a whole.

DEPARTMENT OF SCIENTIFIC AND INDUSTRIAL RESEARCH.—Under the supervision of the Council for Scientific and Industrial Research the Department devotes a large part of its activities to the promotion of agricultural research. In carrying out its programme the Department initiates and encourages the organization of co-operative research in industry, hence research associations have been formed which are subsidized by the Department and assisted by its staff in order to make the best possible use of the available resources.

The work of the branches of the Department covers nearly every phase of agriculture. The Botany, Crop Research, and Plant Diseases Divisions, together with the Fruit Research Station, all assist farmers, fruitgrowers, nurserymen, and gardeners in their specialized spheres to eliminate (or to reduce the destructive effect of) all types of plant diseases and insects, to increase yields, and to improve the strains of various plants. The Animal Ecology Section conducts research on rabbits and other pests, and suggests control measures. Regional survey work is carried out to obtain information on native and introduced mammals and birds.

The improvement of New Zealand pastures, through studies of plant breeding, pasture ecology, plant chemistry, etc., is the aim of the Grasslands Division. Overseas species are plot-tested, and studies are made with a view to increasing yields of clover seed, etc. The Entomological Research Station has made a major contribution to pastoral farming in devising a method of controlling grass grub; in addition, it handles a wide range of insect problems in agricultural crops. The Soil Bureau is responsible for a soil survey of New Zealand and carries out research on the relationship of the soil to problems of agriculture, forestry, and engineering; problems of phosphate fixation and the uptake of phosphate by plants are also being investigated.

The Wheat Research Institute, the Tobacco Research Station, and the Hop Research Station are subsidized by industry and controlled by the Department. The Wheat Research Institute seeks improvement in the quality of bread by flour and wheat tests. A moisture-testing service aids farmers to determine when crops are ready for harvesting. The Tobacco and Hop Research Stations investigate the use of fertilizers, control of diseases, and general management, and test new varieties in their respective fields.

Among the incorporated research associations is the Dairy Research Institute (N.Z.) (Inc.), concerned with nearly every aspect of dairy production—utilization of products, farm efficiency, diseases, and hygiene. Much experimental work in this direction is carried out at Massey Agricultural College. Another association is the New Zealand Fertilizer Manufacturers' Research Association (Inc.), which tests experimental fertilizers and studies the production, distribution, and effect of fertilizers.

The Value of Agricultural Research.—The Wheat Research Institute has been responsible for improvement in wheat, flour, and bread quality by the breeding of Cross 7, Yielder, Hilgendorf, and other wheats, and by devising methods of utilizing sprouted wheat and controlling the vitamin B content of flour; the Dairy Research Institute has achieved such results as great improvements in cheese starters, the manufacture of dried butterfat, and the discovery and control of bacteriophage.

Corky pit of apples and other deficiency diseases of fruit have been overcome, and investigations in transport have vastly improved the quality of fruit arriving in the United Kingdom. Transport investigations in meat resulted in consignments of chilled beef sent from New Zealand to the United Kingdom arriving in excellent condition.

A soil survey of the whole of New Zealand has been completed, and the problems of mineral deficiency diseases such as bush sickness and dopiness have been solved. Tobacco research has resulted in the area devoted to this crop being doubled, simultaneously with the doubling of the yield per acre, and the industry has become one of the most prosperous of the rural industries. Effective control has been secured over a wide range of plant diseases. Ball smut and loose smut of cereals have almost disappeared, and dry rot of brassicas has materially lessened. A system of certifying spray materials effective against a wide range of diseases of horticultural and garden crops has been devised. A most effective culture to promote lucerne growth has been found and maintained. Numerous serious insect pests have been brought under control, and the diamond-back moth, white butterfly, and codling-moth are not the menace they formerly were; subterranean caterpillar also has been checked and, more recently, grass-grub, the most costly insect of all, has capitulated to the newer chemical insecticides.

The work of the Crop Research and Grasslands Divisions has resulted in the development and expansion of a profitable farm-seeds industry. Chewings fescue seed, which lost its germination during sea transport, can now be shipped overseas with confidence, following the development of a seed-drier and airtight packaging by the Dominion Laboratory. Rape and turnip seed, hitherto imported from overseas, is now produced locally and exported, as the result of breeding and selection work done by the Crop Research Division, which, in addition, has improved the quality of oats, barley, lupins, carrots, and lucerne seeds. Research into the breeding of new strains of pasture plants, and into the utilization and management of pastures, has done much to enable New Zealand farming to lead the world in grassland and bring its per-acre yield of meat and dairy produce to levels not attained elsewhere. Improved methods of pasture establishment, together with the use of chemical sprays, have done much to control the noxious weeds that seriously reduced farm production in 1926 and the years that followed.

CLASSIFICATION OF HOLDINGS BY PRINCIPAL FARMING ENTERPRISES.—The collection of farm production statistics in 1950 was carried out as New Zealand's part of the World Census of Agriculture. Detailed information, in conformity with usual practice, was published in the Statistical Report on the Agricultural and Pastoral Production of New Zealand for the season 1949–50, but additional tables are being published as particulars are received from punch-card machine tabulations.

A type classification of farm holdings was brought into use in 1949–50 and figures, as to the number of holdings of various principal types of farming enterprises, in the several land districts (each Island separately) are here presented.

Predominant EnterpriseNorth Island Land Districts
North AucklandSouth AucklandGisborneHawke's BayTaranakiWellingtonTotal, North Island
Sheep farming1,1292,4119452,5047834,38612,158
Dairy farming10,13211,3131,1081,3654,3694,97933,266
Beef cattle38722825463382801
Mixed farming6875107623085427
Arable cropping9129397..81292
Horticulture973324128659363022,422
Poultry keeping34672817539148761
Pig raising37327101128125
Horse raising50417191238167
Grazing areas8715461062251503422,240
Residential1,1724373545032057723,443
N.Z. flax (Phormium tenax)2........35
Plantations295416617113
Timber cutting14203113758
Unspecified units37716238285198754
Idle and unused7113295352301711,346
    Totals, all holdings16,30716,0563,0565,6525,76811,53958,378
Predominant EnterpriseSouth Island Land DistrictsNew Zealand Totals
MarlboroughNelsonWestlandCanterburyOtagoSouthlandTotal. South Island
Sheep farming7405291373,6003,1472,95711,11023,268
Dairy farming3931,0144081,9861,1631,5406,50439,770
Beef cattle9751596669624401,241
Mixed farming737777392461651,3071,734
Arable cropping17651..1,9392101182,4942,786
Horticulture9680613833422232,1934,615
Poultry keeping31367331256306911,452
Pig raising711737171392217
Horse raising2712224133306473
Grazing areas37192506454663441,7343,974
Residential1643681111,5246954233,2856,728
N.Z. flax (Phormium tenax)12211101722
Plantations382346178159272
Timber cutting..54..531775
Unspecified units4310456155119935701,324
Idle and unused522161491622132019932,339
    Totals, all holdings1,8273,5751,11412,2867,0876,02331,91290,290

In certain tables given in Sections 20B and 20C of this volume, reference is made to regional areas, and it is appropriate that at this point some description should be given of this new designation.

For purposes of analysis of the New Zealand part of the 1950 World Census of Agriculture, counties with some affinity as to farming types, etc., have been grouped to form what have been designated “Regional Areas.” The following sets out in detail the content of these.

Regional AreaCounties Included
NorthlandMangonui, Whangaroa, Hokianga, Bay of Islands, Whangarei, Hobson, Otamatea, Rodney, Waitemata, Eden.
South AucklandManukau, Franklin, Raglan.
Waikato and Hauraki LowlandsWaikato, Waipa, Otorohanga, Hauraki Plains, Piako, Matamata.
Cape ColvilleGreat Barrier, Coromandel, Thames, Ohinemuri.
Central PlateauTauranga, Rotorua, Taupo, Whakatane.
Western UplandsKawhia, Waitomo, Taumarunui, Ohura, Whangamomona, Clifton, Kaitieke, Waimarino.
TaranakiTaranaki, Inglewood, Egmont, Stratford, Eltham, Waimate West, Hawera.
East CapeOpotiki, Matakaoa, Waiapu, Uawa, Waikohu, Cook.
Hawke's BayWairoa, Hawke's Bay, Waipawa, Waipukurau, Patangata.
RangitikeiPatea, Waitotara, Wanganui, Rangitikei, Kiwitea, Pohangina.
ManawatuDannevirke, Woodville, Oroua, Manawatu, Kairanga, Horowhenua, Pahiatua.
CastlepointWeber, Akitio, Castlepoint.
WairarapaEketahuna, Mauriceville, Masterton, Wairarapa South.
FeatherstonHutt, Makara, Featherston.
NelsonWaimea, Takaka, Collingwood, Buller, Murchison, Inangahua.
MarlboroughSounds, Marlborough, Awatere, Kaikoura.
WestlandGrey, Westland.
North CanterburyAmuri, Cheviot, Waipara.
FoothillsAshley, Oxford, Tawera, Selwyn.
Canterbury PlainsKowai, Rangiora, Eyre, Malvern, Paparua, Springs, Ellesmere.
ChristchurchWaimairi, Heathcote, Halswell.
Banks PeninsulaMount Herbert, Akaroa, Wairewa.
MackenzieMackenzie.
South CanterburyAshburton, Geraldine, Levels, Waimate, Waitaki.
OtagoWaihemo, Waikouaiti, Peninsula, Taieri, Tuapeka.
Central OtagoManiatoto, Vincent, Lake.
SouthernBruce, Clutha, Southland, Wallace.
RemainderChatham Islands, Stewart Island.

SUBSIDIES, GRANTS, ETC.—For many years a number of grants and subsidies have been paid to the farming industry from public funds. In addition, agricultural and pastoral production is assisted financially by grants to the agricultural colleges. A more detailed survey of subsidies generally is given in Section 19.

Subsidies reached their peak during the war and immediate post-war years, details of which are available in earlier issues of the Year-Book. In more recent years there has been a considerable curtailment of this type of assistance to farmers.

The following table shows the payments during the last three years.

Subsidy, Grant, etc.1951–521952–531953–54

* Refer text of following paragraph,

 £££
Carriage of lime424,252*406,713*430,515*
Carriage of fertilizers261,63394,88037,080
Imported phosphatic fertilizers161,897*..23,894*
Stock Act: compensation and incidental expenses79,60779,92565,075
Compensation for loss of production from compulsory tuberculosis test52,18549,17068,896
Meat Act: compensation18,03618,58017,439
Grants to agricultural colleges146,836150,317167,009
Subsidies to Rabbit Boards346,402370,494395,209
Grants to Rabbit Boards342,000353,000320,000
Cow-testing organizations38,33337,33335,333
Destruction of wild pigs1,7881,9461,549
Destruction of kea216268179
Veterinary Services Council39,13943,59650,000

In certain cases there is an agreement between the farmers' organizations and the Government that certain proportions of the subsidy paid can be recovered from the various stabilization or reserve accounts of the farming industry. In the above table the items to which this arrangement applied during the period covered are indicated by asterisks. The total amount recovered in each of the three (July) years was £426,000 in 1951–52, £426,298 in 1952–53, and £364,900 in 1953–54.

Comment on some of the more important items is necessary to explain their origin and significance.

Fertilizer and Lime Subsidies.—The transport of lime has been subsidized for many years to encourage its wider use. The present system was introduced in 1947, the former system of free railage for 100 miles having previously been withdrawn.

The present system, which has been amended slightly several times, is designed to encourage lime use by assisting farmers remote from limeworks. In very broad terms the road transport subsidy is granted at the rate of 4d. per ton-mile for distances of from 4 to 20 miles and after that. 6d. per ton-mile. This applies to deliveries direct from works to farm. For deliveries by road after carriage by rail, the rate is 4d. for 4 to 10 miles, and after that 6d. For deliveries by rail only, the farmer pays the full charge for the first 15 miles and receives a rebate of 75 per cent of the remainder of the rail charge.

The main trends are a tapering off in the rate of increase in total lime usage and an increase in the proportion of the total amount now being applied in areas previously remote from works, both through the operation of the assistance scheme and through the introduction of new works and mobile crushing plants.

Of the total cost, 85 per cent is borne by the Farm Stabilization Accounts and the balance by the Consolidated Fund. These proportions represent approximately the shares which should be respectively borne by the export and locally consumed portions of farm produce.

During the past several years the railway system has been unable to handle all tonnages offering during the summer-autumn peak season, and, as a relief measure, road and sea transport services have been called in to convey fertilizers for substantial distances, usually up to 100 miles. Fertilizers were selected for this treatment for various reasons of convenience. When this has occurred the Consolidated Fund has borne the difference in cost between the normal rail haul and the auxiliary transport service. This measure has been necessary mainly in the Auckland Provincial District and to a lesser extent in Taranaki.

The subsidy on imported phosphatic fertilizer was designed to redress in some measure the wide disparity in the price of these materials and that of locally made superphosphate.

Other Items.—Most of the remaining subsidies represent attempts to deal with specific problems of disease and pest control which are of importance to the whole community but the handling of which would impose a serious burden on individuals or small groups. Under this heading come such items as compensation for diseased stock under the Meat Act and the Stock Act, grants and subsidies to Rabbit Boards, and destruction of kea and wild pigs. Subsidies of this nature are mostly charges against the vote of the Department of Agriculture. They are not recoverable except in the case of compensation paid for diseased stock under the Stock Act, where a partial recovery is obtained by the sale of by-products from condemned stock.

FARM MACHINERY ON OCCUPIED HOLDINGS.—Advantage was taken of the organization provided for the 1950 Census of Agriculture to obtain details of farm machinery on a much wider scale than ever before attempted in this country. In the following table, which gives detailed results of the collection, figures are quoted for farm machinery on occupied holdings of 1 acre and over situated outside borough boundaries as at 31 January 1950. This table does not include those items which are regularly collected. Later figures for these are shown under subsequent headings.

Number
Threshing mills347
Tinmills279
Header harvesters3,121
Chaffcutters1,352
Reapers and binders8,509
Hay sweeps24,244
Hayrakes (including side delivery and dump rakes)26,439
Hay stackers11,701
Hay balers and presses4,263
Mowers39,666
Drills— 
   Combine14,243
   Ridger6,008
Ploughs— 
   Mouldboard53,596
   Disc8,695
   Mole drain2,322
Harrows— 
   Tine (number of sets)46,296
   Disc (number of sets)29,336
   Chain (number of sets)30,726
Cultivators— 
   Inter-row10,338
   Field12,053
Manure sowers and spreaders31,534
Rollers16,744
Potato planters828
Potato harvesters1,067
Spraying machines (power-driven)1,692
Motor lorries and trucks25,419
Motor cars48,285
Farm carts and drays41,646
Agricultural tractors— 
  Diesel oil— 
   Crawler type— 
    Number1,307
    Horsepower42,606
   Wheel type— 
    Number1,217
    Horsepower39,530
  Petrol driven— 
   Crawler type— 
    Number1,794
    Horsepower41,056
   Wheel-type— 
    Number24,524
    Horsepower544,016
  Kerosene (paraffin) driven— 
   Crawler type— 
    Number653
    Horsepower16,449
   Wheel type— 
    Number5,423
    Horsepower130,852
Number of shearing sheds21,551
Night-pen capacity of sheds4,030,650
Number of flocks machine-shorn31,136
Number of flocks blade-shorn7,490
Number of wool presses18,846
Number of sheep dips— 
  Bath dips13,250
  Spray dips254
Number of herds machine-milked35,084
Number of herds hand-milked35,782
Power used in driving milking machines— 
  Electric motors31,269
  Internal-combustion engines4,409
  Other power88
Number of cream separators54,421

The following table gives details of farm machinery for those items where a comparison is available for the years 1947 to 1952.

194719481949195019511952

* Not available.

† This item covers only those machines actually used for threshing wheat or oats during the year specified.

‡ 1953 (estimated) 52,495; 1954 (estimated) 55,623.

Milking machines32,59633,46134,11436,36837,20437,563
Cream separators48,19448,45748,45154,421**
Shearing machines—      
Plants4,56415,46816,39218,79119,47320,810
Stands33,90735,44836,95240,53642,29844,472
Agricultural tractors21,15623,42327,44734,91840,31045,734
Rotary hoes and garden tractors1,6462,2532,6603,0933,8124,380
Electric motors82,72188,28294,047110,683116,549123,439
Internal-combustion engines23,10924,92226,19929,92629,04629,052
Threshing machines1,6411,7082,0241,9002,2181,965

The figures for 1952 showed a continuation of the trend towards more intensive mechanization of farm work that has been in evidence over a considerable period. During the war and early post-war years this movement was retarded through inability to procure the necessary equipment, but there has been a considerable speeding up in the last six years. Particularly noticeable are the increases in agricultural tractors and electric motors. The movement in the number of threshing machines for threshing wheat and oats is accounted for by considerable variation in the areas planted in these crops.

Milking Machines.—Information concerning milking machines on farms was first collected in 1919, in which year there were 7,577 plants recorded. Since that year the use of milking machines has expanded rapidly, although, as might be expected, the rate of increase slowed down somewhat during the war period. During the six years from 1933 to 1939 milking machines increased at an average rate of 770 per year, while during the six-year period 1940–46, the average increase was 430 per year. The subsequent six years showed increases of 791, 865, 653, 2,254, 836, and 359 respectively. Of the 1,905,534 cows in milk on 31 January 1952, 1,799,375, or 94 per cent, were on holdings employing milking machines. In 1951 the corresponding percentage was 94 and in 1942, 87.

The following table shows for the years 1940, 1951, and 1952 the number of farms with milking machines, and the aggregate cow capacity thereof, classified according to size of plant—i.e., cow capacity. It is known that cows in milk were recorded on 70,873 of the 90,290 holdings covered by the 1950 collection. Machine milking was carried out on 35,154 farms and hand milking on 35,719.

Number of MachinesIndividual Cow CapacityNumber of FarmsAggregate Cow Capacity
194019511952194019511952
One12881,5751,7342881,5751,734
 26,3207,4436,97612,64014,88613,952
 39,0408,3127,57327,12024,93622,719
 48,6849,6609,56534,73638,64038,260
 51,5841,9792,0057,9209,89510,025
 61,5084,0774,8729,04824,46229,232
 7362712742521,8971,918
 81391,9632,5191,11215,70420,152
 9 and over456528244827,1428,895
    Totals, one machine 27,64435,93236,34293,598139,137146,887
Two 7395225065,5524,6584,848
Three 834434957457422
Four 2261135884142
Five and over 13108352238256
Grand totals 28,50136,51436,901100,817144,574152,555

A point of interest in the table is that while the total number of farms in 1952 with milking machines rose by 8,400 compared with 1940, the number of farms with multiple plants dropped from 857 to 559. On the other hand, single-unit plants of 6-cow capacity and upwards showed a greater relative increase than those below that number.

The following table shows, by size of herd in milk, both the number of farms equipped with milking machines and farms with dairy cows in milk but no milking plant. It will be noted that the only decreases in farms with milking machines are confined to the larger herds, which would appear to be associated with the fall in multiple plants referred to earlier.

Size of Herd (Cows in Milk)Farms With Milking MachinesFarms Without Milking Machines
194019511952194019511952

* These totals for 1951 and 1952 include 273 and 357 cases respectively of farms with milking machines but no cows in milk. Comparable figures are not available for 1940.

Under 57151,217*1,569*22,75525,95926,001
5 and under 101,2221,4308,7904,0733,578
10 and under 201,6483,0333,0375,7841,5251,331
20 and under 304,4624,4654,2132,032371323
30 and under 405,3455,6755,4525627075
40 and under 504,4975,3685,2271741318
50 and under 603,3304,4174,4337455
60 and under 702,7073,5403,66530....
70 and under 801,8032,3732,512378..
80 and under 901,1761,6771,726
90 and under 1008421,0851,105
100 and under 1251,1011,5491,551
125 and under 150416512566
150 and under 200289278315
200 and over170103100
    Totals28,50136,51436,90140,23832,02431,331

Agricultural Tractors.—During the ten years from 1942 to 1952 the number of agricultural tractors employed on holdings of 1 acre and over outside borough boundaries rose from 13,967 to 45,734, an increase of 227 per cent. These figures do not include rotary hoes or garden tractors, which likewise showed an increase from 813 in 1942 to 4,380 in 1952, an increase of 439 per cent.

The increase in tractors has been accompanied by a decrease in the number of horses employed on farms, particularly those described as “draught and three-quarter draught.” The total number of horses in 1952 was 173,922, of which 57,434 were classed as draught or three-quarter draught, 20,300 as spring-cart or light artillery (including half-draught), 74,530 as hacks or light working horses, and 21,658 as thoroughbred or other. Comparable figures for 1942 were 248,597, 118,054, 44,586, 71,509, and 14,448 respectively. The number of agricultural tractors increased from 45,734 in 1952 to an estimated total of 55,623 in 1954, whereas the total number of horses fell from 173,922 to an estimated 158,280.

In the following table, which gives particulars of tractors and horses as at 31 January of the years shown, horses described as “thoroughbred or other” have been excluded. The number of holdings on which tractors were located in 1952 was 38,434 out of a total of 90,288, whereas horses were present on 50,629 holdings. In 13,162 cases there were tractors but no horses, 25,357 cases in which there were horses but no tractors, while both tractors and horses were present in 25,272 instances.

Tractors, but No HorsesTractors and HorsesHorses, but No Tractors
One TractorMore Than One TractorOne TractorMore Than One Tractor
19484,82345714,1691,59039,812
19495,88762315,8932,01337,057
19507,78487419,3002,70833,511
19519,4481,25520,3303,55630,316
195211,4471,71520,9414,33125,357

The 6,046 cases in 1952 in which there were more than one tractor were made up as follows: Two tractors, 5,110; three, 720; four, 157; live or more, 59.

Threshing Machines.—Information collected in conjunction with the monthly threshing returns shows that a total of 1,965 machines (1,852 header harvesters, 62 threshing mills, and 51 tinmills) were engaged in threshing either wheat or oats in 1952, as compared with a total of 1,129 machines in 1942. The increase in the total number of machines so used during the ten-year period is accounted for by the change in harvesting methods that has taken place, the mobile header harvester, which was first employed in New Zealand in the harvest of 1930, having largely supplanted the stationary threshing mills.

The header harvester is used more extensively in connection with the wheat crop, many varieties of which are very well suited to heading, than in oats threshing, where the threshing mill still plays a part of major importance. In 1952 header harvesters threshed 94.4 per cent of the wheat yield from 95.2 per cent of the grain area. Threshing mills and tinmills accounted for 3.6 per cent and 2.0 per cent of the yield and 3.0 per cent and 1.8 per cent of the area respectively. Figures on a similar basis for oats are: header harvesters, 79.5 per cent of yield and 81.8 per cent of area; threshing mills, 12.5 per cent of yield and 10.7 per cent of area; and tinmills, 8.0 per cent of yield and 7.5 per cent of area.

Of the 1,965 machines engaged in threshing wheat or oats in 1952, 1,312 (1,264 header harvesters, 26 threshing mills, and 22 tinmills) were located in the Canterbury Land District, which produced 63 per cent of the total wheat yield and 47 per cent of the oats yield. In Otago there were 235 machines, made up of 212 headers, 9 threshing mills, and 14 tinmills, while Southland recorded 209 machines (179 headers, 18 threshing mills, and 12 tinmills).

20 B—CROPS

IN the preceding subsection reference was made to the economy of New Zealand being largely dependent on grassland products. This is not to say that cropping is not of any importance. Domestic needs for agricultural products are largely satisfied internally, although in recent years an increasing proportion of wheat requirements has been imported. Tropical and sub-tropical products such as tea, sugar, cotton, etc., are not produced in New Zealand.

Fruit is grown on a considerable scale, home requirements of all the important fruits and berries grown in temperate zones being satisfied by New Zealand orchard production. Citrus fruits are grown in the sub-tropical northern portion of New Zealand, and grapes are also cultivated in certain localities with a favourable climate. In addition to satisfying local demand, there is a substantial export trade in apples.

In rural New Zealand and in many urban localities the kitchen garden supplies a very considerable proportion of family requirements of vegetables, while there is a substantial area planted in market gardens, both inside and outside borough boundaries. The major commercial cash vegetable crops are potatoes and onions. Local supplies of potatoes are not always adequate, and in recent years production has fluctuated, with a surplus in one year and perhaps a shortage in the next. In most recent years the production of onions has also been more than sufficient for local requirements. Although the importance of vegetable growing in agricultural production cannot be measured (a considerable, though unknown, proportion being non-commercial), it will be realized that this branch of crop production is of some consequence in that the requirements of the people are supplied from New Zealand production.

Coincident with the growth of the stock-raising industries, there has been a considerable increase in areas sown for supplementary fodders. While practically throughout the whole of New Zealand animals can be grazed in open pasture for the full twelve months of the year, the winter growth of grass, except in certain favoured localities, requires to be supplemented in order to keep stock in good condition during the colder months, and in some districts supplementary fodders are necessary in the drier summer months. The supply of supplementary fodders is adequate both in quantity and in quality, so that New Zealand imports animal-feeding stuffs to a very minor extent only.

Hay and ensilage crops are grown almost exclusively on the farms where they are consumed, though some districts specialize in the growing of certain other supplementary fodder crops. The bulk of the supplementary fodders other than grass and clover hay, and ensilage, is grown in the South Island, since the colder climate necessitates more extensive supplementary feeding than in the North Island.

The renewal of pasturage requires the annual supply of very considerable quantities of grass seeds, which are now grown almost entirely in New Zealand. There is a small import of certain classes of seeds, but this is almost negligible in relation to requirements; on the other hand, an appreciable export trade in some species of grass seeds has been developed.

GEOGRAPHIC DISTRIBUTION.—Grain growing is localized to a considerable extent, the Canterbury Land District, with its fertile plains, supplying in 1953–54, 63 per cent of New Zealand's wheat yield, 44 per cent of the oats threshed, and 80 per cent of the barley yield. Maize growing is largely confined to certain portions of the South Auckland and Gisborne districts. The commercial growing of peas is carried out extensively in Canterbury, and to a lesser extent in Marlborough and Otago, Canterbury alone producing over half of the total yield. In the season 1953–54, 69 per cent of the area closed off for production of grass seed was in Canterbury district. The Canterbury district also produces the bulk of the commercial potato crop, followed by Wellington, while the growing of potatoes for the early market is of importance in the North and South Auckland districts.

Commercial orchards in New Zealand are largely confined to certain areas suited by climatic and soil conditions, while access to markets is also an important factor, particularly in respect of small fruits. The Nelson district is famed for its apple orchards, a high percentage of the crop from this district normally being exported. Central Otago is well suited to the growing of stone fruits, notably apricots. In several other districts commercial orchard production is successfully carried on; special mention may be made of citrus culture in certain northern districts.

Grape growing is of importance in North Auckland and Hawke's Bay, and to a lesser extent in South Auckland. Tobacco growing is mainly confined to the Waimea County, in the Nelson district, hop growing also being largely concentrated in this area.

A detailed analysis of arable cropping farms in 1949–50 was undertaken as part of the World Census of Agriculture. The following table, compiled from the results of this analysis, shows the number of arable cropping farms in each regional area. The dominance of the South Island, with 90 per cent of the farms of this type, is clearly shown.

Regional AreaPrincipally Arable CroppingArable CroppingSpecial Cropping UnitsGrass Cropping UnitsOther Arable HoldingsTotal Arabic Holdings
With SheepWith DairyingWith BeerWith Horse RaisingWith poultryWith HorticultureWith Mixed Farming
No.Area

* Not available separately. Areas are included in the total.

North Island            Acres
Northland7..1................8550
South Auckland1..1................285
Waikato and Hauraki Lowlands....1................1*
Cape Colville..........................
Central Plateau6..2........1......9345
Western Uplands1....................1*
Taranaki..........................
East Cape6873....6..5..4..934,728
Hawke's Bay62321....111205963,477
Rangitikei1192........331..294,218
Manawatu1622........1322282,175
Castlepoint..........................
Wairarapa1111........213...191,984
Featherston312...............6453
    Totals18623171 6113830729218,065
South Island             
Nelson2432........5..125513,524
Marlborough584073....223..301317637,745
Westland..........................
North Canterbury1350..........5..747931,898
Foothills26317........12..1128928,055
Canterbury Plains31728158..26..9081532809189,682
Christchurch5246.......34222752,824
Banks Peninsula21..........1 1..51,291
Mackenzie371..........14..167,750
South Canterbury24945156..13..11544227948291,500
Otago1281........3..32293,705
Central Otago2131..........2..846671,927
Southern242542......4..848151148,226
    Totals801932142539526415219992,494818,127
    N.Z. totals—             
      Number98795515963156277232491062,786..
      Acreage119,899437,50417,8981,5581,5941,33924158,9581,264162,55723,379 836,192

From the 1952–53 season onwards farming statistics have been based on a sample survey (ratio 1: 7). Undue importance should not be attached to the final digits shown, as these statistics are estimated from the sample returns and are quoted to the last unit for the sake of convenience.

The area devoted to each crop in the 1953–54 season and the percentage area in each land district are given in the following table.

Name of CropAreaLand District Percentages
North AucklandSouth AucklandGisborneHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtagoSouthland

* North Auckland, Hawke's Bay, and Wellington, 13 per cent.

For threshing—Acres            
  Wheat113,81363651511
  Oats20,52943551622
  Barley68,479497791
  Maize4,062*1473*..*........
  Peas30,88982851103
  Linseed2,822....81415
  Other crops8,083..459289
For chaff, hay, or ensilage—           
  Oats21,229113351932
  Grasses and clovers680,52313382211912..1255
  Lucerne89,097..9161351..53183
Green fodder—             
  Oats33,923151155163
  Rape178,345..1..6..321..502611
  Kale (including chou moellier)109,54129121 2611..16810
Other crops for chaff, hay, ensilage, or green fodder34,87551026 104262313
Root crops—             
  Swedes196,856217..2..8..1..92234
  Turnips227,16338..2..4111481417
  Turnips and rape50,947..1..2..311..201656
  Potatoes21,6519527 14246113
  Other root crops4,71416114541511 20194
Grasses, clovers, and lucerne for seed153,91035691112
Tobacco3,101..100......
Linen flax1,886....73..27
Other field crops4,2406102143......9..29..
Orchards21,2462110317..3318..8161
Market gardens15,30924741711618..139..
Grape, passion fruit, hop vines, and nurseries3,435271221536..23..822

BUSHEL WEIGHTS.—For statistical and other purposes it is at times necessary to convert bushel units to a weight basis. For New Zealand produce and fruit, conversion is effected by using the following weights per bushel for the commodities mentioned.

ProduceWeight of Bushel
 lb.
Wheat60
Oats40
Barley50
Maize56
Peas60
Ryecorn56
Beans65
Grass seed20
Apples40
Pears38
Quinces40
Peaches42
Nectarines42
Apricots42
Plums42
Cherries42
Oranges42–43
Lemons (uncured)42

AREA UNDER CULTIVATION.—A general summary of the areas under cultivation during each of the last eleven years is given in the following table. The statistics quoted in this and other tables in this subsection relate to holdings of 1 acre or upwards outside borough boundaries.

In addition to the areas shown as under cultivation there is a considerable area of occupied land still unimproved. In 1953–54 the total area of unimproved occupied land was 23,384,584 acres. Cultivated land accounted in 1953–54 for 46 per cent of the total area in occupation, unimproved land accounting for the remaining 54 per cent. The area in phormium—a productive asset—is included in the total of unimproved land, while an appreciable proportion of tussock and other naturally established native grasses is of considerable economic utility, particularly in the South Island, where it is used for extensive pastoral farming.

YearPasture Land*Field CropsPlantationsOrchardsLying FallowOther Cultivated LandTotal Cultivated Land

* Excluding areas of grasses and clovers cut for seed, hay, or ensilage, which have been included in field crops.

† Approximate.

Acres
1943–4416,774,3041,965,670859,73719,196110,000101,09219,829,999
1944–4516,619,7132,013,214867,45019,614110,000102,05819,732,049
1945–4617,036,8221,839,589861,00818,235121,03390,55519,967,242
1946–4717,013,0571,984,395869,95918,253123,65494,54520,103,863
1947–4817,088,8101,904,377871,35618,667122,81296,89220,102,914
1948–4917,033,7341,985,381884,07718,667100,270106,07020,128,199
1949–5017,164,9571,931,393908,36018,85390,819114,44820,228,830
1950–5117,042,3472,061,429902,16419,722114,536111,03220,251,230
1951–5216,797,3442,062,910915,83519,973143,367109,59820,049,027
1952–5316,574,4392,131,170949,53321,464173,626111,36419,961,596
1953–5416,573,0042,060,678967,66621,246144,328111,98619,878,908

In the following pages statistics of the principal crops are quoted with explanatory comment. In addition to summary tables, covering in each instance a range of related items, important individual crops are discussed under separate headings.

PRINCIPAL FIELD CROPS.—The areas under each of the principal field crops for the last five years have been as follows.

Crop1949–501950–511951–521952–531953–54

* Including turnips and rape mixed.

† Excluding wheat, oats, barley, maize, and peas fed off.

Acres
Wheat128,240147,00891,837135,736115,875
Oats161,553133,596126,093120,87875,681
Barley70,52558,53554,63769,28875,094
Maize12,32911,66510,3389,4218,503
Peas41,74422,53624,72827,26530,889
Linseed7,54416,22424,43721,3852,822
Linen flax2,7911731,8691,5251,886
Potatoes17,79416,80413,27618,30521,651
Turnips and swedes*390,056402,350398,072424,887474,966
Mangolds2,5472,2832,0692,0052,010
Onions8871,0531,1351,4051,298
Tobacco3,3763,3243,1523,1683,101
Green fodder298,168289,852279,755277,012309,643
Grasses, clovers, and lucerne for seed148,083212,099196,378123,467153,910
Grasses and clovers for hay or ensilage580,369660,689742,072783,570680,523
Lucerne for hay or ensilage52,04268,62278,90793,57089,097
Other crops13,34514,61614,15518,28313,729
    Totals1,931,3932,061,4292,062,9102,131,1702,060,678

The figures quoted in the foregoing table in respect of wheat, oats, barley, maize, and peas relate to the total areas under these crops for grain or fodder. It should be noted that a considerable portion of the area under certain crops, particularly oats, is cut for chaff or is fed off. In regard to peas it should be noted that areas of this crop for domestic consumption in the form of green peas are included under market gardens and crops for processing.

GRAIN AND SEED CROPS.—Details of areas for threshing, total yields, and yields per acre of the principal grain and seed crops during the last five years are set out in the following table.

YearWheatOatsBarleyMaizePeasLinseed
Areas For Threshing
 AcresAcresAcresAcresAcresAcres
1949–50125,15952,64556,7937,24041,3197,544
1950–51144,76335,80846,1546,11921,70116,224
1951–5289,95545,56146,0646,44924,37924,437
1952–53127,22549,08755,3345,97327,26521,385
1953–54113,81320,52968,4794,06230,8892,822
Total Yields
 BushelsBushelsBushelsBushelsBushelsCwt.
1949–504,899,6682,620,2522,433,835463,0331,242,73069,002
1950–516,271,9281,827,9531,902,432362,533625,784148,099
1951–523,890,1672,469,5302,182,175381,835730,288222,269
1952–534,525,2982,385,1292,139,886349,194614,417194,444
1953–544,783,227945,3863,335,399259,248953,74929,022
Yields Per Acre
 BushelsBushelsBushelsBushelsBushelsCwt.
1949–5039.1549.7742.8563.9530.089.15
1950–5143.3351.0541.2259.2528.849.13
1951–5243.2554.2047.3759.2129.969.10
1952–5335.5748.5938.6758.4622.549.09
1953–5442.0346.0548.7163.8230.8810.28

It was the practice prior to 1940 to import considerable quantities of small seeds, but during the war years it became necessary to make an effort to raise the full domestic requirements in this direction within New Zealand. The success of the effort is exemplified in the total areas planted in other crops for seed (i.e., crops other than the principal crops stated above, wheat, oats, barley, maize, peas, and linseed together with lupins), which rose from 342 acres in 1938–39 to 6,674 acres in 1942–43. Although there has been some reduction from the peak figure of that year, the area was still substantial in 1951–52, which was the last year of full enumeration, being 5,862 acres. These figures covered rape, kale, white-fleshed turnips, swedes, mustard, beans, and ryecorn, together with a variety of smaller areas relating to crops such as onions, vetches, tares, radish, silver beet, red beet, carrots, pumpkins, marrows, leeks, cauliflower, cabbage, parsnips, etc. It was found in most instances that the locally produced seed was fully up to, and indeed in some cases superior to, the standard of that previously imported. It has been shown, for instance, that swede and turnip crops grown from locally produced seed have been comparatively free from the widespread dry-rot disease which formerly attacked these crops when grown from imported seed. New Zealand is self-sufficient in peas, beans, swedes, turnips, and parsnips. Most other vegetable seeds are imported from the United States of America.

WHEAT.—Wheat is the most important grain crop grown in New Zealand. The industry enjoys a sliding scale of Customs duties levied on imports of wheat and flour, and also regulation of prices on a basis that is calculated to give the grower a satisfactory return for his produce.

Further efforts in encouraging wheatgrowing with a view to making New Zealand entirely self-sufficient in respect of requirements of wheat and wheaten products were initiated in 1936, and the importation of wheat or wheaten flour was prohibited, except under permit granted by the Minister of Industries and Commerce. With a view to reducing imports of Grade A wheat necessary for mixing purposes, the Wheat Research Institute has been endeavouring to encourage the growing in New Zealand of better-quality varieties which do not require blending with imported wheat. The Institute has already achieved satisfactory results, its most outstanding success being the development of a Tuscan variety known as Cross 7. Though not grown on a commercial scale until 1935–36, Cross 7 has, since 1941, held pride of place in the area grown for grain. In the 1951–52 season second and fourth places were taken by Fife Tuscan and Tainui respectively, types also evolved by the Wheat Research Institute.

Despite the protection and encouragement given to wheatgrowers, the results have, in the main, been disappointing. Appreciable increases occurred in the four seasons 1939–40 to 1942–43, but since then there has been an irregular decline in sowings until the lowest point, which occurred in the season 1951–52, when only 89,995 acres were harvested. In the 1952–53 season the area increased to 127,225 acres, that is by over 41 per cent, but unfortunately the average yield dropped owing to adverse climatic conditions, and the total yield of 4,525,298 bushels was only 17 per cent higher than in the 1951–52 season. A further decrease in area to 113,813 acres in the 1953–54 season was more than offset by better seasonal conditions, but, although the total yield increased by approximately a quarter of a million bushels compared with the previous harvest, considerable imports were still necessary.

The following diagram shows the fluctuations that have occurred in the area sown in wheat during the last twenty-six years, together with the total yield and the average yield per acre.

Wheat Committee.—Control of the importation of wheat and flour and of the distribution of both imported and locally produced wheat rests with the Wheat Committee. The operations of this Committee, which consists of representatives of flour-millers, wheatgrowers, and bakers, with the Minister of Industries and Commerce as Chairman, and his nominee from the Department of Industries and Commerce as Deputy Chairman, are governed by the Board of Trade (Wheat and Flour) Regulations.

All New Zealand milling wheat is purchased from farmers by the Wheat Committee through the agency of the grain merchants acting as brokers for the Committee. The Committee is responsible for the importation of any wheat and flour and the distribution of imported poultry wheat in the North Island; in the South Island poultry wheat is not controlled. Its functions also include arrangements for the processing of wheat and the sale of flour to merchants, bakers, pastrycooks, grocers, and others.

The annual consumption of wheat in New Zealand approximates 12 million bushels—some 8 million bushels being required for flour, and the balance for poultry food and seed. Over the past five seasons the annual local production of wheat has averaged 4,834,000 bushels, while imports have over the same period averaged 6,465,000 bushels.

Varieties of Wheat.—The choice of wheat varieties for sowing is influenced by their suitability to local conditions of climate, soil type, etc. Wheatgrowers receive valuable guidance regarding suitable varieties as the result of research work and field trials undertaken by the Wheat Research Institute and the Department of Agriculture. Particulars regarding varieties of wheat were obtained covering 79 per cent of the total area of wheat threshed for the harvest of 1952. Of the three groups of varieties, Tuscan accounted for 95.9 per cent of the area and 96.2 per cent of the yield; Hunter's, 0.5 per cent of the area and 0.6 per cent of the yield; and Pearl, 3.6 per cent of the area and 3.2 per cent of the yield. Of the individual varieties, Cross 7, previously referred to, produced 72.7 per cent of the total yield, while Fife Tuscan produced a further 7.4 per cent. These two varieties accounted for 73.6 per cent and 7.9 per cent of the total area respectively.

OATS.—The area under oats has declined fairly steadily during the past decade, the greatest decrease being in oats for chaff, hay, and ensilage. This decline is parallel with the replacement of horses by machinery. During the first five years of the decade (1944–49) the average area under oats for all purposes was 192,834 acres, and of this figure the proportion for chaff, etc., was 41.5 per cent, whereas for the last five years (1949–54) the comparable figures are 123,560 acres and 30.5 per cent. Taking the same two 5-yearly periods the average area under oats for chaff, etc., has declined by 53 per cent.

The yield per acre of oats threshed for grain, etc., does not show any definite trend during the past ten years, but fluctuates between 45 and just over 54 bushels, depending on seasonal conditions. On the other hand the yield per acre of oats for chaff, hay, and ensilage showed a fairly steady increase from about 1 ¾ tons for the first few years to almost 2 ¼ tons for the season 1952–53.

The total yield, comparing the average per season for the five years 1944–49 with the average per season for the five years 1949–54, shows, in the case of oats threshed for grain, etc., a decrease of nearly 37 per cent, mainly accounted for by a particularly heavy fall in acreage planted in 1953–54.

The total and average yields of oaten grain and of chaff, hay, or ensilage for the seasons quoted were as follows.

SeasonGrainChaff, Hay, or Ensilage
Total YieldAverage Per AcreTotal YieldAverage Per Acre

* Not available.

 BushelsBushelsTonsTons
1949–502,620,25249.77100,1831.86
1950–511,827,95351.0580,9711.98
1951–522,469,53054.2084,3662.12
1952–532,385,12948.5971,7002.24
1953–54945,38646.05**

Varieties of Oats Threshed.—An analysis of the threshing returns relating to the season 1951–52 gave the following percentage distribution of varieties of oats threshed (no later figures are available).

Variety of Oats ThreshedAverage Yield Per AcrePercentage of Total AreaPercentage of Total Yield
 BushelsPer CentPer Cent
White60.9367.9276.90
Algerian38.0622.7116.07
Dun38.216.894.90
Black46.322.482.13
All varieties53.81100.00100.00

BARLEY.—Prior to 1945 considerable quantities of barley were imported, mainly for use as stock food, but the quantities imported since then have declined considerably. Outstanding increases in the area planted were recorded in each of the four years ending in 1947–48, the area threshed in that year (63,398 acres) and the yield of grain (2,087,900 bushels) exceeding all previous figures. In each of the succeeding two years there was a moderate decline in sowings, but record average yields resulted in new production records. In 1950–51 there was a sharp fall in the area harvested, followed by a further slight fall in 1951–52, but a record average yield (47.37 bushels per acre) resulted in the total yield (2,182,175 bushels) being little below the record figures of 1948–49 and 1949–50. The area threshed in the season 1952–53 was 55,334 acres, an increase of 20 per cent on the previous season. However, at the same time, the yield per acre dropped to 38.67 bushels, and the total yield of 2,139,886 bushels was actually slightly less than the comparable figure for 1951–52. New records were established in the 1953–54 season, when 68,479 acres were grown for threshing, and a record average yield of 48.71 bushels per acre gave a total production of 3,335,399 bushels.

Of the total area grown, 90 per cent was threshed for grain in 1954, the remaining 10 per cent being used for stock fodder (mostly feeding off).

Malting varieties normally account for approximately 86 per cent of the area sown in barley.

PEAS.—The table shown earlier relating to grain and seed crops reveals that both the area and total yield of peas have fallen considerably during the last five years. This trend is also shown in the export figures for the commodity. In 1949 nearly 850,000 bushels were exported, whereas by 1953 the amount had fallen to approximately 370,000 bushels.

POTATOES.—The production of potatoes has previously been adequate to meet the home market, but in recent years there have been considerable fluctuations, a surplus in one year being followed by a shortage in another. The problem of the disposal of surplus quantities is rendered difficult by import restrictions on New Zealand potatoes entering Australia, although certain quantities were admitted in 1940 and again in 1950 owing to shortages of supplies in that country. Strangely enough, in each of the years mentioned the area in potatoes in New Zealand was comparatively small, but particularly high yields resulted in surplus quantities being available.

Low acreages in the early war years coincided with an increased demand in the form of requirements for the Armed Forces, and the Government entered into contracts with growers (continued after the war, but limited to main-crop potatoes), all potatoes produced under these contracts being paid for. This had the desired effect, and the area planted rose from 15,201 acres in 1941–42 to 29,774 acres in 1944–45. A downward trend followed, and a low area in 1948–49, combined with a comparatively low yield, resulted in potatoes being in short supply towards the end of the season, and 3,181 tons were imported from Australia. The area planted in 1949–50 was 1,146 acres less than in 1948–49, but a particularly heavy crop produced an increase of 25,798 tons in the total yield.

In 1950–51 the area further receded to 16,804 acres, but the 1951–52 crop was the lowest in area and yield for many years with 13,276 acres producing 69,841 tons, necessitating heavy importations from Australia to the extent of 31,337 tons up to the end of September 1952. The 1952–53 season showed an improvement with 18,305 acres yielding 94,652 tons. The yield per acre was lower than usual at 5.17 tons, and it was necessary to import 7,012 tons during the year ended September 1953. Heavier plantings in 1953–54 (21,651 acres), combined with a high average yield of 7.2 tons per acre, resulted in the biggest potato crop for ten years, so that some difficulty was experienced in disposing of surplus supplies.

Under the Potato Growing Industry Act 1950 a Potato Board was established consisting of seven members, three of whom are representative of the growers on an elective basis, three nominated by the New Zealand Grain, Seed, and Produce Merchants' Association (Incorporated), and one an officer of the Public Service acting in an advisory capacity.

The principal functions of the Board are to ensure that an adequate supply of main-crop potatoes are available for consumption in New Zealand, and for that purpose to enter into contracts with growers for the growing of main-crop potatoes. The Act provides that the Board may impose a levy not exceeding 31s. per ton on main-crop potatoes sold by growers, the proceeds of which are to be applied by the Board in payment of charges, etc., for which it may become liable in the exercise of its functions.

Figures for area and yield for the last five years are as follows.

YearAreaTotal YieldYield Per Acre
 AcresTonsTons
1949–5017,794135,4427.61
1950–5116,804119,7787.13
1951–5213,27669,8415.26
1952–5318,30594,6525.17
1953–5421,651155,9427.20

The 1951–52 yield was made up of 45,678 tons of table potatoes, 20,882 tons of seed potatoes, and 3,281 tons of pig, etc., potatoes. The corresponding quantities in 1950–51 were 90,043 tons, 22,632 tons, and 7,103 tons.

Special statistics of areas and yields of potatoes, classified according to varieties as well as by origin of seed planted (Government certified or otherwise), were compiled from 1936 to 1952. The information was obtained from a special collection from growers in July, by which time the bulk of the crop had been harvested. The inquiry was limited in the main to growers of 2 acres and over, but the resultant details which covered approximately 50 per cent of the total potato acreage could be taken as representative of the crop as a whole. “Government certified” seed is that for which a Government certificate has been issued in respect of purity, etc. Seed obtained from the ensuing crop cannot be so designated unless the requisite certificate is issued by the authorities.

The available statistics plainly indicate the superior yielding capacity of certified seed. The average yield per acre over the last five years of collection for certified seed was 7.50 tons, as compared with 6.36 tons for uncertified seed. The advantage of 114 tons per acre in favour of crops from certified seed represents a yield superiority of almost 18 per cent. It is also of interest to note the increasing use of certified seed. Of the areas for which the information was supplied in 1938–39 the proportion of certified seed used was 35.5 per cent, as compared with 54.8 per cent in 1951–52.

ONIONS.—Areas in, and yields of, onions for the last five years are as follows.

YearAreaTotal YieldYield Per Acre
 AcresTonsTons
1949–508878,3869.45
1950–511,0539,6449.16
1951–521,13510,3369.11
1952–531,40512,5108.90
1953–541,29811,1308.57

In earlier years the production of onions was rarely sufficient to supply domestic requirements. As onions are a semi-perishable commodity it was found convenient to export in the flush of the New Zealand season, and to obtain supplies from overseas later in the year. However, a considerable improvement has been effected in the keeping qualities of the varieties grown, and no onions have been imported into New Zealand for some years, while over the last five years exports have averaged 1,758 tons annually.

LINSEED.—The area under this crop has fluctuated considerably over a long period. In 1917–18 an area of 1,456 acres was recorded under linseed. This rose to 12,119 acres in 1923–24, dropped to 2,800 acres in 1929–30, and rose again to 12,200 acres in 1930–31. After further fluctuations the area planted fell away to 354 acres in 1942–43, then rose in successive years to a peak of 18,728 acres in 1947–48. Then followed a recession for two successive years to less than half the 1947–48 acreage. The area in 1950–51 showed a firm increase to 16,224 acres, followed by a new record high level of 24,437 acres in 1951–52, and a slight recession to 21,385 acres in 1952–53. In the 1953–54 season reduced world prices, among other factors, led to a sharp contraction in the area planted, only 2,822 acres being grown. This area gave a yield of 29,022 cwt of seed at an average of 1028 cwt per acre.

SUPPLEMENTARY FODDER CROPS.—Although grass is the main crop of the farmer in New Zealand, at certain periods during the year the pastures need supplementing in order that the grassland may not become unduly exhausted, and also in order to maintain stock in a satisfactory condition. In mid-winter the grass is at a low stage of productivity generally, while under dry summer conditions it loses part of its nutritive value. During these periods it is necessary that some extra feed should be provided, and this is usually done either by cutting the grass for hay or ensilage when there is an ample surplus on the pastures during the flush of the growing season, or by the provision of green fodder or root crops.

The following table gives detailed figures of the areas of the supplementary fodder crops available during each of the last five years.

YearChaff, Hay, or EnsilageGreen FodderRoot and Other Crops for Feeding to StockTotal Area of Fodder Crops
Cereal CropsGrasses and Clovers, Including LucerneCereal CropsOther Crops

* Separate figures not available; these two items totalled 97,704 acres in 1952–53 and 68,270 acres in 1953–54.

Acres
1949–5055,058632,41175,752298,593394,8711,456,685
1950–5142,477729,31175,483290,687406,6131,544,571
1951–5241,477820,97953,399280,104401,7741,597,733
1952–53*877,140*277,012429,2051,681,061
1953–54*769,620*309,643478,3821,625,915

In 1953–54 grasses and clovers cut for hay or ensilage totalled 680,523 acres and lucerne 89,097 acres. Oats was the only cereal crop utilized in any quantity for this purpose, the area of oats cut for chaff, hay, or ensilage being 21,229 acres. Oats also was the principal cereal crop fed off to stock, amounting to 33,923 acres. The principal green-fodder crops apart from oats are rape (178,345 acres) and kale, including chou moellier (109,541 acres). Swedes and turnips are the principal root crops grown in New Zealand, the total area sown in these crops in 1953–54 being 474,966 acres (including 50,947 acres of turnips and rape mixed). Other crops included 2,010 acres of mangolds.

GRASS SEED.—The total area of grasses, clovers, and lucerne cut for seed during the 1953–54 season was 153,910 acres, as against 123,467 acres in 1952–53. Canterbury, Otago, and Southland land districts between them provided over 91 per cent of the area cut in 1953–54.

The areas of grass, clover, and lucerne crops harvested for seed, distinguishing the principal varieties, during each of the last five years for which figures are available, are given in the table following.

Crop1949–501950–511951–521952–531953–54
Acres
Rye-grass—     
  Perennial43,71281,92749,13628,77033,681
  Italian3,4619,9467,5724,2415,261
  Short-rotation (H1)8,00112,64713,7539,31916,898
Cocksfoot4,9157,2888,9874,2726,279
Chewings fescue17,75514,83115,79114,4378,587
Crested dogstail5,6907,7518,2347,1104,540
Red clover (including cow-grass)20,07518,71014,7245,9596,249
White clover29,51243,32963,51327,75445,069
Other grasses and clovers14,96215,67014,66821,60527,346

Large quantities of grass seed have been exported during recent years, especially to the United Kingdom, Australia, and the United States of America. In 1947 a considerable amount of grass seed was exported to various continental countries, particularly to Belgium. Details of the volume and value of exports during recent years will be found in Section 10B of this issue.

PASTURE GRASSES.—Researches and experiments in regard to pasture grasses are regular features of the activities of both the Department of Agriculture and the Department of Scientific and Industrial Research. These experiments, which extend right on to individual farms throughout New Zealand, and are conducted in co-operation with the farmers themselves, are wide in their application, and cover all the major phases of pasture management, dealing in particular with such items as pasture mixtures, suitability as to soil types, methods of establishment and management, the efficient use of fertilizers, etc. The results are made available per medium of the Journal of Agriculture and such allied publications, as well as by special pamphlets which are distributed without charge. The farmer is thus enabled to avail himself of, and profit by, highly specialized knowledge and experience. In addition, a constant endeavour is being made not only to improve existing strains by such measures as seed certification and the provision of pedigree seed, but also to evolve new strains. At the beginning of the year 1954 there were 17,761,342 acres under artificially sown grasses (including 923,530 acres cut for seed, hay, or ensilage during the season), and in addition 13,388,594 acres of occupied land still remained in tussock or naturally established native grasses, making a total of 31,149,936 acres of grassland being farmed.

The following table shows the respective areas occupied by artificially sown grasses and by tussock and other naturally established native grasses during the five years specified.

YearArtificially Sown Pasture Grasses*Tussock and Other Naturally Established Native GrassesTotal Area Under Grass*
Cut for Seed, Hay, or EnsilageNot Cut for Seed. Hay, or Ensilage

* Includes lucerne.

† Includes approximately 250,000 acres also sown with crops.

Acres
1949–50780,49417,411,24312,930,71731,122,454
1950–51941,41017,282,60413,112,68831,336,702
1951–521,017,35717,028,72613,250,47431,296,557
1952–531,000,60716,818,54213,299,00831,118,157
1953–54923,53016,837,81213,388,59431,149,936

TOP-DRESSING (PASTURE LANDS).—Top-dressing in New Zealand is carried out mainly on cattle-grazing areas, including, of course, dairy farms; the North Island, which contains 87 per cent of the total cattle, accounted in 1953–54 for 77 per cent of the area top-dressed.

The following table gives particulars of areas of grassland top-dressed during the last five years.

YearArea Top-dressed
With Artificial Fertilizer OnlyWith Lime OnlyWith Both Artificial Fertilizer and LimeTotal Area Top-dressed
Acres
1949–503,754,295589,6081,394,5245,738,427
1950–514,155,943649,4901,521,3116,326,744
1951–524,361,241664,5411,436,4016,462,183
1952–534,941,697626,3721,597,8347,165,903
1953–545,377,367531,4091,546,2897,455,065

Since 1946 supplies of artificial fertilizer have been coming to hand in greater quantities than during the war years, and the area top-dressed with artificial fertilizer in 1953–54, including cases where lime also was used, was 6,923,656 acres, an increase of 1,126,014 acres over the 1951–52 figure. A noticeable feature was the increased use of lime during the period that phosphatic fertilizers were in such short supply.

The activities of the Department of Agriculture and the Department of Scientific and Industrial Research in the treatment of experimental plots from the various aspects of soil and crop requirements, and the subsequent data published thereon, have been an important factor in conveying to the farmer the many advantages to be derived from the scientific treatment of pastures.

While top-dressing in the past has been practically confined to sown grasses on the flat and gently undulating country, recent years have seen the application of fertilizer to the surface-sown hill-country pastures in increasing quantities, first by the use of the blower and later by broadcasting from aircraft. The latter method particularly has expanded very rapidly since experimental work was first carried out in 1948 by the Royal New Zealand Air Force at the request of the Soil Conservation and Rivers Control Council. Further information in this connection is contained in Section 15.

HORTICULTURE.—In 1949–50 a special farming type classification as part of the World Census of Agriculture showed the following breakup by regional areas of those farms where 75 per cent or more of the farm enterprise was devoted to horticulture, or if a mixed farm 50 per cent or more was given to horticultural production. Although the North Island had 52 per cent of these enterprises the South Island predominated on a total farm acreage basis with 74 per cent.

The following table shows the number of horticultural enterprises by regional areas in 1949–50.

OrchardsVineyardsPrincipally Market GardensSmall FruitsNurseriesApicultureOther Horticultural HoldingsTotal Horticultural Enterprises
No.Area (Acres)
Northland371387514331014768812,765
South Auckland972242243252945,129
Waikato and Hauraki Lowlands1688181618752,526
Cape Colville10..5..224232,109
Central Plateau123229..48452113,112
Western Uplands2..22..254353,392
Taranaki....71223235316
East Cape25749..18381281,916
Hawke's Bay3141220891311876549,636
Rangitikei8..173111343488
Manawatu511383212151853,170
Wairarapa1..61....210324
Featherston2..218226411,105
Nelson2242753211146180684,189
Marlborough23..2745..37964,038
Westland1......210..131,213
North Canterbury....3....3..6152
Foothills28........2131618
Canterbury Plains9..344589691,255
Christchurch47..3622735..755465,533
Banks Peninsula8..12..1..425663
Mackenzie ..1....1..24
South Canterbury16..75511212472136,353
Otago88..32151342818013,388
Central Otago118..126..42816810,477
Southern1..72916237764
Remainder....1........127
    Totals - No.1,449771,4501832361321,0884,615..
Totals - Acs.38,1951,81026,2215,6402,9814,54395,272..174,662

GARDENS AND PLANTATIONS.—The acreages for market gardens, plantations, etc., for the last five years are shown below. State gardens and plantations are covered by these figures. It should be noted that the statistics relate only to holdings of 1 acre or more outside boroughs.

YearMarket GardensNurseriesPrivate Gardens, etc.Plantations
Acres
1949–5013,4401,58797,641908,360
1950–5113,9841,19193,971902,164
1951–5213,5341,27392,942915,835
1952–5315,4891,57192,457949,533
1953–5415,3091,51793,242967,666

Market Gardens.—Additional information collected in 1950 showed that the 13,440 acres recorded in that year were distributed as follows: Gooseberries, 146 acres; black currants, 154 acres; red currants, 26 acres; raspberries, 830 acres; other small fruits and berries, 331 acres; and vegetable crops, 11,953 acres.

The Commercial Gardens Registration Act, 1943, provides for the compulsory registration of all areas of half an acre or over of certain specified vegetables for sale for human consumption. The following vegetables are covered by the Act: asparagus, bean, beetroot, Brussels sprouts, cabbage, carrot, cauliflower (including broccoli), celery, cucumber, leek, lettuce, marrow, melon, parsnip, pea, pumpkin, radish, rhubarb, silver beet, spinach, squash, sweet corn, tomato. The 2,826 gardens registered under the Act at 30 September 1953 recorded an area of 19,077 acres in commercial gardens, this acreage being an increase on the 1952 figure. Extensions occurred in established intensive gardening areas, while there was also an increased growing for canning and quick freezing to meet the mounting local and export demand for processed vegetable products. Areas within borough boundaries are included in the registration figures.

Nurseries.—Since 1939 owners or occupiers of nurseries raising for sale certain specific trees, shrubs, and plants have been required to register their nurseries before being permitted to sell trees or plants, The number of nurseries so registered at 31 December 1953 totalled 438, a decrease of 61 since 1951, mainly as a result of small and uneconomic tree-production nurseries ceasing operations.

The 1,587 acres recorded under nurseries on holdings of 1 acre and over outside borough boundaries in 1950 were divided into the following categories: flowers and ornamental shrubs, 812 acres; forest-tree seedlings, 352 acres; seedling fruit trees, 255 acres; and vegetable seedlings, 168 acres.

ORCHARDS AND THE FRUIT INDUSTRY.—A great impetus to the planting of fruit trees was given by the discovery that tracts of land, principally in the Nelson land district, which formerly were regarded as being practically useless, were eminently suited for growing fruit, particularly apples. For a time considerable areas of this and other land were annually added to New Zealand's orchards, but the acreage then declined until it became stabilized in the neighbourhood of 25,000 acres. However, a further decline set in after 1935–36, and continued until 1945–46, the area in that year showing a decrease of 6,837 acres as compared with the 1935–36 total of 25,072 acres. It will be noted from the figures given below that there was a steady increase from 1945–46 to 1952–53, with a slight decrease in 1953–54. These figures refer to orchards of a quarter acre or over on holdings of one acre or more situated outside borough boundaries.

The following table shows the area outside borough boundaries which has been returned as under fruit trees at each of the last eleven annual enumerations.

YearAcres
1943–4419,196
1944–4519,614
1945–4618,235
1946–4718,253
1947–4818,667
1948–4918,667
1949–5018,853
1950–5119,722
1951–5219,973
1952–5321,464
1953–5421,246

The production of apples predominates, this crop accounting for over half the total area in orchards. The percentages (estimated) of trees under production of the principal kinds of fruit in commercial orchards are as follows: apples, 53.1; pears, 6.8; stone fruits, 31.9; lemons, 2.9; other citrus, 4.4; other tree fruits, 0.9.

The Orchard Levy Act 1953 provides for the levying in each year of an amount not exceeding £2 10s. on occupiers of orchards by the New Zealand Fruitgrowers' Federation, for use as required in assisting and developing the industry. Authority also exists for the imposition of a special orchard levy in the case of apple, pear, quince, peach, nectarine, apricot, plum, cherry, citrus, and other orchards for the purpose of controlling any specified disease within a certain district. Neither levy is payable in respect of any orchard with fewer than 120 fruit trees.

At 31 March 1953 there were 2,097 taxable orchards registered covering 16,528 acres. The relative sizes of these were—

AcresNumber
1 to 51,054
6 to 10557
11 to 15245
16 to 20119
21 to 2550
26 to 5059
Over 5013

The number of trees in commercial orchards—i.e., orchards with 120 trees or more—at 31 March 1952 (the latest available figures), according to the principal varieties, was as follows: apple, 1,080,000; pear, 138,000; quince, 18,500; peach, 319,500; nectarine, 33,000; apricot, 122,000; plum, 148,500; cherry, 25,500; lemon, 58,000; orange, 37,000; grapefruit, 51,000; mandarin, 2,000.

The growing of outdoor grapes is chiefly confined to the districts situated between the North Cape and Hawke's Bay, the total area returned in vineyards in 1954 being 1,192 acres. The greater portion of the crop is used for winemaking, several wines of excellent quality being manufactured. In 1940 the quantity of wine produced was 185,000 gallons from a licensed vineyard area of 469 acres. The figures for 1953 show wine production at 485,000 gallons and the licensed area in wine grapes 997 acres on 196 vineyards.

Marketing of Apples and Pears.—Upon the outbreak cf war in 1939, by agreement with the New Zealand Fruitgrowers' Federation, the Marketing Department assumed the functions of the Fruit Export Control Board established under the Fruit Control Act 1924. The Board retired from active participation, but remained as an advisory committee. The growers were given a fixed return for their fruit, the Government undertaking to sell the whole crop within New Zealand and to bear any losses consequent upon such policy. This action was taken owing to the loss of export markets resulting from lack of shipping space on account of war conditions. The Apple and Pear Marketing Act 1948 and its amendments of 1950 and 1951 established the New Zealand Apple and Pear Marketing Board consisting of five members, two of whom are nominated by the New Zealand Fruitgrowers' Federation. The principal functions of the Board are the purchase and sale of apples and pears and matters incidental thereto, including export arrangements.

Before 31 March in each season the Minister of Agriculture, after consultation with the Board, declares an average price to be paid to growers for apples and pears grown during that season. This price is based on the standard cost of production. Thus the total amount paid by the Board for fruit purchased by it from growers in any season is the average price multiplied by the total quantity of fruit purchased. The actual prices paid by the Board to individual growers are fixed by the Board having regard to varieties, grades, quality, etc., of the fruit supplied.

If in any season the total receipts from sales of fruit by the Board exceed the amount which the Board is required to pay to growers in accordance with the declared average price, the surplus, after deduction of costs and expenses incurred by the Board, is apportioned between a reserve fund and the growers. So much of the annual profit as is required to increase the reserve fund to £1,000,000 is paid to the Reserve Fund and the remainder distributed in the proportion of 25 per cent to growers and 75 per cent to the fund until it reaches £1,250,000, when the annual profit will be divided equally between the two. If sales in any season realize less than the amount the Board is required to pay, the deficiency is met from the reserve fund. All apples and pears are not purchased by the Board, the Act making provision for certain private sales by growers in accordance with regulations issued thereunder. For the first time since its inception the Board has been able to declare in 1954 a bonus to fruitgrowers of approximately 4 ½d. per case. Details of the volume and value of apples exported during recent years will be found in Section 10B of this issue.

Quantities of apples and pears marketed in New Zealand by the Board in the last five seasons are given below. These figures exclude direct sales from orchards to the public.

SeasonApplesPearsTotal Bushel Cases
19501,446,500275,1001,721,600
19511,167,800427,5001,595,300
19521,185,300316,1001,501,400
19531,014,699363,6001,378,299
19541,435,200322,5001,757,700

The following table shows the quantities of the main varieties of apples and pears marketed in New Zealand and exported to the United Kingdom and elsewhere during 1953, together with the total estimated production of each variety for that year.

VarietyMarketed in New Zealand*Exported to United KingdomExported to Other CountriesEstimated Total Production

* By Apple and Pear Marketing Board; excludes direct sales from orchards.

Bushel Cases
Apples—    
  Sturmer Pippin239,199257,88411,500646,980
  Delicious163,500113,57842,010356,680
  Jonathan115,800201,17927,839368,560
  Granny Smith111,10058,764..248,550
  Ballarat Seedling81,40026,1132,325170,640
  Cox's Orange Pippin48,600122,354..205,660
  Rome Beauty38,70016,238..62,930
  Gravenstein38,10037,804..104,430
  Golden Delicious38,00036,01710,41085,510
  Dougherty18,30059,409..99,800
  Others122,00078,1947,744343,995
    Totals, apples1,014,6991,007,534101,8282,693,735
Pears—    
  William's Bon Chretian100,3004,559..128,960
  Winter Cole85,7007,014..96,290
  Winter Nelis68,300 ..77,710
  Others109,30023,506..138,510
    Totals, pears363,60035,079..441,470

Marketing of Citrus Fruits.—The Citrus Marketing Authority Regulations 1953 set up the Citrus Marketing Authority, replacing the Marketing Division of the Department of Agriculture, with which was associated the Citrus Marketing Committee, in the assembly, treatment, packing, and marketing of New Zealand citrus fruit.

The Authority consists of five persons, four of whom are nominated by the New Zealand Citrus Council and representing the producers, and one person appointed by the Minister of Agriculture to represent the consumers.

The Authority controls the present system which is built up upon the assembly and packing of fruit at Kerikeri, Auckland, Tauranga, and, through an agent, at Gisborne. The Authority has power to acquire fruit coming within the scope of the regulations, and either directly or through agents arrange for its packing and for its distribution and final sale. This industry is entirely dependent upon market conditions.

The principal task is to sell fresh lemons and oranges, either directly or through agents, throughout New Zealand at prices related to cost of production, and to process unmarketable but otherwise sound fruit into by-products such as fruit juice and lemon peel.

HOPS.—According to returns covering holdings of 1 acre or over outside boroughs there were 644 acres under hop vines in the season 1953–54.

Practically the whole of the hop gardens are located in Waimea County. Production per acre usually ranges between 1,200 lb. and 1,500 lb., and the aggregate crop is usually sufficient to satisfy local requirements as well as to provide a surplus for export. Production in the 1952–53 season was 1,030,000 lb., compared with 872,000 lb. in the previous year, providing a surplus for export of 1,142 bales (335,000 lb.), compared with 340 bales in 1951–52.

TOBACCO.—Although the cultivation of tobacco leaf on a commercial basis was initiated comparatively recently, the industry has made marked progress and growers are becoming increasingly familiar with the methods and plant required for the production of cured leaf acceptable to manufacturers. Since the establishment of the Tobacco Board in 1936 production has risen from 1,197,161 lb. in 1935–36 to 4,797,267 lb. in 1952–53. Commercial tobacco growing is confined to those to whom licences are issued by the Tobacco Board established under the Tobacco Growing Industry Act 1935 to control the industry. Most of the tobacco produced is flue-cured, producing a yellow-leaf tobacco which is largely used for the manufacture of cigarettes, the balance, air-cured, being used mainly in the manufacture of smoking mixtures and pipe tobacco.

The following particulars relating to tobacco production have been taken from the annual report of the New Zealand Tobacco Board. It should be noted that the figures relate to the total commercial tobacco production and not merely to holdings of 1 acre or over situated outside borough boundaries, as is the case with most of the statistics contained in this Section.

SeasonNumber of GrowersArea PlantedProduction
  Acreslb.
1948–496194,3935,000,470
1949–505413,8994,711,613
1950–515293,9045,436,314
1951–524963,6484,088,189
1952–534293,8144,797,267

The production figures represent the weight of the leaf purchased from growers before redrying. Flue-cured leaf accounted for 99.48 per cent and air-dried leaf for 0.52 per cent of the 1952–53 crop.

Shortage of labour continues to be a major factor militating against the expansion of the industry, and in a number of cases has been responsible for a reduction in areas. Mechanization of the industry on the growing side continues to increase. Picking and tying, however, are still done by hand.

PHORMIUM TENAX.—Large areas in various parts of New Zealand are covered with Phormium tenax, or New Zealand flax, the fibre of which is largely used for ropemaking, etc. An area of 37,895 acres was estimated as under phormium tenax on occupied holdings in 1953–54.

LINEN FLAX.—As a result of the exigencies of war, an entirely new industry was inaugurated in New Zealand—the growing of linen flax. Linen fibre is extensively used commercially, but assumed special importance as an essential war commodity. As the United Kingdom had previously imported 90 per cent of her requirements, mainly from Russia, attention was of necessity paid to the possibility of obtaining supplies elsewhere. Investigations into the growing of linen flax in New Zealand were first instituted in 1936, and much valuable research work was carried out by the Department of Scientific and Industrial Research in collaboration with the Department of Agriculture. These investigations demonstrated the possibility of the establishment of the industry in New Zealand, and led to an officer being sent abroad to study the industry at first hand and to purchase the necessary processing machinery for an experimental factory.

Though 403 acres of linen flax were grown in 1939–40, the industry was not established on a commercial basis till the 1940–41 season, when 13,118 acres were grown under contract to the Crown in response to a request received from the United Kingdom Ministry of Supply. This was increased to 21,067 acres by 1942–43, but subsequently declined until with the cessation of hostilities it fell to approximately 4,500 acres. There has since been a further decline, the area recorded in 1953–54 being only 1,886 acres.

SEED CERTIFICATION.—Commencing with the certification of seed potatoes and seed wheat in 1928, the Department of Agriculture has extended its activities in this direction to include such crops as perennial rye-grass, Italian rye-grass, Short-rotation (H1) rye-grass, cocksfoot, timothy, brown-top, Phalaris tuberosa, white clover, cow-grass (broad red clover), Montgomery red clover, subterranean clover, oats, barley, ryecorn, sweet blue lupins, onions, chou moellier, rape, kale, turnip, and swede seeds.

The scheme was introduced to provide the buyer of certified seeds with a guarantee that the produce of such seeds would be true to type and free from seed-borne diseases.

In the early stages of the scheme, certification, which has relationship only to the type of the plant and not to the purity or germination of the seed itself, was based on the identification of superior strains of seeds appearing in certain districts as a result of natural selection. At the same time, however, a programme of scientific plant selection was instituted by the Department of Scientific and Industrial Research in an endeavour to improve still further the naturally occurring strains. The results of this selection work now form the basis of seed certification as applied to most of the above-mentioned types.

The task of raising seed of artificially selected strains involves in the first instance the testing of a large number of individual plants of the particular species. Only the plants giving the best performance under trial are resown for further multiplication, possibly half a dozen out of thousands.

These plants are then seeded together to produce small quantities of seed of the selected strain. This seed, in turn, is multiplied until sufficient is available to sow areas on a field scale. At this stage the Department of Agriculture takes over the material available and multiplies the seed under contract with selected farmers.

The resultant seed is distributed by the Department, sales being made through the mercantile firms to those farmers most favourably situated to make the best use of it for further seed production. From this stage the selected strain is multiplied under the Department's certification scheme though the stages of certified “Pedigree" seed and certified “Mother" seed to certified “Standard" or “Permanent Pasture” seed. These seeds are sold through the usual commercial channels.

While in the lower classes of some varieties of certified seed at the present time there may be included also seed from natural strains, the proportion of the latter is being steadily reduced. The purpose of the various classes is to obtain the greatest bulk of good-quality seed in the “Standard" or “Permanent Pasture” class in the shortest time. Thus, while the higher grades are important to seed producers, farmers sowing for pasture purposes only need not concern themselves with other than certified “Standard" or “Permanent Pasture” seed.

20 C—LIVESTOCK

SUMMARY OF LIVESTOCK.—Detailed statistics of livestock are contained in the Report on the Farm Production Statistics issued annually by the Census and Statistics Department. This publication also contains the summary tables appearing in parliamentary paper H-23, which is devoted exclusively to a statistical analysis of the annual sheep returns. It should be noted that, unless otherwise stated, the statistics quoted in the tables in this subsection relate to holdings of 1 acre and over situated outside borough boundaries.

From the 1952–53 season onwards farming statistics have been based on a sample survey (ratio 1: 7). Undue importance should not be attached to the final digits shown, as these statistics are estimated from the sample returns and are quoted to the last unit for the sake of convenience.

The numbers of livestock of various kinds at each of the last five annual enumerations were as shown in the following table. Horses, dairy cows in milk, total cattle, sows, and total pigs are as at 31 January; sheep shorn, lambs shorn, and lambs tailed are for the season ending in the year stated; while breeding ewes and total sheep are as at 30 April for the year 1950 and 30 June for the years 1951–54.

19501951195219531954

* Includes those in boroughs and on holdings under 1 acre.

† At 30 April.

‡ At 30 June.

Horses194,877183,972173,922158,065158,280
Dairy cows in milk1,850,0891,898,1971,905,5341,962,4921,999,140
Cattle (including dairy cows)4,954,9065,060,0245,164,6895,445,9635,744,878
Sheep shorn during season31,533,23232,251,29733,901,69134,794,48935,542,836
Lambs shorn during season6,339,7097,017,9896,705,1907,111,9008,355,947
Lambs tailed during season21,169,57621,238,46121,814,02422,162,27023,594,805
Sheep (including lambs)*33,856,55834,786,38635,384,27036,192,93538,010,954
Breeding ewes*21,881,46722,638,49122,963,34023,781,37624,850,530
Pigs (total)555,245564,335565,723627,830648,902
Breeding sows74,50975,05377,74781,16287,104

In the following table the figures for livestock except for sheep are given for each land district for the 1953–54 season.

Land DistrictHorsesDairy Cows in MilkTotal CattleBreeding SowsTotal Pigs
North Auckland22,439455,886990,35122,049156,734
South Auckland30,961747,8921,623,26333,331245,730
Gisborne11,62345,118403,0002,54216,805
Hawke's Bay13,11752,377496,3102,11915,455
Taranaki9,624254,220490,9687,98159,658
Wellington24,105238,9461,005,17511,04783,406
Marlborough2,73213,94163,8948657,471
Nelson2,79232,95283,6862,13918,449
Westland1,33213,76853,4158388,344
Canterbury18,02563,610240,0372,75724,324
Otago12,08433,550134,0597935,816
Southland9,44646,880160,7206436,710
    Totals158,2801,999,1405,744,87887,104648,902

The corresponding figures for sheep are now given.

Land DistrictSheep ShornLambs ShornLambs TailedBreeding Ewes*Total Sheep*

* Includes sheep in boroughs.

North Auckland1,481,950488,682889,867925,7781,423,219
South Auckland3,866,3151,377,1682,631,0512,903,9594,201,665
Gisborne2,086,047874,4931,037,8051,242,4742,182,483
Hawke's Bay4,579,4741,600,9563,014,9613,029,6684,797,514
Taranaki1,093,778407,964701,226732,2761,128,004
Wellington7,179,3352,824,1804,561,8354,695,5327,559,260
Marlborough999,009122,465515,102644,1941,107,598
Nelson415,33148,383208,604256,981433,678
Westland88,12712,10877,19772,59090,223
Canterbury5,776,189345,2444,192,5354,444,8786,448,438
Otago4,039,569138,8752,521,5532,796,3884,429,441
Southland3,937,712115,4293,243,0693,105,8124,209,431
    Totals35,542,8368,355,94723,594,80524,850,53038,010,954

The next table shows the proportion of the various kinds of livestock in each land district. The figures reveal that the dairying and beef-production industries are both largely concentrated in the North Island, which has 87 per cent of the total cattle and 89 per cent of the dairy stock. Localizing the dairying industry still further, it is found that over half the milking cows of New Zealand are in the area comprised of the land districts of North and South Auckland. Taranaki and Wellington are practically equally important as regards the number of cows in milk; between them they account for nearly one-quarter of the total.

Taking the number of beef cows two years old and over as a guide to beef production, Wellington Land District easily leads with over one-fifth of the New Zealand total. South Auckland is second, followed by Hawke's Bay, Gisborne, and North Auckland in that order. These five districts together depasture 82 per cent of cows reserved for beef production.

Pig farming is largely an adjunct of dairy farming, and consequently the distribution of swine closely follows that of dairy cattle. Taranaki, however, which is mainly a cheese-producing district, has 12.7 per cent of New Zealand's milking cows, but only 9.2 per cent of the pigs, while Nelson, Westland, and Canterbury, which together have only 5.5 per cent of the cows in milk have 7.9 per cent of the pig population.

Sheep farming is more evenly distributed between the North and South Islands. The land districts of major importance are Wellington, Canterbury, Hawke's Bay, Otago, Southland, and South Auckland, in that order, these six districts accounting for 83 per cent of the total sheep population in 1954.

The following table shows the percentage distribution by land districts of each class of livestock.

Land DistrictDairy Cows, Two Years Old and Over (in Milk)Cows and Heifers, Two Years Old and Over (Other Than for Dairying)Total CattleBreeding SowsTotal PigsTotal HorsesSheep Shorn*Lambs Shorn*Lambs Tailed*

* Sheep shorn, lambs shorn, and Iambs tailed during 1953–54, remaining particulars for stock as at 31 January 1954.

North Auckland22.8011.1417.2425.3224.1614.184.175.853.77
South Auckland37.4118.4528.2538.2737.8719.5610.8816.4811.15
Gisborne2.2613.907.012.922.597.345.8710.474.40
Hawke's Bay2.6216.758.642.432.388.2912.8819.1612.78
Taranaki12.724.038.559.169.196.083.084.882.97
Wellington11.9521.8417.5012.6812.8515.2320.2033.8019.33
Marlborough0.701.691.110.991.151.732.811.472.18
Nelson1.651.021.462.462.841.761.170.580.89
Westland0.691.010.930.961.290.840.250.140.33
Canterbury3.184.594.183.163.7511.3916.254.1317.77
Otago1.682.512.330.910.907.6311.361.6610.69
Southland2.343.072.800.741.035.9711.081.3813.74

SHEEP.—Although the first permanent establishment of sheep took place in 1834, when a small flock of Merinos was brought from Sydney and landed on Mana Island, it was not till the early 1840's that flocks were established in the Canterbury and Wellington districts. Other districts followed soon after. These original flocks were Merinos, but experience showed that this breed was not suited to the wetter parts of the North Island. In many districts in the South Island, however, they became firmly established in the high country, where the Merino or Merino crossbred are the only sheep capable of standing up to the extremes of climate. In the following two decades a number of English breeds were imported, notably Romneys, Southdowns, Lincolns, and English and Border Leicesters. The Merino ewe furnished the foundation of the crossbred stock which made Canterbury mutton and lamb famous on the British meat markets. Towards the end of the last century systematic inbreeding of Merino-longwool half-bred sheep resulted in the evolution of the now world-known Corriedale breed. The Romney Marsh has, however, long been the most popular sheep, particularly in the North Island.

The number of breeding ewes reached a new record level of 21,881,467 in 1950, while the total number of sheep, 33,856,558, was only 118,054 below the record figure of 1945. As from 1951 the date of collection was changed from 30 April to 30 June. The change in the date of collection made it difficult to assess the relative increase in sheep numbers compared with 1950, but the actual increase between 30 April 1950 and 30 April 1951 has now been estimated at over three and a quarter millions. The 30 June 1954 figures of 24,850,530 breeding ewes and 38 010,954 total sheep establish an all-time record.

The special farming type classification made in 1949–50 as part of the World Census of Agriculture shows the following break up by regional areas of those farms where 50 per cent or more of the farm enterprise was given over to sheep. Of all the farm types this classification shows the most equal balance between the North and South Islands, though the diversity of sheep farming with other agricultural pursuits is very evident in the South Island.

The following table shows the number of sheep farms in 1949–50 by regional areas.

Regional AreaPrincipally SheepSheepOther Sheep HoldingsTotal Sheep Farms
With Beef StockWith Dry Dairy StockWith Dairy StockWith CroppingWith PoultryWith HorticultureWith Mixed Farming
No.Area
           Acres
Northland4422821234..1..141785699,643
South Auckland5421302350......101756464,330
Waikato and Hauraki Lowlands648977042..11135877399,398
Cape Colville8515185....122128117,496
Central Plateau166593413......111284265,071
Western Uplands98029748571....1111,3951,442,304
Taranaki26527793014..312439234,952
East Cape58227211366512759451,751,473
Hawke's Bay1,6191571887221149331,9872,098,902
Rangitikei1,528782211430114241,8201,616,668
Manawatu1,149394711917..23551,413709,578
Castlepoint2568..10..........274396,046
Wairarapa530223394....335636628,843
Featherston293141123......112354515,160
Nelson404342578..7134529446,117
Marlborough5681842373..130237401,785,307
Westland656412......41137197,646
North Canterbury4054..1093....64205961,323,947
Foothills2312216381..33153381,045,148
Canterbury Plains22235171292..3216426268,438
Christchurch311..12....3..3822,422
Banks Peninsula2161821832192271178,298
Mackenzie2304..523..11410281,476,035
South Canterbury1,24283127559214212562,2323,350,892
Otago6968480364373349381,640,281
Central Otago565..115403423106613,789,679
Southern2,853708309160313521523,9083,368,001
Remainder74................74177,371
    Totals, Number16,8871,7314281,3391,24549291,15140923,268..
Acreage (000)24,6212,98115149374120241,080298..30,410

In the following table sheep distribution is shown by Islands, the figures including sheep in boroughs.

YearNorth IslandSouth IslandTotal Sheep at 30 April

* As at 30 June.

194419,010,61814,189,68033,200,298
194519,215,24014,759,37233,974,612
194718,245,56114,436,23832,681,799
194818,495,54313,987,59532,483,138
194918,600,06814,244,85032,844,918
195019,131,66014,724,89833,856,558
195119,912,85814,873,52834,786,386*
195220,161,28515,222,98535,384,270*
195320,407,32415,785,61136,192,935*
195421,292,14516,718,80938,010,954*

The following table shows the number of rams, wethers, breeding ewes, dry ewes, and lambs in New Zealand for the last five years.

YearRamsWethersBreeding EwesDry EwesLambsTotals

* As at 30 June.

† Ram, ewe, and wether hoggets.

‡ Not available.

Stud Sheep (Entered in Flock Book)
195012,129 319,0776,249245,369582,824
1951*11,606 323,4715,774239,660580,511
1952*12,828 331,1805,937248,485598,430
1953 
1954 
Sheep of a Distinctive Breed but not Entered in Flock Book
1950568,697982,8436,324,524232,6642,414,33910,523,067
1951*588,243910,9774,793,956162,9121,893,5988,349,686
1952*587,5452,393,10517,804,304356,5546,522,33827,663,846
1953
1954
Crossbred Sheep
195013,8561,493,41615,237,866404,5075,601,02222,750,667
1951*21,5771,768,41517,521,064302,1706,242,96325,856,189
1952*31,713586,0514,827,85688,2431,588,1317,121,994
1953
1954
Totals
1950594,6822,476,25921,881,467643,4208,260,73033,856,558
1951*621,4262,679,39222,638,491470,8568,376,22134,786,386
1952*632,0862,979,15622,963,340450,7348,358,95435,384,270
1953*639,5502,660,76823,781,376444,6248,666,61736,192,935
1954*669,0962,719,58924,850,530428,7579,342,98238,010,954

Because of changes in the 1952 questionnaire, figures for non-stud sheep are not comparable with those for the preceding years. Sheep previously classified as crossbreds now appear under the distinctive breed where a particular strain is predominant. The figures for Romneys illustrate very markedly the effect of this change in method of classification. The statistics of breeds of sheep are now (from 1952 onwards) being collected at five-yearly intervals.

The 1952 classification of breeds shows that of the 35,384,270 sheep in New Zealand 22,378,958 (63.2 per cent) were Romneys and 7,121,994 (20.1 per cent) were crossbreds. The remainder were principally Half-bred 2,705,195, Corriedale 1,505,492, Merino 795,385, and Southdown 711,409.

The average size of the flocks was 1,008 in 1950, 1,010 in 1951, 1,008 in 1952, 1,022 in 1953, and 1,050 in 1954. The subdivision of the large estates of the pioneering days and the practice of running small flocks on dairy farms, the latter a typical feature of recent activities, has resulted in a decrease in the average size of flocks as compared with earlier days. Since the beginning of the present century, however, there has been little variation. An upward tendency was evident between 1939 and 1945, owing no doubt to the decrease in dairy stock during the war period. Decreases in 1947 and 1948 have been followed by slight rises, probably as a result of higher wool prices. A classification according to size shows the following position.

Size of Flocks19501951195219531954
1 to 1006,7536,5476,9063,8263,816
101 to 2003,0092,993
201 to 5007,0947,1047,0886,8836,728
501 to 1,0008,2318,7298,6358,7038,845
1,001 to 2,5008,9809,5569,98210,46311,136
2,501 to 5,0001,9421,9381,9571,9892,116
5,001 to 7,500384377353349362
7,501 to 10,0001071079593109
10,001 to 20,00086878910095
20,001 and over127889
      Total flocks33,58934,45235,11335,42336,209

WOOL PRODUCTION.—Although fifth in order in actual size of flocks on the latest figures available, in point of production of wool New Zealand was the second largest in the world, and also ranked second in the list of principal exporting countries. New Zealand specializes in the production and export of crossbred wool, and in this field her only serious competitors are Argentina and Uruguay. With the exception of a small annual consumption by local mills the whole of the wool produced in New Zealand is exported. The quantity on a greasy basis used by local mills prior to the war was from 7,000,000 lb. to 8,000,000 lb. per annum, but this was greatly increased during the war period. By 1946–47 the wartime demand had eased and the quantity had fallen from 17,200,000 lb. in 1943–44 to 13,400,000 lb. Except for 1951–52, when it fell to 11,000,000 lb., local consumption has remained about the 13,000,000 lb. mark, 12,600,000 lb. being used in 1952–53 and 13,500,000 lb. in 1953–54.

The following are the figures of estimated production in each of the last twelve seasons, computed on a greasy basis.

Year Ended 30 JuneEstimated Production
 lb.
1944330,000,000
1945372,000,000
1946365,000,000
1947367,000,000
1948362,000,000
1949367,000,000
1950390,000,000
1951390,000,000
1952407,000,000
1953418,000,000
1954426,000,000
1955455,000,000

An analysis of wool sold at New Zealand auctions, according to quality groups, is given in the following table.

Quality Group1949–501950–511951–521952–531953–54
BalesPercentage of Total SalesBalesPercentage of Total SalesBalesPercentage of Total SalesBalesPercentage of Total SalesBalesPercentage of Total Sales
60–64's and up15,4361.714,7911.714,1291.513,0071.414,9111.6
60's7,8180.99,6041.113,8051.510,2531.111,1071.2
58–60's, 58's, and 56–58's105,41811.8103,40311.893,26610.191,3619.990,9279.7
50–56's and 56's105,84511.9112,51312.8118,77812.8102,98711.2116,66112.5
52's77,1618.773,3118.460,3176.560,3056.655,9246.0
50's97,45311.0101,38311.6116,04412.5117,52912.8127,12213.6
48–50's140,54115.8140,56916.0134,33714.5145,75515.9166,23317.8
46–50's and 48's219,05624.6208,36423.8253,98627.4271,06629.5242,26825.9
46–48's105,77311.998,15311.2103,29611.190,8059.989,4559.6
46's and lower15,0491.714,2061.619,8102.115,5281.719,5392.1
    Totals889,550100.0876,297100.0927,768100.0918,596100.0934,147100.0

The Wool Industry Act 1944 provided for the establishment of the New Zealand Wool Board, replacing the New Zealand Wool Council established under the Wool Industry Promotion Act 1936. The Board's principal concern is the promotion of the wool industry, particularly in regard to markets, scientific and industrial research in relation to wool and sheep with a view to improvement in quality and quantity, and the discovery of new or improved methods of utilization. Specific matters in relation to which the Board may be called upon to exercise certain functions are the production, handling, pooling, appraising, storage, distribution, marketing, and disposal of wool. The Board is empowered to act in combination or association with other bodies established outside New Zealand functioning on similar lines. It is also represented on the Wool Commission established by the Wool Commission Act 1951. For the purpose of providing funds to enable the Board to carry out its functions the Act provides for a levy on all wool produced in New Zealand, the rate of the levy to be fixed each season by the Board. Originally this levy was paid entirely by the wool-growers but a 1954 amendment limits the wool-grower's contribution to 50 per cent of the levy, the remainder being paid from a fund held by the Wool Commission (making a total levy of 5s. per bale at present).

CATTLE.—The total number of cattle recorded at the enumeration of 1954 was 5,744,878, as against 5,445,963 in 1953. The figures for 1953 and 1954, grouped according to the classification in use, were as follows:

 19531954
Dairy stock—  
  Breeding bulls, two years old and over63,27162,569
  Cows and heifers, two years old and over—  
   Cows in milk during season1,962,4921,999,140
   Heifers not yet in milk72,32074,576
   Cows not in milk during season, but intended to be used again for dairying 43,15949,236
  Heifers—  
   One and under two years old358,524399,675
   Under one year old428,314482,524
  Bulls and bull calves under two years old to be used for breeding purposes39,58142,704
    Totals, dairy stock2,967,6613,110,424
Beef stock—  
  Breeding bulls, two years old and over26,62128,373
  Cows and heifers, two years old and over961,6291,009,354
  Heifers—  
   One and under two years old227,442250,598
   Under one year old257,565278,338
  Steers, two years old and over495,825508,754
  Steers and bulls—  
   One and under two years old233,093255,559
   Under one year old276,127303,478
    Totals, beef stock2,478,3022,634,454
    Totals, cattle5,445,9635,744,878

For some time prior to 1933 the development of the beef breeds was somewhat checked, partly owing to the advance taking place in dairying operations and partly through the difficulties of competing with other countries in the British market; but the successful inauguration of chilled beef shipments to the London market led to a marked increase in beef animals. Although the wartime arrangement for the purchase by the United Kingdom Government of New Zealand meat available for export did not include chilled beef, the schedule of prices was so framed that the producers of animals of the type required for the chilled beef trade would not suffer on account of the temporary cessation of the industry. A condition of the long-term contract for the purchase of meat by the United Kingdom Government was that the chilled beef trade was to be progressively resumed as and when the shipping position permitted. Trial shipments were made in 1952 and 1953, while larger scale shipments again commenced in 1954.

Up to 1935 the breeding of dairy cattle made great progress in New Zealand. From then on, up to 1947, with the exception of 1941, when a slight increase was recorded, a series of successive decreases was experienced in the number of cows in milk. In each of the succeeding seven years substantial increases took place, the total for 1954 (1,999,140) being 36,698 above the previous highest figure of 1,962,492 recorded in 1953.

The following table shows the number of holdings with dairy cows in milk, grouped according to size of herd in milk, for the years 1947 to 1949, 1951, and 1952. Similar information for 1950, 1953, and 1954 is not available. The figures relate to holdings of 1 acre and over situated outside borough boundaries.

YearNumber of Cows in MilkTotal Holdings With Cows in Milk
1–910–1920–2930–3940–4950–5960–6970–7980–8990–99100 and Over
194732,0655,1355,4995,9474,8763,5222,7621,9461,3148141,89165,771
194832,3884,7865,2985,8105,1383,7452,8992,0161,4138782,03566,406
194931,8214,7525,0975,8275,1943,8633,1002,0431,4849432,06466,188
195132,1984,5584,8365,7455,3814,4223,5432,3751,6791,0862,44268,265
195232,2234,3664,5365,5275,2454,4383,6652,5121,7261,1052,53267,875

Analysing those farm holdings where 50 per cent or more of the enterprise is devoted to dairying, the North Island predominates with 84 per cent of dairy farms. The following table shows the number of dairy farms in 1949–50 by regional areas.

Regional AreaPrincipally DairyingDairyingDry Dairy Cows and Heifers OnlyOther Dairy HoldingsTotal Dairy Farms
With SheepWith CroppingWith Beef StockWith PoultryWith PigsWith BeesWith HorticultureWith Mixed Farming
No.Area
             Acres
Northland6,815154..2358142375514877,3131,485,711
South Auckland3,16511214335..192613183,504395,319
Waikato and Hauraki Lowlands6,544193..4720..73911846,936967,162
Cape Colville78727..14I..2126 849192,907
Central Plateau2,065651 1811123403932,266439,416
Western Uplands907184..2..5..5301331,149284,159
Taranaki3,71377..11715..12312343,974514,993
East Cape9156513..44328381821,108150,572
Hawke's Bay594781196111218973987,371
Rangitikei1,0241878153..4171311,263181,504
Manawatu2,7161786..111019193642,990335,070
Castlepoint157....1............235,403
Wairarapa55672....571..1163661117,093
Featherston42241....55..1312..489131,792
Nelson817994457..30351121,014277,251
Marlborough324305..13....195639375,858
Westland34519..9163..178..408177,268
North Canterbury3231..1......11..392,625
Foothills50126..6..1..4318313,908
Canterbury Plains5261991..1212115111372775,155
Christchurch223519133..344627120,697
Banks Peninsula145361..11....41319336,125
Mackenzie831....1..........131,612
South Canterbury635755723914423981088572,107
Otago43958101121..2179955870,880
Central Otago6881........141..8311,777
Southern1,29542325111112701151,836295,814
Remainder3....................3138
    Totals, Number35,1482,23022859309165181685887649339,770..
Acreage (000)5,190805242821231122247418..6,420

A similar analysis for beef-cattle farms shows that the North Island contributed 65 per cent of the New Zealand total for this type of farming. The following table shows the number of beef-cattle farms in 1949–50 by regional areas.

Regional AreaPrincipally Beef-cattleBeef-cattleOther Beef-cattle HoldingsTotal Beef-cattle Farms
With SheepWith DairyingWith Arable CroppingWith Mixed FarmingNo.Area

* Not available separately. Areas are included in the total.

        Acres
Northland245673..411330184,825
South Auckland69102..148622,133
Waikato and Hauraki Lowlands716....148220,956
Cape Colville2431..233320,249
Central Plateau30111....24461,313
Western Uplands44132....16027,844
Taranaki161......4222,287
East Cape1591......2528,458
Hawke's Bay287........3520,483
Rangitikei2241..112911,599
Manawatu363....114111,181
Castlepoint1..........1*
Wairarapa5..........52,352
Featherston8..........83,692
Nelson638......47539,130
Marlborough81........9462,507
Westland108443..4..159398,477
North Canterbury3..........3212,855
Foothills1..........1*
Canterbury Plains14..........143,676
Christchurch9........1101,294
Banks Peninsula72........94,569
Mackenzie1..........1*
South Canterbury291..1....315,946
Otago274111..3416,663
Central Otago21........3106,677
Southland59202..218431,688
Remainder7..........7539
    Totals, Number95221517218371,241..
Acreage1,389,252286,1586,15337412,80210,565..1,705,304

Most of the leading breeds of the cattle of Great Britain are represented in New Zealand by herds bred on sound lines. Provision was made in the 1950 Census of Agriculture for the collection of breeds of cattle, the first collection of this nature since 1928. Details of breeds are given on pages 488 and 489 of the 1954 issue of the Year-Book. Dairy stock in New Zealand in 1950 was predominantly of Jersey breed (84.7 per cent), while the beef stock breeds were mainly Polled Angus (66.7 per cent), Hereford (21.9 per cent), and Shorthorn (7.1 per cent).

DAIRY PRODUCE.—The Dairy Industry Act 1908 (a consolidation of previous legislation), with its amendments, may in general terms be described as an Act to regulate the production, collection, treatment, preparation, and manufacture, under proper sanitary conditions, of dairy produce—i.e., milk, cream, butter, cheese, and any other product of milk or cream—intended for sale for human consumption within New Zealand or for export.

Inspectors are empowered to inspect premises used for the production or manufacture of dairy produce. Any defects affecting the cleanliness and sanitation of the premises, or of the plant, machinery, and apparatus used in connection therewith, may be ordered to be remedied to the satisfaction of the inspector, and until so remedied their use in the production of dairy-produce may be forbidden. Inspectors are authorized to condemn any dairy produce considered unfit for human consumption, and the sale of unwholesome milk or other dairy produce is prohibited.

Milk or cream purchased for the manufacture of dairy produce and paid for according to the percentage of butterfat contained therein must have this percentage determined by the Babcock or the Gerber test. Dairy factories are required by regulations under the Act to pay different prices for different grades of milk or cream supplied for the manufacture of dairy produce. Factories are also required to furnish to suppliers a certified annual statement of overrun, and provision is made for an independent investigation by the Audit Department where a supplier is dissatisfied with the statement received.

Dairy produce intended for export must be sound and wholesome in all respects, and must comply with the requirements of the Act as to inspection, grading, and marking. The export of butter containing more than 16 per cent of water or less than 80 per cent of butterfat is prohibited. The export of cheese of which the water-free substance consists of less than 50 per cent of fats wholly derived from milk is also illegal.

Wide powers are conferred to make regulations prescribing matters of detail with regard to the production, manufacture, sale, and export of dairy produce. In particular, regulations may be made for the registration of dairies, the licensing of persons carrying on the manufacture of dairy produce, the registration of brands to be used on dairy produce, and for the inspection, grading, packing, marking, stamping, and labelling of dairy produce.

The Co-operative Dairy Companies Act 1949, which replaced similar legislation contained in the Dairy Industry Act 1908 and its amendments, provides for the registration of co-operative dairy companies. No dairy company may include in its registered name the word “co-operative" unless it is entitled to be registered as a co-operative dairy company under the Act. A company registered under the Act is authorized to accept or to compel the surrender of shares issued in certain cases, subject to the rights of shareholders being safeguarded. This refers mainly to shareholders who have ceased to supply milk, cream, or butterfat to the company for a specified period. The Act provides for the establishment of the Co-operative Dairy Companies Tribunal of three members, the functions of which are to fix the fair value of shares surrendered in cases where the company and the shareholder are unable to agree as to the value of the surrendered shares and to fix the terms of repayment by the company.

Production of Dairy Produce.—The quantity of butterfat produced during the 1953–54 dairy season is estimated to have been 500 million pounds, 39 million pounds, or 7 per cent, less than the previous season's production (539 million pounds) and 5 million pounds less than the production recorded in 1951–52 (505 million pounds). In 1953–54 dairy factories used 435 million pounds of butterfat in the manufacture of butter, cheese, and other milk products, a decrease of 37 million pounds when compared with the amount (472 million pounds) used in 1952–53.

Because of unfavourable weather, the average butterfat content of milk was slightly less than in the previous season (4.56 per cent in 1953–54, and 4.59 per cent in 1952–53), with a consequent further reduction in the butterfat production per cow, which is computed at 248 pounds in 1953–54, that is, 26 pounds less than in 1952–53.

Variations over the last eleven years in total butterfat production, including estimates for butterfat in milk and cream sold for human consumption, used and lost on farms, etc., are shown hereunder. The table also gives the number of dairy cows recorded as in milk, on farms of 1 acre or more outside borough boundaries, and estimates of the average butterfat production per cow “at the pail”, this estimate being based on data concerning tested herds.

YearTotal ButterfatDairy Cows in MilkAverage Production Per Cow

* Provisional.

 Million lb.(000)lb.
1943–443871,648232
1944–454321,679254
1945–463731,662222
1946–474081,658243
1947–484181,714241
1948–494571,747259
1949–504711,850252
1950–514971,898260
1951–525051,906263
1952–535391,962274
1953–54500*1,999248*

The next table shows the estimated production and disposal of butterfat during each of the last five seasons.

1949–501950–511951–521952–531953–54*

* Provisional.

† Including residual fat in skim milk from home separation.

Million lb.
Butterfat used in—     
  Creamery buttermaking304.7328.3346.8363.5333.4
  Cheesemaking93.996.684.695.992.6
  Other milk products8.37.89012.98.8
      Total used in manufacture406.9432.7440.4472.3434.8
Human consumption—     
  Milk and cream as such and for manufacture of ice-cream40.441.041.942.741.6
  Farm butter5.74.94.13.73.3
Fed to stock13.013.713.514.715.5
Wastage4.75.05.15.350
      Total production470.7497.3505.0538.7500.2

Changes in the usage of butterfat in dairy factories over recent years are indicated by the percentages in the following table.

Percentage of Total Butterfat
1949–501950–511951–521952–531953–54
Butterfat received into factories from farms and used for—     
Buttermaking74.975.978.877.076.7
Cheesemaking23.122.319.220.321.3
Condensed and dried milk, etc.2.01.82.02.72.0
    Totals100.0100.0100.0100.0100.0

The manufacture of butter and cheese was reduced from that recorded in 1952–53, creamery butter by 8 per cent and cheese by 4 per cent, while production of condensed and powdered whole milk declined sharply (40 per cent) as a result both of weather conditions and curtailment of markets, but increases occurred in the manufacture of skim milk powder (3 per cent), buttermilk powder (15 per cent), and casein (17 per cent).

Production by dairy factories during the last five seasons is set out in the following table.

1949–501950–511951–521952–531953–54
Tons (000)
Creamery butter165.8178.6188.7197.3180.7
Whey butter3.03.12.83.13.1
Cheese105.4108.595.7107.7103.3
Condensed and powdered whole milk23.923.522.928.316.9
Skim-milk powder20.226.731.838.739.8
Buttermilk powder4.07.47.15.46.2
Casein5.36.69.57.18.3

The actual increases in the volume of production are shown in the next table, in which the above details are converted to an index based on the 1947–48 season (=100).

1949–501950–511951–521952–531953–54
Butterfat113119121129120
Creamery butter111119126132121
Whey butter120124112124124
Cheese122126111125120
Condensed and powdered whole milk12111911614385
Skim-milk powder166219261316325
Buttermilk powder308569546415476
Casein118147211158185

The following diagram shows the progress of the dairy industry during the last forty-seven years, and also illustrates the disparity between the growth in the number of dairy cows and that of pigs.

New Zealand's paramount position in the supply of butter, cheese, and milk powder to the United Kingdom market is illustrated in the following table, showing imports into the United Kingdom, by country of export.

Country (of Export)ButterCheeseMilk Powder (Unsweetened)
195219531952195319521953
Cwt. (000)Per CentCwt. (000)Per CentCwt. (000)Per CentCwt. (000)Per CentCwt. (000)Per CentCwt. (000)Per Cent
New Zealand2,97057.32,62046.51,69962.11,82262.456166082468.5
Australia2785.45519.829810.935112017620.732326.9
Canada............1274.3........
Other Commonwealth countries and Republic of Ireland110.2....260.9120.4435.1363.0
Denmark1,73933.52,07436.831111.42508.6........
Netherlands1152.22404.22398.72137.3242.8....
Sweden........3011461.6........
France........210.8160.5........
Switzerland........391.4220.8........
Italy........361.3240.8........
Other countries721.41542.7381.4381.3465.4191.6
    Totals5,185100.05,639100.02,737100.02,921100.0850100.01,202100.0

PIGS.—For some years prior to 1937 a quickening of interest in pig production as an adjunct to dairy farming raised pig numbers considerably above those noted previously, culminating in the record figure of 808,463 in 1936. Subsequent years showed substantial decreases in the number of pigs, although over the last six years the figures have shown a rising trend. The 1954 figure of 648,902 shows a decrease of 159,561, or 20 per cent, as compared with the peak figure of 1936.

As at 31 JanuaryPigs Under Six Months OldPigs Six Months and Under One Year OldBoars One Year Old and OverSows One Year Old and OverTotal Pigs
1950352,708113,84314,18574,509555,245
1951349,509125,88313,89075,053564,335
1952351,921122,13913,91677,747565,723
1953392,872138,99414,80281,162627,830
1954417,992129,03114,77587,104648,902

Particulars as to pig breeds were collected in 1950, the first time a collection of this nature had been carried out since 1928. Details of breeds based on the 1950 collection are given on page 493 of the 1954 issue of the Year-Book. The principal distinctive breeds were Berkshire (6.6 per cent) and Tamworth (5.5 per cent), but over 80 per cent of the pigs in New Zealand were crossbreds.

LIVESTOCK SLAUGHTERING.—The following table shows the numbers of the different classes of livestock slaughtered for food during each of the last eleven September years. The figures are for total killings—i.e., they include export works, abattoirs, rural slaughterhouses, and an allowance for killings on farms.

LIVESTOCK SLAUGHTERINGS (000 CARCASES)

Year Ended 30 SeptemberSheepLambsCattleCalvesPigs

* Provisional.

19444,84611,096632968727
19454,79011,159671973675
19465,41612,3246941,037656
19475,03611,8087281,084633
19484,64512,3757121,174638
19494,83012,3746621,204674
19505,00012,7956931,275677
19514,43311,6946921,311707
19525,92512,4157431,311685
19535,54312,3006481,235741
1954*5,46713,3247801,326760

Sheep and Lambs.—As the United Kingdom takes the great bulk of the mutton and lamb exported from New Zealand it is interesting to note the extent to which New Zealand contributes to this market in comparison with importations from other countries.

In the calendar year 1938 New Zealand supplied 63 per cent of the total frozen mutton imported into the United Kingdom and 50 per cent of the total imports of frozen lamb. Australia, the next largest supplier in 1938, contributed 23 per cent of mutton imports and 29 per cent of lamb imports, while Argentina, which ranked third on the list, supplied 6 per cent and 15 per cent respectively.

That New Zealand has more than maintained her position in this connection in the post-war years is evidenced by the figures for 1952, when New Zealand supplied 79 per cent of frozen mutton and Iamb imported into the United Kingdom, whereas the proportions supplied by other countries were: Australia 5 and Argentina 13 per cent respectively.

Cattle.—New Zealand's frozen beef competes under difficulties with chilled and fresh beef from countries nearer the United Kingdom, with the consequence that the New Zealand share of the United Kingdom's beef imports has been relatively small. However, prospects for expansion brightened considerably when several trial shipments of New Zealand chilled beef were despatched to England in 1933. The experiments proved very successful, and were followed by larger shipments, the quantity shipped in 1938 being 350,606 cwt. During the first nine months of 1939, 311,112 cwt. were exported, but with the outbreak of war the necessity for conserving shipping space resulted in the temporary cessation of the chilled beef industry. The first post-war consignment in the form of a small experimental shipment was made in 1952, followed by further trial shipments in 1953. During 1954 shipments of New Zealand chilled beef amounted to 144,997 cwt. The development of the export trade in chilled beef, however, has not been made at the expense of frozen beef.

During the war period a considerably greater proportion of beef exports was shipped in boneless form in order to conserve shipping space, and this practice was continued into the immediate postwar years. Also much greater quantities were exported in canned form. Consequently, it is not possible to give an exact comparison over these years. In 1953 New Zealand supplied approximately 10 per cent of the United Kingdom's total imports of beef, as compared with only 7 per cent in 1938.

Pigs.—As in the case of other frozen meats, New Zealand pork in normal times is shipped almost exclusively to the United Kingdom.

In international trade, exports of bacon far exceed those of other pig products, with the United Kingdom normally absorbing most of the exports of other countries. Although New Zealand supplies a substantial proportion of the imports of frozen and chilled pork into the United Kingdom, her contributions of bacon are negligible. It should be mentioned, however, that the major portion of the carcases imported from New Zealand are “baconers,” the curing process being carried out in the United Kingdom.

Calves.—Prior to the outbreak of the recent war, veal production was displaying evidence of rapid development, and exports of veal had increased appreciably, mainly as a result of the expansion of the “bobby-calf" trade.

The term “bobby calf” is defined by regulations as being “all calves that have a live weight of less than 100 lb.”

Meat Production and Disposal.—Meat production for the seasons ended September 1954 and 1953 shows the total carcase weight of meat to be 588,600 and 578,000 tons respectively, as against the record total of 602,200 tons reached in 1951–52. In the tables which follow carcase meat is shown at bone-in weight.

Total Production, 1952–53Disposals, 1952–53.
 Exports to United KingdomOther Exports and Overseas Ships' StoresFor CanningLocal Consumption
 TonsPer CentTonsTonsTonsTons
Beef161,30029.036,9347,86623,46993,031
Veal20,7003.71,4138,8285,9084,551
Mutton145,00026.175,3887,8201,83359,959
Lamb187,50033.8176,0852,654..8,761
Pig meat—      
  Pork13,3217.46,643521..6,157
  Bacon and ham25,7078,4194,472..12,816
  Chopper1,972..3892791,304
      Total carcase meat555,500100.0304,88232,55031,489186,579
    Edible offal22,500..10,8844563,0008,160
    Grand totals578,000..315,76633,00634,489194,739

Exports to the United Kingdom are as supplied by the New Zealand Meat Producers Board, and relate only to meat shipped on contract to the United Kingdom Ministry of Food for the years given. It should be noted, however, that the figures include 666 tons of mutton subsequently diverted to Western Germany and 858 tons of lamb to Canada. In addition, nearly 22,000 tons of canned and pickled meats, and 5,500 tons of frozen meat, mainly beef, went to the United Kingdom under open general licence.

The next table shows total New Zealand meat production and exports to the United Kingdom under Ministry of Food contract for the three September years 1950–51 to 1952–53.

Total ProductionExports to United Kingdom (Under United Kingdom Ministry of Food Contract)
1950–511951–521952–531950–511951–521952–53
Tons (000)
Beef159.1173.2161.342.044.036.9
Veal18.118.920.710.42.31.4
Mutton109.3153.7145.051.086.475.4
Lamb183.1194.1187.5172.6182.6176.1
Pig meat—      
  Pork11.412.613.33.11.96.7
  Bacon and ham25.424.425.77.65.68.4
  Chopper2.21.92.0......
   Total carcase meat508.6578.8555.5286.7322.8304.9
   Edible offal21.423.422.510.311.710.9
   Total production530.0602.2578.0......
   Canned meat (carcase weight equivalent)2.12.1..
   Total exports under United Kingdom Ministry of Food contract299.1336.6315.8
   Percentage of total production56.455.954.6

Meat consumed in New Zealand during 1952–53 accounted for 33.7 per cent of total production, the total per capita consumption showing a drop of approximately 6.6 per cent on the previous year's figure, caused by a fall in the consumption of beef and pig meats. Local consumption in 1953–54 amounted to 205,900 tons, compared with 194,700 tons in 1952–53, 203,000 tons in 1951–52, and 205,400 tons in 1950–51.

A summary of meat production and local consumption is set out below, together with quarterly estimates. The 1954 figures reveal a decline in production and consumption of approximately 5 per cent.

Total Production (Estimated) (Bone-in Weights)
BeefVealMuttonLambPig MeatsOffalTotal
Year ended 30 September—Tons (000)
  1950164.221.2131.2200.638.921.3577.4
  1951159.118.1109.3183.139.021.4530.0
  1952173.218.9153.7194.138.923.4602.2
  1953161.320.7145.0187.541.022.5578.0
  1954178.120.7129.4198.437.724.2588.6
Quarter ended—       
  1951—December25.12.916.423.610.83.882.6
  1952—March40.91.178.7118.715.79.4264.5
  June72.21.843.449.710.86.2184.1
  September35.013.115.22.11.64.071.0
  December25.03.118.718.411.53.079.7
  1953—March39.01.272.4105.316.39.4243.6
  June68.11.738.961.59.77.2187.1
  September29.214.715.02.33.52.967.6
  December28.46.320.532.89.23.5100.7
  1954—March46.83.955.7113.111.88.6239.9
  June60.42.435.149.69.36.5163.3
  September42.58.118.12.97.45.684.6
Consumption in New Zealand (Bone-in Weights)
BeefVealMuttonLambPig MeatsOffalTotal
Year ended 30 September—Tons (000)
  195092.04.954.37.727.78.3194.9
  195199.54.955.49.627.58.5205.4
  195297.25.158.69.324.38.5203.0
  195393.04.660.08.820.38.2194.7
  195495.55.462.17.925.49.6205.9
Quarter ended—       
  1951—December24.41.214.43.06.61.851.4
  1952—March23.51.314.12.56.52.150.0
  June25.31.514.72.25.92.452.0
  September24.01.115.41.65.32.249.6
  December21.61.015.22.65.41.947.7
  1953—March22.91.213.82.25.51.847.3
  June24.01.315.52.14.92.350.1
  September24.51.115.51.94.52.249.6
  December21.91.114.92.86.31.848.8
  1954—March22.81.415.32.07.32.251.0
  June25.61.616.41.86.12.654.0
  September25.21.415.51.45.63.052.1

NOTE.—In some cases consumption may exceed production for the period, the balance being drawn from stocks in store.

The following table shows the imports of meat into the United Kingdom for the year ended 31 December 1953, by country of export.

CountryBeefMutton and LambPig MeatOther MeatTotal, All Meat and Meat Products
(000) Cwt.Per Cent(000) Cwt.Per Cent(000) Cwt.Per Cent(000) Cwt.Per Cent(000) Cwt.Per Cent

* Classified in totals above.

New Zealand88110.45,01167.12533.1....6,36624.5
Australia3,67143.41,20616.2971.21699.05,66921.8
Canada3744.460.15777.122411.9730.3
Other British countries and Republic of Ireland11,8417.1
British whale fisheries................970.4
Denmark........4,63356.61869.94,95519.1
Argentina2,18325.886411.61531.9....3,36412.9
Poland........1,18414.5....1,2234.7
Netherlands........82910.11477.81,0884.2
Uruguay6407.61001.3........7883.0
Sweden................1140.4
Germany........740.9....850.3
France........3..361.9730.3
Belgium........280.320.1400.2
Paraguay220.3............260.1
Brazil80.1............240.1
United States of America................2 
Other countries................1640.6
Not classified6788.02793.73544.31,12059.4**
    Totals8,457100.07,466100.08,185100.01,884100.025,992100.0

The important part played by New Zealand in the supply of meat to the United Kingdom is shown in the above table, this country being the leading individual supplier, accounting in 1953 for 671 per cent of the mutton and lamb and 24.5 per cent of total meat products. Corresponding figures for 1952 were 78.9 per cent and 32.3 per cent respectively.

HORSES.—The following table gives the number of horses in each class shown, excluding horses in boroughs, figures for which are not available.

19501951195219531954
Draught and three-quarter draught71,59365,90157,434158,065158,280
Spring cart (including half-draught)26,24422,54120,300
Hacks and light working horses76,82975,31874,530
Thoroughbred and other horses20,21120,21221,658
      Total horses194,877183,972173,922158,065158,280

Since 1911, when the peak number of 404,284 was recorded, there had been up to 1953, with two minor interruptions, a continuous decline in the number of horses in New Zealand. The two interruptions referred to occurred in the years 1916–18 and 1936–38, wherein slight increases were recorded. The greater part of the decrease has occurred in draught and three-quarter draught animals, the numbers of which fell from 118,054 in 1942 to 57,434 in 1952, while those described as spring cart (including half-draught) horses fell from 44,586 to 20,300. This decline in the numbers of horses of the heavy type has been accompanied by a marked increase in the use of mechanical traction for farm work, the number of agricultural tractors on farms in 1952 being 45,734, as compared with 13,967 in 1942. In 1953 the total number of horses further declined to 158,065, although a slight increase was shown in 1954, while agricultural tractors increased to 55,623 by 1954. This subject is discussed in more detail in Section 20A.

Hacks and light working horses have decreased to a much lesser extent over the period; in fact, mainly as the result of an increase of over 3,000 in 1950, the number for that year was the highest since 1938, but numbers have since receded slightly. The class described as “thoroughbred and other” fell away considerably during the war and early post-war years, but increases were recorded in the years 1948–52.

POULTRY.—A census of poultry has been an ancillary inquiry associated with the census of population from 1861 onwards, with the exception of the censuses of 1896 and 1901. Until 1936, however, poultry kept by Maori households had not been brought within the ambit of the census. The extension of the inquiry to Maori households in 1936 furnished probably the first statistics in existence on this subject. The total poultry flocks of the Maoris, however, are small (91,976 in 1945 and 107,361 in 1936), and their omission from earlier censuses does not appear to have been of significance.

The following table shows the numbers recorded at the last six censuses. All references to fowls, ducks, etc., are intended to cover both male and female birds.

CensusNumber of Households Keeping Fowls, Ducks, Geese, or TurkeysTotal Number of Fowls, Ducks, Geese, or TurkeysFowlsDucksGeeseTurkeys

* Excluding Maori flocks.

† Including Maori flocks.

October 1916134,2343,465,6383,141,354220,80846,95556,521
April 1921145,9933,991,0093,491,567379,98846,23473,220
April 1926158,8563,781,1453,308,384352,03043,87976,852
March 1936*159,0983,911,7153,415,793351,60861,41882,896
March 1936166,3544,019,0763,488,516377,79166,66786,102
September 1945*152,2294,378,3904,006,780298,39937,66135,550
September 1945159,3334,470,3664,070,683319,91841,90337,862
April 1951180,7234,199,5903,829,481260,65958,47450,976

The comparability of the foregoing figures is affected by two important considerations, the first being that the 1951 figures include only birds aged four months or over, while the 1945 figures cover birds of all ages. The second factor is that the censuses of 1916 and 1945 were taken in the spring, whereas the other censuses were taken in the autumn. Poultry numbers are subject to considerable seasonal fluctuations, the main breeding season being in the early spring, when there would be considerable numbers of young chickens included in the figures, whereas in the autumn the culling of old birds would have been more or less completed.

Number and Size of Flocks.—Although poultry farming is regarded as a definite branch of the farming industry, a classification as to sizes of flocks indicates that poultry keeping is generally carried on merely as a sideline. The 180,723 households recorded as keeping poultry at the 1951 census show an increase of 13.4 per cent as compared with the 1945 census. Taking only fowls into consideration, it is found that 89.5 per cent of households keeping poultry had less than twenty-five birds, the corresponding percentage in 1945 being 83.8. In 15,535 cases in 1951 the number of birds ranged from 25 to 99, making a total of 174,704 cases, or 98.2 per cent, in which the flocks consisted of less than 100 birds.

Of 366 flocks in which the number of birds was 1,000 or over, 284 ranged from 1,000 to 1,999, 62 from 2,000 to 2,999, 11 from 3,000 to 3,999, and 9 exceeded 4,000. In 1945 the number of flocks of 1,000 or over amounted to 490, but here, as elsewhere, the remarks concerning seasonal fluctuations in poultry numbers made earlier should be taken into consideration. The larger flocks at the time of the 1945 census would be unduly swollen by the inclusion of young chickens held for sale, this being the source from which the small or “backyard" poultry keeper mainly obtains his flock. The average flock in rural districts was 26.3, in urban districts 14.7, and in New Zealand as a whole 21.5 birds.

Poultry Control.—The Poultry Act 1924 provides for the regulating of poultry keeping and of the sale and export of poultry and eggs. Provision is made for the appointment of inspectors, on whom certain powers of entry are conferred for purposes of inspection of poultry or of eggs intended for sale or export. Poultry are required to be kept under sanitary conditions, and cruelty to poultry is made an offence. Every owner of poultry is required to notify an inspector of any outbreak of disease among his flock and to comply with the inspector's directions. It is an offence to sell diseased poultry. The Governor-General in Council is empowered to declare diseases, to appoint ports of export, and to appoint grading stores.

The Egg Marketing Authority Regulations 1953 transferred to the Egg Marketing Authority the power to regulate and control the marketing and distribution of eggs and egg pulp in substantially the same manner and extent as those powers were exercisable by the Minister and the Department of Agriculture under the Egg Marketing Regulations 1951.

The Egg Marketing Authority consists of seven members—four producer members of the New Zealand Poultry Board and three Government representatives.

The principal function of the Authority is to regulate and control the marketing and distribution of eggs and egg products in New Zealand and elsewhere, in accordance with the regulations, to ensure as far as possible sufficient supplies of eggs and their equitable distribution in the general interests of producers and consumers.

In order to provide finance for the organization and development of the poultry industry, the Poultry-runs Registration Act was passed in 1933. The Act makes compulsory the annual registration of every poultry run, which is defined as land used for the keeping of not less than twenty-five head of poultry (hens and ducks not less than six months old) and the production of eggs for sale. The fee payable annually for registration is 2s. 6d. if the flock is in excess of twenty-four but does not exceed one hundred head. For each additional hundred (or part thereof) an additional 2s. 6d. is payable. A Board is constituted for the administration of the Act. Figures supplied by the Board show that the number of poultry runs registered at 31 May 1954 was 6,890, covering an aggregate of 1,329,720 birds.

BEES.—The rich dairy pastures of New Zealand and other localities where cattle raising is carried on extensively are particularly favourable for apiculture and the production of high-grade honey for the local and export markets; thus the North Island, which contains 87 per cent of the cattle population, accounts for 62 per cent of the total apiaries. The export trade is, of course, small when compared with the main primary industries, but is capable of considerable development. It is estimated that the total production of honey during a favourable season in New Zealand is 75 lb. surplus per hive, amounting to 6,400 tons, based on the present registered apiary holdings. The estimated production in commercial and domestic apiaries for the year ended 31 March 1953 was 3,900 tons of honey and 136,500 lb. of commercial beeswax, a decrease of 100 tons of honey but an increase of some 19,500 lb. of beeswax on the previous year's production.

Registrations under the Apiaries Act show that as at 30 June 1953 (latest available figures) there were 6,568 beekeepers with a total of 12,530 apiaries and 191,553 established hives. Following is a summary of these registrations showing beekeepers in groups according to the number of hives kept.

Group1–5 Hives6–20 Hives21–50 Hives51 Hives and Over
Beekeepers4,2601,382374552
Apiaries4,3421,6526785,858
Hives established9,44014,73712,496154,880

Under the Apiaries Act 1927 stringent regulations have been enacted in order to control foul-brood, bee moths, and other diseases of bees. Beekeepers are required to register all apiaries of one or more hives, and it is an offence to keep bees in an unregistered apiary. Only frame hives may be used, box hives being prohibited.

The introduction into New Zealand of bees, and used appliances for the keeping of bees and the harvesting of their products, is prohibited save with the prior consent of the Minister of Agriculture. The consent of the Minister in regard to used appliances is restricted to such appliances as are necessary to serve as containers for bees so introduced.

Exports of honey for the last five years are given below.

 QuantityValue
Yearlb.£
1949157,2627,769
1950852,97241,958
1951751,28034,994
1952885,59843,412
19531,115,59557,980

The Honey Marketing Authority Regulations 1953 established the Honey Marketing Authority which undertakes the task of packing and marketing honey within New Zealand and overseas, hitherto carried out by the Marketing Division of the Department of Agriculture under the supervision of the Honey Marketing Committee.

There was previously in existence a Honey Export Control Board, set up in 1924, the powers of which were assumed by the Minister of Marketing in 1938. The same year regulations were brought down to provide for a levy at the rate of ½d. per pound on honey sold by beekeepers within New Zealand, subject to certain small exceptions. At a later date regulations under the Marketing Act set up the Honey Marketing Committee which at first was advisory, but some years ago was given virtually executive powers. The latest regulations, made under the Primary Products Marketing Act 1953, now amalgamate all the foregoing provisions and provide for a Honey Marketing Authority, which assumes control of honey for export and either directly or through agents operates the blending plant at Auckland. The levy referred to above was continued at the rate of 1d. per pound, and the fund so obtained is administered by the Honey Marketing Authority for the benefit of the industry in general. The greater part of the funds hitherto obtained from this levy have been applied to subsidizing the return received by those whose honey has been exported through the Honey Marketing Committee.

The Authority comprises four members elected by beekeepers, one appointed by the National Beekeepers' Association (Incorporated), and one member appointed by the Government to watch the interests of the consumer.

Chapter 21. SECTION 21—FORESTRY

Table of Contents

NATIONAL FOREST POLICY.—The forest policy is essentially one of conservation and expansion—conservation of the indigenous forests for the threefold purpose of erosion control, maintenance of amenity values, and timber production; and expansion of the exotic forests to enable the conservation of the indigenous forests and provide an additional timber supply. Only by the multiple use of both upland and lowland forests for the preservation of their timber productivity and for the maintenance of their protective, scenic, and recreational values can the objective of the national forest policy be achieved. This objective is that the public should enjoy to the full those economic and social benefits which forests alone can confer.

The salient features of the timber-supply situation are—

  1. Most of the remaining virgin forests are overmature, with new growth being offset by decay and natural deaths.

  2. The podocarp forests (which supply most of New Zealand's general-purpose indigenous timber) regenerate only with difficulty and grow very slowly. The kauri forests regenerate more easily and grow faster than the podocarp, but even then they are slow growing; the beech forests, which establish themselves more readily, grow very much faster than either the podocarp or kauri forests.

  3. Current timber demands are depleting the virgin indigenous forests at such a rate that without other provision being made New Zealand would soon be faced with a permanent timber famine and would have to rely entirely on imports.

  4. The establishment of exotic forests to supplement and in a large measure to replace the indigenous forests is thus essential to the future well-being of the country.

  5. Fortunately, New Zealand is endowed with a climate which is particularly favourable to the development of several valuable exotic softwood species. Moreover, there are large areas of land which are marginal for agriculture (or in the past have been so considered) but which are entirely suitable for tree growth.

  6. So favourable are the climatic and soil factors in New Zealand that exotic softwood forests can be grown more quickly and hence more cheaply than in most other countries of the world. As a result New Zealand can look forward confidently to the development of its export trade in timber, woodpulp, newsprint, and other forest products.

FOREST RESOURCES: General.—Most of New Zealand was acquired by the Crown during the early days of settlement, apart from limited areas purchased privately from the Maoris; some land, mostly in the North Island, remained as Maori land. Subsequently the Crown granted freehold and leasehold titles of much tussock grassland country and of accessible forest areas, but it kept in reserve substantial forest areas for future settlement and for timber supplies. Because of the mountainous nature of the country—three-quarters of the land surface lies above the 650-foot contour—and the limited farmable areas therefore available, the lowland and montane country was quickly cleared of forest under this system of settlement. The main mountain areas, however, remained forested, and before they could be deforested to any extent the shortage of indigenous timber reserves became apparent and the dangers of erosion began to show on the steep country that had been cleared. Many of these areas were, therefore, made State forests quite early—this term being used for the first time under the Forests Act of 1874—and upon the formation of the State Forest Service in 1919 were administered by the Forest Service either as permanent or provisional State forests. The latter category included land that might be suitable for farming and which could be taken over for this purpose once the crop of timber had been cut from it. Substantial areas of indigenous forest were from time to time also declared national parks and reserves. By and large the general pattern of distribution of agricultural land and forest became defined about the end of the nineteenth century.

Most of the indigenous State forests, and forests on Maori land and national parks as well, now fall into the category of protection forest; that is, they are required for water and soil conservation, irrespective of what exploitable forest produce they contain.

The dwindling of indigenous timber supplies and the need to replace them was realized early. To provide for the future, the State therefore commenced small planting operations with exotics at the end of the last century. These continued until the early 1920's, when sufficient experience of the most suitable species and planting sites had been accumulated to allow of a huge expansion of planting both by the State and by afforestation companies. In the peak year of this activity some 50,000 acres were planted. This extensive establishment continued until about the year 1935 when it subsided, and planting of exotic species on a smaller scale was continued by the Forest Service. Latterly this planting has been distributed in the old units as well as in a number of smaller units located in areas of wood scarcity.

The total forest covering at 31 March 1951 is as shown in the following table. It should be noted, however, that the area of forested land has been estimated from very meagre and incomplete information. Reasonably accurate figures are available for indigenous State forests, but the total areas of indigenous forest in other tenures are not yet known. An accurate total forest area figure will not be available until the National Forest Survey referred to on page 511 is completed.

Type of LandArea, in AcresPercentage of Forest AreaPercentage of Total Land Area

* The total area of legal State forest is 9,481,000 acres, of which 342,000 acres represents the unplanted area in exotic State forests and 685,000 acres the area of open country (tussock grasslands, etc.) in indigenous State forests. The net forested area only (8,454,000 acres) has been used in the table. The corresponding figure of legal State forest at 31 March 1954 was 9,606,000 acres.

Forested land—   
  State forest*8,454,00053.212.6
  Scenic reserves900,0005.71.4
  National parks1,400,0008.82.1
  Maori land1,500,0009.42.3
  Unoccupied Crown land1,000,0006.31.5
  Freehold2,636,00016.64.0
    Totals15,890,000100.023.9
Land devoted to agriculture19,244,000..29.0
Other land31,257,000..47.1
      Total land area (including water surfaces)66,391,000..100.0

Composition of Forests.—Indigenous forests of New Zealand may be divided very broadly into two formations, mixed temperate evergreen forest and southern beech forest; the former, in regard to its trees, being a mixed community of many species of broad-leaved trees and conifers, and the latter a pure community of one or more of the species of southern beech (Nothofagus). Between these two formations there are many intermediates, the one gradating into the other.

In general distribution, mixed temperate evergreen forest originally occupied mainly the coastal, lowland, and montane belts, except in the drier areas, where it was replaced by southern beech forest; and the southern beech forest, besides occupying these drier areas, extended above the montane belt to the timber line. The upper altitudinal line of the mixed forest became gradually lower in proceeding from north to south.

Most of the mixed forest has been cut over for timber and cleared for farming purposes, whereas the southern beech forest, because of the difficult topography and the poor soils on which it most frequently grows, is largely intact. The following description gives in more detail the distribution and the present state of the main forest communities.

Kauri forest once occupied much of the area northwards from a line joining Port Waikato to Tauranga, but, except for limited reservations and small pockets, this forest has disappeared. The main secondary species of trees are taraire and tawa. Mixed podocarp forest, the principal podocarp being rimu, and important secondary ones, totara, matai, and miro, extended throughout all three main islands. The heaviest commercial stands were on flat or near-flat sites; in steeper country timber trees thinned out and secondary species became more plentiful. The remaining forest of this type consists of pockets, which will be worked for a few decades to come; some large areas on steep country, such as the Urewera, which can be classed mainly as protection forest; and fairly extensive forests in the centre of the North Island and on the West Coast of the South Island which contain most of the remaining indigenous softwood supplies. The main species of broad-leaved trees in these forests are kamahi, tawa, and rata. Kahikatea forest occupied low-lying swampy river silts, but this has almost disappeared to make way for farming.

Bog forests, whose dominant trees are smaller podocarps of the silver-pine group, occupy limited areas mainly in the central North Island and on the West Coast of the South Island. They have largely been cut over, at least once, for posts and sleepers.

Although most southern beech forests can be classified as protection forests, there remain substantial areas in lowland and montane regions that have been cut over and are regenerating, or that still have not been cut over and will be reserved for sustained yield management. Where southern beech forest is present in the lowland and montane belts of the North Island and northern Marlborough-Nelson the species are hard beech (Nothofagus truncata), and black beech (N. solanderi). In the upper belts, red beech (N. fusca) is abundant, but is usually accompanied by the silver beech (N. menziesii), which is the main tree at the highest altitudes, unless conditions are somewhat dry, when mountain beech (N. cliffortioides) replaces it. On the eastern slopes of the Southern Alps there was once a belt of mountain beech forest, but this has been burnt except for pockets. On the western side of the Alps beech forest is absent from the Taramakau River southwards for one hundred miles. In western Otago and Southland silver beech is the main forest tree, with fair areas of mountain beech and small pockets of red beech. At the lower elevations silver beech is extensively milled and much of the forest has disappeared.

Important forest trees at high elevations, and not already mentioned, are kaikawaka (Libocedrus bidwillii) and thin-barked totara (Podocarpus hallii).

In the undisturbed indigenous vegetation there were limited transition areas between tussock grassland and forest proper that carried manuka (Leptospermum scoparium and L. ericoides), and sometimes bracken fern (Pteridium esculentum). With the destruction of much tussock grassland and forest, these belts have extended, and manuka has even occupied extensive areas of destroyed forest remote from any original manuka stands. These stands are important because they are often a stage in succession back to mature forest. Manuka is also a very useful fuel.

Much land now classified as forest consists of a second growth of broad-leaved shrubs and trees which have come in after milling operations or on abandoned farm land.

Exotic plantations of over ten acres in extent now total 890,000 acres, besides which there is a large total acreage of smaller farm woodlots and shelter belts. These areas of exotic species already provide a significant proportion of the country's timber requirements, and before many more decades have passed must supply most of it. In some poorly forested districts shelter belts now provide a large part of the local timber supply.

By far the greatest area of the larger exotic plantations are in the central North Island region. They were established with radiata pine (Pinus radiata) between the years 1925–1935. Other plantations are scattered throughout the country, although there are still some timberless districts without any sizable areas, notably Taranaki, Poverty Bay and the East Coast, and South Canterbury.

National Forest Survey.—For many years past it has been obvious that there is a need for a comprehensive and scientific stocktaking of the indigenous forest resources, both to provide up-to-date information on the extent of remaining timber supplies, and to assess the salient ecological facts upon which New Zealand's long-term indigenous forest policy must be based. The National Forest Survey is a major fact-finding project designed to meet this need. The project was commenced in 1946 and is scheduled for completion, at least as far as its main objects are concerned, by 1956. The survey is based on a combination of aerial photographs and statistically controlled ground sampling. It will result in qualitative descriptions of the many forest associations present in New Zealand forest-type maps, showing their distribution and detailed estimates of the timber volume present. The National Forest Survey is administered by the Forest Research Institute, Rotorua.

FOREST AUTHORITY.—The administration of State Forests and afforestation activities in New Zealand was for many years under the control of the Department of Lands and Survey, but in 1919 a separate Forestry Department was formed. This was reorganized in 1920 as a Department of State, called the State Forest Service, and was given statutory recognition and administrative authority by the Forests Act 1921–22, which provided for a Minister of the Crown to hold office as Commissioner of State Forests. The Forests Act 1949 consolidated the previous legislation and changed the title of the Minister to Minister of Forests, and that of the State Forest Service to the New Zealand Forest Service.

The Act provides for the appointment of a Minister of Forests, a Director of Forestry, and Conservators of Forests and other officers. The Minister may delegate such of his powers as he thinks fit. The Act prescribes that the Forest Service shall have under the direction of the Minister exclusive responsibility in carrying out all matters of forest policy affecting State forest land and shall have exclusive control and management of—

  1. All State forest land, whether for the production of timber or other forest produce, or for the protection of the land with a view to water conservation or soil stabilization, or for ensuring the balanced use of the land, or for scientific purposes, or for recreational or amenity purposes not prejudicial to forestry;

  2. The establishment, culture, and maintenance of forests on State forest land, and the harvesting, utilization, transport, sale, or other disposal of forest produce from State forest land;

  3. The granting of licences, leases, permits, and other rights and authorities under the Act;

  4. The enforcement of the conditions of licences, leases, permits, and other rights and authorities granted under the Act or any enactment repealed;

  5. The collection and recovery of all purchase-moneys, rents, fees, royalties, charges, and revenues of the Service; and

  6. Generally the exercise of all powers, authorities, and duties conferred or imposed on the Minister or the Forest Service by the Act.

Central management and control of the Forest Service is exercised by the Director of Forestry, with the head office at Wellington. For the purpose of local administration New Zealand is divided into seven conservancies, each under the control of a Conservator of Forests, who is the territorial representative of the Director of Forestry. Conservancies are subdivided into districts under the charge of Forest Rangers, who are under the direction of Conservators of Forests. Central administration of forest policy is achieved under divisions, each with an Inspector in Charge as principal officer. Five divisions have been set up—namely, management (working plans, silviculture, soil conservation, timber sales, etc.), commercial (logging, sawmilling, and log sales), development (recruitment, training, and research), engineering, and operations (forest law, accountancy, public relations, staff, etc.). One other division, industrial, has as yet only a token staff; and one, public and private forestry, remains yet to be developed. Research has been centralized at the Forest Research Institute, Rotorua, and staff training at the Forest Service Training Centre, also at Rotorua.

State Forests.—State forests are administered under the authority of the Forests Act 1949 and the Nassella Tussock Act 1946. The powers conferred by the Forests Act 1949 to deal with forest produce are subject to the provisions of the Coal Mines Act 1925, the Mining Act 1926, and the Petroleum Act 1937. Section 23 of the Mining Amendment Act 1934 provides for the payment to the Crown of compensation for damage to any land vested in the Crown resulting from mining operations. Such compensation in respect of State forests may be claimed by the Minister of Forests from time to time as damage is caused. The Minister of Forests also administers the Waitangi Endowment under powers set out in the Waitangi Endowment Act 1932–33.

Mining Privileges and Coal-Mining Rights.—After the coming into force of the Forests Act 1949 a mining privilege or coal-mining right over State forest land may not be granted except with the consent in writing of the Minister of Forests and subject to such conditions as he may impose. Notwithstanding anything in the Mining Act 1926 or in any licence, lease, title, right, privilege, or other authority under those Acts granted after the Forests Act 1949 came into force, no person may cut or remove any timber or other forest produce on or from State forest land except in accordance with the provisions of the Forests Act.

Regulations.—The Forests Act 1949 authorizes the appointment by regulation of committees to advise the Minister of Forests on specified matters. Regulations issued under this authority are the Timber Production Advisory Committee Regulations 1949 and the Sirex Advisory Committee Regulations 1950.

Other regulations in force are the Sawmill Registration Regulations 1942, the Timber Regulations 1948, and the Forest and Rural Fires Regulations 1951. The latter are issued under the authority of both the Forests Act 1949 and the Forest and Rural Fires Act 1947.

Fire Prevention and Control.—A complete coverage of New Zealand with respect to fire prevention and control is now provided by the Forest and Rural Fires Act 1947, the Forests Act 1949, and the Fire Services Act 1949.

The Forest and Rural Fires Act 1947 provides that each County Council is a Fire Authority for the county area under its control, and for the constitution of rural fire districts each to be administered by a committee or by the Minister of Forests as Fire Authority. The Soil Conservation and Rivers Control Council is the Fire Authority for each soil conservation district. Rural fire districts, soil conservation districts, and urban fire districts are excluded from control by a County Council. The Forests Act 1949 provides for the protection of State forest land not protected by rural fire districts. The Fire Services Act 1949 provides for the protection of urban districts.

FOREST MANAGEMENT.—In the field of production forestry, as distinct from protection forestry, the management activities of the Forest Service are directed towards two ends:

  1. To protect, conserve, and, if possible, perpetuate the remaining indigenous forests of the country.

  2. To create an exotic estate large enough and sufficiently diverse to supply the future needs of New Zealand in timber and other forest produce, and to provide an exportable surplus.

Indigenous Forest Management.—Conservation measures in indigenous production forests involve regulation and restriction of the permissible annual cut, protection against fire, a careful watch for trespass and the prosecution of offenders caught, rigid insistence on close utilization, both of forests and forest products, and finally block sales of carefully measured and appraised standing timber. Of these measures the last one is particularly important. The system of block sales introduced by the Forest Service in 1921 is in sharp contrast to the previous method of “royalty payment off the saw.” The present system encourages close utilization since the sawmiller is required to pay for all timber measured; the previous one encouraged unnecessary waste both in the forests themselves and in the subsequent milling processes. It is estimated that through this administrative reform the Forest Service has succeeded in conserving some 700,000,000 board feet of timber which would otherwise have been left to rot in the forests or been thrown away in slab heaps. A large part of the indigenous forest officers' work is in the routine administration of the block sale system—i.e., in the careful measurement and appraisal of trees for sale and in the periodic and equally careful inspection of milling operations to ensure that waste is not taking place.

Of equal importance to this policy of “conservation through close utilization” is that of rationing the cut of indigenous timbers so that the remaining supplies, particularly of high quality wood, are spread out over as long a period as possible instead of being liquidated in a very short time. To this end the Forest Service formulates working plans for all major State forests and through them regulates, both by individual forests and by districts, the amount of timber that can be cut annually. So far as may be practicable, consideration is given to the essential timber requirements of a district and to the extent to which these requirements can be met by the substitution of exotic species.

At the same time the possibility of ultimately regenerating podocarp forests and bringing them into a productive state is far from being overlooked. Research into the silvicultural properties of the species and into the ecology of the natural forest associations is being pursued; and in some instances logging of podocarp forests is being carried out by the Forest Service, with a view, inter alia, to the reservation of seed-bearing trees. Logged areas are protected from fire and grazing, thus encouraging the development of natural second-growth associations which should in time act as a nurse crop for podocarp seedlings.

Parallel to the policy of rationing the cut is that of making long-term log and timber sales. This has the effect of giving stability to sawmilling industries and to the communities dependent upon them. In one or two instances further stability is being sought by the practice of interplanting logged areas to exotic species (mainly Douglas fir and western red cedar), combined where possible with the planting up of adjacent areas of open country. By this means a sustained yield, part exotic part indigenous, can be achieved, and the sawmilling industries and communities can look forward to a life in perpetuity.

In kauri forests, plans for management on a sustained yield basis have been disrupted by the reservation of the largest remaining area, Waipoua Forest, as a forest sanctuary. Nevertheless the allowable kauri cut is very strictly rationed; a diameter limit (whereby no green kauri under 36 in. in diameter may be felled) is rigidly enforced; regeneration and advance growth is protected and tended; areas of natural regeneration are acquired; and nursery grown kauri seedlings are planted out. Kauri as a species is more amenable to silvicultural treatment than rimu and, although the technique is not easy, it is possible to convert the present overmature forests into healthy vigorous stands and to manage them in perpetuity on a sustained yield basis. Unfortunately the kauri reserves have now dwindled to insignificant proportions and the work of kauri management can be on a small scale only.

The prospects of perpetuating and improving the beech forests of New Zealand are very good. Both the major species, red beech and silver beech, when given the right conditions will regenerate freely; both grow sufficiently rapidly to be worked on a medium length rotation (100 to 130 years); and both show their optimum development on sites that are unsuitable for agriculture Moreover there are large tracts of virgin forest still intact, and in the case of red beech extensive as of young pole forest which have originated as a result of fire, windthrow, or mining activities. All the conditions, therefore, are favourable for sustained yield management. The only major difficulty is in localities where red deer are present in large numbers. Under these conditions the beech seedlings are continuously grazed and the development of regeneration is effectively prohibited. Work in the intensive management of the beech forests has been commenced in selected areas. In the case of virgin forests it consists of preparing the ground for the reception of seed; marking seed trees for retention; erecting deer-proof fences; felling and utilizing of merchantable trees; and, finally, felling of remaining trees and shrubs other than the seed bearers. Simultaneously thinning operations are taking place in areas of natural regeneration and in the already established pole stands. On a more extensive scale the regeneration and improvement of the forests is being sought by the reservation of seed bearers and by the imposing of diameter limit restrictions which prohibit the felling of young vigorous trees.

As a result of these measures it is confidently expected that future generations of New Zealanders will become heir to beech forests as healthy and productive as any of the best hardwood forests in the Old World.

Exotic Forest Management.—The establishment of State exotic forests dates from 1896 when an Afforestation Branch of the Lands Department was formed and forest-tree nurseries were established at Tapanui and Eweburn in the South Island and at Rotorua in the North Island. Planting commenced in 1898, and proceeded at a slow rate until 1922, by which time 47,000 acres had been established. The formation of the New Zealand Forest Service as a separate department of State in the early “twenties" coincided approximately with an “afforestation boom,” and in the period 1923–36 no less than 376,000 acres were planted. Since then plantings have again been on a modest scale and in the period 1937–54 only a further 37,000 acres were established.

In the earlier years the areas selected for planting were often chosen with little consideration of the suitability of the site for tree growing or of the proximity of the forests to existing and future markets. As a result there have been some partial or complete failures, and the geographical distribution of the forests leaves much to be desired. These faults are now being corrected by the establishment of new forests in timber-hungry districts and by the careful selection of areas where the climate, soil, and topography are all favourable to tree growth.

The original plantations contained a great variety of species, most of the common timber trees of the Old World being represented as well as many from the New World, particularly North American conifers and Australian eucalypts. In general, except locally and on very good sites, the European hardwoods such as ash, oak, and sycamore were failures; and of the multitude of eucalypts tried only a few proved suitable for New Zealand conditions. The standard European softwood, Scots pine, was a complete failure, as were many of the American pines, firs, and spruces. Norway spruce promised well for some years, but was finally wiped out by insect attack. Austrian pine was planted extensively in the earlier years and developed into very poor stands; much later similar results were obtained from extensive plantings of the scopulorum variety of ponderosa pine, and even worse results from the wide-scale and indiscriminate attempts to establish Californian redwood. The successes, however, were no less numerous than the failures, and before long it became fairly obvious which would be the most suitable and profitable species. Pride of place went to radiata pine, which showed the ability to grow rapidly on a wide range of sites and to produce fine stands of timber. It became, and still is, the major exotic conifer of New Zealand. Other major species, planted according to site, are Douglas fir, Corsican pine, and ponderosa pine. Of recent years the “Southern" pines, P. taeda, P. caribaea, and P. palustris have found a place in the more northerly forests. Minor species planted on a restricted scale are larch, lodgepole pine, Pinus strobus, Pinus patula, Cryptomeria japonica, Lawson's cypress, Monterey cypress, and western red cedar. The species distribution is—

SpeciesThousands of Acres
Radiata pine181
Ponderosa pine73
Corsican pine59
Douglas fir44
Others and mixtures102
    Total459

Descriptions of the most important species and of their silvicultural characteristics are given later in this Section.

In spite of the failures, New Zealand now has a large and valuable exotic forest estate. It is estimated that the annual growth is in the order of 65,000,000 cubic feet. This represents approximately 400,000,000 board feet of timber, or only a little less than the current total yearly consumption. New Zealand is thus well on the way to being nationally self-sufficient from State forests alone; with privately-owned forests taken into account the annual increment is sufficient to meet all local requirements and to give a considerable exportable surplus as well. Quantitatively, therefore, the position of exotic forestry in New Zealand is basically very sound; qualitatively the forests leave much to be desired. Their various shortcomings, due largely to past mistakes, now present problems which will tax the ingenuity of the forestry profession to the utmost. Specifically, management of the State exotic forests is rendered difficult and complex by reason of—

  1. The Bad Age-class Distribution: No less than 65 per cent of the total radiata pine area was planted in one ten-year period; a similar proportion will thus mature in a ten-year period, leading to a temporary over-supply of timber with shortages before and after. The position is much the same with the other major species.

  2. The High Proportion of Radiata Pine: Although only 40 per cent of the total area is in radiata pine, the proportion in some individual forests and in some districts is much higher. A greater diversity of species would enable a wider range of forest products to be supplied and would lessen the risk of insect or fungal attack on an epidemic scale.

  3. The Considerable Areas of Low Productivity: The maximum value from the soil is not being obtained in areas which are occupied by poor species such as P. ponderosa var, scopulorum, Austrian pine, some races of lodgepole pine, Australian eucalypts, etc. Their replacement by more valuable species must be undertaken.

  4. The Low Stocking of Many Areas: Two causes are responsible—the practice during the boom afforestation period of planting at a wide initial escapement, and the failure during the same period to plant up gaps in original establishment. The resultant trees are often open grown and branchy, and are producing firewood and pulping material rather than sawlogs.

  5. Lack of Tending: Large areas have received little silvicultural treatment since planting. Low pruning has been carried out on an extensive scale, but thinning, which is essential to the health and well-being of the stands, has been badly neglected. As a result many forests are stagnating, and are failing to put maximum increment on the best final-crop trees. High pruning, which in a short rotation species is necessary for the production of clean timber and veneer logs, has also been carried out on a small scale only.

For these reasons management activities in State exotic forests are directed towards getting a better distribution of age classes in the next rotation, which entails felling some stands before they are mature and leaving others to be carried on to over-maturity; towards converting areas of low productivity to well-stocked stands of more valuable species; and above all towards catching up with arrears of thinning. At the same time all these activities must be integrated with utilization projects so that the demand for forest products can be met and forest industries can have continuity of supply; and they must be so planned as to fit-in to long-term schemes for sustained yield operation. Working plans, which when approved have Ministerial authority, are prepared for all exotic forests. They not only prescribe detailed planting, thinning, pruning, and felling operations for the next five years but also embody long-term plans of twenty to thirty years or even longer.

Clear-felling activities in State exotic forests commenced on a major scale in 1939, and have been confined almost entirely to radiata pine. In most cases natural regeneration has followed logging, and second rotation crops are now well established. In order to grow high-quality timber, to get the maximum production from the soil, and to lessen the chances of insect or fungal attack, these dense young stands must be thinned early and often. This work is given a high priority.

Production from State exotic forests is now over 6,000,000 cubic feet annually and is increasing rapidly. Sawlogs account for the greatest proportion but many other types of forest produce are produced, notably transmission and telephone poles, fencing posts and battens, mining timbers, stockyard rails, turnip stakes, and firewood. Production will include not only much greater quantities of saw timber and other forest products, but also large quantities of chemical and groundwood pulp, and their derived products—newsprint, kraft, and writing papers.

FIRE PROTECTION.—The fire-protection policy of the Forest Service follows from the premise that, notwithstanding the generally favourable climate, fire is the greatest single menace to forests and protection vegetation in New Zealand; within a few hours fire can undo the work of decades in building up a soil and vegetation balance.

The fire risk in New Zealand cannot be measured by comparing the generally adequate and well-distributed rainfall experienced in most districts with conditions in countries where droughts are frequent and severe and the summers commonly hotter and drier. New Zealand is a mountainous country, and the high winds and strong sunshine, which are characteristics of the New Zealand climate, will dry out the forest vegetation on exposed situations even in the heavy rainfall areas in a remarkably short time.

Although widespread hazardous fire conditions only occur at fairly long intervals there are few seasons during which there are not dry spells or near droughts in some part or other of the country, and very high fire hazards develop. The year 1946 brought the great fires of the central plateau of the North Island, and in 1949 conditions were severe enough in the Auckland Provincial District to cause mortality in a number of native forest species from drought. During 1950 there were numerous forest fires on the West Coast of the South Island, and there was a long continued dry spell in the summer-rainfall districts of the extreme south.

The peculiar and almost unique feature of many New Zealand forest species in being extremely exacting in their requirements for regeneration to take place is of special significance. Forest fires in most countries mean the loss of a crop; in New Zealand a severely burnt forest usually means a destroyed forest. Even the beech species, which will regenerate freely under favourable conditions, can only do so after a severe fire under circumstances which are often quite fortuitous in character. Virgin mixed temperate forests admittedly do not burn readily during normal seasons, but the greater proportion of the remaining forests of this type have been logged for the commercial species. As cut-over forests they are very inflammable, and when burnt become waste lands.

The consequences of the relatively small fires which occur all over the country every normal season are as serious in the long run, if not more so, than the spectacularly large fires common in some countries, in that the losses are accumulative because of the lack of recuperative powers of most of our forest species from fire damage.

The existing areas of protection vegetation on the headwaters of the main rivers are inadequate for the purposes of soil and water conservation, and unless they are protected and allowed to extend, abnormal flooding with costly river-control schemes will continue to be a heavy drain on the resources of the country.

The history of statutory provisions for the protection of forests from fire is a long one going back to 1874, but it was not until the Forests Act 1921–22 established the present Forest Service that the protection of State forests was put on a satisfactory basis. This Act provided for the constitution of fire districts, and also for the protection of forests which because of administrative difficulties could not be protected by fire districts. The principle of fire districts was later extended to cover private forests and other lands.

This situation was satisfactory as far as it went, but it left large areas of inflammable vegetation over which there was no authority for controlling the lighting of fires during hazardous weather conditions. The need for legislation to deal with fire control on a national scale was realized, but it was not until the disastrous fires of 1946 that there was public support for such legislation, and the Forest and Rural Fires Act was passed in 1947.

The Forest and Rural Fires Act provides for land, on which high fire hazards occur annually, to be covered by Rural Fire Districts administered by Committees or by the Minister of Forests. The rest of the country, with the exception of certain areas, is placed under the control of County Councils as the Fire Authorities, with powers to declare an emergency during periods of high fire hazard. State forests which are not covered by fire districts are protected by the Forests Act 1949. In effect there is now no area of rural land for which there is not some Authority for the control and prevention of fire.

The Fire Protection Organization of the Forest Service operates over the whole of New Zealand, covering State forests, forests on other Crown lands, scenic reserves, and national parks. The organization has also the responsibility of securing co-ordination and uniformity in the administration of the Forests and Rural Fires Act by other Fire Authorities.

An efficient fire-fighting service is maintained wherever the Department has fire-fighting responsibilities, according to the needs of each district. This reaches its highest level of organization in the larger exotic forests, where standard Forest Service lookout cabins equipped with fire finders, radio, and telephones are located. Trained fire-fighting crews with modern equipment can be brought into action at a minute's notice and controlled through a radio network. Aerial patrols operate during each fire season in the important Rotorua area.

The provision of a fire-hazard prediction and warning service is an essential function of the Fire Protection Organization. A nation-wide network of fire-weather and radio stations is maintained, and the fire-hazard situation in any part of the country is known at the Head Office of the Forest Service in Wellington each day during the season within an hour of the weather observations being taken at the stations. This enables appropriate action, such as advice to Fire Authorities and broadcasting of warnings, to be taken as the circumstances require.

SOIL CONSERVATION.—Through its ownership and control of some 6,000,000 acres of protection forest the Forest Service is deeply involved in the vital national question of conserving soil and water resources. Ever since its inception the Forest Service has insisted that the maintenance of an adequate vegetative cover is the only possible means of preventing accelerated soil erosion and of regulating stream flow. It believes that the root of the problem lies in the headwaters and catchments of the rivers, and it is there, and not in the lower reaches, that preventative and remedial action must be taken. Downstream engineering, necessary and valuable though it may be, does not strike at the cause of the trouble and can never be anything but a palliative.

In the light of these convictions the policy of the Forest Service in soil-conservation measures is clear cut. It is simply to initiate or encourage any action which would conserve or improve the existing cover, and conversely to prevent or discourage any action which would have the reverse effect. This policy dictates the management activities of all State forests where soil erosion is an important consideration; it is advocated by the Forest Service as the correct policy for all types of eroded land, irrespective of land tenure.

The forest management activities undertaken in protection forests are: protection from fire; prohibition and control of grazing; limitation of sawmilling activities; reservation of secondary species in some logging operations; extermination of animal pests; and, in some cases, artificial re-establishment. Of these, the most important are fire prevention and suppression (discussed earlier) and the control of introduced animal pests. The latter work is undertaken not by the Forest Service, but by the Wildlife Branch of the Department of Internal Affairs. Close liaison, however, is maintained, and the Forest Service gives the Wildlife Branch up-to-date information as to which forest areas are most critically in need of attention. In addition, the Forest Service undertakes its own control measures in exotic forests and in some selected indigenous forest areas.

Co-ordination in forest-protection work is achieved through the Department's representation on the Soil Conservation Council and on the twelve Catchment Boards now operating throughout the country; through the secondment of a professional forest officer to the staff of the Soil Conservation Council; and through the activities of the local land-use committees (representing the Departments of Agriculture and Lands and Survey, and the Forest Service) which recommend the optimum land-use policy for marginal or doubtful areas.

PUBLIC AND PRIVATE FORESTRY.—The method first adopted in New Zealand for encouraging the planting of trees for the production of timber was by means of “land grants"—a settler being given a free grant of land if he planted a certain portion of his land with suitable trees. Several large plantations were established in Canterbury by this method, which, however, was abandoned in the “eighties.”

For some years prior to 1931 the Forest Service raised and sold trees to intending planters and further assisted with advice from officers specializing in this branch of forestry activity. In 1931, at the cogent request of the Horticultural Trades Association, the State ceased the sale of trees, and the work of the extension officers became incidental to the other duties of the general staff.

Private Forest Estate.—The area of planted forest owned by afforestation companies, local authorities, and private persons was reported in March 1950 to be 435,600 acres.

Private and local authority ownership is estimated to account for about 100,000 acres of the above, and it was composed mainly of radiata pine with a proportion of longer rotation species. Many of the original plantings have been milled and some are in process of regeneration. Because most of the areas had received little or no care since establishment, the produce has been very knotty, but owing to its greater age (and consequent high heartwood content) it has found extensive use.

Afforestation companies boomed in the 1923–30 period, when huge areas were planted—they are now estimated to cover approximately 335,000 acres. The species used was almost wholly radiata pine. Utilization was commenced some years ago in an endeavour to bring this short-period establishment into a normal series of age gradations, and the cut-over is already being regenerated.

Forest Taxation.—Taxation of forest land and forest income has been under critical review during recent years, and was the concern of a special Committee of Inquiry. Several pressing reforms have been introduced, and a number of further anomalies are expected to be removed. The necessity for these reforms arose from the need to change a tax system based largely on the habit of “devastation cutting” to one which recognized the importance of forest management.

Land tax is levied on the unimproved value and does not include the value of trees growing on the land. However, valuations for death-duty purposes do include the value of growing trees.

Income from the sale of trees is taxable in the same way as other income with the following exceptions:

  1. Intermittent income such as from the sale of farm woodlots may be spread over a period of five years in order to mitigate the effects of the higher graduated tax.

  2. Expenditure incurred by a farmer in planting and maintaining shelterbelts and woodlots may be offset against income for tax purposes.

RECLAMATION OF SAND DUNES.—Sand-dune fixation which, since 1931, had been in the hands of the Ministry of Works has been transferred to the joint control of the Department of Lands and Survey and the New Zealand Forest Service. The primary objective is the reclamation of land for agricultural and pastoral purposes. Trees are being established by the Forest Service on the protective zone and on such other dunes as have no agricultural or pastoral potential; and existing plantations are being thinned. Some useful forests will result. Sand-dune-reclamation schemes may ultimately embrace a large part of the 290,000 acres of dunes in New Zealand.

FINANCE OF STATE ACTIVITIES.—The financial objective of the New Zealand Forest Service is to develop sufficient forests which will be free of debt when the production of mature timber commences, and which will then be managed as revenue producing units for the benefit of general Government funds. None of the State exotic forests has yet fully reached this stage, and forest revenue is therefore insufficient to meet the costs of development. The excess expenditure is met from general Government funds and, as far as possible, from current revenue (i.e., taxation, etc.), but the amount involved has been such that loan moneys from the Public Works Account have also been required.

Expenditure by way of general administration of forestry as distinct from the development of State forests for subsequent management is, of course, met in full from the Consolidated Fund.

The excess of expenditure over forest revenue in connection with forest and allied development has been financed as follows during the last five years.

Year Ended 31 MarchExcess of Expenditure Over Forest RevenueExcess Financed from—
LoansConsolidated Fund
 £££
19501,742,0001,517,000225,000
19511,130,000721,000409,000
19521,325,000983,000342,000
19531,500,000685,000815,000
19541,431,000800,000631,000

The following table provides a summary of receipts and payments from all sources for the last five financial years.

Item1949–501950–511951–521952–531953–54
 £££££
Indigenous forests receipts—Receipts
  Timber sales244,429254,553267,519236,769226,629
  Timber royalties and trespass27,73257,74056,43357,41844,447
  Leases, grazing3,2243,7413,9653083,130
  Sawmill sites, industrial, etc.500436406369653
  Miscellaneous33,92823,17930,43928,35515,215
Log sales from managed forests164,951174,941197,765197,886189,340
Exotic forests: Poles, posts, firewood, log sales, etc.204,148224,758346,850480,362528,098
Utilization projects—     
  Sawn timber257,673478,843797,920754,889839,757
  Creosoted products53,82380,67398,632132,281152,201
  Box shooks154,255188,681237,398212,837142,763
  Miscellaneous5,3222,33619,22722,4707,971
Miscellaneous credits32,08335,81248,47737,78347,775
    Totals1,182,0681,525,6932,105,0312,163,7272,197,979
Allocation of revenue—Payments
  Local authorities33,96744,88645,53755,49051,718
General management charges—     
  Salaries366,869397,645476,022535,717610,495
  General expenses178,979127,584154,790192,269227,814
Land purchase22,37212,41868,35242,24328,017
Forestry projects under direct management—     
  Exotic1,265,7011,058,6911,321,1841,284,2541,280,950
  Indigenous294,158202,070213,494265,683239,902
Utilization: Sawmill, creosote plant, etc.676,491799,3301,062,5981,287,0051,152,592
Pulp and paper making85,51712,34366,5561,36137,607
    Totals2,924,0542,654,9673,408,5333,664,0223,629,095

The revenue from indigenous forests is used to reduce loan moneys required to finance forest activities under the Public Works Account, and statutory allocations of receipts to local authorities are a charge on the Consolidated Fund.

FOREST UTILIZATION: Production of Sawn Timber.—Sawn timber is produced from two entirely distinct but nevertheless complementary resources—the indigenous forests and the exotic forests. From the days of the first European settlement the former have been subjected to destructive cutting, and because of the unduly long cycle of reproduction must from a commercial viewpoint be regarded as largely a wasting asset. Consequently, as far as the indigenous forest is concerned, the sawmilling industry has had to follow a constantly receding forest edge—with the inevitable result that the industry has never been able to achieve any real measure of stability. Thus the production of indigenous timber has been based traditionally on rather primitive mills with poor living conditions for the workers; the forest could not be worked on a continuous cycle that would permit a sawmill to operate successfully on a permanent basis, hence there was no incentive to undertake more than the minimum of capital expenditure.

Up to about twenty years ago virtually the total output of sawn timber was produced in this way. The usual sawing equipment was a circular breaking-down saw for flitching the logs and a breast bench circular resaw. The characteristics of the product may be summed up by saying that while the quality of the timber itself was probably equal to any in the world the sawing was anything but accurate. The mills in general had a low cutting capacity and seldom did the annual sawn output per mill exceed 2,000,000 board feet. Up to the Second World War the total yearly production of sawn timber in normal years fluctuated around the level of 300,000,000 board feet.

In the “thirties" significant changes began to develop. On the one hand the easy abundance of indigenous timber had gone, while on the other hand certain forests of exotic species, which had been established about the beginning of the century, had reached an age when cutting could commence. These exotic forests had been planted in conifers from the northern hemisphere to offset the depletion of the indigenous forests. They put on rapid growth under New Zealand conditions, and the objective from the outset has been the management of these forests for sustained yield on the basis of permanent forest industries and modern communities with a normal range of amenities. In 1930 the production of exotic species was only 10,000,000 board feet, but by 1939 had risen to 42,000,000 board feet. However, virtually the whole of this production came from farm shelter belts and woodlots and was sawn in the same type of primitive mill as that characteristic of the indigenous forest. The product was used almost entirely for rough temporary work and boxmaking as there was still ample indigenous timber for all better class requirements.

At the end of that decade the first major step was taken in the evolution of sawmilling from a primitive, shifting industry to a stable industry based on permanent, well constructed capital installations with modern equipment and good living and working conditions. The Forest Service established a modern sawmill of Swedish design at Waipa, near Rotorua. This mill has high-speed gang frames with an annual cutting capacity of more than 20,000,000 board feet. The Service subsequently established another mill of this type at Conical Hill, near Tapanui. These mills were designed to serve as demonstration units and to enable the Forest Service to pioneer sawing, seasoning, grading, and merchandising techniques for the logs and timber yielded by the exotic forests. While such mills involve a large capital investment, they are permanent, have a high output with low unit costs, and yield accurately sawn timber. Mills similar in type have been constructed since the Second World War by private enterprise, and the Waipa and Conical Hill mills are also serving as prototypes for the huge sawmill being erected in connection with the Murupara scheme.

The production of exotic timber is increasing rapidly, and it is gradually finding acceptance for general building purposes and a wide range of other uses. By far the most important of the exotic timber species is radiata pine, which accounts for about 95 per cent of the total cut of exotics; larch, eucalypts, Douglas fir, and a few other species are produced only on a minor scale. Not more than 60 per cent of the country's timber requirements now comes from the indigenous forests, and this proportion must inevitably fall steadily as cutting is gradually reduced to the point where a small sustained yield of indigenous timber can be maintained. In connection with even the indigenous forests, however, it should be noted that the policy of the Forest Service wherever possible is to arrange sales on such a basis as to give mills an operating life long enough to warrant the installation of modem plants, and the provision of a good standard of housing and amenities.

Logging methods, too, have been changing from the traditional use of steam haulers and bush tramways, linking bush with mill, to tractor logging and motor-truck haulage of logs, as the latter method permits the working of scattered and lightly-stocked stands of indigenous timber. Roads, too, are an essential feature of exotic forests for fire protection and forest management as well as for log haulage, and tractors are favoured for their dual role of roading and extraction.

The following table gives details of timber production by species for the past five years; quantities are quoted in board feet (i.e., units of 12 inches by 12 inches by 1 inch).

SpeciesYear Ended 31 March
19501951195219531954
Board Feet (000)
Rimu and Miro227,051228,515225,407231,564219,234
Matai32,82936,95736,86435,63836,534
Totara12,84014,31817,40214,15914,802
Kahikatea20,06619,77120,04220,64216,278
Beeches17,16717,63817,97217,89216,881
Tawa9,38511,15215,51315,10716,375
Kauri8191,1541,6301,4621,259
Other indigenous3,5513,8584,2844,0644,763
    Totals, indigenous323,708333,363339,114340,528326,126
Exotic pines146,537184,229224,452222,340235,217
Larch2,5002,4083,7982,4472,126
Eucalypts2,1203,1522,8642,5452,910
Douglas fir1,1691,8752,3512,7283,612
Macrocarpa1,2371,8201,9541,916' 1,846
Other exotic1,110775710481410
    Totals, exotic154,673194,259236,129232,457246,121
    Totals (all species)478,381527,622575,243572,985572,247

Details of the 5,173,000 board feet of “other" timber for the year ended 31 March 1954 are as follows.

SpeciesBoard Feet
Rewarewa821,000
Pukatea801,000
Hinau671,000
Mangeao634,000
Taraire510,000
Tanekaha509,000
Puriri398,000
Poplar294,000
Rata288,000
Other247,000
    Total5,173,000

Production of Pulp Products.—The pulping industry is growing rapidly in New Zealand. Two private organizations are producing mechanical pulp, the one for the manufacture of fibre, building, and insulating boards, the other for the manufacture of container board, and one company is also producing sulphate pulp for the manufacture of multi-wall bags and for export. Both of these producers are using radiata pine from their own exotic forests for their pulping operations; there is no pulping of indigenous species. One paper mill is manufacturing paper from imported pulp. In addition, a comprehensive national scheme provides for the early establishment of both a sulphate pulp mill and a newsprint mill (see following). The two sulphate mills and also the ground-wood mill to furnish pulp for newsprint will use exotic species, mainly radiata pine, for their pulpwood requirements.

The quantity of wood pulp produced in New Zealand during each of the last five years has been as follows: 1950–51, 23,714 tons; 1951–52, 24,947 tons; 1952–53, 26,685 tons; 1953–54, 34,415 tons; 1954–55, 72,772 tons.

The Murupara Scheme.—Following a visit to New Zealand in 1925 by an overseas pulp and paper expert and successful tests in 1928 to prove the suitability of New Zealand's exotic softwoods for pulp and paper production, the Kaingaroa State Forest was extended to its present size of 284,000 acres. To guard against the vulnerability of a single species to insect and fungal attack, a diversity of species was planted, and the part included in the Murupara Working Circle contains approximately 100,000 acres of radiata pine and areas of several other species totalling a further 100,000 acres.

In 1949 further successful tests were carried out on a commercial scale to prove that resin and other problems associated with making newsprint from radiata pine could be overcome under operating conditions. Favourable reports were also submitted by overseas consultants on the feasibility of the proposal to establish an integrated sawmill and pulp and paper mill to convert the timber from the Murupara Working Circle.

In June 1951 the Government issued a world-wide invitation to organizations commanding adequate technical and financial resources to establish an integrated sawmill and pulp and paper mill for the conversion of an annual log supply of 23,000,000 cubic feet offered from the Kaingaroa State Forest.

The only offer was from the Tasman Group. A committee set up by the Government to examine this offer recommended its acceptance, and the Tasman Pulp and Paper Co., Ltd., was formally registered in July 1952 with a provisional directorate of three Tasman Group directors and three Government directors.

During the past twelve months this huge scheme has moved well into the construction stage. A labour force of over one thousand two hundred men is rapidly shaping the newsprint mill, pulp mill, and sawmill of the Tasman Pulp and Paper Co. Ltd. at Kawerau, the recently named town near Mt. Edgecumbe in the Bay of Plenty. The pulp mill and sawmill will begin operating in the second quarter, and the newsprint mill in the third quarter of 1955. The annual output available for sale will be 75,000 tons of newsprint. 36,000 tons of kraft pulp, and, on a one-shift basis, 36,000,000 board feet of sawn timber.

Government works to serve the scheme are proceeding. The thirty-eight mile rail link between the mill and the forest and the final rail-head at Murupara is now complete. The mill-site is also linked by rail with the east coast main trunk line at Awakaponga nine miles distant; and the new port at Mount Maunganui is joined to the same trunk line by a four-mile length from Te Maunga. The first berth of 400 feet of the new 1,230 foot wharf at Mount Maunganui is ready for shipping. The whole port, with full port facilities to serve the entire Bay of Plenty, Rotorua, and Putaruru area, will be ready by mid-1956.

Test borings for geothermal steam to a depth of 1,400 feet at Kawerau have produced promising results.

Two new towns are being built: the first, of 540 houses to house mill employees at Kawerau, is nearly completed; the second, of some 220 houses at Murupara, will accommodate logging gangs. Single-men's accommodation is also provided for at both towns.

A new hydro-electric transmission line is being surveyed to bring power from the Waikato to Kawerau, and to augment supplies from the Bay of Plenty grid.

The financial structure of the Tasman Pulp and Paper Co. Ltd. is starting to take shape. The capital of the company is £6,000,000, of which £1,000,000 in shares has been allotted to the Government and £700,000 to the Fletcher Trust and Investment Co. Ltd. It is the intention to allot a further £1,000,000 to the Government (making £2,000,000 in all) and £300,000 to the Fletcher organization (making £1,000,000 in all). A recent offer to the public of 500,000 £1 shares (this in addition to the holdings of the Fletcher organization and of the Government) was heavily oversubscribed, and a further issue will be offered later. £2,000,000 of debentures were also marketed, and all but £200,000 taken up, the small balance being covered by the underwriters. Loans of £10,000,000 on the London market, and of $16,000,000 from the American Export-Import bank, have provided the necessary overseas capital for company and Government purchases of plant and equipment. An agreement has been made between the Tasman Company and Albert E. Reed and Co. Ltd., of England, under which £1,500,000 in shares will be allotted to the latter company.

This agreement provides that Albert E. Reed and Co. Ltd. will place all its experience, technical knowledge, and research facilities at the disposal of the Tasman company. Another agreement with the Abitibi Power and Paper Co. Ltd., of Toronto, provides for supervision and training for a limited period to assist in starting the mills as they are completed.

Contracts have been arranged for the sale of 40,000 to 45,000 tons of newsprint to Australian and New Zealand publishers. Negotiations are well advanced for sales of pulp, and arrangements already concluded for sales of timber directly it is available.

The Kaingaroa Logging Co. Ltd., registered in July 1954, will handle the log supply for the Tasman Pulp and Paper Co. Ltd. Its directorate represents both Government and Tasman interests. Senior staff have already been appointed. The Ministry of Works has completed under contract over thirty miles of logging roads, and work is under way on mapping, road-surveys, purchase of logging equipment, and recruitment of logging personnel from Canada.

The Kinleith Project.—The integrated pulp mill, kraft-paper mill, and sawmill of N.Z. Forest Products Ltd., at Kinleith (near Tokcroa), recently completed its first year of full operation by all sections of the plant.

This great enterprise, backed by 176,000 acres of radiata pine forests, now has an annual capacity of 25,000 tons of kraft paper, 45,000 tons of kraft pulp, and 60,000,000 board feet of sawn timber. At other plants the company manufactures insulating and hard-board, multi-wall paper bags, solid board containers, wooden cases, and veneer for plywood. The company has built a town at Tokoroa, four miles from Kinleith, for its 1,500 employees and their families. A capital of £6,000,000 is invested in the enterprise.

Other Developments.—The Whakatane Board Mills Ltd. has been making various classes of box and carton boards from radiata pine groundwood, imported chemical pulp and waste paper, since 1939, and annual production now stands at over 16,000 tons. The company has recently increased its capital from £1,750,000 to £3,000,000 and undertaken extensions to its plant to provide a 50 per cent increase in its output of paper-board.

The company owns its own radiata pine forest at Matahina and hauls the logs twenty-three miles to the mill over its private railway line. An associated company, Whakatane Timber Mills Ltd., has its modern sawmill located near the board mill to take the larger logs from the forest.

Caxton Paper Mills Ltd., recently registered with a capital of £300,000, is to build a mill adjacent to the Tasman Paper and Pulp Co's. plant at Kawerau to make tissue and various lightweight papers. The mill will have a production of between four and five thousand tons annually and construction of the plant will begin early in 1955. It will draw pulp and water supplies from the Tasman company.

Plywood and Veneer Manufacture.—Four factories are engaged in the manufacture of plywood, and the total output for the year ending 31 March 1954, when reduced to a uniform basis of 3/16 in. thickness, was 30,868,000 square feet. Three other plants produce limited quantities of veneer only.

For the most part logs from the indigenous forests form the basis of the plywood and veneer industry, though the peeling of exotic species, particularly radiata pine, shows a good deal of promise and is likely to increase steadily in importance. Now that the indigenous forests have become so depleted the production of peeler logs for veneer and plywood manufacture is regarded by the Forest Service as having a first claim on the State forests; hence in its own logging activities the Forest Service aims at producing the maximum amount of peeler logs, and has recently also adopted a policy of requiring sawmillers purchasing State indigenous forest to reserve logs suitable for peeling and divert them to the veneer factories.

Other Round and Split Products.—Considerable quantities of native timbers have been required in the past to meet the needs for mining, fencing timbers, firewood, and a proportion of sleeper, pole, and bridge timber requirements. Thinnings and small diameter logs from exotic forests should now make useful contributions towards satisfying those needs, and justify the operation of commercial-sized preservative treating plants.

Wood Preservation, Grading, and Seasoning.—Apart from plants treating round produce, for ground contact use, with creosote and oil-soluble preservatives, the more recent establishment of plants for treatment of sawn timber with water-soluble preservatives has permitted far greater use in buildings of the non-durable grades and species from both indigenous and exotic forests. In this country, with its deeply-rooted conservatism in timber use, and accustomed to the extravagant use of indigenous softwood logs carrying a high proportion of heartwood with excellent durability, strength, and stability, and a minimum of defects, such developments, together with those concerned with timber grading and improved seasoning techniques, have inevitably been slow. The significance of correct grading becomes more manifest as the use of exotic timbers extends. Another aspect of the more complete utilization of the sawn products of indigenous softwood logs was the recognition during the “thirties" of a need for accelerated and controlled seasoning in drying kilns. A further impetus has been given to this trend by the expansion of exotic timber utilization, as these woods dry easily and rapidly in kilns.

OVERSEAS TRADE.—New Zealand is self-sufficient in timber resources as far as quantity is concerned, but has always found it necessary to import strong, hard, and durable Australian hardwoods for railway sleepers, poles, cross-arms, wharf, bridge, and constructional timbers, etc. In addition there has been a traditional demand for Douglas fir, redwood, and western red cedar from North America for structural uses and exterior joinery. Other imports are normally limited to Japanese oak for the furniture trade and small quantities of other species for specialty purposes.

While exports have fallen to quite low levels in recent years owing to the absence of any real surpluses of indigenous timber there has been a growing trade with Australia in radiata pine. The export potential is approximately 150,000,000 board feet annually, but the attainment of this level is dependent on the large scale development of the exotic forests in the North Island and is not likely to be realized for many years to come.

Details of overseas trade during the calendar year 1953 are given below. The value of imports is the current domestic value in country of origin plus 10 per cent.

Exports
 Board Feet (000) Sawn TimberValue in £(N.Z.)
Radiata pine—  
Sawn16,147424,240
Cases4,173200,070
Rimu6320
Beeches2529,960
Other643,380
    Totals20,642637,970
Imports  
Sawn or hewn timber—  
Australian hardwoods—  
  Sawn10,579592,530
  Hewn1,15159,770
  Railway sleepers13,567566,010
  Logs and poles6,462300,830
Douglas fir4,464174,400
Oak1,17380,170
Cedar91944,860
Redwood1,19852,980
Other logs and poles771,530
Other..121,880
    Total..1,994,960

The following table gives a summary of exports and imports for the past five years. The value of imports is the current domestic value in the country of origin plus 10 per cent.

Calendar YearExports of Sawn Timber (New Zealand Produce)Imports of Timber
QuantityValueSawn or HewnSleepersLogs and PolesTotal Value*

* Inclusive of value of split posts and other items.

† Provisional.

 Bd. ft. (000)£(N.Z.)Bd. ft. (000)Bd. ft. (000)Bd. ft. (000)£(N.Z.)
194925,256561,12026,40914,1644,8241,259,300
195014,900372,73019,5299,3145,0401,192,700
195121,502733,94021,3344,5284,6631,379,300
195216,890599,78038,7975,31110,6843,023,000
195320,642637,97020,44213,5676,5391,995,000

RESEARCH.—All forestry and forest products research administered by the Forest Service has since 1947 been co-ordinated or undertaken by the Forest Research Institute, Rotorua.

The complexity of the many indigenous and exotic forest problems necessitates the maintenance of an organization such as this, working on the principle of continuity in a co-ordinated programme of investigations.

While the onus is on the Forest Service as the national forest authority to bear the major share of forestry and forest products research, the Department of Scientific and Industrial Research, the University of New Zealand, and private industrial organizations also undertake both applied and pure research in certain aspects of forestry and forest products.

The scope of the research that is being undertaken may be summarized as follows:

Silviculture.

  1. Intensive study of the ecology of beech, kauri, and podocarp forests leading to the development of systems of silviculture which will provide the basis of sustained yield management.

  2. Establishment of a series of permanent sample plots in commercial exotic forests to study the response to various grades of thinning and to obtain data on growth and yield throughout the rotation.

  3. Research on quality and origin of seed in conjunction with tree type improvement based on genetical principles, involving vegetative propagation of desirable parent stock. Forest soils investigations (in collaboration with the Department of Scientific and Industrial Research), with particular reference to the long-term changes in pumice soils, and to the effect of chemical treatments on soils associated with poor tree growth.

  4. Development of national arboreta in geographically representative localities, and a central herbarium of forest vegetation.

Mensuration.—The compilation of volume tables for both standing forests and logs, in respect of both indigenous and exotic species. Yield tables for exotic species; increment studies; research on timber conversion factors and log scaling; and form-class investigations applicable to chief exotic conifers.

Forest Pathology.—The investigation of all organisms and factors harmful to the growth of forests, embracing both entomology (including biological control of insect parasites) and mycology, with particular reference to the fungi affecting radiata pine and beech forests.

National Forest Survey.—This subject is treated in detail on page 511.

Forest Products.—Current research is centred upon evaluation of the inherent properties of those timbers, both indigenous and exotic, which must gradually replace the widely-used indigenous softwoods and imported timbers and forest products. In parallel with the basic studies are those relating to establishment of grading rules, to air-seasoning and kiln-drying, wood preservation, and wood use generally. As the direct result of such research, a number of Codes of Practice and Standard Specifications are being evolved to meet the needs of industry, while the more fundamental aspects are discussed in Forest Service publications and research notes. Some results of specialized work on wood chemistry, paint, and wood preservatives by the Department of Scientific and Industrial Research, and on aspects of utilization of exotic forest timbers by non-Government organizations, are also becoming available. Meanwhile the earlier research work by the Forest Service on the indigenous softwoods indicates the ways in which the dwindling resources may be used most intelligently and economically.

PRINCIPAL FOREST TREES.—A brief description of the chief forest trees with their distribution and the uses of their timber is now given.

Hardwoods.—SILVER BEECH (Nothofagus menziesii): This species is widely distributed throughout both the North and South Islands, particularly in cold, wet, mountainous country, but it is also capable of occupying a very wide range of sites and soils from swamps to dry talus slopes, and from sea level to the timber limits at 4,000 ft. It frequently occurs in admixture with podocarps or with the other beech species but forms pure stands in high altitude forests and in the lowlands of western Southland. In this latter locality it attains its optimum development. In form it is an exceedingly plastic species varying, according to site, from a low branchy shrub to a tall massive tree, total height 80 to 90 ft., branch-free bole to 60 ft. (average 36 ft.), breast height diameter to 72 in. (average for commercial forest 24 to 36 in.). In virgin lowland forest the older trees, circa 350 years, are normally heavily defective. Such stands may carry up to 25,000 board feet per acre, averaging less than 10,000 board feet, but, under management, production of 50,000 board feet per acre on a 120-year rotation is anticipated. In general form and in its silvicultural characteristics under management, silver beech might best be compared with European sessile oak.

The Southland timber (averaging 34 lb. per cubic foot air-dry) is of a pinkish colour when first cut, changing to a light brown with exposure. It is straight in the grain, easily worked, and strong, but not durable in contact with the ground. The principal uses are flooring, interior finish, furniture, bentwood work, agricultural implements, bodies of motor cars, billiard tables, tool handles, dowels, rifle stocks, shoe heels, casks, barrels, cheese crates, and packing cases. The denser silver beech from districts other than Southland air-seasons slowly but satisfactorily under cover, and is suitable for most of the less critical uses where the heavier weight (46 lb.) is not disadvantageous.

MOUNTAIN BEECH (N. cliffortioides): This is the characteristic tree of the drier inland and eastern mountain ranges, though it occurs also on a wide range of sites down to, and including, acidic bog soils and spray-swept coastal cliffs. At high altitudes and in the bogs it is a small stunted tree or twisted shrub, but on favourable lowland sites, particularly in western Southland, it attains a maximum height of 80 ft. with up to 60 ft. of clean evenly tapered bole, with a breast height diameter to 48 in. (average 18 to 24 in.). On such sites it displays rapid growth with a potential rotation period of 90 years. The total life span is less than that for the other beech species, and trees are overmature and defective at approximately 150 years. In many forests mountain beech is aggressive at the expense of other species. As with all the native beeches, heavy seed crops may be expected, particularly within the areas of optimum range, at three to four year intervals normally following hot, dry summers. From the viewpoints of water-shed protection and soil conservation, mountain beech and silver beech are undoubtedly two of the most important trees in the country, but at the same time are the two species most susceptible to damage by exotic browsing animals.

The Southland timber is potentially important as a substitute for silver beech in many uses. It is intermediate in density between Southland silver beech and red beech, sharing with the former the advantages of an excellent density to strength relationship, and reasonable ease of seasoning. Evidence suggests that heartwood is durable in outdoor locations, but the indicated uses meanwhile will be those requiring a tough, straight-grained, and even-textured timber in motor bodies, factory trucks, implement manufacture, gates, handles, and in industrial and domestic flooring. The timber is also very suitable for general building purposes.

BLACK BEECH (N. solanderi): Contrary to previous reports, black beech is of strictly limited occurrence. It has invariably been confused with lowland types of mountain beech to which it bears a close resemblance and with which it hybridizes freely. In the South Island the two species merge and become generally indistinguishable. The type can only be recognized with certainty on lowland sites in Nelson and Marlborough. In the North Island black beech characteristically occupies lower hill slope and valley sites to the east of the main ranges, sites intermediate between the podocarp forests and the main bulk of the beech forests proper. Few, if any, extensive areas of pure black beech forest remain. In its behaviour under management it again resembles mountain beech though growing to a somewhat larger size than the latter. As with all the indigenous beeches, young vigorous trees are marked by smooth light coloured bark, and maturity or over-maturity by the development of rough fissured bark of darker colour.

The timber (49 lb. per cubic foot air-dry) is yellowish-white with black-streaked heartwood, which is extremely durable in the ground. With its additional advantages of high strength, hardness, and excellent wearing properties, the heartwood is suitable for bridge decking, bridge timbers, and similar purposes, as well as for fence posts. Sapwood clear of defect is suitable for dowels, handles, and bentwood, while other grades are suitable for building. The greatest obstacle to sawing black beech is the high silica content, which causes rapid blunting of saws. Supplies are relatively restricted.

RED BEECH (N. fusca): Red beech is a tree of very wide, though discontinuous, distribution from the Thames mountains south almost to Foveaux Strait. In the far south it is clearly beyond its optimum climatic limits and is vigorous only on restricted special sites in western Otago. In the North Island it is generally restricted to montane forest on the inland and eastern ranges, typically in the Ureweras and in the Kaimanawas. The finest red beech forests are those of western Nelson and north Westland. Here the species is most vigorous, regenerates freely, displays its fastest growth, and reaches its maximum size. Red beech is a tall massive tree, total height 100 ft. or more with up to 70 to 80 ft. of clear bole, ranging in diameter to 72 or 84 in., but trees of this size are seldom sound. The average diameter is 40 in. Within its area of optimum range red beech can be managed under a simple uniform clear-cutting system with a rotation of less than 100 years. Second-growth stands have been logged at 62 years. Red beech forests outside this optimum area will, for various reasons, require more skilled management under selection or shelterwood systems, techniques not yet economically possible on any considerable scale.

The timber when first cut is a pinkish-red in colour, turning to a light brown on seasoning; it is hard, strong, easily split, durable, and of about the same weight (about 44 lb. per cubic foot air-dry) as English ash. It is slow seasoning, and requires end coatings and a roof over the stack to prevent sun checks, warping, and internal checking. When good-grade stock is seasoned carefully it is suitable for house construction (framing is installed green), furniture, bentwork, handles, dowels; other established uses are sleepers, bridge timbers, fence posts, mine props, boat building, and flooring (domestic and industrial). Its excellent bending and even-wearing qualities are particularly significant in connection with the last two uses. Material containing sapwood is suitable for parts of buildings and other uses where there is no decay hazard.

HARD BEECH (N. truncata): A tree very similar in general appearance to red beech but normally somewhat smaller. The leaves are more coriaceous and the species favours the drier sites, red beech in the valleys and hard beech on the ridges. In geographic range it extends farther north than any of the other species and occurs in Northland in local association with kauri. Throughout the North Island its general distribution parallels that of red beech but is more markedly discontinuous. In the South Island it is not found outside Marlborough, Nelson, and north Westland. In these areas it occurs in admixture with red beech or, south of Westport, with rimu. This is its area of optimum range. Silviculturally it bears close comparison with red beech though growth rates are not so well known and may prove slower. In stem form it is not quite the equal of red beech. As with all the beeches, satisfactory form is assured only when stands are maintained in a heavily stocked condition, at the expense of volume increment, until height growth is completed. Red and hard beech hybridize readily, but apparently not so freely as do either red or hard beech with either black or mountain beech.

Until recently its timber (48 lb.) was confused with that of the red beech, but it is harder and probably more durable. When first cut it is pinkish in colour. Its uses are the same as those of its near relative, the red beech. This species may be expected to become, with red beech, progressively more important as a local substitute for the durable Australian hardwoods in outdoor applications, as well as providing mining timbers. The timber is slow-seasoning and liable to warp and check unless seasoning technique is correct, with special emphasis upon protection from the sun.

TAWA (Beilschmiedia tawa): A shade-tolerant evergreen tree with graceful willow-like foliage and thin black bark widely distributed throughout the podocarp forests of the North Island and, locally, in coastal forests of Nelson and Marlborough. On certain hill sites and elsewhere, following the logging of the physiognomically dominant podocarps, tawa assumes dominance, but the long-term stability of such tawa forest types is not known. Tawa regenerates freely, though in comparison with the beeches growth appears somewhat slow. Mature trees reach a maximum height of 80 ft., averaging 50 to 60 ft., with breast height diameters up to 48 in., though generally averaging about 20 in. Stem form is not good, the bole tending to be irregular or forked, and logs of length exceeding 20 ft. are seldom obtained. Tawa is important as the most widely distributed species of commercial significance residual in, or developing in, fully exploited podocarp forests. Its ultimate role under more intensive silvicultural management is, as yet, the subject of inquiry.

The timber (46 lb.) is light-brownish-white to cream in colour, hard, straight-grained, strong, but not high in shock resistance. It deteriorates rapidly if left block-stacked in an unseasoned condition, but where rapid air-seasoning under cover is carried out under hygienic conditions degrade is slight. Kiln-drying green from the saw is the preferred, practicable method of seasoning. With its excellent machining and finishing qualities, combined with a high yield of dressing grade timber, tawa is a first-class furniture wood and very suitable also for all other interior woodwork and flooring and turned products such as dowels, rods, handles, and clothes-pegs. Treatment to give immunity from attack by the powder-post borer will extend its popularity for these uses. Lower-grade timber is suitable for framing, dunnage, and hardwood pulp.

Indigenous Softwoods.—KAHIKATEA or WHITE PINE (Podocarpus dacrydioides): This species is widely distributed according to a complicated pattern throughout New Zealand. It occurs on dry sites in hill podocarp forests in association with matai and totara, and on such sites the trees are very large and very old. It occurs, also, in dense stands in swamp forests throughout the country. In the swamps kahikatea is vigorous, seeds freely, regenerates well (in certain localities prolifically), and displays comparatively fast growth. The saplings and poles are usually of excellent form and early develop long clean boles. Mature kahikatea are fine trees frequently exceeding 140 ft. in total height (though considerably less in the far south) with diameters breast height to 72 in. (averaging 30 to 40 in. in the hills and 20 to 30 in. in the swamps). Clear logs to 80 ft. in length are not exceptional. Only one factor has served to prevent the initiation of intensive sustained yield management. The swamps in which kahikatea is vigorous, when drained and developed, are the finest dairy lands in the country.

Logs from most lowland sites consist almost entirely of white sapwood from which long clear lengths in wide widths may be sawn. The timber is light (averaging 29 lb. per cubic foot air-dry), even-textured, of moderate strength, easily worked, and practically odourless; the last quality made it pre-eminent as a container for easily-tainted foodstuffs such as butter. With the advent of the fibreboard butter box the timber has become more readily available for kitchenware, miscellaneous woodware, kitchen furniture, vats, boat building, and house building (after preservative treatment). Heartwood forms a significant proportion of old hill-grown logs; it is yellow, sometimes miscalled “yellow pine,” durable, and is a useful substitute for heart kauri.

KAURI (Agathis australis): Kauri, the most celebrated of all New Zealand trees, is a species of most restricted distribution with but few outliers outside the Northland and Coromandel Peninsulas, but of the original areas only remnants remain. The giant dominants in virgin forest, up to 20 ft. in diameter with taperless smooth boles reaching to 80 ft. or more, are immensely old and are rightly regarded as national monuments. Yet, of all the native softwoods (saving only kahikatea in the swamps), kauri proves, silviculturally, the most amenable. Regeneration can be secured (by way of nurse crops of Leptospermum or by suitable shelterwood techniques), the species can be handled in forest nurseries, and growth rates are satisfactory. Kauri can be grown as specimen trees in Invercargill 1,000 miles to the south of its natural range. There growth rates exceed those shown by rimu on sites of optimum quality. Under management in the north it should certainly prove possible to grow kauri on a rotation not exceeding 200 years for the production of logs up to 36 in. in diameter. Many minor details in connection with its silviculture remain for solution, but successful domestication of this valuable timber tree can confidently be anticipated.

Production of sawn timber has fallen to about 1,000,000 board feet per annum, of which the major proportion of first-quality timber is used for boat building. Its rapid decline has emphasized the remarkable versatility of a timber whose capacity to yield long clear wides of heart quality has been a byword in world trade. The light yellowish-brown, lustrous heartwood, averaging 36 lb. per cubic foot air-dry, is straight-grained, strong, easily worked and finished, even-textured, remarkably stable and durable under most exacting conditions. It is used in vats for acids, tanning, and brewing, in textile-mill machinery, laundry appliances, butter churns, printers' blocks, and sink benches. A wide range of general uses in building, furniture, bridge, boat, and ship construction has absorbed the other grades “Medium" and “Seconds" (containing sapwood) as well as “Rough Heart” and “Shaky Heart.”

MATAI or BLACK PINE (Podocarpus spicatus): This tree, resembling a hardwood in form though possessing yewlike foliage, occurs throughout New Zealand. In the south its distribution is strictly discontinuous and it occurs as solitary trees or in small stands scattered throughout the rimu forests, the lowland beech forests, and even the eastern grasslands. Here it possesses all the characteristics of a true relict species. Growth rates are very slow (50 or more rings to the inch), regeneration is rare even on exceptionally favourable sites, the trees are normally of great age (in some stands all exceed 800 to 1,000 years), and the degree of stunting and malformation increases from north to south. The major matai forests lie in the central portions of the North Island where the trees are of better form, total height to 80 ft. (averaging 60 ft.), diameters breast height to 60 in. (averaging 20 to 30 in.), growth rates are better (though seldom exceeding 1/10 in. per annum), and the dominants are younger. But even here regeneration is normally sparse to wanting. Matai forest soils are very fertile agricultural soils and are in demand for farming. Sustained yield management is a possibility only on restricted special quality sites in the north.

The narrow white sapwood band is clearly demarcated from the straw-coloured heartwood, and boards which are partly or wholly sapwood are used principally for flooring (preservative treated), tallow casks, and similar containers. Heart timber, averaging 38 lb. per cubic foot air-dry, has outstanding qualities of being both hard- and even-wearing, durable and dimensionally stable, which make it one of the best flooring timbers in the world for industrial as well as for domestic use; the same properties commend it for decking and sills. Other building uses include weatherboarding, framing timbers, and plywood. Reject logs provide excellent firewood.

MIRO (Podocarpus ferrugineus): Miro is found in close association with rimu throughout the entire range of the latter. It seldom, however, achieves co-dominance and very rarely and locally attains dominance. In comparison with the other major podocarps it is a small tree usually less than 70 ft. in height and 36 in. in diameter (averaging 24 in.). In contrast to the cupressoid foliage of kahikatea and rimu, the miro foliage is of the yew type. The large bright-red drupes are borne regularly and in abundance and are widely distributed by birds. Seedling miro are normally abundant throughout the forests but saplings are rare. Some, as yet unknown, factor prevents survival and satisfactory growth. Growth rates are extremely slow even in comparison with rimu, and it is most unlikely that miro will ever prove a species of commercial significance in managed forests.

This timber resembles rimu in appearance, in the differentiation of three zones in the log (heartwood, intermediate zone, and sapwood), in many of its major properties, grading and uses, and is moreover marketed as rimu in many localities. Miro is stronger and harder than rimu, and is somewhat more liable to warp when handled carelessly.

RIMU or RED PINE (Dacrydium cupressinum): This, the principal timber tree of New Zealand, is likewise the most widely distributed, occurring in quantity from the Northland kauri region south to Stewart Island. It is present in all lowland beech forests and is the dominant tree over wide areas in the North Island and in Westland, though absent from high altitude forests and rare or local over the central eastern portions of the South Island. It is a tall tree up to 100 ft. in height, producing logs 70 ft. or more in length with breast height diameters up to 60 or 70 in., though these dimensions are reached more frequently in the north than in the south, and in the hill country forests rather than on the coastal plains. Despite its abundance, however, rimu has proved, silviculturally, a most recalcitrant species. In the hill forests, most noticeably in the south, there has been no significant regeneration for several centuries, and rimu on such sites appears to be definitely a relict species. Growth rates are very slow. Many of the larger trees exceed 700 years in age, while annual diameter increments, even on select sites, of 1/10 in. are rarely exceeded. Growth is equally slow in the coastal forests where the sparse regeneration obtained after logging is frequently impeded by rising groundwater levels, a consequence of logging. Artificial re-afforestation with rimu is rendered abortive by the high cost of collection of the solitary seeds emplaced at the tips of the terminal twigs, by the dioecious habit of the species, by uncertain germination coupled with slow growth of the seedlings and heavy mortality on transplantation, and by the heavy growth of weed species that develops following logging. Rimu may be maintained indefinitely as a minor constituent of certain lowland beech forests or on select sites in the north of the North Island, but elsewhere the rimu forests are probably a non-renewable resource.

Current high production of rimu timber cannot be sustained for many years, and it is necessary to direct available supplies into those uses in which its properties and grades are used to best advantage. The timber possesses the qualities of even texture, medium density (averaging 37 lb. per cubic foot air-dry), good seasoning, machining, finishing, and painting qualities, and moderate strength and hardness. The light brown sapwood and intermediate zone may be preservative-treated to impart durability; heartwood is moderately durable, dimensionally stable, and often is highly figured. Building construction (practically all components), furniture, and plywood use the bulk of available supplies.

TOTARA (P. totara and P. hallii): These closely related species which hybridize freely are both widely distributed though in very different fashion. The distribution of P. totara, a tall massive tree with thick fibrous bark, up to 100 ft. in height (average 80 ft.) and up to 80 in. in diameter (average 30 to 40 in.), parallels that of matai and, like matai, it is stunted and malformed in the south. P. hallii, a much smaller tree with thin papery bark, is more widely distributed and occurs in both lowland and alpine podocarp and beech forests. In high altitude forests it is frequently no more than a shrub. Growth rates are slow, particularly in the south, though regeneration occurs more abundantly, for P. hallii if not for P. totara, than for matai. Such regeneration, however, is seldom of good form. Remarks on the silvicultural potential of matai apply to P. totara, though prospects are somewhat brighter by virtue of freer regeneration and faster growth (up to ⅕ in. per annum). P. hallii is strictly a minor species of limited commercial importance, though recent growth-rate figures for this colder climate species when grown in the north show some small promise.

Brownish-pink heartwood is readily distinguished from the pale brown sapwood; the latter is regarded as more durable than sapwood of other indigenous softwoods and suitable without preservative treatment for a wide range of uses in building construction where its relative softness and brittle nature are not restrictive. The latter properties too are virtually the only disadvantages of heart totara which is light (averaging 30 lb. per cubic foot air-dry), easily worked, straight-grained, dimensionally stable, free from warping, and of outstanding durability under the most adverse conditions, in poles, posts, sleepers, and wharf piles. High-grade stock today is required primarily for exterior joinery, while reject logs continue to supply fence posts.

Exotic Softwoods.—DOUGLAS FIR (Pseudotsuga taxifolia): This was introduced in the early days of settlement from the Pacific coast of Canada and the United States of America, where it forms very extensive forests both pure and in mixture with other species. Trees, when growing rapidly, are pyramidal in shape and with very dense, fragrant foliage on numerous, smallish branches. In the best of the Pacific coast forests they reach immense sizes of 300 ft. in height and 40 ft. in girth. The species has been a highly successful introduction, both as an ornamental and as an afforestation tree. Fine old trees and plantations are to be seen along the foothills of Canterbury. Forest Service plantings date back to 1900, although large areas were not established until 1921–30. In all, over 40,000 acres have now been planted in State forests as well as several thousand acres in private, company, and municipal plantations. The forests are successful and healthy from the Rotorua district to Southland, and at altitudes under 1,000 ft. in the south and up to 2,000 ft. in the north. The species grows in a wide range of soils, provided that they are well drained. It is a tree of hill country, and seldom does well on flats and plains; in general it prefers shady slopes. It will grow well in areas of moderately high rainfall, but cannot stand severe frosts.

Plantations put on large volume increments and yield profitable early thinnings for poles and posts. On good-quality sites a height of 80 ft. can be attained in 30 years and a volume of 9,000 cubic feet to a 4 in. top. Only locally collected seed is now used for raising seedlings. In many areas trees or plantations will throw dense regeneration. To produce quality timber and maximum profit, rotations will be at least 60 and probably 80 years or more.

The inherent features of locally-grown Douglas fir are not dissimilar from those characterising the species as grown in its native habitat. Heartwood is formed at a relatively early age, pinkish-brown in colour, with the distinctive Douglas fir smell, and having moderate durability, including resistance to insect borers, in buildings. Sapwood is white. Growth rings are prominent with dense latewood bands contrasting with the more open-texture earlywood zones. In general, a high proportion of latewood in the growth rings is indicative of the higher density strong timber preferred for framing and structural timbers for building; on the other hand a low latewood percentage indicates light timber easily nailed and presenting fewer painting difficulties. The density range is from 27 lb. to 36 lb. per cubic foot air-dry. Thinnings are suitable after preservative treatment for use as poles and posts.

EUROPEAN LARCH (Larix decidud): This tree, one of the few deciduous conifers, is a native of Central Europe. The main New Zealand plantings were made during the years 1900–15; the area established to date totals 7,900 acres, of which 5,460 are located in the North Island and 2,440 in the South Island. Best growth has been obtained on sheltered easy hill slopes at fairly low altitudes and on soils which are deep, well aerated, and moist. On such sites the root system is strongly developed and the bole is tall, clean, and tapering. Exposure to strong winds leads to the development of sabre butts. By the age of 30 years heights of 70 ft. have been attained and volumes per acre are estimated to be approximately 4,000 cubic feet. Seed cones are sparse and fertile seed is not borne until about the age of 25 years. Early plantings were made from stock raised from seed imported from Switzerland, but now sufficiently mature stands are available from which to collect all requirements; one pound of seed produces in the nursery about 18,000 seedlings. Fortunately stands have escaped the serious diseases to which this species is subject in Europe. Being a strong light demander, larch requires early and frequent thinnings to prevent the stands from stagnating; thinnings are likely to be profitable. Only after a thinning that has been too long delayed has wind-throw occurred; otherwise the tree has shown itself to be wind-firm. Rotations will be 70 years or more. The tree never grows to a large diameter, but has characteristically small branches which die early, and can be readily cleared; knot-free timber can thus be produced.

The small diameter logs available at present have been used after preservative treatment, mainly as natural round poles, props, and posts, for which purposes their good strength and form are realized to advantage. Natural rounds without treatment are used also for mine props, rails, and rustic work. Sapwood is light in colour, narrow and clearly defined; heartwood is reddish-brown to light greenish-brown in colour and moderately durable. The timber is of medium density (averaging 35 lb. per cubic foot air-dry), strong and tough, and hence is very suitable for framing in buildings, for gates and other farm timber, and for scaffold planks. The well-defined growth rings with dense latewood present a painting problem, and floors subject to heavy wear tend to wear unevenly.

CORSICAN PINE (Pinus laricio): This tree, native of southern Europe, has adapted itself well to New Zealand conditions. Successful plantations have been established as far north as Waipoua and as far south as the Invercargill district, and from sea level to altitudes up to 2,500 ft. The species has not proved exacting as to soil requirements, although the best stands are at lower altitudes on deep well-drained soils varying in texture from sands to clays. Plantations do not thin themselves naturally, so that early thinnings are imperative if stagnation is to be avoided. Unthinned stands become very liable to wind-throw from an age of 45 years onwards.

Growth rates are slow as compared with radiata pine, but are rapid in comparison with European standards for Corsican pine. The rotation in New Zealand is likely to be 60 to 80 years. Because of the wide variation in tree types which exist, special care must be taken in the selection of élite seed trees. In some localities there is promise of successful regeneration.

No stands have yet been clear-felled, but thinnings have been fully utilized.

Knowledge of this timber is limited mainly to small diameter logs of which the largest are sawn and others used for poles and posts after preservative treatment. Available logs contain only a small core of pink heartwood, and resinous pink knots contrasting with the creamy white sapwood. The timber is slightly denser and harder than radiata pine (averaging about 31 lb. per cubic foot air-dry), generally similar in strength properties, seasoning, machining, and finishing, and very susceptible to sapstain disfigurement during seasoning in both boards and natural round products. Pith is relatively insignificant, knots are smaller and more closely spaced than in radiata pine, and the density variation within the log is less. Light and dark bands (earlywood and latewood) in the closely-spaced growth rings do not appear seriously to affect paint coat adhesion in weatherboards or wearing qualities in flooring, for which the timber is mainly used.

RADIATA PINE (Pinus radiata). Almost confined in its natural state to the limited area of the Monterey Peninsula in California it has been a truly remarkable tree for its successful introduction into Southern Hemisphere countries and its widespread use for afforestation. In New Zealand it has been the mainstay of all planting, both on farms and in plantations, and about 500,000 acres have been established with it, or over 60 per cent of the acreage of all species planted. The present cut of timber is almost equal to that of rimu, hitherto the main indigenous building timber, and in the near future radiata pine will be by far the most important timber. It was introduced by the settlers in the early “sixties" and planted mainly for shelter.

By the 1920's its potentialities for afforestation were obvious and it was the species used mainly in the planting of the large areas of pumice country in the “boom" period 1925–30. The central North Island is now its stronghold, but it is grown throughout the length and breadth of the country, though it fares poorly in Northland and on the wind-swept shingle plains of Canterbury. It does well on a wide range of soil types, at altitudes from sea level to 2,000 ft. and in rainfall varying from 30 in. to 70 in. per annum. The best stands are in the Rotorua, Nelson, and Tapanui districts, and in sand dunes. Individual trees vary greatly in form, vigour, and in such botanical characteristics as size and shape of cones. The most remarkable feature of the species is its fast rate of growth; on good sites it will reach a height of 130 ft. in 30 years, and in the same period will commonly yield 50,000 board feet of sawn timber to the acre. Diameter growth is equally rapid and annual rings up to 1 in. wide are frequently seen.

Early in the life of stands, dominant trees take the lead and there is a continuous natural thinning so that stands do not stagnate. Seed is produced early and most of it is retained in the thick woody cones that stay on the trees. Natural regeneration usually follows clear-felling and is prolific after fires. Untended stands in the pumice country have been attacked by Sirex noctilio, in places severely. The insects Hylastes ater and Tortrix moth, and the fungi Armillaria mellea and Phomopsis, also attack the species under certain conditions.

The inherent properties of the bulk of sawn timber produced from radiata pine are sufficiently good to justify confidence in the suitability of the timber for a very wide range of uses in building construction, provided that it is properly graded, protected from sapstain disfigurement during seasoning (by chemical dipping or kiln-drying green off the saw), and preservative-treated where a decay hazard may arise in service. In other parts of buildings where the timber is erected after thorough seasoning and remains dry in service, preservative treatment is unnecessary. Sapwood timber is creamy-white, light (average about 28 lb. per cubic foot air-dry), easily dried, machined, and finished, and strong for its weight; there is little heartwood present in logs from 25 to 30 year old trees. Knots, only slightly darker than the rest of the wood, are the main defects; there are long lengths of clear timber between whorls of knots in many logs. Boards containing widely-separated large defects find a logical use in furniture and interior joinery for the “clear cuttings” which they will yield with minimum waste; other boards with smaller dispersed defects are preferred for flooring and weatherboarding. Growth rings are characteristically broad with a gradual rather than an abrupt change from the earlywood to the denser latewood in each ring. In machining and finishing, and in wearing (in service), the timber is largely free from troubles associated with more uneven and textured woods. Nevertheless there is a slight tendency for the customary paint coats on weatherboards showing a prominent “slashgrain" to be eroded away from the latewood bands; special priming treatments to counteract this feature and also the knots are being studied. The pith, in itself a significant defect, and a core of low density wood surrounding it, are taken account of, especially in members graded for strength. Apart from building uses, large quantities of timber are absorbed by boxes and crates, concrete boxing, core-boards and door cores, and a growing export trade. Pulping industries are using increasing quantities of small diameter material which is suitable for both groundwood and chemical pulps for paper as well as fibreboard and container board manufacture. Veneer production from selected logs is growing also.

LODGEPOLE PINE (Pirius murrayana): Lodgepole pine comes from the inland montane regions of Canada and the United States of America where pure forests of the species extend over large areas. It has a wide range of geographical races, several of which have been introduced into New Zealand. It has been used by the Forest Service mainly for the afforestation of high, cold plateau country in the centre of the North Island. Over 16,000 acres have been planted, the greater part between 1926 and 1932. The species is hardy and frost resistant, and can be grown at a higher altitude than any other exotic pine in New Zealand. The best races develop well and indicate that the species has a place in New Zealand forest practice, provided that seed selection is carefully done. Poor races on the other hand produce stunted and excessively branched trees which are unlikely to produce commercial timber. The tree never grows to large diameters and may find its best use in pulpwood. Lodgepole pine is a remarkably early and prolific seeder, and it regenerates profusely; it is in fact already tending to colonize parts of the tussock country of the central North Island. These characteristics may lead to it being grown for protection rather than production purposes.

The characteristics of the timber from local sources are as yet imperfectly known, as production is very small and limited to one or two localities. Timber sawn in North Canterbury has more clearly-defined growth rings and latewood bands than radiata pine, more closely-spaced growth rings due to its slower growth, and carries a significant proportion of heartwood distinguished from the creamy-white sapwood by its light pinkish-brown colour and distinctive smell. Pith is insignificant and knots are smaller, light brown in colour, and more dispersed than in radiata pine. The timber appears in general to be slightly denser and harder than radiata pine, but comments on the grading, seasoning, preservation and uses of the latter are a satisfactory guide to procedure with lodgepole pine.

PONDEROSA PINE (Pinus ponderosa): Ponderosa pine comes from the drier montane areas of western Canada and the United States of America. It is there a composite species comprising a number of geographical races which differ greatly in form and vigour and which extend over a wide area and range of conditions. In New Zealand the tree has been planted on a large scale, both by the Forest Service and by afforestation companies, and on an area basis it is second in importance only to radiata pine. Being a hardy species its main use has been in the afforestation of difficult sites, particularly the “frost flats” of the pumice country where climatic conditions are too severe to permit the establishment of radiata pine. Unfortunately, mainly poor races have been introduced and the ponderosa forests are therefore not of high quality. Some small-scale early plantings were from good races and these now show the possible value of the species. The tree will do well on poor soils and in climates characterized by low rainfalls and cold frosty winters. It grows slowly except on the best sites, and it will require a long rotation to produce mature high-quality timber. Early thinnings have not been profitable. Ponderosa pine in New Zealand is generally healthy but it has shown some susceptibility to Sirex noctilio, Hylastes ater, and Tortrix moths. It does not seed early in life and natural regeneration as yet is almost non-existent.

It is impracticable to give a complete picture of properties and uses as the sawn production to date is small. Timber examined is generally of lower density and slightly weaker than radiata pine, but this may be counter-balanced in graded framing timber by the knots being smaller and more dispersed. The indicated disability of low density core timber with associated low strength and a warping tendency will require attention in grading. Heartwood forms an insignificant proportion of the small-diameter logs which have so far been sawn. Sapwood is whitish and growth rings are not well-defined.

Principal Strength Properties of New Zealand Timbers.—The following table shows the principal strength properties of New Zealand timbers, both indigenous and exotic species. The test samples were in the form of small clear specimens, the air-dry values being adjusted to 12 per cent moisture content. In two of the exotic species, Douglas fir and radiata pine, tests of timber from two different localities are shown.

Common and Botanical Name of SpeciesCondition at TestWeight Per Cubic Foot (Pounds)Modulus of Rupture in Bending (Pounds Per Square Inch)Modulus of Elasticity in Bending (1,000 Pounds Per Square Inch)Maximum Crushing Strength Parallel to Grain (Pounds Per Square Inch)Shear Strength Parallel to Grain (Pounds Per Square Inch)
Indigenous Species      
Beech, black (Nothofagus solanderi)Green699,4001,7504,3001,280
 Air-dry4914,5001,9808,3001,870
Brech, nard (Nothofagus truncata)Green6910,3001,8704,6001,420
 Air-dry4813,7002,1007,0001,980
Beech, red (Nothofagus fusca)Green619,1001,7203,9001,260
 Air-dry4411,4001,9307,6001,850
Beech, silver (Nothofagus menziesii)Green557,6001,2803,400940
 Air-dry3412,2001,6706,1001,420
Black maire (Olea cunninghamii)Green7513,0501,5506,0001,810
 Air-dry6217,0002,0209,6002,360
Hinau (Elaeocarpus dentatus)Green708,8001,5904,3001,380
 Air-dry4512,3001,6106,6001,610
Kahikatea or white pine (Podocarpus dacrydioides)Green516,3009602,500810
 Air-dry299,5001,1405,1001,340
Kaikawaka (Libocedrus bidwillii)Green615,6006602,800750
 Air-dry276,4008704,100820
Kamahi (Weinmannia racemosa)Green557,8001,2503,4001,290
 Air-dry4010,8001,4205,8001,920
Kauri (Agathis australis)Green517,8001,5703,400940
 Air-dry3613,1001,8905,6001,220
Kohekohe (Dysoxylum spectabile)Green577,3001,2903,100790
 Air-dry3410,9001,4007,100840
Mangeao (Litsaea calicaris)Green627,6001,3303,3001,030
 Air-dry3913,3001,6206,6001,560
Matai (Podocarpus spicutus)Green689,0001,2304,0001,000
 Air-dry3810,8001,3206,8001,600
Miro (Podocarpus ferruginens)Green548,4001,4203,8001,150
 Air-dry3612,9001,5706,6001,690
Pokaka (Elaeocarpus hookeriamus)Green656,2001,0003,2001,260
 Air-dry3910,0001,1005,5001,730
Pukatea (Laurelia novae-zelandiae)Green614,2007302,500580
 Air-dry3011,8001,7004,9001,080
Rata, Northern (Metrosideros robusta)Green7211,3001,7105,2001,610
 Air-dry5518,2002,3409,2001,940
Rata, Southern (Metrosideros lucida)Green7913,0002,1505,8001,640
 Air-dry7123,0003,15011,5002,570
Rimu (Dacrydium cupressinum)Green617,4001,2203,300910
 Air-dry3711,0001,3105,4001,260
Silver-pine (Dacrydium colensoi)Green546,4007903,100840
 Air-dry398,5001,0705,8001,320
Taraire (Beilschmiedia taraire)Green728,6001,4103,9001,000
 Air-dry4213,0001,7906,6001,910
Tanekaha (Phyllocladus trichomanoides)Green689,3001,3904,6001,210
 Air-dry4214,1001,6206,5001,400
Tavva (Beiischmiedia tawa)Green679,7001,5904,4001,100'
 Air-dry4615,7002,0608,4001,780
Totara (Podocarpus totard)Green596,5009203,100810
 Air-dry307,6001,0705,5001,120
Exotic Species      
Douglas fir (Pseudotsuga taxifolia), Mackenzie CountyGreen366,3001,1002,800830
 Air-dry279,0501,2604,9001,220
Douglas fir (Pseudotsuga taxifolia), Marlborough CountyGreen398,0001,2103,8001,030
 Air-dry3613,4002,0006,6001,340
Radiata pine (Pinus radiata), Rotorua CountyGreen585,9001,0602,600870
 Air-dry2811,2001,3405,6001,550
Radiata pine (Pinus radiata), New Brighton BoroughGreen516,1009102,8001,060
 Air-dry319,3001,0604,2001,370
Macrocarpa (Cupressus macrocarpa), Tuapeka CountyGreen508,0009703,8001,010
 Air-dry3110,9001,1805,9001,620
Larch (Larix decidua), Rotorua CountyGreen417,5001,3203,200830
 Air-dry3513,5001,7407,1002,060

Chapter 22. SECTION 22—FISHERIES

Table of Contents

GENERAL.—The principal characteristics of New Zealand's fisheries are the great length of the coast line, extensive natural harbours, numerous sheltered bays, and narrow continental shelf. Off its more northerly coasts, which come within the influence of the south equatorial current, a rich variety of subtropical fish is found, as exemplified by such species as the flying fish, the sunfish, the swordfish, and several shark species. On the other hand, its southern coasts, washed by the Antarctic drift, are the natural haunt of the fur-bearing seal, and yield varieties of fish which are characteristic of cold-water conditions.

Of the many kinds of excellent edible fishes the most important are the snapper (Pagrosomus auratus), which is the principal species in the catch (mainly by trawl) in the north-western part of the South Island, the west coast of the North Island, and the east coast of the North Island to just south of East Cape; next in importance is tarakihi (Dactylopagrus macropterus), which is taken mainly by trawlers working off the east coast of the North Island and in smaller quantities off the west coast of the South Island. The groper or hapuku (Polyprion oxygeneios) is caught on lines in the deeper water from North Cape to Stewart Island, but principally in Cook Strait and on the rocky parts of the east coast of the South Island, while the blue cod (Parapercis colias) is the staple line-caught product of the southern line fisheries, particularly about Foveaux Strait and Stewart Island.

The flounder and sole (Pleuronectidae) occur in the more shallow and sheltered waters.

The most productive grounds are in relatively shallow water, and, except for groper and ling, fished for by means of deep long lines, most of the fishing is carried on at depths of less than 40 fathoms. Depths of ever 100 fathoms occur at a comparatively short distance from the coast, and up to the present it is not known to what extent these deeper waters may be productive of marketable fishes. The principal methods of fishing are long-lining for groper (hapuku), ling, “hake" or “kingfish,” and snapper; hand-lining for blue cod; trawling and Danish seining, by which flounders, snapper, tarakihi, gurnard, john-dory, and a variety of other fish are taken. In bays and estuaries set-nets are used for flounders, snapper, and mullet, and seines are also employed principally for the capture of flat fish and snapper. Sardines or pilchards (Sardinia neopilchardus) and other species of the herring family are known to occur in large shoals off some parts of the coast from time to time. There is no regular fishery for these kinds except where they have been periodically netted for bait in the Marlborough Sounds by Cook Strait fishermen. Attempts to commercialize these fish have been unsuccessful mainly because their appearances proved extremely irregular and inadequate in quantity.

In order to ascertain the economic position of the fishing industry an investigation committee was set up, under the Board of Trade Act, in 1937. This committee conducted exhaustive inquiries into all aspects of the industry, and reference to the committee's report (parliamentary paper H-44A, 1937–38) will give detailed information as to the conditions under which the industry then operated.

The fishing industry—that is, “the taking of fish and shell fish for sale"—came wholly under the control of the Marine Department by virtue of the Fisheries Amendment Act 1945, which provides that any boat used in fishing for purposes of sale must be registered, and that the owner of such a boat must be the holder of a licence authorizing the boat to be so used. In addition, any person employed on a fishing boat except as an engineer engaged wholly in connection with the propelling machinery, or wholly as a fireman, or as a cook, must be the holder of a crew licence.

The principal regulations dealing with fisheries are set out hereunder. Two comprehensive series are the Fisheries (General) Regulations 1950 and the Fresh Water Fisheries Regulations 1951. Under the latter are issued a number of modification notices which deal with particular aspects—e.g., permissible length of different classes of fish to be taken—while the various acclimatization societies' rules are issued under the authority of these regulations. The Sea Fisheries (Boats and Licences) Regulations 1951, the Oyster Fishing Regulations 1946, and the Whitebait Fishing Regulations 1951 are directly relevant to the fishing industry. Other regulations include the Seal Fisheries Regulations 1946, the Quinnat Salmon Regulations 1940, the Fish-pass Regulations 1947 and the Toheroa Regulations 1946.

STATISTICS OF FISHERIES.—Of the 1,528 licensed boats operating during 1953 those vessels whose income was over £200 totalled 740, compared with 672 in 1952. The number of persons employed on these boats was 1,537, compared with 1,380 in 1952.

The estimated total quantity and value of the principal classes of fishery products marketed in the years 1952 and 1953 were as follows.

UnitQuantityValue
1952195319521953
    ££
Wet fishCwt.408,858435,4971,079,0991,200,038
Whitebait (West Coast, South Island only)Cwt.1,9984,33850,343109,318
Oysters (dredged)Sacks93,67671,632121,77998,494
Oysters (rock)Sacks5,0015,22413,01513,730
MusselsSacks18,45718,8968,5028,868
CrayfishCwt.66,35081,674333,775460,366
Whale oilTons80076040,00038,000
Fish liverslb.800,303833,46036,68036,464
      Total value......1,683,1931,965,278

In the most important group, the “wet fish"—i.e., all the ordinary fishes caught by all the methods of sea fishing—the annual totals for successive years were as follows.

YearQuantityValue
 Cwt.£
1938–39356,114424,643
1939–40339,231416,480
1940–41328,594440,308
1941–42326,863458,393
1942–43311,971442,976
1943–44294,445480,268
1944308,237522,954
1945331,773558,404
1946380,321660,096
1947438,300802,496
1948446,265838,334
1949449,903864,332
1950440,179918,051
1951408,365949,551
1952408,8581,079,099
1953435,4971,200,038

The total quantity of wet fish produced, 435,497 cwt., shows the first real improvement since the total catch commenced its decline in 1949. Tarakihi, the most abundant species again this year, has decreased slightly, while snapper, the second species in order of abundance, has increased.

On the grounds customarily fished, snapper has not yet regained its former level, the improvement in the snapper total being due principally to greatly increased trawling on the grounds off the west coast of Auckland, which hitherto have been scarcely fished at all. The increased trawling on these grounds for snapper has had the effect, too, of diverting boats that otherwise would have fished to some extent on the tarakihi grounds in the East Cape area. The tarakihi season opened poorly on all grounds in November and December 1953, and showed little improvement in the summer of 1954, though the real effect of the poor season will not be apparent until next year's figures are available.

Kind or Class of Wet Fish Caught.—The following table shows the quantity and value of each kind of wet fish caught during 1953.

Kind or Class of FishQuantityValue
 Cwt.£
Tarakihi115,521262,433
Snapper109,798255,025
Gurnard38,27861,793
Hapuku27,623127,956
Blue cod25,61867,111
Sole24,013139,194
Flounder19,265133,427
Trevally11,83514,784
Elephant fish10,47434,115
Moki6,56914,727
Pioke6,53110,460
Ling6,44318,077
Barracouta6,3135,402
Red cod5,2348,421
John-dory4,56712,471
Mullet3,2779,076
Mixed rounds3,2771,865
Shark2,8053,759
Butterfish1,4686,251
Whiting1,4631,801
Hake1,3244,855
Warehou8851,868
Kingfish8471,565
Kahawai367423
Whiptail339331
Herring314512
Mackerel239202
Parore209306
Creamfish13092
Brill118645
Garfish117464
Trumpeter95381
Monkfish4683
Conger2425
Maomao2446
Perch2317
Skate2273
Frostfish22
    Totals435,4971,200,038

The quantity of tarakihi caught represents a decrease of 3,154 cwt. over the 1952 figures, while snapper, the second most important class of fish, shows an increase of 12,478 cwt.

Methods of Capture.—A table showing the total quantity of wet fish caught in 1953 by each of the common methods of fishing is shown below, with the figures for 1952 included for comparative purposes.

Method of FishingQuantityPercentage of Total Quantity
1952195319521953
 Cwt.Cwt.Per CentPer Cent
Trawl274,120301,36667.0469.21
Danish seine25,97627,2916.356.26
Long and hand lines82,57576,62320.2017.59
Set and drag nets26,18730,2176.416.94
    Totals408,858435,497100.00100.00

The steam trawlers landed a total catch of 52,430 cwt. (12.0 per cent), while motor trawlers landed 248,936 cwt. (57.2 per cent).

The quantity caught by Danish-seine boats continues to decrease as more of these boats are forced by high costs and short life of gear, coupled with poor returns, to change to either trawling or line fishing.

Landings at Ports.—Ports where the total landed catch was in excess of 10,000 cwt. are shown in order of importance in the next table. The percentage of the grand total is also included.

PortQuantityPercentage of Total QuantityValuePercentage of Total Value
19521953195219531952195319521953
 Cwt.Cwt.Per CentPer Cent££Per CentPer Cent
Auckland112,626107,83327.2124.76224,378223,01220.7918.58
Wellington55,28255,12313.5212.65147,325146,57313.6612.22
Port Chalmers31,96830,1887.816.9384,070100,7407.798.39
Timaru24,36528,5155.966.5589,672113,7548.319.47
Napier24,57426,8416.016.1654,11664,2955.015.36
Manukau2,45925,2660.605.816,52750,4730.604.22
Lyttelton14,50916,0343.553.6852,45056,7784.864.73
Gisborne13,66615,9453.343.6629,43334,8452.732.90
Chatham Islands11,36614,0722.773.2316,38819,7781.521.64
Tauranga10,36913,4212.533.0819,24327,7531.782.32
Nelson13,90011,9823.392.7531,50527,4542.922.29
Thames11,21211,0652.742.5537,49436,7543.473.06

The quantity of fish landed at these ports totalled 356,285 cwt., which was 81.8 per cent of the grand total.

EXPORTS.—The totals for the principal classes of fishery products exported during the last three years are given below.

ExportUnitQuantityValue
195119521953195119521953
     £££
Oysters, freshDoz.400....24....
Oysters, frozenCwt.11220111964,089193
MusselsCwt.1125436878567371
Fish, frozenCwt.40,91049,77049,011283,596387,787410,717
Crayfish, frozenCwt.16,40717,50522,565370,199480,806695,063
Fish, smoked, driedCwt.4864215053,6414,3224,616
Fish and shellfish, cannedlb.253,400190,24557,45232,85024,93214,415
      Total value........691,384902,5031,125,375

FISH LIVER OIL.—There has been an increase of 33,157 lb. in the quantity of fish livers processed, and an increase of 1,466 gallons in the quantity of fish liver oil produced.

A total of 17,284 gallons of fish liver oil was exported during 1953, as compared with 12,444 gallons in 1952, but it is pointed out that this included varying amounts of concentrate.

The total weight of livers treated and the quantity of oil produced in each of the last five years has been as follows.

YearWeight of Livers TreatedQuantity of Oil Produced
 lb.Gallons
1949783,30733,304
1950815,49337,544
1951751,08735,003
1952800,30339,275
1953833,46040,741

OYSTER BEDS.—The principal oyster beds around the coast of New Zealand are those situated in Foveaux Strait, between South and Stewart Islands, and the rock-oyster beds on the east and west coasts of the Auckland peninsula.

In South Island waters a close season is observed from 1 October to 14 February, and in North Island waters from 1 November to 30 April in each year. The taking of oysters is governed by the Oyster-fishing Regulations 1946, and vessels operating commercially are subject to the Sea-fisheries (Boats and Licences) Regulations 1951. During the 1953 season 71,632 sacks of oysters were dredged from Foveaux Strait, compared with 93,676 sacks in 1952.

The rock-oyster beds of Auckland were worked for many years under a variety of systems, but, owing to stripping of the beds, close seasons had frequently to be proclaimed. From 1908 the picking and wholesale marketing of rock oysters from the North Island beds has been undertaken by the State, private picking being prohibited.

Oyster-cultivation work is being systematically carried on by the Marine Department in the Hauraki Gulf, in the Bay of Islands, and in the Kaipara district.

Rock oysters picked and sold by the State in 1953 totalled 5,224 sacks, compared with 5,001 sacks in 1952.

CRAYFISH.—Marine crayfish occur off many parts of the New Zealand coast. Part of the catch of crayfish is sold in local markets for domestic consumption, part is exported as frozen crayfish tails and whole crays, while a small quantity is canned.

With the development of the export of frozen crayfish tails to the United States of America and the high price received for this product, the increase in the catch of crayfish has been phenomenal, but already some grounds are showing a reduced return for the gear worked. The catch of crayfish over the last five years is as follows.

 QuantityValue
YearCwt.£
194937,718100,254
195052,989170,737
195156,911218,052
195266,350333,775
195381,674460,366

WHALING.—With the enormous development of pelagic whaling that has taken place in recent years the whaling industry in New Zealand has greatly declined from the important position which it occupied in the early days of the colony. Only one shore station was in commercial operation during the 1953 whaling season. This station is situated in Tory Channel, Queen Charlotte Sound, and the season's catch in that area was one hundred and nine whales, all humpbacks. The total oil production was 760 tons, while other products included 90 tons of bonedust.

The Whaling Industry Act 1935 was passed in order to give effect to an International Convention for the regulation of whaling and matters incidental thereto.

SEALS.—The taking of seals in New Zealand waters has been on a restricted scale during the last fifty years, these animals being placed on the protected list in 1894. No sealing was then allowed until 1913, when there was an open season, but with certain restrictions. From 1916 a close season was observed until 1922, when the taking of seals was again permitted, but only till 1924, since when a close season was observed until 1946.

A short restricted open season was permitted during 1946 by the Seal Fisheries Regulations 1946, but a close season is again being observed.

BIG-GAME FISHING.—Swordfish (striped and black marlin, and occasionally broadbill), mako shark, and other big-game fish occur principally off the east coast of the Auckland Provincial District, and attract both New Zealand and visiting big-game fishermen. The principal centres for this sport are Whangaroa, Russell (Bay of Islands), Whitianga (Mercury Bay), and Tauranga, where specially designed and equipped launches in charge of experienced men may be hired. The season lasts from December to May, the best months usually being February and March. The world's record black marlin swordfish (976 lb.) was caught off the Bay of Islands in February 1926.

To preserve this very important fishery the Fisheries (General) Regulations 1947, superseded by the regulations of similar title issued in 1950, were gazetted prohibiting the taking of these fish by other than rod and line, and stipulating that the line was not to be heavier than No. 39 linen thread line. In addition, a limit bag of not more than four fish per day has been imposed.

WHITEBAIT.—A fishery that is peculiar to New Zealand with regard both to the product and to the methods of operation, and carried on from July to November in the tidal reaches of many rivers, is the whitebait fishery. New Zealand “whitebait" are the young of Galaxias attenuatus, a species that lives for the greater part of its adult life in fresh water, descending to tidal water to spawn in late summer and autumn. The spawn is deposited among grass and similar herbage on the margins of the rivers above the ordinary high-water mark in a zone that is submerged only at the highest spring tides. Here it remains under cover of the herbage and secure from aquatic enemies until it is once more reached by a spring tide about a fortnight or, it may be, a month later. The young then hatch out, and are carried by the ebb tide to the sea. Here they remain until, at the age of about five months, the young fish, then about 2 in. long and still possessing the almost glassy transparency of the larval stage, migrate up the rivers in dense shoals. This is the time of the whitebait fishery, when they are caught in nets made of wire gauze or mosquito netting. The cultivation and drainage of riparian lands have considerably diminished the extent of spawning and feeding areas that were available in earlier times. From these causes, as well as from the intensity of the fishing operations, there are now few rivers where the runs of whitebait show anything like the abundance of former years. The most productive whitebait fisheries are near the mouths of the rivers of the West Coast of the South Island and in the lower reaches of the Waikato River. Normally the whitebait fishery gives employment to over three hundred regular fishermen, and a greater number of part-time fishers, and, over a period of years, produced an average of approximately 3,000 cwt. of whitebait. As a result of reasonably good seasons over a period of years, and with improved transport from the more remote rivers, in which aeroplanes have played an important part, a substantial whitebait industry has been developed, particularly on the West Coast of the South Island.

FRESH-WATER FISHERIES.—Native Fishes: Of fresh-water fishes indigenous to New Zealand the species of most commercial importance at the present time is Galaxias attenuatus, which provides the whitebait fishery already mentioned. Other species of Galaxias are known in the streams and lakes of the country. With the exception of the eels, which frequently attain an extraordinarily large size compared with those of the Northern Hemisphere, all the native fresh-water fishes are small, and are therefore not considered to possess any sporting value except to the most juvenile of anglers. There are two species of eels—Anguilla australis, the short-finned eel; and Anguilla dieffenbachii, formerly known as Anguilla aucklandii, the long-finned eel. Recent investigations by Marine Department biologists have thrown new light on their distribution. It is now known that all male eels remain in tidal and brackish waters; female long-finned eels are found throughout all accessible fresh waters, while female short-finned eels are restricted to the warmer, deeper, and slowly-flowing waters, and in the South Island are found only in the lower reaches of rivers and in coastal lakes. Eels constituted an important food supply to the Maoris, who devised very efficient traps for their capture as the adult eels migrated to the sea. This fishery is still carried on by the Maoris of some districts, and during recent years some commercial fishing has taken place for home markets and for export. So far as available supplies are concerned, there is scope for considerable development in connection with eel utilization in New Zealand.

The following list shows the definitely known genera of indigenous fresh-water fish and includes all the principal species.

Scientific NameEuropean NameMaori NameUsual Maximum Size
   Inches
Galaxias attenuatus“Minnow”Inanga7
Galaxias fasciatusNative trout or mountain troutKokopu10
Galaxias brevipinnis“Gudgeon”Taiwharu or kokopu6
Galaxias huttoni..Koaro6
Galaxias burrowsiiCanterbury mudfish..5 to 6
Neochanna apodaMudfishHauhau or waikaka8
Retropinna retropinnaSmeltParaki6
Prototroctes oxyrhynchusGraylingUpokororo12
Cheimarrichthys fosteriTorrent-fish or shark-bullyPapanoko7
Gobiomorphus gobioidesBullyToitoi6
   Feet
Anguilla australisShort-finned eelTuna3 to 4
Anguilla dieffenbachii (aucklandii)Long-finned eelTuna4 to 5
Geotria australisLampreyKoro-koro or kuna-kuna2

The “minnow,” smelt, grayling, and, of course, the eels and lamprey, are migratory fish which spend parts of their lives in the sea or in estuarine tidal waters, although at least one species of purely fresh-water smelt is known.

Acclimatized Fishes: Although most of the above-mentioned indigenous fishes—especially the eels, kokopu, and upokororo—provided an appreciable portion of the food supplies of the Maoris, and have been a welcome addition to the camp provisions of surveyors, bushmen, and prospectors since the pioneering days, there were many among the early settlers to whom the New Zealand rivers and lakes appeared uninteresting and unproductive in comparison with their native salmon and trout streams. By means of private agency in some cases, and by more organized efforts on the part of Government and local acclimatization societies, attempts to introduce British salmon and trout were commenced in the early “sixties.” The brown trout was first established in 1867 by means of ova imported from Tasmania, where the species had been acclimatized a few years earlier from English stock. Importations of brown trout besides the Loch Leven and sea-trout varieties have been made subsequently, so that the species is now found in most of the fresh and tidal waters of New Zealand. Rainbow or steelhead trout, first introduced in 1883 from California, are also now widely distributed. In some lakes, notably Taupo and others in the Thermal Region, they have largely displaced the earlier brown-trout population. The American brook trout (Salvelinus fontinalis) was widely planted in the “seventies" and “eighties,” but is now found only in a few back-country streams in the South. The Mackinaw trout, or Great American Lake trout, has been naturalized in Lake Pearson, Canterbury, since 1906. Quinnat salmon, introduced from California in the first five years of the present century, after earlier attempts had failed, are now firmly established, and “runs" of these salmon take place annually between January and June in the larger east coast rivers of the South Island. They have been taken in smaller and more variable numbers in a few rivers on the West Coast and in the Wellington District. Sockeye salmon, imported at the same time, have given rise to a land-locked stock in Lake Ohau, no sea-run examples of this species having yet been identified. The introduction of European Atlantic salmon was attempted at various times in the earlier years, and was finally achieved after 2,000,000 ova had been imported in 1910–12 from British and Continental rivers. The species is now established in the Waiau River system and associated lakes (especially Lake Te Anau) in Southland. It is remarkable that, although there is unimpeded access to the sea, the species has largely adopted land-locked habits, most of the fish remaining to feed in fresh water until and after they have reached maturity. Relatively small numbers, however, enter the Waiau from the sea.

Besides the above-mentioned members of the salmon and trout family, other species of fish from the Northern Hemisphere which have been acclimatized in New Zealand are the European perch, tench, and carp, the North American catfish (Ameiurus catus), and the small viviparous Gambusia patruelis introduced about 1930 for its utility as a devourer of mosquito larvae.

With the exception of the Rotorua Acclimatization District in the thermal-lakes region and the Southern Lakes District in the South Island, which are under the control of the Department of Internal Affairs, the local administration and management of fresh-water fisheries are in the hands of acclimatization societies.

The Freshwater Fisheries Regulations 1951 contain provisions of general application with regard to limit bag, size limit, baits and lures, duration of season, etc. Such general regulations apply unless modification notices for particular districts are issued varying these limits.

A fishing licence, for which the fee for the season (opens 1 October and continues for seven months) is £2 in the North Island and £1 10s. in the South Island, enables the holder to fish for acclimatized fish in any part of New Zealand except the Rotorua Acclimatization District (which includes the Taupo Trout Fishing District) and the Southern Lakes Acclimatization District. For fishing in the Rotorua area and the Southern Lakes District the local licence fees are £2 and £1 10s. respectively for all male adults, but in the Taupo area of the Rotorua Acclimatization District, which is the most popular of all New Zealand angling resorts, the licence fees for the whole season are £1 10s. for residents in the area, £2 for other residents of New Zealand, and £6 for overseas visitors. For all acclimatization districts there is a reduced scale of licence fees for female and juvenile anglers. Monthly, weekly, and daily licences are also available, while half-season, weekend, and single-river licences are optional in some districts. The Taupo Trout Fishing (Special Season) Regulations 1954 provided for a special experimental open season from 1 June – 31 October 1954 in the district. A further open season has been provided for 1955.

The Fisheries Amendment Act 1953 provides for the establishment of fisheries experimental waters by Order in Council. In such cases the fresh water regulations applicable may be declared not to apply or to apply subject to modifications. Under this authority, Lake Waingata was declared a fisheries experimental water during 1954.

The same amendment also enables the Governor-General under certain conditions to dispense with a close season for trout and salmon in any one or more years or to fix a close season of less than five months' duration for all or part of the waters of the district concerned.

Chapter 23. SECTION 23—MINERALS AND MINERAL PRODUCTION

Table of Contents

THE law relating to mining and quarrying is contained in the Mining Act 1926, the Coal Mines Act 1925, the Coal Act 1948, the Petroleum Act 1937, the Quarries Act 1944, and the Atomic Energy Act 1945. There have been numerous amendments to these Acts, the most recent of which are the Mining Amendment Acts of 1947, 1948, and 1953, the Coal Mines Amendment Acts of 1949, 1950, and 1953, and the Quarries Amendment Acts of 1951 and 1954. The Coal Mines Amendment Act of 1950 provides for the return to their previous owners of all coal and servitudes vested in the Crown by the Coal Act of 1948, but also ensures a greater measure of control of the working of privately-owned coal than that previously exercised. The Quarries Amendment Act 1951 removed opencast coal workings from the provisions of the Coal Mines Act and brought them within the scope of the Quarries Act 1944.

By the Quarries Amendment Act 1954 a holder of a mine manager's certificate under the Coal Mines Act 1925 or the Mining Act 1926 will, subject to passing the prescribed examinations, be entitled to a quarry manager's surface certificate. The term “quarry manager's surface certificate” has been replaced by “tunnel manager's certificate”. Provision has been made for the establishment of Courts of Inquiry to conduct investigations into serious accidents in quarries or in underground tunnels. Other sections of the Act have generally strengthened the law in regard to the better and safer working of quarries and of underground tunnels.

MINERAL PRODUCTION.—The following statement shows the production of metals and minerals during 1952 and 1953.

Mineral19521953
QuantityValueQuantityValue
Fuels
  £(N.Z.) £(N.Z.)
Coal2,749,808 tons6,870,8932,518,715 tons6,419,000
Petroleum (crude)302,870 gals.12,619278,100 gals.11,640
Metals
Gold59,151 oz.739,93138,656 oz.488,703
Silver51,016 oz.16,29375,888 oz.23,292
Platinum4 oz.612 oz.60
Antimony ore11 tons17922 tons124
Iron ore1,823 tons3,5652,762 tons1,607
Manganese ore319 tons1,509289 tons1,331
Tungsten ore57 tons87,00039 tons40,091
Non-metallics
Asbestos682 tons33,860....
Bentonite570 tons4,783755 tons8,874
Clay for bricks, tiles, etc.203,116 tons51,493216,215 tons51,814
Clay for pottery fillers, etc.3,271 tons3,9632,649 tons3,346
Diatomite204 tons336102 tons123
Dimension stone for building17,989 tons21,5549,500 tons12,929
Dolomite1,255 tons1,2551,316 tons1,316
Limestone for agriculture1,366,651 tons830,5711,324,375 tons1,121,013
Limestone for industrial uses30,694 tons15,45331,419 tons13,972
Limestone, marl, silica sand, etc., for cement415,532 tons84,248459,590 tons79,233
Magnesite579 tons362517 tons459
Pumice9,612 tons5,9992,013 tons911
Quartzite5 tons10....
Rock for harbour work55,855 tons15,43795,971 tons36,247
Salt700 tons4,200....
Sand, gravel, etc., for building aggregate920,316 tons433,7871,069,905 tons573,044
Sand, gravel, etc., for roads and ballast3,305,629 tons1,266,1814,326,959 tons1,665,074
Serpentine91,358 tons46,86450,827 tons21,811
Silica sand22,114 tons86,70220,505 tons73,451
Sulphur486 tons9,737....
    Totals..10,648,845..10,649,465

The next statement shows the value of New Zealand minerals and allied substances exported during the years stated.

Mineral195119521953Total from 1 January 1853 to 31 December 1953
 ££££
Gold835,813798,356364,912122,079,803
Silver58951810,5903,893,421
Tungsten ore64,31877,81345,522769,388
Antimony ore....8155,781
Mercury......41,319
Other minerals11,9548,4515,584759,031
Kauri-gum132,12681,51742,64025,021,260
Coal (including bunker)24,43258,54110,7778,610,817

GOLD MINING.—The gold-mining, industry, which in its early stages contributed greatly to the progress and settlement of New Zealand, but which declined in importance with the exhaustion of the more accessible alluvial-gold deposits and of ore from the zones of enrichment, again came into prominence in the years immediately prior to the war on account of the enhanced price of gold and the revival of gold dredging.

Gold-dredging possibilities presented an entirely new aspect not only on account of the price of gold, but also on account of the greater depths to which modern machines can work and their low cost of operation per cubic yard. Since 1940, however, there has been a steady decline in the production of gold. The decreased importance of gold mining to the community during the war period was responsible for man-power problems and difficulties in securing equipment for the industry. These difficulties were further accentuated by rising costs in the post-war years, and tax remissions to the extent of 34s. 8d. per ounce made by the Government to meet such costs, and the increased price of gold consequent upon the devaluation of sterling, have not been able to improve the position. A further attempt to assist the industry was the decision by which from 16 August 1952 producers or their agents holding gold-dealers' licences have been permitted to sell their gold production overseas on the open market provided the full proceeds of such exports were received by the banking system in United States dollars at not less than thirty-five dollars per fine ounce. Previously all gold was purchased by the Reserve Bank, the price being £12 5s. per fine ounce.

The principal reason for the decline in gold production, however, would appear to be the exhaustion of the gold-bearing areas, and this applies to the three recognized methods of mining.

The number of dredges in active operation during 1953 was seven, five on the West Coast and two in Otago. During the year, however, two suspended operations, leaving three active dredges on the West Coast (Grey River, Arahura, and Snowy River) and two in Otago (Clutha and Rainbow) at the end of the year. In August 1954 the Grey River dredge closed down. The owners of the Kaniere dredge are transferring it to a new area in the Taramakau River. It is expected to commence operations there in 1955. As recent prospecting operations for new areas have not been attended with much success, it is apparent that production of gold by dredging must diminish.

Production of gold from quartz mines has recently declined, as was to be expected from the abandonment of active mining operations at the Blackwater Mine on the West Coast in July 1951, and of the Martha Mine at Waihi in June 1952. During its working life of sixty-one years from 1892 to 1952, the Martha Mine produced 11,931,047 short tons of ore, while the total amount of gold and silver produced over the period was 35,523,768 oz. of bullion, valued at £28,496,011. Largely owing to the exhaustion of ore reserves, for all practical purposes the active quartz-mining section of the industry may be regarded as finished.

Alluvial mining, now at a very low ebb, showed a slight decrease during the year. The following table gives particulars of the estimated gold content of gold/silver/bullion production for the last three years.

QuantityValue
195119521953195119521953
 Oz.Oz.Oz.£££
Quartz mining23,61511,0363,561288,892140,48145,815
Alluvial mining1,4411,6401,58116,91719,02618,909
Dredge mining50,05946,47533,514609,527580,424423,979
    Totals75,11559,15138,656915,336739,931488,703

SILVER.—Nearly the whole of the locally produced silver exported from New Zealand has been obtained from the refinement of bullion from the quartz mines of the Hauraki goldfield, where gold and silver are found alloyed, the ratio of the two metals in the alloy varying greatly. No other silver-mining operations have been carried out profitably in New Zealand.

With the closing-down of the Martha mine, the production of silver in New Zealand in any quantity may be regarded as finished.

IRON ORES.—The two main sources of iron available in New Zealand are the iron-ore deposits of the Onekaka region, Golden Bay, in the Nelson Provincial District; and the ironsands which are largely concentrated on the beaches of Taranaki, though not limited to that district.

As a result of a systematic prospecting programme of tunnelling and boring carried out by the State during the years 1938 to 1942 the ore reserves of the Onekaka deposits are estimated at 9,500,000 tons, assaying 40 per cent iron.

Although the whole of New Zealand's iron-bearing sands have not been surveyed, there is no doubt that the total quantity is enormous. As a result of prospecting operations by the State the titaniferous ironsands in the vicinity of Patea have been estimated as amounting to 45,500,000 tons, assaying 21 per cent soluble iron, which, by magnetic separation, would yield 14,500,000 tons of concentrates assaying 53 per cent soluble iron. Preliminary investigation at Wanganui and at Waitara has shown great quantities of sand but of lower iron content, while deposits at Mokau, Awakino, and Manukau still await investigation.

Many attempts have been made to smelt Taranaki ironsand, but commercial success has not attended any of these efforts. Difficulty has been experienced owing to the fineness of the sand and also to the presence of titanic acid. However, it is considered possible that these sands can be economically smelted if mixed in the proportion of 1 part of sand to 4 of Golden Bay ore. In 1949 large-scale tests on the smelting of ironsands by means of an electric furnace and the use of char obtained from sub-bituminous coal were carried out at Onekaka under the supervision of overseas experts. The tests showed that pig iron suitable for conversion to steel could be obtained from Taranaki ironsands by these means.

There has been a small annual production of iron ore from the Onekaka deposits and certain small deposits in the North Auckland district for use in gas purification, the preparation of stock licks, and in the cement industry.

Production in 1953 was 2,762 tons, 1,853 of these from Okaihau, 202 from Kamo, and 707 from Onekaka.

TUNGSTEN.—The principal ore of tungsten in New Zealand is scheelite, though a little wolfram is found in Otago and Stewart Island, but not in economic quantities.

Scheelite occurs at numerous points, frequently associated with gold, in quartz veins traversing the schists of Otago and Marlborough. It has also been identified in finely divided form in the concentrates from the gold-saving tables of dredges operating on the West Coast.

The scheelite-bearing quartz-veins are generally small and broken, while the scheelite is most erratically distributed in the veins, with the greatest concentration of scheelite situated close to the surface or at shallow depths. Further, many of the lodes occur at high altitudes, which allows of only a short working season; access and transport present difficulties, and production costs are relatively high.

In 1953, 39 tons of scheelite were produced as compared with 57 tons in 1952. The Glenorchy field was responsible for the greater part of this production, 361 tons having been obtained from this field, 2 tons from the Macrae's Flat field, and a small parcel from the Barewood field. Other producing centres in Otago have been Stoneburn, Hyde, and Waipori.

The total quantity of locally produced ore exported to 31 December 1953 was 3,580 tons, valued at £769,866.

COPPER.—Ores of copper are found in New Zealand in no fewer than thirty-two known localities, but during the last seventy years attempts at their successful exploitation have been unprofitable.

After many years of inactivity, mining was resumed during 1946, when operations were commenced at a copper-ore occurrence at Pakotai, in North Auckland. Three shipments of ore were made from this deposit, one of 580 tons which realized £6,255 in 1947, another of 610 tons which realized £10,303 in 1950, and a third of 178 tons which realized £2,141 in 1952. The ore was of good grade averaging approximately 13 per cent of copper, but the deposit was small and ore reserves were not of any magnitude.

It is estimated that the total production of copper to the end of 1953 has amounted to 6,404 tons, valued at £124,302. There has been no production of copper ore in New Zealand since 1952.

MANGANESE.—Manganese ores are found in many localities, chiefly in the older sedimentary rocks. At Tikiora Hill (near Russell), at Parua Bay (near Whangarei), and especially at Waiheke Island, manganese deposits were mined many years ago, while of recent years there has been some production from deposits at Bombay, Moumoukai, and Otau, all in the Auckland district. Deposits are, however, generally small and shallow and capable of producing only limited tonnages of ore.

Production from Otau in 1953 totalled 289 tons, compared with 319 tons in 1952.

MERCURY.—Cinnabar, the principal ore of mercury, is widely distributed in New Zealand, but only in a few localities is it found in quantities of economic importance. The most promising deposits of mercury ore in New Zealand are those of the Puhipuhi district, where for many years efforts have been made to place the production of the metal on a commercial basis. During the war these efforts were revived and production recommenced, the ore being obtained by opencast mining and the mercury recovered in a modern treatment plant with a capacity of 50 tons of ore per day.

Owing to the drastic slump in the price and the need for additional earth-moving equipment, operations were discontinued in 1945.

The total quantity of mercury of New Zealand origin exported up to 31 December 1953 was 111,838 lb., valued at £41,319.

ANTIMONY.—The high price ruling for antimony ores again directed attention to the deposits of these ores in Central Otago, and prospecting operations have been carried out at Mount Stoker in the Nenthorn Survey District, 5 tons of ore being obtained from these operations in 1949, as compared with 9 tons in 1948. There was no production in 1950 or in 1951, but 11 tons were produced in 1952. Recently attention has been directed to deposits at Endeavour Inlet, in Queen Charlotte Sound, and Langdon's Creek, near Greymouth. Twenty-two tons of antimony ore, valued at £124, were obtained at Endeavour Inlet and at Langdon's Creek in 1953. Both of these mines have now ceased production.

TIN.—Cassiterite in the form of “stream tin” occurs in small deposits near Port Pegasus, Stewart Island, and these have been worked to some extent. “Lode tin” has been found in the same locality, but the deposit is not of economic value. Small quantities of cassiterite have also been detected in the stream gravels of the Reefton, Greymouth, and Westport districts. Among other localities in which traces of tin occur are Wet Jacket Arm (Otago) and Campbell Island.

PLATINUM.—In the published lists of minerals of New Zealand, platinum is stated to occur in several places, associated generally with gold in gravel. It is only from Southland, however, that platinum has been exported, but quantities produced have been insignificant, and of late years negligible. There had been no production since 1946, when 14 oz. were produced, until 1951 when 8 oz. were produced. Two ounces were produced in 1953 from the Roundhill claim in Southland.

URANIUM.—A concentrated search for uranium ores has resulted in the discovery that some of the auriferous gravels and sands of the West Coast of the South Island contain a small proportion of uranium-bearing materials, in particular, uranothorite and monazite. These accumulate in greater concentration upon the gold-saving tables of the dredges, and it was considered that they might be regarded as a possible source of uranium, but investigation has shown that they are too low grade to be of economic value.

Lately there has been renewed interest in the search for uranium ores. The Geological Survey has published a booklet to assist prospectors and others in their search for uranium.

The mining and treatment of the ores of uranium and other elements which may be used for the production of atomic energy are now controlled by the provisions of the Atomic Energy Act 1945.

SULPHUR.—Native sulphur occurs in the thermal districts of the North Island near Rotorua and Lake Taupo and at White Island. From an area at Rotokaua, in the Taupo region, 486 tons of sulphur were produced in 1952, the first production of sulphur for many years. No sulphur was produced in 1953. Exports of sulphur of New Zealand origin up to the end of 1953 have amounted to an aggregate value of £13,241.

ASBESTOS.—Chrysotile asbestos occurs at several points in the massive serpentines of Nelson and Otago, but the only deposits of importance so far located are those of Upper Takaka in the Nelson district. While these deposits have long been known, difficulties of access have prevented prospecting and exploitation, but of recent years an all-weather motor road has been formed giving access to the area. An experimental treatment plant was installed, and a systematic prospecting programme of driving and crosscutting carried out. This programme was completed early in 1945, when active development was suspended. Operations were, however, resumed in 1950 and continued on an increasing scale in 1951, but owing to the easing of the overseas supply position, were on a reduced scale in 1952, with production ceasing for the meantime in 1953.

COAL.—Coal in New Zealand has for many years been mined in certain well-defined areas, beyond which no coal is known to exist in any significant quantities. The major coalfields, with the class of coal found in each, are—

  • Bituminous Coal (Coking): Greymouth, Westport (Buller Coalfield).

  • Sub-bituminous Coal (Non-coking): Waikato (including North Taranaki), Otago (Kaitangata), Southland (Ohai), Reefton.

  • Lignite (Non-coking Low Grade): Southland (Mataura).

  • Minor coalfields from which coal is being mined, but which cannot be expected to provide an important contribution to our coal resources are—

  • Sub-bituminous Coal: North Auckland (Hikurangi, Kamo), Nelson (Puponga, Westhaven).

  • Lignite: Canterbury (numerous small deposits), Otago, Charleston (Westport).

In recent years the investigation of coal resources has been carried on by three organizations working in close co-operation. These organizations are (1) the Coal Survey, whose activities are mainly geological and chemical; (2) the Surveying and Prospecting Organization set up by the Mines Department to follow up the Coal Survey with detailed topographical surveys and shallow prospecting by means of cuts, pits, and hand drilling; (3) the Drilling Section of the Mines Department carrying out investigations by deep-core drilling.

As a result of the intensive work of these organizations during 1946–50 considerably more information is available. This matter was considered jointly by officers of the Geological Survey and Mines Department, and a new estimate prepared based on information obtained from the Mines Department as to reserves of operating coal mines and of closely drilled areas, and from the Coal Survey as to reserves of the districts surveyed. The classification accepted—“measured,” “indicated,” and “inferred “—is that used by the United States Bureau of Mines and the Commonwealth Mineral Resources Survey. These terms are simply defined as follows:

  1. “Measured coal” is coal for which tonnage is computed from dimensions revealed in outcrops, trenches, workings, and drill holes and for which the grade is computed from the results of detailed sampling. The sites for inspection, sampling, and measurements are so closely spaced and the geologic character is defined so well that the size, shape, and content are well established. The computed tonnage and grade are judged to be accurate within limits, and no such limit is judged to differ from the computed tonnage or grade by more than 20 per cent.

  2. “Indicated coal” is coal for which tonnage and grade are computed partly from specific measurements, samples, or production data and partly from projection for a reasonable distance on geologic evidence. The sites available for inspection, measurement, and sampling are too widely or otherwise inappropriately spaced to outline the coal completely or to establish its grade throughout.

  3. “Inferred coal” is coal for which quantitative estimates are based largely on broad knowledge of the geological character of the deposit and for which there are few, if any, samples or measurements. The estimates are based on an assumed continuity or repetition for which there is geologic evidence; this evidence may include comparison with deposits of similar type. Bodies that are completely concealed may be included if there is specific geologic evidence of their presence.

These clearly and specifically defined terms have wide international acceptance.

The figures in all cases represent recoverable coal and not coal in ground.

The following are the total coal resources of New Zealand based on all available information at date (1950).

MeasuredIndicatedInferred
 TonsTonsTons
Bituminous28,000,00021,000,00058,000,000
Sub-bituminous52,000,00045,000,000502,000,000
Lignite13,000,00027,000,000366,000,000
    Totals93,000,00093,000,000926,000,000

From time to time concern has been expressed that reserves of measured, recoverable coal are of so low an order in New Zealand. It must, however, be recognized that to establish reserves of this type it is necessary either to block them out by underground development or to define them by close boring, and sound mining practice demands that such reserves should bear some relationship to the scale of the industry and the annual production required. Actually, measured reserves of coal in each class, bituminous, sub-bituminous, and lignite, are sufficient to maintain the present rate of production for a term of years far in excess of those demanded by recognized mining practice, and it is accordingly questionable whether, from some aspects, reserves are accordingly too high rather than too low, and there is no justification for the concern expressed.

The following table shows the quantitative groupings in the various coalfields of New Zealand, set out under the three rank divisions.

MeasuredIndicatedInferred
Bituminous
 TonsTonsTons
Buller14,000,0006,500,00024,300,000
Murchison....1,500,000
Garvey Creek1,000,0002,300,0002,200,000
Greymouth13,000,00013,000,00030,000,000
    Totals28,000,00021,800,00058,000,000
Sub-bituminous
Northland1,300,0001,700,0003,000,000
Huntly32,000,00018,000,00065,000,000
Maramarua5,000,00015,000,00020,000,000
Mangapehi1,500,000500,0001,000,000
Tatu300,000400,000..
Waitewhena400,000..12,000,000
Mokau....60,000,000
Nelson200,000..2,000,000
Buller Gorge....1,000,000
Reefton1,000,0002,700,0005,000,000
Fletcher Creek....3,000,000
Punakaiki....2,000,000
Kaitangata..6,000,000227,000,000
Ohai11,000,0001,000,000100,000,000
Orepuki....1,000,000
    Totals52,700,00045,300,000502,000,000
Lignite
 TonsTonsTons
Charleston6,000,0002,000,0008,000,000
Canterbury250,000..20,000,000
North Otago250,000..2,000,000
Central Otago250,000..15,000,000
Green Island250,000..3,000,000
Kaitangata1,000,0005,000,000156,000,000
Pomahaka....10,000,000
Mataura Valley5,000,00020,000,000152,000,000
    Totals13,000,00027,000,000366,000,000

The following table summarizes coal-mining operations.

YearOutput (Tons)Persons Ordinarily EmployedLives Lost by Accidents In or About Collieries
SurfaceUndergroundTotalsPer Million Tons ProducedPer Thousand Persons EmployedLives Lost

* Includes 405 tons produced in the Tyneside Mine during 1952 not included previously.

Prior to 1944103,443,584..........544
19442,805,9701,6373,9585,5954.282.1412
19452,833,5761,6603,9325,5922.121.076
19462,793,8701,7383,8195,5571.430.724
19472,751,7251,7033,7395,4421.430.734
19482,775,8861,7403,8425,5821.800.905
19492,813,2751,8684,0095,8771.070.513
19502,669,4511,7733,8155,5881.120.543
19512,435,5051,6763,3865,0622.050.985
19522,750,213*1,6103,4825,0921.450.544
19532,518,71583,3404,9480.790.402
    Totals130,591,770..........592

In 1953 all requirements for coal were satisfied, except for small deficiencies in certain types of screened coal. These deficiencies occurred spasmodically when requirements for small coal fell away to the point where several of the larger opencast mines were idle for weeks at a time. Reduced consumption resulted in 41,519 fewer tons being produced from underground mines and 189,934 from opencast mines.

The output of the several classes of coal mined in each inspection district during 1953 together with the total output to the end of that year are shown in the next table. District totals for 1952 are also given.

Class of CoalNorthern District (North Island)West Coast District (South Island)Southern District (South Island)TotalTotal Output to 31 December 1953
 TonsTonsTonsTonsTons
Anthracite....1,9441,94425,945
Bituminous..772,242..772,24266,503,009
Sub-bituminous1,033,654143,960365,8781,543,49255,338,404
Lignite..6,708194,329201,0378,724,412
    Totals for 19531,033,654922,910562,1512,518,715130,591,770
    Totals for 19521,158,6501,027,450564,1132,750,213128,073,055

During 1953, 182 mines were in operation. Of these, 64 mines operated wholly or principally on freehold land and the remaining 118 wholly or predominantly on Crown land.

Output from freehold land was 946,399 tons (37.6 per cent) and output from Crown land 1,572,316 tons (62.4 per cent), these proportions being similar to those recorded in previous years.

Underground Mines.—The following table gives particulars of the operations of underground mining during the last eleven years.

Calendar YearOutput (Tons)Men Employed UndergroundTons Per Man UndergroundMen Employed on SurfaceTons Per Man on Pay-roll
19432,725,8313,9996821,329512
19442,609,5163,9586591,395489
19452,380,8963,9326061,328453
19462,265,1703,8195931,313441
19472,107,0333,7395641,271421
19482,099,1583,8425461,285409
19492,071,2884,0095171,368385
19501,956,9553,8155131,334380
19511,479,3733,3864371,230320
19521,914,5423,4825501,204408
19531,872,9783,3405611,259407

Of late years the output per hewer shift has risen slightly, and there has been an overall increase in output per man on pay roll.

Opencast Mines.—Production of coal from opencast mines in 1953 amounted to 645,737 tons, which was 189,934 tons less than the production achieved in 1952. The proportion of the total production of coal obtained from opencast mines amounted to 25 per cent.

There were sixty opencast mines in operation in 1953, and of these thirteen operated by the State produced 299,702 tons. All of these State mines have come into production since the beginning of 1944. The progress of opencast mining during the last eleven years is illustrated by the following table.

YearOutput (Tons)Men EmployedTons Per Man Employed
194362,037461,349
1944196,454242812
1945452,6803321,363
1946528,7004251,244
1947644,6924321,492
1948676,7284551,487
1949741,9875001,484
1950712,4964391,623
1951956,1324462,144
1952835,6714062,058
1953645,7373491,850

Coal Research and Derived Products.—The Government is keeping abreast of latest developments in regard to the production of oil from coal by the hydrogenation and the low-temperature carbonization processes. During 1950 considerable progress was made in systematic field surveys and mapping of the coal resources of New Zealand, combined with research work in State laboratories into the physical and chemical properties of the various coals. A large amount of investigation into fuel problems was also carried out, and many analyses of coal and other fuel samples were made.

The Coal Mining Districts Welfare and Research Council has made grants to the Otago University to enable investigations to be made into some coal-mining problems.

Low-temperature carbonization works, using the Lurgi process, established at Rotowaro, 70 miles south of Auckland, in 1931, produced during 1953, 11,760 tons of carbonettes, 241,190 gallons of tar and oil, and 1,880 tons of char from 23,371 tons of slack coal, which was part of the output of a group of local mines.

The Sockburn plant, near Christchurch, produced 24,132 gallons of tar and 5,861 tons of coke during 1953.

Coal Utilization.—The approximate distribution of coal consumption during each of the five years 1949–53 is shown in the following table. The total quantity is based on actual production in each year plus imports and minus exports (including bunker coal for overseas vessels). Where the information is available, adjustments have been made for stocks on hand at the beginning and end of the year.

19491950195119521953

* Includes hospitals, hotels, etc.

Tons
Railways552,000478,000444,000435,000416,000
Coastal shipping55,00049,00037,00036,00033,000
Gasworks311,000301,000260,000289,000279,000
Factories*1,288,0001,306,0001,174,0001,378,0001,237,000
Households640,000600,000540,000590,000550,000
      Total consumption2,846,0002,734,0002,455,0002,728,0002,515,000

State Coal Mines.—The Coal Mines Act 1901 provided for the purchase and working of State coal mines in New Zealand under the direct control of the Minister of Mines. At 31 December 1953 there were thirty-six State coal mines working.

The outputs of coal produced from State coal mines for the last two financial periods are shown below.

Name of MineYear Ended 31 December 1952Year Ended 31 December 1953
Gross Output*Net Output for DisposalGross Output*Net Output for Disposal

* Includes surplus stock brought on charge for stock deficiencies written off.

† Coal won from development work.

‡ Tonnages for coal used on works, waste, workmen and free apportioned with opencast production.

§ Ceased production as a State mine on 14 August 1953.

|| Ceased production—Central, 2 July 1952; Mossbank, 19 September 1953; No. 8 Opencast, Ohai, 17 February 1953; No. 11 Opencast, Ohai, commenced and finished during 1953.

¶ Commenced production, 4 March 1953.

** Produced by shiftmen on maintenance work—no hewers employed.

Underground MinesTonsTonsTonsTons
Kamo49,10047,88155,01253,568
Alison83,14978,63274,40870,875
Rotowaro84,26680,62289,87887,915
Renown75,60173,37279,51677,332
Wilton70,50768,54861,24459,250
Mangapehi30,51429,24033,89532,742
Tatu26,16624,61330,02328,315
Denniston77,09474,36582,91180,079
Sullivan....1,0801,080
Millerton54,44253,04454,10652,904
McCabes1,2571,24016,01515,629
Stockton26,81626,45721,72521,238
Webb72,66571,69220,40219,945
Burke's Creek21,58320,56027,86726,684
Burnwell§24,74724,57613,94013,833
Central||2,1322,132....
Garvey Creek**12712715..
Blackball53,99751,73261,15659,002
Dobson55,24150,63650,37346,074
Paparoa24,04623,52623,98423,424
Tyneside4054051,8651,865
Wallsend39,98838,35941,32439,780
Liverpool112,774109,789100,33196,724
Strongman100,25193,15697,19990,024
Birchwood24,91323,86626,00124,986
Linton70,05767,41676,13274,268
Mossbank||9,6529,064....
Star28,82727,26226,14224,612
Wairaki71,34165,80176,34870,551
    Totals1,291,6581,238,1131,242,8921,192,699
Opencast Mines    
Barker's85,32085,15129,21229,184
Devlin and Bell's46,92746,927....
Thompson's19,68919,63221,52021,518
Kimihia100,517100,41483,05476,969
Waitewhena33,15533,08519,22219,165
Stockton63,49962,67424,26523,813
Denniston5,7735,7738,3748,374
Garvey Creek18,52918,4817,2067,145
Wangaloa30,35930,21116,51016,378
Black Diamond30,52830,50832,69232,684
No. 8 Opencast, Ohai||4,5674,5672,0992,099
No. 9 Opencast, Ohai....43,28443,149
No. 11 Opencast, Ohai||2,3742,374....
McLean's31,75231,75212,26412,264
    Opencast totals472,989471,549299,702292,742
    Underground totals1,291,6581,238,1131,242,8921,192,699
    Grand totals1,764,647 I1,709,6621,542,5941,485,441

The average number of persons employed in and about State mines during the year ended 31 December 1953 was—underground, 2,457; surface, 1,050: total, 3,507. Surface workers include 187 employed at the thirteen State opencast mines operating during the period.

Financial.—Sales of coal, etc., through the medium of the depots totalled 1,426,213 tons (value, £5,429,309) for the year ended 31 December 1953. This compares with 1,576,365 tons (value, £5,877,669) for the year ended 31 December 1952.

The loss on trading for the year was £179,918. The surplus in Accident Insurance Account, however, was £20,726, and increases in other specific reserves totalled £6,888, thus the net deficiency for the year was £152,304. The interest charge on loan capital was £215,073, of which £100,000 was remitted.

Adjustments on account of previous years' operations, mainly on opencasts, resulted in a further loss of £53,915.

The statutory sinking fund instalment was £163,156, and in order to meet the over-all deficiency it was necessary to transfer £512,062 from General Reserve.

Capital expenditure on fixed assets during 1953 was £656,874. Depreciation written off was £296,764, so that the net valuation of fixed assets increased by £360,110.

The loss on trading was due to a reduction in output, the retrospective wage increase, and adverse conditions at several West Coast mines. The loss in output was mainly caused by reduced sales of coal for generation of electricity, railway consumption, and for ships' bunkers.

Housing.—Employees in State coal mines may be granted loans for the erection of new homes, the purchase of existing ones, or for repairs and renovations. During the year ended 31 December 1953 the number of loans granted was thirty-nine for a total amount of £33,615. Of these, five were for the erection of new homes, thirty-two for the purchase of existing houses, and two for repairs, etc. During the period this scheme has been in operation some 484 loans have been granted for a total amount of £314,794. The erection of new houses accounted for 163; purchase, 284; and repairs, etc., 37.

Accident Insurance.—The number of compensatable accidents at State coal mines for the year ended 31 December 1953 was 1,592, as compared with 1,622 for the year ended 31 December 1952.

The cost of claims per cent on wages paid amounted to £4 8s. 4d. for the year, compared with £3 19s. 10d. for the previous year.

The Accident Insurance Working Account showed a surplus of £20,726 for the year ended 31 December 1953, as compared with £31,639 for the previous year. The surplus was transferred to the Accident Insurance Reserve. At 31 December 1953 this reserve stood at £299,024.

PETROLEUM.—Indications of the presence of petroleum are found on the surface in North Auckland, at Moturoa near New Plymouth and elsewhere in Taranaki, over wide areas on the eastern coast of the North Island, and in the South Island at Kotuku, near Murchison, and in the Cheviot district. In earlier years drilling had been carried out in Taranaki, Hawke's Bay, Canterbury, Southland, and Westland, the deepest hole being at Moturoa, near New Plymouth, which attained a depth of approximately 6,000 ft. Petroleum of good quality was proved to exist, but only in limited quantity.

After the passing of the Petroleum Act 1937, as amended by section 55 of the Statutes Amendment Act 1939 and sections 59 to 63 inclusive of the Statutes Amendment Act 1941, considerable interest was displayed by some of the major oil organizations, and practically all the potential oil-bearing lands in New Zealand were held under petroleum-prospecting licences.

A great amount of geological and geophysical work was carried out on licensed areas and, in addition to many thousands of feel of core drilling for geological and geophysical purposes, thirteen deep holes were drilled on favourable structures located by the geological work. The deepest hole attained a depth of 10,925 ft., and the total footage drilled amounted to 73,565 ft. The results of this drilling were consistently disappointing, as all the wells proved dry.

Towards the end of 1950 geologists of the Anglo-Iranian Oil Company, assisted by members of the New Zealand Geological Survey, commenced a survey of all available information obtained from past oil-prospecting activities and a review of geological literature on the subject, preparatory to a fresh assessment of New Zealand's oil resources.

The reported discovery of oil in Australia has renewed interest in the search for oil in this country, and there seems to be a possibility of a greatly increased scale of operations in the near future.

Drilling operations in the Moturoa field were resumed during 1948 by New Zealand Oil Refineries, Ltd., and the Dobson No. 1 well was completed early in 1949 at a depth of 2,236 ft., oil-bearing sands being passed through between 2,222 ft. and the bottom of the hole, with oil flowing under its own gas pressure at the rate of 1,200 gallons per day. The sinking of an additional well at Moturoa was commenced during the year 1950, but was abandoned at a depth of 2,000 ft. owing to drilling difficulties. In May 1954 the drilling of a new well was commenced.

A recent development has been the connection of three wells by pipe line to the New Plymouth Gas Co's works, whereby natural gas is blended with producer gas and the mixture supplied to gas consumers in New Plymouth.

The total production of crude petroleum to 31 December 1953 is estimated at 4,985,293 gallons, 278,100 of which were obtained in 1953.

BENTONITE.—The most promising deposits of this mineral occur at Forangahau, in the Hawke's Bay district, and at Mangatu, near Gisborne. Bentonite is mainly used in the preparation of foundry moulding-sands and drilling muds, but the mineral has many other uses. With the installation of treatment plants, bentonite in a marketable processed form is now available instead of the crude, lump, sun-dried form previously produced. The total quantity of bentonite produced to the end of 1953 was 5,093 tons, of a value of £37,170.

KAURI GUM.—Production of kauri gum has decreased in recent years. The industry suffered a severe setback through the restriction of European markets during the period of the First World War; and, while some recovery was made in the five years immediately following the war, trade in this commodity has since been at a comparatively low level.

A system of control of the trade in, and export of, kauri gum was provided by the Kauri Gum Control Act 1925. The Finance Act (No. 2) 1933 provided for the repeal of the Control Act. The property of the Kauri Gum Control Board was vested in the Crown, the Minister of Lands taking over the powers and obligations of the Board. The former Marketing Department materially assisted kauri-gum diggers by arranging minimum prices for various types and qualities of gum, and by assisting in the marketing of their product.

During 1953, 311 tons of kauri gum, valued at £42,640, were exported, the total quantity of gum exported to the end of 1953 being 457,293 tons, valued at £25,021,260.

PHOSPHATE.—The occurrence of phosphate has been reported from many localities in New Zealand, but so far the deposits of Clarendon and Milburn have proved to be the only ones of economic importance. From 1902 to 1924 these deposits were actively worked, and 141,843 tons of medium-grade phosphate rock were produced. Active mining commenced again in 1943. During the years 1943 and 1944, 7,488 tons of medium-grade phosphate rock were produced, while from 1943 to 1947 the production of low-grade phosphate rock amounted to 40,887 tons. The resumption of imports of rock phosphates from Nauru coincided with the exhaustion of the more favourable sections of the deposit, and operations were terminated early in 1947.

SERPENTINE.—Serpentine, which in the South Island forms vast rock masses in Nelson and Otago, and which occurs in smaller amounts in the North Island, is now of value to the fertilizer industry in the preparation of serpentine superphosphate. Production at first was mainly confined to the smaller occurrences in North Auckland owing to ease of access and transport, but production has now been commenced at much larger deposits near Te Kuiti, in the North Island, and near Mossburn, in the South Island. To the end of 1953, 581,135 tons of serpentine had been mined.

GREENSTONE.—The mineral nephrite, the “pounamu" of the Maori, a deep-green semi-transparent mineral with dark opaque patches, more popularly known as one of the varieties of “greenstone,” occurs as rounded segregations in the talc or talc-serpentine rocks of the Griffin Range of north Westland. The principal supply was obtained from the gravels of the Arahura and Taramakau Rivers, and from gold-sluicing claims of the Kumara district. Some of this has been cut and polished in New Zealand for personal and other small ornaments; the remainder has been exported. With the decline in sluicing operations, this mineral has been in short supply.

SALT.—An entirely new departure in mineral production is at present in its early stages at Lake Grassmere, in Marlborough, where salt is being produced by the solar evaporation of seawater. The low rainfall, long hours of sunlight, and the wind conditions make this locality the most suitable one in New Zealand for this purpose. Salt harvested in 1952 totalled 700 tons of value £4,200. Owing to unfavourable weather conditions, there was no production in 1953.

BUILDING AND ORNAMENTAL STONES.—New Zealand possesses a great variety of handsome and durable building stones scattered throughout both Islands. In Auckland there are basalt, andesite, porphyrite, and quartz biotite-diorite, known in the building trade as Coromandel “granite,” a hard, coarsely crystalline rock, capable of taking a fine polish. In addition, there are the Whangarei limestone and the Raglan stone, the former an excellent building stone, the latter a good freestone. Taranaki has the hornblende andesites of New Plymouth and Mount Egmont, and Wellington the andesites of Ruapehu.

In Nelson there are the granite of Tata Island and Tonga Bay and the marble or crystalline limestones of the Pikiruna (Riwaka) Range. West Nelson and Westland are well provided with granites and limestones of good quality, well adapted for building purposes; and in the Griffin Range, north Westland, there is found an abundance of finely coloured serpentine, unsurpassed as a decorative stone. Building stone is scarce in Marlborough, but Canterbury is well supplied, having an abundance of Lyttelton bluestone (andesite) and Mount Somers stone, a limestone of exceptional quality. In Otago there is an abundance of excellent building stone, ranging from the well-known Oamaru stone to the granite, gneiss, and limestones of Fiordland, all close to deep water. In Southland there are the so-called Ruapuke “granite,” the norite of the Bluff, and the granites of Stewart Island.

The lower story of Parliament Buildings is constructed of Coromandel granite, and the upper stories of Takaka marble.

The following table relates to quarries under the Quarries Act and shows the output for the year 1953. The classification given in this table differs in certain minor instances from that given on page 543.

NorthernCentralWest CoastSouthern
QuantityValueQuantityValueQuantityValueQuantityValue
 Tons£Tons£Tons£Tons£
Bentonite....7558,874........
Clay (bricks, etc.)106,12220,78044,04311,2081,36053264,60019,294
Clay (pottery, etc.)........3119332,3382,413
Diatomite1010........92113
Dolomite........3161,316....
Limestone (cement)235,00031,000....119,68819,44864,25925,704
Lime (agriculture)317,881224,532131,361105,16243,38229,661831,751761,658
Limestone (industry)1,8602608,9003,8856,3533,70714,3066,120
Marl (cement)........7,4951,21422,0561,470
Magnesite........517459....
Pumice1,38521028701........
Rock (harbour works)....20,41112,7571,6841,03073,87622,460
Sand, gravel, etc., for roads and ballast2,010,669836,0171,374,995545,44334,3603,865906,935279,749
Sand (industry)............2,1952,445
Sand, rock, or gravel for building aggregate517,792321,085248,7151521,194....303,39899,765
Serpentine46,46111,615........4,36610,196
Silica sand17,25072,081....11,0923973,2551,370
Stone (dimension for building)180450........9,32012,479
    Totals3,254,6101,518,0401,829,808840,224227,55862,5622,302,7471,245,236

Number of men employed: Northern, 1,196; Central, 510; West Coast, 137; Southern, 621.

The Quarries Act 1944, which repealed the Stone Quarries Act 1910 and its amendments, includes any place with a face of more than 15ft. in depth, in which persons work in excavating any kind of material from the earth, with the exception of coal (other than opencast coal workings), gold, scheelite, or petroleum. It does not apply to any road or railway cutting, or to excavations for buildings, but does include any tunnel of more than 50 ft. in length, in the construction of which explosives are used, and excavations for hydro-electric dams and reservoirs. The Quarries Amendment Act 1951 places opencast coal workings under the scope of the Quarries Act 1944.

PERSONS ENGAGED.—The following table shows the number of persons employed in or about mines and stone quarries during each of the last five years.

19491950195119521953
Metalliferous mines923946915536426
Coal mines5,8775,5885,0625,0924,948
Stone quarries and tunnels2,2702,4051,9162,7322,982
    Totals9,0708,9397,8938,3608,356

Accidents in mining and quarrying operations in 1953, with 1952 figures in parentheses, resulted in two (4) deaths in coal mines, two (nil) in metalliferous mines, and two (2) in quarries and tunnels. In addition, twenty-two (19) persons were seriously injured in coal mines, nil (nil) in metalliferous mines, and nineteen (14) in quarries and tunnels.

STATE AID TO MINING.—State aid to mining in New Zealand is given in several forms—viz., (1) geological survey and bulletins; (2) financial aid to prospecting; (3) schools of mines; (4) subsidized roads to mining fields.

During the year the Geological Survey carried out the following programme:—

Regional Geology.—Regional mapping, which is the basis for elucidation of the country's geological history and the ultimate development of its mineral resources, has proceeded in the North and Central Auckland, Hawke's Bay, West Coast, Nelson, Canterbury, and Southland districts.

North Auckland.—The geology of the North Auckland peninsula is complex and its correct interpretation is of importance in the search for coal, the development of subsurface water supplies, and any possible future exploration for oil that may be undertaken there.

Halloysite clays, of importance in the oil industry, have been mapped at McLeods Bay, Kauri Mountain, Waipapa, and Maungaparerua; they are likely to become of importance in the future. Search for additional coal reserves adjacent to Kamo Mine has proved unsuccessful.

Ngaruawahia.—Large reserves of coal have been proved in the Maramarua area for possible steam electric generation. Reserves of coal in the Kawhia district were investigated, and though this field will never assume major importance, it contains a useful contribution to the industry. Sulphides in Kauaeranga Valley, Thames, are being investigated as a possible source of sulphur; the deposit is extensive, but sampling to date suggests the sulphur content averages about 7 per cent, a grade of raw material that is of doubtful commercial value under present conditions. Possible sources of agricultural limestone at and inland from Torehine Point, Coromandel, were examined, and though of commercial grade, the deposits are discontinuous; the one at present worked near the Colville Road summit has the largest known and inferred reserves. Advice was given on the development of thermal waters at Waingaro and in the Hauraki Plains, as well as on potable waters in the latter area, where contamination by iron in solution is a problem in the development of subsurface water.

Rotorua.—The results of drilling at Wairakei tend to confirm the opinion that the steam and hot water come from a structure believed to have a meridional trend. This would suggest that steam may be obtained by drilling on what is believed to be the crest of the structure, west of the present producing area.

Carbon isotope determinations have shown that during the past nine thousand years there have been, at, more or less regular intervals, rhyolitic eruptions from a number of vents in the Taupo-Rotorua area. The later eruptions included glowing avalanches and lahars. This emphasizes the opinion, already expressed, that the greatest danger in the future may arise from the possibility of rhyolitic eruptions, and not from the active andesite volcanoes.

Surveys in the National Park area have revealed limestone in the Taurewa district suitable for agricultural purposes. Diatomite and pumice have been investigated as a source of pozzolana for dam construction, and various aspects of development problems in connection with hydro-electric development of the Waikato and Kaituna Rivers have been investigated. At the instigation of, and in co-operation with, Giles and Elliott, Ltd., search for suitable acid volcanic rocks for the manufacture of perlite, a lightweight thermal insulator of considerable importance in modern industry, revealed high-grade rock for processing.

Napier.—As a result of the long continued drought in Hawke's Bay there has been a considerable demand for assistance in finding water in the hill country; with the exception of two cases, suitable subsurface supplies have been found. During the summer an estimated quantity of 10,000,000 gallons of water a day has been drawn from aquifers beneath Heretaunga Plains, the same amount at least has been used for flood irrigation, and more than 20,000,000 gallons a day were drawn off for domestic and industrial purposes; this large consumption has not resulted in a continuous fall of static head, and the total amount of water available daily is probably more than four times this quantity. A direct connection between river levels and static levels in wells has been proved.

Canterbury.—Most of the field work has been completed for projected bulletins on the geology of the Amberley district and on the geology and groundwater resources of Mid-Canterbury.

The Amberley district includes the Middle Waipara and Weka Pass areas and contains different grades of limestone, some suitable for agricultural lime, and deposits of quartz sands and bentonitic clays that may possibly be of commercial value. Parts of the district suffer from a shortage of water, and the survey should be of use in indicating the more favourable areas for wells.

Mid-Canterbury consists of the central part of the extensive Canterbury Plains and the adjacent foothills. Small isolated areas in the foothills contain deposits of coal, clay, sand, and limestone, the extent of reserves of which are fairly well known, and some of these are worked at present. The survey has indicated the most productive areas of the plains and the depths to which wells must be sunk in the thick gravels comprising them to tap water supplies. The rapidly expanding irrigation schemes on the plains have been shown to have had little effect on the position of the water table up to the present time, but conditions are such that unrestricted and wasteful methods of irrigation could result in seepage and drainage difficulties on the low-lying parts of the plain where the water table is close to the land surface.

Greymouth.—The survey of the Reefton and Garvey Creek Coalfields has been completed. Numerous reports concerned with the development of the mining industry in the Greymouth and Reefton Coalfields have been circulated to the Mines Department and co-operative mining parties; resources of areas of restricted coal distribution in Murchison County have been investigated, and a regional survey of the district is under way. Agricultural limestone at Kowhitirangi was investigated for the Department of Lands and Survey.

Invercargill.—The staff has assisted the Mines Department in prospecting and developing Ohai and Kaitangata Coalfields and has carried out extensive regional mapping in Southland. Limestone for agriculture, diatomite for pozzolana, serpentines for fertilizer industry, and cement-stone have been investigated. Assistance has been given in the development of the Maniototo irrigation and the Roxburgh hydro-electric schemes, and to the Catchment Board with soil erosion problems in the Aparima River. Reports on possible dam sites for power development were furnished at the request of the State Hydro-electric Department. Rock falls in Homer Tunnel, after investigation, are believed to arise from a release of stress that is inherent in the country rock possibly right throughout the Sounds area, or at least within the rock type encountered in the tunnel.

Special Investigations.—Six weeks were spent in reconnaissance survey on the east coast of the North Island. The Cretaceous stratigraphy was re-interpreted, and is was found that the anomalous Taitai overthrust can be explained as a normal stratigraphic succession. The pre-Taitai rocks are considered to have possibilities as source beds for petroleum.

Paleontology.—Much of the time of this group has been spent on assigning ages to fossil collections submitted by field geologists; this work is of fundamental importance for advancement in applied geology. Particular attention has been given to a revision of the Jurassic and Cretaceous key species and faunas. Overseas specialists have been consulted on particular fossil groups, and the staff has reciprocated with information and specimens.

Plant microfossils have assisted in the correlation of coal seams, particularly in Nightcaps and Ohai Coalfields, and consequently are of importance in the interpretation of the geologic structure; in the Huntly area they have proved of value in the correlation of non-marine beds, particularly in the upper Tertiary and Pleistocene. Interpretation of Pleistocene climatic changes based on fossil floras supports a former conclusion based on paleontology that the Pliocene-Pleistocene boundary in New Zealand is at the base of the Nukumaruan Stage. Permian (Artinskian ?) plant fossils have been recognized in Southland; in Nelson, early Permian or possibly older fragmental plant remains have been identified.

Petrology.—Synthetic and natural gemstones for industry as well as rocks submitted from many parts of New Zealand and from various Government departments have been identified. Aggregates for concrete, particularly in connection with State hydro-electric projects at Atiamuri, Ohakuri, and Aratiatia, have been tested; cores from Wairakei have been studied to assist in the search for geothermal power; and pozzolanas for concrete, raw material for processing for perlite, and ultrabasic rocks for the fertilizer industry have been investigated. Regular inspections of the Rimutaka tunnel have been maintained to record rock types and geologic structure.

Dominion Laboratory.—The following is a summary of the work carried out at the Dominion Laboratory during 1953 in connection with mining industries.

Pozzolanas.—The resources of pozzolanas suitable for replacement of some of the cement used in concrete for dam construction were further investigated. In the North Island, interest is mainly in pumicite from Kapokorahi and Lower Kaimai and diatomite from Whirinaki. The most promising material in the South Island is diatomite at Middlemarch; a survey of the deposit to assess quantity and quality was put in hand.

Limestones.—Several limestones were examined for suitability for agricultural use. Regular testing of the output of ground limestone from the Manawatu Gorge limeworks was undertaken. Analyses of representative samples collected by Geological Survey from the new quarry face at Clifden (Southland) showed the material to be a natural cement-stone of good quality.

Fused Calcium-magnesium Phosphate.—The production of a type of phosphatic fertilizer new to New Zealand by fusion of rock phosphate with dunite or serpentine was further investigated during the year. The product is now undergoing experimental fertilizer trials. Chemical work involved the analysis of many fused slags and raw materials, including serpentines from Mossburn and dunites from Mount Dun and Red Hill (Nelson). The peridotite from Bluff is now being examined as a possible substitute for Mossburn serpentine.

Perlite.—Certain types of acid volcanic rock have the property of expanding when suddenly heated to form a lightweight material known as perlite, which has industrial uses as a building material. During 1953 a laboratory examination was made of a large number of rocks to determine their suitability for the production of expanded perlite. The survey showed the existence of deposits of perlite rock of commercial quality. The results of this work, which was carried out in conjunction with Geological Survey, are to be published.

Other.—Many samples were submitted by prospectors for identification or for assay for gold and silver. Other samples included stone dusts, clays, greensand, scheelite, bentonite, glass sand, lead-zinc ores (Te Aroha), molybdenum ores (Mount Radiant), mineral waters, black-sand concentrates for rutile and zircon, dune sands (Rangitikei), and coral limestones form Niue Island.

Miscellaneous.—As an aid towards the development of the mining industry the Government offers varied and liberal assistance to prospectors in the form of subsidies, expert and technical advice, use of plant, etc. Subject to the provisions of the Mining Act, the holder of a valid miner's right is entitled to prospect for gold or any other metal or mineral (except coal) on any Crown land. He may also obtain authority from the Governor-General to prospect on Maori land, and he may also prospect on private land with the consent of the owner. Wardens in mining districts and Commissioners of Crown Lands in other districts may, with the consent of the Minister of Mines, grant prospecting licences for coal.

The total expenditure by way of direct assistance to mining in the year ended 31 March 1954, with 1952–53 figures in parentheses, was £9,969 (£5,121), of which £989 (£1,995) was advanced to promote and maintain coal production, and £8,980 (£3,126) to assist metal mining. Expenditure on subsidies for the maintenance and construction of roads in coal mining areas was £16,917. In addition, the Mines Department expended £28,108 (£25,965) in prospecting and development work.

For the education of prospectors and mining students five schools of mines are subsidized by the Government, in addition to the Otago University School of Mines. The schools of mines are situated at Huntly, Westport, Reefton, Runanga, and Ohai. The expenditure on these schools by the Government during the year ended 31 March 1954 was £7,971, as against £6,154 during the previous year.

BOARDS OF EXAMINERS.—The Board of Examiners set up under the Mining Act annually conducts examinations of candidates for certificates as first class mine managers and dredgemasters, and the Board of Examiners set up under the Coal Mines Act for certificates as first class and second class mine managers, mine surveyors, and mine electricians. Examinations of candidates for certificates as underviewers and firemen-deputies under the Coal Mines Act are held annually. Eighteen certificates were issued in 1953.

COAL MINING DISTRICTS WELFARE AND RESEARCH FUND.—The Coal Mines Act 1925 required the owner of every coal mine to contribute ½d. per ton on all coal sold, for the relief of coal miners who may be injured while working, and for the relief of the families of coal miners who may be killed or injured.

Section 4 of the Coal Mines Amendment Act 1947 increased this levy from ½d. to 1d. per ton. This rise was made necessary by the imminent exhaustion of the fund, and during 1948 it was also necessary for the State coal mines to pay £1,000 in levies slightly in advance of the due date so that the current outgoings could be met. These contributions were paid to the Coal Miners' Relief Fund established under the Act, the fund being administered by the Public Trustee with the assistance of local committees.

The Coal Mines Amendment Act 1953 provided for the creation of a new fund, the Coal Mining Districts Welfare and Research Fund (replacing the former Relief and Amenities Funds), into which will be paid a levy at the rate of 6d. per ton on coal other than lignite and 4 ½d. per ton for lignite. This fund will be used for coal miners' relief, provision of amenities, establishment and maintenance of rescue stations, research, and generally for the benefit of the industry. Payments will be made on the direction of the Coal Mining Districts Welfare and Research Council or the Local Committee (in relief cases)

During the year 1953–54 the Coal Mining Districts Amenities Council dealt with 74 applications from various organizations in mining townships for financial assistance.

Altogether 50 grants were made, involving a total sum of £14,366, and covering a wide range of useful amenities in the townships. In practically all cases the grants made were contingent upon additional money being raised locally for the various projects.

The amount standing to the credit of that fund at the end of the year was £58,138.

Information concerning monetary benefits for miners incapacitated by miner's phthisis or any other occupational disease or heart disease contracted while working as a miner in New Zealand appears in Section 7A—Social Security.

Chapter 24. SECTION 24—FACTORY PRODUCTION

Table of Contents

STATISTICS of factory production were collected in New Zealand from 1867 to 1916 in conjunction with the population census; but, commencing with the year 1918–19, the collection became an annual one, the results being published in the Statistical Report on Factory Production.

Since the year 1951–52 factories have been classified according to the New Zealand Standard Industrial Classification, and as a result much of the individual industry statistics will not now compare with previously published figures. However, where possible, information for individual industries has been reclassified for the two previous years, and grand totals have been brought into line with the new classification from the year 1938–39. Apart from transfers within the framework of this series of factory production statistics, the adoption of the New Zealand Standard Classification has meant the elimination from the series altogether of three important industries. These relate to the logging operations of sawmillers, previously included in sawmilling, and the generation and supply of gas and electricity, accounting in all for the activities of approximately 10,000 persons. Information on the generation and supply of gas and electricity is still the subject of an annual inquiry, but the results are no longer included in the series on factory production. Separate and detailed statistics for these industries are recorded in Section 26 of this Year-Book.

A review of the statistics of factory production for a number of years shows that, following the depression of the early nineteen-thirties, New Zealand industries had been making steady progress up to the outbreak of the Second World War; such growth being mainly due to the establishment and growth of new industries. This diversification and expansion, which received a further impetus as the result of the policy of import selection and control instituted by the Government towards the end of 1938, greatly increased the occupational range of factory employment, and local production of raw materials ceased to be the limiting factor in the growth of factory industries, local manufacturers being able to meet the country's needs in many products which previously had been almost exclusively imported. This development stood New Zealand in good stead during the years of the Second World War when heavy calls were made on the industrial community to supply goods, no longer obtainable from overseas, for both the Armed Forces and civilian requirements. Not only were there large increases in the output of 'terns for which appropriate manufacturing facilities and skills were available, but new facilities were provided, locally and by importation, and new skills acquired for production of items not previously manufactured in this country. On the other hand, during the war and in the post-war period, labour shortages and difficulties experienced in obtaining overseas sources of supply of plant and raw materials have restricted the supply of certain commodities. In particular the year 1951–52 saw developments in the Korean War and the local waterfront strike; both of these caused some disruption to the flow of factory production in New Zealand, the former causing material and plant shortages, and the latter delays in domestic handling of both materials and finished goods. Following that year the supply of materials improved rapidly and some relief to the labour market was found in immigration, but it will be seen that the continued expansion of manufacturing was checked in 1952–53, when the three groups engaged respectively in the manufacture of furniture and fittings, leather and leather products, and rubber products, registered a decline in production as compared with the previous year.

The development of the country's hydro-electric power resources has been a potent factor in industrial growth. Until the outbreak of the Second World War curtailed deliveries of generating equipment and led to heavier demands on available supplies owing to the expansion of industry, ample power was available in both Islands at rates comparing very favourably with those in other and more highly industrialized countries. The over-all price per unit retailed in 1952–53 was 0.89d., with much lower rates for industrial supply in the urban areas. Shortage of generating capacity necessitated continuous control on the growth of load, and restrictions on the use of current were necessary from 1941 until late in 1952, when the supply was increased by the addition of Maraetai to the chain of Waikato generating stations, and most of these restrictions were removed. The State Hydro-electric Department is pressing forward extensive hydro-electric-development schemes in both the North and South Islands.

SCOPE OF STATISTICS.—The statistics of factory production collected annually by the Census and Statistics Department embrace the activities of factories coming within the Manufacturing Division of the New Zealand Standard Industrial Classification of all Economic Activities, which is an adaptation of the United Nations International Standard Industrial Classification. The classification covers registered factories employing at least two hands (including the working proprietor) engaged in the manufacture, repair, or treatment of articles. Important factories not covered in this survey which, however, come within this section of the Standard Classification are—

1. Bakeries. 2. Cake and pastry kitchens. 3. Boot repairers. 4. Watch repairers. 5. Bespoke tailors, dressmakers, milliners. 6. Abattoirs. 7. Railway and tramway workshops. 8. Naval dockyard. 9. All one-man factories.

The effect of these limitations on the scope of the statistical inquiry is shown in the following table which compares the coverage of the survey with the total labour force engaged in the manufacturing industry as recorded by the Department of Labour. Actually the proportion of factory production, as distinct from labour force, covered in these statistics would be much greater than the ratios shown below, in that all establishments of any considerable size are included in the annual factory production survey.

YearManufacturing Industry
Total Labour Force Engaged*Labour Force Covered by Statistical SurveyRatio of Statistical Coverage to Total

* Average of October (earlier year) and April (later year) half-yearly surveys.

† On basis of labour force engaged.

 (000)(000)(Per Cent)
1950–51182.7138.475.8
1951–52184.3144.478.3
1952–53183.8143.277.9

The year covered by these statistics is generally the year ending 31 March, but concerns are permitted to furnish returns covering their financial year most closely corresponding to this period. In the case of the important semi-primary industries—butter, cheese, and other milk products, and meat freezing and preserving—the years correspond with the production seasons ending respectively in June and September.

GENERAL SUMMARY.—The statistics in the table following illustrate the growth of New Zealand's factory production to its present standing.

YearNumber of EstablishmentsPersons EngagedSalaries and Wages PaidCost of Materials“Other Expenses” (i.e., Expenses of Operation Other Than Salaries and Wages and Cost of Materials)Value of OutputAdded Value

* Productive employees only.

† Not available.

‡ Estimates based on results of sample survey carried out during that year.

NOTE.—1953–54 figures are given in greater detail in the Latest Statistical Information Section at the front of this book.

   £££££
1910–113,48345,924*4,786,698*18,782,92929,317,02310,534,094
1915–163,75548,744*5,791,704*30,197,78443,034,03312,836,249
1920–214,02269,68113,172,99652,933,49477,828,01324,894,519
1925–264,79478,70816,153,82251,668,1008,395,92182,358,85130,690,751
1930–315,19477,91415,617,05248,458,3569,388,62677,745,24929,286,893
1935–365,53686,58814,844,36760,172,8489,374,36990,014,74829,841,900
1937–385,924102,34420,981,58775,371,55810,540,208113,691,55638,319,998
1938–396,146102,53522,270,01075,634,90310,001,804114,447,42638,812,523
1939–406,342108,72224,460,54985,243,38311,043,557129,061,82643,818,443
1940–416,395113,99926,946,79998,547,80411,978,820147,153,55948,605,755
1941–426,367117,21429,504,299102,260,86012,812,901155,566,19553,305,335
1942–436,127114,59032,256,071107,447,79913,331,973165,936,28458,488,485
1943–446,202117,86434433,075112,883,93214,516,235175,686,68962,802,757
1944–456,485122,41437,379,062122,695,10615,481,351189,800,76467,105,658
1945–466,991128,20841,499,113123,508,43816,278,562195,258,61471,750,176
1946–477,642134,43545,336,217138,533,72218,247,043218,106,18279,572,460
1947–487,966140,26752,132,689181,773,21821,240,976272,155,33390,382,115
1948–498,000142,50056,000,000203,000,00023,350,000301,000,00098,000,000
1949–508,027144,30961,316,840221,228,64726,334,762331,703,908110,475,261
1950–518,318148,94070,386,677274,165,77730,528,205395,045,818120,880,041
NEW SERIES
Commenced 1951–52, with comparable totals for certain previous years.       
1938–396,00293,63819,926,91571,173,3149,315,674106,607,91935,434,605
1941–426,225108,27526,812,79396,481,96512,047,029145,608,16649,126,201
1944–456,340113,53434,196,853116,476,19714,556,029178,585,78362,109,586
1947–487,822130,50447,940,238174,845,30120,076,507259,181,23284,335,931
1949–507,815133,24556,231,281215,008,89924,139,996317,342,946102,334,047
1950–518,113138,43565,005,458266,884,56628,867,078380,200,428113,315,862
1951–528,547144,37075,038,793290,682,89132,027,622431,038,354140,355,463
1952–538,512143,18078,490,492318,945,33635,359,704464,064,555145,119,219
1953–548,377146,42686,579,123332,858,17740,392,917495,376,770162,518,593

Factory production climbed fairly steadily from 1910–11 until a relatively high level was attained in 1929–30. During the depression of the early “thirties" there was a decided fall, but 1933–34 saw the commencement of a gradual recovery in industrial conditions. The pre-depression level was surpassed in 1936–37, and from then on each successive year has set new record high levels for factory production. During the Second World War there were temporary reductions in the numbers of establishments operating, and a fall in the number of persons engaged occurred in 1942–43 as a result of mobilization for home defence following the entry of Japan into the war. However, by 1944–45 recovery had more than made up for these reductions, and from that year New Zealand industries have maintained the rapid progress characteristic of the immediate pre-war years, despite difficulties in the form of labour shortages and of the supply of imported plant and materials.

In the 8,512 establishments recorded in 1952–53 the number of persons engaged was 1,190, or 0.8 per cent, less than in the 8,547 establishments from which returns were obtained in 1951–52. The amount of salaries and wages paid increased by £3,451,699, or 4.6 per cent, although wage-earners worked 1,022,848 hours, or 6.2 per cent, less overtime. Cost of materials used rose by £28,262,445, or 9.7 per cent; value of output was £33,026,201, or 7.7 per cent greater; and added value increased by £4,763,756, or 3.4 per cent.

In making use of the following summary by provincial districts for the year 1952–53 it is necessary to keep in mind the fact that a company operating factories at more than one location only returns one schedule covering all factories. As a result, geographic breakdowns as shown in this and other summaries lose some of their accuracy. In all such cases, the actual number of factories operated by a company is tabulated each in its proper locality, but the remainder of the figures is tabulated in total for the one locality.

Provincial DistrictNumber of EstablishmentsPersons EngagedSalaries and Wages PaidCost of MaterialsOther Expenses of OperationValue of OutputAdded Value
   £££££
Auckland3,23956,80131,370,682140,658,73414,671,086199,730,27759,071,543
Hawke's Bay3554,8082,640,44412,039,6321,115,02216,763,8994,724,267
Taranaki3644,6932,794,44720,119,1251,461,75525,279,2275,160,102
Wellington1,87532,39318,231,42368,449,3107,796,781102,634,79634,185,486
Marlborough107911446,5381,581,235209,0742,242,916661,681
Nelson2632,2521,204,5573,544,992673,1285,932,9212,387,929
Westland115907517,2051,064,401224,2752,009,859945,458
Canterbury1,22323,77912,263,70638,680,3664,836,60260,090,62421,410,258
Otago—       
  Otago61112,1896,362,13818,285,9403,113,82429,673,55611,387,616
  Southland3604,4472,659,35014,521,6011,258,15719,706,4805,184,879
    Totals8,512143,18078,490,492318,945,33635,359,704464,064,555145,119,219

A further summary for the three latest years is now given. The figures for 1950–51 will not agree with previously published statistics as they have been recast to compare with those tabulated for the later years. As mentioned earlier, factory production totals no longer include the activities of gas works, electric generation and supply stations, and the logging operations of sawmills.

1950–511951–521952–53
Number of establishments 8,1138,5478,512
Persons engagedNo.138,435144,370143,180
Production costs—    
  Salaries, wages£65,005,45875,038,79378,490,492
  Materials£266,884,566290,682,891318,945,336
  Other expenses£28,867,07832,027,62235,359,704
    Totals£360,757,102397,749,306432,795,532
Value of output£380,200,428431,038,354464,064,555
Manufacturers' surplus£19,443,32633,289,04831,269,023
Value added in manufacture£113,315,862140,355,463145,119,219
Overtime worked by wage-earnersHrs.16,005,13816,512,55315,489,705
Volume index for industry: Base 1949–50 (= 1000) 104611191110
Premises and plant—    
  Value at end of year—    
   Land and buildings£50,573,47556,982,65763,278,850
   Plant and machinery£37,043,37440,797,23545,828,724
  Capital expenditure during year—    
   Land and buildings£4,751,8165,370,3456,775,499
   Plant and machinery£7,624,1149,426,89211,301,031

The following table gives a summary of some of the principal production statistics for the year 1952–53 classified by individual industries. Totals for the statistical groups to which these industries belong are also shown.

IndustryNumber of EstablishmentsNumber of Persons EngagedSalaries and Wages PaidValue of OutputValue Added in Manufacture
Food Manufacturing Industries  £££
Meat freezing and preserving5213,0849,121,32080,407,94915,927,486
Ham and bacon curing42807497,7355,069,3571,107,344
Sausage casings16174103,313773,389168,558
Processed cheese46931,357492,478108,827
Ice cream49418206,2471,283,556691,312
Butter, cheese, and other milk products3654,6523,147,18287,521,4797,152,835
Fruit and vegetable preserving341,200573,1413,538,0671,269,713
Fish preserving166630,197256,76978,392
Grain milling47840462,4444,374,5371,033,823
Biscuits121,063481,8422,458,9371,067,792
Cocoa, chocolate, and sugar confectionery551,783789,7424,330,9161,474,900
Feeds for animals and fowls36246140,7271,652,918344,664
Food preparations n.e.i.661,355738,1578,235,9522,029,117
    Totals79425,75716,323,404200,396,30432,454,763
Beverage Industries     
Wine-making2912064,098275,579128,348
Brewing of ale and stout331,386869,8815,352,7632,379,553
Malting19203138,241897,845310,076
Aerated waters and cordials89564301,5421,175,570673,544
    Totals1702,2731,373,7627,701,7573,491,521
IndustryNumber of EstablishmentsNumber of Persons EngagedSalaries and Wages PaidValue of OutputValue added in Manufacture
Tobacco Manufactures  £££
Tobacco, cigars, and cigarettes81,323592,8886,120,2771,921,297
Manufacture of Textiles     
Woolscouring24402270,7487,891,551543,029
Woollen milling192,4901,247,0344,229,6592,125,142
Other spinning and weaving mills13763392,6012,097,252751,079
Hosiery and other knitting mills953,4711,506,5935,732,4722,612,098
Phormium flax15193104,542351,455199,598
Linen flax512557,374106,99375,742
Textiles n.e.i.19324204,0901,349,425570,862
    Totals1907,7683,782,98221,758,8076,877,550
Manufacture of Footwear, Other Wearing Apparel, and Made-up Textile Goods     
Leather gloves and apparel25251102,301316,898152,683
Men's and boys' outerwear1884,0501,647,0536,470,2472,171,385
Women's and girls' outerwear3505,5052,014,9606,568,8942,760,562
Underclothing371,301513,6282,203,928710,876
Hats, caps, and millinery51976384,2971,129,079559,791
Corsetry17732295,492915,387426,753
Neckties816671,028348,429125,031
Shirts and pyjamas601,459480,2072,186,111663,069
Wearing apparel n.e.i.1333,4481,306,5014,968,9311,803,524
Fur coats and necklets51471199,531630,641280,093
Footwear (other than rubber)1404,9732,390,5987,008,2833,385,087
Tents, tarpaulins, and other canvas goods35338157,161742,375276,701
Made-up textiles (other than wearing apparel)64496184,7431,280,798353,850
    Totals1,15924,1669,747,50034,770,00113,669,405
Manufactures of Wood and Cork (Except Manufacture of Furniture)     
Sawmills5876,0073,645,72812,882,7307,077,083
Planing mills1481,8501,052,0405,980,4912,033,863
Joinery2892,8581,619,2335,527,1342,696,088
Wooden containers49640363,4751,834,862653,628
Plywood and veneer7483264,461875,781529,641
Wood products n.e.i.58382210,993682,320369,343
    Totals1,13812,2207,155,93027,783,3181,359,646
Manufacture of Furniture and Fixtures     
Furniture5364,2772,201,2875,611,0433,140,731
Mattress manufacture37514271,4971,557,863537,990
Venetian blinds20164102,058516,997210,097
    Totals5934,9552,574,8427,685,9033,888,818
IndustryNumber of EstablishmentsNumber of Persons EngagedSalaries and Wages PaidValue of OutputValue Added in Manufacture
Manufacture of Paper and Paper Products  £££
Pulp, paper, and paperboard3692460,4123,186,4331,630,627
Cardboard boxes, cartons, and paper bags441,253601,0834,415,7211,326,649
Paper products n.e.i.38826404,3682,455,119822,325
    Totals852,7711,465,86310,057,2733,779,601
Printing, Publishing, and Allied Industries     
Printing and publishing1004,2192,542,1358,032,2315,154,274
Job and general printing2583,9192,044,2356,267,2783,581,056
Service industries for printing trade28330200,650391,799314,943
    Totals3868,4684,787,02014,691,3089,050,273
Manufacture of Leather and Leather Products (Except Footwear)     
Tanning15753476,9462,590,719790,704
Fellmongery66638,070465,59786,028
Leather goods86759344,0461,129,371534,795
    Totals1071,578859,0624,185,6871,411,527
Manufacture of Rubber Products     
Motor tires and tubes3573446,5602,921,510994,997
Rubber goods (other than motor tires and tubes)241,064614,0162,164,8611,154,094
Vulcanizing and tire retreading60429260,2701,348,934611,982
    Totals872,0661,320,8466,435,3052,761,073
Manufacture of Chemicals and Chemical Products     
Chemical fertilizers81,124752,3957,859,2952,032,420
Vegetable and animal oils and fats41380245,6801,967,924767,959
Ink99644,575180,78282,322
Soap and candle20520301,2081,897,157736,099
Paint and varnish24661387,9843,778,989861,650
Pharmaceuticals, toilet goods, and cosmetics45727316,4612,125,867772,676
Stock remedies, stock lick, and sheep dip84221,136189,06578,428
 621,030544,2512,903,3791,253,773
    Totals2174,5802,613,69020,902,4586,585,327
Manufacture of Products of Petroleum and Coal     
Petroleum and coal products811675,908924,047158,616
Bituminous paving and roofing materials1913479,574581,549214,128
    Totals27250155,4821,505,596372,744
IndustryNumber of EstablishmentsNumber of Persons EngagedSalaries and Wages PaidValue of OutputValue Added in Manufacture
Manufacture of Non-metallic Mineral Products (Except Products of Petroleum and Coal)  £££
Structural clay products481,000611,4561,493,0041,384,804
Pottery, china, and earthenware7424219,917429,302352,190
Cement3378292,5902,027,1391,361,475
Glass and glass products48966544,8401,765,7651,094,377
Concrete products2451,6791,000,8053,465,9651,825,991
Lime85511285,6711,354,358898,475
Fibrous plaster81421242,688729,888372,266
Non-metallic mineral products n.e.i.11468313,5641,664,318639,956
    Totals5285,8473,511,53112,929,7397,929,534
Basic Metal Industries     
Basic metal industries80822520,1782,760,9901,067,187
Manufacture of Metal Products (Except Machinery and Transport Equipment)     
Sheetmetal working1603,0781,805,7117,211,5343,189,491
Wire working22235146,729726,102271,901
Nail making610772,167802,209116,406
Electroplating and metal polishing55344220,545509,066334,398
Metal products n.e.i.1332,4271,516,0175,339,1742,690,937
    Totals3766,1913,761,16914,588,0856,603,133
Manufacture, Assembly, and Repair of Machinery (Except Electrical Machinery)     
Agricultural and pastoral machinery1001,353725,4775,355,4031,344,813
Machinery n.e.i.3426,9724,161,22014,560,4857,015,635
    Totals4428,3254,886,69719,915,8888,360,448
Manufacture of Electrical Machinery, Apparatus, Appliances, and Supplies     
Rangemaking10965548,8361,430,226795,094
Radio assembly and manufacture25978493,1552,128,843776,965
Electrical machinery, appliances n.e.i.1082,0121,088,4954,593,3951,943,392
    Totals1433,9552,130,4868,152,4643,515,451
Manufacture of Transport Equipment     
Boat building and ship repairing551,130727,1691,531,6881,084,338
Motor vehicle assembly111,9191,440,68215,448,8562,899,330
Motor body building841,248722,9711,930,7521,172,319
Repairs to motor vehicles1,55411,4275,904,66016,996,1729,466,848
Aircraft maintenance and repair161,009620,5751,095,259818,415
Perambulators1214767,936227,221107,780
Transport equipment n.e.i.27399249,053708,419405,910
    Totals1,75917,2799,733,04637,938,36715,954,940
IndustryNumber of EstablishmentsNumber of Persons EngagedSalaries and Wages PaidValue of OutputValue Added in Manufacture
Miscellaneous Manufacturing Industries     
Optical, surgical, and dental, etc., equipment  £££
 28186100,603248,451157,057
Jewellery63483233,409613,938363,963
Brushes and brooms14364154,987613,168271,729
Toys and sports goods33465206,832671,727370,785
Manufacturing industries n.e.i.851,088498,2831,637,744901,447
    Totals2232,5861,194,1143,785,0282,064,981
    Grand totals8,512143,18078,490,492464,064,555145,119,219

ESTABLISHMENTS AND EMPLOYEES.—In 1952–53 there was a decrease of 35 in the number of establishments reporting as compared with the 1951–52 total, which compares with an increase of 434 between 1950–51 and 1951–52. The increases recorded in the immediate post-war years were numerically the highest recorded and compare with the percentage increases recorded after the First World War. The same factors operated after both wars—viz., the re-establishment of businesses closed down during the war period and the opening of new businesses by returned servicemen. In addition, in recent years the shortage of labour in the principal centres has resulted in branch factories and workrooms being opened in secondary towns to tap the labour resources in those areas.

The following table shows the number of factories in each provincial district for the three latest years.

Provincial DistrictNumber of Factories
1950–511951–521952–53
Auckland3,0393,2373,239
Hawke's Bay363375355
Taranaki369364364
Wellington1,8131,8761,875
Marlborough96106107
Nelson238249263
Westland95110115
Canterbury1,1761,2581,223
Otago—   
  Otago portion583617611
  Southland portion341355360
    Totals8,1138,5478,512

The number of factories and persons engaged are next shown classified according to the New Zealand Standard Industrial Classification, introduced with the 1951–52 collection. Figures for the previous year (1950–51), have been based on the same classification for the purposes of comparison. Persons engaged include only those employed in the manufacturing activities of a factory. They include proprietors actively engaged in their own businesses but exclude all persons engaged in selling and distribution, such as salesmen, carters engaged solely on outward delivery of manufactured goods, and sales office staff. Figures for persons engaged refer to the average number over the whole year.

Industry GroupNumber of FactoriesNumber of Persons Engaged
1950–511951–521952–531950–511951–521952–53
Food82281279424,25125,11325,757
Beverages1691761702,1882,2552,273
Tobacco manufactures8881,2541,3481,323
Textiles1771861907,9707,6897,768
Footwear, other wearing apparel, and made-up textile goods1,1421,1941,15925,56126,17024,166
Wood and cork products (except furniture)9521,1211,1389,91611,84812,220
Furniture and fittings5405995935,0375,2104,955
Paper and paper products7881852,7962,8512,771
Printing, publishing, etc.3733903868,3098,4518,468
Leather and leather products (except footwear and apparel)1271161071,8401,7371,578
Rubber products8588872,2502,4722,066
Chemicals and chemical products2112182174,5334,6744,580
Petroleum and coal products242427229225250
Non-metallic mineral products n.e.i.5265425285,6165,8485,847
Basic metal manufactures798180737811822
Metal products (except machinery and transport equipment)3613843765,9646,1496,191
Machinery (except electrical)4314494427,4667,9918,325
Electrical machinery and appliances1461461433,9424,0093,955
Transport equipment1,6361,6981,75915,63316,64917,279
Miscellaneous products2262342232,9432,8702,586
    Totals8,1138,5478,512138,435144,370143,180

Further information is given in the following table on persons engaged in 1952–53. Totals in each industrial class are shown by provincial districts.

Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtagoTotal
Otago PortionSouthland Portion
Number of Persons Engaged 1952–53
Food10,0981,8572,0643,870172480253,6072,0441,54025,757
Beverages1,00310145376215427342238662,273
Tobacco manufactures80157..1,086............1,323
Textiles1,618120 1,8861213252,3761,5561627,768
Footwear, other wearing apparel, and made-up textile goods10,9142283225,64020963644,5832,00713624,166
Wood and cork products (except furniture)5,7714455781,548946634661,29364371912,220
Furniture and fittings1,991265961,1042478318573881214,955
Paper and paper products1,595....546......1792452062,771
Printing, publishing, etc.2,8142692172,69447118661,2917432098,468
Leather and leather products (except footwear and apparel)7789314733..381199551,578
Rubber products617221538653..1,0001532,066
Chemicals and chemical products1,3701772171,5842010..566620164,580
Petroleum and coal products1415559......40....250
Non-metallic mineral products n.e.i.2,7971658770836184221,0695322475,847
Basic metal manufactures289..14212..3..208924822
Metal products (except machinery and transport equipment)3,01621901,5208252903547596,191
Machinery (except electrical)3,1062863151,8885955511,6775693198,325
Electrical machinery and appliances1,2633051,470......79338773,955
Transport equipment6,4046195914,9311774951282,1351,23156817,279
Miscellaneous products1,1363229738245..479133102,586
    Totals56,8014,8084,69332,3939112,25290723,77912,1894,447143,180

The distribution of the sexes among the persons engaged shows a considerable preponderance of males. In the five years prior to the Second World War the proportion of female employees in factories was steady at approximately 25 per cent. After rising rapidly to a peak of 31.5 per cent in 1942–43 as a result of additional women being recruited for factory work and men being called for military service, the proportion then fell equally rapidly back to the pre-war figure.

In the smaller districts there are few industries employing female labour to any great extent; but the male preponderance is considerably smaller in the four main districts, where female labour is in great demand mainly on account of the importance of the clothing and textile industries. The greater number of females in manufacturing industries are engaged in four classes: Food; footwear and other wearing apparel; textiles; and printing, publishing, etc. In 1952–53 these classes accounted for 76 per cent of all females in factories. In two classes only did the number of females exceed the number of males—viz., tobacco manufactures, where there were 188 females to every 100 males, and footwear and other wearing apparel, etc., where there were 272 females per 100 males. The following table shows the average number of males and females engaged according to industry groups for the year 1952–53.

Industry GroupMalesFemalesTotal
Food21,7833,97425,757
Beverages2,1561172,273
Tobacco manufactures4608631,323
Textiles4,1213,6477,768
Footwear, other wearing apparel, and made-up textile goods6,50317,66324,166
Wood and cork products (except furniture)11,85736312,220
Furniture and fittings4,5284274,955
Paper and paper products1,7071,0642,771
Printing, publishing, etc.6,5911,8778,468
Leather and leather products (except footwear and apparel)1,1724061,578
Rubber products1,7143522,066
Chemicals and chemical products3,4611,1194,580
Petroleum and coal products2428250
Non-metallic mineral products n.e.i.5,5522955,847
Basic metal manufactures78240822
Metal products (except machinery and transport equipment)5,4107816,191
Machinery (except electrical)7,9793468,325
Electrical machinery and appliances3,1458103,955
Transport equipment16,40887117,279
Miscellaneous products1,6888982,586
    Totals107,25935,921143,180

Further information is available in the table below on the extent to which females are engaged in factories in New Zealand for 1952–53. This table gives by provincial districts the number of males per 100 females engaged, and the total persons engaged per thousand of population.

Provincial DistrictMalesFemalesTotalNumber of Males Per 100 FemalesTotal Population at 1 April 1953Total Persons Engaged Per Thousand of Population
Auckland41,97014,83156,801283792,49072
Hawke's Bay4,0877214,80856795,60050
Taranaki4,2114824,69387490,40052
Wellington23,2519,14232,393254410,90079
Marlborough72518691139024,10038
Nelson1,9892632,25275670,30032
Westland833749071,12618,60049
Canterbury17,3126,46723,779268290,86382
Otago—      
  Otago portion8,8513,33812,189265164,60074
  Southland portion4,0304174,44796679,70056
    Totals107,25935,921143,1802992,037,55370

A classification of the establishments, according to the number of persons engaged, is given at five-yearly intervals from 1924–25 onwards. Figures for the latest year (1952–53) are also included, but are not strictly comparable with the other years shown. As mentioned earlier, the series no longer includes certain sectors of production previously included—principal omissions being the logging activities of sawmills and the operations of gas and electric supply stations. A further note of explanation should be mentioned regarding tables published on size of establishment. The general practice of accepting consolidated returns covering several factories does not permit a really accurate classification of factories. Averaged figures, of both output and persons engaged, with no allowance for varying size of the industrial unit, do not give a true story in these cases.

YearFactories With Persons Engaged Numbering—Totals
10 or Under11–2021–5051–100Over 100
Number of Factories
1924–252,9727205701551214,538
1929–303,4768005911641375,168
1934–353,7257644961431425,270
1939–404,2189577722121836,342
1944–454,1391,0468332701976,485
1949–504,9931,4091,1063122078,027
1952–535,4591,5641,0032901968,512
Number of Persons Engaged
1924–2512,65810,69018,06711,09424,67477,183
1929–3015,47411,78517,97711,65825,96782,861
1934–3514,90111,32115,3099,71628,11179,358
1939–4017,21214,04823,31614,73739,409108,722
1944–4518,38215,54725,78718,80943,889122,414
1949–5024,48120,60834,38621,30443,530144,309
1952–5326,94522,41931,02619,94542,845143,180

The classification according to the number of persons engaged shows clearly that, judged by the standards of highly industrialized communities, the average size of the industrial unit in New Zealand is small. Factories employing ten persons or under accounted for 641 per cent of the total number of factories in 1952–53.

A further break up by employment groups, this time by industrial classes, is shown in the following table, which gives both the number of establishments and persons engaged in each industrial group for the year 1952–53.

Industry GroupEstablishments (E) Persons (P)Factories With Persons Engaged Numbering—Total
Under 66 to 1011 to 2021 to 5051 to 100101 to 200Over 200
FoodE24623311712924936794
 P7921,8081,6244,0821,6451,27114,53525,757
BeveragesE824023168..1170
 P230305332477597..3322,273
Tobacco manufacturesE....1..1428
 P....12..685766671,323
TextilesE3935364017167190
 P1162665301,2931,3782,1822,0037,768
Footwear, other wearing apparel, and made-up textile goodsE241266303245821841,159
 P8602,0814,5607,6035,6352,3591,06824,166
Wood and cork products (except furniture)E4503212559414311,138
 P1,5542,4703,7822,77997944021612,220
Furniture and fittingsE31913693414....593
 P9951,0421,3381,298282....4,955
Paper and pulp productsE2010182393285
 P73772908235494455142,771
Printing, publishing, etc.E1527473512457386
 P4965721,0301,5761,6777562,3618,468
Leather and leather products (except footwear and apparel)E5224111343 107
 P154181152433304354..1,578
Rubber productsE4319126..3487
 P135143182189..4429752,066
Chemicals and chemical productsE744741351091217
 P2413785921,1007141,3232324,580
Petroleum and coal productsE12762......27
 P50478568......250
Non-metallic mineral products n.e.i.E2871217529961523
 P9329021,1178796608864715,847
Basic metal manufacturesE27232271....80
 P9817429520154....822
Metal products (except machinery and transport equipment)E14895475718101376
 P4967096701,7761,1061,2312036,191
Machinery (except electrical)E16988826620161442
 P5926861,1532,0811,3192,0534418,325
Electrical machinery and appliancesE393325241453143
 P1222553847631,0367046913,955
Transport equipmentE9303962939928671,759
 P3,2442,9143,8202,7671,73981,93917,279
Miscellaneous productsE11348312632..223
 P373382471838203319..2,586
    TotalsE3,4432,0161,5641,003290118788,512
 P11,55315,39222,41931,02619,94516,19726,648143,180

SALARIES AND WAGES.—The figures relating to the amounts paid as salaries and wages include amounts paid as bonuses and for overtime, also amounts drawn in lieu of salary by working proprietors. The amounts received by male and female employees (inclusive of all groups—executive, clerical, and wage earning), and the average amount received per employee of each sex, as recorded in the last five collections, are set out below. Although total figures for 1951–52 and 1952–53 are on a different basis from those for the previous years shown, owing to the exclusion of certain sectors of production, the average salary and wage quoted can be considered reasonably comparable. For the year 1952–53 both males and females recorded increased average earnings over the previous year of 5.1 and 4.4 per cent respectively.

YearMalesFemalesBoth Sexes
TotalAverageTotalAverageTotalAverage
 ££££££
1947–4844,760,9574217,371,73221652,132,689372
1949–5052,386,8294818,930,01125361,316,840425
1950–5159,710,99053510,675,68728670,386,677473
1951–5263,151,27259111,887,52131775,038,793520
1952–5366,604,45162111,886,04133178,490,492548

The averages shown relate to all persons engaged, irrespective of age, industry, status, and personal occupation, and year-to-year comparisons may also be affected by changes in any of these factors. The figures do, however, give an indication of the increased earnings of factory workers in recent years, the average for males having risen by 47.5 per cent and for females by 53.2 per cent since 1947–48. Of interest also is the relative improvement in the earnings of female wage earners over the same period; whereas in 1947–48 the figure for average earnings of females was 51.3 per cent of the corresponding figure for males, in 1952–53 the ratio had increased to 53.3 per cent. Incidentally in 1938–39 the average earnings of females was only 42.5 per cent of those of male workers.

The amount of salaries and wages paid in each industrial group and in all industries during the last three years is given hereunder.

Industry GroupSalaries and Wages Paid £(000)
1950–511951–521952–53
Food13,52915,35216,323
Beverages1,1341,2581,374
Tobacco manufactures464530593
Textiles3,3773,6883,783
Footwear, other wearing apparel, and made-up textile goods8,98110,2029,748
Wood and cork products (except furniture)5,1456,6197,156
Furniture and fittings2,2232,5632,575
Paper and pulp products1,2981,4291,466
Printing, publishing, etc.4,0334,4954,787
Leather and leather products (except footwear and apparel)864907859
Rubber products1,1881,4971,321
Chemicals and chemical products2,2032,5442,614
Petroleum and coal products131143155
Non-metallic mineral products n.e.i.2,7673,2503,512
Basic metal manufactures389486520
Metal products (except machinery and transport equipment)3,0053,4943,761
Machinery (except electrical)3,7544,4694,887
Electrical machinery and appliances1,7852,0362,130
Transport equipment7,4928,7439,733
Miscellaneous products1,2431,3341,194
    Totals65,00575,03978,490

In the following table an analysis is made of the 1952–53 totals according to provincial districts in which the industries were carried on.

Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtago
Otago PortionSouthland Portion

* To avoid disclosure of details of individual establishments, figures have been included in those for Miscellaneous products.

Salaries and Wages Paid £(000)
Food6,4131,1151,4202,526116247122,2071,1731,096
Beverages595552424311341721314636
Tobacco manufactures**..*............
Textiles79669..953**101,09976580
Footwear, other wearing apparel, and made-up textile goods4,458761082,3147621271,86675348
Wood and cork products (except furniture)3,46424132990648380301718346422
Furniture and fittings1,0971324559311361539019659
Paper and paper products897....291......7994104
Printing, publishing, etc.1,6131481251,580286338672401120
Leather and leather products (except footwear and apparel)4075*73**..20213929
Rubber products39714*252**..63592
Chemicals and chemical products78511114790112*..30433810
Petroleum and coal products88..*39......23....
Non-metallic mineral products n.e.i.1,71496454422012514587314154
Basic metal manufactures176..*139..*..12762*
Metal products (except machinery and transport equipment)1,8451154946***53531831
Machinery (except electrical)1,8981571701,1992929*908298171
Electrical machinery and appliances64616*798......431233*
Transport equipment3,5233092873,20475235541,047714286
Miscellaneous products56186398332232292206511
    Totals31,3712,6402,79418,2314471,20551712,2646,3622,659

A further analysis of salaries and wages paid is given in the table below for 1952–53, and shows the amounts paid to working proprietors, managers, clerical staff, and those paid to other employees, i.e., wage-earners. As mentioned earlier, drawings in lieu of salaries are included for proprietors actively engaged in the business.

Industry GroupWorking Proprietors, Managers, Clerical StaffWage-earning EmployeesAll Employees
MalesFemalesMalesFemalesMalesFemalesTotal
Salaries and Wages Paid £(000)
Food2,23834012,79395215,0311,29216,323
Beverages266371,06641,333411,374
Tobacco manufactures6824221280289304593
Textiles409822,0971,1952,5071,2763,783
Footwear, other wearing apparel, and made-up textile goods1,2454232,7325,3483,9765,7719,748
Wood and cork products (except furniture)1,201845,838337,0391177,156
Furniture and fittings521401,9111032,4321432,575
Paper and paper products227359003041,1273391,466
Printing, publishing, etc.8942133,2883934,1826054,787
Leather and leather products (except footwear and apparel)14921570119720139859
Rubber products248279461001,1951261,321
Chemicals and chemical products5091041,7442582,2533612,614
Petroleum and coal products343119..1523155
Non-metallic mineral products n.e.i.531442,888493,419933,512
Basic metal manufactures11510390450614520
Metal products (except machinery and transport equipment)662742,8222033,4842773,761
Machinery (except electrical)9751123,780194,7561314,887
Electrical machinery and appliances310661,5252291,8352952,130
Transport equipment1,8402487,603429,4422919,733
Miscellaneous products241506872169282671,194
    Totals12,6852,03553,9209,85166,60411,88678,490

The following statement shows the average earnings of males and females for the past ten years, and although the basis of the calculations has changed in the latest year, it is considered that the average salary or wage shown for 1952–53 is reasonably comparable with the figures for previous years.

YearProprietors Actively EngagedManagers, OverseersAccountants, ClerksWage-earning EmployeesTotal
MalesFemalesMalesFemalesMalesFemalesMalesFemalesMalesFemales
Average Salary or Wage (£)
1942–43315259547315325163324149341152
1943–44342282569314329173331157350162
1944–45360322586339340181343168362172
1945–46367326596350347193359180377184
1946–47372320614365368201365189385194
1947–48428336661409406224401211421216
1949–50491346730463460266460248481253
1950–51531399797499511296514281535286
1951–52596459871525576330566311591317
1952–53628436922568626354593324621331

MOTIVE POWER.—A supply of cheap motive power is essential for industrial development. New Zealand industries were formerly somewhat handicapped in this respect, long railway hauls and, in some instances, sea carriage being involved in the transport of coal from the mines to the factories. The difficulties in the way of obtaining a supply of cheap motive power have been met by the development by the State of hydro-electric schemes, for which New Zealand is topographically well suited. As mentioned earlier in these notes, restrictions in the supply have been necessary during recent years, but since the addition of Maraetai to the chain of Waikato stations most of these restrictions have been removed.

The following table shows the numbers and aggregate horsepower of each class of engine used in factories for 1927–28, 1937–38, 1947–48, and the last two years available.

Class of Engine 1927–281937–381947–481951–521952–53
ElectricNo.12,42825,62670,274104,583110,824
 H.P.111,942181,757342,408455,735481,668
SteamNo.1,8691,4701,001779694
 H.P.63,93050,73634,78828,30431,119
Petrol and light oilNo.2975111,015846793
 H.P.25,30218,85017,408
Heavy oilNo.3,76912,333411424453
 H.P.20,26725,87227,101
OtherNo.53025587163128
 H.P.16,3676,0592,8859,8918,022
    TotalsNo.15,12427,86272,788106,795112,892
 H.P.196,008250,885425,650538,652565,318

The figures relating to horsepower represent the rated horsepower of engines ordinarily in use for driving factory plant. Steam boilers and engines for generating electric power in own works are excluded.

The following table shows the types and rated horsepower of engines ordinarily in use in the various industries during 1952–53.

Industry GroupRated Horsepower of Engines in Use
ElectricSteamPetrol and Light OilHeavy OilOtherTotal
Food131,98710,8307982,0123,874149,501
Beverages8,228242985084539,529
Tobacco manufactures1,011....90..1,101
Textiles23,7751,396998489..26,658
Footwear, other wearing apparel, and made-up textile goods12,3131784668441213,813
Wood and cork products (except furniture)83,3649,8099,99215,7441,891120,800
Furniture and fittings14,079..11130..14,220
Paper and paper products18,82426717812516519,559
Printing, publishing, etc.13,767..1431,14766915,726
Leather and leather products (except footwear and apparel)5,917108106227..6,358
Rubber products18,330100836312319,392
Chemicals and chemical products24,96441024194849927,062
Petroleum and coal products1,7514259..442,058
Non-metallic mineral products n.e.i.44,9907,0261,1831,8519555,145
Basic metal manufactures4,0056193020..4,674
Metal products (except machinery and transport equipment)18,425252291,322..20,001
Machinery (except electrical)23,366109175155124,859
Electrical machinery and appliances5,96353290586,148
Transport equipment21,402908619998823,440
Miscellaneous products5,207 3037..5,274
    Totals481,66831,11917,40827,1018,022565,318

CONSUMPTION OF COAL.—During the year 1952–53, 889,680 tons of New Zealand coal were used in industries covered by the statistics of factory production. Comparable figures for the two previous years were: 1951–52, 860,536 tons, and 1950–51, 823,776 tons. It is important to note that the new series of factory production statistics no longer includes the activities of the gas-making industry and electric generation and supply stations. These two industries for the year 1952–53 used 289,367 tons and 129,229 tons of coal respectively.

The following table shows for the year 1952–53 the consumption of coal by industrial groups.

Industry GroupTons of Coal Used, 1952–53
Food477,363
Beverages20,199
Tobacco manufactures1,529
Textiles38,265
Footwear, other wearing apparel, and made-up textile goods2,591
Wood and cork products (except furniture)3,736
Furniture and fittings61
Paper and paper products65,360
Printing, publishing, etc.302
Leather and leather products (except footwear and apparel)8,080
Rubber products17,099
Chemicals and chemical products30,545
Petroleum and coal products35,294
Non-metallic mineral products n.e.i.180,657
Basic metal manufactures2,740
Metal products (except machinery and transport equipment)2,317
Machinery (except electrical)1,083
Electrical machinery and appliances950
Transport equipment562
Miscellaneous products947
    Total889,680

Approximately 81 per cent of the amount of coal used is accounted for in three groups: Food, paper and paper products, and non-metallic mineral products n.e.i. Individual industries using more than 10,000 tons of coal in 1952–53 are as follows.

IndustryTons
Butter, cheese, and other milk products278,693
Meat freezing and preserving144,299
Cement100,560
Pulp paper and paperboard64,275
Structural clay products42,726
Petroleum and coal products34,124
Food preparations n.e.i.30,041
Woollen milling21,717
Lime21,382
Brewing of ale and stout18,893
Vegetable and animal oils and fats10,876

MATERIALS.—The value of materials used does not afford a very satisfactory basis of comparison as between one industry or industrial group and another, for the reason that the changes wrought during the process of manufacture vary considerably in degree. An example of the wide differences which may occur in the ratio of cost of materials to value of goods produced will be seen in the food group and the wood and cork products (except furniture) group.

Totals for the latest year show that the cost of materials used in food manufacture was £167,942,000 and the goods produced were valued at £200,396,000, while the materials used in the manufacture of wood and cork products cost £14,424,000 and finished goods produced were valued at £27,783,000.

The cost of materials used in each industrial group and in all industries during the last three years is given hereunder. All figures shown in these tables are comparable, being based on the new concept.

Industry GroupCost of Materials Used £(000)
1950–511951–521952–53
Food141,733145,719167,942
Beverages3,3803,7164,210
Tobacco manufactures3,6093,9284,199
Textiles21,69514,57814,881
Footwear, other wearing apparel, and made-up textile goods18,97522,52521,101
Wood and cork products (except furniture)11,57613,25414,424
Furniture and fittings3,5673,9343,797
Paper and paper products4,0505,8086,278
Printing, publishing, etc.3,7694,7995,641
Leather and leather products (except footwear and apparel)3,0653,1912,774
Rubber products2,3434,9703,674
Chemicals and chemical products10,64114,94114,317
Petroleum and coal products776'9741,133
Non-metallic mineral products n.e.i.3,4024,2455,000
Basic metal manufactures1,0231,8741,694
Metal products (except machinery and transport equipment)5,4867,0607,985
Machinery (except electrical)7,02810,05311,555
Electrical machinery and appliances3,3424,3464,637
Transport equipment15,61818,59721,983
Miscellaneous products1,8072,1711,720
    Totals266,885290,683318,945

An analysis by provincial districts of the cost of materials used for the year 1952–53 is given below.

Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtago
Otago PortionSouthland Portion

* To avoid disclosure of details of individual establishments, figures have been included in those for Miscellaneous products.

Cost of Materials Used £(000)
Food82,6068,42616,91322,3691,0502,03332514,8018,10811,311
Beverages2,1451144358527772977535660
Tobacco manufactures**..*............
Textiles3,1381,384..3,228**94,8941,808408
Footwear, other wearing apparel, and made-up textile goods9,2091463435,64216430593,8201,539149
Wood and cork products (except furniture)7,5154816352,073536794881,297653549
Furniture and fittings1,8561174885913331544435358
Paper and paper products3,869....1,091......264301751
Printing, publishing, etc.1,980137961,763174119974513101
Leather and leather products (except footwear and apparel)1,2327*149**..576571231
Rubber products1,16223*724**..1,701243
Chemicals and chemical products5,0361821,1435,13423*..1,1051,61949
Petroleum and coal products314**699.. ..95....
Non-metallic mineral products n.e.i.2,755164745312018720606435209
Basic metal manufactures871..*261..*..339202*
Metal products (except machinery and transport equipment)4,09417702,165***1,01158824
Machinery (except electrical)4,2962173113,0106239*3,052327223
Electrical machinery and appliances1,66333*1,943......755232*
Transport equipment5,86639437611,952119373821,841597384
Miscellaneous products1,053200664,272335119335589
    Totals140,65912,04020,11968,4491,5813,5451,06438,68018,28614,522

A large proportion of the total cost of materials is accounted for by the food group, which includes the semi-primary industries dealing with meat freezing and preserving and the manufacture of butter, cheese, and other milk products. In the latest year, for example, the cost of materials used by this group, £167,942,000, represented 53 per cent of the total cost of materials used by all industries, £318,945,000. For this reason, variations in the prices received for primary produce have a very marked effect on this total, and it should be remembered that, as these prices can be regarded as understated by the amount of any subsidies paid to primary producers, a similar understatement can be assumed in the cost of materials shown in these tables.

PRODUCTS.—The value of products is based upon the valuation of goods at the factory door.

In making use of the gross value of products it must be borne in mind that the figures include the value of raw materials operated upon, which value normally constitutes approximately two-thirds of the value of products. Where the products of one industry—for example, sawmilling—are treated again in other industries, such as furniture making, joinery, etc., part of the value of the timber shown as products of the former industry appears again as the materials of the latter industry and enters into the value of furniture and joinery made. Duplication of this kind is found in many industries.

The following tables show the gross value of products for each industrial group and for all industries for the last three years available. All figures shown in these tables are based on the new concept and are therefore comparable.

Industry GroupProducts £(000)
1950–511951–521952–53
Food161,657177,088200,396
Beverages6,3196,8057,702
Tobacco manufactures5,0105,5956,120
Textiles28,21321,25521,759
Footwear, other wearing apparel, and made-up textile goods32,26137,28134,770
Wood and cork products (except furniture)21,31826,22927,783
Furniture and fittings6,8977,7857,686
Paper and paper products7,2559,52810,057
Printing, publishing, etc.11,37413,30014,691
Leather and leather products (except footwear and apparel)4,5714,6984,186
Rubber products5,1608,3766,435
Chemicals and chemical products16,28421,39820,902
Petroleum and coal products1,0911,3311,506
Non-metallic mineral products n.e.i.9,48411,47812,930
Basic metal manufactures1,7392,8862,761
Metal products (except machinery and transport equipment)10,59013,44714,588
Machinery (except electrical)13,40717,59919,916
Electrical machinery and appliances6,2677,5998,152
Transport equipment27,45032,94837,938
Miscellaneous products3,8544,4123,785
    Totals380,201431,038464,065

A similar analysis by provincial districts, but limited to the year 1952–53, is now given.

Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtago
Otago PortionSouthland Portion

* To avoid disclosure of details of individual establishments, figures have been included in those for Miscellaneous products.

Products £(000)
Food96,06210,46919,51027,3121,1642,49835119,12910,28413,617
Beverages3,5422241101,25549169761,471688118
Tobacco manufactures**..*............
Textiles4,6281,514..5,107**216,7363,156568
Footwear, other wearing apparel, and made-up textile goods15,5252655028,96025658*6,3372,563214
Wood and cork products (except furniture)14,1699371,1633,7201341,3891,0702,5631,3131,324
Furniture and fittings3,5303151101,765308639990678142
Paper and paper products6,438....1,669......4074961,047
Printing, publishing, etc.5,0194303104,76873164842,2261,287331
Leather and leather products (except footwear and apparel)1,91316*264**..914781286
Rubber products1,99054*1,269**..2,999506
Chemicals and chemical products7,1644141,6527,35262*..1,7542,39573
Petroleum and coal products524**793......145....
Non-metallic mineral products n.e.i.6,7043651501,37555620501,7041,312595
Basic metal manufactures1,236..*523..*..591334*
Metal products (except machinery and transport equipment)7,281321594,058***1,8261,11568
Machinery (except electrical)7,5564975965,05210886*4,608850501
Electrical machinery and appliances2,74459*3,317......1,454556*
Transport equipment11,54483184817,5622477541653,5571,637794
Miscellaneous products2,1613431696,5156410915468117625
    Totals199,73016,76425,279102,6352,2435,9332,01060,09129,67419,706

ADDED VALUE.—As indicated under the heading of “Products,” the value of product: is not always a satisfactory measure of either the absolute or the relative importance of a given industry, for the reason that only part of this value is actually created by the manufacturing processes carried on in the industry itself. In many cases by far the larger portion of the value of products represents the value of the materials used. From a manufacturing standpoint, the best measure of the importance of an industry is the value created by the manufacturing operations carried on within the industry. This value is obtained in New Zealand by deducting the cost of materials used from the gross value of the products, and is referred to as the “added value.”

The tables given herewith show the added value for each industrial group and for all industries for each of the last three years available, with an analysis of the 1952–53 totals according to the provincial districts in which the industries were carried on. All figures shown in these tables are comparable, being based on the new concept.

Industry GroupAdded Value £(000)
1950–511951–521952–53
Food19,92431,36932,455
Beverages2,9383,0893,492
Tobacco manufactures1,4011,6671,921
Textiles6,5186,6786,878
Footwear, other wearing apparel, and made-up textile goods13,28514,75613,669
Wood and cork products (except furniture)9,74212,97513,360
Furniture and fitting'.3,3303,8513,889
Paper and paper products3,2063,7203,780
Printing, publishing, etc.7,6058,5019,050
Leather and leather products (except footwear and apparel)1,5051,5081,412
Rubber products2,8163,4062,761
Chemicals and chemical products5,6436,4566,585
Petroleum and coal products316357373
Non-metallic mineral products n.e.i.6,0827,2337,930
Basic metal manufactures7171,0121,067
Metal products (except machinery and transport equipment)5,1046,3866,603
Machinery (except electrical)6,3797,5468,360
Electrical machinery and appliances2,9263,2533,515
Transport equipment11,83214,35115,955
Miscellaneous products2,0472,2412,065
    Totals113,316140,355145,119

A similar analysis for 1952–53 by provincial districts is given below.

Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtago
Otago PortionSouthland Portion

* To avoid disclosure of details of individual establishments, figures have been included in Miscellaneous products.

Added Value £(000)
Food13,4562,0432,5974,943114465264,3292,1762,305
Beverages1,3981106667022924769633258
Tobacco manufactures**..*............
Textiles1,490130..1,879**121,8421,348159
Footwear, other wearing apparel, and made-up textile goods6,3161191593,3189228322,5171,02465
Wood and cork products (except furniture)6,6544565281,647817105821,266661775
Furniture and fittings1,6741986290616542454632584
Paper and paper products2,570....578......143195294
Printing, publishing, etc.3,0392932143,005'56122651,252774229
Leather and leather products (except footwear and apparel)6809*115**..33721054
Rubber products82831*546**..1,297263
Chemicals and chemical products2,1282315092,21939*..64977624
Petroleum and coal products210**94......51.....
Non-metallic mineral products n.e.i.3,94920176844'35433301,098877386
Basic metal manufactures365..*262..*..253132*
Metal products (except machinery and transport equipment)3,18715881,893***81552743
Machinery (except electrical)3,2602802862,0424647*1,557523278
Electrical machinery and appliances1,08126*1,374......699324*
Transport equipment5,6784374725,610128381831,7161,040410
Miscellaneous products1,1081431032,24331564434711816
    Totals59,0724,7245,16034,1856622,38894521,41011,3885,185

The development of factory production in New Zealand from 1919–20 onward is clearly portrayed in the following diagram, which also shows the relationship between cost of materials, added value, and value of output.

EXPENSES OF OPERATION.—Total operating costs of factory production for the year 1952–53 amounted to £432,795,532, of which salaries and wages accounted for £78,490,492, cost of materials for £318,945,336, and other expenses for £35,359,704, while value of output totalled £464,064,555.

The table below shows the principal items comprised in the figure for expenses of operation, other than salaries and wages and cost of materials, by industry groups for the year 1952–53.

Industry GroupCoalElectricityCoke, Gas, Oils, etc.InsuranceDepreciationRentRepairs and MaintenanceOtherTotal
£(000)
Food1,9265021385152,079922,0972,0369,384
Beverages9436604730482193051,073
Tobacco manufactures9421959626253378
Textiles1588762118560564165462,002
Footwear, other wearing apparel, and made-up textile goods12102351313783023248922,177
Wood and cork products (except furniture)14165174394814678587453,230
Furniture and fittings 29479977276200557
Paper and paper products18940970238292042411,020
Printing, publishing, etc.2582890447812149901,910
Leather and leather products (except footwear and apparel)281423050166973282
Rubber products764524503981475272954
Chemicals and chemical products1388447123495314295621,908
Petroleum and coal products661482332331115
Non-metallic mineral products n.e.i.796157322127490326484303,002
Basic metal manufactures1316481658154394304
Metal products (except machinery and transport equipment)11617995260742134531,246
Machinery (except electrical)66677137293792636541,575
Electrical machinery and appliances350535413141101354786
Transport equipment3129702434722694081,4243,018
Miscellaneous products6237341014862158438
    Totals3,4901,6741,2542,3807,7481,3356,76710,71135,360

CAPITAL INVESTED AND ASSETS.—Information as to the amount of capital invested in manufacturing industries was collected for some years, but the figures obtained were found to be unsatisfactory. The chief factors militating against the collection of reliable information have been the methods of accounting in use in many of the smaller establishments, and the difficulty of apportioning capital where an establishment is only partly manufacturing.

A more satisfactory indication of the capital investment in the manufacturing industry is obtained from figures of manufacturers' fixed assets. Not only are the figures more reliable than those for capital invested, but they do not suffer from the understatement of capital (from the economic viewpoint) which occurs in those cases where the factory premises, or, in some few cases, even the plant, is not owned by the manufacturer, but is rented. In these cases an estimate of the value of the rented asset has been obtained by capitalizing the annual rental shown. Approximations in the figures for fixed assets are also made where one building houses two or more factories carrying on different industries, necessitating an apportionment as between the industries. In most instances, too, fixed assets are stated at their book value, and this may be an overstatement due to insufficient allowance having been made for depreciation, obsolescence, etc., or an understatement owing to appreciated site value, excessive allowance for depreciation, or currency depreciation resulting in the assets being understated in terms of their present earning capacity or replacement cost. It is necessary to bear in mind these limitations to the accuracy of the figures of fixed assets appearing in the following table, which shows the values of these assets for each of the last three years together with an analysis by principal industries for 1952–53. For the year 1952–53 information is also shown by industry groups of the amounts expended during the year by way of capital additions and alterations. All figures shown in this table are based on the new concept and are therefore comparable.

Industry GroupCapital Additions and Alterations During the YearValue at End of Year (Including Estimated Value of Rented Assets)
Land and BuildingsPlant and MachineryTotalsLand and BuildingsPlant and MachineryTotals
    Totals—££££££
  1950–514,751,8167,624,11412,375,93050,573,47537,043,37487,616,849
  1951–525,370,3459,426,89214,797,23756,982,65740,797,23597,779,892
1952–53—      
  Food2,232,1443,649,5395,881,68315,317,91311,900,60127,218,514
  Beverages234,188529,637763,8251,875,2201,949,4,123,824,632
  Tobacco manufactures33,99972,720106,719424,899345,803770,702
  Textiles163,807589,367753,1743,108,0912,703,5455,811,636
  Footwear, other wearing apparel and made-up textile goods245,189352,480597,6696,309,9612,289,4528,599,413
  Wood and cork products (except furniture)524,4261,119,5151,643,9414,557,4515,102,0649,659,515
  Furniture and fittings127,653122,394250,0471,920,354707,1812,627,535
  Paper and paper products137,689214,201351,8901,329,4521,349,5002,678,952
  Printing, publishing, etc.275,273776,5891,051,8623,462,5823,314,9786,777,560
  Leather and leather products (except footwear and apparel)21,64263,70285,344525,587303,967829,554
  Rubber products148,367352,303500,6701,458,5791,723,9723,182,551
  Chemicals and chemical products367,880503,885871,7652,946,1002,297,1605,243,260
  Petroleum and coal products56,36015,00171,361183,612122,169305,781
  Non-metallic mineral products n.e.i.614,0481,314,6141,928,6623,283,9744,006,6727,290,646
  Basic metal manufactures63,54137,507101,048541,692317,884859,576
  Metal products (except machinery and transport equipment)217,294283,041500,3352,505,3621,563,1924,068,554
  Machinery (except electrical)401,800433,525835,3252,944,8491,787,3264,732,175
  Electrical machinery and appliances130,155225,912356,0671,389,557632,0492,021,606
  Transport equipment722,463531,0721,253,5358,025,8062,787,20210,813,008
  Miscellaneous products57,581114,027171,6081,167,809624,5951,792,404
    Totals, 1952–536,775,49911,301,03118,076,53063,278,85045,828,724109,107,574

ORGANIZATION OF INDUSTRY.—New Zealand's industrial progress has been fairly rapid, but industry is as yet organized on a relatively small scale.

The law in New Zealand restricts the membership of a partnership to not more than twenty persons, a private company to not fewer than two or more than twenty-five persons, and a public company to not fewer than seven persons. Co-operation is characteristic of certain industries engaged in the processing of primary products, mainly butter and cheese manufacturing. As a result of a reclassification of industrial statistics to conform with the New Zealand Standard Industrial Classification, gasworks and electricity generation and supply are now excluded from the Municipal and Government section.

Information as to the character of organization of the establishments engaged in factory production during 1952–53 is given in the following table.

Character of OrganizationNumber of EstablishmentsPersons EngagedHorsepower AvailableCost of Materials Used or Operated UponValue of Manufactures or ProductsAdded Value
TotalPer Establishment

* Average of totals.

   H.p.£(000)£(000)£(000)£
Individual1,4176,80819,6625,00210,0865,0833,587
Private firm or partnership8074,16715,2953,3687,0363,6684,545
Public registered company87145,497225,07395,631145,88750,25657,699
Private registered company4,91779,504252,305134,114211,11376,99815,660
Co-operative and miscellaneous3894,78042,84179,18986,0996,91017,763
Municipal and Government1112,42410,1421,6413,8442,20319,847
    Totals8,512143,180565,318318,945464,065145,11917,049*

As would be expected, the average size of establishments operated by public registered companies is larger than in any other type of industrial organization, the added value per unit being over three and a half times as high as that for private registered companies. Private companies, however, occupy a very high place, both numerically and in the share they contribute to the total added value created in New Zealand factories (53.1 per cent in 1952–53, as compared with 34.6 per cent in the case of public companies).

Examination of the statistics of added value over a series of years indicates that private companies have increased appreciably in relative importance, while the individual and partnership types of organization have declined. Very little change has occurred in the percentage of total added value attributable to the operations of public companies, or municipal and general governmental undertakings.

VOLUME OF FACTORY PRODUCTION.—In connection with the preparation of the series of index numbers of volume of production, as given in Section 19 of this Year-Book, a special series covering volume of production of the factory industries has been constructed. Index numbers have been computed from 1929–30 onwards for the factory industries as a whole, and also for each of the four groups into which these industries are divided. The 1948–49 index numbers are based on the sample survey of factory production carried out in that year and to which reference has been made earlier in this Section.

The groups specified in this table are defined briefly as follows:

  • Group I comprises those industries engaged in processing pastoral products for the market, i.e., meat freezing and preserving; ham and bacon curing; butter, cheese, and other milk products manufacture; sausage-casing manufacture; fellmongering and woolscouring; and boiling down and manure manufacture.

  • Group II includes public utility services, gasworks and electricity generation and supply.

  • Group III consists of extractive services, i.e., fish curing; sawmilling; lime crushing and burning and cement manufacture; brick, tile, and pottery making; pumice insulation manufacture; phormium-flax and linen flax milling.

  • Group IV comprises all industries for which statistics are available and which are not included in the other groups.

This grouping and the classification of some of the industries themselves is no longer used, and no index numbers are available subsequent to the 1950–51 year in this particular series.

INDEX NUMBERS OF VOLUME OF FACTORY PRODUCTION Base: 1938–39 (= 100)

Production YearGroup IGroup IIGroup IIIGroup IVAll Groups
TotalPer Person EngagedTotalPer Person EngagedTotalPer Person EngagedTotalPer Person EngagedTotalPer Person Engaged
1929–3075817397959870917492
1930–3178877695779164886990
1931–3282987493498755856090
1932–33921067495468357886394
1933–3493947492548759896592
1934–35961017794648769937495
1935–3698998297799276938196
1936–371031028797888991989298
1937–381011009399949196979797
1938–39100100100100100100100100100100
1939–4011010711010610397111104110103
1940–4112010611911510499114102114103
1941–4212210212412510396116100116102
1942–43124104130137111103120106120107
1943–4411899138145118103126109125108
1944–45127103143145114102130107129108
1945–4612498147139112101134105131105
1946–4712899154141113104146107140106
1947–4812896158147131110159112151110
1948–4913199167151138111163113155112
1949–50136103174155143113174118164117
1950–5113198176149149117185122172118

Volume of Factory Production: New Series.—Reclassification of the statistics of industrial production, in accordance with the New Zealand Standard Industrial Classification, was undertaken commencing with 1951–52, but index numbers have been prepared on the new basis from the year 1949–50 onward.

The table which follows sets out by industry groups, index numbers of value of output and added value for these three years, and volume of output for the latest year. It is not possible to arrive at volume of production index numbers for all the groups, for technical reasons, and consequently some have been omitted, but the total index number for the year is calculated in such a way as to include the groups which cannot be assessed separately.

INDEX NUMBERS OF VALUE AND VOLUME OF FACTORY PRODUCTION Base: 1949–50 (= 1000)

Industry GroupValue of OutputValue Added in ManufactureVolume of Production
1950–511951–521952–531950–511951–521952–531950–51*1951–521952–53

* Index not available for the groups, but allowed for in compiling total index.

Food11671278144685813511398..10281035
Beverages114112281390117012301390..11061145
Tobacco manufactures10401161127099711871368..11141127
Textiles160612101239120212311268..1041994
Footwear, other wearing apparel, and made-up textile goods120413911298119613291231..11251011
Wood and cork products (except furniture)113613971480116815561602..11841182
Furniture and fittings114112881272113113081321..**
Paper and paper products129617021796128014861509..12841301
Printing, publishing, etc.117813781522118413241410..10611124
Leather and leather products (except footwear and apparel)132313601212121812201142..1027967
Rubber products168327322099163319751601..18031326
Chemicals and chemical products112614801446117513441371..11691149
Petroleum and coal products10851324149893510571104..**
Non-metallic mineral products n.e.i.111813531525109413011426..10481117
Basic metal manufactures118919731887113316011687..**
Metal products (except machinery and transport equipment)116114751600119014891540..**
Machinery (except electrical)127816781899120114201573..**
Electrical machinery and appliances107513041399110212251324..11221128
Transport equipment116513981610115013951551..**
Miscellaneous products125914421237125513751266..**
    Totals119813581462110713721418104611191116

OVERTIME.—Details of overtime worked in factories by wage-earning employees are summarized in the tables given, which show, by industry groups, the hours worked during the latest three years. The averages given are calculated on the basis of the total number of wage-earners engaged irrespective of the number who actually worked overtime.

Industry GroupTotal Overtime Hours Worked by Wage-earners (Both Male and Female)
1950–511951–521952–53
Food4,290,6164,499,9094,423,005
Beverages450,795454,878477,221
Tobacco manufactures186,390194,608186,637
Textiles758,320704,968621,772
Footwear, other wearing apparel, and made-up textile goods888,148797,343503,739
Wood and cork products (except furniture)1,204,0451,511,2401,226,617
Furniture and fittings355,745336,641275,997
Paper and paper products452,473409,980346,365
Printing, publishing, etc.608,174565,225522,026
Leather and leather products (except footwear and apparel)204,527175,604141,286
Rubber products322,666316,384188,186
Chemicals and chemical products832,180854,496744,763
Petroleum and coal products34,39622,60333,427
Non-metallic mineral products n.e.i.1,024,5951,192,2391,114,265
Basic metal manufactures92,454100,228112,915
Metal products (except machinery and transport equipment)1,105,571978,766962,558
Machinery (except electrical)1,058,6251,174,8821,260,611
Electrical machinery and appliances398,568345,102342,537
Transport equipment1,564,1681,682,2191,890,815
Miscellaneous products172,682195,238114,963
    Totals16,005,13816,512,55315,489,705

The next table shows, by industry groups, the hours of overtime worked during 1952–53 by males and females separately.

Industry GroupTotal Overtime Hours Worked by Wage-earnersAverage Overtime Hours Worked by Wage-earners
MalesFemalesMalesFemales
Food4,198,093224,912221.2073.72
Beverages477,094127265.9410.58
Tobacco manufactures112,38474,253294.2091.67
Textiles509,501112,271138.9832.69
Footwear, other wearing apparel, and made-up textile goods267,734236,00554.0314.15
Wood and cork products (except furniture)1,220,5226,095119.6057.50
Furniture and fittings270,0985,89971.6818.49
Paper and paper products303,15443,211204.8344.32
Printing, publishing, etc.452,03569,99183.1754.98
Leather and leather products (except footwear and apparel)129,42811,858131.1333.69
Rubber products186,3221,864127.366.73
Chemicals and chemical products719,32725,436254.1830.17
Petroleum and coal products33,427 172.30 
Non-metallic mineral products n.e.i.1,091,10223,163225.81138.70
Basic metal manufactures112,815100174.917.69
Metal products (except machinery and transport equipment)926,99835,560199.4460.79
Machinery (except electrical)1,256,0914,520184.1094.17
Electrical machinery and appliances312,07430,463112.5447.90
Transport equipment1,876,90713,908136.64133.73
Miscellaneous products91,92223,04166.8030.16
    Totals14,547,028942,677159.9130.96

SUMMARY OF OPERATIONS.—The following table contains an analysis of production costs in 1952–53, together with the value of products for each industry group and for all industries. In addition, by virtue of the complete details collected annually of the cost structure of goods produced in manufacturing industries, it is possible to give information on the surplus available to manufacturers prior to payment of dividends, taxation, and other appropriations. The only exception occurs in the case of co-operative dairy companies, which do not purchase milk and cream in the way that other manufacturers purchase raw materials. They collect the milk and cream from their shareholders, process it, and pay out to these shareholders the whole of the profits of the sales of the products, less amounts paid to reserves. Manufacturing surplus shown by these companies is therefore confined to the amount of these transfers to reserves and any undistributed profits.

In quite ft number of cases, articles produced are transferred at cost to separate selling departments and warehouses, or to retail stores run by the same company or establishment. Where this is apparent, the company concerned is asked to substitute a commercial value for its production. The same procedure holds where a company controls more than one factory, and transfers the products of one to the other for further processing. It must be recognized that estimated values have to be accepted in many transactions of this type.

Industry GroupProduction CostsValue of ProductsManufacturing Surplus
Salaries and WagesCost of All Materials UsedOther Expenses of OperationTotal
£(000)
Food16,323167,9429,384193,649200,3966,747
Beverages1,3744,2101,0736,6577,7021,044
Tobacco manufactures5934,1993785,1696,120951
Textiles3,78314,8812,00220,66621,7591,092
Footwear, other wearing apparel, and made-up textile goods9,74821,1012,17733,02534,7701,745
Wood and cork products (except furniture)7,15614,4243,23024,80927,7832,974
Furniture and fittings2,5753,7975576,9297,686757
Paper and paper products1,4666,2781,0208,76410,0571,294
Printing, publishing, etc.4,7875,6411,91012,33814,6912,353
Leather and leather products (except footwear and apparel)8592,7742823,9154,186270
Rubber products1,3213,6749545,9496,435486
Chemicals and chemical products2,61414,3171,90818,83920,9022,063
Petroleum and coal products1551,1331151,4031,506102
Non-metallic mineral products n.e.i.3,5125,0003,00211,51412,9301,416
Basic metal manufactures5201,6943042,5182,761243
Metal products (except machinery and transport equipment)3,7617,9851,24612,99214,5881,596
Machinery (except electrical)4,88711,5551,57518,01719,9161,899
Electrical machinery and appliances2,1304,6377867,5548,152599
Transport equipment9,73321,9833,01834,73437,9383,204
Miscellaneous products1,1941,7204383,3523,785433
    Totals78,490318,94535,360432,796464,06531,269

DETAILS OF CERTAIN PRINCIPAL INDUSTRIES.—The principal statistics regarding leading factory industries for the last three years available are set out in the following pages. Fuller details are given in the annual Statistical Report on Industrial Production.

1950–511951–521952–53

* Not available.

* Does not include butterfat in cream separated and sold.

* No comparable figures, apart from those given, are available for the year 1950–51 owing to a reclassification of the industry.

† Details withheld to avoid disclosing figures for individual companies.

* No comparable figures, apart from those given, are available for the year 1950–51 owing to a reclassification of the industry.

* Includes production by establishments classified in other industries.

† In addition, in 1951–52 a further 78,907 gallons and, in 1952–53, 66,905 gallons were recorded by establishments classified in other industries.

* No comparable figures, apart from those given, are available for the year 1950–51 owing to a reclassification of the industry.

* Not available.

† In the year 1950–51 details of the operations of small operators were not collected. Estimated cut by these sawmillers was: 1950–51, 6,000,000 ft. b.m.

* Not available.

† Revised figures.

* Not available.

† Revised figures.

* Products shown for this industry include the production of establishments classified in other industries.

* No comparable figures, apart from those given, are available for the year 1950–51 owing to a reclassification of the industry.

† Not available.

* Products shown for these industries include the production of establishments classified in other industries.

† Not available.

* Not available.

Meat Freezing and Preserving
Number of establishments 484852
Persons engagedNo.11,77112,74513,084
Production costs—    
  Salaries, wages£7,498,3468,796,4409,121,320
  Materials£61,918,55853,333,95464,480,463
  Other expenses£2,918,2833,428,5393,517,322
    Totals£72,335,18765,558,93377,119,105
Value of output£68,412,47970,148,23980,407,949
Value added in manufacture£6,493,92116,814,28515,927,486
Overtime worked by wage-earnersHrs.2,591,3802,869,6062,821,371
Principal products—    
  Meat—    
   Lamb carcasesNo.11,272,90711,960,71411,960,271
 Cwt.3,565,2023,725,9693,601,319
   Mutton carcasesNo.2,268,2303,448,1623,137,273
 Cwt.1,124,0101,716,9881,562,340
   Boned muttonCwt.85,401129,144119,714
   Mutton and lamb piecesCwt.37,01040,96728,765
   Beef quarters, shipped bone inCwt.695,054979,697975,515
   Beef quarters, without boneCwt.13,046224,00026,895
   Boneless beefCwt.572,393630,407458,845
   Bobby vealCwt.189,472194,411180,802
   Other vealCwt.33,11323,04829,625
   PorkCwt.434,791410,935448,356
   Edible offalsCwt.355,558404,608408,690
   RabbitsNo.2,616,1251,536,2221,078,973
  By-products—    
   Runners£3,956,7533,457,6232,185,728
   Woolly sheepskinsNo.189,717169,374184,787
   PeltsNo.14,902,34417,036,23616,640,309
   Rabbit skinsNo.*1,631,645355,417
   Cow hidesNo.297,921329,801248,740
   Ox and bull hidesNo.103,785140,908151,459
   Bobby calf hidesNo.1,236,5121,276,3931,194,129
   Other calf hidesNo.20,88515,84417,140
   Woollb.46,318,80752,570,93950,608,010
  Boiling-down products—    
   TallowCwt.673,942830,995771,907
   Neatsfoot oilGallons86,80494,78186,704
   ManuresCwt.621,970648,010586,066
   LivermealCwt.21,21122,67922,102
   MeatmealCwt.231,710251,945256,516
  Canned and other preserved meats, pastes, extracts, and miscellaneous canningsCwt.187,467277,393361,801
Ham and Bacon Curing
Number of establishments 424342
Persons engagedNo.755770807
Production costs—    
  Salaries, wages£404,559457,035497,735
  Materials£3,345,7513,491,4643,962,013
  Other expenses£186,703208,021230,828
    Totals£3,937,0134,156,5204,690,576
Value of output£4,136,2614,386,1495,069,357
Value added in manufacture£790,510894,6851,107,344
Overtime worked by wage-earnersHrs.81,70394,66896,280
Pigs dealt with—    
  CarcasesNo.400,158384,706368,536
  Cost£2,918,8872,975,9683,381,182
Principal products—    
  Ham and baconCwt.288,538271,052270,441
  Frozen porkCwt.81,75367,04352,605
  Small goodsCwt.119,270119,492130,039
  Lard (edible)Cwt.13,72212,93211,321
  Other fatsCwt.6,0266,8137,424
Butter, Cheese, and Other Milk Products
Number of establishments 376367365
Persons engagedNo.4,4854,5184,652
Production costs—    
  Salaries, wages£2,545,0082,794,3473,147,182
  Materials£61,193,62671,231,40180,368,644
  Other expenses£2,763,8102,967,7113,466,238
    Totals£66,502,44476,993,45986,982,064
Value of output£66,848,19877,544,03587,521,479
Value added in manufacture£5,654,5726,312,6347,152,835
Overtime worked by wage-earnersHrs.731,561570,271546,185
Number of suppliers 53,49252,09451,137
Butterfat used—    
  For creamery butterlb.(000)328,407346,873362,337
  For cheesemakinglb.(000)96,69484,69995,524
  For whey butter making—    
   Recoveries from own wheylb.(000)3,3452,9303,497
   Whey fat purchasedlb.(000)2,2042,0692,359
   Second grade creamery butterfatlb.(000)197143163
      Total whey butterlb.(000)5,7465,1426,020
  For other manufacturing or for separation for cream saleslb.(000)6,658*14,00415,753
Principal products—    
  Creamery butterTons178,728188,768196,751
  Whey butterTons3,1332,7913,276
  CheeseTons108,52595,479107,448
  Condensed and powdered whole milkTons20,71122,86728,262
  Skim milk powderTons26,45531,77538,625
  Buttermilk powderTons7,0206,7995,473
  CaseinTons6,6169,7187,510
Ice-cream
Number of establishments 595049
Persons engagedNo.418385418
Production costs—    
  Salaries, wages£180,702178,443206,247
  Materials£523,262528,150592,244
  Other expenses£190,578184,714220,570
    Totals£894,542891,3071,019,061
Value of output£1,076,9171,081,7241,283,556
Value added in manufacture£553,655553,574691,312
Overtime worked by wage-earnersHrs.25,70220,96631,803
Main materials used—    
  MilkGallons640,933510,758446,196
  CreamGallons69,11141,90128,694
  Ice-cream mixtureCwt.49,66134,12553,619
  Butterlb.554,625866,645835,899
  Skim-milk powderlb.853,938947,639892,921
  SugarCwt.19,02218,52019,881
Products—    
  Bulk ice-creamGallons3,248,5551,877,4432,005,676
  Ice-cream, cartoned, wrapped, chocolate-coated, etc.Gallons1,200,0201,258,271
Grain Milling*
Number of establishments ..4747
Persons engagedNo...812840
Production costs—    
  Salaries, wages£..427,819462,444
  Materials£..2,816,9323,340,714
  Other expenses£..273,393316,220
    Totals£..3,518,1444,119,378
Value of output£..3,765,6354,374,537
Value added in manufacture£..948,7031,033,823
Overtime worked by wage-earnersHrs...92,179107,724
Main materials used—    
  WheatBushels..7,255,2277,731,703
  OatsBushels..607,837520,200
Principal products—    
  FlourShort tons164,153159,703173,972
  Wholemeal, wheatmealShort tons8,5748,7797,927
  Bran and pollardShort tons44,89645,93849,397
  Oatmeal, rolled oats, etc., for human consumptionShort tons7,5456,7747,087
  Breakfast foods in flake or biscuit formShort tons
Biscuits*
Number of establishments ..1312
Persons engagedNo...8821,063
Production costs—    
  Salaries, wages£..397,850481,842
  Materials£..1,163,4281,391,145
  Other expenses£..239,017293,697
    Totals£..1,800,2952,166,684
Value of output£..2,018,2732,458,937
Value added in manufacture£..854,3451,067,792
Overtime worked by wage-earnersHrs...127,255151,486
  Main materials used—    
  FlourShort tons..10,20211,310
  SugarTons..2,8303,535
  ChocolateCwt...10,6995,870
  Margarine, lard, confectionery fatCwt...42,97050,013
Biscuits manufacturedTons14,47314,27915,721
Cocoa, Chocolate, and Sugar Confectionery*
Number of establishments ..6355
Persons engagedNo...1,8071,783
Production costs—    
  Salaries, wages£..753,006789,742
  Materials£..2,810,6912,856,016
  Other expenses£..354,470402,417
    Totals£..3,918,1674,048,175
Value of output£..4,127,8264,330,916
Value added in manufacture£..1,317,1351,474,900
Overtime worked by wage-earnersHrs...144,416134,608
Main materials used—    
  SugarTons..9,4988,991
  Cocoa beansCwt...42,28145,189
  Cocoa butterCwt...13,30110,187
  GlucoseCwt...59,94763,310
Confectionery manufactured—    
  Chocolate and chocolate-coatedTons9,5788,2337,408
  SugarTons7,6938,6758,962
Fruit and Vegetable Preserving
Number of establishments 384034
Persons engagedNo.1,0931,2721,200
Production costs—    
  Salaries, wages£413,842553,589573,141
  Materials£1,457,6632,082,3272,268,354
  Other expenses£208,194264,428318,832
    Totals£2,079,6992,900,3443,160,327
Value of output£2,335,3573,335,5313,538,067
Value added in manufacture£877,6941,253,2041,269,713
Overtime worked by wage-earnersHrs.230,109308,397270,271
Main materials used—    
  FruitTons7,2278,3467,279
  Vegetables and tomatoesTons11,38516,33413,299
  SugarTons3,6403,3583,107
Principal products—    
  Canned fruitCwt.56,00452,52854,884
  Canned beans in sauceCwt.35,60342,41139,968
  Canned peasCwt.103,613116,073137,839
Other canned vegetables (not tomatoes)Cwt.6,78732,80928,456
Tomato soupGallons464,754455,147344,414
Pickles and saucesGallons441,746492,804*441,745*
Jams, jellies, and conservesCwt.71,13970,76870,669
Canned spaghetti in sauceCwt.43,70342,78836,471
Breweries
Number of establishments 353533
Persons engagedNo.1,3181,3701,386
Production costs—    
  Salaries, wages£703,845791,369869,881
  Materials£2,249,6902,556,7592,973,210
  Other expenses£583,786675,589778,232
    Totals£3,537,3214,023,7174,621,323
Value of output£4,226,9404,665,3605,352,763
Value added in manufacture£1,977,2502,109,6012,379,553
Overtime worked by wage-earnersHrs.342,234344,669379,454
Main materials used—    
  MaltBushels1,153,1151,175,1191,182,193
  HopsCwt.6,6556,6466,933
  SugarCwt.50,53552,07561,512
Beer produced for saleGallons35,395,07537,011,62138,883,778
Stout produced for saleGallons661,135525,108471,829
Aerated Waters and Cordials
Number of establishments 878989
Persons engagedNo.543549564
Production costs—    
  Salaries, wages£250,143265,845301,542
  Materials£478,367514,350502,026
  Other expenses£150,061154,972146,637
    Totals£878,571935,167950,205
Value of output£1,097,6721,103,0601,175,570
Value added in manufacture£619,305588,710673,544
Overtime worked by wage-earnersHrs.29,47228,54424,521
Main materials used—    
  SugarTons2,9653,0203,351
  Essential oils and essenceslb.82,96972,47887,654
  Fruit extracts and juicesGallons85,17669,79277,656
Aerated waters madeGallons4,504,5294,612,0244,689,918
Cordials madeGallons345,502366,968328,174
Tobacco, Cigars, and Cigarettes
Number of establishments 888
Persons engagedNo.1,2541,3481,323
Production costs—    
  Salaries, wages£463,898529,800592,888
  Materials£3,609,3643,928,2894,198,980
  Other expenses£285,554338,328377,595
    Totals£4,358,8164,796,4175,169,463
Value of output£5,009,9895,595,2836,120,277
Value added in manufacture£1,400,6251,666,9941,921,297
Overtime worked by wage-earnersHrs.186,390194,608186,637
Tobacco leaf used in manufacturelb.9,680,61110,256,55010,268,349
Cigarettes madeMillion1,7221,8861,925
Tobacco madelb.5,158,1745,303,9455,290,404
Woollen Milling*
Number of establishments ..1919
Persons engagedNo...2,2902,490
Production costs—    
  Salaries, wages£..1,168,7381,247,034
  Materials£..2,649,2802,104,517
  Other expenses£..596,493640,668
    Totals£..4,414,5113,992,219
Value of output£..4,657,8424,229,659
Value added in manufacture£..2,008,5622,125,142
Overtime worked by wage-earnersHrs...224,667202,026
Main materials used—    
  Wool fibres—    
   Greasy and slipe woollb.9,374,4748,403,1668,429,885
   Scoured woollb.527,048237,746227,259
   Tops, noilslb.570,478505,445404,442
   Woollen and worsted yarnlb.29,403106,68786,533
  Non-wool fibres—    
   Artificial and syntheticlb.45,14055,81624,758
   Otherlb.  15,065
Principal products—    
  Woollen clothYd. 54 in.1,619,2931,469,0391,358,534
  Worsted clothYd. 54 in.637,494568,638596,981
  FlannelYd. 54 in.320,192382,155319,837
  BlanketsNo.139,444144,195142,437
  RugsNo.35,02134,62825,508
  Yarn produced for sale or transfer-    
   Fingeringlb.262,849508,063351,803
   Machine knittinglb. 1,597,6051,734,372
Hosiery and Other Knitting Mills*
Number of establishments ..9195
Persons engagedNo...3,5013,471
Production costs—    
  Salaries, wages£..1,510,8001,506,593
  Materials£..3,544,3533,120,374
  Other expenses£..658,475679,460
    Totals£..5,713,6285,306,427
Value of output£..6,090,3075,732,472
Value added in manufacture£..2,545,9542,612,098
Overtime worked by wage-earnersHrs...159,087169,490
Clothing
Number of establishments 837871844
Persons engagedNo.18,83219,36017,637
Production costs—    
  Salaries, wages£6,291,1907,142,2096,713,166
  Materials£13,962,19016,516,83915,570,015
  Other expenses£1,398,2671,453,0851,470,510
    Totals£21,651,64725,112,13323,753,691
Value of output£23,232,73226,702,69924,791,006
Value added in manufacture£9,270,54210,185,8609,220,991
Overtime worked by wage-earnersHrs.539,517455,216270,539
Footwear
Number of establishments 133142140
Persons engagedNo.5,0745,1524,973
Production costs—    
  Salaries, wages£2,070,9442,407,8112,390,598
  Materials£3,413,0333,870,0213,623,196
  Other expenses£499,547499,936548,958
    Totals£5,983,5246,777,7686,562,752
Value of output£6,374,7627,290,6617,008,283
Value added in manufacture£2,961,7293,420,6403,385,087
Overtime worked by wage-earnersHrs.296,042299,939200,022
Main materials used—    
  Upper leatherSq. ft.10,301,09610,703,6668,900,376
  Sole leatherlb.5,955,7705,489,7914,820,143
  FeltSq. yd.306,596253,622202,138
Principal products—    
  Men's and boys' boots and shoesPairs1,004,9351,113,8241,131,874
  Women's and girls' shoesPairs1,678,6631,795,3941,522,589
  Sandals (all kinds)Pairs578,222705,064695,318
  Slippers, leather and felt, etc.Pairs1,894,4361,569,9321,520,563
Sawmills
Number of establishments 493561587
Persons engagedNo.4,6405,6166,007
Production costs—    
  Salaries, wages£2,552,2723,286,3623,645,728
  Materials£5,388,3595,496,1175,805,647
  Other expenses£1,323,9621,968,5842,042,783
    Totals£9,264,59310,751,06311,494,158
Value of output£10,532,64612,443,59712,882,730
Value added in manufacture£5,144,2876,947,4807,077,083
Overtime worked by wage-earnersHrs.*798,344538,203
Rough sawn timber producedThousand ft. b.m.521,599575,222575,114
Planing Mills
Number of establishments 138157148
Persons engagedNo.1,9062,2501,850
Production costs—    
  Salaries, wages£946,5781,223,9081,052,040
  Materials£3,015,7493,887,8373,946,628
  Other expenses£363,491421,914427,226
    Totals£4,325,8185,533,6595,425,894
Value of output£4,749,0746,262,2755,980,491
Value added in manufacture£1,733,3252,374,4382,033,863
Overtime worked by wage-earnersHrs.217,804266,835217,452
Rough sawn timber used in manufactureThousand ft. b.m.*127,712111,660
Dressed timber produced—    
  FloorboardsThousand ft. b.m.*30,71228,627
  WeatherboardsThousand ft. b.m.*28,62724,171
  OtherThousand ft. b.m.*48,63342,711
Joinery work done£*1,242,7811,096,918
Joinery
Number of establishments 212285289
Persons engagedNo.1,9732,4762,858
Production costs—    
  Salaries, wages£953,8841,308,2831,619,233
  Materials£1,660,9762,120,2202,831,046
  Other expenses£272,115277,031392,710
    Totals£2,886,9753,705,5344,842,989
Value of output£3,268,8284,265,5685,527,134
Value added in manufacture£1,607,8522,145,3482,696,088
Overtime worked by wage-earnersHrs.162,308234,435302,875
Timber used in manufactureThousand ft. b.m.*38,68150,829
Dressed timber produced—    
  FloorboardsThousand ft. b.m.*8562,496
  WeatherboardsThousand ft. b.m.*7491,579
  OtherThousand ft. b.m.*1,0453,572
Joinery and other woodwork£*4,133,8235,184,988
Furniture
Number of establishments 493547536
Persons engagedNo.4,4024,5134,277
Production costs—    
  Salaries, wages£1,918,3352,212,2192,201,287
  Materials£2,321,6682,551,5012,470,312
  Other expenses£413,188401,246443,398
    Totals£4,653,1915,164,9665,114,997
Value of output£5,044,7985,681,8385,611,043
Value added in manufacture£2,723,1303,130,3373,140,731
Overtime worked by wage-earnersHrs.299,053297,115233,152
Pulp, Paper, and Paperboard
Number of establishments 333
Persons engagedNo.656660692
Production costs—    
  Salaries, wages£404,020448,883460,412
  Materials£981,2271,420,2251,555,806
  Other expenses£434,622481,752525,540
    Totals£1,819,8692,350,8602,541,758
Value of output£2,335,5263,012,9113,186,433
Value added in manufacture£1,354,2991,592,6861,630,627
Overtime worked by wage-earnersHrs.205,008188,011172,543
Principal products—    
  PaperTons7,541**
  Container boardTons17,32016,58416,416
  Fibre building boardSq. ft. (thousand)47,76654,43055,164
Cardboard Boxes, Cartons, and Paper Bags
Number of establishments 424344
Persons engagedNo.1,2841,3461,253
Production costs—    
  Salaries, wages£530,829589,890601,083
  Materials£1,955,9052,985,9303,089,072
  Other expenses£229,927251,709298,205
    Totals£2,716,6613,827,5293,988,360
Value of output£3,091,4094,298,5624,415,721
Value added in manufacture£1,135,5041,312,6321,326,649
Overtime worked by wage-earnersHrs.169,004156,127102,277
Paper used in manufactureTons7,0896,4636,741
Cardboard used in manufactureTons17,86620,91320,729
Cardboard boxes, cartons, made£2,345,1232,987,3662,987,268
Paper bags, made£621,3971,103,1581,238,735
Printing and Publishing
Number of establishments 95100100
Persons engagedNo.3,9864,1364,219
Production costs—    
  Salaries, wages£2,045,5512,329,1262,542,135
  Materials£1,783,2942,380,5422,877,957
  Other expenses£1,024,5561,027,8981,141,227
    Totals£4,853,4015,737,5666,561,319
Value of output£6,074,5867,132,8638,032,231
Value added in manufacture£4,291,2924,752,3215,154,274
Overtime worked by wage-earnersHrs.193,610180,447191,772
Newsprint usedTons27,70129,51832,061
Other paper usedTons2,7122,7312,473
Job and General Printing
Number of establishments 249262258
Persons engagedNo.4,0313,9883,919
Production costs—    
  Salaries, wages£1,825,7821,982,3662,044,235
  Materials£1,919,1212,332,7132,686,222
  Other expenses£667,882645,755728,441
    Totals£4,412,7854,960,8345,458,898
Value of output£4,980,2455,798,4306,267,278
Value added in manufacture£3,061,1243,465,7173,581,056
Overtime worked by wage-earnersHrs.385,404358,300307,533
Newsprint usedTons1,0901,1931,048
Other paper usedTons10,43410,0959,706
Cardboard usedTons1,4441,6182,776
Tanning
Number of establishments 181615
Persons engagedNo.841819753
Production costs—    
  Salaries, wages£461,148502,794476,946
  Materials£1,817,9031,856,1641,800,015
  Other expenses£183,286203,636200,068
    Totals£2,462,3372,562,594477,029
Value of output£2,614,4172,707,3932,590,719
Value added in manufacture£796,514851,229790,704
Overtime worked by wage-earnersHrs.142,544132,587102,505
Main materials used—    
  Cattle hidesNo.401,790402,486361,061
  Yearling and calf hidesNo.361,255310,717244,133
  PeltsNo.926,551791,880920,268
  Sheep-skinsNo.98,89538,48835,359
Principal products—    
  Leather—    
   Hides—Bendslb.3,062,5903,219,2462,860,196
   Shoulderslb.1,500,3481,782,4001,564,211
   Bellieslb.1,643,1351,834,3061,519,636
   Chrome and other sidesSq. ft.8,559,2998,663,1398,384,438
   YearlingSq. ft.757,119677,470583,362
   CalfSq. ft.1,415,0941,176,817996,615
   Sheep—BasilsSq. ft.351,212394,331224,596
   RoansSq. ft.2,843,0752,611,4142,205,583
   ChamoisDoz.7,2687,7264,505
   Woolly skinsSq. ft.559,711308,651272,979
Pickled peltsNo.311,777220,748541,188
Rubberware
Number of establishments 252627
Persons engagedNo.1,8972,0681,637
Production costs—    
  Salaries, wages£999,3641,263,9821,060,576
  Materials£1,949,6154,335,9062,937,280
  Other expenses£930,511946,513812,600
    Totals£3,879,4906,546,4014,810,456
Value of output£4,318,0567,173,0735,086,371
Value added in manufacture£2,368,4412,837,1672,149,091
Overtime worked by wage-earnersHrs.297,120288,153141,511
Crude rubber usedlb.(000)10,57213,3198,096
Principal products—    
  Motor tiresNo.387,806503,602282,355
  Motor tubesNo.323,546388,386237,228
  Camelbacklb.2,316,7832,500,5411,939,613
  Milking rubberware£672,138984,821877,069
  Bicycle tires and tubes
  Battery containers
  Rubber and canvas footwear
Chemical Fertilizers
Number of establishments 888
Persons engagedNo.1,0261,0881,124
Production costs—    
  Salaries, wages£603,574729,471752,395
  Materials£3,993,8325,972,3865,826,875
  Other expenses£549,986672,032695,541
    Totals£5,147,3927,373,8897,274,811
Value of output£5,736,5698,021,9157,859,295
Value added in manufacture£1,742,7372,049,5292,032,420
Overtime worked by wage-earnersHrs.390,873393,014377,465
Main materials used—    
  Rock phosphateTons392,939421,840439,123
  Serpentine rockTons51,13792,072112,711
  SulphurTons77,16563,91869,214
  Carbonate of limeTons4,31328,98517,255
  Nitrate of sodaTons2,9902,6802,664
  PotashTons2,7002,8696,021
Principal products—    
  Serpentine superphosphate and mixturesTons150,630146,205207,238
  Basic and reverted superphosphate and mixturesTons30,11641,48228,700
  Other superphosphate and mixtures containing superphosphateTons523,10745,521107,987
  Super compoundTons518,991447,054
Soap and Candle Manufacture
Number of establishments 222220
Persons engagedNo.582577520
Production costs—    
  Salaries, wages£251,878309,927301,208
  Materials£1,038,0531,103,0391,161,058
  Other expenses£141,734156,776194,491
    Totals£1,431,6651,569,7421,656,757
Value of output£1,639,1641,729,6851,897,157
Value added in manufacture£601,111626,646736,099
Overtime worked by wage-earnersHrs.102,266103,04668,160
Main materials used—    
  TallowTons10,82810,1279,305
  Other oilsTons984793920
  Caustic sodaTons1,7361,7601,676
  Soda ashTons2,4072,4892,639
Principal products—    
Soap—    
  ToiletTons2,6582,7112,230
  BarTons7,4426,7635,866
  Powder and flakesTons8,6809,0259,516
CandlesTons395400286
SandsoapTons805935860
Paint and Varnish
Number of establishments 202324
Persons engagedNo.637681661
Production costs—    
  Salaries, wages£347,012372,696387,984
  Materials£2,251,7673,039,0582,917,339
  Other expenses£189,678200,206241,932
    Totals£2,788,4573,611,9603,547,255
Value of output£3,250,2993,959,9583,778,989
Value added in manufacture£998,532920,900861,650
Overtime worked by wage-earnersHrs.153,283153,013115,633
Main materials used—    
  White leadCwt.56,96356,15439,600
  Other pigmentsCwt.95,596122,519125,563
  Linseed oilGallons682,184632548,001
  SolventsGallons912,4841,063,1101,058,139
  Gums and resinsCwt.18,81225,25926,256
Principal products—    
  Ready mixed paintsGal(000)1,2081,2031,093
  Varnishes (for sale)Gal(000)179174151
  Enamels, lacquersGal(000)688807800
Pharmaceuticals, Toilet Goods, and Cosmetics*
Number of establishments 484745
Persons engagedNo.767745727
Production costs—    
  Salaries, wages£285,713305,497316,461
  Materials£1,106,1721,197,2051,353,191
  Other expenses£127,909121,322150,283
    Totals£1,519,7941,624,0241,819,935
Value of output£1,770,5591,946,5812,125,867
Value added in manufacture£664,387749,376772,676
Overtime worked by wage-earnersHrs.18,19416,03711,345
Principal products—    
  Pharmaceutical products£808,846993,0291,123,861
  Toilet preparation and cosmetics—    
   Dentifrices£180,535173,032186,498
   Cosmetic creams and lotions£129,193128,531123,708
   Hair dressings£171,226217,732237,956
   Powder, face and talcum£117,134131,500118,711
   Lipstick£42,17552,84245,339
Structural Clay Products*
Number of establishments  4748
Persons engagedNo. 9681,000
Production costs—    
  Salaries, wages£ 562,147611,456
  Materials£ 94,013108,200
  Other expenses£ 500,635574,414
    Totals£ 1,156,7951,294,070
Value of output£ 1,323,2051,493,004
Value added in manufacture£ 1,229,1921,384,804
Overtime worked by wage-earnerHrs. 218,082198,554
Clay used—    
  PurchasedTons 16,88215,512
  From own quarryTons 167,104254,220
Principal products—    
  FirebricksNo.3,010,8502,326,3962,959,296
  Building bricksNo.38,110,60637,170,20940,550,599
  Roofing tilesNo.3,498,9612,620,6982,798,577
  Salt-glazed pipes—    
   Above 6 in.No.79,10020,34644,846
   6 in. and belowNo.1,844,3301,826,3971,871,998
Pottery, China, and Earthenware*
Number of establishments  87
Persons engagedNo. 540424
Production costs—    
  Salaries, wages£ 253,940219,917
  Materials£ 97,90877,112
  Other expenses£ 151,427131,312
    Totals£ 503,275428,341
Value of output£ 575,872429,302
Value added in manufacture£ 477,964352,190
Overtime worked by wage-earnersHrs. 97,87185,676
Principal products—    
  Insulators and refractory insulator elements£135,311163,272145,541
  Crockery, artware, and novelties, stoneware£204,469316,304170,767
  Other earthenware including sanitary-ware£72,03096,29694,078
Cement*
Number of establishments ..33
Persons engagedNo...386378
Production costs—    
  Salaries, wages£..243,998292,590
  Materials£..509,161665,664
  Other expenses£..629,826800,103
    Totals£..1,382,9851,758,357
Value of output£..1,584,3182,027,139
Value added in manufacture£..1,075,1571,361,475
Overtime worked by wage-earnersHrs...165,346172,909
Principal products—    
  LimestoneTons178,586208,120
  Clay, marl, cement rockTons203,460226,382
  GypsumTons7,8578,916
Cement madeTons204,385238,601274,625
Concrete Products
Number of establishments 223247245
Persons engagedNo.1,5271,6441,679
Production costs—    
  Salaries, wages£734,882918,6201,000,805
  Materials£1,086,4711,370,9511,639,974
  Other expenses£262,993288,886344,352
    Totals£2,084,3462,578,4572,985,131
Value of output£2,337,2393,007,4093,465,965
Value added in manufacture£1,250,7681,636,4581,825,991
Overtime worked by wage-earnersHrs.162,000188,910196,340
Materials used—    
  Portland cementTons*48,77153,114
  Sand, shingleYd.*156,610192,815
  ReinforcingTons*4,6126,782
  PumiceYd.*31,71431,484
Principal products—    
  Roofing tilesNo.14,874,52414,892,11516,362,652
  Fencing postsNo.*1,105,0141,358,708
  Housing bricks and blocksNo.*2,100,8862,482,256
  ChimneysNo.*15,153*
  Coppers, boilersNo.*14,84216,191
  PipesTons*56,10755,723
Plywood and Veneer
Number of establishments 777
Persons engagedNo.423487483
Production costs—    
  Salaries, wages£235,005272,993264,461
  Materials£308,057360,291346,140
  Other expenses£181,270150,369154,582
    Totals£724,332783,653765,183
Value of output£799,449897,797875,781
Value added in manufacture£491,392537,506529,641
Overtime worked by wage-earnersHrs.39,55489,38373,238
Species of logs used—    
  RimuFt. (H. Dahl)9,493,1628,486,2227,946,027
  MataiFt. (H. Dahl)1,230,2341,486,4271,374,582
  KahikateaFt. (H. Dahl)1,014,4921,687,8871,199,630
  Radiata pineFt. (H. Dahl)537,0021,266,3591,695,992
  OtherFt. (H. Dahl)375,012482,553520,420
Plywood made (3/16 in. basis)Sq. ft.31,105,02932,852,93130,814,657
Range Making*
Number of establishments 101110
Persons engagedNo.972939965
Production costs—    
  Salaries, wages£484,485524,874548,836
  Materials£430,591527,446635,132
  Other expenses£114,147148,393138,894
    Totals£1,029,2231,200,7131,322,862
Value of output£1,153,5411,291,9371,430,226
Value added in manufacture£722,950764,491795,094
Overtime worked by wage-earnersHrs.131,873101,388116,562
Iron and steel usedTons4,8374,228
Principal products—    
  Domestic electric rangesNo.21,76921,62322,612
  Domestic electric rangettesNo.10,73811,1009,299
  Domestic coal rangesNo.7,7736,5624,794
Radio Assembly and Manufacture*
Number of establishments 252525
Persons engagedNo.9601,008978
Production costs—    
  Salaries, wages£422,836502,547493,155
  Materials£1,000,1381,259,2481,351,878
  Other expenses£138,910163,253177,890
    Totals£1,561,8841,925,0482,022,923
Value of output£1,689,9912,056,2192,128,843
Value added in manufacture£689,853796,971776,965
Overtime worked by wage-earnersHrs.96,94885,18982,087
Principal products—    
  Radio receivers, table models—    
   BroadcastNo.20,76527,13518,594
   Broadcast and short-waveNo.12,57414,9079,359
   RadiogramNo.5,1984,7818,391
  Radio receivers, console models—    
   BroadcastNo. 246474
   Broadcast and short waveNo.417750516
   RadiogramNo.2,0652,9812,416
  Portable receiversNo.6,4488,8255,795
  Automobile receiversNo.6,6198,77310,935
Motor Vehicle Assembly
Number of establishments 111111
Persons engagedNo.1,7851,9491,919
Production costs—    
  Salaries, wages£1,048,0241,282,9371,440,682
  Materials£8,778,62610,645,47612,549,526
  Other expenses£357,834418,432593,502
    Totals£10,184,48412,346,84514,583,710
Value of output£10,868,64113,074,66715,448,856
Value added in manufacture£2,090,0152,429,1912,899,330
Overtime worked by wage-earnersHrs.454,606471,617548,298
Vehicles assembled—    
  CarsNo.13,44415,71215,480
  BusesNo.1164347
  VansNo.2,1621,9351,244
  TrucksNo.4,8236,4666,399
Motor Body Building
Number of establishments 858384
Persons engagedNo.1,2271,1761,248
Production costs—    
  Salaries, wages£578,451606,141722,971
  Materials£610,086658,930758,433
  Other expenses£147,584148,516201,437
    Totals£1,336,1211,413,5871,682,841
Value of output£1,494,4891,641,6711,930,752
Value added in manufacture£884,403982,7411,172,319
Overtime worked by wage-earnersHrs.99,49987,251115,346
Main materials—    
  TimberFt. b.m.*1,416,0551,740,669
  PlywoodSq. ft.*310,289410,789
  Paint and oilsGallons*26,53621,005
Motor bodies built—    
  BusesNo.226184205
  VansNo.1,063724661
  TrucksNo.1,5161,6791,357
Motor Repairs
Number of establishments 1,4391,5011,554
Persons engagedNo.10,17111,01711,427
Production costs—    
  Salaries, wages£4,545,4675,416,1105,904,660
  Materials£5,419,7476,363,6167,529,324
  Other expenses£1,365,1651,496,2341,718,717
    Totals£11,330,37913,275,96015,152,701
Value of output£12,428,32715,083,84616,996,172
Value added in manufacture£7,008,5808,720,2309,466,848
Overtime worked by wage-earnersHrs.572,560675,523690,238
Sheetmetal Working
Number of establishments 157159160
Persons engagedNo.2,9542,9343,078
Production costs—    
  Salaries, wages£1,437,5981,602,0211,805,711
  Materials£2,782,6543,391,2214,022,043
  Other expenses£468,862489,818581,712
    Totals£4,689,1145,483,0606,409,466
Value of output£5,180,7066,347,9827,211,534
Value added in manufacture£2,398,0522,956,7613,189,491
Overtime worked by wage-earnersHrs.503,761445,816446,455
Metal Products n.e.i.
Number of establishments 129142133
Persons engagedNo.2,2922,4942,427
Production costs—    
  Salaries and wages£1,200,3261,455,6921,516,017
  Materials£1,780,3992,480,9572,648,237
  Other expenses£481,393514,341537,139
    Totals£3,462,1184,450,9904,701,393
Value of output£3,878,9355,194,9505,339,174
Value added in manufacture£2,098,5362,713,9932,690,937
Overtime worked by wage-earnersHrs.470,779421,664394,343
Agricultural and Pastoral Machinery
Number of establishments 9396100
Persons engagedNo.1,3771,4401,353
Production costs—    
  Salaries, wages£658,423758,212725,477
  Materials£2,473,3353,985,8414,010,590
  Other expenses£179,042189,205209,176
    Totals£3,310,8004,933,2584,945,243
Value of output£3,706,9365,395,3135,355,403
Value added in manufacture£1,233,6011,409,4721,344,813
Overtime worked by wage-earnersHrs.151,535147,402124,558
Machinery n.e.i.
Number of establishments 338353342
Persons engagedNo.6,0896,5516,972
Production costs—    
  Salaries, wages£3,095,1823,710,9194,161,220
  Materials£4,554,5306,066,9077,544,850
  Other expenses£975,0801,097,4471,365,943
    Totals£8,624,79210,875,27313,072,013
Value of output£9,700,09512,203,91114,560,485
Value added in manufacture£5,145,5656,137,0047,015,635
Overtime worked by wage-earnersHrs.907,0901,027,4801,136,053

Chapter 25. SECTION 25—BUILDING, CONSTRUCTION, AND HOUSING

Table of Contents

INTRODUCTORY.—Within the short span of a century New Zealand has been transformed from a virgin wilderness into a country whose community enjoys the amenities of modern social and industrial life. In the pioneer stages of colonization the development of the resources of the country demanded an almost mushroom growth of building and construction activity in the formation of railways, roads, and harbours, in addition to provision for the housing needs of a rapidly growing population. More recently the utilization of available resources of water power has involved major schemes of construction of hydro-electric stations in various parts of New Zealand, and the reticulation of practically the whole of the inhabited portion of the country. The utilization of forest resources, land settlement, and the growth of factory industries have required extensive building and construction works, rural and urban, while the increasing housing needs of a growing population are reflected in a steady long-term increase in the building of dwellings. The increase in trade and industry, with the resultant growth of the towns, has been accompanied by extensive construction of factories, shops, offices, warehouses, etc.

With the passing of the early stages of social and industrial development, replacements of obsolete and obsolescent structures and general maintenance will occupy a larger place in building and construction activity than was the case formerly, although there have been new avenues of industry requiring further major building and constructional operations. For example, the development of aviation in New Zealand required the formation of a chain of landing grounds and airports. The increase in motor traffic has necessitated a reorientation of roading policy, much new construction and extensive alterations to the surfaces of existing roads being required. The diversification of factory industries in recent years has involved extensive building operations—particularly in the engineering trades—while modernization of factory equipment and of shop and office accommodation has been responsible for a further appreciable proportion of building activity. Developments in recent years in the production of pulp and paper from the exotic forests have contributed to further demands on this industrial sector.

An interesting feature of building and construction activity in New Zealand is the absence of a marked seasonal decline in the winter months, since winters are not sufficiently severe, except in a few districts, to interfere materially with the building of dwellings or other construction work.

The building and construction industry is particularly sensitive to cyclical fluctuations in business conditions, and it is not surprising to note that in the past marked changes in building activity have coincided with the ebb and flow of trade and industry. Governmental policy in regard to public-works construction in such times has been directed towards accelerating State activity in this direction in times of depression and in the slack seasons of the year with a view to alleviating unemployment. While considerable success has been achieved on various occasions, at other times the expansion of public works has been limited for financial reasons. Private building suffered severely during the depression, but later revived substantially to reach its pre-war peak in 1938–39. Thereafter a progressive decline in the importation of essential materials, notably steel and iron, took place, with consequential effects on normal large-scale construction. After 1941, however, the full effect of war began to have its effect, while Japan's entry into the war accentuated the diversion of men and building materials to aerodromes and other defence constructional work. This diversion was maintained as the necessity arose to provide accommodation for Allied Forces using New Zealand as a base for operations in the Pacific area. The cumulative effect of these circumstances may be gauged from the record low level of building permits for urban districts in 1942–43, the value of which, £2,661,947, may be compared with the 1938–39 figure of £12,126,458. Thereafter, with the completion of the major portion of defence programmes, a distinct revival of civil building took place, the improvement being progressively maintained despite the hampering effects of shortages of skilled labour and many essential building materials. By 1944–45 the annual value had exceeded the highest pre-war figure, although it would appear that much of the increase over earlier years was a reflection of higher costs. If the number of permits for new dwellings can be safely used as a guide, then by the 1946–47 year building activity both in volume and value had by far exceeded pre-war figures. Since then, building activity has continued at higher levels in each successive year.

The value of building permits in urban districts for 1952–53 totalled £47,179,870, this figure being surpassed in 1953–54 with a value of £53,972,845.

Statistics of Building Activity.—A collection of annual statistics of building permits issued in cities, boroughs, and town districts was initiated in 1921–22, while a monthly collection on a more restricted scale was begun in 1926, and enlarged in April 1951 by the inclusion of a further twenty-one local authorities. The collection of rural statistics was first made for the 1937–38 year. From 1925 to 1941 an annual collection of returns from builders and contractors was obtained, affording, inter alia, an analysis of costs, etc., not available from the building permit statistics. Reference to a further collection undertaken in 1951–52 is made at the end of this Section.

Trends in Average Costs of Some Representative Lines.—The following table is of interest in that it illustrates trends in the cost of some of the more representative lines of building activity over a period with general characteristics of rising costs and prices.

Cost in Year Stated
19391945End of 1950End of 1954
State rental house (979 square feet)£1,061£1,479£2,172£2,547
Accommodation on works—    
Single men£30£125£165£235
Married men£135..£1,000£1,200
Buildings (reinforced concrete): For similar size and type£10,000£15,700£25,100£28,350
Bridge: Concrete, per cubic yard£12 2s.£19 7s.£31 7s.£44
Fencing (labour only), per chain10s. 6d.£1£1 17s. 6d.£2 12s. 6d.

The movement in costs of some particular lines of general building materials is now given, the first figure in each instance relating to 1939 and the last figure to the end of 1954: timber (general lines), 29s. to 80s.-94s.; hardwood sleepers, 7s. to 28s. 6d.; structural steel, £11–£14 to £55–£60; and cement, £4 8s. 3d. to £11 15s. per ton.

Availability of Principal Building Materials.—The following table, in which the earlier figures were taken from sources published on the occasion of the National Housing Conference in 1953, shows the availability of the principal building materials in the years quoted.

UnitProductionImportsTotal
1938

* Figures not available.

* Figures not available.

Sawn timber—    
Production (year beginning 1 April)Million board feet317..317
Imports (calendar year)Million board feet..29.929.9
Exports (calendar year)Million board feet....14.6
Apparent consumption (year beginning 1 April)Million board feet....332
Cement(000) Tons2161.3217.3
Wallboard(000) square feet14,700**
Asbestos cement sheet(000) square feet*2,250*
Roof tiles, concreteNo. (000)4,500..4,500
Roof tiles, clayNo. (000)2,700..2,700
Plywood(000) square feet3,0008,00011,000
BricksNo. (000)29,100..29,100
Window glass(000) square feet..3,3773,377
Sanitary earthenwarePieces***
 Value (£)*17,197*
Electric rangesUnits6,9599,41116,370
Copper tubeCwt...7,5097,509
Galvanized pipeCwt...288,289288,289
Corrugated ironCwt...268,362268,362
Plain galvanized ironCwt...119,962119,962
Reinforcing steelTon..53,51653,516
Cast iron pipes and soil pipesCwt...13,57213,572
Builders' hardwareValue (£)*120,621*
BathsUnits*3,035*
ScrewsValue (£)..35,00035,000
1946
Sawn timber—    
Production (year beginning 1 April)Million board feet354..354
Imports (calendar year)Million board feet..13.713.7
Exports (calendar year)Million board feet....8.8
Apparent consumption (year beginning 1 April)Million board feet....360
Cement(000) Tons219.56.7226.2
Wallboard(000) square feet52,700**
Asbestos cement sheet(000) square feet21,5005,00026,500
Roof tiles, concreteNo. (000)8,000..8,000
Roof tiles, clayNo. (000)3,000..3,000
Plywood(000) square feet22,8003,00025,800
BricksNo. (000)23,800..23,800
Window glass(000) square feet..3,9353,935
Sanitary earthenwarePieces14,000**
Value (£)*27,869*
Electric rangesUnits20,483**
Copper tubeCwt...8,4438,443
Galvanized pipeCwt...267,062267,062
Corrugated ironCwt...60,02760,027
Plain galvanized ironCwt...95,52795,527
Reinforcing steelTon..20,82220,822
Cast iron pipes and soil pipesCwt...3,5423,542
Builders' hardwareValue (£)*192,665*
BathsUnits*28*
ScrewsValue (£) 29,93029,930
1953
Sawn timber—    
Production (year beginning 1 April)Million board feet573..573
Imports (calendar year)Million board feet..26.326.3
Exports (calendar year)Million board feet....20.2
Apparent consumption (year beginning 1 April)Million board feet....579
Cement(000) Tons276.0193.2469.2
Wallboard(000) square feet106,1001,912108,012
Asbestos cement sheet(000) square feet25,00041425,414
Roof tiles, concreteNo. (000)16,400..16,400
Roof tiles, clayNo. (000)2,800..2,800
Plywood(000) square feet30,80044131,241
BricksNo. (000)40,600..40,600
Window glass(000) square feet..12,58912,589
Sanitary earthenwarePieces***
Value (£)*88,942*
Electric rangesUnits23,4881,19324,681
Copper tubeCwt...22,60022,600
Galvanized pipeCwt...114,190114,190
Corrugated ironCwt...404,029404,029
Plain galvanized ironCwt...145,189145,189
Reinforcing steelTon..240,502240,502
Builders' hardwareValue (£)*411,561*
BathsUnits*4,846*
ScrewsValue (£)..217,020217,020

There has been a continuing improvement generally in the volume of building materials available from local production and from overseas sources. Principal building materials which are under import control include wallboards (fibrous plaster and plaster coreboards and wood fibre boards), plywood, cement, and white sanitaryware. Supply problems continue to be met from time to time due to temporary disruptions in distribution arrangements. For some materials, such as reinforcing steel and galvanized iron, New Zealand is dependent entirely on overseas sources. Thus quantities available are subject to fluctuating world market conditions, which at times lead to shortages on the domestic market.

THE HOUSING SITUATION.—As will be obvious from a perusal of the statistics of building permits and building construction given later in this Section, building operations fell to small proportions during the depression years. With the advent of better times, accompanied by a large increase in the number of marriages and a growing tendency to discontinue the sharing of homes by two families, there arose in many cities and towns a housing demand far in excess of the available supply. The position was aggravated by the fact that a considerable proportion of the existing dwellings did not comply with modern standards of comfort, convenience, and sanitation.

As will be seen under a subsequent heading, a comprehensive programme of house building by the State was inaugurated in 1937.

Although this scheme had made substantial progress and had added considerably to the numbers of houses that were being built, the outbreak of war further aggravated the problem. The transfer of men and materials to urgent defence works, referred to earlier, reduced dwelling construction to almost negligible proportions for a period. The early war years witnessed a large increase in the number of marriages, and, although there was a considerable fall during the next three years, the termination of the war saw a substantial rise, culminating in a new record in 1946. These factors, together with the rehabilitation of ex-servicemen generally and the later expansion of immigration, resulted in an unprecedented demand for housing accommodation—e.g., according to the annual report of the State Advances Corporation for 1953–54, there were 29,614 unsatisfied applications for tenancies of State rental houses at 31 March 1954, an increase of 358 on the previous year.

In August 1953 the Government convened a National Housing Conference for the purpose of surveying the general housing situation in New Zealand and investigating ways and means of implementing the Government's housing policy of making houses available to the people at a reasonable cost. The conference was attended by builders and others directly associated with the building industry and also by employers, workers, welfare organizations, local bodies, organizations interested in housing finance, and other sections of the public.

Every aspect of housing was discussed, and action taken on the resolutions adopted by the conference has helped to effect a marked improvement in the housing position. The conference assessed the extent of the housing shortage and set a number of 206,000 houses in ten years as a target to overcome the shortage. This represented an increase of 25 per cent in the building rate.

Against this background a completely revised housing policy has been evolved.

It differs fundamentally from previous policy in that the interest of the State has been extended beyond the narrow limits of State housing, which is governed naturally by the amount of money which can be set aside for this service. Its role is broader and more demanding, and recognizes responsibility for all housing, retaining meanwhile an appreciation of the Government's own obligation to provide a certain proportion of the total number of houses.

While the achievement of the ten-year target of 206,000 new houses can be seen as a simple solution of the housing problem, the means by which the building rate can be increased to the required level are far from simple. Since the building industry is a complex organization within which are many skills and trades, no rapid increase in the total manpower of the industry can be expected, nor would this be desirable unless a correct ratio can be maintained among the various classes of tradesmen.

The problem, therefore, has been approached with the intention of getting greater production from the existing labour force, in the main by reducing non-productive time between the finish of one house and the start of the next, and by eliminating delays caused by interruptions in the supply of building materials. The Group Building Scheme is designed expressly to give builders this continuity of work and to enable them to make better use of their resources. The most significant development in the last fifteen years, this scheme already shows clear evidence of becoming the major source for the extra houses needed.

The aim of the group building scheme is to make houses available for those whose cash contributions amount to approximately £400 to £600. Plans and specifications are checked by the State Advances Corporation, which also supervises the work. Builders erect groups of houses for sale, and are thus given the opportunity of employing their organizations in the most efficient way, supported by a Government undertaking to take over a certain proportion of any unsold houses. At 31 October 1954, 377 builders were participating in the scheme in 61 towns, and 5,937 houses were programmed.

Encouragement is also being given to the building of blocks of residential flats. The Government is proceeding with the building of large blocks of multi-story flats in Wellington and Auckland, each to contain 80 two-level two-bedroom maisonette flats, and smaller blocks in other cities both for rental and sale.

In the sphere of building finance, the Minister of Housing announced several policy changes in September 1953. For State Advances loans, the terms, in appropriate cases, would be extended to thirty-five or forty years with adjustments up or down at fixed periods. The Corporation would also provide for housing loans for a period of twenty years. Repayments would be at the rate fixed for a table mortgage for thirty or forty years and loans would be refinanced after twenty years.

To encourage employers to build houses for their employees, employers would be allowed to write off 30 per cent of the cost of such houses as depreciation in the first year.

Withdrawals could also be made at any time from national savings for the acquisition of homes.

A mortgage guarantee scheme was provided for in the State Advances Corporation Amendment Act 1953. The amendment enables the Corporation to guarantee financial institutions repayment by the borrower of the difference between the normal housing loan and 90 per cent of the valuation (see Section 33B). The suspensory loan scheme has also been continued.

New schemes introduced by the Government to assist home builders are:

  1. Erection of partially completed houses for sale: These houses are completed to the stage where they are closed in. The flooring, inside finishing work, together with painting, fencing, laying of paths, etc., is to be carried out by the purchaser.

  2. Practical training: Facilities for educational classes for the instruction of those who desire to build their own homes are being provided in many centres. Partially completed State houses will be finished by the classes under competent supervision, thus providing practical training in house building.

Although the way in which the building industry is responding to the obligation it has been asked to assume demonstrates that it can expand production, the full capacity of its present resources is unlikely to be much more than about 18,000 houses a year. Manpower must, therefore, command continual attention and progressive expansion.

The question of building costs ranks equally in importance with the number of houses built. Efforts are being made to stabilize building costs, and to counteract the upward trend which can be normally expected to follow increases in award wage rates. A noticeably larger number of houses is being built for prices between £2,000 and £2,500, and catering generally for those people whose income is above the qualifying limit for State houses, but not enough to finance houses costing £3,000 or more. To some extent this shows the influence of the Government's encouragement of the use of low-cost designs, and of the Group Building Scheme under which builders are able to build more cheaply than if they were working on individual houses. In other directions, by means of a low-cost plan service and by making available as many Crown sections as possible on leasehold or deferred payment licence, initial costs to the home builder are also being reduced. Although manpower, finance, and materials show no immediate danger of hampering the housing drive, there is a real threat that a shortage of building sites may become a limiting factor. The present policy is to make available for private building any Crown sections that are surplus to the requirements of State housing development, but there is an obvious limit to this supply. Some overall responsibility for the provision of building sites is just as important as the building programme itself, and local authorities have been asked to assist in this direction.

One of the biggest obstacles to be overcome in the introduction of new policy features is the passing on of information quickly to those affected by the changes. This has been particularly true of the new housing policy which, for smooth operation, depends upon the help of many sections of the community, such as builders, lending institutions, local authorities, and trading banks. Although direct contact has been maintained, with organizations and individuals by means of an active information service, the dissemination of information, particularly where new ground has been broken, has been aided greatly by the Press. Several publications have been issued, including a manual for local authorities, Housing the Citizen, and two editions of Your Own Home—How?, which were produced to promote public interest in home ownership, as well as leaflets on Staff Housing, Land Development for Local Authorities, and sets of notes on the operation of the Group Building Scheme, of Homes Advisory Bureaux by local authorities, of the Build Your Own Home Scheme, and of the operation of the Rural Housing Act.

Role of Local Authorities.—In addition to the activities briefly outlined earlier, the housing policy of the Government includes the provision of loans to local authorities at 3£ per cent per annum (increased from 3 per cent during 1952–53) to enable them to undertake general housing schemes, or in connection with the subsidized assistance granted by the Government under the 1950 scheme to local authorities which provides accommodation for pensioners or persons in comparable circumstances. The State Advances Corporation invests moneys from its General Reserve Fund in loans to local authorities for the purpose of providing for their staff housing needs at the current ruling rate for local authority loans—i.e., 4 per cent. There is provision for the granting of loans to employers, and this has provided an avenue of assistance for such branches of industry as dairy companies and limeworks. The Rural Housing Act 1939, and subsequent amendments thereto, provide facilities for the granting of financial assistance to farmers requiring new houses for themselves or their employees, or desiring to improve their existing houses. The County Councils have been charged with the duty of investigating the loan applications, and provided they are satisfied with the security, etc., they have authority to approve a loan subject to the prior consent of the Board of Management of the State Advances Corporation. Loans are made to local authorities bearing interest at 3½ per cent (rate charged by the county to the farmer borrowers is 4 per cent), and are repayable on the amortization system over terms of up to thirty-five years. The amount that may be advanced for the erection of a house under this scheme has been raised from £1,500 to £2,000, and the suspensory loan benefits described in Section 33B are available to applicants who comply with the conditions laid down. The response to the benefits offered by this legislation has so far been poor. Of the 125 County Councils in New Zealand, only 47 have applied for loans, and of authorized loans totalling £1,035,550 at 31 March 1954 only £404,752 (in respect of 454 houses) had been uplifted.

Where any farm is situated within any borough., town district, or road district, similar powers are conferred on the local authority concerned.

Reference to the provisions made for the governmental financing of home building on behalf of private owners is contained in the Section of this Year-Book dealing with State Advances (Section 33B).

Borough Councils are authorized under the Municipal Corporations Act to provide loans for housing purposes up to a limit of £2,222; to subdivide for such purposes any land vested in a Council and not held by it in trust for any particular purpose other than housing; and to sell or lease allotments for housing purposes. Local authorities may also apply to the Local Government Loans Board for blanket authorities for the purchase of land for subdivision for housing purposes. Local authorities are being encouraged to play a more prominent part in the housing of their citizens. Every local authority is being encouraged to establish a Homes Advisory Bureau to foster building and home ownership locally.

STATISTICS OF THE 1951 CENSUS.—Full details of dwelling statistics as recorded at this census have been published in Volume VII—Dwellings and Households. Certain summaries dealing with nature of dwelling, tenure, rooms, occupants, material of outer walls, etc., will be found in pages 595–598 of the 1954 Year-Book.

Over 75 per cent of dwellings in New Zealand are of wooden construction, but concrete, brick, proprietary wallboards, and rough cast all showed substantial increases in numbers since 1945. The use of stone slates in building construction has shown a very great increase, although the numbers built in this material are still small compared with the more orthodox materials.

STATE HOUSE CONSTRUCTION.—A programme of direct home building by the Government was commenced in March 1937. The purpose of this branch of the Government's activities was to provide homes of a modern standard of comfort to be let at reasonable rentals to people in the medium and lower income groups. The legislative provision for this programme is contained in the Housing Act 1919, the administration of which was transferred to the State Advances Corporation by the State Advances Corporation Act 1936. To give effect to the Government's policy a special Housing Construction Branch of the State Advances Corporation was set up in September 1936. Early in 1944 the control of the Housing Construction Branch was transferred to the Ministry of Works.

The State Advances Corporation Act 1936 made provision for a special Housing Account with the Reserve Bank, and the Statutes Amendment Act 1936 provided the necessary authority to acquire land under the Public Works Act 1928 for the purpose of housing. The actual construction work is mainly carried out by contractors, tenders being called for the various contracts. The Housing Division has also built a number of houses by trainees under the scheme for the rehabilitation of returned servicemen. Contracts had been arranged with the Rehabilitation Department for the labour involved in houses situated in forty-two localities. While most of these houses were situated in the larger towns, in a few instances the rehabilitation trainees were employed in isolated districts where the Housing Division had been unable to engage private contractors. The Rehabilitation training scheme came to an end in January 1954 with the completion of houses in Gisborne and Dunedin. Altogether 4,440 houses were built by the trainees. In past years shops were built in some State housing settlements for letting purposes, but the current policy is to sell sites (with a preferential allocation in favour of ex-servicemen) for the erection of shops under private ownership. On completion, houses are handed over to the State Advances Corporation for administration. It also administers the shops built in earlier years.

In addition to the general scheme, the organization of the Housing Construction Division is utilized for the purpose of erecting houses for other Government Departments, and houses have been built for twenty-five Departments of State. Units completed under this arrangement totalled 5,027 up to 31 March 1954, with a further 332 in the constructional stage. Included in this total are houses built for armed forces personnel. In the period 1 April 1950 to 31 March 1954 contracts were let for the construction of 1,105 houses for the Navy, Army, and Air Force. A subsidiary scheme within this general framework is of interest. It covers the erection of houses and other farm buildings for returned servicemen. The scheme was recommended by the Farm Sub-committee of the former Rehabilitation Department and approved by the Land Settlement Board. The land is purchased, subdivided, developed, and the houses and other buildings taken over by the Department of Lands and Survey. Each farm is valued on the basis of production, and the tenants, who are chosen by ballot, have the option of purchase or lease. At 31 March 1954, 1,031 houses and 3,455 ancillary farm buildings had been completed, while under-construction figures were 6 and 1 respectively. A second scheme, for which applications were considered from 1946 to 1 September 1949, dealt with the construction of portable prefabricated houses to meet the special conditions found in the timber-milling industry. By 31 March 1954, 691 of these housing units had been completed and 4 more were in course of construction.

Pre-cut Housing Contracts.—The contracts provide for the erection of 500 houses in Auckland and Wellington. At 31 March 1954, 72 houses had been completed in the Auckland contract and 412 were under construction, 163 of these being in the final stages. In Wellington 65 houses had been completed and 216, including 96 in the final stages, were under construction.

Experimental Lower-cost Houses.—In connection with the National Housing Conference held in August 1953, two experimental lower-cost houses were erected in each of the four centres and thrown open for inspection by the general public. Houses built to similar plans have since been included in State house contracts, as also have other houses built to plans submitted by prize-winners in the Low-cost House Competition held in connection with the Conference. Arising from conference recommendations, the division has since been conducting investigations into building costs and proposals for the adoption of new building materials and new types of house construction and design.

Partly Completed Houses for Instructional Purposes.—Contracts have been let in seven centres for the erection of partially built State houses which will be brought to completion by trainees operating under the Government's “Build Your Own Home” scheme, and contracts are being arranged for erecting similar houses in fifteen additional localities to meet the demand for training facilities.

Flats and Terraced Houses.—With a view to further relieving the housing shortage and making the best possible use of valuable serviced land suitable for residential building within the environs of the larger cities, plans are being prepared for the erection of multi-story blocks of flats in Wellington and Auckland. A site in Wellington is planned to accommodate a ten-story block containing 81 flats, and a similar building is planned for erection in Auckland. Working drawings for these flats have been prepared and contracts let. Three blocks of flats three stories high and each containing 18 units have been planned for a site in Wellington, and a similar project comprising 54 flats is to be erected in Petone; also 36 flats of the same design have been planned for a site in Auckland. Tenders for all these three-story flats will be called shortly.

The building of terraced houses, each of two stories, in blocks of four units to a new type plan will shortly be under way. Plans and working drawings for these are nearly completed, and suitable sites are already held in some towns, and in others sites are at present being sought. Each unit will contain three bedrooms, bathroom, etc., on the first floor, and living room, kitchen, etc., on the ground floor.

Kawerau.—At Kawerau the Division has a programme of 530 houses, of which contracts have been let for the erection of 350. At Murupara the programme provides for the erection of 220 houses, and contracts for 50 have already been let; also at Murupara contracts have been let for 150 single men's huts, and for a permanent cookhouse and dining block.

Erection of Houses for Sale.—A new activity during the year 1953–54 was the erection of houses for sale. There are two categories: (a) fully completed houses (without ancillary work), and (b) partially completed houses. Some of the new type plans have been used for these schemes.

In the fully completed houses scheme the actual houses are fully completed, including drainage, but ancillary work such as paths, fences, sheds, and clothes driers are not included. Authority has been received for the erection of 177 houses in ten towns, 65 having been completed, while 104 are under construction.

In the partially completed houses scheme certain of the finishing work, which is normally included in State house contracts, is omitted, and the purchasers of the houses will themselves do the finishing work such as interior and exterior painting and also the erection of fences and sheds and the laying out of paths. The present approved programme is 24, and of these 14 are already under construction.

Summary of Progress.—The following table shows the cumulative progress, since the inception of the present housing scheme, at 31 March of each year given.

Cumulative Totals to 31 MarchUnits in Contracts LetHouses Completed and Handed Over to—Net House-unit Sections Acquired
State Advances CorporationOther Government Departments and Miscellaneous
 UnitsUnitsUnitsUnits
194419,48715,47529740,184
194522,34917,39234942,061
194625,33120,24847845,838
194728,42422,59073148,751
194832,12825,4651,06650,510
194936,35528,8791,84551,426
195040,58632,2672,46454,470
195142,51235,6333,13352,666
195245,04237,7503,79355,224
195349,23339,8744,44558,923
195451,67442,6535,02760,396

Included in the 3,361 houses completed and handed over during 1953–54 were 2,779 State rental units. Of these, 112 were pensioners' flats which were erected in twelve localities. Under the Rural Housing Scheme for casual farm labourers and employees of dairy companies and rabbit boards, 119 houses were built in 57 localities. Houses for the Armed Services totalled 298, and 284 units were erected for other Government Departments.

The total labour force employed directly by the Housing Division and contractors at 31 March 1954 was 3,614, as compared with 4,350 in 1953, 3,276 in 1952, and 3,963 in 1951.

The next table gives particulars of the cumulative expenditure, since its inception, of the Housing Division at 31 March of each year given.

Cumulative Totals 1938 to 31 MarchLand and ServicesDwelling ConstructionPlant and EquipmentInterest During ConstructionAdministrationTotal
Housing BranchOther Departments
 £££££££
19444,212,30018,326,200523,70069,800154,000659,10023,945,100
19454,934,00021,690,600678,60076,300226,200785,00028,390,700
19465,621,00025,840,8001,203,50088,500276,400985,80034,016,000
19476,518,50030,050,5001,864,000105,800353,1001,228,50040,120,400
19487,347,10034,629,3002,632,600148,100402,3001,600,00046,759,400
19498,522,40040,515,8004,000,500168,700472,2001,966,10055,645,700
19509,881,80047,686,9005,643,600190,200582,2002,369,60066,354,300
195111,115,70054,278,4007,210,300193,200687,3002,723,50076,208,400
195212,267,20058,663,2008,245,400194,900770,7003,078,50083,219,900
195313,906,50065,190,9009,371,100200,400863,2003,441,70092,973,800
195415,650,20072,764,80010,147,400209,200975,4003,834,800103,581,800

In addition to the cumulative net expenditure of £103,581,800 to 31 March 1954, liabilities and commitments at that date amounted to a further £7,487,449.

The total cost of administration (exclusive of interest charges) from the inception of the scheme to 31 March 1954 was £3,834,800, or 3.88 per cent of the net expenditure (excluding administrative costs and interest). This percentage for the year ended 31 March 1954 was 3.89.

In general, the size of dwelling units built by the Housing Division is determined by the size of the families seeking accommodation. The tendency in later years has been to build a higher proportion of larger-sized houses than formerly. The following table provides an analysis according to the number of bedrooms contained in units built during 1952–53 and 1953–54, together with the total to the end of March 1954.

Units Completed
1952–531953–54Total to Date
Number of UnitsPercentage of TotalNumber of UnitsPercentage of TotalNumber of UnitsPercentage of Total
One-bedroom flats and bed-sitting room........2310.5
One bedroom1264.51123.33,0106.3
Two bedrooms69425.086425.718,04637.8
Three bedrooms1,76763.52,21265.823,42049.1
Four bedrooms and over1897.01735.22,9736.3
    Totals2,776100.03,361100.047,680100.0

MAORI HOUSING.—Financial assistance towards the purchase of building sites and erection of dwellings thereon, additions and repairs to existing houses, and purchase of houses is available under the Maori Housing Act 1935 to Maoris in need of houses. The lending authority is the Board of Maori Affairs. Section 18 of the Maori Housing Amendment Act 1938 established a fund called the Special Maori Housing Fund, and use of this fund enables the Board of Maori Affairs to provide houses for Maoris who, in the opinion of the Board, are unable to furnish the security or make the payments which the Board would ordinarily require in respect of advances under the principal Act.

In addition to providing finance, the Department through its building organization attends to construction where contracts from private building contractors cannot be obtained inside the loan limits plus the applicant's cash resources. In practice this means that a substantial proportion of the houses being erected for Maoris, especially in rural areas where it is not possible to obtain private building contractors, are built by the Department's building organization. The Department has established a comprehensive series of standard plans covering all the different bedroom types to meet the special needs of the Maori people. In determining its building programme the Department tries to ensure that the most needy cases are housed in order of urgency and merit. Where it is evident that the Maori applicant can afford a house built by a private contractor he is expected and encouraged to use that avenue when possible.

Maoris qualify for suspensory loans under the Suspensory Loan Scheme, with houses built since 1 December 1949 either by the Department or by private building contractors, on the same terms and conditions as apply to Europeans. In some of the larger towns and cities special Maori State housing allocation committees are established and they receive a special quota of State rental houses based on the proportion of urgent Maori applications held in relation to Europeans.

The following summary shows the number of new houses built, the number of houses purchased, and the number of renovations and additions to houses, etc., from inception of the building organization of the Department to 31 March 1953 and 1954.

Total to 31 March
19531954
Houses erected3,7484,259
Houses purchased382404
Other building work (renovations and additions to houses, cowsheds, and other buildings)3,0843,401
    Totals7,2148,064

In addition to the above, there were 127 houses and 67 other bull Ming works in course of erection at 31 March 1954.

BUILDING PERMITS: Annual Statistics.—Statistics of building permits issued in cities, boroughs, and town districts during each March year have been collected for 1921–22 and subsequent years—for use, inter alia, as an aid in compiling inter-censal estimates of population. These statistics afford a conspectus of changes in building activity from year to year. There is, however, a factor which may affect to some extent the accuracy of the figures as a guide to short-period fluctuations in building activity. This applies more particularly to buildings other than dwellinghouses, and is found in the fact that the value shown represents, in the great majority of instances, the total contract price or estimated cost of the whole building. A permit for a large building involves building activity spread over months, or even years, whereas in the permit statistics the value is shown wholly for the year or month in which the permit is issued. This qualification applies with greater force to the monthly statistics than to the annual statistics.

Building Permits in Urban and Rural Districts Combined.—The following table gives a summary for New Zealand of building permits (including State building operations) for the years ended 31 March 1953 and 1954.

1952–531953–54
New Dwellings: NumberNew Dwellings: ValueTotal All Buildings: ValueNew Dwellings: NumberNew Dwellings: ValueTotal All Buildings: Value
  ££ ££
Urban districts11,70028,045,24147,179,87012,59631,524,23953,972,845
Rural districts4,5179,232,99313,948,1244,86110,212,04215,527,020
    Totals, New Zealand16,21737,278,23461,127,99417,45741,736,28169,499,865

Although statistics of building activity have been collected since 1921–22 for urban districts, the collection of rural statistics was not commenced until 1937–38. In many cases for rural districts estimates only were supplied, while in some instances no data whatever could be obtained. Since 1947–48, however, the Building Controller's authorizations have been used where counties could not supply information. While possibly the inclusion of authorizations may overstate the position slightly, their use has enabled a complete coverage for counties.

The following table shows a summary of New Zealand building activity since 1937–38.

Year Ended 31 MarchPermits Issued for New DwellingsTotal Value, All New DwellingsTotal Value, All Building
PrivateGovernmentTotal

* Value of new private dwellings in rural areas not available in these years, but figures are included in the total for all buildings.

    ££
19384,8772,1677,0445,933,90611,568,968
19395,6014,1109,7117,024,126*14,246,784
19405,2994,3879,6867,162,248*13,025,705
19414,8943,9838,8776,128,307*12,788,172
19424,2822,8907,1725,082,799*10,515,341
19431,0206141,634750,863*3,459,585
19442,7422,1944,9363,640,808*9,909,322
19455,3673,3348,7018,141,564*15,132,005
19467,3592,99710,35613,937,29420,731,634
19479,8083,06812,87618,121,18026,880,159
194810,5383,51014,04821,205,23229,315,141
194911,6064,53016,13625,583,36136,008,697
195012,2625,39517,65728,999,31242,477,415
195114,5513,29817,84932,727,97348,769,604
195214,2972,81417,11136,457,06359,243,259
195312,6073,61016,21737,278,23461,127,994
195414,0253,43217,45741,736,28169,499,865

The accompanying diagram, illustrating building-permit figures relating to New Zealand totals since 1937–38 and to all cities, boroughs, and town districts in the year concerned shows the low level to which building operations fell during the depression period. The subsequent gradual recovery, accelerated by the Government's programme of house building which commenced in 1936–37, the effect of war conditions, and the post-war impetus to building, are all clearly illustrated.

Building Permits in Urban Districts.—In the next table, figures are given under two headings, one showing the totals for all urban districts covered in the particular year, and the second showing the totals for only cities, boroughs, and town districts. Data in respect of rural building will be found later in this Section.

Year Ended 31 MarchAll Urban Districts CoveredCities, Boroughs, and Town Districts
Number of New Private DwellingsValue of New Buildings: All ClassesTotal Value All Buildings (Including Alterations and Additions)Number of New Private DwellingsValue of New Buildings: All ClassesTotal Value All Buildings (Including Alterations and Additions)
  ££ ££
19386,0438,217,40010,291,6135,5687,876,3529,909,225
19398,09310,196,47612,126,4587,4259,555,74711,431,491
19408,0869,790,11811,418,4347,4299,156,67010,714,396
19417,1479,147,88511,060,1016,0998,024,5959,763,200
19425,5036,958,9978,984,1774,9896,436,1138,185,669
19438631,363,0912,661,9477671,269,3302,500,240
19443,6045,528,5838,309,8613,2204,975,3257,587,983
19456,69810,405,11512,756,9996,1709,583,53911,800,649
19467,73614,314,68616,944,3957,02713,230,58115,736,941
19479,51617,626,54321,159,5048,35615,450,53418,773,002
19489,85418,280,33421,426,6258,89016,618,95719,559,814
194911,10221,971,60226,430,4539,58518,835,61423,045,773
195011,53024,219,48730,365,5289,61320,720,77226,513,536
195111,37927,679,69435,030,6479,51023,789,84130,659,763
195212,44336,618,57146,279,3919,18829,421,22438,117,762
195311,70037,082,03347,179,8708,83630,079,50639,340,882
195412,59642,505,46653,972,8459,59435,025,60745,476,297

NOTE.—The large increase in urban district figures for 1951–52 came largely from the inclusion therein for the first time of five counties previously included in rural districts.

The figures shown for “cities, boroughs, and town districts” cover the districts existing in the year to which the statistics refer. Since these statistics were inaugurated, however, several new boroughs and town districts have been created and are accordingly included, while a few town districts have been excluded consequent on their abolition as town districts and their merger into counties. The net result has, however, been a gradual accession which has tended to raise slightly the figures for later years.

Statistics relating to new private dwellings include units in transit camps run by State or local authorities where these are in effect of a semi-permanent nature. However, “workmen's huts,” etc., as in railways or works camps, are not included.

Dwelling statistics also include all flats commenced, each flat in a block being treated as a single “new dwelling.” During the year ended 31 March 1954, 80 blocks of flats, totalling 207 individual dwelling units, were commenced in urban districts.

The following table shows details for the last ten years of blocks of flats included in the numbers of dwelling permits issued for cities, boroughs, and town districts.

Year Ended 31 MarchCities, Boroughs, and Town Districts
BlocksNumber of Flats
194585390
194679353
194780238
194874263
194967236
195062174
195151141
195264223
195354207
195473189

These figures cover only buildings erected as blocks of flats. Where conversion of existing private dwellings into flats has taken place, the value is included in alterations and additions.

The statistics quoted in the preceding paragraphs relate only to the main types of building activity. More detailed statistics are included in the annual statistical Report on Population Migration and Buildings, where, inter alia, permit statistics for individual towns, counties, etc., are given.

The total value of urban building operations in the year 1953–54 again continued the upward trend apparent in recent years, and the value, £53,972,845, constituted a record for the thirty-three years during which building permit statistics have been collected. The increase over 1952–53 was £6,792,975, or 14.4 per cent.

The number of permits issued in 1953–54 for the erection of new dwellings was 12,596, an increase of 896 compared with 1952–53, while the value of dwellings increased by £3,478,998. It is interesting to note that in 1952–53 the average value of a new dwelling was £2,397, as against £2,503 in 1953–54.

New “other buildings,” together with alterations and additions, showed an increase in value of £3,313,977, or 17.3 per cent, as compared with 1952–53.

Statistics for years prior to 1951–52, quoted in the following table, are on the revised basis of urban districts as from 1 April 1951, and are thus comparable with those for later years.

BUILDING PERMITS ISSUED—URBAN DISTRICTS

Year Ended 31 MarchDwellingsOther New Buildings and Alterations and Additions: ValueTotal Value: All Buildings
NumberValue
  £££
195013,13422,711,23910,336,34133,047,580
195113,10225,165,13812,708,80137,873,939
195212,44327,762,90818,516,48346,279,391
195311,70028,045,24119,134,62947,179,870
195412,59631,524,23922,448,60653,972,845

The following table arranges districts with building values of over £250,000 in 1953–54 in descending order.

1953–54

 £
Auckland City5,148,606
Christchurch City2,762,697
Wellington City2,424,166
Dunedin City1,898,929
Palmerston North City1,581,741
Hamilton City1,531,210
Lower Hutt City1,474,591
Mount Roskill Borough1,392,126
Gisborne Borough1,222,636
Mount Wellington Borough1,124,945
Upper Hutt Borough980,540
Invercargill City946,358
Napier City802,499
New Plymouth City738,335
Timaru City701,417
Takapuna Borough663,326
Nelson City652,911
Wanganui City631,018
Hastings Borough628,475
Tauranga Borough556,262
Papatoetoe Borough549,808
Whangarei Borough507,178
Mount Eden Borough438,464
Levin Borough425,069
Papakura Borough399,753
Rotorua Borough378,805
Ashburton Borough377,758
One Tree Hill Borough369,783
Taupo Borough364,727
Masterton Borough351,162
Blenheim Borough338,890
Howick Borough319,923
Pukekohe Borough301,399
Te Awamutu Borough298,432
New Lynn Borough295,922
Greymouth Borough290,445
Onehunga Borough287,849
Mount Albert Borough286,783
Manurewa Borough276,587
Whakatane Borough272,562
Tawa Flat Borough268,632
Dannevirke Borough267,251
Otahuhu Borough264,386

Building Permits in Rural Districts.—The collection of data from counties was inaugurated in the year ended 31 March 1938. For some years building statistics had been obtained from the counties of Hutt, Makara, Waimairi, and Heathcote, and the road districts of Eden County, and these were included in urban building statistics. As from 1 April 1951 the counties of Waitemata, Manukau, Paparua, Peninsula, and Taieri, previously included in rural districts, were added to the urban building statistics. The great majority of the population in these counties is urban, and they were included in order to obtain more complete statistics of building activity for the urban areas of Auckland, Hutt, Wellington, Christchurch, and Dunedin.

The tabulation for rural districts was therefore confined to the remaining counties. Road Boards are functioning on Waiheke Island, and these are included in the collection. Most rural districts were able to supply the information required, which in their case was limited to the number of private dwellings and the total value of all buildings. In the few instances where counties were unable to furnish reliable building data the Building Controller's authorizations have been incorporated in the statistics. The use of these figures will result in a slight overstatement if any authorizations are not proceeded with, but it provides complete coverage for rural districts.

Data are available for all Government building in rural districts and have been included in the total for rural building.

Excluding the nine counties and the road district (Panmure Township) which are included in urban districts, the total value of rural building in 1953–54 amounted to £15,527,020, an increase of £1,578,896 as compared with the 1952–53 figures for the same districts. The number of new dwellings was 4,861, an increase of 344 from the preceding year.

The following table arranges counties with building values of over £250,000 in 1953–54 in descending order.

1953–54

County£
Whakatane1,213,156
Hawke's Bay722,170
Matamata680,219
Waikato642,220
Tauranga622,014
Rotorua591,370
Waimea455,852
Waipa433,820
Halswell391,512
Southland386,825
Franklin381,625
Hauraki Plains367,590
Otamatea334,953
Wallace327,864
Taranaki293,057
Horowhenua290,641
Piako284,625
Rangitikei282,511

The total value of building for the nine counties and the road district included in the total for urban districts in 1953–54 was £8,496,548 and the number of new dwellings 3,002. The comparable value for 1952–53 was £7,838,988 and the number of new dwellings 2,864.

State Building Operations.—The erection of houses by the Housing Division of the Ministry of Work:; was commenced in March 1937 with 22 units in Wellington City. Details of units commenced for the test ten years are as follows.

Year fended 31 MarchUrban DistrictsRural Districts
19453,21144
19462,630245
19472,603166
19482,656409
19493,641470
19504,130686
19512,020734
19521,914386
19532,880435
19542,572615

The Housing Division has also commenced building schemes by which houses are constructed, either wholly or partially, for sale to purchasers who are ineligible to apply for State rental houses because of the income restriction of £713 per annum.

Houses are also erected by the Department of Maori Affairs, under its various development schemes, particulars of which will be found earlier in this Section.

In addition to the above schemes, dwellings are erected by or for the Ministry of Works, Railways Department, Mines Department, Department of Education, etc.

In all, a total of 3,432 Government houses (2,595 in urban and 837 in rural districts) were commenced in 1953–54, compared with 3,610 (2,940 in urban and 670 in rural districts) in 1952–53.

The following table shows urban districts in which twenty or more houses were commenced during 1952–53 and 1953–54 by the various Government Departments concerned.

New Dwellings
1952–531953–54
Cities and Boroughs—  
Takapuna5648
Auckland City412576
Mount Wellington15640
Mount Roskill138104
Hamilton City10581
Matamata21..
Putaruru29..
Tauranga50..
Rotorua22..
Taupo36..
Gisborne3440
Napier City6474
Hastings2934
New Plymouth City4834
Wanganui City3722
Palmerston North City12873
Lower Hutt City186127
Masterton31..
Nelson City2921
Rangiora21..
Riccarton69..
Christchurch City16387
Ashburton..24
Timaru City6032
Oamaru23..
Dunedin City34127
Green Island37..
Mosgiel..27
Milton27..
Invercargill City3029
Other297354
    Totals2,3721,954
Independent town districts..11
Dependent town districts..6
Counties and road district—  
Waitemata County2935
Manukau County..23
Hutt County34..
Makara County210351
Paparua County20132
Waimairi County15272
Taieri County47..
Other3611
    Totals528624
    Totals, urban districts2,9402,595

Rural districts (counties) in which the number was twenty or more in 1952–53 were: Waikato 26, Waipa 23, Matamata 47, Rotorua 49, Taupo 29, Whakatane 23, Waimarino 42, Rangitikei 50, Manawatu 20, Marlborough 35, Springs 29, and Tuapeka 41; and in 1953–54, Waipa 28, Matamata 21, Rotorua 70, Taupo 27, Whakatane 327, Rangitikei 48, Marlborough 21, Malvern 24, and Tuapeka 33.

In 1952–53, in addition to the 3,610 dwellings, value £9,375,749, 158 new buildings other than dwellings, of value £2,376,360, were commenced. Alterations and additions amounted to £1,481,315; and the total value of all State building operations was £13,233,424.

In addition to the 3,432 dwellings, value £9,412,384, commenced in 1953–54, 185 new buildings, other than dwellings, of value £1,795,720, were commenced, while alterations and additions amounted to £880,625. The total value of building operations by the Government covered in these statistics was therefore £12,088,729 in 1953–54.

Monthly Permit Statistics.—While the annual statistics of building permits issued afford an indication of year-to-year changes in the value and volume of building activity, short-period movements in building activity are of considerable interest, particularly in times of rapid economic change. With the purpose of providing information as to current changes in building activity, monthly statistics of building permits are collected from the larger centres.

These returns cover 62 per cent of the total population, but represent a higher proportion of the total New Zealand building.

BUILDING PERMITS IN LARGER CENTRES

MonthNew BuildingsAlterations to Existing BuildingsTotals
Dwellings OnlyTotalsNo.ValueNo.Value
No.ValueNo.Value
1953 £ £ £ £
January7181,841,6597832,178,9781,172488,2861,9552,667,264
February8512,170,2019672,645,2461,623742,2452,5903,387,491
March1,0322,587,6181,1803,645,5062,2081,275,9333,3884,921,439
April8162,098,1509392,807,1991,822615,5222,7613,422,721
May8392,091,2279832,900,5242,029746,7113,0123,647,235
June7311,842,3498602,574,3501,808617,2662,6683,191,616
July9512,411,6011,0962,995,5142,039948,8983,1353,944,412
August9012,257,2061,0272,866,6841,878949,2662,9053,815,950
September1,0602,646,7181,2233,700,3872,002838,6573,2254,539,044
October1,0302,589,1891,1783,543,2911,999906,1693,1774,449,460
November1,0112,468,8611,1693,134,2451,699954,3472,8684,088,592
December7771,965,3908822,845,7701,631707,7132,5133,553,483
1954        
January6581,731,6647482,009,1611,086434,1911,8342,443,352
February9322,404,5011,0553,057,8891,629692,5932,6843,750,482
March1,1403,007,6871,3224,061,9632,2651,922,7803,5875,984,743
April1,0152,638,8471,1293,495,4222,075728,0833,2044,223,505
May9932,472,0061,1573,162,9022,1431,005,9803,3004,168,882
June1,0942,879,8951,2033,682,6631,9731,004,6193,1764,687,282
July1,2843,243,0231,4284,172,0842,193941,2093,6215,113,293
August1,1843,130,8761,3414,483,1862,1301,164,8673,4715,468,053
September1,1773,128,0261,3404,547,5892,2551,115,2343,5955,662,823
October1,1803,051,1611,3654,587,9302,012992,7733,3775,580,703
November1,1492,971,4771,3063,896,2522,072927,3423,3784,823,594
December8922,337,6081,0503,426,6531,864825,7262,9144,252,379

DWELLING UNITS COMPLETED.—Local authorities which supply building-permit figures also give particulars of new dwelling units which were completed in their districts. In a few instances local authorities were unable to comply with the request, and in these cases estimates have been made derived from authorities issued and other sources. All dwellings completed by the Government are included.

The results of this collection of statistics for the last five years are given in the following table.

District1949–501950–511951–521952–531953–54
Urban districts12,00012,35011,90011,90012,200
Rural districts3,8004,0504,4004,2004,400
    Totals15,80016,40016,30016,10016,600

While absolute accuracy cannot be claimed for these statistics—particularly as regards rural districts—it is believed that they will give reasonably approximate results and enable a comparison of year-to-year changes to be made.

BUILDING PRODUCTION.—The results of a collection of building statistics taken in 1952 were given on pages 609–613 of the 1954 issue of the Year-Book which showed, largely in tabular form, the operations of persons and establishments regularly engaged in the building trade. A statement summarizing the activities of owner-builders was given separately, details for this class of building construction being excluded from the tables relating to regular builders.

Chapter 26. SECTION 26—ELECTRIC POWER AND GAS: GENERATION AND SUPPLY

26 A—ELECTRIC POWER: GENERATION AND SUPPLY

ELECTRIC power distributed for public use in New Zealand is generated principally by water power, most of the fuel plants in operation being maintained for standby purposes and to meet peak loads. During the year ended 31 March 1954 a total of 4,018,029,660 kWh. was generated by public utilities, of which 3,940,601,309 kWh. (98 per cent) was generated by water power, 68,326,992 kWh. by steam engines, and 9,101,359 kWh. by diesel and petrol engines. By far the major portion of this generation is undertaken by Government-owned plants, which, in the period under review, generated 3,686,506,290 kWh. by the use of water power, 63,039,998 kWh. by use of steam engines, and 6,061,380 kWh. by use of diesel engines. A further 11,461,024 kWh. was purchased by public supply authorities from generating stations operated by industrial establishments and fed into the supply system, making a total of 4,029,490,684 kWh. available for distribution.

Construction work on new generating stations was delayed by shortages of labour and materials both during the war and in the years following it, so that the quantity of power available was for a period of several years not sufficient to satisfy the growing demand. Various restrictions on the use of power were found necessary from 1941 until late in 1952, when the supply was increased by the addition of Maraetai to the chain of Waikato stations, and most of these restrictions were removed. Although it was not, until recently, sufficient to meet the full demand, the supply has, nevertheless, been much more than doubled since 1939.

It should be noted that the table which follows does not purport to show total generation or consumption, but refers to the quantity of electricity fed into the retail distribution systems of those supply authorities which are connected to the transmission system of the State Hydro-electric Department, representing 98 per cent of the total distribution. As it is measured at the point of supply to these distributing authorities, it excludes transmission losses from the generating station to this point. Index numbers are on base 1939 (=100).

Year Ended 31 MarchNorth IslandSouth IslandNew Zealand
Total QuantityDaily AverageIndex No.Total QuantityDaily AverageIndex No.Total QuantityDaily AverageIndex No.
 (000)kWh. (000)kWh. (000)kWh.  
19441,315,6603,595154518,0961,5101551,833,7565,105155
19451,354,1393,716159553,5631,6101661,907,7025,326161
19461,407,1803,852165631,4011,7311782,038,5815,585169
19471,458,9864,001172701,7101,9181982,160,6965,919179
19481,507,3334,118177702,9901,9211982,210,3236,040183
19491,664,4554,554195784,2662,1442212,448,7216,698203
19501,750,8754,796206859,2812,3522422,610,1567,147216
19511,765,1274,835207887,7472,4342512,652,8747,270220
19522,016,6085,512236952,7462,6042682,969,3548,116246
19532,085,9965,7192451,005,4722,7622843,091,4688,481257
19542,405,7666,5912831,084,1382,9703063,489,9049,561289

LEGISLATIVE BACKGROUND.—The earliest legislation concerning the supply of electricity for public use was contained in the Counties Act and Municipal Corporations Act of 1886, which authorized such local bodies to arrange for the supply of electric power in their areas. In 1896 the passing of the Electric Motive Power Act marked the beginning of the State's connection with hydro electricity, by authorizing inquiries into the feasibility of using waterways to supply motive power on the goldfields, but did not actually commit the Government to anything more than inquiries. The Water Power Act 1903 carried matters further and reserved to the Crown, with the exception of certain rights already acquired, the sole right to generate electricity by water power. Finally, in 1910, the Aid to Water Power Works Act authorized the Government to borrow £500,000 for the purpose of hydro-electric development, and the first project was commenced at Lake Coleridge in the following year.

The provisions of these earlier Acts were consolidated in 1928 in the Public Works Act, placing all hydro-electric development under the control of the Public Works Department, and authorizing that Department, in certain circumstances, to delegate the right to use water power for the generation of electricity. Amended regulations concerning delegation of this right were published in 1934, and in 1945 the Electricity Act was passed, creating the State Hydro-electric Department which under this Act took over the control of hydro-electric development previously exercised by the Public Works Department.

EARLY DEVELOPMENT.—In 1887 the first public electric supply plant to operate in New Zealand commenced supplying the gold-mining town of Reefton, in Westland (it is understood that a private plant had been installed by the Phoenix Quartz Mining Co., near Skippers, in 1885). The plant, which was driven by the waters of the Inangahua River, consisted of a 20 kW. dynamo, and supplied power to the residents; presumably for domestic lighting. This was followed in 1888 by the installation of a generating plant in Wellington for street lighting, this consisting at the time of five hundred 20-candlepower lights. This plant was extended in 1892, and supply was then given to private consumers. Stratford, in Taranaki, was next, with a hydro-electric plant set up in 1898, and in 1902 both Christchurch and Dunedin were preparing plans and specifications for hydro-electric schemes. Auckland's first power station, a steam plant, commenced supply in 1908.

DEVELOPMENT OF WATER POWER: North Island.—The Waihi Gold Mining Company, Limited, constructed the first large hydro-electric scheme at Horahora, which supplied power for the operation of a quartz battery at Waikino and the mine at Waihi, supply commencing in 1913. This station was purchased by the Government in 1919, and its capacity of 6,300 kW. was increased to 10,300 kW. in 1925, work being commenced on the Arapuni Station (also on the Waikato River) at about the same time. These two stations were linked when Arapuni came into operation (with one unit) in 1929, but Arapuni was closed down between 1930 and 1932 as a result of damage caused by an earth movement. By 1946 Arapuni had eight units operating, while construction work was in progress at Karapiro (commenced 1940) and Maraetai (commenced 1945). Karapiro station came into operation in 1947–48 with three units, each of 30,000 kW., the Horahora station ceasing generation prior to its site being submerged by the newly-formed Karapiro lake. This artificial lake is 14 miles long and extends up river to Arapuni. Late in 1952 the Maraetai station was brought into operation with three units running at a capacity of 11,000 kW. each. Initially the units operated at half head of water, approximately 100 ft., where the spillway was completed and diversion tunnel plugged. As work progressed the head of water was increased in stages, and by the end of June 1953 the three machines were operating at nearly full head producing 108,000 kW. The fourth machine was commissioned in January 1954 and the fifth machine in May 1954, bringing Maraetai to its full rating of 180,000 kW.

These three stations, Arapuni, Karapiro, and Maraetai, are the first of ten stations envisaged for full development of the Waikato River. Much work has already been done at the next station, Whakamaru, preliminary work for construction has commenced on the site for Atiamuri, and other stations are planned at Waipapa, Ohakuri, Parariki, Aratiatia, and Huka Falls. The stations will make use of practically the whole fall of the Waikato River from Lake Taupo to Cambridge. This river constitutes the principal power source in the North Island, having, in its course of 200 miles from Lake Taupo, a total fall of 1,170 ft. and a final discharge of over 10,000 cusecs. The rate of flow from Lake Taupo is controlled by works constructed in 1941 to conserve the water previously lost in the heavy spring and summer run-off.

The Mangahao station, of 19,200 kW. capacity, was actually the first station constructed in the North Island by the Government. It is situated in the Tararua Ranges, and commenced supply to the surrounding area at the end of 1924.

After the Mangahao station was completed a commencement was made in 1926 on the development of the Waikaremoana scheme, which consists of three stations, Kaitawa, Tuai, and Piripaua. The first station completed, Tuai, commenced supply in 1929 with a capacity of 32,000 kW., increased in 1939 to 52,000 kW.; Piripaua station (40,000 kW.) was completed in 1943; and Kaitawa station (32,000 kW.) in 1948. The three stations are within a distance of five miles, and the power generated by each is collected and transmitted from Tuai, the centre station.

The Waikato, Mangahao, and Waikaremoana stations are linked and operate as one system. Connections also exist with all the larger non-Government generating stations (steam and hydro) and steam plants maintained by the Government. To transmit power for distribution from the new stations on the Waikato a 220,000 volt system is being added to the existing network of 110,000 and 50,000 volt transmission lines and interconnected substations. From Whakamaru collecting station, electricity is now transmitted over the first circuits to the new major substations at Otahuhu in the north and Bunnythorpe and Haywards in the south.

South Island.—The Lake Coleridge station was commenced in the year following the passing of the Aid to Water Power Works Act 1910 and completed in 1915. This was the first station wholly designed and constructed by the Government. Its initial capacity was 4,500 kW., but in 1930 this was increased to 34,500 kW. The next station, Waitaki, commenced in 1928, came into use in 1935 and with the commissioning of its fifth machine in March 1949 was developed to its originally designed capacity of 75,000 kW. This was later increased by the addition of two further units which came into operation in May and June 1954. With a total capacity of 105,000 kW. Waitaki is the largest station operating at present in the South Island. Further use of the Waitaki River at Black Jack's Point is envisaged, where a station of 320,000 kW. capacity is planned, called the Benmore scheme. Control works were built at Lakes Pukaki and Tekapo, to ensure an adequate water supply to Waitaki station during the winter, and a single unit of 25,200 kW. incorporated in the control works at Lake Tekapo was commissioned in May 1951. Another single unit, also of 25,200 kW., was installed in 1945 at Highbank to make use of the surplus water available in winter from the Rangitata irrigation race.

In 1936 the Government took over the Southland Electric Power Board's system, including the generating station at Lake Monowai, and in 1938 acquired from the Grey Electric Power Board the Arnold station at Kaimata.

Construction of the Cobb River station, with a capacity of 12,000 kW., was commenced by a private company, but the project was taken over and completed by the Government. Supply from this station, which is now being expanded in capacity to 32,000 kW., commenced in 1944.

The Roxburgh station now under construction on the Clutha River will Ultimately have a capacity of 320,000 kW.; investigation and access roading work was also carried on at Lake Rotoroa in connection with the proposed Braeburn scheme of about 60,000 kW. capacity. Further supply to the Nelson-Marlborough area after the Cobb scheme comes fully into operation is to be by 220 kV. transmission from Islington. The Government has recently announced that it will go ahead with the transmission line scheme instead of building Braeburn at present.

A grid system similar to that in the North Island was established in 1939, when the Lake Monowai, Arnold, Lake Coleridge, and Waitaki stations were linked. Work is now in progress on a link to connect Nelson and Marlborough with this network, which will then cover the whole South Island, and include Government standby plants and most local authority plants. A 220,000 volt line is being constructed from Roxburgh to a major substation at Islington. This will eventually bring the power from Roxburgh, the first section being required to take power from the Waitaki extensions.

Government Hydro-electric Stations.—The following table covers all Government hydro-electric plants in operation or for which contracts for machinery have been let, and shows the installed capacity at 30 June 1954 and ultimate installed capacity, together with the static head.

Name of StationInstalled Capacity at 30 June 1954Ultimate Instilled CapacityStatic Head (Feet)
Number of UnitskW.kVA.Number of UnitskW.kVA.

* Under construction.

Arapuni8157,800180,0008157,800180,000175
Karapiro390,000100,000390,000100,000100
Maraetai5180,000200,0005180,000200,000200
Whakamaru*......4100,000111,100124
Atiamuri*......363,00070,20082
Mangahao519,20024,000519,20024,000896
Waikaremoana—       
Kaitawa232,00038,000232,00038,000443
Tuai352,00062,200352,00062,200676
Piripaua240,00044,400240,00044,400370
Cobb River412,00015,000632,00037,2201,876
Arnold23,0603,60023,0603,60042
Lake Coleridge934,50040,640934,50040,640490
Highbank125,20028,000125,20028,000330
Waitaki7105,000116,6657105,000116,66570
Lake Tekapo125,20028,000125,20028,00080–105
Roxburgh*......8320,000355,555150
Lake Monowai36,0007,05036,0007,050154

GEOTHERMAL STEAM.—Investigations are being made at Wairakei into the possibility of using geothermal steam for the generation of electricity. Some thirty bores which are 4, 6, or 8 inches in diameter have been drilled to depths varying between 570 ft. and 3,200 ft. With closed bores, well-head pressures vary between 430 and 100 lbs. per square inch. High pressure high-temperature valves are required to control the output from the bores. The quantity of steam discharged from the bores varies considerably, and a large quantity of water is ejected with the steam. The steam contains a trace of gas, mostly carbon dioxide; and in the water about three parts in a thousand are dissolved solids. From what is known there is nothing in the chemical content of the steam to prevent its use for power generation. Proposals are being prepared for initial development with the establishment of a generating station of approximately 40,000 kW. capacity, and the Government has engaged the services of a consulting engineer to assist with the proposals. A company known as Geothermal Development Ltd., consisting of New Zealand and United Kingdom interests, has been formed to develop the project, which embraces not only the production of electricity but also heavy water for use as a moderator in atomic reactors.

ELECTRIC-POWER BOARDS.—The Counties Act and Municipal Corporations Act passed in 1886 empowered county authorities and municipal corporations to arrange for the supply of electricity in the areas under their control, and until 1918 no provision was made for the constitution of bodies to attend solely to electric supply matters. The authority given to counties was more limited than that given to municipalities, and as their districts were comparatively sparsely settled they were unable, for financial reasons, to provide the same electrical facilities as those enjoyed by the towns. It was estimated by the Public Works Department that in March 1919 about 90 per cent of the people using electricity lived in the cities and larger boroughs, while probably less than 1 per cent lived in country areas. To enable the country districts to be supplied with electricity it was evident that some other form of administration was necessary, and the Electric Power Boards Act 1918 was designed to cope with this problem. The Act permitted two or more districts to combine as an electric-power district, and to establish a Board for the purpose of dealing exclusively with electric supply matters within the new district. Electric Power Boards consist of members representing the constituent districts, and possess rating powers. Previous legislation was consolidated and amended in the Electric Power Boards Act 1925 and subsequent amendments.

While this development made power available to more people outside the towns, the supply to remote areas still presented difficulties because of the high cost of reticulation in comparison with the revenue from power sold. It was later agreed by the supply authorities that a council should be set up with power to make a levy of ¼ per cent on the gross revenue of all supply authorities and Government owned electrical undertakings and to employ these funds in the form of subsidies to meet the cost of reticulation in remote areas. The Rural Reticulation Council was set up under the Electricity Act 1945, and up to 31 March 1954 had approved subsidies on 2,810 route-miles of line, to supply some 4,900 consumers. At this date 1,823 miles of line were completed and 3,358 consumers connected. The total capital expenditure is estimated to be £1,763,223, and the annual subsidy approved amounts to £79,404.

The average capital cost of reticulation by Power Boards prior to the passing of the Act was £60 per consumer, this reticulation excluding sparsely populated areas in which unreasonably large guarantees would be required. The extension of supply to these sparsely populated areas, as approved by the Rural Electrical Reticulation Council, is now being carried out at an average cost of £315 per consumer.

An Act of 1930 established an Association of Electric Power Boards and other electric supply authorities under the title of the Electric Power Boards and Supply Authorities Association of New Zealand, this title being changed by the Statutes Amendment Act 1951 to the Electrical Supply Authorities Association of New Zealand. The licensed areas under the control of the Boards and other authorities on 31 March 1954 covered an area of approximately 82,800 square miles, with a population of 2,061,510 people, amounting to 98.7 per cent of the total population of New Zealand.

Of the forty-four Electric Power Boards in existence at 31 March 1954 one was not actively functioning, fifteen operated generating stations as well as distributing power, and the remaining twenty-eight distributed power purchased in bulk, mainly from Government stations. Only two Boards generated sufficient power to meet fully their entire needs; the other thirteen which operated generating stations purchased most of the power distributed by them.

REVIEW OF OPERATIONS: Government Establishments.—The following table gives details of the operations of Government establishments generating and distributing electricity during the years 1951–52, 1952–53, and 1953–54.

Year Ended 31 March
195219531954
EstablishmentsNo.141515
Persons engagedNo.1,7281,8301,881
Salaries and wages paid£1,041,2841,157,6391,288,763
ConsumersNo.22,37823,39524,581
Prime movers—    
Hydrob.h.p.801,900956,9001,008,900
Thermob.h.p.95,67095,67081,670
    Totalsb.h.p.897,5701,052,5701,090,570
Generators (capacity)—    
Main A.C.kW.571,960656,960715,960
 kVA.654,223748,667814,223
Standby A.C.kW.64,91064,91057,110
 kVA.80,92680,92671,437
    TotalskW.636,870721,870773,070
Revenue—Sales of power—    
Retail£474,204513,979718,000
Bulk and interchange£4,092,6594,262,4377,200,201
Other£64,93461,86772,276
      Total revenue£4,631,7974,838,2837,990,477
Expenditure—    
Power purchased (including interchange)£290,371397,713347,053
Generating costs£1,261,7411,650,797982,420
Transmission and distribution costs£591,996585,929681,231
Management and general 494,028530,649655,771
Capital charges£2,156,2332,574,7913,633,210
      Total expenditure£4,794,3695,739,8796,299,685
Capital outlay—    
      Total expenditure to date£69,888,78383,905,67598,191,998
Expenditure during year£9,850,48714,016,89214,286,323
Generation—    
Hydro(000) kWh.3,039,6983,081,9383,686,506
Steam engines(000) kWh.166,175205,56963,040
Diesel engines(000) kWh.6,0217,2256,061
    Totals(000) kWh.3,211,8943,294,7323,755,608
Generation per head of mean populationKWh.1,7441,6401,822
Retail sales(000) kWh.134,342134,320148,237

Electric Power Boards.—This table gives similar information concerning generation and distribution by Electric Power Boards.

Year Ended 31 March
195219531954

* Revised figure.

EstablishmentsNo.434343
Persons engagedNo.2,2332,2202,325
Salaries and wages paid£1,299,4941,373,5721,572,261
ConsumersNo.371,595*388,566407,399
Prime movers—    
Hydrob.h.p.20,02621,22625,050
Thermob.h.p.5,6275,4225,102
    Totalsb.h.p.25,65326,64830,152
Generators (capacity)—    
Main A.C.kW.10,00410,78013,780
 KVA.11,97812,73816,071
Standby D.C.kW.215215 
A.C.kW.7,1116,9636,963
 KVA.8,9328,7478,747
    TotalskW.17,33017,95820,743
Revenue—Sales of power—    
Retail£6,314,4036,812,7549,695,317
Bulk and interchange£297,580309,425506,139
Other (including rates)£199,524228,432285,158
      Total revenue£6,811,5077,350,61110,486,614
Expenditure—    
Power purchased (including interchange)£2,979,4543,109,6575,302,121
Generating costs£58,04671,98560,072
Transmission and distribution costs£1,014,7181,074,4421,307,455
Management and general£734,191802,656935,654
Capital charges£1,465,9191,625,9841,854,698
      Total expenditure£6,252,3286,684,7249,460,000
Capital outlay—    
      Total expenditure to date£26,384,82228,909,71631,965,827
Expenditure during year£2,027,5212,565,8653,053,805
Generation—    
Hydro(000) kWh.67,28770,78279,158
Steam engines(000) kWh.   
Diesel engines(000) kWh.2,6703,2952,268
    Totals(000) kWh.69,95774,07781,425
Generation per head of mean populationkWh.383740
Retail sales(000) kWh.1,657,0891,737,3692,007,934

All Establishments.—The next table sets out the same information in respect of all establishments engaged in the generation and distribution of power. These consisted at 31 March 1954 of fifteen Government owned establishments, three limited liability companies, forty-three Electric Power Boards, ten City Councils, twenty Borough Councils, four County Councils, and two Town Boards.

Year Ended 31 March
195219531954

* Revised figure.

EstablishmentsNo.959797
Persons engagedNo.5,1075,1975,400
Salaries and wages paid£2,992,5333,213,2433,652,807
ConsumersNo.603,578*626,151*651,442
Prime movers—    
Hydrob.h.p.879,6471,035,9821,093,526
Thermob.h.p.114,155113,77097,750
    Totalsb.h.p.993,8021,149,7521,191,276
Generators (capacity)—    
Main D.C.kW.4616646
A.C.kW.616,035701,907764,811
 kVA.708,658803,978873,747
Standby D.C.kW.1,2251,225150
A.C.kW.83,92883,48475,600
 kVA.104,103103,79594,233
    TotalskW.701,234786,782840,607
Revenue—Sales of power—    
Retail£9,882,70710,581,64214,885,061
Bulk and interchange£4,435,6874,621,9217,733,980
Other (including rates)£529,741562,942543,435
      Total revenue£14,848,13515,766,50523,162,476
Expenditure—    
Power purchased (including interchange)£4,698,5334,951,6728,003,036
Generating costs£1,520,5801,960,3421,203,261
Transmission and distribution costs£2,145,1312,264,5912,739,083
Management and general£1,521,1981,655,2621,944,965
Capital charges£4,141,9564,936,8236,160,870
      Total expenditure£14,027,39815,768,69020,051,215
Capital outlay—    
      Total expenditure to date£107,177,432124,706,812143,132,792
Expenditure during year£12,620,51117,772,18718,422,409
Generation—    
Hydro(000) kWh.3,264,6763,334,4383,940,601
Steam engines(000) kWh.169,933210,37968,327
Diesel or petrol engines(000) kWh.21,15023,9339,101
    Totals(000) kWh.3,455,7593,568,7494,018,030
Generation per head of mean populationkWh.1,8771,7761,949
Retail sales(000) kWh.2,732,8402,841,4573,227,879

Employment.—The foregoing table includes only those employees whose salaries and wages are paid directly out of revenue from the sale of electric power. Further details concerning the number of these employees and the salaries and wages paid to them are given in the following table covering the year ended 31 March 1954.

Persons EngagedSalaries and Wages Paid
MalesFemalesTotalsTo MalesTo FemalesTotals
 No.No.No.£££
Secretaries, managers, engineers226..226261,703..261,703
Clerical staff9055391,444627,549201,143828,692
Wage-earning employees3,695353,7302,546,73915,6732,562,412
    Totals4,8265745,4003,435,991216,8163,652,807

Capital Outlay.—The following figures of capital expenditure during 1953–54, and of capital outlay to 31 March 1954, include capital invested in trading departments and in other activities.

Class of ExpenditureExpenditure During Year Ended 31 March 1954Total Capital Outlay to 31 March 1954
 ££
Land in connection with power house254,5042,250,676
Headworks, pipe lines, etc.5,517,57539,634,194
Power-house buildings, cottages, etc.1,324,1556,996,347
Generating plant1,962,19510,214,109
Special standby plantCr.87,7531,519,896
Main transmission line and main substations4,889,57035,855,183
Distribution system, substations, land, cottages, etc.2,565,69726,276,487
Public (street) lighting34,989654,585
Office and store buildings, workshops, garages, houses, and service buildings429,5963,626,875
Loose tools, meters, instruments, furniture, trucks, motor cars, equipment, and stocks504,3226,040,392
Interest during construction870,1916,646,794
Loan conversion premiumsCr.54255,627
Miscellaneous (work under construction, cost of raising loans, law costs, etc., and other capital expenditure)157,9103,361,627
      Total capital outlay18,422,409143,132,792
Capital cash on hand and investments of capital..967,954
Capital funds used to finance advances to consumers and trading departments..171,058
      Total capital assets..144,271,804

Additions to the capital value of all electrical systems during 1953–54 totalled £18,768,250, while deductions—i.e., sales and amounts written off—amounted to £345,841. The previous table shows for each item the net expenditure only during the year.

Of the total capital additions of £18,768,250 during 1953–54, £14,301,256 was contributed by the Government, £3,211,341 by Electric Power Boards, £1,246,631 by other local authorities, and £9,022 by companies. The chief items of Government expenditure were: additions to generation system, £8,614,376; transmission system, £4,304,414; distribution system, £110,533.

Local-authority expenditure during 1953–54 included £448,508 on generation systems, £632,658 on transmission systems, and £2,511,997 on distribution systems.

Capital Receipts.—The various sources for the capital expenditure shown in the previous table are summarized in the following table.

      Total loans raised—££
Loan liability at 31 March 1954109,659,290 
Reserve created by loan repayments to date20,191,463129,850,753
Appropriations from revenue 13,903,728
Other capital reserves—i.e., capital profits and accretions 84,825
Temporary advances, capital creditors, etc. 432,498
      Total capital receipts £144,271,804

Where assets have been scrapped or written down, and the capital expenditure thereby reduced, corresponding amounts have been written off the appropriate capital reserves—i.e., reserves created by loan repayments and the capital expenditure out of revenue.

General Balance Sheet.—The following table summarizes the general assets and liabilities—i.e., capital items are excluded—as at 31 March 1954, in addition to setting out the reserves and invested funds.

Liabilities£
Sundry creditors4,173,900
Advances from capital for trading departments, etc.327,180
Reserves—£ 
Sinking fund reserve1,816,569 
Depreciation reserve6,316,598 
Renewal fund reserve1,394,034 
General reserve888,461 
Other reserves901,668 
  11,317,330
Credit balance, net revenue accounts2,872,155
    Total£18,690,565
Assets£
Trading department assets, stocks etc.4,707,222
Cash, debtors, and other current assets8,425,333
Invested reserve funds—£ 
Sinking funds1,717,769 
Depreciation funds1,686,949 
Renewal funds1,189,080 
Other reserve funds964,212 
  5,558,010
    Total £18,690,565

Power Plant.—Particulars relating to the power plant in use during the year ended 31 March 1954 are set out hereunder.

Source of PowerMain PlantStandby PlantTotals
 No.b.h.p.No.b.h.p.No.b.h.p.
Steam engines....1376,0941376,094
Water turbines961,080,2332913,2931251,093,526
Oil engines67262820,9303421,656

Power.—The following table sets out the number of units generated and their disposal, the second and third columns comprising power sold in bulk by one authority (in most cases the State Hydroelectric Department) and purchased by another (e.g., an Electric Power Board). The excess of bulk purchases over bulk sales represents the surplus generation of certain freezing works, collieries, etc., which is bought in by supply authorities, usually through the State Hydro-electric Department. This supply, generated by other than public supply authorities, finds no place in either of the first two columns of the table.

Year Ended 31 MarchKilowatt-hours
GeneratedSold in BulkPurchased in BulkNet TotalsSold (Retail)Lost in Transmission, etc.*

* Includes power supplied free of charge amounting to 44,076 thousand kWh. in 1953–54.

Thousand kWh.
19503,030,2702,621,4212,626,9223,035,7712,403,798631,973
19513,085,0222,691,3662,703,0403,096,6962,446,572650,124
19523,455,7593,020,8563,027,3993,462,3022,732,840729,462
19533,568,7493,128,5453,138,8223,579,0262,841,457737,569
19544,018,0303,533,9113,545,3724,029,4913,227,879801,611

Analysis of Units Retailed.—The following table gives a classification of power retailed according to the various purposes for which it was sold. In this table “Domestic" includes domestic water-heating units, and “Commercial" both commercial and dairy water-heating units.

Year Ended 31 MarchSales (Kilowatt-hours)
DomesticCommercial and IndustrialStreet LightingTramwaysElectric RailwaysOther PurposesTotal
Thousand kWh.
19501,376,138939,16914,25349,71916,6487,8712,403,798
19511,398,342961,89913,99448,03516,5967,7062,446,572
19521,611,8341,037,22915,29145,26616,4856,7352,732,840
19531,691,6661,065,46816,37944,34816,8336,7632,841,457
19541,946,2631,199,20420,45737,34817,1027,5043,227,879

The following diagram portrays the growth in the use of electric power since 1930–31, and shows also the principal purposes for which it was employed.

Revenue.—Revenue is derived chiefly from the sale of power, and in 1953–54 this source was responsible for 96.5 per cent of the total. The following table sets out the revenue of all stations for the years 1949–50 to 1953–54.

Year Ended 31 MarchSale of Power (Retail)Profits, Sale of ApparatusMiscellaneousInterestRatesTotals*

* Excluding revenue from interchange of power.

 ££££££
19508,431,22176,812120,3319,6773,0008,641,041
19518,751,26785,620131,14913,2712,8938,984,200
19529,882,70776,996219,67215,5191,84610,196,740
195310,581,64299,685454,4428,16864711,144,584
195414,885,061113,233425,6427,19010615,431,232

Expenditure.—Of the total expenditure of £12,126,089 (excluding cost of interchange of power in bulk) recorded in the year ended 31 March 1954, 66.8 per cent represented overhead costs (comprising management expenses and capital charges), while operating expenses or prime costs stood at 33.2 per cent.

Power may be sold more than once in bulk before reaching the retailing authority, and in these tables the revenue from such interchange of power between authorities is set off against the cost, the net figure for cost of power purchased representing the cost to the industry of purchases from outside sources. In this connection mention may be made of certain contracts existing between the Government and some local authorities, whereby the latter are required to maintain their standby plants and to operate them, whenever called upon, to supplement the State hydro-electric supply. The units so generated, often by fuel plants, are purchased by the Government and resold, in most cases to the generating authority, for distribution.

The table following gives an analysis of expenditure.

Year Ended 31 MarchItem
1951195219531954

* Does not include the interchange of power between supply authorities.

Operating Expenditure
 ££££
Cost of power purchased*79,59332,71292,58377,911
Cost of generation425,326396,110393,125406,173
Fuel821,7411,023,8471,147,350406,335
Stores9,5132,2902,3072,552
Repairs94,57025,584319,747117,716
Standby plant77,13772,74997,813270,485
Cost of transmission457,565614,334659,932767,956
Cost of distribution1,314,7041,486,6691,553,7361,899,433
Public (street) lighting38,75644,12850,92371,693
    Totals3,318,9053,698,4234,317,5164,020,254
Miscellaneous Expenditure
 ££££
Cost of management1,172,3511,357,5521,407,2941,638,103
Insurance55,23858,10968,99675,322
Losses from trading8,3123,4395,7589,279
Other expenditure87,811102,098173,214222,261
    Totals1,323,7121,521,1981,655,2621,944,965
Capital Charges
 ££££
Interest1,761,6791,974,2262,348,4062,906,971
Sinking fund734,809746,493828,304893,044
Renewals187,904220,617276,787370,142
Depreciation580,446627,901827,4261,264,487
Loan repayment494,686572,361655,857726,198
Exchange423584328
    Totals3,759,5664,141,9564,936,8236,160,870
Grand totals8,402,1839,361,57710,909,60112,126,089

The distribution of the expenditure per unit sold retail is given hereunder.

Year Ended 31 March
1951195219531954
 d.d.d.d.
Operating expenses0.3250.3250.3640.299
Miscellaneous expenses0.1300.1330.1400.145
Capital charges0.3690.3640.4170.458
    Totals0.8240.8220.9210.902

26 B—GAS: GENERATION AND SUPPLY

HISTORY AND DEVELOPMENT.—The gas industry was amongst the first of industrial enterprises founded in New Zealand, and the earliest statistical records of industry showed that in 1867 there were already three, gasworks in operation. These had been supplying gas for several years to the citizens of Auckland, Christchurch, and Dunedin, and in 1869 a further works commenced at Wellington. The first gasworks was erected in the year 1862 at Auckland when the European population of that town was about 25,000, and the total European population of New Zealand was only some 100,000 persons; the Christchurch and Dunedin works commenced supply in 1863; so that with the addition of the Wellington establishment there was in 1869 a gasworks in each of the four main centres. Subsequent growth of the industry was rapid, and the statistics for the year 1916 record that there were in that year 56 establishments engaged in generation and supply of gas to the public. This was the peak year so far as the number of establishments is concerned and growth to this point can be traced in the following table, which shows the approximate date on which each new works commenced operations.

NUMBER OF NEW GASWORKS ESTABLISHED

PeriodNumber
1860–695
1870–7915
1880–893
1890–995
1900–0917
1910–1611
    Total56

Since this date the number of works in use has declined steadily, although the output of gas actually increased for the next thirty years and a much larger number of consumers is supplied now than in the year 1916. Plants in the larger towns and cities have been able to carry on successfully, but the works serving smaller towns have found it increasingly hard to meet competition with electricity and rising costs, so much so that a number have either sold out or closed down, leaving forty works still operating in 1954.

Electricity first came into general use for lighting; it gradually supplanted gas for this purpose from 1919 onwards, and, as new appliances were introduced, continued successfully to compete with gas in heating and cooking. This drift away from gas was arrested by the shortages of electricity caused by the disruption of hydro-electric construction during and after the Second World War, and the consequent restrictions on the installation of new electrical appliances or the use of power in appliances already installed. Unfortunately, conditions created by the war also rendered it impossible for the gas industry to supply enough gas to compensate for this shortage, or even to maintain the normal supply. Labour was short, coal supplies uncertain, and plant was losing efficiency because necessary equipment could not be imported for maintenance and renewal work, so that gas was also rationed at times, or completely shut off. A further set-back was experienced in 1951, when as a result of industrial disturbances coal supplies ceased, or only inferior coal, unsuitable for gas-making, was obtainable for a period of several months.

As a part of the general stabilization policy during the war, the Government instituted a system of subsidies to gasworks to enable them to meet rising costs without unduly increasing the price of gas to the consumer. These subsidies were paid from 1943 onwards to individual works as required, each case being considered separately. Subsidies paid between 1943 and 1950 amounted to £393,965, this total being spread over the years as shown below.

YearValue of Subsidy
 £
1943–447,000
1944–4537,151
1945–4670,517
1946–4777,417
1947–4890,081
1948–4987,114
1949–5024,685

Further amounts were paid indirectly by way of subsidies on gas-coal production and sea freights, but such amounts in relation to this industry cannot be ascertained.

All these subsidies were withdrawn in 1950, the price of gas to consumers being raised to meet the additional cost of gas-making consequent on this withdrawal. Further increases in operating costs, wages, and coal prices in 1951 led to a restoration of subsidies to the gas industry in the form of a subsidy to all gasworks of 2s. per thousand cubic feet of gas generated. Financial assistance in the form of loans was also offered to works for the purpose of carrying out work necessary to restore the efficiency of gas-making and storage plant, and it was considered that at the end of two years the industry would be in a strong enough position for the subsidy to be withdrawn. This has not proved to be the case, and the subsidy is still in force. Increases in the price of gas in the four main centres during the period 1910–11 to 1953–54 are shown in the following table.

PRICE OF GAS PER THOUSAND CUBIC FEET

YearAucklandWellingtonChristchurchDunedin
 s.d.s.d.s.d.s.d.
1910–11445455410
1929–30706117063
1939–40726165511
1949–508106106962
1953–541231029990

Prior to the year 1918–19 statistical information concerning gasworks was collected in conjunction with the population census at five-yearly intervals, but since that date information has been supplied annually. The very early returns naturally did not give much detailed information, but that which is available since 1867 is given in the following historical table which shows certain main items, generally at five-yearly intervals, up to the present time.

STATISTICAL SUMMARY, 1867–1954

YearWorks in OperationPersons Engaged*Value of Land and BuildingsValue of Machinery and PlantGas Produced

* Excludes administrative and distributing staff up to 1915–16. A comparable total for 1920–21 was 966 persons.

     Cub. ft.
 No.No.£(000)£(000)(000,000)
18673........
18748........
187812145......
1880–8117188178314247
1885–8620344208448403
1890–9127249111619427
1895–9627293121646532
1900–0130572154817787
1905–06389542681,1071,275
1910–11487573267532,075
1915–16565983511,0312,776
1920–21501,8565932,6963,401
1925–26482,0535543,7203,870
1930–31461,7786194,4124,230
1935–36461,7796543,7153,885
1940–41441,8736253,4894,480
1945–46441,8305123,4845,241
1950–51441,7115504,2645,446
1953–54401,6366154,5025,238

LEGISLATIVE AUTHORITY.—Most of the gasworks which commenced operations in the early years of New Zealand's industrial history were granted individual charters, which defined their rights and obligations in relation to the general public. In 1882, however, an Act known as the Gas Companies' and Consumers' Liability Act was passed which superseded these charters and defined this legal relationship between all gas companies and their customers, or intending customers. Local bodies were authorized to acquire or set up gasworks and sell gas by various Acts which were consolidated in the Municipal Corporations Act 1933, while the actual conditions governing the sale of gas, first stated in the 1882 Act, were consolidated in 1908 in the Gas Supply Act. This latter Act requires, amongst other things, that a gas undertaking should give, and continue to give, if required, a supply of gas to any premises situated within one hundred yards of a gas main or connected to a gas main, the gas supplier to bear the cost of not more than fifty feet of any service-pipe laid for this purpose outside the property of the consumer; authorizes the supplier to require security and fixes the manner in which security should be given; fixes the liability of an incoming tenant for arrears of gas-rent; and empowers gas companies to erect gasometers and lay and service gas mains.

The Board of Trade (Gas) Regulations 1924 and amendments set standards of calorific value, purity, and pressure of gas which are required to be observed by scheduled gas undertakings.

The Electric Power Boards Act 1952 authorizes an Electric Power Board to acquire a gasworks and either operate it in conjunction with the supply of electricity or close it down, according to circumstances. This is designed to meet cases where it is no longer economical to operate the gasworks on its own but where it could perhaps be kept going as an adjunct of the electricity supply. The Power Board is relieved of the provision of the Gas Supply Act concerning the continued giving of gas, but consumers have a right of appeal to a Magistrate if the gasworks is closed down.

RECENT STATISTICS.—Statistics for the years 1951–52 to 1953–54 are set out in the table which follows, but certain limitations in the details given for the individual year 1951–52 should be noted. The statistics quoted for this year refer to the actual generation and supply of gas, and exclude all other activities (sale of appliances, etc.). These figures are therefore not comparable in all respects with those of other years, the value of assets, number of employees, salaries and wages paid, other expenses, total revenue, and total expenditure being understated in this year to the extent of such other activities.

1951-521952–531953–54
WorksNo.424140
Value of land and buildings£590,887590,282615,458
Value of plant (generating and distributing)£4,396,9064,401,0454,502,070
Persons engagedNo.1,3171,6421,636
Salaries and wages paid£778,8691,011,2011,069,370
Coal used—    
QuantityTons266,152289,367278,523
Cost£1,416,5751,605,6361,588,970
Cost of purifying and other materials£56,01149,40655,723
Other expenses (other than salaries and wages and materials)£388,857650,918602,859
      Total expenditure£2,640,3123,317,1613,316,922
      Total revenue£2,738,3593,356,5693,386,616
ConsumersNo.200,603197,993194,758
Gas generatedCub. ft. (000)4,830,4715,281,5775,238,041
Gas sold—    
QuantityCub. ft. (000)4,007,2824,327,1494,296,710
Value£2,192,4342,499,9282,526,239
Average price of gas per thousand cubic feet10s.  11d.11s.  7d.11s.  9d.

A further analysis of the 1953–54 statistics is given below, these being dissected by locality of gasworks (North and South Island) and character of organization. It will be seen that 70.8 per cent of the total quantity of gas was generated in the North Island and 29.2 per cent in the South Island, while proportions generated by registered companies and municipal authorities were 71.4 per cent and 28.6 per cent respectively.

Registered CompaniesMunicipal AuthoritiesTotal

* Depreciated values.

† Undepreciated. Depreciation funds amount to £40,815.

* Depreciated values.

† Undepreciated. Depreciation funds amount to £292,013.

North Island
WorksNo.121325
Value of land and buildings£231,039*162,982394,021
Value of machinery and plant£1,980,031*1,024,3803,004,411
Capital additions during year—    
Land and buildings£7,47225,08832,560
Machinery and plant£74,022110,070184,092
Persons engaged—    
MalesNo.8212421,063
FemalesNo.441054
    TotalsNo.8652521,117
Salaries and wages paid—    
To males£524,382172,329696,711
To females£17,5442,80020,344
    Totals£541,926175,129717,055
Motive power—    
Engines in useNo.172102274
      Total horse-powerH.p.3,1225293,651
Materials used—    
CoalTons136,16246,268182,430
 £807,479293,4131,100,892
Other materials£26,62616,16042,786
    Totals£834,105309,5731,143,678
Products—    
Gas generatedCub. ft. (million)2,9227843,706
Gas soldCub. ft. (million)2,3456112,956
 £1,371,962440,1451,812,107
CokeTons34,3289,24543,573
 £230,93379,524310,457
TarGal.1,201,173414,3221,615,495
 £124,42436,788161,212
Other residuals£24,1486,85231,000
    Totals£1,751,467563,3092,314,776
    Total expenditure£1,695,641602,4912,298,132
    Total revenue£1,778,125575,8422,353,967
South Island
WorksNo.10515
Value of land and buildings£104,109*117,328221,437
Value of machinery and plant£486,673*1,010,9861,497,659
Capital additions during year—    
Land and buildings£283,1363,164
Machinery' and plant£45,02123,53968,560
Persons engaged—    
MalesNo.253231484
FemalesNo.251035
    TotalsNo.278241519
Salaries and wages paid—    
To males£191,275149,183340,458
To females£8,3123,54511,857
    Totals£199,587152,728352,315
Motive power—    
Engines in useNo.87111198
    Total horse-powerH.p.1,0327361,768
Materials used—    
CoalTons55,25340,84096,093
 £275,058213,020488,078
Other materials£1,38611,55112,937
    Totals£276,444224,571501,015
Products—    
Gas generatedCub. ft. (million)8187131,532
Gas soldCub. ft. (million)7406011,341
 £382,163331,969714,132
CokeTons19,54811,55131,099
 £137,01568,059205,074
TarGal.777,679425,5911,203,270
 £41,12528,43769,562
Other residuals£9,2205,07814,298
    Totals£569,523433,5431,003,066
    Total expenditure£537,294481,4961,018,790
    Total revenue£584,924447,7251,032,649

Chapter 27. SECTION 27—CONSUMPTION OF COMMODITIES

Table of Contents

STATISTICS of consumption cannot be compiled with absolute accuracy, owing to the impossibility of obtaining exact comparability in component statistics of production, exports, and imports. There are several deficiencies in the statistical data at present available, the most serious being occasioned by the lack of statistics illustrating the distribution among individuals of the annual flow of commodities entering into consumption. Nevertheless, a sufficient degree of comparability can normally be attained to permit of the compilation of statistics of consumption with a reasonable approach to accuracy.

VALUE OF GOODS AVAILABLE FOR USE.—Statistics of the value of production, of exports, and of imports have been compiled regularly for many years. From these statistics an estimate of the annual value of goods, including both capital and consumption goods, available for use in New Zealand can be made, the value of exports being deducted from that of production, and the value of imports added to the residuum. The result of this computation gives a close approach to the value of all goods available for use in the country. The estimates were recently revised as a result of the revision in the value of production estimates.

Various additional factors have had to be taken into account in preparing estimates covering the war period and quoted in the tables. In some cases rather arbitrary figures have had to be accepted for adjustment purposes. The following descriptive notes under the respective headings will serve to indicate the scope of these estimates.

Production.—The series of value and volume of production figures as quoted in Section 19 of this Year-Book form the basis of the tables which follow. The figures relate to the production year, which, in most cases, approximates closely to the year ended 30 June.

Exports.—The official export figures (f.o.b.) for the years ended 30 June have been adjusted to exclude charges incurred between the stages of production and export.

Goods (normally exported) supplied under the reverse lend-lease procedure, shipments by the Armed Services, and Red Cross and food parcels for war and post-war years have all been treated as additional exports in the tables which follow.

Adjustments have been made for changes in stocks awaiting shipment, so that the export figures quoted in this Section represent the segment of production in any year exported, or ultimately destined for export.

The volume indices have been adjusted to make allowance for the above-mentioned inclusions.

Imports.—The official import figures (Customs values) for the years ended 30 June, excluding ordnance, have been adjusted to take into account additional freight and insurance charges above the nominal 10 per cent allowed in the official figures of imports.

Further adjustments have been made for the realization on certain war assets.

Unfortunately, detailed statistics of the volume of retail and wholesale merchandise stocks are not available, so that the figures illustrate goods available for use and not necessarily goods actually used during each of the years.

The following table gives the position in regard to value of goods, but care should be exercised in interpreting the table in view of the substantial upward trend in unit values that has taken place over the period covered by the table. Figures are given for the year 1938–39 and for each of the last ten years.

Year Ended 30 JuneProduced in New ZealandImportedAll Goods Available for Use in New Zealand
TotalExportedAvailable for Use in New ZealandTotalPer Head
TotalPer Head

* Provisional.

VALUES
 £(m.)£(m.)£(m.)££(m.)£(m.)£
1939133.358.075.346.659.1134.483.1
1945196.3112.683.750.056.1139.883.5
1946198.388.4109.963.665.3175.2101.3
1947228.0101.4126.671.297.9224.5126.2
1948265.7120.7145.079.8154.8299.8165.0
1949290.1120.9169.291.3116.5285.7154.2
1950343.8137.2206.6109.3149.4356.0188.3
1951469.0234.8234.2121.5174.8409.0212.2
1952429.8195.7234.1118.8293.3527.4267.6
1953479.4228.9250.5123.8208.2458.7226.8
1954*518.1226.8291.3140.5210.1501.4241.8
VALUE INDEX NUMBERS 1938–39 (= 100)
1939100100100100100100100
194514719411110795104100
1946149152146136110130122
1947171175168153166167152
1948199208193171262223199
1949218208225196197213186
1950258237274235253265227
1951352405311261296304255
1952322337311255496392322
1953360395333266352341273
1954*389391387302355373291

AGGREGATE VOLUME OF GOODS AVAILABLE FOR USE.—Index numbers of volume of total production, based in most cases on figures of actual physical production, and index numbers of volume of exports and of imports, form the basis on which figures indicating the volume of goods available for New Zealand use are estimated. Attention is drawn to the notes on adjustments, etc., applied under the various headings and explained under the preceding title. Quantitative figures of exports are readily available from the official statistics, and as the great bulk of the export trade is confined to a relatively small number of items it is a comparatively simple matter to compile an index number of volume for years ending with the month of June. Prior to the year ended 30 June 1946 a similar position did not hold in the case of imports, as they are far more diversified in nature, and full detail was not available for other than calendar years. Index numbers of volume of imports for calendar years are compiled, and by interpolating for shorter periods approximate indices for years ended 30 June have been obtained. Quarterly volume of imports index numbers available from 1949 have been readily aggregated into years ending 30 June. By the use of quantitative figures of production, exports, and imports, reasonably accurate figures of movements in volume may be ascertained, and figures arrived at indicating the volume of goods available for New Zealand use. The aggregate used in the process are based on unit values ruling in 1938–39.

Index numbers of volume covering similar years and for similar headings to those given in the earlier table are given below.

INDEX NUMBERS OF VOLUME OF GOODS: BASE 1938–39 (= 100)

Year Ended 30 JuneProduced in New ZealandImportedAll Goods Available for Use in New Zealand
TotalExportedAvailable for Use in New ZealandTotalPer Head
TotalPer Head

* Provisional.

1939100100100100100100100
19451141548683567371
1946112110112105629185
19471181121221118210596
1948123113131116117125111
1949130121136119100121106
1950137118150128122138118
1951141115159133129147123
1952144125158129181167137
1953147134156125125143115
1954*152126170133139157122

It should, perhaps, be emphasized that the table covers capital as well as consumer goods; consequently the headings “available for use in New Zealand” include not only commodities entering into current consumption, but also such items as additions to merchandise stocks, to factory plant and buildings, to farm capital stock, etc.

The low point, both in respect of total and per head volume of goods available for use, was recorded in 1931–32, the decreases from the 1928–29 levels amounting to 27 and 29 per cent respectively. The 1928–29 level of total volume of consumption was regained in 1935–36, while the per head level was regained in 1936–37.

In conjunction with the previous table, it is interesting to consider the proportions of New Zealand produced goods and of imported goods in the total quantum of goods entering into use. Over the period for which the break-up is available, locally produced goods supplied 64 per cent and imported goods 36 per cent of the total.

Comparisons in this respect for individual years are given hereunder.

YearLocally Produced Per CentImported Per Cent
1938–395842
1939–406733
1940–417228
1941–427426
1942–437327
1943–446634
1944–456832
1945–467129
1940–476733
1947–486139
1948–496535
1949–506337
1950–516337
1951–525545
1952–536337
1953–546337

While strict accuracy cannot be claimed for these figures—particularly in respect of single years—a definitely higher proportion of New Zealand produced goods in the total was apparent in the depression years and again from 1939–40 onward. The falling-off in the volume of imports during the depression years was considerably greater than that for locally produced goods used in New Zealand. The policy of import restriction introduced in December 1938, and the dictates of a war economy, were responsible for the relatively low proportion of imported goods to total goods available evident from 1939–40 onwards. The particularly high volume of imports in 1951–52 resulted in high figures both for the total volume of goods available for use and for imports as a proportion of this total.

CONSUMPTION OF NEW ZEALAND PRODUCE.—While the statistical data discussed in the foregoing pages afford an indication of movements in the aggregate value and volume of consumption, considerable interest attaches to the statistics for individual commodities of importance. Estimates of the consumption of a selection of individual commodities are given in the following paragraphs. No indication of the distribution of consumption of these commodities among individual classes of consumers is available; but with the full employment and wide distribution of wealth that prevails in New Zealand it is beyond question that the per caput rates of consumption of various commodities shown later are truly representative of general living standards.

Figures showing, for some of the more important food products in which an export trade is maintained, the respective proportions of the total production for the three-year period 1951–52 to 1953–54 are as follows.

 Consumed in New Zealand Per CentExported Per Cent
Butter20.579.5
Cheese5.294.8
Beef55.744.3
Mutton42.257.8
Lamb4.595.5
Pig-meat59.440.6

Local (New Zealand) consumption of all meats combined, during this same three-year period, amounted to 34 per cent of total meat production.

PER CAPUT QUANTITIES OF PRINCIPAL FOODSTUFFS AVAILABLE FOR CONSUMPTION.—Estimates of annual consumption for the civilian population have been made for the principal items of foodstuffs for recent years and for a pre-war period, mostly the average of 1934–38. Basic statistical data are rather scanty in the case of some items, particularly fresh vegetables, and the estimates may be subject to correction as further information becomes available.

Dairy Produce.—Measured in terms of butterfat content, it is estimated that 24.9 per cent of total dairy production in 1953–54 was used for local human consumption. A further 4.1 per cent was used locally for calves, pigs, etc., leaving 71.0 per cent for export in the form of butter, cheese, and processed milk. Estimated figures of annual civilian consumption levels for individual items of dairy produce, pre-war and for recent periods, are given below.

 Pre-war1951–521952–531953–54
Whole milk (pint)220.0337.0333.8327.3
Cream (pint)6.94.24.13.9
Ice-cream (pint)3.212.612.813.6
Cheese (lb.)4.55.76.05.8
Butter (lb.)41.242.744.041.3
Processed milk (lb.)4.710.310.911.4

In the following comparison of butter and cheese consumption in various countries the figures for countries other than New Zealand have been taken from the 1954 publication “Dairy Produce,” issued by the Intelligence Branch of the Commonwealth Economic Committee.

BUTTER AND CHEESE CONSUMPTION PER CAPUT

ButterCheese
1938 or 1938–19531953 or 1953–541938 or 1938–391953 or 1953–54
 lb.lb.lb.lb.
United Kingdom24.113.18.99.3
Sweden24.125.812.816.3
Switzerland15.013.217.019.6
Denmark18.318.514.111.0
Netherlands12.36.217.014.2
United States of America16.48.75.87.0
Canada31.920.93.66.0
Republic of Ireland32.241.10.81.7
Australia32.630.54.36.6
New Zealand42.844.64.55.8

In considering New Zealand's relatively high consumption of butter it should be noted that the use of margarine as a spread, common in some countries, is unknown in New Zealand.

Meats.—In estimating the average annual civilian consumption of meats an allowance has been made in the case of each item for killings on farms and for condemnations. The consumption levels for the various items are as follows, the weights in each case being on a bone-in dressed carcase basis.

 Pre-war1951–521952–531953–54
Beef (lb.)112.0109.9102.4102.6
Veal (lb.)7.55.85.05.8
Mutton (lb.)60.066.266.066.8
Lamb (lb.)6.510.59.68.5
Pork, including chopper meat (lb.)9.010.58.211.3
Ham and bacon (lb.)17.016.814.116.0
Edible offal (lb.)9.09.69.010.3

Fresh Vegetables and Fruits.—Estimates under this heading have been made, particularly in the case of vegetables, with considerable difficulty owing to a number of factors, not the least being the fact that domestic garden production must of necessity be taken into account. Where there is no evidence as to changes in consumption habits, the estimates for both pre-war and the later years shown have been treated as on an equality. Consumption levels for individual items are estimated as follows.

 Pre-war19521953
Potatoes (lb.)130.084.077.5
Kumaras (lb.)7.57.57.5
Cabbages and greens (lb.)100.0100.0100.0
Carrots (lb.)30.030.030.0
Tomatoes (lb.)20.020.020.0
Apples (lb.)44.033.630.7
Pears and quinces (lb.)6.07.58.4
Stone fruits (lb.)12.514.417.3
Citrus fruits (lb.)23.017.522.4
Bananas (lb.)21.06.721.1
Pineapples (lb.)1.00.50.6

Canned Fruit and Vegetables.—Owing to the lack of satisfactory details for earlier years, the pre-war consumption of these items is shown as the average of 1938 and 1939.

 Pre-war19521953
Canned fruit (lb.)10.510.58.4
Canned vegetables (lb.)1.610.414.0

Before the war approximately 75 to 80 per cent of canned fruit requirements were imported and consisted mainly of pineapples, peaches, and apricots. The war considerably upset this trade, but there has been a marked recovery since 1947. There has been little progress in the local canning of fruit, and consumption is still below the pre-war level.

The consumption of canned vegetables, on the other hand, owing in some measure to the striking wartime expansion of the industry, is now at a very high level. Before the war there were some imports of peas and beans, but most requirements are now met from local production. Green peas account for nearly half the production, but there has also been considerable development in asparagus, baked beans, and tomato puree, some of the latter being for export.

Other Foodstuffs.—Estimated annual civilian consumption levels for other items of foodstuffs are given hereunder.

 Pre-war1951–521952–53
Poultry (lb.)3.96.06.0
Fresh fish—edible portion (lb.)11.011.512.0
Shell fish—edible portion (lb.)0.90.91.7
Eggs (dozen)20.017.017.0
Honey (lb.)2.14.03.7
Refined sugar (lb.)106.094.093.1
Dried peas and beans (lb.)1.64.24.2
Flour, wheaten (lb.)185.0180.2188.9
Cornflour (lb.)2.42.620
Oatmeal, oaten products (lb.)10.56.96.4
Rice (lb.)5.32.93.0
Tea (lb.)6.87.57.0
Cocoa (lb.)1.00.90.9

Beer, Wine, Spirits, and Tobacco.—As the consumption of these items is particularly susceptible to economic conditions, the depression and immediate post-depression years have been avoided in ascertaining the pre-war consumption. The figures for wine are probably not as accurate as those relating to the other items, for the reason that production figures only are available for locally made wine which naturally (for maturity purposes) is not usually placed on the market until some years after production. Wine production has been steadily increasing during the last decade, the 1953 figure being more than double the immediate pre-war output, and accounting for over two-thirds of total local consumption.

 Pre-war19521953
Beer (gallons)9.6019.4019.30
Grape wine (gallons)0.200.420.40
Spirits (proof gallons)0.260.490.43
Tobacco (lb.)3.905.345.26

In interpreting the big increase in beer consumption it should not be overlooked that as a war measure the alcoholic strength of beer was, on 11 May 1942, reduced by about one-quarter. Although this restriction was removed at the beginning of 1949 the additional duty on beer exceeding the reduced strength has had much the same effect.

Comparison With Other Countries.—In considering the question of supplies of foodstuffs in various countries the food balance sheets prepared at the instigation of the Food and Agriculture Organization present information on a comparable basis. The table which follows presents in summarized form statistics appearing in the Statistical Yearbook of the United Nations. The statistics in most cases relate to the year 1951–52, while pre-war figures are quoted in each case in parentheses. The data quoted are expressed in kilograms per person per year, except that for each country a total figure is given showing calories per person per day, and the percentage thereof derived from livestock products (meat, poultry, eggs, fish, milk, butter, cheese, slaughter fats, marine oils). The total calories figure includes also foodstuffs not specifically mentioned in the table.

A table of this nature necessarily includes data of an approximate nature, but is of value as an overall picture of food consumption and availability in the various countries.

CountryCerealsPotatoes, etc.SugarPulsesMeatMilkFats and OilsCalories
Number Per DayPercentage of Live-stock Origin

* Not available.

† Excludes Potatoes.

Kilograms Per Person Per Year
Union of South Africa(156)(16)(23)(2)(38)(76)(3)(2,300)(18)
15816442417752,64018
Canada(93)(*)(43)(4)(62)(221)(19)(2,890)(39)
785742366288193,02042
United States of America(90)(64)(44)(4)(64)(204)(20)(3,150)(36)
754642476253203,16041
Argentina(106)(66)(27)(2)(107)(163)(9)(2,730)(36)
12487352114165163,19032
India(143)(8)(13)(18)(3)(65)(2)(1,970)(8)
106*131824631,5907
Japan(162)(63)(14)(7)(4)(4)(2)(2,180)(5)
15357852612,1304
Denmark(94)(120)(50)(..)(75)(195)(27)(3,420)(35)
9814436154195263,22036
France(124)(143)(24)(4)(53)(150)(14)(2,830)(26)
11912225356150132,75028
Netherlands(107)(116)(29)(3)(38)(220)(20)(2,920)(32)
9612835231210252,89029
Sweden(96)(122)(44)(2)(49)(302)(18)(3,120)(39)
8811542250310203,09043
United Kingdom(94)(79)(46)(3)(64)(152)(20)(3,120)(38)
9910634347206202,99034
Australia(101)(49)(53)(1)(120)(164)(16)(3,300)(40)
10146582105185173,29038
New Zealand(87)(50)(48)(2)(109)(166)(17)(3,260)(48)
8449462110260183,38049

NOTE.—Figures in parentheses refer to pre-war years.

Wartime Restrictions on Consumption.—Shortages or prospective shortages of imported goods, brought about or accentuated by the war, created the need for a controlled distribution. The rationing of such domestic produce as meat and butter was necessary to cope with the heavy demands of the Armed Forces, both British and Allied, and at the same time to maintain supplies to the United Kingdom. Details of the rationing provisions and other restrictions which applied to the principal individual commodities are quoted in the 1950 issue of the Year-Book (pages 828–30).

Chapter 28. SECTION 28—DISTRIBUTION

Table of Contents

INTRODUCTORY.—For many years there has been a lack of statistics, other than of employment, relating to the distributive sector of the New Zealand economy. The distributive sector may in this case be defined as that activity relating to the distribution of goods from the source of production or supply to the ultimate consumer, together with the provision of personal and other services, excluding transport.

The possibility and desirability of remedying this deficiency by conducting a Census of Distribution was under consideration as far back as 1938, and some attempts, mostly abortive, have been made over the years by the Census and Statistics Department to collect statistics of retail trading on a purely voluntary basis. The value of statistics of retail trading has been exemplified in a sample survey successfully carried out by the Reserve Bank of New Zealand, but limited in coverage to Wellington and the Hutt Valley.

Recommendations and requests from the International Chamber of Commerce, in collaboration with the United Nations Organization, and interest manifested by trade associations and Government Departments within New Zealand, prompted the Government in early 1953 to authorize by regulation the New Zealand Census of Distribution, 1953.

Following the Census of Distribution a continuing quarterly sample survey of retail trading was inaugurated.

The results of the quarterly sample survey to date are given at the end of this Section.

CENSUS OF DISTRIBUTION: Form of Inquiry.—The form of inquiry, etc., for the census was decided upon following discussions and negotiations with various interested bodies, such as the Retailers' Federation, the Associated Chambers of Commerce, etc., and a study of procedures and methods adopted in other countries which had previously conducted similar inquiries.

Index of Establishments.—A register or index of establishments was compiled from various sources. The main index was obtained by utilizing the services of Post Office officials who, by combining the existing lists of boxholders and other records with cards completed by officers making a special coverage of each postal route, were able to supply a fairly complete list. This was supplemented by indexes obtained from other sources (e.g., lists of businesses supplied by the Department of Labour, lists of pharmacies from the Chemists' Guild, lists of registered hotels, auctioneers, pawnbrokers, wine and spirit merchants, etc.). These supplementary lists were interchecked with the main index and any omissions rectified. Results later showed that very few businesses were omitted from the final index, but the system of interweaving a number of indexes to give a complete picture had one drawback: a number of businesses were initially recorded twice, once under the proprietor's name and again under a trade name. This involved some initial unavoidable duplication of inquiries.

Definitions and Coverage.—In the regulations authorizing the census the following definitions were prescribed:

  • “Retail establishment” means any premises at or from which the business of retail trading is carried on;

  • “Wholesale establishment” means any premises at or from which the business of wholesale trading is carried on, but does not include any premises at or from which a manufacturer carries on wholesale or retail trading as an integral part of his normal business unless those premises are completely detached and no other part of his business is carried on at or from them. (Stock and station agents (so stated) were in all cases classified as wholesale establishments);

  • “Service establishment” means any premises at or from which any services of a class or kind specified by the Government Statistician for the purposes of these regulations are rendered.

The following types of retail and wholesale businesses were, for various reasons, excluded from the census:

  • Milk, and milk treatment (milk vendors).

  • On-the-spot sales by market gardeners and nurserymen.

  • Pie-carts.

  • Home dressmakers.

  • Petrol resellers.

  • Oil companies.

  • Timber.

  • Bricks.

  • Roofing tiles.

  • Monumental masonry.

  • Acetone and gas.

  • Book sales by Government Printer.

  • Itinerant traders and hawkers.

  • Kauri-gum dealers.

  • Newspapers, sales otherwise than in shops.

  • Seedling tree sales by New Zealand Forest Service.

  • Inventors and manufacturers' agents and commercial travellers.

  • Caterers for special occasions (race meetings, sports meetings, etc.).

  • Retailing direct from factory premises.

  • Coal mines and distribution direct therefrom.

  • Retailing by various service establishments where such was a very minor or insignificant activity (e.g., occasional small sales by electricians and plumbers).

Services.—In this, the initial Census of Distribution in New Zealand, it was decided to limit the inquiry to a selected group of services, those covered being as follows:

Personal Services—

  • Cleaners (office, shop, and window).

  • Funeral directors and undertakers.

  • Hairdressers and beauty parlours.

  • Laundries, dry cleaners, carpet cleaners, dyers.

  • Photographers (portrait and commercial).

Community and business services—

  • Advertising agencies.

  • Chiropodists.

  • Commercial artists.

  • Opticians.

  • Private rental libraries and book clubs.

  • Turkish baths.

Other services—

  • Bicycle repairers.

  • Blacksmiths.

  • Boot and shoe repairers.

  • Carpet fitters and sewers.

  • Electrical repair shops.

  • Gunsmiths.

  • Locksmiths.

  • Tool repairers and sharpeners.

  • Watch and clock repairers.

Both retail and wholesale trading include the provision of certain services (where such services are provided, e.g., tobacconist and hairdresser), but in such cases the retail or wholesale sales portion of the business represents the major activity. Similarly, some establishments classified under Services carry out a degree of retail sales. In the tables published herein, with the exception of those appearing under the sub-title of Special Analyses, all trading has been included under the heading of the dominant activity.

There is an undisclosed degree of wholesaling carried out by retailers and similarly a degree of retailing by wholesalers, but no provision has been made to separate such activities.

Abbreviations and Contractions Used in the Statistical Tables.—In presenting the data the following contractions, etc., have been used:

U.A. = Urban area (i.e., principal centres of population, plus suburbs).

Smaller centres = Towns other than urban areas, but with population of over 4,000 persons.

Other urban = Boroughs with population of under 4,000 persons.

Rural = Town districts and counties.

The urban areas are as follows:

Main=Auckland.Christchurch.
  Wellington.Dunedin.
Secondary=Hamilton.Palmerston North.
  Gisborne.Wanganui.
  Napier.Nelson.
  Hastings.Timaru.
  New Plymouth. Invercargill.
  Hutt. 

Smaller centres (boroughs outside of urban areas, but with population of over 4,000) are as follows:

Whangarei.Hawera.Westport.
Thames.Feilding.Greymouth.
Tauranga.Masterton.Ashburton.
Rotorua.Levin.Oamaru.
Dannevirke.Blenheim.Gore.
Stratford.  

Summary.—It is estimated that the returns from which the census tables have been compiled represent 95 per cent of all stores coming within the scope of the inquiry, with probably over 97 per cent of the total turnover.

The period for which the information was requested, and to which most of it relates, is the year ended 31 March 1953.

A measure of the importance of the distributive sector of New Zealand's economy can be gained from the fact that the value added to merchandise from the stage of purchase to retail sale was approximately £150-£160 million in the year ended 31 March 1953.

RETAIL ESTABLISHMENTS: Regional Distribution.—Of the 21,523 retail stores covered by the census, 14,678, or 68.2 per cent, were situated in the North Island, and 6,845, or 31.8 per cent, in the South Island.

Distribution by Provincial Districts.—The distribution of stores and of turnover throughout the various provincial districts was roughly proportionate to the distribution of population.

The following table shows details by provincial districts. The figures quoted in parentheses are in each case the percentage of total.

Provincial DistrictPopulation at 31 March 1953Number of StoresPurchases During 1952–53Sales or Turnover During 1952–53Stocks at Close of Year (March 1953)
 (000) £(000)£(000)£(000)
Auckland790.28,112118,843151,83725,607
 (38.9)(37.7)(37.2)(37.6)(35.7)
Hawke's Bay95.61,05914,58618,1843,439
 (4.7)(4.9)(4.6)(4.5)(4.8)
Taranaki90.31,00617,45220,7963,688
 (4.4)(4.7)(5.5)(5.1)(5.1)
Wellington408.94,50169,23387,21315,492
 (20.1)(20.9)(21.6)(21.6)(21.6)
Marlborough24.12793,0773,868852
 (1.2)(1.3)(1.0)(1.0)(1.2)
Nelson70.27218,81511,1991,976
 (3.5)(3.3)(2.7)(2.8)(2.8)
Westland18.52902,9303,719647
 (0.9)(1.3)(0.9)(0.9)(0.9)
Canterbury290.32,94347,97260,38811,521
 (14.3)(13.7)(15.0)(14.9)(16.0)
Otago—     
  Otago portion164.31,78222,39328,5215,517
 (8.1)(8.3)(7.0)(7.1)(7.7)
  Southland portion79.683014,56118,2723,022
 (3.9)(3.9)(4.5)(4.5)(4.2)
    Totals, all retail stores2,032.021,523319,862403,99771,761
 (100.0)(100.0)(100.0)(100.0)(100.0)

The principal centres of population (urban areas), covering 55.5 per cent of New Zealand's people, contained 61.0 per cent of all retail stores, with 68.1 per cent of total sales or turnover.

Distribution by Urban and Rural Areas.—Rural areas (counties and town districts), with 31.1 per cent of total population, contained 13.8 per cent of all retail stores, but were responsible for only 9.4 per cent of turnover.

The following table shows details by urban and rural areas. The figures quoted in parentheses are in each case the percentage of total.

Location GroupPopulation at 31 March 1953Number of StoresSales or Turnover During 1952–53Stocks at Close of Year (March 1953)
 (000) £(000)£(000)
Main urban areas (including Hutt U.A.)849.09,485192,23633,563
 (41.8)(44.1)(47.6)(46.8)
Secondary urban areas (excluding Hutt U.A.)279.13,64882,85215,395
 (13.7)(16.9)(20.5)(21.5)
Smaller centres121.12,20941,9318,073
 (6.0)(10.3)(10.4)(11.2)
Other urban150.33,21648,9519,059
 (7.4)(14.9)(12.1)(12.6)
Rural632.52,96538,0275,671
 (31.1)(13.8)(9.4)(7.9)
    Totals, all retail stores2,032.021,523403,99771,761
 (100.0)(100.0)(100.0)(100.0)

Hutt urban area, though it has a population of 80,000, is so close to Wellington City, and the trading pattern is so closely interwoven, that to divorce these two areas would not give a true picture of either. Consequently, Hutt urban area has been combined with Wellington urban area in the tables in this Section of the Year-Book.

Graphic presentation of the information given in the preceding table follows.

Analysis by Store Type.—About half the total number of retail stores were in the food and drink group—grocers, butchers, dairies, hotels, and so on. This group accounted for only 30 per cent of the turnover, however, the average turnover per store being £12,200. As against this the automotive group, which accounts for only 4 per cent of all retail stores, handled 13 per cent of the turnover, with an average turnover of £58,200 per store.

As would be expected, the average number of employees per store was highest in the group covering department, variety, and general stores. These showed an average of 12.5 employees per store, more than double that of the hardware group, 6.1, which was the next highest in average employment per store. The automotive and furniture groups, 6.0 and 5.9, were next in order, then apparel, 4.5, chemicals and miscellaneous, each 3.8, with food and drink, the lowest group in this respect, having an average of 3.5 employees per store.

The following table shows details by store type groups.

Store Type GroupNumber of StoresNumber of Paid Employees on 15 April 1953Total Labour Force on 15 April 1953Average Labour Force Per StoreSalaries and Wages Paid During 1952–53Sales or Turnover During 1952–53Average Sales or Turnover Per Unit of Labour ForceValue of Stocks at Close of Year (March 1953)
MalesFemalesTotal
       £(000)£(000)££(000)
Food and drink10,03313,5869,55023,13635,2103.510,117122,4213,4778,470
Apparel3,2154,1827,76311,94514,5014.55,21252,6733,63217,587
Furniture9583,8121,1734,9855,6225.92,69223,8044,2345,805
Automotive9064,0777124,7895,4196.03,27952,7299,7305,832
Hardware6742,8507683,6184,0956.11,93720,2894,9555,290
Chemicals (chemist, etc.)6641,1868472,0332,5383.89387,5662,9811,597
Department, variety, and general stores1,2066,4267,74614,17215,13012.56,07068,7254,54214,256
Miscellaneous3,8676,8994,19211,09114,7603.85,27055,7903,78012,924
    Totals, all retail stores21,52343,01832,75175,76997,2754.535,515403,9974,15371,761

The information given above is shown in graphic form below.

Size of Turnover.—A classification by size of turnover shows that shops with over £250,000 turnover numbered only 122, 0.6 per cent, but covered £71,762,000, 17.8 per cent, of turnover. Small units with under £5,000 of turnover were very numerous, 5,620, or 26.1 per cent, but the turnover of these (£16,511,000) represented only 4.1 per cent of the total.

Although the very big shop does a large proportion of total retail trade, while the very small shop does only a small percentage of the total business, the moderately sized shop is very important both in numbers and in size of turnover. Seventeen thousand shops had a turnover of less than £20,000 a year, and between them they carried out 35 per cent of total business by retail stores.

The following table shows details by turnover size groups.

Amount of Total TurnoverNumber of StoresNumber of Paid Employees on 15 April 1953Total Labour Force on 15 April 1953Salaries and Wages Paid During 1952–53Sales or Turnover During 1952–53Value of Stocks at Close of Year (March 1953)
MalesFemalesTotal
£     £(000)£(000)£(000)
Under 5,0005,6201,1832,2413,42410,2031,21016,5112,907
5,000 to 9,9996,0564,0655,0419,10616,1983,36444,4216,817
10,000 to 19,9995,7368,7416,91815,65921,0936,83280,11612,513
20,000 to 49,9992,89710,8545,98316,83718,6538,17585,20614,960
50,000 to 99,9997115,9342,9558,8899,1674,68448,1069,118
100,000 to 249,9993815,6383,2828,9209,0155,17757,87511,180
250,000 to 499,999772,3571,4023,7593,7641,88626,8425,279
500,000 and over454,2464,9299,1759,1824,18744,9208,987
    Totals, all retail stores21,52343,01832,75175,76997,27535,515403,99771,761

Type of Organization.—Over half, 51 per cent, of retail stores were returned as being under individual ownership, while 31 per cent were shown as operated by private registered companies, 14 per cent by partnerships, and 3 per cent by public registered companies.

The percentage of total turnover covered by the various types of organization (average turnover per store being shown in parentheses) was: private registered companies, 51 (£31,000); individual ownership, 23 (£8,000); public registered companies, 15 (£95,000); and partnerships, 9 (£12,000).

The following table shows details by type of organization. The figures quoted in parentheses are in each case the percentage of total.

Type of OrganizationNumber of StoresTurnover During 1932–53Stocks at Close of Year (March 1953)
  £(000)£(000)
Private registered companies6,593204,95242,403
 (30.6)(50.7)(59.1)
Public registered companies66162,67911,756
 (3.1)(15.5)(16.4)
Individual ownership11,06292,40811,654
 (51.4)(22.9)(16.2)
Partnership2,94334,8244,307
 (13.7)(8.6)(6.0)
Other2649,1341,641
 (1.2)(2.3)(2.3)
    Totals, all retail stores21,523403,99771,761
 (100.0)(100.0)(100.0)

Multiple Stores.—The number of multiple stores engaged in retail trading represented only 9 per cent of the total stores, but accounted for 20 per cent of the total turnover, 21 per cent of stocks, and 20 per cent of capital invested. A multiple store was so termed where the store was one of a group of four or more under common ownership.

Store Type GroupMultiple Stores
Number of StoresSales or Turnover During 1952–53Stocks atCapital Invested
Start of Year (March 1952)Close of Year (March 1953)
  £(000)£(000)£(000)£(000)
Food and drink97320,4921,2471,3596,355
Apparel2596,2351,8641,8952,032
Furniture943,047490454867
Automotive234,066488438400
Hardware543,9756691,1641,203
Chemicals (chemist, etc.)17383737594
Department, variety, and general stores28230,4105,7346,55410,670
Miscellaneous25513,4742,7403,824
    Totals, all retail stores1,95782,08213,30515,76321,621
Store Type GroupMultiple Stores
Number of StoresSales or Turnover During 1952–53Stocks atCapital Invested
Start of Year (March 1952)Close of Year (March 1953)
  £(000)£(000)£(000)£(000)
Food and drink9,060101,9296,4757,11129,185
Apparel2,95646,43815,09715,69214,069
Furniture86420,7575,1165,3516,101
Automotive88348,6634,4815,3947,287
Hardware62016,3143,3824,1264,704
Chemicals (chemist, etc.)6477,1831,3621,5222,357
Department, variety, and general stores92438,3157,1177,70221,603
Miscellaneous3,61242,3167,9299,100
    Totals, all retail stores19,566321,91550,95955,99885,306

Methods of Selling.—Trade practices in various centres, stores, and store types varied to a great degree, with the result that the figures for cash-order sales and instalment sales are possibly understated. The statistics are, of course, based on the figures supplied by the individual traders.

An analysis of methods of selling shows that 62.8 per cent of retail sales were for cash, 33.2 per cent by credit, 3.5 per cent on instalment systems, and 0.5 per cent by cash order.

Cash sales were dominant in the food and drink, apparel, and chemicals groups, accounting for over 80 per cent of sales in each of these three groups.

Cash and credit sales were relatively equal in each of the furniture, automotive, and the general department and variety store groups.

Credit sales were dominant in the hardware group, where they accounted for nearly three-quarters of all hardware sales.

Forty-one per cent of all cash sales were in the food and drink group, which also accounted for 13.7 per cent of credit sales.

General, department, and variety stores accounted for 24.9 per cent of credit sales, also 19.5 per cent of instalment sales, 190 per cent of cash-order sales, and 12.7 per cent of cash sales.

The automotive group accounted for 31.6 per cent of the instalment sales, with also 18.5 per cent of credit, 17.4 per cent of cash order, and 9.1 per cent of cash sales.

The main and secondary urban areas accounted for 88.6 per cent of all instalment sales, 70.9 per cent of cash sales, and 63.5 and 60.7 per cent respectively of cash-order and credit sales.

The following tables show the disposition of the different methods of selling by store type group and by location group. The figures quoted in parentheses are in each case the percentage of total.

Turnover (1952–53) in the Form of—Total Sales or Turnover 1952–53
Cash SalesCash Order SalesCredit SalesInstalment Sales
 £(000)£(000)£(000)£(000)£(000)
Store Type
Food and drink104,039 18,382 122,421
 (41.0) (13.7) (30.3)
Apparel44,4545196,92477652,673
 (17.5)(28.2)(5.2)(5.4)(13.0)
Furniture8,86136310,2504,33023,804
 (3.5)(19.8)(7.6)(30.3)(5.9)
Automotive23,09831924,7944,51852,729
 (9.1)(17.4)(18.5)(31.6)(13.1)
Hardware5,6368514,4977120,289
 (2.2)(4.6)(10.8)(0.5)(5.0)
Chemicals6,067971,386167,566
 (2.4)(5.3)(1.0)(0.1)(1.9)
Miscellaneous—     
Department, variety, and general stores32,10134933,4782,79768,725
 (12.7)(19.0)(24.9)(19.5)(17.0)
Other29,28010524,6071,79855,790
 (11.6)(5.7)(18.3)(12.6)(13.8)
    Totals, all retail stores253,5361,837134,31814,306403,997
 (100.0)(100.0)(100.0)(100.0)(100.0)
Location
Main urban areas (including Hutt U.A.)131,53683550,5779,288192,236
 (51.9)(45.5)(37.7)(64.9)(47.6)
Secondary urban areas (excluding Hutt U.A.)48,17533130,9543,39282,852
 (19.0)(18.0)(23.0)(23.7)(20.5)
Smaller centres24,83130515,99979641,931
 (9.8)(16.6)(11.9)(5.6)(10.4)
Other urban27,82622620,39750248,951
 (11.0)(12.3)(15.2)(3.5)(12.1)
Rural21,16814016,39132838,027
 (8.3)(7.6)(12.2)(2.3)(9.4)
    Totals, all retail stores253,5361,837134,31814,306403,997
 (100.0)(100.0)(100.0)(100.0)(100.0)

WHOLESALE ESTABLISHMENTS: Regional Distribution.—The total of 2,403 wholesale stores included in the tables accounted for a turnover of £305,507,000 during the period covered by the census, or an average turnover of £127,000 per store.

The principal centres of population (urban areas) contained 82.4 per cent of wholesale stores with 92.1 per cent of total sales or turnover. Auckland and Wellington (including Hutt) urban areas together accounted for 45.4 per cent of stores and 56.8 per cent of turnover.

Distribution by Provincial Districts and Location Groups.—While, in the main, the distribution of stores and turnover throughout the provincial districts was roughly proportionate to the distribution of population, Wellington Provincial District was a notable exception in that it accounted for 28.3 per cent of stores and 31.9 per cent of turnover with just over 20 per cent of the population.

The following table shows the distribution of wholesale trading by provincial districts and by main location groups. Owing to the much smaller number of wholesale establishments it is not possible to show out details thereof to the same degree as for retail establishments. The figures quoted in parentheses are in each case the percentage of total.

Population at 31 March 1953Number of StoresPurchases During 1952–53Sales or Turnover During 1952–53Stock at Close of Year (March 1953)
 (000) £(000)£(000)£(000)
Provincial Districts
Auckland790.284498,158113,79218,774
 (38.9)(35.1)(37.0)(37.3)(32.9)
Hawke's Bay95.6887,1237,8431,225
 (4.7)(3.7)(2.7)(2.6)(2.1)
Taranaki90.3663,4274,091534
 (4.4)(2.7)(1.3)(1.3)(0.9)
Wellington408.967985,67297,53821,140
 (20.1)(28.3)(32.2)(31.9)(37.0)
Marlborough24.1181,6371,796285
 (1.2)(0.7)(0.6)(0.6)(0.5)
Nelson70.2392,3932,828347
 (3.5)(1.6)(0.9)(0.9)(0.6)
Westland18.5191,1011,343202
 (0.9)(0.8)(0.4)(0.4)(0.4)
Canterbury290.333937,98544,3147,755
 (14.3)(14.1)(14.3)(14.5)(13.6)
Otago—     
Otago portion164.321618,72121,2465,183
 (8.1)(9.0)(7.0)(7.0)(9.1)
Southland portion79.6959,44210,7161,671
 (3.9)(4.0)(3.6)(3.5)(2.9)
    Totals, all wholesale stores2,032.02,403265,659305,50757,116
 (100.0)(100.0)(100.0)(100.0)(100.0)
Location Groups
Main urban areas (including Hutt urban area)849.01,551202,474234,00946,459
 (41.8)(64.5)(76.2)(76.6)(81.4)
Secondary urban areas (excluding Hutt urban area)279.143041,35047,2847,101
 (13.7)(17.9)(15.6)(15.5)(12.4)
Smaller centres903.942221,83524,2143,556
Other urban and rural(44.5)(17.6)(8.2)(7.9)(6.2)
    Totals, all wholesale stores2,032.02,403265,659305,50757,116
 (100.0)(100.0)(1000)(1000)(100.0)

Analysis by Store Type.—The significance of store type is not as great in wholesale as in retail trading in that the general merchant, who may deal in any type of goods, appreciably affects the position. General merchants accounted for 16.9 per cent of all wholesale stores and for 29.4 per cent of all wholesale turnover. The average labour force per store was 50 per cent higher for the general merchants group than for any other group, and the average turnover per unit of labour force (£10,171) for general merchants was only exceeded in the automotive group (£11,118).

The following table shows details of wholesale establishments by store type groups.

Store Type GroupNumber of StoresNumber of Paid Employees on 15 April 1953Total Labour Force on 15 April 1953
MalesFemalesTotal
Food and drink4713,7921,3025,0945,406
Apparel2691,6281,3292,9573,093
Furniture1681,1743301,5041,577
Automotive1421,5593831,9421,984
Hardware2803,1738233,9964,093
General merchants4066,3572,4378,7948,842
Miscellaneous6676,5292,1458,6748,898
    Totals, all wholesale stores2,40324,2128,74932,96133,893
Store Type GroupAverage Labour Force Per StoreSalaries and Wages Paid During 1952–53Sales or Turnover During 1952–53Average Sales or Turnover Per Unit of Labour ForceValue of Stocks at Close of Year (March 1953)
  £(000)£(000)££(000)
Food and drink11.52,78741,0667,5963,067
Apparel11.51,63020,3306,5736,013
Furniture9.486112,5587,9632,837
Automotive14.01,16822,05911,1184,931
Hardware14.62,50239,3779,6219,274
General merchants21.84,15689,93210,17114,603
Miscellaneous13.34,98680,1859,01216,391
    Totals, all wholesale stores14.118,090305,5079,01457,116

Size of Turnover.—A classification by size of turnover shows that stores with under £20,000 turnover numbered 755, 31.4 per cent, but accounted for only £6,807,000, 2.2 per cent, of turnover. At the other end of the scale a total turnover of £126,477,000, 41.4 per cent, was accounted for by only 133 stores, 5.5 per cent, which had a turnover of £500,000 or more.

Amount of Total TurnoverNumber of StoresNumber of Paid Employees on 15 April 1953Total Labour Force on 15 April 1953Salaries and Wages Paid During 1952–53Sales or Turnover During 1952–53Value of Stocks at Close of Year (March 1953)
MalesFemalesTotal
£    £     £(000)£(000)£(000)
Under 5,000216190150340553136636158
5,000 to 9,9992284082096177942951,662465
10,000 to 19,9993119003601,2601,4386384,5091,065
20,000 to 49,9995412,5999073,5063,6691,92017,8994,235
50,000 to 99,9994173,1209024,0224,1042,34329,7136,941
100,000 to 249,9993624,5171,4085,9256,0073,45156,33010,823
250,000 to 299,999531,1003721,4721,47278814,5342,462
300,000 to 399,999992,9688573,8253,8372,17434,3965,860
400,000 to 499,999431,3694871,8561,86299019,3514,558
300,000 and over1337,0413,09710,13810,1575,355126,47720,549
    Totals, all wholesale stores2,40324,2128,74932,96133,89318,090305,50757,116

SERVICE ESTABLISHMENTS.—As was indicated in the general notes to this Section, merely a selected group of services were covered in the census. These were grouped in three broad divisions, personal, business and community, and other services.

Over nine-tenths of service establishments provided services only, while in the remainder some secondary form of trading was carried on.

Services covered by the census totalled 2,696, of which 1,839, or 68.2 per cent, were in the North Island and 857, or 31.8 per cent, in the South Island. The total turnover handled by service establishments was £11,563,000, an average turnover of £4,000 per establishment.

The principal centres of population (urban areas) contained 68.1 per cent of service establishments, with 84.3 per cent of the total turnover of such establishments.

Over half, 57.6 per cent, of service establishments covered by the census were in the “Personal service” category, and these accounted for 52 per cent of total turnover.

Just under three-quarters, 73.6 per cent, of service establishments had a turnover of less than £3,000, accounting for only 20.9 per cent of the total turnover. Establishments with a turnover of £20,000 and over were only 93 in number, 3.4 per cent, but accounted for 43.7 per cent of the total turnover.

The following table gives details of numbers and location of those services covered by the census.

Personal ServicesBusiness and Community ServicesOther ServicesTotal
Number of servicesNo.1,5543667762,696
Sales or turnover during 1952–53£(000)6,0183,9551,59011,563
Location of stores—     
Main urban areas (including Hutt U.A.)No.7442353371,316
Secondary urban areas (excluding Hutt U.A.)No.31467139520
Smaller centresNo.1844278304
Other urbanNo.24017128385
RuralNo.72594171
Paid employees on 15 April 1953—     
MalesNo.2,1005564583,114
FemalesNo.3,884481424,407
    TotalsNo.5,9841,0375007,521
    Total labour force on 15 April 1953No.7,4931,3561,32010,169
Salaries and wages paid during 1952–53£(000)2,4305852293,244

The next table shows, for the same services, a classification by turnover and number of employees.

Amount of Total TurnoverNumber of StoresNumber of Paid Employees on 15 April 1953Total Labour Force on 15 April 1953Salaries and Wages Paid During 1952–53Sales or Turnover During 1952–53
MalesFemalesTotal
£    £     £(000)£(000)
Under 1,000941261792051,19253589
1,000 to 2,9991,0442968861,1822,2593531,825
3,000 to 4,9992823443917351,0264311,062
5,000 to 9,9992325804771,0571,2564411,595
10,000 to 19,9991045255951,1201,1885361,436
20,000 to 49,999647559671,7221,7457451,927
50,000 to 99,999213616881,0491,0524121,444
100,000 and over82272244514512731,685
    Totals2,6963,1144,4077,52110,1693,24411,563

SPECIAL ANALYSES: Retail and Service Establishments.—Special analyses were taken out to show total retail trading by retail and service establishments, and, at the same time, details were also obtained of total services provided.

The following table shows details of retail trading as above by commodity groups. The three major commodity groups are groceries and small goods; clothing, drapery and dress piece goods; and motor vehicles, parts, and accessories. These accounted for 14.8, 14.2, and 13.3 per cent respectively of total retail turnover.

Commodity GroupSales or Turnover During 1952–53Value of Stocks at
AmountPer Cent of TotalStart of Year (March 1952)Close of Year (March 1953)
 £(000) £(000)£(000)
Groceries and small goods (including butter, bacon, etc.)59,72114.86,7516,937
Butchers' meat, fish, fruit, and vegetables31,0117.7562655
Other foods (bread, cakes, pastry, etc.)12,1003.0363359
Milk, ice cream, confectionery, soft drinks10,2032.5620690
Beer, wine, and spirits25,3796.31,5522,023
Tobacco, cigarettes, and tobacconists' sundries9,2042.3823893
Chemists' goods, toiletries, cosmetics (including dispensing)8,7652.21,7371,917
Clothing, drapery, and dress piece-goods57,34814.217,77218,051
Footwear8,8622.23,0083,203
Furniture, bedding, floor coverings, soft furnishings, etc.21,7925.46,0376,660
Musical instruments, including radios4,7261.2837921
Household appliances and electrical goods9,7292.41,7261,953
Hardware, domestic china, and glassware10,6012.62,8153,379
Hardware, builders', and materials (excluding timber, bricks, and roofing tiles)13,1323.32,2753,235
Books, stationery, and newspapers9,3962.31,5571,786
Motor vehicles, parts, accessories (excluding petrol and oils)53,59113.34,6665,629
Coal, coke, and firewood3,1340.8120143
Fertilizers, manures, grain, seed, and fodder9,9892.51,1081,230
Florists' goods5130.11924
Jewellery (including watches, clocks, and precious stones)3,9041.01,6761,840
Leather, luggage, and harness1,1160.3252286
Agricultural machinery9,8752.52,3203,374
Other machinery3,2060.8568714
Paint, glass, and wallpaper1,8740.5422495
Photographic supplies and equipment3410.18799
Plumbing equipment and piping8570.2111132
Seeds, plants, and garden supplies2,5250.6248273
Sports goods (including toys and games)2,1150.5511620
Bicycles, parts, and accessories2,1870.5522645
Other goods15,8823.93,3763,816
    Totals, retail commodities403,078100.064,44171,982

The following table shows details of total services provided by retail and service establishments.

Type of ServiceNumber of Establishments Handling Service SpecifiedSales or Turnover During 1952–53
Personal service provided by establishments classified as— £(000)
Service establishments1,5645,772
Retail stores846773
    Totals, personal services2,4106,545
Community and business services provided by establishments classified as—  
Service establishments3783,636
Retail stores74146
    Totals, community and business services4523,782
Other services provided by establishments classified as—  
Service establishments7821,436
Retail stores537719
    Totals, other services1,3192,155
    Grand totals, all services4,18112,482

Wholesale Trading.—The following table shows details of wholesale trading by main commodities handled.

Commodity GroupSales or Turnover During 1952–53Value of Stocks at
AmountPer Cent of TotalStart of Year (March 1952)Close of Year (March 1953)
 £(000) £(000)£(000)
Groceries and small goods (including butter, bacon etc.)45,08714.85,2975,260
Butchers' meat, fish, fruit, and vegetables15,6525.1416478
Other foods (bread, cakes, and pastry, etc.)3,9831.3173184
Milk, ice cream, confectionery, soft drinks3,10210192191
Beer, wine, and spirits7,2492.48861,182
Clothing, drapery, and piece goods19,5676.45,5905,983
Furniture, bedding, floor coverings, soft furnishings, etc.7,7202.52,0752,308
Household appliances and electrical goods14,9264.92,6893,657
Hardware, domestic china, and glassware8,6192.81,8712,515
Hardware, builders', and materials (excluding timber, bricks, and roofing tiles)15,8975.22,4863,666
Books, stationery, and newspapers4,4101.4871849
Motor vehicles, parts, accessories (excluding petrol and oils)28,1439.25,8256,632
Coal, coke, and firewood7,4722.55291
Fertilizers, manures, grain, seed, and fodder19,7536.51,5162,211
Agricultural machinery7,9322.61,6382,184
Other machinery15,0604.93,2764,514
Paint, glass, and wallpaper5,5511.89661,330
Plumbing equipment and piping1,7020.6335393
Rubber goods (excluding tires and tubes)1,3580.4457371
Seeds, plants, and garden supplies1,5590.5216186
Other70,76523.210,70212,931
    Total, wholesale commodities305,507100.047,52957,116

QUARTERLY SURVEY OF RETAIL TRADING.—Following the Census of Distribution in 1953 a continuing quarterly sample survey of retail trade was inaugurated, the first inquiry relating to trade during the quarter ended 31 March 1954. This survey will be repeated at three-monthly intervals.

The results of the census formed a framework from which a random sample of firms, stratified by broad geographical divisions and size of turnover, was drawn.

The actual sample inquiry is confined to just under 10 per cent of establishments, but these, on the basis of the census, represent approximately 28 per cent of total turnover.

To provide the estimates presented in the following tables the figures have been expanded by the use of suitable techniques to represent the activity of all retail stores with the exception of hotel and motor vehicle and motor accessory trading, which are excluded from the sample inquiry and also from the census figures quoted by way of comparison.

Turnover by Store-types.—The estimated turnover figures show that the total value of turnover for all stores increased by 9.3 per cent during the quarterly period ended 30 June as compared with the previous quarter. This was followed by a decrease of approximately 1 per cent during the following quarter, the three months ended 30 September. These movements are not necessarily an indication of any particular trade trend, but may be largely attributable to the normal seasonal trading patterns.

The following table shows total sales or turnover for the year ended 31 March 1953 and the quarters ended March, June, and September, 1954. Later figures, for December 1954 and March 1955 quarters, will be found in the Latest Statistical Information Section at the front of this Year-Book.

Store TypeNorth IslandSouth IslandTotals, New Zealand
Auckland Urban AreaWellington and Hutt Urban AreasRemainder of North IslandTotals, North IslandChristchurch Urban AreaDunedin Urban AreaRemainder of South IslandTotals, South Island

* See reference below first table on next page.

Turnover £(000)
Year Ended 31 March 1953
Butcher, etc.3,6852,5567,84514,0862,0121,3283,3006,64020,726
Grocer7,4746,12615,87229,4724,6282,3147,51714,45943,931
Other food and drink8,8884,56811,95825,4143,2432,0014,5649,80835,222
Footwear1,3619952,4284,7847114301,0212,1626,946
Other apparel9,5395,63716,77631,9524,4082,4026,96513,77545,727
Furniture and soft furnishings4,3232,2794,92911,5311,5379602,0844,58116,112
Household appliances, radios, etc.1,4411,0902,8655,3966955111,0902,2967,692
Hardware2,3633,5655,54611,4748394471,7963,08214,556
Chemist1,6499172,5655,1316954391,0122,1467,277
General, department, and variety11,9644,52030,08546,5696,8622,91512,37922,15668,725
Other11,3688,7320,68540,6269,9493,0738,16421,18661,812
    Totals64,05540,826121,554226,43535,57916,82049,892102,291328,726
Quarter Ended 31 March 1954
Butcher, etc.8826321,9773,4914933568921,7415,232
Grocer1,9091,5624,2047,6751,2026001,9953,79711,472
Other food and drink2,2181,4133,2306,8618425601,2402,6429,503
Footwear3342445701,1481751062715521,700
Other apparel2,0911,3083,9057,3049595521,5163,02710,331
Furniture and soft furnishings9604791,1502,5893401884459733,562
Household appliances, radios, etc.3592727201,351172*122*2425361,887
Hardware5937871,3292,7091921024127063,415
Chemist4182306561,3041731082635441,848
General, department, and variety2,8401,0577,64611,5431,6757083,0875,47017,013
Other2,6331,9995,2999,9312,4186612,0145,09315,024
    Totals15,2379,98330,68655,9068,6414,06312,37725,08180,987
Store TypeNorth IslandSouth IslandTotals, New Zealand
Auckland Urban AreaWellington and Hutt Urban AreasRemainder of North IslandTotals, North IslandChristchurch Urban AreaDunedin Urban AreaRemainder of South IslandTotals, South Island

* The sample response in this case was inadequate, and the figures, while based on the returns received, should be accepted with reservation.

Turnover £(000)
Quarter Ended 30 June 1954
Butcher, etc.9767112,0733,7605693849551,9085,668
Grocer1,9901,5924,0627,6441,2006281,9453,77311,417
Other food and drink2,2861,2853,0076,5788705421,1762,5889,166
Footwear4222757391,4362071303316682,104
Other apparel2,5551,6235,0559,2331,2236701,9693,86213,095
Furniture and soft furnishings1,2025701,3663,1383872655071,1594,297
Household appliances, radios, etc.4583327341,524200166*2626282,152
Hardware723*1,0281,5073,2582271174648084,066
Chemist4082466361,2901861182775811,871
General, department, and variety3,2881,3468,28512,9191,9677803,2626,00918,928
Other2,7392,2145,34510,2982,4998032,1915,49315,791
    Totals17,04711,22232,80961,0789,5354,60313,33927,47788,555
Quarter Ended 30 September 1954
Butcher, etc.937572,1913,8786203819992,0005,878
Grocer2,0761,6724,2157,9631,2636462,0493,95811,921
Other food and drink2,2861,2783,0256,5899005741,0742,5489,137
Footwear3722615921,2251851112845801,805
Other apparel2,4151,4934,3258,2331,0426331,7723,44711,680
Furniture and soft furnishings1,1976151,3673,1794202525591,2314,410
Household appliances, radios, etc.4663078101,5832201652786632,246
Hardware7439701,5503,2632161135178464,109
Chemist4472546641,3651871232996091,974
General, department, and variety3,2181,2087,94812,3741,9567703,1395,86518,239
Other2,8352,3465,57210,7532,5157442,3105,56916,322
    Totals16,98511,16132,25960,4059,5244,51213,28027,31687,721

Commodity Sales or Turnover of Retail Stores.—The following table covering retail trading throughout the whole of New Zealand reflects to a certain extent both the seasonal pattern of trading (e.g., milk, ice-cream, confectionery, soft drinks, etc.) and changes due to other circumstances.

Commodity GroupYear Ended 31 March 1953Quarter Ended 31 March 1954Quarter Ended 30 June 1954Quarter Ended 30 September 1954

* Information obtained in the latest quarterly survey indicates that “Clothing, drapery, dress piece-goods" were divided in the September quarter in the following proportions:

Turnover £(000)
Groceries and small goods (including butter, bacon, etc.)59,70415,92515,85516,559
Butchers' meat, fish, fruit, and vegetables31,0087,8708,3598,682
Other foods (bread, cakes, pastry, etc.)12,0613,1823,1623,208
Milk, ice-cream, confectionery, soft drinks, etc.10,1512,9252,6022,439
Tobacco, cigarettes, and tobacconists' sundries8,9902,1172,1932,278
Chemists' goods, toiletries, cosmetics (including dispensing)8,7652,2152,2612,381
Clothing, drapery, dress piece-goods*57,34812,88616,61814,671
Footwear8,8622,1492,6982,276
Furniture, bedding, floor coverings, soft furnishings, and household textiles21,7654,6515,5675,750
Musical instruments, including radios4,6811,0061,2551,301
Household appliances and electrical goods9,5012,4992,9663,094
Hardware—    
Domestic hardware, china, and glassware10,5572,5092,8662,861
Builders' hardware and materials (excluding timber, bricks, and roofing tiles)13,1053,2063,8413,784
Books, stationery, etc.9,1712,3662,2762,147
Other commodities63,05715,48116,03616,290
    Total sales or turnover328,72680,98788,55587,721
Men's and boys' wear31 per cent
Women's, girls' and infants' wear58 per cent
Household drapery11 per cent

Stocks.—The Census of Distribution, together with the present sample inquiry, provides stock figures as at 31 March of the three years, 1952–54, also as at 30 June and 30 September 1954, and these are presented in value form in the table which follows.

Store TypeActual Value of Stocks £(000)
At 31 MarchAt 30 June 1954At 30 September 1954
195219531954
Butcher, etc.378441363376381
Grocer4,5204,5854,7124,8704,856
Other food and drink1,6171,8811,8301,9011,868
Footwear2,3212,4682,6252,7002,982
Other apparel14,64015,11915,04215,92016,811
Furniture and soft furnishings4,3284,3914,3454,7094,680
Household appliances, radios, etc.1,2781,4141,3461,4461,579
Hardware2,7783,7433,4773,4963,605
Chemist1,4031,5411,6301,6501,706
General, department, and variety12,85114,25613,38113,48414,761
Other11,97414,52713,41814,00013,481
    Totals, all retail stores58,08864,36662,16964,55266,710

The figures for March 1954 show a fall in stocks as compared with 1953, but an overall increase in value of stocks of 7 per cent as compared with 1952. The increased unit value of retail goods over this same period must be considered in comparing figures of values. An adjustment taking into account such retail price changes would possibly show a reduction in the physical volume of stocks as at March 1954 as compared with both 1953 and 1952.

Hardware stores recorded a substantial increase in value of stocks held in 1953, but the March 1954 figure was lower. The retail stores showing increases in value of stocks as at March 1954 as compared with 1953 were footwear, grocer, and chemist.

The movements in values of stocks at ensuing periods, 30 June and 30 September, may well be attributable to normal seasonal fluctuations. Until the survey has been in operation for sufficient time to enable a comparison of like quarters, no real indication of actual trade movements will be available.

Chapter 29. SECTION 29—SOCIAL ACCOUNTS

29 A—NATIONAL INCOME AND EXPENDITURE

INTRODUCTORY.—In recent years the emphasis in social accounting has shifted more and more from the mere ascertainment of the various income, expenditure, and outlay aggregates themselves to an analysis of economic inter-relationships between industrial sectors and their resulting money flows. The development of this statistical work—ten industrial accounts having been completed—made it advisable to reproduce all the relevant tables in a separate sub-section independently of National Income and Expenditure statistics (see Section 29B following).

The estimates of National Income and Expenditure shown on the following pages follow the same pattern, both in method of estimation and presentation, as those published in previous issues of the Year-Book.

The principal of these aggregates is that of “National Income,” which, in general terms, measures the total value of all incomes (before deduction of taxation) earned by the residents of New Zealand in producing the current output of goods and services.

Income can be earned in a variety of ways and accrues to individuals according to the manner in which they participate in current production. Salary and wage payments represent the return to labour for services rendered, and include in this concept supplementary income in “kind" such as board and keep provided by the employer. Of considerable importance during the war years, the item pay and allowances of Armed Forces, while analogous to salary and wage payments when considering the source of such income, does not necessarily fit in with this concept when the former civilian occupation of the serviceman is considered. This fact must be taken into account in comparing the distributive shares of the various groups in the national income over the war period. Clothing, food, accommodation, and other income in “kind" supplied to members of the Armed Forces are included under this heading, as are also deferred-pay, mufti-allowance, and war-gratuity payments.

Rental value of owner-occupied houses is a non-monetary item representing the imputed net rental value (before payment of rates, but after deductions for depreciation, mortgage interest, insurance, and repairs and maintenance) of all owner-occupied houses (except farm houses).

Other personal income (excluding company dividends) represents the aggregate income of professional men, farmers, and individual traders, as well as income other than salary and wages of salary and wage earners—e.g., rent, interest, etc. Included under this heading as current income are changes in balances of primary-produce stabilization accounts, and moneys retained under authority of the Wool Proceeds Retention Act 1950.

Company income represents the total income (distributed and undistributed) of companies. This means that dividends distributed to individuals are included under this heading, and to this extent the total of other personal income is understated.

Apart from these incomes which result from current productive activities on the part of individuals receiving them, there are other incomes of a “non-productive" nature in the form of social security benefits, pensions, and interest on public debt. These transfer incomes, as they are called, do not arise from the current production of goods and services and must therefore be excluded from the national income. They do, however, form part of the intermediate concept of private income, which represents the aggregate of earned incomes and unearned transfer incomes received by or accruing to persons. Capital receipts—e.g., from deceased persons' estates, repayment of debt, etc.—are, however, excluded both from private income and national income. It includes as income accruing, but not actually received, undistributed incomes of companies. The deduction of direct taxation gives the concept of private disposable income.

In general, only incomes arising from the production of goods and services destined for the market form part of the national income; it follows, therefore, that the services of housewives, for instance, or the produce of home gardens are excluded. On the other hand, farm produce consumed on farms is part of the national income.

The addition to private income of Government and local-authority trading profits and lump-sum payments from the United Kingdom Government, and the deduction of transfer incomes as detailed above, gives the concept of net national income at factor cost or, more briefly, national income. This may be defined as the income (before tax) earned by or accruing to the factors of production, in or only temporarily absent from New Zealand, in producing the current output of goods and services of all kinds. The further addition of indirect taxes (net of subsidies) is necessary to bring the net national income to market price valuation.

Gross national product is obtained by adding depreciation allowances to net national income at market prices, and represents the value of current output before deduction of allowances for depreciation and obsolescence, and is equal on the expenditure side to gross national expenditure.

The following table shows the principal of the above aggregates and the manner in which they are derived one from the other for selected years between 1938–39 and 1953–54.

PRINCIPAL INCOME AGGREGATES £ (million)

1938–391943–441945–461946–471947–481948–491949–501950–511951–521952–531953–54*

* Provisional.

PRIVATE INCOME (26)2000331.6360.3397.1446.4464.1527.6659.9675.6710.2781.4
Plus Government trading income (6)8.617.815.314.513.212.013.415.717.716.622.0
Lump sum payments from U.K. Government (7)..3.05.05.05.0............
Less Transfer incomes—           
Social security benefits and pensions (22)−7.7−15.8−20.9−34.8−37.6−39.5−42.6−47.5−53.5−54.2−58.2
Interest on public debt paid in New Zealand (8)−7.0−11.3−13.8−15.1−15.3−15.5−16.2−17.0—17.4−17.2−18.2
NET NATIONAL INCOME AT FACTOR COST (NATIONAL INCOME) (9)193.9325.3345.8366.7411.7421.1482.2611.0622.4655.5727.0
Plus Indirect taxation (10)20.631.837.343.053.046.149.855.671.067.066.6
Less Subsidies (11)−0.6−3.1−6.6−11.8−13.6−11.5−14.6−9.4−16.1−15.0−15.5
NET NATIONAL INCOME AT MARKET PRICES (12)213.9354.0376.5397.9451.1455.7517.4657.2677.3707.4778.1
Plus Depreciation allowances (13)17.020.022.026.029.032.035.039.043.046.049.0
GROSS NATIONAL PRODUCT (14)230.9374.0398.5423.9480.1487.7552.4696.2720.3753.4827.1

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 660–669.

The estimates are based primarily on details of receipts from the social security charge under the Social Security Act of 1938. This charge is levied at a flat rate on the incomes of all individuals over the age of sixteen years and on all companies trading in New Zealand. The charge is deductible at source in the case of salary and wage payments, but is payable during the year following that in which the income is earned in the case of income other than salaries and wages of individuals and company incomes.

No allowance has been made for possible evasion of taxation in the estimates, nor has it been possible to take into account “negative" income, or losses of previous years allowed as a set-off against current profits for taxation purposes.

The various aggregates are conventionally measured over a given period of time, and this in New Zealand is taken as the year ending 31 March. Values in all cases are in terms of New Zealand currency.

Full details of the methods used and a description of the items shown in the following tables are given in the Report on the Official Estimates of National Income and Sector Accounts for the Years 1938–39 to 1953–54, published by the Government Printer, Wellington.

NATIONAL INCOME AND EXPENDITURE.—It is necessary to point out that the estimates of national expenditure should be used with some caution, owing to the fact that not all of the items of expenditure can be estimated directly. On the other hand it is well to realize that, whatever inherent error there may exist in the absolute values of individual expenditure items, year-to-year changes are likely to be much more accurate, simply because the method of estimation is based on the same pattern every year.

The method necessarily adopted does not allow a check to be made on the present national income aggregates, in which no allowances have been made for any possible understatement of incomes shown in the taxation returns on which the estimates are based. Neither do they take into account “negative" incomes nor losses of previous years allowed as a set-off against current profits for taxation purposes. Any understatement of the gross product total arising from these omissions will therefore be reflected in a similar understatement of personal consumption which is shown as a residual item in the break-up of national expenditure (refer table on page 666, item 15.) Direct estimates are made of expenditure on Government-provided goods and services, gross capital formation in New Zealand by private and Government sectors, and the balance of overseas payments on current account (sometimes termed net overseas investment or net lending abroad).

This treatment has the advantage in an analysis of private income and outlay (refer table on page 667) of allowing an estimate of private savings to be made, again as a residual item, by deducting direct taxation, and personal consumption will naturally incorporate all the errors of the estimates but the major apparent error—i.e., that of understatement for the purpose of tax evasion—is cancelled out by a similar error in both private income and personal consumption totals. Thus private savings, while necessarily including other errors of the estimates, are not distorted by the factors mentioned.

The various tables are given and their derivation and composition discussed later, but before presenting this detail it is of interest to examine the relationships existing between some of the more important aggregates. The following table gives the principal of these.

PRINCIPAL AGGREGATES AND THEIR RELATIONSHIPS

1938–391943–441949–501950–511951–521952–531953–54*

* Provisional.

National income (9)£m.194325482611622656727
Gross national product (14)£m.231374552696720753827
Personal expenditure on consumer goods and services (15)£m.162177358415469462522
As percentage of gross national product 70476560656263
Gross capital formation in New Zealand (17)£m.4440119173185188164
As percentage of gross national product 19112225262520
Cost of Government-provided goods and services (16)£m.31161717896108113
As percentage of gross national product 13431311131414
Private income (26)£m.200332528660676710781
Private savings (29)£m.14807413265102106
As percentage of private income 7241420101414

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 665–669.

National income at factor cost showed a further increase of 10.9 per cent in 1953–54, as compared with an increase of 5.3 per cent in 1952–53. Salary and wage payments rose by 10.9 per cent (as against an increase of 6.3 per cent in the previous year), and other personal income by 8.5 per cent, as against an increase of 6.3 per cent previously. Of the latter group, the movement in farm incomes is by far the most important. Basing the movement in farm incomes on actual cash receipts, including releases from primary produce stabilization accounts and wool retention accounts, there was an increase in farm incomes of 10.3 per cent in 1953–54, as against an increase of 12.5 per cent in the preceding year. Company incomes (before distribution) have kept step with the rise in national income; after a decrease of 3.3 per cent in 1952–53 an upward movement of 10.9 per cent was recorded in 1953–54.

Personal expenditure on consumer goods and services, which in 1952–53 had shown a small absolute, as well as a larger proportionate, decline in terms of gross national expenditure (from 65.1 to 61.4 per cent) has risen to 63.1 per cent in the latest year under review. For reasons outlined in the notes on net overseas investment on page 665 it is not possible to effect any reliable comparison with the years prior to 1950–51.

The cost of Government-provided goods and services moved moderately upwards, but declined slightly in proportion (from 14.3 in 1952–53 to 13.7 per cent in 1953–54). While the combined investment in new equipment in the private and Government sector has been maintained at the previous year's level (if actual money expenditures are considered) and the relation between the sectors has altered but little, the year 1953–54 witnessed the second major move towards liquidation of stocks in the post-war period and is comparable to that of the year 1948–49. The result was that capital formation in New Zealand (private and Government) declined from 250 per cent of gross expenditure in 1952–53 to 19.8 per cent in 1953–54.

The Balance of Payments on current account, having improved by £25m. between 1951–52 and 1952–53, has shown a similar trend in 1953–54 and has improved by a further £33m.

The position can best be summarized by pointing out that in 1953–54 £98m. of additional resources became available as compared with the preceding year (of this £98m., £74m. became available on account of an increased gross product and £24m. from a decline in capital formation). Of this sum 61.2 per cent was utilized for increased consumption, 5.1 per cent towards the cost of Government-provided goods and services, and 33.7 per cent towards the acquisition of financial claims (or reduction of liabilities) to the rest of the world.

From the picture revealed by national income accounts it appears that business took the opportunity of a high level of demand for personal consumption (partly induced by the general wage order with effect from 1 September 1953) to reduce a significant portion of its stocks. This led to a reduction in the demand for imports. Business expectations of a possibility of falling prices have undoubtedly played a role in these developments.

For the fifth year in succession private savings have exhibited a remarkable steadiness in relation to total private income. Although at first sight it would appear that the relationship was severely disturbed by the impact of economic events in 1950–51 and their after-effects in 1951–52, the combined two-year average is still very close to 14 per cent. This is the approximate figure which represents the savings-income relationship for the period mentioned.

The four tables on pages 665–669 give the complete details of the various aggregates already mentioned and the manner in which they are derived from the accounts covering the different sectors of the economy.

National Income and Expenditure.—This table gives the composition of the gross national product and the manner in which it has been expended—i.e., gross national expenditure. As mentioned previously, personal expenditure on consumer goods and services is obtained as a residual item in this table, all other aggregates being obtained by direct assessment.

Private Income and Outlay.—This table gives in detail the break-up of private income into the various factor incomes and, on the expenditure side, the manner in which these incomes are spent on personal expenditure on consumer goods and services, paid in direct taxation, or saved. A breakup of other personal income is given for each of the years except 1943–44, when this detail was not available. The total of personal consumption derived from the preceding table is carried forward to this table, and this time private savings are obtained as a residual item. The limitations of these two residual items have already been mentioned, and for the reasons given care should be taken in their use.

It is not possible to analyse company income further, and for this reason other personal income excludes company dividends, and private savings necessarily include undistributed company profits.

General Government and Local Authority Revenue Account.—The Government sector is discussed in more detail later in this Section, but this table gives a consolidated statement of General Government and local authority revenue and expenditure, showing as a balance that portion of the revenue which was utilized for capital investment in the case of a surplus, or the call on private savings made necessary by a deficit. The effects of the heavy war expenditure in 1943–44 are indicated by the exceptional expenditure on goods and services in that year (principally on war and defence), and the consequent negative balance of £63m. in the account.

Combined Capital Account.—This account indicates the manner in which finance for capital formation has been made available—(a) from private savings, (b) from revenue surpluses of Government, and (c) from amounts set aside as depreciation allowances from income. Gross capital formation represents the construction in New Zealand or purchase from overseas of durable capital assets by the private, General Government, and local authority sectors, plus net investment in stocks by trading concerns. The net change in overseas assets is the same as the item net overseas investment shown in the table on page 666, and is an estimate of the change in our overseas investment consequent on the movement in the balance of payments on current account. Once again the effects of war finance are clearly discernible; in 1943–44 the major part of total available funds went to finance the Government deficit principally incurred on account of war expenditure.

These four tables, then, give a comprehensive picture in broad terms of the changing pattern of New Zealand's economy over a period of sixteen years which have seen the dislocating effects of a major war. One important point to consider when examining the tables, however, is that all the figures given represent “values" and consequently are inflated to a greater or less extent by price movements over the period. In the absence of any price index of a sufficiently wide coverage to deflate the various aggregates, it is necessary to recognize this fact and wherever possible make some allowance for it.

The following are the four tables mentioned.

NATIONAL INCOME AND EXPENDITURE £(million)

1938–391943–441949–501950–511951–521952–531953–54*

* Provisional.

INCOME
1. Salary and wage payments111140251279328349387
2. Pay and allowances of Armed Forces1585681112
3. Rental value, owner-occupied houses691314151619
4. Other personal income5472158243191203220
5. Company income20365871807786
6. Government and local authority trading income9181316181722
7. Lump sum payments from United Kingdom Government..3..........
8. Less Public debt interest paid in New Zealand−7−11−16−17−17−17−18
9. NET NATIONAL INCOME AT FACTOR COST194325482611622656727
10. Plus Indirect taxation21325056716767
11. Less Subsidies−1−3−15−9−16−15−16
12. NET NATIONAL INCOME AT MARKET PRICE214354517657677707778
13. Plus Depreciation allowances17203539434649
14. GROSS NATIONAL PRODUCT231374552696720753827
 EXPENDITURE
15. Personal expenditure on consumer goods and services162177358415469462522
16. Cost of Government-provided goods and services31161717896108113
17. Gross capital formation in New Zealand—       
(a) Private2226711713211486
(b) Government22144850537478
18. Net overseas investment−6−4430−30−528
19. GROSS NATIONAL EXPENDITURE231374552696720753827

The graph which follows demonstrates the use to which resources available in New Zealand were put during selected years. The numerical values for this graph are derived from the expenditure part of the preceding account, and total resources available in New Zealand are equivalent to gross national product plus deficit or minus surplus on current balance of payments accounts.

PRIVATE INCOME AND OUTLAY £(million)

1938–391943–441949–501950–511951–521952–531953–54*

* Provisional.

INCOME
20. Salary and wage payments111140251279328349387
21. Pay and allowances of Armed Forces1585681112
22. Social security benefits and pensions8164348545458
23. Rental value of owner-occupied houses691314151619
24. Other personal income 72     
(a) Professional occupations51416181920
(b) Commerce, trade, or business92733384145
(c) Farming2583118104117129
(d) Changes in balances of primary-produce stabilization accounts−21117632
(e) Change in balances in wool retention moneys....33−3−6−6
(f) Interest, rent, etc.151618181919
(g) Other278101011
25. Company income (before distribution)20365871807786
26. PRIVATE INCOME (BEFORE TAX)200332528660676710781
OUTLAY
27. Personal expenditure on consumer goods and services162177358415469462522
28. Direct taxation247596113142146153
29. Private savings—       
(a) Undistributed profits of companies148019262521106
(b) Other private savings551064081
30. PRIVATE OUTLAY200332528660676710781

The following diagram presents the distribution of personal outlay (shown in the second part of the preceding table) in graphical form.

GENERAL GOVERNMENT AND LOCAL AUTHORITIES—REVENUE ACCOUNT £(million)

1938–391943–441949–501950–511951–521952–531953–54*

* Provisional.

31. TaxationREVENUE
(a) Direct247697115144148155
(b) Indirect21325056716767
32. Trading income9181316181722
33. Less Direct taxes paid by Government trading undertakings..−1−2−2−2−2−2
34. Lump-sum payments from United Kingdom Government..3..........
35. TOTAL REVENUE54128158185231229242
EXPENDITURE
36. Cost of provision of goods and services31161717896108113
Transfer Income
37. Social security benefits and pensions8164348545458
38. Interest on public debt paid in New Zealand7111617171718
39. Subsidies13159161516
40. Balance of revenue over expenditure7−631432483537
41. TOTAL EXPENDITURE PLUS OR MINUS REVENUE BALANCES54128158185231229242

COMBINED CAPITAL ACCOUNT £(million)

1938–391943–441949–501950–511951–521952–531953–54*

* Provisional.

REVENUE
Savings       
42. Private savings14807413265102106
43. Revenue balances: General Government and local authorities7-631432483537
44. Depreciation allowances17203539434649
45. TOTAL FUNDS UTILIZED3836124203156183192
EXPENDITURE
Investment       
46. Gross capital formation in New Zealand—       
(a) Private22267112313211486
(b) General Government16103940415559
(c) Local authorities64910131919
47. Net change in overseas assets−6−4430−30−528
48. TOTAL INVESTMENT3836124203156183192

THE GOVERNMENT SECTOR.—The part played by the Government in redirecting the expenditure of that portion of the national income transferred to it from the private sector by way of taxation and trading profits becomes of increasing importance with the increasing complexity of economic issues. The changes in these directions in New Zealand are quite apparent from an examination of the tables of General Government and local authority revenue and expenditure covering selected years from 1938–39 to 1953–54, which are given further on in this Section.

  1. General Government.—The revenue account of the General Government has been obtained by an analysis of the various accounts within the public account, and represents a consolidated statement of Government revenue and expenditure. In the case of trading department operations which are treated separately, profits only are brought into the main account as a revenue item. Expenditure has been taken “net" in all cases, sundry departmental receipts, etc., being set off against departmental expenditure. The account covers only revenue items and therefore excludes capital receipts and payments of all kinds, thus accounting in part for the differences between the details given here and those given in the published statement of the public accounts in parliamentary paper B–1 [Pt. I]. In order that the difference between these two sets of figures may be appreciated a reconciliation statement is given on page 673.

Measured in money expenditures, the cost of Government-provided goods and services increased from £22.9m. in 1938–39 to £88.6m. in 1952–53 and £92.0m. in 1953–54. In 1943–44, with war expenditures at their peak, the figure stood as high as £154.3m. Expenditures in money terms do not afford, however, a meaningful series unless related to a wider frame of reference; comparing current Government expenditures with gross national product in each year, the relationship is much more constant than would appear at first sight. In 1938–39, for instance, the cost of Government-provided goods and services was 9.9 per cent of gross national product. It increased to a record level of 41.3 per cent during the war year mentioned earlier, and was 11.8 per cent in 1952–53 (a record for post-war years). During the latest year under review it fell again to 11.1 per cent. Since 1946–47 the relationship seems to fluctuate about the 11 per cent mark; these fluctuations are mostly due to the fact that the major part of Government revenue is absorbed from the national income generated in each preceding year instead of being drawn from incomes of the same year.

As far as transfer incomes are concerned (social security benefits and pensions, interest payments) the situation is entirely different. These have increased from £12.4m. in 1938–39 to £73.4m. in 1953–54, and, expressed in percentages of gross national product, from 5.4 per cent to 8.9 per cent. It is interesting to note, however, that transfer payments reached their relative peak in 1946–47, when they were equivalent to 11.3 per cent of the gross national product; since then transfer payments have absorbed a steadily declining portion of the national income.

Subsidies, which can be classed together with transfer payments—they also have a redistributive effect on the national income—exhibited an almost identical trend during the last sixteen years. Rising from £0.6m. in 1938–39 to £15.5m. in 1953–54 (from 0.3 to 1.9 per cent of gross national product respectively) they, too, reached a relative peak in 1946–47 (2.8 per cent) and have been declining gradually since then.

These transfer payments and subsidies have undoubtedly been the principal cause of the substantial increase in taxation over the fourteen years, but when their overall purpose is realized—that of redistributing the national income among different income groups—the large increases shown are seen in their correct perspective principally as pure transfer items.

The balance of revenue over expenditure represents the excess after net expenditure on normal current Government activities has been allowed for. This balance is utilized for the carrying out of necessary capital works and purchase of equipment, or for the repayment of debt. Where there is an excess of expenditure over revenue, as was the case in 1943–44, the deficit must be met by a call on private savings in New Zealand, or a decrease in net overseas investments. It is equally true, of course, that if total Government expenditure in any one year, including expenditure on capital works, exceeds revenue for that year, this overall deficit must be met in a similar way.

GENERAL GOVERNMENT—REVENUE ACCOUNT £(million)

1938–391943–441949–501950–511951–521952–531953–54*

* Provisional.

† Includes £1m. contribution under Colombo Plan in each year.

1. Taxation       
(a) Direct—REVENUE
Income tax9.331.348.459.478.178.780.8
Social security taxation5.513.431.735.843.645.549.7
National security tax..19.2..........
Land tax1.11.01.01.01.11.31.6
Death duties1.84.55.77.38.18.88.7
Other0.10.2..........
    Totals17.869.686.8103.5131.0134.3140.8
(b) Indirect—       
Sales tax3.612.714.816.821.822.021.1
Customs and excise duty11.713.926.328.637.932.732.2
Motor-vehicles taxation3.11.73.64.04.64.95.3
Other1.62.94.15.05.25.96.5
    Totals20.031.248.854.469.665.565.1
2. Totals, all taxation37.8100.8135.6157.9200.5199.8205.9
3. Trading income5.413.39.612.115.013.818.8
4. Less Direct taxation paid by trading Departments−0.2−1.0−1.5−1.5−1.9−2.4−2.0
    Totals5.212.38.110.613.111.416.8
5. Lump-sum payments from United Kingdom Government..3.0..........
6. TOTAL REVENUE43.0116.1143.7168.5213.6211.2222.7
7. Cost of Provision of Goods and Services       
EXPENDITURE
(a) General Administration2.21.89.310.713.413.613.7
(b) Interest on General Government debt paid overseas6.86.62.72.52.52.52.5
(c) Law and order0.80.81.81.51.71.41.6
(d) Development of primary and secondary industries0.71.34.95.05.36.46.6
Social Services—       
(e) Health0.81.43.43.64.34.44.7
(f) Education4.24.811.012.314.615.717.3
(g) Non - monetary social security benefits..4.58.58.79.410.410.6
(h) Other social services3.30.40.60.60.91.01.3
(i) Defence and war2.1131.28.210.617.725.728.1
(j) Rehabilitation..0.42.12.11.51.20.8
(k) Maintenance of public works and services2.01.14.33.95.56.34.8
    Totals22.9154.356.861.576.888.692.0
8. Monetary social security benefits and pensions7.715.842.647.553.554.257.8
9. Interest on General Government debt paid in New Zealand4.79.014014.815.214.815.6
    Totals12.424.856.662.368.769.073.4
10. Transfers to Local Authorities       
(a) Hospital Boards0.91.15.06.38.39.610.3
(b) Other4.71.73.72.93.74.04.9
    Totals5.62.88.79.212.013.615.2
11. Subsidies       
(a) Shipping, transport, and incidental..0.21.60.12.00.50.2
(b) Coal production and distribution..0.52.90.5..0.1..
(c) Primary production0.40.80.50.40.60.20.1
(d) Essential clothing and foodstuffs0.21.69.67.412.212.613.7
(e) Miscellaneous......0.10.70.90.2
(f) Housing suspensory loans......1.00.70.71.3
    Totals0.63.114.69.416.115.015.5
12. TOTAL EXPENDITURE41.5185.0136.7142.4173.6186.2196.1
13. Balance of revenue over expenditure1.5−68.97.026.140.025.026.6
14. TOTAL EXPENDITURE PLUS OR MINUS REVENUE BALANCES43.0116.1143.7168.5213.6211.2222.7

Local Authorities.—The revenue account of local authorities is in all respects similar to that of the General Government and has been obtained by an analysis of the accounts of all local authorities, including Hospital Boards. The limitations in the scope of local-government activities as compared with those of the General Government do not call for a detailed analysis of expenditure items, and therefore current expenditure on the provision of goods and services by local authorities is shown as a single total.

LOCAL AUTHORITIES—REVENUE ACCOUNT £(million)

1938–391943–441949–501950–511951–521952–531953–54*

* Provisional.

15. Taxation—REVENUE
(a) Direct: Rates6.26.910.311.113.013.814.3
(b) Indirect: Licence fees0.60.61.11.21.41.51.6
    Totals6.87.511.412.314.415.315.9
16. Trading income3.34.63.83.62.62.83.3
17. Grants from General Government5.62.88.79.212.013.615.2
18. TOTAL REVENUE15.714.923.925.129.031.734.4
EXPENDITURE
19. Cost of provision of goods and services8.46.614.416.718.719.421.0
20. Interest on local-authority debt paid in New Zealand2.32.32.22.22.22.42.6
21. TOTAL EXPENDITURE10.78.916.618.920.921.823.6
22. Balance of revenue over expenditure5.06.07.36.28.19.910.8
23. TOTAL EXPENDITURE (PLUS REVENUE BALANCES)15.714.923.925.129.031.734.4

Reconciliation Statement.—The reconciliation given below indicates the fundamental differences between the analysis of the public accounts made for national-income purposes and that published in parliamentary paper B–1 [Pt. I].

RECONCILIATION BETWEEN BALANCE OF REVENUE OVER EXPENDITURE PER NATIONAL INCOME ACCOUNTS, AND COMBINED SURPLUS CONSOLIDATED FUND AND SOCIAL SECURITY FUND, 1953–54 (PROVISIONAL)

24. Balance of revenue over current expenditure, per National Income Accounts (item 13, Table on page 672)£m.
 +26.6
Less 
25. Amortization of debt charged to Consolidated Fund−6.9
26. Transfer from Consolidated Fund to Defence Fund−3.5
27. Capital expenditure charged to Consolidated Fund−3.3
28. Transfer from Consolidated Fund to Public Works Account−4.4
Plus 
29. Current expenditure from Public Works Account (transfers to local authorities)+1.3
Adjustment for Trading Income 
30. Less Profits of trading Departments−18.8
31. Plus Transfers of profits to Consolidated Fund+12.3
    Total+3.3
32. Consolidated Fund surplus, 1953–541.8
33. Social Security Fund surplus, 1953–541.5
    Total, Surplus Consolidated Fund and Social Security Fund as shown in the Public Accounts B–1 [Pt. I], 1953–543.3

For the reconciliation for earlier years between the balances of revenue over expenditure and the Budget surpluses (or deficits), reference should be made to the previous issues of the Year-Book.

Firstly, it has been necessary to bring into account revenue and expenditure received and incurred by the Government other than that recorded within the limited confines of the Consolidated Fund. From 1950–51 the only other accounts involved were the Social Security Fund and the Public Works Account, the remaining accounts used in earlier years either having been closed or the amounts involved were negligible.

Secondly, adjustments have been made to Consolidated Fund revenue and expenditure. Capital receipts and payments (purchase or construction of capital assets and amortization of debt) have been eliminated. Actual profits of trading Departments earned in a given year are brought into account and transfers by them to the Consolidated Fund deducted. This ensures that only profits for the year in question are included. Transfers to the Consolidated Fund do not necessarily relate to profits earned in the year in which the transfer is made, nor do they cover total profits of all trading Departments.

The consolidated balance of total Government revenue and expenditure represents the balance, after payment for all current items, utilized for capital expenditure of all kinds both by Government administrative Departments and Government trading undertakings. Because of the strictly “cash" basis on which the public accounts are constructed, however, no allowance has been made for depreciation on the national assets, other than those administered by the trading Departments, before arriving at the revenue balance. To this extent, therefore, it represents an overstatement of the true balance on current account.

THE DISTRIBUTION OF PRIVATE INCOME.—A detailed survey of private income and outlay has already been given (refer table on page 667) for the years 1938–39, 1943–44, and 1949–50 to 1953–54. An analysis of private income, in less comprehensive form, is given below for selected years between 1938–39 and 1953–54. Group totals are shown in value form, as percentages of private income, and as index numbers on base 1938–39 (= 100).

PRIVATE INCOME

1938–391943–441945–461946–471947–481948–491949–501950–511951–521952–531953–54*

* Provisional.

† Includes changes in Primary Produce Stabilization Accounts and wool retention moneys.

Salary and wage payments (1)—           
£m.111.1140.4161.8186.3210.1226.9251.4279.2328.4349.1387.0
Per cent55.642.344.946.947.148.947.642.348.649.249.5
Index No.100126146168189204226251296314348
Pay and allowances of Armed Forces (2)—           
£m.0.958.339.48.26.44.54.65.98.410.611.9
Per cent0.517.610.92.11.41.00.90.91.21.51.5
Social security benefits and pensions (22)—           
£m7.715.820.934.837.639.542.647.553.554.258.2
Per cent3.94.85.88.88.48.58.17.27.97.67.5
Index No.100205271452488513553617695704756
Rental value of owner-occupied houses (3)—           
£m.6.48.69.410.110.911.612.713.614.816.418.8
Per cent3.22.62.62.52.42.52.42.12.22.32.4
Index No.100134147158170181198213231256294
Other personal income (excluding company dividends) (4)—           
£m.54.372.187.1109.8128.7133.4158.4242.8190.8202.9220.1
Per cent27.221.724.227.728.828.730.036.828.228.628.2
Index No.100133160202237246292447351374405
Company income (before distribution) (5)—           
£m.19.536.441.747.952.648.257.970.979.777.185.5
Per cent9.811.011.612.111.810.411.010.711.810.910.9
Index No.100187214246270247297364409395438
PRIVATE INCOME (26)—           
£m.200.0331.6360.3397.1446.4464.1527.6659.9675.6710.2781.4
Per cent100.0100.0100.0100.0100.0100.0100.0100.0100.0100.0100.0
Index No.100166180199223232264330338355391

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 665–669.

The distribution of private income, as indicated by this table, is affected to a considerable extent by the movement in the item pay and allowances of the Armed Forces over the period. In 1943–44, the peak war year, 17.6 per cent of total private income was received in this form. Its effects on aggregate salary and wage payments of civilians, which decreased as a percentage of private income from 55.6 per cent in 1938–39 to 42.3 per cent in 1943–44, and other personal income, which decreased similarly from 27.2 per cent to 21.7 per cent over the same years, can be clearly seen. It is usual to regard pay and allowances of the Armed Forces as similar to salary and wage payments, but if this is done for the war years it has the effect of temporarily inflating salary and wage payments at the expense of other personal income, since many Armed Forces personnel were not salary and wage-earners as civilians. This can lead to misleading results where a series of years covering a war and post-war period is being considered and consequently care must be used in interpreting the figures shown. Ignoring pay and allowances of the Armed Forces and considering only the post-war period, the percentage of salary and wages to private income was exceptionally low in 1950–51 (42.3 per cent), but rose again to 48.6 per cent in 1951–52 and 49.5 per cent in 1953–54. This brought it back to an average level for post-war years though still below the only recorded pre-war percentage (55.6 per cent in 1938–39).

Another item which has played an important part in altering the distribution of private income is social security benefits and pensions which, as a percentage of private income, increased from 3.9 per cent in 1938–39 to a peak of 8.8 per cent in 1946–47. Since then they have shown a steadily decreasing tendency, constituting 7.5 per cent of private income in 1953–54. If these payments are considered as supplements to normal earned incomes, then they have the effect of reducing the difference between the pre-war and post-war proportions going to salary and wage earners, a major portion of social security benefits and pensions being received by this group. However, such adjustments go past the present analysis of private income which is a study of the distribution of factor incomes rather than the distribution of incomes received by various income-earning groups—i.e., salary and wage payments not income of salary and wage earners are being considered here.

Company income, which in 1947–48 stood at over two and a half times their 1938–39 level, actually decreased in 1948–49 from £52.6m, to £48.2m. Since then the figure has risen each year to reach £77.1m. in 1952–53 and £85.5m. in 1953–54. Expressed as a percentage of private income, company income has fluctuated less than any other item.

On the other hand, other personal income, which rose very sharply in 1950–51 owing to the exceptionally large increase in farmers' incomes, dropped by over £50m. in 1951–52. The percentage of other personal income to total private income was 36.8 per cent in 1950–51; in 1951–52 the percentage fell to an average peace-time level of 28.2 per cent, which is also the figure for 1953–54.

The percentage increase in other personal income over the sixteen-year period was 305 per cent, as compared with 338 per cent in company incomes and 248 per cent in salary and wage payments.

Total private income has increased from £200m. in 1938–39 to £781m. in 1953–54 (291 per cent).

The Effects of Taxation on the Distribution of Private Income.—The redistributive effects of taxation on private income, especially by the use of steeply progressive taxation rates, can be very great. Before examining the effects on New Zealand private income, however, it is of value to compare total taxation with private income and obtain some idea of the extent to which private income is affected by this transfer to the State.

The following table shows total taxation expressed as a percentage of private income for selected years.

PRIVATE INCOME AND TOTAL TAXATION £(million)

1938–391943–441945–461946–471947–481948–491949–501950–511951–521952–531953–54*

* Provisional.

† Excluding direct taxes paid by Government trading departments.

Private income (26)200.0331.6360.3397.1446.4464.1527.6659.9675.6710.2781.4
Direct taxation (28)23.875.585.078.277.493.695.6113.1142.1145.7153.0
Indirect taxation (10)20.631.837.343.053.046.149.855.671.067.066.6
Less Subsidies (11)−0.6−3.1−6.6−11.8−13.6−11.5−14.6−9.4−16.1−150−15.5
    Total taxation less subsidies43.8104.2115.7109.4116.8128.2130.8159.3197.0197.7204.1
Total taxation less subsidies as a percentage of private income21.931.432.127.526.227.624.824.129.227.826.1

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 665–669.

Subsidies in this table are treated as negative indirect taxes and deducted from total taxation. Taxation less subsidies as a percentage of private income increased steadily throughout the war years from 21.9 per cent in 1938–39 to a peak of 32.6 per cent in 1944–45. Immediately following the war, with the reduction in the war loading on income tax from 33⅓ per cent to 15 per cent, and the removal of the national security charge, the percentage decreased steadily to 26.2 per cent of private income in 1947–48, and in the next three years fluctuated about this level. These fluctuations can largely be attributed to the fact that total taxation in any one year represents actual taxation receipts for that year. In the case of certain taxes—e.g., income tax—receipts for one year are in respect of income earned in the previous year. To this extent income earned is compared with tax paid from that income, and not with tax paid in respect of that income. Thus in 1948–49, although private income showed only a very small increase, taxation receipts increased considerably due to increased revenue from income tax assessed on 1947–48 incomes which were substantially higher than the 1946–47 level; the result was that the percentage of taxation less subsidies to private income rose by 1.4 per cent to 27.6 per cent.

In 1949–50, when private income showed a considerable increase as compared with 1948–49, the increase in taxation (mainly assessed on income in 1948–49, when company income, a major source of taxation, showed a fall) is compared with a proportionately greater increased private income total. The result is a drop in the percentage to the relatively low figure of 24.8 per cent.

In 1950–51 private income rose exceptionally rapidly owing to high wool prices. Taxation, on the other hand, was based mainly on incomes before the wool prices rose. This, combined with some concessions in tax rates, brought the percentage to its lowest post-war level of 24.1 per cent. On the other hand, in 1951–52 taxation receipts showed a substantial increase on account of the 1950–51 high wool prices, whereas some private incomes were reduced due to the lower prices in 1951–52. As a result the percentage of taxation to private income was higher than for any year since 1945–46. The latest year has been affected to a lesser extent by abnormal income fluctuations, and taxation as a percentage of private income has declined to 26.1 per cent.

Included in both income and taxation figures in the preceding table are certain transfer payments from the private sector to Government as taxation, and from the Government back to the private sector as social security benefits, pensions, and interest on the public debt. Taxation raised for such purposes is not a true indication of the contribution by the private sector as a whole to the cost of Government services. Therefore, in the following table such transfer items have been eliminated both from taxation and from incomes, the remainders then being compared to give the true picture of the real contribution made to the State from private income.

The accompanying diagram shows private income and its relation to taxation.

The payment of non-monetary social security benefits also has the effect of disturbing the comparison between taxation and private income in the years before and after their introduction. The aggregate of private income before taxation is not affected by the change, the only difference being that former direct payments for services rendered by doctors, etc., are now largely paid by the Government from the proceeds of taxation. For the purposes of the following table, payments of this nature by the Government are deducted from total taxation before obtaining a true comparison with total private income.

PRIVATE INCOME AND TOTAL TAXATION (EXCLUDING TRANSFER INCOMES AND PAYMENTS) £(million)

1938–391943–441945–461946–471947–481948–491949–501950–511951–521952–531953–54*

* Provisional.

† Excluding mental hospital benefits.

Private income before tax (26)200.0331.6360.3397.1446.4464.1527.6659.9675.6710.2781.4
Less transfer payments (8 + 22)−14.7−271−34.7−49.9−52.9−55.0−58.8−64.5−70.9−71.4−76.4
Private income (excluding transfer payments)185.3304.5325.6347.2393.5409.1468.8595.4604.7638.8705.0
    Total taxation (less subsidies)43.8104.2115.7109.4116.8128.2130.8159.3197.0197.7204.1
Less transfer payments (as above)−14.7−27.1−34.7−49.9−52.9−55.0−58.8−64.5−70.9−71.4−76.4
Non-monetary social security benefits..−4.5−5.6−6.2−7.0−7.9−8.5−8.7−9.4−10.4−10.6
    Total taxation (excluding transfer payments and subsidies)29.172.675.453.356.965.363.586.1116.7115.9117.1
Total taxation as a percentage of private income (excluding transfer payments)15.723.823.215.414.516.013.514.519.318.116.6

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 665–669.

The incidence of direct taxation on the various “factor income” groups comprising private income is shown in the next table. The balance in each case represents disposable income and the deduction of direct taxation from private income gives the concept of private disposable income.

PRIVATE INCOME AND INCIDENCE OF DIRECT TAXATION £(million)

1938–391943–441945–461946–471947–481948–491949–501950–511951–521952–531953–54*

* Provisional.

† Excludes direct taxes on Government trading profits.

Salary and wage payments (1)111.1140.4161.8186.3210.1226.9251.4279.2328.4349.1387.0
Less direct taxes4.923.426.623.823.624.726.532.536.043.951.0
 106.2117.0135.2162.5186.5202.2224.9246.7292.4305.2336.0
Pay and allowances of Armed Forces (2)0.958.339.48.26.44.54.65.98.410.611.9
Less direct taxes..3.53.31.20.40.50.50.50.60.80.8
 0.954.836.17.06.04.04.15.47.89.811.1
Social security benefits and pensions (22)7.715.820.934.837.639.542.647.553.554.258.2
Other personal income (including rental value of owner-occupied houses) (3 + 4)60.780.796.5119.9139.6145.0171.1256.4205.6219.3238.9
Less direct taxes11.825.929.629.231.037.939.547.965.960.260.8
 48.954.866.990.7108.6107.1131.6208.5139.7159.1178.1
Company income (before distribution) (5)19.536.441.747.952.648.257.970.979.777.185.5
Less direct taxes7.122.725.524.022.430.529.132.139.540.840.5
 12.413.716.223.930.217.728.838.840.236.345.0
Private income (26)200.0331.6360.3397.1446.4464.1527.6659.9675.6710.2781.4
Less direct taxes (28)23.875.585.078.277.493.695.6113.1142.1145.7153.0
PRIVATE DISPOSABLE INCOME176.2256.1275.3318.9369.0370.5432.0546.8533.5564.5628.4

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 665–669.

The effect of direct taxation in altering the distribution of the factor incomes is shown quite clearly by a comparison of the table given next with the table on page 674. Both show similar detail, the table presented earlier giving private income before tax and the table following after tax, expressed in value form, as percentages of total private disposable income, and as index numbers on base 1938–39 (= 100). For the purposes of the latter table it is necessary to group rental value of owner-occupied houses with other personal income.

PRIVATE DISPOSABLE INCOME £(million)

1938–391943–441945–461946–471947–481948–491949–501950–511951–521952–531953–54*

* Provisional.

Salary and wage payments—           
  £m.106.2117.0135.2162.5186.5202.2224.9246.7292.4305.2336.0
  Per cent60.345.749.151.050.554.652.145.154.854.153.5
  Index No.100110127153176190212232275287316
Pay and allowances of Armed Forces—           
  £m.0.954.836.17.06.04.04.15.47.89.811.1
  Per cent0.521.413.12.21.61.10.91.01.51.71.8
Social security benefits and pensions—           
  £m.7.715.820.934.837.639.542.647.553.554.258.2
  Per cent4.46.27.610.910.210.79.98.710.09.69.2
  Index No.100205271452488513553617695704756
Other personal income (including rental value of owner-occupied houses)—           
  £m.48.954.866.990.7108.6107.1131.6208.5139.7159.1178.1
  Per cent27.821.424.328.429.428.930.538.126.228.228.3
  Index No.100112137185222219269426286325364
Company income (before distribution)—           
  £m.12.413.716.223.930.217.728.838.840.236.345.0
  Per cent7.05.35.97.58.24.86.77.17.56.47.2
  Index No.100110131193244143232313324293363
Private disposable income—           
  £m.176.2256.1275.3318.9369.0370.5432.0546.8533.5564.5628.4
  Per cent100.0100.0100.0100.0100.0100.0100.0100.0100.0100.0100.0
  Index No.100145156181209210245310303320357

NOTE.—The value totals given in this table are those derived in the table given on previous page.

Reviewing the period given in these tables, the percentage increases in incomes before deduction of taxation compared with those after deduction (shown in parentheses) are as follows: salary and wages, 248 (216) per cent; other personal incomes, 305 (264) per cent; and company incomes, 338 (263) per cent.

Whereas salary and wage payments (including pay and allowances of the Armed Forces) formed 51.0 per cent of private income before tax in 1953–54, other personal income (including rental value of owner-occupied houses) 30.6 per cent, and company income 10.9 per cent, these proportions changed to 55.3 per cent, 28.3 per cent, and 7.2 per cent respectively after deduction of direct taxes, and expressed as a percentage of private disposable income. A factor of some importance which affects the comparability of these figures is the introduction of non-monetary social security benefits over the period. Taxation taken to pay for these benefits reduces private disposable income, but at the same time this income is indirectly increased by a reduction in private expenditure on the items covered by the benefits. It is not feasible to make any allowance for this factor at this point, but it should be borne in mind.

29 B—INDUSTRY SECTOR ACCOUNTS

INTRODUCTORY.—The most striking advance made in recent years in the presentation of economic statistics has been the growth, in most countries, of some form of social accounting. It involves a comprehensive and detailed accounting of the nation's economic transactions. An analysis of this nature provides a background of statistical data indispensable to a proper understanding of current economic trends and, perhaps even more important, it enables informed estimates of probable future trends to be made. Full information of the nature and a proposed schemata for the construction of social accounts appears in a publication by the United Nations Organization, wherein social accounting is briefly defined as follows:

“Instead of seeking to build up a single total, such as the national income, an investigation is first made of the classification of accounting entities, of the types of accounts that they keep, and of the transactions into which they enter. In this way all the transacting entities of an economic system are classified into broad sectors such as productive enterprises, financial intermediaries, and final consumers, and a series of accounts for each of these sectors is set up, in which the separate entries represent economically distinct categories of transactions, actual or imputed, between accounts. The national income and other similar aggregates are obtained from the system by selecting and combining the constituent entries in the accounts ”.

The present programme of work aims at showing a dissection of the economy into eighteen sectors based on the United Nations International Standard Industrial Classification. The following is a complete list (sectors marked with an asterisk (*) are published in the present Year-Book).

  • *1. Farming

  • *2. Forestry and logging

  • *3. Hunting, trapping, and fishing

  • *4. Mining

  • *5. Manufacturing—

    1. Primary produce processing industries

    2. Other manufacturing

  • *6. Building and construction

  • *7. Public utilities (electricity, gas, water, and sanitary services)

  • *8. Transport and communications

  • 9. Wholesale and retail trade

  • 10. Banking and insurance

  • 11. Ownership of dwellings

  • *12. Public administration

  • *13. Defence

  • 14. Services

  • 15. Households

  • 16. Rest of the world

  • 17. Capital account

General Principles.—The basic principle underlying the construction of sector accounts is to show financial flows corresponding to an opposite movement of raw materials, goods, services—services in this context being defined in its widest meaning, including rewards of labour and capital and rent—and transfer payments between Government and individuals (pensions, etc.), institutions (grants), and business firms (subsidies). Gifts and donations flowing between sectors (e.g., between households and non-profit organizations and incorporated societies, or between households or Government and the rest of the world) are included, but gifts and donations between individuals in their capacity of householders (final consumers) are excluded; on the other hand it is not intended to show flows of financial capital (loans and borrowings) which, as distinct from gifts and donations, leave financial claims or liabilities in their wake.

Each sector account provides an analysis of a portion of New Zealand's national product. It shows what proportion of total production has been contributed by the industry and indicates how the industry's net output (a part of net national income at factor cost—item 9, page 665) and gross output is related to the net and gross outputs of all other sectors of the economy. By tracing inflows and outflows of each account the mutual interrelationships in the economy and the interdependence of industrial sectors can be studied.

Out of a net national output (net national income at factor cost) of £655.5m. in 1952–53, £467.7m. is accounted for as shown below.

INDUSTRY SECTORNet output
 £m.
Farming170.3
Forestry and logging6.0
Hunting, trapping, and fishing2.3
Mining5.5
Manufacturing156.0
Building and construction35.5
Public utilities13.0
Transport and communications53.9
Public administration14.6
Defence10.6
    Total467.7

The difference between this figure and net national income at factor cost, viz. £187.8m., remains to be accounted for by the construction of further sector accounts.

Revision of Methods.—While the work on sector accounts was in progress, and after several accounts had already been published, two major difficulties arose which will call for substantial revisions. The first difficulty was caused by the general adoption of the United Nations International Standard Industrial Classification by the Census and Statistics Department in December 1952. The result was that certain accounts, developed previous to that date, were not consistent with the new classification of industries, while others, developed later, were in full conformity with the new classification. To quote an instance, the manufacturing account still includes the operations of electricity and gas generation and supply, these activities being again covered by the public utilities account. The other difficulty arose from reasons of a technical nature. It was found by experience that the category of capital goods produced as shown on the income side of certain sectors (manufacturing being the most important instance) was extremely difficult to assess at the point where such goods, either finished or unfinished, completely or partly assembled, left the supplying sector. The decision was therefore made during the past year to show all future accounts on an entirely different basis; instead of having an item for capital goods produced as part of the revenue of an account, it was decided to include an item of capital formation within the sector. Because it is much easier, from a statistical point of view, to estimate how much physical capital (buildings, plant, equipment, etc.) has been accumulated in each industrial sector, the result of the revised method will be an improvement of the statistical tables and an easier reconciliation with the item gross capital formation in New Zealand arrived at by the aggregative method and shown as item 17 in the table on page 666 and elsewhere.

This new concept will, of course, change to some extent the character of the sector accounts. Up to the present, individual accounts were described as Income and Expenditure Accounts and were, approximately, a composite of all manufacturing, trading, and profit and loss accounts of all firms engaged in a particular industry. Henceforth the credit side will include an item described as capital formation and the debits will be increased by an equal amount, which, however, is distributed amongst the sectors to whom payment was made for the capital goods. Although payments to other sectors will from now on include payments for currently used goods and services (charges against current revenue), as well as payments for physical capital assets, the categories which make up the net output at factor cost in each industrial sector (wages, interest, rent, and profits) will not be affected by this change in presentation.

With the exception of one account published last year, it has not, unfortunately, been possible to revise previously published accounts in conformity with the new treatment; the three accounts first published this year are constructed according to revised concepts. A revision of all other accounts will be made at the earliest possible opportunity.

The following list shows the basis on which individual accounts are constructed:

Sectors on Old Basis (Income and Expenditure Accounts)—Sectors on Revised Basis—
FarmingPublic utilities
Forestry and loggingTransport and communications
Hunting, trapping, fishingPublic administration
MiningDefence
Manufacturing 
Building and construction 

It must be pointed out, however, that even though it has not been found possible this year to put all accounts on a uniform classification and conceptual basis, the time series contained in each individual table are consistent within themselves, and are, for this reason, suitable for economic analysis and application.

Industrial Classification.—The tables in Section 29A which deal with national income aggregates contain a number of income and expenditure flows, the classification of which is not uniform. Incomes are classified either by type of income (salaries and wages), or by type and legal organization (company income as distinct from income of unincorporated businesses included in the item other personal income), or by special status of recipient (Government trading income which includes incomes of both incorporated as well as unincorporated trading undertakings). National expenditure aggregates, on the other hand, are divided into private and Government. The sector classification, it must be remembered, cuts across the break-downs shown in the above-mentioned tables. All industrial and business establishments are classified according to the economic activities they are engaged in irrespective of their legal status. Households are, for this purpose, considered as an industrial sector (or special economic function) of its own type. Similarly, all the various industrial activities of Government are included in the sectors to which they belong, with the result that only the function of administration proper is classified as a separate sector, viz., Public administration.

Net Output.—All accounts show on their expenditure or debit side items for salaries and wages and surplus which, taken together, measure the industry's contribution to national income (item 9 in table on page 665). The sum of salaries and wages and surplus (including interest, rent, and profit) is also the sum of factor incomes generated in each particular industry or, if output is measured, that portion which it contributes to national output. Sometimes the same meaning is attached to the term added value (i.e., the value added to materials and services used in an industry by the operation of labour, management, and capital).

Sector Accounts are Provisional.—Mention has already been made of certain revisions which will have to be made in the near future and the reasons for them. Moreover, only when all sector accounts are fully developed will it be possible to reconcile all interlocking sector entries between themselves. Until such time, all accounts must be considered as provisional only.

FARMING.—Apart from the points mentioned in the preceding paragraphs, it should be observed that this sector includes the primary produce stabilization accounts and wool retention accounts. Thus increases in balances in those accounts are regarded in the sector account as farming income.

INCOME AND EXPENDITURE ACCOUNT £(million)

1948–491949–501950–511951–521952–53
INCOME (GROSS VALUE OF PRODUCTS)
1. Sale of goods to sectors—     
(a) Farming3.43.94.55.35.4
(b) Manufacturing101.4111.8136.1127.3136.4
(c) Households23.025.830.038.439.8
(d) Rest of the world32.641.373.183.163.1
2. Changes in stocks0.85.725.6−19.75.0
3. Gross value of products161.2188.5269.3234.4249.7
EXPENDITURE (COSTS OF PRODUCTION)
4. Salaries and wages—     
(a) Employees28.830.434.439.841.2
(b) Working proprietors27.129.532.237.138.4
5. Surplus59.877.2144.180.190.7
6. Net output at factor cost115.7137.1210.7157.0170.3
7. Cost of materials and services from sectors—     
(a) Farming3.64.24.85.75.8
(b) Other primary sectors1.21.21.41.71.9
(c) Manufacturing20.523.826.136.036.9
(d) Rest of the world7.78.69.614.614.0
(e) Other sectors8.48.910.611.912.4
8. Depreciation4.14.76.17.58.4
9. Total cost of production161.2188.5269.3234.4249.7

FORESTRY AND LOGGING.—This account covers the logging and hauling operations of sawmills and independent contractors, planting and tending of afforestation companies and the New Zealand Forest Service, as well as the general administration of that Department. Further processing of cut logs is excluded from this sector.

INCOME AND EXPENDITURE ACCOUNT £(million)

1948–491949–501950–511951–521952–53
INCOME (GROSS VALUE OF PRODUCTS)
1. Sales of goods to sectors—     
(a) Farming0.40.50.60.70.8
(b) Mining0.10.10.10.10.1
(c) Manufacturing4.04.75.55.55.8
(d) Households0.30.30.30.40.4
2. Capital goods produced0.70.90.81.01.1
3. Charge on General Government revenue0.10.10.20.20.3
4. Gross value of products5.66.67.57.98.5
EXPENDITURE (COSTS OF PRODUCTION)
5. Salaries and wages—     
(a) Employees2.52.93.13.43.6
(b) Working proprietors0.30.40.40.40.5
6. Surplus1.21.41.81.81.9
7. Net output at factor cost4.04.75.35.66.0
8. Cost of materials and services from sectors—     
(a) Manufacturing0.60.80.80.90.9
(b) Transport and communications0.30.20.30.30.4
(c) Banking and insurance0.10.10.10.10.1
(d) Rest of the world0.40.40.50.50.6
9. Depreciation0.20.40.40.40.5
10. Total cost of production5.66.67.57.98.5

HUNTING, TRAPPING, AND FISHING.—The Hunting, Trapping, and Fishing Sector covers the residual economic transactions not already included in Farming, Forestry, or Mining. It represents such industries as fishing, hunting (destruction of deer), and trapping (eradication of rabbits). Operations of Rabbit Boards and Government form part of this sector. Pest destruction by farmers on their own farms and sporting pursuits are excluded unless produce is sold on the market.

INCOME AND EXPENDITURE ACCOUNT £(million)

1948–491949–501950–511951–521952–53
INCOME (GROSS VALUE OF PRODUCTS)
1. Sales of goods to sectors—     
(a) Manufacturing0.30.20.20.20.1
(b) Households0.70.80.90.90.9
(c) Rest of the world1.71.31.21.31.1
2. Subsidies received0.10.30.50.70.7
3. Charge on General Government revenue0.10.10.20.10.2
4. Rates from farming0.10.20.30.40.4
5. Gross value of products3.02.93.33.63.4
EXPENDITURE (COSTS OF PRODUCTION)
6. Salaries and wages—     
(a) Employees0.70.80.81.01.0
(b) Working proprietors0.60.50.60.60.5
7. Surplus0.90.80.90.90.8
8. Net output at factor cost2.22.12.32.52.3
9. Cost of materials and services from sectors—     
(a) Manufacturing0.50.50.50.60.6
(b) Other sectors0.10.10.20.20.2
(c) Rest of the world0.10.10.20.20.2
10. Depreciation0.10.10.10.10.1
11. Total cost of production3.02.93.33.63.4

MINING.—The account includes all mining operations (coal, gold, etc.) and quarrying, whether the undertakings are owned privately or by Government and local authorities. Coal depots and other distribution units are excluded and products are valued at pithead or quarry.

INCOME AND EXPENDITURE ACCOUNT £(million)

1948–491949–501950–511951–521952–53
INCOME (GROSS VALUE OF PRODUCTS)
1. Sales of goods to sectors—     
(a) Manufacturing1.11.32.63.03.1
(b) Building and construction0.81.01.21.31.5
(c) Public utilities0.40.40.50.60.6
(d) Households0.70.71.31.41.5
(e) Other sectors0.70.71.71.81.9
(f) Rest of the world1.00.91.01.01.0
2. Changes in stocks0.1..−0.1....
3. Charge on General Government revenue0.10.10.10.10.1
4. Subsidies received1.82.90.2..0.1
5. Gross value of products6.78.08.59.29.8
EXPENDITURE (COSTS OF PRODUCTION)
6. Salaries and wages—     
(a) Employees3.84.03.94.04.4
(b) Working proprietors0.20.20.20.20.2
7. Surplus0.60.80.91.00.9
8. Net output at factor cost4.65.05.05.25.5
9. Cost of materials and services from sectors—     
(a) Forestry and logging0.10.20.20.20.2
(b) Manufacturing0.60.91.11.31.4
(c) Other sectors0.40.50.60.70.8
(d) Rest of the world0.30.60.70.80.9
10. Depreciation0.70.80.91.01.0
11. Total cost of production6.7808.59.29.8

MANUFACTURING.–The account covers the full range of manufacturing activities, including electricity and gas generation and supply, which also form part of the Public Utilities Sector.

Excise duties paid on the manufacture of beer, cigarettes, and tobacco are deducted in arriving at the surplus, but no other taxation is deducted.

INCOME AND EXPENDITURE ACCOUNT £(million)

1948–491949–501950–511951–521952–53
INCOME (GROSS VALUE OF PRODUCTS)
1. Sales of goods and services to sectors—     
(a) Farming17.420.021.724.824.3
(b) Other primary sectors1.11.41.61.71.9
(c) Manufacturing54.565.477.670.187.3
(d) Building and construction22.825.127.130.232.1
(e) Households126.7133.5164.5187.8190.9
(f) Rest of the world99.3105.6120.31551178.5
(g) Other sectors41.844.549.751.153.3
2. Capital goods manufactured21.224.129.132.033.9
3. Subsidies received2.54.54.56.96.0
4. Change in stocks−3.12.16.32.1−4.8
5. Gross value of products384.2426.2502.4561.7603.4
EXPENDITURE (COSTS OF PRODUCTION)
6. Salaries and wages—     
(a) Employees64.070.481.493.999.3
(b) Working proprietors4.95.85.96.66.9
7. Surplus33.536.436.848.649.8
8. Net output at factor cost102.4112.6124.1149.1156.0
9. Cost of materials and services from sectors—     
(a) Farming105.5116.2141.9132.6142.1
(b) Other primary sectors11.312.913.512.814.9
(c) Manufacturing65.078.392.697.8111.6
(d) Building and construction1.21.11.51.71.9
(e) Rest of the world58.861.781.8111.6114.4
(f) Other sectors20.221.723.632.837.5
    Total materials and services262.0291.9354.9389.3422.4
10. Cost of electricity from Manufacturing Sector2.02.11.91.92.0
11. Depreciation7.58.39.99.010.3
12. Excise duties10.311.311.612.412.7
13. Total cost of production384.2426.2502.4561.7603.4

BUILDING AND CONSTRUCTION.—Besides building and construction work, repairs and maintenance of buildings, roads, bridges, etc., are included in this sector. Land development, drainage, river control, and the construction of public utilities are regarded as capital works and are included.

It should be noted that this sector relates to capital works or repairs and maintenance actually carried out during the year. The net output of the industry therefore correctly forms part of national product for the year. However, the output of the industry is not identical with gross capital formation, which may include imported capital equipment and increases in stocks.

INCOME AND EXPENDITURE ACCOUNT £(million)

1948–491949–501950–511951–521952–53
INCOME (GROSS VALUE OF PRODUCTS)
1. Sales of services to sectors (repairs etc.)—     
(a) Manufacturing1.2111.31.41.6
(b) Households0.20.10.20.20.3
(c) Other sectors1.11.01.21.21.3
2. Maintenance of Government works and services10.511.413.115.217.8
3. Capital goods produced (construction work etc.)49.056.061.074.480.2
4. Gross value of products62.069.676.892.4101.2
EXPENDITURE (COSTS OF PRODUCTION)
5. Salaries and wages—     
(a) Employees15.917.619.521.523.4
(b) Working proprietors3.03.44.04.65.4
6. Surplus3.43.75.16.26.7
7. Net output at factor cost22.324.728.632.335.5
8. Cost of materials and services from sectors—     
(a) Manufacturing27.930.833.336.739.3
(b) Forestry and logging, mining5.05.26.59.68.4
(c) Other sectors0.10.20.20.30.3
(d) Rest of the world6.48.47.813.017.2
9. Depreciation0.30.30.40.50.5
10. Total cost of production62.069.676.892.4101.2

PUBLIC UTILITIES.—The account covers all industrial activities in the field of electricity generation and supply, gas generation and supply, and the provision of water, drainage, and sewage services by municipal authorities or separate boards constituted for this purpose. Ancillary operations of all the establishments concerned, such as transport and retail trading, are also part of the account.

PUBLIC UTILITIES ACCOUNT £(million)

Credits1948–491949–501950–511951–521952–53

x Indicates a sum of less than £50,000.

1. Sales of goods and services to sectors—     
(a) Farming0.60.60.60.70.7
(b) Forestry and loggingxxxxx
(c) Hunting, etc.xxxxx
(d) Miningxxxxx
(e) Manufacturing2.32.42.52.62.7
(f) Building and construction0.10.20.20.10.2
(g) Banking and insurance0.10.10.20.20.2
(h) Transport and communications0.20.20.20.20.2
(i) Wholesale and retail trade1.31.41.61.71.8
(j) Public utilities0.10.10.10.10.1
(k) Public administration0.10.10.10.20.2
(l) Defence0.10.10.10.10.1
(m) Services0.10.10.20.20.2
(n) Households7.37.98.39.09.8
2. Subsidies received from General Government......0.60.6
3. Charge on local authority revenue0.60.70.70.91.0
4. Change in stocks0.2−0.2x0.5x
5. Capital formation8.79.712.313.718.5
6. Total credits21.823.427.130.836.3
Debits1948–491949–501950–511951–521952–53
7. Salaries and wages4.54.95.46.37.1
8. Surplus5.35.45.26.75.9
9. Net output at factor cost9.810.310.613013.0
10. Cost of goods and services from sectors—     
(a) Mining0.90.91.31.41.6
(b) Manufacturing1.81.92.12.23.1
(c) Building and construction4.45.97.27.910.0
(d) Transport and communications0.60.60.70.70.9
(e) Public utilities0.10.10.10.10.1
(f) Public administration0.10.10.10.20.1
(g) Banking and insurance0.10.10.10.10.2
(h) Services0.20.20.20.20.2
(i) Rest of the world3.02.53.94.16.0
11. Depreciation0.80.80.80.91.1
12. Total debits21.823.427.130.836.3

TRANSPORT AND COMMUNICATIONS.—It must be pointed out that the credit side of this account has not been fully developed as yet; further research will be necessary in order to establish the value of services rendered to various other sectors. The industry includes all forms of transport, private (licensed passenger and goods services, taxis, etc.) and Government (New Zealand Railways—excluding workshops—and the Post and Telegraph Department), coastal shipping, and air services; Harbour Boards and the waterfront industry are also part of the sector. Transport operations carried out by other industrial sectors (e.g. manufacturers', farmers', or wholesalers' vehicles) are excluded.

TRANSPORT AND COMMUNICATIONS ACCOUNT £(million)

Credits1948–491949–501950–511951–521952–53
1. Sales of services to sectors—     
(a) Households14.314.617.218.618.1
(b) Other sectors50.555.759.468.376.9
2. Rates levied0.40.40.50.50.5
3. Charge on General Government and local authority revenue2.52.31.42.61.3
4. Capital formation8.212.511.915.519.3
5. Total credits75.985.590.4105.5116.1
Debits1948–491949–501950–511951–521952–53
6. Salaries and wages—     
(a) Employees32.235.138.043.747.9
(b) Working proprietors0.70.80.80.91.0
7. Surplus4.15.44.65.85.0
8. Net output at factor cost37.041.343.450.453.9
9. Cost of goods and services from sectors—     
(a) Mining1.21.31.61.82.0
(b) Manufacturing11.713.512.915.315.5
(c) Building and construction1.62.02.43.74.8
(d) Public utilities0.20.20.20.20.2
(e) Defence0.20.1......
(f) Rest of the world12.714.917.019.523.7
(g) Other sectors6.67.07.48.09.1
10. Depreciation4.85.35.66.66.9
11. Total debits75.985.590.4105.5116.1

PUBLIC ADMINISTRATION.—The financial transactions of both General Government and local authorities are combined in this account. Although the account shows most operations controlled by General Government and local authority funds (e.g., taxation and rate receipts on one side and disbursements on the other, not only for administration but interest and subsidy payments, transfer payments, and net cost of departments with industrial functions), the cost of public administration in the strict meaning of the word can be read off the account. It is in fact the sum of expenditure for salaries and wages and cost of materials and services.

Certain independent local authorities not deriving their revenue from general rating and performing industrial functions (Power Boards, Harbour Boards, Transport or Drainage Boards, etc.) are excluded from the account altogether, and form part of their respective sectors.

PUBLIC ADMINISTRATION ACCOUNT £(million)

Credits1948–491949–501950–511951–521952–53

* Includes payments to Building and Construction for capital works formed in Public Administration.

† Includes £1,000,000 grant under Colombo Plan.

x Indicates a sum of less than £50,000.

1. Taxation revenue from sectors—     
(a) Farming14.517.623.839.933.8
(b) Forestry and logging0.30.50.60.70.6
(c) Hunting, etc.0.20.20.20.30.4
(d) Mining0.20.30.30.60.5
(e) Manufacturing21.522.224.427.828.7
(f) Building and construction1.51.72.22.63.1
(g) Public utilities0.20.20.20.30.2
(h) Transport and communications1.71.71.81.92.5
(i) Wholesale and retail trade47.048.653.469.970.4
(j) Finance7.27.19.510.211.1
(k) Services8.36.25.66.07.0
(l) Households35.837.845.451.753.9
2. Trading income from sectors—     
(a) Farming0.71.21.41.51.5
(b) Forestry and logging0.10.10.10.20.1
(c) Miningxx0.20.40.1
(d) Public utilities2.32.52.32.11.2
(e) Transport and communications0.30.31.31.30.9
(f) Wholesale and retail trade0.10.10.10.10.1
(g) Finance4.34.55.67.66.5
(h) Servicesxxx−0.1−0.2
(i) Households0.10.10.10.10.1
(j) Rest of the world0.10.10.20.20.2
3. Sales of goods and services to sectors—     
(a) Farming1.30.61.41.31.3
(b) Hunting, etc.xx0.1x0.1
(c) Manufacturing0.60.40.30.20.3
(d) Building and construction0.1xxxx
(e) Transport and communications0.40.20.20.20.2
(f) Wholesale and retail trade0.20.10.10.20.3
(g) Finance0.90.30.10.50.3
(h) Services0.40.20.30.30.2
(i) Households2.72.10.91.31.3
(j) Rest of the world0.30.30.40.20.1
4. Interest received from sectors—     
(a) Rest of the world0.20.30.40.60.6
5. Capital formation13.614.315.213.818.8
6. Total credits167.1171.8198.1243.9246.2
7. Salaries and wages9.811.112.313.414.6
8. Net output at factor cost9.811.112.313.414.6
9. Materials and services from sectors—     
(a) Farming0.40.50.50.70.6
(b) Manufacturing2.12.22.32.72.7
(c) Building and construction0.20.20.30.30.3
(d) Public utilities0.10.10.10.10.1
(e) Transport and communications1.81.62.12.32.2
(f) Finance0.30.21.81.91.9
(g) Services8.79.010.010.410.9
(h) Households0.71.31.21.41.5
(i) Rest of the world6.56.45.28.69.1
10. Current net costs of non-trading Departments in the following sectors—     
(a) Farming0.2−0.10.40.30.3
(b) Forestry and logging0.10.10.20.20.3
(c) Hunting, etc.0.10.10.10.10.2
(d) Mining0.20.10.20.20.2
(e) Manufacturing0.50.50.30.40.6
(f) Building and construction20.2*13.0*22.6*22.7*29.3*
(g) Public utilities0.60.70.70.80.9
(h) Transport and communications0.91.01.20.50.8
(i) Wholesale and retail trade0.30.80.20.30.3
(j) Finance0.10.20.20.10.1
(k) Defence7.67.510.017.024.7
(l) Services16.618.922.027.128.4
(m) Rest of the world0.20.20.40.30.4
11. Subsidies paid to sectors—     
(a) Hunting, etc.0.10.40.50.70.7
(b) Mining1.92.90.5x0.1
(c) Manufacturing2.54.54.56.85.3
(d) Public utilitiesxxx0.60.6
(e) Transport and communications3.12.50.62.00.6
(f) Wholesale and retail trade4.25.43.76.07.7
12. Transfer payments to sectors—     
A. Interest on public debt paid to sectors—     
(a) Farming1.41.41.41.41.4
(b) Public utilities0.10.10.10.10.1
(c) Finance10.110.110.210.610.5
(d) Services0.20.30.30.30.3
(e) Households1.71.71.71.71.7
B. Pensions and monetary payments to sector—     
(f) Households39.542.647.553.554.2
13. Balance of revenue over expenditure24.124.332.848.432.6
14. Total debits167.1171.8198.1243.9246.2

The following table presents an analysis of taxation receipts from industrial sectors; total taxation levied as shown in this table equals item 1 in Table on page 688.

PUBLIC ADMINISTRATION ACCOUNT: ANALYSIS OF TAXATION RECEIPTS FROM SECTORS £(million)

1948–491949–501950–511951–521952–53

x Indicates a sum of less than £50,000.

1. General Government: Direct taxation—     
A. Income tax, social security, and land tax—     
(a) Farming11.614.520.435.829.3
(b) Forestry and logging0.30.40.50.60.5
(c) Hunting, etc.0.20.20.20.30.4
(d) Mining0.20.30.30.60.5
(e) Manufacturing10.710.412.214.615.9
(f) Building and construction1.41.62.02.32.8
(g) Public utilities0.20.20.20.30.2
(h) Transport and communications1.21.21.31.42.0
(i) Wholesale and retail trade15.214.314.516.721.3
(j) Finance6.26.18.49.09.9
(k) Services5.53.12.02.32.8
(l) Households26.628.734.439.040.0
B. Death Duties—     
(m) Households6.05.77.38.18.8
2. General Government: Indirect taxation—     
(a) Farming0.30.30.30.40.4
(b) Manufacturing10.411.411.812.712.3
(c) Transport and communications0.10.10.10.10.1
(d) Wholesale and retail trade30.833.137.651.647.4
(e) Finance0.30.30.40.40.4
(f) Services2.52.73.23.33.8
(g) Households0.80.80.91.01.1
3. Local authorities: Direct taxation—     
Rates—     
(a) Farming2.52.73.03.53.8
(b) Manufacturing0.40.40.40.50.5
(c) Wholesale and retail trade0.91.01.11.31.3
(d) Finance0.40.40.40.40.4
(e) Services0.30.40.40.40.4
(f) Households2.32.42.63.33.6
4. Local authorities: Indirect taxation—     
Licence fees—     
(a) Farming0.10.10.10.20.3
(b) Forestry and loggingx0.10.10.10.1
(c) Building and construction0.10.10.20.30.3
(d) Transport and communications0.40.40.40.40.4
(e) Wholesale and retail trade0.10.20.20.30.4
(f) Finance0.30.30.30.40.4
(g) Households0.10.20.20.30.4
5. Total taxation revenue138.4144.1167.4211.9212.2

DEFENCE.—The financial transactions arising out of the operations of the three armed services are described in this account. The net cost shown in the account differs from that presented in item defence and war (item 7(i) in the table on page 671), because the cost of civilian staff and certain operations of the Naval Dockyard are excluded from this account.

DEFENCE ACCOUNT £(million)

Credits1948–491949–501950–511951–521952–53
1. Charge on General Government revenue7.57.610.017.024.8
2. Sales of goods and services to sectors—     
(a) Farming0.20.10.10.10.2
(b) Manufacturing0.40.1......
(c) Transport and communications0.10.10.20.10.1
(d) Public administration0.30.10.10.10.1
(e) Households0.10.20.20.20.3
(f) Rest of the world0.10.10.10.10.1
3. Total credits8.78.310.717.625.6
Debits1948–491949–501950–511951–521952–53
4. Pay and allowances of the Armed Forces4.54.65.98.410.6
5. Surplus     
6. Net output at factor cost4.54.65.98.410.6
7. Cost of goods and services from sectors—     
(a) Farming0.10.20.30.30.5
(b) Manufacturing0.91.01.02.23.8
(c) Building and construction0.91.01.52.22.5
(d) Public utilities0.10.10.10.10.1
(e) Transport and communications0.60.40.40.61.0
(f) Services0.50.30.10.30.3
(g) Households....0.10.10.1
(h) Rest of the world1.61.42.44.88.6
Less     
8. Pay and allowances in kind−0.5−0.7−1.1−1.4−1.9
9. Total debits8.78.310.717.625.6

29 C—BALANCE OF PAYMENTS

INTRODUCTORY.—The link between external economic transactions and the domestic economy is given by the net balance between all credits (exports and other current receipts) and all debits (imports and other current payments) and is called the balance of payments on current account. Irrespective of whether this balance is a surplus or a deficit, it evokes a corresponding movement in the country's claims or liabilities to residents of all other countries; a deficit on current account will increase this country's liabilities and decrease its claims on overseas residents, and a surplus will have the opposite effect. These capital movements can be summarized under the term of “net overseas disinvestment” and “net overseas investment” which are due to a deficit or surplus on current account respectively.

It is this net capital balance, net overseas investment (denoted with a minus sign in the case of a current deficit or capital disinvestment), which appears in the aggregative national income estimates (Section 29A, page 665). A current surplus or net overseas investment means in this context that a certain portion of the gross national product has been expended on or disposed of—in the same way as other portions of the gross national product are expended on private consumption, Government consumption, or the formation of new physical capital assets—to create a financial claim on nonresidents.

It should be noted that in this instance only the net balance was integrated into a system of national accounts. Another application of balance of payments accounts is to show gross figures—all credits and debits on current account—and allocate exports and other receipts from overseas together with imports and payments to overseas to the industry sectors concerned. The account which summarizes current sector transactions with other countries is the “Rest of the World” account, while the net balance—which is purely a change in financial claims or liabilities—finds its place in the capital account. Both accounts are mentioned in Section 29B, dealing with industry sector accounts.

Finally, apart from its importance within the framework of social accounting, a balance of payments account, as a record of economic transactions with other countries, is an important set of economic statistics on its own merits. As an independent presentation it shows in detail various types of payments and receipts, it concerns itself with transactions by currency areas, presents its capital account on a gross basis in order that various classes of capital movements can be studied in isolation, and so forth.

The present series of balance of payments estimates is based on the principles adopted by successive manuals published by the International Monetary Fund, and is in conformity with the methods used in most overseas countries. The statement is divided into a current account and capital account, which are described below. It will be seen that the balances on both accounts are, by definition, of the same magnitude; the capital account shows how the surplus or deficit on current account was financed. For a more detailed description of statistical concepts and methods used in preparing balance of payments estimates, refer to the Report on the Official Estimates of Balance of Payments for the Years 1950–51 to 1953–54, obtainable from the Government Printer, Wellington.

Current Account.—In very general terms, the current account shows the results of the year's trading with other countries when goods as well as services are included; and a credit balance in this account indicates that more has been sold to other countries than has been bought from them, thus increasing their indebtedness to New Zealand or reducing New Zealand indebtedness to them.

More strictly defined, the current account records all transactions other than those representing changes in the international creditor-debtor position. Every attempt is made to record transactions on a gross credit-debit basis rather than on the basis of net settlements. The current account includes both credits and debits in respect of merchandise, services (invisibles), as well as unilateral transfers (donations), and movements in non-monetary gold which, in essence, represent net additions to gold reserves. The difference between current credits and current debits is the balance of payments surplus (deficit) on current account; it is the measure of the extent to which a country does or does not live within its current income. It is the most significant datum emerging from a balance of payments compilation.

Capital Account.—The capital account records all known changes in claims on, or liabilities to, the rest of the world. Of the items comprising the capital account, the category of net overseas assets—the overseas exchange holdings of New Zealand's banking system—is most widely known and appreciated. Its importance lies in the fact that it records changes in overseas liquid resources which by their nature can be made immediately available for purposes of imports, public debt repayments, capital investments, etc. But within the confines of the balance of payments capital account the movement in net overseas assets is only one of several other capital movements with which it forms an integral part; it is the combination of all these capital changes which must be studied in order to understand the financing of the current surplus or deficit.

Attention is drawn to the item other short term capital movements including errors and omissions, which is a balancing residual in the capital account. Apart from certain inevitable errors of estimation and omissions due to incomplete information available, the above-mentioned item gives a valuable pointer to year to year changes in “leads and lags” of short term commercial credit (time extensions or restrictions in credit facilities to New Zealand exporters or importers by overseas buyers or sellers) and other capital movements not explained elsewhere.

BALANCE OF PAYMENTS AND EXCHANGE RECORD.—There are several very important differences between a balance of payments statement and the statistics of overseas receipts and payments which are included in an exchange record, e.g.—

  1. The former attempts to show all economic transactions between residents of one country and residents of other countries, whereas the exchange record shows only transactions involving remittances:

  2. The import and export figures in the balance of payments are based on trade (Customs) statistics, which enable goods to be valued at a definite and uniform valuation boundary—viz., f.o.b. country of export or import; the exchange record, on the other hand, records remittances for imports and exports whenever these are made and without adhering to any valuation boundary (f.o.b. or c.i.f.). The result is a difference both in timing and valuation between the two statements:

  3. Whereas exchange statistics record net settlements resulting from a number of possible contra-entries or offsets, the balance of payments shows these transactions as far as possible on a gross basis.

Other differences arise from the fact that the balance of payments is constructed on a basis of country of origin for imports and country of destination for exports, country of residence of remittor or remittee, and nationality in the case of shipping companies, whereas the record of exchange transactions is based on the country of monetary settlement.

GENERAL.—The balance of payments is a record of economic transactions between residents and non-residents.

Residents are all persons living permanently in New Zealand (or for a period exceeding twelve months), subsidiaries and branches of overseas companies being treated as residents, while subsidiaries and branches of New Zealand companies operating overseas are regarded as residents of the country of their business.

In order to simplify the rather complex operations of overseas shipping companies, the shipping transactions of their branches in New Zealand (such as their receipts of freights, port disbursements, administrative expenses in New Zealand) are regarded as transactions of non-residents, by way of exception to the general rule stated above; on the other hand, their investment activity is included in the data on New Zealand Branches of Overseas Companies (page 706) and conforms to the general rule.

GEOGRAPHICAL DIVISION.—The regional break-up of the balance of payments is on a geographical (as distinct from a currency) basis. This means that it is not the currency in which any economic transaction is settled but the nationality of New Zealand's immediate partner in the transaction which determines in which regional column the transaction is recorded. Any exception to this rule is due to statistical necessity—insufficiency of basic data, etc.—rather than choice.

The New Zealand figures include transactions of New Zealand's dependent Island Territories and the Trust Territory of Western Samoa.

The following geographical division of other areas has been chosen in order to group together countries whose currencies are of particular economic interest.

Other Sterling Countries.—Other Commonwealth countries (excluding Canada and Newfoundland) and their trustee and dependent territories; the colonies, protectorates, and trustee territories, etc., of the United Kingdom, the Republic of Ireland, Burma, Iraq, and Iceland.

U.S.A. and Canada.—The United States of America, including its possessions, and Canada, including Newfoundland.

Other Dollar Countries.—All Central American Republics; Cuba, Haiti, Dominican Republic; Colombia, Venezuela, Ecuador, Bolivia; the Philippine Islands.

O.E.E.C. Countries.—These are the member countries of the Organization for European Economic Co-operation—France, Italy, Belgium, Luxemburg, Netherlands, Sweden, Norway, Denmark, Switzerland, Portugal, Austria, Greece, Turkey, West German Federal Republic, and Trieste, together with their dependent overseas territories, but not Indonesia, which is included in “Other Countries”.

Other Countries.—All countries not included in any other group.

ACCOUNTING PERIOD.—All estimates are for financial years ending 31 March.

SUMMARY TABLES, CURRENT AND CAPITAL ACCOUNTS.—The following table summarizes current transactions with all countries. The figures shown in the credit, debit, and net balance columns are the same as those appearing in the “Total, All Countries” columns in the tables on pages 698–700.

Current AccountCreditsDebitsNet Balance
1951–521952–531953–541951–521952–531953–541951–521952–531953–54

Minus (−) sign denotes excess of imports over exports or payments over receipts.

Merchandise transactions f.o.b.£(NZ)000£(NZ)000£(NZ)000£(NZ)000£(NZ)000£(NZ)000£(NZ)000£(NZ)000£(NZ)000
 251,750241,550247,050236,650207,850180,60015,10033,70066,450
Non-monetary gold90020050   90020050
Transportation5,45011,35010,55032,30029,80021,050−26,850−18,450−10,500
Travel1,5501,8001,7505,9504,8004,700−4,400−3,000−2,950
Insurance1,100450400500600750600−150−350
International investment income—         
Income from direct investment2,0001,6501,9504,9507,3509,400......
Other private investment1,9001,7002,1504,2002,550550......
Government and official institutions1,3001,9503,2502,5002,5002,450......
Local authority interest   200200200......
    Totals5,2005,3007,35011,85012,60012,600−6,650−7,300−5,250
Government transactions—         
New Zealand and foreign Government expenditure6003506006,6009,10012,300......
New Zealand Government receipts3001,100600............
    Totals9001,4501,2006,6009,10012,300−5,700−7,650−11,100
Miscellaneous receipts and payments3,0503,7002,5004,7505,2505,550−1,700−1,550−3,050
Films......600750800−600−750−800
Unilateral transfers—         
Government contribution to Colombo Plan......1,0001,0001,000......
Personal remittances and other donations and transfers3,0503,3502,9503,0503,4503,050......
Migrants' funds3,1002,4501,7002,3001,9502,500......
Legacies1,3001,1009001,1501,1001,300......
    Totals7,4506,9005,5507,5007,5007,850−50−600−2,300
Grand totals277,350272,700276,400306,700278,250246,200−29,350−5,55030,200

The consolidated capital account shown below summarizes capital transactions with all countries; it consists of the Total, All Countries column of the table on pages 702–704, but some of the items are presented in simplified form (by adding or off-setting capital movements where these have occurred in respect of equally defined items).

Capital Account1951–521952–531953–54
Increase inIncrease inIncrease in
 AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities

Minus (−) sign denotes a decrease.

£(N.Z.)000
Long term capital (private)—      
Overseas direct investment in New Zealand..12,400..9,650..500
New Zealand direct investment overseas950..1,000..1,850..
Other long term capital movements−1,750..−4,900......
Long term capital (Government)—      
Government investments5,600..−2,500..4,500..
Public debt..........12,400
Local authority debt..−100..−50..−150
Long term capital (official and banking institutions)—      
New Zealand Wool Commission....3,000..150..
Investments in United Kingdom-Dominion Wool Disposals Ltd.−800..........
Wool credit to France............
Wool credit to Czechoslovakia50..........
Short term capital (Government)—      
Government cash balances−50..350..750..
Other..250..500..750
Short term capital and monetary gold (official and banking institutions)—      
Net overseas assets−21,000..23,150..27,100..
Monetary gold900..200..50..
Other short term capital movements, including errors and omissions..700..15,7509,300..
Balance on Capital Account−29,350−5,55030,200

MERCHANDISE TRANSACTIONS: Exports.—The source of the export tables is Customs information on total exports (exclusive of ships' stores) at f.o.b. valuation; exports from New Zealand to Western Samoa have been excluded from Customs figures, but exports from Western Samoa and Cook Islands to other countries have been added to New Zealand totals. The remaining adjustments are for items which are either entirely omitted from Customs statistics (relief supplies, ships and aircraft sold and leaving under their own power), items where the valuation requires correction (parcel post, cheese export values, operation of United Kingdom - Dominion Wool Disposals, Ltd.), and items which are accounted for elsewhere in the balance of payments (export of gold).

ExportsUnited KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries
£(N.Z.)000
1951–52
Exports f.o.b. (excluding ships' stores and exports to Western Samoa)142,75012,05042,05075040,65010,200248,400
Plus adjustment for parcel post45025050....50800
Plus adjustment for relief supplies..100....150100350
Plus exports from Cook Islands and Western Samoa950200450......1,600
Plus exports of ships' stores and bunkers1,2505050..501001,450
Plus sale of vessels and aircraft....50..100..150
Less valuation adjustments for cheese exports−150..........−150
Plus adjustment in respect of wool exports150.........150
Less exports of monetary gold..−1,000........−1,000
Exports (adjusted) f.o.b.145,40011,65042,65075040,95010,450251,750
1952–53
Exports f.o.b. (excluding ships' stores and exports to Western Samoa)163,20011,25028,35060027,4507,250238,100
Plus adjustment for parcel post35020050..50..650
Plus adjustment for relief supplies50100....100100350
Plus exports from Cook Islands and Western Samoa1,35050300......1,700
Plus exports of ships' stores and bunkers1,0505050..1001001,350
Plus sale of vessels and aircraft....50......50
Less valuation adjustments for cheese exports−200..........−200
Less exports of monetary gold..−450........−450
Exports (adjusted) f.o.b.165,80011,20028,80060027,7007,450241,550
1953–54
Exports f.o.b. (excluding ships' stores and exports to Western Samoa)164,20012,85019,80090036,8508,800243,400
Plus adjustment for parcel post15020050......400
Plus adjustment for relief supplies50100....250250650
Plus exports from Cook Islands and Western Samoa1,050100400......1,550
Plus exports of ships' stores and bunkers90050....50501,050
Plus sale of vessels and aircraft..50........50
Less exports of monetary gold..−50........−50
Exports (adjusted) f.o.b.166,35013,30020,25090037,1509,100247,050

Imports.—The basic figures in the import tables also originate in Customs statistics. New Zealand imports from Western Samoa have been excluded from the Customs figures, but imports into Cook Islands and Western Samoa from other countries have been added. Besides additions for aircraft and ships arriving in New Zealand under their own power, there is a deduction for notional import values of commercial films; remittances of film rentals which express more exactly the cost of films to this country are substituted for the latter.

It is necessary to comment here on the valuation method adopted for imports. Balance of payments accounts treat freight and marine insurance payments on imports—as far as they are made to non-residents—as invisible payments. As a result, merchandise transactions are shown on a f.o.b. valuation basis for imports and exports alike. This method of treatment has many advantages, and international comparability of merchandise movements is one of them.

There is, however, no provision in New Zealand statistics for a f.o.b. valuation of imports; all imports—as distinct from exports which have always been valued f.o.b.—are valued on the basis of “current domestic value,” and only lately has a c.i.f. valuation been introduced. Evidence suggests that f.o.b. values are, on the average, higher than current domestic values as defined by the Customs Department. Packing and transport charges from warehouse to port in exporting countries and buying commissions would account for the greater portion of the difference. This difference has been estimated from all the data at present available and added to c.d.v. Customs figures.

ImportsUnited KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries
£(N.Z.)000
1951–52
Imports f.o.b. (excluding imports from Western Samoa)126,10046,90029,20070019,20011,100233,200
Plus imports of vessels and aircraft2,450......200..2,650
Plus imports into Cook Islands and Western Samoa350400250..50501,100
Less imports of cinematographic films−50−150−100......−300
Imports (adjusted) f.o.b.128,85047,15029,35070019,45011,150236,650
1952–53
Imports f.o.b. (excluding imports from Western Samoa)109,60039,90026,20055018,6009,050203,900
Plus imports of vessels and aircraft2,250450....150..2,850
Plus imports into Cook Islands and Western Samoa500500300..501501,450
Less imports of cinematographic films-100−100−150......−350
Imports (adjusted) f.o.b.112,25040,75026,35055018,8009,200207,850
1953–54
Imports f.o.b. (excluding imports from Western Samoa)100,85041,60015,55085012,4005,450176,700
Plus imports of vessels and aircraft3,250......100..3,350
Plus imports into Cook Islands and Western Samoa350350150..5050950
Less imports of cinematographic films−100−150−150......−400
Imports (adjusted) f.o.b.104,35041,80015,55085012,5505,500180,600

CURRENT ACCOUNT.—Both Current Account tables (credits and debits) comprise data of the merchandise trade (as shown in export and import tables on page 696 and above) and current invisibles. The figures for the latter are based on exchange control data which are adjusted for balance of payments purposes.

Credits.—The item non-monetary gold represents the purchase by the Reserve Bank of gold produced in this country. Transportation represents mainly port disbursements (exclusive of bunkers and provedoring) of overseas shipping companies operating in New Zealand; their establishment expenses, however, are included in miscellaneous receipts. The regional break-up of travel receipts is subject to revision; at present it is still shown on the basis of currency received rather than residence (nationality) of traveller. The all countries total is, however, not affected. International investment income consists of net (after overseas taxes) earnings of New Zealand companies operating overseas, irrespective of whether these have been remitted to New Zealand or reinvested overseas.

CreditsUnited KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries
£(N.Z.)000
1951–52
Exports f.o.b.145,40011,65042,65075040,95010,450251,750
Non-monetary gold............900
Transportation4,500700....502005,450
Travel700750100......1,550
Insurance65040050......1,100
International investment income—       
  Income from direct investment overseas4501,200350......2,000
  Other private investment income90090050..50..1,900
  Interest on investments of Government and official institutions1,150......150..1,300
Government transactions—       
  Expenditure by foreign Governments in New Zealand5035050..10050600
  New Zealand Government current receipts from overseas100200........300
Miscellaneous receipts1,700850350..100503,050
Unilateral transfers—       
  Personal remittances and other donations and transfers1,850900200..50503,050
Immigrants' funds2,75025050..50..3,100
  Legacies1,10015050......1,300
    Total credits161,30018,30043,90075041,50010,800277,350
1952–53
Exports f.o.b.165,80011,20028,80060027,7007,450241,550
Non-monetary gold............200
Transportation5,5003,1001,900..65020011,350
Travel750950100......1,800
Insurance30010050......450
International investment income—       
  Income from direct investment overseas3001,000350......1,650
  Other private investment income550750350..50..1,700
  Interest on investments of Government and official institutions1,800......150..1,950
Government transactions—       
  Expenditure by foreign Governments in New Zealand1505050..5050350
  New Zealand Government current receipts from overseas150950........1,100
Miscellaneous receipts2,500800350..50..3,700
Unilateral transfers—       
  Personal remittances and other donations and transfers1,9001,050300..50503,350
  Immigrants' funds2,10025050....502,450
  Legacies850150100......1,100
    Total credits182,65020,35032,40060028,7007,800272,700
1953–54
Exports f.o.b.166,35013,30020,25090037,1509,100247,050
Non-monetary gold............50
Transportation8,9501,000250..20015010,550
Travel6001,000150......1,750
Insurance100250......50400
International investment income—       
  Income from direct investment overseas5001,150100..1001001,950
  Other private investment income1,400450150....1502,150
  Interest on investments of Government and official institutions3,000100....150..3,250
Government transactions—       
  Expenditure by foreign Governments in New Zealand400..50..10050600
  New Zealand Government current receipts from overseas150350100......600
Miscellaneous receipts1,600450400..50..2,500
Unilateral transfers—       
  Personal remittances and other donations and transfers1,650900350..50..2,950
  Immigrants' funds1,35025050..50..1,700
  Legacies65020050......900
    Total credits186,70019,40021,90090037,8509,600276,400

Debits.—Transportation consists mainly of freight and marine insurance on imports paid to nonresident shipping companies and port disbursements by New Zealand companies overseas and charters. Travel is exclusive of fares paid in New Zealand which are included in the transportation account. International investment income is based on total earnings of overseas companies operating in New Zealand, irrespective of whether these are remitted or re-invested in New Zealand. (Refer also to table on page 707—Summary of Overseas Direct Investment in New Zealand.) The item films represents film rentals of commercial films exhibited in New Zealand. Unilateral transfers is the general term for donations or transactions where there is no quid pro quo, as would be the case with merchandise transactions or the rendering of services; the item in the tables consists both of monetary payments as shown in the exchange record and Government and private supplies in kind, such as the estimated value of gift parcels, relief supplies, etc. Migrants' funds and legacies are included in the same group because, from a country's point of view, there is no “consideration" in the ordinary meaning of the word.

DebitsUnited KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries
£(N.Z.)000
1951–52
Imports f.o.b.128,85047,15029,35070019,45011,150236,650
Transportation28,3507001,400..95085032,300
Travel3,9501,700250..50..5,950
Insurance45050........500
International investment income—       
  Income from direct investment in New Zealand3,1502,200600......5,950
  Other private investment1,550900700....503,200
  Interest on Government debt2,500..........2,500
  Interest on local authority debt200..........200
Government transactions—       
  Current Government expenditure5,0501,050350..501006,600
Miscellaneous payments1,8509501,500..400504,750
Films50100450......600
Unilateral transfers—       
  Government contribution to Colombo Plan..1,000........1,000
  Personal remittances and other donations and transfers1,2001,150100..2503503,050
  Emigrants' funds9501,150150....502,300
  Legacies70040050......1,150
    Total debits178,80058,50034,90070021,15012,600306,700
1952–53
Imports f.o.b.112,25040,75026,35055018,8009,200207,850
Transportation21,7501,0001,500..3,7501,80029,800
Travel3,3501,250150..50..4,800
Insurance500100........600
International investment income—       
  Income from direct investment in New Zealand4,2001,6501,500......7,350
  Other private investment1,750650....501002,550
  Interest on Government debt2,500..........2,500
  Interest on local authority debt200..........200
Government transactions—       
  Current Government expenditure4,9003,1001,100......9,100
Miscellaneous payments2,2501,1001,350..4501005,250
Films100150500......750
Unilateral transfers—       
  Government contribution to Colombo Plan..1,000........1,000
  Personal remittances and other donations and transfers1,4501,150100..4003503,450
  Emigrants' funds1,000750150..50..1,950
  Legacies65040050......1,100
    Total debits156,85053,05032,75055023,55011,550278,250
1953–54
Imports f.o.b.104,35041,80015,55085012,5505,500180,600
Transportation17,000950550..1,90065021,050
Travel3,2501,250150..50..4,700
Insurance450150150......750
International investment income—       
  Income from direct investment in New Zealand5,1502,0502,100..100..9,400
  Other private investment income....550......550
  Interest on Government debt2,450..........2,450
  Interest on local authority debt200..........200
Government transactions—       
Current Government expenditure8,0503,750500......12,300
Miscellaneous payments2,4001,2001,550..350505,550
Films150100550......800
Unilateral transfers—       
  Government contribution to Colombo Plan..1,000........1,000
  Personal remittances and other donations and transfers1,0001,100100..3505003,050
  Emigrants' funds1,400900150..50..2,500
  Legacies80045050......1,300
    Total debits146,65054,70021,95085015,3506,700246,200

Current Account (Net).—The following tables are arrived at by offsetting debits and credits in respect of corresponding groups of items.

Net AmountsUnited KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries

Minus (−) sign denotes excess of imports over exports or payments over receipts.

£(N.Z.)000
1951–52
Merchandise transactions16,550−35,50013,3005021,500−70015,100
Non-monetary gold............900
Transportation−23,850..−1,400..−900−650−26,850
Travel−3,250−950−150.−50..−4,400
Insurance20035050......600
International investment income−4,900−1,000−900..200−50−6,650
Government transactions−4,900−500−300..50−50−5,700
Miscellaneous−150−100−1,150..−300..−1,700
Films−50−100−450......−600
Unilateral transfers2,850−2,400....−150−350−50
Balance on Current Account−17,500−40,2009,0005020,350−1,800−29,350
1952–53
Merchandise transactions53,550−29,5502,450508,900−1,75033,700
Non-monetary gold............200
Transportation−16,2502,100400..−3,100−1,600−18,450
Travel−2,600−300−50..−50..−3,000
Insurance−200..50......−150
International investment income−6,000−550−800..150−100−7,300
Government transactions−4,600−2,100−1,050..5050−7,650
Miscellaneous250−300−1,000..−400−100−1,550
Films−100−150−500......−750
Unilateral transfers1,750−1,850150..−400−250−600
Balance on Current Account25,800−32,700−350505,150−3,750−5,550
1953–54
Merchandise transactions62,000−28,5004,7005024,6003,60066,450
Non-monetary gold............50
Transportation−8,05050−300..−1,700−500−10,500
Travel−2,650−250....−50..−2,950
Insurance−350100−150....50−350
International investment income−2,900−350−2,400..150250−5,250
Government transactions−7,500−3,400−350..10050−11,100
Miscellaneous−800−750−1,150..−300−50−3,050
Films−150−100−550......−800
Unilateral transfers450−2,100150..−300−500−2,300
Balance on Current Account40,050−35,300−505022,5002,90030,200

The following diagram shows New Zealand's balance of payments by Monetary Areas for the four years 1950–51 to 1953–54.

NOTE.—In some instances balances with certain areas are too small to register on the diagram.

CAPITAL ACCOUNT.—As mentioned in the introductory notes, it is the purpose of the Capital Account to explain how the current surplus or deficit has been financed or, in other words, what changes have occurred to various overseas assets and liabilities (long term, short term, gold reserves) to account for the balance on current account. The tables are largely self-explanatory, but one or two points require mention. The item net overseas assets (of official and banking institutions) is shown in the column of the United Kingdom, although this is not strictly correct. Gross overseas assets and gross overseas liabilities of the Reserve Bank and trading banks arising out of New Zealand business are to a small extent owned or due in currencies other than sterling. At present it has been found impossible to separate movements in other than net sterling assets, but the resulting error is believed to be not very significant. There is another point in connection with this item which should be explained: Net overseas assets are shown here under the description of “Short term capital and monetary gold—official and banking institutions”. It is well known, of course, that a portion of what is commonly known as sterling exchange is held in the form of investments in United Kingdom stock or short-dated United Kingdom Government paper; these are purchased or sold according to whether there is need for liquidity or not. It is largely a matter of interpretation whether these investment would be treated as short term or long term. The treatment accorded to the item in the table is one of convenience.

Attention is drawn to the items “Other short term capital movements (including errors and omissions)" and “Multilateral transfers”. At the present stage of the Department's investigation it is impossible to separate the two items on an area by area basis, and they are bracketed together. They are shown in one figure in the regional columns, and are merely the residual between the balance on capital account for each area and the capital items which are estimated and shown separately in the same area column.

In the way in which these are shown in the regional columns, they represent—(a) short term capital movements between each respective area and New Zealand, (b) multilateral transfers—i.e., the differences between current account transactions between New Zealand residents and the residents of the respective areas and the movement of financial assets or liabilities in the same area. To give an example, a difference of this kind would arise in the following instance: New Zealand imports of oil from, say, Indonesia may be settled by a remittance to the United Kingdom. While the Current Account between New Zealand and Indonesia (included in the regional column “Other countries”) would show a debit in that column, the decrease in our overseas assets (from which the payment is made) is shown in the column for the United Kingdom. The purpose of the multilateral transfer entry is to credit the Capital Account of the United Kingdom, and debit the Capital Account of the “Other countries” column, in order to compensate the divergent movement in the Current and Capital Accounts.

Capital AccountUnited KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar Countries
Increase inIncrease inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
£(N.Z.)000
1951–52
Long term capital (private)—        
  Overseas direct investment in New Zealand..8,900..1,650..1,400....
  New Zealand direct investment overseas−300..850..400......
  Other long term capital movements−2,300−200−600−85050......
Long term capital (Government)—        
  Government investments5,650..−50..........
  Public debt................
  Local authority debt..−100............
Long term capital (official and banking institutions)—        
  Investment in United Kingdom-Dominion Wool Disposals Ltd.−7,900−7,100............
  Wool credit to France................
  Wool credit to Czechoslovakia................
Short term capital (Government)—        
  Government cash balances−50..−50..50......
  Other......250........
Short term capital and monetary gold (official and banking institutions)—        
  Net overseas assets−21,000..............
  Monetary gold................
Other short term capital movements (including errors and omissions)9,900....39,3009,900..50..
Multilateral transfers
    Balance on Capital Account−17,500−40,200+9,000+ 50
Capital AccountO.E.E.C. CountriesOther CountriesTotal, All Countries
Increase inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
Long term capital (private)—      
  Overseas direct investment in New Zealand..400......12,400
  New Zealand direct investment overseas100..−100..950..
  Other long term capital movements....50..-2,800−1,050
Long term capital (Government)—      
  Government investments........5,600..
  Public debt...........
  Local authority debt..........−100
Long term capital (official and banking institutions)—      
  Investment in United Kingdom-Dominion Wool Disposals Ltd.........−7,900−7,100
  Wool credit to France...........
  Wool credit to Czechoslovakia....50..50..
Short term capital (Government)—      
  Government cash balances........−50..
  Other..........250
Short term capital and monetary gold (official and banking institutions)—      
  Net overseas assets........−21,000..
  Monetary gold........900..
Other short term capital movements (including errors and omissions)20,650....1,800..700
Multilateral transfers....
    Balance on Capital Account+20,350−1,800−29,350
Capital AccountUnited KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar Countries
Increase inIncrease inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
£(N.Z.)000
1952–53
Long term capital (private)—        
  Overseas direct investment in New Zealand..4,750..1,050..3,800....
  New Zealand direct investment overseas....700..250......
  Other long term capital movements−5,000−350−100−300−450−50....
Long term capital (Government)—        
  Government investments−2,450..−50..........
  Public debt................
  Local authority debt..−50............
Long term capital (official and banking institutions)—        
  New Zealand Wool Commission3,000..............
  Wool credit to France................
  Wool credit to Czechoslovakia................
Short term capital (Government)—        
  Government cash balances−50..350..50......
  Other......500........
Short term capital and monetary gold (official and banking institutions)—        
  Net overseas assets23,150..............
  Monetary gold .............
Other short term capital movements (including errors and omissions)11,500....32,3503,550..50..
Multilateral transfers
    Balance on Capital Account+25,800−32,700−350+ 50
Capital AccountO.E.E.C. CountriesOther CountriesTotal, All Countries
Increase inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
Long term capital (private)—      
  Overseas direct investment in New Zealand..........9,650
  New Zealand direct investment overseas100..−50..1,000..
  Other long term capital movements........−5,550−650
Long term capital (Government)—      
  Government investments........−2,500..
  Public debt............
  Local authority debt..........−50
Long term capital (official and banking institutions)—      
  New Zealand Wool Commission........3,000..
  Wool credit to France............
  Wool credit to Czechoslovakia............
Short term capital (Government)—      
  Government cash balances........350..
  Other..........500
Short term capital and monetary gold (official and banking institutions)—      
  Net overseas assets........23,150..
  Monetary gold........200..
Other short term capital movements (including errors and omissions)5,050....3,700..15,750
Multilateral transfers....
    Balance on Capital Account+5,150−3,750−5,550
Capital AccountUnited KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar Countries
Increase inIncrease inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
£(N.Z.)000
1953–54
Long term capital (private)—        
  Overseas direct investment in New Zealand..1,150..−400..−200....
  New Zealand direct investment overseas1,200..800..−300......
  Other long term capital movements−1,000−50550−350−50−100....
Long term capital (Government)—        
  Government investments4,550..−50..........
  Public debt..10,000..2,400........
  Local authority debt..−150............
Long term capital (official and banking institutions)—        
  New Zealand Wool Commission150..............
  Wool credit to France................
  Wool credit to Czechoslovakia................
Short term capital (Government)—        
  Government cash balances850..−50..−50......
  Other......750........
Short term capital and monetary gold (official and banking institutions)—        
  Net overseas assets27,100...............
  Monetary gold................
Other short term capital movements (including errors and omissions)

Multilateral transfers

18,150....34,15050..50..
    Balance on Capital Account+40,050−35,300−50+50
Capital AccountO.E.E.C. CountriesOther CountriesTotal, All Countries
Increase inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
Long term capital (private)—      
  Overseas direct investment in New Zealand..−50......500
  New Zealand direct investment overseas50..100..1,850..
  Other long term capital movements........−500−500
Long term capital (Government)—      
  Government investments........4,500..
  Public debt..........12,400
  Local authority debt..........-150
Long term capital (official and banking institutions)—      
  New Zealand Wool Commission........150..
  Wool credit to France............
  Wool credit to Czechoslovakia............
Short term capital (Government)—      
  Government cash balances........750..
  Other..........750
Short term capital and monetary gold (official and banking institutions)—      
  Net overseas assets........27,100..
  Monetary gold........50..
Other short term capital movements (including errors and omissions)22,400..2,800..9,300..
Multilateral transfers....
    Balance on Capital Account+22,500+2,900+30,200

Because all multilateral transfers, as included in the area columns, necessarily cancel each other out, the entry for multilateral transfers in the Total, All Countries column is nil; the amount shown in this column represents other short term capital movements (including errors and omissions) only. Although this entry is a residual balancing item, it is believed to be a fair indicator of movements in short term commercial credit such as would be caused by timing changes in payments for exports and imports (a shift towards shorter-dated or longer-dated bills or any other change in credit facilities in respect of imports or exports). No great significance need be attached to this entry when it is small, but the marked increase which is shown for the year 1952–53 would point to a definite inflow of this type of short-term capital.

SURVEY OF COMPANIES WITH OVERSEAS AFFILIATIONS.—The picture of international capital movements would be incomplete without the consideration of investment flows originating with private commercial firms. While such investment takes place in response to usual economic motivations, its effect on a country's balance of payments differs in no respect from other capital movements, such as Government lending or borrowing abroad, investment or repatriation of assets from abroad by private individuals, etc.

The type of investment referred to here is that defined as direct private investment. Subsidiaries under control of an overseas company, branches of overseas companies, companies where the majority of shareholders reside overseas, or any other companies where overseas shareholders exercise a controlling interest, fall under this category. The question of control is decided in some cases on the strength of the parent company's holdings (a 25 per cent holding of the subsidiary's ordinary share capital is deemed as the qualifying minimum), in others on the actual circumstances of the case. The same criteria apply for direct investments by New Zealand companies and residents overseas.

Direct investment flows assume various forms: they may be by remittances of cash, the provision of plant, machinery, or goods without corresponding payment, by charging up services rendered by the parent company, or by the reinvestment in New Zealand of undistributed profits or the partial remittance only of declared dividends and branch earnings. The inclusion of undistributed profits may require some explanation: the remittance abroad of the whole of the current year's earnings, or any portion of them, involves, where no statutory constraints exist on remittances of current profits, a decision to invest which is in every respect equal to a decision to bring additional investment capital into the country, or abstain from doing so. By treating, as already mentioned previously, total New Zealand earnings of subsidiaries and branches as a current account debit or payment to the rest of the world, the unremitted portions of such earnings are treated as an inflow of investment capital which, together with other forms of investment capital (cash, goods, services), make up the total of private direct investment item in the capital account (see tables on pages 702–704).

The information tabulated in the following tables is based on an annual survey of companies with overseas affiliations in which the companies report on the distribution of paid-up capital and its changes, dividends and dividend remittances, intercompany accounts with the parent company or affiliated company and head office accounts in the case of branches.

It should be noted that investment figures given in the following three tables are in terms of annual changes at current prices. The total worth of direct investment assets is extremely difficult to establish in view of the fact that book values may bear little relationship to what such investments would realize on sale; annual changes on the other hand are capable of precise expression, and define exactly their relationship to other capital movements.

Investment in New Zealand Subsidiaries of Overseas Companies.—The following series of tables are concerned with investment in New Zealand subsidiaries of overseas companies, and include companies controlled by individual overseas shareholders.

INVESTMENT IN SUBSIDIARIES

Country of Incorporation of Parent Company (Associated Companies)1950–511951–521952–531953–54*

* Provisional estimates.

£(N.Z.)000
United Kingdom3,0206,7902,4001,090
Other sterling countries3501,2401,130760
U.S.A. and Canada8101,1103,750−100
O.E.E.C. countries54018040−60
    Totals, all countries4,7209,3207,3201,690

FORM OF INVESTMENT INCREASE

Country of Incorporation of Parent Company (Associated Companies)Increase in Holdings of Paid-up CapitalIncrease in Intercompany IndebtednessIncrease in Reserves
1950–511951–521952–531953–541950–511951–521952–531953–541950–511951–521952–531953–54

* Provisional estimates.

£(N.Z.)000
United Kingdom9105205501,0707205,360440−1,2801,3909101,2901,300
Other sterling countries30010220360−420600430−100470630420500
U.S.A. and Canada303101,560..−3709501,430−9001,150−150720800
O.E.E.C. countries10....4047019040−15060−10..50
    Totals, all countries1,2508402,3301,4704007,1002,340−2,4303,0701,3802,4302,650

DIVIDENDS DECLARED AND REMITTED

Country of Incorporation of Parent Company (Associated Companies)DeclaredRemitted
1950–511951–521952–531953–541950–511951–521952–531953–54
£(N.Z.)000
United Kingdom600350370780430250290670
Other sterling countries400270440390350250370330
U.S.A. and Canada5905307201,170580540710920
O.E.E.C. countries303010502030..40
    Totals, all countries1,6201,1801,5402,3901,3801,0701,3701,960

Investment in New Zealand Branches of Overseas Companies.—The next table deals with investment in New Zealand branches (as distinct from subsidiaries) of overseas companies.

Country of Incorporation of Head Office (Associated Companies)Increase in Net Branch Assets and Other InvestmentsNet Earnings of Branches (After Tax)
1950–511951–521952–531953–541950–511951–521952–531953–54
£(N.Z.)000
United Kingdom2,3902,1102,500−4401,9901,8702,5203,070
Other sterling countries−340430−20−1,1608801,3108101,150
U.S.A. and Canada−90300110−808020080130
O.E.E.C. countries10240−20..10101010
    Totals, all countries1,9703,0802,570−1,6802,9603,3903,4204,360
Country of Incorporation of Head Office (Associated Companies)Net Earnings Remitted
1950–511951–521952–531953–54
£(N.Z.)000
United Kingdom9501,0702,140760
Other sterling countries6006104501,150
U.S.A. and Canada20404040
O.E.E.C. countries10202020
    Totals, all countries1,5801,7402,6501,970

Summary of Overseas Direct Investment in New Zealand.—Combining the figures derived under the two preceding headings, the following summary of overseas direct investment in New Zealand is obtained.

Country of Incorporation of Parent Company (Associated Companies) or Head OfficeTotal Increase in InvestmentForm of Investment Increase
Increase in Paid-up Capital
1950–511951–521952–531953–541950–511951–521952–531953–54
£(N.Z.)000
United Kingdom5,4108,9004,7801,1609105205501,070
Other sterling countries101,6701,050−40030010220360
U.S.A. and Canada7201,4103,820−180303101,560..
O.E.E.C. countries55042020−6010....40
    Totals, all countries6,69012,4009,6705201,2508402,3301,470
Country of Incorporation of Parent Company (Associated Companies) or Head OfficeForm of Investment Increase
Increase in Net Branch Assets and Intercompany IndebtednessIncrease in Reserves
1950–511951–521952–531953–541950–511951–521952–531953–54*

* Provisional estimates.

£(N.Z.)000
United Kingdom3,1107,4702,940−1,2101,3909101,2901,300
Other sterling countries−7601,030410−1,260470630420500
U.S.A. and Canada−4601,2501,540−9801,150−150720800
O.E.E.C. countries48043020−15060−10..50
    Totals, all countries2,37010,1804,910−3,6003,0701,3802,4302,650

The graph now presented shows changes in the overseas direct investment in New Zealand for the five years 1949–50 to 1953–54.

Investment by New Zealand Companies Overseas.—The following table gives the converse of that immediately preceding, and thus relates to investment by New Zealand companies overseas.

TOTAL INCREASE IN INVESTMENT AND TOTAL NET EARNINGS

Countries in which Subsidiaries and Branches SituatedTotal Increase in Investment (Subsidiaries and Branches)Total Net Earnings (after Overseas Taxes) of Branches and Subsidiaries
1950–511951–521952–531953–541950–511951–521952–531953–54
£(N.Z.)000
United Kingdom−160−320..1,220500480300500
Other sterling countries1,3908607207701,1001,1901,0101,170
U.S.A. and Canada250420230−30028034035080
O.E.E.C. countries6080804060101080
Other countries−20−100−30120−70−20−3090
    Totals, all countries1,5209401,0001,8501,8702,0001,6401,920

In the next table the information is given for subsidiaries and branches separately.

SUBSIDIARIES AND BRANCHES SEPARATELY

Countries in which Subsidiaries and Branches SituatedSubsidiariesBranches
Total Investment Through SubsidiariesIncrease in Net Branch Assets
1950–511951–521952–531953–541950–511951–521952–531953–54
£(N.Z.)000
United Kingdom17020−90740−330−34090480
Other sterling countries130..80801,260860640690
U.S.A. and Canada−708050−60320340180−240
O.E.E.C. countries60808040........
Other countries........−20−100−30120
    Totals, all countries2901801208001,2307608801,050

Chapter 30. SECTION 30—GENERAL GOVERNMENT FINANCE

30A—REVENUE AND EXPENDITURE

GENERAL.—The legislation relating to the custody, administration, and audit of the public moneys and securities is contained in the Public Revenues Act 1953, which consolidated and amended the former 1926 Act and its amendments. All public moneys are paid into or are payable to either one account at the Reserve Bank called the “Public Account” or to certain other accounts which are outside the Public Account (refer to text following).

The statistical material presented in the ensuing pages relates solely to those accounts or funds included within the framework of the Public Account. However, a consolidated review of Government receipts and expenditure on current account has been prepared and made available in the Section on National Income and Sector Accounts. This review has accordingly taken into consideration the net surpluses or deficits of trading and other accounts not within the Public Account. Present data are insufficient to show the details of the capital account for the Government sector of the economy.

Financial Year.—The financial year commences on 1 April and ends on 31 March. The receipts of any financial year represent the money received into the Public Account at the bank at Wellington within the year, together with that received into the Public Account at London of which advice is received in time for inclusion in the accounts for the year. The payments represent the money paid (a) at the Treasury within the year, (b) by imprestees, of which accounts are received at the Treasury within the year, and (c) at London, of which advice is received in time for inclusion. The Public Account, formerly held at the Bank of New Zealand, was taken over by the Reserve Bank of New Zealand from 1 August 1934.

At the end of each financial year the Appropriation Act of that year lapses, but the Minister of Finance is authorized for a period of three months from the commencement of the next financial year to pay money in respect of any service, provided that the amount does not exceed the unexpended balance voted for that purpose in the previous year, together with an amount equal to one-fourth of such vote.

The normal practice is for Parliament to meet at the end of June in each year and to vote supplies from month to month until the estimated expenditure for the year has been approved and the annual Appropriation Act is passed. Where a later session of Parliament is foreseen, a temporary amendment to the provisions set out in the preceding paragraph is made. In the event of a mid-session adjournment, supplies in anticipation of the Appropriation Act may be voted for more than one month.

Where provision has been made for expenditure in the nature of a grant or for a purpose that does not normally recur, but the expenditure cannot be made during the financial year, the Minister of Finance may direct that the unexpended balance shall be transferred to a separate fund or account. In such a case the amount is held there until payment is required, when the amount may be expended without further appropriation.

Audit of Expenditure.—In the audit of expenditure both the pre-audit and post-audit systems are in operation. Pre-audit is applied to vouchers in respect of payments on account of salaries of new appointees; officers claiming more than one month's salary at any time; interest, loan transactions, and return of deposits; unauthorized expenditure; transfers between Government accounts; or expenditure chargeable against the accounts of local authorities. Post-audit is applied to all other payments.

Vouchers must be certified as correct by the proper officer, and forwarded by him to the head of his Department, for approval. Vouchers subject to pre-audit are then forwarded to the Audit Office, and on being found correct are sent on to the Treasury to be entered on requisitions for payment. Vouchers subject to post-audit are transmitted by the head of the Department direct to the Treasury. Payment is made by the Treasury, and the claim is afterwards submitted for audit.

Section 10 of the Public Revenues Act 1952 enabled the Controller and Auditor-General to determine, within reasonable limits, the extent of the audit of the Public Accounts.

Income and Expenditure.—A number of departmental balance sheets and statements of accounts showing the true cost of the various Departments and services, as distinct from payments out of appropriations on the basis referred to at the beginning of this subsection, are published annually in parliamentary paper B-l [Part IV], to which the reader is referred for details of income, expenditure, etc., in respect of certain Departments and services.

ACCOUNTS AND FUNDS OUTSIDE THE PUBLIC ACCOUNT.—In addition to those moneys payable into the Public Account, money paid into the following accounts are also deemed to be public money—Broadcasting Account, Bureau of Industry Bank Account, Government Accident Insurance Account, Government Insurance Account, Government Superannuation Fund Account, Housing Account, Iron and Steel Industry Account, Maori Trustee's Account, Marketing Account, Meat Industry Account, Post Office Account, National Provident Fund Account, Public Trustee's Account, State Fire Insurance Account, and such other accounts as from time to time are declared to be such by Order in Council.

Transactions in connection with the majority of these accounts are given in the various Sections of the Year-Book dealing with the relevant activity.

ACCOUNTS AND FUNDS WITHIN THE PUBLIC ACCOUNT.—The records of the Public Account in the books of the Treasury consist of a number of ledger accounts for the special subsidiary funds or accounts, and a number of other accounts established by statute or kept by Treasury under authority of the Public Revenues Act. In these accounts are recorded for each separate fund or account the receipts, payments, and cash balance so that the bank balance in the Public Account is apportioned among the funds and accounts, and balanced itemized statements of the receipts and payments for each of the funds or accounts are prepared for publication.

The use of the terms “fund" and “account" implying some significant distinction is hardly justified. The use of the term “Social Security Fund,” for example, does not imply any technical accounting distinction between the Social Security Fund and the Public Works Account or the other accounts within the Public Account.

The following accounts and funds were included in the Public Account at 1 April 1954: Consolidated Fund, Public Works Account, Social Security Fund, Defence Fund, Deposits Account, Earthquake and War Damage Fund, Electric Supply Account, Land Settlement Account, Loans Redemption Account, National Development Loans Account, Reserve Fund, State Coal Mines Account, Working Railways Account.

Particulars of some of the more important accounts are contained in the following pages, while others are dealt with in the appropriate Sections of this volume. The Deposits Account represents only lodgments or withdrawals of (mainly) non-Government moneys. The Loans Redemption Account is dealt with in the subsection on indebtedness.

The figures shown under the various headings of this subsection are on the basis of receipts and payments. In some Sections devoted to the operations of various Departments and activities, the figures are given on an income and expenditure basis and accordingly differ to some extent from those appearing here.

SUMMARY OF PUBLIC ACCOUNT FOR 1952–53 AND 1953–54.—The following table gives a concise statement of the whole of the financial transactions comprised in the Public Account for the years 1952–53 and 1953–54, the source being parliamentary paper B–6, 1954.

ReceiptsYear Ended 31 March
19531954
 £(m.)£(m.)
Taxation  
  Income tax78.780.8
  Social security charge45.549.7
  Customs27.326.3
  Sales tax22.021.1
  Stamp and death duties14.515.0
  Other taxation11.813.0
    Totals, taxation199.8205.9
Interest6.97.7
Profits from trading1.51.8
Departmental receipts15.316.7
    Total Consolidated Fund and Social Security Fund receipts223.5232.1
Receipts from borrowing (less repayments)—  
  Borrowing in New Zealand—  
   National Savings3.22.9
   Post Office Saving Bank4.511.5
   Other borrowing||10.821.4
 18.535.8
  Overseas borrowing—  
   London and Australia..12.4
    Totals, borrowing18.548.2
Other capital receipts—  
  Transfer from Consolidated Fund for debt repayment6.66.9
  Sinking Fund contributions3.33.7
Transfers from Consolidated Fund to—  
  War Emergency Fund and Defence Fund0.13.5
  Public Works Account6.0 
Miscellaneous capital receipts4.67.0
 .621.1
    Totals262.6301.4
Excess receipts of trading accounts, etc., within the Public Account−1.97.5
    Grand totals260.7§308.9§
ExpenditureYear Ended 31 March
19531954

* Expenditure from Public Works Account.

† Transfer from National Development Loans Account.

‡ Sale or purchase of investments by Public Account.

§ A number of transfer entries, such as the annual transfer from Consolidated Fund to Social Security Fund and the transfers of the surplus for previous years which do not affect the overall cash surplus or deficit, have been excluded from both sides of the above statement.

|| Excludes £12 million borrowed from trading banks.

 £(m.)£(m.)
Social services98.0105.7
Defence26.529.0
Administration, etc.22.521.9
Stabilization14.714.5
Maintenance of works, etc.14.615.1
Development of industry12.913.2
Interest and management of the public debt17.619.1
Transfer for repayment of the public debt6.66.9
Transfer to Defence Fund..3.5
Transfer to Public Works Fund6.0..
    Totals — Consolidated Fund and Social Security Fund expenditure219.4228.9
Works and other capital expenditure—  
  Housing construction*9.810.6
  School buildings*4.85.9
  Highways construction*3.33.1
  Forest development*1.81.8
  Electric supply13.513.2
  Land settlement 1.7
  Railways*6.8.3
  State coal0.51.1
  Post Office2.93.6
  Murupara Pulp and Paper Scheme*0.24.3
  State Advances Corporation13.812.0
  Other*3.63.4
 61.067.2
Purchase of miscellaneous investments not included above6.46.0
    Totals286.8302.1
Overall cash surplus or deficit—  
  Sale of S.A.C. securities to trading banks..−12.0
Withdrawn from Reserve Bank−10.0..
Increase in cash (and imprest) balance..18.8
Decrease in cash (and imprest) balance−16.1..
 −26.16.8
Grand totals260.7§308.9§

During 1953–54 receipts from taxation, interest, profits, and departmental receipts amounted to £232 million, approximately £9 million more than in the previous year. Borrowings after provision for debt repayments and excluding £12 million obtained from the trading banks were £48 million, an increase of £30 million; this increase was made up of overseas borrowing £12 million, from public, etc., in New Zealand £11 million, and from P.O.S.B. £7 million. Sundry capital receipts and transfers totalled £21 million, about the same as in 1952–53, while trading accounts received £8 million more than was expended, compared with an excess of expenditure in the previous year of £2 million. Total receipts were therefore £309 million.

Payments and transfers from the Consolidated and Social Security Funds were £229 million, £10 million higher than in 1952–53; works and other capital expenditure at £67 million was £6 million more; miscellaneous capital items amounted to £6 million, thus giving a total expenditure of £302 million, or £7 million less than the receipts.

The cash surplus of £7 million compares with an overall deficit of £26 million in 1952–53, a total improvement of £33 million. The main factor contributing to this change was an increase of £30 million in receipts from borrowings. The £7 million cash surplus is represented by increased cash and imprest balances of £19 million, less £12 million drawn from the trading banks by the sale of State Advances Office securities.

ESTIMATES OF RECEIPTS AND EXPENDITURE FOR 1954–55.—The following table supplies a composite account embracing Works and Loan Accounts, Consolidated Fund, and Social Security Fund, showing the estimated receipts and payments for 1954–55.

Estimated Receipts 1954–55£(m.)Estimated Payments 1954–55£(m.)

* Includes operating expenses.

Works and Loan Accounts
Receipts Expenditure 
Revenue, departmental trading receipts, transfers, etc. Hydro-electric17.450*
 22.160Land settlement10.240*
National Savings, Post Office Savings Bank16.000State housing11.300
Overseas loans15.500Education buildings6.500
Internal loans22.500Railway construction, etc.9.535
  Telephone and telegraph extension5.000
  Roads and highways construction0.950
  Forest development1.920
  Murupara development4.157
  State Advances6.000
  Other works3.505
    Total76.160Total76.557
Consolidated Fund
Taxation— Interest and debt repayment28.374
  Customs23.500Permanent appropriations4.760
  Beer duty6.000Annual appropriations— 
  Sales tax20.300  Stabilization13.008
  Film hire0.100  Defence25.000
  Stamp duty14.800  Development of primary and secondary industries14.317
  Land tax1.200  Social services (excluding transfer to Social Security Fund)46.625
  Income tax80.800  Other votes27.261
 146.700Supplementary estimates1.000
Other receipts—   
  Interest8.500  
  Trading profits3.100  
  Departmental16.500  
    Total174.800Total160.345
Social Security Fund
Social security charge53.800Administration expenses1.074
Miscellaneous0.100Emergency benefits and Christmas bonus0.610
   1.684
  Monetary benefits— 
    Age22.500
    Invalids1.625
    Widows2.575
    Sickness1.200
    Family18.400
    Universal superannuation6.900
    Other0.178
  Medical, hospital, etc., benefits12.620
    Total53.900Total67.68
  Over-all surplus0.276
Grand total£304.860Grand total£304.860

THE CONSOLIDATED FUND.—The Consolidated Fund, the principal account in the Public Account, covers the ordinary revenue and expenditure of the General Government—i.e., apart from capital items, commercial and special undertakings, advances, etc. In earlier years its operations afforded an excellent comparison of State revenue and expenditure from year to year, but successive changes in system have largely destroyed the comparability of the figures. All tax receipts are shown here with the exception of the social security tax and, from April 1954, National Roads Fund taxation, taxation receipts as a whole being the subject of the succeeding subsection. In addition the Consolidated Fund is the focal point of the earnings of a number of State-owned undertakings as it records the receipts of interest, profits, and dividends from them.

Figures of receipts and payments of the Consolidated Fund over a long period of years will be found in the Statistical Summary near the end of this volume. For the years prior to 1937–38 they are there presented on the old or net basis—i.e., certain interest and other payments, since treated as receipts, were treated as credits in reduction of expenditure. For later years the figures are on a gross basis.

A summary of receipts, payments, current surpluses, and net balance carried forward for the last eleven years is contained in the following table, together with the amounts utilized in each year from the surplus of the preceding year.

Year Ended 31 MarchReceiptsPaymentsSurplusNet Balance Carried Forward at End of YearTransfers of Previous Year's Surplus to Other Accounts During Year Quoted

* To War Expenses Account except in 1951–52, which was to the War Emergency Account.

† To Public Works Account.

‡ Utilized for payment of family bonus.

§ To National Development Loans Account.

 £££££
194457,561,40955,328,8292,232,5804,241,0704,200,000*
194559,928,87258,714,1531,214,7193,255,7892,200,000*
194663,913,64962,659,4991,254,1504,509,940..
1947108,294,473103,683,4554,611,0189,120,958..
1948117,116,115115,330,4031,785,7126,295,6524,611,018*
1949141,523,915138,893,1542,630,7617,140,7011,785,712*
1950124,996,634120,688,8924,307,74211,448,443..
1951143,756,815135,503,5988,253,21715,393,9194,307,741
1952180,788,402168,152,68112,635,72119,776,4233,078,910
5,174,307*
1953177,822,098174,515,0553,307,04310,447,7454,000,000§
8,635,721
1954182,319,295180,516,3151,802,9808,943,6823,307,043

Receipts.—Details of receipts of the Consolidated Fund are given in the next table. Taxation receipts represent only those amounts paid into the Consolidated Fund, and there are substantial amounts of special taxation which are paid to the Social Security Fund. Full details of taxation receipts are contained in Section 30B.

Source1951–521952–531953–54
Taxation—£££
  Customs32,599,38627,273,20626,343,303
  Beer duty5,273,8045,466,7015,833,871
  Sales tax21,811,37521,991,70321,133,740
  Film-hire tax112,541135,348131,190
  Highways4,575,3474,908,4925,328,922
  Stamp duties5,207,5775,702,5266,327,042
  Death (including gift) duties8,117,2598,767,8578,682,376
  Land tax1,137,9371,315,1361,615,372
  Income tax78,101,50378,701,37680,799,719
Interest on capital liability—   
  Electric supply1,946,0532,350,4532,811,803
  Housing account897,240959,4041,050,191
  Housing construction83,35392,523112,203
  Post and Telegraph947,8861,016,2661,183,785
  Land settlement1,200,0001,400,0001,400,000
  Maori land development, etc.133,871135,737178,210
  New Zealand National Airways Corporation42,00042,00042,000
  State coal mines191,280151,05398,086
  Other accounts5,790....
Interest on other public moneys1,889,562746,157869,604
Profits on trading undertakings1,740,5321,480,9461,780,287
Departmental receipts14,773,89615,185,21416,597,591
    Totals180,788,402177,822,098182,319,295

Compared with 1952–53, receipts for 1953–54 showed an increase of £4,497,197, or 2.5 per cent. Principal changes were increases of £2,098,343 in income tax and £1,412,377 in departmental receipts, and decreases in sales tax, £857,963, and customs taxation, £929,903.

Payments.—Payments from the Consolidated Fund are divided into two main groups, according to whether they are made under permanent or under annual appropriation. The latter heading covers the payments under the various departmental votes, while the former covers interest on and amortization of the public debt, and payments under numerous special Acts.

Payments under the main heads of permanent appropriation and each head of annual appropriation during the last three years were as follows.

Head1951–521952–531953–54

* Included under vote “Transport”.

Permanent appropriations—£££
  Civil List119,326159,125143,739
  Debt services—   
   Interest17,712,64017,320,98218,128,182
   Amortization5,860,7296,573,7676,883,897
   Administration and management201,885264,4071,004,709
  Highways: Payment to boroughs, etc.298,078**
  Superannuation (subsidy and contribution)2,915,0002,998,0003,068,000
  Other items568,765514,917372,888
    Totals, permanent appropriations27,676,42327,831,19829,601,415
Annual appropriations—   
  Legislative183,061198,257213,259
  Prime Minister's Office14,43818,33618,564
  External Affairs1,604,3631,800,1641,811,860
  Finance—   
   Treasury358,249259,873289,651
   Stabilization15,319,71214,719,50714,451,664
   Customs373,568400,008412,579
   Inland Revenue1,032,0501,106,1361,222,349
   Audit159,990171,987182,472
    Totals, finance17,243,56916,657,51116,558,715
General administration—   
  Public Service Commission92,76095,50695,904
  Internal Affairs2,528,0142,621,8473,788,718
  Island Territories873,750825,7991,193,579
  Printing and Stationery2,704,6321,789,180772,365
  Marine398,648465,401516,491
  Labour and Employment4,404,0203,101,2132,168,884
  Maori Affairs681,396838,867805,108
  Valuation374,004411,563399,937
  Census and Statistics232,485145,465145,671
  Rehabilitation1,968,3251,498,5411,235,726
    Totals, general administration14,258,03411,793,38211,122,383
Law and order—   
  Justice1,167,6021,130,0931,225,185
  Crown Law19,38119,78719,851
  Police1,449,3621,520,9141,758,820
    Totals, law and order2,636,3452,670,7943,003,856
Defence—£££
  Navy4,479,4365,666,1085,254,400
  Army8,660,44611,005,10411,840,860
  Air9,494,2907,545,9409,196,045
  Defence Construction and Maintenance2,005,4852,263,9542,721,184
    Totals, defence24,639,65726,481,10629,012,489
Maintenance—   
  Maintenance of Public Works and Services7,739,9799,425,5279,626,550
  Highways Maintenance4,785,0955,178,6875,507,898
    Totals, maintenance12,525,07414,604,21415,134,448
Development of primary and secondary industries—   
  Lands and Survey1,606,9801,729,5001,739,378
  Forest Service1,349,8201,856,7161,790,653
  Agriculture2,863,6192,889,2642,980,973
  Milk Marketing587,392630,947652,334
  Industries and Commerce377,189388,923378,070
  Tourist and Publicity1,136,7401,253,8341,337,037
  Scientific and Industrial Research1,095,9331,009,5721,089,808
  Mines112,597146,423122,110
  Transport355,186714,647789,985
  Civil Aviation and Meteorological Services2,126,2272,263,2712,323,174
    Totals, development of primary and secondary industries11,611,68312,883,09713,203,522
Social services—   
  Health12,775,83414,424,5555,010,226
  Subsidies to Hospital Boards10,270,079
  Education15,904,42418,123,69720,782,208
  War and other pensions6,443,2386,639,7267,241,673
  Payment to Social Security Fund14,000,00014,000,00014,000,000
    Totals, social services49,123,49653,187,97857,304,186
    Totals, annual appropriations133,839,720140,294,839147,383,282
Unauthorized expenditure36,538389,01831,618
Transfer to War Emergency Account6,600,000....
Transfer to Public Works Account..6,000,000..
Transfer to Defence Fund....3,500,000
Grand totals168,152,681174,515,055180,516,315

In a number of cases the expenditure incurred on various related services appears partly in each of two or more places in the accounts. Typical instances occur where capital expenditure out of the Public Works Account or money paid under permanent appropriations are not associated with departmental votes (refer parliamentary paper B—1 [Pt. II], 1954).

Total expenditure in 1953–54 showed an increase of £6,001,260, or 3.4 per cent. Items of expenditure which contributed materially to the increase were Social Services (principally Education), £4,116,208, Defence (principally Air), £2,531,383, and Permanent Appropriations, £1,770,217, these being offset in part by reductions in General Administration, £670,999, and in the amount of transfers to other accounts, £2,500,000.

PUBLIC WORKS.—For the prosecution of the policy of public works inaugurated in 1870 there was set up a Public Works Fund. For many years all expenditure on public works was borne by this fund, but in course of time separate subsidiary accounts were, established to deal with certain special activities. These subsidiary accounts became merged in the General Purposes Account of the Public Works Fund, or ceased to exist on the completion of the work for which they were called into existence. Under section 4 of the Finance Act (No. 2) 1943 the Public Works Fund was abolished and a Public Works Account substituted as from 1 April 1942. The Electric Supply Account and the Electric Supply Sinking Fund Account, which formerly ranked as part of the Public Works Fund, were then shown as separate accounts. The Electric Supply Sinking Fund Account was abolished as from 31 March 1944.

The Construction Fund of the Main Highways Account, which was established in 1923–24 to provide finance for the construction, reconstruction, etc., of main highways, was analogous to the Public Works Fund, and its operations were for some years included in the Year-Book statement of public-works receipts and payments. The Construction Fund of the Main Highways Account was later (1 April 1936) combined with the Revenue Fund. With the abolition of the Main Highways Account as from 1 April 1947, however, receipts and expenditure on highways construction were incorporated in the Public Works Account. From April 1954 these will be recorded in the National Roads Fund.

The Public Works Account bears the cost of all major development works apart from State hydro-electric, land settlement, railway improvements, telegraph extension, and, from April 1954, roads. Finance is largely provided by transfers from the National Development Loans Account and from the Consolidated Fund.

Receipts.—A summary of receipts of the Public Works Account for the last three financial years is contained in the following table.

1951–521952–531953–54

* Includes amounts transferred from Consolidated Fund: Education (from vote “Education”), £750,000 in 1951–52, £1,400,000 in 1952–53, and £2,400,000 in 1953–54; Public buildings, £100,000 in 1951–52, £250,000 in 1952–53, and £1,250,000 in 1953–54, from vote “Maintenance of Public Works and Services"; and Roads, etc., £150,000 in 1952–53 from vote “Settlement of Ex-servicemen”.

 £££
Linen flax, sale of produce, disposal of assets, and adjustments of processing costs10,433....
Department of Education782,601*1,423,350*2,425,051*
Forest development1,076,0371,122,0101,038,601
Highways construction29,77741,377108,553
Housing construction1,348,3371,387,0381,239,414
Irrigation, water supply, and drainage36,91718,90616,096
Public buildings112,471*263,617*1,291,862*
Railway construction38,25761,02829,217
Roads, etc.70,277287,668*204,902
Soil conservation and rivers control50,45354,37760,733
Transfers from National Development Loans Account14,500,0005,500,00017,600,000
Transfers from Consolidated Fund—   
  Surplus from previous year..8,635,7213,307,043
  During year..6,000,000..
Repayment of loans of capital advances, and recoveries of capital moneys (various)26,81234,96527,596
Miscellaneous27,75756,719200,382
    Totals18,110,12924,886,77627,549,450

Payments.—Particulars of payments from the account for the three financial years 1951–52 to 1953–54 are now given.

1951–521952–531953–54
 £££
Forest development2,058,7131,807,2411,800,806
Housing construction7,011,5659,753,90410,608,035
Irrigation, water supply, and drainage397,870629,438586,653
Public buildings1,293,7261,562,5231,509,734
Educational buildings2,667,6344,811,5755,853,607
Railway construction940,6531,547,6372,024,768
Roads, etc.645,607867,510873,483
Soil conservation and rivers control439,783495,070443,539
Highways construction2,549,6553,324,6643,287,068
Murupara development....2,207,632
Harbour development..22,915..
OtherCr. 524..29
    Totals18,004,68224,822,47729,195,354

For the three years concerned, balances at the end of the year were: 1951–52, £4,108,555; 1952–53, £4,172,853; and 1953–54, £2,526,950.

In addition to expenditure on roads from the Public Works Account and the National Roads Fund, expenditure is incurred in roading Crown lands and lands purchased for settlement, which is a charge on the Land Settlement Account.

ELECTRIC SUPPLY ACCOUNT.—As from 1 April 1942 the Electric Supply Account, which formerly ranked as part of the Public Works Fund, became a separate account. It reflects the cash transactions of the Government in respect of the State supply of electrical energy. The main items of receipts and payments of the Electrical Supply Account for the last three years were as follows.

1951–521952–531953–54
Receipts
 £££
Transfer from National Development Loans Account10,500,00013,500,00013,250,000
Transfer from Public Works Account (vote “Roads”)50,000....
Sales of electrical energy and miscellaneous receipts4,904,5145,270,4417,823,427
Other..1671,818
    Totals15,454,51418,770,60821,075,245
Payments
 £££
Development of water power, etc.12,562,95316,331,17916,568,556
Interest on capital liability1,946,0532,350,4542,811,803
Debt redemption336,825272,152..
Taxation—   
  Income tax56,464....
  Social security charge8,884....
  Subsidy to Government Superannuation Fund32,13331,36937,113
Other19....
    Totals14,943,33118,985,15419,417,472

The balances in the account at the end of each of the three years were: 1951–52, £808,690; 1952–53, £594,144; and 1953–54, £2,251,917.

LAND SETTLEMENT ACCOUNT.—Through the closing of several accounts and the merging of these in other accounts or funds, there now remains only one account dealing primarily with land settlement—viz., the Land Settlement Account—which covers numerous and diverse activities in connection with land settlement, including advances for development of certain lands held by Europeans and Maoris.

The principal advances accounts, those relating to State Advances to settlers, workers, etc., are, as stated earlier in this subsection, outside the Public Account and are not included here (refer Section 33B).

A statement of receipts and payments of the Land Settlement Account for the years 1951–52 to 1953–54 is now given.

1951–521952–531953–54
Receipts
 £££
Transfer from National Development Loans Account1,500,000..1,700,000
Department of Lands and Survey—   
  Capital receipts1,601,6741,059,2671,213,222
  Rents, interest, royalties, etc.945,637979,2891,050,832
  Receipts from settlement of ex-servicemen5,410,4683,803,6004,946,924
  Receipts from civilian development schemes429,677328,774523,742
  Miscellaneous receipts8237466,877
  Transfer from Consolidated Fund450,000450,000450,000
Department of Maori Affairs—   
  Receipts from land-development schemes1,760,5921,655,7911,595,854
  Repayment of advances under Maori Housing Act216,159376,628398,776
  Receipts from rehabilitation of Maori ex-servicemen124,282163,468194,479
  Receipts from other activities70,11157,26138,323
  Transfer from Consolidated Fund156,000105,985155,904
Interest on investments20,83330,13413,394
    Totals12,686,2569,010,94312,288,327
Payments
 £££
Crown lands769,299825,7371,548,311
Settlement of ex-servicemen5,378,0625,559,1214,751,368
Maori-land settlement2,728,3663,143,7662,986,762
Interest on loans and capital liability1,333,8711,535,7371,578,210
Payment in respect of land and improvements acquired for disposal under Land Act 1948271,968254,567278,402
Other19,93084,49430,567
    Totals10,501,49611,403,42211,173,620

The balances in the account for each of the three years were: 1951–52, £5,083,243; 1952–53, £2,690,764; and 1953–54, £3,805,471.

TRADING ACCOUNTS.—Several important trading operations of the Government are outside the scope of the Public Account, while certain others are included in the Consolidated Fund. The Electric Supply Account also covers both construction and trading operations. The Working Railways Account records the revenue from, and operating costs of, the services under the control of the Railways Department, as well as capital expenditure on improvements and additions to open lines.

Working Railways Account.—Receipts and payments of the Working Railways Account during the last three years were as follows.

1951–521952–531953–54
Receipts
 £££
Railway revenue23,248,41226,000,78927,024,224
Subsidy from Consolidated Fund1,202,488....
Miscellaneous receipts3,351,5385,571,412559,745
Transfer from National Development Loans Account3,030,0005,289,0004,300,000
Interest14,25014,1668,113
Railway Employees' Sick Benefit Fund8,0006,000..
    Totals30,854,68836,881,36731,892,082
Payments
Annual appropriations—£££
  Working Railways26,890,03232,477,08130,576,711
  Improvements and additions to open lines3,039,1075,305,394..
  Interest on capital liability5,790....
Subsidy to Government Superannuation Fund326,613320,044353,076
Subsidy to Railway Employees' Sick Benefit Fund8,0006,000..
Other..1,961..
    Totals30,269,54238,110,48030,929,787

At the end of each year the following balances remained in the account: 1951–52, £2,997,395; 1952–53, £1,768,281; and 1953–54, £2,730,577.

State Coal Mines Account.—The corresponding statement of receipts and payments of the State Coal Mines Account for the last three years is now presented.

1951–521952–531953–54
Receipts
 £££
Subsidy from Consolidated Fund, vote “Stabilization”..100,000..
Rents, royalties, sale of coal, etc.5,854,8816,382,8716,044,319
Transfer from National Development Loans Account..500,0001,100,000
Housing and other loans: repayment of principal and interest39,37838,89939,593
Realization of investments held by companies acquired by Crown11,210....
Sales of stores and equipment..22,85519,341
Miscellaneous receipts180,82825,20917,648
Interest on Public Account cash balance investments750....
    Totals6,087,0477,069,8347,220,901
Payments
Annual appropriations—£££
  State Coal Mines5,815,3397,124,1896,944,620
Unauthorized expenditure..25,000..
Interest on capital liability191,280151,05298,086
Income tax37,80278,6907,410
Social security charge5,94812,9711,251
Transfer to Loans Redemption Account for redemption of securities147,197114,238163,156
Subsidy to Government Superannuation Fund5,4195,6596,886
    Totals6,202,9857,511,7997,221,409

Balances at the end of March for years 1951–52 to 1953–54 amounted to £463,550, £21,585, and £21,078 respectively.

SOCIAL SECURITY FUND.—The Social Security Fund was established as from 1 April 1939 under the authority of the Social Security Act of 1938. Receipts and payments of the fund during the last three years were as follows.

 1951–521952–531953–54
Receipts
 £££
Social security charge43,612,86845,507,93849,717,376
Miscellaneous receipts86,86918,54621,925
Transfers from Consolidated Fund14,000,00014,000,00014,000,000
Interest4,94619,90915,639
Deserted wives' maintenance (recoveries)73,55578,42977,653
Recoveries on account reciprocity arrangements3,4283,4146,379
    Totals57,781,66659,628,23663,838,972
Payments
 £££
Administration expenses and emergency benefits1,317,7782,086,5863,130,952
Medical, hospital, etc., benefits9,368,02710,428,59710,607,045
Monetary benefits43,490,63446,306,27148,626,205
Balance of maintenance moneys33..62
Reciprocity benefits3,7714,9906,049
    Totals54,180,24358,826,44462,370,313

The balances remaining in this account for the three years were as follows: 1951–52, £10,157,716; 1952–53, £10,959,509; and 1953–54, £12,428,167.

More detailed information concerning payments under the various headings are given in Section 7A of this Year-Book.

NATIONAL DEVELOPMENT LOANS ACCOUNT.—Since the inauguration of the National Development Loans Account in April 1942 all loan moneys raised for public works and other capital purposes are first paid into this account and then transferred to the various accounts covering the activities for which the moneys are required. The Finance Act 1952 enables revenue moneys to be passed through this account, whereas previously the intention was to record the receipt and application of loan moneys only.

Particulars of receipts and payments of the National Development Loans Account during each of the last three financial years were as follows.

1951–521952–531953–54
Receipts
 £££
Stock issued30,723,88025,441,90046,834,494
Transfer from Consolidated Fund..4,000,000..
    Totals30,723,88029,441,90046,834,494
Expenditure
 £££
Public Works Account14,500,0005,500,00017,600,000
Electric Supply Account10,500,00013,500,00013,250,000
Land Settlement Account1,500,000..1,700,000
State Coal Mines Account..500,0001,100,000
Working Railways Account3,030,0005,289,0004,300,000
Post Office Account3,500,0002,950,0003,600,000
Purchase of shares in Dominion Salt, Ltd.25,000....
Application moneys and calls in advance on shares in Tasman Pulp and Paper Co., Ltd...200,000800,000
Loan to Tasman Pulp and Paper Co., Ltd.....1,300,000
    Totals33,055,00027,939,00043,650,000

The balance in the account at the end of each year was as follows: 1951–52, £2,884,299; 1952–53, £4,387,199; and 1953–54, £7,571,693.

EARTHQUAKE AND WAR DAMAGE FUND.—The Earthquake and War Damage Fund, which replaced the War Damage Fund created by the War Damage Act 1941, was set up under the provisions of the Earthquake and War Damage Act 1944. Premiums paid into the fund during the three years 1951–52 to 1953–54 amounted to £826,723, £940,491, and £1,055,553 respectively. Interest on investments amounted to £210,369, £232,175, and £269,255. Payments during the same years amounted to £65,329, £51,617, and £79,584, leaving balances of £8,637,785, £9,769,941, and £11,038,149 in the fund at 31 March 1952, 1953, and 1954 respectively.

A description of the provisions of the Act and further details of the fund will be found in Section 34D.

DEFENCE FUND.—In order to provide moneys for the purchase of modern equipment for the Royal New Zealand Air Force, an Air Defence Fund was created in June 1948. This fund has since been extended to cover the three Services, and the title has been changed to the Defence Fund. With the abolition of the War Emergency Account in 1953–54, the fund may now be expended for any purpose connected with the defence of New Zealand or directly or indirectly with any war or threat of war faced by New Zealand. If not required for its original purposes, money in the fund may be transferred to the Reserve Fund or to the Loans Redemption Account. The amounts paid into the Defence Fund were £1,600,000 in 1948–49, £1,300,000 in 1949–50, £3,950,000 in 1950–51, £6,300,000 in 1951–52, £140,000 in 1952–53, and £3,500,000 in 1953–54, which, together with interest on investments totalling £1,074,242 over the period, and a transfer of £12,079,094, being the balance in the former War Expenses Account, and after expenditure of £7,119, left a balance of £29,936,217 in the fund at 31 March 1954.

WAR EMERGENCY ACCOUNT.—The purpose of this account was to provide for expenditure for any purpose connected directly or indirectly with any war or threat of war, in or to which Her Majesty may at any time be engaged or exposed. Section 3 of the Finance Act 1951 provided that the Minister of Finance might transfer to the account the whole or any part of moneys in the Consolidated Fund in excess of the amount reasonably required for that fund.

The initial transfer consisted of £5,174,307 of the Consolidated Fund surplus for 1950–51, while during the financial year 1951–52 a further £6,600,000 was transferred. There have been no transfers to the account since, but the interest on investments amounted to £304,787, leaving a balance of £12,079,094 in the account at date of transfer.

All moneys in this account were transferred during 1953–54 to the Defence Fund by virtue of the Public Revenues Act 1953.

30 B—TAXATION

TOTAL TAXATION.—During the early nineteen-thirties heavier imposts were made in existing fields of taxation and, in addition, new classes of taxation were imposed, the latter including a sales tax and a scheme of special taxation for the relief of unemployment and the promotion of employment. This employment promotion tax was replaced in 1939–40 by social security taxation. Later the need of finance for New Zealand's war effort necessitated the imposition of new taxes and additional charges under many existing headings. The principal of these wartime taxes have either been abolished or the rates considerably reduced. The figures for the post-war years have been achieved despite the effect of certain reductions in taxation by way of rebates, smaller surcharges, etc., and reflect the higher levels of incomes, prices, etc.

All revenue collected by means of taxation was until the end of the financial year 1921–22 paid into the Consolidated Fund and applied to general purposes. During the period 1922–23 to 5 December 1927, however, certain items were paid directly into the Main Highways Account to help defray the cost of improving and maintaining roads. Receipts from social security taxation are paid direct into the Social Security Fund, while a similar position obtained in the case of war taxation, receipts from this source having been paid direct into the War Expenses Account up to 31 March 1946, since when all receipts previously included under the heading of war taxation have been treated as ordinary revenue and paid to the Consolidated Fund. Highways revenue from motor spirits taxation, etc., formerly payable to the Consolidated Fund, was, from 1 April 1954. paid into the National Roads Fund.

A summary of taxation revenue during the last eleven years is given in the following table. In addition to total taxation the amounts received from direct taxes on income are also shown.

YearDirect Taxes on Income (i.e., Income Tax and War and Social Security Charges on Income)Total Taxation
AmountPercentage of Total Taxation (All Sources)Amount
TotalPer Head of Mean PopulationTotalPer Head of Mean Population
 ££s.d. ££s.d.
1943–4463,311,9653813362.8100,839,48461117
1944–4568,438,477412363.0108,681,81465510
1945–4671,582,87041161162.3114,954,8736740
1946–4763,873,162361756.5113,119,04663180
1947–4863,581,244353652.0122,275,911671211
1948–4978,386,0574210360.1130,440,249701411
1949–5080,186,0204212559.2135,556,3197211
1950–5195,208,07549121060.3157,946,9758271
1951–52121,714,371622960.7200,549,80710279
1952–53124,209,3146116362.2199,770,2839983
1953–54130,517,095636463.4206,802,31710065

Excluding the special taxation levied for social security purposes and for the National Roads Fund, taxation revenue in 1953–54 amounted to £156,195,535, an increase of £1,933,190 on the 1952–53 figure. Of this amount £80,799,719, or 52 per cent, a slightly higher proportion than the figure of 51 per cent for the previous year, was received from direct taxes on income.

The following table shows receipts under the various heads of taxation during the last five years.

HeadRevenue for Year Ended 31 March
19501951195219531954
Consolidated Fund—£££££
  Customs revenue21,474,53323,600,06232,599,59627,273,20626,343,303
  Beer duty4,822,3405,036,1455,273,8045,466,7015,833,871
  Highways taxation3,640,1163,996,6294,575,3474,908,4925,328,922
  Land tax967,3861,043,2031,137,9371,315,1361,615,372
  Income tax48,483,45059,441,83978,101,50378,701,37680,799,719
  Sales tax14,785,32016,827,10621,811,37521,991,70321,133,740
  Death duties5,320,3676,778,3797,545,8448,255,3687,871,786
  Gift duties393,383475,634571,415512,489810,590
  Racing taxation2,268,4912,577,6032,628,3843,301,8253,752,922
  Duty on instruments596,9921,161,0001,436,5881,309,3711,484,534
  Amusement tax256,716236,373308,976396,306401,704
  Adhesive stamps214,172339,806237,923226,416186,873
  Impressed stamps355,547386,436422,132428,010452,310
  Other stamps taxation161,940173,621173,57440,59848,699
  Film-hire tax112,701106,702112,541135,348131,190
Miscellaneous10........
    Totals103,853,464122,180,538156,936,939154,262,345156,195,535
Social security taxation—     
  Social security charge31,702,57035,766,23643,612,86845,507,93849,717,376
  Registration fees, etc.285201......
    Totals31,702,85535,766,43743,612,86845,507,93849,717,376
National Roads Fund—     
Highways revenue (less rebates)........889,406
    Totals........889,406
    Total taxation receipts135,556,319157,946,975200,549,807199,770,283206,802,317
Taxation receipts per head of mean population—£s.d.£s.d.£s.d.£s.d.£s.d.
  Ordinary (Consolidated Fund)55416314180257615475155
  Social security161701813022542212112425
  National Roads Fund........ 87
    Totals7211827110279998310065

Compared with 1952–53 revenue from taxation in 1953–54 showed a rise of £7,032,034, or 3.5 per cent. Receipts from the social security charge increased by £4,209,438, and from income tax by £2,098,343.

In 1953–54 taxation paid into the Consolidated Fund accounted for 75.5 per cent of the total taxation receipt, social security taxes for 24.0 per cent, and National Roads Fund taxation for 0.5 per cent. If to the total of social security taxes is added the £14,000,000 transfer from the Consolidated Fund, the 1953–54 taxation used for social security purposes amounted to 30.9 per cent of the total taxation receipts for the year.

The figures under the various headings in the preceding table are to a small extent swollen by the inclusion of penalties for late payment and of fines for offences under the various taxation Acts.

The Social Security Act 1938 provided that, in addition to the special taxation for the purposes of the Fund, payment may be made to the Fund of such other moneys as may be appropriated by Parliament from time to time, and a substantial amount has been transferred from the Consolidated Fund each year. Also, several substantial amounts were transferred from the latter Fund to the War Expenses Account. The total amount transferred to the Social Security Fund since its inception in 1939–40 to 31 March 1954 was £145,009,367, while during the same period £40,489,987 was transferred to the former War Expenses Account. The following table shows for each of the last eleven years the taxation receipts of the Consolidated Fund, the amounts transferred to other accounts, and the taxation receipts of the Social Security Fund and War Expenses Account, plus the amounts of these transfers.

Year Ended 31 MarchConsolidated FundSocial Security Taxation Plus TransfersWar Expenses Taxation Plus Transfers
Taxation ReceiptsTransfers to—
Social Security FundWar Expenses AccountOther Accounts

* Includes £4,611,018 and £1,785,712 respectively from surplus of previous year.

† War Emergency Account, comprising transfer of £6,600,000 and £5,174,307 balance of surplus from previous year.

‡ Public Works Account, £14,635,721, consisting of £6,000,000 transfer and £8,635,721 balance of surplus from previous year; also National Development Loans Account, £4,000,000 from surplus of previous year.

§ Defence Fund, £3,500,000; also Public Works Account, £3,307,043 from surplus of previous year.

 ££££££
194442,107,6194,100,00011,700,000..17,477,77357,144,092
194545,689,3964,500,0006,200,000..18,760,06654,932,352
194648,370,7187,000,000....22,167,30851,416,847
194790,715,39318,000,0003,000,000..40,403,6533,000,000
194896,099,15316,000,0006,666,018*..42,176,7586,666,018
1949101,061,73915,000,0004,238,143*..44,378,5104,238,143
1950103,853,46412,000,000....43,702,855..
1951122,180,53814,000,000....49,766,437..
1952156,936,93914,000,000..11,794,30757,612,907..
1953154,262,34514,000,000..18,635,72159,507,938..
1954156,195,53514,000,000..6,807,043§63,717,376.. 

A comparison of taxation revenue and total private income and national income is afforded by the following table, which also shows taxation as a percentage of private income and national income.

YearTotal Private IncomeNational Income at Factor CostTaxation Revenue
TotalAs a Percentage of—
Private IncomeNational Income

* Provisional.

 £m.£m.£m.Per CentPer Cent
1943–44331.6325.3100.830.431.0
1944–45339.3328.3108.732.033.1
1945–46360.3345.8115.031.933.3
1946–47397.1366.7113.128.530.8
1947–48446.4411.7122.327.429.7
1948–49464.1421.1130.428.131.0
1949–50527.6482.2135.625.728.1
1950–51659.9611.0157.923.925.8
1951–52675.6622.4200.529.732.2
1952–53710.2655.5199.828.130.5
1953–54781.4*727.0*206.826.5*28.4*

The following diagram shows the extent to which taxation receipts have increased since the year 1928–29. The extent to which employment promotion taxation and the later social security taxation have contributed towards this increase and the large impost for war purposes are also clearly portrayed.

CUSTOMS AND EXCISE TAXATION.—Revenue included under the heading of Customs is exclusive of receipts from tire tax and from that portion of the motor-spirits tax which was imposed to provide funds for roading purposes, referred to under the next heading. Sales tax receipts are not counted as ordinary Customs revenue, although collected by the Customs Department, nor were gold export duties up to their final removal in October 1949. The following figures show Customs and excise revenue, for ordinary revenue purposes, for the last five years.

Year Ended 31 MarchCustoms Duties*Beer DutyTotal Customs and Excise DutiesProportion of Total Taxation (Excluding Social Security)

* Excise duties other than beer duty are here included with Customs duties.

 £££Per Cent
195021,474,5334,822,34026,296,87325.32
195123,600,0625,036,14528,636,20723.44
195232,599,5965,273,80437,873,40024.13
195327,273,2065,466,70132,739,90721.22
195426,343,3035,833,87132,177,17420.48

Increases in the rate of beer duty and in the tax on motor spirits, for general revenue purposes' were brought into operation on 2 August 1939. As from 27 September 1939 additional duties were imposed on certain items (including beer and tobacco, which two items were subject to still further increases in duty as from 11 May 1942); the additional revenue in these cases was appropriated for war purposes, and paid direct into the War Expenses Account, until 1 April 1946, and thereafter into the Consolidated Fund. The duty on tea was reduced by 3d. a pound from 3 September 1951, while the motor spirits tax was reduced by 2d. a gallon for the period 3 September 1951 to 25 November 1953, thereafter being increased by 3d. a gallon. Information in regard to these increases and Customs and excise duties generally is contained in Section 10D, Customs Tariff and Revenue.

HIGHWAYS TAXATION.—The Main Highways Act 1922 laid down that the Revenue Fund (the Revenue and Construction Funds merged as from 1 April 1936) of the Main Highways Account was to be credited, inter alia, with—

  • All moneys received as Customs duties imposed in respect of rubber tires, rubber tiring, and inner tubes of rubber for pneumatic tires, n.e.i. (as per the Customs tariff):

  • All moneys received by the Crown under any Act in respect of the licensing of motor vehicles.

The tire tax was imposed by the Customs Amendment Act 1921, prior to the passing of which tires had been admitted free. The licensing of motor vehicles by the Crown became operative in the financial year 1924–25, consequent upon the passing of the Motor Vehicles Act 1924.

A third class of taxation for main-highways purposes was introduced towards the end of 1927 by the Motor Spirits Taxation Act of that year, which imposed a duty of 4d. per gallon on all motor spirits imported. The rate was increased to 6d. per gallon in 1930. The duty collected was paid into the Consolidated Fund in the first place and, after deduction of expenses of administration and of refunds (which are provided for in cases where the motor spirits are used otherwise than for motor vehicles), the residue was divided between the Main Highways Account and boroughs with a population of 6,000 or over, in the proportions of 92 per cent and 8 per cent respectively. The Main Highways Account was abolished as from 1 April 1947, but provision was made that amounts subject to appropriation by Parliament from the Consolidated Fund for highway purposes must not be less than the total of the net revenues which would have been available under the former system. An additional 2d. per gallon was imposed from 7 October 1931, a further 2d. from 9 February 1933, and a further 4d. from 2 August 1939, but these additional imposts (totalling 8d. per gallon, or 8 7/10d. with the surtax of 7/10d. per gallon on imports from foreign countries) were for general purposes, and the proceeds were treated as part of the ordinary Customs revenue. A reduction of 2d. per gallon in the rate of duty was made effective from 3 September 1951, but from 26 November 1953 it was again increased by 3d. a gallon. By virtue of the Finance Act (No. 2) 1953, after 1 April 1954 the whole of the motor spirits tax, after refunds, is to be paid into the National Roads Fund for roading purposes.

A mileage tax is also imposed on motor vehicles using fuel other than motor spirits. This tax was allocated in a similar manner to the tax on motor spirits, part of the receipts being regarded as the equivalent of Customs taxation and the balance, after deduction of administrative expenses and refunds, being regarded as part of the revenues for highway purposes. The full tax, less costs and refunds, is now paid into the National Roads Fund.

Taxation receipts for highway purposes have been as follows during the last five years.

Year Ended 31 MarchFees, etc., Under Transport Act 1949Tire TaxMotor-spirits TaxationMileage TaxTotal

* Excludes an amount of £889,406 (after rebate), being part of Customs duties at the rate of 3d. per gallon on motor spirits from 1 November 1953 to 31 March 1954, and paid into the Motor Taxation Account of the Deposits Account. This amount was transferred to the National Roads Fund on 1 April 1954.

 £££££
1950705,57664,3492,823,36919,9973,613,291
1951805,16026,7453,104,21625,9323,962,053
19521,000,49640,1633,459,66432,1534,532,476
1953995,57725,2243,814,22736,7454,871,773
19541,090,58317,5514,113,453*53,6855,275,272

LAND AND INCOME TAX.—A brief history of the various changes in the rates of, and the law relating to, land tax and income tax between 1915 and 1939 is contained in the 1940 and previous issues of the Year-Book. The principal alterations which have taken place since 1936 are given in the following pages; these changes have now been incorporated in the Land and Income Tax Act 1954, which consolidated all previous legislation into one enactment, but makes no substantial change in the law.

An amended scale of income tax, with somewhat heavier imposts, was adopted in 1936, and various changes were made in regard to exemptions. Under the amended scale the reduction of exemptions with increasing income was discontinued, as was also the special flat-rate tax on incomes over £500.

With a view to obtaining additional revenue for general governmental purposes, legislation was passed in 1939 reducing the general exemption from £210 to £200 and increasing the basic rates of taxation. The general exemption was, however, raised to £230 by the 1953 amendment, and again to £375 (£420 if over 65 years) by the 1954 amendment.

In connection with the provision of finance for war purposes, the War Expenses Act of 1939 increased all rates of income tax for the 1939–40 tax year by 15 per cent. This surcharge was retained at the same level for the succeeding two years, but was increased to 33⅓ per cent for the tax years 1942–43 to 1945–46. Reductions were later made to 15 per cent for tax years 1946–47 to 1950–51, to 10 per cent for the tax year 1951–52, to 5 per cent for the tax year 1952–53. and to 2½ per cent for the tax year 1953–54. It was abolished in the tax year 1954–55.

Income derived from farm lands of an unimproved value of under £3,000 (from 1931–32) was, up to the passing of the Land and Income Tax Amendment Act 1939, exempt from income tax. The 1939 Act provides for all profits or gains derived from the use or occupation of any land to be regarded as assessable income. This Act also made provision (amended in 1940 and 1941) for the taxation of income of “proprietary" companies—i.e., companies under the control of not more than four persons.

By the Land and Income Tax Amendment Act of 1940 certain State trading Departments, which were previously exempt, were made liable for the payment of income tax; the special exemption in respect of children was extended to include children brought to New Zealand under any Government scheme and being supported by any taxpayer; unpaid land tax, once registered, was constituted a first charge on land until all arrears were paid; and a new scale of basic rates of income tax was provided. The 1941 amendment brought the provisions for taxation of banking companies into line with those for other companies.

Under the Finance Act 1942 the Commissioner of Inland Revenue (Taxes) is empowered to require any person to deduct income tax from payments due to defaulting taxpayers and to pay every sum so deducted to the Commissioner.

The Land and Income Tax Amendment Act 1944 increased the personal exemption of absentees from £50 to £200, and also made provision for deductions from assessable income in respect of deferred maintenance of assets where reasonable and proper maintenance was prevented by conditions arising out of the Second World War.

The Land and Income Tax Amendment Act 1945 increased, commencing with the tax year 1946–47, the special exemption in respect of a dependent wife or husband, or of a housekeeper whose duties included the care of a widowed or divorced taxpayer's child or children, from £50 to £100. It also made provision for a special depreciation allowance, commencing with the tax year 1946–47, in respect of any premises, plant, or machinery acquired, erected, installed, or extended by a taxpayer on or after 1 April 1945 and not later than 31 March 1948. The period covered by this provision has since been extended to 31 March 1956. This allowance is in addition to the ordinary depreciation allowance provided for by the principal Act. It must not exceed in the aggregate 30 per cent of the cost of the asset and is normally spread over a term of five years. The 1945 amendment further provided for the names of persons convicted of tax evasion, etc., to be published in the New Zealand Gazette.

The Land and Income Tax Amendment Act 1946 made provision for an agreement to be made with the Government of any territory outside New Zealand with a view to affording relief from double taxation. Agreements have since been concluded with Canada, the United Kingdom, and the United States of America. This amendment also abolished the excess-profits tax imposed by the Excess Profits Tax Act 1940. The 1949 amendment provided that in computing taxable income for the purposes of an aggregate assessment, a husband and wife were allowed a total ordinary exemption of £400 in all cases, irrespective of whether the income was derived from assessable or non-assessable sources. Other provisions included the deduction from a farmer's assessable income of expenditure on trees planted for shelter or to prevent erosion, etc., the spreading of income derived from the sale of timber from farms over a period of up to five years in all, the spreading of excess income derived from sale of a substantial part of the livestock of a farming business where unduly low-standard values had been adopted, and that trading stock sold for an inadequate consideration should be deemed to have been sold at the market price current at the time of the sale, for the purposes of arriving at the assessable income of the person selling the stock.

The 1950 amendment abolished the 33⅓ per cent additional charge in the case of unearned income imposed by the 1931 amendment and later incorporated in the basic rates fixed by the Land and Income Tax Amendment Act 1940. In effect, the former distinction for taxation purposes between earned and unearned income was removed. The same amendment also increased the special exemption from land tax from an unimproved value of £500 to an unimproved value of £1,000. The Land and Income Tax Amendment Act (No. 2) 1950 provided for a special income tax rebate of £15 (later reduced to £10 and in 1954 incorporated in a revised exemption figure) to persons who have attained the age of sixty-five years. It also exempted from income tax the income of societies formed for the purpose of advertising, beautifying, or developing any district with a view to attracting trade, tourists, or population, and not for private profit; enabled a husband who is separated from his wife to claim an exemption in respect of his wife to the same extent as if she were a dependent relative; authorized the Commissioner to grant an initial depreciation allowance of 30 per cent in respect of new farm equipment or new accommodation for farm workers acquired after 31 March 1950 and, as subsequently extended, prior to 1 April 1956; and, subject to provisos where the land is sold within five years, provided for an allowance for land-development expenditure to farmers, such as on eradication of animal or vegetable pests, felling of bush, weed destruction, and the preparation of the land for farming or agriculture. In these classes, deductions are allowed of the full amount of expenditure incurred. The allowable deduction is not to exceed £200 in the aggregate in any income year where the expenditure is on swamp drainage, irrigation channels, rabbit proofing of fences, etc., and, in the case of a partnership, applies to the whole business, not to each partner individually.

This 1950 Act as amended in 1951 also provided for testamentary annuities charged on property bequeathed by will, by Court order under the Family Protection Act 1908, or by deed of arrangement, and paid out of income, to be claimed as a deduction, and for income derived from Western Samoa and chargeable with income tax there, to be exempted from income tax in New Zealand. Certain transfers or settlements of income (not including those made prior to 24 November 1950) are to be disregarded for income-tax purposes and the transferor or settlor remains liable for tax as if these had not been made. Another section empowered the Commissioner to grant relief from payment of income tax of up to £100 without the necessity of obtaining the Minister's approval.

The 1951 amendment made the New Zealand Forest Service liable for income tax in respect of commercial enterprises. It exempted from income tax the pay of servicemen in operational areas; provided for universal superannuation to be assessable for income tax; and that profits from dealing in property are to form part of assessable income. The 1952 amendment exempted from taxation the income of milk-treatment companies in which the shares are held wholly by persons or companies which are themselves exempt; extended the existing exemption so that any war pension or police disability pension granted by the Government of any country (including foreign) is exempt. Two sections amended the provisions in respect of standard values to be adopted for livestock. The first enabled the executor to elect that, instead of stock being valued at the date of death at market value for income-tax purposes, it may be valued either at the existing standard value or at a new standard value between the existing standard value and the market value. The second provided that where a farmer makes a gift of livestock to his child (the 1954 amendment includes grandchildren) for use in a farming business the livestock is, for income-tax purposes, to be deemed to be sold to the child at its market value or, if the taxpayer so elects, at the actual price (if any) charged to the child or at the existing standard value, whichever is the greater. This is subject to the power of the Commissioner to require the price so adopted to be increased to what he considers reasonable, having regard to standard values generally adopted. Part II of the amendment made provision as to the taxation of Maori authorities and Maoris, as a consequence of the report of the Commission of Inquiry on this subject.

By the Finance Act (No. 2) 1952 relief was given in respect of income tax payable by executors of the estates of sheep farmers who died during the year ended 31 August 1951, the period of abnormally high wool prices. Executors may apply to have the sheep owned by the deceased valued as at the date of death for taxation purposes at a “basic value,” being the average of the values prevailing a year before and a year after the date of death.

The Land and Income Tax Amendment Act 1953 provided for increases in various exemptions—personal, to £230; each dependent child or other dependent relative, to £65; life insurance premiums and superannuation contributions, to £175 maximum; and the exemption for the wife or husband of a taxpayer to £100, diminished at the rate of £1 for every complete £1 of income over £100. The Act allows losses to be set off against income for the six following years instead of three as formerly. Included in the remaining provisions is one which states that the income tax on interest from the 1953 National Development Loans (since extended to the 1954 National Development Loan), together with social security charge, is not to exceed 9s. 4d. in the pound, thus permitting a minimum return of not less than 2 per cent. The Land and Income Tax Amendment Act (No. 2) 1953 provides that a farmer may make deposits with the Commissioner of Inland Revenue to provide a reserve for making good any losses of livestock or income resulting from snow. Deposits (not to be less than £250) are to be deducted from assessable income for the year in which made, and added to income in the year in which refunded. Other sections include regarding all classes of royalties as assessable income, providing for the deduction from estate income of irrecoverable book debts of a deceased taxpayer, limiting the meaning of dividends, and re-enacting with amendments the provisions under which the income of proprietary companies is in certain cases assessable as income of the shareholders.

The amending Act of 1954 increased the personal exemption to £375 (£420 if over 65 years of age) and abolished the general tax rebate of £15, or £25 if over 65 years. The wife's exemption was increased to £125, reducible £1 for £1 where the wife's income exceeds £125. The exemption for each child or other dependent relative was raised to £75. The limitations under which the exemptions for wife or children could not result in tax reductions of more than £26 were abandoned. There is now to be no aggregation of the incomes of husband and wife if the incomes of either are less than £500. The first £500 of the wife's income is taxed at the rate applicable to that amount, after allowing any exemptions to which she is entitled. The balance of the wife's income is aggregated with the income of the husband, and he is allowed the balance of the wife's special exemptions (if any) with the exception of her personal exemption.

The same amending act increased from £200 to £300 the maximum allowance for expenditure on farming or agricultural land (see 1950 amendment). It provided for the extension to 1956 of the special and initial depreciation allowances. The basic rates of tax were amended by making the commencing rate 3s. in the £1 instead of 2s. 6d. It also changed the method of ascertaining the amount of tax when non-assessable income (e.g., company dividends) is included by reinstating the former method of assessing the tax on the taxable income at the rate applicable to the total income. Trustees are now allowed a special exemption of £200 as a deduction from income to which the beneficiaries are not entitled in possession during the same income year.

As stated earlier, the whole of previous Legislation was consolidated in the Land and Income Tax Act 1954.

Statistics relating to the incidence of income tax are given in Section 35 of this volume.

Land Tax.—Land tax is assessed on the unimproved value of land after deductions provided for by statute have been made by way of special exemption. The ordinary exemption, which was formerly £1,000, was increased by the Land and Income Tax Amendment Act 1954 to £3,000, reducible by £1 for each £2 in excess of the excess of the unimproved value over £3,000. The exemption thus disappears at £9,000.

Where the land is subject to a registered mortgage an alternative scale of exemption is provided—viz., £7,500 in cases where the unimproved value does not exceed £7,500, the exemption of £7,500 being diminished by £1 for every £1 above the margin of £7,500 of unimproved value, and disappearing altogether at £15,000. Where the capital value of the mortgage is less than the amount of deduction provided, such capital value is deducted instead.

The taxpayer receives whichever is the greater of the ordinary exemption or the mortgage exemption.

No special exemption is allowed in the case of land not situated in a borough when such land has been owned by a person for three years and not improved to the extent of £1 per acre or equal to one-third of the improved value if, in the opinion of the Commissioner, it should have been so improved. In the case of such land also, the rate of land tax is 50 per cent more than the ordinary rate.

In lieu of the special exemptions set out above, the Commissioner has discretionary powers to grant relief in certain specified cases of hardship. Subject to deductions provided, life tenants are liable to tax, and joint owners are assessed jointly as regards the land held in conjunction, and are liable severally in respect of each owner's interest in such land and any other land. This liability for joint assessment also applies to companies owning land if half of the paid-up capital or half (in nominal value) of the allotted shares of each company is held by or on behalf of shareholders in the other.

In case of default by a taxpayer in respect of land tax the amount of tax may be demanded from his successor in title, from a tenant of the taxpayer or his successor, or from a mortgagee of the estate or interest concerned. Land tax constitutes a charge on the land, and, notwithstanding any disposition of it, such land continues to be liable in the hands of a purchaser or other holder thereof for the payment of the tax so long as the charge remains in force. Registration of the charge is required, and no disposition of the land or of any interest in it may be registered while the charge remains in force. Provision is made for relief in cases of hardship.

Where the unimproved value on which land tax is payable does not exceed £10,000 the rate of land tax is 1d. in the pound. This rate is increased on a “step" system as follows:

Taxable ValueTax Rate for Every £1
£    £ 
10,001–15,0002d.
15,001–20,0003d.
20,001 and over4d.

Income Tax—Income tax is payable on the full incomes of registered companies and certain public authorities, and in other cases on income in excess of £375 (or £420 if over 65 years of age) per annum. A deduction of £125 from assessable income is allowed in respect of a dependent wife, diminished at the rate of £1 for every complete £1 by which the personal income derived by the wife exceeds £125. A similar deduction is allowed in respect of a dependent husband, and an exemption of up to £125 is allowed a widower, widow, or divorced person in respect of a housekeeper whose duties include the care and control of a child or children in respect of whom the taxpayer is entitled to a special exemption; £75 deduction is allowed for each dependent child or grandchild under eighteen years of age, and also in respect of each child brought to New Zealand under any Government scheme who is dependent on the taxpayer; and amounts up to £75 contributed towards the support of a relative of the taxpayer (including a foster child) are also deductible from assessable income, provided that such relative is not in receipt of a monetary benefit, other than the family benefit, under the Social Security Act. Exemption up to 15 per cent of assessable income, but with a maximum exemption of £175, is allowed for life-insurance premiums and National Provident Fund, superannuation, and similar contributions. With the exception of the personal exemption of £375, none of the foregoing exemptions is allowed to absentees. The depreciation allowable on premises varies from 2½ per cent on cost price for wooden frame and wall buildings to 1 per cent on cost price on buildings of reinforced concrete, according to the materials used in construction. There are also depreciation allowances on plant, machinery, and equipment. Various rates, mostly expressed as percentages of the diminishing value of the assets, have been fixed by the Commissioner of Inland Revenue for different classes of assets. In addition to the foregoing, provision has been made for a special depreciation allowance commencing with the tax year 1946–47 in respect of any premises, plant, or machinery erected, acquired, installed, or extended on or after 1 April 1945 and not later than 31 March 1948. The latter date has been subsequently extended to 31 March 1956. The amount of the deduction is limited in the aggregate to 30 per cent of the total cost, which is usually spread as follows over a five-year period: first year, 10 per cent; second year, 8 per cent; third year, 6 per cent; fourth year, 4 per cent; and fifth year, 2 per cent. A further class of depreciation allowance also exists—i.e., the initial depreciation allowance of 30 per cent to farmers for new equipment or new farm accommodation for farm workers and for those engaged in business, other than farming, for providing new accommodation for employees. In this instance the allowance is not spread over a period of years. A deduction may also be made in respect of any premium paid on account of leased machinery used in the production of income. Certain specified incomes are wholly exempt from taxation.

Companies pay tax on their full income (at the appropriate rate for such income) before distribution of dividends. The recipient of income from dividends does not pay income tax on such part of his income, but the amount is taken into account in fixing the rate of tax to be paid. This provision also applies in the case of income from “tax-free" Government securities or “tax-free" company debentures.

In respect of stock or debentures issued by the Government of New Zealand, or by any local or public authority, or by the Public Trustee as agent of a land-settlement association, interest is not liable to New Zealand income tax if it is payable out of New Zealand to a person not resident in New Zealand.

Income tax is payable on the taxable balance (i.e., assessable income less exemptions) and is assessed at the basic rates which are given in the next four paragraphs. These basic rates operate from the tax year 1954–55 and may be subject to a percentage increase or decrease according to the revenue requirements for the year. The basic rates apply without either percentage increase or percentage decrease for the tax year 1954–55.

Debentures Issued by Companies and Local and Public Authorities.—(i) Where the income has been derived from debentures issued by a company on terms providing for the payment of income tax by the company, the rate of tax is 8s. 8d. per £1; (ii) in other cases where the income has been derived by a company or a public authority, the rate of tax is 12s. per £1.

Maori Authorities.—On all undistributed income assessable to a Maori Authority, the basic rate of tax for every £1 of taxable income is 2s. 6d.

Companies and Public Authorities.—On income not included above the rate of income tax for every £1 of taxable income in the case of companies and public authorities is: (i) where the taxable income does not exceed £6,300, 2s. 6d., increased by 1/100d. for every £1 of taxable income; (ii) where the taxable income exceeds £6,300, 7s. 9d., increased by 1/150d. for every £1 of the taxable income in excess of £6,300, but so as not to exceed in any case the rate of 8s. 8d. per £1.

Other Taxpayers.—On all income not included above the rate of income tax is as follows, subject to the concessions outlined below. On so much of the taxable income as does not exceed £100, the rate of tax per £1 is 3s. 0d.; for each succeeding £100 or part thereof the rate of tax increases by 3d. until it reaches a maximum of 12s. for every £1 in excess of £3,600. The Land and Income Tax (Annual) Act 1948 introduced the principle of granting a general rebate from the amount of tax assessed in the case of “other taxpayers.” Initially £10, the rebate was increased to £15 by the 1951 (Annual) Act. The Land and Income Tax Amendment Act (No. 2) 1950 also provided for an additional special rebate of £15 to persons aged sixty-five years or over, this being reduced to £10 by the Land and Income Tax Amendment Act 1951. The increase in the personal exemption granted by the amending Act of 1954 was designed to incorporate the value of these rebates, which were therefore abandoned.

The Finance Act 1942 provided for a new method of assessing income tax where combinations of earned, unearned, or non-assessable income were involved. Briefly, in calculating the amount of tax payable, non-assessable income was placed at the lowest end of the scale of “step" increases in the rate of tax, then earned taxable income followed from the point of the scale where nonassessable income ceased, and, finally, unearned taxable income came last on the highest points of the scale. Although no tax was actually payable on non-assessable income, the rates of tax on other income were in the first instance determined by the amount of non-assessable income. In turn, the combined amounts of non-assessable and earned taxable income decided the commencing rate of tax on unearned income. With the abolition by the 1950 Act of the additional one-third tax on unearned income, the distinction between earned and unearned income ended. The 1954 amending Act abandoned the above method of calculating tax and reverted to the former system of assessing tax on the amount of taxable income which does not include non-assessable income at the effective rate applicable to the total income (including non-assessable income).

The following table shows the amount of income tax payable on various amounts of assessable income by individual taxpayers classified according to marital status (married or otherwise) and, in the case of married taxpayers, according to the number of dependent children under eighteen years of age. Limitation of space precludes the inclusion of cases where there are more than three children, but, as stated earlier, an exemption of £75 is allowed for each child. The amounts of tax shown are based on the rates in force for the tax year 1954–55, and thus relate to incomes received during the income year 1953–54. In all cases, it has been assumed that the wife's income did not exceed £125, that there was no non-assessable income, and that the taxpayer was not over 65 years of age. In addition to the personal and dependant's exemptions, which have been allowed for in calculating the amount of tax payable, further deductions from the assessable income would be made in respect of life-assurance premiums, National Provident Fund, superannuation, and similar contributions.

The opportunity has also been taken to show the amount of the social security charge. This tax, which is payable in addition to income tax, is referred to under a later heading. The present rate is equivalent to 1s. 6d. per £1 of income, and it should be noted that, unlike income tax, there are no deductions (personal, dependent relatives, etc.), the charge being levied on the full amount of income.

Assessable IncomeSocial Security ChargeIncome Tax Payable by Persons—
UnmarriedMarried With Dependent WifeMarried With Dependent Wife and—
One ChildTwo ChildrenThree Children
££s.d.£s.d.£s.d.£s.d.£s.d.£s.d.
30022100..........
40030003150........
500371001913........
60045003512615003150....
700521005389315019137100..
800600072100481503512623261150
900671009216367100538940002739
1,000750011476871007210058264476
1,5001121002401892065018611 16710014913
2,00015000398150356503311763082628500
2,500187100587163537100508894800045239
3,0002250080826750007165068326650126
3,5002621001,0591399931509556391710088063
4,000300001,3421001,2681501,2251261,18326,1,14150
4,5003371001,6421001,5671001,5221001,4771001,432100
5,000375001,9421001,8671001,8221001,7771001,732100

In interpreting this table as an indication of the incidence of social security and income taxation in New Zealand, it should be noted that under the provisions of the Social Security Act a family benefit of £26 per annum is paid in respect of each child under sixteen years of age, irrespective of the income of the parents. This has operated from 1 April 1946. The family benefit is normally paid to the mother, but with her concurrence may be used as an offset against income tax due. As examples of the effect of this benefit it will be observed that a married man with an income of £700 per annum and one child would pay £52 10s. social security charge and £19 1s. 3d. income tax. He would, however, receive £26 per annum in family benefit. A married man on an income of £700 per year with three children would pay £52 10s. social security charge and no income tax. The family benefit would amount to £78 per annum in this case, and thus exceed his social security charge by £25 10s.

DEATH DUTIES.—The law dealing with these classes of duty is embodied in the Death Duties Act 1921, as subsequently amended. The main heads of taxation are estate and succession duties, which are generally referred to by the collective title of “death duties.” In addition to these there are gift duties and Maori succession duties.

Estate and succession duties are due and payable to the Deputy Commissioner of Inland Revenue (Stamp Duties) on assessment, an additional 5 per cent penalty, together with interest at 5 per cent per annum, being payable if duty is not paid within three months after death. On so much of the duties as is paid within fifteen months (this period may be extended in certain cases) after the date of death, however, the rate of interest is reduced to 4 per cent per annum. Gift duties are payable at the time the gift is made, and Maori succession duties before the registration of the succession order by the Maori Land Court. Generally the decision of the Deputy Commissioner in regard to matters of fact incidental to the assessment of duty is final, but there is an appeal on points of law or of fact by way of a case stated to the Supreme Court. An appeal on a question of law may be referred to the Court of Appeal.

Part III of the Finance Act 1939 provided for a reduction in the amount of death or gift duty payable in cases where the margin above the limit of value on which a lower rate is payable is small.

The War Expenses Act 1939 increased all rates of estate, succession, and gift duty by one-third for the provision of war finance, these being further increased by Part IV of the Finance Act 1940. From 1 April 1940 to 31 March 1946 all revenue accruing from these duties was paid directly into the War Expenses Account. Since then such revenue has again been payable into the Consolidated Fund. Provision was also made for the exemption from death duties and gift duty of gifts to the Government for war purposes.

The Death Duties Amendment Act 1952 provided for a rebate of one-fifth to be allowed from death duty calculated at the existing rates in the case of all persons dying on or after 8 August 1952. Widows also now receive complete exemption from death duties in estates up to £6,000 in value instead of £5,000, and graduated relief on an increased scale in estates up to £12,000 instead of £10,000. The former exemption for infant children now applies in estates up to the value of £12,000. All income tax and social security charges in respect of income of a deceased person up to the date of death are to be treated as a debt of the deceased in all cases.

The Finance Act (No. 2) 1952 contains a section which is designed to afford relief in respect of death duty payable by executors of estates of sheep farmers who died during the year ended 31 August 1951 (the period of high wool prices). It provides that executors may apply to have sheep owned by the deceased valued as at the date of death at a basic value, being the average of the values prevailing a year before and a year after the date of death. A further section provides for relief from death duty in the case of farmers who died between 1 September 1950 and 7 August 1952 leaving to their families farm land or farm stock which would have to be sold to pay the duty if relief were not granted. A Commission of Inquiry may be appointed to inquire into such cases, and, if satisfied that a forced sale would eventuate and would be contrary to the general economic interests of New Zealand in that it would be likely to result in reduced primary production, it may recommend that relief be granted. In such cases payment may be postponed in whole or in part without penalty for any period up to five years, the interest payable on the postponed duty may be reduced or remitted, and/or the death duty may be reduced by an amount not exceeding one-fifth, provided the land is not sold for a period of five years and that the farm stock is maintained in numbers and quality for that period.

The Death Duties Amendment Act 1953 provides for relief in the case of quick successions, where death duties are payable twice on the same property by reason of two deaths occurring within a short period. The duties are reduced in the second estate according to the interval between the two deaths as follows: Second death within one year, 50 per cent reduction; within two years, 40 per cent; within three years, 30 per cent; within four years, 20 per cent; and within five years, 10 per cent reduction.

The net revenue received from death and gift duties during each of the last five years was as follows.

Year Ended 31 MarchEstate DutySuccession DutyGift DutyTotal Death and Gift Duties
 ££££
19504,086,1601,234,207393,3835,713,750
19515,280,8891,497,490475,6347,254,013
19525,904,4661,641,378571,4158,117,259
19536,318,9691,936,399512,4898,767,857
19546,042,1011,829,685810,5908,682,376

Estate Duty.—When the final balance of the dutiable estate of a deceased person, estimated as at the date of his death, exceeds £500, an estate duty is levied on the amount thereof. In the case of any estate the final balance of which does not exceed £12,000, any interest acquired by the wife of the deceased up to the value of £6,000, and £500 for each child under twenty-one years, is exempt from estate duty, provided that the amount of deduction shall not in any case exceed the difference between the final balance and £12,000. The rate of duty on the whole estate must, however, be determined before any deduction is made. The Act also provided that the wife, lineal descendant, or lineal ancestor of a soldier who met his death on account of either the First or Second World Wars or as a member of an emergency force is allowed £5,000 exemption from estate duty, but in the case of a wife or child these exemptions are in substitution for and not in addition to the exemption already mentioned.

Up to 1920 duty was leviable on property in excess of £500, and the scale of duties ranged from 1 per cent in cases where the net estate was between £500 and £1,000 to a maximum of 15 per cent for large estates. The amendment made to the scale in 1920 considerably increased the duty payable, the rates, which were embodied in the Act of 1921, ranging from 1 per cent on estates not exceeding £2,000 in value to 20 per cent on estates of more than £100,000. Part II of the Finance Act 1930 imposed a rate of 30 per cent on the amount by which the final balance exceeded £100,000. Part III of the Finance Act 1939 imposed higher rates of duty, ranging from 1⅕ per cent on estates not exceeding £2,000 in value to 30 per cent on estates exceeding £100,000 in value.

The War Expenses Act of 1939 increased all rates of estate duty by one-third, but Part IV of the Finance Act 1940 provided a new scale of duties shown below. It should be noted, however, that the Death Duties Amendment Act 1952 provided for a rebate of one-fifth of the duty payable.

Final Balance of EstateRate
£    £Per Cent

* Plus additional 1 per cent for every £500 or fraction thereof in excess of £500.

† Plus additional ½ per cent for every £1,000 or fraction thereof in excess of £7,000.

‡ Plus additional ⅓ per cent for every £1,000 or fraction thereof in excess of £31,000.

§ Plus additional 1/10 per cent for every £1,000 or fraction thereof in excess of £70,000.

Up to 500Nil
Over 500 Up to 5,0001*
Over 5,000 Up to 6,00011
Over 6,000 Up to 7,00012
Over 7,000 Up to 31,00012
Over 31,000 Up to 70,00024
Over 70,000 Up to 100,00037§
Over 100,00040

Succession Duty.—In addition to the estate duty referred to above a succession duty is payable by any person who acquires a beneficial interest in the estate of a deceased person either by will or by intestacy. An exemption from duty is made in favour of charitable trusts, and special provision is made that the wife, lineal descendant, or lineal ancestor of a soldier who has met his death on account of either the First or Second World Wars or as a member of an emergency force is allowed a £5,000 exemption in addition to the amounts otherwise provided.

The rates of duty vary according to the degree of relationship of the beneficiary to the deceased person. Part III of the Finance Act 1939 effected a general increase in the rates, which had remained unaltered since 1920, while all rates were increased further by the War Expenses Act 1939 and increased still further by the Finance Act 1940. The Death Duties Amendment Act 1952, however, provided for a rebate of one-fifth of the duty payable in each case and also for the widow to receive exemption from death duties on estates up to £6,000.

The scales of duties as outlined in the Finance Act 1940 and as amended in the case of a wife by the Death Duties Amendment Act 1952 are as follows:

  • Wife.—The rate varies from 2⅓ per cent for amounts exceeding £6,000 but not exceeding £7,000, to 129/10 per cent for amounts exceeding £70,000.

  • Husband.—From 2 per cent for amounts exceeding £500 but not exceeding £2,000, to 16⅗ per cent for amounts exceeding £59,000.

  • Children, etc.—From 1 per cent for amounts exceeding £500 but not exceeding £1,000, to 16 per cent for amounts exceeding £61,000.

  • Parents, Brothers, Sisters, etc.—From 3 per cent for amounts exceeding £200 but not exceeding £500, to 21 per cent for amounts exceeding £61,000.

  • Other Relatives.—From 6 per cent for amounts exceeding £200 but not exceeding £500, to 22£ per cent for amounts exceeding £57,000.

  • Other Cases.—From 10 per cent for amounts exceeding £200 but not exceeding £500, to 319/10 per cent for amounts exceeding £44,000.

In all the above cases provision is made to allow for a reduction in the amount of succession duty payable, so that it will not exceed the difference between the estate duty payable in respect of such succession and percentages of the succession ranging from 50 in the case of wife or husband to 60 in cases other than relatives.

In cases where the successor is a child of the deceased and is under the age of twenty-one years at the time of death of the deceased no succession duty is payable on amounts up to £1,000, and in successions exceeding that amount the full amount of duty is payable only in cases where the balance will not be reduced below £1,000.

In respect of moneys exceeding £1,000 that may be payable to persons domiciled out of New Zealand, and where the beneficiary is not the husband or wife of the deceased or a relative of the deceased within the third degree of consanguinity, there is an additional rate equal to 10 per cent of the excess over £1,000.

Maori Succession Duty.—Where any succession order is made by the Maori Land Court on the death of a Maori no death duty in the ordinary way is payable on the property included in it, but a Maori succession duty of 2 per cent is payable on the value of the property, with a general exemption of £200.

Gift Duty.—A gift means any disposition of property (situate in New Zealand at the time of the gift) which is made otherwise than by will, whether with or without an instrument in writing, without full and adequate consideration in money or its equivalent. The Death Duties Amendment Act 1952, however, provided for a deduction from the value of the gift of money payments adequately secured to the donor and which were fixed or ascertainable at the date of the gift. No duty is payable on a gift which, together with the value of all other gifts (not exempt from duty by reason of their nature) made at the same time or within twelve months previously or subsequently by the same donor to the same or any other beneficiary otherwise than by way of a charitable trust, does not exceed the value of £500. Gifts up to £50 in any year to the same person are not taken into account for gift duty or death duty purposes if made as part of the donor's normal expenditure. Exemption from gift duty is also provided in cases of voluntary discharge of a mortgage debt where the donor and beneficiary are not connected by ties of blood or marriage. Various other exemptions were made by the Death Duties Amendment Act 1923. The Finance Acts 1951, (No. 2) 1952, and 1953 also provided for some minor exemptions.

The amount of the gift duty is payable by either the donor or the beneficiary, but the beneficiary is entitled to be indemnified by the donor unless the terms of the gift provide otherwise. Particulars of any gift made are required to be furnished for assessment of duty within one month of the date of the gift, and if not paid within one year of making of the gift a 10 per cent penalty is imposed. Where duty is payable, the rate (since 30 June 1940) is based on the following scale.

Value of GiftRate of Duty Per Cent
£    £ 
Over 500 to 1,0005
Over 1,000 to 5,0009
Over 5,000 to 10,00015
Over 10,000 to 20,00020
Over 20,00025

Prior to 1920 there was a flat rate of 5 per cent on all gifts exceeding £1,000 in value. Gifts between £500 and £1,000 were made dutiable in 1930.

STAMP DUTIES.—The term “stamp duties” covers a miscellany of items of taxation imposed by the Stamp Duties Act 1923 and subsequent amendments. The 1951 Finance Act exempted comprehensive motor vehicle insurance policies from stamp duty. The 1952 amendment to the principal Act abolished the duty of 2d. on receipts as from 8 August 1952, and exempted from stamp duty all agreements to which the Crown is a party.

The receipts for the last five years are shown under the various heads of stamp duties revenue as used in the public accounts.

Year Ended 31 March
19501951195219531954
 £££££
Adhesive stamps214,172339,806237,923226,416186,873
Duty on instruments596,9921,161,0001,436,5881,309,3711,484,534
Fines and penalties2,3412,5272,9853,1022,835
Impressed stamps355,547386,436422,132428,010452,310
Licences to companies122,140136,988139,492....
Sharebrokers' licences1,7401,6831,699....
Racing taxation2,268,4912,577,6032,628,3843,301,8253,752,922
Amusement tax256,716236,373308,976396,306401,704
Lottery duty27,87326,84225,88937,49645,864
Oversea-passenger duty2,598........
Mortgagees' indemnity fees1,8341,917......
Miscellaneous3,4143,6643,509....
    Totals3,853,8584,874,8395,207,5775,702,5266,327,042

Several of the more important items included in the foregoing table are dealt with in more detail under subsequent headings.

RACING TAXATION.—The Government tax on totalizator (pari mutuel) turnover is 5 per cent of the gross amounts passed through the machines. This percentage was substituted in August 1930 (by Part I of the Finance Act 1930) for the former rate of 2½ per cent, which had been in force since March 1910, prior to which the percentage was 1½. A refund of 2½ per cent, raised from 1¼ per cent by the Finance Act (No. 2) 1935, of gross totalizator takings (up to a limit of £500) could be made to a racing club, the Minister of Internal Affairs having the right to specify the purpose or purposes for which the amount refunded in any case is to be applied.

By the Finance Act 1951 the tax on totalizator turnover and the refund (up to £500 limit) provisions are combined, so that clubs pay a reduced rate of duty (at the rate of 2½ per cent on the first £20,000 of gross totalizator turnover received by a club in any year and 5 per cent on the balance in excess of £20,000), but are not entitled to any refund. The Consolidated Fund and the clubs each receive the same amounts of revenue under the new system as they did under former arrangements.

For some years prior to 1939–40 special provision was made annually for the racing clubs to retain for their own use a proportion of the totalizator duty payable under the Stamp Duties Act. From 1 April 1932 to 31 March 1934 the proportion was one-fifth, for the next twelve months it was one-tenth, and from 1 April 1935 to 31 March 1939 the former proportion of one-fifth was in operation.

From 1 November 1915 a tax of 1 per cent was imposed on the total value of all stakes, and a tax of 2½ per cent on totalizator dividends, in addition to the tax on totalizator turnover. The tax on dividends is computed on the gross amount paid into the totalizator for any horse race after deducting 12½ per cent (raised from 10 per cent by the Finance Act 1930) to cover the tax on totalizator turnover and the club's commission. From 22 December 1921 the tax on stakes was increased to 10 per cent and that on dividends to 5 per cent. From 1 April 1924 the tax on stakes was reduced to 5 per cent, with a further reduction to 1 per cent from 1 August 1935.

The Gaming Amendment Act 1953 made provision for the Minister of Internal Affairs to grant totalizator licences for not more than twenty-three days of racing in addition to the existing number of 339 days in any racing year. The Totalizator Agency Board, established by the Gaming Amendment Act 1949 to conduct off-course betting, receives 7½ per cent of the turnover made through totalizator agencies, and a levy for five years from 1 November 1950 of an additional ½ per cent of all totalizator turnover prior to the payment of dividends was deducted by racing clubs and paid to the Board. The proceeds of this levy were used solely for capital expenditure, to meet operating losses, and to create reserve funds for these purposes, the proceeds being exempt from income and social security taxes. The Gaming Amendment Act 1953 provides for the continuation of the ½ per cent levy for a further period of five years from 1 November 1955 to 1 November 1960, but during that period the levy is to be paid, where the levy is deducted by a racing club or hunt club, to the New Zealand Racing Conference and, where it is deducted by a trotting club, to the New Zealand Trotting Conference. Each Conference is to pay the moneys received by it into a separate account, which is to be applied solely for the purpose of assisting clubs to provide, maintain, and replace amenities for the public and course improvements on their courses. The proceeds of the levy and the amounts paid by the Conferences to clubs are not to be subject to income tax or social security tax.

The following figures relate to the racing year, which ends on 31 July.

Year Ended 31 July
19501951195219531954

* The Totalizator Agency Board commenced operations in April 1951.

† Retained by the clubs.

‡ The Finance Act 1951, by amending the provisions relating to payment of totalizator duty, obviated the payment of refunds.

§ Eight months of year only.

Number of racing days338352359359362
Number of races2,7032,8082,8722,8762,896
 £££££
Amount of stakes1,449,3771,545,6851,589,7631,530,1901,561,008
Totalizator turnover—     
On course25,041,53227,004,00227,401,28923,780,23324,076,247
With T.A.B.* 125,4523,546,79013,059,13818,291,959
    Totals25,041,53227,129,45430,948,07936,839,37142,368,206
Amount paid in dividends20,706,41622,340,31025,474,62030,348,18534,907,592
Government taxes—     
On totalizator turnover1,252,0771,356,4721,547,4041,779,6382,054,549
On dividends1,095,3341,181,4871,345,8971,602,3631,842,870
On stakes14,49415,45715,89815,30215,610
    Totals2,361,9052,553,4162,909,1993,397,3033,913,029
Percentage of totalizator turnover retained by clubs1,878,1152,034,7092,317,3462,822,7753,236,116
Unpaid fractions109,590111,491108,067102,223115,239
Refunds of taxation granted to clubs59,89453,886153,361
Levy of ½ per cent for Totalizator Agency Board..104,985§154,745184,196211,841

For the financial year ended 31 March 1954 Government receipts from racing taxation amounted to £3,752,922, as compared with £3,301,825 in 1952–53.

The rising tendency in the volume of betting as measured by totalizator turnover continued during the racing year ended 31 July 1954. For this period a record amount of £42,368,206 was handled by totalizators, as compared with the previous highest figure of £36,839,371 in 1952–53. This increase occurred largely in the volume of turnover handled by the Totalizator Agency Board, the turnover with this organization amounting to £18,291,959 in 1953–54, an increase of £5,232,821 over the previous year. On the other hand there was only a slight increase of £296,014 in on-course betting, the figures for 1952–53 and 1953–54 being £23,780,233 and £24,076,247 respectively.

Of the amount placed on the totalizator in 1953–54, 82.4 per cent was returned by way of dividends, Government taxes absorbed 9.2 per cent, the Totalizator Agency Board levy amounted to 0.5 per cent, and 7.9 per cent was retained by the racing clubs.

Of the 362 racing days in the 1953–54 racing year, 251 were devoted to racing (galloping) meetings and 111 to trotting meetings. It should be mentioned, however, that a number of racing clubs include trotting events in their programmes, but there are no trotting clubs which cater in a similar manner for gallopers. Of the total turnover during the year, £32,413,534 was placed at racing meetings and £9,954,672 at trotting meetings, giving an average of £129,138 per day for racing clubs and £89,681 per day for trotting clubs. Stakes paid at racing meetings totalled £1,104,473, the average amount per race being £550, while at trotting meetings the total was £456,535, and the average amount per race £514.

Doubles totalizator turnover increased from £7,678,281 in 1952–53 to £10,129,219 in 1953–54. This is an increase of £2,450,938, or 31.9 per cent. Of the total doubles turnover £8,369,464 was placed at racing meetings and £1,759,755 at trotting meetings.

AMUSEMENT TAX.—A form of tax first introduced in 1917 is the amusement tax, levied on payments for admission to entertainments. The present authority is the Amusement Tax Act 1955, consolidating previous legislation. The 1953 amendment freed from amusement tax all entertainments not included in the new definition of entertainment; in particular, lectures and wholly amateur concerts, and all games and sports and field events except those specifically mentioned being exempt. Entertainments taxable are horse race or dog race meetings; professional boxing or wrestling; any circus or an animal rodeo where the performers, producers, or managers are paid, not being a rodeo promoted by an agricultural and pastoral society; speedway motor racing where performers, producers, or managers are paid; motion picture shows, but not lectures illustrated by motion pictures; and any stage performance (play, ballet, vocal or instrumental performance, variety show, or other exhibition, not being a lecture or talk or band contest) in a theatre or hall where the performers, producers, or managers are paid.

Exemptions re-enacted are—(a) where proceeds are devoted to charitable, philanthropic, or educational purposes in New Zealand or to patriotic purposes, where the performers receive no part of the proceeds and expenses are reasonable, (b) those promoted by the National Council or a Regional Council of Adult Education, if net proceeds are devoted to cultural and educational purposes approved by the National Council, (c) plays, ballets, and musical entertainments promoted by certain New Zealand non-profit societies, if the proceeds are devoted to the objects of the society, and expenses are reasonable, and (d) primary or post-primary school entertainments performed by the school pupils (with or without staff), if the proceeds are devoted to objects of the school and the expenses are reasonable.

The following net amounts have been collected during the last eleven years.

Year Ended 31 MarchAmount Collected £
1944148,225
1945155,943
1946178,450
1947226,569
1948221,209
1949243,766
1950256,716
1951236,373
1952308,976
1953396,306
1954401,704

FILM-HIRE TAX.—Part V of the Finance Act 1930 imposed, as from 1 July 1930, a film-hire tax, which is payable monthly by holders of renters' licences under Part IV of the Cinematograph Films Act 1928.

The film-hire tax payable is assessed on the net monthly receipts derived by the renter from renting sound-picture films. On British Commonwealth films the tax is 10 per cent and on foreign films 25 per cent of the net receipts. Films made wholly in New Zealand are exempt from the tax. The film-hire tax yielded a revenue of £112,701 in 1949–50, £106,702 in 1950–51, £112,541 in 1951–52, £135,348 in 1952–53, and £131,190 in 1953–54.

SOCIAL SECURITY TAXATION.—The Social Security Act 1938 provided for the establishment of a Social Security Fund with special taxation (as from 1 April 1939) superseding employment promotion taxation.

Under the original Act the contributions to the Social Security Fund consisted of a registration fee and a charge on salaries, wages, and other income for all persons over sixteen years of age. For males over twenty years of age the registration fee was 5s. per quarter, and for all other persons over sixteen years of age 5s. per year; while for all persons over sixteen years of age the charge on salaries, wages, and other income was 1d. in every 1s. 8d. or part thereof. The Finance Act (No. 2) 1945 abolished the registration fee, the effective date being 1 April 1946. The same Act increased the social security charge to 1½d. for every 1s. 8d., the new rate applying to all salaries and wages in respect of any period after 12 May 1946, and in the case of income other than salaries and wages to all such income derived during the year ended 31 March 1946 and subsequent years. The income of companies was exempt from the former employment promotion taxation, but is liable for social security taxation.

Receipts from social security taxation during each of the last five financial years have been as follows.

Year Ended 31 MarchCharge on—Registration Fee, etc.Totals
Salaries and WagesOther Income
 ££££
195018,766,78012,935,79028531,702,855
195120,650,97515,115,26120135,766,437
195224,318,13819,294,730..43,612,868
195326,650,92218,857,016..45,507,938
195428,714,79021,002,586..49,717,376

SALES TAX.—Sales tax was inaugurated in New Zealand on 9 February 1933. Numerous classes of goods were exempt from the tax, these being, in the main, commodities of primary production, articles used in the primary industries, machinery for use in manufacture, and the more important foodstuffs for household consumption. Goods exported from New Zealand were exempt, as were also certain commodities (e.g., motor spirits) which were subject to special taxation.

The tax was at the rate of 5 per cent of the sale value of the goods to which it applied, but in June 1940 and again in May 1942 increases of a further 5 per cent and 10 per cent respectively were made for war taxation, the extra revenue thus accruing being paid direct to the War Expenses Account. Certain items, such as apparel, footwear, woollen piece-goods and yarns, and certain additional foodstuffs, were exempt from the additional 10 per cent, but in the case of wine manufactured in New Zealand an additional charge of 20 per cent was added until its removal dating from 3 September 1951. As from 1 April 1946 the total receipts from this tax have been credited to the Consolidated Fund. As from 16 August 1946 a number of classes of goods previously subject to the tax have been exempted, the principal of these being building materials, furniture, clothing, and footwear. Further items exempted from sales tax, chiefly home labour-saving devices, were notified as from 10 March 1950. As from 25 August 1950 a wide range of articles commonly used in homes, together with some items more particularly used by farmers, were also exempted from sales tax, further exemptions being made as from 27 August 1953. Further exemptions, including soap, toothpaste, and toilet brushes and combs, much sporting and athletic equipment, aerated waters and cordials, torches, rope, lawn mowers, tableware and kitchen utensils, were made from 23 July 1954. Discount ranging from 1 to 2½ per cent (reduced from 5 per cent in June 1940) of the amount of tax otherwise payable is allowed for prompt payment. The tax is not a turnover tax, being payable once only and, as far as possible, at the point where the goods pass to the retailer. The Sales Tax Act is administered by the Customs Department. The net amount yielded by the sales tax during each of the last five years has been: 1949–50, £14,785,320; 1950–51, £16,827,106; 1951–52, £21,811,375; 1952–53, £21,991,703; and 1953–54, £21,133,740.

Monthly figures of sales tax collected during the four calendar years 1951–54 have been as follows.

MonthTotal Sales Tax Receipts
1951195219531954
 ££££
January1,782,8012,972,6321,845,0741,819,694
February843,7941,806,587766,6631,062,699
March1,782,7492,250,3442,170,6022,397,864
April1,117,7432,237,6421,681,3261,926,756
May1,768,2552,139,4151,617,7181,687,432
June1,571,1681,491,4231,709,2692,003,208
July1,696,0822,355,9651,705,1811,983,186
August1,855,7801,820,6161,618,0471,867,301
September1,004,5631,752,0311,819,3631,816,225
October2,595,3171,969,9191,768,1541,731,084
November2,023,101917,5871,532,0042,034,580
December1,669,5982,749,4722,389,7981,986,362

The collections during a month relate in general to sales during the preceding month.

The foregoing statistics indicate, in a measure, the comparative distribution of merchandise trading operations throughout the year. The following table of receipts from the sales tax gives some indication of comparative trading operations in the principal centres. These figures and those in the preceding table are compiled from monthly departmental returns and in most cases differ slightly from the final Treasury figures shown earlier.

Year Ended 31 MarchAucklandWellingtonRest of North IslandChristchurchDunedinRest of South IslandTotal*

* Includes receipts through Post and Telegraph Department.

 £££££££
19504,284,6976,521,145914,6101,706,4191,042,899531,54015,050,817
19514,809,7117,957,916929,9341,948,2091,136,260604,42417,449,562
19526,502,8609,786,7041,116,6862,635,1271,470,075704,92322,331,170
19536,316,95910,096,8661,119,6582,445,6391,445,037720,68222,216,409
19546,319,5619,039,7811,127,2012,444,5671,380,850731,22221,121,117

LOCAL TAXATION.—Local-governing authorities have power under various Acts of the Legislature to impose taxes for general or special purposes, as set out in Section 31 of this Year-Book. The amount of revenue collected by local authorities during the five years ended 31 March 1953 was as follows.

Year Ended 31 MarchRatesLicences and Other TaxesTotalPer Head of Mean Population
 ££££s.d.
194910,797,0841,018,99911,816,083682
195011,644,7481,121,88612,766,6346159
195112,577,0171,240,86913,817,886741
195214,513,7661,396,10415,909,870825
195315,354,0041,481,91316,835,917877

The figures are exclusive of wharfage dues, tolls, etc., received by Harbour Boards, such receipts being regarded as in respect of charges for services.

30 C—STATE INDEBTEDNESS

GENERAL.—The principal legislative measure which is concerned with public indebtedness is the New Zealand Loans Act 1953, which consolidated the 1932 Act and its amendments, including the National Development Loans Act 1941.

The latter Act provided for the establishment within the Public Account, as from 1 April 1942. of a National Development Loans Account into which all moneys raised by way of loans for national development are paid. The amounts so raised since the inception of this Account to 31 March 1954 totalled £273,251,518, of which £46,834,494 was raised in 1953–54, including £8,910,000 from national savings accounts. Moneys are transferred from this Account as required, the amounts transferred during the last three years being given in Section 30A. The balance in the Account at 31 March 1954 was £7,571,693.

The Minister of Finance may raise loans, when authorized by Parliament so to do, by the issue of debentures, or scrip, or stock, in New Zealand or elsewhere at his discretion. When raising a loan the Minister may prescribe the mode and conditions of repayment, the rates of interest (not exceeding the maximum rate fixed by the authorizing Act), and the times and places of payment of principal and interest respectively. Power is given to convert debentures or scrip into consolidated stock, and the Minister may specify the terms of conversion at the time when a loan is raised, or arrange that terms shall be subsequently agreed upon. For the purpose of paying off or renewing at maturity any debenture, scrip, or other security, new debentures or other securities may be issued and disposed of if necessary. Authority also exists for the conversion of loan money which has not yet matured, as well as for the redemption and cancellation of securities before maturity. The management of the public debt was transferred to the Reserve Bank of New Zealand as from 1 October 1936.

The money composing the public debt has been borrowed on the security of the public revenues of New Zealand. No portion of the public estate is pledged for payment of either principal or interest.

National Savings.—The National Savings Act 1940 made wider provision for the investment of savings than the former Post Office investment certificates (£1 and upwards) issued during the First World War. Although the Act provides that investments made in accordance therewith shall be applied in like manner to receipts from the sale of the Post Office investment certificates—i.e., available for the purposes of any loan authorized by Parliament—the immediate object was to assist in financing the Second World War. Two forms of investment were provided—(a) Deposits in national savings accounts with the Post Office and certain authorized trustee savings banks, and (b) Purchase of national savings bonds. These investments are approved trustee securities, and bear interest at the rate of 3 per cent per annum.

Deposits in national savings accounts cannot be withdrawn at will, but are invested for a definite period. Moneys deposited up to 30 June 1943 were repayable on 30 June 1945, and each subsequent investment period is for a term of two years—i.e., deposits made during the year ended 30 June 1954 are repayable on 30 June 1956, and so on. National savings bonds are issued in three denominations—£1, £10, and £100—and are for a term of five years.

Recording of Public Debt.—At the commencement of the financial year 1943–44 a change in practice was effected in regard to the treatment of exchange on overseas transactions. As from that date the cost of exchange has been treated as a part of the payment from which it arose, and not accounted for in the public accounts under the one heading of “Exchange,” as was the previous practice.

It was further decided that Government funds and investments held in the United Kingdom as at 1 April 1943 and all subsequent overseas transactions were to be converted into pounds New Zealand at a fixed exchange rate of 25 per cent and brought into the public accounts at the increased figure. Previously pounds New Zealand and pounds sterling were treated as if they were of the same value, despite the fact that New Zealand currency for many years had been at a discount on sterling.

In keeping with the foregoing decisions, that portion of the public debt domiciled in the United Kingdom, which was previously shown only at the sterling figure, was converted to pounds New Zealand, and the whole of the debt is shown in the debt tables in New Zealand currency in addition to the nominal amounts. The nominal increase resulting from the adjustment as at 1 April 1943 was £39,568,574.

With the adjustment of the exchange rate as from 20 August 1948 New Zealand currency again became on a par with sterling. To facilitate comparison over a period on a common basis the public debt tables in this Section have, in general, been so shown that either nominal amounts or the amounts in New Zealand currency can be readily ascertained during the period of divergence.

The Finance Act (No. 2) 1952 in redefining the term “public debt” excluded from the debt those loans funded by agreement with the United Kingdom Government under the authority of section 8 of the Finance Act 1922. The public debt figures throughout this Section have therefore been adjusted to be on a comparable basis and exclude the amount of £24,100,200 (£N.Z.30,125,250 for years 1932–48—i.e., the years in which the New Zealand pound was at a discount of 25 per cent on sterling) funded in terms of the 1922 Act, and in respect of which interest payments have been suspended by agreement with the United Kingdom Government since 1931. This amount originally formed part of the First World War debt.

An amount of £2,090,909 (£N.Z.2,613,639 for years 1932–48) raised for State Advances purposes but on which interest payments have also been suspended since 1931 is, however, regarded as part of the public debt and is accordingly included in the figures.

GROSS INDEBTEDNESS.—On only five* occasions in the history of New Zealand has a reduction in the gross public debt been effected during the financial year. The first occasion was in 1891–92, when the debt was reduced by £117,232; and the second in 1922–23, when another slight reduction (£101,061) was recorded. The third occasion was in 1934–35, when the floating debt of £22,856,981—comprising outstanding Treasury revenue bills amounting to £3,452,109 and Treasury bills for £19,404,872 in respect of the Banks Indemnity (Exchange) Act—was entirely paid off. The fourth occasion was in 1947–48, the debt being reduced by £3,137,446 in New Zealand currency (having regard to exchange rate relationships existing prior to 20 August 1948), or £302,043 if nominal amounts only are taken into account. The fifth occasion was in 1951–52, the debt being reduced by £13,571,145 by the sale of State Advances stock, held by Treasury, to the Post Office Savings Bank, and an equivalent amount of Government stock, held by the Savings Bank, being redeemed.

The gross indebtedness of the General Government and the rate of indebtedness per head of population (inclusive of Maoris) for each of the last twenty-one years are given in the following table.

The figures are given in two series, the first showing the debt at the nominal amount throughout the period 1934–54, and the second, covering the same period, with the debt shown in New Zealand currency. In the latter case the amount of overseas debt has been converted to New Zealand currency at the rate of exchange ruling during the period.

As at 31 MarchAmountPer Head of Population

* See, however, page 603 of 1940 Year-Book.

A—Nominal Amounts
 ££s.d.
1934278,691,796179159
1935256,481,01716462
1936258,460,89816444
1937263,570,00016612
1938266,101,142165170
1939279,870,07217252
1940298,807,33618220
1941325,327,375198167
1942361,297,53322114
1943439,725,172269111
1944502,616,861305150
1945539,317,61632107
1946570,231,3193241111
1947580,471,49032478
1948580,169,44731776
1949617,076,540330190
1950645,971,14233995
1951669,324,47834573
1952655,753,33333080
1953669,779,443328144
1954706,461,82233879
B—In New Zealand Currency
 ££s.d.
1934312,893,772201170
1935289,894,163185143
1936291,320,271185110
1937295,945,51918692
1938298,506,061186011
1939313,058,276192139
1940332,248,10420297
1941358,895,222219611
1942393,711,374240180
1943473,268,697289125
1944536,368,76732657
1945573,113,162341211
1946594,386,340338611
1947604,626,511337177
1948601,489,06532909
1949617,076,540330190
1950645,971,14233995
1951669,324,47834573
1952655,753,33333080
1953669,779,443328144
1954706,461,82233879

The figures include £2,090,909 (£N.Z.2,613,639 for years 1932–48) raised for State Advances purposes. Interest payments on this amount have been suspended since 1931 by agreement with the United Kingdom Government.

Amounts of £679,466, representing outstanding advances by way of overdraft in respect of the purchase of foodstuffs and other commodities and of £2,039,686 for the purchase of meat, both under the authority of section 5 of the Marketing Amendment Act 1949, are not included in the public debt as at 31 March 1954. A further advance outstanding at this date was £14,340 to the Government Insurance Account.

State guarantees cover such items as the guarantee to policyholders of the Government Insurance Department under the Government Life Insurance Act 1953; the guarantee to the Reserve Bank under the Finance Act 1934 in respect of sterling exchange (which was exercised in the case of the adjustment of the New Zealand currency exchange rate to parity with sterling as from 20 August 1948); the guarantee under the Finance Act (No. 2) 1946 to the Reserve Bank in respect of moneys advanced to Governments of other countries to finance the purchase of New Zealand produce; guarantees to certain undertakings under the State Advances Corporation Act and certain local authority loans. There were also certain contingent State liabilities in respect of the various Government Superannuation Funds and in respect of £24,100,200 funded debt (£N.Z.30,125,250 for years 1932–48) referred to earlier.

At 31 March 1954 the amount of contingent loans outstanding in respect of State Advances Corporation stock and debentures, the major portion of which is at present held by the State in consideration of the transfer of property securities from the State to the Corporation, was £107,722,590; and in addition there was a further amount of £1,840,930 in respect of loans to industries by the Corporation.

The Hutt Road Act 1939 made provision whereby the Wellington City Council was to be kept indemnified from all liability in respect of certain loans which at the time of the passing of the Act amounted to £276,020. The amount outstanding under this agreement at 31 March 1954 was £20,600, against which the Public Trustee held sinking funds totalling £17,313.

In respect of the guarantee to the Reserve Bank for the purpose of financing purchases of New Zealand produce, credits granted as at 31 March 1954 amounted to £5,018,750 to the Government of the French Republic and £999,864 to the Government of the Czechoslovak Republic for the purchase of wool.

CLASSIFICATION OF PUBLIC DEBT.—A broad classification of the public debt according to nature or purpose is contained in the following table, the distinction being made on the basis of whether raised for ordinary purposes, war purposes, or housing. It should be noted that the debt is expressed in terms of nominal amounts, these differing from figures in terms of New Zealand currency for the 1940 year only.

ClassGross Debt as at 31 March
192019301940195019531954

* Includes debt due to United Kingdom Government (see p. 742).

 ££££££
Ordinary121,081,730197,599,818247,308,296360,357,600387,130,904425,407,163
Housing....11,558,94557,330,72074,959,60882,415,826
War loans (1914–18)80,089,025*69,783,525*36,854,04026,757,2179,050,098..
War expenses (1939–45)....3,086,055201,525,605198,638,833198,638,833
    Totals201,170,755267,383,343298,807,336645,971,142669,779,443706,461,822

The amount per head of population for each class as at 31 March 1954 was as follows: ordinary, £203 15s.; housing, £39 10s.; war expenses, 1939–45, £95 3s.

A more detailed allocation of the debt for the last two years is now given. At 31 March—

 19531954
 ££

* Excludes contingent liability in respect of debt due to United Kingdom Government (see page 742).

Railways97,901,568103,453,122
Hydro-electric schemes75,455,72688,705,726
Post and telegraph services32,413,84136,376,098
Public buildings5,713,5944,685,197
Education buildings19,390,47822,129,400
Roads and highways57,787,41560,633,716
Harbours and lighthouses400,000400,000
Forests (State)10,695,59311,457,827
Housing74,959,60882,415,826
Land settlement and improvement30,561,82232,254,457
Soil conservation, irrigation, and drainage10,117,31811,053,876
Shares in Bank of New Zealand7,790,8557,763,825
New Zealand National Airways Corporation1,200,0001,200,000
British Commonwealth Pacific Airlines, Ltd.541,935541,935
British Petroleum Co. of New Zealand, Ltd.1,275,0001,275,000
New Zealand Woolpack and Textiles, Ltd.150,000150,000
Christmas Island phosphates1,428,5681,409,121
Mining6,804,0356,935,697
Tasman Empire Airways, Ltd.375,000375,000
Tasman Pulp and Paper Co., Ltd.200,0002,300,000
Murupara Development..2,200,579
Reserve Bank exchange adjustment20,000,00020,000,000
War Loans (1914–18)9,050,098*..
War expenses (1939–45)198,638,833198,638,833
National Development Loans (balance)387,1993,571,693
Miscellaneous assets and services2,368,1044,007,944
Cash and investments in hand4,172,8532,526,950
    Totals£669,779,443*£706,461,822*

MOVEMENT IN PUBLIC DEBT DURING 1953–54.—A summary of transactions in connection with the public debt during the year ended 31 March 1954 is as follows.

Amount Outstanding at
31 March 195331 March 1954+ Increase – Decrease
 £££
External debt: London79,881,09389,880,637+9,999,544
Internal debt—   
  Long-term debt533,898,350562,081,185+28,182,835
  Floating debt56,000,00054,500,000−1,500,000
    Totals669,779,443706,461,822+36,682,379

A more detailed statement which shows also the main purposes for which loan moneys were raised during the year 1953–54 is now given.

External debt   
  London—   
    Increases—   
      New issues for— ££
        National Development purposes 9,999,754 
    Decreases—   
      Transfer to New Zealand Register 210 
        Increase in external debt  9,999,544
Internal debt—   
  Increases—   
    New issues for—£  
      National development purposes36,834,740  
      Repayments in New Zealand17,075,464  
      Transfer from London Register210£ 
    Total increases, internal debt 53,910,414 
Increases—   
  Repayments from—   
      Loans Redemption Account10,315,630  
      New Issues in New Zealand16,911,949  
        Total decreases, internal debt 27,227,579 
        Net increase in internal debt  26,682,835
Net increase in total public debt  £36,682,379

PUBLIC DEBT CONVERSION SCHEMES AND NEW LOANS.—A scheme of conversion of practically the whole of the locally domiciled debt bearing interest higher than 4 per cent was successfully carried out in the early part of 1933. Holders had the option of dissenting, but interest on the dissented portion was made subject to an interest tax of 33⅓ per cent. Holders who signified neither assent nor dissent were regarded as having assented.

Details of this conversion and of other conversions during the period up to 31 March 1945, together with a schedule of war loans over the period 1940–45, are given on pages 503–504 of the 1950 issue of the Year-Book. Information covering conversions and new loans from 1 April 1945 to date are given in the following paragraphs.

A conversion offer was made in London to holders of £7,580,907 4½-per-cent stock repayable on 1 March 1945 and £9,657,280 3-per-cent stock repayable on 1 April 1945. New stock was offered at 3¼ per cent maturing on 1 September 1962–65, with a cash payment of 10s. per cent to holders who converted. Applications for new stock totalled £14,904,247, and the balance of £2,333,940 was taken up by the Reserve Bank.

A conversion offer in respect of an internal 4-percent loan totalling £8,931,480 maturing on 15 April 1949, but in respect of which the Government had the option to repay on or after 15 April 1946, was made in December 1945. The new securities offered were 3-per-cent stock issued at par and maturing on 15 April 1960–63. Holders of the £2,426,365 of 4-per-cent stock who did not accept the conversion offer were repaid in cash on 15 April 1946.

A conversion offer was made in London in June 1948 to holders of £16,000,000 sterling 4⅓-percent inscribed stock maturing on 1 March 1958, with the option of repayment at par on or after 1 March 1948. New stock at 3 per cent maturing 1 September 1966–68 was issued in exchange, while of a further amount of £3,225,465 4½-per-cent stock, £225,465 was repaid and the balance of £3,000,000 transferred to New Zealand domicile.

A £7,322,579 3½-per-cent loan domiciled in London and maturing on 1 February 1949–54 was dealt with in June 1949 by conversion of £7,000,000 into 3-per-cent stock maturing 1 June 1973–77 and by repayment of the remaining £322,579 in cash.

In October 1949 a conversion offer was made in London to holders of £6,000,000 of a total of £7,500,000 5-per-cent inscribed stock maturing on 15 December 1949. New stock at 3¼ per cent maturing 15 December 1963–66 was offered in exchange, while cash applications were used for the redemption of the remaining £1,500,000 of 5-per-cent stock.

A conversion offer in June 1949 in respect of three internal loans totalling £29,235,755 at par (2½ per cent maturing 15 June 1947–49, 2½ per cent maturing 15 February 1949–50, and 4 per cent maturing 15 May 1949–52) resulted in £15,111,380 being reinvested in either 3-per-cent stock maturing 15 June 1961–64, or 2½-per-cent stock maturing 15 June 1954–55, and repayment in cash of £14,124,375.

A 5½-per-cent loan of £1,250,000 domiciled in London matured on 1 February 1951. Of this amount £331,000 was repaid and the balance converted into 3¼-per-cent stock maturing on 15 December 1963–66. A 5½-per-cent loan of £(N.Z.)628,226 domiciled in Australia was repaid at maturity date of 1 February 1951. On 15 April 1951 two internal 2½-per-cent loans matured, totalling £10,048,000. Conversion was effected of £7,900,000 before the maturity date, the remaining £2,148,000 being repaid in cash on the maturity date.

In addition to the above classes of conversion loans, during the period 1946–50 there were four “tap" issues at par as follows: In 1946, £18,319,590 of 3-per-cent stock maturing 15 July 1961–63 were issued; in 1947, £21,402,700 of 3-per-cent stock maturing 15 July 1962–64; in 1948, £24,918,600 of 3-per-cent stock maturing 15 July 1963–65; and in 1949–50, £19,288,825 of either 2½-per-cent stock maturing 15 May 1955–56, or 3-per-cent stock maturing 15 May 1964–66.

The 1950 National Development Loan was initiated in May 1950, the amount of £20,000,000 being oversubscribed by £941,670. Stock was offered either at 3 per cent repayable 15 August 1959–61, issued at 99½ per cent, or at 2½ per cent repayable 15 August 1954 issued at par. The 1951 National Development Loan was opened in May 1951, and the amount of £10,000,000 was oversubscribed by £3,217,810, the loan being closed earlier than the scheduled date of 27 June 1951. The stock was offered at 3 per cent at par and repayable 15 April 1960–62.

There were two issues of development loans in 1952–53; the first, the 1953 National Development Loan, was opened in May 1953, being in the nature of a £20,000,000 cash and conversion loan. Stock was offered at 3¾ per cent repayable on 15 May 1962 and issued at £98 10s. per cent. Either ordinary stock or death duty stock was issued at subscriber's option, the latter being available to meet income tax and social security charge in regard to deceased holders' estates as well as death duties. A minimum net return of 2 per cent on nominal value after payment of taxes was ensured by means of income tax rebates. The conversion offer concerned the 2½ per cent stock maturing October 1953 (First War Loan) on basis of £98 10s., maturing stock being equal to £100 nominal value of new stock. Conversions totalled £6,949,770 and cash subscriptions £15,311,460. The second issue of the 1953 National Development Loan of £10,000,000 was offered in September 1953 on the same terms as for the earlier issue. This loan was oversubscribed by £183,280.

A loan of £10,000,000 sterling was negotiated in London in December 1953. It consisted of New Zealand Government 4-per-cent stock issued at £98 10s. per cent and maturing 1976–78.

The New Zealand Government in early 1954 made arrangements for a 16,000,000 dollar loan from the United States Export-Import Bank to assist in the purchase of materials, equipment, and services for the development of the Murupara project. The interest rate payable to the bank is 4¾ per cent.

The 1954 National Development Loan was opened in June 1954 for an amount of £30,000,000. Stock was offered at 3¾ per cent for (a) 5 years issued at £100 per cent, (b) 11 years at £98 per cent, (c) 15 years at £97 10s. per cent, or (d) 20 years at £97 per cent, the net yield for the three longer maturing stocks being approximately £3 19s. 6d. Ordinary or death duty stock alternatives and minimum net return conditions were similar to those for the 1953 loan. Holders of 3 per cent and 2½ per cent stocks maturing August 1954 were offered in exchange stock in the new loan. At the end of December 1954, cash subscriptions totalled £21,755,491 with some small amounts outstanding, while conversions amounted to £9,386,390.

A loan of £10,000,000 sterling was negotiated in London in October 1954. It consisted of New Zealand Government 3½-per-cent stock at £98 per cent and maturing 1981–84.

DOMICILE OF DEBT.—The table following shows, for each of the eleven years ending 31 March 1954, the amount of New Zealand's public debt domiciled in London, Australia, and New Zealand. All amounts shown are exclusive of the contingent liability due to the United Kingdom Government to which reference has been made elsewhere in this subsection.

At 31 MarchAmountPercentage of Total on New Zealand Currency Basis
LondonAustraliaNew ZealandLondonAustraliaNew Zealand
 £(Stg.)= £(N.Z.)£(N.Z.)£(N.Z.)Per CentPer CentPer Cent
1944135,007,628168,759,534862,300366,746,93331.460.1668.38
1945135,182,183168,977,729861,300403,274,13329.480.1570.37
194696,620,083120,775,104861,300472,749,93620.320.1479.54
194796,620,083120,775,104861,300482,990,10719.980.1479.88
194885,278,475106,598,093779,000494,111,97217.720.1382.15
194982,053,00982,053,009628,226534,395,30513.300.1086.60
195080,230,43180,230,431628,226565,112,48512.420.1087.48
195179,899,15379,899,153..589,425,32511.94..88.06
195279,898,75379,898,753..575,854,58012.18..87.82
195379,881,09379,881,093..589,898,35011.93..88.07
195489,880,63789,880,637..616,581,18512.72..87.28

During the period covered by the table the amount of the debt domiciled in London has decreased (on a New Zealand currency basis) by £78,878,897, the amount at 31 March 1945 being £(N.Z.)-168,977,729, as compared with £(NZ.)79,881,093 at 31 March 1953. The amount domiciled in New Zealand, on the other hand, has risen during the ten years by £249,834,252.

MATURITY YEARS OF DEBT.—The maturity years of the debt outstanding at 31 March 1954 are shown in the following statement, which distinguishes between the various countries of domicile. All amounts shown may be regarded as being either in New Zealand pounds or in nominal amounts.

Loans Maturing in Year Ended 31 March*Debt Maturing in—Total
LondonNew Zealand
PublicDepartmental and other

* In respect of many of the loans the Government has the option to redeem the securities at an earlier date on giving notice.

 ££££
Overdue..3,375..3,375
Treasury bills....54,500,00054,500,000
1955..7,037,6105,335,05012,372,660
195611,984,34017,524,52012,345,56541,854,425
1957..29,036,03020,926,15049,962,180
1958..22,302,905118,979,015141,281,920
1959..9,472,96564,906,84574,379,810
1960..6,791,22533,559,65040,350,875
19616,311,47918,494,69511,282,46036,088,634
1962..13,971,09532,239,24546,210,340
1963..29,010,97019,564,85048,575,820
19647,339,44624,802,4906,239,52538,381,461
1965..16,993,86010,424,63527,418,495
196617,238,1875,906,77512,271,49535,416,457
19676,918,7226,696,9004,761,28518,376,907
196915,998,0001,200,000..17,198,000
19725,000,000....5,000,000
19786,999,800....6,999,800
19799,999,754....9,999,754
United Kingdom Government advances on which interest payments have been suspended since 19312,090,909....2,090,909
    Totals89,880,637209,245,415407,335,770706,461,822

DEPARTMENTAL INVESTMENTS.—As shown in the preceding table, £407,335,770 of the public debt outstanding at 31 March 1954 was held by various Government Departments and quasi-Government organizations. A summary of these investments, for the last two years is as follows.

 At 31 March—
 19531954
 ££
Investments held by accounts within the Public Account52,623,79554,005,690
New Zealand Broadcasting Service1,250,0001,150,000
Marketing Department250,000250,000
Government Life Insurance7,234,7907,519,080
Government Superannuation Board11,050,67013,477,655
Maori Trustee1,915,0002,042,000
National Provident Fund5,617,1255,194,345
Post Office108,468,000108,468,000
Post Office: National Savings58,200,00060,950,000
Public Trustee3,998,3554,390,170
Reserve Bank60,045,35560,197,040
State Advances Corporation1,740,3801,994,180
State Fire Insurance Office—  
  Accident Branch1,367,5001,270,620
  Fire Branch1,348,6701,379,890
Dairy Industry Account21,460,00021,560,000
Meat Industry Account38,498,78538,543,040
Wool Commission Account23,980,03524,944,060
    Totals£399,048,460£407,335,770

PRICES OF NEW ZEALAND STOCKS.—The following table gives the quotations in London for the principal new stocks (excluding accrued interest) in December of each of the years 1943–51 and at quarterly intervals from March 1952 to December 1954.

Date3 Per Cent, 1952–5531 Per Cent, 1962–653½ Per Cent, 1955–6031 Per Cent, 1960–645 Per Cent, 1956–71
 £s.d.£s.d.£s.d.£s.d.£s.d.
1943—Dec. 29750......114153
1944—Dec. 799150....104163116100
1945—Dec. 699176102100..10311311750
1946—Dec. 9104126112176..11311312313
1947—Dec. 5998910339..1061311613
1948—Dec. 2102176104189..10613911689
1949—Dec. 2910110098150..100189110163
1950—Dec. 110112610000..10226110126
1951—Dec. 6981009339..951610½10400
1952—Mar. 698110½90610½..931391033
June 597008618..91110½101150
Sept. 497149019..93141025
Dec. 499269115..941610½102163
1953—Mar 1299769115..958101189
June 4991899213..95410210
Sept. 310039319..97110½10218
Dec. 3100009415991497610½10313
1954—Mar. 11100509563998971510214
June 31005095131000981910363
Sept. 21005987610014991761035
Dec. 31002698010018991610½102189

INTEREST.—Of the public debt outstanding at 31 March 1932, approximately 30 per cent only of the total bore interest at a rate of 4 per cent or lower. Following on conversion operations and of a general decline in interest rates for new money in the succeeding years, the amount of debt bearing interest at a rate of 4 per cent or under at 31 March 1954 was £699,031,822, or 99 per cent of the total debt exclusive of that portion on which interest payments have been suspended since 1931 by agreement with the United Kingdom Government, while on £566,620,395, or approximately 80 per cent, the rate did not exceed 3 per cent. Of the debt domiciled in New Zealand at 31 March 1954, no less than 86 per cent was at rates of 3 per cent or under, the remainder (or 14 per cent) being at rates which did not exceed 4½ per cent. A classification of the public debt as at 31 March 1954, according to the rates of interest payable and domicile, is contained in the following table, the values being in terms of New Zealand currency.

Rate of Interest (Per Cent)Debt Maturing in—TotalGross Annual Interest Charge
LondonNew Zealand
 ££££
Overdue..3,3753,375..
1..97,500,00097,500,000975,000
..147,194,000147,194,0003,604,484
334,982,140286,940,880321,923,0209,562,538
24,156,90921,811,41545,968,3241,493,969
13,650,92513,801,98027,452,905960,852
..32,457,85532,457,8551,217,170
49,999,75414,441,68024,441,434977,667
..2,430,0002,430,000109,350
55,000,000..5,000,000250,000
 87,789,728616,581,185704,370,91319,151,030
United Kingdom Government advances on which interest payments have been suspended2,090,909..2,090,909..
    Totals89,880,637616,581,185706,461,82219,151,030

The total amount of interest payable on the public debt—i.e., the whole of the public debt less that portion upon which interest payments have been suspended by agreement with the United Kingdom Government—as at 31 March 1954 was £19,151,030, which gives an average rate of £2 14s. 5d. per cent.

The amount of interest and the average rate per cent payable on the debt domiciled in the respective markets were—

 Amount of InterestAverage Rate
 ££s.d.
London2,962,346376
New Zealand16,188,6842126

The total of interest payments from the Consolidated Fund during the year ended 31 March 1954 was £18,128,182. Of this amount, £2,468,538 was paid in London, and £93,808 in New Zealand on account of debt domiciled in London, while the remaining £15,565,836 was paid in New Zealand in respect of internal debt.

The total amount of interest credited to the Consolidated Fund on account of capital liability of various enterprises during 1953–54 was £6,876,278, the contributing accounts being Post and Telegraph, £1,183,785; Electric Supply, £2,811,803; Housing Account, £1,050,191; Housing Construction, £112,203; Land Settlement Account, £1,178,210; under section 31 (3) of Land Act 1948, £400,000; New Zealand National Airways Corporation, £42,000; and State Coal Mines Account, £98,086. interest is also received from the investment of other public moneys, the total under this heading being £869,604, including £93,540 from the State Advances Corporation, £410,000 from the Public Account Cash Balance Investments Account, £50,000 from the Christmas Island Phosphate Commission, £24,155 from the British Phosphate Commission, £131,859 from the Deposits Account, and £58,216 from the National Development Loans Account. The total interest receipts of the Consolidated Fund were thus £7,745,882, leaving the net interest charges for the year £10,382,300, as compared with £10,427,389 in 1952–53.

The following table shows the gross payments of interest together with the net interest charges for the last eleven financial years.

Year Ended 31 MarchGross PaymentsReceiptsCredits in ReductionGross Payments, Less Receipts and Credits

* Included with receipts.

 £(N.Z.)£(N.Z.)£(N.Z.)£(N.Z.)
194415,613,2704,281,9223,250,6788,080,670
194517,323,3465,363,807*11,959,539
194618,584,4345,857,264*12,727,170
194717,558,8764,714,100*12,844,776
194817,825,0525,002,728*12,822,324
194916,619,9605,215,789*11,404,171
195016,736,8195,886,354*10,850,465
195117,264,2006,566,290*10,697,910
195217,712,6407,337,035*10,375,605
195317,320,9826,893,593*10,427,389
195418,128,1827,745,882*10,382,300

Administration and management charges in respect, of debt services amounted to £1,004,709 in 1953–54, as compared with £264,407 in 1952–53.

AMORTIZATION OF DEBT: Public Debt Repayment.—With certain exceptions, the repayment of the public debt is now subject to the provisions of the New Zealand Loans Act 1953. For this purpose there is issued annually out of the Consolidated Fund—(a) a sum equal to £ per cent of the total amount of the public debt outstanding at the end of the preceding financial year; (b) £2,865,000, being 4 per cent of the redemptions effected from 1 April 1925 up to 1 January 1954; (c) a sum equal to 4 per cent of the total amounts paid under section 59 of the Act between the commencement of the Act (1 January 1954) and the end of the preceding financial year: Provided that if the Minister of Finance so directs, any amount required to be paid under this section may be reduced by the amount paid into the Loans Redemption Account under paragraph (c) of section 57 of the Act, but the amount payable under paragraph (c) of this section in any subsequent year shall be computed as if no such reduction had been made. The bulk of the savings in interest on debt paid off is thus applied to further repayments of debt. In brief, provision is made to repay the debt in approximately sixty years from the date of the inception of the scheme—1925 or from the date of raising subsequent loans.

The annual contribution from the Consolidated Fund paid to the Loans Redemption Account is utilized to redeem such securities as the Public Debt Commission determines, which are a charge upon the public revenues of New Zealand. All other moneys raised or available for the purpose of repayment of any loan forming a charge on public revenues are similarly paid into the Loans Redemption Account and utilized for the redemption of such securities charged upon the public revenues as the Minister of Finance from time to time determines.

Transactions involving merely the exchange of one class of securities for another of the same rate of interest and term, or where the only variation is an extension of the term by not more than two years, are not recorded in the Loans Redemption Account.

The repayment scheme provided for under the New Zealand Loans Act 1953 does not apply to the whole of the public debt, moneys borrowed on the security of Treasury bills issued under section 41 of the Public Revenues Act 1953 and funded debt (refer page 751) being excluded.

Amounts devoted to the repayment or redemption of the public debt during each of the last five years are set out below, together with a brief statement of the class of debt affected by redemption operations.

Year Ended 31 MarchRepayments (Section 12 (a) of 1947 Act or 58 (a) of 1953 Act)Amounts Utilized for RedemptionClass of Debt Affected by Redemptions
Section 12 (b) of 1947 Act and 58 (b) of 1953 ActSection 12 (c) of 1947 Act and 58 (c) of 1953 ActTotal Amount UtilizedItemAmount
 ££££ £
195045,610,8285,487,0651,815,9107,302,975War expenses debt1,772,795
War loans, 1914–183,714,270
Other debt1,815,910
195115,908,3891,422,1787,110,9348,533,112War expenses debt766,834
Treasury bills redeemed3,000,000
Other debt4,766,278
19522,725,4005,518,52638,776,49944,295,025State Advances Corporation34,044,850
War loans, 1914–183,913,026
Public Works Account1,294,000
Linen Flax Corporation300,000
Other debt4,743,149
19537,432,6606,100,4555,381,55011,482,005War loans, 1914–189,053,781
Other debt2,428,224
195416,911,9496,545,6753,769,95510,315,630War loans, 1914–186,543,675
Other debt3,769,955

The following table shows the amounts available for redemption for each of the last five years under the repayment scheme provided for by the New Zealand Loans Amendment Acts of 1947 and 1953, the amounts utilized, and the nominal value of securities redeemed and cancelled to date.

Year Ended 31 MarchBalance of Amortization Contributions Unspent at Beginning of YearTransfers from Consolidated FundUtilized to Redeem and Cancel SecuritiesNominal Value of Securities Redeemed and Cancelled from 1 April 1925 to 31 March 1954
One-half Per Cent of Public Debt Outstanding at Beginning of YearFour Per Cent of Total Amount of Public Debt Redeemed or Repaid to Beginning of YearTotal
 ££££££
1950764,0242,724,9721,998,0694,723,0415,487,06555,438,795
1951..2,839,9772,217,5525,057,5291,422,17856,860,973
19523,635,3512,916,2902,274,4395,190,7295,518,52662,379,499
19533,307,5543,278,7672,625,0005,903,7676,100,45568,479,954
19543,110,8663,348,8972,865,0006,213,8976,545,67575,025,629

Amortization of Funded Debt.—At 31 March 1922, £27,532,164 of New Zealand's public debt was owing to the United Kingdom Government, all but £1,191,919 of this being on account of war expenditure. Arrangements were made with the United Kingdom Government in 1922 for the funding of this debt.

The funding was carried out on an annuity basis of 6 per cent, the total payment each year (payable half-yearly at 1 June and 1 December) being £1,651,930. Interest was at the rate of £4 19s. 5.88d. per cent, the balance of the 6 per cent going to reduction of the debt.

Under the agreement the original amount of £27,532,164 would have been automatically discharged from the public debt by the end of the financial year 1958–59. The United Kingdom Government, however, following the Hoover proposals regarding war debts, voluntarily suspended New Zealand's obligations in respect of the funded-debt payments due in and since December 1931. On the other hand, a provision that any part of the funded debt may be redeemed at any time was taken advantage of in 1924, when £200,000 was paid off the Naval Defence Loan.

At the date of suspension total payments amounted to £15,067,370, of which £11,635,406 represented interest payments and £3,431,964 (including the £200,000 additional paid off Naval Defence Loan) reduction of principal, leaving the outstanding balance of the funded debt at £24,100,200.

The provisions of the repayment of debt scheme do not apply to the funded debt nor is the funded debt included in the definition of the public debt. The debt figures given throughout this Section are exclusive of this amount.

NET INDEBTEDNESS.—While the sinking funds were annually increasing it was customary to regard the net-indebtedness figures as giving the best comparison of indebtedness between one year and another. The initiation of the present system of amortization, however, destroyed the comparison on this basis, and the gross figures (as shown at the beginning of this subsection) now afford a better and more comparable index. The net indebtedness figures for the last two years are: 1952–53, £665,576,601 (£326 13s. per head of population); 1953–54, £701,956,620 (£336 0s. per head of population).

The net indebtedness quoted is merely the balance left after deducting from the amount of debentures and stock in circulation the net balance of the Loans Redemption Account. No allowance is made for the fact that a portion of the debt is actually held by the Government itself. In the course of the year's financial transactions securities are bought and sold by Treasury accounts, and the investments held as at 31 March in each year, while forming part of the debt, do not represent amounts due directly or indirectly to the public. New Zealand Government investments held by Treasury accounts as at 31 March of the last five years has been: 1950, £27,532,995; 1951, £43,380,633; 1952, £65,635,633; 1953, £54,374,428; 1954, £55,756,323.

In addition to the above, Government investments in corporations, etc., held at 31 March 1954 (shown in the return required by the Finance Act 1947 and published in parliamentary paper B-1 [Pt. I]) are given in the following table.

InvestmentAmount at 31 March 1954
 £
Bank of New Zealand12,018,296
British Commonwealth Pacific Airlines Ltd.541,935
British Petroleum Co. of New Zealand Ltd.1,275,000
British Phosphate Commissioners594,751
Christmas Island Phosphate Commission1,409,121
Dominion Salt Ltd.125,000
East Coast Farmers' Fertilizer Co. Ltd.30,000
New Zealand National Airways Corporation1,200,000
New Zealand Woolpack and Textiles Ltd.150,000
Reserve Bank of New Zealand1,500,000
State Advances Corporation3,753,164
Tasman Empire Airways Ltd.375,000
Linen Flax Corporation300,000
Tasman Pulp and Paper Co. Ltd.1,000,000
    Total£24,272,267

GENERAL AND LOCAL GOVERNMENT DEBT.—The statistics given throughout this subsection refer to the indebtedness of the General Government only, and do not include the debt of local-governing authorities, which is dealt with in the Section of this volume relating to local government.

Local-governing authorities had at 31 March 1954 a gross indebtedness equivalent to £(N.Z.)83,605,480, and if this amount be added to the gross debt of the General Government at 31 March 1954—£706,461,822—the aggregate becomes £790,067,302. This latter total is exclusive of £(N.Z.)24,100,200 contingent liability due to the United Kingdom. Allowing for duplication on account of outstanding loans to local authorities from the State Advances Corporation, the Soil Conservation and Rivers Control Council, the Fire Services Council, the Main Highways Board, and inscribed debt under the Government Loans to Local Bodies Act, the total is reduced to approximately £(N.Z.)£788,688,302.

The figures relating to local authorities' indebtedness in the foregoing paragraph are inclusive of Hospital Boards, and to this extent differ from those generally given in the Section on local government. Hospital Board gross indebtedness at 31 March 1954 totalled £10,177,590.

Chapter 31. SECTION 31—LOCAL GOVERNMENT

Table of Contents

LOCAL government throughout New Zealand is exercised by a number of local authorities constituted under various Acts of Parliament. These Acts provide for the creation of districts over which the local authorities exercise jurisdiction. Different types of district are distinguishable, each type being identified with a specific function or group of functions. Geographically, New Zealand is divided into 129 counties, which comprise its total area, except for certain small islands which are not included within the boundaries of the adjacent counties. Administratively, boroughs and independent town districts, which are contained within the areas of the several counties, are regarded as separate entities. From an administrative point of view, therefore, the fundamental districts are counties, boroughs, and independent town districts. Upon this foundation a considerable superstructure of districts of other types has been erected. These overlapping districts may be divided into two broad classes, viz.: (1) Districts formed from parts of counties—e.g., road districts; and (2) those which are comprised of a group of adjacent districts of other types united for a common purpose—e.g., electric-power districts. The number of local authorities actively functioning at 1 April 1954 was 928, made up as follows: County Councils, 125; Borough (including City) Councils, 144; Town Councils (independent), 21; Town Councils (dependent), 16; Road Boards, 5; River Boards (3 Boards also have the powers of Land-drainage Boards), 13; Catchment Boards, 12; Land-drainage Boards, 43; Electric-power Boards, 43; Water-supply Boards, 2; Urban Drainage Boards, 5; Transport Boards, 2; Local Railway Board, 1; Gas Board, 1; Milk Boards (including 29 where the Board is a Borough Council), 39; Nassella Tussock Boards, 2; Joint Transit Housing Committee, 1; Harbour Bridge Authority, 1; Plantation Board, 1; Rabbit Boards, 171; Fire Boards (including 134 where the Board is a Borough or County Council, etc.), 193; Harbour Boards (including 25 where the Board is a Borough or County Council, etc.), 50; and Hospital Boards, 37. In addition to the foregoing, there were 20 District Councils of the National Roads Board constituted under the National Roads Act 1954. These District Councils of the National Roads Board, although not local authorities in the strict sense of the term, are nevertheless intimately connected with certain aspects of local government, and have power to make recommendations of considerable importance.

The Reserves and Domains Act 1953, which came into force on 1 April 1954, consolidated and amended previous enactments relating to the control, management, and development of public reserves, domains, scenic reserves, and historic reserves. The controlling Boards appointed may be separate bodies or any existing local authority as defined by the Act.

The Kawerau and Murupara Townships Act 1953 provided for the constitution by Order in Council of Kawerau and Murupara townships as either boroughs or town districts. Under this enactment Kawerau was declared a borough from 1 April 1954.

The Selwyn Plantation Board Act 1953 reconstituted the Selwyn Plantation Board from 1 April 1954 to control and manage the plantation reserves which have been vested in it, with powers to mill the timber and replant the areas.

The Underground Water Act 1953 provided for the creation of Underground Water Authorities to control the use of underground water.

Detailed statistics relating to each local authority, other than Hospital Boards, are contained in the Local Authorities Handbook, an annual publication of the Census and Statistics Department. Hospital Boards, which supply their returns in different form and to the Department of Health, are omitted from the statistics contained in this Section, but summarized data relating to them will be found in Section 5B.

The local authority year now uniformly ends on 31 March, except in the case of most Harbour Boards. In certain cases where the harbour is administered by a County or Borough Council the year ends on 31 March, but in all other cases on 30 September.

The history of local government in New Zealand may be conveniently divided into two periods associated with two distinct forms of administration—namely, (1) the provincial system, in which the local government of each province was a function of the provincial authorities; and (2) the present county system, which arose on the abolition of the provinces in 1876, and in which the general responsibility for the local government of the whole country was undertaken by the Central Government.

THE PROVINCES.—Although New Zealand was at first (1848) divided into the two provinces of New Ulster and New Munster, it was not until 1853 that the provincial system really commenced. In that year the two existing provinces were abolished and the colony was divided into the six provinces of Auckland, New Plymouth (altered to Taranaki in 1859), Wellington, Nelson, Canterbury, and Otago. The number was later increased to nine by the separation of Hawke's Bay from Wellington (1859), Marlborough from Nelson (1860), and Southland from Otago (1861). Subsequently it was reduced to eight by the merging of Southland with Otago (1870), and restored to nine again by the separation of Westland from Canterbury in 1874, Westland having been a county independent of Canterbury from 1367. Each province was presided over by a Superintendent and Council, with power to legislate for its own territory, subject, however, to disallowance by the Governor, and also to the exclusion of such matters as Customs duties, postal affairs, Crown lands, superior Courts of law, coinage, and paper currency, which were to be controlled by the General Assembly (Central Government). The provinces received from the Central Government a capitation allowance for the maintenance of harbours, hospitals, asylums, charitable aid, and police; while each province was expected to provide for the construction and maintenance of roads, bridges, and other public works out of its own revenues, which were derived chiefly from the sale of waste lands.

The Provincial Councils, therefore, were virtually left with the whole responsibility of providing for the details of local administration. The Councils in turn delegated certain of their powers and functions to lesser authorities, and a number of boroughs, towns, road and highway districts came into being. Owing, however, to the lack of uniformity between the Ordinances of the various Councils on the subject of local government, considerable confusion arose and rendered impossible any satisfactory co-ordination beyond provincial boundaries. Thus main roads were frequently planned without sufficient regard to the linking-up of the country as a whole. With the rapidly increasing population, and consequent extension of settlements, the need for the development of communications along national instead of provincial lines became apparent. That the provinces had definitely outlived the period of their usefulness became abundantly clear during the prosecution of the Vogel policy of immigration and public works initiated in 1870, and in 1875 the Abolition of Provinces Act was passed in the face of strong provincial opposition.

CONSTITUTION OF LOCAL DISTRICTS.—In 1876 local government entered upon an entirely new phase, the Central Government assuming the general responsibility for the local administration of the whole country. All existing legislation on the subject was repealed and new measures were introduced, notably the Counties Act 1876, which divided the country into sixty-three counties, with provision for administration by elective Councils having powers considerably less than those enjoyed by the Provincial Councils. Another important enactment of the same year was the Municipal Corporations Act, which provided for the incorporation of the thirty-six boroughs then in existence and for the creation of new boroughs. The powers of municipalities were also extended, permitting the construction of tramways, waterworks, and gasworks, while the borrowing powers of boroughs were placed on a definite and uniform footing. While these measures have long since been repealed, it is upon them that the broad structure of the present system is based.

Since the inception of the county system there has been a great expansion of local government throughout New Zealand. With the growth of population there has been a steady increase in the number of counties, boroughs, and town districts, while entirely new types of districts have been created to cater for special services.

The 1940 and previous Year-Books contain a description of each type of local authority; changes in constitution and new types of local authorities have been recorded from time to time in subsequent Year-Books. A description of the development of counties, boroughs, and town districts follows.

Counties.—Although the county system proper dates from 1876, there is record of much earlier attempts to introduce this form of administration. Thus in 1842 Eden County, containing the then capital (Auckland), was proclaimed, while in 1867 Westland was separated from the Province of Canterbury and constituted a county. In general the county organization makes provision for the primary needs of a scattered population within a large area. Formerly, at least, the county council was mainly concerned with the construction and maintenance of main arterial roads, but with the development of transport and communication it has come in for a considerable measure of detail work formerly done by the Road Boards now practically extinct.

The Counties Amendment Act 1949 provided for the formation of county townships within counties and the appointing of committees therein to make recommendations to the county councils regarding the improvement and development of the areas. The townships have no direct representation on the county councils.

The original sixty-three counties have undergone much subdivision with the increase of settlement, and at the present time there are 129 counties, in 126 of which the Counties Act is wholly, and in 2 partly, in force.

The Counties Act was brought into force in Taupo County on 14 October 1954. The remaining county (Fiord) is practically uninhabited.

Boroughs.—Dealing with the needs of a concentrated population, the borough organization is concerned with a wide range of functions of a purely local nature. The first legislation appeared in 1842 in the form of the Municipal Corporations Ordinance, which provided that any area not exceeding seven square miles and having a population of not less than two thousand might be declared a borough. Only one borough—Wellington—was constituted under this Ordinance, which was subsequently disallowed by the Imperial Government on the ground that it encroached on the rights of the Crown in regard to certain lands. Several boroughs were created later in the most diverse manner under the various Ordinances of the different provinces, and in 1867 the General Assembly; passed legislation under which the then existing twenty-one boroughs were entitled to incorporation on the petition of fifty householders. Provision was also made for the constitution of new boroughs on the petition of one hundred ratepayers of any district having at least two hundred and fifty inhabitants and comprising an area not greater than nine square miles, within which no two points were more than six miles distant. The 1867 legislation was repealed by the Municipal Corporations Act 1876, which provided for the incorporation of the thirty-six boroughs then in existence, and for the creation of new boroughs, as in the Act of 1867. The powers of municipalities were extended, permitting the construction of tramways, gasworks, and water-supply works; while the borrowing powers of boroughs were placed on a definite and uniform footing. With the growth and centralization of population the number of boroughs has, despite numerous amalgamations of adjacent boroughs, steadily increased to the present total of 144.

Prior to the Municipal Corporations Act 1954 boroughs were constituted under the Municipal Corporations Act 1933 with the stipulation of a minimum population of one thousand. Under the Municipal Corporations Act 1954 the geographical requirements are the same as in 1867 and 1933 with the minimum population stipulated at fifteen hundred and with an average density of population of at least one person per acre. The area restriction may afterwards be exceeded if necessary for merger or amalgamation purposes. A borough containing a population of twenty thousand or more may be proclaimed a city, although the corporation remains unaltered.

Town Districts.—Town districts were in existence in the days of the provinces, but the Town Board, as a distinct type of local-governing authority, did not appear until 1882. Provision was made by an enactment of 1881 for the proclamation of a town district on the petition of two-thirds of the resident householders of any settlement (of at least fifty householders) having an area not exceeding two square miles, and having no two points more than four miles distant from each other—requirements which remain in force at the present time. The town district represents a form of local government intermediate between the county and the borough. It implies a certain concentration of population and the presence of interests which, from their purely local nature, cannot be satisfactorily met by the county organization. In its early stages a town district usually remains subject to county control, although such control is practically confined to the main and county roads in the town district; in such circumstances it is known as a dependent town district. Experience showed that with the development of a town district there was a tendency for friction to arise with the county administration in the matter of finance, and it was further realized that after a certain stage of growth had been reached no useful purpose could be served by continuing the county control. This state of affairs was met by the Town Boards Amendment Act 1908, which provided that certain town districts should no longer form parts of the counties in which they were situated, and also enabled other town districts on reaching a population of more than five hundred to become independent. On attaining its independence a town district becomes in all respects a separate entity, and, apart from its smaller population, is not essentially different from a borough. The constitution and powers of town districts have been brought into closer relationship to boroughs over the years, and independent town districts are now constituted under the Municipal Corporations Act 1954. The Act requires that the area should not be more than two square miles, within which no two points are more than four miles distant and with a density of population of not less than one person to the acre.

No new dependent town districts are to be constituted. The number of town districts in April 1955 is thirty-five (nineteen independent and sixteen dependent).

FRANCHISE.—The franchise in local government is a variable one, differing materially in certain respects as between urban and country districts. Prior to the passing of the Local Elections and Polls Amendment Act 1941 the county franchise was based solely on property qualification, with a differential voting power according to the value of property possessed, whereas in boroughs and town districts every adult possessing the necessary residential qualifications was entitled to be enrolled as an elector for the election of the local-governing authority. On any proposal relating to loans or rates, however, a ratepaying qualification was, and still is, necessary. The 1941 amendment to the Act made provision for tenants of State houses to be enrolled as electors as if they were ratepayers, but it entitled such persons to one vote only and conferred no voting powers in connection with any proposal relating to loans or rates.

An amendment passed in 1944 further extended the franchise in counties and road districts to include a residential qualification on the same lines as for boroughs, but did not interfere with the multiple voting power conferred by a property qualification. One vote only is allowed in boroughs and town districts, but it is possible, by virtue of property qualification, to have a vote in more than one district. The 1944 amendment introduced compulsory registration of electors for boroughs and town districts, all adult persons not entitled to enrolment by virtue of a property qualification being required to make application for enrolment within a prescribed time. The Act also removed the disability which prevented persons in the employ of local authorities from becoming members thereof. The Local Elections and Polls Amendment Act 1946 provided that all general elections of local authorities were to be held on the third Wednesday in November of the year in which such elections were due, instead of in May as hitherto. The 1950 amendment altered this to the third Saturday in November. It also abolished the provisions of the 1946 amendment that any person could be entered on the local authority roll whose name appeared on the parliamentary roll with an address in that authority's district provided he or she had a residential qualification, and that, if not so entered, he or she could vote by declaration. The Local Elections and Polls Act 1953, which consolidated and amended previous Acts and amendments, provided that future elections are to be held on the third Saturday in November, commencing 1956, and every third year thereafter. The Act also extends the compulsory enrolment of residential electors to counties and road districts in addition to boroughs and town districts (for which provision had been made in 1944). Power is also given to make regulations to give full effect to the Act. Details of the franchise as it affects each type of local district are now given.

Counties.—Any person of twenty-one years of age and over who possesses any one of the qualifications mentioned hereunder is entitled to be enrolled on the county electors roll:

  1. Rating qualification, which may be held by any person whose name appears in the valuation roll as the occupier of any rateable property within a riding of the county. One vote is allowed where the rateable value does not exceed £1,000, two votes where the value is greater than £1,000 but not in excess of £2,000, and three votes where the value exceeds £2,000.

  2. A residential qualification is held by any British subject who has resided for one year in New Zealand and has had permanent residence of not less than three months in the riding of the county to which the roll relates.

Boroughs.—Any person of twenty-one years of age and over who possesses any of the following qualifications is entitled to enrolment:

  1. Freehold qualification—meaning the beneficial and duly registered ownership of a freehold estate in land of a capital value of not less than £25 situated in the borough, notwithstanding that any other person is the occupier thereof.

  2. Rating qualification, which may be held by any person whose name appears in the valuation roll as the occupier of any rateable property within the borough.

  3. A residential qualification may be held by any British subject who has resided for one year in New Zealand and who has had permanent residence during the last three months in the borough to which the roll relates.

An occupier's qualification, previously valid, was abolished by the Local Elections and Polls Amendment Act 1946.

As already stated, no person is entitled to vote at a poll taken on any proposal relating to loans or rates by virtue only of a residential qualification.

Town Districts.—The franchise is the same as for boroughs, except that for county electoral purposes in the case of dependent town districts the county qualification is necessary.

Rabbit Districts.—The franchise is based on stock ownership, from one to five votes being allowed according to the number of stock units owned. A sheep is counted as one unit and cattle as five units each. For up to 5,000 units one vote is allowed; over 5,000 but not exceeding 10,000, two votes; over 10,000 but not exceeding 20,000, three votes; over 20,000 but not exceeding 30,000, four votes; over 30,000, five votes.

Other Districts.—Road districts, river districts, land-drainage districts, water-supply districts, and the local railway district all have a franchise similar to that of counties except that the residential qualification applies to road districts only.

Districts composed of a grouping of districts of other types united for a common purpose have a franchise as for the component districts. Such districts are urban drainage districts, electric-power districts, harbour districts, hospital districts, urban transport districts, catchment districts, and the gas district. In some cases—e.g., the Auckland and Hutt Valley Drainage Boards—the members are appointed or elected by the territorial local authorities included in the district.

In addition to elected members, the constitution of Harbour Boards provided in most cases for certain nominated or appointed members (representatives of the Government, the waterfront industry, and the payers of harbour dues), but the Harbours Act 1950, which consolidated and amended previous legislation, provides that every Harbour Board shall now consist of members elected by the electors of constituent local authorities only.

GENERAL POWERS.—Local authorities in New Zealand derive their powers from the Acts under which they are constituted, and also from special empowering Acts. In addition to legislation providing for particular types of local authority or for individual local authorities, there are several statutory measures which are more or less applicable to all local authorities, such as the Local Elections and Polls Act 1953 and the Local Bodies' Loans Act 1926. In the case of Harbour Boards, there is in addition to a general Harbours Act a special Act for each Board, which is subordinate to the general Act. Certain types of local authority—Urban Drainage Boards, the Local Railway Board, the Transport Boards, the Gas Board, and the Auckland Harbour Bridge Authority—derive their principal powers from special constituting Acts.

Local authorities have general powers of entering into contracts for any of the purposes for which they are constituted; of selling and leasing land; and of taking or purchasing any land which may be necessary or convenient for any public work.

The Local Authorities' Emergency Powers Act 1953 confers on local authorities certain powers (e.g., in respect of rescue, first aid, provision of relief and welfare, distribution of foodstuffs, information and advice to public, etc.) in emergencies arising from earthquake, fire, or flood, or in time of war from enemy action or enemy sympathizers.

AMALGAMATION.—Various statutory provisions exist for the voluntary amalgamation of local authorities, and these have been availed of from time to time. There have been numerous amalgamations of contiguous boroughs, while the one-time numerous road districts which played a very important part in the scheme of local government in the essentially colonizing days of New Zealand are now largely merged in county areas.

Prior to the passing of the Local Government Commission Act 1946 no provision for compulsory amalgamation existed, although a measure entitled the Local Government (Amalgamation Schemes) Bill was introduced during the parliamentary session of 1936, but was not proceeded with.

LOCAL GOVERNMENT COMMISSION.—The Local Government Commission Act 1953, which replaced the Local Government Commission Act 1946 and amendments, set up a Local Government Commission which is a permanent institution deemed to be a Commission of Inquiry under the Commissions of Inquiry Act 1908.

The Act provides that the Commission is to consist of—

  1. A Chairman; and

  2. Two further members to be appointed from a panel of persons nominated by the nominating Associations, one of whom shall have a special knowledge of urban local government, and the other shall have a special knowledge of rural local government.

At present the nominating Associations are—

  • The Municipal Associations of New Zealand (Incorporated).

  • The New Zealand Counties Association (Incorporated).

  • The Electric Supply Authorities Association of New Zealand.

  • The Hospital Boards' Association of New Zealand.

  • The Harbours Association of New Zealand.

Functions.—The general functions of the Commission are set out in section 13 of the Local Government Commission Act 1953 as follows:

The functions of the Commission shall be to review from time to time the functions and districts of local authorities, and, when requested to do so under the provisions of this Act, to inquire into proposals and prepare schemes for the reorganization thereof, and generally to review and report to the Minister upon such matters relating to local government as may be determined by the Commission or referred to it by the Minister.

Powers.—The Commission's powers are more specifically defined in section 14 where it is authorized to draw up a reorganization scheme to provide for any one or more of the following matters:

  1. The union into one district of two or more adjoining districts, whether districts of the same kind or not.

  2. The merger of any district in any other district.

  3. The constitution of a new district or districts.

  4. The abolition of any district or districts.

  5. Any alteration of the boundaries of adjoining districts.

  6. The conversion of a district into a district of a different kind.

  7. The inclusion in any district of any area adjoining that district.

  8. The exclusion of any area from that district.

  9. The transfer of all or any of the functions of any local authority, or all or any of the functions of any local authority exercisable in any portion of its district or elsewhere, to any other local authority.

  10. The dissolution of any local authority.

No scheme is to provide for the transfer of whole or any part of any trading undertaking or of any functions in relation thereto from any local governing authority except upon the union, merger, or abolition of the district of the local governing authority.

The procedural steps may be summarized as follows:

  1. At the request of the Minister or of any local authority, the Commission may consider a proposal that a reorganization scheme should be prepared for any district or area and, if so, what matters should be provided for in the scheme.

  2. The Commission ascertains whether or not all local authorities likely to be affected are in agreement on the proposals.

  3. If no agreement exists, the Commission convenes a meeting of all such local authorities to discuss the proposal and to negotiate an agreement thereon.

  4. The Commission may then undertake further investigations and negotiations in relation to the proposal, separately or jointly with one or more local authorities or other interested persons.

  5. Following on the previous steps, the Commission may, in its discretion, either—(a) prepare a provisional reorganization scheme providing for all or any matters to which the proposal relates, or (b) hold a public inquiry as to whether a scheme should be prepared (one month's public notice being given and notification given to the Minister, each local authority likely to be affected, and every person or body having statutory authority to make decisions or recommendations in connection with the proposals), or (c) decide not to proceed with the proposal. A provisional scheme may be prepared after completing any such public inquiry.

  6. Public notice of the provisional scheme is given, including notice of the right of objection (i.e., by any person or body interested and, where a public inquiry has been held, by any party to the inquiry as a result of which a provisional scheme was prepared).

  7. Objections are considered by the Commission, which may hold a public inquiry or a further public inquiry, as the case may be, to consider the objections. The objections may be upheld wholly or partly or dismissed, or the scheme modified, or a further provisional scheme prepared.

  8. The Commission then prepares a final scheme. Where this contains a proposal for the union, merger, or abolition of the district of any local governing authority, or for the exclusion of any area from the district of any local governing authority, the Commission may recommend that a poll of electors be taken. If no such recommendation is made, a request in writing for a poll, signed by not less than 5 per cent of the electors of the district or area, may be delivered to the Returning Officer of the district within one month after the last day for lodging appeals against the decision. Polls are to be taken within three months after the last day of lodging appeals.

  9. A scheme is not to be taken into effect if rejected by 60 per cent of the voters. In such a case, if the Minister considers that other parts of the scheme or any related scheme may require to be reviewed, he may refer that scheme or any related scheme back to the Commission for further consideration.

  10. Subject to the decision of a poll, when held, and to any decision of the Appeal Authority in relation to the scheme, effect is given to every final scheme by Order in Council or in such manner as may be prescribed by any Act in force making appropriate provision in that behalf. The Order in Council may include supplementary provisions for the purpose of giving full effect to the provisions of the final scheme.

Appeals to Local Government Appeal Authority.—The whole or any part of any decision of the Commission approving a final scheme may be appealed against by—

  1. The local authority of any district to which the scheme relates;

  2. Any person or body having statutory authority to make decisions or recommendations in respect of the union, merger, constitution, alteration, or abolition of any district to which the scheme relates; and

  3. The Minister, in any case where the scheme affects only one local authority, or only one local authority and an adjoining area that does not form part of a district, or does not affect any local authority.

Public notification to all parties interested, and an individual notification to those specifically interested, must be given at least one month before the date for the hearing.

After the hearing of evidence and representations the Appeal Authority may make an order either allowing the appeal in whole or in part, confirm the scheme subject to amendment, or dismiss the appeal.

LOCAL GOVERNMENT APPEAL AUTHORITY.—The Act provides that the Appeal Authority must be a person who has the qualifications necessary for appointment as a Judge of the Supreme Court, with the same tenure of office, salary, emoluments, privileges, etc., as a Judge of the Supreme Court.

The general functions of the Appeal Authority are set out in section 28 of the Local Government Commission Act 1953, as follows:

“The functions of the Appeal Authority shall be to sit as a judicial authority to determine appeals made from decisions of the Commission.”

The Appeal Authority is deemed to be a Commission of Inquiry under the Commissions of Inquiry Act 1908, and the provisions of the Evidence Act 1908 apply to all proceedings.

BORROWING.—Under the Local Government Loans Board Act 1926 all loan proposals of local authorities, except in regard to money borrowed in anticipation of revenue, require the sanction of the Local Government Loans Board. The Board consists of the Secretary to the Treasury, the Commissioner of Works, and five other members appointed by the Governor-General. In cases where a poll of ratepayers is necessary preparatory to raising a loan, the Board's consent must be obtained before the poll is held. In no case may the Board sanction any application unless provision is made to its satisfaction for repayment of the loan within such period as it deems reasonable, having regard to the probable duration and continuing utility of the works on which the loan moneys are to be expended.

The principal legislation dealing with the borrowing powers of local authorities is contained in the Local Bodies' Loans Act 1926, which is mainly a consolidation of previous measures on the subject. A local authority is thereby empowered to raise a special loan for the construction of any public work, for the purchase of land or buildings, or for the purpose of engaging in any undertaking into which it may lawfully enter. As explained previously, a loan proposal first requires the sanction of the Local Government Loans Board.

Prior to the passing of the Local Bodies' Loans Amendment Act 1951 it also required the sanction of the ratepayers in most cases. The new procedure laid down in this amendment provides that as a general rule local authorities may raise a loan by special order and without a poll of ratepayers, but, in the case of a local authority that is a rating body, a poll of ratepayers is to be taken if—

  1. The Local Government Loans Board requires a poll to be taken; or

  2. Before the date fixed for the meeting of the local authority to confirm the resolution to raise the loan not less than 5 per cent of the ratepayers demand a poll; or

  3. The local authority itself decides to take a poll.

A poll cannot be required in any of the following cases:

  1. Loans raised for emergency expenditure by reason of flood, storm, earthquake, etc.

  2. Loans raised by a Borough Council for the purpose of its trading undertakings.

  3. Loans for work of national and local importance and carried out by an agreement between the Government and a local authority.

  4. Loans to meet liabilities to other local authorities or arising out of any Act.

Where a poll is required the proposal is not deemed to have been carried unless at least three-fifths of the valid votes recorded are in favour of it, save in the case of boroughs and town districts, where a bare majority only is necessary. The properties and revenue of the local authority may be pledged as security for the repayment of any principal sum or interest thereon, or a special rate may be levied for the same purpose.

The borrowing activities of certain types of local authority are subject to special provisions. Under the Hospitals Act 1926 a Hospital Board must first obtain the approval of the Minister of Health before exercising its power to borrow; under the Fire Services Act 1949 the Boards of Urban Fire Authorities must obtain the prior consent of the Fire Service Council; and Rabbit Boards must first seek the approval of the Minister of Agriculture. Harbour Boards derive their authority to borrow for harbour works from special empowering legislation, and similar authority is given for the capital works of certain other local authorities.

RATING.—Local authorities are largely dependent on revenue from rates to carry out their activities, and even loans raised for special purposes are, except where the assets purchased provide revenue to meet the loan charges, ultimately liquidated by rate revenues—known then as special rates. Three broad classes of rates are distinguished:

  1. General, for general purposes.

  2. Separate rates levied for the construction of public works, for the acquisition of land or buildings, or for the benefit of the whole or part of a local district.

  3. Special rates imposed to secure the repayment of loan money, being sufficient to produce interest and sinking fund, or interest and instalment of principal, as the case may be. Special rates can be levied only by resolution gazetted, and, unlike general and separate rates, are not subject to any statutory limit.

There are three main systems of rating: (1) capital (land and improvements) value, (2) annual value, and (3) unimproved value. Rating on an acreage basis is applied mainly by Rabbit Boards which also, in three districts, rate according to the number of sheep and/or cattle owned.

The Rating Act 1925 provides that the local authority of any district (other than a district wherein the system of rating on the unimproved value is in force) may from time to time by resolution determine whether the system of rating on the annual value or on the capital value shall be in force in the district. In the case of rating on the capital value the rating roll is based on the district valuation roll prepared by the Valuation Department. Where the rating is on the annual value the local authority generally prepares its valuation roll on the basis of valuations made by its own valuers. There is, however, provision that annual values may be prepared on the basis of the annual value being equal to £6 per cent of the capital value, and also that a rate of 1s. in the pound on the annual value is equivalent to ¾d. in the pound on the capital value. (See also Section 18E on valuation of land.)

Rating on Unimproved Value of Land.—The Rating on Unimproved Value Act 1896 was passed to afford local authorities the opportunity of adopting the principle of rating expressed in the title of the measure. The Act is now incorporated in the Rating Act 1925. It is entirely at the option of the ratepayers of local districts to adopt the system, and provision is made for a return to the old system of rating, if desired, after three years' experience of the new one. The poll is taken in the same manner as in the case of a loan poll required under the Local Bodies' Loans Act 1926, as amended in 1951. Under the original Act it was necessary for a minimum number of one-third of the ratepayers to vote, and a majority of their votes carried the proposal. Now the question of adoption or otherwise is decided by a bare majority of the valid votes recorded, irrespective of the number of ratepayers who have voted.

A rescinding proposal can be carried at a poll by the same means as one for adoption, but not until after three years have elapsed; and, vice versa, rejection of a proposal bars its being brought forward for a similar period.

Under the authority of the Counties Amendment Act 1952 the ratepayers within a county township may require the County Council to take a poll within the township on a proposal to adopt a system of rating which differs from that in force in the county.

It should be noted that some local authorities automatically adopt rating on unimproved value. For example, a town district, borough, or another county formed from part of a county automatically rates on the system in force in the county at the time of the constitution of the new district; also two boroughs amalgamating adopt the system in force in the district with the greater population, unless their Councils agree to the contrary.

Distribution of Rating Systems in Force.—A table is given of rating systems in force during the financial year 1952–53 in those types of districts which have power to levy rates.

System of RatingTotal
Unimproved ValueCapital ValueAnnual ValueAcreage BasisOn Stock

* Includes Chatham Islands County, for which import and export dues are charged in lieu of rates on land.

Counties6163......125*
Boroughs1031420...137
Town districts22185....45
Road districts15......6
River districts46..5..15
Catchment districts..12.....12
Land-drainage districts2716..1..44
Electric-power districts1429......43
Water-supply district......1..1
Urban drainage districts..31....4
Transport district..1......1
Rabbit districts..2..1663171
    Totals232169261733604*

The position in regard to the four major classes of local authorities at 1 April 1953 (i.e., the beginning of the 1953–54 financial year) is set out in the following table.

Rating on Unimproved ValueTotal for New ZealandRatio of Unimproved Value to Total
No.PopulationNo.Population*No.Population

* Exclusive of migratory, etc., population.

† Includes the four counties Œden, Taupo, Sounds, and Fiord in which the Counties Act was not wholly in force.

     Per CentPer Cent
Counties (excluding all town districts)62362,950129733,37048.0649.49
Boroughs104892,2601381,262,72075.3670.66
Town districts (independent)1115,0002524,92044.0060.19
Town districts (dependent)94,400188,09050.0054.39
    Totals1861,274,6103102,029,10060.0062.82

The following table shows the amounts levied under the various systems of rating and by annual fees or charges by counties, boroughs, and town districts for the year ended 31 March 1953. Amounts levied for other local authorities are included.

System of RatingUniform Fees and ChargesTotals
Unimproved ValueCapital ValueAnnual Value
 £££££
Counties2,506,9392,437,274..38,1864,982,399
Boroughs4,947,146752,5683,049,237795,7429,544,693
Town districts104,63442,02910,86215,667173,192
    Totals7,558,7193,231,8713,060,099849,59514,700,284

For the purposes of the foregoing tables a district is deemed to rate on the unimproved value where the general rate is levied on an unimproved-value basis. In a number of instances, in particular of boroughs, certain of the subsidiary rates are levied on other systems.

TOWN AND COUNTRY PLANNING.—The Town and Country Planning Act 1953 consolidated and amended the Town Planning Act 1926 and its amendments. The new Act provides for the making and enforcement of regional and district planning schemes.

Regional planning schemes must be preceded by a comprehensive survey of the natural resources of the areas concerned, and of the present and potential uses and values of all lands in relation to public activities or amenities. Regional schemes envisage the conservation and economic development of natural resources by classification of lands according to their best uses and by the coordination of all such public improvements, utilities, services, and amenities as are not limited to the territory of any one local authority.

For the purpose of every regional planning scheme proposed to be prepared there is a Regional Planning Authority consisting of representatives of the several Councils whose districts are wholly or partly within the region.

Every district scheme is required to have for its general purpose the development of the area to which it relates (including the reconstruction of an area already built on) in such a way as will most effectively tend to promote and safeguard the health, safety and convenience, the economic and general welfare of its inhabitants, and the amenities of every part of the area. Every Council must provide and maintain a district scheme whether or not a regional planning scheme including its district has been prepared or become operative.

The Act provides that the Government will administer the Act through the Minister of Works, who may delegate his authority to the Commissioner of Works. The Town Planning Board no longer exists, and its function in connection with appeals are exercised by a special Town and Country Planning Appeal Board. Other functions previously carried out by the Town Planning Board are now apportioned between the Minister and the local authority.

The Minister of Works may prepare and obtain approval for a district scheme in any case where a local authority under an obligation to prepare such a scheme fails to do so after being notified in writing, and also a local authority may by agreement authorize the Minister to prepare and obtain approval for a scheme. In the former case the costs and expenses incurred by the Minister are recoverable from the local authority, or they may be deducted from any moneys payable from public funds to the local authority.

When a district scheme has been approved it is the duty of the local authorities having jurisdiction to enforce the requirements of the scheme in respect of all new works of any description. The provisions of a regional planning scheme are obligatory, but give the local authority a right of appeal to the Town and Country Planning Appeal Board against any scheme which conflicts with any operative district scheme or proposed district scheme that has been publicly notified.

Where a district scheme has been approved the local authority may, with the prior approval of the Minister of Works, take, under the Public Works Act 1928, any land in its district which under the scheme it considers necessary or expedient for the proper development or use of the land or for the provision or preservation of amenities. In such a case the local authority may raise a special loan for the purpose under the Local Bodies' Loans Act without the usual requirement of a poll of ratepayers on the proposal.

HOUSING.—Under section 28 of the State Advances Corporation Act 1936, the Corporation is empowered to make loans to local authorities for the acquisition of land for the erection of workers' dwellings, or for any other purpose in relation to workers' dwellings. As part of the Government's housing plans, finance is made available to local authorities at an interest rate of 3½ per cent for the purpose of erecting municipally-owned workers' dwellings for letting at low rentals. Applications by local authorities for loans under this arrangement must be approved by the Local Government Loans Board and by the Minister of Finance.

By the Rural Housing Act 1939 local authorities are empowered to advance moneys to a farmer for the purpose of enabling him to provide a dwelling for his own use or for the use of any farm worker who is principally employed by him, the money in the first place being supplied by the State Advances Corporation (refer to Section 33B of this volume).

The Local Authorities (Temporary Housing) Emergency Regulations 1944 empower local authorities to establish and maintain transit housing centres for the purpose of providing temporary accommodation for persons who are awaiting the allocation of State rental houses or the provision of other housing accommodation.

Borough Councils are authorized under the Municipal Corporations Act 1954 to provide loans for housing purposes up to a limit of £2,222; to subdivide for such purposes any land vested in a Council and not held by it in trust for any particular purpose other than housing; to sell or lease allotments for housing purposes; and to borrow money to meet the cost of acquiring, subdividing, and developing the land and constructing streets.

RECEIPTS.—The sources from which the various classes of local authorities secure the moneys necessary to exercise their functions vary greatly, according to the nature of the statutory duties of the local authority concerned. Generally, however, receipts fall under one of four main classes—viz., rates; revenue from public utilities, licences, rents, etc.; revenue receipts from the General Government; and receipts such as loan money and special grants and subsidies from the Government which cannot properly be regarded as revenue.

The receipts of local authorities, divided into the various groups mentioned, are given for each of the last eleven years. As stated earlier, the figures quoted here and elsewhere in this Section (unless specifically stated to this effect) do not cover the operations of Hospital Boards.

Year Ended 31 MarchRevenue FromTotal RevenueReceipts Not RevenueTotal Receipts
RatesPublic Utilities, Licences, Rents, etc.Government
 ££££££
19437,764,67713,681,289401,53321,847,4992,640,25224,487,751
19447,823,73014,751,120393,62422,968,4742,053,62925,022,103
19457,895,87115,057,508415,01923,368,3982,086,27525,454,673
19468,633,32915,393,510450,29124,477,1302,743,83727,220,967
19479,541,13316,506,818512,02926,559,9803,737,37130,297,351
19489,806,85917,212,851611,21327,630,9234,408,01432,038,937
194910,797,08419,076,812679,98430,553,8805,458,23236,012,112
195011,644,74820,327,342751,83932,723,9297,366,69340,090,622
195112,577,01721,715,543910,47235,203,0327,461,07142,664,103
195214,513,76624,050,6701,104,22339,668,6599,543,03549,211,694
195315,354,00427,588,2971,128,38044,070,68114,614,67058,685,351

Local authorities received by way of rates in the financial year 1952–53 a total amount of £15,354,004, and the sum of £1,481,913 was raised by licences, making £16,835,917 altogether from taxation, which is equivalent to £8 7s. 7d. per head of the mean population (including Maoris).

During 1952–53 rates formed 34.8 per cent of the revenue proper; public utilities, licences, rents, and other sources yielded 62.6 per cent; and 2.6 per cent came from the General Government.

Of the revenue proper of counties, which amounted to £6,696,108 in 1952–53, no less a sum than £4,563,773, or 68.2 per cent, was raised by way of rates. Town districts, road districts, river districts, catchment districts, land-drainage districts, urban drainage districts, and the water-supply district also rely on taxation for the greater part of their income. In the case of boroughs, electric-power and transport districts, and Harbour Boards, on the other hand, rates supply a considerably smaller proportion of the total revenue. During 1952–53 this source of income accounted for 43.9 per cent of the total revenue of boroughs, the corresponding proportions for Harbour Boards and urban transport districts being 9.0 per cent and 6.2 per cent respectively. Electric-power districts did not rate during 1952–53.

The next table shows the receipts for 1952–53 (classified as in the preceding table for each type of local authority).

Revenue FromReceipts not RevenueTotal Receipts
RatesPublic Utilities Licences, Rents, etc.Government

* Levy on milk.

† Harbour improvement rate, £230,725, and rates on land in harbour rating area, £207,201.

 £££££
Counties4,563,7731,831,930300,4052,772,5609,468,668
Boroughs8,679,25510,726,228385,0625,272,48925,063,034
Town districts166,89685,1557,000155,870414,921
Road districts19,2552,7861,34814,89438,283
River districts60,10930,237..14,413104,759
Catchment districts287,940231,804..486,7271,006,471
Land-drainage districts85,46211,409..25,481122,352
Electric-power districts..7,350,611..2,268,9319,619,542
Water-supply district6,22650....6,276
Urban drainage districts523,59529,053..477,9301,030,578
Urban transport districts132,9811,996,492..611,0982,740,571
Railway district..30,402....30,402
Gas district..134,888..13,158148,046
Milk districts17,488*42,469..4,97064,927
Nassella tussock districts..8,380..9,12217,502
Joint Transit Housing Committee..10,722..10110,823
Harbour Bridge Authority..299..60,00060,299
Rabbit districts373,09866,303376,565426,8521,242,818
Fire districts..560,49558,000165,133783,628
Harbour Boards437,9264,438,584..1,834,9416,711,451
    Totals15,354,00427,588,2971,128,38014,614,67058,685,351

Revenue proper in 1952–53 was £4,402,022 greater than in 1951–52, while receipts other than revenue increased to the extent of £5,071,535. Rates accounted for £840,238 of the revenue increase, public utilities, licences, rents, etc., for £3,537,627, and revenue from the General Government accounted for £24,157.

Of the total rates (£15,354,004) collected during 1952–53 general rates levied brought in £9,238,274 and other rates (including penalty on overdue rates) £6,115,730. Of the latter, £4,496,601 was received by boroughs and £1,203,360 by counties. The whole of the rates collected by Harbour Boards (£437,926) were classed as general rates.

It is of interest to note that for the year 1952–53 the total of all rates collected by counties was equal to £8.98 per £1,000 of rateable capital value (land and improvements) at the beginning of the year. The corresponding figure for boroughs was £12.90, for independent town districts £10.59, and for dependent town districts £7.47 (excluding rates levied by County Councils).

Sections in successive Finance Acts from 1930 to 1936 authorized the remission or postponement in whole or in part of the 10-per-cent penalty on unpaid rates. This authority then lapsed, but was reinstated on a permanent basis and made retrospective by the Statutes Amendment Act 1938.

Public Utilities, Licences, Rents, etc.—As indicated earlier, rates are not the only form of local taxation. Local authorities derive a certain amount of revenue from publicans' licences, heavy-traffic fees, motor-drivers' licences, drivers' (other vehicles) licences, auctioneers' and hawkers' licences, building permits, dog taxes, pound taxes, etc. Sources of revenue not classed as taxation are rents, fines and penalties, sales of material, sales of light and power from gasworks and electric-supply works, tramway and omnibus receipts, interest on deposits, wharf dues, etc.

Of the total revenue of £10,726,228 accruing to boroughs under this head in 1952–53, £1,441,651 represented tramway and omnibus receipts, £3,594,520 sales of electric light and power, and £894,126 sales of gas. Comparable figures for 1951–52 were £9,700,840, £1,449,476, £3,399,936, and £859,972 respectively.

Receipts from General Government.—A statement of revenue receipts by local authorities from the General Government during the five financial years ended 31 March 1953 is given in the next table.

Year Ended 31 March
19491950195119521953

* From 1951 includes advances from Housing Account only.

 £££££
Rates on Crown lands13,69433,28738,12231,85021,207
Fire Service Council....54,71963,08964,088
Timber and flax royalties45,85634,32646,33444,39547,960
Goldfields revenue and gold duty13,84612,18110,56714,35211,441
Subsidies on rates375,745409,387488,269636,559645,253
Motor spirits tax199,514227,360240,509280,944294,452
Fees and fines15,33018,30624,73627,53737,769
Other revenue receipts15,99918,1747,2165,4976,210
    Totals, Revenue Account679,984753,021910,4721,104,2231,128,380
Loans from State Advances Corporation*520,947341,18448,07148,21281,602
Loans from Treasury56318,33310,40715,66193,336
Loans from Ministry of Works2,2565,23611,6116,92013,703
Advances from Highways votes34,93122,94111,08021,63518,324
Advances from Soil Conservation and Rivers Control Council58,19674,57046,32648,17966,476
Advances from Fire Service Council....4,0703,675..
Grants for special works, etc.—     
From Department of Labour50,64054,74843,19838,21832,686
From Highways votes1,036,9281,205,6701,149,8491,409,8491,664,190
Other570,613958,791989,4711,394,0611,552,771
    Total receipts from Government2,955,0583,434,4943,224,5554,090,6334,651,468

EXPENDITURE.—The expenditure of local authorities during each of the last eleven years has been as follows.

Year Ended 31 MarchWorks and Utilities (Construction and Maintenance)Hospital Board LeviesAdministrationInterest on Loans and OverdraftOtherTotal Expenditure
 ££££££
194313,802,8651,315,9971,385,2272,806,1463,918,19923,228,434
194414,222,5701,251,1831,404,1052,725,2834,198,05623,801,197
194515,428,5901,313,8441,560,7912,620,4064,300,01225,223,643
194617,516,4361,534,8191,676,5632,541,9294,084,88627,354,633
194720,319,3651,857,2731,844,1172,475,4573,982,96230,479,174
194822,550,6661,350,7112,066,0232,356,7954,133,13132,457,326
194925,622,7411,415,1352,314,5462,332,0334,128,01835,812,473
195029,099,2701,505,5762,411,5682,284,3454,363,49539,664,254
195132,130,3241,669,4742,897,4732,220,6244,324,53443,242,429
195236,988,8661,855,4443,221,9022,218,6564,561,37848,846,246
195345,060,5291,748,4923,437,0452,328,7325,762,54458,337,342

Included in the total of other payments for 1952–53 is an amount of £3,657,286 in respect of amortization of debt, which compares with the figure of £3,378,817 for the same purpose in 1951–52.

The main items of expenditure of the various classes of local authorities during 1952–53 is shown below.

Works and Utilities (Construction and Maintenance)Hospital Board LeviesAdministrationInterest on Loans and OverdraftAmortization of DebtTotal Expenditure*

* Including other items.

 ££££££
Counties7,396,759730,906780,403198,653351,3429,573,534
Boroughs19,376,161998,7451,105,2781,065,7461,712,44625,039,982
Town districts319,66615,43834,46412,07119,019405,497
Road districts23,5283,4034,9307692,31835,485
River districts70,687..11,2228,9867,11998,466
Catchment districts815,118..126,76220,44156,2811,031,910
Land-drainage districts80,847..10,2248,10616,111117,601
Electric-power districts6,998,689..802,656499,300842,7809,427,329
Water-supply district3,832..7421147175,410
Urban drainage districts461,193..96,411106,607108,706819,750
Urban transport districts2,736,354..112,99452,04392,6733,013,516
Railway district24,345..4,190939..29,533
Gas district124,766..6,9209,42914,247155,481
Milk districts43,182..15,35913371760,533
Nassella tussock districts17,481..1,45145..18,989
Joint Transit Housing Committee3,733..6383615,2199,951
Harbour Bridge Authority54,136..3,829....61,259
Rabbit districts1,144,535..62,1696,1842,7471,220,383
Fire districts673,575..19,27021,76137,943789,263
Harbour Boards4,691,942..237,133317,044386,9016,423,470
    Totals45,060,5291,748,4923,437,0452,328,7323,657,28658,337,342

The next table shows for some of the more important classes of local authorities the proportions per cent that the main items of expenditure bear to the totals. These percentages are based on the figures shown in the preceding table.

Works and Utilities (Construction and Maintenance)Hospital Board LeviesAdministrationInterest on Loans and OverdraftAmortization of DebtTotal Expenditure*

* Includes other items.

† Includes districts not listed.

 Per CentPer CentPer CentPer CentPer CentPer Cent
Counties77.267.648.152.083.67100.00
Boroughs77.383.994.414.266.84100.00
Town districts78.833.788.502.984.69100.00
Catchment districts78.99..12.281.985.45100.00
Electric-power districts74.24..8.515.308.94100.00
Urban drainage districts56.26..11.7613.0013.26100.00
Urban transport districts90.80...3.751.733.08100.00
Rabbit districts93.78..5.090.510.22100.00
Fire districts85.34..2.442.764.81100.00
Harbour Boards73.04..3.694.946.02100.00
    Totals, all districts77.243.005.893.996.27100.00

The table following gives, in respect of boroughs only, the expenditure on new works out of loan money during the last eleven years, classified under various heads.

Year Ended 31 MarchRoads, Streets, and BridgesDrainage and SewerageWater-supplyHouses, Workers' Dwellings, etc.Parks, Gardens, Town Halls, Libraries, Art Galleries, and Places of Public RecreationGasworks and Electrical WorksOther Public WorksTotals
 ££££££££
194312,78914,056115,91332,2184,46723,2735,109207,825
194424,40423,018137,8914,3796,13518,92112,269227,017
194526,32435,816235,06421,03726,92154,75721,012420,931
194633,81017,744267,971126,65322,85282,32537,268588,623
194751,87231,905295,702317,80822,319115,11826,956861,680
194880,87476,713280,928205,50545,387110,763100,134900,304
1949191,602101,227349,66796,66197,078153,732116,0821,106,049
1950262,071158,406443,37876,12078,031322,126180,7791,520,911
1951280,540200,968501,62582,99757,309479,640245,9501,849,029
1952369,580254,909683,34376,52791,620385,515438,2072,299,701
1953790,786381,5091,145,755136,140162,626462,552437,0963,516,464

ASSETS AND LIABILITIES.—The assets and liabilities of local authorities at the end of the financial year 1952–53 were as shown in the table following.

AssetsLiabilities
Cash AssetsOther Assets (as Estimated in Published Balance-sheets)Debentures and Other Securities: Net IndebtednessInscribed Stock (i.e., Loans from Treasury Under Local Bodies' Acts)Other Liabilities (Bank Overdrafts, Temporary Loans, Outstanding Accounts, etc.)Total Net Liabilities
 ££££££
Counties2,581,6166,759,8833,939,9512,625939,8364,882,412
Boroughs9,833,02358,220,49825,795,1091,9022,344,02128,141,032
Town districts169,622703,322361,649..46,220407,869
Road districts9,97528,57021,865..2,03923,904
River districts113,81094,716142,786..3,424146,210
Catchment districts318,822693,396516,966..59,736576,702
Land-drainage districts73,09958,852130,4613037,243138,007
Electric-power districts4,057,33831,094,43313,537,065..1,991,41715,528,482
Water-supply district1,0862,5201,592....1,592
Urban drainage districts523,5592,342,8132,320,970..30,7252,351,695
Urban transport districts640,1064,003,1561,442,177..163,8941,606,071
Railway district910228,405....24,69124,691
Gas district17,794344,913159,399..111,094270,493
Milk districts43,22711,9836,558..4,19610,754
Nassella tussock districts11,6417,142....1,2401,240
Joint Transit Housing Committee3,05330,5438,126..1968,322
Harbour Bridge Authority3,31866,68270,000....70,000
Rabbit districts407,207551,04967,724..96,682164,406
Fire districts288,1361,576,983581,028..48,281629,309
Harbour Boards3,714,72219,962,4287,600,493..389,8057,990,298
    Totals22,812,064126,782,28756,703,9194,8306,264,74062,973,489

The figures shown in the column “Other assets” are taken from the respective balance sheets, but are far from complete, inasmuch as no valuations are made for certain items. This applies particularly to roads, which, although representing considerable wealth to the community, do not figure at all in the assets. In this connection it may be mentioned that the greater part of the expenditure of counties and road districts is made in this direction. In the case of boroughs, although the proportion is very much less, 15.74 per cent of the loan-money expenditure during the last ten years was on roads, streets, and bridges. Assets of local authorities as returned for the last eleven years are as under.

As at 31 MarchCash AssetsOther Assets (Estimated)
 ££
194313,718,19077,937,237
194415,627,86278,620,899
194517,202,78179,738,843
194617,936,37581,773,700
194718,183,14884,807,766
194817,481,78788,246,883
194919,153,95398,730,180
195019,970,14999,712,946
195120,339,438104,740,956
195221,403,376112,494,572
195322,812,064126,782,287

Cash assets are made up chiefly of loan balances, reserve investments, and cash in hand. Sinking funds, which amounted to £7,718,436 at 31 March 1953, do not appear in the foregoing table, but are shown as a deduction from the gross loan indebtedness of local authorities. Other assets are comprised mainly of fixed assets and of stocks of stores and materials.

Boroughs are responsible for 45 per cent of the total assets, electric-power districts for 23 per cent, and Harbour Boards for 16 per cent. Counties show the comparatively low percentage of 6, but this is due to the fact that practically the whole of county expenditure is made on roads, bridges, etc., for which no valuation is available.

Hospital Boards, which are not included in the foregoing figures, had assets (excluding outstanding fees and subsidies) amounting to £19,582,375 at 31 March 1953, bringing the total (excluding sinking funds) for all local authorities to approximately £169,176,726

INDEBTEDNESS.—Local authority debt appears under two headings: (1) debentures and other securities, and (2) inscribed debt. The reason for retaining the identity of inscribed debt is that it is fundamentally different from the usual type of loan. Originating in the early days of the present system of local government, it arose out of a recognition by the General Government that the primary functions of local authorities, such as roadmaking, were of national importance, and money was advanced on very favourable terms. The loans were for long terms at low interest rates, with no provision for repayment, the position being that as soon as a local authority met its final instalment of interest the loan was extinguished. Loans of this nature are vastly different from what is usually connoted by the term.

The total gross debt of local authorities at 31 March 1953 was £64,427,185, made up of: debentures and other securities, £63,878,954; loans from Highways votes, £76,540; advances from Soil Conservation and Rivers Control Council, £259,459; advances from Fire Service Council, £8,578; and inscribed debt and interest-free Treasury advances, £203,654. The net indebtedness (i.e., after deducting accumulated sinking funds from debentures and other securities, and making an actuarial estimate of the liability for inscribed debt on an assumed table-loan basis) was £56,704,120.

It is necessary to observe that figures of local authority debt given herein are not quoted in uniform currency terms. Debt held in New Zealand (the great majority of the total) is expressed in New Zealand currency; that held in Australia is expressed in Australian currency; and that held in the United Kingdom is expressed in sterling. The total is ascertained by adding the three currencies together without conversion to a common basis. If the amount domiciled overseas is converted to New Zealand currency, the total gross debt at 31 March 1953, at the then rates of exchange, was £64,356,828.

The total gross debt of local authorities at 31 March 1953, including Hospital Boards, was £71,798,004. From 1939–40 to 1947–48 there was a progressive decline in the debt aggregating £9,494,504. Between 1947–48 and 1949–50 there was a decrease of £244,299, while in 1950–51 the debt increased by the comparatively small sum of £126,648, which showed a fairly stable position for those four years. The substantial increases of £2,292,970 and £7,616,021 which took place in 1951–52 and 1952–53 respectively show the effect of the large loan amounts sanctioned during the previous few years.

Included in the gross indebtedness figure in the previous paragraph are amounts owing by local authorities to Government Departments, and the amounts of the securities held at 31 March for the last five years are shown in the following table. The percentages to the total gross debt are given at the foot of the table.

DepartmentAs at 31 March
19491950195119521953
 £££££
New Zealand Government Insurance Office2,968,4763,270,8053,931,1394,603,6665,027,731
National Provident Fund Board967,5481,145,6542,217,2965,247,5037,617,264
Public Trustee5,173,1284,874,1554,518,1644,222,2753,891,691
State Advances Corporation—     
Trading4,471,2954,362,5374,391,0684,384,6305,296,049
Housing Account1,052,622993,761953,107933,373927,575
Rural Housing Act 1939131,691127,959121,008120,990154,412
Other2,220,0182,175,4602,042,6001,896,3921,984,976
    Totals16,984,77816,950,33118,174,38221,408,82924,899,698
Ratio per cent to total gross indebtedness27.527.529.433.434.7

Reference to the next table will show that consents to borrowing by local authorities were much higher during the seven years ended 1952–53 than for any earlier period, while there were particularly large increases for 1951–52 and 1952–53. The low figures of the amounts sanctioned for new works during the period 1942 43 to 1945–46 may be ascribed to factors arising out of the war.

The following summary of the operations of the Local Government Loans Board during the last eleven years shows concisely the trend of local authority borrowing during that period. Hospital Boards are included in this instance.

YearTotal ApplicationsSanctioned
New WorksRedemption Loans
 £££
1942–433,336,7801,497,1201,121,000
1943–443,999,6651,349,3352,359,755
1944–453,242,3271,737,807698,120
1945–463,497,8202,643,935243,235
1946–479,843,5437,289,4361,106,430
1947–488,324,5796,022,0341,459,880
1948–498,934,7056,977,2891,542,177
1949–508,062,7586,602,220761,957
1950–5110,825,1929,242,938485,550
1951–5215,092,76113,891,2971,029,246
1952–5329,129,99617,853,560196,330

The outstanding loans of local authorities (other than Hospital Boards) at the end of each of the last eleven years are shown in the following table.

At 31 MarchDebentures and Other SecuritiesInscribed DebtTotal Debt
Gross DebtNet Debt (i.e., Less Accumulated Sinking Funds)Gross DebtPresent Indebtedness (Actuarially Computed)Gross DebtNet Debt
 ££££££
194363,969,09655,148,5511,161,978180,35065,131,07455,328,901
194462,307,74353,394,194955,085143,20663,262,82853,537,400
194560,414,63851,354,680823,299112,38261,237,93751,467,062
194659,342,33250,029,520683,53285,62360,025,86450,115,143
194757,171,83248,954,703596,42763,42557,768,25949,018,128
194856,612,84548,295,879504,63043,38757,117,47548,339,266
194956,181,51648,171,038423,50826,83756,605,02448,197,875
195056,042,76248,395,137259,30412,22656,302,06648,407,363
195155,998,08848,799,47688,5083,66956,086,59648,803,145
195257,853,21850,384,00515,95166157,869,16950,384,666
195364,422,35556,703,9194,83020164,427,18556,704,120

In addition to the scheme of State advances, there exists a system whereby the State guarantee to the payment of interest and principal, in the event of default by the local authority, may be obtained by the borrowing authority. The net amount outstanding in respect of local authority loans guaranteed by the State has fallen to negligible proportions during recent years, being only £4,139 at 31 March 1953. At 31 March 1940 the amount of these guaranteed loans was £736,806, sinking funds in respect thereof totalling £463,335.

Of the total net indebtedness of £56,704,120 at 31 March 1953 boroughs were responsible for £25,795,204, which represents 3.3 per cent of their rateable capital value at 31 March 1953. In the case of counties which have a much less per caput expenditure on works, etc., the aggregate net indebtedness was £3,940,047 and the percentage of rateable capital value at 31 March 1953 only 0.7.

The following table shows, per head of the population, the gross debt of local authorities and the annual charge thereon for the last eleven years.

As at 31 MarchPopulationGross DebtAnnual Loan Charge
AmountRate per HeadAmountRate per Head
  ££s.d.££s.d.
19431,634,09465,131,074391724,822,9752190
19441,643,90063,262,82838984,828,0292189
19451,679,97261,237,93736904,869,7492180
19461,756,75660,025,86434354,994,79221610
19471,789,47657,768,25932584,925,0342150
19481,828,02557,117,475314115,079,9942157
19491,864,56056,605,02430725,133,7222151
19501,902,88356,302,066291195,287,5892157
19511,938,03256,086,5962818105,498,8662169
19521,984,73057,869,16929325,805,1382186
19532,037,55364,427,185311256,293,612319

It should be noted that the debt of electric-power districts shown in the following table does not represent the complete local authority debt on account of electric-power activities, since a considerable portion of the borough debt, and a small part of the county and town district debt also, was incurred for that purpose.

As at 31 MarchCounties and Road DistrictsBoroughs and Town DistrictsUrban Drainage DistrictsUrban Transport DistrictsElectric-power DistrictsHarbour BoardsOther DistrictsTotals
 ££££££££
19436,685,00029,841,3392,708,4182,232,18212,376,5589,790,6591,496,91865,131,074
19446,361,05029,060,0012,666,8792,160,04111,828,5089,700,9621,485,38763,262,828
19456,050,09928,334,8812,641,5851,757,78611,535,5229,496,7631,421,30161,237,937
19465,810,59227,896,9732,624,4581,720,62811,190,5869,365,1491,417,47860,025,864
19475,513,45027,270,5132,616,8831,659,28110,841,8138,406,3781,459,94157,768,259
19485,104,42726,985,3052,595,8521,593,23011,093,7228,234,1631,510,77657,117,475
19494,914,28326,405,0362,611,7311,534,12611,679,5138,046,4611,513,87456,605,024
19504,659,88826,482,2652,590,2741,199,64511,996,8327,785,2981,587,86456,302,066
19514,419,26226,578,9742,579,1271,032,52812,461,5127,381,7221,633,47156,086,596
19524,352,44027,517,2262,703,6231,150,69513,00,5047,496,2311,645,45057,869,169
19534,347,09230,136,5283,151,5111,644,69014,421,8558,886,3611,839,14764,427,185

The debt of road districts at 31 March 1953, which is included with that of counties, was £21,865; the town district debt at the same date was £395,570. The debt of “other districts” at 31 March 1953 was mainly that of river districts (£152,059), catchment districts (£539,951), land-drainage districts (£178,069), gas district (£162,234), and fire districts (£652,798).

The following table shows the amount of indebtedness, at 31 March 1953, other than inscribed debt, classified according to the purpose for which the loans were raised.

Local DistrictsRoads, Streets, Footways, and BridgesDrainage, Sewerage and Water-supplyTramways and OmnibusesElectric Supply and LightingHarbour WorksOther and UnspecifiedTotal
 £££££££
Counties2,909,923378,559..31,74312,153990,2244,322,602
Boroughs7,312,23710,942,2371,220,2643,775,244105,4256,383,64929,739,056
Electric-power districts......14,185,468..236,38814,421,856
Urban drainage districts..3,151,511........3,151,511
Urban transport districts...1,644,690......1,644,690
Harbour Boards........8,826,38359,9788,886,361
Other132,814123,642..115,857..1,883,9662,256,279
    Totals10,354,97414,595,9492,864,95418,108,3128,943,9619,554,20564,422,355

The debt owing on electric supply and lighting is 28.1 per cent of the total, showing that heavy borrowing has been necessary to finance this utility, while the percentage for drainage, sewerage, and water systems is 22.7.

Domicile of Debt.—A five-year summary of the domicile of loans outstanding, other than inscribed debt, is given hereunder.

At 31 MarchAmountPercentage of Total
New ZealandUnited KingdomAustraliaNew ZealandUnited KingdomAustralia
 £££Per CentPer CentPer Cent
194949,998,4285,481,000702,08888.999.761.25
195050,641,6195,035,800365,34390.368.990.65
195151,275,9454,359,200362,94391.577.780.65
195253,233,5814,259,200360,43792.027.360.62
195359,885,0664,185,500352,78992.966.500.54

During 1952–53 the amount domiciled in New Zealand increased by £6,651,485, while the amounts domiciled in the United Kingdom and Australia decreased by £73,700 and £8,648 respectively.

The alteration of the exchange rate effective from 20 August 1948 afforded an opportunity for some local bodies to effect worthwhile savings in debt charges by raising loans in New Zealand and applying the proceeds in the redemption of Australian-domiciled debt, upon which interest was being paid at a higher rate than that current in New Zealand.

Debt Charges.—Particulars of the annual loan charge of local authorities during each of the last eleven years are as follows.

At 31 MarchOn Debentures and Other SecuritiesOn Inscribed DebtTotal
 £££
19434,782,32440,6514,822,975
19444,794,67133,3584,828,029
19454,841,27928,4704,869,749
19464,970,90623,8864,994,792
19174,904,19120,8434,925,034
19485,062,36017,6345,079,994
19495,118,96914,7535,133,722
19505,278,3829,2075,287,589
19515,495,7683,0985,498,866
19525,804,5785605,805,138
19536,293,4421706,293,612

Amortization charges are included in the above, the amount payable during 1953–54 on debt other than inscribed debt at 31 March 1953 being £3,873,740. Interest charges payable during 1953–54 on the debt (other than inscribed debt) outstanding at 31 March 1953 aggregated £2,419,702, payable according to countries of domicile, as follows: New Zealand, £2,196,084; Australia, £17,220 (on face value); United Kingdom, £206,398.

The loans outstanding, other than inscribed debt, at 31 March 1953 are classified below according to domicile, and also according to rate of interest. Reference should be made to observations on page 769 in regard to the currencies in which local authority debts are expressed.

Rate of Interest Per CentDomiciled in New ZealandDomiciled in United KingdomDomiciled in AustraliaTotals
 ££££
Free of interest151,932....151,932
11,086....11,086
32,382,451..9,9002,392,351
3⅛7,984,278....7,984,278
19,680,263....19,680,263
35/161,805.....1,805
3⅜815,412....815,412
37/168,625....8,625
3,701,492....3,701,492
3⅝148,293....148,293
35/1027,366....27,366
¾605,741....605,741
3⅞185,993....185,993
45,623,777....5,623,777
4⅛240,227....240,227
17,695,941....17,695,971
4⅖100,680....100,680
150,4091,090,500..1,240,909
4⅗183,684..15,000198,684
5,100....5,100
4⅘172,835....172,835
56761,400,000..1,400,676
5⅕1,000....1,000
..949,70045,500995,200
..745,30029,525774,825
6,000..251,864257,864
    Totals59,885,0664,185,500351,78964,422,355

The average rates of interest work out as follows: New Zealand, 3.64 per cent; United Kingdom, 5.02 per cent; Australia, 5.54 per cent: total, 3.74 per cent.

The interest rates quoted are those applicable to the amount of debt outstanding. They have not been adjusted to the prices at which the respective loans were raised—e.g., where a loan was issued below par the rate of interest on the sum actually received (omitting the question of flotation expenses) would be higher than the rates quoted above.

Interest Reduction and Loans Conversion.—As part of a general policy of a reduction in interest rates the National Expenditure Adjustment Act 1932 imposed, amongst other things, a stamp duty of 10 per cent on interest derived from local authority securities. The proceeds, less 5 per cent as administrative charges, were paid to the respective local authorities. This duty was abolished by the Local Authorities Interest Reduction and Loans Conversion Act 1932–33, which followed somewhat similar legislation dealing with the public debt. Interest rates on local-authority securities in excess of 4½ per cent per annum were reduced by 20 per cent, or to a minimum of 4½ per cent. Local authorities were also empowered to draw up individual conversion schemes at a lower and more uniform rate of interest. Dissentients to any such scheme were penalized by a reduction of 33⅓ per cent below the original rate.

The provisions of the Local Authorities Interest Reduction and Loans Conversion Act 1932–33 ceased to operate on 31 December 1935, at which date 90 per cent of the debt convertible at 31 March 1933 had been converted; but provision was contained in section 20 of the Finance Act (No. 2) 1935 for voluntary conversion to be carried out under the provisions of the principal Act.

The Local Authorities Interest Reduction and Loans Conversion Amendment Act 1934 limited future borrowings to an interest rate not exceeding 3½ per cent, with provision, however, for varying the rate by Order in Council under the Local Government Loans Board Act 1926. In May 1939 the maximum was raised to 4¼ per cent, was later reduced to 3¼ per cent, and in 1952 was increased to 4 per cent.

Loan Maturities.—The following table classifies loans outstanding at 31 March 1953 (other than inscribed debt) according to years of maturity and countries of domicile.

Years of Maturity (Ended 31 December)New ZealandUnited KingdomAustraliaTotal
 ££££
Overdue3,200....3,200
1952–557,703,236403,50046,3768,153,112
1956–6016,440,8883,080,00044,60019,565,488
1961–6513,886,831702,00026,81314,615,644
1966–709,321,957....9,321,957
1971–756,558,521..234,0006,792,521
1976–805,141,685....5,141,685
1981–2001828,748....828,748
    Totals59,885,0664,185,500351,78964,422,355

Table loans account for £23,294,125 of the above total, loans in which a number of debentures are redeemed each year or half-year for £25,191,480, and loans with one fixed maturity date for £15,393,349. In the case of table loans the year of maturity is taken as that in which the final instalment is payable. Practically the whole of the debt domiciled abroad is composed of loans with one fixed date of maturity.

EMPLOYMENT BY LOCAL AUTHORITIES.—Employment by local authorities comprises principally the construction and maintenance of roads and streets, and the operation and maintenance of public-utility industries (gas, electric supply, and tramways), and social services.

Particulars relating to wage-earning employees employed by the various classes of local authorities during the five-year period 1948–49 to 1952–53 are presented in the next table. The figures shown are averages of the numbers employed at the fifteenth (or nearest representative day) of each month. The statistics do not cover Hospital Boards and Electric Power Boards. Employees of Electric Power Boards are included in the figures in Section 26A (Electric Power) (their average number during 1952–53 was 1,978), while employees of Hospital Boards are shown in a subsequent table.

Class of Local DistrictNumber of Wage Earners (Average of Twelve Months Ended March)
19491950195119521953
Counties3,5023,4583,3253,3663,365
Boroughs9,0949,0138,8268,5478,915
Town districts126125121128117
Road districts1316203319
River districts7982524840
Catchment districts240233215278287
Land-drainage districts7764595451
Water-supply district55555
Urban drainage districts183207187200215
Urban transport districts2,1172,0832,1362,1532,069
Local railway district2219221818
Gas district3941394036
Milk districts..6111
Nassella tussock districts81091011
Joint Transit Housing Committee....333
Rabbit districts5691,0421,2271,2211,158
Fire districts....498481472
Harbour Boards2,6022,6372,5782,4273,005
All districts18,67619,04119,32319,01319,787

The institutional staff of public hospitals and charitable institutions under the control of Hospital Boards was as follows for the five years ended 31 March 1953.

Nature of Staff19491950195119521953
Stipendiary medical7998869179731,014
Other professional and technical9518409029641,063
Nursing7,3387,3297,3927,6188,101
Indoor domestic4,4846,5176,5986,8507,184
Outdoor1,083
Miscellaneous631
    Totals15,28615,57215,80916,40517,362

Over a period of a few years up to 1953 there has been an increase in the number of visiting medical staff of Hospital Boards, except for the 1952 figure, which shows a small decrease. The figures for the last available five years ended 31 March are as follows: 1949, 537; 1950, 543; 1951, 563; 1952, 542; and 1953, 569.

Chapter 32. SECTION 32—BANKING AND CURRENCY

Table of Contents

BANKING institutions operating in New Zealand may be enumerated as follows:

  1. The Reserve Bank of New Zealand.

  2. Five trading banks.

  3. The Post Office Savings Bank.

  4. Five trustee savings banks.

In addition, a number of trading companies, investment societies, etc., perform quasi-banking functions, accepting deposits and granting credits (short-term and long-term) to clients. In some instances deposits are repayable to the client's order at call—virtually a system of cheque issuing.

Until the establishment of the Reserve Bank, which commenced to function on 1 August 1934, each of the six trading banks then functioning held the right of note issue, but this right is now vested solely in the Reserve Bank.

A full description of banking practice in New Zealand is beyond the scope of a Year-Book Section, but those desiring information on this subject may usefully refer to the report of the Parliamentary Monetary Committee, parliamentary paper B–3 (1934), and to its minutes of evidence, published as an appendix. For details of legislation governing banking a publication entitled “Banking Legislation in New Zealand,” published in 1948, may be obtained from the Reserve Bank of New Zealand, Wellington.

The Government in March 1955 announced the membership and order of reference of the Royal Commission on Monetary Affairs. The order of reference is as follows: “With a view to fostering a greater degree of stability in prices, maintaining full employment of labour, ensuring the healthy development of natural resources, and promoting generally the economic, financial, and social welfare of the people of New Zealand, the Commission shall receive, inquire into, and report upon representations regarding any monetary, banking, and credit proposals that may be suggested as suitable for application in New Zealand; the present monetary, banking, and credit system of New Zealand and the advisability or otherwise of any changes in the system; and any associated matters which should be deemed by the Commission to be relevant to the general objects of the inquiry.”

THE RESERVE BANK.—The Reserve Bank was constituted by the Reserve Bank of New Zealand Act 1933 (amended in minor respects by the Finance Act 1934) with the primary object of exercising control, within defined limits, over monetary circulation and credit in New Zealand. As originally constituted, the Bank had a share capital of £500,000, composed of 100,000 publicly subscribed shares of £5, bearing a cumulative dividend of 5 per cent. Very important changes in the constitution of the Bank were made by the Reserve Bank Amendment Act 1936, which, inter alia, abolished the subscribed share capital of the Bank, with provision for the repayment to shareholders (either in cash or in Government stock, at the option of the shareholder) of the value of shares held and accrued dividends. The General Reserve Fund of the Bank is maintained at £1,500,000, made up of a contribution of £1,000,000 by the Government at the passing of the original Act, and £500,000 to replace share capital after the passing of the 1936 Amendment Act. It will be seen that the whole of the reserve fund is contributed by the State—the Bank thus being State-owned. Additional powers were conferred on the Reserve Bank by the Finance Act (No. 2) 1936, and further important changes were made by the Reserve Bank of New Zealand Amendment Acts of 1939 and 1950.

The general function of the Bank, as defined in section 10 (1) of the Reserve Bank of New Zealand Amendment Act 1936 and as amended in 1950, is as follows: “It shall be the general function of the Reserve Bank, within the limits of its powers, to give effect as far as may be to the monetary policy of the Government as communicated to it from time to time by the Minister of Finance. For this purpose, and to the end that the economic and social welfare of New Zealand may be promoted and maintained, the Bank shall regulate and control credit and currency in New Zealand, the transfer of moneys to or from New Zealand, and the disposal of moneys that are derived from the sale of any New Zealand products and for the time being are held overseas, and shall do all such things within the limits of its powers as it deems necessary or desirable to promote and safeguard a stable internal price-level and the highest degree of production, trade, and employment that can be achieved by monetary action.”

The provisions of section 10 (1) of the principal Act were amplified by section 2 of the amending Act of 1939, which read as follows: “In the exercise of their functions and powers under the principal Act, the Governor and Board of Directors shall have regard to any representations that may be made by the Minister of Finance in respect of any functions or business of the Reserve Bank, and shall give effect to any decision of the Government in relation thereto conveyed to the Governor in writing by the Minister of Finance.” This section was, however, repealed by the 1950 amendment, and the following section substituted: “In the exercise of their functions and powers under the principal Act, the Governor and the Board of Directors shall give effect to any resolution of the House of Representatives in respect of any functions or business of the Reserve Bank.”

The principal powers and functions of the Bank under the existing legislation are as follows:

  1. Make and issue bank notes (see heading in “Coinage and Currency,” post).

  2. Buy and sell gold and silver coin and bullion.

  3. Accept money on deposit or on current account.

  4. Discount, rediscount, buy, and sell: (a) bills, notes, etc., whether commercial or agricultural, maturing within one hundred and twenty days from date of document or ninety days after sight; (b) agricultural bills, notes, etc., maturing within six months of acquisition; (c) Treasury bills of any Government, or bills of any local authority in any British Commonwealth country, all such bills to be maturing within three months of acquisition.

  5. Grant advances, up to three months, against: (a) gold coin or bullion or relative shipping documents thereof; (b) Government, local authority, or other approved securities readily marketable in New Zealand; (c) bills, etc., as referred to above; (d) promissory notes of banks in New Zealand.

  6. Grant accommodation by way of overdraft (a) to the Government of New Zealand; (b) to any Department of State or statutory authority having power to carry on any business or to borrow moneys on overdraft; (c) to any Board or other authority having statutory powers in relation to the marketing of any New Zealand produce, for the purpose of financing and marketing of any such produce.

  7. Advance moneys to the Government of any other country in respect of the purchase of any New Zealand produce for export to that country, or guarantee any such advance that may be made by another bank. The amount outstanding in respect of any advances or guarantees in this respect shall not at any time exceed in the aggregate the sum of £10,000,000, and any loss suffered in respect of any such transaction is to be borne by the Consolidated Fund.

  8. Buy and sell securities of the New Zealand or United Kingdom Governments, or securities guaranteed by the Government of New Zealand or by the Government of the United Kingdom.

  9. Buy and sell currencies of other countries.

  10. By authority of the Governor-General in Council, underwrite any loan proposed to be raised by the New Zealand Government, or by the State Advances Corporation of New Zealand.

  11. Issue and manage loans for the Government or any local authority or public body in New Zealand.

  12. Borrow moneys outside New Zealand for any purpose connected with the issue, repayment, or conversion of any New Zealand Government securities.

  13. Keep a register of inscribed stock on behalf of a local authority or public body.

  14. Organize a clearing system.

  15. Act as a correspondent for overseas banks or as agent of other reserve banks.

  16. Do any other banking business not prohibited by the Act.

The following gives a summary of those restrictions upon the conduct of business by the Bank as stated in the Reserve Bank of New Zealand Act 1933 and in later amendments. It may not issue bank notes of a denomination less than ten shillings; engage in trade or otherwise have a direct interest in any commercial, industrial, or similar undertaking; purchase the shares of any other bank in New Zealand or elsewhere (except shares of the Bank of International Settlements) or grant loans on the security of any shares that the Bank is prohibited from purchasing; make unsecured loans or advances; purchase or make advances on the security of real property, except so far as may be required to enable the Bank to conduct its business; pay interest on any moneys deposited with the Reserve Bank by any other bank or pay interest on any other moneys placed on deposit or on current account with the Bank, except that it may pay interest to the New Zealand Government on Government funds held by the Bank outside New Zealand; allow the renewal of maturing bills of exchange, promissory notes, or other similar documents purchased or discounted by or pledged to the Bank; draw or accept bills payable otherwise than on demand; and it may not grant accommodation to any state Department, local authority, or public body in excess of certain limits.

On the commencement of business on 1 August 1934 the Public Account was transferred to the Reserve Bank, and the management of the public debt was taken over from the Treasury by the Reserve Bank as from 1 October 1936.

The net profits of the Bank are paid to the Consolidated Fund, provided that the Bank's General Reserve Fund is not less than £1,000,000. If the Reserve Fund falls below that level, part of the profits must be credited to the Reserve Fund. The net profits for the year ended 31 March 1954, which were subsequently paid to the Consolidated Fund, amounted to £2,071,932, as compared with £1,277,268 for the previous year.

Any appreciation or depreciation of assets due to alteration in the exchange rate are to be credited to or borne by the Consolidated Fund. In accordance with this provision, the Reserve Bank was credited with the sum of £20,576,207 from the Consolidated Fund in early 1949 by the Government as a result of the alteration of the exchange rate to parity with sterling as from 20 August 1948.

The provisions in regard to the maintenance of reserves were amended by the 1950 amendment Act (see page 805).

Details of the liabilities and assets of the Bank at the end of June for the years 1950–54, and weekly averages for the calendar years 1944–54, are shown in the following tables.

LIABILITIES OF RESERVE BANK

YearBank NotesDemand LiabilitiesOther Liabilities*Total Liabilities
StateMarketingBanksOther

* Includes General Reserve Fund of £1,500,000 throughout the period.

† On and after 20 August 1948 overseas assets and liabilities were converted into New Zealand currency at rate £(stg.) 100=£(N.Z.) 100.

‡ Included in these figures are the weekly averages in Wool Retention Accounts: 1950, £117,000; 1951, £4,204,400; and 1952, £6,000.

§ Includes £2,879,000 in Wool Retention Accounts.

Weekly Average for Calendar Year £(000)
194437,45313,23432,9879163,68288,274
194541,12312,22843,9721,0124,061102,395
194645,16917,30259,7315244,919127,646
194747,68213,26557,1024834,911123,443
194848,93013,22857,7063805,115125,359
194951,31211,38473,8373555,368142,255
195055,12615,44674,2391,2326,290152,333
195160,36118,84469,3264,9296,765160,224
195262,25214,96248,5574907,387133,648
195364,0356,1543,62190,7411,3688,249174,167
195469,2339,2941,76978,3281,9158,917169,456
At End of June £(000)
195054,14818,26376,8794,8256,034160,148
195159,30411,58973,6944,792§6,518156,397
195261,22511,53044,4264298,017125,628
195362,6054,741..102,2492,5948,921181,111
195467,4798,16723386,4802,0897,896172,344

ASSETS OF RESERVE BANK

YearReserveSubsidiary CoinAdvancesInvestmentsOther Assets*
GoldSterling ExchangeOther Exchange*StateMarketing OrganizationsOther Advances and DiscountsOverseasIn New Zealand

* Prior to 1950 the figures for “Other Exchange” are included under “Other Assets”.

† On and after 20 August 1948 overseas assets and liabilities were converted into New Zealand currency at rate £(stg.)100=£(N.Z.)100.

Weekly Average for Calendar Year £(000)
19442,80233,720..5434,8612,760..11,5092,567
19452,80260,064..2924,1632,085..11,7971,455
19462,80281,332..3635,127961..1,8674,1241,396
19472,80285,300..4728,5101,15757493,8261,046
19482,80265,090..10435,1821,6982,4375,7044,7927,549
19493,22348,995..19337,6283,4824,9077,12134,7341,973
19504,26951,31925618052,2455,0965,3784,46326,8502,277
19515,13962,55738347351,1343,3796,8299,98817,1193,224
19525,85623,4161,23560150,7952,2906,12530,24411,3251,761
19536,02358,48758862653,2254,7616,02022,97520,511952
19546,15074,48142859938,4186,6928,93823,5579,279913
At Endof June £(000)
19504,25958,65220914453,0005,0945,43322,0425,6165,700
19515,15778,12041948650,0004,0336,4951,9326,0423,714
19525,91320,7411,70357450,0004,8126,01932,140423,683
19536,02165,89866562752,63111,1446,01923,84013,1661,100
19546,17093,51943860730,05611,4315,36923,716234805

NOTE.—Total assets are equal to total liabilities.

The fall in the Reserve Bank's holding of sterling exchange in 1952 was due partly to the abnormally large volume of imports and partly to the conversion of liquid funds into sterling investments. Normally the Reserve Bank's sterling exchange is held in the form of British Treasury bills (short-term rate of interest), but as a matter of policy it was decided to invest a part of these funds in short- and medium-term British Government securities, which are included in the Reserve Bank's investments.

TRADING BANKS.—The Banking Act 1908, which consolidated the law of New Zealand relating to the general business of banking in this country, provides that the incorporation of banks by Royal Charter shall be as effectual within New Zealand as Acts of the General Assembly. The number of directors is prescribed by the Act, and authority is given to any bank to increase its capital on a resolution of the shareholders. Transfers of shares on which there is any liability must be approved by the directors or their duly appointed attorney or attorneys. A sworn copy of an entry in the books of a bank shall in all legal proceedings be evidence of such entry, and a bank is not required in any legal proceedings to which it is not a party to produce its books before a Court, unless ordered by a Judge for special cause. Provision is made for the destruction of cheques, drafts, bills of exchange, or promissory notes after the expiration of ten years from the date thereof in the case of documents payable on demand or from the due date in the case of other documents.

Part II of the Bills of Exchange Act 1908 consolidated the law relating to cheques on a bank.

The provisions of sections 113–115 of the Companies Act 1933 (relating to branch registers) apply to banks incorporated in New Zealand; and those of Part XIII (imposing restrictions on the sale of shares and debentures) apply to companies incorporated outside New Zealand for the purpose of carrying on banking in New Zealand or elsewhere; otherwise the Companies Act does not apply to banks.

With the establishment of the Reserve Bank of New Zealand, which commenced to function on 1 August 1934, there was inaugurated an entirely new era in banking practice in New Zealand. The function of note issue was transferred from the trading banks to the Reserve Bank; while all gold coin or bullion held by trading banks for their own account was required by the Reserve Bank of New Zealand Act 1933 to be transferred to the Reserve Bank in exchange for equivalent notes of the Reserve Bank or for credit with that Bank. The basis of payment was £3 17s. 10½d. per ounce of standard—i.e., eleven-twelfths fine—gold content, which was the price at which such gold (in actual fact, coin only) had originally been acquired by the trading banks. Any profit derived from the sale of this gold overseas by the Reserve Bank accrues to the State and not to the Reserve Bank.

While the regulation of currency exchange is now a function of the Reserve Bank, commercial exchange transactions are still carried out through the medium of the trading banks.

Each trading bank is required to maintain with the Reserve Bank a balance comprising a proportion of its demand liabilities in New Zealand, and of its time liabilities in New Zealand. These requirements may be varied by the Governor of the Reserve Bank, acting with the authority of the Minister of Finance, but not so as to be less than the percentages existing up to 31 July 1952 — i.e., 7 and 3 per cent respectively. For a summary of the changes in these proportions refer to page 786.

There are five banks trading in New Zealand, two of these institutions—the Bank of New Zealand and the National Bank of New Zealand—being incorporated by special Acts of the General Assembly of New Zealand. The other three banks, which are predominantly Australian institutions, have in the aggregate much greater capital resources, etc., than the two New Zealand banks. The close Australian affiliations of the Australian banks operating in New Zealand resulted in the past in an interlocking between the Australian and New Zealand financial structures, the separation of New Zealand business being one of the major motives leading up to the founding of the Reserve Bank.

Bank of New Zealand.—On the passing of the Bank of New Zealand Act 1945, which came into operation on 1 November 1945, the Bank of New Zealand became a State trading bank. Prior to the passing of the Act the Bank was partly State-owned, the New Zealand Government holding preference and certain long-term mortgage shares to the aggregate value of £2,109,375 out of a total paid-up capital of £6,328,125. The Act provided for the acquisition by the Crown of the whole of the remaining shares registered in New Zealand, and also made provision for the purchase by the Crown of shares registered in the United Kingdom or Australia.

The gross profit of the Bank for the year ended 31 March 1954 was £3,879,070, while expenses amounted to £3,432,994, leaving a net profit of £446,076. Comparable figures for the previous year were £3,567,399, £3,110,210, and £457,189 respectively. The total assets at 31 March 1954 amounted to £145,214,685, the principal items comprising this total being: coin, Reserve Bank notes, and deposits with bankers, £32,548,664, money at call and short notice, Government securities and other securities in London, £12,019,260; securities of, or guaranteed by, New Zealand Government, £11,471,368; and advances, etc., £68,269,119. The principal item of liabilities was deposits (£124,564,898), while bills payable, etc., amounted to £8,062,049. The reserve fund, which is invested in United Kingdom Government securities, amounted to £3,575,000, and provision for taxation to £890,500. The paid-up capital of the Bank remained unaltered at £6,328,125.

Liabilities and Assets of Trading Banks.—Statements of liabilities and assets of the trading banks were gazetted quarterly up to 1934. Since the Reserve Bank commenced operations the trading banks have been required to submit at monthly intervals a return of liabilities and assets in respect of New Zealand business. Monthly averages for calendar years 1944–54, and figures as at the last Wednesday in June for the years 1950–54, are given in the next table.

LIABILITIES OF TRADING BANKS

YearDemand LiabilitiesTime LiabilitiesTotal Liabilities
In New ZealandOutside* New ZealandIn New ZealandOutside* New Zealand

* On and after 20 August 1948 overseas liabilities were converted into New Zealand currency at rate £(stg.)100 = £(N.Z.)100.

Monthly Average for Calendar Year £(000)
194488,64453930,481101119,765
194599,83669231,63488132,250
1946117,0711,33434,414100152,919
1947128,1154,87637,870317171,178
1948138,2116,94740,403295185,856
1949150,6997,05639,016439197,210
1950167,5267,03939,787428214,781
1951196,6637,67659,4052,378266,122
1952187,4788,55267,9851,034265,048
1953210,2364,52358,147816273,722
1954233,6095,31655,040963294,928
At End of June £(000)
1950165,4328,34440,194491214,462
1951211,8645,63857,4881,834276,825
1952192,18610,48167,244732270,643
1953219,3783,94157,804848281,971
1954240,9445,73150,7801,100298,554

ASSETS OF TRADING BANKS

YearCoin and BullionReserve Bank NotesBalances Held in Reserve BankOverseas Assets*Securities HeldAdvances and DiscountsLand, Buildings, etcTotal Assets

* On and after 20 August 1948 overseas assets were converted into New Zealand currency at rate £(stg.)100= £(N.Z.)100.

Monthly Average for Calendar Year £(000)
19447045,16533,51512,58638,56546,8061,921139,262
19456786,05845,66614,42731,80851,6181,928152,183
19467276,88060,18613,97628,46258,3421,957170,530
19479097,50057,63118,48823,03776,2472,118185,930
19481,4107,87259,53120,70618,89686,4702,180197,065
19491,5158,69775,90822,02114,67081,9812,278207,069
19501,6819,81375,18024,83013,40794,0652,557221,533
19511,52811,47670,27437,33013,243133,0793,085270,016
19521,47311,10851,14926,57113,036166,5603,583273,481
19531,53310,62593,09325,58414,037134,4554,059283,385
19541,44711,08979,36125,99125,153154,7874,510302,338
At End of June £(000)
19501,6949,13176,78727,44013,41891,5732,465222,508
19511,54911,36173,58146,96513,243132,7433,102282,546
19521,41911,08344,25030,74013,090173,0563,469277,108
19531,5099,858102,12631,69013,848128,2954,044291,371
19541,46210,34386,35928,16126,100149,4584,437306,320

Deposits and Advances.—The weekly averages of total deposits (together with the amount per head of mean population), and of total advances, and the ratio of advances to deposits for each of the last eleven calendar years, are given in the following table.

YearDepositsAdvances
Not Bearing Interest (Free)Bearing Interest (Fixed)Ratio of Free to FixedTotal*Per Head of Mean PopulationTotal AmountRatio to Deposits

* Including Government deposits.

† Exclusive of transfers by the Bank of New Zealand to its Long Term Mortgage Department.

 ££Per Cent££s.d.£Per Cent
194483,680,12632,742,165255.57117,568,290710146,773,49839.78
194594,627,25234,197,623276.71130,137,93976151151,766,19839.78
1946111,289,14737,019,091300.63149,777,364852658,270,84338.90
1947122,068,10440,459,866301.70164,169,5209151076,475,73446.58
1948130,940,69242,690,257306.72175,668,6709515088,159,76450.19
1949142,597,89441,292,234345.34186,092,099998583,357,04244.79
1950157,571,26542,201,491373.38202,200,42310518394,715,11746.84
1951205,335,65342,500,225483.14250,722,652128149132,916,94553.01
1952207,043,71842,436,002487.90252,967,759126147169,841,48667.14
1953222,077,41539,831,913557.54265,269,41112996136,827,10851.58
1954236,546,09240,721,325580.89281,750,319134910156,972,82355.71

It will be observed that free deposits have shown a phenomenal increase over the period covered by the table, the difference in the average for 1954 as compared with 1944 being £152,865,966, or 183 per cent. Fixed deposits commenced to move slowly upwards from 1943 to 1948, remained stable until 1952, fell in 1953, and rose slightly in 1954. Advances showed an upward movement to 1948, an appreciable fall in 1949, substantial rises from 1950–52, a pronounced fall in 1953, with a sharp rise in 1954. The substantial excess of deposits over advances has resulted on occasions in the past in the balances maintained by the trading banks with the Reserve Bank being greatly in excess of statutory requirements, but this will in the future be markedly affected by the Reserve Bank policy of varying in accordance with prevailing conditions the percentages of demand and time liabilities which the trading banks are required to keep with the Reserve Bank.

The following diagram illustrates the movements that have occurred in deposits and advances from 1930 onwards, the figures used, as in the foregoing table, being the weekly averages for calendar years.

The average amount on deposit during each of the quarter months since March 1949 is shown in the next table.

Month19501951195219531954
 £££££
March200,731,186234,204,149260,171,824257,892,154282,892,916
June208,102,712266,551,791256,333,329276,430,522293,024,729
September196,349,451256,896,010242,416,672264,394,682274,288,535
December213,099,894257,604,270248,160,573271,305,214282,769,380

The average amount of advances outstanding (exclusive of transfers by the Bank of New Zealand to its Long Term Mortgage Department) during each of the quarter months since March 1949 is next shown.

Month19501951195219531954
 £££££
March94,282,753133,079,705189,257,482142,133,063148,588,065
June91,637,951134,890,219179,166,440132,163,069150,763,920
September97,387,772132,776,112164,488,852135,394,669166,035,989
December109,892,879153,659,685147,770,534140,651,034173,355,431

The following table shows the movement in advances, Government and other securities held, and deposits during the years 1944–54, the amounts being the averages of the figures for the last Monday of each month for the period 1944–46, and the last Wednesday of each month from 1947 onwards.

YearAdvances (Including Discounts)Securities HeldTotal Advances and SecuritiesTotal DepositsRatio of Advances (Plus Securities) to Total Deposits
GovernmentOther
  ££££Per Cent
194446,805,74336,140,5652,424,29985,370,607118,484,54572.05
194551,617,72829,334,7212,473,17483,425,623130,888,10963.74
194658,341,77226,168,2282,293,47686,803,476150,682,01457.61
194776,246,65820,913,0532,123,54999,283,260164,894,84060.21
194886,469,96016,953,4751,942,263105,365,698177,636,66059.32
194981,980,87412,856,2261,813,36396,650,463188,385,16151.30
195094,065,05711,730,3021,676,714107,472,073205,295,05852.35
1951133,079,45911,716,0601,527,155146,322,674253,918,28057.63
1952166,559,74811,700,8511,335,422179,596,021253,527,52870.84
1953134,455,45511,688,2312,348,383148,492,069266,988,72555.62
1954154,787,15812,002,15413,150,673179,939,985283,906,62963.38

The fall in the value of Government securities held by the trading banks in the post-war years reflected the policy of the Government, which was to repay the trading banks' holdings of stocks as they mature and not to permit reinvestment of the proceeds in Government stocks.

An analysis of advances of the New Zealand trading banks at quarterly intervals is published by the Reserve Bank of New Zealand, and the classification as at the last Wednesday in March for the years 1950–54 is given in the following table.

Advances toAt End of March
19501951195219531954
Farmers—£(000)£(000)£(000)£(000)£(000)
  Mainly dairy6,7817,9328,9478,01311,274
  Mainly wool4,8835,3976,3506,4736,953
  Mainly meat1,1241,0579041,007997
  Mainly agricultural6898059939731,004
  Mixed3,8283,9624,3434,1564,383
Industries allied to primary production—     
  Dairy companies, factories, etc.4977307736421,345
  Freezing works, meat companies, etc.9,41113,87917,9986,8054,975
  Woollen mills1,4422,0703,9422,8433,227
  Wool buyers5,44311,1614,1422,8184,176
  Other4,2724,3486,5977,2087,116
  Other manufacturing and productive industries14,77420,47732,49226,59922,924
Merchants, wholesalers—     
  Mainly importers7,57810,66321,01812,13810,958
  Others2,8293,1296,1714,7093,890
Retailers8,25811,34720,65813,96114,851
Transport—     
  Shipping378622305446389
  Other1,7672,4423,2983,2543,535
Local and municipal authorities, public-utility concerns, etc.9891,5661,4862,2442,007
Stock and station agents6411,4374,5123,0711,704
Hotels (public and private), restaurants, etc.2,0822,5702,9102,8883,177
Financial companies, societies, etc.1,9252,4542,9361,8745,879
Professional2,0452,7783,0792,8533,224
Private individuals9,16314,56318,78716,90820,946
Other3,8505,3427,2696,5207,473
    Total advances94,649130,732179,912138,401146,405

A table drawn from Reserve Bank published sources, showing a regional analysis of trading bank advances as at 25 June 1952, was given on page 678 of the 1953 issue of the Year-Book.

Advances Control Policy.Qualitative: As part of the Government policy designed to combat inflationary tendencies during wartime, from 1943 onwards the trading banks were precluded from increasing their holdings of securities and existing holdings of Government stock were repaid as they matured. An earlier measure, from January 1942, was the selective control of trading-bank advances by the Reserve Bank in co-operation with the trading banks. The general aim was to prevent the expansion of bank credit for speculative and other purposes considered inimical to the war effort. The necessity for such controls was also a feature of the immediate post-war years. The Reserve Bank issued statements in 1947 and 1948 outlining the existing policy in this respect, and indicating the inclusion in the restricted categories of advances for purely investment purposes, capital expenditure for business, industrial and commercial purposes, building, purchasing or refinance of dwellings, in addition to those speculative and other classes previously covered.

Marginal cases and others involving special circumstances were referred to the Reserve Bank, the trading banks from time to time being given more discretion in dealing with such cases.

In March 1950 this discretion was extended so that marginal applications need only be referred to the Reserve Bank in cases where the term of the proposed advance exceeded two years and where the amount was also in excess of £2,000.

A major relaxation in the policy became effective from 24 May 1950. Advances for amounts up to £2,000 from each applicant were exempted from control, while the discretionary limit was raised to an amount not greater than £4,000, the latter being in order to allow for the new situation in which the first £2,000 was freed from control.

The number of restricted classes has also been reduced. In 1947 temporary finance for one year for the building of dwellings, and again in August 1949, advances to enable primary producers to purchase essential farm equipment and machinery up to the limit of £1,500, provided repayment was made within two years, were taken out of the restricted categories. As from 24 May 1950 advances for the following classes of purchase were excluded from control, irrespective of the amount concerned: (a) livestock needed for primary production; (b) farm machinery, farm vehicles, and farm implements; and (c) tools of trade (exclusive of industrial machinery).

The Reserve Bank issued a statement on advances control policy on 17 December 1951, the measures listed therein being designed to modify certain trends shown in aggregate bank advances and having some undesirable consequences—namely, (a) a high level of demand supported by bank credit was accentuating the tendency of prices to rise, (b) an abnormal volume of imports was being financed to a large extent by bank credit, and (c) many business concerns were relying too much on their banks to provide working capital.

The measures contained in the statement included firstly, a request to trading banks: (a) to examine all accounts where trading limits exceeded £10,000, and where clients were relying too greatly on bank accommodation in proportion to their capital structure the necessary particulars were to be supplied to the Reserve Bank, which would take action, if required, after consideration of all relevant factors, including the practicability of obtaining from non-banking sources finance on reasonable terms without undesirable economic or financial consequences; (b) applications for increased limits in the over £10,000 category were to be referred to the Reserve Bank where the trading banks considered the client was relying too greatly on bank accommodation; temporary increases where the excess was justified and which would be repaid within six months were left to the discretion of the trading banks. Secondly, except with the approval of the Reserve Bank in each case, increases would not be granted in any importer's current limit to enable the importer to buy overseas funds (discretion to grant temporary assistance limited to a maximum period of three months to cope with existing abnormal conditions was given to the trading banks). The third measure was the examination of all existing advances to hire-purchase concerns (also advances to concerns which undertook hire purchase as a part of their main business) with a view to securing, wherever practicable, reductions in such advances or improvements to existing programmes of reduction. Finally, while limits exceeding £10,000 were under specific review, all trading-bank limits below this figure were to be watched closely, taking into consideration the relationship between overdraft and proprietors' funds; increases were to be avoided wherever possible and adherence was to be made to programmes of reduction.

The Reserve Bank has maintained the selective control of bank advances during 1953–54 and 1954–55 without change in the rules relating thereto, except that the period for which advances may be granted for housing purposes was extended to five years from May 1953, provided the advance does not exceed £3,500.

Quantitative.—Although the advance control policy as outlined above was continued, it was supplemented in 1952 by the quantitative control of advances provided for in section 45 of the Reserve Bank of New Zealand Act. This section authorizes the Bank with the consent of the Minister of Finance to vary the statutory reserve ratios of the trading banks, but not so as to be less than 7 per cent of their demand liabilities and 3 per cent of their time liabilities. Since August 1952 these ratios have been varied on a number of occasions as listed below. The Reserve Bank stated, in announcing the May 1953 increase, that the actual balances held by the trading banks at the Reserve Bank had been considerably in excess of the statutory minimum, and that this excess was a potential basis for an expansion of bank credit which would be inflationary in its effect and add to the difficulty of maintaining the external balance of payments.

Period OperativePercentage of New Zealand Liabilities Required to be Maintained by Trading Banks as Minimum Deposits With Reserve Bank
 DemandTime

* Informal agreement to raise ratios.

1934 to 31 July 195273
1 August 1952–7 December 1952105
8 December 1952–10 May 1953*15
11 May 1953–30 May 19542010
31 May 1954–31 August 19542512½
1 September 1954–30 November 19542010
1 December 1954–27 February 19552512½
28 February 1955–1 June 195515
2 June 195516½

Capital Issues Control.—During the war period fairly intensive control was maintained over the issue of new capital, but in the post-war period such control was progressively eased. However, the heavy demand for capital moneys and the tendency for interest yields to increase in the later part of 1951 and early 1952 caused the Government to decide to apply the existing powers of control over capital issues given by the Finance Emergency Regulations (No. 2) 1940 (see later) more fully. A Capital Issues Committee was therefore set up in 1952 to advise on approval of applications for new capital issues, including shares, debentures, and mortgages, which may not be made without the consent of the Minister of Finance. Consent is more likely to be given to cases (a) where no recourse to new finance is involved—e.g., bonus issues, amalgamations, etc.; (b) where a substantial increase of exports or saving of imports may be expected to result, whether directly or indirectly; and (c) where substantial shortages of essential goods will be met.

The following table shows the total approvals made during the period 1950–54.

YearShare IssuesMortgages and DebenturesTotals
New CompaniesExisting Companies
No.ValueNo.ValueNo.ValueNo.Value
  £(000) £(000) £(000) £(000)
1950593,5051017,080641,47622412,061
19511487,43718410,7091739,98050528,126
19521735,47321510,6632598,59864724,734
19531665,2561818,6032028,21454922,073
19542428,36126916,62627811,41178936,398

Debits and Clearings.—The following table shows weekly averages of bank debits and clearings for each of the years 1944 to 1954.

YearDebits Other Than GovernmentGovernment DebitsClearings
 £(000)£(000)£(000)
194424,5673,86015,205
194526,7914,27716,625
194631,9124,76419,388
194740,5474,92723,646
194843,0625,86225,254
194945,1616,32926,228
195056,2427,12033,829
195170,2348,49642,755
195270,5549,95140,503
195373,99610,06343,062
195484,62510,79249,066

Debits represent the total amount debited to customers' accounts at all branches, and clearings show the total outward exchanges delivered at all branches. These figures, which have been compiled from the weekly returns furnished by the trading banks to the Government Statistician, give a reasonable indication of changes in the volume of business. The upward movement evident in 1939 has generally continued since, the 1950, 1951, and 1954 increases being sharp ones. Government debits with trading banks fell to comparatively small proportions as a consequence of the opening of the Reserve Bank, but the upward movement in evidence since 1936 has been more marked over the last six years.

Averages of debits (other than Government) and of clearings for the four or five weeks ending on the last Wednesday of each of the quarter months from March 1950 onwards are now given.

Month19501951195219531954
 £££££
Debits, Other Than Government
March64,796,60267,923,64393,155,86990,859,613102,145,501
June55,101,83669,359,13164,175,97168,695,90788,102,909
September50,180,42370,929,85758,800,42668,097,11881,983,600
December76,009,48175,562,12276,614,07587,072,00098,148,640
Clearings
March41,338,58948,080,53754,094,68359,757,73664,849,353
June34,648,70744,123,72437,210,96041,257,05850,782,007
September29,329,62341,911,87633,944,30737,203,95945,401,180
December45,303,01941,482,53243,926,44649,418,95956,343,718

Unexercised Overdraft Authorities.—Particulars of aggregate unexercised overdraft authorities of trading banks are available from April 1936. Following are the averages for calendar years and the amount at the end of June for each of the years 1944–54.

YearAverage for Calendar YearAt End of June
 ££
194437,120,06238,381,075
194540,273,68638,827,474
194645,040,51446,490,947
194746,669,29648,261,554
194850,649,89150,215,837
194957,686,12058,730,338
195064,177,79163,116,374
195172,229,73976,425,329
195269,887,61968,825,103
195393,464,10593,094,517
1954110,298,049111,652,709

NOTES IN CIRCULATION.—As indicated elsewhere, the Reserve Bank assumed the note-issuing function on 1 August 1934. As from 10 January 1935 the notes of the trading banks ceased to be legal tender, while on 1 August 1936 the liability for the remaining outstanding trading-bank notes was taken over by the Reserve Bank, thus completing the process of the transfer of the note issue to the Reserve Bank. The following table shows the weekly average note circulation for the calendar years 1944–54, and the position as at the last Wednesday in June for the years 1950–54.

YearTotal Note IssueNotes Held by Trading BanksNet Note Circulation
 £££
Average for Calendar Year
194437,453,3675,351,39532,101,972
194541,122,7736,139,73234,983,041
194645,169,0506,970,70738,198,343
194747,682,4387,555,35640,127,082
194848,930,0978,133,75340,796,344
194951,311,5318,776,50142,535,030
195055,126,2909,898,34345,227,947
195160,361,14511,390,95048,970,195
195262,251,85811,273,45050,978,408
195364,034,74610,647,60153,387,145
195469,213,66211,540,81457,672,848
At End of June
195054,147,5779,130,68045,016,897
195159,803,59711,361,03248,442,565
195261,225,01111,083,47950,141,532
195362,605,0679,858,28152,746,786
195467,478,94510,342,85957,136,086

The following diagram illustrates the expansion in the note issue since the year 1910.

The year 1935 witnessed the commencement of an almost continuous upward movement in the note circulation, owing to more favourable economic conditions in association with such factors as the restoration of wage and salary cuts, higher wage rates, greater activity on public works and housing, increased pensions, etc. Following the outbreak of war, the increase in the note circulation quickened, the expansion in 1942 and 1943 being particularly marked. The upward movement has since continued, but at a considerably lesser rate.

The following reasons have been given by the Reserve Bank for the increase in the net note circulation noted over recent years. The basic fact is the substantial increase in incomes and in the total volume of money (coin, notes, bank demand deposits), the proportion of notes to the total volume of money remaining at a level of approximately 20 per cent. Other reasons include a rise in the number of cash transactions and in price levels, an apparent fall in the velocity of circulation, expenditure of wartime accumulated savings and, with the greater availability of consumer goods, expenditure made more freely from current income.

An analysis of the net bank-note circulation, as at the last Monday in June over the years 1944–46 and the last Wednesday in the same month for later years, is compiled by the Reserve Bank of New Zealand, and the figures for the years 1944–54 are contained in the following table.

Last Balance Day in JuneReserve Bank Note IssueTotal Reserve Bank Issue in CirculationTrading Banks' Notes OutstandingTotal Net Note Circulation
10s£1£5£10£50
 £(000)£(000)£(000)£(000)£(000)£(000)£(000)£(000)
19449638,01017,2432,9792,75131,94637632,322
19451,0118,74019,3063,0612,00634,12437034,494
19461,1149,44321,6523,5101,75137,47036637,836
19471,1449,37322,5824,3452,03539,47936339,842
19481,1769,23623,0554,7491,96340,17936140,540
19491,2089,35324,1025,1372,10641,90635842,264
19501,2859,32825,8685,7732,40644,66035745,017
19511,2819,41227,8336,8652,69748,08835648,443
19521,3349,28428,7877,5712,81049,78735550,142
19531,3789,31230,1858,4593,05952,39435352,747
19541,4939,48732,7799,7663,25956,78435257,136

OVERSEAS ASSETS OF BANKS.—Under section 46 of the Reserve Bank of New Zealand Act 1933 the trading banks are required to supply returns to the Reserve Bank at monthly intervals, showing, inter alia, overseas assets held and liabilities incurred on account of New Zealand business. From these statements, published in the New Zealand Gazette, and the weekly gazetted statements of assets and liabilities of the Reserve Bank, the following table has been compiled. The figures for net overseas assets include, in addition to sterling exchange, the Reserve Bank holdings of foreign exchange and overseas investments, less its liabilities in other currencies.

YearTrading Bank's Overseas AssetsReserve Bank's Overseas AssetsGross Overseas AssetsOverseas Liabilities ofNet Overseas Assets
In LondonElsewhereSterling ExchangeOther Overseas AssetsTrading BanksReserve Bank

* On and after 20 August 1948 overseas assets and liabilities were converted into New Zealand currency at rate £(stg.)100 = £(N.Z.)100.

† Included in the item “Other Overseas Assets” after 1951 are sterling investments. These amounted to £32,140,000 at the end of June 1952, and averaged £30,243,854 for the calendar year 1952. Prior to 15 August 1951 the corresponding amounts were shown under the “Sterling Exchange” heading.

Monthly Average for Calendar Year £N.Z. (000)
194410,6721,90633,8174,14250,53764012849,769
194512,4811,94661,7025,14781,2777807980,418
194611,6392,33783,2654,966102,2071,43552100,720
194713,9734,51685,0564,532108,0765,194248102,634
1948*17,6063,09964,1026,57891,3867,2426584,079
194918,0214,00048,7417,39778,1597,4954870,617
195020,5254,30451,2066,61382,6487,4684175,139
195132,0645,26661,53715,259114,12610,05450104,022
195219,9046,66723,74431,95482,2689,5865072,633
195321,7113,87259,41423,948108,9465,33943103,564
195421,3384,64674,11324,236124,3326,24186118,005
At End of June £N.Z. (000)
19449,1632,23531,5974,87247,8676931,26445,910
194513,9101,92062,4175,68083,9276631983,246
194612,0411,57685,5205,584104,7211,46653103,203
194712,9225,03293,9334,316116,2035,5301,289109,384
194819,5932,76279,5224,340106,2176,18615100,017
1949*17,3124,66158,9637,44188,3778,3494179,987
195023,0144,42658,6529,79395,8858,8353387,016
195141,7745,19278,1205,820130,9057,473116123,316
195223,9776,76220,74134,41185,89211,2139074,588
195328,1103,58065,89824,856122,4444,789100117,555
195423,6834,47893,51924,363146,0436,83139139,173

Overseas assets declined heavily during the three years 1937–39, particularly after May 1938, ascribable to three principal causes—(1) the repatriation of capital temporarily held in New Zealand, (2) over-importation, and (3) investment abroad of New Zealand capital. In December 1938 the Government took action to check the fall in the sterling funds, and introduced import and export control and also the control of overseas remittances. These measures, combined with the earlier crediting of the proceeds of the country's staple exports to the United Kingdom as a result of United Kingdom governmental purchases and other factors arising out of wartime agreements, brought about a marked improvement in the exchange position early in 1940. Although there were fluctuations from time to time, each subsequent year witnessed a further improvement in the general level until 1947, when the net amount was £102,634,000. Figures from 1948 to 1950 showed successive declines to an average of £75,139,000. The fall in these years was principally due to the financing of a greater volume of imports at higher prices, the repayment of debt domiciled overseas, and to the alteration in the exchange rate in 1948 mentioned elsewhere in this Section. The 1951 totals showed a marked improvement and reflect the high prices ruling for primary produce, notably wool during the earlier part of the year, while 1952 figures reflect the heavy payments made to finance the excess of import payments over export receipts during that year. The effects of the exchange allocation scheme resulting in smaller payments on account of imports, together with the higher export receipts, were largely instrumental in increasing net overseas assets in 1953 and 1954.

The following diagram shows the movement in the net amount of overseas assets from 1936 onwards, the first portion showing the figures as at the end of December and the second portion as at the end of June, in each year quoted. The low level to which they had fallen in 1938, the progressive accumulation up to 1946, the contraction during 1947–49, the recovery in 1950, the strong upward movement during 1951, the fall in 1952, subsequent rise in 1953, and the fall in the later part of 1954, are strikingly illustrated.

OVERSEAS RECEIPTS AND PAYMENTS.—Since the institution of exchange control in New Zealand the Reserve Bank has been able to make a comprehensive statement of the foreign exchange transactions of the banking system for the period during which the control has been operating. A full classification of overseas receipts and payments for the calendar years 1953 and 1954, showing details for the sterling area, dollar area, and other countries separately, in addition to the over-all figures, is given below; figures for 1950, 1951, and 1952 are given in preceding issues of the Year-Book.

Item19531954
Sterling AreaDollar AreaOther CountriesTotalSterling AreaDollar AreaOther CountriesTotal
Current items—Receipts £(N.Z.)000
Exports—        
  Butter46,3217234,17651,22027,9475525,44133,940
  Cheese19,62067536020,65611,92622128212,430
  Meat48,40251056749,47848,8731,01298250,867
  Wool44,72512,89430,12587,74345,8339,23534,15089,218
  Other19,9989,3394,92034,25621,6978,4104,49834,607
    Totals, export receipts179,06624,14140,148243,353156,27619,43045,353221,062
Transport—        
  Freights514..18532473..5477
  Fares765..81821222
  Other94514189771,05815431,116
Insurance78610348304561181576
Travel (excluding fares)1,427112341,5741,571168161,756
International investment income—        
  Interest and dividends3,308131513,4723,550141523,716
  Other investment income2,32442622,4282,358784593,201
Government receipts and expenditure by other Governments in New Zealand1,670291261,8251,2661212371,622
Miscellaneous—        
  Commissions, royalties, and rebates347119184847008833820
  Expenses of business firms33624323924513160541
  Personal receipts, legacies, and immigrants' transfers5,273452965,8225,3374481105,894
  Other current transactions485295137932516522338
    Totals, current196,55925,25640,749262,566173,75321,28546,103241,139
Capital transfers—        
  Private2,553179402,7728,381358578,798
  Government782....78220,207 1,00021,207
    Totals, capital3,335179403,55428,5883581,05830,005
Cook Islands exports1396711618522293
Unidentified60202832915548
Grand totals, receipts199,96625,55240,799266,318202,38921,70947,186271,284
Current items—Payments £(N.Z.)000
Imports—        
  Licensed23,69713,6441,21938,55928,09417,7181,99147,804
  Decontrolled119,5162,7496,062128,328151,5855,0139,785166,383
  Government25,3501,54017427,06418,6421,4977320,212
  Other3,247362123,4953,173461353,354
    Totals, import payments171,81017,9697,667197,446201,49424,27411,984237,753
Transport—        
  Freights on exports211971454531,00629521,087
  Fares4661344605896275291,200
  Ships' charter299....3004227..429
  Other188110199352..4356
Insurance—        
  Insurance13913816021584227
  Re-insurance624....6241,161....1,161
  Other920213181,151632204656
Travel (excluding fares)4,450164604,6735,236231835,550
International investment income—        
  Interest and dividends1,774913122,6992,0161,387153,418
  Other investment income1,996325942,4141,755298712,124
  Government interest2,482....2,4823,001....3,001
  Local authority interest209....2092006..206
Government expenditure overseas10,3596731811,0499,5415702810,139
Miscellaneous—        
  Commissions, royalties, and rebates6773763111,3639823382951,615
  Expenses of business firms2,190737953,0222,2411,009583,308
  Film hire and entertainment282564284925451314781
  Religious and charitable49669359599673071,309
  Personal receipts, legacies, and emigrants' transfers3,5622002964,0603,9952602064,462
  Transfers by temporary residents1,05964261,1491,41084411,535
  Other current transactions499108376457845839882
    Totals, current204,69322,5588,895236,146238,58829,37513,235281,197
Capital transfers—        
  Private3,15931433,2322,73187342,852
  Government526....5263,23663..3,300
Local authority154....154425....425
    Totals, capital3,83931433,9136,393150346,577
Cook Islands imports7119..9083193106
Grand totals, payments208,60322,6078,939240,149245,06429,54413,273287,880
Surplus of receipts over payments−8,6372,94531,86026,169−42,675−7,83533,913−16,596

NOTE.—Minus sign (—) denotes a deficit.

Exchange Allocation Scheme.—In order to assist in measures for strengthening the sterling area reserves and the balance of payments generally, the Government of New Zealand in March 1952 made certain decisions designed to ensure an increased surplus in New Zealand's overall balance of payments with non-sterling countries from an estimated £5 million for 1952 to £25 million on an annual basis (June year 1952–53). Measures listed covered the cancellation of licences issued for imports from all “scheduled" countries (the United States of America, Canada, and Japan are the countries with which New Zealand is principally concerned), new licences being required for all future imports from these countries; the importation of motor vehicles from all countries was brought under import-licensing control; there was no general imposition of import licensing in respect of sterling area countries; endeavours were made to expand primary production for export by providing alternative sources of supplies of agricultural fertilizer on a larger scale; and the Murupara pulp and paper project for the production of newsprint and pulp for export was pressed forward.

Except with the approval of the Reserve Bank, trading banks were advised not to sell to any importer during 1952 more than 80 per cent of the 1950 amount sold to him. This amount was the importer's basic allocation, and where foreign exchange in excess of this basic allocation was required application was to be made to the Reserve Bank.

This was followed in August 1952 by a decision to retain the existing exchange allocation scheme, with modifications, in 1953. With the high level of demand for exchange still continuing and the need to maintain reserves to provide a reasonable margin for contingencies in view of the 1953 deficit in overseas receipts over payments, the Reserve Bank was not prepared to draw further on reserves. Accordingly, except with the approval of the Reserve Bank, trading banks were advised no: to sell to any importer during the whole of 1953 more than 40 per cent of the amount of exchange sold in 1950 to that importer for non-Government imports other than motor vehicles and goods paid for under Third Party Certificates received from other licensed imports. This procedure provided, as formerly, for the basic allocations of exchange, and where importers required more than this quota they could make application to the Reserve Bank.

In July 1953 the Reserve Bank announced that, because of the high level of demand for overseas exchange to pay for imports, the exchange allocation scheme inaugurated in April 1952 would be continued in 1954. An important modification of the scheme was the announcement of a list of goods, payment for which would not require the authority of an exchange allocation. The trading banks were advised that, without the approval of the Reserve Bank and excepting payment for goods classed as “Released Items”, they were not to sell to any importer in 1954 more than 50 per cent (increased in November 1953 to 75 per cent) of the exchange sold in 1950 to that importer for non-Government imports other than motor vehicles, goods paid for under Third Party Certificates received, and goods which in 1954 would be classed as “Released Items ”. This procedure provided, as formerly, for basic allocations of exchange, and where importers required more than this quota they could make application to the Reserve Bank.

The Prime Minister announced on 22 July 1954 that the exchange allocation system introduced in August 1952 was to be terminated as from 1 January 1955. Following this statement, the Reserve Bank made certain relaxations for the remainder of the 1954 year (e.g., additional allocations already granted could be used to pay for any items mentioned in the application instead of only those items specifically detailed in the approval, and could be used at any time during the rest of 1954), while allocations made up to termination date would not be linked to tariff items.

From 1 November 1954 the annual allowance to New Zealand citizens visiting the Continent of Europe and certain other countries, but excluding Scandinavia, is £200 for adults and £100 for children under twelve years of age. Adult visitors to Scandinavia are allowed up to £250 per annum, and children under twelve years of age £175 per annum. Dollar allowance on non-business travel in North America is at the rate of £(N.Z.)5 per day with a maximum of £(N.Z.)100.

POST OFFICE SAVINGS BANK.—The establishment of the Post Office Savings Bank was authorized by the Post Office Savings Bank Act 1865, but actual business did not commence until 1 February 1867, when branches were established at Auckland, Wellington, Christchurch, Dunedin, and Hokitika. The present authority is contained in the Post and Telegraph Act 1928.

Deposits may be made in any multiple of 1s., and there is no limit to the amount which may be deposited. Interest is allowed on each complete £1, but no interest is payable on any amount in excess of £5,000. The present interest rates on deposits are per annum—

AmountInterest Rate
Up to £5002½ per cent
From £501 to £2,0002 per cent
From £2,001 to £5,0001½ per cent

There are now 970 branches of the Bank throughout the country. Of these, 172 are ledger offices providing demand withdrawal facilities, and about 95 per cent of the total withdrawals are made in this manner. The remaining 5 per cent are made by free savings-bank telegram or savings-bank money order, this system providing for country depositors who are unable to personally attend at their ledger office.

The Postmaster-General may pay deposits to a maximum of £200 to the legal representatives of a deceased depositor without requiring him to take out letters of administration or to prove the will. This provision, together with another whereby a depositor may nominate one or more persons to receive part or all of the amount at credit of an account after the depositor's death, enables the next-of-kin to obtain possession of perhaps much-needed funds without delay or cost.

During the year ended 31 March 1954 the Bank's cash turnover passed the £200 million mark. Deposits for the year were £109,340,239, and withdrawals £99,134,783, which represents an increase in the value of deposits of £10,214,465, and in the value of withdrawals of £2,435,224, over the previous year. The number of deposits made was 4,261,317, and the number of withdrawals 2,540,318. The figures for the previous year were 4,096,790 and 2,571,849 respectively. The total number of accounts open increased by 35,136 to reach 1,520,988, and the total amount at credit of depositors' accounts at £205,921,812 was £14,648,076 greater than the previous year. This increase represents excess deposits over withdrawals for the year of £10,205,456, and interest credited to depositors for the year of £4,442,620. The average amount at credit of each account was £135.

Since the family benefit scheme commenced in 1946 the number of beneficiaries who have elected to pay their benefits to Post Office Savings Bank accounts has steadily increased, and during the year ended 31 March 1954 family benefit deposits, valued at £5,381,218, were credited to Post Office Savings Bank accounts.

The following table covering the activities of the Post Office Savings Bank since 1944 includes family benefit deposits, but does not include either school savings bank accounts or national savings investment accounts, which are referred to later.

Year Ended 31 MarchNumber of Depositors at End of YearTotal Amount of Deposits During YearTotal Amount of Withdrawals During YearExcess of Deposits Over WithdrawalsInterest CreditedTotal Amount to Credit of Depositors at End of Year

* Excludes balances to credit of war gratuity savings-bank accounts in the years quoted of: 1947, £13,616,000; 1948, £12,439,000; 1949, £11,448,000.

† Refer to note below.

  £££££
19441,128,93647,648,75435,580,16512,068,5892,075,67698,614,198
19451,161,88654,585,12042,158,65612,426,4642,451,628113,492,290
19461,203,18167,861,04255,626,41912,234,6232,787,413128,514,326
19471,239,94872,380,54362,747,0939,633,4503,094,491141,242,267*
19481,277,26572,553,41468,660,4583,892,9563,307,081148,442,304*
19491,311,29270,690,64067,722,7242,967,9163,438,790154,849,010*
1950..11,447,7543,792,8467,654,908..170,982,452
1,372,67277,963,43073,306,1814,657,2493,821,285
19511,407,24186,395,33185,190,0071,205,3243,915,006176,102,782
19521,450,30998,205,64393,748,8184,456,8254,079,606184,639,213
19531,485,85299,125,77496,699,5592,426,2154,208,308191,273,736
19541,520,988109,340,23999,134,78310,205,4564,442,620205,921,812

NOTE.—Under the War Service Gratuity Regulations 1945 war gratuity savings bank accounts which matured on 31 March 1949 were deemed to be Post Office Savings Bank accounts on that date, and the total balance of the war gratuity accounts was amalgamated with the ordinary savings bank figures as at 31 March 1949. The amount so transferred was £11,447,754, of which £7,654,908, at the option of the holders, was left in the savings bank and £3,792,846 withdrawn. A total of £1,843,071 of the amount withdrawn was deposited in national savings investment accounts. These transactions are shown separately in the above table in italicized form.

The securities standing in the name of the Postmaster-General on account of the Post Office Savings Bank Fund on 31 March 1954 represented a nominal value of £205,898,335. A summary of the investments is as follows:—

 £
New Zealand Government securities203,438,210
Local authority securities199,630
Securities held in London2,260,495
    Total£205,898,335

Post-Office Savings-bank Accounts Classified by Amount Groups.—The following is a classification of the balances in Post Office Savings-bank Accounts at 31 March 1940, 1953, and 1954, shown by amount groups and percentage of accounts within each group.

At 31 March 1940Percentage of TotalAt 31 March 1953Percentage of TotalAt 31 March 1954Percentage of Total
£    £      
Under 1769,31280.09352,32323.71354,38923.30
1 and under 10357,79624.08361,86823.79
10 and under 50281,50518.95286,94418.87
50 and under 10060,8226.33120,7288.13122,1068.03
100 and under 20050,2865.24119,3878.03124,2048.17
200 and under 30025,9482.7066,3674.4770,7824.65
300 and under 40015,5521.6243,8892.9546,2863.04
400 and under 50010,1851.0633,6512.2635,8402.36
500 and under 6008,1630.8526,5831.7928,1511.85
600 and under 7004,4950.4715,3791.0415,8011.04
700 and under 8003,2140.3311,4880.7712,2410.81
800 and under 9002,3370.249,0790.619,3290.61
900 and under 1,0001,7880.197,2500.497,8260.51
1,000 and under 1,5006,4310.6721,6861.4623,5721.55
1,500 and under 2,00010,0040.6710,7020.70
2,000 and under 3,0001,9730.217,3910.508,6040.57
3,000 and under 4,00046..8340.061,4330.09
4,000 and under 5,0007..3310.025750.04
5,000 and over6..1810.013350.02
    Total number of accounts960,565100.001,485,852100.001,520,988100.00

It will be noted that the actual number of accounts with balances of under £50 have increased from 769,312 in March 1940 to 1,003,201 in March 1954, but expressed as a percentage of the total accounts this group showed a decline from 80.1 per cent in 1940 to 66.0 per cent in 1954. For the £50 and under £200 groups there were both absolute and relative increases over the period—i.e., from 111,108 or 11.6 per cent to 246,310 or 16.2 per cent. In the next groups £200 and under £500, the increases were more marked still, the numbers being almost trebled, and the percentage nearly twice as high, the figures being 51,685 or 5.4 per cent in the earlier year and 152,908 or 10.1 per cent for the later year.

The groups comprising balances within the range £501 to under £2,000 likewise exhibited a high percentage increase, from 3.0 to 7.1 per cent of the total, the numbers also showing a substantial increase from 28,401 to 107,622 during the period. Accounts consisting of £2,000 and over increased from 2,032 to 10,947, although prior to September 1952 interest was not paid on sums between £2,000 and £5,000.

Letters of Credit.—The letter of credit avoids the necessity of carrying large amounts in cash, and is therefore popular with people travelling, particularly at holiday times. The depositor completes an application for a withdrawal from his account and instead of cash receives a letter of credit, the maximum amount being £50. The letter of credit may be drawn against at any of the 970 branches of the Post Office Savings Bank. The fee payable is 7d. for the first £10 and 3d. for each additional £5 or part thereof.

During the year ended 31 March 1954, 6,053 letters of credit were issued, the value of these being £188,953.

SCHOOL SAVINGS BANK.—The school savings bank scheme was introduced in 1934 with the object of encouraging thrift amongst young people. The aim of the scheme is to promote the habit of regular banking every week, so that upon commencing work the depositor will transfer his account to the Post Office Savings Bank and continue his weekly bankings out of his wages or salary.

Each depositor has a pass book, and the lodgment of deposits is made to teachers at the school, the cash and deposits slips being handed in later at the Post Office. Separate accounts for each depositor are held at the savings bank ledger office nearest to the school, and depositors may make withdrawals on demand. Interest is payable at ordinary Post Office Savings Bank rates.

Over the twenty-one years of operation depositors have banked over £1,800,000 and received £97,790 in interest. During the calendar year 1954 there were 1,380,438 deposits totalling £254,840. Since the inception of the scheme more than 97,000 children have transferred their School Savings Bank Accounts to the Post Office Savings Bank to form the nucleus of adult savings accounts.

A table showing the transactions in school savings bank accounts during the last eleven years is appended.

Year Ended 31 DecemberNumber of Schools Operating at End of YearTotal Number of Deposit Transactions During YearTotal Amount of Deposits During YearTotal Number of Withdrawal Transactions During YearTotal Amount of Withdrawals During Year*Excess of Deposits Over WithdrawalsInterest CreditedTotal Amount to Credit of Depositors at End of Year

* Includes amounts transferred to Post Office Savings Bank.

   £ ££££
19441,045454,84571,50510,84646,44125,0643,622171,780
19451,089454,60274,8549,80951,59823,2564,237199,273
19461,133465,15079,20810,60156,33022,8784,769226,920
19471,170490,14182,05711,07265,50616,5515,396248,867
19481,193485,80684,32511,87671,78512,5405,804267,211
19491,402672,489122,17810,62094,10928,0696,682301,962
19501,300793,494142,31420,765100,12542,1897,594351,745
19511,395881,768168,24718,341107,99660,2518,862420,858
19521,5101,026,433187,22418,850123,67163,55310,529494,940
19531,6251,210,671218,55121,906135,37583,17612,593590,709
19541,6901,356,836254,84026,220180,54674,29414,749679,752

On 31 December 1954 there were 145,001 School Savings Bank accounts open.

TRUSTEE SAVINGS BANKS.—There are five trustee savings banks—viz., Auckland, established in 1847; New Plymouth, 1850; Dunedin, 1864; Invercargill, 1864; and Hokitika, 1866. The total amount to the credit of depositors at 31 March 1954 was £41,131,521, representing an average account of £109 5s. 5d. Figures for the last eleven years are as follows.

Year Ended 31 MarchNumber of Depositors at End of YearTotal Amount of Deposits During YearTotal Amount of Withdrawals During YearExcess of Deposits Over WithdrawalsInterest CreditedTotal Amount to Credit of Depositors at End of Year

* Excess of withdrawals over deposits.

  £££££
1944307,22411,013,2588,863,7412,149,517443,98220,913,748
1945320,37211,228,4249,865,1831,363,241496,72122,773,710
1946329,34815,954,29612,054,0443,900,252580,10627,254,068
1947335,82117,306,05114,698,4462,607,605678,05130,539,724
1948343,14916,136,82215,622,395514,427723,79531,777,946
1949350,35315,994,13015,748,223245,907746,82432,770,677
1950354,87917,615,74616,234,2801,381,466790,83434,942,977
1951359,78020,720,02119,609,8421,110,179839,48536,892,641
1952365,70122,937,10622,372,933564,173877,23538,334,049
1953371,40422,645,06323,011,838−366,775*886,39138,853,665
1954376,42724,320,57422,958,1391,362,435915,42141,131,521

NOTE.—This statement does not include national savings investment accounts.

The following table shows the results of the transactions, exclusive of national savings investment accounts, of each of the trustee savings banks during the twelve months ended 31 March 1954.

BankNumber of Depositors at End of YearTotal Amount of Deposits During YearTotal Amount of Withdrawals During YearExcess of Deposits Over WithdrawalsInterest CreditedTotal Amount to Credit of Depositors at End of Year

* Excess of withdrawals over deposits.

  £££££
Auckland252,30513,702,30512,880,380821,925574,40125,617,257
New Plymouth27,0521,579,4701,494,53584,93574,2053,208,486
Hokitika3,066129,592130,089−497*10,360452,650
Dunedin56,7172,980,7282,818,681162,047139,6386,020,059
Invercargill37,2875,928,4795,634,454294,025116,8175,833,069
    Totals376,42724,320,57422,958,1391,362,435915,42141,131,521

Following is a summary of trustee savings banks' assets at 31 March 1954. The total assets include an amount of £7,646,049 securing National Savings depositors, of which £7,586,784 is invested in New Zealand Government securities and £59,265 held in cash.

BankMortgagesNew Zealand Government SecuritiesLocal Authority DebenturesCash in Hand and at BanksTotal (Including Other Assets)
 £££££
Auckland6,336,86320,204,2282,967,4781,827,45831,739,102
New Plymouth1,361,4742,780,841157,493311,0014,682,768
Hokitika233,448209,32414,37448,549510,883
Dunedin2,202,0234,779,950558,599524,7758,165,270
Invercargill1,239,9283,379,5051,157,929599,7556,459,400
    Totals11,373,73631,353,8484,855,8733,311,53851,557,423

The Trustee Savings Banks Act 1948 consolidated all previous legislation dealing with trustee savings banks.

NATIONAL SAVINGS.—The National Savings Act 1940 made provision for the issue of savings bonds, in denominations of £1, £10, and £100, and the opening of special savings accounts with the Post Office and the Auckland, New Plymouth, Dunedin, and Invercargill trustee savings banks. Investments are for a term of five years in the case of bonds, while moneys deposited in savings accounts are repayable according to the investment period, although the Act makes provision for the withdrawal of moneys before the due date of repayment on the grounds of hardship, emergency, etc. All amounts lodged prior to 30 June 1943 were repayable on 30 June 1945; amounts invested between 30 June 1943 and 30 June 1944 on 30 June 1946; and likewise for later years. These investments bear interest at the rate of 3 per cent per annum, but National Savings Bonds purchased on or after 1 September 1953 bear interest at the rate of 3½ per cent per annum. The Finance Act 1952 increased from £1,000 to £2,000 the amount that may be deposited in a National Savings Account in any year ending 30 June.

The following table gives particulars of deposits, withdrawals, etc., in regard to national savings accounts from the inception of the scheme to 31 March 1954.

Year Ended 31 MarchDepositsWithdrawalsInterest to 30 June, Previous YearAmount to Credit of Depositors

* Six months only.

 ££££
1941*718,077460..717,617
19422,476,2079,44810,0633,194,439
19432,425,20425,25571,6755,666,063
19447,257,53863,815150,47513,010,261
19457,267,398178,445357,73320,456,947
19467,607,4131,706,754559,77526,917,381
19476,175,3682,306,164773,26031,559,845
19487,285,4233,680,450905,43936,070,257
19497,032,1193,943,0791,037,92140,197,218
195010,576,7074,281,5881,178,81047,671,147
19519,468,6025,311,3711,385,69953,214,077
195210,973,7606,511,4001,541,63259,218,069
195310,419,3438,426,5491,719,57562,930,438
195410,328,8359,629,5951,839,43765,469,117
    Totals100,011,99446,074,37311,531,494 

The next table gives particulars of national savings bonds sold and redeemed during the same period.

Year Ended 31 MarchValue of Bonds SoldValue of Bonds Redeemed
 ££

* Six months only.

1941*611,709..
19422,786,299..
19431,356,301..
19443,121,859..
19452,609,105..
19461,313,723520,596
1947457,0412,089,396
1948492,6972,936,265
1949434,6873,169,870
1950457,7672,420,800
1951499,2221,643,899
1952536,582618,900
1953219,005711,785
1954359,668555,376
    Totals15,255,66514,666,887

COMPANY, ETC., DEPOSITS.—Statistics of deposits with building and investment societies and trading companies were compiled from returns furnished to the Treasury up to 31 March 1947. The requirement to furnish returns was abolished by the Finance Act 1951.

SUMMARY OF BANK DEPOSITS.—In the preceding paragraphs statistics of deposits with various classes of banking institutions are shown. It is of interest to show the position in summary form in respect of all classes of deposits (other than Government deposits and trading bank deposits with the Reserve Bank).

 As at End of March 1954
 £

* Includes £18,340,660 wool retention moneys and approximately £2,500,000 of ordinary deposits from Trustee Savings Banks.

Deposits with Reserve Bank (excluding Government and trading banks' deposits)5,261,207
Deposits with trading banks (excluding Government)279,359,332*
Deposits with Post Office Savings Bank205,921,812
Deposits with school savings bank accounts574,366
Deposits with trustee savings banks41,131,521
Deposits in national savings accounts65,469,117
    Total£597,717,355
Per head of population£286 6s. 0d.

The above deposits are bank deposits only. It should be noted also that other classes of deposits exist—e.g., the Common Fund of the Public Trust Office, deposits with building and investment societies, and with trading companies.

VOLUME OF MONEY IN CIRCULATION.—The following information, which has been published by the Reserve Bank of New Zealand, sets out in detail the changes that have occurred in the amount of money in circulation in the form of coin, notes, and demand deposits of the Reserve Bank and of the trading banks. The first table shows the volume of such money as at the last balance day in January of each of the years 1947–55, the figures quoted being in £(N.Z.) millions.

194719481949195019511952195319541955

* Government and other demand deposits at Reserve Bank, excluding trading banks' balances at Reserve Bank.

† Trading banks' total demand liabilities in New Zealand.

 £(m)£(m)£(m)£(m)£(m)£(m)£(m)£(m)£(m)
Coin (estimated)3.03.33.13.33.53.63.74.04.2
Notes held by public39.740.940.944.547.450.352.856.458.0
Demand deposits at—         
  Reserve Bank*15.813.59.69.218.312.68.911.712.4
  Trading banks126.1134.5147.4163.1194.7195.1195.2229.2242.3
    Totals184.6192.1201.0220.0263.9261.6260.7301.3316.9
Change during year+12.6+7.5+8.9+ 19.0+43.8−2.3−0.9+40.7+15.6

The cumulative effect of the changes in the volume of money during the last sixteen years is contained in the following summary.

1939–47 (Eight Years)1947–55 (Eight Years)

* Government and other demand deposits at Reserve Bank, excluding trading banks' balances at Reserve Bank.

† Trading banks' total demand liabilities in New Zealand.

 £(m)£(m)
Coin (estimated)+ 1.7+ 1.1
Notes held by public+28.7+ 18.3
Demand deposits at—Reserve Bank*+ 12.9− 3.3
Trading Banks+89.9+ 116.2
    Totals+ 133.2+ 132.3

The next table shows the causes of the changes in the volume of money that occurred during the period.

Cumulative Movement, 1939–47 (Eight Years)Cumulative Movement, 1947–55 (Eight Years)Movement During Each of Last Three Years
1952–531953–541954–55

* As shown by changes in the Reserve Bank's sterling exchange plus overseas investments and trading banks' assets overseas in respect of New Zealand business, less overseas liabilities.

† Minus sign indicates shift from demand to time liabilities.

‡ Apart from the amount of £600,000 paid in cash by the Government to the Reserve Bank, the adjustments consequent on the exchange rate appreciation neither increased nor decreased the amount of money in circulation in New Zealand in the form of coin, notes, and bank demand deposits, and are therefore not included in the table.

 £(m)£(m)£(m)£(m)£(m)
Overseas transactions*+105.1−26.6+ 1.5+27.4−20.7
Bank credit—     
  Reserve Bank—     
   Advances in New Zealand+ 9.6+52.5+ 5.6− 2.8+ 18.3
   Investments in New Zealand− 2.7+ 10.2+ 14.0− 2.8−22.9
  Trading banks—     
   Advances and discounts+ 10.5+ 100.9−24.0+ 0.5+31.7
   Investments in New Zealand+ 17.5− 1.3− 0.3+ 7.5+ 5.6
Shift from time to demand liabilities of trading banks− 5.6− 2.1+ 2.3+ 2.3− 3.0
Shift into wool retention accounts −14.1+ 6.2+ 5.7+ 5.8
Other items− 1.2+ 12.8− 6.3+ 2.9+ 0.8
Change during period+ 133.2+ 132.3− 0.9+40.7+ 15.6

OVERDRAFT AND DISCOUNT RATES.—The trading banks' minimum overdraft rates and rates of discount, which had for many years been at 6½ or 7 per cent, were reduced to 6 per cent as from 1 September 1932. This was followed by further reductions to 5 per cent from 1 May 1933, to 4½ per cent from 30 November 1934, and to 4 per cent from 1 August 1941.

The Reserve Bank's minimum discount or rediscount rate for New Zealand bills was originally 4 per cent, but was reduced to 3½ per cent from 29 July 1935, to 2½ per cent from 2 March 1936, and to 2 per cent from 29 June 1936. The rate was restored to the original 4 per cent on 19 November 1938, but was reduced to 3 per cent from 6 September 1939, to 2 per cent from 27 May 1940, and to 1½ per cent from 26 July 1941. The rate was increased, however, to 3½ per cent from 12 April 1954, and to 4 per cent on 26 November 1954. Advances to the State—to marketing organizations and for general purposes (Treasury bills or overdrafts) have been at 1 per cent from 22 February 1946.

DEPOSIT AND INTEREST RATES: Trading Banks.—The following is a schedule (since June 1912) of the rates paid by the Associated Banks in New Zealand for moneys lodged on fixed deposit.

Date Operative FromThree Months and Under Six MonthsSix Months and Under Twelve MonthsTwelve Months and Under Twenty-four MonthsTwenty-four Months and Upwards
 Per CentPer CentPer CentPer Cent
1 June 1912..24
20 January 192134
20 June 19214
11 December 19264
9 May 192745
9 July 19284
1 February 19305
22 April 193045
1 August 19314
1 June 193234
2 December 19323
11 July 193323
5 July 19342
2 November 1934
18 September 1940¾
17 July 1941¾2

Post Office Savings Bank.—Following is a statement of the interest rates payable in respect of Post Office Savings Bank deposits since 1914.

Date Operative FromAmount of Deposit
£1-£300£301-£500£501-£1,000£1,001-£2,000£2,001-£5,000

* Rate in existence on 1 January 1914.

† See paragraph following.

 Per CentPer CentPer CentPer CentPer Cent
1 January 1914*544Nil.Nil.
1 January 192144
1 April 192844
1 August 1931
1 April 19333333
1 August 1933333
1 August 193433
1 March 193533Nil.
1 August 19413322Nil.
1 June 194222Nil.
1 September 195222

Prior to 1 January 1914 the maximum deposit in the Post Office Savings Bank on which interest was payable was £600; but on that date the maximum was raised to £1,000. Between 1 January 1921 and 1 April 1928 interest was allowed on deposits up to a maximum of £5,000, but from the latter date the maximum deposit on which any interest was payable was £2,000. In respect of deposits lodged prior to 1 April 1928, however, interest at 3¼ per cent on the excess over £500 was still allowed up to a maximum deposit of £5,000. The rate on the amount between £500 and £5,000 was reduced to 3 per cent from 1 April 1933, on the amount exceeding £1,000 to 2¾ per cent from 1 August 1933, and on the excess over £500 to 2½ per cent from 1 August 1934, and to 2 per cent from 1 August 1941. From 1 March 1935 to 31 August 1952 interest was not payable in respect of the excess above £2,000 in any account, but from 1 September 1952 interest at the rate of 1½ per cent was made payable on amounts over £2,000 to £5,000.

Trustee Savings Banks.—Under the provisions of the Savings Banks Act 1908, which applied to trustee savings banks only, these banks were required to pay interest at the rate of 5 per cent on deposits of £1 and upwards, but not on fractions of £1 or on amounts of under £1. The maximum amount of deposits on which interest was to be paid was fixed at £100 for each depositor; but by the Finance Act 1921–22 the maximum was raised to £200. It remained at this figure until 1 July 1945, when it was raised to £500. The banks were empowered to reduce the rate of interest, with the consent of the Governor-General, after three months' notice given by an advertisement published in the Gazette. These provisions were continued by the Trustee Savings Banks Act 1948, which repealed the Savings Banks Act 1908.

In the National Expenditure Adjustment Act 1932 provision was made for the fixation by the Governor-General in Council of the maximum rates of interest payable by trustees of savings banks. Ruling rates immediately prior to July 1932 varied between 4 per cent and 4½ per cent; but, by Order in Council, the maximum interest payable was reduced to 3¾ per cent as from 1 July 1932, and to 3 per cent as from 1 April 1933. A further reduction to 2½ per cent was made as from 1 June 1942. The 1948 legislation, which replaced the above authority, gave power to the Governor-General to fix from time to time the rates of interest to be paid on deposits, and also provided that different rates may be fixed with respect to different classes of deposits.

Company, etc., Deposits.—Authority was taken in the National Expenditure Adjustment Act 1932 to fix by Order in Council the maximum rates of interest payable on deposits with stock and station agents, trading companies, and building and investment societies. Changes made in the maximum rates of interest since 1932 are given on page 529 of the 1947–49 Year-Book. The maximum rates from 18 December 1952 for stock and station agencies and trading companies range from 1½ per cent at call and under three months to 3½ per cent for four years and over, and for building and investment societies from 20 November 1952 from 1½ per cent at call and under three months to 3½ per cent for four years and over; the latter range was extended from 29 April 1954 to 3¾ per cent for deposits for not less than five years, and 4 per cent for not less than seven years. For the savings department of the latter class the rate is 2½ per cent.

Other Deposit and Interest Rates.—It is of service at this stage to mention briefly the interest rates payable in respect of certain other classes of deposits. The highest rate of interest payable on moneys in the Common Fund of the Public Trust Office (see Section 44) was fixed at 3¼ per cent from 1 July 1953, previous reductions having been made from 5¼ per cent in 1928 to 4¾ per cent in 1931, to 4 per cent in 1932, to 3½ per cent in 1933, to 3¼ per cent in 1945, and to 3 per cent in 1949.

Local authorities may also accept deposits (in practice, only for short periods). The present maximum rates of interest (as from 17 July 1941) on such deposits, as fixed by Order in Council are: call and under three months, 1 per cent; three and under six months, 1¼ per cent; six months and over, 1½ per cent.

References to rates of interest on mortgages will be found in Section 33A (Mortgages), while interest on Government debt is referred to in Section 30C (State Indebtedness), and interest on local-authority debt in Section 31 (Local Government).

COINAGE AND CURRENCY: New Zealand Coin.—Section 8 of the Finance Act (No. 2) 1932–33 authorized the Minister of Finance to arrange with the Master of the Royal Mint (in England) for a special issue of silver and bronze coinage of distinctive design for use in New Zealand. Any coins minted in accordance with this arrangement would conform to the standard Mint requirements of weight, fineness, etc., and were given status as legal tender in New Zealand.

The Coinage Act 1933, which came into operation on 1 December 1933, repealed section 8 of the Finance Act (No. 2) 1932–33 and made necessary provisions in respect of silver and of bronze or cupro-nickel coins. The Act contains no provision for the issue of New Zealand gold coins. Section 5 (4) of the Act authorized Proclamations declaring that British coins (other than gold coins) should not be legal tender in New Zealand, and a Proclamation was issued declaring British silver coins not legal tender in New Zealand on and after 1 February 1935.

Arrangements were made under which the Royal Mint agreed to remint free of charge the Imperial and Australian silver coin circulating in New Zealand, replacing it with the New Zealand coin referred to above, and to allow the New Zealand Government the bullion value of the coin not used in making such replacement.

The profit accruing to the New Zealand Government from the recoinage on this basis arises from the fact that the Australian coinage and a proportion of the British coinage then in circulation in New Zealand contained a larger proportion of silver than the new coin under the standard set out in the Schedule to the Coinage Act 1933, which was also the standard governing the production of Imperial silver coin. In addition, the Commonwealth Government agreed to the repatriation at face value of a proportion of Australian coin circulating in New Zealand.

Up to 31 March 1954 New Zealand coins have been received from the Mint of a total face value of £8,251,360. Statistics of the face values of the various denominations of coin received to 31 March 1954, and the value of New Zealand silver coin in circulation at 31 March 1954, are as follows.

 Total ReceivedIn Circulation

* Not available.

 ££
Crown121,505110,891
Half-crown2,585,1001,056,152
Florin2,664,5001,014,592
Shilling940,000586,378
Sixpence749,500543,788
Threepence866,975694,227
Penny261,350*
Halfpenny62,430*

Expenses of the Silver and Bronze Coin Account totalled £48,521 for the year ended 31 March 1954, at which date there was a credit balance of £4,671,247 in the account.

New Zealand silver coinage first came into circulation in 1933, and New Zealand bronze coins were first released for circulation in December 1939.

Restrictions on Import and Export of Currency.—The Customs Import Prohibition Order now prohibits the importation of all coin (other than silver coin which is over one hundred years old) of whatever metal and wherever and whenever minted, and whether or not it is legal currency in New Zealand or elsewhere. Persons arriving in New Zealand are permitted to have with them on arrival silver coin not exceeding £2 in value. The importation of bank notes of the Bank of England, and of bank notes issued by banks in Scotland and Northern Ireland, is prohibited. Persons arriving either directly or indirectly from the United Kingdom are prohibited from bringing with them, in the same ship or aircraft in which they arrive, the following items: gold bullion; money, including bank notes and other currency (other than silver coin not exceeding £2 in value) and postal notes and money orders of New Zealand or of any other country, and including also promissory notes and bills of exchange; securities for money, including bonds, debentures, debenture stock, and Treasury bills, and including scrip or certificates for and documents representing shares, debenture stock, and other stock, and also all other securities for money. The items enumerated are exclusive of promissory notes, cheques, drafts, and other bills of exchange, for sums expressed in sterling currency of the United Kingdom.

The Customs Export Prohibition Order prohibits the exportation of all coin (other than silver coin which is more than one hundred years old) of whatever metal and wherever and whenever minted and whether or not it is legal currency in New Zealand or elsewhere. Persons leaving New Zealand are permitted to take silver coin not exceeding £2; or, if the journey is by direct route (without transhipment) to Great Britain or Ireland, silver coin to the value of £5 may be taken. In addition to the above, the Finance Emergency Regulations 1940 prohibited the taking or sending of any money out of New Zealand except with the consent of the Minister or except in the case of certain transactions especially exempted.

In the cases of both the Export and the Import Prohibition Orders power is vested in the Minister to authorize in writing the variation of the provisions mentioned. Prohibitions mentioned in both Orders have effect in addition to, and not in substitution for, any other prohibition in force relating or applicable to the importation or exportation of any of the items enumerated in the Orders or in any other enactment.

Legal Tender and Issue of Notes.—The Coinage Act 1933 provides that a tender or payment of money, if made in New Zealand coins of current weight, shall be a legal tender to the following extent:

  1. Gold, to any amount.

  2. Silver and cupro-nickel for amounts not exceeding £2.

  3. Bronze for amounts not exceeding 1s.

The position in respect of the bank-note issue in New Zealand was radically altered by the Reserve Bank of New Zealand Act 1933. Section 15 enacted that on and after a date fixed by Proclamation—the Proclamation was signed on 26 January 1934 and fixed the date as 1 August 1934—the Reserve Bank had the sole right to issue bank notes in New Zealand; and thereupon the authority of every other bank to issue or re-issue bank notes was terminated, and such banks were required to redeem their outstanding notes in Reserve Bank notes or subsidiary coin to the extent to which the latter was legal tender. On 1 August 1936 every other bank carrying on business in New Zealand was required to pay over to the Reserve Bank an amount equal to the value of its then outstanding notes issued or payable in New Zealand, and its liability in respect of such notes to the holders (approximately £351,322 in 1955) was assumed by the Reserve Bank. Bank notes not presented for payment within forty years, commencing 1 April after date of issue in the case of Reserve Bank notes, or after assumption of liability (as above) in other cases, are deemed not to be in circulation, and an amount equal to the value thereof must be paid into the Consolidated Fund as if unclaimed moneys. The Unclaimed Moneys Act 1908 provides for the payment to the rightful owner of any moneys paid into the Consolidated Fund under the provisions of the Act.

Reserve Bank notes are constituted legal tender up to any amount. There is a provision in the existing legislation which requires the Bank, on presentation at its head office in Wellington of notes to any amount not less than £1,000, to give in exchange sterling for immediate delivery in London. This requirement may be suspended at the discretion of the Minister of Finance, and actually has been suspended since December 1938. On similar presentation of gold or of sterling for immediate delivery in London, in either case to an amount of £1,000 or more, the Bank must give its notes in exchange therefor. The rate of exchange for the above transactions is fixed by the Bank.

The principal Act required the Bank to maintain a minimum reserve of not less than 25 per cent of the aggregate amount of its notes in circulation and other demand liabilities; but the Reserve Bank of New Zealand Amendment Act 1939 empowered the Minister of Finance to vary or suspend this requirement. Both of these provisions were repealed by the Reserve Bank Amendment Act 1950, and the following provision substituted: “It shall be the duty of the Bank to maintain reserves which, in the opinion of the Board of Directors, will provide a reasonable margin for contingencies, after taking into account prospective receipts and disbursements of overseas funds, and having regard to the economic position within New Zealand.” The definition of the term “reserve" has been amended and now includes—

  1. Gold coin and bullion in the unrestricted ownership of the Bank:

  2. Sterling exchange, comprising (1) deposits at the Bank of England, (2) British Treasury bills of not more than three months unexpired currency, (3) bills of exchange bearing at least two good signatures and of not more than three months unexpired currency:

  3. Net gold exchange, as defined in section 17 (c) of the Act of 1933:

  4. Other exchange—i.e., balances standing to the credit of the Bank at the central bank of any country the currency of which is freely convertible into sterling.

For the purpose of ascertaining the net reserve the amount of the Bank's liabilities in currencies other than New Zealand is deducted from the total of the “reserve.”

The gold coin and bullion holdings of the Reserve Bank are shown in the Bank's books at cost value to the bank. The amending legislation of 1939 permits the Minister of Finance to make a revaluation up to the market value of the fine gold contained in the reserve, the premium resulting from such revaluation to be credited to a special reserve to be held on behalf of the Crown. This special reserve is to be used in such manner as the Minister of Finance may from time to time determine; but up to the present no such revaluation has been made.

The Reserve Bank may not issue bank notes of a less denomination than 10s., except with the authority of the Governor-General in Council. The present issue of notes consists of the following denominations: 10s., £1, £5, £10, and £50.

Notes are issued solely in response to the demands of the public. In assessing likely requirements there are seasonal factors to be considered, as well as basic economic conditions, such as national income, the levels of salaries and wages, changes in price levels generally, and in the total volume of money. In addition, methods and frequency of payments affect the amount to be issued.

Currency Other than Legal Tender.—Neither Australian nor other overseas paper money circulates in New Zealand, presumably on account of the exchange fee charged by the banks on receiving it.

No consideration of the amount of credit currency in use at any moment can overlook the very large proportion of payments made by cheque, mainly upon the trading banks, but also upon trustee savings banks and upon various stock and station agencies which act in this respect for their customers in the capacity of banker. Such cheques usually go direct from the payee to the collecting bank, but occasionally they pass from hand to hand.

Government postal notes (issued in thirty-nine denominations of from 1s. to £1) sometimes enjoy a certain length of life in the form of currency.

EXCHANGE RATES.—Although the movement of gold, whether internally or externally, was unrestricted in years prior to the First World War, certain of the conditions usually considered essential in the full operation of the gold standard were never effective in New Zealand. More correctly, New Zealand was, and still is, upon a sterling-exchange standard. The explanation is that the New Zealand banking system is, not self-contained, in that the banks normally hold a large amount of funds in London. In fact, these London balances are the real regulative factor and the key to the whole New Zealand banking system. The inter-relation between these balances and import control and exchange control is of interest in this respect.

While New Zealand currency was at parity with sterling, except for minor fluctuations above or below parity, no necessity existed for distinction between sterling and New Zealand currency. The latter is entitled to be considered as one of the sterling currencies; but, adopting the convenience of a growing usage, sterling is used herein to refer solely to the currency of Great Britain.

The unusual significance of the exchange rate in the case of New Zealand depends chiefly upon the country's position in regard to overseas trade and to overseas borrowings. The course of development of New Zealand has not reached a stage where the country is fully self-contained, and the external trade per caput is greater than that of almost all, if not all, other countries. Most of this external trade is with the United Kingdom, while the function of London as an international clearing house is also of importance in this connection. New Zealand's borrowings from the London financial market have also been, until the last two decades, upon a high scale, requiring, as noted elsewhere (see State and also Local Authority Indebtedness), considerable annual payments in London.

The regulation of currency exchange is a function of the Reserve Bank, as noted previously. The Finance Act 1934 provides that any appreciation or depreciation of the assets of the Reserve Bank (expressed in the currency of New Zealand) owing to any alteration that may subsequently be made in the exchange rate, while the value of the local currency is not fixed by statute in terms of sterling, shall be credited to or be borne by the Consolidated Fund. In this respect, as already noted, the Consolidated Fund bore those losses incurred as a result of the 1948 adjustment of the exchange rate.

New Zealand and Sterling Exchange.—The relationship of New Zealand currency to sterling gained added significance from December 1929. Prior to that date the New Zealand currency was at virtual parity with British currency, only slight deviations occurring from time to time, but then commenced to depreciate gradually, reaching, in January of 1931, a level of approximately £110 New Zealand = £100 London for telegraphic transfers. At that level it remained fairly stationary until January 1933, when as a result of Government intervention it was abruptly depreciated to a further degree. The relationship existing from 20 January 1933 until the establishment of the Reserve Bank of New Zealand on 1 August 1934, was £125 (selling) and £124 10s. (buying) New Zealand = £100 London for telegraphic transfers.

From 1 August 1934 Reserve Bank quotations for £100 sterling for immediate delivery in London were: buying rate, £124; selling rate, £125. It was intimated that the policy of the Bank would aim at retaining these rates unchanged for a long period unless there occurred marked changes in existing conditions. While prepared to fulfil its statutory obligations, the Reserve Bank did not desire to compete for exchange business, provided adequate facilities were available elsewhere.

Following the statement of the Reserve Bank's policy, the trading banks adopted as from 1 August 1934 a scale of rates representing a reduction of 10s. per £100 on the rates ruling from 20 January 1933 to 31 July 1934. The rates were slightly changed on 21 October 1938, and further changes were made in the selling rate as from 1 December and in the buying rate as from 6 November 1940. During the year 1945–46 the Reserve Bank agreed to certain alterations in the trading banks' on-demand and usance rates.

The position was very materially altered as from 20 August 1948, following on the announcement by the Government on the previous night of the appreciation of New Zealand currency to parity with sterling. The Reserve Bank quotations from 20 August 1948 for £100 sterling for immediate delivery in London were: buying rate, £100; selling rate, £101. Consequential adjustments to the scale of rates of trading banks in New Zealand were also made. The quotations current for New Zealand on London at beginning of March 1955 are given in the following table. On demand and usance buying rates change with changes in the Bank of England discount rate. Since the 1954 issue of the Year-Book, these rates have altered on 17 May 1954, 31 January 1955, and 28 February 1955.

CategoryBuying (on Basis of £(Stg.)100)Selling (on Basis of £(Stg.)100)
Telegraphic transfers (cable)£(N.Z.)100 7s. 6d.£(N.Z.)101
Sterling notes£(NZ.) 97 14s. 9d.£(N.Z.)101
Bills, cheques, and drafts payable on demandAir MailSea MailAir and Sea Mail
 £(N.Z.)99 18s. 9d.£(N.Z.)99 9s. 6d.£(N.Z.)101 0s. 0d.
Bills or drafts 3 days sight£(N.Z.)99 17s. 3d.£(N.Z.)99 8s. 0d.No quotation
Bills or drafts 30 days sight£(N.Z.)99 9s. 6d.£(N.Z.)99 0s. 3d.£(N.Z.)100 19s. 3d.
Bills or drafts 60 days sight£(N.Z.)99 2s. 3d.£(N.Z.)98 13s. 0d.£(N.Z.)100 18s. 6d.
Bills or drafts 90 days sight£(N.Z.)98 14s. 9d.£(N.Z.)98 5s. 6d.£(N.Z.)100 17s. 6d.
Bills or drafts 120 days sight£(NZ.)98 7s. 3d.£(N.Z.)97 18s. 0d.No quotation

On the occasion of the devaluation of sterling in terms of gold and the United States of America dollar in September 1949 it was decided that New Zealand should maintain the value of its currency at parity with sterling.

As most of the export credits in normal times are utilized for financing imports it is advisable to note that the full exchange rate is not operative in respect of dutiable goods. This arises from the fact that, although Customs duties are assessed in sterling, payment of Customs duties is accepted in New Zealand currency without addition of exchange.

New Zealand and Exchange Rates with Other Currencies.—The change in the sterling-dollar parity was followed by a change in the dollar value of a large number of currencies. Some countries maintained the sterling value of their currencies, others maintained the dollar value, and others again altered the exchange value of their currencies in relation to both sterling and the United States of America dollar. In the latter cases there was a consequent alteration in the rate at which New Zealand currency was exchangeable for the currency of the country concerned.

The following table shows exchange rates (since 17 December 1951 the exchange rates have been free to fluctuate within certain limits) for telegraphic transfers quoted by the New Zealand trading banks for various currencies.

New Zealand onAs at 26 February 1954As at 28 February 1955
BuyingSellingBuyingSelling
United States of America (dollars per £(N.Z.))2.80882.77702.78262.7511
Canada (dollars per £(N.Z.))2.70652.67152.74962.7141
France (francs per £(N.Z.))989961984957
Belgium (francs per £(N.Z.))141.66137.17141.32136.83
Switzerland (francs per £(N.Z.))12.2211.9712.2712.03
Pakistan (N.Z. pence per rupee)25.7526.3925.7526.39

The rates applicable for telegraphic transfer to Australia in February 1955 were £(A)124 10s. 9d. buying and £(A)124 selling per £(N.Z.)100.

FINANCE EMERGENCY REGULATIONS AFFECTING BANKING AND CURRENCY.—The Finance Emergency Regulations (No. 2) 1940 of 18 June 1940 took the place of earlier regulations gazetted on 10 April 1940, but they were also more comprehensive. Amendments to the regulations were issued in 1940, 1945, 1946, 1947, 1948, and 1950. The regulations, reprinted in 1953, closely resembled similar legislation passed in the United Kingdom shortly before the New Zealand measures came into force. The regulations prohibited the export of money and securities from New Zealand except with the consent of the Minister of Finance, and required that foreign currency belonging to any New Zealand resident be offered for sale to the Reserve Bank of New Zealand. From August 1948, by the Gold Acquisition Notice issued under the regulations, gold coin and bullion belonging to a New Zealand resident were to be offered for sale to the Reserve Bank. This formal offer must still be made, although from 16 August 1952 New Zealand gold producers or their agents holding gold-dealers' licences were permitted to sell gold overseas on the open market, provided the full proceeds were received by the New Zealand banking system in United States of America dollars, at not less than $35 per fine ounce, and that export formalities had been complied with. Such gold dealers may purchase gold from producers for sale either in New Zealand or overseas on their own account, the Reserve Bank no longer selling gold for local use.

Under the regulations owners of foreign securities were prohibited from dealing with their securities in any way and were obliged to register them with the Reserve Bank within a specified period. A Reserve Bank statement of 30 July 1940 somewhat eased these restrictions by permitting New Zealand residents to deal in overseas securities on the New Zealand register without the prior consent of the Reserve Bank, subject to the companies concerned agreeing to fulfil certain requirements as to returns, etc. As regards overseas securities held by New Zealand residents but registered outside New Zealand, the selling broker was required to obtain the prior consent of the Reserve Bank. Permission to deal in both these classes of overseas securities was subject to the further condition that a form recording the transaction was to be completed by both the selling broker and the buying broker and supplied to the Reserve Bank. Sales of overseas securities to other than New Zealand residents required the special permission of the Reserve Bank, and in all such cases the proceeds received overseas were to be remitted to New Zealand. The change from one form of overseas investment to another in an Australian market was not permitted.

The regulations empowered the Minister to take over any overseas securities for the purpose of strengthening the financial position of New Zealand, at a price not less than the market value at the time of the transfer. The price payable for securities or currency acquired could be in cash, in New Zealand Government stock, or in a combination of both, according to the discretion of the Minister. For gold coin or bullion taken over the vendor had the option of any of these methods of payment.

The regulations were considerably amended as from 9 March 1950, and the present position may be summarized as follows. Every person ordinarily resident in New Zealand who holds or acquires any non-sterling currency or a right to receive non-sterling currency is required to offer it for sale to a bank in New Zealand. This rule applies to bank notes or other currency, postal notes, promissory notes, and free bank deposits. Any such non-sterling currency not actually sold to a bank has to be reported to the Reserve Bank and offered for sale. Fixed deposits have to be reported to the Reserve Bank but not offered for sale. Any non-sterling currency or fixed deposit to which the regulations apply must not be disposed of (other than by way of repatriation through a New Zealand Bank) except with the permission of the Reserve Bank. Prior to 9 March 1950 this provision applied also to sterling-area currencies. Now “invisible" receipts and private holdings of sterling area currency are free from control.

The regulations also provide that non-sterling securities owned by persons ordinarily resident in New Zealand are to be declared to the Reserve Bank by their owners, and are not to be sold or transferred without the prior consent of the Reserve Bank. Prior to 9 March 1950 this applied also to sterling-area securities, but these are now free from control.

It should be noted that the proceeds from the sale of exports under licence must still be sold to a bank in New Zealand. Information concerning import and export control is contained in Section 10A. It is also an offence to engage in transactions involving the conversion of New Zealand currency into the currency of any other country at other than the official rate of exchange.

Certain data in respect of overseas funds held privately by New Zealand persons at 1 November 1949 and totalling £(N.Z.)39,222,000 were given on page 699 of the 1951–52 issue of the Year-Book.

Further sections of the original regulations, although some do not directly affect banking and currency, empowered the Minister to require contributions to war loans; prohibited, without his consent, the formation of companies, building societies, etc., or the increase of capital or issues of securities by existing companies; regulated the issue of capital other than by a local authority; and empowered the Minister, as he deemed necessary in the public interest, to control advances for industrial purposes.

Amending regulations issued on 22 May 1946 provided that the consent of the Minister is not required for the formation of a company where the nominal capital does not exceed £10,000, or for an increase of capital of an existing company where the amount of the increase, together with the amounts of all other increases or issues of securities made within one year before that increase, does not exceed £10,000.

Chapter 33. SECTION 33—INVESTMENT AND FINANCE

33 A—MORTGAGES

MORTGAGE LAW.—Under the Property Law Act a “mortgage" is defined as including a charge on any property for securing money or money's worth; and “mortgage money” means money or money's worth secured by a mortgage. Under the Land Transfer Act “mortgage" means and includes any charge on land created under the provisions of that Act for securing—

  • The repayment of a loan or satisfaction of an existing debt;

  • The repayment of future advances, or payment or satisfaction of any future or unascertained debt or liability, contingent or otherwise;

  • The payment to the holders for the time being of any bonds, debentures, promissory notes, or other securities, negotiable or otherwise, made or issued by the mortgagor before or after the creation of such charge;

  • The payment to any person or persons by yearly or periodical payments or otherwise of an annuity, rent-charge, or sum of money other than a debt.

Where the ownership of land is registered under the Land Transfer Act (as, see Section 18A, the great majority of land titles now are) mortgages on that land are granted by virtue of the provisions of that Act: they take effect as securities and do not operate as transfers of the estate or interest charged. In the case of other land or property a mortgage is granted under what is known as the deeds or deeds-registration system; the mortgage in this instance operating as a conveyance or assignment of the land or property mortgaged, for the mortgagee becomes the registered proprietor of the land, subject to the right of the mortgagor to have the property re-registered in his name on the discharge of his obligations under the mortgage. Although in form a mortgage under the deeds system is a conveyance, in equity it is treated as merely a charge on the land.

Property That May be Mortgaged.—Any land covered by the definitions of “land" in the Property Law Act 1952 and the Land Transfer Act 1952 may be mortgaged. Where, however, property is subject to restrictions upon alienation, these restrictions usually apply to prevent such property being mortgaged. The following are the main instances in which mortgage of property is forbidden by law:

  • Family homes registered under the Family Protection Act 1908.

  • Maintenance moneys under the Family Protection Act 1908.

  • Inalienable life annuities (Inalienable Life Annuities Act 1910).

  • Pensions under the War Pensions Act 1954.

  • Monetary benefits under the Social Security Act 1938.

  • Property subject to restraint upon anticipation, unless by consent of the Supreme Court.

  • Property subject to restraint upon alienation in accordance with section 33 of the Property Law Act 1952.

  • An infant's property, by the infant (Infants Act 1908, sections 12 and 13), unless the approval of the Magistrates' Court under the Statutes Amendment Act 1951, is obtained.

Redemption.—A memorandum of discharge vacates the mortgage debt and operates as a deed of reconveyance of the estate and interest of the mortgagee in the mortgaged property “to the person for the time being entitled to the equity of redemption"; but the mortgagee may execute a deed of reconveyance” if he thinks fit and the mortgagor requires it.” The Public Trustee is empowered to receive mortgage moneys on account of absentee mortgagees, and in the case of a deed of mortgage to execute the necessary memorandum of discharge. Alternatively, application may be made to the Supreme Court, and the production of a certificate from the Registrar of the Supreme Court shall operate, upon registration, as a discharge of the land from the mortgage debt. A mortgagor may redeem in the following cases:

  • Before the due date, on payment of interest for the unexpired term of the mortgage. A special provision in the Mortgagors and Lessees Rehabilitation Act extends the powers of a mortgagor to redeem in certain cases before the due date.

  • At the due date, in accordance with the provisions of the mortgage.

  • After the due date, upon giving three months' notice in writing or paying three months' interest in lieu of notice, except where the mortgagee is or has been in possession or has taken steps to enforce his security, in which case the mortgagor may redeem at any time upon payment of all moneys due.

  • After default and before sale by the mortgagee. If the mortgagee has entered into possession of mortgaged land or part of it not held under the provisions of the Land Transfer Act 1952, the mortgagor loses his right of redemption after twelve years from the date of the mortgagee's entering into possession, or after twelve years from the last written acknowledgment of the mortgagor's title or of his right to redeem.

Earlier legislation abolished what was formerly known as the doctrine of consolidation of mortgages. Where a mortgagor is liable under more than one mortgage he may now pay off one mortgage without being called on to pay off any mortgage or mortgages on property not comprised in the mortgage he is paying off.

Rights of Mortgagee.—Under New Zealand law a mortgagee has no power of foreclosure in respect of realty. The following represent his principal rights:

  • He is entitled to the custody of the title deeds of the property mortgaged.

  • He may sue on the personal covenant contained in the mortgage deed.

  • He may enter and take possession. This right is exercisable either by actually entering upon the land or a part of it or by bringing an action for possession. At least one month's notice of the intention to exercise the right must be served on the owner for the time being of the land subject to the mortgage. If there is a tenant whose rights are binding on the mortgagee, the latter can give notice to the tenant to pay the rent to him, and this will be equivalent to taking possession.

  • He may assign his interest, either absolutely or by way of submortgage.

  • He may sell, either under the express powers (if any) in the mortgage deed, or under powers implied by statute, if these have not been negatived in the deed.

  • Instead of selling, as above, a mortgagee entitled to exercise his power of sale may apply to the Registrar of the Supreme Court to conduct the sale. The mortgagee must state in his application the estimated value of the land, and the date of the sale must be not less than one month and not more than three months from the date of the application. He may bid at the sale and become the purchaser of the land, but in such case the amount paid for the land shall not be less than the value of the land as estimated. If it is, the mortgagor must be allowed in account the full amount of the estimate. As in the case of the right to enter and take possession, no power of sale shall become exercisable unless at least one month's notice of the contemplated action has been served on the owner of the land.

SUMMARY OF MORTGAGES REGISTERED AND DISCHARGED.—A table is given showing the amount represented by mortgages registered and discharged during each of the last twenty-one years.

Year Ended 31 MarchMortgages RegisteredMortgages Discharged
NumberAmountNumberAmount
  £ £
193412,7257,802,85311,1009,086,847
193515,14211,845,63414,72413,732,853
193619,11816,227,05818,57817,553,233
193722,31819,697,06421,82219,799,186
193824,04319,008,18423,62919,344,030
193925,18420,041,44622,94316,594,825
194022,63217,621,11220,69414,101,049
194121,66016,267,27422,89715,933,724
194220,66714,549,55522,57715,098,801
194317,07512,140,51323,70816,679,795
194419,92815,596,79027,16120,029,988
194521,21218,099,86127,41421,012,079
194624,51622,519,12229,17423,313,916
194729,88231,088,75032,23425,947,489
194829,89332,041,08529,00225,396,004
194929,57835,298,60026,64223,375,257
195030,35236,005,52226,09323,101,350
195143,87545,819,69135,50332,266,362
195249,84067,961,35537,92637,264,157
195350,63373,713,01134,16031,400,871
195452,80670,377,86036,72836,012,215

The figures given in the preceding table have been adjusted to exclude duplicate registrations—i.e., cases in which a mortgage has been registered in more than one district. It should also be noted that the figures include collateral mortgages and guarantee mortgages not representing money indebtedness. On the other hand, no amount is shown as secured in a proportion of cases where a mortgage is given in anticipation of advances, etc. In addition there are numbers of privately arranged advances which are not registered: and stock and crop liens, bills of sale, and instruments under the Chattels Transfer Act are not included in the statistics.

Many discharges are not registered, particularly in the case of leaseholds and also of second or other further mortgages when the power of sale has been exercised by the first mortgagee. The figures for discharges are further affected by the high proportion of table mortgages. This is particularly so in cases where the mortgage is approaching maturity, since the whole amount remains on the register until finally discharged, despite the fact that the original amount of indebtedness has been considerably reduced.

MORTGAGES REGISTERED.—The total amount for which mortgages were registered, both under the deeds-registration system and under the Land Transfer Act, in each registration district during the last five financial years is given in the next table.

District1949–501950–511951–521952–531953–54
 £££££
North Auckland12,462,67215,593,14426,319,76929,399,41016,642,582
South Auckland10,154,895
Gisborne670,627743,5111,649,6521,265,5961,509,329
Hawke's Bay2,252,8452,420,9133,989,8903,410,5173,872,392
Taranaki1,476,3191,709,5363,701,1812,895,0063,430,343
Wellington7,243,9269,993,70213,803,33114,594,91113,160,170
Marlborough532,115549,056718,815871,6411,047,542
Nelson1,026,2061,275,3792,049,5882,036,7941,691,067
Westland278,687299,732395,683553,133425,625
Canterbury5,486,7906,929,14410,948,4009,763,1109,970,160
Otago2,749,0424,261,9965,924,1996,292,3975,154,175
Southland1,869,5752,279,6163,678,6123,649,9663,852,644
  Gross totals36,048,80446,055,72973,179,12074,732,48170,910,924
  Duplications43,282236,0385,217,7651,019,470533,064
  Net totals36,005,52245,819,69167,961,35573,713,01170,377,860

Following on the exemption from control of the sale of all lands, other than farm lands, in February 1950 and of farm lands in November 1950 there was a marked increase in mortgage registrations in 1950–51, the total of £45,820,000 exceeding that of the previous year by £9,814,000 or 27.3 per cent. The high figures of the post-war years have also been contributed to in some measure by the registration of mortgages in respect of rehabilitation assistance granted to ex-servicemen. In 1951–52, the first full year following upon the lifting of controls on the sale of land, the number and amount of mortgage registrations reached the high level of 49,840 and £67,961,000 respectively, and there was a further increase to 50,633 and £73,713,000 respectively in 1952–53. The number increased to 52,806 in 1953–54, but the value fell slightly to £70,378,000.

Of the net total of £70,378,000 registered in 1953–54, only £530 was in respect of mortgages under the deeds system. In recent years this amount has fallen to negligible proportions as a result of the passing of the Land Transfer (Compulsory Registration of Titles) Act 1924, which provided for the bringing of all land titles under the provisions of the Land Transfer Act. This work has been practically completed, although there are a few titles that it has been considered unwise to deal with at the present owing to grave doubts as to ownership or for some other reason (see Section 18A).

Classification by Amount.—Of the gross total of £70,910,000 represented by mortgages registered under the Land Transfer Act during the financial year 1953–54, mortgages under £500 in value represented 4.0 per cent of the total; from £500 to £999, 7.5 per cent; £1,000 to £1,999, 31.3 per cent; £2,000 to £2,999, 15.9 per cent; £3,000 to £3,999, 5.9 per cent; £4,000 to £4,999, 5.0 per cent; £5,000 to £7,499, 9.3 per cent; and from £7,500 and over, 21.3 per cent. The following table gives the number and amount for town and suburban and country properties according to sum secured.

Amount GroupTown and SuburbanCountryAll Properties
NumberAmountNumberAmountNumberAmount
£    £ £ £ £
Under 5009,6202,522,6061,048324,44310,6682,847,049
500– 9995,5294,414,5691,043875,1976,5725,289,766
1,000–1,99911,94319,393,0281,7662,826,94913,70922,219,977
2,000–2,9993,6388,492,2731,0562,755,2784,69411,247,551
3,000–3,9995141,840,2736382,316,2911,1524,156,564
4,000–4,999187866,1935682,646,7107553,512,903
5,000–7,499145884,3579205,682,5001,0656,566,857
7,500 and over2023,852,48986411,217,2381,06615,069,727
Unspecified9,078..4,074..13,152..
  Gross totals40,85642,265,78811,97728,644,60652,83370,910,394
  Duplications16192,18511340,87927533,064
  Net totals40,84042,073,60311,96628,303,72752,80670,377,330

Excluding mortgages for which no amounts were shown, the average amount for each mortgage registered in 1953–54 was £1,787 as compared with £1,737 in 1952–53.

Mortgages on Urban and Rural Securities.—Figures are available in the case of land-transfer mortgage registrations showing for each registration district the amounts advanced on urban and on rural properties. The distinction is between “town and suburban” and" country” holdings, but sufficient information to permit of a strictly accurate classification on that basis is not always available. Generally, however, mortgages are regarded as town and suburban if secured on properties situated within cities or boroughs or on small holdings in the nature of building allotments which are not definitely distinguishable as country properties. Mortgages classified as town and suburban in 1953–54 were secured on areas averaging just over one-quarter of an acre in extent, as compared with an average area of some 272 acres in the case of “country" securities.

Town and suburban securities accounted for 77 per cent of the number and 60 per cent of the aggregate value of land-transfer mortgages in 1953–54, as compared with 23 per cent and 40 per cent respectively in the case of country properties.

The following table gives mortgages registered in the various districts during the year 1953–54 under the Land Transfer Act.

DistrictTown and SuburbanCountry
NumberAreaAmount SecuredNumberAreaAmount Secured
  Acres£ Acres£
North Auckland11,4252,99211,827,0382,696405,4404,815,014
South Auckland3,7041,0683,731,4002,294460,0596,423,495
Gisborne708238691,502269120,954817,827
Hawke's Bay1,6904331,609,908650276,0252,262,484
Taranaki1,1553211,083,355852181,8912,346,988
Wellington8,6592,0259,390,1501,482477,6053,770,020
Marlborough530256686,569150118,967360,973
Nelson1,0252871,103,60038181,734587,467
Westland31674280,01012235,454145,615
Canterbury6,1601,4876,622,4451,429465,4423,347,715
Otago4,0117953,553,491848380,2291,600,684
Southland1,4734201,686,320804254,9712,166,324
    Totals40,85610,39642,265,78811,9773,258,77128,644,606

An eleven-year summary upon similar lines is also given. Each subsequent year from 1943–44 up to and including 1946–47 witnessed a substantial increase in values for both urban and rural properties, the increase in that year being heavy. The 1947–48 registrations showed little difference from those of the preceding year, though there were considerable increases in both categories for the 1948–49 year. The increase in urban mortgages continued in 1949–50, but with the lifting of the restrictions on the sale of all lands, other than farm lands, in February 1950 the upward movement was accelerated, the increase in 1950–51 amounting to £9,399,000, or 42 per cent, over the previous year, followed by a further substantial increase of £14,721,000, or 46 per cent, in 1951–52 as compared with 1950–51. However, in 1952–53 and 1953–54, although the numbers registered increased slightly, there were declines in the value of urban mortgages. Following the decrease in mortgages on country properties in 1949–50 there was an increase in 1960–51 of £611,000, or 5 per cent, over the 1949–50 year. The restrictions on the sale of farm lands were, however, not lifted until November 1950, and consequently the effect of the lifting of such controls is reflected more in the 1951–52 increase of £12,402,000, or 88 per cent, as compared with the previous year in the amount secured on country properties. This increase continued in 1952–53, when the amount secured was £3,149,000 greater than the 1951–52 total, the 1953–54 total being slightly less.

Year Ended 31 MarchNumberAreaAmount Secured
Town and SuburbanCountryTotalTown and SuburbanCountryTotal
  AcresAcresAcres£££
194419,9034,6681,477,2071,481,8758,701,3216,880,50715,581,828
194521,1615,1791,527,3481,532,52710,542,9487,542,07218,085,020
194624,4836,2971,640,7291,647,02613,987,9678,508,46222,496,429
194729,8607,4672,321,0852,328,55218,399,11613,260,06431,659,180
194829,8768,0142,267,8272,275,84119,103,41813,183,63432,287,052
194929,5707,5602,293,5452,301,10521,503,75213,876,16435,379,916
195030,3537,6072,397,5452,405,15222,630,79213,412,59236,043,384
195143,8849,3732,429,8442,439,21732,029,98214,023,26946,053,251
195249,88210,0212,563,2402,573,26146,750,65926,424,83673,175,495
195350,6589,9662,808,6052,818,57145,158,70729,573,52474,732,231
195452,83310,3963,258,7713,269,16742,265,78828,644,60670,910,394

NOTE.—These figures exclude certain miscellaneous registrations, but have not been adjusted to exclude duplications.

Rates of Interest.—Classified according to the various rates of interest, and including duplicate registrations (to the extent of £1,019,470 in 1952–53, and £533,064 in 1953–54, the amounts in land-transfer mortgages registered were as given below.

Rate Per Cent1952–531953–54
 ££
500..
¼2802,200
1,025..
17/408,000..
½5044,642
250..
¾1002,500
125,43713,554
1⅖100..
27,71022,230
700..
2144,429201,028
2⅛2,140..
210,506111,168
..3,650
312,112,3029,150,649
3⅛..6,253
12,2852,000
33/10..1,198
3⅓..10,147
563,893537,604
3,71111,500
3⅞..8,000
44,129,2863,030,088
41/15..200
41/12155..
41/105,8193,300
4⅛11,264,16812,139,469
4⅕169,9801,720
5,276,4411,016,323
4⅓4,028500
4⅜10,9052,025
18,075,6898,820,427
411/20..12,500
4⅗..14,593
4⅝11,05036,800
4⅔8,820..
1,123,096886,454
4⅘1,530..
4⅞..90,545
511,812,66721,685,164
51/10900..
5⅛1,2856,175
5⅙2,500..
5⅕..600
168,20299,943
53/10..425
928,4431,536,199
41,45073,535
61,175,1022,151,044
61/10100430
6⅛2,164..
55,38831,040
6⅓..900
481,028330,161
6⅔..1,000
6 4/31,90018,000
6⅘2,200..
7621,309852,469
7⅛1,700..
7⅕..1,350
10,000..
46,59071,687
7⅝..11,844
..3,500
8173,393149,629
6,300..
4,8255,910
914,59040,711
9⅛2,825..
9⅕1,149..
..2,400
1081,146128,259
114501,100
121,650..
12½2,385..
131,705..
133/101,500..
151,060..
20..117
25..365
30443..
36100..
Unspecified5,890,9437,573,170
    Totals74,732,23170,910,394

A further classification of the 1953–54 figures in the preceding table is now given, showing the various rates of interest for town and suburban and country properties.

1953–54
Rate Per CentTown and SuburbanCountry
 ££
¼2,200..
½9003,742
¾2,500..
17,1156,439
7,33514,895
262,597138,431
51,40059,768
9002,750
35,062,3964,088,253
3⅛1,2535,000
2,000..
33/101,198..
3⅓..10,147
94,815442,789
2,0009,500
3⅞..8,000
41,024,2232,005,865
41/15200..
41/103,300..
4⅛8,029,0734,110,396
4⅕1,550170
732,665283,658
4⅓500..
4⅜2,025..
4,801,2874,019,140
411/202,500..
4⅗2,59312,000
4⅝2,11534,685
344,108542,346
4⅞58,06032,485
513,917,2687,767,896
5⅛1756,000
5⅕600..
59,24340,700
53/10425..
1,048,602487,597
38,83534,700
61,342,903808,141
61/10430..
5,10025,940
6⅓900..
200,245129,916
6⅔1,000..
2,00016,000
7456,711395,758
7⅕1,350 
63,9097,778
7⅝..11,844
3,500..
8107,54042,089
5,910..
912,56328,150
2,400..
1069,16259,097
11..1,100
20117..
25365..
Unspecified4,621,7292,951,441
    Totals42,265,78828,644,606

The average rate of interest on new mortgages was maintained at over 6 per cent per annum from 1922 to 1932, but with the advent of the depression period and the effect of the mortgage relief legislation, subsequent years showed decreases. The inclusion of State Advances mortgages from the year 1935–36 onwards has no doubt also had the effect of reducing the average rate, and in addition the advent of rehabilitation mortgages to ex-servicemen in the earlier post-war years and their gradual diminution in more recent years affected the rate. The average rate has shown a rising trend since 1947. The average rate of interest for town and suburban properties for 1953–54 was 4.53 per cent, as compared with 4.42 per cent for country properties. The comparative figures for 1952–53 were 4.33 and 4.24 respectively. Averages for recent years for all properties have been as follows.

Year Ended 31 MarchAverage Rate Per Cent
19444.63
19454.51
19464.10
19473.85
19483.90
19493.98
19503.99
19514.09
19524.15
19534.29
19544.49

The following table shows interest rates of first mortgages on town and rural properties for the years ended 31 March 1952, 1953, and 1954. It should be noted that mortgages registered with no specified rate of interest are excluded from the calculations of average rates.

Year Ended 31 MarchClass of MortgageTotal Town and Rural
TownRural
First FlatFirst TableTotal (Including Other)First FlatFirst TableTotal (Including Other)
Per Cent
19524.414.044.204.353.894.094.15
19534.704.104.334.544.024.244.29
19544.914.334.534.764.214.424.49

The table clearly illustrates the rising trend in interest rates in all classes of mortgages during the period covered.

The next table gives the amount of mortgage money and interest rate of each class of mortgage for the same three years.

Class of MortgageAmount £(000) Year Ended 31 MarchAverage Rate of Interest (Per Cent) Year Ended 31 March
195219531954195219531954
First Flat Town14,46213,64610,6794.414.704.91
First Table Town23,63225,07024,3174.044.104.33
    Totals, Town (including other)40,61941,63737,6444.204.334.53
First Flat Rural8,98010,5438,5154.354.544.76
First Table Rural12,49813,45013,9453.894.024.21
    Totals, Rural (including other)24,33927,20525,6934.094.244.42
    Totals, Town and Rural64,95868,84163,3374.154.294.49

Rates of interest since 1932 have been considerably affected by legislative action. In 1931–32 the financial year immediately preceding the operation of the National Expenditure Adjustment Act, the average rate of interest on mortgages registered was 6.28 per cent, as compared with 4.51 per cent in 1944–45. The sharp fall to 4.10 per cent in 1945–46, and the further fall to 3.85 per cent in the following year, were mainly due to rehabilitation loans granted to ex-servicemen by the State Advances Corporation. The rate of interest charged on rehabilitation loans for residential and farm properties is 3 per cent, and of the gross amount of mortgages registered during the years 1946–47 to 1953–54 no less than 38.4, 36.7, 30.2, 28.0, 22.4, 16.8, 16.2, and 12.9 per cent respectively were at this rate, as compared with only 2.0 per cent in 1944–45. The rise in the average rate in later years probably reflected the gradually decreasing though still substantial proportion of the gross amount which was due to rehabilitation loans. Also the general trend of increased rates of interest on new mortgages is shown by the analysis of the 1953–54 figures. It is of interest to note that in 1931–32 only 10.2 per cent of the specified amount was at rates not exceeding 5 per cent, while no less than 43.3 per cent was at rates exceeding 6 per cent. The corresponding figures for 1953–54 were 91.3 and 2.6 respectively.

A further analysis showing amounts specified by interest rate groups is given below. This table shows that the proportion of new mortgages registered in the higher range of interest rates rose appreciably in 1953–54, especially in the group of over 4½ per cent to 5 per cent.

Year Ended 31 MarchNot Exceeding 3 Per CentOver 3 Per Cent to 4 Per CentOver 4 Per Cent to 4½ Per CentOver 4½ Per Cent to 5 Per CentOver 5 Per Cent to 6 Per CentExceeding 6 Per Cent
Amount
 ££££££
1944158,3581,122,6096,686,8103,987,689529,353300,820
1945456,0051,179,9919,333,2153,069,124420,288398,760
19465,883,0121,838,4477,970,5553,077,333475,215366,029
194712,317,2704,456,5888,043,1712,955,989515,680417,148
194811,999,1684,725,0538,550,2552,584,167942,998606,446
194910,796,4985,057,07911,386,2382,861,779992,820499,543
195010,302,3015,524,79512,748,0672,697,301656,134569,230
195110,558,3456,903,78418,983,5113,780,242798,598880,315
195212,635,3059,838,32834,620,5135,108,7471,642,1041,112,514
195312,533,9834,709,17534,807,18512,957,1632,317,8821,515,900
19549,511,6213,606,79021,983,96422,716,0563,867,9211,650,872
Percentage of Total
 Per CentPer CentPer CentPer CentPer CentPer Cent
19441.28.852.331.24.12.4
19453.17.962.820.72.82.7
194630.09.440.615.72.41.9
194742.915.528.010.31.81.5
194840.816.029.18.83.22.1
194934.216.036.09.13.11.6
195031.717.039.28.32.01.8
195125.216.545.39.01.92.1
195219.515.153.37.92.51.7
195318.26.850.618.83.42.2
195415.05.734.735.96.12.6

The trend in interest rates is further illustrated in the following diagram, which shows also the movement in mortgage registrations. The total amounts indicated in the diagram and in the two immediately preceding tables do not represent the total registrations in the respective years, as mortgages on which the rate of interest was not specified have been excluded.

MORTGAGES DISCHARGED.—After a very long period during which the value of mortgages registered substantially exceeded the amount represented by mortgages released, discharges exceeded registrations for a period of five years commencing with the year 1933–34. In the subsequent three years the reverse position obtained, but, commencing with 1941–42, discharges again commenced to exceed registrations, and continued to do so up to 1945–46, although the margin in that year was not very great. In each of the succeeding eight years registrations exceeded discharges, the difference for each of the last three years being £30,697,000 in 1951–52, £42,312,000 in 1952–53, and £34,366,000 in 1953–54.

The total amount released in 1953–54 was £36,012,000, or £1,252,000 (3.4 per cent) less than the record amount of £37,264,000 discharged in the 1951–52 year.

The total amount of mortgages discharged, including mortgages under the deeds-registration system, for the last four years is as follows.

District1950–511951–521952–531953–54
NumberAmountNumberAmountNumberAmountNumberAmount
  £ £ £ £
North Auckland11,6809,569,10112,86311,832,45212,0439,807,4568,8906,698,760
South Auckland3,8263,566,134
Gisborne677917,837604613,397547637,669634729,942
Hawke's Bay1,6981,776,3191,7251,937,1051,5911,885,7291,6932,235,229
Taranaki1,3791,457,9131,5641,825,1441,3551,362,9641,5611,827,774
Wellington7,4087,703,1497,6788,421,9126,9677,094,6357,3528,285,821
Marlborough423380,137467411,205390306,456431377,707
Nelson1,019696,4911,046771,662915733,696934805,849
Westland326213,897290247,814265195,616273201,146
Canterbury5,2715,034,7665,6175,961,2884,8394,743,7035,4466,046,020
Otago3,8452,905,7454,1613,577,9233,6913,003,1963,7473,108,796
Southland1,7841,615,1061,9201,995,0031,5571,629,7511,9442,198,337
Gross totals35,51032,270,46137,93537,594,90534,16031,400,87136,73136,081,515
Duplications74,0999330,748....369,300
Net totals35,50332,266,36237,92637,264,15734,16031,400,87136,72836,012,215

Details of town and suburban and country discharges for 1953–54 are given in the following table.

DistrictYear Ended 31 March 1954
Town and SuburbanCountry
NumberAreaAmount DischargedNumberAreaAmount Discharged
  Acres£ Acres£
North Auckland6,6641,7124,632,7992,226375,0732,065,961
South Auckland1,9895931,277,3731,837412,9412,288,761
Gisborne391131285,694243129,885444,248
Hawke's Bay1,108288855,419585235,7751,379,810
Taranaki783211630,817778158,3721,196,957
Wellington5,8531,3015,253,2081,499494,5043,032,613
Marlborough295158165,17613690,196212,531
Nelson607161515,19032772,016290,659
Westland20145135,1837221,45565,963
Canterbury3,9579643,195,6141,489510,6132,850,406
Otago2,9635662,046,020784368,7121,062,776
Southland1,170331952,361774259,5781,245,976
Gross Totals25,9816,46119,944,85410,7503,129,12016,136,661
Duplications2..61,3001..8,000
Net totals25,9796,46119,883,55410,7493,129,12016,128,661

33 B—STATE ADVANCES

As early as 1892 the Government commenced the purchase of lands for cutting up for sale or lease to private individuals, and two years later the passing of the Advances to Settlers Act 1894 marked the inauguration of a series of schemes for lending money to settlers, workers, etc., for the purchase of homes, the improvement of farms, and the development of resources and of industries. The schemes varied considerably in detail, but all lay in one of two main classes—those in which the money was advanced on security, and those in which the expenditure was incurred by the Government itself in the first place and recouped from sales or leases. Advances to settlers, workers, and ex-servicemen are the principal examples of the former class, and the purchase of land for settlement (including the settlement of ex-servicemen) is the principal example of the latter.

STATE ADVANCES CORPORATION.—The Mortgage Corporation of New Zealand Act 1934–35 authorized the creation of a Corporation under a Board composed of directors appointed partly by the State and partly by the shareholders of the Corporation.

By the State Advances Corporation Act 1936 the private capital invested in the Mortgage Corporation was cancelled, provision being made for repayment to shareholders in respect of shares held in the Corporation. The capital of the Corporation was maintained at £1,000,000, however, by an investment from the Consolidated Fund, while all securities issued by the Corporation carry a State guarantee. The management of the Corporation is vested in a Board of Directors consisting of a managing director and deputy managing director appointed by the Governor-General in Council, one or more other directors similarly appointed, and an ex officio member (necessarily a Treasury official) appointed by the Minister of Finance. In the exercise of its powers, the Board is enjoined to have regard to any representations that may be made by the Minister of Finance. Every direction in writing given by the Minister is binding on the Board.

The change in administration and the institution of a State guarantee on securities issued by the Corporation represented the major alterations to the pre-existing law. All the functions of the Mortgage Corporation were transferred to the new body, while certain extensions of function were made—e.g., the administration of the Housing Act 1919. The following is a résumé of the principal functions of the State Advances Corporation.

The Corporation administers the State Advances, etc., loans previously transferred to the pre-existing Mortgage Corporation, viz.—

  1. Mortgages in respect of advances to settlers or workers under the State Advances Act 1913:

  2. Mortgages in respect of advances under the Rural Advances Act 1926:

  3. Debentures or other securities vested in the State Advances Superintendent in respect of advances to local authorities under Part III of the Local Bodies' Loans Act 1926, or corresponding provisions of former Acts:

  4. Crown mortgages in respect of advances to ex-servicemen of the First World War under the former Discharged Soldiers Settlement Act 1915 or any amendments thereof (including advances under section 11 of the Finance Act 1933), and now under the Land Act 1948.

In order to provide loan finance the Corporation may issue bonds, stock, or other securities which are State guaranteed.

The Corporation may advance on the security of a first mortgage on land, and normally such advances do not exceed two-thirds of the value of the security, but there is provision for the extension of that margin in certain cases, including the rehabilitation loans referred to later, and for such purposes as the erection of new houses. No loan limit is laid down for cases where the amount of the advance does not exceed two-thirds of the value of the security, but loans over £2,250 are not usually granted on the security of dwellings. In cases where the normal margin is exceeded with the approval of the Government, the Minister of Finance guarantees the Corporation against any loss attributable to the granting of advances in excess of two-thirds of the value of the security. For the purpose of erecting new homes up to 90 per cent of the value of the security may be advanced, and the loan limit for such cases was increased in 1950 to £2,000, including any suspensory loan that may be granted.

A suspensory loan is, in effect, a conditional subsidy towards the cost of building a home for personal occupation. These loans are repayable should the house be sold or otherwise disposed of within seven years; otherwise they are free of interest and will be converted into grants when the seven years have expired. They are limited to 10 per cent of the cost, with a maximum of £200. If the cost is greater than £2,300 the amount of the suspensory loan is reduced by £1 for every £2 by which the cost exceeds £2,300, with no suspensory loan if the amount should fall below £50. Extended cost limits are allowed in the case of families where there are more than two children. As with the increased loan limit, the suspensory loan scheme applied to houses commenced on or after 1 December 1949. The number of suspensory loans of this type approved for the year ended 31 March 1954 was 2,216 involving £360,345, and the total to 31 March 1954 was £1,887,152 in respect of 11,256 loans.

In addition to the above suspensory loan scheme there is a further class of suspensory loan granted to rehabilitation farm applicants, the object of which is to settle the men on a basis comparable with that under the conditions which existed while the Servicemen's Settlement and Land Sales Act 1943 remained in force. During the past year 468 suspensory loans of this type were granted involving advances of £529,005. Since the scheme was put into operation a total of 1,756 such suspensory loans have been authorized, the aggregate amount involved being £1,930,710. In addition, five suspensory loans totalling £973 for payment of gift duty have been authorized. The funds required to meet urban and rural suspensory loans are provided by the Treasury out of the Consolidated Fund, and lump-sum payments are made by the Treasury to the Corporation to meet requirements from time to time. The present position in regard to these loans and the provision made by the Treasury to finance them is as follows.

  ££
Balance due to Corporation at 31 March 1953 113,802 
Advance from Treasury during year ended 31 March 1954  1,250,000
 £  
Loans paid over for the year ended 31 March 1954885,025  
Less repayments during the year52,416  
  832,609946,411
      Balance held on Treasury Account  £303,589

The large majority of the loans granted by the Board are secured by table mortgages for terms varying from ten to forty-five years, but the Board has power to make advances on flat mortgage for a period of five years, though renewals of such mortgages cannot be extended for longer than one further period of five years. There is provision for varying the scheme of table mortgages in special circumstances, part of the mortgage (at least one-half) to be in the form of a table mortgage and the remainder a flat mortgage falling due on the date of the last instalment of the table mortgage.

A mortgagor may be required to effect a policy of life insurance as additional security, such policy to be assigned to the Corporation. A mortgagor may not give any subsequent mortgage or any other charge over land subject to any mortgage to the Corporation except with the written authority of the Board unless the further mortgage or other charge is in favour of the Corporation.

Each mortgagor is required to pay an amount equal to 2 per cent of any mortgage granted by the Corporation as a contribution to the General Reserve Fund. These amounts, which may be borrowed as an addition to the principal sum if so desired, together with the surplus profits referred to below, and certain payments on account of mortgages transferred to the Corporation, form the General Reserve Fund.

The Board is required from time to time to fix the rates of interest to be paid under mortgages to the Corporation, so as to make adequate provision to cover the costs of administration and for all other matters incidental to the proper functioning of the Corporation. After such provision as the Minister of Finance thinks proper has been made for the depreciation of securities or other assets, and for such other matters as in his opinion are necessary for the efficient conduct of the business of the Corporation, the surplus for each financial year is to be paid into the Public Account unless the Minister, in his discretion, authorizes the Board to credit it, in whole or in part, to the General Reserve Fund of the Corporation.

In addition to its primary function of providing cheap long-term finance in the form of first mortgage on property, the Corporation has been authorized to make loans to local authorities out of the Housing Account for the purpose of erecting workers' dwellings or farm dwellings, and also advances to individuals for the development of existing industries or the establishment of new industries.

The Corporation is also authorized to act as agent for other Departments of State, more particularly in respect of the inspection and supervision of properties and the collection of moneys payable to such Departments.

The Corporation acts as the agent of the Rehabilitation Board in obtaining valuations and preparing reports in respect of farm and residential property for submission to the Rehabilitation Loans Committee (or to District Loans Committees acting under delegated authority from the Rehabilitation Loans Committee), which has been appointed to consider and approve of loan applications lodged by ex-servicemen who are eligible for assistance under the Rehabilitation Act 1941. The administration of such loans, when granted, is the subsequent responsibility of the Corporation. The classes of loans granted and the terms and conditions applicable thereto are set out in Section 9B (Rehabilitation). The securities taken in respect of rehabilitation loans for farms or houses are similar to mortgages taken for the purpose of securing advances made under the Corporation's ordinary lending activities, except that the Reserve Fund contribution on advances within the respective loan limits is paid by the Consolidated Fund, which also meets the difference between the Corporation's normal interest rate and the reduced interest rate charged to ex-servicemen. These payments to the Corporation were formerly met from the War Expenses Account which was abolished as from 1 April 1950. In respect of other types of rehabilitation loans such as for businesses and the purchase of furniture and tools of trade the necessary loan finance was also provided from the War Expenses Account. When this account was closed a sum of £500,000 was transferred to the State Advances Corporation for the purpose of granting future loans of this nature. These loans are administered by the Corporation on an agency basis. The form of security taken and the terms as to repayment vary according to the type of loan and the circumstances of the borrower.

A mortgage guarantee scheme was provided for by the State Advances Corporation Amendment Act 1953. This amendment enables the Corporation to guarantee financial institutions repayment by the borrower of the difference between their normal housing loan and 90 per cent of the valuation.

Reference to the Housing Act 1919 and the Government's housing scheme, together with particulars of the numbers of houses erected, financial operations, etc., are contained in Section 25 (Building, Construction, and Housing).

Summary of Activities.—As already indicated, the Corporation, in addition to its normal lending functions, administers a number of other State activities, and a general summary of the business under administration as at 31 March 1954 is as follows.

 Number of AccountsPrincipal Investment
Mortgage investments— £
  Urban54,93059,712,480
  Rural24,04949,652,350
Loans to local authorities9147,083,745
Loans to industries under section 29321,762,758
Housing Account—  
  Dwellings let35,94664,515,353
  Shops, halls, and communal garages204
  Dwellings sold9,28517,941,382
  Loans to local authorities100861,392
  Loans to employers28127,298
Rural Housing Act: Loans to local authorities56194,479
Advances under Rehabilitation Act 1941—  
  Furniture, tools of trade, business, and miscellaneous20,9101,453,570
  Interest-free supplementary loans..1,845,228
Other principal agencies—  
  Agriculture Emergency Powers Act 1934311,430
  Farmers' Loans Emergency Regulations 19404327,465
  Works Department hutments rented to farmers135,599
  Suspensory loans (rural and urban)10,6213,121,411
  Timber-workers' housing—  
   Levies accounts608456,156
   Rental accounts108
Miscellaneous rentals501..
    Totals158,351£208,772,096

Farm loans and residential loans to ex-servicemen under the Rehabilitation Act 1941 are included with “Mortgage investments” above. Particulars of all rehabilitation loan authorizations will be found in Section 9B (Rehabilitation).

Financial.—Balance-sheet figures show that at 31 March 1954 the authorized capital was £1,000,000, while stock and debentures outstanding were £107,722,590, an increase of £12,000,000 in the case of the latter compared with 31 March 1953.

The General Reserve Fund at 31 March 1954 amounted to £7,108,041, and, in addition, there were specific reserves amounting to £2,873,672, making a total of £9,981,713, as compared with £9,399,722 at 31 March 1953.

Mortgages and accrued interest at 31 March 1954 totalled £107,857,846, an increase of £8,264,266 as compared with 31 March 1953, while Government and local authority securities and accrued interest at £7,149,961 were greater by £59,983.

The disposition and appropriation of profits in respect of operations during each of the last three financial years are given in the following table.

 1951–521952–531953–54
 £££
Gross income3,737,4284,143,5794,672,093
Less interest on General Reserve Fund investments202,907214,485234,016
Gross income (mortgage and temporary investments)3,534,5213,929,0944,438,077
Interest on stock and debentures2,501,4852,841,4143,195,593
    Gross profit1,033,0361,087,6801,242,484
Management expenses424,853457,569489,056
Administration of rehabilitation advances96,39287,93480,305
Earthquake insurance18,95822,66726,943
    Net profit492,833519,510646,180
Less reserve for taxes377,492370,000445,000
Less reserve for losses40,22360,583100,503
    Surplus payable to Crown75,11888,927100,677

The gross income of £4,672,093 in 1953–54 included £3,597,796 interest on mortgages and current accounts, £250,603 interest on Government and local authority securities and temporary investments, and £823,584 recovery from the Rehabilitation Department on account of interest concessions to ex-servicemen on rehabilitation advances. Corresponding figures for 1952–53 were £3,153,357, £216,718, and £773,169 respectively.

New Business.—A summary of loan operations (new business) for the last two financial years is given in the following table.

Loans Authorized1952–531953–54
NumberValueNumberValue

* Excludes the number of supplementary and suspensory loans.

Urban securities— £ £
  Erection of dwellings3,3236,245,4384,1158,046,025
  Purchase, refinance, and other purposes6,2868,111,2964,0795,263,839
  Supplementary(1,161)85,910(680)49,990
  Suspensory(2,273)370,628(2,163)351,300
    Totals, urban9,609*14,813,2728,194*13,711,154
Rural securities—    
  Purchase, refinance, and other purposes2,0608,310,6611,6857,400,049
  Suspensory(647)690,165(521)537,050
    Totals, rural2,060*9,000,8261,685*7,937,099
Loans to industry5226,80014,500
Local authorities1161,797,57557878,820
Grand totals11,790*25,838,4739,937*22,531,573

The preceding figures include rehabilitation loans in respect of farms and houses. Other rehabilitation loans granted by the Rehabilitation Loans Committee and administered by the Corporation were as follows.

Loans AuthorizedYear Ended 31 March 1953Year Ended 31 March 1954Total to 31 March 1954
No.ValueNo.ValueNo.Value
  £ £ £
Business428311,138264206,08010,9637,048,277
Furniture3,298316,2672,454236,25059,5575,551,263
Tools of trade14532103691,46948,504
Miscellaneous293,848252,054658130,722
Additional advances28030,44419213,65147244,095
    Totals4,049662,2292,945458,40473,11912,822,861

A statement is given below of the aggregate number and amount of loans approved by the Board of Management since the Corporation commenced business in 1935.

 Number£
Farm (including supplementary and suspensory)18,01768,281,787
Residential (including supplementary and suspensory)80,479102,634,375
Local authorities75110,480,358
Industries411,929,896
    Totals99,288183,326,416

The lending rate of the Corporation was maintained during 1952–53 at 4⅛ per cent. Rehabilitation loans to ex-servicemen for houses and farms were, however, at 3 per cent, reducible to 2 per cent for the first year, and for business loans at 4 per cent, reducible to 2 per cent for the first year. The amount involved in interest concessions of this kind is now recouped from the Consolidated Fund. Loans granted under the Corporation's normal lending business are in general secured by table mortgages for varying periods. The following summary shows the annual cost—i.e., interest and principal payments—per £100 borrowed on table mortgage at 4⅛ per cent for the various periods.

TermAnnual Amount Payable
 £s.d.
Ten years1262
Fifteen years902
Twenty years7710
Twenty-five years690
Thirty years51610
Thirty-five years586
Forty years526
Forty-five years4182

The State Advances Corporation increased interest rates from 22 December 1953 on loans for the purchase of approved urban and rural properties from 4⅛ per cent to 4⅞ per cent. The higher interest rate does not apply to loans for the building of new houses, nor does it affect existing loans.

Special plans prepared by leading architects are available in book form, and assistance in calling tenders and in the erection of the houses is available from the Corporation's technical officers.

RURAL INTERMEDIATE CREDIT.—The Rural Intermediate Credit Board, appointed in terms of the Rural Intermediate Credit Act 1927, provided a source from which farmers could obtain loan finance on favourable terms for such purposes as the purchase of stock and plant and farm improvements.

Pursuant to the provisions of Part VI of the State Advances Corporation Act 1936, the former Rural Intermediate Credit Board went out of office on 1 July 1937, and was replaced by the Board of Management of the State Advances Corporation, whose members became the Rural Intermediate Credit Board.

In terms of the Rural Intermediate Credit Amendment Act 1946 the business of the Rural Intermediate Credit Board was, as from 1 October 1946, absorbed by the State Advances Corporation, the Board being abolished as from that date.

Under the Act farmers may obtain assistance in the following manner:

  1. By borrowing through co-operative rural intermediate credit associations whose formation (with not less than twenty members and with certain defined objects) is provided for by the Act. The application for the loan is received and considered by the association concerned, which, on approving it, applies to the Corporation for its confirmation and for an advance to cover the loan. These loans are repayable on demand, but it has been the policy to arrange for the borrower to repay the amounts advanced in five equal yearly instalments. Extensions beyond that period may be approved in suitable cases. An association may, with the approval of the Corporation, arrange with a bank or other approved financial institution for a loan in cases where the term is not more than six months.

  2. Persons engaged in farming on their own account, trustees, executors, or administrators carrying on farming operations, may obtain loans direct from the Corporation, the conditions being similar to (a) above.

During the twenty-five years from the inception of the Rural Intermediate Credit system up to 31 March 1954 advances exceeding £2,617,882 have been made.

At 28 February 1954 there were eight co-operative rural intermediate credit associations in operation. The loans authorized through this channel during the year 1953–54 amounted to £41,975, and there were 174 loans current at the end of the year for an aggregate amount of £77,811.

The interest fixed for advances other than to co-operative rural intermediate credit associations is 5 per cent per annum, except in the case of ex-servicemen eligible for rehabilitation assistance, where the interest rate is 4 per cent per annum (rebated to 2 per cent for the first year provided the loan conditions are fulfilled). In the case of loans to co-operative rural intermediate credit associations the rate charged is 4 per cent, so that associations may be in a position to make advances to their members at 5 per cent.

SALE OF STATE HOUSES.—In conformity with the Government's policy of encouraging private home ownership, State house tenants are given an opportunity to buy the houses they occupy.

In the case of tenants occupying State rental houses on or before 31 July 1950 the main sale terms are—

  1. A minimum deposit of 5 per cent of the sale price.

  2. A suspensory loan assessed at 10 per cent of the sale price, with a maximum of £200.

  3. A repayment period up to forty years for the balance of the purchase money, together with interest, on an instalment-table basis.

  4. An interest charge of 4⅛ per cent, reduced to 3 per cent while the conditions of sale are complied with.

  5. Discount of 5 per cent for payments of purchase money in excess of the required principal instalments, or in excess of the minimum deposit.

  6. Repayment insurance benefits applicable to all cases where the wage-earner in the purchaser's family is under sixty years at the time of purchase.

  7. If the purchaser wishes to resell the State house within seven years it must first be offered for sale back to the Crown.

The purchase terms available for new State houses occupied since 1 August 1950 are similar to the loan terms for persons erecting new houses (see pp. 820–821). They include—

  1. Suspensory loans.

  2. A minimum deposit of 10 per cent of the gross purchase price or the amount of the purchase money in excess of £2,000, whichever is the greater. Where, however, the financial position of the purchaser warrants, the Board of Management of the Corporation may accept a reduced deposit in such a case.

  3. The balance of the purchase money, together with interest, payable over a period of years on an instalment-table basis.

  4. Interest at 4⅛ per cent.

  5. Provision for the property to be offered for sale to the Crown in the event of the purchaser wishing to resell within seven years.

From the inception of the sale of State rental houses up to 31 March 1954, the number sold to the tenants was 9,077, for a total sale price of £19,374,775.

33 C—BUILDING SOCIETIES

THE law relating to building societies incorporated in New Zealand is contained in the Building Societies Act 1908, which is a consolidation of earlier legislation, most of which had been operative since 1880. The Assistant Registrar of Companies in each district acts as Registrar of Building Societies. Rules, as well as subsequent alterations thereof, must be certified before registration as conforming to legal requirements—by a revising barrister appointed by the Governor-General for the purpose. No stamp duties are payable on documents made under the Act, or generally in respect of building society transactions.

Building societies are afforded all the powers and rights of an ordinary mortgagee, a description of which is contained in Section 33A—Mortgages. No reconveyance is needed to discharge a mortgage made under the Act, a receipt endorsed being a sufficient discharge for this purpose.

Authority was taken in the National Expenditure Adjustment Act 1932 to fix by Order in Council the maximum rate of interest payable on deposits with building societies. Maximum rates payable on these and other deposits fixed by subsequent Orders in Council are given on page 802.

Returns of each society's operations are furnished annually to the Census and Statistics Department.

A distinction is made between permanent and terminating societies. A permanent society is statutorily defined as one which has not by its rules any fixed date or specified result at which it shall terminate, and a terminating society as one which by its rules is to terminate at a fixed date, or when a result specified in its rules is attained. In practice a terminating society, or a group thereof, closes when every member so desiring has obtained a loan. There is a considerable difference between the two types of societies, the terminating society being a purely co-operative institution belonging to and managed by the members, proprietary interests being discouraged by placing a limit to the number of shares (usually ten) that any member may hold in any one group. There is, however, nothing to prevent a member from holding the maximum number of shares in more than one group. In a typical terminating society contributions are at the rate of 1s. per week per share, each share entitling a member in due course to £200 of loan, with a maximum, until recent years, of £1,200. As £1,200 is not sufficient to meet the needs of the average prospective house owner on present-day costs, there is a tendency for the limit to be raised. In some groups of the terminating societies the loan maximum is now £3,000. It is these contributions, together with premiums on loans mentioned later, which make up the funds from which loans are made. Loans are made to members both by ballot and by auction, the latter going for the highest premium offered. Security is required for the loans, which are repaid, free of interest, in periods varying from ten to twenty years. The weekly payment of 1s. per share is continued, usually till the end of the group, but sometimes only until the total contributions paid in, plus profits, credited to the shareholder, equal the amount owing on the loan. The shareholder's credit balance is then transferred to extinguish the loan. The profit of the society is derived from premiums on loans sold by auction.

Permanent societies are more in the nature of finance companies, and, while both investors and borrowers must be members, the borrower is frequently merely a nominal member. Investments in a permanent society may be made in either large or small amounts. Capital may be raised by shares with a fixed rate of interest, or subject to dividends varying according to profits. As will be observed from the statistics which follow, terminating societies do not issue capital shares. Bonds, debentures, deposits, and overdraft are other methods of financing. The principal object of a permanent society is to lend money at a profit on land and buildings, either freehold or leasehold. Table mortgages are normally adopted, the usual term of repayment being up to twenty years. The statistics refer generally to years ending on 31 March.

NUMBER OF SOCIETIES AND SHARES.—The number of societies in existence in 1953–54 was 73, of which 55 were permanent and 18 terminating. The number of permanent societies has shown little variation during the last ten years, but terminating societies have decreased markedly.

Permanent Societies.—The following table shows for the years 1949–50 to 1953–54 particulars of the number of permanent societies, the numbers of shares (distinguishing investing shares from capital shares), and the number of members holding each type of share.

1949–501950–511951–521952–531953–54
Number of societies5656565555
Investing Shares     
Number of shares437,204486,777541,625564,495603,463
Members holding26,15226,84826,86626,97427,090
Aggregate value£4,629,338£5,308,838£5,891,834£6,306,917£6,651,211
Capital Shares     
Number of shares656,075696,614717,753803,829787,324
Members holding5,3635,5865,5815,7025,739
Aggregate value£1,653,272£1,723,701£1,768,028£1,878,759£1,937,957

At March 1954 the average value of each investing share was £11, and the average value of such shares held by each member was £245 10s. The comparative figures for capital shares were £2 9s. and £337 13s.

Terminating Societies.—Although the number of terminating societies has declined (no new societies having been registered for some years), the total membership and value of shares continue to grow. Measured by these criteria, the size of the average existing society has therefore increased greatly in recent years. As stated earlier, one person may hold shares in several groups of a terminating society. The next table shows the progress of terminating societies during the years 1949–50 to 1953–54. It should be noted that the information pertaining to shares relates to investing or contributory shares, there being no capital shares in a terminating society.

SocietiesGroupsMembers Holding SharesInvesting Shares
NumberValue
     £
1949–502526499,150462,3494,793,996
1950–5123280105,972533,2785,636,217
1951–5223296116,832602,4346,666,897
1952–5321308125,077677,9707,816,800
1953–5418317133,421768,4719,150,346

The average value per share in 1953–54 was £11 18s., and the average value of shares held per member was £68 11s. The figures for 1949–50 were, respectively, £10 7s. and £48 7s.

RECEIPTS AND PAYMENTS.—Following is a summary of receipts and payments for all societies during each of the five years 1949–50 to 1953–54.

1949–501950–511951–521952–531953–54
Receipts£££££
Investors' subscriptions and capital shares1,985,4642,234,6872,592,2552,576,5542,829,946
Advances repaid1,869,8862,446,6392,992,1792,727,9183,081,264
Deposits1,326,0761,644,1011,930,1891,693,6582,069,882
Interest480,109501,005533,379568,737627,159
Other receipts413,312524,804404,720437,751465,562
    Total receipts6,074,8477,351,2368,452,7228,004,6189,073,813
Payments     
Withdrawals549,998587,486622,391668,359685,971
Advances3,301,9074,282,7784,883,8404,497,5025,099,243
Expenses of management170,421193,514226,856216,803240,343
Dividends paid84,19694,409102,782105,030108,835
Deposits repaid1,406,2501,598,9621,964,4751,920,3222,029,153
Interest paid136,367150,805177,029185,536196,244
Other payments385,891603,600428,937363,811747,470
    Total payments6,035,0307,511,5548,406,3107,957,3639,107,259

In November 1952 the statutory limitation on maximum interest rates payable on deposits with building societies was raised. To this factor may be largely ascribed the marked increase in deposits and advances during 1953–54. In April 1954 a further increase was allowed in the rate for deposits of five years and upwards, a measure which may be expected to influence further the figures for 1954–55. The ratio of loan repayments to advances was 61.3 per cent in 1951–52, 60.7 in 1952–53, and 60.5 in 1953–54.

LOANS.—The number of borrowers and amount of loans outstanding at the end of each of the five years quoted were as follows.

YearPermanent SocietiesTerminating SocietiesTotal
NumberAmountNumberAmount*NumberAmount

* Includes balance owing on premiums on loans.

  £ £ £
1949–5015,34411,044,05910,3825,302,84625,72616,346,905
1950–5115,57711,842,98411,1456,311,29226,72218,154,276
1951–5215,63612,555,35812,0867,318,47127,72219,873,829
1952–5315,21212,926,30512,7368,606,40027,94821,532,705
1953–5415,23813,536,97114,40910,143,43929,64723,680,410

The average amount owing by each borrower at the end of each of the five years is given below.

Class1949–501950–511951–521952–531953–54
 £££££
Permanent societies720760803850888
Terminating societies511566606676704
All societies635679717770799

Particulars of loans granted during each of the years 1949–50 to 1953–54 follow.

YearPermanent SocietiesTerminating Societies
By BallotBy Auction
NumberAmountNumberAmountNumberAmountPremiums
  £ £ ££
1949–502,5301,910,709812585,0161,156778,271243,468
1950–513,1412,567,611870688,3231,6251,007,267341,424
1951–523,0702,830,6001,023940,1201,7651,138,262394,243
1952–532,3032,087,025803869,7641,2721,377,623433,947
1953–542,7932,753,753824862,7511,2601,386,504496,729

The totals for loans in the above table represent loans granted and differ slightly from the figures shown as advances in the table relating to receipts and payments, where the amounts refer to payments actually made in respect of loans. Including the premiums (which represent total interest payments over the period of the loan), the average amount of loan was £905 in 1951–52, £1,089 in 1952–53, and £1,128 in 1953–54.

The tendency in recent years has been for premium rates to rise in sympathy with the longer average term for loan repayments. In 1952–53 the upward trend was checked, probably because of the discouraging effect of increased building costs, but in 1953–54 a pronounced rise seems to reflect the recent hardening of interest rates generally. The average premium rates during the last three years were: 1951–52, £34.64 per cent; 1952–53, £31.50 per cent; and 1953–54, £35.83 per cent.

Commencing with the year 1937–38, statistics of building societies were extended to include a classification of loans into (1) loans granted to finance the erection of new dwellings, and (2) loans granted to finance the purchase of dwellings already built. For the purposes of the statistics new dwellings are deemed to include those which have been built by the borrower during the twelve months preceding the granting of the loan. Particulars for 1953–54, with totals for earlier years, are given in the following table.

To Finance the Erection of New DwellingsTo Finance the Purchase of Dwellings Already BuiltFor Other and Unspecified PurposesTotals
No.AmountNo.AmountNo.AmountNo.Amount
  £ £ £ £
Permanent societies424580,1721,4061,594,206963579,3752,7932,753,753
Terminating societies—        
By ballot175184,604471527,097178151,050824862,751
By auction351404,637754850,914155130,9531,2601,386,504
Totals, all societies—        
1953–549501,169,4132,6312,972,2171,296861,3784,8775,003,008
1952–539541,071,7562,2772,578,7621,147683,8944,3784,334,412
1951–521,0541,123,6293,1002,891,5701,704893,7835,8584,908,982
1950–511,1431,132,4472,8172,349,3221,676781,4325,6364,263,201
1949–501,0291,016,5601,8971,570,5671,572686,8694,4983,273,996

The latest figures show greatly increased activity on the part of permanent societies, particularly in the purchase of existing dwellings. The higher level of advances follows directly the rise in receipts discussed previously.

It should be noted that loans advanced in 1950–51 and 1951–52 for the purchase of dwellings were stimulated by the removal in 1950 of controls on the purchase price of property.

The considerable number of loans shown for other and unspecified purposes is partly due to the fact that some societies are unable to give the necessary classification, so that it may be taken that the foregoing table understates the number of loans actually granted for the erection or purchase of dwellings.

LIABILITIES AND ASSETS.—The liabilities and assets of building societies for each of the years 1949–50 to 1953–54 are given in the next table.

LIABILITIES

YearTo Shareholders (Including Reserve Funds and Undivided Profits)DepositsAppropriations Not Taken Up, or in TrustTo Bankers and Other CreditorsTotal Liabilities
 £££££
1949–5013,238,0294,035,617857,184877,67119,008,501
1950–5115,045,1803,988,639986,0641,014,48721,034,370
1951–5216,965,7993,805,0791,092,6681,192,98323,056,529
1952–5318,942,0313,675,750925,4861,145,87524,689,142
1953–5421,153,3413,891,2131,373,3491,283,83427,701,737

ASSETS

YearAdvances on Mortgage*Other Investments and AssetsCash in Hand and at BankTotal Assets

* Includes balance owing on premiums on loans.

 ££££
1949–5017,244,1361,462,543301,82219,008,501
1950–5119,214,0551,619,049201,26621,034,370
1951–5221,119,6231,740,064196,84223,056,529
1952–5322,735,8851,767,416185,84124,689,142
1953–5425,344,6612,118,904238,17227,701,737

The ratio of advances on mortgage to total assets has been at a uniformly high level during the last few years, the average figure since 1949–50 being 91.5 per cent.

33 D—JOINT-STOCK COMPANIES

FOR thirty years following the enactment of the Companies Act of 1903 no comprehensive revision of statute law relating to companies was made in New Zealand, and the essential provisions of company law remained substantially unaltered. In 1930 the Attorney-General appointed an advisory committee, including representatives of the business community and of the professions of law and accountancy, to act with the Law Draftsman in framing a new measure, which, in the form of the Companies Act 1933, came into force on 1 April 1934. In great part the measure was an adaptation of the Imperial Act of 1929 to suit the special conditions of New Zealand.

A noteworthy step in the history of company legislation was taken by the Companies (Bondholders Incorporation) Act 1934–35, which provided machinery for the incorporation of the holders of bonds issued by certain afforestation and other companies.

The position of certain investment companies in 1934 led to the appointment of a Commission of Inquiry and the passing of a novel series of legislative enactments designed to investigate their affairs and to protect the investors. The Acts passed comprised the Companies (Special Investigations) Act 1934; the Companies (Special Liquidations) Act 1934–35; and the Companies (Temporary Receivership) Act 1935.

The Government set up a committee in 1950 which considered the question of revising the 1933 Act. A draft Bill was introduced during the 1952 session of Parliament, and subsequently amended, but at the time of writing it has not yet become law.

A company to acquire legal entity must be incorporated, and under the Companies Act 1933 incorporation is granted after the registration of the memorandum of association with the Registrar of Companies. A company incorporated overseas is not required to re-register in New Zealand, but must deliver to the Registrar of Companies for registration a certified copy of its instrument of constitution, as well as a list of its directors and the name of its authorized representative in New Zealand.

The Finance Emergency Regulations 1940 (No. 2), which replaced similar regulations issued in the same year, prohibited the registration of companies, building societies, etc., or the increase of capital of existing companies, without the prior consent of the Minister of Finance. Amending regulations issued on 22 May 1946 removed this restriction in so far as it related to the formation of a company where the nominal capital did not exceed £10,000, or to an increase of capital of an existing company where the amount of the increase together with the amounts of other increases made within one year before that increase did not exceed £10,000. To give more effective control over new finance, a Capital Issues Committee was set up in April 1952. Further reference to this Committee will be found on page 786.

The table following gives a classification of new companies registered in 1953 according to the amount of nominal capital.

Amount of Nominal CapitalPrivate CompaniesPublic CompaniesOverseas Companies
NumberNominal CapitalNumberNominal CapitalNumberNominal Capital
  £ £ £
Under £1,000341136,122....1574
£1,000 and under £2,000398479,26311,750....
£2,000 and under £3,000313678,25536,50012,000
£3,000 and under £4,000220691,917........
£4,000 and under £5,000144594,452....14,834
£5,000 and under £6,000155787,21315,25015,000
£6,000 and under £7,00087529,171........
£7,000 and under £8,00046332,283........
£8,000 and under £9,00032260,135........
£9,000 and under £10,00026238,950........
£10,000 and under £15,0001441,528,905110,000110,000
£15,000 and under £20,00024398,000231,000115,000
£20,000 and under £50,000671,842,312245,000149,920
£50,000 and over132,222,7022377,5001131,750,000
Limited by guarantee........1..
    Totals2,01010,719,68012477,0001931,837,328

The number of new registrations of private companies during 1953 rose by 18.0 per cent over the previous year, the increase being fairly common to the various capital groupings. The authorized capital for the 1953 registrations advanced by 15.2 per cent.

A fall in both number and amount of nominal capital was recorded during 1953 for new public company registrations.

The extent of changes in registrations and nominal capital of private companies between 1942 and 1953, expressed as percentages of the totals, is shown in the following table. 1943 figures were not compiled.

Amount of Nominal CapitalNumberAmount of Capital
1942195319421953
 Per CentPer CentPer CentPer Cent
Under £1,00030.517.04.01.3
£1,000 and under £5,00048.953.526.522.8
£5,000 and under £10,00013.217.222.420.0
£10,000 and over7.412.347.155.9
    Totals100.0100.0100.0100.0

Compiled from published sources, the following summary gives the stated objects of new companies registered during 1952 and 1953. Because of possible inaccuracies in the source data, and the difficulty of precise classification by industrial group from the information available, the figures should be regarded as approximate only.

Industry Group19521953
Agriculture and livestock production113179
Forestry, hunting, and fishing119
Mining and quarrying2225
Manufacturing—  
  Food, beverages, and tobacco3635
  Textiles, footwear, and apparel6781
  Woodwork and furniture8383
  Machinery4188
  Transport equipment11487
  Other162200
Construction190215
Commerce—  
  Wholesale and retail477516
  Banks and other financial institutions6787
  Real estate94122
  Other8 
Transport, storage, and communication113110
Services—  
  Community and business2624
  Personal88109
  Other1010
Miscellaneous2261
    Totals1,7442,041

In the following table a notable feature is the increase in both the number and aggregate nominal capital of private companies registered since 1945. From 1946 to 1953 inclusive, the average number of new private and public companies registered annually was 1,870, the corresponding capital average being £10,703,871, representing £5,724 of authorized capital per company.

YearPrivate CompaniesPublic CompaniesOverseas Companies
NumberNominal CapitalNumberNominal CapitalNumberNominal Capital

* Of the 19 overseas companies one was limited (as to capital) by guarantee.

  £ £ £
1943261881,284648,8803617,200
19444511,408,2161382,000....
19457203,196,54118114,000372,100
19461,4148,102,471132,846,2508116,000
19471,7816,203,885233,257,0009428,650
19481,7297,319,98231924,1508950,000
19492,1236,626,32924832,30010523,600
19502,0478,225,87915365,900121,586,100
19511,9789,205,507282,824,60014777,360
19521,7049,307,087288,392,9501215,708,194
19532,01010,719,68012477,00019*31,837,328

In comparing one year with another, as in the previous table, it should not be overlooked that re-registrations, on account of reconstruction of companies or for other reasons, are included. Such re-registrations of large companies may have a considerable effect on the year's total, so far as capital is concerned.

Companies Carrying on Business.—Statistics of companies carrying on business have been compiled on four occasions, for the years 1926, 1932, 1938, and 1947. For the two earlier years all companies appearing on the register at 31 December were included. In the 1938 and 1947 tabulations endeavours were made to eliminate those companies which were in liquidation or in a more or less moribund state. As there was often no positive evidence available to show whether or not a company was in active operation, the statistics probably include a small proportion of companies which were only nominally carrying on business.

A summary of the principal information available in respect of public and private companies at 31 December of the years shown is given below.

At 31 DecemberNumberNominal CapitalSubscribed CapitalPaid-up CapitalAmount Owing Under ChargesShareholders' Funds

* Not available.

  £££££
Private Companies
19263,43936,060,343****
19326,08348,363,106****
19387,39955,793,621*49,270,54420,460,066*
194711,35887,044,475*77,814,58525,909,668*
Public Companies
19261,63089,544,85858,807,51949,982,59316,181,126*
19321,73297,553,57871,021,73659,106,90215,453,164*
19381,626100,172,97873,170,41164,932,44617,477,939*
19471,381106,358,59081,543,53973,203,33716,426,440113,065,633

The main feature disclosed by the figures is the tendency in later years to obtain registration as a private company rather than as a public company. In 1926 there were twice as many private companies as public companies, but in 1947 there were nine private companies for each public company. From 1939 to 1947 inclusive 6,080 private and 136 public companies were registered.

The increases in capital do not necessarily measure the amount of new capital invested, since many registrations of new companies represent the conversion of previously existing individual or partnership concerns into companies, or the re-forming of a company by the liquidation of the existing company and the registration of a new one.

In addition to the public and private companies covered above, there were 250 overseas companies operating in New Zealand at 31 December 1947, compared with 212 in 1938. These had a total nominal capital of £224,807,042 (the corresponding 1938 figure was £195,934,469), but there is no information showing the amount of capital employed in New Zealand, which obviously must be only a very small proportion of the amount shown.

For detailed tables in connection with the 1947 inquiry into registered companies the 1950 Year-Book should be consulted.

Chapter 34. SECTION 34—INSURANCE

34 A—LIFE ASSURANCE

THE statutory provisions affecting life assurance in New Zealand are in the main contained in the Life Insurance Act 1908 and its amendments of 1920, 1921–22, 1925, 1932, 1934, 1938, and 1950; the Inalienable Life Annuities Act 1910; and the Government Life Insurance Act 1953. Any association other than a friendly society which issues policies or grants annuities on human life in New Zealand comes within the scope of the enactments. Every life company must deposit with the Public Trustee cash or approved securities to a value related to the total amount assured by its New Zealand policies, the maximum deposit being £50,000. The aggregate value of such deposits at 31 March 1954 was £736,260.

In the case of composite offices, provision is made for the receipts of life and annuity business to be treated as a separate fund, and the Act safeguards the interest of the policyholder by making these funds available only for liabilities arising from such business.

Annual returns of life assurance are required to be deposited with the Minister of Finance, and it is from these returns that the statistical matter contained in this subsection has been compiled.

Fifteen life-assurance offices conduct business in New Zealand, and of these, four only are purely New Zealand institutions—namely, the Government Life Insurance Office, the Provident Life Assurance Co., the Dominion Life Assurance Office of New Zealand, Ltd., and the F.A.M.E. Insurance Co. Ltd.

The statistics here given relate exclusively to business transacted in New Zealand.

LIFE ASSURANCE: Ordinary and Industrial.—The progress of life assurance in New Zealand is illustrated by the following diagram, which shows the amount of new business transacted at intervals over a period of fifty-three years.

Eleven years' figures for new business, discontinuances, and amount in force for the combined departments (ordinary and industrial) are given in the table following.

YearPolicies IssuedPolicies DiscontinuedPolicies Existing at End of Year
 £££
194317,574,0596,779,764204,192,428
194422,115,9997,284,723219,023,704
194527,870,4688,298,596238,595,576
194637,085,4959,828,464265,852,607
194741,368,21810,897,884296,322,941
194842,022,87213,405,210324,940,603
194943,242,85614,730,369353,453,090
195049,342,77315,573,344387,216,172
195162,320,24016,530,514433,012,365
195265,154,71019,149,533479,083,831
195373,136,51723,136,249529,107,427

During a period of monetary depreciation it is proper to discount the significance of nominal increases in currency figures and, conversely, to attach more weight to decreases in such figures. The normal growth of population may also be expected to influence in an upward direction trends expressed both monetarily and otherwise. But, even after due allowance has been made for these factors, the progress of life insurance business over the past decade has been extraordinarily rapid. From 1943 to 1953 the face value of new business written has more than quadrupled, and the amount of cover in force has risen by £(m)325, or 159 per cent. This expansion has doubtless been aided by the return of Service personnel to civilian life and the growth in public favour of such types of policies as group insurance and mortgage repayment.

As the total discontinuances include surrenders and lapses, the general tendency is for discontinuances to follow the same trend as new business, although there is naturally a time lag of, normally, about two years. This trend is plainly apparent, although the increase in discontinuances has been relatively slight when the record figures of new business are taken into account.

ORDINARY LIFE ASSURANCE: Progress of Business.—A table showing the progress of business over a period of eleven years is given below. Annuities are excluded from these figures.

YearPolicies IssuedPolicies DiscontinuedPolicies Existing at End of Year
NumberSum AssuredAnnual PremiumsNumberSum AssuredAnnual PremiumsNumberSum AssuredAnnual Premiums
  ££ ££ ££
194328,62915,018,060518,93514,2305,469,650179,622443,381178,426,8865,517,267
194435,33519,252,364655,42414,8095,813,624205,979463,907191,865,6265,966,713
194544,21524,877,652823,51215,6756,671,405244,020492,447210,071,8736,546,205
194657,72433,383,5781,088,16816,9278,006,535287,942533,244235,448,9167,346,430
194760,81037,517,1151,237,24718,3938,978,114326,449575,661263,987,9178,257,228
194860,51638,472,0561,230,16821,03711,111,245395,311615,140291,348,7289,092,085
194958,68739,935,8551,290,33322,75512,337,166441,251651,072318,947,4179,941,343
195060,74246,093,2481,464,37923,35913,362,093469,780688,444351,672,22610,935,757
195167,54459,073,8201,929,43924,07814,332,947497,600731,914396,419,56512,367,888
195270,66361,411,0151,882,37825,50416,679,264577,563777,180441,210,40113,674,396
195375,80169,173,6252,140,15628,87820,397,841686,809827,321490,009,51515,133,813

In addition to the figure of £2,140,156 representing annual premiums payable for policies issued during 1953, an amount of £621,142 was paid during that year in the form of single premiums.

The average annual premium for each £100 of new business effected during 1953 was £3 1s. 11d., as compared with £3 1s. 4d. in 1952. There has been evident for some years past a tendency toward lower premium rates, which may indicate a growing preference for whole life policies or longer term endowment assurance. Group assurance as a substitute for, or supplementation of, private or national superannuation schemes, has also assumed relative popularity, but owing to lack of data it is unfortunately not possible to give an analysis of policies by types.

Annuity policies issued during 1953 (excluded from these tables) numbered 274, as against 366 in 1952. The corresponding annual amounts were £311,925 and £303,394.

A prominent feature of new insurances of recent years has been, with the exception of 1952, the increase in the average amount of the sum assured per policy. Average amounts per new policy and the increases over the preceding year were as follows.

YearAverage AmountIncrease

* Decrease.

 ££
194352638
194454519
194556318
194657815
194761739
194863619
194968044
195075979
1951875116
1952869−6*
195391344

From the foregoing figures it will be seen that the average sum assured per policy has increased by £387, or 74 per cent, during the ten year period. The small decrease recorded in 1952 was the first since 1935.

From 1938 to 1943 discontinuances became progressively less, the heavy mortality in the war years being more than compensated for by the smaller number of lapses and surrenders. The years 1944 to 1953, however, showed the increased discontinuances which normally follow substantial rises in new policy issues.

The total amount written off during each year represents about 4 per cent of the amount in force at the end of the year immediately preceding.

Particulars of Policies Discontinued.—The causes of discontinuances during the last five years are contained in the next table.

YearDeathMaturitySurrenderLapseOther CausesTotals
Number of Policies
19493,1696,1137,1425,77255922,755
19503,1526,5328,0735,01259023,359
19513,4847,1518,1814,80345924,078
19523,7017,1938,8185,08370925,504
19533,8668,03510,2726,12358228,878
Sum Assured
 ££££££
19491,618,6681,626,3994,608,9103,072,7341,410,45512,337,166
19501,677,5371,676,0515,618,2502,712,3521,677,90313,362,093
19511,839,6461,804,6476,090,4762,967,4761,630,70214,332,947
19521,966,9971,912,0387,305,1233,626,0211,869,08516,679,264
19532,160,7902,464,1028,552,9534,617,9372,602,75020,398,532

Reducing the sums assured in the previous table to a percentage basis, the results are as follows.

YearDeathMaturitySurrenderLapseOther CausesTotals
 Per CentPer CentPer CentPer CentPer CentPer Cent
194913.113.237.424.911.4100.0
195012.612.542.020.312.6100.0
195112.812.642.520.711.4100.0
195211.811.543.821.711.2100.0
195310.612.141.922.612.8100.0

Revenue and Expenditure.—A statement of revenue and expenditure under the various heads illustrates the course of ordinary life insurance business in New Zealand during the past five years. Transfers between head offices and branches are excluded. The ratios of management expenses to premium income and to total revenue are also given.

19491950195119521953
Revenue£££££
New and renewal premiums10,079,28911,123,78312,543,67613,749,57815,290,939
Consideration for annuities72,44266,795112,15281,08887,633
Interest, rents, etc.2,952,7223,274,8783,647,7143,923,2514,411,355
Other revenue1,1266,1653,1761,27249
    Totals, revenue13,105,57914,471,62116,306,71817,755,18919,789,976
Expenditure     
Claims by death and maturity4,120,6504,346,3004,633,8424,879,4615,782,745
Annuities117,161119,173122,390124,168126,921
Surrenders526,669613,489662,668823,692948,704
Cash bonuses28,08329,43628,26231,98732,199
Management1,444,5111,602,4301,942,9902,095,7132,326,772
Taxes438,090469,581480,339534,533483,923
Other expenditure61,28659,852123,413113,18448,083
    Totals, expenditure6,736,4507,240,2617,993,9048,602,7389,749,347
RatiosPer CentPer CentPer CentPer CentPer Cent
Management expenses to premium income14.3314.4115.4915.2415.22
Management expenses to total revenue11.0211.0711.9211.8011.76

INDUSTRIAL ASSURANCE: Progress of Business.—In this class of insurance the premiums are payable at shorter intervals than three months, and provision is made for its control by regulation. Companies are required to deposit with the Minister of Finance forms of policy tables, rates of premiums, and other documents, and policies must contain only such conditions as have been approved by the Governor-General in Council. Restrictions are placed on the forfeiture of policies in default of payments or other requirements. There has been a long-term decline in the demand for industrial issues relative to ordinary policies, as the following figures exemplify. During the last four years particularly, the growing popularity of life insurance has not been shared to any extent by the industrial department, the number of policies issued in 1953 being 1,862 fewer than in 1949. Comparative figures for each thousand ordinary policies issued are given below.

1920–291,885
1930–391,630
1940–491,003
1949576
1950522
1951442
1952446
1953422

The relative decline, however, is probably over-emphasized by this comparison, since there is undoubtedly a tendency during more prosperous periods to select the ordinary policy in preference to the industrial policy.

A summary of the course of industrial assurance business from 1943 to 1953 is given in the following table.

YearPolicies IssuedPolicies DiscontinuedPolicies Existing at End of Year
NumberSum AssuredAnnual PremiumsNumberSum AssuredAnnual PremiumsNumberSum AssuredAnnual Premiums
  ££ ££ ££
194341,6852,555,999146,27123,9581,310,11481,467510,57225,765,5421,484,110
194443,8762,863,635162,35226,3791,471,09990,006528,06927,158,0781,556,455
194543,3532,992,816170,21428,0571,627,191101,659543,36528,523,7031,625,010
194649,3693,701,917201,80430,3951,821,929109,271562,33930,403,6911,717,542
194743,7893,851,103184,13830,7901,919,770112,080573,33832,335,0241,789,600
194835,4063,550,816155,55233,7702,293,965126,523576,97433,591,8751,818,629
194933,8153,307,001152,85136,1532,393,204132,427574,63634,505,6731,839,055
195031,7143,249,525150,46833,7402,211,251124,142572,61035,543,9461,865,381
195129,8793,246,420150,02133,0582,197,567123,783569,43136,592,8001,891,619
195231,4973,743,695173,35936,5862,470,269138,033564,41837,873,4301,927,282
195331,9533,962,892184,22139,9832,738,408150,876556,38839,097,9121,960,627

The average sum assured under each policy of new business effected in 1953 amounted to £124, with an average annual premium of £5 15s. 4d. Corresponding averages for 1943 were £61 and £3 10s. 2d.

Particulars of Policies Discontinued.—A summary of the number of industrial policies and the corresponding assurances discontinued according to the several causes is now given in the form of a five-year table.

YearDeathMaturitySurrenderLapseOther CausesTotals
Number of Policies
19492,68619,2484,02110,1217736,153
19502,57319,5904,0557,31620633,740
19512,55119,0803,9347,35613733,058
19522,59121,7354,3177,83710636,586
19532,24625,0095,0147,6298539,983
Sum Assured
 ££££££
1949123,454869,164313,7671,073,47113,3482,393,204
1950116,407868,557331,290870,86224,1352,211,251
1951115,844805,510368,333883,36924,5112,197,567
1952124,116915,376460,902962,0787,7972,470,269
1953112,6521,064,894592,036958,81910,0072,738,408

The amount written off in each year is proportionately greater in the industrial than in the ordinary branch. Of the insurance in force at the end of the previous year, 4.6 per cent of the ordinary became void in 1953, as compared with 7.2 of the industrial.

In the following table the sums assured for the various classes of discontinuances are expressed as percentages of the total discontinuances.

YearDeathMaturitySurrenderLapseOther CausesTotals
 Per CentPer CentPer CentPer CentPer CentPer Cent
19495.236.313.144.80.6100.0
19505.239.315.039.41.1100.0
19515.336.716.840.21.0100.0
19525.037.118.738.90.3100.0
19534.138.921.635.00.4100.0

Revenue and Expenditure.—The several items of revenue and expenditure in industrial business are shown in the following five-yearly table, together with the ratios of management expenses to premium income and to total revenue. Transfers between head offices and branches are again excluded.

19491950195119521953
Revenue£££££
Premiums1,817,2791,841,7551,880,8621,906,2001,938,293
Interest, rents, etc.458,104472,748499,967531,360570,074
Other revenue7506466791,605674
    Totals, revenue2,276,1332,315,1492,381,5082,439,1652,509,041
Expenditure     
Claims by death and maturity1,134,8631,127,7981,045,3411,170,8471,322,504
Surrenders69,80972,68873,96883,207103,865
Management498,024507,556529,325555,669589,686
Taxes42,65045,72846,13351,13443,881
Other expenditure7,86324,67216,74627,8611,052
    Totals, expenditure1,753,2091,778,4421,711,5131,888,7182,060,988
RatiosPer CentPer CentPer CentPer CentPer Cent
Management expenses to premium income27.4027.5628.1429.1530.42
Management expenses to total revenue21.8821.9222.2322.7823.50

The higher ratio of management expenses to premium income in the industrial branch is largely accounted for by the cost of collection of premiums, principally in the shape of renewal commission. In the ordinary branch, commission (new and renewal) in 1953 was equivalent to 7.8 per cent of the premium income, and in the industrial branch to 14.1 per cent. Excluding commission, the ratio of management expenses to premium income was 16.3 per cent in the industrial branch, as against 7.5 per cent in the ordinary.

LIFE ASSURANCE DEATH RATES.—The following table shows for the period 1943–53 the death rate per thousand policies exposed to risk in each year. In computing these rates all policies which were in force for any portion of the year have been taken into account. The higher rates for the 1943–46 years are mainly due to deaths from war causes.

YearDeath Rate Per 1,000 Policies
Ordinary Life AssuranceIndustrial Life AssuranceOrdinary and Industrial Combined
19438.766.727.66
19448.536.127.24
19457.436.026.69
19466.055.295.66
19475.044.624.83
19484.944.624.78
19494.704.404.56
19504.444.244.35
19514.614.234.44
19524.614.314.48
19534.533.774.22

LIABILITIES AND ASSETS.—Of the five companies transacting industrial business in New Zealand only one apportions its liabilities and assets over the ordinary and industrial business, for, although the legislation in force requires separate statements of revenue and expenditure, policies issued and discontinued, etc., no such requirement exists in regard to balance sheets. The figures presented in the next two tables accordingly refer to both classes of assurance, and, as indicated earlier in this subsection, relate to New Zealand business only.

The aggregate capital and liabilities at the end of 1953, as compared with the two preceding years, are given in the following table.

 195119521953
 £££
Paid-up share capital236,058235,286235,470
Life assurance and annuity funds112,898,511123,295,162135,645,067
Depreciation, reserve, and other special funds1,380,7991,511,9031,634,671
Claims admitted but not paid829,002816,167945,128
Other liabilities2,001,1761,086,4341,256,902
    Totals117,345,546126,944,952139,717,238

The assets of the New Zealand branches at the end of each of the three years 1951–53 were as follows.

AssetsAmountProportion to Totals
195119521953195119521953
 £££Per CentPer CentPer Cent
Mortgages on property32,926,88840,685,75347,311,93528.0632.0533.86
Loans on policies3,630,5484,026,9484,103,4593.093.172.94
New Zealand Government securities41,006,05039,155,89542,101,21634.9530.8430.14
Securities of other Governments1,812,5901,860,0161,797,3691.541.471.29
Local-authority securities28,787,51029,661,29130,929,18724.5323.3722.14
Landed and house property3,009,8423,018,4303,426,9412.572.382.45
Other investments2,292,2083,638,1625,469,7051.952.873.91
Outstanding premiums809,034856,621943,4400.690.670.68
Interest accrued, etc.959,2801,035,1741,149,4140.820.820.82
Cash805,8721,299,6621,082,4750.691.020.77
Other assets1,305,7241,707,0001,402,0971.111.341.00
    Totals117,345,546126,944,952139,717,238100.00100.00100.00

Mortgage securities continue to be the most favoured form of investment, the 1953 figure showing an increase of nearly £(m)24, or 102 per cent over that for 1950. Holdings of Government stocks, after a period of decline, rose slightly during the year. It is worth noting that “other investments” (chiefly company shares and debentures) increased by 59 per cent over 1951.

The following diagram illustrates the expansion that has taken place since 1925 in the assets of the New Zealand branches of life insurance companies. This, of course, is a natural consequence of the huge increase in the amount of business. As stated previously, receipts of life assurance and annuity business must be treated as a separate fund, and the interests of the policy-holders are safeguarded by the fact that these funds are available only for liabilities arising from such business.

The diagram also shows the trend in the class of security in which the funds have been invested. The most significant change in recent years, referred to above, has been the preference for mortgage investment, chiefly at the expense of Government and local body securities.

34 B—ACCIDENT INSURANCE

IN terms of the Accident Insurance Companies Act 1908, accident insurance policies may be issued by any association, whether incorporated or not, provided such association is not established under any Act relating to friendly societies. The principal classes of accident insurance transacted in New Zealand are as follows:

  1. Personal accident, covering accident, sickness, etc.:

  2. Employers' liability under statutory or common law:

  3. Motor vehicle insurance, comprehensive and compulsory third-party risks cover.

Other important classes of accident insurance policies are in respect of plate glass insurance and fidelity guarantee insurance.

The Workers' Compensation Amendment Act 1947 provided for the compulsory insurance with the Government Accident Insurance Branch of the State Fire Insurance Office of all employers' liability insurances as from 1 April 1949. However, insurances with certain specified mutual insurance companies were exempted from the operation of the Act. Further reference to this transfer will be found in Sections 34D and 42. An amending Act of 1950, however, restored the right of insurance companies to undertake employers' liability insurance as from 1 April 1951.

In these statistics the data relate to the financial years of the companies which most closely approximate the calendar year. As the balance dates of some companies fall after 31 March, the 1948 and 1950 figures were affected to a small extent by the operation of the Act referred to in the preceding paragraph. The net effect was a reduction in the employers' liability insurance figures for 1948 by the amounts normally returned by such companies (with balance dates from April to June 1949), and an increase for the year 1950, when these returns (covering the years ended April to June 1951) again included figures for this class of insurance.

Information relating to cash deposits required from companies transacting accident insurance business is contained in the next subsection, which deals with the cognate subject of fire insurance.

REVENUE AND EXPENDITURE.—The number of accident insurance offices represented in the statistics for 1953 is 64, the head offices of the companies concerned being domiciled as follows: Great Britain, 24; Australia, 11; United States of America, 2; Hong Kong, 2; and New Zealand, 25.

Of the New Zealand offices only 10, including the State Accident Insurance Office, may be stated to be competitive in the ordinary sense of the term, the remainder having been formed by trade associations, etc., on a more or less co-operative basis. In the main an office of this latter type conducts one class of accident insurance business only according to the nature of the association with which it is connected.

The following table shows, for the years quoted, the principal items of revenue and expenditure. Premiums and claims are net—i.e., reinsurance transactions—whether effected locally or overseas, are taken into account.

YearNumber of OfficesRevenueExpenditure
PremiumsOther RevenueTotal*ClaimsCommissionSalariesOther ExpensesTotal*

* Excluding unexpired risks reserves.

  ££££££££
1943582,578,169101,8222,679,9911,307,259253,610254,187476,7092,291,765
1944592,614,588103,4292,718,0171,345,519275,526281,514529,7482,432,307
1945602,851,503109,8972,961,4001,545,468311,405315,110480,4802,652,463
1946603,270,989107,6343,378,6231,666,256349,778359,236466,2942,841,564
1947613,916,468120,8204,037,2882,131,992420,013402,918505,9263,460,849
1948604,324,436146,8864,471,3222,509,563471,459432,264571,4443,984,730
1949614,902,454151,9475,054,4012,972,171325,600530,221667,1884,495,180
1950625,816,553170,7465,987,2993,466,073369,181593,632781,6325,210,518
1951626,624,869205,6136,830,4823,956,106499,640745,270859,2856,060,301
1952617,965,339221,1658,186,5044,886,000617,067814,951884,5947,202,612
1953648,954,499228,9629,183,4615,313,175689,232969,9181,058,6118,030,936

Premium receipts in 1953 were 12.4 per cent above the 1952 figure, most of the increase being in the class of motor vehicle comprehensive insurance. Class were 8.7 per cent greater than in 1952. Expenses other than claims totalled £2,717,761, of which taxation amounted to £442,375. The unexpired risks reserves at the end of 1953 totalled £3,813,462.

A review of the expenses incurred in transacting accident insurance is contained in the table following. The fluctuations over a period of five years are shown in the form of percentages of revenue to expenditure under various heads.

YearRatio Per Cent of—
Claims to PremiumsCommission to PremiumsSalaries to PremiumsOther Expenses to PremiumsTotal Expenses (Other Than Claims) to PremiumsTotal Expenditure to PremiumsTotal Expenditure to Total Revenue
194960.636.6410.8213.6131.0791.6988.94
195059.596.3510.2113.4430.0089.5887.03
195159.727.5411.2512.9731.7691.4888.72
195261.347.7510.2311.1129.0890.4287.98
195359.347.7010.8311.8230.3589.6987.45

From 1943 the ratio of claims to premiums has been generally upward, the fall in 1946 being due to the fact that premiums increased to a much greater extent than claims, the only class to show an actual drop in claims being employers' liability. The fall in the ratio of commissions to premiums during 1949 and 1950 reflects the temporary transfer to the State Office of this type of business. Working expenses (excluding taxation) amounted to £1,694,322 in 1951, £2,053,664 in 1952, and £2,275,386 in 1953. The ratio of working expenses to premium income for each of the three years was respectively 25.58, 25.78, and 25.41 per cent.

ANALYSIS OF PREMIUMS AND CLAIMS.—In the next table particulars of premiums and claims for the three main classes of accident insurance are given for the last five years. Reinsurances effected outside New Zealand are not taken into account in the figures presented below.

YearEmployers' LiabilityPersonal AccidentMotor Vehicle (Including Third Party)Other FormsTotals
Premiums
 £££££
19491,795,073405,5692,293,753454,8284,949,223
19502,230,293461,8642,601,849592,5935,886,599
19512,210,700507,9543,304,788691,8316,715,273
19522,469,139581,0294,364,686773,1098,187,963
19532,594,538659,7365,293,018885,7009,432,992
Claims
 £££££
19491,188,910150,3901,454,561108,0132,901,874
19501,318,923146,7161,627,594185,1233,278,356
19511,160,540185,6262,336,624208,8413,891,631
19521,381,906215,8402,927,200237,3594,762,305
19531,532,935228,1873,397,644259,5825,418,348

It is estimated that the 1950 premiums and claims figures for employers' liability insurance would have been smaller by approximately £200,000 and £15,000 had the temporary transfer of this class of business to the Government Accident Insurance Office not taken place.

Premiums and claims for motor vehicle third-party risks insurance relate to the years ended 30 June following those given. For the year 1953–54 these figures were £1,163,106 and £817,272 respectively.

Reducing the figures of each class for the years 1951–53 to a percentage basis, the following results are obtained.

Class of InsuranceClaims to PremiumsPremiums to Total PremiumsClaims to Total Claims
195119521953195119521953195119521953
 Per CentPer CentPer CentPer CentPer CentPer CentPer CentPer CentPer Cent
Employers' liability52.5055.9759.0832.9330.1627.5029.8229.0228.29
Personal accident and sickness36.5437.1534.597.577.106.994.774.534.21
Motor vehicle comprehensive72.6768.9962.4837.1340.8043.7946.5848.4047.63
Motor vehicle third-party risks64.6560.7970.2712.0712.5012.3313.4613.0715.08
Other30.1930.7029.3110.309.449.395.374.984.79
All classes57.9558.1657.44100.00100.00100.00100.00100.00100.00

MOTOR VEHICLES INSURANCE (THIRD-PARTY RISKS).—The Transport Act 1949, which repealed the former legislative authority—i.e., the Motor Vehicles Insurance (Third-party Risks) Act 1928—requires, as previously, owners of motor vehicles to insure against their liability to pay damages on account of the death of or bodily injury to another person. The payment of the insurance premiums is made annually to Deputy Registrars of Motor Vehicles at the same time as the annual licence fee is paid. Owners of motor vehicles are required to nominate each year the insurance company with which the contract of insurance is to be made, and the contract is deemed to be complete on the payment of the premium.

Premium rates were reduced during the war as a result of the decrease in claims brought about by the restricted use of motor vehicles. The relaxation of controls was followed by a rise in premium rates for most classes of motor vehicles. The 1955–56 schedule includes the following: motor cycles, £2 5s.; power cycles, 5s.; motor cars and station wagons used exclusively for private purposes, £2 2s.; goods service vehicles, £3 8s.; public and private taxicabs, £25 and £12 respectively; omnibuses, from £29 to £31 (according to seating capacity); service cars, from £15 1s. to £24 11s. (according to seating capacity); trailers, 4s.; hearses and ambulances, £2 15s.; rental cars, £4.

A sum of 2s. 6d. for every contract of insurance is deducted for administration expenses, and the balance paid to the insurance company concerned.

The liability of the company does not extend to indemnify the owner against any claim made in respect of the death of (or injury to) any relative of the owner, any person in the service of the owner at the time of the accident, or a passenger. The indemnity does, however, cover the case of a fare-paying passenger in a vehicle plying for hire or carrying passengers for hire.

The liability of any insurance company under any contract under the Act is limited to £5,000 (increased from £2,000 from 1 July 1951) in respect of any passenger in the motor vehicle concerned, and to £50,000 (£20,000 prior to 1 July 1951) for all claims made by or in respect of passengers carried for hire. Otherwise there is no limit as to amount.

The following particulars give the experience of the last five years, with a summary covering the ten years to 30 June 1954. It should be noted that the liability for outstanding claims is usually overestimated, and that the total claims for any particular year when finally settled may be expected to be somewhat smaller than the amounts now given. For instance, taking a period of five years, 1943–44 to 1947–48 inclusive, for which all claims have been settled, it is found that total premiums received were £1,734,521 and total claims paid were £1,424,268, a ratio of claims to premiums of 82.1, per cent. This latter figure refers to claims arising during the period under review, final disposal of some cases being delayed until 1952–53. The actual claims payments during the five years totalled £1,095,526, of which a proportion was on account of accidents occurring prior to 1943–44.

Registration Year Ended 30 June—Total for Ten Years to 30 June 1954
19501951195219531954
 ££££££
Premiums received595,337683,629810,5041,023,7591,163,1066,166,595
Claims actually paid to 30 June 1954446,596604,199626,084484,650102,5223,901,944
Estimated liability for claims still outstanding at 30 June 195410,20041,930168,082572,083884,5551,678,100
Ratio per cent of claims paid and outstanding to premiums7795981038590

34 C—FIRE INSURANCE

IN the legislation dealing with insurance four separate classes of fire insurance offices are distinguished—namely: (1) local insurance companies established within the limits of New Zealand; (2) foreign insurance companies established beyond New Zealand; (3) United Kingdom offices similarly established; and (4) mutual fire-insurance associations. To these may be added the State Fire Insurance Office, established under a separate Act of Parliament.

Part XIV of the Companies Act 1933 provides for the incorporation with limited liability of local insurance companies formed for the insurance of property other than that of shareholders. Such a company requires a paid-up capital of £50,000 intact, and if the amount of paid-up capital falls below this sum the company may not carry on insurance business except with unlimited liability. Insurance companies established or incorporated overseas are required to have a like paid-up capital intact. Part II of the Insurance Companies Act 1940 provides that, in the case of an insurance company of doubtful solvency, inspectors may be appointed to investigate and report on the affairs of the company. Mutual associations are referred to specially at a later stage in this subsection.

DEPOSITS.—Until the passing of the Insurance Companies Act 1940 no deposit was required from an insurance company incorporated in New Zealand in respect of fire and accident insurance business, unless the company acted merely as an agent for overseas underwriters, or had, since 1933, commenced motor vehicles third-party risks insurance business. Part I of this Act, as amended by the Insurance Companies' Deposits Amendment Act 1950, provided that any New Zealand company which, after the passing of the Act, commences in New Zealand any of the specified classes of business, must deposit with the Public Trustee in money the following amounts: in respect of fire insurance, £22,500; employers' liability insurance, £22,500 (by deposit of approved securities and not in money); and all other classes (except motor vehicles third-party risks insurance), £5,000. A New Zealand company which at the commencement of the Act was carrying on any of the classes of business referred to above was required to deposit approved securities to the value of £1,000, together with a further £1,000 for each complete £2,500 of premium income derived from each class of business during its last financial year. The amount of deposit may be adjusted according to increases or decreases in business. These provisions were continued by the 1950 amendment, referred to earlier, in the case of companies that were carrying on employers' liability insurance on 11 October 1940 and which have recommenced that class of business before 1 April 1952. The maximum deposit is that which would be paid by a newly established company.

The Insurance Companies' Deposits Act 1953 consolidated and amended the law relating to deposits. The foregoing provisions were continued, while mutual fire insurance associations conducting employers' liability insurance business, previously exempted, were required to deposit securities to the same value, as shown above, as other New Zealand companies engaged in this class of business prior to the 1940 Act. All future deposits were to be in the form of approved securities.

The maximum deposits of New Zealand companies are the same as those required from British companies commencing business in New Zealand. Agents operating in New Zealand on behalf of British underwriters are required to make deposits similar in amount to those specified for British companies with the exception of fire and employers' liability insurance, where agents of British underwriters are required to deposit £15,000. A foreign company, or an agent of foreign underwriters, before commencing business in New Zealand, must deposit in securities the sum of £50,000, which covers all classes of business other than life, marine, and third-party risks insurance. If such companies were carrying on business prior to 28 September 1922 the deposit required is £35,000.

The Finance Act (No. 2) 1933 required any company thereafter undertaking business in terms of the Motor Vehicles Insurance (Third-party Risks) Act 1928 to deposit the sum of £10,000. This requirement was in effect extended by the subsequent legislation, under which every company undertaking this class of business must, unless it has made the deposit required by the Finance Act, deposit £1,000, together with £1,000 for each complete £2,500 of premium income from such business. The maximum deposit is £10,000.

Life and marine businesses are not affected by the provisions mentioned in the preceding paragraphs. Deposits required from life insurance companies are dealt with under Section 34A.

The capital amount of deposits held by the Public Trustee as at 31 March 1954, under the Insurance Companies' Deposits Act and amendments, on behalf of 69 companies, was £2,329,573, as compared with £2,066,352 at 31 March 1953.

Statistics of fire insurance are collected annually by the Census and Statistics Department. For 1953, statistics were collected from 48 offices carrying on business in New Zealand. The head offices of these were distributed as follows: Great Britain, 22; New Zealand, 17; Australia, 5; Hong Kong, 2; United States of America, 2.

LIABILITIES AND ASSETS.—The following table indicates generally the extent to which fire insurance offices have funds available to meet losses and liabilities. The figures refer to all departments of business underwritten. Funds of life departments are added for completeness, but by the Life Insurance Act 1908 (which follows the provisions of the United Kingdom statute on the subject) life funds must be accounted for separately, and form a security for life-policy holders which is not available for other classes of insurance transacted. Of the 48 offices, 17 also engage in life insurance business, but only 4 of these conduct such business in New Zealand. The amount of funds (other than life) in New Zealand and elsewhere is, it will be seen, approximately £1,093,000,000.

19531952 (Totals)1951 (Totals)
Overseas CompaniesLocal CompaniesTotals
 £££££
Paid-up capital51,238,4465,707,19056,945,63647,327,86245,451,994
Reserves668,962,84820,948,805689,911,653599,430,027547,939,094
Other liabilities338,224,8248,417,718346,642,542280,542,546272,409,661
    Totals1,058,426,11835,073,7131,093,499,831927,300,435865,800,749
Life funds1,245,500,84048,0531,245,548,8931,184,218,1431,142,883,558
    Total liabilities (and assets)2,303,926,95835,121,7662,339,048,7242,111,518,5782,008,684,307

The following table gives the amount of assets in New Zealand as at the end of each of the last three years classified under various heads. The figures given include all investments in New Zealand securities and do not relate merely to the assets held by the New Zealand branches of the companies concerned. The assets of other departments—accident, life, marine, etc.—are also included.

Assets in New Zealand195119521953
 £££
House and landed property1,446,3221,717,8911,961,534
New Zealand Government securities9,370,1419,820,97010,284,403
New Zealand local-authority securities1,049,4161,063,7071,055,310
Mortgages, etc.328,014462,920773,375
Outstanding premiums1,389,1671,663,8551,768,897
Cash and other assets in New Zealand6,618,4787,197,0888,145,726
    Total New Zealand assets20,201,53821,926,43123,989,245

SUMMARY OF BUSINESS.—The amount of business underwritten (new and renewal) has increased very substantially during the last few years. This figure for 1953 shows an increase of £192,544,329 (9.46 per cent) over 1952, while compared with five years earlier the increase amounts to £1,009,014,639, or 82.8 per cent.

The average premium rate fell from 5s. 11d. in 1949 and 1950 to 5s. 9d. in 1951 and 1952 for each £100 of insurance cover, with a further fall to 5s. 7d. in 1953. It is of interest to note that the average rate of premium twenty years ago was 8s. 9d. This average is influenced not only by movements in premium rates, but also by the varying proportions of insurance risks which are rated at higher or lower premiums than the average. It should be explained that the figures in the table which follows relate to the business conducted with the insuring public. Reinsurance transactions are not taken into account.

195119521953
Amounts underwritten   
Gross amount of insurance cover in force in New Zealand on 31 December£1,578,739,499£1,772,590,157£1,913,910,248
Number of policies representing the foregoing1,169,0841,218,4971,198,594
Gross amount of new and renewal business underwritten during year£1,830,970,989£2,034,490,444£2,227,034,773
Number of policies representing the foregoing1,298,1661,333,4951,313,855
Premiums   
    Total gross premiums charged on business (new and renewal) underwritten during year£5,262,542£5,832,656£6,229,855
Percentage of gross premiums to total amount of business underwritten5s. 9d.5s. 9d.5s. 7d.
    Total premiums (as shown above), less premiums refunded to insured other than to other offices£4,672,914£5,200,231£5,561,964
Losses   
    Total number of separate fire losses with which offices were concerned13,25014,85816,113
Gross losses£1,244,467£2,058,549£1,996,302
Percentage of gross loss to amount underwritten (new and renewal) during year (as shown above)0.070.100.09
Percentage of gross loss to total premiums less refunds to insured (as shown above)26.6339.5935.89
Average loss£94£139£124

The next table shows the position of premium income and fire claims during the period 1943–53. The figures shown correspond to those given in the previous table and refer to direct insurances only. The mounting costs of replacements are evident in the general upward trend in both premium income and claims paid. In addition, exceptionally severe losses were experienced in certain years, notably in 1947 and 1952. During 1953 one such loss, a three-story building, approximated £200,000.

YearPremium IncomeFire ClaimsPercentage of Claims to Premium Income
 ££Per Cent
19432,296,901717,09131.2
19442,206,253547,28224.8
19452,300,348560,32924.4
19462,519,396881,50435.0
19472,851,2001,705,30759.8
19483,368,7351,011,42930.0
19493,603,568981,69727.2
19504,018,7601,114,53427.7
19514,672,9141,244,46726.6
19525,200,2312,058,54939.6
19535,561,9641,996,30235.9

REVENUE AND EXPENDITURE.—A statement of the total revenue and expenditure, both gross and net, of all offices is now given in respect of New Zealand business. The gross figures include reinsurance business accepted, while the net figures comprise insurances with the public, plus reinsurances accepted, and less amounts reinsured with other offices. The gross reserve for unexpired risks, it should be noted, is calculated on the assumption that it bears the same proportion to gross premium income as does the actual net reserve to the net premium income.

195119521953
GrossNetGrossNetGrossNet
Revenue££££££
Reserve to meet unexpired risks as at beginning of year2,108,0001,089,2392,320,0001,194,2702,576,0001,333,041
Amount of fire premiums receivable during year5,671,5162,889,0066,278,0063,240,8286,756,1203,566,300
Interest and dividends on stock, mortgages, etc.106,403106,403115,741115,741126,439126,439
Rents32,14032,14029,59729,59743,86643,866
Other revenue25,47325,47322,62822,62818,24018,240
    Totals7,943,5324,142,2618,765,9724,603,0649,520,6655,087,886
Expenditure      
Amount of fire claims incurred during year, including adjustment and other expenses of settlement, but less salvage1,906,715888,0212,938,7041,107,6002,474,808977,904
Fire Board levies275,959202,421306,379226,595336,370240,848
New Zealand Government taxes398,635328,597330,126277,468510,702470,330
Local-authority rates12,6364,0474,9824,0957,2786,271
Licence fees5,6965,3235,3275,0146,1645,862
Rents29,22927,85732,77131,33139,67438,064
Allowances and commissions on premiums to agents, sub-agents, and others560,443164,662637,236198,111678,542252,101
Salaries and wages, including commissions on profits or bonuses594,251533,071668,178613,505765,332706,236
Other expenses of management287,432274,734382,265328,560444,574386,350
Reserve to meet unexpired risks as at the end of the year2,320,0001,194,2702,576,0001,333,0412,773,0001,461,877
    Totals6,390,9963,623,0037,881,9684,125,3208,036,4444,545,843

The principal items of net revenue and expenditure for 1953 of the two classes of offices operating in New Zealand are contained in the next table.

Net RevenueNet Expenditure
PremiumsTotal*ClaimsSalaries and CommissionsTotal*

* Excluding reserves to meet unexpired risks.

 £££££
Overseas companies2,174,9782,216,508690,028492,0101,863,956
Local companies1,391,3221,538,337287,876466,3271,220,010
    Totals3,566,3003,754,845977,904958,3373,083,966

The net premium income and the total net income in 1953 have, in comparison with the corresponding figures for 1952, increased by £325,472 and £346,051 respectively. The excess of net revenue over net expenditure for 1953 amounted to £670,879, as compared with the surpluses of £616,515 and £624,289 for 1952 and 1951 respectively. It should be noted that these figures are exclusive of reserves to meet unexpired risks.

The following table shows the percentage ratio of working expenses to premium income for the years 1949–53. It is sometimes contended that contributions to the fire-prevention authority are not a working expense, but should be added to the total of fire losses. While this view is not subscribed to in the compilation of the statistics, there is a definite relationship between the items, and this table shows the ratio both inclusive and exclusive of such levies.

Item19491950195119521953
Per Cent
Net working expenses (excluding taxes) to net premium income45.1844.6041.9643.4245.87
Net working expenses (excluding taxes and fire-service levies) to net premium income39.1537.8034.9536.4339.11
Gross working expenses (excluding taxes) to gross premium income (including reinsurances from other offices)33.9533.8531.1332.4533.72
Gross working expenses (excluding taxes and fire-service levies) to gross premium income (including reinsurances from other offices)29.3528.7826.2727.5728.74

It will be noted that the rates of working expenses, both net and gross, rose sharply during 1949 in line with the higher costs (mainly wage and salary) experienced by business firms generally, but the increase in premium income was sufficient to more than offset the increased costs in 1950 and 1951. Since then, however, further substantial rises in working expenses are reflected in the ratios for 1952 and 1953.

FIRES AND LOSSES.—In the following tables particulars are given of fire losses according to the causes of fires, extent of loss, etc., for the year 1952, the figures for earlier years being generally given for purposes of comparison. The data, which cover insured losses only, refer to fires which occurred during the respective calendar years, and in respect of which payments were made by the insurance company concerned not later than 31 March of the following year. These figures are therefore not comparable with the fire claims data given previously, which relate to the accounting years of the various offices, and which include such intangible items as loss of profits or rents, i.e., consequential losses.

A summary of fires and losses over the eleven-year period 1942–52 is given below. The high loss figures for 1947 and 1951 are both attributable to disastrous wool-store fires, one at Rongotai in 1946 (for which payment was not made until 1947) and the other at Parnell, Auckland, in February 1951. The loss in each case was in the vicinity of £500,000. During 1952 losses approximating £600,000 were experienced in four large fires involving commercial premises, of which three occurred in Dunedin. Higher property values are reflected in the gradual upward trend in cover and losses during the period.

YearSeparate FiresBuildings, etc., AffectedGross Cover*Gross Loss

* On buildings, etc., affected.

   ££
19425,4065,5087,644,555483,707
19435,7105,7818,936,676426,374
19446,0496,0998,817,550477,591
19456,5196,55914,838,243639,372
19466,9397,00612,730,169764,392
19477,9037,96117,103,4361,599,822
19488,9278,95821,468,138948,660
19499,2689,30521,346,440856,177
195010,17810,21222,195,8691,029,945
195111,66311,69727,415,0241,517,992
195212,60212,63837,033,9381,716,450

The average insurance claim paid for material fire damage per head of population (including Maoris) was 10s. 9d. in 1950, 15s. 7d. in 1951, and 17s. 2d. in 1952.

The total fire wastage is, of course, greater than the foregoing figures reveal, to the extent of the uninsured loss. This unknown figure is assessed by the fire authorities at 15 per cent of the insured loss, and on this assumption the 1952 property loss in New Zealand through fire would have amounted to £1,974,000.

The classification by fire districts which follows is based on the schedules to the Fire Services Act 1949 which set out in full the districts (and their status) originally constituted under the Act. Additions, deletions, and alterations in status are periodically gazetted. The administrative authority appointed by the Act is the Fire Service Council, responsible to the Minister of Internal Affairs.

Type of Fire DistrictNumber of Separate FiresGross Amount of Insurance Cover on Risks AffectedGross Amount of Loss Paid on Risks AffectedPercentage of Loss Paid to Amount at Risk
  ££Percentage
United Urban fire districts4,08917,530,358919,8285.25
Urban fire districts6,05014,195,477402,6852.84
Secondary Urban fire districts559625,45774,19211.86
Remainder of New Zealand1,7023,858,349309,1198.01
Floating risks202824,29710,6261.29
    Totals12,60237,033,9381,716,4504.63

The relationship between the number of fires and loss incurred is closely sustained for the main types of district; 80.5 per cent of fires occurred in urban (including united urban) fire districts, the loss amounting to 77.0 per cent of the total.

Causes of Fires.—Particulars regarding causes of fires are contained in the following table which covers the years 1950 to 1952.

Cause of Fire195019511952
Number of FiresAmount of LossNumber of FiresAmount of LossNumber of FiresAmount of Loss

* Included in various causes from which spread.

  £ £ £
Electricity1,88981,2792,33963,4042,624133,598
Gas17423,4882069,35225719,866
Naked lights1223,0951617,20917517,481
Defective chimneys and kindred causes40432,25044276,08362961,420
Smoking, and careless use of matches1,484162,8561,74771,2681,85779,332
Sparks from fireplaces3,91254,6154,499117,9984,50371,906
Heating, boiling-down2469,73225910,12329618,560
Highly inflammable spirits and materials251123,997263155,415292164,481
Incendiarism and arson2031,5862610,3323611,557
Outside causes26318,83024416,91727117,668
Other causes3713,137391,356307,139
    Totals, specified causes8,802554,86510,225539,45710,970603,008
Fires spread from other buildings*4026,0636952,89045176,331
Floating, travelling, and transit risks1606,3151805,58720210,626
Unknown causes1,216468,7651,258972,9481,4301,102,816
    Totals10,1781,029,94511,6631,517,99212,6021,716,450

The actual cause of many fires is not easily ascertainable, especially in cases of total, or near-total loss, where evidence as to origin is obliterated. This accounts for the high proportion of loss due to unknown causes and for the fact that the average loss per fire is much greater in these instances. During 1952 the average loss for specified causes was £55, while the average for the unspecified group amounted to £1,158. The respective figures for 1951 were £53 and £773.

The Fire Services Amendment Act 1952 provides that the Minister of Internal Affairs may appoint any person to hold an inquiry into any fire and the steps taken to deal with it, whether the fire occurred before or after the commencement of the empowering section. Statutory authority had previously existed for coronial inquiries into fires of suspicious origin until the passing of the Coroners Act 1951.

Extent of Loss.—The next table gives particulars of fire losses during the years 1950 to 1952, classified according to the amount of loss. The vast majority of fires cause only minor damage. During the three years reviewed losses of under £10 accounted for 67.6 per cent of the total number of fires, but only 2.1 per cent of the total loss sustained. The corresponding ratios for losses of under £100 were 93.1 and 7.4 per cent. At the other end of the scale the relatively small number of fires of £5,000 and over is responsible for the bulk of the insured losses. During 1952 there were nine fire losses of £20,000 and over, the total loss in this category being £752,967.

Loss Category195019511952
Number of FiresAmount of LossNumber of FiresAmount of LossNumber of FiresAmount of Loss
££ £ £ £
Under107,02425,8707,93829,9998,33032,614
10 and under251,54122,8601,95228,8132,22433,457
25 and under10088741,0481,02848,4741,14754,550
100 and under1,000543190,090558177,972652218,289
1,000 and under2,000107142,752100136,898134179,108
2,000 and under5,00050152,43349149,61583232,044
5,000 and over26454,89238946,22132966,388
    Totals 10,1781,029,94511,6631,517,99212,6021,716,450

Seasonal Incidence of Fires.—The following table gives particulars of fires and losses, etc., for the years 1950 to 1952 according to the month in which the fire occurred. It will be observed that most fires occur in the winter months, when open fireplaces and heating appliances are used to a greater extent. The majority of these fires, however, usually result in a very small amount of loss, being mainly on account of damage caused to furniture, floor coverings, clothing, etc.

Month in Which Fire Occurred195019511952
Number of FiresAmount of LossNumber of FiresAmount of LossNumber of FiresAmount of Loss
  £ £ £
January679134,67264971,27373297,548
February56976,627557560,372640157,558
March651176,23070057,663763123,932
April70464,509721114,331766221,586
May76668,2651,06156,0941,103112,029
June1,12540,2001,44689,1911,50170,178
July1,34958,0251,54470,7561,863231,493
August1,14575,3171,37783,4021,42684,487
September96665,1891,07991,8481,08185,690
October801108,40392993,7991,039297,879
November75372,945845133,48791071,409
December67089,56375595,776778162,661
    Totals10,1781,029,94511,6631,517,99212,6021,716,450

Class Groups.—Losses have been classified in broad groups according to the nature of the risk, the figures for the years 1950–52 being presented in the next table. The most numerous group, dwellings, in 1952 represented 85.3 per cent of the total fires, but only 26.7 per cent of the total loss. It should be noted that the “contents,” where insured, are included in the various class groups. Consequently the total for the dwellings group is swollen by the numerous small claims on account of damage to personal effects, etc., the actual building not being affected by the fire in many instances. The miscellaneous risks group also includes those cases where a fire has affected two or more buildings, which individually are classifiable into more than one of the other groups shown in the table, or, in some instances, single buildings housing occupiers of differing occupational groupings.

Class Group195019511952
Number of FiresAmount of LossNumber of FiresAmount of LossNumber of FiresAmount of Loss
  £ £ £
Dwellings, etc.8,556326,0379,954341,98510,748457,906
Hotels, etc.33729,19537651,23736033,801
Bulk stores, etc.2266,8273427,110285,068
Warehouses309,534282,15830118,905
Shops35157,97439386,39840693,883
Factories and industrial risks364232,357408307,951412224,957
Farm risks and station property (other than dwellings)10916,4298913,00610519,868
Theatres and places of public amusement364,011368,5384823,405
Miscellaneous risks (including unclassified)373287,581345679,609465738,657
    Totals10,1781,029,94511,6631,517,99212,6021,716,450

MUTUAL FIRE-INSURANCE ASSOCIATIONS.—Mutual associations are governed by the Mutual Fire Insurance Act 1908, which allows one hundred or more owners of isolated or farm properties to subscribe to a declaration, and form themselves into a mutual association to insure against loss by fire to an amount in the aggregate of not less than £40,000. Amendments to this Act permit these associations to conduct accident business in addition to fire insurance. Such associations effect insurance on the premium note principle, and accept premium notes to be assessed for losses in the proportion of the total amount of such notes. The amount of a member's premium notes limits his liability. As stated in the section relating to deposits, mutual fire insurance associations carrying on employers' liability insurance business are now required to deposit approved securities to a specified value with the Public Trustee.

Summarized figures for the three associations formed under the Act appear below.

Year Ended 31 MarchNet Premium IncomeTotal Net IncomeNet ClaimsReserves and FundsAssets*
FireAccidentFireAccident

* Including premium notes.

 £££££££
195045,08472,537122,9855,22820,946157,635877,335
195148,55262,228119,2616,16134,208162,2571,004,630
195257,73371,094137,76010,14432,032166,5801,165,647
195369,96175,915154,64011,93438,339181,0481,375,721
195473,53876,163160,02111,64634,192197,0821,541,644

The mutual fire-insurance associations were included in the list of mutual companies which were exempted from the operation of the Workers' Compensation Amendment Act 1947, which provided for the placing of all employers' liability insurance with the State Accident Insurance Office. This is the principal reason for a large increase in the income from the accident branches of these associations in 1948–49 and 1949–50.

FIRE BRIGADES.—At 31 March 1954 there were 211 fire brigades under the administrative authority of the Fire Service Council, of which 22 were staffed with permanent personnel numbering 492. There were also 8 station keepers and approximately 3,100 volunteers and auxiliaries.

34 D—STATE INSURANCE ACTIVITIES

STATE LIFE ASSURANCE.—The Life Insurance Department of the New Zealand Government was founded in 1869 at a time when New Zealanders had comparatively poor facilities in regard to life assurance. Payment of all policies with the State Office is guaranteed by the Government. Industrial assurance is not transacted. The administration of the Department's affairs is regulated by the Government Life Insurance Act 1953, a consolidation of the Act of 1908 and its amendments.

The total income of the Department for 1953 was £3,640,500, of which premium income amounted to £2,780,746, annuity purchase money, £26,383, and interest, rents, etc. (net), £833,371.

During the year 1953 payments were made under the following heads: matured policies (including bonus additions), £582,285; claims by death (including bonuses), £378,766; annuities, £59,799; surrendered policies and bonuses cashed, £211,399, commission, £234,125; other management expenses, £183,190; rates and taxes, £72,786; and other expenditure, £27,929.

Income and expenditure figures of the Government (Life) Insurance Department are now given for each of the five years 1949–53.

YearPremium Income (Including Purchase of Annuities)Total IncomeManagement ExpensesTotal ExpenditureRatio of Management Expenses to Total IncomeRatio of Management Expenses to Premium Income
 ££££Per CentPer Cent
19491,612,3392,222,861258,6911,263,79011.6416.04
19501,836,8862,484,291287,5061,319,94411.5715.65
19512,207,1232,900,388334,0251,497,99511.5215.13
19522,425,8653,174,719378,9811,536,88011.9415.62
19532,807,1293,640,500417,3151,750,27911.4614.87

In sharp distinction to 1952 the lower management-expense ratios for 1953 reflect the more than proportionate increase in premium and total income.

Figures showing the progress of the Department are contained in the next table. Annuities are excluded.

YearNew BusinessPolicies DiscontinuedPolicies in Force at End of Year
Number of PoliciesSum AssuredAnnual PremiumsNumberSum AssuredAnnual PremiumsNumberSum AssuredAnnual Premiums
  ££ ££ ££
194913,5088,578,568212,0394,5922,277,30655,737139,26763,519,8851,487,534
195013,8759,600,432235,4234,6812,449,93962,206148,46170,670,3781,760,751
195115,80412,276,040297,9384,8492,779,51866,622159,41680,166,9001,892,067
195219,19715,326,325348,1985,2903,187,08879,209173,32392,306,1372,161,056
195319,54417,186,512384,3235,7133,662,83386,514187,154105,829,8162,458,866

The volume of new business written continued to rise during 1953, although the rate of increase was less spectacular than in the previous year. A noteworthy feature was the increase in the average sum assured per policy. This was £777 in 1951, £797 in 1952, and £879 in 1953. In addition to the total sum assured at the end of the year, accrued reversionary bonuses amounted to £5,776,207. Immediate, deferred, and contingent annuities totalled £742,303.

The Department's balance sheet as at 31 December 1953 showed that the total assets amounted to £23,481,322, and were invested as shown in the following statement, which also gives the distribution of the assets at the end of the two preceding years for purposes of comparison.

Class of InvestmentAmountProportion to Totals
195119521953195119521953

* Mainly due and overdue premiums and interest, and interest accrued.

 £££Per CentPer CentPer Cent
Mortgages on freehold property5,969,4047,051,1697,919,05130.0432.7733.73
Loans on policies768,311843,781869,7963.873.923.71
Government securities7,860,6907,860,6908,044,98039.5536.5334.26
Local authority securities4,367,3624,847,2525,549,64121.9722.5323.63
Landed and house property480,300486,860587,8002.422.262.50
Miscellaneous assets*382,683419,318483,1611.921.952.06
Cash in hand, on current account, and on deposit44,3148,63026,8930.230.040.11
    Totals19,873,06421,517,70023,481,322100.00100.00100.00

Assurance, annuity, and endowment funds, apart from special reserves of £515,000, amounted to £22,688,868, an increase of £1,890,221 over the corresponding figure at the end of the previous year.

STATE ACCIDENT INSURANCE.—In the year 1901 the Government (Life) Insurance Department opened an Accident Branch. On 1 January 1925 the accident business was transferred to the control of the State Fire Insurance Office. General accident business was undertaken, but the branch was opened more especially to conduct insurance under the Workers' Compensation Act. In recent years other forms of accident insurance have contributed on an increasing scale to the premium income of the Office. The main classes transacted are employers' liability, personal accident, public risk, motor comprehensive, third-party risks, plate glass, and fidelity guarantee.

General Business.—A summary of revenue and expenditure during the last five years is contained in the following table.

YearRevenue*Expenditure*Ratio of Claims to Earned PremiumsTotal Assets
PremiumsTotalClaimsWorking ExpensesTotal

* Excluding reserves for unearned premiums.

 £££££Per Cent£
1949337,716367,895308,81680,798417,87879.01,162,928
1950351,335381,042287,08080,417373,06680.71,401,372
1951867,911900,677515,564146,442716,04472.61,591,481
19521,025,5781,066,108681,059190,906930,22873.71,722,029
19531,128,3601,154,077739,811242,5461,044,41868.72,015,217

The ratio of working expenses to earned premiums in 1953 was 21.5 per cent, compared with 19.4 per cent in the previous year. However, the claims experience during 1953 was the most satisfactory for several years in proportion to the total of earned premiums.

The total assets at 31 December 1953 included £1,243,719 invested in Government securities. Reserves and Funds totalled £1,197,871.

Employers' Liability Insurance Account.—The Workers' Compensation Amendment Act 1943 made it obligatory for an employer to insure against his liability to pay compensation under the principal Act.

It has been mentioned earlier that, as from 1 April 1949, all employers' liability insurances were required to be placed with the Government Accident Insurance Office. This provision was contained in the Workers' Compensation Amendment Act 1947, which at the same time exempted, subject to certain conditions, the employers' liability insurance business of certain specified mutual insurance companies from the operation of the Act. Approximately 95,000 employers were insured under the fund in 1950. This position obtained until 1 April 1951, the Workers' Compensation Amendment Act 1950 having restored the right of insurance companies to participate in this class of insurance.

The requirements of the Act and a statement of the experiences of the Account during the period of operation have been given in some detail in previous issues of the Year-Book. The Fund has now been terminated, and the assets, which at 31 December 1952 amounted to £490,147, transferred to the Industrial Welfare Deposit Account, controlled by the Treasury, to be held for the purposes of rehabilitation of injured workers and accident prevention in industry. Outstanding claims at the above date totalled £93,163, and provision for taxation amounted to £90,738. The State Office continues to handle the remaining claims, now few in number, the cost being recovered from Treasury.

The 1950 amending Act established the Workers' Compensation Board for the general administration of the Act. Particulars of the functions of the Board and other related matters are contained in Section 38F of this volume, which reviews generally the subject of workers' compensation.

STATE FIRE INSURANCE.—The New Zealand State Fire Office was the first competitive State fire insurance office in the world, and opened for business on 4 January 1905 with a borrowed capital (long since repaid) of £2,000. The income of the Office in its first year was £13,135.

Marine insurance has been undertaken since 1947.

At the end of 1936 the bonus rebates then in existence were converted into permanent premium-rate reductions, a new series of bonus rebates being instituted at the same time. On 1 March 1944 premium rates on wooden buildings were further reduced and, in addition, bonus rebates were once more converted into permanent premium-rate reductions, a further series of 10 per cent on wooden risks and 15 per cent on brick risks being granted at the same time. This series was increased on 1 November 1947 to 20 per cent on renewals on both wooden and brick risks. As from 1 October 1949 a rebate of 10 per cent was granted on new business, while the rebate on renewal business was increased to 25 per cent on 1 January 1950, with a further increase to 33⅓ per cent as from 1 January 1951.

A satisfactory advance of £62,849 in net premium income was experienced during 1953. Losses showed a decrease of £27,972, but working expenses increased by £36,986 and taxes by £36,675. Nevertheless, the net surplus rose from £36,328 in 1952 to £63,547 in 1953.

YearNet Premium IncomeTotal Net Income*Net LossesTotal Net Expenditure*Accumulated FundsTotal Assets

* Excluding reserve for unearned premiums.

 ££££££
1949261,981330,17257,327233,1561,544,3671,825,862
1950293,989354,07771,362277,5021,592,0612,341,849
1951312,099415,97281,768348,3231,659,7101,999,143
1952375,801457,248114,046389,0701,727,8881,971,491
1953438,650528,79986,074433,8281,822,8602,051,114

The percentages of various classes of expenditure to earned premiums and total income are given below.

Item195119521953
Ratio of claims to earned premiums25.933.121.1
Ratio of working expenses to earned premiums43.651.652.7
Ratio of Fire Service Council levies to earned premiums10.010.08.8
Ratio of Government taxes to total income16.88.214.3

EARTHQUAKE AND WAR DAMAGE INSURANCE.—The Earthquake and War Damage Act 1944, which came into force on 1 January 1945 (repealing the War Damage Act 1941), provided for both compulsory and voluntary insurance against these two classes of risks. By the Act an account—the Earthquake and War Damage Fund—was established, into which all moneys received are paid, the Fund being administered by a Commission. All property insured against fire is deemed to be insured to the extent of the indemnity value against earthquake and war damage. Premiums at the rate of 1s. for each £100 of insurance cover are collected by the insurance companies and paid into the Fund (less commission of 2½ per cent). During the war premiums levied under the original Act were collected by the companies without recompense.

The Act provides for both compulsory and voluntary insurance against earthquake and war damage. Under the compulsory provisions of the original Act all property insured to any amount under any contract of fire insurance with an insurance company is deemed to be insured to the same amount against earthquake damage and war damage. An amending Act passed in 1951, however, provides that where the contract of fire insurance provides for the settlement of the claim upon the basis of the replacement value, the compulsory earthquake and war damage insurance will be for the amount of the indemnity or present value only. If the present value is certified by a registered architect or a registered valuer, the earthquake and war damage premium will be charged on the amount so certified. Under the voluntary provisions of the Act any person having an insurable interest in any property may make application to the Commission for earthquake or war damage insurance, and a contract may be made for the insurance of any property that is not insured under the compulsory section of the Act, or for the insurance to an additional amount of any property that is so insured.

Advances may be made from the Consolidated Fund if at any time the amount in the Earthquake and War Damage Fund is not sufficient to meet the claims thereon.

“Earthquake damage” is defined as damage occurring as the direct result of earthquake or of fire occasioned by or in consequence of earthquake. It also includes damage occurring as the direct result of measures taken under proper authority to avoid the spreading of, or otherwise to mitigate the consequence of, any such damage. In addition to damage occurring as a direct result of action by the enemy, “war damage” included damage occurring as the direct result of measures taken in combating the enemy or precautionary or preparatory measures taken under proper authority with a view to preventing or hindering any enemy or anticipated enemy action. It also includes accidental damage occurring as the direct result of any explosion or fire which involves any explosives or munitions, etc., required for war purposes.

In the last three financial years the number of claims on the Fund was 232 in 1951–52, 69 in 1952–53, and 457 in 1953–54.

During the financial year 1949–50 an extension of the scheme was instituted to provide some measure of protection to the insured against storm and flood of an abnormal or widespread nature. Finance is provided by crediting 10 per cent of the premiums compulsorily collected under the Act to a special Disaster Fund, without further liability on the Earthquake and War Damage Fund. Cover is limited by a “franchise" or “first loss” deduction of 5 to 10 per cent of the insured loss, which proportion is borne by the insured. During the year ended 31 March 1954, 381 storm and flood claims were received, compared with 258 in 1952–53, and 261 in 1951–52.

The following is a comparative statement for the last six years of the operations of the Earthquake and War Damage Act, together with a statement showing the position from the inception of the Fund to 31 March 1948.

19 Dec. 1941 to 31 Mar. 19481948–491949–501950–511951–521952–531953–54

* Figures cover last five months of year—i.e., from commencement in November 1949.

Income—       
  Premiums—£££££££
    Earthquake and war damage5,503,030540,704563,009631,982754,127860,215939,109
    Storm and flood....24,158*70,62883,55395,426104,288
  Interest503,150129,591179,761192,871220,585258,090309,497
      Totals6,006,180670,295766,928895,4811,058,2651,213,7311,352,894
Outgo—       
  Claims—       
    Earthquake and war damage11,29612,8762,16119,3414,04489312,196
    Storm and flood....6,606*1,9869,87522,36427,953
  Salaries and expenses of management26,1964,3083,4263,9424,6984,6615,585
  Discount to insurance offices39,37513,57314,94717,65220,89223,83126,026
  Exchange adjustment..339,525..........
    Totals76,867370,28227,14042,92139,50951,74971,760
Surplus5,929,313300,013739,788852,5601,018,7561,161,9821,281,134
Earthquake and War Damage Fund5,929,3136,229,3266,952,2927,738,3698,686,0069,773,26810,974,138
Disaster Fund....16,822*83,305154,424229,144309,408

The item “exchange adjustment” of £339,525 in 1948–49 is the depreciation in the New Zealand value of the Commission's overseas funds as the result of the alteration in the exchange rate to parity with sterling which came into operation during 1948.

Chapter 35. SECTION 35—INCOMES AND INCOME TAX

Table of Contents

INCOMES AND TAX ASSESSMENT.—A system of annual statistics from the particulars on the income-tax returns was inaugurated in 1923 and was continued up to and including the income year 1930–31, but was then discontinued for reasons of economy. The compilation was later resumed, commencing with the income year 1933–34, but following the 1940–41 tabulation it was found necessary to suspend activities in this connection owing to shortages of staff, etc., arising from war conditions. The compilation of these statistics was again resumed commencing with the income year 1945–46.

Commencing with the income year 1947–48 the previous system of a full enumeration of all assessments was abandoned, and a system of estimating from a sample consisting of approximately 10 per cent of the total number of assessments was substituted. Provision was made at the same time to obtain a complete coverage of all incomes of £2,500 and over. The selection of the sample was governed principally by considerations of administrative convenience. All assessments issued to persons whose surnames commenced with one of the three chosen letters of the alphabet were included in the sample. It had previously been determined that the assessments included in these letters, which, when aggregated, amounted to approximately 10 per cent of the total number, were a reasonably representative section of the whole as far as incomes under £2,500 were concerned. Three letters of medium size in regard to numbers of assessments were adopted in preference to taking the results of one (or two) of the letters having larger numbers of assessments in order to spread as evenly as practicable the work of preparing the assessments for the statistical compilation.

Other than the provision for a full enumeration of all incomes of £2,500 and over (£3,000 and over for the income year 1951–52), no direct attempt was made to stratify the sample by size of income, or any other factor. While it would have been desirable from some angles to have increased the proportional representation of the sample as the income groups ascended the frequency distribution scale, this would have impaired the administrative simplicity of the scheme of sampling adopted. The use of an overall 10 per cent sample ensures adequate coverage of all income groups, but the numbers yielded are, in the lower income groups, more than are actually necessary to give reliable results.

The use of the sampling method explains the “rounded-off" figures which are shown for the statistics in the tables which follow. In some cases this process of rounding-off results in the total figure given disagreeing slightly with the aggregate of the component items.

The figures are given to the nearest ten for numbers of assessments, etc., and to the nearest ten thousand for the amounts columns. These units were adopted to lessen the difficulties associated with the rounding-off of the figures. It is not intended to imply that the estimates are regarded as having a degree of accuracy as high as the units in which the results are expressed. The accuracy of the estimates appears to be such that the “thousands" of the numbers of assessments, and the “hundred thousands” of amounts are approximately correct.

Information concerning the system of income tax in New Zealand is given earlier under the heading of “Taxation" (see pp. 726–732). The statistical data relating to income tax given in this Section more properly belong to the Taxation subsection referred to, but it is considered preferable to treat the figures relating to the incidence of tax with those showing the distribution of the incomes on which the tax is assessed.

The returns from which these statistics are compiled are required from all taxpayers. In addition, whether taxpayers or not, all taxable companies and taxable public or local authorities engaged in any profession, trade, manufacture, or undertaking carried on for pecuniary profit, irrespective of the amount of income derived, and all persons in receipt of incomes of £300 or over, in the 1951–52 income year were required to furnish returns. As far as individuals are concerned, the statistical compilation is, however, limited to taxpayers and to persons whose returnable incomes amount to £300 or over.

The reference to individuals whose returnable incomes are £300 or over should not be interpreted as meaning that there is a complete coverage of incomes over that amount. Certain types of non-assessable income, including war pensions and social security monetary benefits, are excluded from the returns, and are therefore completely omitted from these statistics. The social security universal superannuation benefit became part of the assessable income from 1 October 1951. The coverage of the returns is also incomplete in one other respect. A number of persons with assessable incomes of between £300 and £400 fail to furnish returns. The personal exemption of £200 and the tax rebate of £15 in the 1951–52 income year account for the first £318 of assessable income. The great majority of missing returns for income over £318 represent persons who are known to be entitled to other exemptions which would bring them into the non-taxpaying category.

It is estimated that in the 1951–52 income year, 12,120 individuals who were engaged in farming, private trading, etc., had returnable incomes of less than £300. Their incomes were distributed as follows.

Amount of IncomeNumberAggregate Income
£ £ £
Loss1,610..
0–991,980110,000
100–1993,050470,000
200–2995,4801,370,000
    Totals12,1201,950,000

The industrial distribution of these “under £300" incomes is as follows.

Industry GroupNumberAssessable Income
Agriculture and livestock production— £(000)
  Sheep farming1,810200
  Dairy farming3,720600
  Other farming2,310320
    Totals7,8401,120
Forestry, hunting, and fishing11020
Mining and quarrying....
Manufacturing—  
  Food, drink, and tobacco9010
  Apparel, textiles, and footwear37080
  Metals, and metal products11020
  Other12020
Construction670140
Commerce—  
  Wholesale and retail trade1,180230
  Other6010
Transport, storage, and communication28050
Services—community—  
  Professional25050
  Other1,040200
    Totals12,1201,950

The above figures do not include salary or wage earners, or those individuals receiving “investment" income. As returns are not furnished in such cases, there is not sufficient data available from income-tax sources to make a reasonably accurate estimate possible.

It should be explained that the incomes earned during an income year are returned and assessed for income tax in the next succeeding year. Therefore the statistics for the income year 1951–52, which are, in general, the incomes earned during the twelve months ended 31 March 1952, are also substantially the statistics of the assessment or taxation year 1952–53.

The ideal of including in the statistics all incomes (over the minimum limit) for the income year in question and excluding all other income years is approached as closely as practicable. Taking the 1951–52 income year as an example, all assessments made up to approximately the end of May 1953 were included in the statistics. Late assessments for previous income years which were made after the end of May 1952 were also included, on the assumption that they would reasonably represent assessments of 1951–52 incomes not made by the closing date. Incomes of £3,000 and over were treated in a slightly different manner; if the assessment for the current year had not been made by the closing date, then the previous year's income data for that taxpayer was included. For practical purposes the statistics are regarded as being on an income-year basis.

SUMMARY OF INCOMES, EXEMPTIONS, AND TAX.—The following table briefly summarizes the main items of information for each of the last five income years available. Both individuals and companies are included in this table.

Item1947–481948–491949–501950–511951–52

* Proprietary income is excluded from assessable and taxable income and included in returnable income.

Number of assessments531,382560,196600,839623,489604,475
Number of taxpayers367,601412,894466,264468,066536,103
 £(000)£(000)£(000)£(000)£(000)
Assessable income*324,317350,451405,828491,074526,381
Returnable income*339,786367,166422,876511,247550,031
Exemptions—     
  Personal106,040111,830120,490125,680122,760
  Other51,03055,00059,74062,96066,760
Taxable income167,247183,621225,598302,434336,861
Income tax assessed44,30346,18956,92577,97676,753

A strict comparison of the figures for one year with those of another is not possible, as changes in compilation practice and numerous amendments in income-tax law have affected the comparability of the figures.

CLASSES OF TAXPAYERS.—"Individuals" comprise all assessments for individual persons. Partnership returns are ignored in the compilation, as the individual shares of partnership income are included in the individual tax assessments. The incomes of deceased persons' estates are not included as the greater part of these are transferred to the assessments of the beneficiaries, which are, of course, included in these statistics if they have incomes of £300 and over.

The term “companies" not only covers companies incorporated under the Companies Act 1933 and other Acts relating to the formation of companies, but also includes local and public authorities, associations (incorporated or unincorporated), and aggregations of individuals (other than partnerships) which form separate and distinct entities for income-tax purposes. Government Departments which are liable to pay income tax are included, but local and public authorities are generally not taxable even in respect of their trading operations, and consequently are not included in these statistics.

Non-resident traders are not now separately classified, but are included either as individuals or as companies.

A classification on the basis of class is given in the following table for each of the last three available tax years.

ClassNumber of AssessmentsNumber of TaxpayersAssessable Income*
1949–501950–511951–521949–501950–511951–521949–501950–511951–52

* Excluding proprietary income.

       £(000)£(000)£(000)
Individuals584,700605,480585,040452,730452,890519,750344,280415,060441,120
Companies16,13918,00919,43513,53415,17616,35361,54876,01485,261
    Totals600,839623,489604,475466,264468,066536,103405,828491,074526,381

The numbers of assessments for individuals in the 1951–52 income year covered 514,830 males and 99,120 females, a total of 613,950. The figures quoted for males and females include in their respective sexes the number of husbands and wives who were issued with combined assessments under the provisions relating to the aggregation of the incomes of husband and wife. In the statistical tables such combined assessments are counted as one assessment only. There was a decrease of 14,850 individuals as compared with the previous year's total. This was due to the raising of the lower income limit from £200 to £300.

AMOUNT OF INCOME.—The broad principle adopted in calculating the assessable income is that any expenditure or loss exclusively incurred in the production of assessable income for any year may be deducted from the total income from any assessable source for that year. Depreciation is allowed, varying rates for different classes of assets being fixed. The assessable income is approximately equivalent to the net profit as determined by the normal commercial accounting systems. It is, on the whole, rather higher than the commercial net profit, since certain types of expenditure which are regarded as a revenue charge in commercial accounts are not permissible deductions from income for income-tax purposes.

Where the operations of a source of income which would be assessable for income tax have resulted in a loss for the year, the loss may be set off against assessable profits from other sources (if any) or, in default thereof, may be set off against assessable profits in the three following years. The Land and Income Tax Amendment Act 1953 extended this period to six years, but does not apply to losses incurred before the income year 1949–50. Capital profits are not assessable and capital losses are not deductible.

INCOMES OF INDIVIDUALS: Assessable Income. — Summarized figures according to amount of assessable income of individuals are now given for the last three income years available.

Amount of Assessable IncomeNumber of AssessmentsAssessable Income*
1949-501950–511951–521949–501950-511951–52

* Excluding proprietary income.

£    £   £(000)£(000)£(000)
Under 30071,63062,30072,53018,18015,79025,270
300–399103,87083,36036,61029,250
400–499142,030120,63088,29063,52054,36039,800
500–599100,300116,930112,78054,44063,72061,740
600–69954,05071,67095,93034,76046,03061,860
700–79930,91040,67063,34022,99030,29047,190
800–89920,40024,70041,04017,20020,83034,660
900–99912,95016,61026,51012,24015,67025,060
1,000– 1,19937,69019,99029,97050,54021,61032,420
1,200– 1,39910,93015,78014,10020,300
1,400– 1,5997,5409,75011,25014,540
1,600– 1,7995,4306,1509,21010,430
1,800– 1,9993,6604,3606,9208,240
2,000– 2,9997,12010,89011,85016,85026,13028,460
3,000– 3,9992,1034,8803,6587,21616,72812,547
4,000– 4,9997962,3101,5153,52010,2466,694
5,000– 5,9993521,1446891,9176,2223,754
6,000– 6,9991836453281,1734,1642,108
7,000– 7,9991183691728852,7461,278
8,000– 8,999622171105261,838932
9,000– 9,99929157792741,487748
10,000–19,999893971891,1035,1412,418
20,000–29,9991147203411,328481
30,000 and over5191
    Totals584,700605,480585,040344,280415,060441,120

The greater part of the substantial movements in the numbers of taxpayers on the higher income levels are due to the changes in the incomes of sheep farmers. The assessable incomes of sheep farmers, which aggregated £28,170,000 for 1949–50, rose to £58,220,000 in 1950–51 as the result of the abnormally high wool prices of that year, and then fell to £39,390,000 when wool prices receded in 1951–52.

The changes in the distribution of assessable incomes are perhaps more clearly illustrated by the percentages which appear in the table below.

Amount of Assessable IncomeNumber of AssessmentsAssessable Income
1949–501950–511951–521949–501950–511951–52
£    £Per CentPer CentPer CentPer CentPer CentPer Cent
Under 30012.2510.2927.495.283.8014.75
300– 49942.0633.6929.0820.14
500– 99937.3844.6958.0541.1442.5452.28
1,000–1,9996.457.8511.2814.6815.2019.48
2,000 and over1.863.483.189.8218.3213.49
    Totals100.00100.00100.00100.00100.00100.00

Taking into account only those individuals who received £300 or over, the 10 per cent who received the highest incomes had an average assessable income of £1,954 in 1951–52, compared with £2,286 in 1950–51 and £1,697 in 1949–50.

Unearned Income.—The Land and Income Tax Amendment Act 1950 abolished the additional income tax payable on unearned incomes. This amendment became effective for the 1949–50 income year. Income-tax assessments no longer distinguish between earned and unearned income, but as the question of the proportion of unearned income has statistical significance from the incomes aspect, the distinction has been preserved for statistical purposes. The statistical table which follows gives the amount of unearned income. The figures relate to assessable unearned incomes and do not include company dividends, company “proprietary" income, etc.

Earned income was defined as all income derived from any source by a taxpayer (not being a company or a public or local authority) by reason of his personal exertions. Pensions and superannuation were regarded as earned incomes. Unearned income was all income that was not regarded as earned income. It should be noted that workers' compensation payments, war pensions, and social security benefits (except for the universal superannuation benefit which became taxable as from 1 October 1951) are not taxable and are not included in these statistics.

Amount of Assessable IncomeUnearned Income*Proportion of Assessable Income
1949–501950–511951–521949–501950–511951–52

* Excluding proprietary income.

£ ££(000)£(000)£(000)Per CentPer CentPer Cent
Under 3009608809905.35.63.9
300– 3991,2409903.43.4
400– 4991,4901,0801,0502.32.02.6
500– 5991,1709801,0602.11.51.7
600– 6999009308602.62.01.4
700– 7997307808303.22.61.8
800– 8996105507003.52.62.0
900– 9995904406004.82.82.4
1,000– 1,1992,5808008505.13.72.6
1,200– 1,3995705904.02.9
1,400– 1,5994606404.14.4
1,600– 1,7993802904.12.8
1,800– 1,9993503305.14.0
2,000– 2,9998701,0701,2405.24.14.4
3,000– 3,9994455625046.23.44.0
4,000– 4,9992244492986.44.44.5
5,000– 5,9991652712378.64.46.3
6,000– 6,999922041367.84.96.5
7,000– 7,99969141967.85.17.5
8,000– 8,9994886639.14.76.8
9,000– 9,9997102572.66.97.6
10,000–19,999863132237.86.19.2
20,000 and over5150111.511.31.6
    Totals12,28012,54011,6603.63.02.6

It is obvious from the percentages shown in the table that unearned incomes have not risen to the same extent as earned incomes. Generally the proportion of unearned to assessable income increases as the amount of assessable income grows, although exceptions to this rule will be observed. The higher ratios for the lowest income groups are mainly attributable to the inclusion of larger than normal numbers of retired persons, whose incomes are principally drawn from unearned sources.

Proprietary Income. — There are two factors which must be present before the income of a company can be proprietary income in the hands of the shareholder. The first is that the control must be in the hands of not more than four persons. If this is the case, then the company is a proprietary company. The second factor is that a shareholder of a proprietary company is not a proprietary shareholder unless he is entitled to receive not less than one-fifth of the company's income. Only in the case of a proprietary shareholder in a proprietary company is the shareholder's proportion of the company's residual taxable and non-assessable income transferred to the shareholder's assessment. A proprietary shareholder may be an estate or another company.

Where proprietary income is transferred to the shareholder's assessment that income becomes assessable income in the hands of the shareholder. Any dividends received from the proprietary company are then ignored. The tax is assessed on the taxable balance (including proprietary income), provision being made for a credit in respect of tax already paid on that income by the company. In the statistics such proprietary income is included only in the returnable income. It has been excluded from the unearned, the assessable, and the taxable incomes.

Returnable Income. — In addition to the proprietary income which is included in returnable income, certain classes of non-assessable income are taken into account in determining the amount of tax payable on the balance of the assessable income. The classes concerned mainly comprise dividends from companies trading in New Zealand, interest on New Zealand Government securities issued free of tax, and interest on company debentures issued free of tax or with a floating rate of interest. Company dividends, or proprietary income in lieu of company dividends, are actually by far the largest source of non-assessable income.

Returnable income therefore comprises assessable income plus proprietary income and the classes of non-assessable income mentioned in the preceding paragraph.

The following table gives particulars of the number of assessments and total returnable income of individuals according to size of income for the three latest income years available.

Amount of Returnable IncomeNumber of AssessmentsReturnable Income*
1949–501950–511951–521949–501950–511951–52

* Including proprietary income.

£    £   £(000)£(000)£(000)
Under 30070,24060,92070,85017,93015,54024,870
300– 399102,73082,75036,22029,030
400– 499141,550120,28087,81063,30054,21039,590
500– 59999,400115,980112,07053,95063,21061,330
600– 69953,70070,93095,37034,54045,56061,500
700– 79931,29040,54062,95023,27030,20046,890
800– 89920,37024,76040,93017,20020,89034,570
900– 99912,92016,57026,49012,22015,62025,040
1,000– 1,19939,34020,27029,93052,99021,93032,410
1,200– 1,39911,40015,81014,73020,350
1,400– 1,5997,82010,08011,68015,040
1,600– 1,7995,6706,5309,61011,080
1,800– 1,9993,9304,7807,4609,030
2,000– 2,9998,00011,64012,58019,07027,98030,370
3,000– 3,9992,6235,6164,4469,01619,28615,289
4,000– 4,9991,1492,7001,9855,08211,9798,794
5,000– 5,9995231,3819882,8507,5005,385
6,000– 6,9992927784931,8765,0333,168
7,000– 7,9991894652721,4163,4682,029
8,000– 8,9991212771551,0302,3451,315
9,000– 9,999511961354851,8551,276
10,000–19,9991805273352,3656,8724,327
20,000–29,9992980401,0112,506939
30,000–39,99914488
40,000 and over4289
    Totals584,700605,480585,040355,820428,490455,370

From a comparison of the foregoing table with that based on the amount of “assessable" income it will be observed that the larger income categories are most affected by the inclusion of non-assessable and proprietary income. For the income year 1951–52 the aggregate of nonassessable, etc., income was £14,250,000. With the exception of £1,140,000 received by those having returnable incomes of less than £1,000, this amount was shared by the medium and higher income groups. The general tendency is for the proportion of non-assessable, etc., income to rise as the total income rises.

Aggregation of Incomes: Husband and Wife.—The incomes of husband and wife are aggregated if (a) they are living together, and (b) the returnable income in each case exceeds £200. The income of the wife is deemed to be the income of the husband, and an aggregate assessment is made in the name of the husband. In such cases a personal exemption of £200 is allowable for the wife, in addition to that allowable to the husband, and also all other special exemptions to which both husband and wife would have been separately entitled. Two separate general rebates from the amount of tax payable are also allowed. Provision is made for separate assessments if written application is made by either the husband or wife before an aggregate assessment has been made. The total tax payable under the separate aggregated assessments is that payable under the combined assessment, but apportioned between husband and wife according to their respective incomes. The above remarks give the provisions of the law as it applied to the income year 1951–52. The 1954 amending Act considerably altered the aggregation provisions (see page 729).

The following table shows the numbers of “aggregate" assessments for the three latest income years, according to the amount of assessable income. In this, as in the other tables, an “aggregate" assessment is counted as one assessment only. Each assessment, however, includes two returns of income.

Amount of Assessable IncomeNumber of Assessments
1949–501950–511951–52
£    £   
Under £5004010..
500–599570230160
600–6992,5101,6701,010
700–7994,2204,7103,090
800–8993,6704,9405,180
900–9992,3603,6605,630
1,000–1,9993,9206,44011,960
2,000–2,9995606901,070
3,000–3,999239411397
4,000–4,999128201170
5,000–9,999110277206
10,000 and over177430
    Totals18,34023,32028,910

In recent years the numbers of aggregated assessments have been rising at a fairly constant rate of 5,000 per annum.

It should be noted that the above table includes only those cases where there is no election by the husband or wife to receive separate assessments at the rate of tax appropriate to the aggregated taxable incomes. This right of election is frequently exercised, but the actual number of cases is not available from these statistics.

Sources of Income.—In the compilation of the statistics for the years prior to 1948–49 a distinction was made as to the source from which assessable income was derived, incomes being divided into ten groups according to source as follows: (i) salary or wages; (ii) following professional occupation on own account; (iii) commerce, trade, or business; (iv) industry or manufacture; (v) farming; (vi) provision of transport or communication; (vii) building or construction; (viii) mining or extraction; (ix) investments and the like; (x) provision of or engaging in entertainment.

Since the income year 1948–49 incomes from businesses have been classified according to an industry code. Incomes from salary or wages have been analysed into the more important occupations.

The following table shows the distribution of incomes of individuals classified by the principal source groups, and also the average assessable and returnable incomes for the income year 1951–52.

Source of Assessable IncomeNumber of AssessmentsAssessable Income*Returnable IncomeIncome Tax AssessedAverage Assessable IncomeAverage Returnable Income

* Excludes proprietary income.

Agricultural and livestock production— £(000)£(000)£(000)££
  Sheep farming20,95039,39039,8809,7901,8801,904
  Dairy farming32,47032,55032,6603,6001,0021,006
Other14,57016,37016,4802,3701,1241,131
    Totals67,99088,31089,02015,7601,2991,309
Forestry, hunting, and fishing1,4701,3401,360170912925
Mining and quarrying4005805901001,4501,475
Manufacturing—      
  Food, drink, and tobacco7407908101001,0681,095
  Apparel, textiles, and footwear1,070950970110888907
  Metals and metal products1,8602,0002,0302801,0751,091
  Other1,6301,7101,7502301,0491,074
Construction9,7209,2609,4201,010953969
Electricity, gas, water, and sanitary services505050..1,0001,000
Commerce—      
  Wholesale and retail trade13,65014,02014,4601,9201,0271,059
  Other9501,5001,5703201,5791,653
Transport, storage, and communication4,5704,3804,430520958969
Services, community—      
  Professional5,84010,88011,3502,3901,8631,943
  Other6,5405,9305,990710907916
    Totals48,49053,39054,7907,8601,1011,130
Salary or wages460,190293,040303,19017,610637659
Investment income8,3706,3808,3701,0307621,000
Grand totals585,040441,120445,37042,260754761

Individuals in the above table whose incomes are derived from sources other than salary or wages, or investment income, are classified according to the United Nations industries classification. The United Nations “enterprise" concept forms the basis of the classification. Under this concept, if an individual receives income from two or more of the separately classified industries, the whole of the income is classed as if derived from the industry which provides the largest amount of income, and no attempt is made to allocate the component portions of the income to the different industries from which derived. These statistics are therefore not exactly comparable with most other types of statistics where the “establishment" concept is generally used. This provides for the division of the enterprise into establishments, where more than one separately classifiable industry is carried on, and the establishments are then appropriately classified.

As some indication of the extent to which the figures are affected by the principle of classifying the whole income according to the source of the largest amount of assessable income, source salary or wages includes £3,580,000 unearned income, and source investment income includes £830,000 earned income.

The same principles are followed in the occupational classification of salary or wage earners —i.e., if more than one occupation is involved, the occupation which has produced the largest income is the one which is used for classification purposes.

It will be noticed that the greatest part of non-assessable income—i.e., the difference between the assessable and returnable incomes shown in the above table—is included in the salary or wages group. This is mainly due to the fact that the principal shareholders of companies frequently receive salaries as managing directors or managers of their companies. As such salaries constitute the principal source of their assessable income, these individuals are included in the salary or wages group.

The salary or wage earners in the previous table are analysed in the next table according to the personal occupation followed. The data for the income year 1951–52 are shown for the principal occupational groups.

Occupational GroupNumber of AssessmentsAssessable Income*Returnable IncomeIncome Tax AssessedAverage Assessable IncomeAverage Returnable Income

* Excludes proprietary income.

  £(000)£(000)£(000)££
Professional, technical, and related workers29,05019,64019,8201,260676682
Managers, administrators, and officials21,74026,71035,4304,6501,2291,630
Clerical, office, and related workers73,12044,56044,7902,220609613
Salesmen and related workers30,74018,73018,880940609614
Farmers, fishermen, hunters, lumbermen, and related workers31,63017,86018,020880565570
Workers in mine, quarry, and related occupations5,1003,1303,130140614614
Workers in operating transport occupations27,70017,96018,000870648650
Craftsmen, production process workers, and workers in related occupations132,80082,15082,3803,900619620
Manual workers and labourers, n.e.i.73,46042,05042,0801,800572573
Service and related workers18,59010,54010,550470567568
Unknown and unreported occupations81045052030556642
Armed forces9,6406,2606,260340649649
Not actively engaged14,1809,39011,7001,160662825
    Totals468,560299,420311,56018,660639665

The “not actively engaged” group in this table include those whose principal source of income is interest, rents, etc. The remainder of this group consists of superannuitants whose assessments are included in the salary or wage group of the source classification.

Exemptions.—In the case of individuals contain statutory deductions are made from the assessable income, and income tax is paid on the balance. Absentees are not usually entitled to the benefit of exemptions other than the personal exemption. The exemptions in force for assessments of the income received during the income year 1951–52 were—

  1. A personal exemption of £200.

  2. An exemption of £100 in respect of a dependent husband or wife whose personal income did not exceed £50. The exemption was diminished by £2 for every £1 of the wife's income in excess of £50.

  3. An exemption not exceeding £100 in respect of a housekeeper employed by a widow, widower, or divorced person to have the care and control of any child or children.

  4. An exemption for contributions not exceeding £50 towards the support of a relative by blood, marriage, or adoption who was dependent on the taxpayer. Children of the taxpayer were included in this definition. The exemption was not allowed if the relative was in receipt of a monetary benefit (other than a family benefit for children) from the Social Security Fund.

  5. Life-assurance premiums, National Provident Fund, superannuation, and similar contributions. An exemption was allowed up to a maximum of 15 per cent of assessable income or £150, whichever amount was the less.

The Land and Income Tax Amendment Act 1954 increased the personal exemption to £375 and the children's exemption to £75. This Act also provided for an exemption of £125 for a dependent wife or husband, with the exemption diminishing at the rate of £1 for every £1 of the wife's income in excess of £125. The maximum exemption for life insurance premiums had been increased to £175 in 1953.

A tax rebate of £26 was allowed in lieu of the exemption if the exemption for a wife, a housekeeper, or a dependent relative would reduce the amount of tax payable by more than £26 in respect of any such exemption. The tax rebate in lieu of the exemption for a wife operated when the taxable income (the assessable income less any exemptions, including the wife's exemption), plus non-assessable, exceeded £980. In the case of a relative, the tax rebate came into effect when the taxable income plus non-assessable exceeded £2,980. In both these cases it has been assumed that the full exemption of £100 or £50, as the case might be, would apply.

In the statistics the exemptions were applied in the order in which they appear in the foregoing list. For example, a married man with three children was entitled to the following exemptions: personal, £200; wife, £100; relatives, £150; and (say) £25 life-assurance premiums, etc. The total exemption was thus £475. Assuming that his assessable income was £440, the exemptions were reduced to a total sufficient to make the taxable balance “nil,” and were recorded as personal, £200; wife, £100; and relatives, £140.

The next table shows the aggregate amounts of exemptions allowed for the income year 1951–52. Details of the numbers of cases where the tax rebate is allowed in lieu of the exemption will be found later in this Section.

Amount of Assessable IncomePersonalWife, HousekeeperChildren and RelativesLife Assurance, Etc.Total
£ ££(000)£(000)£(000)£(000)£(000)
Under 40014,4601,12051035016,440
400– 49917,6502,9302,23069023,500
500– 59922,5905,7804,8401,19034,400
600– 69919,3906,2505,8001,51032,960
700– 79913,2904,4804,3901,41023,570
800– 8999,2502,8002,7601,14015,950
900– 9996,4301,6401,75077010,590
1,000– 1,1997,3501,7601,9401,09012,140
1,200– 1,3993,7108401,1007106,350
1,400– 1,5992,1801506704903,490
1,600– 1,7991,400103903702,160
1,800– 1,999960..3102601,540
2,000– 2,9992,590107708104,180
3,000– 3,99981221203231,256
4,000– 4,9993371..141479
5,000– 5,999155...65219
6,000– 6,99978....31109
7,000– 7,99940....1756
8,000– 8,99926....1137
9,000– 9,99919....826
10,000–19,99943....2164
20,000 and over6....29
    Totals122,76027,77027,58011,410189,520

The operation of the previously mentioned rule regarding reduction of potential exemptions has the result that the actual exemptions for children are considerably less than the potential exemptions in the under £400, £400-£499, and even higher income groups.

The relation between the number of children and the amount of income is a matter of some interest. In the next table the number of dependent children in the household who were under the age of sixteen years are given for each assessable income group.

Amount of Assessable IncomeNumber of Children (Under Sixteen Years)
0123456789 and overTotal
£    £           
Under 40064,1903,3002,4701,22063035020090404072,530
400– 49967,2707,3606,1803,6801,79099060017014011088,290
500– 59970,34015,06014,2307,3002,9401,33090036023090112,780
600– 69946,37016,41016,9409,5004,1401,4506603001303095,930
700– 79927,69011,05012,1006,6703,3901,550490230908063,340
800– 89918,4207,0507,8604,3802,070650310180408041,040
900– 99912,5504,4704,4602,9501,090460310120604026,510
1,000–1,19914,4704,6804,9703,3401,63052028050102029,970
1,200–1,3997,3002,3602,8701,80092030016040101015,780
1,400–1,5994,5001,3901,9001,040520290702020..9,750
1,600–1,7992,9508701,1507502906090.....6,150
1,800–1,9991,9206608705601601403020....4,360
2,000–2,9995,8701,7301,7401,3207102901005030..11,850
3,000–3,9991,80149357646221680168243,658
4,000–4,999796200193197833112..3..1,515
5,000 and over925172207148943471221,592
    Totals347,36077,25078,72045,32020,6708,5304,2301,640810510585,040

The amount of assessable income does not, of course, include the social security benefit of £26 per annum for each child under sixteen years. There are 543,910 children represented in the above figures, which therefore fail by a considerable margin to account for all the children in New Zealand who are less than sixteen years. One obvious factor accounting for the omission of children from these statistics is that assessable incomes of less than £300 are not covered. There is, however, evidence which suggests that a considerable number of non-taxpayers claim exemptions for only a number of children sufficient to bring them into the non-taxpaying category, with the result that the numbers of children recorded for the lower income groups understate the true position.

Taxable Income and Tax Assessed.—After all exemptions have been deducted from the assessable income the balance of income (if any) is taxed in accordance with the basic rates plus the percentage addition to basic rates.

The next table gives in respect of individual incomes particulars of taxable income and of tax assessed for the various income categories in 1951–52 and the two preceding income years.

Amount of Assessable IncomeTaxable IncomeTax Assessed
1949–501950–511951–521949–501950–511951–52
£    ££(000)£(000)£(000)£(000)£(000)£(000)
Under 3003,0502,740..5020..
300– 39910,8209,4808,830800350290
400– 49920,61019,49016,3001,9501,3601,130
500– 59920,10025,06027,3402,1902,1202,330
600– 69914,91020,18028,9001,8502,0502,830
700– 79911,08014,75023,6201,5201,7002,620
800– 8999,23011,11018,7101,3801,4102,270
900– 9997,0809,02014,4801,1601,2601,900
1,000– 1,19937,02013,56020,2807,6702,1703,010
1,200– 1,3999,98013,9401,7802,370
1,400– 1,5998,74011,0601,7102,050
1,600– 1,7997,3808,2601,6001,660
1,800– 1,9995,7106,7101,3201,450
2,000– 2,99914,40022,42024,2804,3006,2606,420
3,000– 3,9996,55015,22211,2902,4325,2623,774
4,000– 4,9993,2649,5716,2151,4323,9242,473
5,000– 5,9991,8025,8783,5358942,7161,558
6,000– 6,9991,1123,9681,9995741,947946
7,000– 7,9998462,6321,2214651,365609
8,000– 8,9995051,771895292959460
9,000– 9,9992641,435722153784376
10,000–19,9991,0735,0102,3546472,8861,336
20,000–29,9993371,312474211828280
30,000 and over190115
    Totals164,050226,420251,60029,97045,78042,260

The numbers of tax rebates granted for the income year 1951–52 are given hereunder. The rebates for wife and children are more or less concentrated in the higher income levels. It is not until the rate of tax reaches a level where the granting of the corresponding exemption would reduce the amount of tax payable by more than £26, that the rebate of £26 is substituted for the exemption. The data in the table are classified by the amount of the assessable income, but the tax rates are actually determined by the amount of the returnable income. This accounts for the presence of a number of these rebates in the lower income classes. The “over 65 years” rebate, however, depends solely on the age of the taxpayer. The proportion of such taxpayers to the total assessments for each income group tends to increase as the income rises.

Amount of Assessable IncomeNumber of Tax Rebates
Over 65 YearsWifeChildren
£    £   
Under 4004301030
400– 4991,8702010
500– 5993,7305010
600– 6992,0806010
700– 7991,78011010
800– 8991,52011020
900– 9991,1209020
1,000–1,1991,36056090
1,200–1,3996601,960110
1,400–1,5996605,050180
1,600–1,7994303,970190
1,800–1,9992503,030140
2,000– 2,9997807,590710
3,000– 3,9992972,4682,781
4,000– 4,9991279772,015
5,000– 5,99975416856
6,000– 6,99929185457
7,000– 7,9992783213
8,000– 8,9991962120
9,000– 9,999740120
10,000–19,9992995173
20,000 and over5919
    Totals17,28026,9508,280

Rates of Tax: Individuals.—For the three tax years shown the rate of tax was 2s. 6d. in the £1 on so much of the taxable income as did not exceed £100. For each succeeding £100 or part thereof the rate of tax on that income was increased by 3d. up to a maximum rate of 12s., which was reached at incomes of £3,800. These rates, introduced in 1940–41, are known as basic rates, and are subject to a percentage increase or decrease each year in accordance with the provisions of the Land and Income Tax (Annual) Act fixing rates for that year. The above rates were increased by 15 per cent for 1949–50, 10 per cent for 1950–51, and 5 per cent for 1951–52. Tax is payable on the amount of the taxable balance, but non-assessable income is included for purposes of determining the actual rate of tax. The method of including non-assessable income is perhaps more clearly explained by means of an example. Assume that an individual had a taxable income of £350 and also non-assessable income of £150. The principle of the application of the basic rates to the assessment is as follows:

  Rate. 
£    £s.d. 
1 to 10026Attributable to non-assessable income and no tax is payable.
101 to 15029
151 to 20029Attributed to taxable income,
201 to 30030
301 to 40033
401 to 50036

The total tax as calculated is then increased or decreased by the percentage ruling for the particular year. Under the 1954 Amendment Act, the above method of calculating tax when nonassessable income is involved has been abolished. The former system of assessing tax on the taxable income (excluding non-assessable income) at the rate appropriate to the total income (including non-assessable income) will be reinstated.

A rebate of £10, or the amount of tax assessed, whichever was the lesser amount, was allowed to all individual taxpayers for the income year 1949–50. In 1950–51 and 1951–52 the rebate was £15. A taxpayer 65 years of age or over received an additional rebate of £15 in 1949–50 and £10 in 1950–51 and 1951–52. Aggregated assessments on husband and wife were granted two such rebates.

Geographical Distribution.—The decentralization of the Department of Inland Revenue afforded the opportunity of obtaining data on a geographical basis. The following table shows for the last three available income years the number of assessments and average assessable income for each of the fourteen districts, which are indicated by the name of the town in which the branch office is situated.

Income-tax DistrictNumber of AssessmentsAverage Assessable Income
1949–501950–511951–521949–501950–511951–52
    £££
Whangarei17,17017,41017,280553620732
Auckland118,940121,030116,770553613724
Hamilton67,77071,54070,560613695775
Napier30,90033,85033,980690859846
New Plymouth22,25023,45021,860623709805
Wanganui18,05018,65018,560633817803
Palmerston North28,25029,23027,880611767808
Wellington94,68096,79094,630575632731
Nelson16,52016,51016,230577655687
Christchurch65,51069,50065,940562642717
Greymouth11,99012,11011,250556602670
Timaru20,39020,38019,220637805855
Dunedin48,24049,99046,350573683732
Invercargill24,04025,04024,530646903817
    Totals584,700605,480585,040589686754

The proportions of salary or wage earners to total population largely determine the district average income. In 1951–52 the four major urban centres—Auckland, Wellington, Christchurch, and Dunedin—had average incomes which generally were considerably lower than those of other districts. However, two of the other districts—Nelson and Greymouth—actually had the lowest average incomes. Nelson has an unusually high proportion of retired people, while Greymouth has a large mining area. The 1950–51 and 1951–52 average incomes for Greymouth must have been considerably affected by a miner's strike which lasted for several months.

Preliminary Estimates for 1952–53 and 1953–54 Income Years.—Provisional estimates of the assessable incomes of individuals for the income years 1952–53 and 1953–54 have been prepared and the results are shown in the tables which follow. The estimates have been calculated on the basis of the trends exhibited by a small percentage of the total number of returns for these years. The numbers involved in this sample are very much smaller than those which were used for the detailed analysis of the 1951–52 assessments.

These estimates were compiled from returns available at an early date. The sample cases for business returns in particular are inevitably biased to some extent, as those individuals with financial balance dates falling later in the year are not fairly represented.

It is therefore emphasized that the data shown in these tables are provisional only, and are liable to be substantially revised at a later date.

Although figures for three income years are given to afford a convenient comparison of the results for each year, only the two later years have been estimated from the restricted sample. The 1951–52 figures are based on the normal 10-per-cent sample collection.

The first table gives data for the principal sources of income of individuals.

Source of Assessable IncomeIncome Year
1951–521952–531953–54
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
  £(m) £(m) £(m)
Sheep farming20,95039.421,20041.021,40047.4
Dairy farming32,47032.633,00039.533,30041.2
Other farming14,57016.414,80017.815,00019.8
    Totals67,99088.369,00098.369,700108.4
Manufacturing5,3005.45,4005.85,5006.2
Construction9,7209.310,50010.611,30011.8
Commerce13,65014.013,80014.813,90015.8
Transport4,5604.44,8004.65,0005.1
Services—      
Professional5,84010.95,80011.45,90012.1
Other6,5405.96,9006.57,3007.3
Miscellaneous (forestry, mining, etc.)2,8703.53,0003.73,2003.9
    Totals116,480141.7119,200155.7121,800170.6
Salary or wages460,190293.0484,000323.6509,200356.8
Investment income8,3706.48,5006.58,6006.6
    Totals585,040441.1611,700485.8639,600534.0

It will be noticed that these estimates provide for only comparatively small increases in the numbers for some of the sources of income in the above table. The principal reason is that in recent years the numbers of companies have risen substantially, with corresponding reductions in the numbers of individuals operating as sole traders or as partnerships.

The following table provides an analysis of the assessable incomes for salary and wage earners over the same period.

Amount of Assessable IncomeIncome Year
1951–521952–531953–54
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
£ £ £(m) £(m) £(m)
300– 39963,05022.152,60018.446,20016.2
400– 49977,54035.068,50030.860,80027.4
500– 599100,48055.0100,10055.383,90046.1
600– 69984,26054.394,40061.3106,10069.0
700– 79953,03039.565,10048.583,60062.7
800– 89931,66026.740,00034.048,40041.2
900– 99918,75017.724,10022.930,80029.2
1,000–1,99928,80035.236,50044.946,60056.8
2,000–2,9991,9604.62,0004.62,1005.0
3,000–3,9994101.44001.44001.5
4,000–4,9991390.62000.62000.7
5,000 and over1080.91000.91001.0
    Totals460,190293.0484,000323.6509,200356.8

A similar table to that immediately preceding but in respect of business incomes (farming, private traders, professional, etc.) is now given.

Amount of Assessable IncomeIncome Year
1951–521952–531953–54
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
£ £ £(m) £(m) £(m)
300– 3996,9702.45,2001.84,6001.6
400– 4999,1804.16,7003.06,0002.7
500– 59911,2606.28,3004.57,3004.0
600– 69911,0807.29,4006.18,8005.8
700– 7999,7607.39,6007.28,5006.3
800– 8999,0207.69,2007.89,3007.9
900– 9997,4307.07,6007.28,1007.7
1,000–1,99936,27049.543,60058.746,10063.1
2,000–2,9999,58023.113,00029.514,80034.9
3,000–3,9993,17910.93,50011.84,40014.5
4,000–4,9991,3445.91,6006.91,9008.2
5,000 and over1,41410.51,50011.22,00013.9
    Totals116,480141.7119,200155.7121,800170.6

The next table shows assessable income from all sources combined (including investment income).

Amount of Assessable IncomeIncome Years
1951–521952–531953–54
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
£ £ £(m) £(m) £(m)
300– 39972,53025.360,30020.953,00018.5
400– 49988,29039.876,70034.468,20030.7
500– 599112,78061.7109,50060.492,40050.7
600– 69995,93061.9104,30067.8115,60075.3
700– 79963,34047.275,30056.192,70069.4
800– 89941,04034.749,60042.158,20049.4
900– 99926,51025.132,10030.439,30037.2
1,000–1,99966,01085.881,100105.093,800121.3
2,000–2,99911,85028.515,30034.917,20040.7
3,000–3,9993,65812.54,00013.44,90016.2
4,000–4,9991,5156.71,8007.72,1009.1
5,000 and over1,59211.91,70012.72,20015.5
    Totals585,040441.1611,700485.8639,600534.0

The provisional estimates for the salary or wage earners shown in the preceding tables have on this occasion been analysed into occupation groups.

Occupation GroupIncome Year
1951–521952–531953–54
NumberAssessable IncomeNumberAssessable IncomeNumberAssessable Income
 (000)£(m)(000)£(m)(000)£(m)
Professional, technical, etc.28.819.629.921.131.323.1
Managers, administrators, etc.21.726.722.729.123.731.5
Clerical and related workers73.144.678.249.683.555.4
Salesmen, etc.30.718.732.621.333.623.1
Farm workers, fishermen, etc.31.617.932.119.132.920.5
Mine, quarry, etc., occupations5.13.15.23.45.33.6
Operating transport workers27.718.029.219.630.721.3
Craftsmen, production process workers, etc.132.882.2142.793.2152.8104.9
Manual workers and related occupations73.242.076.245.979.150.3
Service and related workers18.510.518.911.419.512.4
Armed forces9.66.39.66.39.76.6
Unknown occupations0.80.40.90.51.00.6
Not actively engaged5.83.05.93.16.03.3
    Totals460.2293.0484.0323.6509.2356.8

The remarks previously made concerning the provisional nature of these estimates apply with particular force to this analysis. The numbers in the sample are only barely adequate for this purpose and, at the present time, it is also extremely difficult to assess the probable increase in the numbers of incomes of £300 and over in each of these occupational groups. However, it is considered that the estimates are of interest in indicating how the increase in the incomes of salary and wage earners as a whole have been shared by the different occupational groups.

COMPANY INCOMES.—It is perhaps desirable to draw attention to the fact that the term “companies" as it is used in connection with these statistics has been given a wider meaning than that which is commonly assigned to it. A definition of the term will be found on page 859.

The various statutory exemptions which are granted to individuals do not apply in the case of companies. The amounts of assessable income and taxable income are identical in the case of companies.

These statistics for companies have been compiled from returns for all companies, and are not estimates based on a sample survey, as in the case of individuals.

The following table gives particulars of the number of taxpayer companies and their aggregate assessable incomes for 1951–52 and the two preceding income years.

Amount of Assessable IncomeNumber of AssessmentsAssessable Income*
1949–501950–511951–521949–501950–511951–52

* Excluding proprietary income.

£ £   £(000)£(000)£(000)
0– 991,9792,1762,138687573
100– 1999991,0431,074147154155
200– 299814394910200220223
300– 399729711805253248280
400– 499614679809274305360
500– 599589679636320371348
600– 699505554575327359373
700– 799400501515299375387
800– 899358409454303347384
900– 999347379411329360390
1,000– 1,9992,2042,5092,7743,1233,5713,955
2,000– 2,9991,0551,2101,3912,5752,9513,418
3,000– 3,9996637098492,2932,4592,930
4,000– 4,9994094845751,8202,1672,568
5,000– 5,9993013603841,6371,9582,090
6,000– 6,9992102632881,3601,7011,864
7,000– 7,9991721931951,2851,4431,454
8,000– 8,9991241541711,0501,3051,449
9,000– 9,999921021478729681,396
10,000– 19,9994495586026,3067,8498,437
20,000–29,9991802082064,3645,0465,067
30,000–39,99977961242,6513,3054,224
40,000–49,9996769672,9853,0602,978
50,000–99,9991071181357,5057,9519,137
100,000–199,9995568637,8509,4188,874
200,000 and over32445311,35418,04822,345
Current net loss2,0852,2122,431......
Assessable income before losses523627651......
    Totals16,13918,00919,43561,54876,01485,161

The item “assessable income before losses,” which appears in the preceding and also in subsequent tables, requires a little further explanation. Companies, and also individuals, are permitted to offset losses from one particular source of assessable income against the profits from any other source of assessable income during the same income year. The remainder of the loss, if any, can be carried forward and offset against the assessable profits of the next three income years. (The 1953 Amendment Act alters the period to six years.) This item represents the number of companies whose assessable incomes for the current year have been reduced to “nil" by the offsetting of losses incurred in previous income years.

In the following table, which is also classified by the amount of assessable income, more complete data for the 1951–52 income year only are presented.

Amount of Assessable IncomeNumber of AssessmentsAssessable Income Before Losses*Assessable IncomeReturnable IncomeCurrent Net LossIncome Tax AssessedSocial Security Charge

* This column represents assessable income plus losses which have been carried forward from previous years.

† Excluding proprietary income.

£ £ £(000)£(000)£(000)£(000)£(000)£(000)
0– 992,138106731,358..2210
100– 1991,074178155508..2713
200– 299910244223344..3218
300– 3998052992801,119..4122
400– 499809370360392..5426
500– 599636358348427..5426
600– 699575381373510..6128
700– 799515403387403..6428
800– 899454392384441..6531
900– 999411394390417..6829
1,000– 1,9992,7744,0123,9554,820..785309
2,000– 2,9991,3913,4343,4183,564..833256
3,000– 3,9998492,9402,9303,265..845220
4,000– 4,9995752,5932,5682,626..846191
5,000– 5,9993842,0922,0902,165..783156
6,000– 6,9992881,8671,8641,961..772139
7,000– 7,9991951,4541,4541,507..640108
8,000– 8,9991711,4991,4492,376..661109
9,000– 9,9991471,4011,3961,446..629102
10,000– 19,9996028,7948,4379,366..3,819625
20,000–29,9992065,0675,0675,834..2,331380
30,000–39,9991244,2494,2244,598..1,907314
40,000–49,999672,9782,9783,044..1,358224
50,000–99,9991359,2139,1379,668..4,079669
100,000–199,999638,8648,8749,314..3,999754
200,000 and over5322,65522,34523,119..9,7171,574
Net loss2,431....623,723..2
Assessable income before losses651684..5.... 
    Totals19,43586,92385,16194,6613,72334,4936,364

It should be noted that the company proprietary income component of the returnable income in these statistics differs in the case of a company shareholder from what it would be if an individual held the same shares. In both cases the shareholder's proportion of the proprietary company's residual income is transferred to the shareholder's own assessment. The definition of residual income, however, is not the same. When the proprietary shareholder is an individual the residual income of the proprietary company is deemed to be the income after deducting income tax and social security charge payable by the proprietary company. If the proprietary shareholder is a company, the residual income of the proprietary company is deemed to be the income before deducting income tax and social security charge payable by the proprietary company.

Companies are classified by industry, the classification being identical with that used for individuals with the minor exception that community services—professional—do not form a separate group. Attention is drawn to the remarks on page 864 regarding the difference between the enterprise and the establishment concepts. These statistics are based on the enterprise concept—i.e., the whole of the company's activities are classified according to the predominant activity. The figures in the next table give the results of this classification for the income year 1951–52.

Industry GroupNumber of AssessmentsAssessable Income Before Losses*Assessable IncomeReturnable IncomeCurrent Net LossIncome Tax AssessedSocial Security Charge

* This column represents assessable income plus losses which have been carried forward from previous years.

† Excluding proprietary income.

  £(000)£(000)£(000)£(000)£(000)£(000)
Agriculture and livestock production5231,3991,3761,493102501112
Forestry, hunting, and fishing77143137139124810
Mining and quarrying1455585135214620235
Manufacturing—       
  Food, drink, and tobacco8956,9716,5586,8441,6372,831486
  Apparel, textiles, and footwear7663,6993,6733,773961,523276
  Metals and metal products1,3685,1035,0575,4031372,009380
  Other2,01911,64911,55012,1152104,825866
Construction1,1082,7482,7232,839254980205
Electricity, gas, water, and sanitary services27212210259609218
Commerce—       
  Wholesale and retail trade7,08436,22335,81837,56572714,8902,693
  Other2,37912,52512,47918,1721854,708869
Transport, storage, and communication1,0733,1112,6322,760108970226
Community services1,9432,5562,5122,853147906187
Other28252525372
    Totals19,43586,92385,26194,7613,72334,4936,364

Rates of Tax: Companies.—For incomes received during the income year 1951–52 the standard rate of tax payable by a company was 2s. 6d., increased by 1/100d, for every £1 of taxable income up to £6,300. Above £6,300 the rate was 7s. 9d., increased by 1/150d. for every £1 of taxable income in excess of £6,300, with a maximum of 8s. 8d. in the £1. In addition to the foregoing, a further amount equal to 5 per cent of the above rates was imposed. Social security charge is levied at the normal rate of 1s. 6d. per £1 of income. Not all companies are liable to pay this charge. Further information concerning rates of taxation will be found on page 731.

The next table shows some additional data concerning companies, which were compiled principally in connection with national income statistics, but which are also of more general interest. Data are for the income year 1951–52.

Industry GroupStocks at End of PeriodIncome FromSalaries and WagesInterest PaidRent PaidDepreciationGross Profit
SalesInterestGross Rents

* Gross profit not normally available.

 £(000)£(000)£(000)£(000)£(000)£(000)£(000)£(000)£(000)
Agriculture and livestock production2,4687,00322291,52399882893,696
Forestry, hunting, and fishing441,01743631091950260
Mining and quarrying2978,4399184,190167542931,607
Manufacturing—         
  Food, drink, and tobacco28,897223,33110223419,4705484062,24021,307
  Apparel, textiles, and footwear17,53855,063179813,96938142694710,131
  Metals and metal products14,15458,4973314513,25628334485612,301
  Other29,518118,61412426125,4457958882,91426,512
Construction7,79834,40999908,973268986856,545
Electricity, gas, water, and sanitary services6088,3864501,7542,010147942,765
Commerce—         
  Wholesale and retail trade113,505647,1221,04088747,8612,0672,6653,722100,553
  Other33334,36117,6522,81311,0994,864294711*
Transport, storage, and communication54031,05123118310,5241762512,331*
Community services1,41726,6271051,3887,7251771,2016495,688
Other or undefined103405 175248102
    Totals217,2201,254,32419,4426,232166,17311,8456,75216,490191,466

It may be not out of place to mention a few of the background factors which have some relevance in the interpretation of these statistics. Except for the farming industry, professional services, etc., where the company form of ownership is the occasional exception rather than the rule, the larger enterprises in the business sector are almost invariably companies. Companies with operations on a smaller scale are, however, well represented.

The stocks at the end of the period are trading stocks, and in the farming industry the value of livestock, mostly based on a standard value from year to year, is included.

Sales include sales of goods and sales of services. The income from sales and services is the net price to the customer, whether wholesaler, retailer, Or ultimate consumer, for the goods and services. The total of this column is therefore merely an aggregate of transactions measured at various wholesale and retail prices. It should also be remembered that a substantial proportion of the food-manufacturing group consists of butter, cheese, meat, etc., which are sold overseas.

There is a tendency in company accounting to show merely the difference between interest received and interest paid as either a debit or a credit balance in an interest account. This remark also applies to rents received and paid. The figures shown under these headings will undoubtedly understate the true position to some extent. Incidentally rents include ground rents and royalties.

Salaries and wages paid represent the amounts charged against those accounts. A small proportion of salaries and wages is charged directly to other expenditure accounts, and consequently the figures shown above understate to some extent the amounts of salaries and wages actually paid by companies.

The amount of gross profit shown in the accounts is used in these statistics, despite the wide variations in the conception of gross profit. No attempt has been made to secure uniformity of calculation for individual companies, but of course the total gross profit for each industry will correspond with that industry's average conception of gross profit. In some industries, such as the transport industry, it is not normal practice to calculate gross profit, and in such cases the gross profit is recorded in these statistics as nil. Estimates of the amount of gross profit were, however, made when any company did not calculate the gross profit, and it was the custom of the industry concerned to show this figure.

The abridged version of the full industry classification for which data are given in this Section does not reveal the individual industries where the gross profit is nil. Apart from “Commerce, other” and “Transport, etc.”, there are a number of industries included in “Services, community” which do not show gross profit. These industries had sales of £10,924,000 and assessable incomes of £1,244,000.

The results of an extension of the inquiry to cover paid-up capital and shareholders funds are given in the two following tables.

Number of AssessmentsAssessable Income*Dividends PaidShareholders Funds
TotalPaid-up Capital

* Excluding proprietary income.

  £(000)£(000)£(000)£(000)
Agriculture and livestock production5231,3763968,0584,615
Forestry, hunting, and fishing77137352,1892,000
Mining and quarrying1455131113,9602,620
Manufacturing—     
  Food, drink, and tobacco8956,5581,13342,94326,328
  Apparel, textiles, and footwear7663,6731,03718,2879,603
  Metals and metal products1,3685,0571,31120,39010,607
  Other2,01911,5502,48156,91937,141
Construction1,1082,7235978,3373,879
Electricity, gas, water, and sanitary services27210667,4202,190
Commerce—     
  Wholesale and retail trade7,08435,8188,621131,75666,006
  Other2,37912,4793,61596,68746,510
Transport, storage, and communication1,0732,63264615,4568,998
Community services1,9432,51296315,9637,332
Other or undefined28257153127
    Totals19,43585,26121,019428,518227,958

For the purposes of these statistics, the shareholders funds of a company are defined, briefly, as the amount which would be available to shareholders if the assets were realized and the liabilities discharged at the net values shown in the balance sheet. In the case of New Zealand branches of overseas companies, either the paid-up capital and the shareholders funds are apportioned on some equitable basis, or the balance of the branch's head office account is taken. The capital loan liabilities of those Government Departments which are included in these statistics have been omitted from both paid-up capital and shareholders funds. Advances from shareholders have been added to shareholders funds and advances to shareholders deducted. For the 1950–51 income year the shareholders funds of insurance companies included reserves for unexpired risks, and fire, marine, accident, etc., funds. As a strict interpretation of the definition of shareholders funds excludes such reserves, they have been eliminated from the 1951–52 income year figures.

An analysis of companies by amount of paid-up capital discloses the position shown in the next table. Those with no paid-up capital are mostly industrial and provident societies, clubs, associations, and similar incorporated bodies.

Amount of Paid-up CapitalNumber of ReturnsPaid-up CapitalShareholders Funds
£ £ £(000)£(000)
Nil1,022..15,656
0– 4991,4202953,983
500– 9991,8771,2105,309
1,000– 1,9993,8754,84814,904
2,000– 2,9992,5635,70313,969
3,000– 3,9991,7445,55711,188
4,000– 4,9991,0354,3638,616
5,000– 5,9991,1185,71312,249
6,000– 6,9996874,2418,281
7,000– 7,9994193,0495,977
8,000– 8,9993362,7624,855
9,000– 9,9992182,0133,393
10,000– 19,9991,55019,54336,705
20,000–29,99956012,68922,702
30,000– 39,9992558,29712,871
40,000–49,9991305,5819,541
50,000– 59,9991075,59310,645
60,000– 69,999623,9026,520
70,000– 79,999564,1096,343
80,000– 89,999302,4943,875
90,000–99,999181,6893,305
100,000–199,99917320,70934,892
200,000–299,9996014,01421,984
300,000–399,9993612,18319,634
400,000–499,999187,36810,298
500,000–599,9992010,5016,068
600,000–699,99974,165,922
700,000–799,99953,7366,033
800,000–899,99964,9298,559
900,000–999,99954,7378,201
1,000,000 and over2341,66576,039
    Totals19,435227,958428,518

The expressed and derivable figures in the preceding tables have been summarized, in a closer approach to a more conventional accounting form, in the following table, which covers the income years 1950–51 and 1951–52.

 Income Year
 1950–511951–52
 (£m)£(m)£(m)£(m)

* Sales and services of companies engaged in industries where the accounts normally show gross profit.

    Sales and services 1007.8* 1254.3
    Increase in stocks 31.1 49.5
  1038.9 1303.8
Less    
        Salaries and wages60.7 71.8 
        Other trading and manufacturing charges (including purchases)802.0 1040.6 
  862.7 1112.4
    Gross profit 176.2 191.4
        Sales and services (other companies) 61.6 76.3
        Interest received 16.6 19.4
        Gross rents received 5.3 6.2
        Dividends from other companies (estimated) 3.6 4.0
  263.3 297.3
Less    
    Salaries and wages79.4 94.4 
    Interest9.9 11.8 
    Rents5.7 6.8 
    Depreciation14.3 16.5 
    Other charges75.8 80.6 
  185.1 210.1
        Net income 78.2 87.2
Disposal of net income—    
    Income tax 32.2 34.5
    Social security charge 5.6 6.4
    Dividends 18.2 21.0
Branch profits remitted overseas 0.7 0.5
    Net additions to shareholders funds 21.5 24.8
            Totals 78.2 87.2

The net income is calculated by adding estimated dividends from other companies to the assessable income before deducting past losses and then subtracting net loss—i.e., the loss for the current income year. The figure for branch profits remitted overseas has been taken from the statistics of overseas private investment in New Zealand and does not include branch profits of banks. As a residual item net additions to shareholders funds is an approximate figure only. One assumption involved in the treatment of the disposal of net income section is that companies create reserves out of current income for the payment of the income tax and social security charge which will be assessed on that income.

NON-RESIDENT TRADERS.—A non-resident trader is defined as any person who, being in New Zealand, carries on business there without having any fixed and permanent place of business or abode in New Zealand. Returns made by agents for non-resident traders, and returns by the consignees of overseas goods sold on consignment account, are included in this class. Non-resident traders are now included in the statistics either as individuals or companies, as the case may be.

STATISTICS OF THE 1951 CENSUS.—A table showing for the 1951 census the income classification of the total population was given on page 864 of the 1954 issue of the Year-Book.

Chapter 36. SECTION 36—PRICES

Table of Contents

PRICE FIXATION.—In New Zealand, as in other countries, regulation of prices by governmental control has been a feature of economic policy over a considerable period of years. Nation-wide control of prices of essential commodities was resorted to during the First World War, the motives behind legislation and regulations towards that end being the necessity of purchasing at reasonable prices commodities required for war purposes, and the protection of the consumer from the full force of the abnormal rises in prices, caused by the scarcity of many necessary commodities.

The administration of these price-fixing measures was in the hands of the Board of Trade set up under the provisions of the Cost of Living Act 1915, regulations being issued from time to time fixing maximum prices for various commodities—e.g., sugar, timber, wheat, etc. The Board of Trade Act 1919 (a consolidation and amendment of the pre-existing legislation) contained provisions for the establishment of the Department of Industries and Commerce and for a Board of Trade, the Board to consist of the Minister of Industries and Commerce (President) and not more than four other members. By an amendment in 1923 the Board was abolished, its functions being taken over by the Minister. Authority was also taken under the Act “for the establishment of fixed minimum or maximum prices or rates for any classes of goods or services or otherwise for the regulation or control of such prices or rates.” The Act also included provisions especially aimed at the prevention of profiteering.

The control of prices initiated during the war years continued in some instances well into the post-war period, the dates of cessation of control in certain important individual cases being: bacon and ham, February 1920; butter, August 1921; sugar, August 1923. Control of prices of building materials was resorted to in 1920 and 1921, during a period of acute shortage of these materials.

Wheat, flour, and bread prices have been controlled almost without intermission since 1914–15, superphosphates since October 1931, and motor spirits from 1933. Road services have been subject to regulation in regard to fares and freight rates since 1931; aircraft fares are also regulated. [For fuller details see pp. 785–786 of the 1940 Year-Book.]

A Prevention of Profiteering Act was passed in 1936, prohibiting the making of unreasonable increases in the prices charged for goods and services.

In June 1939 a Price Investigation Tribunal was constituted under the Board of Trade Amendment Act 1923, and regulations were made under this Act placing restrictions on increasing prices of goods and services without prior application to the Tribunal; prices were also to be fixed by the Tribunal for goods that had not previously been on the market.

Price Regulation During Second World War.—Pursuant to a Proclamation of Emergency under the Public Safety Conservation Act, regulations were made on 1 September 1939 with the object of stabilizing prices. These regulations provided that prices of goods and services should not be raised above the prices ruling on 1 September 1939, except as might be specifically authorized by the Minister of Industries and Commerce. A clause in the regulations also prohibited the hoarding of goods. These regulations were superseded by the Control of Prices Emergency Regulations of 20 December 1939, which constituted the Price Tribunal.

Foodstuffs generally, and sugar, wheat, and flour specifically, were brought under the control of the Government by emergency regulations made on 4 September 1939.

In October 1940 the Economic Stabilization Conference (which the Government had convened) put forward recommendations designed to stabilize prices, wages, and costs. In furtherance of these recommendations the retail prices of thirty-eight commodities, comprising the more important foodstuffs, clothing, fares, fuel, and lighting, were stabilized as from 1 September 1941, and an Economic Stabilization Committee was set up.

In December 1942, as a result of the deliberations of this Committee, price stabilization measures were widely extended. A varied range of essential items of household consumption was selected, and their prices stabilized; food, clothing, hardware, furniture, stationery, etc., were all represented in this list of approximately 110 items. In the same month the Economic Stabilization Emergency Regulations 1942 were issued, under which the Committee was reconstituted as the Economic Stabilization Commission, and provision made for the stabilization of weekly rentals, wage rates, etc.

The principal new feature of price control in 1943 was the fixation of maximum retail prices for many kinds of vegetables, apples, pears, and certain other fruits; these maxima made full allowance for seasonal variations.

No new element of control was introduced in 1944, 1945, or 1946, as the price orders of those years either revised earlier orders or covered additional items.

POST-WAR PRICE REGULATIONS.—The Control of Prices Act 1947 consolidated the powers and functions formerly exercised mainly under Emergency Regulations. It defined the general duties and functions of the Price Tribunal as the fixing of prices for goods and services, the investigation of complaints with respect to prices, maintenance of a survey of the prices of goods or services, the institution of legal proceedings for offences in relation to prices, and the taking of such other steps as in its opinion might be necessary to prevent profiteering or the exploitation of the public. It provided that, except in special circumstances, the sittings of the Tribunal should be open to the public.

The Price Tribunal has power to—

  1. Make Price Orders fixing, in such manner as it thinks fit, the actual or the maximum or the minimum price for any goods sold in a specified market and under specified conditions. Price Orders are published in the New Zealand Gazette, and must generally be displayed in any shop where the goods to which they relate are sold.

  2. Authorize selling prices, which may be of general or special application.

Since the passing of the Act the Tribunal has, in the case of many commodities, issued Price Orders which prescribe that maximum prices are to be calculated by adding specified percentages to costs. In other cases, where there has been a general cost increase resulting from the reduction or removal of subsidies, the raising of freight charges, or a wage increase prescribed by a general order of the Court of Arbitration, the position has sometimes been met by the issue of General Price Adjustment Orders under which most manufacturers have been permitted to recover by means of price increases the whole or a specified part of such increased costs.

Since 1948 a policy of progressive decontrol has been followed: lists of items freed from direct price fixation (although remaining subject to profiteering and other provisions of the Act) were published from time to time, but all goods and services not specifically exempted in this manner remained subject to control. However, in accordance with powers provided under an amendment to the Act, a noteworthy change in the system of control became effective on the gazetting of the Control of Prices (Positive List) Notice 1955 on 14 March 1955. The system of general control with specified exemptions was thereby replaced by the control of specified items only—all goods or services not on the Positive List being decontrolled.

The amendment also made provision for the delegation of pricing powers to the Secretary of Industries and Commerce, subject to a right of appeal to the Tribunal.

Control of tea prices, which had been lifted in 1950, was reimposed in January 1955 following considerable increases in the overseas price.

Towards the end of 1951 an Advisory Committee, consisting of representatives of the business community meeting under the chairmanship of the Director of Price Control, was set up to advise on matters of procedure and administration, and to promote mutual confidence and understanding.

It should be observed that certain prices controlled under other legislation do not come within the scope of the Control of Prices Act 1947. For example, wholesale prices of butter and cheese for local consumption are fixed by Orders in Council under the Marketing Act 1936; the maximum price of motor spirits by Order in Council (on the recommendation of the Minister of Industries and Commerce) under the Motor Spirits (Regulation of Prices) Act 1933; while the Tenancy Act 1948 and its amendments provide for the fixation, on application, of fair rents by a Magistrate's Court. As a further illustration the Transport Amendment Act 1950 provides for the fixation of passenger fares and freight charges on services, other than those operated by local authorities, by the Commissioner of Transport, subject to a right of appeal to a Transport Charges Appeal Authority.

Although the earlier legislation providing for an Economic Stabilization Commission was repeated in the Economic Stabilization Act of 1948, there are at present (March 1955) no appointed members of the Commission, its functions being discharged by the Minister in Charge of Stabilization.

Marketing of Major Primary Commodities.—Certain fields of price fixation are intimately connected with the functions of the marketing authorities (and with the functions of the former Marketing Department), although the relevant price orders are generally issued by the Price Tribunal. This topic is treated at length in Section 19 of this issue.

PRICE STATISTICS.—Actual prices of many goods and services at various levels are collected periodically by the Census and Statistics Department. The fields covered are retail prices, wholesale prices, export prices, import prices, and share prices. In the case of retail and wholesale prices, direct inquiry is made (generally from sellers), export and import prices being mainly derived from trade statistics and share prices from records of the stock exchanges, while, in addition, average prices of many materials and products of manufacture are available from the statistics of industrial production. Some retail prices are given in the following table, and a wider selection of both retail and wholesale prices is published in the annual Report on Prices, Wages, and Labour Statistics; the chief use made of the prices collected, however, is in the compilation of price index numbers. There are, fundamentally, weighted averages of price ratios, the weighting being so arranged that the index numbers give a general indication of price movements in the field covered. The usual technique employs fixed weights with, however, provision for revision of the weighting pattern at suitable intervals.

Retail Prices.—Wellington retail prices at 15 February 1955 of a number of the commodities which enter into the Consumers' Price Index are shown hereunder.

ItemUnitPrice

* Main crop is not available in February.

  s.d.
Milk, fresh, deliveredQuart09
Bread2 lb. loaf07.50
Sugar6 lb.45
Butterlb.20
EggsDozen54
Flour25 lb. bag67.50
Oatmeal5 lb. bag44.20
Tealb. packet710
Cocoa½ lb. packet23
Coffee, ground1 lb. jar112.75
Jam, plum28 oz. tin30.90
Salt5 lb. bag110.70
Bacon, sidelb.37.40
Cheese, mildlb.111.20
Sultanaslb.14.60
Pruneslb.210.20
Peaches, canned30 oz. tin311
Herrings, canned14 oz. tin111.20
Peas, driedlb.08.13
Onionslb.05.83
Potatoes—   
  Main croplb. *
  Newlb.03.50
Appleslb.010.56
Orangeslb.11.50
Cabbageslb.06.25
Carrotslb.08
Beef—   
  Sirloinlb.210.33
  Prime ribslb.27.67
  Rump steaklb.34
Mutton—   
  Leglb.26
  Fore quarterslb.17.33
  Chopslb.24.67
Pork:—   
  Leglb.32
  Chopslb.32
Sausages, beeflb.14.67
Coal, domestic¼ ton3910
CokeCwt.112.40
Firewood (pine)Bag69
Electric current (lighting, heating, and cooking)First 120 kWh811
Electric current (water heating)First 250 kWh120
Gas (cooking)1,000 c. ft.100
Men's— s.d.
  Suit, ready madeEach3553
  Overcoat—   
    TweedEach2652
    OilskinEach1758
  Trousers—   
    WorkingPair251
    SportsPair888
  Shirt—   
    NégligéEach349
    WorkingEach179
  Singlet—   
    All woolEach287
    CottonEach89
  Slipover, all woolEach344
  Pyjamas, flannelettePair248
  Socks, all woolPair911¾
  Hat, fur feltEach399
  Bathing shortsEach307
Boys'—   
  Suit, two-piece worstedEach1143
  Trousers, shorts, tweedPair216
  Overcoat, tweedEach1085
  Shirt, grey flannelEach255
  Three-quarter hose, schoolPair9
  School capEach146
Women's—   
  Costume, coat and skirtEach3782
  Skirt, tweedEach9911
  Overcoat, tweedEach3209
  Raincoat, cotton gaberdineEach1000
  Frock, cotton printEach302
  Piece-goods—   
    Tweed coatingYard311
    Figure printYard6
    Art silkYard7
  Wool, hand knitting1 oz.26
  Stockings—   
    Fully fashioned, silkPair166
    NylonPair129
  Underslip, locknitEach2310
  Vest, silk and woolEach119
  Panties, interlockPair7
  Nightdress, locknitEach345
  BrassiereEach179
  CorsetsEach532
  Gloves, cape skinPair415
  UmbrellaEach437
Girls'— s.d.
  Gym. frock, sergeEach720
  Pyjamas, winceyettePair2011
  Sockettes, woolPair4
  Bloomers, interlockPair5
  Hat, schoolEach147
Infants'—   
  CoatEach1092
  Clydella, plainYard8
  Nursery squaresDoz.469
B  aby wool1 oz.3
Drapery—   
  Blankets, singlePair1540
  Sheets, singlePair4511
  Towel, turkishEach83
  Tea towellingEach3
Soap—   
  Laundry2.8 lb. bar211
  Powder1½ lb. packet110
Starch, looselb.1
Kerosene26 oz. bottle14
Metal polishTin111
Boot polishMedium tin.010½
Toilet paperRoll010½
Men's—   
  Boots, heavyPair7511
  Shoes—   
    HeavyPair517
    LightPair867
  SandshoesPair102
  Slippers, leatherPair352
  Shoe repairsPair152
Boys'—   
  Shoes, heavyPair427
  SandalsPair242
  Gum bootsPair250
  Shoe repairsPair114
Women's—   
  Shoes—   
    HeavyPair5410
    LightPair663
  SandshoesPair93
  Slippers, feltPair196
  Shoe repairsPair108
Girls'—   
  Shoes—   
    SchoolPair3710
    LightPair396
  Shoe repairsPair67
Infants'—   
  Shoes, glacé kidPair198
  Slippers, feltPair910¾
Bedstead and rails, 4 ft. 6 in.Each1834
Tallboy, four-drawerEach25211
Mattress—   
  4 ft. 6 in. wireEach11410
  4 ft. 6 in. kapokEach3080
Pillow, 2 lb. kapokEach190
Child's cotEach1398
Dining—   
  Table, drawleafEach3128
  ChairEach1039
SideboardEach5729
Kitchen—   
  TableEach707
  ChairEach257
Suite, upholsteredEach1,3690
Linoleum, inlaidYard2611
CongoleumYard100
Carpet, Wilton 27 in.Yard476
Feltex, plain 5 ft.Yard378
Hammer, carpenters'Each235
Spade, gardenEach287
Fork, gardenEach221
Axe, 4 lb.Each283
Broom, hair and fibreEach1810
Mop, white cottonEach710½
Scrubbing brushEach32
Bucket, galvanized, 12 in.Each9
Saucepan, aluminium, 6 pintEach181
Frypan, aluminium, 10 in.Each103
Teapot, aluminium, six-cupEach172
Jug, quart, plainEach8
Cup and saucer, tea size½ doz.1811
Plate, 10 in.½ doz.192
Tumblers, glass, 8 oz.½ doz.47
Knives, table, stainless½ doz.426
Forks, table, E.P.N.S. Al.½ doz.346
Electric-light bulb, 60 wattEach1
Sewing machineEach7550
Washing machineEach1,2300
Vacuum cleanerEach4350
Clothes wringerEach1596
Radio receiving setEach3439
Electric radiatorEach723
Electric—   
  JugEach460
  ToasterEach599
  IronEach866
LawnmowerEach1183
PerambulatorEach2976
Cycle—   
  TireEach1910
  TubeEach80
Dry cleaning—   
  Men's suit..86
  Men's trousers..46
  Women's costume..80
Laundering: Men's shirt..13
Dental—   
  Extraction..176
  Filling..150
  Dentures..4700
Optician..900
Library subscription..08
Hair cut—   
  Men..26
  Women..30
Hair set..66
Permanent wave..210
Cinema admission..38
Football admission..16
Medical (excess over social security)—   
  Consultation fee..30
  Specialist fee..136
  X-ray..210
  Maternity home fee (fourteen days)..2400
Face powderBox33
Vanishing creamJar36
LipstickEach411
Powder puffEach12
Baby talcum powderTin20
Bobby pinsCard of 120
Tooth pasteLarge tube25
Toilet soapMedium cake0
Shaving creamJar24
Razor bladesPacket of 1030
Tobacco2 oz.35
CigarettesPacket of 1010

International Comparisons.—The two tables next following provide comparisons of retail and wholesale prices respectively between New Zealand and certain other countries. All the prices, which relate uniformly to the month of December 1954, have been converted into New Zealand currency. In the first table prices shown for the United States of America are exclusive of sales tax.

COMPARISON OF RETAIL PRICES OF BASIC FOODSTUFFS

ItemUnitNow Zealand (Wellington)Australia (Sydney)South Africa (Cape Town)Great BritainCanada (Dominion Average)United States of America (Average Fifty-six Large Cities)
  s.d.s.d.s.d.s.d.s.d.s.d.

* 1¾ lb.

† Not available.

‡ At price for 3 lb. lots.

§ December quarter, 1954.

|| Cooking quality.

Source:

Australia: Commonwealth Statistician.

South Africa: Bureau of Census and Statistics.

Great Britain: N.Z. High Commissioner.

Canada: Dominion Bureau of Statistics.

U.S.A.: Monthly Labor Review.

Bread2 lb.0010¾0100*110¼2
Flour25 lb.6100981181311194
Tealb.710511¼86885104
Coffeelb.116676811¼7
Sugarlb.060050009
Milk (fresh)Quart0911112120
Butterlb.2033438410¾52
Cheeselb.111½22911144
Baconlb.343316051
Pruneslb.210½2202
Canned peaches30 oz. tin31122932
Beef—rib roastlb.2110§123055
Mutton—leglb.21§3038
Pork—leglb.323§2428
  chopslb.323§2634455
Margarinelb.1||219210¾21

COMPARISON OF WHOLESALE PRICES OF CERTAIN COMMODITIES

ItemUnitNew ZealandSouth AfricaGreat BritainCanadaUnited States of America
  £s.d.£s.d.£s.d.£s.d.£s.d.

* Not available.

† Sheet.

Source:

South Africa: Monthly Bulletin of Statistics.

Great Britain: The Economist—Intelligence Unit.

Canada: Prices and Price Indexes—Dominion Bureau of Statistics.

U.S.A.: Survey of Current Business.

WheatBush.012801500111101270198
OatsBush.0106 * 0908076
FlourTon15194338633115421864972
SugarCwt.312102373102123380
Butterlb.0110½030304044
Cheeselb.017¾025019 * 028
Motor spiritsGal.029¾0211½030101
Copper (electrolytic)Cwt.231672454131861014411177
LeadCwt.7341001532552600

RETAIL PRICES INDEX NUMBERS.—A historical survey of retail prices in New Zealand will be found on pages 1007–1016 of the 1947–49 Year-Book, including an account of the various series of official index numbers of retail prices in New Zealand which have been current in the past, while pages 998–1003 of the same volume provide a description of the present Consumers' Price Index initiated in 1949. The last ten years of the base 1926–30 series—the immediate forerunner of the Consumers' Price Index—are shown in the table following, together with a final compilation of the old index for the base period of the new index, which enables the two series to be linked together.

INDEX NUMBERS OF RETAIL PRICES OF THE VARIOUS GROUPS OF COMMODITIES, SINGLY AND IN COMBINATION, 1939 TO 1949

Base: Weighted average of prices in 1926–30 in twenty-five centres in case of Groups I to IV, and average of prices in 1926–30 in four chief centres in case of Groups V, VI, and VII (= 1000)

YearFoodRent (IV)Fuel and Light (V)Clothing, Drapery, and Footwear (VI)Miscellaneous (VII)All Groups Combined (I–VII)
Groceries (I)Dairy (II)Meat (III)All Food (I-III)
19391067999107710528879919601086990
194010391010115310769161005106111701035
194111561010213111049451012115912111073
194212361023111511279631021124312891109
194312111029115011349731033134713371134
194412411030116811529821038141313591155
194512311032117311519871044144214421170
194612351033117411539991057147014501180
1947133310711249122410101094149214781217
1948149511351471138210241191163715571314
1949 (1st quarter)148011251506138910311232165915441324

By combining the successive series and converting the whole to the base: first quarter of 1949 (= 1000)—the base period of the Consumers' Price Index—the following “long-term linked series” emerges.

RETAIL PRICES INDEX NUMBERS (ALL GROUPS)*

(Equated to Base: First Quarter, 1949 (= 1000))

YearIndex No.

* Food, housing, and fuel and lighting in the years 1907–1913.

1907440
1908442
1909436
1910441
1911438
1912451
1913461
1914474
1915511
1916547
1917594
1918642
1919689
1920770
1921781
1922719
1923724
1924743
1925758
1926763
1927756
1928760
1929758
1930741
1931684
1932633
1933600
1934610
1935632
1936653
1937697
1938718
1939748
1940782
1941810
1942838
1943856
1944872
1945884
1946891
1947919
1948992
19491009
19501066
19511183
19521275
19531333
19541395

The following diagram is of interest in that it shows the movement in retail prices index numbers over the period 1907–54, the data being drawn from the figures given in the preceding table (long-term linked series) and those given on page 892.

Consumers' Price Index.—The necessity for periodical revision of the pattern of index numbers of retail prices—indeed, of any index series—is obvious, if touch with reality is to be maintained. Spending patterns are constantly changing by reason of new kinds of commodities and services coming into vogue and older habits being discarded; also the proportions of total expenditure represented by the component groups and items vary continuously. Nevertheless, between revisions, in order that the index may reflect price changes only and not changes in volume of consumption, it is essential (assuming the use of the orthodox formula) that fixed weights should be maintained. Apart from the Wartime Price Index, which was specially adapted to emergency conditions, there was no general revision of weights from 1930 until 1948, when the 1926–30 pattern of consumption was replaced by the 1946 pattern in the moulding of the Consumers' Price Index. The following are the more important recommendations of the Index Committee now embodied in this index:—

  1. A new retail prices index based on the first quarter of 1949 should be initiated:

  2. The regimen of the index should cover “the whole range of commodities and services used in the average household—with representation, as far as possible, of the amenities of modern living.” Durable consumer goods, seasonal fruits and vegetables (with normal seasonal price fluctuations “smoothed" by appropriate techniques), and services should be represented in the index:

  3. In addition to rentals of unfurnished houses (see special note on page 891), rentals of unfurnished flats and the costs of owner-occupied houses should be represented in the housing group of the index:

  4. The weighting pattern should represent post-war habits of consumption:

  5. The index should cover prices in twenty-one towns spread over the whole country and adequately representing all urban localities. The New Zealand index will represent an average of indices for these towns weighted according to population:

  6. Monthly index numbers should be compiled for the food and fuel and lighting groups, and quarterly index numbers for all groups combined.

The complete regimen—i.e., the list of constituent items with comparative weights assigned to each—is given in a Special Supplement to the October-November 1949 issue of the Monthly Abstract of Statistics, entitled “Retail Prices in New Zealand, with Special Reference to the Consumers' Price Index.” There are three hundred items, a considerable increase on the previous list. These new items include certain conventional necessaries such as chocolate, ice cream, cosmetics, and replacements of radio receiving sets, vacuum cleaners, and washing machines. Other items introduced into the index for the first time were fresh fruits and vegetables and housing costs of owner-occupiers, for the inclusion of which entirely new techniques had to be devised; while many other commodities and services which had been previously excluded (on the general assumption that their average price movements were in approximate accord with those of the body of included items) were now considered to be worthy of a place in the regimen. This assumption, though discarded in the case of these items, is still retained in respect of a large number of less important commodities (for clearly the total number of items of household expenditure greatly exceeds three hundred); but here two points of some significance require to be noted:

  1. The three hundred items are those “priced" from time to time. Items or groups of items which have not been selected for pricing but which it is desired to represent in the index have their weights either assigned to individual “priced" items or spread over a group of such items.

  2. There are still residual groups of items which are not represented in the index—i.e., no assumption is made as to their price movements corresponding with recorded price movements. (There may, in fact, be a correspondence, but then the index is actually more comprehensive than it was designed to be.) Under this heading the following are comprised:

  1. Luxury spending (especially on alcoholic liquors and private motoring, but also on such items as hotel accommodation, holiday travel (exclusive of rail fares), sports expenses, domestic help, and private telephone rentals). This expenditure may be regarded as a disposal of a surplus available after legitimate cost-of-living expenses have been met.

  2. Taxation, as being not a true expense but rather a reduction of income (see also (d)).

  3. Investments (savings if capitalized, life insurance).

  4. Expenditure not related to value received and therefore incapable of expression as a “price,” which is the cost of a specified satisfaction (gifts, charity, gaming expenses).

  5. Expenses so irregular in occurrence and amount that their inclusion is not feasible (fire losses, legal expenses, cost of removal to another locality).

An estimate of the annual value, at prices ruling in the first quarter of 1949, of personal consumption represented in the index gave a figure of £247 million. This may be compared with the estimate of £350 million for total personal consumption in 1948–49 at market prices shown in the 1954 Official Estimates of National Income and Sector Accounts. The inference would be that 71 per cent of total personal consumption is represented in the index, but the two estimates neither have strictly a common basis nor cover exactly the same period of time. It may nevertheless be assumed that approximately three-quarters of total personal expenditure is represented in the Consumers' Price Index.

Seeing that the weights are based on physical national consumptions (or at least quantities available for consumption) in 1946, the index cannot be related to any specific type of household; it has in view simply an average family comprising 3.6 persons (men, 1.32; women, 1.32; boys, 0.41; girls, 0.40; and infants, 0.15; the infants being under two years and the boys and girls other children under sixteen). No application of the index numbers to households deviating from this mean will be valid unless due allowance is made for the effect of such deviations, regard being always had to the published regimen which defines the exact standard and pattern of living, the varying cost of maintaining which the index is designed to measure.

The following table shows the group weighting on a percentage basis.

CONSUMERS' PRICE INDEX GROUP WEIGHTS

GroupPercentage of Total Expenditure in Base Period*

* See page 895 for current percentages.

Food—    
  Meat and fish 8.18 
  Fruits, vegetables, and eggs 7.66 
  Seasonal4.90  
  Non-seasonal2.76  
  Other foods 18.38 
  All food 34.22
Housing—   
  Rent 6.66 
  Other housing 10.09 
  All housing  16.75
  Fuel and lighting 3.86
Clothing and footwear—   
  Clothing 17.25 
  Footwear 3.06 
  Clothing and footwear 20.31
Miscellaneous—   
  Household durable goods 5.44 
  Other commodities 10.90 
  Services 8.52 
    Total miscellaneous 24.86
    All groups  100.00

The foregoing remarks are relative to the establishment of a weighting pattern, a necessary labour in the inauguration of the index. For the regular compilation of index numbers the further task of periodical collection of prices must also be undertaken. For the first time in this country a small field staff was appointed in 1948 to the Census and Statistics Department for price collecting duties. With the exception of house and flat rents, some “other housing” (i.e., owner-occupiers') costs, and a few miscellaneous items, particularly fares, all prices used in the Consumers' Price Index are now collected personally by pricing officers. Particular stress is laid on the maintenance of a uniform standard of quality in the commodities priced, unavoidable changes in the specifications being compensated for by suitable price adjustments if necessary (see special note immediately following). The same retail establishments, as far as possible, are visited at every collection. Following is a statement of the periodicity and geographical coverage of price collection in respect of each group of the index.

GroupPeriodicity of CollectionDate of CollectionTowns Covered
Food (excluding seasonal fruits and vegetables)Monthly15th day of monthTwenty-one towns.
Seasonal fruits and vegetablesWeeklyEvery FridayTen representative towns.
Housing—   
Rents: houses and flatsSix monthlyFebruary and AugustTwenty-one towns.
RatesYearlyFebruaryTwenty-one towns.
Repairs and maintenanceYearlyFebruaryFour chief centres.
Fuel and lightingMonthly15th day of monthTwenty-one towns.
Clothing and footwearQuarterlyFebruary, May, August, NovemberTen representative towns.
Miscellaneous—   
HardwareQuarterlyDittoTen representative towns.
FurnitureQuarterlyDittoTen representative towns.
Household appliancesQuarterlyDittoFour chief centres.
Cleaning suppliesQuarterlyDittoTen representative towns.
Personal requisitesQuarterlyDittoFour chief centres.
Educational requisitesQuarterlyDittoFour chief centres.
Services—   
  Postage, etc.QuarterlyDittoFour chief centres.
  EntertainmentQuarterlyDittoFour chief centres.
  Personal servicesQuarterlyDittoFour chief centres.
  Health servicesQuarterlyDittoFour chief centres.
  TransportQuarterlyDittoFour chief centres.
  Patent medicinesQuarterlyDittoFour chief centres.
  Union duesYearlyFebruaryFour chief centres.

Where “four chief centres” are mentioned the reference is to Auckland, Wellington, Christ-church, and Dunedin. The “ten representative towns” comprise also Hamilton, Napier, New Plymouth, Palmerston North, Nelson, and Invercargill; while the “twenty-one towns” are made up by the inclusion of Whangarei, Tauranga, Rotorua, Gisborne, Wanganui, Masterton, Blenheim, Greymouth, Ashburton, Timaru, and Oamaru.

In the combination of the individual towns into groups or into a single group, population weights are employed which give representation not only to the city or borough itself, but to neighbouring boroughs and town districts also. Thus there are three series of population weights, which also are subject to revision at any general revision of the commodity weights. Each of the three series has the same total, representing approximately 60 per cent of the total population of New Zealand. It will be apparent that the index as a whole has predominant reference to urban dwellers.

Further details as to the construction of the index will be found in the booklet “Retail Prices in New Zealand, with Special Reference to the Consumers' Price Index,” mentioned earlier. Two special notes, however, dealing with particular aspects of the Consumers' Price Index, are given hereunder.

Treatment of Quality Changes.—Amongst the recommendations of the Index Committee—which were subsequently adopted by the Government as the framework of the Consumers' Price Index—are certain rules or principles regarding the maintenance of uniform quality in the goods priced from time to time. The most important provisions are quoted herewith.

“It is of course essential that where possible the prices reported should relate to identical qualities of goods at each period of reporting. For this reason the Committee stresses the importance of careful specification of each item to be priced. … Even with such precautions, difficulties in ensuring quotations for comparable qualities at each price collection are not easily overcome; and supervision of this aspect of the price-collecting programme will form an important part of the work of the price collectors. … While it is difficult to lay down any hard-and-fast rules regarding the reflection of changes in quality in a retail price index, the Committee considers that changes of importance should be taken into account, since a marked depreciation or appreciation in the quality of an article priced is equivalent to a price change and should be reflected in the index.”

In conformity with the principles set out above, fairly exact specifications were established for each article and service of the Consumers' Price Index, in many cases in consultation with representatives of the various trades. This was a new departure, as indeed was the appointment of a staff of field officers, without whose services quality changes in goods priced could never have been taken into account.

These field officers are charged with the duty of watching the quality of the goods priced for index purposes and, in particular, where any change is observed, of assessing the difference in quality, in order to enable a compensating amendment to be made to the current price before it is incorporated in the index. In the case of standard brands which remain continuously on the market, it is in general safe to conclude that the quality remains constant, so that in practice difficulties arise only when a brand used in the index is discontinued. However the principle would be exactly the same if any index article were found to have either deteriorated or improved in quality, though continuing to be sold under the same brand. In times of scarcity, deterioration is liable to occur, but the Department is not aware of any such change having taken place during the currency of the Consumers' Price Index. Nevertheless the techniques described below are available, with adaptations if necessary, to meet any contingency which may arise.

Even if a prescribed brand has disappeared entirely from the market it is not infrequently found that an equivalent substitute is still available. Such cases present no difficulty. Where however the substitution involves a perceptible change of quality, special care must be taken to include in the index only genuine price movements.

Accordingly, at the initiation of the price-collecting programme, instructions were issued to field officers stating what was to be done if any index item as specified was no longer obtainable. In brief the field officer was required to report—

  1. Whether the discontinuance was likely to be permanent or only temporary;

  2. If the latter, whether a substitute was available and, if so, what price movement had occurred in the substitute since the previous inquiry;

  3. If the former (in which case it could be assumed that some substitute would be on the market), what substitute should be taken, and what were the relative qualities of the original and the substitute. The comparison of qualities ultimately rests on the trained judgment of the field officer, but the opinion of the salesman or buyer who is supplying the information is taken into account.

The field officers' reports are considered by the responsible clerical officers, and the prices to be used in the index determined. In general the adjustments are made according to the following principles: In the case of temporary discontinuance, the recorded price movement in the substitute is linked to the last determined price of the original, and this procedure is continued until the original reappears. If the disappearance is considered permanent, the price of the substitute is increased or decreased in the inverse ratio of the two qualities—in the case of durable goods this is based on the estimated wearing lives of the respective articles. In practice however if the adjustment thus indicated is too small to affect the final figures significantly, the substitute article may be accepted as serving the same general purpose as the original.

It may be well to emphasize that it is the policy of the Department to treat enforced substitutions likely to obtain for an indefinite period (through an index specification becoming no longer available) in the manner above indicated for permanent, not temporary, disappearance. This means that the view is rejected that movements in the price of the substitute should be accepted as representing movements in the price of the article which is no longer procurable (as if it were procurable), in favour of the argument that the fact of the article being no longer procurable should be admitted, the index consequently showing any disadvantage or advantage accruing to the consumer by reason of the substitution itself, as well as reflecting any price changes in the substitute subsequent to the substitution.

With a view to anticipating the difficulties which arise when an index specification becomes unprocurable, attempts are made wherever possible to remove from the index any item, the sales of which are observed to be materially declining, in favour of some other item which is in both good demand and good supply and which is acceptable as a substitute.

In the foregoing remarks no reference has been made to changes in unit of sale—e.g., in the weight of a chocolate pack, the width of dress material sold by the yard, or the number of envelopes in a packet. Though not strictly quality changes, these require the same vigilance on the part of field officers for their detection, but once detected present no further difficulty, as it is in every case the price for a specified unit which enters into the index.

Index Sample of Rents.—Nine categories of house and flat rents enter into the rent sub-group of the housing group of the Consumers' Price Index—viz. (1) privately owned houses of four rooms, (2) privately owned houses of five rooms, (3) privately owned houses of six rooms, (4) State houses of four rooms, (5) State houses of five rooms, (6) State houses of six rooms, (7) flats of two rooms, (8) flats of three rooms, and (9) flats of four rooms. Rents are collected twice every year—in February and August.

The “State" houses include only houses erected under the State housing scheme. Other houses acquired or administered by the State Advances Corporation or the Public Trust Office are treated as privately owned. No distinction between State and private ownership is made in the case of flats.

The Government Departments named supply a complete coverage of all rents which they collect. In the case of privately owned houses and flats a sample only is used; but this is not a planned sample; much less does it embrace the same dwellings at every collection. It merely includes all rented houses the current rents of which are known. The Government Statistician is empowered to demand information as to rents paid or payable from all collectors of rents. In practice this applies chiefly to house and land agents, but also to solicitors, accountants, etc., and to private landlords where known. It is one of the duties of the Department's field officers to make inquiries from time to time in the various towns covered by the index with a view to securing fresh sources of information as to house and flat rentals. This is necessary in order to compensate for houses in the sample which are from time to time demolished, converted to other uses, or acquired for owner occupation.

Such a method does bring into the sample new dwellings erected for letting, though not in any specific proportions. This very considerable advantage over the fixed-sample method is judged to outweigh the disadvantage, inherent in a changing sample, of possible adventitious fluctuations which are not truly significant. But overmuch weight should not be attached to short-term movements in the rent index, particularly in the figures for individual towns.

The size of the sample is of some consequence. In August 1954 it covered 30,221 State houses, 11,750 private houses, and 6,505 flats, a total of 48,476 rented dwellings. (This total includes some dwellings which are either too large or too small to be used in the index.) The number of private rented dwellings recorded in the 1951 census was 148,679, of which 29,057 were flats. It is estimated that 65 per cent of the total rented dwellings are located in towns covered by the index. Ignoring any increase in the number of rented dwellings since the census, the sample appears to cover approximately half of the 97,000 rented dwellings in the twenty-one towns. An estimated analysis of these totals, showing State houses separately, is given below.

TypeSample CollectedSample Used in IndexCensus TotalsPercentage of Census Totals Used in Index
State houses30,20026,10030,20086
Flats and other houses18,30015,40066,80023
All houses and flats48,50041,50097,00043

Making allowance for the complete coverage of State flats it still appears that approximately 20 per cent of privately owned rented dwellings are included in the index.

The rents collected are subject to certain “weighting" operations designed to ensure that each category of dwellings receives its correct proportional representation in the index despite any disproportion which may exist in the sample. Thus although the August 1954 sample included 30,200 State houses, 11,800 privately owned houses, and 6,500 flats, the proportions after weighting became approximately: State houses, 22½ per cent of all index dwellings; privately owned houses, 54½ per cent; and flats, 23 per cent. These fixed percentages are averages for all towns; in fact, each town has its own set percentages for combining State houses with privately owned houses, and for combining houses with flats respectively, though all towns use the same percentages wherever categories of dwellings are to be combined which differ only in the number of rooms.

Consumers' Price Index Numbers.—The following table shows the index numbers calculated for the first six years of the currency of the Consumers' Price Index. The table headings are self-explanatory. The all-groups index numbers for the twenty-one towns combined shown in the first section of the table are linked with those for earlier years in the table already given on page 885, these earlier indices having been converted to the base first quarter of 1949 (=1000), which is the base of the Consumers' Price Index.

CONSUMERS' PRICE INDEX.—QUARTERLY INDEX NUMBERS (ALL GROUPS), TWENTY-ONE TOWNS COMBINED

Base: Weighted average twenty-one towns, first quarter, 1949 (= 1000)

FoodHousingFuel and LightingClothing and FootwearMiscellaneousAll Groups
Meat and FishFruits, Vegetables, and EggsOther FoodsAll FoodRentOther HousingAll HousingClothingFootwearClothing and FootwearHousehold Durable GoodsOther CommoditiesServicesAll Miscellaneous
Calendar year—                
194910561008101510231000100010001017100010111002997998100410001009
19501131106711441123101410321025113510271148104510131007104510211066
19511355126512761292105210721064123511901269120211531039111710911183
19521590147013281423112011651147127112701369128511631126117811521275
19531755158813661509118112431219136612961424131611651147122411771333
19541902146614971587125113221293148013591487137811601147128711981395
Quarter ended—                
1949—                
31 March1000100010001000100010001000100010001000100010001000100010001000
30 June100697810201007100010001000100110001003100199899810009991002
30 September11019921027103799910001000102810051018100799599710019981014
31 December111610611011104799910001000103999610221000993996101510021018
1950—                
31 March10671048101010321008103210221042995106910069891002103510111020
30 June1100103111241097100810321022109110161156103710031001104110151052
30 September1150109112041166102110321028119910331179105510171016104710271087
31 December1206109812381199102110321028120810631188108210411008105810321105
1951—                
31 March1232107112471204103910721059121210881216110710891015105810461121
30 June1295117712871264103910721059123711751245118611511024112310861169
30 September1398130012921319106510721069126212281289123711941052113711121207
31 December1496151112771382106510721069122912691325127711791064114911191237
1952—                
31 March1514141212951373109811651138125212711338128111771120114911421253
30 June1545148313241413109811651138127212671363128211641122118311521270
30 September1607150613421442114111651155127712691379128611561125118311521284
31 December1694147913521462114111651155128212731395129111561136119511611294
1953—                
31 March1704143213551455116012431210129112831401130011621146122511771307
30 June1720153013561482116012431210135112951424131411671146122411771322
30 September1769158513681512120212431227140212951435131611641149122811791337
31 December1829180413861585120212431227142213131437133211671147121811761366
1954—                
31 March1853146014591553123713221288146913291459134911771151128212021377
30 June1871153715021598123713221288148013601488138011811160128812081400
30 September1907149415151604126513221299148413691500138811451139128911921402
31 December1977137215141593126513221299148513781501139711361138129011901399
1955—                
31 March1979135815331601129714161369148413841504140211381139132212021418

In the two following tables individual towns are distinguished for selected years and quarters. CONSUMERS' PRICE INDEX.—ANNUAL INDEX NUMBERS FOR INDIVIDUAL TOWNS AND GROUPINGS Base: Weighted average twenty-one towns, first quarter, 1949 (= 1000)

Calendar Year 1953Calendar Year 1954
FoodHousingFuel and LightingClothing and FootwearMiscellaneousAll Groups*FoodHousingFuel and LightingClothing and FootwearMiscellaneousAll Groups*
Auckland150612391342136911681343157113111464143211871399
Wellington151512511289129611941338159513421401135312191403
Christchurch149012431413124911611315159613121558132311791388
Dunedin147312161073135811941322157712911149142112101390
Four chief centres150212401308132511771334158313171427138911971397
Hamilton156712021332128011681339161912701408135111911392
Napier148511571534130611791319153812251664135312061370
New Plymouth150011861491129611671323155212541582134811931373
Palmerston North154612021435131211921348161912861553136112181409
Nelson150412311503128211711330155613051582134511901381
Invercargill151611681451130111991333164912371593139312161418
Six provincial towns152111871454129811801333159112591563135912041391
Whangarei156311891685....1367164512491763....1426
Tauranga156712141202....1336161912951222....1389
Rotorua157611891472....1346164012701563....1405
Gisborne149511231838....1327155511822053....1380
Wanganui153611341565....1338160211991624....1391
Masterton154711521589....1344160512251706....1398
Blenheim148711691621....1319155812311664....1373
Greymouth152311371251....1304160812051391....1401
Ashburton150311491762....1317160712261852....1389
Timaru147112061373....1304157212791455....1374
Oamaru150211391575....1338158412111698....1400
Eleven other towns152511631514....1330160012331611....1389
Twenty-one towns combined150912191366131611771333158712931480137811981395

CONSUMERS' PRICE INDEX.—QUARTERLY INDEX NUMBERS FOR INDIVIDUAL TOWNS AND GROUPINGS

Base: Weighted average twenty-one towns, first quarter, 1949 (= 1000)

Quarter Ended 31 December 1953Quarter Ended 31 March 1954
FoodHousingFuel and LightingClothing and FootwearMiscellaneousAll Groups*FoodHousingFuel and LightingClothing and FootwearMiscellaneousAll Groups*

* In calculating the all-groups index numbers for the eleven other towns, singly and in combination, the missing aggregates for the Clothing and Footwear and Miscellaneous groups were supplied from the four chief centres and six provincial towns.

Auckland156912481391139311581373154213041449140811921384
Wellington160312561362120111911372154613371398132412231380
Christchurch158712531497126111581355157313091554127911821371
Dunedin154612221094137211911351154912881129139712091374
Four chief centres157912481367134011751367155013121417136012011379
Hamilton161612141363130611721365156912651402132011921368
Napier155011621569131011761344148412191651131512091343
New Plymouth156811941526131511691353152412521565131911951357
Palmerston North162912091482133311891383158712781547134112241394
Nelson158312381529129611671361152812971550131111931363
Invercargill160511761555133511961375164512271570136712141409
Six provincial towns159311951501131811791364155712531548133012061372
Whangarei162511921712....1395160812521756....1410
Tauranga162412291216....1365157412891239....1367
Rotorua163812111545....1379159412581563....1381
Gisborne156711331990....1361151011802039....1357
Wanganui161811371591....1372157311871636....1377
Masterton162411621670....1375156512221653....1377
Blenheim157811791615....1353153512131663....1356
Greymouth161711591288....1344157711921342....1347
Ashburton161911491815....1360158912131843....1372
Timaru156812151400....1342154212651447....1353
Oamaru153911411627....1355155512091707....1385
Eleven other towns160311731562....1363156612241601....1370
Twenty-one towns combined158512271422133211761366155312881469134912021377

CONSUMERS' PRICE INDEX.—QUARTERLY INDEX NUMBERS FOR INDIVIDUAL TOWNS AND GROUPINGS

Base: Weighted average twenty-one towns, first quarter, 1949 (= 1000)

Quarter Ended 30 June 1954Quarter Ended 30 September 1954
FoodHousingFuel and LightingClothing and FootwearMiscellaneousAll Groups*FoodHousingFuel and LightingClothing and FootwearMiscellaneousAll Groups*
Auckland159213041469142811971407158313171469144011801405
Wellington159613371400135012321405161913461401136412121412
Christchurch159913091558133111851391161613151560134011761398
Dunedin158412881137142312221395159512941159142612021396
Four chief centres159313121427138812071402160013221431139911901404
Hamilton163712651410136512051403163312741410136311831398
Napier155612191668135712171379156012321668136512011380
New Plymouth155512521588135212031377157012571588135811881380
Palmerston North163012781555136412321415163912941555136412101416
Nelson155312971592134311991381158013131592135711871393
Invercargill166512271578140212251425165012471605140412141422
Six provincial towns160312531564136512151398160712661568136911981398
Whangarei166512521763....1435165812461766....1430
Tauranga163712891240....1400163413001240....1396
Rotorua166212581564....1416165312811565....1412
Gisborne157411802057....1389157411842057....1388
Wanganui161511871620....1397161912111621....1397
Masterton161712221699....1404162612271734....1407
Blenheim156212131663....1373157912481665....1384
Greymouth161311921387....1372162412181416....1380
Ashburton162312131855....1395162212381855....1398
Timaru158812651458....1380159012941458....1385
Oamaru158812091697....1404159712131697....1404
Eleven other towns161412241611....1396161612411618....1397
Twenty-one towns combined159812881480138012081400160412991484138811921402
Quarter Ended 31 December 1954Quarter Ended 31 March 1955
FoodHousingFuel and LightingClothing and FootwearMiscellaneousAll Groups*FoodHousingFuel and LightingClothing and FootwearMiscellaneousAll Groups*

* In calculating the all-groups index numbers for the eleven other towns, singly and in combination, the missing aggregates for the Clothing and Footwear and Miscellaneous groups were supplied from the four chief centres and six provincial towns.

Auckland156813171469145211771402159013821470146411981427
Wellington162113461404137312091414161114331404137612191428
Christchurch159513151560134211731391160013821559134711711404
Dunedin158112941171144112071396159313551172142112171408
Four chief centres158913221433140911891402159813921433141312011421
Hamilton163812741410135811871399163513461410136012061415
Napier155012321668137311971378152912871668137912071383
New Plymouth156012571588136211851377157913121575136512021397
Palmerston North162112941555137512071411163613621555140312181436
Nelson156213131592136811821388158413761603136111801404
Invercargill163512471620139912121416167013091622140112201441
Six provincial towns159712661571137311961395160613281570138012081413
Whangarei164912461766....1429167213091766....1455
Tauranga163213001166....1392162013921129....1407
Rotorua164912811563....1410162213651563....1420
Gisborne156111842060....1385154712572060....1398
Wanganui160012111621....1392162512831621....1421
Masterton161212271736....1404161613061676....1419
Blenheim155812481666....1378157113141656....1391
Greymouth161812181418....1378162012961418....1392
Ashburton159512381855....1389160313041856....1404
Timaru156712941458....1377156513541458....1386
Oamaru159512131692....1407160512911690....1422
Eleven other towns160312411612....1393160713141603....1410
Twenty-one towns combined159312991485139711901399160113691484140212021418

In the table which follows, monthly figures where available are shown for all index towns combined.

CONSUMERS' PRICE INDEX.—MONTHLY INDEX NUMBERS (FOOD AND FUEL AND LIGHTING), TWENTY-ONE TOWNS COMBINED

Base: Weighted average twenty-one towns, first quarter, 1949 (= 1000)

Meat and FishFruits, Vegetables, and EggsOther FoodsAll FoodFuel and Lighting
Calendar Year—     
194910561008101510231017
195011311067114411231135
195113551265127612921235
195215901470132814231271
195317551588136615091366
195419021466149715871480
Month—     
1954—January18501548144915671465
  February18541430145715461471
  March18561401147015471471
  April18641560149415971478
  May18701565149716011481
  June18801486151615961481
  July18911474151715971482
  August18991539151716131485
  September19311468151116021486
  October19431412150915911486
  November19871246150915641485
  December20001458152316221485
1955—January19851393152616061485
  February19811307152915881484
  March19711373154516081484

As price movements in the various groups and sub-groups of the Consumers' Price Index have during the currency of the index shown considerable dispersion, the percentages of total expenditure given for the base period on page 888 do not apply to more recent periods. For the first quarter of 1955 the following was the position.

CONSUMERS' PRICE INDEX.—EXPENDITURE BY GROUPS

GroupPercentage of Total Current Expenditure Covered by Index (Quarter Ended 31 March 1955)
Food—   
  Meat and fish 11.42 
  Fruits, vegetables, and eggs 7.33 
  Seasonal4.48  
  Non-seasonal2.85  
  Other foods 19.89 
  All food 38.64
Housing—   
  Rent 6.09 
  Other housing 10.08 
  All housing  16.17
Fuel and lighting  4.04
Clothing and footwear—   
  Clothing 16.84 
  Footwear 3.24 
  Clothing and footwear  20.08
Miscellaneous—   
  Household durable goods 4.37 
  Other commodities 8.76 
  Services 7.94 
    Total miscellaneous  21.07
  All groups  100.00

By comparing these percentages with the group weights (see page 888) or, alternatively, by an examination of the index numbers shown on page 892, it is apparent that since the commencement of the index, food and fuel and lighting prices have advanced by considerably more, but prices in the other groups—particularly in the housing and miscellaneous groups—by somewhat less, than the average increase for all groups. What is true of any group is also true of each of its component subgroups, except footwear, the relative importance of which shows a moderate increase. The seasonal section of the fruits, vegetables, and eggs sub-group is also anomalous in this regard.

WHOLESALE PRICES.—In most countries index numbers of wholesale prices are compiled from the price data available in trade journals or from the published reports of wholesale markets. In New Zealand wholesale markets scarcely exist, and consequently price data for the wholesale-prices investigation have been collected from wholesale merchants and traders who, from the volume of the business they transact, are able to supply representative information.

Since 1917 such wholesale-price quotations have been collected monthly, the inquiry being for the most part confined to the four chief centres. A considerable volume of data as to wholesale prices was secured from merchants and traders (and in a few cases from import figures) by means of retrospective investigations covering the years 1891 to 1917, and sufficient information was secured to permit of the compilation for each year from 1891 onwards of a “general" wholesale prices index number based on the prices of 106 commodities.

During 1926 a revision of the Wholesale Prices Index was effected, and was so designed, inter alia, as to permit of the inclusion in the index number of several commodities such as motor spirits, etc., the importance of which had increased enormously since the index was originally instituted. In 1937 a further revision was put in hand, but except for the base period which is now 1926–30 (= 1000) these indices do not differ essentially from those of the previous series. The latest revision consisted mainly of adjustment of the weights in accordance with changed consumption, the elimination, as far as possible, of “double counting” (the inclusion of a commodity in its raw state and again in a processed condition), the adoption of some new items, and the omission of some others, previously included, which had proved unsatisfactory. The present list of commodities represents a wide range, covering articles of local production and of foreign production, and of farm, mine, marine factory, etc., origin. A detailed account of the method of computation of the index is given in the Statistical Report on Prices, etc., for 1937.

Indices in the present series have been prepared, annually from 1913 onwards, and monthly commencing with 1936.

WHOLESALE PRICES.—GENERAL INDEX NUMBERS—Base: 1926–30 (= 1000)

YearIndex Number
1913724
1914748
1915805
1916882
19171024
19181225
19191282
19201536
19211428
19221194
19231115
19241120
19251114
19261053
19271001
1928994
1929988
1930963
1931901
1932878
1933902
1934907
1935936
1936945
19371022
19381036
19391071
19401195
19411311
19421416
19431513
19441558
19451584
19461589
19471649
19481837
19491825
19501987
19512315
19522572
19532546
19542523

The Wholesale Prices Index is purely a commodity index, no attempt having been made to cover the wholesale prices of services such as the supply of electric power, transportation, etc. The index relates only to commodities consumed in New Zealand, each item included in the make-up of the index being weighted by a factor representing production, plus imports, less exports (i.e., local consumption). The wholesale prices index numbers are compiled by the aggregate expenditure method, and where applicable sales tax is included in the prices used in the index.

The following table shows annual wholesale prices index numbers by commodity groups (i.e., by origin).

WHOLESALE PRICES.—INDEX NUMBERS BY GROUPS—Base: 1926–30 (= 1000)

Group1914193919501951195219531954
1. Foodstuffs, etc., of vegetable origin—       
    A. Agricultural produce642132822042639294731133039
    B. Fresh fruits and vegetables764105517092326221023342279
    C. Milled agricultural products64477612281277108510291089
    D. Other foods and groceries of vegetable origin613118921782344249125842640
    A.–D. Four subgroups combined634112419642186227723552382
2. Textile manufactures53581521332612299725912379
3. Wood and wood products582118419592146239326092688
4. Animal products—       
    A. Meats941101116552057238426942843
    B. Semi-manufactured animal products (not foods)83869117902022236225482631
    C. Leather676112921912419255425482538
    D. Other foods and groceries of animal origin78596514271525153415421713
    A-D. Four subgroups combined84399216281876205221972336
5. Metals and their products919127724842931337232463069
6. Non-metallic minerals and their products—       
    A. Mineral oils1164123517481980198920751989
    B. Coal539108519732354260627353007
    C. Other non-metallic minerals and their products600102317832093255524992505
    A-C. Three subgroups combined821114018452149232924102483
7. Chemicals and manures95486115801992244722562148
    All groups combined748107119872315257225462523

The respective group weights (i.e., percentages of the base aggregate expenditure) are as follows: 1 A, 3.61 per cent; 1 B, 1.43 per cent; 1 C, 4.06 per cent; 1 D, 11.70 per cent; 2, 16.43 per cent; 3, 6.18 per cent; 4 A, 7.98 per cent; 4 B, 0.72 per cent; 4 C, 1.99 per cent; 4 D, 7.48 per cent; 5, 18.18 per cent; 6 A, 6.79 per cent; 6 B, 6.29 per cent; 6 C, 2.50 per cent; and 7, 4.66 per cent.

In the next table index numbers are given by classes (i.e., by use). These index numbers should be taken for no more than they purport to represent—viz., the movement in wholesale prices of those commodities, covered by the wholesale prices inquiry, which belong to the respective classes. The figure for Class III, for instance, does not purport to show the movement in building costs, nor should that for imported items be confused with the index number of import prices. The table shows the separate index numbers for imported items and locally produced items included in the wholesale prices series.

Since 1939 the index for imported commodities had up to 1952 increased by 163 per cent, and that for locally produced commodities by 109 per cent. By 1954, however, these respective percentage increases over 1939 had become 139 and 131; this convergence is significant.

WHOLESALE PRICES.—INDEX NUMBERS BY CLASSES—Base: 1926–30 (= 1000)

YearConsumers' GoodsProducers' Materials, etc.Classes I and II CombinedClasses III and IV CombinedLocally Produced CommoditiesImported CommoditiesAll Classes Combined
Class I: FoodstuffsClass II: Non-foodsClass III: Materials for Building and ConstructionClass IV: Materials for Other Industries
1914766605792791699791716772748
1939108810001206105710511090105310841071
1944138117591832150615341579123318001558
1945140117811923152015541610125718271584
1946142217791908152215661608127818211589
1947155717741823160516451653136818591649
1948165119521968187017731892150120891837
1949161219451992186417461892153220441825
1950174420932158204918842073174421681987
1951202224572448240521972414203025282315
1952221026142807272123732740220028502572
1953237324422788263524012669232827092546
1954242524582757254824392594243725872523

Of the total base aggregate expenditure, Class I represents 27.1 per cent, Class II 19.2 per cent, Class III 11.9 per cent, and Class IV 41.8 per cent, while the imported items aggregate 57.7 per cent of the total.

EXPORT PRICES.—Quarterly and annual index numbers of export prices are compiled, based chiefly on the declared export values of the principal commodities of New Zealand produce exported.

The first indices of export prices compiled in New Zealand were all of the Paasche type, being calculated from comparisons of current export values with values obtained as the products of current quantities at prices ruling in some earlier base period. At different times and for different purposes the base periods with which the comparisons were made were—

  • The decade 1890–99.

  • The year 1900.

  • The year 1901.

  • The year immediately preceding that reviewed.

The prices so-called were in fact unit-values obtained from the export trade statistics.

Comparisons between any two years, other than a pair including the base period, were to some extent vitiated since such a comparison was between different, although generally similar, selections of commodities. Due to the seasonal cycle of exports this weakness was more marked in the monthly series which was introduced to supplement a new annual series in 1925. This series used prices of the quinquennium 1909–13 as base. The weakness became still more serious when, with the collapse of prices in the depression of the nineteen-thirties, different commodities showed quite disparate price movements.

Accordingly, the method was revised in 1934 when the series which has now been superseded was introduced. The device of five-yearly moving average weights was adopted for all years subsequent to 1933, since this would ensure that the weighting pattern was influenced by long-term trends but violent fluctuations in the weights would be eliminated. The 1909–13 base was retained but new commodities and groups were introduced. The group indices were built up from the commodity prices by the use of quantity weights; in turn the group indices were combined to give the major group (all Pastoral and Dairy Produce) and all-groups series by weights representative of the values of the different groups. This method resulted in an upward bias in the major group and all-groups series since—

  1. A group with a higher than average index in any period would also have (as a result of the price movement, assuming quantities remained unchanged) a higher weight in that period;

  2. A group with a lower than average index in any period would also have (as a result of the price movement, assuming quantities remained unchanged) a lower weight in that period.

However, as long as the three important groups showed broadly comparable movements, and this was generally the case up to 1949, the resulting bias was very small. With the phenomenal rise in wool prices in the 1950–51 season the bias assumed appreciable proportions, and the method was therefore again modified, the group weights being obtained as five-yearly moving averages of the group values after these had first been “deflated" by the group price indices. While this eliminated the bias, it meant that the relative importance of the principal exports had still to be measured by the price ratios of the 1909–13 period, not those of the present or recent past.

While the old index was generally satisfactory as an indicator of changes in the level of prices which New Zealand receives for her exports, the provision of a new index has been under consideration for some time. The principal desiderata were—

  1. A currently representative weighting pattern;

  2. A method so constructed that any change in the index could be the result only of a price change;

  3. The substitution where possible of actual price quotations for unit-values obtained from the trade statistics;

  4. The provision of a unified system of commodity weights so that commodity aggregates could be readily assembled to give different types of group indices (e.g., end-use groups (foods, non-foods); primary source groups (agriculture, dairying));

  5. Separate indices for exports to the United Kingdom, the country's principal export market, as well as for exports to all countries.

The first two of these could be met only by the adoption of fixed weights based on actual exports in some recent period. The year 1952 was the latest for which complete figures were available when the work was finally put in hand and was adopted as the weighting base period. However, the figures were carefully examined, and modifications made where it was considered that they showed some departure from normal as a result of special circumstances. An example was the shipment of beef to the United States of America as a result of the “switch" agreement with the United Kingdom and Canada. The use of fixed weights necessitates that they be revised at fairly frequent intervals, and it is proposed to do this at five-yearly intervals.

The year 1952 was adopted also as the “expression base” for the index (i.e., the aggregates for that period were equated to 100).

Since it is obviously impracticable, as well as being completely unnecessary, to price every type and grade of every commodity exported, a selection had to be made of representative items to be priced. Each of these was then assigned a weight to cover not only the value of the item itself in the base period, but also the value of related items which it was assumed to represent. The apportioning of these additional weights was facilitated by first classifying the exports into the various sections, divisions, groups, and items of the Standard International Trade Classification. This classification (S.I.T.C.) has been adopted for the presentation of trade statistics for New Zealand as from the beginning of 1955. In all, the number of items of the classification priced was 60, being 95.4 per cent of the total value of exports of New Zealand produce in the base period, other than wool which is discussed later. When the values are added of the unpriced items which these priced items are assumed to represent, this percentage is raised to 98.8. Although this additional 3.4 per cent is a very small proportion, it represented a very large number of commodities totalling in value over £5 million in the base period. The remaining 1.2 per cent (£2 million) comprises a still larger number of assorted items, mainly manufactured goods, which it would be quite impracticable to attempt to give direct representation in the index.

By thus giving every commodity a weight, expressed as a percentage, showing its importance in the total all-groups index, indices can be assembled for any agreed grouping of commodities. Series have been prepared for—

  1. The three most important groups distinguished in the old series—namely, Dairy Produce, Meat, Wool;

  2. The major group, All Pastoral and Dairy Produce;

  3. Meat, Wool, and By-products combined, being the major group with Dairy Produce omitted;

  4. The Butter and Cheese components of the Dairy Produce group;

  5. Foods and Non-foods; these represent major classifications according to the S.I.T.C., and anticipate a request from the United Nations for the uniform publication by all countries of group indices based on broad subdivisions of this classification.

A supplementary set of weights had to be prepared also for exports to the United Kingdom, and a weighting pattern was also established for exports to all other destinations giving an integrated set of commodity and destination weights. The use of these weights applied to prices (or unit-values) for the two destinations can result in an index different from that which would be obtained, were a single set of all-destinations weights applied to prices (or unit-values) of all exports of each commodity. Tests have shown that such differences are kept to negligible proportions by the general uniformity of price movements in different markets and the relative stability of the proportion of our major exports going to the United Kingdom.

Requirement (iii) quoted was the most difficult to meet. Of our important exports, wool is the only one for which a major international market has been established within New Zealand. An index for wool prices on the basis of f.o.b. values had already been constructed from the Wool Price Index based on auction prices, and had been engrafted into the old index; it has been used with slight modifications in the new index. Our other major exports are generally (excepting the periods of inter-Governmental bulk-purchase contracts) shipped overseas to be sold in overseas markets. Comparison of the dairy produce bulk-contract prices with the corresponding trade unit-values showed excellent agreement between the two, and it was decided to retain the trade unit-values as the prices. A comparison of the meat bulk-contract prices with the trade unit-values gave less satisfactory results, and it was decided to use the bulk-contract prices (with suitable weights for combining quality and weight grades) for the period the contracts subsist. To obtain actual price quotations for commodities other than wool and those sold under the bulk contracts would have required the setting up of a fairly elaborate price reporting organization. The reporters would generally have to be the exporting firms or organizations who are responsible for filing with the Customs Department the export entries from which the external trade statistics are compiled. Under the existing law they are required to show on the entries a value based on the ruling price at the time of shipment in the overseas market to which the goods are consigned, and it is doubtful if there would be any great improvement by requiring them to report prices directly to this Department.

In calculating the index, the price (or unit-value) for each commodity for each of the two destinations is first converted into a price-relative on base, year 1952 (= 1000) and then multiplied by its weight to produce an aggregate for addition to other aggregates, similarly obtained, for other commodities in the group. Division of this total aggregate by the sum of the commodity weights included gives the group index. The two base prices for the same commodity exported to the different destinations generally differ. Since both are equated to 1000, comparison of the two price-relatives (or indices) for a commodity will not show their relative levels but only their relative movements from the base period. In comparing the three all-groups indices (exports to All Countries, to the United Kingdom, and to Other Countries) it will be borne in mind that each represents a differently weighted selection of commodities.

The inclusion of the wool export price index based on auction prices has had the effect of severely reducing the proportion which the priced commodities included in the all-groups index represent of total exports in the base period, to only 77 per cent. This is because the great number of types and grades of wool offered at auction (over 900) necessitates a limited selection being made of the more important types in order to measure the price changes. In the year 1952 these selected types comprised 52 per cent of the total sales at auction. In turn the wool sold at auction is only four-fifths of New Zealand's total wool exports, so that the selected types priced comprise only 40 per cent of these exports. Nevertheless, it is considered that the index based on auction prices is a better measure of true price movements than would be one calculated from unit-values obtained from the export statistics. Since this index is taken to represent the price of all wool exported, the proportion of total exports of New Zealand produce represented directly or indirectly in the all-groups index is correspondingly much higher, at 99 per cent.

The new series of export prices index numbers have been calculated for all periods from the first quarter of 1950, including the year ended June 1950. In order to obtain long-term comparisons, the new and the old series have been linked for the various groups, the links being made through the calendar year 1950 and the year ended June 1950. The linked series are being calculated back to the year 1914. As mentioned earlier the method of combining the group indices in the old index was revised from 1950 on; in the linked series now published this revision has been carried back to earlier years.

Gold, which was included as a commodity in the old series, has not been included in the new, gold exports being regarded as a monetary movement.

In the following tables are given export price index numbers for the calendar years 1944–54 and for years ending 30 June from 1944 to 1954.

EXPORT PRICES—INDEX NUMBERS

Base: Export Prices During 1952 (= 100)

PeriodButterCheeseAll Dairy ProduceMeatWoolMeat, Wool, and ByproductsAll Pastoral and Dairy Produce
Calendar Year—       
194453575554364447
194562646357364650
194665666663405255
194775797777526870
194883878576667677
194980798071707575
195086868677147119107
195194929386178144125
1952100100100100100100100
1953106108106109120115112
1954108105106117126120115
Year ended 30 June—       
194448545053374445
194559646155374449
194662656359374752
194771767372466164
194882888477647577
194979818071657274
195083848374958886
195192899180218160134
195297959794103103100
1953104105104104116110108
1954108109107112124118114
PeriodAll FoodsAll Non-foodsAll Groups
To United KingdomTo Other CountriesTo All Countries

NOTE.—For purposes of comparison, old and new series described in the preceding pages have been linked in this table; the bar indicates the commencement of the new series.

* Not available.

Calendar Year—     
1944****47.1
1945****50.8
1946****55.5
1947****69.8
1948****77.5
1949****75.0
19508214097125105.9
195190173112149124.3
1952100100100100100.0
1953106118110113111.2
1954109123115114114.7
Year ended 30 June—     
1944****46.0
1945****50.0
1946****52.2
1947****64.3
1948****77.4
1949****74.3
19507995839185.8
195186200118165133.1
19529510898106100.5
1953104113107109107.6
1954108122113115113.8

The fact that the calendar year does not coincide with the farm production year is especially significant in New Zealand, since the great bulk of export goods is farm produce. For a number of purposes the portion of the foregoing tables relative to years ended 30 June is the more important in that the figures relate to the farming year.

The next table shows export prices index numbers for all pastoral and dairy produce groups and for all groups combined in respect of each year from 1914 to 1954.

Base: 1952 (= 100)

YearIndex Numbers
All Pastoral and Dairy ProduceAll Groups Combined
19143030
19153434
19164140
19174645
19184646
19194949
19205050
19214847
19223737
19234444
19244949
19255251
19264242
19274242
19284646
19294444
19303535
19312627
19322424
19332324
19342930
19352829
19363333
19373939
19383636
19393535
19404041
19414142
19424243
19434445
19444747
19455051
19465556
19477070
19487778
19497575
1950107106
1951125124
1952100100
1953112111
1954115115

During the post-war period the index rose rapidly until 1951, partly by reason of advances in prices under long-term contracts with the United Kingdom Government, but more particularly as a result of the brisk demand for New Zealand wool displayed since the resumption of auction sales in September 1946, and greatly heightened during 1950 and the early part of 1951, when the whole index was dominated by spectacular advances in wool prices. In spite of continued increases in export prices of dairy produce and meat, a recession in the latter part of 1951 from the inflated wool values of the previous season, combined with some other less significant price decreases (mainly in skins), brought about a fall in the all-groups export prices index number for 1952 of almost 20 per cent as compared with 1951. The 1952 figure still, however, substantially exceeded that for every year prior to 1950, while the 1954 index was the second highest on record. It should be noted that the general upward trend in export prices was masked in 1949 by the appreciation in August 1948 of the New Zealand pound to parity with sterling.

IMPORT PRICES.—A series of import prices index numbers based on the year 1926 (= 100), and weighted in accordance with average quantities imported during the years 1926–30, was instituted in 1933. While the basic data were deficient in many respects, nevertheless the index served a very useful purpose. With the passage of time, however, certain inherent weaknesses in this series became apparent, while information previously lacking in some cases became available.

Accordingly, a revised series of index numbers was computed, based in the case of individual items on average quantities imported during the three years 1936–38. Group weights were instituted in the new series, to accord to the various groups their relative importance, and these were based on the average total value for the respective groups during the three years 1936–38. The difficulty, inherent in an index number of imports, of obtaining sufficient coverage to provide a reliable indication of changes in prices for any one group, was overcome in the revised series by the utilization of figures of exports to New Zealand, obtained in detail from the published trade figures of certain overseas countries.

A new and much more detailed statistical classification of imports was adopted by the Customs Department from 1 January 1949. The index of import prices for 1950 has been constructed using the items of the new classification and based on a composite weighting pattern of the two years 1949 and 1950, utilizing group weights, and linked to the old index. The index for 1951 has similarly been based on the composite 1950–51 weighting pattern and linked on. The index for each subsequent year has been similarly calculated on the base of the previous year in each case, using a composite weighting pattern of the two years, the resultant index number being linked on to the old series.

In order to avoid any possible confusion between the import prices index number and the wholesale prices index number for imported commodities, it seems desirable to draw attention to the fact that the price quotations on which the Import Prices Index is based are declared values of commodities for import—i.e., current domestic prices in the exporting country plus 10 per cent to cover freight, etc., expressed in terms of New Zealand currency.

Owing to different proportional changes over the years between domestic commodity prices in exporting countries, the costs of these same commodities delivered f.o.b. for export, and marine insurance and freight rates, the Import Prices Index can only be regarded as the best available approximate indicator of changes in the cost of imports delivered c.i.f. New Zealand ports. For instance, the large increase in marine transport costs during the war years was not, to the extent that it exceeded the rise in commodity prices, reflected in the index. There is reason to believe that, for recent periods compared with pre-war, the rises in f.o.b. costs of commodities and in marine freight and insurance rates may have exceeded the rises in domestic prices in exporting countries recorded in the index.

The Import Prices Index covers some seven hundred items, as compared with approximately one hundred items included in the Wholesale Prices Index for imported commodities.

IMPORT PRICES—INDEX NUMBERS

Base: 1936–38 (= 100)

YearIndex Numbers
1926125
1927119
1928113
1929111
1930110
1931102
193297
193399
193498
193596
193696
1937102
1938102
1939102
1940118
1941131
1942144
1943159
1944167
1945170
1946190
1947226
1948230
1949210
1950230
1951269
1952293
1953277
1954274

SHARE PRICES.—Changes in the market value of shares listed on the Stock Exchange give a very sensitive indication of changes in business conditions generally. A series of index numbers of share prices on base: 1926 (= 1000), and instituted in 1932, was published by the Census and Statistics Department for some considerable time, but in conformity with the usual international practice of revising index numbers at intervals, and advancing the base to a later period in point of time, the present revised series of index numbers is based on the year 1938. The market prices—as on the last trading day in each month—of shares of forty-four representative companies, with shares listed on the New Zealand Stock Exchanges, form the basis on which the indices have been computed. The selection of the shares for inclusion in the index number was made with the object of reflecting New Zealand economic conditions; and, consequently, with one or two exceptions, only companies whose business is conducted largely or wholly in New Zealand are included. The index numbers are for ordinary shares, the prices of which vary directly with the profits of the company.

The market prices on which the index numbers are based have been extracted from Stock Exchange lists of individual exchanges prior to September 1929, and from the list of share prices included in the Stock Exchange Gazette and its successor, the Official Record of the Stock Exchanges of New Zealand, since that date. The prices quoted relate to the last trading day in each month; so that the “monthly" index numbers compiled from these data relate to that day only, while the annual averages represent the averages of the monthly index numbers. Each individual share price, and each group, is weighted in accordance with the number and value of shares held in New Zealand. The index numbers of New Zealand share prices give an indication of changes in share values as compared with the base year. In particular, they are intended to indicate the changes in value of a parcel of representative ordinary shares as compared with their 1938 value. The base adopted in this revised series is the average price ruling during the year 1938 (= 1000).

Shares in industrial companies and in finance, etc., companies have been computed separately, and the annual index numbers from 1926 to 1954 on base: 1938 (= 1000) are as follows.

YearIndustrial GroupsFinance, etc., GroupsAll Groups
192690912711108
192785112541073
192887913011111
192996013301163
193083511471007
1931674921810
1932667852769
1933804972897
193499610971051
1935110211201112
1936107510431057
1937107310671069
1938100010001000
1939959945952
19401024978999
194110219841001
1942100510141010
1943115611881174
1944124913041279
1945128514001346
1946137216011486
1947144416971570
1948143016091520
1949136815661467
1950149917951647
1951156620271796
1952127316971485
1953121617471482
1954135820491703

The fluctuations in share prices since 1926 are clearly shown in the accompanying diagram, which is based on the foregoing index numbers.

An indication of movements in the index numbers for individual groups may be gauged from the following tables, the first of which is confined to the industrial groups.

SHARE-PRICES.—INDEX NUMBERS BY GROUPS

Base: Average for each group, 1938 (= 1000)

YearFrozen MeatWoollensGasTimberMineralsMiscellaneous (Industrial)All Industrial Groups
1944161317539001360108712531249
1945169317468941432109612971285
1946187419419091555108613991372
1947206720058941650126214321444
1948209219558751542132114041430
1949200918908691478132513091368
1950212519339341792140014631499
1951231119738182210147615041566
1952172616656661694125412481273
1953186416346241387113511961216
1954222719435981488128613191358
YearAll Industrial GroupsBanksInsuranceLoan and AgencyMiscellaneous (Other)All Finance, etc., GroupsAll Groups Combined
19441249105916191201149213041279
19451285109717491269159014001346
19461372115218611446183016011486
19471444128418761729194016971570
19481430117117701715189316091520
19491368107917451709186815661467
19501499122020122174203217951647
19511566125123502587226320271796
19521273102919722058196716971485
19531216103920802091197117471482
19541358125223832682225820491703

NOTE.—Index numbers in these tables are comparable vertically but not horizontally.

Monthly index numbers of share prices throughout the years quoted (including the latest four years) are given in the following table, the base being 1938 (= 1000).

Month193219351939194519491951195219531954

* Interpolated.

Industrial Groups
January6681086956124013951639137811781259
February6321075954124713771617129611621280
March6211071938125213631611129411621298
April6181103941126713551599129511651304
May6301097968127013581603130011851321
June6461112948127613421597128311951366
July6691132958130513461579129512261422
August7011106939132113511575128412481428
September7381090927132113641562125012631419
October7181111959131513721529123912821401
November69911231004130013811459118112681394
December*66211171022130514101419117912641398
Finance, etc., Groups
January8651136947131515802021183816391895
February8241101942132515622046169316461917
March8231107933133415352037173716511942
April8151136921135515292012169716751953
May8091125946137615752022169416962023
June8121126934140115482064167417072084
July8691139950142515482057168617602102
August9011155941143215662034170617812120
September9201117927141415672056167518062122
October8971099949140415742075166818322156
November8751097974150215841985164818842136
December*8181092978151116251912164418902136
All Groups
January7771114951128114871830160814081577
February7381094947129014701831149514041598
March7321091935129714491824151514071620
April7261121930131514421806149614201628
May7281113956132814661812149714411672
June7381120940134514451830147814511725
July7791136954137114471818149114931762
August8111133940138214591804149515151774
September8381105927137214661809146215351770
October8171105953136414731802145315571779
November7961109987140114831722141515761765
December*7481103998140815181665141115771767

Yields on Market Prices of Shares.—A series of index numbers of yields on market prices of New Zealand domiciled ordinary shares has been compiled covering the same companies and using the same group weights as for the share-prices series.

The yield figures forming the basis of the index numbers are in most cases based on those published in the Official Record of the Stock Exchanges of New Zealand, and the monthly figures relate to the market price ruling at the end of the month and the rate of dividend last paid by the particular company.

Average annual index numbers of yields have been compiled back to the year 1929 on base: average for each group, 1938 (= 1000), and are given here for the years 1929 to 1954.

YearIndustrial GroupsFinance, etc., GroupsAll Groups
1929110410911097
1930127412771276
1931134714341395
1932123412781258
1933881890886
1934806777790
1935749813784
1936823860843
1937886884885
1938100010001000
1939104210671055
194099710321016
194199110161005
1942943991969
1943735819781
1944698754729
1945676714697
1946632697664
1947657698677
1948680725703
1949698753726
1950663693678
1951678676677
1952778890834
1953878925901
1954840850845

Monthly index numbers of yields on base: average for each group, 1938 (= 1000), are given hereunder for each month of the years 1952 to 1954.

MonthIndustrial GroupsFinance, etc., GroupsAll Groups
195219531954195219531954195219531954

* Interpolated.

January717872887757979880737926884
February756892874833974860794933867
March758892865823971844790932855
April755897863836961840795929852
May762907859886949828824928843
June775899847902936819838918833
July768876809911918831839897820
August775867800898902837836885818
September800855809921886859861871834
October805846819960881857882863838
November823857824979882873901869849
December*847872827979881874913876850

SUMMARY OF PRICE MOVEMENTS.—A comparative table of index numbers of the various related prices series from the year 1926 onward is as follows. All index numbers are quoted on a New Zealand currency basis, and on the base: 1952 (= 1000), with the exception of those of import and export prices which are on the base: 1952 (= 100).

YearBase: 1952 (= 100)Base: 1952 (= 1000)
Import PricesExport PricesWholesale PricesRetail PricesShare Prices (All Groups)
Pastoral and Dairy ProduceAll GroupsLocally Produced CommoditiesImported CommoditiesAll GroupsFoodAll Groups
1926434242467376409545598746
1927414242451354389522593723
1928384646458346386533596748
1929384444457342384538595783
1930373535440336374517581678
1931352626387329350449537545
1932332424365327341411496518
1933342324358346351389471604
1934332930368343353411479708
1935332829398344364443496749
1936333333409344367462512712
1937353939440373397507547720
1938353636449376403526563673
1939353535479380416558586641
1940404041490449465571613673
1941454142518505510586636674
1942494243542555551598657680
1943544445548611588602672791
1944574747560632606611684861
1945585051571641616611693906
19466555565816396186126991001
19477770706226526416507211057
19487877786827337147347781024
1949717575696717710719791988
1950781071067937617737898361109
1951921251249238879009089281209
1952100100100100010001000100010001000
195394112111105895199010601045998
1954931151151108908981111510941147

The following diagram, which is based on the index numbers shown in the preceding table, further illustrates the fluctuations that have occurred in the export, import, and wholesale (locally produced items) series since 1926.

Chapter 37. SECTION 37—WAGE RATES AND HOURS OF LABOUR

Table of Contents

THE material used in the compilation of statistics of wage rates in New Zealand is taken from the awards made by, and the industrial agreements filed in, the Court of Arbitration, and decisions of other wage-fixing tribunals. It is recognized that the rates specified in Court awards are minimum rates, and that wages may in some cases be above the prescribed minima, so that a rise or fall in the award rates does not necessarily involve an immediate change in the wage rates of those workers who are being paid above award rates. Nevertheless, for the purpose of tracing the movement in wage rates over any considerable space of time the award rates form a more reliable basis than any other information at present available. Prior to the passing of the Agricultural Workers Act 1936, no fixed rates of wages for farm employees existed; and for this group figures of ruling wage rates were reported by Inspectors of Factories attached to the Department of Labour. During the period 1932–36, in cases where district awards lapsed under legislation then in force, figures were interpolated, based on fluctuations in corresponding rates in other districts.

The award rates for the four principal districts—Northern, Wellington, Canterbury, and Otago and Southland—are in general taken as being representative of minimum wages throughout New Zealand. For such industries as are carried on in the towns these rates are quite satisfactory; in cases where the important centre of an industry is situated outside the geographical boundaries of the four principal districts, the award rates for that centre are used. For instance, the rates used for sawmilling in the Canterbury District are those prescribed by the awards for the Westland Industrial District.

A revision of the index numbers of wage rates is at present being undertaken with the object of bringing the weighting pattern up to date and incorporating, where necessary, new occupations. At the time this Section went to press the new series had not been completed. A summary of the revised series will be found in the Latest Statistical Information at the beginning of this volume; while a full description of the new index will appear in the Report on Prices, Wages, and Labour Statistics, 1954.

The index numbers appearing in the following pages are the continuation of the series revised in 1936 on base: average of the five years 1926–30 (= 1000). Full details of the weighting appeared in the Statistical Report on Prices, etc., for the year 1935.

Wage Rates of Adult Male Workers.—Index numbers of annual averages of nominal weekly wage rates of adult males over the period 1914–53 are given in the following table. The base in this case is the weighted average of weekly wage rates for adult males in 1926–30 (= 1000).

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT MALES), ALL INDUSTRIAL GROUPS

Base: 1926–30 (= 1000)

YearIndex Number
1914623
1915646
1916671
1917711
1918746
1919810
1920913
1921988
1922957
1923921
1924929
1925952
1926966
1927985
19281016
19291017
19301017
1931942
1932864
1933833
1934839
1935858
1936950
19371036
19381081
19391100
19401130
19411170
19421222
19431261
19441274
19451381
19461434
19471489
19481588
19491678
19501793
19512039
19522143
19532284

The wage rates on which the foregoing index numbers are based are gross rates, no account having been taken of the fact that from August 1931 wages have been subject to certain forms of taxation not previously in operation. A summary of these taxes on wages since their introduction is as follows.

Date From Which EffectiveRate Per PoundClass of Tax
 s.d. 
1 August 193103Emergency unemployment charge.
1 May 193210Emergency unemployment charge.
1 October 1934010Employment promotion tax.
1 October 193508Employment promotion tax.
1 April 193910Social security tax.
21 July 194020Social security tax (1s. in pound).
National security tax (1s. in pound).
11 May 194226Social security tax (1s. in pound).
National security tax (1s. 6d. in pound).
13 May 194620Social security tax (1s. 6d. in pound).
National security tax (6d. in pound).
21 April 194716Social security tax.

In explanation of the movements recorded in the preceding table of index numbers the more important changes in rates of wages during the last fifteen years are briefly surveyed, the changes over the period 1919–36 being quoted on pages 636–637 of the 1947–49 Year-Book.

It should first be noted, however, that the powers of the Court of Arbitration as regards wage fixation have been amended repeatedly in recent years. In this connection reference should be made to the distinctions between the “basic wage,” the “minimum wage,” “standard rates of wages,” and “general orders” which are elaborated in Section 38C. The index numbers of rates of wages, being based predominantly on award rates, have not been influenced by either “basic wage” rates or the “minimum wage” rates which have, in effect, superseded the basic wage; “minimum wage” rates themselves having no practical application where awards exist. The effects of standard rates pronouncements and of general orders are, on the other hand, clearly visible.

As from 15 December 1942 rates of remuneration, already brought under control by the Rates of Wages Emergency Regulations 1940, were stabilized by the Economic Stabilization Emergency Regulations 1942. General orders and later, pronouncements of standard rates, could be made under these regulations and their amendments. Nevertheless, in practice, stabilization of wage rates, even apart from general increases granted by the Court of Arbitration in either of these ways, was not absolute. The Court, in making or amending any award, was, from 1945 to 1950, required to have regard to the restoration or preservation of a proper relationship with other rates of remuneration, not excluding actual rates over which the Court had no jurisdiction. The result was that although the index ignored the margin—a margin subject to continual fluctuation—between actual rates and minimum award rates, it did during the period of stabilization continue to show a certain gradual upward movement as awards were amended from time to time. Regulations made in 1950 under the Economic Stabilization Act 1948 omitted the above-mentioned requirement as to relationship with other rates as well as the provision for pronouncements of standard rates, and at the same time abolished control of maximum rates. Pronouncements of standard rates might still be made by the Court of its inherent power, but such rates could not be written into awards or industrial agreements until the current term of either had expired.

In February 1952, however, new regulations were issued restoring the Court's specific powers not only to pronounce standard rates, but also to amend current awards and industrial agreements accordingly. These specific powers had previously been held by the Court, as regards pronouncements from 1945 to 1950, and as regards their implementation by amending awards and agreements from 1947 to 1950. More frequent wage adjustments were also allowed by these 1952 regulations, which provided that either a general order may take effect or a standard rates pronouncement may be made not sooner than six (instead of twelve) months after a previous general order has taken effect or a pronouncement has been made. The Court was also given discretionary power to make a general order on an application for a standard wage pronouncement, and to make a standard wage pronouncement on an application for a general order.

An amendment to these 1952 regulations was issued in May of the same year enabling representatives of the parties bound by orders of the Government Service Tribunal, the Government Railways Industrial Tribunal, and the Waterfront Industry Tribunal to appear and make submissions on the hearing by the Court of Arbitration of applications for general orders or for standard wage pronouncements.

The 1952 regulations were revoked in May 1953 by the Economic Stabilization Regulations 1953, the principal changes made being as follows: The provision requiring the Court to take into account the general purpose of the Economic Stabilization Act 1948 is omitted, but the Court is required to take into account any increase or decrease in the volume and value of production in primary and secondary industries in New Zealand; the regulations no longer empower the Court to make standard wage pronouncements, but the power is continued to amend awards and industrial agreements to give effect to the pronouncement of 12 July 1952 (such amendments may be made retrospective to 1 September 1952). Subject to these alterations existing provisions are repeated enabling the Court to make general orders, to exclude special classes of workers from general orders (with the time for application extended from 21 days to 28 days), to apply general orders to apprentices, and to adjust rates which automatically fix the scope of awards so as to conform with general orders.

Later in 1953 amending regulations were issued providing, firstly, that on making a general order under the principal regulations the Court, in taking into account the prescribed matters, may consider events that occurred before the date of the last standard wage pronouncement or general order and events likely to occur in the future; and, secondly, that whereas the hearing of an application for a general order set down for 8 September 1953 could not commence on that date, the Court was given discretionary power to fix a date for the commencement of the general order before the date on which it was made, but not earlier than 15 September 1953.

In the exercise of its powers the Court has during the war and post-war years issued the following judgments:

From 12 August 1940 an increase of 5 per cent was granted by general order in all rates of remuneration prescribed by awards, industrial agreements, and apprenticeship orders.

A further general order awarded, as from 7 April 1942, a second increase of 5 per cent—on the already increased rates—but with certain maxima (i.e., 5s. weekly for adult males, 2s. 6d. weekly for adult females, and 1s. 6d. weekly for juveniles).

The standard rates pronounced in 1945, 1947, 1949, and 1952 are quoted in Section 38C, together with those already current when the general orders of 1940 and 1942 took effect. As regards the inclusion of these general orders in standard rates, the 1945 standard rates were net rates and those of later years gross rates. Amendments to awards consequential upon these alterations in standard rates took effect from 1 April 1945, 1 October 1947, 1 June 1949, and 1 September 1952 respectively.

From 8 May 1950 all rates of remuneration provided for in awards and industrial agreements were, by interim general order dated 10 June 1950, again increased by 5 per cent, but with maximum increases of 7s. weekly for adult males and 4s. 9d. weekly for other workers. This interim order was superseded by a further general order made on 30 January 1951 and taking effect from 15 February 1951. The new order embraced the revocation of the interim order and the substitution of an increase of 15 per cent—without any prescribed maximum—in all rates of remuneration provided for in awards and industrial agreements (except in certain specified awards which had been made since the date of the interim order). The effect of this increase on wage index numbers is apparent in the 1951 figures.

Following on the hearing of an application for a general order increasing rates of remuneration, at which—in accordance with the provisions of the May 1952 amending regulations—representatives of the Public Service Association, the Public Service Commission, and the Railways Department attended, the Court, on 12 July 1952, took advantage of its powers under the February 1952 regulations by pronouncing new standard rates in preference to making a general order. These rates (see page 952) were incorporated into amended awards which came into effect on 1 September 1952, the provisions of the general order of January 1951 thereupon ceasing to apply. The 1952 wage-rate index numbers were, of course, influenced by this pronouncement, but its full effect on the annual series was not manifest until 1953.

The 1953 indices in their turn partially reflect the general wage order dated 19 November of that year and made, in the exercise of the Court's powers under the regulations of September 1953, retrospective to 15 September 1953. The increase granted was 10 per cent of all award rates with maxima of 24s. weekly in the case of adult males, 18s. weekly in the case of adult females, and 14s. weekly in the case of junior workers.

On 28 October 1954 yet another general order was made, having effect from 18 November 1954 and therefore bearing upon the 1954 annual index. Like the 1953 order it originated in an application sponsored by the New Zealand Federation of Labour and supported by the New Zealand Public Service Association. Its tenor was to revoke the 1953 order and to substitute a restricted increase of 13 per cent instead of 10 per cent in award rates of wages, the maximum increases being raised proportionately, i.e., by 30 per cent. The resultant maximum increases are: for adult males, £1 11s. 2½d, per week; for adult females, £1 3s. 5d. per week; and for juveniles, 18s. 2½d. per week approximately. Award rates which already incorporated the effect of the 1953 order were increased by 2.73 per cent, with maxima for the three classes of workers of 2.73 per cent of £12, £9, and £7 per week respectively.

Index numbers for 1954 of nominal and effective weekly wage rates will be found in the Latest Statistical Information at the forefront of this volume.

The next table shows the index numbers of nominal weekly wage rates of adult males for each industrial group and for all groups combined. Where board and (or) lodging is a usual perquisite attached to any occupation (e.g., hotel workers), an allowance estimated to cover the value of such has been added to the money wage rate. The base in this instance is the New Zealand weighted average wage rate for all groups combined, 1926–30 (= 1000).

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT MALES)

Base: All groups combined, 1926–30 (= 1000)

Industrial Group1926–301914193919491950195119521953
Provision of—        
Food, drink, etc.1107665126618021916212522662416
Clothing, footwear, and textiles1020607112217021825206021432311
Building and construction1027654112616501752200320662227
Power, heat, and light1096656119416951794206221402298
Transport by water1107654121718982010223623672513
Transport by land1051617111616541744201320802238
Accommodation, meals, and personal service972660107715831651183919172161
Working in or on—        
Wood, wicker, seagrass, and fibre1078634117917251821210921772333
Metal1108717124117451894214922342424
Stone, clay, glass, and chemicals1024584113915991710192820102178
Paper, printing, etc.1190757125017731896218622832459
Skins, leather, etc.1046600111615891688189419752133
Mines and quarries1043664111717271841209721312285
The land (farming pursuits)76951985915471681191920872150
All groups combined1000623110016781793203921432284

NOTE.—The index numbers in this table are comparable both vertically and horizontally.

The distinction of having the highest index number, which was surrendered by the “paper, printing, etc.,” group to the “food, drink, etc.,” group in 1938, was in 1941 acquired by the “transport by water” group, and has been held by the same group in each subsequent year.

From 1950 to 1952 the lowest index was that for the group “accommodation, meals, and personal service”, but in 1953 the lowest was for “working in skins, leather,.” For some years prior to 1950 the lowest group index was that for “working on the land.” From 1948, however, this group made considerable advances, principally due to the adoption of a formula for determining shearers' wages based on wool prices which, for four or five years after the resumption in 1946 of normal wool sales, exhibited a strong upward movement. By 1953, however, the “working on the land“ index had fallen back again to second lowest place. In both the groups “accommodation, meals, and personal service,” and “working on the land,” as also in the “'transport by water” group, the estimated value of board and lodging is, where applicable, added to the money wage rate in order to make a legitimate comparison with other industries. Also included in the wages for workers in the “transport by water” group is a sea-going allowance of £6 18s. per calendar month where applicable. In the case of waterside workers (an important subgroup of the “water transport” group) these allowances are not, of course, applicable.

Movement in Individual Groups.—The index numbers in the preceding table being on a national all-groups base, comparisons between movements in individual groups cannot be readily made; an increase in a group in which the index numbers are consistently low being considerably smaller numerically than would be an increase of the same percentage in one where the index numbers are higher. The following table brings out the movements in the various groups more clearly. The respective bases are the New Zealand average weekly wage rates for each industrial group, 1926–30 (= 1000).

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT MALES)

Base: Each group separately, 1926–30 (= 1000)

Industrial Group1926–301914193919491950195119521953
Provision of—        
Food, drink, etc.1000601114416291732192020472183
Clothing, footwear, and textiles1000596110016691789202021012266
Building and construction1000637109716081707195020132169
Power, heat, and light1000600109015471638188219532097
Transport by water1000592110017161817201921382270
Transport by land1000588106315751661191619792130
Accommodation, meals, and personal service1000680110916291699189119712223
Working in or on—        
Wood, wicker, seagrass, and fibre1000588109416011690195720212165
Metal1000647112015741709193920162187
Stone, clay, glass, and chemicals1000576111215631670188319632127
Paper, printing, etc.1000637105014891593183719182065
Skins, leather, etc.1000574106815201615181118882039
Mines and quarries1000637107116561766201020432190
The land (farming pursuits)1000675111620112186249427132795
All groups combined1000623110016781793203921432284

Care must be exercised in drawing inferences from this table, for, while horizontal comparisons are quite valid, the vertical comparison between the various groups is valid only in so far as it shows in which groups the greater or the smaller movements have occurred. For example, the 1953 index for the “paper, printing, etc.,” group is 730 points below that for “the land” in this table, but 309 points above in the previous table on the all-groups base, the reason being that wages of workers in the former group have increased to a lesser degree than have those in the latter, although the actual rates of wages are still considerably higher.

Indices of Hourly Wage Rates.—Legislative reductions in weekly hours of labour have rendered it desirable that indices of hourly wage rates should be made available. These shorter working hours were prescribed mainly by the 1936 legislation, the Shops and Offices Amendment Acts of 1945 and 1946, and the Factories Amendment Act 1945. Further details of these changes will be found on pages 936–939. It will be noticed that the indices given hereunder (as is also the case in respect of the indices of weekly hours of labour) cover thirteen only out of the fourteen industrial groups commonly adopted, since working hours on farms (which would be essential to the fourteenth group) cannot for this purpose be satisfactorily treated statistically. The base is the New Zealand average hourly wage rate (computed as described after the following tables) for all groups combined, 1926–30 (= 1000).

HOURLY WAGE-RATES INDEX NUMBERS (ADULT MALES)

Base: All groups combined, 1926–30 (= 1000)

Industrial Group1926–301914193919491950195119521953
Provision of—        
Food, drink, etc.1028548125319452068229324442607
Clothing, footwear, and textiles975568118118371969222323122492
Building and construction981619121617811891216022292402
Power, heat, and light1005579128318291936222423082479
Transport by water960560124820162135237325132668
Transport by land954552115317851882217122432414
Accommodation, meals, and personal service874466113017091782198320682332
Working in or on—        
Wood, wicker, seagrass, and fibre1015597127318611965227523492517
Metal1087665134018832044231824102615
Stone, clay, glass, and chemicals941532122117261845208021682349
Paper, printing, etc.1198747134919132046235824632652
Skins, leather, etc.942540115817151822204421312301
Mines and quarries1009633120520202153245224912672
All groups combined1000589123518581976224523362514

The same table is now given with a different base—viz., the New Zealand average hourly wage rate for each group individually, 1926–30 (= 1000).

HOURLY WAGE-RATES INDEX NUMBERS (ADULT MALES)

Base: Each group separately, 1926–30 (= 1000)

Industrial Group1926–301914193919491950195119521953
Provision of—        
Food, drink, etc.1000533121918922011223023772535
Clothing, footwear, and textiles1000583121118842020228023712557
Building and construction1000631123918151927220122722448
Power, heat, and light1000585127718201926221322972467
Transport by water1000584130121012225247326182780
Transport by land1000579120818701971227523502529
Accommodation, meals, and personal service1000534129319552039227023662668
Working in or on—        
Wood, wicker, seagrass, and fibre1000585125318331935224023132478
Metal1000611123217311880213222172405
Stone, clay, glass, and chemicals1000571129818351962221123052498
Paper, printing, etc.1000623112615971708196820562214
Skins, leather, etc.1000573122918201933216922612442
Mines and quarries1000627119420012133242924682647
All groups combined1000589123518581976224523362514

The figures shown in the last two tables are derived from average hourly rates calculated in every case by dividing the corresponding average weekly rate by the average number of hours worked in the week.

WAGE RATES OF ADULT FEMALE WORKERS.—Index numbers showing movements in wage rates of women workers are compiled, using the award rates of the Court of Arbitration; a much smaller list of occupations is used than is the case in computing index numbers of wage movements for male workers.

The following table shows index numbers of women's wage rates on base: New Zealand all-groups weighted average, 1926–30 (= 1000), divided into the principal industries in which women workers are normally engaged. In the compilation of these indices, the value of such perquisites as board and lodging in the case of hotel workers has been added to the money wage rates.

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT FEMALES)

Base: All groups combined, 1926–30 (= 1000)

Industrial Group1926–301914193919491950195119521953
Provision of—        
Food, drink, etc.84639095017421882216422352367
Clothing, footwear, and textiles919534102918722042229723922581
Accommodation, meals, and personal service1243836133420692159241325252783
Working in paper, printing, etc.1051487111016901850207722072388
All groups combined1000602110319062054230924082611

Movements in Individual Groups.—Movements within the various groups are brought out more clearly in the next table, the base in this case being the New Zealand weighted average weekly rate of each group, 1926–30 (= 1000). As with the similar table relating to male wage rates (p. 913), horizontal comparisons are valid, but vertical comparisons merely show in which groups the greater or smaller movements have occurred.

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT FEMALES)

Base: Each group separately, 1926–30 (= 1000)

Industrial Group1926–301914193919491950195119521953
Provision of—        
Food, drink, etc.1000459112420612228256126452802
Clothing, footwear, and textiles1000578112020372222249926022808
Accommodation, meals, and personal service1000670107416661738194220322240
Working in paper, printing, etc.1000559105516071759197520992271
All groups combined1000602110319062054230924082611

WEEKLY WAGE RATES: ALL ADULT WORKERS.—A series of index numbers has been computed on the base 1926–30 (= 1000) for all adult workers. Prior to 1945 this followed in general the index for adult males; since then there has been increasing divergence, female wage rates having on the whole made relatively greater gains than male rates. Index numbers for the last fifteen years available are as follows.

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT MALES AND FEMALES COMBINED), ALL INDUSTRIAL GROUPS

Base: 1926–30 (=1000)

YearIndex
19391100
19401132
19411171
19421224
19431265
19441277
1945389
19461446
19471503
19481607
19491702
19501821
19512068
19522171
19532319

EFFECTIVE WEEKLY WAGE RATES.—The index numbers quoted in the foregoing paragraphs relate to nominal weekly wage rates only—that is, they are based on actual or equivalent money rates without any allowance being made for changes during the period under review in the prices of those goods and services which are purchased out of wages earned. It is obvious that this factor is of considerable importance, for a rise in wage rates may be offset by a fall in the purchasing power of the monetary unit, while, on the other hand, a fall in money wages may be offset by a rise in the purchasing power of money. Changes in the index numbers of retail prices (refer Section 36) are inversely proportional to changes in the purchasing power of the pound on the retail market; hence index numbers of effective (or “real”) wage rates are arrived at by dividing the index numbers of nominal wage rates by the corresponding all-groups index numbers of retail prices and multiplying by the base value of 1000.

The following table accordingly shows a comparison of nominal and effective weekly wage rates of adult male and female workers in each of the years 1943–53. The base of the index numbers is in each case the average of the five years 1926–30 (= 1000).

YearRetail Prices (All Groups)Nominal Weekly Wage RatesEffective Weekly Wage Rates
MalesFemalesMalesFemales
194311341261129211121139
194411551274129711031123
194511701381145911801247
194611801434153312151299
194712171489161412241326
194813141588176412091342
194913361678190612561427
195014111793205412711456
195115662039230913021474
195216882143240812701427
195317652284261112941479

The continuous series of retail prices index numbers required for the foregoing table has been obtained by linking the consumers' price index to the earlier series on the base 1926–30.

In making use of these results it should not be overlooked that the index numbers of nominal wage rates apply only to full-time employment at award rates of pay. They do not take into account either on the one hand above-award rates or overtime earnings, or on the other short-time deductions or wages tax imposed (a summary of the rates of wages tax in force during different periods will be found on page 910). Nor do the retail prices index numbers take cognizance of all classes of household expenditure; income tax, charitable and other gifts, domestic help, etc., and particularly expenditure on alcoholic liquors and private motoring, being omitted. Having regard to opportunities for spare-time gainful occupation, a comparison with movements in the index numbers of hours of labour shown later in this Section is also relevant.

To the extent that female wages are not normally devoted to purchasing the full range of household requirements the results of employing the all-groups retail prices index to determine effective wages for females are subject to certain limitations. Their general application is, however, still valid.

WAGE RATES OF JUVENILE WORKERS.—During 1936 the compilation of index numbers of wage rates of juveniles was undertaken for the first time, and the results appeared in the introductory notes to the 1935 and 1936 issues of the annual Report on Prices, etc.

Owing to the fact that a number of industries utilize juvenile labour to a limited extent only, or not at all, it has not been possible to cover a very wide field, but thirty-two occupations representing twelve out of the fourteen industrial groups are included in the case of juvenile males, and four occupations representing three industrial groups in the case of juvenile females.

Wherever possible the weekly wage rate adopted in the compilation of the indices is that provided for a worker having attained the age of eighteen years or having completed three years' service, according to the terms of the award.

In the table which follows the base is, in each case, the New Zealand all-groups weighted average of weekly wage rates, 1926–30 (= 1000).

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (JUVENILE WORKERS)

Base: All groups combined, each sex separately, 1926–30 (= 1000)

Industrial Group1914193919491950195119521953

* No provision made in awards for juvenile females.

Juvenile Males
Provision of—       
Food and drink665126020892246254026672870
Clothing, footwear, and textiles544103220912305262127322937
Building and construction592107322602486279928923123
Transport by land609115616571748193120262188
Accommodation, meals, and personal service562113620752241273428643118
Working in or on—       
Wood, wicker, seagrass, etc.554115620892287258126992931
Metal487120921932481274228403085
Stone, clay, glass, and chemicals511129418191943221222982460
Paper, printing, etc.60997423042393272628453071
Skins, leather, etc.746120918661987226624662576
Mines and quarries1142202833373574394740034143
The land (farming pursuits)680121723872573289231223344
All industrial groups619119122582462276129113132
Juvenile Females
Provision of—       
Food and drink512128722172398291730553218
Clothing, footwear, and textiles640131823622612294430143188
Working in paper, printing, etc.*138023722530281729943247
All industrial groups616132023382565292430193200

In recent years juvenile wages have been largely governed by the Apprentices Act 1948, under which the scale of wages in apprenticeship orders is based on a percentage of the ruling minimum rates for journeymen in the industry concerned. Consequently, the wage-rate index numbers for juvenile males now tends to move in sympathy with the index numbers of male adult wage rates.

AVERAGE RATES OF WAGES.—The following table shows the New Zealand minimum weekly wage rates in various occupations for the years 1914, 1939, and 1950–54. The figures given are simple averages for the four principal industrial districts as at 31 March in the years indicated. The adult male wage rates on the same basis as at 31 March 1955 will be found in the Latest Statistical Information at the beginning of this volume. The rates shown throughout this table are money rates, and do not include any allowance for the value of board and lodging which is a usual perquisite of the employment of some workers—e.g., seamen and hotel employees. Further information on this latter point is available in the note given at the end of the table.

OccupationAverage Wage (Four Principal Districts) at 31 March
1914193919501951195219531954

* Not available.

* Not available.

 s.d.s.d.s.d.s.d.s.d.s.d.s.d.
Adult Males
Bakers—              
  Journeymen5501150161419131913205422510
  Labourers480950138815961596173619010
Butchers—              
  First shopmen7261232177112076209821922411
  Second shopmen626110816491924193920402245
Butter-factory employees—Churning and buttermaking: General hands45090014261631116311175419210
Flourmilling—              
  Kilnmen4809941550185111851119262189
  Assistant smuttermen48091414761774177418342088
  Rollermen560103416842013201320762353
Meat freezing—              
  Slaughtermen, per 100 sheep2764507367910892903983
  General hands540113815501820201321002310
Meat preserving—              
  Boners620132017342220247325002740
  General hands596110015501820201321002310
Sausage-casing making: General hands5881174161818882081121682384
Aerated water and cordial making—              
  Cordialmakers589961014501755176018212015
  Bottle washers4508831387165111674173619111
Brewing labourers47794514801665175718912090
Tailors—              
  Journeymen53910121568185111851120002200
  Stock cutters (factory)5509261544185111851120002200
Boot operatives526918155017831851120002200
Woollen mills—              
  Spinners510103416001840189920342238
  General hands4669341434164101707181819910
Building—              
  Bricklayers6851150162111887197021262335
  Carpenters and joiners643112616341927192720682268
  Plasterers679114716321921195320972303
  Plumbers (competent)66011001651019681968210102315
  Builders' labourers526934149417831783188102079
  General labourers52693413691601161017171889
Sawmilling—              
  Engine drivers5401100164719711200921002310
  Sawyers5301126167112019204721472361
  Tailers-out43996815211837186519552150
  Yardmen, head5581100164719711200921002310
  General hands510950148918221827191821010
Boatbuilding: Shipwrights628126616731946194621262331
Metal works, etc.—              
  Boilermakers, journeymen628110015681899189920422247
  Iron and brass moulders6471100159218211188820262266
  Tinsmiths, journeymen628110015681884188420422247
  Engineering fitters, etc.647110016261923192320682271
  Electrical workers6110110516341936193620892292
  Motor mechanics6481100156819431943212623211
Printing—              
  Linotype (day)740115016421985202321262366
  Letterpress machinist (day)650107615681899193720422274
Skin and leather workers—              
  Curriers580105015421774184019422137
  General hands496900136815721610171818810
Mineral and stone workers—              
  Brickmakers531110841541017911181519402146
  General hands46995014031623163217531944
Mining (coal)—              
  Surface—              
    Tippers537913147917531800197112179
    Labourers543878147917531800197112179
  Miners (on day wages, per shift)114201035640104010423466
  Truckers551197616501897189719212114
Quarrymen528942143111669166917751951
Agricultural and pastoral workers—              
  General farm hands26445010661226122614001520
  Threshing-mill hands, per hour13283104545453
  Ploughmen30446310661226122614001520
  Shearers (per 100 sheep shorn)2002864665961170616680
  Shepherds31252610661226122614001520
  Wool pressers3008461661021464254221102458
  Dairy-farm hands23052612661456153017001850
Railways—              
  Engine drivers, average third and sixth years75012001676210102101022212444
  Firemen, average second and ninth years60010211153419191919201822110
  Guards, average first and third years6301139161320192019212112370
Tramways—              
  Motormen536101315501783182119262119
  Conductors47795714841707174518502036
Shipping and cargo working—              
  Assistant stewards, first grade258724149111725175618582043
  Assistant stewards, second grade18870014481664172218242007
  Chief cooks6081061018562134219222932522
  Second cooks37488216581906196420662272
  Able seamen37489116001840189101991121911
  Ordinary seamen, first class2806010124111438147715471701
Waterside workers—              
  Ordinary cargo624106816001850195020002218
Hotel workers—              
  Chefs9001120154917801780192121610
  Waiters31165010441200120013411530
Miscellaneous—              
  Soft goods assistants55010261577181318611195421410
  Grocers' assistants50010261505173017810187120510
  Warehouse storemen48990014501669166918682054
Adult Females
Biscuit and confectionery factory workers20049094010811131011821300
Tailoresses (factory): Journey-women2765009701171111711128014010
Boot operatives276501096011051171112401398
Woollen-mill workers250500968118101181012681412
Hotel workers—              
  Cooks2955801038119312211136111561
  Housemaids1723667148218219201068
  Waitresses2253667148218219201068
Restaurant workers—              
  Cooks42687012761468150815681724
  Waitresses3114868761008104811081219
  Pantrymaids2924868761008104811081219
Printing workers* 58691010611111711701320
Softgoods assistants276576105012091249130914310
Juvenile Males
Bakers' apprentice: After three years' service2766501041012441244133614610
Butchers' assistant: Eighteen years of age30104958009411992103211511
Butter and cheese factory: Youth, eighteen years of age3005269161053105311261239
Flour-mill: Youth, after three years' service2705008109811981110161150
Meat freezing and preserving: Youth, eighteen years of age256550826999109311391252
Aerated water and cordial manufacture: Youth, eighteen years of age250467725877877907998
Tailoring, etc.: Apprentice, after three years' service19240091110991099118012910
Boot and shoe factory: Apprentice, after three years' service25040091510521099118012910
Woollen-mill: Youth, eighteen years of age2264688501074107411341248
Bricklayers' apprentice: After three years' service2424269681120117712691391
Carpenters' apprentice: After three years' service2464329911165116512481366
Plasterers' apprentice: After three years' service240426961111421162124913611
Plumbers' apprentice: After three years' service19540097101181118112651387
Sawmill: Youth, eighteen years of age256489740901090109891088
Engineering: Apprentice, after three years' service20050099101145114512301350
Brick, tile, etc., works: Youth, eighteen years of age210535761090891796101079
Tannery: Youth, eighteen years of age33451375686109849831081
Coalmining: Trucker, eighteen years of age46582914211634163416681774
Agriculture and dairying: Youth, eighteen years of age* 310773881191810331116
Softgoods assistant: After three years' service20045093010611110211421257
Grocers' assistant: After three years' service2504268981031106411261239
Juvenile Females
Biscuit and confectionery factory: Assistant, after three years' service160416741086197710051106
Boot and shoe factory: Assistant, after three years' service19040071081886108901012
Woollen-mill: Worker, after three years' service22641080097997910201122
Clothing factory: Improver, after three years' service19243079096796710001100
Printing trade: Worker, after three years' service* 4467909010941010001122

NOTE.—The following perquisites (as assessed for statistical purposes) as at 31 March 1954 should be added to the listed occupations: general farm hands, ploughmen, shepherds, dairy-farm hands, and youths (eighteen years of age) employed on agricultural and dairy farms, 35s. per week for board and lodging; shearers and wool pressers, 7s. per day for rations; assistant stewards (first and second grade), chief and second cooks, able seamen and ordinary seamen (first class), 44s. 5d. per week as value of board and lodging; and hotel chefs and waiters, female cooks, housemaids, and waitresses, 41s. 10d. per week as value of board and lodging. Varying amounts in this connection would also be added to the occupations affected for earlier years.

AGGREGATE WEEKLY WAGE PAYMENT IN INDUSTRY.—The following data, showing the average weekly wage pay-out in industry and relating to October 1954, have largely been extracted from the half-yearly survey conducted by the Department of Labour.

Industrial GroupPay-roll Strength, Males and Females Combined (Including Juveniles and Salaried Executives)Weekly Wage Payout (Including Overtime, Bonus Earnings, etc.)
AggregateAverage Per Person
Forestry, logging, mining, and quarrying— ££s.d.
  Forestry2,31927,56011178
  Logging2,41137,34715910
  Coalmining4,66572,69715118
  Other mining2333,156131011
  Quarrying (n.e.i.)96113,54114110
    Totals10,589154,30114115
Seasonal manufacturing—     
  Meat processing, etc.10,547150,5131455
  Fruit and vegetable preserving1,09711,2691055
  Dairy factories5,20076,04614126
    Totals16,844237,8281425
Food, drink, and tobacco (other than seasonal)—     
  Grain milling83710,52012114
  Bread bakeries2,37030,680121811
  Biscuit making1,49216,9451172
  Cake and pastry making1,46014,2519153
  Sugar and confectionery2,46426,50510152
  Other food1,55117,1701115
  Beverages2,66536,80613163
  Tobacco manufacture1,20413,01410162
    Totals14,043165,89111163
Textiles, clothing, and leather—     
  Tanneries1,32918,04313116
  Fur dressing and manufacture3043,1501073
  Leather goods8888,8459193
  Knitted wear and hosiery3,80839,39710611
  Flax, rope, and twine4625,518111810
  Woollen mills2,91431,52410164
  Other textile production1,37916,9241255
  Clothing manufacture18,719161,82881211
  Footwear manufacture5,06054,93610172
  Footwear repair2002,0721072
  Other textile articles1,20912,91310137
    Totals36,272355,15091510
Building materials and furnishings—     
  Sawmilling, plywoods, etc.8,279111,3581390
  Builders' woodwork4,21954,199121611
  Furniture and cabinets4,22148,951111111
  Other wood manufacture1,19713,7401197
  Brick, tile, and stoneware1,26018,56514148
  Pottery and glass1,74523,70313118
  Lime, cement, etc.4,72768,2181488
    Totals25,648338,7341342
Engineering and metalworking—     
  Engineering and machinery20,603283,70213155
  Electrical manufacture5,23363,0991212
  Ships, locomotives, etc.6,69187,0671303
  Vehicle and cycle manufacture5,10374,06614103
  Vehicle repair and aircraft17,090200,59011149
    Totals54,720708,52412190
Miscellaneous manufacturing— ££s.d.
  Chemicals and by-products5,51173,80213710
  Rubber manufacture2,85741,2441489
  Paper and paper products2,84036,51412172
  Printing, publishing, and allied9,184118,64312184
  Instruments, clocks, jewellery1,03110,8031097
  Other manufacturing (n.e.i.)2,04621,37010811
    Totals23,469302,37612178
    Totals, manufacturing industries170,9962,108,5031267
  Power, water, and sanitary services11,628160,51413161
  Building and construction46,816642,06613144
Transport and communication—     
  Rail transport18,670276,67014165
  Road transport14,560204,9891417
  Water transport (not waterfront)4,61168,55914174
  Air transport1,58524,83715135
  Post and telegraph18,439218,328111610
    Totals57,865793,38313143
Distribution and finance—     
  Wholesale and retail trade79,566890,89811311
  Storage5687,212121311
  Finance9,875122,1291274
  Insurance4,99762,1171287
  Real estate1,32616,17412311
    Totals96,3321,098,5301181
  Wool and grain stores (seasonal)1,91922,71911169
    Totals (including wool and grain stores)98,2511,121,2491183
Domestic and personal services—     
  Provision of lodging, food, etc.14,017142,90810311
  Portrait and photo studios7587,164990
  Laundries, cleaning, etc.3,40837,9471128
  Barbers, beauty shops, etc.1,40410,6517119
  Recreation, sports, etc.4,53559,5771329
  Undertaking, etc.3534,3811283
    Totals24,475262,62810147
Administration and professional—     
  Hospitals21,695214,7959180
  Medical and allied services2,08120,7889199
  Education and instruction23,899307,67712176
  Arts, sciences, and religion1,23914,670111610
  Government services (n.e.i.)16,616218,6281332
  Local authorities (n.e.i.)7,920102,03212178
  Miscellaneous services and agencies8,37784,8021026
    Totals81,827963,39211156
  Grand totals, all industries (including seasonal)502,4476,206,0361270

The next table shows a comparison over a period of years of the grand totals, all industries surveyed, together with nominal minimum weekly wages for adult males prescribed in awards and industrial agreements at the end of the preceding month.

YearPay-roll Strength, Males and Females CombinedWeekly Wage Payout (Including Overtime, Bonus Earnings, etc.)Nominal Minimum Weekly Wage For Adult Males as Prescribed in Awards and Industrial Agreements as at End of Preceding Month
AggregateAverage Per Person

* Does not include retrospective payments arising from the general order of the Court of Arbitration of 19 November 1953.

  ££s.d.£s.d.
1946—April401,3922,525,0656510650
October411,5832,640,617684676
1947—April425,1882,833,4426133688
October427,3482,971,46961916910
1948—April439,9203,245,1627766190
October438,4803,239,908779702
1949—April448,5193,467,7937148730
October450,1043,632,6638157123
1950—April459,6983,780,6348467126
October457,0284,016,48581598010
1951—April463,8884,526,72791528198
October465,7284,729,15910319311
1952—April475,9754,945,72410710960
October474,3165,050,689101309146
1953—April487,9135,401,499111591411
October487,2665,409,859*1121*101410
1954—April502,4426,089,624122510150
October502,4476,206,036127010164

HOURS OF LABOUR.—The following table shows index numbers of the number of hours constituting a full week's work in the various industrial groups for 1914, 1939, and for each year from 1945 to 1954. Where years are combined in the heading, the figures for each separate year are identical. The material from which the index numbers have been compiled has been taken from the awards of the Court of Arbitration in most cases; but where hours were not prescribed in the awards, reference was made to the Factories Act and the Shops and Offices Act. It has been necessary to omit the agricultural and pastoral workers group from these computations, since, with certain exceptions (and those only in recent years), hours of farm labour are not fixed. For each sex the base is the New Zealand weighted average for all industrial groups combined, 1926–30 (= 1000).

INDEX NUMBERS OF AVERAGE HOURS OF LABOUR

Base: All groups combined, each sex separately, 1926–30 (= 1000)

Industrial Group1914193919451946194719481949 to 1954
Provision of—Adult Males
  Food and drink1135944919866866866866
  Clothing, footwear, and textiles1000888884866866866866
  Building and construction988866866866866866866
  Power, heat, and light1061870870870866866866
  Transport by water1093911911909880880880
  Transport by land1044905905901866866866
  Accommodation, meals, and personal service1325891890875866866866
Working in or on—       
  Wood, wicker, seagrass, etc.993866866866866866866
  Metal1008866866866866866866
  Stone, clay, glass, and chemicals1026872870866866866866
  Paper, printing, etc.948866866866866866866
  Skins, leather, etc.1039901903866866866866
  Mines and quarries981866866866866832799
  All groups combined1041888885877867866864
Provision of—Adult Females
  Food and drink976867867867867867867
  Clothing, footwear, and textiles1006901899867867867867
  Accommodation, meals, and personal service1217891891877867867867
Working in paper, printing, etc.976867867867867867867
All groups combined1054896894870867867867

NOTE.—The index numbers in each section of the above table are comparable both vertically and horizontally.

The Industrial Conciliation and Arbitration Amendment Act 1936 contained, inter alia, provisions aimed at the establishment of a forty-hour week, without reduction in the weekly wage rate. New awards were to contain a provision to this effect, except that the Court might fix longer hours, but was required to state its reasons for so doing. Awards in existence at the time the amendment was passed could be reviewed on application of the unions concerned with a view to the fixing of a forty-hour week. The Factories Amendment Act 1936 required the fixing of a forty-hour week in factories, but made provision for the Court of Arbitration to grant exemptions on application, but the exemption provision was repealed by the Factories Amendment Act 1945. The Shops and Offices Amendment Act 1936 reduced the working hours in shops from forty-eight to forty-four per week, and a further reduction to forty hours was made by later amendments passed in 1945 and 1946. With one or two exceptions, there was little or no change in the indices between 1938 and 1944, but with the operation of the Factories Amendment Act 1945 and the Shops and Offices Amendment Acts of 1945 and 1946 a slight decrease was recorded in 1945, followed by a more substantial one in 1946. The effect of the Shipping and Seamen Amendment Act 1946, which reduced seamen's hours to forty per week, is apparent in the 1947 figures. Employees in wood and coal yards, motor and horse drivers, and restaurant workers also obtained a forty-hour week in the same year. From 5 April 1948 a seven-hour day was, by decision of the Coal Mines Council, introduced for all underground workers in coal mines. By section 6 of the Mining Amendment Act 1948 this provision was extended as from 1 January 1949 to underground workers in other mines.

SUMMARY OF INDEX NUMBERS.—The following table gives a summary for the years 1943–53 of the movements in index numbers covering both wage rates and hours of labour.

WEEKLY WAGE-RATES, HOURLY WAGE-RATES, AND HOURS OF LABOUR: ALL INDUSTRIAL GROUPS COMBINED

Base: 1926–30 (=1000)

YearNominal Weekly Wage RatesHourly* Wage Rates: Males, AdultHours of Labour
AdultsJuvenilesMales*Females
MalesFemalesCombinedMalesFemales

* Excluding the agricultural and pastoral group.

1943126112921265135515041414888896
1944127412971277137915041429888896
1945138114591397165316931536885894
1946143415331446181918241586877870
1947148916141503194919661659867867
1948158817641607210821711752866867
1949167819061702225823381858864867
1950179320541821246225651976864867
1951203923092068276129242245864867
1952214324082171291130192336864867
1953228426112319313232002514864867

HOURS OF WORK AND TRAVELLING TIME.—A questionnaire on the number of hours worked (including overtime) per week, and on the amount of time spent in travelling from home to place of employment (one way only), appeared on a census schedule for the first time in New Zealand at the census of 1945. The 1951 census repeated the question on hours of work but not that on travelling time. The demand for increased production and the shortage of labour were no doubt responsible for the very long hours worked by a large number of people. Of those recording their hours of work at the 1951 census, 14 per cent of males and 4 per cent of females worked sixty hours or more per week. The following is a summary giving the hours worked by all people actively engaged in industry.

Hours WorkedMalesFemalesTotal
Nil (unemployed)7,9021,7269,628
20–241,8984,0435,941
25–292,7315,7378,468
30–343,7908,14411,934
35–3924,89726,32751,224
40–44289,24589,899379,144
45–4965,28510,53575,820
50–5443,2983,63246,930
55–5912,8261,18014,006
60–6432,8262,64535,471
65–695,1673025,469
70–7415,3101,18116,491
75–792,8961983,094
80–8410,52792611,453
85–8962249671
90 and over5,0015915,592
Not specified44,74214,41859,160
    Totals, actively engaged568,963171,533740,496
    Totals, not actively engaged405,005793,9711,198,976
Grand totals973,968965,5041,939,472

It is to be noted that this table includes Maoris, whereas the tables compiled from the 1945 census shown on page 913 of the 1954 Year-Book and the table given below exclude the Maori population.

In addition to the above, a small number of people classified with the non-working population indicated that they were engaged on part-time work—i.e., less than twenty hours per week.

The following table derived from the 1945 census is of interest in that it affords for the first time some indication of the usual time occupied in travelling from home to place of employment (one way only). The daily aggregate (i.e., double the times quoted therein, to allow for return to place of residence) is considerable and reflects the growth of urbanization in New Zealand.

Travelling Time (Minutes)1945 Census
MalesFemalesTotal
Nil149,71738,583188,300
1–5 inclusive36,88113,25750,138
6–10 inclusive47,57421,01368,587
11–15 inclusive49,30422,23471,538
16–20 inclusive37,78617,92355,709
21–25 inclusive11,9466,02217,968
26–30 inclusive46,28818,04064,328
31–35 inclusive6,9172,8729,789
36–40 inclusive7,8523,07410,926
41–45 inclusive12,9914,87517,866
46–50 inclusive2,9971,0334,030
51–55 inclusive723273996
56–60 inclusive10,1002,76012,860
61–65 inclusive476106582
66–70 inclusive609186795
71–75 inclusive1,0883231,411
76–80 inclusive467140607
81–85 inclusive642791
86–90 inclusive1,3592571,616
91–95 inclusive33942
96 and over77696872
Not applicable5,8231,0906,913
Not specified40,5748,84649,420
    Totals, actively engaged472,345163,039635,384
    Totals, not actively engaged310,257657,913968,170
Grand totals782,602820,9521,603,554

Chapter 38. SECTION 38—LABOUR LAWS AND ALLIED LEGISLATION

38 A—HISTORICAL INTRODUCTION

HISTORICAL INTRODUCTION.—In 1858 the New Zealand Parliament enacted that the laws of England as existing on 14 January 1840 should, as far as applicable, be deemed to apply in New Zealand also. But in what was an essentially agricultural and pioneer country conditions demanding labour legislation were not present, so that there was but little early progress in labour legislation. Initially, labour administration was interpreted in the light of English statutes, but such interpretations were largely ineffective, owing to the vast difference between English and New Zealand conditions.

One industry, however, was as important to New Zealand as to the British Isles—the shipping industry. In 1854 Britain passed a consolidating Merchant Shipping Act which contained numerous safety clauses and included a series of regulations aimed at the well-being of the crew, such as a wage-paying code and provisions as to seamen's accommodation, diet, and medical comfort. In 1858 the New Zealand Parliament extended these regulations of the working conditions of seamen to all British ships under the jurisdiction of New Zealand. A series of Merchant Shipping Acts Adoption Acts was passed in 1869, 1873, and 1874, taking over certain provisions of the British Merchant Shipping Acts of 1862, 1872, and 1873, while other Acts followed in 1877, 1885, and 1890.

Apart from the regulation of working conditions on board ship, early New Zealand social legislation concerned itself mainly with such general social problems as the care of orphans and the encouragement of thrift by means of suitable institutions. The Master and Apprentices Act of 1865 and the apprentice protection sections of the Offences against the Person Act of 1867 regulated the apprenticeship of young persons to farmers and tradesmen, stipulating that they were to be provided with food, clothing, bedding, and a moral education. These provisions were apparently intended to safeguard the training and interests of destitute children. In 1856 a law was passed to facilitate the formation of friendly societies in New Zealand, and the establishment of savings banks was to be stimulated by an Act of 1858. The Act providing for the establishment of the Post Office Savings Bank was passed seven years later. A Distress and Replevin Act (1868) regulated the conditions under which goods and chattels might be seized as a distress for arrears of rent.

Trade-unions legislation commenced with the Trade Unions Act passed in 1878, affording unions protection from prosecution for conspiracy by reason merely that their purposes were in restraint of trade. The Inspection of Machinery Act 1882 provided for the inspection of machinery in factories, etc., and required that persons in charge of boilers be properly qualified. An Employers' Liability Act was passed in 1882, legislating in the matter of industrial accidents with the object of mitigating the consequences to the worker without recourse to expensive litigation at common law.

Legislation specifically governing the conditions of employment of women and girls—particularly in respect of hours of labour—was introduced in 1873, there being several amendments to the Act in later years, while the legislation was amended and consolidated in 1881. Regulation of the hours of labour of children was also provided for. With the existence of slump conditions in the “eighties" allegations of “sweating" arose; and, since such complaints became increasingly numerous, a Commission was set up in 1889 to inquire into this evil. The Commission found that the Employment of Females Act was ineffective owing to the lack of the necessary powers of enforcement. The Commission declared that actual “sweating" conditions were not present, though a minority report differed from this view, but pointed out that with increasing industrialization such conditions would rapidly become prevalent if no attempt were made to check them. The Commission made recommendations for future labour legislation, and as the result of its findings the Factories Act of 1891 was passed.

Depression, discontent, and a growing labour force—despite depression, the number of hands employed in factories increased by approximately 16½ per cent between 1885 and 1890—formed an economic background favourable to social legislation. Meanwhile the maritime strike of 1890, which caused even further distress throughout the country, proved to the trade unions that they were not sufficiently strong to obtain their demands by direct action, and diverted their activities to the political field. The strike also aroused public opinion to the necessity for preventing such industrial strife. Political opportunity was still further opened by Sir George Grey, who in 1889 obtained parliamentary approval for the abolition of the last remnant of plural voting at the elections to the House of Representatives. The extension of the franchise to women followed four years later.

In January 1891 a Liberal Government came into power under the leadership of Ballance, with Reeves (Labour) and Seddon (Public Works) in the portfolios directly concerned with labour matters. The economic and political background demanded social change, and the change came to such a degree that New Zealand—still in the pioneer stage of economic development—acquired world fame as the land of advanced social legislation. The labour code enacted in the “nineties" was not so much socialistic as a correction of the more manifest injustices of an individualist system. There was not so much State control as an improved framework within which laissez faire could operate. This policy was most clearly seen in the realms of housing and farming, in which the Government aimed at making it easier for the worker to build or to settle on land by the provision of finance through the State Advances Department (established in 1894). The Family Homes Protection Act 1895 provided protection for homes from the legal processes resulting from bankruptcy proceedings, etc. The only encroachment on laissez faire principles was the fostering of co-operation on public works from 1891 onwards.

Working conditions were improved by legislative regulation in four types of industry (factory work, shipping, shops and offices, and coal mining), wages being also safeguarded though not directly increased.

The great achievement of this Administration, however, was the evolution of machinery—the Conciliation Councils, the Court of Arbitration, and the Department of Labour—which not only administered the labour code efficiently, but could also modify it rapidly to suit the changing economic background. This dynamic machinery was far more effective than the all too soon antiquated improvements by the more normal procedure of static legislative enactment. An adjustable labour code was of special advantage to a primary-produce exporting country which is, of all countries, most open to the fluctuations of economic progress, and it is another example of the British empiricism that delights in suiting action to the conditions of the moment.

This code, and the resulting constant political intervention in labour conditions, profoundly modified labour organization. Since resort to judicial rather than to militant action became the accepted means of settling industrial disputes, much of the bitterness usually associated with the struggle for improved wages and working conditions was lost. Moreover, the close association with the Courts led to the growth of a strong political bias in the aims of unionism. This was but natural, for, since the legislative code ensured to the workers many benefits for which they would otherwise have had to fight keenly, it was felt that the further amelioration of living conditions would best be attained by legislation rather than by direct action.

Subsequent progress has been determined largely by this code, although the swing visible in the development of English labour legislation from Salisbury's Factory Acts to Lloyd George's pension schemes—from concrete intervention in working conditions to attempts at ensuring a more equitable distribution of the national income—is also evident in New Zealand. For example, the rate of age benefit (formerly old-age pension) has been increased considerably—from £18 per annum (1898), to £45 10s. (1925), to £52 (July 1936), to £58 10s. (December 1936), to £78 (April 1939), and, by increases at intervals during the war and post-war years, to its present (February 1955) figure of £182. Again, although interrupted to some extent during the war years by the needs of a war economy, much progress has been achieved in connection with the Government's housing scheme (commenced in March 1937) of erecting homes of a good standard, which are let to tenants at a reasonable rental.

Prior to the passing of the Social Security Act 1938 (see Section 7A) the initial pre-eminence of New Zealand in respect of social legislation generally had been largely lost. Hitherto the only governmental provision towards sickness insurance was the National Provident Fund established in 1911. This scheme is a voluntary one, State aid being in the direction of administration, together with a subsidy. The Social Security Act is much wider in scope than similar legislation in most other countries; but it is worthy of note that compulsory health insurance, operative in New Zealand only from 1 April 1939, was in operation for many years in several other countries—e.g., Germany (1883), Great Britain (1911).

National provision for the relief of unemployment did not become law in this country until 1930, whereas in Great Britain legislation dealing with this subject has been in force since 1911. The earliest legislative action specifically focused on unemployment-insurance matters was taken, as far as can be ascertained, in Denmark in the year 1907. Other countries in which the years of initiation of unemployment insurance were antecedent to that of New Zealand were: Austria, 1920; Queensland (Australia), 1922; Italy, 1923; and Germany, 1924.

A Workers' Compensation Amendment Act was passed in October 1936 liberalizing the scale of payments in respect of accidents. The Social Security Act has rectified the pre-existing deficiencies in New Zealand legislation in regard to medical benefits and unemployment, as compared with the position in other countries.

Up to 1936 progress in other spheres was limited to technical improvements on the original Ballance-Seddon code, except perhaps in the case of the fluctuating fortunes of the Court of Arbitration. During the twenty-six years of prosperity from 1895 to 1921 (there was but a slight setback in 1909–10) the scope of the Court's awards and industrial agreements was gradually expanded, the most important step being the power conferred in 1898 of prescribing minimum rates of wages. Whereas the Court was originally more concerned with conditions of work, and not at first with wages, there has been a gradual transformation, till in recent years the attention of the Court has been mainly focused on the wages question. As the Court is progressive or at least not static, its influence expanded at the cost of stationary measures, such as Factories Acts, which, in practice, became a dead letter as affecting workers under the jurisdiction of the Court. During the depressed years following 1921 wages were reduced, to the dissatisfaction of the workers, yet not fast enough for employers, so that the value of the Court was increasingly questioned till a National Industrial Conference was summoned in 1928 to discuss, inter alia, compulsory arbitration. In the boom years between 1927 and 1930 no action was taken; but in 1932, under stress of depressed conditions, amendments were made to the Act which in effect abolished the system of compulsory arbitration. The Industrial Conciliation and Arbitration Amendment Act 1936 restored the full powers of the Court.

Though no great inroads have been made on the wages system, there has been definite governmental and legislative encouragement of co-operation. In 1891 much public-works construction, such as road and railway formation, was first organized on this principle. The plant, explosives, etc., were supplied to the men by the State at cost price or on low hire terms. A modified form of the system then adopted is still followed, and its scope was increased in 1936. Similarly, the Companies Empowering Act of 1924, the provisions of which were embodied in the Companies Act 1933, attempted to encourage the principle of profit-sharing among workers. Any company registered under the Companies Act is empowered to issue to its employees labour shares, which are not transferable, have no nominal value, and do not form part of the ordinary capital of the company. Except as otherwise provided, these shares entitle the holders to the same privilege as the ordinary shareholders. In the event of an employee leaving his employment or dying, the shares must be surrendered in cash or in capital shares to him or to his heirs. Another Act in the early “twenties" aimed at fostering co-operation among farmers, but it became, in practice, a dead-letter.

There was in the original labour code a definite policy of ensuring greater opportunities for the masses by financing farming and house-building projects through the State Advances Department. This provision of easy credit to put workers on the land was the rural aspect of the labour code, for, apart from some provision for the inspection of housing, there were no other measures designed for the agricultural labourer. Even the Court of Arbitration in 1908, 1919, and 1925 refused to make any award covering permanent farm labour. Full provision for the application of standard rates of wages, etc., to farm workers was made in 1936 (see Agricultural Workers Act, later). The policy of social lending survived the years of prosperity, and was employed to cope with part of the rehabilitation necessitated by the First World War; but the policy was reversed a little later, and the Rural Advances Act of 1926 was a definite attempt to put State Advances loans on a more economic basis, eliminating much of the social background. This tendency was completed by the creation of the Mortgage Corporation in 1935, which definitely marked the subordination of social to economic ends. The agricultural bias and the workers' loans of up to 95 per cent of their security were both eliminated, in theory at least. At the same time loans for housing were reintroduced for Maoris late in 1935, and further activity in this sphere was foreshadowed by the Housing Survey Act of 1935. The Government was also empowered to lend to farmers, through the Lands Department, by the Dairy Industry (Emergency Powers) Act of the same year.

The State Advances Corporation Act 1936 marked a definite reversal of the previous Government's policy in regard to State Advances loans. The Mortgage Corporation was abolished, its powers having been taken over by the State Advances Corporation, while the general purpose of the 1936 Act was definitely in the direction of a liberalization of the lending policy of the State.

During the depression period there was a cessation of the move towards better working conditions; and, on the grounds of economic circumstances and the danger of inconveniencing still further already bankrupt employers, the various inspection duties that usually preserve the labour code were curtailed. The rates of pensions and of public servants' salaries and wages were reduced, while award rates of wages were also compulsorily reduced. At the same time heavy unemployment liabilities were undertaken and immigration control was made more rigid. Steps were also taken to reduce farmers' mortgage liabilities and to maintain farmers on their land.

In no case do the provisions laid down by any particular labour law cancel the worker's rights at common law; but since, naturally enough, better conditions are laid down by statute than the worker is entitled to at common law, it is unusual to find in these days litigation under the common law affecting master and servant. It sometimes happens, however, notably in workers' compensation cases, that appeal is made at common law instead of under the Act, there being no statutory limits to the damages which may be obtained at common law. Since, with the exception of such of the labour statutes as are of general application, no labour legislation exists as yet affecting certain classes or workers—e.g., domestic servants—their relations with their employers are still governed mainly by the common law affecting master and servant.

New Zealand has been relatively backward in protection for permanent farm labour, for while seasonal labour was in general covered—awards existing both for shearers, musterers, and shed hands and for threshing-mill workers—the Court of Arbitration has made no awards in respect of permanent farm hands. In general, conditions of work on farms were not covered by any specific legislation—except as regards inspection of housing accommodation—until, in 1936, the Agricultural Workers Act was passed, containing definite provision as to wages of dairy-farm workers (extended later to cover other classes of farm workers) and better provision for the housing of agricultural workers generally. Similar legislation existed in many of the older countries for years past. Further improvement in the position of agricultural workers was made by the Share-milking Agreements Act 1937, which defined, inter alia, minimum percentages of the milking returns to be received by share-milkers.

The general trend of labour legislation since 1936 has been conditioned by three major influences. The first of these was primarily economic in origin, legislation being necessary to cope with continuing and derived problems associated with the economic depression and subsequent recovery. The second, with its origin in the international political developments culminating in war during 1939, was responsible for a considerable volume of wartime and post-war legislation. The third element was of a more general nature, being the direct motivating force behind some major items of legislation and often indirectly influencing the content of other Acts and amendments passed during the various sessions. Briefly, it can be described as full acceptance of the principle that society, through its representative institutions, should take active steps towards the improvement of the working, living, and social circumstances of its individual members. The appropriate action in many instances has required legislative sanction to provide for either direct control or regulation by the Government.

As a point of possible interest, although not of particular relevance to labour legislation, it is possible to discern three other main lines of approach to law-making. One of these is due to the increasing participation by New Zealand in international affairs consequent on its enhanced national status and acceptance of responsibility in the wider issues of the present era. The others are domestic; one is concerned with the welfare and social development generally of both the rapidly growing Maori population and the inhabitants of New Zealand's island and trust territories, and the other with the realignment of statutes relating to law and order to meet present-day conditions and concepts—e.g., revision of offences, summary jurisdiction, penal institutions, and criminal justice.

The economic depression and subsequent recovery was substantially the background for the major labour measures listed below commencing from the 1936 session. In addition, extensive amendments to pre-existing labour laws were made by the Government towards the formulation of a more liberal code of social legislation. Provisions novel to New Zealand were also made with the same object in view—e.g., the Agricultural Workers Act, and the provision for the declaration of a basic wage contained in the 1936 amendment to the Industrial Conciliation and Arbitration Act. Acts dealing directly with labour questions were the Employment Promotion Act 1936, Industrial Conciliation and Arbitration Amendment Acts of 1936, 1937, and 1939, Factories Amendment Act 1936, Shops and Offices Amendment Act 1936, Agricultural Workers Act 1936, Coal Mines Amendment Acts 1936 and 1937, Workers' Compensation Amendment Act 1936, Mining Amendment Act 1937, Share-milking Agreements Act 1937, and the Wages Protection and Contractors' Liens Act 1939.

In addition to the Acts mentioned, provisions in several other Acts dealt with matters which can properly be regarded as coming within the subject matter of this Section. The following Acts, or provisions in Acts, may be referred to in this connection: Certain provisions in the Finance Act 1936 dealing with restoration of wages and salaries, Distress and Replevin Amendment Act 1936, Fair Rents Act 1936, Family Allowances Amendment Act 1936, Pensions Amendment Acts 1936 and 1937, Prevention of Profiteering Act 1936, Mortgagors and Lessees Rehabilitation Act 1936, State Advances Corporation Act 1936, Iron and Steel industry Act 1937, and the Petroleum Act 1937.

As previously mentioned, the war period was productive of much legislative activity of relevance to labour conditions. In some instances the object was essentially precautionary, while in others it was designed to cope with situations as these emerged or developed. Principal measures with some application to industrial conditions were the Industrial Conciliation and Arbitration Amendment Act 1939, Emergency Regulations Act 1939 and later amendments, War Pensions Extension Act 1940, War Pensions and Allowances (Mercantile Marine) Act 1940, various provisions of the Finance Acts (Nos. 2, 3, and 4) 1940, Rehabilitation Act 1941 and 1944 amendment, War Damage Act 1941 and 1942 amendment, Servicemen's Settlement and Land Sales Act 1943, and the War Pensions Act 1943 (consolidation and amendment).

More comprehensive legislation directly governing wartime labour activities was contained in the series of emergency regulations and amendments issued during 1939–45, including orders made under the authority of the latter. For further reference to the scope of the regulations listed below the reader should consult pages 625–629 of the 1946 Year-Book, wherein the subject matter is presented in greater detail.

The principal features of the war-inspired legislation are now briefly discussed. An essential over-all measure, the Labour Legislation Emergency Regulations 1940, gave the Minister of Labour power to modify or suspend, by order published in the Gazette, the provisions of any Act, or of any award or industrial agreement under the Industrial Conciliation and Arbitration Act, or of any voluntary agreement, in so far as they related to conditions of employment. The object of these regulations, intended to be temporary in nature, was to overcome the effects of the shortage of skilled workers in certain industries which were essential to the efficient prosecution of New Zealand's war effort. Provision was therefore made by these regulations and the various orders issued under their authority for the working of shifts, extending the number of hours that could be worked in any one week, and relaxing apprenticeship conditions, while in certain trades the basic-wage provision was modified to enable women workers over twenty-one years of age without previous experience to be employed.

The National Service Emergency Regulations 1940, which with amendments were reprinted in 1944, empowered the Minister of Industrial Man-power to declare any industry to be an essential industry. Special provisions applied with respect to employment in essential undertakings—for example, a person could not, in general, leave his employment or be dismissed or be permitted to give his services in any other undertaking without seven days' notice on either side and the permission of the District Man-power Officer first being obtained. Every employee in an essential industry was entitled to a minimum weekly payment equivalent to his ordinary weekly wage, subject to certain maxima specified by regulations. Other provisions detailed offences under these regulations, protected employees called up for military service from dismissal, and prevented employment of deserters from the Armed Forces or military defaulters, etc.

In addition to controlling those avenues in which industrial effort was expended, and its corollary entailing the direction of man-power, a third general feature was supervision over the field of transportation. The Waterfront Control Commission Emergency Regulations 1940 provided for a Waterfront Control Commission with very extensive powers, including the employment of labour, the prescription of terms and conditions of such employment, and rates of remuneration.

It was early realized that the effects of wartime shortages of supplies and of man-power would have repercussions on prices and wage rates. In an endeavour to minimize such movements and preserve a reasonable degree of stability in both these sectors of the economy, regulations were issued in 1939 and 1940 dealing with the control of prices and regulation of wage rates respectively. Further information on price control and the Control of Prices Act 1947 is given in Section 36 of this issue. The Rates of Wages Emergency Regulations 1940 provided that the Court of Arbitration from time to time, on the application of any industrial union or association of workers, might amend by general order the provisions of all awards and industrial agreements in force in so far as they determined rates of remuneration.

These regulations were superseded by the Economic Stabilization Emergency Regulations 1942, providing for the stabilization of all rates of wages and remuneration at the levels ruling on 15 November 1942. These regulations were amended in 1944, 1945, and 1947.

Wartime legislation dealing with the stabilization of wages was in part placed on a permanent basis by virtue of the passing of the Economic Stabilization Act 1948. This Act revoked Parts II and V of the Economic Stabilization Emergency Regulations 1942, while other specified emergency regulations were continued in force as stabilization regulations as if they had been made under the authority of the 1948 Act. Provision was made for the establishment of an Economic Stabilization Commission with the principal function of making recommendations to the Minister of Industries and Commerce, after inquiry and investigation, in relation to the economic stabilization of New Zealand and the functions of the Minister under the Act. Besides general administration, these latter functions cover in particular the stabilization, control, and adjustment of prices of goods and services, rents, other costs, and rates of wages, salaries, and other incomes.

The Economic Stabilization Emergency Regulations 1942 were amended in several important respects in February 1949. The Economic Stabilization Regulations 1950, however, revoked and replaced the Economic Stabilization Emergency Regulations 1942 and amendments.

The 1950 regulations, as amended in May 1950, were themselves revoked and replaced by the Economic Stabilization Regulations 1952.

The 1952 regulations were in their turn revoked in May 1953 by the Economic Stabilization Regulations 1953, the current series.

A comprehensive review of the development of the Economic Stabilization Emergency Regulations and the later Economic Stabilization Regulations from 1942 to 1953 is given in Section 38C pages 955–959 of this issue.

Two other classes of legislation due to the impact of war on labour questions may be mentioned briefly. The first covers the reinstatement of employees after military service, the re-establishment in civil life of discharged servicemen, and the reconstitution of wartime industries on a peacetime basis. Legislation concerned with these aspects included the Occupational Re-establishment Emergency Regulations 1940 (now revoked and subject matter covered in the Military Training Act 1949) and the Rehabilitation Act 1941 and amendments. Further details of this and the Emergency Forces Rehabilitation Act 1953 are given in Section 9B of this issue.

The second class of legislation dealt with the necessity for definite rest periods for workers, particularly in view of the heavy demands made on a very large section of them by a wartime economy. Early provisions for a minimum rest period were contained in the Industrial Rest Period Emergency Regulations 1943. later replaced by permanent legislation embodied in the Annual Holidays Act 1944. This Act provides for an annual holiday of two weeks' duration on full pay for all workers, whether permanently or casually employed, who are not otherwise catered for in this respect.

Reference has been made earlier to the fact that much New Zealand social legislation—particularly in recent years—is designed to mitigate the effects of inequalities in the distribution of incomes. Foremost in this category is the Social Security Act 1938, which at the same time introduced monetary benefits on an increased scale in substitution for pre-existing pension benefits and extended the specific tax provisions contained in pre-existing unemployment legislation to cover the wider social security benefits. A system of medical, hospital, and other related benefits was also inaugurated. In addition to the supersession of the various classes of pensions by monetary benefits of similar application, new classes of monetary benefits were begun, such as orphans' benefits, sickness benefits, emergency benefits, and the superannuation benefit. Further evidence of this trend is shown by a series of regulations extending the scope and character of social security benefits, and by the amending Acts of 1941, 1943, 1945 (which made family benefits universal from 1 April 1946), and later years increasing the amount payable for specified benefits. Related legislation includes the Social Security (Reciprocity with Australia) Act 1948, the War Pensions Act 1954 (consolidating previous legislation), Family Benefits (Reciprocity with Great Britain) Act 1948, and a similar Reciprocity Act with Northern Ireland in the same year.

Several measures dating from 1936 are focused on the theme of compensation for injury or death. Amendments to the Workers' Compensation Act 1922 were passed in 1936, 1943, 1945, 1947, and 1949–54. The 1943 amendment made it compulsory for an employer to insure against his liability under the Act, while by the 1947 amendment, under section 6, workers' compensation insurance became, with certain exceptions, a monopoly of the branch of the State Fire Insurance Office known as the State Accident Insurance Office as from 1 April 1949. Other provisions of the latter amendment related to accident prevention; occupational training of seriously disabled workers; an increase in the maximum amount of compensation payable in respect of death, incapacity, or permanent physical injury; accidents to the crew of a New Zealand aircraft; accidents to workers travelling to and from work; the provision of artificial limbs; and the conveyance of injured workers. Dependency is also to be determined as at the date of death of the worker. The 1949 to 1952 amendments increased the maximum amounts payable in respect of death or incapacity. The 1950 amendment restored the right of insurance companies to undertake as from 1 April 1951 employers' liability insurance. It also established the Workers' Compensation Board with the functions of recommending maximum rates of premiums and rates of commission for insurance agents, and administering the Workers' Compensation Account also set up by the amending Act, etc. The 1951 Amendment (No. 2) Act provided for compensation for incapacity lasting less than three days. The 1952 amendment provided for compensation for loss of earning power to be based on wages as varied from time to time—e.g., as a result of general orders, standard wage pronouncements, etc. The 1953 amendment, besides increasing maximum amounts payable, also provided that future changes in minimum or maximum amounts of compensation payable or in weekly payments are to be made by Order in Council. Compensation based on average weekly earnings is to be based on weekly earnings increased or reduced in accordance with movements in wages occurring during the period of payments. The Law Reform Act 1936 and the Statutes Amendment Act 1937 also contained clauses relating to the Deaths by Accidents Compensation Act 1908. Allied to this subject is the Contributory Negligence Act 1947, which provides for the apportionment of damages where the person suffering damage has himself been guilty of contributory negligence.

A desire to improve working conditions still further is evident in the Coal Mines Amendment Acts of 1936, 1937, 1941, 1947, 1949, and 1953, the Mining Amendment Acts of 1937, 1941, 1947, 1948, and 1953, the Quarries Act 1944, and its 1951 and 1954 amendments. These contained provisions towards the improvement of working conditions in mines or quarries. Somewhat similar provisions, for example, regarding hours of labour and safety and health provisions, are to be found in the Factories Act 1946 (a consolidation measure), the Shops and Offices Amendment Acts of 1936, 1945, 1946, and 1951, the Shipping and Seamen Amendment Acts 1946 and 1948 (and Rules and Regulations thereunder), and the Scaffolding and Excavation Amendment Act 1951.

Further instances of the broader social emphasis in labour legislation occur in the Legal Aid Act 1939; the Wages Protection and Contractors' Liens Act 1939; the Distress and Replevin Amendment Act 1950; the Destitute Persons Amendment Acts of 1951 and 1953; the Employment Act 1945, with its object of promoting and maintaining full employment at all times; the Minimum Wage Act 1945, providing for a minimum wage for all adult workers; and the Industrial Relations Act 1949, which authorized the appointment of the Industrial Advisory Council with functions of making recommendations for improving industrial relations and welfare, in particular on such schemes as incentive payments, profit sharing, safety and health of workers, provision of amenities, and the establishment of works committees and other employer-worker organizations. More extensive coverage of legislation concerned with safety provisions was accomplished with the passing of the Municipal Corporations Amendment Act 1938, the Bush Workers Act 1945, and the Scaffolding and Excavation Amendment Acts of 1948 and 1951, while the Dairy Industry Amendment Act 1938, the consolidating Dairy Industry Act 1952, the Meat Act 1939 and its amendment of 1953 contain clauses dealing with inspection requirements in their appropriate spheres. The Boilers, Lifts, and Cranes Act 1950 and the Machinery Act 1950, which together replaced the Inspection of Machinery' Act 1928, are also relevant in this connection. The Radioactive Substances Act 1949, the Transport Act 1949, the Electricians Act 1952, the Physiotherapy Amendment Act 1953, the Geothermal Energy Act 1953, and the General Harbours Regulations 1954 likewise contain sections designed to promote safety in the appropriate sphere of operations.

Acts covering the working conditions and rates of remuneration for State employees during the period 1936–54 are the Government Railways Act 1949 (consolidation), the Post and Telegraph Amendment Act 1944, the Government Service Tribunal Act 1948, and their amending Acts.

Other items of legislation concerned with labour-force activities generally are now briefly mentioned. The Industrial Conciliation and Arbitration Amendment Act 1943 authorized recovery of money due under an award, while the 1947 amendment provides for the taking of a secret ballot by every industrial union of workers or of employers on questions relating to strikes and lockouts. The Statutes Amendment Act 1948 also included clauses relating to wages recovery under an award, and for retrospective payments (the latter repealed in 1951). A consolidating and amending measure relating to apprenticeship was passed in 1948, being the Apprentices Act of that year. Amendments were made in 1947, 1948, and 1951 to the Waterfront Industry Emergency Regulations 1946.

The Waterfront Royal Commission Act 1950 made special provision as to the Royal Commission appointed on 21 September 1950 to inquire into and report upon the waterfront industry in New Zealand.

In accordance with the recommendations of the Royal Commission, the Waterfront Industry Act 1953 provides for the continuance of the existing Waterfront Industry Commission, Waterfront Industry Tribunal, and Port Conciliation Committees, and in addition provides for the appointment of Combined Committees and for National Conciliation Committees. Provision is also made for a National Amenities Committee and Port Amenities Committees with functions in relation to the provision of amenities for waterside workers. In other respects the Act follows closely the provisions of the 1946 regulations which were revoked by the Act.

In 1951, following on a long period of industrial trouble, more particularly in connection with the waterfront industry, the need for revision of certain aspects of industrial legislation was recognized. Subsequent legislation which might be considered as coming within this category include the 1951 amendments to the Industrial Conciliation and Arbitration Act and the Police Offences Act. The former of these required, inter alia, for the rules of an industrial union of employers or workers to provide for election of officers by secret ballot; empowered the Registrar to refuse to record unreasonable or oppressive rules; made provision for exemption from union membership on religious grounds; substituted new definitions of the terms strike and lockout, and increased the penalties for certain offences in connection therewith; provided for the appointment of Local and National Disputes Committees with power to decide disputes on matters arising out of an award or agreement but not specifically dealt with therein; varied the earlier provisions as to the date from which the wage rates in an award would normally operate; and contained restrictions on levies and subscriptions payable by members of unions. Part II of the same amendment related to cases of disputed elections in unions. The Police Offences Amendment Act 1951 deals with offences relating to sedition and with intimidation, including assaults on workers, the unlawful display of certain posters, badges, etc., and picketing.

The entire body of fair-rents legislation commencing with the 1936 Act was revoked by the passing of the Tenancy Act 1948, the latter being amended in 1950 and 1953. The Shipping and Seamen Act 1908 was amended in 1948; it was consolidated in 1952. The Fisheries Act 1908 was amended in 1948 and 1953. The Industrial Conciliation and Arbitration Act 1954 consolidated the 1925 Act and its amendments without making any substantial change in the law.

38 B—WORKING CONDITIONS

GENERAL.—Working conditions of women and girls in factories were the subject of legislation as early as 1873; but the first legislation of this nature applying to all factory workers was the Inspection of Machinery Act of 1874, which provided for the inspection of machinery in factories, etc., and required that persons in charge of boilers should be properly qualified, while three years later an ineffective Factory Act was passed. But it was the Ballance and Seddon Governments which really initiated legislation in this sphere with five main Acts that have served as a basis for all subsequent legislation on this subject, and determined the lines along which progress was to be made—the Factories Act 1891, the Coal Mines Act 1891, the Shops and Shop-assistants Act 1892, the Shipping and Seamen Act 1894, and the Industrial Conciliation and Arbitration Act 1894. The Agricultural Workers Act 1936 represents a definite extension of the scope of this legislation.

A considerable proportion of the persons comprising the labour force of New Zealand have their working conditions determined either directly or indirectly by virtue of the provisions of the six Acts quoted above. Legislative authority covering the working conditions of substantially the greater portion of the remaining participants in the labour force is contained in the following together with amendments thereto:

  • Public Service Act 1912 and the Government Service Tribunal Act 1948.

  • Government Railways Act 1949.

  • Post and Telegraph Act 1928 and Post and Telegraph Amendment Act 1944.

  • Police Force Act 1947.

  • Education Act 1914.

  • Hospitals Act 1926 and the Hospital Employment Regulations 1952.

  • Waterfront Industry Act 1953.

It will not be out of place here to mention that working conditions were subject to considerable modification during the war period by the operation of various emergency regulations. The principal regulations involved were the Labour Legislation Emergency Regulations 1940 and later amendments; the Industrial Man-power Regulations 1944; the Waterfront Control Emergency Regulations 1940, replaced by the Waterfront Industry Emergency Regulations 1946; and the Rates of Wages Emergency Regulations 1940, the latter largely superseded by the Economic Stabilization Emergency Regulations 1942 and amendments. Of these, the Industrial Man-power Regulations 1944 were revoked in 1946, the Rates of Wages Emergency Regulations 1940 in 1949, and the Labour Legislation Emergency Regulations 1940 in 1951. The emergency wages and stabilization regulations were replaced by regulations under the Economic Stabilization Act 1948. The waterfront industry regulations were replaced by the Waterfront Industry Act 1953.

It is proposed in the following pages to survey in broad perspective the working conditions laid down by legislation for the components of the labour force. In so doing it is considered that the best approach is to deal with the major specific Acts concerned.

ANNUAL HOLIDAYS ACT AND ANZAC DAY ACT.—In addition to the specific measures mentioned earlier relating to working conditions, an Act of general application, except in cases where more favourable conditions already existed in awards, etc., was passed during the war entitled the Annual Holidays Act 1944, and subsequently amended in 1945 and 1950. This Act provides for an annual holiday of two weeks' duration on full pay for all workers, whether permanently or casually employed, who are not otherwise provided for in this respect. If a holiday benefit to which a worker is entitled under any other provision is not less favourable than that provided for by the Act, such benefit is not affected, but if the benefit is less favourable the worker is entitled to the holiday provided for by the Act.

The holiday is to be given within six months after it becomes due, but if the employment is terminated before it has been taken the employer is required to pay the amount of holiday pay due. If any special holiday for which the worker is entitled to payment under any Act, award, or agreement, or under his contract of service, occurs during the period of the annual holiday, the length of the annual holiday is increased by one day in respect thereof. An amendment passed in 1945 provided that not less than seven days' notice must be given by the employer of the day on which the annual holiday is to commence, unless an agreement has been made to the contrary.

Where a worker has been employed for less than one year, on termination of employment he is entitled to payment equal to one twenty-fifth of his ordinary pay for the period of employment. The 1950 amendment abolished the former provisions relating to holiday cards and stamps.

An employer is required to keep a record (holiday book) containing particulars of employment, annual holidays, and amounts paid in respect of each worker in his employment.

The Anzac Day Act 1949 provides that the 25th day of April in each year shall be known as Anzac Day, and shall be observed throughout New Zealand in all respects as if Anzac Day were a Sunday. The Act prohibits the transfer of a holiday, observance of certain hours of labour, or payment at certain rates of wages on Anzac Day to any other day instead of Anzac Day, although an employer may grant a holiday on any other day instead of Anzac Day, where the worker is required to work on Anzac Day at ordinary rates of wages.

FACTORIES ACT.—A brief summary of the earlier factory legislation of New Zealand may be found on page 825 of the 1940 issue of the Year-Book. It covers the Factories Acts of 1891, 1908, and 1921–22, with their amendments. The last-mentioned enactment and subsequent amendments to it were, however, consolidated by the passing of the Factories Act 1946. In the ensuing paragraphs various phases of factory legislation as the law now stands have been selected for individual exposition.

Prior to 1936 the term “factory" had included all establishments where two persons were employed, as well as all places using mechanical power, all bakeries, laundries, gasworks, and several other enumerated establishments. The 1936 amending Act extended the term “factory" to all establishments where one person was employed, while the Factories Act 1946, which consolidated and amended the existing legislation, further extended the term “factory" to include places where milk is pasteurized, abattoirs, and “every building or place in which any noxious handicraft, process, or employment is carried on.” The definition was further enlarged to include “any building, office, or place in which two or more persons are engaged … directly or indirectly, in any handicraft, or in preparing or manufacturing goods for trade or sale.” The 1946 Act also brought Government-owned factories within the scope of the legislation.

Hours of Work and Overtime.—A forty-hour week was prescribed by the 1936 amendment as the legal maximum for an ordinary working week in place of the pre-existing maximum of forty-eight hours (women and boys, forty-five hours). The number of hours per day was fixed at eight, while work could not be continued for more than four hours and one-quarter (previously five hours) without an intermission of at least three-quarters of an hour. Certain industries which were previously exempt from the forty-eight-hour maximum—meat-freezing works, dairy factories, fellmongery, fish curing, jam making, bacon curing—were also exempt from the operation of these provisions, but the Factories Amendment Act 1945 extended the principle of the forty-hour week to all factories. These provisions, as amended, were re-enacted in the consolidation measure entitled the Factories Act 1946.

No boy or girl under sixteen years of age is permitted to work overtime. In the case of all workers over sixteen years of age in laundries, and of women in other factories, not more than three hours' overtime may be worked in one day (excluding time worked before noon on Saturday), and not more than nine hours in any week, nor ninety hours in any year, nor on more than two consecutive days in any week. Thirty hours (above the ninety) may be authorized by an Inspector of Factories, and a further thirty upon the consent of the Minister of Labour. The overtime rate is time and one-half, and the minimum rate, which had been raised to 1s. 6d. per hour by the Factories Amendment Act 1936, was increased to 1s. 9d. per hour by the Factories Act 1946.

There are special provisions in regard to overtime work for certain industries—e.g., laundries, and for fruit-canning factories and jam-making factories during the period between 1 January and 1 April.

Section 16 of the Statutes Amendment Act 1948 extends the Minister's power to consent to additional voluntary overtime by women in factories or by men and women in laundries, up to a maximum of eighty hours in a year.

Holiday Provisions.—The number of paid holidays (apart from the annual holiday described earlier) granted to factory workers was increased from six days to eight days by the 1936 amendment and was extended to cover all workers—not only boys under eighteen and women as previously. For five of these days wages were payable to all persons employed at any time during the preceding fortnight, and for the other days to those employed on any four days of the preceding week. Payment for each whole holiday mentioned in the Factories Act was made to apply to all persons employed at any time in the fortnight ending on the day on which the holiday occurs. Special provisions have been made requiring extra payment to be made for work done on Sundays or holidays. Generally speaking, treble time is counted for work done on statutory whole holidays (where the worker would be paid ordinary time if not working), double time on Sundays, and time and one-half on half-holidays. In connection with holidays, reference should also be made to the Annual Holidays Act 1944, the provisions of which are outlined on page 936.

There are also special provisions in regard to holiday work for industries such as dairy factories, milk-preserving factories, and newspaper printing or publishing. It should be noted also that the Public Holidays Amendment Act 1948 gives rules which shall be applicable to the provisions of any Act, award, or industrial agreement when Christmas Day and New Year's Day fall on a Saturday, or when an Anniversary Day fails on a Saturday or Sunday. The effect of this amendment is as follows: Where Acts, awards, or industrial agreements provide for the granting of a holiday, or the observance of certain hours of labour, or the payment of certain specified rates of wages on the days specifically mentioned, these provisions will apply on the next succeeding Monday. If, however, provision is made for granting a holiday on a Saturday, such provisions apply without modification.

Section 15 of the Statutes Amendment Act 1948 repealed the special definition of the terms “holidays" and “Sundays" in their application to morning newspapers and replaced them by new definitions which relate to all newspapers. A “day" for holiday and overtime purposes is defined as from noon on one day to noon on the following day in the case of newspaper offices and works.

Restrictions on Employment.—No boy or girl under fifteen years of age may be employed in any factory, except in a case authorized by an Inspector. Such an authorization may only be given if the boy or girl is over fourteen years of age and is exempted from the general obligation to attend school until the age of fifteen years is reached. No boy or girl under sixteen years of age may be employed in any factory unless a certificate of fitness is issued by an Inspector of Factories, and no such certificate may be granted unless the proposed employer obtains at his own expense a medical certificate of fitness from a Medical Officer of Health, or from a registered medical practitioner nominated by a Medical Officer of Health.

Minimum Rates of Pay.—The minimum rate of pay was raised by the Factories Amendment Act 1936 from 10s. to 15s. per week, and rose by half-yearly increments of 4s. per week until the end of the third year, when a minimum of £2 per week operated. The Factories Act 1946 further increased the minimum to 22s. 6d. per week with half-yearly increments of not less than 5s. per week, until a weekly rate of £2 12s. 6d. was reached. These rates are, however, subject to the provisions of the Minimum Wage Act 1945 and Orders made under the Act in respect of workers of twenty-one years of age and over.

Safety, Health, and Welfare.—The 1936 amendment extended the application of rules for the safety and welfare of factory workers, and further provisions in this connection are contained in the 1946 Act. The safety measures have reference to machinery, dangerous liquids, means of access and safety of places of employment, and means of escape in case of fire, etc. The employer is required to keep a register of all accidents of which he has any knowledge, and first-aid appliances must be provided and maintained. The health and welfare provisions are very extensive and include reference to such matters as air space, cleanliness, ventilation, canteens, the care of employees, amenities and other things to be supplied by the employer to secure employees' health or welfare, and to the making of regulations laying down standards as to what may be regarded as adequate, effective, sufficient, or suitable health and welfare requirements.

Other Provisions.—In addition to repealing previous factory Acts and amendments the Factories Act 1946 specifically stated that the Act shall bind the Crown. It also includes the normal provisions relating to powers of inspection, registration, maintenance of records and exhibition of notices, requisitions by Inspectors, and the prescription of offences, penalties, and procedure. Finally, it provides for awards and industrial agreements to be read subject to the provisions of the Factories Act.

SHOPS AND OFFICES ACT.—As in the case of the Factories Act, important amendments were made to the Shops and Offices Act in 1936, when further advances in keeping with those made in other branches of industrial legislation were put into operation. These were supplemented by further amendments in 1945, 1946, and 1951.

A “shop" in the principal Act (the Shops and Offices Act 1921–22) is defined to include an hotel, a restaurant, a hairdressing saloon, and an auction market, but special provisions relating to hotels and restaurants as well as to chemists, fruiterers, tobacconists, and other particular shops are contained in the principal and amending Acts.

An “office" covers any building in which any person is employed, directly or indirectly, to do any clerical work in connection with any mercantile or commercial business carried on by the occupier, but does not include solicitors' offices or mining offices except in respect of minimum-wage-rates provisions.

The definition of the term “shop assistant” was extended by the 1936 amendment to include those employed in the general management or control of a shop, subject to a wage qualification.

Hours of Work and Overtime.—The 1936 amending Act reduced the hours of work from forty-eight to forty-four per week, and a further reduction was made by the Shops and Offices Amendment Act 1945, which came into operation on 7 December 1945. The latter amendment provides for a forty-hour week for shop assistants, but the Court of Arbitration is empowered, on the application of any party (by order in the case of any existing award or in any new award), to extend the hours to forty-four where it is of the opinion that it would be impracticable to carry on efficiently the particular class of business without such extension, but the time worked beyond forty hours is to be paid for at overtime rates—namely, time and a half, with a minimum of 1s. 9d. per hour.

Hours must be worked continuously—i.e., not exceeding eight per day, but up to eleven on one day in the week—except for meal times and breaks for refreshments. If the meal time exceeds one hour, the extra time over the hour is to be regarded as time worked. Extension of the weekly hours from forty to forty-four was permitted up to the end of June 1946, but a forty-hour limit was imposed thereafter if extension by the Court was not authorized by that date. Awards and agreements were required to be read subject to the amending Act, but the existing rates of wages were not to be reduced nor the existing working hours increased.

Limited overtime (to be paid for at time and a half rates) may be worked for stocktaking and on special occasions. A break of not less than one hour for a meal must be allowed after four and one-quarter hours' continuous work, except that an extension to five hours may be made if ten-minutes' rest is allowed at the end of a working period of three hours.

All assistants employed in hotels and restaurants are brought under special provisions as to hours, overtime, etc. As in the case of shop assistants, hotel and restaurant employees must be allowed an interval of an hour for a meal after four and one-quarter hours' continuous work. The 1945 amendment did not cover hotel and restaurant workers as far as the reduction in hours was concerned, but they were brought into line by a further amendment passed in 1946. This amendment came into force on 13 October 1946, but provision was made for hotel or restaurant workers to be employed up to forty-four hours per week until 30 June 1947, provided that time and a half rates were paid in respect of the hours exceeding forty. As in the case of shop workers, the Court of Arbitration may, upon application by any party bound or to be bound by any award covering assistants in hotels or restaurants, authorize employment up to forty-four hours per week if it is considered impracticable to carry on efficiently the business of the class of hotels or restaurants specified in the authorization without such extension of hours. Any such extended hours must be paid for at overtime rates. Up to 120 hours per annum additional overtime is permissible under the Act.

The hour of commencing work must not be earlier than 7 a.m., except in certain specified instances—e.g., bakers (4 a.m.), butchers (6 a.m.). Persons engaged in delivering milk may be required to start work at 3 a.m. or—in accordance with conditions approved by the Minister, but not otherwise—earlier than 3 a.m. The above exceptions do not apply in the case of boys or girls under sixteen years of age. The latest hour to which a male shop assistant may be employed in any trade is 10.30 p.m., or 11 p.m. on one day in the week in certain instances; while boys under eighteen or females may be employed until 9.30 p.m., but there are exceptions on certain days—e.g., Christmas Eve. The principal Act provided that female assistants and boys under eighteen could be employed in restaurants up to 10.30 p.m., but not after that hour. The 1946 amendment, however, provides that where parties to an industrial dispute agree in the matter and incorporate their agreement in an award or industrial agreement, female assistants over the age of twenty-one years may be employed up to 11.30 p.m. In any such case satisfactory provision for conveying these assistants to their homes must be made. There is no limit under the Act to the time at which adult male hotel and restaurant employees may be required to commence or cease work, although the total hours per day and per week are fixed as above.

Offices are required to close at noon on the statutory half-holiday and at five o'clock on every other working day, certain exceptions—e.g., shipping offices, railway offices, and newspaper offices—being allowed. The list of exemptions from this provision was substantially reduced by the 1936 Act, banks and insurance offices being important cases previously exempt. In practice, a five-day week is worked in most offices. Limited employment after office hours is permitted for such purposes as making up balances, etc., payment for overtime at the rate of time and a half and meal allowance being mandatory in respect of such overtime.

Opening and Closing Hours of Shops.—The closing hours of shops in any district have for many years been fixed pursuant to the Act by “requisition" of a majority of the shopkeepers, if desired, either in the whole of the local district or in any trade in the local district. The hours of closing have been thus determined in very many trades and districts.

In 1920 an amendment to the Act prescribed compulsory closing hours at 6 p.m. on four days of the week and 9 p.m. on one day in the well-populated areas, except in certain exempted trades, thus incorporating by statute the closing hours as already determined by “requisition" in many cases. With the passing of the 1945 amendment the Court of Arbitration has power when making an award in any trade to fix the opening and closing hours of all shops in the particular trade in that locality, and also to provide that such shops shall not be open for business on one working day in each week or on any award holiday. Before the Court exercises any of these powers, however, it is required to have regard to all relevant considerations. In very many instances these powers have been exercised and the result of the 1945 amendment has been that the majority of shops are open for five days in the week only.

The occupier of every shop, whether employing assistants or not, is deemed to be an employer within the meaning of the Industrial Conciliation and Arbitration Act, and therefore bound by an award relating to shop assistants for the purpose of bringing his premises within the closing provisions fixed in an award.

A Magistrate may grant exemption (a) from any opening hours fixed by the award, (b) from any provision that shops shall close for the whole of one working day, and (c) from any provision that shops shall be closed on holidays.

Holiday Provisions.—The number of paid holidays provided by the Shops and Offices Act is seven, and employees not otherwise provided for are entitled to the benefits of the Annual Holidays Act 1944. The provisions of the Public Holidays Amendment Act 1948 also apply (refer page 937).

In regard to the closing of shops, a weekly half-holiday from noon is compulsory, with a few exceptions. The closing day is fixed in each district by the local authority, except where it is decided by a poll of the electors taken on petition of a certain number. Even in the exempted trades, a half-holiday must be given to each assistant on a day to be fixed by the occupier.

Where a shop assistant in a chemist's shop works between 7 and 9 p.m. on the statutory closing day, and is paid for this at the overtime rates prescribed by an award or industrial agreement, he is not also entitled to double time off within the next seven days.

Special provisions operate in respect of holidays for all assistants employed in hotels and restaurants.

Minimum Rates of Pay.—The minimum rates of wages payable to shop assistants under the Shops and Offices Act are the same as those provided for by the Factories Act (refer p. 938). As in the case of factories, higher rates may be fixed by awards and industrial agreements. The provisions of the Minimum Wage Act 1945, and Orders made under it, also apply.

The minimum wage rates applying to shop assistants apply also to office assistants. Prior to the 1936 amendment, office assistants did not come within the scope of the provision for minimum wages. This particular provision also applies to solicitors' offices and mining offices, which do not come within the definition of the term “office" in respect of other provisions of the Act.

Safety, Health, and Welfare Provisions.—The Act also makes provision for the comfort, health, and safety of assistants—viz., in regard to seating accommodation, ventilation, heating, sanitation, and hygiene.

The 1951 amendment extends to warehouses and goods stores the provisions of the principal Act relating to sanitation and health rules in shops and offices. This amendment also authorizes the making of regulations for the safety, health, and welfare of persons employed in shops, offices, warehouses, or stores; particular matters that may be covered relate to dangerous liquids and noxious gases, limitation of loads, safe means of access, construction and maintenance of floors, passages, stairs, fire escapes, lighting, drainage, washing facilities, clothing accommodation, seating and first aid facilities, rest rooms for women, accommodation for meals, etc.

Other Provisions.—Each trade in any district may, by a majority vote, obtain an order of the Minister of Labour prohibiting the sale in such district, during the time the shops in such trade are required to be closed, of the goods the sale of which is comprised in such trade. This provision is inserted to meet those cases where there is overlapping of the trades of various shopkeepers, only some of whom are required to close at a certain hour. The provisions enabling a majority of the shopkeepers in any trade to fix the closing hours for that trade applies only to those who are principally engaged therein; if the latter are desirous that other shopkeepers carrying on the trade as a minor portion of their business should cease selling the same goods at the closing hours fixed, they may apply to the Minister for an order prohibiting such sales.

No premium may be received by the occupier of any shop in respect of the employment of any shop assistant, or in respect of the teaching or training of any person in any trade or business carried on in the shop, unless the shop is approved by the Chief Inspector appointed under the Factories Act 1946 as a school for learners in a trade or business, and the payment is made pursuant to a written agreement that is approved by the Chief Inspector. The Chief Inspector cannot approve of any shop as a school for learners in any trade or business unless he is satisfied that reasonable facilities are provided for learning the trade or business, and he may at any time withdraw his approval if he ceases to be so satisfied. The Chief Inspector must not approve of any agreement under this section unless he is satisfied that the terms of the agreement are reasonable.

Provision is made for the keeping of a timetable of hours of duty of fruiterers' assistants; and, under certain conditions, shops which sell smoking requisites in addition to carrying on other business may be compelled to close early in the evenings.

There are also the usual provisions governing powers of inspection, requisition, and the prescription of offences and penalties.

Awards and industrial agreements covering shop and office workers are to be read subject to the provisions of the Shops and Offices Act—i.e., the conditions, etc., laid down in such awards and agreements must be at least equal to those prescribed in the Shops and Offices Act.

MINING LEGISLATION.—Since the passing of the original Coal Mines Act of 1886 legislation relating to coal mines has always been set out separately from that regulating all other mines. The present law relating to mining and quarrying will therefore be found for the most part in the Coal Mines Act 1925 and subsequent amendments, the Mining Act 1926 and amendments, and the Quarries Act 1944 and its amendments of 1951 and 1954. A noteworthy feature of such Acts is the appointment of Inspectors with wide powers.

Application of Mining Acts.—A “mine" under the Mining Act means generally any mine other than a coal mine, while by the Quarries Act 1944 a quarry is defined as any place in which persons work in excavating any kind of material from the earth, including an opencast coal quarry, and includes an excavation for the purposes of the construction of any work for the generation of electricity, or for the purposes of the construction of a dam for the supply of water for the use of the public, and a tunnel. A quarry does not include any place (other than an opencast coal quarry) in which mining or searching for coal, gold, scheelite, or petroleum is carried on; any road cutting or railway cutting; any tunnel in the construction of which explosives are not used and which is less than 50 ft. long or any shaft less than 15 ft. deep; or any excavation under the Scaffolding and Excavations Act 1922.

Hours of Work, Overtime, Holidays, and Rates of Pay.—In common with the practice pertaining for many other industrial groups of workers, the current working conditions for miners and quarry men generally are determined in the awards made by the Court of Arbitration from time to time, rather than by existing statutory provisions. In the construction of awards, conditions may be, and probably are, more favourable than those required by statute, but in no case can the award provisions be less favourable. These comments apply in particular to questions of hours of work, overtime, holidays, and wage rates for workers in those industries covered by the mining and quarrying Acts. Both principal mining Acts prohibit employment in or about mines on Sundays unless the previous authority of an Inspector of Mines has been obtained. By a decision of the Coal Mines Council, a seven-hour day was introduced for all underground workers in coal mines as from 5 April 1948, and this provision was extended to underground workers in other mines by the Mining Amendment Act 1948 as from 1 January 1949. This was in lieu of the former eight-hour limit.

Restriction on Employment.—The following legislative restrictions are operative on the employment of women, youths, and boys. No female of any age or any lad under the age of fourteen years may be employed in or about a mine or coal mine except in a clerical capacity or, by virtue of a 1937 amendment, as nurses or charwomen. A similar restriction is imposed by the Quarries Act 1944, except that the age limit for youths is raised to sixteen years. At the present time, also, no male under the age of sixteen years may be employed underground in any coal mine, or in any alluvial mine, or on or about any dredge; while the minimum age in respect of underground work in a quartz mine was raised by the 1948 amendment to the Mining Act from eighteen to nineteen years of age. In addition, the employment of youths in specified occupations is prohibited both in coal and other mines, while no youth under twenty-one years is permitted to be in charge of certain types of machinery used in coal mining. No youth may be employed in a mine for more than eight hours per day or forty-eight hours per week except in cases of emergency. As stated earlier, the employment of manual labour on Sundays without the previous consent of an Inspector of Mines is prohibited, while any time so worked must be paid for at higher rates.

Safety, Health, and Welfare Provisions.—In general the provisions of the Coal Mines Act 1925 are similar to those of the Mining Act 1926 in so far as safety, etc., is concerned, although, of course, to combat the special risks of coal mining additional regulation is necessary. Naturally enough, a very large part of each major mining or quarrying Act deals directly with the subject matter of this paragraph. The appropriate provisions are now considered under the respective mining Acts.

Mining Acts.—The 1926 Act required that a person acting in the capacity of mine manager of any mine where there are more than twelve men employed at any one time above ground, or more than six underground, must hold a certificate granted after examination by a Board of Examiners empowered under the Act to grant such certificates. Provision is made for proper ventilation in mines, the air temperature must not exceed 80° Fahrenheit in any working place, special care is required to be taken in handling explosives, dangerous places must be properly timbered, and special regulations are made as to hauling machinery, etc.

All machinery used to supply motive power is subject to the provisions of the Boilers, Lifts, and Cranes Act 1950 and the Machinery Act 1950 (which together replaced the Inspection of Machinery Act 1928) so far as these provisions apply. Inspectors of Mines have the powers of Engineer Surveyors under the former Act and, by the Mining Act 1953, they are also given the powers of Inspectors of Machinery under the latter Act. Sufficient water must be supplied where it is necessary for the laying of dust in a mine. The Mining Amendment Act 1927 provides, inter alia, that a mine, where twenty men or over are employed on one shift, must have two outlets.

The Mining Amendment Act 1941 lays down that every person in charge of electrical apparatus in a mine must be the holder of a mine electrician's certificate. The appointment of an Electrical Inspector of Mines is provided for.

Comprehensive amending regulations pursuant to the Mining Act were issued in August 1945. These regulations, in addition to other matters relating to mining, prescribe the conditions and subjects relating to the examinations for mine managers', battery superintendents', and dredge masters' certificates. The regulations also lay down the types of electrical apparatus that may be used in any mine, the conditions under which they may be used, and the safeguards that must be employed.

Coal Mining Acts.—For every coal mine there must be a duly qualified manager, who must be either the owner of the mine or some person appointed by the owner, and who is responsible for the control, management, and direction of the mine. Section 8 of the Statutes Amendment Act 1944 prescribes the present qualifications that are required to be held by managers of coal mines. These vary according to the number of men employed in the mine, and also according to whether all the workings are opencast or otherwise. Inspectors of Coal Mines appointed under the Act must hold certificates as first class mine managers under the Act. Certain sections of the Act deal with the control of coal dust, the use of safety lamps, first-aid endorsement on certificates of competency, the prohibition of work in places where the presence of gas is suspected, and the inspection of the mine before the commencement of work, etc. Suitable housing accommodation must be supplied for workers if required by notice of the Minister of Mines. Comprehensive regulations pursuant to the 1925 Act, and known as the Coal Mines Regulations, were issued in 1939, and amended in the same year, and in 1942, 1947, and 1949. All accidents in mines rendering a workman unfit for work are now notifiable under the 1953 amendment.

A levy of ½d. per ton—increased to 1d. per ton as from 1 January 1948 by the Coal Mines Amendment Act 1947—on every ton of marketable coal raised from mines was made under the terms of the Act, such moneys forming a fund for the relief of miners injured in the course of employment and of their dependants in the case of death. Information as to miners' pensions (now miners' benefits under the Social Security Act 1938), provided for originally by the Miners' Phthisis Act of 1915, is contained in Section 7A of this book. A levy of 3d. per ton on all marketable coal raised from mines was authorized by the Coal Mines Amendment Act 1950 in order to provide amenities in coal-mining districts.

The preceding levies were replaced by a levy at the rate of 6d. a ton on coal other than lignite and 4½d. a ton for lignite and paid into a new fund, called the Coal Mining Districts Welfare and Research Fund. This fund is used for the purposes of relief of miners injured in the course of employment, and provides amenities in coal-mining districts, while moneys may be expended from the fund for research and otherwise generally for the benefit of the industry. The Coal Mining Districts Welfare and Research Council (which replaced the Amenities Council) or the Local Committees (in the case of coal miner's relief) direct the expenditure.

By an amending Act passed in 1927 wages for a period not exceeding six months, payable by the owner of a coal mine in respect of mining operations, constitute an equitable charge on plant and machinery, with priority over mortgages, etc. Proceedings for the enforcement of the charge must be commenced within twelve months.

An amending Act passed in 1936 provided further measures for the safety of miners. Additional precautions were provided to ensure that unlawful lights, etc., are not taken into mines, and further safeguards were made to alleviate the danger to the health of miners from the presence of dust in mines. Provision was also made for the Minister of Mines to establish central rescue stations in coal-mining areas.

The Coal Mines Amendment Act 1937 contains many provisions designed to ensure the greater safety of workers engaged in coal mines. No person under the age of twenty-three years may be employed as a mine manager or other mine official, while certificates of competency as underviewers or firemen deputies must be periodically endorsed by an Inspector of Mines to the effect that the official has passed certain specified efficiency tests. Certain appliances by which coal may be, in effect, screened or sized may not be used underground. A further provision as to housing accommodation for miners is also included in the amending Act. The Minister may require a mineowner to pay part of the cost of conveyance of workers to the mine in lieu of providing housing accommodation. In accordance with section 9 of the Statutes Amendment Act 1944, the Minister may require underground transport to be provided for workmen where he considers it necessary.

The Coal Mines Amendment Act 1941 provides that an Inspector may, if he considers it expedient, require a mine, which on the basis of the number of employees might be managed by a person with a certificate lower than that of a second class mine manager, to be managed by a person with a higher certificate than that prescribed by the principal Act. He may also require the appointment, for any shift, of officials additional to those normally required. Stricter provision is made regarding the use of lamps. The appointment of an Electrical Inspector of Coal Mines is provided for, and the Board of Examiners has been enlarged by the addition of a registered electrical engineer or wireman nominated by the Electrical Wiremen's Registration Board, an Engineer Surveyor, and an Inspector of Machinery. Inspectors of Coal Mines also have the powers of Engineer Surveyors and Inspectors of Machinery under the appropriate Acts.

Quarries Act.—The Quarries Act 1944, as amended in 1951 and 1954, makes better provision for the regulation of quarries by consolidating (with amendments) the Stone Quarries Act 1910 and its amending Acts. The Act contains provisions as to Inspectors, and the appointment, qualifications, and duties of quarry managers. In all cases where three or more men are engaged in quarrying operations at any one time, or where explosives are being used, a qualified quarry manager must be in charge. This is modified by section 67 of the Statutes Amendment Act 1945, which provides that a permit to act in the capacity of a manager may be granted to a person who does not hold the necessary certificate in the case of any quarry in which no explosives are used and all the workings are above ground. Adequate rules are provided for the safety of workers and the prevention of accidents.

The Quarries Amendment Act 1951 placed opencast coal quarries under the authority of this Act and made consequential amendments to the Coal Mines Act 1925, certain provisions of which are now applied to opencast coal quarries. Quarry managers are to be appointed for all such quarries, while other sections of the Act cover the qualifications required of quarry managers, additional safety precautions, etc. Provision is made also for the principal Act to bind the Crown.

The 1954 amendment extends the definition of a quarry to cover hydro-electric works construction and a dam for water supply to the public. Provision is also made for the establishment of Courts of Inquiry to hold investigations into serious accidents in quarries and the conduct of holders of quarry manager's certificates, and for their powers of ordering fines and the cancellation or suspension of certificate. Additional rules for the handling of explosives during tunnelling operations are made. Qualifications additional to those for a quarry manager's certificate may be required where conditions in a quarry call for special skill or knowledge on the part of the manager.

SHIPPING AND SEAMEN LEGISLATION.—The first statute relating to this subject was passed in 1858, when the New Zealand Parliament extended the provisions of the Merchant Shipping Act passed by the British Parliament in 1854 to all British ships under the jurisdiction of New Zealand. This Act contained a series of regulations designed for the safety of passengers and crew, and for the amelioration of working conditions on board ship. Further Merchant Shipping Acts Adoption Acts were passed in 1869, 1873, and 1874, while other Acts followed. A consolidating and amending Act was passed in 1903, which was consolidated with a few minor amendments in 1908, and a further consolidating Act in 1952, the law embodied in the 1952 Act coming into force on 19 November 1953.

The Offences at Sea Act 1953 assembles the existing legislation as to the jurisdiction exercisable by Courts in New Zealand in respect of offences committed on the high seas or on ships within the territorial waters of New Zealand or other countries.

The Shipping and Seamen Act 1908 stated that the general superintendence of matters relating to merchant ships and seamen in New Zealand is with the Marine Department. Provision is also made for the registration of ships in New Zealand. The Act does not apply to ships belonging to Her Majesty, nor to ships belonging to the Government of New Zealand. The collision and salvage sections do, however, apply to Government-owned ships. Other provisions relate to masters, officers, and seamen, although some of them do not apply to pleasure yachts, missionary ships, and fishing boats.

In the following paragraphs a “home-trade ship” refers to a ship employed in trading between any ports of New Zealand, plying in any navigable waters therein, or which goes to sea and returns without proceeding farther than fifty miles from the coastline. The ”minor“ islands, Island Territories, and the Chatham Islands, mentioned in Section 1, for the purposes of the Act are deemed to be places outside New Zealand. A “foreign-going" ship accordingly covers any ship not included in the foregoing category.

Hours of Work, Overtime, Holiday, and Wages Provisions.—Under the Shipping and Seamen Amendment Act 1946 the normal hours of work of seamen, whether at sea or in port, are restricted to eight per day or forty per week. Seamen may be required to work hours in excess of these, but shall be recompensed for the excess (by payment at a higher rate or by the allowance of time off on pay) as may be prescribed by an award or industrial agreement under the Industrial Conciliation and Arbitration Act or by an agreement under the Labour Disputes Investigation Act. Where no such provision in an award or agreement applies, recompense will be made in such manner as may be prescribed by an order of the Court of Arbitration made on the application of a party concerned. “Hours of work” is defined as “time during which the seaman is required by the orders of a superior to do any work on account of the ship or the owner, or to be at the disposal of a superior outside the seaman's quarters.”

Time spent in certain specified work is excluded from the normal hours of work and is not subject to the special recompense for time worked in excess of normal hours. This includes work required for the safety of the ship when in immediate peril or to give assistance to other vessels or persons in immediate peril; musters, fire, lifeboat, and similar drills; normal and necessary work by officers to determine the position of the ship or to take meteorological observations; and work required for the normal relieving of watches.

Holiday provisions are negotiated in the construction of the award applicable, while the benefits of the Annual Holidays Act 1944 operate as the minimum permissible limit.

The wage rates on foreign-going ships trading between New Zealand ports are to equal the current rates of wages for such work paid in New Zealand at the same time. This does not apply to ships arriving from abroad, not trading in New Zealand further than to ship or discharge overseas passengers or cargo. The clearances of foreign-going ships which are required to pay the coastal rate of wages are to be withheld until such wages are paid.

Restrictions on Employment.—In accordance with the provisions of the International Labour Convention (Geneva) 1921, the employment of persons under fifteen years of age in any capacity on board ship is prohibited, as is also the employment of any persons under eighteen years of age unless they have first been medically examined and passed as fit to engage in the capacity concerned. A further subsection of the Act prohibits the employment of persons under eighteen years of age as trimmers or firemen on steamships. These limitations on employment do not apply to cases of training ships where the work is of a kind approved by the Minister and is carried out under proper supervision.

Competence, Safety, Health, and Welfare Provisions.—The Shipping and Seamen Act 1952, consolidating and amending previous legislation on this matter, made provision with respect to the international conventions to which New Zealand is a party and is also complete in itself, requiring no reference (as was necessary hitherto) to United Kingdom legislation. The conventions which have been incorporated in the Act, and which deal principally with safety measures, were the International Convention for the Safety of Life at Sea of 31 May 1929, the International Convention for the Safety of Life at Sea (London) of 10 June 1948, and the International Convention on Load Lines of 5 July 1930. Adequate provision is made to ensure competence on the part of the controlling officers of ships. Home-trade steamships of 60 tons register and upwards, and home-trade sailing ships of 100 tons register, must carry certificated mates, and such ships of 100 tons register and upwards trading more than three hundred miles between terminal ports must have second mates. A foreign-going ship is required to carry two certificated mates. Foreign-going certificated mates are entitled to ship as mates in the home trade. It is an offence for a master or owner to engage a certificated officer for the purpose only of enabling the ship to clear and not for the purpose of making the voyage.

Provision is made for issuing certificates of competency to second mates of home-trade ships, and for recognizing as valid in New Zealand, certificates of masters, mates, and engineers granted in any part of the British Commonwealth.

Any master or mate may, at any time, be required by the shipowner or the Minister of Marine to be examined in sight tests by the Government Examiners.

Further sections dealing with the safety of the ship require the adjustment of compasses to be carried out under regulations, while power is given to the Minister to define restricted trading limits for steamers and for vessels propelled by oil, gas, etc. The Governor-General in Council is empowered to make regulations as to the loading and stowage of ballast and the loading of grain cargo in bulk. It is an offence to ship wool, flax, tow, or skins in such a condition as to be liable to spontaneous combustion.

The following Rules and Regulations are all concerned with the subject matter under consideration: Shipping Rules—Dangerous Goods 1953, Grain 1953, Navigational Warnings 1954, Signals of Distress 1954, Radio 1954, Direction Finders 1954, Musters 1954, Pilot Ladders 1954, Fire Appliances 1954, Life Saving 1954, Construction 1954, and Closing of Openings in Hulls and in Watertight Bulkheads 1954; Regulations—Collisions Regulations Order 1953, Certificates of Competency 1954, and Crew Accommodation 1954.

Since 1909 there has been a gradual extension of the type of ship required by law to be equipped with radio installations. The regulations now define the nature of the installations and service, and the number and grade of operators in different classes of vessels, and provide for inspection thereof.

The provisions regarding working conditions on vessels require, inter alia, proper sanitary, hospital, and lavatory accommodation, including bathrooms, to be provided for the crew, together with an adequate supply of hot water for those employed in connection with the engines, while a prescribed minimum of space for the seamen's quarters is also laid down.

Intercolonial ships—i.e., those trading between New Zealand and Australia, or New Zealand and the central Pacific islands—in addition to home-trade ships are made liable to pay the wages, maintenance, and medical expenses of seamen taken ill in the service of the ship for the remainder of the agreement, not exceeding three months; and, in the case of intercolonial ships, if the agreement expires within one month from the commencement of the illness, payment is to be made for one month after the expiry. The illness which entitles a man to the benefits provided for, is one which requires medical treatment for fourteen days.

An amendment to the Shipping and Seamen Act made in 1948 prescribed fines not exceeding £100 in any case of a breach of any safety rules made expressly for those small craft not subject to the provisions of the principal Act relating to survey, etc.

Other Provisions.—Desertion is defined, and deserters who cannot be dealt with before their ship sails can afterwards be prosecuted by the owner or agent, and copies of the agreement and the entries in the log book are to be accepted by Courts as evidence. Forfeited wages are to be paid into the Public Account.

The 1950 amendment provided for the deportation from New Zealand of every seaman or apprentice who is convicted of the offence of desertion or absence without leave from his ship. This does not apply to seamen or apprentices engaged in New Zealand nor to seamen or apprentices from foreign ships. Provisions for the deportation of foreign deserters were already contained in the principal Act and in the Immigration Restriction Act 1908.

It is unlawful for any person other than the owner, master, mate, or engineer of a ship, or a Superintendent of Mercantile Marine, to engage or supply seamen for ships, and only seamen who have a knowledge of the English language are allowed to ship.

The law as to inquiries into shipping casualties is on the lines of the Imperial Merchant Shipping Act, and provision is made for rehearings, for Magistrates to order a change of venue, and, by the 1948 amendment, for Superintendents of Mercantile Marine to hold a preliminary inquiry where a shipping casualty has occurred. Inquiries are not to be held in Police Courts unless other suitable buildings are not available; and in cases where there has been loss of life but no damage to the ship the inquiries may be held by Coroners.

The risks run and sacrifices made by the crews of vessels under war conditions were recognized by the Government in the passing of the War Pensions and Allowances (Mercantile Marine) Act 1940 (later incorporated in the War Pensions Act 1954). This Act, which made provision for the payment of pensions and allowances to members of the New Zealand mercantile marine and their dependants in respect of death, disablement, or detention as a result of the Second World War is referred to in some detail in Section 7B of this Year-Book. Seamen also received special bonuses to compensate for the hazardous nature of their occupation during the war period and were later paid a special sea-going allowance.

For the purposes of the Land Act 1948 and the Rehabilitation Act 1941 any person who served during the Second World War in any British ship which, while he was serving therein, was damaged or destroyed as the result of enemy action, or who served in any other British ship other than a home-trade ship, is included in the term “serviceman,” thus rendering such person eligible for rehabilitation benefits.

AGRICULTURAL WORKERS ACT.—The primary purpose of the Agricultural Workers Act 1936 was to make better provision for the accommodation of agricultural workers, and to make special provisions for the remuneration of workers on dairy farms and for the conditions of their employment. The Act also includes provision for the extension of these special provisions to other classes of agricultural workers, and, as indicated later, Orders in Council have been issued under this provision. Section 4 of the Statutes Amendment Act 1945 provides that where proposals for the extension to any specified class of agricultural workers have been submitted as required by the principal Act, and the parties are unable to agree, the matters in dispute may be referred to the Court of Arbitration for a recommendation to the Minister. The administration of the Act is carried out by the Department of Labour.

Another important measure dealing with farm workers is the Sharemilking Agreements Act 1937, which defined the respective responsibilities of employers and sharemilkers in farm management and control of stock, and prescribed the minimum percentages of returns to sharemilkers. The Act contains provision for terms and conditions to be altered by Order in Council, and the latest agreement is contained in the Sharemilking Agreements Order 1946, which came into operation on 4 September 1946.

Orders in Council extending the operation of the provisions of the Act to other classes of farm workers have been issued from time to time—orchard workers as from 1 February 1937; workers on farms or stations used for the commercial production of wool, meat, or grain (including seed), whether exclusively or together with any other purpose, as from 1 May 1937; agricultural workers in market gardens, nurseries, etc., in the Wellington, Nelson, Canterbury, Otago and Southland, and Northern Industrial Districts, as from various dates between 22 April 1938 and 29 May 1939; and agricultural workers employed in the tobacco industry, as from 1 October 1941. The orders do not apply to workers covered by awards or agreements under the Industrial Conciliation and Arbitration Act.

Hours of Work and Overtime.—In the case of orchard workers the maximum hours that may be worked without payment at overtime rates are eighty per fortnight from 1 June to the end of September, and eighty-eight per fortnight from the beginning of October to 31 May. These are to be worked from Monday to noon Saturday except in necessitous cases and in the picking of stone fruit. In the shorter period the maximum hours to be worked at ordinary rates are not to exceed eight daily, and in the longer period ten hours per day. Overtime rates are payable in respect of hours worked outside the limits mentioned.

The ordinary hours of work for those employed in market gardens, nurseries, etc., are not to exceed forty-four in any one week, and are to be worked within the five and a half days, Monday to noon Saturday inclusive. In addition, no worker is to be employed for more than five hours continuously without an interval of three-quarters of an hour for a meal. Time worked beyond the limits quoted are to be paid for at overtime rates.

Agricultural workers employed in the tobacco industry during the months of May to December work at ordinary rates for eight hours daily from Monday to Friday, with a maximum of forty hours a week. Those employed in the field section during the remaining months may be worked an additional eight hours per week—i.e., a maximum of forty-eight hours per week. Otherwise, employment is given remuneration at overtime rates. A three-quarters of an hour interval is allowed for a meal in the case of shed workers and an hour for those in the field section.

Holiday Provisions.—Every agricultural worker who is employed on a dairy farm for not less than four weeks continuously is to be allowed a holiday on full pay plus an amount equal to the full allowance for board and lodging. The duration of the holiday is to be not less than seven days in the aggregate for every twelve weeks of employment, and a proportionate period for every broken period of employment. If a regular weekly half-holiday commencing at noon is allowed, a holiday of fourteen days a year (or proportionate duration for a lesser period of employment) will be regarded as sufficient compliance with the Act. The provisions of the Annual Holidays Act 1944 apply generally to agricultural workers. The following specific conditions pertain, however, in respect of workers on farms and stations: farm workers are entitled to seven statutory holidays, Anzac Day, and Anniversary Day, or days in lieu thereof; twelve working days' annual leave on full pay, with a proportionate allowance for service of less than one year; and nineteen days to be taken in half days or at such times as shall be mutually agreed between the employer and the worker; while the sum total of all three classes is not to be less than forty days in each year. Orchard workers are allowed ten days, and workers in the tobacco industry (field section) nine days, while workers in market gardens are allowed eight days on full pay in addition to normal annual holidays.

Minimum Rates of Pay.—By the principal Act minimum weekly rates of pay were prescribed for workers on dairy farms. The Act fixed the rates to operate from 1 October 1936 (the date the Act came into force) until 31 July 1937, and subsequent rates of pay were to be fixed by Orders in Council. In fixing such rates the guaranteed prices paid in respect of primary produce were to be taken into account, but later rates were not to be lower than those fixed by the Act. The 1955 minimum rate is £9 10s. per week, increased by £1 16s. per week if the worker is not provided with board and lodging by the employer. This rate is taken to include allowance for work done at weekends and on holidays as part of the normal week's work. Minimum rates of pay for casual workers are contained in all the extension orders made so far. At present (February 1955) the minimum rate for workers in casual employment and for permanent adult male workers on tobacco farms amounts to 4s. 9d. per hour, with lesser rates for male and female workers according to specified ages, and for harvesters on farms 4s. 10d. per hour with rations. In the case of workers on farms and stations for whom the hours of work are not definitely laid down, the rates applicable are given in the Agricultural Workers (Farms and Stations) Extension Order 1952, Amendment No. 2, the minimum rate for an adult male worker being £7 16s. per week, increased by £1 16s. per week if the worker is not provided with board and lodging by the employer, or by £1 8s. per week if provided with only lodging or free house. The minimum rate of wages for adult males permanently employed in orchards is prescribed in the Agricultural Workers (Orchardists) Extension Order 1955, at £10. The corresponding rate for workers in market gardens provided for in Amendment No. 2 to the 1953 extension order is £10 6s. 6d.

Restrictions on Employment.—No child under the age of fifteen years may be employed for hire on a dairy farm or in market gardens except for the harvesting of peas, beans, tomatoes, and soft fruits.

Health and Welfare Provisions.—The sections of the Act in relation to the accommodation of agricultural workers lay down definite requirements for the comfort of such workers, and Inspectors of Factories have power to inspect the accommodation and to require that improvements be made where necessary. In the various extension orders made under the authority of the principal Act, regulations are made dealing explicitly with questions of accommodation, sanitation, ventilation, etc. A number of orders also prohibit the lifting of excess weights by females.

Other Provisions.—Provision exists for the employment of “under-rate" workers with the consent of the Inspector of Factories. An amendment to the main Act made by a section in the Statutes Revision Act 1936 permits the Inspector to apply the under-rate provisions in respect both of money wages and of the amount (if any) payable in lieu of board and lodging in cases of female workers employed on farms. This amendment is of considerable importance, since the employment of women workers for short periods of the day—notably at milking time—is common on dairy farms. Regulations governing the employment of “under-rate" workers are included in all the current extension orders.

INDUSTRIAL CONCILIATION AND ARBITRATION LEGISLATION.—The working conditions outlined in the preceding pages are those contained in some specific statute or regulations made thereunder. However, for a large proportion (approximately one-third) of the labour force, the determining factor is the series of awards and agreements issued by the Court of Arbitration under the authority of the Industrial Conciliation and Arbitration Act 1954 (consolidating the 1925 Act and its amendments). The number of awards and agreements in force is quite large—587 at 31 March 1954—and as each is subject to individual negotiation by the unions or associations concerned during its construction it is evident that possible variations preclude any systematic treatment herein of the provisions of such a large number.

The 1936 amendment stated that where it is deemed practicable the Court must fix the maximum hours of work per week (exclusive of overtime) at forty, while existing awards could be reviewed to this end on application. At present the provision of a forty-hour week is quite general. Included in the respective awards and agreements are provisions covering the hours of work, overtime, holidays, safety, health, and welfare. Rates of remuneration, subject particularly in the lower limits to the more widely applicable decisions covering the basic wage, general orders, standard wage pronouncements, and minimum wages, are also decided and incorporated in the relevant award or agreement.

It will be realized from the above comments that for information on the actual working conditions governing employment in any particular industrial activity, reference must be made to the award or agreement applicable.

LEGISLATION GOVERNING WORKING CONDITIONS IN THE VARIOUS BRANCHES OF THE GOVERNMENT SERVICE.—The principal measures which are concerned with the majority of persons employed either directly or indirectly by the State and which have reference to their working conditions are given in the succeeding paragraphs.

The Public Service Act 1912, as amended by the Public Service Amendment Act 1946, provided for the control of the Public Service by a Commission as from 1 November 1946. Included in the functions of the Commission are the control of recruitment, maintenance of discipline and of a fair and efficient system of promotion, and also the regulation of a variety of points connected with personnel control—e.g., leave, hours of work, payment of allowances, etc.

The Government Service Tribunal Act 1948 provided for the establishment of a tribunal with functions, in relation to the remuneration and conditions of service of employees, of making (a) principal and other orders, and (b) recommendations to the Prime Minister on any matters other than those contained in the principal orders.

The Government Railways Act 1949, a consolidation measure, furnishes the legislative framework for determination of the working conditions of railway employees. The 1944 amendment established the Government Railways Industrial Tribunal, the principal functions of which are to prescribe scales of salaries and rates of wages; conditions in regard to hours of work, overtime, etc.; and terms and conditions in respect of leave of absence, railway travel concessions, etc. The Government Railways (Staff) Regulations 1953 are also of relevance in this connection.

Working conditions for Post and Telegraph Department employees are determined by the administrative authority, the Postmaster-General and Minister of Telegraphs, with the Director-General as executive head. Power is vested in the Minister by virtue of the Post and Telegraph Act 1928, while the 1944 amendment established a Post and Telegraph Staff Tribunal whose function it is to make recommendations to the Minister on such matters as may be referred to it by the Minister, the Director-General, or the New Zealand Post and Telegraph Association (Incorporated).

Other legislative enactments which apply to the relevant sections of General Government employees are as follows: members of the Police Force are governed by the Police Force Act 1947, which consolidated and amended the 1913 Act of the same title and its amendments. The three fighting Services are controlled at present by the Army Act 1950, the Navy Act 1954, and the Royal New Zealand Air Force Act 1950.

The Education Act 1914 and later amendments provide the legislative background authorizing, either by regulation or through the agency of Education Boards, the determination of the conditions of employment, pay, leave of absence, etc., for the members of the teaching profession.

LEGISLATIVE PROVISION FOR CERTAIN OTHER GROUPS.—The provisions relating to working conditions of Hospital Board employees such as nurses, etc., will be found in the Hospitals Act 1926 and its amendments, while the Hospital Employment Regulations 1952 bear directly on these matters.

Before concluding this subsection reference must be made to two further groups of workers. The first of these consists of public-works employees, while the other comprises those concerned with waterfront work.

In a statement of public-works policy laid before Parliament in 1936 the Government's policy in relation to public-works employees was outlined. An agreement was drawn up dating from 1 June 1936, the main provisions of which were embodied in subsequent agreements, although subjected to amendment and revision from time to time to meet changing conditions. With the termination of the last agreement in March 1949 the Government Service Tribunal, established under the Government Service Tribunal Act 1948, became the authority for determination of rates of remuneration and working conditions generally for public-works employees.

The Waterfront Industry Emergency Regulations 1946, as later amended, established two bodies to provide for the more efficient control of waterside work. The superior of these two—viz., the Waterfront Industry Authority—was charged with deciding the conditions under which any persons could be employed for waterside work, the terms of any such employment, including remuneration, holidays, guaranteed minimum payment, etc., whereas the subordinate authority, known as the Waterfront Industry Commission, was more concerned with the day-to-day details of administration. In particular, the Commission could not issue or amend any order prescribing any conditions or terms of employment which were of general application, except in accordance with a decision or direction from the Authority or as a result of a unanimous resolution of the Commission. Appeals from decisions or orders of the Commission were determined by the Authority.

The above position was relevant up to the commencement of the waterfront strike in February 1951. Commission control was suspended on 20 February, and on the following day the Government issued a Proclamation under the Public Safety Conservation Act 1932 declaring a state of emergency. Shortly afterwards, the Waterfront Strike Emergency Regulations were gazetted, giving powers to ensure the observance of law and order, to prevent picketing, threats, and intimidation, to employ Service labour on the waterfront, and to maintain essential supplies and services to the community. After the termination of the strike and pending the report of the Royal Commission on the waterfront industry, the Government announced that the Commission form of control was to be continued through Port Conciliation Committees, the Waterfront Industry Commission, with administrative functions only, and the Waterfront Industry Tribunal, which was to be a non-representative body to decide disputes and to determine appeals against decisions of Port Conciliation Committees. Amending regulations (the Waterfront Industry Emergency Regulations 1946, Amendment No. 10), prescribing the powers and functions of these bodies, were gazetted in 1951.

The 1946 regulations were revoked by the Waterfront Industry Act 1953, which however closely followed the provisions of the regulations. The Waterfront Industry Commission, the Waterfront Industry Tribunal, and the Port Conciliation Committees were continued in force, while the Act also provided for Combined Committees and for National Conciliation Committees. Provision was also made for a National Amenities Committee and for Port Amenities Committees, with functions relating to amenities for waterside workers.

38 C—WAGES AND WAGE-RATE LEGISLATION; STABILIZATION

WAGES AND WAGE RATES: GENERAL.—The amounts of wage rates generally have been influenced largely by the rates specified for individual industries and occupations in awards and industrial agreements registered under the Industrial Conciliation and Arbitration Act. As mentioned previously, certain classes of workers for many years had no legal protection in the matter of wage rates; while, again, until the passing of the Shops and Offices Amendment Act 1936, many classes of office workers were in a similar position.

More than one criterion has been employed in the derivation of minimum rates of pay. Changes in the cost of living have been taken into account at certain times; on some occasions family considerations have entered into the determination; while the size of the working population covered by the minimum-rate provisions differs appreciably according to the particular variant of minimum rate or wage considered.

For the convenience of the reader the essential differences between the various expressions of the minimum wage rates are here summarized. The basic wage (a defined amount) was intended to enable a man to maintain a wife and three children in a reasonable standard of comfort. As prescribed by the Industrial Conciliation and Arbitration Court in a general order in 1936, the basic wage became a minimum wage for all workers governed by awards. The provisions enabling a review of the basic wage were not repeated in the Industrial Conciliation and Arbitration Act 1954. Standard rates or standard wage pronouncements prescribe basic rates (not amounts) for different grades of labour—e.g., skilled, semi-skilled, or unskilled workers—for use as general principles governing the construction of award rates. There is no automatic application to awards, each being amended individually on application, or on the Court's own motion, or on a fresh award being made. General orders, on the other hand, have the effect of amending all award rates simultaneously as from the date specified in the order. The Minimum Wage Act 1945 prescribes minimum amounts of wages for adult males and females, either directly in the Act or since 1952 by Order in Council thereunder, but these differ from the basic wage, which in effect they have superseded, in that no reference is made to the maintenance of any defined standard in the former. An important feature of the 1945 minimum wage legislation is the much wider section of the working population to which its provisions relate. The minimum wages specified therein apply whether an award exists or not, and also notwithstanding anything contained in any award.

Against the background of these general remarks it is now intended to survey each of the various forms of minimum wage rates.

Basic Wage.—The New Zealand Court of Arbitration functioned for many years before the question of a basic wage was specifically dealt with by the Court. (It is of interest at this point to mention that a basic wage was brought into operation by the Federal Arbitration Court in Australia in 1907.)

The Industrial Conciliation and Arbitration Amendment Act 1936, inter alia, required the Court of Arbitration to fix basic wages for adult male and female workers. In the consolidation Act, the Industrial Conciliation and Arbitration Act 1954, the provisions authorizing the fixing of a basic wage by general order in the 1936 amendment were regarded as spent and accordingly have not been included in the 1954 Act. The basic wage for adult male workers was required to be fixed at a weekly sum which would, in the opinion of the Court, be sufficient to maintain a man, wife, and three children in a fair and reasonable standard of comfort. A general order fixing basic wages for adult male and female workers was issued by the Court of Arbitration on 2 November 1936. The weekly amounts were fixed at £3 16s. for adult male workers and at £1 16s. for adult female workers. The basic wage applies (as an absolute minimum) to all workers twenty-one years of age and over (excepting casual workers and those working under apprenticeship contracts) the conditions of whose employment are fixed by any award or industrial agreement. Presumably the basic wage is still nominally in force, although in effect superseded by the minimum wage, while, as stated earlier, no provision now exists for its review under the 1954 Act.

Minimum Wage.—The Minimum Wage Act 1945, as stated earlier, makes provision for a minimum wage for all workers of twenty-one years of age and upwards with certain minor exceptions, notwithstanding anything to the contrary contained in any enactment, award, industrial agreement, or contract of service. A contrast may here be drawn between the procedure adopted in the case of the minimum wage with that pertaining in regard to the basic wage or standard rates of wages. The former is directly stated in legislation, while the latter appear through the medium of the Court of Arbitration.

The minimum wage prescribed in the Act or by Order in Council under the Act may be amended from time to time as fresh pronouncements of standard rates or general orders are made if it is desired to preserve a balance between minimum wages and such rates of wages. In this reference it will be noted that the minimum wage for males is set at a rate which is lower than the standard rate for unskilled labour.

The Act came into force on 1 April 1946. Since that date a Minimum Wage Amendment Act was passed in each year except 1948, the 1952 amendment authorizing minimum wages to be prescribed by Order in Council. The minima prescribed by the Minimum Wage Order 1954, and operating from 15 December 1954, are given below, while those in force during the earlier periods are also shown.

Category1 April 1946 to 30 Nov. 19471 Dec. 1947 to 31 Aug. 19491 Sept. 1949 to 31 Aug. 19501 Sept. 1950 to 31 July 19511 Aug. 1951 to 30 Sept. 19521 Oct. 1952 to 14 Dec. 195315 Dec. 1953 to 14 Dec. 195415 Dec. 1954 Onwards
Males—£s.d.£s.d.£s.d.£s.d.£s.d.£s.d.£s.d.£s.d.
Paid by hour or by piecework02903003303503904104604
Paid by day1201401601741100112811601170
Other (per week)5505150650611875071848150900
Females—                        
Paid by hour or by piecework018011102202026029030031
Paid by day0134015401740184100120140148
Other (per week)330313043048041645645164600

Standard Rates of Wages.—Under the War Legislation and Statute Law Amendment Act 1918 the Court was required to review on application existing awards and industrial agreements, taking into consideration, inter alia, changes in the cost of living. The Court in April 1919 made a pronouncement fixing, in effect, standard rates of wages for skilled, semi-skilled, and unskilled workers. No definite family unit was stated as the basis on which these standard rates were calculated, the minimum pre-war award rates for unskilled labour, with appropriate adjustment, being apparently used as a base. A cost-of-living bonus, varied at half-yearly intervals in sympathy with movements in the cost of living, was added to these standard rates. New rates were fixed in 1920. In September 1925 a further pronouncement was made by the Court. The legislation by which the Court was empowered to make general orders having expired, the new rates—which represented an increase on those operating before—were brought into operation as individual awards expired. As in the 1919 pronouncement, no definite family unit was taken as the basis of assessment of the standard rates, which were, in general, stated to be somewhat in excess of 60 per cent above the rates ruling in 1914.

No further pronouncements directly relevant to the subject were made until 1931. The Finance Act of that year empowered the Court of Arbitration to amend, by general order, awards or industrial agreements with respect to rates of remuneration. Rates of remuneration under awards or industrial agreements were reduced by 10 per cent as from 1 June 1931 with certain minor exceptions.

Full or partial restoration of this cut was effected in the case of several individual awards made in 1934 and 1935, while complete restoration was effected in respect of all awards by a section in the Finance Act 1936. This Act went further: it required the restoration as from 1 July 1936 of all cuts in wages and salaries imposed during the depression period, whether the workers concerned were working under a Court of Arbitration award or not. A 1936 amendment to the Industrial Conciliation and Arbitration Act reduced weekly hours from 44 to 40, and maintained the same weekly rates of wages, thus increasing the effective standard rates of wages then applicable.

In September 1937 the Court made a pronouncement on standard wages and again, in March 1945, the Court made a further pronouncement specifying standard rates of wages in accordance with the provisions of the February 1945 amendment to the Economic Stabilization Emergency Regulations 1942.

The 1945 rates were net rates, for the full minimum wage rates would have had to take into account in addition the provisions of the two general orders, effective from 12 August 1940 and 7 April 1942 respectively, issued by the Court under the Rates of Wages Emergency Regulations 1940. (The first of these orders awarded a 5-per-cent increase in all rates of remuneration in awards, industrial agreements, etc., while the second authorized a further 5-per-cent increase subject to certain limitations.)

An application made pursuant to Regulations 39B and 39C of the Economic Stabilization Emergency Regulations 1942 for a pronouncement specifying standard rates of wages, resulted in new standard rates being set out to apply from 1 October 1947. In this case full minimum rates of wages were prescribed, thus eliminating references to the application of the general orders.

In February 1949 two applications for a new standard-wage pronouncement were laid before the Court of Arbitration. The occasion was unique, in that one of the applications was supported by the New Zealand Federation of Labour and the other supported by the New Zealand Employers' Federation. Both were made under Regulation 39B of the Economic Stabilization Emergency Regulations 1942. Before any steps had been taken for the hearing of the applications, a further amendment in February 1949 was made to the Economic Stabilization Emergency Regulations 1942. This amendment redefined the considerations which the Court was to take into account in making a pronouncement on standard rates, and also provided that the new amendment was to apply to every application under the principal regulations that was pending at the time of issue of the amendment. There were other provisions, the effects of which have also been incorporated in the following article on stabilization (refer page 956).

The Court, subsequent to the hearing, made a pronouncement on standard rates of wages on 12 April 1949. It also provided that any consequential amendments to awards, etc., were to date from 1 June 1949.

In this pronouncement the margin between the standard rate for unskilled workers and that for skilled workers was increased from 5½d. per hour to 6d. per hour. The reasons given for this increase may be of interest.

Over a number of years the effective margin of the artisan in terms of purchasing power has been steadily declining, while efforts have been made simultaneously to increase the skilled labour force. Measures were being taken to revitalize the apprenticeship system and improve the training of tradesmen, including the inauguration of more comprehensive and exacting trade examinations. In these circumstances it was thought that an improvement in the flat margin for skill should be granted.

A standard wage pronouncement was made by the Court on 12 July 1952 subsequent to the hearing on an application for a general wage order. Amendments to awards, etc., giving effect to the pronouncement operated from 1 September 1952. The rates set out in the pronouncement were gross rates (i.e., the effect of the general order increasing rates by 15 per cent from 15 February 1951 had been taken into account). In the amendment of awards and industrial agreements as a result of the 1952 pronouncement the rates for adult female workers were increased in general by such an amount as brought them to a level approximately 10s. per week above the rates which operated from 1 June 1949 plus 15 per cent. Rates for junior workers of both sexes were adjusted proportionately.

As a result of the general wage order issued in October 1954 the present effective standard hourly rates are—skilled workers 5s. 7.8d., semi-skilled workers 4s. 11.9d. to 5s. 3.3d. and unskilled workers 4s. 10.2d.

A summary of the standard rate pronouncements listed in the preceding paragraphs is given below.

Class of Worker (Adult Male)Standard Rates of Wages: Pronouncement of—
19191920192519371945194719491952
 Per Hour
 s.d.s.d.s.d.s.d.s.d.s.d.s.d.s.d.
Skilled workers120232933731150
Semi-skilled workers14½to18 to111 to25 to28½ to33½ to36 to45 to
 16110222113348
Unskilled workers1171102423354

A standard rate pronouncement is not itself a general wage order and has therefore no operative effect. It is merely an indication of the rates of wages up to which the rates prescribed for skilled, semi-skilled, and unskilled workers in a certain number of awards and industrial agreements are likely to be brought by means of individual amendments. They do not, of course, affect those variations in wage rates prescribed in the different awards, etc., which are due to variations in skill required and in working conditions generally in different industries or occupations.

Standard rates of wages can be regarded as serving two purposes. The first is to serve as general principles to which the Court will have reference in the implementation or amendment of existing award rates. The second is that they serve, in effect, as general standard minima for casual labour. They are not necessarily applicable when employment is regular throughout the year.

It should be noted that the Economic Stabilization Regulations 1953 omitted the provision contained in the 1952 regulations empowering the Court of Arbitration to make standard wage pronouncements under those regulations, although the power to amend awards and industrial agreements to give effect to the July 1952 pronouncement was continued.

Award Rates.—Under the Industrial Conciliation and Arbitration Act the Court is empowered to fix minimum rates of pay in individual awards. The nature of award rates is generally understood, and as the rates may and do vary as between awards there is no necessity to further elaborate here. A table showing the average minimum weekly wage rates, incorporated in awards for certain occupations, will be found in Section 37 of this issue (pages 918–921).

General Orders.—Cost of living bonuses, by way of what were effectively general orders, were added to standard rates of wages shown earlier as follows: 1919 (19 April) 2½d. per hour; 1920 (1 January) 3½d. per hour; 1920 (1 May) 5d. per hour; 1920 (1 May after issue of new standard rates) 3d. per hour; 1920 (1 November) 3¾d. per hour; 1922 (15 May) 2½d. per hour; 1922 (4 December) 1¾d. per hour; 1923 2d. per hour.

A general order reducing rates of remuneration by 10 per cent (i.e., also reducing the effective 1925 standard rates) was made operative from 8 June 1931. This was later restored by section 15 of the Finance Act 1936. Also in 1936, the basic wage mentioned previously was issued by way of a general order. The Court of Arbitration had power under the Rates of Wages Emergency Regulations 1940 to make general orders amending all rates prescribed in awards as from the dates specified in the orders. Two such orders were made increasing wages as from 12 August 1940 and from 7 April 1942 respectively. As stated earlier, the effect of these orders was taken into account in the 1947 standard wages pronouncement. An amendment made in March 1949 to the Economic Stabilization Emergency Regulations 1942 revoked the Rates of Wages Emergency Regulations 1940. General orders could, however, still be made under the Economic Stabilization Emergency Regulations 1942 until the revoking of the emergency regulations by the Economic Stabilization Regulations 1950. In the latter regulations the former provisions relating to the issue of general orders were retained, while a May 1950 amendment provided for, in effect, the issue of an interim general order. Such an order was to be disregarded for the purpose of determining the date at which any general order made on application should take effect.

An interim order was made by the Court of Arbitration on 10 June 1950 amending all awards and industrial agreements so as to increase by 5 per cent all rates of remuneration on amounts up to and including £7 per week in the case of adult male workers, and £4 15s. in the case of adult female workers and all junior workers.

A further general order, effective from 15 February 1951, revoked the interim order, and increased all rates of remuneration by an amount equal to 15 per cent (not restricted to any fixed amount). This latter increase was in substitution for, and not in addition to, the 5-per-cent increase given in the interim order. Certain specified awards were excluded from the operation of the February order, comparable increases having been incorporated in their construction subsequent to the interim order.

A general order of the Court was made on 19 November 1953, but retroactive to 15 September 1953, increasing all award rates by 10 per cent up to certain maxima—adult males, 24s. weekly; adult females, 18s. weekly; and junior workers, 14s. weekly.

A further general order, effective from 18 November 1954, and revoking the general order of November 1953 as from that date, was made by the Court of Arbitration on 28 October 1954. This increased all rates of remuneration by 13 per cent on amounts up to and including £12 per week for adult male workers, £9 per week for adult female workers, and £7 per week for junior workers. This increase of 13 per cent from 18 November 1954 was in substitution for, and not in addition to, the 10 per cent given in the 1953 order. In effect, the November 1954 actual increases over these gross minimum rates payable immediately prior to that month were 7s. 2½d. maxima for adult males, and 5s. 5d. and 4s. 2½d. weekly maxima for adult females and junior workers respectively.

Special Provisions Covering Wages of Certain Groups of Workers.—Certain groups of workers have their wages fixed by special authorities. Minimum rates for agricultural workers are prescribed by the Agricultural Workers Act 1936 and the various Extension Orders made pursuant to section 20 of that Act. Rates of remuneration for waterside work are fixed by the Waterfront Industry Tribunal, constituted now under the Waterfront Industry Act 1953. Determination of wages in coal mines lies within the scope of the Coal Mines Council, established under the Coal Mines Council Emergency Regulations 1940. Rates of pay for workmen engaged on public-works construction have been determined from 1949 by the Government Service Tribunal and issued in the form of principal and other orders by that Tribunal.

Salaries and wages in the railways are, by the Government Railways Act 1949, prescribed by the Government Railways Industrial Tribunal. The legislative authority covering rates of remuneration for employees of the Post and Telegraph Department is contained in the Post and Telegraph Act 1928 and the 1933 amendment, while certain questions may be referred to the Post and Telegraph Staff Tribunal, established by the 1944 amendment to the principal Act.

Public servants in the Professional and Clerical Divisions were paid according to rates prescribed under regulations authorized by section 19 of the Appropriation Act 1920, and those in the General Division according to scales determined by the Public Service Commission (see Public Service Act 1912, section 22). In 1948, however, the Government Service Tribunal Act was passed vesting the Tribunal with powers of making principal and other orders in relation to remuneration.

Pay and allowances for the Armed Services at present are prescribed in regulations under the Army Act 1950, the Navy Act 1954, and the Royal New Zealand Air Force Act 1950. Salary and wage rates for Hospital Board employees are covered by the Hospitals Act 1926 and the Hospital Employment Regulations 1952 as later amended. Two other groups of employees may be also mentioned; members of the Police Force coming under the Police Force Act 1947, and finally members of the teaching profession, whose rates of remuneration are generally determined by authority of the Education Act 1914 and amendments.

An interesting innovation made by the Court of Arbitration in 1928 was the award of that year whereby the wages of shearers and other wool-shed hands were fixed at a rate fluctuating with the movement of wool prices as determined by the Government Statistician's index number for export prices of wool. The system did not operate between 1931 and 1933, workers and employers being unable to agree as to rates, though both parties expressed approval of the principle. The award of 1933 contained provision for the resumption of the sliding-scale system. Commencing with the award for the 1948–49 season, a variation was made in the method of calculating the rates of pay for shearers and other wool-shed hands. The new procedure is that rates shall be adjusted proportionately with the movements of an index number to be prepared by the Government Statistician based on average prices realized at New Zealand sales for greasy wool (calculated for June years).

In referring to the general question of wage rates it is relevant to draw attention to the supplementary income which is provided by benefits available under the Social Security Act in certain cases, while the War Pensions Act is of significance also in this connection (see Section 7).

PROTECTION OF WAGES.—Workers' wages were first safeguarded by the Truck Act of 1891, which ensured to workers the payment of their wages in full in coin of the realm. This was followed by a series of Acts—the Contractors' and Workmen's Lien Act 1892, the Workmen's Wages Act 1893, the Threshing Machine Owners' Lien Act 1895, the Wages Attachment Act 1895, and the Wages Protection Act 1899—all aimed at making the payment of wages more certain and secure, and at limiting creditors' rights to attach future earnings.

This code was consolidated into the Wages Protection and Contractors' Liens Act of 1908, which operated until it was superseded by the Wages Protection and Contractors' Liens Act 1939. The re-enactment is substantially the same as the 1908 Act except for the omission of several sections relating solely to wages protection, which were largely duplicated by the sections dealing with workers' liens.

Some of the more salient provisions of the Act, as it now operates, are set out below.

In the absence of any written agreement to the contrary, wages of manual workers are to be paid at intervals of not more than a week, and of other workers at intervals of not more than a month. The attachment of workers' wages for debt is prohibited except in the case of any surplus over £2 a week or when specific provision is made in any other Act for attachments on a lower minimum. Exceptions are made by the Child Welfare Act 1925, and the Destitute Persons Act 1910. The Coal Mines Amendment Act 1941 provides for deduction from wages, with the written consent of the employee, of sums towards repayment of principal or payment of interest, etc., in respect of advances by the mineowner to the worker for the purpose of acquiring a home. Section 210 of the Land and Income Tax Act 1954 provides for deduction of due amounts from the salary or wages of a taxpayer who has made default in the payment of income tax.

The Act prohibits payment of wages being made in goods (truck) or in any other way than in money or by approved cheque, and also prohibits any stipulation as to how the wages money is to be expended. The truck provisions do not, however, apply where the employer supplies house accommodation, board and lodging, fuel, medical assistance, materials, tools and the like required for the work, nor to seamen or farm workers.

A contractor, subcontractor, and any worker is entitled to obtain liens on the lands or chattels of the employer upon giving due notice, and the employer must then retain in his hands sufficient of the contract moneys to satisfy and guarantee payment of the claimant's dues, but the total amount recoverable may not exceed the amount due under the contract. In addition, the Act as amended in 1952 directs that the employer or contractor (where a subcontract is entered into) shall retain in his possession, whether or not he has received notice of any lien or charge, a percentage (10 per cent on the first £100,000, and 5 per cent on any amount in excess of £100,000) of so much of the contract price as has for the time being become immediately payable, until thirty-one days have elapsed after the completion of the contract.

In the matter of priority of liens and charges the order is as follows: (1) the claims of workers for wages not exceeding three months' wages and not exceeding £50; (2) the claims of workers for wages not included in the foregoing, and the claims of subcontractors; and (3) the claims of contractors. If notice of a lien or charge is not made before the completion of the contract or within thirty days of the completion, the claim will lose priority as against other claims of its own class, but will come before claims of the succeeding class.

All attachments or assignments granted by any employer or contractor are void against the charges or liens of subcontractors or workers for money due under the contract, except in the case of mortgages on land registered before the liens; in that case the mortgage has priority over the lien. If the mortgagee is a party to the contract, or if the mortgage secures any money that is advanced after notice of the lien has been given to the mortgagee, the lien has priority over the mortgage. If, in the case of the death or bankruptcy of a person entitled to a lien or charge, the debt secured by the lien or charge passes to any other person, the right to the lien or charge passes with it.

No deduction from workers' wages may be made for purposes of insurance against compensation for accident.

Liens to be imposed as security for miners' wages or earnings are dealt with under the Mining Act 1926, and the Coal Mines Act 1925.

Wages are further safeguarded by certain sections of the Bankruptcy Act, which give priority of payment for wages or salaries of workers (with certain limitations as to amount and period) in preference to certain other debts, and since the passing of the Bankruptcy Amendment Act 1927 wages take precedence over rents. Similarly, under the Companies Act, wages (with the same limitations as under the Bankruptcy Act) are a first claim on the assets of a company being wound up. Under the Workers' Compensation Amendment Act 1936, compensation payments rank with wages as a first charge on the assets of a bankrupt.

Various individual labour laws contain provisions with the special intent of protecting the payment of wages of the workers to whom such legislation applies.

STABILIZATION.—Stabilization as an explicitly stated object of policy came to the forefront early in the Second World War. It had long been realized that in wartime the normal supply or flow of goods would be restricted, particularly so in the case of imports, but also in some degree in the field of local production. This factor, reinforced by others such as the progressive withdrawal of elements of the labour force for service with the Armed Forces, changes in the extent and character of industrial activity and in the labour force generally, and the necessity of financing a costly war, would inevitably exert an upward pressure on the wage and price structures of the country. It was equally necessary to limit or confine upward movements in these structures in so far as this procedure could be made effective or practicable. Measures to this effect were authorized, evolving into a fairly comprehensive system of regulations covering the general fields of price control, wages stabilization, rent stabilization, direction of man-power, subsidies, etc. After the close of war some of these measures were dispensed with, while others were retained and relieved of their emergency status by further legislation.

While wages stabilization is the main theme of the following paragraphs, other aspects of stabilization will be found elsewhere in this issue (rents, Section 38G; prices, Section 36; and subsidies, Section 19).

The initial legislative step in the control of wages and remuneration was the gazetting of the Rates of Wages Emergency Regulations 1940, which with its amendments were revoked by the 1949 amendment to the Economic Stabilization Emergency Regulations 1942. The 1940 regulations provided that the Court of Arbitration from time to time, on application, might amend by general order the provisions of all awards and industrial agreements, but that in making such a general order the Court was to take into account certain economic conditions. As these qualifications were largely superseded by the Economic Stabilization Emergency Regulations issued in 1942, it will be more profitable to proceed to a survey of the latter.

In regard to the Economic Stabilization Emergency Regulations 1942, as subsequently amended up to and including the amendment of February 1949, the main features of importance may be summarized as follows. The regulations provided for the stabilization of all rates of wages and remuneration at the levels ruling on 15 November 1942. Basic rates of remuneration were defined as the actual rates as at 15 December 1942, or as determined by the Wages Commissioner or Commissioners (formerly Conciliation Commissioner) appointed under the regulations. These basic rates were not to be exceeded except with the approval of the Wages Commissioner, which might be granted wholly or in part on the following grounds:

  1. That the person was employed in any additional position, employment, duties, or work, or in work involving additional risk to life or health.

  2. That an increase was necessary for removal of anomalies.

  3. That when the basic rate was determined, remuneration was being paid at an abnormally low rate or no remuneration was being paid.

A special wartime price index was provided for the purpose of recording, as from 15 December 1942, any increase or reduction in the prices of such commodities and services (including rents) as the Minister of Industries and Commerce might direct. In the event of any movement, amounting to 2½ per cent initially and 5 per cent in subsequent variations in the general level of prices included in the wartime price index, the Court of Arbitration was enjoined to issue a general order adjusting rates of remuneration similarly, by an amount equivalent to the variation disclosed by the index. Apart from the adjustment of strictly defined anomalies, these regulations limited the powers of the Court in dealing with wages to the issue of general orders as outlined above. Any change specified in such a general order was also applicable to any case wherein the actual rate of remuneration exceeded that to which the worker was entitled under an award.

An important regulation, issued in 1944, provided that the Court, in exercising its functions in relation to the making or amendment of awards or apprenticeship orders, or in approving any industrial agreement, should have regard to the general purpose of the regulations. A similar provision covered applications for revised tool and special clothing allowances, etc. In determining award rates a clause, deleted in 1947, provided that no regard should be had to fluctuations in the cost of living. This factor came under those conditions to be taken into account in the making of general orders.

The February 1945 amendment gave the Court power to amend existing awards and agreements so as to adjust disparities in wage levels—i.e., to restore or preserve proper relationships with other rates of remuneration. Also in February 1945 the Court was empowered from time to time of its own motion or on application of any industrial union or association to make pronouncements specifying standard rates of wages for skilled, semi-skilled, and unskilled workers.

In June 1945 a further amendment to the regulations was issued, and in making any general order regarding wages the Court was required to take into account—

  1. The economic and financial conditions affecting trade and industry in New Zealand.

  2. Any rise or fall in the cost of living as indicated by the wartime price index since 15 December 1942.

  3. Any increase or reduction in rates of remuneration since 15 December 1942.

  4. Any other consideration that the Court deemed relevant.

Power to amend awards and industrial agreements during their currency in accordance with standard wage pronouncements, regard being paid to any increases made since 1945 and also to the balance with other rates, was given by the 1947 amendment to the regulations.

The Economic Stabilization Emergency Regulations 1942 were amended in several important respects in February 1949. This amendment revoked the Rates of Wages Emergency Regulations 1940 and subsequent amendments, and also amended the principal regulations chiefly in the following ways. To assist in the furtherance of the objects of stabilization generally, the regulations laid down that the Court should take into consideration the following conditions in making any pronouncement or general order:

  1. The general purpose of the regulations.

  2. Any rise or fall in retail prices as indicated by any index published by the Government Statistician.

  3. The economic conditions affecting finance, trade, and industry in New Zealand.

  4. Relative movements in the incomes of different sections of the community.

  5. All other considerations that the Court deemed relevant.

On application the Court could also amend, by general order, those provisions of all awards and industrial agreements for the time being in force which determined the rates of remuneration.

Provision was also made for a general order to be made on any application for a standard wage pronouncement, and vice versa. In either case no general order could be made to take effect, or any pronouncement be made, less than one year from the date of a previous order becoming effective or of a previous pronouncement having been made.

The condition (b) quoted above was substituted by the February 1949 amendment for the earlier one requiring an index of prices, known as the Wartime Price Index, to be prepared and published quarterly for the purposes of the regulations.

Most of the features outlined were similarly applicable to apprenticeship orders, except where these were already covered by reason of the fact that rates of remuneration of apprentices might in some cases be fixed as proportions of the rates fixed from time to time for journeymen.

In pursuance of the policy of stabilization, and probably indicative of its importance in the post-war era, the passing of the Economic Stabilization Act 1948 is of significance. The general purpose of this Act (as of former emergency regulations also) is to promote the economic stability of New Zealand. In addition to the administration of the Act the Minister of Industries and Commerce is charged with the general function of doing whatever is considered necessary for the general purpose of this Act, and in particular for the stabilization, control, and adjustment of prices of goods and services, rents, other costs, and rates of wages, salaries, and other incomes. Authority for the appointment of a Director of Stabilization was also given. The Act further provided for the establishment of the Economic Stabilization Commission with the principal function of making recommendations, after inquiry and investigation, in relation to the economic stabilization of New Zealand and the functions of the Minister under the Act. There are at present (February 1955) no appointed members of the Commission, its functions being discharged by the Minister in Charge of Stabilization, except that those functions of the Commission relating to the marketing and prices of primary products are now dealt with by the Marketing Advisory Council, which reports to the Minister of Agriculture.

By Order in Council, stabilization regulations may be made from time to time to give full effect to the provisions and administration of the Act, including regulations for all or any of the following purposes:

  1. Regulating the marketing of any goods or classes of goods for the general purpose of the Act.

  2. Equalizing, as far as possible, the net returns received or payable in respect of any goods or classes of goods, and for that purpose imposing levies on any goods or classes of goods.

  3. Recovery of subsidies paid out of public moneys in respect of any goods or classes of goods.

  4. Providing for the appointment of officers and committees and other bodies, and defining their functions and powers.

From the point of view of this Section it was of interest to note that certain of the Economic Stabilization Emergency Regulations 1942 (as summarized earlier) were continued in force as stabilization regulations. The necessary powers were also given enabling information required for the purposes of the Act or any stabilization regulation to be obtained, and also for the prescription of offences and penalties.

The 1942 emergency regulations were, however, revoked by the Economic Stabilization Regulations 1950, the general tenor of which is contained in the following paragraphs, together with any significant differences from the provisions of the earlier emergency regulations.

In exercising its powers in relation to the making or amendment of awards or apprenticeship orders, or the approval of industrial agreements, the Court of Arbitration was to have regard to the general purpose of the Economic Stabilization Act 1948. The former provision requiring it to have regard to a proper relationship between the rates of remuneration of different classes of workers was omitted, though, of course, this factor might form one of the considerations that could be taken into account by the Court. The control of maximum rates of remuneration was abolished, while the application of a general order to rates of remuneration paid in excess of award rates no longer became automatic.

The provisions as to standard wage pronouncements by the Court of Arbitration in the earlier emergency regulations were omitted from the 1950 stabilization regulations, although there was no restriction on the inherent power that the Court has always had to make such pronouncements at any time.

The Court was empowered to make general orders, of its own motion or on application, amending those provisions of all awards and industrial agreements in force relating to rates of remuneration. No general order made on application was to take effect less than one year after the date on which any previous general order had taken effect, but the Court could make a general order of its own motion at any time. The former provisions excluding special classes of workers from general orders, and application of such orders to apprentices, were retained, as was the provision requiring industrial agreements to be filed after first being approved by the Court.

In making a general order the conditions which the Court were required to take into account were substantially the same as those set out on page 956 under the 1942 regulations, except that condition (a) was worded “The general purpose of the Economic Stabilization Act 1948.” When fixing tool, clothing, and vehicle allowances the Court was to have regard to changes in costs.

A May 1950 amendment to the regulations made provision for the issue of an interim general order by the Court of its own motion, which for the purpose of determining the time at which any general order made on application was to take effect could be disregarded, although adjustment of rates in a final order was not retrospective in operation.

The 1950 regulations were revoked and replaced by the Economic Stabilization Regulations 1952, which came into force on 28 February 1952. These regulations, as affected by the December 1952 amendment, included the following provisions:

  1. The Court of Arbitration, for the purpose of making or amending awards, or apprenticeship orders, or of approval of any industrial agreement, was to have regard to the general purpose of the Economic Stabilization Act 1948; and when fixing tool, clothing, footwear, motor vehicle, or bicycle allowances was to have regard also to any increases or reduction in costs (inclusive of maintenance, replacement, etc., costs) of these items. This provision in its entirety was deleted by the December 1952 amendment to the regulations.

  2. No industrial agreement was to come into force until after having been approved and filed. This requirement was also deleted by the December 1952 amendment.

  3. The Court was enabled to make general orders amending the rates of remuneration in all awards and industrial agreements, either of its own motion or on the application of any industrial union or association of employers or workers for a general order or for a standard wage pronouncement. The Court might exclude from the scope of the general order such portion of the remuneration in each week of the workers affected by the order as exceeded an amount specified by the Court; this amount might be varied in the case of females and junior workers respectively.

  4. The Court was empowered to make pronouncements specifying standard rates of wages for skilled, semi-skilled, and unskilled workers, either of its own motion or on the application of any industrial union or association of employers or workers for a standard wage pronouncement or for a general order. Power was given to the Court to amend awards and industrial agreements to give effect to any standard wage pronouncement and to make the amendments retrospective to the date of the pronouncement.

  5. A general order might be made to take effect or a standard wage pronouncement might be made not less than six months after the date of any previous general order or standard wage pronouncement.

  6. Power was given to exclude any specified class or section of workers from the operation of a general order, or to amend provisions of any award or industrial agreement in relation to a standard wage pronouncement, in such cases due regard having been made to any increases in the rates of remuneration granted by the Court to the workers affected since the date of the last preceding order or pronouncement. Where the Court has exercised this power of its own motion it might subsequently on application, and within twenty-one days in that behalf, make such further order or amendment as it considered just and equitable in relation thereto.

  7. The conditions which the Court was required to take into account in making any general order or standard wage pronouncement were as follows:

    1. The general purpose of the Stabilization Act 1948:

    2. Any rise or fall in retail prices as indicated by any index published by the Government Statistician:

    3. The economic conditions affecting finance, trade, and industry in New Zealand:

    4. Relevant movements in the incomes of different sections of the community:

    5. All other considerations that the Court deemed relevant.

  8. Powers set out in relation to general orders and standard wage pronouncements were extended to apprenticeship orders, unless they applied automatically to any such orders by reason of the fact that rates of remuneration of apprentices were fixed by the apprenticeship order as proportions of the rates from time to time fixed for journeymen.

  9. The regulations provided that rates of remuneration by reference to which the scope of an award or industrial agreement was fired were to be automatically increased or reduced in conformity with any general order or standard wage pronouncement.

The 1952 regulations covered any application already made for a general order under the revoked regulations.

The Economic Stabilization Emergency Regulations 1952 were later amended so as to enable representatives of the parties bound by orders of the Government Service Tribunal, the Government Railways Industrial Tribunal, and the Waterfront Industry Tribunal, to appear and make submissions on the hearing by the Court of Arbitration of applications for general orders increasing or reducing rates of remuneration, or of applications for standard wage pronouncements.

With the revocation of the 1952 regulations by the issue in May 1953 of the Economic Stabilization Regulations 1953, certain changes in content, as outlined below, were made.

The principal features by which the 1953 regulations differ from those made in 1952 are (a) in the making of a general order the former specific provision requiring the Court of Arbitration to take into account the general purpose of the Economic Stabilization Act 1948 is omitted, and a new provision is inserted requiring the Court to take into account any increase or decrease in the volume and the value of production in primary and secondary industries of New Zealand; (b) the regulations no longer empower the Court to make standard wage pronouncements under these regulations, but the power to amend awards and industrial agreements to give effect to the pronouncement made on 12 July 1952 is continued.

The 1953 regulations provide as follows: the existing provision is repeated enabling the Court to make general orders amending the rates of remuneration in all awards and agreements, subject to the alterations made in the preceding paragraph; the existing provisions are repeated as to excluding special classes of workers from general orders, with the time for applying to the Court being extended from twenty-one days to twenty-eight days; the Court is enabled to amend awards and industrial agreements to give effect to the standard wage pronouncement of 12 July 1952, with power to make the amendments retrospective to 1 September 1952; the existing provisions as to the application of general orders to apprentices are repeated; and finally there is a provision that the rates of remuneration by reference to which the scope of an award or industrial agreement is fixed are to be automatically increased or reduced in conformity with any general order, and may be correspondingly increased in conformity with the standard wage pronouncement of 12 July 1952.

An amendment to these regulations made later in the month of May 1953 provided that the Court of Arbitration, in taking into account the prescribed matters in the making of a general order, is not to be restricted to events occurring since the date of the last standard wage pronouncement or general order, but may consider events that occurred before that date and events likely to occur in the future.

An amendment in September 1953 gave the Court a discretionary power to fix a date for the commencement of its general order before the date on which it is made, but not earlier than 15 September 1953; this regulation related to the application for a general order then pending in the Court of Arbitration.

38 D—LABOUR DISPUTES LEGISLATION

LABOUR DISPUTES.—Trade-unionists were early protected by the Trade Unions Act of 1878 from prosecution for conspiracy by reason merely that the purposes of the trade unions were in restraint of trade. They were further protected by the Conspiracy Law Amendment Act of 1894, which laid down that any act by a union in furtherance of a trade dispute should not be deemed unlawful so as to render such persons liable to criminal prosecution for conspiracy, if such act committed by one person would not be deemed unlawful. This removed a very serious handicap under which unionists up to that time had suffered.

Industrial Conciliation and Arbitration Act.—The original Industrial Conciliation and Arbitration Act was placed on the New Zealand statute-book in 1894. Its object was to encourage the formation of industrial unions and associations, and to facilitate the settlement of industrial disputes by conciliation and arbitration. It provided for the registration as “industrial unions” of societies of workers or employers in the various industrial districts, and as “industrial associations” of any council or other body representing any number of such unions; for the making of industrial agreements pursuant to the Act, and the filing of such in the Supreme Court; for the formation of industrial districts, the election of Boards of Conciliation, and the setting up of a Court of Arbitration.

In 1898 an amendment was passed empowering the Court in its awards to prescribe minimum rates of wages, with special provision for a lower rate to be paid in the case of workers unable to earn the prescribed minimum. An important amendment passed in 1903 prohibited any employer, worker, union of workers, or union of employers from taking proceedings to defeat any of the provisions of an award during its currency. It forbade an employer to dismiss any employee merely because he happened to be entitled to the benefit of an award or merely because he was a member of a union. Under the present law dismissal, or prejudicial alteration of position, of an employee who within the preceding twelve months had acted in any of certain specified capacities, or was entitled to or had claimed certain benefits, renders the employer liable to a penalty unless he proves that the dismissal or alteration of position was due to some other reason. An industrial union of workers may take action for a penalty in this connection.

By the 1905 amendment the constitution of Conciliation Boards was altered to provide for the appointment of four Conciliation Commissioners, whose duty it is to call together representatives of employers and employees in the event of a dispute arising, and to sit with these representatives as a Conciliation Council in an endeavour to effect a settlement. The decision of the Council is not binding, but disputes must be referred to a Council before they may be referred to the Court of Arbitration. A further amendment in 1911 provided that recommendations of Conciliation Councils become in effect industrial agreements if none of the parties to a dispute disagrees with such recommendations.

The law as it existed in 1954 was consolidated in that year, previous consolidations having been effected in 1900, 1905, 1908, and 1925.

In 1927 a Bill was introduced into Parliament to exclude from the jurisdiction of the Court of Arbitration the farming industry and certain associated industries. The Bill met with considerable opposition and was not proceeded with. However, an amending Act was passed which provided that no award relating to any agricultural, pastoral, or dairying operations, or to any other work effected on a farm, or to the manufacture or production of butter, cheese, or other milk products, should be made before 1 September 1928. The provisions of the amendment of 1927 were re-enacted in 1928, another amendment extending for twelve months the period during which awards in the industries mentioned were not to be made, and also providing that no awards in these industries were to be altered or amended in the meantime without the consent of all parties concerned. The provisions referred to lapsed on 1 September 1929.

A second amendment passed in 1928 permitted of industrial agreements and (with the consent of the parties concerned) awards being made for or extended to a term of five years. This amendment also allowed of an award or industrial agreement, in lieu of prescribing minimum rates of wages, prescribing a method or basis for calculating minimum rates.

As a result of depression conditions the Court was empowered by the Finance Act 1931 to amend, by general order, awards or industrial agreements in respect of rates of wages, though power was given for the exclusion of any class or section of workers from the operation of a general order. In the next year compulsory arbitration was abolished; conciliation was still compulsory, but disputes could be referred to the Court only by mutual consent. Provision was also made for the review of existing awards.

The Industrial Conciliation and Arbitration Amendment Act 1936 restored the full jurisdiction of the Court of Arbitration, and also made several other amendments. The more important of these, as amended in later years and incorporated in the consolidated Industrial Conciliation and Arbitration Act 1954, are summarized below:

A 1936 provision required the Court to fix basic wages for adult male workers based on the needs of a man, wife, and three children, and also a basic wage for adult female workers. It was to make general orders prescribing the basic wages which would apply to workers in any industry to which any award or industrial agreement related. These provisions were dropped from the 1954 Act as spent.

  • Restrictions are imposed on the formation of new unions in districts where a union in respect of the same industry exists; in fact, no such new union may be registered unless with the concurrence of the Minister of Labour. The concurrence of the Minister must similarly be obtained before any industrial union may alter its rules so as to include in its membership any employers or workers who could already properly belong to another existing industrial union or trade union.

  • Provision is made for the registration of New Zealand unions covering all existing workers or employers, if all or the majority of district unions concur. In cases where no district union exists a New Zealand union may be formed, subject to compliance with the requirements of the principal Act in respect of registration of unions. The existing membership of unions and associations in national organizations such as the Federation of Labour was validated in 1951, with the provision that, in future, applications to join or leave any such organizations are to be made only when approved by a secret postal ballot of the unionists concerned.

  • All workers who are subject to any award or industrial agreement registered under the Act must become members of a union. It is not lawful for an employer to employ or continue in employment, in any position or employment subject to an award or industrial agreement, any adult person who is not a member and has not been exempted from membership. Provision was made in 1951 for exemption from union membership on religious grounds if the applicant satisfies the Conscientious Objection Committee appointed under the Military Training Act 1949 that his religious objections are genuine, and on payment of the amount equal to the prescribed subscription to the Social Security Fund. An amendment passed in 1943 provides that, where a person who is obliged to become a member of a union fails to do so, he is deemed to have committed a breach of the award or industrial agreement to which his employment is subject, and is liable to a penalty not exceeding £5 in respect of every such breach. Non-members may, however, be employed in cases where union membership is limited and there are no union members available.

  • The Court may confer on union officials the right of entry on employers' premises.

  • In every award the Court shall fix the maximum hours of work per week (exclusive of overtime) at forty, unless the Court, after hearing representatives of employers and of workers, or affording them opportunity to be heard, is of the opinion that it would be impracticable to carry on efficiently the particular industry if the working hours were so limited. If impracticable the grounds for such decision are to be indicated in the award. Where hours are not more than forty, the Court is to endeavour to fix the daily working hours so that no part of the working period falls on a Saturday.

  • By the earlier Act the maximum weekly union subscription had been fixed at 1s. This limitation was removed in 1936, but provision was made in 1951 to the effect that rules requiring payment exceeding 1s. a week (raised to 2s. by the 1954 Act) shall not be valid unless adopted by a majority of the votes at a secret postal ballot of the financial members. A similar proviso has been in force since 1951 in respect of the payment of levies.

The principal Act provides for the permissible appointment of an additional Judge and of a temporary Judge of the Court of Arbitration.

The administration of the Industrial Conciliation and Arbitration Act is in the hands of the Department of Labour, and Inspectors of Factories are charged with the duty of seeing that the provisions of awards and agreements are carried out. The following paragraphs indicate the procedure followed in regard to industrial disputes under the Act:

  • An industrial union (or association of unions) of workers registered under the Act may cite a union or association of unions of employers, or an employer, or a number of employers, before a Council of Conciliation for the hearing of an industrial dispute before a Commissioner and assessors appointed from either side.

  • An industrial union (or association of unions) of employers registered under the Act, or an individual employer, or employers, may cite a union of workers in a similar manner. The workers may compel any of their employers to come under the Act; but the employers cannot compel their workers to come under it unless the latter have registered as an industrial union or association thereunder; registration is voluntary.

  • If a settlement of a dispute is arrived at by the parties in the course of an inquiry held before a Council of Conciliation, the terms of the settlement are set forth as an industrial agreement. Applications for exemption from the terms of the agreement must be made within one month after it has been filed. The Court is empowered to grant or to refuse such applications. Where an agreement applies to the employers employing the majority of workers in the industry to which it relates, the agreement may be made binding on all employers, whether parties or not.

  • Every such agreement must be executed on behalf of the parties by the assessors representing the parties. If settlement cannot be arrived at before the Conciliation Council the matter is referred to the Court. The Council may at the same time submit a recommendation for the settlement of the dispute; whereupon the parties are notified of such recommendation, and if acceptable to them the recommendation is made an industrial agreement; failing agreement the matter is referred to the Court.

  • If a dispute comes before the Court, argument is heard upon the matters in debate, and the Court then makes its award, which becomes binding upon the employers specified in the award, upon any employers commencing business in the district subsequently to the date of the award, and upon all persons working for such employers. In all cases where an industrial agreement or accepted recommendation or award is filed, it becomes binding on all the parties. When an award or industrial agreement has been filed, a strike or lockout becomes unlawful. Unless the parties otherwise agree rates of wages specified in an award shall have effect from two months after the date first appointed for the hearing by the Conciliation Council, or where two or more districts are affected, four months after this date, or as from the date of the making of the award, whichever is the earlier, or as from such other date as the Court in its discretion thinks fit after taking into consideration all relevant matters.

  • No industrial dispute shall be referred for settlement to a Council of Conciliation by an industrial union (or association of unions) unless the proposed reference has been approved by resolution by the committee of management of the union or of each of the unions concerned, as the case may be.

  • Where an application has been made to a Conciliation Commissioner for the hearing of an industrial dispute by a Council of Conciliation the claims made by the applicant may be amended or withdrawn at any time, whether before or during the hearing. Where any industrial dispute has been referred to the Court for settlement, or any application has been made to the Court under the principal Act, the reference or application may be withdrawn by the applicants at any time, whether before or during the hearing.

The Minister of Labour is empowered, if he is satisfied that any discontinuance of employment brought about wholly or partly by any industrial union of employers or of workers has caused, or is likely to cause, serious loss or inconvenience, to cancel the registration of the union concerned or to cancel any award or industrial agreement so far as this relates to it.

The time within which action may be commenced for recovery of arrears of wages payable under an award or industrial agreement is two years.

The rules of an industrial union must provide for the election of officers by secret ballot, while the Registrar is empowered to refuse to record any rule or amendment on the ground that it is unreasonable or oppressive (the decision may be the subject of an appeal); other provisions relate to disputed elections in unions.

In 1951 provision was made in any award or industrial agreement to the effect that any party to a dispute on a matter arising out of the award or agreement but not specifically dealt with therein may require the appointment of a Local Disputes Committee, which will have power to decide the dispute or to refer it to a Conciliation Commissioner. The latter in his discretion can refer the dispute either to a National Disputes Committee, which may be appointed where any award relates to two or more industrial districts or parts thereof, or to the Court of Arbitration. Appeals against the decisions of the Disputes Committees may be made to the Court of Arbitration.

Where a majority of the workers affected by any industrial dispute under the principal Act are Hospital Board employees, the Director-General of Health is to be a party to the dispute and is to recommend assessors for the employers in the conciliation proceedings. Other sections provide that an award is not to be made affecting Hospital employees now affected by regulations unless a majority votes in favour of an award, and for the concurrence of the Minister of Health with industrial agreements in similar circumstances.

Definitions of the terms strike and lockout are given in the Act (which apply also for the purposes of the Labour Disputes Investigation Act 1913). A strike means the act of any number of workers, who are or have been in the employment of the same or of different employers—

  1. In discontinuing that employment, whether wholly or partially; or

  2. In breaking their contracts of service; or

  3. In refusing or failing after any such discontinuance to resume or return to their employment; or

  4. In refusing or failing to accept engagement for any work in which they are usually employed; or

  5. In reducing their normal output or their normal rate of work—the act being due to any combination, agreement, common understanding, or concerted action, whether express or implied, made or entered into by any workers—

  6. With intent to compel or induce any such employer to agree to terms of employment or comply with any demands made by the said or any other workers; or

  7. With intent to cause loss or inconvenience to any such employer in the conduct of his business; or

  8. With intent to incite, aid, abet, instigate, or procure any other strike; or

  9. With intent to assist workers in the employment of any other employer to compel or induce that employer to agree to terms of employment or comply with any demands upon him by any workers.

A lockout means the act of an employer—

  1. In closing his place of business, or suspending or discontinuing his business in any branch thereof; or

  2. In discontinuing the employment of any workers, whether wholly or partially; or

  3. In breaking his contracts of service; or

  4. In refusing or failing to engage workers for any work for which he usually employs workers—with intent—

  5. To compel or induce any workers to agree to terms of employment or comply with any demands made upon them by the said or any other employer; or

  6. To cause loss or inconvenience to the workers employed by him or to any of them; or

  7. To incite, aid, abet, instigate, or procure any other lockout; or

  8. To assist any other employer to compel or induce any workers to agree to terms of employment or comply with any demands made by him.

An industrial dispute is a strike if it comes within the definition of a strike which is quoted above. It is in addition an unlawful strike if either—

  1. The union or the workers taking part in it are for the time being bound by an award or industrial agreement under the Industrial Conciliation and Arbitration Act 1954, or by a duly filed agreement under the Labour Disputes Investigation Act 1913, or by any Principal Order under the Waterfront Industry Act 1953; or

  2. The workers taking part in it are employed in any of the industries specified in section 196 of the Industrial Conciliation and Arbitration Act 1954, and the strike takes place without those workers having given to the employer, within one month before striking, not less than fourteen days' notice in writing signed by them of their intention to strike or before the expiry of any such notice; or

  3. In the case of a dispute relating to conditions of employment between a society of workers to which the Labour Disputes Investigation Act 1913 applies, but who are not bound by any duly filed agreement under the Act, they have failed to give notice of the dispute to the Minister of Labour as required by section 4 of that Act, or if the strike occurs before the expiration of seven days after the publication of the result of a secret ballot of the workers directly concerned taken in pursuance of the Act.

Further, a strike which would not be unlawful for any of these reasons may be or become unlawful by the operation of regulations to that effect made under the Public Safety Conservation Act 1932, during a state of emergency declared by proclamation of the Governor-General in accordance with the provisions of that Act. See page 949 for an illustration of circumstances in which the Public Safety Conservation Act has been invoked.

Maximum penalties and fines for being a party to or inciting, instigating, or aiding an unlawful strike or lockout are also provided for—namely, (a) for a worker, £50 or (in the case of certain essential industries) £75; (b) for a union official, £250 or £350; (c) for a union or association or employer, £500 or £750. The maximum penalty for impeding or interfering with a secret ballot on the question of a strike or lockout is imprisonment for twelve months or a fine of £100, or both.

The taking of a secret ballot by every industrial union of workers or of employers on questions relating to strikes and lockouts has been supplemented by making the union liable as having instigated any strike or lockout that takes place without a secret ballot having first been taken. The penalty in such a case is a fine not exceeding £100 for every member of the union taking part in a strike, and every official of the union a fine of £500 unless he proves that he had no means of knowing the imminence of the strike or that he took every step possible to ensure compliance with the provision and to prevent the strike. Corresponding maximum penalties in respect of a lockout are £1,000 for a member of the union and £500 for an official.

Labour Disputes Investigation Act.—Machinery for dealing with all disputes to which the Industrial Conciliation and Arbitration Act does not relate is contained in the Labour Disputes Investigation Act 1913.

Under this Act, if a dispute concerning wages or other conditions of employment arises between a society (or societies) of workers, whether registered or not, that is not bound by any award or industrial agreement and its employers, the society must, before it may strike, give to the Minister of Labour formal notice of the dispute, setting forth the names of the parties to the dispute and the claims made by the society. The Minister then refers the dispute to a Conciliation Commissioner to call a conference, or to a Labour Disputes Committee for investigation and recommendation. Such a committee consists of from one to three members chosen from each side, with an independent chairman. In the event of no settlement being arrived at, a secret ballot is taken by the Registrar of Industrial Unions among the members of the society as to whether, in the case of no recommendation having been made, a strike should eventuate; or, in the case of a recommendation having been made, as to whether the recommendation should be adopted. Seven days' notice must be given to the employers should a strike be decided upon.

Similar provisions apply with reference to the filing of a dispute and to a lockout by the employers.

In the event of an agreement being arrived at, it may be filed with the Clerk of Awards. It is then enforceable in the same manner as an industrial agreement under the Industrial Conciliation and Arbitration Act.

By this Act the principle of settlement of industrial disputes by conciliation and arbitration is extended to workers outside the scope of the Court of Arbitration, so that definite restrictions on the right to strike or to lockout exist over the whole field of industry in New Zealand. The powers under this Act are not, of course, as far reaching as those under the Industrial Conciliation and Arbitration Act, its main object being that workers or employers should take time for consideration of the points at issue and not precipitate themselves into industrial strife.

Industrial Relations Act 1949.—This measure contains a section enabling a Conciliation Commissioner or a person nominated by the Minister to call a compulsory conference of parties where there is reason to believe that a matter not provided for in the award or industrial agreement governing the industry is causing or is likely to cause industrial unrest.

38 E—APPRENTICESHIP AND TRADES CERTIFICATION LEGISLATION

APPRENTICESHIP LEGISLATION.—The statutory regulation of apprenticeship goes back as far as 1865, when a Masters and Apprentices Act was passed which provided for indentures of apprenticeship binding children above twelve years of age to farmers, tradesmen, and artisans for a term not exceeding five years. Every indenture was to contain a covenant on the part of the master that he would provide the apprentice with suitable food, clothing, and bedding, give particular attention to his morals, and pay certain sums into the savings bank for him after his apprenticeship had exceeded two years. The Act was thus obviously framed with a view to providing for the welfare of orphans and destitute children.

Another Act was passed in 1875 which made provision for the apprenticing of boys to Government Departments for a term of not less than three nor more than seven years. The Departments made available in the first instance were the Government Printing Office and the Railway Workshops. Wages were to be paid, no provision was made for board, and the Act was clearly intended primarily to meet the case of boys whose parents were alive.

The Master and Apprentice Act of 1908 consolidated the above two Acts into an Act of two Parts, but made no essential change.

A Master and Apprentice Amendment Act was passed in 1920 with a view to facilitating the apprenticing of immigrant or New Zealand boys between the ages of fifteen and nineteen to the occupation of farming until they were twenty years of age. Part I of the principal Act of 1908 (dealing with the relations between master and apprentice) was to apply with some slight modifications.

Until 1923 no legislation was passed to make special provision for the apprentice who worked by the day for the private employer.* His case was regulated by the laws of England in so far as they were applicable to New Zealand, and by such provisions in regard to apprenticeship as the Court of Arbitration might have included in its awards. The Apprentices Act of 1923 was a landmark, in so far as it provided an elaborate administrative machinery to safeguard the interests of apprentices.

The Act stated that from time to time the Court of Arbitration should make orders regulating the wages, hours, and conditions of apprenticeship, the proportion of apprentices to journeymen that might be employed in any industry, the period of apprenticeship, and the minimum age of apprentices. It might also require employers to engage such number of apprentices as the Court might consider necessary to ensure an adequate supply of journeymen in the interests of the industry, order the transfer of an apprentice from one employer to another, order the attendance of any apprentice at a technical school or training establishment, prohibit any employer from employing an apprentice, enter the premises where an apprentice was employed in order to inquire into his welfare, and exercise a number of other powers. The Act applied to male apprentices only. Provision was made for the modification of apprenticeship conditions in the case of adults or of persons who were already partly trained. It also made provision for registration of every contract of apprenticeship and for the setting-up of Apprenticeship Committees.

The Secretary for Labour was to act as Registrar of Apprentices, and any Inspector of Factories might be appointed a District Registrar of Apprentices. Apart from registering contracts, these Registrars were to have the duty of ensuring that the Act was complied with, and they were to take proceedings for every breach of an apprenticeship contract. They were also given considerable scope for developing a system of vocational guidance, in so far as they were given powers to demand reports from the head teacher of any school as to the attainments and qualities of any child.

An amending Act of 1927 cancelled the power of the Court of Arbitration to determine the proportion of apprentices to journeymen that might be employed in any industry, while the amending Act of 1930 made some improvements in administration, dealt with the case of the unsatisfactory apprentice, and brought in further protective regulations. If an apprentice proved unsatisfactory, the employer might apply to the appropriate Apprenticeship Committee for the right to discharge him. The employer or the apprentice might appeal against this decision to a Stipendiary Magistrate. The interests of the apprentice were protected by regulations safeguarding his wages in the event of the employer's bankruptcy. The employer was to keep a wages and time book, and a copy of the apprenticeship order was to be affixed in a place where it might be easily read by the apprentice.

* The Shipping and Seamen Act of 1903 included some sections regulating the apprenticing of boys to ships.

The economic depression had an unfavourable effect on the apprenticeship system. The Finance Act of 1931 conferred power on the Court of Arbitration to vary the rates of remuneration payable under apprenticeship orders (though such a variation was not to apply to any contract of apprenticeship then in force). The Finance Act of 1932 stated that either party to an apprenticeship contract might apply to a Stipendiary Magistrate to have the contract of apprenticeship amended, cancelled, or suspended. If the Magistrate was satisfied that, owing to the economic conditions affecting the industry concerned or the particular business of the employer, the employer could not reasonably be expected to carry out the terms of his contract, he might cancel the contract.

The economic depression and its attendant legislation had thus considerably lessened the security and remuneration of the apprentice. The Finance Act of 1936 restored the rates of remuneration to the 1931 level and repealed the provision of the 1932 Finance Act in respect of the cancellation of apprenticeship contracts. Section 7 of the Statutes Amendment Act of the same year made partial provision for those whose contracts had been cancelled, in so far as it stated that any person of eighteen years or over might, with the approval of the Minister of Labour, enter into a special contract of apprenticeship with an employer.

The Second World War raised two new problems: that of the apprentice absent on military service for short periods, and the need for increasing production in certain industries, irrespective of whether they were carried on in private or public undertakings. Hence the Suspension of Apprenticeship Emergency Regulations, issued in 1939 and subsequently renewed, which provided that if apprentices were away on military service and returned within a period of six months the period of absence should be regarded as time served under the apprenticeship contract. Section 52 of the Statutes Amendment Act of 1941 permitted the temporary transfer of an apprentice from Government to private employment and vice versa, subject to the consent of the apprentice and his parent.

The Suspension of Apprenticeship Emergency Regulations 1944 revoked the previous suspension orders, and made provision for apprenticeships which were deemed to be suspended as a result of military service to be revived within a period of six months of the termination of such service. Where a contract of apprenticeship was revived in accordance with these regulations, the term of the contract was to continue for the unexpired period as at the date of suspension, or for three years, whichever was the lesser period. The apprentice could, however, be credited with any period of his military service during which he performed trade work of the same class, or of a class related to that to which he was apprenticed.

Other provisions dealt with the wages payable under these revived contracts, special reference being made to cases in which the apprentice had reached the age of twenty-one years or whose term of apprenticeship as prescribed by the contract had expired. Limitations contained in any Act, award, apprenticeship order, or agreement as to the age or number of apprentices, or the proportion of apprentices to journeymen, were deemed to have no application to such revived contracts. These regulations were revoked by the Military Training Act 1949, which also made appropriate provision safeguarding the position of apprentices fulfilling their obligations under that Act.

The Apprentices Amendment Act 1946, which came into force on 1 January 1947, was the legislative consequence of the report of the Commission of Inquiry into apprenticeship and related matters set up in 1944. This Act made widespread changes in the traditional apprenticeship system of the country. In the first place it made provision for the appointment of a Commissioner of Apprenticeship and of four District Commissioners, who were to take over the functions of the District Registrars of Apprentices under the original Act. In industries where there are organizations of employers and workers, these organizations may agree to set up New Zealand Apprenticeship Committees, which may be registered in the usual way. These New Zealand Committees, which operate in addition to the existing “local" Committees, have a number of functions, which, broadly, may be described as to supervise the flow of youths into the skilled trades, to apply to the Court of Arbitration for apprenticeship orders, to ensure proper training of apprentices, to consider whether it is practicable and desirable to introduce educational training during normal working hours, and to consider the question of a practical test for each apprentice before the completion of his apprenticeship. The Act provided that certain powers of the Court of Arbitration in respect of apprentices may be delegated by it, partly to local Committees and partly to New Zealand Committees. From the date of the commencement of the Act no apprenticeship orders may be made in respect only of a specified locality, but must be made in respect of each industry or branch of industry for the whole of New Zealand.

In making apprenticeship orders the Court of Arbitration is empowered to apply the conditions of awards for the industry to apprentices, and to determine the wages of apprentices by reference to those of journeymen in the industry. While the Economic Stabilization Regulations 1952 originally required the Court of Arbitration, in exercising its powers and functions in relation to the making of apprenticeship orders, to have regard to the general purpose of the Economic Stabilization Act 1948, this requirement was deleted by the December 1952 amendment. The Court may, in an order, require an employer to pay to an apprentice wages for time taken during the day to attend a technical school, and may shorten the period of apprenticeship in the event of an apprentice obtaining a special qualification. On the making of a new order all contracts in force at the time are to be read subject to the new order and to be deemed modified by it. The hours of apprentices under eighteen years of age are limited to forty per week and eight per day, and, where shift-work is involved, between 7 a.m. and 6 p.m. These limits may be exceeded if an apprenticeship order provides for the working of overtime by apprentices under eighteen years of age. Regulations may be made providing for the payment to any apprentice who is obliged to live away from home of amounts by way of lodging allowance. Such allowances are to be paid out of moneys appropriated by Parliament for the purpose.

The Court may also make apprenticeship orders in respect of females, and, in that event, the Act applies to such females.

An important provision contained in the amendment was that requiring the previous consent of the appropriate Committee before a contract of apprenticeship is entered into. The provision for apprenticeship of persons of eighteen years or over contained in section 7 of the Statutes Amendment Act 1936 was repealed, and such apprenticeships may now be entered into subject to the approval of the Court of Arbitration, to which any proposed contract must be submitted together with the recommendations of the District Commissioner or the local Committee. Where any employer is considered not to be able to provide adequate training, a local Committee or District Commissioner may transfer his apprentice to another employer who is willing and able to undertake the obligations of the original employer, notwithstanding that the second employer's proportion of apprentices to journeymen would thereby be exceeded. If in such a case no employer to whom the apprentice might be transferred can be found, the Court may, with the consent of the appropriate Minister, transfer him to a State Department.

In 1948 the opportunity was taken to re-enact the provisions of the Apprentices Act 1923 and its amendments by the passing of a consolidating and amending measure entitled the Apprentices Act 1948. This Act incorporated the widespread changes in the traditional apprenticeship system which were brought into being by the 1946 amendment referred to earlier. More modern forms of words were employed in the new legislation, and the clauses were arranged in a more logical sequence. The principles of the existing legislation, however, were not altered although some slight amendments, which are described below, were made. The 1948 Act also repealed the Master and Apprentice Act 1908 and the Apprentices Act 1923.

In the 1948 legislation the term “industry" was redefined so as to correspond with that given in the Industrial Conciliation and Arbitration Act 1925.

A series of minor amendments covers the constitution of the Apprenticeship Committees. Where the Committee is appointed in respect of a group of industries it is to consist of four representatives of employers and four representatives of workers. Other clauses limit the term of office of members of Committees to three years, provide for a quorum and for the replacement of members who die or resign, and further authorize a Committee to delegate its powers of inspection to two non-members of the Committee, where it would be inconvenient for members to exercise those powers.

Additional provisions contained in the 1948 Act state that contracts of apprenticeship shall have no validity until consent is given in accordance with the Act; define the procedure when an apprentice is transferred; amplify the law applicable when an apprentice loses his employment through the insolvency of his employer; afford a parent or guardian an opportunity of being heard when an application is made to discharge an apprentice; and provide for notice to be given to the appropriate Committee, in the event of an appeal against the granting or refusal of leave to discharge an apprentice.

Moneys due under a contract of apprenticeship may be recovered in the same manner generally as that provided in respect of recovery of wages in the Industrial Conciliation and Arbitration Act 1954. Proceedings for breaches of the Act may be taken by an Inspector of Factories.

The number of apprenticeship contracts registered and completed during recent years, together with the number in force at the end of the March year, will be found in Section 39, Employment and Unemployment, of this issue.

TRADES CERTIFICATION.—The Trades Certification Act 1948 provided for the establishment of the New Zealand Trades Certification Board, consisting of the following members:

  1. Three persons to be appointed on the recommendation of the Director of Education, one of the three to be appointed as Chairman of the Board on the Director's recommendation:

  2. Two persons to be nominated by the New Zealand Employers' Federation and two by the New Zealand Federation of Labour:

  3. Two persons to be nominated by the New Zealand Technical School Teachers' Association and one by the Technical Education Association:

  4. The person for the time being holding the office of Commissioner of Apprenticeship:

  5. Three other persons, one of whom is to be nominated by the New Zealand Electrical Wiremen's Registration Board, one by the New Zealand Motor Trade Certification Board, and one by the Plumbers' Board of New Zealand:

  6. Additional members of whom one shall be nominated by each other authority which conducts examinations and issues certificates for the whole of New Zealand in connection with a particular trade or trades, and which the Board recommends should be represented on the Board for the time being.

The members of the Board, other than the Commissioner of Apprenticeship, are to be appointed by the Minister of Education for a term of three years. Provision is made for reappointments, removals from office, etc.

The functions of the Board are to make provision for the examination of persons practising or intending to practise any trade who desire from time to time to present themselves for examination, and, secondly, to grant or issue, either independently or in conjunction with any other examining body, diplomas or certificates to any such persons in recognition of proficiency in any trade, or in any art, science, or matter relating to any trade.

The Board may also (a) co-opt if necessary any person or persons for advice in connection with any trade; (b) make representations to the appropriate New Zealand Apprenticeship Committee in regard to the pre-requisite education for apprentices wishing to enter any industry, or in regard to other educational matters affecting apprentices; appoint, with approval of the Minister, Advisory or Technical Committees to advise the Board on such matters within the scope of its powers and functions as are referred to them by the Board, and appoint any person to be a member of such a Committee even if he is not a member of the Board; and, in addition, charge fees for entry for any examination.

Payments incurred for the expenses of the Board and for administration generally are paid from the proceeds from fees and otherwise, and where the amounts from such sources are insufficient, the deficiency is to be met from the annual vote for the Department of Education.

The number of candidates over a five-year period sitting for trades certification examinations is given on page 155 of this Year-Book.

38 F—WORKERS' COMPENSATION; EMPLOYMENT AND UNEMPLOYMENT LEGISLATION

WORKERS' COMPENSATION.—Common-law rights of the worker in respect of compensation were early increased by the Employers Liability Act of 1882; while the Deaths by Accidents Compensation Act 1908 gave a right of action which did not previously exist at common law to certain of the relatives of a person killed by a wrongful act. The 1950 amendment to this latter Act extended the limitation period for actions (other than those against the Crown and public and local authorities) from one year to two years and enables the Court to extend the period to six years.

The Law Reform Act of 1936 contained several provisions of particular relevance to the subject of workers' compensation. The Act, inter alia, created a charge on all insurance moneys payable as indemnity for compensation, and made the charge apply immediately on the happening of the event giving rise to the claim. Similar provisions (now repealed) existed in the Workers' Compensation Act 1922, but under that Act no charge was created unless the insured was insolvent or became bankrupt. The Workers' Compensation Amendment Act 1943 made it obligatory on the part of an employer to insure against his liability under the principal Act unless he was able to satisfy the Compensation Court that he had adequate financial resources to meet all probable claims. Another provision of particular interest in the Law Reform Act 1936 was the abolition of the defence of “common employment,” which defence depended on a rule that damages could not be recovered from an employer in respect of the negligence of a fellow-servant. A similar provision in the Workers' Compensation Act (but with a limit of £1,000 damages) was consequentially repealed.

The Contributory Negligence Act 1947 is also of relevance to the question of workers' compensation. This Act provides for an apportionment of damages where a person suffering damage has himself been guilty of contributory negligence. Section 4 makes appropriate provisions in the case of claims by workers against employers. The Act was amended by section 4 of the Statutes Amendment Act 1948, which removed any possible doubt by expressly stating that the principal Act was to bind the Crown.

The Workers' Compensation Act 1922, with its amendments of 1922, 1926, 1936, 1938 (Statutes Amendment Act), 1943, 1944 (Statutes Amendment Act), 1945, 1947, 1948 (Statutes Amendment Act), and 1949 to 1954, represents the existing law on workers' compensation—subject to the provisions briefly outlined in the preceding paragraphs. The 1936 amendment, which came into force on 1 January 1937, contained several important amendments to the previous legislation. The definition of “worker" was extended to include share-farmers and drivers of vehicles who receive a share in the takings as payment for their services, or who pay a fixed sum for the hire of the vehicle (other than under the terms of a hire-purchase agreement). While a share-farmer now comes within the provisions of the Act, he is still regarded as the employer in respect of persons employed by him. The 1953 amendment extends the scope of the Act to include salesmen, canvassers, collectors, insurance agents, and other persons paid wholly or partly by commission, whether the relationship of master and servant exists or not, unless the commission is received in connection with a trade or business carried on by the recipient.

The 1936 amendment contains a provision whereby claims for compensation rank equally with wages in the distribution of the assets of a bankrupt.

“Worker,” for purposes of the Workers' Compensation Act, means any person who has entered into, or works under, a contract of service or apprenticeship with an employer, whether by way of annual labour, clerical work, or otherwise, and whether remunerated by wages, salary, or otherwise. Prior to the commencement of the amending Act of 1945, non-manual workers whose remuneration exceeded £400 per annum were not covered, but this disqualification has now been removed, and all workers (manual and non-manual) are now afforded the protection of the Act, irrespective of the amount of remuneration. By section 61 of the Statutes Amendment Act 1949 the Workers' Compensation Act 1922 applies to the employment of any worker in any occupation, whether or not the employment is in, or for the purposes of, any trade or business carried on by the employer, and whether or not the employment is of a casual nature. For purposes of this provision an employer may have more than one trade or business. In general, persons working as independent contractors are not under contracts of service or apprenticeship, and are consequently not “workers.” But by way of exception, persons who have contracted to perform any work in a gold or coal mine, or to cut standing timber or scrub, or to clear land of stumps or logs, and who do not sublet the contract or employ labour (or who, if they do employ labour, actually perform part of the work themselves), though not “workers,” are yet covered by the Act.

The worker is not entitled to compensation unless he sustains by accident arising out of and in the course of his employment, and happening within New Zealand or on a New Zealand ship or aircraft, personal injury incapacitating him from carrying on his occupation. The Workers' Compensation Amendment Act 1947, replacing largely similar provisions in the 1943 amendment, provides that, where an accident causing personal injury occurs while travelling to or from work by a means of transport provided by the employer primarily for the purpose of conveying workers in his employment, or expressly or impliedly authorized by him, such accident shall be deemed to arise out of and in the course of the employment. The Act also applies in cases where an employer has arranged with the worker or appropriate union for the transportation of the worker and has paid or is liable to pay for his fare or cost of carriage. No compensation is payable in respect of any accident as above defined which is attributable to the serious and wilful misconduct of the worker injured, unless the injury results in death or serious and permanent disablement. No compensation is payable in respect of the death of a worker following on, or incapacity resulting from or aggravated by, unreasonable refusal to submit to medical or surgical treatment.

Diseases are deemed to be personal injuries by accident if they arise within twelve months previous to the date of disablement and are due to the nature of the employment. If the worker contracts any disease in respect of which he would be entitled to a miner's benefit under the Social Security Act 1938 he is not entitled to receive any compensation under the principal Act while receiving such benefit. Nor can a benefit be paid for any period during which the worker is receiving compensation, and no lump-sum compensation is to be paid for any incapacity caused by such diseases.

Generally speaking, the employer is the person liable to pay compensation; and for this purpose “employer" includes any body of persons, corporate or unincorporate, the Crown (with certain minor exceptions), and the representatives of a deceased employer. Where a person (the principal), in the course of and for the purposes of his trade or business, contracts with another (the contractor) for the execution by the latter of work undertaken by the former, a workman employed by the contractor on meeting with an accident may claim compensation from either the principal or the contractor, except in certain cases. If the principal pays, he may, however (with certain minor exceptions), recover the amount from the contractor. The 1943 amendment introduced the principle of compulsory insurance, all employers being required to insure against their liability in relation to workers' compensation under the Act. Exceptions may be made where the Court is satisfied that the employers have adequate financial resources to meet all probable claims and that their workers can be given indemnities as great as those provided by employers not so exempted. The principal is not liable unless the accident occurs on or about his land, premises, or ship; or on or about land, premises, or ship on or in which the principal has contracted to do the work in connection with which the accident happens. Provision was made in the 1947 amendment for the principal Act to apply to any accident which happens to an airman employed on a New Zealand aircraft in any employment covered by the Act, whether the accident happens in New Zealand or elsewhere, or on board the aircraft or elsewhere. Where the injury for which compensation is payable has resulted under circumstances creating a legal liability in some person other than the employer to pay damages in respect thereof, the person by whom the compensation is paid or payable is entitled to indemnification by the person so liable.

The Workers' Compensation Amendment Act 1947 is also of importance by virtue of its provisions relating to employers' indemnity. Under section 6 of the amendment, workers' compensation insurance became, with certain exceptions, a monopoly of the Branch of the State Fire Insurance Office known as the Government Accident Insurance Office. By the Act an automatic indemnity was provided for every employer who employed a worker or workers to whom the principal Act applied, while it also provided for the compulsory payment of premiums by employers. Other sections included in the amendment relate to accident prevention and the occupational training of seriously disabled workers.

The 1950 amendment, however, restored the right of insurance companies to undertake, as from 1 April 1951, employer's liability insurance. It is still compulsory for every employer to insure against his liability in this respect unless exempted by the Secretary of Labour. Employers with adequate financial resources to carry their own insurance, Commonwealth shipping companies indemnified by United Kingdom mutual protecting clubs, and those whose workers are domiciled outside New Zealand and are adequately protected by insurance enforceable in the country of their domicile or in the country where they were engaged, may be completely or partially exempted, though they are exempted only in respect of those who are members or eligible to become members or be insured according to the rules of the company concerned. The 1951 (No. 2) amendment exempted the National Airways Corporation and the Linen Flax Corporation from the provisions of employers' liability insurance. The 1953 amendment enables employers of casual or intermittent labour to be insured throughout the year by the delivery of a wage statement to an authorized insurer in accordance with the provisions of the Act. The effect of a further section is that if a person ceases to be an employer and again becomes an employer during the same financial year, he will be indemnified by his former insurer and not by the Workers' Compensation Board.

Maximum rates of premiums are provided for in regulations which may be made from time to time. The 1950 amendment, altered in 1952, provides that an employer must give notice to his insurer of every accident and claim for compensation; that the employer must not settle a claim or admit liability without the consent in writing of the insurer; for the voluntary insurance of a worker who is the husband or wife of the employer, or is not required to be covered by insurance, or is employed without wages or at reduced wages; and that an employer who makes default in insuring within the time provided (one month after assessment) will be indemnified by the Workers' Compensation Board, and be required to insure with an authorized insurer and pay the premiums for the whole of the current year.

The Workers' Compensation Board, consisting of the State Fire Insurance General Manager and one other Government representative, two representatives of the Council of Fire and Accident Insurance Underwriters' Associations of New Zealand, one employers' representative, and one workers' representative, was also established by the 1950 amendment to the principal Act. The functions of the Board include recommending the maximum rates of premiums and rates of commission for insurance agents, administering the Workers' Compensation Account established by the same amendment, undertaking and assisting accident prevention, research into causes, incidence, and prevention of accidents, and the care and assistance of injured workers. By the 1954 amendment the Board is empowered to establish special funds and reserves.

Penal rates of premiums, up to 25 per cent in excess of the prescribed maximum rates, may be imposed by the Workers' Compensation Board in cases where the risk is unusually great.

Employers are required to keep records of wages paid and time worked, while the production of books and the furnishing of information to insurers or to the Board is also allowed for in the Act.

The Workers' Compensation Amendment Acts of 1926, 1936, 1947, and 1949 to 1953, amended the Act of 1922 in the direction of raising the limits of compensation. The 1953 amendment provided that any future changes in the minimum or maximum amounts of compensation, or in the minimum or maximum weekly payments for total incapacity, were to be made by Order in Council. Under this provision the Workers' Compensation Orders 1953 and 1954 were issued increasing the amounts already given in the 1953 Amendment Act. In prescribing minimum or maximum amounts in respect of compensation by Order in Council, regard is to be had to any increases or decreases in wages made from time to time in ordinary rates of pay, ruling rates of wages, or minimum rates of wages, whether made in accordance with general orders or standard wage pronouncements by the Court of Arbitration or otherwise. The compensation payable at present is as follows:

  1. In case of death: Reasonable expenses of medical or surgical attendance, including first aid, and of funeral (maximum, £50), plus—

    1. Where he leaves total dependants, a sum equal to 250 times his average weekly earnings, or the sum of £850, whichever is the larger, but not exceeding £2,430; or

    2. Where he leaves partial dependants only, a sum reasonable and proportionate to the injury to those dependants, but not exceeding the sums specified in (a).

    Where the amount of compensation payable in respect of death plus the sum of any weekly payments (or lump sum in lieu) paid by way of compensation for the accident prior to the death of the injured worker exceeds £2,770. the excess is deducted from the amount payable in respect of death.

  2. In case of injury: At the discretion of the Court, either—

    1. During total incapacity, weekly payments equal to 80 per cent of the worker's weekly earnings at the time of the accident, notwithstanding that he may not have actually worked or the employment may not have actually continued for a full week (maximum £9 1s. per week, minimum £2 5s.); during partial incapacity, weekly payments for a period not exceeding six years, amounting to 80 per cent of the difference between the amount of the weekly earnings (deemed to be increased or reduced from time to time by the amount by which the minimum wage under the Minimum Wage Act 1945 applicable at the time of the accident is for the time being increased or reduced) and the weekly amount which the worker is earning or able to earn in suitable employment or business after the accident, but not exceeding £. 1s. per week; or

    2. A lump sum equal to the present value at 3 per cent per annum compound interest of the aggregate weekly payments which, in the opinion of the Court, would probably become payable to the worker under (a). This lump sum is paid to the worker unless he is an infant or of unsound mind or the Court orders the whole or any part of the amount to be paid to a trustee for the protection of the worker.

    The aggregate amount of weekly payments is not to exceed £2,430. In the case of the temporary incapacity of an apprentice or a worker under twenty-one years of age, the weekly payment must not exceed an amount equal to a full week's earnings at the time of the accident. An injured worker is entitled to additional compensation of 30s. per week for any period during which he requires constant personal attendance and is not being maintained free of charge in a hospital. This additional compensation is not to be taken into account in the computation of the maximum amount of compensation payable in respect of the accident giving rise to the claim.

    Weekly payments of compensation may not be discontinued or diminished except in the following cases:

    1. Where the weekly payment is in respect of total disablement and the worker has actually returned to work:

    2. By agreement with the worker:

    3. With leave of the Compensation Court:

    4. By judgment or order of a Court of competent jurisdiction:

    5. After being in force for a period of six years (non-schedule injuries):

    6. Where the weekly payment is in respect of total disablement and the medical practitioner has certified that the worker is fit to resume work, or that he will be fit to resume work on a specified date (being a date not later than the date on which the weekly payments are ended).

The Compensation Court has power to declare, in any case to which case (f) applies, that the worker was not in fact fit to resume work, and that the ending of payments was not lawful. The further amount to be paid in weekly payments and additional penalty (if any) is at the discretion of the Court. Any such ending of payments is also not to be taken into account by the Court in determining whether or not the worker is entitled to compensation.

If the employer wrongfully terminates or diminishes weekly compensation payments, he is liable to pay double compensation to the worker.

A sum not exceeding £1 is payable in respect of medical and surgical attendance and first aid to the worker in respect of his injury. In addition, amendments to the Act make provision for the transport of the injured worker to a hospital, medical practitioner, and/or place of residence, and also for the provision of or payment of expenses of transport, meals, or lodging up to a maximum of £25, where an injured worker is required to travel to and from another town in order to obtain necessary medical or surgical treatment. The 1947 amendment also states that the employer is liable to pay, in addition to any of the compensation moneys payable under the principal Act, the cost of an artificial limb, etc., which may become necessary or desirable. This was extended by the Statutes Amendment Act 1949 to cover the cost of replacing or repairing damage to teeth, artificial dentures, etc., to a maximum value of £10.

No compensation was payable if incapacity lasted less than three days until the passing of the Workers' Compensation Amendment Act (No. 2) 1951, from which date this limitation was removed. In the case of certain injuries involving permanent disability (e.g., dismemberment or loss of use), compensation is assessed in accordance with a schedule to the Act, representing a proportion (varying according to the nature of the dismemberment) of the compensation payable in the case of total incapacity. Compensation is also recoverable in respect of a period of illness resulting from such an injury, but any sum so received in excess of £340 is taken into account in estimating the compensation payable in accordance with this schedule. In the case of injury to workers whose earnings are low by reason of their being at the time under twenty-one years or of their being apprenticed to a trade, etc., the amount of compensation in cases of permanent incapacity is based on the adult rates of pay. Section 69 of the Statutes Amendment Act 1944 extended this provision to cover partly-trained workers over twenty-one years of age. The 1953 amendment makes the compensation for a part of the week proportionate to the number of working hours or days of incapacity compared with the normal working hours or days of that week.

Proceedings under the Act in respect of compensation for injuries are not maintainable by a worker unless written notice of the accident has been given to the employer as soon as possible after its occurrence; though the Court has power to excuse failure, due to reasonable causes, to give that notice on the part of the person injured, or if it is clear that the absence of such notice has not prejudiced the employer's position. Except where the Court excuses delay resulting from mistake or other reasonable cause, proceedings must be taken within six months of the date of the accident or the date of the last payment of compensation in respect of injury, or the date of the death of the person injured, whichever is the later. Formerly such proceedings were taken in the Court of Arbitration, but regulations issued in 1940 established a separate Court known as the Compensation Court for the hearing of workers' compensation cases. This Court has all the powers inherent in a Court of record, and all references in the Workers' Compensation Act 1922 or in the Workers' Compensation Rules 1939 to the Court of Arbitration were deemed to be references to the Compensation Court. This Court was re-established on a statutory basis without altering its identity, constitution, or officers by the Workers' Compensation Amendment Act 1952. In certain cases proceedings, are heard in a Magistrate's Court. The Court may accept, admit, and call for such evidence as in equity and in good conscience it thinks fit, irrespective of whether strictly legal evidence or not. Costs lie at the discretion of the Court. There is no right of appeal, but for good cause, orders or agreements in respect of compensation may be reviewed and even set aside by the Court at any time.

The right of a dependant who survives a worker to receive compensation for the death of that worker survives the dependant; and compensation can be recovered by the representative of that dependant. In addition to redefinition of the terms “total dependants” and “partial dependants,” the 1947 amendment provided that dependency is to be determined as at the date of death of the worker. In assessing compensation no account is to be taken of any gain to dependants consequent on the death of a worker or of any family benefit payable. It thus applies to claims for compensation under the Workers' Compensation Act 1922 the same provisions as apply by virtue of section 7 of the Law Reform Act 1936 in cases of claims for damages under the Deaths by Accidents Compensation Act 1908 (consolidated in 1952), The Workers' Compensation Amendment Act 1952 replaces the provisions of the principal Act relating to the apportionment of compensation payable in respect of the death of a worker, and for its investment if the Court thinks fit. The new provisions are in line with the corresponding sections of the consolidated Deaths by Accidents Compensation Act 1952. Compensation is to be apportioned by the Court, not by the jury, and the Court is given discretion as to whether to allot a share to each dependant or to form a class fund to be applied at the discretion of a trustee for the benefit of the persons concerned; in the latter case the share is to be inalienable and the trusts affecting it are not to be varied or terminated without the consent of the Court. Wide powers are given to the Court and the trustee to enable the moneys to be applied to the best advantage of the dependant or members. In making an apportionment order the Court may have regard to circumstances which have arisen since the death of the worker, and may also have regard to any gain to any person that is consequent on the death of the worker, notwithstanding that the gain cannot be taken into account in assessing the amount of compensation payable.

EMPLOYMENT AND UNEMPLOYMENT LEGISLATION.—Prior to the depression period of the early “thirties,” there was little permanent effective legislation to cope with the problem of unemployment. In 1895 a Servants Registry Act provided for the inspection of servants registry offices and regulated the fees charged therein. The Labour Department was founded in 1891 and attempted, particularly through its Employment Bureaux, to cope with the problem. In 1928 a Committee was set up to examine this matter, which was becoming increasingly more serious; and, following on the presentation of its report, an Unemployment Act was placed on the statute-book during the 1930 session of Parliament.

An Unemployment Board was established to assist in the administration of the Act. The main functions of the Board as set out in the Act were: (1) to make arrangements with employers or prospective employers for the employment of unemployed persons; (2) to take such steps in accordance with the provisions of the Act as it considered necessary to promote the growth of primary and secondary industries in New Zealand, so that an increasing number of workers would be required for the efficient carrying on of such industries; (3) to make recommendations for the payment of sustenance allowances out of the Unemployment Fund.

The Act of 1930 authorized the payment of sustenance allowances out of the Unemployment Fund, but the activities of the Board were directed towards the placing of men in employment in preference to the payment of sustenance, the funds being mainly devoted to the subsidizing (or refunding in full) of wages of men for whom work was provided under various relief schemes. A 1934 amendment to the Act, inter alia, repealed a subsection of the original Act, which, in effect, had limited to a maximum of thirteen weeks the unbroken period during which sustenance might be paid to any one individual.

The Immigration Restriction Amendment Act of 1931, which empowered the Governor-General to make regulations restricting the number of immigrants entering the country, aimed, inter alia, at preventing an unwanted inflow increasing the number of those unemployed. Its operation was extended in 1933 and 1935, and it expired on 31 December 1936.

The Employment Promotion Act 1936 replaced and repealed the Unemployment Act 1930 and other legislation relating to unemployment. The Unemployment Board was abolished, the new Act being administered by the Department of Labour. An Employment Promotion Fund was established (deemed to be the same fund as the Unemployment Fund established under the Unemployment Act 1930), the revenue of the fund being derived from the employment tax, fees and penalties under the Act, and any other moneys appropriated by Parliament for the purpose. The main purposes for which the moneys in the fund were to be utilized were defined as follows:—

  1. The development of primary and secondary industries in New Zealand, and the establishment of new industries, so that an increasing number of workers would be required for the efficient carrying on of such industries:

  2. The making of arrangements with employers or prospective employers for the employment of persons who were out of employment:

  3. The assistance, in accordance with the provisions of the Act, of persons who were out of employment or were otherwise in need of assistance.

By the Social Security Act 1938 provision was made for unemployment benefits, superseding the former sustenance payments, to become available as from 1 April 1939. The Employment Promotion Fund was abolished as from 30 September 1939, and the moneys transferred to the Social Security Fund. The amounts of, and qualifications for, benefits will be found on page 189 of this Year-Book.

Although the Employment Promotion Act was repealed by the Social Security Act, the functions of the Employment Division of the Department of Labour continued to include the promotion of work and industry for the absorption of surplus labour, and the placing in close contact of employers with employees through the medium of the State Placement Service. The Employment Division was placed under the control of the National Service Department (a wartime creation), but the Employment Act 1945 created out of the National Service Department a Department of State known as the National Employment Service, the principal function of which was broadly defined as the “promotion and maintenance of full employment at all times.” In 1947 the National Employment Service and the Department of Labour were amalgamated to form the Department of Labour and Employment. The Labour Department Act 1954 consolidated earlier legislation and also incorporated the Employment Act 1945, which was accordingly repealed. The 1954 Act provides in more modern form for the constitution of the Department of Labour, including the functions formerly exercised by the National Employment Service, which is merged with the Department of Labour and ceases to exist as a separate Department. Further reference in regard to its employment activities is included in Section 39, Employment and Unemployment.

38 G—HOUSING AND TENANCY LEGISLATION

HOUSING LEGISLATION.—The first legal provision in connection with housing was contained in the Factories Act of 1894, which gave Inspectors of Factories power to inspect accommodation provided for shearers and to demand improvements where necessary. More effective powers in this connection were contained in the Shearers' Accommodation Act 1898. The Agricultural Labourers' Accommodation Act of 1908 extended this legislation and provided for the inspection of housing of agricultural labourers and flaxmill workers. In 1912 the sawmill worker was also included. The Agricultural Workers Act 1936, and regulations issued thereunder, laid down detailed specifications as to what constituted satisfactory accommodation, and superseded the Act of 1908. Statutory regulations issued in 1937 prescribed further details, and stated that the regulations were to apply to the accommodation of persons employed in agricultural, pastoral, horticultural, flax-milling, and sawmilling work.

Part I of the Family Protection Act 1908, which consolidated the Family Homes Protection Act 1895 and enabled any owner of freehold or leasehold land on which he resided and had his home to settle such land, not exceeding with all improvements £1,500 in value, as a family home, has fallen out of use. It now affects only a few homes which have been registered under its provisions and have not reached the period for distribution prescribed by the Act. Settlements of family homes are now made under the general law of trusts, or under the Joint Family Homes Act 1959. The Joint Family Homes Act 1950, as amended in 1951 and 1952, aims at promoting a sense of dual ownership under which the family home will belong not to the husband or wife separately, but to both of them jointly so as to pass to the survivor on the death of one of them. The Act makes it possible for a husband and his wife, or either of them, being solvent and owning land, whether freehold or leasehold, the capital value of which does not exceed £5,000, to settle the land on the husband and wife as a joint family home, provided they actually reside and have their home in a dwellinghouse erected on the land, and use it exclusively or principally as a home for them and the members of their household. No one can register more than one home as a family home. Registration is cancelled when the land is sold or when both husband and wife have died or have ceased permanently to reside and have, their home on the land. The benefits of registration are considerable. Once the home is registered the husband and wife have equal rights in connection with ownership and possession while they are both living. On the death of either of them the joint family home becomes the property of the survivor. To encourage the adoption of the scheme provision is made that the settled home shall be protected against the claims of creditors to the extent of £2,000, and shall to the same extent not come into the calculation made for the purpose of the assessment of death and succession duties when it passes on the death of one joint tenant to the survivor. The settled home is also protected from gift duty and stamp duty on the creation of the settlement. Data relating to the number of joint family homes registered in recent years are given on page 407 of this issue.

The advances to settlers legislation of 1894 provided for State advances on mortgage to the owners of farming lands, and in 1899 this provision was extended to urban lands. Many of these advances would, no doubt, be used for building purposes, but no direct effort in the matter of providing housing accommodation was made until 1905. In that year a Workers' Dwelling Act was passed authorizing the Minister of Labour to erect dwellings to be let to bona fide workers at a rectal of 5 per cent per annum of the capital value of such dwellings; and, in the following year, a system of advances to workers for the purpose of acquiring homes was instituted. By an amendment passed in 1922 workers could borrow for this purpose up to 95 per cent of the value of their security. To cope with the demobilization after the First World War the Housing Act of 1919 provided for the erection of dwellings not only by the State, but also by local authorities, employers, associations of public servants, and public-utility societies, the State advancing the money. The administration of this Act was later transferred to the State Advances Corporation. Local authorities are also empowered to obtain special loans from the State Advances Corporation to erect workers' dwellings for letting, and are granted certain concessions in carrying out this activity by the Municipal Corporations Act 1933. They are also empowered to guarantee loans for the erection of flats, subject to the consent of the Local Government Loans Board. There is much incidental legislation, as in the Coal Mines Act and the Government Railways Act, where provision is made for the suitable housing of employees.

The Municipal Corporations Act 1954 contains, inter alia, provisions for granting loans for housing purposes up to a limit of £2,222 (see page 609).

Housing regulations are contained in the Municipal Corporations Act, where definite measurements are laid down to prevent overcrowding, and provision is made for the appointment of Inspectors to reduce fire risk and other dangers. Similarly the Health Act of 1920, which replaced the Public Health Act of 1908, provides for medical inspection and for sanitation minima; an owner may be ordered to cleanse or demolish his building, or to close it till certain alterations are made. The Town Planning Acts of 1926 and 1929, consolidated and amended by the Town and Country Planning Act 1953, aimed to develop and reconstruct areas in such a way as to promote their healthfulness and convenience.

In 1935, as a preliminary to measures for remedying the existing position in regard to housing, a Housing Survey Act was passed, instructing local authorities to ascertain as far as possible the extent to which the existing housing accommodation in their respective districts fell short of reasonable requirements. At the same time a Maori Housing Act empowered the Board of Maori Affairs to make advances to Maoris for the purchase, erection, or repair of dwellings. A section of the Maori Housing Amendment Act 1938 established a special fund to provide houses for those Maoris unable to furnish the security or to make the payments which the Board would ordinarily require. In addition to the provision of housing under the Maori Housing Act, dwellings for Maoris are provided in the ordinary course of the Maori land development schemes. Particulars of the numbers of houses erected, etc., are included in Section 25.

Further provision with respect to the improvement of housing conditions is contained in the Housing Improvement Act 1945. The Act authorizes the making of regulations prescribing the standard of fitness of houses, and gives local authorities certain powers of enforcing the regulations or of assisting owners to comply with them. When a notice is given under the Act by a local authority requiring the owner to demolish a house which cannot be made to comply with the regulations, the Act makes it clear that alternative accommodation must be provided only for the persons residing in the house at the time of the service of the notice, and it is an offence for any other persons to commence to occupy the house after the notice has been served. In default of action by the local authority the Minister of Works is given power to act, or he may act under agreement with the local authority. Provision is also made for regulations requiring local authorities to keep a register of houses and to acquire land where a house is unfit for habitation or an area is below the minimum standard. The Act also deals with the reclamation of overcrowded areas, and gives power to local authorities with regard to the proclamation of reclamation areas and the resubdivision and improvement of such areas.

The provision of housing facilities for workers has been and is a very important part of the policy of the Government. Apart from the facilities for the building of homes provided for in the State Advances Corporation Act (see Section 33B), a comprehensive housing plan was launched in March 1937 whereby the legislative machinery provided in the Housing Act 1919 is being used to build homes to be let to workers at a reasonable rental. Provision is contained in the Finance Act (No. 3) 1943 for the tenant of a State rental house to make arrangements whereby, in consideration of special payments, he becomes entitled to remain the occupier of the dwelling rent free or at a reduced rental on attaining a specified age. The arrangement may also permit his widow to become the occupier on the same terms, or entitle him to nominate any of his children to become the tenant after his death. Tenants of State rental houses are also being given the opportunity to buy the houses they occupy, and the legislative provision in this connection is contained in sections 22–27 of the Finance Act 1950. Subject to any direction of the Minister of Finance, such houses may be sold for cash or under agreement for sale in such manner and on such terms as the Board of Management of the State Advances Corporation may decide. Particulars of the main terms of sale are given on page 825 of this volume. An account of the housing programme under the Housing Act, and its progress to date, is included in Section 25—Building, Construction, and Housing. Further provision of housing facilities in rural localities is contained in the Rural Housing Act 1939, which empowers local authorities to advance money to a farmer to enable him to provide a dwelling for his own use or for the use of any farm worker principally employed by him. The State Advances Corporation Amendment Act 1953 gave effect to the mortgage guarantee scheme, whereby the Corporation may guarantee to financial institutions repayment by the borrower of the difference between the normal loan and 90 per cent of the valuation.

The Local Authorities (Temporary Housing) Emergency Regulations 1944 gave power to local authorities to establish transit housing centres for the purpose of providing temporary accommodation for persons who are awaiting the provision of permanent housing accommodation.

TENANCY AND RENTS LEGISLATION.—Certain sections of the War Legislation Amendment Act of 1916 dealt with house rents, the maximum rent being fixed at 8 per cent per annum of the capital value of the dwelling. Material alterations in the law were made by the Rent Restriction Act 1926. Rent-restriction provisions were kept in force by annual continuing statutes up to 31 October 1936, when the earlier legislation was superseded by the Fair Rents Act 1936.

The Distress and Replevin Amendment Act 1950, repealing the 1936 amendment, protects all personal and family clothing, furniture, household effects, and tools or implements of trade to the value of £100 from seizure under a distress order for rent. The pre-existing legislation on this subject did not protect such effects from seizure.

Provision for statutory reductions in rent and interest payments was contained in the National Expenditure Adjustment Act of 1932, continued by the Finance Act 1934, and made permanent in 1936; while Courts were given power to reduce rents and mortgage interest by the mortgage-relief legislation of the depression period, consolidated in the Mortgagors and Tenants Relief Act 1932. The Fair Rents Act 1936, which replaced the various measures referred to above, is briefly described in the following paragraphs.

The Fair Rents Act 1936 made temporary provision for the restriction of increases in the rent of certain classes of dwellinghouses, and for the determination of fair rents in respect of such houses. The Act applied, generally speaking, to dwellings actually let at the time the Act was passed (June 1936) or let at any time between 27 November 1935 and the date of the passing of the Act. It did not apply to other dwellings or to any dwelling let at a rent exceeding £156 per annum. The rent of a dwelling coming within the scope of the Act could not be raised beyond the “basic rent” which was defined as the rent payable on 1 May 1936; or, in the case of dwellings not let on that date, the rent last payable before that date. On application of either the landlord or the tenant a Stipendiary Magistrate was empowered to declare a fair rent in respect of any dwelling to which the Act applied, having regard to various specified conditions—e.g., the relative circumstances of landlord and tenant. The fair rent was not to exceed the basic rent or the rent (if any) payable on 27 November 1935. The grounds for the recovery of possession were limited by the Act, while restrictions were imposed on the right of the landlord to distrain. The Act was to remain in force until 30 September 1937, but its operation was extended from time to time, and in fact its provisions remained in force until superseded by those of the Tenancy Act 1948.

The 1936 Act did not apply to flats and apartment-houses, but an amendment passed in 1939 extended its provisions to cover buildings constructed for letting as more than two separate flats or apartments, all flats or apartments not originally constructed for letting separately, and flats and apartments where parts of premises were shared. The 1939 amendment also made provision for the making of regulations for the purpose of regulating charges in respect of residential accommodation with attendance or services.

The Fair Rents Amendment Act 1942 extended the application of the principal Act to all premises let as dwellinghouses, including those where part only was used as such. The “basic rent” was then defined as follows:

  1. With reference to a dwellinghouse let as such on 1 September 1942, the rent payable on that date:

  2. With reference to a dwellinghouse that was not let on that date, the rent that was last payable.

The Act made it an offence to refuse to let a dwelling on the grounds that the applicant had children. It also provided certain safeguards in respect of members of the Armed Forces in their capacity as tenants or landlords.

The application of the Fair Rents Act was further extended by section 27 of the Statutes Amendment Act 1946 to include premises occupied for residential purposes by two or more persons severally. In such cases the total of the several amounts payable was deemed to be the rent of the premises. Section 28 of the same Act also extended the provision of the Fair Rents Act to cover premises where meals or food were provided by the landlord, unless the value of the meals or food formed a substantial portion of the rent.

As previously stated, the Fair Rents Act applied only to premises let as dwellinghouses, but the Economic Stabilization Emergency Regulations 1942 provided for the stabilization of all other rents, whether on account of land or buildings. The basic rent under these regulations had the same meaning as in the case of the Fair Rents Act, and rents that might be charged were restricted accordingly. On the application of the landlord or tenant of any property the Court might make an order determining the fair rent of that property.

The basic rent or fair rent (if any) of any land established under the Fair Rents Act or the Economic Stabilization Emergency Regulations was taken into account in determining the basic rent of such land for the purposes of the Servicemen's Settlement and Land Sales Act 1943.

The Fair Rents Amendment Act 1947 included the following provisions: The basic rent for a dwellinghouse was not to be affected by variations in tenancies as to furniture, etc., or by subletting; tenancy registers were to be kept by the landlord; no fine or premium was to be chargeable for tenancy or renewal or transfer; provision was made for recovery of possession of a dwellinghouse for a serviceman who vacated it to become a serviceman; and the absolute protection of a serviceman tenant was also modified.

A further part of the 1947 amendment was concerned with the letting, of unoccupied houses. It empowered local authorities to serve notice to the owners requiring them to let such houses. Conditions were laid down governing appeals against notices given by local authorities to the above effect. On default of action by the owner the house could be let by the State Advances Corporation, the rent received to be paid to the owner, less commission and expenses. Power was given to enter and inspect any premises for the purposes of this portion of the Act to any person so authorized by any local authority.

The Tenancy Act 1945 repealed the considerable body of the Fair Rents legislation passed during the period 1936–47. In effect, however, it consolidated the former legislation, including Part III of the Economic Stabilization Emergency Regulations 1942, while at the same time it introduced several important amendments. The main alterations to the existing law, together with amendments contained in the 1950, 1952, and 1953 amendment Acts, are referred to below.

The provisions as to rent restriction of tenancies (inclusive of subtenancies) relates to dwellinghouses and to all leased properties, except that the definition of the term “property" has been amended so as to exclude farm lands and licensed hotels and camp sites (let for periods not exceeding six weeks). The definition of the term “rent" has also been extended to include money's worth. Two machinery changes involved were the appointment of Rents Officers to exercise the functions of Inspectors of Factories under the Fair Rents Act 1936, and of authorized persons under the revoked regulations, and defining the Court for fixing the fair rent as the Magistrate's Court, with a right of appeal to the Supreme Court where the basic rent or fair rent exceeds an annual rental of £525.

A new section has the effect of extending to all properties the earlier provision which prevented the original basic rent from being affected by including furniture in the tenancy. The provision for restoring the original basic rent and deeming any existing higher rent to be a fair rent was extended to cover properties other than dwellinghouses. As far as a “fair rent” is concerned, the Court can now fix the fair rent payable by the landlord where he is himself a tenant. Provision is also made for the method of determining the fair rents of flats and apartments. Instead of ceasing to have effect at the end of one year or when a new tenant occupies the premises as under the previous legislation, a fair rent fixed for a dwellinghouse now continues in force until a subsequent order takes effect.

A section relating to fines, premiums, etc., prohibits a landlord or outgoing tenant from receiving from a new tenant any consideration other than—

  1. The rent:

  2. The price of any chattels not exceeding the fair selling value, or the replacement cost of stock in trade.

The restrictions on payment for goodwill on the transfer of a tenancy were abolished by the 1950 amendment, which renders it unnecessary to have any such payment approved by the Land Valuation Court.

The time within which excess payments of rents may be recovered from the landlord by the tenant or deducted from current rent is extended from six months to twelve months.

Regulations issued in December 1952 and replacing those issued in November 1951, together with an October 1952 amendment, related to the fixing of the fair rents of dwellinghouses and business properties under the Tenancy Act 1948. These regulations were revoked by the Tenancy Amendment Act 1953, although measures to substantially the same effect were included in the amendment. The effect of the Act, together with that of the Tenancy Amendment Act (No. 2) 1953 on the fixing of fair rents, is as follows:

  1. Dwellinghouses

    1. Where the dwellinghouse was built on or before 1 September 1942, any increase in value (up to 15 per cent in excess of the value on that date) is to be a special circumstance justifying a fair rent in excess of the basic rent.

    2. Where the dwellinghouse has been built after 1 September 1942, the capital cost of the dwellinghouse when built plus the cost of any subsequent improvements is to be a special circumstance.

    3. However, if the dwellinghouse (whether built before or after 1 September 1942) has been purchased after 22 February 1950 and let to a new tenant on or after 10 December 1951, then the capital cost to the landlord is to be a special circumstance. This only applies where the dwellinghouse has been let to a new tenant after the purchase.

    4. In the case of any dwellinghouse, whenever it was built, any increase in rates, insurance premiums, or other outgoings payable by the landlord are to be special circumstances.

  2. Business Properties.—In the case of any business property, any increase in value (up to the capital value as defined in section 2 of the Valuation of Land Act 1951), and any increases in rates, insurance premiums, or other outgoings payable by the landlord, are to be special circumstances justifying a fair rent in excess of the basic rent.

  3. In fixing the fair rent of any property, the amount of any premium payable in consideration of the grant or renewal of the tenancy may be taken into account to the extent that the Court deems fair and equitable having regard to the conditions of the tenancy.

  4. The fair rents of a property and dwellinghouse let under the same tenancy are to be determined separately, the sum of these being the fair rent of the premises let under the tenancy.

Exemption from the restrictions on recovery of possession from a tenant is provided for by the 1950 amendment where, in the case of the letting of any dwellinghouse or urban property, the landlord and the tenant by agreement in writing dated not earlier than 1 March 1950, and incorporating the terms and conditions of the tenancy, have agreed that Part III and sections 41, 42, and 43 of the Tenancy Act shall not apply. The agreement has to be approved in writing by a Rents Officer, and a copy of the agreement deposited with the latter before the date of commencement of the tenancy. In the following cases also those provisions containing the restrictions on recovery of possession cease to apply—namely, a dwellinghouse let to a worker by his employer; a dwellinghouse or urban property let on behalf of a mental patient; where a tenant has sublet the whole of the dwellinghouse, provided that the subletting is not due to the temporary absence of the tenant for not more than a year; and to a tenancy of any urban property transferred either directly or by subtenancies, after the expiration of six months from the date of the transfer of the tenancy or twelve months from the commencement of this section of the Act (whichever period is the later to expire), unless the landlord consents or the Court orders that those provisions shall continue. The 1953 (No. 2) amendment also included in the list of exemptions leases of properties for more than five years, and in addition provided that the Act did not apply to new self-contained flats or to new tenancies of self-contained flats resulting from conversion of buildings carried out after the commencement of the section.

The Act provides for recovery of possession on the following grounds:

  1. Failure to pay rent or to comply with other conditions of the tenancy:

  2. Failure to take reasonable care of premises or the tenant has committed waste:

  3. Tenant is guilty of conduct that is a nuisance or annoyance to adjoining or neighbouring occupiers. Where application on this ground has not been successful, the Court may order the cessation of restrictions after six months, unless the landlord's conduct has contributed to the circumstances complained of. The order may be revoked within five months on the ground that the circumstances had been improved:

  4. The tenant, by subletting the premises, or part thereof, is making a profit which, compared with the rent paid, is unreasonable:

  5. For an urban property, that possession is required only of a part of the premises in excess of the reasonable requirements of the tenant:

  6. For a dwelling forming part of the same building as the one occupied by the landlord, that the premises are reasonably required for the aged parents of the landlord or, where the landlord is an aged parent, for the son or daughter to live with the landlord:

  7. For a dwelling, that the premises are not reasonably required for occupation as such by the tenant:

  8. For a dwelling or an urban property, that the premises are reasonably required by the landlord or joint landlords for his or their own occupation:

  9. For a dwelling, that the landlord is a trustee, and the premises are required by the beneficiaries under the trust for their own occupation:

  10. For a dwelling, that the premises are required for occupation by any person in the regular employment of the landlord:

  11. That the estate or interest of the landlord in the premises will have expired or been determined not later than three months after the date of the application for the order:

  12. For a dwelling or an urban property, that an agreement for its sale has been made and that premises are required by the purchaser for his occupation:

  13. That the premises are required for demolition or reconstruction or for removal to another site:

  14. That the landlord is an administrator of the estate of the deceased former landlord, and the premises are required for sale for the purpose of distributing the estate.

Suitable alternative accommodation has to be provided or greater hardship established before orders can be made in respect of applications on grounds (h), (i), (j). (k) listed above. Suitable alternative accommodation is also required for grounds (l), (m), and (n).

Neither alternative accommodation nor greater hardship provisions apply, although relative hardship is taken into account, for cases (i) where the landlord of a dwelling has been such for a period of three years prior to application date, or if in receipt of an age benefit and has also been a landlord for two years, (ii) where the landlord of an urban property has given one year's notice, and has been such for two years prior to the notice, although the Court may adjourn proceedings for up to six months if it considers that it is just and equitable to do so.

Relative hardship is still taken into account for the remaining grounds, with the following exceptions: The alternative accommodation, greater hardship, or relative hardship requirements do not apply where a dwelling is required by the landlord for his own occupation if (i) he is 60 years of age, or if a woman, she is 55 years, (ii) he has given six months' notice, (iii) he has been the landlord for three years immediately prior to the notice, and (iv) he did not have adequate and suitable living accommodation in premises owned by him. Relative hardship is not required to be established for applications on ground (n) listed earlier.

The Act also provides that the landlord or other person represented as requiring possession of premises for his own occupation is restricted from letting or selling the premises for a period of two years, unless an authorizing order is obtained from the Magistrate's Court.

Other conditions of the Act give the landlord a right to apply for an order for the recovery of excess land for building purposes, or for sale for that purpose, or for an order authorizing him to convert a dwellinghouse into flats, one to be let to the existing tenant with appropriate adjustment of rent payable; give a right to apply for recovery of possession where a landlord is a trustee wanting possession of a dwellinghouse for occupation by a beneficiary under the trust; and also make it an offence for a landlord to evict a tenant without an order of a Court or the tenant's consent.

The 1950 amendment includes a provision that where a landlord offers alternative accommodation, such is deemed to be suitable, unless the Court is satisfied that it is inadequate for the needs of the tenant, or is of unreasonably low standard, or is for any special reason unsuitable for the tenant.

Some new miscellaneous provisions were also incorporated in the Tenancy Act 1948. Included in this category are the extension of protection of tenancy in case of death to members of the deceased's family; the preservation of a tenancy for the wife or husband of the tenant in cases of separation or desertion; the prescription of conditions implied in tenancies; requiring receipts to be given for rent payments; making it an offence for a landlord to deprive a tenant of his amenities, as by cutting off electric power, gas, or water; and deal with the case of unauthorized occupiers.

The Destitute Persons Amendment Acts 1951 and 1953 contain provisions relating to the power of a Magistrate, in making a separation or guardianship order, to vest the tenancy of a dwellinghouse in any person, either complainant or defendant, and giving the landlord the right to apply for cancellation or variation of such a vesting order.

Regulations made under the Emergency Forces Rehabilitation Act 1953, replacing earlier legislation, govern the protection against eviction granted to servicemen who serve in any of the forces raised to meet an emergency arising out of the obligation undertaken by New Zealand in the Charter of the United Nations.

The Finance Act (No. 2) 1953 provided that the Tenancy Act 1948 was not to apply to the letting of dwellings for not more than twenty-one days to persons who visited a locality for the purposes of the Royal Tour.

Chapter 39. SECTION 39—EMPLOYMENT AND UNEMPLOYMENT

Table of Contents

PRIOR to the establishment in 1946 of the National Employment Service (now incorporated in the Department of Labour) the only comprehensive source of information on employment in New Zealand was the periodical census inquiry. After each census a volume containing statistics of industries and occupations is published, and in respect of those of 1926 and 1936 there was an additional volume on unemployment. Certain specific fields—factories, public works, and local authorities— were, however, also covered by more frequent, usually annual, collections. The activities of the Department of Labour as regards employment matters and the scope of the information on employment at present available are dealt with in detail in later pages of this Section.

STATISTICS OF THE 1951 CENSUS.—Tables derived from the 1951 census showing distributions of the population by industrial divisions and major groups and by occupational status were published on pages 965–967 of the 1954 Year-Book.

POST-WAR DISTRIBUTION OF LABOUR FORCE.—Information is available for the years 1947–54 from the estimates of the Department of Labour showing the effects of the demobilization of the Armed Forces and of post-war developments on the industrial distribution of the labour force of the country. The table which follows shows the estimated distribution of the labour force, European and Maori, by broad industrial groups in April of each year from 1947 to 1954.

The figures have been adjusted into line with the 1951 census data.

YearIndustry Group
Primary IndustryManufacturing IndustryPower, Water, and Sanitary ServicesBuilding and constructionTransport and ConstructionDistribution and FinanceDomestic and Personal ServicesAdministration and ProfessionalTotalsArmed ForesUnemployedTotals, Labour Force
Males (000)
1947137.6131.38.648.463.175.417.548.0529.912.60.1542.6
1948137.2134.88.750.164.477.517.948.6539.27.8..547.0
1949136.4136.69.151.066.878.218.349.7546.17.10.1553.3
1950136.1139.19.453.267.579.718.350.1553.48.2..561.6
1951135.9141.29.752.866.281.418.350.8556.3100..566.3
1952135.9142.69.856.168.982.818.251.6565.910.0..575.9
1953136.4145.110.860.568.984.118.6531577.511.1..588.6
1954137.0149.410.864.869.086.819.254.6591.610.90.1602.6
Females (000)
194712.240.30.60.96.332.725.841.9160.70.5..161.2
194812.241.00.60.96.933.426.042.6163.60.4..164.0
194912.241.40.60.97.033.926.443.2165.60.5..166.1
195012.243.10.70.97.334.826.344.3169.60.7..170.3
195112.244.40.71.07.636.425.845.2173.30.8..174.1
195212.243.70.71.08.137.525.546.4175.10.9..176.0
195312.342.10.71.18.338.326.348.4177.51.0..178.5
195412.244.80.81.28.440.126.550.2184.20.9..185.1
Total (000)
1947149.8171.69.249.369.4108.143.389.9690.613.10.1703.8
1948149.4175.89.351.071.3110.943.991.2702.88.2..711.0
1949148.6178.09.751.973.8112.144.792.9711.77.60.1719.4
1950148.3182.210.154.174.8114.544.694.4723.08.9..731.9
1951148.1185.610.453.873.8117.844.196.0729.610.8..740.4
1952148.1186.310.557.177.0120.343.798.0741.010.9..751.9
1953148.7187.211.561.677.2122.444.9101.5755.012.1..767.1
1954149.2194.211.666.077.4126.945.7104.8775.811.80.1787.7

UNEMPLOYMENT.—Except for occasional returns relating to State unemployment relief which were presented to Parliament from time to time, practically no direct statistical evidence as to the extent of unemployment in New Zealand prior to 1892 is extant. Such information is, however, available from the census (since 1896) and from the records of the Department of Labour (since 1892). In addition, statistics of unemployment among trade-unionists were collected from trade-union secretaries by the Census and Statistics Department from 1925 to 1930. A table showing figures of unemployment from June 1931 to March 1939 will be found on page 854 of the 1940 Year-Book.

Census Data on Unemployment.—The great disadvantage of the Census inquiry as an indicator of the trend of unemployment is that it provides data at quinquennial intervals only up to April 1926, since when only three censuses have taken place, one on 24 March 1936, one on 25 September 1945, and the other on 17 April 1951. The unemployment figures from the 1951 census were: 7,902 males and 1,726 females.

The following table gives relevant census data on unemployment for each census since 1896.

CensusNumber of Males UnemployedProportion Per Thousand Male Wage-earners
12 April 189614,759100
31 March 19018,46748
12 April 19068,18939
2 April 19117,15230
15 October 19165,92026
17 April 192111,06139
20 April 192610,69434
24 March 193635,77496
25 September 19455,82318
17 April 19517,90219

The 1936 figure includes men on rationed relief work, but excludes men (16,222) partly unemployed but not on relief work. The 1945 figure includes ex-servicemen recently returned from overseas who had not then resumed work. At the time of the 1951 census the waterfront strike was in progress and it was estimated that approximately 15,000 workers in that and other industries were on strike. Evidently many of these were not returned as unemployed; it is likely that a number changed to other industries, while some may not have considered themselves to be unemployed.

Unemployment Benefit.—In the years immediately preceding 1939 two forms of unemployment relief were available: the provision of work for unemployed under various employment promotion schemes, and the payment of sustenance without work (refer 1942 and earlier issues of the Year-Book). Measures for the promotion of employment are still in operation, but the payment of sustenance without work was discontinued on the introduction of a system of unemployment benefits under the Social Security Act 1938. These benefits came into force on 1 April 1939, and monthly figures of the number of benefits current have been published in previous editions of this Year-Book. The number in force at the end of March 1954 was only 17.

Subject to the conditions set out on page 189, the unemployment benefit may be claimed as of right from the Social Security Fund, to which all workers over the age of sixteen years must contribute. Registration at a district office of the Department of Labour is a compulsory pre-requisite to eligibility for the benefit. Hence it is considered that the great majority of workers becoming involuntarily unemployed would register for employment in order to validate a claim for the benefit.

Close liaison is maintained between the Social Security Department and the Department of Labour to prevent the payment of benefit where work is available. In addition to the requirement that a benefit applicant must register for work at an employment office, all unemployment beneficiaries must report once weekly at the employment office.

For the number of persons remaining enrolled with district offices of the Department of Labour as disengaged and seeking employment at the end of each calendar month, refer to the table on page 991 (last three columns).

PROMOTION OF EMPLOYMENT.—Reference to earlier issues of the Year-Book will show the measures taken during the depression and post-depression years to relieve unemployment and in particular to promote employment. Under one of the principal schemes a maximum of 45,000 men were in receipt of part-time work in 1932 and 1933. In recent years the labour situation has been characterized by a general high level of employment and a high number of vacancies in industry. The number of notified vacancies is shown, however, by the table on page 987 to have been reduced by half between 1950 and 1953 but to be now increasing again. The only employment promotion measure continuing in operation to any extent is Scheme 13, under which 103 men were employed at 31 March 1954, as compared with 114 on 31 March 1953. Most of these men are fit for light work only and are located in districts where employment opportunities are limited. Everything possible is done to place them in suitable private employment when the opportunity arises. They are allocated to local bodies and their wages are subsidized to an extent which brings their earnings up to the award rate for the type of work performed.

The operation of employment promotion schemes whenever required is a function of the Department of Labour.

Information concerning the measures in operation for the rehabilitation of ex-servicemen will be found in Section 9B.

Vocational Guidance.—Since 1938 full responsibility for the work of vocational guidance of pupils at post-primary schools, which for some years previously had been carried on almost entirely by voluntary organizations, has been taken by the Department of Education. A youth centre was established in each of the four main centres, and the work of guidance and placement was undertaken jointly by officers of the Education and National Service Departments. The Department of Education assumed full control of these youth centres (now called Vocational Guidance Centres) in 1943. At present five centres, including Lower Hutt, are in operation.

The numbers of those enrolled who were placed in employment during each of the calendar years 1947 to 1954 were as follows.

Year Ended 31 DecemberNumber Placed by CentresNumber Self-placedTotals
19471,7231,2032,926
19481,4418432,284
19491,5646752,239
19501,6124562,068
19511,4753651,840
19521,5904362,026
19531,4095251,934
19541,2824031,685

National Employment Service.—As from 1 April 1946 the National Employment Service was established with the principal function of promoting and maintaining full employment in New Zealand. The new Department was set up under the Employment Act 1945. In fact, provision for Government Employment Bureaux had been made as early as 1891. From 1930 to 1936, the period of the operations of the Unemployment Board, the Bureaux functioned rather as unemployment registration offices than as placement services. In 1936 the activities of the Unemployment Board were transferred to the Employment Division of the Department of Labour and the bureaux replaced by a State Placement Service, which operated a widely used system of local labour exchanges. From 1942 to the end of March 1946 this became merged in the Industrial Man-power Division of the National Service Department, and, with an augmented staff, carried out the wider and more complex functions of man-power direction and control. In this work the Industrial Man-power Division developed a much greater emphasis on the collection and use of employment and other economic data, on the research and planning aspects of employment, and on the co-ordination of industrial activities with man-power resources. The National Employment Service was built upon these foundations. A comprehensive historical and statistical survey of the Industrial Man-power Division of the National Service Department from 1940 to August 1945 is given in parliamentary paper H–11A, 1945; a résumé of this paper was given in the 1945 Year-Book. The 1946 H–11A extended this survey to 31 March 1946, all man-power control being finally lifted on 30 June 1946. After twelve months' activity as a separate Department the National Employment Service was, however, on 1 April 1947 amalgamated with the Department of Labour.

The main activities of the Department on the employment side are: the collection of employment information and the application of this information towards securing a continuing adjustment of matters affecting employment, so as to maintain a policy of full employment at the highest productive level; assisting persons to secure work or more suitable work, and employers to secure labour, by maintaining twenty-five district employment offices, by operating camps and hostels for workers, and by other measures which may include occupational training or retraining; the administration of employment schemes, subsidized where necessary, for those unfit to compete in the ordinary labour market; and the operation of a Home Aid Service to provide domestic help for families in urgent circumstances.

The twenty-three camps and hostels operated by or for the Department at 31 March 1954—comprising industrial workers' camps and hostels, immigration hostels, Public Service hostels, miners' hostels, Maori youth hostels, and one home-aid hostel—provided accommodation for 2,724 workers.

The Employment Act 1945 provided for the establishment of Advisory Councils and Committees to assist the Department in the effective administration of its employment service. A number of committees at both district and national levels have been set up, and meet as circumstances require.

Immigration matters, including the maintenance of immigration hostels, are also handled by the Department. Reference to assisted immigration has been made on pages 36–38 of this volume. To advise the Minister of Immigration on immigration matters and to aid the Department in the implementing of the immigration policy an Immigration Advisory Council was established in April 1947. Throughout the country there are also Immigration Welfare Committees whose function is to co-ordinate welfare activities in respect of new settlers.

Of recent years special attention has been directed to the problem of Maori employment. Outstanding features of the Maori population are its rate of growth and the fact that the Maori people are largely resident in localities remote from the main centres of industrial activity. Practical measures for ensuring the continuing absorption of the Maori race into full employment have included the fostering of Maori apprenticeships and the establishment of Maori youth hostels.

Half-yearly Surveys.—Commencing in 1946 the Department has carried out at half-yearly intervals a general survey of employment in New Zealand. These surveys are conducted by means of inquiries sent out to employers of labour, the results being published in the Labour and Employment Gazette. Returns are required from all establishments in which at least two persons (including working proprietors) are engaged. Government and local-authority employment is included. Each return covers six consecutive months, the initial survey (apart from a pilot survey taken for April 1946) relating to the period May to October 1946. Particulars of working proprietors, number of establishments, and reported vacancies are available at half-yearly intervals only. Employers in farming, hunting, trapping, fishing, waterfront work, and private domestic service are not required to submit half-yearly returns. Seasonal industries (comprising meat processing, fruit and vegetable preserving, dairy factories, and wool stores) have since August 1946 been covered by a separate monthly inquiry. Following are tables showing the figures for April of each year from 1947 to 1954, and for October 1954, taken from these surveys, a dissection being provided into the chief industrial groups. Separate tables are given for males and females, working proprietors are distinguished from employees, and the numbers of vacancies reported and of establishments covered are appended.

A revised industrial classification was introduced with the statistics for May 1952. In order to show the effect of this change, the figures for April 1952 are set out in the table below on both the old and the revised bases, the old basis shown first in each case. Details of this reclassification will be found in the Labour and Employment Gazette for February 1953, published by the Department of Labour.

The figures published in earlier issues (up to 1953) of this Year-Book included threshing and chaff-cutting; but as since April 1953 this industry has been treated as a branch of farming and hence omitted from the inquiry, the following tables exclude threshing and chaff-cutting throughout.

Employment in industry on 15 April of the years 1947–54, and on 15 October 1954, is given in the following table.

Primary Industry (Other Than Farming, Fishing, and Hunting)Manufacturing IndustryPower, Water, and Sanitary ServicesBuilding and ConstructionTransport and Communication (Other Than Waterfront Work)Distribution and FinanceDomestic and Personal ServicesAdministration and ProfessionalTotals, All Industries Covered
Male Employees
April—         
194714,340108,3517,78331,83945,06254,1949,20335,929306,701
194815,397112,5987,83333,35546,29756,6119,58736,881318,559
194916,058113,9788,19433,84848,16157,4799,86737,892325,477
195015,875116,7028,51835,14248,74559,0789,93738,534332,531
195115,882117,0078,80034,42247,40360,79110,00439,126333,435
195215,825120,8628,95737,25448,83362,2839,96439,826343,804
Revised basis—         
1952—April10,963125,3649,81337,36748,85960,56510,88839,985343,804
1953—April10,619127,83410,81240,60650,11761,76211,05441,368354,172
1954—April10,428131,18210,81044,57950,59663,30311,23741,066363,201
October10,392128,05910,87045,73650,18363,62211,21641,315361,393
Male Working Proprietors
April—         
19474906,59543,4801,5757,1632,31552922,151
19485716,93453,4971,5496,9362,25641922,167
19496797,65763,7121,5466,9292,40333123,313
19507197,61143,7481,5887,0502,42718623,333
19516427,18043,9221,5346,9712,36717822,798
19526686,98354,0251,5046,8532,26923322,540
Revised basis—         
1952—April3487,17484,0251,5056,6222,44541322,540
1953—April3307,26943,9711,4196,6762,53536722,571
1954—April3508,30065,0321,6478,3132,84063127,119
October3358,34665,3871,6048,4302,85447927,441
Female Employees
April—         
194724837,2285637305,68029,58512,78331,424118,241
194825637,9115607446,22030,29513,05932,136121,181
194924838,0855578186,43330,68713,29632,805122,959
195025739,9316348186,69831,68813,15333,935127,114
195124241,2096578676,95333,08012,75034,670130,423
195228940,6706698787,41333,91812,52735,782132,151
Revised basis—         
1952—April20640,2496898817,41632,06713,18037,463132,151
1953—April21538,7057369347,67432,83713,42639,181133,708
1954—April20541,1517741,0487,81034,21113,54640,496139,241
October19742,9377581,0807,68234,62913,25940,512141,054
Female Working Proprietors
April—         
19471873....291,3291,3602153,807
19482954....291,3551,4271953,962
194921,195....291,4801,5431904,439
195021,153....311,5001,5461854,417
195141,154....381,5841,5521624,494
195241,114..1451,7331,4801404,517
Revised basis—         
1952—April31,087..1451,7061,5101654,517
1953—April11,058..1341,7441,5771594,574
1954—April11,192..4392,4291,7191825,566
October..1,199..1392,6391,7701825,830

A dissection of the manufacturing industry column shown in the preceding table is now given over the same period.

Seasonal ManufacturingFood, Drink, and Tobacco (Other Than Seasonal)Textile, Clothing, and LeatherBuilding Materials and FurnishingsEngineering and Metal-workingMiscellaneous ManufacturingTotal Manufacturing Industry
April—       
Male Employees
  194718,7388,89512,38215,70339,01513,618108,351
  194818,7488,98412,81316,76440,99514,294112,598
  194918,8679,02712,69617,15641,66014,572113,978
  195019,0128,94912,88917,78542,88515,182116,702
  195117,8088,84013,05117,98143,67215,655117,007
  195220,2378,88312,49418,54745,23815,463120,862
Revised basis—       
  1952—April20,2378,90512,48723,41144,58915,735125,364
  1953—April21,2869,01012,06323,42146,25415,800127,834
  1954—April20,6789,07012,44624,24948,02116,718131,182
  October15,2729,00912,53824,23049,83017,180128,059
April—       
Male Working Proprietors
  1947789919241,0592,8916526,595
  1948701,0699231,0903,1426406,934
  1949701,1841,0371,2803,4086787,657
  1950621,1581,0111,2573,4376867,611
  1951571,0789581,1653,2496737,180
  1952609619141,1473,2916106,983
Revised basis—       
  1952—April609609141,4663,0277477,174
  1953—April529588701,5473,1167267,269
  1954—April661,0359811,7163,6618418,300
  October789851,0001,7503,6728618,346
April—       
Female Employees
  19471,3934,63520,5971,0743,7535,77637,228
  19481,4174,64121,1521,0693,8685,76437,911
  19491,3204,79621,4081,0243,8465,69138,085
  19501,4774,95222,3261,0824,0356,05939,931
  19511,5554,58923,5911,1304,2076,13741,209
  19521,6364,63922,5461,1864,5636,10540,675
Revised basis—       
  1952—April1,6364,58022,5281,2764,2745,95540,249
  1953—April1,8234,80520,8391,2274,3625,64938,705
  1954—April1,7774,76322,6621,3214,6146,01441,151
  October1,5725,03423,7341,4184,8906,28942,937
April—       
Female Working Proprietors
  19478352390133377873
  194812351447145080954
  1949104485483074851,195
  195054615242164781,153
  195144525301678741,154
  195244115292565801,114
Revised basis—       
  1952—April44115351950681,087
  1953—April44374982039601,058
  1954—April74555562573761,192
  October84635552867781,199

NOTE.—For significance of “Revised basis” in table refer to text preceding table on page 985.

The following table shows the number of vacancies reported by employers in the half-yearly surveys, the industry classification being the same as in the previous tables. Figures for April 1952 on the revised basis (see page 985) are not available in this instance.

Primary Industry (Other Than Farming, Fishing, and Hunting)Manufacturing Industry*Power, Water, and Sanitary ServicesBuilding and ConstructionTransport and Communication (Other Than Waterfront Work)Distribution and FinanceDomestic and Personal ServicesAdministration and ProfessionalTotals, All Industries Covered*

* Excluding “seasonal manufacturing.”

Males
April—         
19479528,2314382,4053,6511,1151971,23518,224
19486587,3793522,2153,6171,3502601,32217,153
19494906,8803162,0023,3101,7742161,38916,377
19506438,5494822,7394,0162,2373181,81720,801
19515798,4304722,6095,1262,0243121,85221,404
19528067,8575623,0215,2592,0852851,73221,607
Revised basis—         
1953—April3335,0803511,9043,8031,4171731,13614,197
1954—April2025,3023842,4903,7811,6921551,22715,233
October2526,3414883,5364,0042,1232641,40918,417
Females
April—         
194739,9432132961,1859582,36214,771
194837,92423152421,2616542,44012,562
1949207,78516..2081,5227392,33612,626
1950157,89431..2431,6687212,50813,080
1951276,49241..4091,6515682,20411,392
1952243,82435..4161,5114462,2548,510
Revised basis—         
1953—April112,7285913238862891,9206,217
1954—April83,73413..3541,1543081,9257,496
October154,0822613831,5764862,2388,807

Reported vacancies in manufacturing industry included in the previous table are now shown separately.

Food, Drink, and Tobacco (Other Than Seasonal)Textile, Clothing, and LeatherBuilding Materials and FurnishingsEngineering and Metal-workingMiscellaneous ManufacturingTotals Manufacturing Industry*

*Excluding “seasonal manufacturing.”

April—Males
19472821,2761,1914,5978858,231
19481931,2021,1154,0108597,379
19493011,2961,0393,3349106,880
19503861,3731,4324,2491,1098,549
19513131,1861,4134,5569628,430
19523327721,2284,6169097,857
Revised basis—      
1953—April1455758973,0004635,080
1954—April1306789482,8876595,302
October2526911,2653,2478866,341
April—Females
19478357,451634511,1439,943
19484276,1311243808627,924
19494955,991494038477,785
19504955,993564089427,894
19512925,118753266816,492
19523942,654472344953,824
Revised basis—      
1953—April1492,24331992062,728
1954—April1752,934652053553,734
October3043,115642403594,082

The number of establishments covered by the half-yearly surveys is now shown, the second part of the table giving an analysis of the manufacturing industry column contained in the first part. Reference should be made to page 985 for the significance of the revised basis shown for April 1953 and for April and October 1954, figures for April 1952 on this basis not being available.

Primary Industry (Other Than Farming, Fishing, and Hunting)Manufacturing IndustryPower, Water, and Sanitary ServicesBuilding and ConstructionTransport and Communication (Other Than Waterfront Work)Distribution and FinanceDomestic and Personal ServicesAdministration and ProfessionalTotals, All Industries Covered
April—         
19475849,2012233,1062,05211,2153,5763,10533,062
194867710,2122253,2032,08711,7233,7063,05434,887
194973711,0072233,4222,13811,9653,8193,06836,379
195076711,0522253,4882,18112,3073,8612,90036,781
195175311,1042243,6262,26012,6773,8242,93237,400
195277611,1472243,8952,37813,0063,7072,88238,015
Revised basis—         
1953—April59211,7402443,8962,35912,4684,0643,40938,772
1954—April61112,0952414,7162,45713,4594,2783,54041,397
October61512,3062425,0152,46313,8114,3283,57242,352
Seasonal ManufacturingFood, Drink, and Tobacco (Other Than Seasonal)Textiles, Clothing, and LeatherBuilding Materials and FurnishingsEngineering and Metal-workingMiscellaneous ManufacturingTotals, Manufacturing Industry
April—       
19475561,2731,6651,3923,2861,0299,201
19485611,3781,8941,5913,6921,09610,212
19495641,5411,9971,7433,9861,17611,007
19505541,5321,9911,7484,0401,18711,052
19515501,4742,0181,7744,0881,20011,104
19525461,3872,0041,8194,2061,18511,147
Revised basis—       
1953—April5401,3761,9632,4704,1031,28811,740
1954—April5401,3691,9492,5534,3471,33712,095
October5411,3392,0042,5944,4671,36112,306

The table now following shows the half-yearly survey totals of employment in industry, under a more detailed industrial classification, as at 15 April 1953 and 1954; employment by the General Government, by local authorities, and by private employers being distinguished at the same time in the 1954 figures.

IndustryNumber of Persons* in Industry at 15 April 1953Number of Persons in Industry at 15 April 1954
MalesFemales
MalesFemalesGovernmentLocal AuthoritiesPrivate*GovernmentLocal AuthoritiesPrivate*
*These figures are inclusive of working proprietors.
Primary industry (other than farming, fishing, and hunting)—        
  Forestry2,2941372,032..135116..5
  Logging2,3092188..2,3063..4
  Coalmining4,992513,548..1,30747..9
  Other mining4024....307....3
  Quarrying (n.e.i.)9522220150785..118
Seasonal manufacturing—        
  Meat processing, etc.16,506799..23615,764....833
  Fruit and vegetable preserving760626....726....555
  Dairy factories4,072402....4,018....396
Food, drink, and tobacco (other than seasonal)—        
  Grain milling79161....802....67
  Bread bakeries2,200611....2,214....638
  Biscuit making596545....623....541
  Cake and pastry making9791,399....926....1,301
  Sugar and confectionery1,412991....1,430....966
  Other food892555....956....676
  Beverages2,58924421..2,6172..241
  Tobacco manufacture509836....516....786
Textile, clothing, and leather—        
  Tanneries1,32887....1,343....115
  Fur dressing and manufacture199221....169....212
  Leather goods517440....513....483
  Knitted wear and hosiery1,1022,084....1,281....2,349
  Flax, rope, and twine44866....419....65
  Woollen mills1,6441,158....1,665....1,180
  Other textile production871403....883....437
  Clothing manufacture3,30314,297....3,364....15,470
  Footwear manufacture2,5921,964....2,851....2,211
  Footwear repair33227....318....30
  Other textile articles597590....621....666
Building materials and furnishings—        
  Sawmilling, plywoods, etc.8,196255615..7,93014..253
  Builders' woodwork4,279109..134,391....122
  Furniture and cabinets4,157312....4,347....345
  Other wood manufacture1,276193....1,087....172
  Brick, tile, and stoneware1,34229....1,237....29
  Pottery and glass1,335210....1,541....261
  Lime, cement, etc.4,383139..104,794....150
Engineering and metal-working—        
  Engineering and machinery17,4471,649....18,655....1,815
  Electrical manufacture4,1791,045....4,348....1,125
  Ships, locomotives, etc.7,3691055,71831892139117
  Vehicle and cycle manufacture4,168294....4,499....308
  Vehicle repair and aircraft16,2071,308..83616,387..81,374
Miscellaneous manufacturing—        
  Chemicals and by-products4,0431,368....4,193....1,388
  Rubber manufacture1,775489....2,125....564
  Paper and pulp products1,671783....1,868....891
  Printing, publishing, and allied7,0012,037511..6,736118..2,003
  Instruments, clocks, jewellery977322....990....336
  Other manufacturing (n.e.i.)1,059710....1,136....790
  Power, water, and sanitary services10,8167363,4216,3861,00916352685
  Building and construction44,57793510,7051,71337,19336646640
Transport and communication—        
  Rail transport18,2301,38417,226846221,155150 
  Road transport14,5619761,5631,44311,71165193728
  Water transport (not waterfront)4,0343691692,6451,453459320
  Air transport713245517..77346..243
  Post and telegraph13,9984,73413,875....4,886.. 
Distribution and finance—        
  Wholesale and retail trade55,97428,61711435158,200281230,451
  Storage44071
  Finance6,2253,3701,227..5,198758..2,848
  Insurance2,9692,000503..2,442410..1,615
  Real estate1,195565....1,168....421
  Wool and grain stores (seasonal)2,07529....1,973....26
Domestic and personal services—        
  Provision of lodging, food, etc.7,0059,913213..6,972265..9,891
  Portrait and photo studios402558....422....564
  Laundries, cleaning, etc.1,6471,940....1,708....1,955
  Barbers, beauty shops, etc.8131,311....880....1,289
  Recreation, sport, etc,3,3491,2489138621,71134546879
  Undertaking37333..162234..427
Administration and professional—        
  Hospitals5,78915,3181,4234,4031241,34312,7081,771
  Medical and allied services5251,36359..514806..842
  Education and instruction10,98712,3691,5638,5461,1681,2879,5401,807
  Arts, sciences, and religion310160636..320151..153
  Government services (n.e.i.)13,5144,98712,095....4,553....
  Local authorities (n.e.i.)7,193779..6,908....812..
  Miscellaneous services and agencies3,4174,364115..3,82380..4,825
    Totals376,743138,28278,99035,828275,50217,05024,106103,651

NOTE.—The above table does not include Armed Forces personnel, numbering 12,100 in April 1953, and 11,800 in April 1954, or persons engaged in farming, fishing, hunting, waterfront work, one-man business units, etc., estimated to total 240,000 in April 1953 and 240,800 in April 1954.

An effective correlation of the figures shown in the preceding tables with those of employment in factories found on pages 568–572 of this volume is precluded by the differing definitions of “manufacturing industry"; furthermore, the tabulations of half-yearly surveys differ from factory production statistics in including managers and foremen, clerical workers, and distributing staff attached to manufacturing establishments in one figure with factory operatives.

Apprenticeships.—Legal provisions governing apprenticeship contracts have been summarized on pages 965–967. The respective numbers of such contracts registered during the year, completed during the year, and in force at the end of the year, are indicated in the following table for each of the years ended 31 March 1953 and 31 March 1954.

TradeApprenticeship Contracts
Registered During Year Ended 31 MarchCompleted During Year Ended 31 March*In Force at 31 March
195319541953195419531954

*Exclusive of lapses and cancellations.

Aircraft212819178493
Baking39444736141125
Boilermaking333212127385
Boot repairing212012156863
Bricklaying23246108389
Carpentering9801,0024976143,5223,782
Clothing44325855238203
Coachbuilding236210108117728759
Coopering..12..23
Dentistry741083125
Electrical2342791501971,0691,103
Engineering2872922972821,2831,226
Motor engineering7127164623922,3582,584
Footwear manufacturing62563731180187
Furniture225255212186998997
Gardening18238177371
Hairdressing292936169596
Jewellery36253521128126
Lead burning13..256
Masonry2..52108
Moulding131116135144
Painting1191398590443457
Photo-engraving182317178487
Plastering80852533225259
Plumbing1772118099691780
Printing128121131107570554
Radio3736192299109
Refrigeration servicing312714198184
Saddlery, leather, and canvas goods889103732
Sheet-metal working25344135126116
Shipbuilding162125117177
Terazzo work121..35
Other242616137280
    Totals3,6873,8192,4922,49913,72214,315

VACANCIES, PLACEMENTS, AND DISENGAGED PERSONS.—In addition to the above-described half-yearly surveys of the employment position as a whole, the Department of Labour maintains a month-to-month record of vacancies, placements, and disengaged persons seeking work. The following tables are derived from this record and hence relate only to the Department's operations as a labour exchange.

Notified Vacancies.—For some years past insufficient labour has been available to satisfy the demands of industry; though diminished in intensity since 1950 this shortage still persists and has latterly shown signs of again becoming more acute. Its extent and distribution may be measured to some degree by the number of unsatisfied vacancies at the end of each month. Particulars of such vacancies at the end of each month from December 1953 to December 1954 (together with monthly averages for the calendar years 1946–54 inclusive), are shown by district groupings in the following table. This table does not necessarily cover the same establishments as the preceding tables derived from half-yearly surveys: on the one hand it does not exclude vacancies on farms, in seasonal manufacturing industry, and in domestic service; but on the other hand it includes only those vacancies which have been notified to a district office of the Department of Labour in its capacity as a placement service.

AucklandWellington and Lower HuttOther North IslandChrist-churchDunedinOther South IslandTotals
Monthly Average For Calendar Years
19465,1095,9732,3842,6262,3651,34519,807
19474,6898,1113,2343,3473,0221,99324,396
19484,3097,8293,2383,2593,0481,80423,487
19493,2347,1913,0902,7592,7821,70720,763
19503,2887,1753,9182,7913,3111,96222,445
19513,0906,6074,4452,9482,6232,25521,968
19522,5545,1933,5392,3981,8322,13117,647
19531,6483,5212,7611,2669451,25811,399
19542,2554,0962,8141,2258771,26512,532
1953—Monthly Totals
December1,8573,2622,8641,2369631,14411,326
1954—       
January1,9613,5242,7831,2907851,23211,575
February2,1734,0702,7081,2528551,24812,306
March2,1754,0722,6031,3098571,24112,257
April2,2303,9952,6741,2839271,18412,293
May2,2284,0292,6861,2469251,19612,310
June2,1573,9422,5901,2109201,22412,043
July2,2553,9772,6821,2588911,14412,207
August2,2824,0002,6389998551,20411,978
September2,3304,2282,7811,0588911,28812,576
October2,4514,3283,2301,1529641,37613,501
November2,5344,4793,3091,2439061,42113,892
December2,2874,5063,0891,3967431,42913,450

Placements.—An industrial analysis of placements by the Department of Labour during each month from December 1953 to December 1954 (with totals for 1946–54 inclusive) follows: not all these placements were, however, of disengaged persons.

Primary IndustryBuilding and ConstructionPower, Water, and Sanitary ServicesManufacturing IndustryTransport and CommunicationDistribution and Finance, etc.Domestic and Personal ServicesAdministration and ProfessionalTotals

*Included in manufacturing industry.

Annual Totals
19464,7563,680*8,3221,8032,5171,4561,95824,492
19475,1832,6323206,8221,2432,7721,4921,75222,216
19485,3392,7472695,8261,0301,7841,3571,91320,265
19495,5792,8193006,1771,3521,7161,6002,00721,550
19506,1292,8023356,3489741,7261,4572,00921,780
19515,7963,0203766,5951,5301,8151,6772,15822,967
19525,4023,5493827,0411,9391,6311,7002,41124,055
19534,8623,8812986,9541,4521,5601,4852,19622,688
19544,3232,7462654,5469921,4461,2571,45717,032
Primary IndustryBuilding and ConstructionPower, Water, and Sanitary ServicesManufacturing IndustryTransport and CommunicationDistribution and Finance, etc.Domestic and Personal ServicesAdministration and ProfessionalTotals
1953—Monthly Totals
Dec.282148152595710669811,017
1954—         
Jan.61218426375103156941301,680
Feb.1,431305225961471671112383,017
March52524724440791241111091,659
April2232211434065103122941,182
May243277304471411221111811,552
June19724130458871401151161,384
July163196193026611580831,024
Aug.240259253616877991181,247
Sept.1972753338797116111941,310
Oct.136175271973710610463845
Nov.16723910377721111141461,236
Dec.1891275266301098585896

A classification of these placements by district grouping is contained in the next table.

AucklandWellington and Lower HuttOther North IslandChrist-churchDunedinOther South IslandTotals
Annual Totals
19462,9212,8047,9833,0332,6905,06124,492
19472,4743,0726,3022,4642,1395,76522,216
19482,3132,9245,6092,3621,5365,52120,265
19492,9972,6435,8282,4661,9705,64621,550
19503,5202,4065,4682,1961,7606,43021,780
19513,7833,2355,3462,3722,1826,04922,967
19524,3953,9424,7672,7442,5375,67024,055
19534,0883,9804,5262,1953,0194,88022,688
19542,0862,6513,7631,7522,2554,52517,032
1953—Monthly Totals
December167122202951752561,017
1954—       
January1132342891542026881,680
February2984044142522541,3953,017
March1912133431861515751,659
April1631703191241412651,182
May1543853661522532421,552
June3391543001921872121,384
July1251382701291701921,024
August881634491042451981,247
September1722652811842022061,310
October12611122574146163845
November135296348811791971,236
December182118159120125192896

Summary.—The following table contains a summary of the numbers of notified vacancies, placements, and disengaged persons as recorded by the Department of Labour for each month from December 1953 to December 1954, together with monthly averages for the calendar years 1946–54 inclusive.

Vacancies at End of MonthPlacements During MonthDisengaged Persons at End of Month
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Monthly Average For Calendar Years
19468,42211,38519,8071,7712702,04136818386
194712,22512,17124,3961,4653861,85183992
194812,16111,32623,4871,2434461,68961667
194911,0559,70820,7631,3134831,79688492
195013,1659,28022,4451,3204951,81534438
195113,6908,27821,9681,3905241,91429938
195211,7335,91417,6471,4705352,005331447
19537,9443,45511,3991,3615301,891671885
19548,4044,12812,5329974221,419481058
1953—Monthly Totals
Dec.7,7173,60911,3267412761,017561470
1954—         
Jan.7,8943,68111,5751,0356451,68056864
Feb.8,4063,90012,3061,7261,2913,017321143
March8,2683,98912,2571,1035561,659421961
April8,1574,13612,2938673151,182501565
May8,2064,10412,3101,1414111,552351550
June8,0344,00912,0431,0982861,384691079
July8,1334,07412,2078351891,02490898
Aug.7,9724,00611,9789972501,247591069
Sept.8,3124,26412,5761,0033071,31058361
Oct.9,0524,44913,50164919684530636
Nov.9,3474,54513,8929133231,23625429
Dec.9,0744,37613,45059630089628735

The number of disengaged persons still enrolled for placement by the Department of Labour reached its lowest level (12) at the end of March 1951. The lowest figure recorded during 1954 was 29 in November of that year. It has usually been found that a considerable proportion of those concerned were suffering from some form of disability, making placement in suitable employment a matter of some difficulty.

EMPLOYMENT ON FARMS.—The omission of farm employment from the Department of Labour statistics shown on the preceding pages was partly made good by figures derived from a special census of agriculture taken in 1950.

A table giving statistics of farm workers and farm population as at 31 January 1950, covering persons actually residing on holdings of 1 acre and over situated outside borough boundaries, was published on page 979 of the 1954 Year-Book.

SEASONAL FLUCTUATIONS IN EMPLOYMENT.—The adoption of the maintenance of full employment as a desideratum in many countries has prompted research into various employment problems, including that of the fluctuation or periodicity of employment. Information on the annual cycle of employment in New Zealand is available for those industries which are covered by the

half-yearly survey. The following table shows the month-to-month variations in male employment in seasonal industries for the period of thirteen months from April 1953 to April 1954. The seasonal changes in female employment are less marked, such fluctuations as are evident originating mainly in the fruit and vegetable preserving industry.

Meat Processing, etc.Fruit and Vegetable PreservingDairy FactoriesWool StoresTotals, Seasonal Industry
1953Males
April16,4717434,0722,07423,360
May15,6657153,8871,50021,767
June13,1576893,5231,11618,485
July10,5036783,4321,05015,663
August10,2646743,7911,04815,777
September9,8536674,3461,16716,033
October9,3976884,7061,68716,478
November9,5567234,8642,79317,936
December14,0771,0274,8593,07223,035
1954     
January18,2481,1114,7502,96827,077
February18,3298414,5632,61326,345
March17,5578414,2472,28124,926
April15,9517094,0181,97122,649

PUBLIC WORKS.—Since 1935 figures have been available which include not only the number of workers in the direct employ of the Public Works Department (now subdivided into the Ministry of Works and the State Hydro-electric Department), but also those employed by contractors for public works, and those employed by local authorities on (a) works which are financed wholly or partly by the Ministry of Works, and (b) highway or road construction and maintenance. In the next table figures on this basis are given for the years 1944 to 1954 and at quarterly intervals from December 1953 to December 1954. Departmental and contractors' workmen on Housing Division work are now included.

PERSONS ENGAGED ON PUBLIC WORKS (INCLUDING HYDRO-ELECTRIC WORKS AND HOUSING)

Hydro-electric WorksRoadsIrrigationLand Development, etc.
State Hydroelectric DepartmentMinistry of Works
Average for calendar year—     
19442,7542,816236133
19452,9192,880491
19463,2493,380555
19471,5752,0874,205206296
19481,6572,1664,446153282
19491,7212,1744,515121370
19501,9452,4654,472148336
19512,3032,5154,361133354
19522,5012,8254,659102338
19532,7253,4834,276100259
19542,8453,0364,373126291
Month—     
1953—December2,8713,4784,16981253
1954—March2,8983,2134,18090282
June2,8933,0014,363132308
September2,7832,8054,572164313
December2,7422,7754,586152267
Average for calendar year—     
19444,0523244753,49314,283
19454,5402504542,56414,098
19465,4273993962,27315,679
19476,0923822492,03717,129
19487,0794171341,88518,219
19497,6094172131,86519,005
19506,9024363331,84918,886
19514,9613773361,76617,106
19524,9683865511,77218,102
19535,8333906601,90819,634
19545,1573314341,85018,443
Month—     
1953—December5,5533286151,77719,125
1954—March4,7093475641,96118,244
June5,1953253951,83718,449
September5,3353253181,80318,418
December5,2253243041,82518,200

The figures shown in this table and also those in the table below on local authority employment are included in the national employment tables already presented.

Local Authority Statistics.—The following table shows employment by local authorities for each month from April 1949 to March 1954. Employees of Electric Power Boards are included here but not those of Hospital Boards; those of Fire Boards are included only from April 1950.

Month1949–501950–511951–521952–531953–54
April20,38221,28320,41721,03421,776
May20,53321,47120,88321,43521,956
June20,82921,50520,98021,41922,187
July21,00721,70421,16821,75822,321
August21,27621,74421,39021,75122,381
September21,18321,04320,95621,86522,326
October21,02121,33321,00621,80522,266
November21,03021,13921,05821,91122,184
December20,89321,23220,91522,21722,372
January20,74920,95120,86121,94622,123
February20,66720,91820,89221,98321,998
March20,91920,35820,81522,07221,984

Chapter 40. SECTION 40—INDUSTRIAL UNIONS

Table of Contents

INTRODUCTORY: Legislative Authority.—In New Zealand dual provision for the registration and protection of unions of workers and of employers exists in the Trade Unions Act and the Industrial Conciliation and Arbitration Act, references to which are made in Section 38 of this volume. The Industrial Conciliation and Arbitration Act 1925, which had been amended from time to time, was again amended and consolidated in 1954.

The Act requires certain provisions to be included in the rules of industrial unions, especially that elections of officials are to be made by secret ballot of financial members or by such other democratic method as may be approved by the Registrar of Industrial Unions. The Registrar may refuse any unreasonable or oppressive rule, subject to a right of appeal by the union to the Court of Arbitration. He may also, on application by at least ten financial members, refer to the Court for inquiry a disputed election of union officials. Secret ballots are required to validate subscriptions in excess of 2s. weekly and levies on union members. Penalties are prescribed in the case of a strike or lockout initiated without the taking of a secret ballot.

Provision was made under section 17 of the Industrial Conciliation and Arbitration Act 1925 (repeated in section 79 of the consolidated Act) for the furnishing of an annual return showing the number and membership as at 31 December of unions registered under the Act. It is from this return (see parliamentary paper H–11) that the tables in this Section have been compiled. Very little information is available as to registration of unions under the Trade Unions Act, which is now practically inoperative. The number of unions registered under this Act as at the end of 1954 was 3 only. Unions registered under the Trade Unions Act may also be registered under the Industrial Conciliation and Arbitration Act.

General.—The following paragraphs give a brief outline of the constitution, government, objects, and powers of industrial unions.

Constitution.—An industrial union is constituted in accordance with the provisions of the statute under which it has been registered. Its membership consists of workers or employers in a specified industry or group of related industries, while its territorial scope is defined with reference to localities, industrial districts, the North or South Island, or the country as a whole. Minimum membership requirements in the case of a union of employers are as follows: jurisdiction in one district only, not less than three members; two or more districts or in North or South Island, all the employers in the North Island or in the South Island, or a branch of not less than three members in each of at least two districts; and in New Zealand as a whole, all the employers in New Zealand, or a branch of not less than three members in each of at least four districts. For a union of workers the corresponding requirements are: jurisdiction in one district only, a society of 15 workers in the industry (if less than 15, then not less than one-quarter of the number engaged, with a minimum of 5); in two or more districts or in the North or South Island, a branch having 15 members (or one-quarter of the number engaged, but not less than 5) in each of at least two districts; and in New Zealand as a whole, a branch having 15 members (or one-quarter of the number engaged, but not less than 5) in each of at least four districts. There are three exceptions to these requirements—namely, an incorporated company if an employer of labour, which can be registered individually, a trade union registered under the Trade Unions Act 1908, and certain organizations of Government railway employees, special statutory provisions applying to these.

Government.—The method of government and the objects of a union are provided for in the rules recorded when the union is registered, any amendments becoming effective only after having been also registered. A Committee of Management, either appointed or elected according to the rules, provides the executive aspect of the union. Government is exercised by regular meetings of the union where this is possible, together with half-yearly or annual general meetings. With larger unions having a wider coverage, to preserve the democratic aspect of each member having a right to participate in control, the practice is to establish branches (or sub-branches) where the membership is warranted, each branch having its own Management Committee, elected by the members, with power to conduct its business. In these cases in lieu of annual general meetings, conferences attended by delegates elected by the various branches are held as required, normally annually, while provision is sometimes made in the rules or by statute for the determination of certain questions by secret postal or other ballot of all financial members, or for the ratification of conference decisions upon specified matters by a majority of the branches. In some unions a Council, comprising the officers of the union together with an elected representative from each of several groups of branches, is set up to meet quarterly or as deemed necessary for the transaction of important business, with a subsidiary committee (usually called the executive), comprising the officers and a specified number of other elected members resident in reasonable proximity, to deal with day-to-day matters.

Objects.—The primary object of an industrial union is to protect or promote the interests of either employers or workers in a specified industry or related industries in New Zealand or in a specified locality, the interests being purely industrial and relating exclusively to wages, hours, and conditions of employment. Ancillary objects are as follows:

  1. To enter into industrial agreements relating to conditions of employment and, where necessary, to refer industrial disputes to Councils of Conciliation (upon which the union is entitled to be represented by its Chairman or Secretary or by a specified number of persons appointed in writing or in such other manner as its rules prescribe);

  2. To affiliate with or be a member of any industrial association in the industry or any organization formed for the purpose of protecting or promoting the interests of employers or workers throughout New Zealand;

  3. To take or empower such legal and other lawful proceedings as may be necessary for the conduct of the union's business;

  4. To invest the funds; and

  5. To exercise such other rights and powers as may be conferred by law upon industrial unions registered under the Act.

Powers.—The powers of a union are limited to those authorized by statute, and the manner in which such powers may be exercised, where not specifically mentioned in the statute, must be set out in the rules. It cannot use its funds for any purpose foreign to the purposes for which it is established, nor can it commence any project nor use its funds in any manner not contemplated by the Act under which it is registered. But while an industrial union registered under the Industrial Conciliation and Arbitration Act would have no power to collect and administer funds for political purposes, a union in which membership is by law obligatory as a condition of a person's lawful employment in any position is empowered, under the Political Disabilities Removal Act 1936, to apply its funds in furtherance of political objects if a majority of all the members of the union so decide by a resolution passed on a ballot of the members, taken in accordance with its rules. Further, a union in which no such legal obligation of membership exists may exercise such power, if a majority of the total valid votes recorded at any such ballot is in favour of the proposal.

In the tables which follow—particularly that for workers' unions—a union which extends over more than one industrial district without covering either the whole of New Zealand or the whole of the North Island or the whole of the South Island, is included under “number of unions” in the district where the greatest number of members is located. Under “membership,” however, the number of members is distributed over the various districts according to the best estimates available, either from previous H–11 returns or from census figures of occupations grouped into such districts.

INDUSTRIAL UNIONS OF EMPLOYERS.—The numbers and membership of industrial unions of employers registered under the Industrial Conciliation and Arbitration Act as at the end of each of the years 1949 to 1953 are shown in the following table.

As at 31 DecemberIndustrial District
NorthernWellingtonCanterburyOtago and SouthlandTaranakiMarlboroughNelsonWestlandNorth IslandSouth IslandNew ZealandTotals

*Membership of 276 unions only; membership of 6 unions (Taranaki District, 4; Wellington, 2) not available. Membership of these 6 unions in 1948 was 64.

† Membership of 272 unions only; membership of 5 unions (Northern District, 1; Wellington, 1; Taranaki, 1; and Nelson, 2) not available. Membership of these 5 unions in 1949 was 42.

‡ Membership of 271 unions only; membership of 2 unions (Northern District, 1; Wellington, 1) not available. Membership of these 2 unions in 1950 was 4.

§ Membership of 270 unions only; membership of 4 unions (Wellington District, 1; Canterbury, 2; and Otago and Southland, 1) not available. Membership of these 4 unions in 1951 was 45.

|| Membership of 266 unions only; membership of 1 union (Wellington District) not available. Membership of this union in 1952 was 65.

Number of Unions
1949498740391241074327282
1950488341361141263330277
195151794038941065229273
195247824238851065130274
195347793936951055131267
Membership
19494,1323,0861,4861,6734156230312269726,97618,396*
19503,8153,1141,4461,5625096432514358717,28118,388
19514,1633,1661,4931,6025115932713997227,44119,020
19524,2103,2361,6091,5934668532113910087,78419,551§
19534,6603,2431,6451,6334798432711010687,86020,155||

The number of unions of employers and their membership rose gradually to 149 unions, with 5,819 members, in 1914, the year following that of the prolonged waterside workers' strike. From that year until the passing of the 1936 Act membership figures remained fairly constant. The effects of the 1936 amending Act may be judged from the fact that the 1945 figure of membership showed an increase of approximately 290 per cent over the 1935 total. Further increases subsequently took place, and the 1953 figure of 20,155 was the highest yet recorded. A certain amount of duplication, however, exists in employers' union membership, many employers belonging to two or more unions.

INDUSTRIAL UNIONS OF WORKERS.—Industrial unions of workers and their membership are shown in the next table as at the end of each of the five years 1949 to 1953. It should be noted that the statistics cover only unions registered under the Industrial Conciliation and Arbitration Act.

The membership of workers' unions rose year by year, without exception, from 17,989 in 1900 to 73,991 in 1914. It fell off during the period of the First World War, but a phenomenal rise was recorded in 1919, the year immediately following the cessation of hostilities. The total for 1928 (103,980) was the highest recorded up to and inclusive of 1935, but is far below the present figures. The 1936 amending Act, which provided for compulsory union membership on the part of workers subject to an award or industrial agreement, has, of course, been responsible for the high figures of later years.

From 1940 to 1943 the decreased membership reflected to a certain extent the withdrawal of men from industry consequent on the prosecution of the war, but in each of the subsequent years 1944 to 1949 increases in membership were recorded. Compared with 1935, the year prior to the introduction of compulsory union membership, the 1949 figure (275,977) showed an increase of 195,048, or 241 per cent. The 1950 and 1951 figures (267,225 and 272,843 respectively) showed a recession from the general upward trend in membership of workers' unions. This upward trend was resumed, however, in 1952 and new record levels attained of 283,456 members in 1952 and 290,149 in 1953. The 1950 figure is known to have excluded the membership of five workers' unions which had in the previous year a combined membership of 8,554. The prolonged waterfront strike of 1951, to which in fact the deficiency in the 1950 figures was indirectly due, led to the deregistration of national or district unions in several industries (refer to page 1005). By 31 December 1951 many members of these unions had not joined the new local unions which took their place, but a year later union membership had again become normal. A provisional figure for 31 December 1954 is 299,242.

As at 31 DecemberIndustrial District
NorthernWellingtonCanterburyOtago and SouthlandTaranakiMarlboroughNelsonWestlandNorth IslandSouth IslandNew ZealandTotals

*Membership of 371 unions only; membership of 1 union (Otago and Southland District) not available. Membership of this union in 1948 was 6.

†Membership of 365 unions only; membership of 5 unions (Northern District, 2; Otago and Southland, 1; Taranaki, 1; and New Zealand, 1) not available. Estimated membership of these 5 unions in 1949 was 8,554.

‡Membership of 411 unions only; membership of 4 unions (Otago and Southland District, 2; and Nelson, 2) not available. Estimated membership of these 4 unions in 1950 was 114.

§ Membership of 414 unions only; membership of one union (Otago and Southland District) not available. Membership of this union in 1951 was 40.

Number of Unions
19498658408718718174136372
19508560408716717163138370
19519682429219924123135415
195210081428919920163135415
19539485438619919174135412
Membership
194958,69043,85725,72023,9433,0057331,8883,5083,47730111,126275,977*
195057,21244,81925,62823,7163,7511,1862,0993,3353,22831102,220267,225
195162,05242,08227,46124,7814,2981,3502,4343,0003,36732101,986272,843
195264,44845,43027,81125,2204,9791,4132,4653,4173,39232104,849283,456§
195365,98847,17028,24524,6415,2771,1932,4233,4923,88534107,801290,149

A further indication of the progress that has taken place in the membership of workers' unions is afforded by the accompanying diagram, which shows the numbers at five-yearly intervals from 1910 to 1945, and annually thereafter.

In the following table industrial unions of workers are classified according to membership. Unions for which no membership figures were available have been classified under “number of unions” according to the latest membership known. Under “membership”, however, nothing is included in respect of such unions (see footnotes to previous table).

YearUnder 100100 and Under 200200 and Under 300300 and Under 500500 and Under 1,0001,000 and Under 2,0002,000 and Under 3,0003,000 and Under 5,0005,000 and Under 10,00010,000 and OverTotals
Number of Unions
190114230195411......202
1911182532623148....1..307
19212397036282811321..418
193123958313029143..1..405
19411847038383227131052419
19491376741303825101383372
19501356044323924131283370
19511656944383928111173415
19521597246354127131273415
1953155674541452591483412
Membership
19015,7774,0324,8152,0732,5201,6512,900......23,768
19117,5217,6866,3608,8799,6859,414....6,084..55,629
192111,2229,7089,18211,06618,52714,5807,4336,5069,495..97,719
19319,9697,9667,57811,24420,60218,5666,744..7,857..90,526
19417,9099,7689,20715,06022,84135,41731,01241,19128,98729,657231,049
19496,4849,6449,95212,31527,41235,35124,05249,12748,26953,371275,977
19506,3008,21010,15212,44527,73231,43230,83947,29841,51151,306267,225
19517,76110,22510,39414,67127,27439,65827,36443,21840,27852,000272,843
19527,38010,22610,94113,75728,97737,10431,14047,47144,18752,273283,456
19537,0029,42310,74216,12332,36936,04820,54053,27250,58554,045290,149
Percentage of Total Membership
190124.317.020.38.710.66.912.2......100.0
191113.513.811.416.017.416.9....11.0..100.0
192111.59.99.411.319.014.97.66.79.7..100.0
193111.18.88.412.422.820.57.4.8.6..100.0
19413.54.24.06.59.915.313.417.812.612.8100.0
19492.43.53.64.59.912.88.717.817.519.3100.0
19502.43.13.84.610.411.811.517.715.519.2100.0
19512.93.73.85.410.014.510.015.914.819.0100.0
19522.63.63.94.910.213.110.916.815.618.4100.0
19532.43.23.75.611.212.47.118.417.418.6100.0

There has been a more or less steady growth in the average size of workers' unions, the trend being to a certain extent obscured at times by the cancellation of registration by some large unions. An average membership of 118 in 1901 increased in 1921 to 234, in 1941 to 551, and in 1949 to 742. The average membership of the 412 workers' unions registered in 1953 was 704.

INDUSTRIAL AND GEOGRAPHICAL DISTRIBUTION.—In the next table industrial unions of employers as at the end of 1953 are shown according to industrial group, and membership according to industrial group and district.

Industrial GroupMembership—Industrial DistrictNumber of Unions
NorthernWellingtonCanterburyOtago and SouthlandTaranakiMarlboroughNelsonWestlandNorth IslandSouth IslandNew ZealandTotals

*Including 1 union for which no membership figures are available.

Provision of—             
  Food, drink, etc.2,2346393097392961213024....794,46259
  Clothing, footwear, and textiles4282505............3,0453,22411
  Building and construction1,5361,10455744610753130........3,93350
  Power, heat, and light..373141152............10777311
  Transport by water162317894104....2211314
  Transport by land1301275056........1286745011
  Accommodation, meals, and personal service46142234314958155782....7272,31435
Working in or on—             
  Wood, wicker, seagrass, and fibre51775114............4035969
  Metal302835..........18..71782814*
  Stone, clay, glass, and chemicals354135........36....11110
  Paper, printing, etc.12312748569..........1938219
  Skins, leather, etc.97123..............316
  Mines and quarries........................ 
  The land (farming pursuits)2512219..........40..2,2562,46210
Miscellaneous..58................4184768
    Totals4,6603,2431,6451,6334798432711010687,86020,155267*

Similar information to that given for industrial unions of employers is now given for workers' unions, as at the end of 1953.

Industrial GroupMembership—Industrial DistrictNumber of Unions
NorthernWellingtonCanterburyOtago and SouthlandTaranakiMarlboroughNelsonWestlandNorth IslandSouth IslandNew ZealandTotals
Provision of—             
  Food, drink, etc.10,4205,8163,6094,9771,181136301..280347,25834,01272
  Clothing, footwear, and textiles7,5665,1804,6762,915..............20,33717
  Building and construction7,3744,1462,2202,866512243724....9,90027,10339
  Power, heat, and light28730510177..............8505
  Transport by water3,2123,0798221,3743134791137....2,92211,99747
  Transport by land5,0143,2042,2001,649530200446208....21,67835,12923
  Transport by air................142....1421
  Accommodation, meals, and personal service7,0927,2002,9812,911497220250414......21,56526
Working in or on—             
  Wood, wicker, seagrass, and fibre1,5111,322875433..40375948....7,85213,35617
  Metal7851,368665963........3,223..24,63231,63625
  Stone, clay, glass, and chemicals1,04662524635986..142......782,58220
  Paper, printing, etc.700..................5,0975,7973
  Skins, leather, etc.70035120434..............1,2897
  Mines and quarries404..52333......1,038......1,82717
  The land (farming pursuits)22354....36..........16,10116,4144
Miscellaneous19,65414,5209,5145,7502,122526781723240..12,28366,11389
    Totals65,98847,17028,24524,6415,2771,1932,4233,4923,88534107,801290,149412

INDUSTRIAL ASSOCIATIONS.—At 31 December 1953 there were 19 industrial associations of employers and 39 of workers, the former having 139 affiliated unions and the latter 217. The following summary shows the number of industrial associations of employers and workers in each industrial group, with the number of affiliated unions in each case. In most cases the associations cover the entire country.

Industrial GroupEmployersWorkers
AssociationsAffiliated UnionsAssociationsAffiliated Unions
19521953195219531952195319521953

*Including one in process of cancellation.

Provision of—        
  Food, drink, etc.553738452230
  Clothing, footwear, and textiles........331212
  Building and construction334140332223
  Transport by water1110105*42525
  Transport by land1144111212
  Accommodation, meals, and personal service222120331818
Working in or on—        
  Wood, wicker, seagrass, and fibre11442277
  Metal........3389
  Stone, clay, glass, and chemicals22773399
  Paper, printing, etc.221111........
  Skins, leather, etc.11331144
  Mines and quarries........2246
  The land (farming pursuits)11221133
Miscellaneous........886059
    Totals19191401393939206217

PROPORTION OF UNIONISTS.—The following table, showing the proportion of workers belonging to unions registered under the Industrial Conciliation and Arbitration Act to the total number of wage earners in the country, is of interest as manifesting the movement in and the extent of unionism during the period under review. The figures given for total wage earners are derived from census enumerations and would include professional, business, and other classes in which unionism prior to the passing of the amending Act of 1936 did not exist, and agricultural and pastoral occupations where it was practically non-existent. In addition, females are included in both sets of figures, although the proportion of women unionized prior to 1936 was negligible.

Census YearTotal Wage EarnersCensus YearNumbers of Workers on Rolls of Registered UnionsPercentage of Wage Earners on Rolls of Registered Unions

*1950 figures incomplete.

1901 (March)224,3461900 (December)17,9898
1906 (April)269,0391905 (December)29,86911
1911 (April)304,2721910 (December)57,09119
1916 (October)302,1611916 (December)71,58724
1921 (April)370,6921920 (December)96,35026
1926 (April)414,6731925 (December)100,54024
1936 (March)496,5631935 (December)80,92916
1945 (September)473,6841945 (December)229,10348
1951 (March)577,6941950 (December)267,225*46

Chapter 41. SECTION 41—INDUSTRIAL DISPUTES

Table of Contents

THE compilation of statistics regarding industrial disputes was first undertaken by the Census and Statistics Department at the beginning of the year 1920. Information concerning disputes prior to that year was obtained by examination of the records of the Department of Labour.

Under the system originated in 1920, returns furnished by Inspectors of Factories from inquiries made in each district form the main source from which information is obtained. It is considered that the statistics based on these reports are less liable to bias, than would be the case if parties to the dispute or other private persons were relied on to furnish the information. It is the duty of an Inspector, during the course of a dispute in his industrial district, to collect all available particulars relating to it. The Inspectors have power to make the necessary inquiries, and thus are able to obtain complete information.

In these tabulations the term “industrial dispute” refers only to those disputes which result in a strike or a lockout, or where organized “go slow” or other passive resistance methods are clearly manifested. Many disputes are, of course, settled without recourse to such measures; these are not recorded for statistical purposes. Definitions of the terms “strike" and “lockout" are given on page 963 of this Year-Book. In the tables following no distinction is drawn between strikes which are lawful and those which are unlawful.

It occasionally happens that there are strikes in different centres with the same or similar objects, and occurring at or about the same time; in such cases the several disturbances are treated as one if the available evidence is sufficient to justify such a course, and the duration is taken as the maximum duration in any centre. While the dispute itself may be tabulated under a single industrial district, the actual number of workers involved may be distributed over more than one of the districts.

Reference to enactments framed to mitigate the severity of industrial disputes will be found in Section 38D of this Year-Book.

NUMBER AND MAGNITUDE.—Although the records of the Department of Labour contain certain information regarding industrial disputes which occurred prior to 1920 (the year in which the present system of reporting was instituted), the details are not sufficiently complete to permit of a full comparison with later years. This applies also in some measure to 1920, as information under some headings did not become available until 1921. Consequently the following summary has been divided into two parts—viz., 1906–20 and 1921–54.

In the first part only the total number of disputes occurring during the period is shown, together with the number of disputes and workers involved where such information is available.

YearTotal DisputesDisputes Where Complete Details Available
NumberWorkers Involved
19061188
190765558
19082263
19091....
1910159255
191122171,375
191224225,746
1913737013,400
191420194,089
191586295
1916159899
191745252,734
191840294,056
191945324,030
1920777715,138

The more detailed figures for the period 1921–54 are as follows.

YearStrikesLockoutsTotal DisputesFirms AffectedWorkers Involved*Working Days Lost*Estimated Loss in Wages*

*Includes workers indirectly involved.

       £
192177..7711210,433119,20890,477
192258..58676,41493,45660,782
192349..49797,162201,812114,074
192434..345814,81589,10562,732
192581283939,90574,55249,149
192659..59676,26447,81132,355
192738..38404,47612,48511,819
192837239569,25821,99722,304
192946147607,15125,88926,940
193038..38445,46731,66937,299
193123124376,35648,48644,544
193223..23679,355108,605105,715
193315..15433,55865,09959,334
193424..24373,77310,3937,121
193512..12652,32318,56315,266
193643..431287,35416,98012,886
193752..527311,41129,91632,129
193872..7210311,38835,45642,104
193966..6663615,68253,80160,394
1940561579910,47528,09728,062
194189..899715,26126,23734,552
194265..657814,34551,18963,179
194369..6911410,91514,68720,179
1944148114926929,76652,60274,012
1945154..1541,25539,41866,62992,546
194696..9612215,69630,39340,112
1947134..13423426,970102,725187,669
1948101..10188528,49493,464195,985
1949123..1231,31561,536218,172390,773
1950129..1291,18991,492271,475514,236
1951109..10935436,8781,157,3903,111,307
195250..5017716,29728,12369,371
195373..7388022,17519,29148,433
195461..6144716,15320,47466,366

The figures for strikes include details of stop-work meetings unless, as on the waterfront, provision is made for these in the relevant award or agreement. In all cases unauthorized stop-work meetings are included, also unauthorized delays in resuming work after recognized stop-work meetings. A single dispute may include or may consist of one stop-work meeting or several stop-work meetings; if several such meetings are included, these may be held at different times or different places, provided all relate to the same issue. This class of strike has assumed considerable importance recently, the number of such cases in the five years 1950–54 being 128 (153 stop-work meetings), involving 48,486 workers, and the loss of 30,242 working days and of £73,123 in wages.

In the table shown later recording methods of settlement, all such interruptions of labour, including periods of deliberate absence from work by way of a protest against an alleged injustice, are classified under the heading “Voluntary return to work”. In 1950 these cases comprised 63 out of 129 stoppages; in 1951, 59 out of 109; in 1952, 18 out of 50; in 1953, 44 out of 73; and in 1954, 30 out of 61.

In calculating the number of working days lost it is assumed that work would have been continuous if no dispute had taken place. No allowance is made for loss of work from unemployment or other causes which might have occurred even if there had been no dispute, nor is the possibility taken into account of strikers being replaced with non-union labour. In some cases, such as shearing, there is a definite amount of work to be done, and a stoppage of work does not decrease the total amount of it, but only postpones its completion. In those cases the figures are perhaps more or less fictitious, but in the great majority of cases they represent a real loss.

From the preceding tables it will be seen that the number of disputes occurring in any one year was comparatively small until 1913, the high point for that year coinciding with the watersiders' and slaughtermen's strikes of the period. The total for 1913 was not surpassed until 1920 and 1921, the present system of recording industrial disputes being commenced in the latter year. In 1921 the number of disputes was at a relatively high level, but from then onwards, with the exception of one or two temporary fluctuations, the general trend in both number of disputes and number of workers involved showed a downward tendency, culminating in the low figure of 12 disputes involving 2,323 workers in 1935.

The next fifteen years exhibited a reversal of this trend, and particularly during 1946–50 the number of men going on strike each year increased, a new high level being reached in 1950 for the number of workers involved (91,492). In 1951, despite the occurrence of a most serious dispute, the number of workers involved fell to 36,878. In the latter year, however, record high levels were established in the number of working days lost (1,157,390), and in the estimated loss in wages (£3,111,307). The greatest number of disputes in one year is still, however, 154 in 1945, and of firms involved, 1,315 in 1949. There was comparative peace in industry in 1952, the number of disputes falling to 50, and the overall picture was comparable with that of a wartime year. During 1953 and 1954 similar conditions prevailed, the number of working days lost in 1953 (19,291) being the lowest figure registered for ten years and the second lowest since 1936.

Prior to 1951 the greatest time lost by disputes in any one calendar year was in 1950, when several serious disturbances occurred, including a general railways strike, three separate waterfront disputes, a coal-mines stoppage, and a subsidy-removal protest involving workers in some ten industries. The next highest figure of man days lost was that for 1949, when the Auckland carpenters' strike and also a general waterfront stoppage occurred. Next in order—in point of lost time—came 1923 when serious disputes occurred in the coal-mining and shipping industries, 1921 (marked by strikes of waterside workers), 1932 (chiefly strikes of waterside workers and coal miners), 1947 (stoppages among waterside workers, freezing workers, and coal miners), and 1948 (disturbances in coal mining, waterfront, and building and construction industries).

The year 1951 was marked by a prolonged waterfront strike, lasting from 9 February to 17 July, and constituting the most serious industrial disturbance which has ever occurred in New Zealand. From 8 May 1950 workers under Court of Arbitration awards received an interim wage increase of 5 per cent with a maximum of 7s. weekly, while waterfront workers' wages were increased as from the same date from 4s. to 4s. 3d. per hour. From 15 February 1951 the interim adjustment was replaced for award workers by an increase of 15 per cent without a maximum. This was announced on 30 January 1951, whereupon port employers offered to increase waterfront wages to 4s. hourly plus 15 per cent (i.e., to 4s. 7½. per hour). The waterfront workers claimed a greater increase, however, and negotiations shortly thereafter broke down despite Government intervention.

During the currency of this dispute the Government issued a Proclamation under the Public Safety Conservation Act 1932 declaring a state of emergency, following which Waterfront Strike Emergency Regulations were gazetted, giving powers to ensure the observance of law and order, to prevent picketing, threats, and intimidation, to employ Service labour on the waterfront, and to maintain essential supplies and services to the community. The New Zealand Waterside Workers Union was deregistered, and eventually new unions at the separate ports were formed. In the meantime other essential industries, notably coal mining, shipping, and meat freezing, became involved, with the result that the total working time lost was swollen to over 1,000,000 man days, and the total wages lost to over £3,000,000.

The only serious dispute which occurred during 1952 was a disagreement as to wages between tradesmen in freezing works and their employers. Of the total of 28,123 days lost through all disputes in that year, 13,933 days, or almost 50 per cent, were on account of this single strike.

The year 1953 was marked by frequent minor disputes of which, however, no single disturbance merits special mention. The stoppage involving the greatest loss of time (3,525 working days) was in fact a stop-work meeting.

Time lost during 1954 included 6,300 working days in respect of a strike at the Roxburgh hydro-electric construction works, which was the only disturbance of any gravity during that year.

Data for 1954 relating to the remaining tables in this Section were not available at the time of going to press.

NATURE AND DURATION.—The next table shows the nature of the disputes and the number of workers involved during the years 1943–53.

YearNature of DisputeNumber of Workers Involved
Direct StrikeSympathetic StrikePartial Strike*LockoutTotalDirect StrikeSympathetic StrikePartial Strike*LockoutTotal

* I.e., where no actual cessation of work, but a “go slow” or other policy of protest adopted.

194366..3..6910,689..226..10,915
194414422114928,8935782326329,766
194514518..15436,6983342,386..39,418
19469213..9615,283270143..15,696
194712347..13419,4951,9585,517..26,970
19489038..10123,7454804,269..28,494
194911634..12359,6481,088800..61,536
1950129......12991,492......91,492
195158483..10922,42713,878573..36,878
195250......5016,297......16,297
195373......7322,175......22,175

The table following illustrates the duration of disputes during 1953.

DurationNumber of DisputesNumber of Firms AffectedNumber of Workers InvolvedNumber of Working Days LostEstimated Loss in Wages
     £
1 day and less5883919,26912,68332,587
Over 1 day but not over 2 days891,6583,2059,603
Over 2 days but not over 3 days3281,0551,338650
Over 3 days but less than 1 week111176681,200
1 week but less than 2 weeks11840158
2 weeks but less than 4 weeks11415741,985
4 weeks but less than 8 weeks11277832,250
8 weeks and over..........
    Totals7388022,17519,29148,433

GEOGRAPHICAL DISTRIBUTION.—The following table shows the number of disputes in each industrial district for the last five years and also the number of workers involved. In 1953 the Westland District had the greatest number of strikes, but the Northern District the greatest number of workers involved. The engineering industry was strongly, and the footwear and waterfront industries more thinly, represented in the number of workers involved in the Northern District.

YearNorthernTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtago and SouthlandTotals
Number of Disputes
1949683182212612123
195059321....161812129
195144722151299109
195213..3..101211150
195317..4..73141073
Number of Workers Involved
194939,08485010,952159833,7863,8492,77361,536
195035,6272,16828,6942657835,83310,9537,16991,492
195114,6461,18610,1001909813,7673,6842,32436,878
19528,521371,777..2,1822,2671401,37316,297
195311,441..348..2,0625,4712,02183222,175

NOTE.—A dispute extending into more than one industrial district is, in the table “Number of Disputes,” allocated to that district which includes the greatest number of the workers involved. The actual (or occasionally estimated) numbers of workers in the several districts are, however, correctly distributed.

INDUSTRIAL DISTRIBUTION.—In the following table industrial disputes are classified according to the industrial groups in which disputes took place, this grouping being similar to that used in the compilation of wage and industrial-union statistics.

Industrial Group19491950195119521953
Number of Disputes
Provision of—     
  Food, drink, etc.13182956
  Clothing, footwear, and textiles1......2
  Building and construction65339
  Power, heat, and light12....1
  Transport by water28351251
  Transport by land551325
  Accommodation, meals, and personal service11....1
Working in or on—     
  Wood, etc.222..1
  Metal122..1
  Stone, clay, glass, chemicals, etc.464....
  Paper, printing, etc...........
  Skins, leather, etc...........
  Mines and quarries—     
    Coal mines6050403446
    Gold mines....1....
  The land (farming pursuits)..........
Miscellaneous1331..
      Totals1231291095073
Number of Workers Involved
Provision of—     
  Food, drink, etc.2,5603,1888,2171,274246
  Clothing, footwear, and textiles298......2,100
  Building and construction1,8698891,0922611,845
  Power, heat, and light241,600....39
  Transport by water32,33548,00514,9054,2621,008
  Transport by land3,85820,3653,9154,200178
  Accommodation, meals, and personal service6341,295....971
Working in or on—     
  Wood, etc.28526324..292
  Metal1523212..7,050
  Stone, clay, glass, chemicals, etc.263718321....
  Paper, printing, etc...........
  Skins, leather, etc...........
  Mines and quarries—..........
    Coal mines19,28514,4987,8396,2278,446
    Gold mines....105....
  The land (farming pursuits)..........
Miscellaneous11043944873..
      Totals61,53691,49236,87816,29722,175

Out of a total of 484 disputes during the five years 1949–53, 231, involving 56,400 workers, occurred in connection with mining and quarrying; 81, involving 100,515 workers in the group covering transport by water; 71, involving 15,485 workers in the group covering provision of food, etc. (mainly meat freezing); 30, involving 32,516 workers in the land transport group; 26, involving 5,956 workers in the building and construction group; while in the metal-working group there were 6 disputes involving, however, 7,309 workers. A more detailed analysis of disputes occurring during 1953 is given below.

Industrial GroupNumber of DisputesNumber of Firms AffectedNumber of Workers InvolvedNumber of Working Days LostEstimated Loss in Wages
DirectlyIndirectlyTotal
Provision of—      £
  Food, drink, etc.66246..246253592
  Clothing, footwear, and textiles2852,100..2,100525849
  Building and construction93091,845..1,8453,2529,752
  Power, heat, and light1139..392449
  Transport by water1131,008..1,0081881,204
  Transport by land55178..178193394
  Accommodation, meals, and personal service126971..9711,102..
Working in or on—       
  Wood, etc.11292..292292440
  Metal13707,050..7,0503,5257,554
  Stone, clay, glass, chemicals, etc...............
  Paper, printing, etc...............
  Skins, leather, etc...............
  Mines and quarries—       
    Coal mines46648,1552918,4469,93727,599
    Gold mines..............
  The land (farming pursuits)..............
Miscellaneous..............
      Totals7388021,88429122,17519,29148,433

CAUSES.—In the next table the causes of disputes which occurred during the last five years are shown. Under the heading “Wages" are included disputes concerning wages, overtime, or rates for piecework.

Disputes concerning the employment or non-employment of certain classes of persons are included under the heading “Employment.” This question usually arises in connection with industrial union affairs, such as, for instance, the dismissal of a worker on allegedly insufficient grounds, or formerly the employment of non-unionists. Since 1936, however, all adult workers who are subject to any award or industrial agreement have been required, unless specially exempted, to be members of a union, and except when there are no unionists available an employer may not employ a non-unionist.

“Other working conditions” are of diverse nature, but some may be mentioned as follows: distribution of work in coal mines and on wharves, conveyance to and from work, atmospheric conditions in coal mines, accommodation on ships, numbers of men to be allocated to certain duties, supply of food, method of handling cargo.

Under the heading “Sympathy" are included all disputes caused by workers striking not on account of a grievance arising out of their own wages or conditions, but in sympathy with the demands of other workers.

Cause19491950195119521953
Number of Disputes
Wages273620820
Hours2..11..
Employment1412131113
Other working conditions92121210
Sympathy..147....
Other causes7159261830
    Totals1231291095073
Number of Workers Involved
Wages25,14443,63812,3511,4993,375
Hours1,196..2,5461,587..
Employment4,2461,5621,5242,0961,903
Other working conditions2,5299,0638061,6612,477
Sympathy..4113,873....
Other causes28,42137,1885,7789,45414,420
    Totals61,53691,49236,87816,29722,175

There is a strong correlation between “Other causes” in the table shown above, “Voluntary return to work” in the table immediately following, and the “Indeterminate" result in the table on the next page.

A further analysis by causes for the year 1953 will be found on page 1011.

METHODS OF SETTLEMENT.—Following is a table showing the methods of settlement of disputes during the last five years. “Negotiations under Act” now covers negotiations under the Industrial Relations Act only. Negotiations supposedly under the Industrial Conciliation and Arbitration Act and the Labour Disputes Investigation Act were included under this heading in previous years, but are now treated as “Intervention of third party”. “Voluntary return to work” includes such cases as “Protest" absence and stop-work meetings. “Substitution" implies the engagement of other workers. Other headings are self-explanatory.

Method of Settlement19491950195119521953
Number of Disputes
Negotiations under Act10111....
Private negotiations between parties725122320
Intervention of third party22231238
Substitution1........
Voluntary return to work7063591844
Other1372561
    Totals1231291095073
Number of Workers Involved
Negotiations under Act9213,67214....
Private negotiations between parties1,70122,0201,1083,4454,138
Intervention of third party6,17822,7413,586797642
Substitution1,582........
Voluntary return to work45,24942,39018,29411,02117,344
Other5,90566913,8761,03451
    Totals61,53691,49236,87816,29722,175

Further information for the year 1953 is given in the next table.

Method of SettlementNumber of DisputesNumber of Firms AffectedNumber of Workers InvolvedNumber of Working Days LostEstimated Loss in Wages
     £
Negotiations under Act..........
Private negotiations between parties203454,1385,70413,405
Intervention of third party886421,1702,900
Substitution..........
Voluntary return to work4452617,34412,26431,678
Other1151153450
    Totals7388022,17519,29148,433

RESULTS.—In compiling the table which follows no dispute has been included as ending in favour of either employers or workers unless the result has been beyond question. In cases where workers have made more than one demand, succeeding in one or more and failing in one or more, or where they have made one or more demands and in respect of each have been partially successful only, the result has been treated as a compromise. Where strikers have returned to work without any definite decision being arrived at regarding the demands made, or where (as in the case of a sympathetic strike) no definite demand has been made, or where a strike is merely by way of a protest, the result has been recorded as indeterminate.

RESULTS OF DISPUTES

Result19491950195119521953
Number of Disputes
In favour of workers181910125
In favour of employers65313
Compromise1137181621
Indeterminate8868782144
    Totals1231291095073
Number of Workers Involved
In favour of workers5,7226,7937742,158205
In favour of employers2,0422,0938,621280971
Compromise91838,4264,3902,8024,253
Indeterminate52,85444,18023,09311,05716,746
    Totals61,53691,49236,87816,29722,175
Number of Working Days Lost
In favour of workers13,3949,0001,8053,509240
In favour of employers109,95336,160445,631560971
Compromise3,270190,22020,12316,7516,420
Indeterminate91,55536,095689,8317,30311,660
    Totals218,172271,4751,157,39028,12319,291

Of disputes ending definitely in favour of one party or the other during the five years, workers succeeded in 64 instances and employers in 18. In the previous five years (1944–48) workers were successful in 174 instances and employers in 89.

CAUSES AND RESULTS.—In the following table the causes and results of disputes occurring during 1953 are shown in conjunction.

ResultCause
WagesHoursEmploymentOther Working ConditionsSympathyOtherTotals
Number of Disputes
In favour of workers2..21.. 5
In favour of employers....3......3
Compromise12..44..121
Indeterminate6..45..2944
    Totals20..1310..3073
Number of Firms Affected
In favour of workers2..21....5
In favour of employers....4......4
Compromise336..45..1346
Indeterminate6..421..494525
    Totals344..1427..495880
Number of Workers Involved
In favour of workers88..8532....205
In favour of employers....971......971
Compromise2,482..6611,042..684,253
Indeterminate805..1861,403..14,35216,746
    Totals3,375..1,9032,477..14,42022,175
Number of Working Days Lost
In favour of workers73..13532....240
In favour of employers....971......971
Compromise3,037..1,1842,084..1156,420
Indeterminate805..1691,954..8,73211,660
    Totals3,915..2,4594,070..8,84719,291
Estimated Loss in Wages
 £££££££
In favour of workers49..332100....481
In favour of employers....2,190......2,190
Compromise5,308..3,6546,402..21615,580
Indeterminate2,495..5064,515..22,66630,182
    Totals7,852..6,68211,017..22,88248,433

Chapter 42. SECTION 42—INDUSTRIAL ACCIDENTS

Table of Contents

GENERAL.—As a result of an international conference of official statisticians held at Geneva in 1923., under the auspices of the International Labour Office set up by the League of Nations, the collection and compilation of statistics of industrial accidents on substantially uniform lines was undertaken in the principal countries. Collection of statistics of industrial accidents in New Zealand commenced in 1924, and descriptions of the methods adopted and coverage achieved have appeared in earlier issues of this Year-Book.

The present Section relates in particular to the years 1949 to 1953. It is appropriate that these five years should be distinguished from preceding years, for a new series of statistics of industrial accidents was commenced in 1949, with further revision in 1951. These changes actually dated in each case from 1 April of the year mentioned, but it has been found possible to assimilate the pattern of the first three months both of 1949 and also of 1951 to that of the remainder of the year in each case, so as to continue the presentation of these statistics on a calendar-year basis. A discontinuity still remains, however, as regards new fields of accidents which were brought within the scope of the statistics from 1 April 1949, on which see further remarks later.

The main reason for the lack of comparability of the statistics presented in this Section with those for earlier periods was the existence of a State monopoly of workers' compensation insurance, which was introduced on 1 April 1949 and terminated on 31 March 1951, the relevant legislation being contained in the 1947 and 1950 amendments respectively to the Workers' Compensation Act. Information regarding accidents which occurred outside the Public Service during the operation of the monopoly, by arrangement with the State Fire and Accident Insurance Office, was derived from claims for compensation, and not as previously from notifications made to the Department of Labour of accidents taking place, each notification being supplemented by subsequent inquiry as to the final result of the accident.

It is stressed that the figures of accidents in the sector “Private industry (excluding mining) and local authorities” are, for the reason given, not comparable with any figures prior to 1949. The variation is twofold; not only does the transition from the basis of notifications to that of claims seriously impair comparability, but also the field of coverage has been considerably widened. Both these points were illustrated in the table on pages 898–9 of the 1953 Year-Book.

From 1 April 1949 the statistics embrace accidents in the following industries not previously covered: farming; gardening; fishing and whaling; commerce (including shops, offices, and warehouses); land transport other than railways; sea and air transport (including waterfront work); and domestic, health, professional, educational, and recreational services. As regards coverage, the year 1950 was fully comparable with the last nine months of 1949, but in all the following tables these nine months are merged with the first three months for which statistics of accidents in private (i.e., other than State) industry were still derived only through the restricted channel of notifications under the various statutes.

In 1951, despite the closing of the monopoly, the extended coverage was maintained, and even improved, through the assistance of the newly created Workers' Compensation Board, so that a high degree of comparability—if not in the analysis, at any rate in total—exists between the statistics for 1950 and those for subsequent years. (The effect of an amended definition of the term “accident" is discussed later.) The improvements in the coverage relate principally to marine and waterfront work (for which the statistics for 1949 and 1950 are not claimed to be complete), some local authorities, and a few businesses which by special arrangement carry their own compensation insurance—in general there is a statutory liability to insure.

The chief fields still remaining uncovered are Government Departments other than the Government Printing and Stationery Department and those Departments enumerated in the following tables. In only a few cases of minor importance are employees of the State covered by compensation insurance. The method of deriving accident information from claims was retained, and insurers have co-operated with the Census and Statistics Department in this regard.

In the tables which follow, some changes in the classifications, particularly of industries, as compared with those shown in previous issues of the Year-Book, will be observed. During the period of collaboration between the State Fire and Accident Insurance Office and the Census and Statistics Department, classifications were brought into use which served at the one time the purposes of both interested parties, but when the termination of the monopoly permitted a reversion to classifications which had been previously in use, the opportunity was taken of revising the codes throughout, and particularly of introducing the standard industrial classification which is being uniformly adopted in all New Zealand industrial statistics.

In 1952 the gap existing since 1948 in the calculation of accident frequency and severity rates for non-Government industrial activities was bridged, the basis for the calculations (man-hours worked) having been computed on an industry level by the Department of Labour.

Since 1 December 1951 the provision that no compensation is payable for absence from work through accidents of less than three days' duration has been repealed. For the purposes of these statistics the convention has always been adopted that an industrial “accident" means an accident which qualifies for compensation; and accordingly accidents occurring from the date mentioned are included where the disability lasted beyond the calendar day on which the accident occurred.

Attention may also be called to one important limitation imposed by the derivation of accident information from compensation claims. The resultant statistics necessarily exclude accidents to working proprietors who are not insurable under the workers' compensation scheme, and limits the scope of the statistics for the farming industry in particular. The inclusion of this industry from 1949 has increased the proportion of workers under twenty-one years of age to total workers in all industries covered. In interpreting any changes in the percentage represented by accidents to persons under twenty-one years, this fact should be borne in mind.

In comparing the number of accidents in 1951 with those in other years, especially in tables by industrial groupings, it is necessary to bear in mind the serious industrial dispute in certain industries during that year, which lasted some five months and involved a loss of 1,156,000 working days to industry. Workers were thus not exposed to risk of accident over the complete year in some industries. Also changes in procedures following the termination of the Government monopoly of workers' compensation insurance affected, in some cases seriously, comparability in the statistics of industrial accidents for the years 1951 and 1952.

In fact, the tabulations for the year 1951 include late returns received up to October of 1953, and the 1952 tabulations include late returns received up to November of 1953 (one month later). Late receipts usually relate to the more serious accidents where long absences from work or lengthy negotiations prevent returns being completed at an earlier date, and in some cases these accidents date back to earlier years.

A survey of the 1953 returns shows that there are 1,075 reports of accidents occurring in years prior to 1953. Included in this total are 12 fatal accidents, 2 resulting in permanent total disability, and 165 in permanent partial disability.

Under new arrangements with insurance companies, etc., accident reports are being received at quarterly intervals, and August of the following year has been fixed as the date up to which late receipts of returns will be included in respect of the statistics for any particular year.

This new arrangement does not apply to tabulations in respect of annual periods prior to 1953, but should ensure that the statistics from 1953 onwards are comparable.

The changes in the methods, etc., of handling this class of accident insurance over recent years have presented serious problems in the treatment and compilation of the statistics of industrial accidents.

NUMBER OF ACCIDENTS AND AMOUNT OF COMPENSATION PAID.—The distribution of industrial accidents in 1952 and 1953, according to the source of information, is indicated in the following table. Prior to 1949 all accidents were included in the statistics for the year in which the accident occurred. The change in method has been made to obviate delays on account of claims in respect of some of the more serious accidents not being finalized until the action on the claim has been completed. The speeding up of the publication of the statistics, as already mentioned, necessitates the holding over of some of the more serious accident claims for inclusion with later periods.

In this and in the subsequent tables the compensation figures include damages, if any, awarded by a judgment of the Court or by private negotiation, medical expenses, and, in cases of fatal accidents, funeral expenses also. The average amount of compensation per accident under any heading is greatly influenced by the proportionate number of accidents included which terminate fatally or result in permanent disability.

ClassTotal AccidentsFrequency Rate (Accidents Per 100,000 Man-hours Worked)Total Compensation or Damages PaidCompensation Per Case
19521953195219531952195319521953

*No information available.

Private industry (excluding mining) and local authorities    ££££
 30,25732,412**957,8811,315,83531.740.6
Ministry of Works8227685.0005.06525,53530,99931.140.4
State Hydro-electric Department2433114.4915.1825,42810,18322.332.7
New Zealand Forest Service4164029.9149.8617,6587,88418.419.6
Railways2,3762,4584.9654.58863,05560,77126.524.7
Post and Telegraph4886301.3571.71115,47325,34531.740.2
Mining and quarrying2,5992,54218.61118.70669,189108,83126.642.8
All classes37,20139,5233.0363.1301,144,2191,559,84830.839.5

In the table following, industrial accidents during the year 1953 are classified into certain important industrial groups. The New Zealand Standard Industrial Classification of all Economic Activities has recently been adopted, so that the table is not strictly comparable with those published prior to 1951. The time lost through accidents is shown in man-days, the days being calendar, not working, days.

Industrial GroupTotal AccidentsTime Lost (Calendar Days)Total Compensation (Including Damages)
TotalAverageTotalAverage
Agriculture, forestry, hunting, and fishing—   ££
  Agriculture and livestock production3,118298,26296144,40246.3
  Forestry and logging1,082153,00414161,72857.1
  Hunting, trapping, and game propagation5914,4342452,72046.1
  Fishing50909181,03920.8
Mining and quarrying—     
  Coal mining2,268107,9224892,28640.7
  Metal mining557,9931453,58665.3
  Crude petroleum and natural gas122222424.0
  Stone quarrying, clay and sand pits20925,95312412,78361.2
  Non-metallic mining and quarrying91471615216.9
Manufacturing—     
  Food5,672226,17140153,91227.2
  Beverages25812,728497,91630.7
  Tobacco473,665781,68735.9
  Textiles35531,3358814,18440.0
  Footwear, other wearing apparel, and made up textile goods34514,360429,76828.3
  Wood and cork (excluding furniture)1,939171,7218888,82445.8
  Furniture and fixtures27922,7728212,32844.2
  Paper and paper products22917,9747811,74651.3
  Printing, publishing, and allied industries18711,723636,82236.5
  Leather and leather products (except footwear)841,71920£ 1,725£ 20.5
  Rubber products17417,7971028,11846.7
  Chemicals and chemical products50623,5474716,61932.8
  Products of petroleum and coal287762891232.6
  Products of non-metallic minerals82447,7415827,24833.1
  Metal products (except machinery and transport equipment)67656,6038430,05644.5
  Machinery (except electrical machinery) and general engineering1,55292,6186055,85136.1
  Electrical machinery, apparatus, appliances, and supplies25416,744666,48125.5
  Transport equipment1,30776,4875949,96638.2
  Miscellaneous industries1023,823372,38423.4
Construction6,269457,42173254,15440.5
Electricity, gas, water, and sanitary services—     
  Electricity, gas, and steam814129,62115945,29155.6
  Water and sanitary services17314,340837,39842.8
Commerce—     
  Wholesale and retail trade2,650190,1707296,88236.6
  Banks and other financial institutions101321319919.9
  Insurance71,921274742106.0
  Real estate444114812.0
Transport, storage, and communication—     
  Transport5,711302,99753232,26240.7
  Storage and warehousing1256,983563,93531.5
  Communication63227,4644325,35440.1
Services—     
  Government681,315191,48421.8
  Community and business55545,7358229,07452.4
  Recreation16113,912867,47946.5
  Personal66950,7507630,15645.1
Ill defined and not specified61111912320.5
    Totals39,5232,701,866681,559,84839.5

The following table shows, for the last five years available, the average compensation paid, in conjunction with the extent of disability.

YearFatalityPermanent DisabilityTemporary DisabilityTotal
Number of CasesAverage Amount of CompensationNumber of CasesAverage Amount of CompensationNumber of CasesAverage Amount of CompensationNumber of CasesAverage Amount of Compensation
  £ £ £ £
1949591,126.4498490.727,73318.528,29029.2
1950761,397.7687523.632,00021.632,76335.3
1951711,728.3827669.132,59125.233,48944.6
1952541,544.9495473.036,65222.837,20130.8
1953561,385.6782703.038,68524.139,52339.5

The maximum amount, irrespective of medical and funeral expenses, which may be paid in respect of fatalities under the Workers' Compensation Act was from 1 April 1948 raised from £1,000 to £1,500, with a new provision that no deduction was to be made from this amount on account of any weekly payments due to incapacity prior to the occurrence of death unless these payments exceeded £250 in total. From 1 September 1949 this maximum amount was raised to £1,750, and by the Workers' Compensation Amendment Act (No. 2) 1951 was increased from 1 December 1951 to £2,000, with a maximum of £300 from weekly payments before reduction of the principal amount was to become effective. From September 1953 the maximum amount was raised to £2,150 by the Workers' Compensation Amendment Act 1953; the maximum from weekly payments remaining unchanged. To give effect to the general order of the Court of Arbitration increases were gazetted under the Workers' Compensation Order 1953, the maximum amount being £2,370, with a maximum of £330 from weekly payments before reduction of the principal amount became effective. Under the Workers' Compensation Order, effective from December 1954, the maximum amount is now £2,430 with a maximum of £340 from weekly payment before reduction of the principal amount becomes effective (see pages 968–973 of this issue). It should also be remembered that the dependants of a worker accidentally killed may take proceedings at common law (where negligence must be proved), in which case the amount of compensation depends on the verdict of the jury, and it is not limited to the statutory maximum under the Act. Similar action is also taken by the worker himself in some cases of permanent disability, or serious injury, where negligence is considered to have caused the accident.

CAUSE OF ACCIDENT AND EXTENT OF INJURY SUSTAINED.—In regard to the extent and degree of the disability sustained, it is usual to distinguish fatal accidents, accidents causing temporary disability, accidents causing permanent partial disability, and accidents causing permanent total disability. Very few cases of permanent total disability occur in New Zealand, practically the whole of the cases shown under “permanent disability” resulting in partial disability only.

In the actual compilation of the statistics difficulty occasionally arises as to whether a particular injury should be regarded as temporary or permanent; and in cases of doubt the conservative practice has been adopted of classifying the injury in the temporary-disability class. The following table, showing cause of accident in conjunction with degree of disability, relates to the five-year period 1949–53 combined.

CauseFatalityPermanent Disability*Temporary DisabilityTotalPercentage of Total Accidents

*Including permanent total disability cases as follows: 1949, 3; 1950, 1; 1951, 6; 1952, 2; 1953, 3: total, 15.

Machinery201,45521,85723,33213.5
Farming equipment12671,5,941,6731.0
Vehicles13822911,48011,8476.8
Explosions, fires, and hot substances12384,1014,1512.4
Poisonous and corrosive substances491,5861,5990.9
Electricity20153804150.2
Falls of persons—     
  Slipping and stumbling on the level311110,22210,3366.0
  Other2522712,48412,7367.3
Stepping on or striking against fixed objects—     
  Stepping on..11,6501,6511.0
  Striking against2557,0137,0704.1
Falling objects, not being handled by the person injured492059,3979,6515.6
Handling of objects—     
  Heavy936639,23439,60922.9
  Sharp..6711,24511,3126.5
  Hand trucks, etc...172,4632,4801.4
  Continual handling..62,0952,1011.2
Hand tools433223,03623,37213.5
Animals and insects6582,6942,7581.6
Miscellaneous—     
  Doors, windows, covers, gates (excluding elevators)..241,6071,6310.9
  Other24715,3985,4933.2
    Totals3283,353169,536173,217100.0

Similar information according to the class of employer is now given for the same period as that covered by the preceding table.

ClassFatalityPermanent Disability*Temporary DisabilityTotalPercentage of Total Accidents

*Including permanent total disability cases as follows: 1949, 3; 1950, 1; 1951, 6; 1952; 1953, 3: total, 15.

Private industry (excluding mining) and local authorities2272,995136,263139,48580.4
Ministry of Works16603,5013,5772.1
State Hydro-electric Department11111,0651,0870.6
New Zealand Forest Service2151,8361,8531.1
Railways458811,74111,8746.9
Post and Telegraph2172,5202,5391.5
Mining2516712,61012,8027.4
    Totals3283,353169,536173,217100.0

Further information on degree of disability by industrial groups will be found in the table on page 1022.

AGE OF WORKER.—The following table supplies a percentage distribution of accidents, recorded during each of the last five years, according to age groups of the persons injured.

Age, in Years19491950195119521953
No. of CasesPer Cent of TotalNo. of CasesPer Cent of TotalNo. of CasesPer Cent of TotalNo. of CasesPer Cent of TotalNo. of CasesPer Cent of Total
Under 162220.72340.72070.62390.62670.7
16–203,79912.64,04012.33,91011.74,30411.64,34411.0
21–244,41114.74,65014.14,45413.34,70712.75,02912.7
25–347,48124.98,29225.28,34324.99,43525.410,34926.2
35–446,12620.46,73720.56,71120.07,36719.87,89520.0
45–544,11813.74,72214.34,81414.45,63815.15,98715.1
55–642,4918.32,9549.02,4087.22,6477.12,7687.0
65 and over5531.76041.66171.6
Not stated1,4274.71,3003.92,0896.22,2606.12,2675.7
    Totals30,075100.032,929100.033,489100.037,201100.039,523100.0

NATURE OF INJURY.—A classification of accidents according to the nature of the injuries sustained gives the following results for the years 1949–53.

Nature of Injury19491950195119521953Totals, 1949–53
Bruises, contusions, and abrasions8,4018,3468,7629,3627,04741,918
Burns1,1801,2521,2061,3111,4306,379
Concussions2032652092482121,137
Lacerations, punctures, and open wounds9,10210,7549,54110,28711,75051,434
Ruptures2803033532963821,614
Amputations1692073182602361,190
Dislocations1942712372432481,193
Fractures2,2342,6832,8762,8863,85414,533
Sprains and strains7,1187,7427,9179,47811,50243,757
Occupational dermatitis3194114124805432,165
Other and ill-defined8756951,6582,3502,3197,897
    Totals30,07532,92933,48937,20139,523173,217
Cases where septic poisoning occurred—      
  Number3,7164,4373,8793,7523,71219,496
  Percentage of all accidents12.413.511.610.19.411.3

A feature of special interest brought out by this table is the relatively high proportion of accidents in which septic poisoning followed.

PART OF BODY AFFECTED.—Informative figures showing the number of cases in which the different parts of the body were affected by industrial accidents, which occurred during the years 1949–53, are given in the following table.

Part of Body Affected19491950195119521953Totals, 1949–53
Head5275605876576813,012
Eyes1,4201,2491,1851,5041,6086,966
Rest of face4014114665546272,459
Neck5777733
Back and chest3,9254,6274,7025,4356,06824,757
Abdomen and contents3813244254144782,022
External genitals34811127
Upper limbs—      
  Collarbone and shoulder9351,0501,0291,2341,2975,545
  Arm1,9452,2732,1232,0292,28110,651
  Hand and wrist11,26612,26111,92312,57013,38261,402
Lower limbs—      
  Hip, thigh, and leg3,7834,0544,3854,7584,98921,969
  Ankle and foot3,4613,8014,0994,7915,05321,205
Multiple or undefined2,0232,3082,5503,2473,04113,169
    Totals30,07532,92933,48937,20139,523173,217

Accidents to the fingers, wrists, and hands formed a large proportion of the total, no less than 61,402 (35.4 per cent) out of an aggregate of 173,217 in the five years covered by the above table coming within that category. Next in order came cases in which an injury to the back and chest was sustained, with 14.3 per cent; to the hip, thigh, and leg, with 12.7 per cent; to the ankle or foot, with 12.2 per cent; to the arm, with 6.1 per cent; and to the eyes, with 4.0 per cent.

A tabulation made for 1953, correlating nature of injury with part of body affected, showed that the most common type of accident was to the fingers and thumbs, resulting in cuts or lacerations: 5,944 of the 39,523 accidents tabulated came under this category. Of the 236 cases of amputations, 227 resulted in loss of some part of the fingers or thumbs. Contusions and abrasions of the fingers and thumbs numbered 1,351, of the hands 795, of the thighs and legs 1,556, and of the feet 1,084; cuts and lacerations of the hands amounted to 2,050. Of the 11,502 sprains, 4,522 resulted in injury to the back, while sprained thighs, legs, and feet accounted for 3,625.

DURATION OF INCAPACITY.—A further measure of the extent of disability is furnished, in cases of temporary disability, by data as to the duration of absence from work as the result of the accident. A summary of this aspect, together with the number of cases of permanent partial disability and fatality, is given below for the years 1950 to 1953, together with the totals for the five-year period 1949–53.

Duration1950195119521953Totals, 1949–53
NumberPer CentNumberPer CentNumberPer CentNumberPer CentNumberPer Cent
1 week or under8,01424.37,74523.110,07627.111,81829.844,47725.7
Over 1 week to 2 weeks10,06930.610,27430.711,35430.11,29528.651,72829.9
Over 2 weeks to 4 weeks7,60823.17,90023.68,50722.18,31921.139,08822.6
Over 4 weeks to 6 weeks2,6238.02,7668.33,0088.13,0167.613,6327.9
Over 6 weeks to 13 weeks2,6228.02,8028.32,7497.43,1137.913,5917.8
Over 13 weeks to 6 months7582.38072.47712.18942.33.2.2
Over 6 months3090.92990.91870.52300.61,2310.7
    Total specified cases of temporary disability32,00397.232,59397.336,65298.538,68597.9167,65096.8
Fatality800.3700.2540.2560.13270.2
Permanent disability7032.18262.54951.37822.03,3521.9
Cases where employee did not return or duration not stated1430.4............1,8881.1
    Totals32,929100.033,489100037,201100.039,523100.0173,217100.0

In many cases the injured employee did not cease work immediately, a considerable period intervening in some instances. The following table shows, for such cases occurring during the year 1953, the length of time elapsing before the employee left work, by broad industrial (employer) groups.

Private Industry (Excluding Mining) and Local AuthoritiesMinistry of WorksState Hydroelectric DepartmentNew Zealand Forest ServiceRailways DepartmentPost and Telegraph DepartmentMiningTotal
Period elapsing        
1 week or less7,9458837331,0272331,01110,374
Over 1 week and up to 2 weeks726961691436861
Over 2 weeks691543391529786
    Totals9,36210247371,1352621,07612,021
Percentage of all accidents (i.e., percentage of delayed-action cases to total accidents in each class)28.913.315.19.246.241.642.330.4

The preceding table indicates that many employees suffering from minor injuries pay little attention to such injury, especially in the case of slight cuts, strains, or abrasions. This neglect often causes more severe pain (or with cuts and abrasions, septic poisoning), and the absence then enforced is usually longer than if the injury had received immediate attention. Lost time prior to 1 December 1951 usually entailed a reduction in wages, especially if the injury resulted in under three days' absence, in which case no compensation was payable. Further, in the case of apprentices, lost time has to be made up at the termination of the period of apprenticeship, and these two considerations have probably militated against the worker ceasing work immediately on account of a minor injury. In many cases efforts are being made on the part of employers to reduce aggravation of injuries through neglect by the establishment of first-aid posts.

One of the main responsibilities of the Workers' Compensation Board is the reduction of the accident rate in industry, and it has organized a National Safety Association comprised of representatives of industry and interested Government Departments.

Further, the Board in conjunction with the Department of Health has opened an Industrial Health Centre in Auckland, and is prepared to assist in the establishment of further centres in areas of concentrated industrial activity.

ACCIDENT SEVERITIES.—Severity rates are calculated according to the formula: man-hours lost through accidents per 100,000 man-hours worked. Man-hours lost are obtained for this purpose from the figures of calendar days lost, a summary of which has been given on page 1014. The formula employed equates forty man-hours to seven calendar days. In the case of fatal accidents and accidents resulting in permanent disability the assessment for time lost may or may not take into account variations in the expectation of working life destroyed by the accident, in accordance with the age of the worker killed or permanently injured. In view of the fact that the age of the individual is not particularly relevant to the character of the hazard from which the injury has occurred, for the purpose of calculating the accident severity rates shown later, a constant loss of 9,545 calendar days is counted for each fatality irrespective of the age of the person at the time of death. The effect of taking into account the actual age is shown in the Statistical Report on Industrial Accidents. In respect of permanent partial disablement the time lost is assessed on the basis of a proportionate part of the time lost in connection with injuries resulting in death or permanent total disablement. For example, the total loss of hearing is regarded as a 50-per-cent disability—that is, the time lost on account of impaired working capacity in this case is assessed as 50 per cent of 9,545 calendar days—i.e., 4,773 calendar days. The respective percentages applying to the various categories of permanent disablement which are used in such assessments are those set out in the Second Schedule to the Workers' Compensation Act 1922 and amendments thereto.

A simpler concept is that of “average time charge,” which is measured by the total time lost (including assessments for fatalities and permanently disabling injuries) divided by the number of accidents. This rate is shown in the following table as “calendar days (i.e., man-days) lost per accident.” Reports on mining accidents did not prior to 1950 provide the necessary data for inclusion in that portion of the table.

19491950195119521953

*Excluding mining accidents.

†Data on which to compute not available.

Total cases resulting in—     
  Fatality6780715456
  Permanent total disability31623
  Permanent partial disability543702821493779
  Temporary disability29,46232,14632,59136,65238,685
    Totals30,07532,92933,48937,20139,523
Calendar days lost per accident (i.e., time charge)72*81955468
Man-hours lost per 100,000 man-hours worked (i.e., severity rate)9381,224

As noted earlier in this Section, severity rates have since 1948 been calculated for certain Government Departments only; accordingly no figures appear for 1949, 1950, or 1951 in the last line of the foregoing table, but since 1952 the basis of the calculations (man-hours) is again available on an industry basis. In the latest of these years one hour was lost as a result of such accidents out of every eighty-two hours worked in the industries covered. Accident-severity rates in respect of the Government Departments are now shown for the years 1952 and 1953; the corresponding accident-frequency rates have already been set out in the table on page 1014.

Ministry of WorksState Hydroelectric DepartmentNew Zealand Forest ServiceRailways DepartmentPost and Telegraph DepartmentTotals
195219531952195319521953195219531952195319521953
Total cases resulting in—            
Fatality24..5....53..1713
Permanent disability119..416136322827
Temporary disability8097552433024153962,3582,4494856274,3104,529
    Totals8227682433114164022,3762,4584886304,3454,569
Calendar days lost per accident (i.e., time charge)75104192022429493426444758
Man-hours lost per 100,000 man-hours worked (i.e., severity rate)2,1413,0004925,9791,3411,6511,3898812034261,0641,306

Comparison of the severity rates as between different industrial groups is affected by the varying proportions of serious accidents and fatalities in different industries in different years. In the following cumulative table for the five years 1949–53—still including only the same Government Departments—the effect of this factor is minimized by the relatively large number of accidents classified.

Industrial GroupNumber of Accidents Resulting in—Number of Accidents Per 100,000 Man-hours Worked (Frequency Rate)Calendar Days Lost Per Accident (Time Charge)Hours Lost Per 100,000 Man-hours Worked (Severity Rate)
FatalityPermanent DisabilityTemporary DisabilityTotal
Ministry of Works16603,5013,5771.3291062,716
State Hydro-electric Department11111,0651,0874.5141373,533
New Zealand Forest Service2151,8361,8538.998392,016
Railways Department458811,74111,8744.802742,021
Post and Telegraph Department2172,5202,5391.50041347
    Totals7619120,66320,9303.868751,667

In the following table, which covers the years 1951–53, accidents are classified by industrial groups, the time charge for each group and an analysis by extent of disability being shown.

Industrial GroupNumber of Accidents Resulting In—Calendar Days Lost Per Accident (Time Charge)
FatalityPermanent Total DisabilityPermanent Partial DisabilityTemporary DisabilityTotal
Agriculture, forestry, hunting, and fishing—      
  Agriculture and livestock production2712588,4918,777111
  Forestry and logging14..753,5043,593105
  Hunting, trapping, and game propagation4..3202209232
  Fishing....213613833
Mining and quarrying—      
  Coal mining81466,0086,06352
  Metal mining....1950352295
  Crude petroleum and natural gas......111129
  Stone quarrying, clay and sand pits6111595613162
  Non-metallic......232326
Manufacturing—      
  Food2116815,50215,67335
  Beverages....1876578363
  Tobacco, cigars, and cigarettes....215415652
  Textiles1..389881,02782
  Footwear, other apparel, and made-up textile goods....231,0241,04754
  Wood and cork4..1675,6295,80075
  Furniture and fixtures....4679183782
  Paper and paper products1..1064165256
  Printing, publishing, etc.1..25532558129
  Leather and leather products....934635554
  Rubber products1..11491504109
  Chemicals and chemical products....211,4661,48753
  Products of petroleum and coal....313914283
  Non-metallic mineral products3..402,4432,48657
  Metal products2..491,7071,75878
  Machinery; founding and general engineering1..934,3014,39563
  Electrical machinery, appliances, and supplies1..1571473062
  Transport equipment3..774,0184,09860
  Miscellaneous1..927628695
Construction30..34415,65416,02877
Electricity, gas, water, and sanitary services—      
  Electricity, gas, and steam121331,9892,035113
  Water and sanitary services..1443944458
Commerce—      
  Wholesale and retail trade1411357,3207,47073
  Financial......323215
  Insurance1..42530476
  Real estate....12425176
Transport, storage, and communication—      
  Transport39321915,20815,46973
  Storage and warehousing....126726837
  Communication1..111,5701,58240
Services—      
  Government1....18018176
  Community and business2..411,5861,629108
  Recreational1..16370387128
  Personal....441,8291,87375
Ill-defined or not stated....23537153
    Totals181112,093107,928110,21372

ACCIDENT PRONENESS.—In two consecutive years investigation was made as to the total number of individuals suffering accidents in mines as distinct from the total number of mining accidents. It was found that approximately 25 per cent of those injured were involved in two or more accidents.

TIME OF OCCURRENCE.—The following tabulation of industrial accidents, according to the hour of occurrence, shows the effects of fatigue during the working day.

Time of Occurrence to Nearest HourYearCauses, 1949–53
19491950195119521953MachineryFalls of PersonsHandling ObjectsHand ToolsOtherTotals, 1949–53
8 a.m.1,0261,1051,1571,3961,4658649911,8277231,7446,149
9 a.m.2,6642,8282,8773,2673,3982,2651,9545,0062,2783,53115,034
10 a.m.3,9184,3464,2314,7634,9333,0172,8127,4813,3465,53522,191
11 a.m.4,2894,6204,4945,1105,3483,3832,8508,1043,5275,99723,861
12 noon1,9872,1882,2132,3632,7091,7211,6453,2271,8792,98811,460
1 p.m.1,1691,2151,1171,2751,4551,0608901,5278881,8666,231
2 p.m.3,1763,5003,4193,8664,0022,7562,1335,6702,8024,60217,963
3 p.m.3,4473,8293,9054,2844,4732,9402,8026,5522,7964,84819,938
4 p.m.3,1553,4103,4353,7564,1002,8502,6405,6022,4204,34417,856
5 p.m.1,4181,5771,6501,8681,9821,1491,3952,3271,0532,5718,495
Other hours2,0752,3842,5792,9093,0741,6112,4163,3938834,71813,021
Not stated7719051,7161,7571,8947325342,8487372,1927,043
Not applicable9801,02269658769070101,938401,9173,975
    Totals30,07532,92933,48937,20139,52324,41823,07255,50223,37246,853173,217

This table indicates that accidents are definitely most numerous during the middle and later part of the morning; there is another peak in mid-afternoon, but this does not reach the same high point.

A more definite indication is given by considering the length of time the employee had worked on the day when the accident occurred.

Number of Hours Already Worked19491950195119521953Totals, 1949–53
Under 11,7241,7941,7842,0462,0619,409
1 and under 23,1743,4533,4303,9024,11718,076
2 and under 33,6984,1034,1474,5364,82421,308
3 and under 44,0464,4724,3425,0735,27423,207
4 and under 52,2202,4722,4552,7272,97612,850
5 and under 62,7853,1182,9713,2143,57815,666
6 and under 73,2983,7513,7094,2094,42919,396
7 and under 83,1503,1353,2873,7063,98117,259
8 or over1,8382,3012,4343,0293,20712,809
Not stated3,1803,3054,2354,1724,38319,275
Not applicable9621,0256955876933,962
    Totals30,07532,92933,48937,20139,523173,217

The foregoing tabulation shows that the greatest number of accidents occurred during the third and fourth hours worked in the day. Overtime accidents (eight hours or more already worked) represented 8.1 per cent of all accidents in 1952 and in 1953.

Accident reports completed during 1953 were classified according to the day of the week with the following results.

SundayMondayTuesdayWednesdayThursdayFridaySaturdayNot StatedTotal
Number
8038,2447,4217,2496,8996,6352,1977539,523
Percentage of All Accidents
2.020.918.818.317.416.85.60.2100.0

The general tendency to a Monday peak indicates a certain lack of co-ordination between worker and work on that day, this being due no doubt to the week-end break.

A survey of accidents caused by industrial machines according to the month of the year in which the accident occurred, by cause groups and injury groups is shown below.

It would appear that there are more accidents in the winter months in the use of some industrial machines.

Average for Period Shown—
January–FebruaryMarch–MayJune–AugustSeptember–NovemberDecemberTwelve Months
Cause      
Prime movers and pumps131513191114
Mechanical power transmission apparatus9559117
Hoisting apparatus717791876781
Conveyors403248432440
Abrasive, grinding, polishing, and buffing equipment253439403035
Agitators, mixing machines, and drum mixers10121312912
Casting, forging, and welding equipment323638512739
Crushers, grinding mills, and pulverizers799647
Drilling, boring, and turning machines303852552343
Milling machines, planers, and shapers344954483446
Packing and wrapping machines161510101513
Opening, picking, carding, and combing machines1645 4
Presses353744383339
Rolls81619181016
Saws (woodworking)799892906088
Saws (metal and other substances)333554
Screening and separating machines211612131715
Sewing and stitching machines971410510
Shears, slicers, and slitters272526232225
Spinning, weaving, and knitting machines999848
Injury      
Fracture of skull, spine, and trunk494556
Fracture of upper limb223231323130
Fracture of lower limb161518161216
Dislocation without fracture1123..2
Sprains and strains817892906784
Head injury (excluding skull fracture)91081069
Internal injury of chest, abdomen, and pelvis111121
Laceration, puncture, and open wound of face, neck, and trunk1112139711
Laceration, puncture, and open wound of upper limb186224235225166216
Laceration, puncture, and open wound of lower limb151111151413
Superficial injury, scratches, etc.17132421518
Bruising, crushing, and contusion577080774670
Foreign body in eye or ear222830291426
Burns and scalds202025352726
Injury to nerves and spinal cord11..2..1
Effects of poisons1..11....
Other and unspecified14121915915

INSPECTION OF MACHINERY.—The Boilers, Lifts, and Cranes Act 1950 and the Machinery Act 1950, which replaced the former Inspection of Machinery Act 1928 and its amendments, are designed to promote the safety of life and limb in the operation of steam boilers, digesters, other steam-pressure vessels, and air-receivers; hydraulic, electric, and other lifts; all types of power-driven cranes and power-driven machinery on land; and machinery used on vessels afloat that are not self-propelled. Nothing in the Acts applies to any machinery driven by manual or animal power, or to any machinery the motive power of which does not exceed one horsepower. Machinery which is used exclusively for farming purposes and does not exceed six horsepower is also exempt from annual inspection.

Boilers, pressure vessels, air receivers, lifts, and cranes are required to be of approved design and workmanship, and the moving parts of machinery must be adequately guarded.

All boilers and machinery are inspected and certificated once per year and lifts twice per year. It is illegal to work a boiler or other pressure vessel or any machinery, including a crane or a lift, which does not carry a current certificate of inspection issued by either the Marine Department or the Department of Labour.

Particulars of inspections of boilers and machinery by the Marine Department during the years ended 31 March 1953 and 1954 were as follows.

Boiler inspections—1952–531953–54
Fired boilers4,6114,945
Pressure vessels12,11915,595
    Total boilers16,73020,540
Machinery inspections—  
Lifts3,5483,759
Cranes9381,004
Winding engines1810
    Total machinery4,5044,773
    Grand totals21,23425,313

The Acts provide that where loss of life or serious bodily injury to any person occurs by reason of the explosion of a boiler, or as a result of an accident caused by machinery, the explosion or accident must be reported by the owner, and the cause investigated by an Engineer-Surveyor.

Revenue and expenditure in connection with inspection of machinery for the last five years available have been as follows.

1949–501950–511951–521952–531953–54
Revenue—£££££
Inspection fees, etc.31,83829,63318,46018,95117,650
Examination fees, etc.543621573728685
    Totals32,38130,25419,03319,67918,335
Expenditure36,71338,59844,53044,86547,479

The Boilers, Lifts, and Cranes Act 1950 also provides for the issue of certificates to those who pass the prescribed examinations for land engineers and engine drivers in charge of boilers and machinery, for winding-engine drivers for mining purposes, for drivers employed on locomotives working on railway lines not under the control of the Government Railways Department, and for the drivers of traction engines on roads. Certificates are also issued to electric-tram drivers, as provided by the Tramways Amendment Act 1910, and cable-tram drivers' certificates in pursuance of section 75 of the Statutes Amendment Act 1946. The issue of these certificates is controlled by a Board of Examiners set up under the Act, the Chairman being the Chief Engineer-Surveyor.

The total number of candidates examined during the year 1954 was 478. Of these candidates, 396 were successful in their examinations.

Inspection work under the Machinery Act 1950 by the Department of Labour is the responsibility of Inspectors of Factories, Inspectors of Scaffolding, and Inspectors appointed pursuant to the Bush Works Act 1945. The intention is that Inspectors of Machinery act as technical advisers to these several inspectors. As from 1 January 1951, the date on which the Act commenced to operate, advice on technical issues was obtained from Engineer-Surveyors attached to the Marine Department, these officers having been Inspectors of Machinery under the 1928 Act. Three Inspectors of Machinery have now been appointed to the staff of the Department of Labour.

Accidents reported under the Boilers, Lifts, and Cranes Act 1950 for year ended 31 March 1954 were 4 fatal and 9 non-fatal.

Chapter 43. SECTION 43—ISLAND TERRITORIES

Table of Contents

ADMINISTRATION.—New Zealand's first administrative responsibility in respect of areas in the South Pacific was accepted in 1901 when the Cook Islands were brought within the boundaries of New Zealand. In 1902 a Minister in Charge of the Cook Islands was appointed and the Cook Islands Department was formed. In 1920 New Zealand was granted a mandate over the Territory of Western Samoa, and the Samoa Act 1921 provided for the appointment of a Minister and a Department of External Affairs. The staffs of the Cook Islands and the External Affairs Departments were combined, but during some periods there were separate Ministers in charge of each of the main island groups.

Under the External Affairs Act 1943 the Department of External Affairs became responsible for the direction of New Zealand's foreign affairs, including its offices in other Commonwealth countries, while the Department of Island Territories, created under the Island Territories Act 1943, assumed responsibility for the administration of all island territories.

On 1 January 1949 the Tokelau Group, which since 1925 had been administered by New Zealand on behalf of the United Kingdom Government, became part of New Zealand and was placed under the general direction of the Department of Island Territories, although actually administered by the High Commissioner of Western Samoa.

The Chatham Islands, which comprise one of the 129 counties of New Zealand, have had their development seriously retarded by reason of their isolation and consequent lack of direct contact with the mainland. In order to assist in overcoming the disabilities suffered by the people of the Chatham Islands, and to promote the general welfare and development of the islands, the Government, in December 1949, placed their general administration under the Department of Island Territories. A Resident Commissioner is responsible for co-ordination of all Government activities in the islands and also acts as Resident Magistrate.

Besides administering the various island groups, the Department controls the operations of the N.Z.G.M.V. “Maui Pomare” and the purchase and shipping of equipment, stores, etc., to island administrations. In addition, the Department takes an interest in the welfare of islanders in New Zealand, and is associated with the South Pacific Commission and the South Pacific Health Service. The former is an advisory and consultative body set up by the Governments of Australia, France, the Netherlands, New Zealand, the United Kingdom, and the United States of America, all of which are responsible for the administration of non-self-governing territories in the Pacific. The functions of the Commission are to recommend to the member Governments means for promoting the social, economic, and medical welfare of the peoples in the region, and to this end several projects have been organized. The South Pacific Health Service advises member Governments on health matters, collects and distributes epidemiological information, assists in the maintenance of professional staffs, and encourages medical research and the training of indigenous people as assistant medical practitioners and nurses.

The Department is responsible for the conduct of New Zealand's Trusteeship for the Territory of Western Samoa, and each year presents a report which is examined by the Trusteeship Council. Annual reports are also forwarded to the United Nations Committee on Information from Non-self-governing Territories regarding progress made in the Cook Islands, Niue, and the Tokelau Islands.

The Department is also responsible for the administration of the New Zealand Reparation Estates in Western Samoa, which is carried out through a General Manager. The Reparation Estates are composed of former German property taken over by the New Zealand Government in 1914 consequent on the occupation of the then German Samoa. The ex-German trading businesses were subsequently liquidated and the lands have been operated as a plantation and trading venture. Out of a present total of 33,245 acres, the Estates have 11,519 acres under cultivation and 4,681 leased to tenants. Some 80,200 acres have been divested from the Estates and passed over to the Government of Western Samoa for occupation by Samoans. Up to 31 March 1954 some £541,000 from the profits of the Estates had been expended on general development in the interests of the Territory. In 1953–54 the Estates' production was as follows: copra, 1,859 tons; and cocoa, 402 tons. During this period 320,884 superficial feet of timber were produced, and 1,500 cattle slaughtered for meat.

The Officer for Islands Education is responsible under the Department for the co-ordination of educational policies in the various island groups, the appointment of New Zealand teachers on secondment, the publication of School Journals in the vernacular of the different groups, and the supply of modern teaching equipment An islands scholarship scheme instituted in 1945, under which selected students from all territories are given secondary and higher education in New Zealand, is under the Department's direction. Since the inauguration of the scheme 143 children have won scholarships, of whom 25 have already returned to employment in the islands.

By arrangement between the Governments of Fiji and New Zealand, young Samoans, Cook Islanders, and Niueans receive training at the Central Medical School, Suva, Fiji, to equip them for duty in their own territories as assistant medical practitioners, assistant dental practitioners, pharmacy and laboratory assistants, and assistant sanitary inspectors.

New Zealand also exercises the administration of the Ross Dependency on behalf of the United Kingdom Government. The Ross Dependency is uninhabited. Brief mention is also made in this Section of Nauru Island, which is administered under a trusteeship, held jointly by the United Kingdom Government, the Government of Australia, and the New Zealand Government.

The term “island territories” does not include Stewart Island or the Chatham Islands, which form part of New Zealand, although, as mentioned earlier, the latter have been placed under the administrative direction of the Department of Island Territories. The following minor islands, which are referred to on page 2 of this Year-Book, are also excluded: Three Kings Islands, Auckland Islands, Campbell Island, Antipodes Islands, Bounty Islands, Snares Islands, and Solander Island. None of these islands is regularly inhabited, although meteorological stations were established on the Auckland and Campbell Islands in 1940. The station in the Auckland Islands was closed in June 1945, but a staff of 5 is still engaged on Campbell Island maintaining meteorological records and conducting ionospheric research. A radio station is also established on Campbell Island. The Kermadec Islands are also excluded, for, although they are in the same category as the Cook Islands in that they originally ranked as annexed islands, all New Zealand laws extend to them and there is no separate administration. A meteorological station and an aeradio station have been established on Raoul Island. The population, including the official staff of Raoul Island, at 31 March 1954 numbered 9. This is the only island of the Kermadec Group that is inhabited.

COOK ISLANDS: Descriptive.—The Cook Islands were proclaimed a British Protectorate in 1388, and on 11 June 1901 they were annexed and proclaimed part of New Zealand under the Colonial Boundaries Act 1895. Niue, though one of the Cook Islands, has been under separate administration since 1903, and data relating to it are given later in this Section. Not including Niue, there are fifteen islands in the proclaimed territory, scattered over an area of some 850,000 square miles of ocean, and extending from Penrhyn, situated 9 degrees south of the Equator, to Mangaia, which is just north of the Tropic of Capricorn. The Cook Islands are bounded on the east and west by the 156th and 167th meridians of west longitude respectively, and on the north and south by the 8th and 23rd parallels of south latitude. The total land area of the fifteen islands is approximately 90 square miles, while Niue has an area slightly in excess of that figure.

Some of the islands of the Lower Group were discovered in 1773 by Captain Cook, who first touched at Manuae. Rarotonga and Mauke, however, were not officially recorded by Europeans until 1823, when the Rev. John Williams of the London Missionary Society located them, although there is evidence of visits by the Bounty in 1778 and the Cumberland in 1814.

Of the islands of the Lower Group, Rarotonga, Aitutaki, Atiu, Mitiaro, Mauke, and Mangaia are elevated and fertile, while Manuae and Takutea and the islands of the Northern Group, comprising Penrhyn, Manihiki, Rakahanga, Pukapuka, Palmerston, Nassau, and Suwarrow, are sea-level coral atolls. As a consequence the southern islands support the greater population. With one exception, none of the islands possesses a good harbour.

The whole of the Cook Islands lie within the hurricane zone, and a number of destructive storms have been experienced, the most serious of which in later years occurred in March 1943 and in January 1946. The Cook Islands are now covered by a meteorological service with headquarters in Fiji, and advance warning of the intensity and path of tropical storms is available and enables precautions to be taken to protect life and property. From December to March the climate is warm and humid, and there is always the possibility of serious storms. In the remaining months of the year the climate of the Lower Group is mild and equable. The mean annual temperature in Rarotonga taken over the last forty years was 74.5° Fahrenheit, and the average yearly rainfall over the same period was 84 inches.

Rarotonga, the seat of the Cook Islands Administration, is well watered by creeks and streams, and all villages are supplied with water by means of a reticulation system. The other islands, both northern and southern, suffer from lack of streams and wells, but water is provided from public tanks, the number of which is being steadily increased.

Following is a brief description of the individual islands.

LOWER GROUP.Rarotonga (16,500 acres), the most fertile island of the territory, rises to a height of 2,140 ft. It is clothed to the tops of the mountains with splendid vegetation, and has abundant streams, considerable tracts of sloping land, and rich alluvial valleys. The town of Avarua is the centre of the local administration, and is 1,633 miles from Auckland. There is an airfield on the island. Tomatoes, oranges, and other citrus fruits are the chief exports.

Mangaia (12,800 acres, 110 miles from Rarotonga) is the southeastern most of the Group. Mangaia is not as fertile as Rarotonga, but produces quantities of coconuts, oranges, pineapples, limes, other citrus fruits, etc. Mangaia is of volcanic origin and is surrounded by a barrier reef without passages. From a narrow sandy beach the shore rises in high cliffs to a mile-wide plateau, which descends again to almost sea-level, enclosing an ancient crater holding several volcanic mounds, the highest of which exceeds 550 ft. The crater drains by subterranean channels.

Atiu (6,950 acres, 116 miles from Rarotonga) resembles Mangaia in formation. It is a raised mass of coral, steep and rugged, except where there are small sandy beaches and some clefts. Considerable quantities of tomatoes have been exported during the last two years.

Mauke (4,600 acres, 150 miles from Rarotonga) is a low circular island about two miles across, lying to the north-east of Rarotonga. Like Mangaia and Atiu, it is surrounded by an unbroken fringing reef. Mauke is very fertile. Oranges and pineapples are the main exports.

Aitutaki (3,900 acres, 140 miles from Rarotonga) is about eighteen miles in circuit and one of the most fertile of the islands forming the Lower Group. It has an airfield, and a flying-boat base which is used regularly by the Coral Route service to Tahiti. Tomatoes, oranges, and mangoes are the main exports.

Mitiaro (2,500 acres, 142 miles from Rarotonga) is a good example of an elevated coral reef, thinly coated with sand and gravel of the same material. The greater part of the surface is not more than 6 ft. above high-water mark.

Manuae (1,524 acres, 124 miles from Rarotonga) consists of two small islands, Manuae and Te-Au-o-Tu, joined by a coral reef. The two islands are in general usage covered by the term Manuae; the name Hervey Islands is an alternative but rarely used title.

Takutea (302 acres, 118 miles from Rarotonga) is a small coral island, moderately fertile, but it is not regularly inhabited.

NORTHERN GROUP.Penrhyn (2,432 acres, 737 miles from Rarotonga) is also sometimes known as Tongareva. The large lagoon with its two entrances affords the only land-locked shelter within the group for vessels other than fishing boats, and it is the refuge of trading schooners during the hurricane season. As drought conditions sometimes exist, large concrete tanks have been built for the conservation of rain water.

Manihiki (1,344 acres, 650 miles from Rarotonga) is an atoll about thirty miles in circumference, valuable for the extent of its coconut groves. It also suffers occasionally from droughts, and is equipped with concrete water tanks. It has a large pearl-shell industry, and exported 294 tons of shell in 1953–54.

Pukapuka (1,250 acres, 715 miles from Rarotonga) is a small triangular-shaped atoll of about 3 miles in diameter, with its highest point about 150 ft. above sea level. The legendary history of its settlement is interesting through its New Zealand associations. It is stated that one of the Maori chiefs who came to New Zealand with the first migratory wave of the Maoris (as distinct from the Morioris or earlier settlers) decided to return with his immediate followers to Rarotonga. Winds took them out of their course, and they finally reached and settled in Pukapuka. The people of this island have somewhat different customs from those of the remainder of the group. A portion of one of the reef islets, known as Anchorage Island, is an Admiralty Reserve.

Rakahanga (1,000 acres, 674 miles from Rarotonga) is also an atoll, and shares its Resident Agent with Manihiki, from which it is only twenty-five miles distant. Copra is the only export.

Palmerston (1,000 acres, 270 miles from Rarotonga) consists of eight islets threaded along a reef. Palmerston also bears the name of Avarau, and is noted as the “San Pablo” of Magellan, the first island discovered in the South Seas.

Suwarrow (600 acres, 513 miles from Rarotonga) is a coral atoll of triangular form possessing a land-locked lagoon eight miles by six, which is capable of being made into an excellent harbour. The island, which has been much reduced in land area by storms, is a sanctuary for sea birds, and part of it is a naval reserve.

Nassau (300 acres, 673 miles from Rarotonga) is a small island well planted with coconut trees. It was recently purchased by the people of Pukapuka, who were suffering from a shortage of land.

Administration.—Provision for the government of the Cook Islands is contained in the Cook Islands Act 1915. Under this Act there is appointed a Resident Commissioner charged with the administration of the executive government of the Cook Islands. The Resident Commissioner resides in Rarotonga and is represented in the outer islands by Resident Agents.

Popular representation is effected by the Island Council in each of the ten main islands, each Council consisting of ex officio members (officials and arikis, or leading chiefs) and elected members. Elections were first held in March 1947, and thenceforth are conducted triennially in each constituency, the franchise extending to all Cook Island Maoris of eighteen years of age or over. The Maoris are British subjects, and the provisions of the British Nationality and New Zealand Citizenship Act 1948 apply to them. The Resident Commissioner in Rarotonga and the Resident Agents in the outlying islands preside over the respective Island Councils. Prior to 1947 the Island Councils consisted of the Resident Commissioner or Resident Agent, the arikis, and a number of nominated members. Europeans are represented by one elected member on the Rarotonga Island Council.

The Cook Islands Amendment Act 1946, under which these Island Councils were reconstituted, also provided for a Legislative Council of the Cook Islands, the inaugural session of which was held in 1947. This Council, which meets annually, is composed of twenty-one members. There are ten unofficial members, nine of whom are elected by Island Councils, the remaining unofficial member holding office by virtue of his being the European member on the Rarotonga Island Council. There are ten official members appointed by the Governor-General of New Zealand, in addition to the Resident Commissioner of Rarotonga, who presides over the Council. The President has a casting but not a deliberative vote.

Measures designed to increase local legislative responsibility are at present under consideration following a visit to the Group by the Minister of Island Territories in 1954.

Laws governing the Cook Islands are made by Act of the New Zealand Parliament or by Orders in Council and regulations issued thereunder. Ordinances applicable to the whole of the Cook Islands may be made by the Legislative Council of the Cook Islands, subject to certain statutory restrictions. These Ordinances require the assent of the Resident Commissioner, and may be disallowed either wholly or in part by the Governor-General within one year after the assent of the Resident Commissioner has been given. Ordinances restricted in their application to the islands in which they are made may be enacted by the local Island Councils. These local Ordinances require the consent of the Resident Commissioner, or they may be reserved for the Governor-General's pleasure.

The administration of justice is in the hands of the High Court, the Native Land Court, and the Native Appellate Court. The High Court exercises civil and criminal jurisdiction throughout the Cook Islands, while the Native Land Court is concerned with litigation on lands and titles. The Native Appellate Court hears appeals and applications for rehearings in respect of judgments of the Native Land Court.

The Cook Islands Public Service comes under the control of the New Zealand Public Service Commission.

Population and Vital Statistics.—The Cook Island Maori is a Polynesian and is closely related to the New Zealand Maori. There is a strong resemblance between the two peoples in tradition, language, and custom. Many of the tribes in both places are able to trace their descent back to a common ancestor. A census of the Cook Islands taken on 25 September 1951 recorded a total population (exclusive of Niue) of 15,079, an increase of 991, or 7.03 per cent, as compared with the census of 25 September 1945. The Cook Island Maori population increased from 13,574 to 14,757, the remainder of the population decreasing from 514 to 322. Details of the population of the islands of the group as at 31 March 1954, together with corresponding totals shown by the 1951 and 1945 censuses, are set out in the following table.

Cook IslandsPopulation as at 31 March 19541951 Census Total1945 Census Total
Indigenous PopulationNon-indigenous PopulationTotal Population
MalesFemalesMalesFemales

*Not inhabited at time of 1945 census.

†Not inhabited at time of 1951 census.

Northern Group—       
Penrhyn3032701..574527654
Rakahanga1441361..281261318
Manihiki4374001..838816435
Pukapuka301288....589559662
Nassau*7153...124124..
Suwarrow....1..1..5
Palmerston4352....958765
Lower Group—       
Aitutaki1,2901,2491152,5552,3962,356
Manuae1181..202028
Mitiaro1691611..331305229
Atiu7096742..1,3851,2701,114
Mauke4704323..905836804
Rarotonga2,9822,6952281156,0206,0485,573
Mangaia973959521,9391,8301,845
    Totals7,9037,37725512215,65715,07914,088

At the date of the 1951 census there were 239 Cook Island labourers absent at Makatea Island. This number was made up as follows: from Mitiaro, 12; Atiu, 40; Mauke, 36; Rarotonga, 88; and Mangaia, 63. At 31 March 1954 the total was 243.

During the year ended 31 March 1954 births numbered 678 and deaths 277. The number of deaths under one year of age in 1953 was 84.

Health.—In accordance with the provisions of the Cook Islands Act 1915, all Cook Islanders receive free medical and surgical treatment in their villages, in the hospital, and in the tuberculosis sanatorium. Cook Island Maori patients in the hospital and the sanatorium, and all school children, receive free dental treatment.

Although lying within the tropics, the Cook Islands are singularly free from the common diseases prevalent in other tropical islands. Malaria is unknown, but filariasis is endemic, and this and tuberculosis provide the main health problems of the Group. The objective of the health services—to improve the health of the community—is being pursued by a system of village sanitary inspection and group medical examination, combined with modern treatment of disease in dispensary, clinic, hospital, and sanatorium.

The staff of the Health Department during 1953–54 numbered 88. Only the Chief Medical Officer, the Matron, and three certificated New Zealand nurses were Europeans. There were 10 Cook Islands medical practitioners, 13 health inspectors, and 42 nurses.

A general hospital (57-bed) equipped with dispensary, X-ray, and laboratory facilities, and a tuberculosis sanatorium (40-bed) are maintained in Rarotonga. In the outer islands dispensaries with accommodation for a few patients are operated by assistant medical practitioners.

A child-welfare organization covering all phases of maternity and child-welfare work operates under the supervision of the Chief Medical Officer and the Cook Islands medical practitioners. Regular clinics are held and periodical lectures are given to the Child Welfare Committees in the villages.

The dental staff is centred on the Rarotonga Dental Clinic. During 1953, 4,490 children were rendered dentally fit. In all, 23,422 dental operations were carried out in the Cook Islands.

Expenditure on health services during the financial year ended 31 March 1954 amounted to £78,239.

Education.—Primary education in the Cook Islands is provided by the Administration, the Roman Catholic Mission, and the Seventh Day Adventist Mission, post-primary education being provided by the Administration for children selected from throughout the Group. During 1952 all schools hitherto administered by the London Missionary Society in the Northern Group were taken over by the Administration in accordance with an agreement between the Administration and the Society.

Education is free and compulsory between the ages of six and fourteen. At 31 March 1954 the total number of pupils on the rolls was 4,212, comprising 3,767 pupils at Government schools and 445 at denominational schools.

The curriculum provides for children to be taught in the vernacular for the first two years, with English being taught only as a subject. On the third and subsequent years English reading is introduced, and English becomes to an ever-increasing extent the medium of instruction and expression. Although it is still too early to form definite conclusions, it appears that the children learn to read and express themselves in English much more readily as a result of their early education in the vernacular. The curriculum includes art and craft work, woodwork instruction, agricultural instruction, visual education, and, in Rarotonga, domestic science for senior girls.

Post-primary classes instituted in 1950 are being continued in temporary accommodation at Avarua School until a secondary school at Tereora is established. Construction of Tereora College has now been commenced. The Government scholarship scheme has been continued, and five boys proceeded to New Zealand early in 1953. The total number of scholarships granted since 1946 is now 38.

There is still a shortage of suitable textbooks, and the Cook Islands School Journal is of great value in providing some literature in the vernacular.

Expenditure on education for the year amounted to £81,731, including £46,441 on salaries and £4,453 on milk in schools. In addition, £7,016 was spent by the New Zealand Government in New Zealand on the scholarship scheme for Cook Islands students.

Adult education work has continued in Rarotonga, and a community centre has been established at Ngatangiia.

Labour and Employment.—There is a wide variation in types of employment in the different islands. On the atolls in the Northern Group the island people subsist largely on coconuts and fish, and there is little opportunity for them to engage in other pursuits which would provide exports and a consequent higher living standard. In the islands of Manihiki and Penrhyn pearl diving is carried out under regulations which restrict this employment to Polynesians, and otherwise govern the industry. A strict control of this industry is enforced to ensure that the beds are not depleted. It is in the fertile islands of the Lower Group that most of the population is concentrated, and labour is required for the growing, harvesting, packing, and shipment of fruit and copra, the staple exports on which living standards depend. As most of the land in these islands is held by family groups under customary title, the bulk of the people are engaged in work on their own plantations. There is, however, opportunity for wage earners in the administrative departments, in plantation work, and in the handling of fruit for export.

In Rarotonga secondary industries have been established in the form of a clothing factory manufacturing for export, and a footwear factory which serves a local and overseas demand for island-style sandals and shoes. The manufacture of handicrafts is on a domestic basis.

The Rarotonga electric-power scheme has been extended during recent years. There are no rower schemes on any of the outlying islands.

Wage standards were fixed for all types of industrial work following the sittings of a special Wages Tribunal in 1946. Further progress in the field of employment relations was initiated by the passing of the Cook Islands Industrial Union Regulations 1947, resulting in the registration of the Cook Islands (Except Niue) Industrial Union of Workers, thus establishing a basis for collective negotiation and arbitration on industrial matters.

During 1950 agreements between the union and all major employers were negotiated by conciliation committees presided over by the Industrial Relations Officer. These negotiations were repeated in 1951 and 1952 and provided for an increase in all basic wage rates commensurate with a mutually agreed-on increase in the cost of living.

Labour is recruited by the French Phosphate Company of Oceania to work the phosphate deposits at Makatea, in the Society Islands. Individual labourers are recruited on single-year contracts, and are given medical examinations both before and after their term of employment, during which they are required to make allotments from their wages either to their dependants or to their savings-bank accounts. The work is relatively highly paid, and many workers seek re-employment on the termination of their contracts. At 31 March 1954 there were 243 labourers at Makatea.

There is no movement of migratory labour into the Cook Islands, although some migration occurs from the less-fertile islands of the Northern Group to Rarotonga and other islands of the Lower Group.

A number of Cook Island Maoris, principally girls, go to New Zealand to engage in domestic service or to learn trades. This migration is under supervision, and persons desiring to leave the islands are subject to examination for health and character.

Agriculture.—The principal export crops of the Cook Islands are citrus fruits, coconuts, pineapples, and tomatoes. Some years ago deterioration of the orange trees became increasingly evident, and in order to rehabilitate the industry a citrus-replanting scheme was instituted in 1945, providing for assistance to growers in establishing plots. Considerable progress has been made with this scheme, particularly in its revised form, and nurseries are established in Rarotonga, Aitutaki, Mauke, and Atiu. At 31 March 1954, 635 plots, totalling 402 acres, had been planted under the scheme. Owing to lack of shipping facilities and storm damage the production of bananas has declined in recent years, but at present attempts are being made to interest growers in rejuvenating the industry. The Administration has maintained nurseries for the propagation of banana shoots, which are distributed to growers for planting. Arrowroot is cultivated in Aitutaki, while Mangaia shipped 17,410 cases of pineapples to New Zealand in 1953–54.

The following are the estimated areas planted in the principal crops: coconuts, 30,250 acres; citrus fruits, 1,810 acres; taro, 350 acres; bananas, 1,380 acres; tomatoes, 800 acres; pineapples, 400 acres; manioc, 400 acres; kumaras, 310 acres; yams, 50 acres. These figures are based on a 1950 survey.

It is estimated that there are 1,800 horses, 800 head of cattle, 9,000 pigs, and 2,600 goats in the islands.

Ownership of Maori land is based on ancient Maori custom. Practically all land is either Maori customary land or Maori freehold land. The sale of Maori land is prohibited by law.

In 1953, in order to aid the economy of the Cook Islands, the New Zealand Government approved an extension of the citrus replanting scheme and the erection of a central coolstore and packing shed at Rarotonga.

Forestry.—There are few marketable types of forest trees in the islands. In the Lower Group the land is covered by secondary growth, coconut palms, and a scattering of larger trees, including breadfruit, mango, kapok, and chestnut. In the Northern Group the growth is mainly of coconut palms and low scrub.

Proposals for afforestation on a moderate scale are under way, and a commencement was made on the fern lands of Atiu in 1951, the species planted being Albizzia and Pinuts radiata. The main objects of the scheme are to prevent soil erosion and provide timber for fruit cases.

Transport and Communications.—For trading connections with other countries the islands are mainly dependent on a steamer service to and from New Zealand. This service makes regular calls at Rarotonga and occasional calls, for the purpose of loading cargoes of oranges in season, at the larger and more productive of the islands of the Lower Group. Occasional calls are made by trans-Pacific cargo vessels at Rarotonga. Until October 1952 the New Zealand National Airways Corporation operated a fortnightly service from Auckland to Fiji, Western Samoa, Aitutaki, and Rarotonga, but this service has been replaced by the Tasman Empire Airways fortnightly Coral Route service which does not call at Rarotonga, Aitutaki being the only island in the Cook Group served by the new service.

Radio communication has largely removed the former isolation of the islands, there being now no permanently inhabited island without a radio station. The chief station is Rarotonga Radio, which maintains direct communication with the substations and with Wellington, Apia, and Suva. Postal and telegraph services are available in all the islands, and there is a telephone service in Rarotonga.

Trade.—A summary of exports by country of destination and imports by country of origin for each of the last five calendar years available is contained in the next table.

19491950195119521953
 £££££
Exports, by Country of Destination
New Zealand165,033147,700196,227267,379304,324
Australia....1062,6061,391
United States of America48,90380,148115,27353,85639,090
United Kingdom......35,0651,003
Other countries849113,0226,4935,734
    Totals214,020228,759314,628365,399351,542
Imports, by Country of Origin
New Zealand212,329336,275278,091386,669433,647
Australia7,8459,11916,08816,34411,485
United Kingdom68,51098,50189,006117,96960,584
Canada6,81811,11310,81623,32521,966
United States of America11,5904,22612,63817,91313,372
Other countries8,44513,85930,75730,19510,965
    Totals315,537473,093437,396592,415552,019

The New Zealand Customs Tariff applies to the Cook Islands with additional special duties on sugar, cotton piece-goods (except calico), linen piece-goods, piece-goods of mixed linen and cotton, and black twist tobacco. During the war period import, finance, and price controls were instituted and have been kept in force. Import licences are required for goods imported from hard-currency countries. A contract has been concluded with the United Kingdom Ministry of Food for the sale of copra produced in the Group. The contract, which is for a period of nine years from 1 January 1949, is having a stabilizing effect on the Group's economy.

Details of the quantities and values of the principal commodities exported in 1952 and 1953 are shown below.

Commodity19521953
QuantityValueQuantityValue
 Cases£Cases£
Citrus fruits60,76069,70238,61649,808
Bananas110859987
Pineapples15,19513,08630,62125,393
 Boxes Boxes 
Tomatoes59,84441,00498,95777,469
 Tons Tons 
Copra1,33686,7021,09474,276
Mother-of-pearl shell30169,80930971,747
Handicrafts, grassware, etc...1,685..1,658
Manufactured goods (apparel)..56,102..17,157

Foodstuffs continue to be the largest class of import; major imports for 1953, with comparative figures for 1952, are set out in the following table.

CommodityValuePercentage of Total Imports
1952195319521953
 ££Per CentPer Cent
Foodstuffs176,958167,31629.830.3
Drapery and piece-goods93,41852,75215.79.4
Oils and petrol, etc.32,82326,9985.54.9
Tobacco and cigarettes26,05624,1734.34.4
Vehicles and parts24,39523,3784.14.2
Fruit cases and sacks13,65936,4532.36.6

Public Finance.—New Zealand currency is in use in the Group. The principal sources of revenue within the Group are import duties £47,265, export duties £6,079, and stamp sales £10,160. Apart from income tax, which may be payable in some cases, there is no direct taxation of the Maori community.

The New Zealand Government has continued to make subsidies and grants available on a generous scale for capital development in health, education, and other social services, and for meeting the budgetary deficits of the Group.

A comparative statement of revenue and expenditure for the last five years is shown hereunder.

YearRevenueExpenditureDeficitSubsidies and Grants
 ££££
1949–50131,281259,806128,525155,514
1950–51142,883281,722138,839103,899
1951–52156,913396,081239,168180,971
1952–53225,736453,557227,821276,382
1953–54257,217548,674291,457324,037

The principal items of expenditure in 1953–54 were £81,731 on education, £78,239 on health services, and £94,051 on public works. More detailed information in respect of the Cook Islands and Niue Island will be found in parliamentary paper A–3 for the year ended 31 March 1954.

NIUE: Descriptive.—Niue Island, discovered by Captain Cook in 1774, became part of New Zealand in 1901, when the boundaries of New Zealand were extended to include the Cook Islands. As stated previously, Niue is part of the Cook Islands, but has been under separate administration since 1903. The island is situated in latitude 19° 02′ south and longitude 169° 52′ west, somewhat west of the centre of the irregular triangle formed by Samoa, Tonga, and the southern Cook Islands, and is 600 miles distant from the latter. The island, which has an area of 64,028 acres, is an elevated coral outcrop with a coral reef fringing a precipitous and broken coastline. The central saucer-shaped plateau, rising to a height of 220 ft., is encircled by a narrow terrace about 90 ft. above sea level. There are no running streams, and the island is dependent on rain water, which is stored in tanks. The soil, though fertile, is not plentiful, and this feature, combined with the rocky and broken nature of the country, makes cultivation difficult and has precluded the grazing of stock in the past, although some goats were recently introduced to provide milk. The climate is mild and equable, and, although on the edge of the hurricane belt, the island is seldom visited by serious weather disturbances. The mean annual temperature during the last thirty years was 76.5° Fahrenheit, and the average annual rainfall for a similar period was 79.3 in.

The port of Alofi has an open roadstead anchorage which is satisfactory in fair weather.

Administration.—Provision for the administration of Niue is made in the Cook Islands Act 1915, which provides for the appointment of a Resident Commissioner charged with the administration of the executive government of Niue. Laws are made by Act of the New Zealand Parliament, or regulations issued thereunder, or by Ordinance passed by the local Island Council. This body meets periodically under the presidency of the Resident Commissioner, and consists at present of thirteen Niuean members appointed by the Governor-General, and representing all villages on the island.

Population and Vital Statistics.—The Niuean is of Polynesian stock and the language a Polynesian dialect peculiar to the island, but closely related to that of Tonga, Samoa, and the Cook Islands. Owing to the limited natural resources, and the earlier extensive use of Niueans as indentured labour in other Pacific groups, the population has shown little increase in numbers, and that increase has been during recent years. Totals of the nine censuses taken since the annexation of Niue by New Zealand (11 June 1901) are as follows.

CensusPopulation
19024,079
19063,822
19113,943
19163,880
19213,750
19263,795
19364,104
19454,253
19514,553

The following table shows the estimated population as at 31 March 1954.

NiueanOthersTotal
Males2,259292,288
Females2,402182,420
    Totals4,661474,708

The inhabitants are distributed amongst twelve villages, of which Alofi, with a population of 914 at the date of the last census, is the largest. The inhabitants of Niue are British subjects and New Zealand citizens.

For the calendar year 1953 births totalled 194 and deaths 61. There were 11 deaths under one year of age, the infant-mortality rate per 1,000 live births being 56.6.

Health.—Free medical and dental services are provided including free hospital treatment. The hospital, which is situated at Alofi, was built to accommodate some twenty beds, but in practice this number is exceeded. The amounts expended on the health services during the last five years are shown below.

1949–501950–511951–521952–531953–54
Amount expended£7,529£9,650£11,669£17,539£17,748
Population4,4714,4964,5884,6134,708

In 1953–54 expenditure on health was 13 per cent of the total expenditure for the territory.

All pupils in the seven schools undergo an annual medical examination, which is supplemented by the visits of mobile health clinics. The Dental Department makes a bi-annual inspection of each child.

During 1953–54 there were 21 deaths from cardiovascular disease and 10 from pneumonia. Tuberculosis, which presents the main health problem, caused 5 deaths. During the year an antituberculosis campaign was commenced. Yaws has now ceased to be a major problem. Skin infections remain prevalent. A dentist, a nutritionist, and an ophthalmologist visited the territory during the year. The showing of health films, the production of health posters with Niuean titles, the expansion of the Child Welfare Service, and the frequent sanitary inspections of all villages have resulted in a satisfactory standard of general hygiene being maintained. Some years ago the people were apathetic towards general hygiene and were influenced by bush medicine men, but the position is now different and the people are gaining full confidence in European medical treatment and are co-operating in a most satisfactory manner with medical research teams.

Education.—In 1951, after protracted negotiations with the London Missionary Society, the Administration took over the remaining mission schools and so assumed responsibility for all primary education in Niue. The nine former schools were consolidated into regional schools under the control of a European Headmaster in Charge, these schools all having Niuean headmasters. There are now a total of seven schools on Niue.

The total number of scholars attending schools at the end of 1953 was 1,113. The present policy is to increase the amount of the vernacular used in the schools, to foster in the schools the indigenous culture of the island, and to encourage local handicrafts as a part of school activities. The first issue of a School Journal in Niuean was published in December 1949, while teaching aids, etc., are supplied by New Zealand. Education is free and compulsory for those aged from six to fourteen years, but children are permitted to enter school at five years of age.

Labour and Employment.—The only substantial employer of labour is the Administration, which employs Niueans in the Education, Police, Public Works, Transport, and other Departments, and in the loading or discharge of vessels. Apart from this, labour is engaged from time to time to prepare copra for shipment. During the last four years a large number of unskilled labourers has been employed on public works. The basic wage rates are 8s. 9d. per day for unskilled work, 1s. 5d. per hour for waterside work, and on a varying scale for other employment. There is no unemployment problem.

Agriculture.—The chief agricultural exports are copra, kumaras, and bananas. All the copra exported is grown by Niueans, the prices paid to the growers being regulated by the Administration. All produce exported is inspected prior to shipment.

Just before the end of the financial year an Agricultural Officer with training in tropical agriculture was appointed to the staff. His duties comprise soil improvement, experimental work on crops and pastures, fruit and kumara inspection, improvement of copra, pest control, and general advisory work.

Owing to the severe potato shortage in New Zealand, the market for Niuean kumaras was extremely favourable last year, and the majority of the growers concentrated on this crop to the detriment of copra and banana crops. Very high prices were received for kumaras for a time, but towards the end of the year the increase in potato supplies in New Zealand caused a sharp fall in price. One of the first tasks of the Agricultural Officer has been to try to explain to growers the reasons for the fluctuation in kumara prices and to point out the danger of concentrating on this crop.

Fortunately, as a result of the organized planting of coconuts by school children during past years, the coconut plantations are generally in good condition, and copra production could be increased considerably in a comparatively short time. The Agricultural Officer has begun systematic observations of coconut trees in various places with a view to the selection of high-producing “mother trees” to improve the strain of coconuts.

Banana production has been very low for a number of years. Exports in 1953 were 3,325 cases, as compared with the record of over 35,000 cases in 1936. Planting has increased in some districts, however, and there may be higher exports in 1954.

The extremely rocky nature of the ground makes all agriculture difficult, as practically the whole of the arable land is confined to small pockets of soil among the coral rocks. Of the total area of some 65,000 acres, approximately 25,000 acres are more or less continuously cultivated, while some 15,000 acres have now been worked out and support only fern and scrub. The remaining 25,000 acres are either in coastal forest and scrub, light forest, or heavy forest.

As the Niuean depends for his livelihood upon his family lands, alienation is prohibited, so that there are no landowners apart from the Niueans and the Administration. Niuean land may not be leased for a period exceeding sixty years.

Transport and Communication.—There are no internal transport services. The transport of goods and produce to and from the port of Alofi is carried out by Administration and privately owned motor vehicles. There are some 70 miles of all-weather roads on the island.

At Alofi there is an open roadstead only, and cargo is handled by lighters.

Full postal services are provided at Alofi, where there is a Post Office Savings Bank. A single-line telephone system connects all villages on the island, and a radio station is maintained by the Administration for overseas communication.

Trade.—During 1953–54 inward cargo totalled 1,567 tons, while outward cargo totalled 1,476 tons. As usual, the bulk of the trade was with New Zealand.

The value of exports and imports for the last five years available are given below.

YearExportsImportsTotal Trade
 £££
194952,05276,761128,813
195058,54369,937128,480
195155,55583,447139,002
195282,971102,595185,566
195372,685116,852189,537

Exports of principal commodities during 1951, 1952, and 1953 were as follows.

CommodityUnit of Quantity195119521953
QuantityValueQuantityValueQuantityValue
   £ £ £
CopraTon68538,20195663,27760141,066
BananasCase5,6664,0905,2673,5803,3252,858
Plaited ware....10,016..8,251..7,163
KumarasBag1558191,16619,19217,740

As in the case of the Cook Islands, a nine years' contract for the copra supply has been entered into with the United Kingdom Ministry of Food.

The New Zealand Customs Tariff is in force, and there is free trade between the island and New Zealand. Local duties are, however, imposed on cotton piece-goods, sugar, and twist tobacco, irrespective of country of origin.

Public Finance.—Revenue within the island is raised principally from import and export duties, the sale of stamps, and High Court fines. Income tax at New Zealand rates is levied on those with taxable incomes, while a poll tax of 10s. per annum is imposed on all Niuean males aged eighteen years and over.

Deficits are met by a subsidy from New Zealand. A comparative statement of revenue and expenditure during the last five financial years is given in the following table.

YearRevenueExpenditureDeficitSubsidyFinal Surplus or Deficit
 £££££
1949-5034,67374,94240,26944,838+4,569
1950-5142,90968,22525,31634,217+8,901
1951-5236,628107,27570,64759,576−11,071
1952-5342,315100,91858,60349,671−8,932
1953-5468,865137,06968,20483,184+14,980

WESTERN SAMOA: Descriptive.—Western Samoa comprises the two large islands of Upolu and Savai'i, and islets of Apolima, Manono, Fanuatapu, Namu'a, Nu'utele, Nu'ulua, and Nu'usafe'e. The geographical boundaries are between latitude 13 degrees and 15 degrees south and longitude 171 degrees and 173 degrees west.

Savai'i is the larger of the two main islands, with a length of 46 miles, a breadth of 25 miles, and a total area of 703 square miles. The island is mountainous, rising to a height of 6,094 ft. Upolu, which extends some 45 miles in length and 13 in breadth, measures about 430 square miles in area, and rises to a height of 3,608 ft. Of the two, Upolu is the more fertile and contains two-thirds of the population. Only two of the smaller islands, Manono and Apolima, which are situated in the strait which separates Savai'i and Upolu, are inhabited. The remainder are within or near the fringing reef surrounding Upolu. The climate of the group is equable, the average temperatures during the last sixty years showing a mean daily maximum of 84.9° Fahrenheit, and a mean daily minimum of 74.0° Fahrenheit, while the average annual rainfall for a period of sixty years is 112.98 in.

Administration.—The territory of Western Samoa was formerly administered pursuant to a mandate conferred upon His Britannic Majesty, to be exercised on his behalf by the Government of New Zealand, and confirmed by the Council of the League of Nations on 17 December 1920.

Following the establishment by the Charter of the United Nations of an international trusteeship system, New Zealand in January 1946 communicated to the General Assembly of the United Nations its acceptance of the system in its application to Western Samoa.

A draft trusteeship agreement submitted by the New Zealand Government to the United Nations in October 1946 was, with minor amendments, adopted by the General Assembly on 13 December 1946. In this agreement (printed as parliamentary paper A-2C, 1947) the Government of New Zealand is designated as the administering authority for Western Samoa.

In the meantime the Samoan people asked that they be granted self government, with New Zealand remaining in the role of adviser and protector. A petition to this effect was transmitted to the Secretary-General of the United Nations through the New Zealand Government in January 1947. The petition was considered by the Trusteeship Council on 24 April 1947 and, or, the invitation of the New Zealand delegate, a Mission of Inquiry arrived in Western Samoa the following July.

On 27 August 1947 the New Zealand Government's proposals for political development in Western Samoa were outlined in a statement in Parliament. The Mission published its report in October 1947 and it was considered by the Trusteeship Council in the following month. The recommendations of the Mission were found to be closely in line with the policy of the Administering Authority. The constitutional framework for implementing these proposals was established with the passing by the New Zealand Parliament of the Samoa Amendment Act 1947, which came into force on 10 March 1948.

In 1952 an amendment to the Samoa Act provided for the creation of an Executive Council, which consists of the High Commissioner, the Fauna, three official members, three Samoan members, and one European member. The functions of this Council are to confer with and advise the High Commissioner on the formation of policy. In 1954 an associate membership system was instituted whereby unofficial members of the Executive Council were associated in an under-secretarial capacity with the work of the official members, under whom were grouped all the Departments of State.

The administration of the Executive Government is entrusted to the High Commissioner, who is appointed by the Governor-General of New Zealand, and is responsible to the Minister of Island Territories. He is President of the Council of State and of the Legislative Assembly. He also presides at those meetings of the Fono of Faipule which hi attends. The High Commissioner has no “reserve" or emergency powers of his own.

The Council of State is composed of the High Commissioner and the Fautua. Appointments to the Fautua are made by the Governor-General, who in an appropriate case would invite the Samoan members of the Legislative Assembly and the members of the Fono of Faipule to submit recommendations. There are two Fautua, who are the representatives of the two royal lines of Tupua and Malietoa. The High Commissioner is directed to consult the Council of State upon all proposals for legislation to be submitted to the Legislative Assembly on all matters closely relating to Samoan custom, and on any other matters affecting the welfare of Western Samoa which he considers proper.

The Legislative Assembly is composed of the members of the Council of State, twelve elected Samoan members, five elected European members, and six official members. The right of electing the Samoan members was conferred on the Fono of Faipule by the Samoa Amendment Act 1947. This body has forty one members representing territorial constituencies based on the traditional districts and sub-districts of Western Samoa. Each constituency returns one member, who must be supported by a majority of the matai in the constituency. The franchise is confined to the matai. The Samoa Amendment Act 1923, as later amended, gave the Fono of Faipule a statutory right “to consider such matters relative to the welfare of the Samoan people as of their own initiative they think proper, or as may be submitted to them by the High Commissioner, and to express their opinions and make their recommendations to the High Commissioner.” In addition, by a custom which has developed over a period of years, the Fono submits nominations for the appointment of Samoan District Judges, the Samoan Plantation Inspectors, and the Samoan Associate Judges of the Land and Titles Court.

The laws of the Territory are made by Act of the New Zealand Parliament or by Ordinances passed for the peace, order, and good government of the Territory by the Legislative Assembly of Samoa. In addition, by the Samoa Act 1921, the Governor-General in Council is empowered to make in New Zealand “all such regulations as he thinks necessary for the peace, order, and good government of the Territory.” These powers are intended as a safeguard for New Zealand's position as trustee, and not as the normal means of legislation. The scope of the legislative power of the Assembly was specifically widened under the 1947 amendment to include the power of overriding New Zealand legislation, except in regard to certain reserved subjects.

The work of the Executive Government is carried on, under the High Commissioner, by a Secretariat headed by the Secretary of the Government of Western Samoa and comprising suitable ancillary services.

Since the coming into force of the Western Samoa New Zealand Protected Persons Order 1950, the national status of the great majority of Samoans is that of New Zealand protected persons. This is in accordance with the expressed wish of the Samoans themselves. The non-indigenous inhabitants of the Territory retain their own nationality and citizenship. Under the provisions of the British Nationality and New Zealand Citizenship Act 1948, however, individual inhabitants of the Territory may apply for New Zealand citizenship by naturalization.

During 1951 an amendment to the Samoa Act provided for the substitution of the word “Samoan" for the word “Native" in all legislation. This brings the older legislation into line with current usage, and gives legal recognition to the fact that the various Pacific peoples have their own distinctive traits and characteristics.

In March 1953 the Prime Minister of New Zealand issued a statement on political, economic, and social advancement in Western Samoa, and outlined proposals for the holding of a constitutional convention in the later months of 1954, at which a constitutional plan for the future state of Western Samoa was being considered.

The Samoa Amendment Act 1953 gave the Legislative Assembly of Western Samoa power to make ordinances for the establishment of Inferior Courts of Justice with civil or criminal jurisdiction. By the same Act the jurisdiction of Samoan Judges of the High Court with two or more years' standing may, if the High Commissioner thinks fit, be extended to deal with persons other than Samoans, and to impose terms of imprisonment.

The Public Service.—The Samoa Amendment Act 1949, which came into force on 1 April 1950, established a Western Samoan Public Service under the control of a Public Service Commissioner of Western Samoa, who is appointed by the Governor-General of New Zealand. The Commissioner is assisted by two Assistant Public Service Commissioners, one of whom is the Secretary of Island Territories or his deputy, and the other appointed by the Governor-General on the nomination of the Council of State. At 31 December 1953, 1,070 persons were employed in the Western Samoa Public Service, of whom 66 were domiciled overseas.

Population and Vital Statistics.—A population census held in September 1951 showed a total population of 84,909, an increase of 16,712 since the previous census, which was held in 1945.

The following table shows the summarized results, together with the corresponding figures for the 1945 census.

1945 Census1951 Census
Samoans (including other Polynesians)62,49780,153
Part-Samoans5,0404,142
Europeans359450
Chinese301164
    Totals68,19784,909

Apia, the only town in the Territory, is situated on the north coast of Upolu and, together with immediately adjoining villages, has a population of approximately 16,000. It is the administrative headquarters and the only port of entry. The great majority of persons of European status live in or about Apia.

The following figures, which show the numbers of Samoans (including other Island races) at varying intervals, reveal a rapid rate of increase in recent years. The heavy toll exacted by the influenza epidemic in 1918 is evident from the estimates of 1 October and 31 December of that year.

German régime— 
Census mid-190633,478
Census mid-191133,554
New Zealand Administration— 
Census mid-191736,216
Estimated, 1 October 191837,113
Estimated, 31 December 191831,200
Census, 17 April 192132,522
Census, 1 January 192636,880
Census, 4 November 193652,266
Census, 25 September 194562,497
Census, 25 September 195180,153

The estimated population at 31 March 1954 was 91,988. During 1953 there were 2,963 births and 465 deaths, while arrivals in the Territory numbered 4,664 and departures 5,217. The Samoan infant-mortality rate (i.e., deaths under one year of age per 1,000 live births) was 40.93.

Health.—Western Samoa is free from many of the diseases which present the most serious health problems in large areas of the tropics. The climate is healthy even for Europeans unaccustomed to the heat and humidity, and the general level of nutrition is more satisfactory than in a great many tropical regions. The most prevalent diseases are hookworm, yaws, and filariasis, and diseases which result from faulty sanitation, such as typhoid, dysentery, and infantile diarrhoea. Tuberculosis is also a major problem, and chest diseases such as pneumonia are common. Considerable illness among children is caused by faulty feeding. Epidemics of such common ailments as influenza and mumps occur from time to time, but now that the people have access to medical remedies and are in the habit of using them, such epidemics are not a major cause of death or permanently impaired health. The death rate and infant-mortality rate in Western Samoa compare favourably with those in most other parts of the Pacific, but they are still high by western standards.

Close co-operation is maintained with the Epidemiological Information Service of the South Pacific Health Service.

Apia Hospital has 216 beds, half in European-style buildings, the other half in Samoan faletype wards. Mobile clinics operate in the roaded areas of Savai'i and Upolu, the main function of these clinics being the early recognition and treatment of minor conditions among school children.

The district medical organization is based on the assumption that where a good transport system exists all seriously ill cases should be brought to a central hospital. Where there are inadequate transport services, provision must be made to deal locally with a larger variety of cases than otherwise might be dealt with, and in these cases district hospitals are required, whereas in better served areas dispensary stations are sufficient.

Most villages have a women's Village Committee, and these committees, by their close co-operation with the Samoan medical practitioners and nurses, do much to promote the health and welfare of the people. Health education is also carried on by means of radio broadcasts in both Samoan and English.

During 1953, 6,733 patients were admitted to hospitals or out-stations, 167,570 outpatient treatments were given, and 7,636 operations performed.

Education.—In Western Samoa mission and Government schools function side by side, close cooperation being maintained between the controlling bodies. There are 357 mission schools throughout the Territory, with some 6,663 pupils. In addition to the 105 Government primary schools there are three advanced Government schools. The total number of students attending all Government schools in 1953 was 14,531.

Each year the Administering Authority awards approximately ten scholarships for study in New Zealand. These scholarships are awarded on the basis of a competitive examination, and enable students to attend primary and secondary boarding schools in New Zealand, from whence most proceed to higher establishments for professional or trade training. The scholarship scheme was inaugurated in 1945, and since then 94 pupils from Western Samoa have been awarded scholarships.

With the opening of Samoa College at Vaivase in February 1953 a further step towards higher education among the Samoan people has been reached. The opening roll was 227 pupils, of whom 52 were in the secondary department. The college will eventually become a boarding establishment. It is intended to develop the college gradually to replace the present scholarship scheme, instead of which secondary school pupils will receive scholarships for study at Universities in New Zealand.

In 1953 over £170,000 was spent on education, including a grant of £37,200 from the New Zealand Government. A further sum of several thousand pounds is spent by the New Zealand Government on the Samoan School Journal. No direct financial assistance is given to denominational schools, but the Education Department of the Samoan Government renders assistance to the missions through its educational broadcasts, the provision of textbooks, the supply of educational films, the training of mission teachers, and the provision of refresher courses for teachers.

Educational Statistics.—The figures given below record the number of scholars at the various schools in 1953.

 Number of Scholars, 1953

*Plus 238 in mission theological colleges and 6 female noviciates.

Government primary schools, 5–18 years14,170
Government vocational, 16–21 years315
Government secondary, 16–19 years46
    Total, Government schools14,531
Mission primary schools, 5–18 years6,437
Mission vocational, 16–21 years99
Mission secondary, 16–21 years127
    Total, mission schools6,663*
    Grand total21,194

NOTE.—In the primary schools, few pupils attend before the age of six years and most have left by the age of sixteen years.

Labour and Employment.—Regular employment for wages is not a natural form of Samoan life. The plantations can, to a certain extent, overcome the difficulty regarding regular employment by engaging co-operative or community groups on casual work, but in the stores and in the Administration where regular daily tasks are required the labour turnover is very large. On the other hand, no difficulty is experienced in obtaining labour for the two or three days of intensive work available when a cargo vessel is in port.

Legal provision for the establishment of co-operative societies was made by the passing of the Co-operatives Society Ordinance in 1952, but no such societies have as yet been formed.

The basic minimum wage for Government employees is 9s. per day, with higher rates for semiskilled and skilled men.

Agriculture and Animal Husbandry.—Public services in connection with agriculture are organized under the Agriculture Department, which employs, in addition to clerical staff, a staff of Samoan field instructors and Samoan district plantation inspectors, the latter being resident in districts throughout Samoa.

The type of terrain on which export crops are grown precludes the widespread use of mechanical equipment, the soil being mixed with scoria and volcanic refuse in most areas. Domestic crops make adequate provision for village requirements under present methods of cultivation, and there is no incentive to increase yields by mechnized cultivation, which would be very difficult considering the terrain.

In a normal season the Samoans find no difficulty in producing local food supplies sufficient to meet their requirements. Reliance on imported European foodstuffs is strongest amongst Samoans whose villages are found in the area surrounding Apia, although such foodstuffs, particularly flour and preserved meats, are popular throughout the Territory.

Livestock are of local importance. Pigs and poultry figure in the Samoan village economy, while cattle are raised on the New Zealand Reparation Estates and other plantations. Horses and mules are used as pack animals. The New Zealand Reparation Estates cattle, which number approximately 8,500 head, beside grazing the plantations clear of undergrowth, provide fresh beef for consumption in the Territory and hides for export. The herds consist mainly of the Hereford and Polled Angus varieties, and are maintained and improved in quality by rotational grazing and careful selection for breeding. Cattle are also raised by a few individual planters, and milking herds are maintained by the Estates and by one planter.

The land of Western Samoa is classified in law as Crown land, Samoan land, and European land, there being some 88,000 acres of Crown lands, 583,000 acres of Samoan land, 33,000 acres of New Zealand Reparation Estates land, and about 21,000 acres of European land. It is estimated that about 400,000 acres, or 55 per cent, of the land area of the Territory is made up of steep hillsides, lava beds, or other unproductive areas, although as time passes lava beds gradually begin to support vegetation. The areas of land devoted to the principal crops are as follows: coconuts, 45,000 acres; bananas, 14,000 acres; cocoa, 13,000 acres; taro, 4,600 acres; ta'amu, 1,500 acres. It is estimated that production by Samoans accounts for 80 per cent of the copra exported, 60 per cent of the cocoa exported, and 95 per cent of the bananas exported.

Forestry.—The forests in Western Samoa are neither virgin nor densely stocked with valuable timber species. Savai'i has more extensive areas of forest than Upolu, but the rugged terrain precludes the economic extraction of the timber. Two milling concerns operate in Upolu, but together they supply only one third of the annual consumption of timber, which is about 1,500,000 superficial feet.

A forestry survey carried out in 1951 revealed the need for a planned economy and the conservation of natural resources, and demonstrated that Samoa's forests are not one of the country's major resources.

Industry.—Apart from the two sawmilling concerns there are no industrial activities of any magnitude in the Territory. There are a few small enterprises for the processing of coffee and the manufacture of cordials, curios, and similar products. In 1953 a locally owned soap factory commenced production. There are no mineral resources available for development.

Communications.—There is a fortnightly passenger and cargo service from New Zealand via Fiji and Tonga, while a fairly frequent service operates between Apia and Pago Pago in American Samoa. There is one airport, Faleolo, and until late in 1952 the New Zealand National Airways Corporation operated a regular fortnightly service using this aerodrome. However, as a consequence of Tasman Empire Airways, Limited (T.E.A.L.), taking over the pacific services, Faleolo is no longer in regular use, for T.E.A.L. operate Solent flying boats which use the recently extended Satapuala flying-boat base adjacent to the airport. T.E.A.L. operate two trips per month, from Fiji to Tahiti, calling at Samoa en route.

There are 302 miles of roads suitable for vehicular traffic in the Territory.

Postal and telephone services are provided by the Postal Department.

Trade.—The exports and imports of Western Samoa for each of the last eleven years are as follows.

YearExportsImports
 ££
1943278,213605,911
1944391,317460,764
1945630,446398,760
1946719,050478,695
19471,351,770923,773
19481,108,258954,028
19491,344,758881,584
19501,303,7611,095,121
19511,721,9421,194,698
19521,778,0841,687,790
19531,954,6891,312,769

The following table shows for the years 1952 and 1953 the value of exports and imports according to country of destination and country of origin.

CountryExports (Including Re-exports)Imports
1952195319521953
 ££££
New Zealand190,459451,314336,755411,942
Australia41,04678,284378,862235,195
United Kingdom1,267,4541,044,253410,411323,596
Fiji3,10057959,76462,138
Canada4297054,16245,169
India....21,91433,352
United States of America268,301374,929224,31555,790
Other7,2955,260201,607145,587
    Totals1,778,0841,954,6891,687,7901,312,769

The principal exports consisted of cocoa, £930,892; copra, £732,792; and bananas, £262,348. At the end of 1953 the Copra Reserve Fund stood at £196,430. This money is available to maintain the price of copra at an economic level if this becomes necessary.

A nine-year contract for the sale of copra produced in the Territory was entered into with the United Kingdom Ministry of Food in 1949. The initial price was £48 10s. sterling per ton, f.o.b. Apia. In 1951 this price was increased by 10 per cent to £53 15s. sterling per ton, in 1952 it was further increased to £65 sterling per ton, and for 1954 it has been increased to £70 sterling per ton.

Control of Trade and Finance.—Certain measures in regard to trade and finance were brought into operation in Samoa by the Samoa Import Control Regulations 1944 and the Samoa Finance Emergency Regulations 1944 (now replaced by the Western Samoa Exchange Control Regulations 1948).

These measures were introduced more particularly to ensure the supply of essential goods from exporting countries. There is no impairment of the authority of the local Administration to permit imports from any country from which they may be available. No import licences are issued for any imports save those from hard-currency areas and Japan.

Western Samoa is a member of the sterling pool, to which her hard-currency contributions are made mainly from earnings on the export of cocoa.

Public Finance.—In the years following the establishment of the Mandate Administration in 1920 New Zealand made free gifts for public services amounting to £269,362, and in addition advanced £179,200 by way of loans. No further grants or loans have been necessary since 1931–32, the Territory during that period having been fully self-supporting, but the New Zealand Government has of recent years made grants as set out in the following table.

Subsidy or Grant1949–501 April–31 December 1950195119521953
 £££££
Education and cost of overseas scholarships24,0725,74840,35847,50128,470
Roads25,000........
Health50,000........
Broadcasting..........
Rhinoceros-beetle control603..312425480
    Totals99,6755,74840,67047,92628,950

In addition to these cash grants the New Zealand Government has provided free educational equipment for Samoan schools. All loan indebtedness has been fully paid off, and there was an accumulated surplus of £626,540 at 31 December 1953, £529,500 of which was invested in New Zealand.

Up to 31 March 1954 a total of approximately £541,000 from the profits of the New Zealand Reparation Estates has been expended or authorized for expenditure on general development in the interests of the Territory of Western Samoa. Projects undertaken by this means include education, health, roading extensions, rhinoceros-beetle control, scholarships, broadcasting, and residences for the use of New Zealand officers serving in Western Samoa.

The following table shows the total revenue and expenditure for each period quoted. The principal items of expenditure are also shown.

Year Ended 31 MarchRevenueExpenditure
EducationSamoan AffairsPublic HealthPublic WorksTotal (Including “Other”)
 ££££££
1950521,85970,41323,889105,655129,386458,095
Nine months ended 31 December 1950471,08774,19716,62493,667160,628444,202
1951 (calendar year)678,897113,34525,470140,245166,357630,147
1952 (calendar year)781,980110,552..170,983282,255811,580
1953 (calendar year)929,120128,610..174,050455,8101,054,320

Subsidies from New Zealand for specific purposes shown in the earlier table are not included in the foregoing figures.

The public revenue of the Territory is derived from a combination of direct and indirect taxes. The principal indirect taxes are import and export duties which provide a suitable method of obtaining revenue from a central source at a minimum cost, and are thus well suited to the present stage of development of the Territory. Store tax is a tax on the gross selling price of goods. There are no direct taxes imposed on individual Samoans other than the salary tax on incomes in excess of £200 per annum, payable in cash by individuals after deducting the normal exemptions. Direct taxes generally comprise amusement tax, building tax, trade and business licences, and water rates.

Receipts of revenue from the various sources of taxation for the calendar years 1952 and 1953 were as follows.

 19521953
 ££
Amusement tax320840
Arms licences550620
Building tax5,3404,760
Export duties169,230165,170
Import duties373,760317,150
Licences and fees8,54011,460
Salary tax7,9808,780
Stamp duties8402,200
Store tax85,32096,160
Water rates2,6702,250
Vehicle licences6,7407,830

There is a Post Office Savings Bank at Apia, and at 31 December 1953 deposits totalled £343,760. During the year deposits at £199,570 exceeded withdrawals by £37,660.

TOKELAU ISLANDS: Descriptive.—Situated some three hundred miles to the north of Western Samoa, between 8° and 10° south latitude and between 171° and 173° west longitude, are the three atoll islands of Atafu, Nukunono, and Fakaofo, of the Tokelau (Union) Group. A fourth island, Olosega, belonging to the United States of America and lying 100 miles to the south of Fakaofo, completes the group.

Each atoll is composed of a number of coral islets surrounding a central lagoon. These islets vary in size from 100 yards to four miles in length, while none is wider than 400 yards nor, with but few exceptions, higher than 10 ft. above sea level. The land area of each atoll is approximately as follows: Fakaofo, 650 acres; Atafu, 500 acres; Nukunono, 1,350 acres. The atolls do not lie in close proximity, there being 40 miles of open sea between Fakaofo and Nukunono, and 57 miles between Nukunono and Atafu.

Owing to the absence of humus in the soil, the vegetation is practically restricted to coconut palms, although one islet of each atoll is reserved for growing the tauanave, or tausunu, a short stubby tree, which yields to the Tokelau Islanders their only timber for the construction of canoes, houses, and utensils.

The general isolation of the Tokelau Islands and the limited nature of the economy have combined to produce an extremely simple pattern of living and a stable society in which there is freedom from many social problems. The absence of such complicating factors as divergent economic interests, cultural differences, or racial conflict is conducive towards the maintenance of the present peaceful mode of life and outlook. Village affairs are managed by the Council of Elders, comprising representatives of the families, and this body also exerts some influence over the “aumaga" or village labour force. In this way the traditional form of patriarchal authority has been preserved and regulates Tokelau society, performing a service alongside, and also in addition to, the public duties of government which are carried out by local officials such as the Faipule and the Pulenu'u.

Differences between the Tokelau Islanders and the Samoans are also exemplified in other ways, such as food habits, styles of house building, and directness of address in speech. In dancing, an activity inherent in all Polynesian society, the Tokelau Islander differs from the more traditional Samoan forms in that he incorporates syncopation and a larger degree of improvization, while few other Polynesians make such extensive use of the drum, which is an essential to Tokelau dancing.

Administration.—The first recorded European discovery of the Tokelau Islands was made by Quiros, the Spanish Navigator, who in 1606 made a landfall at Olosega. In 1765 Atafu was discovered by Commodore Byron, R.N., and the islands were included under the protection of Great Britain in 1877. In 1916 the islands, at the request of the inhabitants, were formally annexed to Great Britain by an Order in Council, which also extended the boundaries of the Gilbert and Ellice Islands Colony to include the Tokelau Group (then known as the Union Islands) and their dependencies. The group was governed by the High Commissioner for the Western Pacific and administered by the District Officer at Funafuti, in the Ellice Group. In 1925 the New Zealand Government, at the request of the British Government, agreed to administer the islands. By Order in Council the group was separated from the Gilbert and Ellice Islands Colony, and by a further Order in Council in the same year the Governor-General of New Zealand was empowered to make laws for its peace, order, and good government, and authorized to delegate from time to time to the Administrator of Western Samoa so much of this power as might be considered desirable. The right was reserved to the Governor-General in Council to disallow any laws passed under this delegated power and to make any restriction deemed proper. The vesting of administrative powers in the Administrator of Western Samoa (now the High Commissioner) in 1926 was a matter of convenience, the Tokelau Group having no political connection with the Territory of Western Samoa.

The Tokelau Nomenclature Ordinance 1946 officially fixed the name of the group, hitherto sometimes referred to as the Union Islands, as the Tokelau Islands or the Tokelau Islands Dependency.

By the Tokelau Islands Act 1948 the Tokelau Group was included within the territorial boundaries of New Zealand; legislative powers are now vested in the Governor-General in Council, while executive powers remain with the High Commissioner of Western Samoa. The inhabitants of the Tokelau Islands are British subjects and New Zealand citizens.

There are no local European officials in the Tokelau Islands. The group is administered through the Department of Samoan Affairs in Samoa. The following is the staff establishment of officials for each of the three atolls:

Faipule and Magistrate (Fa'amasino).Police.
Pulenu'u (Mayor of village).Wardress.
Failautusi (clerk and postal officer).Assistant Medical Practitioner.
Wireless Operator.Tokelau Nurse.
Chief of Police.Dresser.

Population.—The people, though closely allied to the Samoans, have not such a fine physique. Intermarriage with Gilbert and other Islanders has probably lessened the strain of pure Polynesian blood to a greater extent than in the case of the Samoans.

On 25 September 1951 a census showed a total population of 1,580, including 9 Europeans, seven of whom were members of the visiting official party. The indigenous population was as follows.

IslandMalesFemalesTotal
Fakaofo302360662
Atafu226226452
Nukunono199258457
    Totals7278441,571

At the time of the census 183 Tokelau Islanders were in Western Samoa.

The previous census, carried out in September 1945, showed a total of 1,388 persons in the Tokelau Group. The indigenous population at 31 March 1954 was estimated at 1,751.

On Atafu all the inhabitants are members of the London Missionary Society, and on Nukunono all are adherents of the Roman Catholic Mission. On Fakaofo the greater number adhere to the London Missionary Society. Both missions—the Roman Catholic and the London Missionary Society—have their headquarters in Samoa, from which the work in the Tokelau Islands is administered. Since December 1946 there has been a Catholic priest in residence at Nukunono. A Roman Catholic sister arrived in Nukunono in 1948 and established a convent school. They are the only Europeans domiciled in the islands.

Health.—Health services in the Tokelau Islands are organized and supervised from Apia, from where also the supplies are drawn. The incidence of disease in the islands is slight. There have been no cases of smallpox, leprosy, plague, or cholera, and yellow fever is unknown. The only mosquito identified in the islands is the Aedes pseudoscutellaris, and filariasis is present, carried by this mosquito. There is no malaria. Recent surveys reveal a microfilarial of about 10 per cent, most of the carriers having resided either in Samoa or some other endemic zone for at least some months. No cases of syphilis have been reported. Yaws is common amongst the children, but the disease, however, is quickly reduced by appropriate therapy. An outbreak of hepatitis (jaundice) occurred in September 1953 and lasted until April 1954. Three hundred and four cases were reported with three deaths.

A Samoan medical practitioner is stationed in the group, and he moves from island to island at approximately three-monthly intervals. Other medical staff consists of staff nurses, nurses, and dressers, who obtain their training at Apia hospital in Western Samoa. In addition each atoll has an active Women's Committee, and to these committees much credit is due for their work in village health and sanitation.

Fresh water is not plentiful, and tanks and catchment areas have been erected on each island.

Education.—At the end of 1950 the decision was made that four trained Samoan teachers should proceed to the islands to open Government schools. These teachers and their equipment arrived early in 1951, two being posted to Atafu and two to Fakaofo. Upon arrival they reorganized and regraded the mission schools, but owing to the large roll numbers it was necessary to retain the services of the missionaries and others who had received education in Western Samoa. All the necessary school equipment, stationery, and textbooks are supplied by the New Zealand Government; the schools also receive copies of the Samoan Teachers' Monthly Guide and of Samoan and New Zealand School Journals. In addition, they are equipped with film-strip projectors and also with radio sets so that the daily educational broadcasts of the Western Samoan Education Department may be utilized. The mission school on Nukunono is equipped by the New Zealand Government in a similar fashion to the schools of the other islands.

The rolls of the three schools in March 1954 were as follows: Fakaofo, 220; Atafu, 223; Nukunono, 163. In addition, a number of Tokelau children attend Government and mission schools in Western Samoa.

Communications.—Visits to the islands are made at approximately three-monthly intervals by aircraft of the Royal New Zealand Air Force stationed at Lauthala Bay, Fiji. Trading visits are made at fairly regular intervals by a vessel chartered by the New Zealand Reparation Estates, Western Samoa. Inter-island communications are carried out by the visiting aircraft and trading vessels, canoe journeys between the islands being discouraged. The Catholic Mission at Nukunono has a launch in which occasional visits are made to Fakaofo, and which aids inter-island communication in general.

Radio-telegraph receivers and transmitters are operated on each atoll, being housed in small radio-telegraph station buildings. In addition, receiving sets are installed in all villages and enable the people to listen to broadcasts from the Apia broadcasting station.

Trade and Finance.—Prior to the Second World War trading operations were carried out by merchants operating from Western Samoa. During the war the trading vessels were withdrawn, and the Administration undertook the purchase of copra and the sale of goods. At the conclusion of hostilities the Administration offered to return the trade to private firms, but they were not prepared to resume operations, and it has since been undertaken by the New Zealand Reparation Estates. The quantity of copra shipped for the year ended 31 March 1954 amounted to 280 tons. Apart from copra the only exports are handicrafts.

Revenue is derived principally from export duty on copra, Customs duty of 12½ per cent ad valorem on all goods entering the islands, trading profits, and the sale of postage stamps. Provisional figures show that revenue for the year 1953–54 was £4,972 and expenditure £8,199.

Under the Tokelau Islands Copra Regulations 1952 a Copra Stabilization Fund has been established to be built up by a levy on purchases of copra for export, and is to be used to supplement the prices received by the producers, or by the purchasers on resale after export, as may be necessary from time to time. At 31 March 1954 there was £2,326 in the fund.

THE CHATHAM ISLANDS.—The Chatham Islands, which are composed of one main island, three small islands, and numerous reefs and islets within a radius of thirty miles, lie 467 nautical miles east of Lyttelton, and have an area of 372 square miles. There are approximately 500 people on the islands, which are part of New Zealand proper, being attached to the Lyttelton Electorate for Europeans and to the Western Maori Electorate for Maori electors.

The islands were constituted a county in 1901, but the first Council was not elected until 1925. The Council obtains its revenue not from rates, but from import and export duties. The total revenue of the County Council for the year ended 3J March 1954 amounted to £11,389.

There is a cottage hospital at Waitangi, the main settlement and port of entry, and schools at Te Kairakau, Te Ore, Owenga, and Kaingaroa.

The island's major industry is sheep farming, there being no dairy farming. Some cattle are exported, but the islanders' greatest source of revenue comes from the export of sheep and wool. For the year ended 31 March 1954, 3,346 bales of wool, 18,659 sheep, 661 tons of fish, and 280 tons of general cargo were exported. Imports amounted to 1,072 tons.

Approximately six trips per annum have been made to the Chatham Islands by T.E.A.L. flying boats during the past few years, but following the cessation of the flying-boat service across the Tasman the Chathams service was also discontinued. There is an irregular shipping service for the greater part of the year. Internal communications are not good, roadwork being made difficult and expensive by the extensive peat swamps. There are six party-telephone lines on the island. Isolated sheep stations maintain contact with the radio station at Waitangi by means of radiotelephones. A radio-telephone service was established with New Zealand early in 1953.

THE ROSS DEPENDENCY.—By Imperial Order in Council of 30 July 1923 the coasts of the Ross Sea, with the adjacent islands and territories between the 160th degree of east longitude and the 150th degree of west longitude, and south of the 60th degree of south latitude, were proclaimed a British settlement within the meaning of the British Settlements Act 1887, under the name of the Ross Dependency, and the dependency was placed under the jurisdiction of the Governor-General of New Zealand.

It is estimated that the mainland area is about 175,000 square miles; but, being completely ice-covered, it is uninhabited. On various occasions bases have been established on the mainland by Antarctic expeditions, which have made extensive explorations within the territory and on contiguous portions of the continent. As yet no economic wealth has been won from the mainland, but the territorial waters, with their large numbers of whales, have been the scene of operations for numerous factory whaling ships. There has been, however, no New Zealand capital invested in these enterprises.

An article on the Ross Dependency, written by Mr M. J. S. Nestor, appeared in the 1938 number of the Year-Book (pages 900–903).

A New Zealand expedition to the Antarctic in the summer of 1956–57 is in the process of being organized, and will participate in the proposed Commonwealth Trans-Antarctic expedition. A national committee, called the Ross Sea Committee, has been appointed by Cabinet to organize the New Zealand participation. McMurdo Sound, in the Ross Dependency, is expected to become one of the main bases.

Whaling.—Regulations dated 24 October 1929, which superseded those of 1 November 1926, prohibit whaling operations within the boundaries of the Ross Dependency without a licence, for which the annual fee payable is £200, and in addition to which the Government requires a royalty of 2s. 6d. per barrel (40 gallons) of whale oil. The owner or master of a vessel engaged in whaling or used as a floating whale factory is liable to a fine not exceeding £1,000 for each day on which operations are carried on without a licence. A penalty not exceeding £100 per day is provided for in cases of noncompliance with the terms of the licence granted in respect of any vessel used for whaling or as a floating factory, and a similar penalty for failure to equip a floating factory in accordance with the requirements of the regulations, or for failure to convert a whale into commercial products within forty-eight hours after delivery at the factory. Provision is made for the arrest on warrant of any vessel in respect of which an offence against the regulations is committed.

The regulations apply, of course, only to territorial waters, and operations are carried on outside territorial waters by unlicensed expeditions. The great majority of whales are taken outside territorial waters.

The Whaling Industry Act 1935 gives legislative effect, so far as New Zealand is concerned, to the International Whaling Convention signed at Geneva in 1931. The general principles of the Convention are in the direction of conservation of whales and regulation of the industry.

An international agreement signed in June 1937 embodied further provisions for the regulation of the whaling industry, and from time to time supplementary protocols determine the conditions in accordance with which whaling will be conducted.

NAURU.—Nauru Island is barely one-third of a degree below the equator and lies 166° 56′ east of Greenwich. It is an elevated island about three and a half miles long and two and a half miles wide, with a circumference of twelve miles, and an area of 5,263 acres. With the exception of a narrow coastal belt favourable for the growth of coconuts, and of a brackish lagoon, the island consists of phosphate deposits overlying a bed of coralliferous limestone. The island is completely surrounded by a coral reef, and beyond the reef the sea bed slopes sharply downwards at an angle of 45°. These two factors, together with the presence of the strong equatorial current of two knots, materially affect the shipping facilities of the island. The fact that the island lies in the latitude of the easterly trade winds, which blow from nine to ten months of the year, is also significant, since it explains the comparative absence of rainfall, a condition necessary for the existence of phosphate deposits. Prior to its forcible occupation by Japan on or about 26 August 1942, the Island of Nauru was administered under a mandate, dated 17 December 1919, conferred upon His Britannic Majesty and approved by the League of Nations. This mandate was held jointly by the Governments of Australia, Great Britain, and New Zealand, and by a mutual agreement the administration was in practice left to the Australian Government. On 13 September 1945 the Japanese garrison on the island surrendered, and civil administration was re-established on 1 November 1945. In January 1946 the Australian Prime Minister announced that, with the concurrence of the Governments of the United Kingdom and New Zealand, Australia would negotiate a trusteeship agreement with a view to bringing the mandated territory of Nauru under the International Trusteeship System. This agreement, was approved by the General Assembly of the United Nations on 1 November 1947.

In 1951 an ordinance provided for the abolition of the Nauruan Council of Chiefs, a body established by custom, and the creation of a Nauruan Local Government Council. The latter Council is composed of nine Nauruans elected by all Nauruans, male or female, who are over twenty-one years of age. Voting is by secret ballot, and a preferential system of voting is employed. The Council is an advisory body which, subject to the Administrator's approval, may make rules covering certain specified subjects.

Financial figures quoted hereunder are in Australian currency.

The mining rights are vested in the British Phosphate Commission, subject to the rights of the Nauruan landowners, and the deposits, as well as those on Ocean Island, about 165 miles to the east of Nauru, are worked by the Commission. The royalty payable on phosphate shipments to or on behalf of the Nauruans is calculated at 1s. 4d. per ton and amounted to £81,807 for 1952–53. Administrative expenses are covered by direct payments by the Commissioners. These amounted to £233,491 for 1952–53.

The deposits do not appear to be simple guano, and some authorities consider them to be of a marine sedimentary origin raised from the sea bed and subjected to weathering. From the point of view of phosphate manufacture the deposits are of a very high grade, exports averaging 85.4 per cent tricalcic phosphate and 3.4 per cent calcium carbonate. Owing to the uneven nature of the outcrops of coralliferous limestone the extent of the deposits cannot be measured accurately, but it is estimated that there are between sixty-five and seventy million tons of phosphate rock available.

Of the 1,227,103 tons of phosphate exported in 1953 Australia received 758,831 tons and New Zealand 468,272 tons.

The following table shows the population of Nauru for the years 1949–53.

YearChineseEuropeansOther Pacific IslandersTotal Non-indigenousIndigenousTotal

*Includes 505 Gilbert and Ellice Islanders employed under contract by the British Phosphate Company.

†In addition 41 Nauruans were absent from the island on 30 June 1953.

19491,440247581,7451,5243,269
19501,491278811,8501,5823,432
19511,4112741311,8161,6183,434
19527592535601,5721,6723,244
1953515270874*1,6591,7453,404

Revenue and expenditure and trade of the Nauru Administration since 1948–49 are given in the following table.

YearRevenueExpenditureExportsImports
 ££££
1948–4934,204105,6731,174,287527,104
1949–5042,10368,5681,589,594646,155
1950–5185,019130,4911,378,579720,752
1951–5290,414146,7421,725,420544,001
1952–53163,408179,4231,994,045674,190

Imports consist almost entirely of food supplies and of machinery for the working of the phosphate deposits.

Chapter 44. SECTION 44—MISCELLANEOUS

Table of Contents

PUBLIC TRUST OFFICE.—In the early years of settlement in New Zealand those who wished to make provision for the administration of their estates on their death often experienced difficulty in selecting a suitable person competent and willing to act as trustee. That difficulty was natural in a new country where the colonists were fully occupied with their own affairs, and were unable to give to the property or business of another the close attention that was demanded. Even if an otherwise suitable trustee could be found, his solvency—an essential element in a trustee—might be in doubt, particularly when the value of colonial property fluctuated considerably and the financial position of an individual could quickly change for the worse. Again, changes of residence were frequent, and the trustee appointed might have left the colony or have moved to another part of it just at the time when his presence and services were most required.

In these circumstances the Public Trust Office was established in 1872 (it is now constituted under the Public Trust Office Act 1908), under the administration of the Public Trustee, who was constituted a corporation sole with perpetual succession and a seal of office. The main purpose of the original Act was to provide a means of overcoming the difficulties that have been mentioned and to make available to the public a trustworthy administration of the estates of deceased persons at a minimum cost, the integrity of the Public Trustee and his officers being guaranteed by the State. That continues to be the chief function of the Office, but since its establishment the range of service has been very considerably extended and the Public Trustee now acts in many diverse capacities—e.g., as administrator in intestate estates; executor and trustee under wills; trustee under marriage and other settlements; trustee of benefit or relief funds; agent or attorney for absentees or persons desiring to be relieved of business worries; sinking fund commissioner for local authorities; administrator of unclaimed lands and property; statutory administrator of the estates of mental patients (other than Maoris) where no committee of the estate has been appointed by the Court; manager (when so appointed by the Court) of the estates of aged and infirm persons unable to administer their own affairs; administrator of compensation moneys payable in respect of the death of a worker (unless the Court orders otherwise); and agent for the investment of certain moneys of the National Provident Fund and the administration of mortgage investments forming part of the Government Superannuation Fund. The wills of persons desiring the Public Trustee to act as their executor are prepared and held in safe custody by him, free of charge.

In lieu of obtaining probate or other grant of administration, the Public Trustee may file in an office of the Supreme Court an election by him to administer an estate (testate or intestate) if the gross value of the property in New Zealand is estimated not to exceed £1,000. If after the filing of the election the value of the property is found to exceed £1,500, the Public Trustee must obtain a grant of probate or administration in the ordinary way. This authority in many instances obviates the necessity for obtaining a grant of probate or administration, thus facilitating the administration of the estate and effecting a reduction in costs.

The experiment of establishing the Public Trust Office—one of the earliest examples of a State service—has proved an unqualified success and a striking testimony to the foresight of the Hon. E. C. J. Stevens, who first suggested the appointment of a Public Trustee, and Sir Julius Vogel, who was largely responsible for legislative effect being given to the proposal. Ample evidence of this is to be found in the fact that 18,014 estates and funds of a total value of £61,742,539 were under the Public Trustee's administration at 31 March 1954, as compared with the 257 estates, of a total value of £17,500, under administration in 1873. The beneficial results achieved did not pass unnoticed outside New Zealand and led to the establishment of similar offices in England and other parts of the British Commonwealth.

The progress that has been made in the present century is illustrated by the following table.

Year Ended 31 MarchEstates and Funds Under AdministrationWills of Living Persons on Deposit
NumberValue
  £No.
19002,6672,192,594675
192014,67920,860,68625,792
193018,54953,049,43768,253
194019,46862,622,17597,675
195018,31358,646,288146,288
195317,80958,242,100157,678
195418,01461,742,539161,608

The decrease since 1940 in the number of estates under administration is accounted for by the winding-up of numerous estates, a result of favourable market conditions.

The decrease in the value of estates and funds under administration since 1940 is mainly due to the withdrawal of Government securities totalling over £8,000,000 held by the Public Trustee on behalf of the Public Debt Redemption Fund for application in reduction of the public debt, and of the transfer to the National Provident Fund of Government securities for more than £8,000,000 previously held by the Public Trustee on behalf of that fund.

The following is a classification of the estates and funds which came under administration during the year ended 31 March 1954, and of all estates and funds under administration at that date.

New Estates and Funds During 1953–54Estates and Funds Under Administration at 31 March 1954
NumberValueNumberValue
  £ £
Wills estates2,1416,467,1167,70828,060,188
Trusts and agencies279800,6162,39610,024,997
Intestate estates575591,2251,6251,299,844
Mental patients' estates8621,824,5013,9086,097,239
Miscellaneous estates and funds1631,277,7432,37716,260,271
    Totals4,02010,961,20118,01461,742,539

Capital moneys becoming available for investment either form part of the Common Fund of the Office or, at the option of the testator or settlor, are invested in such securities as he may specify. Interest is allowed on moneys in the Common Fund at the rate fixed from time to time by the Governor-General in Council (raised from 3¼ to 3½ per cent from 1 January 1955) and is free of ail commission and other charges. Both capital and interest are guaranteed by the State, thus affording the complete security that it is the object of the Office to provide. On the other hand, moneys directed to be invested in specified securities do not carry the State guarantee and, subject to the Public Trustee's ordinary liability as a trustee, any loss resulting from their investment falls upon the estate concerned. Commission is charged on the collection of the interest. Recognizing that the safety of the moneys is thereby assured, the great majority of testators and settlors desire their funds to be placed in the Common Fund.

Charges and commission rates are contained in the Public Trust Office Amending Regulations 1954.

New investments completed during the year ended 31 March 1954 totalled £2,141,222, the favourable terms offered by the Office again proving popular with borrowers. The investments held by the Office at 31 March 1954, inclusive of those held on behalf of certain estates and funds whose moneys are required to be specially invested, totalled £26,058,101, an increase of £228,763 on the corresponding figure at 31 March 1953.

The foregoing figures relate exclusively to investments made by the Office, and do not include investments which constituted assets of estates when the latter came under the Public Trustee's administration and which are still held as assets of those estates.

During the year ended 31 March 1954, 8,379 wills were deposited with the Public Trustee. The number of wills on deposit at 31 March 1930 appointing the Public Trustee executor was 68,253; by 31 March 1940 it had increased to 97,675; later increases brought the number to 161,608 at 31 March 1954. In addition to preparing the will of the testator in the first instance, the Office prepares any subsequent will or codicil that may be necessary to give effect to alterations desired by him. During the year ended 31 March 1954 effect was given in 7,042 cases to changes desired by testators.

ESTATES PASSED FOR DEATH DUTY.—Particulars of deceased persons' estates certified during the calendar year 1953 are given in the tables following. Estates of Maoris, in value a negligible proportion of the total, are included, other than hereditary interests in Maori land. The last year for which similar data were published was 1949 (see 1950 Year-Book).

Size of EstateNumber of EstatesAggregate Net ValueDeath Duties AssessedPer Cent of Net Value
MalesFemales
Estates Passed for Duty 1953
£(000) £(000)  ££ 
Under 11,9711,6301,630,02126,0161.60
1 and under 21,2519143,173,760101,1503.19
2 and under 37945853,367,554154,9754.60
3 and under 44573232,701,076159,2615.90
4 and under 52881662,026,738152,0087.50
5 and under 61981271,774,996153,2458.63
6 and under 7157801,536,403138,9059.04
7 and under 8119811,501,511156,89810.45
8 and under 999541,298,325154,89511.93
9 and under 1084531,292,226157,56612.19
10 and under 153011205,187,004781,21615.06
15 and under 20180534,036,252711,10817.62
20 and under 30165455,064,4891,074,14921.21
30 and under 4069223,153,062813,96925.82
40 and under 503441,687,719491,91029.15
50 and under 1004763,688,2721,337,68436.27
100 and over1322,141,974920,15942.96
    Totals6,2274,26545,261,3827,485,11416.54

The average net value per estate was £4,314, inclusive of a small number of “nil" estates. The total net value of estates of males was £31,959,741 (average value per estate, £5,132) and of females £13,301,641 (average £3,118). Estate duty on male estates amounted to £4,297,401 and on female estates £1,387,732. Succession duty on the former was £1,256,982 and on the latter £542,999. As mentioned elsewhere, estate duty is not leviable where the final balance does not exceed £500. The corresponding exemption in respect of succession duty is £200.

The table of averages and percentages given below illustrates the increase in the amount of duty assessed in proportion to the final net value of the estate.

Size of EstateAverage Duty Assessed Per EstateAverage Net Value Per Estate
Estate DutyPercentage of Average Net ValueSuccession DutyPercentage of Average Net ValueTotal DutyPercentage of Average Net Value
Estates Passed for Duty 1953
£(000) £(000)££Per Cent£Per Cent£Per Cent
Under 145330.6640.8871.54
1 and under 21,466271.84191.30463.14
2 and under 32,442732.99391.601124.59
3 and under 43,4631414.07631.822045.89
4 and under 54,4642365.29992.223357.51
5 and under 65,4623406.221312.404718.62
6 and under 76,4834276.591602.475879.06
7 and under 87,5085777.692082.7778510.46
8 and under 98,4867428.742713.191,01311.93
9 and under 109,4328979.512532.681,15012.19
10 and under 1512,3211,43411.644223.431,85615.07
15 and under 2017,3232,38213.756903.983,07217.73
20 and under 3024,1173,98316.521,1324.695,11521.21
30 and under 4034,6497,00220.211,9435.618,94525.82
40 and under 5044,41410,09322.722,8526.4212,94529.14
50 and under 10069,59019,84328.515,3967.7525,23936.26
100 and over142,79846,58132.6216,68611.6963,26744.31

The occupations of deceased males whose estates were certified for duty during 1953 are now shown by major groups. The classification used conforms to the standard adopted by the International Labour Office at Geneva in 1954. A more detailed classification was published in the Abstract of Statistics for April 1955.

OccupationValue of Estate in £(000)
Under 11 and Under 22 and Under 55 and Under 1010 and Under 1515 and Under 2020 and Under 5050 and Under 100100 and OverTotals
Professional, technical, and related workers118871325235152951474
Managers, administrators, and officials214131249129623957215907
Clerical, office, and related workers15198164418410....476
Salesmen and related workers42365621776....175
Farmers, fishermen, etc.35326142730716210415718..1,796
Workers in mine, quarry, and related occupations3526101..........72
Workers in operating transport occupations1561029118211....371
Craftsmen and related workers279244246561966....856
Manual workers and labourers3881719481........662
Service and related workers79463213131....175
Servicemen241257..1......49
No occupation821............11
Other and unspecified124353244..13..203
    Totals1,9711,2511,53965730118026847136,227

In the case of retired persons the previous occupation, where the information was available, has been taken.

BANKRUPTCY.—The law relating to bankruptcy in New Zealand is contained in the main in the Bankruptcy Act 1908 (which is a consolidation of previous enactments) and its amendments. Jurisdiction in bankruptcy matters is vested in the Supreme Court. The Governor-General, however, may by Proclamation confer similar jurisdiction on a Magistrate's Court in cases where the liabilities do not exceed £300.

All proceedings in bankruptcy are commenced by a petition filed in the Court. A petition may be filed either by the debtor or by a creditor, a fee of £6 being payable. The filing of a debtor's petition is equivalent to an order of the Court adjudging the debtor a bankrupt, no order being required in this case. Not less than £30 in the aggregate must be owing by the debtor to the creditor or creditors filing a petition.

Section 7 of the Statutes Amendment Act 1947 increased the value of furniture which a bankrupt may select and retain from £50 to £100.

Immediately on a debtor's petition being filed or adjudication being made on a creditor's petition, the Registrar of the Court gives notice to the Official Assignee in Bankruptcy, in whom all the property of the bankrupt thereupon vests. The bankrupt must hand over his books of account, papers, deeds, etc., to the Official Assignee, and furnish such information as is necessary to enable the Assignee to administer the estate to the best advantage. The bankrupt may also be required to produce statements of accounts, balance-sheets, etc., covering the period of three years immediately prior to the commencement of his bankruptcy, give inventories of his property and debts, and generally assist in the realization of his property. The Assignee may summon the bankrupt before himself, or before a Magistrate, to be examined on oath. The Bankruptcy Amendment Act 1927 forbids (save with the consent of the Court, on the application of the Official Assignee) the publication of a report of any examination of a bankrupt before the Assignee or of any matter arising in the course of such an examination.

The Official Assignee is empowered to sell the bankrupt's property, to claim debts due to the bankrupt estate, to carry on the business of the bankrupt so far as is necessary or expedient for its beneficial winding-up, or to divide the property among the creditors. The bankrupt may be appointed by the Official Assignee to manage his estate or carry on his business on behalf of the creditors.

Creditors may accept a composition in satisfaction of the debts due to them. In such a case, after approval of the Court, a deed of composition is executed and filed, and the bankruptcy annulled.

On application being made by the bankrupt, the Court is empowered to grant him an order of discharge, either absolute, suspended, or conditional. The application which must be made within four months after adjudication, may be opposed either by the Official Assignee or by any creditor who has proved his claim. A public examination of the bankrupt may be demanded by the Assignee or by a creditor.

Undischarged Bankrupts.—Section 14 of the Bankruptcy Amendment Act 1927 requires the annual compilation of a list showing the names, occupations, and other particulars of all persons who have been adjudged bankrupt since 31 March 1927, and who have not obtained an order of discharge, or whose order of discharge is suspended for a term, or is subject to conditions remaining unfulfilled.

Section 9 of the Statutes Amendment Act 1936 provides that the Minister of Justice may from time to time publish the list, or so much of it as relates to adjudications within any specified period ending on the date of the compilation of the list.

Transactions in Bankruptcy.—The number of transactions in bankruptcy during the last five years is given below. A long-term record of the more important features will be found in the Statistical Summary given later in this volume. For the year 1954 the number of Court orders for winding-up companies by an Official Assignee is shown in addition to the figures of individual bankrupts, financial transactions on behalf of companies being included in the later tables.

YearNumber of BankruptciesPetitions by DebtorsAdjudications on Petitions by CreditorsOrders of Discharge GrantedOrders for Winding-up Companies by Assignee

*Not available.

19501421093356*
19511451222348*
19521681076138*
19532151744141*
1954263214496114

In the case of a partnership, not only the partnership but each partner is counted in the total of transactions.

During the later war and immediate post-war years the number of bankruptcies was exceptionally low, extremely buoyant business conditions prevailing throughout this period. Since 1947 there has been a marked upward trend, although the numbers in recent years are still well below the average of the period 1920–40.

The general bankruptcy statistics do not cover private assignments and compositions, but relate only to cases dealt with by Official Assignees. Certain statistics of private assignments are available, and details of these appear on page 1059.

Assets and Liabilities.—Debtors are required to file a statement of the extent of their liabilities and assets, but there is usually a marked difference between these statements and the amounts actually realized by the Official Assignee or the debts subsequently proved by creditors.

It should be understood that in the following table the figures in each column refer to all transactions under the respective heads during the year, the amounts realized by Assignees and paid in dividends and preferential claims relating partly to the current year's bankruptcies (many of which, however, are not disposed of during the year) and partly to cases commenced in previous years.

YearNumber of BankruptciesAmounts Realized by Official AssigneesAmount of Debts ProvedAmounts Paid in Dividends, Preferential and Secured ClaimsAmounts Paid in Government Commission

*Including 1 deceased person's estate under Part IV of the Administration Act 1908.

  ££££
19445113,46651,03518,283828
19454518,530118,21612,6751,045
19465220,94248,50617,2441,493
19477415,52844,73113,8991,387
194814850,280143,28232,3622,843
194917938,410203,17324,5172,301
195014249,252125,91739,8213,498
1951145*48,269136,82246,8973,916
1952168*56,241251,12929,0533,322
1953215*72,162381,01646,9164,597
195427732,571413,44759,2124,938

The table following shows for each of the last eleven years the average amount of debts proved per estate, and also the proportion of dividends, preferential claims, and secured claims, to debts.

YearAverage Debts Proved Per EstateProportion of Dividends, etc., to Debts
 £Per Cent
19441,00135.82
19452,62710.72
194693335.55
194760431.07
194896822.59
19491,13512.07
195088731.62
195194434.28
19521,49511.57
19531,77212.31
19541,49314.32

Apart from dividends, preferential and secured claims, and Government commission, payments made from assets realized include cost of actions, solicitors' fees, and expenses incurred in managing estates for the benefit of creditors.

Amount of Liabilities.—The following table shows for each of the last five years a classification of bankruptcies according to the amount of stated liabilities.

Liabilities19501951195219531954

*Total excludes 1 partnership. The liabilities for each partner are included, but not the partnership.

Under £2503140423952
£250 and under £5002834344564
£500 and under £1,0003522374858
£1,000 and under £2,0002929243665
£2,000 and under £5,0001613223627
£5,000 and over3681011
    Totals142144*167*214*277

Most failures are for comparatively small amounts. Of a total of 944 bankruptcies during the five years surveyed 22 per cent were for liabilities of less than £250, and 43 per cent for liabilities under £500.

Occupations of Bankrupts.—The following table shows in broad groups the occupations of those persons adjudged bankrupt in the last five years. Companies are here excluded.

 19501951195219531954

*Excludes 1 partnership. The occupation of each partner is included, but not the partnership.

Fishing and trapping21222
Agricultural and pastoral410131014
Forestry62..47
Processes relating to—     
Chemicals, animal and vegetable products, n.e.i...1......
Metals, machines, tools, electric fittings, conveyances, jewellery, etc.1610141912
Fibrous materials, textiles, and dress32525
Harness, saddlery, and leatherware..1..12
Food, drink, and tobacco34..69
Wood, basketware, furniture, etc.21..25
Paper, stationery, printing, photography21141
Other materials1..1..4
Construction or repair of buildings, roads, and railways3633363146
Transport and communication1520173834
Ships, boats, etc.32....2
Commerce and finance2120312943
Public administration, clerical, and professional66247
Entertainment, sport, and recreation2221I
Personal and domestic service681676
Indefinite occupations—     
Labourer66112427
Other814163036
    Totals142144*167*214*263

Of the 14 companies wound up by Court order during 1954 the nature of activity in each case was described as follows: agency, 1; box-making, 1; bridge contracting, 1; building, 1; catering, 1; concrete work, 1; electrical, 1; flooring specialists, 1; grocery, 1; ice cream company, 1; plastic articles manufacturing, 1; show business, 1; steel construction, 1; and wool broking, 1.

The occupational status of individual bankrupts during each of the calendar years 1944–54 is given in the following table.

YearOccupational Status
Working for Salary or WagesEmployer of LabourWorking on Own Account But Not Employing LabourTotals

*Excludes 1 partnership. The occupation of each partner is included, but not the partnership.

194426101451*
19452251845
194616171952
194727182974
1948483664148
1949523493179
1950444355142
1951612657144*
1952644063167*
1953913489214*
195410337123263

Private Assignments.—Official bankruptcies, as explained earlier, do not comprise all financial failures and the bankruptcy statistics have been supplemented since 1928 by the collection of data relating to private assignments. The statistics cover all operations arising out of deeds of assignment made under section 167 (2) of the Stamp Duties Act 1923.

Amount of Liabilities.—The following table classifies estates assigned during the last five years available according to the amount of liabilities.

Liabilities19491950195119521953

*Includes 1 estate in which the assignor was subsequently adjudged bankrupt.

†Includes one assignment not proceeded with.

Under £2501........
£250 and under £5001...1..
£500 and under £1,00021223
£1,000 and under £2,00058114
£2,000 and under £5,00058668
£5,000 and over31327
Unspecified61..11
    Totals23191213*23

The amounts of liabilities involved are relatively much higher for private assignments than for bankruptcies. For the five years 1949–53, 87 per cent of privately assigned estates had liabilities of £1,000 and over. For bankruptcies, only 35 per cent of the total number fell into this category.

Occupations of Assignors.—The occupations of assignors in broad industrial classes during the last five years available were as follows.

 19491950195119521953

*Includes 1 estate in which the assignor was subsequently adjudged bankrupt.

†Includes one assignment not proceeded with.

Agricultural and pastoral2....11
Forestry......1..
Processes relating to—     
  Clothing, dress, etc.........1
  Wood, basketware, furniture, etc.......1..
  Food, drink, and tobacco..2......
Construction or repair of buildings, roads, etc.875211
Transport and communication12211
Commerce and finance45252
Public administration, clerical, and professional22..12
Personal and domestic service..1....1
Indefinite occupations6....14
    Totals23191213*23

Of the 1953 total, 10 were employers of labour and 5 were working on own account.

Provisional figures for 1954 show the number of private assignments as 20. Data relating to private assignments are normally collected much later than those for bankruptcies, as a longer period is necessary for settlement of the financial arrangements in the former case.

CINEMATOGRAPH THEATRES.—The statistics of cinematograph theatres shown hereunder relate only to picture theatres, and do not purport to show employees, revenue, and expenditure of the motion-picture industry as a whole. In particular, the full revenue and expenditure in connection with screen advertising, and also head office expenses of controlling companies (including such items as interest on debentures and mortgage charges), unless recovered from exhibitors, are not recorded in the statistics. The item “Rent" under “Theatre expenditure” does not represent the rental value of all theatres, but only the rent paid where theatres were leased or rented.

The collection of statistics relating to cinematograph theatres was inaugurated in 1938–39 and continued annually until 1945–46; thereafter the frequency of collection is every alternate year. The principal data for the last three years available are given below. The statistics cover the operations of all classes of cinematograph theatres—viz., (a) those operating six days per week; (b) those operating on odd days per week; (c) circuit, or itinerant operators.

1949–501951–521953–54
Theatres—    
  Screening 6 days per weekNo.202198195
  Screening odd days per weekNo.229250261
  CircuitNo.169141126
    TotalsNo.600589582
Theatres according to seating accommodation—    
  Other than circuit theatre—    
   Under 200No.526463
   200 and under 500No.167181184
   500 and under 1,000No.169162167
   1,000 and under 1,500No.323132
   Over 1,500No.111010
  Circuit theatresNo.169141126
Seating accommodation (all theatres)—    
  Seats, 1s. 6d. and under (excluding amusement tax)No.207,463120,200102,962
  Scats, 2s. (excluding amusement tax)No.50,44686,27298,309
  Seats, 2s. 6d. (excluding amusement tax)No.14,58659,74146,872
  Seats, 3s. (excluding amusement tax)No.11,277
  Seats over 3s. (excluding amusement tax)No.5,482
    TotalsNo.272,495266,213264,902
Number of paid admissions (000)No.36,35336,34237,368
Average admission charge (including amusement tax)d.18.420.723.6
Average attendance per head of populationNo.19.318.618.1
Persons engaged—    
  Full time—MalesNo.678637590
  FemalesNo.567542456
  Part time—MalesNo.738842908
  FemalesNo.1,1321,2391,274
    TotalsNo.3,1153,2603,228
Revenue—    
  Admission receipts (including amusement tax)£(000)2,7903,1323,680
  Screen advertising£(000)11183127
  Other receipts£(000)118172153
    Totals£(000)3,0193,3863,959
Expenditure—    
  Salaries and wages£(000)623733840
  Film hire£(000)768827982
  Freight£(000)474649
  Advertising£(000)194214253
  Amusement tax£(000)136205300
  Rent£(000)292306319
  Repairs and maintenance£(000)143123116
  Depreciation£(000)747981
  Other expenses£(000)341378465
    Totals£(000)2,6182,9113,404

Features of the latest figures include the continued decline in the number of theatres operated under circuit licences, this loss being made up by an increase in the number of theatres operating under a single theatre licence. Average admission charges at 23.6d. record a rise of 14 per cent over those of the previous year covered (1951–52), and although paid admissions increased to 37,368,256, over a million more than 1951–52, the average annual attendance per head of population has fallen from 18.6 to 18.1.

The following table gives figures of cinema attendances and takings from 1938–39 (the first year these statistics were collected) to the latest collection.

YearAdmissionsGross Admission TakingsAmusement TaxNet Admission TakingsAverage Admission PriceAverage Attendance Per Person
 Thousand£££d.No.
1938–3929,8091,893,61746,8381,846,77915.218.5
1939–4031,1712,009,66253,7831,955,87915.519.1
1940–4131,4922,107,44358,1462,049,29716.119.3
1941–4231,2182,133,52369,7992,063,72416.419.1
1942–4334,0342,421,05887,6092,333,44917.120.8
1943–4438,2572,803,086121,1692,681,91717.623.4
1944–4535,5202,588,111110,2412,477,87017.521.3
1945–4636,9662,817,646131,1992,686,44718.321.6
1947–4834,0782,634,730123,0342,511,69618.618.9
1949–5036,3532,789,696135,6842,654,01218.419.3
1951–5236,3423,131,550205,4672,926,08320.718.6
1953–5437,3683,679,540300,4443,379,09623.618.1

Cinema Attendance in Principal Countries.—The table below shows the number of admissions per head per year in those countries with the highest rates of attendance. These figures ere taken from UNESCO (1952) Basic Facts and Figures.

CountryYearNumber of Admissions
Total (Millions)Per Head

*Year ended 31 March 1950.

†Year ended 30 June 1949.

Great Britain19501,39628
United States of America19493,50023
New Zealand1949–50*3619
Canada195024217
Australia1948–4913017
Italy195065414
Belgium195011814
Denmark19495012
West German Federal Republic194952511
France19503679
Norway1950319
Japan19506308

Classification by Provincial Districts.—The following two tables show some of the principal statistics of cinemas for 1953–54 by provincial districts. It will be noticed that admissions in North Island districts are higher per person than in the South Island, with the notable exception of Westland. In total, attendances in the North Island represented 19.1 visits a year to the cinema for every member of the population as against 15.2 visits in the South Island. The popularity of the cinema is most pronounced on the West Coast. Average attendances per person in Westland Provincial District were 23.8, far exceeding those of other districts, and approximately 31 per cent higher than the average attendance for New Zealand.

Provincial DistrictPopulation, 1 April 1954Number of TheatresSeating AccommodationPaid AdmissionsAverage Admission ChargeAverage Attendance Per Person

*Based on mean population in this case.

 No. No. of SeatsThousandd.No.
Auckland817,276249107,95215,51923.319.0
Hawke's Bay98,0002812,6311,80123.618.4
Taranaki92,1003412,7861,47122.816.0
Wellington421,6008954,5978,53224.020.2
Marlborough24,70082,64631324.012.7
Nelson71,400279,8671,10521.215.5
Westland18,800144,71044720.823.8
Canterbury295,9645629,3704,61924.815.6
Otago—      
  Otago portion167,1004619,3662,40425.314.4
  Southland portion80,8003110,9771,15822.414.3
    Totals2,087,740582264,90237,36823.618.1*
Provincial DistrictGross Admission TakingsAmusement TaxNet Admission TakingsFilm HireFilm Hire as a Proportion of Net Admission Takings
 ££££Per Cent
Auckland1,503,773117,9051,385,868396,83828.6
Hawke's Bay177,15014,799162,35151,88232.0
Taranaki139,45011,934127,51635,79528.1
Wellington853,43272,009781,423228,07429.2
Marlborough31,3642,98128,3836,53223.0
Nelson97,7917,62690,16526,08128.9
Westland38,7152,26336,4529,69726.6
Canterbury476,66341,318435,345128,41229.5
Otago—     
  Otago portion253,26120,881232,38067,16828.9
  Southland portion107,9418,72899,21331,22431.5
    Totals3,679,540300,4443,379,096981,70329.1

Classification of Theatres.—The following table shows the classification of theatres according to number of screening days per week and of circuit operators.

ScreeningNumber of TheatresSeating AccommodationPaid AdmissionsAdmissions Per SeatAverage Admission Charge

*Thirty-three circuits.

  No. of SeatsThousandNo.d.
Six days per week195162,78831,256192.024.5
Odd days per week26176,6305,01865.519.5
Circuit126*25,4841,09543.018.9
    Totals582264,90237,368141.123.6
ScreeningGross Admission TakingsAmusement TaxNet Admission TakingsFilm HireFilm Hire as a Proportion or Net Admission Takings
 ££££Per Cent
Six days per week3,184,800269,6702,915,130850,94829.2
Odd days per week408,58225,825382,757110,23328.8
Circuit86,1584,94981,20920,52225.3
    Totals3,679,540300,4443,379,096981,70329.1
ScreeningPersons EngagedRevenueExpenditure
Full TimePart Time
MaleFemaleMaleFemale
     £(000)£(000)
Six days per week5264453839653,4202,916
Odd days per week5110435275447401
Circuit13190349388
    Totals5904569081,2743,9593,404

PATENTS, DESIGNS, AND TRADE MARKS.—As from 1 January 1955 new legislation came into force replacing the earlier composite 1921–22 Act, the Acts concerned being the Trade Marks Act 1953, the Patents Act 1953, and the Designs Act 1953. The total number of applications under the Patents, Designs, and Trade Marks Act 1921–22 for the grant of letters patent and for the registration of designs and trade marks during the calendar year 1953 was 3,698, which was 179 more than the previous year.

The following table shows the number of applications for patents and for the registration of trade marks and designs in each of the last eleven years.

YearPatentsTrade MarksDesigns
19431,38467861
19442,045924104
19452,6511,320188
19463,0251,766351
19472,7531,670237
19482,4691,439229
19491,9841,292255
19501,9871,422246
19512,0471,439165
19521,9521,390177
19532,1241,358216

The total receipts of the Patent Office for 1953 amounted to £31,846, of which patent fees amounted to £18,817; trade mark fees, £12,470; and design fees, £166. Payments during 1953 amounted to £28,156.

Patents.—The number of applications for letters patent in 1953 was 2,124, as compared with 1,952 in 1952 and 2,047 in 1951.

The applications received during 1953 may be broadly classified as follows: Mechanical engineering, 581; electronics, 305; chemistry, 335; primary industries, 341; building construction, 253; and miscellaneous, 309.

New Zealand with 803 applications held the lead from Great Britain (635), followed by the United States of America (252), Australia (178), with the remainder (256) distributed among twenty-two other countries.

Trade Marks.—The number of applications in respect of trade marks during 1953 was 1,358, as compared with 1,390 in 1952 and 1,439 in 1951. Classes 5 (pharmaceutical, veterinary, and sanitary substances) and 25 (clothing) again predominated with 177 and 167 applications respectively; and they were followed by Class 3 (soaps, cosmetics, etc.), 103; Class 1 (chemical products used in industry), 85; Class 9 (electrical apparatus), 77; and Class 24 (tissues—piece goods), with 76.

The countries from which the applications originated were: New Zealand, 482; Great Britain, 384; United States of America, 170; Australia, 121; with the remainder (201) distributed between sixteen other countries.

Renewal of the registration of 1,532 trade marks was effected during the year.

Designs.—Applications for the registration of designs in 1953 totalled 216, as compared with 177 in 1952 and 165 in 1951. The total number of applications since the inception of design registration in New Zealand is 6,899.

INDUSTRIAL EFFICIENCY.—The Legislature of New Zealand introduced in 1936 a measure designed “to promote the economic welfare of New Zealand by providing for the promotion of new industries in the most economic form and by so regulating the general organization, development, and operation of industries that a greater measure of industrial efficiency will be secured”. This legislation became operative as the Industrial Efficiency Act 1936, and under it the Bureau of Industry was constituted.

The Bureau of Industry, which meets at frequent intervals, is composed of both ordinary and special members appointed by the Minister of Industries and Commerce. The ordinary members are Government officers who are appointed because of some special knowledge or qualifications appropriate to the administration of the Act. Special members are those who have been appointed to represent manufacturing industries and agricultural and pastoral industries.

The Industrial Efficiency Act confers on the Bureau functions of an advisory nature to the Minister concerning the administration of the Act, and establishes it as licensing authority for such industries as are brought under the provisions of Part III of the legislation.

On 31 March 1954 there were 11 licensed industries—namely, manufacture of agar from seaweed, oil or oil cake from linseed for sale, paper pulp or paper products, rennet, rubber tires and tubes (excluding cycle tires and tubes), wooden heels for footwear, paua (Haliotis iris) shell for sale, extraction of nutritional or medicinal oils from fish livers, importation and/or wholesale distribution of motor spirits, retail sale and distribution of motor spirits, and the business of a pharmaceutical chemist carried on in any shop or place of business. At this date there were licensed some 4,400 resellers of motor spirits and 730 pharmacies.

During recent years a number of industries previously licensed under the Act have been decontrolled. Towards the end of 1953 the Motor Spirits Distribution Act was passed by Parliament for the purpose of bringing the wholesaling and retailing of motor spirits under separate legislation. This Act is to come into force on a date to be proclaimed.

A further Act—the Pharmacy Amendment Act—passed at the close of the 1954 session, removed the business of a pharmaceutical chemist from control under the Industrial Efficiency Act. The new Act permits any chemist or company in which not less than 75 per cent of the share capital is owned by a chemist or chemists to establish one pharmacy. Companies in which less than 75 per cent of the share capital is chemist-owned must however secure the consent of the Pharmacy Authority, set up under the Act, before commencing business, and in all cases the establishment of more than one pharmacy under the same ownership is subject to the consent of the Pharmacy Authority.

GENERAL ELECTIONS.—A general election of parliamentary representatives was held in November 1954, voting in New Zealand for both European and Maori electorates taking place on the thirteenth day of November. A summary of the voting in the European electorates for the 1954 and the four preceding elections is shown below.

19431946194919511954

*Including votes recorded by members of Armed Forces (including those overseas).

Number of votes recorded for candidates elected495,380*591,399*609,584613,378*559,484*
Number of votes recorded for candidates defeated415,990*419,688*425,486419,129*499,767*
Number of informal votes9,957*7,999*6,7243,630*7,559*
    Total number of votes recorded921,327*1,019,086*1,041,7941,036,137*1,066,810*
Percentage of votes recorded for candidates elected to total valid votes recorded54.3558.4958.8959.4152.82
    Total number of electors on roll (where contest)1,000,1971,081,8981,113,8521,166,3751,209,670
Number of districts where no contest2........
Percentage of votes recorded for candidates elected to total number of electors on roll49.5354.6654.7352.5946.25
Number of electors voting as absent voters35,89848,67347,86760,30752,226
Number of electors exercising postal votes18,12824,92025,89533,85729,678

The numbers of electors on the European roll in 1954 was 1,209,670. The interest in the 1954 poll may be measured by the number of votes recorded to the number on the roll—viz., 88.2 per cent, as compared with the 1951 figure of 88.8 per cent.

The strength of the political party representation among Members of Parliament after the 1954 elections was National 45, Labour 35.

A statement of voting in individual electorates at the general election in 1954 is now given.

NOTE.—Abbreviations used: C, Communist; I, Independent; IN, Independent National; L, Labour; N, National; S C, Social Credit.

Electoral Districts, Names of Candidates, and Party AffiliationsNumber of Votes RecordedNumber Electors on RollPopulation at Census, 1951
Ashburton—   
Gerard (N)6,939  
Glassey (L)4,647  
Morton (S C)1,303  
Informal66  
    Totals12,95513,96721,942
Auckland Central—   
Anderton (L)7,493  
Gilbert (S C)681  
Stewart (N)3,400  
Wilcox (C)173  
Informal141  
    Totals11,88814,19223,755
Avon—   
Mathison (L)7,919  
Stevens (S C)2,694  
Stone (N)2,964  
Informal74  
    Totals13,65115,07622,847
Awarua—   
Anderson (S C)2,632  
Herron (N)6,857  
Wyatt (L)3,685  
Informal81  
    Totals13,25514,84323,930
Bay of Plenty—   
Blaymires (S C)1,434  
Santon (L)3,866  
Sullivan (N)6,928  
Informal137  
    Totals12,36513,62821,986
Buller—   
Carson (N)4,211  
Eggleston (S C)1,319  
Skinner (L)7,559  
Informal86  
    Totals13,17514,44825,051
Central Otago—   
George (N)6,895  
Newland (S C)2,638  
Scott (L)4,821  
Informal133  
    Totals14,48716,06424,955
Christchurch Central—   
Macfarlane (L)7,345  
Moody (N)3,950  
Ostler (C)137  
Willyams (S C)2,185  
Informal142  
    Totals13,75915,81924,640
Clutha—   
Aberdeen (S C)2,026  
Rodgers (L)3,964  
Roy (N)7,454  
Informal111  
    Totals13,55515,01224,326
Dunedin Central—   
Anderson (N)5,454  
Connolly (L)5,784  
King (S C)2,320  
Informal109  
    Totals13,66714,80222,737
Eden—   
Donovan (S C)644  
Rae(N)6,910  
Stewart (L)6,902  
Informal233  
    Totals14,68916,20824,288
Egmont—   
Corbett (N)6,690  
Evans (L)3,713  
Smith (S C)1,385  
Informal69  
    Totals11,85712,93322,473
Fendalton—   
Collins (S C)2,173  
Holland (N)7,852  
McDonald (L)3,952  
Informal55  
    Totals14,03215,27523,575
Franklin—   
Massey (N)7,299  
Peacock (L)2,712  
Wheeler (S C)1,398  
Informal46  
    Totals11,45513,02721,911
Gisborne—   
D'Anvers (S C)844  
Dudfield (N)6,565  
Keeling (L)7,086  
Informal101  
    Totals14,59615,70423,143
Grey Lynn—   
Hackett (L)8,483  
Jones (S C)835  
McGowan (N)3,676  
Smith (C)129  
Informal86  
    Totals13,20914,43223,018
Hamilton—   
Ross (N)8,621  
Waters (L)7,191  
Young (S C)1,568  
Informal135  
    Totals17,51518,99024,790
Hastings—6,835  
Jones (N)   
Keating (L)7,087  
Thew (S C)1,280  
Informal86  
    Totals15,28816,19923,812
Hauraki—   
Bacchus (S C)1,025  
Downes (I)194  
Dynes (L)4,872  
Kinsella (N)7,531  
Informal89  
    Totals13,71115,31025,318
Hawke's Bay—   
Harker (N)7,459  
Somerville (S C)1,129  
Stafford (L)4,350  
Informal64  
    Totals13,00214,09623,716
Heretaunga—   
Holloway (L)9,583  
McCready (N)4,525  
Tait (S C)1,029  
Informal133  
    Totals1516,40624,484
Hobson—   
Elvidge (S C)3,697  
Henderson (L)2,859  
Smith (N)6,281  
Informal136  
    Totals12,97314,58124,515
Hurunui—   
Cate (S C)1,829  
Gillespie (N)6,454  
Kirk (L)4,059  
Informal74  
    Totals12,41613,52421,652
Hutt—   
Costello (N)4,690  
Maddison (S C)829  
Nash (L)8,371  
Informal79  
    Totals13,96915,74025,181
Invercargill—   
Denham (L)5,077  
Hanan (N)6,020  
Russell (S C)2,657  
Informal52  
    Totals13,80615,12823,114
Island Bay—   
Gardiner (S C)821  
Nordmeyer (L)8,594  
Smith (C)120  
Whitta (N)4,670  
Informal148  
    Totals14,35316,83325,056
Karori—   
Bateman (L)6,506  
Marshall (N)8,317  
McLaren (S C)778  
Informal82  
    Totals15,68317,57124,609
Lyttelton—   
Lake(N)6,175  
McGuigan (L)6,151  
Owen (S C)2,675  
Informal97  
    Totals15,09815,88724,129
Manawatu—   
Hill-Motion (S C)1,249  
Kelliher (L)4,813  
Oram (N)7,041  
Informal106  
    Totals13,20914,41522,334
Manukau—   
Gotz(N)8,918  
Henderson (S C)1,057  
Stamp (L)5,846  
Informal114  
    Totals15,93517,62823,771
Marlborough—   
Kerr (S C)2,124  
Shand (N)7,080  
Turner (L)5,445  
Informal117  
    Totals14,76615,73524,757
Marsden—   
Hill (S C)2,676  
Hosking (L)4,517  
McKay (N)5,389  
Vallance (IN)1,768  
Informal83  
    Totals14,43315,62823,607
Miramar—   
Fox (L)7,576  
Gunn (S C)998  
McConnell (N)6,049  
Informal105  
    Totals14,72816,58425,038
Mornington—   
Hannan (C)128  
Hudson, (L)7,279  
Macdougall (N)3,393  
Sloan (S C)2,797  
Informal95  
    Totals13,69214,76922,764
Mt. Albert—   
Crispin (S C)943  
Freer (L)8,441  
Muldoon (N)5,215  
Informal58  
    Totals14,65715,83023,652
Napier—   
Edwards (L)7,992  
Lothian (S C)481  
Tait (N)7,272  
Informal63  
    Totals15,80816,57823,511
Nelson—   
Neale (N)7,058  
Taylor (S C)2,055  
Whitehead (L)6,341  
Informal83  
    Totals15,53716,64625,110
New Plymouth—   
Aderman (N)7,780  
Lattimer (S C)1,114  
Parker (L)6,602  
Informal133  
    Totals15,62916,54224,107
North Dunedin—   
Black (N)4,069  
McMillan (L)6,860  
McMullan (S C)2,509  
Informal125  
    Totals13,56314,53722,526
North Shore-   
Eyre (N)7,463  
Faulkner (L)6,068  
Procter (S C)707  
Informal81  
    Totals14,31915,72521,940
Oamaru—   
Hayrnan (N)6,561  
Poole (S C)1,151  
Papson (L)5,203  
Informal64  
    Totals12,97913,56821,806
Onehunga—   
Allen (N)4,644  
James (S C)777  
Watt (L)9,033  
Informal125  
    Totals14,57915,79724,462
Onslow—   
Daniel (SC)916  
Fortune (N)7,379  
May (L)7,898  
Informal146  
    Totals16,33918,07025,260
Otahuhu—   
Bradley (N)6,356  
Deas (L)8,162  
Fulljames (I)344  
Jordan (S C)875  
Informal70  
    Totals15,80716,90223,868
Otaki—   
Clunie (S C)1,746  
Langford (L)6,804  
Maher (N)7,767  
Informal151  
    Totals16,46817,56723,646
Pahiatua—   
Bell(L)3,774  
Holyoake (N)7,293  
Whimp (S C)731  
Informal114  
    Totals11,91213,00322,250
Palmerston North—   
Skoglund (L)7,160  
Tennent (N)6,814  
Wood (S C)863  
Informal78  
    Totals14,91515,77223,004
Patea—   
Dawson (S C)1,879  
Jack (N)5,547  
Winchcombe (L)4,885  
Informal116  
    Totals12,42713,52822,556
Petone—   
Allan (S C)859  
Birchfield (C)120  
Moohan (L)8,831  
Soward (N)4,620  
Informal115  
    Totals14,54516,70225,063
Ponsonby—   
Barry (N)4,736  
Macdonald (L)8,684  
McLeod (C)186  
Stackpole (S C)716  
Informal131  
    Totals14,45316,12224,680
Raglan—   
Johnstone (N)6,555  
Magner (S C)817  
Wilson (L)5,698  
Informal121  
    Totals13,19114,28424,896
Rangitikei—   
McGregor (S C)1,463  
Roberton (L)4,470  
Shelton (N)7,149  
Informal113  
    Totals13,19514,44324,025
Remuera—   
Algie (N)8,415  
Richards (S C)944  
Tizard (L)4,871  
Informal103  
    Totals14,33316,03723,306
Riccarton—   
Colechin (S C)2,599  
Dingwall (N)3,852  
McLagan (L)8,195  
Informal103  
    Totals14,74916,14023,860
Rodney—   
Hellyn (L)3,843  
Hunter (S C)2,389  
Scott (N)7,113  
Informal74  
    Totals13,41914,99724,126
Roskill—   
Morris (L)5,803  
Rac(N)7,455  
Saver (S C)783  
Informal87  
    Totals14,12815,65822,361
Rotorua—   
Allen (N)6,389  
Boord (L)7,211  
McCready (S C)1,261  
Informal151  
    Totals15,01216,71423,045
St. Albans—   
Ayers (S C)2,639  
Connelly (L)6,297  
Watts (N)6,905  
Informal83  
    Totals15,9241,14824,155
St. Kilda—   
Barnes (N)5,679  
Jones (L)5,565  
Murray (S C)2,642  
Informal39  
    Totals13,92514,86922,150
Selwyn—   
Clinton (L)3,952  
McAlpine (N)6,473  
Ward (S C)2,487  
Informal137  
    Totals13,04914,61221,659
Stratford—   
Murray (N)6,622  
Richmond (L)3,656  
Tuffery (S C)1,429  
Informal75  
    Totals11,78212,73222,404
Sydenham—   
Howard (L)8,420  
Lynne (S C)2,362  
Schumaker (N)2,860  
Informal90  
    Totals13,73215,51524,206
Tamaki—   
Curran (L)6,679  
Halstead (N)8,665  
Robertson (S C)910  
Informal80  
    Totals16,33417,48222,810
Tauranga—   
Liddell (L)4,398  
Walsh (N)7,846  
Whyte (S C)1,311  
Informal93  
    Totals13,64815,04322,316
Timaru—   
Carr (L)6,241  
Edmonds (S C)2,853  
Wilson (N)4,818  
Informal69  
    Totals13,98114,88422,501
Waikato—   
Rose (S C)1,130  
Sim(N)8,538  
Tucker (L)3,840  
Informal73  
    Totals13,58115,70025,291
Waimate—   
Davey (N)5,676  
Hayes (S C)2,375  
Pickering (L)4,238  
Informal60  
    Totals12,34913,25722,212
Waipa—   
Callagher (L)2,802  
Goosman (N)7,237  
Thompson (S C)1,321  
Informal64  
    Totals11,42412,82322,019
Wairarapa—   
Cooksley (N)7,160  
Feast (S C)1,890  
Wilkie (L)5,469  
Informal80  
    Totals14,59915,57824,450
Waitakere—   
McAllister (N)5,490  
Mason (L)8,914  
Monteith (S C)1,397  
Informal105  
    Totals15,90617,41123,294
Waitemata—   
Jordan (S C)1,463  
King (L)7,234  
Morrison (N)6,847  
Informal81  
    Totals15,62516,96322,070
Waitomo—   
Haines (L)4,078  
Mullins (S C)1,536  
Seath (N)5,558  
Informal87  
    Totals11,25912,23821,905
Wallace—   
Cleary (L)2,939  
Macdonald (N)7,405  
Shaw (S C)1,557  
Informal83  
    Totals11,98413,47623,054
Wanganui—   
Cotterill (L)5,115  
Marks (S C)3,554  
Rumbold (N)4,810  
Informal78  
    Totals13,55714,56222,549
Wellington Central—   
Elliott (S C)791  
Highet (N)7,125  
Kitts (L)7,752  
Informal159  
    Totals15,82718,36725,308
Westland—   
Fraser (S C)925  
Kent (L)8,152  
Mitchell (C)141  
Wallace (I)4,547  
Informal153  
    Totals13,9814,83924,938

A statement is also given of the voting in the Maori electorates at the 1954 General Election.

NOTE.—Abbreviations used: I, Independent; IL, Independent Labour; IR, Independent Ratana; L, Labour; ML, Maori Labour; N, National; S C, Social Credit.

Electoral Districts, Names of Candidates, and Party AffiliationsNumber of Votes RecordedNumber of Electors on Roll
Eastern Maori—  
Karauria Tiweka Anaru (N)3,921 
Tiaki Omana (L)7,015 
Wilson Rawhira Paku (S C)614 
Informal391 
    Totals11,94113,654
Northern Maori—  
Hemi Tono Waetford (N)1,719 
Mahuika Otene (S C)1,314 
Tapihana Paraire Paikea (L)6,154 
Tuhirangi Maihi (I)240 
Informal304 
    Totals9,7319,434
Southern Maori—  
Alfred Thomas Carroll (N)1,588 
Aussie Teokanga Huata (ML)168 
Eruera Tihema Tirikatene (L)4,452 
France Rangi Logan (IL)477 
Matenga Baker (S C)261 
Informal145 
    Totals7,0917,486
Western Maori—  
Iriaka Ratana (L)7,784 
Sonny Kaihau (ML)283 
Tio Patara Joe Butler (S C)505 
William Rakeipoho Bennett (N)1,147 
Informal317 
    Totals10,0369,981

National Licensing Polls.—The licensing poll of 13 November 1954, held in conjunction with the parliamentary elections, was the ninth at which the three issues—national continuance. State purchase and control, and national prohibition (without compensation)—were submitted to the electors. Official figures of the 1954 poll, together with those of the four preceding polls, were as follows.

 19331943194619491954
For national continuance546,995529,386542,681660,573672,754
For State purchase and control96,131123,701202,664135,982164,380
For national prohibition263,208269,800259,162268,567250,460

The percentage of votes recorded for State purchase and control was 10.6 of the total votes in 1938, 13.4 in 1943, 20.2 in 1946. 12.8 in 1949, and 15.1 in 1954. National continuance reached 63.4 per cent in 1935, since when it fell gradually to 54.0 per cent in 1946, recovered substantially at the expense largely of the State purchase and control vote to 62.0 per cent in 1949, and remained almost constant at 61.9 per cent in 1954. Votes cast in favour of national prohibition amounted to 47.3 per cent in 1925, but fell heavily at each of the next two polls, reaching 29.6 per cent in 1935. There was little variation in this percentage in 1938 and 1943, but further falls to 25.2 per cent and 23.0 per cent were recorded in 1949 and 1954 respectively.

The voting results in each licensing district in 1954 are now given (informal votes not being shown).

Licensing DistrictFor National ContinuanceFor State Purchase and ControlFor National Prohibition
Ashburton7,8981,4813,417
Auckland Central7,2922,3251,988
Avon8,3422,2862,890
Awarua7,9921,2863,853
Bay of Plenty7,6801,9412,633
Buller8,9731,5762,456
Central Otago9,2761,7583,301
Christchurch Central8,7681,9512,881
Clutha7,5011,7664,107
Dunedin Central8,0701,8193,588
Eden8,0312,4003,880
Egmont8,1121,0212,616
Fendalton8,9131,7693,230
Franklin6,9971,3982,904
Gisborne8,8972,1603,310
Grey Lynn7,6052,4482,875
Hamilton10,2482,9024,142
Hastings9,7822,1613,144
Hauraki8,6011,6743,310
Hawke's Bay9,0191,5902,257
Heretaunga8,8573,7002,448
Hobson7,5371,9503,315
Hurunui8,0431,2183,034
Hutt7,9162,9072,986
Invercargill8,3591,1794,123
Island Bay8,3602,8292,763
Karori9,4802,7033,208
Lyttelton9,0952,4163,415
Manawatu8,2001,5193,294
Manukau9,2012,3444,155
Marlborough10,1251,5692,933
Marsden8,3632,4923,429
Miramar9,0442,4552,959
Mornington8,0281,9863,501
Mt. Albert7,9232,6883,759
Napier9,8162,1203,694
Nelson9,4791,9003,949
New Plymouth9,6921,7663,997
North Dunedin7,5592,0043,817
North Shore8,3432,7753,027
Oamaru6,3492,0034,335
Onehunga8,2222,7903,327
Onslow9,9082,9293,130
Otahuhu8,9993,2993,262
Otaki9,9162,4493,827
Pahiatua8,1801,0702,569
Palmerston North9,3351,9123,487
Patea8,7331,2932,264
Petone8,4863,1722,649
Ponsonby8,4072,6793,062
Raglan7,8922,3322,761
Rangitikei9,0171,2082,826
Remuera8,9532,0493,104
Riccarton9,0062,4353,118
Rodney8,1431,6953,398
Roskill7,8792,2053,812
Rotorua9,0363,3552,419
St. Albans9,6802,1543,850
St. Kilda8,0951,9633,707
Selwyn8,4201,5672,921
Stratford8,3979082,382
Sydenham8,3152,1773,070
Tamaki9,9292,6473,545
Tauranga8,0132,0043,422
Timaru8,2012,1683,446
Waikato8,5551,6583,199
Waimate7,7041,7012,826
Waipa7,5241,2502,470
Wairarapa9,1011,8483,446
Waitakere9,1853,0493,376
Waitemata8,8043,1223,423
Waitomo8,4031,2751,347
Wallace7,6351,0753,172
Wanganui8,6201,6003,158
Wellington Central9,8792,7592,810
Westland9,4431,8962,400
Eastern Maori6,9871,9102,178
Northern Maori5,2231,5362,275
Southern Maori3,8171,5041,349
Western Maori4,9461,5022,750
    Totals672,754164,380250,460

Local Option.—In the no-licence districts an additional issue is submitted to the electors—viz., restoration of licences—three-fifths of the valid votes cast being required for carrying the proposal. The voting for each of the ten districts for 1954 is given below. Restoration was carried in the Mataura and Clutha districts.

No-licence DistrictFor Restoration of LicenceFor No LicenceNumber of Valid Votes Recorded
Auckland Suburbs12,77110,04722,818
Clutha5,2433,2308,473
Eden6,0457,26213,307
Grey Lynn8,0797,09415,173
Mataura6,4043,63010,034
Oamaru6,3325,13311,465
Roskill9,78812,34922,137
Wellington East7,1297,28214,411
Wellington South6,1404,76810,908
Wellington West7,2187,73214,950
    Totals75,14968,527143,676

Special Licensing Polls.—Three special licensing polls were held at the time of the 1954 elections. King-country licensing was carried by a large majority, but trust control was rejected. Porirua licensing was carried, in this case trust control being also carried. For the Johnsonville no-licence area the licensing issue was not carried.

Special AreaLicensing ProposalTrust ProposalNumber of Valid Votes Recorded
For Sale of LiquorAgainst Sale of LiquorFor Trust ControlFor Licences Under Licensing Act
King-country17,0314,1357,47513,16541,806
Porirua3,2881,7392,4762,4269,929
Johnsonville6,2164,6425,5325,02121,411

LICENSING.—The principal Act dealing with licensing of the sale of liquor is the Licensing Act 1908 and its amendments. An important amendment was the Licensing Amendment Act 1948 which provided for the establishment of a Licensing Control Commission with general functions of—

  1. Generally to supervise the activities of Licensing Committees in the performance of their functions:

  2. To prescribe standards to be complied with in the provision of accommodation, services, and other facilities for the public and for lodgers, guests, or employees in licensed premises:

  3. To control the Licensing Fund:

  4. To review from time to time the distribution of publicans', accommodation, tourist-house, and wholesale licences throughout New Zealand:

  5. To determine what publicans', accommodation, tourist-house, and wholesale licences are unnecessary, and the amount of compensation to be paid in respect of cancellation:

  6. To determine the number of new publicans', tourist-house, and wholesale licences to be issued in each licensing district, and, subject to the provisions of this Act, the situation of the premises in respect of which such licences are to be granted:

  7. To determine the fair price to be paid in respect of new publicans', tourist-house, and wholesale licences:

  8. To grant club charters:

  9. To mark recommendations to the Minister as to the expediency of amending the Licensing Acts:

  10. To conduct inquiries on such matters as may be referred to it by the Minister.

In addition, the Commission shall have such other functions as are conferred on it by this or any other Act.

The amending Act provides that no new accommodation or New Zealand wine licences are to be granted.

The total number of publicans' licences for the time being in force is not to exceed the number in force on the passing of the Act, plus (a) an additional twenty, (b) the number granted in place of accommodation licences, (c) the number granted after the passing of the Act as a result of a determination of electors of any no-licence district at a poll under section 8 of the Licensing Amendment Act 1910, and (d) the number granted pursuant to Part VI of the 1948 amendment (i.e., special polls of electors in the Ashburton, Geraldine, and King-country areas). This total number may be increased whenever the results of any periodical census or any statistics published under the Census and Statistics Act 1926 show that the population of New Zealand has exceeded by at least fifty thousand persons the population at the time of passing the Act, or since the Commission last authorized an increase in the number of licences under this provision. The Commission may authorize such new licences on this account as it thinks fit, but not so as to exceed one licence for every complete ten thousand of the increase in population.

Wholesale licences are not to exceed in number one for every complete ten thousand of the population of New Zealand, while tourist-house licences for the time being in force are not to exceed twenty-five.

The 1948 amendment provided that the Commission shall review the distribution of the three classes of licences quoted as soon as practicable after the passing of the Act, and may do so also from time to time after this initial review, with the proviso that a review must be done at least once in each succeeding period of ten years.

Various provisions were also made in respect of procedure, surrender of licences, compensation, appeals, brewers' licences, etc.

New kinds of licences which may be granted by Licensing Committees in addition to those provided for in the principal Act are tourist-house licences and works canteen licences. It is of interest to note these may be granted in respect of premises situated in any proclaimed area. The licence fee for each of the two classes is £10.

The 1948 amendment also enables the Licensing Commission to grant charters to clubs subject to certain conditions, and, in addition, included provision for the granting of temporary charters in the King-country.

The same legislation removed certain restrictions which had existed for many years with regard to the sale and supply of liquor to Maoris, by enabling Maori women to be supplied with liquor on licensed premises, and by enabling the sale and supply of liquor to Maori men for consumption off the premises.

The 1952 amendment to the principal Act validates licences granted in areas of licensing districts which were formerly parts of no-licence districts, and which became included in licensing districts by reason of changes in electoral boundaries. It also provides that the prior approval of a Magistrate is required for the sale of liquor at fairs in Licensing Trust districts. Wine-sellers' licences may be granted to licensed auctioneers, while wholesale licences are to be granted or renewed in the same manner as publicans' licences. Certain former limiting provisions are repealed, thus qualifying any woman to hold a licence. In addition to the existing provisions regarding the serving of liquor to minors, it is made an offence for a minor himself to purchase liquor or to be found in a public or private bar, subject to the same exceptions as in the principal Act, while any constable, the licensee, etc., may demand particulars of the name, age, and address of any one appearing to be a minor and offending against the new section. Licensing Committees are authorized to hold special meetings to deal with applications for new licences, requirements as to accommodation and services for new and existing licences, and at quarterly or special meetings to direct any holder of a publican's, tourist house, or accommodation licence to carry out any such requirements. A time for compliance may be fixed, and extensions of this may be granted in the case of new licences.

Part I of the Licensing Amendment Act (No. 2) 1953 provides for special polls to be taken on the questions of licensing and Trust control in the King-country and in certain areas in licensing districts (including Johnsonville and Porirua areas) where at present, owing to past changes in electoral boundaries, it is not lawful for licences to be granted. In general the licensing proposals require a three-fifths majority of the total valid votes (European and Maori combined in the case of King-country) before the proposals can be carried. Trust control proposals are carried by a simple majority, provided that the main licensing proposal has been carried.

Part II of the amendment relates to wine makers' licences and includes provisions that (a) wine makers' licences are required if wine is made for sale from apples, pears, or vegetables, and cider and perry; (b) there are to be two kinds of wine maker's licences, grape wine and fruit wine licences, which cannot be both held by any one person; (c) only holders of grape wine licences can blend wines, i.e., grape wine may not be blended with fruit wines; (d) licences are subject to suitability of premises, etc.; (e) sufficient supplies of grapes are available to the applicant to produce the specified quantity before a grape wine licence can be granted.

Part III authorizes the Licensing Control Commission to conduct inquiries on such matters as may be referred to it by the Minister, and gives a right of appeal to the Supreme Court against decisions of the Commission (a) on licences cancelled on grounds that they are not needed, (b) the award of compensation for cancelled or surrendered licences, (c) on an appeal against a direction of a Licensing Committee to a licensee to rebuild, alter, or repair premises when the cost would be £5,000 or more. It also provides that any local authority, or fifty or more electors, may apply to the Commission for a poll to determine whether the residents of any area desire that a publican's licence should be authorized in that area. The Commission is thus given discretion in respect of objections to a particular site for licensed premises. It may at the same time direct a poll to be held on the question of a local Trust, if a licence be granted. Should the poll be against the grant of a licence, the Commission is not to authorize one in the area unless, after regard to the size of the poll and the majority of votes, convenience of travellers, etc., it thinks that special circumstances exist and that the granting of a licence would be in the public interest. Where the Commission has authorized a licence, there is no right of objection to the Licensing Committee on the ground that premises are in the immediate vicinity of a church, hospital, school, etc. Except for the Oamaru, Clutha, and Mataura no-licence districts, it is not necessary for the seller of liquor (to be taken into no-licence districts) to send statements of the nature and quantity of liquor and addresses to the police station nearest to delivery point.

Other sections include provisions (a) for the constitution, or alteration, of new city licensing districts for Auckland, Wellington, Christchurch, and Dunedin by Order in Council; (b) for the alteration of boundaries of any ordinary licensing district by the inclusion of any part of an adjoining district remaining after the exclusion of a no-licence district or Trust district, although power is not given to combine entire districts; (c) authorizing the Licensing Committee to redefine any licensed premises by excluding any building or part thereof that is not used or is not to be used as licensed premises, or by including any part that is so used or is to be used; and (d) empowering the Commission to continue to grant exemptions from restrictions on dances, billiards, etc., in cases where a tourist-house licence is later replaced by a publican's licence for the same premises, if such facilities are not reasonably available in the locality.

The Licensing Amendment Act 1948 also contained provisions for a referendum to be taken on the question of hours for sale of liquor in hotel bars, local restoration polls in no-licence districts, and a proposal that licences for sale of liquor be issued in the King-country. In the last two cases voters were also required to record their vote either for or against Trust Control. The referendum taken on 9 March 1949 resulted in the retention of the existing hours during which hotels are open for the sale of liquor in hotel bars—i.e., between 9 a.m. and 6 p.m.

By the end of March 1954, the Commission had completed its initial review of 1,246 licences—1,098 publicans or accommodation, 145 wholesale, and 3 tourist-house. Of this total, rebuilding was ordered in 50 cases, and major improvements ordered in 290 instances. Applications for new licences, with authorizations shown in parentheses, during the period were as follows: publican's, 98(59); tourist-house, 39 (22); and wholesale, 66 (21).

During the year ended 31 March 1954 the Commission reviewed in the licensing districts dealt with a total of 57 publicans', accommodation, and wholesale licences, compared with a total of 371 in the previous year. In addition representations for new licences totalled 12. The following table shows the number of licences either in force or authorized at 31 March 1954.

Publicans' and Accommodation LicencesTourist-house LicencesWholesale Licences

*Includes 19 licences cancelled by the Commission, but where cancellation does not become effective until after 31 March 1954.

Number of licences allowable under sections 27 (1) and (2), 28 (1) and (2), Licensing Amendment Act 19481,12825194
Number of licences either in force or authorized at 1 April 19531,12921161
Number of licences cancelled or surrendered, 1953–54141..
Number of new licences authorized, 1953–546..1
    Total number of licences either in force or authorized at 1 April 19541,121*20162

NOTE.—Licensed premises in the Trust Areas of Masterton, Ashburton, Geraldine, and Invercargill are not included in the above figures, as such areas are outside the jurisdiction of the Commission.

From 1 June 1949 to 31 March 1954, 131 applications had been filed for the grant of club charters. These had been dealt with as follows: charters issued, 66; granted but charters withheld pending compliance with conditions, 11; adjourned sine die, 20; declined, 19; withdrawn, 6; decisions not issued, 3; charters revoked, 1; and awaiting to be heard, 6.

The Commission was also concerned with 68 appeals lodged against decisions of Licensing Committees up to 31 March 1954, these being dealt with as follows: withdrawn, 16; heard, 51; dismissed, 49; allowed, 2; and awaiting hearing, 1.

Notices of cancellation or surrender of licences to 31 March 1954 have been given for 85 publicans, 17 accommodation, 1 wholesale; 100 of these have been heard, of which 10 have been adjourned, 8 surrenders accepted, and cancellations of 41 publicans, 5 accommodation, and 1 wholesale licences determined.

The Licensing Control Commission has prescribed the minimum general standards for new hotels, these standards being intended eventually to cover all hotels, under the following headings: (a) general—means of egress; (b) bedrooms—facilities, space, ventilation, etc.; (c) bathrooms and lavatories—number in relation to number of guests; (d) heating; and (e) bars—cleanliness.

Included in the accounts of the Licensing Fund for the year ended 31 March 1954 were receipts from fair prices for licences issued, at £22,449 (£12,099 for publicans, £9600 wholesale, and £750 tourist-house) and payments as compensation for licences cancelled, at £9,910. The Accumulated Fund stood at £27,251 at the end of the year.

Licensing Trusts.—A new departure in regard to the conduct of the liquor trade in New Zealand was inaugurated by the Invercargill Licensing Trust Act 1944, which established a Trust of six members to be appointed from time to time by the Governor-General. The functions of the Trust according to the Act are to provide accommodation and other facilities for the travelling public within the Invercargill Licensing District, to establish and maintain hotels and suitable places within the district for the sale or supply of refreshments, to sell and supply intoxicating liquor within the district, and to establish and maintain premises for that purpose. The net profits arising from the operations of the Trust may be expended or distributed by the Trust for the promotion, advancement, or encouragement of cultural and recreational or philanthropic purposes within the Southland Land District.

Following the result of the poll in the Masterton No-licence District in 1946, the electors were given the opportunity of recording their views as to whether they desired a form of Trust control or otherwise. The district was divided into three areas, the Akitio County, the Borough of Eketahuna and the Eketahuna County, and the southern area consisting of the Borough of Masterton, the Mauriceville County, and those portions of the counties of Masterton, Wairarapa South, and Castlepoint which are included in the district. Polling took place on 28 May 1947, and Trust control was carried in the southern area but was defeated in the other two areas, which are predominantly rural. Legislation providing for the constitution of the Masterton Licensing Trust to control the southern area was passed during the 1947 session of Parliament.

As a result of special licensing polls held on 9 March 1949, under the authority of the Licensing Amendment Act 1948, in the Ashburton and Geraldine areas, the restoration proposal was carried by the necessary three-fifths majority in each case. A majority of the valid votes cast were also in favour of Trust control, and by virtue of the Licensing Trusts Act 1949 the Ashburton Licensing Trust and the Geraldine Licensing Trust were established and Trust districts of similar title constituted.

The Licensing Trusts Act 1949 also provided for the declaration of a district to be a Trust district whenever at any local restoration poll taken in a no-licence district the electors have determined in favour of the proposal that a local Trust be established to conduct hotels and sell intoxicating liquor in that district. The 1950 amendment enables the Licensing Control Commission to authorize or direct the taking of a preliminary poll in any locality where the local authority applies or intends to apply for a licence for a local Trust, and provides for the approval of managers by the Licensing Committee and the defining of the duties and liabilities of managers. The 1951 amendment makes further provision for financing licensing Trusts, including local Trusts established to conduct particular premises for which new licences are granted in licensing districts. The Crown is empowered to make advances to, or guarantee loans raised by, licensing Trusts for the purpose of acquiring property and for the payment of preliminary expenses. The Act also enables local authorities in a licensing Trust district to make advances or give guarantees for similar purposes, but limited in each case to one-third of the capital required; local authorities also require the consent of the Local Government Loans Board. Local Trusts are given the same borrowing powers as district licensing Trusts. The 1953 amendment authorized Trusts to make contributions for the purpose of providing superannuation or retiring allowances for their employees.

LOTTERIES.—Under section 42 of the Gaming Act 1908, as amended in 1949, the Minister of Internal Affairs could grant permission (subject to such conditions as he thinks fit) for the disposing by raffle or chance of any painting, drawing, sculpture, or other work of art, or literature, or mineral specimen, or mechanical model. The Gaming Amendment Act 1949 made several important changes in the law relating to raffles. Major changes include provisions enabling real and personal property to be raffled, licences being formerly issued only for works of art and mineral specimens; authority is given to authorized members of the Police Force to issue raffle licences where an individual prize does not exceed £10 in value, and where the total value of the prizes does not exceed £25; and authorized members of the Police Force may from time to time approve organizations to conduct raffles provided the value of the prizes in any raffle does not exceed £5. By the Finance Act 1951 any such licence granted for the raffling of any real or personal property in excess of £100 value is subject to a lottery duty of 10 per cent of the nominal value of all tickets represented in the drawing of the lottery, whether such tickets have been disposed of by way of sale or otherwise. Information as to receipts from this source will be found in Section 30B—Taxation.

The Gaming Act also permits sweepstakes and art unions (as defined) under certain specified conditions.

During the year ended 31 March 1954, 1,625 licences covering small raffles with prizes ranging from £25 to £500 in cash or goods were issued to local or national organizations. Raffles in which the prizes are less than £25 in total, and with no one prize exceeding £10, are licensed and supervised by the Police. In addition, 13 licences were issued in respect of the regular £7,000 (since increased to £10,000) art unions. The aggregate results of these regular art unions for the past seven years have been as follows.

1947–481948–491949–501950–511951–521952–531953–54
Number of lotteries13131313131313
Gross sales £273,867286,494281,405268,418258,886305,856418,279
Commission on sales £41,08042,97442,20840,26338,83345,87862,741
Expenses £32,91231,94833,11333,43735,01041,22248,608
Prizes £65,00065,00065,00065,00065,00071,00091,000
Net proceeds £134,875146,572141,084129,718120,043147,756215,930
Lottery duty £27,38628,64928,13826,84125,88830,58541,827
Net profit £107,489117,923112,946102,87794,155117,171174,103

Allocation of funds earned from the art unions in the proceeding table during 1953–54 was as follows: £65,417 to charitable and philanthropic organizations; £18,301 to various mayoral or other recognized relief of distress funds; £18,250 to the Cultural Fund and art galleries and museums; £17,528 to sporting bodies; £16,492 to children's health camps; £14,000 to the New Zealand Patriotic Fund Board for benefit of servicemen overseas; £6,800 to old folks' associations; £6,575 to youth organizations (Y.M.C.A., Boys Brigade, etc.); £4,850 to bands and orchestras; £4,000 to the Plunket Society; and miscellaneous grants, £12,241.

MAORI WELFARE.—The legislative basis of the Maori welfare programme is the Maori Social and Economic Advancement Act of 1945. The aim of the Act is “The social and economic advancement and the promotion and maintenance of the health and general well-being of the Maori community.” It is also designed to facilitate the full integration of the Maori race into the social and economic structure of the country. An important feature of the Act is that it does not seek to impose standards from without; rather, it calls upon the Maori people to exercise control and direction of their own communities in the essentials of good citizenship and civic responsibility.

Under the above Act areas may be declared Tribal districts or Tribal Committee areas. In such districts or areas Tribal Executives and Committees have been set up by the Maori people to promote their development. At 31 March 1954 the numbers of such districts and areas were 74 and 449 respectively. A Controller, 6 district welfare officers, and 28 male and 21 female welfare officers, nearly all of the Maori race, have been appointed to advise and assist these bodies.

One of the major aspects of the recent development of Maori welfare is the emergence of women as an organized socializing factor. Thus as at 31 March 1954 the Maori Women's Welfare League had a total strength of 3,842 members.

The Act provides for subsidies to be paid on moneys raised by the Maori people through their Executives and Committees for various social purposes set out in the Act, mainly in the improvement of local amenities. The subsidy granted in the financial year ended 31 March 1954 amounted to £24,140. Total subsidies paid under the Act amount to £155,164.

The Minister of Maori Affairs also appoints Maori Wardens who have certain powers to ensure orderly behaviour among the Maori people within the Tribal districts to which they are appointed. By 31 March 1954 wardens' certificates were held by 205 persons, all being Maoris.

The 1951 amendment to the principal Act, while similar to earlier provisions prohibiting the supply and consumption of liquor in or near dance halls, is somewhat wider in scope and prohibits the supply and consumption of liquor where any gathering of Maoris is being held at a “marae”. Provision is made for the issue of permits by Tribal Committees authorizing the supply of liquor to Maori gatherings in certain circumstances. There are also provisions relating to applications for prohibition orders against Maoris.

TIME-SERVICE ARRANGEMENTS.—The following article on the New Zealand time-service arrangements was prepared by Mr. R. C. Hayes, Director of the Seismological Observatory.

One uniform time is kept throughout New Zealand. The New Zealand Gazette of 31 October 1868 contained a Government announcement to the effect that the time corresponding to longitude 172° 30′ east of Greenwich (exactly 11½ hours in advance of Greenwich time) was to be adopted as the New Zealand Mean Time throughout the colony, and that from 2 November (of the same year) the public offices of the General Government were to be opened and closed in accordance therewith.

This New Zealand Mean Time, 11h. 30m. in advance of Greenwich Mean Time (G.M.T.), was observed continuously up to 1927, when on 6 November clocks were advanced 1 hour until 4 March 1928. The next period of Summer Time was from 14 October 1928 to 17 March 1929, but in this and in subsequent periods clocks were advanced only 30 minutes (to 12h. ahead of G.M.T.). The Summer Time Act of 1929 provided for clocks to be advanced 30 minutes from the second Sunday in October of any year to the third Sunday in March of the following year. By the Summer Time Amendment Act 1933 the period of Summer Time was extended from the first Sunday in September to the last Sunday in April. This amendment commenced in 1934, when the period of Summer Time was extended until 29 April.

The Daylight Saving Emergency Regulations of 1941 provided for the continuance of Summer Time throughout that year; and its continued observance during subsequent war years was provided for by regulations made annually.

By the Standard Time Act of 1945 the time of the meridian 180° east of Greenwich (12h. in advance of G.M.T.) was adopted as the Standard Time for New Zealand. Thus, what was formerly known as “Summer Time” became “New Zealand Standard Time” as from 1 January 1946. The times stated in this article are New Zealand Standard Time, unless otherwise stated.

The time throughout New Zealand is controlled by the Seismological Observatory, Wellington. The Observatory signal clock is kept as correct as possible by means of astronomical observations, and by comparison with radio time signals from observatories in other parts of the world.

The Observatory provides the following time-service:

(1) RADIO TIME SIGNALS TRANSMITTED THROUGH STATION ZLW ON A WAVELENGTH OF 500 KC/S (600 METRES) I.C.W.

These signals are transmitted between 10h. 55m. and 11h. 00m. a.m. daily, and are in accordance with the modified ONOGO system. The procedure is as follows:

At 10h. 55m. 30s. the “Attention" call (— . — . —), followed by the Observatory call sign ZMO (— — . . — — — — —).

From 10h. 56m. 05s. to 10h. 56m. 50s. the letter O (— — —), repeated every ten seconds, except that the third series from 25s. to 30s. consists of a single dash prolonged for five seconds.

From 10h. 57m. 00s. to 10h. 57m. 49s. the letter X (—. . —), repeated every five seconds.

From 10h. 57m. 55s. to 10h. 58m. 00s., First Time Signal, consisting of six dots at intervals of one second.

From 10h. 58m. 08s. to 10h. 58m. 50s. the letter N (—.), repeated every ten seconds.

From 10h. 58m. 55s. to 10h. 59m. 00s., Second Time Signal, consisting of six dots at intervals of one second.

From 10h. 59m. 06s. to 10h. 59m. 50s. the letter G (— —.), repeated every ten seconds.

From 10h. 59m. 55s. to 11h. 00m. 00s., Third Time Signal, consisting of six dots at intervals of one second.

The series of six dots which constitute the actual time signals are transmitted directly from the Observatory signal clock, which is seldom more than one-tenth of a second in error. The remaining signals are for tuning and identification purposes only, and should not be used as precise time signals. Corrections to the time signals can be obtained on application to the Seismological Observatory.

(2) RADIO TIME SIGNALS TRANSMITTED BY THE NEW ZEALAND BROADCASTING SERVICE

Time-signals from the Observatory are transmitted as follows:

New Zealand Standard Time.

5.00 a.m.2YA only (daily except Sundays).
6.00 a.m.All YA and YZ stations (daily except Sundays).
7.00 a.m.All YA and YZ stations (daily).
8.00 a.m.All YA and YZ stations (daily).
9.00 a.m.All YA and YZ stations (daily).
10.58 a.m.2YA only (daily).
10.59 a.m.
11.00 a.m.
12.30 p.m.All YA and YZ stations (daily).
4.00 p.m.2YA only (daily).
6.30 p.m.All YA and YZ stations (daily).
7.00 p.m.All YA and YZ stations (daily).
9.00 p.m.All YA and YZ stations (daily except Sundays).
10.00 p.m.2YA only (daily).
11.00 p.m.All YA and YZ stations (daily).

Each time signal consists of six dots, separated by intervals of one second, the last dot being the exact minute.

(3) TIME SIGNALS BY TELEGRAPH

The Observatory sends time signals by telegraph to the General Post Office and the Railways Department, Wellington, at 9h. a.m. daily. This signal is transmitted to all telegraph offices in New Zealand and to all railway stations in the North Island.

(4) PUBLIC CLOCKS

The Government Buildings clock (Wellington) is checked at 9h. a.m. daily by means of a special circuit between the clock and the Observatory. The error of this clock is usually less than 15 seconds.

An electric synchronous clock, installed at the Observatory, is checked twice daily. Observations show that, under normal conditions of power supply, the variation of the electric clocks amounts to a few seconds only.

MINERAL WATERS AND SPAS.—For information concerning the mineral waters and spas of New Zealand, reference should be made to the 1940 and earlier editions of the Year-Book, which contain a short description of the Rotorua and Te Aroha spas, together with analyses of the more important springs at the latter, while in the 1913 issue of the Year-Book will be found detailed analyses of the various mineral waters throughout New Zealand.

REVIEW OF LEGISLATION, 1954.—During the parliamentary session of 1954, which commenced on 12 January, was adjourned from 13 January to 22 June, and which ended on 1 October, the General Assembly passed 90 public Acts, 16 local Acts, and 3 private Acts. The following is a brief synopsis of the more important public Acts passed during the session.

The Judicature Amendment Act 1954 provides that each Division of the Court of Appeal shall consist of either five or six Judges, that the number of members of each Division may be varied from time to time, and that it shall not be necessary for both Divisions to consist of the same number of Judges.

The Patea By-election Act 1954 postpones the Patea by-election until the date of the Onslow by-election.

The Electoral Amendment Act 1954 provides that a notice of any vacancy in the House of Representatives is to be gazetted forthwith, and the Speaker's warrant for a writ is to be issued forthwith thereafter; the writ is to be issued as soon as practicable, but within twenty-one days unless for special reasons the issue is postponed by Order in Council to a specified day within forty-two days after the receipt of the warrant. Persons entitled to vote on declaration may vote as absent voters or postal voters. Declaration voters must not only declare that they are, but also be, qualified to be registered as electors; persons who have applied for registration and been informed by the Registrar that they have been registered, but whose names have since been purged from the roll, may vote by declaration, as may also those who voted at the last election for one district and have since become qualified to be registered in another district by reason of a change in the electoral district. Maori electors are also entitled to vote on declaration.

The Nelson College Amendment Act 1954 amends slightly the constitution of the Council of Governors of Nelson College.

The Waitaki High School Amendment Act 1954 provides for the reconstitution of the Board of Governors, and, in consequence, for the filling of casual vacancies, and for the election of the Chairman.

The Canterbury Agricultural College Amendment Act 1954 amends the provision relating to the election of the Chairman of the College Board.

The Medical Practitioners Amendment Act 1954 authorizes the Medical Council in its discretion to issue certificates of temporary registration to medical practitioners visiting New Zealand for the purpose of giving post-graduate instruction or obtaining post-graduate experience.

The Occupational Therapy Amendment Act 1954 provides for the period of training to be prescribed by regulations instead of being given in the Act.

The Primary Products Marketing Amendment Act 1954 redefines the term “primary products"—the effect is to enable Marketing Authorities to be established under the principal Act only in respect of eggs, honey, and citrus fruits.

The Dairy Industry Amendment Act 1954 permits, subject to such conditions as the Director-General of Agriculture may prescribe, the grading and export of butter (other than whey or creamery) or cheese containing a smaller percentage of butterfat than is at present allowed. The object is to allow the export of butter containing less than 80 per cent of butterfat to special markets, particularly those in tropical countries, and the export of cheese containing varying percentages of fat. Cooling appliances are to remain the property of dairy companies.

The Historic Places Act 1954 provides for the maintenance and general preservation of places and objects of national or local historic importance and the keeping of suitable records of historic places and objects. It constitutes the National Historic Places Trust and confers on it powers to enable it to carry out the general purposes of the Act. The purpose of the Act is to preserve or suitably mark or keep permanent records of such places, objects, and things as are of national or local historic interest or of archaeological, scientific, educational, architectural, literary, or of other special national or local interest.

The Public Service Amendment Act 1954 provides that the Public Service Commission shall consist of not more than four members, with the Chairman having a casting as well as a deliberative vote. In cases of absences or of vacancies of employees, all the powers and duties of the position may be performed by an employee directed by the Commission to do so; such direction may also be given in advance of a vacancy or absence.

The Military Training Amendment Act 1954 provides that the liability for service ceases at the age of thirty years unless previously terminated. A person registered as a conscientious objector but liable for non-combatant duties may apply for unconditional registration—i.e., not liable to be called up for service.

The Invercargill Licensing Trust Amendment Act 1954 gives power to alter the boundaries of the trust district so as to coincide with the city and borough boundaries, but not include any licensed premises, or any special areas in which a poll is required before issue of a licence, or any part of a no-licence district.

The Child Welfare Amendment Act 1954 empowers any Magistrate or Justice to exercise jurisdiction in matters preliminary to the hearing of any proceedings against a child for any offence, and not only those specially appointed to exercise jurisdiction in a Children's Court.

The Government Life Insurance Amendment Act 1954 amends the provisions as to the vesting of assets in the Commissioner.

The New Zealand Army Amendment Act 1954 and The Royal New Zealand Air Force Amendment Act 1954 both contain similar sections, after allowing for the appropriate changes of designation. The principal Act in each case has been amended as follows: The term “enemy" has been extended to persons engaged in armed operations against any New Zealand or allied force. “Superior authority" includes the respective Army or Air Board. Dependants of any person subject to Military or Air Force law who accompany him on active service outside New Zealand will also be subject to that law. Forfeiture of intoxicating liquor to the Crown is provided for on conviction of being in possession of liquor in camp. It is an offence to give a false answer to questions put by the attesting officer himself, or to be in charge of any motor vehicle while under the influence of drink or a drug to such an extent as to be incapable of having proper control of the vehicle. The following amendments are made in respect of punishments: A commanding officer in dealing summarily with a charge may award one or more of the minor punishments specified in section 77 without the offender being entitled to a Court-martial unless the finding involves a forfeiture of pay; while he may inflict on non-commissioned officers the minor punishments in addition to or without any other punishment inflicted under section 78; his powers are also limited under section 78 (3) to taking away from any soldier or airman (not being a warrant officer) any acting rank and not any temporary rank, the same provision applying to the acting rank of warrant officer; a subordinate commander to whom power has been delegated may award the punishment of admonition. Other provisions relate to the revision of summary punishments by superior authority; give a more extended power of search in cases of persons reasonably suspected of bringing liquor into camp; transfer the power of suspending sentences from the confirming authority to superior authority; enable a person subject to Military or Air Force law to be tried at any time for an offence committed outside New Zealand as if the offence would be punishable by the law of New Zealand and the Attorney-General consents; enable a joint service Court of Inquiry to be set up where the matter to be investigated concerns more than one New Zealand service; and in case of attachment to other Commonwealth forces, consent is only required from members of Territorial Forces.

The Veterinary Services Amendment Act 1954 extends the powers of the Council to buy and sell land, etc., increases from £50 to £100 annually the amount of unauthorized expenditure permitted, and deletes the requirement to prepare a Receipts and Payments Account.

The Land and Income Tax Amendment Act 1954 increases the exemption of land from land tax to £3,000, reducible by £1 for each £2 in value in excess of £3,000 until the exemption disappears when unimproved value reaches £9,000; repeals the special provisions as to assessment of lessees for land tax as if they owned the fee-simple; repeals the provisions requiring owners to give notice to the Commissioner of Inland Revenue when they dispose of their land; extends to land owned and occupied by sports bodies and used for games or sports other than horse racing or trotting the provisions relating to reduction of land tax to one-fourth of the ordinary tax or to tax at the rate of ½d. in the pound, whichever is the greater. The amendment alters the Schedule fixing the basic rates of income tax to commence at the rate of 3s. in the £ abolishes what is known as the “A + B” system of assessment; extends the special provisions as to income tax on interest to the 1954 National Development Loan; increases the personal exemption to £375 or to £420 for persons over sixty-five years of age, and abolishes the special rebate of £10 for those over sixty-five; increases the exemption for a wife to £125, reducible pound for pound where the wife's income is over that figure and disappearing at £250; increases the exemptions to £125 for a housekeeper employed by a widowed or divorced taxpayer; increases the exemption for a child or other dependent relative to £75; abolishes the £26 limit on tax reduction from wife's, housekeeper's, or child's exemption; provides that there is to be no aggregation of incomes of husband and wife where the income of either is less than £500, the first £500 of a wife's income being taxable at the rate applicable to that amount alone after allowing for the personal and any other exemptions; extends for a further year the special depreciation allowances on plant and buildings, and the initial depreciation allowance on farm equipment and accommodation for farm workers, and on accommodation for business workers; increases the maximum allowance for expenditure on land used for farming or agricultural purposes to £300; provides for a special exemption of £200 in respect of trustees' income; amends the provisions relating to the assessment of co-operative dairy companies; provides that where a taxpayer leases any livestock to another person it is to be treated as livestock used by the taxpayer in a business, the latter having the alternatives of adopting as standard values the market price, the existing standard value, or a new standard in between the two values; extends to grandchildren the provision for alternative values for livestock comprised in a gift to a taxpayer's children or stepchildren; and repeals the special provisions as to procedure in undefended tax cases in Magistrates' Courts.

The Land and Income Tax (Annual) Act 1954 gives the rates of land and income tax for the tax year commencing April 1954. Land tax is at the rate of 1d. per £1 where unimproved value does not exceed £10,000, 2d. for over £10,000 to £15,000, 3d. for over £15,000 to £20,000, and 4d. for over £20,000. Income tax is at rates specified in the 1954 amendment Act.

The Workers' Compensation Amendment Act 1954 provides that the Workers' Compensation Board may establish special funds and reserves.

The Civil List Amendment Act 1954 provides that a Member of Parliament returned unopposed at a by-election is to receive salary from the date on which he is declared to be elected.

The Samoa Amendment Act 1954 enables appointments and reappointments of the Public Service Commissioner of Western Samoa and the Samoan Assistant Public Service Commissioner to be made for terms of less than three years.

The Crimes Amendment Act 1954 redefines “convicted of a crime involving dishonesty” and makes it clear that a person sentenced in the Supreme Court after pleading guilty in a Magistrate's Court, or after pleading guilty in the Supreme Court before trial, is deemed to be “convicted" for the purpose of the Act. The principal Act (as to inciting to mutiny) is amended so as to extend the provisions to all services.

The Cook Islands Amendment Act 1954 vests Palmerston Island (except ten acres for administration purposes) in the native inhabitants as customary land to be held by them according to their native customs and usages.

The Timber Floating Act 1954 re-enacts with modifications the provisions of the Timber Floating Act 1908, which regulates the floating, rafting, and driving of logs, timber, and other substances on rivers, streams, and creeks. The most important new provisions are those dealing with the removal from rivers of derelict logs, of which there are considerable numbers in some rivers, especially in the North Auckland area. Many of these logs have lain in these rivers for many years and their present owners are unknown, and the Act enables them to be removed, partly to clear the river channels and partly to salvage the timber in those logs. A further change is the transfer of the administration of the Act from the Department of Lands and Survey to the New Zealand Forest Service. In addition, the Act simplifies the procedure for the granting of timber-floating licences by omitting some of the details set out in former legislation and leaving these matters to the discretion of the Minister of Forests.

The Police Force Amendment Act 1954 provides for the appointment of one or more Assistant Commissioners of Police, and the establishment of a Police Force Promotion Board, a Promotion Appeal Board, and a Police Council. All promotions, other than specified senior appointments, will be considered by and made only on the recommendation of the Promotion Board, and no appointment from outside the Force will be made if there is a person inside the Force available and qualified for the appointment. Appeals from its recommended promotions and appointments will be considered by the Appeal Board. The Police Council functions will be to inquire into and report to the Minister upon such matters relating to pay or conditions of service in the Force as may be referred to the Council by the Minister, the Commissioner, or a service organization.

The Land Subdivision in Counties Amendment Act 1954 contains provisions preserving the equitable interest of a devisee in land, reducing from 4 to 3 perches the area to be set aside as reserves by subdividing owners, and requiring registration of notice of restrictions against use of land in scheme plans.

The Rural Intermediate Credit Amendment Act 1954 increases the limit of the amount which may be lent by a Co-operative Rural Intermediate Credit Association to a shareholder from £2,000 to £3,000.

The Counties Amendment Act 1954 makes miscellaneous amendments to the principal Act. Where a new county is formed by union of two or more counties, the Council by special order may resolve that general rates for a period of not more than five years are to be levied separately in each of former counties as if they were ridings of the new county, or where any former county rated on each of its ridings separately on that system in the new county; if no resolution is made, general rates are to be levied on the county as a whole. Separate rates and special works rates may be made by special order without a prior petition or a poll of ratepayers unless at least 5 per cent of ratepayers of the riding or portion of county concerned require a poll. Dwellinghouses being purchased from County Councils under agreement for sale and purchase are permitted to be settled as joint family homes under the Joint Family Homes Act 1950. Powers in respect of dangerous, deserted, ruinous, or dilapidated buildings similar to those possessed by Borough Councils are conferred on County Councils. County townships are in future to be known as county towns. County Councils are authorized to acquire and subdivide for housing purposes any land in the county, not only in county towns.

The Taupo County Act 1954 brings the Counties Act 1920 into force in Taupo County, and provides for the establishment of local government in the county pending the first election of a County Council; in the meantime the county will be administered by a County Commissioner.

The Land Amendment Act 1954 provides that State housing land may be declared to be Crown land or set apart as reserves, authorizes the cancellation of instruments of title for private land and Maori land acquired by the Crown under former Land Acts, for amendments to pipe-line easements, for provisional description of boundaries in leases and licences, and for the lessee or licensee under a pastoral lease or licence to be entitled to compensation for the value of the unexpired term when land is resumed.

The Apple and Pear Marketing Amendment Act 1954 provides that two members of the Board are also to represent the interests of consumers; authorizes the Board to acquire land, buildings, and equipment, and dispose of property; empowers the Board to make advances to growers in respect of fruit not immediately ready for purchase by the Board and to enter into agency agreements with other persons or bodies engaged in the production, marketing, or distribution of primary products; provides that so much of annual profit as is required to increase the reserve fund to £1 million will be transferred to the fund, and of the remaining profit 25 per cent to be distributed to growers and 75 per cent to reserve fund until the fund reaches £1¼ million, when the profit is to be divided equally between the two; provides that the average price is to be the same as the standard cost of production; and increases the unauthorized expenditure limit to £100.

The Wool Commission Amendment Act 1954 prescribes a limit of £27½ million to the Commission's capital funds, the limit to be proportionately increased if the quantity of greasy and scoured wool produced exceeds the quantity produced in the 1953–54 season, but not to be reduced if production falls. Any surplus funds are to be paid into a special reserve account to be expended on purposes agreed on by the Minister of Agriculture and the Wool Board, after consultation with the Minister of Finance, as being beneficial to the wool-growing industry. When the capital funds are less than the prescribed limits, there will be no transfers to the special reserve account. The Wool Commission is to make payments to the Wool Board amounting annually to the total amount of the levy on wool charged under the Wool Industry Act 1944—i.e., in effect the levy on growers will be at half the rates that would otherwise apply.

The Medical Amendment Act 1954 adopts the provisions of the Corneal Grafting Act 1952 (U.K.). The eyes of any person may, at his own request or with the consent of his surviving relatives, be used after his death, by surgical grafting, to restore the sight of another. The Act extends also to the use of other tissues for similar therapeutic purposes. It also authorizes on the like request or consent post mortem examinations by specially licensed medical practitioners for the purposes of medical research or the teaching of pathology.

The Stock Amendment Act 1954 makes special provision for the control of the outbreak of the disease known as scrapie, including removing the time limit of three months, giving power to destroy infected stock, and for veterinary surgeons to give notice of diseased stock.

The Stock Remedies Amendment Act 1954 grants a right of appeal to a Magistrate against any refusal by the Stock Remedies Registration Board to register any stock remedy or to approve any label or advertisement. Restrictions of references in the latter are confined to references to registration under the principal Act.

The Merchandise Marks Act 1954 like the Patents, Designs, and Trade Marks Acts of 1953, is consequential on the Commission which inquired into the law of New Zealand on these matters. The Act consolidates with minor amendments the provisions of former legislation. Either imported or New Zealand made goods of any specified class may be required by Order in Council to bear an indication of origin. Penalties are prescribed for removal of marks or failure to mark.

The Friendly Societies Amendment Act 1954 increases from £750 to £1,000 the maximum amount of the assurance benefit that friendly societies may grant to their members.

The Superannuation Amendment Act 1954 provides for increases in the retiring allowances of Government superannuitants where the allowances are based on a salary of less than £600 a year. The minimum subsidy is increased from £3 15s. to £5 for each year of service, though the existing maximum is to remain. A retiring allowance is to be computed on the contributor's annual salary for the last three years of service (or on Railways Fund contributor's annual pay) instead of the normal five years where this would increase the portion of the retiring allowance provided by the contributor to an amount not exceeding £150.

The Defamation Act 1954 amends the law of libel and slander by adopting some of the provisions of the Defamation Act 1952 (U.K.). It goes further than that Act by abolishing the distinction between libel and slander. It also consolidates all the existing statutory enactments relating to the law of libel and slander, except certain sections of the Crimes Act 1908 relating to defamatory libel and criminal defamation. The Act does not contain the whole of the law of defamation, which has its origin in the common law and has been affected by statute to a comparatively minor degree. References in the Act to words are to include pictures, visual images, gestures, and other methods of signifying meanings.

The Quarries Amendment Act 1954 provides that, where conditions require special knowledge or skill on the part of the manager, the manager may be required to have additional qualifications; provides for the establishment of Courts of Inquiry to investigate serious accidents in quarries and the conduct of holders of quarry managers' certificates, for cancellation or suspension of certificates and appeals to the Supreme Court therefrom; makes additional rules for the handling of explosives during tunnelling operations and for modification of safety rules in certain cases; requires the reporting to an Inspector of any accident rendering a workman unfit for work; and amends the Act in other respects, including the extension of regulations-making provisions and empowering an Inspector to prohibit operations in a quarry where conditions may lead to others dangerous to life.

The Rating Amendment Act 1954 makes miscellaneous amendments to the Rating Act 1925, including raising the minimum general rate to 5s.; enables the Valuer-General to be appointed valuer where the annual-value rating system is in force; extends the power to remit or postpone rates to public reserves, public libraries, land held by local authorities, etc.; authorizes local authorities to postpone rate payment where this would cause serious hardship to the occupier; provides for an alternative and simpler method of selling or letting abandoned properties; and for no claims to be lodged for charging orders for rates on Maori land until rates amount to £3 or more.

The Local Authorities (Members' Contracts) Act 1954 consolidates with amendments the law relating to restrictions on the making of contracts by local authorities and public bodies with their members. The Act preserves the principles of the existing law, but increases the amounts which may be paid under contracts without disqualification of the members concerned, and contains special provisions relating to sub-contracts. The maximum amount payable under any one contract without disqualification is raised from £50 to £200, the aggregate amount in any one year from £250 to £500, and the aggregate in special cases with the approval of the Audit Office from £250 to £1,500. The same limits are now applied to sub-contracts as apply to the head contract.

The Criminal Justice Act 1954 reforms the law relating to probation and borstal training and provides new methods (in place of reformative detention and alternative to imprisonment) of dealing with offenders. The Act replaces the Offenders Probation Act 1920, and most of the Crimes Amendment Act 1910, and the Prevention of Crime (Borstal Institutions Establishment) Act 1924. The provisions of the Act relating to the period of probation, the detention of young persons in detention centres, borstal training, corrective training, and preventive detention, and some other provisions have been adapted with modifications from the Criminal Justice Act 1948 (U.K.) and the Prison Act 1952 (U.K.). Part I of the Act deals with probation, and includes giving the Court power to fine an offender when releasing him on probation, or, if sentenced to imprisonment for less than a year, it may order that he be on probation for any period not exceeding one year after release from prison. Part II relates to young offenders, and includes provisions that no one under twenty-one is to be imprisoned or sentenced to detention by any Court unless in its opinion his character and personal history and all the circumstances of the case require it; for those between seventeen and under twenty-three convicted of offences punishable by imprisonment the Court may impose a sentence of four months in a detention centre; for those between seventeen (in special cases fifteen) and under twenty-one a convicted offender may be given a sentence of borstal training with no period fixed by the Court, but will be detained in the institution for a period not exceeding three years, to be determined by the Parole Board. Part III relates to corrective training for those not less than twenty-one and under thirty (in special cases thirty-five), under certain conditions, and also provides for sentences of preventive detention which may only be imposed by the Supreme Court and only on a person at least twenty-five years old, under specified conditions. Part IV relates to cumulative and concurrent sentences, Part V to releases and subsequent supervision of offenders, and Part VI to miscellaneous provisions.

The Penal Institutions Act 1954 consolidates and amends the law relating to prisons and borstal institutions formerly contained in the Prisons Act 1908, the Prevention of Crime (Borstal Institutions Establishment) Act 1924, and their enactments. Some new provisions are based on the Prisons Act 1952 (U.K.). Amendments provide for the establishment of detention centres; the appointment of classification committees to advise on the training and treatment of inmates; power for the Secretary of Justice, under Ministerial authority, to direct the temporary release of an inmate on parole in special circumstances; power for the granting of a partial remission of a term of imprisonment (except life imprisonment) up to one-fourth of the term, on the ground of good conduct and industry, but without limiting the Royal prerogative of mercy; power for the Superintendent of any institution to deal with certain offences against discipline in his institution, subject to the inmates' right of appeal to a visiting Justice; and power for any Magistrate to exercise the jurisdiction of a visiting Justice to deal with offences against discipline by inmates.

The Stamp Duties Act 1954 consolidates the Stamp Duties Act 1923 and its amendments. It also provides for the payment by the Inland Revenue Department of interest at 4 per cent on any refund above £1 made as the result of an appeal against assessment of duty; for a fine not over £30 for a company if transfers of shares or debentures are registered before duly stamped; where transfer of shares is stamped and it includes any rights to other shares, the subsequent transfer to vest the rights or the other shares in the transferee is to be charged at the rate of 1s. 3d. only; for no stake duty to be paid at a race meeting where a totalizator is not used and stake money is not over £100.

The Navy Act 1954 consolidates and amends the Naval Defence Act 1913 and amendments. The main provisions are on the same lines as those of the New Zealand Army Act 1950 and the Royal New Zealand Air Force Act 1950, but the Act does not contain the whole of the statutory law relating to the New Zealand Naval Forces, as the Naval Discipline Act (U.K.) is still to apply except as modified by this Act or by regulations. Part I relates to Constitution of New Zealand Naval Forces, Part II to Administration, Part III to Service of Officers and Ratings, Part IV to Discipline, Part V to Civil Offences, Part VI to Attachments and Transfers between the Services and between New Zealand and other Forces, and Part VII to Miscellaneous.

The War Pensions Act 1954 consolidates the War Pensions Act 1943 and amendments, and also incorporates the War Pensions and Allowances (Mercantile Marine) Act 1940 and amendments. The term “dependant" has been defined so as to include the parents of a male member of the Forces in every case, without proof of pre-service dependency, and the eligibility of dependants is to be based on the expectation of pecuniary benefit from the member, instead of actual dependency at some time within the year preceding the commencement of his service. The grounds for payment of pensions have been extended to include overseas service not only in time of war, but also in connection with United Nations emergencies and other emergencies, thus including service being rendered in Korea, Malaya, and Cyprus. The actual rates of pensions for widowed mothers will be at the discretion of the Board, the provision for fixed minimum rates being omitted from the Act. A section also enables the Governor-General in Council to extend Part IV (Mercantile Marine Pensions) and Part V (Emergency Reserve Corps Pensions) to any future war.

The Health Amendment Act 1954 provides that local authorities may (and must if required) provide facilities for carrying out in mortuaries post mortem examinations required under the Coroners Act 1951 or other Acts, and deletes scarlet fever from the list of notifiable infectious diseases.

The Education Amendment Act 1954 protects for two years the position and salary of teachers in cases where single sex schools are established from other classes of post-primary schools, amplifies the existing provisions regarding travelling allowances and expenses of members of Education Boards and of Boards of secondary schools and technical schools, and enables the Minister in certain cases to transfer the control of a secondary school to of from the governing body of another secondary school.

The Local Legislation Act 1954 confers certain powers on certain public bodies and validates certain transactions.

The Reserves and Other Lands Disposal Act 1954 provides for the sale, reservation, and other disposition of certain reserves, Crown lands, endowments, and other lands, validates certain transactions, and makes provision in respect of certain other matters.

The Maori Purposes Act 1954 amends the law relating to Maoris and Maori land, confers jurisdiction upon the Maori Land Court, and confers powers for other miscellaneous purposes.

The Maori Vested Lands Administration Act 1954 provides for the continued administration by the Maori Trustee of certain Maori lands commonly known as the vested lands and settles various questions concerning the rights of the lessees and the owners of the lands. The main provisions of the Act are based upon recommendations made in the report of the Royal Commission appointed to inquire into matters affecting the lands concerned.

The Coroners Amendment Act 1954 enables inquests to be held where persons are known to have died but the bodies of all such persons have not been recovered or identified.

The Offenders Legal Aid Act 1954 is in substitution for the Poor Prisoners' Defence Act 1913 and amendments and certain provisions of the Criminal Appeal Act 1945. The effect of the Act is that legal aid may be granted by the Court, in respect of any stage of any criminal proceedings, to any person charged with or convicted of an offence.

The Emergency Regulations Amendment Act 1954 extends the duration for a further year of the following Emergency Regulations: Coal Mines Council (1940), Earthquake Damage (1942), Finance (1940), Local Authorities (Temporary Housing) (1944), Patents, Designs, Trade Marks, and Copyright (1940), Soldiers' Wills (1939), and Emergency Regulations Revocation Orders (1945) and No. 7 (1947).

The Primary Products Marketing Regulations Confirmation Act 1954 confirms regulations made under Primary Products Marketing Act 1953.

The Agricultural Emergency Regulations Confirmation Act 1954 validates and confirms regulations made under the Agriculture (Emergency Powers) Act 1934.

The Mental Health Amendment Act 1954 provides for the licensing of short-stay homes maintained by any incorporated society for the reception and care of intellectually handicapped persons, and authorizes the reception in any licensed home of any such person for a period not exceeding two months at any one time; validates the establishment of two hostels now being conducted for intellectually handicapped children; and alters the short title of the principal (and amending Acts) to the Mental Health Act 1911.

The Land and Income Tax Act 1954 consolidates the Land and Income Tax Act 1923 and its Amendments, but makes no substantial change in the law.

The National Provident Fund Amendment Act 1954 authorizes accounts outside New Zealand, the Board to act as Sinking Fund Commissioner, and for the delegation of powers by the Superintendent. Provision is made for the increase in pension limits to £10 a week; giving discretion to the Board as to the amount by which an incapacity allowance is to be reduced in cases where the income of a beneficiary during incapacity exceeds £6 a week; extending the power of Governments of Western Pacific possessions to contribute; and for international organizations to become contributors on behalf of employees.

The Social Security Amendment Act 1954 increases the rates of the various benefits retrospective to 1 January 1954, provides that benefits for deserted wives may be continued after divorce, and increases rates of monetary benefits in respect of period 15 September 1953 to 31 December 1953. Other sections re-enact separately the provisions relating to payments in respect of hospital treatment afforded by Hospital Boards, private hospitals, and in institutions; provides for regulations to be made prescribing payments in respect of benefits; and for the assessment of banking companies for the social security charge.

The Transport Amendment Act 1954 provides that invalid carriages will not come under the provisions of the principal Act relating to motor vehicles, for station wagons used for private purposes to be liable to same licence fee as motor cars, the reduction of registration and licence fee for a power cycle to £1 each, and for the maximum penalty for driving a motor vehicle while disqualified to be imprisonment for a term of three months or a fine of £100.

The Labour Department Act 1954 consolidates the Labour Department Act 1908 and its amendments and also incorporates the Employment Act 1945. It provides for the constitution of the Department of Labour and includes in its functions those formerly exercised by the National Employment Service, which is to be merged in the Department of Labour and will cease to exist as a separate Department.

The Industrial Conciliation and Arbitration Act 1954 consolidates the 1925 Act and its amendments, but makes no substantial change in the law. Changes made include the power of altering and redefining industrial districts, reducing the maximum notice required for resigning from a union to two weeks, providing rules for payment of advance subscriptions for up to one year, increasing the maximum fine for failure to keep records and exhibit notices from £5 for each offence to £2 for every day on which the default occurs, and omitting certain provisions so that the law as to attachment of wages to enforce a judgment for a penalty will be the same as for other judgments of a Magistrate's Court. The two years allowed for recovering the retrospective increase in wages will run from the date of the award or agreement granting the increase, and the provisions requiring the Court of Arbitration to fix a basic wage are omitted.

The Auckland University College Act 1954 consolidates and amends the 1882 Act and its amendments, and follows in general outline the Victoria University College Act and the Canterbury University College Act, both of 1933, and the Massey Agricultural College Act 1952. Most of the changes made affect the form rather than the substance of the legislation.

The Local Government Loans Board Amendment Act 1954 gives the Local Government Loans Board authority to determine the terms and conditions of loans raised by local authorities and, with the approval of the Minister of Finance, to vary them from time to time. This eliminates specifying terms and conditions in the consenting Order in Council and the issue of amending Orders in Council when conditions are varied. The Commissioner of Works is made a member of the Board, and powers delegated by the Board to the Secretary of the Treasury are to be exercised only for giving effect to a local authority application for variation, etc., to the determinations of its loan.

The Municipal Corporations Amendment Act 1954 consolidates the 1933 Act and amendments and the Town Boards Act 1908 and amendments. The Act simplifies the application of provisions to town districts by having one Act applying equally to boroughs and town districts, except where express direction appears to the contrary. The Act contains few amendments of a substantial character relating to cities and boroughs, in the main consolidating existing law. So far as town districts are concerned, the most important changes are in the application to them of those provisions of the Municipal Corporations Act 1933 and its amendments which have not at present applied to them. The Act also provides for a change in the designation of Town Boards, which are in future to be known as Town Councils, and the members of these to be known as Councillors. The minimum population necessary to constitute any area as a borough is increased from 1,000 to 1,500, while no area is to be constituted a new town district unless it has a minimum population of 500, in both cases with the proviso that the proposed borough or town district has an average density of at least one person to the acre. All new town districts constituted in the future will be constituted as independent town districts. A new provision in the Act gives all electors as well as ratepayers the right to inspect the accounts. Councils are authorized to transfer or lease to the Crown for the purposes of a public reserve or for any other public purpose any land vested in the Corporation and not held in trust for any particular purpose. The maximum amount to be lent for any dwelling-house for which the Council may grant financial assistance is increased from £2,020 to £2,222. The provision for the sale of building allotments for the cost price plus development costs is omitted and in lieu the proceeds are to be applied in payment of administrative charges and acquisition and development costs, any profits to be applied in acquiring and developing other land for housing. The general penalty for offences against the Act is increased from £20 to £50, and prosecutions may be brought within twelve months instead of six months.

The Child Welfare Amendment Act No. 2 1954 provides that children who are guilty of indecent behaviour may be dealt with by the Children's Court as delinquent children, and that the parents or guardian of a delinquent child, or of a child charged with an offence, may be required to attend with the child before the Children's Court.

The Indecent Publications Amendment Act 1954 amends the principal Act so as to extend the definition of the term “indecent document”, and provides for the registration of distributors of printed matter. In addition to re-enacting the existing provisions setting out the matters to be taken into consideration in determining whether any document is indecent, a new section defines a document to be indecent if it tends to deprave persons of any class or age group, notwithstanding that persons of other classes or age groups may not be similarly affected. Subject to these considerations a document shall be deemed to be indecent if it unduly emphasizes matters of sex, horror, crime, cruelty, or violence, this section being additional to the present section 6 of the principal Act.

The Police Offences Amendment Act 1954 makes it an offence to sell or give or otherwise dispose of a contraceptive to a child under sixteen, or to offer to do any of those things. It also makes it an offence to instruct or persuade any child under sixteen to use any contraceptive, or to attempt to do either of those things. It also makes it an offence for a child under sixteen to procure or attempt to procure a contraceptive, knowing its purpose.

The Soil Conservation and Rivers Control Amendment Act 1954 amplifies and re-enacts the provisions relating to the general classification of lands for the purpose of Catchment Board rates; makes it clear that the power of a Magistrate is restricted to confirming or amending the classification list and does not include the power of rejecting the list wholly; amplifies the provisions relating to schemes of works to be prepared by Boards and approved by the Minister and the Council; and refers the final scheme for the constitution of Marlborough Catchment District back to the Local Government Commission for review.

The Pharmacy Amendment Act 1954 removes pharmacies from the licensing provisions of the Industrial Efficiency Act 1936. Certain restrictions are imposed on companies establishing pharmacies, and other restrictions are imposed on the carrying on of more pharmacies than one and the carrying on of pharmacies in conjunction with other businesses. Apart from these provisions, no restrictions will be placed on any person in the establishment and carrying on of a pharmacy. There is provision for the appointment of a Pharmacy Authority with functions of considering applications for consent to establish and carry on pharmacies when such consent is required. The Authority is to ensure, within the limits of its authority and as far as is consistent with the provision to the public of a full, efficient, and economic service in the supply of drugs and pharmaceutical goods, that pharmacies are carried on by independent chemists owning and operating their own pharmacies. A separate provision, having no relationship to the rest of the Act, provides for the exemption of certain drugs (magnesia, compound tablets of aspirin, certain travel-sickness remedies under specified conditions, etc.) from restrictions on sale.

The Tasman Pulp and Paper Company Enabling Act 1954 empowers the company to take such water as it requires for its undertaking from the Tarawera River and requires the company to discharge its trade wastes into the river. It will be required to take necessary steps to ensure that trade wastes are discharged in such manner and are of such a nature as to comply with any conditions imposed by the Pollution Advisory Council established under the Waters Pollution Act 1953. The company will be required to notify the Council of the general nature and volume of trade wastes proposed to be discharged by it and the Council will then notify the company of any conditions imposed by it. The owner of any land injuriously affected will be entitled to full compensation in accordance with the Public Works Act or, if not coming under that Act, he will have a common law right to damages. Provided compliance is made with the provision of this Act, the company will not be liable for prosecution under any Act relating to nuisance or pollution of waters, and will be exempt from the “offensive trades” provisions of the Health Act.

The National Roads Amendment Act 1954 amends the provisions relating to the amount of subsidies which will be payable on all rates (other than those levied for other local authorities) actually collected during the immediately preceding financial year, and for allocations of the proceeds of motor-spirits tax received by any borough during the 1953–54 financial year to be also taken into account in calculating the minimum subsidy payable to that Council. Subsidies must be kept in a separate roading account, and may be used to meet the annual charges on any existing or future loan raised for road-construction purposes.

The New Zealand University Amendment Act 1954 clarifies the powers of the Senate in connection with prescribing general courses of study and approving personal courses of study; provides for delegation of these powers to the Councils of the constituent colleges, and to the Council or Board of Governors of the agricultural colleges; and provides for the constitution of a Curriculum Committee which (acting under powers delegated to it by the Senate) will supervise and co-ordinate the exercise of the more important powers delegated to the college authorities.

The Public Works Amendment Act 1954 provides that the Minister or a local authority may take proceedings to determine compensation if the person entitled fails to make a claim; that land taken for a public work and not wanted may be sold, etc.; for co-ordination of works by local authorities; while other provisions relate to the formation of access ways and service lanes.

The Building Emergency Regulations Amendment Act 1954 continues in force till the end of 1955 the Building Emergency Regulations 1939 and the Supply Control Emergency Regulations 1939 and their amendments.

The Government Railways Amendment Act 1954 enables the Commission to declare appointments made before 23 November 1953 to be special promotions where the appointments were to positions which were not then subject to appeal, and provides that no member shall have a right of appeal against any appointment made before 23 November 1953 in respect of these special promotions.

The Shipping and Seamen Amendment Act 1954 enables the Superintendent of Mercantile Marine at the four main ports to engage seamen for ships at any port, provides that the New Zealand manning scale is not to apply to ships which do not proceed beyond extended river limits, brings the law into line with United Kingdom legislation as to the allowance to be made for engine-room space in certain ships, and substitutes “cargo" for “sand, shingle, firewood, or the produce or other goods of the owner” in the Schedule relating to the scale of officers for ships of 25 but under 60 tons plying to ports not served by a regular shipping service.

The Auckland Harbour Bridge Amendment Act 1954 enables the plans, specifications, and conditions of contract relating to the Auckland Harbour bridge to be completed in divisions, so that work may commence before complete plans and specifications relating to the whole project are prepared; and provides for amendments ensuring that any alterations made by the Authority to the original plans are brought to the notice of the Ministers concerned, and for no work to proceed on that part to which the alteration relates until it has been approved by the authorities concerned.

The Finance Act 1954 in Part I authorizes the Minister of Finance to acquire shares in a company (principal originating members being the Crown and the United Kingdom Atomic Energy Authority) to be formed for the production of heavy water and geothermal energy; enables the Minister of Finance to authorize any person to perform any of the powers, duties, or functions of the High Commissioner in the United Kingdom as a joint Loan Agent in the absence of the High Commissioner or where none is in office; validates the general increase of salaries of Government servants of 15 September 1953; ensures that sports grounds do not receive a double rebate of land tax from section 43 of the Valuation of Land Act 1951; provides for special compensation in connection with the outbreak of scrapie disease; increases the salaries of Judges, etc., as follows: Judges of Supreme Court to £3,500 a year for the Chief Justice and £3,000 for other Judges, Judge of Court of Arbitration (present holder) £3,000, Judge of Land Valuation Court (present holder) £3,000, other £2,500, Judge of Compensation Court £2,500, Local Government Appeal Authority £2,500, Magistrates £1,800, Judges of Maori Land Court to £1,800 (Chief Judge), and £1,700 other Judges, Controller and Auditor-General £2,200; removes the limitation on the amount of the Depreciation Reserve; and provides that deficiencies in amounts set aside in each financial year to reduce the capital liability of the Electric Supply Account are not required to be made good out of money in the Reserve Fund or surplus profits in future years. Part II relates to Customs duties and sales tax and provides that each part shall be classed under the same heading of the Tariff as the complete article unless the Minister directs otherwise; enables the Minister to lay down conditions under which motor vehicles are admitted as “other effects” of passengers' baggage and effects; and gives effect to the additional exemptions from sales tax provided for by House of Representatives Resolutions in 1954. Part III provides for the liability for social security charge of companies engaged in mining for gold, etc., and validates increased rates of war pensions and allowances from 15 September 1953. Part IV provides for the assessment of film renters for income tax and social security charge and that the net receipts of film renters (on which film-hire tax is payable) shall be found by deducting 40 per cent from gross receipts (in lieu of deducting all expenses and 12½ per cent of gross receipts), while returns are to be made quarterly instead of monthly. Part V provides that a bare majority for all classes of local authorities is required to carry a loan proposal submitted to a roll of ratepayers, authorizes certain local authorities to expend money in connection with Southland centennial celebrations, and validates excess overdrafts of local authorities as a result of the 1953 general wage increase. Part VI deals with miscellaneous provisions and includes the repeal of the Iron and Steel Industry Act 1937 and the Land Transfer (Foreign Governments) Act 1945; authorizes the Armed Forces Canteen Council to acquire land and buildings for office and store accommodation and dwellinghouses for staff and to grant tenancies of these buildings; empowers the Meat Producers Board to make advances and give guarantees to societies engaged in the meat export business and validates a compassionate grant made by the Board; while other sections relate to the salary or service for superannuation purposes of the former Judge of the Compensation Court and the additional Judge of the Court of Arbitration respectively.

Chapter 45. SECTION 45—OFFICIAL

GOVERNOR-GENERAL OF NEW ZEALAND

His Excellency Lieutenant-General Sir Charles Willoughby Moke Norrie, G.C.M.G., G.C.V.O., C.B., D.S.O., M.C.

Military Secretary—Lieutenant-Colonel J. B. Harrison, O.B.E., N.Z. Regiment.

Official Secretary—D. E. Fouhy, Esq., C.V.O., C.B.E.

Aides-de-Camp—Captain J. D. Trotter, 11th Hussars; Lieutenant M. R. G. Muschamp, R.N.Z.N. Honorary Aides-de-Camp—

  • Naval: Commander A. B. Gilfillan, V.R.D., R.N.Z.N.; Commander L. B. Carey, R.N.Z.N.; Commander R. L. Laurenson, V.R.D., R.N.Z.N.V.R.; Commander D. L. Millar, V.R.D., R.N.Z.N.V.R.

  • Military: Lieutenant-Colonel A. B. Burden, D.S.O., E.D., R.N.Z. Infantry; Lieutenant-Colonel R. B. Dawson, D.S.O., N.Z. Regiment; Lieutenant-Colonel G. L. Falck, M.B.E., E.D., R.N.Z.A.; Lieutenant-Colonel G. A. Murray, E.D., R.N.Z. Infantry.

  • Air: Squadron Leader J. N. Trolove, A.F.C., R.N.Z.A.F.; Squadron Leader G. R. B. Highet, D.F.C., A.F.C., R.N.Z.A.F.; Squadron Leader E. C. Gartrell, O.B.E., D.F.C., R.N.Z.A.F.; Wing Commander P. P. O'Brien, O.B.E., R.N.Z.A.F.

Honorary Physician—Wing Commander J. A. Keeling, M.B., Ch.B., M.R.C.P. (Lond.), M.R.A.C.P., R.N.Z.A.F. Active Reserve.

Honorary Surgeon—Lieutenant-Colonel F. L. Hutter, M.B., Ch.B., F.R.C.S. (Eng.), F.R.A.C.S., R.N.Z.A.M.C.

(His Excellency assumed office on 2 December 1952)

For details of previous vice-regal representatives reference should be made to various issues of the Year-Book, while a complete list of the earlier vice-regal representatives will be found in the 1931 issue (pp. 59–60).

SUCCESSIVE MINISTRIES AND PREMIERS

SINCE THE ESTABLISHMENT OF RESPONSIBLE GOVERNMENT IN NEW ZEALAND IN 1856

Name of MinistryName of PremierAssumed OfficeRetired
1. Bell-SewellHenry Sewell7 May 185620 May 1856
2. FoxWilliam Fox20 May 18562 June 1856
3. StaffordEdward William Stafford2 June 185612 July 1861
4. FoxWilliam Fox12 July 18616 Aug. 1862
5. DomettAlfred Domett6 Aug. 186230 Oct. 1863
6. Whitaker-FoxFrederick Whitaker30 Oct. 186324 Nov. 1864
7. WeldFrederick Aloysius Weld24 Nov. 186416 Oct. 1865
8. StaffordEdward William Stafford16 Oct. 186528 June 1869
9. FoxWilliam Fox28 June 186910 Sept. 1872
10. StaffordEdward William Stafford10 Sept. 187211 Oct. 1872
11. WaterhouseGeorge Marsden Waterhouse11 Oct. 18723 Mar. 1873
12. FoxWilliam Fox3 Mar. 18738 April 1873
13. VogelJulius Vogel, C.M.G.8 April 18736 July 1875
14. PollenDaniel Pollen, M.L.C.6 July 187515 Feb. 1876
15. VogelSir Julius Vogel, K.C.M.G.15 Feb. 18761 Sept. 1876
16. AtkinsonHarry Albert Atkinson1 Sept. 187613 Sept. 1876
17. Atkinson (reconstituted)Harry Albert Atkinson13 Sept. 187613 Oct. 1877
18. GreySir George Grey, K.C.B.15 Oct. 18778 Oct. 1879
19. HallJohn Hall8 Oct. 187921 April 1882
20. WhitakerFrederick Whitaker, M.L.C.21 April 188225 Sept. 1883
21. AtkinsonHarry Albert Atkinson25 Sept. 188316 Aug. 1884
22. Stout-VogelRobert Stout16 Aug. 188428 Aug. 1884
23. AtkinsonHarry Albert Atkinson28 Aug. 18843 Sept. 1884
24. Stout-VogelSir Robert Stout, K.C.M.G.3 Sept. 18848 Oct. 1887
25. AtkinsonSir Harry Albert Atkinson, K.C.M.G.8 Oct. 188724 Jan. 1891
26. BallanceJohn Ballance24 Jan. 18911 May 1893
27. SeddonRt. Hon. Richard John Seddon1 May 189321 June 1906
28. Hall-JonesWilliam Hall-Jones21 June 19066 Aug. 1906
29. WardRt. Hon. Sir Joseph George Ward, Bart., K.C.M.G.6 Aug. 190628 Mar. 1912
30. MackenzieThomas Mackenzie28 Mar. 191210 July 1912
31. MasseyRt. Hon. William Ferguson Massey10 July 191212 Aug. 1915
32. NationalRt. Hon. William Ferguson Massey12 Aug. 191525 Aug. 1919
33. MasseyRt. Hon. William Ferguson Massey25 Aug. 191914 May 1925
34. BellHon, Sir Francis Henry Dillon Bell, G.C.M.G., K.C.14 May 192530 May 1925
35. CoatesRt. Hon. Joseph Gordon Coates, M.C.30 May 192510 Dec. 1928
36. WardRt. Hon. Sir Joseph George Ward, Bart., G.C.M.G.10 Dec. 192828 May 1930
37. ForbesRt. Hon. George William Forbes28 May 193022 Sept. 1931
38. CoalitionRt. Hon. George William Forbes22 Sept. 19316 Dec. 1935
39. LabourRt. Hon. Michael Joseph Savage6 Dec. 19351 April 1940
40. LabourHon. Peter Fraser1 April 194030 April 1940
41: LabourRt. Hon. Peter Fraser, C.H.30 April 194013 Dec. 1949
42. HollandRt. Hon. Sidney George Holland, C.H.13 Dec.1949

EXECUTIVE COUNCIL, FEBRUARY 1955

His Excellency the GOVERNOR-GENERAL

Rt. Hon. S. G. HOLLAND, C.H., Prime Minister, Minister of Police, and Minister in Charge of Legislative Department and Audit Office.

Rt. Hon. K. J. HOLYOAKE, Deputy Prime Minister, and Minister of Agriculture.

Hon. W. SULLIVAN, Minister of Labour, Minister of Mines, Minister of Housing, and Minister in Charge of State Advances Corporation.

Hon. R. M. ALGIE, Minister of Education, and Minister in Charge of Broadcasting, and of Department of Scientific and Industrial Research.

Hon. E. B. CORBETT, Minister of Lands, Minister of Maori Affairs, and Minister in Charge of State Fire Insurance Office, Government Life Insurance Office, and Earthquake and War Damage Commission.

Hon. W. S. GOOSMAN, Minister of Works, Minister of Transport, and Minister in Charge of State Hydro-electric Department.

Hon. T. L. MACDONALD, Minister of Defence, Minister of External Affairs, Minister of Island Territories, and Minister in Charge of War Pensions.

Hon. J. T. WATTS, Minister of Finance, and Minister in Charge of Census and Statistics Department.

Hon. J. R. MARSHALL, Attorney-General, Minister of Justice, and Minister in Charge of Electoral Department and Publicity and Information.

Hon. Mrs G. H. ROSS, Minister for the Welfare of Women and Children, and Minister in Charge of Child Welfare Department.

Hon. S. W. SMITH, Minister of Internal Affairs, Minister of Forests, and Minister in Charge of Valuation Department.

Hon. D. J. EYRE, Minister of Industries and Commerce, Minister of Customs.

Hon. E. H. HALSTEAD, Minister Assistant to the Prime Minister, Minister of Social Security, and Minister in Charge of Tourist and Health Resorts, National Provident Fund Department, and Government Superannuation Fund.

Hon. J. R. HANAN, Minister of Health, Minister of Immigration, and Minister in Charge of Friendly Societies Department, and Public Trust Office.

Hon. J. K. MCALPINE, Minister of Railways, Minister of Marine, and Minister in Charge of Government Printing and Stationery Department.

Hon. T. P. SHAND, Postmaster-General and Minister of Telegraphs, and Minister in Charge of Rehabilitation and Civil Aviation.

Clerk of the Executive Council—T. J. Sherrard, O.B.E., M.S.M., J.P.

HOLLAND MINISTRY, FEBRUARY 1955

(Assumed Office, 13 December 1949)

Name and OfficeFromTo

*Deceased

Rt. Hon. Sidney George Holland, C.H.—  
Prime Minister13 December 1949..
Minister of Finance13 December 194926 November 1954
Rt. Hon. Keith Jacka Holyoake—  
Minister of Agriculture13 December 1949..
Minister of Marketing13 December 194930 April 1953
Hon. William Sullivan—  
Minister of Labour13 December 1949..
Minister of Employment13 December 194926 November 1954
Minister of Mines13 December 1949..
Minister of Immigration13 December 194926 November 1954
Hon. Thomas Clifton Webb—  
Attorney-General13 December 194926 November 1954
Minister of Justice13 December 194926 November 1954
Minister of External Affairs19 September 195126 November 1954
Minister of Island Territories19 September 195126 November 1954
Hon. Ronald Macmillan Algie—  
Minister of Education13 December 1949..
Hon. Sir William Alexander Bodkin—  
Minister of Internal Affairs13 December 194926 November 1954
Minister of Social Security19 December 195026 November 1954
Hon. Charles Moore Bowden—  
Minister of Customs13 December 194926 November 1954
Minister of Industries and Commerce13 December 194919 December 1950
Minister of Stamp Duties13 December 19491 November 1952
Minister of Supply13 December 194919 December 1950
Hon. Sir Walter James Broadfoot, K.B.E.—  
Postmaster-General and Minister of Telegraphs13 December 194926 November 1954
Hon. Ernest Bowyer Corbett—  
Minister of Lands13 December 1949..
Minister of Forests13 December 194926 November 1954
Minister of Maori Affairs13 December 1949..
Hon. Sir Frederick Widdowson Doidge*  
Minister of External Affairs13 December 194931 August 1951
Minister of Island Territories13 December 194931 August 1951
Hon. William Stanley Goosman—  
Minister of Works13 December 1949..
Minister of Transport13 December 1949..
Minister of Railways13 December 194926 November 1954
Minister of Marine13 December 194926 November 1954
Hon. Thomas Lachlan Macdonald—  
Minister of Defence13 December 1949..
Minister of Rehabilitation13 December 194926 November 1954
Minister of External Affairs26 November 1954..
Minister of Island Territories26 November 1954..
Hon. Jack Thomas Watts—  
Minister of Social Security13 December 194919 December 1950
Minister of Health13 December 194919 September 1951
Minister of Industries and Commerce19 December 195026 November 1954
Minister of Supply19 December 195026 November 1954
Minister of Finance26 November 1954..
Hon. John Ross Marshall—  
Minister of Health19 September 195126 November 1954
Attorney-General26 November 1954..
Minister of Justice26 November 1954..
Hon. Sidney Walter Smith—  
Minister of Internal Affairs26 November 1954..
Minister of Forests26 November 1954..
Hon. Dean Jack Eyre—  
Minister of Industries and Commerce26 November 1954..
Minister of Customs26 November 1954..
Hon. Eric Henry Halstead—  
Minister of Social Security26 November 1954..
Hon. Josiah Ralph Hanan—  
Minister of Health26 November 1954..
Minister of Immigration26 November 1954..
Hon. John Kenneth McAlpine—  
Minister of Railways26 November 1954..
Minister of Marine26 November 1954..
Hon. Thomas Philip Shand—  
Postmaster-General and Minister of Telegraphs26 November 1954..

Parliamentary Under-Secretaries

No further appointments were made following on the resignations on 26 November 1954 of Sidney Walter Smith, Esquire, from the office of Parliamentary Under-Secretary in relation to the office of the Minister of Finance, and of Edgar Rollo Neale, Esquire, O.B.E., from the office of Parliamentary Under-Secretary in relation to the offices of the Minister of Customs, Minister of Industries and Commerce, and Minister in Charge of the Inland Revenue Department.

HOUSE OF REPRESENTATIVES

ROLL OF MEMBERS OF THE HOUSE OF REPRESENTATIVES, FEBRUARY 1955

Speaker—Hon. Sir MATTHEW ORAM, M.B.E. Chairman of Committees—CYRIL GEOFFREY EDMUND HARKER. Clerk of the House—H. N. DOLLIMORE, LL.B.

NameElectoral District

*Government Member.

For European Electorates 
Aderman, E. P.*N. Plymouth.
Algie, Hon. R. M.*Remuera.
Anderton, W. T.Auckland Central.
Barnes, J. G., M.B.E.*St. Kilda.
Boord, R.Rotorua.
Carr, Rev. C. L.Timaru.
Connolly, P. G., D.S.C., V.R.D.Dunedin Central.
Cooksley, B. V., M.M.*Wairarapa.
Corbett, Hon. E. B.*Egmont.
Cotlerill, J. B. F.Wanganui.
Davey, A. J.*Waimate.
Deas, J. M.Otahuhu.
Edwards, J. G.Napier.
Eyre, Hon. D. J.*North Shore.
Fox, W. A.Miramar.
Freer, W. W.Mount Albert.
George, J. H.*Central Otago.
Gerard, R. G.*Ashburton.
Gillespie, W. H.*Hurunui.
Goosman. Hon. W. S.*Waipa.
Gotz, F. L. A.*Manukau.
Hackett, F.Grey Lynn.
Halstead, Hon. E. H.*Tamaki.
Hanan, Hon. J. R.*Invercargill.
Harker, C. G. E.*Hawke's Bay.
Hayman, T. L.*Oamaru.
Herron, G. R.*Awarua.
Holland, Right Hon. S. G., C.H.*Fendaiton.
Holloway, P. N.Heretaunga.
Holyoake, Right Hon. K. J.*Pahiatua.
Howard, Miss M. B.Sydenham.
Hudson, W. A.Mornington.
Jack, R. E.*Patea.
Johnstone, H.*Raglan.
Keating, E. J.Hastings.
Keeling, R. A.Gisborne.
Kent, J. B.Westland.
King, N. J.Waitemata.
Kinsella, A. E.*Hauraki.
Kitts, F. J.Wellington Central.
Lake, H. R.*Lyttelton.
McAlpine, Hon. J. K.*Selwyn.
Macdonald, R.Ponsonby.
Macdonald, Hon. T. L.*Wallace.
Macfarlane, R. M., C.M.G.Christchurch Central.
McKay, D. N.*Marsden.
McLagan, Hon. A.Riccarton.
McMillan, Mrs. E. E.North Dunedin.
Maher, J. J.*Otaki.
Marshall, Hon. J. R.*Karori.
Mason, Hon. H. G. R., Q.C.Waitakere.
Massey, J. N.*Franklin.
Mathison, J.Avon.
May, H. L. J.Onslow.
Moohan, M.Petone.
Murray, T. T.*Stratford.
Nash, Right Hon. W.Hutt.
Neale, E. R., O.B.E.*Nelson.
Nordmeyer, Hon. A. H.Island Bay.
Oram, Hon. Sir Matthew, M.B.E.*Manawatu.
Rae, D. M.*Eden.
Rae, J.*Roskill.
Ross, Hon. Mrs G. H.*Hamilton.
Roy, J. A. McL., M.C.*Clutha.
Scott, W. J.*Rodney.
Seath, D. C.*Waitomo.
Shand, Hon. T. P.*Marlborough.
Shelton, N. L.*Rangitikei.
Sim, G. F.*Waikato.
Skinner, Hon. C. F., M.C.Buller.
Skoglund, P. O. S.Palmerston N.
Smith, Hon. S. W.*Hobson.
Sullivan, Hon. W.*Bay of Plenty.
Walsh, G. A.*Tauranga.
Watt, H.Onehunga.
Watts, Hon. J. T.*St. Albans.
For Maori Electorates 
Omana, T.Eastern Maori.
Paikea, T. P.Northern Maori.
Ratana, Mrs I. M.Western Maori
Tirikatene, Hon. E. T.Southern Maori.

PARLIAMENTARY SESSIONS

[For earlier Parliaments and sessions refer to pp. 59–60 of the 1930 and p. 986 of the 1940 editions of the Year-Book. On some occasions there have been long adjournments during sessions, without Parliament being prorogued.]

ParliamentDates of Opening of SessionsDates of ProrogationDates of Dissolution
Twenty-fourth23 February 193211 May 19321 Nov. 1935
22 September 193221 March 1933
21 September 193322 December 1933
28 June 193416 April 1935
29 August 193529 October 1935
Twenty-fifth25 March 193631 October 193620 Sept. 1938
9 September 193716 March 1938
28 June 193819 September 1938
Twenty-sixth27 June 19391 February 194030 Aug. 1943
30 May 194016 December 1940
12 March 194129 October 1941
11 December 194114 December 1942
23 February 194327 August 1943
Twenty-seventh22 February 194415 December 19444 Nov. 1946
27 June 19457 December 1945
26 June 194612 October 1946
Twenty-eighth24 June 19471 December 194723 Nov. 1949
22 June 19488 December 1948
28 June 194926 October 1949
Twenty-ninth27 June 19506 December 195027 July 1951
26 June 195118 July 1951
Thirtieth25 September 195112 December 19515 Oct. 1954
25 June 195230 October 1952
8 April 195324 December 1953
12 January 195414 January 1954
22 June 19544 October 1954
Thirty-first22 March 1955....

JUDICIARY

Judges of the Supreme Court and Court of Appeal.—Chief Justice: Right Hon. Sir Harold Eric Barrowclough, K.C.M.G., C.B., D.S.O., M.C., E.D. Puisne Judges: Hon. Sir George Finlay, K.B.; Hon. K. M. Gresson; Hon. J. Stanton; Hon. J. D. Hutchison; Hon. P. B. Cooke, M.C.; Hon. F. B. Adams; Hon. A. K. North; Hon. A. K. Turner; Hon. G. I. McGregor; Hon. W. P. Shorland; Hon. T. E. Henry.

  • Judges of the Court of Arbitration.—Hon. Sir Arthur Tyndall, K.B., C.M.G.; Hon. W. F. Stilwell.

  • Judge of Compensation Court.—Hon. D. J. Dalglish.

  • Judge of Land Valuation Court.—Hon. K. G. Archer.

HONOURS

Since the preceding issue of the Year-Book the following honours have been conferred by Her Majesty the Queen for services rendered in connection with New Zealand:

  • [(a) Signifies conferred in the Honours List of June 1954; (b) in January 1955.]

CIVIL DIVISION

Knight Commander of the Most Distinguished Order of Saint Michael and Saint George (K.C.M.G.)—Leslie Knox Munro (b).

Knight Commander of the Most Excellent Order of the British Empire (K.B.E.)

Major-General William Henry Cunningham, C.B.E., D.S.O. (b).

Knight Bachelor (K.B.)

The Honourable Mr Justice George Panton Finlay (b); David Henry (a); John Sutherland Ross, C.M.G. (a).

Companion of the Most Distinguished Order of Saint Michael and Saint George (C.M.G.)

E. C. Fussell (a); R. M. Macfarlane, M.P. (a).

Commander of the Most Excellent Order of the British Empire (C.B.E.)

E. H. R. Green (b); J. Grierson (a); A. G. Harper, C.V.O. (a); The Very Reverend Dr D. C. Herron, M.C. (a); R. A. C. Laidlaw, M.B.E. (b); Dr P. P. Lynch (a); S. L. Paterson (b); W. Yates (a).

Officer of the Most Excellent Order of the British Empire (O.B.E.)

Captain L. C. Boulton (a); Miss F. J. Cameron (a); W. D. Campbell (b); M. F. E. Cooney (a); V. C. Davies (a); M. Te R. A. Durie (b); F. W. Gilligan (b); C. K. Grierson (b); Miss M. E. Little (b); H. G. Livingstone (a); C. J. Lovegrove (a); J. Murray, J.P. (b); C. I. Nathan (a); G. J. Park (b); Dr A. G. Pitts (b); H. C. B. Withell (b).

Honorary Officer of the Most Excellent Order of the British Empire (O.B.E.)

The Right Reverend J. Darnand (b).

Companion of the Imperial Service Order (I.S.O.)

E. C. Adams (a); C. G. R. McKay (a).

Member of the Most Excellent Order of the British Empire (M.B.E.)

Colonel M. Aldred, V.D. (a); Mrs S. A. Barnicoat (b); J. E. Benson (a); Mrs E. M. W. Blackwell (a); J. Bruorton (b); Mrs J. H. Campbell (b); A. S. Carran, J.P. (b); E. I. Crossman (a); K. W. Dalrymple (a); J. I. Fraser (b); S. George (b); H. C. J. Gimblett (a); A. P. Greenfield, J.P. (b); E. Harding (b); F. M. Howell (a); J. D. Howitt (b); F. H. Judson, J.P. (b); S. J. Judd (a); Mrs M. M. Kelly (b); T. D. Lennie(b); Mrs I. McIntosh (a); A. J. McEldowney (a); Mrs H. L. Mason (a); Mrs M. Ngarimu (a); A. G. Nolan (a); Mrs E. Te T. T. Otene (b); Mrs N. M. Ross (a); A. H. Sivewright (b); W. P. Somerville (a); H. J. Stace (b); W. Stapleton (b); H. Sweney, J.P. (b); R. P. Tatana (a); J. M. Totich (a); Mrs M. H. Tripp (a); Mrs M. S. Walden (b); Mrs F. C. Waters (a); E. R. Webb (a); Mrs C. L. Weston (b); E. S. Wilson (b); Miss N. Wilson (a); C. A. Woolley (a).

MILITARY DIVISION

Companion of the Most Honourable Order of the Bath (C.B.)

Major-General W. G. Gentry, C.B.E., D.S.O. (a).

Commander of the Most Excellent Order of the British Empire (C.B.E.)

Group Captain R. W. K. Stevens (a); Captain F. E. Taylor, D.S.C., V.R.D. (b).

Officer of the Most Excellent Order of the British Empire (O.B.E.)

Squadron Leader the Reverend A. R. Allerton, M.C. (a); Commander H. L. Jenkins, D.S.C. (a); Acting Commander J. D. Keay, V.R.D. (b); Squadron Leader C. D. M. Kingsford (b); Lieutenant-Colonel W. A. T. McGuire (a); Lieutenant-Colonel W. D. Philp, D.S.O., E.D. (b).

Member of the Most Excellent Order of the British Empire (M.B.E.)

Flight Lieutenant G. T. Beban (a); Captain (Temporary Major) W. G. Dixon (b); Lieutenant (Temporary Captain) H. B. Fraser-Tytler (b); Chaplain, Third Class, F. J. Green (b); Flight Lieutenant B. I. F. Hall (a); Warrant Officer (Second Class) G. Te Hou (a); Major L. R. Musgrave (b); Captain F. R. C. Penn (a); Warrant Officer C. H. Perrett (b); Flight Lieutenant N. A. Spring-Rice (b); Senior Commissioned Gunner E. F. Standley (a); Warrant Officer L. W. Thompson (b); Captain and Quartermaster A. Wainwright (a); Warrant Officer, Class II (Temporary Warrant Officer, Class I), C. A. Walter (b); Lieutenant A. B. Wilkinson (b).

Bar to the Air Force Cross

Wing Commander R. F. Watson, A.F.C. (a).

Air Force Cross (A.F.C.)

Flight Lieutenant R. A. Mackinder (b).

British Empire Medal (B.E.M.)

Chief Electrical Artificer J. P. Badger (a); Leading Aircraftman R. H. Bennetts (a):, Sick Berth Chief Petty Officer W. Blake (a); Flight Sergeant W. S. C. Boyer (a); Flight Sergeant (W.A.A.F.) M. Burns (a); Chief Petty Officer Steward R. G. Coley (a); Sergeant F. W. Diment (a); Chief Petty Officer A. W. Gray (a); Petty Officer E. M. Hancock (b); Chief Petty Officer Telegraphist R. A. Haynes (a); Sergeant (Temporary Warrant Officer, Second Class) R. P. Legge (a); Staff Sergeant J. M. Lowe (b); Chief Petty Officer C. W. Mason-Riseborough (b); Petty Officer Stoker Mechanic E. J. Rochfort (a); Chief Engine Room Artificer J. N. Rothwell (b); Staff Sergeant J. H. Scott (a); Flight Sergeant W. H. Staniland (b); Chief Petty Officer M. L. St. Clare (b); Chief Mechanician H. W. Warner (a); Flight Sergeant J. H. Watts (b); Mechanician W. P. Wyatt (a).

Air Force Medal (A.F.M.)

Sergeant Signaller I. N. Moran (b).

Commendation for Valuable Services in the Air

Flying Officer B. McGill (b); Flight Lieutenant F. J. Vickers (b); Flight Lieutenant J. D. Washington (a); Master Engineer L. G. Woods (b).

GOVERNMENT DEPARTMENTS

LIST OF DEPARTMENTS OF THE NEW ZEALAND GOVERNMENT, WITH TITLES AND NAMES OF PERMANENT HEADS, JULY 1955

DepartmentPermanent Head
TitleName
AgricultureDirector-GeneralE. J. Fawcett, C.B.E., M.C., M.A. (Cantab.).
AirChief of Air Staff and First Air Force Member of the Air BoardAir Vice-Marshal W. H. Merton, C.B., O.B.E.
 Air SecretaryB. R. Rae, B.Com.
  Civil AviationDirectorE. A. Gibson, O.B.E., A.M.I.C.E., A.F.R.Ac.S.
  MeteorologicalDirectorM. A. F. Barnett, O.B.E., M.Sc., Ph.D., F.Inst.P., F.R.S.N.Z.
ArmyChief of the General Staff and First Military Member of the Army BoardMajor-General W. G. Gentry, C.B.E., D.S.O.
 Army SecretaryF. B. Dwyer, A.R.A.N.Z.
AuditController and Auditor-GeneralC. R. J. Atkin, A.R.A.N.Z.
BroadcastingDirectorW. Yates, A.R.A.N.Z.
Census and StatisticsGovernment StatisticianG. E. F. Wood, O.B.E., M.A.
Crown LawSolicitor-GeneralH. E. Evans, Q.C., B.A., LL.M.
CustomsComptrollerJ. P. D. Johnsen, Accts. Prof.
EducationDirectorC. E. Beeby, M.A., Ph.D.
External AffairsSecretaryA. D. M. McIntosh, M.A.
Government Life InsuranceCommissionerW. K. Watson, A.R.A.N.Z.
HealthDirector-GeneralJ. Cairney, M.D., Ch.B., F.R.A.C.S. D.Sc.
  Mental Hygiene DivisionDirectorR. G. T. Lewis, M.B., Ch.B.
Industries and CommerceSecretaryP. B. Marshall, Law Prof.
  Price Control DivisionDirectorH. L. Wise, M.Com., A.R.A.N.Z.
Inland RevenueCommissionerF G. Oborn, A.R.A.N.Z.
 Chief Deputy CommissionerG. R. Lawson, Accts. Prof.
 Deputy Commissioner (Duties Division)F R. Macken, LL.M.
Internal AffairsSecretary and Clerk of WritsA. G. Harper, C.V.O.
  Dominion MuseumDirectorDr R. A. Falla, D.Sc., M.A.
  National Art GalleryDirectorS. B. Maclennan, A.R.C.A.
  RehabilitationDeputy DirectorL. P. Turner, A.R.A.N.Z.
Island TerritoriesSecretaryJ. B. Wright.
JusticeSecretary for Justice, Chief Electoral Officer, Secy, for Land and DeedsS. T. Barnett, Law Prof.
Patent OfficeCommissionerA. H. Ihle, Law Prof.
LabourSecretary of LabourH. L. Bockett, A.R.A.N.Z.
Lands and SurveyDirector-General and Land Purchase ControllerD. M Greig, M.S.I.N.Z.
Law DraftingLaw DraftsmanH. D. C. Adams, C.M.G., LL.B.
LegislativeClerk of House of RepresentativesH. N. Dollimore, LL.B.
Maori AffairsSecretary, and Maori TrusteeT. T. Ropiha, Land Surv. Ex.
MarineSecretaryG. L. O'Halloran, LL.B.
MinesUnder-SecretaryC. H. Benney, Accts. Prof.
NavyChief of the Naval Staff and First Naval Member of the Naval BoardRear-Admiral J. E. H. McBeath, D.S.O., D.S.C.
 Navy SecretaryD. A. Wraight.
New Zealand Forest ServiceDirectorA. R. Entrican, C.B.E., A.A.S.E., A.M.I.C.E.
PoliceController-GeneralS. T. Barnett, Law Prof.
 Deputy Controller-GeneralP. J. Nalder, M.V.O.
Post and TelegraphDirector-GeneralC. A. McFarlane, B.Com., D.P.A.
Prime Minister'sPermanent HeadA. D. M. McIntosh. M.A.
 Chief Private SecretaryK. M. Sleight, C.B.E.
Printing and StationeryGovernment PrinterR. E. Owen.
Public Service CommissionChairman of CommissionG. T. Bolt, C.M.G., Accts. Prof.
 MembersL. A. Atkinson, M.Com., D.P.A.
 J. K. Hunn, LL.M.
 F. Baker, D.S.O., A.R.A.N.Z., F.C.I.S.
Public TrustPublic TrusteeG. E. Turney.
RailwaysGeneral ManagerA. T. Gandell.
Scientific and Industrial ResearchSecretaryW. M. Hamilton, D.Sc.: N.D.H. (N.Z.).
Social SecurityChairman, Social Security Commission and Secretary for War PensionsA. E. T. Williams, Accts. Prof.
State Advances Corporation of New ZealandManaging DirectorT. N. Smallwood, O.B.E.
 Deputy Managing DirectorF. W. E. Mitchell, A.R.A.N.Z.
 General ManagerK. J. Caverhill, A.R.A.N.Z.
State Fire and Accident InsuranceGeneral ManagerH. C. R. Blackwood.
State Hydro-electricGeneral ManagerA. E. Davenport, B.E. (Elect.), M.I.E.E.
Tourist and PublicityGeneral ManagerR. W. Marshall, O.B.E., Accts. Prof.
TransportCommissionerH. B. Smith, B.Com., A.R.A.N.Z.
TreasurySecretaryE. L. Greensmith, M.Com., Law Prof.
  Government Actuary's BranchGovernment ActuaryS. Beckingsale. F.I.A.
  SuperannuationControllerW. L. Comrie.
  National Provident FundSuperintendent
ValuationValuer-GeneralW. R. Beattie.
Works, Ministry ofCommissioner of WorksF. H. M. Hanson, M.S.I.N.Z.
 Engineer-in-ChiefC. W. O. Turner, B.Sc. (Eng.) (Lon.), M.Eng (Illinois), M.I.C.E.
 Government ArchitectF. G. Wilson, A.N.Z.I.A.
Housing DivisionDirectorR. B. Hammond, F.N.Z.I.A., M.T.P.I. (Lon.).

THE PUBLIC SERVICE

The Public Service comprises in the widest sense all servants of the Crown—other than those holding political or judicial office—who are employed in a civil capacity and whose remuneration is paid from parliamentary appropriations. They are employees of the various State Departments, commissions, and other agencies, and represent practically all occupations.

Forty State Departments are under the control of the Public Service Commission, and employed 32,219 permanent officers and 1,761 temporary staff (excluding casuals) at 1 April 1954. The other two Departments, the Post and Telegraph and the Railways Departments, are each independently controlled. Details of numbers of staff employed and general administrative organization are contained elsewhere in this volume, as are the details of the Teaching Service, the uniformed branches of the Police, Navy, Army, and Air Departments, the Judiciary, and the Magistracy.

The Public Service Commission.—The Commission is a body of four men each appointed by the Governor-General on the recommendation of Government for a period of five years and eligible for reappointment (Public Service Amendment Act 1954).

Functions.—The Commission's functions are defined in the Public Service Act 1912 and amendments, and are briefly as follows: (1) recruitment of staff, (2) classification of positions according to importance and character, (3) maintenance of a fair and efficient system of promotion, (4) protection of the independence and integrity of the Service, (5) maintenance of efficiency and economy, (6) maintenance of discipline, (7) regulation of various personnel matters—e.g., leave, hours of work, payment of allowances.

Recruitment.—The recruitment of public servants is conducted by the Commission through its district representatives, its own officers, and by Departments in collaboration with the Commission. Details of career openings in the Service are regularly supplied to schools; careers booklets are published by the larger Departments.

All recruits, except with permission of the Governor-General, must be British subjects, and are appointed on probation normally for two years.

Classification.—There are five statutory Divisions into which positions may be classified, as follows:

  1. Administrative.—Those positions held by Permanent Heads and their Deputies.

  2. Professional.—Includes qualified officers employed in fields such as architecture, engineering, dentistry, law, medicine, and science.

  3. Clerical.—Includes qualified officers employed on duties ranging from routine clerical and accounting work to senior executive positions.

  4. Educational.—Includes teachers in Maori schools, the Correspondence Schools, and special institutions.

  5. General.—Includes a wide range of “field" positions, the trades, and similar occupations. The Commission is required to grade officers in these divisions according to their fitness and the character and importance of the duties performed by them. A statutory regrading of the whole Service is required each five years; this was last effected at 1 April 1951.

Promotion.—Promotion in the Public Service is based on merit. While the Service has clearly defined salary scales and avenues of promotion, it allows for and encourages quick promotion with special salary increases to officers of merit. All vacancies above the basic grade for first entry into the Service are widely advertised so that all persons in the Service, and sometimes persons outside the Service, may apply for higher positions. Appointments are given to the most suitable and efficient applicants and, as between Service personnel, seniority becomes a factor only when applicants have equal claims in other respects.

Public servants have certain rights of appeal to the Public Service Board of Appeal concerning (1) gradings fixed by the Commission in the statutory regrading year, (2) promotions approved by the Commission, and (3) decisions by the Commission concerning charges made against officers. The Board's decisions are final.

Independence and Integrity.—One of the statutory functions of the Commission is to protect the independence and integrity of the Service. The Commission is not responsible to a Minister of the Crown. Subject to the statutory appeal rights of staff, the Commission is autonomous in matters of appointments to and promotions in the Service. It is, however, required to report annually to Parliament on the condition and efficiency of the Public Service.

By statute a person is liable to a penalty should he attempt to influence the Commission regarding a person's appointment, promotion, or salary.

Organization and Methods.—The Commission is responsible for efficiency in departmental organization and methods. It has an O. & M. Section to give advisory service to Departments and to explore, in collaboration with Departments, problems of Service application with a view to finding model systems. Successful administration depends on the employment of the most efficient and up-to-date management techniques.

Complementary to the continuing search for improved organization and methods is a formal suggestions scheme designed to stimulate suggestions for better methods from all ranks of public servants. This scheme produces a steady flow of suggestions, many of which are adopted in full or in part.

Staff Training and Education.—A comprehensive Service training and education policy is pursued by the Commission's Staff Training Branch. The Branch organizes central courses, instructs departmental training officers in training techniques, publishes training material, assists Departments to develop training to meet specific needs, and acts as a general clearing house for the exchange of information on training methods. It also administers the various bursary schemes operated by the Commission.

Statistics: Staff.—The detailed distribution of staff among Departments under the Public Service Commission is shown in the Commission's annual reports to Parliament (parliamentary paper H–14).

Salaries.—The following general provisions are applicable.

  1. Public Service Commissioners.—Fixed by annual appropriation. Present rates are Chairman £2,390, members £1,960.

  2. Administrative Division.—Various rates, according to position held; fixed by annual appropriation.

  3. Other Divisions.—As prescribed by the Government Service Tribunal. Salaries payable in the Professional and Clerical Divisions from 18 November 1954 were (teachers' salaries are shown in the Education Section; various rates are payable in the General Division)—

ClassSalary Incremental Range

*Repeated in Class V.

VI£255, £295, £340, £390, £440, £495, £535, £575, £615,* £665,* £705.*
V£745, £785.
IV£820, £850.
III£885, £915.
II£950, £980.
I£1,045, £1,110.
Sp.£1,170, £1,220, £1,270, £1,330, £1,390, £1,440, £1,500, £1,550, £1,600, £1,650, £1,710, £1,760, £1,810, £1,860, £1,910, £1,960.

The commencing salary for those with School Certificate is £295, and for those with University Entrance or Endorsed School Certificate. £340. The initial maximum for a female clerk is £575.

NEW ZEALAND REPRESENTATIVES OVERSEAS

JULY 1955

Argentina.—Hon. Representative of Department of Industries and Commerce, T. E. B. Poole, Alsina, 1146, Buenos Aires.

Australia.—High Commissioner, G. E. L. Alderton, C.M.G. (Official Secretary, T. P. Davin; Assistant Secretary, Miss H. N. Hampton), Canberra, A.C.T. Senior Trade Commissioner, J. A. Malcolm; Assistant Trade Commissioner, E. J. Sutch; Travel Manager, Department of Tourist and Publicity, R. W. Coupland. 14 Martin Place (P.O. Box 365F), Sydney. Trade Commissioner, R. J. Inglis; Assistant Trade Commissioner, G. L. Struthers; Travel Manager, Department of Tourist and Publicity, N. F. Gouffe, 428 Collins Street (P.O. Box 2136), Melbourne. Head, New Zealand Joint Services Liaison Staff, Captain G. R. Davis-Goff, D.S.C., R.N.Z.N., Victoria Barracks, S.C. 1, Melbourne.

Burma.—Hon. New Zealand Government Agents, New Zealand Insurance Co., Rangoon.

Canada.—High Commissioner, T. C. A. Hislop, C.M.G. (Official Secretary, O. P. Gabites; Assistant Secretary, I. L. G. Stewart), 105 Wurtemburg Street, Ottawa. Trade Commissioner, N. S. Mountain; Assistant Trade Commissioner, J. P. Costello, 609 Sun Life Building, Montreal.

Fiji.—Hon. New Zealand Government Agents, W. R. Carpenter and Co. (Fiji), Ltd., Suva.

France—Legation, 9 Rue Leonard de Vinci, Paris; Chargé d'Affaires, Miss J. R. McKenzie, C.B.E.; First Secretary, B. D. Zohrab; Second Secretary, M. Norrish.

Hawaii.—Hon. New Zealand Government Agent, H. C. Tennent, Nuuanu Avenue (P.O. Box 3049), Honolulu.

India.—Trade Commissioner, J. B. McGuire; Assistant Trade Commissioner, R. G. J. Phelan, Mercantile Bank Buildings, Mahatma Gandhi Road (P.O. Box 1194), Bombay. Hon. New Zealand Government Agents, New Zealand Insurance Company, Calcutta.

Japan.—Legation, 26 Sanban-cho Kojimachi Chiyoda-ku, Tokyo: Chargé d'Affaires, R. L. G. Challis; Second Secretary, R. M. Miller.

Netherlands.—Consul, C. F. Shapcott, 53 Anna Paulowna Straat, The Hague.

South Africa.—Hon. New Zealand Government Agent, H. J. Constable, P.O. Box 1909, Johannesburg.

South-east Asia.—Commissioner, Foss Shanahan; First Secretary, J. Shepherd; Third Secretary, R. L. Jermyn; Administration Officer, C. K. Webster, Singapore.

United Kingdom of Great Britain and Northern Ireland.—High Commissioner, Hon. T. Clifton Webb, Q.C.; Official Secretary, R. M. Campbell, C.M.G.; Counsellor, F. H. Corner; Counsellor (Economic), G. D. L. White; Third Secretary, H. C. Templeton; Senior R.N.Z.A.F. Liaison Officer, Air Commodore M. F. Calder, C.B.E.; Senior New Zealand Army Liaison Officer, Brigadier H. E. Gilbert, D.S.O., O.B.E.; Senior R.N.Z.N. Liaison Officer, Captain B. E. Turner, D.S.O., R.N.Z.N.; Financial Secretary, L. G. Durbin; Commercial Secretary, J. B. Prendergast; Assistant Trade Commissioner, C. H. Fowler; Chief Migration Officer, J. V. Brennan; Agricultural Adviser. C. V. Dayus; Public Relations Officer, A. T. Campbell; Scientific Adviser, Dr V. Armstrong; Customs Adviser, J. R. Osbaldiston; Travel Manager, Department of Tourist and Publicity, A. N. Reid; Representative of the Public Trust Office, G. J. Duncan; Advisory Engineer, New Zealand Railways, R. F. Marriott; Communications Adviser, H. W. Curtis; Chief Dairy Inspector, M. H. Wallace; New Zealand Government Offices, 415 Strand, London.

United States of America.—Embassy, 19 Observatory Circle, Washington: Ambassador Extraordinary and Plenipotentiary, Sir Leslie Munro K.C.M.G.: Minister and Consul-General for the United States of America, G. R. Laking; Commercial Counsellor, D. W. Woodward; First Secretary, R. H. Wade; Second Secretary, H. P. Jeffery; Third Secretary, R. E. Peren. Armed Forces Attaché, Brigadier W. S. McKinnon, O.B.E.; Assistant Armed Forces Attaché, Squadron Leader C. L. Siegert, M.V.O., D.F.C., A.F.C.; Munitions Building, 20th and Constitution

Avenues, Washington. Trade Commissioner, D. W. Woodward; Assistant Trade Commissioner, G. L. Easterbrook-Smith; Suite 210, Dupont Circle Building, 1346 Connecticut Avenue, N.W., Washington. Permanent Representative of New Zealand to the United Nations, Sir Leslie Munro, K.C.M.G.; Counsellor, A. R. Perry; First Secretary, J. V. Scott; Second Secretary and Vice-Consul, D. F. Dunlop; Second Secretary, M. J. C. Templeton; Attaché and Vice-Consul, M. P. Chapman; New Zealand Government Offices, Suite 526, International Building, Rockefeller Centre, New York. Consul-General and New Zealand Travel Commissioner for the United States of America and Canada, R. M. Firth, New Zealand Government Offices, 153 Kearney Street, San Francisco.

OVERSEAS REPRESENTATIVES IN NEW ZEALAND

JULY 1955

Argentina.—Consul-General, Romulo M. Zabala, Wellington.

Australia.—Acting High Commissioner. O. L. Davis; Defence Representative. Colonel S. J. Bleechmore; Trade Commissioner, W. R. Hudspeth; Assistant Trade Commissioner, M. F. Roberts; Third Secretary, Miss J. H. Barnett, Government Life Insurance Building, Customhouse Quay, Wellington.

Austria.—Hon. Consul, S. Clarke, Wellington.

Belgium.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr Armand Nihotte; Second Secretary Victor Bernard, Dominion Farmers' Institute, Wellington. Hon. Consuls: J. B. Ferguson, Auckland; Sir Joseph Ward, Bart., Christchurch; A. H. Allen, Dunedin.

Brazil.—Hon. Consul, C. A. L. Treadwell, Wellington.

Canada.—High Commissioner, His Excellency Mr E. H. Norman; Commercial Counsellor, Lester S. Glass; First Secretary, A. J. Hicks; Commercial Secretary (Agriculture). R. W. Blake (resident in Melbourne, Australia), Government Life Insurance Building, Customhouse Quay, Wellington.

Chile.—Consul-General (with jurisdiction in New Zealand), R. Dundas Smith, Sydney. Hon. Consul, H. O. Taylor, Auckland.

China.—Consul-General (also has jurisdiction in the Trust Territory of Western Samoa), Tien Fang Cheng; Consul, Wu Wen-hui, D.I.C. Building, Lambton Quay, Wellington.

Cuba.—In New Zealand, Consular Officers of the United States of America act on behalf of the Cuban Government.

Czechoslovakia.—Consul-General (with jurisdiction in New Zealand), M. Jandik, Sydney: Consul, M. Jurza, 49 Thompson Street, Wellington.

Denmark.—Chargé d'Affaires, a.i., J. E. Trolle Hansen, Government Life Insurance Building, Customhouse Quay, Wellington. Hon. Consuls: Stronach Paterson, Wellington; A. C. Perry, Christchurch. Hon. Vice-Consuls: L. J. Stevens, Auckland; G. C. Petersen, Palmerston North.

Fiji.—New Zealand Agents for the Colony of Fiji, L. D. Nathan and Co., Ltd., Auckland.

Finland.—Chargé d'Affaires (with jurisdiction in New Zealand), P. I. Simelius, Sydney. Hon. Vice-Consul, J. T. Christtiansen, Auckland.

France.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr N. Henry; Second Secretary, J. Meadmere; Commercial Counsellor, G. Paul-Boncour; Assistant Trade Commissioner, M. Baillard, Government Life Insurance Building, Customhouse Quay, Wellington. Hon. Consular Agents: R. G. McElroy, Auckland; F. Farrell, Christchurch; A. N. Haggitt, Dunedin.

German Federal Republic.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Dr Erich Boltze: Second Secretary, Dr H. J. Dietrich; Commercial Secretary, R. Achenbach, 3 Claremont Grove, Wellington.

Greece.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr Dimitri N. Lambros (Resident in Canberra). Hon. Consul-General. T. E. Y. Seddon, Wellington. Hon. Deputy Consul-General, S. Garland, Wellington.

India.—High Commissioner, His Excellency General K. M. Cariappa, Canberra, A.C.T.; First Secretary (Commercial), N. Kesavan, 49 Willis Street, Wellington.

Israel.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr M. Nurock; First Secretary and Consul, Zeev Dover, Sydney.

Italy.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Count Pio Macchi Di Cellere; Commercial Attaché, Dr A. De Rosis, 24 Grant Road, Wellington.

Japan.—Chargé d'Affaires a.i., Mr Seiichi Shima; Attaché, Mr Masakazu Oda, Eva Street, Wellington.

Lebanon.—Hon. Consul, G. J. Marsh, Wellington.

Netherlands.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr B. A. Piets; First Secretary (Commercial), W. J. De Bruyn; Emigration Attaché. C. A. Korndörffer; Attaché, A. N. Van Mill, D.I.C. Building, Lambton Quay, Wellington. Hon. Consul, C. S. O. Hughes, Auckland. Hon. Vice-Consuls; G. N. Francis, Christchurch; G. R. Ritchie, Dunedin.

Nicaragua.—Consul-General (with jurisdiction in New Zealand), C. Paray, Sydney.

Norway.—Hon. Consul, J. Halligan, Wellington. Hon. Vice-Consuls: D. Millar, Auckland; J. Heaton Rhodes, Christchurch.

Pakistan.—High Commissioner, His Excellency Mr H. Rahman; First Secretary, M. A. Alvie; Third Secretary, S. Ahmed Pasha; Commercial Secretary, A. W. Khan; Press Attaché, Farruqh H. Beg, Sydney.

nama.—Hon. Consul, P. C. Griffiths, Auckland.

The Philippines.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Dr Roberto Regala; Second Secretary and Consul, G. P. Provido, Sydney.

Poland.—Consul-General (with jurisdiction in New Zealand), Albert Morski, London.

Portugal.—Consul (with jurisdiction in New Zealand), A. de Sampayo-Garrido, Sydney. Hon. Consuls: L. D. Nathan, Auckland; W. S. Wheeler, Wellington. Hon. Vice-Consuls: I. D. Reid, Wellington; J. Elvidge, Dunedin.

Sweden.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr. J. M. Kastengren, Canberra, A.C.T.; Chargé d'Affaires, a.i., Olaf Ripa, Wellington. Hon. Vice-Consuls: C. M. Richwhite, Auckland; I. Machin, Christchurch; R. S. Glendining, Dunedin; K. H. Allen, Invercargill.

Switzerland.—Consul (vacant), D.I.C. Building, Wellington.

Tonga.—New Zealand Agents for the Government of Tonga, Messrs Spedding Ltd., Auckland.

Turkey.—Hon. Consul (with jurisdiction in New Zealand and the Trust Territory of Western Samoa), E. G. Cowell, Auckland.

Union of South Africa—Hon. Trade Commissioner, M. G. C. McCaul, care of Philips and Pike, Ltd., Wellington.

Union of Soviet Socialist Republics.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr Nikolai I. Generalov (absent); Chargé d'Affaires, a.i., and Counsellor, K. A. Efremov; First Secretary, V. A. Roslavtsev; Commercial Attaché, G. M. Sokolov; Legation of the Union of Soviet Socialist Republics, 57 Messines Road, Wellington.

United Kingdom of Great Britain and Northern Ireland.—High Commissioner, His Excellency General Sir Geoffry Scoones, K.C.B., K.B.E., C.S.I., D.S.O., M.C.; Deputy High Commissioner, W. G. Head, C.B.E.; Economic Adviser, D. R. Bryan, O.B.E.; Financial Adviser, H. L. Jenkyns (Resident in Canberra); First Secretary, C. M. Maclehose, M.B.E.; Agricultural Adviser, E. G. Griffiths; Information Officer, B. D. Brown; Second Secretary, Miss M. Archer,

M.B.E.; Senior Trade Commissioner, D. R. Bryan, O.B.E.; Trade Commissioner, I. Gray; Assistant Trade Commissioners, J. H. Barwick, F. H. Lockyer, Government Life Insurance Building, Customhouse Quay, Wellington. Trade Commissioner, H. F. Stevens, Auckland. Service Liaison Staff: Navy, Captain G. N. Brewer, D.S.O., R.N.; Army, Colonel E. H. Tinker; Air, Group Captain F. Rump, O.B.E.; Joint Secretary, Squadron Leader E. J. Wilson, Government Life Insurance Building. Customhouse Quay, Wellington.

United States of America.—Ambassador Extraordinary and Plenipotentiary, His Excellency the Hon. Robert C. Hendrickson; Counsellor, Samuel D. Berger; Army Attaché, Colonel Julian G. Hearne, Jr.; Air Attaché, Colonel Charles R. Greening (resident in Melbourne, Australia); Assistant Air Attaché, Major Leonard F. Donnelly (resident in Melbourne, Australia); Naval Attaché and Naval Attaché for Air, Captain R. A. MacPherson (resident in Melbourne, Australia); Assistant Naval Attaché and Assistant Naval Attaché for Air, Commander Samuel R. Sanders (resident in Melbourne, Australia); Assistant Naval Attaché and Assistant Naval Attaché for Air, Lieutenant Robert B. Brumstead (resident in Melbourne, Australia); First Secretary, Roy I. Kimmel; First Secretary (Economic and Commercial), William Kling; Attaché and Administrative Officer, Nathan R. Meadows; Public Affairs Officer, William E. Phipps; Second Secretary, William N. Fraleigh; Agricultural Attaché, Eugene T. Ransom; Consul-General, Samuel D. Berger; Vice-Consul, Leslie A. Klieforth, Government Life Insurance Building, Customhouse Quay, Wellington. Consul, Howard C. Goldsmith, Auckland. Consular Agent: Robert J. McMenamin, Christchurch.

Yugoslavia.—Consul-General, N. Krajinovic, Wellington; Vice-Consul, F. Broz, Wellington.

Chapter 46. STATISTICAL SUMMARY

Table of Contents

STATISTICAL SUMMARY FOR NEW ZEALAND

POPULATION AND EXTERNAL MIGRATION (INCLUDING MAORIS)

YearPopulationMean PopulationYear Ended 31 March
At 31 DecemberAt 31 MarchYear Ended 31 DecemberYear Ended 31 MarchOverseas Passenger Arrivals*Overseas Passenger Departures*

*Excluding “through" passengers, and tourists on cruising liners.

1904900,682882,100888,165870,04730,48520,163
1905925,605908,116913,144895,10833,52422,582
1906956,457933,114943,325920,61533,25323,973
1907977,215961,598966,836949,65039,81228,877
19081,008,373985,320992,794973,45937,61829,853
19091,030,6571,016,0631,019,5151,000,69245,37431,226
19101,050,4101,035,2121,040,5341,025,63834,71532,854
19111,075,2501,056,1991,063,8871,045,70637,04934,375
19121,102,4711,081,3441,088,8611,069,82843,09737,205
19131,134,5061,111,5891,118,4881,096,46746,89234,935
19141,145,8381,139,6681,140,1721,125,62841,67231,517
19151,152,6381,150,3861,149,2381,145,02733,37727,254
19161,150,3391,150,2501,149,2251,150,31825,40722,808
19171,147,4481,150,9381,148,8931,149,22520,47020,047
19181,158,1491,154,5591,152,7981,152,74813,71812,214
19191,227,1811,178,4061,192,6651,166,48211,97811,473
19201,257,6111,236,9151,242,3961,207,66026,90023,990
19211,292,8921,267,4981,274,9171,252,20646,09031,908
19221,318,8841,301,2511,305,1261,283,54641,12830,396
19231,343,0211,325,3011,328,1931,311,38234,10828,581
19241,370,4031,347,8531,352,6181,334,02936,25430,487
19251,401,2301,379,4871,384,4281,359,99542,21129,913
19261,429,6691,409,8121,413,7431,392,07342,44930,714
19271,450,3561,438,1321,439,0041,420,83845,68234,018
19281,467,3701,453,8211,456,0751,443,55135,83737,072
19291,486,1341,471,1101,473,4191,460,36334,79934,088
19301,506,8091,489,2031,493,0191,478,02733,83931,454
19311,522,7621,511,7001,514,2151,498,41630,74125,632
19321,534,7351,525,5451,527,0621,517,94017,89121,063
19331,547,1241,538,0281,539,5901,530,11918,71321,308
19341,558,3731,550,1251,551,5321,542,65119,68722,022
19351,569,6891,560,9921,562,2331,554,29724,90128,051
19361,584,6171,573,9271,575,2311,565,26326,93628,050
19371,601,7581,587,2111,589,9721,578,75731,67032,023
19381,618,3131,604,4791,606,7631,594,27538,73836,352
19391,641,6391,624,7141,628,5121,611,36242,64837,685
19401,633,6451,640,9011,637,3051,633,44731,43225,404
19411,631,2761,636,2301,630,9481,635,71513,81413,100
19421,636,4031,634,3381,639,5721,630,4197,1026,893
19431,642,0411,634,0941,635,6351,640,1913,1332,592
19441,676,2931,643,9001,655,7941,637,5703,7473,640
19451,727,8171,679,9721,694,6411,664,5857,2076,189
19461,781,2141,756,7561,759,5261,710,68013,30910,966
19471,817,4531,789,4761,798,2621,770,29125,35822,320
19481,853,8061,828,0251,834,6551,807,61133,14427,388
19491,892,0421,864,5601,871,7481,843,76735,94631,765
19501,927,6291,902,8831,909,0921,881,31750,88043,000
19511,970,5221,938,0321,947,5291,917,93454,64447,122
19522,024,5561,984,7301,996,1491,958,72962,49846,834
19532,074,7812,037,5532,048,8262,009,50666,24044,208
19542,118,4342,087,7402,094,9102,061,37661,84546,404

VITAL STATISTICS (EXCLUDING MAORIS)

YearNumbersRates Per 1,000 of Mean PopulationDeaths Under 1 Year Per 1,000 Live Births
Live BirthsMarriagesDeathsDeaths Under 1 YearLive BirthsMarriagesDeaths

*From 1942 figures relate to total marriages (i.e. European and Maori).

190422,7666,9838,0871,61626.948.269.5770.98
190523,6827,2008,0611,59927.228.289.2767.52
190624,2527,5928,3391,50627.088.489.3162.10
190725,0948,19210,0662,22827.308.9110.9588.79
190825,9408,3399,0431,76127.458.829.5767.89
190926,5248,0948,9591,63427.298.339.2261.60
191025,9848,2369,6391,76026.178.309.7167.73
191126,3548,8259,5341,48425.978.709.3956.31
191227,5089,1499,2141,40926.488.818.8751.22
191327,9358,81310,1191,65326.148.259.4759.17
191428,3389,28010,1481,45625.998.519.3151.38
191527,85010,0289,9651,39425.339.129.0650.05
191628,5098,21310,5961,44625.947.479.6450.72
191728,2396,41710,5281,36025.695.849.5848.16
191825,8606,22716,3641,25223.445.6514.8448.41
191924,4839,51910,8081,10821.428.339.4645.26
192029,92112,17512,1091,51325.0910.2110.1550.57
192128,56710,63510,6821,36623.368.69S.7347.82
192229,0069,55610,9771,21523.187.648.7741.89
192327,96710,07011,5111,22521.967.919.0443.80
192428,01410,25910,7671,12721.607.918.3040.23
192528,15310,41911,0261,12521.207.858.3039.96
192628,47310,68011,8191,13221.067.908.7439.76
192727,88110,47811,6131,08020.297.638.4538.74
192827,20010,53711,81198419.577.588.5036.18
192926,74710,96712,31491219.037.808.7634.10
193026,79711,07512,19992418.837.788.5734.48
193126,6229,81712,04785618.456.818.3532.15
193224,8849,89611,68377717.126.818.0431.22
193324,33410,51011,70177016.637.187.9931.64
193424,32211,25612,52778116.517.648.5032.11
193523,96512,18712,21777316.178.238.2532.26
193624,83713,80813,05676916.649.258.7530.96
193726,01414,36413,65881217.299.559.0831.21
193827,24915,32814,75497117.9310.099.7135.63
193928,83317,11514,15889818.7311.129.2031.14
194032,77117,44814,28299021.1911.289.2430.21
194135,10013,31315,1461,04522.818.659.8429.77
194233,57412,775*16,38596421.737.79*10.6028.71
194330,31112,02115,44795119.707.3510.0431.37
194433,59913,64615,3631,01221.598.249.8730.12
194537,00716,69316,0511,03623.229.8510.0727.99
194641,87121,09616,0931,09325.2611.999.7126.10
194744,81619,04715,9041,12226.4710.599.3925.04
194844,19317,75015,81297025.599.679.1621.95
194943,98817,35416,0121,04624.989.279.0923.78
195044,30917,09916,7151,00824.678.969.3122.75
195144,65116,91517,5121,01724.398.699.5622.78
195246,46917,06117,4131,01424.778.559.2821.82
195346,41417,22417,00993124.128.418.8420.06
195448,43117,55717,66796824.638.388.9819.99

EDUCATION

YearNumber of Scholars* ReceivingUniversity Students (Excluding Affiliated Agricultural Colleges)
Primary Education atSecondary Education at
Public SchoolsRegistered Private SchoolsMaori Village SchoolsSecondary (Including Endowed and Combined) SchoolsDistrict High SchoolsTechnical SchoolsRegistered Private Schools and Maori Secondary Schools

*Excludes those receiving tuition from the Correspondence Schools (primary and secondary).

1903133,65715,6873,6933,7222,096....862
1904135,56816,4453,7544,0382,330....971
1905137,71416,7383,8634,0602,872....1,153
1906139,40017,2174,1744,2702,594....1,332
1907141,28118,1744,1834,1962,452....1,325
1908147,66016,2444,2174,3272,142699..1,634
1909152,69717,9894,1214,8561,891846..1,846
1910156,68719,0524,2805,1761,9161,253..1,862
1911161,99119,9674,5575,4651,7771,3418311,900
1912166,64520,3504,6945,8311,8151,5268832,228
1913172,61721,2514,6476,1541,8371,6645452,318
1914178,96922,2475,0726,4181,8961,8395502,257
1915183,71922,4775,1916,4882,1021,9559922,039
1916186,35023,6355,1327,0522,1152,1051,0041,985
1917188,75425,6855,1737,5902,1802,3471,2061,977
1918193,34526,3715,0648,3842,2832,7471,3662,226
1919194,58620,9775,1989,0682,1592,9261,4973,060
1920198,46022,1935,5089,1962,1572,7661,4393,822
1921205,95523,9245,82210,0302,1763,3491,6344,123
1922211,08124,8616,16110,7362,6064,2021,9983,958
1923212,46026,0106,18611,6192,8185,0542,1344,202
1924213,76826,3026,31012,0102,9005,3692,4734,236
1925215,06325,9336,38612,5143,1365,1322,5114,442
1926219,01726,7786,59113,6513,2995,7002,7944,653
1927221,15727,3586,62014,1903,5815,7032,9324,878
1928219,95026,5966,67115,0383,8806,0613,4304,802
1929219,16626,9776,97915,4984,0006,1143,6984,623
1930219,23526,4517,07016,1494,2406,9533,8254,801
1931218,82926,7267,50316,3444,9447,3973,7774,869
1932207,63526,4107,31315,9484,4867,1063,6164,912
1933200,96826,4287,34015,7154,5117,1493,5864,806
1934200,07026,6367,58715,9014,3657,1833,6514,721
1935197,68926,8697,87616,1624,5937,3233,9684,818
1936210,55227,7099,17516,5564,0707,4224,2414,967
1937208,03627,9319,64216,8114,3897,8334,6135,010
1938206,37528,3869,83217,7644,9058,1494,9025,219
1939205,41528,28010,40318,1765,4018,4815,1375,647
1940204,27628,45410,73017,7105,2538,0095,2075,197
1941204,33228,61410,91616,9865,0337,3715,3254,964
1942204,20028,46711,00916,8054,8527,9235,3574,292
1943204,37229,32811,27418,3245,1978,4366,0355,693
1944206,22029,71711,79320,8296,18710,2336,9276,986
1945209,89930,40112,19021,5666,87210,8657,8318,149
1946218,61431,50612,65421,9366,65611,7128,41910,993
1947227,10832,60413,17021,8476,66612,3288,91311,291
1948233,30433,36013,25422,0596,89512,1368,80911,380
1949242,03834,96013,28822,6177,32012,5049,18211,000
1950254,53336,74813,42623,5396,99213,8599,43910,936
1951267,54138,51213,66324,6287,19514,8719,94610,428
1952285,04040,44414,07626,4117,94616,17910,55810,225
1953300,74842,79914,34528,7838,70918,13611,36810,326

JUSTICE

YearSummary Convictions in Magistrates' Courts*Total Convictions or Sentences in Superior CourtsTotal Distinct Persons Sentenced in Superior CourtsPrisoners in Gaol at End of Year (Undergoing Sentence)
NumberRate Per 1,000 of Mean PopulationNumberRate Per 1,000 of Mean PopulationNumberRate Per 1,000 of Mean PopulationNumberRate Per 1,000 of Population

*Excluding Children's Court cases from year 1914 onwards.

†Not available.

‡Change in legislation has resulted in more cases being dealt with in Magistrates' Courts.

190325,18629.173980.463800.446880.83
190425,67228.905270.595190.587010.78
190525,37127.784490.494330.477600.82
190627,67029.334450.474330.468330.87
190730,90131.964900.514810.507910.81
190830,85231.085430.555320.548150.81
190931,15130.555520.545440.538770.85
191032,43531.174950.484940.478430.80
191133,02931.054530.434270.408020.75
191236,19133.244800.444280.398210.75
191339,68535.484460.404090.378340.74
191440,67335.675220.464830.429810.86
191538,44633.455090.444410.389410.82
191634,32429.874480.394010.358340.73
191733,30228.996230.543770.339540.83
191828,42124.656320.553550.311,0050.87
191931,76626.638080.684610.398520.69
192034,74027.961,0110.814590.379960.79
192136,49228.581,4751.166160.481,0440.81
192233,99526.051,4171.096010.461,0520.83
192336,70129.141,6631.256250.471,1410.85
192438,98228.821,3881.035550.411,1970.87
192543,40731.351,4651.065110.371,2840.92
192644,88731.751,5621.105690.401,3880.97
192744,54030.951,7391.215690.401,4831.02
192843,41929.821,3680.944780.331,4350.98
192944,31130.071,3450.914730.321,3420.90
193045,54430.501,5241.025380.361,5231.01
193140,37426.661,6241.076000.401,6141.06
193240,59126.581,7101.126360.421,5220.99
193336,04323.411,5130.985310.341,4100.91
193435,75223.041,2130.784900.321,1990.77
193536,23023.191,1480.734720.301,1120.71
193639,51725.091,1780.754620.299150.58
193742,72626.871,3180.835070.327900.49
193849,65130.901,3220.824880.307770.48
193952,28832.111,4890.915710.358950.55
194046,11028.161,3940.855470.338630.53
194139,63624.301,4960.925420.339880.61
19421,4600.894570.281,0340.63
19431,3780.844940.301,0240.62
19441,4410.875600.349450.56
19451,8851.116190.379980.58
19461,7130.976550.379920.56
194740,99022.791,9481.087400.411,0880.60
194844,11924.052,3231.277170.399860.53
194950,00026.711,7180.926760.369410.50
195051,60627.031,5830.836420.341,0430.54
195156,12828.821,5740.816440.331,0400.53
195273,96037.051,7060.857040.351,0830.54
195382,14340.093610.181790.091,0880.52

AGRICULTURE

SeasonWheat for ThreshingOats for Threshing
AreaYieldYield Per AcreAreaYieldYield Per Acre

* Yield probably overstated for these four seasons, owing to total being obtained by applying ascertained averages to areas returned by farmers as sown for threshing. Some areas returned in these years as intended for threshing would appeal to have been eventually utilized for other purposes.

 AcresBushelsBushelsAcresBushelsBushels
1903–04230,3467,891,65434.26409,39015,107,23738.57
1904–05258,0159,123,67335.36342,18914,553,61142.53
1905–06222,1836,798,93430.60354,29112,707,98235.86
1906–07206,1855,605,25227.18351,92911,201,78931.83
1907–08193,035,567,13928.84386,88515,021,86138.82
1908–09252,3918,772,79034.75406,90818,906,78846.46
1909–10311,0008,661,10028.00377,00013,804,00037.00
1910–11322,1678,290,22125.73302,82710,113,91733.41
1911–12215,5287,261,13833.69403,66819,662,668*48.71
1912–13189,8695,179,62627.28386,78613,583,924*35.12
1913–14166,7745,231,70031.37361,74114,740,946*40.75
1924–15229,6006,644,33628.94287,56111,436,301*39.77
1915–16329,7087,120,77121.60213,5367,673,60135.93
1916–17217,7435,051,22723.19177,5245,371,43630.29
1917–18280,9786,807,53624.23156,2024,942,75931.64
1918–19208,0306,567,62931.57172,6866,884,60939.87
1919–20139,6114,559,93432.66179,8006,967,86238.75
1920–21219,9856,872,26231.24147,5595,225,11535.41
1921–22352,91810,565,27529.94170,6556,752,66339.56
1922–23275,7758,395,02330.44143,0905,688,15739.75
1923–24173,8644,174,53724.0163,8421,964,51130.77
1924–25166,9645,447,75832.62147,3875,707,17438.72
1925–26151,6734,617,04130.44102,4354,115,60640.14
1926–27220,0837,952,44236.13117,3264,997,53542.58
1927–28260,9879,541,44436.5683,2233,852,68743.66
1928–29255,3128,832,86434.6073,1013,065,11341.93
1929–30235,9427,239,55630.6867,7223,002,28844.33
1930–31249,0147,579,15330.4487,1523,376,60938.74
1931–32268,7566,582,69824.4968,6902,818,15241.03
1932–33302,53111,054,97236.54116,2065,132,18344.16
1933–34286,2719,036,01731.5678,3433,242,50041.39
1934–35225,3895,933,24526.3252,5161,890,14535.99
1935–36248,6398,859,22335.6377,5023,302,64242.61
1936–37221,7907,168,96332.3274,7723,525,43047.15
1937–38185,9496,042,98132.5057,9172,640,91545.60
1938–39189,2815,564,13629.4054,4222,604,81747.86
1939–40257,5328,010,08931.1049,7512,081,10641.83
1940–41243,1978,305,86534.1571,7583,114,94643.41
1941–42253,0028,671,24433.6170,7963,444,81248.66
1942–43286,9989,819,34234.2156,2912,808,77449.90
1943–44233,7867,208,48530.8339,6521,834,31046.26
1944–45183,8866,992,20438.0277,6844,209,14354.18
1945–46161,0495,439,04133.7757,2782,796,87748.83
1946–47141,4075,368,12037.9655,2972,686,21148.58
1947–48123,7514,539,01736.6863,1592,853,51745.18
1948–49146,7075,958,02640.6178,3003,718,59747.49
1949–50125,1594,899,66839.1552,6452,620,25249.77
1950–51144,7636,271,92843.3335,8081,827,95351.05
1951–5289,9553,890,16743.2545,5612,469,53054.20
1952–53127,2254,525,29835.5749,0872,385,12948.59
1953–54113,8134,783,22742.0320,529945,38646.05

LIVESTOCK

YearHorsesTotal CattleDairy CowsSheepPigs

* Not available.

† Figures from 1917 onwards include dairy cows in milk only.

1904298,7141,593,547468,12518,280,806226,591
1905314,3221,736,850498,24119,130,875255,320
1906326,5371,810,936517,72020,108,471249,727
1907342,6081,851,750543,92720,983,772242,273
1908352,8321,816,299541,36322,449,053241,128
1909363,2591,773,326536,62923,480,707245,092
1910***24,269,620*
1911404,2342,020,171633,73323,996,126348,754
1912***23,750,153*
1913***24,191,810*
1914***24,798,763*
1915***24,901,421*
1916371,3312,417,491750,32324,788,150297,501
1917373,6002,575,230684,03225,270,386283,770
1913378,0502,869,465710,56126,538,302258,694
1919363,1883,035,478732,25325,828,554235,347
1920346,4073,101,945782,75723,919,970266,829
1921337,2593,139,223890,22023,285,031349,892
1922332,1053,323,2231,015,32522,222,259384,333
1923330,8183,480,6941,124,67123,081,439400,889
1924330,4303,563,4971,184,97723,775,776414,271
1925326,8303,503,7441,195,56724,547,955440,115
1926314,8673,452,4861,181,44124,904,993472,534
1927303,7133,257,7291,181,54525,649,016520,143
1923307,1603,273,7691,242,72927,133,810586,898
1929298,9863,445,7901,291,20429,051,382556,732
1930297,1953,770,2231,389,54130,841,287487,793
1931282,7294,043,5601,478,94729,792,516468,533
1932267,9804,035,4181,562,07928,691,788505,755
1933263,8334,155,0531,703,32827,755,966583,921
1934260,8924,264,1631,795,81728,649,038652,732
1935259,9724,256,5341,807,37729,076,754755,094
1936263,1564,217,1131,802,77330,113,704800,802
1937264,7854,352,1361,784,82031,305,818794,758
1933265,1534,469,1171,743,19032,378,774748,805
1939261,7894,527,9831,723,89331,897,091675,802
1940258,5674,496,0671,719,28931,062,875706,340
3941253,0524,538,9081,759,01831,751,660761,519
1942248,5974,604,7491,756,654*681,016
1943236,4554,447,5481,714,959*604,574
1944225,8234,439,2581,647,92033,200,298573,362
1945217,6894,590,9261,678,94333,974,612593,828
1946216,3354,666,7821,661,944*549,391
1947206,5754,633,8001,657,69032,681,799545,874
1948203,8854,716,2871,713,53232,483,138548,177
1949196,0554,722,8361,746,75332,844,918544,841
1950194,8774,954,9061,850,08933,856,558555,245
1951183,9725,060,0241,898,19734,786,386564,335
1952173,9225,164,6891,905,53435,384,270565,723
1953158,0655,445,9631,962,49236,192,935627,830
1954158,2805,744,8781,999,14038,010,954648,902

NOTE —With the exception of sheep, figures from 1931 onwards exclude stock within boroughs.

TRADE

YearExcluding Specie*Specie
ExportsImportsExportsImports
TotalPer Head of Mean PopulationTotalPer Head of Mean Population

* Figures are in terms of New Zealand currency.

†Specie exports and imports represent face value.

‡Increases mainly due to imports of defence materials and equipment.

§ Provisional.

 ££s.d.££s.d.££
190414,738,75016111112,900,030141069,598391,664
190515,642,069172712,481,1781313413,878347,679
190617,992,480191614,303,1701533102,657908,233
190720,061,6412015016,539,70717227,316763,154
190816,075,2051631017,247,1621775242,289224,122
190919,636,151195214,817,4621410825,845857,257
191022,152,4732151016,748,2231611127,736303,360
191118,980,18517161018,782,6081713148,305763,271
191221,511,6261915120,576,579181711258,955399,995
191322,810,3632071121,653,6321972176,359634,670
191426,253,925230621,144,2271810117,522711,869
191531,430,822277020,658,72017196318,0901,070,114
191633,281,0572819225,045,4032115105,8801,293,880
191731,517,072278820,742,130181170,475177,135
191828,480,5782414124,131,7922018835,610102,215
191953,907,925454030,309,167258362,150362,531
192046,405,366377061,553,85349101136,58041,975
192144,828,460352342,744,1223398367198,321
192242,725,9493214934,826,07426138300186,487
192345,939,7933411943,363,9833213027,37214,510
192452,509,2233816548,527,60335176103,488..
192555,243,0473918152,425,7573717419,22530,650
192645,268,924320649,811,76335486,65177,800
192748,496,3543314044,782,6663125..280
192855,570,381383344,844,10230160618,10042,164
192954,930,063375748,734,4723316649,00063,505
193044,940,517302044,339,65429140175363,087
193134,950,698231826,498,15117100202,33056,155
193235,609,919236524,646,006162101,355,86155,310
193341,005,9192612825,581,36616124296,032424,704
193447,342,8473010331,339,55220402,283,9001,242,000
193546,538,3812915936,317,26723411521,000381,821
193656,751,940360744,258,8862811145,24536,601
193766,713,3794119256,160,69535653,500318,510
193858,376,283366855,422,1893491031,80531,274
193958,049,31635121149,387,18330662,79525,364
194073,741,133450948,997,66929186..36,646
194167,479,413417649,167,0103021110,015205,409
194281,284,6374911653,856,01232161125,375147,010
194371,862,5984318995,242,33058471,240461,800
194477,786,9464619786,397,2125237400159,640
194581,631,276483555,088,180321024,400208,148
1946101,302,2665711671,571,333401364,532418,970
1947129,419,64771195128,640,8267110910,375184,990
1948147,821,02580115128,534,252701255,169624,755
1949147,280,95178139120,033,4726427570,2201,040,725
1950183,752,2919650157,942,87682148514,455169,823
1951248,127,17212781206,533,51510610280,150250,108
1952240,560,704120103229,447,309114181126,94384,567
19531235,860,04711525163,613,300791727,929107,106
1954§1244,430,7681161371213,274,7621011607,57328,260

NOTE.—As from 1 January 1952 imports were valued at c.d.v. Prior to that date the valuation used was c.d.v. plus 10 per cent.

YearExports of New Zealand Produce
WoolFrozen Meat*Tallow
QuantityValueQuantityValueQuantityValue

* Includes exports of chilled beef.

†Provisional.

 lb.£Cwt.£Cwt.£
1904144,647,3764,673,8261,912,9792,793,599322,480357,974
1905139,912,7375,381,3331,690,6842,694,432318,942347,888
1906154,384,5686,765,6552,025,5072,877,031378,400455,026
1907171,635,5957,657,2782,354,8083,420,664414,880560,965
1908162,518,4815,332,7812,120,3033,188,515372,520481,335
1909189,683,7036,305,8882,572,6043,601,093484,160648,452
1910204,368,9578,308,4102,654,1963,850,777520,180756,841
1911169,424,8116,491,7072,250,5653,503,400413,120607,257
1912188,361,7907,105,4832,573,2383,909,569470,900684,739
1913186,533,0368,057,6202,578,6934,449,933454,860663,088
1914220,472,8989,318,1143,229,9695,863,062490,300694,348
1915196,570,11410,387,8753,591,2607,794,395535,260780,828
1916185,506,85912,386,0743,326,0457,271,318449,440785,339
1917178,274,48612,175,3662,446,9455,982,404251,980553,016
1918108,724,5757,527,2662,036,9044,957,576328,420847,618
1919274,246,61319,559,5373,822,6839,628,292937,4802,680,006
1920162,327,17611,863,8274,629,28211,673,696540,8201,748,773
1921158,714,8285,221,4794,322,75411,164,345554,240867,298
1922321,525,56211,882,4633,518,0048,387,461529,900750,574
1923217,566,09110,904,6583,043,9109,012,627504,860785,668
1924206,189,91115,267,5443,213,5749,499,877479,760799,230
1925205,726,85617,739,7363,414,20511,174,567500,760895,061
1926213,154,39911,830,1903,034,3568,656,213422,560741,045
1927220,500,72012,961,7443,364,9659,104,621477,500714,441
1928226,804,54416,679,0983,793,82810,309,662514,960804,271
1929234,955,97815,359,2063,336,2009,883,277416,640693,614
1930197,239,6147,664,3624,036,63910,937,382492,560683,571
1931211,718,8685,515,3764,138,8068,892,555465,280413,080
1932238,179,0625,742,8214,645,4808,436,306507,540462,081
1933286,307,4417,422,2665,203,1139,845,627560,400516,063
1934255,796,78312,516,4254,969,44711,886,955553,240480,354
1935222,661,4037,097,1335,206,51412,768,968505,540630,638
1936314,409,40213,293,7065,119,80413,239,414521,900628,310
1937282,339,14819,070,2405,410,91214,689,616518,800647,969
1938271,283,23312,185,4835,373,30815,092,059592,260524,775
1939277,391,71311,665,9095,906,25115,390,801582,740456,527
1940300,288,68716,875,4636,976,62519,681,343682,760707,721
1941215,743,29612,613,3715,284,84816,595,290786,560818,370
1942307,547,29618,336,5075,741,38917,777,4361,035,5801,143,879
1943206,822,34813,483,5444,412,65713,801,632879,1001,071,232
1944188,599,35912,711,4074,156,05412,482,008532,480608,263
1945166,225,68112,717,0345,653,84317,597,983614,520909,499
1946365,404,46826,596,4706,753,37723,239,620495,1201,063,156
1947375,326,18931,970,0416,955,61529,353,371514,5002,366,742
1948421,021,39944,504,9956,869,91428,623,955401,2602,154,201
1949429,670,91646,553,7616,882,05827,229,783508,6332,531,480
1950393,973,50074,653,0076,761,67728,629,106591,9112,160,842
1951316,863,280128,176,0515,496,02325,393,538593,1582,553,256
1952438,107,60681,998,1417,711,21540,474,955972,3074,716,754
1953391,607,13384,597,9966,533,75139,886,599795,8781,926,685
1954392,898,75488,437,0997,407,39451,866,139821,8972,546,482
YearExports of New Zealand Produce
ButterCheeseGold
QuantityValueQuantityValueQuantityValue

* Provisional.

 Cwt.£Cwt.£0,£
1904314,3601,380,46084,526185,486520,3231,987,501
1905305,7221,408,55788,562205,171520,4852,093,936
1906320,2251,560,235131,206341,002563,8432,270,904
1907328,4411,615,345236,833662,355508,2102,027,490
1903229,9711,171,182280,798783,419506,3812,004,799
1909321,1081,639,380400,6071,105,390506,3712,006,900
1910356,5351,811,975451,9151,195,373478,2861,896,318
1911302,3871,576,917439,1741,192,057454,3371,815,251
1912378,1172,088,809577,0701,680,393343,1631,345,131
1913372,2582,061,653611,6631,770,297376,1611,459,499
1914434,0672,338,576863,7762,564,125227,954895,367
1915420,1442,700,625817,2582,730,211422,8251,694,553
1916358,6322,632,293949,4163,514,310292,6201,199,212
1917254,3972,031,551885,7433,949,251218,624903,888
1918431,0233,402,223883,4304,087,27811,98742,391
1919345,8183,080,1281,572,3117,790,990320,2071,334,405
1920312,0093,022,3351,222,0506,160,840212,973883,748
1921898,47811,169,5301,368,7868,199,183149,595612,168
19221,120,2009,041,5541,161,1964,686,850131,848540,182
19231,250,14010,689,2001,441,4606,870,397169,532698,583
19241,269,45511,641,6681,594,4867,023,297133,631553,788
19251,245,32410,240,1321,376,7545,800,808114,696472,364
19261,163,0408,695,1881,461,5485,939,359125,777516,207
19271,455,53910,915,2331,492,7925,582,596130,171534,652
19281,449,57011,302,6671,567,2726,693,951118,722489,584
19291,653,80713,228,0271,779,0937,017,463116,848480,212
19301,884,23711,854,0561,812,9816,438,438133,749550,678
19311,988,56610,649,5271,636,3474,461,293140,970581,032
19322,185,54510,639,0531,790,4314,951,268200,6483,092,288
19332,635,24711,648,6991,982,9424,766,351177,2411,281,612
19342,614,51910,042,7761,984,4964,694,459162,4901,320,690
19352,789,29813,616,7401,727,5524,376,512171,2831,441,790
19362,796,14515,317,5761,658,2065,122,438163,0731,398,656
19372,976,08516,986,4773,647,3605,371,878172,3171,435,216
19382,614,54916,520,2261,610,5235,935,061152,4871,296,839
19392,443,29716,111,2071,677,2575,869,890176,3701,623,526
19402,622,70018,228,0262,033,5068,233,486188,4591,948,280
19412,263,13515,777,8642,366,2359,833,861176,2421,830,365
19422,344,62216,477,9432,687,62111,860,471167,2461,726,540
19431,985,18714,392,7592,009,9479,125,958149,5633,542,793
19442,306,80418,553,4841,554,0597,443,632138,0481,423,556
19452,069,53219,277,7041,748,5149,519,363121,0841,262,884
19462,035,87519,841,4551,514,9178,448,321111,5313,184,783
19472,554,16729,057,9051,740,87911,621,08898,5571,035,406
19482,712,68333,762,7291,512,46811,197,02458,400609,259
19492,953,40635,474,3931,878,75612,674,35963,854607,696
19502,765,33035,873,3741,997,80114,535,757110,4861,311,095
19512,959,27541,489,5992,132,37216,650,13168,929843,792
19523,680,56156,145,1941,825,10515,527,23366,616798,356
19533,182,11351,461,1272,027,20918,373,11429,674364,912
1954*2,657,45144,806,6531,846,74316,381,05641,484487,662
YearExports of New Zealand Produce
Rabbit SkinsGrass and Clover SeedsMilk and Cream (Dried and Condensed)
QuantityValueQuantityValueQuantityValue

* Provisional.

 Number£Gwt.£lb.£
19046,103,93040,84346,29395,835263,2435,230
19058,831,10766,98344,64880,598755,03916,597
19065,454,73850,68650,63889,022484,49310,420
19075,513,90053,75736,73887,30081,4111,976
19087,148,62566,52915,39634,88180,0711,619
19097,533,13789,53371,54194,41091,6803,014
19109,103,954132,77354,946113,568235,5905,326
19117,455,28876,71218,43840,317281,5276,898
19128,937,035118,23436,34469,69432,392671
19136,267,60886,75635,58960,49217,184359
19144,512,17148,38839,57273,55147,983791
19156,090,87250,00413,98042,3141,175,10620,388
19165,896,41076,4059,84134,266984,03523,780
19174,944,607105,32116,48448,6354,103,849153,538
19187,854,152299,76515,99542,2157,061,830341,797
191914,340,007775,11849,906249,88610,494,679579,266
192014,363,216830,02423,821147,36913,950,026795,612
192113,922,446448,18037,319156,11418,596,3921,109,331
192215,487,225567,86470,120285,45111,421,332529,650
192314,233,417472,49147,031175,75416,220,997513,495
192420,444,390740,97536,331149,08313,481,253505,098
192519,708,586843,41645,368151,16413,742,627425,738
192617,135,599829,16557,726200,38011,324,780345,072
192712,928,669682,65890,362255,79812,420,494346,271
192812,104,072582,14850,238162,45217,218,653392,452
19299,122,917361,94957,869182,53713,736,098352,587
19307,206,992142,24936,560166,22115,200,835351,339
19316,174,092108,84140,953155,41012,845,394246,483
19326,660,14070,01634,337109,63216,033,175269,121
193310,378,388224,19980,308152,45817,640,072315,964
193413,035,015257,58548,751166,51121,562,450407,708
193513,536,745395,09071,649215,73820,783,080370,890
193616,928,931763,96179,982249,86123,742,354405,801
193712,050,438557,13258,107205,98824,713,648364,676
193810,268,012247,39045,484233,37220,536,678307,603
193911,190,294262,90445,829284,51424,545,704377,506
194010,412,156401,71645,742369,03523,440,047419,176
194113,403,6731,006,23888,191563,67329,641,506699,533
194211,818,761745,74282,499592,68127,585,510683,578
194312,290,284903,24190,720665,11323,190,806598,228
194413,886,065974,909158,4751,453,09018,429,814534,716
194517,670,0781,204,791166,5531,797,82733,835,4301,021,128
194615,755,9391,451,301150,5981,942,07238,069,5431,202,323
194716,654,4961,120,219147,0111,663,36544,757,8941,651,396
194813,471,098754,651174,8431,700,64459,448,6652,209,805
194910,269,104318,589161,9931,523,42677,033,4262,866,116
19509,918,514346,865164,1142,083,63091,015,2513,321,883
19515,745,460203,23288,4281,246,014104,637,8833,952,028
19522,839,34263,360163,4522,106,627140,519,6626,563,941
19532,626,46284,504179,2671,869,676141,098,0676,277,745
1954*766,84710,259184,2521,799,669101,006,7724,091,900
YearExports of New Zealand Produce
Cattle Hides and Calf SkinsSheep Skills
Cattle HidesCalf SkinsAggregate ValueWith WoolWithout WoolAggregate Value

* Not available.

† Provisional.

 NumberNumber£NumberNumber£
1904***533,4135,504,047401,726
1905***657,6104,273,581500,744
1906***716,0115,835,217680,632
1907***830,1306,186,614796,127
1908***718,4285,603,688518,696
1909***1,096,0806,419,334684,271
1910***983,4926,827,094741,259
1911***901,0886,718,907633,523
1912***920,3017,000,671707,203
1913***933,1527,238,123800,354
1914214,483182,128408,307918,5627,607,049856,832
1915269,656234,164571,861499,0648,594,786826,507
1916296,551206,024672,182397,8957,937,675917,633
1917176,74750,902453,9372,6866,525,3671,300,188
1918206,919106,238530,431..8,741,5381,813,589
1919318,641106,807963,554..8,501,7561,694,867
1920284,666251,2571,125,811..9,221,5523,060,212
1921329,032440,712569,16385,5128,350,886972,116
1922239,930464,563504,334645,0029,499,851980,189
1923339,503609,155746,477706,0137,540,7871,121,695
1924469,588706,847832,009689,4018,136,2651,513,477
1925495,535702,029940,140471,1278,224,1851,989,289
1926449,103751,448755,537706,6998,525,1941,544,273
1927397,792774,141922,825972,5308,945,9231,550,812
1928431,609769,5381,228,1051,364,7828,817,2671,924,097
1929290,804667,915677,9251,072,0178,559,7391,812,093
1930290,964656,802510,6831,542,0259,477,5611,516,738
1931308,843652,747337,2961,665,81110,419,882805,838
1932304,053845,707306,0531,641,20211,999,210694,217
1933401,327890,687544,3853,380,11411,813,6851,043,208
1934476,2351,109,999627,3712,949,9719,243,7261,250,091
1935521,7451,266,258685,8732,405,25111,765,2931,275,464
1936430,9421,177,847761,5111,780,33210,847,2491,703,130
1937506,4601,162,9521,031,0761,743,98210,759,0592,246,015
1938516,4521,246,993742,8061,824,02612,353,5661,369,324
1939528,1571,103,182781,1231,932,67213,223,8641,460,072
1940519,5101,032,165860,0621,798,80111,340,1281,931,957
1941384,8851,015,5931,003,051769,58017,744,0522,007,376
1942356,767931,0581,064,6251,013,28514,590,4482,806,723
1943417,608943,5221,129,174776,57914,000,0462,264,080
1944304,848888,250899,560815,27014,425,4202,386,648
1945329,089795,1841,040,448904,95214,323,7852,402,250
1946392,322659,6451,479,882784,41014,694,2922,490,673
1947472,972757,1862,917,0941,415,78915,624,3496,014,194
1948475,917665,5222,886,596868,57016,288,7285,657,920
1949327,7661,121,6572,339,561795,49216,620,0813,855,629
1950363,319870,4022,601,175670,45916,790,7036,736,162
1951335,966977,4772,991,798719,09713,985,5529,033,299
1952533,3421,577,7123,258,0081,099,80218,992,3216,415,907
1953399,954961,3742,402,0851,254,42717,032,2087,934,093
1954515,0261,117,9342,583,7241,084,58017,815,7797,659,958

FACTORY PRODUCTION

YearNumber of EstablishmentsPersons EngagedSalaries and Wages PaidCost of MaterialsOther ExpensesValue of OutputAdded Value

* Productive employees.

† Not available.

‡ Estimated on basis of sample survey.

   £££££
1910–113,48345,924*4,786,698*18,782,92929,317,02310,534,094
1915–163,75548,744*5,791,704*30,197,78443,034,03312,836,249
1918–193,47858,1378,501,31038,803,19155,310,86416,507,673
1919–203,66164,10710,512,10045,107,56866,169,25321,061,685
1920–214,02269,68113,172,99652,933,49477,828,01324,894,519
1921–224,16967,48412,996,07739,274,11265,672,25926,398,147
1922–234,32570,70513,075,49444,340,46772,343,03228,002,565
1923–244,45174,51013,851,89046,253,40375,433,60629,180,203
1924–254,53877,18314,945,97551,337,11582,479,37831,142,263
1925–264,79478,70816,153,82251,668,1008,395,92182,358,85130,690,751
1926–275,07878,61316,255,17749,344,4428,646,77980,334,60130,990,159
1927–285,15678,62016,053,21054,558,1678,792,72185,059,79930,501,632
1928–295,12680,61816,291,21259,136,5529,330,05190,478,23231,341,680
1929–305,16882,86116,846,28658,484,2459,954,86190,757,98132,273,736
1930–315,19477,91415,617,05248,458,3569,388,62677,745,24929,286,893
1931–324,96968,69712,642,93542,472,6008,263,06566,588,74424,116,144
1932–334,99368,92112,048,14842,726,0438,097,04266,109,45523,383,412
1933–345,02872,65112,106,50047,067,5648,108,89071,770,87224,703,308
1934–355,27079,35813,244,37352,277,2858,809,91279,324,47327,047,188
1935–365,53686,58814,844,36760,172,8489,374,36990,014,74829,841,900
1936–375,72896,40118,333,07770,938,16510,481,253105,941,72235,003,557
1937–385,924102,34420,981,58775,371,55810,540,208113,691,55638,319,998
1938–396,146102,53522,270,01075,634,90310,001,804114,447,42638,812,523
1939–406,342108,72224,460,54985,243,38311,043,557129,061,82643,818,443
1940–416,395113,99926,946,79998,547,80411,978,820147,153,55948,605,755
1941–426,367117,21429,504,299102,260,86012,812,901155,566,19553,305,335
1942–436,127114,59032,256,071107,447,79913,331,973165,936,28458,488,485
1943–446,202117,86434,433,075112,883,93214,516,235175,686,68962,802,757
1944–456,485122,41437,379,062122,695,10615,481,351189,800,76467,105,658
1945–466,991128,20841,499,113123,508,43816,278,562195,258,61471,750,176
1946–477,642134,43545,336,217138,533,72218,247,043218,106,18279,572,460
1947–487,966140,26752,132,689181,773,21821,240,976272,155,33390,382,115
1948–498,000142,50056,000,000203,000,00023,350,000301,000,00098,000,000
1949–508,027144,30961,316,840221,228,64726,334,762331,703,908110,475,261
1950–518,318148,94070,386,677274,165,77730,528,205395,045,818120,880,041
NEW SERIES
COMMENCED 1951–52 WITH COMPARABLE TOTALS FOR CERTAIN PREVIOUS YEARS
1938–396,00293,63819,926,91571,173,3149,315,674106,607,91935,434,605
1941–426,225108,27526,812,79396,481,96512,047,029145,608,16649,126,201
1944–456,340113,53434,196,853116,476,19714,556,029178,585,78362,109,586
1947–487,822130,50447,940,238174,845,30120,076,507259,181,23284,335,931
1949–507,815133,24556,231,281215,008,89924,139,996317,342,946102,334,047
1950–518,113138,43565,005,458266,884,56628,867,078380,200,428113,315,862
1951–528,547144,37075,038,793290,682,89132,027,622431,038,354140,355,463
1952–538,512143,18078,490,492318,945,33635,359,704464,064,555145,119,219
1953–548,377146,42686,579,123332,858,17740,392,917495,376,770162,518,593

REVENUE AND EXPENDITURE OF GENERAL GOVERNMENT

Year Ended 31 MarchConsolidated Fund*
ReceiptsPaymentsBalances
From TaxationFrom Other SourcesTotalsTotalsDeficitSurplus

* See p. 712 for coverage of Consolidated Fund.

† Excludes £20,000,000 loan portions of payment to Reserve Bank for liability due to alteration in the exchange rate as from 20 August 1948.

 ££££££
19043,649,6013,480,5167,130,1176,434,281..695,836
19053,754,3793,592,8187,347,1976,635,902..711,295
19063,841,5963,808,5027,650,0987,122,340..527,758
19074,264,5554,214,4028,478,9577,774,926..704,031
19084,645,7544,418,2359,063,9898,213,965..850,024
19094,377,7614,624,2249,001,9858,785,513..216,472
19104,180,5165,058,4019,238,9178,990,922..247,995
19114,837,3225,459,95110,297,2739,343,106..954,167
19125,296,5905,764,57111,061,16110,340,368..720,793
19135,606,8296,127,44211,734,27111,082,038..652,233
19145,918,0346,311,62712,229,66111,825,864..403,797
19155,881,9056,570,04012,451,94512,379,803..72,142
19167,266,9667,243,17114,510,13712,493,107..2,017,030
191710,549,6547,817,89318,367,54714,058,770..4,308,777
191812,340,8537,865,36920,206,22215,120,288..5,085,934
191913,801,6438,550,72922,352,37218,673,599..3,678,773
192016,256,5279,824,81326,081,34023,781,924..2,299,416
192122,184,41512,076,54734,260,96228,128,730..6,132,232
192216,370,51611,756,49128,127,00728,466,838339,831..
192315,594,28811,985,15527,579,44326,263,760..1,315,683
192416,416,87111,543,50027,960,37126,148,005..1,812,366
192516,554,66412,088,33628,643,00027,399,200..1,243,800
192616,978,4967,747,26624,725,76223,570,083..1,155,679
192716,899,5568,043,55124,943,10724,355,965..587,142
192816,848,7548,275,22625,123,98024,944,905..179,075
192917,835,1225,764,55423,599,67624,176,928577,252..
193019,474,0915,875,77025,349,86125,200,882..148,979
193118,597,4564,471,47523,068,93124,708,0421,639,111..
193216,188,1716,531,56222,719,73324,860,5522,140,819..
193315,604,0416,964,48022,568,52122,528,379...40,142
193417,059,8296,432,92023,492,74924,202,027709,278..
193520,177,6075,948,48726,126,09424,499,595..1,626,499
193621,556,4154,615,95326,172,36825,890,568..281,800
193726,940,8454,206,34231,147,18730,675,158..472,029
193831,664,43013,145,17644,809,60643,998,784..810,822
193932,305,77211,392,86343,698,63542,889,267..809,368
194032,810,59914,108,89246,919,49146,600,152..319,339
194134,873,73216,106,84550,980,57749,254,153..1,726,424
194235,161,94619,390,75554,552,70152,880,239..1,672,462
194336,195,86518,880,09555,075,96050,921,382..4,154,578
194442,017,61915,543,79057,561,40955,328,829..2,232,580
194545,689,39614,239,47659,928,87258,714,153..1,214,719
194648,370,71815,542,93163,913,64962,659,499..1,254,150
194790,715,39317,579,080108,294,473103,683,455..4,611,018
194896,099,15321,016,962117,116,115115,330,403..1,785,712
1949101,061,73920,462,176121,523,915118,893,154..2,630,761
1950103,853,46521,143,169124,996,634120,688,892..4,307,742
1951122,180,53821,576,277143,756,815135,503,598..8,253,217
1952156,936,93923,851,463180,788,402168,152,681..12,635,721
1953154,262,34523,559,753177,822,098174,515,055..3,307,043
1954156,195,53526,123,760182,319,295180,516,315..1,802,980

NOTE.—Reference to Section 30A will indicate that the figures shown in the above table are by no means on a comparable basis over the period. The figures from 1937–38 onwards have been adjusted to bring them into line with present practice.

INDEBTEDNESS OF GENERAL GOVERNMENT—AMOUNT OF DEBENTURES AND STOCK IN CIRCULATION (Nominal Amounts)

As at 31 MarchDomiciled inTotalPer Head of Population
LondonAustraliaNew Zealand
 £££££s.d.
190448,048,842793,9008,679,47357,522,2156543
190549,379,6191,209,5509,322,83159,912,00065197
190650,910,9922,586,4508,693,59862,191,04066130
190751,587,7933,087,8509,503,39764,179,040661410
190851,158,6703,554,70011,740,52766,453,89767811
190954,631,0983,869,80012,437,63670,938,53469164
191057,733,6584,113,98513,043,00274,890,64572610
191162,221,8184,213,98514,642,31981,078,12276153
191264,004,8744,213,98516,135,05484,353,9137803
191368,929,4644,213,98516,917,31490,060,7638105
191478,624,3094,286,80016,819,31899,730,42787102
191576,410,0013,979,00019,670,909100,059,91086197
191681,464,7483,520,65024,651,999109,637,3979564
191783,877,8183,385,65042,572,637129,836,105112162
191888,707,8183,385,65058,746,587150,840,0551301211
191995,708,3283,385,65076,982,282176,076,26014985
192095,708,3293,385,650102,076,776201,170,755162129
192199,691,5151,655,450104,977,354206,324,319162157
1922105,919,1592,287,440110,847,786219,054,385168610
1923110,668,2682,159,490106,125,566218,953,32416542
1924114,876,8932,106,600104,632,868221,616,36116485
1925120,818,4872,952,200104,043,960227,814,647165211
1926128,047,6593,643,100107,164,719238,855,47816986
1927132,512,8054,042,450109,295,634245,850,889170190
1928139,756,9734,168,850107,470,429251,396,252172185
1929149,346,2444,168,350110,677,389264,191,983179119
1930146,580,5024,276,750116,526,091267,383,343179110
1931154,546,9414,175,350117,311,067276,033,358182120
1932135,541,6553,914,550118,386,395257,842,60016904
1933137,300,5032,868,710118,353,545258,522,75816819
1934136,807,9052,908,150138,975,741278,691,796179159
1935136,872,0302,183,550117,425,437256,481,0171646 
1936134,611,7301,592,650122,256,518258,460,89816444
1937132,636,816891,900130,041,284263,570,00016612
1938132,756,816882,600132,461,726266,101,142165170
1939132,752,816879,600146,237,656279,870,07217252
1940133,763,070879,600164,164,666298,807,33618220
1941134,271,389879,600190,176,386325,327,375198167
1942129,655,363862,300230,779,870361,297,53322114
1943134,174,098862,300304,688,774439,725,172269111
1944135,007,628862,300366,746,933502,616,861305150
1945135,182,183861,300403,274,133539,317,61632107
194696,620,083861,300472,749,936570,231,3193241111
194796,620,083861,300482,990,107580,471,49032478
194885,278,475779,000494,111,972580,169,44731776
194982,053,009628,226534,395,305617,076,540330190
195080,230,431628,226565,112,485645,971,14233995
195179,899,153..589,425,325669,324,47834573
195279,898,753..575,854,580655,753,33333080
195379,881,093..589,898,350669,779,443328144
195489,880,637..616,581,185706,461,82233879

NOTE.—Figures for 1932 and later years exclude £24,100,200 contingent liability in respect of which interest payments have been suspended by agreement with the United Kingdom Government since 1931.

LOCAL AUTHORITIES*

Year Ended 31 MarchReceiptsPaymentsTotal Gross Indebtedness
RevenueOther ReceiptsTotals
From RatesFrom Other Sources

† Debt shown at its nominal amount, that portion domiciled overseas not being converted to its New Zealand currency equivalent. In terms of New Zealand currency gross debt at 31 March 1954 amounted to £(N.Z.)73,368,078.

 ££££££
1904950,1501,206,0691,142,5953,298,8143,230,71210,756,062
19051,019,4311,255,2221,350,6313,625,2843,497,32112,056,736
19061,151,2191,392,1481,326,5973,869,9643,601,50612,873,165
19071,233,0491,579,3911,227,4734,039,9133,897,51513,903,153
19081,356,2571,750,6651,410,9944,517,9164,491,11314,931,351
19091,390,6981,934,1221,440,7464,765,5664,800,71115,920,757
19101,526,3171,934,0342,362,1715,822,5224,898,48217,809,917
19111,592,6012,171,7251,776,9585,541,2845,360,26119,104,571
19121,677,8772,298,9342,425,2586,402,0696,074,37220,763,486
19131,799,2992,531,6862,383,1236,714,1086,537,76922,183,427
19142,005,6382,719,1122,411,5757,136,3256,796,31423,773,429
19152,140,0862,861,2972,595,7067,597,0896,806,56724,538,721
19162,355,1552,967,6452,469,2757,792,0756,920,73626,045,312
19172,534,5393,243,9421,411,4227,189,9036,758,59326,799,586
19182,674,5413,283,7491,250,0477,208,3377,103,07327,653,681
19192,939,6063,452,071942,7807,334,4577,320,27728,074,950
19203,144,2134,486,5823,329,00310,959,79810,883,58630,187,942
19213,549,5905,336,3743,429,66212,315,62612,761,69032,104,957
19223,779,8956,074,7825,486,91215,341,58915,091,87536,745,089
19234,277,7816,243,9517,399,67417,921,40615,695,50743,191,184
19244,445,6276,704,1445,685,10716,834,87816,520,95046,537,833
19254,668,8847,512,0807,613,39919,794,36319,422,83353,353,466
19265,039,6458,333,9217,505,70220,879,26820,915,64559,419,754
19275,311,2608,954,6856,680,17620,946,12121,747,55764,012,247
19285,615,6729,786,2715,667,65121,069,59422,423,16766,404,172
19295,844,4959,583,5766,042,00721,470,07821,300,02469,294,619
19306,010,98710,746,7315,495,42722,253,14522,061,08871,207,539
19315,637,25410,627,3914,432,95620,697,60122,174,52472,686,036
19325,511,8189,682,2514,374,25119,568,32020,087,38172,402,282
19335,237,6888,913,2854,433,29418,584,26718,885,17372,476,056
19345,541,2558,688,4123,821,77918,051,44617,737,79271,969,387
19355,511,4429,167,2873,943,48818,622,21718,744,89171,245,458
19365,585,8559,552,5484,348,53419,486,93719,337,24270,400,176
19375,994,3539,979,4374,252,80320,226,59320,222,71568,559,750
19386,541,35411,005,2934,389,62021,936,26722,051,14768,060,951
19396,971,55011,750,6266,254,79224,976,96825,078,93568,206,674
19407,289,24012,669,5286,772,32726,731,09525,709,19569,486,970
19417,344,05513,144,2164,651,63325,139,90424,726,62867,974,687
19427,441,70413,399,3653,175,46724,016,53624,072,09266,645,990
19437,764,67714,082,8222,640,25224,487,75123,228,43465,131,074
19447,823,73015,144,7442,053,62925,022,10323,801,19763,262,828
19457,895,87115,472,5272,086,27525,454,67325,223,64361,237,937
19468,633,32915,843,8012,743,83727,220,96727,354,63360,025,864
19479,541,13317,018,8473,737,37130,297,35130,479,17457,768,259
19489,806,85917,824,0644,408,01432,038,93732,457,32657,117,475
194910,797,08419,756,7965,458,23236,012,11235,812,47356,605,024
195011,644,74821,079,1817,366,69340,090,62239,664,25456,302,066
195112,577,01722,626,0157,461,07142,664,10343,242,42756,086,596
195214,513,76625,154,8939,543,03549,211,69448,846,24657,869,169
195315,354,00428,716,67714,614,67058,685,35158,337,34264,427,185
195416,421,12733,522,24919,283,20569,226,58168,279,75873,428,916

* Exclusive of Hospital Boards.

LOCAL AUTHORITIES*—LOAN INDEBTEDNESS

(Exclusive of Inscribed Debt)

As at 31 MarchCountiesBoroughsHarbour BoardsElectric Power DistrictsOtherTotals
 ££££££
19046,2144,226,8004,308,851..357,0458,898,910
19057,8004,863,9864,382,551..763,90510,018,242
190615,2285,314,1734,554,151..834,49910,718,051
190731,6785,920,3054,676,551..987,51411,616,048
190837,1386,540,0714,877,676..1,077,44912,532,334
190956,5347,016,9265,052,845..1,177,31713,303,622
191076,8777,687,2095,788,400..1,385,19914,937,685
1911185,6318,399,3276,002,400..1,544,41816,131,776
1912404,0789,148,7716,271,717..1,952,92217,777,488
1913605,3539,981,9746,431,827..2,175,97519,195,129
1914800,51511,061,3436,696,029..2,373,39220,931,279
19151,025,60111,352,8026,990,573..2,389,25321,758,229
19161,162,17012,364,0567,135,895..2,655,01723,317,138
19171,260,30712,918,9907,271,594..2,658,28324,109,174
19181,476,41213,461,9197,387,125..2,697,98125,023,437
19191,653,61913,679,6587,417,488..2,769,78425,520,549
19202,032,96015,295,9587,495,641..2,892,19227,716,751
19212,525,84516,041,3687,650,479147,7503,313,89229,679,334
19223,006,58218,060,3228,250,2721,480,0003,566,12334,363,299
19233,803,33421,596,4658,588,9783,052,3003,808,44040,849,517
19243,997,00922,075,0039,173,4844,740,8654,237,16844,223,529
19254,616,68825,882,8659,750,6606,514,7574,315,89851,080,868
19265,390,00328,025,7009,993,2598,745,7555,025,42057,180,137
19275,992,37530,044,39410,257,78110,113,4005,414,67061,822,620
19286,205,46831,599,32410,476,88310,175,3645,817,39064,274,429
19296,350,94232,244,48110,774,13911,986,7075,860,26267,216,531
19306,533,32231,521,14910,460,69212,636,3518,028,55569,180,069
19316,641,05732,139,38910,509,20713,011,5298,415,82770,717,009
19326,685,90531,683,23810,549,49313,121,9608,437,12170,477,717
19336,614,05631,791,67510,620,44213,031,9308,550,25170,608,354
19346,557,84931,358,64710,496,53313,213,0798,522,06970,148,177
19356,402,88930,992,12910,524,78813,399,0538,185,80069,504,659
19366,228,61430,773,34210,218,67213,484,9888,040,46368,746,079
19376,124,76630,505,61210,152,12812,026,6878,141,18566,950,378
19386,082,79430,542,4319,894,11511,890,0318,077,64266,487,013
19396,106,54430,600,6549,746,94012,471,3157,752,76266,678,215
19406,184,12730,768,9939,960,63913,114,6887,977,87268,006,319
19416,154,29330,024,4759,927,57813,106,7747,331,18766,544,307
19426,101,05929,647,1559,796,64712,499,0467,288,87865,332,785
19435,873,13828,852,6489,790,65912,376,5587,076,09363,969,096
19445,632,53428,212,1599,700,96211,828,5086,933,58062,307,743
19455,386,09127,567,4559,496,76311,535,5226,428,80760,414,638
19465,195,74627,230,7739,365,14911,190,5866,360,07859,342,332
19474,957,17126,713,1548,406,37810,841,8136,253,31657,171,832
19484,762,96526,479,0068,234,16311,093,7226,042,98956,612,845
19494,630,63625,924,9258,046,46111,579,5135,999,98156,181,516
19504,466,33126,075,2347,785,29811,996,8325,719,06756,042,762
19514,316,31426,236,0877,381,72212,461,5125,602,45355,998,088
19524,276,33127,158,4887,496,23113,003,5045,918,66457,853,218
19534,322,60229,739,0568,886,36114,421,8567,052,48064,422,355
19544,309,59733,991,46210,362,12015,969,8298,794,88273,427,890

* Exclusive of Hospital Boards.

† Debt shown at its nominal amount, that portion domiciled overseas not being converted to its New Zealand currency equivalent.

TRADING BANKS ASSETS AND LIABILITIES: NET NOTE CIRCULATION (Average of Four Quarters up to 1929, thereafter Weekly Averages)

YearTrading Bank AssetsTrading Bank LiabilitiesNotes in Circulation*
AdvancesCoin and Bullion*Totals (All Assets)DepositsTotals (All Liabilities)

* Gold coin and bullion, and note-issue functions, taken over by Reserve Bank (August 1934). The Reserve Bank assumed liability for the outstanding notes of the trading banks as from 1 August 1936.

† As at last balance day in December from 1934 onwards.

 ££££££
190414,651,1983,896,19520,893,09619,074,96020,643,3591,468,161
190515,496,3954,006,10821,770,52520,545,60122,144,1661,468,977
190616,649,3294,593,95423,829,93322,422,24324,143,0081,574,254
190718,514,0454,836,71826,584,23923,517,11125,334,3481,644,645
190821,172,8084,840,94229,098,56721,821,75323,611,9031,615,109
190919,078,0324,947,09626,937,26521,996,62123,728,3261,577,558
191018,439,9995,035,76426,398,92724,968,76126,742,0811,626,094
191121,259,7275,195,33329,433,61426,765,12228,625,8031,677,842
191222,907,6565,338,29531,196,40025,622,08327,508,3481,714,667
191322,902,2985,204,26630,708,93225,733,18727,591,0991,674,333
191424,250,2465,712,75132,502,31227,640,50729,808,3491,998,388
191523,638,9706,781,00633,209,48331,433,65334,448,2702,846,275
191624,911,7067,393,91737,015,48637,507,91741,977,6194,049,529
191728,847,7498,072,27944,979,61542,930,71348,541,9615,410,957
191831,711,3508,085,96148,570,12645,562,93952,048,7326,266,768
191931,717,7208,017,15948,615,20950,489,44457,861,3937,087,545
192038,241,9327,728,94256,111,43359,405,34167,818,4697,890,418
192150,607,5417,660,53268,701,28249,397,41158,808,4397,569,319
192244,768,1787,822,56261,779,57045,913,39453,868,8347,019,220
192343,322,2427,900,59459,641,23549,039,48256,204,2926,593,068
192444,537,1617,816,14561,325,86549,502,49957,131,2356,587,546
192545,298,9557,722,91762,128,80852,207,20260,219,6976,775,470
192649,149,2607,797,31965,765,29750,135,11458,008,1616,730,421
192750,032,2037,874,97166,626,67648,294,09656,321,3976,510,018
192846,179,4637,511,83362,819,48553,799,22161,850,5956,374,043
192949,378,0817,048,45665,475,52957,636,20265,232,8666,360,570
193053,657,3616,798,55569,748,07156,424,97963,984,4196,187,133
193152,419,5236,924,10568,557,12053,645,01761,463,0345,733,595
193250,255,7415,957,93369,015,20952,851,82360,649,2085,916,839
193345,705,0475,105,84969,656,70057,620,23965,281,3756,162,905
193441,409,6843,423,18873,509,17763,381,61169,259,2716,285,605
193544,699,629767,88183,008,62661,453,31465,981,4116,419,928
193645,918,432720,31783,865,50165,153,97265,939,6497,500,362
193749,199,592742,50085,822,90266,842,69267,842,2408,921,024
193855,650,064875,82585,072,32965,038,69066,820,7369,989,336
193954,745,801746,80196,108,63767,279,45175,978,46012,013,852
194047,954,499717,662101,496,18377,364,43082,032,69614,790,714
194149,746,397761,914105,291,60480,720,10184,073,58517,434,751
194245,439,520686,902118,948,66990,880,339100,768,35521,496,700
194343,249,581643,614132,698,632106,323,897114,628,31627,636,150
194446,773,498713,076140,938,803117,568,290122,214,22432,101,972
194551,766,198683,795164,498,691130,137,939142,594,98834,983,041
194658,270,843727,125179,027,829149,777,364160,503,84138,198,343
194776,475,734906,335191,991,738164,169,520177,593,48840,127,082
194888,159,7641,393,196193,458,134175,668,670190,538,28640,796,344
194983,357,0421,501,540208,278,008186,092,099208,920,06942,535,030
195094,715,1171,687,717225,348,566202,200,423233,969,02245,227,947
1951132,916,9451,531,922270,300,864250,722,652275,255,99948,970,195
1952169,841,4861,471,298268,151,473252,967,759255,082,76350,978,408
1953136,827,1081,540,103291,294,841265,269,411281,557,37553,387,145
1954156,972,8231,454,710301,633,467281,750,319305,827,08257,672,848

POST OFFICE SAVINGS-BANK

YearNumber of Depositors at End of YearTotal Amount of Deposits During YearTotal Amount of Withdrawals During YearExcess of Deposits Over WithdrawalsInterest Credited to DepositorsTotal Amount to Credit of Depositors at End of Year

*Fifteen months, 1 January 1920 to 31 March 1921.

† Excess of withdrawals over deposits

‡ Does not include £11,447,754 from war gratuity accounts transferred to Post Office Savings-bank as from 31 March 1949 and transactions in respect of which are shown in next line in italics.

  £££££
1903243,6755,661,5935,343,828317,765187,1307,388,682
1904259,1645,836,5405,664,770171,770200,9307,761,382
1905276,0666,625,7445,984,185641,559259,0818,662,023
1906298,7467,907,1556,907,1041,000,051291,1929,953,266
1907319,7739,351,6648,125,1231,226,541343,42411,523,231
1908342,0779,674,0759,417,820256,255379,80812,159,294
1909359,7149,611,1209,499,320111,800395,80412,666,898
1910380,58510,708,9399,695,5151,013,424424,66814,104,990
1911405,56611,627,36810,662,046965,322472,87515,543,187
1912432,19911,725,18311,449,711275,472511,59916,330,257
1913458,59411,286,70211,041,454245,248555,90817,131,414
1914483,26211,904,32310,603,0181,301,305615,31019,048,029
1915509,08513,706,05711,294,9732,411,084707,25222,166,365
1916538,07215,576,40812,957,4202,618,988817,85625,603,209
1917566,35117,106,52914461,1692,645,360947,82129,196,390
1918590,20518,101,10514,938,8423,162,2631,059,47233,418,125
1919630,78329,758,44725,962,3773,796,0701,178,93538,393,130
1920–21*664,81944,302,85241,162,4863,140,3661,818,53543,352,031
1921–22678,93029,125,99730,236,231−1,110,2341,599,90743,841,704
1922–23690,79026,682,42727,769,263−1,086,8361,605,52544,360,393
1923–24710,15729,598,37229,510,32188,0511,649,97646,098,421
1924–25735,14829,582,89730,413,609−830,7121,680,92046,948,628
1925–26758,15531,833,62232,602,506−768,8841,731,57847,911,322
1926–27783,82729,456,38330,149,629−693,2461,767,42648,985,502
1927–28804,72527,611,06630,584,998−2,973,9321,747,15647,758,726
1928–29828,29627,252,38128,111,940−859,5591,745,05048,644,217
1929–30852,75728,561,85429,575,994−1,014,1401,806,41449,436,491
1930–31878,04324,531,56928,063,338−3,531,7691,763,82547,668,547
1931–32877,09019,463,98525,488,081−6,024,0961,611,04843,255,499
1932–33797,09716,933,17619,635,928−2,702,7521,475,87442,028,621
1933–34798,26219,428,85317,818,1721,610,6811,231,08944,870,391
1934–35817,61724,179,53720,946,5623,232,9751,320,34849,423,714
1935–36840,67125,619,77523,533,5962,086,1791,406,45952,916,352
1936–37880,85730,676,96927,042,0033,634,9661,514,22058,065,538
1937–38920,80533,041,08229,629,0743,412,0081,669,38463,146,930
1938–39946,82230,434,29134,597,708−4,163,4171,726,57460,710,087
1939–40960,56525,151,28729,462,838−4,311,5511,603,46758,002,003
1940–41992,79228,607,22125,319,1463,288,0751,666,71062,956,788
1941–421,039,78332,044,73425,376,7456,667,9891,820,60571,445,382
1942–431,086,99638,097,07026,889,33911,207,7311,816,82084,469,933
1943–441,128,93647,648,75435,580,16512,068,5892,075,67698,614,198
1944–451,161,88654,585,12042,158,65612,426,4642,451,628113,492,290
1945–461,203,18167,861,04255,626,41912,234,6232,787,413128,514,326
1946–471,239,94872,380,54362,747,0939,633,4503,094,491141,242,267
1947–481,277,26572,553,41468,660,4583,892,9563,307,081148,442,304
1948–491,311,29270,690,64067,722,7242,967,9163,438,790154,849,010
1949–50..11,447,7543,792,8467,654,908..170,982,452
1,372,67277,963,43073,306,1814,657,2493,821,285
1950–511,407,24186,395,33185,190,0071,205,3243,915,006176,102,782
1951–521,450,30998,205,64393,748,8184,456,8254,079,606184,639,213
1952–531,485,85299,125,77496,699,5592,426,2154,208,308191,273,736
1953–541,520,988109,340,23999,134,78310,205,4564,442,620205,921,812

POSTAL

YearLetters, Cards, etc., Posted and DeliveredTotal Mail Matter (Including Parcels) Posted and DeliveredMoney-orders IssuedPostal Notes IssuedPostal Revenue*
NumberAmountNumberAmount

* Year ended 31 March following from 1946.

† Counted once only in early years and from 1941.

‡ Not available.

§ Increase largely accounted for by withdrawals from savings-bank accounts for payment at sub-post-offices being paid by Savings-bank money orders as from 31 March 1946.

    £ ££
190361,687,457102,732,717396,3121,416,225707,044215,275343,207
190466,501,434110,778,154407,7831,476,887785,347244,719383,243
190571,116,261122,493,568417,4411,541,712875,324270,300410,967
190679,084,566132,936,185439,0201,686,231981,642307,323438,729
1907159,680,654255,279,486441,4871,773,5911,092,631340,436478,388
1908175,440,111281,699,027488,0842,050,6841,222,280383,472544,642
1909186,926,337295,886,182538,7402,307,5931,414,752441,099566,990
1910196,768,968310,236,516569,6572,457,5231,666,959517,315603,150
1911205,450,627323,663,638607,7642,759,3931,821,566566,650613,252
1912214,184,119333,620,976666,4253,231,3501,970,643627,443644,637
1913223,961,200338,400,371690,7453,357,7742,238,842711,518695,136
1914233,901,320359,031,400691,5183,427,5052,314,327714,683698,898
1915242,547,859356,519,892664,8603,471,8182,370,079712,753858,583
1916242,121,361347,016,697669,3553,607,0872,286,463685,708964,793
1917245,796,945344,962,697642,6833,476,6452,166,597628,920976,027
1918242,527,369333,826,886638,5003,649,3712,091,051610,591983,585
1919247,143,183340,448,228690,2914,604,0592,197,520646,4111,068,489
1920259,743,234360,747,489699,6745,276,7762,280,219691,2011,352,677
1921253,767,131359,096,963669,3834,850,8202,377,622723,2541,499,304
1922239,997,081356,188,284659,9434,278,5292,434,506730,2321,378,421
1923252,021,959383,196,807684,9794,390,1592,652,777786,1461,146,588
1924272,311,925426,907,636731,5114,692,9292,846,333840,5591,257,942
1925294,630,760471,503,757766,6894,977,2303,040,722902,1191,320,277
1926298,617,089486,381,016793,1105,033,1273,329,638965,2701,400,886
1927297,478,294496,553,440803,5354,995,0903,614,2171,015,2131,439,587
1928298,548,364517,749,720807,8854,977,5223,575,9841,057,6241,426,936
1929309,162,103532,070,649835,3585,187,5533,816,6351,123,4461,498,684
1930313,148,058542,003,413833,5055,069,6293,907,2881,128,8071,582,550
1931263,633,952465,484,009714,4783,993,0352,884,654952,4441,744,553
1932246,395,130436,615,397648,9513,335,5522,686,648958,3731,393,655
1933261,979,312461,132,572635,6743,112,7292,883,0701,061,9461,294,757
1934275,063,943486,830,600654,6213,209,7133,325,5611,140,6951,384,265
1935288,645,484526,126,679673,0573,374,0293,827,4171,293,9551,466,857
1936292,098,761534,097,248733,9663,794,6483,833,2881,378,3871,628,868
1937302,170,027547,687,799784,4954,312,6293,746,5601,454,7931,822,308
1938316,309,341608,682,253848,0504,802,2933,835,4001,485,4262,033,488
1939312,603,575591,476,930911,4845,094,3643,374,8521,323,3981,938,607
1940296,684,295531,941,815812,6674,435,0072,558,9161,020,6302,084,351
1941142,996,000261,870,000751,7224,302,1262,408,020980,9522,194,042
1942817,3984,960,5612,242,034933,6342,283,847
1943786,5115,500,6872,215,572945,2932,464,304
1944762,1795,989,3692,223,041951,9892,619,066
1945140,355,000236,844,000769,8577,202,2002,266,285982,5972,645,257
1946160,680,000*294,326,000*903,36910,624,440§2,354,4771,028,1114,009,763
1947159,778,000301,067,000917,29010,804,3142,464,7831,071,6134,092,930
1948162,131,000319,229,000942,65410,842,8652,483,9291,106,4794,293,823
1949169,798,000343,024,000952,21410,855,6482,460,7621,119,6674,185,348
1950178,857,000358,183,000977,00011,638,0912,371,5771,083,9774,500,237
1951174,591,000346,654,0001,026,51012,680,8982,349,8901,115,5645,525,253
1952176,895,261357,610,8841,090,86214,373,8912,297,2391,101,0045,663,753
1953173,532,000359,345,9321,136,34914,666,6382,230,1671,080,0766,638,776

GOVERNMENT RAILWAYS

Year Ended 31 MarchMiles Open for TrafficCapital Cost of Open LinesTrain-mileagePassengers Carried, Excluding Season-ticket HoldersGoods and Live-stock*RevenueExpenditure

* Equivalent tonnage of live-stock.

† From 1925–26, figures relate to railway operation only.

‡Capital cost written down by £10,400,000.

  £  Tons££
19042,32820,692,9115,685,3998,306,3834,259,2172,180,6411,438,724
19052,37421,701,5726,107,0798,514,1124,185,4672,209,2311,492,900
19062,40722,498,9726,413,5738,826,3824,415,1662,349,7041,621,239
19072,45823,504,2726,755,4549,600,7864,824,5632,624,6001,812,482
19082,47424,365,6477,051,2749,756,7165,070,1762,761,9381,949,759
19092,67427,762,5927,458,23610,457,1445,135,4032,929,5262,114,815
19102,71728,513,4767,889,16611,141,1425,490,0183,249,7902,169,474
19112,75329,606,5468,141,07511,200,6135,863,6743,494,1822,303,272
19122,79830,506,0898,371,68711,891,1345,887,9083,676,5092,465,896
19132,85131,611,2209,016,22413,123,8796,246,1283,971,0022,705,609
19142,85432,355,0879,319,26813,355,8936,019,6334,043,3282,880,323
19152,94534,133,8259,383,42013,565,7726,453,4724,105,4572,920,455
19162,96034,857,8829,356,52214,201,5066,370,9454,548,3562,910,883
19172,96035,378,6649,146,33114,173,1156,259,1734,800,8102,926,864
19182,98336,001,4327,468,64611,408,1565,742,9684,687,7003,042,907
19192,98336,167,6817,477,58311,374,5215,611,7384,988,6323,308,575
19202,99636,390,1157,408,60812,760,8146,000,2795,752,4874,105,067
19213,00937,235,2549,303,39215,315,6406,487,2796,908,5315,636,601
19223,02139,309,0978,717,26514,262,4406,321,3516,643,5916,237,727
19233,02840,275,1618,346,73114,256,6106,618,5886,727,8025,502,497
19243,05341,399,4279,024,50313,817,3786,918,3496,984,2115,403,766
19253,08544,570,7469,083,62312,397,0797,025,3167,112,5245,545,416
19263,13847,608,67610,319,40711,787,7237,246,6927,589,2746,164,570
19273,16449,183,91610,723,86410,274,8787,299,7527,423,4726,158,283
19283,18051,187,37610,838,5949,272,5477,358,3887,343,8456,302,119
19293,28756,568,59811,113,4829,046,9817,613,4457,524,8646,374,579
19303,28757,787,67112,022,0438,466,7797,788,9737,473,9936,848,026
19313,32260,545,15411,281,8987,265,9126,957,7096,781,3886,406,143
19323,31551,424,88310,168,7206,503,5665,824,8115,788,9655,301,653
19333,31551,480,9499,828,8536,870,5705,490,6865,339,0754,833,754
19343,32053,909,34710,163,4747,511,3465,642,1995,628,8354,877,146
19353,32054,089,19010,626,4007,809,0356,023,9605,908,0645,138,588
19363,32054,253,05911,050,3767,963,8246,188,8056,243,5195,523,193
19373,32054,696,43711,868,0838,284,9566,813,2406,903,6046,338,385
19383,32356,065,18712,777,8528,069,0187,516,0497,591,8257,291,785
19393,31958,676,60813,072,6157,813,4367,539,0128,005,0597,663,632
19403,39063,059,18813,366,7988,283,0677,673,9508,761,6377,943,120
19413,39064,762,79413,559,6469,440,0878,426,1829,694,1908,406,790
19423,39064,904,02013,978,96111,105,6278,473,76510,383,8808,902,592
19433,46068,685,06315,139,88217,171,2148,887,08912,415,08010,019,659
19443,50470,999,12515,328,98718,317,3239,026,62613,464,97911,365,917
19453,50471,353,57412,802,53613,629,5238,954,23912,448,30711,696,895
19463,52874,466,73113,454,50813,553,0839,210,46613,104,58712,549,724
19473,52875,354,24313,169,23310,222,3259,329,33312,823,78413,644,779
19483,52677,089,03113,712,1038,111,4179,524,04313,964,28015,090,091
19493,52678,796,32013,895,4887,708,0499,666,13015,338,88216,788,256
19503,52681,551,76314,420,8527,881,2559,948,26116,062,06617,360,913
19513,53184,992,09314,153,2117,574,2759,615,85718,500,34418,725,416
19523,53988,026,72312,371,0435,641,9709,828,77120,097,24221,515,300
19533,53593,329,71813,409,3805,779,38910,025,93922,588,75822,755,397
19543,50497,622,33813,718,8966,840,6179,635,06123,682,36523,621,403

BANKRUPTCIES AND NEW COMPANY REGISTRATIONS

YearBankruptciesNew Company Registrations*
Number of BankruptciesAmount Realized by Official AssigneeAmount of Debts ProvedNumber of New RegistrationsAmount of Nominal Capital

* Public, private, and overseas.

† Not available.

‡The extraordinarily high figure for 1934 is due to the inclusion of all overseas companies (numbering 187 with an aggregate nominal capital of £193,023,363) which had previous to 1934 established places of business in New Zealand and which were re-registered in 1934 under part XII of the Companies Act 1933.

  ££ £(000)
190425743,514125,392
190530447,798146,332
190634750,761192,927
190735059,849158,663
190840667,018199,069
190947171,351259,017
191039379,100176,001
191134440,009133,517
191231239,965120,325
191334342,735228,829
191439164,153199,251
191529463,310153,926
191630456,416172,7742584,073
191726563,645178,2442615,367
191816467,72988,6072003,055
191914154,66259,7673285,943
192014547,89777,7525019,564
192133678,271558,5043373,498
1922690126,145834,35641713,125
1923674124,641668,92550213,006
1924670118,641703,99556521,367
192565398,648471,02862114,760
1926752102,899585,68765510,748
1927867108,850679,4736988,702
1928806116,613767,32773610,985
192968791,180502,11290312,472
193078083,308827,3458936,703
1931848108,8091,042,1877958,284
193266175,657624,8928126,866
193345061,723489,8958307,301
193432644,533258,920933200,739
193525741,037225,50881024,238
193626032,983169,8669429,935
193722255,970171,7068886,113
193826764,511230,4638246,576
193926744,171225,4906818,910
194021342,418125,2893913,779
194116535,45371,01128811,246
19428229,75332,227198961
19434518,88320,0522701,547
19445113,46651,0354641,490
19454518,530118,2167413,383
19465220,94248,5061,43511,064
19477415,52844,7311,8139,575
194814850,280143,2821,7513,684
194917938,410203,1732,1577,982
195014249,252125,9172,07410,178
195114548,269136,8222,02012,807
195216856,241251,1291,74433,408
195321572,162381,0172,04143,034
195427782,571413,447

INSURANCE

YearLifeAccidentFire
Policies in ForceSum AssuredNet Revenue*Net Expenditure*Net Revenue*Net Expenditure*

*Excluding unexpired risks reserves.

 Number£(000)££££
1910201,63335,426345,221204,383....
1911215,84637,211272,473228,210....
1912230,49839,321326,702254,058....
1913241,25740,989341,951260,596....
1914249,70642,254351,194287,512....
1915260,30843,778344,640291,634....
1916273,91245,333355,289302,204....
1917282,96846,417356,480321,027....
1918298,78249,341363,673326,724974,140747,606
1919318,08353,684456,054398,5361,101,461769,708
1920338,68858,504540,551454,9411,281,905885,944
1921357,14162,690714,575618,8181,403,6761,159,140
1922369,76365,219718,246651,9311,429,4431,169,047
1923389,05870,386767,243707,4681,434,8761,206,829
1924411,79675,936868,930791,4531,445,5771,279,313
1925433,31781,4001,157,968979,8831,516,9801,223,585
1926455,41886,7541,330,6781,145,1171,490,6071,352,312
1927480,00792,1101,341,0531,223,6091,497,2371,445,405
1928503,30098,0741,423,0951,299,0111,500,7711,533,615
1929531,905105,2711,662,7201,449,2041,516,3151,332,547
1930552,757112,0671,745,4491,548,9751,552,8261,306,634
1931546,455112,7031,526,2701,456,4861,553,6931,451,643
1932543,287112,0931,319,0901,181,4171,493,0141,165,770
1933558,457112,8761,266,1811,112,3381,428,4681,078,860
1934588,650116,5571,392,6411,201,0611,372,6191,049,632
1935627,719123,9041,512,8371,404,2401,375,3221,019,193
1936686,139136,0131,763,9851,700,3431,355,084987,415
1937751,023150,8022,223,3432,135,0311,294,825933,462
1938800,810161,0962,606,2512,336,3131,330,1821,010,553
1939835,886170,4152,819,6022,392,3971,392,4321,058,639
1940864,657177,5042,641,1972,304,7611,442,0831,122,533
1941900,065187,2072,605,1532,228,0911,507,1451,167,026
1942921,827193,7592,391,1152,064,9901,561,8831,336,801
1943953,953204,1932,679,9912,291,7651,679,1271,324,235
1944991,976219,0242,718,0172,432,3071,571,3041,285,538
19451,035,812238,5962,961,4002,652,4631,640,0041,352,787
19461,095,583265,8533,378,6232,341,5641,828,3891,543,546
19471,150,999296,3234,037,2883,460,8492,043,4251,673,587
19481,192,114324,9414,471,3223,984,7302,322,3611,712,184
19491,225,708353,4535,054,4014,495,1802,553,7771,922,472
19501,263,092387,2165,987,2995,210,5182,748,5242,237,736
19511,304,290433,0126,830,4826,060,3013,053,0222,428,733
19521,344,699479,0848,186,5047,202,6123,408,7942,792,279
19531,383,709529,1079,183,4618,030,9363,754,8453,083,966

Appendix A. APPENDICES

(a) PRINCIPAL EVENTS

CHRONOLOGICAL LIST OF SOME NOTEWORTHY EVENTS IN THE HISTORY OF NEW ZEALAND

1642. Discovery of New Zealand by Tasman.

1765. Discovery of Pukapuka Island, in the Cook Islands Group.

1769. Captain Cook's first visit to New Zealand.

1773. Captain Cook discovered Island of Manuae, in the Cook Islands Group.

1788. Discovery of Macaulay and Curtis Islands (Kermadec Group), and of Bounty Islands.

1791. Discovery of Snares and Chatham Islands.

1792. First sealing gang left on New Zealand coast.

1793. Discovery of Raoul or Sunday Island (Kermadec Group). Visit of Lieutenant-Governor King, of Norfolk Island, to Doubtless Bay.

1800. Discovery of Antipodes Islands.

1806. Discovery of Auckland Islands.

1807. Defeat of Hongi and the Ngapuhi Tribe.

1810. Discovery of Campbell Island.

1814. Arrival of Rev. Samuel Marsden, and introduction of Christianity. Horses, cattle, sheep, and poultry first brought to New Zealand.

1818. Hongi's and Te Morenga's great expedition to East Cape.

1819–20. Raid on Taranaki and Port Nicholson by Patuone, Nene, and Te Rauparaha.

1820. Hongi's visit to England. First vessel entered Auckland Harbour.

1821. Hongi's capture of Mauinaina Pa and Te Totara Pa. Ngati-Toa migration from Kawhia to Otaki.

1822. Fall of Matakitaki Pa, Waikato, to Hongi.

1823. Fall of Mokoia Pa, Rotorua, to Hongi.

1823–28. Jurisdiction of Courts of Justice in New South Wales extended to British subjects in New Zealand.

1824. Fall of Te Whetumatarau Pa to Pomare.

1825. First attempt at colonization, by an expedition under Captain Herd. Great defeat of Ngati-Whatau by Hongi.

1827. Hongi's forces destroyed mission station at Whangaroa.

1828. Death of Hongi.

1829. Brig Hawes captured by Maoris.

1830. Battles of Taumata-wiwi and Kororareka. Fall of Kaiapohia Pa, Canterbury, to Te Rauparaha.

1831. Tory Channel whaling station established. Application of thirteen chiefs for the protection of King William IV. Capture of Pukerangiora Pa, Waitara, by Waikato.

1832. Repulse of Waikato at Nga-motu Pa.

1833. Mr. James Busby appointed British Resident at Bay of Islands.

1834. Battle near Otaki. Waimate Pa shelled and captured by British—first occasion on which H.M. troops employed in New Zealand.

1835. Declaration of independence of the whole of New Zealand as one nation, with title of“ United Tribes of New Zealand.” Ngati-Awa tribes migrated to and conquered Chatham Islands.

1836. Battles between Waikato and Te Arawa.

1838. Pelorus Sound discovered. Arrival of Roman Catholic mission under Bishop Pompallier.

1839. Governor of New South Wales authorized to include within the limits of that colony any territory that might be acquired in sovereignty by Her Majesty in New Zealand. Preliminary expedition of New Zealand Company under Colonel Wakefield arrived at Port Nicholson.

1840. Arrival of New Zealand Company's settlers at Port Nicholson. Treaty of Waitangi signed. British sovereignty proclaimed. Captain Hobson appointed Lieutenant-Governor, with residence at Auckland. Settlements formed at Petre (Wanganui) and Akaroa.

1841. Issue of charter of incorporation of New Zealand Company. New Zealand proclaimed independent of New South Wales. Arrival of New Plymouth settlers.

1842. Settlement founded at Nelson.

1843. Affray with Maoris at the Wairau.

1844. Royal flagstaff at Kororareka cut down by Heke.

1845. Destruction of Kororareka by Heke.

1846. Arrival of first steam vessel (H.M.S. Driver) in New Zealand waters. Capture of pa at Ruapekapeka and termination of Heke's war. Maori hostilities near Wellington. Te Rauparaha captured and detained as a prisoner. New Zealand divided into two provinces, New Munster and New Ulster, and representative institutions conferred.

1847. Attack by Maoris on Wanganui.

1848. Suspension of that part of New Zealand Government Act which had conferred representative institutions. Severe earthquake at Wellington. Otago founded.

1850. Surrender of New Zealand Company's charter, all its interests reverting to the Imperial Government. Canterbury founded.

1852. Discovery of gold at Coromandel. Constitution Act passed, granting representative institutions to New Zealand, and dividing country into six provinces.

1854. Opening at Auckland of first session of the General Assembly.

1855. First members elected to the House of Representatives under system of responsible Government. Very severe earthquake on both sides of Cook Strait.

1856. Appointment of first Ministry under system of responsible Government.

1857. Goldfield opened at Collingwood.

1858. New Provinces Act passed. Hawke's Bay Province constituted.

1859. Establishment of Marlborough Province.

1860. Hostilities in Waitara district.

1861. Truce arranged with Waitara Maoris. Bank of New Zealand incorporated. Southland Province established. Gold discovered at Gabriel's Gully, Otago.

1862. Coromandel proclaimed a goldfield. Wreck of s.s. White Swan, with loss of many public records. First electric-telegraph line opened—Christchurch to Lyttelton.

1863. Wreck of H.M.S. Orpheus on Manukau bar, with loss of 181 lives. Control of Maori affairs transferred to Colonial Government. Commencement of Waikato War. Defeat of Maoris at Rangiriri, and occupation of Ngaruawahia. First railway in New Zealand, portion of Christchurch–Lyttelton line, opened.

1864. Severe fighting in Waikato and elsewhere, including Battles of Rangiaohia, Orakau, Gate Pa, and Te Ranga. First major discovery of gold on West Coast of South Island.

1865. Seat of Government transferred to Wellington. Further fighting, followed by proclamation of peace. Activities of Hauhau fanatics, including murders of Europeans. Rebel Maoris defeated at Wairoa.

1866. Further defeats of rebel Maoris. Commencement of Panama steam mail service. Cook Strait submarine telegraph cable laid.

1867. Opening of Thames Goldfield. Lyttelton Tunnel completed. Admission of four Maori members to House of Representatives as direct representatives of Maori people.

1868. Maori prisoners, under leadership of Te Kooti, seized schooner Rifleman and escaped from Chatham Islands to mainland, where they massacred Europeans. Considerable fighting with these and other rebel Maoris.

1869. Continuation of fighting with rebels and of pursuit of Te Kooti. Termination of Panama mail service. Visit of H.R.H. the Duke of Edinburgh. Government Life Insurance Office established.

1870. Further fighting with Te Kooti. Last of Imperial troops left New Zealand. Commencement of San Francisco mail service. Possession taken of Bounty Island. Inauguration of Vogel public-works policy. Act passed to establish the New Zealand University. Southland Province reunited with Otago.

1871. Commencement of railway construction under public-works policy.

1872. Resumption of friendly relations with Waitara Maoris. Appointment of Maori chiefs (two) to Legislative Council. Public Trust Office created.

1873. Establishment of New Zealand Shipping Company.

1874. In pursuance of immigration and public-works policy, 31,774 assisted immigrants arrived. Westland Province established.

1875. Resumption of amicable relations with Maori King. Establishment of Union Steam Ship Company. Abolition of Provinces Act passed.

1876. New Zealand connected by cable with Australia. Abolition of Provinces Act came into operation, provincial institutions being abolished and the country divided into counties and boroughs.

1877. Education Act passed, providing for free and compulsory education.

1878. Completion of the Christchurch–Invercargill railway.

1879. Trouble with Parihaka Maoris, under Te Whiti, and imprisonment of 180 of these. Triennial Parliaments Act passed. Adult male suffrage introduced. Kaitangata coal-mine explosion, whereby thirty-four lives lost.

1880. Release of Parihaka prisoners.

1881. Wreck of s.s. Tararua, with loss of 130 lives. Severe earthquakes in Wellington. Arrest of Te Whiti and Tohu.

1882. First shipment of frozen meat from New Zealand.

1883. Amnesty to Maori political offenders proclaimed. Te Whiti and Tohu released. Direct steam communication inaugurated between New Zealand and England.

1885. New Zealand Industrial Exhibition at Wellington.

1886. Tarawera eruption, involving loss of 101 lives and destruction of Pink and White Terraces.

1887. Annexation of Kermadec Islands. Members of House of Representatives reduced to seventy-four, including four Maoris.

1888. British protectorate over Cook Islands proclaimed.

1889. South Seas Exhibition at Dunedin.

1890. Great maritime strike. First election of House of Representatives under one-man-one-vote principle.

1891. Inauguration of Liberal régime under Hon. John Ballance, succeeded on his death in 1893 by Mr. Seddon. This and following years marked by passage of industrial and social legislation.

1892. Introduction of lease-in-perpetuity system of land tenure.

1893. Franchise extended to women. Special licensing poll introduced.

1894. Industrial Conciliation and Arbitration Act passed. Government Advances to Settlers Act passed. Wreck of s.s. Wairarapa, with loss of 135 lives.

1895. Government assumed management of Midland Railway.

1896. Brunner Mine explosion, causing sixty-seven deaths. Abolition of non-residential or property qualification to vote. Government Valuation of Land Act passed.

1898. Old-age Pensions Act passed.

1899. Labour Day instituted. New Zealand Contingent (the first of ten) sent to South Africa.

1900. Number of European representatives in Lower House increased to seventy-six.

1901. T.R.H. the Duke and Duchess of York visited New Zealand. Penny postage adopted by New Zealand. Cook and other Pacific islands annexed.

1902. Pacific cable opened. Wreck of s.s. Elingamite, with loss of forty-three lives. Conference of colonial Premiers in London.

1903. Empire Day proclaimed. State Fire Insurance Act passed.

1905. Workers' Dwellings Act passed. Title of New Zealand's representative in London altered to “High Commissioner.”

1906. Death of Right Hon. R. J. Seddon, Premier since 1893. Advances to Workers Act passed. New Zealand International Exhibition at Christchurch.

1907. New Zealand constituted a Dominion. Lease-in-perpetuity system of land tenure abolished. Parliament Buildings destroyed by fire.

1908. Through railway communication established between Wellington and Auckland. Wellington –Manawatu Railway purchased by Government. Second Ballot Act passed.

1909. S.s. Penguin wrecked in Cook Strait, with loss of seventy-five lives. Battle cruiser presented by New Zealand to Imperial Government. System of compulsory military training introduced.

1910. Field-Marshal Lord Kitchener reported and advised on New Zealand defences. Public Debt Extinction Act and National Provident Fund Act passed.

1911. Wireless telegraphy installed in New Zealand. Widows' Pensions Act passed. First poll on national prohibition taken.

1912. Foundation stone of new Parliament Buildings laid. Public Service placed under Commissioner control.

1913. Visit of Dominions Royal Commission. Visit of gift ship H.M.S. New Zealand to Dominion. Extensive strikes. Second Ballot Act repealed. Industrial, Agricultural, and Mining Exhibition at Auckland.

1914. Western Samoa occupied by New Zealand Advance Expeditionary Force. Main Expeditionary Force left for Egypt. Huntly coal mine disaster, whereby forty-three lives lost.

1915. New Zealand Expeditionary Force engaged in operations on Gallipoli Peninsula. National Cabinet formed. National register of men compiled. Pensions for miners introduced.

1916. New Zealand Division transferred to Western Front, Mounted Brigade being retained in Egypt. Compulsory enrolment of men for war service introduced. Lake Coleridge electric-supply scheme opened.

1918. S.s. Wimmera sunk by enemy mine off New Zealand coast, with loss of 26 lives. Otira Tunnel pierced. End of First World War. Great influenza epidemic, causing over five thousand deaths.

1919. Women made eligible for seats in Parliament. New Zealand represented at Peace Conference by Right Hon. W. F. Massey, Prime Minister.

1920. Visit of H.R.H. the Prince of Wales. Railway strike. First aeroplane flight over Cook Strait. League of Nations gave New Zealand mandate to administer Western Samoa. Anzac Day constituted.

1921. Samoa Act passed, making provision for government in terms of mandate. New Zealand represented at Disarmament Conference, Washington.

1922. Meat-export trade placed under control of a Board.

1923. Opening of Otira Tunnel. Ross Dependency proclaimed, and placed under jurisdiction of Governor-General. Dairy Produce Export Control Act passed.

1924. Railway strike. Direct two-way radio communication effected with England. Motor Vehicles Act provided for registration and annual licensing of motor vehicles. Land Transfer (Compulsory Registration of Titles) Act passed. Pensions for blind persons introduced.

1925. New Zealand and South Seas International Exhibition at Dunedin. Administration of Tokelau (Union) Islands transferred to New Zealand.

1926. Family Allowances Act passed.

1927. Visit of T.R.H. the Duke and Duchess of York. Summer Time Act passed. Petrol tax imposed.

1928. Kingsford Smith and party made first successful flight across Tasman Sea. Compulsory insurance of motor vehicles provided for by Motor Vehicles Insurance (Third-party Risks) Act.

1929. Severe earthquake in Murchison–Karamea district caused seventeen deaths. Daylight saving (half-hour) permanently adopted for summer months. Fatal clash between police and Mau at Apia, Western Samoa.

1930. Legislation providing for relief of unemployment first passed.

1931. Worst earthquake in history of New Zealand occurred in Hawke's Bay, resulting in the loss of 255 lives. General reduction of 10 per cent in wages and salaries. Parliament approved draft Statute of Westminster. Mortgagors' relief legislation passed.

1932. Industrial Conciliation and Arbitration Amendment Act made important changes in industrial legislation. National Expenditure Adjustment Act made reductions in old-age and other pensions, in salaries of State employees, and in rentals, interest rates, and other fixed charges. The historic Waitangi Estate presented to the nation by Their Excellencies Lord and Lady Bledisloe. New Zealand represented at Ottawa Conference.

1933. Exchange raised at instance of Government to £125 N.Z. for £100 London (telegraphic transfers). Sales tax of 5 per cent on wholesale sales instituted. Conversion of internal public debt with reduction in interest rates, and provision made for local authorities' interest reduction and loans conversion. Successful experimental shipments of chilled beef to England. Issue of New Zealand silver coinage.

1934. First official trans-Tasman air mail. Reserve Bank incorporated and commenced business. H.R.H. the Duke of Gloucester arrived on an official visit. First licensed air-transport service commenced operations.

1935. Bank notes of trading banks ceased to be legal tender. Rural Mortgagors Final Adjustment Act passed, and Court of Review established. National Government defeated at general election, and Labour Government assumed office for first of four successive terms.

1936. Inauguration of inter-Island trunk air services. Reserve Bank nationalized. System of guaranteed prices for butter and cheese introduced. Forty-hour week became operative. Powers of Court of Arbitration restored. Rail-car services inaugurated. New Zealand elected to seat on League of Nations Council.

1937. New Zealand represented at Imperial Conference by Right Hon. M. J. Savage, Hon. W. Nash, and Mr. W. J. Jordan. Death of Lord Rutherford of Nelson.

1938. Mr. W. J. Jordan, New Zealand's representative on League of Nations, elected President of the League Assembly. Social Security Act passed. Introduction of import selection and control.

1939. Declaration of war with Germany. Recruitment for 2nd New Zealand Expeditionary Force. Arrangements for purchase of primary products by Imperial Government. New Zealand Centennial Exhibition opened at Wellington. Issue of New Zealand bronze coinage. Naval engagement off River Plate, South America, in which H.M.S. Achilles, largely manned by New Zealand ratings, took part.

1940. Centennial celebrations. Departure of First Echelon of 2nd New Zealand Expeditionary Force. Death of the Prime Minister, the Right Hon. M. J. Savage; succeeded in office by Hon. P. Fraser. Declaration of war with Italy. R.M.S. Niagara sunk off New Zealand coast by enemy mine. Ballots for military service. National savings scheme inaugurated. Island of Nauru bombarded by enemy raider.

1941. Italian raider sunk by H.M.N.Z.S. Leander in Indian Ocean. Daylight saving period extended to cover whole year. Minesweeper H.M.N.Z.S. Puriri sunk by mine in Hauraki Gulf, five fatalities. First enrolment of married men for military service. Death penalty abolished, also flogging and whipping. Declaration of war with Finland, Hungary, and Rumania. Declaration of war with Japan. Territorial Forces mobilized.

1942. Complete mobilization of Military Forces ordered. Introduction of control of industrial man-power. Compulsory enrolment of all male British subjects between ages of eighteen and sixty-five inclusive, in Emergency Reserve Corps. Lend-lease reciprocal aid extended to include Australia and New Zealand. Gold to value of £2,397,000 salvaged from R.M.S. Niagara. Rationing introduced, principal items being tea, sugar, clothing, footwear, and household linen. Severe earthquakes in Wairarapa and Wellington districts on 24 June and 2 August. Mobilization of women for essential work. Thirty-seven lives lost in fire at Seacliff Mental Hospital.

1943. H.M.N.Z. Corvette Moa sunk by Japanese, with loss of five lives. Death of Right Hon. J. G. Coates, M.C., member of War Cabinet and former Prime Minister. North African campaign brought to a successful conclusion. Railway accident near Hyde—twenty-one persons killed and thirty-eight injured. 2nd N.Z.E.F. (3rd Division) took part in action against Japanese in the Pacific Area. Butter rationing introduced.

1944. Australian - New Zealand Agreement 1944, providing for collaboration on matters of mutual interest. Meat and egg rationing introduced. Annual Holidays Act passed. Invasion of France by Allied Forces commenced. Mutual-aid Agreement between Canadian and New Zealand Governments signed.

1945. Royal Commission commenced inquiries into licensing laws of New Zealand. War in Europe ended (8 May). Wax gratuities payments scheme announced. Man-power controls in regard to women and young persons relaxed. Wartime press censorship abolished. War Cabinet dissolved. War in Pacific ended, Japan formally surrenders (15 August). Electoral Amendment Act providing for abolition of the “country quota” passed. South Island Main Trunk Railway opened, through rail connection from Picton to Bluff established.

1946. First women members of Legislative Council (two) appointed. Restrictions on consumption of electric power imposed in North Island. Remaining man-power controls lifted in June. Family benefit of 10s. per week made universal as from 1 April. Coupon rationing of motor spirits revoked. Lieutenant-General Sir Bernard Freyberg, V.C., assumed office as Governor-General (17 June). Railways Department inaugurated inter-island air freight service. Contracts for bulk purchase of wool by United Kingdom Government expired, sales by auction resumed.

1947. New Zealand delegation attended conference at Canberra to establish a regional commission for South Pacific. £12,500,000 presented to United Kingdom Government by New Zealand. Rear-Admiral R. E. Byrd's Antarctic Expedition called at Wellington. New Zealand delegation attended International Conference on Trade and Employment. Local Government Commission appointed. First woman Cabinet Minister in New Zealand appointed. Marketing of dairy produce and fixation of guaranteed price taken over by Dairy Commission. The Prime Minister attended a conference at Canberra of British Commonwealth Governments on Japanese peace treaty. Statute of Westminster adopted by New Zealand Parliament. Disastrous fire in Christchurch, 41 persons perished. Clothing rationing abolished.

1948. Railway accident near Blenheim, with loss of six lives. Compulsory motor-spirits rationing reintroduced. Withdrawal of New Zealand Army component of Jayforce during the period July to September. Mount Ngauruhoe erupts after twenty-two years' quiescence. Abolition of tea, sugar, and meat rationing. Australia - New Zealand Ministerial discussions on trade, defence, etc. The longest regular air flight in the world maintained by the same aircraft and crew ended on 6 June, when the last flight of the R.N.Z.A.F. Japan - New Zealand air courier service was completed. Adjustment of exchange rate to parity with sterling as from 20 August. Airliner Kaka crashed on Mount Ruapehu, with the loss of thirteen lives. Rediscovery of notornis near Lake Te Anau.

1949. The Government adopted new consumers' price index covering a greater range of retail prices. Seventh Pacific Science Congress held at Auckland and Christchurch. Polls on the establishment of off-course betting and on an alteration in hotel hours held in March. Protracted carpenters' dispute at Auckland. Airliner Karoro crashed near Waikanae, with loss of fifteen lives. Commencement of Rimutaka railway tunnel deviation.' Referendum on question of compulsory military training answered in the affirmative. British Government devalued sterling by approximately 30 per cent from 1 September. New Zealand currency remained at parity with sterling—i.e., also being devalued in terms of United States dollars. Maori electors given the right to vote in general licensing polls. Labour Government defeated and National Government assumed office on 13 December.

1950. Regular night crossings Sydney–Auckland by air inaugurated. The Minister of External Affairs attended Colombo Conference. British Empire Games held at Auckland. Control of land sales, except of farm land, lifted. Price control removed on many items at various times. Control of sterling funds and securities relaxed. First group of eighteen-year-olds entered camp under compulsory military training scheme. New Zealand Legation at Moscow closed. Radio broadcasting hours reduced to conserve electricity. Seven and one-half per cent surcharge imposed on cargo freights from United Kingdom to Auckland. Increases in suburban rail fares, and on certain classes of goods and, later, in road service passenger fares. Abolition of 33⅓ per cent additional tax on unearned income. Abolition of petrol and butter rationing. Social security benefits raised and interim wage order issued by Court of Arbitration providing for wage increases. New general price order authorizing adjustments consequent on withdrawal of subsidies, and increases in freights and wages. Two New Zealand frigates departed for Korean waters. Increase in postal charges, telegram and telephone rates announced. Government offered special combat force to the United Nations for service in Korea. 1950–51 wool sales resulted in record prices being paid. Legislative Council Abolition Act passed. Royal Commission inquired into waterfront industry. Off-course betting scheme approved. Capital punishment for murder restored. Flying-boat service between Wellington and Sydney by Tasman Empire Airways Ltd. commenced. Seven deaths after R.N.Z.A.F. plane crash into Samoan Lagoon. Kayforce sailed from Wellington for Korea on 10 December. Death of Right Hon. Peter Fraser, Prime Minister 1940–49. Loss of twenty-two lives when launch Ranui wrecked off Mount Maunganui.

1951. Increased freight charges on cargo from Australia to New Zealand announced. Yachting tragedy during Wellington-Lyttelton race, thirteen people perished in the three yachts lost. General order increasing rates of wages by 15 per cent issued. Government decided to hold prices of butter, milk, bread, and flour at existing levels by means of subsidies. Social security benefits and war pensions increased. Wool reached 240d. per pound at Christchurch wool sale. Successive lists of items removed from import control. Prolonged waterfront strike resulted in Proclamation of State of Emergency, and issue of regulations under the Public Safety Conservation Act. Servicemen kept essential cargoes moving. Waterfront unions deregistered, followed by deregistration of certain other unions—e.g., freezing workers—seamen and miners also involved. Establishment of Civil Emergency Reserve. Off-course betting operations commenced by Totalizator Agency Board. Freight rates raised during 7 May to 31 July by 50 per cent from United Kingdom and American Atlantic ports, this following on a 10-per-cent increase from 1 May. With the lifting of the surcharge of 50 per cent, an increase of 10 per cent operated after 1 October. Bonus of £5 in respect of each child under sixteen years of age paid. The shortest session of Parliament on record, 26 June to 14 July, concluded. The United States of America placed ban on dairy imports. Government reduced price of six basic items (bread, flour, butter, tea, gas, motor spirits) by either subsidy or reduction in Customs duty. The troopship Wahine struck Masela Island reef and was abandoned with no casualties. Wool prices fell severely, a reduction of approximately 65 per cent on the highest prices attained earlier. National Government returned for second term. United States of America, Australia, and New Zealand signed Pacific Security Treaty. Parliament formally opened by Commission of three Supreme Court Judges prior to ceremonial opening by Governor-General. Royal Commission recommendations for substantial increases in salary and allowances of Ministers, Members of Parliament, etc., adopted. Taxation Committee report tabled in the House of Representatives.

1952. The Prime Minister attended a meeting of the Commonwealth Finance Ministers in London. Minimum floor-prices plan for wool operative. Millionth passenger carried by N.A.C. aircraft. Geothermal investigations made at Wairakei. Royal Commission on Railways. Death of His Majesty King George VI on 6 February at London. Proclamation of the accession of Queen Elizabeth II read by the Governor-General at Parliament Buildings on 11 February. Several measures to aid in solving sterling crisis announced—e.g., importation of motor vehicles under licence—achieving overall balance in external payments for year ending June 1953 and a surplus with the non-sterling area. Australia made gift of four minesweepers to New Zealand. Registration of the Tasman Pulp and Paper Co. to develop the Murupara pulp and paper project authorized. New Zealand team at Olympic Games at Helsinki most successful, one gold and two bronze medals won and one Olympic record made. Standard wage pronouncement issued. Surcharge on income tax reduced to 5 per cent. The Minister of External Affairs attended first meeting of Pacific Council. The permissible rate of interest for local authority loans increased to 4 per cent. New Zealand fighter squadron left for garrison duties at Cyprus. Full realizations from sale of butter and cheese in any season used for benefit of suppliers and dairy companies, and those from export meat paid to producers. Report of Royal Commission on the Waterfront Industry released. Rail and air-freight service to Nelson commenced. A New Zealand parliamentary party visited Korea. Arrival of Sir Willoughby Norrie on 2 December to assume the office of Governor-General. Increase in postal, telegraph, and telephone charges took effect from 1 January 1953.

1953. Severe floods in Manawatu, Southern Hawke's Bay, and Wairarapa. Construction work on Murupara pulp and paper project commenced. Death of Queen Mary in March 1953. Bulk tariffs to electric supply authorities increased, with higher retail charges of between 20 and 40 per cent. Power restrictions suspended in North Island, first time for twelve years. Rongotai-Blenheim-Nelson air service recommenced. Termination of Wellington-Nelson passenger steamer service in April. Commonwealth Prime Ministers attended conference in London at time of Coronation. Coronation Day for Her Majesty Queen Elizabeth the Second marked in New Zealand by nation-wide civic programmer Mt. Everest conquered on 29 May by British expedition, the summit being reached by the New Zealander Edmund Hillary and the Sherpa Tensing. Construction of breakwater and reclamation at Lyall Bay for development of Rongotai as an international airport begun. More gold recovered from sunken Niagara by salvage ship Foremost 17. National Housing Conference held in Wellington in August. Armistice agreement signed in Korea. Budget contained tax concessions for family man, increasing personal and child exemptions, reducing surcharge to 2½ per cent, and afforded some relief in death duties where quick successions occur. Inauguration of Wellington – Hutt Valley electric train services, and discontinuance of corresponding road services. The New Zealand Rugby Team left for its British Isles tour and the New Zealand Cricket Team for its tour of South Africa. The New Zealand National Band in Britain had double success at Edinburgh Festival and at the open championships brass band contest at Belle Vue, Manchester. National Roads Board replaced Main Highways Board. Commission of inquiry into certain matters relating to the Police Force appointed. The London-Christchurch air race won by R.A.F. Canberra No. 3 in record time of 23 hours 51 minutes, and the transport handicap section by K.L.M. Royal Dutch Airlines Douglas Liftmaster, the first aircraft to finish in the latter section, however, being the B.E.A. Vickers Viscount in 40 hours 40 minutes. New Zealand elected to seat on the Security Council by the General Assembly of United Nations. Triennial local body elections held. General order increased wages by 10 per cent, with certain weekly maxima. Price rises notified, followed by increases in social security benefits and war pensions, public service salaries, guaranteed prices for butterfat, etc. New Zealand's worst railway disaster occurred at Tangiwai on Christmas Eve with a death roll of 154 persons.

Arrival of Her Majesty Queen Elizabeth the Second and His Royal Highness, the Duke of Edinburgh, on 23 December, the first occasion on which a reigning monarch had visited these shores. Her Majesty broadcast to the Commonwealth and Empire from Auckland on 25 December, and also addressed a special message of sympathy to her people in New Zealand, on the occasion of the Tangiwai disaster. The first Proclamation issued by a reigning Sovereign in New Zealand summoned Parliament for its opening by the Queen on 12 January.

1954. Continuation of Royal Tour, including meetings of the Privy Council and Executive Council and opening of a special session of Parliament. North Island portion concluded 16 January and South Island 30 January. Long dry spell had adverse effects on dairy production. Board of Inquiry investigated Tangiwai railway disaster. New Zealand took seat on United Nations Security Council. Loan of £20 million for Murupara project authorized by U.S. Export-Import Bank. Site selected for geothermal steam power station at Wairakei. Miss Y. Williams set world record for women's broad jump. International timber conference on radiata pine at Rotorua. Report of Consultative Committee on Hospital Reform released. Mufti traffic officers commenced duties. Seven New Zealanders killed in plane crash at Singapore. Reorganization of Pacific air services, B.C.P.A. withdrawing, TEAL becoming equally owned by Australia and New Zealand, with a changeover to land-based planes later effected. Rimutaka tunnel pierced. New Zealand sent team to Vancouver for British Empire Games—most successful in New Zealand's history, winning seven gold, seven silver, and five bronze medals. The Executive Council and Cabinet held meetings at Auckland on 25 May to mark the centenary of parliamentary Government in New Zealand. National development loan of £30 million raised. Eighth New Zealand Science Congress held at Auckland. American jet fighters broke sound barrier over Wellington. Mt. Ngauruhoe very active during the year. Bulk purchase dairy contract with United Kingdom terminated at end of July. Budget contained tax concessions, increased income tax exemptions and also rates, removed sales tax on many items, etc. Exchange allocation scheme for imports finished at end of year. Fire razed Franz Josef Glacier tourist hotel. Reductions announced for first time since inception in guaranteed prices for butter and cheese from 1 August, followed, however, by increases dating from 1 December. New Zealand signed the South-east Asia Treaty at Manila. Gift to New Zealand by Sir Arthur Sims of cobalt bomb super-voltage deep therapy unit. Historic Places Act passed. Mr Clifton Webb assumed post of High Commissioner for New Zealand at London consequent on death of Sir Frederick Doidge. Report on Moral Delinquency in Children and Adolescents released. Higher octane petrol placed on market. Auckland Harbour Bridge contract signed. Government announced reduction in strength of Kay-force. £10-million loan successfully raised on London market. General wage order issued increasing wages by just under 3 per cent up to certain weekly maxima. National Government re-elected at general elections, strength of parties being National 45, Labour 35.

(b) LIST OF ARTICLES ON SPECIAL SUBJECTS APPEARING IN PREVIOUS ISSUES OF THE YEAR-BOOK

Article onAppeared for the Last or Only Time in the Year-Book of
YearPage
Building stones1892194
Varieties of soil1892193
Patents, designs, and trade marks1893350
Acclimatization1894430
Co-operative system of constructing public works1894234
Frozen-meat trade, the1894311
Labour in New Zealand1894362
Midland railway, the1894386
Railways in New Zealand: Their history and progress1894377
Sheep, crossbreeding of1894308
Sheep farming1894302
Southern Alps, the1894474
State farms1894243
West Coast Sounds, the1894482
Cheviot Estate, the1895264
Shipping companies—  
  New Zealand Shipping Co.1895392
  Shaw, Savill, and Albion Co.1895393
  Union Steam Ship Co. of New Zealand1895389
Wellington-Manawatu railway, the1895381
Laws of England and New Zealand, difference between1896281
Waihi Gold Mining Co.1897432
Wattle-growing in the Auckland Provincial District1897430
Mount Cook: Its glaciers, and the Hermitage1898552
Scenic wonderland, a1898565
Christchurch to West Coast, journey from1899548
Forest trees and the timber industry1899470
Gold dredging industry, the1899509
Moa, heir of the1899517
Mount Cook district, the1899554
Tokaanu to Raetihi1899539
Tuhoeland1899546
Waikato district and through to Wanganui1899520
Waiouru to Mangaonoho1899543
Chatham Islands, the1900531
Coal deposits of New Zealand, the1900479
Hemp industry, the1900477
Kauri gum1900489
Maori mythology1900536
Mount Cook, a night on1900525
Mount Sefton, ascent of1900519
New Zealand contingents for South Africa1900449
Pumice-stone deposits of New Zealand1900486
Wanganui River, up the, to Tokaanu1900509
Maori religion1901530
Marlborough Sounds, the1901517
Otago lakes, the1901523
Sydney pageant, the1901527
Cook Islands, the laws of1902573
Maori, neolithic, the1902578
Maori sociology1903641
Timber trees of the world1903605
Exotic trees in Canterbury1904569
Hanmer thermal springs1905631
Maori, colour-sense of the1905637
Thermal-springs district1905614
Maori marriage customs1906638
Tree-planting1906611
White Island, a day on1906637
Maori, ancient: His amusements, games, etc.1907707
Maori chant (tangi)1907711
New Zealand international exhibition1907701
Maori, ancient: His clothing1908734
Maori songs1908739
Agriculture in New Zealand (by M. Murphy, F.L.S.)1912809
Government training-ship Amokura1913942
H.M.S. New Zealand1913932
Land and income tax assessment1913884
Mineral waters of New Zealand1913896
External trade of New Zealand, the1915858
Maori, topographical nomenclature of the1919936
Wages and working hours in New Zealand1919860
Education system of New Zealand, the1925816
Effect of nativity order on infant mortality1925835
Local government in New Zealand1925845
Terman intelligence tests in New Zealand schools1925823
Wellington municipal milk supply1925777
Cancer in New Zealand: A statistical study1926889
Totalizator, the1926838
Britomart, mission of, at Akaroa, in August 184019271012
Mortality rates, New Zealand1927995
Livestock production: A review based on standard values and units1929990
Lakes of New Zealand193211
Rivers of New Zealand19326
Dairy-farm survey1938429
Ross Dependency1938900
Fauna, the194036
Geology19407
Libraries1940928
Mineral waters and spas1940935
Plants of New Zealand, the194028
Tourist attractions1940932
Alexander Turnbull Library1946914
National Film Unit1946724
Retail prices in New Zealand, with special reference to the Consumers' Price Index1947–49998
Economic policy and national income19501033
Department of Scientific and Industrial Research1951–521066
Standardization1951–521076
Sources of Statistical Information19531016
Royal Tour of New Zealand, 23 December 1953 to 31 January 195419541121

(c) GENERAL BIBLIOGRAPHY

Until recently successive issues of the Year-Book contained a comprehensive list of New Zealand works, but considerations of space prohibit the publication of such a list in this issue.

The following list, compiled by Mr C. R. H. Taylor, M.A., Dip.Jour. (Librarian of the Alexander Turnbull Library) includes the more notable works in their fields issued from 1950 onwards. Earlier works are listed in the 1947–49 issue of the Year-Book (pages 979–998) and in the 1932 issue.

Apart from this listing, the following may be noted. Government Departments, municipalities, boards, church organizations, institutions, associations, councils, authorities, and banks commonly issue annual reports. Some, particularly Government Departments, issue information brochures and books. The Standards Institute produces standards for a wide range of products. A series of diplomatic brochures is issued by the Department of External Affairs. Maps of many kinds are available from the Department of Lands and Survey. Statistical publications, including census, are compiled by the Census and Statistics Department. Business and general directories are published by Wise, Universal Business Directories, and Stone.

Lists of current publications in New Zealand are issued by the General Assembly Library, and printed cards of accessions by the National Library Service may be purchased. The Government Printer carries a large stock of Government publications.

BIBLIOGRAPHY AND LIBRARIES

BAGNALL, A. C., and OLSSON, A. L. Index to N.Z. periodicals and current national bibliography of N.Z. books and pamphlets published in 1951. Wellington. N.Z. Library Association, 1952. Annual supplements.

BAGNALL, A. C. (editor). Union list of serials in New Zealand libraries. Wellington. N.Z. Library Service, 1953. Supplements have been issued.

HARRIS, Wm. J. Guide to New Zealand reference material and other sources of information, 2nd edition. Wellington. N.Z. Library Association, 1950.

NORTHERN ADVOCATE INDEX. (Quarterly). Whangarei. Northern Publishing Co.

TAYLOR, Clyde Romer Hughes. A Pacific bibliography: Printed matter relating to the native peoples of Polynesia, Melanesia, and Micronesia. (Includes classified bibliography on the Maori.) Wellington. Polynesian Society, 1951.

RELIGION AND MYTHOLOGY

PARR, Stephen. Canterbury pilgrimage: the first hundred years of the Church of England in Canterbury, New Zealand. Christchurch. Centennial Committee of the Diocese of Christchurch, 1952.

SOCIAL AND ECONOMIC STUDIES

ALEXANDER, Robert Ritchie. The story of Te Aute College. (The leading secondary school for Maori boys.) Wellington. Reed, 1951.

BARR, Janet R. Within sound of the bell. Christchurch. Whitcombe & Tombs, 1953.

BRIDGER, Grover Leon. Fertilizer production in New Zealand. Wellington. Government Printer, 1951.

BUTCHERS, A. G. Centennial history of education in Canterbury. Christchurch. Canterbury Education Board, 1953.

CAMPBELL, Richard M. The Public Service Commission in operation. Wellington. Institute of Public Administration, 1950.

CONFERENCE ON CAPITAL DEVELOPMENT IN NEW ZEALAND DURING THE NEXT TEN YEARS. Christchurch, 1953. (Mimeographical.)

DOLLIMORE, H. N. The Parliament of New Zealand and Parliament House. Wellington. Government Printer, 1953.

HADFIELD, J. W. Linen flax fibre production in New Zealand. Christchurch. Linen Flax Corporation of New Zealand, 1953.

LOCHORE, Reuel Anson. From Europe to New Zealand. An account of our continental European settlers. Wellington. Reed, 1951.

MACKAY, J. K. Broadcasting in New Zealand. Wellington. Reed, 1953.

MAPLES, E. Social security services in New Zealand. Oxford University Press, 1949.

MASSEY AGRICULTURAL COLLEGE. Dairy farming annual (since 1948). Palmerston North.

MASSEY AGRICULTURAL COLLEGE. Sheepfarming annual (since 1938). Palmerston North.

NEW ZEALAND COMMISSION OF INQUIRY appointed to inquire into certain matters relating to the conduct of members of the Police Force. 1st and 2nd Reports. Sir Robert Kennedy, Chairman. Wellington. Government Printer, 1954.

NEW ZEALAND GOVERNMENT. The New Zealand economy 1939–1951. Wellington. Government Printer, 1951.

NEW ZEALAND MINISTER OF WORKS. Roads. Statement of Policy by Hon. W. S. Goosman, Wellington. Government Printer, 1954.

NEW ZEALAND SPECIAL COMMITTEE on moral delinquency in children and adolescents. Report. O. C. Mazengarb, Chairman. Wellington. Government Printer, 1954.

NEW ZEALAND UNIVERSITY. Alphabetical roll of graduates. Wellington. Whitcombe & Tombs, 1951.

NEW ZEALAND UNIVERSITY. The University of New Zealand Calendar. Wellington (Annual). Individual colleges issue separate calendars.

NEW ZEALAND WOOL BOARD. (10th) Annual Report. Annually. Wellington

NIXON, Allan Johnston. Divorce in New Zealand. Auckland. Auckland University College, 1954.

PARKER, R. S. (editor). Economic stability in New Zealand. Wellington. New Zealand Institute of Public Administration, 1953.

PARKYN, George William (Ed.). The administration of education in New Zealand. Wellington. N.Z. Institute of Public Administration, 1954.

ROBSON, John Lochiel (Ed.). New Zealand, the development of its laws and constitution. London. Stevens, 1954.

SCHOLEFIELD, Guy Hardy. New Zealand parliamentary record 1840–1949. Wellington. Government Printer, 1950.

SMITH, Sir David S. Devolution in academic matters: the Rhodes scholarships. Wellington. University of New Zealand, 1953.

SMITH, Sir David S. The quality and standing of the University. Wellington. University of New Zealand, 1954.

SOCIAL SECURITY DEPARTMENT. The growth and development of social security in New Zealand … (1898–1949). Wellington. Government Printer, 1950.

WILD, L. J. The development of agricultural education in New Zealand. Christchurch. Whitcombe & Tombs, 1953. (The Macmillan Brown Lectures.)

LAW

BIRKS, Walter Richard. The legal relationship of parent and child. Wellington. Legal Publications, 1952.

CHALMERS, Charles Clive. Chalmers' and Dixon's road traffic laws of New Zealand. 2nd edition. Wellington. Butterworth, 1952.

CURRIE, A. E. Crown and subject: A treatise on the rights and legal relationship of the Crown and the people of New Zealand. Wellington. Legal Publications, 1953.

GARROW, James Mitchell Ellis. Garrow's law of real property in New Zealand. 4th edition. Edited by E. C. Adams. Wellington. Butterworth, 1954.

LUXFORD, J. H. Liquor laws of New Zealand. 2nd edition. Wellington. Butterworth, 1953.

MACDONALD, John William. Law relating to workers' compensation in New Zealand. 2nd edition. Edited by C. H. Arndt. Wellington. Butterworth, 1954.

MERCANTILE GAZETTE OF N.Z. Digest of legal, commercial, and statistical information. Christchurch. Trade Auxiliary, 1950.

SIM, Sir Wilfrid Joseph. Sim's divorce law and practice in New Zealand. 6th edition. Assisted by P. Keesing. Wellington. Butterworth, 1954.

STAPLES, C. A. A guide to New Zealand income tax practice. 14th edition. Wellington. Financial Publications, 1954.

PHILATELY

N.Z. PHILATELIC SOCIETY. Catalogue of New Zealand stamps. Vol. 2, 1951.

LANGUAGE

HARAWIRE, Kahi Takimoana. Teach yourself Maori. 2nd edition. Wellington. Reed, 1954.

KOHERE, Reweti Tuhorouta. Maori proverbs and sayings translated and explained. Wellington. Reed, 1951.

KOHERE, Reweti Tuhorouta. He Konae Aronui. Proverbs and sayings of the Maori. Wellington. Reed, 1951.

WILLS, Webster H. Lessons in the Maori language. New Plymouth. Avery, 1950.

BOTANY

MATTHEWS, J. W. New Zealand trees. Wellington. Reed, 1951.

REED, A. H. The story of the Kauri. Wellington. Reed, 1953.

WALL, Arnold. Botanical names of the flora of New Zealand. Auckland. Whitcombe & Tombs, 1950.

ETHNOLOGY

ADKIN, G. Leslie. Horowhenua. Wellington. Polynesian Society, 1949.

BEATTIE, James Herries. Our Southernmost Maoris. Dunedin. Otago Daily Times, 1954.

BEST, Elsdon. The Maori as he was. 2nd Edition. Wellington. Government Printer, 1953.

BUCK, Peter H. The coming of the Maori. Wellington. Maori Purposes Board, 1950.

DEPARTMENT OF MAORI AFFAIRS. Te Ao hou: The new world. (English and Maori journal.) Quarterly. Wellington.

DUFF, Roger S. Moa-hunter period of Maori culture. Wellington. Department of Internal Affairs, 1950.

KELLY, Leslie G. Tainui. Wellington. Polynesian Society, 1949.

MEAD, Sidney Moko. Taniko weaving: How to make Maori belts and other useful articles. Wellington. Reed, 1952.

PHILLIPPS, Wm. J. Maori carving. Wellington. Tombs, 1950.

PHILLIPPS, Wm. J. Maori carving. Maori houses and food stores. Wellington. Dominion Museum (Monograph No. 8.), 1952.

PRICE, A. G. White settlers and native peoples. Melbourne. Georgian House, 1949. (2 chapters on Maori race.)

REED, A. H. & A. W. Maori place-names and their meanings. Wellington. Reed, 1950.

RUFF, Elsie. Jade of the Maori. London. Gemmological Association, 1950.

SUTHERLAND, I. L. G. Ngarimu hui. Wellington. Polynesian Society, 1949.

TAYLOR, William Anderson. Lore and history of the South Island Maori. Christchurch. Bascands, 1952.

SCIENCE: GENERAL

BASTINGS, Lyndon (editor). Directory of New Zealand science. 3rd edition. Wellington. N.Z. Association of Scientific Workers, 1954.

GRAHAM, David. A treasury of New Zealand fishes. Wellington. Reed, 1953.

NEW ZEALAND ASTRONOMICAL HANDBOOK. (Annual.) Wellington. Royal Astronomical Society of New Zealand.

NEW ZEALAND SOIL BUREAU. General survey of the soils of North Island, New Zealand. Wellington. Government Printer, 1954.

PACIFIC SCIENCE CONGRESS. Proceedings of the seventh Pacific Science Congress, 1949. Wellington. Royal Society of New Zealand, 1954.

STIDOLPH, Robert Hector Donald (editor). The Takahe: Accounts of field investigations on notornis. Masterton. Ornithological Society of N.Z., 1951.

MEDICINE

BEAGLEHOLE, Ernest. Mental health in New Zealand. Wellington, New Zealand. University Press, 1951.

BROWN, Charles Maurice Bevan. Sources of love and fear. Wellington. Reed, 1950.

RECREATION

MCCARTHY, Winston John. Round the world with the All Blacks, 1953–54. Wellington. Sporting Publications, 1954.

RUGBY ALMANACK OF NEW ZEALAND, 1954, edited by Arthur Carman, Read Masters, and Arthur C. Swan. Wellington. Sporting Publications, 1954.

POETRY

BAXTER, James Keir. Recent trends in New Zealand poetry. Christchurch. Caxton, 1951.

BAXTER, James Keir. The fallen house: Poems. Christchurch. Caxton, 1953.

CAMPBELL, Alistair. Mine eyes dazzle. Poems, 1947–49. Christchurch. Caxton, 1950.

CURNOW, Thomas Allen Monro (editor). A book of New Zealand verse, 1923–50. Christchurch. Caxton, 1951.

GLOVER, D. J. M. Arawata Bill: A sequence of poems. Christchurch. Pegasus, 1953.

JOHNSON, Louis (editor). New Zealand poetry annual. Vol. 4. Wellington. Pegasus Press, 1954.

WALL, Arnold. A century of New Zealand's praise. Christchurch. Simpson and Williams, 1950.

WILKINSON, Iris Guiver. Houses by the sea and the later poems of Robin Hyde. With an introduction by Gloria Rawlinson. Christchurch. Caxton, 1952.

WOODHOUSE, Airini E. New Zealand farm and station verse, 1850–1950. Christchurch. Whitcombe & Tombs, 1950.

LITERATURE AND ART

BERKMAN, Sylvia Leah. Katherine Mansfield: A critical study. New Haven. Yale University Press, 1951.

HOLCROFT, Montague Harry. Discovered isles: A trilogy. (Second issue of three separate essays.) Christchurch. Caxton, 1950.

HOWELL, Arthur R. Frances Hodgkins: Four vital years. London. Rockliff, 1951.

MCCORMICK, Eric Hall. Frances Hodgkins and her circle. An exhibition. Auckland. Pelorus Press, 1954.

MCCORMICK, Eric Hall. Works of Frances Hodgkins in New Zealand. Auckland. City Art Gallery, 1954.

MANSFIELD, Katherine. Katherine Mansfield's letters to John Middleton Murry. London. Constable, 1951.

THE NEW ZEALAND WRITERS' HANDBOOK, edited for the P.E.N., New Zealand Centre, by Stuart Perry. Wellington. Reed, 1952.

FICTION

DAVIN, D. M. (editor). New Zealand short stories. Oxford University Press, 1953.

GUTHRIE, John. Paradise Bay. London. Werner Laurie, 1952.

MANSFIELD, Katherine. Selected short stories, with an introduction by D. M. Davin. Oxford. University Press, 1953.

WILSON, Guthrie Edward. Julien Ware. London. Robert Hale, 1952.

DESCRIPTION AND TRAVEL

BRUNNER, Thomas. The great journey. An expedition to explore the interior of the Middle Island, 1846–48. Christchurch. Pegasus, 1952. Edited by John Pascoe.

DOLLIMORE, Edward Stewart. New Zealand Guide, incorporating Wise's Every Place in New Zealand. Dunedin. Wise, 1952.

HARDWICK, John Michael Drinkrow. The Royal visit to New Zealand, December 1953-January 1954. Edited by J. H. Richards. Wellington. Reed, 1954.

HEWITT, Leonard Rodney and Mavis DAVIDSON. The Mountains of New Zealand. Wellington. Reed, 1954.

NAN KIVELL, Rex de C. The Rex Nan Kivell Collection of early New Zealand pictures. Wellington. Department of Internal Affairs, 1953.

NEWTON, Peter. High country journey. Wellington. Reed, 1952.

NEW ZEALAND DEPARTMENT OF TOURIST AND PUBLICITY. A Tour of New Zealand by Her Majesty the Queen and the Duke of Edinburgh, 1953–54. Wellington. Government Printer, 1953.

PANTON, H. S. New Zealand. A preview of the land of the long white cloud. London. Rockliff, 1951.

PASCOE, John Dobree. Land uplifted high. Christchurch. Whitcombe & Tombs, 1952.

REED, Arnold Wycliffe. The story of New Zealand place names. Wellington. Reed, 1952.

REEVES, W. P. The long white cloud. Ao-tea-roa … with additional chapters by A. J. Harrop. London. Allen & Unwin, 1950.

RICHARDS, J. H. Waitomo Caves. Wellington. Reed, 1953.

SUTHERLAND, W. T. G. The golden bush. London. Michael Joseph, 1953. Also at Christchurch. Whitcombe & Tombs, 1953.

WHITE'S AVIATION LTD., Auckland. White's pictorial reference of New Zealand: Representative air views of N.Z. cities and boroughs. Auckland. White's Aviation, 1952.

WILKINSON, Alexander Stanley. Kapiti bird sanctuary. Masterton. Stidolph, 1952.

BIOGRAPHY: COLLECTIVE

BRYANT, L. V. New Zealanders and Everest. Foreword by Sir Edmund Hillary. Wellington. Reed, 1953.

BURDON, R. M. New Zealand notables: Series three. Christchurch. Caxton, 1951.

FURKERT, F. W. Early New Zealand engineers, edited by W. L. Newnham. Wellington. Reed, 1953.

NEW ZEALAND BUSINESS WHO'S WHO, 1953. Wellington. Watkins, 1953.

SCHOLEFIELD, Guy Hardy. Who's who in New Zealand. 5th edition. Wellington. Reed, 1951.

WHITE'S AIR DIRECTORY AND WHO'S WHO IN N.Z. AVIATION (including the South Pacific), 1953–54. Auckland. White's Aviation, 1953.

BIOGRAPHY: PERSONAL

ALPERS, Antony. Katherine Mansfield, a biography. New York. Knapf, 1953.

CARRINGTON, C. E. John Robert Godley of Canterbury. Christchurch. Whitcombe & Tombs, 1950.

CODY, J. F. Man of two worlds: Sir Maui Pomare. Wellington. Reed, 1953.

DILLON, Constantine Augustus. The Dillon Letters, 1842–53. Edited by C. A. Sharp. Wellington. Reed, 1954.

DOMETT, Alfred. The diary of Alfred Domett, edited by E. A. Horsman. Oxford University Press, 1953.

RAMSDEN, George Eric Oakes. A Memoir—Te Rangihiroa: Memorial to Sir Peter Buck. Wellington. Department of Maori Affairs, 1954.

ROTH, Herbert Otto. George Hogben: a biography. Wellington. New Zealand Council for Educational Research, 1952.

STEVENS, Percival George William. John Grigg of Longbeach. Christchurch. Whitcombe & Tombs, 1952.

THORN, James. Peter Fraser, New Zealand's wartime Prime Minister. London. Odhams Press, 1952.

WILD, L. J. The life and times of Sir James Wilson of Bulls. Christchurch. Whitcombe & Tombs, 1953.

WILSON, Helen Mary. My first eighty years. Hamilton. Paul's Book Arcade, 1950.

HISTORY: GENERAL

CONDLIFFE, J. B., & AIREY, W. T. G. A short history of New Zealand. 7th edition. Christchurch. Whitcombe & Tombs, 1953.

MILLER, Harold G. New Zealand. London. Hutchinson, 1950.

NEW ZEALAND DOMINION ARCHIVES. A guide to the Dominion Archives. Wellington. Department of Internal Affairs, 1953.

NEW ZEALAND DOMINION ARCHIVES. Archives of the Governor-General. Wellington. Department of Internal Affairs, 1953.

NEW ZEALAND DOMINION ARCHIVES. Archives of the Army Department. Wellington. Department of Internal Affairs, 1953.

NEW ZEALAND DOMINION ARCHIVES. Archives of the New Zealand Company. Wellington. Department of Internal Affairs, 1953.

NEW ZEALAND NATIONAL (formerly “DOMINION“) ARCHIVES. Archives of the provinces of New Ulster and New Munster and of the Civil Secretary's Office. Wellington. Department of Internal Affairs, 1954.

HISTORY: SPECIAL

ACLAND, Leopold George Dyke. The early Canterbury runs and glossary of station terms. (Incorporating earlier volumes.) Christchurch. Whitcombe & Tombs, 1951.

ALLAN, Ruth Mary. The history of Port Nelson. Wellington. Whitcombe and Tombs, 1954.

BAGNALL, A. G. Masterton's first hundred years. Masterton. Centennial Committee, 1954.

— Old Greytown, 1854–1954. Greytown Centennial Book Committee, 1953.

COOK, JAMES. Captain Cook in New Zealand. Extracts from the journals, edited by A. H. and A. W. Reed. Wellington. Reed, 1951.

GODLEY, Charlotte (Wynne). Letters from early New Zealand, 1850–1853. Christchurch. Whitcombe & Tombs, 1951.

GRAINGER, John. The Auckland story … through the years. Wellington. Reed, 1953.

INGRAM, Charles William Nepean, and WHEATLEY, P. Owen. Shipwrecks: New Zealand disasters, 1795–1950. Wellington. Reed, 1951.

JILLETT, J. W. L. Wings across the Tasman, 1928–53. Wellington. Reed, 1953.

JOHNSON, John. The Story of Lyttelton. Lyttelton. Lyttelton Borough Council, 1952.

KELLY, Leslie George. Marion Dufresne at the Bay of Islands. Wellington. Reed, 1951.

MACKAY, Joseph Angus. Historic Poverty Bay and the East Coast. Gisborne. The Author, 1949.

MCLINTOCK, A. H. Liquor and the King Country. Wellington. Government Printer, 1953.

MEIKLEJOHN, G. M. Early conflicts of press and government. A story of the first New Zealand Herald and of the founding of Auckland. Auckland. Wilson & Horton, 1953.

MILLER, Frederick Walter Gascoyne. Beyond the Blue Mountains. A history of the West Otago district. Dunedin. Otago Centennial Historical publications, 1954.

NEW ZEALAND TANGIWAI RAILWAY DISASTER BOARD OF ENQUIRY. Report. Wellington. Government Printer, 1954.

PETERSEN, George Conrad. The pioneering days of Palmerston North. Levin. Kerslake, Billens, and Humphrey, 1952.

RAMSDEN, George Eric Oakes. Rangiatea: The story of Otaki church. Wellington. Reed, 1951.

RHODES, William Barnard. The whaling journal of Captain W. B. Rhodes. Barque Australian, 1836–38. Notes by C. R. Straubel, Christchurch. Whitcombe and Tombs, 1954.

SCOTT, R. G. 151 days: History of the great waterfront lockout and supporting strikes, February 15-July 15, 1951. Auckland. New Zealand Waterside Workers' Union, 1953.

SINCLAIR, Keith. Maori land league. Auckland University College, 1950.

SMITH, R. A. Printing in Canterbury. A history of newspapers and printing houses. Christchurch Club of Printing House Craftsmen, 1953.

STEWART, George Gordon. The romance of New Zealand railways. Wellington. Reed, 1951.

WATERS, Sydney David. Union Line: A short history of the Union Steamship Company of New Zealand. Wellington. The Company, 1952.

HISTORY: WAR

WATERS, S. D. Ordeal by Sea. N.Z. Shipping in the Second World War, 1939–45. London. N.Z. Shipping Company, 1949.

The following have been published by the War History Branch, Department of Internal Affairs, Wellington.

BATES, P. W. Supply Company. 1955.

BORMAN, C. A. Divisional Signals. 1954.

BURDON, R. M. 24 Battalion. 1953.

CODY, J. F. 21 Battalion. 1953.

DAVIN, D. M. Crete. 1953.

GILLESPIE, O. A. The Pacific. (Official History of New Zealand in the Second World War.) 1952.

HALL, D. O. W. New Zealanders in South Africa, 1899–1902. 1949.

HENDERSON, J. H. R.M.T. 1954.

LLEWELLYN, S. P. Journey towards Christmas. (Official History of the 1st Ammunition Company, 2nd N.Z.E.F.) 1949.

MASON, W. W. Prisoners of war. 1954.

MCKINNEY, J. B. Medical units of 2nd N.Z.E.F. in Middle East and Italy. 1952.

NEW ZEALAND ARMY JOURNAL. Vol. 1, No. 1, 1954. Wellington.

NORTON, F. D. 26 Battalion. 1952.

SCOULLAR, J. L. Battle for Egypt. 1955.

SINCLAIR, D. W. 19 Battalion and Armoured Regiment. 1954.

STOUT, T. D. M. War Surgery and Medicine. 1954.

THOMPSON, H. L. New Zealanders with the Royal Air Force. Vol. I: European Theatre, September 1939 - December 1942. 1953.

WAR HISTORY BRANCH. Documents relating to New Zealand's participation in the Second World War, 1939–45—

Vol. I. 1950.

Vol. II. 1951.

UNDERHILL, Rev. M. L., and others. New Zealand chaplains in the Second World War. 1950.

Episodes and Studies

The following is the complete range of Episodes and Studies published by War History Branch, Department of Internal Affairs, Wellington, from 1948–54.

CLARE, B. G. Early operations with Bomber Command. 1950.

DEAN, H. R. The Royal New Zealand Air Force in South-East Asia, 1941–42. 1952.

FAIRCLOTH, N. W. New Zealanders in the Battle of Britain. 1950.

HALL, D. O. W. Women at war. 1948. Prisoners of Germany. 1949. Prisoners of Italy. 1949. Prisoners of Japan. 1949. Coastwatchers. 1951. Escapes. 1954.

KAY, R. L. Long range desert group in Libya, 1940. 1949. Long range desert group in the Mediterranean. 1950.

LLEWELLYN, S. P. Troopships. 1949.

MCGLYNN, M. B. Special service in Greece. 1953.

MCKINNEY, J. B. Wounded in battle. 1950.

MURPHY, W. E. Point 175. 1954.

Ross, J. M. S. The assault on Rabaul. 1949.

SMITH, E. H. Guns against tanks. 1948.

THOMPSON, H. L. Aircraft against U-boat. 1950.

WARDS, I. McL. Takrouna. 1951.

WAR HISTORY BRANCH STAFF. “The other side of the hill.” 1952.

WATERS, S. D. Achilles at River Plate. 1948. German raiders in the Pacific. 1949. Leander. 1950.

WHELAN, J. A. Malta airmen, 1951.

COOK AND OTHER ISLANDS

CUMBERLAND, Kenneth Brailey. South-west Pacific. A geography. Christchurch. Whitcombe and Tombs, 1954.

SIMPSON, Frank A. Chatham Islands. Wellington. Reed, 1950.

THOMAS, Marjory C. J. Forgotten islands of the South Pacific, by Rosaline Redwood (pseud.). (Solander, Codfish, Ruapuke, Macquarie, and Chatham Islands.) Wellington. Reed, 1950.

UNIVERSAL business directory for Pacific Islands. Auckland. Universal Business Directories, 1954.

SAMOA

CHURCHWARD, Spencer. A Samoan grammar. 2nd edition. Spectator Publishing Co., Melbourne, for Methodist Church of Australasia, 1951.

MARSHALL, Colin, and THOMPSON, T. S. Forestry in Western Samoa. Wellington. Government Printer, 1953.

SCHULTZ, E. Proverbial expressions of the Samoans. Translated by Brother Herman. Wellington. Polynesian Society, 1953.

ROSS DEPENDENCY

THE ANTARCTIC TO-DAY. Compiled by members of the New Zealand Antarctic Society. Wellington. Reed, 1952.

(d) NEW ZEALAND: ITS TOURIST INDUSTRY, TOURIST AND SPORTING ATTRACTIONS, AND TRAVEL INFORMATION

(Contributed by the Tourist and Publicity Department)

THE TOURIST INDUSTRY

HISTORICAL INTRODUCTION.—The tourist industry in New Zealand has a firm basis in the fact that New Zealand is a “natural" tourist country. Into an area little larger than the United Kingdom is packed an amazing variety of scenery that has earned for New Zealand the title “A world in itself”. For the tourist seeking natural beauty there are the Southern Alps, the Southern Lakes, and the Marlborough Sounds, in the South Island; kauri forests, Lake Waikaremoana, and lovely Mount Egmont, in the North Island. To attract the visitor who wants something unusual, New Zealand has thermal activity and semi-active volcanoes, glaciers within easy reach, the glow-worms at Waitomo Caves, and the culture and charm of the Maori people. The sportsman can try big-game fishing, trout or salmon fishing, hunting, or skiing.

These natural assets laid the foundation for New Zealand's tourist industry, which has been developed in partnership by the State and private enterprise. New Zealand was the first country in the world to develop a complete Government-owned travel service, operated in conjunction with the usual Tourist Department function of publicizing the country as a tourist resort. The Department also has a chain of nine tourist hotels, extending from Milford Sound in the South Island to Waitomo in the North. The tourist industry has now become an important business to New Zealand, and the desirability of earning overseas currency by attracting tourists is realized by all. The comparative isolation of New Zealand from the large centres of population in the world has tended in the past to restrict the flow of tourists. Regular and cheaper airline services, more frequent steamer services, and visits by cruise ships have changed the picture, however, and while a large part of the country's tourist trade will always be made up of New Zealanders seeing their own country, greater efforts are being made to attract visitors from overseas. The home market for the tourist trade remains fairly constant, and any big expansion must come from tourists from abroad.

OVERSEAS TOURISTS.—By far the most overseas tourists to New Zealand come from Australia. Air and steamer services between the two countries are frequent and inexpensive, and travel restrictions are at a minimum. New Zealand is Australia's nearest overseas holiday area, and, as the same language is spoken and customs are similar, Australians can feel at home in a country which is in so many other ways completely different from their own. The popularity of New Zealand as an overseas holiday resort for Australians is fostered by large-scale publicity, and by New Zealand Government and other travel bureaux established in Australian cities. The steadily increasing numbers of Australian visitors testify to the success of these measures, and what they spend helps to correct New Zealand's adverse trade balance with their country.

Tourists from the United Kingdom do not at present come in great numbers, partly because of the shortage of shipping accommodation. Those who make the journey usually stay longer than does the average Australian tourist. In addition, more American tourists are now coming as Pacific travel becomes easier. The Pacific Area Travel Association, of which New Zealand is a member, is actively stimulating tourist travel throughout the Pacific and South Pacific regions.

The following tables indicate how sharp has been the increase in tourist arrivals in New Zealand over the last few years and how great is the corresponding rise in the amounts spent by tourists in New Zealand.

TOURIST ARRIVALS

From1949*1953–541954–55Increase Since 1949

* Calendar year.

Australia6,0108,6099,8233,813
United Kingdom1,3231,5732,062739
Canada146197300154
United States of America4509691,296846
Pacific Islands (British)1,1391,3461,550411
Other British countries512778766254
Other European countries65130221156
Other foreign countries163253274111
    Totals9,80813,85516,2926,484

TOURISTS' EXPENDITURE IN NEW ZEALAND

Country1949–501953–541954–55Increase Since 1949
 ££££
Australia428,221821,463968,692540,471
United Kingdom541,027560,409681,831140,804
Other sterling areas73,00571,97988,84815,843
Canada20,33725,76732,69812,361
United States of America62,72699,669163,701100,975
Other non-sterling areas2,95126,11114,34111,390
    Totals1,128,2671,605,3981,950,111821,844

Cruise Ships.—Cruise ships sailing across the Tasman for short visits to New Zealand have become big money earners for New Zealand during the last two years. Organized by the P. and O. Line and the Orient Line, the cruise ships carry an average of 1,000 passengers every trip. During last season over 5,000 Australians came over, and spent more than £100,000 in New Zealand. The Government Tourist Department was in charge of the touring arrangements and, besides producing special folders and itinerary sheets for a wide variety of tours, the Department had officers on board during the voyage from Sydney to advise on travel arrangements.

Some of the passengers travelled overland from Auckland to Wellington, and others made the reverse trip. Others again made day trips from Wellington or Auckland, including visits to Wanganui, the Chateau Tongariro, Waitomo, Wairakei, and Rotorua. A highlight of the cruise by some of the ships was a visit to Milford Sound.

The shipping companies have indicated that cruise ships will continue to operate in the coming seasons, possibly with an expanded programme.

Development of the Tourist Industry.—Getting more tourists to visit New Zealand and providing better facilities for them during their stay are the two main points in the expansion programme of the tourist industry. To carry out this policy, the Government has announced a five-point plan, in which first place is given to the drive for more hotel accommodation. As a lead to private investment and private enterprise, the Government is intending to establish a Tourist Hotel Corporation to take over the running of the existing Government-owned hotels. The proposed corporation will have directors specially chosen for their commercial ability and initiative, and it is hoped that they will give an executive and financial lead to the tourist hotel industry. The building of hotels since the war has been retarded by the urgent need for houses, hospitals, and schools, and adequate accommodation is lacking in many of the major tourist resorts, especially in the summer months. New hotels have been built—the outstanding example is the luxury Hotel Milford, opened last December—and many others have been extended and renovated, but more are needed to cater for the increasing flow of tourists to New Zealand.

The second point in the Government's programme is the improvement of existing tourist resorts and attractions, after which more energy, effort, and money will be spent on promotion plans. Only when accommodation and facilities are adequate to cope with a large increase in tourists to New Zealand will the advertising and publicity campaigns—as the third point—reach full strength. A moderate promotion programme will be started in North America later this year, primarily within the travel industry, and will be stepped up before the end of 1956.

The fourth point in the programme is the development of new tourist resorts and attractions, of which the Lake Taupo area is a good example. The fifth point is the improvement of tourist facilities and travel arrangements. The Government wants to make it easier for tourists to get to New Zealand, to cut down Customs and other formalities to a minimum, and to make travel to and within the country as uncomplicated and as comfortable as possible.

Both the Government and private enterprise are aware that there is fierce competition among countries to attract tourists, and that New Zealand must intensify its efforts if it is to maintain the present annual increase in visitors. With the extension of airline and steamer services to New Zealand the former comparative isolation of the country has largely disappeared, and the South Pacific area is becoming more popular. The tourist Industry is important to the New Zealand economy and employs a large number of workers, and it is confident that it will continue to play its part in contributing towards the country's prosperity.

TOURIST ATTRACTIONS

A brief description of the scenic attractions to be found in the comparatively small area of New Zealand will give some idea of the variety and interest that the country has to offer the tourist.

NORTH AUCKLAND.—The sub-tropical peninsula, which stretches for 200 miles north of Auckland, has become increasingly popular with tourists. The charm of the region lies partly in the quiet beauty of its native bush, and in the golden beaches and sheltered bays of the long coastline. The famous Ninety Mile Beach is in the extreme north, while the lovely harbours of Whangarei, Whangaroa, and Hokianga are notable in the much indented coastline. Historic Russell and the Treaty House at Waitangi are highlights of a visit to the Bay of Islands, the birthplace of New Zealand as a British colony. Many interesting launch trips can be taken from Russell. In the Waipoua State Forest and Trounson Park are the giant kauri trees, now found in large numbers only in Northland. The well-known kauri “Tane Mahuta” has a girth of 43 feet and an estimated age of over 1,200 years. There are hot springs at Ngawha, near Kaikohe, at Kamo Springs, just out from Whangarei, and at Parakai Springs, near Helensville, where several accommodation houses have their own private mineral baths. A seven- or eight-day tour is necessary if the tourist wishes to include all the major attractions of North Auckland.

AUCKLAND.—Auckland is New Zealand's largest city, and is a major terminus for overseas airlines and shipping. It lies on an isthmus between the Manukau Harbour and the lovely Waitemata Harbour, which looks its best when one of the numerous yachting regattas is in progress. The city has all the facilities of a modern metropolis, and there are magnificent views of the island-studded Hauraki Gulf from numerous hilltops—the cones of extinct volcanoes, such as Mount Eden—within the city boundaries. A fine scenic drive, to the summit of the Waitakereres, is also available. Of special interest to the visitor is the War Museum, with its collection of Maori exhibits.

THE THERMAL REGIONS (Rotorua, etc.).—The main thermal area in New Zealand stretches in a wide band from White Island, an active volcano in the Bay of Plenty, to the mountain area south of Lake Taupo, where Mounts Ruapehu and Ngauruhoe are still mildly active. In the centre of this region is Rotorua, where intense thermal activity is found amid a setting of colourful Maori life. This, combined with its high reputation for its fishing and shooting, has made Rotorua the most famous of all New Zealand's tourist resorts. Many day excursions and side trips are run to cater for visitors wishing to see the varied attractions of the region.

A visit to the Whakarewarewa Thermal Reserve, or “Whaka" as it is commonly called, is the most popular excursion at Rotorua. The reserve lies on the outskirts of the town, and contains the famous Pohutu Geyser, as well as boiling mud-pools, silica terraces, and steam vents. Maori guides, including Rangi, one of New Zealand's best-known personalities, conduct visitors through the reserve. Of special interest is the model Maori village, built to show what a Maori settlement looked liked before the coming of the white man. At Whakarewarewa, too, Maori housewives can be seen using the abundant natural hot water for cooking and laundering. At the other end of the town is the Maori village of Ohinemutu, situated on the shores of Lake Rotorua. Both the meeting house and the village church have magnificent examples of Maori carving.

Short half-day excursions by motor bus can be taken to the various springs around Rotorua. These springs are set amid delightful gardens, and contain pools filled with large rainbow trout, which are tame enough to be fed by hand. Another trip is to the top of Mount Ngongotaha (2,554 feet). From the lookout there are magnificent views over the surrounding countryside as far as the Bay of Plenty. Tikitere, known as “Hell's Gate”, forms one of the most active of all the thermal areas in the district. Here one can sense the thinness of the earth's crust covering the molten forces below; this is the one area in the Rotorua district where tourists are advised not to wear nylon clothing.

Of the full-day excursions, perhaps the most popular is the Waimangu Round Trip, which is over the area devastated by the great eruption of Mount Tarawera in 1886. At Waimangu, visitors are conducted through the Waimangu Thermal Valley, past vast crater lakes and colourful silica terraces. A launch trip follows over Lake Rotomahana, with its steaming cliff's, and then across Lake Tarawera, where the craters on Mount Tarawera can be clearly seen. The day ends with a visit to the Buried Village of Te Wairoa, which was completely covered in ash from the eruption, and a run by motor bus past the beautiful Blue and Green Lakes on the way back to Rotorua.

Other day excursions including both scenic and thermal interest are the Orakei-Korako trip to an area of remarkable thermal activity along the banks of the Waikato River, and the Rotoiti-Okataina trip, which includes launch excursions on Lakes Rotoiti and Okataina, and a drive through glorious bush along the famous “Hongi's Track”, between Lakes Rotoehu and Rotoiti. Hongi's Track is named after a redoubtable Maori chief, Hongi Hika, who cut a track from Lake Rotoehu to Lake Rotoiti as a portage for his war canoes when attacking the Arawa Maoris on Mokoia Island in the adjoining Lake Rotorua.

In the evenings, Maori concerts are held in the Municipal Concert Chamber, where visitors are entertained with songs and dances by the Maori people.

The waters of Rotorua have been found to contain a certain therapeutic value and can be enjoyed by all. The Main Bath Building, the Blue Baths, and the Ward Baths are in the beautiful Government Gardens. Another spa within the thermal area is at Te Aroha, which has thermal baths and a wide range of tonic waters.

Wairakei.—Within easy distance of the Government hotel at Wairakei, five miles north of Lake Taupo, is an intense concentration of thermal activity. The main excursion is to Geyser Valley, which contains almost every variety of thermal activity, all to be seen during a brief walk. Similar thermal activity can be seen at Waiora Valley. Karapiti Blow-hole, usually visited in the evening, ejects a roaring jet of dry steam, which turns into a fireworks display when a lighted sack is placed over the vent. The Waikato River nearby provides spectacles of power and beauty at the Huka Falls and the Aratiatia Rapids, where it is confined within narrow rock walls. The geothermal steam project now under way at Wairakei is also of absorbing interest. The dry steam issuing through the test bores at tremendous pressure is to be harnessed to provide electricity and heavy water, and a visit to some of the steam vents near the hotel is well rewarded.

WAITOMO CAVES.—The “Glow-worm Grotto” in the Waitomo Cave has been called the “eighth wonder of the world”, and was included in the Royal Tour itinerary by special request of Her Majesty the Queen. The trip through the grotto in a slowly moving boat, while the myriads of glow-worms sparkle above with eerie radiance, is a unique experience which words cannot adequately convey. This striking effect is produced by the larva of a tiny fly whose light lures into the larva's jaws the midges hatched in the rich mud of the cave floors. The midges are attracted by the light, and become entangled in the sticky threads which the larva spins from within its silken sheath, and which hang down as much as 2 feet. When a midge is stuck, both thread and midge are drawn up and eaten.

Visitors to Waitomo, which is about fifty miles south of Hamilton, usually visit the three limestone caves during their stay. In Waitomo Cave, apart from the “Glow-worm Grotto”, there is the “Waitomo Cathedral”, in which stalactites resemble organ pipes, and where the massive dome produces remarkable sound effects. About two miles by road from the Hotel Waitomo a track leads to Ruakuri Cave. Larger than Waitomo Cave, it has many spacious caverns and halls, connected by winding corridors. The most remarkable feature is the hidden waterfall, the booming echoes of which can be heard throughout the cave. Nearby is Aranui Cave, perhaps the most beautiful of the three for the delicacy of its alagmite and stalactite formations, which include a natural tracery called the “Crystal Palace”.

Waitomo Cave was discovered in 1887 by a young surveyor named Fred Mace. With a Maori, Tane Tinorau, the original owner of the nearby land, he made the first journey by raft along the underground river, with only the flickering light of tallow candles to guide the way. The name Waitomo means “the place where water enters a hole”, and there are many “tomos" or deep, shaft-like holes in the limestone rock of the neighbourhood.

BAY OF PLENTY.—Possessing a mild climate and a wealth of good beaches, this region is specially popular among tourists in the summer months. Tauranga, with adjacent Mount Maunganui, is a very popular resort during the holiday period, when bathing and surfing among the long rollers are at their best. Ohope Beach, near Whakatane, enjoys a similar popularity.

EAST COAST.—Although a little distant from the main tourist routes, the East Coast provides some of New Zealand's finest scenery. The coastal road from Napier, around the East Cape to Opotiki, offers many magnificent seascapes, and there are large areas of unspoiled native bush. Napier is a modern city, solidly and attractively rebuilt after the destructive earthquake of 1931. An important tourist centre, it has a well laid out Marine Parade, with a popular skating rink and sound shell. Gisborne, in Poverty Bay, is an attractive town and has a splendid beach at nearby Waikanae. Inland from Wairoa is Waikaremoana, a lovely star-shaped lake set in the vast native-bush area of the Urewera Country. The Government-owned Lake House is a popular holiday resort for those seeking a restful holiday; and for the more active there are launch cruises on the lake, good trout fishing, and short walking excursions through lovely native bush.

TONGARIRO NATIONAL PARK.—South of Lake Taupo in the centre of the North Island lie the great mountains and extensive forests of Tongariro National Park. Mount Ruapehu (9,175 feet) is a major winter resort for skiers. Visitors come to the region in summer for the bracing mountain air, the numerous walks, and the wonderful views of Ruapehu and the nearby semi-active volcano, Mount Ngauruhoe (7,515 feet). At the foot of Mount Ruapehu is the Chateau Tongariro hotel, a year-round resort which has facilities for tennis and bowls as well as a nine-hole golf course.

TARANAKI.—The perfect cone of Mount Egmont (8,260 feet), sometimes called the “Fujiyama" of New Zealand, dominates the fertile pasture lands of Taranaki, and provides a perfect backdrop to this spread of gently rolling farmlands, magnificent native bush, and lovely ocean beaches. Mountain hostels on the slopes of Egmont are easily accessible by car or motor bus, and are bases for pleasant summer holidays as well as winter accommodation for skiers. The city of New Plymouth has the famous Pukekura Park, noted for its fernery and flowers as well as for fine views of Egmont, and there are other fine parks and reserves in this holiday centre of Taranaki.

WELLINGTON.—The capital of New Zealand, Wellington, is a city of hills and bays overlooking Cook Strait, which divides the North Island from the South Island. A modern city and thriving port, it is the seat of government, and also contains the Dominion Museum and National Art Gallery. Of special interest to tourists are the cable car, from which magnificent views of the city can be obtained, and the Marine Drive around and above the numerous bays of the harbour, which is among the loveliest natural harbours in the world.

MARLBOROUGH SOUNDS.—These lovely land-locked sounds, at the extreme north of the South Island, are the favourite holiday resort for thousands of tourists seeking a quiet sunny holiday in a charming region of gentle hills, calm waters, and unspoiled natural surroundings. Swimming and launch cruises are popular, there are many ideal picnic spots, and even the amateur can enjoy fishing in the plentifully stocked waters. There are hotels at Picton, which is the tourist centre for the Sounds. There are also guest houses throughout the Sounds area, usually near a good beach, and ideal localities for quiet family holidays.

NELSON.—Situated at the head of Tasman Bay, Nelson is a gateway for tourists beginning a South Island holiday. It is a picturesque city with many gardens and parks and has one of the highest sunshine records in New Zealand. Only three miles away is Tahuna Beach, and equally popular is Kaiteriteri Beach, north of Motueka, with its golden sands and safe surf bathing. The provincial district has interest as a fruit, tobacco, and hop-growing region. Camping and picnic spots are numerous, and pleasant motor drives can be taken over the fertile Waimea Plains to Lakes Roto-iti and Roto-roa in the high back country, and along the scenic coast road to Takaka, on Golden Bay.

WESTLAND.—The main tourist attractions of Westland are the Franz Josef and Fox Glaciers, which descend about 8,000 feet in eight miles from the Main Divide of the Southern Alps into lowland forests less than 700 feet above sea-level. Visitors can reach these glaciers from nearby tourist hotels after a short coach ride and walk, and there are daily guided excursions on to the ice itself. Tramping boots, alpenstock, and other equipment can be hired at the hotels, and tourists of all ages can make the trip. Also in this region is some of the loveliest bush scenery in New Zealand—in many parts of Westland, ferns and trees grow in sub-tropical profusion. Amid the forest scenery are many lovely lakes, some of them a perfect mirror for the snow peaks of the Southern Alps which form the background to the entire provincial district. In the Buller district are the interesting Punakaiki Rocks, with their remarkable “pancake" formations and their “blow holes”, caused when heavy seas push jets of spray through chimneys in the rock. Farther north is the Buller Gorge, a famed scenic drive, where the Buller River runs between the bush-fringed sides of a deep gorge from Murchison to emerge near Westport.

CANTERBURY.—Crossing by the scenic Lewis Pass route from the West Coast into Canterbury, the tourist notices the immediate change to open, drier country. North Canterbury is an area of rolling hills, good grazing, and arable land and State forestry plantations. Hanmer Springs in this region is a popular tourist resort and spa. The level Canterbury Plains are farther south (famous for the production of Canterbury lamb), and the Southern Alps, rising sharply in the west, form a magnificent contrast to their great, flat expanse. The chief city of Canterbury is Christchurch, considered the most English of New Zealand towns. Its stately charm is exemplified by the neo-Gothic Anglican Cathedral in spacious Cathedral Square in the heart of the city. The willow-lined River Avon winds through the town, and there are many recreation reserves near the centre of the city which have earned Christchurch the title “Garden City of the Plains”. The scenic drive around the Port Hills south of the city gives magnificent views of the surrounding countryside and also of Lyttelton—the port of Christchurch—and the terminus for the nightly steamer-express service from Wellington.

THE SOUTHERN ALPS.—A superb scenic background, the Southern Alps stretch unbroken along the greater length of the South Island, and have seventeen peaks of over 10,000 feet, culminating in lofty Mount Cook (12,349 feet), called by the Maoris Aorangi, or “Cloud Piercer”. Climbing among these mountains provided the early training that helped Sir Edmund Hillary and Mr. George Lowe in the conquest of Mount Everest. Visitors to the Mount Cook area stay at The Hermitage, a mountain resort set high amid the mountains. From here excursions are made to the Tasman Glacier, eighteen miles long and over two miles wide—the largest in the temperate zones of the world. In winter, skiing is the popular sport.

THE SOUTHERN LAKES.—The chain of lakes on the eastern slopes of the Southern Alps, stretching from Lake Tekapo in the north to Lake Manapouri in the far south, are set amid some of the most striking scenery in New Zealand. Lakes Tekapo, Pukaki, Ohau, Hawea, and Wanaka in the high country at the foot of the mountains are formed from old glacier beds, and are resorts from which magnificent views of the Southern Alps can be obtained.

Lake Wakatipu, framed by the steep mountain range of the Remarkables, which rise to over 7,000 feet, is perhaps the most popular of the Southern Lakes. Many excursions can be made from the tourist centre of Queenstown, which nestles, like a Swiss mountain resort, on the shores of the lake. The motor trip along the precipitous mountain road above the Shotover River to Skippers is exciting, and gives fascinating glimpses of early goldmining days in Central Otago. The steamer excursion to the head of Lake Wakatipu is taken by nearly all visitors. On this day trip it is usual to disembark at Glenorchy or Kinloch to take a short motor ride into the mountainous country behind the lake before returning by steamer to Queenstown. There are numerous other short launch excursions, and also walks into the hills surrounding Queenstown, from which there are magnificent views of the mountains. Queenstown has all the amenities of a tourist resort, including an attractive domain.

In the far south are Lakes Te Anau and Manapouri. Lake Te Anau covers 132 square miles and is a gateway to Milford Sound, for the famous Milford Track begins at the head of the lake. To the west of the lake are rugged mountains and forests, into which reach the fiord like arms of the lake; many launch cruises are operated to enable tourists to explore the region. In addition, launch excursions are run to the recently discovered glow-worm caves on the western shore of the lake. Of special interest are the journey by boat through the glow-worm grotto, and the path cut by an underground river through the limestone caves. South of Lake Te Anau is Lake Manapouri, which has been called “the loveliest lake in New Zealand”. It is surrounded by unspoiled native bush, with snow-clad mountain peaks in the background, and the beauty of the lake is enhanced by the numerous small islands which dot its surface.

MILFORD SOUND.—No area in New Zealand has such magnificent scenery on the grand scale as Fiordland, in the southwest corner of the South Island. Along the rugged coastline of this mountainous region are the deep inlets, formed thousands of years ago when the seas flooded old glacier beds. Of these fiords the easiest of access and acclaimed the loveliest is Milford Sound, so named by the captain of an early survey ship because of a fancied resemblance to Milford Haven in Wales.

The journey to Milford by road from Te Anau passes through the Eglinton and Hollyford Valleys, where is found some of the best mountain and forest scenery in New Zealand. Between the Upper Hollyford and Cleddau Valleys is the Homer Tunnel, about three-quarters of a mile long, which has been blasted through solid rock. The more energetic prefer the journey via the Milford Track, often called “the finest walk in the world”. The walk lasts for three days, through some of the most spectacular mountain scenery in New Zealand, with superb views of snow-clad ranges and forests, of mountain lakes and waterfalls. A short side-trip is made to the Sutherland Falls, one of the world's highest waterfalls, cascading 1,904 feet in three tremendous leaps.

From the new hotel at the head of Milford Sound the fiord can be seen in all its majesty. Dominating all is the distinctive Mitre Peak (5,560 feet), rising sheer from the deep waters of the sound. By launch, visitors can get close views of the Bowen Falls (540 feet), Pembroke Peak (6,710 feet) and glacier, and of the mighty rock faces which enclose the fiord. A true fiord, Milford Sound is deeper at its head than at the seaward entrance. The average depth is 250 fathoms, and the shallow entrance depth is caused by the terminal moraine of the old glacier. Because of the great depths, there is only one anchorage in the sound, at Harrison Cove; but cruise ships are able to penetrate right up to the head of the fiord, and so give passengers close views of its highlights.

STEWART ISLAND.—Separated by Foveaux Strait from the South Island, Stewart Island has a unique charm that has made it a favourite resort with those in quest of a quiet holiday.

Launch excursions to picnic grounds; walks through the delightful native bush; the beauty of the pleasant wooded harbours; these are all to be enjoyed in the remarkably mild climate of Stewart Island.

SPORTING ATTRACTIONS OF NEW ZEALAND

ANGLING.—The size and fighting qualities of New Zealand's rainbow and brown trout have earned them an international reputation, and it is also true that practically every river, stream, and lake in the country contains trout. Certain areas however, had been found to provide the best sport, chief of these being the Lakes Taupo – Rotorua area in the North Island. The numerous mountain streams flowing into Lake Taupo are very popular with anglers, as also is the lake itself, and long stretches of the Waikato River. Rainbow trout predominate, and the average weight is between 5 and 10 lb.; all fish under 14 inches in length have to be thrown back. The lakes in the Rotorua area are well patronized, and throughout the region there are numerous fishing lodges to cater for enthusiasts. The brown trout provides outstanding angling in the South Island.

Quinnat salmon have been successfully introduced in the large glacier-fed rivers of the South Island, notably the Hurunui, Waimakariri, Rakaia, Rangitata, and Waitaki. Atlantic salmon are found only in the Waiau River system, in the far south of the South Island, particularly at the outlets of Lakes Te Anau and Manapouri.

Fishing licences for short periods or for the full season, which lasts roughly from November to May, are easily obtainable.

BIG GAME FISHING.—The warm waters off the eastern shores of North Auckland and in the Bay of Plenty are New Zealand's deep-sea fishing grounds. Swordfish, black and striped marlin, broad-bill, hammerhead, mako, and thresher shark are the principal game fish, and a number of world records have been held in this country. The Bay of Islands is perhaps the most popular area, especially with overseas sportsmen, and the main bases are at Otehei Bay—made famous by the writer of Western stories, Zane Grey—and at Russell. Other fishing centres in North Auckland are Whangaroa and Whangarei. Farther south, Whitianga, on Mercury Bay, along the eastern coast of the Coromandel Peninsula, has an important big-game fishing club. Tauranga, in the Bay of Plenty, is headquarters for another club, which fishes in the celebrated waters near Mayor Island. At nearly all big-game fishing centres, launches, equipment, and crew can all be hired by the day.

SKIING.—New Zealand has good skiing grounds, both in the North and the South Islands, and skiing is a popular and well-organized sport. Mount Ruapehu, in the centre of the North Island, has good slopes for both beginners and the more experienced, and a chair lift has recently been installed there. Skis and all other necessary equipment can be hired from the Chateau Tongariro hotel at the foot of the mountain, and the hotel also employs skilled instructors. There are also good skiing slopes at Mount Egmont, in Taranaki, where skiers can stay at the numerous mountain hostels high up on the sides of the mountain.

In the South Island, The Hermitage hotel at Mount Cook, on the eastern slopes of the Southern Alps, is an important skiing centre. Skiers use the upper reaches of the Tasman Glacier, after making the motor journey from The Hermitage to Ball Hut, where skis and equipment can be hired. The other main skiing area in the South Island is at Coronet Peak, near Queenstown. The Australasian Championships have been held there, as well as at other New Zealand skiing resorts. There, also, all equipment can be hired if needed, and there are ski tows.

HUNTING.—Deer have become so numerous in many parts of New Zealand that they have been classed as pests, and can be shot all the year round. Some of the best deer stalking in the world can be found in New Zealand forests, but the hunter must be prepared to “rough" it a little, as the deer are often in the less accessible regions, such as Fiordland and on the higher slopes of the Southern Alps. In the North Island, however, conditions are easier, and the sport is becoming increasingly popular in the Rotorua-Taupo area. Because of the damage done by deer to forests there is an open season, and no hunting licences are required. The wapiti, imported from the United States, the red deer, and the wapiti - red deer hybrid, are the most numerous species in Fiordland, and the chamois and Himalayan thar are found in the Southern Alps.

TRAVEL INFORMATION

GOVERNMENT TOURIST DEPARTMENT.—The New Zealand Government Tourist Department operates a comprehensive travel service. There are tourist bureaux in all the main cities, and the Department is represented by agents in more than twenty smaller towns. In addition, the Department has bureaux at Sydney and Melbourne in Australia, and in London, and has a Travel Commissioner in San Francisco. For both overseas visitors and local residents the following services are available: Reservations of accommodation; bookings for seats on trains, service cars, aircraft, and inter-island steamers; and hiring of taxis to meet travellers and take care of luggage. Officers of the Department meet overseas vessels and aircraft to help tourists to clear their luggage through Customs, and to aid them with travel arrangements. Baggage insurance is provided if desired, traveller's cheques can be issued, and mail can be redirected.

Individual tours can be arranged down to the last detail. Conducted party tours are available for those who prefer to travel in groups. Group tours for special-interest groups, such as farmers, are also arranged. Letter-of-credit tours are operated for those who prefer to choose their own itinerary, and both private motor tours and “drive yourself” tours can be arranged.

In addition to its work in operating a complete travel service, the Department maintains nine hotels throughout the country. The well-appointed Hotel Waitomo, at which Her Majesty the Queen and His Royal Highness the Duke of Edinburgh stayed during the Royal Tour, is very popular with tourists wishing to see the “Glow-worm Grotto” in Waitomo Cave. The Hotel Wairakei is a modernized hotel close to an area of intense thermal activity, and is a convenient overnight stop for those making the journey from Wellington to Auckland. The Tokaanu Hotel, at the southern end of Lake Taupo, will soon be rebuilt and extended, and has a fishing lodge atmosphere. The Chateau Tongariro, at the foot of Mount Ruapehu in the Tongariro National Park, is a popular mountain resort and a favourite place for conferences. Lake House overlooks Lake Waikaremoana, and is ideal for a quiet holiday and for keen fishermen. In the South Island work will soon start on the new Franz Josef Glacier Hotel, to take the place of the building destroyed by fire in August 1954. The new hotel will be ultra-modern in design, and will have three or four classes of accommodation. The Hermitage, high in the Southern Alps near Mount Cook, is a year-round resort providing good accommodation in the midst of magnificent scenery. In the far south is the Hotel Te Anau, situated on the eastern shores of one of the loveliest of the Southern Lakes. The showpiece of hotels in New Zealand is the Government-owned Hotel Milford, situated at the head of Milford Sound. Recently completed at a cost of nearly £300,000, the hotel has modern comfortable appointments and a magnificent situation from which the Sound can be seen in all its majesty.

Travel promotion is another important function of the Tourist Department. Folders on the main tourist resorts are produced to stimulate travel, and are distributed overseas to travel agents and transport operators. Tourist films are used to arouse interest in New Zealand, and posters, window displays, and filmstrips are also used. A quarterly magazine, Guests, contains news about developments in the tourist industry in New Zealand. A campaign to bring Australian visitors to New Zealand during the autumn, when pressure on amenities is lighter, has been conducted over the last few years by the Department in association with other New Zealand travel and tourist trade organizations. Advertisements have been placed in Australian newspapers and magazines, tourist films have been exhibited in cinemas, and parties of Australian journalists have been escorted through New Zealand.

The Department controls many parks, domains, and reserves scattered throughout the country. It has provided, and maintains, several mountain huts in the main alpine regions, and is in charge of the Milford Track. Administrative control is exercised over mineral bath waters at Rotorua, Te Aroha, and Morere.

TOURIST TRAVEL IN NEW ZEALAND.—The tourist who is travelling independently between resorts will find everywhere that transport is modern, speedy, and efficient. Service coaches maintain regular schedules between all the main towns and tourist resorts, and visitors generally prefer this method of travel. They can see the passing countryside at their leisure, and find that drivers are usually willing to point out places of interest en route. For some journeys, the train route is of greater scenic interest, and both trains and rail cars have comfortable seating. Sleeping accommodation is available on the Main Trunk line between Wellington and Auckland, but there are no dining cars on New Zealand trains, stops for refreshments being made at appropriate times. The gauge of the railway line is only 3 feet 6 inches, engineering difficulties encountered in some of the rugged high country preventing a wider gauge being used.

Air travel by safe DC 3 aircraft is available between nearly all towns of any size, and a de Havilland four-engined Heron service, very popular with tourists, is operated on the short air journeys from Wellington to Blenheim and Nelson, and to Hawke's Bay and Rotorua. Visitors who wish to make a quick tour of the country will find that regular air services operate twice daily, or even more frequently, between the main centres, and that feeder services connect from the smaller towns. In addition to the regular schedules, there are several private companies operating sightseeing flights. Flights over the Milford Sound area are operated from Queenstown, flights from Wellington are made over the Marlborough Sounds and Nelson area, and flights over the thermal and forestry regions near Rotorua can be made from Rotorua aerodrome. Amphibian aircraft are used by tourists and hunters among the Southern Lakes, and a project has been planned to operate aerial tours of the whole country by aircraft which can land on New Zealand's many lakes.

There is an Express Steamer service between Wellington and Lyttelton every night except Sunday. Tourists are often surprised by the size and amenities of these 8,000-ton liners. Berths are provided for all passengers, and supper and early morning tea are also available. Vehicles are carried by these vessels, and owners can drive them off the wharf on arrival.

For those who wish to travel by themselves rental cars are available on a “drive yourself” basis. These can be hired in most cities, and a wide range of vehicles is provided. Limousine tours with a courier-driver can also be arranged. The drivers have an intimate knowledge of the route and explain all points of interest. They also look after all hotel and sightseeing arrangements. Courier-driver tours are usually booked well in advance, and are naturally more expensive than tours by scheduled services.

TRAVEL TO NEW ZEALAND.—New Zealand is linked with the rest of the world by regular air and sea schedules, and services are constantly being augmented.

From Australia.—DC 6 aircraft operated by Tasman Empire Airways Limited fly almost daily in the busy summer season, and three or four times weekly at other periods, between Sydney and Auckland, and between Christchurch and Sydney or Melbourne. A steamer service across the Tasman from Sydney to Wellington or Auckland operates weekly or more frequently, with the Wanganella and the Monowai. In addition, the Dominion Monarch and the Southern Cross cross the Tasman on their voyages from the United Kingdom.

From North America.—Trans-Pacific flights to Auckland from Los Angeles, San Francisco, Portland, Seattle, or Vancouver are flown via Honolulu, Canton Island, and Fiji. The operating airlines are Pan American World Airways, Canadian Pacific Airlines, and QANTAS, although passengers using the QANTAS service change to TEAL aircraft for the last stage from Fiji to Auckland. The Orient Line vessels provide a fairly regular steamer service between Vancouver, San Francisco, Honolulu, Fiji, and Auckland. In the later months of 1956 a regular service by new liners will be provided by the Matson Line.

From Great Britain and Europe.—From London there is an almost daily air service to New Zealand via the Middle East and Australia. Frequent air services across the Atlantic and the American Continent connect with the trans-Pacific services from the western seaboard cities. A new “Great Circle” route over the Polar regions from Amsterdam to Vancouver has recently been inaugurated by Canadian Pacific Airlines, and passengers can stay in the same aircraft all the way from Europe to Auckland. This new service is weekly. Steamer services by the New Zealand Shipping Company and the Shaw Savill Line operate directly between England and New Zealand via Panama, and these two shipping lines provide, on average, two sailings a month to either Auckland or Wellington. The Shaw Savill Line also operates a service via South Africa and Australia; and the Orient Line and the P. and O. Line each run an almost monthly service between Britain and Australia via Suez, and passengers can make easy steamer or airline connections to New Zealand if they wish.

INDEX (DETAILED)

NOTE.—Where more than one reference to a subject is given, the chief reference, wherever it has been possible to determine it, is indicated by bold type. Two or more references to a subject so indicated signify major, and approximately equal, importance.

A

Abortion, 94, 109, 110, 118.
Accident Funds, 559.
Accident Insurance, 553, 841–844, 1125.
State, 854–855.
Accidents—
Aircraft, 96.
Causes of, 1016.
Deaths from, 90, 95–97, 102, 103, 107, 354, 374–375, 549, 556, 1015–1017, 1020–1022.
Farming, 97.
Frequency Rates, 1014, 1021.
Industrial, 968–973, 1012–1024.
Mining, 97, 549, 556, 1012–1024.
Motor-vehicle, 90, 95, 96, 102, 107, 372–375.
Railway, 96, 354, 374, 1012–1024.
Time Lost Through, 1019–1022.
Tramway, 96, 374.
Transport, 95, 96, 374–375.
Acclimatization of Fishes, 7, 541–542.
Accommodation Licences, 1071–1074.
Accounts, Public, 709–722.
Acreage and Yield of Crops, 472–479, 1108.
Acreage of Holdings, 402, 403.
Acts Passed in 1954, 1077–1087.
Added Value in Manufacturing, 562–568, 579–580, 582, 584, 587–603, 1115.
Administration, 23–25.
Cook Islands, 1030.
Niue, 1036.
Western Samoa, 1039–1040.
Adolescent Dental Service, 123.
Adoptions, 67.
Adult Education, 174–175.
Adultery, 74, 76.
Advances—
Bank, 779, 781–786, 1120.
Bank Control Policy, 784–786.
Building Societies, 826–830.
Rural, 413, 417, 819–825.
State (see State Advances and State Aid).
Advertisements, Medical, 119.
Advertising by Radio, 396–401.
Aerated Water and Cordial Industry, 564, 591.
Aerial Surveys, 380, 426.
Aerial Work Operations, 380.
Aero Clubs, 384.
Aerodromes, 248, 385.
Afforestation, 509–516, 518, 530–533.
Bondholders, 830.
Companies, 518, 830.
Age Benefits, 179–184, 199, 929.
Age Distribution, 52.
Ages—
Of Cancer Decedents, 93.
Of Infants Dying, 84–85, 103.
Of Injured Employees, 1017.
Of Inmates of Mental Hospitals, 145.
Ages—continued
Of Maoris Dying, 100, 103.
Of Migrants, 35.
Of Mothers or Parents, 61, 62, 65, 66.
Of Offenders Probationed, 229.
Of Patients in Public Hospitals, 113.
Of Persons Dying, 79–81, 100, 103.
Of Persons Married, 71–72.
Of Population, 52.
Of Prisoners, 234, 235.
Of Public School Pupils, 153, 158, 160.
Of Tubercular Decendents, 91.
Aggregation of Incomes, 863.
Agricultural and Pastoral Production, 435–508, 1108, 1109.
Persons Engaged in, 993.
Value of, 435–441.
Volume of, 437, 441.
Agricultural Machinery, 314, 469–472, 567, 603.
Agricultural Produce—
Consumed Locally, 438, 642–644.
Exported, 284, 285, 296, 298–299, 438.
Gross Farming Income, 435–438.
Price Index Numbers, 897.
Agricultural Workers Act, 946–947.
Agriculture, 435–488.
Department of, 463–464.
Research in, 463–465, 477, 488.
Aides-de-Camp, 1088.
Aids, Artificial, 198–199, 200.
Aids, Nursing, 129.
Air Force, 247–249, 251, 255, 1078.
Casualties, 252, 255.
Expenditure on, 249, 715.
Air Mails, 377–383, 385–386.
Air Training Corps, 247.
Air Transport and Aviation, 247–249, 255, 376–386.
Aircraft, 248, 376–386.
Accidents, 96.
Licensing and Control, 376–385.
Aitutaki Island, 2, 1029, 1031.
Alcoholic Liquors—
Brewed, 591.
Consumption of, 643.
Duty on, 324–327, 723, 725.
Exports of, 284, 285.
Imports of, 302, 310, 318.
Industry, 564.
Sale of, 1071–1074.
Alexander Turnbull Library, 1135.
Aliens, Naturalization and Registration of, 39–42.
Alps, 4–5, 1148.
Ambassadors, 1100, 1103.
Ambulance, St. John, 131.
Amortization of Debt, 138, 714, 717, 750–752, 766.
Amputees, 204.
Amusement Tax, 723, 736, 738, 1060–1063.
Angling, 540–542, 1150.
Animal Life, 13.
Annual Holidays Act, 936.
Annuities, 199, 210–215, 837.
Ante-natal Services, 142.
Anthracite, 550.
Antimony Ore, 543, 546.
Antipodes Islands 2, 1028.
Anzac Day, 936.
Apiaries or Apiculture, 483, 507–508.
Apparel, Duty on, 324.
Apples, 474, 484–486.
Consumption of, 642.
Exported, 284, 285, 296, 298, 299.
Fixation of Prices of, 445.
Marketing of, 445, 485, 1081.
Apprentices, 259, 965–968, 990.
Appropriations, Expenditure under, 714–716.
Arbitration (see Industrial Conciliation and Arbitration).
Area—
Of Land Holdings, 402, 403.
Of New Zealand, 1–3, 53, 402.
Of Properties Transferred, 408–410.
Of Provincial Districts, 43.
Top-dressed, 482–483.
Under Crops, 472–488, 1108.
Under Cultivation, 403, 474–488.
Armed Forces—
Awards for Gallantry, etc., 253, 1095.
Casualties in, 250, 252–255.
Demobilization of, 264.
Overseas at Census Dates, 28.
Pay and Allowances, 665, 674, 678.
Serving Overseas, 241, 243, 246, 248–251.
Strengths of, 243, 246, 249, 251–252, 981.
Army, 244–246, 249, 251–254, 1078.
Expenditure on, 246, 715.
Arrivals (see Migration).
Arson and Incendiarism, 850.
Art Unions, 1075.
Articles on Special Subjects in Previous Issues, 1134–1135.
Artificial Aids, 198–199, 200.
Artificial Limbs, 199.
Asbestos, 543, 547.
Assessable Income, 732, 857–877.
Assessment of—
Income Tax, 726–732, 857–877.
Land Tax, 729–730.
Land Values, 430–431.
Assets—
Of Bankrupts, 1056–1057, 1124.
Of Banks, 779, 781, 790–791, 798, 1120.
Of Building Societies, 830.
Of Electric-power Undertakings, 629.
Of Factory Industries, 581–582.
Of Fire Insurance Companies, 846.
Of Friendly Societies, 216.
Of Life Assurance Companies, 840.
Of Local Authorities, 768–769.
Assurance, Life, 834–841, 853–854.
Atafu Islands, 2, 3, 1046–1048.
Atiu Island, 2, 1029, 1031.
Auckland—
Broadcasting Stations, 397–399.
Building Values, 617.
Climate, 11, 13.
Dwellings, New State, 619.
Population, 45, 46, 49.
Retail Prices, 893, 894.
Sales Tax Receipts, 740.
Shipping, 297, 320, 335, 338–343.
Tramways, etc., 355–358.
Trustee Savings Bank, 797, 798.
Auckland Islands, 2, 1028.
Audit of Expenditure, 710.
Australia—
Birth and Natural Increase Rates, 59.
Consumption of Foodstuffs, 641, 644.
Debt Domiciled in, 747, 772, 1117.
New Zealand Representatives in, 1100.
Population, Annual Average Increase, 31.
Prices, 884.
Reciprocal Trade with, 329–330.
Representatives in New Zealand, 1101.
Social Security Reciprocity with, 177, 178, 179, 193.
Automobiles (see Motor Vehicles).
Aviation and Air Transport, 247–249, 255, 376–386.
Awards for Gallantry, etc., 253, 1095.

B

Bachelors Marrying, 70.
Bacon and Ham, Consumption of, 642.
Bacon and Ham Curing, 588.
Balance of Payments, 691–708.
Capital Account, 695, 701–705.
Current Account, 694, 697–700.
Merchandise Transactions, 695–697.
Survey of Companies with Overseas Affiliations, 705–708.
Balance of Trade, 268–271.
Bananas, 447, 642, 1033, 1035, 1038, 1044.
Imports of, 318.
Bank Notes, 776–781, 788–790, 804–805, 1120.
Denominations of, 790, 805.
In Circulation, 788–790, 800, 1120.
Bank of New Zealand, 744, 752, 780.
Banking and Currency, 776–808, 1120, 1121.
Bankruptcy, 955, 1055–1059, 1124.
Banks, Overseas Assets of, 781, 790–791.
Banks, Savings—
Post Office, 794–796, 802, 1121.
School, 796–797.
Trustee, 797–798.
Barley, 474, 475, 476, 479, 488.
Exports of, 284, 285.
Beds, Hospital, 140, 141.
Beef—
Chilled, 456, 495, 502.
Consumption of, 641, 642.
Export of, 298, 299, 502, 503.
Slaughterings, 502, 587.
Beer—
Consumption of, 643.
Duty on, 324, 325, 327, 713, 723, 725.
Production of, 591.
Bees, 507–508.
Benefits, Social Security, 117, 123, 147, 179–201, 662, 671, 674, 720.
Benevolent Institutions, 142–143.
Bentonite, 543, 554, 555, 558.
Beverages, Production of, 569–586, 591.
Bibliography—
General, 1136–1142.
New Zealand Flora, 13.
Bills, Treasury, 742, 747.
Births, 56–68, 105, 1105.
Excess of, over Deaths, 42, 58, 105.
In Cook Islands, 1031.
In Niue Island, 1036.
In Western Samoa, 1041.
Of Maoris, 98–99, 105.
Biscuit Industry, 564, 590.
Bitumen-surfaced Roads, 360.
Bituminous Coal, 547, 548, 550.
Blind, Benefits for and Education of, 156, 187, 193, 259.
Board, of School Children, 165.
Board of Trade, 277.
Bobby Calves, 502.
Boilers, Inspection of, 1025.
Bonds, National Savings, 741, 798–799.
Boroughs, 753–775.
Area of, 49–50.
Bridges in, 360.
Capital and Unimproved Values, 433.
Debt, 768, 771, 1119.
Housing, 609, 619, 763.
Mileage of Streets, 360.
Population, 49–50.
Borstal Institutions, 223, 225, 231, 232.
Boundaries of New Zealand, 1–3.
Bounty Islands, 2, 1028.
Bread, Fixed Prices for, 880.
Bread Subsidy, 461.
Breeding Bulls, 495.
Breeding Ewes, 489–492.
Breeding Sows, 489, 490, 501.
Breweries, 564, 591.
Brick Production, 599.
Brides and Grooms, 70–72.
Bridges, 347, 360.
Bridle-tracks, 360.
Brigades, Fire, 517, 853.
British Commonwealth Pacific Airlines, 744, 752.
British Countries, Representatives in New Zealand, 1101–1103.
British Nationality, 39.
British Phosphates Commission, 2, 752, 1050.
British Postal Orders, 389.
British Preference, 327–331.
British Sovereignty, 3.
British Trade Representatives, 1103.
Broadcasting, 396–401.
For Schools, 168, 399.
Time Signals, 399, 1076–1077.
Bronze Coinage, 803, 804.
Building, 604–620.
Building and Construction Industry Sector Account, 685.
Building, Construction, and Housing, 604–620, 819–825.
Persons Engaged in, 981, 985.
Wages of Employees, 918, 923.
Building Costs, 605.
Building Materials, 303, 605–607.
Wholesale Price Indices, 898.
Building Permits, 604, 613–620.
Building Societies, 826–830.
Deposits, 799, 802, 828, 830.
Bulk Purchase Agreement, 279, 448, 450, 456, 459.
Bullion, Exports of, 283, 284, 298, 299, 544, 1112.
Bullion Production, 7, 543, 544.
Bureau of Industry, 1064.
Burials, 77, 120.
Bursaries—
Agricultural, 171, 172.
Dental, 123, 171.
Ex-servicemen's, 169, 171, 261.
Medical, 117, 171.
Physical Education, 167.
Post-primary Teachers', 167.
Secondary Schools, 164.
Servicemen's Dependants, 261.
Technical Schools, 164.
University, 169–172.
Bush, 13, 404, 509–514, 526–530.
Bushel Units, Weights of, 474.
Business, Census of, 645–657.
Business Failures, 955, 1055–1059, 1124.
Business Loans, 262–264, 822–824.
Butter (see Dairy Produce).
Butterfat Production, 498–500, 588.
Butterfat Yields, 498.

C

Cabinet, 24.
Cable Tramways, 359.
Cables, Ocean, 392.
Cadets—
Army, 246.
Navy, 242.
Calf-skins Exported, 283, 285, 294, 298, 299, 1114.
Calves Slaughtered, 502.
Campbell Island, 2, 27, 1028.
Camps, Health, 121, 131.
Canada—
Consumption of Foodstuffs, 641, 644.
Exchange Rate with, 807.
New Zealand Representatives in, 1100.
Population, Annual Average Increase, 31.
Prices, 884.
Reciprocal Trade with, 330–331.
Representatives in New Zealand, 1101.
Canadian Pacific Air Lines, 382.
Cancer, 90, 91–93, 101, 107, 114, 145.
Candle and Soap Industry, 566, 597.
Canned and Preserved Meats, Production of, 587.
Canned Fish, 538.
Imports of, 309, 318.
Canned Fruits, 591.
Consumption of, 642.
Canned Meat Exported, 283, 284, 291, 298, 299, 341.
Canned Vegetables, 284, 285, 591.
Consumption of, 642.
Canterbury Agricultural College, 151, 152, 169, 172, 260.
Capital—
Expenditure of Government, 717.
Invested in Electric-power Undertakings, 624–629.
Invested in Factories, 581–582.
Invested in Railways, 347, 1123.
Invested in Telegraph Construction, 389.
Invested in Telephone Construction, 391.
Invested in Tramways, etc., 357, 359.
Of Banks, 776, 780.
Of Joint-stock Companies, 830–833.
Capital Formation, 663–669.
Capital Issues Control, 786.
Capital Transfers, 792, 793.
Capital Value of Land, 429–434.
Rating on, 760–762.
Capitation Scheme, Social Security, 194.
Cargo Carried by Air Transport, 377–383.
Cargo Handled at Ports, 334–342.
Car-miles Run by Trams, etc., 355, 356, 359.
Carnegie Corporation, 174.
Carpets and Rugs, Imports of, 312.
Carton, Paper Bag, etc., Industry, 595.
Casein Exported, 283, 284, 298, 299.
Casein Produced, 500, 588.
Cash Order Trading, 651–652.
Cassiterite, 546.
Casualties in War, 250, 252–255.
Casualties, Shipping, 345.
Catchment Boards, 517, 753–775.
Cattle, 489, 495–497, 1109.
Cattle Hides Exported, 283, 285, 294, 298, 299, 1114.
Cattle Slaughtered, 502.
Causes of—
Accidents, 1016.
Deaths, 84–98, 101–102, 107, 145.
Fires, 850.
Industrial Disputes, 1008–1009, 1011.
Infant Mortality, 86–88.
Insanity, 144.
Maori Deaths, 101–102.
Still-birth, 88.
Cement, 555, 558.
Carried on Railways, 352.
Exports of, 283, 284.
Imports of, 312, 320.
Industry, 567, 599.
Cemeteries, 120.
Census, 25, 27, 28, 42–45, 53–55, 65, 879, 926–927.
Employment Statistics, 981.
Census continued
Of Agriculture, 403, 466–467, 469, 473, 483, 491.
Of Distribution, 645–657.
Of Dwellings, 55, 609.
Of Poultry, 55, 506.
Unemployment Statistics, 982.
Central Reserve Bank (see Reserve Bank).
Cereals, 472–479, 1108.
Consumption of, 644.
Certificates—
Dentists' Practising, 128.
Engine-drivers', 1025–1026.
Land Titles, 406–408.
Marine Officers', 344, 944.
Medical Practitioners', 128.
Mine Officials', 559, 941.
Naturalization, 39–41.
Occupational Therapists', 129.
Opticians', 130.
Physiotherapists', 129.
Teachers', 155.
Certification of Seed, 480, 488.
Certification of Trades, 155, 968.
Charitable Aid, 138–139, 142–143.
Charitable Institutions, 133–143.
Chatham Islands, 2, 393, 1048–1049, 1142.
Schools, 152, 165.
Cheese (see Dairy Produce).
Chemicals and Chemical Products Industry, 566, 569–586, 597–598.
Chemists, Registration of, 130.
Child Hygiene, 120–121.
Child Migration, 37.
Child Welfare, 120–121, 131, 156, 172–174, 227.
Childbirth, Accidents, etc., of, 86, 88–89, 90, 94–95, 102, 107, 109, 114, 118.
Children—
Adopted, 67.
Affected by Divorce Proceedings, 76.
Allowances in Respect of, 177–213.
Backward, 121, 151, 172.
Born, Numbers and Rates, 56–59, 99, 105.
Born, Sexes of, 59–61, 68, 99.
Crippled, 131, 132, 164.
Dental Treatment of, 122.
Legitimated, 66.
Medical Inspection of, 121.
Offences by, 172–173, 227–228.
Under One, Deaths of, 79, 80, 83–87, 102–104, 108, 1105.
Childrens' Courts, 172–173, 227–228.
Childrens' Homes, 143, 173.
Chilled Beef, 456, 495, 502.
Chinese, 1041, 1050.
Christchurch—
Broadcasting Stations, 397–399.
Building Values, 617.
Climate, 11, 13.
Dwellings, New State, 619.
Population, 45, 46, 50.
Retail Prices, 893, 894.
Sales Tax Receipts, 740.
Tramways, etc., 355–358.
Churches, 73.
Cigarettes and Tobacco—
Duty on, 323–324, 325, 327.
Imports of, 302, 303, 310, 318.
Production of, 487, 565, 569–586, 592.
Cinematograph Film-hire Tax, 713, 723, 738.
Cinematograph Theatres, 1059–1063.
Cinnabar, 546.
Cities, Population of, 46, 49, 50.
Citizenship, 39.
Citrus Fruits, 447, 474, 484–487, 1033, 1035.
Consumption of, 642.
Imports of, 318, 321.
Civil Aviation, 376–386.
Civil Law Cases, 218, 220.
Civil List, 22, 23, 714.
Claims, Insurance, 834–856.
Clays, 543, 555.
Clearings, Bank, 787.
Clergy of Each Church, and Marriages by, 73.
Climate, 4–5, 10–13, 1028, 1036, 1039.
Clinics—
Ante-natal, 142.
School Dental, 122.
Venereal Disease, 111.
Clocks, Public, 1077.
Closing Hours of Shops, 939.
Clothing and Footwear, Retail Prices of, 882–895.
Clothing Industry, 565, 592–593.
Clothing, Subsidy on, 460.
Clover Seed (see Grass Seed).
Club Charters, 1071.
Clubs, Aero, 384.
Clubs, Agricultural, 166.
Clubs, Rifle, 246.
Clubs, Working-men's, 215.
Coal—
Carried on Railways, 352, 353.
Consumption of, 551, 576, 635.
Exports of, 283, 284, 298, 299, 544.
Production of, 543, 547–553.
Public Ownership of, 543.
Resources, 547–549.
Subsidy on, 460, 672.
Coal Miners' Relief Fund, 559.
Coal Mines Act, 543, 942–943.
Coal Mining, 543, 544, 547–553.
Strikes, 1007, 1008.
Wages of Employees, 919, 922.
Coastal Shipping, 337, 340–342.
Coastal Vessels Registered, 343.
Coastline, 4.
Coin Held by Banks, 779, 781.
Coin Imported and Exported, 278, 1110.
Coin in Circulation, 800.
Coinage and Currency, 803–805.
Colleges—
Agricultural, 151, 152, 169, 172, 260, 467.
Military, 245.
Naval, 242.
Pharmacy 131
Teachers' Training, 151, 155, 156, 166–167.
University, 151, 152, 155, 163, 168–172.
Collieries, 547–553.
State, 551–553.
Commerce, Overseas, 265–342, 1110–1114.
Commercial Failures, 955, 1055–1059, 1124.
Commodities—
Consumption of, 638–644.
Rationing of, 644.
Commodity Sales, Retail, 656.
Commodity Sales, Wholesale, 657.
Community Centres, 132, 175.
Companies—
Bank Advances to, 784.
In Manufacturing Industries, 582.
In Manufacturing Industries, 582.
Co-operative Dairy, 498.
In Manufacturing Industries, 582.
In Manufacturing Industries, 582.
Deposits with, 799, 802.
In Manufacturing Industries, 582.
In Manufacturing Industries, 582.
Income of, 665–678, 859, 873–879.
In Manufacturing Industries, 582.
In Manufacturing Industries, 582.
Joint Stock, 650, 830–833.
In Manufacturing Industries, 582.
In Manufacturing Industries, 582.
Overseas, 831, 832, 846, 848.
In Manufacturing Industries, 582.
Private, 650, 831–833.
In Manufacturing Industries, 582.
Registered, 830–833, 1124.
Share Price Indices, 904–907.
Taxation of, 178, 730–731, 859, 873–875.
Comparisons with Other Countries—
Birth and Natural Increase Rates, 59.
Cinema Attendance, 1061.
Consumption of Foodstuffs, 643–644.
Dairy Produce Consumption, 641.
Death Rates, 79, 106.
Expectation of Life, 82.
External Trade Per Head, 267.
Health Insurance, 929.
Infant-mortality Rates, 83–84, 108.
Marriage Rates, 69.
Population, Annual Average Increase, 31.
Prices, 883–884.
Telephones to Population, 390.
Unemployment Insurance, 929.
Compassionate Allowances, 201.
Compensation, Workers', 968–973, 1012–1016.
Compulsory Insurance, 855, 970.
Compulsory Unionism, 961, 998.
Conciliation Councils, 929, 960–962.
Concrete Products Industry, 567, 600.
Confectionery Industry, 590.
Confinement, Deaths in, 86, 90, 94–95, 102, 107, 114.
Confinements, 60, 64, 66.
Conjugal Condition of Persons Marrying, 70.
Conjugal Rights, Restitution of, 74, 75.
Conservation of Forests, 509.
Conservation of Soil, 517, 716, 717.
Consolidated Fund, 117, 178, 673, 712–716, 722–725, 1116.
Constitution, 19–25.
Of Local Districts, 754.
Construction, Building, and Housing, 604–620, 819–825, 923.
Wages of Employees, 918, 923.
Consuls, 1100–1103.
Consumers' Goods, Imports of, 303, 304, 305.
Consumers' Goods, Wholesale Prices of, 898.
Consumers' Price Index, 884–896.
Consumption of—
Coal, 551, 576, 635.
Commodities, 638–644.
Electricity, 356, 621, 630–631.
Farm Produce, 437–438, 478, 503, 504, 641–644.
Motor Spirits, 367–368.
Wool, 493, 592.
Contact Lenses, 198.
Contagious Diseases, 86, 87, 90, 101, 107, 109–114, 118.
Contractors' Liens, 954.
Contributory Negligence, 969.
Control of—
Bank Advances, 784–786.
Capital Issues, 786.
Exchange, 271–273, 792, 805.
Exports, 276, 442, 554.
Imports, 276–278, 325.
Poultry, 506.
Prices, 880–881.
Rivers, 716, 717.
Convictions—
For Drunkenness, 222, 223, 224, 226.
For Traffic Offences, 222, 223–224.
Of Juveniles, 227–228.
Of Maoris, 226–227.
Of Women, 226.
Convictions in Magistrates' Courts, 220–224, 226, 1107.
Convictions in Supreme Court, 224–225, 227, 1107.
Cook Islands, 1–3, 38, 210, 1028–1035.
Bibliography, 1142.
Exports to, 300.
Imports from, 321.
Population, 27, 1031.
Public Finance, 1035.
Radio Stations, 393, 1034.
Trade, 1034–1035.
Co-operative Credit Associations, 825.
Co-operative Dairy Companies, 498.
Copper Ore, 545–546.
Cordial and Aerated-water Industry, 591.
Corn Crops, 474–476.
Correspondence Classes, 152, 162, 166.
Cost of Living, 880–896.
Bonuses, 951.
Costs—
Factory, 562–603, 1115.
Railway Construction, 347, 717, 1123.
Roading, 362–366, 717.
Council, Defence, 239.
Council, Dental, 128.
Council, Executive, 23.
Members of, 1089–1090.
Council, Fire Service, 765.
Council for Educational Research, 174.
Council for Scientific and Industrial Research, 464.
Council, Legislative, Abolition of, 20.
Council, Medical, 127.
Council, Medical Research, 127.
Council of Adult Education, 174.
Council of Legal Education, 169.
Counties, 753–775.
Area of, 47–48.
Bridges in, 360.
Capital and Unimproved Values, 433.
Debt, 768, 771, 1119.
Employees of, 775.
Housing, 618.
Mileage of Roads, 360.
Population, 46–48.
Country Lands, Mortgages on, 812–813, 815, 822.
Courts—
Appeal, 218, 221, 226, 1077, 1094.
Arbitration, 219, 909–912, 929–967, 1094.
Bankruptcy, 1055.
Children's, 172–173, 227–228.
Compensation, 219, 968–973, 1094.
Divorce, 74.
Judges of, 1094.
Land Valuation, 219, 410–411, 430, 1094.
Magistrates', 219, 220, 221–224, 226–227, 1107.
Maori Appellate, 420.
Maori Land, 420.
Supreme, 74, 75, 219, 220–221, 224–226, 1107.
Cover, Fire, 847.
Cow Testing, 463, 468.
Cranes, Inspection of, 1025.
Crayfish, 536, 538, 539.
Cream, Consumption of, 641.
Cream Separators on Farms, 470.
Credit, Letters of, 796.
Credit, Rural Intermediate, 824–825.
Creditor's Petitions, 1055, 1056.
Crematoria, 120.
Crews of Overseas Vessels, 34, 35.
Crime, Law and, 218–238, 1107.
Criminals, Habitual, 225, 233.
Crippled Children, 131, 132, 164.
Crops, 403, 472–488, 1108.
Crown Lands, 404, 412–418, 718.
Rates Paid to Local Authorities, 765.
Crown Tenants, 413–416.
Advances to, 413.
Cultivation, Area Under, 403, 474–488.
Cupro-nickel Coinage, 803.
Currency and Banking, 776–808, 1120, 1121.
Customary Land, 419.
Customs, Representative Overseas, 1100.
Customs Tariff and Revenue, 321–333.
Customs Taxation, 321–333, 671, 713, 723, 725.

D

Dairy Cows, 470, 471, 489, 495–497, 1109.
Dairy Farms, 466.
Dairy Industry, 435–448, 450–456, 469–471, 495–501, 564, 588, 784, 922, 946–947.
Dairy Industry Stabilization Account, 460.
Dairy Produce, 450–456, 497–501.
Bulk Purchases of, 279, 450.
Carried on Railways, 352, 353.
Consumption of, 438, 641.
Export of, 281–284, 291–293, 298, 299, 341, 438, 442, 450–452, 1112.
Dairy Produce—continued
Export Prices Indices, 898–902.
Factories, 497–500, 588.
Fixation of Prices, 450–456.
Grading of, 464, 498.
Gross Farming Income, 435–437.
Marketing of, 442, 444–445.
Prices Paid for, 450–456.
Production of, 497–500, 588.
Retail Prices Indices, 885.
Subsidy on, 460, 461.
Dairy Products Marketing Commission, 444, 450–454.
Dairying Machinery, 285, 469–471.
Damage (Earthquake and War) Insurance, 721, 855–856.
Daylight Saving, 1076.
Death Duties, 671, 713, 723, 732–735.
Estates Passed for, 1053–1055.
Death Penalty Abolished and Restored, 226.
Deaths, 58, 77–98, 100–104, 106–108, 114, 354, 374–375, 549, 556, 1105.
Accidental (see Accidents).
Distribution Over Year, 79.
Due to Earthquakes, 10.
Foetal, 68.
From External Causes, 95–97.
From Puerperal Causes, 89, 90, 94–95, 102, 107, 114.
In Cook Islands, 1031.
In Hospitals, 114, 140.
In Mental Hospitals, 145, 146.
In Niue Island, 1036.
In Western Samoa, 1041.
Inquests on, 229–230.
Neo-natal, 79, 84–89, 102–104.
Of Friendly Society Members, 216.
Of Infants, 79–88, 100, 102–104, 108, 1105.
Of Insured Persons, 836–839.
Of Maoris, 98, 100–104, 106.
Of Servicemen Overseas, 77, 252–255.
Violent, 90, 95–97, 102, 107, 230, 374–375, 549, 556.
Debenture Tax, 731.
Debentures, 741, 769–772 798, 1117.
Debits, Bank, 787.
Debt, Conversion of, 745–746, 773–774.
Debt, Location of, 747, 772, 1117.
Debt of Local Government, 139, 752, 769–774, 1118–1119.
Debt, Public, 714, 741–752, 1117.
Debtors' Petitions, 1055, 1056.
Decrees in Divorce, 74–76.
Deeds Registration, 407, 809.
Defence, 239–255.
Council, 239.
Expenditure on, 243, 246, 249, 671, 715.
Fund, 721.
Science, 239–240.
Sector Account, 691.
Degrees, University, 128, 169.
Demobilization of Servicemen, 264.
Demography, 27–55, 1104, 1105.
Density of Population, 53.
Dental Benefits (Social Security), 123, 198, 200.
Dental Services, Hygiene, etc., 122–123, 128, 198, 200.
Department of Agriculture, 463–464.
Department of Health, 116–117, 134.
Department of Scientific and Industrial Research, 464–465.
Departments, Government, 24–25, 1051, 1089–1090, 1096–1097.
Departures (see Migration).
Dependants of Soldiers, Pensions for, 201–209.
Dependent Children, Care of, 156, 172–174.
Deposits—
By Insurance Companies, 834, 845.
Interest Rates on, 801–803.
With Building Societies, 799, 802, 830.
With Local Authorities, 803.
With Reserve Bank, 778.
With Saving Banks, 794–800, 1121.
With Trading Banks, 782–783, 800, 801, 1120.
With Trading Companies, 799, 802.
Depreciation Allowances, 581, 662, 669, 681–687, 727, 729.
Depreciation of New Zealand Currency, 806.
Desertion, 74, 76, 184.
Desertion, Ship, 222, 945.
Designs, Registration of, 1053, 1064.
Detention, Reformative, 173, 225, 232, 233.
Diagnostic, Laboratory, Services, 198.
Diagnostic, X-ray, Services, 196, 200.
Diagrams and Graphs—
Balance of Payments—
By Monetary Areas, 701.
Changes in Overseas Direct Investment, 707.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Banking, 782, 789, 791.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Building Activity, 615.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Butterfat Production, 500.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Cows in Milk, 500.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Dairy Production, 500.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Electricity Consumption, 631.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Export Prices Indices, 908.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Exports, 271.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Factory Production, 580.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Import Prices Indices, 908.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Imports, 271.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Infant Death Rates, 85.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Life Assurance, 834, 841.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Mortgages, 818.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Motor Vehicles Licensed, 368.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Motor-spirits Consumption, 368.
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
National Income and Expenditure—
Expenditure, 666.
Private Income, 676.
Private Outlay, 668.
Note Circulation, 789.
Overseas Assets of Banks, 791.
Pigs, 500.
Price Indices, 886 905, 908.
Production, 477, 500, 580.
Rates of Interest on Mortgages, 818.
Retail Prices Indices, 886.
Retail Trading, 648, 649.
School Population, 154.
Share Prices Indices, 905.
Taxation Revenue, 725.
Diagrams and Graphs—continued
Trading Banks, 782, 791.
Union Membership, 999.
Vital Statistics, 59, 92.
Wheat Production, 477.
Wholesale Prices Indices, 908.
Dietitians, 130.
Diphtheria, 86, 90, 107, 109, 110, 114, 118, 121.
Diplomas, 128, 155, 170.
Diplomatic Representatives, 1100–1103.
Disabilities from Industrial Accidents, 1012–1022.
Disabled Servicemen, 201–209, 259.
Discharged Soldiers Settlement, 256–264, 417–418, 824.
Discount Rates, 801.
Disease, Prevention of, 121.
Diseases, Notifications of, 109–112, 118.
Diseases, Principal, Deaths from, 89–95, 101–102, 107, 114.
Diseases Treated in Hospitals, 113–114.
Diseases, Tropical, 1031, 1037, 1041, 1047.
Disengaged Persons, 993.
Displaced Persons, 37.
Disputes, Industrial, 949, 959–964, 1003–1011.
Dissolution of Parliament, Dates of, 1093.
Distribution, Census of, 645–657.
Distribution of Population, 42–51.
By Ages, 52.
By Industries, 981–989.
By Occupational Status, 981.
Distribution of Private Income, 674–678.
District High Schools, 152, 161–163, 168, 1106.
Districts—
Electoral, 25, 1092.
Income Tax, 869.
Land, 404, 412, 466.
List of Local, 753.
Local, 753–775.
Roads Councils, 361.
Dividends, Bankruptcy, 1057.
Dividends, Totalizator, 737.
Divorce, 74–76.
Divorced Persons Remarrying, 70, 72.
Domains, Public, 404–405.
Domestic Assistance, 193, 197–198, 200.
Domicile of Debt, 747, 772, 1117.
Dominion Laboratory, 558.
Drainage Districts, 753–775.
Dredging, Gold, 544.
Drivers' Licences, 362, 366, 765.
Drowning Accidents, 95.
Drugs, 119, 195.
Drunkenness, 74, 76, 222, 223, 224, 226.
Ducks, 506.
Dunedin—
Broadcasting Stations, 397–399.
Building Values, 617.
Climate, 11, 13.
Dwellings, New State, 619.
Population, 45, 46, 50.
Retail Prices, 893, 894.
Sales Tax Receipts, 740.
Shipping, 297, 320, 335, 338–343.
Tramways, etc., 355–359.
Trustee Savings Bank, 797, 798.
Duties—
Customs and Excise, 321–333, 671, 713, 723, 725.
Death, 671, 713, 723, 732–735.
Export, 326, 1046.
Gift, 723, 733, 735.
On Instruments, 723, 736.
On Lottery Tickets, 736, 1075.
On Overseas Passenger Tickets, 736.
Stamp, 713, 723, 735–736.
Dwellings, 604–620.
Advances for, 262, 264, 763, 819–830.
Census Enumerations, 609.
Erected, 610–613, 620.
Fire Losses on, 852.
In Course of Erection, 610, 618–619.
Maori, 264, 612–613, 975.
Rents, 885–896, 974–980.
Sale of State, 825.
State, 605, 610–612, 618–619, 717, 744, 825, 976.

E

Earthquake Insurance, 721, 823, 855–856.
Earthquakes, 8–10.
Economic Pensions, 205.
Economic Stabilization, 880–881, 910, 932–933, 955–959.
Education, 148–176, 1032, 1037, 1042, 1048, 1106.
Boards, 148–149.
Buildings, Debt on, 744.
Endowments, 149, 156, 413.
Expenditure on, 156, 165, 671, 715.
Of Ex-Servicemen, 261, 264.
Physical, 132, 167.
Educational Association, Workers', 175.
Educational Research, 174.
Effective Weekly Wage-rates, 916–917.
Eggs, 506, 643.
Marketing of, 443, 446–447.
Retail Prices of, 882.
Subsidy on, 461.
Elections, General, 21, 1065–1071.
Electoral Districts, 25, 1092.
Electoral Provisions, 25–26.
Electoral Qualifications, 26, 756–757.
Electors, Registration of, 26, 756.
Electric—
Power Boards, 624, 626, 753–775, 1119.
Power, Generation and Supply, 621–632.
Power in Factories, 561, 575.
Power on Farms, 469, 470.
Railways, 346–348.
Electric Supply Account, 717.
Electric Tramways and Associated Transport, 355–359.
Electrical Machinery and Appliances Industry, 567, 569–586, 601.
Electricity, Consumption of, 356, 621, 630–631.
Emergency Benefits, 179, 192, 199.
Emergency Reserve Corps, 252.
Pensions for, 199, 206, 208.
Emigration, 34–35.
Employees—
Cinematograph Theatres, 1060, 1063.
Electric Supply, 625–628.
Factory, 562–572, 574, 582, 587–603, 981, 985–990, 994, 1115.
Farm, 993.
Fire Brigade, 853.
Hospital Boards, 775.
In Industry, 981, 985–990, 988–989.
Legislation Affecting, 928–980.
Local Government, 774–775, 988–989, 995.
Mining, 549, 550, 551, 553, 555, 556.
Post and Telegraph, 395, 989.
Public Service, 1098.
Public Works, 948, 994–995.
Railway, 353–354, 989.
Retail Trading, 649, 650.
State Coal Mines, 553.
Tramways and Associated Transport, 358, 359.
Unions of, 959–964, 996–1002.
Wholesale Trading, 654.
Employers, 998, 1001.
Employers' Liability Insurance, 841–843, 854–855, 968–973.
Employers' Unions, 998.
Employment and Unemployment, 973–974, 981–995.
Employment Placement Scheme, 974, 983, 991–993.
Employment Promotion, 973–974, 983–990.
Taxation, 725, 739, 910.
Employment, Seasonal Fluctuations in, 993–994.
Employment Service, National, 974, 983–990.
Employment, Subsidized, 983.
Employment, Survey of, 984–990.
Employment Vacancies, 987, 990–991, 993.
Endowment Land, 414–417.
Endowments, Education, 149, 156, 413.
Engine-drivers' Certificates, 1025–1026.
Engines—
Employed in Factories, 575.
Employed on Farms, 469, 470.
Inspection of, 1025.
Railway, 347.
Ensilage, 481.
Entertainments Tax, 723, 736, 738, 1060–1063.
Erosion, 517.
Estate Duty, 733–734.
Estates—
Administered by Public Trust Office, 1051–1053.
Assigned, 1055–1059.
Intestate, 1052.
Passed for Death Duty, 1053–1055.
Ewes, Breeding, 489–492.
Examinations—
Education Department, 155.
Electric-tram Drivers', 1025.
Engine-drivers', 1025.
Marine Officers', 344.
Medical, of School Children, 121.
Examinations—continued
Medical Practitioners', 128.
Mining, 559, 942–943.
Teachers', 155.
University, 128, 155, 169.
Exchange Allocation, 277–278.
Exchange (Currency), 805–807.
Banks Indemnity (Exchange) Act, 742.
Control of, 271–273, 792, 805.
Expenditure on, 741.
New Zealand - London, 805–806.
Rates of, 805–807.
Reserve, 779, 790.
Exchanges, Telephone, 389–391.
Excise Duties, 325–327, 671, 684, 723, 725.
Executive Council, 23.
Members of, 1089–1090.
Exemptions from Taxation—
Income Tax, 726–732, 865–867.
Land Tax, 729–730.
Ex-nuptial Infants—
Births of, 65–66.
Legitimation of, 66.
Protection of, 174.
Exotic Forests, 511, 514–516, 530–533.
Expectation of Life, 82, 100.
Expeditionary Forces, 249–251, 253–254, 1128, 1130.
Expenditure—
Air Force, 249, 715.
Army, 246, 715.
Audit of, 710.
Broadcasting, 400.
Cinematograph Theatres, 1059–1063.
Civil Aviation, 376.
Defence, 243, 246, 249, 671, 715.
Education, 156, 165, 715.
Electric Power, 624–629, 631–632.
Forest Service, 518–519.
Government, 670–674, 709–722, 1116.
Health, 117, 715.
Insurance Companies, 837, 839, 842, 848, 853–856, 1125.
Local Government, 138–139, 624, 626, 629, 673, 766–767, 1118.
Mental Hospitals, 147.
National, 661–678.
Naval, 243, 715.
Post and Telegraph, 389, 391, 394.
Railway, 348–350, 719, 1123.
Rehabilitation, 262-264, 714.
Roads, 363, 365.
Tramways and Associated Transport, 357–359.
War, 743, 744.
Export Control, 276, 442, 554.
Dairy Produce, 442, 498.
Honey, 508.
Kauri Gum, 554.
Meat, 442.
Export Duties, 326, 1046.
Export Licences, 276.
Export Prices, 275, 450–459, 898–902, 908.
Exports, 265–300, 329–331, 638–641, 695–696, 1110–1114.
Exports—continued
By Ports, 297.
Classification of, 281–285.
Currency, Restrictions on, 804.
Dairy Produce, 281–284, 291–293, 298, 299, 341, 438, 442, 450–452, 641, 1112.
Destination of, 285–296.
Excess over Imports, 268–271.
Fish, 283, 284, 298, 299, 538.
Gold, 283, 284. 298, 299, 544, 1112.
Hides, Skins, and Pelts, 281, 283, 285, 294–295 298 299, 341.
Meat, 281–285, 290–291, 298, 299, 341, 456–458, 502–505, 641, 1111.
Receipts from, 792, 804.
Specie, 278, 1110.
Timber, 283, 284, 296, 298, 299, 524–525.
Valuation of, 265, 269, 280.
Value in Sterling, 266.
Values, Index Numbers, 275, 639.
Volume, Index Numbers, 274, 640.
Wool, 281–283, 285, 290, 298, 299, 341, 1111.
External Migration, 34–37, 1104.
External Trade, 265–342, 1110–1114.

F

Factories, 560–603, 1115.
Accidents in, 1012–1024.
Act, 124, 936–938.
Dairy, 497–500, 588.
Employees, 562–572, 574, 582, 587–603, 981, 985–990, 994, 1115.
Fire Losses on, 852.
Promotion of, 1064.
Registered, 562–572, 582, 587–603.
Factory Production, 439–441, 560–603, 1115.
Fair Rents Act, 976–980.
Fakaofo Island, 2, 3, 1046–1048.
Fallow Land, 403, 475.
Family Benefits, 177, 179, 181, 186–187, 199, 732, 795.
Family Homes Act, Joint, 974–975.
Farm Employees, 993.
Farm Employees, Wage-rates, etc., 912–913, 917, 919, 921, 947.
Farm Finance, Provision of, 262, 263, 413–418, 784, 819–825.
Farm Holdings, 402–403.
Classification of, 466.
Farm Implements, 314, 469–472.
Manufacture of, 603.
Farm Industry Reserves, 460.
Farm Loans for Ex-servicemen, 262–264.
Farm Machinery, 303, 314, 469–472.
Farm Produce—
Consumption of, 438, 641–644.
Export of, 281–285, 290–296, 298–299, 341, 437–438, 451, 456–458, 502–505, 1111–1114.
Farm Produce—continued
Marketing of, 279, 442–459.
Price Indices, 898–902, 908.
Farm Subsidies, 460.
Farm Training and Settlement of Discharged Servicemen, 259–260, 264, 417–418.
Farmers—
Advice for, 463–465.
Financial Assistance to, 413, 417, 784, 819–825.
Mutual Fire Insurance, 852.
Farming, 435–508.
Farming Income, Gross, 435–438.
Farming Industry Sector Account, 681.
Farming Lands, Mortgages on, 812–813, 815, 822.
Fathers—
Ages of, 61.
Occupations of, 63.
Fats Exported, 283, 284, 293–294, 298, 299, 459, 1111.
Fauna, 13.
Female Suffrage, 26, 1128.
Female Wage Rates, 572–574, 915–917, 920–921, 950.
Ferns, 13.
Fertilizer Industry, 566, 597.
Fertilizer Used, 380.
Fertilizers, Subsidy on Imported, 468.
Fertilizers, Subsidy on Transport of, 468.
Fever, Scarlet, 90, 101, 107, 109, 110, 114.
Field Crops, 472–488.
Film Library, National, 168.
Film Unit, National, 1135.
Film-hire Tax, 713, 723, 738.
Finance and Investment, 809–833.
Finance, Farm, 262, 263, 413–418, 784, 819–825.
Finance, Government, 670–674, 709–752, 1116, 1117.
Finance of Local Government, 136–139, 626, 672–673, 763–774, 1118, 1119.
Hospital Boards, 136–139.
Fire Brigades, 517, 853.
Fire Districts, 513, 753–775.
Fire Insurance, 845–853, 1125.
State, 855.
Fire Losses, 847–852, 855.
Fire Prevention in Forests, 513, 516–517.
Fires on Vessels, 345.
Fires, Seasonal Incidence of, 851.
First Births, 64–65.
Fish, 7, 535–542.
Canned, 538.
Imports of, 309, 318.
Consumption of, 643.
Exported, 283, 284, 298, 299, 538.
Value of Production, 440, 536.
Fishing, Big-game, 540, 1150.
Fish-liver Oil, 538–539.
Fixed Deposits, 782, 801, 802.
Flats, 616.
Flax Lands, 404, 487.
Flax, Linen, 474, 475, 488, 716, 752.
Exports of, 284, 285, 298, 299.
Flax, Phormium (see Phormium).
Floating Debt, 742, 744.
Flogging Abolished, 226.
Flora, 13.
Flour—
Consumption of, 643.
Fixed Prices for, 880.
Production of, 589.
Subsidy, 461.
Fodder Crops, 474–476, 478, 481.
Foetal Deaths, 68.
Fog Signals, 344.
Food and Drugs, Sale of, 119.
Food Consumption, 638–644.
Food Poisoning, 109, 110, 111, 118.
Food Production, 564, 569–591.
Food, Retail Prices of, 882–896.
Foodstuffs, Export Prices of, 898–902.
Foodstuffs, Wholesale Prices of, 897–898.
Footwear and Clothing, Retail Prices of, 882–896.
Footwear, Imports of, 311, 319.
Footwear Industry, 565, 593, 922.
Foreign Vessels, 336.
Foreigners, Naturalization of, 39–41.
Forest Fire Prevention, 513, 516–517.
Forest Produce Exported, 283, 284, 296, 298, 299, 524–525.
Forest Trees, 13, 526–534.
Forestry, 509–534.
Industry Sector Account, 682.
Persons Engaged in, 988.
Research, 525.
Value of Production, 440.
Forty-hour Week, 925, 937.
Fowls, 506.
Franchise, General Government, 26.
Franchise, Local Government, 26, 756–757.
Freehold, Crown Land Made, 417.
Freehold Land, 404.
Freezing Works, 587.
Freight—
Carried by Air Transport, 377–383.
Carried by Shipping, 334–342.
Carried by Trains, 350–353, 1123.
Subsidy, 468.
Train Mileage, 353.
Frequency Rates of Accidents, 1014, 1021.
Friendly Societies, 215–217.
Fruit—
Consumption of, 642.
Export of, 284, 285, 296, 298, 299.
Fixation of Prices of, 445, 447.
Imports of, 309, 318, 321.
Industry, 403, 474, 475, 484–487.
Fruit and Vegetable Preserving Industry, 564, 590–591.
Fuel and Light, Retail Prices of, 885–895.
Fuels and Lubricants, Imports of, 303, 304, 312, 319.
Funds of Public Account, 709–722.
Funeral and Sick Funds, 216.
Furniture and Fittings Industry, 565, 569–586, 594.
Furniture Loans, 262, 264, 824.

G

Gaming Act, 1075.
Gaols, Prisoners in, 232–235, 1107.
Gardens, Acreage in, 403, 474, 484.
Gardens, (Commercial), Registration of, 484.
Gas District, 753–775.
Gas Generation and Supply, 633–637.
Gas Subsidy, 461, 633–634.
Geese, 506.
General Assembly, 20–23, 1092.
Generating Stations, 621–623.
Geographic Board, 427.
Geographical Features, 4–8.
Geology, 8, 556–557.
Geo-thermal Steam, 624.
Geysers 4.
Gift Duty, 723, 733, 735.
Gilbert and Ellice Islands, 3.
Glaciers, 6.
Glass and Glass Products Industry, 567.
Gold, Discovery of, 7, 1127.
Gold Exported, 283, 284, 298, 299, 544, 1112.
Duty on, 326.
Gold Mining and Production, 7, 543, 544.
Gold Reserve, 779.
Gonorrhoea, 111, 114, 118.
Goods Carried on Railways, 351–352, 1123.
Goods-service Licences, 370–372.
Government Departments, 24–25, 1051, 1089–1090, 1096–1097.
Government Finance, 670–674, 709–752, 1116, 1117.
Government Housing, 605, 610–612, 618–619, 717, 744, 825, 976.
Government Insurance, 853–856.
Government Marketing, 443–444.
Government Railways, 346–354, 1123.
Industrial Tribunal, 354, 948.
Superannuation Fund, 210, 354.
Government Representatives Overseas, 1100–1101.
Government Roads, 364–365.
Government Service Tribunal Act, 948.
Government Superannuation Fund, 210–211.
Government, System of, 20–25.
Governments, Provincial, 148, 754.
Governor-General, 1088.
Powers, Duties, etc., 19.
Grading—
Of Dairy Produce, 464, 498.
Of Public Servants, 1098–1099.
Graduates, University, 169.
Grain Crops, 403, 474–479, 1108.
Grain Milling, 564, 589, 918, 922.
Granite, 555.
Grapes and Vineyards, 483, 485.
Graphs (see Diagrams).
Grass Lands, 403, 404, 462, 475, 482.
Grass Seed, 473–475, 481–482.
Exports of, 284, 285, 296, 298, 299, 1113.
Gratuities, Ex-servicemen's, 795.
Gravel and Sand, 543, 555.
Greenstone, 554.
Groceries, Retail Prices of, 882, 885.
Gross Farming Income, 435–438.
Gross Indebtedness, 742–743, 1117.
Of Local Government, 752, 769–771, 1118.
Gross Reproduction Rate, 28.
Guaranteed Prices, 453–454.
Guidance, Vocational, 164, 983.
Gum, Kauri, 554.
Exported, 283, 284, 298, 299, 544, 554.

H

Half-castes, 55, 99.
Ham and Bacon, Consumption of, 642.
Ham and Bacon Curing, 564, 588.
Harbour Boards, 753–775, 1119.
Harbour-ferry Services, 370–371.
Harbours (see also Ports), 4.
Hardwood Trees, 526–528.
Hardwoods Imported, 524, 525.
Harvests, 472–488, 1108.
Havana Charter, 279.
Hay, 481.
Heads of Government Departments, 1096–1097.
Health Camps, 121, 131.
Health, Department of, 116–117, 134.
Health Insurance, 177, 187–200, 929.
Health, Occupational, 117, 124–125.
Health, Public, 115–147.
Hearing Aids, 198.
Heavy-traffic Fees, 362, 369, 765.
Herd Testing, 463.
Hides, Skins, and Pelts Exported, 281, 283, 285, 294–295, 298, 299, 341, 1113, 1114.
High Commissioners, 1100–1102.
High Schools, 152, 161–163, 168, 1106.
Higher Education, 152, 168–172, 1106.
Highways, 364–365.
Taxation, 362, 366, 369, 713, 723, 726.
History, Early and From 1870, 14–18.
History of Labour Laws and Allied Legislation, 928–935.
History of New Zealand, 1126–1133.
Hoarding Prohibited, 880.
Hoes, Rotary, and Garden Tractors, 470.
Holdings (see Land Holdings).
Holidays, 936, 937, 940, 941, 944, 946–947.
Holland Ministry, 1089, 1090–1091.
Home-nursing Services, 197.
Homes, Benevolent, 142–143.
Homes, Children's 142–143, 173.
Homicide, 90, 95, 102, 107, 225, 230.
Honey, 507–508, 643.
Exported, 283, 284, 298, 299, 507.
Marketing of, 447, 508.
Honours Conferred, 253, 1094–1095.
Hops, 403, 487, 591.
Exports of, 284, 285.
Horse-racing, 736–738.
Horses, 466, 471, 489, 505, 1109.
Exported, 283, 284.
Horticulture, 464, 466, 483.
Hosiery and Other Knitting Mills, 592.
Hosiery, Imports of, 310, 319.
Hospital Benefits, 117, 179, 193–200.
Hospital Boards, 133–143, 195–199, 753.
Employees of, 775.
Employees Retiring Allowances, 213.
Finances of, 136–139.
Indebtedness of, 752.
Levies on Local Government, 136–137, 139, 766, 767.
Hospital Districts, 133.
Hospital Reform, Consultative Committee on, 133–135.
Hospitals, 113–114, 133–147, 195–200, 1031, 1037, 1041.
Accommodation of, 140, 141.
Maternity, 124, 141–142, 196.
Mental, 143–147, 195.
Private, 141, 195, 196, 200.
Private Mental, 143, 145–146.
Public, 113–114, 140, 195, 196, 200.
St. Helens, 124, 141, 142, 196.
Staff of, 775.
Hostels, 143, 984.
Hot Springs, 4, 1077, 1146.
Hotels, Fire Losses on, 852.
Hotels, Licensed, 1071–1074.
Hourly Wage Rates, 913–914.
Hours of Labour, 584–585, 924–926, 937–939, 941, 944, 946.
House of Representatives, 20–23, 1092.
Broadcast of Proceedings of, 399.
Members of, 1092.
House Rents, 885–895, 976–980.
Household Durable Goods, Retail Prices of, 888–895.
Houses (see Dwellings).
Housing, 604–620, 716, 717, 743, 744, 763, 819–825, 974–980.
Conference, 605–607.
Local Government, 763, 767.
Of Ex-servicemen, 262–264.
Of Maoris, 264, 612–613, 975.
State, 605, 610–612, 618–619, 717, 744, 825, 976.
Transit, Committee, 753, 764, 766, 768, 775.
Hunting, 1150.
Hunting, Trapping, and Fishing Industry Sector Account, 682–683.
Hydatids, 109, 110, 111, 114, 118, 119.
Hydro-electric Power, 6, 7, 621–632, 744.
Used for Industrial Purposes, 561, 575.
Hydrogenation of Coal, 551.
Hygiene—
Child, 120–121.
Dental, 122–123.
Environmental, 118.
Industrial, 124–125.
Mental, 143.
Public, 117–120.
School, 120.
Social, 111, 118.

I

Ice-cream, Consumption of, 641.
Ice-cream Industry, 564, 589.
Illegitimacy (see Ex-nuptial).
Immigration, 34–39, 984, 1104.
Assisted, 36–37.
Hostels, 984.
Restriction on, 38, 973.
Imperial Preference, 328.
Implements, Farm, 314, 469–472.
Manufacture of, 603.
Import Control and Licences, 275–278, 325, 1034.
Import Price Indices, 903, 908.
Imported Commodities, Prices Indices, 898, 908.
Importers, Bank Advances to, 784.
Imports, 265–278, 301–321, 327–333, 638–640, 696–697, 1110.
By Ports, 320.
Classification of, 301–305.
Currency, Restrictions on, 804.
Excess of Exports over, 268–271.
Free and Dutiable, 321–333.
Payments on Account of, 792.
Purpose or Use of, 302–303.
Restrictions on, 275–278, 325, 1034.
Specie, 278, 803, 1110.
Valuation of, 265, 301.
Value in Sterling, 266.
Value of, Index Numbers, 275, 639.
Volume of, Index Numbers, 274, 640.
Income—
Company, 665–678, 859, 873–879.
Gross Farming, 435–438.
National, 661–678.
Of Individuals, 860–873.
Personal, 665, 667.
Private, 662–667, 674–678.
Returnable, 859, 862–863, 874, 875.
Income Tax, 671, 713, 723, 726–732, 857–879, 1079.
Increase in Population, 27–28, 42–45, 58, 105.
Indebtedness of Local Government, 139, 752, 769–774, 1118, 1119.
Indebtedness, State, 741–752, 1117.
Index Numbers—
Consumers' Price, 886–896.
Deaths, Sex-ratio, 78.
Electricity, Consumption of, 621.
Export Prices, 898–902, 908.
Factory Production—
Value, 441.
Volume, 441, 583–584.
Farm Production, Value and Volume, 437, 441.
Gross Farming Income, 437.
Hours of Labour, 925, 926.
House Rent, 885–896.
Import Prices, 903, 908.
Prices of Consumers' Goods, 898.
Prices of Imported Commodities, 898, 908.
Prices of Locally-produced Commodities, 898, 908.
Private Incomes, 674, 678.
Index Numbers—continued
Production, 437, 441.
Factory, Value of, 441.
Factory, Volume of, 441, 583–584.
Farm, Value and Volume of, 437, 441.
Retail Prices, 884–896, 908.
Share Prices, 904–908.
Value of Exports, 275.
Value of Goods Available for Use, 639.
Value of Imports, 275, 639.
Value of Production, 437, 441.
Value of Trade, 275.
Volume of Dairy Production, 500.
Volume of Exports, 274, 640.
Volume of Goods Available for Use, 640.
Volume of Imports, 274, 640.
Volume of Production, 437, 441, 583–584.
Volume of Trade, 274.
Wage Rates, 909–917, 926.
Wholesale Prices, 896–898, 908.
Wool Prices, 450.
Indigenous Forests, 404, 510–514, 526–530.
Industrial Accidents, 968–973, 1012–1024.
Industrial Associations, 1001.
Industrial Conciliation and Arbitration, 909–912, 947–964, 996–1002, 1009–1010, 1085.
Industrial Distribution of Population, 981–989.
Industrial Efficiency, 1064.
Industrial Hygiene, 124–125.
Industrial Relations Act, 964.
Industrial Share Prices, 904–907.
Industrial Unions, 959–964, 996–1002.
Industries—
Bank Advances to, 784.
Classification of, 561.
Licensing of, 1064.
Manufacturing, 560–603, 1064, 1115.
Industry—
Bureau of, 1064.
Manufacturing, Sector Account, 634.
Organization of, 582–583, 1064.
Persons Engaged in, 562–572, 574, 582, 587–603, 981, 985–990.
Sector Accounts, 678–691.
State Aid to, 822–824.
Infancy, Diseases of, 86–87, 102–104, 107, 114.
Infant Mortality, 79–88, 108, 1105.
Maori, 102–104, 108.
Infantile Paralysis (Poliomyelitis), 86, 90, 101, 107, 109, 110–111, 118.
Infectious Diseases—
Control of, in Schools, 121.
Deaths from, 90–91, 101, 107, 114.
Hospital Cases, 114.
Notification of, 109–112, 118.
Injuries (see Accidents).
Inquests, 77, 102, 229–230.
Insanity, 74, 76, 143–147.
Insolvency, 955, 1055–1059, 1124.
Inspection of Machinery, 1025–1026.
Instalment Sales, 651–652.
Instruments, Duty on, 723, 736.
Instruments, Registration of, 406.
Insurance, 581, 834–856, 1125.
Accident, 553, 841–844, 1125.
Insurance—continued
Earthquake, 721, 823, 855–856.
State, 853–856.
War Damage, 721, 855–856.
Interest—
Credited by Savings Banks, 795–799, 1121.
On Local Government Debt, 138, 673, 772, 773.
On Mortgages, 814–818, 824, 825.
On Post and Telegraph Capital Liability, 394, 713.
On Public Debt, 662, 665, 672, 714, 749–750.
On Railways Capital Liability, 348.
Payments Overseas, 749–750, 772.
Payments to Consolidated Fund, 713.
Rates (see Rates of Interest).
Reduction of, 773, 801–803.
Intermediate Credit, 824–825.
Intermediate Schools, 152, 159, 160, 165, 167.
International Air Services, 380–383.
International Investment Income, 792.
International Payments, 792.
International Refugee Organization, 37.
International Trade Conference, 279.
Intoxicating Liquor—
Brewing of, 591.
Duty on, 324–327, 723, 725.
Sale of, 1071–1074.
Invalids' Benefits, 179, 181, 187–188, 199.
Investment and Finance, 809–833.
Investment Certificates, 741.
Investment in New Zealand and Overseas, 705–708.
Investment Societies, 826–830.
Deposits, 799, 802, 828, 830.
Investments, Reserve Bank, 779.
Investments, State, 744, 748.
Invisible Imports and Exports, 792–793.
Iron Ores and Ironsands, 543, 545.
Irrigation and Water Supply, 716, 717, 994.
Island Territories, 2, 27, 1027–1050.
Islands—
Administered on Trust, 1–3, 27, 1039–1046, 1050.
Annexed, 1027–1039.
Outlying, 1, 1027.

J

Joinery Industry, 565, 594.
Joint Family Homes Act, 974–975.
Joint-stock Companies, 650, 830–833.
In Manufacturing Industries, 582.
Journal of Agriculture, 464, 482.
Journal, School, 168, 1028.
Judiciary, 25.
Members of, 1094.
June Year Exports, 266, 298–299.
June Year Imports, 266.
Juries, 219.
Justice, 218–238, 714, 1167.
Justices of the Peace, 22.
Juvenile Offenders, 172–174, 227–228.
Juvenile Wage-rates, 917, 920–921, 926.

K

Kale, 474, 481, 488.
Kauri Gum, 554.
Exported, 283, 284, 298, 299, 544, 554.
Kea, Destruction of, 468.
Kermadec Islands, 1–3, 27, 1028.
Kindergarten Schools, 149, 152, 157.
Knitting Mills and Hosiery Industry, 592.

L

Laboratory Diagnostic Services, 198, 200.
Laboratory, Dominion, 558.
Labour Department, 974, 981–994.
Labour Force, 981–990.
Labour, Hours of, 584–585, 924–926, 937–939, 941, 944, 946.
Labour Laws and Allied Legislation, 928–980.
Labour Shares, 930.
Lakes, 7–8, 622–623, 1149.
Lamb, Consumption of, 503, 641, 642.
Lamb Exported, 298–299, 503, 641.
Lambs, 489–492.
Slaughtered, 502, 587.
Land Act, 156, 412–418.
Land Boards, 412, 420.
Land Development, 413–418, 422.
Land Districts, 404, 412, 466.
Land Drainage Districts, 752–775.
Land for Ex-servicemen, 259–260, 417–418.
Land Holdings, 402, 403.
Classification by Farm Types, 466.
Mortgages on, 809–818, 822.
Land, Occupation of, 402–404.
Land, Purchase of, 412–418, 421.
Land Sales, Control of, 410–411.
Land Settlement, 402–422.
Land Settlement Account, 718.
Land Surveys, 423–428.
Land Tax, 671, 713, 723, 726, 729–730, 1079, 1080.
Land Tenure and Settlement, 402–422.
Land Titles, Registration of, 406–407.
Land Transfer, 406–410.
Land, Valuation of, 428–434.
Lands Open for Selection, 413–414.
Law and Crime, 218–238, 1107.
Law, Mortgage, 809–810.
Laws Affecting Labour, 928–980.
Laws Enacted in 1954, 1077–1087.
Leasehold Landholdings, 404, 414–416.
Leases, Renewable, 412–418.
Leather and Leather Products Industry, 566, 569–586, 596.
Legacy Duty, 732–735.
Legal Education, 169.
Legal Tender, 804.
Legations, 1100, 1102.
Legislation—
Labour and Allied, 928–980.
Passed in 1954, 1077–1087.
Legislative Authority, 20–23.
Legislative Council, Abolition of, 20.
Legitimation, 66.
Letter Boxes, 386.
Letter Telegrams, 390.
Letters of Credit, 796.
Letters Posted, 386, 387, 1122.
Levies by Fire Boards, 848.
Levies by Hospital Boards, 136–137, 139, 766, 767.
Levy—
Coal Production, 559, 942.
Electric Power, 624.
Totalizator, 736–737.
Wool, 326, 494.
Liabilities—
Of Bankrupts, 1056–1057, 1059, 1124.
Of Banks, 778, 781, 790, 1120.
Of Building Societies, 830.
Of Electric-power Undertakings, 629.
Of Fire Insurance Companies, 846.
Of Friendly Societies, 216.
Of Life Assurance Companies, 840.
Of Local Government, 139, 768.
Of Reserve Bank, 778.
Library, Alexander Turnbull, 1135.
Library Services, 156, 175–176, 235.
Licences—
Aerodrome, 385.
By Local Authorities, 765.
Companies', 736.
Drivers', 362, 366, 765.
Export, 276.
Fishing, 542.
Fishing Vessels, 535.
Flight Crew, 384–385.
Import, 276–278, 325.
Motor Vehicle, 366–368.
Plumbers', 130.
Publicans', 765, 1071–1074.
Radio, 401.
Raffle, 1075.
Ross Sea Whaling, 1049.
Sharebrokers', 736.
Transport, 370–372.
Licensing, 1069–1074.
Authority, 370–371.
Control Commission, 1071–1074.
Poll, 1069–1070.
Trusts, 1074.
Licensing of—
Commercial Air Services, 377.
Industries, 1064.
Lotteries, 1075.
Motor Vehicles, 366–368.
Private Hospitals, 141.
Sale of Alcoholic Liquor, 1071–1074.
Liens, Contractors', 954.
Life Assurance, 834–841, 853–854, 1125.
Death-rates, 840.
State, 853–854.
Life, Expectation of, 82, 100.
Lifts, Inspection of, 1025.
Light and Fuel, Retail Prices of, 885–895.
Lighthouses, 344–345.
Lignite, 547–550.
Lime for Top-dressing, 482.
Lime Industry, 567.
Lime, Subsidy on Transport of, 468.
Limestone, 543, 555, 558.
Linen Flax, 474, 475, 488, 565, 716, 752.
Exports of, 284, 285, 298, 299.
Linseed, 474, 475, 476, 480.
Liquidations of Companies, 830.
Literature, New Zealand, 1136–1142.
Livestock, 489–508, 1109.
Carried on Railways, 351, 352.
Slaughterings of, 501–502.
Loans—
Allocation of, 744.
By Building Societies, 826–830.
Conversion of, 745–746, 773.
Dates of Maturity of, 745–747, 774.
Domicile of, 747, 772, 1117.
Guaranteed, 743, 770.
National Development, 721, 746.
Of Hospital Boards, 137, 139.
Of Local Government, 137, 139, 759–760, 769–774, 1118, 1119.
On Assurance Policies, 840, 854.
Raised for War Purposes, 743, 744.
Redemption of, 714, 717, 744–746, 766, 770.
Rehabilitation, 262–264, 821–824.
State Advances, 609, 765, 819–825.
Supplementary, 262, 822, 823.
Suspensory, 262, 820, 822, 823, 825.
Local Government, 133–140, 624, 626, 672–673, 753–775, 1118–1119
Advances to, 363–364, 763, 765, 822–824, 975.
Amalgamation, 757.
Assets of, 768–769.
Borrowing, 759–760.
Commission, 757–759.
Debt of, 139, 752, 769–774, 1118, 1119.
Deposits with, 803.
Employees of, 774–775, 988–989, 995.
Expenditure of, 138–139, 624, 626, 673, 766–767, 1118.
History of, 753–754.
Levies on, by Hospital Boards, 136–137, 139, 766.
Liabilities of, 139, 768.
Obligations under Health Act, 116.
Receipts of, 137, 626, 672, 763–765, 1118.
Superannuation, 212–215.
Taxation by, 672, 740, 760–762.
Local Option, 1070.
Local Railway District, 753–775.
Locally-produced Commodities, Price Indices, 898, 890, 908.
Lockouts, 959–964, 1003–1006.
Locomotives, 347, 348.
Lodges, Friendly Societies, 215–216.
Losses from Fire, 847–852, 855.
In Forests, 516.
Lotteries, 1075.
Duty on, 736, 1075.
Lubricants and Fuels, Imports of, 303, 304, 312, 319.
Lucerne, 474, 475.
Lump-sum Payments, 662.

M

Machinery—
Accidents, 1016, 1025–1026.
Factory, 575, 582.
Farm, 314, 469–472.
Imports of, 302, 314, 315.
Industry, 567, 569–586, 603.
Inspection of, 1025–1026.
Magistrates, Superannuation of, 211.
Mails, 387, 1122.
Air, 377–383, 385–386.
Main Highways, 364–365.
Maize, 474, 475, 476.
Malting Barley, 479.
Malting Industry, 564.
Mangaia Island, 2, 1029, 1031.
Manganese Ore, 543, 546.
Mangolds, 475, 481.
Manihiki Island, 2, 1029, 1031.
Manuae Island, 2, 1029, 1031.
Manufacturing Industry Sector Account, 684.
Manufacturing Production, 439–441, 560–603, 1115.
Persons Engaged in, 562–572, 574, 582, 587–603, 981, 985–990.
Manure Industry, 597.
Manures, Imports of, 302, 317.
Manures Used for Top-dressing, 380, 482.
Maori Affairs, Board of, 419.
Maori Electorates, 1092.
Maori Housing, 264, 612–613, 975.
Maori Lands, 419–422, 510.
Maori Succession Duty, 735.
Maori Trustee, 420, 748.
Maori War Benefits, 179.
Maori Welfare, 1075–1076.
Maoris—
Births of, 98–99, 104–105.
Children Attending Schools, 152, 159–162, 164, 165.
Deaths of, 98, 100–104, 106.
Employment, 984.
Expectation of Life, 100.
Franchise, 26.
Half-castes, 55, 98.
In Mental Hospitals, 146.
In Prisons, 227, 234.
Infant Mortality of, 102–104, 108.
Marriages of, 99, 106.
Members of Parliament, 21, 1092.
Natural Increase of, 105.
Offences by, 226–227.
Population, 27, 43, 44, 45, 53–55.
Rehabilitation of, 260, 264.
Schools for, 151, 152, 156, 157, 159–162, 164, 165.
Sex Proportions of, 31.
Still-births, 68.
Map of New Zealand [End of Volume].
Maps and Mapping, 426–428.
Marble, 555.
Marine Officers' Certificates, 344, 944.
Marital Status, 70.
Market Gardens, 403, 474, 483, 484, 946–947.
Registration of, 484.
Market Prices of Shares, Yield on, 907.
Marketing of Primary Produce, 279, 442–459, 508.
Marriages, 68–76, 99, 106, 1105.
Masculinity Rate, 60, 68.
Masseurs (see Physiotherapists).
Massey Agricultural College, 151, 152, 169, 172, 260.
Materials Used in Factories, 562–564, 576–578, 582, 586–603, 1115.
Maternal Mortality, 89, 90, 94–95, 102, 107, 114.
Maternal Welfare, 117, 124.
Maternity Benefits, 117, 141, 179, 196, 199, 200.
Maternity Hospitals, 124, 140, 141–142, 196.
Maternity Nurses, 129, 142, 196.
Maternity Services, 141–142, 196, 199.
Maturity Dates of Loans, 745–747, 774.
Mauke Island, 2, 1029, 1031.
Mean Population, 29, 33, 441, 1104.
Mean Time, 1076.
Measures and Weights, 423, 474.
Meat—
Bulk-purchase of, 279, 456–457.
Consumption of, 503, 504, 641, 642, 644.
Export Control, 442.
Export of, 281–285, 290–291, 298, 299, 341, 456–458, 502–505, 1111.
Export Price Index, 901.
Freezing and Preserving Industry, 564, 587, 784.
Industry Reserve Accounts, 460.
Inspection of, 463.
Marketing of, 279, 442, 445, 456–458.
Prices for, 445, 456–459.
Production, 503–504, 587–588.
Retail Prices of, 882, 885–895.
Wholesale Prices of, 897.
Meat Producers Board, 442, 457.
Medical Advertisements, 119.
Medical Benefits, 117, 179, 194, 199, 200.
Medical Bursaries, 117, 171.
Medical Council, 127.
Medical Practitioners, 127–128, 194.
Medical Research Council, 127.
Medical Services, 115–147, 193–200.
In Cook Islands, 1031–1032.
In Niue Island, 1037.
In Western Samoa, 1041–1042.
Medicine, Physical, 126.
Members of Parliament, 21–23, 1092.
Superannuation of, 22, 211.
Meningitis, 118.
Meningococcal Infections, 86, 90, 101, 107, 109, 110.
Mental Defectives, 143–146, 232.
Mental Hospitals, 143–147, 195.
Mercantile Marine, 252, 255, 334–345.
Pensions, 199, 206, 208.
Merchandise, Exports of, 265–300, 329–331, 1110–1114.
Merchandise, Imports of, 265–278, 301–321, 327–333, 638–640, 1110.
Merchandise Transhipped, 340–342.
Merchants, Bank Advances to, 784.
Mercury, 544, 546.
Metal Products Industry, 567, 569–586.
Meteorology, 10–13, 385, 1028, 1036, 1039.
Midwives, 126, 128, 142, 196.
Migration, External, 34–37, 1104.
Child, 37.
Mileage of—
Commercial Air Services, 378, 381, 382.
Main Highways, 363, 365.
Railways, 346, 351, 354, 1123.
Roads, 360.
Tramway, etc., Routes, 356, 359.
Mileage Tax, 362, 726.
Milford Sound, 1149.
Military Colleges, 245.
Military Forces, 244–246, 253–254.
Military Pensions, 177, 201–209.
Military Training Act, 240.
Milk—
Boards, 753.
Consumption of, 641, 644.
Control of Prices and Sale of, 446.
Districts, 753–775.
Dried and Condensed, Exports of, 283, 285, 293, 298, 299, 1113.
Dried and Condensed, Production of, 500.
Examination and Testing of, 464, 498.
For School Children, 121, 166.
Marketing of, 446.
Subsidy, 461.
Milking Machines, 470–471.
Milk Products (see Dairy Produce).
Mills, 560–603.
Mineral Waters, 1077, 1146.
Minerals and Mineral Production, 543–559.
Wholesale Price Indices, 897.
Miners' Benefits, 179, 181, 188–189, 199, 559.
Miners' Phthisis, 188–189.
Mining, 543–559, 744.
Accidents, 97, 549, 556, 1012–1024.
Act, Examinations under, 559.
Industry Sector Account, 683.
Legislation, 543, 941–943.
Persons Engaged in, 549, 550, 551, 553, 555, 556, 988.
Produce Exported, 283, 284, 298, 299, 544.
Strikes, 1007, 1008.
Value of Production, 440, 543.
Ministers of Each Church, and Marriages by, 73.
Ministers Plenipotentiary, 1100–1103.
Ministries, Successive, 1088–1089.
Ministry, Holland, 1089, 1090–1091.
Mission Schools, 152, 159, 1032, 1042, 1048.
Mitiaro Island, 2, 1029, 1031.
Monarch, The, 19–20.
Monetary Benefits, Social Security, 179–193, 199–200, 720, 982.
Money Orders Issued and Paid, 388–389, 1122.
Morbidity, 109–114, 216.
Mortality (see Deaths).
Mortgage Corporation, 819.
Mortgage Exemption, 729.
Mortgagee, Rights of, 810.
Mortgagees' Indemnity Insurance, 736.
Mortgages, 809–819, 822, 840.
Rates of Interest on, 814–818, 824, 825.
Mortgages—continued
State Advances, 819–825.
Mothers, Ages of, 61, 62, 65.
In Ex-nuptial Cases, 66.
Motive Power in Factories, 575.
Motor Spirits—
Consumption of, 367–368.
Fixed Prices for, 880.
Imports of, 312, 319.
Resellers, Licensing of, 1064.
Taxation on, 325, 327, 362, 369, 726, 765.
Motor Transport, 349, 355, 356, 366–375.
Motor Vehicles—
Accidents, 90, 95, 96, 102, 107, 372–375, 1016.
Assembly of, 567, 601.
Dormant Registrations, 368.
Drivers' Licences, 362, 366.
Duty on, 324, 330.
Imports of, 301, 317, 319.
Insurance, 841–844.
Operated by Tramway Authorities, 355–357.
Registration and Licensing of, 366–368.
Repairs Industry, 567.
Taxation, 324, 330, 362, 366, 671, 726.
Traffic Offences, 222, 223–224, 373.
Motor Vessels Registered, 343.
Motor-engineering Industry, 601–602.
Motor-ways, 365.
Mountains, 4–5.
Multiple Births, 60–61.
Murder, 74, 90, 95, 102, 107, 225, 230.
Abolition and Restoration of Death Penalty for, 226.
Museums, 168.
Mussels, 536, 538.
Mutton, Consumption of, 503, 504, 641, 642.
Mutton Exported, 298, 299, 503, 641.
Mutton Produced, 503–504, 587.
Mutual Fire Insurance, 852.

N

Nassau Island, 2, 1030, 1031.
Nassella Tussock Districts, 753–775.
National Airways Corporation, 377–379, 382, 713, 744, 752.
National Council of Adult Education, 174.
National Development Loans, 721, 746.
National Employment Service, 974, 983–990.
National Film Library, 168.
National Film Unit, 1135.
National Income and Expenditure, 661–678.
National Library Service, 156, 175–176, 235.
National Licensing Polls, 1069–1070.
National Provident Fund, 138, 212–215, 748.
National Roads Board, 361.
National Savings, 741, 748, 798–799.
Nationality, 39–41.
Of Naturalized Persons, 40.
Of Overseas Shipping, 336.
Of Registered Aliens, 41.
Native Animals, 13.
Native Bush, 13, 404, 509–514, 526–530.
Native Fresh-water Fishes, 540–541.
Native Grasses, 13, 404.
Natural Increase of Population, 28, 42, 58–59, 105.
Naturalization, 39–41.
Nauru Island, 2, 1049–1050.
Naval Defence, 240–243, 250, 251, 254–255, 1083.
Naval Expenditure, 243, 715.
Neo-natal Deaths, 79, 84–89, 102–104.
Nephrite, 554.
Net Note Circulation, 788–790.
Net Reproduction Rate, 28.
New Zealand Broadcasting Service, 168, 396–401, 748.
New Zealand Dairy Board, 442, 453.
New Zealand Mean Time, 1076.
New Zealand Red Cross Society, 131.
New Zealand Representatives Overseas, 1100–1101.
Newspapers Registered, 388.
Newsprint, 521–523.
Niue Island, 1, 2, 27, 38, 300, 393, 1036–1039.
No-licence Issue, 1070.
Note Issue, 778, 781, 788–790, 804–805.
Notes in Circulation, 788–790, 800, 1120.
Notification of Births, 56, 98.
Notification of Diseases, 109–112, 118.
Nukunono Island, 2, 3, 1046–1048.
Nullity of Marriage, 74–76.
Nurseries, 483, 484.
Nurses—
Dental, 122, 198.
District, 131, 197.
In Public Hospitals, 775.
Industrial, 125.
Male, 129.
Maternity, 129, 142, 196.
Pensions for, 213.
Plunket, 120, 131, 142.
Psychiatric, 128.
Public Health, 121.
Registration of, 129.
Nursing, 126–127, 197.
Nursing Aids, 129.

O

Oatmeal, etc., Consumption of, 643.
Oatmeal, etc., Production of. 589.
Oatmeal Exported, 284.
Oats, 474, 475, 476, 478, 481, 488, 1108.
Observatory, Time Signals From, 399, 1076–1077.
Occupation of Land, 402–404.
Occupational Health, 117, 124–125.
Occupational Status, 981.
Occupational Therapists, 129.
Occupational Training of Discharged Servicemen, 258–259, 263.
Occupations of Bankrupts, 1058.
Occupations of Fathers, 63.
Ocean Island, 1050.
Offences, 221–234.
By Children, 172–174, 227–228.
By Maoris, 226–227.
By Women, 226.
Offenders Probation Act, 223, 225, 228, 236.
Officers' Certificates (Marine), 344, 944.
Offices Act, Shops and, 938–940.
Official Representatives, 1100–1103.
Oil, Fish Liver, 538–539.
Oil, Production from Coal, 551.
Oil Wells, 553–554.
Oil, Whale, 283, 284, 536, 539, 1049.
Old People's Homes, 138, 142–143.
Omnibuses Licensed, 367.
Onions, 475, 480, 488.
Exports of, 284, 285.
Opencast Mining, 550–552.
Opium, Prohibition of, 119.
Opossum Skins Exported, 283, 285, 298, 299.
Opticians, Registration of, 130.
Orchards, 403, 474, 475, 483, 484–485, 947.
Orchestra, National, 399, 400.
Origin of Immigrants, 36.
Origin of Imports, 305–318.
Orphanages, 142–143.
Orphans' Benefits, 179, 181, 186, 199.
Ottawa Agreement, 322, 328.
Outlying Islands, 1, 1027.
Out-patients, 140.
Maternity Hospitals, 142.
Overdraft Authorities, Unexercised, 788.
Overdraft Rates, 801.
Overtime, 584–585, 937–939, 941, 944, 946.
Owner Occupied Houses, Rental Value of, 661, 665, 674.
Oysters, 536, 538, 539.

P

Pacific Islands, Annexed, 1027–1039.
Bibliography, 1142.
Radio Communication, 393, 1034, 1038.
Paint and Varnish Industry, 566, 598.
Paleontology, 557.
Palmerston Island, 2, 1030, 1031.
Pan American Airways, 382.
Paper and Paper Products Industry, 566, 569–586, 595.
Paper, Imports of, 302, 316, 320.
Paralysis, Infantile (Poliomyelitis), 86, 90, 101, 107, 109, 110–111, 118.
Parcel-post, 297, 386, 387–388.
Parents—
Ages of, 61, 62, 65, 66.
Duration of Marriage of, 64.
Previous Issue of, 62.
Parks, National, 404–405.
Parliament, 20–23.
Members of, 21–23, 1092.
Parliamentary Elections, 21, 1065–1069.
Parliaments, Successive, 1093.
Passenger Mileage—
Air Services, 378–382.
Railways, 351.
Tramways, etc., 356, 359.
Passenger Services, 370–372.
Passengers—
Commercial Aircraft, 378–383.
Motor Vehicle, 372.
Overseas, 34–35, 1104.
Railway, 350–352, 1123.
Tramway, etc., 356, 359.
Passion-fruit, 403.
Passports, 37–38.
Pastoral and Agricultural Production, 435–508, 1108, 1109.
Persons Engaged in, 993.
Value of, 435–441.
Volume of, 437, 441.
Pastoral Produce—
Consumed Locally, 438, 641–642, 644.
Export of 281–299, 438, 502–505, 507, 1111–1114.
Export Prices Indices, 898–902, 908.
Gross Farming Income, 435–437.
Wholesale Prices Indices, 897.
Pasture Grasses, 403, 475, 482.
Patents, Designs, and Trade Marks, 1063–1064.
Patients in Mental Hospitals, 143–146.
Patients in Public Hospitals, 113–114, 140.
Payments, Balance of, 691–708.
Payments Overseas, 271–273, 792–794.
Peaks, Altitude of, 5.
Pears, 474, 484–486.
Export of, 284, 285.
Marketing of, 445, 485, 1081.
Peas, 474, 475, 476, 479.
Export of 284, 285, 296, 298, 299.
Pelts, Hides, and Skim, Export of, 281, 283, 285, 294–295, 298, 299, 341, 1113, 1114.
Penrhyn (Tongareva) Island, 2, 1029, 1031.
Pensions, 177–215, 662, 671, 674.
Perinatal Mortality and Prematurity, 88–89.
Permanent Building Societies, 827–829.
Permanent Heads of Government Departments, 1096–1097.
Permits, Building, 604, 613–620.
Petitions—
Bankruptcy, 1055, 1056.
Divorce, 74–76.
Petrol (see Motor Spirits).
Petroleum, 312, 319, 543, 553–554.
Petrology, 558.
Pharmaceutical Benefits, 117, 179, 195, 199, 200.
Pharmaceutical Chemists, 130.
Pharmacy, 130, 1064.
Phormium, 404, 466, 487.
Industry, 565.
Phosphate Rock, 554, 597.
From Nauru Island, 2, 1049–1050.
Phthisis (see Tuberculosis).
Miners', 188–189.
Physical Welfare and Recreation, 132.
Physiography, 1–8.
Physiotherapists, 129.
Physiotherapy Benefits, 197, 200.
Picture Theatres, 1059–1063.
Pig-meats, 298, 299, 457, 502–505, 587, 641, 642.
Pigs, 466, 489, 490, 500, 501, 1109.
Slaughtered, 502.
Pilots, Air, 384.
Pisciculture, 541.
Placement Service, 974, 983, 991–993.
Plaints, 220.
Planing Mills, 565, 594.
Planning, Town and Country, 762.
Plantations, 403, 466, 475, 484, 509–511.
State, 510.
Plants, New Zealand, 13.
Platinum, 543, 545.
Plumbers, Registration of, 130.
Plunket System, 131, 142.
Plywood and Veneer, 523, 565, 600.
Poisoning, 95, 109, 110, 111, 114, 118, 1018.
Poisons, 119.
Police Force, 236–238, 714, 1080.
Superannuation, 210.
Policies, Insurance, 834–853, 1125.
Poliomyelitis, 86, 90, 101, 107, 109, 110–111, 118.
Polling—
At General Elections, 1065–1069.
At Licensing Polls, 1069–1071.
Population, 27–55, 441, 1104.
Age Distribution of, 52.
Distribution of, 42–51.
Industrial Distribution of, 981–989.
Method of Compilation of, 32.
Occupational Status of, 981.
Of Campbell Island, 27.
Of Cook Islands, 27, 1031.
Of Kermadec Islands, 27, 1028.
Of Nauru Island, 1050.
Of Niue Island, 27, 1036.
Of Tokelau Islands, 27, 1047.
Of Western Samoa, 27, 1041.
Projection, 28–30.
Pork Consumed, 503, 504, 641, 642.
Pork Exported, 298, 299, 503, 641.
Pork Produced, 502–504, 587.
Portfolios of Ministers, 1089–1090.
Ports—
Fishing, 538.
Of Arrival and Departure, 335.
Of Registry, 343.
Shipping and Trade of, 297, 320, 334–343.
Post Office Account, 721.
Post Office Employees, 395, 989.
Accidents to, 1014, 1017, 1019, 1021.
Superannuation of, 210.
Wages of, 923.
Post Office Savings Bank, 794–796, 802, 1121.
Postal and Telegraphic, 387–395, 713, 744, 748, 1122.
Tribunal, 948, 953.
Postal Notes, 389, 1122.
Post-primary Education, 149–155, 161–164, 1106.
Potatoes, 474, 475, 479–480.
Consumption of, 642, 644.
Export of, 284, 285, 298, 299.
Marketing of, 446.
Pottery, China, and Earthenware Industry, 567, 599.
Poultry, 466, 506–507, 643.
Poultry Runs Registration, 507.
Pounamu (Greenstone), 554.
Power Boards, 624, 626, 753–775, 1119.
Power, Electric (see Electric).
Power Used in Factories, 575.
Preferential Tariff, 321–325, 327–332.
Pregnancy, Diseases, etc., of, 86, 88–89, 90, 94–95, 102, 107, 109, 114.
Premiers, Successive, 1088–1089.
Premium Income, 834–856.
Preserved Meats, Production of, 587.
Prevention of Forest Fires, 513, 516–517.
Prevention of Profiteering, 880.
Price Tribunal, 880–881.
Prices, 880–908.
Collection of, 889, 896.
Effect on Exports and Imports, 275.
Fixation of, 880.
Guaranteed, 453–454.
Of New Zealand Stocks, 748.
Post-war Control of, 881.
Regulation of, 880–881.
Stabilization of, 880–881.
Wartime Index, 886.
Primage Duty, 322, 323, 327.
Primary Products—
Consumption of, 437–438, 641–644.
Export of, 280–300, 341, 437–438, 456–458, 502–505, 1111–1114.
Marketing of, 279, 442–459, 508.
Purchase for War Purposes, 279, 448.
Primary Schools, 149–153, 157–161, 165–167, 1042, 1106.
Prime Ministers, Successive, 1088–1089.
Principal Events, 1126–1133.
Printing and Publishing Industry, 566, 569–586, 595.
Prisoners of War, 252.
Prisons and Prisoners, 227, 230–236, 1107.
Private Assignments, 1059.
Probation, 222, 228–229, 236.
Producers' Equipment, Imports of, 303, 304, 305.
Producers' Materials, Imports of, 303, 304.
Producers' Materials, Wholesale Prices of, 898.
Production—
Agricultural and Pastoral, 435–508, 1108, 1109.
Clothing, 592–593.
Dairy, 498–500, 588.
Factory, 440, 441, 560–603, 1115.
Fisheries, 536–540.
Local Consumption of, 437–438, 641–644.
Meat, 503–504, 587–588.
Mineral, 440, 543–559
Pulp Products, 521–523.
Timber, 440, 520–523, 593.
Value of, 435–441, 639.
Volume of, 437, 440–441, 583–584, 639–640.
Wool, 436, 493–494.
Professors, University, 169, 172.
Profit Sharing, 930.
Profiteering, Prevention of, 880.
Prohibition Issue, 1069–1070.
Prohibition Orders, 222.
Promotion of Employment, 973–974, 983–990.
Promotion of Industries, 974, 1064.
Properties Transferred, 406–410.
Proprietary Income, Taxation of, 862.
Proprietors, Working, 985–986.
Prorogation of Parliament, Dates of, 1093.
Protection of Wages, 954–955.
Provident Fund, National, 138, 212–215, 748.
Provincial Districts, 754.
Area and Population of, 42–43.
Density of Population in, 53.
Factory Production in, 563.
Public Accounts, 709–722.
Public Administration Sector Account, 687–690.
Public Buildings, Expenditure on, 717, 744.
Public Debt, 714, 741–752, 1117.
Repayment of, 714, 741–746, 750–752.
Public Finance, 709–752, 1116, 1117.
Public Health, 115–147.
Public Service, 948, 1098–1099.
Board of Appeal, 1098.
Classification, 1098.
Commission, 1098–1099.
Employees, 1098.
Superannuation, 210–211.
Public Trust Office, 1051–1053.
Public Utilities Industry Sector Account, 686.
Public Works—
Accidents, 1014–1021.
Account, 716–717, 721.
Co-operative System, 930.
Employees, 948, 994–995.
Housing Construction, 610–612, 618–619, 716.
Railway Construction, 346, 716.
Road Construction, 361, 716.
Public Works and Services, Maintenance of, 671, 715–717.
Publicans' Licences, 765, 1071–1074.
Publications—
Agriculture Department, 464, 482.
Census, 55.
Census and Statistics Department (see Forefront of Book).
Education Department, 168, 1028.
General Bibliography, 1136–1142.
Labour and Employment Gazette, 984.
Lands and Survey Department, 427.
New Zealand Flora, 13.
New Zealand Listener, 398, 400.
Register of Newspapers, 388.
Publishing and Printing Industry, 566, 569–586, 595.
Puerperal Accidents, etc., 86, 88–89, 90, 94–95, 102, 107, 109, 114.
Puisne Judges, 1094.
Pukapuka (Danger) Island, 2, 1029–1030, 1031.
Pulp and Paperboard, Imports of, 315.
Pulp Products, Production of, 521–523, 595.
Pumice, 283, 284, 543, 555.
Pupils, School, 152–166, 1106.

Q

Quackery Prevention, 119.
Quadruplets Born, 60.
Quarries, 555, 941, 943, 1082.
Accidents at, 97, 556, 1014, 1022.
Persons Engaged in, 556, 988.
Quartz Mining, 544.
Quicksilver, 544, 546.
Quorum—
Executive Council, 23.
House of Representatives, 23.
Quotations, New Zealand Stocks, 748.

R

Rabbit Districts, 753–775.
Rabbit Skins Exported, 283, 285, 295. 298, 299, 1113.
Rabbits, Destruction of, 380, 468.
Racing Taxation, 723, 736–738.
Radiation Protection, 125.
Radio Advertising, 396–401.
Radio Assembly and Manufacture, 567, 601.
Radio Beacons, 344.
Radio Broadcasting, 168, 396–401.
Radio Communication, 393, 1034, 1038.
Radio Licences, 401.
Radio Stations, 393, 396–399, 1034, 1038.
Radio Time Signals, 399, 1076–1077.
Radioactive Substances Act, 125.
Radiologists, 125, 196, 200.
Radio-telephone Services, 393.
Raffles, 1075.
Rail Cars, 347.
Railway and Tramway Equipment, Imports of, 303, 317.
Railways, 346–354, 1123.
Accidents, 96, 354, 374.
Air Freight Service, 379.
Debt, 744.
Employees, 353–354, 989.
Private, 346, 354.
Revenue and Expenditure, 348–350, 719, 1123.
School Children's Transport, 165.
Superannuation, 210, 354.
Tribunal, 354, 948, 953.
Wages of Employees, 919, 923.
Rainfall, 10–13.
Rakahanga (Reirson) Island, 2, 1030, 1031.
Rangemaking Industry, 567, 601.
Ranges, Mountain, 4–5.
Raoul Island, 1028.
Rape, 474, 481, 488.
Rarotonga Island, 2, 1029, 1031–1034.
Rateable Value of Land, 433–434.
Rates, Local Government, 672, 740, 760–762, 1118.
Rates of Exchange, 805–807.
Rates of Interest—
On Building Societies' Deposits, 802.
On Company Deposits, 802.
On Fixed Deposits, 801–803.
On Local Government Debt, 773.
Rates of Interest—continued
On Mortgages, 814–818, 824, 825.
On Public Debt, 745–746, 749.
On Rehabilitation Loans, 262.
On Rural Intermediate Credit, 825.
Paid by Savings Banks, 794, 802.
Rates of Tax, 726–732, 869.
Rates of Wages, 572–574, 909–924, 938, 940, 941, 944, 947, 949–959.
Rates of War Pensions, 202–206.
Rating by Local Government, 136–137, 760–762.
On Unimproved Value, 761.
On Urban Farm Lands, 431.
Rationing, 644.
Receipts, Overseas, 271–273, 792–794.
Reciprocal Benefits, 177, 178, 179, 193, 720.
Reciprocal Tariff and Trade, 327–333.
Reclamation of Sand Dunes, 518.
Recreation and Physical Welfare, 132.
Recruiting—
Air Force, 247.
Army, 244.
Navy, 242.
Police, 237.
Red Cross Society, 131.
Redemption of Loans, 714, 717, 744–746, 766.
Redemption of Mortgages, 809–810, 818–819.
Redemption of Savings Bonds, 799.
Re-exports, 299–300.
Reformative Detention, 173, 225, 232, 233.
Refuge Homes, 143.
Refugee Organization, International, 37.
Refunds to Racing Clubs, 737.
Registrars, Marriages Before, 68, 73.
Registration of—
Adopted Children, 67.
Aliens, 41–42.
Apiaries, 507.
Apprenticeships, 965.
Births, 56, 98, 105.
Building Societies, 826.
Chemists, 130.
Companies, 830, 1124.
Dairy Companies, 498.
Deaths, 77, 100.
Deeds, 407.
Dentists, 128.
Designs, 1063, 1064.
Electors, 26, 756.
Ex-nuptial Births, 56, 65.
Fishing Vessels, 535.
Friendly Societies, 215.
Hospital Dietitians, 130.
Industrial Unions, 996.
Land Titles, 406.
Male Nurses, 129.
Maori Births, 98–99.
Maori Deaths, 77, 98, 100.
Maori Electors, 26.
Market Gardens, 484.
Marriages, 68, 99.
Maternity Nurses, 129.
Medical Practitioners, 128.
Midwives, 129.
Mortgages, 809–818.
Registration of—continued
Motor Vehicles, 366–368.
Newspapers, 388.
Nurseries, 484.
Nurses, 129.
Nursing Aids, 129.
Occupational Therapists, 129.
Opticians, 130.
Orchards, 485.
Patents, 1063, 1064.
Pharmaceutical Chemists, 130.
Physiotherapists, 129.
Plumbers, 130.
Poultry-runs, 507.
Private Schools, 160.
Psychiatric Nurses, 129.
Still-births, 56, 67, 77, 88.
Trade Marks, 1063, 1064.
Trade Unions, 996.
Unemployed, 983.
Vessels, 343.
Registry, Ports of, 343.
Regulation of Prices, 880–881.
Regulation of Wages, 909–912.
Rehabilitation, 169, 171, 256–264, 671, 821–824, 946.
Relief, Charitable, 138–139, 142–143.
Relief of Unemployment, 189–190, 193, 973–974, 982.
Religious Professions—
Marriages by Ministers of, 73.
Officiating Ministers, 68, 73.
Renewable Leases, 412–418.
Rent Restrictions, 976–980.
Rental Cars, 367.
Rental Value, Owner-occupied Houses, 661, 665, 674.
Renters, Film, Taxation of, 738.
Rents, House, 885–895, 976–980.
Rents, Stabilization of, 977.
Repayment of Public Debt, 714, 744–746, 750–752.
Representatives, House of, 20–23, 1092.
Broadcast of Proceedings of, 399.
Election of, 21, 1065–1069.
Members of, 1092.
Representatives in New Zealand, 1101–1103.
Representatives Overseas, 1100–1101.
Reproduction Rate, 28.
Research, Agricultural, 463–465, 477, 488.
Research, Coal, 551.
Research, Dental, 123.
Research, Educational, 174.
Research, Forestry, 525.
Research Institute, Wheat, 477.
Research, Medical, 127.
Research, Mining, 556–558.
Research Scholarships, 171.
Reserve Bank, 271–273, 748, 752, 776–779, 804–805.
Reserves, Air Force, 249.
Reserves, Farm Industry, 460.
Reserves, Military, 246.
Reserves, Naval, 243.
Reserves, Public or Scenic, 404–405, 510.
Restrictions on Consumption, 644.
Restrictions on Employment, 937, 941, 944, 947.
Retail Prices, 882–896, 908.
Retail Trading, 647–652, 656–660.
Retailers, Bank Advances to, 784.
Revaluations, Land, 430–431.
Revenue, 661–740, 1116.
Broadcasting, 400.
Cinematograph Theatres, 1059–1063.
Customs, 326–327, 723, 725.
Electric Power, 625–627, 629, 631, 765.
Forest Service, 519.
Insurance Companies, 837, 839, 842, 848, 853–856, 1125.
Local Government, 137, 626, 672, 763–765, 1118.
Post and Telegraph, 390, 393, 394.
Railway, 348–350, 352, 353, 719, 1123.
Social Security Fund, 178, 720, 723, 739.
Tramways and Associated Transport, 357, 359.
Review of Legislation in 1954, 1077–1087.
Rivers, 6–7, 622–623.
Control of, 716, 717.
Road Districts, 753–775.
Bridges in, 360.
Debt of, 768.
Mileage of Roads, 360.
Road Goods Services, 370–372.
Road Passenger Services, 355–357, 370–372.
Road Safety, 372–373.
Road Transport, 355–357, 368–372.
Roads, 360–375.
Accidents on, 90, 93, 96, 102, 107, 374–375.
Expenditure on, 362–366, 717, 744.
Taxation, 362, 366, 369, 713, 723, 726.
Roll, Valuation, 429–430, 760.
Rolling Stock—
Railway, 347–348.
Tramway, etc., 355–357, 359.
Roman Catholic Schools, 151, 161, 1032.
Ross Dependency, 2, 3, 27, 1049, 1142.
Whaling, 1049.
Rotorua Thermal Springs, 1077, 1146.
Royal New Zealand Air Force, 247–249, 255.
Royal New Zealand Navy, 240–243, 250, 254.
Rubber Products Industry, 566, 569–586, 596, 923.
Rural Advances, 413, 417, 819–825.
Rural Education, 165–166.
Rural Housing, 614, 617–618, 763, 822, 976.
Rural Intermediate Credit, 824–825, 1080.
Rural Mail Deliveries, 387.
Rural Mortgages, 812–813, 815, 822.
Rural Population, 43–44.
Ryecorn, 474, 488.

S

St. Helens Hospitals, 124, 141, 142, 196.
St. John Ambulance, 131.
Salaries and Wages, 117, 138, 358, 394, 562–568, 572–574, 586–603, 625–628, 635–637, 649, 650, 654, 655, 665, 674, 678, 681–689, 864, 879, 1060, 1115.
Charge on, 137, 178, 720, 723, 739, 910.
Salaries of Members of—
Executive Council, 22.
House of Representatives, 22.
Public Service, 1099.
Sales Tax, 671, 713, 723, 739–740.
Salmon, Acclimatization of, 541.
Salt, 543, 555, 752.
Samoa (see Western Samoa).
Sanatoria, 140.
Sanctuaries, Wildlife, 405.
Sand and Gravel, 543, 555.
Sand Dunes, Reclamation of, 518.
Sanitation, 115–120.
Sausage Casings, Export of, 283, 285, 295, 298, 299.
Savai'i Island, 3, 1039.
Savings Accounts and Bonds (National), 741, 798–799.
Savings Banks, 794–800, 802, 1121.
Savings, Private, 663–669.
Sawmills, etc., 520–524, 565, 593.
Wages of Employees, 919, 922.
Scheelite, 283, 284, 545, 558.
Scholarships, 170–171, 1042.
School Certificate, 150, 152.
School Children, 152–166, 1106.
Board and Conveyance of, 165.
Dental Treatment of, 122.
Medical Inspection of, 121.
Milk for, 121, 166.
School Committees, 148–149.
School Inspectors, 158, 160, 161.
School Journal, 168, 1028.
School Savings Bank, 796–797.
School System, 149–152.
School Teachers, 148, 160, 161, 166–168.
Superannuation, 210.
Schools, 148–176, 1032, 1037, 1042.
Carpentry, 258.
Combined, 152, 161–163, 165, 168.
Consolidation of, 165.
Denominational, 151, 161, 1032, 1042.
Dental Clinics, 122.
Military, 245.
Of Mines, 169, 556, 558.
Private, 152, 160–162, 165, 1106.
Public, 148–168, 1106.
Special, 156, 173.
Science, Defence, 239–240.
Scientific and Industrial Research, Department of, 464–465.
Sea Fisheries, 535–540.
Seals 539.
Seamen, 199, 206, 208, 943–946.
Seamen Act, Shipping and, 943.
Secondary Education, 149–155, 161–166, 168, 1106.
Seed Certification, 488.
Seeds, Grass, and Clover, 474, 475, 481–482.
Exported, 284, 285, 296, 298, 299, 1113.
Seeds, Imports of, 310.
Seed-sowing, Aerial, 380.
Seismology, 8–10.
Sentences on Criminals, 224–225, 1107.
Separate Rates, 760.
Separation, Judicial, 74–76.
Separators, Cream, 470.
Serpentine, 543, 554, 555, 558, 597.
Service, Public (see Public Service).
Service-car Licences, 367.
Servicemen—
Acquisition of Land by, 259–260, 417–418.
Awards to, 253.
Casualties Overseas, 250, 252–255.
Demobilization of, 264.
Educational Facilities for, 261.
Financial Assistance to, 262–264, 418, 821–824.
Pensions for, 177, 199, 201–209.
Registration of Deaths of, 77.
Rehabilitation of, 169, 171, 256–264, 671, 821–824, 946.
Servicemen's Settlement Act, 410.
Services—
Air Force, 247–249, 251, 255.
Army, 244–246, 249, 251–254.
Navy, 240–243, 250, 251, 254–255.
Services, Distribution Statistics of, 655–657.
Sessions, Parliamentary, Successive, 1093.
Settlement of Industrial Disputes, 959–964, 1009–1010.
Settlement of Land, 402–422.
Settlement, Servicemen's, 259–260, 263, 417–418.
Settlement, Small Farms, 413–418.
Sex Proportions, 31–32.
Sexes of—
Children Born, 59–61, 68, 99.
Factory Employees, 570–571.
Patients in Mental Hospitals, 143–146.
Patients in Public Hospitals, 113.
Prisoners, 232, 233.
Scholars and Students, 158, 160–163, 169–170.
School Teachers, 160, 161, 166–168.
Twin Births, 61.
Share Prices, Index Numbers, 904–908.
Sharebrokers' Licences, Tax on, 736.
Share-milking Agreements, 946.
Shares in Building Societies, 827, 828.
Shares, Labour, 930.
Shearers' Wage Rates, 954.
Shearing Machines on Farms, 470.
Sheep, 489–493, 1109.
Sheep and Lambs Slaughtered, 502, 587.
Sheep Farms, 466.
Sheep Skins and Pelts Exported, 283, 285, 295, 298, 299, 1114.
Sheetmetal Working Industry, 567, 602.
Shipping, 334–345, 784.
Shipping and Seamen Act, 943.
Ships (see Vessels).
Shoe and Boot Industry, 593.
Shops and Offices Act, 938–940.
Shops, Fire Losses on, 852.
Short-wave Radio Broadcasting, 396, 398.
Sick Funds, 216, 354, 394, 559, 719.
Sickness, 109–114, 216.
Benefits, 179, 181, 190–192, 199.
Insurance, 216, 841.
Signals, Time, 399, 1076–1077.
Silica Sand, 543, 555.
Silver, 543, 545.
Coins, New Zealand, 803–804.
Exported, 283, 284, 298, 299, 544.
Silviculture, 513–516.
Sinking Funds, 139, 629, 632.
Skiing, 1150.
Skins, Hides, and Pelts, Export of, 281, 283, 285, 294–295, 298, 299, 341, 1113, 1114.
Slaughter of Animals for Food, 501–502.
Snares Islands, 2, 1028.
Soap and Candle Industry, 566, 597.
Social Accounts, 661–708.
Social Security, 137, 177–201, 929, 933.
Benefits, 117, 123, 147, 179–201, 662, 671, 674, 720.
Charge, 137, 178, 720, 723, 739, 874, 875, 879, 910.
Fund, 117, 123, 178, 720, 724, 739.
Reciprocity with Australia, 177, 178, 179, 193.
Reciprocity with Great Britain, 177, 179, 193.
Taxation, 178, 671, 720, 723–725, 739, 910.
Soil Conservation, 517, 716, 717.
Solander Island, 2, 1028.
Soldiers, 244–246, 251–254.
Sources of Income, 863–865.
South Africa, Union of—
Birth and Natural Increase Rates, 59.
Population, Annual Average Increase, 31.
Prices in, 884.
Reciprocal Trade with, 328–329.
South African War Pensions, 199, 201, 205, 208.
Southern Alps, 4–5, 1148.
Sovereignty, 18–19.
Spas, 1077, 1146.
Specialist Services, 197, 200.
Specie, Movement of, 278, 1110.
Speed Limit, 372.
Spinsters Marrying, 70–72.
Spirits, Consumption of, 643.
Spirits, Duty on, 324, 325, 327.
Spirits, Imports of, 310, 318.
Sporting Attractions, 1150.
Sports, 132.
Stabilization of—
Prices, 880–881.
Rents, 977.
Wages, 955–959.
Stabilization Subsidies, 460, 662, 672, 714, 719.
Stakes, Tax on, 737.
Stamp Duties, 713, 723, 735–736.
Standard Time, 1076.
Standardized Death Rates, 82–83.
For Cancer, 92.
State Advances, 763, 765, 819–825, 975.
Corporation, 607–610, 748, 752, 763, 819–825, 975.
State Aid to—
Afforestation, 518.
Building, 609–613, 763, 819–825, 975.
Cook Islands, 1035.
Crown Tenants, 413.
Discharged Servicemen, 256–264, 417–418, 821–824.
State Aid to—continued
Farming Industry, 412–418, 463–465, 468, 819–825.
Hospital Boards, 136, 137, 139.
Housing, 763, 819–825, 975, 976.
Immigrants, 36–37.
Kauri Gum Industry, 554.
Local Government, 136, 137, 139, 363–364, 672, 763, 820–824.
Manufacturing, 822–824, 1064.
Mining, 556–558.
Niue Island, 1039.
Prospecting, 556.
Purchases of Private Land, 417.
Superannuation Funds, 211, 214.
Unemployed, 189–190, 199, 973–974, 982.
Water-power Development, 622.
Western Samoa, 1045.
Wheat Growing, 477.
State Coal Mines, 551–553.
Account, 719–720.
Persons Employed in, 553.
State Departments, 24–25, 1051, 1089–1090, 1096–1097.
State Finance, 670–674, 709–752, 1116, 1117.
State Forests, 509–516, 530–533, 744.
Accidents, 1017, 1019.
State Housing, 605, 610–612, 618–619, 717, 744, 825, 976.
Sale of, 825.
State Hydro-electric Department, 622, 994.
State Indebtedness, 741–752, 1117.
State Insurance—
Accident, 748, 854–855.
Earthquake, 721, 855–856.
Fire, 748, 855.
Life, 853–854.
War Damage, 721, 855–856.
State Marketing, 443–444.
State Maternity Hospitals, 141, 142, 196.
State Placement Service, 974, 983, 991–993.
Stations—
Air Force, 248.
Fire Brigade, 853.
Hydro-electric, 622–623.
Meteorological, 11, 13, 1028.
Naval, 242.
Radio, 393, 396–399, 1028, 1034, 1038.
Telephone, 390.
Statistical Information, Latest (see Forefront of Book).
Statistical Publications (see Forefront of Book).
Statistical Summary, 1104–1125.
Statutes of 1954, 1077–1087.
Steam, Geo-thermal, 624.
Sterling Exchange—
Holdings of, 779, 790.
Rates, 806.
Sterling Values of Currency, 806.
Sterling Values of Trade, 266.
Stewart Island, 2, 3, 1149.
Oysters, 539.
Population, 48.
Still-births, 56, 60, 61, 67–68, 87–89.
Registration of, 56, 67, 77, 88.
Stock and Station Agents—
Advances to, 784.
Deposits with, 802.
Stock, Live (see Livestock).
Stock, Quotations for, 748.
Stocks, Retail, 647–651, 656, 660.
Stocks, Wholesale, 653–654, 657.
Stone Fruits, 474, 484, 642.
Stone Quarries, 555, 943.
Stones, Building and Ornamental, 543.
Stores, Retail, 647–652.
Stores, Wholesale, 653–654.
Stranding of Vessels, 345.
Streets and Roads, Length of, 360.
Strikes, 949, 959–964, 1003–1011.
Students, 152–155.
Students, University, 152, 155, 169–172, 1106.
Subscribers, Telephone, 390.
Subsidies—
Highways, 363–364.
On Coal Production and Distribution, 460, 672.
On Food and Clothing, 460, 672.
On Rates, 765.
Stabilization, 460, 662, 672, 714, 719.
To Farming Industry, 460–461, 672.
To Gasworks, 461, 633–634.
To Hospital Boards, 136, 137, 139.
To Mining, 556.
To National Provident Fund, 214.
To Superannuation Funds, 211, 394, 717, 719, 720.
To Transport Industry, 460, 672.
Succession Duty, 732–735.
Suffrage, 22, 26, 756–757.
Sugar—
Consumption of, 589, 590, 591, 643, 644.
Duty on, 323, 325, 327.
Exported, 284, 285.
Fixed Price for, 880.
Imports of, 310, 318.
International Agreement, 333.
Used by Factories, 589, 590, 591.
Sugar of Milk Exported, 283, 285, 298, 299.
Suicide, 90, 97–98, 102, 107, 230.
Sulphur, 319, 543, 547, 597.
Summary Convictions, 221–224, 226, 1107.
Summer Time (Daylight Saving), 1076.
Sunshine, 11–13.
Superannuation, 22, 210–215, 354, 714, 1082.
Benefits, Social Security, 179–182, 199.
Private Funds, 212.
Superphosphate and Fertilizer Industry, 597.
Superphosphate, Fixed Prices for, 880.
Supplementary Medical, etc., Benefits, 117, 179, 196–200.
Surtax, 322.
Survey Publications, 427.
Survey System, 423–424.
Surveys, 423–427.
Aerial, 380, 426.
Geodetic, 424–425.
Geological, 547, 553, 556.
National Forest, 511.
Of Coal Resources, 547–549.
Surveys—continued
Of Employment, 984–990.
Of Retail Prices, 884.
Of Retail Trading, 658–660.
Of Ships, 344.
Tidal, 426–427.
Sustenance Allowances, 973, 982.
Suwarrow (Anchorage) Island, 2, 1030, 1031.
Swedes, 474, 475, 481, 488.
Sweepstakes, 1075.
Swordfish, 540.
Syphilis, 86, 90, 101, 103, 107, 111, 114, 118, 144, 145.

T

Takutea Island, 2, 1029.
Tallow Exported, 283, 284, 293–294, 298, 299, 341, 1111.
Tallow Marketing and Prices, 459.
Tallow Produced, 587.
Tanning Industry, 566, 596, 922.
Tariff, Customs, 321–333.
Tariffs and Trade Agreement (Geneva), 279, 331–332.
Tasman Empire Airways, 380–381, 744, 752.
Tax, Land and Income, 671, 713, 717, 723, 726–732, 857–879, 1079, 1080.
Taxation, 326, 662–678, 713, 722–740, 1116.
Amusement, 723, 738, 1060–1063.
Customs, 321–333, 671, 723, 725.
Direct, 667, 668, 671, 672, 675–678, 722.
Employment Promotion, 725, 739, 910.
Film Hire, 713, 738.
Forest, 518.
Highways, 362, 369, 713, 723, 726.
Indirect, 662, 668, 671, 675, 676.
Local Government, 672, 740, 760–762.
Motor Spirits, 325, 327, 362, 369, 726, 765.
Motor Vehicles, 324. 330, 362, 366, 671, 726.
Orchards, 485.
Racing, 723, 736–738.
Sales, 671, 713, 723, 739–740.
Social Security, 178, 671, 720, 723–725, 739, 910.
War, 323–326, 722, 724.
Taxis, 367.
Taxpayers, Incomes of, 857–879.
Tea—
Consumption of, 643.
Duty on, 323.
Imports of, 310, 318.
Teachers' Grading, 148.
Teachers' Superannuation, 210.
Teachers' Training Colleges, 151, 155, 156, 166–167.
Teaching Aids, 168.
Teaching Profession, 166–168.
Technical Correspondence School, 152, 162.
Technical Education, 152, 161–165, 168, 1106.
Telegraph Services, 389–390, 392.
Telephones, 389–392.
Television, 398.
Temperature Records, 11–13.
Tenancy and Rents, 974–980.
Tenure of Crown Lands, 412–418.
Tenure of Occupied Land, 404, 414–416.
Terminating Building Societies, 827–829.
Terms of Trade, 275.
Territorial Air Force, 247–249.
Territorial Forces, 244–246.
Pensions for, 201.
Textiles, Duty on, 324.
Textiles, Production of, 565, 569–586, 592.
Theatres, Cinematograph, 1059–1063.
Theatres, etc., Fire Losses on, 852.
Therapists, Occupational, 129.
Thermal Regions, 1146.
Third-party Risks Insurance, 841–844.
Three Kings Islands, 2, 1028.
Threshing Machines, 469, 470, 472.
Tidal Survey, 426–427.
Timber—
Carried on Railways, 352, 353.
Export Duty on, 324.
Export of, 283, 284, 296, 298, 299, 524–525.
Import Duty on, 324, 329, 330.
Imports of, 302, 315, 320, 524–525.
Output, 440, 520–523, 593.
Plantations, 403, 466, 475, 484, 509–511.
Resources, 509–511.
Royalties, 519.
Sales, 519.
Trees, 13, 526–534.
Timbers, Strengths of, 534.
Time Lost—
Through Industrial Accidents, 1019–1022.
Through Industrial Disputes, 1003–1011.
Time Service, 399, 1076–1077.
Tin, 546.
Tire Tax, 324, 362, 726.
Title, Certificates of, Issued, 406–408.
Titles, Compulsory Registration of, 406.
Tobacco, 474, 475, 487.
Consumption of, 643.
Duty on, 323–324, 325, 327.
Factories, 565, 569–586, 592, 922.
Imports of, 302, 303, 310, 318.
Tokelau (Union) Islands, 1–3, 27, 1046–1048.
Toll Communications, 390, 392.
Ton-miles Flown, 378, 379, 381, 382.
Tons, One-mile, Railway, 352, 353.
Tonnage of Registered Vessels, 343.
Tonnage of Shipping and Cargo, 334–343.
Top-dressing, 380, 482.
Topographical Mapping, 426.
Totalizator, Turnover on, 737.
Totalizator Taxation, 736–738.
Tourist Agents Overseas, 1100–1101.
Tourist Attractions, 1145–1149.
Tourist Industry, 1143–1145.
Tourists, 35.
Tourists' Rail Tickets Issued, 352.
Town and Country Planning, 762.
Town Districts, 753–775.
Area of, 51.
Bridges in, 360.
Town Districts—continued
Capital and Unimproved Values, 433.
Debt, 768, 771.
Mileage of Streets, 360.
Population, 51.
Tractors, Imports of, 314, 319.
Tractors on Farms, 469, 470, 471.
Trade, 265–342, 1110–1114.
Agreements, 279, 327–333.
Balance of, 268–271.
Board of, 277.
Classification of Statistics, 278
Commissioner Service, 280
Cook Islands, 300, 321, 1034–1035.
International Conference on, 279.
Nauru Island, 1050.
Niue Island, 300, 1038.
Of Ports, 297, 320, 334–342.
Representatives, 1100–1103.
Volume of, 274, 640.
Western Samoa, 1044.
Trade Training of Discharged Servicemen, 258–259, 264.
Trade Marks, 1063–1064.
Trade Unions, 959–964, 996–1002.
Trade Certification, 155, 968.
Trading Accounts, State, 718–720.
Trading Banks, 779–788, 800, 801, 1120.
Trading Companies' Deposits, 799, 802.
Trading, Retail, 647–652, 656–660.
Trading, Wholesale, 653–654, 657.
Traffic—
Accidents, 90, 95, 96, 102, 107, 354, 372–375.
Air, 376–386.
Motor, 355–356, 366–375.
Offences, 222, 223–224.
Railway, 349–353, 1123.
Tramway, etc., 355–359.
Training of—
Defence Forces, 240–249.
Dental Nurses, 122.
Discharged Servicemen, 258–260, 264.
Nurses, 126.
Police Recruits, 237.
Teachers, 155, 156, 166–167.
Tramways, etc., 355–359.
Accidents, 96, 374.
Cable, 359.
Transhipments of Cargo, 340–342.
Transport, 334–386.
Districts, Urban, 753–775.
Equipment, Imports of, 303, 304, 305.
Equipment Industry, 567, 569–586, 601–602.
Licensing, 370–372.
Of School Children, 165.
Persons Engaged in, 989.
Transport and Communications Industry Sector Account, 687.
Travel Information, 1151–1152.
Travelling-time, 926.
Trawling, 535, 537.
Treasury Bills, 742, 747.
Treaty of Waitangi, 419.
Tree Planting, 509–533.
Trees, Forest, 13, 526–534.
Triplets Born, 60–61.
Trolley-buses, 355, 356.
Trout, Acclimatization of, 7, 541.
Trust (Liquor) Control, 1074.
Trust Territory, 1–3, 27, 38, 210, 1039–1046, 1050.
Trustee, Maori, 420.
Trustee, Public, 1051–1053.
Trustee Savings Banks, 797–798, 802.
Tuberculin Tests, 112.
Tuberculosis, 86, 87, 90, 91, 92, 101, 103, 107, 109, 110, 112, 114, 116, 117, 118, 120, 132, 140, 145, 191, 1031.
Maori Deaths from, 101.
Register, 112.
Tungsten Ore, 543, 544, 545.
Tunnels, Railway, 346, 347.
Turkeys, 506.
Turnbull, Alexander, Library, 1135.
Turnips, 474, 475, 481, 488.
Tussock, Boards, Nassella, 753–775.
Tussock Land, 404, 482.
Twins, and Triplets Born, 60–61, 66.

U

Undergraduates, 169.
Under-Secretaries, Parliamentary, 22, 1091.
Unemployment, 973–974, 982.
Benefits, 179, 181, 189–190, 199, 973–974, 982.
Taxation, 739, 910.
Unexercised Overdraft Authorities, 788.
Unimproved Occupied Land, 404.
Unimproved Value of Land, 429–434.
Land Tax Assessed on, 729.
Rating on, 761.
Unions, Trade, 959–964, 996–1002.
United Kingdom—
Birth and Natural Increase Rates, 59.
Consumption of Foodstuffs, 641, 644.
Dairy Produce Imported into, 501.
Debt Domiciled in, 744–749, 772, 1117.
Meat Imported into, 505.
New Zealand Representatives in, 1100.
Population, Annual Average Increase, 31.
Prices, 884.
Purchase of Primary Produce, 279, 448, 502.
Representatives in New Zealand, 1102–1103.
Social Security Reciprocity, 177, 179, 193.
United Nations, 3, 59, 69, 79, 83, 1039.
United States of America—
Birth and Natural Increase Rates, 59.
Consumption of Foodstuffs, 641, 644.
Exchange Rate with, 807.
New Zealand Representatives in, 1100–1101.
Population, Annual Average Increase, 31.
Prices, 884.
Representatives in New Zealand, 1103.
University Education, 151, 152, 155, 163, 168–172, 1106.
University Professors, 169, 172.
University Scholarships, 170–171.
Unpaid Fractions, Totalizator, 737.
Upolu Island, 3, 1039.
Uranium, 546.
Urban Drainage Districts, 753–775.
Urban Drift, 43.
Urban Farm Lands, Rating on, 431.
Urban Housing, 613–620.
Urban Mortgages, 812–813, 815, 822.
Urban Population, 43–46.
Urban Transport Districts, 753–775.

V

Vacancies, Employment, 987, 990–991, 993.
Vaccination, 120, 121.
Valuation—
Of Exports, 265, 269, 280.
Of Imports, 265, 301.
Of Land, 428–434.
Of Personal Expenditure, 663.
Roll, 429–430, 760.
Value Added in Manufacturing, 562–568, 579–580, 582, 584, 587–603, 1115.
Value of—
Currency, 805–807.
Factory Production, 439–441, 562–603, 1115.
Farm Production, 435–441.
Goods Available for Use, 638–639.
Materials Used in Factories, 562–603, 1115.
Production, 435–441.
Veal, 587.
Consumption of, 503, 504, 642.
Export of, 298, 299, 503.
Vegetable Gardens, 484.
Vegetables—
Consumption of, 642.
Exported, Canned, 284, 285.
Retail Prices of, 882.
Vegetation, 13.
Vehicles—
Motor (see Motor Vehicles).
Railway, 347.
Tramway, etc., 355, 356, 359.
Veneer and Plywood, 523, 565, 600.
Venereal Diseases, 86, 90, 101, 103, 107, 111, 114, 118, 144, 145, 194.
Vessels—
Crews of, 34, 35.
Entered and Cleared, 334–339.
Fishing, 536.
Nationality of, 336.
Naval, 241, 243, 250, 254–255.
Radio Communication with, 393.
Registered, 343.
Survey of, 344.
Wrecked, 345.
Veterans' Allowances, 199, 201, 205–206, 208.
Veterinary Services, 464, 468.
Vineyards and Grapes, 483, 485.
Visitors to New Zealand, 35.
Visual Aids in Teaching, 168.
Vital Statistics, 56–114, 1105.
Cook Islands, 1031.
Niue Island, 1036.
Western Samoa, 1041.
Vocational Guidance, 164, 983.
Volcanoes, 4, 5.
Volume of—
Exports, 274, 640.
Factory Production, 440–441, 583–584.
Farm Production, 437, 440–441.
Goods Available for Use, 640.
Imports, 274, 640.
Money in Circulation, 800–801.
Production, 437, 440–441, 583–584.
Trade, 274, 640.
Voluntary Contributions to Hospitals, 137.
Voluntary Mental Patients, 146.
Voluntary Welfare Organizations, 131.
Voting—
At General Elections, 1065–1069.
At Licensing Polls, 1069–1071.
Qualifications, 26, 756–757.
Vouchers, Audit of, 710.

W

Wage, Basic, 950.
Wage, Minimum, 938, 940, 947, 950.
Wage Rates, 572–574, 909–924, 938, 940, 941, 944, 947, 949–959.
Wage-earners, 562–572, 775, 1002.
Wages—
And Salary Payments, 117, 138, 358, 394, 562–568, 572–574, 586–603, 625–628, 635–637, 649, 650, 654, 655, 665, 674, 678, 681–689, 864, 879, 1060, 1115.
And Wage Rate Legislation, 949–959.
Increases in, 911–912, 938, 949–959.
Legislative Changes in, 910–911, 949–959.
Lost Through Industrial Disputes, 1003–1011.
Of Cinematograph Theatre Employees, 1060.
Of Electric-supply Employees, 625–628.
Of Factory Employees, 562–568, 572–574, 586–603, 1115.
Protection of, 954–955.
Shearers', 954.
Stabilization of, 955–959.
Tax on, 137, 178, 720, 723, 739, 910.
Waitangi, Treaty of, 419.
Waitomo Caves, 1147.
War, 250–255.
Bursaries for Soldiers' Dependants, 261.
Casualties, 250, 252–255.
Damage Insurance, 721, 855–856.
Deaths Register, 77.
Debt, 743.
Emergency Account, 722.
Expenditure, 743, 744.
Expenses Account, 724.
Loans, 743, 744.
War—continued
Measures Affecting—
Apprentices, 966.
Consumption of Commodities, 644.
Labour Legislation, 932, 955.
Prices, 880–881.
Pensions, 177, 199, 201–209, 1083.
Pensions Appeal Board, 206.
Pensions Emergency Fund, 206.
Publications Pertaining to, 1141–1142.
Purchases of Produce, 279, 448.
Taxation, 323–326, 722, 724.
Veterans' Allowances, 199, 201, 205–206, 208.
Warships, 241, 243, 250, 254–255.
Water Power, 575, 621–632, 744.
Waterfront Control, 935, 949.
Weather, 10–13, 385, 1028, 1036, 1039.
Weights and Measures, 423, 474.
Welfare, Maori, 1075–1076.
Welfare, Maternal, 117, 124.
Welfare of Workers, 938, 940, 941–942, 944, 947.
Welfare Organizations, 131.
Wellington—
Broadcasting Stations, 396–399.
Building Values, 617.
Climate, 11, 13.
Population, 45, 46, 49.
Retail Prices, 882–884, 893, 894.
Sales Tax Receipts, 740.
Shipping, 297, 320, 335, 338–343.
Tramways, etc., 355–359.
Western Samoa, 1–3, 38, 210, 1039–1046.
Bibliography, 1142.
Education, 1042.
Population of, 27, 1041.
Radio Communication, 393, 398.
Trade, 1044.
Whale Oil, 283, 284, 536, 539, 1049.
Whales and Whaling, 539, 1049.
Wheat, 474–478, 1108.
Fixed Prices for, 880.
Imports of, 310, 318.
International Agreement, 332.
Milled, 589.
Subsidy on, 460.
Whey Butter, 500, 588.
Whipping Abolished, 226.
White Island Sulphur, 547.
Whitebait, 536, 540.
Wholesale Licences, 1071–1074.
Wholesale Prices, 884, 896–898, 908.
Wholesale Trading, 653–654, 657.
Whooping-cough, 86, 90, 101, 103, 107, 114, 121.
Widowers, Remarriages of, 70, 72.
Widows—
Benefits, 179, 181, 184–185, 199.
Remarriages of, 70, 72.
War Pensions, 201–209.
Wills Administered by Public Trust Office, 1051–1053.
Wine, Consumption of, 643.
Wine, Duty on, 324.
Wine Licences, 1071.
Wine-making Industry, 564.
Withdrawals from Savings Banks, 794–799, 1121.
Wives, Aggregation of Income, 863.
Wives, Allowances in Respect of, 182–210.
Women—
Air Force, Royal New Zealand, 247, 249.
Army Corps, Royal New Zealand, 244, 246.
Deaths of, in Childbirth, 89, 90, 94–95, 102, 107, 114.
Eligible for Parliament, 22.
Employed in Factories, 570–571, 981, 985–986, 988–989.
Nationality Laws, re, 39.
Naval Service, Royal New Zealand, 242.
Of Child-bearing Ages, 57–58.
Offences by, 226.
Police, 237, 238.
Wage Rates of, 572–574, 915–917, 920–921, 950.
Working Conditions of, 937, 939, 941.
Working Hours of, 925.
Woodpulp, Production of, 521–523.
Wool, 436, 448–450, 493–494, 587, 922.
Capital Account, 460.
Carried on Railways, 352, 353.
Commission Account, 460.
Commissions, 445, 448–450, 1081.
Export Price Index, 901.
Exports of, 281–283, 285, 290, 298, 299, 341, 1111.
Financing Purchase of, 279.
Imports of, 310.
Levy, 326, 494.
Marketing of, 279, 445, 448–449.
Prices for, 449–450.
Retention Moneys, 460, 667.
Used at Local Mills, 493, 592.
Woollen Mills, 565, 592, 784.
Woolscouring Industry, 565.
Workers' Compensation, 968–973, 1012–1016.
Insurance, 841, 854–855.
Workers' Educational Association, 175.
Working Conditions, 935–949.
Working Conditions in the Government Service, 948.
Working Days Lost Through Industrial Disputes, 1003–1011.
Working Hours, 584–585, 924–926, 937–439, 941, 944, 946.
Working Proprietors, 985–986.
Wrecks, 345.

X

X-ray, 125.
Diagnostic Services, 196, 200.
Examinations, 112, 196.

Y

Yields—
Butterfat, 498.
Crops, 476–480, 1108.
On Market Prices of Shares, 907.
Youth Centres, 164, 983.
Youths—
Wage Rates of, 917, 920–921, 926.
Working Conditions of, 937, 939, 941.

Z

Zinc, 558.
Zoology, 13.