THE NEW ZEALAND OFFICIAL YEAR-BOOK, 1958


Table of Contents

PREFACE

THE New Zealand Official Year-Book is the annual compendium of information on the history, geography, legislation, and the economic and social development of the country. In its pages are comprehensive facts and figures on New Zealand's social and economic characteristics and progress.

In this, the sixty-third issue, the customary intensive revision of basic material has been made. Substantial revision has been made to the text in the sections on production and marketing of primary produce, apprenticeship, and the note on liquor licensing in the miscellaneous section.

Some additions have been made, notably the short accounts of marginal lands and soil conservation in Section 18, the introductory note on the history of manufacturing in Section 24, a short explanation of the PAYE system of taxation in Section 30B, and an analysis of public company financial statements in Section 33D.

A special article in this issue covers in broad outline New Zealand's activities in the Antarctic in recent years, including the part played by New Zealanders in the trans-Antarctic crossing and this country's participation in the International Geophysical Year programme in the Antarctic.

Aspects of manufacturing industries are covered in the photographs.

I desire to express my appreciation to officers of this and other Government Departments for their assistance in preparing material and to the Government Printer and his staff for cooperation in the printing of this volume. My special thanks are extended to Mr J. B. McKinney, M.A., Admin. Prof., Editor of Publications, and members of the Editorial Branch and Statistical Draughting Unit of the Department of Statistics.

                                                                                                                        J. V. T. BAKER,
                                                                                                                 Government Statistician.

Department of Statistics,
               Wellington,
            1 July 1958.

PUBLICATIONS OF THE NEW ZEALAND DEPARTMENT OF STATISTICS

(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.

 s. d.
Annual Report of the Department of Statistics (H. 39)1958July 19581 0
New Zealand Official Year-Book1958September 195815 0
Pocket Digest of New Zealand Statistics1957-58May 19583 6
Annual Statistical Reports:
     Balance of Payments1956-57December 19575 6
     External Trade Statistics, Report on and Analysis of1955 and 1956July 195814 6
     Farm Production Statistics1955-56 and 1956-57October 195811 6
     Income and Income Tax Statistics for the Income Year1954-55March 19588 6
     Industrial Accidents Statistics1956June 19586 6
     Industrial Production Statistics1956-57October 195830 0
     Insurance Statistics1956May 19585 6
     Justice Statistics1956May 19589 6
     National Income and Sector Accounts1956-57December 19579 6
     Population, Migration, and Building Statistics1956-57February 19588 6
     Prices, Wages, and Labour Statistics1956January 195810 6
     Shipping and Other Transport Statistics1957August 19587 6
     Vital Statistics1957September 19587 6
Local Authorities Handbook of New Zealand1955-56February 195815 0
Monthly Abstract of Statistics*....5 0
     Supplements:
       Factory Production Statistics (March Abstract)1956-57April 1958     
       National Income and Expenditure (July Abstract)1957-58August 1958     
       New Zealand Prices and Wages Index Numbers 1913-1957 (April Abstract)     May 1958     
       New Zealand's Trade with European Economic Community Countries (Oct. Abstract)     November 1957     
       Population Projections 1955-1980 (June Abstract)     July 1958     
       Retail Trading Statistics (Quarterly Issue)June QuarterSeptember 1958     
     Special Supplements:
       Consumers' Price Index, 1955 Revision (November Abstract)     December 19563 0
       New Zealand Tables of Working Life, 1951 (February Abstract)     March 19572 0
       Report on the Inter-Industry Study of the New Zealand Economy in 1952-53 (February Abstract)     March 19571 6
Agricultural and Pastoral Statistics of New Zealand, 1861-1954     July 19562 0
Final Report on the Census of Farm Production1949-50May 195611 6
Volumes of 1956 Census Results:
     Vol. I. Increase and Location of Population1956March 195816 6
     Appendix A. Census of Poultry1956February 19584 6
     Interim Returns of Population and Dwellings1956November 19564 6
Volumes of 1951 Census Results:
     Vol. I. Increase and Location of Population1951April 19537 6
     Vol. II. Ages and Marital Status1951January 195410 6
     Vol. III. Religious Professions (Including Summaries for Dependent Children, Race, and War Service)1951November 19535 0
     Vol. IV. Industries, Occupations, and Incomes1951September 195412 6
     Vol. V. Birthplaces and Duration of Residence of Overseas-Born1951December 19545 0
     Vol. VI. Maori Census1951January 19556 6
     Vol VII. Dwellings and Households1951August 19546 0
     Vol. VIII. General Report1951August 195625 6
     Appendix A. Census of Poultry1951February 19532 6
     Appendix B. Life Tables 1950-52 and Values of Annuities1951December 19565 6
     War Service1951November 1953     
Census of Distribution, 19531953April 19546 0
Census of Public Libraries, 19541954June 19554 6

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. 35).—Recent population changes are given in the following table.

POPULATION AT ENDOF YEAR
Year EndedMalesFemalesTotalMean Population for Year
Total Population (Including Maoris)
30 June 19571,120,6961,108,7112,229,4072,206,222
30 September 19571,128,5951,115,2182,243,8132,219,246
31 December 19571,137,7991,125,0152,262,8142,232,591
31 March 19581,144,6701,130,8452,275,5152,246,093
Maori Population
30 June 195773,15970,181143,340140,737
30 September 195773,79570,819144,614142,012
31 December 195774,27471,397145,671143,284
31 March 195875,00472,114147,118144,550

The above figures are exclusive of the population of the Cook Islands, 16,810 (at 31 March 1957); Niue Island, 4,734 (at 31 December 1957); Tokelau Islands, 1,690 (at 31 March 1958); and Western Samoa, 101,042 (at 31 March 1958).

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 1957 at 37,662 constituting a record.

Migration (pp. 36-39).—The total number of arrivals in New Zealand during the year ended 31 March 1958 was 198,458, while the total number of departures in the same year was 181,873. Excluding crews, through passengers and tourists on cruising liners, arrivals totalled 79,666 and departures 64,258, making the net excess of arrivals 15,408, as compared with 11,492 in 1956-57. A classification of total arrivals and departures gives the following results.

Year Ended 31 March
19571958
               Migration: Arrivals 
Immigrants intending permanent residence23,03026,254
New Zealand residents returning25,04623,640
Visitors—
     Tourists19,36820,723
     Others8,6119,049
Through passengers and tourists on cruising liners20,71831,468
Crews73,73887,324
          Total arrivals170,511198,458
               Migration: Departures 
New Zealand residents departing—
     Permanently9,2208,108
     Temporarily26,16224,510
Temporary residents departing29,18131,640
Through passengers and tourists on cruising liners20,71831,468
Crews74,37586,147
          Total departures159,656181,873

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. However, this upward trend was halted in 1953-54, when a substantial decrease of 4,109 on the previous year was shown, the total being 24,896. This downward trend continued in 1954-55, when the figure was 19,453, another drop of 5,443 on the previous year. However, 1955-56 showed an increase once again, total immigrant arrivals being 20,878, an increase of 1,425, over the previous year. This upward move has continued with the immigrant arrivals in 1956-57 showing an increase of 2,152 over 1955-56, and 1957-58 showing an increase of 3,224 over 1956-57.

The continuation 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: 1953-54, 6,299; 1954-55, 4,332; 1955-56, 5,123; 1956-57, 4,593; 1957-58, 4,579.

In response to an international appeal, New Zealand agreed during 1956-57 to accept a number of Hungarian refugees. The first of these arrived in December 1956, 617 arriving during 1956-57, and a further 451 during 1957-58. They are not included in the assisted immigrant figures covered in the previous paragraph.

In 1957-58 while assisted immigrants just failed to reach the previous year's level, unassisted immigrants (including the Hungarian refugees mentioned above) rose by 17.6 per cent compared with the previous year.

PRODUCTION

Timber Production

Timber: Production (pp. 563-565).—Provisional figures issued by the New Zealand Forest Service indicate a continued high level of timber production for the year ended 31 March 1958, the output of rough-sawn timber being given as 596,800,000 board feet, substantially the same output as the previous year. The output of the principal species was as follows: rimu and miro, 218,900,000 board feet; matai, 33,100,000 board feet; kahikatea, 18,100,000 board feet; beech, 14,700,000 board feet; totara, 10,900,000 board feet; tawa, 13,300,000 board feet; and exotic pines, 268,000,000 board feet. Indigenous species totalled 314,400,000 board feet, and exotics, 282,400,000 board feet.

Factory Production Statistics, 1956-57

Despite a fairly substantial increase in output by the paper and paper products group in 1956-57 (amounting to 17.5 per cent) and also, though to a lesser extent, by beverages (5.1 per cent) and printing and publishing (4.4 per cent), the overall totals for New Zealand's factory production in the 1956-57 year recorded an increase of only 0.6 per cent in volume over the previous year. The annual increases in volume of output in the two previous years were 5.7 per cent for 1955-56 and 10.2 per cent in 1954-55. Nine industrial groups showed declines in volume of output in the latest year, the more significant being: Tobacco, 1.9 per cent; footwear and clothing, 3.1 per cent; leather and leather products, 9.2 per cent; rubber products, 1.4 per cent; non-metallic mineral products, 3.0 per cent; and electrical machinery and appliances, 3.1 per cent. The miscellaneous group, heavily weighted by metal products, machinery, and transport equipment, recorded a decrease of 0.6 per cent.

The number of factories surveyed declined from 8,515 in 1955-56 to 8,488 in 1956-57. The average number of persons engaged in factories also declined since the previous year—from 158,148 to 156,651, a decrease of 1.0 per cent, while overtime worked by all wage-earners in 1956-57 at 19,243,074 hours represented a decline since 1955-56 of 8.5 per cent. Average overtime hours worked by all wage-earners in 1956-57 were 180 hours for males and 38 hours for females, as against 195 and 41 respectively in the previous year. Fourteen of the twenty groups shown recorded declines in total overtime hours worked, particularly severe decreases being reported in the following three groups—metal products, 20.3 per cent; machinery (except electrical), 26.5 per cent; and electrical machinery and appliances, 16.1 per cent.

The total number of persons engaged decreased by 1,497 from 1955-56 (358 males and 1,139 females). The following groups of industries recorded significant changes from the previous year: footwear and clothing (—1,371), wood and cork (—465), machinery except electrical (—414), and electrical machinery and appliances (—434); while 1956-57 figures for the following three groups were all well above those for the previous year: paper and paper products (+ 261), printing and publishing (+ 227), and transport equipment (+ 745).

Total salaries and wages paid during the year, at £110,868,088, were nearly £3 million higher than in 1955-56, an increase of 2.8 per cent. Wages paid in industry during 1956-57 averaged £764 for males and £404 for females as against £741 and £390 during the previous year, increases of 3.1 and 3.6 per cent respectively. These averages include overtime payments and bonuses, etc.

Added value, at £207,005,939, represents the total contribution to New Zealand's production in 1956-57 by manufacturers covered in this series and shows a rise of 2.9 per cent over 1955-56. Whereas only one industrial group in 1955-56 recorded a decline in added value over the previous year, six groups of industries did so in 1956-57, viz.—tobacco, textiles, footwear and clothing, leather and leather products, machinery (except electrical), and electrical machinery and appliances. Of the £5.8 million increase in added value in 1956-57 the following three groups accounted for over £5 million—food, £1.9 million; paper and paper products, £2.3 million; and transport equipment, £1.1 million.

Capital expenditure during 1956-57 amounted to £24.3 million compared with £25.5 million and £20.6 million in 1955-56 and 1954-55 respectively. These amounts cannot however be treated as the total capital expended by New Zealand manufacturers, as they do not take into account capital expenditure on units not yet in production.

A point of interest is the relative share of net production (added value) taken by the salary and wage earner as opposed to the manufacturer. In 1956-57 salaries and wages represented 53.6 per cent of added value, the same percentage as in the previous year, while the manufacturers' surplus was 17.5 per cent of added value in 1956-57 as against 18.3 per cent in the previous year.

This series of industrial production statistics compiled by the Department of Statistics covers 80 per cent of the labour force engaged in manufacturing activity. Actually the proportion of industrial production covered by the survey would be greater than 80 per cent, in that all establishments of any considerable size are included.

The year covered by these statistics is in general that ended 31 March 1957, although concerns are permitted to furnish returns covering 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 ended June and September 1957.

Summary (p. 604).—Following are the principal statistics of factory production for 1956-57, with comparable figures for the two previous years.

General Summary1954-551955-561956-57
* Revised.
Number of establishments8,3668,5158,488
Persons engagedNo.153,558158,148156,651
Production costs—
     Salaries, wages£98,362,829107,870,738110,868,088
     Materials£365,373,468384,878,179*394,894,095
     Other expenses£47,943,23056,540,80359,890,151
          Totals£511,679,527549,289,720*565,652,334
Value of output£550,790,555586,047,289*601,900,034
Manufacturers' surplus£39,111,02836,757,56936,247,700
Value added in manufacture£185,417,087201,169,110207,005,939
Overtime worked by wage-earnersHrs.19,629,27521,037,04919,243,074
Volume index for industry: Base 1949-50 (= 1000) 130513791387
Premises and plant—
     Value at end of year—
       Land and buildings£80,687,46197,014,215*105,237,510
       Plant and machinery£57,886,92072,859,189*76,185,934
     Capital expenditure during year—
       Land and buildings£8,530,21110,400,461*9,573,848
       Plant and machinery£12,061,18215,113,20514,769,535
Coal consumption as fuelTons898,571955,171994,666

Principal Statistics 1956-57 (p. 628).—The following table gives the number of persons engaged, production costs, value of output, and added value for the year 1956-57, classified according to industry groups.

Industry GroupNumber of Persons EngagedProduction CostsValue of OutputAdded Value
Salaries and WagesMaterialsOther ExpensesTotal
 £(000)£(000)£(000)£(000)£(000)£(000)
Food28,64422,908192,83313,897229,638235,98243,150
Beverages2,2391,8145,4031,7388,95510,3664,963
Tobacco manufactures1,1096434,3994585,5016,0731,673
Textiles8,2734,97821,6522,58229,21330,2398,586
Footwear, other wearing apparel, and made-up textile goods24,27912,16422,3032,93637,40339,47317,170
Wood and cork products (except furniture)12,4519,29719,0615,43733,79536,49817,437
Furniture and fittings4,9443,3305,3968189,54410,3714,975
Paper and paper products4,6153,52410,3777,32121,22222,32311,946
Printing, publishing, etc,9,6847,1937,5643,19817,95520,87313,309
Leather and leather products (except footwear and apparel)1,4949762,5823283,8864,0901,508
Rubber products2,8332,4215,5351,4799,43510,5655,029
Chemicals and chemical products4,9713,72417,5442,93024,19827,0269,482
Petroleum and coal products3202711,6622552,1882,413751
Non-metallic mineral products n.e.i.6,1864,7686,5274,85216,14818,52812,001
Basic metal manufactures8417002,0533383,0913,3801,327
Metal products (except machinery and transport equipment)7,4535,79710,7292,21618,74220,88810,159
Machinery (except electrical)8,7336,76014,9682,38024,10826,10211,134
Electrical machinery and appliances3,8512,6146,1621,1089,88410,6934,531
Transport equipment20,96415,24935,2244,85455,32760,09224,869
Miscellaneous products2,7671,7332,9217655,4205,9263,004
          Totals, all groups156,651110,868394,89459,890565,652601,900207,006

Volume of Industrial Production (p. 626).—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 Group1954-55 Index1955-56 Index1956-57
Index(+) or (−) Over 1955-56
 Per Cent
Food109611341142+0.72
Beverages130613741444+5.06
Tobacco manufactures114811221101-1.87
Textiles122311631160-0.24
Footwear, other wearing apparel, and made-up textile goods116111701134-3.13
Wood and cork products (except furniture)125212751272-0.20
Paper and paper products19992,8683,368+17.46
Printing, publishing, etc.136314801545+4.37
Leather and leather products (except footwear and apparel)946883802-9.17
Rubber products2,1882,4072,373-1.39
Chemicals and chemical products141114881490+0.12
Non-metallic mineral products n.e.i.131413971355-3.01
Electrical machinery and appliances139614961450-3.05
Furniture and fittings144415331524−0.58
Petroleum and coal products
Basic metal manufactures
Metal products (except machinery and transport equipment)
Machinery (except electrical)
Transport equipment
Miscellaneous products
          Totals, all groups130513791387+0.57

Regional Distribution of Factory Production, 1956-57.—The table following gives a general summary by employment districts and shows a comparison of the manufacturing strengths of each district. The fairest guide to actual volume of production is the column in the subsequent part of this table on Added Value. This shows Auckland district's dominance in the manufacturing world; its production all but equalling the total for the South Island.

FACTORIES: SUMMARY OF OPERATIONS BY EMPLOYMENT DISTRICTS, 1956-57
Employment DistrictNumber of FactoriesPersons EngagedSalaries and Wages Paid
MalesFemalesMalesFemales
* Bracketed figures are percentages in previous year (1955.56).
 No.No.££
Whangarei2352,4041861,827,78974,942
Auckland2,02931,57914,61225,971,0416,108,662
Hamilton5245,9047354,519,552304,620
Paeroa1261,401196987,81178,634
Tauranga108883163628,00276,408
Rotorua2124,9343534,179,860155,660
Gisborne1161,305342970,203131,119
Napier1421,4823691,184,144139,005
Hastings1642,8315002,294,296208,709
New Plymouth3543,8566913,064,479254,409
Wanganui2352,6468172,156,674319,978
Palmerston North4234,4051,3543,441,026537,329
Masterton1541,5592641,245,00893,377
Lower Hutt3097,5412,4366,674,8061,130,443
Wellington7508,7634,7157,351,3252,116,987
        Totals, North Island5,88181,49327,73366,496,01611,730,282
Blenheim99791164599,67567,525
Nelson1761,7623311,319,026128,970
Westport4126330187,58611,043
Greymouth1261,020152780,89663,037
Christchurch1,00816,2376,34812,770,2352,589,409
Ashburton70811174641,90163,389
Timaru1672,1243361,622,302127,227
Oamaru58861161647,89255,207
Dunedin5148,1052,9946,141,8981,152,393
Invercargill3484,2974643,493,025179,154
        Totals, South Island2,60736,27111,15428,204,4364,437,354
        Totals, New Zealand8,488117,76438,88794,700,45216,167,636
FACTORIES: SUMMARY OF OPERATIONS BY EMPLOYMENT DISTRICTS, 1956-57
Employment DistrictCost of MaterialsValue of OutputAdded Value
TotalPercentage of Total*
Whangarei11,956,69616,504,5084,547,8122.2 (2.2)
Auckland98,883,243155,589,20956,705,96627.4 (27.7)
Hamilton27,155,71236,387,6199,231,9074.5 (4.3)
Paeroa10,996,28813,346,9222,350,6341.1 (1.1)
Tauranga3,884,5245,136,8611,252,3370.6 (0.6)
Rotorua12,084,83425,106,17013,021,3366.3 (5.4)
Gisborne3,667,4565,724,1112,056,6551.0 (1.0)
Napier4,698,8837,246,8452,547,9621.2 (1.2)
Hastings12,073,08616,327,5594,254,4732.1 (2.0)
New Plymouth20,734,31426,558,3355,824,0212.8 (2.8)
Wanganui10,438,78814,776,3274,337,5392.1 (2.1)
Palmerston North19,555,64327,234,4707,678,8273.7 (3.5)
Masterton6,654,6699,030,4392,375,7701.1 (1.1)
Lower Hutt32,754,00648,629,82315,875,8177.7 (7.8)
Wellington18,962,47735,275,43816,312,9617.9 (8.3)
        Totals, North Island294,500,619442,874,636148,374,01771.7 (71.1)
Blenheim2,065,6563,076,3461,010,6900.5 (0.4)
Nelson3,996,3407,112,3633,116,0231.5 (1.4)
Westport433,095753,635320,5400.2 (0.2)
Greymouth2,003,3433,576,0831,572,7400.8 (0.8)
Christchurch39,920,20666,564,10826,643,90212.9 (13.1)
Ashburton2,788,8814,116,9481,328,0670.6 (0.6)
Timaru8,453,00311,278,9102,825,9071.4 (1.4)
Oamaru2,928,6404,483,3191,554,6790.7 (0.8)
Dunedin19,926,93733,076,10213,149,1656.3 (6.6)
Invercargill17,877,37524,987,5847,110,2093.4 (3.6)
        Totals, South Island100,393,476159,025,39858,631,92228.3 (28.9)
        Totals, New Zealand394,894,095601,900,034207,005,939100.0 (100.0)

BUILDING ACTIVITY (pp. 659-666)

The following table gives a summary for New Zealand, of building permits issued, (including State building operations) for the past three years.

Building Permits Issued: New Zealand Totals
Year Ended 31 MarchNew Houses and FlatsValue of Other Buildings and Alterations and AdditionsTotal Value of All Buildings
NumberValue
  £££
195619,50451,485,78238,687,46290,173,244
195718,35449,213,78640,174,45589,388,241
195818,95552,503,83649,262,796101,766,632

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

Year Ended 31 MarchNew Houses and FlatsValue of Other Buildings and Alterations and AdditionsTotal Value of All Buildings
NumberValue
 £££
195614,16238,511,68731,645,29170,156,978
195713,44537,171,05431,838,37069,009,424
195813,77239,254,48540,183,11479,437,599

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

Year Ended 31 MarchNew Houses and FlatsValue of Other Buildings and Alterations and AdditionsTotal Value of All Buildings
NumberValue
 £££
19565,34212,974,0957,042,17120,016,266
19574,90912,042,7328,336,08520,378,817
19585,18313,249,3519,079,68222,329,033

Houses and Flats Completed.—Local authorities supplying building permit figures were also requested to supply the number of houses and flats which were completed during the year. In those cases where local authorities could not supply actual figures for completions, they were asked to make an estimate of the number.

The total figures on this basis for new houses and flats completed during the past three years were as follows.

Year Ended 31 March
195619571958
Urban districts14,20014,30013,600
Rural districts5,0004,9005,000
        Totals, New Zealand19,20019,20018,600

LOCAL GOVERNMENT (pp. 822-844)

Statistics of local government in the financial year ended 31 March 1957, in continuation of the statistics included in pages 831-844 of this Year-Book, now follow.

Receipts£
Year Ended 31 MarchRevenue FromTotal RevenueReceipts Not RevenueTotal Receipts
RatesPublic Utilities, Licences, Rents, Etc.Government
195618,883,18338,395,8213,998,83261,277,83621,424,12282,701,958
195720,658,79939,592,5164,282,50664,533,82126,058,29290,592,113
Expenditure£
Year Ended 31 MarchWorks and Utilities (Construction and Maintenance)Hospital Board LeviesAdministrationInterest on Loans and OverdraftOtherTotal Expenditure
195666,418,0111,080,4204,856,9463,156,9588,046,70183,559,036
195772,751,427659,9515,428,4543,658,9038,240,89990,739,634

The total of other payments for 1956-57 includes an amount of £5,187,496 in respect of amortization of debt.

Expenditure on New Works out of Loan Money (Boroughs Only)£
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 WorksTotal
19561,319,290852,4091,802,337299,387686,591365,893546,1655,872,072
19571,702,522813,0472,009,212437,832726,817341,345822,2386,853,013
Assets and Liabilities£
As at 31 MarchAssetsLiabilities
Cash AssetsOther Assets (Estimated)Total DebtOther LiabilitiesTotal Net Liabilities
Gross DebtNet Debt
195629,925,233172,769,63787,983,74780,524,88810,580,15491,105,042
195732,073,358189,543,25899,087,67091,669,5149,965,726101,635,240
Gross Debt of Local Authorities per Head of Population and Annual Charge
At 31 MarchPopulationGross DebtAnnual Loan Charge
AmountRate Per HeadAmountRate Per Head
 ££ s. d.££ s. d.
19562,175,37387,983,74740 8 118,977,5464 2 6
19572,221,16999,087,67044 12 39,723,5574 7 7
Gross Loan Indebtedness
At 31 MarchCounties and Road DistrictsBoroughs and Town DistrictsUrban Drainage DistrictsUrban Drainage DistrictsElectric Power DistrictsHarbour BoardsOther DistrictsTotal
19565,135,96740,250,6554,933,1043,375,91018,827,03311,619,3973,841,68187,983,747
19575,949,82944,833,4326,725,3103,746,97519,789,47613,059,6684,982,98099,087,670
Domicile of Debt
At 31 MarchAmountPercentage of Total
New ZealandUnited KingdomAustraliaNew ZealandUnited KingdomAustralia
 £££Per CentPer CentPer Cent
195684,069,8983,612,000301,84995.554.110.34
195795,740,1443,070,000277,52696.623.070.28
Debt charges and Loans Sanctioned£
At 31 MarchDebt ChargesLoans Sanctioned
On Debentures and Other SecuritiesOn Inscribed DebtTotalYearTotal ApplicationsSanctioned
New WorksRedemption Loans
19568,977,5468,977,5461956-5720,951,32617,232,79030,000 
19579,723,5579,723,5571957-5831,933,90625,799,656850,000 
Employment by Local Authorities
NUMBER OF WAGE EARNERS
(Average of Twelve Months Ended March)
Class of Local District19561957
Counties3,7813,979
Boroughs9,4779,713
Town districts6160
Road districts1315
River districts4946
Catchment districts330351
Land-drainage districts3738
Water-supply district44
Urban drainage districts267314
Urban transport districts1,6591,552
Local railway district1414
Gas district3542
Milk districts23
Nassella tussock districts2121
Joint Transit Housing Committee2..
Plantation board1312
Rabbit districts884850
Fire districts450491
Harbour boards3,0723,225
Harbour Bridge Authority..1
        All districts20,17120,731

EXTERNAL TRADE

Statistics of external trade in the calendar year 1957, in continuation of the statistics included in pages 295-358 of this Year-Book, are given below.

Total Commodity Trade.—Following are statistics of exports and imports in 1955, 1956, and 1957.

£(000)
Calendar YearExportsImports (c.d.v.)Excess of Exports Over Imports
New Zealand ProduceTotal Exports
* The corresponding c.i.f. values were £287,134,000 in 1955, £268,415,000 in 1956, and £296,570,000 in 1957.
1955257,150259,289250,661*8,628
1956275,429277,813234,779*43,034
1957273,647276,070262,599*13,471
INDEX NUMBERS OF VALUE AND VOLUME OF TRADE
BASE 1952 (=100)
Calendar YearExportsImports
Value IndexVolume IndexValue IndexVolume Index
1954102909399
195510894109118
1956115100103105
195711599114114

The total trade per head of mean population in 1957 was £242 (exports £124 and imports £118).

Exports.—New Zealand's export commodity trade in 1957 was valued at £276.1 million, a decrease of £1.7 million from 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£(000)
Calendar YearButterCheeseFrozen MeatWoolHides, Pelts, and Skins
195444,80716,38051,90688,43710,449
195551,02113,68260,74093,8879,223
195653,46822,24463,87591,52810,605
195738,45317,84263,908105,65010,068

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 1947 are shown.

Tons (000)
Calendar YearButterCheeseFrozen MeatWool
1947127.787.0347.8167.5
1948135.675.6343.5188.0
1949147.693.9344.1191.8
1950138.399.9338.1175.9
1951147.5106.6274.8141.5
1952184.091.3385.5195.6
1953159.1101.4326.7174.8
1954132.592.4370.3175.4
1955151.085.0378.2186.3
1956167.488.9414.2189.7
1957145.087.4387.8192.1

Direction of Export Trade.—The table below shows the main destinations of New Zealand exports in 1957.

£(000)
CountryTotal Exports*
* Provisional figures.
United Kingdom161,728
India1,613
Ceylon74
Malaya and Singapore683
Hong Kong164
Rhodesia-Nyasaland Federation68
Union of South Africa283
Trinidad and Tobago775
Barbados236
British Guiana78
Jamaica1,102
Canada4,434
Australia10,110
Fiji1,053
Gilbert and Ellice Islands53
Tonga297
Nauru63
Western Samoa461
Other Commonwealth countries479
        Totals, Commonwealth countries183,754
Belgium and Luxemburg6,257
Czechoslovakia973
Denmark526
France21,746
German Federal Republic12,139
Greece215
Republic of Ireland120
Italy6,212
Netherlands4,077
Poland2,989
Russia2,681
Sweden520
Switzerland77
Burma123
China595
Philippines484
Japan7,802
Belgian Congo84
Egypt72
Mexico178
Netherlands Antilles235
Panama Republic262
United States of America21,699
Hawaii360
Society Islands113
American Samoa126
Other countries776
        Totals, all other countries91,441
Ships' stores875
        Totals, all countries276,070

Exports to Commonwealth countries in 1957 accounted for 67 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
£(000)
Calendar YearFood, Beverages, and TobaccoMineral FuelsChemicals (Including Manufactured Fertilizers)Base Metals and Manufactures of MetalMachinery and Transport EquipmentTextiles, Clothing, and FootwearTotal*
* Including classes not listed.
195526,22616,55115,80135,16575,45637,229250,661
195625,23718,96915,51632,58367,27533,518234,779
195727,66121,95017,56238,34275,24637,694262,599

Direction of Import Trade.—The next table shows the main sources (origin) of New Zealand's imports in 1957.

£(000)
CountryTotal Imports*
* Provisional figures.
United Kingdom135,062
Aden721
Bahrain Island1,452
Ceylon2,577
Hong Kong962
India4,665
Malaya and Singapore3,514
Ghana351
Kenya and Uganda181
Tanganyika254
Union of South Africa1,207
Jamaica266
Trinidad and Tobago343
Canada6,612
Australia44,421
Fiji1,437
Gilbert and Ellice Islands174
Nauru Island624
Western Samoa333
Other Commonwealth countries358
        Totals, Commonwealth countries205,514
Austria439
Belgium and Luxemburg2,012
Czechoslovakia436
Denmark485
France1,769
German Federal Republic7,771
Italy1,600
Netherlands2,470
Norway722
Portugal222
Spain173
Sweden2,616
Switzerland1,839
China345
Indonesia5,711
Iran1,347
Iraq118
Japan2,241
Saudi Arabia643
Chile56
Netherlands Antilles2,253
Peru545
United States of America20,445
Other countries826
        Totals, all other countries57,084
        Totals, all countries262,599

Imports from Commonwealth countries in 1957 comprised 78 per cent of the total.

DISTRIBUTION STATISTICS: QUARTERLY SURVEY OF RETAIL TRADING (pp. 695-698)

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 latest periods. Value of turnover increased in all store-types in the year ended 31 March 1958 as compared with the year ended 31 March 1957, the largest relative increases occurring in the butcher, etc., footwear, furniture, and household appliance groups.

TOTAL SALES OR TURNOVER
£(000)
Store-typeNorth IslandSouth IslandTotals, North Island
Auckland Urban AreaWellington and Hutt Urban AreasRemainder of North IslandChrist-church Urban AreaDunedin Urban AreaRemainder of South IslandTotals, South IslandTotals, New Zealand
Year Ended 31 March 1957
Butcher, etc.4.1902,9738,93616,0992,3311,4194,1967,94624,045
Grocer8,4557,13918,67834,2725,4042,7668,79216,96251,234
Other food and drink10,4405,08114,13229,6533,9812,4725,55212,00541,658
Footwear1,6511,2462,9365,8338345161,3232,6738,506
Other apparel10,1316,74818,79235,6714,3742,7757,75414,90350,574
Furniture and soft furnishings4,7932,4385,41412,6451,7271,0292,2384,99417,639
Household appliances, radios, etc.1,5191,5143,4886,5219977181,5123,2279,748
Hardware2,8283,6286,34712,8031,0496241,9153,58816,391
Chemist2,1881,3483,7247,2609465881,5603,09410,354
General, department, and variety12,9175,40935,07253,3988,7003,36914,59126,66080,058
Other12,8859,36425,38947,63812,1432,9789,72924,85072,488
        Totals71,99746,888142,908261,79342,48619,25459,162120,902382,695
Year Ended 31 March 1958
Butcher, etc.4,5043,3329,12216,9582,4681,5754,6358,67825,636
Grocer8,8497,77519,38536,0095,5662,7999,32817,69353,702
Other food and drink10,2245,11014,25729,5914,2592,5555,91312,72742,318
Footwear1,8021,4273,1966,4258935591,4172,8699,294
Other apparel10,6707,11320,34938,1324,5692,8898,21315,67153,803
Furniture and soft furnishings5,3722,5825,95413,9081,7901,1212,5505,46119,369
Household appliances, radios, etc.1,6811,6813,5136,8751,0198451,7223,58610,461
Hardware2,9813,6986,73313,4121,2366382,0113,88517,297
Chemist2,1881,4053,9387,5319945901,6843,26810,799
General, department, and variety14,0276,07936,49456,6009,0753,56315,39128,02984,629
Other12,6429,78527,26649,69312,6933,08510,45326,23175,924
        Totals74,94049,987150,207275,13444,56220,21963,317128,098403,232
Quarter Ended 31 December 1956
        Totals19,86012,88539,93872,68312,0645,44316,75134,258106,941
Quarter Ended 31 March 1957
Butcher, etc.1,0137152,1633,8915643421,0611,9675,858
Grocer2,0271,6624,6948,3831,2776492,1874,11312,496
Other food and drink2,5891,2403,5267,3559666111,3862,96310,318
Footwear3532836701,3061971223276461,952
Other apparel2,2071,4164,1897,8129246451,6893,25811,070
Furniture and soft furnishings9735161,1862,6753622165101,0883,763
Household appliances, radios, etc.3644108811,6552351593637572,412
Hardware7048491,5083,0612901444478813,942
Chemist5033439571,8032321403867582,561
General, department, and variety2,7611,1928,42312,3761,9837553,6746,41218,788
Other3,2902,1606,27511,7253,0187052,2175,94017,665
        Totals16,78410,78634,47262,04210,0484,48814,24728,78390,825
Quarter Ended 31 December 1957
        Totals20,96113,80341,58876,35212,7025,60117,84036,143112,495
Quarter Ended 31 March 1958
Butcher, etc.1,0557872,1553,9975723761,1502,0986,095
Grocer2,1821,8834,8628,9271,3686672,4474,48213,409
Other food and drink2,4821,2773,6277,3861,0516521,5093,21210,598
Footwear4203657571,5422201353497042,246
Other apparel2,3111,6264,5618,4981,0196921,9383,64912,147
Furniture and soft furnishings1,1616081,3553,1244362415611,2384,362
Household appliances, radios, etc.4104268351,6712262104679032,574
Hardware7609461,6463,3523171544809514,303
Chemist5173309891,8362511284057842,620
General, department, and variety3,0501,4768,85313,3792,2048273,8646,89520,274
Other3,0492,3456,69712,0913,0187622,4426,22218,313
        Totals17,39712,06936,33765,80310,6824,84415,61231,13896,941

The following table covering retail trading throughout the whole of New Zealand presents turnover figures classified according to the main commodity groups for both yearly periods and for recent quarterly periods.

COMMODITY SALES OR TURNOVER OF RETAIL STORES
£(000)
Commodity GroupYear EndedQuarter Ended
31 March 195631 March 195731 March 195831 Dec. 195631 March 195731 Dec. 195731 March 1958
* 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 1958: Men's and boys' wear, 31 per cent; women's, girls', and infants' wear, 57 per cent; household drapery, 12 per cent.
Groceries and small goods (including butter, bacon, etc.)67,28270,45973,59819,01317,03719,74718,071
Butchers' meat, fish, fruit, and vegetables35,20336,25438,2079,5288,83510,2249,206
Other foods (bread, cakes, pastry, etc.)13,80213,98514,4453,6993,3313,8233,444
Milk, ice-cream, confectionery, soft drinks, etc.11,62011,92012,1313,2053,2333,1373,331
Tobacco, cigarettes, and tobacconists' sundries8,9728,9059,0212,4472,0902,4802,181
Chemists' goods, toiletries, cosmetics (including dispensing)11,65412,18512,6903,3263,0093,5463,067
Clothing, drapery, dress piece-goods*65,42163,77268,00918,17713,99019,10415,489
Footwear10,50010,79511,7993,1472,4793,3522,861
Furniture, bedding, floor coverings, soft furnishings, and household textiles22,20522,63824,9766,2844,8836,9035,704
Musical instruments, including radios5,2525,7666,4581,6421,3141,8691,453
Household appliances and electrical goods12,72412,43912,6453,9692,9263,9513,107
Hardware—       
Domestic hardware, china, and glassware12,42012,33913,4683,5962,8763,8503,456
Builders' hardware and materials (excluding timber, bricks, and roofing tiles)15,70614,72715,9773,8533,6284,0413,930
Books, stationery, etc.9,63410,14910,6262,9942,6473,0652,788

Stocks.—The following table shows details of stock figures as at 31 March of the last six years; also as at 31 December 1957.

The figures for March 1958 show a slight increase as compared with stocks at both 31 December 1957, and 31 March 1957.

VALUE OF STOCKS HELD BY RETAIL Stores
£(000)
Store-typeStocks at
31 March, 195331 March 195431 March 195531 March 195631 March 195731 Dec. 195731 March 1958
Butcher, etc.441363408338310342388
Grocer4,5854,7124,7584,8174,8185,1485,169
Other food and drink1,8811,8301,8621,8851,8241,8562,033
Footwear2,4682,6253,0313,0883,1273,4283,258
Other apparel15,11915,04217,62617,80618,23418,49418,379
Furniture and soft furnishings4,3914,3454,5654,8234,6694,7705,141
Household appliances, radios, etc.1,4141,3461,5801,7391,8621,9812,073
Hardware3,7433,4773,6174,0423,8133,7534,074
Chemist1,5411,6901,8211,9982,0552,1272,275
General, department, and variety14,25613,38114,75615,19515,38415,91216,820
Other14,52713,41812,65114,32215,04715,98015,578
        Totals64,36662,22966,67570,05371,14373,79175,188

FINANCE

Banking and Currency

Reserve Bank (pp. 847-848).—Data showing the liabilities and assets of the Reserve Bank of New Zealand at the last balance day in May 1958 are shown below, together with the corresponding figures for the last balance day in March 1958.

£(000)
As at Last Balance Day in
March 1958May 1958
* Expressed in New Zealand currency.
Liabilities—
      Total liabilities (including other)172,552157,056
      Bank notes77,02074,370
      Demand liabilities—
        State44,6858,586
        Marketing784598
        Banks38,36961,347
        Other748942
Assets—  
      Total assets (including other)172,552157,056
      Investments—
        Overseas*13,56913,569
        In New Zealand30,45522,808
      Reserve*
        Sterling exchange14,84522,867
        Other exchange8651,097
      Advances—  
        State55,00044,043
        Marketing organizations49,61843,994
        Other..640

Trading Banks (pp. 848-857).—The principal statistics of trading banks for the months of March and May are given below. Debits and clearings cover the weekly 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 1958May 1958
Bank debits during week—
        Government£14,399,33510,600,133
        Other£130,354,874113,902,773
Advances, including notes and bills discounted£183,771,009177,670,078
Unexercised overdrafts£102,440,719101,701,113
Deposits—
        Total£287,767,855286,198,836
        Government£5,865,6294,060,559
        Not bearing interest£243,032,175241,180,731
        Bearing interest£38,870,05140,957,546
Reserve Bank notes—
        Notes held by trading banks£14,812,87313,041,178
        Net note circulation£62,207,50261,328,489
Ratio of advances to depositsPer Cent63.8662.08

Overseas Assets of Banks (pp. 859-860).—In the following table overseas assets of banks (on account of New Zealand business only) are shown.

£(000)
Overseas Assets at End of
March 1957March 1958
Trading banks' overseas assets—
      In London24,22822,591
      Elsewhere7,1477,838
Reserve Bank's overseas assets—
      Sterling exchange34,83514,845
      Other overseas assets28,20214,763
Total gross overseas assets94,41260,037
Overseas liabilities of trading banks4,98210,101
Overseas liabilities of Reserve Bank9138
Net overseas assets89,42149,798

Savings Banks (pp. 864-869).—A summary of statistics of savings banks at 31 March 1958 is given below.

Post Office Savings BankTrustee Savings BanksNational Savings Accounts

* Excess of withdrawals over deposits.

† On deposits held during year ended 30 June 1957

Number of depositors1,719,564412,491..
 £££
Total amount of deposits during year149,024,22740,321,8447,509,484
Total amount of withdrawals during year133,993,51534,973,04312,940,101
Excess of deposits over withdrawals15,030,7125,348,801-5,430,617*
Interest credited to depositors6,869,0341,480,2922,330,679
Total amount to credit of depositors at end of March 1958258,505,40655,937,03764,222,060

Post Office Savings-bank Accounts Classified by Amount Groups (p. 865).—The following is a classification of the balances in Post Office Savings-bank accounts at 31 March 1956, 1957, and 1958, shown by amount groups and percentage of accounts within each group.

At 31 March 1956*At 31 March 1957At 31 March 1958
Number of AccountsPercentage of TotalNumber of AccountsPercentage of TotalNumber of AccountsPercentage of Total

* Excludes 18,278 accounts in 1955-56 which were domiciled at Apia and Rarotonga.

† Does not include investment accounts or home lay-by accounts.

£ £ 
Under 1342,88621.88345,03720.91341,14719.89
1 and under 10384,66424.55437,41526.50438,68125.58
10 and under 50301,44319.23316,85519.20341,15419.89
50 and under 100126,3118.06130,3767.90141.5388.25
100 and under 200131,6838.40126,9977.70138,0648.05
200 and under 30071,2074.5471,7194.3575,2304.39
300 and under 40047,1743.0147,5502.8851,5563.01
400 and under 50036,7602.3537,4982.2739,1412.28
500 and under 60029,2141.8629,2081.7730,0311.75
600 and under 70016,5931.0618,0261.0919,3401.13
700 and under 80012,9320.8313,6580.8314,6630.85
800 and under 90010,0340.6410,6000.6412,1500.71
900 and under 1,0008,5900.559,1840.5610,2800.60
1,000 and under 1,50024,5281.5627,5311.6730,3361.77
1,500 and under 2,00010,7630.6912,5690.7613,5740.79
2,000 and under 3,0009,2290.5910,7420.6511,9320.70
3,000 and under 4,0001,9120.123,2820.203,5490.21
4,000 and under 5,0007320.051,1980.071,6400.09
5,000 and over4890.038860.051,0090.06
Total number of accounts1,567,144*100.001,650,331100.001,715,015100.00

Overseas Receipts and Payments.—The following statement gives statistics of overseas exchange transactions for the years ended 31 March 1957 and 1958. Comparable items for the calendar years 1956 and 1957 are, however, given on pages 861-862. All figures quoted are taken from Reserve Bank sources.

£NZ(000)
Year Ended 31 March 1957Year Ended 31 March 1958
ReceiptsPaymentsReceiptsPayments
      Exports—
      Butter43,336..38,659..
      Cheese20,213..14,114..
      Meat68,309..70,824..
      Wool97,943..102,014..
              Totals (including other)275,289..274,026..
Imports—
      Licensed..31,901..51,759
      Decontrolled..198,818..209,388
      Government..29,275..29,875
              Totals (including other)..263,576..296,106
      Transport: Freights, fares, ships' charters4,3157,0876,1839,472
      Travel: Private and business (exclusive of fares)3,1556,6753,4716,835
Insurance—
      Insurance, reinsurance, other transfers1,2471,9062,2982,088
International investment income—
      Interest, dividends, and other private investment income5,4757,4065,2398,016
      Interest on Government and local authority loans..3,599..3,890
              Totals, international investment income5,47511,0055,23911,906
Government transactions—
      Current expenditure by New Zealand Government overseas..6,424..8,634
      Current receipts by New Zealand Government and expenditure by other Governments in New Zealand1,770..2,238..
              Totals, Government transactions1,7706,4242,2388,634
Miscellaneous current transactions—
      Commissions, royalties, rebates, etc.1,5162,8671,6683,052
      Films and entertainments..929..920
      Unilateral transfers (immigrants' transfers, personal remittances, charitable, legacies, etc.)7,9588,1478,7038,329
      Expenses of business firms7134,7275383,892
      Other current transactions5119315701,422
              Totals, miscellaneous current transactions10,69817,60111,48017,615
Capital transfers—
      Private5,9583,1416,1192,993
      Government12,8892,7666,5221,225
      Local authority..6..514
              Totals, capital transfers18,8475,91312,6414,732
      Cook Islands exports or imports159105169128
      Unidentified99..78..
              Grand totals321,054320,290317,823357,517

PUBLIC FINANCE

Summary of the Public Account for the Financial Years 1956-57 and 1957-58 (p. 774).—The source of the following table is parliamentary paper B. 6, 1958.

£(million)Year Ended 31 March
19571958

* 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 the 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.

      Receipts
Taxation—
        Income-tax98.177.8
        Social security charge61.666.3
        Customs28.932.0
        Sales tax22.324.2
        Stamp and death duties15.016.3
        Other taxation8.38.4
            Totals, taxation234.2225.0
        Interest11.712.5
        Profits from trading4.34.8
        Departmental receipts18.017.8
            Totals, Consolidated Fund and Social Security Fund receipts268.2260.1
        National Roads Fund receipts19.821.1
 288.0281.2
        Receipts from borrowing (less repayments)—
        Borrowing in New Zealand—
        National Savings-2.5-3.6
        Post Office Savings Bank15.520.5
        Other borrowing14.629.7
 27.646.6
        Overseas borrowing—
        London and Australia5.3-0.6
        United States of America4.5-0.5
            Totals, borrowing37.445.5
        Other capital receipts—
        Transfers from Consolidated Fund for—
        Debt repayment12.08.4
        Public Works Account1.30.3
        Sinking Fund contributions, etc.3.83.3
        Miscellaneous capital receipts4.43.7
 21.515.7
        Totals346.9342.4
        Excess receipts of trading accounts, etc., within the Public Account-5.61.0
            Grand totals341.3§343.4
              Expenditure
        Social services135.6145.5
        Defence26.223.4
        Administration, etc.25.126.8
        Stabilization12.412.9
        Maintenance of works, etc.13.212.7
        Development of industry16.717.2
        Interest and management of the public debt23.425.7
        Transfer for repayment of the public debt12.08.4
            Totals, Consolidated Fund and Social Security Fund expenditure264.6272.6
        Works and other capital expenditure—
        Housing construction*10.08.1
        Forest development*2.01.7
        Electric supply14.519.5
        Land settlement1.52.5
        Railways*5.35.3
        State Coal 1.3
        Post Office5.05.0
        Murupara Pulp and Paper Scheme*1.61.0
        State Advances Corporation10.59.0
        Other*2.85.1
            Totals, works, etc.53.258.5
        Other expenditure—
        Defence Fund0.72.3
        National Roads Fund21.920.1
 75.880.9
        Purchase of miscellaneous investments not included above4.012.2
        Charges and expenses of repaying loans0.7 
        Totals345.1365.7
        Over-all cash surplus or deficit—  
        Increase in cash balances-3.8-22.3
            Grand totals341.3§343.4§

Summary of Budget Proposals.—The presentation of the Financial Statement was made on 26 June 1958. Principal changes from the existing situation are briefly recorded below.

  1. The family benefit is to be increased from 10s. to 15s. a child a week from 1 October 1958. It will be possible to capitalise it for certain purposes.

    The weekly rate of age and other related social security benefits will be increased to £8 for a married couple and £4 10s. for a single person to apply from 1 October 1958. There will be corresponding increases in economic and wives' pensions and in war veterans' allowances.

  2. The previous Government's 25 per cent rebate on income tax is to be removed, i.e., the basic rate is to be restored to 3s. in the £ for the first £100 of taxable income, as fixed in 1954. (Applies from 1 October 1958.)

    The personal income tax exemption of £375 is to be reduced to £300, but the exemption of £125 for a dependent wife is to be increased to £200.

    The wife's exemption of £200 will be reduced by £1 for every £1 by which the wife's income exceeds £100 so as to leave a husband with no wife exemption when his wife's income reaches or exceeds £300.

    The personal exemption of £420 for people 65 years of age and over will be reduced to £345.

    The PAYE deduction changes will operate from 1 October 1958.

  3. Customs Duty on motor spirit will be increased by 1s. to 2s. 3 3/4d. per gallon, the additional 1s. going to the Consolidated Fund.

  4. Sales tax on motor vehicles with the exception of motor cycles is increased from 20 to 40 per cent.

  5. The duty on cigarettes will be increased from 33s. 6d. per 1,000 to £3 10s. per 1,000 and from 13s. 6d. to £1 8s. a pound. On manufactured tobacco the duty rises from 11s. 8d. per 1b. to 22s. 9d. per 1b., and on cigars from 6s. per 1b. to 12s. per 1b.

  6. Beer duty will be increased from 3s. a gallon to 6s. a gallon. The duty on spirits will be increased from 60s. a gallon to 120s. a gallon.

  7. All articles purchased under a hire-purchase agreement are to carry a deposit of 10 per cent, and the time for payment will be limited to 18 months.

  8. New rates of increased estate and gift duty will apply to the estates of all persons dying after 26 June 1958, on estates exceeding £12,000 and to gifts made after that date.

  9. £5,000,000 will be advanced as a loan from the Consolidated Fund to enable a reasonable price to be paid for butterfat.

  10. Dividends from 1 April 1958 are to be regarded as assessable income in the hands of individual tax payers.

  11. A new excess retention tax is to be levied on companies at 7s. in the £ on certain undistributed company profits.

  12. There is a general reduction in the scope of depreciation allowances.

Estimates of Receipts and Expenditure for 1958-59 (p. 775).—The following table shows the estimated receipts and payments for 1958-59 for the Consolidated and Social Security Funds.

Estimated Receipts, 1958-59£(m.)
Consolidated Fund
Taxation—
    Customs35.4
    Beer duty12.7
    Sales tax22.0
    Film-hire tax0.1
    Estate, racing, and stamp duties18.1
    Land tax1.4
    Income tax105.0
 194.7
Other receipts—
    Interest13.4
    Trading profits4.2
    Departmental17.8
        Total230.1
    Debt services37.2
    Other permanent appropriations5.6
Annual appropriations—
    Stabilization12.0
    Defence18.3
    Development of primary and secondary industries23.8
    Social services (excluding transfer to Social Security Fund)70.8
    Other votes60.1
    Supplementary estimates2.0
        Total229.8
    Social Security Fund
Social security charge and social security income tax70.0
    Transfer from Consolidated Fund24.6
    Miscellaneous0.3
        Total94.9
    Administration and special assistance2.5
    Medical and hospital benefits18.6
    Monetary benefits67.4
        Total88.5

Consolidated Fund (pp. 775-780).—The following table contains a summary of the receipts and payments of the Consolidated Fund for the financial years ended 31 March 1957 and 1958.

£
1956-571957-58
Receipts
Taxation172,794,730158,925,155
Interest on capital liability—
      Post and Telegraph1,964,6072,179,694
      Electric supply4,592,1785,239,507
      Housing and Housing Construction1,474,9331,556,146
      Land settlement1,708,1921,991,495
      New Zealand National Airways Corporation42,000101,754
      Working railways716,758 
Interest on other public moneys1,055,3751,323,498
Profits on trading undertakings4,254,8224,819,859
Departmental receipts17,672,73517,443,315
              Totals, receipts206,276,330193,580,423
Payments
Permanent appropriations—
Civil list171,608186,409
Debt services—
      Interest22,728,53225,315,925
      Amortization12,006,7098,409,770
      Administration and management673,317344,524
      Superannuation (subsidy and contribution)3,864,0004,620,000
      Miscellaneous731,099578,603
              Totals, permanent appropriations40,175,26539,455,231
Annual appropriations—
      Legislative246,256280,478
      Prime Minister's Office20,53224,014
      External Affairs2,191,9751,983,469
Finance—
      Treasury345,182395,580
      Stabilization12,350,86112,930,228
      Customs497,915559,090
      Inland Revenue1,508,4511,759,293
      Audit216,552228,021
              Totals, finance14,918,96115,872,212
General administration—
      Public Service Commission130,261137,510
      Internal Affairs3,088,7072,886,594
      Island Territories1,196,0921,025,006
      Printing and Stationery1,169,2161,435,587
      Marine604,963707,625
      Labour2,039,1242,342,364
      Maori Affairs908,226962,125
      Valuation412,870423,886
      Statistics350,055224,373
      Rehabilitation1,064,680988,230
              Totals, general administration10,964,19411,133,300
Law and order—  
    Justice1,599,7942,105,772
    Crown Law27,70029,697
    Police2,630,0902,885,153
            Totals, law and order4,257,5845,020,622
Defence—
    Navy6,467,9865,447,634
    Army7,678,0007,051,648
    Air9,330,1698,487,439
    Defence construction and maintenance2,745,1142,453,998
            Totals, defence26,221,26923,440,719
Maintenance—
    Maintenance of public works and services13,154,57812,697,767
Development of primary and secondary industries—
    Lands and Survey1,976,7092,052,931
    Forest Service2,436,2642,602,046
    Agriculture4,951,2045,527,714
    Industries and Commerce432,031483,752
    Tourist and Publicity1,520,9151,042,103
    Scientific and Industrial Research1,404,2981,534,934
    Mines292,687280,401
    Transport587,369668,943
    Civil Aviation and Meteorological Services3,077,0543,006,705
            Totals, development of primary and secondary industries16,678,53117,199,529
Social services—
    Health6,346,5577,108,821
    Subsidies to Hospital Boards12,895,67415,390,252
    Education31,826,06834,257,051
    War and other pensions8,927,6599,805,065
    Contribution to Social Security Fund14,000,000 
            Totals, social services73,995,95866,561,189
            Totals, annual appropriations162,649,837154,213,299
    Unauthorized expenditure125,52867,030
            Totals, payments202,950,630193,735,560
    Surplus or deficit from current year's operations3,325,700-155,137
    Balance in Fund at end of year10,466,4026,985,564

The surplus for the year 1955-56 of £4,151,171 was expended during the year 1956-57 by transfer to the Public Works Account. The corresponding surplus for the year 1956-57 of £3,325,700 was expended during the year 1957-58 by transfer to the Public Works Account.

Taxation (pp. 786-787).—Particulars of revenue from taxation for the financial years 1955-56, 1956-57, and 1957-58 are contained in the following table.

£
Item of Revenue1955-561956-571957-58
Consolidated Fund—
     Customs30,065,57128,937,75131,982,401
     Beer duty6,567,3026,753,5217,020,310
     Sales tax23,443,49822,280,91524,221,810
     Film-hire tax142,021147,218150,081
     Stamp duties6,791,1726,889,3897,451,498
     Death (including gift) duties8,483,8108,268,3659,003,445
     Land tax1,227,6561,399,8371,308,455
     Income tax90,697,96598,117,73477,787,155
          Totals167,418,995172,794,730158,925,155
Social security taxation—
     Social security charge59,910,71761,635,22466,256,104
National Roads Fund taxation—
     Highways revenue (less rebates)17,499,06518,421,80919,701,041
          Grand totals244,828,777252,851,763244,882,300

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 (i.e., Income Tax and Social Security Charges on Income)Total Taxation
AmountPer Head of Mean PopulationPercentage of Total TaxationAmountPer Head of Mean Population
 £        £s.d. £        £s.d.
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
1955-56150,608,6827001061-5244,828,777113172
1956-57159,752,9587216263-2252,851,763115410
1957-58144,043,259642758-8244,882,30010906

State Indebtedness (p. 809).—The public debt as at 31 March 1958 amounted to £782,110,997, an increase of £24,991,301 as compared with a year earlier. Of the 1958 debt figure, £99,576,289 was held in the United Kingdom, a decrease of £848,895.

SOCIAL SECURITY AND WAR PENSIONS (pp. 203-236)

Revenue of the Social Security Fund for the year ended 31 March 1958, together with the 1956-57 figures in parentheses, was as follows: Charge on salaries and wages, £40,317,504 (£37,262,667); charge on other income of persons, £18,008,194 (£16,655,458); charge on company income, £7,930,406 (£7,717,099); grant from Consolidated Fund, nil (£14,000,000); interest on investments, £83,082 (£80,738); miscellaneous receipts, £170,404 (£140,557); total receipts, £66,509,589 (£75,856,519).

Payments from the Fund in 1957-58, with 1956-57 payments in parentheses, were: Monetary benefits, £60,434,199 (£57,573,520) including emergency benefits and special assistance, £1,037,653 (£913,585); medical, etc., benefits £17,058,307 (£16,772,712); administration expenses, £1,398,244 (£1,249,542); other payments, £10,367 (£10,342). Total payments from the Fund were therefore £78,901,117 (£75,606,117). The balance in the Fund at the end of March 1958 was £4,664,703.

Particulars of the various social security benefits (monetary and health) and war pensions in force at the end of March 1958, together with total payments during the financial year 1957-58, are shown in the following table.

Class of Benefit or Pension As at 31 March 1958 Payments During Year Ended 31 March 1958

Class of Benefit or PensionAs at 31 March 1958Payments During Year Ended 31 March 1958
Number in ForceAnnual Value
Social security benefits— ££
Monetary—
     Superannuation83,5778.775,5858,279,199
     Age118,18724,914,29224,304,077
     Widows'12,1683,316,0233,279,683
     Orphans'26034,32036,129
     Family326,61921,792,01920,152,619
     Invalids'7,8021,862,1811,799,823
     Miners'405117,757124,589
     Sickness3,767..1,368,360
     Unemployment128..52,067
     Emergency3,017..819,452
     Special assistance5,912..218,201
          Totals561,842..60,434,199
Medical—
     Medical....3,927,892
     Hospital....4,930,424
     Maternity....1,449,359
     Pharmaceutical....4,466,541
     Supplementary....2,284,091
          Totals....17,058,307
War pensions—
     First World War15,6943,439,6023,294,637
     Second World War24,3302,671,7222,566,816
     War Veterans' Allowances10,8204,204,7423,539,098
     South African War215,0755,088
     Mercantile Marine pensions263,8923,590
     Emergency Reserve Corps92,1532,101
     Kayforce20321,58319,386
     War Pensions Emergency Assistance1239,0477,102
          Totals51,22610,357,8169,437,818
Sundry pensions and annuities54979,47678,748
     Grand totals613,617..87,009,072

LIFE ASSURANCE BUSINESS, 1957 (pp. 933-940)

Ordinary Department.—The year ended 31 December 1957 was a most successful one for ordinary life assurance business. New policies issued (excluding annuity policies) numbered 86,853, a rise of 5,265 over the previous year, the amount of new assurance reaching a record total of £112,666,000 (£99,066,000 in 1956). The average sum assured per new policy was £1,297 (£1,214 in 1956). The annual premiums payable on new business during 1957 amounted to £2.95 million, as against £2-70 million for the previous year.

Policies in force at 31 December 1957 numbered 1,024,000, assuring £768.8 million, an average per policy of £751. Comparative figures for twelve months earlier were 974,128, £689.7 million, and £708.

Premium revenue from ordinary business during 1957 totalled £22.5 million, an increase of £1.7 million over the 1956 figure.

Industrial Department.—Policies issued, sum assured, and annual premiums for new industrial business during the year were 26,506, £3,937,000, and £184,000 respectively. The 1956 figures were 27,410, £4,103,000, and £191,000. Industrial policies in force at the end of 1957 numbered 504,285, assuring £42.9 million, compared with 520,513 and £42.5 million for the previous year. The average face value per new policy was £149, and for policies in force £85.

PRICES

Retail Prices (pp. 992-996).—Details of the consumers' price index for the calendar year 1957, and for each of the quarters ended 31 March 1958 and 30 June 1958, are given below.

CONSUMERS' PRICE INDEX
(Revised Series)
Base: Weighted average twenty-one towns, 1955 (= 1000)
Calendar Year 1957Quarter Ended 31 March 1958Quarter Ended 30 June 1958
Food—
     Meat and fish105411011151
     Fruits, vegetables and eggs110510661061
     Other foods102910291030
          All foods105410571069
Housing—
     Rent109811161125
     Home ownership112611721187
          All housing111811551169
Household operation—
     Fuel and light104210441113
     Home furnishing102210421052
     Domestic supplies and services105910671071
          All household operation103810491075
Apparel—
     Clothing9929961003
     Footwear107810991108
          All apparel100510121019
Transportation—
     Public transport112211401140
     Private transport105810771103
          All transportation107610951114
Miscellaneous—
     Tobacco and alcohol101410141014
     Other supplies106410771079
     Other services113111471154
          All miscellaneous105510631065
All groups105710691081

Share Prices (pp. 1005-1009).—Index numbers of share prices in 1957, together with the average for the year ended March 1958, are given below.

GroupIndex Numbers Base Average for Each Group, 1938 (= 1000)
Average for 1957Average for Year Ended March 1958
Frozen meat3,8564,052
Woollens16051693
Gas914887
Timber16321584
Minerals12691312
Miscellaneous (including breweries)14701505
          All industrial groups16461689
Banks13451343
Insurance3,1893,192
Loan and agency3,2413,296
Miscellaneous2,0912,159
          All finance, etc., groups2,4212,441
          All groups combined2,0342,044

Monthly statistics for the first five months of 1957 and of 1958 are given below.

SHARE PRICES MONTHLY INDEX NUMBERS, BASE: YEAR 1938 (= 1000)
19571958
Industrial GroupsFinance GroupsAll GroupsIndustrial GroupsFinance GroupsAll Groups
January15352,260189717182,3982,058
February15242,297191017302,3912,060
March15152,307191116412,3131977
April15702,412199115852,2601922
May16162,4652,04015472,2711909

Terms of Trade (p. 1005).

INDEX NUMBERS OF IMPORT AND EXPORT PRICES AND TERMS OF TRADE, BASE: 1957 (=100)
YearImport Price IndexButterCheeseMeatWoolAll Exports
Export Price IndexTerms* of TradeExport Price IndexTerms* of TradeExport Price IndexTerms* of TradeExport Price IndexTerms* of TradeExport Price IndexTerms* or Trade
* I.e., purchasing power (in units of imports) of 100 units of exports.
19539212713812914080879199100109
195491129142125137879695104103113
1955911331461321459810892101104114
195695108114171180961019196102107
1957100100100100100100100100100100100
1st quarter 195810075759393959581818686

LABOUR STATISTICS

Wage-rates (pp. 1015-1019).—Index numbers of average nominal weekly wage-rates of adult male and adult female wage-earners in 1956 and 1957, and of adult male wage-earners as at 31 March 1958, are as follows.

Industrial GroupBase: All Groups 1954 (= 1000)
Adult MalesAdult Females
Average for YearAs at 31 March 1958Average for Year
1956195719561957
Provision of—
     Food, drink, etc.111811681185960998
     Clothing, footwear, and textiles10461092110110371088
     Building and construction100510571066....
     Power, heat, and light98610341048....
     Transport by water and air124313031304....
     Transport by land105911061119....
     Accommodation, meals, and personal service10071052108311381190
Working in or on—
     Wood, wicker, seagrass, etc.106611211126....
     Metal111911681179....
     Stone, clay, glass, chemicals, etc.100310501063....
     Paper, printing, etc.1130118811889881045
     Skins, leather, etc.101410551066....
     Mines and quarries105611291129....
     The land (farming pursuits)952991995....
          All groups combined10551104111410561106

Effective Weekly Wage Rates (p. 1020).—The following table shows nominal and effective weekly wage rates of adult workers for the years 1956 and 1957, and of males only for the first quarter of 1958. 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
1956106110551056994995
195710831104110610191021
1958—
     March quarter10961114..1016..

Average Rates of Wages (pp. 1021-1024).—The following table gives the prescribed minimum average weekly wage rates as at 31 March 1958, the series being confined to adult males.

OccupationAverage Wage (Four Principal Districts) at 31 March 1958
          Adult Males 
Bakers—s. d.
     Journeymen254 3
     Labourers214 9
Butchers—
     First shopmen268 5
     Second shopmen250 2
Butter-factory employees—
     Churning and butter making: Others230 6
Flourmilling—
     Kilnmen240 4
     Assistant smuttermen229 6
     Rollermen258 0
Meat freezing—
     Slaughtermen, per 100 sheep113 1
     Workers not otherwise specified259 7
Meat preserving—
     Boners311 10
     Others267 6
Sausage-casing making: Workers not otherwise specified273 4
Aerated water and cordial making—
     Cordial makers224 4
     Others214 7
Brewing: Others238 11
Tailors—
     Journeymen244 10
     Stock cutters (Factory)244 10
Footwear manufacturing workers247 10
Woollen mills—
     Spinners248 9
     Others228 1
Building—
     Bricklayers256 9
     Carpenters and joiners253 0
     Plasterers256 5
     Plumbers259 5
     Builders' labourers226 11
     General labourers209 5
Sawmilling—
     Sawyers264 0
     Tailers-out241 5
     Yardmen, head258 7
     Workers not specified237 0
Boatbuilding: Shipwrights255 10
Metal works, etc.—
     Boilermakers, journeymen253 8
     Iron and brass moulders250 9
     Tinsmiths, journeymen253 3
     Engineering fitters, etc.260 10
     Electrical wiremen258 5
     Motor mechanics259 11
Printing—
     Linotype operators (day)263 6
     Letterpress machinists (day)253 8
Skin and leather workers—
     Curriers238 11
     All other workers212 9
Mineral and stone workers—
     Flangers and moulders241 10
     All other workers219 11
Mining (coal)—
     Surface: Tippers267 6
     Miners (on day wages, per shift)53 3
     Truckers240 0
Quarrymen211 2
Agricultural and pastoral workers—
     General farm hands161 6
     Threshing-mill: Other workers, per hour5 7 1/2
     Ploughmen161 6
     Shearers (per 100 sheep shorn)77 0
     Shepherds161 6
     Wool pressers278 8
     Dairy-farm workers190 0
Railways—
     Engine drivers, average third and sixth years283 9
     Firemen, average second and ninth years252 11
     Guards, average first and third years271 3
Tramways—
     Drivers243 10
     Conductors (after six months)235 0
Shipping and cargo working—
     Assistant stewards, first grade231 0
     Assistant stewards, second grade227 1
     Chief cooks282 6
     Second cooks255 7
     Able seamen247 11
     Ordinary seamen, 18 years or over190 8
     Waterside workers: Ordinary cargo259 7
Hotel workers—
     First cooks243 2
     Waiters174 9
Miscellaneous—s. d.
     Retailing of apparel: Shop assistants238 11
     Grocers' assistants236 0
     Warehouse storemen226 2

NOTE.—The following perquisites (as assessed for statistical purposes), as at 31 March 1958, should be added to the listed occupations: General farm hands, ploughmen and shepherds, 39s., and dairy-farm workers, 36s. 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, 51s. 10d. per week as value of board and lodging; and hotel first cooks and waiters, 50s. per week as value of board and lodging.

Estimated Distribution of the Labour Force (p. 1086).—The following table supplies an estimated distribution of the total labour force at 15 October 1957 and 15 April 1958. (000)

Industrial GroupMalesFemalesTotals
October 1957April 1958October 1957April 1958October 1957April 1958
Primary industry134.3134.110.910.9145.2145.0
Manufacturing industry153.2160.948.049.3201.2210.2
Power, water, and sanitary services11.311.40.80.812.112.2
Building and construction75.477.61.51.576.979.1
Transport and communication73.474.310.010.283.484.5
Distribution and finance95196.647.848.7142.9145.3
Domestic and personal services20.020.224.725.244.745.4
Administration and professional59061.256.957.7115.9118.9
          Totals, in industry621.7636.3200.6204.3822.3840.6
Armed forces8.88.90.70.69.59.5
Unemployed0.40.4 0.00.40.4
          Totals, labour force630.9645.6201.3204.9832.2850.5

Half-yearly Surveys of Employment (pp. 1089-1092)—Following is a summary of the employment statistics as returned for 15 April 1958.

Primary Industry (other than Farming, Fishing, and Hunting)Manufacturing IndustryPower, Water, and Sanitary ServicesBuilding and ConstructionTransport and CommunicationDistribution and FinanceDomestic and Personal ServicesAdministration and ProfessionalTotal, all Industries Covered
Male employees (full-time)10,754143,06111,41551,18854,84671.10411.66648.373402.407
Male working proprietors44310.09386.4822.08410.6343.42049133.655
Female employees (full-time)29545.3758191.2579.23339.39014.25846.599157.226
Female working proprietors21.290  843.5932.1141897.272
Number of establishments62112.6112516.0572.60515.6044.6263.82246.197

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
Limitations in the coverage of the figures shown above are noted on page 1090.
Male employees (full-time)32.25512.10024.54653.70120.459
Male working proprietors1.1521.1782.0664.6531.044
Female employees (full-time)7.24324.0791.5315.4207.102
Female working proprietors46054037144109
Number of establishments1.7721.8612.5884.9731.417

Summary of Vacancies, Placements, and Disengaged Persons.—This table gives additional figures to those presented on page 1100.

Vacancies at End of MonthPlacements During MonthDisengaged Persons at End of Month
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Monthly average over calendar year—
     19568.9584.02812.9868663971.26324019259
     19575.8643.0628.9269414281.36936826394
Monthly total—
     1958—
     January5.5033.0158.5188436611.50433642378
     February5.3202.9618.2811.1368071.94329334327
     March5.2833.0108.2939474111.35830137338
     April5.2752.9958.2701.1464671.61340735442
     May4.7442.9567.7008174631.28052761588

TRANSPORT

Shipping and Cargo Handled (pp. 371-381).—Statistics of entrances and clearances of vessels in the foreign trade in 1956 and 1957, 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
19561957
Entrances—
     Overseas—
          Number of vessels780896
          Net tonnage3,364,5483,939,939
Clearances—
     Overseas—
          Number of vessels785895
          Net tonnage3,454,7213,939,856
Total calls made—
     Overseas—
          Number of vessels2,2682,443
          Net tonnage9,752,76910,304,913
     Coastal—
          Number of vessels12,98412,927
          Net tonnage4,855,2954,827,719
     Total—
          Number of vessels15,25215,370
          Net tonnage14,608,06415,132,632
Tonnage of cargo handled—
     Inwards7,096,0607,421,830
     Outwards3,499,3823,574,698
     Transhipped380,344348,218
Total manifest tonnage10,975,78611,344,746

Statistics of shipping movement and cargo handled at New Zealand ports in 1956 and 1957 are given below.

(000)
Total Shipping MovementTotal Cargo Handled
1956: Net Tonnage1957: Net Tonnage1956: Tons1957: Tons
Auckland6,0596,8723,3383,520
Wellington7,8718,0502,5352,613
Lyttelton5,4515,3891,4461,431
Dunedin2,2842,291627595
Other ports7,4527,6033,0303,186
          Totals29,11630,20510,97611,345

Railway Transport (pp. 384-394).—Summarized statistics of railway transport in the years ended 31 March 1956, 1957, and 1958 follow.

UnitYear Ended 31 March
195619571958
* Including road motor and other subsidiary services.
Passenger journeys—
     Railways(000)25,07525,37724,817
     Railway road motor services(000)19,27119,08319,714
Tonnage of goods carried—
     TimberTons (000)8931,1301,258
     LivestockTons (000)641628621
     Other goodsTons (000)9,1828,5678,454
     TotalsTons (000)10,71610,32510,332
Net ton-miles runMillions1,1481,1361,151
Revenue—
     Railway operation£(000)27,87128,50730,010
     Total*£(000)32,26332,76534,443
Expenditure—
     Railway operation£(000)26,77528,69431,064
     Total*£(000)30,82933,03535,588

Road Transport (p. 411).—Statistics of motor vehicles licensed at 31 March 1957 and 1958 are as follows.

ClassAs at 31 March
19571958
Cars425,018462,439
Trucks—
     Light60,94650,472
     Heavy60,52264,873
Contract vehicles2,1662,248
Omnibuses2,1742,193
Taxis2,4382,431
Rental cars1,9772,200
Private-hire cars246227
Service cars733708
Trailers77,98883,410
Vehicles exempted from payment of licence fees (other than exempted Government-owned vehicles)48,45950,815
Government vehicles16,54316,686
Motor cycles25,38926,084
Power cycles5,7817,813
          Totals730,380772,599
Dealers' cars3,0793,275
Dealers' motor cycles197253
          Grand totals733,656776,127

EDUCATION (p. 175)

The following table shows the number of scholars and students receiving instruction in the educational institutions of New Zealand during the years 1956 and 1957. Registered private schools are included.

19561957

Exclusive of students taking part-time courses with the Correspondence School, 1,241 in 1956 and 1,469 in 1957.

† Includes 676 students taking short courses at the agricultural colleges in 1956 and 775 in 1957.

Primary schools399,466413,286
Post-primary schools85,774*89,633*
Technical classes (part-time)37,87738,722
Universities11,75312,536
Teachers' training colleges2,9793,249
          Totals537,849557,426
Kindergartens6,8167,135

MISCELLANEOUS STATISTICS

Radio Licences (p. 448).—The number of radio licences for receiving stations in force on 31 March 1958 was 549,307, and for all classes of radio licences 554,931, compared with 519,778 and 525,049 respectively at 31 March 1957.

Horse Racing (p. 803).—The number of racing days in the calendar year 1957 was 365. Totalizator turnover totalled £44,974,000 in 1957 (£43,468,000 in 1956) while Government taxation totalled £4,158,000 in 1957 (£4,018,000 in 1956).

Land Transfers (pp. 454-458).—Transactions under the Land Transfer Act showed increases in both number and consideration. The average amount per transaction (town and suburban properties) in 1957-58 was £2,125, as compared with £1,986 in 1956-57 and £1,950 in 1955-56.

Year Ended 31 March
195619571958
Town and suburban properties—
     Number41,37838,06642,183
     Consideration ..       ..     £80,684,00075,614,00089,641,000
Country properties—
     Number7,7227,2688,390
     Area ..     ..      Acres1,525,6091,449,9621,789,876
     Consideration ..     ..     £40,256,00039,064,00050,060,000
All properties—
     Number49,10045,33450,573
Consideration      ..     £120,940,000114,678,000139,701,000

Mortgages (pp. 883-893).—Particulars of gross totals of mortgages registered and discharged during the last three financial years are shown below. Mortgage registrations have shown an increase in number for the first time since 1954-55 and the increase of £9,494,000 in the total amount of consideration is in contrast to a decline of £6,783,000 in 1956-57. Mortgages discharged have shown an increase both in number and amount of consideration.

Year Ended 31 MarchRegistered*Discharged*
NumberAmountNumberAmount
* Inclusive of duplicate registrations and discharges.
 £           £          
195655,58698,144,00034,08635,407,000
195751,25791,361,00032,66637,689,000
195855,468100,855,00037,44646,088,000

Justice.—Prisoners in gaols at end of calendar year (p. 264): 1956, 1,403, or 6.43 per 10,000 of population; 1957, 1,513, or 6.78 per 10,000 of population.

Registration of Aliens (p. 43).—The number of aliens on the register at 1 April 1958 totalled 27,642 (17,435 males, 10,207 females), compared with 1 April 1957 figures of 26,381 (16,832 males, 9,549 females).

Naturalizations (p. 42).—The number of certificates of naturalization issued to former aliens during the year ended 31 March 1958 was 752, compared with a total of 627 in the previous year. Certificates of registration as a New Zealand citizen were granted to 645 citizens of other countries of the Commonwealth or of former aliens (665 in 1956-57), and 259 certificates of registration (292 in 1956-57) to minor children (either citizens of other countries of the Commonwealth or former aliens).

Census 1956: Incomes of Individuals.—The following table divides into income groups the persons actively engaged and also the total population including those not actively engaged in employment.

The questionnaire on the schedule asked for income for the year ended 31 March 1956 from all sources without deduction of taxes, superannuation, life insurance, rates, etc. Social security benefits (age, family, etc.) and war pensions were not included.

Income GroupPersons Actively EngagedTotal Population*
MalesFemalesTotalMalesFemalesTotal
* Includes persons actively engaged and not actively engaged.
    £           £ 
Nil5.5725.79111.363428.462792.0701.220.532
          1 to 494.1345.3949.52813.77636.53250.308
        50 to 994.6346.90411.53810.96823.32934.297
      100 to 29934.35153.54687.89744.62982.439127.068
      300 to 49965.42478.717144.14173.37790.449163.826
      500 to 699168.92230.632199.554173.66235.153208.815
      700 to 899162.4816.556169.037164.9848.462173.446
      900 to 1,09974.5952.12976.72475.9293.14279.071
1,100 to 1,29932.32783133.15833.2531.43034.683
1,300 to 1.49915.18642915.61515.72977316.502
1,500 and over51.5241.53853.06253.4492.91556.364
Not specified3.6081.6275.2354.9934.1579.150
          Totals622.758194.094816.8521.093.2111.080.8512.174.062

ERRATUM

Page 799, first line of page: Insert “tax” before word “year”; second line of page: Omit “tax” before word “income”.

Chapter 1. SECTION 1—DESCRIPTIVE

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 normally 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 (Southern Group) to 2,800 miles (Northern Group and Niue). The 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 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:
 Area in Square Miles
(a) Exclusive of Island Territories—
        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 (1/2). Antipodes (24).
                Bounty (1/2). Auckland (234).
                    Total New Zealand, exclusive of Island Territories 103,736
(b) Island Territories—
        Tokelau Islands, comprised of4
            Fakaofo Island, Nukunono Island, Atafu Island.
        Cook and associated islands, comprised of—
            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 Territories 103,930
Ross Dependency (Estimated)160,000
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 Order in Council of 30 July 1923 under the British Settlements Act 1887 (Imp.), the territories between 160° east and 150° west longitude, and south of latitude 60° south were brought within the jurisdiction of the New Zealand Government. The region was named the Ross Dependency. From time to time laws for the Dependency have been made by regulations promulgated by the Governor-General of New Zealand. The Dependency is normally uninhabited. However, part of the Dependency became in 1956-57 the base for the New Zealand expedition to the Antarctic, and occupancy of the base and advance camps continued through into 1958.

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 production from the hinterland is limited 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, while 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 foldings 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 ana 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 Beche10,053
    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 1 1/4 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 (7 1/4 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 9 3/4 miles and 8 1/2 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, Clutha, and Waipori in the South are used for major hydro-electric schemes. 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, and below is given a list of the more important ones. 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
 Miles
Flowing into the Pacific Ocean
    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
 Miles
Flowing into Cook Strait
    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
    Mokihinui35
    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, but the amount of gold now extracted is comparatively small.

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. A series of narrow man-made lakes nave been produced in connection with hydro-electric development along some of the rivers.

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, the details of which have recently been revised.

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
Natural
Taupo25172341,2704,4901,172522
Rotorua7 1/2631203 92084
Rotoiti10313248852916230
Tarawera75 1/21472273980285
Rotoaira31 3/45502401,852 
Waikaremoana126211656232,015840
Wairarapa124311,236 564
Rotoehu32317 968 
Rotoma3i2 1/44112 1,036 
Okataina43425 1,014 
Okareka1 1/21 1/41 1/48 1,160 
Rotomahana41 3/43 1/227 1,116 
Rerewhakaitu2 1/21 3/43  1,441 
Tikitapu13/41  1,364 
Rotokakahi2111 3/411401,298 
Artificial
Ohakuri211/4511,8505,540942 
Atiamuri41/411,9805,830826 
Whakamaru13 1/21/232,1556,160742 
Maraetai4 1/21/21 1/22,3906,730618 
Waipapa61/412,5007,010417 
Arapuni101/252,6557,310363 
Karapiro15 32,8807,820176 
Whakamarino11/4   900 
SOUTH ISLAND
Natural
Rotoiti91 1/24714402,020250
Rotoroa5 1/2291459601,462499
Brunner515 1/215160 280357
Kanieri61 1/4611 429646
Coleridge11214216 1,672680
Sumner61 1/25 1/2130   
Tekapo113 1/2375503,0602,347620
Pukaki915325234,5201,640 
Ohau113234602,3101,730 
Hawea195465672,2401,1331,285
Wanaka283749827,150915 
Wakatipu4831131,1506,1601,0171,239
Te Anau3861361,2759,730686906
Manapouri185551,78513,6306081,455
Monowai12111105495643 
Hauroko221 1/227 1/22251,100513 
Poteriteri181 1/2181601,05096 
Waihola41 1/432,200 (Tidal)52
Ellesmere14870745 (Tidal)7
Artificial
Cobb31/43/4281982,650 
Waitaki312 1/43,75012,150753 
Roxburgh20 2 1/46,01217,270430 
Mahinirangi9181202301,282 

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 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, Superintendent 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 1835-1957, 81 destructive earthquakes are known to have occurred in New Zealand, 61 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 1957 were as follows.

YearNumber of Earthquakes Reported FeltMaximum Intensity of Heaviest Shock
R.-F. ScaleM.-M.* Scale
* Modified Mercalli Scale of 1931, which is now used for recording earthquake effects in New Zealand.
19221,18787
19237665.6
19247076.7
19257687
192617387
192710787
19288087
19296781010
193074887
19314321010
193231398+
193310876.7
193423098+
193515076.7
193612365.6
19371796.76
193813287
193915776.7
194012076.7
194110787
19421989 +9
194317687
19449565+
194512776 +
194630287
19472338 +7+
19481278 +8
1949976.76
195018876.7
195122687.8
1952836.76
195313387
1954946.76
1955846.76
195613187
19571116.76

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 1957.—There was considerable activity in the months of February, March, August, and September; but the remainder of the year was comparatively quiet.

On 10 February a very strong shock occurred between New Zealand and the Kermadec Islands. It was felt in many parts of New Zealand, mainly in eastern areas of the North Island and in parts of the South Island as far south as Greymouth and Cheviot. The maximum intensity reported was M.-M. 5 at Whakatane.

On 22 February a strong shock centred in the region west of National Park reached at least intensity M.-M. 6 at some places in the epicentral area, and some damage was reported. The shock was felt in western and central parts of the North Island, from South Waikato to Wellington.

On 13 March a deep shock, originating under the Taupo region, was widely felt from Whakatane to Greymouth and Christchurch. this case the maximum intensity reported was M.-M. 5 at Taihape.

Early in June an outbreak of local activity occurred in the vicinity of Moko Hinau Island. The disturbance consisted of a "swarm" of light or moderate shocks. None of the shocks were reported felt on the mainland or elsewhere, although the strongest ones were clearly recorded by the seismograph at Onerahi aerodrome.

Near the beginning of August there was considerable activity in the Toatoa area, south-east of Opotiki. There were at least three rather severe shocks on the afternoon of 2 August, and a number of aftershocks for several days following. Intensities at least as high as M.-M. 6 occurred near Toatoa; but none of the shocks were perceptible beyond about 100 miles from the epicentral region.

On 4 and 21 August shocks with origins in the North Island deep-focus zone were felt over large areas of the country; but no intensities above M.-M. 4 were reported in either case.

Another deep-seated shock on 27 September was felt at many places from Te Kuiti to Greymouth and Christchurch. The maximum intensity reported was M.-M. 5 at Blenheim.

The only other shock in which intensity 5 was reached occurred in the Cook Strait region on 16 May.

There were 111 shocks reported felt in New Zealand during the year; 89 of these were felt in the North Island and 28 in the South Island, while 6 shocks were felt in some parts 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 11
III12.10.1 0.1
IV1.1  00

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 1848-1957 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 140 climatological stations within New Zealand and 60 on islands of the South Pacific. In addition, there are 1,070 rainfall stations in New Zealand and 90 in the Pacific Islands. 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., F.R.S.N.Z., 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 1954. 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 Shad, Degress 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
Wanganui7234.321552,18271.054.263.055.941.048.9
Palmerston North (D.S.I.R.)11039.051701,83970.553.162.254.339.146.9
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
Hokitika15110.401971,89865.351.758.850.935.643.8
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 1956:Year.—1956 was an exceptional year in the North Island, being in fact the wettest in seventy years of records (equal with 1893), the warmest in sixty years (equal with 1916) and the cloudiest in thirty years (equal with 1953).

Rainfall was well above normal over the whole of the North Island and also in parts of Nelson, Marlborough, and Canterbury. Departures exceeded 50 per cent over considerable areas of the Auckland district, where many stations established new records, Southland was the only part of the country with rainfall appreciably below normal.

Temperatures were above normal over the whole country. The average departure was 2.0° F. over the North Island and 1.6° F. over the South Island.

Sunshine was below normal, except in most of Westland and on the Southland coast. The deficiency exceeded 200 hours over the greater part of the North Island and also in the Mackenzie County of Canterbury and in Central Otago. Five stations received record low totals, including Napier, which had only 2,026 hours, nearly 400 hours less than normal.

Seasonal Notes.—January was an exceptionally warm month. For the South Island it was easily the warmest month on record. The temperature of 101° F. at Ashburton on 19 January was the highest temperature ever officially recorded in this country. Drought conditions developed from Canterbury southwards following several months of low rainfall and warm temperatures, but good rains at the end of the month brought relief to all but North Canterbury.

February and March were both very dry months in the southern half of the South Island. For the seven-month period from September 1955 to March 1956, parts of Central Otago and inland South Canterbury had the lowest rainfall in 60 years of record.

The following month was the warmest April on record and it was also rather humid. Growth was unusually good for the time of the year, but the Auckland district suffered from excessive rain. During the first four months of the year stock in many parts of the North Island were severely affected by several outbreaks of facial eczema.

The four-month period from May to August was unusually wet and unsettled in the North Island, where the health of stock was adversely affected. In the South Island conditions were drier and mainly favourable.

By contrast September was dry, and sunny in most districts. Lambing conditions varied considerably; in the South Island losses occurred during south-westerly weather from 13-15 September.

The last three months of the year were rather unsettled, and wetter than usual. Conditions were favourable for growth, but shearing and haymaking were seriously delayed.

Brief Review of 1957:Year.—Rainfall was above normal over the South Island, and the increase exceeded 25 per cent in most inland districts except North Canterbury and Southland. In the Auckland district it was somewhat drier than usual, but elsewhere in the North Island rainfall was mainly close to normal.

The year 1957 was warmer than usual, but not as warm as 1955 and 1956. The average increase over the whole country was about 1° F. Highest departures were recorded in east coast districts from Gisborne to Oamaru, also in central districts from New Plymouth to Blenheim and in the Rotorua area.

September brought to an end a long spell of unusually warm weather. In both October and December temperatures were about two degrees below normal - the first occasion since February 1953 in which the monthly temperature had been substantially below normal.

Sunshine was below normal in the South Island, except in coastal districts from Ashburton to Blenheim. The deficiency exceeded 100 hours over Otago and Southland; in Central Otago it was one of the cloudiest years on record. For the first time since 1947 most of the North Island was favoured with somewhat sunnier weather than usual; increases exceeded 100 hours in Auckland City and Northland.

Seasonal Notes.—The first three months of the year were all somewhat warmer than usual. January and February were also dry months, especially in the North Island, adversely affecting pasture growth and dairy production in some areas. However, March was a wet month and the rain was welcomed by farmers.

Temperatures remained above normal for the next three months. April was dry in the North Island, but serious flooding occurred in the Motueka River and the Waimea Plains of Nelson about the middle of the month. Generally, however, conditions were considered favourable for stock and pasture growth. May was rather too wet in the South Island. June was marked by an unusually high frequency of south-westerly winds, with comparatively dry and favourable conditions in most districts. There were several falls of snow during the first half of the month in inland Southland and on the high country of the North Island.

July was frosty and sunnier than usual. It was also notable for the amount of snow reported. The high country of the North Island received a good coating from the 3rd to the 5th. However, a more general fall affecting also most of the South Island occurred from the 24th to the 28th. In Otago and Southland this snow was unusually heavy and lay for several days even at low levels. Very severe frosts were reported in Southland, and the upper reaches of the Mataura River were frozen over.

August and September were both mild months with comparatively dry conditions over the greater part of the country. However, August was very wet in the Thames Valley, owing to persistent north-easterly winds; and losses of lambs were reported from Canterbury in wet weather early in September.

The last three months of the year were marked by unusually strong and persistent winds from a westerly quarter. It was cloudier colder, and much wetter than usual over most of the South Island and also in Taranaki, adversely affecting growth. On the other hand, in Northland and Gisborne farmers found the weather too dry. Major floods were reported in the Clutha and several Southland rivers from about 19 November; and in the Waimakariri and the Rakaia rivers on 27 December. On the latter occasion serious disruption occurred to road and rail traffic over the Alps. December was the wettest month on record in the Alps; the Hermitage, Mt. Cook, received 51 inches and Arthur's Pass 47 inches of rain.

Summary of Meteorological Observations

The observations from which the following summary was compiled for the year 1956 were taken at 0900 hours New Zealand Standard Time—i.e., 2100 hours Greenwich Mean Time.

StationTemperatures in Shade—Degrees FahrenheitBright Sunshine (Hours)Rainfall
Mean Daily MaximumMean Daily MinimumApproximate Mean Temp.Extremes for 1956Extremes*
Maximum and MonthMinimum and MonthAbsolute MaximumAbsolute MinimumTotal Fall (Inches)No. of Rain Days
* Highest and lowest temperatures for duration of records.
Te Paki, Te Hapua67.453.760.678.3 Jan.32.7 July82.82701,98687.71235
Auckland67.754.661.183.9 Jan.37.4 Aug.90.431.92,02675.47194
Tauranga66.250.858.585.2 Jan.27.9 June91.922.52,01269.94192
Hamilton East66.448.057.284.3 Mar.25.8 June94.414.21,82363.04206
Rotorua64.847.356.188.8 Jan.28.2 Aug.98021.31,72977.55177
Onepoto Lake Waikaremoana58.846.652.7860 Jan.30.3 June88.122.2 91.95228
Gisborne67.349.858.599.8 Jan.28.1 June99.825.91,99052.12185
New Plymouth64.051.457.780.0 Feb.34.0 June86.029.12,00485.66190
Napier66.451.358.993.9 Jan.28.8 June96.527.52,02636.36153
Wanganui64.750.757.783.4 Jan.30.9 Aug.88.028.62,00444.42170
Palmerston Nth. (D.S.I.R.)64.848.956.884.0 Jan.29.4 Aug.87.021.21,73845.53195
Waingawa, Masterton64.745.755.290.8 Mar.27.0 Aug.95.419.51,86242.62188
Kelburn, Wellington61.250.655.976.0 Jan.35.1 July88.028.61,94461.25182
Nelson Airfield62.745.954.382.8 Jan.26.2 July92.021 02,20745.82152
Blenheim65.146.355.791.0 Jan.27 . 6 June94.61612,26931.45141
Hanmer62.240.551.396.0 Jan.21 0 July97.08.21,84645.34172
Hokitika61.546.253.877.6 Feb.28.0 July84.525.01,932105.79197
Lake Coleridge61.141.851.497.0 Jan.23.5 July97.0100 34.13131
Christchurch63.045.154.094.7 Feb.25.7 Aug.95.719.31,90425.80128
Timaru62.544.453.497.7 Jan.25.0 June99.01981,84221.64126
Milford Sound59.545.352.479.4 Feb.30.6 July81.823.1 218.12179
Alexandra63.141.652.499.0 Jan.22.1 July99.01101,93115.93109
Musselburgh, Dunedin60.246.053.188.6 Jan.27.3 Aug.94023.01,66633.04168
Invercargill60.344052.288.0 Jan.25.0 July90.01901,69035.79191

For 1956 the mean sea-level pressure values in millibars at 0900 hours New Zealand Standard Time were: Auckland 1013.9; Wellington 1012.6; Nelson 1012.8; Hokitika 1012.5; Christchurch 1011.2; and Dunedin 1010.6.

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. For more detailed information the following works may be consulted: "The Forest Flora of New Zealand" and "The Students' Flora of New Zealand and its Outlying Islands", by T. Kirk, 1889; "The Cultivation of New Zealand Plants", by L. Cockayne, 1923; "Manual of the New Zealand Flora", by T. F. Cheeseman, ed. 2, 1925; "New Zealand Plants And Their Story", by L. Cockayne, ed. 3, 1927; "New Zealand Trees and Shrubs and How to Identify Them", by H. H. Allan, 1928; "The Vegetation of New Zealand", by L. Cockayne, ed. 2, 1928; "Grasses of New Zealand", by H. H. Allan, 1936; "A Handbook of the Naturalized Flora of New Zealand", by H. H. Allan, 1940; "The Flora of New Zealand", by W. Martin, ed. 3, 1947; "Pasture Plants and Pastures of New Zealand", by F. W. Hilgendorf and revised by J. W. Calder, ed. 6, 1948; "The Trees of New Zealand", by L. Cockayne and E. Phillips Turner, 1950 (reprint); "Poisonous Plants in New Zealand", by H. E. Connor, 1951; "Plants of New Zealand", by R. M. Laing and E. W. Blackweil, ed. 6, 1951; "New Zealand Ferns", by H. B. Dobbie, ed. 4, 1952; "Weeds of New Zealand and How to Eradicate Them", by F. W. Hilgendorf and revised by J. W. Calder. ed. 5 1952; "New Zealand Birds and Flowers", published by A. H. and A. W. Reed, Revised Edition, 1955; "New Zealand Native Plant Studies", by W. C. Davies, 1956; 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. Other publications dealing with this topic include "The Animals of New Zealand", by Captain F. W. Hutton and J. Drummond, ed. 4, 1923; "Native Animals of New Zealand", by A. W. B. Powell, 1947; "Introduced Mammals of New Zealand", by Dr. K. A. Wodzicki, 1950; "New Zealand Birds and How to Identify Them", by P. Moncrieff, ed. 4, 1952; and "New Zealand Birds", by W. R. B. Oliver, ed. 2, 1955.

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 Bustamente y Guerra 1793, Lieutenant Hanson 1793.

The European discovery of many of the islands of the Cook group was made by Captain Cook n 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 1789 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, just one week before Captain William Hobson arrived at the Bay of Islands as Governor to proclaim British sovereignty (see page 19).

These settlers were brought out from England by the New Zealand Company, whose moving spirit was Edward Gibbon Wakefield.

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 1842 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.

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 regime.

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 1957.

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, stabilisation 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 United Nations activities generally and in particular emergencies, such as army and navy service in Korea, Malaya, and elsewhere; 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 farming 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 resume 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 in 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 Superintendent. (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 degree of self-government became more complete. In recognition of this and of a nascent sense of nationality, New Zealand was given the title of Dominion in lieu of Colony, the new title taking effect on 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 to Australia or New Zealand. In other words, its operation in the latter self-governing members of the Commonwealth was declared to require 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 1949 they became 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 the 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 the General Assembly which now consists of the Governor-General and the House of Representatives, the former Legislative Council having been abolished since the close of 1950.

The powers of Parliament to make laws are legally 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.

Although they do not limit the legal powers of Parliament as stated above the provisions of the Electoral Act 1956 creating reserved sections in that Act are of great constitutional significance. The Act provides that certain of its sections may not be repealed except by a 75 per cent majority of the House of Representatives or following a referendum. These sections are those relating to—

(a) The constitution and order of reference of the Representation Commission; (b) The number of European electoral districts and the basing of their boundaries on the total population; (c) The fixing of the tolerance within which the Commission must work at 5 per cent; (d) The age of voting; (e) The secret ballot; (f) The duration of Parliament.

This innovation is not legally effective in the sense that it does not prevent a subsequent Parliament from repealing it, since one Parliament cannot bind its successors. It should not be thought, however, that the new provision is a mere gesture. It records the unanimous agreement of both parties represented in Parliament that certain provisions have a fundamental character in the system of Government and should not be altered at the whim of a bare majority. Considered in this light the provision creating reserved sections introduces something in the nature of a formal convention which could not constitutionally be ignored.

While the law-making function is the prerogative of the members of Parliament, it must be remembered that, as in most democracies, laws 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.

Meeting of Parliament.—Parliament is summoned, prorogued, or dissolved by Proclamation issued by the Governor-General. A session is that period between the summoning of Parliament and its prorogation. Its length varies, but it usually occupies the months from June to November. When Parliament is prorogued all the business on hand lapses, and if this is to be proceeded with in the next session it must be re-introduced.

The course of a session may be interrupted by an adjournment.

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 makes Ministerial appointments from elected members of his party. 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, which govern its procedure and which arc administered by Mr Speaker in the exercise of his control of the House. Mr Speaker's rulings on interpretation of the Standing Orders are followed in a similar manner to judicial decisions in the ordinary courts of law. The main means by which Parliament does its work is through the system of debate and Committees. 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. Twenty members, inclusive of the Speaker, constitute a quorum.

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 are designed for the particular interest or benefit of a person or body of persons, whether incorporated or not, 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 it is given a second reading as a result of a debate on its general merits or principles. It may then be referred to one of the Select Committees, for consideration in the closest detail, before being considered by the whole House sitting in Committee. During these stages members have opportunities to suggest amendments which may be incorporated in the Bill if the majority so decide. The Bill is then reported to the House, and later read a third time, and passed; debate rarely occurs at these stages. The final stage is to send the Bill to the Governor-General for the Royal Assent and, unless provision is made for commencement on another date, it then becomes law. 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. The three-year limit was re-enacted in the Electoral Act 1956, this being one of the reserved provisions referred to on page 21.

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. Since 1867 there have been four Maori representatives, and provision for this number was retained in the Electoral Act 1956. In 1952 the boundaries of the Maori electoral districts, which had remained unaltered since 1867, were changed by Proclamation so as to give a greater degree of equality of population among the four districts (in effect the Southern Maori Electoral District now includes a considerable area of the North Island).

Qualifications of Members.—Under the Electoral Act 1956 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 £200 is payable, directly or indirectly (but not as a member of a registered company or incorporated body), in any one financial year. Although women have had the vote since 1893, they were not eligible as Parliamentary candidates until the passing of the Women's Parliamentary Rights Act 1919. Prior to 1936 a public servant was prohibited from being elected, but this prohibition was removed by the Political Disabilities Removal Act 1936. The present law is that if a public servant is elected to Parliament he vacates his office forthwith and he cannot resume employment in the Public Service within twelve months of ceasing to be a member of Parliament unless he had previously been a public servant for at least five years.

Salaries, etc.—In accordance with the recommendations contained in the report (issued in 1955) of the Royal Commission upon parliamentary salaries and allowances, the Prime Minister's salary, as from 1 August 1955, was increased to £3,750 with a tax-free allowance of £1,500 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 £2,500 with a tax-free expense allowance of £550, and that of each Minister without portfolio £2,000, with £450 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 £715. 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 £1,500, with the same house provision or allowances, and travel allowance while on official business, as for Ministers. An expense allowance of £400 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 1955 the honorarium paid to members of the House of Representatives has been increased to £1,100 per annum. They are also paid a basic allowance at the rate of £275 per annum for expenses incurred in connection with parliamentary duties and a sessional allowance of £165 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 £82 10s. and £165 respectively are paid to members representing such electorates, subject to the classification of electorates by the Representation Commission into the five classes of (a) urban electorates in or near Wellington or Lower Hutt, (aa) substantially urban (where an allowance of £25 per annum is made to meet extra travel costs), (b) urban electorates other than Wellington electorates, (c) partly urban and partly rural electorates, and (d) predominantly rural electorates. A special additional allowance of £100 per annum is paid to the member for Southern Maori and a special additional allowance of £50 per annum to the members representing the other three Maori electorates (refer Parliamentary Salaries and Allowances Order 1955). 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 £5 a month, etc. The Civil List Amendment Act 1955 provides that a Royal Commission shall be appointed to fix parliamentary salaries and allowances within three months after the date of every General Election.

Part V of the Superannuation Act 1947, as amended by the Superannuation Amendment Act 1955, and consolidated in 1956, introduced a contributory superannuation scheme for members of the House of Representatives. The scheme now provides for a minimum retiring allowance of £350 per annum for a member with service of nine years (or eight years if a member has served throughout the duration of not less than three Houses of Representatives), the allowance increasing by £50 per annum for every year's service in excess of that period until a maximum allowance of £700 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 £85 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.

Both the 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 £1,950 per annum, in addition to which he receives an expense allowance of £600 and residential quarters in Parliament House. The honorarium of the Chairman of Committees is £1,575, and an allowance of £500 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 £1,950 with an expense allowance of £490. In addition, a secretary and typist are provided by the State and an allowance of £215 is payable for travel outside his electorate. His official stamp allowance is £12 10s. per month.

ADMINISTRATION AND EXECUTIVE RESPONSIBILITY.—After the election of anew 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 and deliberation on proposed policy, they, with the exclusion of the Governor-General and of those Ministers without portfolio, 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.

A point of interest is that the Civil List Act 1950, in section 6, provided that no person shall be appointed a Minister or a member of the Executive Council unless he is a member of Parliament and that a person who ceases to be a member of Parliament cannot continue to be a Minister or a member of the Executive Council for more than twenty-one days. This gave statutory recognition for the first time to what had long been the convention.

At present (January 1958) 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 and its amendments His Excellency the Governor-General receives a salary of £6,500 per annum, and 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 close relationship between the Cabinet, in itself not a legal entity, and the Executive Council, a statutory body. While the Executive Council consists of all Ministers, and is presided over by the Governor-General, membership of Cabinet may or may not extend to the entire Ministry; at present Ministers without portfolio are not members of Cabinet nor, of course, are its proceedings attended by the Governor-General. Where certain Cabinet decisions have to bear the imprint of legal form to become effective, the juridical acts are taken by others—the Crown, the Executive Council, a Minister of the Crown, a Statutory Commission, and the like. The preliminary review of proposed policy or of current administrative developments which takes 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, general agreement can be reached 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 to 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 or 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 directions 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, 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.

Further instances of this principle are shown by the National Airways Corporation, which, although owned by the State, is administratively self-contained, and by the Tourist Hotel Corporation. In certain other avenues the type of administration is in between the normal departmental form and that evident in the corporation type; of such is the National Roads Board, which, though determining policy to a large degree, yet makes 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 Control 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.—The law on these matters is now contained in the Electoral Act 1956. 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 Government Statistician is required to supply population figures to the Surveyor-General as soon as possible after the census. The population used as the basis in obtaining the quota for each European electoral district is defined in section 2 (1) of the Electoral Act 1956.

The term "European population" means total population with the following exceptions:

  1. Maoris:

  2. Persons residing on board ship, whether as passengers or members of the crew or otherwise:

  3. Persons residing temporarily as guests in any licensed hotel:

  4. Persons residing temporarily in any naval, military, or air force camp, station, or establishment:

  5. Persons residing as patients or inmates in any hospital:

  6. Persons in respect of whom reception orders under the Mental Health Act 1911 are in force:

  7. Persons detained pursuant to convictions in any penal institution.

After the population is supplied by the Government Statistician it is then the responsibility of the Representation Commission to define new electoral districts for Europeans. The Commission is constituted by virtue of section 15 of the Electoral Act 1956 and comprises seven members. Four of these, the Surveyor-General, the Government Statistician, the Chief Electoral Officer, and the Director-General of the Post and Telegraph Department, are official members. Two are unofficial members, being persons nominated by the House of Representatives, one nominated to represent the Government, and one to represent the Opposition. The seventh member is appointed, on the nomination of the official and unofficial members of the Commission or a majority of them to be the Chairman of the Commission. The Chairman and unofficial members cease to be members on the date on which the first periodical census is taken after the date of their appointment.

The Commission determines the number of electoral districts in the North and in the South Islands so that the number of districts in the North Island bears, as nearly as possible, the same proportion to the number of districts in the South Island as the European population of the North Island bears to the European population of the South Island. Once this is done the next step is to determine the population quota for electoral districts in each Island by dividing the European population of each Island by the number of districts in that Island. In applying the quota, provision exists for an allowance by way of addition or subtraction of 5 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.

When the boundaries have been provisionally determined, maps are prepared illustrating the proposed electoral districts, and descriptions of each electoral district are published in the New Zealand Gazette. A time limit of one month is given thereafter in which objections to the proposed boundaries may be lodged. These objections arc then considered by the Representation Commission and a final decision reached on boundaries which then become the new electoral districts.

In addition to determining new European electoral districts the Representation Commission is also charged with the responsibility of classifying them for the purpose of allowances as provided by section 11 of the Parliamentary Salaries and Allowances Order 1955. Under this section provision is made for an allowance based on the size, topography, and transport facilities of the electorate, the nature of its roads, the distribution of its population, and all other considerations that the Commission deems relevant.

The 1950 amendment Act 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 provided 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 main 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 main 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 provided for the noting at elections and licensing polls by service-men 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 21 years of age or over (with certain obvious has exceptions) had the right to exercise one vote and one vote only in the election of members of the House of Representatives. The present law relating to electors and elections is contained in the Electoral Act 1956, and a note of some of the more important provisions of this Act is given below.

Qualification for Registration as Elector.—To be qualified for registration as a parliamentary elector in New Zealand a person must have attained the age of 21 years and must (a) be a British subject or Irish citizen, (b) be ordinarily resident in New Zealand, (c) at some period have resided continuously in New Zealand for at least a year, and (d) except in special cases have resided continuously for three years or more in the electoral district in respect of which application for registration is made, and not have subsequently resided for three months or more in any other electoral district.

The Act defines what is meant by the term "ordinarily resident". To be ordinarily resident in New Zealand, a person must be or have been actually resident in New Zealand with the intention of residing there indefinitely. If he is absent from New Zealand he must have had, ever since he left New Zealand, an intention to return to reside there indefinitely, and (except in the case of a public servant or the wife or husband of a public servant) must not have been absent from New Zealand for more than three years.

This new requirement that an elector must be ordinarily resident in New Zealand is an important departure from the previous position. Prior to 1957 any British subject who had been in New Zealand for a year was entitled to register and to vote, even though his residence might have been of a temporary nature and although he did not associate himself with the New Zealand community. Conversely, a New Zealander absent from New Zealand for more than a year lost the right to vote. Broadly speaking, the new qualifications restrict the right to vote to permanent residents, the test laid down being similar to the legal concept of domicile.

The following persons are disqualified from registration as electors: (a) Those in respect of whom reception orders under the Mental Health Act 1911 are in force, (6) those detained pursuant to a conviction in any penal institution, and (c) those whose names are on the Corrupt Practices List for any district. These qualifications and disqualifications apply alike to Maoris and Europeans.

Registration of Electors.—A system of compulsory registration of electors has been in operation in respect of Europeans since 1924 and was introduced in respect of Maoris in 1956. Every person qualified to be registered as an elector of any district must, if he is in New Zealand, apply for registration within one month after the date on which he first becomes qualified to be registered as an elector. He must also apply for registration within three months after the issue of every Proclamation proclaiming the names and boundaries of electoral districts or within such later period as may be provided by Order in Council. Qualified electors who are outside New Zealand may apply for registration if they wish.

A European is not entitled to be registered as an elector of a Maori district and a Maori (other than a half-caste) is not entitled to be registered as an elector of a European district. A half-caste Maori may choose to be registered either for a Maori or European district, and special rules are laid down to govern a change from one to the other.

Voting at Elections.—Voting at parliamentary elections is by secret ballot, a method which was first introduced in New Zealand in 1870. Recognition of the fundamental character which the secret ballot has attained in New Zealand was given in the Electoral Act 1956, which included the section providing for this method of voting among the reserved sections which may be repealed only by a 75 per cent majority vote or following a referendum.

In general, only those persons whose names are lawfully on the main and supplementary rolls of electors compiled prior to an election may vote at that election. The following classes of persons whose names are not on the roll are however entitled to vote—

  1. Those who have applied for registration between writ day and polling day and have satisfied the Registrar that they became qualified for registration not earlier than one month before writ day;

  2. Those who are qualified for registration and were at the last preceding election registered in that district or, where boundary changes have intervened, in some other district in which their then residence within the first-mentioned district was then situated;

  3. Those who are qualified for registration and have since the last election and before 6 p.m. on writ day applied for registration in that district, or where boundary changes have intervened, in some other district in which their then residence within the first-mentioned district was then situated.

  4. Servicemen outside New Zealand, if they are or will be twenty-one years of age or more on polling day and their place of residence before they left New Zealand is within the district.

Special Voters.—A vote is normally cast by the elector at a polling booth within his district. An elector may, however, vote as a "special voter", either at a polling booth outside his district or by post, in the following cases:

  1. If his name does not appear on the main roll, or any supplementary roll for the district or has been wrongly deleted from the roll;

  2. If he will be outside New Zealand on polling day;

  3. If he is or will be absent from the district on polling day;

  4. If he will not be within two miles by the nearest practicable route of any polling place in the district during the hours of polling;

  5. If he will be travelling during the hours of polling under conditions which will preclude him from voting at a polling place in the district;

  6. If he is ill or infirm;

  7. If, in the case of a woman, she is precluded from attending at a polling place by reason of approaching or recent maternity;

  8. If he is a lighthouse keeper or a member of a lighthouse keeper's staff, or if she is the wife of a lighthouse keeper or of one of his staff;

  9. If he has a religious objection to voting on the day of the week on which polling day falls;

  10. If he satisfies the Returning Officer or Deputy Returning Officer that on any other ground he cannot vote at a polling place in the district without hardship or undue inconvenience.

These latter conditions replace the former classes of absentee, postal, and declaration voters, including servicemen outside New Zealand.

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

Chapter 3. SECTION 3—POPULATION

GENERAL REVIEW.—A population census was taken as for the night of Tuesday, 17 April 1956, in New Zealand, while censuses of the Island Territories were conducted by the Department of Island Territories for the night of Tuesday, 25 September 1956.

The minor islands (see page 2), other than the Kermadec Islands and Campbell Island, were uninhabited at the date of the census. The Ross Dependency, situated in Antarctic regions and normally uninhabited, had a population of 166 males at the 1956 census date, and 223 males at 1 April 1957, these men being members of scientific expeditions.

The 1956 census population of geographic New Zealand (i.e., excluding Island Territories) was 2,174,062, inclusive of 137,151 Maoris.

For the Island Territories 1956 census figures were: Cook Islands and Niue Island, 21,387; Tokelau Islands, 1,619; Trust Territory of Western Samoa, 97,327. The total census population of New Zealand and Island and Trust Territories was 2,294,395. Armed Forces personnel overseas at the time of the census and not included in the population numbered 2,162 (Europeans 1,972, Maoris 190).

The following table gives the latest available complete summary of New Zealand population.

DateMalesFemalesTotal

* Includes population of the inhabited minor islands—i.e., Kermadec Islands, 9 (males); and Campbell Island, 14 (males).

† Members of New Zealand Antarctic expedition.

New Zealand—
    (a) Exclusive of Island Territories—
             Europeans30 June 19571,047,5381,038,5592,086,097*
            Maoris30 June 195773,15970,181143,340
                Totals, New Zealand (excluding Island Territories) 1,120,6971,108,7402,229,437*
    (b) Island Territories—
            Tokelau Islands30 June 19577429041,646
            Cook Islands31 March 19578,7528.05816,810
            Niue Island30 June 19572,2912,4384,729
                Totals, New Zealand (including Island Territories) 1,132,4821,120,1402,252,622
Trust Territory of Western Samoa30 June 195751,00748,59199,598
Ross Dependency1 April 1957223 223

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 since 1901 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 19361,573,810165,67111.77113
September 1945*1,702,298128,4888.160.83
September 19451,747,679173,86911.051.ll
April 1951*1,939,472237,17413.932.37
April 19511,941,366193,68711.081.91
April 1956*2,174,062234,59012.102.31
April 19562,176,224234,85812.102.31

In no fewer than five of the ten censuses covered by the above table the figures are disturbed by the absence overseas of Armed Forces. 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; 1951, 1,894; and 1956, 2,162.

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
194733,7161.89
194833,7101.85
194938,3632.07
195036,6781.94
195143,3922.25
195253,9132.74
195350,3842.49
195442,8822.07
195546,1162.18
195645,2802.09
195754,1992.45
                Total478,633..

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 was sharply accelerated in 1954, but there has since been a recovery to a fairly stable position.

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 1951 census, revisions were made to statistics of total population for earlier years, but it was not possible to make corresponding adjustments to migration or natural increase figures. It was not considered necessary to revise total populations between 1951 and 1956 following the 1956 census. A further discrepancy may be due to the exclusion from the migration statistics of movements of members of the Armed Forces.

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 below unity a falling population.

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

YearGross RateNet Rate
19521.7171.652
19531.6961.632
19541.7571.691
19551.8171.749
19561.8511.782

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 43 3/4 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 after the 1956 census 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 December (Including Maoris

YearEstimated Population
19582,269
19592,313
19602,358
19612,403
19622,449
19632,496
19642,544
19652,592
19662,641
19672,691
19682,741
19692,792
19702,844
19712,897
19722,951
19733,005
19743,060
19753,116
19763,173
19773,231
19783,289
19793,348
19803,409
19813,470
19823,532
19833,595
19843,659
19853,724
19863,790
19873,857
19883,925
19893,994
19904,064
19914,135
19924,207
19934,280
19944,354
19954,429
19964,506
19974,584
19984,663
19994,743
2,0004,824

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

* Including 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 Zealand1951-562.31
England and Wales1931-510.46
Scotland1931-510.26
Northern Ireland1937-510.48
Republic of Ireland1951-56-0.45
Austria1939-510.33
Denmark1945-501.04
Finland1940-500.82
France1946-540.92
Hungary1941-49-0.15
Netherlands1930-471.18
Portugal1940-500.89
Sweden1945-501.09
Switzerland1941-501.12
Union of South Africa 1946-512.18
India 1941-511.26
Pakistan1941-510.80
Ceylon1931-461.51
Australia§1947-542.46
Canada*1951-562.79
United States of America1940-501.36

It is seen that Canada and Australia have the highest annual rates of increase. Both rates have increased substantially since the previous intercensal periods, the main factor in this being the increase in immigration.

The third highest rate of increase is that shown for New Zealand, 2.31 per cent. The Union of South Africa (2.18 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—Hungary and the Republic of Ireland actually show a decrease—with the United Kingdom countries recording very low figures.

SEX PROPORTIONS.—The figures for the census of 17 April 1956 show that males outnumber females by 9,333 in the European population, 3,027 in the Maori population, and 12,360 in the total population. Females per 1,000 males were: European, 991; Maori, 957; 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. Females per 1,000 males at the last five censuses have been—

1926957
1936970
19451,044
1945 (including Armed Forces abroad)991
1951991
1951 (including Armed Forces abroad)989
1956989
1956 (including Armed Forces abroad)987

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 1956 and give the number of females per 1,000 males.

In the aggregate of cities and boroughs the ratio was 1,060, in town districts, 962; and in counties, 887. For the provincial districts ratios were—

Canterbury1,021
Hawke's Bay1,014
Otago (Otago portion)1,009
Wellington990
Auckland981
Taranaki974
Nelson970
Westland940
Marlborough937
Otago (Southland portion)935

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, ten had ratios higher than the average for all cities and boroughs, but five were below the average, and of these Hutt, fifth largest urban area, even had an excess of males.

Timaru1,106
Napier1,093
Hastings1,085
New Plymouth1,084
Dunedin1,080
Palmerston North1,077
Nelson1,075
Christchurch1,072
Gisborne1,067
Wanganui1,065
Invercargill1,052
Auckland1,045
Hamilton1,041
Wellington1,039
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 details 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.

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 division into 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. Discrepancies have in fact been so slight that no revisions of the intercensal figures are contemplated.

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
MalesFemalesTotalNumericalPer Cent
Years Ended 31 March
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
19551,072,0901,058,8372,130,92743,1872.072,105,767
19561,094,2831,081,0902,175,37344,4462.092,150,290
19571,116,6861,104,4832,221,16945,7962.112,194,108
Years Ended 31 December
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
19541,065,4901,052,9442,118,43443,6532.102,094,910
19551,089,0701,075,6642,164,73446,3002.192,138,946
19561,111,1761,097,9562,209,13244,3982.052,182,833

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

Population (Including Maoris) at End of YearIncrease During YearMean Population for Year
MalesFemalesTotalNumericalPer Cent
Years Ended 31 March
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
19551,004,530994,4321,998,96238,6061.971,976,156
19561,024,4271,014,3672,038,79439,8321.992,016,067
19571,044,1341,035,0012,079,13540,3411.982,054,687
Years Ended 31 December
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
1954998,544989,0841,987,62838,9932.001,966,454
19551,019,7921,009,5732,029,36541,7372.102,005,871
19561,039,3031,029,2062,068,50939,1441.932,044,752

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, 149,793 persons from overseas arrived in New Zealand during the year ended 31 March 1957, which, compared with 1955-56, shows an increase of 15,413. During the same period 138,938 persons departed. This figure, compared with the corresponding one for 1955-56, shows an increase of 13,227.

In addition to the figures just quoted there were also 20,718 “through passengers” and “tourists on cruising liners”, who called in at New Zealand in the course of their voyage.

The excess of total arrivals over total departures for 1956-57 was 10,855, compared with an excess of 8,669 during 1955-56.

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
MalesFemalesTotalMalesFemalesTotal
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
195532,49629,11461,61028,59325,98754,5807,030
195634,78931,68366,47230,33628,04458,3808,092
195740,83635,21976,05534,51830,04564,56311,492

In 1953-54 the number of arrivals decreased, for the first time since the last war, by 4,395 from the preceding year. A further decrease of 235 occurred in 1954-55. However, this downward trend was halted in 1955-56 when arrivals increased by 4,862 over the 1954-55 figure. A further substantial increase of 9,583 was recorded by the figures for 1956-57, and this was attributable, in part, to the fact that the Olympic Games held in Australia in November 1956 stimulated traffic both to and from New Zealand.

Departures from New Zealand continued to record an increase over the previous year as the above table shows, the increase for 1956-57 being 6,183.

For the year ended 31 March 1957 arrivals showed an excess over departures of 11,492, compared with 8,092 the previous year.

In the ten-year period ended 31 March 1957 the net gain from passenger migration was 105,090, while if movement of crews is taken into account this is increased to 106,195.

Classes of Arrivals and Departures.—The following table gives an analysis of all classes of arrivals during the last five years, including “ through passengers”, tourists on cruising liners, 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.

1952-531953-541954-551955-561956-57
Immigrants intending permanent residence29,00524,89619,45320,87823,030
New Zealand residents returning18,57017,44320,21121,91525,046
Visitors—     
    Tourists13,30913,85815,82716,88419,368
    On business2,5022,8343,1643,1543,712
    Theatrical, entertaining, etc.785686629696879
    Educational purposes199128152191227
    Others, officials, etc.1,0351,1981,3861,9432,941
    In transit835802788811852
Through passengers and tourists on cruising liners5,6457,44811,0058,26420,718
Crews55,23155,80363,67967,90873,738
                Totals127,116125,096136,294142,644170,511

The succeeding table gives a similar analysis of departures.

1952-531953-541954-551955-561956-57
New Zealand residents departing—
    Permanently6,2717,0489,0129,4369,220
    Temporarily18,31518,27721,96523,28726,162
Temporary residents departing19,62221,07923,60325,65729,181
Through passengers and tourists on cruising liners5,6457,44811,0058,26420,718
Crews56,92956,19763,33367,33174,375
                Totals106,782110,049128,918133,975159,656

Ages.—The following table gives the age-distribution of immigrants and emigrants for the twelve months ended 31 March 1957.

Age, in YearsPermanent ArrivalsPermanent DeparturesExcess of Arrivals Over Departures
MalesFemalesTotalsMalesFemalesTotals
0-142,1632,1024,2659698821,8512,414
15-242,9872,4945,4811,0471,2092,2563,225
25-343,5593,0556,6141,3561,2892,6453,969
35-441,6451,4523,0975445911,1351,962
45-591,0071,2672,2743854017861,488
60 and over4628081,270207332539731
Not specified9202935821
                Totals11,83211,19823,0304,5114,7099,22013,810

Of the permanent arrivals during the year 1956-57, 19 per cent were under fifteen years of age, 42 per cent under twenty-five years, 71 per cent under thirty-five years, and 85 per cent under forty-five years. Permanent departures represented a similar age distribution, with percentages of 20, 45, 73, and 86 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.

Country of BirthImmigrants Intending Permanent ResidenceNew Zealand Residents Departing Permanently
1954-551955-561956-571954-551955-561956-57
* Hungarian refugees totalled 617.
Commonwealth Countries
England and Wales7,5538,8818,8612,5722,2872,058
Scotland1,6881,8341,699372414386
Northern Ireland311401367986274
United Kingdom (undefined)261238359495288
India29027724291115100
Canada3293472095979144
Australia1,9941,7311,911845804764
Cook Islands and Niue425383504303348
Fiji179178221524954
New Zealand3,0963,2303,7513,9024,5924,558
Other Commonwealth countries in the Pacific211255315726983
Other countries within the Commonwealth308360455878788
                Totals, Commonwealth countries16,64318,11518,8948,2298,6438,445
Other Countries
Republic of Ireland396465463155159127
Denmark84105123201622
Germany8985155292525
Netherlands1,1901,0691,226168208182
Switzerland5989110331728
Austria245917015237
Hungary1011*636867
Yugoslavia51498711147
Indonesia425010081213
China125138170262211
United States of America297278315131142192
Others426355572177149151
Totals, other countries2,7932,7534,127781793772
At sea212 2  
Not specified13972 1 
                Grand totals19,45320,87823,0309,0129,4369,220

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 of a number of single non-British men and women between the ages of twenty and thirty-five years. Dutch, Danish, Swiss, Austrian, and German nationals are being selected.

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

 BritishDutchAustrianGermanTotal
Year ended 31 March 1947158   158
Year ended 31 March 19481,140   1,140
Year ended 31 March 19491,527   1,527
Year ended 31 March 19502,532   2,532
Year ended 31 March 19512,87355  2,928
Year ended 31 March 19523,8491,100  4,949
Year ended 31 March 19534,8722,709  7,581
Year ended 31 March 19545,611688  6,299
Year ended 31 March 19553,880452  4,332
Year ended 31 March 19564,732391  5,123
Year ended 31 March 19574,172252139304,593

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.

HUNGARIAN REFUGEES.—Following the uprisings in Hungary, the Government agreed to accept a quota of 1,000 Hungarian refugees. The first draft arrived by air in December 1956 and a total of 617 had arrived by 31 March 1957.

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, Auckland, and Christchurch. United Kingdom, Canadian, Australian, and Indian 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, Tokyo, Singapore, and Bangkok, 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 recognised travel document. 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 the Cook Islands and the Tokelau 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 as temporary visitors 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 in addition 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, unless in possession of permits issued by the Department of Labour. (Note.—A person is not deemed to be of British birth 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 basic nationality law is the British Nationality and New Zealand Citizenship Act 1948. This came into force on 1 January 1949 and was enacted following a conference of nationality experts of Commonwealth countries in February 1947 to discuss the basis of new nationality legislation. The scheme of the new legislation accepted by Commonwealth Governments is the “common status” of all British subjects, namely, that in each Commonwealth country all persons are recognised 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: (a) those born in New Zealand; (b) those naturalized in New Zealand; (c) those ordinarily resident in New Zealand throughout the whole of the year 1948; (d) those whose fathers were British subjects born or naturalized in New Zealand; and (e) women married before the commencement of the Act to men who become citizens under the various provisions of the Act.

Since the commencement of the Act, New Zealand citizenship may be acquired in the following ways: (a) by birth in New Zealand; (b) by descent; (c) by registration; and (d) 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.

Adults acquiring New Zealand citizenship by naturalization or registration, and children over sixteen years of age acquiring it by registration, are required to take the oath of allegiance. Recognising the importance both to this country and to the new settlers themselves of their acquisition of New Zealand citizenship, the Government decided that ceremonies should be held at which applicants should, in an atmosphere of dignity and solemnity, take the oath of allegiance to Her Majesty and be presented with their certificates of naturalization or registration as New Zealand citizens. Local authorities agreed to arrange such ceremonies. The first was presided over by the Mayor of Wellington on 24 May 1955. During the 1955-56 year there were thirteen ceremonies held, and twenty-seven in the 1956-57 year.

The complete numbers of naturalizations, registrations, etc., during the year ended 31 March 1957 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  156832927
Northern Ireland  4212
Malta  2322
Union of South Africa  3275
Republic of India1 3627199
Pakistan  2111
Hong Kong  1211
Canada   11 
Australia  7721
Western Samoa31 311
Fiji  9454
Tonga1   32
Republic of Ireland  44  
Norway4     
Sweden1  1  
Denmark91 564
Finland2     
Russia (U.S.S.R.)4217 20 2
Estonia45 7 1
Latvia287 2183
Lithuania141 1122
Poland391012712
Germany462262219
Netherlands1753 531820
Belgium21    
France31 1 2
Switzerland7  2  
Italy42 4  
Czechoslovakia343 1531
Austria6  754
Hungary272 14 1
Yugoslavia34111623
Rumania21  1846
Bulgaria31 2  
Greece6  311
Egypt3     
Turkey12  2  
Lebanon21 1  
Burma  433 
Indonesia34  1397
China293 62 
Japan   4  
United States of America1 12  
Other countries332413
                Totals55869235430156136

Of the certificates of registration granted to adult males, 232 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 111 to British subjects who acquired New Zealand citizenship by virtue of one year's residence in the country immediately preceding the date of application, 44 to British wives of New Zealand citizens, and 275 to alien women married to New Zealand citizens by birth or naturalization.

Certificates of registration granted to minor children were 275 (149 males, 126 females) to children of New Zealand citizens by naturalization or registration, and 17 (7 males, 10 females) who lodged applications independently.

REGISTRATION OF ALIENS.—The registration of aliens in New Zealand is provided for by the Aliens Act 1948, which was administered by the Police Department until 1957 when it was taken over by the Department of Justice. This Act repealed earlier enactments relating to aliens.

The number of aliens on the New Zealand register at 1 April 1957 was 26,381, comprising 16,832 males and 9,549 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 1956 and 1 April 1957.

Country of Nationality1 April 19561 April 1957
MalesFemalesTotalMalesFemalesTotal
Norway1273716415870228
Sweden78321108137118
Denmark406226632436252688
Finland58431016345108
Russia (U.S.S.R.)1237720010863171
Estonia67921596774141
Latvia215221436183198381
Lithuania78761546465129
Poland9916881,6799236251,548
Germany169222391184260444
Netherlands7,9964,05512,0518,0614,43212,493
Belgium331649412162
France77761539494188
Switzerland331174505353186539
Italy260177437282186468
Czechoslovakia2138529818666252
Austria9166127730090390
Hungary14387230474229703
Yugoslavia7053601,0657013881,089
Albania31 3130 30
Rumania472774422567
Bulgaria1451115613311144
Greece6374701,1076374731,110
Lebanon191029161228
Indonesia17840343
China2,3441,0643,4082,3431,1413,484
Japan3202324244
United States of America6753169916633431,006
Other countries67411088746133
Stateless82761588072152
                Totals16,3378,84725,18416,8329,54926,381

The number of aliens on the register at 1 April 1957 shows an increase of 1,197 as compared with twelve months earlier. Substantial increases during the year were shown by Hungary (473) and the Netherlands (442). Other increases of note recorded were for Austria (113), China (76), Norway (64), Denmark (56), and Germany (53). Decreases were shown by several countries, the largest being Poland (131).

Tables showing for aliens registered at 1 April 1956, ages, occupational groups, and geographical location by countries of nationality, will be found on pages 44-47 of the 1957 Year-Book.

DISTRIBUTION OF POPULATION.—Detailed population statistics are compiled for each census. Preliminary figures for the 1956 census for provincial districts, urban areas, counties, cities, boroughs, town districts, extra-county islands, and shipping were published in “Interim Returns of Population and Dwellings, 1956 Census". Final figures for these have been published in Census, Vol. 1, “Increase and Location of Population” and in the “Report on Population, Migration, and Buildings, 1955-56". In addition to these, Vol. I shows figures for subdivisions of counties 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 IslandTotalNorth 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
19561,365,470671,4412,036,91167.0432.96

The natural increase of European population (i.e., excess of births over deaths) for the North Island during the 1951-56 intercensal period was 103,999, and the total net increase 163,113. For the South Island the natural increase was 45,832, and the total net increase 50,002. The population of the North Island has increased at a greater proportionate rate than the South Island between the 1951 and 1956 censuses. Inclusive of Maoris, the North Island increase was 183,495, or 13.97 per cent, and the South Island increase 51,095, or 8.17 per cent.

At the 1956 census the North Island population was 1,497,364, inclusive of 131,894 Maoris; and the South Island population 676,698, inclusive of 5,257 Maoris.

At 31 March 1957, the North Island population was 1,532,109, inclusive of 136,717 Maoris, and the South Island population 689,060, inclusive of 5,317 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 1957
Auckland25,420897,209
Hawke's Bay4,260104,400
Taranaki3,75095,600
Wellington10,870434,900
Marlborough4,22026,500
Nelson10,87071,800
Westland4,88018,700
Provincial DistrictArea (Square Miles)Estimated Population 1 April 1957
Canterbury13,94014,314,760
Otago—  
    Otago portion14,070169,700
    Southland portion11,46087,600
New Zealand103,7402,221,169

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 1956 somewhat over two-fifths (43.3 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 (57.7 per cent) in all the 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. This drop in the ratio of rural population has continued in the period 1951-56.

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
    1956704,5361,327,9964,37934.5965.200.21
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
    1956809,2671,360,3474,44837.2262.570.21

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
1926195619261956
Numbers
Urban : towns of—
      1,000- 2,500104,36065,931102,20171,249
      2,500- 5,00086,408158,60585,430155,068
      5,000-10,00082,662133,60082,144116,592
    10,000-25,000186,545297,699185,580289,271
    25,000 or over338,213701,948337,221690,231
            Totals, urban798,1881,357,783792,5761,322,411
Rural602,813816,279544,808714,500
            Totals, New Zealand1,401,0012,174,0621,337,3842,036,911
Percentages
Urban : towns of—
      1,000-2,5007.453.037.643.50
      2,500-5,0006.177.296.397.61
      5,000-10,0005.906.156.145.72
    10,000-25,00013.3113.6913.8814.20
    25,000 or over24.1432.2925.2133.89
            Totals, urban56.9762.4559.2664.92
Rural43.0337.5540.7435.08
            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 population categories.

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, they include neighbouring boroughs, 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 1951-56
1936194519511956NumericalPercentage
Auckland226,366286,767329,123381,06351,94015.78
Hamilton20,09627,31933,13740,6467,50922.66
Gisborne15,87816,99519,77422,6222,84814.40
Napier19,17020,74124,53827,5072,96912.10
Hastings17,92020,30623,79727,7873,99016.77
New Plymouth18,59721,05724,92328,2923,36913.52
Wanganui25,75026,26229,71732,1002,3838.02
Palmerston North24,37227,82032,90837,7754,86714.79
Hutt37,29555,78674,87886,05311,17514.92
Wellington122,062132,305133,414138,2974,8833.66
Nelson13,49316,52320,49722,5032,0069.79
Christchurch133,515151,068174,221193,36719,14610.99
Timaru18,77119,67222,85124,6941,8438.07
Dunedin85,60787,58795,45799,3703,9134.10
Invercargill25,91227,75531,61335,1073,49411.55
                Totals804,804937,9631,070,8481,197,183126,33511.80

In the twenty years covered by the table all urban areas have consistently recorded increases in population. In the last five years Auckland has had the greatest numerical growth, while Hamilton and Hastings have had the highest proportionate increases.

Wellington Urban Area's increase of nearly 4 per cent between 1951 and 1956, compared with under 1 per cent in the previous intercensal period, resulted mainly from housing development in the Titahi Bay and Porirua areas. The rate of growth of Hutt Urban Area slowed down in the last intercensal period. For Hutt and Wellington Urban Areas combined the increase rate was 7.71 per cent, 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 years. In Auckland the number of Maoris increased from 1,863 in 1936 to 11,361 in 1956. In the fifteen urban areas there were 5,371 Maoris in 1936 as compared with 22,825 in 1956.

The next table contains the population (Maoris included) of the fifteen urban areas as estimated for 1 April 1957. 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 plus the urban portion of the adjoining county. At 1 April 1957 the five largest urban areas had a total population of 918,800, this being equivalent to 41.37 per cent of the New Zealand total. The total for all urban areas at the same date was 1,225,000, or 55.15 per cent, of the total population of New Zealand.

Urban AreaEstimated Population (Including Maoris)
Auckland
Auckland City138,400
    East Coast Bays Borough7,740
    Birkenhead Borough5,840
    Northcote Borough3,880
    Takapuna Borough19,150
    Devonport Borough11,650
    Henderson Borough2,750
    Glen Eden Borough4,350
    New Lynn Borough7,860
    Mount Albert Borough25,600
    Mount Eden Borough18,600
    Mount Wellington Borough13,050
    Newmarket Borough2,120
    Ellerslie Borough4,600
    One Tree Hill Borough12,950
    Mount Roskill Borough26,600
    Howick Borough4,090
    Onehunga Borough16,650
    Otahuhu Borough8,660
    Papatoetoe Borough11,600
    Manurewa Borough5,000
    Papakura Borough5.580
    Remainder of urban area34,080
                Total390,800
Hutt
Lower Hutt City50,800
    Upper Hutt Borough13,300
    Petone Borough10,350
    Eastbourne Borough2,720
    Remainder of urban area11,230
                Total88,400
Wellington
Wellington City122,400
    Tawa Flat Borough4,260
    Remainder of urban area13,340
                Total140,000
Christchurch
Christchurch City145,200
    Riccarton Borough7,920
    Lyttelton Borough3,600
    Heathcote County5,320
    Remainder of urban area37,160
                Total199,200
Dunedin
Dunedin City71,600
    Port Chalmers Borough3,030
    West Harbour Borough2,180
    St. Kilda Borough6,900
    Green Island Borough4,660
    Mosgiel Borough4,450
    Remainder of urban area7,580
                Total100,400
Hamilton42,100
Gisborne23,100
Napier28,200
Hastings28,500
New Plymouth28,900
Wanganui32,600
Palmerston North38,800
Nelson23,000
Timaru25,100
Invercargill35,900

Counties.—The following table gives the estimated population (including Maoris) of individual counties at 1 April 1957, 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 CountyEstimated Population (Including Maoris)Approximate Area, in Square Miles
North Island—
    Mangonui7,790958
    Whangaroa2,520240
    Hokianga7,320613
    Bay of Islands12,520823
    Whangarei14,5001,041
    Hobson6,800745
    Otamatea6,950421
    Rodney6,670477
    Waitemata34,600600
    Great Barrier Island290110
    Manukau22,000240
    Franklin18,290550
    Raglan12,250930
    Waikato17,240644
    Waipa18,400444
    Otorohanga7,970762
    Waitomo9,3901,301
    Taumarunui10,1001,851
    Coromandel2,810444
    Thames3,260414
    Hauraki Plains5,840233
    Ohinemuri4,430241
    Piako12,500444
    Matamata20,300994
    Tauranga19,500717
    Rotorua15,6501,040
    Taupo10,5503,040
    Whakatane15,7001,680
    Opotiki5,2101,326
    Matakaoa1,830295
    Waiapu6,260793
    Uawa1,720261
    Waikohu3,8001,018
    Cook9,110818
    Wairoa8,0601,385
    Hawke's Bay19,3501,670
    Waipawa4,010524
    Patangata3,590651
    Waipukurau1,270128
    Dannevirke4,870546
    Woodville1,850156
    Clifton2,810443
    Taranaki9,370229
    Inglewood3,330199
    Stratford6,270866
    Egmont6,420240
    Eltham3,650207
    Waimate West3,02083
    Hawera6,690191
    Patea4,060591
    Waimarino2,700829
    Waitotara3,540468
    Wanganui3,620460
    Rangitikei12,7501,730
    Kiwitea2,360359
    Pohangina1,300259
    Oroua4,690190
    Manawatu7,290265
    Kairanga5,920184
    Horowhenua9,390544
    Hutt22,000446
    Makara11,45099
    Pahiatua2,860286
    Akitio1,190321
    Eketahuna1,930318
    Mauriceville550115
    Castlepoint620222
    Masterton3,560586
    Wairarapa South3,110440
    Featherston3,830954
                    Totals547,65043,692
South Island—
    Sounds970457
    Marlborough9,1601,947
    Awatere1,7401,030
    Kaikoura3,29091
    Amuri3,0802,285
    Cheviot1,500327
    Golden Bay4,0401,011
    Waimea17,4501,537
    Buller4,6001,885
    Murchison1,4301,372
    Inangahua3,350942
    Grey4,9801,579
    Westland4,7104,410
    Waipara2,890937
    Kowai2,150157
    Ashley710309
    Rangiora3,71096
    Eyre1,630175
    Oxford1,650318
    Tawera750941
    Malvern3,660250
    Paparua14,700133
    Waimairi27,20043
    Heathcote5,32013
    Halswell1,65039
    Mount Herbert61066
    Akaroa1,960170
    Chatham Islands530372
    Wairewa910170
    Springs2,43092
    Ellesmere2,900231
    Selwyn1,680954
    Ashburton11,6002,460
    Geraldine5,430691
    Levels5,400263
    Mackenzie3,1602,739
    Waimate6,3901,383
    Waitaki9,4002,414
    Waihemo1,110338
    Waikouaiti4,110316
    Peninsula3,72040
    Taieri7,380901
    Bruce4,030520
    Clutha6,2101,043
    Tuapeka6,2801,388
    Maniototo2,7801,340
    Vincent4,9502,922
    Lake1,8503,871
    Southland28,7803,703
    Wallace10,1003,727
    Fiord103,035
    Stewart Island540670
                    Totals260,57058,919
                    Grand totals808,220102,611

During the year ended 31 March 1957 increases of over 750 in population were recorded by ten counties. Excluded are Taumarunui and Golden Bay Counties, the former reflecting the amalgamation of Taumarunui, Ohura, and Kaitieke Counties during the year, the latter being a new county created from the amalgamation of Collingwood and Takaka Counties and Takaka Town District.

The largest increase of the ten counties was that of Waitemata with 2,376, followed by Waimairi 1,903, Paparua 1,605, Rotorua 1,143, and Makara 1,057. All of these counties reflect urban development within their boundaries, Rotorua being aided also by continued farming and forestry development. Matamata, Waikato, and Taupo Counties register solid increases resulting from Tokoroa township's development, Meremere steam power station, and Wairakei geothermal power station respectively. Southland and Tauranga County increases result from mixed urban and farm development, with the building of the new fertiliser works in Southland also contributing to the increase there.

The mergers of Havelock Town District and Akaroa Borough with Marlborough and Akaroa Counties respectively are the reasons for substantial increases recorded in those counties.

Substantial decreases were recorded in Rangitikei, Kairanga, and Malvern Counties owing to reductions in Armed Services personnel, although the merger of Bulls Town District into Rangitikei County cushioned the loss considerably. Boundary changes meant considerable losses of population in Hawke's Bay and Hutt Counties, while Tuapeka's loss of 1,559 was a result of the completion of the Roxburgh power station with the consequential loss of construction workers and families.

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

BoroughEstimated Population (Including Maoris)Approximate Area, in Acres
North Island—
    Kaitaia2,4501,310
    Kaikohe2,2001,342
    Whangarei15,4505,375
    Dargaville3,3902,800
    Helensville1,1701,315
    East Coast Bays7,7403,850
    Takapuna19,1503,280
    Devonport11,6501,100
    Northcote3,8801,190
    Birkenhead5,8403,084
    Henderson2,7501,278
    Glen Eden4,3501,244
    New Lynn7,8601,393
    Auckland (City)138,40018,493
    Newmarket2,120182
    Mount Albert25,6002,430
    Mount Eden18,6001,477
    Mount Roskill26,6004,604
    Onehunga16,6501,876
    One Tree Hill12,9502,430
    Ellerslie4,600745
    Mount Wellington13,0504,075
    Howick4,0901,103
    Otahuhu8,6601,345
    Papatoetoe11,6001,587
    Manurewa5,0001,545
    Papakura5,5802,010
    Pukekohe4,8703,470
    Waiuku1,4701,465
    Tuakau1,3601,091
    Huntly4,2601,678
    Cambridge3,4801,280
    Ngaruawahia2,8101,112
    Hamilton (City)37,1006,145
    Te Awamutu4,7501,162
    Otorohanga1,980560
    Te Kuiti3,8901,668
    Taumarunui3,3701,925
    Thames5,0602,712
    Paeroa2,9001,419
    Waihi3,0801,330
    Te Aroha2,8902,783
    Morrinsville3,630950
    Matamata2,790934
    Putaruru3,020975
    Mount Maunganui3,7003,475
    Tauranga9,8802,748
    Te Puke2,0101,047
    Rotorua12,7003,611
    Taupo3,3302,290
    Whakatane5,7601,539
    Kawerau3,1401,718
    Opotiki2,430772
    Gisborne (City)20,1003,610
    Wairoa3,8701,603
    Napier (City)21,6003,007
    Taradale3,5801,002
    Hastings (City)20,6003,211
    Havelock North2,6901,165
    Waipawa1,6401,710
    Waipukurau2,940971
    Dannevirke5,4101,300
    Woodville1,4601,054
    Waitara3,7701,587
    New Plymouth (City)24,5004,257
    Inglewood1,710703
    Stratford4,8602,016
    Eltham2,2301,599
    Hawera5,680897
    Patea1,9301,420
    Ohakune1,6502,079
    Raetihi1,190958
    Wanganui (City)30,1005,886
    Taihape2,5001,923
    Marton4,0601,415
    Feilding6,9702,031
    Foxton2,570757
    Palmerston N. (City)36,6006,943
    Shannon1,210844
    Levin6,7801,332
    Otaki2,7701,390
    Upper Hutt13,3002,165
    Lower Hutt (City)50,80010,323
    Petone10,3501,322
    Eastbourne2,7201,546
    Tawa Flat4,260799
    Wellington (City)122,40017,789
    Pahiatua2,360720
    Eketahuna770948
    Masterton13,2003,116
    Carterton2,6401,265
    Greytown1,4201,093
    Featherston1,240759
    Martinborough1,2301,070
                    Totals968,700221,907
South Island—
    Picton2,1201,052
    Blenheim9,4701,945
    Nelson (City)17,9005,550
    Richmond2,6502,600
    Motueka2,8702,523
    Westport5,560760
    Runanga1,8001,186
    Greymouth8,9702,594
    Brunner1,1405,700
    Kumara520842
    Hokitika3,050674
    Ross5603,800
    Rangiora3,250877
    Kaiapoi2,860786
    Riccarton7,920728
    Christchurch (City)145,20025,647
    Lyttelton3,6002,560
    Ashburton10,5002,501
    Geraldine1,680745
    Temuka2,260795
    Timaru (City)23,7003,582
    Waimate3,160771
    Oamaru9,9501,755
    Hampden310630
    Palmerston880900
    Waikouaiti6701,958
    Port Chalmers3,030714
    West Harbour2,1802,181
    Dunedin (City)71,60013,921
    St. Kilda6,900462
    Green Island4,6601,789
    Mosgiel4,450965
    Milton1,920315
    Kaitangata1,3001,280
    Balclutha3,4401,258
    Tapanui410129
    Lawrence590615
    Roxburgh830515
    Naseby190112
    Alexandra1,960815
    Cromwell890972
    Arrowtown190457
    Queenstown1,300998
    Gore6,7402,276
    Mataura1,8901,272
    Winton1,340505
    Invercargill (City)31,0008,775
    Bluff2,8502,111
    Riverton1,180989
                    Totals423,390116,887
                    Grand totals1,392,090338,794

Increases of 1,000 and over were registered by ten cities and boroughs, the highest increase being that of Lower Hutt City with 2,987, a result mainly of the acquisition of the Stokes Valley area of Hutt County during the year. Other substantial increases were Christchurch City 2,489, Whangarei Borough 2,087 (mainly a result of the inclusion of Onerahi Town District and portion of Whangarei County), Invercargill City 1,906 (South Invercargill Borough merged in the City), Auckland City 1,860, Hastings City 1,417 (a large gain from Hawke's Bay County), and Hamilton City 1,159. Mount Roskill, Mount Wellington, and Upper Hutt Boroughs also recorded increases of over 1,000, and these three boroughs can all be considered as outer suburbs of Auckland and Wellington.

Several slight decreases are recorded for older established boroughs in close proximity to main centres.

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 DistrictEstimated Population (Including Maoris)Approximate Area, in Acres
* Parent county shown in parentheses.
(a) Town Districts Not Forming Parts of Counties
North Island—
    Kawakawa770280
    Hikurangi1,030960
    Kamo1,060852
    Warkworth9201,420
    Leamington1,2501,330
    Murupara9301,005
    Ohura580815
    Manaia740510
    Waverley870484
    Manunui9001,251
    Mangaweka340955
    Hunterville590791
                Totals9,98010,653
South Island—  
    Leeston720391
    Wyndham660680
    Lumsden6101,264
    Nightcaps660285
    Otautau780954
                Totals3,4303,574
                Grand totals13,41014,227
(b) Town Districts Forming Parts of Counties*
North Island—
    Kohukohu (Hokianga)2401,020
    Rawene (Hokianga)470280
    Russell (Bay of Islands)6201,066
    Mercer (Franklin)3401,000
    Te Kauwhata (Waikato)6901,290
    Ohaupo (Waipa)3301,281
    Kihikihi (Waipa)770523
    Te Karaka (Waikohu)390700
    Patutahi (Cook)2501,275
    Kaponga (Eltham)520558
    Normanby (Hawera)490260
                Totals5,1109,253
South Island—
    Southbridge (Ellesmere)460531
    Outram (Taieri)360886
    Edendale (Southland)580696
                Totals1,4002,113
                Grand totals6,51011,366

The main point concerning town districts is that Murupara's rate of growth has slowed down appreciably. Three independent town districts, Onerahi, Bulls, and Takaka, and one dependent town district, Havelock, lost their identities during the year.

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 7,449 people as at 1 April 1957.

Of the islands concerned, Waiheke, with an estimated population of 2,150 as at 1 April 1957, was the only one of any size.

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.

Most of the land that can still be brought into occupation requires special methods or heavier capital expenditure to develop it. The Departments of Lands and Survey and Maori Affairs are grassing annually quite large areas of what was, until recently, regarded as useless land. The development of unimproved land for farming purposes can be expected to continue steadily, but the accompanying growth of mechanisation in farming tends to stabilise the size of the labour force engaged in farming operations.

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 33.80 persons per square mile at the 1956 census date, and the South Island, with an area of 59,442 square miles, had a population density of 11.38 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
19111921193619511956
Auckland25,42011.7516.0021.5229.3134.29
Hawke's Bay4,26012.4614.9418.0721.4124.02
Taranaki3,75014.4417.4020.7123.1725.10
Wellington10,87018.8023.4329.1135.9439.48
Marlborough4,2203.904.334.545.426.09
Nelson10,8704.484.395.476.236.52
Westland4,8803.242.923.833.723.79
Canterbury13,94012.5214.3416.8120.0922.06
Otago—
    Otago14,0709.469.7610.7611.3312.00
    Southland11,4605.175.446.356.767.44
                Totals103,74010.2012.2615.1718.7020.96

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 more than double that of the European.

A statement of Maori population is now given for each census from 1901 to 1956.

YearMaori PopulationIntercensal 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
1956137,15121,47518.63.5
1956*137,34121,60118.73.5

The average annual percentage increase from 1951 to 1956 was 3.47, which is considerably higher than the corresponding figure for the European population—viz., 2.24 per cent. The natural increase ratios for the year 1956 shown below afford a better illustration.

 EuropeanMaori
Birth rate24.6744.64
Death rate9.009.37
Natural-increase rate15.6735.27

Of the 137,151 Maoris at the 1956 census, 131,894 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 has, however, taken place during and since the war as a result of employment conditions. As late as the 1936 census only 8,249 Maoris (10.02 per cent) dwelt in cities, boroughs, or independent town districts. By the 1956 census the comparative figure was 33,424 (24.37 per cent). The largest concentration is in Auckland Urban Area, where 11,361 Maoris were enumerated. The total Maori population at 1 April 1957 was 142,034.

Numbers of persons wholly or partly of Maori blood as disclosed by the censuses of 1951 and 1956 are set out in the following table.

Counted in the Maori population—

 19511956
Full Maori76,91888,440
Maori-Europeans—
    Three-quarter caste15,20118,624
    Half-caste23,18328,492
    Maori-other Polynesian374775
Maori-other races* 820
                Totals115,676137,151

Counted in the population other than Maori—

* This category, first introduced in 1956, covers those cases of “Maori—other races” mixtures where there is half or more Maori blood involved.

† Decline in 1956 in “Maori—other races” accounted for by change in classification. See note (*).

‡ Includes Maori-Arab.

 19511956
Maori-European quarter-caste18,42125,108
Maori-Japanese169
Maori-Chinese36964
Maori-Indian22064
Maori-Syrian or Lebanese7327
Maori-American Indian 3
Maori-Negro112
Maori-Filipino101
Maori-West Indian136
Maori-Melanesian3323
                Totals19,16625,307

In 1956 there were recorded in New Zealand some 162,458 persons wholly or partly of Maori origin, compared with 134,842 in 1951.

STATISTICS OF THE 1951 CENSUS.—The tabulation and analysis of the population census taken for the night of 17 April 1951 is complete and all subject volumes (listed below) have been published.

  • 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.

  • Volume VIII—General Report.

  • 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.

STATISTICS OF THE 1956 CENSUS.—The volumes so far published for the 1956 census are:

  • Interim Returns of Population and Dwellings.

  • Volume I—Increase and Location of Population.

  • Appendix A—Census of Poultry.

The others will be published as the results become available.

The appropriate Sections of this Year-Book contain data on industrial distribution, occupational status, occupations, poultry, and dwellings. Other 1956 census details will be found in the Latest Statistical Information Section of the Year-Book.

AGE DISTRIBUTION.—Provisional age-group figures from the census of 17 April 1956 are shown below with comparable figures from the census of 17 April 1951. Maoris are included in the figures, but it should be noted that the tables exclude those members of the Armed Forces overseas at the dates of the 1951 and 1956 censuses, numbering 1,894 in 1951 and 2,162 in 1956.

Age Groups (Years)1951 Census1956 Census*
MalesFemalesTotalMalesFemalesTotal
* Provisional.
Under 5119,443114,989234,432130,693125,855256,548
  5-992,74688,951181,697123,145117,438240,583
  10-1478,38176,111154,49295,13690,991186,127
  15-1966,93163,583130,51478,98576,660155,645
  20-2471,71668,957140,67369,18066,491135,671
  25-2974,22072,234146,45479,52373,502153,025
  30-3467,16569,233136,39878,42975,361153,790
  35-3969,29469,149138,44370,91372,441143,354
  40-4465,24162,407127,64870,47270,170140,642
  45-4957,49054,119111,60966,50263,246129,748
  50-5448,37048,76397,13355,53552,690108,225
  55-5939,40042,98982,38946,65447,39894,052
  60-6438,12140,39078,51135,88141,21077,091
  65-6934,22536,27070,49533,11637,91871,034
  70-7425,97927,93153,91027,14930,69557,844
  75-7914,65016,27630,92618,42021,46239,882
  80-846,9058,32115,2268,67610,62519,301
  85-892,2453,0835,3283,1574,3167,473
  90-945067881,2946671,0681,735
  95-9988153241103188291
100 and over152439142135
Not specified—
        Adults7947311,5257851,0271,812
        Minors4352957678154
                Totals973,968965,5041,939,4721,093,2111,080,8512,174,062

The following is a summary in three broad age groups in order to give a clearer picture of the changes in age constitution of the population between the two censuses.

Age Group (Years)1951 Census1956 CensusIncrease 1951-56
NumberPer Cent of Total SpecifiedNumberPer Cent of Total SpecifiedNumberPer Cent
Under 15570,62129.45683,25831.45112,63719.74
15 and under 651,189,77261.391,291,24359.45101,4718.53
65 and over177,4599.16197,5959.1020,13611.35
Not specified1,620 1,966 346 
                Totals1,939,472100.002,174,062100.00234,59012.10

From the above tables it will be seen that the under-fifteen-years age group has recorded both the highest numerical and percentage increase since 1951. This reflects the generally high birth-rate which has ruled since the post-war year of 1946.

Although the working age group of fifteen and under sixty-five years shows a decline as a percentage of the population from 61.39 in 1951 to 59.45 in 1956, it has, nevertheless, recorded a numerical increase of 101,471. Within this group the low birth rates from 1932 to 1936 are reflected in the low numbers recorded in age groups of twenty to twenty-four years in 1956 and fifteen to nineteen years in 1951.

Another point of interest is that the tendency for the group sixty-five years and over to increase as a percentage of the population at each census has been halted, with a drop from 9.16 in 1951 to 9.10 in 1956.

RACIAL ORIGINS.—The racial origins of the population are shown in three main divisions together with comparative figures for the 1951 census.

For the 1956 census, a minor change in classification was made for the Maori race and included in the Maori population are those cases of “Maori-Other races” mixtures such as Maori-Chinese, Maori-Indian, etc., provided that there is half or more Maori blood involved. Cases where less than half Maori blood is involved are shown under “Other races—Others M.B.” It should be noted, however, that “Maori - Other Polynesian” mixtures are included in the Maori race regardless of degree of Maori blood.

In 1951 all “Maori-Other races” mixtures (except Maori-Polynesian) are included in the category “Other races—Other M.B.”, regardless of degree of Maori blood involved.

In the table below F.B. signifies “full blood”, M.B. “mixed blood”, the second race being European, except in the case of “Other races—Others M.B.".

RaceCensus
19511956

* See note in text above table.

† Not available separately; included in total of Polynesian.

European—
    European1,791,0201,991,179
    European-Maori quarter-caste18,42125,108
                Totals, European1,809,4412,016,287
Maori—
    Maori full blood76,91888,440
    Maori-European three-quarter-caste15,20118,624
    Maori-European half-caste23,18328,492
    Maori-Other Polynesian374775
    Maori-Other races*820*
                Totals, Maoris115,676137,151
Other races—
    Chinese—F.B.4,8326,167
                    M.B.420500
Polynesian—  
        Cook Island Maori—F.B.1.654
                                        M.B.666
        Samoan—F.B.1,436
                        M.B.2,304
        Niuean—F.B.674
                      M.B.174
        Tongan—F.B.232
                      M.B.685
        Other—F.B.124
                      M.B.154
                Sub-totals, Polynesian—F.B.1,6844,120
M.B.  1,9403,983
Indian—F.B.1,7842,530
              M.B.407557
Syrian, Lebanese, or Arab—F.B.981592
                                          M.B.580463
Fijian—F.B.40119
            M.B.237360
Others—F.B.166337
              M.B.1,284*896*
                Totals, Other races—F.B.9,48713,865
                                                M.B.4,8686,759
                Grand totals1,939,4722,174,062

Of the three broad race groups, the “Other races” portion of the population has shown the highest percentage increase since the 1951 census, rising from 14,355 to 20,624, or 43.7 per cent. The Maori population has increased by 21,475 or 18.6 per cent, while the European population has increased by 206,846 or 11.4 per cent.

Although the numbers in the “Syrians, Lebanese, or Arabs” group show decreases from 1951, the reason appears to be that many Syrians and Lebanese have returned themselves as Europeans, and had they been counted in the “Other races” group, this would have meant a larger increase therein.

A significant feature is that, within the “Other races” group, the Polynesians have shown substantial increases since 1951, immigration contributing fairly large numbers during the period, this applying also, on a smaller scale, to the Fijian group.

Both the Chinese and Indian groups record substantial increases, full bloods and mixed bloods together showing a 26.9 per cent rise for Chinese and a 40.9 per cent rise for Indians. Again, an excess of immigrants in each of these two racial groups has boosted the percentage increase considerably.

BIRTHPLACES.—The distribution of population in 1956 according to place of birth is now presented with the 1951 figures incorporated for comparative purposes.

NOTE: n.o.d. = not otherwise defined.

BirthplaceCensus
19511956
Commonwealth countries with Protected States, Protectorates, Trust Territories, and Condominia—
    New Zealand (excluding Island Territories)1,672,9621,863,344
    England125,957144,030
    Wales4,4335,219
    Scotland44,08946,399
    Northern Ireland8,8179,085
    United Kingdom, n.o.d., or (Great) Britain, n.o.d.155333
    Isle of Man331423
    Channel Islands563692
    Union of South Africa (including South Africa, n.o.d.)1,3981,699
    Republic of India3,8384,468
    Pakistan113252
    Federation of Malaya165243
    Canada (including Newfoundland)2,0912,503
    Australia35,82835,916
    Cook Islands9991,992
    Niue Island330753
    Western Samoa1,3362,995
    Fiji (including Rotuma)1,7022,273
    Tonga608768
    Other Pacific Islands within Commonwealth319386
    All other countries within Commonwealth1,1091,431
                Totals, Commonwealth countries1,907,1432,125,204
Other Countries—
    Republic of Ireland6,4236,566
    Ireland, n.o.d.1,9321,857
    Norway516536
    Sweden389355
    Denmark1,1911,464
    Finland201281
    Russia (U.S.S.R.)506740
    Estonia212240
    Latvia423538
    Lithuania184207
    Poland2,0032,125
    Germany1,4271,815
    Netherlands (Holland)1,65512,544
    France324365
    Switzerland678914
    Italy1,0581,364
    Czechoslovakia357548
    Austria454714
    Hungary251378
    Yugoslavia2,9013,143
    Rumania58714
    Greece369606
    Egypt171211
    Lebanon204204
    Burma278332
    Indonesia303982
    China3,2643,883
    United States of America (including Alaska)1,7131,937
    All other countries outside the Commonwealth1,2061,799
                Totals, other countries30,65147,362
    Born at sea410325
    Not specified1,2681,171
                Grand totals1,939,4722,174,062

The most significant feature of the table is the very high percentage increase recorded for “Other countries” between 1951 and 1956.

The total population of the country increased by 12.1 per cent between 1951 and 1956; those born in New Zealand increased by 11.36 per cent; those born in Commonwealth countries, etc. (including New Zealand), by 11.43 per cent, while those born in “Other countries” increased by 54.52 per cent.

The principal reason for the high percentage increase in “Other countries” is the large number of Dutch immigrants who came into the country between 1951 and 1956. This is reflected in the increase in the Netherlands birthplace figure from 1,655 in 1951 to 12,544 in 1956, while it should also be noted that the 982 people in 1956 showing Indonesia as birthplace were mainly of Netherlands nationality.

In this respect the increase from 58 to 714 for Rumania can be misleading. In actual fact a large proportion of those born in Rumania are of Greek national origin. It is also likely that some of those recorded as born in Russia were born in former Polish territory.

Of the Commonwealth, etc., countries other than New Zealand, England records the largest numerical increase, gaining 18,073 or 14.35 per cent, reflecting a fairly large gain from immigration during the period. Immigration of Pacific Islands people is shown in the increases for Cook Islands, Niue Island, Western Samoa, Fiji, and Tonga, as places of birth.

DURATION OF RESIDENCE OF OVERSEAS-BORN.—Provisional figures from the 1956 census showing the numbers of overseas-born people and their duration of residence in New Zealand are shown below with comparative figures from the 1951 census.

Duration of Residence of Overseas-born

Duration of ResidenceCensus
19511956
Years
0-452,18577,545
5-98,62042,722
10-1411,7598,848
15-194,96010,811
20-2419,8625,236
25-2940,14117,790
30-3424,61339,094
35-3926,37220,928
40-4429,73524,868
45-4915,62123,410
50-547,26813,934
55-594,2394,749
60-643,3293,801
65-694,1261,974
70-744,3113,006
75-793,8302,207
80-845932,060
85-89374174
90 and over86117
Not specified4,4667,444
                Totals266,510310,718

The number of overseas-born people in New Zealand at the time of the 1956 census shows an increase of 44,208 or 16.6 per cent over the number of overseas-born in New Zealand at the 1951 census. The total population of New Zealand increased by 12.1 per cent between 1951 and 1956.

The steady influx of immigrants into New Zealand from 1946 onwards is reflected in the large numbers giving their duration of residence as 9 years or less at the 1956 census.

The figure of 77,545 in the 0-4 years group represents 25.6 per cent of the specified total, while that of 42,722 in the 5-9 years group is 14.1 per cent, showing that overseas-born persons with 9 years or less residence in New Zealand comprise 39.7 per cent of those overseas-born people who specified their duration of residence.

The drop from 52,185 in the 0-4 years group in 1951 to 42,722 in the 5-9 years group in 1956, exactly 5 years later, is accounted for mainly by the inclusion in the 0-4 years group in 1951 of short-term visitors such as overseas tourists and crews of overseas ships, and these persons would not appear in the 5-9 years group in 1956.

It is, however, probable that a number of persons who came into New Zealand between 1946 and 1951 as immigrants intending permanent residence and were recorded in the 0-4 years group in 1951 had, by the date of the 1956 census. departed from New Zealand, either permanently or temporarily.

MARITAL STATUS.—The marital status of persons aged 16 years and over as returned at the census of 1956 is summarized in the following tables.

Age (Years)Never MarriedMarriedLegally SeparatedWidowedDivorcedNot SpecifiedTotal
Males
16-1959,642454441760,112
2012,66079931 813,471
21-2439.93915,54712425304455,709
25-2928,23150,4095121082105379,523
30-3414,59462,1917422206354778,429
35-398,94760,0337043458463870,913
40-447,43960,6646826331,0213370,472
45-496,39257,3266509571,1304766,502
50-545,22947,2325761,4141,0463855,535
55-594,56338,7384232,0568423246,654
60-643,43028,8253032,6526422935,881
65-693,35024,9092474,0095821933,116
70-742,70518,8162624,9503922427,149
75-791,96611,1231304,9512351518,420
80-849484,195553,37987128,676
85-893501,105421,6302823,157
90 and over66221648461784
Not specified adults166346104114208785
Totals, 1956200,617482,9335,47527,8597,747657725,288
Totals, 1951194,701433,0916,66327,1787,0391,239669,911
Females
16-1954,4334,1332371458,601
208,9854,1272984313,156
21-2419,61233,18137282771153,335
25-2911,23260,7578432503992173,502
30-347,69365,4159175917291675,361
35-396,50462,8598881,1661,0032172,441
40-446,46259,5068622,1131,2141370,170
45-496,54851,4307183,2971,2332063,246
50-545,81040,4145834,7681,0991652,690
55-595,44633,2994497,2519381547,398
60-644,99425,2623649,8187561641,210
65-694,67419,52430512,7806221337,918
70-743,95112,52121413,6273691330,695
75-792,9126,41410911,836182921,462
80-841,4872,059266,98660710,625
85-8955647263,272914,316
90 and over149117 1,006321,277
Not specified adults165653616217241,027
Totals, 1956151,613482,1436,71479,0208,715225728,430
Totals, 1951153,199431,1767,80371,8357,891686672,590

The proportional distribution of the population aged 16 years or over according to marital status is given in the following summary.

Marital Status19511956
MalesFemalesMalesFemales
Never married29.1222.8027.6920.82
Married64.7764.1866.6466.21
Legally separated1.001.160.760.92
Widowed4.0610.693.8410.85
Divorced1.051.171.071.20
                Total100.00100.00100.00100.00

The most noticeable point is that the proportion of married people has increased considerably since 1951, at the expense, generally, of the “never married” group.

A contributing factor to the decrease in the proportion of the “never married” group is the low-birth rate which ruled during the nineteen thirties. The age group of 16 years to 24 years inclusive is affected, the total numbers here increasing only from 244,625 in 1951 to 254,307 in 1956, or less than 4 per cent, against an increase of over 8 per cent for the 16 years and over group as a whole.

It should be pointed out, however, that within this age group of 16 years to 24 years the percentage of those returned as “married” did increase from 21.6 in 1951 to 22.9 in 1956, with a decline in the “never married” percentage from 78.0 to 76.8.

RELIGIOUS PROFESSIONS.—The following summary presents the main religious professions returned at the last census, with comparative figures for 1951 being given also.

Religious ProfessionNumber of Adherents
1951 Census1956 Census
Church of England726,626780,999
Presbyterian446,333483,884
Roman Catholic (including Catholic undefined)264,555310,723
Methodist156,077161,823
Protestant (undefined)14,43247,999
Baptist31,51833,910
Brethren21,39822,444
Ratana17,41419,570
Salvation Army13,60714,122
Latter Day Saints10,00812,941
Church of Christ11,93710,852
Christian (undefined)4,8537,569
Congregational6,8247,448
Seventh Day Adventist6,1597,219
Ringatu4,9705,092
Lutheran3,3094,012
Christian Scientist4,5863,992
Jehovah's Witness1,7563,844
Hebrew3,6613,823
Eastern Orthodox Catholic1,0072,728
Undenominational1,3822,062
Undenominational Christian2,7261,765
Agnostic2,0831,748
Freethinker3,7741,661
Christadelphian1,4841,651
Hindu1,0891,597
Atheist1,7461,316
Rationalist2,0881,188
Apostolic Church756969
Dutch Reformed Church264829
Commonwealth Covenant Church659813
Spiritualist717748
Assemblies of God475747
Society of Friends593721
Non-conformist403596
Pentecostal477567
Missions1,610513
Unitarian456449
Liberal Catholic328385
Confucian523384
Theosophist383332
No religion (so returned)11,47512,651
All other religious professions4,9035,555
Object to state137,597173,569
Not specified10,45116,252
                Totals1,939,4722,174,062

The four main churches - Church of England, Presbyterian, Roman Catholic, and Methodist -retained the adherence of the great bulk of the population, although their combined proportion has fallen from 82.2 per cent of the total population in 1951 to 79.9 per cent in 1956. All four churches have increased in numbers, though only the Roman Catholic Church increased its ratio to total population - 13.6 per cent in 1951 to 14.3 per cent in 1956.

The large increase in the numbers recorded as “Protestant (undefined)” may have resulted from the wording of the questionnaire. Formerly the public were asked not to use indefinite terms such as “Protestant” or “Catholic”, but in 1956 no such request was made and it would appear that many persons used these terms without any further indication of their religious profession.

The category recorded as “Object to state” represents those persons availing themselves of the special statutory right of objecting to answer a question on this subject. The proportion of the population in this class increased from 7.1 per cent in 1951 to 8.0 per cent in 1956. It is probable that the “not specified” group includes a number of persons objecting to the question.

The proportional distribution according to number of adherents is as shown below.

Religious ProfessionPercentage of Total Population
19511956
Church of England37.4735.92
Presbyterian23.0122.26
Roman Catholic (including Catholic undefined)13.6414.29
Methodist8.057.44
Protestant (undefined)0.742.21
Baptist1.631.56
Brethren1.101.03
Ratana0.900.90
Salvation Army0.700.65
Latter Day Saints0.520.60
Church of Christ0.620.50
No religion (so returned)0.590.58
Object to state7.097.98
All other (including not specified)3.944.08
                Totals100.00100.00

OVERSEAS WAR SERVICE.—Statistics on overseas war service have now been compiled from the population census and are given below.

WarsMalesFemalesTotal
Overseas service—
    Only in Korean War4,290194,309
    Only in World War II138,2704,618142,888
    Only in World War I55,6161,10056,716
    Only in South African War1,61861,624
    In Korean War and World War II1,21251,217
    In World War II and World War I2,995443,039
    In Korean War and World War I33134
    In Korean War, World War II, and World War I65166
    In World War II and South African War24125
    In World War I and South African War7972799
    In World War II, World War I, and South African War60161
    Totals with overseas War service—
        1956 Census204,9805,798210,778
        1951 Census204,2905,494209,784

Overseas War Service: Wars and Forces with Which Served

NOTE.—In this table, where persons served in more than one war, they are shown for each war in which they served.

WarsForces With Which Served
New ZealandAustralianUnited Kingdom and IndianCanadianOther CommonwealthTotal
Males
Korean War5,14393353745,600
World War II122,5571,35018,098270351142,626
World War I47,30895511,0372115559,566
South African War1,44615882910562,499
Females
Korean War1628  26
World War II1,837872,66829494,670
World War I52028599111,149
South African War315 110

Chapter 4. SECTION 4—VITAL STATISTICS

4 A—VITAL STATISTICS OF THE TOTAL POPULATION

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. Europeans and Maoris are dealt with separately in later subsections.

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 has been effected. 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 events is now very little inferior to that of Europeans.

BIRTHS.—Registration of Maori births is 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
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
195448,4315,70054,13124.6344.3725.84
195549,8695,80755,67624.8643.6426.03
195650,4306,16356,59324.6744.6425.93
195751,8596,63258,49124.8246.2926.20

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 for New Zealand, exclusive of Maoris. In an international comparison for the quinquennium 1952-56 the inclusion of Maoris raises New Zealand's position from eleventh to ninth in a total of twenty-seven countries covered.

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 slow decline from the high figure of 1947 until 1951, after which year there was a recovery until 1955, followed by a decline. 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
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
195430,7644,49135,25515.6534.9616.83
195531,9164,53536,45115.9134.0817.04
195632,0274,87036,89715.6735.2816.90
195732,4485,18137,62915.5336.1616.85

In the ten years 1948-57 New Zealand has gained by natural increase of the population a total of 338,427, comprising 296,706 Europeans and 41,721 Maoris.

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 next paragraph.
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
1954**17,557**8.38
1955**17,795**8.32
1956**17,531**8.03
1957**17,614**7.89

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.

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
194715,9041,53817,4429.3914.639.70
194815,8121,47317,2859.1613.669.42
194916,0121,56617,5789.0914.179.39
195016,7151,36918,0849.3112.099.47
195117,5121,32418,8369.5611.379.67
195217,4131,48318,8969.2812.349.47
195317,0091,34518,3548.8410.848.96
195417,6671,20918,8768.989.419.01
195517,9531,27219,2258.959.568.99
195618,4031,29319,6969.009.379.02
195719,4111,45120,8629.2910.139.34

Although the Maori death rate is consistently higher than the European rate, the continuous decline of the former has now brought it to a position of almost equality with the European rate. The net result now is that the inclusion of Maoris does not raise the general death rate much above the European rate. Countries with lower death rates (in 1956) than New Zealand included Israel, 6.3; Netherlands, 7.8; Canada, 8.2; Norway, 8.5; and Union of South Africa (European population only), 8.8.

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 1953-56 was 141 per million of mean population, as against 103 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 1953 to 1956, 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 4d and Section 4e respectively.

Causes of DeathNumber of DeathsRate Per Million of Mean Population
19531954195519561953195419551956
Tuberculosis of respiratory system26225225620812812012095
Tuberculosis, other forms9552373046251714
Syphilis and its sequelae6929312334141411
Typhoid fever552 221 
Dysentery, all forms43642132
Scarlet fever and streptococcal sore throat2211111 
Diphtheria34222211
Whooping-cough15107107535
Meningococcal infections272724201313119
Acute poliomyelitis271295213 1424
Measles13181586974
All other diseases classified as infective and parasitic8667969342324543
Malignant neoplasms, including neoplasms of lymphatic and haematopoietic tissues2,8892,9653,1713,1501,4101,4151,4831,443
Benign and unspecified neoplasms4143394920211822
Diabetes mellitus25319921622912495101105
Anaemias6687877432424134
Vascular lesions affecting central nervous system2,2922,3062,3252,3171,1191,1011,0871,062
Non-meningococcal meningitis5630424527142021
Rheumatic fever33211117161058
Chronic rheumatic heart-disease259234241222126112113102
Arteriosclerotic and degenerative heart-disease4,9984,8654,8995,1774392,3232,2912,372
Other diseases of the heart5736827607532,280326355345
Hypertension with heart-disease579696663561283332310257
Hypertension without mention of heart15111312414574545866
Influenza4180288920381341
Pneumonia517583628803252278294368
Bronchitis332419460440162200215202
Ulcer of stomach and duodenum16117117617979828282
Appendicitis3329223016141014
Intestinal obstruction and hernia12114610213559704862
Gastritis, duodenitis, enteritis, and colitis, except diarrhoea of the newborn13714415113967697164
Cirrhosis of liver4754726823263431
Nephritis and nephrosis193220178131941058360
Hyperplasia of prostate11812414417058596778
Complications of pregnancy, childbirth, and the puerperium3234343116161614
Congenital malformations2623082902841 28147136130
Birth injuries, post-natal asphyxia, and atelectasis317261329326155125154149
Infections of the newborn4870315023331423
Other diseases peculiar to early infancy, and immaturity unqualified322321302284157153141130
Senility without mention of psychosis, ill-defined, and unknown causes13418917515265908270
All other diseases1,5691,6701,7922,041766797838935
Motor-vehicle accidents318332364334155158170153
All other accidents639815653610312389305279
Suicide and self-inflicted injury19817718719997848791
Homicide and operations of war1718231188115
                Totals18,35418,87619,22519,6968,9589,0108,9909,024

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 until 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-one years are given in the next table.

YearNumbersRates Per 1,000 Live Births
EuropeanMaoriTotalEuropeanMaoriTotal
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
19461,0934311,52426.1074.6231.99
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
19549683341,30219.9958.6024.05
19551,0023631,36520.0962.5124.52
19569783351,31319.3954.3623.20
19571,0373851,42220.0058.0524.31

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 1951-55 New Zealand's infant-mortality rate (exclusive of Maoris), with an average of 21, was the second lowest of twenty-seven countries for which reliable figures were available, whereas the inclusion of the Maori population relegated it to fifth place, with Sweden clearly in the lead, and the Netherlands in second place.

4 B—EUROPEAN BIRTHS

(NOTE.—The term European, used in the context of this subsection, means the population exclusive of Maoris.)

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 where specified on pages 75 and 76. A special classification of still-births is given on pages 81-82.

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 will be found in Section 4E.

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 74 and to the table on page 72, 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. A very small decrease was shown in 1953. Increases followed in the next four years, the total exceeding 50,000 for the first time in 1956. 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
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
195448,43124.63
195549,86924.86
195650,43024.67
195751,85224.82

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 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 long-term 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 15.53 in 1957. 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.

YearNumbersRate Per 1,000 Mean Population
BirthsDeathsNatural IncreaseBirthsDeathsNatural Increase
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
195448,43117,66730,76424.638.9815.65
195549,86917,95331,91624.868.9515.91
195650,43018,40332,02724.669.0015.66
195751,85219,41132,44124.829.2915.53

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.

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 1952-56, are taken from the Monthly Bulletin of Statistics issued by the United Nations.

CountryRates Per 1,000 of Population
BirthsNatural Increase
Costa Rica42.631.8
Ceylon37.927.1
Puerto Rico34.927.0
Chile34.321.9
Israel28.622.3
Canada28.319.9
Yugoslavia27.916.4
India27.514.2
Union of South Africa25.216.7
United States of America24.715.3
New Zealand24.615.6
Portugal23.411.9
Australia22.713.6
Finland21.712.4
Netherlands21.714.1
Republic of Ireland21.39.3
Japan20.612.2
Spain20.510.9
France18.86.4
Norway18.710.2
Italy18.08.2
Denmark17.58.6
Switzerland17.27.1
Germany (Western)15.85.1
United Kingdom15.74.2
Austria15.33.2
Sweden15.05.4

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. 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
195223,81422,6551,051
195323,82222,5921,054
195424,97323,4581,065
195525,66424,2051,060
195626,01424,4161,065

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.

Includes three cases where triplets would have been recorded had not one child been still-born.

195246,46945,893570*312.49
195346,41445,840563*512.39
195448,43147,818603512.71
195549,86949,254605512.38
195650,43049,803619412.51

Counting only cases where both children were born alive, there were 619 cases of twin births registered in 1956. There were also four cases of triplets.

The total number of confinements resulting in living births was 49,803, and on the average one mother in every 80 gave birth to twins (or triplets).

When still-births are taken into account the total number of confinements for the year 1956 is increased to 50,595, and the number of cases of multiple births to 689. On this basis the proportion of mothers giving birth to twins or triplets is increased to one in 73.

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.
19525694786243 1 462813.7
19535624386135* 1 661913.3
195460033136465 31965513.7
195560546765851  666413.3
195661949176854   468913.6
Average of five years59144116454 1 665113.5

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 live 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
19521.708.92
19531.808.40
19541.667.63
19551.498.13
19561.539.57
        Average of five years1.648.53

During the five years 1952-56 there were 2,955 cases of live twin births (including ex-nuptial), and of these in 948 instances, or 32.1 per cent, both children were males; in 947, or 32.0 per cent, both were females; and in the remaining 1,060, or 35.9 per cent, the children were of opposite sexes.

The four cases of triplets in 1956 comprised one of three males, two of two females and one male, and one of two males and one female.

AGES OF PARENTS.—Information as to the relative ages of parents of legitimate living children whose births were registered in 1956 is shown in the following table.

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

Including 4 cases of triplets.

Single Births
Under 214261,7401,04919343123 2 3,468
21 and under 251013,1206,3121,633285732155 11,555
25 and under 3076467,1925,7401,537420104297215,684
30 and under 351421,0844,3492,9381,057243854349,846
35 and under 40 31236441,9181,5045211465284,919
40 and under 45  9592135093671146611,338
45 and over   1413442812 102
                Totals5355,55115,76912,6196,9383,5881,30340718715*46,912
 Multiple Births
Under 21319111      34
21 and under 25 2755284     114
25 and under 30 1391671572 1 196
30 and under 35 11566511715  156
35 and under 40  5833261332 90
40 and under 45   1263   12
45 and over           
                Totals360177171105561983 602
                Grand totals5385,61115,94612,7907,0433,6441,3224151901547,514

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 1956 is here summarized.

Age of Mother, in YearsNumber of Previous IssueTotal Legitimate Cases
0123456 and Under 1010 and Under 1515 and Over
* This number represents 46,912 single cases and 602 multiple cases.
Under 212,604755129131    3,502
21 and under 255,7633,9241,440406107245  11,669
25 and under 303,9045,1703,9321,8146662561371 15,880
30 and under 351,4452,1632,7251,95394142633613 10,002
35 and under 405367221,1101,0686514014635715,009
40 and under 451421482392302041472023441,350
45 and over9714151812225102 
             Totals14,40312,8899,5395,4992,5881,2661,165110547,514*

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 1956 registrations, who are also taken into account in the computation of the averages.

Age of Mother, in YearsTotal MothersTotal IssueAverage Issue
Under 213,5024,5921.31
21-2411,66920,3831.75
25-2915,88039,3802.48
30-3410,00231,9143.19
35-395,00919,6653.93
40-441,3506,0874.51
45 and over1025255.15
            Totals47,514122,5462.58

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 1956) 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: 1951, 2.46; 1952, 2.49; 1953, 2.51; 1954, 2.54; and 1955, 2.58. 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. Although the proportion of first births again shows a slight increase in 1956, the average issue (2.58) remains the same as that recorded in 1955.

OCCUPATIONS OF FATHERS AND AVERAGE NUMBER OF CHILDREN.—Page 70 of the 1956 Year-Book gives details of average issue with the occupations of fathers who had children born to them during the years 1953 with comparative figures for 1938.

FIRST BIRTHS.—Of a total of 270,159 confinements resulting in legitimate births during the six years 1951-1956, the issue of no fewer than 83,366, or 31 per cent, were first-born children. In 35,178, or 42 per cent, of these cases the birth occurred within twelve months, and in 61,194, 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.

Statistics of first births over the last six years indicate that the proportion occurring within one year after marriage is gradually increasing, the rate rising from 40.34 per cent in 1951 to 44.01 in 1956. There has been little fluctuation during the same period in the proportion of first births occurring within two years after marriage. The steady decline in the marriage rate in recent years has been accompanied by a marked downward movement in the actual proportion of first births to total births.

YearsTotal 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
195142,21013,44731.865,42440.349,83073.10
195243,81313,72331.325,54740.429,88172.00
195343,86413,59731.005,71442.029,98873.45
195445,74314,06630.755,99842.6410,29673.20
195547,01514,13030.016,15643.5710,56274.75
195647,51414,40330.316,33944.0110,63773.85
Totals for six years270,15983,36630.8635,17842.2061,19473.40

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 1956 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
19241934194419541956
Under 1 year50.0646.2538.4742.6444.01
1 and under 2 years26.6426.7926.3030.5629.84
2 and under 3 years10.4310.2411.2811.5611.21
3 and under 4 years5.516.167.885.955.53
4 and under 5 years3.033.967.183.303.39
5 and under 10 years3.365.497.365.055.05
10 years and over0.971.111.530.940.97
                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—1924, 1.76 years; 1934, 1.85 years; 1944, 2.22 years; 1954, 1.87 years; and 1956, 1.88 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, 1924, 1934, 1944, 1954, and 1956.

FIRST BIRTHS, BY AGE OF MOTHER
Age of Mother, in YearsFirst Births, Proportion Per Cent at Each Age Group to Total First Births
19241934194419541956
Under 207.558.907.339.0810.62
20 and under 2538.1640.3941.7947.7147.47
25 and under 3032.5932.7929.5427.7927.11
30 and under 3514.6813.1014.6110.3910.03
35 and under 405.333.795.363.923.72
40 and under 451.590.991.341.020.99
45 and over0.100.040.030.090.06
                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: 1924, 26.39; 1934, 25.90; 1944, 25.18; 1954, 25.32; and 1956, 25.09.

EX-NUPTIAL BIRTHS.—The numbers of ex-nuptial births registered during each of the years 1946-56, with the percentages they bear to total births registered, were as follows.

YearNumberPercentage of Total Births
19461,8244.36
19471,7273.85
19481,6863.82
19491,6713.80
19501,7683.99
19511,9354.33
19522,1044.53
19531,9974.30
19542,1004.34
19552,2644.54
19562,3104.58

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 2,310 ex-nuptial births in 1956 were twenty-one cases of twins, the number of confinements being thus 2,289. From the following table it will be seen that of the 2,289 mothers 729, or 32 per cent, were under twenty-one years of age.

AgeCases
132
146
1530
1659
17117
18155
19182
20178
21179
22142
23132
24133
25-29469
30-34295
35-39163
40-4442
45 and over5
                Total2,289

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
1952415 415
1953449 449
1954463 463
1955463 463
1956545 545
            Totals from 1894 to 195614,6463,29417,940

ADOPTIONS.—The Adoption Act 1955 consolidated and amended the provisions regarding the adoption of children formerly contained in Part III of the Infants Act 1908 and Part IX of the Maori Affairs Act 1953. 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.

The Adoption Act 1955 requires interim orders to be made in the first instance, and for these to remain in force for six months before adoption orders become effective. This legislative change would account for the low total of 887 recorded in 1956.

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

YearNumber
MalesFemalesTotal
19526907401,430
19537097361,445
19546746731,347
19557447111,455
1956428459887

Of the 887 adoptions registered in 1956, 271 were children under the age of one year, 254 were between one and five years, 177 were between five and ten years, and 185 were aged ten years or over. In addition, 163 Maori children (79 males and 84 females) were adopted in 1956.

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.

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 4D 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 rate of 1.57 per 100 total births in 1955 was the lowest rate recorded since the registration of still-births was made compulsory in 1913.

The registrations of European still-births during each of the years 1952-56 were as follows.

YearMalesFemalesTotalMale Still-births Per 1,000 Female Still-birthsPercentage of Still-births to—
Living BirthsAll Births
19524424048461,0941.821.79
19534814068871,1851.911.88
19544783948721,2131.801.77
19554303667961,1751.601.57
19564613978581,1611.701.67

Masculinity is in general much higher among still-births than among living births, the rate for still-births in 1956 being 1,161 males per 1,000 females as compared with 1,065 for living births.

The percentage of ex-nuptials among still-born infants was in 1956, 6.76, and among infants born alive, 2.51.

Of the living legitimate births registered in 1956, 30 per cent were first births, while of legitimate still-births 36 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 858 European still-births in 1956, there were 124 Maori still-births registered, comprising 72 males and 52 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 C—TOTAL MARRIAGES

MARRIAGE may be celebrated in New Zealand 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. A licence must be obtained from a Registrar of Marriages before a marriage by an officiating minister can be celebrated. Marriage by an officiating minister may be celebrated at any time between 6 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. In the case of a person under twenty-one years of age, not being a widow or widower, the consent of parents or guardian is necessary. Consent of the Court may also be given in cases of refusal by any person whose consent is required.

The system of notice and licence 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. In case of the non-arrival of a marriage return corresponding to any entry in the list of notices, inquiries are made with a view to obtaining the return if the marriage has been solemnized.

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 Act 1955.

Section 34 of this Act provides that proxy marriages may be authorized by a Magistrate in New Zealand of any person who is resident in New Zealand to any person who is outside New Zealand, if the Magistrate is satisfied that the person who is outside the country is unable to come to New Zealand by reason of the existence of a state of war or armed conflict.

Any New Zealand citizen who intends to be married in a country other than New Zealand according to the law of that country, and who desires to obtain a certificate for the purpose of complying with the law of that country, may give notice to the Registrar-General who, upon receiving the notice, shall make such searches and inquiries and give such notices as may be prescribed under the Act. If no caveat is entered within fourteen days of the receipt by the Registrar-General, a certificate may be issued, after proper notices have been given that no lawful impediment to the marriage has been shown to the Registrar-General to exist.

Any New Zealand representative who has attended the marriage of a New Zealand citizen in a country other than New Zealand, and is satisfied that the marriage has been solemnized in accordance with the formalities of the law of that other country, may give a certificate and forward a duplicate copy to the Registrar-General, who shall bind the duplicate in a special register kept by him for the purpose.

Since 1933 the minimum age for marriage has been sixteen years of age. No marriage shall be deemed to have been unduly solemnized, however, by reason only of an infringement of the minimum age.

The Maori Purposes Act 1951 stipulated 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.

As a result of this legislative change, marriage statistics from 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.
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
1952*17,0618.55
1953*17,2248.41
1954*17,5578.38
1955*17,7958.32
1956*17,5318.03
1957*17,6147.89

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.

Comparison with Other Countries.—Marriage rates for certain countries for 1956 are given below (these particulars have been taken from the Monthly Bulletin of Statistics, issued by the Statistical Office of the United Nations).

CountryRate Per 1,000 Mean Population
United States of America9.4
Spain8.8
Yugoslavia8.8
Netherlands8.5
Israel8.4
Chile8.3
Puerto Rico8.3
Austria8.2
Canada8.2
New Zealand8.0
Switzerland8.0
Denmark7.9
United Kingdom7.9
Australia7.6
Italy7.5
Portugal7.5
Norway7.2
Sweden7.1
France6.7
Ceylon6.3
Republic of Ireland5.7

MARITAL STATUS.—The total number of persons married during the year 1956 was 35,062 of whom 31,093 were single, 1,589 widowed, and 2,380 divorced. The figures for the five years 1952 to 1956, showing the sexes separately, are given in the table following.

YearSingleWidowedDivorcedTotal Persons Married
BridegroomBrideBridegroomBrideBridegroomBride
195214,92714,9409118391,2231,28234,122
195315,17315,2608387551,2131,20934,448
195415,47015,5398547561,2331,26235,114
195515,85815,8198037481,1341,22835,590
195615,51315,5808377521,1811,19935,062

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

Per Cent
YearBridegroomsBrides
SingleWidowedDivorcedSingleWidowedDivorced
195287.495.347.1787.574.927.51
195388.094.877.0488.604.387.02
195488.124.867.0288.504.317.19
195589.124.516.3788.904.206.90
195688.494.776.7488.874.296.84

Reference to the divorce statistics at the end of this subsection will show that there has been a steady decline since 1946. However, the number of decrees absolute in the period 1952-56 was 7,681, as compared with 4,907 in the five years 1936-40, an increase of 57 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 45 per 1,000 in 1956.

The relative marital status of bridegrooms and brides for each of the five years 1952 to 1956 is next given.

YearMarriages Between Bachelors andMarriages Between Widowers andMarriages Between Divorced Men and
SpinstersWidowsDivorced WomenSpinstersWidowsDivorced WomenSpinstersWidowsDivorced Women
195213,875316736378367166687156380
195314,211290672329339170720126367
195414,469284717354330170716142375
195514,892292674305321177622135377
195614,607264642339335163634153394

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 1954-56 the respective numbers were 3,548 males and 3,689 females, and the corresponding rate 96 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 1954-56 there were 2,494 widowers and 2,256 widows who remarried, the number of widowers per 100 widows being 149 in the former period and 111 in the latter period.

AGES OF PERSONS MARRIED.—Of the 35,062 persons married in 1956, 6,636 or 19 per cent were under twenty-one years of age; 12,580, or 36 per cent, were returned as twenty-one and under twenty-five; 8,049, or 23 per cent, as twenty-five and under thirty; 4,464, or 13 per cent, as thirty and under forty; and 3,333, or 9 per cent, as forty years of age or over. The following table relates to the year 1956.

Age of Bridegroom, in YearsAge of Bride, in YearsTotal Bridegrooms
Under 2121 and Under 2525 and Under 3030 and Under 3535 and Under 4040 and Under 4545 and Over
Under 21897210202  11,130
21 and under 252,9672,8344115184 6,275
25 and under 301,3702,5191,205256551385,426
30 and under 3521556563735812533201,953
35 and under 40401212111701566327788
40 and under 4510378711912212259556
45 and over719521221792128121,403
            Total brides5,5066,3052,6231,07864544792717,531

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
* Inclusive of Maoris.
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
1950-54*5.0535.4231.2110.955.863.567.95100.00
1956*6.4535.7930.9611.144.493.178.00100.00
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
1950-54*25.7838.6516.856.964.122.595.05100.00
1956*31.4135.9614.966.153.682.555.29100.00

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 became very marked in the 1951-55 period, and was mainly due to the fact that the outbreak of war induced a number of earlier marriages which 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 a tendency towards a slight fall. The figures for each of the years 1947-56 are as follows.

YearBridegrooms (Years)Brides (Years)
* Inclusive of Maoris.
194729.7126.11
194829.9626.32
194929.8926.30
195029.6726.14
195129.4225.96
1952*29.5226.19
1953*29.3125.90
1954*29.2025.85
1955*28.9925.67
1956*29.0725.59

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
195226.9841.0055.6024.0835.9848.83
195326.9640.7755.6123.9736.5147.83
195426.8041.1455.2923.8936.7747.83
195526.7441.6755.4623.7637.0147.42
195626.6541.8156.0223.6036.9748.85

The foregoing figures give the average age 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 1956, 64 were under twenty-one years of age while 314 in every 1,000 brides were under twenty-one.

In 897 marriages in 1956 both parties were given as under twenty-one years of age, in 4,609 marriages the bride was returned as a minor and the bridegroom as an adult, and in 233 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 (1956) one bride in every three was under twenty-one years of age, the proportion for grooms being one in sixteen.

YearAge, in YearsTotals
1617181920NumberRate Per 100 Marriages
Bridegrooms
19522261032544898745.18
19536291042174998554.96
19543311112785079305.30
19557361252675721,0075.66
19564331353536051,1306.45
Brides
19521583848841,3001,5624,28825.13
19531624438331,3711,6544,46325.91
19542064709021,4451,7724,79527.31
19551965261,0151,5341,8565,12728.81
19562135691,1341,6811,9095,50631.41

MARRIAGES BY MINISTERS OF VARIOUS CHURCHES.—Of the 17,531 marriages registered in 1956, Church of England clergymen officiated at 4,537, Presbyterians at 4,439, Roman Catholics at 2,602 and Methodists at 1,464, while 3,299 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 1950-56.

ChurchPercentage of Marriages
195019511952*1953*1954*1955*1956*
* Inclusive of Maoris.
Church of England25.9525.8325.4025.0426.2125.6325.88
Presbyterian28.3127.9125.9527.0426.2326.2725.32
Roman Catholic11.9312.6713.2314.5214.4015.0514.84
Methodist9.328.538.528.167.968.088.35
Others5.655.517.066.396.566.736.79
Before Registrars18.8419.5519.8418.8518.6418.2418.82
            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 1956, 35.9 per cent were recorded as adherents of the Church of England, 22.3 per cent Presbyterian, 14.3 per cent Roman Catholic, 7.4 per cent Methodist, and 20.1 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 1957) 2,909, and the churches to which they belong are shown hereunder.

ChurchNumber
Roman Catholic Church653
Church of England525
Presbyterian Church of New Zealand471
Methodist Church of New Zealand334
Salvation Army159
Ratana Church of New Zealand159
Baptist130
Brethren54
Ringatu Church44
Latter Day Saints37
Seventh Day Adventist36
Congregational Independent32
Associated Churches of Christ31
Assemblies of God30
Commonwealth Covenant Church21
Jehovah's Witness21
Apostolic Church18
Liberal Catholic Church15
Evangelistic Church of Christ10
Churches of Christ10
Evangelical Lutheran Concordia Conference9
United Maori Mission8
Spiritualist Church of New Zealand8
Church of God7
Church of Te Kooti Rikirangi5
Hebrew Congregations5
Others77
                    Total2,909

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

DIVORCE AND NULLITY.—The first New Zealand enactment relating to divorce was passed in 1867, and a brief historical account of the development of the legislation on this subject is given in the 1931 issue of the Year-Book. The present law is contained in the Divorce and Matrimonial Causes Act 1928 and its amendments and a résumé of its principal provisions is now given.

Grounds for Divorce.—These are set out as follows:

  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. Conviction for attempted murder of petitioner or of any child of petitioner or respondent or for an offence under section 197 of the Crimes Act 1908 against petitioner or any such child;

  5. Conviction for 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. Separation under an agreement, written or verbal, which has been in full force for not less than three years;

  11. Separation by decree of judicial separation or separation order (or their equivalent in any country), which has been in force for not less than three years;

  12. Parties living apart for not less than seven years and unlikely to be reconciled;

  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 must 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. In these cases, and 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 divorce. In practice, however, where the petition is not opposed the Court rarely exercises this discretion against a petitioner.

Jurisdiction.—The court has jurisdiction in divorce only in cases where the petitioner is domiciled in New Zealand. In petitions based on grounds (i) above the petitioner must have been domiciled in New Zealand for at least three years at the time when the petition is filed.

Under the common law a married woman takes her husband's domicile and is incapable of acquiring a separate domicile while the marriage subsists. As a result of a series of statutory amendments, however, a wife who is living in New Zealand apart from her husband has in effect the capacity to acquire a separate domicile for the purposes of the divorce and nullity law as if she were unmarried.

Overseas Divorces.—The common law relating to the recognition of overseas divorces was clarified and extended by an amendment in 1953. Under this new provision New Zealand Courts will recognize divorces granted in any country by Courts exercising jurisdiction there on the basis of the domicile of either party in that country, or of the residence in that country of the wife for at least two years.

Nullity.—The first New Zealand legislation on the subject of nullity was enacted in 1953. It replaces and extends the common law on this topic.

The Court has jurisdiction to make a decree of nullity of marriage if either of the parties is domiciled in New Zealand when the petition is filed or if the marriage was solemnized in New Zealand.

A petition for a nullity decree may be presented in the case of either a void or a voidable marriage. Void marriages are those which are of no effect whether or not a decree is obtained. Voidable marriages are those which are valid unless and until a decree is obtained.

The following are the cases in which a marriage is void by the law of New Zealand:

  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 Act 1955;

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

A marriage is voidable in New Zealand 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 Health 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. Furthermore 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.

With the exception of inability to consummate the marriage there was no ground on which a marriage was voidable before the passing of the 1953 amendment.

A decree of nullity in a voidable marriage puts an end to the marriage from the date of the decree only and not from the date of the marriage. The principal effect of this is to ensure the legitimacy of any children of the marriage.

War Legislation.—The Matrimonial Causes (War Marriages) Act 1947 made special provisions in respect of war marriages (i.e., marriages celebrated between 3 September 1939 and 1 June 1950) where one of the parties was domiciled outside New Zealand by—

  1. Extending the jurisdiction of the Supreme Court to certain marriages irrespective of domicile;

  2. Recognizing decrees and orders in relation to such marriages made in the United States of America; and

  3. Shortening the period of desertion or separation as a 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.

Statistical Data.—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
19462,3632,1372,133106562463
19472,1912,0512,11771430371
19482,1601,9741,853207355300
19492,0011,8241,892151331262
19501,9121,7071,633114304217
19511,8821,6661,582117263210
19521,9601,7271,684158296204
19531,8971,6431,540103227197
19541,8861,4791,5361232819
19551,7991,3791,472143248
19561,8911,5681,44985226

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

A negligible decrease of only 4 was recorded in 1954, but in the following two years, 1955 and 1956, decreases were somewhat larger at 64 and 23 respectively, or 4.2 and 1.6 per cent below each previous year. It is worth noting that decreases have been recorded in each of the last four successive years and in that period the numbers have dropped by almost 14 per cent.

The passing in November 1953 of the Divorce and Matrimonial Causes Amendment Act was expected to have son a effect on future divorce statistics, more particularly as regards petitions and decrees for restitution of conjugal rights. While no great change can be seen yet in the number of decrees absolute granted, the expected change has materialized in the number of petitions and decrees for restitution of conjugal rights. This can be seen in the preceding table.

It is worth noting that the divorce ratio was equal to one for every eleven marriages solemnized in 1953 and 1954, while the ratio in 1955 and 1956 was one divorce to every twelve marriages.

The next table gives the grounds (dissolution or nullity cases) of petitions and decrees during 1955 and 1956.

GroundsPetitions FiledDecrees Absolute Granted
Husbands' PetitionsWives' PetitionsHusbands' PetitionsWives' Petitions
19551956195519561955195619551956
Adultery309322178179212233119123
Bigamy1221  1 
Desertion11914611311911497109103
Drunkenness with cruelty, failure to maintain, etc. 1691 25
Insanity1575712834
Sodomy      1 
Non-compliance with order for restitution of conjugal rights74  2312121
Separation for not less than three years390362536575291290480470
Nullity      13
Non-consummation95321333
Living apart for not less than seven years6582396849543540
Murder1   1   
Presumption of death     1  
Bestiality  1   1 
            Totals916931883960706700766749

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, 1952-56 inclusive, the average percentage of decrees absolute granted on wives' petitions was greater than those granted to husbands. The figures are—wives 84.4 per cent, husbands 78.5 per cent.

Compared with 1938, a normal pre-war year, increases in the following principal grounds for which decrees absolute were granted in 1956 were: adultery 199 (126.7 per cent); and separation 188 (32.9 per cent). Decreases were recorded for non-compliance with restitution order 83 (86.4 per cent); and desertion 3 (1.5 per cent). It is worth noting that in previous years the latter grounds usually showed an increase.

In 408 of the 1,449 cases where decrees absolute were granted during 1956 there was no living issue of the marriage. The number of living issue was 1 in 351 cases, 2 in 336 cases, 3 in 195 cases, and 4 or more in 159 cases.

The table which follows shows the duration of marriage in all cases for which decrees absolute were granted in the five years 1952 to 1956.

Duration of Marriage, in YearsHusbands' Decrees Absolute GrantedWives' Decrees Absolute Granted
1952195319541955195619521953195419551956
Under 5156126876561110111626944
5 and under 10259231221204217242255286234255
10 and under 15177173184155140206178161163174
15 and under 2090109116123105115101116138113
20 and under 3012491112110120113102112112127
30 and over53354349573928365036
                Totals859765763706700825775773766749

The number of living issue affected by the decrees absolute of their parents during each of the last five years was as follows: 1952, 2,497; 1953, 2,348; 1954, 2,300; 1955, 2,294; and 1956, 2,365.

4 D—EUROPEAN DEATHS

(NOTE.—The term European used in the context of this subsection means the population exclusive of Maoris.)

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 still-birth.

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.

The Births and Deaths Registration Amendment Act 1955 provides that—where the death of any person occurs outside New Zealand and the death took place on board a New Zealand ship within the meaning of the Shipping and Seaman Act 1952; or on board an aircraft registered in New Zealand pursuant to the Civil Aviation Act 1948 or as the result of any occurrence on board any such aircraft during its operation—the Registrar-General may authorize any Registrar to register the death in accordance with the provisions of the Act relating to the registration of deaths taking place in New Zealand.

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 4e.

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
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
195417,6678.98
195517,9538.95
195618,4039.00
195719,4119.29

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). A contributing factor to the slight rise in the rate recorded in 1954 was the registration during the year of the deaths of the victims of the Tangiwai railway disaster.

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)
MalesFemalesTotal
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
19549.968.008.98126125
19559.868.038.95124123
19569.98.009.00126125
195710.05.8.229.29127126

COMPARISON WITH OTHER COUNTRIES.—An international comparison of death rates is made in the following table. They are the average of the five years 1952-56 and are taken from the Monthly Bulletin of Statistics issued by the United Nations.

CountryRates Per 1,000 of Population
* European population only.
Israel6.3
Netherlands7.6
Puerto Rico7.9
Canada8.4
Japan8.4
Norway8.5
Union of South Africa*8.5
Denmark8.9
New Zealand9.0
Australia9.1
Finland9.3
United States of America9.4
Spain9.6
Sweden9.6
Italy9.8
Switzerland10.1
Germany (Western)10.7
Ceylon10.8
Costa Rica10.8
Portugal11.5
United Kingdom11.5
Yugoslavia11.5
Republic of Ireland12.0
Austria12.1
France12.4
Chile12.6
India13.3

DISTRIBUTION OF DEATHS OVER THE YEAR.—An examination of the total number of deaths registered in each quarter of the period 1946-56 gives the following averages: March quarter 3,630; June quarter, 4.141; September quarter, 4,999; and December quarter, 4,184.

A classification according to month of death shows that in 1956 the months during which the greatest number of deaths occurred were July, August, and June, with totals of 2,108, 1,980 and 1,688 respectively. Excluding December, a proportion of deaths occurring in that month not being registered till January, February had the least number of deaths, 1,173, followed by January and March with 1,276 and 1,286 respectively.

The lowest number of deaths on any one day, again excluding December, was 29, this number occurring on 23 January, 27 February, 14 March, and 22 November. The greatest number (81) occurred on 22 July and 4 August.

AGE AT DEATH.—The deaths registered during the year 1956 are tabulated below according to age.

AgeMalesFemalesTotal
Under 1 month394279673
1-2 months5649105
3-5 months405898
6-11 months5250102
1 year433679
2 years203252
3 years242246
4 years151429
5-9 years573289
10-14 years533184
15-19 years7824102
20-24 years11124135
25-29 years11847165
30-34 years12462186
35-39 years122124246
40-44 years209151360
45-49 years292201493
50-54 years459275734
55-59 years6614061,067
60-64 years7985431,341
65-69 years1,1878432,030
70-74 years1,5461,1272,673
75-79 years1,6531,4253,078
80-84 years1,2141,1732,387
85-89 years6807911,471
90-94 years206255461
95-99 years4759106
100 years2 2
101 years246
104 years 22
105 years1 1
                Totals10,2648,13918,403

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
19301940195019561930194019501956
Under 19249901,0089787.576.936.035.31
1 and under 53272051992062.681.441.191.12
5 and under 101679887891.370.690.520.48
10 and under 1510510864840.860.760.380.46
15 and under 202221511201021.821.060.720.55
20 and under 253152471581352.581.730.950.73
25 and under 303372701421652.761.890.850.90
30 and under 353372901911862.762.031.141.01
35 and under 403743202752463.072.241.651.34
40 and under 454783623283603.922.531.961.96
45 and under 506404725224935.253.303.122.68
50 and under 557947986977146.515.594.173.99
55 and under 608811,1451,0211,0677.228.026.115.80
60 and under 651,0031,4611,5031,3418.2210.238.997.29
65 and under 701,0771,6972,1702,0308.8311.8812.9811.03
70 and under 751,1711,7722,5362,6739.6012.4115.1714.52
75 and under 801,2421,5562,3163,07810.1810.8913.8616.73
80 and over1,8052,3403,3784,43614.8016.3820.2124.10
            Totals12,19914,28216,71518,403100.00100.00100.00100.00

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 1956 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 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
195126.491.400.641.541.822.937.2020.0446.90127.33
195620.831.070.551.381.622.456.3418.2146.64128.59
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
195617.861.150.330.370.782.024.1610.9229.19101.59
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
195619.391.120.440.881.222.235.2714.4337.30113.68

The average (arithmetic mean) age at death of persons of either sex at ten-yearly intervals since 1901 and during each of the last four years was as follows.

YearMalesFemales
190141.6437.68
191146.1742.37
192148.4546.97
193154.1455.48
194158.6559.60
195161.5865.25
195362.3165.34
195462.7465.72
195562.7566.34
195663.8966.69

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.

AgeMalesFemales
068.2972.43
169.0372.90
268.1772.05
367.2771.12
466.3370.18
565.3969.23
1060.6064.37
2051.1554.64
3041.8945.06
4032.6535.64
5023.8326.68
6016.1918.53
7010.0511.46
805.556.16

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.

Years
PeriodMalesFemales
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
1934-193865.4668.45
1950-195268.2972.43

The above tables are exclusive of Maoris. A table showing the expectation of life of the Maori population is given in Section 4e.

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)66.0770.63
Union of South Africa (1945-47)63.7868.31
England and Wales (1954)67.5873.05
United States of America (1954)67.473.6
Norway (1946-50)69.2572.65
Netherlands (1950-52)70.672.9
Denmark (1946-50)67.870.1
Sweden (1946-50)69.0471.58
Finland (1951-55)63.469.8
France (1950-51)63.669.3
Switzerland (1948-53)66.3670.85
Canada (1950-52)66.3370.83

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 1947-57 are shown in the following table.

YearNumberRate Per 1,000 Live Births
MalesFemalestotalMalesFemalesTotal
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
195455641296822.317.620.0
19555994031,00223.316.620.1
195654243697820.817.719.4
19576064311,03722.817.020.0

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 17 infant deaths per 1,000 live births in 1955, 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 Live Births
Sweden1951-5519
New Zealand1951-5521
Netherlands1951-5522
Australia1951-5523
Norway1950-5424
United States of America1951-5527
United Kingdom1951-5528
Switzerland1951-5528
Denmark1950-5429
Finland1951-5532
China (Taiwan)1951-5533
Union of South Africa1951-5534
Canada1951-5535
Israel1951-5536
Republic of Ireland1951-5540
France1951-5542
West Germany1951-5546
Belgium1951-5547
Japan1951-5548
Czechoslovakia1951-5549
Austria1951-5551
East Germany1951-5555
Cyprus1950-5456
Italy1951-5558
Spain1951-5560
Argentina1950-5466
Venezuela1951-5573
Ceylon1951-5575
Portugal1951-5591
Mexico1950-5492
Peru1950-54104
Yugoslavia1951-55116
India1950-54120
Chile1951-55124

The male rate of infant mortality is considerably above the female rate, the average for New Zealand over the five-year period 1952-56 being 22.5 male deaths per 1,000 male births and 17.9 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, 1946-56 (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
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
19498.23.04.01.21.00.50.317.06.823.8
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
19546.02.44.212.61.00.40.414.45.620.0
19556.41.93.511.81.30.50.514.16.020.1
19566.51.53.611.61.10.40.313.36.019.4

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 1951-55 the death rate for children under one month of age was 50 percent lower than in the quinquennium 1881-85, the rate for children who had survived the first month of life was only approximately one-tenth 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 six 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 1951-55, however, indicate that whereas this group recorded a decrease of 26 per cent from 1941-45, the one-month-and-over group declined by 36 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
1951-195520.9514.846.11
195619.3913.356.04

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
1947194819491950195119521953195419551956
Tuberculosis, all forms635 142 22
Congenital syphilis 14  1  1 
Enteric fever and other salmonella infections   3    2 
Dysentery, all forms  1     1 
Diphtheria5  2      
Whooping-cough2041212464211
Meningococcal infections24 25107798
Tetanus  1 1   11
Poliomyelitis     21 2 
Measles1 31 222  
Influenza, pneumonia, and bronchitis after the first four weeks of life80748553967973777984
Pneumonia of the newborn25312622302224282135
Castro-enteritis after the first four weeks of life21211715261012161014
Diarrhoea of the newborn5233 15132
Congenital malformations190159163198151205163208196186
Birth injury154167158142146118127110144143
Asphyxia and atelectasis100102111128164174152110137128
Haemolytic disease of newborn (erythroblastosis)37353050383437404039
Immaturity unqualified276193238225191191162198162143
Accidents38445230332624172726
Other and undefined causes162130137122131129136152164166
                Totals1,1229701,0461,0081,0171,0149319681,002978
Causes of DeathRates Per 1,000 Live Births
1947194819491950195119521953195419551956
* Less than 0.1.
Tuberculosis, all forms0.10.10.1 *0.1* **
Congenital syphilis *0.1  *  * 
Enteric fever and other salmonella infections   0.1    * 
Dysentery, all forms  *     * 
Diphtheria0.1  0.1      
Whooping-cough0-50.10.30.30.20.10.1***
Meningococcal infections*0.1 0.10.10.20.20.20.20.2
Tetanus  * *   **
Poliomyelitis     0.1* * 
Measles* 0.1***    
Influenza, pneumonia, and bronchitis after the first four weeks of life1.81.71.91.22.21.71.61.61.61.7
Pneumonia of the newborn0.60.70.60.50.60.50.50.60.40.7
Gastro-enteritis after the first four weeks of life0.50.50.40.30.60.20.30.30.20.3
Diarrhoea of the newborn0.10.10.10.1 *0.1*0.1*
Congenital malformations4.23.63.74.53.44.43.54.33.93.7
Birth injury3.43.83.63.23.32.52.72.32.92.8
Asphyxia and atelectasis2.22.32.52.93.73.73.32.32.72.5
Haemolytic disease of newborn (erythroblastosis)0.80.80.71.10.90.70.80.80.80.8
Immaturity unqualified6.24.45.45.14.34.13.54.13.22.8
Accidents0.91.01.20.70.70.60.50.40.50.5
Other and undefined causes3.62.83.12.62.92.82.93.13.33.3
Totals25.022.023.822.822.821.820.120.020.119.4

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 up to 1952-1956. 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 1952-56—it is found that the general infant-mortality rate shows a decline of 81 per cent, while even greater decreases are recorded for tuberculosis (99 per cent), convulsions (100 per cent), gastric and intestinal diseases (98 per cent), epidemic diseases (97 per cent), and respiratory diseases (81 per cent). The rate for epidemic diseases still continues to decline, and it is interesting to note that over 46 per cent of the total under this heading in the years 1952-56 were due to meningococcal infections, with 17 per cent assigned to influenza, and 16 per cent to whooping-cough. During the five-year period 1952-56 there were only two deaths from streptococcal sore throat and no deaths at all from scarlet fever or diphtheria.

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 CausesTotal
* 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
1922-19261.80.41.34.32.84.822.43.3411
1927-19311.50.30.53.71.75.019.43.135.2
1932-19361.50.20.63.31.25.017.52.431.7
1937-19411.40.20.23.11.35.517.42.531.6
1942-19461.10.10.12.91.24.616.12.628.7
1947-19510.60.10.12.30.83.813.62.023.3
1952-19560.4* 2.40.64.011.01.820.3

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 100. 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
195284617-8870414.881,55032.76
195388718.7566414.041,55132.79
195487217.6969414.071,56631.76
195579615.7170513.911,50129.62
195685816.7367313.121,53129.85

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 65 such cases recorded during 1955. 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 796 still-births registered during 1955 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 mother161531
Acute disease in mother5611
Diseases and conditions of pregnancy and childbirth8061141
Difficulties in labour452974
Other causes in mother4 4
                Totals150111261
(b) Foetal Causes
Placental and cord conditions145102247
Birth injury8210
Congenital malformation of foetus4357100
Diseases of foetus and ill-defined causes9484178
                Totals290245535
                Totals, all causes440356796

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 48 per cent die in the first day of life and 87 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 1956 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 WeeksOne Weeks and Under Three WeeksThree Weeks and Under One MonthTotal Under One Month
Congenital malformations2645149397
Injury at birth304111174
Injury at birth with prematurity47182  67
Post-natal asphyxia and atelectasis3813   51
Post-natal asphyxia and atelectasis, with prematurity40323  75
Pneumonia of newborn21155225
Pneumonia of newborn, with prematurity3322 10
Disorders arising from maternal toxaemia21   3
Disorders arising from maternal toxaemia, with prematurity123   15
Haemolytic disease of newborn (erythroblastosis)11122  25
Haemolytic disease of newborn (erythroblastosis), with prematurity561  12
Haemorrhagic disease of newborn331 18
Haemorrhagic disease of newborn, with prematurity112   13
Diarrhoea of newborn  1 12
Diarrhoea of newborn with prematurity      
Ill-defined diseases peculiar to early infancy211  4
Ill-defined diseases peculiar to early infancy, with prematurity122   14
Immaturity with mention of any other subsidiary condition  1 1 
Immaturity, unqualified884771 143
Pemphigus neonatorum 1  1 
Umbilical sepsis  1  1
Other sepsis of newborn 21 14
Other sepsis of newborn, with prematurity
External causes21 1 4
Other causes24113424
                Totals326258542213673

A total of 143, or 21 per cent, of all neo-natal deaths are directly attributed to prematurity (immaturity) and a further 207 deaths are given as associated with it. The principal conditions of early infancy with which prematurity was associated were: (i) asphyxia in 75 cases (11.1 percent of all neo-natal deaths); (ii) birth injury in 74 cases (11 per cent of all neo-natal deaths); and (iii) all other causes peculiar to early infancy in 58 cases (8.6 per cent of all neo-natal deaths).

In the case of still-births, out of 796 in 1955 there were 420 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).

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
1952195319541955195619521953195419551956
* Less than one.
Tuberculosis of respiratory system22518318119514612095929771
Tuberculosis, other forms4755232314252812117
Syphilis and its sequelae6261262617333213138
Typhoid fever 23   12  
Dysentery, all forms2 1411 12 
Scarlet fever and streptococcal sore throat12211111**
Diphtheria2342212211
Whooping-cough7552243311
Meningococcal infections192022161610101188
Acute poliomyelitis54261295129131425 
Measles307882164441
All other diseases classified as infective and parasitic66675285773535264238
Malignant neoplasms, including neoplasms of lymphatic and haematopoietic tissues of lymphatic and haematopoietic tissues2,7992,7862,8783,0773,0481,4921,4481,4641,5341,491
Benign and unspecified neoplasms42363935442219201722
Diabetes mellitus22124219320521511812698102105
Anaemias75618377694032423834
Vascular lesions affecting central nervous system2,1652,2522,2502,2812,2571,1541,1701,1441,1371,104
Non-meningococcal meningitis23411927311221101315
Rheumatic fever817135749723
Chronic rheumatic heart-disease22021920020217111711410210184
Arteriosclerotic and degenerative heart disease4,6574,8494,7354,7705,0232,4822,5192,4082,3782,457
Other diseases of the heart660528639702707352274325350346
Hypertension with heart-disease632559639630546337290345314267
Hypertension without mention of heart1651441111221408875566168
Influenza129357423836918381141
Pneumonia416370458480657224192233239321
Bronchitis348286374407383116148190203187
Ulcer of stomach and duodenum140158168172177582858687
Appendicitis272826182741413913
Intestinal obstruction and hernia110111134931275958684662
Gastritis, duodenitis, enteritis, and colitis, except diarrhoea of newborn75799587994041484348
Cirrhosis of liver57465270643024263531
Nephritis and nephrosis188178203160119100921038058
Hyperplasia of prostate1401171211421667561627181
Complications of pregnancy, childbirth, and the puerpeirum33252522201813131110
Congenital malformations255234286266254116122145133124
Birth injuries, post-natal asphyxia, and immaturity unqualified292260220281271136135112140133
Infections of the newborn25366627431319341321
Other diseases peculiar to early infancy, and immaturity unqualified274258265254242146134134127118
Senility without mention of psychosis, ill defined, and unknown causes1771191701611439462868070
All other diseases1,5351,4651,5661,6841,918818761796840938
Motor-vehicle accidents252279277313294134145141156144
All other accidents550558730571525293290371285257
Suicide and self-inflicted injury189192175181194101100899095
Homicide and operations of war1910151710105885
Totals17,41317,00917,66717,95318,4039.2828.8378,9848,9509,001

TUBERCULOSIS.—The death rate from tuberculosis of the respiratory system has shown a declining tendency for many years, but the reduction by nearly one-half in the space of the five years 1952-56 is a noteworthy achievement. The rate for 1956,71 per million of population, is considerably lower than that recorded for 1955.

In addition to the 146 deaths from tuberculosis of the respiratory system during 1956, there were 14 deaths from other forms of tuberculosis, comprising—

Tuberculosis of meninges and nervous system3
Tuberculosis of intestines, peritoneum, and mesentery1
Tuberculosis of bones and joints3
Tuberculosis of skin 
Tuberculosis of lymphatic system 
Tuberculosis of genito-urinary system3
Tuberculosis of adrenal glands1
Tuberculosis of other organs 
Disseminated tuberculosis3

Deaths from tuberculosis of sites other than pulmonary have also declined greatly in recent years, the death rate from these causes having been reduced by nearly two-thirds during the five years 1952-56. The principal contributory factor towards this reduction has been tuberculosis of the meninges and central nervous system. In 1952 there were 14 deaths from this cause, compared with only 3 in 1955.

The following table shows the number of deaths from tuberculosis in 1956, classified according to sex and age groups. Of those dying from this cause in 1956, persons under the age of 45 years formed 27 per cent.

Age, in YearsMalesFemalesTotal
Under 5123
5 and under 102 2
10 and under 15112
15 and under 20123
20 and under 25213 
25 and under 30224
30 and under 354610
35 and under 40448
40 and under 45358
45 and under 50459
50 and under 5513417
55 and under 6015419
60 and under 6513417
65 and under 7017320
70 and under 7511314
75 and under 807613
80 and over8 8
            Totals10852160

CANCER.—A special report on cancer was issued in 1954 by the Medical Statistics Branch of the Department of Health. This report covers the years 1948-53, and is an analysis of the deaths occurring from cancer in New Zealand during those years, together with a survey of returns received from the various cancer clinics established in New Zealand under the auspices of the British Empire Cancer Campaign Society. From these data estimates have been prepared of the total numbers of new cases of cancer that occur each year and of cancer of different sites at different ages in the two sexes. A comparison is given of the situation in New Zealand with that in other parts of the world, together with estimates of the chances of survival. 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. A summary of the special report on cancer mentioned above is contained in the Medical Statistics Report of the Department of Health for 1953, while another covering the period 1948-55 has been prepared but is not yet published.

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
1950-551.5314.94

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 1875.

In 1956 there were 3,048 deaths from cancer in New Zealand, a proportion of 14.91 per 10,000 of mean population. Figures in this table are all inclusive of Hodgkin's disease, leukaemia, etc. 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.
19462,26813.688.90
19472,31513.678.85
19482,45314.219.17
19492,47214.049.08
19502,65214.778.98
19512,83615.499.49
19522,79914.929.02
19532,78614.488.86
19542,87814.648.98
19553,07715.349.35
19563,04814.919.14

A summary showing the location of the disease in deaths from cancer during 1956 is given in the following table.

Site of DiseaseNumbersRates Per Million of Mean Population
MalesFemalesTotalMalesFemalesTotal
Buccal cavity and pharynx521769511734
Oesophagus442569432534
Stomach242179421236176206
Intestine, except rectum146197343142194168
Rectum9571166937081
Larynx144181449
Trachea, and of bronchus and lung not specified as secondary3035535829554175
Breast32432463239120
Cervix uteri8181 8040 
Other and unspecified parts of uterus 4343 4221
Prostate175 175170 86
Skin442266432232
Bone and connective tissue161531161515
All other and unspecified sites332363695323357340
Leukaemia and aleukaemia7060130685964
Lymphosarcoma and other neoplasms of lymphatic and haematopoietic system9245137904467
                Totals1,6281,4203,0481,5851,3961,491

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 1956 is now given.

Age, in YearsMalesFemalesTotal
Under 5191635
5 and under 107512
10 and under 15448
15 and under 209413
20 and under 256511
25 and under 30151227
30 and under 35161733
35 and under 40234396
40 and under 45504696
45 and under 505385138
50 and under 5586105191
55 and under 60158130288
60 and under 65169150319
65 and under 70256186442
70 and under 75301219520
75 and under 80248197445
80 and over208196404
            Totals1,6281,4203,048

Ninety per cent of the deaths from cancer during 1956 were at ages 45 years and upwards, and 59 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
19373.61
19384.07
19393.64
19402.93
19413.36
19422.53
19432.21
19442.71
19452.24
19462.05
19471.07
19481.26
19491.02
19500.90
19510.69
19520.71
19530.54
19540.51
19550.44
19560.40

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 1956 of 0.40 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 puerperium for the three years 1954 to 1956 are shown in the following summary.

Causes of DeathNumber of DeathsRate Per 10,000 Live Births
195419551956195419551956
Toxaemias of pregnancy11262.270.401.9
Placenta praevia
Other haemorrhage of pregnancy12 0.210.40  
Ectopic pregnancy
Abortion without mention of sepsis or toxaemia2110.410.200.20
Abortion with sepsis4440.820.800.79
Abortion with toxaemia1  0.21  
Delivery complicated by placenta pracvia or antepartum haemorrhage 11 0.200.20
Delivery complicated by retained placenta1110.210.200.20
Delivery complicated by other post-partum haemorrhage2410.410.800.20
Delivery complicated by disproportion or malposition of foetus1110.210.200.20
Delivery complicated by prolonged labour of other origin 3  0.61 
Delivery with trauma 13 0.200.59
Delivery with other complications of childbirth1  0.21  
Sepsis of childbirth and the puerperium
Puerperal phlebitis and thrombosis  1  0.20
Puerperal pulmonary embolism1110.210.200.20
Puerperal eclampsia 1  0.20 
Other and unspecified complications of the puerperium
                Totals, including septic abortion2522205.164.413.97
                Totals, excluding septic abortion2118164.343.613.17

A summary of maternal mortality from all puerperal causes, in triennial periods since 1930, is now given.

Causes of Death1930-321933-351936-381939-411942-441945-471948-501951-531954-56
Number
Puerperal sepsis58394446301263 
Eclampsia and other toxaemias979394805862423019
Septic abortion85916858613320712
Accidents, haemorrhage, and other mortality1241049113594110734936
            Total maternal mortality3643272973192432171418967
            Maternal mortality, excluding septic abortion2792362292611821841218255

In all four disease divisions there has been a steady downward trend in the numbers despite the fact that in the quarter century covered the total of confinements has approximately doubled. This position has been brought about by improvements in the standard of ante-natal care and obstetrical skill as well as advances in medical science.

DEATHS FROM EXTERNAL CAUSES.—Deaths from external causes, apart from suicide, claim approximately 6 per cent of the total deaths. The following table shows deaths from external causes for the three years 1954, 1955, and 1956 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
195419551956195419551956
Motor-vehicle accidents277313294141156144
Other transport accidents25285651284232
Accidental poisoning1823199129
Accidental falls181177162928879
Accident caused by machinery222823111411
Accident caused by fire and explosion of combustible material452627231313
Accident caused by hot substance, corrosive liquid, steam, and radiation101211565
Accident caused by firearm8138474
Accidental drowning and submersion8795102444750
All other accidental causes107112108555653
Homicide and injury purposely inflicted by other persons (not in war)151710885
            Totals1,022901829520449405

The number of deaths recorded from all accidental causes in 1956 was 819 corresponding to a rate of 4.01 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
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
19541804269160.920.021.370.08
195542229590.210.011.470.04
1956213281100.100.011.370.05

Deaths occurring as a result of the Tangiwai railway disaster were not registered till 1954, and consequently were not included in the 1953 totals. These deaths numbered 154, and of course account for the large increase in the number of deaths due to railway accidents shown for 1954. Of this number 1 was a Maori, and 7 were registered as unidentified bodies.

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.

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 1955, with the exception of a small decline in 1952. The year 1956 showed an improvement from the accident point of view, there being declines over the previous year in all major groups.

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 1956 there were 13 deaths from such accidents, bringing the total number of deaths in cases where a motor vehicle was involved up to 294. The corresponding figure for 1955 was 313.

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 1954, 1955, and 1956 according to this classification.

Place of OccurrenceNumberRate Per Million of Mean Population
195419551956195419551956
Home (including home premises and vicinity and any non-institutional place of residence)253233231129116113
Farm (including buildings and land under cultivation, but excluding farm and home premises)394532202216
Mine and quarry5118254
Industrial place and premises262023131011
Place for recreation and sport947523
Street and highway131814797
Public building (building used by the general public or a particular group of the public)818414
Resident institution (homes, hospitals, etc.)14352971714
Other specified places799490404744
Place not specified715312
                Totals453462447230230219

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 116 deaths from non-transport accidents on farms in the period covered, while fatal non-transport accidents in industrial plants, factories, and workplaces totalled 69.

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 1956 numbered 194—males 128, females 66—the death rate per 10,000 of mean population being 0.95.

YearNumber of Suicidal DeathsRate Per 10,000 of Mean Population
MalesFemalesTotalMalesFemalesTotal
1952141481891.500.511.01
1953135551901.400.570.99
1954132431751.340.440.89
1955130511811.290.510.90
1956128661941.250.650.95

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
1950-541.410.500.96

4 E—MAORI VITAL STATISTICS

UNLESS specially stated to the contrary, in the preceding subsections 4b and 4d, 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 1957 was 6,632 (3,333 males, 3,299 females). The Maori birth rate in 1957 was almost twice the European birth rate (46.29 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
MalesFemalesTotal
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
19542,9342,7665,70044.37
19552,9842,8235,80743.64
19563,1333,0306,16344.64
19573,3333,2996,63246.29

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 have lapsed.

The Maori marriage figures for each of the ten years (1942-51) were given on page 99 of the 1955 issue.

MAORI DEATHS.—Registrations of Maori deaths during each of the last eleven years have been as follows.

YearNumberRate Per 1,000 of Maori Population
MalesFemalesTotalMalesFemalesTotal
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
19546805291,20910.358.439.41
19556945781,27210.198.909.56
19567085851,29310.038.679.37
19578046471,45110.999.2210.13

The rates for the two sexes are much more nearly equal for Maoris than for the rest of the population, the female rate being actually higher than the male in 1949. 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 1956 were as shown in the following table.

Age, in YearsMalesFemalesTotal
Under 1188147335
1 and under 55458112
5 and under 10181028
10 and under 15111223
15 and under 20151227
20 and under 25161733
25 and under 3012618
30 and under 35201535
35 and under 40191534
40 and under 45213253
45 and under 50322759
50 and under 55312859
55 and under 60393978
60 and under 65472572
65 and under 706340103
70 and under 75423678
75 and under 80362460
80 and under 85231639
85 and under 90121325
90 and under 9531013
95 and under 100527
100 and over112
    Totals7085851,293

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 4d.

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.

The rates set out in the following table are crude rates, i.e., the number of deaths attributed to the disease per 10,000 of the total Maori population. Taken at their face value the figures show the Maori as having a very low mortality from certain diseases which rank high as causes of death among the European population. These diseases are those which generally affect persons of more advanced ages, such as cancer, diabetes, vascular lesions of the central nervous system, arteriosclerotic and degenerative heart disease, and kidney disease. The Maori population has a comparatively small proportion of its total in the older age groups (8 per cent of the Maori total are at ages over sixty as compared with a proportion of 23 per cent in the non-Maori), and if allowance is made for the low numbers who would be susceptible to these conditions, it is apparent that the Maori is affected in much the same proportion as the European. This position is revealed by the calculation of age-specific rates, which are the number of deaths from a disease in a specified age group per 10,000 of the population in that age group. It is unfortunate that both the absolute numbers of deaths as well as the population at risk in the older ages is too small to permit of the calculation, for the Maori, of standardized rates which smooth out these age-structure disparities.

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 1954 to 1956 classified according to the Abbreviated List of the 1948 Revision.

Causes of DeathNumber of DeathsRate Per 10,000 of Mean Maori Population
195419551956195419551956
Tuberculosis of respiratory system7161625.534.584.49
Tuberculosis, other forms2914162.261.051.16
Syphilis and its sequelae3560.230.380.43
Typhoid fever22 0.160.15 
Dysentery, all forms2230.160.150.22
Whooping-cough5580.390.380.58
Meningococcal infections5840.390.600.29
Acute poliomyelitis  1  0.07
Measles10760.780.530.43
All other diseases classified as infective and parasitic1512161.170.901.16
Malignant neoplasms, including neoplasms of lymphatic and haematopoietic tissues87941026.777.067.39
Benign and unspecified neoplasms4450.310.300.36
Diabetes mellitus611140.470.831.01
Anaemias41050.310.750.36
Vascular lesions affecting central nervous5644604.363.314.35
system
Non-meningococcal meningitis1115140.861.131.01
Rheumatic fever86100.620.450.72
Chronic rheumatic heart-disease3439512.652.933.69
Arteriosclerotic and degenerative heart-13012915410.129.6911.16
disease
Other diseases of the heart4358463.354.363.33
Hypertension with heart-disease1733151.322.481.09
Hypertension without mention of heart2250.160.150.36
Influenza6560.470.380.43
Pneumonia1251481469.7311.1210.58
Bronchitis4553573.503.984.13
Ulcer of stomach and duodenum3420.230.300.14
Appendicitis3430.230.300.22
Intestinal obstruction and hernia12980.930.680.58
Gastritis, duodenitis, enteritis, and colitis,4964403.814.812.90
except diarrhoea of the newborn
Cirrhosis of liver2240.160.150.29
Nephritis and nephrosis1718121.321.350.87
Hyperplasia of prostate3240.230.150.29
Complications of pregnancy, childbirth,912110.700.900.80
and the puerperium
Congenital malformations2224301.711.802.17
Birth injuries, post-natal asphyxia, and4148553.193.613.98
atelectasis
Infections of the newborn4470.310.300.51
Other diseases peculiar to early infancy,5648424.363.613.04
and immaturity unqualified
Senility without mention of psychosis,191491.481.050.65
ill-defined, and unknown causes
All other diseases1041071238.108.048.91
Motor-vehicle accidents5551404.283.832.90
All other accidents8582856.626.166.16
Suicide and self-inflicted injury2650.160.450.36
Homicide and operations of war3610.230.450.07
            Totals1,2091,2721,29394.1295.5893.66

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 67 per 1,000 births in the case of Maoris for the five years 1953-57, as compared with 20 per 1,000 among European infants. There has been a substantial decrease in Maori infant mortality in recent years, the rate for 1956 being a record low figure. In 1957 there was a slight increase, as was also the case with the European infant mortality rate. There has been a reduction of 20 per cent in the rate for the five years 1953-57 compared with the previous quinquennium.

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
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
195433458.6096819.99
195536362.511,00220.09
195633554.3697819.39
195738558.051,03619.98

The next table shows for the year 1956 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 MonthsTotal
Tuberculosis         1 1
Syphilis            
Dysentery, all forms    1   1  2
Whooping-cough       122 5
All other diseases classified as infective and parasitic   1  1 1328
Non-meningococcal meningitis       224210
Influenza        2 13
Pneumonia, except of newborn      7545271599
Bronchitis       243 9
Intestinal obstruction and hernia1    121   5
Gastritis, duodenitis, enteritis, and      1299526
colitis, except diarrhoea of newborn            
Congenital malformations5351  2224226
Birth injuries2058  1 1   35
Post-natal asphyxia and atelectasis1244        20
Infections of the newborn1 1 33     8
Immaturity unqualified183101       32
Other diseases peculiar to early infancy3112   1  19
Accidents 1    229 216
Other diseases11   11275321
                Totals6118295461621845833335

Immaturity unqualified accounted for 32 infant deaths, but in a further 27 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 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-one years.

YearEuropeansMaoris
Under One MonthOne and Under Twelve MonthsTotal Under One YearUnder One MonthOne and Under Twelve MonthsTotal Under One Year
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
195414.395.6019.9919.8338.7758.60
195514.145.9520.0919.6442.8762.51
195613.356.0519.3919.9634.4054.36

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 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 in accordance with the International Statistical Classification of Diseases, Injuries, and Causes of Death, and published annually in the Department of Health publication Medical Statistics. Similar information was formerly published in the Annual Report on Vital Statistics issued by the Department of Statistics. Other morbidity statistics in New Zealand are those concerning certain notifiable diseases, shown in Section 5a, those about industrial accidents reported in Section 42, those concerning benefits granted under the Social Security Act reported in Section 7a, those to sick members of Friendly Societies mentioned in Section 7e, and those about people in mental hospitals reported in Section 5c.

NOTIFICATION OF DISEASES.—The numbers of all notifiable diseases reported during the calendar year 1956 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
* Declared a notifiable infectious disease from 26 April 1956.
Diphtheria1145442 1153313
Enteric fever—
    Typhoid1211643 112101016150
    Paratyphoid1121      1 61
Tuberculosis—
    Pulmonary931121561071331011371551681511461061,565524
    Other forms1914292415820152824301524192
Cerebrospinal meningitis618338167611037216
Poliomyelitis26621817110642201610911171189742
Influenza 1    8101 1 216
Erysipelas35425363 566481
Puerperal fever—
    Ordinary335423241251355
    Following abortion1111 211 11211 
Eclampsia63536372 253471
Tetanus62322 111131231
Hydatids24235142 4353812
Trachoma 11 1121  21107
Ophthalmia neonatorum    23111251622139317
Food poisoning22103318371271410318432
Dysentery—
    Bacillary635152713111618826151120128
    Amoebic1 122 1 122113 
Undulant fever2163833  411321
Leptospirosis75456354133441161434
Salmonellosis9656932  569607
Malaria 11  11 11  6 
Actinomycosis   1   1    2 
Lethargic encephalitis 1    1 1 1 42
Anchylostomiasis (hookworm)         2 13 
Infective hepatitis*   5058681204988657257046 
Pemphigus neonatorum*    326392704952754948246
Leprosy 2     1    3 
Beri-beri          1 1 
            Totals4554304363423523054834393864574843344,903944

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.

Disease19521953195419551956
DiphtheriaAll cases5289695131
 Maori10138103
Typhoid and paratyphoid feverAll cases85111516067
 Maori5474244151
Pulmonary tuberculosisAll cases1,7051,7101,6511,6401,565
 Maori493523573501524
Cerebrospinal meningitisAll cases1041231219172
 Maori1623352316
PoliomyelitisAll cases89040343703897
 Maori29623442
Puerperal fever and septic abortionAll cases6062453946
 Maori55515
TetanusAll cases3230243223
 Maori34451
HydatidsAll cases3961413638
 Maori1410141012
Food poisoningAll cases312271370198184
 Maori4116161232
Bacillary dysenteryAll cases115123438457201
 Maori36461046228
Undulant feverAll cases7881604432
 Maori55321

Diphtheria.—Notifications at 31 were the smallest number recorded to date.

Typhoid and Paratyphoid Fever.— In 1956 the incidence was much the same as in 1955.

Cerebrospinal Meningitis.—The notifications showed a decrease of 19 on 1955.

Poliomyelitis.—The 1955-56 epidemic continued until July. Since then cases have occurred sporadically. Details are available in the Department of Health's Annual Report. The vaccination of children against poliomyelitis was commenced.

Hydatids Disease.—The figures for 1956 again point to a disturbingly high incidence. 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.—While the reported cases numbered 184 the number of outbreaks, however, was about the same as the previous year. 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 again showed a slight decrease, 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.—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 1952-56, and found to be suffering from gonorrhoea or syphilis.

GonorrhoeaSyphilis
MalesFemalesTotalMalesFemalesTotal
19528473101,157345084
19538543331,187294473
1954697257954274370
1955595248843313263
1956701228929462470

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 is on the decline. The Department of Health is continuing its efforts to reduce further both incidence and mortality. In fact the mortality per 100,000 has decreased from 28.3 in 1951 to 10.9 in 1956. The number of Public Health Nurses available for tuberculosis case-finding work has been increased, and hospital clinics in the charge of chest specialists have been provided to give a wider coverage. The responsibilities of the Department of Health in case-finding and domiciliary care are co-ordinated with those of the Hospital Boards, which are responsible for diagnosis and treatment.

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. There are at present some ten X-ray units strategically sited throughout the country. In 1956 eight of these carried out a total of 202,672 chest X-ray examinations, and found that almost two persons in every thousand examined required supervision and treatment for tuberculous disease. In addition to tuberculosis, many other conditions of lungs and heart were discovered and where necessary were referred to the individual's private doctor for further investigation and follow-up.

As a contribution to prophylaxis, B.C.G. vaccination against tuberculosis, which was commenced in hospital staffs, contacts, and adolescents, is being maintained in these groups. During 1956 vaccinations were performed in 20,460 persons after preliminary Mantoux testing, and the results of this activity should become manifest in the years to come.

The Department of Health maintains a Tuberculosis Register, which classifies all notified cases, and a clearer conception of the type, form, and extent of the disease is being obtained. The number of cases on the Register (inclusive of Maoris) at 31 December 1956 was 13,008, of which 11,895 were respiratory and 1,113 non-respiratory. The number of new cases notified in 1956 was 1,806, of which 1,188 were European and 618 Maori. Of the European cases, 1,039 were respiratory and 149 non-respiratory, and in the Maori cases the figures were 528 and 90 respectively. Some of these cases may have since been proved non-tuberculosis and subsequently deregistered.

The total number of persons on the register at the end of 1956 amounted to 43.2 per 10,000 of the European population and 310 per 10,000 of the Maori population. The combined figure was 60 per 10,000.

PUBLIC HOSPITALS.—Detailed statistical information is supplied to the Department of Health about every patient, except normal maternity cases, discharged from or dying in public hospitals in New Zealand. The following tables have been compiled from that information for the years specified below.

Patients Treated.—The following table shows the number of patients treated in public hospitals for the years 1952-1956.

YearRemaining on 1 January From Previous YearAdmissionsDischargesDeathsTotal Number of Indoor PatientsRemaining on 31 December

*Does not include eight patients in hospitals from which returns were not collected after 31 December 1952.

† Does not include 314 normal maternity cases previously included in the total remaining on 31 December 1953.

‡ Does not include 7 patients in hospitals from which returns were not collected after 31 December 1954.

§ Does not include 16 patients in hospitals from which returns were not collected after 31 December 1955.

19528,626165,729157,3718,119174,3558,865
19538,857*166,943158,9787,926175,8008,896
19548,582155,603147,6908,140164,1858,355
19558,348156,063148,0258,410164,4117,976
19567,960§160,684151,8818,824168,6447,939

The smaller numbers of patients treated during 1954 and subsequent years were caused by excluding from the annual figures normal maternity cases treated in maternity wards. However, cases of delivery with complications, together with conditions arising out of pregnancy and the puerperium, have still been included.

Age and Sex of Patients.—The age and sex of patients discharged from or dying in public hospitals during 1955 are shown below.

Age-GroupsMalesFemalesTotal
Under 1 year4,0562,9126,968
1 and under 2 years2,1191,5013,620
2 and under 3 years1,8421,2773,119
3 and under 4 years1,5591,1282,687
4 and under 5 years1,5971,1512,748
5 and under 10 years7,3415,84613,187
10 and under 15 years4,9923,7118,703
15 and under 20 years5,0005,62610,626
20 and under 25 years5,2517,04512,296
25 and under 30 years4,6626,97211,634
30 and under 35 years4,0426,14310,185
35 and under 40 years3,6765,1468,822
40 and under 45 years3,6554,6028,257
45 and under 50 years3,7824,0377,819
50 and under 55 years3,9073,5087,415
55 and under 60 years3,6603,2416,901
60 and under 65 years3,5303,1476,677
65 and under 70 years4,0293,3297,358
70 and under 75 years3,8112,8636,674
75 and under 80 years3,1732,4905,663
80 and under 85 years1,7801,4443,224
85 years and over9618911,852
                Totals78,42578,010156,435

Although there is little difference in the overall totals of males and females, there is a well-defined pattern when figures for each sex are compared, age-group by age-group. In all ages under fifteen years there is a preponderance of males. This difference is common to most disease groups but is more marked in diseases of the respiratory system, genito-urinary system, and in accidental injuries. For the ages between fifteen and fifty years there are more females than males. This age-group covers the child-bearing ages in women, and the higher proportion of female patients is a reflection of this fact. Apart from conditions associated with pregnancy, abortion, delivery, and the puerperium, female patients outnumbered male patients in both malignant and non-malignant tumours and in diseases of the genito-urinary system. In the remaining age-group, that for ages over fifty years, the males once more predominate, particularly in diseases of the circulatory, respiratory, and digestive systems.

Principal Diseases.—The following summary shows the principal diseases treated, together with the number of deaths and the fatality rate per cent in public hospitals in 1955. The disease headings are the sub-titles of the International Statistical Classification of Diseases, Injuries, and Causes of Death. More detailed information is published annually in Medical Statistics.

It should be noted that the disease or condition for which a patient is admitted to hospital is not necessarily that which would rank as the cause of death in mortality statistics. Congestive heart failure, for instance, is comparatively highly ranked in hospital cases as the condition immediately affecting the patient, but is frequently only the consequence of some underlying disease, which would take precedence over congestive heart failure in the statistics of causes of death. Hospital returns show each disease for which the patient was treated while in hospital, but the classification for statistical purposes has been made on the basis of the principal disease for which the patient was admitted, regardless of what other unrelated diseases may have been present or developed during the stay in hospital. In mortality statistics on the other hand, the underlying cause of death is of paramount importance. In the summary below a patient admitted on account of an injury is classified according to the nature of the injury. Should the patient die, however, the death would be classified in the mortality statistics according to the cause of the injury—e.g., motor-car accident, accidental fall, etc.

SUMMARY OF PRINCIPAL DISEASES TREATED IN PUBLIC HOSPITALS DURING 1955
DiseasesTotal Cases in Public HospitalsDeaths in Public HospitalsFatality Rate Per Cent
Tuberculosis of respiratory system3,1521414.5
Tuberculosis, other forms829323.9
Syphilis and its sequelae1201411.7
Gonococcal infection and other venereal diseases7111.4
Infectious diseases commonly arising in intestinal tract441102.3
Other bacterial diseases637507.8
Spirochaetal diseases, except syphilis86  
Diseases attributable to viruses2,084582.8
Malaria16  
Other infective and parasitic diseases390102.6
Cancer, malignant diseases6,0911,61626.5
Benign neoplasms3,092250.8
Neoplasms of unspecified nature12254.1
Allergic disorders1,676362.1
Diseases of thyroid gland724131.8
Diabetes mellitus1,4801177.9
Diseases of other endocrine glands205136.3
Avitaminoses, and other metabolic diseases304113.6
Diseases of the blood and blood forming organs635528.2
Psychoses1,098534.8
Psychoneurotic disorders1,61630.2
Disorders of character, behaviour, and intelligence913151.6
Vascular lesions affecting central nervous system2,7311,29647.5
Inflammatory diseases of central nervous system5288415.9
Other diseases of central nervous system1,29913310.2
Diseases of nerves and peripheral ganglia30141.3
Inflammatory diseases of eye48210.2
Other diseases and conditions of eye1,98880.4
Diseases of ear and mastoid process1,75290.5
Rheumatic fever398123.0
Chronic rheumatic heart disease3105818.7
Arteriosclerotic and degenerative heart disease3,13990828.9
Other diseases of heart1,86152228.0
Hypertensive disease1,48018212.3
Diseases of arteries65918427.9
Diseases of veins and other diseases of circulatory system3,684591.6
Acute upper respiratory infections1,900110.6
Influenza54020.4
Pneumonia5,0663937.8
Bronchitis1,9581266.4
Other diseases of respiratory system9,1021031.1
Diseases of buccal cavity and oesophagus1,79080.4
Diseases of stomach and duodenum2,4111305.4
Appendicitis5,994190.3
Hernia of abdominal cavity3,717421.1
Other diseases of intestines and peritoneum4,0191533.8
Diseases of liver, gall bladder, and pancreas3,0611725.6
Nephritis and nephrosis4748417.7
Other diseases of urinary system2,182673.1
Diseases of male genital organs2,0481226.0
Diseases of breast, ovary, Fallopian tube, and parametrium1,04010.1
Diseases of uterus and other female genital organs5,617140.2
Complications of pregnancy2,59640.2
Abortion4,37650.1
Delivery1,63560.4
Complications of the puerperium64410.2
Infections of skin and subcutaneous tissue2,92060.2
Other diseases of skin and subcutaneous tissue2,027150.7
Arthritis and rheumatism, except rheumatic fever1,870432.3
Osteomyelitis and other diseases of bone and joint2,631190.7
Other diseases of musculoskeletal system1,76530.2
Congenital malformations2,0151477.3
Birth injuries, asphyxia, and infections of newborn40110927.2
Other diseases peculiar to early infancy1,2731078.4
Symptoms, senility, and ill-defined conditions8,6601992.3
Fracture of skull, spine, and trunk2,0771246.0
Fracture of upper limb2,987120.4
Fracture of lower limb3,7302256.0
Dislocation without fracture65140.6
Sprains and strains of joints and adjacent muscles524  
Head injury (excluding skull fracture)4,144852.1
Internal injury of chest, abdomen, and pelvis3113711.9
Laceration and open wound of face, neck, and trunk90620.2
Laceration and open wound of upper limb2,37850.2
Laceration and open wound of lower limb1,13710.1
Laceration and open wounds of multiple location12332.4
Superficial injury297  
Contusion and crushing with intact skin surface1,10560.5
Effects of foreign body entering through orifice67230.4
Burns1,413261.8
Injuries to nerves and spinal cord without bone injury9722.1
Effects of poisons1,012151.5
Effects of weather, exposure, and related conditions3525.7
Other and unspecified injuries and reactions604122.0
Special conditions and examinations without sickness2,023  
Admissions for convalescent care, plastic treatment, and fitting of prosthetic devices83  
            Totals156,4358,4105.4

Deaths in Public Hospitals.—The proportion of deaths in public hospitals to all deaths has increased over the last twenty-five years. Examination of the following table shows the trend.

YearDeaths in Public HospitalsTotal DeathsProportion of Deaths in Public Hospitals to Total Deaths
*Not available.
19273,78212,64629.9
19283,93212,93530.4
19294,12513,22031.2
19303,97913,14530.3
19313,82213,06229.3
19323,88212,87530.2
19334,03612,86231.4
19344,38313,81031.7
19354,49713,66432.9
19364,95214,65833.8
19375,27415,21534.7
19385,95916,87435.3
19395,56815,93334.9
19405,82515,87536.7
19416,51117,04738.2
19427,07318,11739.0
19437,37217,12243.0
19447,47817,04943.9
19457,93917,68644.9
19467,71017,72043.5
1947*17.442*
19487,35217,28542.5
19497,59517,57843.2
19507,74218,08442.8
19518,16318,83643.3
19528,11918,89643.0
19537,92618,35443.2
19548,14018,87643.1
19558,41019,22543.7
19568,82419,69644.8

Before 1935 the proportion of deaths in public hospitals to total deaths remained fairly constant between 29 per cent and 31 per cent. From 1935 to 1942 there was a gradual increase from 32 per cent to 39 per cent. At this stage a sharp upward trend can be seen, the 1943 figure increasing by 4 per cent to 43 per cent. A peak was reached two years later when nearly 45 per cent of all deaths occurred in public hospitals. Then the proportion levelled off to between 43 and 44 per cent, but in 1956 again approached 45 per cent.

Accident Cases: A summary is given below of accident cases treated as in-patients in public hospitals during 1955.

MaleFemaleBoth SexesProportion of All AccidentsAggregate Stay (Days)Average Stay (Days)Proportion of Aggregate Stay
Total transport4,9561,7366,69226.3105,89215.824.3
Railway10581130.41,88016.60.4
Motor-vehicle traffic3,4581,1624,62018.178,47917.018.0
Motor-vehicle non-traffic113241370.52,65819.40.6
Other road vehicles1,1175341,6516.519,68311.94.5
Water13971460.62,12614.60.5
Aircraft241250.11,06642.60.2
Total non-transport11,3285,47216,80066.0295,70717.668.0
Accidental poisoning4423598013.13,1724.00.7
Accidental falls3,5102,9786,48825.5175,51227.140.3
Other accidents7,3762,1359,51137.4117,02312.326.9
Complications due to non-therapeutic medical and surgical procedures2818460.23647.90.1
Therapeutic misadventure and late complications of therapeutic procedures5375101,0474.119,41718.54.5
Late effects of injury and poisoning224452691.18,34331.01.9
Suicide and self-inflicted injury1251402651.02,87710.90.7
Homicide and injury purposely inflicted by other persons274643381.32.3507.00.5
Injury resulting from operations of war2 2 3517.5 
                    Grand totals17,4747,98525,459100.0434,98517.1100.0

Most cases come under the heading "Total Non-transport—Other Accidents" which includes accidents caused by cutting and piercing instruments, machinery, falling objects, fire and hot objects, and so on. Of these most occurred in the home.

The second largest group is "Accidental Falls," which has an aggregate stay greater than any other group. This is due to the long periods spent in hospital by elderly people who have sustained serious falls.

Motor vehicle traffic accidents comprise the third largest group, and have the third largest aggregate stay. It is interesting to note that there were nearly four times as many admissions to hospital and nearly four times as many beds occupied by people injured in non-transport accidents as there were for motor vehicle traffic accidents.

Chapter 5. SECTION 5—PUBLIC HEALTH, HOSPITALS, ETC.

5 A—PUBLIC HEALTH

DEVELOPMENT OF PUBLIC HEALTH SERVICES IN NEW ZEALAND.—Before 1872, when the first Public Health Act became law, there was no public health service in New Zealand; a few local authorities appear to have exercised a rudimentary form of negative sanitary government, but otherwise little seems to have been done.

In 1872 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 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.

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, then 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 an increasing public interest 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 operated until 1956.

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 education work, and, in 1937, the institution of the Medical Research Council. Registration was widened to include dentists, opticians, and masseurs.

After 1920 the interest of the general public in health matters continued to expand and was marked by the establishment of additional voluntary health organizations.

In 1956 a new Health Act, consolidating and amending the law relating to public health, was enacted. The Health Act 1956 repealed the 1920 Act and became effective on 1 January 1957.

Developments over the last decade included a more positive attack on 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 1956 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, Health Education, Maternal Welfare, Dental Hygiene, 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, a medical practitioner with special qualifications in sanitary science.

The Department is required 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 public health; it must do whatever is possible to prevent, limit, or suppress disease; it promotes research into public health fields 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 epidemic or serious 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 cut prescribed sanitary works.

In addition to the Health Act 1956, 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 net expenditure of the Department (excluding capital expenditure from the Public Works Account) for the years ended 31 March 1956 and 1957 is given in the following table.

 1955-56    1956-57    Increase
£££

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

* Assessed administration charge now excluded.

General health services    1,015,257    1,102,627    87,370
Health education    48,882    33,324*    -15,558
Medical research    55,000    65,000    10,000
Departmental hospitals and institutions
(other than mental hospitals)
    463,296    479,497    16,201
Pensioners housing - local authorities       81,524    81,524
Homes for the aged    202,788    272,842    70,054
Youth hostels    21,587    22,548    961
Bursaries    39,742    39,514    -228
Plunket Society subsidies    119,747    115,367    -4,380
Hospital Board grants    10,704,314    12,895,674    2,191,360
Miscellaneous grants and subsidies    36,549    35,019    -1,530
Dental Hygiene Division    706,676    758,363    51,687
Mental Hygiene Division    2,738,287    2,960,364    222,077
Social Security Act: Medical, etc., benefits
(includes assessed administration expenses)
    15,678,697    16,919,309    1,240,612
Totals    31,830,822    35,780,972    3,950,150

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.
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:
    Anthrax.
    Cerebro-spinal fever (cerebrospinal meningitis).
    Cholera.
    Diphtheria.
    Dysentery (amoebic and bacillary).
    Encephalitis lethargica.
    Enteric fever (typhoid fever, paratyphoid fever).
    Erysipelas.
    Fulminant influenza.
    Infective hepatitis. Leprosy.
    Leptospiral infections. Ophthalmia neonatorum.
    Ornithosis (psittacosis).
    Pemphigus neonatorum, impetigo, or pustular lesions of the skin of the newborn infant.
    Plague (bubonic or pneumonic).
    Pneumonic influenza. Poliomyelitis.
    Puerperal fever involving any form of
    septicaemia, sepsis, or sapraemia.
    Relapsing fever.
    Salmonella infections.
    Septicaemia, sepsis, or sapraemia, in any form, following abortion or mis-
    carriage.
    Septicaemic influenza.
    Smallpox (variola, including varioloid and alastrim).
    Trachoma (granular conjunctivitis, granular ophthalmia, granular eyelids).
    Typhus.
    Undulant fever.
    Yellow fever.
Other Notifiable Diseases:
    Actinomycosis.
    Anchylostomiasis (hookworm disease).
    Beriberi.
    Bilharziasis (endemic haematuria,
    Egyptian haematuria).
    Chronic lead poisoning.
    Compressed air illness arising from occu-
    pation.
    Damage to eyesight arising from
    occupation.
    Dengue.
    Diseases of the respiratory system arising from occupation.
    Eclampsia.
    Food poisoning.
    Hydatid disease.
    Impaired hearing arising from occupation.
    Malaria.
    Phosphorus poisoning.
    Poisoning from any insecticide, weedicide,
    fungicide, or animal poison met with at work.
    Poisoning from any gas, fumigant, or refrigerant met with at work.
    Poisoning from any solvent met with at work.
    Poisoning from any metal or salt of any metal met with at work.
    Skin diseases arising, from occupation.
    Tetanus.

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 classification 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 strengthened 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 Division consists of a Director, who is a medical practitioner, with a staff of full-time and 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 work 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 by Medical Officers of the Division 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. Poliomyelitis Vaccination.—The campaign against poliomyelitis is now well under way and by 1959 it is hoped that poliomyelitis vaccination will have been made available to all children aged two to sixteen years. It is therefore expected this will result in reduced incidence of this dread disease among children. The rate of acceptance in New Zealand, approximately 93 per cent of the children offered the vaccine compares most favourably with other countries.

  2. 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.

  3. Typhoid Inoculations.—Maori children in the North Island are inoculated annually against the typhoid group of diseases.

  4. Goitre Control.—The use of iodized salt and iodine-rich foods are advocated by the officers of the Division.

  5. The Milk-in-schools Scheme aims at maintenance of nutrition.

  6. Health Camps are established to which children are admitted for convalescence or correction of malnutrition.

Health camps were originally established to cater for the needs of delicate and undernourished children in the age group of five to twelve years. Now children suffering from minor emotional, psychological, and behaviour problems are also helped by the change in their environment which a camp provides. 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 cat plain, well-cooked food and they get plenty of rest, fresh air, and sunshine. In practically all cases a child who attends a health camp benefits both physically and mentally. The opportunity is taken to impart health education by practising healthful living. There are six permanent and four summer health camps in New Zealand.

For children with emotional or psychological disturbances, and behaviour problems, Child Health Clinics have been established in the larger centres and elsewhere. These are staffed by a team consisting of a pediatrician, psychiatrist, psychologist, play therapist, and social worker. Children are referred to these clinics through the family doctor if there is one.

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 Social Security (Dental Benefits) Regulations; (c) the Dentists Act 1936 and regulations; (d) dental bursaries; (e) dental research; (f) dental health education, including fluoridation.

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. There are two Assistant Directors. A Senior Executive Officer is responsible for the secretarial services. Also attached to the Director's staff is a Dental Research Officer, who is seconded from the New Zealand Medical Research Council.

The service is organized in twelve units, each of which is controlled by a senior dental officer, who is directly responsible to the Director. These officers are: the Principals of the Schools for Dental Nurses at Auckland, Wellington, and Christchurch, and the Principal Dental Officers in charge of the nine 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.

Two years are devoted to the theoretical and practical training of school dental nurses. Approximately four 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 314,071 children under regular treatment by the school dental nurses during the year 1956-57. 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 unit is established at the Children's Dental Clinic, which is associated with the School for Dental Nurses. Dental officers in 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 1955 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 1957 the number of adolescents enrolled for dental benefits, and the amount paid for dental benefits for the year 1956-57, were—

 NumberAmount Paid,
1956-57
£
For general dental benefits172,724906,333
For general dental benefits1,538

Dental Health Education.—The dental health education activities of the Department include 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 School 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 Research Officer is attached to the Service. Primarily this officer is engaged in a long-term programme of 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 twenty bursaries each year to selected students to assist them to qualify as dentists. The bursaries are of a value of £80 per annum, plus free tuition the value of which is approximately £50, and are tenable for five years, subject to satisfactory reports from the University authorities. An additional allowance of £50 per annum is payable to student 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.

HEALTH EDUCATION.—Health education has become a policy matter of growing importance. The Director of the Division is a medical practitioner.

The aim is to keep people informed on matters of sensible and healthy living and to suggest to them actions that will improve personal, family, and community health.

Various media are used so that the teaching may be made as attractive, as direct, and as acceptable as possible. Daily newspapers and national periodicals carry regular announcements on health subjects and the messages contained therein are impressed further on the public by means of leaflets, posters, panels in trains, and by regular radio broadcasts.

The Division publishes the Department's official bulletin Health, which is issued free to the public four times a year. It disseminates health facts and informs the public on various aspects of the Department's work. Medical officers, public health nurses, dental nurses, and inspectors of health all devote some of their time to imparting the Department's health teachings.

Health education officers seconded to district health offices throughout New Zealand are specially trained lay officers whose work is to extend health teaching and stimulate health education activities in their districts.

To assist the field personnel in their health education activities, visual aids, displays, and propaganda material are provided. These services supplement the vast amount of routine work that goes on every day in schools, colleges, and in the field, where lectures, demonstrations, and instruction are given to children, teachers, parents, and the general public.

Voluntary health organizations, too, are assisted in their work by the supply of teaching material, and a variety of informative pamphlets are available to the general public.

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 Royal New Zealand Society for the Health of Women and Children (Plunket Society).

The Director of the Division is a medical practitioner who, while not concerned with the particulars of day-to-day administration of maternity hospitals, is responsible for maternal welfare generally in its broadest sense. He keeps abreast of overseas and local developments and is regarded as a consultant on matters of national significance. For instance, in the event of an outbreak of infection affecting mothers or infants, he conducts and directs any necessary investigations as to causes and remedial measures required, in consultation with such other divisions as may be necessary.

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 State (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.—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 could play a part.

New Zealand industry is of recent growth and contained in small units and 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 standards of the Factories Act 1946, 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 Medical Officers work in close co-operation with the Inspectors of the Department of Labour.

In order to co-ordinate the work of the Departments of Health and Labour in the field of occupational health and safety education, a Joint Occupational Health and Safety Education Committee has been set up with representatives of the two Departments.

Since 1947 an industrial nursing course has been incorporated into the syllabus of the Nurses' Post-graduate Training School. Nurses completing this course have been appointed to the Department of Health, attached to the staff of the Medical Officer of Health 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 as 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 Nurses' Post-graduate School in Wellington.

There is also the more confined objective of guarding the health of those workers who are exposed to 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.

In order to obtain a clearer picture of the effects of various occupations on the health of workers, a scheme of notification of conditions arising from employment was introduced in 1953. The Notifiable Diseases Notice 1953 extended the list of notifiable diseases other than infectious diseases by conditions set out in the schedule to the notice under eight general headings. As a result of information received from general practitioners under this scheme, recommendations can be made for the improvement of working conditions.

The Department 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 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 are made by the Penrose Industrial Progress Association, and equipment and nursing staff provided by the Department of Health.

RADIATION PROTECTION.—The rapid development of medical physics in general, and of radiological physics in particular, is mainly due to the increasing use of ionizing radiations for the treatment of malignant disease.

The provision of a centralized radiophysical advisory service for New Zealand dates back to 1933, when the New Zealand Branch of the British Empire Cancer Campaign Society decided to provide the various cancer treatment centres in this country with competent assistance in their dealings with the physical aspects of radiation therapy. By that time it had become apparent that further improvements in the results of radiation therapy could only come from systematic improvements of the therapeutic technique, improvements which require the closest co-operation of radiotherapists with physicists who specialize in radiological problems.

Under an agreement made in 1939 among the Department of Health, the New Zealand Branch of the British Empire Cancer Campaign Society, and the various Hospital Boards concerned, two calibration and inspection visits were paid each year by the staff of the Christchurch Laboratory to every X-ray therapy plant in New Zealand, requiring thousands of miles of travelling and several months of field work away from the base Laboratory each year. In addition, this part of the Laboratory's service supplied information requested by radiologists and other medical practitioners, during the calibration visits, and by correspondence.

The hazards arising from the high voltages employed were 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.

While this legislation for the protection from electrical hazard was relatively quickly passed, a period of five years elapsed before the legislation for protection from radiation hazards was actually brought down. During this time, the draft regulations decided upon at a 1943 meeting of radiologists called by the Department of Health were amended by further suggestions made by individual radiologists and by resolutions passed at the annual meetings of the Australian and New Zealand Association of Radiologists. When finally the Radioactive Substances Act 1949 was introduced, after the hearing of submissions by the Health Committee of the House of Representatives, it was passed through the House as a non-party measure.

The Radioactive Substances Act 1949 is an Act to make provision for the control of radioactive substances and irradiating apparatus for the purpose of protecting the health of persons likely to be exposed to harmful radiation. Its four main points are—

  1. It sets up a Radiological Advisory Council;

  2. It controls the manufacture of radioactive substances, and the sale and use of radioactive substances and irradiating apparatus;

  3. It provides for the issuing of licences to users of radioactive substances and irradiating apparatus; and

  4. It provides for regulations to be issued under the Act.

The functions of the Council are to advise and make recommendations to the Minister in respect of—

  1. Applications for licences under this Act:

  2. The exercise of any powers vested in the Minister by this Act:

  3. Any regulations made or proposed to be made under this Act:

  4. Any other matter to which this Act relates and which is referred to the Council by the Minister.

The seven members of the Council consist of the Director-General of Health (or his Deputy) as Chairman, three medical practitioners (two of whom must be radiologists or radiotherapists), a person nominated by the University of New Zealand, a representative of the Department of Scientific and Industrial Research, and a physicist. The Council has power to appoint advisory or technical committees of persons who need not necessarily be members of the Council. Irradiating apparatus or radioactive substances may only be used by persons licensed for this work, or under their supervision or instruction. In granting licences for the use of irradiating apparatus the Council is guided by the recommendations of an expert committee, which considers the experience and qualifications of the applicant. When licences for the use of radioactive substances are considered, reports on the facilities and the equipment for handling these substances have to be submitted by the Dominion X-ray and Radium Laboratory before the applications are considered. Since the Director of the Laboratory is a member of the Council, and since the Executive Officer of the Laboratory is Secretary to the Council, a close co-operation between the Council and the Laboratory is ensured.

One of the first duties of the newly formed Council was the consideration of drafts of Radiation Protection Regulations, and of regulations governing the safe transport of radioactive substances. Copies of the drafts were referred by the Minister of Health to the New Zealand Branch of the College of Radiologists and to the British Medical Association. Their submissions were taken into account before the regulations were approved in their final form.

On 1 April 1951 the Department of Health, under an agreement with the New Zealand Branch of the British Empire Cancer Campaign Society, took over the administration and control of all activities of the Society's physical laboratory at Christchurch, except such research on physical, chemical, and biological effects of radiation as the Society elected to undertake by its own staff of research workers associated with the Laboratory. Later in the same year, regulations under the Radioactive Substances Act were issued.

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. The regulations cover such items as 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, two booklets entitled Recommendations for Protection from Radiation Hazards, and Radiation Hazards, A Survey. The departmental administration of licensing and of inspection services arising from this legislation, and generally of all problems associated with the use of irradiating apparatus and radioactive substances, is centred in the Dominion X-ray and Radium Laboratory at Christchurch.

The responsibility for monitoring air, water and soil of New Zealand and its dependent Island Territories for radioactive contamination has been placed on the Department of Health, advised by the Radiological Advisory Council. Arrangements have been made for the Dominion X-ray and Radium Laboratory to carry out the necessary field work.

RADIOGRAPHY STATISTICS FOR YEAR 1956-57.—During the year a total of 1,114 millicuries of radon was despatched from the Laboratory in 1,267 containers. There were 74 orders of which 59 were from hospitals, 8 from private medical practitioners, and 7 from research workers.

The number of X-ray plants in New Zealand on 31 March 1957 registered under the Electrical Wiring (X-ray) Regulations 1944 is now shown.

Purpose for Which X-ray Plants are UsedOwnershipTotal
PublicPrivate
Radiographic or fluoroscopic21995314
Therapeutic252853
Dental52486538
Chiropractic and naturopathic (diagnostic) 5151
Shoe fitting 7878
Veterinary41923
Industrial617
Miscellaneous purposes (educational, research, testing, demonstration, etc.)20 20
Totals3267581,084

PHYSICAL MEDICINE.—The Division of Physical Medicine is concerned with potentially disabling conditions such as rheumatic diseases, cerebral palsy, and other disorders of the locomotor system. The Division is responsible for the general organization and development of physiotherapy and occupational therapy services throughout the country. The Director is a medical practitioner with special training and experience in these fields.

The centre for the treatment of rheumatism is established at Queen Elizabeth Hospital, Rotorua, which has approximately one hundred beds set aside for the treatment of rheumatic diseases. Also clinical research is carried out there. Use is made of the thermal waters of Rotorua, the chief establishment for hydrotherapy treatment at the moment being the Main Bath House which is administratively combined with the Queen Elizabeth Hospital. A proportion of the in-patients of Queen Elizabeth Hospital receive palliative treatment at the Main Bath House and out-patients can also be referred for treatment.

Admission of patients to the hospital is arranged with the Medical Superintendent, who also arranges for a limited number of out-patient consultations. The investigation of rheumatic patients and the application of specific measures, including physiotherapy for preventing and controlling deformity, have been developed considerably at Queen Elizabeth Hospital. Occupational therapy has been developed to teach people how to live with their disabilities. Social workers assist in bridging the gap between rehabilitation and vocational and social resettlement.

A cerebral palsy unit situated at Queen Elizabeth Hospital provides residential accommodation for twenty children. At this unit the activities 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, post-graduate courses are given to physiotherapists, occupational therapists, teachers, and speech therapists. Patients can be referred by their doctors to the physician in charge of the unit for advice only, or for admission and treatment. Cerebral palsy visiting physiotherapy services established in the Christchurch and Palmerston North health districts have proved very successful.

Cerebral palsy day schools have been established in Auckland, Wellington, Christchurch, Dunedin, and Invercargill. Parents of cerebral palsy cases who seek their children's admission, first apply to the appropriate Medical Officer of Health or Education Board. The Director of the Division is often able to advise if cases are referred to him by medical practitioners. The schools are administered by Education Boards under the Department of Education, but close liaison exists between the schools, the Division, and the Rotorua unit.

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 School of Physiotherapy, Dunedin, is carried out by the Physiotherapy Council of the Otago Hospital Board, and 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 or departmental institution 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 interdepartmental 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. To-day a block and study day system of organization of theoretical and practical work operates in nearly all nursing schools.

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. Provision has been made for a three-year basic nursing curriculum which will include obstetric nursing, a three-year curriculum for male nurses, a lowering of the age at which nurses and male nurses may register—from twenty-one to twenty years, and for nurse aids from nineteen to eighteen years.

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 of 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 through the Registrar. 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 postgraduate 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. A new course in Pediatric Nursing for Sisters in Charge of Children's Wards was instituted in 1957.

Up to sixty students take the nine months' post-graduate 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 is represented by four 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 STATISTICS.—The Medical Statistics Branch, which was transferred from the Department of Statistics in 1948, collects and analyzes data on morbidity and mortality to open up new ways of combating disease, especially poliomyelitis, cancer and tuberculosis.

NATIONAL HEALTH INSTITUTE.—The National Health Institute, which was opened in 1954, is the Department's establishment for research into public health problems. The Institute, in addition to its diagnostic services in bacteriology and virology, provides for hospitals a reference laboratory where organisms of medical interest can be identified.

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 1957 research in the following fields was in progress: chest diseases; clinical medicine; dentistry; endocrinology; hydatids; Island Territories research; microbiology; neuropathology and neurophysiology; nutrition; obstetrics; surgery; toxicology.

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 six 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 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 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 was 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 1957 was 3,216.

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 1957 was 789.

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, who is also the Registrar, 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 the conduct of those registered under the Act.

The training period is three years. Full-time training is conducted at the New Zealand School of Physiotherapy, Dunedin, administered by the Otago Hospital Board and eight months of the final year is spent at one of the subsidiary training schools in various parts of New Zealand. All students are required to pass the State final examination in physiotherapy 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 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 and a half 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 fee payable being 5s.

The Act provides for the admission to the register of persons trained outside New Zealand whose standard 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 fee 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.

There arc approximately 330 opticians registered, but not all are engaged in active practice as opticians.

Plumbers: The Plumbers Board of New Zealand consists of five members—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 both a master plumber and a journeyman plumber elected by their respective associations.

The Board is concerned with the examination and registration of plumbers and once registered a plumber is not required to pass any further examination or pay licence fees to local authorities.

Serving as an apprentice for about five years is the most frequent method of gaining entry to the written and practical examinations of the Board, although there is some limited reciprocity in recognition of plumbing qualifications obtained overseas—e.g., United Kingdom, Australia.

In many parts of New Zealand, especially the more populous and urban areas, all sanitary plumbing as defined in the Plumbers Registration Act 1953 must be performed only by registered plumbers. This restriction on the personal qualifications of plumbers is additional to specifications and standards of workmanship, etc., which have been prescribed for sanitary plumbing. Disciplinary action could be taken against a registered plumber who does unsatisfactory work. There were approximately 3,000 plumbers registered in 1956, but not all are engaged in the plumbing trade.

Pharmaceutical Chemists: There are about 1,500 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 12 members, 11 being chemists, and one a barrister appointed by the Minister of Health. Nine members 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 person or company in which not less than 75 per cent of the share capital is owned by a chemist or chemists may 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 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—is concerned with the welfare of the healthy baby. The Society trains its own infant-welfare nurses, conducts infant-welfare clinics and maintains Karitane Hospitals throughout the country for premature babies or difficult feeders. In rural areas where there is no Plunket clinic, Public Health Nurses do infant-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 patients suffering from tuberculosis. 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 of patients.

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 Olympie 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. Frequently the two organizations combine in specific district campaigns.

In recent years an extensive publicity campaign has been conducted in an effort to decrease the incidence of deaths by drowning.

Financial Assistance.—Provision was made in the Physical Welfare and Recreation Act 1937 for the making of grants by the Government in aid of the development of sporting and recreational facilities. 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. In the main, grants are restricted to national organizations for the extension of sporting and recreational facilities and to leadership groups for the furtherance of their activities in the training of leaders.

5 B—HOSPITALS AND RELIEF 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. The first Dunedin Hospital was built in 1851, and 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, control 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 1926 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.

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, it made recommendations to the Government for the reform of the hospital system. A list of recommendations taken from parliamentary paper H.-31A of 1954 was given in the 1955 issue of the Year-Book.

A new Hospitals Act was passed in 1957 consolidating existing legislation, where still applicable, but breaking entirely new ground in the central principle of its operation. The Act came into force on 1 April 1958. It incorporates as a basic principle the main recommendation of the Consultative Committee on Hospital Reform that the Minister of Health on behalf of the Government should have the responsibility of ensuring the provision by Hospital Boards of hospital and associated services. Government assumes complete financial responsibility for hospitals. Consonant with the new responsibilities the Minister is given wide powers of direction and regulation to ensure the establishment of a comprehensive and integrated hospital service for the whole country. Elected Boards are retained to manage institutions and administer the services provided under the Act and no reduction is made in the number of Boards. However, the maximum number of Board members is reduced from 20 to 14, the minimum remaining at 8.

A Hospitals Advisory Council is established by the Act comprising three Departmental members (Health, Treasury, and Works), and three Hospital Board members. Specifically reserved to the Council are such matters as the union or reconstitution of hospital districts, alteration of boundaries, constitution of committees of management for hospitals, representation of constituent districts on Hospital Boards, closing or transfer of institutions or restriction of any hospital services. Where under the Act any Order in Council may be made or the Minister may act on the recommendation of the Council, no such recommendation shall be made except by a majority of two-thirds of the members of the Council and the views of a minority must be transmitted to the Minister by the Chairman of the Council. Primarily the function of the Advisory Council will be to consider and make recommendations on matters referred to it by the Minister but it may also initiate any business.

Provision is also made for the appointment of technical or advisory committees to assist in the administration of the Act.

CONSTITUTION.—A "hospital district" comprises one or more counties and includes boroughs, road and town districts within the boundaries of the county or counties. Districts vary in size from Auckland, with a population of 444,128, down to Maniototo, which has only 2,950 people.

A Board consists of one or more representatives of each constituent district, or combined districts of two or more constituent 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 of the districts. The total number of members of any Board must in no case be less than eight or more than fourteen.

Board members are elected by the electors of the various constituent 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, relief institutions, maternity homes, convalescent homes, sanatoria, institutions for children, residential or day nurseries, and institutions of any kind which the Governor-General by Order in Council may declare that Boards may establish. Power is given to Boards to establish preventive health services and to combine for the purpose of establishing institutions or services which a Board may establish.

AUTHORITY OF MINISTER OF HEALTH.—It is the duty of every Hospital Board to provide and maintain such institutions, hospital accommodation, and medical, nursing, and other services as the Minister 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. The Minister is specifically charged with the function of ensuring the provision of these services and of co-ordinating, guiding, and supervising the activities of Hospital Boards.

The consent of the Minister of Health is required before a Hospital Board may—

  1. Borrow money either for maintenance or capital purposes.

  2. Spend more than £250 for capital purposes such as adding to or altering buildings, erecting new buildings, purchasing land or equipment, paying off a loan.

  3. Make appointments to certain specified staff positions (but the Minister may veto appointments only on the advice of the Hospitals Advisory Council).

  4. Close an institution or restrict services (subject to a recommendation of the Hospitals Advisory Council).

  5. Make grants to medical or nursing associations or to hospitals, and allied services; grant bursaries or study and conference leave.

  6. Sell or exchange land.

The Minister may issue directions to Boards as he considers necessary or expedient for the purposes of the Act; in particular he may direct Boards as to the manner in which, and the conditions subject to which, any duty, power, or function is to be exercised. Where any duty, power, or function is to be exercised with the prior consent of the Minister, he may refuse consent or grant his consent subject to such conditions and restrictions as he thinks fit. Notice of any direction or consent of the Minister must be given to the Board in writing, signed by the Minister or the Director-General. The Minister may fix from time to time the maximum amount a Board may expend on any item or class of expenditure and may require a Board to amend its financial estimates.

A Board must appoint such number of medical practitioners, dentists, nurses, dental nurses, midwives, and other officers as the Minister may from time to time deem necessary for the efficient performance of the functions 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: (a) voluntary contributions and bequests; (b) government subsidy £1 for £1 on voluntary contributions and bequests; (c) patients' fees; (d) levy on contributory local authorities by rate on the capital value of land; (e) and 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 April 1956 the rate has been £1 5s. in a Class A hospital, £1 0s. 6d. for a Class B hospital, and £1 12s. 6d. per day in maternity hospitals.

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 and the increased benefits payments already mentioned, 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 1956-57 the corresponding percentages were 29, 3, and 66 respectively. The Hospitals Amendment Act 1951 provided 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 5/12 d. on the capital value. For the final year ended 31 March 1957 the levy was 1/12 d. per £1 of rateable capital value.

From 1 April 1958 the Government has assumed complete financial responsibility for the public hospitals, apart from the raising by Hospital Boards of loans for major capital construction.

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. He may also require a Board by notice to limit expenditure of whatever kind he may specify.

Receipts.—Following is a summary of the actual receipts and payments of all Hospital Boards for the years ended 31 March 1956 and 1957.

£
1955-561956-57
Voluntary contributions and bequests6,0324,914
Payments from Social Security Fund and by inmates of old people's homes5,660,3865,749,621
Levies1,080,154657,660
Subsidies10,956,40312,972,324
Rent, interest, and dividends73,23568,106
Sale of capital assets26,79728,937
Miscellaneous253,325216,300
Totals, excluding loans18,056,33219,697,862
Loans for capital works2,129,7893,764,819
Totals20,186,12123,462,681

Payments.—Actual payments during the same two years (excluding payments between Boards) are now given.

£
1955-561956-57
Hospital maintenance13,591,24714,996,550
Old people's homes: Maintenance257,364290,154
Outdoor relief23,36324,126
Subsidies to private hospitals19,41126,765
Other grants7,6586,398
Transport of patients157,943161,267
District nursing (inch grants thereto)14,645172,645
Administration409,622455,727
Superannuation114,492120,798
Miscellaneous—
    Maintenance338,125289,857
    Capital53,97063,532
Interest on loans409,795503,156
Amortization of loans734,355878,141
Capital works other than "loan"1,559,0341,614,998
Totals, excluding loans17,825,02419,604,114
Loan works2,176,8282,787,015
Totals20,001,85222,391,129

Hospital Maintenance Expenditure.—The average annual maintenance expenditure in general hospitals per occupied bed in the ten-year period 1944-45 to 1953-54 was as follows.

£
YearProvisionsSurgery and DispensaryDomestic and EstablishmentSalaries and WagesMiscellaneousTotal
1944-4555.028.969.9195.26.0355.0
1945-4660033.682.9231.27.0414.7
1946-4764.739.097.3243.48.8453.2
1947-4873.747.2117.4291.411.2540.9
1948-4981.356.1137.9351.011.2637.5
1949-5086.156.5153.9364.912.8674.2
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

Since 1 April 1954 hospital maintenance accounts have been prepared under a new system. Expenditure is analysed under six main divisions as follows: (1) Treatment, (2) Institutional administration, (3) Heat, light, power, and water, (4) Household expenses, (5) Buildings and grounds, and (6) Miscellaneous. Expenditure for outpatients is separated from inpatient expenditure, which is then averaged on occupied beds, patients treated, and available beds. The average annual maintenance expenditure in general hospitals per occupied bed in 1956-57 and the two preceding years was as follows.

£
YearTreatmentInstitutional AdministrationHeat, Light, Power, WaterHousehold ExpensesBuildings and GroundsMiscellaneousTotal
1954-55416.290.099.1443.361.81.01,111.4
1955-56437.996.7103.7471.366.41.21,177.2
1956-57491.298.4106.7503.873.91.21,274.3

Each of these averages includes the direct expenditure of each activity for labour, materials' and incidental expenses, but excludes overheads such as depreciation, interest on capital, or apportionments of expenditure between the various activities. A primary object of the new accounts is to facilitate control of expenditure by analysing hospital expenditure according to the organization of the hospital activities and the division of responsibility amongst sectional heads of the staffs.

Outdoor Relief.—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
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
1954-55258,13123,690
1955-56264,29524,699
1956-57293,50925,935

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 1952-53 to 1956-57.

£
YearLeviesSubsidiesTotal
1952-531,747,8379,819,03511,566,872
1953-541,657,82510,532,20712,190,032
1954-551,454,32310,871,96912,326,292
1955-561,080,15410,868,50511,948,659
1956-57657,66012,744,49113,402,151

The reduction in levy is due to the limiting of the levy to 5/12 d. in the £1 of rateable capital value as from 1 April 1952, with annual decreases to 1/12 d. in the £1 as from 1 April 1956. No levy was payable after 1956-57.

Loans.—Boards have been authorized by the Minister of Health to raise loans to cover a very extensive building programme. The position of loan liability is as under.

£
YearAmount FloatedRepaymentBalanceReducible by Sinking Fund
1952-531,509,479451,4727,370,819113,323
1953-543,284,235459,46110,177,590115,331
1954-552,097,061678,81611,595,83173,178
1955-561,982,010697,48612,898,62970,470
1956-573,518,260837,89315,578,99774,188

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
1952-53203,657101.311,1995.614,3887.2
1953-54210,633102.211,4105.514,4347.0
1954-55214,310101.811,5155.514,5506.9
1955-56216,15299.411,3115.114,9866.9
1956-57226,452103.211,3225.214,9866.8

The average number of occupied beds per thousand of population in hospital districts varies from four to eight. 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 1957 was 190, comprising 75 general hospitals (6 of which were also old people's homes); 2 special hospitals, 4 non-acute hospitals, 5 convalescent hospitals. 98 maternity hospitals, 4 tuberculosis sanatoria, 1 chronic-tuberculosis hospital, and 1 chest clinic. A comparison of beds and patients is as follows.

1952-531953-541954-551955-561956-57
Number of institutions185185194187190
Number of beds—
    General
Children's cots
10,765 1,93710,82110,86811,13811,232
Maternity 2,0342,1002,2142,276
Tuberculosis1,6861,5791,5821,6341,478
Totals14,38814,43414,55014,98614,986
Average number of occupied beds per day11,19911,41011,51511,31111,322
Inpatients treated during year203,657210,633214,310216,152226,452
Deaths during year7,9897,8298,1408,4029,019
Outpatients—
    Number639,866679,641723,813673,472692,536
    Attendances1,447,7171,551,7561,374,0261,526,2561,606,262
Dental-
    Number31,26637,10336,74437,63938,371
    Attendances66,90575,34879,34874,10081,479

HOSPITAL ACCOMMODATION.—The total number of hospitals (public and private, but exclusive of mental hospitals) at 31 March 1957 was 338, of which 184 were the responsibility of Hospital Boards, 6 continued under the control of the Department of Health, and the remaining 148 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 at 31 March
19531954195519561957
Hospital Board and Department of Health hospitals14,38814,43414,55014,98614,986
Private hospitals2,2122,2812,3282,3592,425
Totals16,60016,71516,87817,34517,411
Number per 1,000 of population8.38.18.0807.9

PRIVATE HOSPITALS.—The control and licensing of private hospitals is provided for in Part V, Hospitals Act 1957. 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.

Part V of the Hospitals Act 1957 provides for the licensing of six kinds of private hospitals. Under the previous legislation there was provision for the licensing of private hospitals under three classes only.

The total number of private hospitals licensed in New Zealand at 31 December 1956 was 152, providing 409 maternity beds and 2,040 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.

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 1957 available hospital bed accommodation for maternity cases was 2,671, made up as follows:

Public hospitals2,095
Private hospitals431
State (St. Helens) hospitals125
Alexandra Home (Wellington)20
Total2,671

The total number of confinements in maternity hospitals in 1956 was 55 326, of which 42,652 were in public maternity hospitals, 9,139 in private hospitals, 3.106 in St. Helens Hospitals, and 378 in the Alexandra Home, Wellington. Of the total confinements 52,112 were confined at the full term and 3,214 at from 7-9 months. In addition, there were 4,738 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 December 1957, 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, all 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 week 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.

SUBSIDISED ACCOMMODATION—(Old People's Homes, Youth Hostels, and Short-stay Homes for Intellectually Handicapped Children).—For some years returns were collected from benevolent and orphan institutions, the information covering such particulars as admissions, discharges, deaths, ages, status, and authority controlling the institution. The collection was discontinued as from 1948; statistics for earlier years will be found in earlier issues of this publication and in the annual reports on Vital Statistics.

These institutions, which are conducted by hospital boards, religious organizations, and other public or semi-public bodies, are alike in that they provide accommodation for those in need of it, regardless of means, but they differ largely in the category of persons to whom they afford such assistance. Provision is made for accommodation for old people, for maternity and refuge homes for women and girls, homes for the infirm or afflicted, including a separate institute for the blind, and for "prison-gate" or industrial homes. Some of the children's homes 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 their care by the courts.

There is a variation in the type of need provided for by the different controlling authorities. The hospital boards concentrate on provision of accommodation for old people—particularly those needing close care and attention. The Presbyterian, Methodist, and Baptist Churches and the Brethren provide children's homes and homes for old people, while the Anglican and Roman Catholic churches provide in addition to these, special accommodation for maternity cases, and the Roman Catholic Church undertakes the care of infirm or afflicted persons of all ages. The Salvation Army deals with all types of need, and is the only body which conducts extensively the "prison-gate" or industrial institution.

These widely varying factors affect the demands made upon the different institutions for accommodation or relief but there is a steady demand for accommodation for old people, particularly in the institutions developed since 1950.

Old People's Homes.—From April 1950 to July 1955, subject to certain conditions, religious or charitable institutions could be granted up to 50 per cent of the cost of providing accommodation for old people. In August 1955 the maximum amount of the subsidy offered was increased to 75 per cent. The administration of this policy is the responsibility of the Department of Health.

During the year 1956-57 subsidies totalling £312,240 were approved to assist in the provision of accommodation for 220 old people. From April 1950 to 31 March 1957, subsidies totalling £1,103,631 have been approved and buildings erected as a result will accommodate 1,301 old people.

Pensioners' Flats.—Since 1950 the Government has encouraged local authorities to undertake the provision of accommodation for age beneficiaries by offering subsidy and loan finance. The present (1957) policy is to offer a subsidy of up to 50 per cent of the cost of erecting accommodation such as flats or cottages for old people and to provide the balance from loan moneys at 3 1/2 per cent. The maximum subsidy available for a two-person flat is £850 and for a one-person flat £700. Since the policy was first initiated in 1951 a total of £342,234 had been made available as subsidy up to 31 March 1957, and 514 units had been erected or were in the course of construction. As a result 861 old people will be provided with suitable accommodation.

Youth Hostels.—In June 1951 the Government decided that subject to certain conditions it would assist religious or welfare organizations to establish hostels for young people by granting subsidies of up to 50 per cent of the cost of erecting or acquiring hostels. The object of this decision is to assist young men and 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 the year 1956-57 subsidies of £16,727 were approved to assist in the provision of hostels for 35 young people. Since the policy was approved, subsidies totalling £152,369 have been granted up to 31 March 1957 to assist in the provision of hostel accommodation for 295 young people.

Short-stay Homes for Intellectually Handicapped Children.—In 1954 the Government approved the payment, under certain conditions, of a subsidy of up to 50 per cent on the capital cost of approved buildings and furnishings acquired for the purpose of providing short-stay homes for intellectually handicapped children. The intention was to assist the Intellectually Handicapped Children's Parents Association in the provision of homes where eligible children could be placed for up to two months in one continuous period during the illness of a parent, absence of parents from the family home, or for other similar reasons. The administration of the policy is the responsibility of the Health Department.

The total amount authorized as subsidy up to 31 March 1957 was £13,475. Accommodation for 41 children has been provided with the help of these subsidies.

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 administered by the State and maintained out of the public revenue. There is also one private hospital licensed for the reception and treatment of all forms of psychiatric illness, that at Wakari (Ashburn Hall), near Dunedin, established in 1882. 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 legal matters.

The newer hospitals are built on the villa systems, with patients accommodated in pleasant detached units of about fifty beds each. Each villa is surrounded by lawns and gardens and is largely self-contained. The older hospitals are being modernized. There are facilities for recreation and entertainment at all hospitals in addition to provision for modern methods of therapy. In common with mental health services in most parts of the world the Mental Hygiene Division has had to contend with shortages of staff, particularly medical and nursing staff. The shortage has been most serious in female nursing staff. A minimum of three years' training is required before nursing staff, male and female, become eligible to sit examinations of the Nurses' and Midwives' Board for qualification as a psychiatric nurse.

In spite of shortages of staff active treatment has always been maintained, and no person in need of treatment has ever been denied admission to a mental hospital.

Figures show that the number of persons resident in hospital and the average number of beds occupied weekly is increasing each year. The greater prevalence of mental disabilities arising from old age contributes substantially towards maintaining the permanent hospital population at a high level. It should be observed, however, that large numbers of persons are in hospital for only short periods of time. Scientific and technical advances in psychiatry have ensured that a high proportion of these persons are discharged, restored to health and able to resume their place in the community.

In 1953 a scheme was formulated for the collection of statistical information, administrative as well as clinical, relating to patients treated in the mental hospitals. Figures quoted in this section have been extracted from the second Report on Mental Health 1956, issued by the Medical Statistics Branch of the Department of Health. This report provides a detailed analysis of the admissions according to diagnosis, etiology, and race; leavers (discharges and deaths) are examined by circumstance and condition on leaving, time spent in hospital, treatment, and its outcome. Full details are also contained in this report of the numbers of persons resident in hospital as well as the changes effected in the registers for both resident and non-resident cases.

METHOD OF ADMISSION.—The main division of persons admitted to a mental hospital for observation, care, and treatment is into voluntary patients, or boarders as they are called, and patients.

Voluntary Boarder.—There is provision under the Mental Health Act for admission to hospital upon a person's own request. The applicant must be over twenty-one years of age and in need of specialized treatment. Over four out of every ten admissions to hospital are voluntary admissions, and this proportion is increasing. A voluntary boarder may be discharged either by the hospital authorities or within a period of seven days upon his own application.

Patient.—A patient is a person detained in a mental hospital under a reception order. There are several methods by which patients are committed to the care of a psychiatric hospital. The most normal procedure is for application to be made to a Magistrate, who appoints two medical practitioners to conduct an examination and, if he then sees fit, issues a reception order. As an alternative to this method the person may be taken direct to a mental hospital where an application is made for admission. This application must be supported by two medical certificates. The Magistrate then visits the person and if necessary makes out an order for committal.

With an admission under either of the above two methods a reception order may be refused, and it is no longer lawful to detain such a person. Alternatively, the person may be remanded for observation for a specified period of time.

A person under the age of twenty-one years may be committed under either of the methods outlined above or, alternatively, he may be placed in hospital by authority of a special Minor Order. This requires the authority of the Director of the Division after application by a parent or guardian supported by a medical certificate. A minor must necessarily be discharged or committed on attaining the age of twenty-one years.

Persons awaiting trial for offences or under detention in a prison may be admitted to a mental hospital for treatment or observation on the authority of a warrant from the Minister of Justice.

In all of the following series of tables the figures cover both patients and voluntary boarders except where it is specifically stated that the figures are confined to one group, or both groups are shown in a table each under its appropriate heading.

Maoris are included in all figures published in this subsection. Figures for Maoris are also given separately towards the end of this subsection.

NUMBERS RESIDENT AND ON REGISTERS.—The numbers of patients and voluntary boarders in each of the mental hospitals who were either resident within the hospital mid-year 1956, or if not resident remained on the books of the hospital at that date, are shown in the following table for the year 1956.

HospitalPatientsVoluntary Boarders
ResidentAbsent on Probation or EscapeResidentAbsent on Probation or Escape
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Auckland6666461.312721692415168119 88
Kingseat (Papakura)4474188652933622227491 1
Raventhorpe (Drury)9261270 22I89   
Tokanui (Te Awamutu)393401794273259252550"5"510
Lake Alice (Marton)214 2142 22 2   
Levin Farm258107365191029      
Porirua5758121,3872356796370133   
Nelson and Ngawhatu533440973234972141832"71219
Seaview (Hokitika)223284507681421113   
Sunnyside (Christchurch), Templeton, and Hornby6626861,3486086146354378 11
Seacliff, Waitati, and Cherry Farm6845131,19749791283126573 3
Ashburn Hall (private mental hospital)91322 332131521 1
Totals4,6734,5819.254310527837267327594172643

There were 5 male patients absent from hospitals on escape mid-year 1956. Each of these patients had been absent from hospital for a period of less than three months. After the lapse of three months an escapee must by law be discharged " unrecovered".

Probation is a system by which persons are allowed to leave hospital under supervision. It is generally used as a test of fitness for final discharge. However, included in these figures are a small number of persons discharged to a general hospital in order to receive treatment for physical disorders.

The number of persons both resident and those remaining on the registers or books of the hospitals at the middle of each of the last five years is shown in the following table. Also shown is the rate per 10,000 of the mid-year population as well as the percentage of those resident who were absent on probation and escape.

YearResidentAbsent on Probation or Escape
PersonsRate Per 10,000 of end-Year PopulationPersonsPercentage of Persons Resident
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
19524,7134,3919,10447044.345.63064837896.511.08.7
19534,7444,5599,30346144.845.43184968146.710.98.7
19544,8154,7519,56645.845.745.72814877685.810.380
19554.9004,8659,76545.645.845.73014597606.19.47.8
19564,9404,9089,84845.145.345.23275538306.611.38.9

The proportion of males per 10,000 of population has declined in each year of the five years covered by the table, whereas that for females overall has risen slightly. On the other hand, the number of people absent on probation increased sharply during 1956.

ALL ADMISSIONS: Numbers and Rates.—Persons enter mental hospitals as first or new admissions, as re-admissions, on transfer from another hospital, and as returns from probation.

During the year 1956. 50 males and 102 females returned to hospital from a period out on probation. Transfers between institutions numbered 231 during the year.

Excluding transfers-in and returns from probation, 3,540 persons (1,626 males, 1,914 females) were admitted to mental hospitals during the year. This figure was an increase of 382 (174 males, 208 females) from the total of 3,158 admissions in 1955. The rate per million of mean population for both sexes combined was 1,622 in 1956, as compared with 1,476 in 1955.

The following table shows the five-year averages since 1935, both numbers and rates, patients and voluntary boarder separately. The figures for 1955 and 1956 are also shown. The percentage of voluntary admissions in the total of all admissions is contained in the final column.

PeriodPatientsVoluntary BoardersPercentage of Voluntary Admissions in Total Admissions
Annual Average Numbers AdmittedAnnual Average Rates Per 100,000 of PopulationAnnual Average Numbers AdmittedAnnual Average Rates Per 100,000 of Population
M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.
1935-395615591,12069.471.370.417215132321.319.220.323.521.222.4
1940-445746601,23471.578.975.316920337221.024.322.722.723.523.1
1945-496667801,44674.686.880.733540774237.545.341.433.534.333.9
1950.547779831,76077.398.988.05105811,09150.758.454.639.637.138.3
1955-568651,0351,90079.596.487.96757741,44962072067.043.842.843.3

The total admission rate (patients and boarders combined) has risen steadily throughout the period. The rate for 1956 is an increase of 83 per cent over that recorded for the year 1935. The patients' rate rose 27 per cent in this period, while the voluntary-boarder rate increased by 270 per cent from 20 per 100,000 of population in 1935 to 74 in 1956.

The swing towards voluntary admission is evidenced by the percentage of voluntary boarders in total admissions. This proportion had risen from 23 per cent in 1935 to 46 per cent in 1956.

Concurrent with the rise in the proportion of voluntary boarder admissions has been the increase in the proportion of readmissions to hospital. In 1935 the proportion stood at 18 per cent of all admissions, and this had risen to 31 per cent in 1956.

Part of the increase in the readmission rate, which is again reflected in the total rate, could perhaps be ascribed to the increased turnover in voluntary boarders, who, not being subject to restraint, may discharge themselves prematurely. This would involve the necessity for a further period of hospital treatment. Voluntary boarder first admissions have increased considerably in both numbers and rates over the period, which gives substance to this surmise. Some of these persons who first came to hospital on a voluntary application would eventually be readmitted as committed patients. The patient readmission rate has moved from 10 per 100,000 of population in 1935 to 23 per 100,000 in 1956.

By reason of the changes in public attitudes with the removal of some popular misconceptions, and the improvement in the standard of the health service available, a person who has had treatment in a present-day psychiatric hospital is probably more inclined to seek further admission upon recurrence of symptoms of a mental disorder.

ALL ADMISSIONS: Diagnosis.—The following table shows the mental conditions which involved admission to a mental hospital during 1956, with division into those who were first admissions and those who had been inmates of a mental institution on some previous occasion. Returns from probation and transfers-in are not included.

DiagnosisFirst AdmissionsReadmissionsAll Admissions
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Psychoses
    Syphilis of central nervous system538 11549
    Schizophrenia223202425142171313365373738
    Manic-depressive reaction149253402126210336275463738
    Involutional melancholia25295492433345387
    Paranoia and paranoid states111930437152237
    Senile psychosis228287515264268254329583
    Presenile psychosis123123246
    Psychosis with cerebral arteriosclerosis46479329114856104
    Alcoholic psychosis41105113518541569
    Epilepsy with psychosis38118513111324
    Puerperal psychosis 1717 22 1919
    Other and unspecified psychosis313768101020414788
Psychonceroses
    Anxiety reaction62641261827458091171
    Hysterical reaction22315351318274471
    Neurotic-depressive reaction92154246325789124211335
    Other and unspecified psychoneurotic         
    disordersS152341014122537
Disorders of character, behaviour, and intelligence
    Pathological and immature personality2010308311281341
    Alcoholism65107535104510020120
    Mental deficiency102811831081811289201
    Other and unspecified character, behaviour and intelligence disorders5271236410
Other conditions
    Epilepsy11122312214231437
    Other defined conditions10313 2210515
        Totals, all conditions1,1601,2962,4564666181,0841,6261,9143,540

Schizophrenia and manic-depressive reaction are the conditions most frequently diagnosed in all admissions to hospital. Senile psychosis with 583 cases is in third place, followed by neurotic-depressive reaction, the most common of the psychoneurotic disorders. The fifth most frequent disease is mental deficiency.

In the readmissions the highest number recorded was 336 cases for manic-depressive reaction. This condition comprised 31 per cent of the total readmissions for the year; 52 per cent of the 336 cases were voluntary boarder readmissions. Schizophrenia was the second most common diagnosis with 313 cases or 29 per cent of the total; 36 per cent of cases were voluntary boarders. There was a big drop down to the third and fourth highest totals recorded in readmissions, neurotic-depressive reaction with 89 cases, 94 per cent voluntary boarders, and senile psychosis 68 cases, 35 per cent voluntary boarders.

ALL ADMISSIONS: Etiology.—Mental illness is classified in two ways: by diagnosis according to he classification issued by the World Health Organization and also by etiological factors stated to be directly or indirectly underlying the mental condition. The classification of etiological factors is designed to give expression to the views of the psychiatrist, to fall under one of the following broad headings: disease or injury, hereditary, other natal or pre-natal influences, personality, emotional stress due to specific causes or at critical periods of life, alcohol or drug addiction, and other defined factors.

The following analysis of all admissions on this basis shows that an etiological factor was either supplied or inherent in the diagnosis in approximately two-thirds of cases.

CausePrincipalAssociated
Disease or Injury
    Syphilis113
    Other infectious disease93
    Malignant disease43
    Neoplasm of brain31
    Allergic, endocrine, metabolic and nutritional diseases1612
    Vascular lesion of nervous system1168
    Epilepsy468
    Other diseases of nervous system and sense organs1612
    Heart disease1422
    Arteriosclerosis and hypertension2613
    Congenital malformation82
    Birth injury, spastic paralysis101
    Trauma168
    Adverse therapeutic reaction193
    Other specified disease2214
    Illness, nature unspecified1027
Hereditary
    Hereditary4615
Other natal or pre-natal influences
    Congenital3011
    Other1 
Factors in structure of personality
    Constitutional770201
    Other1926
Emotional stress or trauma
    Marital discord3343
    Other stress in family relations79
    Loneliness, loss of spouse, parent, or friend1425
    Other and unspecified4653
Critical periods in life history
    Pubescence or adolescence1 
    Pregnancy or the puerperium6118
    Climacteric or menopause9518
    Old age61528
    Other2 
Alcohol and drug addiction
    Alcohol25629
    Other drugs63
Other factors
    Environment, difficulty in adjustment to surroundings1423
    Subnormal intelligence311
    Other defined factors611
        Total cases with etiology stated2,371 
        Total cases with no etiology stated1,169 
        Total admissions3,540 

FIRST ADMISSIONS: Numbers and rates.—First or new admissions to mental hospitals provide a measure of the incidence of mental disorders in the community. The figures for 1956 represent one admission for every 889 persons of the mean population of New Zealand. In males the rate is one admission to every 946 males, and in females one to every 838 females in the population.

The following table shows the numbers and rates for first admissions (patients and voluntary boarders separately), the proportion of first admissions in total admissions and the proportion of voluntary boarders in first admissions. The numbers, rates, and percentages have been averaged over four five-year periods from 1935 to 1954. The figures for 1955-56 are also shown.

PeriodPatientsVoluntary BoardersPercentage of First Admissions to Total AdmissionsPercentage of Voluntary Boarders in First Admissions
Annual Average Numbers AdmittedAnnual Average Rates Per 100,000 of PopulationAnnual Average Numbers AdmittedAnnual Average Rates Per 100,000 of Population
M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.
1935-3948146294359.558.959.21159721214.212.413.381.178.880.019.217.418.3
1940-4447052699658.562.960.811012623613.715.114.478.175.676.719.019.319.1
1945.495446071,15160.967.564.223526750226.329.728.077.873.775.630.230.530.4
1950-546257461,37162.375.068.634938473334.838.636.775.872.274.035.834.034.8
1955-566547601,41460.170.865.544949093941.245.543.471.669.170.340.639.139.8

The first-admission rate has increased from a rate of 72.2 per 100,000 of population in 1935 to 112.5 in 1956, a rise of 55.8 per cent.

The first-admission rate for voluntary boarders has shown a phenomenal rise during the period, accompanied by a steady upward movement in the patients' rate. These trends indicate that the incidence of mental illness has increased during the last twenty years. Some of the explanation may lie in the ageing of the population, especially in the thirty to sixty age group from which most voluntary admissions come, in combination with a less prejudiced attitude of the public which would influence more persons towards presenting themselves for treatment.

In patients there has been a very gradual increase in the rates. Almost all the increase has been due to the movement in the female rate, the male rate not having changed appreciably. Much of this movement is a reflection of the larger numbers coming into the higher age-groups with the associated problem of caring for the mentally infirm.

FIRST ADMISSIONS: Age and Sex.—This table shows the first admissions for 1956 by age and sex, the percentage of cases in age-groups, and the age-specific rates per 100,000 of persons in that age-group.

Age in YearsNumbersPercentage of TotalRates Per 100,000 of Mean Population
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Under 103822603.31.72.43.52.02.7
10 and under 2061551165.34.24.75.65.15.3
20 and under 3017617134715.213.214.116.015.815.9
30 and under 4019323342616.518.017.417.621.519.5
40 and under 5017420337715.015.615.415.918.717.3
50 and under 6013914928812.011.511.812.713.713.2
60 and under 7013013326311.210.310.711.812.312.0
70 and under 8015620335913.415.714.614.218.716.4
80 and over901272177.89.88.88.211.79.9
Age not stated3 30.3 0.10.3 0.1
Totals1,1601,2962,456100.0100.0100.0105.7119.4112.5

One in every three first admissions is aged sixty and upwards. At ages over thirty the number and rate of female admissions exceeds the male. Using age-specific rates which make allowance for the numerical excess of one sex or the other in the population at risk within the age-group, the highest female predominance was in ages over sixty, with 125 female admissions per 100 male. In ages between thirty and sixty the proportion was 117 female admissions per 100 male.

The age-structure differs considerably as between patients and voluntary boarders. One-third of patients are aged seventy years and over, while only 6 per cent of voluntary boarders are in this age bracket. Two out of every three voluntary admissions are between the ages of thirty and sixty.

FIRST ADMISSIONS: Diagnosis.—The following table shows the numbers and rates of first admissions per million of mean population for the years 1954 to 1956 by groupings under disease categories.

DiagnosisNumbersRates Per Million
of Mean Population
195419551956195419551956
Psychoses
    Syphilis of central nervous system368134
    Schizophrenia448419425214196195
    Manic-depressive reaction356331402170155184
    Involuntional melancholia927654443625
    Paranoia and paranoid states734130352014
    Senile psychosis456457515218214236
    Presenile psychosis241131151
    Psychosis with cerebral arteriosclerosis1039493494443
    Alcoholic psychosis424651202223
    Epilepsy with psychosis2913111465
    Puerperal psychosis1533177158
    Other and unspecified psychoses856868413231
Psychoneuroses
    Anxiety reaction9490126454258
    Hysterical reaction503353241524
    Neurotic-depressive reaction1641832467886113
    Other and unspecified psychoneurotic disorders303023141411
Disorders of character, behaviour, and intelligence
    Pathological and immature personality332230161014
    Alcoholism394875192234
    Mental deficiency177205183849684
    Other and unspecified character, behaviour, and intelligence disorders447223
Other conditions
    Cerebral spastic infantile paralysis24 12 
    Epilepsy222223111011
    Other defined conditions101411575
    Observation  2  1
        Totals2,3512,2502,4561,1221,0521,125

In 1956 psychotic conditions accounted for 68 per cent of all first admissions. In this group the degenerative brain conditions (senile and presenile psychosis and psychosis with arteriosclerosis) accounted for 611 cases, or 25 per cent of all first admissions. With the addition of other psychosis attributed to disease, infection, trauma, and toxic brain damage this proportion rises to 32 per cent of the total of first admissions. In second and third places come two functional psychoses, schizophrenia and manic-depressive reaction. Two other conditions which manifest themselves by changes in personality without organic disease, involutional melancholia and paranoia bring the total of functional psychoses up to 911 cases (408 males, 503 females), or 37 per cent of all first admissions. Other substantial contributors to the grand total were neurotic-depressive reaction 246 cases (92 males, 154 females), with a proportion of 10 per cent, and mental deficiency 183 cases (102 males, 81 females), with a proportion of 7.5 per cent.

For alcoholism there were 126 new cases admitted (106 males, 20 females), where alcoholism was the principal diagnosis. This figure does not include cases where alcoholism has aggravated or brought on some other mental condition under which heading the case has been included.

DISCHARGES AND DEATHS: Condition on Discharge.—The following table shows the circumstance of leaving and the condition on leaving of all persons who left hospital or who died within a hospital during 1956. The figures of discharges on probation do not include short periods of eave granted for holiday or recreational purposes.

CategoryDischargesDeathsEscapeesTotal Leavers
RecoveredRelievedUn-recoveredOn Probation
M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.
Patients1682133812513382514394287491,177350414764133161,0091,4062,415
Voluntary boarders378362740253230483375996591482072218401 17508171,567
    Total persons5465751,12127824352162731354878971,384372432804143171,7592,2233,982

In addition to the discharge from hospital of persons resident, the names of a number of nonresident persons were removed during the year from the registers of the hospitals.

The details of the discharge of non-resident cases were as follows.

CategoryDischarged From ProbationDischarged
From Escape
as Unrecovered
Death on
Probation
or Escape
RecoveredRelievedUnrecovered
M.F.T.M.F.T.M.F.T.M.F.T.M.F.T.
Patients14524338844489229447314115332962
Voluntary boarders313263146074426325448
    Total persons1762754515810816633467917320373370

Included as discharges from probation as unrecovered are 55 patients and three voluntary boarders who failed to return to hospital after expiry of the probation period. These discharges are mandatory under the Act in the same way that persons who escape and are not returned to hospital prior to the lapse of three months must be discharged as unrecovered. In actual fact a number of these persons would have been recovered in health.

The propensity of voluntary boarders towards discharge before being fully restored to health shows itself in the high figures of those discharged not recovered in this group. Patients discharged not recovered comprise mainly mental deficients or senile patients returning either to the care of relatives or friends or to homes or institutions for the aged and infirm.

A total of 740 resident voluntary boarders left hospital as recovered. In addition, 63 voluntary boarders out on probation were discharged recovered. As a proportion of the 1,615 voluntary admissions in 1956 the figure is 49.7 per cent recovered.

The number of patients discharged from hospital as recovered was 381 in 1956. The number of non-resident cases discharged as recovered was 388, making a total of 769 cases restored to mental health. The percentage of recovereds to patients admitted is thus 39.9. This is a very satisfactory recovery rate, when it is considered that the number of patients admitted with senile and degenerative brain conditions and mental deficiency is growing each year. The figure of 764 deaths of patients taking place in hospital, most of them from physical causes not related to the mental condition, is evidence of a greater intake of patients with a poor prognosis.

In the table which follows, the number of persons discharged as recovered is shown by certain conditions for which they were treated in hospital, in contrast to the number of cases, including replacements from probation, admitted for the disease. The number of persons who left hospital on probation, the number of voluntary boarders who left at their own wish not being recovered, and the number of persons who died in hospital whilst being treated for the condition are also included. It was shown in the previous table that more than two out of every three persons who leave hospital on probation are eventually discharged from the registers as being recovered. This proportion would not apply to those discharged in this manner for senile or arteriosclerotic psychosis no for mental deficiency. A number of the discharges on probation of patients suffering from these conditions would be to a general hospital to undergo treatment for physical disorders. Correspondingly, for conditions other than these the proportion of recovereds in those so discharged would be higher.

DiagnosisPersons Admitted (Including Replacements from Probation)Persons Discharged RecoveredPersons Discharged on ProbationVoluntary Boarders Discharged Not RecoveredPersons Died in Hospital
Schizophrenia7982065559497
Manic-depressive reaction77536628111153
Involutional melancholia914357115
Paranoia and paranoid states38113096
Senile psychosis6024511510417
Psychosis with cerebral arteriosclerosis108220595
Anxiety reaction1768820662
Neurotic-depressive reaction33617257981
Pathological and immature personality4281915 
Mental deficiency2091100559
Alcoholism—all forms1937721779
Epilepsy—all forms663401619

There is a very satisfactory proportion of cases returned to the community as recovered in all the above conditions except in senile psychosis with arteriosclerosis and mental deficiency where the prognosis is not so favourable. Of the voluntary boarders discharged not being recovered a very high proportion leave hospital relieved. Especially is this so with diseases in the psychoneurosis group.

DISCHARGES AND DEATHS: Time Spent in Hospital.—The aggregate amount of time spent in hospital by the 3,982 persons who left or died in hospital during 1956 was 445,693 complete weeks.

The average length of stay for all leavers was 112 weeks or over two years; for males the figure was 115 weeks and for females it was 109 weeks.

The average length of stay in hospital of voluntary boarders was 17 weeks. The equivalent figure for patients is much higher at 3.3 years for both sexes. For male patients the average stay is 3.6 years and for females 3.2 years.

In general, persons who die as inmates of mental hospitals comprise cases who by nature of their mental disorders would never have been considered to have a good chance of recovery. Of the 804 deaths in hospital 512 were of persons being treated for senile and arteriosclerotic psychosis, while a further 68 cases were mental deficients and epileptics. For outright discharges the average stay was 22 weeks for patients, 11 weeks for voluntary boarders; for discharges on probation the respective figures were 107 weeks for patients, boarders 23 weeks; for deaths, patients 366 weeks and boarders 186 weeks. The average length of time spent in hospital varies considerably as between diagnosis. The average length of stay for certain principal diseases confined to discharges only, i.e., excluding deaths and escapees was as follows; schizophrenia 64 weeks, manic-depressive reaction 41 weeks, involutional melancholia 23 weeks, paranoia and paranoid states 40 weeks, senile psychosis 35 weeks, psychosis with cerebral arteriosclerosis 100 weeks, anxiety reaction 9 weeks, hysterical reaction 14 weeks, neurotic-depressive reaction 10 weeks, alcoholism with psychosis 21 weeks, alcoholism without psychosis 9 weeks. For mental deficiency discharges the average stay was very high at 294 weeks.

Old age and diseases of the circulatory and respiratory systems are the principal causes of death among mental hospital inmates. The figures for the principal groups of causes for the year 1956 were as follows.

CauseNumber
Tuberculosis16
Syphilis2
Late effects infectious encephalitis2
Cancer, malignant disease27
Unspecified neoplasm1
Allergic, endocrine system, metabolic, and nutritional diseases11
Diseases of the blood4
Psychoses4
Alcoholism2
Cerebral vascular lesions81
Epilepsy8
Other diseases of nervous system8
Arteriosclerotic heart disease including coronary heart disease103
Other myocardial degeneration217
Hypertension with heart disease25
Other and unspecified heart disease41
Arteriosclerosis and hypertension without mention of heart66
Other circulatory disease2
Diseases of the respiratory system131
Diseases of the digestive system10
Diseases of the genito-urinary system5
Disease of the skin1
Congenital malformations5
Senility without mention of psychosis18
Fracture of femur6
Other accidental causes3
Suicide5
        Total804

MAORIS IN MENTAL HOSPITALS.—Maoris are included in the tables covering all inmates of mental hospitals. The number of Maoris admitted as committed patients to mental hospitals for the last five years were as follows.

YearAdmitted During YearRemaining at End of Year
MalesFemalesTotalMalesFemalesTotal
1952423779157123280
19535963122164132296
19544362105170148318
19554958107171171342
19565059109172161333

The number of Maori voluntary boarder admissions is small, 8 males and 12 females only being admitted in 1956 on their own application.

Confined to first admissions and combining the figures for both patients and voluntary boarders, 89 Maoris were admitted for the first time in 1956. This gives an incidence rate for mental illness of 65 per 100,000 of the mean Maori population as against 116 per 100,000 for the non-Maori.

Nearly half the first admissions of Maoris to hospital fall between the ages of twenty and forty years.

Schizophrenic cases (47) and manic-depressive reactions (32) make up a very high proportion of the total of 129 Maori admissions. The only other significant totals in 1956 were 19 cases of mental deficiency. The extremely low total of 4 cases recorded for all forms of neurosis is a reflection of the equable temperament of the Maori individual.

EXPENDITURE, ETC.—The total expenditure on 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 of patients 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.
 £££££s.d.
19471,072,1308,22887,065976,837128102
19481,243,3328,95888,3971,145,977147123
19491,476,7687,99338,4271,430,3481731311
19501,766,6591,602177,1521,587,90520300
19511,810,2852,956125,7711,681,55820620
19522,288,5894,983138,4652,145,14125760
19532,446,3441,84955,2102,389,28527220
19542,510,8861,21871,5282,438,14023188
19552,549,7333,10468,4372,478,192262410
19562,805,87762966,9622,738,286283194
19573,036,43187475,1932,960,36431282

In the period covered by the foregoing table total expenditure increased by £1,964.301, or 183 per cent, while the gross average cost per patient rose by £183 18s. 0d. per annum, or 142 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 £374,754 in 1954-55, £393,732 in 1955-56, and £708,828 in 1956-57, while the aggregate expenditure from 1 July 1877 to 31 March 1957 was £6,804,773.

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.

* 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.

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 gave him a place on a numerically graded list. Since all ordinary appointments were to be decided on the basis of this list, the system of appointment was in effect a national one, and the Boards had very limited powers of discretion although they made the appointments. 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. An Education Amendment Act giving legal effect to it was passed in 1955. Transition to the new scheme from the present one began in 1957, but will not be fully effective for all teachers until 1959. Under the new scheme appointments arc recommended to Education Boards by three-man appointments committees (one in each education district) on which the Department, the Board, and the teachers are represented. Thus, teachers for the first time are given some voice in the making of appointments. The scheme is supervised by the Central Advisory Committee, representative of Department, Boards, and teachers. This Committee reports annually to the Director and every five years to the Minister of Education. It acts as an arbitrator when a Board and an appointments committee fail to agree on a recommendation for an appointment. In 1957 appointments to all assistantships and to the headship of small schools were made on the recommendation of appointments committees, and in 1958 the first group of senior headships will be similarly brought into the new scheme.

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, although in general the Boards' choices of applicants are limited under the system for making appointments. 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 completed a primary-school course, or who attained fourteen years of age by 31 March of the first year in which he attended 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 some other registered 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 or on reaching the age of fourteen by 31 March of the first year in which he attends a post-primary school, the child 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, after fulfilling the core requirements, specialize 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 is 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 and the first of these was commenced in 1949. They now include classes in carpentry and joinery, cabinetmaking, electrical wiring, mechanical engineering, motor engineering, plumbing, aircraft engineering, radio servicing, refrigeration engineering, ship, yacht, and boat building, painting and decorating, printing and photo engraving, sheet-metal work and moulding and casting. In some of the larger technical schools part-time students may take professional courses in engineering, architecture, accountancy, pharmacy, etc.

During 1957 two notable developments have taken place that will increase the emphasis on senior technical education. Planning has been started that is expected to lead to the splitting of the largest technical school into two separate establishments under the one governing body. One of these will be a technical high school, the other a senior technical school serving a region. The second development is a decision to raise another college towards the status of a Central Technical College specialising in courses that can best be provided by using only one school for them. To make room for courses of this nature, high school courses for girls were discontinued after 1957 at this school.

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 half-tuition fees for part of their University course and then full fees for the rest of their course. Where pupils have obtained a Higher School Certificate, full tuition fees are payable plus an additional sum of £40 per annum where they are full-time University students. These pupils may also receive a boarding allowance of £50 per annum where they are obliged to live away from home to attend a full-time course. Although these bursaries are normally for four years, they may for certain courses be extended for a further year.

The University of New Zealand, whose controlling body is the University Senate, is constituted of the University of Auckland, the Victoria University of Wellington, the University of Canterbury, and the University of Otago. Massey and Canterbury Agricultural Colleges, associated with the University of New Zealand, are open to students specializing in agricultural studies.

The six teachers' training colleges, although they work in conjunction with the four Universities, are organically related to them only through their Boards of Studies. The Education Boards 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 rural area he may gain a Maori scholarship awarded by the Department of Education which will enable him to attend one of nineteen selected post-primary schools. These are all boarding schools, eleven of them being denominational. Five are for girls, six for boys, while the remaining eight are co-educational State schools. 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 numerous special educational services. The mentally backward are grouped in 60 special classes attached to ordinary schools throughout the country and in two residential special schools. For children who are extremely backward mentally there are seven special centres (occupation centres) in the main cities, and 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 partially-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 53 speech clinics. In five of the largest cities there are six remedial clinics to assist children suffering from serious educational retardation (mainly in reading). Classes have been established for partially-sighted children in the four main cities, and blind children are catered for in a school for the blind attached to the Foundation 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. There are 46 classes of this type. 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 22 Visiting Teachers whose task it is to help children whose progress at school is causing concern, by acting as a link between the school, the home, and the community. The psychological service of the Department of Education is established in six centres. It comprises eleven psychologists, all of whom are available for psychological examining and educational testing of children with special problems, and six area organizers of special classes. The Department conducts special classes in two prisons for prisoners whose basic education is of a low standard.

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 187) 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, all 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 under one-half of the secondary and combined schools and nearly all of the private secondary schools are single-sex schools. A comparison of the total enrolment of all post-primary schools (State as well as private) in 1955 with that twenty years earlier shows that the ratio of single-sex to co-educational schools has changed from 51 to 49 in 1935 to 47 to 53 in 1956.

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 Institution19521953195419551956

* Pupils on roll at end of year.

† There were also 1,241 students taking part-time courses.

‡ Part-time students, excluding 3,031 part-time students in 1956 (2,788 in 1955), enrolled with the Technical Correspondence School.

§ Includes 676 students taking short courses at the agricultural colleges in 1956.

Preschool Education*
Kindergartens (morning and afternoon sessions)8,8599,75210,64011,59612,810
Primary Education
Public (State) schools Intermediate schools and departments284,784300,508314,741321,405335,564
Intermediate schools and departments
Maori village schools14,07614,34514,08613,98813,996
Maori mission schools790781834856872
Registered private primary schools39,65442,01843,40645,10747,562
Lower departments of secondary schools150141115112108
Correspondence classes (primary)1,5961,6451,3871,2261,253
Chatham Islands schools1069988105111
                Totals, primary341,156359,537374,657382,799399,466
Post-primary Education
Secondary schools21,87223,92430,20335,05937,170
Combined schools3,8134,0904,6074,9385,090
Secondary departments of district high schools7,9468,7098,3648,8768,618
Technical high schools16,17918,13618,26818,29219,069
Maori secondary (boarding) schools871834860885833
Registered private and endowed secondary schools10,41311,30312,51413,66614,552
Correspondence classes (secondary)435482431452442
                Totals, post-primary61,52967,47875,24782,16885,774
Technical Classes (excluding Technical High Schools and Technical Day Schools)     
Conducted by Education, Secondary School or High School Boards9,69012,09013,07813,21014,750
Conducted by Technical School Boards16,65918,54722,07425,20622,764
                Totals, technical26,34930,63735,15238,41637,514
Higher Education
Universities9,3239,4419,4019,4879,669
Canterbury and Massey Agricultural Colleges1,0421,1061,1631,3621,360§
Students exempt from lectures940920946893882
Teachers' training colleges2,7102,7692,7442,7413,605
                Totals, higher14,01514,23614,25414,48315,516
                Totals, scholars and students451,908481,640509,950529,462551,080

The preceding table reveals the marked enrolment increases of between 20,000 and 30,000 in each of the last five years. The expansion of the education system began in 1945 when the enrolments of primary and post-primary full-time pupils rose by some 9,000, and by another 8,500 in the following year. In the ten-year period 1946 to 1956 the total increase in enrolments was 165,000 full-time pupils, and the number of part-time students at day and night classes more than doubled in those ten years. This development led in turn to proportionate increases in the recruitment of teachers, and in the provision of classrooms, of teaching equipment, and other facilities such as school transport.

The expansion was in the first instance due to the increase in the yearly number of births. This number was some 28,000 in 1936, but had risen to over 56,000 in 1956. The number of pupils and students at all educational institutions increased from 192 per 1,000 population in 1936 to 242 per 1,000 population in 1956. A second factor, accentuating the rate of expansion in the secondary school sector, was the gradual increase in the number of students who stayed at school beyond the age of fifteen, and left school from a higher form. The effect of this second movement has been that the number of candidates for the School Certificate examination more than doubled in the ten years 1946 to 1956.

The school enrolment increases were felt first in the primer classes, then in the lower standards. They gradually spread to the upper primary classes, and are expected to reach peak figures at the post-primary school level in the next five years. With the increasing numbers of school-leavers qualified for University entrance, a similar expansion at the level of higher education is to be expected, with peak enrolment increases likely to occur about 1965.

The development since 1930 of the total enrolments is illustrated by the diagram below, which gives for the years 1958 to 1965 estimates based on the most recently revised enrolment projections.

The changes in total enrolment were accompanied by changes in the yearly number of school-leavers entering occupations. 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 leaving from Maori schools and private schools.

Number LeavingPercentage From Primary Schools
193622.99442
194618.90216
195626.2676

A comparison of enrolment and enrolment increases in the number of all full-time pupils at state and private primary and post-primary schools in the past nine years (1947 to 1956) with those forecast by the Department of Education for the ensuing nine years (1956 to 1965) is as follows.

PrimaryPost-primaryTotal
1947 enrolment264,00055,600319,600
Increase, 1947-1956115,60036,000151,600
1956 enrolment379,60091,600471,200
Estimated increase, 1956-196575,90054,900130,800
Estimated 1965 roll455,500146,500602,000

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 1956 was 20,774. or 96 per cent. An important factor in this increase is the development of apprentice training. The attendance at day classes for apprentices has increased considerably in recent years (1950, 1,492; 1955, 8,678), 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 Universities which reached a total of 11,911 in 1956 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. A sixth teachers' training college was opened at Palmerston North in February 1956. 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, 2,769 in 1953, 2,744 in 1954. 2,741 in 1955, and 3,549 in 1956.

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.

Examination19521953195419551956
Teachers' Certificate256224217273305
School Certificate10,46812,00813,30814,96117,335
Special Bursaries350339343296 
London University67966
Handicraft Teachers' Certificate4548474053
Homecraft Teachers' Certificate4957585557
Technological11287897789
City and Guilds of London118137170162112
Samoan Public Service437510673129
Engineers' and Surveyors' Assistants2657765566
                Totals11,47313,03914,42315,99818,152
Trades Certification3,2343,9894,2035,2626,152

The University of New Zealand conducted examinations in 1956 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 9,786 entrants for the degree and professional examinations in 1956, compared with 10,453 in 1955 and 12.084 in 1954.

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
19522,0551,944
19532,1781,889
19542,4521,943
19552,5222,116
19562,8902,485

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 1957.

£
Expenditure Year Ended 31 March
195519561957
* Now included under vote, Education—Buildings, land, furniture, and equipment.
Expenditure from vote, Education—   
    General2.021.2342.219.6022.444.617
    Buildings, land, furniture, and equipment4.342.7846.928.7229.242.376
    Primary education8.313.1029.141.9999.934.492
    Post-primary education3.875.7124.431.1594.813.897
    Higher education1.476.7511.579.7341.843.744
    Training of teachers1.162.0311.264.3771.517.166
    Maori schools443.707475.073486.280
    Education of the blind58.92766.72370.062
    Special schools143.302147.205149.371
    Child welfare494.949511.629568.497
    Miscellaneous grants232.369324.247333.109
    National Library Service172.912193.895232.654
                Totals, vote Education22.737.78027.284.36531.636.265
Expenditure from other sources—Vote, Education Buildings2.671.3661.234.708*
                Grand totals25.409.14628.519.07331.636.265

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 1946-47 to 1956-57.

Year Ended 31 MarchExpenditure from Public FundsExpenditure Per Head of Mean Population
 ££ s. d.
19478,711,6374 18 5
19489,950,8185 10 1
194911,023,0165 19 7
195013,744,9607 6 1
195115,030,2017 16 9
195217,648,5629 0 2
195321,338,12310 12 4
195424,046,75711 13 4
195525,409,14612 1 4
195628,519,07313 5 3
195731,636,26514 8 4

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
1952589198
1953662234
1954526252
1955548259
1956494367

The need to expand the school building programme has resulted in a number of measures being taken in recent years to increase the supply of classrooms.

An emergency measure introduced in 1946 was the provision of prefabricated buildings. Increasing use was made of these buildings until the year 1952 after which improved building resources allowed a gradual increase in the proportion of permanent building.

A further important step in the efforts to meet rapidly increasing rolls was the use of standard plans for both primary and post-primary schools. In 1951 a Dominion Basic Plan for primary schools was introduced, while, in the post-primary field, three standard designs were evolved; and a number of new schools were built to each of the plans over the period 1953 to 1956.

The year 1955 saw the application in New Zealand of new principles being followed overseas in the design of primary and post-primary schools. The resulting designs gave improved teaching facilities and amenities at a lower cost. The first primary schools planned on the “block” principle opened in 1955, and the first post-primary school in 1957. These school planning principles are now being developed further.

In view of the need for plans which meet more closely the particular needs of individual districts, a scheme has now been introduced in primary school building which aims at providing speed and economy in the erection of buildings while, at the same time, giving Education Boards increased responsibility in the planning and building of schools and an incentive to use local architectural and planning skill in the fullest possible way. Education Boards are free under this scheme to plan and build within the limits or “white lines” imposed on the one hand by a building code which lays down minimum requirements for each type of building, and on the other by the ceiling placed by the Government on the amount of money which it is prepared to allocate to any particular project. The application of a similar scheme to post-primary school planning is now being studied.

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 1956 was 182.

At the end of 1956 there were 12 351 children on the rolls of 180 free kindergartens (6,816 being enrolled for morning sessions and 5,535 for those held in the afternoon). In 1955 the corresponding figures were 11,596 and 168 respectively. As yet the system is far from universal, although, besides those enumerated, there were at the end of 1956, 106 nursery play centres catering for 3,696 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 1956 consisted of 1,951 public schools (including district high schools and intermediate schools or departments), 163 Maori village schools, 318 registered private primary schools (which included 13 Maori mission schools), and 4 lower departments of secondary schools. There were also 180 free kindergarten schools.

Lower departments of secondary schools may be run for pupils who have not passed Form II, provided that no part ot the cost of instruction or of the maintenance of the department is met from public moneys. At the end of 1956 the total number of pupils in the four departments mentioned in the preceding paragraph was 108 with 4 teachers.

The curriculum of the primary school, as set out in the syllabus of instruction, includes character training, English, arithmetic, geography and history, arts and crafts (including needlework), nature study, physical education (including swimming), health education, 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
19521.889284.784270.835244.48090-3
19531.899300.508287.210262.62291-4
19541.913314.741301.862278.81392-3
19551.938321.405309.935284.98291-9
19561.951335.433322.139298.10092-5

While the number of schools has not increased greatly, mainly owing to the consolidation of small rural schools, the total rolls have increased by 81,000 since 1950. The changes which have taken place in the size of schools may be seen from the following table.

Number of Public Schools19461956Increase (+) or Decrease (-)
Roll 70 and under1,369975-394
Roll 71 to 350458606+148
Roll 351 and over203370+167
                Totals2,0201,951-79

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 1957 was 58, allocated as follows: Auckland, 13; South Auckland, 9; Hawke's Bay, 4; Taranaki, 3; Wanganui, 3; Wellington, 8; Nelson, 2; Canterbury, 10; Otago, 4; Southland, 2. These figures exclude one Chief Inspector and three 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 Years1954: Total Pupils1955: Total Pupils1956Percentage of Total Pupils
BoysGirlsTotal Pupils195419551956
5 and under 640,01839,51120,46019,24339,70313.512.912.5
6 and under 741,43440,49721,25919,94041,19913.913.212.9
7 and under 841,13241,37420,94019,76540,70513.813.512.8
8 and under 935,19541,31921,23720,09141,32811.813.513.1
9 and under 1032,48534,56320,92420,09841,02210.911.313.0
10 and under 1130,80232,65617,81216,87334,68510.410.610.9
11 and under 1226,85030,81016,80715,84632,6539.110.110.1
12 and under 1329,35625,89015,41214,12429,5369.98.59.3
13 and under 1415,17214,8297,4775,31912,7965.14.94.1
14 and under 154,1994,2442,2771,3143,5911.41.31.2
15 and under 165254512021333350.20.20.1
16 and over6877311950   
                Totals297,236306,221164,838152,765317,603100.0100.0100.0

In 1956 a total of 21,201 pupils (10,916 boys and 10,285 girls) left public primary schools as compared with 20,747 (10,643 boys and 10,104 girls) in 1955. Of those leaving in 1956, 20,177, or 95.2 per cent, had completed a course in Form II. 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 1956, 94.45 per cent (boys, 94 per cent, girls 95 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 1956, 96 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 1956, classified according to roll numbers. The number of intermediate schools and departments is also shown.

Roll NumbersEducation DistrictsTotal Number of Schools, September 1956
AucklandSouth AucklandTaranakiWanganuiHawke's BayWellingtonNelsonCanterburyOtagoSouthland
1-8   12633 116
9-2427231847443713593226326
25-301410591611319128107
31-7066904438404221894155526
71-11040501119122311211713217
111-15021348111413119109140
151-19021226584298893
191-2301265235246348
231-270991348454249
271-310544235124232
311-35052 218161127
351-3907924510 83250
391-430852148226 38
431-4701214 34434136
471-510774 66292346
511-55073 537 75 37
551-59035 216 52 24
591-630105 113 4 226
631-67064 3 1 5 120
671-71083 1 1121 17
711-750731       11
751-790 1 1 1 3  6
791-8302  1 1    4
831-870     1 1  2
871-9101      1  2
911-950           
951-990       1  1
991-1030           
1031-1070     1    1
Normal schools2  1 1 11 6
Intermediate schools and departments1572234144143
                Totals315303117161173217722921631381,951

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 1956 there were 23,795 attending public schools out of a total of 36,217 Maori children receiving primary education in State schools. The long-term policy, endorsed by representatives of the Maori people themselves, is gradually to transfer the Maori schools now directly under the Department of Education to the control of the local Education Boards. However, transfers will take place only after full consultations with the local Maori people.

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. Health education is featured in every Maori school.

The number of pupils on the rolls of the 163 Maori village schools at the end of 1956 was 13,606 (including 1,184 European children), while the total roll number of the thirteen Maori mission schools was 872.

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 (11 males and 81 females in 1956).
195216212,1951,15211,56084.8236310
195316412,0161,52011,52388.4232288
195416412,3051,24911,42588.9247280
195516612,3511,24711,33388.3222293
195616312,4221,18411,13188.7251292

Four 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 29 intermediate schools and 14 intermediate departments at the end of 1956 numbered 19,181. The progress that is being made with the establishment of this type of school may be gauged from the fact that 14 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 1956, 31 per cent were enrolled at the intermediate schools. The average attendance during the year was 18,154. The ages of pupils on the roll at 1 July of each of the last three years were as follows.

Age, in Years195419551956
BoysGirlsTotalBoysGirlsTotalBoysGirlsTotal
Under 118813322186168254103147250
11 and under 121,8892,1324,0212,4782,7095,1872,8073,1845,991
12 and under 133,7433,6747,4173,5343,2996,8334,4094,0668,475
13 and under 142,3171,6643,9812,2941,6793,9732,0861,4873,573
14 and under 156434281,071604386990614367981
15 and under 161347520975301057645121
16 and over262450117186915
                Totals8,8408,13016,9709,0828,27817,36010,1019,30519,406

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 175.

YearNumber of SchoolsRoll at End of YearAverage Yearly AttendanceTeachers
BoysGirlsTotalMalesFemalesTotal
195230619,75220,69240,44435,6741699451,114
195331020,82321,97642,79938,0451699681,137
195431721,70622,53444,24039,2641761,0071,183
195531922,56723,39645,96340,3161891,0561,245
195631823,81724,61748,43443,0351611,0701,231

The majority of the schools included in the preceding table are Roman Catholic Church schools, of which there were 253 at the end of 1956 with 41,615 pupils (20,213 boys and 21,402 girls) and 977 teachers (89 males and 888 females). The average attendance was 38,483. The remaining private schools comprised 52 church schools of other denominations with 195 teachers and 5.767 pupils, and 13 undenominational schools with 59 teachers and 1,052 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 181). 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. Later, when the Primary School Certificate was in turn abolished, every child completing the work of Form II became entitled to free post primary education. Extension of a free place beyond the age of nineteen years 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 post-primary 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 SchoolsTotal
* In addition there was one farm training school classed as a Maori secondary school.
1952407112301079278
1953427109331084285
1954527107341086296
1955597114331289314
1956667113361191324

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 until recently the majority of schools giving post-primary education had 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 1957) 34 Inspectors, one Chief Inspector of Post primary Schools, and one Superintendent of Technical Education.

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
195221.8723.8137.94616.17987110.41343561.529
195323.9244.0908.70918.13683411.30348267.478
195430.2034.6078.36418.26886012.51443175.247
195535.0594.9358.87618.29288513.66645282.165
195637.1705.0908.61819.06983214.55344285.774

The foregoing table does not include part-time students attending technical classes (38,046 in July 1956), students receiving part-time tuition from the Correspondence School (1,976 in July 1956), and students receiving part-time instruction from the Technical Correspondence School (2,479 in July 1956).

The numbers of each sex attending post-primary schools at the end of 1956 were: State secondary schools, 18,758 boys and 18,412 girls; combined schools, 2,825 and 2,265; secondary departments of district high schools, 4,132 and 4,486; technical schools, 10,989 and 8,080; Maori secondary schools, 433 and 399; endowed and registered private secondary schools, 6,874 and 7,679; and full-time at Correspondence School, 170 and 272.

The following table shows the number of pupils at state secondary schools and combined schools taking the different courses available. (This table as at 1 July in each of the last five years may be compared with the similar table for technical schools below.)

Course19521953195419551956
Industrial1,8992,3053,4284,4934,745
Commercial and general21,53723,46428,44331,55033,684
Domestic2,4572,5703,3313,9864,084
Agricultural1,0191,0701,3261,5791,642
Fine arts5669124179277
                Totals26,96829,47836,65241,78744,432

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-six technical schools in 1956. The following table shows the number of pupils taking the different courses available (as at 1 July in each of the last five years).

Course19521953195419551956
Industrial5.6836.2986.6176.6297.012
Commercial and general7.7319.1369.1729.2369.803
Domestic2.9363.0962.9582.9282.938
Agricultural1.0751.3641.0681.1931.310
Fine arts229212212158135
                Totals17.65420.10620.02720.14421.198

Technical Classes.—The number of centres at which technical classes for part-time day and evening students are provided was 162 in 1956.

The number of individual students including apprentices attending day classes in 1956 was—

Classes conducted by Education or High School Boards13,686
Classes conducted by Technical School Boards or by Managers24,360

Of the total of 38,046 students, 26,438 (13,801 males and 12,637 females) held free places.

The above figures do not include 4,455 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 1956 was 2,479. There were 44 full-time teachers, besides the Principal, on the staff at the end of the year 1956.

Probable Destination of Post-primary Pupils.—An indication of the vocations intended to be followed by pupils leaving public post-primary schools during 1956 is contained in the next table. Of the totals, 5.2 per cent of boys and 2.2 per cent of girls intended to proceed to full-time University studies, while a further 1.7 per cent of boys and 6.7 per cent of girls stated their intention of entering the teaching profession. Clerical occupations (including typing) claimed 11.7 per cent of boys and 33.8 per cent of girls; shops and warehouses, 8.3 per cent and 14.8 per cent; manual trades, 29.0 per cent and 2.2 per cent; farming, 21.8 per cent and 0.8 per cent; 0.3 per cent and 14.2 per cent intended to stay at home; various other occupations claimed 16.4 per cent and 20.5 per cent; while 5.6 per cent and 4.8 per cent of boys and girls respectively did not know their future vocations at the time.

OccupationSecondary SchoolsCombined SchoolsTechnical SchoolsDistrict High SchoolsTotals
BoysGirlsBoysGirlsBoysGirlsBoysGirlsBoysGirls
University5022038631913435682273
Teacher or teacher training college1365231776431582284218841
Professional cadetships2282728 135523641438
Health services66603485122611171831,120
Office work—
    (a) Government or local body2755565092195284901566101,088
    (b) Industry and commerce6051,625591882151,067472529263,132
Shop and warehouse assistants479780731244206591182891,0901,852
Skilled trades—
    (a) Government or local body2842832153302056870271
    (b) With private employers1,17711222431,42472289143,114201
Farming (including those engaged at their own homes)1,01837224389924718342,85998
Clothing workers11279 89270 5020607
Factory operatives106139139140964837307281
Domestic work and at home13657 67195265525371,775
Armed forces (not included elsewhere)129224 11835743289
Other occupations3622706226411152175381,010486
Not known3222691863282717249740595
                Totals5,7136,1109147334,7893,9021,7241,72213,14012,467

Duration of Stay at Post-primary School.—The following table gives particulars of pupils who left public post-primary schools in 1955, classified according to years of attendance. The approximate average length of stay at the various types of school was: secondary schools, 3 years; combined schools, 3 years; technical high and day schools, 2 years 6 months; secondary departments of district high schools, 2 years 4 months; all post-primary schools, 2 years 9 months.

Year of AttendanceSecondary SchoolsCombined SchoolsTechnical High and Day SchoolsDistrict High SchoolsAll Schools
NumberPer CentNumberPer CentNumberPer CentNumberPer CentNumberPer Cent
First9768-261167-041.27914-7163218-343.00311-73
Second3.51229-7053732-613.69142-471.45542-229.19535-91
Third3.54830-0146728-352.47728-5094427-397.43629-04
Fourth2.47820-9630418-4693510-7637210-804.08915-97
Fifth1.1659-8518711-352913-35431-251.6866-58
Sixth and over1441-22362-19180-21  1980-77
                Totals11.823100-001.647100-008.691100-003.446100-0025.607100-00

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 approximately 40 per cent do not proceed beyond the second year of attendance.

Secondary Schools for Maoris.—At the end of 1956, 824 Maori pupils were receiving post-primary education at the 11 Maori secondary schools, 227 of the total being Government scholarship holders. In addition, there were 44 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 11 such schools at the end of 1956.

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 and Hamilton. 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.

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 1956 the total callers at the centres numbered 17,724. In addition, 11,266 pupils were interviewed individually in post-primary schools. Group interviews were carried out with 624 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 1,261 visits to schools, addresses at 213 meetings, and 538 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 1956, despite a considerable increase in the school population in the intervening period, was 1,908. 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 was an increase in the numbers of pupils requiring some form of transport to enable them to attend school. In recent years school transport facilities have been steadily developed until now 18.4 per cent of the total school population receive assistance in one form or another. Most of these pupils are conveyed by buses under contract to Education Boards or operated by the Department of Education. Financial aid towards the cost of fares is given in some cases where the number of pupils is insufficient to warrant a special school bus service. In addition, free passes on the railway to the nearest public or private school are granted to eligible children living near a railway line but at some distance from a primary school, and the same privilege is enjoyed by pupils having to travel to attend secondary schools, combined schools, district 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.

In areas where there is no organized transport, capitation payments are made to parents for the conveyance of their children to school by car. Horseback allowances are also payable.

The expenditure on transport of pupils for the financial year 1956-57 was £1,533,329, a compared with £1,402,621 in 1955-56.

In certain cases, boarding allowances are granted to pupils living in areas where there are no available or convenient transport services to enable them to attend school. Boarding allowances are also granted to post-primary pupils to allow them to take, in other centres, certain specified courses not available at their local school.

The expenditure on boarding-allowances of pupils attending schools for the last three years is given in the table below.

 1954-551955-561956-57
 £££
Public primary and intermediate7,1589,1377,878
Private primary7,7409,0248,727
State secondary72,19872,85874,527
Maori4,0783,6944,373
Private secondary47,45448,87351,768
                Totals138,628143,586147,273

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 1956, 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 schools298.44952.398227
Intermediate schools and departments19.4061.4484
Secondary departments of district high schools9.5934.71693
Secondary schools39.0739.1721.697
Combined schools5.3591.120653
Technical schools21.1987.951467
Maori village schools13.6064.50943
Chatham Islands schools11172 
Private primary schools46.1603.236290
Private post-primary schools15.8231.8091.981
                Totals, 1956468.77886.4315.455
                Totals, 1955450.90681.4875.615
                Totals, 1954433.66678.0115.676

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 post-primary 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. One of the features of the school is the provision of instruction in subjects involving practical work, such as needlework, woodwork, and the science subjects. A corporate school spirit is developed through the school badge and uniform, daily radio lessons, club activities, the publication of a school magazine, periodical exhibitions of work, and by Parents' and Ex-Pupils' Associations. The personal link between the pupil and the school is strengthened and the work of the school facilitated by a number of teachers from the school visiting pupils in their homes in the first term each year and, in two areas, by round-the-year visiting by resident teachers. Residential schools are held in November each year to give pupils the opportunity of taking part in group activities and of intensive tutorial work in subjects not readily dealt with by correspondence.

Young persons in employment, including uncertificated teachers of small public schools and junior assistants in Maori schools, inmates of Department of Justice institutions, pupils of post primary schools who require examination subjects which their own schools cannot provide, officers of Government Departments, and others who are unable to attend evening classes at post-primary schools, also receive tuition as part-time students of the Correspondence School.

At the end of 1956 there were 2,959 pupils on the roll of the Correspondence School, 1,169 being in the primary division and 549 full-time and 1,241 part-time students in the post-primary division. The staff of the school consists of the headmaster, deputy head teacher, 74 post-primary and 35 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 denial 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.

TEACHING PROFESSION: Training of Teachers.—In 1956 there were six teachers' training colleges available to students who desired to enter the teaching profession, and at the end of 1956 there were 3,549 students in training. This number includes 626 holders of post-primary teacher studentships (Division U) who are full-time university students but at the same time are an integral part of the training colleges. Included in the remainder, were 2,403 “Division A” students undertaking training for primary teaching and 207 “Division C” students undertaking training for post-primary teaching. The minimum academic qualification for admission to Division A is the School Certificate, but approximately two-thirds of these students have an Endorsed School Certificate or University Entrance. Nearly all “Division C” students are University graduates at the time of admission.

The following table shows the number of students in these two groups in December of each of the years 1952-1956.

YearDivision ADivision CTotals
MalesFemalesMalesFemales
19527551,41263712,301
19537271,47877722,354
19546721,56190762,399
19556751,58593922,445
19567001,703911162,610

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. 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 109 homecraft trainees in the Auckland and Dunedin Training Colleges in 1956. A further 50 trainees were being trained in 1956 as manual training instructors.

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 1956 the number of trainees taking the special one-year course at the training colleges was 143 (80 men and 63 women). The corresponding figure in December 1955 was 170 (99 men, 71 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 earlier, nor are some fee-paying students (Division B) of whom there were 11 in 1956.

In 1948 a new Post-primary Teachers' Bursary scheme was instituted to enable suitable students, who had reached a standard of education at least equivalent to University Entrance, to complete approved degree courses in preparation for entry into the post-primary teaching profession. Candidates were required to have reached sixteen years of age by 31 December of the year of application for a bursary. The tenure was for a maximum period of four years. On completing their University courses students were required to attend a teachers' training college for one year as “Division C” students, and then to serve for a period of four or five years as teachers in post-primary schools. There were 626 of these bursars attending University colleges in 1956.

A maximum of twenty Physical Education Bursaries were also awarded annually to enable students to attend the School of Physical Education at the University of Otago for a three-year diploma course in physical education. The bursaries were of the same value as the Post-primary Teachers' Bursaries, and the bursars were required, on the completion of the course, to undertake work for a period of three or four 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 1955 was 55. In 1956, holders of Physical Education Bursaries elected to transfer to Post-primary Teacher Studentships.

By 1955 it had been evident for some time that the value of these bursaries (£70 cash allowance plus payment of tuition fees, and £40 boarding allowance if the student was obliged to live away from home) was not attracting good students in sufficient numbers to supply the needs of the growing school population. Furthermore, there was a very high rate of loss during the years of study. During 1955 a new system of recruiting teachers for the post-primary service received Government approval and this was brought into operation in 1956. The Post-primary Teachers' Bursaries and the Physical Education Bursaries were replaced by the new Post-primary Teacher Studentships. To be eligible for one of these awards an applicant must have reached the age of 16 years on 31 December of the year of application, and must at the time of application have qualified for entrance to the University, or hold some equivalent or higher qualification approved by the Director of Education. Students are attached to the training college in the appropriate University centre, and a newly created senior lecturer, appointed to each training college, supervises the work of the students and assists them towards the completion of their University courses. Each student on accepting the award, signs an agreement that he will satisfy the stated conditions. One important condition is that if he docs not achieve reasonable success in his University studies he will transfer to the “Division A” course at training college and there complete his training as a teacher.

The allowances payable are—

  • For the 1st and 2nd year of the studentship, £205;

  • For the 3rd and 4th year of the studentship, £310;

  • For the graduate training year—1st step on the teachers' basic scale (£570 for men, £495 for women).

Tuition fees are paid in addition to the above allowance. During the four years of the studentship a boarding allowance at the rate of £42 per annum is paid if the student is required to live away from home.

In 1956, 330 Post-primary Teacher Studentships were awarded.

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 1956, together with totals for 1955, 1954, 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—
    Auckland3752544563946641422,01583.6
    South Auckland42 2477323658311081,41683.2
    Taranaki291823104179435437100.4
    Wanganui5779051532592446641100.2
    Hawke's Bay5981003154258943634103.2
    Wellington4612146932857260211,19494.4
    Nelson27340175108824286110.3
    Canterbury8091927388600631171,45698.6
    Otago52310131902583148686119.8
    Southland38594 1121401331433146.0
Intermediate schools and departments  28 376278  682145.3
                Totals, 1956467531,374422,7664,2563076159,88098.9
                Totals, 1955506561,306552,6234,0283846729,630100.1
                Totals, 1954520671,250612,4943,9274056269,35099.7
                Totals, 19406443639911478862,8902274386,58671.6

Between 1940 and 1956 the total number of teachers increased by 3,294, male teachers contributing 2,166 of this increase and female teachers 1,128. The average number of pupils per teacher was 27.3 in 1940, 28.5 in 1952, 29.0 in 1953, 29.8 in 1954, 29.6 in 1955, and 30.1 in 1956.

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 Total
MalesFemalesMalesFemalesMalesFemalesMalesFemales
1952572461334116632273114722,574
1953621503344122696303116772,782
1954813614340115691294126813,074
1955950668377116687298137923,325
19561,032708352116758295140893,490

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 1956 being 2,282, an increase of 1,374 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 1956 (1,208) was 578 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 1956, 726 full-time teachers (333 male, 393 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 and gramophone records free of charge to schools and to organizations having some educational purpose. More than 1,700 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 in four separate parts suitable for pupils in the various standard classes. Parts 1 and 2 are published six times in the year while Parts 3 and 4 for the senior classes appear four times a year. 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, and literature.

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, and private schools receive one copy free of charge.

Education, a magazine for teachers, is published three times a year.

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 University of Otago, founded in 1869 at Dunedin. By the New Zealand University Amendment Act 1926 the constitution of the University was altered so that it consisted of the four University colleges. A further change was made in 1957 when legislation was passed to change the names of three of the constituent colleges without altering their powers or their relationships with the University of New Zealand. Auckland University College became the University of Auckland, Victoria University College became the Victoria University of Wellington, and Canterbury University College became the University of Canterbury. Each of the Universities, besides offering courses in the faculties of arts, science, commerce, law, and music, specializes in certain fields. 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 has a school of engineering (mechanical, electrical, civil, and chemical), and a school of fine arts; Auckland University has a school of architecture, a school of fine arts, a school of engineering (mechanical, electrical, and civil), and a post-graduate department of obstetrics and gynaecology; and Victoria University of Wellington has a school of public administration, and a school of social science. There are also two agricultural colleges—viz., Massey and Canterbury—associated with the University (see page 196.

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. The provisions of the New Zealand University Amendment Act 1930 were amended in 1956 to allow the Council of Legal Education to make representations directly to the Senate, instead of to the Academic Board. A copy of any such recommendation to the Senate must be sent to the Academic Board so that it may forward to the Senate its comments on the recommendation.

By means of an amendment to its own statutes and with the consent of its constituent institutions and the agricultural 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 provided for the establishment of a Curriculum Committee to which the Senate of the University might delegate certain powers of approving courses, and which might in its turn delegate certain powers to the colleges and Universities; the effect of this Act was to make it possible for them to achieve a considerable degree of autonomy in academic matters.

In 1956 there were 10,195 students actually in attendance at the four Universities and the two agricultural colleges. Of these, 966 were graduates, 8,191 undergraduates, and 1,038 unmatriculated students. Of the unmatriculated students, 676 were taking short courses at the agricultural colleges. A small number of the unmatriculated students are returned servicemen, who are admitted under special terms. In addition, there were 882 students attached to the various universities, but exempt from lectures. Comparable figures for the five years quoted are given in the following table.

YearStudents Attending LecturesExempt StudentsTotal
MalesFemalesMalesFemales
19527 7932,57283310711,305
19537,9442,60380811211,467
19547,9272,63782312311,510
19558,2022,64777911411,742
19567,6542,54174713511,077

Professors attached to the various Universities and colleges in 1956 numbered 100, of whom Auckland had 23; Victoria, 19; Canterbury, 19; Otago, 32; Massey Agricultural, 4; and 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 1956 and each of the preceding two years.

Course195419551956
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Agriculture—
    Degree744788318491394
    Diploma296730329963053538361
    Other76278961971021103
Architecture—
    Degree77380903931004104
    Diploma401413744155257
    Other661678318461263
Arts2,2061,3733,5792,0981,4583,5561,9791,4453,424
Commerce1,479831,5621,529791,6081,318851,403
Dentistry155315815861641687175
Divinity323353713835 35
Education: Diploma117221391183715512253175
Engineering316 316414 414443 443
Fine Arts: Diploma3777114346910369103172
Home Science—
    Degree 3131 3131 1717
    Diploma 8787 9898 100100
Horticulture: Diploma27134020133317926
Journalism: Diploma891711162714519
Law718297477572978681832850
Medical Science4 43133411112
Medicine481535344745753147043513
Mining: Diploma3 37 73 3
Music7511218765851506383146
Physical Education: Diploma274774245074275582
Public Administration: Diploma10 109 910 10
Science (including Medical, etc, intermediate)1,6012451,8461,6172421,8591,0242201,244
Social Science: Diploma101323971612719
Other courses225173194766205474
                Totals7,9572,26910,2268,1192,34410,4637,3852,3399,724

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-five University National Scholarships for which funds are provided by the Department of Education. By the New Zealand University Amendment Act 1957, the number of National Scholarships is to be increased to 30 in 1958 to 35 in 1959, and to 40 in 1960. Both forms of Scholarships are tenable for four years and provide full tuition fees, a scholarship allowance of £80, and an additional allowance (£60 for the former and £50 for the latter) for students who have to live away from home. These scholarships, together with the Taranaki Scholarships 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 Universities and agricultural 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 Shirtclifle 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 may also award one Research Scholarship of an annual value of £200, tenable in New Zealand.

The system of bursaries for students entering upon a University course which has been in operation for a number of years was radically changed as the result of a Government decision made at the end of 1955. The new system came into effect from the beginning of 1956. No further Special Bursaries, National Boarding Bursaries, or ordinary National Bursaries will be awarded. Instead, the following kinds of bursaries are tenable for four years, except for students studying medicine, dentistry, architecture, and engineering, for whom payment for a fifth year is provided.

Entrance Bursaries are awarded to part-time or full-time students who have qualified for entrance to the University either by examination or accrediting. These bursaries provide for payment of half-fees until the student has passed the equivalent of three Stage I Arts units; thereafter full fees are payable for the balance of the term for which the bursary is awarded.

H.S.C. Part-time Bursaries are awarded to part-time students who are holders of the Higher School Certificate. These bursaries provide for payment of full tuition fees.

H.S.C. Full-time Bursaries are awarded to full-time students who hold the Higher School Certificate and who are living at home. In addition to full fees, bursars receive a bursary allowance of £40 a year.

H.S.C. Boarding Bursaries are available to full-time students who are similarly qualified but who are required to live away from home or their usual place of residence in order to attend a University or College affording tuition in the subjects appropriate to their course and year. The bursary provides for full fees, a bursary allowance of £40 a year, and a boarding allowance of £50 a year.

A Bursary Allowance for Special Merit to the value of £20 in addition to the allowances already mentioned is paid to each of not more than 150 bursars who are commencing the final year of their bursary and who are nominated by the University of New Zealand for the award.

All these bursaries are subject to strict rules as to suspension and cancellation. A student who in any year does not pass in a prescribed number of units will have his bursary suspended and it will not be reinstated unless in the following year he is credited with a prescribed number of passes. Only one such suspension is allowed and subsequent failure results in cancellation of the bursary.

Full details of the amounts payable and other qualifying conditions for the various classes of bursaries are available in a vocational guidance pamphlet entitled “Next Year” which is issued annually by the Department of Education.

The Government offers for competition annually two bursaries to students wishing to attend the School of Social Science at the Victoria University of Wellington. Preference is given to candidates nominated by non-State organizations engaged in social work. These bursaries provide for full fees, a bursary allowance of £80, and a boarding allowance of £50 where appropriate.

The total number of University National (ordinary and boarding), Entrance, Higher School Certificate, and Special Bursaries current in 1956 was 3,900.

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). Study awards are made to selected public servants to enable them to undertake University study. The Department of Education has a very generous system of studentships available for those intending ultimately to qualify as post-primary teachers.

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), Entrance, H S.C., and Special BursariesTraining College StudentshipsOtherTotal
1952124223,5105011,4105,567
1953125193,6235411,4165,724
1954124223,6155231,2585,542
1955126193,8995421,1695,755
1956117243,9005251,1845,750

Holders of rehabilitation bursaries numbered 47 in 1956, 85 in 1955. 140 in 1954. 255 in 1953 and 384 in 1952.

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 total number of students at Massey College in 1956 was 513 and at Canterbury 747. These numbers include 193 students at Massey and 483 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 £215,645 in 1956-57. Various research projects at the colleges have been aided by expert assistance and grants from the Department of Scientific and Industrial Research.

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 1957 there were 155 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. 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 admonition 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.

 195519561957
On “complaints” (under the Child Welfare Act)440332432
For offences (including offences against Acts, regulations, or by-laws)2,2532,6383,078
                Totals2,6932,9703,510

On the basis of the total juvenile population of New Zealand at the time, the incidence of appearances for offences is shown as follows.

 195519561957
* Number of cases per 10,000 of the population aced seven to seventeen years.
Total Court appearances for offences2,2532,6383,078
Rate*576174
Court appearances for all more serious offences (excluding offences against special Acts, regulations, or by-laws)1,6221,6951,972
Rate*414145

The decisions made in the Children's Court during the year ended 31 March 1957 are shown in the summary below.

DecisionYear Ended 31 March 1957
Committed to the care of the Child Welfare Superintendent508
Placed under supervision of Child Welfare Officers1,172
Admonished and discharged with or without costs, restitution, or fine1,471
All other decisions359
                Total3,510

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 8,297 children under the control and supervision of the Child Welfare Superintendent and his officers at 31 March 1957, 3,929 were under the guardianship of the Superintendent and a further 63 were in effect his wards for the time being. These 3,992 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)2,43178.6
In institutions administered by the Child Welfare Division (including those temporarily admitted)37912-2
In mental hospitals1113-6
In residential schools and colleges (including schools for handicapped children)1203-9
In hospitals, convalescent homes, etc.140-5
In children's homes (including orphanages, etc.)351-2
Attending University or Teachers' Training College2 

For the children requiring institutional care and training the Child Welfare Division administers several different types of institutions. The Girls' Training Centre at Burwood, Christ-church, 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 not requiring institutional care but presenting behaviour and personality problems beyond the capacity of most ordinary foster parents are provided for in “Family Homes". These are private houses owned by the Division and occupied rent-free by specially selected married couples who agree to care for children on a long-term basis, as a condition of the tenancy. These homes are also used to provide transit accommodation in areas in which there is no Receiving Home or Boys' Home.

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 1,314 children under supervision at 31 March 1957.

Preventive cases, numbering 1,826 at 31 March 1957, 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 1957, 1,678 such children were being supervised.

Under the Adoption Act 1955 a Child Welfare Officer must give prior approval to the placement for adoption of a child under 15 years, or alternatively, the applicants must apply for an interim order of adoption from the Court. The Court is required to obtain a Child Welfare Officer's report on such a placement before granting an order. A waiting period of at least six months is required, during which the placement is supervised by a Child Welfare Officer, before a final order can be made.

The Child Welfare Superintendent, under the provisions of the Child Welfare Amendment Act 1948, assumed guardianship of unaccompanied immigrant children from Britain on their arrival in New Zealand, and similarly of refugee children from other countries. He also had administrative responsibility for the Polish refugee children who came to New Zealand during the war.

The Division also has a measure of responsibility towards handicapped children generally, partly because of its role in assisting in the administration of residential schools for deaf children or for backward children. Child Welfare Officers, more especially in country areas, also assist in locating children who require special education, in advising parents or teachers concerning the facilities available, and in ensuring that the circumstances become known to appropriate agencies.

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 (36 research reports and 15 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, to 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 Universities; 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 institutions of the University of New Zealand. Each University Council has the advice of a Regional Council of Adult Education, to which certain of the powers of the University 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 Universities 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. Several thousands of new settlers have now passed through these classes and many are now becoming naturalized New Zealand citizens. During 1956 the number of classes declined with the falling off in the number of new settlers arriving, but in 1957 the number of classes increased to over 50 with an enrolment in excess of 500. For those persons not in the position to attend classes, a correspondence course is provided. Special textbooks and other material have been prepared for use by teachers and students. The classes are normally held at technical colleges.

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 by loans from book vans, request service, and subject loan collections. 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, both borough and county, 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 book vans.

The number of libraries obtaining books from the Country Library Service on 31 March 1957 was as follows: free libraries, 110; subscription libraries, 801; groups, 47; Ministry of Works, State Hydro-electric, and New Zealand Forest Service camps, 52; tuberculosis sanatoria, 14; mental hospitals, 12; hospitals, 12; prisons and borstal institutions, 13. Lighthouse staff receiving a library service numbered 101.

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 1957 regular exchanges of children's and young people's books were being sent to a number of public libraries and to 2,449 schools. The schools served are primary, both public and private, intermediate, and district high schools. Pupils of the Correspondence School also receive books regularly.

All schools, including post-primary schools, receive additional books on request. Some 322,533 requests were filled during the year ended 31 March 1957.

The total number of books circulated during the same period was 1,057,021.

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. The headquarters collection of the service now amounts to over 125,000 titles.

Library School.—The Library School was established in 1946, and at the end of 1956, 202 students had taken the course.

The school offers professional training to those holding University degrees or with equivalent education. The course lasts from March 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, 1950, and 1957. A short course for Librarians of Government Departments was held in 1949, and the Library School has collaborated in holding short courses 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. Facilities for training are offered to students sponsored by UNESCO and by countries participating in the Colombo Plan.

PACIFIC ISLANDS EDUCATION.—The Department of Education has always taken an active interest in education in the Pacific Islands, but it was not until 1946 that a Division was set up in the Department to act as a liaison unit to the Department of Island Territories and to assist other administrations including those in Fiji, Tonga, the Gilbert and Ellice Islands, and Pitcairn Island with their educational problems.

As part of this assistance, the Department of Education recruits an average strength of 150 education officers and teachers, inspects them and protects their rights against their return to New Zealand. The Officer for Islands Education maintains a small staff including an inspector and a textbook writer to provide assistance in a large variety of ways. Apart from advisory visits to most of the Islands, supplies of modern texts and apparatus are sent regularly by this Division. Several publications have been produced recently.

In addition, a very important function of the Division is to operate and supervise closely a scholarship system which enables 140 Islands students to obtain in New Zealand schools, trade training centres, and Universities, more advanced education than would otherwise be available to them. During the term of their scholarship these students are fully maintained by the Department of Island Territories. In 1957, approximately 250 other students from Fiji and Tonga, the British Solomon Islands Protectorate, and the Gilbert and Ellice Islands were supervised and assisted in obtaining the benefits of a more varied or advanced education than they could gain in the Islands.

The following table shows the numbers of teachers and estimated numbers of pupils in the areas receiving some help from the Islands Education Division of the Department of Education for the year 1957.

TerritoryTeachersPupils
New ZealandLocalPrimarySecondaryTotals
* Indicates areas where New Zealand assists but has no administrative authority.
Fiji*771.87362.5012.71365.214
Western Samoa3179026.11249326.605
Cook Islands222404.4032094.612
Niue8731.060591.119
Tonga*956612.9102.86515.775
Gilbert and Ellice Islands*23319.103 9.103
Pitcairn*1 21 21
C.A.A. Nandi3 89 89
Tokelau Islands 10499 499
                Totals1533.883116.6986.339123.037

Chapter 7. SECTION 7—SOCIAL SECURITY, PENSIONS, SUPERANNUATION, ETC.

7 A—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.

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 orphans' 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 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.

The most recent development in social security reciprocity was the passing of the Social Security (Reciprocity with the United Kingdom) Act 1956, which extended reciprocity between the United Kingdom and Northern Ireland and New Zealand to cover age, superannuation, widows', orphans', invalids', sickness, and unemployment benefits. The operative date was 1 April 1956. Family benefits were already payable on a reciprocal basis as mentioned earlier.

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 the 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 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 was 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 131/3d. 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.

The Income Tax Assessment Act 1957, which introduced the Pay As You Earn system of taxation from 1 April 1958, provided for the imposition of a social security income tax in the place of the social security charge. This tax has also been written into the deduction tables under the P.A.Y.E. system at the rate hitherto obtaining (i.e., 1s. 6d. in the pound). It forms part of the pay-period tax.

In the case of salaries and wages the amount of the tax is deducted by the employer or other person by whom the wages or salaries are paid, while the tax on other income is payable by the recipient in three instalments on 7 June, 7 November and 7 February in the income year.

Receipts.—Receipts of the Fund for the financial years 1952-53 to 1956-57 are given in the following table.

1952-531953-541954-551955-561956-57
* 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 wages26,650,92228,714,79032,423,83135,272,65437,262,667
Charge on other income of persons13,294,11014,569,99416,125,70116,706,97016,655,458
Charge on company income5,562,9066,432,5927,625,6197,931,0937,717,099
Grants from Consolidated Fund (Social Security Act)14,000,00014,000,00014,000,00014,000,00014,000,000
Maintenance recoveries against defaulting husbands*78,42977,65380,59692,67492,233
Interest on investments19,90915,63935,09477,43280,738
Reciprocity arrangements: Recoveries from Australian Government3,4146,3793,2144,33211,058
Other receipts18,54621,92520,05525,82637,266
Total revenue59,628,23663,838,97270,314,11074,110,98175,856,519

Payments.—Particulars of payments during the same five financial years are contained in the next table.

£
1952-531953-541954-551955-561956-57
Monetary benefits—
    Superannuation5,564,6296,029,1836,750,2267,771,4067,908,795
    Age19,091,30319,922,23422,251,09822,831,08923,305,383
    Widows'2,157,1152,323,8352,664,4612,849,3082,934,265
    Orphans'35,40427,58328,89930,68831,599
    Family16,854,26117,618,58118,179,09918,860,86619,444,421
    Invalids'1,416,5611,488,4251,616,5621,680,1111,672,438
    Miners'121,636123,547128,663127,351121,048
    Unemployment3,1876,5755,6604,24720,578
    Sickness1,062,1761,086,2411,276,8171,302,8681,221,409
    Emergency340,625366,558430,135534,104729,309
        Total, monetary benefits46,646,89748,992,76253,331,62055,992,03857,389,245
Medical benefits—
    Medical3,047,2023,085,7493,350,1803,548,0803,797,062
    Hospital2,135,2182,184,2393,411,0404,764,6664,869,453
    Maternity919,422924,6161,147,3071,376,5641,414,767
    Pharmaceutical3,015,8332,919,6203,047,3314,039,1454,572,556
    Supplementary1,310,9221,492,8221,633,0661,818,6992,118,874
        Total, medical benefits10,428,59710,607,04612,588,92415,547,15416,772,712
Reciprocity benefits—
    Australia4,9676,0497,1154,03510,245
    Great Britain23 91186Cr, 17
Balance of maintenance moneys 6225267114
Administration expenses957,5581,017,1401,097,2191,176,7791,249,542
Special assistance21,287102,329135,162163,334184,276
Bonus767,1151,644,9253,481  
        Total payments58,826,44462,370,31367,163,63772,883,79375,606,117
Balance of Fund at end of year10,959,50812,428,16715,578,64016,805,82817,056,230

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—i.e., those 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, this increase being authorized by the 1955 Amendment Act. From 1 August 1955, by the Social Security Amendment Act (No. 2), 1955, an increase of 5s. a week was authorized in the basic or maximum rates of widows' benefits, and of age, invalids', miners', sickness, and unemployment benefits where the applicants are unmarried, subject to a discretionary power for the Commission to refuse the increase where the applicant is sharing household expenses with another person. An increase of 4s. a week from 19 November 1956 was authorized in the maximum rates of age, widows', orphans', invalids', miners', sickness, and unemployment benefits. Rates were further increased by 3s. 6d. a week from 1 September 1957. The 1956 and 1957 increases were validated by the Social Security Amendment Act 1957.

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 income tax unless they remain ordinarily resident in New Zealand.

In computing the income of beneficiaries over sixty-five years of age no account is taken of the first £26 of pensions or annuities received under the Superannuation Act '956 or the National Provident Fund Act 1950.

The receipt of a war disablement pension or a basic war widow's pension does not render a person ineligible to receive a 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 1958).

BenefitAnnual RateWeekly Rate
£s.d.£s.d.
* According to circumstances, but in general, standard rates will be increased by 20s. a week for beneficiary, 10s. a week for his wife, and 5s. a week for each dependent child.
Superannuation (from 1 April 1958, £110)10500   
Age—
    Unmarried person214100426
    Married couple if both eligible (each)2011003176
    Married woman whose husband is not eligible2011003176
    Married man whose wife is not eligible403007150
Widows'—
    Widow214100426
    Additional mother's allowance where widow has—
        One dependent child143002150
        Two dependent children16900350
        Three dependent children195003150
        Four dependent children22100450
        Five dependent children247004150
        Six or more dependent children27300550
Orphans' (each child)10400200
Family (each child)2600 10 0
Invalids'—
    Unmarried person, twenty years or over214100426
    Unmarried person under twenty years182003100
    Married man with wife included403007150
    Married woman2011003176
    Limit of income, including benefits, where domestic or nursing assistance required for a married woman6110011150
Miners'—      
    Unmarried person214100426
    Married man with wife included403007150
    Miner's widow182003100
Sickness or Unemployment—      
    Person under twenty years without dependants15600300
    Married man with wife included403007150
    Others214100426
Special AssistanceAccording to circumstances
EmergencyAccording to circumstances
Emergency—Sufferers from tuberculosis*

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 income tax. The residential qualifications require, in general, a period of residence in New Zealand of twenty years immediately preceding application for benefit, but in the case of a person who was resident in New Zealand on 15 March 1938 the qualifying period is ten years only. Allowances are made for occasional absences.

For the ten years' requirement, continuous residence is not deemed to be interrupted by absence—

  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 is ordinarily resident in New Zealand at the date of his application.

A similar proviso for the twenty years' requirement 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 is ordinarily resident in New Zealand at 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 cash benefit except a family benefit. 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.

At the date of commencement on 1 April 1940, and for the remainder of the year, the rate of benefit was £10 a year, thereafter being increased by £2 10s. a year. As from 1 October 1951, however, the amount payable for the balance of the year 1951-52 was raised from £37 10s. to £75 a year, this amount increasing by £5 a year on 1 April of each succeeding year (for 1957-58 being £105 a year) until the amount equals the full rate payable under the Act.

The number of superannuation benefits in force at 31 March 1957 was 83,431, an increase of 2,599 above the total for the previous year. Expenditure on these benefits rose from £7,771,406 in 1955-56 to £7,908,795 in 1956-57.

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 £201 10s, a year, 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 increased to £214 10s., although reduced by £1 for every complete £1 of income in excess of £104 a year.

  • 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 £104 a year. 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 £305 10s. a year. A further provision allows of an extra payment, not exceeding £201 10s. a year, 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 £507 a year.

For the above purposes, income is deemed not to include amounts received by way of war disablement pension or basic war widow's pension.

From 1 August 1955 an age benefit may be granted to unmarried women between fifty-five and sixty years of age who are unable to engage in regular employment.

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.

Any deduction from the maximum rate of benefit because of excess income or property may be diminished by £6 10s. for each year that an applicant, on having attained the age of sixty-five years, has deferred applying for the benefit between the ages of sixty and sixty-five years, provided that he was residentially qualified to receive the benefit during that period.

During 1956-57, 2,858 existing beneficiaries and new applicants received additional benefit on account of the deferment concession. The periods of deferment were: one year, 291; two years, 298; three years, 285; four years, 303; and five or more years, 1,681.

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 or nursing services in private homes or in hospitals or charitable institutions up to £78 a year.

A special allowance not exceeding £26 a year 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.

The Commission may also, in its discretion, increase by an amount not exceeding £26 a year 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 1957 there were 2,273 of these allowances in force, this representing an increase of 69 from the figure of 2,204 for 1956.

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 a year, 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 1957 was 119,118, an increase of 450 from the figure at the end of March 1956. The 1957 total was inclusive of 4,870 husbands receiving benefits on account of dependent wives who were not eligible for benefits in their own right, and of 236 males receiving the additional allowance of £26 a year paid to veterans of the South African War. Expenditure on age benefits increased from £22,831,089 in 1955-56 to £23,305,383 in 1956-57.

The following table shows the estimated age distribution of (a) persons who were granted new age benefits during the calendar year 1956 (including transfers from widows' and invalids' benefits), and (b) total age beneficiaries at 31 December 1956.

Age, in YearsPersons Granted New Age Benefits During 1956Total Age Beneficiaries at 31 December 1956
MalesFemalesTotalMalesFemalesTotal
605102.1402.6502881.1731.461
612005907907532.4243.177
621902604501.1072.9224.029
632602304901.3733.1554.528
641302704001.3952.9794.374
    Totals, 60-641.2903.4904.7804.91612.65317.569
65-699107901.7009.99619.43929.435
70-746404901.13013.35818.67532.033
75 and over44033077013.42926.62340.052
    Totals3.2805.1008.38041.69977.390119.089

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 da 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 benefit payable to a widow is £214 10s. a year plus a supplementary benefit (mother's allowance) of £143 a year in cases where there is one dependent child and £169 a year where there are two dependent children under sixteen years of age. For a widow with three dependent children the rate of mother's allowance is £195; with four children £221; with five children £247; and with six or more children £273 a year.

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 £104 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 without dependent children is £318 10s. a year and for a widow with one dependent child is £461 10s. a year. This maximum is increased by £26 a year for each additional dependent child up to and including the sixth. A widow with dependent children will, of course, receive in addition the universal family benefit of 10s. a week for each child.

The provision relating to the allowable income £78 a year gained from domestic or nursing services in private homes or in hospitals and charitable institutions 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 1957 there were 12,118 benefits in force, an increase of 347 during the year. Expenditure totalled £2,934,265 in 1956-7, compared with £2,849,308 in 1955-6. Offset against these amounts were the sums of £92,233 and £92,674 respectively, being recoveries of maintenance from defaulting husbands.

The following table affords an analysis of widows' benefits in force at 31 March 1957.

With One Dependent ChildWith Two or More Dependent ChildrenWithout Dependent ChildrenTotal
Widows1,9952,2026,68310,880
Deserted wives2435143351,092
Wives of mental hospital patients285860146
Totals2,2662,7747,07812,118

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 £104 a year 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 a year 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 1957 was 278 (in respect of 368 children), a decline of 12 during the year. Expenditure increased from £30,688 in 1955-56 to £31,599 in 1956-57.

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. a 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 or pension, etc., is payable out of public moneys.

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 108,484 at 31 March 1956 to 110,540 at 31 March 1957, the amount lodged increasing from £6,235,420 to £6,438,190. The number of benefits wholly or partly diverted in payment of income tax continued to fall, from 2,897 at 31 March 1956 to 2,784 at 31 March 1957, the amount paid in the earlier year being £130,746, as compared with £126,830 during 1956-57.

The total number of benefits in force at 31 March 1957 was 315,298 covering 742,670 children, compared with the corresponding figures of 308,558 and 722,655 at 31 March 1956. Included in the 1956-57 total of children were 14,029 pupils and 63 incapacitated minors over the age of sixteen years. Expenditure increased from £18,860,866 in 1955-56 to £19,444,421 in 1956-57.

The next table gives the number of family benefits in force at the end of March 1956 and 1957, 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 1956Number of Benefits at 31 March 1957
198,72099,863
298,405100,153
360,41761.995
428,83830,174
511,82212,398
65,3645,544
72,5842,647
81,2811,361
9680669
10 or over447494
    Totals308,558315,298

The average number of children per family in respect of whom benefit was paid was 2.27 in 1951-52, 2.30 in 1952-53, 2.31 in 1953-54, 2.33 in 1954-55, 2.34 in 1955-56, and 2.36 in 1956-57.

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 fulfilled certain residential qualifications, these in the main being the same as for superannuation benefits described on page 208.

  2. That incapacity for work was not self-induced or in any way brought about with a view to qualifying for an invalid's benefit.

  3. 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 under-taking 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.
Person under twenty years without dependants31001820020010400
Married man317620110020010400
Wife3176201100
Married woman31762011005176305100
All other persons42621410020010400

As in the case of other benefits, dependent children are provided for by way of the family benefit at 10s. a 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 of any blind person no account is taken of personal earnings up to £520 a year. 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 £461 10s. a year (£474 10s. if unmarried). The maximum invalid's benefit payable plus allowable income is £507 a year, while in the case of a blind person the maximum is £1,027 a year.

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 £201 10s. a year, but so that the total income of applicant and husband, inclusive of the benefit, docs not exceed £11 15s. a 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 708 new benefits granted in 1956 the marital status of the recipients was—single 364 (156 males, 208 females), married 228 (221 males, 7 females), widowed 28 (18 males, 10 females), and divorced, separated, etc., 88 (40 males, 48 females). By far the greatest number were aged 50 years or over, 338; the numbers for other age groups being as follows: under 20 years, 121; 20 and under 40 years, 122; and 40 years and under 50, 127.

Invalids' benefits in force at 31 March 1957 numbered 7,773, an increase of 30 on the March 1956 figure, while expenditure fell from £1,680,111 in 1955-56 to £1,672,438 in 1956-57.

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: id) That compensation under the Workers' Compensation Act in respect of the same disability is not being received.

The rates of miners' benefits are £3 17s. 6d. a week or £201 10s. a year (or £214 10s. if unmarried), increased by £3 17s. 6d. a week, or £201 10s. a year, for a wife. Dependent children under sixteen years are provided for by way of family benefit at the rate of 10s. a 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.

An applicant whose claim has been declined on medical grounds has a right of appeal to a board consisting of three registered medical practitioners appointed by the Department.

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 £3 10s. a week, or £182 a year, 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 or periods of absence from New Zealand not exceeding two years in the aggregate.

Miners' benefits in force at 31 March 1957 numbered 422 (including 87 widows), 30 fewer than at the corresponding date in 1956. During 1956-57 the expenditure on this class of benefit was £121,048, compared with £127,351 in 1955-56.

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:

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 paid 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 numbers of applications for unemployment benefits dealt with during the years ended 31 March 1956 and 1957 were 109 and 949 respectively, 68 persons being granted a benefit in 1955-56, and 603 in 1956-57. At the end of March 1957, 95 benefits were in force, compared with 5 at the

 Weekly Benefit
£s.d.
Person under twenty years without dependants300
Married man with wife included7150
Others426
end of the previous year. Payment of additional benefit for a dependent wife was included in 298 of the benefits granted during 1956-57, and in 45 of the benefits in force at 31 March 1957. Expenditure for the year 1956-57 amounted to £20,578 as against £4,247 in 1955-56.

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 15s. 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 sickness benefit 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 are as follows:

 Weekly Benefit
£s.d.
Person under twenty years without dependants300
Married man with wife included7150
Others426

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 provided for by way of family benefit.

The rate of benefit computed as aforesaid is reduced by is. 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 £2 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 £3 a week.

The numbers of applications for sickness benefits dealt with during the years ended 31 March 1956 and 1957 were 27,367 and 28,343 respectively. The number of persons granted sickness benefits was 25,320 in 1955-56 and 26,192 in 1956-57. Benefits in force at 31 March 1957 totalled 3,619, compared with 3,613 at the end of March 1956. Total expenditure for 1956-57 amounted to £1,221,409, a decrease of £81,459 on the 1955-56 figures.

In the following table sickness benefits which ceased during the calendar year 1956 are shown according to the duration of the sickness benefit. The figures were compiled by an analysis of 95 per cent of the benefits.

Duration of Sickness Benefit (Weeks)Number of Benefits
MalesFemalesTotal
0.49,0561,95011,006
5.126,0531,7397,792
13.252,2591,3393,598
26.521,1764851,661
53.104487192679
Over 10413780217
        Totals19,1685,78524,953

The following table gives a classification of sickness benefits according to the disease suffered by the beneficiary. The data are obtained from an analysis of 95 per cent of the benefits which ceased during the calendar year 1956.

Disease or InjuryMalesFemalesPercentage of Total
Infective and parasitic diseases1,4324588.0
Neoplasms4181602.3
Allergic, endocrine system, metabolic, and nutritional diseases5251832.8
Diseases of the blood and blood-forming organs49570.4
Mental, psychoneurotic, and personality disorders7425315.1
Diseases of the nervous system and sense organs9132114.5
Diseases of the circulatory system1,7132818.0
Diseases of the respiratory system2,76962813.2
Diseases of the digestive system2,97161114.4
Diseases of the genito-urinary system4973083.2
Deliveries and complications of pregnancy 1,0354.2
Diseases of the skin and cellular tissue9991954.8
Diseases of the bones and organs of movement1,5573707.7
Congenital malformations69250.3
Symptoms, senility, and ill-defined conditions7532914.2
Accidents, poisonings, and violence (nature of injury)3,76144116.9
        Totals19,1685,785100.0

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.

Payments of benefits for which tuberculosis sufferers may qualify are at the rates of £4 a week for a single person under twenty years of age without dependants, £5 2s. 6d. a week for a single person twenty years and over, and £9 5s. a week for a married couple. These rates are increased by 5s. a week for each dependent child.

Emergency benefits in force at 31 March 1957 numbered 2,949, compared with 2,989 at 31 March 1956. Expenditure in the 1956-57 year amounted to £729,309 and in 1955-56 to £534,104.

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 this source of help to the knowledge of persons who might qualify, and departmental literature has included information on the purpose of special assistance, the cost of which is now borne by the Social Security Fund. Continuing grants are made where the applicant's continuing commitments, e.g., food, fuel, rent, are in excess of the income received by the applicant, and lump sum grants are usually made to meet some non-recurring expense. An analysis of these grants showing age, sex, marital status, rate and purpose of grants, type of living accommodation, and number of dependent children, is given in the parliamentary paper H-9, 1957.

In the 1956-57 year, 6,737 applications for assistance were granted, expenditure totalling £184,276, compared with 5,336 grants totalling £163,334 in 1955-56. There were 4,264 continuing grants in force at 31 March 1957.

Domestic and Nursing Concession.—Female social security beneficiaries or the wives of social security beneficiaries are allowed, in addition to the ordinary income exemption of £104 a year, to earn up to £78 a year in domestic or nursing service in private homes, hospitals, homes for the care of the aged, or charitable institutions approved by the Commission, without their benefits being reduced. During the year 1956-57, 661 applications were received for employment in private homes, of which 635 were granted, while at 31 March 1957 there were 1,134 concessions in force, compared with 867 at the end of March 1956. During the year 1956-57, 232 applications were received for employment in hospitals and institutions, of which 222 were granted, while at 31 March 1957 there were 287 concessions in force.

Reciprocity with Australia.—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 benefits.

  6. Sickness benefits.

Reciprocal benefits in force in New Zealand as at 31 March 1957 numbered 461, as compared with 424 at 31 March 1956.

Reciprocity with United Kingdom.—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 1957 numbering 28, compared with the 1956 figure of 15. 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.

The Social Security (Reciprocity with United Kingdom) Act 1956 brought into operation from 1 April 1956 an agreement providing for reciprocity in a comprehensive range of benefits between New Zealand and the United Kingdom.

General Principles of the Agreement.—The general principle of the agreement is that persons migrating from one country to the other for permanent residence will be taken into the social security scheme of the receiving country and paid benefits by the receiving country under the laws and conditions applicable to other residents of that country.

This principle is modified to the extent that the United Kingdom has agreed to continue to pay retirement pensions and widows' pensions in New Zealand to former residents of the United Kingdom who are qualified under the United Kingdom scheme. In such cases, New Zealand will supplement such pensions to bring them up to the New Zealand rates where necessary.

United Kingdom Residents in New Zealand.—In New Zealand the agreement applies to former residents of England, Scotland, Wales, Northern Ireland, and the Isle of Man, who claim age, superannuation, widows', orphans', invalids', sickness, and unemployment benefits under the Social Security Act.

The agreement modifies the residential requirements of the Social Security Act and enables persons who formerly lived in the United Kingdom to be treated as if they resided in New Zealand during any period they lived in the United Kingdom. Though the normal qualifying age for a grant of age benefit in New Zealand is sixty, no man claiming age benefit by virtue of the agreement is entitled to receive it till he reaches sixty-five.

The United Kingdom continues to pay retirement pensions and widows' pensions to persons in New Zealand who are qualified under the national insurance scheme and, in such cases, New Zealand, where necessary, supplements the national insurance pensions to bring them up to the rate of the appropriate New Zealand benefit. There is no supplementation in cases where the national insurance retirement or widow's pension is equal to, or greater than, the New Zealand social security benefit which could be paid.

New Zealand Residents in the United Kingdom.—In the United Kingdom the agreement applies to former residents of New Zealand who claim retirement pensions, widows' pensions, widowed mother's and guardian's allowances, sickness and employment benefits under the National Insurance Act.

The United Kingdom scheme is a contributory scheme, and payment of benefits is dependent upon the satisfaction of specified contributory conditions.

The agreement modifies the provisions of the National Insurance Act of the United Kingdom and enables persons who formerly lived in New Zealand to be treated for the purpose of satisfying the contribution conditions of that Act as if they had paid contributions under the national insurance scheme for each week during which they had been resident in New Zealand. The qualifying age for retirement pension under the National Insurance Act is sixty for women and sixty-five for men. Consequently, no man will be entitled to retirement pension till he is sixty-five.

Persons who were in receipt of superannuation, age, or widow's benefit when they left New Zealand will generally be regarded as having satisfied the contribution conditions under the United Kingdom scheme if they have reached pensionable age, and will receive the appropriate national insurance benefit from the date of their arrival in the United Kingdom.

Persons in receipt of social security benefits in New Zealand who go to the United Kingdom for the purpose of a visit will normally have their benefits suspended on departure, but if they return to New Zealand within twelve months they will be paid arrears of their social security benefit for the period of their absence. If they apply for, and receive, national insurance pensions while in the United Kingdom, the amount paid by the United Kingdom will be deducted from the arrears of social security benefit payable on their return.

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 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. Medical services afforded in relation to maternity cases. (These services are covered by maternity benefits and are described under a later heading):

  2. Medical services involved in any medical examination of which the sole or primary purpose is the obtaining of a medical certificate:

  3. Medical services other than anaesthetic services, involved in or incidental to the extraction of teeth by a medical practitioner:

  4. 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:

  5. 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 under-took 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 benefit 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 all 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 is. 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 Queen Elizabeth Hospital, Rotorua. Treatment is free except that a small charge is made in respect of single-room accommodation at Queen Mary Hospital when obtained at the request of the patient.

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), artificial limbs (1 April 1948), surgical footwear (1 December 1951), ileostomy and colostomy appliances (27 April 1955), men's urinals (25 July 1955), 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. In respect of artificial limbs and surgical footwear the conditions of supply provide for part payment by the patient. 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 aspect 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 arc entitled to receive fees from the Social Security Fund at the same rate as stated in (2) (a) in regard to Hospital Boards. The licensee's contract permits her 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 10s. for the day or days of labour (£3 in the case of midwives) and £1 7s. per day for each of the fourteen days succeeding the birth of the child or 10s. 6d. 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, visas, emigration permits, and examinations for the sole or primary purpose of obtaining medical certificates for production to some other person, are not included in the services that may be provided. This does not exclude examinations for medical certificates for the purposes of benefits under the Social Security Act 1938 or "sickness benefits" from a friendly society, or group examinations approved by the Director-General of Health.

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 8s. for treatment afforded in their rooms or 13s. 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 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 covers fees payable to Hospital Boards and to recognized pathologists. 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 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—(a) By a registered dentist or a State dental nurse in a State dental clinic; or (a) By a contracting dentist pursuant to a contract under the regulations; or (c) 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 221), the Social Security (Hospital Benefits for Out-patients) 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 1957Payments During
1955195619571954-551955-561956-57

* The expenditure figures given under this heading are gross—i.e., net reduced by the amounts rt;recovered under maintenance orders, widows' benefits.

† Excluding recoveries.

Social security benefits—
 ££££
    Monetary—
        Superannuation78,17380,83283,4318,343,1006,750,2267,771,4067,908,795
        Age121,063118,668119,11823,954,15322,251,09822,831,08923,305,383
        Widows'*12,19711,77112.1183,028,8692,664,4612,849,3082,934,265
        Orphans'30029027832,29928,89930,68831,599
        Family298,370308,558315.89819,346,68518,179,09918,860,86619,444,421
        Invalids'8,1107,7437,7731.748,8321,616,5621,680,1111,672,438
        Miners'481452422120,913128,663127,351121,048
        Unemployment19595 5,6604,24720,578
        Sickness4,2773,6133,619 1,276,8171,302,8681,221,409
        Emergency2,2012,9892,949 430,135534,104729,309
        Special assistance3,2293,5214,264187,163135,162163,334184,276
            Totals528,420538,442549,36553,465,78256,155,37257,573,521 
    Medical, etc.—
        Medical    3,350,1803,548,0803,797,062
        Hospital    3,411,0404,764,6664,869,453
        Maternity    1,147,3071,376,5641,414,767
        Pharmaceutical    3.047.3314,039,1454,572,557
        Supplementary    1,633,0661,818,6992,118,873
            Totals†    12,588,92415,547,15416,772,712
War pensions, etc.—
    First World War (1914-18)17,07416,68316,3153,100,9593,110,9483,043,3953,126,546
    Second World War (1939-45)24,70324,68724,5212,409.3352,341,9402,357,3552,410,859
    K Force16418320018,23314,50514,83317,990
    South African War2826245,1065,0515,3635,159
    War veterans' allowances7,6168,4799,5203,177,4252,212,2232.707,3082,999,565
    Mercantile Marine2424273,4612,8672,6683,375
    Emergency Reserve Corps9991,9981,9341,9781,943
    War pensions emergency assistance   4,8253,2654,2545.542
            Totals49,61850,09150,6167,692,7338,137,1548.570,979 
Other: Sundry pensions and annuities Bonuses—424465520 68,86972,81371,585
    Social security    3,481  
    War pension    480  
            Grand totals578,462 600,501 73,821,26979,912,49382,988,797

The total number of persons in respect of whom social security benefits (including dependent wives and children) were payable at 31 March 1957 was 981,224 or, 4,418 per 10,000 of population. For the previous year the corresponding figures were 958,210 and 4,405 respectively.

During the year ended 31 March 1957, £44,246,976, or 59.5 per cent of the total expenditure (£74,346,233) on monetary and medical benefits including special assistance 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.

£
1952-531953-541954-551955-561956-57
* Mainly on account of hospital benefits.
Maternity benefits—
    Public hospital fees443,094455,271606,447755,404776,321
    Private hospital fees157,782142,455170,385200,532190,613
    Medical practitioners' fees298,222296,967329,481396,494398,848
    Mileage fees9,5859,94912,66214,92914,732
    Obstetric nurses' fees4,1234,4153,5454,7054,153
    Private hospital subsidies6,6168,0599,287  
    Private hospital loans 7,50015,5006,50030,100
           Totals919,422924,6161,147,3071,376,5641,414,767
Medical benefits—
    Capitation fees5,1704,7924,9984,4124,412
    Mileage fees171,716169,643183,039197,493207,292
    General medical services2,784,0512,835,9833,092,1443,275,1713,510,971
    Special arrangements65,81863,74664,45063,47069,166
    Purchase of sites and erection of residences for medical officers20,44711,5855,5497,5345,221
           Totals3,047,2023,085,7493,350,1803,548,0803,797,062
Hospital benefits—
    Public hospitals—
    Inpatients1,566,3201,598,9472,638,1913,662,6513,564,457
    Outpatients163,719175,338187,406341,875397,716
    Private hospitals261,878241,918375,069579,542601,126
    Approved institutions50,24056,10776,43295,453107,057
    Private hospital subsidies79,72697,13884,5473,028 
    Private hospital loans  30,28268,151179,368
    Grants towards operating costs of13,33514,79119,11313,96619,729
    Karitane hospitals
           Totals2,135,2182,184,2393,411,0404,764,6664,869,453
Pharmaceutical benefits—
    Chemists2,952,7732,847,9192,952,2693,949,1644,475,606
    Medical practitioners9,14310,26710,06815,95117,934
    Institutions53,91761,43484,99474,03079,017
           Totals3,015,8332,919,6203,047,3314,039,1454,572,557
Supplementary benefits—
    Radiological services350,120379,641409,381448,374474,369
    Laboratory services178,892189,070227,914277,458338,673
    Physiotherapy services62,24962,57564,34764,86366,499
    Specialist services (neuro-surgery)4,6542,7942,7193,1812,872
    District nursing services114,931127,016137,339150,117162,016
    Dental services545,002659,570716,251798,756906,420
    Domestic assistance5,9437,0156,0717,7449,977
    Artificial-aids benefits46,98161,72163,00063,64673,229
    Other2,1503,4206,0444,56084,818
           Totals1,310,9221,492,8221,633,0661,818,6992,118,873
      Grand totals10,428,59710,607,04612,588,92415,547,15416,772,712
      Recoveries*4,0335,2854,4895,56610,053
      Net totals10,424,56410,601,76112,584,43515,541,58816,762,659

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.
194740,660,62222194
194844,331,51024106
194946,939,3652592
195050,696,783261811
195153,859,1532818
195262,423,07231175
195364,309,9763201
195468,340,8103331
195573,821,2693512
195679,912,4933733
195782,988,79737166

The following table gives a comparison of social security benefits and war pension payments with national income in the years quoted.

Year Ended 31 MarchNet National Income at
Factor Cost Family Benefits
Expenditure
Family BenefitsOther Cash BenefitsAll Cash BenefitsCash and Health BenefitsWar and Other Pensions
NOTE.—Expenditure includes bonus for 1951 and bonus and special assistance for other than family benefits in later years.
Amount £(millions)
1951612.015.526.241.750.45.5
1953656.116.830.647.457.96.4
1954734.117.633.150.761.37.0
1955798.918.235.353.566.17.8
1956841.018.937.356.271.78.2
1957883.519.538.157.674.38.6
Percentage of Expenditure to National Income
19511002.54.36.88.20.9
19531002.64.77.28.81.0
19541002.44.56.98.41.0
19551002.34.46.78.31.0
19561002.24.46.78.510
19571002.24.36.58.41.0

MISCELLANEOUS PENSIONS, ETC.—In addition to the various classes of benefits enumerated in the foregoing part of this Section there were 520 pensions at 31 March 1957 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.

7 B—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. An Appeal Board consists of three members, two of whom must be registered medical practitioners, one of these being a representative of returned servicemen.

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 War Pensions Regulations 1956 revoked the War Bursaries Regulations 1941 and provide, from 1 February 1956, for payment of bursaries at the following rates:

Class of BursaryPer Year
 £s.d.
(a) Secondary school children2500
(b) Full-time university students3000
(c) Part-time university students1000
(d) Part-time technical school children1100

The rates payable under (a) and (b) are doubled in the case of an orphan child or a child whose father or mother is in receipt of economic pension or war veterans' allowance.

During 1956-57, 1,692 bursaries were granted, expenditure on this behalf being £56,254 for the year. The 1955-56 figures were 1,350 bursaries and £38,193.

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):

  2. Where death or disablement is attributable to his service in New Zealand or overseas, e.g., in Malaya:

  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.

It is 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 Finance Act 1954 validated 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. The rates of certain war pensions and allowances were further increased by 2s. 6d. per week from 18 November 1954 by the War Pensions Amendment Act 1955.

From 1 August 1955, by the War Pensions Amendment Act (No. 2) 1955, an increase of 5s. a week was authorized in the maximum rates of economic pensions where the pensioners are unmarried, or are living apart from their husbands or wives, subject to a discretionary power for the War Pensions Board to refuse the increase where the pensioner is sharing household expenses with another person.

There were further increases of 4s. a week from 19 November 1956 and 3s. 6d. a week from 1 September 1957 in economic and wives' pensions, mothers' allowances, orphans' pensions, and war veterans' allowances, these increases being validated by the War Pensions Amendment Act 1957.

In computing the rate of any pension or allowance, no account is taken of the first £26 of pensions or annuities received under the Superannuation Act 1956 or the National Provident Fund Act 1950, where the recipients are 65 years or over.

WAR PENSIONS AND ALLOWANCES, AND WAR VETERANS' ALLOWANCES: SUMMARY OF MAXIMUM RATES.—The list below summarizes the present (January 1958) maximum rates of war and economic pensions and allowances.

Class of Pension, Allowance, etc.
Dependants of Deceased Members of the Forces, Mercantile Marine, or Emergency ReserveWeekly Rate
£s.d.
* Ranges from £3 7s. 6d. for all ranks and ratings up to Major (Army) and equivalent in other services, members of Mercantile Marine, members of Emergency Reserve Corps; £3 16s. Lieutenant-Colonel and equivalent; £3 18s. Colonel and equivalent; and £4 Brigadier or upwards or equivalent in other services.
        Corps
    Widow—
        Basic rate*376
        Mother's allowance (where one child)2150
        Mother's allowance (where two children)350
        Mother's allowance (where three children)3150
        Mother's allowance (where four children)450
        Mother's allowance (where five children)4150
        Mother's allowance (where six or more children)550
        Economic pension426
        Allowable income200
    Child—
        Where both parents dead or if not under control of mother2100
        Other children 100
    Widowed mother—
        Basic rate376
        Economic (wholly dependent or mother of two or more sons being deceased members of the forces)426
        Economic (partly dependent)326
    Other dependant376
    Guardian of children of deceased member3176
Totally disabled Members of the Force,Mercantile Marine, or Emergency Reserve
    Member—
        Basic disablement pension4100
        Special increment for blindness, multiple or serious disabilities2100
        Economic pension (if unmarried £4 2s. 6d.)3176
        Allowable income200
        Attendant's allowance800
    Wife3176
    Child 100
    Other dependant3176
War Veteran's Allowance   
    Unmarried veteran (£214 10s. a year)426
    Married male veteran (£403 a year)7150
    Married female veteran (£201 10s. a year)3176
 Yearly rate
 £s.d.
    Age supplement (maximum) payable to veteran or to his wife, or both, as each attains the age of 65 years3900
    Allowable income (including value of age supplement)10400
Emergency AssistanceAccording to
circumstances
 Yearly rate
Clothing Allowance
    Loss of—
        Two limbs or parts3000
        Leg or part27100
        Arm or part2000
    Use of mechanical appliance apart from artificial limb2000

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 earnings of women from domestic or nursing services in private homes or in hospitals or charitable institutions up to £78 a year are not taken into account.

Pensions payable for specific disabilities are assessed as a percentage of the full 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 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 with a £25 provision for furniture to provide special accommodation for a pensioner suffering from pulmonary tuberculosis:

  6. A maximum accommodation allowance of £1 15s. per day is payable to war pensioners reporting for medical examination or treatment, while compensation in respect of loss of earnings is up to £2 per day.

  7. Interest-free loans to certain seriously disabled pensioners to purchase motor-cars; payment of loadings on life-assurance policies where the loadings are due to war disabilities; gallantry awards to disablement pensioners; clothing allowances to war amputees and other disablement pensioners obliged to wear artificial appliances; and funeral grants in respect of deceased ex-servicemen.

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 a war pension, a South African veteran who is in receipt of an age-benefit under the Social Security Act may receive an additional benefit of £26 a year. 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 a War Pensions Appeal Board.

No account is taken of the amount of war disablement pensions in the determination of the war veterans' allowances. In computing any war veteran's allowance no account is taken of the personal earnings of any woman from domestic or nursing services in a private home or hospital or charitable institution up to £78 per year. Under the Superannuation Act 1956 or the National Provident Act 1950 up to £26 a year received by a person aged 65 years or over is disregarded.

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 £390 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. The scope of the Act was extended 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 or of their employment or engagement, 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, although the provision in respect of detention has lapsed.

WAR PENSIONS EMERGENCY ASSISTANCE.—A Fund was established in November 1951 to provide for similar cases to those set out under Social Security Special Assistance (see page 217). During the year ended 31 March 1957 there were 215 grants totalling £5,542, compared with 150 grants totalling £4,254 in the previous year. Expenditure on Emergency Assistance is now met from the Consolidated Fund.

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 239 in 1956-57. Of the 204 appeals dealt with during the year ended 31 March 1957, 91, or 45 per cent, were upheld, 104 disallowed, and 9 struck out or withdrawn.

STATISTICAL REVIEW OF WAR PENSIONS ALLOWANCES, ETC.—During the year ended 31 March 1957 the Department dealt with 3,953 applications for war pensions. Of these, 615 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 3,338, of these 579 being in respect of the applicants' own disability. In addition there were 98 claims received during the year in respect of disablement arising from Compulsory Military Training, 80 of which were granted, and 59 applications from peacetime Armed Forces, of which 28 were granted.

Summary of Disabilities for which Pensions Granted, 1939-57.—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 1957.

Class of Disability or DiseaseType of ServiceTotalPercentage of Total
Overseas (1939-45)K ForceJ ForceNew Zealand
Infections and infestations1,8199171312,0483.6
Nervous system9,34234131,69111,08019.3
Eye, ear and nose6,63062181,3718,081141
Circulatory and blood system2,129721,0253,1635.5
Metabolism and endrocrine system408211775881.0
Lungs3,47622541,1684,7208.2
Diseases of bones, joints, muscles, tendons, and ligaments5,3063891,8927,24512.7
Digestive system4,24231111,1815,4659.5
Generative system328 21214510.8
Gunshot wounds and accidental injuries to bones, joints, and soft tissues7,30977251,4948,90515.5
Skin2,45918125353,0245.3
Areolar tissue452 25720.1
Tumours and neoplastic growths1711 532250.4
Malformations3011 1314330.8
Amputations4923 215160.9
Urinary tract590731517511.3
Debility443  1095521.0
Totals45,49039615711,27657,3191000

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 1947-57.

Year Ended 31 MarchFirst World War (1914-18)Second World War (1939-45)K ForceWar VeteransSouth African WarMercantile MarineEmergency Reserve CorpsTotal
Number in Force
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
195517,07424,7031647,6162824949,618
195616,68324,6871838,4792624950,091
195716,31524,5212009,5202427950,616
Expenditure (£)
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
19553,110,9482,341,94014,5052,212,2235,0512,8671,9347,689,468
19563,043,3952,357,35514,8332,707,3085,3632,6681,9788,132,900
19573,126,5462,410,85917,9902,999,5655,1593,3751,9438,565,437

The foregoing figures do not include the following: (a) costs of certain medical treatment not available under social security amounting to £57,361 in 1956-57 and £53,313 in 1955-56, (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 £16,502 in 1956-57 and £15,494 in the previous year; and (c) loading on life-assurance policies where the loading is due to war disabilities, expenditure under this heading being £21,947 in 1956-57 and £1,758 in 1955-56. Travelling allowances of £26 a year were being paid to 886 pensioners at 31 March 1957, and 1,431 clothing allowances of total annual value £27,894 were also being paid. Funeral grants cost £16,943 for the year 1956-57. The annual value of gallantry awards payable to disablement pensioners was £1,361. In 1956-57, 35 interest-free loans totalling £7,830 were made for the purchase of motor cars by certain seriously disabled pensioners.

Administrative costs for 1956-57 in respect of war pensions and allowances amounted to £13,852, as against £13,019 in 1955-56.

Particulars of First and Second World War and K Force 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
195312,5173082,2982,49217117,786
195412,0963462,2602,56515217,419
195511,7473472,2342,61513117,074
195611,4053152,1972,65411216,683
195711,1232522,1152,7299816,317
Second World War, 1939-45
195312,3429,6257781,42397325,141
195413,1428,5457771,36593724,766
195513,3898,2357681,38292924,703
195613,8527,7697881,42085824,687
195714,4977,0047851,45378024,519
K Force
19534801  85
195410922  104
1955101513  164
1956161643  183
19572916451i200

The number of children for whom payments were made during 1956-57 but who were not included in the preceding table totalled 2,021. being 289 in respect of First World War pensions, 1,730 for Second World War pensions and 2 for K Force.

The next table shows the number of disability pensions in force at 31 March 1957, classified according to percentage of disablement.

Percentage of DisablementFirst World WarSecond World WarK ForceTotal
PermanentTemporaryPermanentTemporaryPermanentTemporary
1001,980768906535123.616
90.9912168727  241
80.893111525114116725
70.7975624405209 51,399
60.6964825363241121,280
50.591,43328821442192,734
40.491,801178625002143,196
Under 404,0736110,8184,7911911619,878
Totals11,12325214,4977,0042916433,069

Details of economic pensions payable at 31 March 1957 are now given, together with the totals as at 31 March 1956.

Class of PensionFirst World War, 1914-18Second World War, 1939-45K Force
NumberAnnual ValueNumberAnnual ValueNumberAnnual Value
 £ £ £
Ex-members with permanent pensions2,908554,790612116,9093590
Ex-members with temporary pensions6111,13539774,6594761
Widows1,996401,402912180,5861206
Widowed mothers111,9999415,5981153
        Totals at 31 March 19574,976969,3262,015387,75291,710
        Totals at 31 March 19565,007927,0871,964357,6315936

7 C—SUPERANNUATION

General.—Superannuation for all Government employees is provided for under the authority of the Superannuation Act 1956, and the separate provisions made for members of the Judiciary and Members of Parliament are also now included in the consolidated measure. Members of the Armed Forces, Police, Post and Telegraph, Public Service, Railways, and teachers, are now contributing to the one Fund, with slightly differing terms and conditions 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. The Local Authorities Superannuation Act 1908 has been repealed. For the operations of the National Provident Fund, see Section 7D.

There are also a considerable number of private superannuation funds in existence, some self-contained. Information respecting these is given at the end of this subsection.

The Government Superannuation Fund.—The Government Superannuation Fund, came into being on 1 April 1948, replacing and absorbing 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 investments, fines, all moneys that would have been paid into the earlier three Funds, 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 Commissioner of Police, and six members appointed on the nomination of the various Service organizations.

The benefits of superannuation are now available for all public servants, i.e., persons in the permanent service of the State. 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 prevision is made for public servants—i.e., persons in the service of the Crown in respect of the Government of New Zealand in other than an honorary capacity—permanent members of the regular Armed Forces, Magistrates and Maori Land Court Judges and members of the Judicature (Judges of the Supreme and Arbitration Courts), and Members of Parliament.

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 for each five-year increase in age group. An alternative modified scheme, within the framework of the present standard scheme, was introduced in 1955, under which contributors may elect to contribute only 60 per cent of the standard contribution rates and receive only 60 per cent of the standard benefits. Standard retiring allowances are computed at the rate of a one hundred and twentieth part of the annual salary for each year of contributory service, increased by a sum equal thereto (i.e., on a £1 for £1 basis) up to £500 per annum, reducing there-after by £1 for each £2 by which the amount exceeds £500. In no case shall the added amount be computed on a lesser salary than £600 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 is 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.

Upon retirement a contributor entitled to a retiring allowance may elect (1) to take an increased allowance to age sixty-five, reducing thereafter, (2) to surrender portion of his retiring allowance in favour of his widow or other approved dependant, (3) to elect to surrender not more than one-quarter of his retiring allowance and to receive in lieu thereof a lump sum payment equivalent to nine times the amount of allowance surrendered, (4) to accept a refund of his contributions.

Payment of retiring allowances and annuities is now made in advance in instalments every twenty-eight days, 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 dale 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 dependant.

The amount of the widow's annuity is not to be less than £130 (£78 in modified scheme). In addition, £26 per annum (£15 12s. in modified scheme) is payable in respect of each child under sixteen years of age left by a deceased contributor. The widows' benefit is payable only during widowhood but is reinstated if subsequent to remarriage a person again becomes a widow.

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. The first £26 of income received by superannuitants over sixty-five years of age is now disregarded for social security purposes. Adjustments have been made from time to time in the allowances payable to retired contributors and also to widows of ex-contributors to assist in meeting the increased cost of living.

Contributory membership and retiring allowances as outlined apply generally to permanent members of the Regular Armed Forces.

Members of the Judicature are entitled to a retiring allowance based on one-twenty-fourth of their salary for each year of service, with a maximum of two-thirds, and they may elect to contribute 5 per cent of their salary to provide annuities for their widows, calculated as 15 per cent of the final salary. Magistrates and Judges of the Maori Land Court arc 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 £85 a year, but if at the date of commencement of the retiring allowance contributions are less than £425 the deficiency must be paid into the Consolidated Fund within such time and in such manner as the Minister of Finance may allow. Subject to service of nine years (or eight years if a Member has served throughout the duration of not less than three Houses of Representatives) and attainment of the age of fifty years, retiring allowances are at the rate of £350 a year for the first eight-year period of service, and for each additional year of service an increase of £50, with a maximum rate of allowance of not more than £700 a year. Widows receive two-thirds of their husband's entitlement.

At 31 March 1957 there were 64,743 contributors, paying £2,665,663 per annum into the Fund. The pensioners at the same date numbered 19,236 and were entitled to £5,533,581 per annum, made up as follows.

NumberAnnual Allowances
MalesFemalesTotal
 £
Retired for age or length of service8,2672,89111,1584,456,635
Retired for ill health1,4732811,754349,607
Widows 5,0475,047694,365
Children6666111,27732,974
Totals10,4068,83019,2365,533,581

Accumulated funds at 31 March 1957 amounted to £23,707,430. Total assets, which amounted to £23,780,850, included: Investments, £21,790,063; interest, due and accrued, £198,905; contributions in course of transmission, etc., £94,743; and cash in hand and at bank £1,600,586.

The average effective interest earnings (per cent) of the Fund for the year ended 31 March 1957 was £3 10s. 6d.

The total revenue of the Fund for the year ended 31 March 1957 was £8,259,602, including members' contributions £2,665,663, interest on investments and on contributions £822,746, and subsidy £4,763,519. The total amount expended during the year was £6,326,823, including retiring and other allowances £5,779,515, refunds of contributions £522,184, transfers to National Provident Fund £23,963, and investment charges £1,161.

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
 £££££
195359,3512,040,519352,8162,998,0003,673,08913,924,218
195461,9702,292,062430,9143,068,0004,005,66616,318,931
195561,7762,502,850525,8114,305,0004,725,88319,633,702
195663,1162,504,605657,5793,599,0665,096,19921,774,651
195764,7432,665,663770,6623,862,0655,533,58123,707,430

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
As at 31 March  Number to Date  As at 31 March  Number to Date
19501,45019542,912
19511,72619553,147
19522,12319563,388
19532,58719573,625

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

GENERAL.—The National Provident Fund established by Act in 1910 came into operation on 1 March 1911 and 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, and the 1954, 1955, and 1956 amending Acts.

In 1955 provision was made for local authorities to lodge with the National Provident Fund moneys which were not required immediately and for the Board to hold sinking, depreciation, and other special funds on behalf of local authorities; the 1956 amendment clarified and extended these provisions. These surplus moneys would become available for lending to other local authorities. A special Investment Committee was set up to attend to the investment of moneys in the Fund. The National Provident Fund Account may be kept either at the Reserve Bank or the Bank of New Zealand or in part at each, with appropriate provision for overdraft accommodation.

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 now provides three 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.

  3. An Investment Pool.—Local authorities may temporarily invest otherwise idle loan and other

moneys in the F

Public Fund Branch.—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 applicant merely 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, and 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 up to a maximum of 200s. weekly.

The following benefits are provided:

  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 Superannuation Branch.—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. Hospital Boards are contributors on behalf of their nursing and clerical employees and, with the consent of the Minister of Finance, State Departments contribute for nurses and other specialist officers not adequately provided for in the normal Government superannuation scheme.

The conditions and benefits in the early schemes were fixed by negotiation between the Board and the local authority. To achieve uniformity in benefits and 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 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 all 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. A superannuitant may elect to surrender his right to a proportion (not exceeding one-fourth) of the pension and to receive instead payment of a sum equal to nine times the amount by which his annual pension is reduced consequent on the surrender.

Investment Pool.—The Investment Committee meets monthly or as required, and up to the end of 1956 nearly £4m. had been lodged in the Pool. A substantial portion of these moneys is only available for periods of three to six months pending their being utilised by the local authorities for the purpose for which they were raised, but it is anticipated that there will emerge a hard core of £1 million to £2 million available for long-term investment. The success of this venture depends largely upon the support accorded by the local authorities, for the Fund is not undertaking the raising of loans but merely endeavouring to make available to the smaller local authorities otherwise idle moneys.

* If the child remains at school, these allowances may be continued up to attainment of age eighteen years.

During the last five years the Fund has invested practically all its available moneys in loans to local authorities, but its normal investable funds are only £1.5m., so that its activities must be considered more in the nature of assistance to local authorities in raising moneys than any attempt to satisfy their loan requirements.

Statistical Summary.—Since the inauguration of the Fund in 1911, 153,319 persons (104,709 males, 48,610 females) have joined the Fund, and of these 130,748 (86,241 males and 44,507 females) have discontinued for one reason or another, leaving 22,571 (18,468 males and 4,103 females) contributors at 31 December 1956. Of the 2,734 discontinuances in 1956, 1,887 were on account of withdrawal, 220 on account of lapse or cancellation, 68 on account of death, 410 on account of attainment of pensions age, and 149 on account of transfer.

The numbers of contributors for the various pension rates as at 31 December 1956 were as follows.

PensionsMalesFemalesTotal
10s. per week7,8663268,192
20s. per week2,3652472,612
30s. per week51262574
40s. per week864111975
Superannuation6,8613,35710,218
        Totals18,4684,10322,571

Summarized figures set out below for the years ended 31 December 1954, 1955, and 1956 form a useful basis for comparative analysis.

Year Ended 31 December
195419551956
New contributors2,6512,3852.307
Total contributors22,92622,84922,571
Pensioners3,1403,3153,562
Income—£££
    Contributions967,637954,3601,026,465
    Interest (including fines)521,366575,002647,978
Total income (including State subsidy)1,794,4921,798,9091,962,889
Outgo—
    Pensions340,262374,229453,651
    Other benefits266,363368,839295,874
    Total outgo609,173645,277752,451
Funds at end of year15.872,87017,026,50218,236,940
Effective interest earnings (per cent)£3 9s. 5d.£3 10s. 0d.£3 14s. 9d.

The amount of the subsidy paid by the State on contributions paid to the Fund during 1956 was £256,072.

The next table presents an alternative comparison, the period covered on this occasion being the five years ended 31 December 1956.

YearNumber of ContributorsAnnual Rate of Contributions PayableTotal Amount of FundPensions and Allowances Paid During Year
IncapacityRetiringWidows' and Children's
 £££££
195222,890705,30313,644,89212,677289,61953,975
195322,698759,82614,687,55112,250308,12256,530
195422,926847,68715,872,87014,072340,26260,195
195522,849890,65817,026,50216,623374,22961,724
195622,571946,14018,236,94021,818453,65170,500

Of the accumulated fund of £18,236,940, and the local authority loan and special reserve fund of £3,519,610 as at 31 December 1956, £21,550,489 was invested, the principal classes of investments being Government securities, £5,050,950; local authority securities, £15,149,719; mortgages, etc., £1,151,820; and debentures, shares, etc., £198,000.

The following table sets forth the extent to which the facilities of the Fund are being utilized by local authority employees at 31 December 1956.

Class of Contributing AuthorityNumber in Each ClassNumber Contributing in Each ClassEmployeesAnnual Contributions
MalesFemalesTotal
 £
Cities and boroughs1381051,7971541,951205,965
Counties1251043913442552,870
Electric-power Boards43427033473782,881
Fire Boards2420166 16622.149
Harbour Boards2416701770877,747
Hospital Boards43437432,7493,492312,516
Sundry local authorities31645379738643,996
Schools 371266519121,992
Others 1161,2512341,485139,468
Totals 5286,2573,2849,541959,584

The following table shows the details of investments of the Fund for the year ended 31 December 1956.

Class of SecurityInvested, 1 January 1956Movements During YearInvested, 31 December 1956
InvestedRealised
 ££££
Government securities4,948,0554,454,6604,351,7655,050,950
Local body securities10,671,7265,176,941698,94815,149,719
Mortgages1,010,197200,34573,3981,137,144
Miscellaneous debentures and shares198,000  198,000
Reversions15,6121,5812,51714,676
Totals16,843,5909,833,5275,126,62821,550,489

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
195419551956195419551956
* Membership figures relate to "actuarial" societies only.
Manchester Unity Independent Order of Oddfellows24724324528,03928,19728,338
Independent Order of Oddfellows1951931928,3268,1407,970
National Independent Order of Odd-fellows111767367
Ancient Order of Foresters13613413411,51311,27111,087
United Ancient Order of Druids14214114015,34715,05214,732
Independent Order of Rechabites5049493,0832,9952,919
Order of Sons of Temperance777425409400
Sons and Daughters of Temperance111838181
Hibernian-Australasian Catholic Benefit Society8078773,7073,7473,770
Protestant Alliance Friendly Society of Australasia121211518500494
Grand United Order of Oddfellows101010231227223
Isolated friendly societies676767625*579*558*
Working-men's clubs242424 
International Order of Good Templars111111 
Specially authorised societies171718 
Totals1,00098898771,97371,27170,639

Annual returns of receipts, expenditure, etc., of lodges are required by law. For the year 1956 the Registrar of Friendly Societies received returns from 825 lodges, with an aggregate membership of 70,639 at the end of the year, as compared with 827 lodges and 71,271 members for 1955. During the year, 2,300 members were admitted by initiation etc., and 410 by clearance; 1,264 died, 366 left by clearance, and 1,712 by arrears, etc.

The aggregate membership of ledges 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 1956 was comparatively slight. The number at the end of that year (70,639) was, however, 43,070, or 38 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.

The statistics given subsequently relate to the lodges (825 in 1956) 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
19521,24316.693584.80
19531,26517.163534.79
19541,27617.483264.47
19551,31518.353344.66
19561.26417.663014.20

The number of members sick during 1956 was 11,730, equal to 16.9 per 100 members at risk. The sickness experienced during 1956 was 294,811 weeks, equal to 25 weeks 1 day per sick member and 4 weeks 2 days for each member at risk.

FUNDS OF FRIENDLY SOCIETIES.—The total funds of the societies and branches as at 31 December 1956 amounted to £8,512,156, made up as follows.

FundsAmountAssetsAmount
 £ £
Sick and funeral funds6,324,610Investments at interest7,762,609
Surplus appropriation funds etc.1,074,069Value of land and buildings493,371
Management funds, goods, etc.442,635Cash not bearing interest210,282
Distress, benevolent funds, etc.670,842Value of goods25,337
Total8,512,156Other assets14,633
 Owing by management funds5,924
 Total8,512,156

The net income from investments credited to the sick and funeral funds for 1956 amounted to £285,769, the average rate being £4 14s. 7d. per cent, as against £4 13s. 7d. in 1955.

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 £2,233,747, or 36 per cent. The average capital per member has also appreciably increased, the gain in the last ten years amounting to £42 9s. 2d. (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.
19466,278,40978011
19476,419,52381155
19486,568,0398530
19496,706,7138845
19506,858,0629190
19517,126,44995168
19527,331,34199183
19537,523,88310383
19547,780,41910820
19558,078,280113611
19568,512,156120101

The contributions and entrance fees paid to sick and funeral funds in 1956 amounted to £188,961. Divided by the mean number of members, the average for 1956 was £2 13s. 3d., as against £2 10s. 8d. for 1955.

The interest and rent received by the lodges and central bodies amounted to £285,769 in 1956, equal to £4 Os. 7d. per member, as against £3 16s. 1d. for 1955.

The amount of sickness benefit paid was £149,651 in 1956, equal to £12 15s. 2d. per member sick and £2 2s. 2d. per member, as against £12 9s. 11d. and £2 2s. 4d. respectively for 1955. Viewing the amount paid in relation to the weeks of sickness, the average benefit per week is found to be 10s. 2d. in 1956, the same as for 1955.

The funeral benefit paid amounted to £92,422 in 1956, equal to £1 6s. 1d. per member, as compared with £1 3s. 11d. for 1955.

The total worth of the sick and funeral funds at the beginning of 1956 was £6,046,539, and at the end of the year £6,324,610.

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. Tin's 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.

REVISION OF LAW.—In any progressive society the law requires alteration from time to time if it is to reflect the life of the community and adequately give effect to the needs of the people. As in other countries in modern times legislation is by far the most important means by which the law of New Zealand is adapted to changing circumstances. The responsibility of bringing before Parliament proposals for the revision of the common law and that part of the statute law not administered by other Departments of State is in the hands of the Attorney-General and Minister of Justice. In formulating these proposals the Attorney-General is assisted by the Department of Justice and by the Law Revision Committee, an informal advisory body first set up in 1937. In addition to the Attorney-General, who is Chairman, the Committee comprises the Chairman of Committees of the House of Representatives, a nominee of the Parliamentary Opposition, the Permanent Heads of the principal legal Departments of State (the Solicitor-General, the Law Draftsman, and the Secretary for Justice), two representatives of the New Zealand Law Society, and two representatives of the Faculties of Law of the University of New Zealand.

The purpose of the Law Revision Committee is to bring into the work of reforming the law the principal groups, both inside and outside the ordinary Government machinery, which by their interest or expert knowledge can contribute in a special way to this task. The existence of the Law Revision Committee ensures that before proposals for the amendment of the law are put forward for Parliamentary approval they have been considered from many different points of view and have secured a substantial measure of informed support.

COURTS.—The hierarchy of Courts in New Zealand comprises the Court of Appeal, the Supreme Court, and the Magistrates' Court.

The constitution of the Court of Appeal was completely altered by the Judicature Amendment Act 1957. Previously the Court of Appeal in New Zealand was not separate from the Supreme Court. The Court of Appeal as first established by the Court of Appeal Act 1862 consisted of all the Judges of the Supreme Court of whom two formed a quorum. Under the Judicature Act 1908 the Court of Appeal comprised two Divisions, each consisting of five or six Judges of the Supreme Court. The allocation of judges to the two Divisions was made by the Governor-General in Council on the recommendation of the Chief Justice and two other Judges. While this system was well suited to the circumstances of the country in earlier years, the increasing population and complexity of society, and the increase in the business of the Courts to which this led, made desirable the establishment of a separate Court of Appeal such as exists in other Commonwealth countries.

As constituted by the Judicature Amendment Act 1957 the Court of Appeal consists of the Chief Justice by virtue of his office as head of the judiciary and of a President and two Judges of the Court of Appeal appointed by the Governor-General. An additional Judge or Judges of the Supreme Court may be nominated by the Chief Justice to sit on the Court of Appeal in any particular case where it is expedient. The Judges of the Court of Appeal are also Judges of the Supreme Court, but have seniority over all other Judges of that Court except the Chief Justice or the acting Chief Justice.

The Court of Appeal may from time to time appoint ordinary or special sittings and may make rules in respect of places and times for sittings and similar matters.

The Court of Appeal, unlike other Courts, exercises an appellate jurisdiction only. In addition to ordinary appeals from the Supreme Court, certain other proceedings in inferior Courts may, on an order from 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 this 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 was first established by the Supreme Court Ordinance 1841, is now constituted under the Judicature Act 1908. The Members of the Court are a Chief Justice and thirteen other Judges, the number being fixed by statute. An amendment first introduced in 1953 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. The fixing of the number of Judges, 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 thirty-five 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; and the Maori Land Court and Maori Appellate Court, which have jurisdiction in respect of questions relating to Maori land.

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 fifteen miles of a Supreme Court centre is liable to serve on a jury. There is provision for Maoris to serve on juries in criminal cases where both the victim and the accused are Maoris and in civil cases where one of the parties is a Maori.

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
  £ ££
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
195138,9661,331,37520,111733,562588,300
195246,8361,701,96324,753880,840743,680
195353,2772,183,45229,8421,180,2751,014,240
195458,1562,496,38832,9321,288,5451,064,327
195566,0782,843,10938,4751,502,3981,318,362
195672,7463,066,94143,8721,859,0331,599,585

The average amount claimed in each plaint has risen from £22 in 1946 to over £42 in 1956.

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 1946 onwards.

YearNumber of Actions CommencedCases TriedJudgments Recorded
With JuryWithout JuryNumberAmount
* Not available.
 £
194688970255231109,252
19471,05584225197110,595
19481,342104301299136,857
19491,208108293241158,202
19501,05990268202108,132
19511,13591224218169,440
19521,451125302242182,036
19531,435106282*232,733
19541,527130237*291,041
19551,614137198*255,513
19561,735147200*400,341

Court of Appeal.—During the five years 1952 to 1956 there were 124 civil appeals, of which 47 were allowed, and also 9 cases removed to the Appeal Court, resulting in 5 judgments for the plaintiffs and 4 for the defendants.

CRIMINAL JURISDICTION: Magistrates' Courts.—The criminal jurisdiction of Magistrates' Courts has gradually grown out of the general jurisdiction historically enjoyed in respect of minor offences by Justices of the Peace. The Court previously had power to deal with ail summary cases—that is, cases where a statute provides that an offence shall be dealt with summarily—and with a few indictable offences. Since 1952, however, Magistrates have had jurisdiction, which is now given by the Summary Proceedings Act 1957, 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 cases where the statute creating the offence provides that one Justice or two or more Justices are to have power to deal with it, or where jurisdiction is expressly conferred on Justices in a particular case. This is provided for in the Summary Proceedings Act and is a departure from the previous law, under which Justices had jurisdiction in all summary cases unless otherwise provided. The tendency is to have all but the most trivial criminal cases dealt with by Stipendiary Magistrates, although the extent to which this is practicable varies from district to district.

The following table shows the number of criminal charges dealt with in Magistrates' Courts from 1946. 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 FemalesTotalAgainst MalesAgainst FemalesTotal
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
195484,2003,97788,17779.933.8242.09
195582,2184,31786,53576.414.0640.46
195691,3145,26296,57683.184.8544.24

As may be expected the great majority of these charges are for comparatively minor offences, particularly against the traffic laws, which alone account for almost three-fifths of the convictions in the Magistrates' Courts. Of the 87,394 convictions in the Magistrates' Courts in 1956, 50,187 were for minor traffic offences, 5,569 for offences against the liquor laws, and 6,016 for drunkenness.

The following table classifies the convictions in Magistrates' Courts into more common offences or group? of offences for the years 1952 to 1956. 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, 1954, 1955, and 1956 are not comparable with earlier years.

Type of Offence19521953195419551956
* Counting only the principal offence in cases where a person is charged simultaneously with two or more offences.
Common assault635700772760889
Sexual offences7397358412405
Other offences against the person76180257288212
Theft2,4872,6762,8342,6303,164
Wilful damage365422569536568
Other offences against property (including forgery)1,2352,4763,1123,0794,007
Drunkenness (including drunk in charge, etc.)5,7405,4325,8235,9836,016
Application for prohibition order8351,0721,1091,012970
Offensive conduct or language, obstruction, etc., of police, and vagrancy1,5511,6021,5951,5731,938
Minor traffic offences45,06051,04646,50843,25050,187
Other offences against good order1,4952,6001,4841,2691,983
Breach of probation138148151201323
Unlawfully on licensed premises and other breaches of Licensing Act4,7935,5156,0355,4016,708
Failing to furnish return and making false return of land and income2,2412,2092,6754,1473,271
Failing to pay maintenance1,2211,3471,3191,4361,360
Deserting merchant ships399263328369519
Breaches of price control orders693403323254155
Other offences4,9893,6554,9585,2064,719
        Totals73,96082,14380,21077,80687,394
       Distinct cases*62,43468,22268,01863,56971,802

The total convictions (87,394) for 1956 represent a rate of 40.04 per thousand of mean population. The year 1956 shows a heavy increase in the number of convictions, 9,588, over that of the previous year.

Offences showing the more substantial increases are as follows:
        Common assault129
        Theft534
        Other offences against property (including forgery)928
        Offensive conduct or language, obstruction, etc.365
        Minor traffic offences6,937
        Other offences against good order714
        Breach of probation122
        Unlawfully on licensed premises, etc.1,307
        Ship desertion150
On the other hand major decreases are shown in only the following two groups: Failing to furnish return and making false return of land or income876
        Other offences487

The next table classifies the result of hearing and punishment inflicted on summary conviction for all cases during 1956.

Result of HearingOffences Against the PersonOffences Against ProperlyOffences Against Good OrderOther OffencesTotal
Dismissed, withdrawn, or struck out3827332,9904,3728,477
Committed for trial or sentence1814211110623
Admonished and discharged536192282
Imprisonment3842,6601,0297974,870
Detention in Borstal Institution, etc.316882530774
Released on probation2191,8282262772,550
Convicted and ordered to come up for sentence10117814957485
Fined6331,29256,67411,87670,475
Convicted and discharged (or pay costs)1381,0913,0957825,106
Suspended imprisonment (maintenance cases)   1,1011,101
Miscellaneous 21,0359962,033
        Totals2,0748,92965,25320,32096,576
        Distinct cases1,6244,01657,35115,50778,498

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 convictions dealt with in Magistrates' Courts for the years 1952-56 inclusive.

Offence19521953195419551956
Negligently driving motor vehicle causing death2125334630
Negligent driving causing injury1814263429
Drunk in charge of motor vehicle causing injury 131 
Failing to stop motor vehicle after accident involving bodily injury323284736
Unlawfully converting vehicle to own use496637689710932
Drunk in charge of motor vehicle704747820933875
Drunk in charge of other vehicle73211818
Excessive speed in motor vehicle9,94511,2449,8798,54010,422
Negligent or dangerous driving of motor vehicle6,9637,8718,8938,4888,898
Negligent or dangerous driving of other vehicle188114 130125
Breaches of regulations for the lighting of vehicles3,1543,3063,2472,2742,438
Offences relating to the registration, etc., of motor vehicles4,6836,1345,2174,7474,536
Offences relating to driver's licence3,2132,9693,1293,3183,167
Breaches of parking regulations11,33911,2669,93110,12114,788
Other traffic offences5,5758,1426,0565,6325,814
        Totals46,30952,49648,12945,03952,108
Convictions per 1,000 of mean population23.1925.6222.9721.0623.87

From the traffic offences for 1954, two interesting points arose. Point one was that since the resumption in 1947 of Magistrates' Court statistics, this was the first year in which a decrease had been shown. This could have been a result of the intensive drive about that time by the traffic authorities. The second point was that while breaches of parking regulations showed a decrease of 1,335 in the table given, the two main North Island centres, Auckland and Wellington, showed a combined decrease of 3,437 for this offence. This decrease, however, could perhaps have been related to the installation of parking meters in those two places.

A small increase of 190 was shown in 1955 in the overall figure for parking offences. For Auckland alone, however, an increase of 777 was recorded. On the other hand, Christchurch and Dunedin showed decreases of 1,122, or 57.7 per cent, and 475, 48.9 per cent, respectively for the same year.

Convictions for traffic offences in 1956 have shown a heavy increase of 7,069, or 15.7 per cent above the previous year. Of these, parking offences contributed 4,667, or 66 per cent of the total. Two of the main centres accounted for more than half of this increase. They were Auckland 1,573, or 39 per cent, higher than the previous year, and Christchurch 1,234, an increase of 150.1 per cent on the 1955 total. One other offence speeding, also showed a substantial increase over the previous year of 1,882, or 22 per cent, while other major increases were recorded for unlawful conversion, 222; negligent or dangerous driving, 410; breaches of lighting regulations. 164; and other traffic offences, 182. No really substantial decreases were recorded for the year, the only two of note being, offences relating to registration, etc 211; and offences relating to drivers' licences, 151.

The previous table excludes the more serious cases involving death or injury which are sent forward to the Supreme Court for trial or sentence. Ir. 1956, 11 such cases were sent forward and there were 5 sentences, comprising 3 for negligent or drunken driving causing death, and 2 for negligent or drunken driving causing injury.

Of the 52,108 convictions for traffic offences, 2,552 persons had their drivers' licences cancelled for varying lengths of time. These are given below:

Period for which Licence CancelledNumber
Under 3 months1,105
3 months and under 6 months348
6 months and under 1 year211
1 year and under 2 years704
2 years and under 372
3 years and under 441
4 years and under 53
5 years and over68

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 1952 to 1956.

YearConvictions for DrunkennessPer 1,000 of Mean Population
MalesFemalesTotalMalesFemalesTotal
19525,5531875,7405.530.192.87
19535,2262065,4325.070.202.65
19545,6241995,8235.340192.78
19555,7772065,9835.380192.80
19565,7782386,0165.260.222.76

Repeated charges against the same person are included in the totals shown in the preceding table, but the figures do not include cases of application for the issue of prohibition orders, of which there were 970 in 1956. 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.

For the last three years, 1954-56 inclusive, an increase has been shown each year, the total for 1954 being 391 more than the previous year, with a further increase of 160 in 1955, and finally a small rise of 33 for 1956, the number of convictions for each of the last three years being the highest since 1939. The proportion per 1,000 of mean population in 1895 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
MFMFMFMFTotal
(a) Total Cases
195280457382361,252361,634721,706
1953584412511195434615361
195448427256565 3215326
19554233517223181135324377
19565812330414283 58714601
(b) Distinct Persons
195231119207164552666242704
195320713118751316910179
19541919123520 1435148
1955163128785111389147
195619313125970 1959204

Of the 206 distinct persons indicted during 1956,134 were convicted and 66 acquitted, and "no bill" was returned or the prosecution was not otherwise proceeded with in the remaining 6 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 OffencesTotalOffences Against the PersonOffences Against PropertyForgery and Offences Against the CurrencyOther OffencesTotal
19524091,20253421,7062703952019704
1953155169281936110360115179
19541541299343268252113148
195510423721153777456710147
195619336863460110084317204

The table which follows shows the number of distinct persons sentenced in the Supreme Court during each of the years 1946 to 1956, classified according to the principal types of offences.

Type of Offence19461947194819491950195119521953195419551956
* Includes persons charged with murder but convicted of manslaughter.
Murder33638323441
Attempted murder21   1   2 
Manslaughter*23167827434
Traffic offences involving death or injury24372219301920121055
Assaults and wounding2930293425312619141421
Sexual offences12414911915518617719858464564
Other offences against the person222723162313224415
Robbery, burglary, and breaking and entering26322923419618319418620181936
Theft, receiving, and fraud13521423217712914719140283544
Other offences against property99924161518 624
Forgery and uttering251416252520201173
Other offences1724262110161915131017
        Totals655740717676642644704179148147204
Per 10,000 mean population3.724.123.913.613.363.303.520.870.710.690.93

Sentences imposed in the Supreme Court during 1956 were as follows:

Probation (under Criminal Justice Act)25
Ordered to come up for sentence 
Discharged1
Fined5
Imprisoned116
Corrective training8
Borstal training19
Preventive detention29
Death1

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 96,576 criminal charges dealt with in the Magistrates' Court in 1956, 5,262, or 5.4 per cent, were against females. This figure showed an increase on the 1955 total of 4,317. 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 1956, the most common were—

Attempted suicide9
Common assault25
Drunkenness212
Theft445
Fraud and false pretences122
Offensive conduct or language28
Vagrancy112

Supreme Court statistics also showed that women in general are of a law-abiding disposition; 9 females (4.6 per cent of the total) were sentenced in 1956 for criminal offences.

During 1956, 117 women were received into prison under sentence. The principal offences concerned were theft, 42; vagrancy, 25; drunkenness, 5; breach of probation, 9; fraud and false pretences, 10; bigamy. 3. The corresponding total in 1955 was 117, and the main offences were theft. 39; vagrancy, 25; drunkenness, 9; breach of probation, 9; fraud and false pretences, 8; bigamy, 1.

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 1956, 5.22 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 1956. Figures for Europeans are quoted for comparative purposes.

Class of OffenceTotal Charges for Arrest Cases
Against the PersonAgainst PropertyAgainst Good OrderOther OffencesMalesFemalesTotal
DrunkennessOther
Maoris2111,3824316091422,5572182,775
Europeans1,0675,4974,5262,8291,16614,35173415,085
        Totals1,2786,8794,9573,4381,30816,90895217,860

Of the total number of arrests and convictions 15.5 per cent and 15.9 per cent respectively were Maoris.

The total number of Maoris convicted and sentenced in the Supreme Court during the five years 1952 to 1956 was 251; or 18.2 per cent of the total of 1,382. Of the 43 Maoris (including 2 females) sentenced during 1956, 23 were committed from Magistrates' Courts and 20 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 of Total SentencesMaori SentencedPercentage of Total SentencesMaoris SentencedPercentage of Total SentencesMaoris SentencedPercentage of Total Sentences

* Including forgery and uttering.

† Includes other offences.

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
19541123.938.3611.32214.9
1955511.1310.3812.71610.9
19562335.9719.41213.84321.1

During 1956, 573 Maoris (including 46 females) were received into prison under sentence, this being 19.8 percent of the total committals. Of the 1,403 persons held in custody on 31 December 1956, 355, or 25.3 per cent, were Maoris. Corresponding figures for 1955 were, 511 received under sentence (including 42 females), 20.2 per cent of the total committals, and 1,154 held in custody on 31 December 1955, of which Maoris comprised 262, or 22.7 per cent of the total.

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 1946 to 1956 and (except for the year 1946) the number of distinct cases—that is, excluding multiple charges against the same person.

YearTotal CasesDistinct Cases
MalesFemalesTotalMalesFemalesTotal
* Not available.
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
19544,8515715,4222,4094222,831
19555,0266855,7112,7305483,278
19565,4205936,0132,9494953,444

Detailed statistics for Children's Court cases during each of the years 1951 to 1956 are as follows. The figures shown refer to total cases.

Type of Offence195119521953195419551956
* Includes forgery and uttering.
Sexual offences5585841749783
Assaults283334344557
Other offences against the person9626151611
Robbery, burglary, and breaking and entering394650540813677704
Theft, receiving, and fraud1,5641,7151,6182,2422,0122,176
Unlawful conversion of vehicles299360400530707580
Wilful damage339255383319414419
Other offences against property*211026914027
Offences against good order3515054995307551,090
Indigent or delinquent child652593491477476579
Other offences111161250197472287
        Totals3,8234,3634,3515,4225,7116,013
The 6,013 cases heard during 1956 resulted as follows:
   Dismissed or withdrawn317
   Admonished and discharged1,870
   Committed to care of Child Welfare Division of the Department of Education1,045
   Placed under supervision1,834
   Committed to an institution133
   Fined494
   Otherwise dealt with320

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
1946919
1947972
19481,036
19491,104
19501,098
19511,071
19521,176
19531,098
19541,278
19551,429
19561,692

The next table gives the ages of offenders placed on probation during 1956, together with the period of their probation.

Age, in Years6 Months or Under1 Year15 Months18 Months2 Years3 YearsTotal
Under 20 16045337453644
20 and under 25513123428820480
25 and under 30 6531312114216
30 and under 40 68 2010417209
40 and under 50 302946895
50 and under 60 16 111331
60 and under 70 3  5210
70 and over 2  5 7
       Totals5475111309541171,692

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 arc 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 1946 to 1956.

YearMalesFemalesTotal
19461,0714011,472
19471,1153671,482
19481,0854271,512
19491,0864291,515
19501,1503821,532
19511,3164461,762
19521,0313571,388
19539742861,260
19541,0663811,447
19551,0543501,404
19569803641,344

The next table classifies inquests for the same period according to the verdict returned.

YearDisease and Natural CausesAccidentHomicideSuicideViolent Deaths, Nature Unknown
MFMFMFMFMF
19464362204821157597444917
194748618349813256103292317
194842419749316534125444017
19494072165241412911256417
1950490214509123113106323410
19515292496121318813150368
195228314857614728139353119
19531987861114796102365419
195420311868320937108306917
195524811865917712513550  
19562321246151706512765  

Prior to 1955 the source for data on inquests was the Inquest Book maintained by the Department of Justice. Now, however, data are obtained from the Deaths Register maintained by the Registrar-General. This has had the effect of deleting figures which formerly appeared in the column for Violent Deaths, Nature Unknown. However, it is highly probable that these figures are now absorbed in the Accident and Suicide columns. In view of this fact, due consideration must be given when comparing the figures appearing in those columns prior to 1955.

Inquests in cases of disease and natural causes show that males outnumbered females in 1956 by almost two to one. Suicides among men have shown a slight decrease from 1955, but in contrast suicides by females have increased by 15, or 30 per cent, over the previous year. As it now stands, the incidence of suicide among men compared with women has shown a decrease for 1956, being

now not quite two to one as against more than two and a half times greater in 1955 and over three and a half times greater in 1954. A true comparison of the accident figures for the years 1954 and 1955 cannot be made due to the fact that those for the earlier year include victims of the Tangiwai railway disaster of Christmas Eve 1953 and for which inquests were not held until 1954. However, the 1956 figures show a marked decrease in the number of males and a smaller one for females compared with 1955.

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 legislation was passed 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 against the hardened offender by keeping him away from society for a long period.

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. (The part of the Act relating to this type of punishment has not yet been brought into force).

  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-two 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 1956 is given below.

MalesFemalesTotal

* Further analysis in next table.

In confinement 1 January 19561,097571,154
Distinct prisoners received during year2,7691172,886
Transfers between institutions, etc.*2,7931762,969
Discharged during the year—   
   Transferred to other prisons or to police1,9021362,038
   On expiration of sentence1,926511,977
   Released on bail2103213
   Released on recommendation of Parole Board35112363
   Released on special remission59244636
   Debtors1292131
   Mental defectives30333
   Other19520215
In confinement at 31 December 19561,324791,403
Daily average number in confinement during year1,235681,303

The total of 5,855 receptions during 1956 shown in the preceding 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 defectives158
   Transfers between institutions1,191
   Acquitted, fined, placed on probation, etc.1,152
   Multiple receptions of same prisoner464
   Distinct prisoners received under sentence2,886
       Total5,851
   Plus difference between number held on remand at beginning and end of year4
 5,855

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 2,886 distinct persons received during 1956, 2,769 were males and 117 females. Corresponding figures for 1955 were 2,531 distinct. persons, 2,414 being males and 117 females.

An analysis is given below of distinct persons received into prison according to nature of sentence imposed in 1955 and 1956.

Nature of Sentence19551956
Imprisonment2,2382,557
Corrective training9465
Borstal training181235
Preventive detention1428
Death41
       Total2,5312,886

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
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
19541,196271,2235.715.83
19551,117371,1545.225.39
19561,362411,4036.246.43

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
19462,21312.58
19472,35113.07
19482,18111.89
19491,7889.55
19502,08010.90
19511,97510.14
19522.26811.36
19532,35411.49
19542,40411.47
19552,53111.83
19562,88613.22

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 1956.

Age, in YearsOffences Against the PersonBurglary, Theft, and FraudConversion, Wilful Damage, etc.Vagrancy and DrunkennessOther OffencesTotal
Sexual OffencesAssaultsOther
Under 2030162121701589343
20 and under 25304461806357251631
25 and under 302741111473784167514
30 and under 4045411321925155166664
40 and under 50301351053126118400
50 and over206762315086334
      Totals182161448342015878772,886
Maoris (included above)4039152146576124573

The next table gives particulars of ages and length of sentence of distinct persons received into prison under sentence during 1956.

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 YearsOtherTotal

* Sentenced to death and executed.

Under 2141134428238  463
21 and under 259521910435535 511
25 and under 3013615911950446 514
30 and under 40194179161941719 664
40 and under 5010712395481710 400
50 and under 609471661165 253
60 and over292816421181
Totals696913603250377461*2,886

Of the total of distinct persons received into prison in 1956 no less than 63.8 per cent had been convicted for an offence on at least one previous occasion, and 25.6 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 m 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 diligence and 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 those of a Superintendent. 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 probation. For a period of time they must be under the supervision of a Probation Officer, and, during any part of that period falling within the maximum period they could have been detained in an institution, 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 Parole Board during each of the years 1952 to 1956 are as follows.

YearBorstal DetentionReformative Detention or Corrective TrainingHard LabourHabitual CriminalsProbationersTotal
Crimes Amendment Act and Criminal Justice ActOffenders Probation Act

* No longer under the control of the Parole Board.

1952282445245428231,045
195326434728037918955
19542733583155711191,033
195534732259607*795
1956466254414311*815

It will be seen from the above table that the coming into force on 1 January 1955 of the Criminal Justice Act 1954 has had a considerable effect on the figures. Of the cases considered in 1955, recommendations were made for release on probation in 263 instances. Five probationers under the Crimes Amendment Act and Criminal Justice Act were recommended for discharge. Fourteen petitions were declined, while the remaining 533 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, 1955, and 1956, is the statute under which the Force now functions.

Organization and Duties.—A Controller-General and a Deputy Controller-General, with headquarters at Wellington, subject to the directions of the Minister of Police, have the general superintendence and control of the Police Force. New Zealand is divided into fifteen districts, each, with the exception of the Auckland district, 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. The Auckland Police District is under the control of an Assistant Commissioner. 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, 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-five 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 twenty years up to forty years of age. Recruits must be the holders of a School Certificate or possess educational qualifications of equal or higher standard or alternately pass a departmental pre-entry test. 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 enquiries have been made into the character, antecedents, and qualifications of the applicants. On 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 Controller-General, the strength of the Police Force on 31 March 1957 was 2,239, being an increase of 209 during the year. The total was made up as follows: Deputy Controller-General, 2 Assistant Commissioners, 10 Superintendents, 17 Chief Inspectors, 24 Inspectors, 73 senior sergeants, 188 sergeants 11 acting sergeants, 9 temporary sergeants, 1,052 constables, 665 temporary constables, 54 police women, 20 senior detectives, 47 detective sergeants, and 65 detectives. There were also 3 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)ConstablesTotal*

* Not including surgeons, police-women, matrons, etc.

194739208971,1541,498
194837212941,1781,521
1949362241031,1791.542
1950362201061,1771,539
1951412221101,1951,568
1952372301191,2031,589
1953442281271,2031,602
1954452271211,2581,651
1955452321271,2541,658
1956582491301,5271,964
1957542811321,7172,185

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 54, and these are stationed at Auckland, Hamilton. 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, but six are employed in the Criminal Investigation Branch.

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 Personnel Officers' Committee.—This Committee consists of the Senior Personnel Officers of each of the services and a representative of Treasury.

Principal Administrative Officers' Committee.—This Committee consists of the Senior Supply Officers of each of the Services and a representative of the Treasury. This and the preceding Committee are 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 maintained in London, Melbourne, and Washington. In 1956 a New Zealand Military Liaison Officer was appointed to the Staff of the Commissioner for New Zealand in South-east Asia, Singapore, and the Head and Deputy Head of the New Zealand Services Liaison Staff in Washington were accredited to the Canadian Service authorities as Military, Naval, and Air Advisers to the High Commissioner for New Zealand in Ottawa. The United Kingdom and Australia have Service representatives in Wellington attached to the offices of their respective High Commissioners, and there is a Military Attache 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, known as the Defence Science (Policy) Committee.

The Defence Science (Policy) Committee is served by appropriate technical sub-committees of Service and scientific composition. It is aided by the Defence Science Advisory Committee consisting of non-Government scientists and experts. The Policy Committee with its supporting groups is known as the Defence Research Organization.

Defence Science activities are co-ordinated with Commonwealth requirements through the Commonwealth Advisory Committee on Defence Science or by direct negotiation with other Commonwealth Governments.

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 appeal 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 10 1/2 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. The out-of-camp training was reduced to three days annually from 1 April 1956—i.e., a total of fifty-one days for part-time service.

  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 1956 amendment to the Military Training Act provided that persons subject to the Act may be called upon for service at any age above eighteen years, but not exceeding twenty years. It also provided for the aggregation of whole-time and part-time training in certain Royal New Zealand Air Force trades to a continuous period of whole-time training exceeding fourteen weeks but not exceeding twenty-two and a half weeks. The age at which persons become liable for service was raised to eighteen years and three months from 1 January 1957, and from 1 July 1958 the age of call-up will be eighteen years and nine months. Following the review of defence policy in 1957, the Royal New Zealand Air Force and the Royal New Zealand Navy ceased enlisting trainees under the Act.

THE ROYAL NEW ZEALAND NAVY.—The Government in New Zealand has since the earliest days made provision for Naval forces in its defence measures. Royal Naval vessels regularly visited New Zealand waters, but these were soon supplemented by a number of Government-owned vessels, the first of which was the Australia, a schooner purchased from India in 1842. In addition, in 1877 the New Zealand Government began regular financial contributions towards maintaining Royal Naval ships in New Zealand waters.

A 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. Unfortunately the First World War intervened, but in 1921 this policy was implemented and the Naval Forces became the New Zealand Division of the Royal Navy. In 1941 these forces became the Royal New Zealand Navy.

Command and Administration.—The Royal New Zealand Navy is controlled by the Naval Board, which consists of the Minister of Defence (Chairman), a Rear Admiral (as First Naval Member and Chief of the Naval Staff), a Commodore (as Second Naval Member and Member for Personnel), a Captain (as Third Naval Member and Member for Supply), and the Permanent Head of the Navy Department (as Navy Secretary and Member for Finance).

Role of the Royal New Zealand Navy.—Through the collective defence arrangements made by New Zealand, e.g., under UN, SEATO, and ANZUS agreements and within the Commonwealth, the Royal New Zealand Navy provides forces capable of integrating with the Navies of friendly nations. These forces are also planned to provide a measure of defence for the home territories should the need arise.

One ship is permanently attached to the Commonwealth Far East Strategic Reserve and others could reinforce it at short notice. The normal peacetime duties are many and varied, and include flag-showing cruises to foreign ports and around New Zealand and its Island Territories; support for New Zealand Antarctic interests, surveying, fishery protection, and servicing weather stations. These are in addition to training both active service personnel and reserves for their wartime tasks.

State of the Navy.—Her Majesty's New Zealand ships are at present:
* In reserve.
CruisersRoyalistAt least one cruiser or frigate is
maintained on the Far East Station with a second in
New Zealand but
available for Far East service if required. The remaining
ships in commission are normally employed within
the New Zealand Naval Station.
 Black Prince*
FrigatesRotoiti
 Kaniere
 Pukaki
 Taupo* 
 Tutira* 
 Hawea* 
Survey ShipLachlan 
Ocean MinesweepersStawellTraining ship.
 Kiama* 
 Inverell* 
 Echuca* 
Anti-submarine minesweeping vesselKiwi* 
Fleet AuxiliaryTuiNaval and oceanographic research.
Ex-netlayerEndeavourAntarctic expedition support ship.
Motor launchesTwelveFishery protection. Training. Survey work.
  Harbour duties. 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.Z.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 3 months.
Artificer apprenticesAges 15 years to 17 years.
YouthsAges 16 years 3 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 officer rank, dependent on age and experience.

There are also two schemes for direct entry as officer cadets. Candidates between the ages of 15 years 6 months and 16 years 6 months are eligible for selection as Cadet Midshipmen, and these cadets carry out three years' training in the Royal Australian Naval College, Jervis Bay, New South Wales. Before proceeding to the Royal Naval College, Dartmouth, and subsequent training candidates between 17 years 8 months and 19 years are eligible for selection as Special Entry Cadets. These cadets go to the Royal Naval College, Dartmouth, on entry for a period of up to two and a half years. On leaving Dartmouth, officers of both types of entry undergo specialist training as Acting Sub-Lieutenants for periods varying from eighteen months to three years, after which they take appointments as trained officers in the Royal New Zealand Navy.

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.—There is a division of the Royal New Zealand Naval Volunteer Reserve in each of the four main centres - Auckland, Wellington, Christchurch, and Dunedin. When the Military Training Act 1949 was introduced these divisions accepted the responsibility of training the Navy's Compulsory Naval Reservists. In all they trained 1,992 men before it was decided in 1957 to cease compulsory training for the Navy. The divisions then prepared to revert to their former purely volunteer role.

Strength of the Navy.—The strength of the Navy as at 31 December 1957 is shown below.

 Officers  Ratings  Total
Regular Forces (including W.R.N.Z.N.S.)  309  2,644  2,953
Active Reserves—   
    Royal New Zealand Naval Reserve  21   21
    Royal New Zealand Naval Volunteer Reserve  118  973  1,091
Totals  139  973  1,112
Inactive reserve—   
    Royal New Zealand Naval Reserve   1,184  1,184
    Royal New Zealand Naval Volunteer Supplementary Reserve  307   307
    Royal New Zealand Naval Emergency Reserve   574  574
    Retired Officers and Pensioners  184  153  337
    Compulsory Naval Reservists  2  903  905
    Royal Naval Supplementary Reserve   14  14
Totals  493  2,828  3,321

Naval Expenditure.—During the year ended 31 March 1957 the sum of £6,951,041 was expended on the Royal New Zealand Navy. Of this sum, £6,467,986 was expended from vote "Navy" and £483,055 from vote "Defence: Construction and Maintenance—Subdivision I—Navy." The total expenditure for the previous financial year was £6,231,422.

Activities in 1957.—The beginning of the year saw the Royal New Zealand Navy embarked on its first Antarctic voyage. On 21 December 1956 H.M.N.Z.S. Endeavour left Bluff with the personnel and stores of the New Zealand Antarctic Expedition. The following day she was joined by H.M.N.Z.S. Pukaki and Rotoiti and these two frigates remained with her until the pack ice was met at 67° 27' S. 179° 46' W. They turned back, having gone further south than any other warships of conventional construction in the Royal New Zealand Navy. Endeavour negotiated the pack ice and weathered a gale in the Ross Sea to arrive at McMurdo Sound on 4 January 1957. Her ship's company unloaded the expedition's stores and helped construct Scott Base which was formally established on 20 January. After a visit by the Chief of the New Zealand Navy Staff, Endeavour left the sound on 22 February and arrived back at Dunedin on 4 March. In December she sailed south again to resupply the base.

Early in 1957 orders were placed for two new fast anti-submarine frigates of the Whitby Class. It is expected that they will be launched in October-December 1958 and will sail for New Zealand in mid-1960.

The year also brought a major administrative change. On 7 June the first New Zealand naval officer to hold a Board appointment became Second Naval Member of the New Zealand Naval Board, with the rank of Commodore.

Among the more important ship movements were the departure of the cruiser H.M.Z.N.S. Royalist from Auckland on 20 May to join the Commonwealth Strategic Reserve in the Far East, an attachment which was due to last until early 1958; and the employment of the frigates H.M.N.Z. Ships Pukaki and Rotoiti as weather-reporting ships for the Christmas Island thermo-nuclear tests. There was a succession of Royal Navy Ships in New Zealand waters during the year. H.M.S. St. Bride's Bay arrived in March and left in June, H.M.S. Concord arrived in July and left in October and H.M.S. Cardigan Bay arrived in November and was to remain until January. Another visitor was H.M.S. Cook which came to New Zealand in June before beginning a prolonged surveying season in the South Pacific.

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 Corps of Royal New Zealand Engineers.

  • The Royal New Zealand Corps of Signals.

  • The Royal New Zealand Infantry Corps.

  • The New Zealand Special Air Service.

  • The Royal New Zealand Army Service Corps.

  • The Royal New Zealand Army Medical Corps.

  • The Royal New Zealand Army Ordnance Corps.

  • The Corps of 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 Service.

  • 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 Vice-Chief of the General Staff (Second Military Member);

  • The Adjutant-General (Third Military Member);

  • The Quartermaster-General (Fourth 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 under-take 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 for service within New Zealand and, with the exception of minors and a Home Service Section, 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 one or 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 Military Training Amendment Act 1951 provides for every male British subject, ordinarily resident in New Zealand, born during the year commencing on 1 November 1929 and ending 31 October 1930 to be liable for service in the reserve for a period of four years. Soldiers called up under this provision and posted to Class "C" of the Army Reserve completed their obligations by October 1956.

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. This period was reduced to three days from 1 April 1956, the emphasis being on whole-day rather than week-end parades.

Attendance for a further twenty days' training annually, including courses at Army or District Schools, is authorized for officers and non-commissioned officers, and up to 10 per cent of unit strength for other personnel performing essential duties.

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 10 1/2 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 (at present the total is fifty-one days, the out-of-camp training being three days annually), (c) service for six years in the Army Reserve, with no training liabilities.

The Act was amended in October 1956 to empower the Minister of Defence by notice in the New Zealand Gazelle from time to time to alter the age of call-up. In the exercise of these powers the age was raised from eighteen years to eighteen years and three months as from 1 January 1957, and from 1 July 1958 the age of call-up will be eighteen years and nine months.

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, 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.

Other training establishments, the Armoured Corps Depot, School of Military Engineering, Signals Depot, 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 and Malaya.—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 discharged this obligation by providing Naval and Army forces to participate under United Nations command in Korea.

The New Zealand Army K Force, enlisted from special volunteers, served in Korea from January 1951 to August 1957. It originally consisted of a field regiment of artillery and auxiliary units, but was progressively reduced to a transport platoon.

New Zealand remains represented in Korea by a small liaison staff.

As a result of the Commonwealth Prime Ministers' Conference held in London early in 1955, New Zealand undertook to make a contribution to the strategic reserve being formed in Malaya. New Zealand's contribution was a Special Air Service Squadron, consisting of 7 officers and 118 other ranks. This unit left New Zealand in November 1955 and served under the British 22 S.A.S. Regiment in Malaya until November 1957. Towards the end of 1957 the squadron was replaced by a small formation headquarters and an infantry battalion with a strength of 43 officers and 707 other ranks.

New Zealand Cadet Corps.—One hundred and fifty 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 non-commissioned officers are held at District Training Camps, and units may hold camps or barracks annually.

Activities During 1956-57.—The Territorial Force continued to grow in numbers and efficiency. K Force was maintained at its established strength, and the Special Air Service Squadron raised, trained, and sent to Malaya. Assistance was continued to the Fiji Military Forces, including the regiment engaged in operations in Malaya. Seven Army officers were also provided as United Nations Observers in Palestine. A further three officers are serving as United Nations Observers in Kashmir.

All units of the Territorial Force completed their annual obligatory training. Infantry battalions each carried out an exercise set by brigade commanders during their annual camps, and all brigades held tactical exercises without troops for officers of all arms. In addition divisional exercises were held in 1955 and 1956. The 1955 exercise of three days' duration was designed primarily to exercise divisional and brigade headquarters in their functions in the field. The 1956 exercise, which was for senior officers, dealt with certain aspects of jungle warfare.

During the Christmas, New Year, and Easter periods, as previously, the Royal New Zealand Provost Corps assisted the Transport Department by providing volunteers for traffic patrols in the major cities of the country.

The Army continued its aid to the Search and Rescue Organization.

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 173 rifle clubs and 17 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 1955-56 and 1956-57.

Year Ended 31 March£
1956 Vote: Army7,611,567
    Vote: Defence Construction and Maintenance880,713
        Defence Fund (K Force)531,204
        Total£9,023,484
1957 Vote: Army7,678,000
    Vote: Defence Construction and Maintenance1,000,998
        Defence Fund (K Force)679,846
        Total£9,358,844

Strength of the Army.—The strength of the Army as at 30 September 1957 was as follows.

 Officers  Other Ranks  Total
Regular Force (incl. forces in Malaya; women; and personnel seconded from British Army)  558  3,889  4,447
Territorial Force (Active)  1,367  29,187  30,554
Reserve of Officers (Regimental List)  301   301
Class A Reserve (Territorial Force on reserve for six years)   27,181  27,181
Class B Reserve (Regular Force on reserve for three years)   476  476
Emergency Force (K Force awaiting discharge)   23  23

THE ROYAL NEW ZEALAND AIR FORCE.—The Royal New Zealand Air Force had its inception in the New Zealand Permanent Air Force and the New Zealand Air Force (Territorial) established as part of the defence forces of the country in 1923. Permission to change the name of the N.Z.P. A.F. to Royal New Zealand Air Force was granted by His Majesty King George V in 1934. By the Air Force Act 1937, the R.N.Z.A.F. was constituted as a separate armed service, and its administration was vested in the newly formed Air Department. Until 1951 the administration of Air Force law was in accordance with R.A.F. practice, but with the coming into force that year of the R.N.Z.A.F. Act 1950 the provisions of the R.A.F. code ceased to apply.

Command and Organization.—The force is raised, maintained, and organized under the R.N.Z.A.F. Act 1950 and the amending Act of 1954, and consists of—

  1. The Regular Air Force.

  2. The Territorial Air Force.

  3. The Air Force Reserve.

  4. The Women's Royal New Zealand Air Force.

  5. The Air Training Corps.

It 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 Assistant Chief of the Air Staff.

The Air Secretary, who is also the permanent head of the Air Department.

Command of the R.N.Z.A.F. is exercised by the Air Officer Commanding, who also holds the appointment of Chief of the Air Staff. R.N.Z.A.F. Headquarters is located in Wellington. There are nine stations in New Zealand, including Headquarters Unit, and one in Fiji. A small headquarters is established in London and liaison staffs are in Washington and Melbourne. Two squadrons are serving with the Far East Air Force in Singapore.

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 and air communications, and for deployment overseas as necessary to support the United Nations and to meet obligations to, and defence arrangements with, the Commonwealth and allied countries. In order to meet these commitments the R.N.Z.A.F. is organized to provide an operational force immediately available in an emergency. In addition, the R.N.Z.A.F. provides support for the search and rescue organization 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. Permanent commissions in the General Duties Branch are granted 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, and also to selected officers serving on short-service commissions.

Candidates for commissions in branches other than General Duties are drawn largely from the ranks. Some, with higher educational and specialist qualifications, are commissioned on joining the Service, Commissions are either permanent or short-service; the latter are of five years' duration and carry an obligation for service with the Air Force Reserve.

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 mainly through initial engagements of up to eight years on the active list, according to trade, with a reserve liability of four years in each case. Twelve-year engagements are granted to men who have been selected for training at the R.A.F. apprentice schools at Halton and Locking. Opportunities exist for re-engagement to qualify for superannuation. Normally, total service for superannuation 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 superannuation.

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 and by personnel with reserve obligations on the completion of regular service. Members of the Active Reserve have an annual training commitment; members of the General Reserve have 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 fosters airmindedness throughout the youth of New Zealand. Annual flying scholarships provide training at the Central Flying School for selected cadets.

The change in defence policy announced in the White Paper of May 1957 resulted in the disbandment of all territorial squadrons, task force ancillary units, and air defence headquarters. Subsequently, most of the personnel concerned were transferred to the Reserve.

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.—Operational units comprise a fighter/ground attack squadron and a medium-range transport squadron serving with the R.A.F. in Singapore, a second fighter/ground attack squadron at Ohakea, a maritime squadron stationed in Fiji, and a long-range transport squadron at Whenuapai. These squadrons are supported by operational conversion units and a transport support unit.

Training Establishments: Flying Training.—The initial training of all aircrew is undertaken at the Initial Training School at Wigram. Aircrew graduate from I.T.S. to the Flying Training School after completing basic and officer training.

In addition to the I.T.S. and F.T.S., the establishment of Wigram includes the Air Navigation and Air Signals School and the Central Flying School.

Ground Training.—Boy entrants undergo eighteen months' educational, general service, and basic trade training at the Boy Entrant School, Woodbourne. All other recruits receive initial general service training at Taieri. Technical recruits then go to No. 1 T.T.S., Hobsonville, for basic trade training and graduate to No. 2 T.T.S., Wigram, No. 4 T.T.S., Woodbourne, or No. 6 T.T.S., Ohakea, for specialist trade training. Recruits in administrative trades receive their trade training at No. 3 T.T.S., Taieri.

Officer training is given at Whenuapai; the training of N.C.O.s and general service instructors is centred at Taieri.

Activities During 1957.—No. 14 Squadron, which was stationed in Cyprus from late in 1952, was transferred to Singapore in April 1955. Under the command of Headquarters, Far East Air Force, it forms part of the Commonwealth's strategic reserve n the area. It operates in the day fighter/ground attack role with squadrons of the R.A.F. and R.A.A.F. During the year it took part in a number of operations against the terrorists in Malaya.

No. 41 Squadron, which moved from New Zealand to Singapore in May 1955, also forms part of the Commonwealth strategic reserve in the Far East. It operates in the medium-range transport role and is engaged on transport and courier flights within the area. In addition it takes part in operations in support of the ground forces in Malaya.

No. 40 Squadron operates in the long-range transport role and provides communications between New Zealand, the Far East, and the United Kingdom.

No. 5 Squadron, in Fiji, continued throughout the year to train in the maritime role and to provide search and rescue services in the area. Aircraft are detached as required from time to time to take part in combined exercises in the South-East Asia theatre.

Of the home-based squadrons, No. 75 is training in the day fighter/ground attack role. The formation of a fighter operational conversion unit early in 1955 relieved the squadron of responsibility for initial operational training, and it is currently engaged in advanced squadron training.

No. 42 Squadron operates as an internal communications squadron and also undertakes flights between New Zealand, Australia, and the Pacific islands. In addition, it carries out drogue-towing duties and the conversion training of pilots on to multi-engined aircraft.

The five territorial squadrons (Nos. 1, 2, 3, and 4 day fighter/ground attack, and No. 6 maritime) attended annual camps early in 1957 and continued training in their respective roles until they were disbanded later in the year.

As in the previous season, the R.N.Z.A.F. provided a measure of administrative support for American forces stationed in New Zealand in the summer of 1957-58 in connection with Operation Deep Freeze.

An R.N.Z.A.F. flight attached to the New Zealand Antarctic Expedition gave valuable service in aerial survey work and in dropping supplies for the ground parties on the Antarctic continent.

Strength of the Air Force.—The strength of the R.N.Z.A.F. at 31 March 1957 was—

Regular Air Force4,423
W.R.N.Z.A.F.367
Territorial Air Force457 (incl. 34 airwomen)
Territorial Air Force Supplement2,718
Active Reserve963
General Reserve6,416
Compulsory Military Trainees311
Task Force Units975

Air Force Expenditure.—The total expenditure of the Air Force for the year ended 31 March 1957 was £10,491.230. The comparable figure for 1955-56 was £9,669,434.

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 New Zealand component consisted of Army units and No. 14 Squadron, R.N.Z.A.F. Communication with New Zealand was maintained by No. 41 (Transport) Squadron, R.N.Z.A.F. The Army component served from 19 March 1946 to July-October 1948, with an earlier reduction in strength during 1947. The air courier service from New Zealand to Japan was in operation from March 1946 to June 1948. Further details of the New Zealand contingent of the B.C.O.F. in Japan may be found in the 1955 issue of the Year-Book.

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 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, left 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 and a small Force Headquarters as New Zealand's contribution to the reduced force. In 1957 the remaining force, except for a small liaison staff, was withdrawn to New Zealand.

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. From then until the Cease Fire two frigates were maintained in the area, each serving approximately twelve months before returning to New Zealand.

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. A more detailed account of the activities of the ships will be found in the 1955 issue of the Year-Book.

After the Cease Fire, New Zealand's naval contribution was reduced to one ship in the area with a second immediately available but maintained in New Zealand where it could be used for other duties. In addition, the ship in the Far East was placed under the administrative control of the Commander-in-Chief, Far East Station, and made part of the Commonwealth strategic reserve. Thus, while it still spent part of its time in Korean waters, it was also available for other duties.

Cyprus.—A fighter/ground attack squadron was stationed in Cyprus from the end of 1952 until March 1955 on training and garrison duties with the Middle East Air Force.

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 squadron left New Zealand in November 1955 and, after completing jungle and parachute training in the theatre, joined its parent unit early in 1956 in an operational role. Towards the end of 1957 this squadron was replaced by an infantry battalion. The New Zealand unit is 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 continues to maintain a frigate in the area.

STRENGTHS OF THE ARMED SERVICES: South African War.—Approximately 6,500 troops from New Zealand served in the South African War.

First World War, 1914-18.—A total of 124,211 persons (including 91,941 volunteers) were called up for overseas and home service prior to 12 November 1918. Of these 100,444 proceeded overseas. This total comprises 98,950 troops serving with the New Zealand Expeditionary Forces in the European, Mediterranean, or Samoan areas; 550 nurses; and 944 others (including 211 British Army Reservists, 541 Naval personnel, and 192 Royal Flying Corps personnel). In addition, it was known that 3,370 (not included above) left New Zealand and enlisted in British and Australian Forces, while others (exact numbers unknown) are known to have joined Canadian and South African Forces.

At Armistice date in November 1918 New Zealand had over 56,000 troops overseas, and a further 10,000 were ready to embark or in training.

The troops provided for overseas 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 and Post-war 1946-57.—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 1957 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
1955*2,8094,5714,76312,143798
1956*2,8324,3804,70111,913637
1957*2,9263,9074,79011,623653

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.—The following table gives particulars of casualties suffered on active service by members of the Armed Forces in the wars, etc., listed. For the Second World War the figures shown for 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 at the end of the period quoted.

Deaths (Including Died as Prisoner of War)Wounded and InjuredPrisoners of WarWounded and Taken Prisoner of WarInternedMissingTotal
* At 4 August 1919 this total comprised 16,688 deaths, 41,315 wounded, and 1 missing.
South African War, 1899-1902228166    394
First World War, 1914-1918 (up to 12 November 1918)—
    1 N.Z.E.F.16,30241,262356  8458,004*
    Samoa2     2
    Nurses13     13
Totals16,31741,262356  8458,019
Second World War, 1939-45 (up to 31 December 1946)—
    Navy57317054 3 800
    Army6,79315,3246,6441,219 4630,026
    Air Force4,14925552032"23 4,979
    Mercantile Marine110   123 233
Totals11,62515,7497,2181,2511494636,038
Jayforce (up to December 1948)11     11
Korea (up to December 1954)—
    Navy21    3
    Army37791   117
Totals39801   120

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, including Armentieres, Somme, Arras, Messines, La Basseville, Passchendaele, German offensive, Lys, Champagne, and British offensive.

A total of 98,950 troops left New Zealand for service with the New Zealand Expeditionary Forces, and, of these, over 16,300 lost their lives on active service. In addition to the 98,950 of all ranks of the New Zealand Expeditionary Forces and 550 nurses, 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.

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.

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 Marleme 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: Orsogna (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 non-commissioned 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.—The Navy began the war as the New Zealand Division of the Royal Navy and ended it as a National Service; in 1941 His Majesty King George VI was pleased to approve the proposal that the Division should become the Royal New Zealand Navy.

The Navy's war operations can be divided into three general sections: the operation of two cruisers, an armed cruiser, and a number of anti-submarine vessels overseas; the defence of New Zealand; and the provision of men for the Royal Navy and its Fleet Air Arm.

Of the cruisers H.M.N.Z.S. Achilles took part in the River Plate action in which the pocket battleship Admiral Graf Spee was destroyed. Achilles was subsequently active in the Pacific. H.M.N.Z.S. Leander spent the early part of the war on patrol and escort duties, during which she sank the Italian raider Ramb I. She was torpedoed during the Battle of Kolombangara in the Guadalcanal area on 13 July 1943 and suffered 43 casualties. H.M.N.Z.S. Gambia eventually succeeded Leander, and she and Achilles operated with the British Pacific Fleet in the final stages of the war in the Pacific. The armed merchant cruiser was H.M.N.Z.S. Monowai, which was commissioned in August 1940 and employed for two and a half years on patrol, escort, and transport duties in the South Pacific. Other overseas service was seen by minesweepers which escorted convoys on their passage to New Zealand from the United Kingdom and which on arrival were formed into the 25th A/S, M/S Flotilla which operated in the Solomon Islands.

Local defensive measures included the provision of harbour defence craft and the conversion of trawlers to minesweepers. In addition to conversions and overseas purchases, 11 anti-submarine minesweeping trawlers and 12 Fairmile motor launches were constructed in New Zealand. In all, local defence involved 40 minesweeping and anti-submarine vessels, 12 Fairmile launches, 16 harbour defence launches, and about 100 other motor boats.

About 7,000 New Zealanders served in the Royal Navy, with a peak of 1,242 officers and 3,659 ratings in September 1944. They served in every type of ship and in every theatre of war and they also formed an unusually high percentage of the aircrew of the Fleet Air Arm. There were 458 deaths, the greatest single loss occurring with the loss of the cruiser H.M.S. Neptune by mines in the Mediterranean on 18-19 September 1941 when 2 officers and 148 ratings lost their live.

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 dudes 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 1957 the total number of members was twenty. 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 1957 was 9.

Another legislative measure of importance in rehabilitating discharged servicemen is 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 enable regulations to be made for the rehabilitation and protection of servicemen and dependants of servicemen who served overseas in connection with any emergency under the United Nations Charter or otherwise.

The Emergency Forces Rehabilitation Regulations 1953, and amendments, define the classes of ex-servicemen who can be considered for rehabilitation assistance under the Emergency Forces Rehabilitation Act and authorize the Rehabilitation Board to determine the nature and extent of the assistance to be granted within the limits prescribed in the regulations. The regulations also extend to widows, widowed mothers, and children of ex-servicemen, and, in addition, make provision for financial assistance to ex-servicemen while serving. The general provisions of Part I of the Rehabilitation Act 1941 and its amendments as to the Board and its powers apply, except in so far 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 accordingly. These adjustments have resulted n closing of all except three departmental district offices and the cessation of operations at the Board's full-time training centres with a consequent reduction in staff.

Components of the organization which have been retained are the portfolio of Rehabilitation, the Rehabilitation Board, and the Rehabilitation Council. The original Rehabilitation Committee organization of 114 committees has been replaced by one consisting of a limited number of District Rehabilitation Committees comprised of representatives of towns or communities within the respective districts. Farming Sub-committees of the Rehabilitation Board were absorbed into re-constituted Land Settlement Committees from 1 April 1954.

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, Wellington, and Christchurch.

With the reduction in demand for rehabilitation benefits, the provision of initial rehabilitation assistance has been substantially completed in all fields except land settlement and housing, and decisions terminating the availability of various forms of assistance in so far as they apply to ex-servicemen of the Second World War have been made from time to time.

No time limits have been fixed in respect of the availability of any rehabilitation assistance for (a) children of deceased and totally incapacitated ex-servicemen, or (b) 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

For other ex-servicemen of the Second World War the present position is as follows. Applications for the following types of assistance have already closed for (a) initial applications for farm settlement; (b) trade-training assistance; (c) initial applications for educational assistance; and (d) preferential allocation of State rental houses. Tools of Trade loans are no longer available and the preferential quota of State rental houses was abolished as from 30 September 1956.

Other forms of assistance will not be available after the date shown:
Business loans and related assistance31 March 1958
Housing loans and related assistance31 March 1959
Furniture loans31 March 1959
Miscellaneous loans and forms of assistance31 March 1958

The number of graded ex-servicemen still awaiting rehabilitation land settlement assistance is such that a final date cannot yet be fixed for the continued availability of this form of assistance. No new applications, however, are accepted for grading from ex-servicemen of the Second World War.

Notwithstanding the continued lessening in the demand for rehabilitation assistance and the closing of certain forms, the work of attending to post-settlement problems will continue for a considerable time and forms a major part of the Board's administration.

None of the above decisions has any force in respect of ex-servicemen eligible under the Emergency Forces Rehabilitation Regulations, but during 1956 time limits were fixed within which these ex-servicemen also must lodge their applications for certain forms of rehabilitation assistance. Those who require farm training or settlement, preferential allocation of a State rental house, for which purposes a 25 per cent quota of State rental houses has been retained, educational or trade training assistance, or tools of trade loans, must make their applications within twelve months of the date of their discharge from the Emergency Forces, or their return to New Zealand, whichever is the earlier. Those who returned before 31 March 1957 have up to 31 March 1958 to lodge their applications.

The types of assistance listed are those which ex-servicemen can usually be expected to seek within a short time of their discharge from the forces. Housing and furniture loans and loans for establishment in business are in a different category, and no time limit affecting these forms of assistance has been fixed in the meantime.

Special provisions exist to ensure that rehabilitation assistance will continue to be available to all ex-servicemen whose rehabilitation may at any time be interrupted or become necessary as a result of disability arising from service with Emergency Forces.

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 not affected by time limits 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 1957.

TradeUnder TrainingCompleted TrainingTotal
Carpentry23292315
Joinery28284
Plumbing22251273
Bricklaying23335
Painting and paperhanging1202203
Plastering58085
Other building trades 4141
Clerical and professional 436436
Engineering and metal trades2577579
Electrical trades5264269
Foodstuffs 114114
Footwear and leather trades 176176
Furniture trades3381384
Motor trades6454460
Other mechanical trades 4949
Printing199100
Retail trades 372372
Roof-tiling 66
Textile and clothing trades 177177
Miscellaneous trades 162162
Totals724,2484,320

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 term 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 1957, 1 ex-serviceman was undergoing training under this scheme, 3,408 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 510 men had completed their training by 31 March 1957. Fifty 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. 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 after-care 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 and, in addition to their statutory functions, have taken over the functions previously exercised by Farming Sub-committees of the Rehabilitation Board.

Acceptance of Applications.—Provision is made for discharged servicemen from the Emergency Forces who were engaged continuously in farm employment before service, but otherwise no new applications for farm grading have been accepted since 31 March 1951, except in special circumstances.

The Training Scheme.—Those eligible applicants who did not measure up to "A" Grade standard were given every facility and encouragement 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 was provided for student-trainees placed at Canterbury and Massey Agricultural Colleges. The majority of the men selected for these courses had a background of practical experience, and short courses at the colleges 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 1957.

Class of SettlementNumber
Settled on single units by Rehabilitation Loans Committee8,492
Settled on land settlement blocks by Rehabilitation Loans Committee2,929
Settled on land settlement blocks, financial adjustments yet to be made218
Employed by Department of Lands and Survey with promise of titles23
Settled on single units and blocks through Maori Rehabilitation Finance Committee150
Employed by Department of Maori Affairs on single units and blocks with promise of title16
Settled without rehabilitation assistance on freehold, Crown, and private leasehold properties1,052
Maori ex-servicemen assisted by Department of Maori Affairs under Maori Land Amendment Act 193689
Total settled12,969
Number of "A" Grade ex-servicemen awaiting settlement707

The area of land acquired for the settlement of ex-servicemen up to 31 March 1957 was 2,068,498 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 Universities and some private institutions and colleges include all tuition and examination fees, together with a book allowance. Subsistence allowances for the academic period are also granted at the rate of £9 10s. per week for married men and £5 5s. 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 £7 and £2 per week are paid to married and single men respectively.

Assistance for part-time study at Universities. 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 a limited sum, 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 1957 arc contained in the following table.

FacilitiesEx-OverseasEx-Home ServiceTotal
Full-time assistance—
    (a) In New Zealand3,3092833,592
    (b) Overseas7478755
Part-time assistance14,1012,74216,843
Renewals—
    (a) Full-time4,1802904,470
    (b) Part-time22,3423,01525,357
Miscellaneous facilities2,8953513,246
Totals47,5746,68954,263

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 £50 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 15s. per week to £5 5s. 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 £5 net per week where requited to live away from home or £3 15s. 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 10s. 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

* Above these limits it is normal to ask the ex-serviceman to contribute on a £1 for £1 basis and, more recently, and in suitable cases, to ask for less than the £1 for £1 contribution.

† This limit applies where there are no children. The limit increases with the number of children to a maximum of £2,600 where were are four or more.

 £Per Cent
(a) Tools of trade50Free
(b) Furniture100Free
(c) Business5004
(d) Farms—
    Going concerns—
        Dairy5,000*3
        Sheep6,250*3
    Stock and plant only—  
        Dairy1,5004
        Sheep or mixed2,5004
(e) Houses—
    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 1962 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 me 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 1957, and the totals to 31 March 1957, are as follows.

Class of LoanYear Ended 31 March 1957Totals to 31 March 1957
NumberAmountNumberAmount
 £ £
Purchase of farms, etc.2933,467,17011,35165,414,389
Housing2,1844,189,61153,88976,404,515
Tools of trade2501,47948,836
Furniture60758,11362,6475,872,901
Business10785,58311,4327,439,888
Miscellaneous  666131,707
Totals3,1937.800.527141,464155,312,236

Rehabilitation expenditure (including loan authorizations) for the year ended 31 March 1957, together with the totals to 31 March 1957, was as follows.

£
ItemTo 31 March 1956 From OutsetYear Ended 31 March 1957To 31 March 1957 From Outset
Administration expenses, Including advertising, etc.3,150,67549,8143,200,489
Educational facilities, including books, tuition fees, and subsistence allowance1,742,1989,5781,751,776
Trade training—
    Grants to Disabled Servicemen's Re-establishment League287,7479,735297,482
    Land and buildings for trade-training schemes, Disabled Servicemen's Re-establishment Leagues, etc.278,1642,412280,576
    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)1,537,89716,8101,554,707
    Purchase and establishment of artificial-limb factories31,695831,703
    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 Board (includes establishment and operational charges, trainees' wages, separation allowances ana travelling expenses, tools, plant and equipment)5,860,264 5,860,264
    Training of blinded ex-servicemen106,3322,650108,982
 8,304,78831,6158,336,403
Farm training and settlement (excluding loans)—
    Farm training, including fees and subsistence allowance at approved agricultural colleges and training farms and subsidy to approved employers484,6411484,642
    Purchase of lands for settlement, development, and other expenses in connection therewith (excluding £22,489,294 recovered from Rehabilitation Loans Committee and appearing under "Loans")30,792,5731,624,77932,417,352
Loans—31,277,2141,624,78032,901,994
    Interest concessions6,255,891834,4647,090,355
    Loans authorized (Maori Rehabilitation Finance Committee)2,072,150267,7172,339,867
    Loans authorized (Rehabilitation Loans Committee)147,511,7097,800,527155,312,236
    Reserve Fund contributions2,013,87797,1812,111,058
    Small Farms Act leases: Losses and interest concessions55,327 55,327
    Suspensory loans (Maori Rehabilitation Finance Committee)59,60519,20878,813
    Suspensory loans (Rehabilitation Loans Committee)3,793,393277,0854,070,478
    Earthquake damage insurance258211469
Grants—161,762,2109,296,393171,058,603
    Rehabilitation allowances431,885 431,885
    Special grants to ex-servicemen106,304371106,675
    Special grants to Returned Services' Associations62,0411,76063,801
    Travelling expenses of ex-servicemen, including fares, furniture removals, and loss of earnings42,6122142,633
 642,8422,152644,994
Plans and specifications, including plan service4,039 4,039
Other items5,670 5,670
Totals206,889,63611,014,332217,903,968

Business Assistance for Ex-servicemen.—In addition to the loan facilities available to assist ex-servicemen 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 1957.

TypeNumberAmount
  £
Butchery267231,162
Grocery, general store775683,151
Bakery, dairy, refreshment rooms481338,208
Stationery, fancy goods132100,394
Radio dealer, electrician282157,726
Hairdresser, tobacconist14376,515
Bootmaker16957,649
Chemist3944,380
Manufacturing business343227,274
Eggs, poultry, etc.4427,673
Milk rounds376313,070
Hotels, guesthouses4447,788
Fishing ventures12079,384
Agricultural contractors453326,536
Taxi, service car, and transport2,4001,329,787
Carrier and mail contractors1,4191,075,596
Building and related trades1,386675,070
Mechanical trades534367,490
Professional services1,055547,480
Miscellaneous970707,437
Additional advances 26,118
Totals11,4327,439,888

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 1957, 129 State rental houses and flats were allocated to ex-servicemen, making a total allocation to 31 March 1957 of 18,233.

The number of loan authorizations for the erection of new homes during the year ended 31 March 1957 was 1,331, making a total of 24,699 to 31 March 1957.

Loans for the purchase of existing dwellings were authorized in 853 cases in 1956-57, while the total up to the end of that period was 29,190.

MAORI REHABILITATION.—The following table gives particulars of assistance afforded to Maori ex-servicemen up to 31 March 1957. 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 1957, 5,338 Maori ex-servicemen had been demobilized, of whom 3,937 had served overseas.

Type of AssistanceNumber of Ex-servicemenAmount Authorized
£
Loans—
    Farm2001,100,594
    Housing1,032516,824
    Furniture1,395137,548
    Business243106,983
    Tools of trade622,033
    Miscellaneous628,212
Totals, loans2,9942,872,194
Educational assistance154 
Trade training—
    "A" Class 673
    "B" Class 60
    "C" Class 8
    "D" Class 68
    "F" Class 3
Total, trade training 812
Farm training 280
Total number assisted 4,240

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 Division for the year 1956-57 numbered 516, the total to date being 215,805.

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. The information in this and the two following subsections gives an outline of the external trade of New Zealand. This does not include, however, the Cook Islands and Niue, which, though constitutionally part of New Zealand, are treated separately for trade statistics purposes, nor does it include the Trust Territory of Western Samoa. For more detailed data relative to the external trade of the territories comprising the New Zealand currency area the reader is referred to the following publications:—

"Statistical Report on the External Trade of New Zealand, Part A, Exports; Part B, Imports"—published annually by the Customs Department.

"Report on and Analysis of the External Trade Statistics of New Zealand"—published annually by the Department of Statistics.

"Trade, Commerce, and Shipping of the Territory of Western Samoa"—published annually by the Administration of the Trust Territory.

"Reports on the Cook, Niue, and Tokelau Islands"—New Zealand parliamentary paper A. 3.

"Report on Western Samoa"—New Zealand parliamentary paper A. 4.

Some information is also included in Section 43 of the Year-Book dealing with Island Territories.

In the subsections dealing with exports and imports, information is given regarding the nature of the transactions which are included in the made statistics, there being particular inclusions and exclusions which require to be considered when using the figures.

Of considerable consequence in the use of external trade statistics are the methods used in valuing the commodities comprising the trade. In New Zealand it has always been the practice to record exports at free-on-board (f.o.b.) values, except during the Second World War when a departure from this procedure was effected in respect of wool exports. Wool was valued for export at the appraisal prices and as the prices later realized were higher than the appraisal prices, and New Zealand shared in this profit, export values for the years concerned were 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—(cost including freight and insurance). 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 statistical class totals and the grand total of imports on the c.i.f. basis. Since the introduction of the Standard International Trade Classification in 1955, division totals have replaced class totals but all totals are still given on the c.i.f. basis. A description of the changed classification appears later in this Section.

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 changes 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.

Up to the end of 1948 the processing of New Zealand trade statistics was performed by manual clerical means. Since that date mechanical methods have been used. Monthly summaries of the principal items of exports and imports are prepared and passed to the Department of Statistics which publishes this information in the Monthly Abstract of Statistics. The exports recorded relate to goods on vessels which have cleared their final port of call in New Zealand during the period, save that, to facilitate the flow of work through the Customs Department's accounting machines, the figures for each month are in fact closed off before the end of the calendar month. Although what is published as a calendar month's transactions is not precisely the month's operations, the omissions at the end of the month are balanced by the amount carried forward from the end of the previous month. As the whole of the holiday period at Christmas and New Year is included in the January accounting period the figures for that month are usually low. As the goods loaded on a vessel for export are not recorded as exported until the vessel actually departs from New Zealand it is possible for portions of the cargo, which have been loaded at ports along the coast, to have been on board the vessel for some time before actually being recorded as exports.

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.

New Zealand trade statistics are compiled on a calendar year basis. Special tables are, however, prepared to show the values of trade during years ended 31 March and 30 June. The Government financial year ends on 31 March, and external trade tables drawn up for that period show the relationship between the trade transactions and the public accounts for the year. In New Zealand the farm production year fits reasonably well to the year ended 30 June, and trade statistics compiled for years ended 30 June accordingly include the export values of a whole season's production from the pastoral and agricultural industries.

In the following table are given the values of the export and import trade for years ending 31 December, 31 March, and 30 June. From 1929 until 20 August 1948 New Zealand currency was at a discount on sterling. Accordingly, valuations in both currencies are given for the earlier years shown in the table. The movement of specie is not included in these figures.

£(000)
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.
 New Zealand CurrencySterling Currency
YEAR ENDED 31 DECEMBER
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..183,752157,943143,585..
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
1954244,466..213,155245,820244,466..213,155245,820
1955259,289..250,661287,134259,289..250,661287,134
1956277,813..234,779268,415277,813..234,779268,415
1957276,079..262,599296,570276,079..262,599296,570
YEAR ENDED 31 MARCH
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
1955235,008..226,769259,773235.008..226,769259,773
1956278,776..245,692281,455278,776..245,692281,455
1957256,064..236,875270,374256,064..236,875270,374
YEAR ENDED 30 JUNE
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
1955239,747..241,639277,211239.747..241,639277.211
1956270,663..241,782276,848270,663..241,782276,848
1957277,933..243,229276,681277,933..243,229276,681

TRADE PER HEAD.—The next table shows the value of exports, imports, and total trade 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.

† Provisional.

 £s.d.£s.d.£s.d.
19363607281116426
19374119235657757
193836683491070166
1939351211306665195
194045092918674193
194141763021171105
1942491163216118285
194343189584710234
19444619752379932
194548353210280137
194657116401369850
19477119571109143102
1948801157012150127
1949781396427142164
1950965082148178198
1951127811061023391
19521201031141811*23592*
19531152579172194197
19541161311101150218811
1955121451173923882
195612755107112234167
195712313211712524157

When compared with the value of trade per head of population in other countries, the New Zealand figures take a leading place. There are difficulties in the way of making precise comparisons with the values of trade in other countries, mainly on account of differing methods of valuation used. In the following table, however, New Zealand's position is shown in comparison with the main countries with which trade is conducted. The source is a United Nations publication providing data on trade values using the c.i.f. basis for the valuation of imports. For comparative purposes the c.i.f. basis has been used to value New Zealand imports, and therefore the figure given below as a value for New Zealand trade per head of population exceeds that given in the last table.

VALUE OF TOTAL TRADE PER HEAD OF MEAN POPULATION 1956
£(Stg.)
CountryTotal External Trade Per Head
Belgium-Luxemburg253
New Zealand250
Canada239
Netherlands216
Norway205
Sweden203
Hong Kong199
Denmark194
Venezuela188
Malaya155
Switzerland152
Finland138
Australia137
United Kingdom135
Trinidad and Tobago114
Republic of Ireland100
German Federal Republic97
Austria93
France83
United States of America67

VISIBLE BALANCE OF TRADE.—In the early days of New Zealand overseas trading the value of imports regularly exceeded that of exports. The impetus given to the export trade by gold production in the 1860's was accompanied by increased imports, and it was not until the export trade was boosted by the introduction of refrigeration for the carriage of meat that exports were built up to a value to exceed imports. From 1885 onwards there have been few years in which an unfavourable trade balance has been shown. As was explained earlier, from 1952 onwards imports have been recorded for statistical purposes at c.d.v. only, but action was taken also to record the c.i.f. valuation of the total import trade. Accordingly a refinement can be introduced from that date which shows the visible balance of trade in a more realistic light. In the following table the valuation of imports used is c.d.v. plus 10 per cent (which is the valuation on which customs duties are paid), up to 1951, and c.i.f. for the subsequent years.

£(000)
YearVisible Excess of Exports

* Excess of imports.

† As from 20 August 1948 New Zealand currency was appreciated to parity with sterling.

‡ Provisional.

 N.Z.Stg.
193710,5538,476
9382,9542,373
19398,6626,929
194024,74319,795
194118,31214,650
194227,42921,943
1943−23,380*−18,704*
1944− 8,610*− 6,888*
194526,54321,234
194629,73123,785
1947779623
194819,28714,449
194927,24727,247
195025,80925,809
195141,59441,594
1952−35,655*−35,655*
195343,68043,680
1954− 1,354*− 1,354*
1955−27,845*−27,845*
19569,3989,398
1957−20,491*−20,491*

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.

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.

DIRECTION OF TRADE.—The progress which has been made in the economic development of New Zealand in the course of the last century has resulted in considerable change in the geographical distribution of its trading. In the early years of the colony almost all trade was with Australia, but in the 1850's direct trading with the United Kingdom developed. There has been a gradual spreading of the trade until today there are some exports to almost every country in the world, although the bulk of export trade is still concentrated in a few countries.

Since the Second World War the most noticeable feature in the changing pattern of New Zealand's overseas trade has been the resurgence of trade with the European countries. Separate tables are provided in the next two subsections showing the proportions of export and import trade with the main countries during the last ten years. In the following table, however, is illustrated the general changing pattern of the geographical distribution of New Zealand's overseas trading since the Second World War.

Per Cent
YearUnited KingdomOther Commonwealth CountriesEuropean CountriesOther Countries
Proportions of Export Trade
194776.667.508.407.44
194873.306.6014.145.96
194973.386.0515.235.34
195066.446.2715.7011.59
195157.577.4020.7914.24
195265.336.7212.7015.25
195367.216.0916.1810.52
195466.986.8318.158.04
195565.597.2219.507.69
195664.477.3519.009.18
Per Cent
YearUnited KingdomOther Commonwealth CountriesEuropean CountriesOther Countries
Proportions of Import Trade
194742.7630.535.6721.04
194852.4127.215.2315.15
194955.1326.004.1714.70
195060.0622.544.0613.34
195153.5924.736.8414.84
195254.9121.269.4114.42
195356.4524.927.8810.75
195456.6323.937.7111.73
195554.9923.718.5712.73
195653.7325.078.4712.73

The following table shows for the year 1956 the values 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 and in country of origin. 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 in most cases be valued c.i.f. in the given country and New Zealand's imports f.o.b. in that country.

These systems, however, are not universally used, and the methods of valuation in any particular country with whose trade statistics any comparison is attempted must be considered separately.

TRADE BY COUNTRIES, 1956
£(N.Z.)000
CountryExportsImports
New Zealand ProduceTotalBy Country of PurchaseBy Country of Origin
United Kingdom178,546179,114129,226126,144
Aden22406911
Bahrain..32,9603,191
North Borneo1187
Ceylon1101102,2162,222
Malaya5355453,2393,179
Hong Kong2212591,005942
India1,5051,5323,3593,458
Pakistan14148888
Sarawak..311428
Ghana4848248461
Kenya and Uganda1819297305
Rhodesia-Nyasaland Federation1411411516
Tanganyika88237255
Union of South Africa3593749891,011
Bahamas6868....
Barbados222222....
Bermuda1641641..
British Guiana92922226
Canada4,0164,0266,2986,258
Jamaica947947247247
Leeward and Windward Is.3838..2
Trinidad and Tobago991991184183
Australia7,8748,43433,76533,305
Fiji1,0681,3241,5231,463
Gilbert and Ellice Islands4960137152
Nauru4157592631
Tonga2833056363
Western Samoa508560274259
Other Commonwealth countries6060203195
            Totals, Commonwealth countries197,929199,521187,716185,002
Republic of Ireland124131911
Austria1818351368
Belgium and Luxemburg5,7255,7261,9762,109
Czechoslovakia1,7761,776339346
Bulgaria163163....
Denmark437437298306
Finland1271275455
France16,75916,7611,8231,945
German Federal Republic10,37210,4016,4386,591
Germany, Eastern....5060
Greece75875845
Italy6,6336,6351,4221,485
Netherlands4,5784,6172,0922,086
Norway5252659673
Poland2,2102,2103340
Portugal7979188194
Rumania9393....
Spain2121112143
Sweden7057081,8211,835
Switzerland1441481,4341,548
Russia (U.S.S.R.)2,0492,0491433
Burma10810834
China131131129325
Indonesia..166,1266,311
Iran....7771,584
Iraq55103111
Japan2,6792,6792,2042,237
Philippines2012015252
Saudi Arabia22406505
Belgian Congo9393..3
Tunisia....82101
Egypt65665623
French Morocco202111
Mozambique2222....
Brazil113770
Chile2256100
Colombia5454..1
Mexico122122521
Netherlands Antilles283283386389
Panama2072071..
Peru464611
United States of America19,44219,50417,30417,804
Uruguay3435....
American Samoa114114....
Hawaii197198....
French Oceania....5454
Society Islands13013698
Remaining countries4651208259
            Totals, foreign countries77,41877,59747,06349,777
Ships' stores82696....
            Grand totals275,429277,813234,779234,779

Attention is drawn here to changes made in the list of countries used in the recording of New Zealand trade statistics in 1955 concurrently with the introduction of the Standard International Trade Classification. Major changes consisted of breaking down several country titles used in the past to their several constituent parts—e.g., British West Africa is now treated under the separate headings of Gambia and Sierra Leone, Ghana, and Nigeria; British West Indies is now treated under the headings of Bahamas, Barbados, Jamaica, Leeward and Windward Islands, Trinidad and Tobago; British Borneo is now treated under the headings of Brunei, Sarawak, and North Borneo. It is accordingly not possible in all cases to make comparisons between country trade data for 1955 and earlier years. In the cases of the countries mentioned above it is necessary to add together the figures for the separate units for 1955 or subsequent years to make a comparison with 1954, and no data are available to give an earlier comparison with the trade of a separate unit comprised in one of the older headings used.

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.

The next table shows the values of New Zealand's trade with the various currency areas during the last five years. In this table imports are valued on the c.d.v. basis.

£(000)
YearExports (Excluding Ships' Stores)Imports
According to Country of OriginAccording to Country of Purchase
Sterling Area
1952170,819166,810171,941
1953170,459130,929132,812
1954177,356167,459169,721
1955184,349189,051192,081
1956195,729178,870181,533
Dollar Area
195233,49029,81528,827
195322,43015,08914,615
195418,06922,52421,498
195520,36229,72028,651
195624,43624,21723,734
O.E.E.C. Countries
195227,73921,92619,774
195334,53612,55611,976
195439,39918,08117,557
195544,48421,76620,837
195646,91919,75819,075
Other Countries
19527,49210,8978,905
19537,7305,0394,210
19548,9755,0914,379
19559,46410,1249,092
195610,03411,93410,436
All Countries
1952239,540229,447229,447
1953235,354163,613163,613
1954243,799213,155213,155
1955258,660250,661250,661
1956277,177234,779234,779

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, for the quarter ended December 1954 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.

£N.Z.(000)
ReceiptsPaymentsSurplus (+) or Deficit(−)
ExportsTotal (Including Other)ImportsGovernmentOther PaymentsTotal
PrivateGovernment Debt and Other Services
Calendar year—
    1947129,045164,521115,19056,39818,881190,469−25,948
    1948145,270174,568108,18946,57925,232180,000−5,432
    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
    1955253,081294,105246,36220,68217,78635,812320,642−26,537
    1956282,112324,333229,68027,09812,85645,827315,462+ 8,871
    1957284,592328,584268,06830,50718,01244,175360,762−32,178
Quarter ended—
    1954—Dec.38,88357,71462,1564,8824,7759,21981,031−23,317
    1955—March72,28885,79159,4806,8513,0327,35276,715+ 9,076
                June70,55785,41459,4623,6846,9359,50279,583+ 5,831
                Sept.56,87060,30561,8154,5423,0209,72479,101−18,796
                Dec.53,36762,59565,6045,6054,7999,23485,242−22,647
    1956—March92,556101,33655,2138,4543,15313,72880,549+20,787
                June78,63190,27256,0085,8481,95811,02274,837+15,436
                Sept.52,70562,61758,5916,8583,44510,85879,752−17,136
                Dec.58,22070,10859,8695,9374,30110,21880,324−10,216
    1957—March85,89198,05759,83310,6315,0659,84885,377+ 12,680
                June89,579100,11659,9595,2382,36310,99778,556+ 21,559
                Sept.56,97667,40972,8987,1524,44910,98095,478−28,069
                Dec.52,14563,00375,3787,4866,13512,351101,351−38,348

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 all the items listed in 1950 and subsequent years following 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.

£N.Z (million)
Transactions With19561957
Six Months Jan.-JuneSix Months July-Dec.Six Months Jan.-JuneSix Months July-Dec.
United Kingdom—
    Receipts—
        Exports108.370.5108.863.7
        Total123.286.5120.974.1
Payments—
        Imports89.485.193 2108.4
        Total114.3102.7110.6129.0
Surplus (+) or deficit (−)—
        On trade transactions+ 18.8−14.7+ 15.6−44.7
        On all transactions+ 9.0−16.2+ 10.2−54.9
Sterling Area—
    Receipts—
        Exports115.979.1117.172.0
        Total135.099.2135.188.3
    Payments—    
        Imports106.9109.2115.2135.7
        Total138.0133.2138.8163.9
Surplus (+) or deficit (−)—    
        On trade transactions+9.0−30.1+ 1.9−63.7
        On all transactions−3.0−34.0−3.7−75.7
Dollar Area—
    Receipts—
        Exports18.18.914.812.8
        Total24.010.316.414.9
    Payments—    
        Imports12.314.412.816.8
        Total15.318.116.521.1
Surplus (+) or deficit (−) on all transactions+ 8.6− 7.8−0.1−6.2
Non−Sterling European Payments Union countries and possessions—
    Receipts—
        Exports28.219.132.117.6
        Total28.719.435.120.6
    Payments—
        Imports5.46.36.48.8
        Total5.87.17.19.7
Surplus (+) or deficit (−) on all transactions+22.9+ 12.3+28.0+10.9

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.

The figures on page 303 show the fluctuations that have occurred during the past 11 years in the value of imports. They bring out, too, New Zealand's heavy annual deficit on transactions (particularly "invisibles") with the sterling area, mainly United Kingdom and Australia, which is offset by a surplus on transactions with other currency areas. The nature of the "invisibles" is apparent in the next table giving detailed figures for the 1956 and 1957 calendar years.

ItemYear Ended 31 December
19561957
ReceiptsPaymentsReceiptsPayments
Merchandise—
    Exports282,112..284,592..
    Licensed imports..31,779..34,429
    Decontrolled imports..194,737..228,526
    Government imports..27,098..30,507
    Other imports..3,260..5,246
                    Totals, merchandise282,112256,874284,592298,707
Transport—
    Freights, fares, ships' charters3,8666,3376,3818,697
Travel—
    Private and business (exclusive of fares)2,8616,8093,4736,466
Insurance—    
    Insurance, reinsurance, other transfers1,3081,6761,7782,254
International investment income—
    Interest, dividends, and other private investment income5,4057,0685,3027,683
    Interest on Government and local authority loans..3,535..3,908
                    Totals, international investment income5,40510,6035,30211,591
Government transactions—
    Current expenditure by New Zealand Government overseas..6,154..9,172
    Current receipts by New Zealand Government and expenditure by other Governments in New Zealand1,426..1,962..
                    Totals, Government transactions1,4266,1541,9629,172
Miscellaneous current transactions—    
    Commissions, royalties, rebates, etc.1,4943,0711,7512,765
    Films and entertainments..937..904
    Unilateral transfers (migrants' transfers, personal remittances, charitable, legacies, etc.)7,7357,9648,8618,769
    Expenses of business firms6184,4905874,430
    Other current transactions4611,0806541,126
                    Totals, miscellaneous currents transactions10,30817,54211,85217,993
Capital transfers—    
    Private6,6933,1336,4032,962
    Government10,2821,5916,7402,407
    Local authority..6..513
                    Totals, capital transfers16,9754,73013,1445,882
    Unidentified73..103..
    Net exports and contra prepayments..4,736....
                    Grand totals324,333315,462328,587360,762

INDEX NUMBERS OF VOLUME OF EXTERNAL TRADE.—Index numbers of volume of external trade are now published on the base: 1952 (= 100). The figures given in the following table refer only to calendar years, but quarterly figures are 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.

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: 1952 (=100)
Calendar YearExportsImportsTotal Trade
New Zealand ProduceTotal Exports
Dairy ProduceMeatWoolTotal
194770838983836674
194872839786866575
194982859990896778
195081839086868083
195186727276768983
1952100100100100100100100
195392888990907683
195478999090909995
19558599969494118106
19569310597100100108104

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 1947-56, on base: 1952 (= 100).

VOLUME INDEX NUMBERS OF EXTERNAL TRADE. Base: 1952 (=100)
YearExportsImportsTotal Trade
1947545152
1948615156
1949614854
1950766369
19511038292
1952100100100
1953987184
19541029397
1955107109108
1956115102109

IMPORT AND EXPORT PRICES AND TERMS OF TRADE.—Descriptions of the index numbers of export and import prices compiled in New Zealand and of the terms of trade are given in Section 36, together with the index numbers.

CLASSIFICATION OF TRADE STATISTICS.—From the commencement of the recording of commodities entering the external trade up to 1915 no classification of these commodities was used. Trade statistics were published merely as alphabetical lists of the goods imported and exported. In 1914 a classified grouping was introduced whereby the commodities were arranged under 23 class headings comprised of approximately 1,000 items. With minor variations this scheme was continued in use until 1948. In 1949 the Customs Department installed mechanical means of compiling trade statistics, and a new classification was introduced whereby trade commodities were grouped into 31 classes composed of approximately 2,900 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.

New Zealand adopted the Standard International Trade Classification as from 1 January 1955, and from the same date this classification was put into effect for recording the external trade of the Cook Islands and Niue.

Following the use of the new classification it has been necessary to make changes in some of the tables presented in the subsections dealing with exports and imports, and accordingly comparisons cannot be made between some of the tables now given and those presented in earlier issues of the Year-Book.

MOVEMENT OF SPECIE.—There is no mint in New Zealand and all new coin is imported from the Royal Mint in England. In Section 32 dealing with Banking and Currency is a description of the coinage in use in New Zealand. The movement of specie to and from New Zealand is recorded in the trade statistics, but the value is not included in the totals of merchandise exports and imports. All records of specie are at face value.

The following table shows exports and imports of specie stated at face value for each of the ten years 1947-56.

£(N.Z.)
YearSpecie ImportedSpecie ExportedExcess of Specie Imports (+) or Exports (−)
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
195421,3607,573+ 13,787
195543,72613,255+ 30,471
195612,0272,463+ 9,564

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 prohibited the import of goods except under a licence or an exemption (e.g., Government imports). The Export Licences Regulations provided (with minor exceptions) that an export licence must be obtained before goods could be exported. In addition the requirement of an export permit was introduced by the Export Prohibition Emergency Regulations 1939, which have since been replaced by the Export Prohibition Regulations 1953.

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 Regulations 1953 is to control the export of essential goods in short supply, of goods on which subsidies have been granted, and of goods shipped to strategic destinations.

Import Selection—A summary of the history of import licensing from its inception in 1938 to 1957 will be found in the 1955 to 1957 issues of the Year-Book.

The 1958 Import Licensing Schedule, as initially released in August 1957, continued the trend towards reduction in the items subject to import licensing. Ten further items were added to the list of world exemptions, the most notable being industrial, mining, and servicing machinery. Four others - cement (other than coloured), certain types of sanitaryware, Chinese crackers, and lead bends and traps - were exempted from licensing if imported from non-scheduled countries. At the same time increased provision was made for motor vehicles.

On 1 January 1958, because of New Zealand's balance of payments problem, the Government found it necessary to restore import licensing control on virtually all private imports. The 1958 Licensing Schedule was withdrawn and a new one issued. Practically all exemptions from import licensing were withdrawn (main exceptions were passengers' effects, Island products, and official supplies for diplomatic representatives). However, goods that had been ordered under items previously exempt, and which were shipped from the country of export to New Zealand not later than 31 December 1957, were admitted without a licence. In addition, all licences issued up to that time to import during 1958 were revoked and licences were issued in accordance with the new Schedule. Where goods were imported against an old 1958 licence or shipped to New Zealand from the country of export not later than 31 December 1957, they became a charge against new licences. Also, where goods were ordered overseas but not shipped before 1 January they became subject to the new 1958 provision whether formerly exempted from licensing or not, and an importer was required to ensure that sufficient provision was reserved for them under his new 1958 licences.

In announcing the new restrictions the Prime Minister stated that New Zealand would have to make full use of her own production resources to maintain full employment and a high standard of living and to build up adequate reserves. This meant that no exchange would be allocated to import goods that were available in good quality and quantity and at competitive prices from New Zealand's own resources. However, full allocations were to be made for essentials such as raw materials, basic foodstuffs not produced here, and medical supplies.

The most important change in the new Import Schedule for 1958 as compared with those in recent years is that it now includes all tariff items. Some of the categories are also new; for instance licences will be issued for goods in "A" Category for imports from non-scheduled countries up to the full value sought (provided the amounts are reasonable), while under "B" (or "B" plus percentage) category licences will be issued to the value (or the percentage of value) of those previously granted but revoked for 1958. Licences for other items will be on the basis of a percentage of the value of imports in 1956 or, in a few cases, of the value of licences granted in 1957. Existing "C" (individual consideration) and "D" (provision only in exceptional circumstances) categories were retained in the new Schedule. The "SD" Category which appeared in previous Schedules was withdrawn.

Subsequently in March 1958 an announcement was made about imports from Canada and the United States. It was decided to issue licences for a wide range of goods from these sources on the same basis as that provided for in the Import Licensing Schedule for similar goods from non-scheduled countries. While the items in question were mainly those which were previously given "global exemption" and which were now in the "A" Category for non-scheduled countries, some goods the subject of percentage allocations were also included. Over the whole range of imports from dollar sources it is the policy to so administer the issue of licences that the percentage reduction in total dollar expenditure is no greater than that applied to non-scheduled countries.

Exchange Allocation.—From 1 April 1952 to 31 December 1954, exchange was rationed by the Reserve Bank to importers on the basis of their 1950 import payments. From then until the end of 1957 trading banks could remit in respect of imports without reference to the Reserve Bank. With the intensification of import restrictions as from 1 January 1958 ordinary licences carry the right to exchange, but excess licences have to be referred to the Reserve Bank for individual consideration.

TRADE COMMISSIONER SERVICE.—Facilities for the promotion of overseas trade are provided by the Department of Industries and Commerce through the services of Trade Commissioners, who are stationed in nine posts—Sydney, Melbourne, Singapore, Tokyo, Bombay, London, New York, Washington, and Montreal. A post is also being established at Trinidad. While this representation is modest in comparison with other countries, it reflects the country's growing interest in the desirability of diversifying export markets, and this is further exemplified by the fact that two of the posts, at New York and Singapore, were established only during 1956.

While the selling of goods in overseas markets is basically the responsibility of New Zealand exporters, the Trade Commissioner can be of considerable help in conducting market surveys and supplying information on import and exchange restrictions, Customs duty, sales tax, normal sources of supply (local production and imported), marketing methods, freight rates, statutory or customary requirements for packing, labelling, etc., and reliable importers in his territory. He may also assist New Zealand importers to locate new sources of supply of essential commodities. New Zealand businessmen travelling overseas may be saved much time and trouble by enlisting the services of the Trade Commissioner, whose knowledge of local conditions and whose connections with businessmen and Government officials in his territory enable him to give valuable advice.

The Trade Commissioner keeps a careful watch on the pattern of New Zealand trade with his territory and reports on significant changes. Where imports from New Zealand are affected, for example, by a new interpretation of an agricultural inspection regulation, or by the imposition of import restrictions, the Trade Commissioner is often called upon to make representations at the official level.

Trade Commissioners are also engaged in numerous other activities, some of which are representing New Zealand at international conferences, reporting on economic and industrial developments in their territories, acting on behalf of Government departments in the procurement of stores, payment of accounts, etc., and maintaining liaison where they are stationed with business and Government circles.

Businessmen may write for information direct to the New Zealand Trade Commissioner in the country concerned but, where convenient, it is preferred that requests be made through the Secretary, Department of Industries and Commerce, Wellington, who is often able to give preliminary advice and assistance.

10 B—EXPORTS

IN New Zealand the Customs Department requires for every package exported a declared statement of the contents, value, and destination, the export statistics being compiled from the analysis and totals 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 1947 to 1957.

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 reexports of imported goods.

CLASSIFICATION OF EXPORTS.—The table following gives merchandise exports (i.e., excluding specie) for the last eleven years for the four main commodity groups.

£(000)
YearDairy ProduceMeatWoolHides, Skins, and PeltsTotal Merchandise Exports*
* Including other commodities, among them uncoined gold and silver.
194629,62126,23526,5935,743101,302
194742,55732,32331,97010,383129,420
194847,84432,15644,5059,473147,821
194951,86730,43946,5546,679147,281
195054,61232,30274,6539,996183,752
195163,32431,303128,17612,862248,127
195279,85650,44581,9989,949240,561
195377,68447,80884,37010,692235,860
195466,79859,55688,43710,449244,466
195570,42368,19093,8879,223259,289
195682,52371,06291,52810,605277,813

The commodity groups shown above normally account for more than 90 per cent of the total value of merchandise exports.

The relative importance of dairy produce, meat, and wool as the main individual constituents of New Zealand's export trade has varied considerably as is seen from the figures in the above table. In the preceding subsection a table of volume index numbers for these commodities, and also a table showing the export price index numbers and terms of trade, are given.

New Zealand's reliance upon grassland farming for her exports is brought out by the figures in the next table showing total exports of pastoral products and the percentage which they represent of the total exports of New Zealand produce.

EXPORTS OF PASTORAL PRODUCTS
YearValue£Percentage*
* Of total exports of New Zealand produce.
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
1951239,137,00097.1
1952228,179,00095.7
1953223,746,00095.8
1954229,204,00094.6
1955246,093,00095.7
1956259,988,00094.4

As will have been observed, the commodities listed in the first table comprise the bulk of the pastoral products, the grand total of which has fallen below 90 per cent of all New Zealand produce only during the years 1943 to 1946. The decline recorded in 1941 was mainly due to wartime shipping difficulties, and stocks of some commodities held in New Zealand at the end of that year were larger than usual. In 1942 some of this stock was moved, thus contributing to the greater value of pastoral exports in that year. During the years from 1943 to 1945 the quantity of pastoral produce exported was affected by the quantities of meat and dairy produce supplied to United States Forces by way of reverse lend-lease. The values of such produce, which was not treated as an export even when subsequently shipped to such forces in the Pacific area, were: 1943, £7,000,000; 1944, £10,000,000; 1945, £8,000,000. At the same time an increase took place in agricultural produce exported, which increased the total value of exports of New Zealand produce, and tended to further reduce the proportion of pastoral produce in the export trade. In 1951 when pastoral produce reached the highest percentage of total exports on record, the high revenue received for wool was the main factor contributing to the increase.

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; wood pulp and newsprint.

Quantity figures of exports of the principal items of New Zealand produce are next given for the years 1954 to 1956, while the Statistical Summary, towards the end of the book, shows the figures for some of the more important commodities from 1907 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)195419551956
Mining products—
    Coal(ton)871650670
    Pumice(cwt.)14,12630,80121,861
    Gold(oz.)41,48421,84020,450
    Scheelite(ton)412040
    Silver(oz.)43,2633,2211,959
    Cement(cwt.)14,4607,42014,550
Fishery products—
    Fish, fresh and frozen(cwt.)43,02174,29860,337
    Fish, other(cwt.)1,078643885
    Crayfish(cwt.)33,03731,05934,270
    Whale oil(gal.)182,259167,068258,720
    Fish oils and fish-liver oils(gal.)9,04917,5579,563
Forest products—
    Kauri gum(ton)270411298
    Timber—
        Sawn(sup. ft.)31,032,37338,567,80831,049,361
        For cases in shooks(sup. ft.)2,211,4824,193,6143,613,880
        Wood pulp(ton)19,58327,34147,355
        Newsprint(cwt.)907,199514,795
        Building board(sq. ft.)1,350,1141,615,961474,722
        Plywood(sq. ft.)101,520169,9529,488
Pastoral products—
    Butter(cwt.)2,649,6123,019,3073,348,988
    Casein(cwt.)162,917245,791268,164
    Cheese(cwt.)1,807,9201,700,8471,777,548
    Milk, dried and condensed(cwt.)904,4581,018,497953,730
    Sugar of milk(cwt.)65,58368,95170,756
    Eggs—
        In shell(doz.)24,81127,32541,584
        Not in shell(lb.)1,796,6721,566,9361,628,279
    Honey(lb.)1,896,5184,556,0212,092,032
    Meat, frozen and chilled(cwt.)7,415,8367,563,5538,283,044
    Meat, canned(cwt.)256,659188,489125,515
    Meat extract(lb.)1,386,5971,203,142581,969
    Other preserved meat(cwt.)16,78912,42011,198
    Sausage casings(lb.)6,813,1307,013,5357,219,573
    Liver meal(cwt.)42,71247,04932,484
    Cattle hides(number)502,675564,406838,190
    Horse hides(number)9,2529,70510,250
    Calf skins(number)1,129,3661,304,3481,117,368
    Deer skins(number)58,97669,73058,942
    Opossum skins(number)324,640323,385444,467
    Rabbit skins(number)768,533662,23895,519
    Sheep skins and pelts(number)18,898,74720,313,77719,373,301
    Hair (not made up)(cwt.)797696976
    Wool(lb.)392,900,020417,362,858427,882,287
    Inedible offals (including dried blood)(cwt.)40,56258,37987,301
    Lard(cwt.)8,8079,93912,271
    Edible tallow(cwt.)230,458219,495188,754
    Edible stearine(cwt.)15,24213,16717,194
    Inedible tallow(ton)27,58932,45930,180
    Neatsfoot oil(gal.)83,73585,922104,045
    Live cattle(number)2,047695105
Live sheep(number)5382,1037,163
    Live horses(number)597420301
Agricultural products—
    Barley(cental) 52,60060
    Apples(lb.)49,671,27041,573,93862,471,652
    Pears(lb.)22,16064,8372,014,098
    Hops(lb.)186,504278,987262,454
    Potatoes(ton)2,0433,4002,070
    Onions(ton)9973,1512,940
    Canned vegetables(lb.)7,742,25210,383,21510,295,179
    Peas, food(cental)136,923164,314107,853
    Peas, seed(cental)130,495143,703156,136
    Seeds, grass and clover(cwt.)184,25379,398146,403
    Linen flax(cwt.)2,4586212,480
    Miscellaneous—
    Biscuits(cwt.)3,0221,7542,763
    Ale, beer, stout(gal.)174,095189,288221,738
    Sugar(cwt.)6,1365,2667,789
    Drinking chocolate(lb.)3,380,270470584
    Cigarettes(lb.)27,79518,89210,259
    Soaps(lb.)1,077,0461,237,0571,178,152
    Scrap metal(ton)21,54429,66357,514
    Chamois leather(sq. ft.)733,539870,1191,301,485

The values of the principal exports are given in the following table.

£
Commodity (New Zealand Produce)195419551956
Mining products—
    Coal4,9713,9074,251
    Pumice7,62414,93111,285
    Gold487,662260,809243,652
    Scheelite26,13617,18033,294
    Silver12,867965312
    Cement8,4144,0599,272
Fishery products—
    Fish, fresh and frozen342,366368,495469,377
    Fish, other30,76021,98628,698
    Crayfish982,257959,0831,175,455
    Whale oil47,39042,70077,079
    Fish oils and fish-liver oils30,97134,70031,556
Forest products—
    Kauri gum33,14847,97333,587
    Timber—
        Sawn796,8071,047,343873,944
        For cases in shooks104,541213,422185,493
        Woodpulp816,6651,130,5662,002,186
        Newsprint51921,2991,544,533
        Building board31,04527,71338,512
        Plywood5,1178,442567
Pastoral products—
    Butter44,806,89951,021,93853,468,309
    Casein1,242,1071,839,7832,100,745
    Cheese16,380,36013,681,70222,244,372
    Milk, dried and condensed4,091,8353,586,5984,384,527
    Sugar of milk277,003293,089325,098
    Eggs—
        In shell5,8496,6099,431
        Not in shell213,628131,655198,869
    Honey95,378230,963130,513
    Meat, frozen and chilled51,905,76360,740,20463,874,998
    Meat, canned3,903,7142,880,0161,980,823
    Meat extract345,675324,975151,629
    Other preserved meat224,404168,731156,523
    Sausage casings3,176,7324,068,3954,898,254
    Liver meal120,366153,810117,515
    Cattle hides1,579,0701,531,7702,007,835
    Horse hides24,31922,98525,504
    Calf skins1,004,6541,290,610957,967
    Deer skins57,07681,31876,793
    Opossum skins96,844124,241136,602
    Rabbit skins10,2599,6461,784
    Sheep skins and pelts7,659,4416,136,9347,380,459
    Hair18,30419,45228,189
    Wool88,437,30693,887,09191,527,867
    Inedible offals (including dried blood)243,319328,707362,908
    Lard52,79661,73273,653
    Edible tallow827,735762,666686,582
    Edible stearine56,59051,38969,683
    Inedible tallow1,749,0422,109,2711,968,637
    Neatsfoot oil34,71847,45442,721
    Live cattle59,16059,65725,271
    Live sheep95,02151,567154,793
    Live horses334,423261,445230,975
Agricultural products—
    Barley 59,10572
    Apples1,548,3371,300,9651,965,522
    Pears1,0052,43363,805
    Hops44,49968,28464,276
    Potatoes55,56870,825111,113
    Onions48,76992,442121,279
    Canned vegetables351,807530,031524,079
    Peas, food249,624289,481231,936
    Peas, seed495,742550,798609,815
    Seeds, grass and clover2,802,4211,348,1331,597,467
    Other seeds72,589192,95854,994
    Linen flax10,0573,72911,092
Miscellaneous—
    Biscuits20,70413,07621,665
    Ale, beer, stout60,13257,20767,021
    Sugar19,75116,65123,679
    Soups16,4981,410490
    Drinking chocolate219,8034699
    Infant and invalid food (cereal)134,645167,058110,656
    Cigarettes11,3269,4638,024
    Soaps43,46049,86048,283
    Scrap metal258,852486,5961,137,852
    Dairy machinery102,920105,61480,861
    Chamois leather65,26981,883116,361
    Vitamins and concentrates41,28462,53031,621
    Washing machines120,36414,45915,649
    Other New Zealand produce2,678,4021,382,8421,848,683
            Totals, New Zealand produce242,372,878257,149,855275,429,276

In the preceding Section there is a description of the change made in the classification of New Zealand trade for statistical purposes as from 1 January 1955, when the Standard International Trade Classification was brought into use. Figures for several years prior to 1955 have been rearranged to show the values of total exports for the Sections and Divisions of the S.I.T.C., as they would have appeared had that classification been in use during the period.

The following table gives such information for the years 1954-56.

£(000)
Exports—Section and Division195419551956
Section 0. Food
    Div. 00 Live animals chiefly for food155112181
    Div. 01 Meat and meat preparations59,55768,19071,062
    Div. 02 Dairy produce, eggs, and honey65,59568,66080,445
    Div. 03 Fish and fish preparations1,3581,3531,680
    Div. 04 Cereals and cereal preparations172246150
    Div. 05 Fruits and vegetables2,3682,4393,251
    Div. 06 Sugar and sugar preparations309318357
    Div. 07 Coffee, tea, cocoa, spices, and manufactures thereof2801910
    Div. 08 Feeding stuff for animals (not including unmilled cereals)134169204
    Div. 09 Miscellaneous food preparations901871821
                Totals, Section 0130,828142,379158,162
Section 1. Beverages and Tobacco
    Div. 11 Beverages747791
    Div. 12 Tobacco and tobacco manufactures8510093
                Totals, Section 1159177183
Section 2. Crude Materials, Inedible, Except Fuels
    Div. 21 Hides, skins, and fur skins, undressed10,4489,22310,605
    Div. 22 Oil seeds, oil nuts, and kernels211628
    Div. 23 Crude rubber, including synthetic and reclaimed 1 
    Div. 24 Wood, lumber, and cork7981,048876
    Div. 25 Pulp and waste paper8181,1372,013
    Div. 26 Textile fibres (not manufactured into yarn, thread, or fabrics and waste)88,58194,14491,762
    Div. 27 Crude fertilizers and crude minerals, excluding coal, petroleum, and precious stones201951
    Div. 28 Metalliferous ores and metal scrap3075081,171
    Div. 29 Animal and vegetable crude materials, inedible, n.e.i.3,6832,3692,765
                Totals, Section 2104,677108,613109,253
Section 3. Mineral Fuels, Lubricants, and Related Materials
    Div. 31 Mineral fuels, lubricants, and related materials577545601
                Totals, Section 3577545601
Section 4. Animal and Vegetable Oils and Fats
    Div. 41 Animal and vegetable oils (not essential oils), fats, greases, and derivatives1,9562,3492,239
                Totals, Section 41,9562,3492,239
Section 5. Chemicals
    Div. 51 Chemical elements and compounds503431
    Div. 52 Mineral tar and crude chemicals from coal, petroleum, and natural gas  1
    Div. 53 Dyeing, tanning, and colouring materials181637
    Div. 54 Medicinal and pharmaceutical products82109128
    Div. 55 Essential oils and perfume materials, toilet, polishing, and cleansing preparations5959170
    Div. 56 Fertilizers, manufactured122
    Div. 59 Explosives and miscellaneous chemical materials and products1,2841,9112,153
                Totals, Section 51,4942,1302,521
Section 6. Manufactured Goods Classified Chiefly by Material
    Div. 61 Leather, leather manufactures n.e.i., and dressed furs86110167
    Div. 62 Rubber manufactures n.e.i.406073
    Div. 63 Wood and cork manufactures (excluding furniture)150268235
    Div. 64 Paper, paperboard, and manufactures thereof37841,749
    Div. 65 Textile yarn, fabrics, made-up articles, and related products123128148
    Div. 66 Non-metallic mineral manufactures n.e.i.455143
    Div. 67 Silver, platinum, gems, and jewellery222422
    Div. 68 Base metals3439206
    Div. 69 Manufactures of metal1,706295289
                Totals, Section 62,2441,0612,933
Section 7. Machinery and Transport Equipment
    Div. 71 Machinery other than electric583692586
    Div. 72 Electric machinery, apparatus, and appliances252179138
    Div. 73 Transport equipment284239302
                Totals, Section 71,1201,1101,027
Section 8. Miscellaneous Manufactured Articles
    Div. 81 Prefabricated buildings, sanitary, plumbing, heating and lighting fixtures, and fittings2109
    Div. 82 Furniture and fixtures6712
    Div. 83 Travel goods, handbags, and similar articles243
    Div. 84 Clothing1299
    Div. 85 Footwear113
    Div. 86 Professional, scientific, and controlling instruments; photographic and optical goods, watches, and clocks834738
    Div. 89 Miscellaneous manufactured articles n.e.i.289122134
                Totals, Section 8395200209
Section 9. Miscellaneous Transactions and Commodities n.e.i.
    Div. 91 Postal packages134127159
    Div. 92 Live animals, not for food338275232
    Div. 93 Returned goods and special transactions2  
    Div. 95 Unclassified goods under £10 in value546250
    Div. 99 Gold488261244
                Totals, Section 91,016725685
                Grand totals, merchandise exports244,466259,289277,813

DESTINATION OF NEW ZEALAND EXPORTS.—New Zealand's first exports went to Australia, which had a monopoly of the trade in the early years. In 1865, 70 per cent, and even in 1871, 44 per cent, of the total exports went to Australia. 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, by far the lowest figure on record. In the years since 1951 exports to Commonwealth countries have averaged 73 per cent of the total trade.

The principal destinations of New Zealand's exports of merchandise (including re-exports) during the last twenty-one 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.

£(000)
YearUnited KingdomCanadaAustraliaFranceGermany*United States of AmericaOther CountriesTotal Merchandise Exports

* Figures for post-war years represent German Federal Republic only.

Including ships' stores.

193645,4931,1031,8431,6462722,8783,51656,752
193750,7061,6781,8241,0159194,7845,78766,713
193848,8981,1272,1891,0158911,4222,83458,376
193946,6899642,2561,5793902,8473,32458,049
194064,1291,7092,159717 2,8262,20173,741
194152,3962,8222,400  5,1914,67167,479
194260,4713,6172,718  5,9908,48981,285
194346,3684,5352,849  6,38511,72571,863
194455,4271,9403,093  5,06312,26577,787
194558,6432,2514,19547 7,9858,51081,631
194670,9242,8033,6313,4651,6399,7169,124101,302
194798,6983,0604,0964,447788,17410,866129,420
1948107,9152,9913,9548,3082,7257,27314,655147,821
1949107,7062,1963,7487,6582,9945,49217,488147,281
1950121,6853,5574,7798,0775,93918,38721,327183,752
1951142,3628,5655,11317,8548,83628,85936,538248,127
1952156,4855,2123,93010,5595,22727,26731,880240,561
1953158,0472,9584,65515,6846,08418,37930,053235,860
1954163,3002,9976,44514,67510,49113,89632,663244,466
1955169,6574,2306,69215,28712,68815,10035,635259,289
1956179,1144,0268,43316,76110,40119,50439,574277,813

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 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 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, therefore, 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. In the following table figures are given for New Zealand's export trade to European countries during the period 1952-56, together with figures to show the importance of wool as the chief commodity in the trade.

NEW ZEALAND EXPORT TRADE TO EUROPEAN COUNTRIES
Country19521953195419551956
Value (£)
Austria34,58347,89476,50926,05318,474
Belgium and Luxemburg2,984,1773,469,9453,401,8624,635,2805,726,192
Bulgaria331754163,186
Czechoslovakia604,292311,801252,0431,664,7811,775,771
Denmark642,368419,686695,894386,410438,685
Finland49,48433,05074,28948,530126,703
France10,558,64915,684,33314,674,98815,286,92016,761,132
German Federal Republic5,227,0236,083,50710,490,65212,687,69310,401,019
Germany (Eastern)544501135,827914162
Greece380,059198,051295,764454,300757,872
Hungary1082,979101240491
Italy4,362,4184,946,3644,272,6394,736,9386,634,858
Netherlands2,036,3682,449,4304,073,9714,516,0664,617,445
Norway40,79039,75982,892111,62051,991
Poland2,960,6923,625,5102,278,1172,702,1232,209,695
Portugal21,93847,84723,36644,78478,534
Rumania3,07337,172233293,106
Russia (U.S.S.R.)  2,942,5482,166,1342,048,688
Spain9232,87037,976170,36221,181
Sweden486,492383,881453,251462,981708,206
Switzerland56,447140,174110,417427,436147,965
Turkey44,3711 3625
Yugoslavia55,0861,4527,50920,10710,926
        Totals30,548,97438,156,21044,380,63450,550,09452,792,307
Per Cent
Percentage of total New Zealand exports taken by European countries12.7016.1818.1519.5019.00
Value (£)
Value of wool exported to European countries23,370,05828,580,77035,331,16037,477,86539,152,907
Per Cent
Percentage of wool exports to total exports to European countries (value basis)76.5074.9079.6174.1474.16
Percentage of total New Zealand wool exports taken by European countries (value basis)28.5033.7839.9539.9242.78

The table which follows shows for each of the last eleven years the percentage of total exports (excluding specie and ships' stores) taken by each of the principal countries trading with New Zealand.

Per Cent
Country19461947194819491950195119521953195419551956
United Kingdom70.3576.6673.3073.3866.4457.5765.3367.2166.9865.5964.47
India3.070.380.540.600.420.390.630.410.520.740.55
Pakistan0.050.110.060.080.190.020.01..
Canada2.782.382.031.501.943.502.181.261.231.641.45
Australia3.603.182.692.562.612.071.641.982.642.593.04
Other British Commonwealth countries2.011.561.341.341.191.382.192.252.422.242.31
            Totals, British Commonwealth countries81.8184.1679.9079.4372.7164.9772.0573.3073.8172.8171.82
Netherlands0.491.331.941.661.871.320.851.041.671.751.66
Belgium0.471.551.021.241.612.121.251.481.401.792.06
France3.443.455.645.224.417.224.416.676.025.916.03
German Fed. Rep.1.630.061.852.043.243.572.182.594.304.913.74
Italy0.290.520.510.981.041.561.822.101.751.832.39
Poland0.010.060.140.820.852.961.241.540.931.040.80
Russia (U.S.S.R.)0.010.391.731.980.560.50....1.210.840.74
Egypt0.410.160.140.170.080.140.060.060.060.140.24
Japan..0.040.030.530.541.551.461.330.520.770.96
United States of America9.646.354.943.7510.0411.6711.387.825.705.847.02
Remaining countries1.801.932.162.183.052.423.302.072.632.372.54
            Totals, other countries18.1915.8420.1020.5727.2935.0327.9526.7026.1927.1928.18

Exports to Each Country, 1954-56.—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.

£
Country195419551956
British Commonwealth Countries, Protected States, and Trust Territories
Europe—
    United Kingdom163,300,281169,657,058179,114,161
    Gibraltar3988
    Malta2202329
    Cyprus2,3271,2544,220
            Totals163,302,867169,658,343179,118,418
Asia—
    Aden6,99612,162
    Bahrain 8,6262,546
    British Borneo1,2032,4251,064
    Ceylon47,65993,485110,176
    Hong Kong108,905109,194259,137
    India1,260,4801,912,7261,531,703
    Pakistan37,14623,19313,869
    Malaya and Singapore637,208679,922544,754
    Kuwait3,87098710
    Other  2,912
            Totals2,103,4672,830,5592,468,333
Africa—
    British West Africa129,006108,02269,345
    Kenya and Uganda17,83117,83818,896
    Rhodesia-Nyasaland Federation255,621175,042141,229
    Union of South Africa548,969449,799373,718
    Other8,7406,17713,665
            Totals960,167756,878616,853
America—
    Bermuda185,539222,692163,771
    British Guiana120,34491,65491,721
    British Honduras2,1702,9861,507
    British West Indies1,952,1121,716,8052,265,664
    Canada2,996,6274,230,0204,025,872
    Falkland Islands912947
            Totals5,256,8836,264,4516,548,542
Pacific—
    Australia6,444,6556,692,1098,433,463
    Fiji896,2331,055,9511,323,634
    Gilbert and Ellice Islands66,56168,21060,161
    Nauru Island39,47760,36357,007
    Norfolk Island21,15716,6515,988
    Papua2,0423,3095,530
    Pitcairn Island1,5071,5261,767
    Solomon Islands3,0307,7494,327
    Tonga244,740293,175304,565
    Western Samoa562,838609,519559,801
    New Hebrides34,9567,70011,256
    Other 1,7901,105
            Totals8,317,1968,818,05210,768,604
            Totals, British Commonwealth countries, etc.179,940,580188,328,283199,520,750
Other Countries
Europe—
    Austria76,50926,05318,474
    Belgium and Luxemburg3,401,8624,635,2805,726,192
    Bulgaria1754163,186
    Czechoslovakia252,0431,664,7811,775,771
    Denmark695,894386,410438,685
    Finland74,28948,530126,703
    France14,674,98815,286,92016,761,132
    Germany (Eastern)135,827914162
    German Federal Republic10,490,65212,687,69310,401,019
    Greece295,764454,300757,872
    Italy4,272,6394,736,9386,634,858
    Netherlands4,073,9714,516,0664,617,445
    Norway82,892111,62051,991
    Poland2,278,1172,702,1232,209,695
    Portugal23,36644,78478,534
    Republic of Ireland423,053166,195131,247
    Rumania233293,106
    Russia (U.S.S.R.)2,942,5482,166,1342,048,688
    Spain37,976170,36221,181
    Sweden453,251462,981708,206
    Switzerland110,417427,436147,965
    Yugoslavia7,50920,10710,926
    Other101315777
            Totals44,803,68750,716,32852,923,815
Asia—
    Burma22,29791,693108,252
    China17,225152,185131,060
    French Indo-China1,597,073 52
    Indonesia91814016,464
    Iraq1,9949645,052
    Israel6,49314,742147
    Japan1,272,9101,982,6562,679,334
    Korea, South47,178112,234576
    Lebanon5,0212,6746,933
    Philippines249,152204,730201,364
    Saudi Arabia55,30812,4831,762
    Thailand3831,0083,339
    Other7411,5903,726
            Totals3,276,6942,577,0993,158,061
Africa—
    Algeria5,887343,746
    Belgian Congo93,201107,82093,362
    Egypt141,797353,849656,405
    French Morocco82,91665,50820,564
    Portuguese East Africa38,01418,83922,288
    Other80352157
            Totals361,895546,402796,522
America—
    Argentina75,5295,298139
    Chile13,2581,9241,534
    Colombia60,078174,63753,804
    Mexico340,176145,058121,679
    Netherlands Antilles206,201282,761282,655
    Panama Republic165,321241,529206,537
    Panama Canal Zone41,41818,5276,873
    Peru65746,495
    United States of America13,895,71415,100,19719,503,995
    Uruguay8,18349,32734,661
    Other7,8452,8844,265
            Totals14,813,72916,022,19920,262,637
Pacific—
    Hawaii183,257130,050197,985
    New Caledonia4,4674,0205,670
    Society Islands279,344219,411136,306
    French Oceania1,0781,749375
    American Samoa133,768114,218114,459
    Other4522236
            Totals602,366469,450455,031
            Totals, other countries63,858,37170,331,47877,596,066
Ships' stores667,255628,963696,080
            Totals, all merchandise exports244,466,206259,288,724277,812,896

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 1955 and 1956.

Country to Which Exported19551956
QuantityValueQuantityValue
lb.£lb.£
Wool (Greasy, Slipe, and Scoured)
United Kingdom185,368,13542,455,394163,315,33536,016,399
Union of South Africa998,767271,345721,615186,575
India2,178,677503,289997,982240,387
Canada7,250,4961,788,9977,349,6501,728,044
Australia4,805,4831,077,9794,849,6951,007,224
Republic of Ireland508,016107,178164,31834,006
Austria14,7444,11321,3234,792
Belgium19,305,5954,036,75623,785,1594,755,228
Bulgaria  797,876163,121
Rumania  393,74192,260
Norway229,89664,308100,67228,394
Denmark1,127,958314,0871,417,721382,978
Finland32,6709,365121,80030,348
Poland10,935,9912,644,5479,612,0152,154,140
Portugal157,90737,968278,16254,956
German Federal Republic36,830,1858,560,07531,159,0996,764,873
Netherlands11,038,8162,375,60510,747,0102,288,930
France67,505,16014,144,61577,932,30715,769,095
Sweden1,616,844416,4911,639,140410,861
Switzerland251,68962,493173,52641,633
Italy11,405,3192,450,50718,305,0893,727,027
Czechoslovakia2,833,206615,6212,776,843572,506
Germany (Eastern)2,803693  
Greece1,069,523259,457685,263182,623
Russia (U.S.S.R.)6,183,5001,481,7877,380,2281,708,007
Spain16,8583,49092,70521,135
Egypt315,14689,9831,220,801298,103
French Morocco159,69438,3686,5581,947
Japan4,971,2561,213,6775,410,6981,218,266
Korea (Republic)367,757111,721  
China462,845152,185449,800131,060
Colombia574,255174,634188,31553,804
Mexico584,994145,051499,184119,137
United States of America38,258,6738,275,31255,261,62611,332,456
Other countries  27,0317,552
                Totals417,362,85893,887,091427,882,28791,527,867
Frozen and Chilled Beef and Veal
United Kingdom1,280,9569,128,4161,387,6968,561,893
Hong Kong91615,5805,41623,128
Malaya1,82014,6051,51211,098
British West Africa3,85433,2672,59718,188
Union of South Africa  1,8069,153
British Guiana2,00914,2091,45110,656
Bermuda1,15915,3771,54116,152
British West Indies66,046495,28187,914631,661
Canada26,035207,5485,39545,039
Fiji1,59117,0503,10526,813
Tonga1,1689,8811,2209,705
Western Samoa1,1168,8341,1798,474
Belgium33,290230,27758,458343,864
France1,84613,4481,1336,417
German Federal Republic30,921218,764279,2451,500,514
Greece11,20670,86511,20374,065
Italy146,5111,052,996225,6031,356,728
Netherlands145,264898,859169,6401,029,021
Spain25,106165,962  
Russia (U.S.S.R.)50,006371,790  
Sweden  21,528214,352
Egypt  6,27131,466
Philippines1,44515,40916,41599,316
Japan  2,84115,177
Netherlands Antilles20,699160,99719,758158,432
United States of America17,054147,49831,512269,888
Hawaii7,82569,3228,37578,070
American Samoa2,39521,0752,31722,051
Other countries1,18414,0475645,962
            Totals1,881,42213,411,3572,355,69514,577,283
Frozen Lamb and Mutton
United Kingdom4,806,81440,328,8214,951,08041,689,980
Malaya4604,9301,47913,486
British West Africa2,89328,0664,22141,112
Rhodesia-Nyasaland Federation2,15410,6932,98218,925
Union of South Africa5,41729,9694,27530,177
Bermuda4,34852,3732,51534,286
British West Indies9,29078,26610,68284,406
Canada42,940372,80849,694346,551
Fiji6,73235,4088,27244,001
Western Samoa2,13210,4402,13913,680
Belgium10,60544,60014,35264,539
Greece37,617122,896146,160491,504
Netherlands33,187103,31620,41365,627
German Federal Republic17,40877,97317,85062,879
Sweden  1,99922,738
Russia (U.S.S.R.)110,716312,533112,787340,523
Egypt54,092148,33642,298154,377
Netherlands Antilles1,11210,1711,50215,223
Panama Canal Zone1,46812,7924474,168
United States of America9,69466,4581,68916,846
Other countries4,97437,1134,86733,287
            Totals5,164,05341,887,9625,401,70343,588,315
Frozen Pork
United Kingdom149,1001,407,997128,7081,260,035
Hong Kong3,13825,1964,28845,712
Malaya6175,5594,20447,918
Union of South Africa8,93858,959  
British West Indies6,56761,8357,12685,620
Australia1,68919,2261,67818,858
Fiji1,03110,4211,16312,628
Belgium3,99835,1829,398101,582
Netherlands8798,5721,00010,266
Netherlands Antilles3,20628,6182,48625,892
Other countries3,85836,8111,48314,318
            Totals183,0211,698,376161,5341,622,829
Other Frozen Meat
United Kingdom297,1733,460,467321,2263,832,639
Malaya1,04710,5967217,549
Fiji2,34124,7832,73431,903
Bermuda98410,2064505,575
British West Indies4,38533,5594,77930,956
Belgium1,6287,6612,15713,787
Canada2,93039,7391321,862
Australia4,27632,2055,72247,516
Western Samoa2,05112,8102,30012,644
Italy10,27641,22413,90634,158
Netherlands2,17610,6932,98423,842
Netherlands Antilles1,52118,0181,61414,798
Other countries4,26940,5495,39029,342
            Totals335,0573,742,510364,1154,086,571
Canned Meat
United Kingdom135,9942,064,94180,1051,301,958
Union of South Africa59011,557  
British Guiana99912,7871982,429
British West Indies10,281147,6907,76898,543
Canada2,20230,0724837,936
Fiji9,450151,8079,283143,402
Tonga6,828107,0697,027115,057
Gilbert and Ellice Islands1,78435,4712,72629,255
Nauru1,65126,34796715,711
Western Samoa7,188112,6416,419105,686
Egypt6499,22790813,987
Society Islands7,154120,6085,91086,232
Tutuila2,10532,1301,97433,708
Other countries1,61425,6691,74726,919
            Totals188,4892,888,016125,5151,980,823
Butter
United Kingdom2,641,63844,483,6013,065,95648,804,897
Hong Kong1,00016,3982,84346,980
Ceylon1,70029,2722,77543,462
India8,431144,2557,629122,268
Malaya and Singapore5,62296,4314,67276,610
British West Africa1,34524,186  
Rhodesia-Nyasaland Federation7,707129,4784,67876,259
Union of South Africa  2,50040,750
British Guiana1,36524,3441,44624,623
Bermuda7,277124,6885,52885,555
British West Indies27,269458,98642,028661,897
Fiji6,229123,4747,765150,477
Tonga85615,20684414,238
Western Samoa1,40624,4101,45522,899
Belgium
Czechoslovakia60,2601,048,76768,9941,202,592
France19,999361,4886,000109,125
German Federal Republic150,4692,621,27459,767872,288
Italy18,189298,60014,597236,004
Switzerland19,997333,7524,00072,750
Japan 418,6,9521842,957
Philippines9,724168,5025,92396,206
Belgian Congo6,239107,7515,65493,102
Portuguese East Africa60010,36465010,490
Netherlands Antilles3,55463,0034,04267,471
Panama Republic13,785234,02411,943200,492
United States of America  11,696238,656
Hawaii2,94249,4184,14874,107
Society Islands3867,3743025,152
Other countries90015,94096916,002
            Totals3,019,30751,021,9383,348,98853,468,309
Cheese
United Kingdom1,609,26212,764,5541,715,94121,532,944
Bermuda1,09810,7871,32615,248
British Guiana2,22519,9993,41537,459
British West Indies23,218238,75835,444417,363
Canada 29,859304,62033,422
Australia1,74024,3102,78343,020
Fiji6027,40181910,086
German Federal Republic12,701107,816  
United States of America17,341174,65316,292168,795
Other countries2,80128,8041,49519,035
            Totals1,700,84713,681,7021,777,54822,244,372
Milk (Dried, Condensed, etc.)
United Kingdom592,7771,843,988748,6612,997,838
India248,269945,822167,635722,786
Malaya and Singapore99,551456,63064,777331,108
Union of South Africa  2,42410,482
Rhodesia- Nyasaland Federation4,03112,4032,66910,822
British West Indies8,15829,92014,75259,697
Canada20,60065,8182,50010,438
Fiji7,64554,4259,10662,537
Western Samoa2,12116,6542,26717,882
Netherlands5,80834,51310,64571,460
Denmark6,00016,050  
Philippines4,71916,1427203,263
Egypt2809992,53412,400
Society Islands4,15926,5152,56817,929
Other countries14,37966,71910,34355,885
            Totals1,018,4973,586,5981,041,6014,384,527
Edible Tallow
United Kingdom162,108562,85784,438307,813
India25,99288,74543,438159,921
Netherlands10,21034,5725,66721,494
Burma6,61924,1037,36427,483
Egypt9,25333,30636,229129,604
Other countries5,31319,08311,61840,267
            Totals219,495762,666188,754686,582
Inedible Tallow
United Kingdom22,6161,445,24020,9471,346,695
Ceylon 56137,764375,24,151
India36127,13128118,951
Pakistan18212,809251,734
Malaya25318,368774,958
Union of South Africa37423,32535622,599
British West Indies1,486102,4411,873123,078
Rhodesia-Nyasaland Federation31220,24442328,013
Australia1,04468,50637023,670
Fiji28018,99929620,566
Finland654,76330621,966
Italy18612,945161,019
Netherlands50931,323764,592
Norway42525,412251,486
Egypt95264,20617311,024
Mozambique1258,47216311,660
Burma88658,5451,00969,158
Japan1,564110,8393,136215,825
Other countries27817,93925317,492
            Totals32,4592,109,27130,1801,968,637
Cattle Hides
United Kingdom162,120408,265180,407470,723
India5,75213,0083,5748,131
Union of South Africa13,55425,56315,60032,204
Canada4,9008,0089,56019,309
Australia9,71628,2378,92125,753
Austria9,94021,4365,40911,805
Belgium6,65911,8464,60410,094
Denmark3,45210,8851,5504,828
Finland13,20428,93225,37359,553
France50,674114,23310,83726,033
German Federal Republic83,241200,278202,796471,821
Republic of Ireland1,5234,4011,7504,813
Italy77,501146,973148,235306,453
Netherlands93,980207,65366,933159,165
Norway4,00011,1796,39517,114
Poland28,29057,34125,45955,234
Sweden1,6504,0472,8007,922
Yugoslavia7,70318,5434,0008,941
Japan61,511179,02491,301256,411
French Morocco8,52419,1377,51216,557
Other countries6,51212,78115,17434,971
            Totals654,4061,531,770838,1902,007,835
Calf Skins
United Kingdom140,698129,957143,094118,337
Canada55,11456,7831,3941,000
Australia3811905,2003,818
Belgium10,5179,32762,65762,037
France22,11919,887151,216118,154
German Federal Republic148,825151,31886,95073,012
Netherlands81,96474,632174,696149,672
Italy319,821330,038412,334364,434
United States of America518,533513,59965,19654,493
Other countries6,3764,87914,63113,010
            Totals1,304,3481,290,6101,117,368957,967
Sheep Skins (With Wool)
United Kingdom292,300353,337259,187212,098
Belgium  9,98315,054
France658,608525,702703,269581,073
Italy51,51632,52988,20893,220
Netherlands40,93724,91116,69810,120
Other countries21,11311,73110,7098,399
            Totals1,064,474948,2101,088,054919,964
Sheep Skins (Without Wool)
United Kingdom2,317,420818,6332,020,520863,447
Canada105,13625,152227,73169,078
Belgium528,666200,186663,619291,652
France81,56727,60133,1384,027
German Federal Republic839,050269,189169,40871,112
Italy244,39770,302101,12642,227
Netherlands1,366,326469,515977,832396,377
Sweden65,86013,87424,1566,643
Japan4,0501,7295,9921,837
United States of America13,678,6883,232,82614,020,3134,640,646
Other countries18,1435,19141,41410,101
            Totals19,249,3035,134,19818,285,2496,397,147
Sausage Casings
United Kingdom3,566,7612,165,2073,458,3482,498,917
Canada1,591,2981,202,3091,799,4201,660,624
Australia200,17033,246169,52022,455
Denmark33,46430,49531,27931,191
Republic of Ireland3,0802,585  
German Federal Republic120,75233,670206,81064,105
Netherlands23,02419,71911,6278,349
United States of America1,470,471578,2341,538,319608,881
Other countries3,9152,9304,2503,732
            Totals7,013,5354,068,3957,219,5734,898,254
Casein
United Kingdom93,455762,290116,463922,715
India1,80013,1351,25010,387
Belgium2402,1601,84013,580
German Federal Republic11,57880,1466,93762,074
Italy32,514217,57948,376337,987
Netherlands8,01056,2579,27668,205
Japan23,976181,23429,499255,926
United States of America73,239519,28652,303412,316
Other countries9797,6962,22017,555
            Totals245,7911,839,783268,1642,100,745
Apples (Fresh)
United Kingdom38,605,6461,206,78451,281,0201,611,482
Fiji390,17612,912482,14816,065
Canada1,226,40038,325999,92031,247
Sweden  1,083,24033,852
France  1,438,21044,945
German Federal Republic1,169,20036,5385,839,960183,499
United States of America  806,04025,189
Other countries182,5166,406541,11419,243
            Totals41,573,9381,300,96562,471,6521,965,522
Seeds (Grass and Clover)
United Kingdom35,858583,68786,910917,736
Canada1,77938,4311,66439,463
Australia32,082531,11834,875377,608
Republic of Ireland2,54740,2676,56878,149
Belgium5625,0072,34016,090
France1,13823,0704,62636,659
German Federal Republic93017,7493,41251,103
Netherlands2869,2396887,143
United States of America2,18445,3642,33932,606
Uruguay1,35739,9611,21426,103
Other countries67514,2401,76714,807
            Totals79,3981,348,133146,4031,597,467
Peas (Food)
United Kingdom132,918226,20385,723173,444
Australia5,38815,3126,71123,267
Fiji2,8047,3263,65210,986
United States of America13,96925,2128,33817,182
Other countries9,23515,4083,4297,057
            Totals164,314289,481107,853231,936
Peas (Seed)
United Kingdom8,002,399309,6196,885,917280,931
Australia6,287,274238,1787,995,678298,709
Other countries80,6603,001732,09230,175
            Totals14,370,333550,79815,613,687609,815
Wood Pulp
United Kingdom2,26492,48812,121465,571
Australia25,0771,038,07834,2031,494,294
Ceylon  50623,314
Japan  29910,967
Other countries  2268,040
            Totals27,3411,130,56647,3552,002,186
Timber (Sawn and Hewn)
Australia38,497,5381,042,74331,006,436870,648
Other countries70,2704,60042,9253,296
            Totals38,567,8081,047,34331,049,361873,944
Timber (for Cases, in Shooks)
Australia1,068,62753,6471,509,42575,983
Fiji490,85724,918196,33010,442
Tonga595,21825,681486,92220,507
Western Samoa2,038,912109,1761,420,82378,537
Other countries  38024
            Totals4,193,614213,4223,613,880185,493
Fish (Other than Canned)
Australia46,738320,61759,928470,262
United States of America30,678947,13133,2671,137,122
Hawaii2147,20068228,442
Other countries9239,9661,05512,732
            Totals78,5531,284,91494,9321,648,558
Newsprint
Australia7,19621,254507,0181,525,641
Hawaii  4,70310,579
Other countries 3,453,0748,313
            Totals7,19921,299514,7951,544,533

EXPORTS BY PORTS.—The following table shows for the years 1952-56 the value of total exports according to the ports 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".

£
Port19521953195419551956
Auckland92,278,86885,214,27276,196,67889,281,66889,815,787
Tauranga143,486481,1041,331,3391,613,9783,874,869
Gisborne1,042,3701,717,6003,545,7933,334,3952,883,018
Napier24,743,18922,016,56122,214,54325,991,46924,667,602
New Plymouth11,043,66312,890,37813,362,42014,599,26416,997,030
Wanganui4,311184442297564
Wellington47,042,85345,644,60654,434,53245,320,40455,463,720
Wairau (including Picton)  21,93061,80668,071
Nelson1,027,5461,061,987906,4551,157,4291,634,381
Westport53,817    
Greymouth137,153252,449145,434176,405204,168
Hokitika180    
Lyttelton24,437,98619,007,79022,751,85521,832,93724,833,320
Timaru9,297,80510,622,84613,095,20014,422,41815,671,789
Oamaru3,36358,4639,0346,855 
Dunedin12,571,28616,119,59315,034,17718,102,58617,267,602
Invercargill16,558,02020,637,13521,281,94823,259,81324,271,870
Parcels-post174,808135,079134,426127,000159,105
            Totals240,560,704235,860,047244,466,206259,288,724277,812,896

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 311), farm products account for an extremely high proportion of exports from New Zealand. The farm-production export season fits much more closely to a June year than to a calendar year. The flush 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 the years ending in June instead of December.

QUANTITIES OF PRINCIPAL ITEMS OF NEW ZEALAND PRODUCE EXPORTED FOR YEARS ENDED 30 JUNE 1955-57
Commodity1954-551955-561956-57
Mining products—
    Coal(ton)795736224
    Gold(oz.)35,57517,84026,564
    Silver(oz.)44,7361,748 
Fishery products—
    Fish(cwt.)68,07597,675101,608
Forest products—
    Kauri gum(ton)379311286
    Timber, sawn(sup. ft.)36,239,78034,925,99830,288,018
    Timber, for cases in shooks(sup. ft.)3,063,8654,640,9442,590,168
    Wood pulp(ton)23,20034,85255,493
    Newsprint(cwt.) 158,448690,537
Pastoral products—
    Butter(cwt.)2,668,9513,124,5383,143,857
    Casein(cwt.)215,910259,091258,622
    Cheese(cwt.)1,363,0051,954,3171,769,124
    Milk, dried(cwt.)742,353925,2481,111,440
    Milk, preserved(cwt.)125,970110,14993,898
    Sugar of milk(cwt.)63,95674,90672,941
    Eggs, not in shell(lb.)1,106,7761,369,3341,261,625
    Honey(lb.)2,790,5673,912,3331,688,799
    Beef, chilled(cwt.)340,860378,068494,816
    Beef, frozen(cwt.)844,8141,375,9811,817,136
    Lamb, frozen (whole carcases)(cwt.)3,754,6264,401,5764,335,631
    Mutton, frozen (whole carcases)(cwt.)1,152,0421,213,1311,292,865
    Pork, frozen(cwt.)114,737207,201145,065
    Veal, frozen(cwt.)44,906206,980239,475
    Other frozen meat(cwt.)455,173454,513445,639
    Meat, canned(cwt.)218,896158,831106,884
    Meat extract(lb.)1,802,980610,636551,803
    Sausage casings(lb.)7,011,4306,844,4036,559,412
    Liver meal(cwt.)49,05937,21122,453
    Inedible offals(cwt.)38,31266,120104,890
    Calf skins(number)1,077,4331,277,3721,283,827
    Cattle hides(number)547,957724,010817,290
    Rabbit skins(number)270,349532,955136,068
    Opossum skins(number)306,545413,556392,631
    Sheep skins, with wool(number)946,8011,017,7041,083,512
    Sheep skins, without wool(number)18,566,30419,130,03915,787,152
    Woollb. (000)392,850405,296420,621
    Edible tallow(cwt.)215,949199,218151,533
    Inedible tallow(ton)24,76931,50531,947
Agricultural products—
    Apples(lb.)39,744,02255,211,41253,548,197
    Hops(lb.)192,624278,776249,544
    Potatoes(ton)2,4073,4221,641
    Onions(ton)1,5262,9612,696
    Canned vegetables(lb.)9,224,8068,941,05210,483,486
    Peas(cental)292,753277,622284,452
    Seeds, grass and clover(cwt.)161,20783,990155,582
    Linen flax and tow(cwt.)3,0791,3101,170
VALUES OF PRINCIPAL ITEMS OF NEW ZEALAND PRODUCE EXPORTED YEARS ENDED 30 JUNE 1955-57
Commodity1954-551955-561956-57
Mining products—
    Coal4,6534,5381,427
    Gold415,985211,436308,236
    Silver13,309523 
    Fishery products—
    Fish1,377,1151,381,4791,841,686
Forest products—
    Kauri gum43,61438,77634,683
    Timber, sawn952,783947,330876,852
    Timber, for cases in shooks144,665238,736135,787
    Wood pulp964,2101,478,5852,321,283
    Newsprint 467,1922,075,763
Pastoral products—
    Butter46,796,71753,385,12142,565,779
    Casein1,644,7531,975,8232,017,989
    Cheese11,044,89320,165,28721,312,766
    Milk, dried2,537,7693,525,6654,695,566
    Milk, preserved601,919530,710519,878
    Sugar of milk265,841328,678357,670
    Other dairy products  1,337,545
    Eggs, not in shell88,423172,633122,106
    Honey141,526208,429108,136
    Beef, chilled2,774,1662,777,6333,067,895
    Beef, frozen5,506,1508,581,77710,498,417
    Lamb, frozen (whole carcases)34,137,01242,491,90841,226,550
    Mutton, frozen (whole carcases)4,121,8784,698,6265,032,160
    Pork, frozen1,135,4031,951,3861,496,700
    Veal, frozen415,8321,641,8452,117,372
    Other frozen meat4,262,8204,661,8064,423,386
    Meat, canned3,306,3582,471,3161,721,156
    Meat extract417,637155,359154,954
    Sausage casings3,727,3494,388,7004,293,737
    Liver meal149,735137,88769,596
    Inedible offals311,253298,787494,598
    Calf skins915,4411,285,1691,039,088
    Cattle hides1,506,1171,654,7272,006,116
    Rabbit skins3,9767,7373,236
    Opossum skins79,276159,937110,523
    Sheepskins, with wool912,782901,6301,010,346
    Sheepskins, without wool5,267,2206,064,2474,995,551
    Other hides and skins129,616270,722214,091
    Wool88,928,31387,941,64398,200,231
    Edible tallow799,848704,342535,715
    Inedible tallow1,692,9922,036,9082,089,777
Agricultural products—
    Apples1,244,0411,727,2921,693,560
    Hops47,68968,23357,573
    Potatoes57,082105,83380,137
    Onions56,35086,588114,980
    Canned vegetables481,667444,297508,083
    Peas854,795738,282890,146
    Linen flax and tow13,7865,6175,475
    Seeds (grass and clover)2,782,7961,205,0651,537,564
Other New Zealand produce4,595,1413,648,8035,456,707
            Totals, New Zealand produce237,672,696268,375,043275,778,572

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 entrepot 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 twenty-one years are contained in the next table. Specie is not included in the figures.

 £
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
19542,093,328
19552,138,869
19562,383,620

The destination of this re-export trade for the last three years is shown in the following table.

£
Country195419551956
United Kingdom287,485470,314568,279
Hong Kong3,0552,62038,463
Malaya73,39920,3479,348
Union of South Africa20,8293,79314,358
Canada4,0425,76910,101
Australia628,696585,344559,679
Fiji148,893174,913255,348
Gilbert and Ellice Islands6,85414,09511,047
Nauru Island9,43617,76016,129
Norfolk Island13,4998,1611,167
Solomon Islands6261,630584
Tonga30,24719,58221,286
Western Samoa67,73165,12651,771
German Federal Republic10,75018,07629,244
Belgium1,5762,530725
France10,8732,0362,282
Sweden4,4552,3573,261
Switzerland5,9915,2664,091
Netherlands2,0884,85639,311
Indonesia7052116,054
Japan1,73017,402737
United States of America54,11251,99162,407
Society Islands3,70837,1796,154
French Indo-China97,000  
Other countries12,42048,12347,817
Ships' stores593,128559,578613,977
Totals (excluding specie)2,093,3282,138,8692,383,620

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.

The following table gives such information for the years 1955-56, together with valuations both c.d.v. and c.i.f.

£(000)
Section and Division19551956
c.d.v.c.i.f.c.d.v.c.i.f.
Sect. 0. Food
    Div. 00 Live animals chiefly for food63804766
    Div. 01 Meat and meat preparations242256188196
    Div. 02 Dairy produce, eggs, and honey34363639
    Div. 03 Fish and fish preparations1,2871,4051,1171,238
    Div. 04 Cereals and cereal preparations5,7386,8876,2657,548
    Div. 05 Fruits and vegetables4,2045,0944,1905,043
    Div. 06 Sugar and sugar preparations4,5065,1044,0114,654
    Div. 07 Coffee, tea, cocoa, spices, and manufactures thereof4,0865,5573,5374,812
    Div. 08 Feeding stuff for animals (not including unmilled cereals)224299240318
    Div. 09 Miscellaneous food preparations163174211209
            Totals, Section 020,54624,89019,84224,123
Sect. 1. Beverages and Tobacco
    Div. 11 Beverages2,6543,1032,8063,339
    Div. 12 Tobacco and tobacco manufactures3,0263,3642,5862,479
            Totals, Section 15,6796,4675,3925,818
Sect. 2. Crude Materials, Inedible, Except Fuels
    Div. 21 Hides, skins, and fur skins, undressed67716973
    Div. 22 Oil seeds, oil nuts, and kernels265321278324
    Div. 23 Crude rubber, including synthetic and reclaimed2,2402,3911,8041,924
    Div. 24 Wood, lumber, and cork2,3123,3412,2363,117
    Div. 25 Pulp and waste paper256309195236
    Div. 26 Textile fibres (not manufactured into yarn, thread, or fabrics and waste)8519438841,035
    Div. 27 Crude fertilizers and crude minerals, excluding coal, petroleum, and precious stones3,3256,9302,8677,028
    Div. 28 Metalliferous ores and metal scrap6868
    Div. 29 Animal and vegetable crude materials, inedible, n.e.i.1,3211,4441,0551,160
            Totals, Section 210,64215,7599,39414,905
Sect. 3. Mineral Fuels, Lubricants, and Related Materials    
    Div. 31 Mineral fuels, lubricants, and related materials16,55121,49018,96924,519
            Totals, Section 316,55121,49018,96924,519
Sect. 4. Animal and Vegetable Oils and Fats
    Div. 41 Animal and vegetable oils (not essential oils), fats, greases, and derivatives710810607696
            Totals, Section 4710810607696
Sect. 5. Chemicals
    Div. 51 Chemical elements and compounds3,6844,2953,9724,655
    Div. 52 Mineral tar and crude chemicals from coal, petroleum, and natural gas82127178277
    Div. 53 Dyeing, tanning, and colouring materials1,2971,4911,2251,373
    Div. 54 Medicinal and pharmaceutical products2,9112,9382,7842,784
    Div. 55 Essential oils and perfume materials, toilet, polishing, and cleansing preparations1,2711,2151,0411,054
    Div. 56 Fertilizers, manufactured1,5822,4511,4392,212
    Div. 59 Explosives and miscellaneous chemical materials and products4,9745,1944,8785,228
            Totals, Section 515,80117,71315,51717,584
Sect. 6. Manufactured Goods Classified Chiefly by Material
    Div. 61 Leather, leather manufactures n.e.i., and dressed furs1,1081,1479671,015
    Div. 62 Rubber manufactures n.e.i.1,3861,3131,6711,639
    Div. 63 Wood and cork manufactures (excluding furniture)1,0861,404780943
    Div. 64 Paper, paperboard, and manufactures thereof7,5219,0646,2197,546
    Div. 65 Textile yarn, fabrics, made-up articles, and related products33,02035,81629,73732,122
    Div. 66 Non-metallic mineral manufactures n.e.i.4,9926,9074,6255,922
    Div. 67 Silver, platinum, gems, and jewellery791823874911
    Div. 68 Base metals23,89328,13220,14023,630
    Div. 69 Manufactures of metal11,27212,31412,44314,507
            Totals, Section 685,06896,92077,45688,235
Sect. 7. Machinery and Transport Equipment
    Div. 71 Machinery other than electric30,89232,74928,14829,839
    Div. 72 Electric machinery, apparatus, and appliances15,07416,41713,95214,521
    Div. 73 Transport equipment29,48932,48125,17626,869
            Totals, Section 775,45681,64767,27671,230
Sect. 8. Miscellaneous Manufactured Articles
    Div. 81 Prefabricated buildings, sanitary, plumbing, heating and lighting fixtures, and fittings1,3301,4671,1691,294
    Div. 82 Furniture and fixtures304340332385
    Div. 83 Travel goods, handbags, and similar articles159175130141
    Div. 84 Clothing3,6493,8572,9713,167
    Div. 85 Footwear561610810891
    Div. 86 Professional, scientific, and controlling instruments; photographic and optical goods, watches, and clocks4,1454,1474,5564,435
    Div. Miscellaneous manufactured articles n.e.i.9,39210,1089,63510,220
            Totals, Section 819,54120,70319,60320,533
Sect. 9. Miscellaneous Transactions and Commodities n.e.i.
    Div. 92 Live animals, not for food80948984
    Div. 93 Returned goods and special transactions7577149150
    Div. 95 Unclassified goods under £10 in value499551454507
    Div. 99 Gold13143030
            Totals, Section 9667735722771
            Grand totals, merchandise imports250,661287,134234,779268,415

The next classification presented is that according to the purpose or use of commodities, particulars being given for the years 1947, 1954, 1955 and 1956. 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.

£(000)
Class of Merchandise1947195419551956
Producers' materials—
    Building and construction5,01312,62211,66410,618
    Farm2,5195,4116,0005,557
Manufacturing—
    Food7,12211,44711,29410,945
    Beverages2391,3058301,015
    Tobacco1,1092,0712,0591,681
    Textiles (apparel or household goods)20,34623,14523,55520,582
    Other20,43837,11754,53549,277
    Fuels and lubricants6,42114,46715,96018,279
    Auxiliary aids to production3,4733,4173,8233,660
Producers' equipment—
    Farm2,1407,4007,5077,226
    Commerce and industry16,60229,32837,23035,767
Transport equipment—
    Railway1,4262,3054,5113,838
    Road12,79920,06223,62720,000
    Other2861,5461,5361,035
Consumers' goods—
    Food2,5525,3665,9645,685
    Beverages3,0684,9975,5095,219
    Tobacco1,9805231,045988
    Clothing and accessories4,7174,9444,9894,649
    Household equipment6,8359,46712,35711,308
    Other8,29114,26014,99614,982
Unclassified1,2641,9551,6712,468
            Totals, merchandise imports128,641213,155250,661234,779

In the next table particulars are given of New Zealand's import trade for the years 1947, 1954, 1955, and 1956 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".

£(000)
1947195419551956
* Including unclassified items.
Producers' materials—
    Crude8,92914,82716,44115,632
    Simply transformed12,89729,38836,72531,523
    More elaborately transformed34,96048,90356,77152,520
Fuels and lubricants—
    Crude1,81432650
    Simply transformed4,60714,46415,93318,230
    More elaborately transformed    
Auxiliary aids to production—
    Crude    
    Simply transformed 18  
    More elaborately transformed3,4733,3993,8233,660
Producers' equipment—    
    Crude89756348
    Simply transformed886899571,628
    More elaborately transformed18,56635,96343,71641,317
    Transport equipment—
    Crude    
    Simply transformed5761,1411,124630
    More elaborately transformed13,93522,77228,54924,243
Consumers' goods—
    Crude3,8325,0995,5165,349
    Simply transformed250523322288
    More elaborately transformed24,62533,93639,02237,193
Total merchandise imports*
    Crude14,66420,00422,04921,079
    Simply transformed18,41846,22455,06252,299
    More elaborately transformed95,559146,927173,550161,402
    Totals, all merchandise*128,641213,155250,661234,779

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.

Per Cent
1947195419551956
* Including unclassified items.
Producers' materials—
    Crude6.97.06.66.7
    Simply transformed10.013.814.713.4
    More elaborately transformed27.222.922.622.4
Fuels and lubricants—
    Crude1.4   
    Simply transformed3.66.86.47.8
    More elaborately transformed    
Auxiliary aids to production—
    Crude    
    Simply transformed More elaborately transformed2.71.61.51.6
Producers' equipment—
    Crude    
    Simply transformed 0.30.40.7
    More elaborately transformed14.415.917.417.6
Transport equipment—
    Crude    
    Simply transformed0.40.50.40.3
    More elaborately transformed10.810.711.410.3
Consumers' goods—
    Crude3.02.42.22.3
    Simply transformed0.20.20.10.1
    More elaborately transformed19.115.915.615.8
Total merchandise imports*
    Crude11.49.48.89.0
    Simply transformed14.321.722.022.3
    More elaborately transformed74.368.969.268.7
    Totals, all merchandise*100.0100.0100.0100.0

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.—The United Kingdom has been the chief supplier of New Zealand imports since the "eighties" of last century. Prior to that the main supply was from Australia. In the years following the Second World War, the proportion of the import trade received from the United Kingdom rose from 47.8 per cent in 1946 to a maximum of 60.1 per cent in 1950. Since 1950 there has been a decline, and in 1956 only 53.7 per cent of imports came from that source. The trade with Australia in most recent years has been between 10 and 14 per cent of the total.

The principal changes in the direction of the import trade are illustrated in the table in Section 10A giving the percentages received from the United Kingdom, other Commonwealth countries, European, and other countries. It will be seen that European countries are now playing a greater part in providing New Zealand's import requirements.

The table which follows shows imports (valuation c.d.v.) 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
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
1954122,009,95752,026,87539,118,205120,714,08351,002,44141,438,513213,155,037
1955140,539,65859,786,54150,334,797137,830,90459,452,77253,377,320250,660,996
1956129,225,50758,490,38347,062,842126,144,05358,857,94349,776,736234,778,732

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 1954 to 1956.

£
Country195419551956
British Commonwealth Countries, Protected States, and Trust Territories
Europe—
    United Kingdom120,714,083137,830,904126,144,053
    Gibraltar, Malta, and Cyprus14,46820,81215,061
Asia—
    Aden Colony and Aden Protectorate5,6401,010,524911,279
    Bahrain2,438,5262,863,7593,191,431
    British Borneo76,132110,95735,389
    Ceylon2,647,3882,505,9102,221,629
    Malaya and Singapore4,814,5684,428,9123,178,939
    Hong Kong470,050993,993941,929
    India2,734,2983,234,9823,458,155
    Pakistan45,76144,59088,474
    Other4,99564 
Africa—
    Anglo-Egyptian Sudan17,31721,744 
    British West Africa990,563579,409474,245
    Kenya and Uganda220,731230,475304,920
    Rhodesia-Nyasaland Federation7,81364.42916,380
    Seychelles87,064155 
    Swaziland, Bechuanaland, Basutoland60336,400 
    Tanganyika Territory103,022184,423255,028
    Union of South Africa1,209,941956,1411,010,545
    Zanzibar5,8764,1983,205
    Other5436,46228,207
America—
    British Guiana6,08024,64826,200
    British West Indies307,850369,121431,658
    Canada4,380,3548,360,0876,257,507
    Other14063109
Pacific—
    Australia27,491,85230,477,91433,305,458
    Fiji1,842,0691,721,9741,463,220
    Gilbert and Ellice Islands112,800120,572152,438
    Nauru Island495,239626,224630,799
    New Zealand (re-imports)66,68748,262122,479
    Tonga42,84465,71962,829
    Western Samoa357,845328,560258,761
    Other3,38211,28911,669
    Totals, British Commonwealth countries171,716,524197,283,676185,001,996
Other Countries
Europe—
    Austria243,732560,529368,419
    Belgium and Luxemburg1,706,5072,368,0412,109,445
    Czechoslovakia180,295284,283345,965
    Denmark225,699426,087306,025
    Finland90,721214,72455,377
    France1,765,3621,938,6601,945,386
    German Federal Republic4,363,1776,868,4596,591,009
    Germany, Eastern277,42982,90659,812
    Greece3,7792,7684,588
    Republic of Ireland16,90015,72810,916
    Italy1,145,4101,190,9631,485,494
    Netherlands2,297,2372,411,0992,085,966
    Norway636,926792,031673,398
    Poland1,3744,49539,669
    Portugal141,722302,071193,676
    Russia (U.S.S.R.)150,90438,71932,652
    Spain112,019144,036143,116
    Sweden1,666,2842,259,4361,834,951
    Switzerland1,402,7241,569,1631,547,846
    Other2,26010,79810,932
Asia—
    Burma2,1527,8113,509
    China224,864288,865324,759
    Formosa8,16516,95614,395
    Indonesia2,431,0054,634,4576,311,456
    Iran4,235869,9021,583,591
    Iraq120,751125,500111,222
    Japan1,065,2492,523,7942,237,041
    Philippines35,41431,18751,613
    Saudi Arabia33,682503,760505,332
    Thailand8,70548,53629,979
    Turkey30,98442,39246,437
    Other12,85317,3628,210
Africa—
    Algeria9,9896,8293,348
    Belgian Congo2,8482,8063,020
    Ethiopia28,54338,03630,937
    Egypt2,2331,8613,234
    French Morocco1,7726,9391,175
    Tunisia98,15846,765100,880
    Sudan  9,254
    Other6,4464,5025,091
America—
    Argentina43,06033,33916,820
    Brazil67,70188,88370,156
    Chile60,115105,095100,203
    Cuba98,829  
    Ecuador9,2667,4839,327
    Mexico4,93111,17020,557
    Netherlands Antilles2,324,524955,928388,950
    Peru267,296150,2301,198
    United States of America17,471,60121,304,81717,803,575
    Venezuela520,384 72,723
    Other3,7496,5532,071
    Pacific Islands8,54810,56662,031
    Totals, other countries41,438,51353,377,32049,776,736
    Totals, all countries213,155,037250,660,996234,778,732

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)
Per Cent
Country19461947194819491950195119521953195419551956
United Kingdom47.7742.7652.2155.1360.0653.5954.9156.4556.6354.9953.73
Bahrain0.610.851.001.261.071.001.171.771.141.141.36
Ceylon2.041.521.851.411.261.840.591.191.241.000.95
India2.963.662.822.551.413.211.021.101.281.291.47
Pakistan0.010.020.040.010.020.020.020.04
Malaya and Singapore0.030.390.570.750.931.970.781.872.261.771.35
Union of South Africa0.310.380.560.400.620.830.550.660.580.380.43
Canada6.519.035.383.872.262.983.521.402.063.342.67
Australia14.5611.6111.1312.7912.0510.2910.6214.4512.9012.1614.19
Fiji1.751.691.720.770.710.541.020.840.860.690.62
Other British Commonwealth countries.0.951.402.382.192.212.031.961.621.591.931.99
Totals, British Commonwealth countries.77.4973.2979.6281.1382.6078.3276.1581.3780.5678.7178.80
Belgium0.341.901.191.550.711.442.020.900.790.940.90
France0.100.680.730.340.771.131.581.200.830.770.83
German Fed. Rep. 0.020.070.280.140.700.991.202.052.742.81
Netherlands0.080.470.280.210.380.590.990.701.080.960.89
Sweden0.700.891.190.560.780.921.361.210.780.900.78
Iran0.641.471.701.492.311.270.09  0.350.67
Japan  0.050.300.301.181.640.240.501.010.95
Indonesia0.010.021.261.932.131.952.131.681.141.852.69
Netherlands Antilles0.41    0.130.550.091.090.380.17
Peru1.240.02      0.130.06 
United States of America16.4118.1310.799.627.299.389.267.428.208.507.58
Tuamotu Archipelago1.130.600.430.540.37      
Other countries1.452.512.692.052.222.993.243.992.852.832.93
Totals, other countries22.5126.7120.3818.8717.4021.6823.8518.6319.4421.2921.20

It will be seen that the great bulk of New Zealand's imports of merchandise are of Commonwealth origin, the average proportion for the post-war years being 78 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 1954 to 1956.

£(000)
Country of Origin195419551956
Canned Fish
United Kingdom8010888
Union of South Africa1212616
Canada191799496
German Federal Republic720 
Norway118123106
Russia (U.S.S.R.)110  
Japan1491167
United States of America6815
Other countries1265
                Totals7871,088813
Canned Fruit
United Kingdom25144
Ceylon4119
Malaya5729
Kenya and Uganda192425
Union of South Africa188130131
Australia780593529
Fiji426530
Netherlands 93
Japan129
Other countries353
                Totals1,067850782
Country of Origin195419551956
Dried Fruits
Union of South Africa551021
Australia886882822
Spain9  
Iraq120125110
Turkey72418
United States of America 144102
Other countries755
                Totals1,0841,1901,078
Bananas
Fiji11510188
Tonga355054
Western Samoa107199125
                Totals257350267
Oranges
Union of South Africa912252
British West Indies9999127
Australia497479560
United States of America 4747
Other countries21 
                Totals689648786
Peanuts
Kenya and Uganda139 
Union of South Africa8859104
Australia123731
China 319
India 2815
Indonesia409 
Other countries 135
                Totals153158174
Wheat
Australia4,8434,9205,203
Raw Sugar
Australia2,4172,5672,300
Fiji1,6061,4541,273
Cuba99  
Peru220  
                Totals4,3424,0213,573
Cocoa Beans (Raw)
British West Africa933548446
Western Samoa392117
Other countries  1
                Totals972569464
Coffee Beans
Aden535
Malaya336
Kenya and Uganda135101119
British West Indies137
Tanganyika545552
Indonesia60918
Brazil314
Other countries81611
                Totals269191222
Tea
Ceylon2,5132,4052,075
India219249241
China374
Indonesia81814
Other countries152
                Totals2,7442,6842,336
Beverage Spirits
United Kingdom1,5921,9422,123
Union of South Africa 52
Canada 176
British Guiana51110
British West Indies233231
Australia252534
Denmark4 5
France205255231
Netherlands333228
Other countries3139
                Totals1,8902,3322,480
Cigarettes
United Kingdom371737774
Australia 13161
Netherlands793
Switzerland17148
Other countries331
                Totals398894847
Tobacco
United Kingdom171915
Netherlands567
Indonesia25 
United States of America2,0692,0531,681
Other countries243
                Totals2,0952,0871,706
Wool
United Kingdom4459100
Australia314102222
Other countries 1 
                Totals358162322
Kapok
Ceylon11159
India413828
Pakistan114 
Indonesia22512695
Thailand 325
Other countries 1 
                Totals277213151
Hat Hoods
United Kingdom152157118
Canada356
Czechoslovakia292341
France203328
Italy626579
Switzerland548
China151717
Formosa6911
Japan3320
Ecuador768
United States of America  7
Other countries1079
                Totals312329352
Hosiery
United Kingdom1,2961,189623
Hong Kong 711
German Federal Republic8910
Other countries8912
                Totals1,3121,214656
Gloves
United Kingdom221197135
Malta141612
Hong Kong365754
Australia326
Czechoslovakia151
France21169
German Federal Republic827661
Italy23238
Other countries221
                Totals403394287
Infants' Wear
United Kingdom332687367
Hong Kong2812452
Portugal776
Other countries382
                Totals370826427
Footwear
United Kingdom475460702
Hong Kong112013
India101313
Malaya61718
Australia2 6
France 72
German Federal Republic235
Italy142216
Netherlands141833
Other countries412
                Totals538561810
Made-up Household Linen
United Kingdom1,0019901,007
Hong Kong131518
India603051
Canada3615
Australia822
Belgium and Luxemburg677
Czechoslovakia418 
German Federal Republic81420
Netherlands191722
Japan254739
United States of America 56
Other countries7912
                Totals1,1501,1461,217
Cheese Bandages and Meat Wraps
United Kingdom6809861,002
Hong Kong 314
India91726
                Totals6891,0061,042
Knitted Cotton Piece-goods
United Kingdom241921
Other countries434
                Totals282225
Woven Cotton Piece-goods
United Kingdom5,5745,6085,154
Hong Kong142679
India741664673
Canada6810
Australia37832
Austria382428
Belgium and Luxemburg200118113
Czechoslovakia22361
France464969
German Federal Republic198201198
Italy624542
Netherlands225132108
Spain52313
Switzerland214135131
Japan35179458
United States of America160206364
Other countries8408
                Totals7,5657,4897,541
Household Linen Fabrics
United Kingdom342254132
Other countries315
                Totals345255137
Rayon Piece-goods
United Kingdom2,1922,2141,889
Canada151081
Australia16110413
Austria4913
Belgium and Luxemburg111619
France16213691
German Federal Republic344793514
Italy296190138
Netherlands445486
Switzerland1157863
Japan154264369
United States of America26155279
Other countries3311
                Totals3,5274,0263,566
Nylon Piece-goods
United Kingdom811798591
Canada1279
Australia111412
Austria 55
France1035110
German Federal Republic72018
Italy806571
Netherlands81115
Switzerland393534
Japan1910070
United States of America64188158
Other countries125
                Totals1,0621,2801,098
Woollen Piece-goods
United Kingdom4,3593,6842,689
Australia10826
Belgium and Luxemburg281737
France161
German Federal Republic4910
Italy102038
Netherlands117
Other countries725
                Totals4,4203,7472,813
Jute and Hessian Piece-goods
United Kingdom708772
India337460353
Other countries1 4
                Totals408547429
Bags, Sacks, and Wool-packs
United Kingdom1028
Ceylon  6
India9161,1341,163
Pakistan  38
Other countries142
                Totals9271,1401,217
Woollen Carpets (Rolls, Squares, and Rugs)
United Kingdom1,8892,1111,454
India302315
Australia231712
Belgium and Luxemburg2688
Czechoslovakia328
Other countries853
                Totals1,9792,1661,500
Linoleum and Congoleum
United Kingdom782796901
Canada25 
Australia  9
India232719
German Federal Republic 7 
United States of America 1311
Other countries  2
                Totals805845947
Cotton Threads
United Kingdom521641527
Australia91815
Other countries12 
                Totals531661542
Cotton Yarn
United Kingdom582567562
Hong Kong3112
India 610
Australia254532
Netherlands 1225
Other countries 2 
                Totals610643631
Synthetic Yarn
United Kingdom499585456
Australia1281
France12813
German Federal Republic531
Netherlands142410
Switzerland1361
United States of America23927
Japan  5
Other countries653
                Totals563678517
Wool Yarn
United Kingdom1,2771,1931,088
Australia502156
Other countries 3 
                Totals1,3271,2171,144
Motor and Aviation Spirit
United Kingdom911  
Aden 670631
Bahrain1,9722,4402,582
India 128363
Malaya1,442828532
Australia 754967
France111  
German Federal Republic35  
Italy26  
Netherlands270  
Indonesia1,0332,5554,160
Iran 740631
Saudi Arabia 431428
Netherlands Antilles2,017935221
Peru 22 
Venezuela520 64
United States of America668384446
Other countries11 
                Totals9,0069,88811,025
Kerosene
Bahrain221725
Malaya5842 
Indonesia104177215
Tran1050 
Netherlands Antilles66  
Other countries2  
                Totals252246290
Diesel and Fuel Oils
United Kingdom585  
Aden 256241
Bahrain351407584
India  36
British Borneo51  
Malaya1,5611,040511
Australia174071,130
France59  
Italy25  
Indonesia7521,5391,605
Iran 116779
Saudi Arabia337378
Netherlands Antilles2351839
Peru44126 
United States of America6421 
Other countries 1 
                Totals3,7264,0555,003
Lubricating Oils
United Kingdom393389540
Australia17811
Belgium and Luxemburg7233
Netherlands Antilles4 127
United States of America8761,0961,034
Venezuela  8
Other countries 26
                Totals1,2971,5181,729
Linseed Oil
United Kingdom133269194
India 2756
Australia134218
German Federal Republic  8
Netherlands3130
Argentina433314
United States of America 2724
Other countries 4 
                Totals192403344
Gypsum
Australia465647
Other countries412
                Totals505749
Cement
United Kingdom321388226
Australia35555 
Belgium and Luxemburg18246 
German Federal Republic  13
Japan34425410
United States of America478
Other countries 11
                Totals1,206751258
Iron and Steel—Pipes, Tubes, and Fittings
United Kingdom1,1911,3151,499
Union of South Africa203817
Canada 14383
Australia319905271
German Federal Republic420154
Italy  15
Netherlands31527
Sweden246
United States of America21331
Other countries6610
                Totals1,5472,4592,113
Iron and Steel—Plate, Sheet, Hoop, and Strip
United Kingdom4,8206,8453,786
Union of South Africa5110 
Canada24684
Australia1,0656961,888
Belgium and Luxemburg173241
France4116
German Federal Republic81549
Netherlands6 2
Japan14754
United States of America71203126
Other countries223
                Totals6,0477,9076,039
Iron and Steel—Wire (excepting Barbed-wire)
United Kingdom1,1881,3291,160
Canada 16
Australia535435481
Belgium and Luxemburg66493360
France37351
German Federal Republic28129
Japan219681
United States of America101626
Other countries 22
                Totals1,8062,6262,196
Iron and Steel—Bars, Rods, Billets, Bloom, and Pig
United Kingdom1,2811,6911,923
Hong Kong918131
Canada31813
Australia682459382
Belgium and Luxemburg37141120
France12848
German Federal Republic 856
Italy 627
Netherlands937
Norway15 
Japan 59585
United States of America 128222
Other countries 41
                Totals2,0233,2622,920
Iron and Steel—Angles, Tees, Girders, and Channels
United Kingdom7051,2951,005
Australia164125162
Belgium and Luxemburg63297
Denmark 54
France 3979
Netherlands81920
United States of America92121
Other countries 42
                Totals8921,5401,390
Aluminium and its Alloys
United Kingdom613926782
Canada3889157
Australia264837
German Federal Republic6129
Netherlands178117133
Switzerland22121
United States of America1946
Other countries333
                Totals1,2371,2181,068
Copper
United Kingdom1,6151,5451,521
Rhodesia-Nyasaland Federation 8 
Union of South Africa13174
Canada121552275
Australia146204295
Other countries332
                Totals1,8982,3292,097
Tin
United Kingdom82414
Malaya211199268
Australia928025
                Totals311303307
Artificers' Tools
United Kingdom664785822
Canada162181174
Australia11510799
France146
German Federal Republic128181156
Sweden293932
Japan 45
United States of America229372289
Other countries2813
                Totals1,3301,6811,596
Ball and Similar Bearings
United Kingdom211245330
Canada889
Austria 910
German Federal Republic159
Sweden639680
United States of America619290
Other countries1095
                Totals354464533
Electric Motors and Parts
United Kingdom1,0702,352978
Canada53239
Australia708349
German Federal Republic81815
Sweden284240
United States of America224923
Other countries583
                Totals1,2562,5751,117
Insulated Cable and Wire
United Kingdom1,4962,4242,707
Union of South Africa14215
Canada1112
Australia44102148
Netherlands841723
Sweden546
United States of America1124
Other countries  1
                Totals1,6452,7062,916
Electric Switches and Switchboards
United Kingdom1,4451,6821,632
Union of South Africa1153
Canada264
Australia102122128
Austria 5 
Belgium228
France53 
German Federal Republic112721
Italy 3414
Netherlands20728
Sweden151734
Switzerland4415838
United States of America817857
Other countries543
                Totals1,7382,1521,973
Telegraphy and Telephony Apparatus
United Kingdom1,1231,3831,665
Australia196862
Belgium and Luxemburg38886
German Federal Republic145
Netherlands 12 
Sweden101414
United States of America19946
Other countries637
                Totals1,2161,5811,805
Radio and Radar Apparatus
United Kingdom4271,865555
Australia105172115
Belgium 88 
German Federal Republic91814
Netherlands102165118
Sweden5226
United States of America292664
Other countries7912
                Totals6842,365884
Transformers and Converters
United Kingdom662763349
Australia163234
Austria 5943
German Federal Republic 193
Sweden15147136
Switzerland71106
Other countries586
                Totals841929677
Tractors and Parts
United Kingdom3,8142,7882,444
Union of South Africa102 
Canada32318
Australia353042
France15162
German Federal Republic10210277
Italy12147
United States of America2,3261,7511,861
                Totals6,4824,7244,441
Domestic Baths
United Kingdom170230172
Other countries  1
                Totals170230173
Sewing Machines
United Kingdom351516484
German Federal Republic10512347
Italy1878115
Sweden63145
Switzerland138137200
Japan7913
United States of America10212757
Other countries314
                Totals7301,022965
Raw, Synthetic, and Reclaimed Rubber
United Kingdom183528
Ceylon17710
Malaya1,1342,0711,548
Western Samoa  10
Canada115124
German Federal Republic1464
Indonesia386
United States of America285874
Other countries3  
                Totals1,2052,2401,804
Sawn Timber
United Kingdom574
Malaya58132162
Hong Kong 327
British West Africa221413
Canada436663456
Australia439431419
British Guiana 1015
Japan143281148
Thailand439
Burma 62
Chile6  
United States of America186247133
Other countries566
                Totals1,3041,8031,394
Motor Cars
United Kingdom11,93713,2519,775
Canada394833819
Australia1108381,631
Czechoslovakia 3941
France659793
German Federal Republic175426411
Italy  28
United States of America356622186
                Totals13,03716,10612,984
Commercial Motor Vehicles
United Kingdom3,1152,7652,571
Canada5321140
Australia459373784
German Federal Republic1043731
United States of America6514193
                Totals3,7483,6373,619
Railway and Tramway Vehicles and Parts
United Kingdom9991,5352,797
Canada 11 
Australia586564
Italy  15
United States of America161,62872
Other countries 54
                Totals1,0733,2442,952
Railway and Tramway Rails and Rail Accessories
United Kingdom395733500
Australia323922
United States of America46237 
Other countries  3
                Totals889809525
Pneumatic Tires and Tubes (over 1 3/4 in. Diameter)
United Kingdom180278300
Union of South Africa15109
Canada56655
Australia8911
German Federal Republic6612
United States of America238874
Other countries25 
                Totals237459466
Musical Instruments, Parts, and Gramophone Records
United Kingdom7541,1661,000
Australia10278114
Austria 35
Czechoslovakia478
France101317
German Federal Republic5083117
Italy477062
Netherlands153338
Japan 515
United States of America151522
Other countries11910
                Totals1,0081,4821,408
Prefabricated Timber Houses
United Kingdom244  
Australia6 9
Netherlands1  
Sweden1  
                Totals252 9
Thermosetting Powders and Thermoplastic Resins
United Kingdom709717645
Canada13970
Australia361276122
German Federal Republic408160
Italy5  
Netherlands353437
United States of America54219360
Other countries261
                Totals1,2071,3721,295

QUANTITIES OF PRINCIPAL ITEMS IMPORTED.—The following table shows the quantity imported, during each of the years 1954 to 1956, of a large number of the principal items.

ItemUnit of Quantity195419551956
Canned fishlb. (000)5,8297,0885,641
Fruit—
    Cannedlb. (000)19,56015,69613,823
    Driedlb. (000)18,97021,64019,134
    Fresh—
        Bananaslb. (000)44,57960,60747,652
        Orangeslb. (000)29,60526,88732,164
Grain and pulse—
    WheatBush. (000)7,9288,6059,719
    Maizena and cornflourlb. (000)5,8373,8284,290
    Rice (other than rice flour and ground rice)Cwt.44,00048,00062,900
Nuts, ediblelb. (000)4,9131,4991,346
Desiccated coconutlb. (000)2,2152,1472,637
Jams, jellies and preserveslb. (000)4,1714,9481,337
Confectionerylb. (000)1,2332,3121,853
SugarCwt. (000)2,5672,2962,103
Tealb. (000)15,32312,89914,184
Coffee, rawlb. (000)1,3141,2561,600
Cocoa-beans, rawlb. (000)6,8875,1735,708
Cigaretteslb. (000)7301,7191,554
Tobaccolb. (000)7,3927,6966,270
Spirits (beverages)Liq. gals. (000)1,1451,4111,481
WineLiq. gals. (000)135232243
Cotton and linen piece-goods—
    Cheese-bandages and meat-wrapslb. (000)2,4203,4643,656
    Knittedlb. (000)555660
    WovenSq. yds. (000)52,26952,82452,687
Woollen piece-goodsSq. yds. (000)7,7807,0105,198
Silk, and artificial and synthetic fibre piece-goods—
    WovenSq. yds. (000)21,38525,51623,686
    Knittedlb. (000)1,1601,2351,092
Yarns—
    Cottonlb. (000)2,1902,2952,297
    Silk and artificial silklb. (000)1,2681,178926
    Woollenlb. (000)1,6861,8291,441
Bags, sacks, wool-packsDoz. (000)8281,0851,328
Footwear—
    Children'sDoz. pairs64,90061,20056,300
    Adults'Doz. pairs22,60026,10030,100
Hosiery—
    Full lengthDoz. pairs (000)297.2277.6113.4
    Half and three-quarter hoseDoz. pairs (000)82.472.763.1
GlovesDoz. pairs (000)142.7154.7121.8
Hat-hoods, felt, unblockedDoz. (000)94.689.0108.7
Mowers and harvestersNo.4,4683,3043,138
Cream separatorsNo.2,2212,0771,096
Electrical—
    Storage batteriesNo.13,95829,05421,511
    Wireless valvesNo. (000)7341,099872
    Lamp bulbsNo. (000)2,6243,7883,747
Sparking plugsNo. (000)1,5851,6311,428
TypewritersNo.8,01810,7038,225
Sewing machines, domesticNo.19,04827,32931,872
Iron and steel—
    Bar, rod, billet, bloom, pigCwt. (000)1,3131,7591,464
    Angle, tee, channel, girderCwt. (000)549851707
    Plate and sheetCwt. (000)2,0902,6171,956
    Pipes, tubes, and fittingsCwt. (000)516693570
    WireCwt. (000)8221,091852
CopperCwt.119,500111,30096,000
Brass and muntzCwt.18,10016,20011,500
LeadCwt.113,200104,400109,600
TinCwt.8,9008,5008,500
Cordage of metalCwt.81,40081,500120,200
BicyclesNo.28,65538,01442,633
Motor cyclesNo.3,4761,645712
Motor carsNo.40,18446,43236,237
Lorries, trucks, etc.No.8,57812,7319,480
TractorsNo.12,0308,6956,612
Tires (excluding bicycle)No. (000)445360
Mineral oils—
    Motor spiritsGals. (000)212,631227,307242,868
    Lubricating oilGals. (000)7,5337,6979,982
    KeroseneGals. (000)6,2975,8527,019
    Crude petroleum, fuel oils, etc.Gals. (000)136,113147,627150,243
Chemicals—
    AcidsCwt.17,90023,60022,400
    Calcium carbideCwt.47,70042,10047,100
    SulphurTons133,219127,98285,771
    SaltCwt. (000)1,0261,0981,184
    Caustic sodaCwt.44,10054,60058,300
    Carbonate of sodaCwt. (000)231.8239.5299.6
Manures—
    Nitrate of sodaTons3,1035,8635,113
    PhosphaticTons621,227652,643671,014
    PotashTons36,20139,87142,116
    Sulphate of ammoniaTons4,5965,6954,511
Timber, sawnSup. ft. (000)30,37242,34733,163
Glass, plate and sheetSq. ft. (000)13,97515,61415,650
Linseed oilGals. (000)553961668
Plaster-of-parisGals. (000)330.8425.9354.4
GypsumGals. (000)798.3781.2714.0
Asbestos, crudeCwt.69,00081,20054,500
CementCwt. (000)3,727.12,695.0926.1
Pulp and paper building boardSq. ft. (000)2,1369,8697,186
Printing paperCwt. (000)899.31,163.4997.1
Other paperCwt. (000)115.2176.1101.3
Cardboard, etc.Cwt. (000)139.2163.676.1
Raw rubberCwt. (000)148.0193.1159.1
Paraffin waxlb. (000)3,6792,2761,472
Wood and paper pulpTons5,3435,4623,637

Imports by Ports.—With the closing of the Customshouses at Kaipara, Patea, Hokitika, and Westport (from 31 January 1953), New Zealand now has fifteen ports of entry for Customs purposes—seven in the North Island and eight in the South Island.

The following table gives the total value of imports of merchandise for the several ports of entry during each of the five years 1952-56.

£
Port19521953195419551956
Auckland85,245,60467,195,05785,227,847110,180,43491,391,334
Tauranga37,77950,84572,015131,347195,245
Gisborne289,731230,041364,796448,656403,133
Napier2,519,3151,747,4652,416,0493,577,9333,311,926
New Plymouth4,064,8272,300,0662,837,1763,113,5643,131,237
Wanganui830,685407,089563,722690,984637,946
Wellington80,228,18555,295,21772,795,93785,752,96980,547,263
Wairau (including Picton)86,24749,25398,735144,455145,930
Nelson602,281481,793625,348802,461886,756
Westport195,2374,815   
Greymouth119,164108,880194,314156,891263,461
Lyttelton32,808,21722,573,71929,801,20934,324,50334,063,508
Timaru1,072,5331,128,3941,389,3841,464,1521,511,124
Oamaru290,50172,813108,163122,238113,907
Dunedin18,167,48810,327,89714,391,30616,517,55014,815,866
Invercargill2,889,5151,639,9562,269,0363,232,8593,360,096
                Totals229,447,309163,613,300213,155,037250,660,996234,778,732

Three-quarters of the total imports usually come in by way of Wellington or Auckland. Lyttelton and Dunedin occupy third and fourth places in importance. Following these, however, the relative importance of the ports varies from year to year.

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 Whenuapai were included in the Auckland figures, imports through 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
1946113,313
1947117,434
1948168,553
1949171,314
1950161,705
1951192,398
1952245,883
1953287,002
1954286,418
1955283,443
1956298,273

The principal articles imported into New Zealand from the Cook and associated islands are as follows.

£
Item195419551956
Fruits, fresh—
    Bananas1,6722,0751,506
    Oranges29,00231,55744,357
    Tomatoes33,02446,26054,564
    Other31,69223,81231,773
Copra, coconut oil and meal125,625140,605137,609
Apparel20,94030,75523,934
Cinematograph films (re-imports)8,169  
Arrowroot822  
Vegetables23,7165021,758
Wickerware5,0474,182852
All other items6,7093,6951,920
            Totals286,418283,443298,273

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 issue 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. Reference should also be made in this connection to the Annual Reports of the Customs Department for the years 1955 to 1957.

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 countries adhering to the General Agreement on Tariffs and Trade 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 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.

In recent years a number of changes in the tariff have resulted from public inquiries conducted by the Board of Trade, and the Board in November 1957 completed a comprehensive review of the whole structure and incidence of the tariff and reported to Government.

The following is a list of the principal items which, regardless of their country of origin, are entirely free of duty or subject to primage only under the present tariff:

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; buttons; needles and pins; wadding; cotton piece-goods for meat wraps and cheese bandages; umbrella-makers' materials; upholsterers' materials; coir, flax, and jute yarns; patent leathers; bricks, other than firebricks; eyes, artificial; glass cloches; plaster of paris; marble in the rough; grindstones and whetstones; cinema films (subject, however, to film-hire tax); bookbinders' materials; maps, charts, plans; filter paper and filter pulp; 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 in bulk; kerosene and other refined mineral oils not exceeding in specific gravity 0.860 at 60° F. (other than motor spirits); waxes; cork; engine packing; 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; raw cocoa beans; raw coffee; sago and tapioca; cornflour; macaroni; acetic acid cream of tartar; disinfectants; sheep dip; chloroform and other anaesthetics; antiseptics; manufactured dyes; most surgical, dental, optical, and scientific instruments and materials; vitamins; 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, shoes, and gumboots, sizes 0-6 inclusive; 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; accounting machines; rabbit traps; 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; bicycles and tricycles.

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 October 1957 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, Id., general tariff, 2d. per pound.

Sugar.—Sugar also was placed on the free list in 1907, prior to which the duty was 1/2d. per pound. Refined sugar of foreign origin was charged 1/2d. per pound under the 1921 tariff, the rate being altered in 1923 to 5/16d. and in 1924 to 1/4d., irrespective of origin. The duty on refined sugar was increased to 3/4d. per pound in 1931; and raw sugar was made dutiable at 1/2d. per pound. Raw sugar imported for refining at Auckland enters free of duty under bond, an excise duty of 1/2d. per pound being levied on the refined products. An additional 1/2d. 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 2 1/2 lb. per 1,000, 10s. 6d. per pound; cigarettes, not exceeding 2 1/2 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 2 1/2 lb. per 1,000, 8s. per pound; cigarettes, not exceeding 2 1/2 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 1/2d. British preferential tariff or 3/4d. 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, 25 per cent or 27 1/2 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 2 1/2d. 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 roading 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 from 1950, and of approximately 1,000 items in the earlier import licensing schedules only 269 remained in the 1957 schedule. The restoration of import licensing on virtually all private imports from 1 January 1958 is explained on page 309.

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 3 3/4d. per gallon when the specific gravity did not exceed 1,047, and increasing by 1/16d. per gallon for every unit of specific gravity up to 1,055, and by 1/8d. thereafter. On 2 August 1917 the minimum rate of duty for beer was increased from 3 3/4d. to 4 3/4d. per gallon, and further (on 15 September 1917) to 5 3/4d., with a maximum of 6d. per gallon. In 1921 a rate of 11 1/2d. 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 2 1/2 lb. per 1,000, and 5s. 6d. per pound on cigarettes over 2 1/2 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 360). An excise duty of 1/2d. is levied on each sixty cigarette tubes or papers or the equivalent thereof.

The Customs Acts Amendment Act 1931 imposed an excise duty of 1/2d. 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. 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 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 high amounts 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 Duties
AmountPercentage of Total Taxation
 ££Per Cent
193836,798,97111,737,17031.90
193937,797,90411,727,22431.03
194044,522,02811,734,78426.36
194161,360,84011,258,37018.35
194268,163,25610,622,09215.58
194387,940,84412,342,11514.03
1944100,839,48413,922,57413.81
1945108,681,81414,869,44913.68
1946114,954,87315,682,63713.64
1947113,119,04619,970,49217.65
1948122,275,91128,794,93223.55
1949130,440,24923,666,86018.14
1950135,556,31926,296,87319.40
1951157,946,97528,636,20718.13
1952200,549,88137,873,40018.88
1953199,771,07532,739,90716.39
1954206,802,31732,177,12915.56
1955234,766,09834,177,22414.56
1956244,828,77736,632,87314.96
1957252,851,76335,691,27214.12

The figures for Customs and excise duties are exclusive of tire tax and the highways proportion (6d. per gallon) of the motor-spirits tax up to and including 1953-54, two classes of taxes collected through the Customs and paid to the Consolidated Fund in the years quoted. From 1954-55 all these receipts are paid into the National Roads Fund, and are therefore excluded from Customs duties. 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 four 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. Tire tax or the highways proportion of motor-spirits tax up to 1953-54, and since then all motor-spirits taxation, have been excluded, as these do not really represent Customs taxation, although levied on imports and for the sake of convenience collected through the Customs.

£(000)
1953-541954-551955-561956-57
Customs duties—
    Wines and spirits2,7493,0773,3633,194
    Cigars, cigarettes, snuff, and tobacco1,5021,5272,6392,599
    Motor spirits4,989   
    Other duties, including primage and surtax9,62315,48316,88415,988
                Totals, Customs duties18,86320,08722,88621,781
Excise duties—
    Alcohol used in perfumed spirit, etc., in New Zealand41405548
    Cigarette papers and tubes90807679
    Tobacco, cigars, cigarettes, snuff, New Zealand manufactured6,5106,9236,1956,157
    Beer, New Zealand5,8346,2086,5676,753
    Sugar839839854873
                Totals, excise duties13,31414,09013,74713,910
                Grand totals, Customs and excise duties32,17734,17736,63335,691
 £s.d.£s.d.£s.d.£s.d.
Revenue per head of population—
    From Customs duties90891091012109187
    From excise duties6776131067106610
                Totals1583164717081655

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 was 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. Under the General Agreement on Tariffs and Trade, preference margins may not now be increased beyond those ruling in April 1947.

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 and in a few cases lower.

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 and subsequently further amended.

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 1956.

£
YearMerchandise ImportsMerchandise Exports to Union of South Africa
From Union of South AfricaOf Union of South Africa Origin
* Provisional.
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
19541,182,9861,209,941547,712
1955967,7291,042,384468,070
1956*997,2591,018,832369,068

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.

A new 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, and further minor amendments have since been made.

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, and rates on other goods have been varied from time to time.

Merchandise trade between New Zealand and Australia during the eleven years ended in 1956 has been as follows.£

YearMerchandise ImportsMerchandise Exports to Australia
From AustraliaOf Australian Origin
* Provisional.
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
195428.881.16327.491.8526.444.655
195531.912.39230.969.8336.712.934
1956*33.990.57233.530.9917.836.363

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 now continues in force indefinitely subject to termination by either party.

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, 1/2 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. 1 1/2d. 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 1956 is shown in the following table.

£
YearMerchandise ImportsMerchandise Exports to Canada
From CanadaOf Canadian Origin

* Includes Newfoundland from 1949.

† Provisional.

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
19544.399.0774.380.3542.996.627
19558.396.0648.387.9744.011.266
19566.291.4226.250.8764.057.032

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 (GATT).—At its first meeting in February 1946 the Economic and Social Council of the United Nations set up a preparatory committee (of which New Zealand was a member) to prepare for an international conference on trade and employment. The work of this committee culminated in the Havana Conference of 1949, which drew up a Charter for an International Trade Organization.

This Charter was not accepted by any country and the organization was therefore never established, but the members of the preparatory committee had also made separate arrangements for the conduct of tariff negotiations among themselves.

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), Torquay (1950-51), and Geneva (1955).

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, 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.

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 rules in world trade, and its regular sessions have been useful as a forum for the discussion and settlement of international trade problems and disputes.

As the International Trade Organization was never set up, the General Agreement on Tariffs and Trade has assumed increasing importance in this field over the years. Because of this, and of the experience gained in the operation of the Agreement, the contracting parties met in Geneva during the later part of 1954 and the beginning of 1955 to review its terms and operations.

A number of amendments and additions to the Agreement were drafted together with an agreement to establish an Organization for Trade Co-operation (O.T.C.) to administer the General Agreement. The revised General Agreement and the agreement establishing the O.T.C. are at present before Governments for acceptance and have not yet entered into force.

The full texts of the relevant documents are available in the Government publication entitled Review of the General Agreement on Tariffs and Trade.

INTERNATIONAL WHEAT AGREEMENT.—The first International Wheat Agreement was negotiated in March 1949 and, with minor amendments, it was renewed in 1953 and 1956. The present Agreement came into force on 1 August 1956 and expires on 31 July 1959. New Zealand continues to be a member of the International Wheat Council, which meets yearly to review the working of the Agreement in relation to the world trade in wheat. New Zealand is currently one of the importing country representatives on the Executive Committee of the Council.

The objectives of the Agreement are to assure supplies of wheat to importing countries and markets for wheat to exporting countries at equitable and stable prices.

The basis of the Agreement is a guarantee by each exporting country to make specific quantities of wheat available to importing countries, each of which guarantees to purchase specified quantities from the exporting countries. The obligations on participating exporting and importing countries to supply and purchase their guaranteed quantities are of special significance when prices are at the maximum or minimum price stipulated in the Agreement.

The price range in the present Agreement is 82.00 per bushel at the maximum and 81.50 at the minimum (in Canadian currency), and this relates to No. 1 Northern Manitoba wheat in bulk in store Fort William/Fort Arthur. The Agreement contains provisions for necessary price adjustments according to quality and freight differentials for wheat supplied by other countries.

New Zealand's annual wheat requirements are approximately 13 million bushels, and its guaranteed quantity under the Agreement is 5,878,994 bushels (160,000 metric tons). Australia is our normal source of supply, and total wheat imports for the year ended 31 December 1957 were 10,354,247 bushels.

INTERNATIONAL SUGAR AGREEMENT.—The International Sugar Agreement, which came into force on 1 January 1954, was negotiated in London in 1953 under the auspices of the Economic and Social Council of the United Nations Organization, and marked the end of several unsuccessful attempts over a long period from before 1939 to secure international collaboration in sugar matters.

The main objectives of this Agreement are similar to those of the International Wheat Agreement—to assure supplies of sugar to importing countries and markets for sugar to exporting countries at equitable and stable prices.

Unlike the International Wheat Agreement, participating importing countries do not undertake to purchase specified quantities of sugar from the participating exporting countries but they are restricted in the quantities they may purchase from non-participating exporting countries. Exporting countries are restricted in the quantities they may offer on the "free market" and are allocated specific quantities or "basic export tonnages".

The important provisions of the Agreement relate to the action to be taken by the International Sugar Council when the world sugar price falls below 3.25 cents or rises above 3.45 cents per pound f.a.s. Cuba (in United States currency). The "basic export tonnages" for individual exporting countries are increased or reduced according to the state of the world sugar market.

The Agreement was reviewed and amended at conferences held in New York and Geneva in 1956 under the auspices of the Economic and Social Council of the United Nations Organization, and terminates on 31 December 1958.

New Zealand has not joined this Agreement but has been granted observer status at sessions of the International Sugar Council. New Zealand's annual requirements of raw sugar are approximately 100,000 tons, imported in recent years mainly from Australia and Fiji. Of this quantity, 75,000 tons are purchased annually from Commonwealth sources under a special arrangement.

Chapter 11. SECTION 11—SHIPPING AND TRADE OF PORTS

Table of Contents

STATISTICS of the numbers and tonnages of vessels arriving in New Zealand ports from overseas or departing from New Zealand ports for overseas destinations are compiled by the Customs Department. In addition the Department of Statistics receives data from each port of the arrivals and departures of all vessels, overseas and coastal.

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, other fishing vessels, and pleasure craft. 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 showing the relative overseas trade of the various ports, wherein every overseas vessel is recorded, whether entered overseas or coastwise. Tables showing the total movement of shipping at all ports appear later in this Section.

The following table gives the number and net tonnage of overseas vessels entering and clearing New Zealand ports during the years 1947-57, 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
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
19546872,882,3104,453,50664277,8227513,160,132
19557533,173,2114,858,36971353,3578243,526,568
19567203,022,7134,422,90560341,8357803,364,548
19577953,503,8754,560,463101436,0648963,939,939
Cleared
19472961,285,4401,077,184167769,2434632,954,683
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
19544271,800,3051,224,9783081,332,6297353,132,934
19554512,014,9521,328,1553491,435,5218003,450,473
19564642,017,8291,476,0963211,346,8927853,364,721
19575492,488,5061,516,7803461,451,3508953,939,856

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.

Direction of Overseas Shipping.—Particulars of the number and net tonnage of vessels entered and cleared between New Zealand and various countries during 1955 and 1956 are given in the following table.

19551956
EnteredClearedEnteredCleared
No.Net TonnageNo.Net TonnageNo.Net TonnageNo.Net Tonnage
United Kingdom1711,035,251142965,945148955,0581641,061,118
Aden844,52228,3231263,87715,024
Sarawak      638,517
Ceylon312,65413,000321,593  
Republic of India517,276520,461938,275939,860
Malaya and Singapore41226,6591681,41630180,3501260,105
Union of South Africa528,80126,582946,00727,599
Canada22140,95112113,1401163,688565,430
Australia3121,046,2823441,173,515311966,5023451,089,037
Fiji48107,1215098,83135100,1083572,565
Gilbert and Ellice Islands1351,214935,9981347,5441553,981
Nauru Island50178,20868255,61546184,85547182,442
Belgium514,42716,163313,187  
France  730,952  525,808
Sweden29,583  414,880  
Bahrain19116,4051479,30619114,47616100,071
Iran315,905317,1811470,419735,217
Indonesia951,1201796,6081586,9641595,940
Japan2263,8781552,8211544,2062454,339
Netherlands Antilles525,4721162,924423,2411166,052
United States of America41199,6661572,32538188,06827152,661
Other countries40141,17366269,36741141,25039158,955
Totals8243,526,5688003,450,4737803,364,5487853,364,721

In earlier years the tonnage of shipping entering from and clearing for the United Kindom was higher than that from any other individual country. In 1954, however, shipping to and from Australia exceeded that recorded for the United Kingdom, and this has been the case for subsequent years. The year 1954 was the first in which over 1,000,000 tons of shipping left New Zealand for an individual country. Shipping to Australia has been over that figure each year since then, and in 1956 over 1,000,000 tons departed for the United Kingdom also.

The next table shows the net tonnage of shipping between New Zealand and certain principal countries for the five years 1952-56.

Net Tons
YearAustraliaUnited KingdomUnited States of AmericaCanadaPacific Islands
Entered
1952821,337914,480191,11096,577319,902
1953735,683820,127172,65472,507259,003
1954910,273853,927170,41894,004359,490
19551,046,2821,035,251199,666140,951342,638
1956966,502955,058188,06863,688365,335
Cleared
1952887,737949,784144,362107,795369,104
1953917,625869,389133,55722,675283,224
19541,023,809889,997125,36394,735345,275
19551,173,515965,94572,325113,140399,789
19561,089,0371,061,118152,66165,430357,224

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 relative overseas trade of the various ports can be judged only by taking into account the coastwise visits of overseas vessels in the course of unloading and loading. This is shown in later tables.

Net Tons
PortEnteredCleared
 195419551956195419551956
Auckland1,635,9791,845,7661,844,2561,238,1271,323,7521,225,663
Tauranga 2,6351,43042,01652,78673,528
Gisborne11,3826,62232128,54739,45232,132
Napier49,70976,92345,067140,350101,138166,215
New Plymouth131,833119,06273,251154,346164,069150,732
Wanganui 292321  642
Wellington858,6541,024,876898,489805,397960,293894,443
Picton796 1,909  923
Nelson15,250 12,55633,127 38,733
Greymouth7759,3191,085 23,844 
Lyttelton284,219285,777329,523211,736258,823256,794
Timaru34,67922,71729,55327,86931,96423,426
Oamaru    11,8001,903
Dunedin106,54874,021113,088339,753376,568346,058
Bluff30,30858,55813,699111,666105,984153,529
        Totals3,160,1323,526,5683,364,5483,132,9343,450,4733,364,721

As will be seen, in 1956, 82 per cent of overseas vessels (on a tonnage basis) arriving in New Zealand made Auckland or Wellington their first port of entry, and 63 per cent used one of these two ports as the final departure point.

Nationality of Overseas Shipping.—The table following shows the nationality of vessels arriving in New Zealand during the years 1952-56. Vessels registered in the United Kingdom represented 60 per cent of the total tonnage recorded in 1956, the remaining British Commonwealth countries accounted for 22 per cent, and other countries for 18 per cent.

A feature of the table is the relatively small totals shown for shipping registered in New Zealand.

OVERSEAS SHIPPING INWARDS
Net Tons (000)
Country of Registry19521953195419551956
British Commonwealth—
    United Kingdom1,6331,5911.8802.1642.022
    New Zealand388478501482484
    Other British Commonwealth190167204205246
        With cargo1,9851,9962,3422,5572,443
        In ballast1.9851.9962.3422.5572.443
                Totals, British Commonwealth countries2,2112.2362.5852.8512.752
                Percentage of total8081828182
Other—
    Norway244206253238192
    Sweden5667576961
    Netherlands6539346354
    Panama851011139884
    United States of America3221334446
    Remaining countries679885164175
        Cargo507507541616580
        Ballast4225346032
                Totals, other countries549532575676612
                Percentage of total2019181918
                Grand totals2,7602,7683,1603,5273,365

TRADE OF PORTS.—The following matters dealing with the trade of ports are now covered: 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 in the earlier tables.

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 1947-57.

YearOverseas VesselsCoastal VesselsTotal
NumberNet TonnageNumberNet TonnageNumberNet Tonnage
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
19542.0498.332.10713.5024.782.20815.55113.114.315
19552.2009.189.06613.2394.740.26715.43913.929.333
19562.2689.752.76912.9844.855.29515.25214.608.064
19572.44310.304.91312.9274.827.71915.37015.132.632

Figures for recent years show substantial increases 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 1951.

During the last five years there has been little change in the number of calls made by overseas vessels at New Zealand ports. It has been ascertained over a number of years, that an average of 2.8 calls at ports is made by each overseas vessel.

The following table shows for the three years 1954-56 the number and net tonnage of overseas vessels arriving at New Zealand ports, and covers vessels entered overseas or coastwise.

Port195419551956
NumberTonnageNumberTonnageNumberTonnage
Whangarei1970.6531867.1112471.023
Auckland5622.285.7066342.614.7446272.710.267
Tauranga4253.6354968.63566102.148
Tolaga Bay  21.499  
Gisborne1688.9542280.74422124.221
Napier107468.152114524.472127639.419
New Plymouth81378.77993445.73595489.560
Wanganui  12923963
Wellington4491.995.8954672.283.2444622.187.558
Picton21.53835.882710.981
Nelson30100.67334103.80134107.743
Greymouth2221.6051717.209118.617
Lyttelton2891.210.0333081.250.1843541.468.971
Timaru85322.87483332.17087358.979
Oamaru1015.7111422.203815.183
Dunedin249959.305254997.9082481.048.778
Bluff86358.59487373.23393408.358
                Totals2.0498.332.1072.2009.189.0662.2689.752.769

Overseas vessels are shown to have called at 15 ports in 1954, 17 in 1955, and 16 in 1956. In the years 1936-38 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 1952-56. In most years these three ports handle two-thirds of the total tonnage of overseas shipping.

Percentage

Port19521953195419551956
Auckland26.225.527.428.527.8
Wellington28.128.924.024.822.4
Other North Island10.511.812.712.914.7
            North Island64.866.264.166.264.9
Lyttelton15.214.414.513.615.1
Other South Island20.019.421.420.220.0
            South Island35.233.835.933.835.1
            New Zealand totals100.0100.0100.0100.0100.0

The following table shows for the years 1954-56 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.

Port195419551956
NumberTonnageNumberTonnageNumberTonnage
Parengarenga13610,858352,763  
Awanui18712,67119613,81416412,021
Mangonui684,529714,142534,126
Whangaroa685,74414114,422956,546
Russell1316,957805,119824,756
Whangarei808184,475892201,668775223,756
Mangawai2248,9941947,536783,211
Auckland5,3222,650,3595,4552,997,7825,2993,069,048
Onehunga8825,0348523,0328324,578
Raglan164,4903911,4805616,660
Thames39812,6191575,1623698,623
Coromandel1116,3081044,1081042,698
Whitianga902,059831,756882,001
Tauranga16175,15821394,841204125,306
Whakatane899,97110311,127737,756
Kutarere    242,530
Opotiki424,176565,552282,768
Tokomaru Bay3711,1273410,3873311,477
Tolaga Bay277,673258,016258,828
Gisborne167156,148164139,466150188,495
Napier219516,875243578,794244689,542
New Plymouth167407,249187476,136208526,581
Patea919,41412613,00414815,181
Wanganui33783,05431175,84232287,933
Wellington2,3623,660,4332,3683,950,2192,4423,943,264
Picton368222,509326253,534346280,505
Wairau574,868696,072726,336
Nelson807215,254761219,357738224,494
Motueka24823,93728730,18427929,649
Collingwood241,320231,4738730
Westport157126,722142119,250136113,805
Greymouth132115,838117101,49711499,457
Lyttelton1,1042,526,7471,0832,511,0271,1302,744,247
Timaru333446,066308435,090308453,090
Oamaru8865,9889069,1769758,690
Dunedin4181,045,9054111,078,0244171,124,489
Bluff352431,278343436,781345466,043
Half-moon Bay11711,50811711,70011518,844
            Totals15,55113,114,31515,43913,929,33315,25214,608,064

In 1956 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, and Timaru in that order.

The most noteworthy change in the tonnage of shipping handled during the last three years was at Tauranga, where extra port development has taken place for the handling of timber and the output of the new pulp and paper industries of the district.

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 them—viz., Wellington, Lyttelton, and Picton.

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 1947-57.

Manifest Tons
YearInwards*TranshipmentsOutwards*Total Tonnage
CoastalOverseasCoastalOverseas
* Excluding transhipments.
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
19542,120,7864,529,665170,8551,948,1951,277,57210,217,928
19552,155,5885,050,090204,3051,951,0141,389,65710,954,959
19562,148,7334,947,327190,1721,943,7841,555,59810,975,786
19572,252,6055,169,225174,1091,963,7101,610,98811,344,746

The next table shows for each port the total cargo inwards and outwards in 1956. The high proportion of transhipments in the case of Wellington is very noticeable.

Manifest Tons
PortInwards*TranshipmentsOutwards*Total Tonnage
CoastalOverseasCoastalOverseas

* Excluding transhipments.

† Transhipments included twice.

Mangonui2,849  468 3,317
Russell766  534 1,300
Whangarei111,93846,913 136,0081,002295,861
Auckland557,8291,917,78254,959244,329508,2053,338,063
Onehunga39,910  51,731 91,641
Raglan10,579  525 11,104
Thames4,133  657 4,790
Tauranga23,1004,369 14,851124,470166,790
Whakatane7,157  11,091 18,248
Kutarere3,107  2,966 6,073
Opotiki4,146  2,792 6,938
Tokomaru Bay2,500  1,090 3,590
Tolaga Bay2,241  749 2,990
Gisborne57,9342,0283008,86414,63084,056
Napier64,448216,8781,7839,477125,542419,911
New Plymouth39,228280,3866484,334103,352428,596
Patea465  24,202 24,667
Wanganui99,031382 25,670 125,083
Wellington497,9441,144,550124,311367,746275,8072,534,669
Picton53,0661,7871356,116616111,611
Wairau8,133  2,459 10,592
Nelson71,19332,0681,42152,58931,472190,164
Motueka5,992 2225,797 31,833
Westport6,398  230,609 237,007
Greymouth15,923254 205,995 222,172
Lyttelton276,992737,261874309,116121,1691,446,286
Timaru32,70441,8135157,24168,698200,558
Oamaru11,68915,596 23,767 51,052
Dunedin91,324395,2595,79055,72773,331627,221
Bluff43,281110,001 14,434107,304275,020
Half-moon Bay2,733  1,850 4,583
            Totals2,148,7334,947,327190,1721,943,7841,555,59810,975,786

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 an earlier table 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 1956 the total shipments from each port overseas and coastwise (including transhipments) of nine principal commodities exported overseas by New Zealand and the total cargo handled at each port, and thus shows the extent to which the various ports handle the main exports, although the goods may be sent outwards coastwise for transhipment at another port.

Manifest Tons
PortWoolFrozen MeatCanned MeatButterCheeseOther Milk ProductsTallowHides, Skins, and PeltsSeedsAll Other GoodsTotal
Mangonui125        343468
Russell         534534
Whangarei422  7,132 167798 129,624137,010
Auckland31,92680,7869,460152,41013,35887,67913,55315,873462433,912807,493
Onehunga 24107 772833428350,80651,731
Raglan       921432525
Thames1      1 655657
Tauranga10     41  139,270139,321
Whakatane109  7,4311,5011,3834216 60911,091
Kutarere403    3422525 2,1712,966
Opotiki85  1,383 648691 6062,792
Tokomaru Bay1,009        811,090
Tologa Bay647        102749
Gisborne5,6418,731 962  8231,1041076,42623,794
Napier36,42948,627 6604171414,2904,59843841,329136,802
New Plymouth1,58826,982 18,50034,3555,0892,4952,278 17,047108,334
Patea    24,189    1324,202
Wanganui8,648  2,0842,358 28257 12,29525,670
Wellington47,85990,98777015,13541,05812,7247,37513,150508538,298767,864
Picton3645,113  1,149 3083842849,34556,745
Wairau203       7391,5172,459
Nelson1,2641,912 1881 8685508580,61485,482
Motueka146       425,66925,819
Westport      1  230,608230,609
Greymouth6       205,989205,995 
Lyttelton28,07843,6197057452,0159929,8857,2935,578332,249431,159
Timaru17,82040,6243 855 3,6611,9153,06358,049125,990
Oamaru Dunedin22     2414023,58123,767 
Bluff26,03052,9254652139,1477,2316,1133,7811,11414,719121,738
Half-moon Bay20        1,8301,850
                Totals231,815424,45011,729207,076132,396117,41653,32854,02113,7802,475,8913,689,554

Transhipments.—Transhipments of cargo during 1956 totalled 190,172 tons. of which 124,311 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 for overseas. Thus the total inward tonnage from overseas in 1956 was 5,051,564, and the total outward tonnage going overseas 1,629,281. Comparative figures for 1955 were 5,171,704 and 1,461,001 tons respectively.

The following table shows for 1955 and 1956 the transhipment trade of each port affected.

Manifest Tons
PortCoastal to CoastalCoastal to OverseasOverseas to CoastalOverseas to OverseasTotal
1955195619551956195519561955195619551956
Auckland6111,5583,6384,03643,20544,7754,9324,59052,38654,959
Tolaga Bay45       45 
Gisborne  205300    205300
Napier61483,1761,458890277  4,1271,783
New Plymouth 1113,013537  106 3,119648
Wellington4,6265,12860,95665,41163,57953,7017671129,237124,311
Picton 13       13
Nelson732370 50093551  8251,421
Motueka1922      1922
Lyttelton98 356 2,765874  3,219874
Timaru     51   51
Dunedin41341 1,44111,0824,008  11,1235,790
                Totals6,2337,59171,34473,683121,614104,2375,1144,661204,305190,172

The next table shows the various items of merchandise, etc., which comprised the transhipment trade in 1956.

Manifest Tons
ItemCoastal to CoastalCoastal to OverseasOverseas to CoastalOverseas to OverseasTotal
Beans and peas674601311659
Butter32,007  2,010
Cement30 8494532
Cereal products1418190 339
Chaff, hay, and straw63   63
Cheese3826,619  26,657
Coal82   82
Coke35   35
Fish  3 3
Flour4125  66
Fruit, preserved2211,824201,867
Fruit, fresh 19,5162,482121,999
Grain34 637 671
Hemp, linen-flax, and phormium4 1,101 1,105
Hides, skins, and pelts10595 3608
Honey7   7
Iron and steel, pipes, etc.5117710,92915311,310
Lime  17 17
Machinery21292,0262242,300
Manures320565,112 5,488
Meat, frozen145,345  5,359
Meat, preserved511  16
Milk products (other than butter and cheese)30356  386
Motor spirit, kerosene  13,166 13,166
Motor vehicles, parts and tires192 1,4164622,070
Oil, other mineral92218,368 9,291
Paper, newsprint, etc.21532,19842,420
Potatoes7865113 256
Seeds4525512479503
Sugar64 34 98
Tallow81,80947 1,864
Timber, hardwoods1310,165 10,169
Timber, softwoods54 1,263 1,317
Wines, spirits, and beer158909831,015
Wood-pulp 761,441 1,517
Wool15312,083 712,243
All other goods4,8264,17540,5333,13052,664
                Totals7,59173,683104,2374,661190,172

It had been found that in the past too high a proportion of total cargo had been classified under the heading" All other goods". With a view to reducing the percentage so classified and to provide a better analysis of cargo handled, a new classification of commodities for purposes of cargo statistics was introduced from 1 January 1955. As the content of some of the items is not the same as in previous years, and several new items were introduced in the new classification, strict comparison with years prior to 1955 is not possible.

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 figures for vessel 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
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
1954392,0421,643465253,387130,648504255,429132,291
1955371,8311,497476255,107131,090513256,938132,587
1956371,8311,497481258,924132,547518260,755134,044

The number and tonnage of vessels on the New Zealand register at 31 December 1956 were as follows.

Port of RegistrySailing VesselsSteam VesselsMotor Vessels
VesselsGross TonnageNet TonnageVesselsGross TonnageNet TonnageVesselsGross TonnageNet Tonnage
Auckland311,7841,450319,4004,78027034,70516,950
Napier   2948537114,1181,954
Wellington647473395,60349,2325972,21438,647
Nelson   21,602627164,8642,103
Lyttelton   62,7981,021153,4551,666
Timaru   1942488   
Dunedin   69,5314,7711417,2349,200
Bluff   31,05843012452141
                Totals371,8311,49784121,88261,886397137,04270,661

Auckland is the port of registry of the majority of the vessels forming New Zealand's "mosquito" fleet, the average net tonnage of the 332 vessels on the Auckland register being only 70 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.

In the next table vessels registered in New Zealand at the end of 1956 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 165, of an aggregate net tonnage of 122,238.

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 tons40675    
50 and under 100 tons221,602    
100 and under 200 tons212,8521155  
200 and under 300 tons61,4691219  
300 and under 400 tons165,6601368  
400 and under 600 tons41,925    
600 and under 800 tons32,263  21,377
800 and under 1,000 tons32,703    
1,000 and under 1,200 tons  11,098  
1,200 and under 1,500 tons810,58211,32633,874
1,500 and under 2,000 tons58,234611,80459,699
2,000 tons and over39,712  1344,641
                Totals13147,6771114,9702359,591

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.

As from 1 June 1957, second mates (foreign-going) are required to possess a valid Radar Observer's Certificate of Proficiency, before being issued with a Second Mate's (Foreign-going) Certificate of Competency. This Radar Certificate has been instituted to make compulsory the knowledge and skill necessary to operate a radar equipment, and to enable a correct analysis to be made of the information obtained from a radar equipment. The Marine Department has provided at its School of Navigation, Auckland, a radar course every two months to enable candidates to obtain the Radar Certificate.

Regulations provide for the examinations for masters and mates; in the year ended 31 March 1957 there were 77 certificates issued. In addition 26 Imperial Validity Certificates were issued to engine-room officers.

SHIP SURVEY STATISTICS.—The Marine Department carries out the survey of ships as required by the Shipping and Seamen Act 1952, and during the period 1 January 1956 to 31 December 1956 certificates of survey were issued to the following categories of New Zealand ships:

Passenger ships engaged in international voyages6
Cargo steamships engaged in international voyages4
Cargo motorships engaged in international voyages25
Home-trade steamships13
Home-trade motorships90
Restricted-limits steamships20
Restricted-limits motorships301
                    Total459

In addition to the certificates of survey required under the Shipping and Seamen Act 1952, the Department is required to issue certificates to vessels engaged in international voyages in accordance with the provisions of the International Convention for the Safety of Life at Sea 1948, to which the New Zealand Government is a signatory. During the year ended 31 December 1956 there were 99 such certificates issued to New Zealand registered ships and 38 to overseas ships.

Special surveys additional to the above were made for seaworthiness after damage, for efficiency of equipment, and for tonnage measurement. These occasional surveys totalled 421.

LIGHTHOUSES.—Along the New Zealand coast there are seventy-six coastal lights of various types. In twenty-six cases the lights are manually attended 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 fifty coastal 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 Matangi, at Pencarrow Head, Godley Head, and Taiaroa Head; while radio beacons have been established at Cape Reinga, Tiri Tiri Matangi, Portland Island, Cuvier Island, Mokohinau, Baring Head, Stephens Island, the Brothers Island, Cape Campbell, Godley Head, Taiaroa Head, Dog Island, 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 400ft.), 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, and Akaroa, of 23 miles; Cape Palliser, Brothers, and Nugget Point, of 22 miles; Cape Foulwind, of 21 miles; Tiri Tiri Matangi, Cape Saunders, Channel Island, Marotiri, Taiaroa Head, and Gibson Point, 20 miles each. The remaining lights have visibilities of under 20 miles.

All manually-attended coastal lighthouses are equipped with signalling flags and lamps, the keepers being competent to transmit or receive messages. In addition, twelve 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.

Expenditure on all lighthouses under the control of the Marine Department during the year 1956-57 was as follows: salaries, wages, and overtime, £40,648; stores, general maintenance, transport, etc., £58,146; radio beacon improvements, £5,429; total, £104,223, excluding recoverable expenditure of £31,308 for lighthouse tender Matai and telephone and meteorological allowances of £1,206, and administration expenses. Light dues for 1956-57 totalled £136,765, an increase of £4,C11 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 1957 are shown in the following table. It should be noted that figures list all casualties, including small craft.

Nature of CasualtyOn or Near the Coast of New ZealandOutside New ZealandTotal Number Reported
Number of ShipsRegistered TonnageNumber of ShipsRegistered TonnageNumber of ShipsRegistered Tonnage
Strandings—
    Total loss527  527
    Damaged5898  5898
    Undamaged164,39912,126176,525
                    Totals, strandings265,32412,126277,450
Collisions—
    Total loss      
    Damaged52,398  52,398
    Undamaged55,044  55,044
                    Totals, collisions107,442  107,442
Fires—
    Total loss15  15
    Damaged31,692  31,692
    Undamaged25,311  25,311
                    Totals, fires67,008  67,008
Miscellaneous—
    Including damage by heavy seas, machinery defects, etc.2117,878  2117,878
                    Grand totals6337,65212,1266439,778

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 1957 there were 3,418 miles of State railways open for traffic, 1,681 miles in the North Island, and 1,737 miles in the South Island.

The Christchurch-Lyttelton section of railway, including the Lyttelton Tunnel, was electrified in 1928-29, the Otira - Arthur's Pass section, including the Otira Tunnel, in 1923, the Wellington-Johnsonville section in 1938, and the Wellington-Paekakariki section in 1940.

The Wellington - Upper Hutt section was completed in July 1955, when electric suburban trains commenced running beyond Taita.

A tunnel through the Rimutaka Range in the North Island was opened for traffic on 3 November 1955. This tunnel. 5 miles 36 chains in length, is part of a deviation which has eliminated the difficult hill section between Upper Hutt and Cross Creek. Rail cars and diesel-electric trains 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 in the nearby Kaingaroa Forest - Bay of Plenty area are served by a branch line of about 40 miles from Awakaponga to Murupara, which was opened for traffic in April 1955. The rail outlet to the port at Mount Maunganui has been completed.

The introduction of diesel-electric locomotives during 1952 saw the commencement of a radical change in motive power operation in New Zealand. At 31 March 1957 ninety-seven of these locomotives in operation accounted for 22-3 per cent of the total locomotive mileage. The change from steam-operated express services to railcars has progressed further with the addition of fourteen more 88-seat twin articulated cars during the year. At 31 March 1957 thirty-three of this new type, together with the older railcars, accounted for 67 per cent 02 the non-suburban passenger train mileage in the North Island and 72 per cent in the South Island, giving faster and more frequent services than were possible with steam operation.

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., 85lb., 70lb., and 55lb. rails. Sleepers, 2,400 to the mile, are principally of Australian hardwood.

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. When the position of General Manager became vacant on 1 April 1955, the Government appointed a Director of the Railways Commission to the dual position of General Manager and Director. The Government Railways Amendment Act 1956 provided for the abolition of the Railways Commission on 1 April 1957, and reversion of control to the General Manager, who is responsible to the Minister of Railways.

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 195331 March 195431 March 195531 March 195631 March 1957
* Equal to £32,672 per mile of open line.
Open for traffic—
    Railway88,648,41692,761,04798,010,014101,417,942111,673,573*
    Lake Wakatipu steamer service22,55722,55722,55722,55722,557
    Subsidiary services4,648,8494,828,8385,521,5027,107,6858,405,121
    General9,8969,896   
                Totals93,329,71897,622,338103,554,073108,548,184120,101,251
    Works under construction4,654,5636,972,1698,696,9909,704,4553,116,750
                Grand totals97,984,281104,594,507112,251,063118,252,639123,218,001

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, 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 1957 is given in the following table.

* In addition there are 5 diesel-electric shunting locomotives in use in workshops and 71 diesel and petrol shunting tractors in use at stations.
Locomotives—
    Tender437
    Tank90
    Electric28
    Diesel electric97
    Diesel shunting80
                Total732*
Passenger vehicles—
    Sleepers17
    Combination day-sleepers1
    First class109
    Second class1,023
    Composite17
    Rail cars48
    Electric multiple units128
    Postal8
                Total1,351
 Four-wheeledBogie
Wagons—
    Horse boxes4767
    Cattle97638
    Sheep3,38633
    Frozen and chilled meat753610
    Cool, ventilated1,234 
    Covered goods477448
    High-side20,087317
    Low-side1,481 
    Platform 1,045
    Brake vans12465
    Other3,300543
 31,7533,566
                    Total35,319

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 was completed early in 1957. The present programme envisages 3,800 new wagons of which 2,950 will be imported.

Locomotives were also ordered from overseas. The first diesel-electric locomotives, of 660 h.p., were imported from Great Britain in 1952 and were brought into service in the Auckland and Wellington suburban areas. During the 1954-55 year, ten 1,500 h.p. locomotives were imported from Great Britain and put into operation on the North Island Main Trunk; these were followed by thirty 1,425 h.p. locomotives from North America for the same line. A further forty-two 750 h.p. locomotives have been imported for other lines of the railway system, and during 1957 eleven engines of this type provided the first diesel-electric traction in the South Island. The arrival of ten Australian-built 1,425 h.p. locomotives this year completes the current diesel-electric programme.

During the year ended 31 March 1957 the ninety-seven diesel-electric locomotives in service ran just on 4 million miles.

Of the eighty-six diesel-mechanical shunting locomotives, ordered from overseas, eighty-five are now in service.

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 and the KA 145 tons (30,815 lbs. tractive force), and KB (with booster) 146 tons, with 36,815 lbs. tractive force. The building of the last steam locomotives on order (35 JA class—109 tons) was completed in 1957 at the Hillside workshops.

At this point it is of particular interest to note the changes now taking place in New Zealand in the relative importance of steam traction, and in particular coal-fired steam traction, compared with other forms of motive power. The following table, showing the locomotive miles under the different classifications, is significant.

19561957Variation
Steam— MilesMilesMilesPer Cent
    Coal fuelled10.744.7108.932.781−1.811.929−16.9
    Oil3.692.6972.931.199−761.498−20.6
            Totals14.437.40711.863.980−2.573.427−17.8
    Electric735.158737.437+2.279+0.3
    Multiple units1.676.6371.822.173+145.536+8.7
    Diesel−electric locomotives1.554.6853.957.674+2.402.989+154.6
    Diesel (shunting locomotives)789.767891.997+102.230+12.9
    Petrol and diesel shunting tractors (under 200 h.p.)240.337223.025−17.312−7.2
    Rail cars937.606683.079−254.527−27.1
    Articulated rail cars538.9211.708.529+1.169.608+217.0
            Total locomotive miles20.910.51821.887.894+977.376+4.7

Standard carriages are 56 ft. in length, fitted with chair seats to accommodate thirty-one to fifty-six passengers, steam-heated, and electrically lit.

REVENUE AND EXPENDITURE—The total revenue from and expenditure on the railways (including subsidiary services) during each of the years 1946-47 to 1956-57 were as shown below.

£
Year Ended 31 MarchGross RevenueExpenditureNet Revenue

* Loss recovered from vote "Stabilization".

† Loss recovered from Consolidated Fund.

‡ Loss recovered from General Reserve.

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
195531.285.27429.416.8251.868.449
195632.262.91630.829.3991.433.517
195732.765.33633.034.709−269.373

The expenditure figures do not include interest on capital liability. With £4,650,654 interest added, the 1956-57 loss of £269,373 would become a loss of £4,920,027. The chief items of expenditure for 1956-57 were wages £19,904,546, locomotive fuel (including electricity) £2,276,382, stores and materials £4,318,396, depreciation and renewals £3,830,539, and miscellaneous £2,704,846.

A sum of £4,089,796 was set aside in 1956-57 for depreciation and track renewals, while expenditure from these funds amounted to £3,423,706. The amounts standing to the credit of the Depreciation and Renewals Accounts at 31 March 1957 were £8,524,717 and £166,462 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.
195322,588,7584.019.17922.755.3973.769.268−166.639*249.911
195423.682.3654.212.50323.621.4033.869.17060.962343.333
195527.009.4594.275.81525.542.2143.874.6111.467.245401.204
195627.871.4104.391.50626.774.9494.054.4501.096.461337.056
195728.507.1094.258.22728.694.4184.340.291−187.309*−82.064*

The respective Island figures of revenue and expenditure for railway operation only (i.e., omitting subsidiary services) are given below for the 1956-57 year.

Section of RailwayRevenueExpenditureNet Revenue or LossRatio of Expenditure to Revenue
 £££Per Cent.
North Island Main Line and branches18.864.86817.875.860989.00894.76
South Island Main Line and branches9.642.24110.818.558−1.176.317112.20
                    Totals28.507.10928.694.418−187.309100.66

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
1955-561956-571955-561956-57
Lake Wakatipu steamers19,76122,10129,14726,594
Refreshment service350,831359,027388,054398,799
Bookstall service260,702262,800257,229261,029
Advertising service71,22176,38262,15069,847
Departmental dwellings261,560304,201707,804859,465
Leases of bookstalls, etc,89,036103,58391,865104,556
Road services—Passengers and goods2,584,9612,582,6862,518,2012,620,001
Miscellaneous receipts753,434547,447  
                Totals4,391,5064,258,2274,054,4504,340,291

Revenue.—In the following table the railway operating revenue during 1956-57 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.Total
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
19552,688,609624,81923,234,706461,32527,009,459
19562,669,421624,38924,074,527503,07327,871,410
19572,788,527645,64024,430,772642,17028,507,109

The revenue from passenger fares during the year 1956-57 represented an expenditure on railway travel of £1 5s. 5d. per head of mean population. The total railway operating revenue was equal to £12 19s. 12d. per head.

On 21 June 1953 suburban fares were increased by 10 per cent. while increases varying from 5 percent 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. On 11 November 1956 fares were increased by 10 per cent and goods rates by an average of 8 per cent.

Expenditure.—The total railway expenditure in 1956-57 represented 100.82 per cent of the gross earnings, and the operating expenses 100.66 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
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
195594.57
195696.07
1957100.66

The operating expenditure under various heads is now given for 1956-57 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*Total

* Including superannuation subsidy.

† Merged with Maintenance of Ways and Works.

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
19556,639,577 5,512,7495,411,6257,356,221622,04225,542,214
19566,960,522 5,605,0175,572,4578,000,877636,07626,774,949
19577,452,738 6,356,4105,673,3818,509,291702,59828,694,418

The increase in expenditure in recent years has been due chiefly to the greater mileage run, an increased wages bill, mainly the result of higher rates of pay and improved conditions of employment, 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 bum 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, inaugurated to Taita in October 1953 and extended to Upper Hutt in July 1955, has transferred to rail travel numerous suburban passengers previously carried by the Department's road services. Compared with the previous year, rail journeys in 1956-57 increased by 301,928, or 1.20 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, considerably reducing the variety of tickets issued by guards and at stations. This system has now been extended to the other three main suburban areas—Auckland, Christchurch, and Dunedin.

The impact of the modern electrified rail service in the Hutt Valley is reflected in the reduced passenger journeys on the Railways Road Services. In 1956-57 these totalled 19,082,908 for the whole of the country, a decline of 188,238, or 0-98 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 then resumed with the tonnage exceeding the ten-million mark in 1952-53, and from 1954-55 to 1956-57 inclusive. There was a slight recession in 1953-54.

Freight-mileage in 1956-57 decreased by 12,255,708, or 1.07 per cent, compared with 1955-56. The average distance for which goods were hauled was 110 miles. The 1956-57 goods revenue of £24,430,772 represented 85.7 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.
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
19553,48914,419,92024,735,4897,803,8131,519,01810,336,331
19563,42214,883,72425,075,2427,975,1961,504,22010,677,923
19573,41815,101,82125,377,1708,132,3521,492,64710,324,684

Passenger train-miles run during 1956-57 totalled 5,709,576, and the passenger revenue received represents 117.21d. per passenger train-mile, and £1,042 per mile of line operated by passenger services.

The number of ordinary passenger journeys in 1956-57 increased by 1.97 per cent, compared with the previous year. The tonnage of goods handled decreased by 353,239 tons, or 3.31 per cent. The numbers of livestock carried for the last two years were as follows.

1955-561956-57Variation
 Per Cent
Cattle and horses820,374855,094+34,720+4.23
Calves815,804745,112− 70,692−8.67
Sheep7,616,6077,091,910−524,697−6.89
Pigs449,520431,725− 17,795−3.96
                Totals9,702,3059,123,841−578,464−5.96
Equivalent tonnage641,390627,548− 13,842−2.16
Revenue£1,798,031£1,835,489+£37,458+2.08

Detailed figures showing the number of rail passengers carried during the last five years are given in the following table.

1952-531953-541954-551955-561956-57
* Workers' weekly abolished and 12-trip tickets reduced to 10-trip from 17 January 1954.
Standard fare2,944,3172,827,0352,653,4182,382,5672,276,971
Suburban2,052,6763,045,0154,133,6664,638,7944,981,360
Other fares782,396968,5671,016,729953,835874,021
                    Totals5,779,3896,840,6177,803,8137,975,1968,132,352
Season tickets only—
    Suburban weekly—
        Twelve-trip423,937482,296*567,641557,390564,462
        Ten-trip14,502
    Workers' weekly50,51543,974*   
    Weekly twelve-trip32,11531,944*32,47631,78528,003
    Bearer twelve-trip52,17059,98070,20481,62693,144
    Bearer six-trip578,174659,889790,100773,588745,551
    School16,74016,65817,23216,75116,648
    Tourist1114263625
    Travellers' annual7679654854
    Other40,76441,25241,27442,99644,760
                    Totals1,209,0041,336,0861,519,0181,504,2201,492,647

The following table gives interesting information as to the constitution of the goods and livestock traffic and earnings for the year 1956-57.

CommodityTonnageRevenue
Tons CarriedPer Cent of TotalTons One Mile (000 Omitted)Average HaulTotalPer Cent of TotalPer TonPer Ton Mile
Products of AgricultureNo. No.Miles£ s.d.d.
Grain and seeds287,4092.7917,86862392,7891.612745.28
Meal101,8630.997,82677166,6820.683295.11
Fruit and vegetables56,1090.5413,489240219,4090.907823.90
Root crops and fodder79,7620.7710,379130169,6560.694273.92
                    Totals525,1435.0949,56294948,5363.883624.59
Animal and Other Products
Cattle, calves, horses322,2863.1232,357100795,6923.264945.90
Sheep and pigs305,2622.9634,6251131,039,7974.256827.21
Meat, fresh and frozen422,1814.0920,24648976,0303.9946311.57
Butter165,5651.6016,03797430,7491.765206.45
Cheese100,6180.983,87338147,1970.602939.12
Wool218,8212.1217,53480645,2442.645908.83
Dairy by-products79,9560.778,321104212,1050.875306.12
Fat, hides, and skins67,5160.655,95088195,6830.805807.89
Fish8,1490.081,34316532,6510.138015.83
                    Totals1,690.35416.37140,286834,475,14818.3052117.66
Products of Mines
Agricultural lime419,2074.0641,940100507,7472.082432.91
Coal, New Zealand hard647,4136.2746,18471715,5572.922213.72
Coal, New Zealand brown1,185,22411.48169,1011432,254,4659.223803.20
Road metal71,7280.695,56278112,1600.463134.84
                    Totals2,323,57222.50262,7871133,589,92914.6830113.28
Products of Forests
Timber, imported33,4530.333,0029087,1410.355216.97
Timber, New Zealand705,2366.83120,5111711,910,2807.815423.80
Firewood, posts, etc.42,4200.414,75911267,7570.283203.42
Logs, ex Murupara391,5593.7912,81433139,0860.57712.60
                    Totals1,172,66811.36141,0861202,204,2649.013773.75
Manufactures, etc.
Benzine, gasoline, kerosene389,5103.7744,2611141,246,3965106406.76
Cement257,4542.4944,274172722,9442.955623.92
Manures, phosphate, etc.1,051,89810.19104,7971001,851,5987.573524.24
                    Totals1,698,86216.45193,3321143,820,93815.624504.74
Miscellaneous2,897,70828.07349,0211209,348,04538.236466.43
                    Totals10,308,30799.841,136,07411024,386,86099.724745.15
Road traffic door-to-door16,3770.16  67,5150.28825 
                    Grand totals10,324,684100.001,136,07411024,454,375100.004745.17

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.
19479,329,3338,516,995883,66401951132.46
19489,524,0439,002,450937,4221241382.73
19499,666,1309,157,049970,7561481602.94
19509,948,2619,326,9931,021,1381511692.93
19519,615,8579,153,1371,026,9351115112113.51
19529,828,7718,514,4531,069,2431148119103.82
195310,025,9399,194,3281,062,66711842174.34
19549,635,0619,129,7011,033,6572192404.65
195510,336,3319,373,0551,108,66424112965.01
195610,677,9239,635,9491,148,33025121005.03
195710,324,6849,392,2451,136,07427421205.17

A classification of goods traffic for the eleven years ended 1956-57 is now given.

Tons (000)
Year Ended 31 MarchAgricultural and Pastoral ProduceAgricultural Timber and ManuresTimber and FirewoodCoalMotor Spirits and KeroseneOther
Agricultural ProduceDairy ProduceMeat, Fish, and LivestockWool
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
19555623141.0212121.6918461.8553903.446
19565413031.0502141.6879461.8204193.698
19575253461.0582191.4711.1731.8333903.310

RAILWAY EMPLOYEES.—The average number of persons employed by the State railways throughout the year ended 31 March 1957 was 25,552. 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 BranchesTotal
19537,7855,5913,5345,2893,05725,256
19547,5876,0213,5225,1742,98225,286
19557,5455,9273,4344,9632,81724,686
19567,7035,9413,4164,7872,79424,641
19577,9186,3803,5274,9072,82025,552

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, when necessary, up to a maximum of £28,000 per annum. No subsidy was claimed during 1956-57 due to decreased payments following the introduction in September 1956 of a system of paid sick leave for staff in the General Division.

RAILWAY ACCIDENTS.—During the year ended 31 March 1957, 30 persons were killed and 441 were injured in all kinds of accidents arising from train working and movements of rolling stock. Comparative figures for the previous year were 37 killed and 462 injured. These figures do not include employees who were killed or injured whilst engaged on other duties—e.g., railway workshops.

Of the 30 persons meeting with fatal accidents in 1956-57, 2 were passengers and 7 were employees; of the remainder who were neither passengers nor employees, 3 were killed in accidents on the line, 13 at level crossings, and 5 from other causes. Of those injured 69 were passengers, 277 were employees (chiefly in minor accidents), and 95 were neither passengers nor employees. Of the 95 other persons, 71 were injured in crossing accidents.

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 Birchwood and Wairio, operated by the Ohai Railway Board.

Chapter 13. SECTION 13—URBAN TRANSPORT OPERATED BY LOCAL AUTHORITIES

Table of Contents

INTRODUCTORY.—Commencing with the 1928 issue of the Official Year-Book a Section entitled Tramways gave particulars of the electric tramway services operating in New Zealand. In the 1951-52 issue the title of the relevant Section was changed to Electric Tramways and Associated Transport, greater prominence being given to the statistics of the motor-bus and trolley-bus services operated by the Tramway Authorities in conjunction with the trams.

The position now is that motor-bus and trolley-bus services have increased and electric tramways are relatively a small sector of the urban passenger services. Only one electric tramway system serving a city area continues to run, this being in Wellington. Dunedin had a cable-car service up till March 1957, but with the cessation of that service all electric tramways in that city came to an end. Electric trams in Auckland ceased in December 1956.

The data provided in this Section cover the whole of the urban passenger transport services operated by local authorities in the respective periods. These consist of (1) combined tram, trolleybus, and motor-bus services; (2) combined trolley-bus and motor-bus services; (3) motor-bus services only. In Wellington a cable tramway is still in use but separate statistics for it are not compiled, it being treated as part of the electric tramways.

No account is taken in this Section of the various motor-bus services operated by the New Zealand Government Railways or by any private enterprise.

In the 1956 issue of the Official Year-Book is given a brief history of New Zealand's electric tramway systems. The following table illustrates the duration of each of these services.

ServiceHorse-drawn System ElectrifiedElectric System InstalledRemarks
Auckland1902..Ceased December 1956.
Dunedin1903..Ceased March 1957.
Wellington1904..Still operating in 1957.
Christchurch1905..Ceased July 1954.
Wanganui..1908Ceased September 1950.
Invercargill..1912Ceased September 1952
Napier..1913Ceased February 1931.
Gisborne..1913Ceased July 1929.
New Plymouth..1916Ceased July 1954.

SYSTEMS COMPRISED OF MOTOR-BUS SERVICES ONLY.—In the following tables information is given on the operations of those municipal services which consist entirely of motor buses.

ServiceYear Ended 31 March
195519561957
* April to September 1956 only.
Number of Passengers Carried
Gisborne871.759852.618845.696
Palmerston North1.536.2851.509.8901.530.858
Upper Hutt154.285169.44776.327*
Eastbourne1.366.4131.318.3891.242.912
Timaru1.274.6331.276.3281.256.189
Invercargill3.335.5353.040.7002.942.798
Average Number of Passengers Per Mile Run
Gisborne5.335.095.22
Palmerston North5.555.165.09
Upper Hutt2.673.193.28*
Eastbourne1.982.112.00
Timaru5.725.855.70
Invercargill6.186.466.01
Revenue
 £££
Gisborne22.07622.53423.441
Palmerston North29.65531.35832.181
Upper Hutt5.6005.0792.542*
Eastbourne71.33589.20889.380
Timaru32.03431.59831.359
Invercargill46.59246.77746.175

Passengers carried.—The total number of passengers carried on these services has decreased during the last few years. In 1954-55 the total was 8,538,910. This fell to 8,167,372 in 1955-56, and to 7,894,780 in 1956-57.

Employees.—The number of employees engaged on these services during the past three years is now given.

ServiceYear Ended 31 March
195519561957
* Includes six part-time employees.
Gisborne171617
Palmerston North292929
Upper Hutt443
Eastbourne353434
Timaru272731
Invercargill47*48*48*

The following table sets out the numbers of vehicles in use, their seating capacity, and miles run during the last three years.

ServiceYear Ended 31 March
195519561957
* April to September 1956 only.
Number of Buses in Use
Gisborne999
Palmerston North151515
Upper Hutt333*
Eastbourne222322
Timaru161515
Invercargill242323
Seating Capacity
Gisborne254271288
Palmerston North524524524
Upper Hutt959595*
Eastbourne752797770
Timaru588544565
Invercargill861831831
Miles Run During Year
Gisborne163,640167,559162,104
Palmerston North276,801292,580301,052
Upper Hutt57,86353,12323,270*
Eastbourne690,609626,270622,536
Timaru222,682218,146220,482
Invercargill539,777470,826489,269

SYSTEMS COMPRISED OF COMBINED TROLLEY-BUS AND MOTOR-BUS SERVICES.— New Plymouth has operated a service of this type since disposing of electric trams in July 1954. In Christchurch this type of service was run from the cessation of trams in July 1954 till November 1956. At this date the trolley buses were disposed of and from then on only motor-buses have been used. Figures given for Christchurch for the year ended 31 March 1957 therefore represent a combined trolley-bus and motor-bus service for seven months and motor-buses only for five months.

Route Mileage.—Length of route in use at 31 March 1957 is given below.

ServiceTrolley-bus RoutesMotor-bus Routes
 M.ch.M.ch.
New Plymouth3291939
Christchurch  11913

Passenger Vehicles in Use.—The following table sets out details of the vehicles in use by these authorities during the years ended 31 March 1956 and 1957.

Year Ended 31 MarchNumber of VehiclesSeating CapacityNumber of Miles Run
Trolley BusesMotor BusesTrolley BusesMotor BusesTrolley BusesMotor Buses
New Plymouth
195641916869787,959417,988
195741716864779,134431,453
Christchurch
1956111524245,779176,2574,087,857
1957111614246,21360,8864,156,364

Capital Outlay.—The capital value of these systems is now shown, divided into main items.

As at 31 MarchLand and BuildingsOverhead Equipment, Etc.VehiclesOther AssetsTotal
New Plymouth
195615,10913,79087,13417,008133,041
195715,4469,41185,46417,080127,401
Christchurch
1956166,49632,247801,537116,7741,117,054
1957202,152 881,74928,9871,112,888

Passengers Carried.—During the years ended 31 March 1956 and 1957 these services carried 24,666,493 and 24,061,008 passengers respectively.

 19561957
New Plymouth3,316,2073,337,785
Christchurch21,350,28620,723,223
            Total24,666,49324,061,008

Revenue and Expenditure.—The following table shows the financial position of these services for the years ended 31 March 1956 and 1957.

£
REVENUE
Year Ended 31 MarchPassenger FaresOtherTotal
New Plymouth
195656,1262,08758,213
195758,5472,17760,724
Christchurch
1956515,78726,509542,296
1957502,583172,669675,252
EXPENDITURE
Year Ended 31 MarchOperating ExpensesCapital ChargesOtherTotal
New Plymouth
195660,861 5,64366,504
195765,891 8,28874,179
Christchurch
1956463,948132,30680,796677,050
1957548,451134,582 683,033

Employees and Wages.—Included in the expenditure for the years 1955-56 and 1956-57 were amounts of £397,853 and £394,578 paid as salaries and wages. The following table shows the allocation of these sums as between the two systems and the number of persons employed.

Year Ended 31 MarchAverage Number of Persons EngagedTotal Wages Paid
New Plymouth
 No.£
19565040,235
19574934,471
Christchurch
 No.£
1956476357,618
1957441360,107

Summary of Operations.—Averages derived from the information given in 1955-56 and 1956-57 are as follows.

Year Ended 31 MarchPassengers Per Mile RunAverage Fare Per PassengerRevenue Per Mile RunExpenditure Per Mile Run
New Plymouth
 No.d.d.d.
19566.554.0627.6131.55
19576.544.2128.5434.87
Christchurch
 No.d.d.d.
19565.015.8030.5238.12
19574.915.8238.4338.87

SYSTEMS COMPRISED OF COMBINED ELECTRIC TRAMWAYS, TROLLEY-BUS, AND MOTOR-BUS SERVICES.—The year 1955-56 saw a further reduction in this type of system through the cessation during the year of the main electric tramway service in Dunedin, where the one mile of cable tramway to Mornington was the only remaining tramway service. This cable tramway ceased operating in March 1957 and the electric trams in Auckland ceased in December 1956. At the conclusion of the year 1956-57 the only remaining electric tramway was that in Wellington. Electric tramways reached the peak of mileage of track in use in 1929 when 170 miles of line was operated. A steady decline in the mileage of track in use took place until 1950 when 158 miles of line were used. From that year onwards the change has been more rapid. The mileage of tram track in use at the end of each of the last eight years was as follows:

Year Ended 31 MarchMiles of Tram Track in Use
1950158
1951133
1952129
1953105
195475
195556
195639
195724

At the same time there has been a steady expansion in the mileage of the trolley-bus routes and a more rapid growth of motor-bus routes. The following table shows the length of roadway traversed by each type of service at 31 March 1957.

ServiceTram RoutesTrolley-bus RoutesMotor-bus Routes
 M.ch.M.ch.M.ch.
Auckland  39409175
Wellington234513645248
Dunedin  177380

Passenger Vehicles in Use.—The following table sets out details of vehicles in use by the various authorities during the year ended 31 March 1957.

ServiceTramcars and TrailersTrolley BusesMotor Buses
Number of Vehicles
Auckland40100280
Wellington1444859
Dunedin126548
            Totals196213387
Seating Capacity
Auckland2,0804,34711,543
Wellington5,0292,0162,079
Dunedin2742,8601,591
            Totals7,3839,22315,213
Miles Run During Year
Auckland826,3502,480,5835,304,166
Wellington2,324,681879,854748,373
Dunedin61,8681,420,0141,069,718
            Totals3,212,8994,780,4517,122,257

Capital Outlay.—At 31 March 1957 the capital value of the three systems was £7,947,946. This total value was made up of the assets shown below.

£
ServiceLand and BuildingsTracks and Overhead EquipmentVehiclesOther AssetsTotal
Auckland610,309564,3022,744,381435,5774,354,569
Wellington459,879702,757997,001179,8982,339,535
Dunedin132,984217,872778,246124,7401,253,842
            Totals1,203,1721,484,9314,519,628740,2157,947,946

Passengers Carried.—During the years 1954-55, 1955-56, and 1956-57 passengers carried totalled 176,513,318, 136,677,221, and 124 535,323 respectively. The number carried on each service during the year ended 31 March 1957 is given below.

ServiceTotal Passengers Carried
Auckland60,105,052
Wellington38,993,140
Dunedin25,437,131

Revenue.—The table which follows shows the revenue of each of the authorities for the 1956-57 year compared with the previous year.

£
ServicePassenger FaresOther RevenuesTotal
Auckland1,534,138357,7371,891,875
Wellington816,17438,784854,958
Dunedin331,62320,122351,745
            Totals, 1956-572,681,935416,6433,098,578
            Totals, 1955-562,655,624217,8162,873,440

Expenditure.—Details of expenditure by each of the authorities during the 1956-57 year are now given and compared with the year 1955-56.

ServiceOperating ExpenditureCapital ChargesOther ExpenditureTotal
Auckland1,379,081337,185 1,716,266
Wellington853,365112,4052,182967,952
Dunedin384,559114,606 499,165
            Totals, 1956-572,617,005564,1962,1823,183,383
            Totals, 1955-562,753,683495,4094,5883,253,680

Employees and Wages.—Included in the expenditure for the year 1956-57 was an amount of £1,995,259 paid as salaries and wages. The following table shows the allocation of this sum as between the various systems and the numbers of persons employed.

ServiceAverage Number of Persons EngagedTotal Wages Paid
 No.£
Auckland1,2521,018,888
Wellington808694,842
Dunedin333281,529
                Totals2,3931,995,259

Summary of Operations.—Averages derived from the information given in 1956-57 concerning fares paid, revenue, expenditure, and passengers per mile run, of the separate series, are supplied in the table which follows, together with similar details of the operations of the two previous years.

Year Ended 31 MarchAverage Fare Per PassengerRevenue Per Mile RunExpenditure Per Mile RunPassengers Per Mile Run
 d.d.d.d.
Auckland
19555.3841.5244.257.60
19565.5445.2847.157.33
19576.1343.6447.836.98
Wellington
19554.5947.1350.689.91
19564.5146.1053.859.83
19575.0251.9158.779.86
Dunedin
19552.6435.3946.3313.11
19562.9135.7047.7111.80
19573.1333.0846.959.97

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 1956 was 56,187, in addition to which there were 4,815 miles of bridle-tracks and 16,233 miles of unformed legal roads. Details are given in the following table.

Miles
CountiesBoroughsTown DistrictsRoad DistrictsTotal
* Includes 450 miles of pumice roads..
Formed roads and streets—
    Sealed surfaces7,8473,24675311,171
    Metal or gravel surfaces36,9221,2691657138,427
    Unmetalled surfaces6,342*19135216,589
            Totals, formed roads51,1114,7062759556,187
Bridle-tracks4,71089884,815
Unformed legal roads15,855328311916,233
            Totals, all roads71,6765,04231520277,235

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 1956, 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 13.7 ft. 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 stone1,844191,15012614,0236353  1,976205,526
Steel and concrete35539,6277010,7754225  42950,627
Steel, concrete, and timber66561,064223,612310127569264,852
Steel and timber1,02187,994324,0275180  1,05892,201
Australian hardwood2,291214,7469810,4013210  2,392225,357
Native timbers2,136127,520332,332523861792,180130,269
                Totals8,312722,10138145,170261,30782548,727768,832

ROADS ADMINISTRATION.—The main statutes covering roads administration in New Zealand are the Public Works Act 1928, the Counties Act 1956, and the National Roads Act 1953 with its 1954, 1955, 1956, and 1957 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 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-one 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 410 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.

Following is a statement of receipts and expenditure of the National Roads Fund for the years ended 31 March 1956 and 1957:

 1955-561956-57
££
Receipts—
    Petrol tax (net)13,014,48313,642,291
    Mileage tax206,774265,495
    Tire tax27,53322,206
    Fees and charges—
        Registration and licence fees2,076,8772,216,643
        Heavy traffic fees2,173,3982,275,174
    Contribution from Consolidated Fund1,000,0001,000,000
    Miscellaneous receipts—
        Repayments of plant purchases37,07648,982
        Repayments of advances to local authorities13,34526,265
        Rents10,99412,921
        Fees7993
        Sales of land and buildings12,68416,985
        Interest on plant purchases3,2706,603
        Interest on advances to local authorities1,8773,047
        General1,225 
Culvert pipes 10,677
Bailey bridging hire 6,757
Interest on investments41,75023,583
            Total receipts18,621,36519,577,722
Expenditure—
    Highways maintenance4,178,8644,801,435
    Highways construction9,520,06310,361,251
    Payments to local authorities—  
        Subsidies on rates or population3,297,2733,466,840
        Bridge renewal, flood damage, special and other grants698,2481,160,945
                Total payments to local authorities3,995,5214,627,785
    Maintenance of Government and county roads119,839149,124
    Administration and general expenses—
        Ministry of Works administration875,8051,057,056
        Abolition of toll gates595595
        Hutt Road charges1,2122,492
        Purchases of plant (local authority)105,49589,121
        Advances to local authorities39,00010,202
        Fees and travelling expenses4,2825,130
        Miscellaneous expenses112,804339,419
        Revenue collection expenses243,191286,808
                Total administration and general expenses1,382,3841,790,823
        Unauthorized expenditure2,000681
                Total expenditure19,198,67121,731,099
Balance in Fund at end of year2,874,553721,176

In the following table are shown the amounts which have been expended on highways construction, renewal, or maintenance during the last five years. Maintenance figures include the cost of flood damage restoration when applicable.

£
Class of Expenditure1952-531953-541954-551955-561956-57
Construction and improvement3,082,3103,222,0144,945,1207,986,1688,503,760
Renewal of bridges838,145915,4671,273,0311,533,8951,857,490
Maintenance, repairs, etc,3,689,9654,003,8463,812,6884,178,8644,801,435
                Totals7,610,4208,141,32710,030,83913,698,92715,162,685

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.

1952-531953-541954-551955-561956-57
Percentage of New Zealand Totals
North Island—
    Maintenance expenditure67.1371.3366.5865.6867.78
    Motor vehicles66.9266.8166.9667.0667.19
South Island—
    Maintenance expenditure32.8728.6733.4234.3232.22
    Motor vehicles33.0833.1933.0432.9432.81

The following table shows the mileage of State and Main highways in the North and South Islands at 31 March 1956, together with a classification as to the type of construction or surface.

Miles
Length of Highways
Dustless SurfaceGravel or Macadam SurfaceTotal
North Island3,8643,5477,411
South Island2,7652,9125,677
                Totals6.6296,45913,088

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 may be met in full by the Board.

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 other local authorities) or of special rates for roading purposes collected during the year.

The higher rate for boroughs with a population of 6,000 or more is in recognition of the fact that there are no highways in boroughs of that size, and they do not receive the benefits from State and main highways expenditure which are enjoyed by the smaller boroughs, county councils, independent town boards, and roads boards. The annual subsidies described replace the former system under which local authorities received a limited subsidy on rates as well as heavy traffic fees—plus, in the case of boroughs with a population of 6,000 or over, a payment of 8 per cent of the proceeds of the first 6d. per gallon of the motor spirits and mileage tax distributed on a population basis for expenditure on streets forming continuations of highways. Local authorities also received receipts from drivers' licence fees, and these fees are still retained by them.

On State and main highways which were located within the boundaries of all local authorities except boroughs with a population of 6,000 or over, a total amount of £15,162,686 was expended on maintenance and improvements by the National Roads Board during 1956-57.

The Board provides the following additional assistance to local authorities for roading purposes: Subsidies on the cost of renewing bridges, and on the cost of restoring flood damage on local authority roads and streets; and financial help with the cost of extraordinary damage or maintenance caused by certain types of heavy traffic.

It also makes available special monetary assistance to local authorities whose financial position is such that they cannot cope with their roading responsibilities from their own resources and the various forms of subsidy available from the National Roads Fund. During the year 1956-57 the Board expended the following sums on the additional forms of assistance mentioned:

 £
Bridge renewals469,794
Flood damage repair186,312
Extraordinary damage or maintenance110,311
Special financial grants327,955
Subsidised highways50,000
Municipal arterial roads16,573
                8Total£1,160,945

For the first time assistance is now available to cities and boroughs with a population of over 6,000 for major and urgent works on streets which are continuations of the State highway system. This involves subsidies, with a maximum of £3 for £1, for construction purposes only, and the object is to ensure that the value of improved arterial highways is not lost through traffic having to continue on low capacity and congested streets in such borough areas.

The payment shown above as "subsidised highways" was a contribution made during 1956-57 to the Auckland Harbour Bridge Authority towards the cost of constructing the northern approach to the Auckland Harbour Bridge. This is under the authority of the National Roads Amendment Act 1956, which empowers the Board to subsidise roads which, although not controlled by a roading authority, will be available for public use.

Loan Assistance.—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 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 £980,490, of which sum £143,391 was outstanding at 31 March 1957. New advances made and repayments received during 1956-57 totalled £86,511 and £49,070 respectively.

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 1957 the length of State and main highways totalled 13,088 miles, compared with 12,767 miles in March 1956.

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.

Motorways.—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, motorways. It is emphasized that motorways are not merely better all-purpose highways.

In addition to providing the most efficient and economic transport service, the main distinguishing features of a motorway 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.

The total mileage of motorways in use at 31 March 1957 was 25 miles 30 chains. During 1956-57, 3 motorway bridges, totalling 345 ft., were completed. Additional lengths are under construction at Auckland, and at the northern approach to Dunedin. The figures quoted for motorways' mileages and bridging are additional to those shown under highways.

Activity During the Year Ended 31 March 1957.—During the year ended 31 March 1957, 509 miles of new sealing on highways were completed, giving an aggregate of 6,629 miles of sealed roads, or 51 per cent of the total highway mileage. In addition, improvements to existing sealed surfaces were effected on 630 miles of highways.

New bridging totalled 15,758 lineal feet, compared with 11,960 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 406, 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 or its successor on this account.

£
1952-531953-541954-55
* The bulk of interest is an estimate of interest on local-authority and public road liability.
Maintenance—
    Rural, State, and main highways4,915,3145,354,3455,026,193
    Urban roads and streets1,150,6001,243,1391,409,788
    Other rural roads3,250,1603,686,9874,365,162
            Totals9,316,07410,284,47110,801,143
Construction—
    Rural, State, and main highways4,182,7884,407,7476,931,640
    Urban roads and streets1,852,9012,142,0462,705,569
    Other rural roads1,326,9841,392,4421,184,794
            Totals7,362,6737,942,23510,822,003
Interest* and sinking fund charges—
    Rural, State, and main highways538,582524,430580,823
    Urban roads and streets675,804844,342916,048
    Other rural roads1,298,5051,347,5431,355,470
            Totals2,512,8912,716,3152,852,341
            Totals, New Zealand19,191,63820,943,02124,475,487

The total expenditure shown in the preceding table was made available from the following sources of revenue.

£
1952-531953-541954-55
* 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—
    Loans5,620,6296,033,3702,223,412
    Local rates5,522,5866,437,9166,114,704
    Government grants11,5449,61310,147
    General taxation*2,333,0722,644,5222,090,908
    Motor taxation5,703,8075,817,60014,036,316
            Totals19,191,63820,943,02124,475,487

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 1958: 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 manufacturer's gross laden weight 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 charge for licence stickers is 6d., for each set of two number plates, 3s. 6d., and 1s. 9d. for a single plate for a trailer or motor cycle.

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
19531954195519561957
* Figures now include trailers formerly included under the heading "vehicles exempted from payment of annual licence fees".
Cars305,672323,641356,284393,504425,018
Light trucks (i.e., 2 tons and under, laden)56,58256,70759,00763,20060,946
Heavy trucks (i.e., over 2 tons laden)44,45946,25848,26351,96360,522
Contract vehicles2,1062,1642,1742,2072,166
Omnibuses1,7621,8222,0222,0552,174
Taxis2,2332,2582,3192,4362,438
Rental cars1,6381,7061,8392,0101,977
Private-hire cars352289257253246
Service cars727723699733733
Trailers44,13748,67554,76860,71077,988*
Vehicles exempted from payment of annual licence fees (other than exempted Government-owned vehicles)45,56447,28749,25650,68548,459
Government vehicles13,90014,63214,90515,78916,543
Motor cycles25,54625,75426,24424,59225,389
Power cycles3,6513,9724,1144,1805,781
            Totals548,329575,888622,151674,317730,380
Dealers' cars2,3122,4432,6532,8753,079
Dealers' motor cycles121128147130197
            Grand totals550,762578,459624,951677,322733,656

The rate of increase in the number of motor vehicles has exceeded the rate of increase in population. The following table shows the changes in relationship between the number of licensed vehicles and population as at 31 March in the last ten years.

As at 31 MarchNumber of Persons in Population Per CarNumber of Persons in Population Per Motor Vehicle
19488.45.4
19498.25.2
19508.15.0
19517.74.7
19527.04.2
19536.64.0
19546.43.9
19555.93.7
19565.53.5
19575.23.4

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 1946 to 1957.

Million Gallons
Calendar YearConsumption of Motor Spirits
By Motor VehiclesTotal Consumption
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
1955185.0228.5
1956200.7244.9
1957207.0252.4

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
195328,4196,45928,84163,719
195424,7134,91524,62154,249
195540,4134,74728,77773,937
195645,1163,71033,51982,345
195738,3485,10634,09677,550

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 1955, replacing 1940 and 1950 regulations of similar title. Quarterly licence fees under the Heavy Motor Vehicle Regulations range from £2 3s. 4d. (not above 2 1/2 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 as fixed by the Minister of Finance and 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 were 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 in 1936; and amended and consolidated as the Traffic Regulations 1956.

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 primarily to the public interest, the desirability of the service, and the needs of the district. More generally the authority is to have regard also 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 Governor-General 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" in the Transport Act includes the carriage of goods (whether for hire or reward or not) by means of a goods service vehicle over 2 1/2 tons gross laden weight if there is an available route for the carriage of the goods that includes not less than 50 miles of open Government railway in the case of logs (except for the Murupara-Kawerau Railway) or 30 miles in any other case. Where a farmer is carrying his own farming goods (other than lime) in a goods-service vehicle owned by him it is a goods service if the gross laden weight exceeds 6 1/2 tons, and if there is an available route that includes not less than 50 miles of open Government railway in the case of live-stock and fresh milk, cream, vegetables, fruit, eggs, or poultry, or 30 miles in any other case. The foregoing provisions do not apply if the route that includes the railway is longer by more than one-third than the shortest road route or where the owner of the motor vehicle is the Crown or a local authority or a 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 and the protection of public funds where the Minister of Railways holds a licence. 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 Part III of the Government Railways Act 1949 applies, is expressly excluded from the jurisdiction of the charge-fixing bodies, but there is now right of appeal to the Charges 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 each of the four latest years ended 31 March.

Road Goods Services1952-531953-541954-551955-56
Revenue£24,555,00026,628,00029,703,00031,217,000
Capital£16,357,00017,361,00018,413,00019,715,000
Total vehicle-milesNo.195,100,000199,500,000208,100,000214,000,000
Number of operators 5,3735,5705,9026,194
Average revenue per vehicle-miled30.2132.0334.2635.01
Average number of miles per vehicle 14,91915,11415,27915,350

The second table shows traffic data, revenue, and number of vehicles used by the road passenger services operating in New Zealand, and is inclusive of services in the four Metropolitan Transport Districts, for each of the latest four years ended 31 March.

Road Passenger Services1952-531953-541954-551955-56
Traffic statistics—
    Passengers carriedNo.114,235,629136,534,240149,856,890153,809,946
    Vehicle-milesNo.59,750,26164,700,14968,478,98068,518,699
Total revenue£6,357,7107,277,4777,931,0148,289,683
Total revenue, per miled.25.5327.0027.7929.04
Number of vehicles included 2,8493,1143,1703,314

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 and 1955, 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, 40 miles per hour (30 miles per hour without safety helmets); heavy passenger vehicles, 40 miles per hour; vehicles drawing trailers, 40 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. Limited-speed zones may now be defined and indicated by signs at the approaches to closely settled areas, and there a maximum speed-limit of 30 m.p.h. operates when adverse conditions prevail, such as poor visibility or heavy traffic.

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 or death 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 a later amendment, application may be made after six months to the Court imposing this penalty for removal of the disqualification. After the first offence the period of compulsory disqualification is increased to five years and he may not apply to the Court for review until after two years. The Act prescribes penalties for careless or inconsiderate driving, certain accident promoting offences (28 days' disqualification), the drinking 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 1956 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 1954-57.

Type of Offence1953-541954-551955-561956-57
(a) Road traffic offences—
    Intoxicated in charge194207251210
    Negligent driving18182612
    Dangerous manner382359275194
    Dangerous speed217188153143
    Careless or inconsiderate driving650620638606
    Exceeding 30 m.p.h.5,2843,1372,6072,838
    Overtaking offences204301176168
    Failing to keep left405604445310
    Failing to yield right of way508569324263
    Driver's licence offences1,187976921746
    Licensing and registration offences920697614472
    Lighting offences1,6981,144772854
    Defective brakes243114140104
    No warrant of fitness2,1941,4921,5791,231
    Loading offences35823713393
    Exceeding 50 m.p.h.611513508528
    Cycling offences489518385302
    Failing to dip98928372
    Failing to give right of way to pedestrians111566166
    Exceeding 40 m.p.h. with pillion passenger528427318212
    L plate offences529597450356
    Crossing railway line65334151
    Compulsory stop1,010774468439
    Parking1,1611,2242,3942,953
    Miscellaneous784700758530
(b) Heavy motor-vehicle offences—
    Exceeding heavy-traffic licence770520494405
    Exceeding axle load1,407953588622
    No heavy-traffic licence565343538585
    Speeding800778689682
    No heavy-traffic disc or class plates69347 
    Miscellaneous942611553
(c) Transport licensing offences—
    Unlicensed goods service327301235178
    Breach of goods service licence124161165134
    Unlicensed passenger service8832
    Breach of passenger service licence16134
    No certificate of fitness368280310223
    No vehicle authority86464538
    Drivers' hours breaches811613
    Overloading102642137
    Rental vehicle offences42283641
    Miscellaneous transport offences2291731
(d) Miscellaneous offences under miscellaneous Acts and regulations64282329
            Totals24,72019,17817,82516,830

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. For the year ended 31 December 1956, 7,042 such accidents, resulting in 329 fatalities and in injuries to 9,758 other people, were reported. Comparative figures for 1955 and 1954 years were (1954 figures being given in parentheses): number of accidents, 6,676 (5,895); fatalities, 333 (360); persons injured, 8,976 (7,875). 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), the figure for 1956 being 5.32. Details of the number and nature of road accidents for the five calendar years ended in 1956. which have been compiled by the Transport Department, are as follows.

Nature of AccidentNumber of Accidents
19521953195419551956
Collisions—
    Between two or more motor vehicles2,2182,2242,3002,6092,861
    Between motor vehicle and bicycle1,1011,0041,0821,2081,166
    Between motor vehicle and pedestrian9021,0001,0211,1201,165
    Between motor vehicle and fixed object249289326406503
    Between motor vehicle and animal or horse vehicle4547545554
    Between motor vehicle and railway train3937344555
    Between motor vehicle and tram4022201619
    Multiple and other collisions201214209288240
            Totals, collisions4,7954,8375,0465,7476,063
Non-collisions—
    Drove off road176202193199193
    Went over bank194245236252308
    Overturned on roadway290254297353359
    Person fell from vehicle108971029790
    Other2634212829
            Totals, non-collisions794832849929979
            Total accidents5,5895,6695,8956,6767,042

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 329 in 1956.

Nature of AccidentNumber of Fatal Accidents
19521953195419551956
Collisions, motor vehicle with—
    Pedestrian6079857980
    Motor vehicle6068797374
    Train6781111
    Tram23   
    Bicycle3027382620
    Horse vehicle or animal24131
    Other2337393740
Otherwise7067847580
                Totals253292334304306

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 1956.

Classification of LocalityFatal AccidentsInjury AccidentsAll Accidents
NumberPercentage of TotalNumberPercentage of TotalNumberPercentage of Total
* Does not include two accidents that occurred on the main highway within Wellington city boundary.
Four main cities*5417.72,00529.82,05929.2
Secondary cities (10)237.588313.190612.9
Boroughs 6,000 to 20,000 population (28)299.596714.399614.1
Small boroughs, town districts, and closely populated localities165.270310.471910.2
                Total in built-up areas12239.94,55867.64,68066.4
State highways10735.01,29819.31,40520.0
Main highways4615.04386.54846.9
Other rural roads3110.14426.64736.7
                Total on rural roads18460.12,17832.42,36233.6
                Total accidents306100.06,73610007,0421000

The next table gives an analysis of the more important causes of accidents involving motor vehicles during the year ended 31 December 1956.

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 way25 24 
Failure to keep left9 7 
Driver/rider inattentive12 14 
Excessive speed9   
Intoxicated3   
Skidding3   
Pedestrian crossing roadway heedless of traffic 50  
Pedestrian emerging from behind vehicle or object 18  
Pedestrian stepping into roadway without due care 12  
Pedestrian intoxicated 7  
Pedestrian playing in roadway 3  
Pedestrian failing to keep to side of road where no footpath 2  
Turning suddenly  9 
Failure to give proper signal  3 
Reckless emergence from another road  7 
Door opened in moving vehicle   7
Animals on roadway   14
Door of vehicle opened in path of other party   8
Road surface slippery from rain   11
Narrow road   5
Excessive depth of loose metal   8
Sundry causes3983647
                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 6 p.m. to 7 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 1955 amendment to the principal Act redefined the terms aerodrome and aircraft to conform with those generally accepted in modern aviation practice. The maximum penalties for dangerous operation of aircraft were also substantially increased up to a fine of £500 or imprisonment for twelve months.

The present organizational structure of the Civil Aviation Administration consists of a Directorate Staff, three technical divisions—viz., Operations, Airworthiness, and Airways—and an Administration Division. Principal functions of the four 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 1957 totalled 752. 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 net Government expenditure on civil aviation and meteorological services in New Zealand and its island territories in 1956-57 was £2,380,677 (civil aviation £1,961.510 and meteorological services £419,167), compared with £1,920,794 in 1955-56 (civil aviation £1,596,292 and meteorological services £324,502). Expenditure on the South Pacific Trunk Air Route (partly recoverable from the South Pacific Air Transport Council Member Governments) was £442,717 in 1956-57 and £308,159 in 1955-56.

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 (including aerial topdressing) 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 1956-57, 64 applications were received in respect of air service licences, and the following table shows the decisions of the Authority.

CategoryDecision by AuthorityTotal Applications Received
New Licence IssuedTemporary Licence IssuedExisting Licence AmendedApplication DeclinedApplication Withdrawn, Lapsed, or Adjourned
Topdressing3 1810536
Scheduled services2 6  8
Non-scheduled services3311i220
            Totals833511764

Provision also is made in the Air Services Licensing Act for the appointment of an Appeal Authority of one member. Four appeals were lodged during 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 1957, together with those for the two preceding years, are as follows.

 1954-551955-561956-57
 £££
Passenger fares1,891,3482,087,5862,380,024
Excess baggage25,35827,76230,646
Freight279,373344,594379,098
Mail94,403104,222113,668
Charters37,88551,78062,472
Incidental revenue37,93144,98169,119
            Totals2,366,2982,660,9253,035,027

Operating expenditure in 1956-57 totalled £2,817,883 (including depreciation on equipment), as compared with £2,474,124 in 1955-56 and £2,270,522 in 1954-55. The corporation thus enjoyed a successful year financially. After adding interest on investments and deducting interest on capital and loans, a net profit of £45,480 was made in 1956-57, the corresponding figure for 1955-56 being £42,033. Provision for taxation in 1956-57 amounted to £136,121.

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. In April 1956 these services were taken over by a new company, Trans Island Airways Ltd. The Christchurch-Oamaru service ceased in June 1957 and the only service now operated by the company is that between Christchurch and Nelson.

At 31 August 1957 domestic scheduled services were being operated on the following routes.

Terminating Points of RoutesIntermediate StopsRoutes MilesScheduled Frequency
New Zealand National Airways Corporation
Weekday Services
Auckland-WhangareiNil723 return trips daily.
Auckland-KaitaiaKaikohe1421 return trip daily.
Auckland-lnvercargillWellington, Christchurch, Dunedin8101 south trip daily.
Auckland-DunedinWellington, Christchurch703I return trip daily.
Auckland-DunedinWellington6991 north trip daily.
Auckland-ChristchurchWellington5052 south and I north daily.
Auckland-ChristchurchNil4792 return trips daily.
Auckland-WellingtonNil2841 south trip daily.
Wellington-InvercargillChristchurch-Dunedin5231 return trip daily.
Wellington-DunedinChristchurch4161 north trip daily.
Wellington-DunedinNil414I south trip daily.
Wellington-DunedinChristchurch, Timaru4201 south trip daily.
Wellington-ChristchurchNil2181 south and 2 north daily, plus 2 return trips weekly.
Wellington-Christchurch (freight)Nil2181 return trip daily.
Auckland-ChristchurchHamilton, Palmerston North, Blenheim5241 return trip daily.
Auckland-ChristchurchHamilton, Wanganui, Wellington6411 return trip daily.
Auckland-GisborneNil2231 north trip daily, plus 3 return trips weekly.
Auckland-GisborneTauranga2261 return trip daily.
Gisborne-WellingtonNapier, Palmerston North2261 return trip daily.
Gisborne-WellingtonNapier2223 return trips weekly.
Hamilton-WellingtonPalmerston North2251 return trip daily.
Auckland-WellingtonNew Plymouth, Wanganui, Palmerston North3341 return trip daily.
Auckland-WellingtonNew Plymouth2981 return trip daily.
Wellington-BlenheimNil723 return trips daily.
Wellington-NelsonNil965 return trips daily, plus 2 return trips weekly.
Nelson-WestportNil951 return trip daily, plus 1 south trip weekly.
Westport-HokitikaNil752 return trips weekly.
Auckland-NapierNil2221 return trip daily.
Christchurch-Auckland (freight)Wellington, Wanganui, New Plymouth, Hamilton5155 return trips weekly and others as required.
Auckland-Christchurch (freight)Gisborne, Napier, Wellington6615 return trips weekly and others as required.
Christchurch-Dunedin (freight)Nil1982 return trips weekly and as required.
Sunday Services
Auckland-DunedinWellington, Christchurch7031 return trip.
Wellington-DunedinNil4141 return trip.
Auckland-ChristchurchNil4791 return trip.
Auckland-ChristchurchWellington5053 return trips.
Wellington-NelsonNil962 return trips.
Wellington-BlenheimNil722 return trips.
Trans Island Airways Ltd.
Christchurch-NelsonNil1603 return trips weekly.
West Coast Airways Ltd.
Hokitika-HaastFranz Josef, Fox, as required1254 return trips weekly.
Straits Air Freight Express Ltd.
Wellington-Nelson (freight)Nil96Daily as required.
Wellington-Blenheim (freight)Nil72

The following table gives the summarized results of the operations of scheduled commercial air services during the last eight years. Statistics for the New Zealand Railways Freight Service, operated by Straits Air Freight Express Limited since 1 April 1951, are excluded.

Year Ended Hours Miles 31 March Flown Hours FlownMiles FlownPassengersFreight (lb.)*Mail (lb.) Passenger-milesFreight Ton-milesMail Ton-miles

* Includes excess baggage.

† Includes excess baggage ton-miles.

195035,2494,508,306204,7072,757,701873,30549,478,365351,175121.251
195134,0664,369,308238,4055,724,341916,68859,744,623658,817128,923
195237,1914,818,331303,04810,880,8221,782,08478,351,8051,351,088238,507
195337,0494,739,727312,3097,834,8681,123,62679,512,1391,010,009146,457
195444,0475,504,250369,40810,490,8921,740,49589,956,7431,366,220174,132
195546,9465,830,888387,36515,594.6111,024,13593,889,6351,976,621183,686
195649,5726,275,678428,49419,070,3041,156,986104,402,2782,396,704218,878
195753.0166.814,819476,77919,017,1851.229,123118,659,3212,419,380250,218
Aircraft used in the operation of services on these routes were—
Douglas D.C. 322
Douglas D.C. 3 (Freighter)3
D.H. 89B Dominie5
D.H. Heron4
Bristol Freighters3
            Total37

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 being maintained by three Bristol Freighter aircraft on a daily basis, the number of trips varying according to the amount of cargo offering.

In recent years increasing numbers of passengers and motor vehicles have been carried on the car-ferry service operated by the company between Wellington on the one hand and Blenheim and Nelson on the other.

Traffic statistics for this freight service for the years 1948 to 1956 are as follows.

Year Ended 31 MarchTrips FlownHours FlownMiles FlownFreight (lb.)Freight Ton-milesPassengers
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 
19532,9131,412213,45933,879,4451,106,476113
19543,9371,954293,89240,497,6811,360,322598
19554,8852,487364,07650,145,3041,668,087858
19565,4112,683398,54753,913,9071,780,085986
19576,1073,033453,91254,364,2511,796,6131,308

Non-scheduled Air Services— During the year ended 31 March 1956 two new companies began operations in the field of non-scheduled air transport. At that date, twelve companies were engaged in charter, taxi, and joyriding work, including the major scheduled operators, New Zealand National Airways Corporation and Straits Air Freight Express Ltd. (S.A.F.E.), and an Australian company, Ansett Airways Ltd., which carried out four charter flights to the Chatham Islands during the year. Also engaged in non-scheduled operations were twelve aero clubs. The following is a traffic summary of these services for the years ended 31 March 1956 and 31 March 1957.

1955-561956-57
Commercial CompaniesAero ClubsTotalCommercial CompaniesAero ClubsTotal
Number of flights8,7545,36214,1169,8865,42015,306
Hours flown6,8683,72210,5908,3463,04311,389
Miles flown763,553375,0551,138,608979,787356,8981,336,685
Passengers carried22,79110,89533,68625,83311,26137,094
Freight carried (tons)4,301234,3245,328195,347

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 76 in March 1957. The number of aircraft has also shown a striking increase, from 12 aircraft in December 1949 to more than 300 in March 1957. To the end of March 1957 a total of 12,650,523 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.

An interesting development in aerial work during 1957 was the experimental use of the aeroplane as a flying fire extinguisher. Tests organised by the Soil Conservation and Rivers Control Council have shown some promise, although it is yet too soon for definite conclusions to have been reached. It is not expected that an aircraft, carrying up to 200 gallons per flight, would be able to extinguish a large-scale forest fire, but it is hoped that it might be of value in restricting a fire between the time of its outbreak and the arrival of ground fire crews.

The progress of aerial activities connected with farming in this country was demonstrated at an International Agricultural Aviation Show, the first of its kind in the world, which was held on 9 and 10 November 1956 at Palmerston North. Here, before a crowd of more than 50,000 people, some 200 aircraft demonstrated the aerial farming techniques developed in this country.

A summary of aerial work operations for the year ended 31 March 1957 follows.
Top-dressing—
    Hours flown65,003
    Fertilizer distributed (tons)428,245
    Area treated (acres)3,945,586
Seed sowing—
    Hours flown857
    Seed sown (tons)408
    Area treated (acres)68,238
Rabbit poisoning—
    Hours flown3,642
    Bait distributed (tons)4,238
    Spraying-
    Hours flown2,590
    Weed-killer and insecticide distributed (gallons)561,031
Aerial photography and survey—
    Hours flown966
    Supply dropping—
    Hours flown488
    Materials dropped (tons)414
Fence dropping—
    Hours flown206
    Materials dropped (tons)305
Miscellaneous—
    Hours flown976
    Tons dropped230

International Services.—In March-April 1954 broad proposals for the reorganization of the Pacific air services were announced. Tass an Empire Airways Ltd. 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. This Suva-Tonga service was discontinued in June 1957. Short Solent flying boats are still used on this route, which now commences in Fiji. The service to Norfolk Island, formerly conducted by the New Zealand National Airways Corporation, was taken over by Tasman Empire Airways Ltd., from 1 November 1955. Aircraft used are D.C. 4's chartered from Qantas Empire Airways Ltd.

The following routes were operating at 31 August 1957.

Route No.RouteRoute-milesScheduled Frequency
1Auckland-Sydney1,3365 return trips weekly.
2Christchurch-Sydney1,3242 return trips weekly.
3Christchurch-Melbourne1,5021 return trip weekly.
4Auckland-Nandi1,3301 return trip weekly.
5Auckland-Suva1,3101 return trip monthly.
6Suva-Papeete, via Apia, Aitutaki2,2233 return trips monthly.
7Auckland-Norfolk Island6622 return trips monthly.

Revenue traffic statistics for the years ended 31 March 1956 and 31 March 1957 are given below.

Item1955-561956-57
Hours flown7,7168,396
Miles flown1,851,5222,044,364
Passengers49,38962,168
Passenger-miles66,247,29183,608,959
Available seat-miles85,441,343101,614,818
Passenger load factor (per cent)77.5382.28
Cargo (lb.)—
    Freight895,9291,004,199
    Excess baggage120,413126,975
    Mail796,520841,588
Ton miles flown—
    Passenger6,087,1187,636,509
    Excess baggage72,12476,323
    Freight527,002582,600
    Mail474,788505,790
                Total ton-miles7,161,0328,801,222
Available capacity ton-miles9,497,79211,349,332
Overall load factor (per cent)75.4077.55

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* (lb.)Mail (lb.)Passenger-milesFreight Ton-milesMail Ton-miles

* Included excess baggage.

† Included excess baggage ton-miles.

19539,4861,790,71236,898620,252728,48554,845,653381,516448,217
19549,0831,683,45135,910719,959778,07350,735,687448,848480,364
19557,7121,733,22243,575868,983809,59959,024,843527,107486,551
19567,7161,851,52249,3891,016,342796,52066,247,291599,126474,788
19578,3962,044,36462,1681,131,174842,90683,608,959658,923505,790

Pan American World Airways, 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, while Boeing Stratocruisers are used on the remainder of the route. The frequency is three 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. The frequency is one return trip weekly.

Transports Aérien Intercontinentaux.—This French company, operating D.C. 6b aircraft, commenced on 5 February 1957 a weekly service linking Noumea in the French Territory of New Caledonia with Auckland on a route beginning in Paris and serving Athens, Karachi, Saigon, and Darwin.

Total Traffic Statistics for Overseas Airlines (C.P.A.L., P.A.W.A., and T.A.I.).—Total traffic statistics for Canadian Pacific Air lines and Pan American World Airways to and from New Zealand for the year ended 31 March 1957, and for Transports Aérien Intercontinentaux for February and March 1957, are given below, together with the total for 1955-56.

Year Ended March 1957Total 1956-57Total 1955-56
C.P.A.L.P.A.W.A.T.A.I.
Traffic entering New Zealand—
    Passengers1,4192,5681574,1443,070
    Freight (lb.)98,316318,0182.233418,567334,078
    Mail (lb.)7,445117,139659125,24378,072
Traffic leaving New Zealand—
    Passengers1,1302,281893,5002,781
    Freight (lb.)17,075220,24417,046254,365185,949
    Mail (lb.)6,69713,04153420,27212,713

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 1956 and 1957. Air freight carried is also shown for the same years.

Country from Which Arrived or to Which DepartedEntrancesClearances
NumberAir Freight (lb.)NumberAir Freight (lb.)
19561957195619571956195719561957
Hong Kong 1   1  
Canada"5455117,033123,010515218,22817,702
Fiji12612793,35978,92311912168,71666,152
Norfolk Island362545,0298,631402647,47542,951
Australia517627598,847612,853496631175,166206,452
France 46 19,206 47 24,244
United States of  -     
America158153279,397301,952159154178,016224,175
New Caledonia    1   
                Totals8911,0341,133,6651,144,5758661,032487,601581,676

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 1957, 31 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 was 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, provided for training by the clubs of selected Air Training Corps cadets, and Government subsidies were 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 1955 amounted to £26,924.

As from 1 April 1955 a new scheme of financial assistance to aero clubs has been in operation Under the new scheme a student pilot can qualify for his private pilot licence at a cost of between £40 and £60, compared with a previous cost of between £80 and £120. In respect of pilots trained and qualifying for a private pilot licence, the Government refunds to the pilot himself one-half of the cost of training up to an assessed standard rate of £3 per hour, with a maximum of £60. The club receives a subsidy of one-quarter of the cost of training, with a maximum of £30. In addition a payment of 7s. 6d. an hour flown on training and solo hire is made to clubs, as well as an incentive payment of 5s. an hour for all training and solo hire hours in excess of a yearly average of 200 per aircraft. During the year ended 31 March 1957 financial assistance to aero clubs and to pilots under training amounted to £36,168 compared with £21,064 paid in the previous year.

The Government has approved the scheme for a period of two or three years, by which time it is considered that the clubs should be able to carry on, should State assistance be reduced or withdrawn.

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
1953233,2042,359846,15016,328505
1954223,0452,338756,27715,899569
1955233,2122,431836,89016,770756
1956263,1963,3621089,09520,864894
1957333,2403,36810511,33827,309863

LICENCES.—A summary of licences and certificates current at 31 March 1957 is given below.

 Number at 31 March 1957
Flight Crew (I.C.A.O.) Type-
    Pilot Licences—
        Student Pilot1,230
        Private Pilot914
        Commercial Pilot496
        Senior Commercial Pilot1
        Airline Transport Pilot125
    Pilot Licence Ratings—
        Instructor162
        Instrument192
    Navigator Licences—
        Flight Navigator39
    Licences to Operate Radio Equipment in Aircraft—
        Flight Radio Operator11
        Flight Radio Telephone Operator316
        Restricted Flight Radio Operator95
    Flight Engineer Licences—
        Flight Engineer18
Other Licences, Certificates, etc.—
    Aircraft Maintenance Engineer Licences270
Aircraft—
    Certificates of Registration647
    Certificates of Airworthiness576
Aerodromes—
    Public Licences67
Air Service Certificates42

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 Southwest 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 radiosondes released from seven stations, and radar tracking of balloons is employed for wind measurement at six stations. The reports collected from New Zealand and the Pacific Islands are broadcast from Himatangi Radio 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 with no permanent airport staff 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. 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, and from 1 March 1952 to 31 August 1955, 4d. per half-ounce. From 1 September 1955 the rate has been 4d. for the first half-ounce and 2d. each additional 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 1946-47 to 1956-57 are shown hereunder.

Year Ended 31 MarchLettersParcels
* Abnormal increase due to interruption of surface connections owing to industrial dispute.
194711,368,000Parcels 48,298
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
195518,981,400168,521
195620,676,560167,486
195722,357,000161.599

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 Christ-church 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 four to six days.

Trans-Pacific Services.—The trans-Pacific service operating 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 replaced the National Airways Corporation services to Apia (Samoa), and an extension to Tonga was made in August 1953. From 1 March 1955 Tasman Empire Airways took over the service to Norfolk Island, thus finally replacing the National Airways Corporation overseas services to the Pacific and controlling all New Zealand operated overseas flights.

New Zealand - France Service.—On 8 February 1957 a new service, Auckland to Paris, was commenced by the French air service T.A.I. (Transports Aérien Intercontinentaux). The service, operating from Auckland with a frequency of one flight each week, carries mails for New Caledonia and France. In addition, mails for the New Hebrides are forwarded by the service to New Caledonia for transhipment from there. One result of the service has been a reduction in transit times for correspondence between New Zealand and New Caledonia and the New Hebrides. Previously all correspondence for these places was forwarded via Sydney to await connections from there.

Chapter 16. SECTION 16—POSTAL AND TELEGRAPHIC

Table of Contents

POSTAL BUSINESS.—At 31 March 1957 there were 1,435 post offices in New Zealand. In addition, there were 277 offices at which telephone business only was transacted.

The following table shows the numbers of articles posted during the years ended 31 March 1953 to 1957.

Million
Year Ended 31 MarchLetters, Lettercards, and PostcardsAccounts, Circulars, Newspapers, Packets, etc.ParcelsTotal Articles Posted
1953176.9173.67.1357.6
1954173.5179.46.4359.3
1955180.1199.86.5386.4
1956187.5213.76.8408.0
19571920213.47.0412.4

Compared with the year ended 31 March 1956, letters, lettercards, and postcards posted during the year ended 31 March 1957 showed an increase of 4.5 million (2.4 per cent); and accounts, circulars, etc., a decrease of 0.3 million (0.14 per cent). Parcel postings increased by 111,000 during the year.

The average numbers of letters, etc., posted in New Zealand per head of population during the year ended 31 March 1957 were: letters, lettercards, and postcards, 80; accounts, circulars, newspapers, packets, etc., 96; parcels, 3.2.

During the 1956-57 year, 558,925 lb. of letters and 161,599 parcels were posted by inland air mails, and 211,033 lb. of letters and 27,447 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; 1947, 40,689; and in March 1957, 67,842 boxholders.

The rural delivery system enables country residents 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 residents 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.—Particulars of overseas parcels received and despatched in each of the years 1953 to 1957 are contained in the following table.

YearOverseas Parcels ReceivedOverseas Parcels Despatched
NumberWeightCustoms DutyNumberWeight
  lb.£ lb.
1953354,1383,010,673616,254439,7143,720,098
1954424,4833,926,468780,170240,6972,090,128
1955485,6164,370,5441,023,734166,0491,286,324
1956479,8414,318,5691,082,136147,1651,144,636
1957447,4714,027,239890,545146,6071,136,428

NEWSPAPERS.—In March 1957 there were 304 publications on the Post Office Register of Newspapers. Of these 41 are published daily, 10 being morning papers and 31 evening papers. Eleven appear three times per week, 20 twice per week, 68 weekly, 25 fortnightly, 135 monthly, and 4 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 Common-wealth 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 1956, 1,382,633 money orders were issued in New Zealand for a total of £26,300,387 and of that total 72,658 orders of a value of £354,068 were issued for payment overseas. Money orders issued overseas for payment in New Zealand in 1956 numbered 25,341 and totalled in value £137,910.

The analysis of the overseas money-order business for 1956 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 Kingdom28,838213,1127,51065,633
United States of America1,3783,5951,7797,304
Australia37,50582,75211,47930,610
Canada2501,2191,2105,592
Ceylon232181933
Republic of Ireland1.32412,01041449
Fiji1.07620,6191,57210,463
Hong Kong1131,217328
India1,39414,187355536
Norfolk Island1223552072,037
Tonga6554389113,099
Pakistan2122,020**
South Africa3582,2212752,126
                Totals72,658354,06825,341137,910

The following table gives particulars of all money orders issued and paid during each of the years specified.

Year Ended 31 DecemberNumber of Offices at End of YearMoney Orders IssuedMoney Orders Paid
NumberValueCommissionNumberValue
  ££ £
19529721,090,86214,373,89139,5561,055,77214,283,987
19539701,136,34914,666,63841,9031,089,69914,475,814
19549801,235,97020,586,84845,8681,180,33220,273,271
19559851,336,54125,460,85249,7251,269,97225,116,062
19569911,382,63326,300,38751,8471,325,5792.6,061,638

Postal Notes.—Postal notes in thirty-nine denominations ranging from 1s. to 20s. and for 40s. 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.; 15s. 6d. to 20s., 5d.; and for 40s., 6d.

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 1957, 2,230,381 postal notes valued at £1,071,954 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.
  ££ £
19531,1182,297,2391,101,00435,1992,287,9081,066,761
19541,1052,230,1671,080,07634,5172,226,7291,044,959
19551,1182,277,7501,100,80635,0922,257,9781,058,380
19561,1152,333,9981,122,64535,8712,322,7361,086,215
19571,1122.230,3811,071,95435,5022,215,7071,071,953

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 1957 the Post Office sold 525,427 British postal orders valued at £350,997, and paid 61,751 orders valued at £60,028.

TELEGRAPH AND TELEPHONE SERVICES.—Up to 31 March 1957 a total sum of £49,451,216 had been expended on telegraph construction, including the construction of telephone exchanges. The amount expended during the financial year 1956-57 was £5,616,912.

During the year ended 31 March 1957 the revenue from telegrams and toll communications was £5,423,847, of which £820,511 represented ordinary telegrams, £119,110 press telegrams, and £4,484,226 toll communications. To these figures should be added £7,160,853 revenue of telephone exchanges and £434,058 miscellaneous receipts, making a total telegraph and telephone revenue of £13,018,758.

The handling time of telegrams is approximately the same as last year, but delivery, especially in the larger cities, continues to have its problems because of the 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. In 1946, 15 per cent of telegrams were phoned to addressees, the percentage now being 35. In 1946 subscribers phoned in 28 per cent of the telegrams sent, while the present percentage is 44.

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
 Million£££
195336.93,980,4354,061,2458,041,680
195438.84,532,7374,820,3959,353,132
195542.05,115,8476,066,83711,182,684
195644.75,314,6516,538,80011,853,451
195747.05,694,9727,217,10712,912,079

The number of telegrams forwarded in 1956-57 was 8.1 million, while the number of toll communications at 38.8 million showed an increase of 2.3 million.

The charge for ordinary telegrams on week-days is 1s. 2d. for six words or less, and 1 1/2d. for each additional word. The charge for letter-telegrams, which are delivered by post on the morning following the day of lodgment, is a flat 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. 9d. for six words or less, and 1 1/2d. 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 1957 there were 440 telephone exchanges in New Zealand serving a total of 568,339 connections. Of these exchanges 320 were manually operated, serving 214,484 connections, or 38 per cent of the total, and 120 were automatic, serving 353,855 connections, or 62 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).

194919501951195219531954195519561957
* Represents separate instruments connected to main telephone system.
Exchanges356358364371381397405411440
Subscribers' main stations234,874253,458268,365285,171307,453330,825359,674386,732409,740
Service stations3,4183,5763,5703,5333,5963,7553,6873,7133,858
Toll stations1,8271,7841,7651,7191,6911,6591,6331,6051,567
Public call stations1,6401,8021,9582,0852,2232,3412,4502,5452,675
Extension stations76,83283,80490,53698,239106,591114,193125,463136,658147,872
Private telephone lines4,1664,1153,7953,8193,6323.5163,3863,2482,627
            Telephone station totals*322,757348,539369,989394,566425,186456,289496,293534,501568,339
Number installed during year21,06724,80624,11126,53633,56036,15542,73841,01140,152
Number of waiting applicants48,37855,30958,48458,34854,94643,30333,34433,86235,330

The total number of telephone stations shows an increase of 245,582, or 76 per cent, during the period covered by the table, the net gain for each of the last five years being 30,620, 31,103, 40,004, 38,208 and 33,838 respectively. The increase in subscribers' main stations during the same period amounted to 174,866. or approximately 74 per cent, while extension stations show an increase of 71,040, or a little over 92 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 1957 the number of "party" lines was 50,348, serving a total of 176,187 stations.

According to the latest comparative data available (January 1956), compiled by the Chief Statistician of the American Telephone and Telegraph Co., New Zealand ranks fourth in the number of telephones per 100 of population, the leading countries being the United States of America (33.7), Sweden (304), Canada (26.2), New Zealand (24.6), Switzerland (24.2), and Denmark (20.0).

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 2,135 such instruments were in use at 31 March 1957. The revenue from local calls from slot telephones during the year ended 31 March 1957 was £140,909. In addition, there are 540 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 both local and toll calls and for telegrams.

The capital expenditure on the equipment, etc., of the telephone exchanges up to 31 March 1957 was £41,790,318.

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)Individual2910015100
 2-party221501326
 3-party20261250
 4-party1710011100
Class 1 (Over 3,000 subscribers)Individual230013100
(Typical exchanges are Gisborne, Hamilton, Napier, New Plymouth, and Invercargill)2-party1712611150
 3-party16761150
 4-party152610150
 5-party1250976
 6-10-party1126876
Class II (2,001 to 3,000 subscribers)Individual1917612100
(Typical exchanges are Hawera, Upper Hutt, and Ashburton)2-party1517610150
 3-party141261050
 4-party13769150
 5-party11508100
 6-10 party10767126
Class III (1,001 to 2,000 subscribers)Individual181261200
(Typical exchanges are Taumarunui. Marton, and Waimate)2-party15501050
 3-party14009150
 4-party12150950
 5-party10176826
 6-10 party10267100
Class IV (201 to 1,000 subscribers with continuous attendance)Individual177611100
 2-party141509150
(Typical exchanges are Piopio, Waipawa, Waverley, and Picton)3-party13100950
 4-party12508150
 5-party10767150
 6-10 party9176750
Class V (Up to 1,000 subscribers with restricted attendance and automatic exchanges with less than 200 subscribers)Individual141261050
 2-party12008100
 3-party1176800
(Typical exchanges are Akaroa, Kawhia, Te Akau, and Waitotara4-party101767100
 5-party9266126
 6-10 party8126626

For stations located outside the boundary of the base-rate area of an exchange a mileage rate as indicated below is added to the general base-rate-area rental, depending on the distance by line measurement from the base-rate boundary to the respective subscriber's station.

 £s.d. 
Individual line0176a furlong or part thereof.
2-party line—each party089a furlong or part thereof.
3-party line—each party0510a furlong or part thereof.
4-party line—each party040a furlong or part thereof.
3-party line—each party150a mile for the first 3 miles; 10s. a mile thereafter up to and including 20 miles; 6s. 3d. a mile thereafter.
6 to 10 party line—each party100a mile for the first 3 miles; 10s. a mile thereafter up to and including 20 miles; 6s. 3d. a mile thereafter.

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.

TOLL SERVICE.—The basic rates for toll calls are as follows:
(a) Ordinary calls.   
For distances—Charges  
 d.  
Up to and including 10 miles4For each 3 minutes conversation or fraction thereof, irrespective of the time the call is made.
Over 0 miles but not over 15 miles6
Over 15 miles but not over 20 miles8
Over 20 miles but not over 30 miles10
  Between 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

For distances over 30 miles, for the initial period of three minutes or fraction thereof—

 s.d.s.d.
Over 30 miles but not over 40 miles1414
Over 40 miles but not over 60 miles1916
Over 60 miles but not over 80 miles2319
Over 80 miles but not over 100 miles2921
Over 100 miles but not over 150 miles36 8
Over 150 miles but not over 200 miles43  
Over 200 miles but not over 250 miles534 
Over 250 miles but not over 300 miles5944
Over 300 miles but not over 350 miles6349
Over 350 miles but not over 400 miles6951
Over 400 miles but not over 450 miles7356
Over 450 miles79510

(b) For each minute exceeding the initial period of three minutes for distances over 30 miles the charge is one-third of the initial charge.

(c) In calculating the charge for each separate minute, fractions of 1d. are counted, but in the total charge fractions smaller than 1/2 d. are excluded and fractions of 1/2d. or more are counted as 1d.

(d) 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.

(e) Charge for an urgent call: double the rate for an ordinary call.

The toll network continues to expand. A major step towards increasing the number of circuits over the Auckland-Wellington route is well under way with the laying of the Auckland-Hamilton coaxial cable, which is capable of providing 960 telephone circuits. Exploratory tenders, to enable firm prices to be obtained, have been called for a microwave radio-relay system capable of providing 240 toll channels between Hamilton and Palmerston North, while preliminary planning is in hand for a coaxial cable, similar to the Auckland-Hamilton one, between Palmerston North and Wellington.

Toll facilities derived from the existing pole-line network were augmented during the year 1955-56 by the addition of a third 12-channel carrier telephone system on the Christchurch-Dunedin route, and 3-channel systems on the Hamilton-Paeroa, Hamilton-Taupo, and Dunedin-Ranfurly routes.

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 Waka-puaka 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 station in November 1953 thus providing for direct New Zealand - United Kingdom radio-telephone and radio-telegraph circuits. The receiving station complementary to the Himatangi transmitting station is Makara Radio.

The principal stations under the control of the New Zealand Government are at Awarua, Wellington, and Auckland on the New Zealand mainland, 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, Mokohinau Island, East Cape, Portland Island, Stephens Island, Baring Head, Cape Campbell, The Brothers, Godley Head, Taiaroa Head, Dog Island, and Puysegur Point.

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. Direct communication is also available with Chatham Islands, Papeete (Tahiti), Nukualofa (Tonga), Noumea (New Caledonia), London, Sydney, and San Francisco.

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
 £  £
195339,632778,5398,43888,6621,655,69713,882
195439,558748,6719,92388,2571,609,14015,923
195541,002801,16610,34694,4801,775,25416,485
195646,067923,46711,240101,1601,976,96417,980
195745,725960,19712,016102,1752,033,23120,820

Facilities exist for the despatch of radio-telegrams to vessels at sea, and special rates operate for vessels registered in New Zealand and Australia.

Other Radio Services.—Telephone communication by radio is now available to fifty-nine countries, H.M. Warships, and the trans-Tasman vessel Monowai, as well as to Ross Dependency (Scott Base), 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-two centres for a total of 2,577 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.

Three 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.

Receipts1954-551955-561956-57
* Net figure—i.e. receipts less payments.
 £££
Postages4,856,5945,233,6135.337,396
Money-order and postal-note commission79,84684,25586,014
Private box and bag rents and rural-delivery fees100,291130,537150,306
Miscellaneous receipts2,013,7302,162,7032.508,045
Telegrams875,589898,275939,621
Tolls3,894,8444,206,5904,484,226
Telephone-exchange rentals5,708,1476,086,0036.681.992
Overseas telecommunications466,267269,246*357,930
                    Totals£17,995,308£19,071,222£20,545,530
Payments1954-551955-561956-57
 £££
Salaries8,585,4318,912,0679,468.638
Conveyance of mails by sea and air853,529804,675862,387
Conveyance of mails by road463,022480,519538,846
Conveyance of mails by railway337,500335,631345,390
Maintenance and renewal of telecommunication system927,634945,8831,203,860
Motor services and workshops741,0421,002,7051,224,282
Miscellaneous3,873,8164,559,1325,012,211
Interest on capital liability1,326,1031,524,3071,964,607
Sick-benefit Fund25,92727,55627,585
Post Office buildings319,576331,786427,409
Superannuation Fund subsidy288,624280,918333.000
Overseas telecommunications137,587  
 17,879,79119,205,17921,408.215
            Less transfers to Vote—Telegraph Extension1,627,1431,976,7142,114,638
                    Totals£16,252,648£17,228,465£19,293,577

Receipts and payments for the last eleven years are shown by the following figures:

Year Ended 31 MarchReceiptsPayments
 ££
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
195517,995,30816,252,648
195619,071,22217,228.465
195720,545.53019,293,577

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 (arrears of social security charge on income, social security income tax payments under PAYE system), Agriculture (inspection fees, etc.), Education (child welfare receipts and examination fees, etc.), Health, Inland Revenue (land tax and income tax), Lands and Survey, National Roads Board (special mileage tax on motor vehicles), Public Trust Office. State Advances Corporation (State rents, loan and interest repayments), State Hydro-electric (Southland, Waimea, and Buller electric-power receipts), Transport, Tourist and Publicity (Mamaku, Atiamuri, Reporoa, 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), National Roads Board (refunds of duty on motor spirits), Public Trust Office, Police (witness warrants), Treasury (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 1957 was as follows: Permanent, 15,325; temporary, 6,743; non-classified, 340; total, 22,408. In addition there were 918 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 52 officers of the Railways Department who acted as postmasters.

VEHICLES.—The Post Office motor vehicles fleet consists of 2,262 vehicles—1,605 trucks and vans and 657 motor cars. Of this fleet, 390 vehicles are used for hire to other departments, 1,435 for engineering construction work, and 437 on postal, telegram delivery, 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 October 1957, thirty-one medium-wave broadcasting stations and two short-wave transmitters of Radio New Zealand with nineteen 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, eight are national advertising stations—marked "(a)" in the following list—six are local stations carrying advertising up to ten hours daily, Monday to Saturday, the balance of programme time carrying no advertising—these stations are marked "(b)", and two stations, marked "(c)", are local stations carrying a limited number of advertisements each day. 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 Wellington7.59,540115  35
ZL3 Wellington7.511,780115  35
ZL4 Wellington7.515,280115  35
ZL8 Wellington7.59,620115  35
ZL10 Wellington7.515,220115  35
MEDIUM-WAVE STATIONS
1XN, Whangarei (b)2.0097083  0
1YA, Auckland10.00760121  20
1ZB, Auckland (a)10.001,070126  0
1 YD, Auckland (c)0.751,25048  0
1YC, Auckland10.0088034  30
1XH, Hamilton (a)2001,310114  30
1YZ, Rotorua10.00800108  30
2XG, Gisborne (b)2001,01083  0
2XM, Gisborne0091,18016  30
2YZ, Napier500860108  30
2ZC, Napier (a)2001,280114  30
2XP, New Plymouth (6)2001,37083  0
2XA, Wanganui (b)2.001,20083  0
2ZA, Palmerston North (a)2.00940114  30
2YA, Wellington60.00570128  20
2YX, Wellington1001,400
2YC, Wellington60.0066042  0
2ZB, Wellington (a)10.00980126  0
2YD, Wellington (c)0.501,13021  0
2XN, Nelson (b)2001,34083  0
3YZ, Greymouth10.00920108  30
3YA, Christchurch10.00690121  20
3ZB, Christchurch (a)10.001,100126  0
3YC, Christchurch10.0096042  0
3XC, Timaru (b)2.001,16083  0
4YA, Dunedin10.00780121  20
4ZB, Dunedin (a)10.001,040126  0
4YC, Dunedin10.0090042  0
4XD, Dunedin0061,43012  0
4YZ, Invercargill500720114  20
4ZA, Invercargill (a)100820114  30

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 1957 to 136,722 hours. Of the scheduled time, 23 1/4, hours were lost, owing to technical defects in equipment.

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, 3VZ, 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, and 2YX provide alternate 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, 1XH, 2ZA, 2ZC, 4ZA, 1 YD, and 2YD 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, 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. A home service programme is rebroadcast from 5 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 March 1957 showed that, of the total broadcasting hours, 12.79 per cent was devoted to serious music; 49.11 per cent to light music; 1.91 per cent to modern dance music; 7.78 per cent to plays, sketches, and dramatic serials; 5.50 per cent to sporting commentaries; 9.56 per cent to talks, general and educative; 8.90 per cent to news and commentaries; 206 per cent to church and devotional services; and 2.39 per cent to children's sessions.

The Service maintains a broad policy of broadcasting from the National stations programmes designed and classified to suit the major divisions of community taste. This policy is more easily applied in the four main centres, but, 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 1957 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. Station 1XH, Hamilton, was transferred to the status of a full-time commercial station on 2 November 1955. Station 4ZA, Invercargill, began transmission on 1 October 1956. Station 2ZC, Napier, began transmission on 1 October 1957. The YD stations, formerly non-commercial, now carry a limited amount of advertising three hours daily.

In January 1949 the first station to broadcast both commercial and non-commercial programmes was opened at Timaru. Similar stations now operate at Whangarei, 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.

1953-541954-551955-561955-57

* Net deficit.

NOTE.—Minus sign (—) indicates an excess of expenditure over revenue.

Non-commercial Activities
National stations—
    Expenditure on programmes159,496166,752166,812182,874
    General administrative and running expenses472,599503,827508,485558,274
    Post and Telegraph charges for licence fee collection, etc.51,39061,44160,94696,244
    Depreciation105,406115,433123,777120,932
 788,891847,453860,020958,324
            Less recovery from Commercial for provision of technical facilities and services78,02892,31698,141113,112
    Net expenditure710,863755,137761,879845,212
    Revenue680,096809,702808,756819,191
            Balance of revenue over expenditure−30,76754,56546,877−26,021
National Orchestra and Concert presentation—
    Net expenditure114,027110,509121,025127,513
        Less Concert proceeds27,79127,24338,73539,270
            Balance of expenditure86,23683,26682,29088,243
New Zealand Listener
    Expenditure on publication68,20872,76175,47974,675
    General administrative and running expenses29,84331,29732,27338,315
    Net expenditure98,051104,058107,752112,990
    Revenue94,321100,353102,932125,372
            Balance of revenue over expenditure−3.730−3,705−4,82012,382
            Total deficit non-commercial activities120,73332,40640.233101,882
Commercial
Expenditure on programmes76,47071,34673.94280,625
General administrative and running expenses488,604540,930593,807664,207
Charge from National for provision of technical facilities
and services78,02892,31698,141113,112
Net expenditure643,102704,592765,890357,944
Revenue729,988835,901970,7361,050,811
Net surplus before tax86,886131,309204,846192,867
Provision for taxation43,01962,427101,679105,797
Net surplus after tax43,86768,882103,16787,070
Summary
Total net deficit non-commercial activities120,73332,40640,233101,882
Less Commercial surplus43,86768,882103,16787,070
Net surplus for Service76,866*36,47662,93414,812*

In the table for national stations the amount recovered from commercial on account of provision of technical services provides for Head Office engineering overhead and services and depreciation provision on assets in use commercially, and from 1954-55 a share of the costs of interference removal. The principal items accounting for the increase in expenditure in 1956-57 are: Salaries, £80,000; licence fee collection, inspection, and interference suppression, £36,000; programmes, £23,000; commission and discount on sales on advertising, £16,000; office expenses, £14,000; overtime, £6,000; and National Orchestra £6,000. The new commercial station 4ZA, Invercargill, accounted for £29,000 of the total increase.

In 1955 the New Zealand Listener was admitted as a commercial activity for taxation purposes, and from 1954-55 its financial result is shown in the published accounts with the commercial stations before provision for taxation. However, in order to preserve comparisons shown in the previous table the format has not been changed, and the Listener results have again been included under non-commercial activities.

The service has two principal sources of revenue, radio licence fees and sales of station time (advertising), and one supplements the other. For accounting purposes the former are credited to the accounts of the non-commercial stations and the latter to the accounts of the commercial stations but the Service operates on a common fund, and, in fact, all revenue is available for the general purpose of broadcasting.

Revenue from radio licence fees and from sale of station time for the last four financial years is shown in the following table.

£
1953-541954-551955-561956-57
Radio licence fees642,010767,619761,410765,177
Sale of station time712,677816,349952,4101,027,898
            Totals1,354,6871,583,9681,713,8201,793,075

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.

At 31 MarchAucklandWellingtonCanterburyOtagoNew Zealand TotalsLicences Per Hundred of Population
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
1955183,812173,83687,75363,542508,94323.88
1956188,775176,13687,58564,296516,79223.76
1957191,138175,63888,17764,825519,77823.40

A summary of all radio licences in force in New Zealand at 31 March 1957 follows.

DistrictReceiving StationsRadio DealersPrivate ExperimentalOtherTotal Licences
AmateurResearch
Auckland191,1389119215831193,059
Wellington175,6388679585020177,533
Canterbury88,177344448111788,997
Otago64,825308297131765,460
            Totals519,7782,4302,62413285525,049

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: 1953, 2,533; 1954, 2,626; 1955, 2.704; 1956, 2,804; and 1957, 2,836.

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, 43,355,869 acres were assessed in 1955 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 1011,26511,38011,46312,36313.0413.2013.1613.69
10 and under 5014,58514,01413,61113,71616.8916.2515.631519
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 1/2 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.

Acres
Area of Holdings, in Acres1941194619491952
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 farm production survey were collected under the special Census of Agriculture in 1950:

Holdings at 31 January 1950NumberPercentage of Total
Occupied by Maoris4,7055.21
Worked on share system2,6782.97
Lying entirely idle and unused2,3392.59

A classification of all holdings in 1950 according to the status of the occupier showed the following position:

Holdings at 31 January 1950NumberPercentage of Total
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 1957 was classified according to condition and use as follows. Strict comparability between the total figures for 1956 (and subsequent years) and those for years prior to 1956 is not possible on account of a change in the basis of collection.

 AcresPercentage of Total
* Includes areas also sown with grasses and clovers.
In principal cereal crops and crops for threshing*309,0380.73
In green, root, and other crops*785,2591.84
In fallow163,6040.38
In sown grasses and clovers—
      Cut for hay, seed, or ensilage1,332,8923.13
      Not cut for hay, seed, or ensilage16,346,74938.42
In orchards19,9440.05
In market gardens, grape, passion fruit, hop vines, and nurseries16,3340.04
In private gardens and grounds, etc.80,6830.19
In plantations915,1322.15
          Total area in cultivation19,969,63546.93
Unimproved land22,581,73053.07
          Total area in occupation42,551,365100.00

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 1957.

Acres
Land DistrictPhormium (New Zealand Flax)Tussock and Naturally Established Native GrassesFern, Scrub, and Second GrowthStanding Native BushBarren and Unproductive LandTotal, Unimproved Occupied Land
North Auckland2,924115,981750,266235,78786,6861,191,644
South Auckland1,93462,3671,037,338418,510106,3841,626,533
Gisborne109107,049235,070152.35127,359521,938
Hawke's Bay41297,354294,58087,50234,740714,217
Taranaki638,403143,667183,28615,781351,200
Wellington6,655567,404579,115258,97698,5811,510,731
Marlborough3,6401,407,952263,401117,297226,0882,018,378
Nelson2,578219,211363,939169,90540,861796,494
Westland3,42355,582185,131202,872137,407584,415
Canterbury5,0984,055,594216,068130,912607,2195,014,891
Otago2,3285,127,664606,805296,096474,9606,507,853
Southland6,4961,229,010323,568122,55361,8091,743,436
               Totals35,28913,253,5714,998,9482,376,0471,917,87522,581,730

Tenure of Occupied Lands.—The area of land in occupation as at 31 January 1957, classified according to tenure, was as follows.

 Acres
Crown land (including leases and licences)17,979,878
Freehold (including all land held on deferred payment)21,613,570
Leasehold2,957,917
               Total occupied area42,551,365

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.

RESERVES, DOMAINS AND SCENIC RESERVES.—These are areas which have been—

  1. Set apart by the Crown:

  2. Purchased by the Crown or by local authorities:

  3. Vested in the Crown or in local authorities by other Acts, such as the Land Subdivision in Counties Act 1946, for the purpose of—

    1. Reserves for public utilities such as sites for county buildings, plantations, gravel pits, libraries, etc.;

    2. Recreation reserves or domains, as they are usually called, to provide for the recreation and enjoyment of the people;

    3. Scenic and historic reserves, which preserve scenic and historic places for the use and enjoyment of the people.

The legislation governing these areas was consolidated in the Reserves and Domains Act 1953, which provides for overall policy and management by the Minister of Lands with administration by the Department of Lands and Survey.

As a general rule the control and management of public utility reserves of a local nature are vested in the appropriate local authority which may then use the area for the particular purpose for which it was set aside.

Day to day control of recreation reserves and domains is usually vested in locally elected boards of suitable interested persons or in the appropriate local authority. Local interest is thereby sustained and the community encouraged to help itself with the development, control, and management of these areas so that they provide for the creation needs of the district. There is ample provision in the legislation for sporting clubs and bodies to assist in development and control, with adequate safeguards for the protection of the rights of the general public to use and enjoy these areas. The legislation also allows suitable portions of these reserves to be set aside and developed for camping and similar purposes.

Scenic and historic reserves provide for the preservation in their natural state of the more outstanding and attractive features of the natural landscape and sites of historic significance.

There is also provision for the creation of private scenic reserves and historic reserves. In these cases the owner retains ownership of the land, but the reservation ensures the conservation of the scenic and historic features. These reservations may be revoked at the owner's pleasure.

Provision is also made for the administration of bird sanctuaries, such as those established on Little Barrier Island in the Hauraki Gulf; Cape Kidnappers at the south-eastern point of Hawke's Bay; the white heron colony near Okarito in Westland; Kapiti Island off Paraparaumu on the south-west coast of the Wellington district; and Rangatira or South-east Island in the Chatham Group.

NATIONAL PARKS.—The National Parks Act 1952 codified the law relating to the establishment and control of New Zealand's national parks. Provision was made for the establishment of a National Parks Authority, representative of governmental, scientific, recreational, and cultural interests. The authority's general functions are to advocate and adopt schemes for the protection of national parks and for their development on a national basis; to recommend the enlargement of existing parks and the setting apart of new areas; and generally control in the national interest the administrative policy affecting all national parks throughout the country.

Local control of individual parks is vested in park boards which are appointed by the Minister of Lands and are representative of users of the parks and those interested in their conservation.

The Urewera and Fiordland National Parks are not yet under board control. Urewera National Park is administered by the Commissioner of Crown Lands at Hamilton, and Fiordland by the Commissioner of Crown Lands at Invercargill. Nelson Lakes National Park, in the south-eastern part of the Nelson district, was created in 1956. Park boards were constituted in May 1958 for Nelson Lakes and Fiordland National Parks.

Park boards administer the parks under their control, subject to the general policy and direction of the Authority, so as to secure to the public the fullest proper use and enjoyment of the parks consistent with the preservation of their natural features and the protection and well-being of their native flora and fauna. Boards have power to develop or authorize the development of parts of parks for specific recreation purposes; they may erect or authorize erection of mountain huts or ski tows; may erect or authorize the erection of hostels, accommodation houses, and other buildings and facilities; may develop or authorize the development of camping grounds and may charge or consent to charges for facilities provided. Provision is also made for the setting apart of wilderness areas, and these are to be kept and maintained in a state of nature, and no buildings or other development may take place in them with the exception of construction of foot tracks where necessary and desirable.

At present there are eight national parks in New Zealand, these being (areas in acres in parentheses): Urewera (119,614), Tongariro (161,538), Egmont (80,567), Abel Tasman (40,622), Nelson Lakes (139,833), Arthur's Pass (239,152), Mount Cook (151,879), and Fiordland (2,916,093).

SUMMARY OF AREAS RESERVED.—The following table of reservations may be of interest, the figures given relating to 31 March 1957.

Type of ReservationNo.Acres
Scenic and historic reserves937841,551
Public domains90577,116
National parks83,849,297

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, while occupiers of any land in wildlife refuges are authorized to carry out certain operations necessary for the normal use of the land.

LAND TRANSFER AND DEEDS REGISTRATION.—Practically all title to privately owned land and interests in land in New Zealand is held under the land transfer system administered under the Land Transfer Act 1952. This system was introduced into New Zealand by the Land Transfer Act 1870. While that Act retained some of the provisions and innovations of the Land Transfer Act 1860 which it repealed and superseded, it was largely based on the revolutionary system of registration of title devised a hundred years ago by Sir Robert Richard Torrens when Registrar of Deeds and afterwards Registrar-General of Deeds for South Australia and first brought into operation there by the Real Property Act 1857-58.

Apart from dealings with business site licences, residence site licences, and leases of unalienated Crown land within a mining district registered with the Mining Registrar under the Mining Act 1926 and a few deeds registered each year under the Deeds Registration Act 1908, almost all dealings with land and estates and interests in land in this country are now registered under the Land Transfer Act 1952.

Under this land transfer system, which with certain modifications has operated in New Zealand for eighty-seven years, the title to land is not secured or effected by the mere execution of deeds or documents. Registration of a valid title is the fundamental principle, and it is only by such registration that title to land or any interest therein may pass or be obtained. The District Land Registrar appointed in and for each of the land registration districts is responsible for the registration in his district, 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 if 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 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 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 1956-57 is given in the following statement.

Year Ended 31 MarchHomes Settled
195121
19525,763
19536,037
19544,808
19554,477
19565,363
19575,655

Certificates of Title Issued.—The following table shows the number of certificates issued for the last eight years.

Year Ended 31 MarchTotal
195019,656
195121,794
195223,663
195322,763
195426,907
195525,356
195624,069
195722,948

The table 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££
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
195546,97811,83988,760,9409,5932,123,50047,964,242136,725,182
195641,37810,36380,684,4257,7221,525,60940,255,912120,940,337
195738,0669,57875,613,8647,2681,449,96239,064,377114,678,241

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 downward movement in land transfers for the years 1947-48 and 1948-49 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 and 1954-55. Although there was a further increase in the number of land transfers in the latter year, the totals were less than the i95C-51 town and suburban total and the 1951-52 country total. The significant feature of the 1954-55 figures was the record consideration for all properties of £136,725,000, there being marked increases in the value of town and suburban and country properties of £13,258,000 and £9,049,000 respectively.

Decreases were recorded in all categories during the year 1955-56, and the decline, though not as great as in the previous year, continued in 1956-57. Unlike the previous year the decrease was more marked in town and suburban properties than in rural properties. The total number of transactions is the lowest since 1949-50, a year that for the most part was under controls. There was a drop in number for town and suburban properties of 3,312 or 8 per cent. The area and consideration dropped accordingly. The number of transfers of country properties dropped by 454 (5.9 per cent), the area by 75,647 (5 per cent), and the consideration by £1,191,500 (3 per cent). Total consideration decreased by £6,262,000 (5.2 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 probably 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 decreased in the years just after the war to £781 in 1947-48. Increases were recorded in the next nine years, the averages being £813 in 1948-49, £833 in 1940-50, £1,234 in 1950-51, £1,586 in 1951-52, £1,665 in 1952-53, £1,739 in 1953-54, £1,889 in 1954-55, £1,950 in 1955-56, and £1,986 in 1956-57.

Data, covering the last five years, of average consideration per transaction of town and suburban properties are shown in the next table. As can be seen, there has been little change in the proportions in the various consideration groups during this period.

Year Ended 31 MarchUnder £1,000£l,000-£9,999£10,000-£24,999£25,000 and OverTotals
NumberConsiderationAverageNumberConsiderationAverageNumberConsiderationAverageNumberConsiderationAverageNumberConsiderationAverage
 ££ ££ ££ ££ ££
 (000)  (000)  (000)  (000)  (000) 
195318,4996,68236120,60554,2692,6341742,56614,748471,94341,34939,32565,4611,665
195419,7807,34637123,38562,9032,6902123,04414,359502,21144,21643,42775,5031,739
195520,2947,94139126,41275,0592,8422083,07714,791642,68441,94246,97888,7611,889
195618,3847,50140822,65066,0042,9142803,98014,214643,20049,99841,37880,6841,950
195716,7277,07742321,00961,2742,9172473,54014,332833,72444,86238,06675,6141,986

Further particulars relating to country properties from the year 1946-47 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 table on page 456 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£££
19477,4981,466,56516,631,8822,21811.34
19486,0381,462,98214,539,0972,4089.94
19495,5011,289,34112,663,6272,3029.82
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
19558,8041,725,29944,460,1325,05025.77
19567,1121,236,89337,365,7095,25430.21
19576,6771,205,49936,088,7695,40529.94

Monthly statistics of transfers on sale of land registered under the Land Transfer Act are published regularly in the Monthly Abstract of Statistics.

The following analysis shows, for 1956-57, transfers of country freehold properties classified by area groups.

Size Group (Acres)NumberAreaConsiderationConsideration per Acre
 Acres££
Under 303,16823,8948,021,395335.71
30 and under 5041616,5371,795,348108.57
50 and under 10084059,9984,938,26082.31
100 and under 2501,171183,9168,595,35646.74
250 and under 500520180,6125,092,02228.19
500 and over562740,5427,646,38810.33
               Totals6,6771,205,49936,088,76929.94

LEGISLATION CONCERNING LAND SETTLEMENT AND SALE OF LAND.—Legislation governing this aspect is found in the Land Settlement Promotion Act 1952 and the Marginal Lands 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, and to prevent the undue aggregation of farm land. There was also a provision requiring purchasers to reside for three years, but this has now lapsed and personal residence by purchasers is no longer necessary.

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. 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 required to such transactions except where the purchaser or lessee owns no other farm land and 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.

The matters to be considered by the Court or Committee in determining 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.

MARGINAL LANDS ACT 1950.—This Act makes provision for increasing production of farm lands by the advance of money to owners who are not able to raise finance through normal trade channels. Assistance is given primarily to enable more grass to be grown and existing pastures to be improved. Once areas are grassed and production is on the increase, much of the follow-up development can be done by a farmer out of revenue.

The administration of the Marginal Lands Act is the responsibility of the Minister of Lands and is carried out by the Department of Lands and Survey. Actual control is vested in the Marginal Lands Board which 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 Chairman of the Soil Conservation and Rivers Control Council, and two other persons appointed by the Governor-General.

To further assist in the administration of the Act, Marginal Lands Committees are appointed by the Board; one or more committees may be appointed for any land district. Each committee consists of three members - the Commissioner of Crown Lands for the Land District, who is the Chairman, an officer of the Department of Agriculture, and one member of the Marginal Lands Panel. Marginal Lands Panels comprising not more than five persons are appointed by the Marginal Lands Board for each land district. Panel members are local farmers who are experienced in the farming or management of marginal lands and arc suitable to act as members of a Marginal Lands Committee. Which member of the panel is to sit on the committee to determine an application is decided by the Commissioner, having regard to the locality of the land and the type of farming engaged in.

The Marginal Lands Act has been in operation now for sufficient time to gauge the effects it has had and the results it has so far achieved. In most cases expectations have been exceeded, and there have been but few failures. The results achieved have been most, heartening to the Marginal Lands Board, the local committees, and the farmers themselves. Many difficult and unattractive properties, where profitable production has been established or increased, bear testimony of the boon that this legislation has been to the farming community and the nation as a whole. Advances authorized by the Board and accepted total £1,988,109 as at 31 March 1957.

Some farmers have already completed their development from finance advanced by the Board, and as a result have been able to convert their current account mortgages to instalment mortgages, repaying the advances over a term of years, while others have repaid their advances in full. The following table shows the numbers of applications dealt with by the Marginal Lands Board during the year ended 31 March 1957.

Land DistrictApplications Carried Forward from Previous YearApplications Received During YearWithdrawnApproved by Marginal Lands BoardDeclined by Marginal Lands BoardDeferred by Marginal Lands BoardUnder Investigation by Marginal Lands Committees
North Auckland4478173038..37
South Auckland55211621217
Gisborne..............
Hawke's Bay211263..2
Taranaki515374..5
Wellington314156..5
Marlborough13..1....3
Nelson145362218..21
Westland5185104..4
Canterbury27232..1
Otago7259910..4
Southland721696..7
               Totals95297521181124106

The next table sets out the applications dealt with from the inception of the marginal lands scheme to 31 March 1957.

Land DistrictApplications Received to DateWithdrawnApproved by Marginal Lands BoardDeclined by Marginal Lands BoardDeferred by Marginal Lands BoardUnder Investigation by Marginal Lands Committees
North Auckland494102215140..37
South Auckland217557172217
Gisborne11245....
Hawke's Bay312198..2
Taranaki57121623..5
Wellington6973324..5
Marlborough19196..3
Nelson183219249..21
Westland67183411..4
Canterbury5862030..1
OtagoS2192930..4
Southland120215735..7
               Totals1,4082665994334106

SOIL CONSERVATION.—The problem of exhausted soils on hill country, deteriorating pastures, widespread soil erosion, and increasing run-off, as well as mounting damage to the lowlands by flooding and river erosion, led to the passing of the Soil Conservation and Rivers Control Act in 1941. This provided for the establishment of a Soil Conservation and Rivers Control Council, which in turn was empowered to constitute catchment districts in problem areas. The Soils Conservation and Rivers Control Council is responsible for promoting the wider adoption of soil conservation practices, and, by specialised surveys and the use of conservation techniques on demonstration farms, has succeeded in promoting substantial benefits and increased protection in many districts.

New Zealand's soil erosion and flooding problems have their origin on the hill country pastoral lands, especially where farming has forced grass to take over the protective functions of vigorous native forest, scrub, fern and swamp vegetation. Some 70 per cent of the occupied agricultural land of New Zealand is unploughable pastoral land. The drastic changes in the vegetation brought about by developing farm resources have been reflected in drastic changes in the soil in the hill country where soil erosion and flooding have their origin. The protective, stabilising, and water-controlling combination of vigorous native vegetation, litter, and spongy soil has given way to a shallow-rooted, less protective carpet of grass on compacted, impervious, and often exhausted soils. The problem is one of restoring an erosion-resistant and water-absorbent combination of soil and vegetation with a satisfactory capacity to control water, which causes most soil erosion. Successful techniques which have been developed include spelling, control of burning and of animal pests, oversowing, topdressing, strict grazing control, the wider use of cattle, sub divisional fencing, stock water ponds, gully-control contour ploughing, terraces, grassed waterways, and spaced and close tree planting for stability.

Catchment Boards.—A catchment board is established on the recommendation of the Soil Conservation and Rivers Control Council when endorsed by the Local Government Commission. Thirteen boards, each consisting of eight or nine representatives appointed by the local authorities and five representatives from Government Departments, have been established. Together they cover about three-fifths of the country. Most of the resources of the boards are devoted to river control, but vigorous efforts are also made to promote soil conservation practices and to improve drainage.

To assist farmers directly to tackle their own problems the Council makes available, through catchment boards, subsidies on farmers' contributions. These are at the rate of £1 for £1 on tree planting for stability and wind breaks, on cost of materials for conservation fencing, contouring, or flood-control dams, and on gully-control planting and structures. The rate of subsidy for this last purpose may be increased up to £2 for £1. Major river works and flood retention dams may b: subsidised up to £3 for £1. It is hoped that the final objects of catchment control - the planned integration of the necessary conservation measures in the upper catchments with drainage and river control in the lower catchments - will soon pass from the demonstration phase to general application.

Land Capability and Catchment Control.—Experience has proved that the American system of land classification for soil conservation purposes is very satisfactory. In this system an inventory is made of the physical factors of slope, soil type, climate, and soil erosion. Along with a knowledge of vegetation and farming experience a land capability map is prepared classifying the land into classes according to the way in which the land in each class can be used. The required soil conservation practices are also determined for each class.

From this basic classification of the land in a catchment more detailed surveys of individual farms provide the data necessary for detailed conservation farming plans. These plans are then discussed with the farmer and fitted into his capacity for implementing them over a period of years. Great care is taken to support the necessary special soil conservation practices with accepted good farm management practices. The conservation treatment and farm management practice can then be dovetailed with the river control and drainage plans for the lower catchment to provide the ultimate plan for catchment control. Allied operations of importance are soil conservation forestry, fire prevention and animal pest destruction.

Plans have now been developed in this country to integrate farming practices with the physical limitations of the land in order to assure permanent production consistent with stability and permanence of the land and conservation of the rain that falls.

Agricultural Aviation and Conservation.—The Soil Conservation and Rivers Control Council has an advisory committee on agricultural aviation which has since 1949-50 sponsored new developments in aviation for conservation purposes. The promotion of aerial topdressing, aerial oversowing with grasses and clovers, dropping of fencing materials, and spreading of rabbit poison is enabling millions of acres of denuded and eroded high country to receive conservation treatment progressively. These aerial aids to farming, coupled with the wider adoption of provident management practices on the land, provide a practical soil conservation approach with great potentialities on the dominantly hilly problem lands.

Staffing and Finance.—The Ministry of Works and Department of Agriculture provide the technical and administrative services required by the Council, which is directly responsible to the Ministry of Works. The Council and the catchment boards have built up a team of specialist engineers in river control and drainage work, which ensures that investigations, planning, supervision, and execution of works are carried out to high standards. Four mobile works units equipped with tractors and special equipment have been set up by the Council, and three catchment boards have developed their own works units.

An administrative rate of up to 1/8d. in the £ (average 1/13d. per £) on capital value over the district provides for the services of catchment boards, but special rates struck on a classification according to the benefit accruing provide the local contribution for actual works. Over the past ten years the appropriation for the Soil Conservation and Rivers Control Council has grown to over £1,000,000 a year to provide for subsidies and services.

Works Completed.—Soil conservation works completed in the period from 1952 to 1957 have included the planting of 2,187,000 trees, the terracing and grading of 167 miles of banks, and the erection of 166 miles of conservation fencing.

River and drainage works completed from 1948 to 1957 have included 3,356 miles of newly dug or reconstructed drains; 1,578 miles of river channel cleared; 83 miles of river diversion cuts; 479 miles of stopbanks erected; and 697 miles of banks protected.

The Soil Conservation and Rivers Control Council has sponsored information services by way of publications, movie films, show displays, and radio broadcasts.

18 B—CROWN LAND

CROWN land is now administered under the authority of the Land Act 1948 and its amending Acts of 1950, 1951, 1952, 1953, 1954 and 1956. 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 Lanes 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 set up 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 twenty 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. The functions of these Committees are not 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.—Crown land is usually offered at valuation and applications are invited. The successful applicant is 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 must 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 or 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, urban land, commercial or industrial 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. The Board may also determine that any specified commercial or industrial land may be taken on lease only, but without the right of acquiring the fee simple, for any term with or without a right of renewal, but so that the aggregate term, including renewals (if any), does not exceed fifty years.

  2. 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, with no right of renewal or of acquiring the fee simple.

  3. Short tenancies for grazing or other purposes for a term not exceeding five years.

  4. 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.

  5. 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 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.—The following table shows details of the various freehold selections during the year 1956-57, together with totals for 1955-56.

FreeholdNumber of SelectorsTotal Area SelectedPurchase-price
 Acres£
Crown lands-   
      Farm land2727,87740,819
      Urban land387209139,621
      Commercial or industrial land491997,287
      Lands freeholded: Land Subdivision in Counties Act2587,350
Cash sales: Section 67 Land Act112,370
               Totals, 1956-577358,114287,447
               Totals, 1955-5672211,236300,660

Corresponding details concerning selections made under leasehold tenures are now given for similar periods.

Leases and LicencesNumber of SelectorsTotal Area SelectedAnnual RentalAnnual Instalment

* Areas and rentals not shown; licences on royalty basis only.

† Rental not shown as it is calculated on a grazing-fee basis.

NOTE.—Section numbers refer to Land Act 1948.

 Acres££
Crown lands—
      Renewable lease—
        Farm16884,08416,479285
        Urban50710610,9566
        Commercial or industrial42426228
      Pastoral leases4205,5298201,180
      Pastoral occupation licences27,57524 
      Deferred-payment licences—
        Farm508,189..4,023
        Urban1,653392..71,921
        Commercial or industrial4115..3,802
        Land Subdivision in Counties Act17643..6,076
      Special leases under section 67, Land Act479,2111,568..
      Special leases under section 165, Land Act*19......
      Communal grazing lease, section 69, Land Act11,193..
      Grazing and other licences: section 68, Land Act, etc.1,78062,76581,744..
               Totals4,452379,104112,01787,521
Endowment lands—    
      Westport Harbour Board endowments123324..
      Leases under section 169, Land Act61,109110..
      Leases under section 48, Land Act622,1557,025..
      Sundry tenures29227683..
               Grand totals, 1956-574,561382,628119,85987,521
               Grand totals, 1955-563,834321,52889,73857,153

Although the number of freehold selections rose slightly in 1956-57 as compared with 1955-56, the area selected fell considerably due to a decrease in the area of farm land taken up.

Selections on leasehold tenure rose during the year, both in number of selections and area taken up.

LEASES AND LICENCES CURRENT AT 31 MARCH 1957.—The following table shows the total number of leases and licences current at 31 March 1957. This table is in two parts, the first (a), dealing with leases and licences issued under the Land Act 1948, and the second (b), with those issued under Acts other than the Land Act 1948 and still current at 31 March 1957.

TenureNumberAreaAnnual RentAnnual Instalment (Including Improvement Loading)
Acres££
* Areas and rentals not shown; licences on royalty basis only.
(a) Tenures Under the Land Act 1948
Crown lands—
        Renewable leases—
          Farm4,0322,248,085344,95710,189
          Urban1,94074930,068213
          Commercial or industrial44842,614..
        Pastoral leases2614,421,23050,1581,468
        Pastoral occupation licences40402,7142,293..
        Deferred-payment licences—
          Farm1,071369,744..103,098
          Urban4,0581,197..165,948
          Commercial or industrial1461,929..18,563
        Land Subdivision in Counties Act31174..10,464
Special leases (section 67, Land Act)—
        Renewable—
          Farm10126,0514,112677
          Urban11430525..
          Commercial or industrial938655228
        Non-renewable—Farm4313,1582,16433
          Urban1716357..
          Commercial or industrial119..
        Licences for removal of minerals*147......
        Flax leases51,01693415
        Communal grazing licences42,584496202
        Miscellaneous licences5,339472,688105,961..
               Totals, Crown lands17,6837,961,388544,462311,498
        Endowment lands—    
          Leases under section 169, Land Act242,788360..
          Leases under section 48, Land Act1627,20411,045..
          Leases of public reserves121665384..
          Sundry tenures122189,5625,230..
               Totals, tenures under Land Act 194818,1128,161,607561,481311,498
TenureNumberAreaAnnual RentAnnual Instalment (Including Improvement Loading)
  Acres££
(b) Tenures Under Acts Other Than the Land Act 1948
Crown lands—
        Renewable leases5,6721,568,204179,2583,306
        Leases under section 5, Discharged Soldiers'    
          Settlement Amendment Act 1921-226614,9574,400125
        Special tenure leases496169,39124,232555
        Leases in perpetuity6,4851,322,189153,40747
        Perpetual leases934,645655..
        Mining district land occupation leases1592,729412..
        Pastoral regulation licences (mining districts)10720,78854154
        Small grazing-run leases229866,16622,265..
        Pastoral-run licences2973,454,37434,888..
        Education reserves: Public Bodies Leases Act75877,53813,94483
        Occupation with right of purchase licences24711..
        Deferred-payment licences977221,979..36,272
        Miscellaneous licences84051,6787,68587
        Small farm leases601,617723..
        Leases under Education Lands Act—    
          Leases25670,18320,056197
          Temporary tenancies2181,174..
        Agreements sale and purchase: Waikato Land    
          Settlement Scheme7759..1,030
        Hanmer Crown leases128287631100
        Cheviot grazing-farm leases1318,5514,364..
        Sundry leases1322811847
               Totals, Crown lands16,6797,866,318468,76441,903
Endowment lands—
        Westport Harbour Board Endowment57111,6921,774..
        Otago University endowments27,657188..
        Lower Clutha River Trust421,291572..
        Thermal Springs licences8244285..
        Sundry other endowments6476,6023,12529
               Totals, tenures under Acts other than the Land Act 194817,4027,983,604474,70841,932
               Grand totals, all tenures35,51416,145,2111,036,189353,430

LEASES AND LICENCES FREEHOLDED OR CONVERTED TO OTHER TENURES.—There were two conversions of existing leases held under Acts other than the Land Act 1948 to a tenure under the last-mentioned Act, the areas involved totalling 2,170 acres.

Over the past few years many Crown lessees have availed themselves of the provisions of the Land Act 1948 and have freeholded their leases, either for cash or on deferred payment licence.

In 1956-57, 309 lessees freeholded their leases, 182 being for cash and 127 on deferred payments. The area embraced by these leases was 44,688 acres, and the total purchase price £330,609, of which £171,550 was on deferred payments.

These figures are a decrease on last year's figures, when 374 leases over 97,206 acres were freeholded for a total of £390,577.

Leases and Licences FreeholdedNumberAreaPurchase Price
  Acres£
For cash—
        Crown lands18124,406141,733
        Endowment lands1417,326
On deferred payments-
        Crown lands12220,276165,979
        Endowment lands525,571
               Totals30944,688330,609

ASSISTING PURCHASE AND DEVELOPMENT OF PRIVATE 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. 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.

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. The former Act has now been repealed and both have been replaced by the Land Settlement Promotion Act 1952, section 3 of which gives power 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. 458).

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 may have preference over all other classes of applicants.

Land is provided by the Crown for the purposes of settling ex-servicemen by the following methods:

  1. By the purchase of privately owned properties:

  2. By the use of unalienated Crown land:

  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. This particular section has not yet been operated.

The following table contains particulars of land acquired for development and for the settlement of ex-servicemen during the year ended 31 March 1957, and from the commencement of the scheme to 31 March 1957; 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 Ended 31 March 1987From Inception to 31 March 1957
AreaUnitsAreaUnits

* Includes adjustments in areas consequent upon survey.

† One unit of 188 acres wrongly included under general land settlement scheme in 1955-56 now included in developed units.

 Acres Acres 
ACQUISITIONS
        (a) Purchased by voluntary negotiation48,227591,265,8512,305*
        (b) Compulsorily acquired (Servicemen's Settlement and Land Sales Act 1943 and Service-men's Settlement Act 1950)....281,472942
        (c) Properties where ex-servicemen substituted under section 31 (3) (b), Servicemen's Settlement Act 1950....17,39079
        (d) Crown land made available38,3847656,2281,930
               Totals, acquisitions86,611662,220,9415,256
          DISPOSALS    
        To Grade "A" Ex-servicemen    
          (a) Developed units (including substitutions)49,867991,243,9933,197
          (b) Partially developed units....4,18232
          (c) Unimproved units....1,3145
          (d) General land settlement scheme....2,30015
..49,867991,251,7893,249
        2. To Non-graded Ex-servicemen and Civilians    
          (a) Developed units283110,50625
          (b) Partially developed units....5,51424
          (c) Unimproved units3,487830,96372*
          (d) General land settlement scheme....3,33417
          (e) Miscellaneous....7,87058
..3,770958,187196
        3. Sundry Disposals    
          (a) Transferred to Maori Affairs Department for settlement of Maori ex-servicemen....11,96330
          (b) Transferred to Department of Agriculture for experimental purposes....2,4478
          (c) Workers' homes, adjacent owners, river-bank reserve, bush reserve, unsuitable for settlement, etc.11,403..104,1653
..11,403..118,57541
               Totals, disposals65,0401081,428,5513,486
Land on hand planned for development....792,3901,770*

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. The two principal statutes under which the Maori Trustee acts in relation to the control and leasing of land are the Maori Vested Lands Administration Act 1954 and the Maori Reserved Land Act 1955. 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, for the establishment of Maoris in business, and for housing purposes. Most advances are made on the security of Maori land.

The following table is a summary of the assets and liabilities of the Maori Trustee as at 31 March 1956 and 1957.

£
As at 31 March
19561957
Assets—  
        Cash144,86796,557
        Investments—  
          Government securities2,064,9592,063,489
          Local authority debentures121,756125,704
          Mortgages, charges, and advances on overdraft714,316921,655
        Land, buildings, and miscellaneous96,97892,997
               Totals3,142,8763,300,402
Liabilities—  
        Amounts held for beneficiaries and sundry depositors2,480,6342,597,861
        Reserves and Appropriation Account653,559699,719
        Sundry creditors, etc.8,6832,822
               Totals3,142,8763,300,402

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 1956-57 approved of new leases comprising 30,787 acres to Europeans and 12,852 acres to Maoris, the previous year's figures being 35,524 and 11,418 acres respectively. It confirmed transfers (apart from sales to the Crown) affecting 26,561 acres of freehold land to Europeans and 7,043 acres to Maoris in 1956-57, the corresponding 1955-56 figures being 7,186 and 10,446 acres respectively. During the year ended 31 March 1957 timber-cutting rights were confirmed by the Court in respect of 15,457 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, have practically all been returned to the management of the owners, who are 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 1956-57 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 improved over recent years, and like their European counterparts the Maori farmers are taking advantage of practical research to improve pastures, stock breeding, etc. 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.

Increasing attention was given to the matter of obtaining secure tenure for individual Maori farmers, either by the purchase of interests of co-owners or by long term leases, and it was found that many of the old prejudices against the sale of small interests and the granting of leases are disappearing.

In 1956-57, 51 Maori settlers were settled on economic holdings. Since the commencement of development to 30 June 1956, 479 settlers (including 88 in 1955-56) had repaid advances and had their lands released from the provisions of Part XXIV of the Maori Affairs Act 1953.

The following table gives statistical data on settlers and holdings at 30 June 1957.

At 30 June 1957TokerauWaikato-ManiapotoWaiarikiTairawhitiAoteaIkaroa and South IslandTotal
* Units under departmental control only.
Area—       
          (a) Permanent grass Acres53,74621,52437,12915,8769,9613,597141,833
          (b) Undeveloped but suitable for development Acres14,9004,2554,9973,8631,1491,01830,182
          (c) Not suitable for development Acres12,8053,09222,6502,88180449242,724
          (d) Grassed during year Acres9151,016311179741742,619
Capital value £1,859,003994,8101,336,359369,590271,118115,5364,946,416
Settlers, 30 June 1957—       
          (a) Under departmental control—       
            (i) Dairy No.4061119622174656
            (ii) Sheep No.21515313755
            (iii) Mixed No...479740392225
          (b) Control fully relaxed—       
            (i) Dairy No.207286413136331
            (ii) Sheep No.231935234
            (iii) Mixed No.173559..57
Units settled during the year—       
          (a) Freehold No.7..........7
          (b) Leasehold No.64113722
          (c) Nominated occupiers on licence No.12..5..5..22
Livestock* (January figures)—       
          (a) Dairy cows No.18,5417,5456,3151,2242,38226236,269
          (b) Other dairy stock No.10,0222,9672,1265951,0728116,863
          (c) Run cattle No.9749871,1401,7025352455,583
          (d) Sheep No.4,43419,36824,31514,39416,3895,38484,284
Production for year—*       
          (a) Butterfat lb.2,629,5101,264,7361,058,591206,761390,34232,1005,582,040
          (b) Wool Bales117387566327324681,789
Tenure—       
          (a) Freehold No.26493131215397
          (b) Leasehold No.12677172686411518
          (c) Nominated occupiers on licence No.2284114117115443

Statistical data on Maori land development schemes and stations at 30 June 1957 are now given.

At 30 June 1957TokerauWaikato-ManiapotoWaiarikiTairawhitiAoteaIkaroa and South IslandTotalLand Under Part XXIV, Maori Affairs Act 1953Land Under Maori Trustee
Area of stations Acres37,87861,10384,9454,10053,80923,307265,142243,72821,414
Stations No.211730113587852
Stations returned to owners or otherwise released No.2221221111 
Stations returned to owners or otherwise released to date No.13152646553520
Area in grass Acres16,32418,46248,6243,56126,59114,169127,731113,48814,243
Area in course of development Acres2,3542,488 20307305,6224,992630
Area undeveloped but suitable for development Acres6,20433,88614,64451520,74585676,85076,309541
Area not suitable for development Acres12,9966,26721,67746,4437,55254,93948,9396,000
Area cleared during the year Acres2,3541,783421 1,2001225,8805,590290
Area grassed during the year Acres3,0801,8701,41542,0001158,4848,4804
New fencing Chains5,0612,3305,475 3,41012516,40116,31388
New drains Chains529179273 179 1,1601,160 
Planned subdivisions No.110108228 100 546546 
Sheep No.16,76041,922101,2634,79144,85817,769227,363212,91514,44
Run cattle No.2,9494,82515,4787055,7822,36132,10029,5932,507
Dairy cattle No.74469355635331,2421,21923
Wool production Bales4091,0122,9551421,0567256,2996,010289

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 Land 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 1952 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.—In the 1957 and earlier issues of the Year-Book there is described the survey system of minor triangulation adopted in 1876 to enable settlers to be given possession of definite pieces of land, with each section having 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.

Geodetic Survey.—First order Triangulation: Early in this century it was decided to throw over the country a network of large triangles with a higher 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 latitude station in every four and one azimuth station in every seven 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. It was therefore necessary to re-observe the old work.

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 827 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 standard 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 iron tubes in 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 AND 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 (N. 134) 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 5,600 square miles of large-scale mapping and over 9,500 square miles of small-scale mapping in various parts of the country.

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 also some work has been done for Fiji and Western Samoa. A Wild RC5A camera with a 210 m.m. lens as well as a 114 m.m. wide-angle lens was recently purchased. A number of wide-angle multiplex instruments have been ordered for the Photogrammetric Branch.

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 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 except Wellington and at the Head Office of the Department of Lands and Survey. In addition about one hundred and fifty private selling agents have been appointed throughout the country. All maps for sale are listed in the "Catalogue of Maps" published by the Department. Maps are published and listed 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 :

(a) Survey District Series—1 inch to 1 mile.

(b) County Series—1 inch to 1 mile.

(c) 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 are published:

(a) 1:63,360—1 inch to 1 mile.

(b) 1:25,000.

(c) 1: 15,840—4 inches to 1 mile.

(d) 1: 10,000 to 1: 20,000—Street maps of towns.

(e) 1: 500,000.

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: 15,840 (4 inches to 1 mile).

(5) AERONAUTICAL CHARTS.—Aeronautical charts published include—

(a) Aerodrome approach and landing charts.

(b) Plotting charts at scales 1: 1,000,000 and 1: 3,000,000.

(c) Aeronautical charts 1: 500,000 and 1:1,000,000.

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 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, estate 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 1951 (which consolidated previous legislation), 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 authority 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"

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 1925:

  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 is now provided that valuation rolls must be revised at intervals of not more than 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.

Equalization of Values.—Naturally it is not generally possible to revalue all the constituent districts of a special purpose rating authority such as a Catchment Board in one year, and with rising values, this sectional revaluation has led to some criticism that an unfair burden of the special purpose authority's rates was falling on the newly revalued districts.

In the long run very little injustice resulted because such anomalies tended to favour first the one district and then the other because of the unevenness in time of the movement in values. However, there was undoubtedly a short-run effect which needed dealing with, and as a result special legislation was enacted in 1957—the Valuation Equalisation Act of that year.

The general purpose of this Act is to provide for an equitable adjustment of rates and of levies based on rateable values as between the several constituent districts comprising the district of an ad hoc local authority where those constituent districts have been revalued by the Valuer-General at different times.

Section 3 of the Act provides that the ad hoc local authority may of its own motion, and shall if so requested by the local authority of any constituent district, apply to the Valuer-General to make an adjusted valuation of all the rateable property in the several constituent districts comprising the district of the ad hoc local authority. On receipt of such an application the Valuer-General is to supply to the ad hoc local authority a certificate specifying the total amount of the rateable values of all the rateable property in the several constituent districts comprising the district of the ad hoc local authority, that valuation being calculated as at a date to be fixed by the Valuer-General which must be the date on which the valuation roll of one of the constituent districts came into force.

Section 4 provides that so long as a certificate of adjusted values issued by the Valuer-General remains in force:

  1. All levies made by the ad hoc local authority on the local authorities of the constituent districts shall, so far as they are based on rateable values, be apportioned in proportion to the adjusted values instead of the current roll values.

  2. Every rate made in each constituent district by or on behalf of the ad hoc local authority shall be so calculated that the proceeds of the rate will be equal to the proceeds that would be received from the rate that would have been required to be made if the total rateable value of all the rateable property in each constituent district had been equal to the adjusted value according to the Valuer-General's certificate.

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 new 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 estate 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 notice to the Valuer-General that he requires the capital value to be reduced to the value which he (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, 1944, and 1955) provides for rating relief for farm lands subject to rates levied by Borough (or City) Councils, Independent Town Councils, and County Councils in respect of county towns. 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 arc 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 denned 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 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 long period 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 £
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
19521,314,879,131394,227,539
19531,532,357,718449,813,658
19541,702,727,321487,124,729
19552,068,312,525579,128,360
19562,307,585,132644,410,045
19572,496,337,072697,540,234

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 MarchNumber *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)
* As constituted on 1 April.
 £(000)£(000)£(000)£(000)£(000)£(000)
Counties
1953129438,049139,657208,45478,748646,504218,405
1954129499,218153,752222,88383,670722,101237,422
1955129578,840172,579245,17988,067824,019260,646
1956125651,197189,604305,943110,951957,140300,555
1957122688,744199,839348,490125,5761,037,234325,415
Boroughs
1953137640,848170,907227,62056,836868,468227,743
1954144717,471187,727254,49560,499971,966248,225
1955146893,123231,573343,14085,6391,236,263317,212
1956145982,919255,608356,56186,5081,339,480342,116
19571431,054,113275,633395,28094,9951,449,394370,629
Independent Town Districts
19532714,9743,3322,41133317,3863,665
1954216,4821,1822,1782968,6601,478
1955196,0071,0302,0242418,0311,270
1956208,1311,4462,83429310,9651,739
1957177,4411,3072,2691899,7101,496
Grand Totals
1947..513,590186,070232,82298,205746,412284,274
1948..550,732 628,190192,177245,30599,440796,038291,617
1949..628,190206,261261,079100,891889,268307,152
1950..690,084215,935295,796108,531985,880324,465
1951..782,632235,253330,115113,9071,112,747349,160
1952..917,274265,854397,605128,3731,314,879394,228
1953..1,093,872313,896 342,660438,486135,9171,532,358449,814
1954..1,223,171342,660479,556144,4651,702,727487,125
1955..1,477,970405,183590,343173,9462,068,313579,128
1956..1,642,247446,658665,338197,7522,307,585644,410
1957..1,750,298476,779746,039220,7612,496,337697,540

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 1957.

£
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)
Counties625,970,324189,500,934322,046,700120,607,615948,017,024310,108,549
Boroughs951,038,403249,170,922354,854,97486,601,4961,305,893,377335,772,418
Town districts (independent)6,468,9901,087,9252,015,875173,7158,484,8651,261,640
               Totals1,583,477,717439,759,781678,917,549207,382,8262,262,395,266647,142,607

The next table shows the percentage distribution of area and population as at 1 April 1957, and of rateable property values between the different types of local authority districts as at 31 March 1957.

Local Authority DistrictAreaPopulationRateable Property Values
Capital ValueUnimproved ValueValue of Improvements
* Less than 0.05 per cent.
Percentage Distribution
Counties99.536.541.947.939.5
Boroughs0.562.957.751.960.1
Town districts (independent)0.0*0.60.40.20.4
               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, AND MARKETING OF PRIMARY PRODUCE

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. Such charges as sales commissions and producer boards'levies, forming part of the value of the finished products but not of returns to the farmers, are excluded. 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 revised prior to publication of the 1955 Year-Book. 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, as no data are 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 Iambs sold by one farmer to another is counted only once—that is when sold for slaughtering as fat stock. In the 1955 revisions referred to earlier, slaughterings during years ended 30 June were substituted for the figures for years ended 31 March as used hitherto.

Shorn 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, and brokerage. In the latest series of revisions, deductions have also been made for additional charges by brokers for receiving into store, cataloguing etc., and for such services as binning, reclassing, and skirting when performed by brokers.

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. million) for each of the nineteen production seasons from 1938-39 onwards, which is as far back as the two recent series of revisions were 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.) 
1938-398.31230.94431.04470.1100
1939-409.61331.44234.04575.0100
1940-4110.31237.74536.84384.8100
1941-4211.41437.14435.34283.8100
1942-4313.31637.34434.24084.8100
1943-4414.41638.84533.63986.7100
1944-4516.41645.94540.339102.6100
1945-4615.91743.54536.73896.1100
1946-4715.91450.84644.640111.3100
1947-4817.41366.54951.938135.7100
1948-4919.61369.04758.240146.7100
1949-5020.81199.55463.935184.3100
1950-5120.87198.46871.525290.7100
1951-5223.511112.95183.038219.4100
1952-5324.49143.35594.036261.7100
1953-5427.010153.95692.334273.2100
1954-5527.410161.95891.532280.8100
1955-5627.410153.55595.535276.4100
1956-57*25.38182.36096.832304.4100

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
1939-4011611910298110107107104
1940-41124126122111119115121115
1941-42137128120110114109120111
1942-43160139121105110102121107
1943-4417314812610610896124106
1944-45158160149113130105146115
1945-4619214214111211892137107
1946-47192152164110144102159111
1947-48210144215115167104194114
1948-49236156223113188113209118
1949-50251150322123206117263123
1950-51251153642124231123415127
1951-52283148365124268123313126
1952-53294146464130303130373132
1953-54325162498136298123390133
1954-55330155524141295125401136
1955-56330154497143308130394138
1956-57*305161590146312129434140

Over the period reviewed in this table the general upward movement in prices has resulted in the value series out-stripping 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 eighteen-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, except for the latest period covering six years, the proportions of gross farming income arising from exports of farm produce and from consumption of such produce within New Zealand.

Per Cent
Gross Farming Income1931-32 to 1935-361936-37 to 1940-411941-42 to 1945-461946-47 to 1950-511951-52 to 1956-57
Agricultural produce—
          From exports129181215
          From New Zealand consumption8891828885
               Totals100100100100100
Pastoral produce—
          From exports7881868484
          From New Zealand consumption2219141616
               Totals100100100100100
Produce of dairying, poultry, and bees—
          From exports7268656964
          From New Zealand consumption2832353136
               Totals100100100100100
All farm produce—
          From exports6667677171
          From New Zealand consumption3433332929
               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, in general, 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. Commissions and levies forming part of the value of finished farm products, but not of the returns to the farmers, are excluded from gross farming income, but are not excluded from the value of production figures. It should perhaps be mentioned that butter and cheese are valued at the internal guaranteed price level, including any distributions of surpluses on realizations made by the Dairy Products Marketing Commission, not at overseas market realization prices, while the values of livestock slaughtered for export include any deficiency payments made under the Meat Export Prices Act.

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 as well as for reasons already stated, 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 1955 revisions in the Gross Farming Income series mentioned earlier in this Section 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
£(m.)
YearAgriculturalPastoralDairying, Poultry, and BeesTotal, Farming GroupsMiningFisheriesForestryFactory*Building and MiscellaneousTotals (All Groups)

* Excluding factory industries included in other groups.

Provisional.

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
1951-5223.5136.890.9251.29.31.515.5112.341.4431.2
1952-5324.4167.5103.0294.911.01.815.5115.943.0482.1
1953-5427.0180.0101.1308.111.02.117.3131.248.9518.6
1954-5527.4191.4100.4319.213.72.419.5151.458.9565.1
1955-5627.5185.6105.4318.516.62.721.0163.559.3581.6
1956-5725.4215.7107.7348.818.92.921.1169.560.1621.3

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). Quantity figures—either of products or of materials used—are available for most factory industries and form the basis of the volume estimates. In cases where these are not available estimates of volume are assessed from the figures of added value, assuming price and cost movements similar to the measured movements in allied industries.

Information as to the number of houses erected, classified according to size, is available for certain years. From a consideration of this data, value figures for other classes of building activity for the same years have been converted into equivalent house or room units, and composite totals of actual and equivalent units used in computing the index number of volume of total production for these years. For other years, for which size classifications of houses erected are not available, the composite total for the last year in which the information was available has been projected forward by the movement in the total value of building permits issued, deflated by the movement in the average value of newly constructed State rental houses of similar size and type. 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
1951-52251.2318126112.3368196431.2323144
1952-53294.9373132115.9380196482.1362147
1953-54308.1390133131.2430211518.6389152
1954-55319.2404136151.4496235565.1424164
1955-56318.5403138163.5536250581.6436169
1956-57348.8441140169.5556253621.3466171

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.
 (000)£(m.)£    
1938-391,617133.382.4100100100100
1939-401,637143.587.7108106106105
1940-411,634157.696.5118117112111
1941-421,631161.799.1121120110109
1942-431,639168.4102.7126125109108
1943-441,641175.7107.1132130109108
1944-451,673196.3117.3147142114111
1945-461,729198.3114.7149139112104
1946-471,779228.0128.2171156118107
1947-481,817265.7146.2199177123110
1948-491,853290.1156.6218190130113
1949-501,891343.8181.8258221137117
1950-511,927469.0243.4352295141118
1951-521,970431.2218.9323266144118
1952-532,023482.1238.3362289147118
1953-542,073518.6250.2389304152119
1954-552,117565.1266.9424324164125
1955-562,161581.6269.1436327169127
1956-57*2,206621.3281.6466342171125

MARKETING OF PRIMARY PRODUCE.—The United Kingdom has always been New Zealand's main export market for primary produce. New Zealand's trading relations with the United Kingdom are governed by a number of formal commitments, the most important being those contained in the Ottawa Agreement of 1932. Under this Agreement New Zealand undertook to maintain a preferential tariff on imports from the United Kingdom, while the United Kingdom for its part was obliged to grant duty-free entry for practically all New Zealand products and maintain specified duties on some foreign products of interest to New Zealand. The United Kingdom also undertook to place quote restrictions on foreign meats.

On butter the foreign tariff rate, and therefore the margin of preference, fixed in 1932 was 15s. a hundredweight (at which comparatively low rate it still remains); on cheese the tariff preference is 15 per cent; on meat there is no preference on mutton and lamb, and a negligible tariff preference exists on beef coupled with a foreign quota on meat which was designed to ensure an expanding share of the United Kingdom's market; while on wool there has never been a preference. (The quota on foreign meat has become ineffective because of expanded United Kingdom production and increased supplies from Commonwealth sources).

New Zealand's important 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. In the case of butter, domestic production in the United Kingdom is relatively small in comparison with total supplies, amounting to only 502,000 cwt. in 1956. Domestic cheese supplies, on the other hand, are comparatively large, the total for 1956 being 1,998,000 cwt.

Country (of Export)ButterCheeseMilk Powder (Unsweetened)
195519561955195619551956
Cwt. (000)Per CentCwt. (000)Per CentCwt. (000)Per CentCwt. (000)Per CentCwt. (000)Per CentCwt. (000)Per Cent
New Zealand2,436403,117441,630631,797675446173958
Australia1,464241,515213961524991471730724
Denmark1,696271,7692521182238111373
Netherlands2103192313961426153171068
Other countries34464897203827810354837
               Totals6,1501007,0821002,5791002,6891008901001,272100

The following table shows the imports of meat into the United Kingdom from the principal countries for the year ended 31 December 1956, by country of export.

Country (of Export)LambMuttonBeefAll Meats
Cwt. (000)Per CentCwt. (000)Per CentCwt. (000)Per CentCwt. (000)Per Cent
New Zealand4,13759.899580.41,47617.47,29426.0
Australia4236.218114.61,99723.53,82213.6
Argentina96514.0141.14,95858.37,27225.9
Denmark............5,10318.2
Other countries1,39220.0483.9740.84,57416.3
               Totals6,917100.01,238100.08,505100.028,065100.0

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 1956 for 74 per cent of the mutton and lamb and 26 per cent of total meat products. Corresponding figures for 1955 were 70 per cent and 25 per cent respectively.

It should be noted that over half of the meat consumed in the United Kingdom was obtained from domestic supplies, the production figures for 1956 being: Beef, 15,610,000 cwt.; mutton and lamb, 3,876,000 cwt.; all meats, excluding bacon and ham, 29,924,000 cwt.

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 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 1956, when New Zealand supplied 74 per cent of frozen mutton and lamb imported into the United Kingdom, whereas the proportions supplied by other countries were: Australia 9 and Argentina 14 per cent respectively.

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. In 1956 New Zealand supplied approximately 17 per cent of the United Kingdom's total imports of beef, as compared with only 7 per cent in 1938.

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.

The Organization of Marketing.—In a country such as New Zealand which is very dependent upon overseas trade, the efficient organization of marketing of primary produce takes on a special importance. Since the gradual abandonment of the principles of laissez faire from the First World War onwards, great changes have taken place, but these changes must not be thought of as sudden eruptions in the general stream of progress. Before 1914 the leaders of the meat and dairy industries gave a fair amount of thought to improvements in the accepted pattern of marketing, but, although some proposals were widely discussed, the climate of opinion was generally opposed to any radical change. Criticism was usually directed at the lack of organization on the part of the New Zealand producers in the face of more tightly knit groups of shipping and marketing interests. How far these criticisms were true for the years prior to 1914 it is difficult to gauge, as freight and distribution charges were low, but it cannot be denied that the bargaining power of New Zealand producers was lower than it might have been.

The outbreak of war in 1914 compelled a new approach, for with the pressing demand for supplies of all kinds, some kind of centralized organization was essential. In February 1915 an agreement was concluded with the British Government for the purchase of New Zealand's exportable surplus of meat—that not required by the Forces to be sold through ordinary trade channels. Prices were fixed at those ruling when the agreement was reached. The wool commandeer began with the 1916-17 clip, the prices fixed being 55 per cent above those ruling in 1913-14. Bulk purchase of cheese began with the 1915-16 season, and of butter late in 1917. The first attempts at controlling marketing locally were made with wheat, and, although in the initial stages the administrative machine was not equipped for the task, in the latter years of the war a system of price guarantees for producers and fixed prices for flour and bread, ensured a reasonable degree of justice as between producers and consumers.

As might be expected, the end of the war brought with it a steady demand that the controls and regulations inevitably linked with war should be removed as soon as possible. The British Government was compelled by circumstances to continue for a period the bulk purchase of some commodities, the contract for meat terminating in June 1920, for wool at the end of the 1919-20 season, for cheese in July 1920, and for butter in March 1921. Meat prices were the first to fall, the large stocks in exporting countries and lack of organization in marketing producing an immediate effect. Butter prices were maintained longer, but they too fell in the 1921-22 season.

Producers in New Zealand, still coping with the high costs brought about by war, were thus compelled to take stock of their situation and examine ways and means of improving it. Wartime experience had shown that a system of centralized control over marketing was efficient in practice, and even if there were objections to the assumption of over-all control, there was ample scope for the rationalization of normal selling methods, particularly through the regulation of the quantity of produce coming on the British market at any one time. Meat producers were the first to act, and, after discussions with the Government during 1921, it was agreed that a control board should be set up armed with wide powers. These were not used to the full, the Board confining itself to the regulation of shipments, the negotiation of agreements regarding freight and insurance, and the promotion of sales.

The Dairy Board, established in 1923, had a more chequered existence in its early stages. A great deal more controversy surrounded its establishment, and there was a strong demand that it should take on a more active role in marketing, even to the extent of acquiring absolute control of all produce exported. This was attempted during the 1926-27 season, the Board endeavouring 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. The whole policy was a bold move to eliminate many of the weaknesses in the organization of marketing, but the unfavourable market outlook, the lack of unanimity in New Zealand as to the advisability of the move, and the hostility of proprietary interests resulted in the scheme being dropped at the end of the season. The withdrawal of the Board from active participation in marketing meant a reversion to the old system, but the Board arranged shipping contracts and supervised the timing of shipments. Dairy companies continued to ship their produce to London on consignment, or to sell to merchant's representatives. During the same period export control boards were established for fruit and honey.

Both the meat and dairy industries suffered severely during the depression, but, although butterfat prices did not fall as far proportionately as those for meat, the individual dairy farmer was perhaps in more severe straits. He had generally been established for a shorter period, his burden of mortgage indebtedness was relatively greater, and his property was smaller. The Royal Commission which examined the state of the dairy industry in 1934 found that many dairy farmers were in a precarious situation and that some rationalization of marketing techniques was essential if the industry was to be placed on a sounder basis. During 1935 the Dairy Board prepared plans for the introduction of more complete control over export marketing. These, however, were not put into effect, as a change of Government at the end of 1935 resulted in a new approach being made to the problem. A system of guaranteed prices for butter and cheese was introduced, the necessary legislative authority being provided in the Primary Products Marketing Act 1936. This Act also established the Marketing Department, which was empowered to acquire and market primary products. The Department confined its pre-war operations to dairy produce.

Developments in subsequent years, the outbreak of war and the establishment of a system of bulk purchase shaping the form that marketing organization took until the early 1950's have been described in previous issues of the Year-Book.

Broadly speaking, the policy of State marketing of primary products has exhibited four phases:

  1. The normal tendency was for the State to trade directly, buying products outright, bearing losses and retaining profits.

  2. This was followed, after the outbreak of the Second World War and the establishment of bulk purchase, by the formation of financial pool accounts for each industry, the profits, subject to the general policy of stabilization, being paid out to the suppliers, and any reserves held for the benefit of the industry. During the war the United Kingdom Government was the sole purchaser of imported foodstuffs, and the Marketing Department the authority in New Zealand responsible for the bulk purchase and shipment of dairy produce, meat, wool, and tallow.

  3. The third phase was 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 Marketing Department had built up, these services being made available at cost.

  4. The fourth phase has been the progressive transfer to various boards or authorities representative of the industry 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.—Progressively from 1947 onwards primary producer organizations have assumed control of the marketing of their produce. The major statutes under which specific marketing authorities operate are the Dairy Products Marketing Commission Act 1947, the Meat Export Control Act 1921-22 and the Amendment Act of 1956 (for the Meat Producers Board), and the Meat Export Prices Act 1955, the Wool Commission Act 1951, the Milk Act 1944, the Potato Growing Industry Act 1950, the Apple and Pear Marketing Act 1948, and the Dairy Products Marketing Commission Amendment Act 1956.

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 Government audit of their accounts.

Orders in Council have been gazetted 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, but the Dairy Products Marketing Commission Amendment Act 1956 transferred this latter function to the Dairy Products Prices Authority, which was established from 1 August 1957.

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 export production, and regulates the marketing of butter and cheese in New Zealand. It sells abroad the industry's exportable surplus of milk powder and casein, being guided by advisory committees for each product. The Commission owns in the United Kingdom a company, Milk Products (N.Z.) Ltd., through which all New Zealand milk powder sold in the United Kingdom is distributed. It also owns Empire Dairies Ltd., which acts as one of the seventeen first-hand agents through which New Zealand butter and cheese are distributed in Britain. The Commission carries out extensive advertising and publicity of New Zealand produce in the United Kingdom.

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. Provision was made by the Meat Export Prices Act 1955, however, for the determination annually by the Meat Export Prices Committee of minimum prices for meat exported from New Zealand. If necessary, the Committee fixes each week a schedule of deficiency payments which may be made to producers, the deficiency being the difference between the minimum price for that class of meat shown in the annual table and the f.o.b. value in the week to which the schedule relates. These deficiency payments are met from the meat Industry Reserve Account, and the Meat Board is responsible for arranging payment. The farmer sells his stock to a works and is paid by the works or exporters, who in turn are reimbursed by the Meat Board.

Wool.—The minimum-price system created by the Joint Organization for the disposal of war surplus stocks of wool was operated in New Zealand by 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 reach 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, these prices not being fixed by the Price Tribunal. However, a price order of the Tribunal maintains retail prices in fixed relationship to wholesale prices and individual retailers' transport costs. 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 was required to increase the reserve fund to £1,000,000 was paid to the reserve fund and the profit accruing since then distributed in the proportion of 25 per cent to growers and 75 per cent to the fund until it reached £1,250,000. The annual profit is now 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. The Board has been able to declare a bonus to fruitgrowers for each season since 1953-54, the average amounts paid out per case being for 1954, 4.09d.; for 1955, 2.37d.; for 1956, 3.98d.; and for 1957, 14.07d.

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.

With the exceptions listed below, all fruit must be offered to the Board, and accepted by 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 the required standards the fruit becomes the property of the Board.

The exceptions under which fruit is not required to be offered to the Board are:

  1. Growers, with permission of the Board, may sell direct to consumers in lots of not more than two cases, or to retailers in specified localities. In the latter case the Board may prescribe conditions as to quantities, varieties, standards, etc., of fruit sold:

  2. Manufacturers may be licensed by the Board to purchase their requirements direct from growers (although in some cases the Board itself purchases fruit and resells it to the factory). In such cases, also, the Board may make conditions as above:

  3. Growers may also be permitted by the Board to sell at municipal markets established under the Municipal Corporations Act 1954. The Board is not obliged to accept fruit from a grower while he holds a permit to sell at such a market.

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 fruitgrowing districts and 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. In June 1956 the Government announced that it would guarantee the funds of the Potato Board to enable the Board to guarantee a certain schedule of minimum prices to contract growers for any potatoes unsold at the end of the season. The purpose is to encourage the growing of an adequate supply of potatoes.

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 policy of divorcing marketing of primary products from direct Government control. It provided 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 was 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 in consultation with the representative bodies concerned. 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 comes under the jurisdiction of the Authority, is sold at agreed prices to Fruit Distributors Ltd. 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 1/2d. 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 was continued at the rate of 1d. per pound on all honey sold locally 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.

PRICES OF PRIMARY PRODUCTS: Wool.—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 1957-58. 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. Under the Wool Commission Act 1951 the Wool Commission is authorized to prepare a table of minimum prices for various classes of wool, which becomes effective by agreement with the Minister of Agriculture. Where wool is sold at less than the minimum price at an approved sale, the Commission may supplement the sale price so as to increase it to the minimum price, or, alternatively, may buy such wool at a price not greater than the minimum price.

WEIGHT, SALE VALUE, AND AVERAGE VALUE PER POUND OF GREASY WOOL SOLD AT AUCTION
SeasonWeight of Greasy Wool SoldSale ValueValue Per PoundAverage Minimum Floor Price Per Pound of Greasy Wool
* Reserve price.
 lb.(000)£(000)d.d.
1947-48280,72929,37525.1116.23*
1948-49287,21130,88225.8116.98*
1949-50297,88647,13837.9816.98*
1950-51293,737107,50987.8419.10*
1951-52314,89652,73440.1924.00
1952-53311,90260,02246.1924.00
1953-54317,09366,39250.2526.00
1954-55338,60870,08449.6726.00
1955-56341,57665,73546.1930.00
1956-57356,23781,28354.7630.00
1957-58370,40763,52041.1633.00

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
1950-5187.472,299
1951-5241.591088
1952-5347.071219
1953-5450.831310
1954-5549.981286
1955-5646.981208
1956-5756.151430
1957-5842.721089

Dairy Produce.—The following table shows the average monthly realizations for butter and cheese on the London market since the beginning of 1956. (Source: Dairy Products Marketing Commission).

Price per Cwt. (Shillings)
MonthButter (finest and first grade)Cheese, white (finest and first grade)
195619571958195619571958
January396261256273245130
February366254241273238136
March338257233272231157
April311256207262202150
May298291206251191150
June330317..266195..
July303312..282181..
August292310..281178..
September317310..293167..
October298296..297143..
November294271..297129..
December276260..264129 

The downward movement in prices of dairy produce is shown in the following diagram.

Monthly sales of butter and cheese in the United Kingdom for the 1955-56 and 1956-57 seasons are shown in the following table compiled from the annual report of the Dairy Products Marketing Commission.

Tons
Butter (All Grades)Cheese (All Grades)
1955-561956-571955-561956-57
Month—
      August11,80819,5298,7406,701
      September17,4497,5899,6157,139
      October7,0007,9795,3743,908
      November10,01310,3917,3974,588
      December7,20212,5886,8423,759
      January6,31010,3114,9415,885
      February9,16016,8986,0586,242
      March12,2307,4097,2585,671
      April11,45116,7066,5914,531
      May21,32112,3799,95711,394
      June6,4967,27612,1483,736
      July5,94110,5782,9904,746
               Totals126,381139,63387,91168,300

Guaranteed Prices for Dairy Produce.—Guaranteed prices for butter and cheese were introduced by the Government on 1 August 1936 to give stability to the dairy industry, and the Primary Products Marketing Act 1936 set out the principles which underlay the fixing of the prices, namely: (a) The necessity in the public interest of maintaining the stability and efficiency of the dairy industry; (b) the costs involved in the efficient production of dairy produce; (c) the general standard of living of persons engaged in the dairy industry in comparison with the general standard of living throughout New Zealand; and (d) the estimated cost to the Marketing Department of the dairy produce concerned and also the cost of the general administration of the Act.

Due regard having been paid to these matters, prices were to be "... such that any efficient producer engaged in the dairy industry under usual conditions and in normal circumstances, should be assured of sufficient net return from his business to enable him to maintain himself and his family in a reasonable state of comfort".

The preamble to the Act described the need to protect producers against the effects of market fluctuations and went on to add that . . . "it is thought that the most effective and appropriate way of affording such protection, so far as it relates to primary products intended for export, is to provide that the Government, on behalf of the Crown, shall acquire the ownership of such products at prices to be fixed and promulgated from time to time ..."

With the transfer by Act, in 1947, to the Dairy Products Marketing Commission of authority to fix the guaranteed price, a fresh statement of the Government's responsibility to underwrite the price was required. The 1947 Act added an extra principle to those that were to be considered in fixing the price—namely, the promotion of the general economic stability of New Zealand. The Government's responsibilities were set forth in clause 23, and were as follows:

"(1) The prices which the Commission fixes . . . shall be duly paid as required by this Act. (2) The Minister of Finance is hereby empowered, for the purpose of giving effect to the last preceding subsection, (a) to consent in writing . . . to the amount of the overdraft with the Reserve Bank of New Zealand being increased beyond the limit therein prescribed; (b) to consent to the borrowing of such sums as may be necessary and the mortgaging or charging of any of the property of the Commission; and (c) to advance to the Commission out of the Public Account such sums as may be necessary, which sums the Minister of Finance is hereby authorized to advance without further appropriation than this section".

With the change of Government in 1949 and the subsequent changes in stabilization policy, producers again began to examine the implications of the Act and to appraise its worth in the changed conditions of the post-war world. There was also a conviction among farmers that the policy of building up reserves might be carried to excessive lengths, and that the industry would derive greater benefits if the full realizations from overseas sales were paid out and the money used by farmers to develop their properties and improve their competitive position.

After prolonged discussions, both among dairy farmers and between representatives of the industry and the Government, an agreement was reached in 1952 on a number of issues relating to the future of the guaranteed price. This agreement was published as parliamentary paper H. 49, 1952 (see pages 499-500 of the 1957 issue of the Year-Book).

Among other things, it was agreed that " . . . over a long period of years the guaranteed price scheme must be, to a large extent, self-balancing," and " . . . that the existing reserves wisely used will help to cushion price falls over a number of years, and that in the interests of the 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 in real income borne by other sections of the community".

In giving effect to the preceding clause there might be periods when overseas price recessions would lead to deficits in the Dairy Industry Account. The Government then stated that in such circumstances the existing statutory obligations as to the guarantee of prices would be honoured. This was understood as a statement that the existing provisions of the Act would be applied so that the dairy farmer would 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 would be made available by the Government.

At the same time it was agreed that until the end of the 1954-55 season the full amount of overseas realizations would be paid out, the money to be used for the benefit of suppliers and dairy factories.

With the end to bulk purchase in 1954 and a return to competitive trading, it became apparent that the market for dairy produce might experience a good many fluctuations and that some of the assumptions made when the 1952 agreement was concluded might require closer examination.

Between 1954 and 1956 there was a good deal of discussion amongst dairy industry leaders as to the exact form the guaranteed price should take in the future. The review of cost standards, which according to the 1952 agreement was to be held in 1955, was postponed at the request of the Dairy Board. The Board itself in the latter part of 1955 appointed a committee of inquiry to investigate a number of problems facing the industry, including the marketing of its products and the fixing of the guaranteed price. Subsequently three senior Government officers were added to the committee, though it was made plain at the time that they were acting as individuals and that the Government was not bound to any decisions to which they were a party. In its report in March 1956 the committee recommended that a separate authority be set up to fix prices for butter and cheese, account to be taken of costs of production and overseas realizations, but the price for one season to be not less than 95 per cent of the floor price for the previous season. It was also recommended that the functions of the Dairy Board and of the Dairy Products Marketing Commission be to some extent amalgamated, though the separate entity of the Commission would be preserved. These proposals were widely discussed by dairy farmers in subsequent months, the Government having already indicated that it would give legislative effect to such proposals that had the full support of those engaged in the industry. This was done in October 1956 when the Dairy Products Marketing Commission Amendment Act was passed.

This Act, which came into force on 1 August 1957, made miscellaneous amendments to the Dairy Products Marketing Commission Act 1947. It reconstituted the Dairy Products Marketing Commission, established a Dairy Products Prices Authority and a Dairy Industry Loans Council, and provided for the disposal of any annual surplus received from the sale of butter and cheese.

The Commission consists of three members appointed as Government representatives, two members of the Dairy Board, and two members from outside the Dairy Board but nominated by that Board. The Chairman is elected annually by the members of the Commission.

The Dairy Industry Loans Council consists of three members of the Dairy Commission, three members of the Dairy Board, the Secretary to the Treasury, and the Director-General of Agriculture. The functions of the Council are to approve loans from the Dairy Industry Account to co-operative dairy companies and for other purposes in the interests of any primary industry.

The Dairy Products Prices Authority consists of one member appointed as Chairman, one member representing the Government, and all seven members of the Commission. The principal functions of the Authority are to fix the prices of butter and cheese acquired by the Commission and to authorize payments from any annual surplus obtained from the sale of butter and cheese. The Authority determines the cost of production at the commencement of each season, and takes this into account in fixing the prices to be paid for butter and cheese. The price fixed for the first season had to be not less than 95 per cent of the cost of production, and in subsequent seasons was to be not less than 95 per cent of the maximum price for the preceding season.

In fixing prices for butter, regard must be paid to the necessity of maintaining the stability and efficiency of the dairy industry, the cost of production, the amount being realized for butter and cheese, the ruling level of prices for farm products other than dairy produce, the estimated cost of marketing, any recommendations made by the Dairy Board, and other relevant matters. The price for cheese is fixed by the Authority after considering the cost of the production of cheese as compared with the cost of production of butter, and the desirability of ensuring that dairy produce will be produced in such quantity and in such proportions as will be of the greatest benefit to the dairy industry.

The 1956 amendment to the principal Act made a number of significant changes, the most important being the reduced emphasis on costs of production, the deletion of all reference to the dairy farmer's standard of living, and the inclusion of the provision that the price for any one season shall not be less than 95 per cent of the maximum for the previous season. No change was made in the sections of the 1947 Act which lay down the Government's responsibility to underwrite the price. The 1956 amendment includes provision for the further building up of industry reserves. In section 12 of the new Act it is laid down that after the price of butter and cheese has been equalized with the maximum costs of production, "If the amount in excess . . . has not been expended . . . the balance remaining, or so much of that balance as the authority thinks fit shall be expended or used for the benefit of the dairy industry in such manner as the Authority, after consultation with the Dairy Board, thinks fit, having regard to—(a) any recommendations made by the Dairy Board, and (b) the amount, if any, standing to the credit of the Dairy Industry Account".

There is nothing automatic about this procedure, and the further accumulation of reserves depends on the view of the situation adopted by the Prices Authority.

At the beginning of the 1957-58 season agreement was reached by the Minister of Agriculture and the Dairy Board as to the basic cost of production of butterfat, the figure being 38.25d. The Authority later fixed the guaranteed price for the year at 36.25d., this being approximately 95 per cent of the former figure.

The fixed prices in pence per pound of butter and cheese for export paid to dairy factories are now given.

Pence per lb.
SeasonCreamery ButterCheese
Finest, 94 Points and OverFinest, 93-93 1/3 Points (Basic Grade)First 92-92 1/2 PointsSecond GradeFinest, 94 Points and OverFinest, 93-93 1/2 Points (Basic Grade)First, 92-92 1/2 Points (Basic Grade)Second Grade
NOTE.—First grade (90-911/2 points) creamery butter is 0.5d. higher than second grade; first grade (91-911/2 points) cheese is 0.0625d. below basic grade.
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. 195332.662232.537232.474731.787218.487218.389718.174716.9747
        15 Sept. 1953-July 195434.478234.353234.290733.603219.450519.35319.13817.938
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
1955-5633.389933.264933.202432.514918.672518.575018.360014.6100
1956-5734.260534.135534.073033.385519.579819.482319.267315.5173
1957-5833.274133.149133.086632.399118.846018.748518.533514.7835

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 used for butter or cheese manufacture over the period up to 1957-58. Also given is the average payout per pound of butterfat supplied for seasons up to 1948-49, and of average net revenue for later seasons.

Pence per lb.
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)
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
1952-5335.67038.67035.91638.958
1953-54—
        August 1953 to 14 September 195335.83438.83437.61040.554
        15 September 1953 to July 195437.98440.984
1954-55—
        August 1954 to 30 November 195437.34939.83137.73240.133
        1 December 1954 to July 195537.96140.240
1955-5636.45938.45936.54738.730
1956-5737.54840.54837.47940.887
1957-5836.25039.250....

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 were to be used for the benefit of suppliers and/or dairy companies.

There was no surplus distribution in 1954-55, the Commission in fact incurring a loss of £2,000,000, but in 1955-56 (after providing for an increase in the cheese differential mentioned later) a surplus distribution was made of 0.7d. per pound of butterfat. In the 1956-57 season the loss on dairy produce sales was estimated to be £13,050,000, which was offset by £500,000 as interest earned on invested funds in the Dairy Industry Reserve Account. It was estimated that butter accounted for £10,350,000 of the loss and cheese for £2,700,000.

The price differential of butterfat for manufacture of cheese over that for manufacture of butter was 2d. a pound during 1937-38 to 1950-51, 21/2d. for 1951-52, 3d. for 1952-53 and 1953-54, 21/2d. for 1954-55, and, as shown in the previous table, was first fixed at 2d, for 1955-56. By subsequent announcements during the season this was increased to 4d., the additional 2d. being distributed, not by increasing the guaranteed price for cheese, but by paying to factories 2d. per pound on all butterfat used by them in the manufacture of cheese during the season. For 1956-57 and for 1957-58 the price differential was 3d.

Meat.—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 Imported Meat Trade Association in the United Kingdom compiles weekly London wholesale meat prices and the basis for quotation up to March 1958 has been "ex-store London" for frozen meat and "delivered to Smithfield Market" for chilled beef. The next table gives prices at the end of the last week in the month from March 1955. Two-thirds of the value of all exports of frozen and chilled meat are generally accounted for by lamb, and the two first-quality weight grades quoted in the table usually account for approximately 5 per cent and 45 to 50 per cent respectively of all lamb carcases exported. Beef accounts for one-fifth of the total exports of frozen and chilled meat (by value), but mutton comprises only 7 or 8 per cent of the total value of frozen-meat exports.

Pence (stg) per lb.
Lamb (First Quality)MuttonBeef
WetherEweChilled OxFrozen Ox (First Quality)
28 lb. and under29 to 36 lb.49 to 56 lb.57 to 64 lb.49 to 56 lb.57 to 64 lb.HindsForesHindsFores
100 to 185 lb.11 to 210 lb.145 to 210 lb.

* New season's supplies.

† Nominal; figures so marked have, in the absence of actual quotes, been carried forward from earlier weeks, or derived from movements in the prices of supplies from other sources—e.g., Argentinian chilled beef and Australian frozen beef—assuming the normal price margins.

‡ 20 December 1957.

End of last week in
        1955—March23 1/2141191/2 1/27 1/227-2916-181613
            June25151310 1/2926-3013-162013 1/2
            September28 1/216 1/21511 1/21027172114 1/2
            December2516 1/21613 1/212 1/225131713 1/2
        1956—March25 1/222 1/212 1/211 1/29 1/28 1/2151/2-17 1/281/2-1012 1/293/4
            June24-24 1/223 1/215 1/214 1/28 1/27 1/222-2310-11161/21-18101/2-11
            July24 1/224 1/216 1/215 1/271/2-861/2-723-2412-1318-19121/2-13
            August26-26 1/22617168-8 1/47181/2-19 1/29- 9 1/217-17 1/210-10 1/2
            September263/42617 1/2168 1/27 1/220-2212-12 1/21611
            October263/4253/417 1/2168 1/27 1/219111511 1/4
            November26 1/2251615981510133/410
            December263/425 1/4161591/291481/213 1/210
        1957—January301/2*29*16 1/215  19-2112-13 1/210 
            February3028-28 1/416143/4  19121511
            March28 1/2243/4-2516 1/215 1/2  20-2110-10 1/216 1/211
            April30 1/4273/417 1/21613 1/212 1/222-23101/2-11 1/218 1/212
            May302817 1/216123/411 1/2241/2-2514-151913 1/4
            June2926 1/216 1/2159821-2310-11171/2111/2
            July283/4261/2-263/416143/48 1/47 1/4231/2-25111/2-131611
            August283/42715 1/21387 1/420-22101410
            September28 1/2271/2-273/415 1/21387 1/42211131/293/4
            October282715 1/21398201112 1/210
            November253/424 1/214 1/2129 1/4820101/212 1/210
            December253/424 1/214 1/21210 1/49 1/220121/21410 1/2
        1958—January26*24*14 1/2 12 1/21120-2112-13151/213
            February242213 1/2   191/212  

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 1947-48 to 1957-58 seasons are given below.

ItemSeason
1947-48 and 1948-49*1949-501950-511951-521952-531953-541954-551955-561956-571957-58

* Schedule unchanged from 1947-48 except for boner beef, which rose to 31s.

† 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, and for 1953-54, 880 lb. and under.

Price of Lamb, Wether, and Ewe Mutton, in Pence per Pound
Lambs—
        Downs (29-36 lb.)11 1/211 1/2191618 3/419 3/427242326
        Canterbury (29-36 lb.)16 3/419 1/420 1/4
        Crossbred (29-36 lb.)10 7/811 1/418 3/416 1/21919 3/4    
        Seconds (29-36 lb.) (N.I.)9 7/810 1/417 3/41518 1/2192623 1/22225
Wethers—
        Primes (48 lb. and under)—
          North Island7 1/87 1/210 1/2101112 1/214 3/416 1/415 3/414
          South Island6 7/87 1/210 1/2910 1/211 5/814 1/215 1/21513 1/4
        Seconds (56 lb. and under)—
          North Island6 3/86 3/49 1/299 1/810 3/811 3/413 1/412 3/411 3/4
          South Island6 7/86 1/4988 3/89 1/211 1/212 1/21211
Ewes (48 lb. and under) (N.I.)4 3/45 1/87 1/26 1/45 3/47 1/26 1/48 3/48 5/86
Price in Shillings and Pence, Per 100 lb. of Beef (N.I.)
Quarter beef—
        Ox, chiller beef (680 lb. and under)..........127 0140 0120 080 095 0
        Ox—
          G.A.Q. (800 lb. and under)51 057 070 091 0100 0104 0124 0110 060 080 0
          F.A.Q. (all weights)43 049 058 667 088 692 0107 6100 055 075 0
        Heifer—
          G.A.Q. (800 lb. and under)50 056 070 091 0100 0104 0124 0110 055 072 6
          F.A.Q. (all weights)42 048 058 667 088 692 0107 6100 050 070 0
        Cow, G.A.Q. (all weights)41 647 658 064 675 073 0100 090 050 065 0
        Boner beef (cow)28 634 048 050 075 060 085 080 070 082 6

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.

Minimum Prices for Export Meat.—The institution of a system of minimum prices for meat exported from New Zealand was provided for by the Meat Export Prices Act 1955. A Meat Export Prices Committee was established, and consists of two members of the Meat Board, the Secretary to the Treasury, the Director-General of Agriculture, and a Chairman nominated by agreement between the Government and the producers. A schedule of minimum prices is fixed at the beginning of the season. Regard must be paid by the Committee to the average of the prices received for each class of meat during the preceding three seasons, the ruling level of minimum prices, and the Committee may have regard to the market trend and future prospects for the sale of meat, prices ruling for other farm products, and the general level of costs, prices, and wages in New Zealand. The following table gives the minimum prices which applied during the 1957-58 season.

Class of MeatGrade of MeatMinimum Price Per Pound f.o.b.
LambPrime Down Cross 29-36 lb.16 3/4
Wether muttonPrime 49-56 lb.9 3/4
Ewe muttonPrime 49-56 lb.5 3/8
Chilled beef680 lb./U.12 3/8
Ox and heifer quarter beefG.A.Q.: under 800 lb.10
Quarter cow beefG.A.Q.: all weights8 3/8
Boner cow, ox, and heiferAll weights, boned-out value10 1/2
Boner bull11
Veal (sides or quarters)Under 280 lb.9
PorkersPrime 60-80 lb.16
BaconersPrime 111-160 lb.14

Deficiency Payments.—Payments are made from the Meat Industry Reserve Account when the f.o.b. equivalent of the prices paid to farmers fall below the minimum price determined for any class of meat in the week to which the schedule relates. For the season ended 30 September 1956, deficiency payments were declared for beef from the end of March onwards, expenditure amounting to £367,169 at an average of 1.1d. per pound of killings in that period; no payments were necessary in other classes of meat. Deficiency payments continued into the succeeding production season but at diminishing rates until early in February 1957, when prices for all classes of meat were above the minimum levels, and the payments in the 1956-57 season amounted to only £111,975.

FARM INDUSTRY RESERVES.—Although the details of wartime bulk-purchase agreements are now of historical interest only, it was during the period of bulk purchase that the present farm industry reserves were built up. Following the introduction of the Government stabilization scheme in December 1942, agreement was reached between the Government and farmers' organizations in May 1943 regarding the stabilization of meat and dairy prices. It was agreed that other than those increases necessary to meet higher costs of production, all increases in overseas realizations would be paid into a special fund which would be used in subsequent years for the benefit of the industry concerned. A meat pool account was already in existence, having been created to assist those producers who were injured by restrictions imposed on the export of particular classes of meat as a result of the shipping shortage. Subsidies designed to keep down farm production costs were also paid out of these funds. The wool reserve account was created in a somewhat different fashion arising in the main from the profits derived from the sale of wartime surplus stocks and in part from a levy on all wool sold at auctions.

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.

£(N.Z.)
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.

§ No balance remained in wool retention accounts after 31 January 1957.

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)..
195223,584,77840,429,37926,672,68528,093,000
195324,147,26140,449,82227,630,16321,801,000
195424,815,00039,550,76128,387,86816,174,000
195524,530,00040,276,65228,230,36010,226,000
195628,678,77840,681,00028,991,0003,798,000§
1957 (estimated)16,503,00041,000,00029,751,000..

SUBSIDIES.—During the war and post-war period the Government implemented a policy of stabilizing internal price levels at the level of those prevailing in December 1942. For the effective operation of this policy a system of Government subsidies was 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 shows the amounts of subsidy payments for the year 1942-43 and the last eight years.

£(000)
Subsidy PaymentsYear Ended 31 March
194319511952195319541955195619571958

* 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.

§ The subsidy on the carriage of lime is not now charged to the Farm Industry Stabilization Account, but is charged to Agriculture Department vote.

∥ Transport of citrus fruits.

Shipping, transport, and incidental27731,106381..........
Coal production and distribution3564879100..........
Primary production1,3158741,0546344955594853§2
Essential clothing and foodstuffs—..................
Clothing..2,3061,3571504........
Dairy produce..3,3695,8247,6608,6887,9087,8528,8808,849
Other*1,27113964213313621....
Wheat and flour5832,0004,4634,8265,0003,9003,0033,0033,600
Miscellaneous121116938943231420464465479
Total subsidies, gross (March year)3,6739,36415,31514,71514,45112,92311,82512,35112,930
Less recoveries from farm industry stabilization accounts (July year)413672626365365366549....
Subsidies, net3,2608,69214,68914,35014,08612,55711,27612,35112,930

The general position is that stabilization subsidies increased up to 1947 as import prices and wages rose. The full increase in costs above basic level (mainly 15 December 1942) was not always covered by subsidy. In most cases a part of the increased cost 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 million, 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 million, 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 million.

In spite of the removal in 1947 of total subsidies of over £12 million a year, the cost of the remaining subsidies had risen to a level of over £17 million a year by 1950. The Government therefore removed subsidies in May 1950 amounting to £12 million 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 million. 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 1958.

 s. d. 
Butter0 11.1per lb.
Milk0 3.9per quart.
Bread0 3.9per 2 lb. loaf.
Flour4 11.3per 25 lb. bag.
Gas2 0per 1,000 cubic feet sold.
Eggs0 4per 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 1950 by farm holdings of one acre and over situated outside borough boundaries, 32,000,000 acres represented sheep farming and beef cattle raising holdings and 6,000,000 acres dairy farming holdings. At 31 January 1957 sown pastures covered 18,000,000 acres, and areas of tussock and other native grasses a further 13,000,000 acres. These grasslands support over 5,800,000 cattle (of which 1,998,000 are dairy cows in milk) and over 42,300,000 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 250,000 acres, and green fodder and root crops for winter and summer supplementary feed for stock, 700,000 acres. In addition, a further 100,000 acres were sown under wheat, oats, barley, and maize for the purposes of green fodder, or chaff, hay, and silage. 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 recent years. This treatment of country otherwise inaccessible to normal top-dressing methods is resulting 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 102,000 electric motors, which is 73 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 85 per cent of the total dairy stock 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 59 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 the Hastings district of Hawke's Bay, which is also the largest contributor 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 (apples and pears) 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 90 per cent of New Zealand's wheat, oats, and 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. Because of the dry summers and relatively severe winters considerable areas (approximately three-quarters 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 2,000 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 1,000 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 area.

DAIRY PRODUCTION—Total production of butterfat during the 1956-57 season is estimated to have amounted to 525,000,000 lb., a drop of 1 per cent below the previous season's total o 531,000,000 lb. The yield per cow in milk is estimated to have been 262 lb., which is 2 lb. less than the yield of 264 lb. in 1955-56.

The quantity of butterfat used for manufacturing purposes in 1956-57 is estimated at 459,000,000 lb., compared with 465,000,000 lb. processed by factories during 1955-56 and 472,000,000 lb. processed during the record season of 1952-53.

Variations over the last ten 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

* Not available.

† Provisional.

 Million lb,(000)lb.
1947-484181,714241
1948-494571,747259
1949-504711,850252
1950-514971,898260
1951-525051,906263
1952-535391,962273
1953-545011,999250
1954-555091,995254
1955-56531*264
1956-575251,998262

The next table shows the estimated production and disposal of butterfat during each of the last five seasons.

Million lb.
1952-531953-541954-551955-561956-57*

* Provisional.

† Including residual fat in skim milk from home separation.

Butterfat used in—
        Creamery buttermaking363.5333.3344.6370.5367.0
        Cheesemaking95.992.691.086.384.0
        Other milk products12.98.77.98.28.0
                Total used in manufacture472.3434.6443.5465.0459.0
Human consumption—
        Milk and cream as such and for manufacture of ice-cream42.743.343.544.645.6
        Farm butter3.73.33.12.81.8
Fed to stock14.714.714.013.213.1
Wastage5.35.05.05.35.2
                Total production538.7500.9509.1530.9524.7

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
1952-531953-541954-551955-561956-57*
* Provisional.
Butterfat received into factories from farms and used for—     
        Buttermaking77.276.977.879.780.0
        Cheesemaking20.421.420.518.518.3
        Condensed and dried milk, etc.2.41.71.71.81.7
                Totals100.0100.0100.0100.0100.0

Manufacture of both creamery butter and cheese showed a slight decrease during the 1956-57 season. Manufacture of condensed- and whole-milk products rose, however, reversing the downward trend of the preceding four years. Production of skim-milk powder increased by 15,300 tons, or 43.3 per cent, over 1955-56 and reached a record weight of 50,600 tons.

Production by dairy factories during the last five seasons is set out in the following table.

Tons (000)
1952-531953-541954-551955-561956-57
Creamery butter197.2180.5186.7200.0198.2
Whey butter3.33.23.13.03.0
Cheese107.1103.4102.296.394.6
Condensed and powdered whole milk28.316.916.714.715.5
Skim-milk powder38.739.831.235.350.6
Buttermilk powder5.46.29.712.514.1
Casein7.18.311.314.613.8

The actual increases in the volume of production are shown in the next table, in which the above details are converted to index numbers based on the 1992-48 season (=100).

1952-531953-541954-551955-561956-57
Butterfat in milk and cream processed132121124130128
Creamery butter132121125134133
Whey butter132128124120120
Cheese124120118111109
Condensed and powdered whole milk16297968489
Skim-milk powder317327256289415
Buttermilk powder4184757489631,084
Casein158185252324307

The following diagram shows the progress of the dairy industry during the last fifty-two years, and also illustrates the disparity between the growth in the number of dairy cows and that of pigs.

The New Zealand Dairy Board of eight members has had its principal functions defined in the Dairy Board Act 1953 in the following terms: “to promote and organize the orderly development of the dairy, bobby calf, and pig industries with a view to maintaining and improving the standard of quality of the stock or produce derived from those industries, and expanding production of that stock or produce, and generally for ensuring, as far as may be practicable, the adoption of measures and practices designed to promote greater efficiency in those industries, in furtherance of he interests and welfare of the persons engaged therein”.

The Board is financed by a levy on dairy produce. It shares with the Government the management and finance of the Dairy Research Institute, and with the Government, the New Zealand Meat Producers Board, and the New Zealand Wool Board the control of the Veterinary Services Council.

The Dairy Board is also represented on the Meat Producers Board, the Pig producers Council, the Bobby Calf Pools Central Executive, the Dairy Factory Managers Registration Board, and on a committee which examines improvements in manufacture.

The Dairy Industry Act 1908 with its amendments, regulates the production, collection, treatment, preparation, and manufacture, under proper sanitary conditions, of daily 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.

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.

The Co-operative Dairy Companies Act 1949 provides for the registration of co-operative dairy companies.

MEAT PRODUCTION AND DISPOSAL.—Meat production for the seasons ended September 1957 and 1956 shows the total carcase weight of meat to be 669,100 (provisional) and 670,000 tons respectively. The following table shows in summary form production and disposal of meat for the years 1951-52 to 1955-56. Carcase meat is shown at bone-in weight.

Thousand Tons
1951-521952-531953-541954-551955-56
Production
Beef173.2161.3178.1202.1224.8
Veal18.920.720.723.424.8
Mutton153.7145.0129.4137.9141.0
Lamb194.1187.5198.4208.0210.7
Pig meat—
        Porker12.613.318.814.414.3
        Baconer24.425.716.821.923.3
        Chopper1.92.02.12.52.8
Total carcase meat578.8555.5564.4610.2641.6
Edible offal23.422.524.227.028.4
                Total production602.2578.0588.6637.2670.0
Disposal
Exports to United Kingdom334.5315.8304.6398.8428.2
Other exports34.233.044.7
Ships' stores
For canning30.534.533.319.818.3
Local consumption203.0194.7205.9218.5223.4
                Total production602.2578.0588.6637.2670.0

Meat consumed in New Zealand during 1955-56 represented approximately 34 per cent of total production. The total consumption per head at 232.5 lb. is an increase of 5.5 lb. per head over the previous year (2.4 per cent). The figures in the next table give actual consumption during the years ended 30 September, by classes of meat.

Total ConsumptionConsumption Per Head of Population
1953-541954-551955-561953-541954-551955-56
 Thousand Tonslb.
Beef95.595.2101.0102.6100.2104.2
Veal5.45.85.95.86.16.0
Mutton62.167.469.366.871.071.5
Lamb7.98.88.48.59.28.7
Pig meat—
        Porker8.710.610.49.411.210.7
        Baconer14.917.719.416.018.620.0
        Chopper1.81.82.11.91.92.2
Total carcase meat196.4207.3216.4211.0218.2223.2
Edible offal9.68.49.010.38.89.3
                Grand totals205.9215.7225.4221.3227.0232.5

Details of sources of supply for local consumption in 1955-56 are given in the following table. Figures for meat export works include those for a few bacon works. In the case of local abattoirs and rural slaughterhouses, edible offal has been estimated at 4 per cent of total carcase weight, excluding pig meats.

Tons
Local AbattoirsMeat Export WorksRural SlaughterhousesFarmsTotal
Beef61,12326,99012,157723100,993
Veal3,4932,193741035,863
Mutton28,51323,1634,74012,88569,301
Lamb2,1545,1361241,0108,424
Pig meat—
        Porker5,3834,24644432110,394
        Baconer2,28816,942..13019,360
        Chopper4161,680....2,096
Total carcase meat103,37080,35017,53915,172216,431
Edible offal3,8244,498687..9,009
                Totals107,19484,84818,22615,172225,440

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 SLAUGHTERINGSCarcases (000)
Year Ended 30 SeptemberSheepLambsCattleCalvesPigs
19475,03611,8087281,084633
19484,64512,3757121,174638
19494,83812,3746621,204674
19505,00012,7956931,275677
19514,43311,6946921,311707
19525,92912,4157431,311685
19535,63212,3006521,236740
19545,46713,3247801,330760
19555,73313,9929001,435778
19565,88614,8071,0001,406816
19575,19914,3021,0451,404748

The New Zealand Meat Producers Board was established under the Meat Export Control Act 1921-22. One of the most important functions of the Board has been to regulate shipments to keep up a steady flow of meat to the British market over the twelve months of the year, having regard to the months showing the highest consumption of each class of meat. The powers of the Board were extended by the Meat Export Control Amendment Act and the Board may now out of its funds promote, in such manner as it thinks fit, the sale of meat produced in New Zealand or the improvement of the quality of meat produced in New Zealand.

Meat intended for export from New Zealand is slaughtered at meat export slaughterhouses, of which thirty-six are at present operating. They are licensed annually under the provisions of the Meat Act 1939 and regulations thereunder, which also authorize officers of the Department of Agriculture to carry out inspection of all meat whether for export or for local consumption.

The supervision of grading of meat for export is one of the responsibilities of the New Zealand Meat Producers Board. Grading at each freezing works is carried out, after slaughtering and dressing, by graders employed by the concern operating the freezing works. Supervising graders of the Meat Producers Board are allotted to each group of works to ensure uniformity of grading.

To supply meat for the larger urban centres there are at present forty-two abattoirs operating, the larger ones being organized on the same lines as meat export works, and the supply is augmented by meat drawn from export works. At rural slaughterhouses meat is killed for consumption in small country towns and rural districts. Many farmers, particularly on sheep farms, kill their own meat.

Veal production has developed steadily, mainly as a result of the expansion of the “bobby-calf” trade. Bobby Calf Committees were established in 1938 and are now governed by the Bobby Calf Marketing Regulations 1955 under the control of the Dairy Board. The country is divided into bobby calf pools with a committee for each pool area to regulate and control the marketing of bobby calves.

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 production and export exceed those of Australia as well as of her other competitors 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 13,100,000 lb. Since then local consumption has ranged between 11,000,000 lb. and 13,500,000 lb. In 1956-57 the quantity was 12,000,000 lb.

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 the seasons 1946-47 to 1957-58 inclusive.

Season Ended 30 JuneTotal Wool Production (Greasy Basis)Average Price Per Pound (Greasy Basis)Estimated Value of Total Wool Production
* Provisional.
 lb.(million)d.£(m.)
1947367.017.8327.3
1948362.025.1137.9
1949367.025.8139.5
1950390.037.9861.7
1951390.087.84142.7
1952407.040.1968.2
1953418.046.1980.4
1954426.050.2589.2
1955455.049.6794.2
1956462.046.1988.9
1957491.054.76112.0
1958497.0*41.1685.2*

An analysis of wool sold at New Zealand auctions, according to quality groups, is given in the following table.

Quality Group1952-531953.541954.551955.561956.57
BalesPercentage of Total SalesBalesPercentage of Total SalesBalesPercentage of Total SalesBalesPercentage of Total SalesBalesPercentage of Total Sales
60.64's and up13,0071.414,9111.615,7901.617,5371.719,1741.7
60's10,2531.111,1071.211,2651.110,4961.011,8341.3
58.60's, 58's, and 56.58's91,3619,990,9279.798,2709.996,4579.5101,7979.5
50.56's and 56's102,98711.2116,66112.5132,32613.3127,42212.7131,04112.5
52's60,3056.655,9246.068,5346.968,2216.873,6077.0
50's117,52912.8127,12213.6139,77514.1145,71014.5158,76915.0
48.50's145,75515.9166,23317.8176,47517.7174,37617.3167,43116.0
46.50's and 48's271,06629.5242,26825.9252,99425.4268,59926.7289,88327.5
46.48's90,8059.989,4559.679,7668.079,8087.982,7087.8
46's and lower15,5281.719,5392.120,3112.019,0811.919,4191.7
                Totals918,596100.0934,147100.0995,506100.01,007,707100.01,055,663100.0

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, such as the International Wool Secretariat and the Wool Bureau. It is also represented on the Wool Commission established by the Wool Commission Act 1951. To provide funds for the Board to carry out its functions the Act authorizes 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-growers' 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 6s. per bale at present).

References to the activities of the Wool Commission set up under the Wool Commission Act 1951 are to be found on pages 495 and 498.

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, and Horticulture.

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 are 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 control of noxious weeds and, with the Rabbit Destruction Council through district rabbit boards, in the eradication of rabbits. It also conducts a wool-testing service.

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 its research stations at Wallaceville and Ruakura, an important function of both being the provision of a veterinary diagnostic service. Ruakura is mainly concerned with animal nutrition and breeding, and Wallaceville with disease and diagnostic work.

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 Division has modern laboratories at Auckland and Wallaceville which provide a comprehensive examination of dairy products as a background to its controls of dairy produce quality. The Division is responsible for the registration and licensing of dairy factories, approval of their design, general suitability, and economic justification.

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, and farm engineering and machinery. 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, nurserymen, flower-growers, 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 of Scientific and Industrial Research the Department devotes a large part of its activities to the promotion of agricultural research relating to most phases of agriculture.

The Soil Bureau has already made a survey of New Zealand soils which provides basic information on their most suitable use for agricultural and other purposes. It also undertakes research on the relationship of soil to problems of agriculture, horticulture, and forestry.

The Crop Research Division is concerned with producing new and improved varieties of field and vegetable crops suited for local conditions. Special attention is given to the development of disease resistance.

The Hop and Tobacco Research Stations, both of which are subsidized by the industry, investigate problems relating to the growing of these two crops, while the Fruit Research Division performs a similar function for the whole fruit industry.

The work of the Grasslands Division is directed towards improving the productivity of our pastures by breeding improved varieties of grasses and clovers and investigating the factors affecting their growth.

Closely associated with the Grasslands Division is the Plant Chemistry Division, which undertakes research on plant nutrition and metabolism with special reference to the relationship between pasture quality and animal health and nutrition. Particular attention has been given to investigating the causes and control of bloat.

Farmers, fruitgrowers, and gardeners are assisted by the Plant Diseases Division, which investigates all types of plant diseases, with the object of bringing them under control. The Entomology Division studies New Zealand insects with special reference to those, such as grass-grub, which attack agricultural crops. The Animal Ecology Section investigates the ecology of introduced mammals, such as the rabbit, with the object of discovering more effective methods of control.

The Wheat Research Institute, which like the Tobacco and Hop Research Stations is subsidized by industry, aims at improving the milling and baking qualities of the wheats produced in this country. A moisture-testing service helps farmers to determine when wheat crops are ready for harvesting.

The work of the Botany Division and the Applied Mathematics Laboratory has only an indirect bearing on agriculture. The Botany Division's function is to study all plant life in New Zealand but in doing so it provides basic information of use to other divisions of the Department. The Applied Mathematics Laboratory assists other divisions by advising on the design of experiments so that these yield the maximum information.

Closely associated with the Department are a number of research associations and institutes which undertake research work of importance to agriculture. The Fertilizer Manufacturers Research Association concerns itself with problems relating to the production, distribution, and use of fertilizers, the Woollen Mills Research Association studies all aspects of wool manufacture, while the Dairy Research Institute investigates the production of milk in relation to feeding, breeding, and management of dairy animals and the manufacture of dairy products. It also investigates the design and efficiency of dairy machinery.

The Value of Agricultural Research.—The value of research to agriculture, which is not easy to assess in monetary terms, is reflected in the development of improved and higher yielding varieties of plants, in their more effective handling, and in the control of pests and diseases.

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 raise its per-acre yield of meat and dairy produce. 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.

The Wheat Research Institute has been responsible for improvement in wheat, flour, and bread quality by the breeding of Aotea, Arawa, 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.

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.1954-551955-561956-57
* Refer text of following paragraph.
Carriage of lime523,837*482,285*455,632*
Carriage of fertilizers32,434....
Stock Act: compensation and incidental expenses55,75449,61565,394
Compensation for loss of production from compulsory tuberculosis test36,07032,08638,897
Meat Act: compensation17,79916,15615,203
Grants to Agricultural Colleges175,297190,662215,645
Subsidies to Rabbit Boards425,255419,614500,958
Grants to Rabbit Boards290,000235,000247,000
Cow-testing organizations35,58335,58335,583
Destruction of wild pigs1,2331,6661,448
Destruction of kea163113221
Veterinary Services Council50,00050,00050,000
Nassella Tussock Act: subsidies to Boards20,60522,58027,450
Noxious Weeds Act: subsidies to County Councils and Road Boards22,04124,99327,395
Compensation and incidental expenses to control outbreaks of scrapie disease34,75733,53917,732

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 £365,500 in 1954-55, £472,800 in 1955-56, and £412,966 in 1956-57.

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, after the system of free railage for 100 miles was 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.

Lime usage reached a peak of 1,535,000 tons in 1954, but receded to 1,445,000 tons in 1955 and 1,337,000 in 1956. The main factors in the decline are thought to be the growing use of the trace element molybdenum in partial substitution for heavy liming in some areas, and the unfavourable weather in some areas during the past two years.

The cost of the lime transport assistance scheme has dropped from £523,837 for the year ended 31 March 1955 to £455,632 for 1956-57. This cost is borne by the Meat Industry Account (70 per cent), Dairy Industry Account (15 per cent), and Consolidated Fund (15 per cent), being apportioned between the export and locally consumed portions of farm produce.

For a time there were subsidies on imported phosphatic fertilizers such as basic slag. These were designed to encourage imports when local manufacture of superphosphate was inadequate to meet the demand. For a time also there were payments from the Consolidated Fund to assist in the transport of superphosphate. This arose through the inability of the railway system to handle all the goods offering during the autumn peak season; to relieve the pressure road and water services were utilized for fairly long hauls, and the difference in cost to the farmers between the service thus utilized, and the normal railage charge, was met by the Government. Both these types of payment have now been discontinued and are not likely to be reintroduced.

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, etc. 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.

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 from punch-card machine tabulations has been published separately in the report on the New Zealand Census of Farm Production, 1949-50.

For purposes of fuller analysis of the New Zealand results than is customarily given in Land District tables, counties with some affinity as to farming types, etc., have been regrouped to form what have been designated “Regional Areas”, and certain tables given in Sections 20B and 20C of this volume are set out on this basis. The following sets out in detail the content of these regional areas—

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.

A type classification of farm holdings was also brought into use in 1949-50 and figures, as to the number of holdings of various principal types of farming enterprises, in the several regional areas (each Island separately) are here presented.

Regional AreaPredominant EnterpriseTotal
Sheep FarmingDairy FarmingBeef Cattle RaisingMixed FarmingArable Cropping (Including Grass-seed Production)Horticulture (Including Market Gardens)Poultry KeepingGrazing AreasResidentialOther* and UnspecifiedIdle and Unused

* Including horse raising, 473; plantations, 272; pig raising, 217; timber cutting, 75; and phormium tenax (N.Z. Flax), 22.

† In regional area statements, 95 holdings in the Chatham Islands are excluded from the North Island totals but included in the South Island totals.

Northland7857,31333058868821980487442267012,171
South Auckland7563,5048617229413089317101785,374
Waikato and Hauraki Lowlands8776,936823717528293165113688,675
Cape Colville128849334..234955432681,290
Central Plateau2842,2664419921136931131141203,309
Western Uplands1,3951,149602913537117276773,068
Taranaki4393,9742217..353714417882184,946
East Cape9451,10825107931288110635456533,056
Hawke's Bay1,9877393558966547119941861504,368
Rangitikei1,8201,263291829433010230648283,716
Manawatu1,4132,9904125281856216026857395,268
Castlepoint2742311......217..8326
Wairarapa636661525191017328830101,533
Featherston354489812641435010129501,183
                Totals, North Island12,09333,2648014272922,4227612,2403,4251,2211,33758,283
Nelson5291,014757751806361923682112163,575
Marlborough74039397317696313716456521,827
Westland1374081597..13750111731491,114
North Canterbury59639350796642651610912
Foothills3388315889313640842122803
Canterbury Plains426727141618096989153415152343,049
Christchurch382711017755467875354119401,623
Banks Peninsula271193945255524495622
Mackenzie2871313162..1622812380
South Canterbury2,23288531542948213277378744166666,482
Otago93855834762918076144227102862,450
Central Otago661833186616871189128681,311
Southern3,9081,8368422115137434365771861867,665
Remainder7437....1..1371556194
                Totals, South Island11,1756,5064401,3072,4942,1936911,7343,3031,1621,00232,007
                Totals, New Zealand23,26839,7701,2411,7342,7864,6151,4523,9746,7282,3832,33990,290

FARM MACHINERY.—The results of a full census of farm machinery taken in 1950 have been published in earlier volumes of the Year-Book.

The following table gives details of farm machinery for those items where a comparison is available for the years 1947, 1950 to 1952, 1956, and 1957.

194719501951195219561957

* Not available.

† This item covers only those machines actually used for threshing wheat or oats during the year specified.

‡ Estimates, 1953, 52,495; 1954, 55,623; and 1955, 62,137.

Milking machines32,59636,36837,20437,563*38,764
Cream separators48,19454,421****
Shearing machines—      
        Plants14,56418,79119,47320,810*26,592
        Stands33,90740,53642,29844,472**
Agricultural tractors21,15634,91840,31045,73466,47871,456
Rotary hoes and garden tractors1,6463,0933,8124,38010,459*
Electric motors82,721110,683116,549123,439*139,080
Internal-combustion engines23,10929,92629,04629,052**
Threshing machines1,6411,9002,2181,965**

The figures show 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 later years. Particularly noticeable are the increases in agricultural tractors and electric motors.

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, 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.

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 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 62,137 in 1955, whereas the total number of horses fell from 173,922 to an estimated 147,063.

The number of holdings on which tractors were located in 1952 was 38,434 out of a total of 90,288, whereas horses (excluding “thoroughbred or other”) 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.

The 6,046 cases in 1952, in which there were more than one tractor on the farm, were made up as follows: two tractors, 5,110; three, 720; four, 157; five or more, 59.

In 1952, of the 45,734 agricultural tractors, 35,954 (78.6 per cent) were classified as petrol driven, 5,282 (11.5 per cent) as kerosene (paraffin) fuel, and 4,498 (9.8 per cent) as diesel fuel. In 1950, of the 26,318 (75.4 per cent) petrol driven tractors, 24,524 were stated as wheel tractors and 1,794 as crawler. Of the 6,076 (17.4 per cent) kerosene (paraffin) fuel tractors 5,423 were wheel and 653 were crawler, while in the diesel group of 2,524 (7.2 per cent), 1,217 were wheel and 1,307 were of the crawler type.

At 31 January 1957, of the 71,456 tractors on farms, 17,511 (24.5 per cent) were diesel and 53,945 (75.5 per cent) were petrol (or kerosene) fuel tractors. A further subdivision of these two fuel types showed 5,264 (7.4 per cent) diesel crawler and 12,247 (17.1 per cent) diesel wheel tractors. In the petrol (or kerosene) fuel group there were 4,833 (6.8 per cent) crawler and 49,112 (68.7 per cent) wheel type tractors.

Threshing Machines.—Information last collected in 1952 in conjunction with the monthly threshing returns showed 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 threshed over 95 per cent of the wheat area and over 80 per cent of the area of oats threshed for grain in 1952.

20 B—CROPS

ALTHOUGH 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, apart from tropical and sub-tropical products such as tea, sugar, cotton, etc., are satisfied internally, though in recent years an increasing proportion of wheat requirements has been imported.

Home requirements of all the important fruits and berries grown in temperate zones are met 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 meeting 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. Local supplies of potatoes are not always adequate, and in some recent years production has fluctuated, with a surplus in one year and perhaps a shortage in the next. The production of onions has been more than sufficient for local requirements of recent years. 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 an expanding population are supplied from New Zealand production.

Coincident with the growth in livestock numbers, there has been a considerable increase in areas sown for supplementary fodders. Animals can be grazed in open pasture for the full twelve months of the year, but 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 stock food to a very minor extent only.

Hay and silage 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 silage, 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 1956-57, 58 per cent of New Zealand's wheat yield, 45 per cent of the oats threshed, and 74 per cent of the barley yield. Maize growing is largely confined to certain portions of the South Auckland and Gisborne districts. The growing of peas for threshing 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 1956-57, 64 per cent of the area closed off for production of grass seed was in Canterbury district. The Canterbury district also produces a large proportion of the commercial potato crop, followed by Wellington, while the growing of potatoes for the early market is of importance in a few frost-free areas, particularly Pukekohe, near Auckland.

Commercial orchards in New Zealand are largely confined to certain areas suited by climatic and soil conditions. 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 Auckland and Hawke's Bay, and to a lesser extent in South Auckland. Tobacco growing is confined to the Nelson district, hop growing also being 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 Area*Principally Arable CroppingArable CroppingSpecial Cropping UnitsGrass Seed ProductionOther Arable HoldingsTotal Number of Arable Holdings
With SheepWith DairyingWith BeefWith Horse RaisingWith PoultryWith HorticultureWith Mixed Farming
* For details of counties included see pages 520-21.
North Island 
Northland7..1................8
South Auckland1..1................2
Waikato and Hauraki Lowlands....1................1
Cape Colville........................
Central Plateau6..2........1......9
Western Uplands1....................1
Taranaki........................
East Cape6873....6..5..4..93
Hawke's Bay62321....11120596
Rangitikei1192........331..29
Manawatu1622........132228
Castlepoint........................
Wairarapa1111........213..19
Featherston312................6
                Totals18623171..61138307292
South Island
Nelson2432........5..12551
Marlborough584073....223..3013176
Westland........................
North Canterbury1350..........5..7479
Foothills26317........12..11289
Canterbury Plains31728158..26..9081532809
Christchurch5246......3422275
Banks Peninsula21..........1..1..5
Mackenzie371..........14..16
South Canterbury24945156..13..11544227948
Otago1281........3..3229
Central Otago2131..........2..8466
Southern242542......4..848151
                Totals801932142539526415219992,494
                N.Z. totals98795515963156277232491062,786

Opportunity was taken to collect the 1955-56 farm statistics in conjunction with the Population Census taken at 17 April 1956. This was the first full coverage of farms since the 1952 collection carried out under the previous system employing police as sub-enumerators, the intervening years 1953-55 having been based on a stratified random sample of farms. The 1956 Census was designed to give information on certain major items only from a condensed questionnaire, and at the same time provide a full list of farms from which to collect the usual detailed information for 1956 57. The 1956 Census was also to provide the basis for the institution of an area-unit farm sample.

Certain of the data generally published are not therefore available in detailed form for 1955-56, but major items are given wherever possible, followed by full statistics for 1956-57. Estimates have been made of areas of wheat, oat, barley, pea, and potato crops for the 1957-58 season, in addition to yield estimates for wheat, oat, and barley crops threshed, these being based on field reports made by officers of the Department of Agriculture.

The area devoted to each of the principal crops in the 1956-57 season and the percentage area in each land district are given in the following table.

Name of CropAreaLand District Percentages
AcresNorth AucklandSouth AucklandGisborneHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtagoSouthland
For threshing—
        Wheat65,7430.080.020.020.870.046.142.020.15..62.4016.2312.03
        Oats56,496..0.030.040.290.021.161.040.16..56.3914.3726.50
        Barley59,7760.020.200.671.960.018.883.553.62..73.896.570.63
        Maize5,4864.8722.9967.534.080.070.290.04......0.13..
        Peas24,7590.080.030.402.73..12.2819.560.36..54.815.724.03
For chaff, hay, or silage—
        Oats26,4512.467.010.671.734.116.231.761.840.5729.5325.6918.40
        Grasses, clovers920,34112.1635.331.722.8810.128.401.151.700.5412.995.487.53
        Lucerne137,9080.608.360.513.540.682.463.101.420.0251.3622.645.31
Green fodder—
        Oats53,3720.721.860.212.620.974.945.491.930.5858.9517.374.36
        Rape147,5320.401.010.234.770.114.172.310.690.2147.9426.1612.00
        Kale (including chou moellier)122,3872.7811.140.4616.784.1126.940.741.020.0513.1810.5612.24
Wheat, barley, and maize for chaff, hay, silage, or green fodder16,9556.3314.812.807.242.5713.626.121.000.1226.9514.803.64
Root crops—
        Swedes179,5992.0915.060.381.493.205.900.460.950.739.1821.9338.63
        Turnips223,9233.5511.130.382.601.035.270.951.630.9345.6913.2213.62
        Turnips and rape40,4300.341.940.091.860.052.661.660.82..22.1919.9348.46
        Potatoes22,51910.135.771.875.861.1417.880.912.420.0441.887.504.60
Grasses, clovers, and lucerne for seed274,6430.170.290.564.010.052.704.201.21..63.7512.0411.02
Orchards19,94420.129.082.4318.910.322.422.6519.270.056.3518.070.33
Market gardens13,52929.605.823.339.360.7818.450.749.440.0613.788.400.24
Vegetable crops for processing8,9877.733.7811.5742.830.020.920.0612.250.0215.015.410.40

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.

lb.
ProduceWeight of BushelFruitWeight of Bushel
Wheat60Apples40
Oats40Pears38
Barley50Quinces40
Maize56Peaches42
Peas60Nectarines42
Ryecorn56Apricots42
Beans65Plums42
Grass seed20Cherries42
 Oranges42-43
 Lemons (uncured)42

AREA UNDER CULTIVATION.—A general summary of the areas under cultivation during each of the last ten years for which figures are available 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.

Acres
YearPasture Land*Field CropsPlantationsOrchardsLying FallowOther Cultivated LandTotal Cultivated Land

* Excluding areas of grasses and clovers cut for seed, hay, or silage, which have been included in field crops.

† Not available.

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
1954-5516,557,8192,141,623962,59221,998161,201116,13619,961,369
1955-56..............
1956-5716,346,7492,427,189915,13219,944163,60497,01719,969,635

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 following table shows the areas under each of the principal field crops for the years 1951-52 to 1956-57.

Acres
Crop1951-521952-531953-541954-551955-561956-57

* Including turnips and rape mixed.

† Excluding wheat, oats, barley, maize, and peas fed off.

‡ Not available.

§ Included under “other crops”.

∥ Rape, kale, and chou moellier only.

Wheat91,837135,736115,875108,61768,315
Oats126,093120,87875,681101,742136,319
Barley54,63769,28875,09452,29169,206
Maize10,3389,4218,5038,26710,439
Peas for threshing24,37927,26530,88929,50625,23924,759
Linseed24,43721,3852,8227,741§
Linen flax1,8691,5251,886304555700
Potatoes13,27618,30521,65121,37317,66522,519
Turnips and swedes*398,072424,887474,966504,728443,952
Mangolds2,0692,0052,0102,052§
Onions1,1351,4051,2981,6161,4421,363
Tobacco3,1523,1683,1013,104§
Green fodder280,104277,012309,643306,258269,919
Grasses, clovers, and lucerne for seed196,378123,467153,910189,187274,643
Grasses and clovers for hay or silage742,072783,570680,523691,6621,001,371920,341
      
Lucerne for hay or silage78,90793,57089,09793,958137,908 
Other crops14,15518,28313,72919,21746,806
                Totals2,062,9102,131,1702,060,6782,141,6232,427,189

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. A considerable portion of the area under cereal crops, particularly oats, is cut for chaff, hay, or silage, 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 recent years are set out in the following table.

YearWheatOatsBarleyMaizePeas

* Estimated.

† Not available.

Areas for Threshing (Acres)
1950-51144,76335,80846,1546,11921,701
1951-5289,95545,56146,0646,44924,379
1952-53127,22549,08755,3345,97327,265
1953-54113,81320,52968,4794,06230,889
1954-55103,98931,16441,6743,15429,506
1955-5668,47942,16849,19525,239
1956-5765,74356,49659,7765,48624,759
1957-58*67,00027,00059,00034,000
Total Yields
 BushelsBushelsBushelsBushelsBushels
1950-516,271,9281,827,9531,902,432362,533625,784
1951-523,890,1672,469,5302,182,175381,835730,288
1952-534,525,2982,385,1292,139,886349,194614,417
1953-544,783,227945,3863,335,399259,248953,749
1954-554,113,4441,602,0581,991,875201,913885,432
1955-562,658,4281,947,4042,031,526634,846
1956-572,950,2732,888,3102,854,592313,486845,644
1957-58*3,000,0001,400,0003,000,000
Yields Per Acre
 BushelsBushelsBushelsBushelsBushels
1950-5143.3351.0541.2259.2528.84
1951-5243.2554.2047.3759.2129.96
1952-5335.5748.5938.6758.4622.54
1953-5442.0346.0548.7163.8230.88
1954-5539.5651.4147.8064.0230.01
1955-5638.8246.1841.3025.15
1956-5744.8851.1247.7557.1434.16
1957-58*44.0050.0050.00

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 in the last year of full enumeration, 1951-52, was 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.—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.

Other new varieties released have been Hilgendorf (1947), Yielder (1948) and Arawa (1957). Tests of flour from commercial crops over the past six years have confirmed the outstanding baking quality of Hilgendorf wheat. In an endeavour to encourage the growing of this variety, and so help to bring about an improvement in flour and bread quality, a premium has been payable to farmers of one shilling per bushel on all crops of Hilgendorf wheat handled by the Wheat Committee. The premium has been further increased to two shillings per bushel from the 1956-57 season.

A further new variety named Aotea has been developed as a new general-purpose variety to replace Cross 7. Aotea, which has considerably out-yielded Cross 7 on trials, as well as having other improved qualities, is expected to be available for the 1959-60 season.

Appreciable increases occurred in the production of wheat in the four seasons 1939-40 to 1942-43, but after that there was an irregular decline in sowings until the season 1951-52, when only 89,955 acres were harvested. Some temporary improvement occurred up to 1954-55, but record low figures of 68,479 acres and 65,743 acres were recorded in 1955-56 and 1956-57 respectively. It is estimated that 67,000 acres will be threshed in 1957-58.

With an immediate target of 150,000 acres the Government has undertaken to increase the price of wheat grown in the South Island by 2s. a bushel and in the North Island by 6d. a bushel for the 1958-59 season. This is an attempt to reduce the steadily increasing wheat imports over the past two years.

The following diagram shows the fluctuations that have occurred in the area sown in wheat during the last thirty seasons, 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 13 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 3,780,000 bushels, while imports over the same period have risen to an annual average of 8,000,000 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 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. Since then the newer varieties Hilgendorf, Yielder, and Arawa, already mentioned, have established themselves, probably at the expense of Cross 7.

OATS.—The area under oats has continued to decline fairly steadily, the greatest decrease being in oats for chaff, hay, and silage. This decline is parallel with the replacement of horses by machinery. During the five years 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 five years (1950-55) the comparable figures are 111,598 acres and 29.4 per cent. Taking the same two 5-yearly periods the average area under oats for chaff, etc., has declined by 59 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 46 and just over 54 bushels, depending on seasonal conditions.

The total yield, comparing the average per season for the five years 1948-52 with the average per season for the five years 1953-57, shows, in the case of oats threshed for grain, etc., a decrease of 28 per cent, mainly accounted for by a particularly heavy fall in acreage sown in 1953-54.

It is estimated that some 27,000 acres will yield an expected 1,400,000 bushels for 1957-58 based on a pre-harvest estimated yield of 50 bushels per acre.

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. Since then harvestings have fluctuated considerably from year to year. 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. This was followed by a sharp fall in the 1954-55 season, when 41,674 acres were threshed for a yield of 1,991,875 bushels. However, the area threshed has continued to build up again, some 49,195 acres being harvested in 1955-56 and 59,776 acres in 1956-57.

Of the total area grown, 86 per cent was threshed for grain in 1957, the remaining 14 per cent being used for stock fodder (mostly feeding off).

Malting varieties normally account for over 80 per cent of the area sown in barley.

The area for threshing in 1957-58 is estimated at 59,000 acres, and, if pre-harvest yield estimates are correct, some 3,000,000 bushels can be expected.

PEAS.—The area of peas for threshing has fallen considerably since the peak of 50,000 acres averaged over the three seasons 1946-47 to 1948-49, the average area for the last five years being 27,532 acres. From information last collected in 1951 it was then estimated that nearly 50 per cent of the threshed crop consisted of Maple (Partridge) peas while over 40 per cent were garden varieties. There have been fluctuations 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. Over the last five years exports have averaged 457,000 bushels annually.

The foregoing figures exclude green peas grown for market or for processing (e.g., canning and quick freeze). Apart from a large local consumption of quick-frozen peas and canned peas, New Zealand also exports large quantities of canned peas to the United Kingdom. In 1956 a peak total of 9,684,687 lb. was exported, the bulk of which went to that destination. Since 1953 an annual average of 7,690,000 lb. has been exported. Peas are also being exported frozen but these are classified under frozen vegetables.

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.

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 7,004 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. Plantings at 21,373 acres were well maintained in the 1954-55 season, although average yields were somewhat smaller at 6.74 tons per acre, giving a total yield of 144,158 tons. A further drop in acreage followed in 1955-56 when 17,665 acres were harvested, but the crop area has been stabilized again with 22,519 acres being recorded in 1956-57.

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 30s. 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.

For the 1957-58 season the Board has undertaken to compensate contract growers for any declared unsold F.A.Q. grade contract produce held by growers at the end of the season. The amount involved varies according to varieties from £14 to £17 per ton in the South Island and £16 to £19 per ton in the North Island. These amounts need not necessarily apply to any other season, the rates for 1957-58 being conditioned by the lower level of seed potato prices compared with the previous year.

Figures for area and yield of potatoes for the last five years are as follows.

YearAreaTotal YieldYield Per Acre
 AcresTonsTons
1952-5318,30594,6525.17
1953-5421,651155,9427.20
1954-5521,373144,1586.74
1955-5617,665100,6775.70
1956-5722,519145,2476.45

The estimated area for 1957-58 is placed at 21,000 acres. No advance estimates of yield are available.

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 1.14 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 years 1952-53 to 1956-57 are as follows.

YearAreaTotal YieldYield Per Acre
 AcresTonsTons
1952-531,40512,5108.90
1953-541,29811,1308.57
1954-551,61614,9529.25
1955-561,44213,4169.30
1956-571,36313,5739.96

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 insignificant quantities of onions have been imported into New Zealand for some years, while over the last five years exports have averaged over 2,000 tons annually.

LINSEED.—The area under this crop has fluctuated considerably over a long period. The highest level of 24,437 acres was reached in 1951-52. Reduced world prices, among other factors, led to a sharp contraction in the area planted in the 1953-54 season, only 2,822 acres being sown. This area gave a yield of 29,022 cwt. of seed at an average of 10.28 cwt. per acre. There was a partial recovery in the 1954-55 season, when 7,741 acres were harvested for a total yield of 77,588 cwt. Because of falling overseas prices the sole processing plant for linseed oil at Dunedin closed down at the end of 1954, but all contracts with growers for the 1954-55 season were honoured and all seed produced in the 1955 harvest was exported. The 1955-56 acreage was considered to be heavily reduced, with a partial recovery in 1956-57, it being estimated that 1,000 acres were grown in 1955-56 and 3,000 acres in 1956-57.

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 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 silage 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 the years 1951-52 to 1956-57.

Acres
YearChaff, Hay, or SilageGreen 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.

† Not available.

‡ Separate figures not available; these two items totalled 96,778 acres.

§ Rape, kale, and chou moellier only.

∥ Swedes, turnips, and turnips and rape only.

¶ Excludes small areas of other minor fodder crops.

1951-5241,477820,97953,399280,104401,7741,597,733
1952-53*877,140*277,012429,2051,681,061
1953-5423,089769,62045,181309,643478,3821,625,915
1954-5534,126785,62056,810306,258508,6031,691,417
1955-561,001,371
1956-571,058,249269,919§443,9521,868,898

In 1956-57 grasses and clovers cut for hay or silage totalled 920,341 acres and lucerne 137,908 acres. Oats was the only cereal crop utilized in any quantity for this purpose, the area of oats cut for chaff, hay, or silage being 26,451 acres. Oats also was the principal cereal crop fed off to stock, amounting to 53,372 acres. The principal green-fodder crops apart from oats are rape (147,532 acres) and kale, including chou moellier (122,387 acres). Swedes and turnips are the principal root crops grown in New Zealand, the total area sown in these crops in 1956-57 being 443,952 acres (including 40,430 acres of turnips and rape mixed).

GRASS SEED.—The total area of grasses, clovers, and lucerne cut for seed during the 1956-57 season was 274,643 acres, as against 189,187 acres in 1954-55. Canterbury, Otago, and Southland land districts between them provided 87 per cent of the area cut in 1956-57.

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. (1955-56 figures are not available).

Acres
Crop1951-521952-531953-541954-551956-57
Ryegrass—
        Perennial49,13628,77033,68150,80479,766
        Italian7,5724,2415,2618,1209,230
        Short-rotation (H1)13,7539,31916,89821,61725,118
Cocksfoot8,9874,2726,2797,1457,923
Chewings fescue15,79114,4378,5879,9885,928
Crested dogstail8,2347,1104,5406,43911,146
Red clover (including cow-grass)14,72412,51917,11820,19727,796
White clover63,51327,75445,06949,48684,466
Other grasses and clovers14,66815,04516,47715,39123,270

Quantities (in dressed weights) of grass and clover seeds treated by machine dressing plants for the last three years are given below.

Type of SeedUnitQuantity
195519561957
Ryegrass—
          PerennialBush.1,001,1191,691,5051,720,056
          Short rotation (H1)Bush.607,118644,566500,469
          Italian (including W. Wolths)Bush.101,505120,267143,328
          Cocksfootlb.885,995844,3761,220,778
          Chewings fescuelb.1,588,923698,765723,768
          Crested dogstaillb.1,057,984654,1791,584,011
          Brown toplb.754,392144,444679,933
          Timothylb.247,217139,047310,873
          White cloverlb.4,606,8524,599,2238,211,317
          Suckling cloverlb.183,248222,770455,553
          Suckling white mixturelb.264,499319,692603,495
          Cowgrass (including broad red clover)lb.1,333,2671,629,9681,576,209
          Montgomery red cloverlb.1,646,142428,828768,343
          Lucernelb.503,847490,878569,953
          Other grasses and cloverslb.141,35380,204211,151

Large quantities of grass and clover seed have been exported during recent years, especially to the United Kingdom, Australia, and the United States of America. 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 1957 there were 17,892,378 acres under artificially sown grasses (including 1,332,892 acres cut for seed, hay, or silage during the season), and in addition 13,253,571 acres of occupied land still remained in tussock or naturally established native grasses, making a total of 31,145,949 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.

Acres
YearArtificially Sown Pasture Grasses*Tussock and Other Naturally Established Native GrassesTotal Area Under Grass*
Cut for Seed, Hay, or SilageNot Cut for Seed, Hay, or Silage

* Includes lucerne.

† Includes approximately 250,000 acres also sown with crops.

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
1954-55974,80716,799,18713,391,85731,165,851
1956-571,332,89216,559,48613,253,57131,145,949

TOP-DRESSING (PASTURE LANDS).—By far the most important characteristic of grassland farming is the use of an annual or semi-annual top-dressing of artificial fertilizers. The chief fertilizer is superphosphate, which is manufactured in New Zealand from imported materials. Agricultural lime, produced locally, is also used in considerable quantities.

Farm production, particularly of pastoral products, is of such importance to the national economy that, whenever necessary, the Government has encouraged farmers to increase their use of fertilizers and lime. A direct subsidy on the price of superphosphate was paid from 1932 until 1947 but then it was discontinued and there are at present no subsidies on artificial fertilizers. Lime transport has been subsidized since 1898, originally under a system of free railage for 100 miles, but since 1947 by a Lime Transport Assistance Scheme, funds for which are contributed by the New Zealand Meat Producers Board (70 per cent), the New Zealand Dairy Board (15 per cent), and the Consolidated Fund (15 per cent).

The farmer is protected in the buying of his fertilizers by the Fertilizers Act 1927. In the registering of a fertilizer the name, the brand under which it is sold, the percentage of fertilizer ingredients, and the analysis have all to be stated.

Top-dressing in New Zealand is carried out mainly on sheep and cattle-grazing areas, including, of course, dairy farms; the North Island, which contains 86 per cent of the total cattle, accounted in 1956-57 for 74 per cent of the area top-dressed.

The following table gives particulars of areas of grassland top-dressed during the five years specified.

Acres
YearGrassland Area Top-dressed
With Artificial Fertilizer OnlyWith Lime OnlyWith Both Artificial Fertilizer and LimeTotal Grassland Top-dressed
* Not available.
1952-534,941,697626,3721,597,8347,165,903
1953-545,377,367531,4091,546,2897,455,065
1954-556,016,738550,4371,673,4508,240,625
1955-56***8,932,515
1956-577,191,188520,9511,457,8139,169,952

Supplies of artificial fertilizer have been coming to hand in greater quantities in recent years and the area top-dressed with artificial fertilizer in 1956-57, including cases where lime also was used, was 8,649,001 acres, an increase of 958,813 acres over the 1954-55 figure.

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, where 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 an 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*
* Excluding boroughs.
Northland3713875143310147688
South Auckland97224224325294
Waikato and Hauraki Lowlands168818161875
Cape Colville10..5..22423
Central Plateau123229..4845211
Western Uplands2..22..25435
Taranaki....71223235
East Cape25749..1838128
Hawke's Bay314122089131187654
Rangitikei8..173111343
Manawatu51138321215185
Wairarapa1..61....210
Featherston2..21822641
Nelson22427532111461806
Marlborough23..2745..3796
Westland1......210..13
North Canterbury....3....3..6
Foothills28........2131
Canterbury Plains9..34458969
Christchurch47..3622735..75546
Banks Peninsula8..12..1..425
Mackenzie....1....1..2
South Canterbury16..7551121247213
Otago88..321513428180
Central Otago118..126..428168
Southern1..72916237
Remainder....1........1
                Totals1,449771,4501832361321,0884,615

GARDENS AND PLANTATIONS.—The acreages for market gardens, plantations, etc., for the five years specified are now shown. Forest Service plantations are covered by these figures. It should be noted that the statistics relate only to holdings of 1 acre or more outside boroughs and include berry-fruit gardens.

The following table has been compiled from Farm Production statistics. Figures for 1955-56 are not available.

Acres
YearMarket Gardens*NurseriesPrivate Gardens, etc.Plantations
* Excluding crops for processing.
1951-5213,5341,27392,942915,835
1952-5315,4891,57192,457949,533
1953-5415,3091,51793,242967,666
1954-5517,7951,52294,727962,592
1956-5713,5292,80580,683915,132

Market Gardens.—The Vegetables Levy Act 1957 provides for the collection of a levy from vegetable growers in respect of the sale of certain vegetables in order to provide funds for the benefit generally of vegetable growers. The following vegetables are covered by the Act; asparagus, beans, beetroot, Brussels sprouts, cabbage, carrot, cauliflower (including broccoli), celery, cucumber, leek, lettuce, marrow, melon (musk, rock, or water), parsnip, peas (excluding any crop harvested for marketing as dried peas), pumpkin, radish, rhubarb, silver beet, spinach, squash, sweet corn, tomatoes. Previously market gardens were registered under the Commercial Gardens Registration Act and at 30 September 1957, 19,733 acres (including gardens within boroughs) were registered. Processing firms are estimated to have used produce from approximately half the total registered acreage to meet the mounting local and export demand for processed vegetable products.

The types and areas of berry fruits according to figures estimated by the Department of Agriculture as at 31 March 1956 are as follows: raspberry, 463 acres; strawberry, 262 acres; black currant, 85 acres; gooseberry, 65 acres; boysenberry, 50 acres; loganberry, 12.5 acres; and red currant, 2 acres. These estimates include those grown in borough areas. The only berry fruit under control is raspberries where local marketing committees have been established in Nelson (since 1940) and in Canterbury and Otago (since 1950), while a Central Council of Raspberry Growers was created by the Raspberry Marketing Regulations 1950.

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 1957 totalled 423.

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.

Home Garden Production.—Home garden production, on which a question was asked for the first time at the 1956 Census, is dealt with in the next table.

Proportion of RequirementsPotatoes GrownOther Vegetables Grown
Number of HouseholdsPer Cent of Total SpecifiedNumber of HouseholdsPer Cent of Total Specified
All48,0848.7345,4988.27
Three-quarter24,2934.4154,3959.88
One-half46,2518.4069,90112.70
One-quarter56,86610.3356,60410.29
Under one-quarter101,28818.40107,32919.50
Nil273,81149.73216,63039.36
Not specified12,459..12,695..
                Totals563,052100.00563,052100.00

Of the 563,052 inhabited permanent private dwellings returned at the 1956 Census, 344,104 were stated to have a garden and 207,106 were stated to have no garden—for the remaining 11,842 cases no information was given.

Of the specified cases, 49.73 per cent of householders did not grow potatoes and 39.36 per cent did not grow other types of vegetables.

ORCHARDS AND THE FRUIT INDUSTRY.—Because of New Zealand's geographic position the climate is varied, and favours the production of a wide variety of fruits. The climate in most parts of Northland, Auckland, Bay of Plenty, and Gisborne is sufficiently mild for the production of citrus and other sub-tropical fruit such as passion fruit, tree tomatoes, and Chinese gooseberries. Central Otago, with its hot summers and severe winters, produces the greater part of the English plums, apricots, and cherries. The main apple- and pear-growing areas are in Nelson, Hawke's Bay, Central Otago, and near Auckland. Peach and plum orchards are similarly distributed.

The area outside borough boundaries returned as under fruit trees was given as 19,944 acres at 31 January 1957.

The Orchard Levy Act 1953 provides for the levying in each year by the New Zealand Fruitgrowers' Federation of an amount not exceeding £2 10s. on occupiers of orchards containing no fewer than 120 fruit trees. The purpose of this levy is for use as required in assisting and developing the industry.

At 31 January 1957 there were 1,900 levied orchards containing tree fruits of the pip, stone citrus, and sub-tropical varieties covering an estimated 15,900 acres. The following table shows the estimated total acreage covered by different-sized orchards paying levy:

AcresAcres
1 to 53,680
6 to 104,060
11 to 152,620
16 to 201,710
21 to 251,110
26 to 501,875
Over 50845
            Total15,900

During 1953 the Department of Agriculture made the first comprehensive field survey of fruit trees in commercial orchards. (It is proposed to carry out a similar survey every five years.) This survey covered all orchards with 100 or more deciduous fruit trees, over 50 citrus trees or over half an acre in berry fruits, grapes, sub-tropical fruits, and mixed orchards of half an acre and over. The Horticulture Division of the Department of Agriculture has supplied the following estimate of numbers of fruit trees of principal kinds in commercial orchards based on 1953 survey figures amended for major changes up to the 1956-57 season: apple, 1,082,400; pear, 137,300; quince, 9,700; peach, 310,000; nectarine, 28,800; apricot, 127,500; plum, 114,300; cherry, 20,000; lemon, 51,000; orange, 38,000; grapefruit, 54,000; mandarin, 9,000.

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 1955 being 1,238 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 1957 show wine production at 500,500 gallons, and the licensed area in wine grapes at 1,048 acres in 152 vineyards.

Apples and Pears.—A summary of the activities of the New Zealand Apple and Pear Board appears on pages 495-6.

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 fruitgrowers to the public.

Bushel Cases
SeasonApplesPearsTotal
19531,014,699363,6001,378,299
19541,436,100322,6001,758,700
19551,443,000397,8001,840,800
19561,482,900359,1001,842,000
19571,388,479349,1181,737,597

The following table shows the quantities of the main varieties of apples and pears marketed in New Zealand by the Apple and Pear Marketing Board and exported to the United Kingdom and elsewhere during the 1956-57 season, together with the total estimated production of each variety. Factories are given authority to purchase fruit for processing direct from the growers.

Bushel Cases
VarietyMarketed in New ZealandExported to United KingdomExported to Other CountriesEstimated Total Production*
* Estimated by Horticulture Division, Department of Agriculture.
Apples—
          Sturmer Pippin279,600367,15556,128831,750
          Delicious239,600124,42342,982469,200
          Jonathan145,900192,70050,757417,900
          Granny Smith168,10096,9367,399366,850
          Cox's Orange Pippin93,400110,446..240,280
          Ballarat Seedling68,20065,5954,257190,200
          Golden Delicious49,20052,76418,881144,570
          Gravenstein69,30037,772 127,350
          Dougherty40,60039,19313,867109,710
          Rome Beauty45,40013,8212,88275,220
          Others189,20083,44317,774385,250
                Totals, apples1,388,5001,184,248214,9273,358,280
Pears—
          Williams' Bon Chretien58,400..1,000175,180
          Winter Cole129,200....140,350
          Winter Nelis67,900....75,260
          Others93,60021,266..154,135
                Totals, pears349,10021,2661,000544,925

Citrus Fruits.—Estimated quantities of citrus fruits marketed in New Zealand by the Citrus Marketing Authority, together with direct sales to the public by citrus growers, are given in the following table.

Bushels
YearGrapefruitLemonsSweet OrangesMandarins and other Citrus Fruits
1950121,600124,00015,700900
1951136,300133,60020,9001,100
1952136,50088,00027,7001,400
1953140,900127,00021,5001,500
1954144,80095,70020,3001,700
1955124,50091,30021,7001,500
1956124,70076,35016,3002,500

Reference to the Citrus Marketing Authority is to be found on page 497.

Sub-tropical Fruits.—Although there is no district in New Zealand where the climate is purely subtropical, parts of the Auckland district are warm enough for a number of sub-tropical fruits to flourish, and several are produced commercially. Notable among these are tree tomatoes, Chinese gooseberries, passion fruit and feijoas. Estimated acreages and production in tons for the Kerikeri, Auckland, Tauranga, and Te Puke districts are: tree tomatoes, 308 acres yielding 695 tons; passion fruit, 60 acres yielding 60 tons; Chinese gooseberries, 128 acres yielding 215 tons; feijoas, 37 acres yielding 28 tons.

HOPS.—According to returns covering holdings of 1 acre or over outside boroughs there were 773 acres under hop vines in the season 1954-55.

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 1955-56 season was 1,239,269 lb., compared with 1,076,300 lb. in the previous year. The 1955-56 yield met all requirements of brewers; in addition 72,880 lb. was packed for local trade and there was an export surplus of 1,203 bales (361,034 lb.), compared with 915 bales (278,316 lb.) in 1954-55.

A Hop Marketing Committee of six members (one Government and five producer) was established by the Hop Marketing Regulations 1939 to regulate and control the marketing either locally or overseas of all hops produced in New Zealand and to assist the industry generally.

TOBACCO.—After the establishment of the Tobacco Board in 1936 production rose from 1,197,161 lb. in 1935-36 to 5,000,470 lb. in 1948-49. Reduced plantings since then have been largely offset by higher yields. 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.
1952-534293,5144,797,267
1953-544013,2124,228,643
1954-554123,0824,135,921
1955-564183,1374,733,086
1956-574163,1384,463,976

The production figures represent the weight of the leaf purchased from growers before redrying. Flue-cured leaf accounted for 99.52 per cent and air-dried leaf for 0.48 per cent of the 1956-57 crop.

Mechanization of the industry on the growing side continues to increase. Picking and tying, however, are still done by hand.

PHORMIUM TENAX.—Certain areas in various parts of New Zealand are covered by natural stands of Phormium tenax (New Zealand flax), once used by the Maoris for many purposes and one of the earliest of this country's exports. Only a small proportion of the natural area is millable but this together with an estimated planted area of about 3,000 acres, produces some 5,000 tons of fibre and tow. The industry provides at least one-third of the local requirements of woolpacks while large supplies of rope were produced during the war. Prior to the war the export trade had diminished on account of competition from Manila hemp and Mexican sisal, and has been discontinued in recent years.

LINEN FLAX.—Investigations into the growing of linen flax in New Zealand were first instituted in 1936. 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 area was increased to 21,067 acres by 1942-43, but with the end of the war fell to approximately 4,500 acres. There has since been a further decrease, the area recorded in 1953-54 being only 1,886 acres.

In 1955 the Linen Flax Corporation decided to concentrate operations in the Geraldine district and much smaller acreages have been grown in the last three seasons: 1955, 304 acres; 1956, 555 acres; and 1957, 700 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 through 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 of New Zealand issued annually by the Department of Statistics. 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 to the 1954-55 seasons farming statistics were based on a sample survey (ratio 1 : 7). In 1956 the opportunity was taken to collect the 1955-56 statistics in conjunction with the population census conducted on 17 April 1956. The 1956 farm census was designed to give information on certain major items only from a very abbreviated questionnaire and also to provide the basis for a change in the type of sample to that of an area-unit sample. Certain of the data usually published are not available in such detail for 1955-56, but major items are given wherever possible, followed by full statistics for 1956-57.

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; breeding ewes and total sheep are as at 30 June.

19531954195519561957

* Includes those in boroughs and on holdings under 1 acre.

† Not available.

Horses158,065158,280147,063139,114129,309
Dairy cows in milk1,962,4921,999,1401,994,7611,997,819
Cattle (including dairy cows)5,445,9635,744,8785,886,7775,808,635
Sheep shorn during season34,794,48935,542,83637,354,58837,868,868
Lambs shorn during season7,111,9008,355,9478,138,8409,022,424
Lambs tailed during season22,162,27023,594,80524,239,18924,921,46425,496,275
Sheep (including lambs)*36,192,93538,010,95439,117,30040,255,48842,382,008
Breeding ewes*23,781,37624,850,53026,186,35827,015,61228,899,470
Pigs (total)627,830648,902681,359602,469
Breeding sows81,16287,10488,96985,46383,905

In the following table figures for livestock other than sheep are given for each land district and Island for the 1956-57 season.

Land DistrictHorsesDairy Cows in MilkTotal CattleBreeding SowsTotal Pigs
North Auckland18,317456,839967,98721,900152,084
South Auckland26,453766,9591,679,72929,821210,843
Gisborne11,20842,565415,4322,27514,659
Hawke's Bay10,87648,962525,0502,01713,796
Taranaki6,931259,958456,9068,26365,570
Wellington20,296225,742966,56810,71276,328
          North Island94,0811,801,0255,011,67274,988533,280
Marlborough2,22814,00672,4439076,827
Nelson1,94735,41290,3672,34219,110
Westland88414,85557,5088256,854
Canterbury13,95364,219261,7823,13023,889
Otago9,06930,320150,1639806,777
Southland7,14737,982164,7007335,732
          South Island35,228196,794796,9638,91769,189
          New Zealand129,3091,997,8195,808,63583,905602,469

The corresponding figures for sheep are now given.

Land DistrictSheep ShornLambs ShornLambs TailedBreeding Ewes*Total Sheep*
* As at 30 June—includes sheep in boroughs.
North Auckland1,576,437542,911986,9021,184,2521,732,442
South Auckland4,619,4181,689,2973,103,3453,766,2965,277,049
Gisborne1,928,090819,981986,5991,320,8972,181,993
Hawke's Bay4,575,5341,694,8972,910,2013,454,6005,150,629
Taranaki873,284313,800599,095673,283952,867
Wellington6,994,5152,640,5034,313,0245,084,7817,799,729
          North Island20,567,2787,701,38912,899,16615,484,10923,094,709
Marlborough1,077,137131,921593,745733,4471,210,548
Nelson450,12861,031245,725318,798504,330
Westland101,09914,74488,31791,598115,470
Canterbury6,428,952513,7444,768,9635,185,5917,305,360
Otago4,617,565258,9893,077,9803,363,1875,157,436
Southland4,626,709340,6063,822,3793,722,7404,994,155
          South Island17,301,5901,321,03512,597,10913,415,36119,287,299
          New Zealand37,868,8689,022,42425,496,27528,899,47042,382,008

The next table shows the percentage distribution of the various kinds of livestock in each land district and Island. The figures reveal that the dairying and beef-production industries are both largely concentrated in the North Island, which has 86 per cent of the total cattle and 90 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 breeding cows two years old and over as a guide to beef production. South Auckland and Wellington Land Districts easily lead with two-fifths of the New Zealand total between them. Hawke's Bay is next, followed by Gisborne and North Auckland in that order. These five districts together depasture 81 per cent of breeding 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. Thus North and South Auckland Land Districts account for 60 per cent of the pig population and Wellington for 13 per cent. Taranaki, however, which is mainly a cheese-producing district, has 13.0 per cent of New Zealand's milking cows, but only 10.9 per cent of the pigs, while Nelson, Westland, and Canterbury, which together have only 5.7 per cent of the cows in milk, have 8.3 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, South Auckland, Otago, Hawke's Bay, and Southland, in that order, these six districts accounting for over 84 per cent of the total sheep population in 1957.

Per Cent
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 lambs tailed during 1956-57, remaining particulars for stock at 31 January 1957.
North Auckland22.8710.2916.6626.1025.2414.164.166.023.87
South Auckland38.3919.8728.9235.5435.0020.4612.2018.7212.17
Gisborne2.1313.737.152.712.438.675.099.093.87
Hawke's Bay2.4516.639.042.402.298.4212.0818.7811.41
Taranaki13.012.847.879.8510.885.362.323.482.35
Wellington11.3020.3816.6412.7712.6715.6918.4829.2716.92
          North Island90.1583.7486.2889.3788.5272.7654.3185.3650.59
Marlborough0.701.861.251.081.131.722.841.462.33
Nelson1.771.211.552.803.171.511.190.690.97
Westland0.741.110.990.981.140.680.270.160.35
Canterbury3.225.234.513.733.9810.7916.975.6918.70
Otago1.523.372.591.171.127.0112.192.8712.07
Southland1.903.482.830.870.955.5312.213.7714.99
South Island9.8516.2613.7210.6311.4827.2445.6914.6449.41

SHEEP.—In each successive year since 1951 new record levels have been reached for both the number of breeding ewes and total sheep.

At 30 June 1957 the number of breeding ewes was 28,899,470 and of total sheep 42,382,008, both these totals setting new record peaks. The increase of 1,883,858 breeding ewes exceeds the previous best numerical increase in 1955 by well over half a million and is the highest percentage increase (6.97) ever recorded in one year, surpassing the previous record established in 1929 when there was a 6.91 per cent increase. The 5.28 per cent increase in total sheep numbers did not reach the 7.07 per cent increase recorded in 1929, but was notable as being the first annual increase of 2 million sheep. Further large increases can be expected with the larger numbers of breeding stock being carried, dry sheep numbers having fallen.

It is interesting to note the increasing proportion of breeding ewes to total sheep. Forty years ago 49 per cent of the total flock numbers were breeding ewes. This proportion had risen to 61.75 per cent by 1937, and to 63.5 per cent by 1947. At 30 June 1957 the proportion just exceeded 68 per cent. These changes in the composition of flocks provide the basis of the greatly increased sheep numbers now being recorded.

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 diversification 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 Area*Principally SheepSheepOther Sheep HoldingsTotal Sheep Farms
With Beef StockWith Dry Dairy StockWith Dairy StockWith CroppingWith PoultryWith HorticultureWith Mixed FarmingNo.Area
* For list of counties included see pages 520-21.
 Acres
Northland4422821234..1..14..785699,643
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..130237401,785,507
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..114102871,476,035
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 total sheep distribution is shown by Islands, the figures including sheep in boroughs.

YearNorth IslandSouth IslandTotal Sheep at 30 June
NumberPer Cent of TotalNumberPer Cent of TotalNumber
195320,407,32456.3815,785,61143.6236,192,935
195421,292,14556.0216,718,80943.9838,010,954
195521,360,99054.6117,756,31045.3939,117,300
195622,131,68854.9818,123,80045.0240,255,488
195723,094,70954.4919,287,29945.5142,382,008

A similar table showing breeding ewe distribution by Islands is now given.

YearNorth IslandSouth IslandTotal Breeding Ewes at 30 June
NumberPer Cent of TotalNumberPer Cent of TotalNumber
195313,097,67955.0710,683,69744.9323,781,376
195413,529,68754.4411,320,84345.5624,850,530
195514,103,93653.8512,082,42246.1526,186,358
195614,607,60654.0712,408,00645.9327,015,612
195715,484,10953.5713,415,36146.4328,899,470

The following table shows the number of rams, wethers, breeding ewes, dry ewes, and lambs in New Zealand for the last six years, together with a broad classification into stud and other groups for the years 1949 to 1952 and 1957. Figures prior to 1951 are at 30 April; from 1951 they are at 30 June. As a result of this change, figures in the “lambs” column as from 1951 should be read as “hoggets”. The hogget total for 1957 includes 234,296 ram, 2,786,005 wether, and 6,998,965 ewe hoggets.

YearRamsWethersBreeding EwesDry EwesLambsTotal
* Change in classification.
Totals
1952632,0862.979,15622,963,340450,7348,358,95435,384,270
1953639,5502,660,76823,781,376444,6248,666,61736,192,935
1954669,0962,719,58924,850,530428,7579,342,98238,010,954
1955702,3062,558,62126,186,358479,1309,190,88539,117,300
1956729,1652,495,28427,015,612477,2719,538,15640,255,488
1957770,7392,261,99428,899,470430,53910,019,26642,382,008
Stud Sheep (Entered in Flock Book)
194912,576 323,7046,966239,379582,625
195012,129 319,0776,249245,369582,824
195111,606 323,4715,774239,660580,511
195212,828 331,1805,937248,485598,430
195717,045 440,6625,503320,569783,779
Sheep of a Distinctive Breed but not Entered in Flock Book
1949559,009953,7465,818,439211,1612,134,2639,676,618
1950568,697982,8436,324,524232,6642,414,33910,523,067
1951588,243910,9774,793,956162,9121,893,5988,349,686
1952*587,5452,393,10517,804,304356,5546,522,33827,663,846
1957720,3301,969,95424,698,756352,0368,503,70736,244,783
Crossbred Sheep
194911,3371,521,66715,357,560417,1155,277,99622,585,675
195013,8561,493,41615,237,866404,5075,601,02222,750,667
195121,5771,768,41517,521,064302,1706,242,96325,856.189
1952*31,713586,0514,827,85688,2431,588,1317,121,994
195733,364292,0403,760,05273,0001,194,9905,353,446

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 1957 classification of breeds shows that of the 42,382,008 sheep in New Zealand 30,264,335 (71.41 per cent) were Romneys and 5,353,446 (12.63 per cent) were crossbreds. The remainder were principally half-bred 2,577,090, Corriedale 2,128,832, Merino 1,021,159, and Southdown 786,040.

The average size of the flocks was 1,022 in 1953, 1,050 in 1954, 1054 in 1955, 1,055 in 1956, and 1092 in 1957. 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 were followed by slight rises, probably as a result of higher wool prices. Over the five-yearly period 1952-57 the average size of flocks increased by 8.33 per cent. A classification according to size for the last five years shows the following position.

Size of Flocks19531954195519561957
1 to 1003,8263,8163,8454,2394,180
101 to 2003,0092,9932,9843,0592,940
201 to 5006,8836,7286,8576,8326,600
501 to 1,0008,7038,8458,9259,1829,136
1,001 to 1,5006,0316,2836,5836,6747,034
1,501 to 2,0002,9623,2363,4563,5383,840
2,001 to 2,5001,4701,6171,7211,7671,996
2,501 to 5,0001,9892,1162,1442,2822,442
5,001 to 7,500349362363375396
7,501 to 10,00093109112111110
10,001 to 20,00010095100100107
20,001 and over89111313
                Total flocks35,42336,20937,10138,17238,794

CATTLE.—The total number of cattle recorded at the enumeration of 1957 was 5,808,635, as against 5,886,777 in 1955. Full details are not available for 1956, and therefore that year has not been included in the table below, particularly as 1957 figures are now available.

 19551957
Dairy stock—
        Breeding bulls, two years old and over58,40855,596
        Cows and heifers, two years old and over—  
            Cows in milk during season1,994,7611,997,819
            Heifers not yet in milk74,41470,892
            Cows not in milk during season, but intended to be used again for dairying39,17938,907
        Heifers—
            One and under two years old432,495352,934
            Under one year old439,298391,348
        Bulls and bull calves under two years old to be used for breeding purposes40,49840,054
                Totals, dairy stock3,079,0532,947,550
Beef stock—
        Breeding bulls, two years old and over30,32832,389
        Breeding cows, two years old and over, not used for breeding112,955103,178
        Cows and heifers, two years old and over978,4901,029,562
        Heifers—
            One and under two years old259,854273,839
            Under one year old302,149315,699
        Steers, two years old and over515,661493,606
        Steers and bulls—
            One and under two years old284,541289,105
            Under one year old323,746323,707
                Totals, beef stock2,807,7242,861,085
                Totals, cattle5,886,7775,808,635

The development of chilled beef shipments to the London market led to a marked increase in beef animals. The trade has expanded rapidly since 1954 and for the 1955-56 season the greater part of the quarter beef exported was chilled.

The breeding of dairy cows increased steadily from 517,720 in 1906 to 1,807,377 in 1935. Since then the numbers have fluctuated, but substantial increases from 1948 onwards led to a peak of 1,999,140 being reached in 1954. Further fluctuation again occurred from 1955 to 1957, with the milestone of 2 million cows in milk still not reached and not immediately likely if the falling away of replacement stock persists.

The following table shows the number of holdings with dairy cows in milk, grouped according to size of herd in milk, for the last five years for which such information is 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 FarmingNo.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..141..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..12....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....14222,287
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).

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 800,802 in 1936. Subsequent years showed substantial decreases in the number of pigs, but from 1948 to 1955 the figures again showed a rising trend. The 1957 figure of 602,469 shows a decrease of 198,333, or 24.8 per cent, as compared with the peak figure of 1936.

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
* Not available.
1951349,509125,88313,89075,053564,335
1952351,921122,13913,91677,747565,723
1953392,872138,99414,80281,162627,830
1954417,992129,03114,77587,104648,902
1955434,400142,24615,74488,969681,359
1956***85,463*
1957 518,564 83,905602,469

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.

HORSES.—The following table includes the latest information available of the number of horses in each class shown, excluding horses in boroughs.

195219531954195519561957
Draught and three-quarter draught57,434158,065158,280147,063139,11432,463
Spring cart (including half-draught)20,300
Hacks and light working horses74,53072,964
Thoroughbred and other horses21,65823,882
                Total horses173,922158,065158,280147,063139,114129,309

Since 1911, when the peak number of 404,000 was recorded, there has been a steady decline in the number of horses in New Zealand. The greater part of the decrease has occurred in draught and three-quarter draught animals, the numbers of which fell from 118,000 in 1942 to 57,000 in 1952, while those described as spring cart (including half-draught) horses fell from 45,000 to 20,000. 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 46,000 as compared with 14,000 in 1942. By 1957 the number of heavy-type horses had fallen to 32,500 while tractors had increased to 71,500. 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 and 1957.

DOGS.—A special collection was made of dog registration statistics for the year ended 31 December 1955 in connection with the problem of hydatids. There were 146,669 dogs registered in counties, of which 96,696 were in the North Island and 49,973 in the South Island. The total number of dogs registered in boroughs was 30,170, in town districts 1,082, and in road districts 218. Unregistered dogs and those up to six months old are not included in these figures.

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 birds 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.

April 1921*145,9933,991,0093,491,567379,98846,23473,220
April 1926*158,8563,781,1453,308,384352,03043,87976,852
March 1936166,3544,019,0763,488,516377,79166,66786,102
September 1945159,3334,470,3664,070,683319,91841,90337,862
April 1951180,7234,199,5903,829,481260,65958,47450,976
April 1956192,7364,485,5714,160,424210,71860,93853,491

The comparability of the foregoing figures is affected by two important considerations, the first being that the 1951 and 1956 figures include only birds aged four months or over, while the 1945 figures cover birds of all ages. At earlier censuses the question was for the number of birds—no reference being made to age. The second factor is that the census of 1945 was 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 192,736 households recorded as keeping poultry at the 1956 census show an increase of 6.6 per cent as compared with the 1951 census. Taking only fowls into consideration, it is found that 173,802 or 91.4 per cent of the households keeping poultry had less than twenty-five birds, the corresponding percentage in 1951 being 89.5. In 12,858 cases in 1956 the number of birds ranged from 25 to 99, making a total of 186,660 cases, or 98.2 per cent, in which the flocks consisted of less than 100 birds. The total number of flocks of fowls was 190,072 in 1956.

Of 521 flocks in which the number of birds was 1,000 or over 402 ranged from 1,000 to 1,999, 79 from 2,000 to 2,999, 25 from 3,000 to 3,999, and 15 exceeded 4,000. In 1951 the number of flocks of 1,000 or over amounted to 366. The average flock in rural districts was 27.3, in urban districts 14.8, and in New Zealand as a whole 21.9 birds.

Poultry farming is confined almost entirely to egg production, but recently greater attention has been paid to table poultry. Most table birds however, are still by-products of commercial egg production. Commercial poultry farms are distributed over both Islands, the largest numbers being concentrated around Auckland, Christchurch, and Oamaru. Duck-egg farming is carried on only to a limited extent and is centred mainly around Auckland. The poultry industry does not cater for overseas markets, though limited quantities of frozen egg pulp, surplus to local requirements, are exported.

Until recent years the most popular breed for egg production was the White Leghorn, still much favoured in the South Island. During the last few years, however, there has been a marked increase in the number of Australorps kept and an ever-growing tendency to cross the White Leghorn with the Australorp. These latter crossbred pullets are responsible for a high percentage of the eggs produced at present. Interest is also being shown in Rhode Island Reds. Khaki Campbell and Runner ducks are mainly used for egg production, while Khaki Campbell, Muscovy, and some Pekin ducks are marketed as table birds. There is little organized turkey production but one or two commercial turkey farms have come into being since the war.

In 1945 the poultry industry, assisted by the Department of Agriculture, established the New Zealand Poultry Flock Improvement Plan, which operates on a voluntary basis. The number of flocks accredited under this plan in 1955 was 166, covering some 110,359 female birds. The Department of Agriculture provides a diagnostic service available to all poultry producers and also operates a poultry demonstration plant where progeny testing and other trials are carried out.

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.

In order to provide finance for the organization and development of the poultry industry, the Poultry-runs Registration Act was passed in 1933 and a Poultry Board constituted of two Government and four producer members. 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. Figures supplied by the Board show that the number of poultry runs registered at 31 May 1957 was 6,808, covering an aggregate of 1,668,219 birds.

Reference to the field covered by the Egg Marketing Authority is given in Section 19 of this Year-Book.

BEES.—The rich pasture lands of New Zealand and some bush areas are particularly favourable for apiculture and the production of high-grade honey for the local and export markets. The estimated production in commercial and domestic apiaries for the year ended 31 March 1957 was 6,400 tons of honey and 224,000 lb. of commercial beeswax, approximately 1,800 tons of honey and 63,000 lb. of beeswax more than the previous year's production.

On the basis of the present population and the annual average production and consumption of honey in New Zealand, approximately 600-1,000 tons of honey, depending on yearly production, may become available for export each year.

Registrations under the Apiaries Act show that at 31 May 1957 there were 5,287 beekeepers with a total of 11,387 apiaries and 177,654 established hives. Following is a summary of these registrations showing beekeepers in groups according to the number of hives kept.

Group1-5 Hives6-29 Hives30-250 Hives251 Hives and Over
Beekeepers3,5351,060454238
Apiaries3,6201,2971,6804,790
Hives established7,66512,15232,706125,131

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 ended 31 December are given below.

 QuantityValue
Yearlb.£
* Provisional.
1952885,59843,412
19531,115,59557,980
19541,896,51895,378
19554,555,931226,963
1956*2,092,032129,513

Reference to the activities of the Honey Marketing Authority is given in Section 19 of this issue.

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 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. 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.—Land in New Zealand was acquired by the Crown during the early days of settlement, except for 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 for much tussock grassland country and for accessible forest areas, but it kept in reserve large 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 more accessible 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 could be taken over for this purpose once the crop of timber had been cut from it. Large 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.

Distribution of Forested Land.—In the days of first European settlement in New Zealand about 70 per cent of the land surface was forested. But now all readily accessible native forests have been cleared, and forested land is reduced to about a quarter of the total land area. Nevertheless, this portion represents a very large area as the following table of land categories shows.

Type of LandArea, in AcresPercentage of Total Land Area
Forested land15,396,00023.2
Non-forested land50,103,00075.5
Minor islands205,0000.3
Water area687,0001.0
          Total land area (including water surfaces)66,391,000100.0

The best use of the 15,400,000 acres of forested land will be decided, within the framework of the forest policy already outlined, by the location, tenure, and economic value of its component parts. It falls into three descriptive classes.

Nearly three-quarters is not commercially exploitable forest and is termed “other land classed as forest”. This includes mostly indigenous forest that is Crown-owned, and, because it covers much of the remoter mountainous and high rainfall country, its primary function is that of soil protection and water regulation. Nevertheless, it also includes considerable areas of potential productive forest land which could, in the distant future, be placed under production management. Such management would always be subordinate to the protective functions of such forest.

Some 5 per cent of the forested area may be classed as “potentially exploitable” forest—forest which, owing to inaccessibility, has not yet been exploited but would be exploitable if such factors as demand and transport become favourable. “Potentially exploitable” forests also lie mainly on Crown land, and are entirely indigenous.

"Fully exploitable" forests are more diverse in tenure and composition than either of the other two classes already mentioned because they contain almost all the planted (exotic) forests, of which nearly half are owned privately or by local authorities. Fully exploitable indigenous forests have receded well in advance of close settlement, and the largest areas are now on Crown lands and Maori lands in regions (especially on the West Coast of the South Island) little suited to other forms of land use. The distribution of exploitable exotic forests has been influenced mainly by the availability of cheap, undeveloped land in the period (1900 to 1935) when most of these forests were established. Hence there is a preponderance of exotic forest (State-owned and private) on the volcanic plateau of the North Island.

The distribution by area of these three classes of forested land in 1955 is shown by the following table.

Acres (000)
Class of ForestState ForestCommunal ForestPrivate ForestTotal ForestPercentage of Total Forest Area

NOTES

1. State forest includes all forest under the control of the State through the New Zealand Forest Service or other Government Departments.

2. Communal forest includes all forest under the control of local (i.e., public) authorities other than the State.

3. Maori forest is included under private forest.

4. Areas of communal and private forests are approximate only.

(a) Exploitable—
          Indigenous1,534..5792,11313.8
          Exotic465374129145.9
                Totals1,999379913,02719.7
(b) Potentially exploitable—
          Indigenous700..1018015.2
          Exotic     
                Totals700..1018015.2
(c) Other land classed as forest—
          Indigenous8,906..2,65011,55675.0
          Exotic12....120.1
                Totals8,918..2,65011,56876.3
(d) Grand totals—
          Indigenous11,140..3,33014,47094.0
          Exotic477374129266.0
                Total forest area11,617373,74215,396100.0

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, as the one gradates to 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 is rimu; the 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 large areas in more accessible regions which have been cut over and are regenerating, or which have not yet been cut over and will be reserved for sustained-yield management. Where southern beech forest is present in the more accessible areas of the North Island and northern Marlborough-Nelson, the species are hard beech (Nothofagus truncata) and black beech (N. solanderi). Red beech (N. fusca) abounds in the less accessible upper areas, where it is usually accompanied by the silver beech (N. menziesii), the main tree at high altitudes. In rather dry places mountain beech (N. cliffortioides) replaces silver beech. On the eastern slopes of the Southern Alps there was once a belt of mountain beech forest, but all except pockets of this has been burnt. 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 esculenm). 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 over ten acres in extent now total 926,000 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.

Most 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 with little plantation, notably Taranaki, Poverty Bay and the East Coast, and South Canterbury.

National Forest Survey.—The National Forest Survey (administered by the Forest Research Institute, Rotorua) was set up in 1946 to make a volumetric record of the indigenous timber resources of the country. The survey was based on a combination of aerial photographs and statistically controlled ground sampling, and was designed also to provide qualitative descriptions of the many vegetation associations in the country's forests.

Field work was completed in 1956, and a report was published in 1957 giving volume statistics of the timber resources according to species, land tenure, and accessibility. This record will be of the utmost value in drawing up New Zealand's long-term indigenous forest policy. It will also provide the basic ecological information necessary for intensive efforts to secure natural regeneration of the more valuable indigenous species.

The survey organization has now been assigned to an inventory of exotic forest resources and to an examination of indigenous protection forests in high country.

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 responsible to Conservators of Forests. Central administration of forest policy is achieved under divisions, each with an Inspector in Charge as principal officer. Six divisions have now 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 (building and road construction, mechanical plant, survey and mapping, fire protection), operations (forest law, accountancy, public relations, staff, etc.), and noxious animals (extermination of certain noxious wild animals).

There are two further divisions not yet fully developed. One, industrial, aims to provide the timber industry with such inspectional and protective facilities as the common interests of producers and consumers require. This division is at present attached to the development division, and includes the timber quarantine and inspection services. The other, public and private forestry, is at present attached to the management division, and aims to provide extension forestry and advisory services to the whole community. Research has been centralized at the Forest Research Institute, Rotorua, and training staff at the Forestry Training Centre, also at Rotorua.

State Forests.—State forests are administered under the authority of the Forests Act 1949. The powers conferred by this Act 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 resulting from mining operations to any land vested in the Crown. 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.—Under the Coal Mines Act 1925 and the Mining Act 1926 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, the Sirex Advisory Committee Regulations 1950, the Forest and Fire Publicity Committee Regulations 1952, and the Waipoua Forest Sanctuary Advisory Committee Regulations 1952.

Other regulations in force are the Sawmill Registration Regulations 1952, the Timber Regulations 1948, the Forest Service Fees and Charges Regulations 1953, and the Forest Produce Import and Export Regulations 1956.

Noxious Animals.—Under the Noxious Animals Act 1956 the Forest Service has the responsibility of controlling and eradicating noxious animals. The Opossum Regulations 1953 continue in force as if they had been made under the Noxious Animals Act 1956 and are now administered by the Forest Service.

The Forest Service, from its knowledge of protection forests, is able to assign priorities to animal-extermination measures, and make effective use of all facilities now available for carrying them out.

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 1955, and the Fire Services Act 1949.

The Forest and Rural Fires Act 1955 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 Minister of Forests is the Fire Authority for practically all unoccupied Crown-owned land outside rural fire districts, while the Soil Conservation and Rivers Control Council is the Fire Authority for each soil conservation district. Rural fire districts, soil conservation districts, most unoccupied Crown-owned land, and urban fire districts are excluded from control by a County Council. Regulations issued under this Act are the Rural Fire Committee Regulations 1949 and the Forest and Rural Fires Regulations 1956, which replace the regulations of 1951.

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 health. 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, among other things, 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.

The kauri forests, now only remnants of vast forests from which timber was first felled in any quantity in New Zealand, are owned principally by the State. The remaining kauri stands show promise of being amenable to sound forestry management. Bleeding for gum, which damaged many trees in the past, is forbidden. The annual cut is strictly rationed. Wherever kauri is felled a portion of the growing stock in young vigorous trees is left as a reserve. Young pole stands are silviculturally treated to free them from competition and enhance growth. Natural regeneration is assisted and encouraged, and planting extends the species on to lands which have not held kauri for generations. A small but regular cut of this valuable species is assured, and forests for the future are being established and cultivated.

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. There are large tracts of virgin forest still intact, and, in the case of red beech, extensive areas 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.

Recreational Aspects of Forestry.—As the population increases and as the cleared land becomes more firmly occupied by agricultural interests, so does the call on the recreational resources of the forests become greater. Week-end hunters head for the forest to shoot deer and pigs; fishermen frequent the streams; trampers wander through the many tracks; and alpinists climb through the forest to the heights above. The Forest Service caters for this demand in popular forests by establishing regular patrols, clearing and maintaining tracks, making camping sites and fireplaces, and (with the help of tramping and alpine clubs) building and maintaining huts and erecting bridges.

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 over the last few years have averaged only some 5,000 acres a year.

In the earlier years the areas selected for planting were often chosen with little consideration for the suitability of the site for tree growing or for 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 Europe being represented as well as many from America and Australia, 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 suited to 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 norther 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 estimated species distribution at 31 March 1956 was as follows:

 Thousand
SpeciesAcres
Radiata pine577
Ponderosa pine93
Corsican pine60
Douglas fir46
Others and mixtures124
Allowance for private land recorded as plantation but of negligible stocking30
        Total930

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 in State forests alone is about 65,000,000 cubic feet. This represents approximately 400,000,000 board feet of timber, or about two-thirds of the current total yearly consumption. New Zealand is thus well on the way to being nationally self-sufficient from State forests; 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: Sixty-five 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 espacement, 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.

Large-scale clear-felling activities in State exotic forests began 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 about 23,000,000 cubic feet annually and is increasing rapidly. Sawlogs account for the greater part of this yield, but many other types of forest produce are included, notably pulpwood, posts, poles, mining timber, fencing materials, and firewood. This diversity of produce permits the utilization of trees of widely varying dimensions, a very necessary condition in operations designed to improve the quality of maturing timber stands. In particular the growing sales of small logs to the Tasman Pulp and Paper Company for the production of chemical and ground woodpulp permits the clearing of much produce previously wasted as unsaleable.

FIRE PROTECTION.—The fire-protection policy of the Forest Service follows from the premise that 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 normally hotter and drier. New Zealand is a mountainous country, and the characteristic high winds and strong sunshine will dry out the forest vegetation on exposed situations even in the heavy-rainfall areas in a remarkably short time.

Although widespread dangerous fire conditions occur only infrequently 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 from drought in a number of native forest species. 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. In 1955 a serious fire occurred in late spring in an exotic forest in Canterbury.

The peculiar 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 as the spectacularly large fires common in some countries. The losses are cumulative because most of our forest species lack the powers to recuperate 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. Unless these protective areas are themselves 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 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 lire-hazard situation in any part of the country is known at the Head Office of the Forest Service in Wellington each day during the fire season (October to April) 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.

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. 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 by the Noxious Animals Division of the Forest Service.

Forest-protection work is co-ordinated through the Department's representation on the Soil Conservation Council and on the thirteen 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 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. Plantings since then are unlikely to have more than kept pace with the acres felled for utilization.

Private and local authority ownership is estimated to account for about 100,000 acres of the above, and it is 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 been extensively used.

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 begun 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 much needed reforms have been introduced; they were made necessary by 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 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
19531,500,000685,000815,000
19541,431,000800,000631,000
19551,510,000723,000787,000
19562,014,0001,156,000858,000
19572,268,000897,0001,371,000

The following table provides a summary of receipts and payments from all sources for the last five financial years.

£
Item1952-531953-541954-551955-561956-57
Receipts
Indigenous forests receipts—
        Timber sales236,769226,629292,881360,081374,067
        Timber royalties and trespass57,41844,44749,38165,29045,778
        Leases, grazing2,3083,1302,8452,1933,100
        Sawmill sites, industrial, etc.3696531,1141,1681,208
        Miscellaneous28,35515,21513,8937,9507,903
Log sales from managed forests197,886189,340190,870202,203192,911
Exotic forests: Poles, posts, firewood, log sales, etc.480,362528,098686,163727,032875,099
Utilization projects—
        Sawn timber754,889839,7571,031,853894,757556,968
        Creosoted products132,281152,201237,216265,869305,986
        Box shooks212,837142,763154,333201,384152,419
        Miscellaneous22,4707,97113,07125,53734,513
Miscellaneous credits37,78347,77548,97643,616115,866
                Totals2,163,7272,197,9792,722,5962,797,0802,665,818
Paymentsa
Allocation of revenue—
        Local authorities55,49051,71855,00161,19871,067
General management charges—
        Salaries535,717610,495686,018749,396881,533
        General expenses192,269227,814239,052252,714559,949
Land purchase42,24328,01713,82221,83241,463
Forestry projects under direct management—
        Exotic1,284,2541,280,9501,166,1731,292,3401,557,254
        Indigenous265,683239,902209,787223,391216,260
Utilization: Sawmill, creosote plant, etc.1,287,0051,152,5921,342,2961,360,8311,080,708
Pulp and papermaking investigations1,36137,607519,410849,102526,136
                Totals3,664,0223,629,0954,231,5594,810,8044,934,370

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 indigenous forests have been subjected to destructive cutting, and, because of the long cycle of reproduction, must from a commercial view-point 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-five years ago almost the whole 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 although the quality of the timber itself was probably equal to any in the world the sawing was inaccurate. The mills in general had a low cutting-capacity and the annual sawn output per mill seldom exceeded 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 in New Zealand, and the primary and original aim 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 it had risen to 42,000,000 board feet. However, almost all 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 more demanding needs.

At the end of the “thirties” the first great step was taken to change sawmilling from a primitive, shiftless 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, and subsequently established another mill of this type at Conical Hill, near Tapanui (Southland). 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, with high-speed gang frames and large bandsaws, have been constructed since the Second World War by private enterprise.

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. Only about half the country's timber requirements now comes from the indigenous forests, and this proportion must inevitably fall 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 modern 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. 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 table below gives the production of rough-sawn timber from 1946 onwards.

Board Feet (Million)
Year Ended 31 MarchSoftwoodsHardwoodsGrand Total
IndigenousExoticTotalIndigenousExoticTotal
NOTE.—Quantities have been rounded to the nearest million board feet. In some cases this rounding off results in a total disagreeing slightly with the total individual items shown in the table.
1926335734210111353
19362493428310..10293
19462269732319322345
194721911233120223354
194826113839929332431
194928016144127330471
195029515244729332478
195130119049232436528
195230223353437441575
195330422953337340573
195428924353237341572
195528528957439442616
195627530558043346626
195727428155638341597

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).

Thousand board feet
SpeciesYear Ended 31 March
19531954195519561957
Rimu and Miro231,564219,234211,020207,613212,498
Matai35,63836,53437,72835,00833,414
Totara14,15914,80214,72712,3569,921
Kahikatea20,64216,27819,00718,29517,311
Beeches17,89216,88118,69020,43318,795
Tawa15,10716,37516,52218,37215,522
Kauri1,4621,2591,496936893
Other indigenous4,0644,7634,4134,5563,700
                Totals, indigenous340,528326,126323,603317,569312,054
Exotic pines222,340235,217281,498297,182273,256
Larch2,4472,1261,1381,5571,393
Eucalypts2,5452,9103,1472,9392,793
Douglas fir2,7283,6124,0103,7884,507
Macrocarpa1,9161,8462,0212,2242,206
Other exotic481410622530658
                Totals, exotic232,457246,121292,436308,220284,813
                Totals (all species)572,985572,247616,039625,789596,867

Details of the 4,358,000 board feet of “other” timber for the year ended 31 March 1957 are as follows.

SpeciesBoard Feet
Hinau731,000
Taraire619,000
Rewarewa602,000
Poplar512,000
Mangeao406,000
Pukatea376,000
Tanekaha300,000
Puriri289,000
Rata140,000
Other383,000
                Total4,358,000

The Pulp and Paper Industry.—The pulp and paper industry in New Zealand has now completed the first stage in the utilization of the big exotic forests on the volcanic plateau of the North Island. The industry consists of five plants, three of which are integrated with sawmilling. The integrated plants are using radiata pine logs from their own or from State exotic forests for pulping operations. There is no pulping of indigenous species.

The main products of the industry are mechanical and chemical woodpulp, newsprint, kraft paper, tissue and light paper, paper board, and building and insulating board.

The following table gives production figures for the past five years.

Tons
Year Ended 31 MarchMechanical PulpChemical PulpNewsprintOther PaperPaper BoardFibre Board
NOTE.—Mechanical pulp includes groundwood pulp and defibrated pulp.
195326,685....6,89516,41618,666
195427,0027,413..11,64515,72919,323
195529,56843,204..22,49417,77920,591
195637,99461,3959,00028,15420,22521,340
195775,897115,42352,70030,83824,73221,415

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. In 1954 Albert E. Reed and Company Ltd. and the Commonwealth Development Finance Company Ltd., of London, took up a substantial interest in the company, and in 1955 new articles of association were adopted. The permanent board now consists of ten directors, three being appointed by the Crown, two by the Tasman Group, two by Albert E. Reed and Company Ltd., and the Commonwealth Development Finance Company Ltd., and two by ordinary shareholders.

After two years of construction the pulpmill and newsprint mill came into production in late 1955 and the sawmill commenced operations early in 1956. The plant is located at Kawerau in the Bay of Plenty and has an annual output available for sale of 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.

A thirty-eight mile rail link between the mill and the forest and the final rail-head at Murupara has been constructed. 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. There is a new 1,230 foot wharf at Mount Maunganui and full port facilities to serve the entire Bay of Plenty, Rotorua, and Putaruru area.

Test borings for geothermal steam to a depth of 1,400 feet at Kawerau have produced steam in sufficient quantity for use in dry kilns and other processes.

Two new towns have been built: the first for mill employees at Kawerau, the second at Murupara for accommodation of logging gangs. Single-men's accommodation is also provided at both towns.

The Kaingaroa Logging Co., Ltd., registered in July 1954, and with headquarters established at Murupara, handles the log supply for the Tasman Pulp and Paper Co., Ltd. Its directorate represents both Government and Tasman interests. The first train-load of logs from the forest was delivered to the mill at Kawerau on 4 April 1955.

The Kinleith Project.—The integrated pulpmill, kraft-paper mill, and sawmill of New Zealand Forest Products, Ltd., is located at Kinleith (near Tokoroa).

This great enterprise, backed by 176,000 acres of radiata pine forests, now has an annual capacity of 25,000 tons of kraft paper, 65,000 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 a town at Tokoroa, four miles from Kinleith, for its 1,500 employees and their families.

Other Developments.—The Whakatane Board Mills Ltd. have commenced operating their second paperboard machine, which will enable the company to increase its annual production to 32,000 tons. A new plant for producing semi-chemical pulp has been installed which, together with the production of mechanical pulp, will make this company self-sufficient for more than 90 per cent of its raw materials.

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., registered with a capital of £300,000, owns a mill making tissue and various lightweight papers adjacent to the Tasman Pulp and Paper Company's plant at Kawerau. The mill has a production of between seven and eight thousand tons annually. It draws pulp, water and steam supplies from the Tasman company.

Plywood and Veneer Manufacture.–Five factories are engaged in the manufacture of plywood, and the total output for the year ended 31 March 1957, when reduced to a uniform basis of 1 3/8 in. thickness, was 37,831,000 square feet. Three other plants produce 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 increasing steadily in importance. Now that the indigenous forests have become 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.

Plywood and Veneer
(a) Production
Year Ended 31 MarchPlywood (3/16 in.)Veneer (3/16 in.)
Thousand Square FeetValueThousand Square FeetValue
Note.—Quantities are shown on a common thickness basis.
 £ £
195330,815778,57519,12182,958
195430,868849,51820,13992,999
195532,699908,71427,060114,868
195635,6601,003,24140,438205,735
195737,8311,129,42949,986199,813
(b) Species and Volume of Logs Used
(Volume in thousand cubic feet)
Year Ended 31 MarchSpeciesTotalValue
RimuMataiKahikateaRadiata PineOther
 £
1953843146127180551,351£ 275,660
1954847156138175211,337285,963
1955879171108163101,331293,276
1956856107167341331,504328,951
195788596163488891,721380,062

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 commercialsized preservative treating plants.

Wood Preservation.—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 nondurable grades and species from both indigenous and exotic forests.

On a per capita basis New Zealand is now by far the world's largest producer of preservative treated timber for building purposes. Published statistics for 1955 give the quantity of preservative treated timber produced per capita as 41 board feet. In the United States of America, the second largest producer, the corresponding figure is 1 board foot. House construction has traditionally been based on the use of heartwood of the indigenous softwoods, having excellent durability, strength, and stability. Where sapwood of these timbers was used extensively, insect borers have been troublesome. Peculiar emphasis on the significance of borer attack led to the progressive adoption of preservative treatment of such wood, as its use became more universal due to the depletion of indigenous resources. The further diminution in supply of both heart and sapwood indigenous softwoods has in turn stimulated the use of exotic conifers for which preservative treatment against both decay and insect attack is justifiable and technically easy.

Much controversy has arisen regarding the effectiveness of various preservatives and types of treatment and the extent to which treated timbers should be used in a building. This controversy has retarded development in new methods of timber preservation and in order to resolve the conflicting opinions, the Government in September 1955 issued the Timber Preservation Regulations under which was set up the Timber Preservation Authority. The main functions of this Authority are to decide what shall be authorized preservative treatments and to establish and administer such inspectoral and advisory service as is necessary, to ensure that treatments are in accordance with its authorizations. Eleven organizations, including five Government Departments, are represented on the Authority and the inspection is done on behalf of the Authority by the New Zealand Forest Service. The Authority has adjudicated on and approved of a number of specifications and methods for timber preservation which were previously the subject of controversy. Further progress in preservation practice, and the use of treated timber will now be accelerated. Treatment of forest thinnings for fence posts, poles, and engineering construction timbers, although carried out on a considerable scale, continues to fall short of demand. Facilities for treating larger quantities of forest produce are being provided.

Collection of statistics on wood preservation was introduced in 1955 and the following tables show the importance of this new industry.

TYPE OF TREATMENTThousand board feet
SpeciesOpen TankDiffusion Impregnation*Pressure ImpregnationTotals
* Mainly boron.
All timbers—1954-55536,98461,48468,520
                    1955-56217,28681,96789,274
                    1956-57..8,82983,79292,621
Species, 1956-57
        Exotics—
            Exotic pines..1,63352,81654,449
            Other....9595
Indigenous—
            Tawa..6,7804,43211,212
            Rimu..17511,39211,568
            Matai..5310,27710,330
            Kahikatea..423,9784,020
            Other..145801946
                Totals..8,82983,79292,621
Pressure ImpregnationThousand board feet
SpeciesCreosoteMulti-salt Water-borne Preservatives
1954-551955-561956-571954-551955-561956-57
Exotics—
        Exotic pines4937623434,42549,09052,583
        Other......176196
Indigenous—
        Tawa......4,2926,2024,432
        Rimu......9,66810,50011,392
        Matai......9,41710,35810,277
        Kahikatea......3,0254,7113,978
        Other......589668801
                Totals4937623461,43581,59083,559

In addition to the above, 970,037 cubic feet of roundwood, such as poles and fencing materials, was treated by the open-tank method, by diffusion, and by pressure impregnation.

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 of indigenous timbers in recent years have virtually ceased owing to the conservation of these timbers for home consumption, there is a growing trade with Australia in radiata pine. The potential surplus of exotic pine available for export is approximately 150 million board feet annually, but the attainment of this level is dependent on overseas markets.

Tables giving the details of the external trade in timber since 1946 are given below. The value of imports is the current domestic value in the country of origin plus 10 per cent; the value of exports is free on board at the port of shipment.

TIMBER IMPORTS INTO NEW ZEALANDThousand board feet
Calendar Year (1)Sawn TimberSleepers (7)Logs and Poles (8)Total, All Timber (9)
Australian Hardwoods (2)North American Softwoods (3)Oak (4)Other (5)Total (6)
NOTE.—Figures have been adjusted to include items not given in beard feet in published statistics. Sleepers and logs and poles in columns 7 and 8 are from Australia; small quantities of logs and poles from other countries are included in column 5.
19466,9847,751320714,9456,83620521,986
19472,64916,6264041,48121,1606,3775,18132,718
19485,8698,15873456115,32216,1494,82336,294
19496,82117,2561,79972426,60014,1644,63345,397
19505,9809,5693,5381,47320,5609,3144,00933,883
19514,67213,7822,28196921,7044,5284,29330,525
195214,84420,2182,2182,25739,5375,3119,94454,792
195311,6535,4711,1652,15220,44113,6226,53340,596
19547,40516,1931,9012,67728,1767,1352,56037,871
19558,79621,9643,0344,73838,5327,7664,15350,451
19567,90513,1411,6116,04928,70614,5495,75549,010
ANNUAL IMPORTS OF TIMBER INTO NEW ZEALAND: COUNTRIES OF ORIGIN
Calendar YearAustraliaCanadaUnited States of AmericaJapanOther CountriesTotal
Thousand board feet
194614,0695,5262,380..1121,986
194714,23614,7393,628..11532,718
194826,8815,8222,85450023736,294
194925,64713,7933,5401,86854945,397
195019,3368,6369293,5461,43633,883
195113,54712,6369572,47591030,525
195230,15412,8077,4652,3152,05154,792
195331,8455,0694131,2522,01740,596
195417,11111,3384,7432,0062,67337,871
195520,74316,4845,5743,1654,52250,488
195628,27210,3592,8211,8195,73949,010
£(N.Z.)
1946327,86093,68046,840..1,270469,650
1947359,100549,870126,820..13,4201,049,210
1948712,590243,730106,85019,04019,8001,102,010
1949623,610380,600144,30071,99016,4401,236,940
1950565,340280,05062,320170,80044,6001,123,110
1951510,380532,55060,900192,66040,2301,336,720
19521,508,250696,120399,240189,150121,3702,914,130
19531,520,720204,34032,11084,75088,0201,929,940
1954774,660479,360186,940157,250130,4101,728,620
19551,017,020729,810271,800308,050205,7402,532,420
19561,381,520500,410149,460163,040261,1602,455,590
TIMBER EXPORTS FROM NEW ZEALAND
Thousand board feet
Calendar Year (1)Indigenous Timber (2)Radiata PineOther Exotics (5)Total Exotics (6)Total, All Sawn Timber (7)
Sawn (3)Cases (4)
NOTE.—Small quantities of roundwood are included in columns 2 and 7.
19464,5891,5352,067..3,6028,191
19473,9134,5771,245..5,8229,735
19488,40313,612836..14,44822,851
19498,76714,6451,7687616,48925,256
19504,3459,1811,366810,55514,900
19511,81215,5484,02611619,69021,502
19522,79810,1213,971..14,09216,890
195332416,1474,173120,32120,645
195410330,9622,211..33,17333,276
195510238,6793,891742,57742,679
19565431,4043,58011535,09935,153
ANNUAL EXPORTS OF TIMBER FROM NEW ZEALAND: DESTINATION
Calendar YearAustraliaPacific IslandsOther CountriesTotals
QuantityValueQuantityValueQuantityValueQuantityValue
 Bd. Ft. Bd. Ft. Bd. Ft. Bd. Ft. 
(000)£(N.Z.)(000)£(N.Z.)(000)£(N.Z.)(000)£(N.Z.)
19467,019136,8101,00125,7701713,6608,191166,240
19478,182149,7201,37644,7401775,1709,735199,630
194821,887483,73085725,5701073,76022,851513,060
194924,222537,20068919,0803454,84025,256561,120
195013,980340,02087630,870441,84014,900372,730
195120,225685,8701,17545,3601022,71021,502733,940
195216,098565,89068429,5701084,32016,890599,780
195317,309487,4102,817131,29051919,58020,645638,280
195430,911793,6301,93092,57043516,80033,276903,000
195539,5121,094,2503,157165,6101042042,6791,260,280
195632,909938,3502,094111,8301505,68035,1531,055,860

Total production of the pulp and paper industry will meet New Zealand's requirements almost fully, reduce imports of these products, and leave a considerable surplus for export for some of the major products such as newsprint and sulphate pulp.

The following tables give New Zealand's external trade in pulp and paper for the years 1952-56.

EXTERNAL TRADE OF NEW ZEALAND IN PULP AND PAPER
Imports
Calendar YearChemical PulpNewsprintOther Printing and WritingGreaseproofWrappingPaper BoardFibre Board

* In thousand square feet.

NOTE.—Basis for valuation: current domestic value in country of origin.

Tons
19529,45441,18620,6553,9328,44417,12914,798*
19539,41231,4985,7331,4611,0197,1801,534*
19545,34337,8969,7012,0781,0516,9582,136*
19555,46245,92615,7963,3985,7898,6969,869*
19562,66134,33512,7612,7332,4554,8494,469*
£
1952906,5582,109,7733,406,211658,006876,2681,527,711320,594
1953301,9821,608,539709,164200,535354,424453,08795,937
1954241,1141,923,8721,142,016256,492133,009573,586162,550
1955255,9532,450,9911,860,569426,362478,256718,128226,159
1956152,8071,787,9071,608,465364,652242,032491,91783,675
Exports
Calendar YearChemical PulpNewsprintOther PaperPaper BoardFibre Board

* In thousand square feet.

NOTE.—Basis for valuation: free on board at port of shipment.

Tons
1952....2183,330*
19534,327..14533,808*
195419,583..51381,359*
195527,34136092951,666*
195646,82825,5322561,9981,837*
£
1952....3,9821,85469,654
1953176,682..13,60136562,978
1954816,665..7,5003,66231,462
19551,130,56621,2991,31621,07929,118
19561,979,4991,543,54620,266126,09355,593

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.—(a) 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.

(b) 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.

(c) 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.

(d) 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 logscaling; 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 a New Zealand wide biology survey and the biological control of insect parasites) and mycology, with particular reference to the fungi affecting radiata pine and beech forests.

National Forest Survey.—Reference is made to this project on page 555.

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 and strength of their timber was given on pages 577-585 of the 1957 Year-Book, and in earlier issues. Detailed information is contained in publications of the New Zealand Forest Service, including “Forest Trees and Timbers of New Zealand” (Entrican, Hinds and Reid), “Exotic Forest Trees in New Zealand” (Weston), “The National Forest Survey of New Zealand, 1955, Vol. I: The Indigenous Forest Resources of New Zealand” (Masters, Holloway, and McKelvey).

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 over 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 fiat 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 1,378 licensed boats operating during 1956 those vessels whose income was over £200 totalled 820, compared with 785 in 1955. The number of persons employed on these boats was 1,645, compared with 1,605 in 1955.

The estimated total quantity and value of the principal classes of fishery products marketed in the years 1955 and 1956 were as follows.

UnitQuantityValue
1955195619551956
 ££
Wet fishCwt.435,335450,8901,299,4941,356,556
Whitebait (West Coast, South Island only)Cwt.6,3433,578233,840136,933
Oysters (dredged)Sacks78,60475,749129,697136,348
Oysters (rock)Sacks5,3005,17713,91513,564
MusselsSacks27,74330,92613,23814,918
CrayfishCwt.116,670128,609782,269964,134
Whale oilTons8401,05442,00075,780
Fish liverslb.636,764370,92038,47124,439
                Total value......2,552,9242,722,672

In the most important group, "wet fish" (i.e., all the ordinary fishes caught by all the methods of fishing), the annual totals for the successive years were as follows.

Total QuantityTotal Value
 Cwt.£
1940-41328,594440,308
1941-42326,863458,393
1942-43311,971442,976
1943-44294,445489,268
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
1954414,1221,195,568
1955435,3351,299,494
1956450,8901,356,556

The rise, by 15,555 cwt., in total production for 1956, sets a new record high level, but is only 987 cwt. higher than the previous record figure in 1949.

Snapper retains its place as the principal "wet fish" taken and is 12,529 cwt. more than in 1955. Tarakihi, although still in second place by a big margin, has dropped by 7,976 cwt., the principal decreases occurring at Auckland, 9,053 cwt., and Wellington 5,798 cwt. Tarakihi increases at Tauranga, Napier, and Gisborne helped to reduce what would have been a more serious deficit. These two species made up 54 per cent of the total "wet fish" landed in 1956.

Kind or Class of Wet Fish Caught.—The following table shows the quantity and value of each kind of "wet fish" caught during 1955 and 1956.

Kind or Class of FishQuantityValue
Cwt.Percentage of Total£Percentage of Total
19551956195519561955195619551956
Snapper127,210139,73929.2231.00325,010365,09825.0226.91
Tarakihi111,771103,79525.6723.02273,108253,99321.0118.73
Gurnard39,06439,3328.978.7377,96685,6266.006.32
Blue cod18,43928,8774.236.4262,76194,9594.827.00
Hapuku25,69227,5346.136.11142,488152,52810.9711.25
Elephant fish15,78819,2963.624.2859,04471,2574.545.25
Trevally18,13916,8984.163.7623,53422,4111.821.65
Flounder15,63413,5233.593.00116,057105,4768.937.78
Sole16,95713,3673.892.96108,77688,0688.376.49
Red cod6,1346,4001.311.4211,46412,4470.880.92
Moki5,1556,2521.181.3913,23115,9981.021.18
Pioke6,1966,0481.421.3411,52611,6930.890.86
John-dory4,6664,8411.061.0713,05013,5951.001.00
Barracouta4,1684,4270.950.984,9205,5870.380.41
Ling4,7373,9471.080.8715,92512,3971.230.91
Mullet3,7123,7840.850.8410,04310,9990.770.81
Shark3,5493,2360.820.726,0655,0720.470.37
Hake1,0081,8300.230.413,9787,2250.310.53
Butterfish1,3091,7060.300.386,9309,2000.530.68
Warehou8781,2980.200.282,3022,9470.180.22
Whiptail1,3801,2910.310.281,9011,7170.140.13
Mixed rounds4026260090.149941,5410.080.11
Herring6065850.120.131,1641,2760.090.09
Kahawai6205360.130.129148840.070.07
Monkfish1093780.020.082548200.020.06
Kingfish8313720.190.082,8697850.220.06
Skate312220.010.05401.370.01 
Brill1561930.030.049661,1950.070.09
Garfish1751430.050.037605990.060.04
Parore2541330.060.033691830.030.01
Trumpeter117910.020.025514250.040.03
Sardine..82..0.01..280..0.02
Mackerel290680.070.01352760.030.01
Maomao1214....3630....
Conger56110.01..78130.01..
Creamfish8070.01..566....
Perch106....128....
Bonita..1......4....
Frostfish..1......1....
                Totals435,335450,890....1,299,4941,356,556....

Methods of Capture.—A table showing the total quantity of "wet fish" caught in 1956 by each of the common methods of fishing is shown below, with the figures for 1955 included for comparison.

Method of FishingQuantityValue
Cwt.Percentage of Total£Percentage of Total
19551956195519561955195619551956
Trawl306,321306,25070.3767.93850,730851,69665.4762.77
Danish seine23,42525,6765.385.6951,51357,3793.964.23
Long and hand lines75,23385,60717.2818.98277,286316,36321.3423.30
Set and drag nets30,35633,3576.977.40119,965131,1189.239.70
                Totals435,335450,890....1,299,4941,356,556....

The steam trawlers landed a total catch of 22,233 cwt. (4.93 per cent), while the motor trawlers landed 284,017 cwt. (63.00 per cent).

Landings at Ports.—Ports where the total landed catch was in excess of 10,000 cwt. are shown in order of importance in the table below. The percentage of the grand total is also included.

PortQuantityValue
Cwt.Percentage of Total£Percentage of Total
19551956195519561955195619551956
Auckland113,531102,60026.0722.75242,198223,61418.6516.48
Wellington47,48745,28710.9210.10149,963147,71611.5410.88
Timaru30,49436,5777.008.12124,249142,6259.5610.51
Manukau25,62527,7155.896.1453,55658.6914.124.33
Gisborne20,89226,6474.805.9050,34663,2893.874.66
Napier22,16826,0065.095.7660,48071,2094.655.24
Lyttelton21,71221,3065.004.9185,63985,3566.596.29
Tauranga19,45819,9984.464.4444,26645,3823.413.34
Nelson14,09518,6553.244.1437,08753,0562.853.91
Thames12,47015,8052.863.5146,19748,0313.553.54
Chatham Islands7,49113,1621.732.5010,51518,3490.811.35
Bluff7,33011,9901.682.6632,41855,0942.494.10
Port Chalmers11,02510,1542.542.4462,60747,0464.823.47

The total quantity of fish landed at these ports was 375,902 cwt., which was 83.37 per cent of the grand total.

EXPORTS.—The total value of fish and shellfish exported during 1956 was £1,682,374.

A table showing the principal classes of fishery products exported during each of the last three years is set out below.

UnitQuantityValue
195419551956195419551956
 £££
Oysters, frozenCwt.839132137217
Mussels, etc.Cwt.4187944369911,076
Fish, frozenCwt.43,02147,34359,841345,655368,833473,101
Crayfish frozen, including cray tailsCwt.33,03731,07943,856982,257953,6311,175,311
Fish, smoked, dried, etc.Cwt.1721033831,8371,1773,669
Fish and shellfish, cannedlb.98,48450,21694,65828,25019,48929,000
                Total values........1,358,5671,344,2581,682,374

Fish-liver Oil.—The quantity of fish livers processed during the year was 370,920 lb., and this is 265,844 lb. less than in 1955. The total oil produced was 20,409 gallons, a drop of 11,287 gallons from 1955 production. This substantial decline was due to a full year's effect of the limit on classes of livers acceptable, the closing of the fish-liver oil factory at Timaru in June, and, in the north, unfavourable climatic conditions during the year. A further decline must be anticipated for 1957 when the full year's effect of the closing of the Timaru factory will be felt. For some time the fish-liver oil industry has been seriously affected by improved methods in the manufacture of synthetic Vitamin A and its increasing use overseas in substitution for the natural product.

A total of 10,478 gallons of fish-liver oil was exported in 1956, compared with 18,299 gallons in 1955.

The total weight of livers processed and the quantity of oil produced in each of the last five years is as follows.

YearWeight of LiversQuantity of Oil
TreatedProduced
lb.Gallons
1952800,30339,275
1953833,46040,741
1954773,66138,953
1955636,76431,696
1956370,92020,409

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 1956 season 75,749 sacks of oysters were dredged from Foveaux Strait, compared with 78,604 in 1955.

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 1956 totalled 5,177 sacks, compared with 5,300 sacks in 1955.

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.

YearQuantityValue
Cwt.£
195266,350333,775
195381,674460,366
1954108,849658,515
1955116,670782,269
1956128,609964,134

WHALING.—The total catch in the 1956 season amounted to 159 whales, of which 143 were humpbacks, 14 were sci whales, and 2 were sperm whales. In 1955 only 112 whales were taken and by one station. In the 1956 season another company commenced operations in Hauraki Gulf but is not yet in full production.

In the Cook Strait area the season commenced on 5 May and finished on 15 August. In Hauraki Gulf the season commenced on 15 June and the last whale was taken on 31 October.

The total yield for the season was 1,054 tons of whale oil, 240 tons of whale meat, and 50 tons of bone dust.

Work on whales was continued both with whale marking during the southern migration and collection and examination of certain internal organs during the season. No whales were marked in Hauraki Gulf this year, but 82 (including 4 doubtfully marked), were tagged in Fovcaux Strait, and 18 in Cook Strait. One humpback whale was recovered in Cook Strait exactly twelve months after it had been marked in the same locality.

The number of whales marked this year represents a significant addition to the total marked in New Zealand waters previously, and must materially increase the chances of further useful recoveries.

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.

In the 1956 season (from November 1955 to June 1956) big-game fish caught included 11 black marlin, 354 striped marlin, 231 mako shark, and 51 other species. Figures for three of the five principal fishing areas for the 1955 season recorded 25 black marlin, 477 striped marlin, 272 mako shark, and 35 other species.

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. The most productive fishing grounds 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, where 3,578 cwt. were caught in 1956.

FRESH-WATER FISHERIES.—Descriptions of native and acclimatized fishes have been given in the 1957 and earlier issues of the Year-Book.

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 each month are £1 for male adults, 10s. for females and males under seventeen years, with maxima of £3 16s., and £1 16s. for the full period of nine months; weekly licences are 10s. and 5s. respectively, and daily licences 2s. 6d. in all cases. 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 was provided for 1955, while the 1956 and subsequent seasons will extend from 1 October to 30 June (a nine-month season).

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 and the Upper Hinemaiaia river in 1956.

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, the Quarries Amendment Acts of 1951 and 1954, and the Atomic Energy Amendment Act 1957. 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 was 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 generally strengthened the law in regard to the better and safer working of the quarries and of underground tunnels.

By the Petroleum Amendment Act 1955, the Minister is required to specify at the time of the grant of the prospecting licence, the conditions on which a mining licence will be granted in exchange for a prospecting licence, and the conditions to which both will be subject; at the time of exchange the licensee has the right to specify the land desired to be in the mining licence. The Minister may grant, subject to satisfactory compliance with the conditions of the prospecting licence, an extension of five years, with a maximum of grant and extension of ten years. The Minister may suspend or modify the obligation to commence investigational work within three months of grant and drilling of at least one well within three years after grant or in such extended time as allowed under certain circumstances. These apply where an undertaking is given by the holder of or applicant for two or more prospecting licences (or holder of one and applicant for another) to conduct at a specified estimated cost such geological, geophysical, and other investigations into the licensed areas so as to ensure that these will have been fully prospected within the currency of the licence. After consultation with the licensee, the Minister is empowered to direct the latter to refine the oil products in New Zealand, provided it can be done economically, and that the products are required in New Zealand.

The Atomic Energy Amendment Act 1957 amends the Atomic Energy Act 1945 by adding several new provisions designed to encourage the search for and production of uranium or other substances which may be used for the production of atomic energy. Rewards may be granted by the Minister of Mines for the discovery of uranium, thorium, plutonium, neptunium, or other prescribed substances. The amount of any such grant will vary in accordance with the importance of the discovery. Prospectors must obtain a miner's right or a mineral prospecting warrant. No mining for any of the minerals is permissible except under a mineral licence.

MINERAL PRODUCTION.—The following statement shows the production of metals and minerals during 1955 and 1956.

Mineral19551956
QuantityValueQuantityValue
Fuels
  £(N.Z.) £(N.Z.)
Coal2,556,653 tons6,783,0002,627,716 tons7,138,000
Petroleum (crude)199,510 gals.8,333244,870 gals.10,203
Natural gas5,499,000 cu. ft.9658,008,220 cu. ft.1,802
Metals
Gold26,443 on.327,26726,063 oz.322,832
Silver27,930 oz.8,362950 oz.254
Iron ore2,550 tons8,6382,777 tons11,199
Manganese ore159 tons715156 tons702
Tungsten ore30 tons28,51428 tons22,883
Non-metallics
  £(N.Z.) £(N.Z.)
Asbestos154 tons7,592329 tons16,140
Bentonite718 tons8,4361,638 tons15,964
Clay for bricks, tiles, etc.265,875 tons274,626266,321 tons161,855
Clay for pottery fillers, etc.3,903 tons6,2466,139 tons11,407
Diatomite556 tons688136 tons824
Dimension stone for building22,151 tons36,86618,309 tons48,947
Dolomite1,813 tons1,8132,023 tons3,035
Limestone for agriculture1,444,810 tons1,269,0721,337,093 tons1,175,964
Limestone for industrial purposes38,342 tons34,17840,391 tons45,902
Limestone, marl, silica sand, etc., for cement713,171 tons148,878821,226 tons219,775
Magnesite388 tons543730 tons675
Perlite (manufactured value)198 tons6,347132 tons6,850
Pumice7,741 tons10,0237,614 tons9,603
Rock for harbour work819,835 tons147,967749,549 tons265,733
Salt3,000 tons18,00011,400 tons79,800
Sand, rock, gravel, etc., for building aggregate2,248,294 tons1,262,7662,751,239 tons2,057,457
Sand, rock, gravel, etc., for roads and ballast9,164,691 tons5,127,56010,676,831 tons5,054,618
Sand for industry41,360 tons36,77263,851 tons55,142
Serpentine81,640 tons192,48093,782 tons209,073
Silica sand23,712 tons89,67428,769 tons116,203
 ..15,846,321..17,062,842

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 in the industry and difficulties in securing equipment. 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 1957 was three, two on the West Coast and one in Otago. As prospecting operations for new areas have now ceased, it is apparent that production of gold by dredging must continue to diminish.

No actual production of gold from the quartz mines was made during 1956, although the cleaning up operations near the Martha Mine, near Waihi, resulted in a production of 68 ounces of gold and 388 ounces of silver. All operations at the Martha Mine have ceased. 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.

The following table gives particulars of the estimated gold content of gold/silver/bullion production for the last three years.

QuantityValue
195419551956195419551956
 Oz.Oz.Oz.£££
Quartz mining13,8322,69568169,43733,016837
Alluvial mining1,2071,35376113,15115,7738,614
Dredge mining26,67422,39525,234337,043278,478313,381
                Totals41,71326,44326,063519,631327,267322,832

SILVER.—Nearly the whole of the locally produced silver exported from New Zealand was 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.

With the closing-down of the Martha mine, the production of silver in New Zealand in any quantity may be regarded as finished.

PERLITE.—During 1956, 132 tons of perlite was obtained from deposits at Atiamuri and Ongaroto and processed at Wellington. The estimated value was £6,850. Recent tests have shown the New Zealand produced expanded perlite comes up to the standard required by the Perlite Institute of America.

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 investigations at Wanganui and at Waitara have 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 so far 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 brickmaking industry.

Production in 1956 was 2,777 tons, 1,381 of these from Okaihau, 923 from Kamo, and 473 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 1956, 28 tons of scheelite were produced as compared with 30 tons in 1955. The Glenorchy field was responsible for all this production. Other producing centres in Otago have been Stoneburn, Hyde, Barewood, Waipori, and McCrae's Flat.

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.

It is estimated that the total production of copper to the end of 1952 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 1956 totalled 156 tons, compared with 159 tons in 1955.

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 1956 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 were 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. Attention was later 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. One ounce was produced in 1954 from the Roundhill claim in Southland. With the closing down of this claim the production of platinum has ceased.

URANIUM AND THORIUM.—Some interest was aroused by the discovery in 1955 of radioactive minerals in the vicinity of the Haast River in South Westland, as it was considered that the minerals might have uranium content. Chemical analysis, however, showed that the radio-active properties were due to the presence of thorium and the mineral was identified as thorite. So far only float boulders of the material have been located and these have not been traced to their source. Thorium, though not of immediate value, promises to have potential value in nuclear-power generators and accordingly the discovery must be regarded as of some importance.

The discovery of radio-active material at Batty Creek in the Buller Gorge caused considerable excitement and resulted in applications for mining privileges over much of the surrounding area. The radio-active minerals occur in a steeply dipping lode, 4 ft. to 7 ft. thick, which traverses the Hawk Crag Breccia and which so far has only been traced for a limited distance. Surface sampling has shown that most of the material has a low uranium content, but much of the outcrop shows signs of leaching. So far the uranium-bearing minerals have not been positively identified and up to the present no serious testing of the lode has been undertaken. It is of interest that prospecting of an area on the north side of the Buller River directly opposite the original discovery, has shown the existence of large float boulders of Hawk Crag Breccia which are much more strongly radio-active and which show a high uranium content by assay. As yet no deposit of any magnitude has been located, but the area must be regarded as a most interesting prospecting venture.

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 has been produced since 1952.

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 in 1953. In 1955 production of asbestos was resumed with 154 tons of fibre valued at £7,592. The quantity of asbestos produced in 1956 was 329 tons valued at £16,140.

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).

Coal Utilization and Research.—The Coal Research Committee, which has done much valuable work in the past, has to some extent outlived its usefulness in its present form. It has disbanded and in its stead three separate committees have been formed. They are:

Coal Resources Committee.—Two officers of the Mines Department with the Director and such other officers of Geological Survey as may be deemed appropriate.

Coal Mining Research Committee.—The Chief Inspector of Coal Mines with two other officers of the Mines Department, together with the Professor of Coal Mining at Otago University. This committee is under the aegis of the Mines Department.

Coal Utilization Committee.—Deputy Secretary of Department of Scientific and Industrial Research (Chairman), Under-Secretary of Mines, Directors of Dominion Laboratory and Auckland Industrial Development Laboratory, Dean of the Canterbury School of Engineering, representative of State Hydro-electric Department, and representatives of coal wholesalers and retailers, and of the gas industry.

A technical sub-committee comprises officers of the Dominion Laboratory, Auckland Industrial Development Laboratory, Dairy Research Institute, and Mines Department. This Committee and sub-committee are under the aegis of the Department of Scientific and Industrial Research.

It is expected that the reorganized committees will be better equipped to deal with the many problems facing the coal industry and to ensure as far as practicable that the fullest and most efficient use is made of our native fuel and power resources.

Inter-Departmental Committee on Fuel.—This committee, which was set up in 1954, continues to do valuable work in ensuring the use of local fuels in Government and other public buildings and institutions where it is reasonable and practicable to do so.

Survey of Coal Resources.—In recent years the investigation of coal resources has been carried on in three phases: (i) mainly geological and chemical activities; (ii) detailed topographical surveys and shallow prospecting by means of cuts, pits, and hand drilling; (iii) investigations by deep-core drilling.

As a result of the intensive work 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 in 1955.

Tons
MeasuredIndicatedInferred
Bituminous40,000,00033,000,00051,500,000
Sub-bituminous106,200,000126,100,000307,500,000
Lignite16,300,00042,000,000310,000,000
                Totals162,500,000201,100,000669,000,000

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 grouping in the various coalfields of New Zealand, totalling 1,032.6 million tons, set out under the three rank divisions.

Tons
MeasuredIndicatedInferred
Bituminous
Buller28,000,00016,000,00015,000,000
Murchison....1,500,000
Garvey Creek1,000,0002,000,0005,000,000
Greymouth11,000,00015,000,00030,000,000
                Totals, bituminous40,000,00033,000,00051,500,000
Sub-bituminous
Northland1,500,000500,0003,000,000
Maramarua52,000,0006,000,0005,000,000
Huntly30,000,000105,000,0005,000,000
Kawhia100,000500,0005,000,000
Mangapehi1,800,000600,0001,000,000
Tatu1,500,000600,000500,000
Waitewhena400,000900,00011,000,000
Mokau  60,000,000
Nelson200,000 2,000,000
Buller Gorge  1,000,000
Reefton1,700,0004,000,0008,000,000
Fletcher Creek  3,000,000
Punakaiki  2,000,000
Kaitangata2,000,000500,000100,000,000
Ohai15,000,0007,500,000100,000,000
Orepuki  1,000,000
Totals, sub-bituminous106,200,000126,100,000307,500,000
Lignite
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
Kaitangata4,300,00020,000,000100,000,000
Pomahaka  10,000,000
Mataura Valley5,000,00020,000,000152,000,000
                Totals, lignite16,300,00042,000,000310,000,000
                Grand totals162,500,000201,100,000669,000,000

The next survey of coal resources in New Zealand is due to be made in 1960.

Summary of Operations.—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
Prior to 1947111,877,000..........566
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
19522,750,2131,6103,4825,0921.450.544
19532,518,7151,6083,3404,9480.790.402
19542,594,2561,5063,2854,7911.540.834
19552,556,6531,4943,0354,5291.570.894
19562,627,7161,5143,0344,5481.520.884
                Totals138,370,395..........604

The output of the several classes of coal mined in each inspection district during 1956, together with the total output to the end of that year, are shown in the next table. District totals for 1955 are also given.

CLASSIFICATION OF COAL PRODUCEDTons
Class of CoalNorthern District (North Island)West Coast District (South Island)Southern District (South Island)TotalTotal Output to 31 December 1956
Anthracite....1,8351,83531,288
Bituminous..799,226..799,22668,896,397
Sub-bituminous1,091,766186,031343,4091,621,20660,140,718
Lignite..19,947185,502205,4499,301,992
            Totals for 19561,091,7661,005,204530,7462,627,716138,370,395
            Totals for 19551,078,111935,845542,6942,556,653135,742,679

During 1956, 193 mines were in operation. Of these, 60 mines operated wholly or principally on freehold land and the remaining 133 wholly or predominantly on Crown land.

Output from freehold land was 1,071,586 tons (41 per cent) and output from Crown land 1,556,130 tons (59 per cent).

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
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
19541,888,1363,2855751,172424
19551,789,3473,0355901,152427
19561,830,7263,0346031,194433

Of late years the output per hewer shift has risen, and there has been an appreciable overall increase in output per man on pay roll.

Opencast Mines.—Production of coal from opencast mines in 1956 amounted to 796,990 tons, which was 29,684 tons more than the production achieved in 1955. The proportion of the total production of coal obtained from opencast mines amounted to 30 per cent.

There were sixty opencast mines in operation in 1956, and of these ten operated by the State produced 356,942 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
1946528,7004251,244
1947644,6924321,492
1948676,7284551,487
1949741,9875001,484
1950712,4964391,623
1951956,1324462,144
1952835,6714062,058
1953645,7373491,850
1954706,1203342,114
1955767,3063422,243
1956796,9903202,490

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. A large amount of investigation into fuel problems was also carried out, and many analyses of coal and other fuel samples were made.

Low-temperature carbonization works, using the Lurgi process, established at Rotowaro, 70 miles south of Auckland, in 1931, produced during 1956, 15,415 tons of carbonettes, 281,637 gallons of tar and oil, and 2,384 tons of char from 29,820 tons of slack coal, which was part of the output of a group of local mines.

The Sockburn plant, near Christchurch, produced 30,145 gallons of tar and 5,917 tons of coke during 1956.

Coal Consumption.—The approximate distribution of coal consumption during each of the five years 1952-56 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.

Tons
19521953195419551956
* Includes hospitals, hotels, etc.
Railways435,000416,000399,000371,000311,000
Coastal shipping36,00033,00035,00029,00032,000
Gasworks289,000279,000266,000268,000261,000
Factories*1,378,0001,237,0001,359,0001,383,0001,493,000
Households590,000550,000550,000520,000540,000
            Total consumption2,728,0002,515,0002,609,0002,571,0002,637,000

Mercer Power Station.—Of the greatest importance to the coal industry has been the Government's decision to build the coal-fired steam-generating station at Mercer. This station, of 180,000 kW. capacity, will require 600,000 to 800,000 tons of coal per annum. It is proposed that one-third of the coal requirements will be provided from the Huntly coalfield from existing mines plus some additional opencast development.

The remaining two-thirds will be provided from the Maramarua coalfield about 7 miles distant from the station. Initially it is expected that most of the Maramarua quota will, of necessity, be supplied from opencast development, but it should be possible within ten years to mine 25 per cent of this quota from underground sources to conserve opencast coal in this district.

These proportions will ensure continuity of production and employment at Huntly, and at the same time ensure that the better-quality Huntly coals are not used up at a greatly accelerated rate for the one power undertaking.

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 1956 there were thirty-two State coal mines working.

The output of coal produced from State coal mines for the last two financial periods is shown below.

Tons
Name of MineYear Ended 31 December 1955Year Ended 31 December 1956
Gross Output(a)Net Output for DisposalGross Output(a)Net Output for Disposal

(a) Includes surplus stock brought on charge or amended for stock deficiencies.

(b) Tonnages for coal used on works, waste, workmen, and free are apportioned with opencast production.

Underground Mines
Kamo49,31248,113....
Alison77,10276,38897,12195,623
Rotowaro84,75179,37092,46087,116
Renown68,78866,76583,72281,786
Wilton41,02139,71244,52243,288
Mangapehi23,73922,78420,64219,941
Tatu36,73034,84635,89434,066
Denniston70,58367,33760,47857,988
Sullivan17,84517,63829,31328,088
Millerton44,16542,89044,76443,278
Stockton (b)57,76056,79782,52681,244
Webb and McCabe's (b)41,50940,68632,89732.337
Burke's Creek24,41423,62117,62917,022
Blackball52,06749,63257,10254,558
Dobson65,77161,31568,31164,116
Paparoa22,62122,09321,72320,988
Wallsend43,60741,58049,89047,450
Liverpool85,42181,37090,52487,008
Strongman91,96883,98699,59292,420
Kaitangata....40,37235,236
Linton76,21873,54367,03964,910
Morley8,9718,86119,37018,643
Star23,02521,7934,4314,250
Wairaki100,70994,74295,50589,031
                Totals1,208,0971,155,8621,255,8271,200,387
 Opencast Mines
Barker's94,80894,64953,65153,358
Devlin and Bell's51,76751,74641.68441,571
Kimihia88,37888,26295,10594,948
Smith's....7,6647,664
Waitewhena16,23716,18716,98816,933
Stockton (b)11,50611,31916,16715,864
Garvey Creek: S.E.8,9208,801385346
Wangaloa23,09623,01526,09926,068
Black Diamond3,8853,883....
McLean's........
No. 7 Opencast, Ohai52,49352,49378,63278,632
No. 9 Opencast, Ohai14,48614,486....
No. 12 Opencast, Ohai....21,55821,558
                Opencast totals365,576364,841357,933356,942
                Underground totals1,208,0971,155,8621,255,8271,200,387
                Grand totals1,573,6731,520,7031,613,7601,557,329

The average number of persons employed in and about State mines during the year ended 31 December 1956 was—underground, 2,192, surface, 1,101: total, 3,293. Surface workers include 176 employed at the twelve State opencast mines operating during the period.

Financial.—Sales of coal, etc., through the medium of the depots totalled 1,516,734 tons (value, £6,332,196) for the year ended 31 December 1956. This compares with 1,495,646 tons (value, £6,121,254) for the year ended 31 December 1955.

The profit on trading before providing for interest on capital for the year was £113,665. The surplus in the Accident Insurance Account, however, was £9,658, and increases in other specific reserves totalled £6,755; the total surplus for the year was thus £130,078. The interest charge on loan capital was £276,508, of which £249,749 was remitted.

The only amount available to meet the statutory sinking fund instalment was the year's profit of £86,906.

Capital expenditure on fixed assets during 1956 was £563,385. Depreciation written off was £343,453, so that the net valuation of fixed assets increased by £219,932.

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 1956 the number of loans granted was 50 for a total amount of £50,654. Of these loans 45 were for the purchase of existing houses, 3 for the erection of new houses, and 2 for the renovation of existing houses. During the period this scheme has been in operation some 613 loans have been granted for a total amount of £438,202. The erection of new houses accounted for 168, purchase 406, and repairs, etc., 39.

Accident Insurance.—The number of compensable accidents at State coal mines for the year ended 31 December 1956 was 1,595, as compared with 1,549 for the year ended 31 December 1955.

The cost of claims per cent on wages paid amounted to £4 17s. 5d. for the year, compared with £3 12s. lid for the previous year.

The Accident Insurance Working Account showed a surplus of £9,658 for the year ended 31 December 1956 as compared with £41,631 for the previous year. The surplus was transferred to the Accident Insurance Reserve. At 31 December 1956 this reserve stood at £350,748.

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 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 feet 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.

Interest in the search for oil in New Zealand has been maintained and at the present time, 141 petroleum prospecting licences covering an area of 23,012 square miles have been granted.

These licences are distributed as under:

DistrictNumber of LicencesArea Square Miles
Taranaki335,722
Gisborne, Hawke's Bay, Wairarapa7513,176
Auckland111,269
Bay of Plenty166
Marlborough2135
Canterbury111,974
Otago130
Southland2150
Westland5490
                Totals14123,012

During the year 1956, 244,870 gallons of crude oil were obtained from the Moturoa field near New Plymouth. This compares with 199,510 gallons in 1955, 239,800 gallons in 1954, 278,100 gallons in 1953, 302,870 gallons in 1952, 185,710 gallons in 1951, and 232,297 gallons in 1950. In addition 8,008,220 cubic feet of natural gas, chiefly methane, were supplied to the New Plymouth Gas Co. for domestic and industrial use, as compared with 5,499,720 cubic feet during the year 1955 and 5,020,864 cubic feet during the year 1954.

Crude Oil Recovered
Well No.Gallons
254,320
436,690
1D153,860
                Total244,870
Distillations
 Gallons
Motor spirit46,020
Distillate9,925
Power kerosene58,555
Diesel oil51,530
Residual oil66,600
                Total232,630

In North Auckland private companies have undertaken geological and geophysical surveys on their licences that extend from Albany to north of Dargaville, and in the Mangonui County.

A geological reconnaissance survey has been conducted over the northern part of the area in Taranaki held under licence. This survey was supplemented by gravity and magnetic surveys. Seismic boring was also undertaken.

On the east coast of the North Island, two companies have been prospecting their areas which are held under licence, and another has completed an aerial photographic survey of its areas, while a geological survey of about 370 square miles is nearing completion. Gravity and magnetic observations have been taken and this work is continuing.

The total production of crude petroleum to 31 December 1956 is estimated at 5,669,473 gallons, 244,870 of which were obtained in 1956.

BENTONITE.—The most promising deposits of this mineral occur at Porangahau, 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 1956 was 8,031 tons, of a value of £68,158.

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. During 1956, 298 tons of kauri gum, valued at £33,587, were exported.

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 is now made from much larger deposits at Piopio, near Te Kuiti, in the North Island, and near Mossburn, in the South Island. To the end of 1956, 819,072 tons of serpentine had been mined, including 93,872 tons in 1956.

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.—At Lake Grassmere, in Marlborough, salt is being produced by the solar evaporation of sea-water. 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 valued at £4,200. Owing to unfavourable weather conditions, there was no production in 1953, but in 1954, 1,500 tons valued at £9,000 was produced. In 1955 the harvest was 3,000 tons valued at £18,000, and in 1956 it was 11,400 tons valued at £79,800.

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 storey of Parliament Buildings is constructed of Coromandel granite, and the upper storeys of Takaka marble.

OUTPUT OF QUARRIES.—The following table relates to quarries under the Quarries Act and shows the output for the year 1956. The classification given in this table differs in certain minor instances from that given on pages 581-2.

North AucklandSouth AucklandCentral
QuantityValueQuantityValueQuantityValue
 Tons£Tons£Tons£
Asbestos............
Bentonite........1,63815,964
Clay (bricks, tiles, etc.)102,734103,37233,00016,50043,26814,493
Clay (pottery, etc.)2,4584,472....500100
Diatomite....104800....
Dolomite............
Limestone (agriculture)155,655145,596101,56286,370162,930132,292
Limestone for cement manufacture)457,572123,288........
Limestone (industry)1,1426,5848,19916,1049,2367,031
Marl (for cement)............
Magnesite............
Perlite....1326,850....
Pumice....1,3843,9226,2305,681
Rock (harbour and river protection)69,32750,16666,57839,58586,07834,683
Rock (building aggregate)665,269586,444471,837491,502230,147186,237
Rock (roads, ballast, etc.)2,328,0771,601,4482,288,0461,241,2811,918,880887,072
Gravel and sand (building aggregate)148,735219,776199,866113,626316,349186,310
Gravel and sand (roads, ballast, etc.)91,35863,157585,571276,620212,65899,539
Sand for industry19,50532,18438,60718,325....
Serpentine24,31672,88045,32590,650....
Silica sand for glass23,892114,252........
Stone dimension for building12,17316,8941,28119,982....
Reclamations and filling....51,96115,1771,218,000304,500
                Totals4,102,2133,140,5133,893,4532,431,2944,205,9141,874,202
West CoastSouthernNew Zealand Totals
QuantityValueQuantityValueQuantityValue
Number of men employed: North Auckland, 1,236; South Auckland, 1,001; Central, 780; West Coast, 316; Southern 772; total, 4,105.
 Tons£Tons£Tons£
Asbestos32916,140....32916,140
Bentonite........1,63815,964
Clay (bricks, tiles, etc.)2,5851,18784,73426,303266,321161,855
Clay (pottery, etc.)4011,6042,7805,2316,13911,407
Diatomite....3224136824
Dolomite2,0233,035....2,0233,035
Limestone (agriculture)144,821129,530772,125682,1761,337,0931,175,964
Limestone (for cement manufacture)168,65139,566122,37748,951748,600211,805
Limestone (industry)8,77516,85913,0395,32440,39145,902
Marl (for cement)35,3065,46237,3202,48872,6267,950
Magnesite730675....730675
Perlite........1326,850
Pumice........7,6149,603
Rock (harbour and river protection)434,31568,78093,25172,519749,549265,733
Rock (building aggregate)....44,38832,5671,411,6411,297,050
Rock (roads, ballast, etc.)56,3737,563335,176199,0876,926,5523,936,451
Gravel and sand (building aggregate)71,12116,518603,527224,1771,339,598760,407
Gravel and sand (roads, ballast, etc.)1,083,953196,8051,776,739482,0463,750,2791,118,167
Sand for industry9292374,8104,39663,85155,142
Serpentine2,4382,13721,70343,40693,782209,073
Silica sand for glass....4,8771,95128,769116,203
Stone dimension for building....4,85512,07118,30948,947
Reclamations and filling........1,269,961319,677
                Totals2,012,750506,0983,921,7331,842,71718,136,0639,794,824

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.

19521953195419551956
Metalliferous mines536426318277229
Coal mines5,0924,9484,7914,5294,548
Stone quarries and tunnels2,7322,9823,6584,1344,254
                Totals8,3608,3568,7678,9409,031

Accidents in mining and quarrying operations in 1956, with 1955 figures in parentheses, resulted in four (4) deaths in coal mines, nil (nil) in metalliferous mines, and five (7) in quarries and tunnels. In addition, thirty-one (22) persons were seriously injured in coal mines, one (nil) in metalliferous mines, and fourteen (15) 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.

Geological Survey:Uranium Survey.—The discovery in November 1955 of radioactive minerals in the Buller Gorge directed attention to the Hawk Crag Breccia as a formation hospitable to uranium minerals. Radioactive minerals in the Buller Gorge region occur in grits, conglomerates, breccias, and siltstones, of probably Cretaceous age. Hawk Crag Breccia, and the geological setting and mineralisation display a striking parallel with that of the Colorado Plateau - in age and composition of the host rocks, in the character of the mineralisation, and the association with lamprophyre and porphyry dykes and vitric tuffs (ash beds).

In November 1956 the Geological Survey began a study of the entire Buller Gorge area, embracing the Hawk Crag Breccia and the Ohika beds. For this purpose a field office has been established at Westport and a field party has been active in mapping the geology of the area. The object is to understand the structure of the area, the stratigraphy, frequency, and nature of the uraniferous beds. Until this is done no clear understanding of the whole is possible, for as bedded deposits they are by definition intimately associated with the stratigraphy of the area. Mapping is being carried out on air photographs and contour maps prepared from air photographs by the Department of Lands and Survey. In addition an independent and successful photo-interpretation of geology from the air photographs has been carried out in the Wellington Office of the Survey. This work enabled a number of predictions to be made which have since proved correct. The presence of bedded deposits on the south side of the river was predicted as a result of air photo-interpretation and confirmed by field work. This discovery by the Geological Survey has altered the entire picture and strengthens the hypothesis that the uranium minerals occur in a granitic facies (Tiroroa) of the Hawk Crag Breccia. Field work is still in progress.

Parallel to this field investigation, mineralogical studies have been in progress; and an early result was the discovery of the main uranium mineral, coffinite, hydroxyl-substituted uranium silicate, a recently discovered primary ore mineral of the Colorado area. Introduction of coffinite is accompanied by carbonate, pyrite, hematite, and fluorite, the mineralisation impacting a distinctive red and black colouration to the host rock. Like all known bedded uraniferous deposits the origin of the ores is not clear, the main problem being whether the uranium originated by solution and redeposition of dispersed concentrations in the host rocks or whether the mineralising solutions were derived from outside sources, possibly igneous intrusions, unconnected with the host rocks.

A number of grab samples have been collected from the Tiroroa facies of the Hawk Crag Breccia, and some analysed chemically, the balance being examined radiometrically. The samples taken to date show a range of values of less than 0.1 per cent U3O8 to as high as 6.4 per cent U3O8. The number and type of samples are inadequate for the purpose of assessing the average value of the radioactive beds, and as a result, systematic channel sampling is at present under way. Much remains to be done, mapping, prospecting, and sampling leading to driving and drilling before it can be said to be a proven deposit, but so far it has maintained this promise and has not yet failed at any critical point.

In the field of economic geology this project is among the most important carried out by the Survey and certainly none has held greater potential for benefit to New Zealand.

Geological Maps.—At present published geological maps on mile scale cover approximately one-third of the country. To overcome the lack of a real geological cover, the Geological Survey has planned an overall programme of map publication. The objective of this programme is the complete coverage of New Zealand on a scale greater than 1 : 1,000,000 and for this a scale of 1 :250,000 (4 miles to 1 in.) has been selected. For this purpose the map of New Zealand is cut up into twenty-eight sheets, and the geology of the area covered by each sheet will be built up from all available published and unpublished material. Where called for, additional field work will be carried out to complete areas and bring old work up to date. Each sheet will carry an explanatory text of the geology of approximately 3,000 words alongside the map and will in itself make a complete geological publication. Co-operation of the universities is being successfully sought where they have suitable material for inclusion.

Alongside this will be the continuation of the present bulletin series which may begin to lessen as suitable bulletin areas are becoming less and less and as the effect of the Four-mile Project becomes fully felt. In addition, the ultimate objective, the issue of geological one-mile maps (1 : 63,360) carrying with them a short geological description of the areas will be initiated.

As a preliminary step in this map-publishing programme, publication is under way of a wall map of New Zealand on a scale of 1 : 2,000,000, showing the geology in much more detail than recorded on the 1947, 1 : 1,000,000 map. The compilation of data for the 1 :2,000,000 map has already been done and a somewhat generalized version will appear in the New Zealand National Atlas on a scale of approximately 1 : 3,500,000. With the approach of the end of 100 years of geological mapping, this project can be considered as a geological stocktaking. In short, the proposal is simply to present in a reasonable time and on a reasonable scale a geological map of New Zealand. Not only will the main islands of New Zealand be mapped, but the Island Dependencies as well, and already maps have been completed of Western Samoa and the Chatham Islands. In addition, it is hoped to be able to present the geology of the Ross Dependency in this review.

Phosphate Search.—This is a joint effort with the Bureau of Mineral Resources, Geology, and Geophysics, Canberra. A search entailing a study of the geology has been carried out over Western Samoa and is in progress on the Chatham Islands. A number of areas within New Zealand from which phosphate occurrences have been reported have been examined.

Agriculture Minerals.—Serpentine and dunite deposits have been examined, particularly in the Nelson district where development is under consideration. Limestone deposits have been examined in several localities scattered through New Zealand.

Coal Mines.—Day-to-day advice to coal-mine operators continues, more especially in the West Coast and Waikato areas.

Coal.—The programme of research carried out in the Coal Laboratory, includes:

  1. Improved methods of determining the percentage of moisture in coal samples.

  2. The establishment of controlled conditions in air-drying rooms.

  3. Investigation of the behaviour of non-coking coals.

  4. Boron in coal: It was found that some coals from the Waikato contained up to 5 per cent boron oxide. Some preliminary work has been done to find out the origin of this boron in the coal.

BOARDS OF EXAMINERS.—The Board of Examiners set up under the Coal Mines Act annually conducts examinations of candidates 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. Twenty-three certificates were issued in 1956.

COAL MINING DISTRICTS WELFARE AND RESEARCH FUND.—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 is paid a levy at the rate of 6d. per ton on coal other than lignite and 41/2d. per ton for lignite. This fund is used for coal miners' relief, provision of amenities, establishment and maintenance of rescue stations, research, and generally for the benefit of the industry. Payments are made on the direction of the Coal Mining Districts Welfare and Research Council or the Local Committee (in relief cases).

In the year ended February 1957 grants for amenities in mining townships, £33,482, covered a variety of projects including school baths, water and sewerage schemes, fire-fighting equipment, school assembly halls, public nails, libraries, community centres, scout halls, medical and ambulance facilities, plunket rooms, sport areas and pavilions, and other activities so necessary in all communities, mining or otherwise. As usual the policy of granting moneys conditional on a fairly substantial portion being found locally was adhered to and special attention is directed to maintenance.

Research at a cost of £3,674 has been carried out by the Otago University and the Department of Scientific and Industrial Research.

The amount granted for rescue-station maintenance and team training was £16,658 and the high standard of efficiency by the various teams was maintained.

Retiring allowances for the period amounted to £14,309, representing payment to 80 miners, an average payment of £179, compared with the preceding year's average of £157. Relief fund payments amounted to £6,507, representing £5,690 to local committees, £397 lump-sum payments, and £420 for ordinary relief-fund payments made direct by the Public Trustee.

Advertising, publicity, and public relations cost £5,004. A major step in public relations was the establishment of New Zealand Coal, a quarterly publication with a circulation of 10,000.

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

THE function of the early manufacturing industries in New Zealand was to supply locally the immediate needs of the small scattered communities for food, clothing, building materials, and home furnishings and to provide shipping with ropes, spars, and repairs. These handicraft activities grew into factories as the settlements expanded and as there developed more opportunities for the organization and specialization of labour, and for the more complex processing of local or imported raw materials. Flour mills, flax mills, ropewalks, and sawmills appeared in the early eighteen-forties followed by breweries, brick kilns, cooperages in the mid-'forties and, later in that decade, lime kilns, ship and boat yards, soap and candle works and tanneries.

By 1867, the first year in which statistics of factory production were collected in conjunction with the population census, manufacturing establishments included grain mills, breweries, biscuit factories, a bone-manure works, brick and tile yards and potteries, candle and soap works, coach-building workshops, fellmongeries, tanneries, wool-scouring works, flax works, aerated water and cordial factories, iron and brass foundries, lime kilns, malt kilns, engineering workshops, a patent slip, a petroleum works, rope and cordage works, sawmills, sash and door factories, ship and boat yards, and a woollen mill. The factories of this period were still primarily concerned with the satisfaction of the needs of the limited local markets.

The development boom of the eighteen-seventies, the rapid rise in population and the better communications between internal markets encouraged further factory expansion. There was to some extent a natural protection from overseas competition in the high freight rates on imports. Other factors which assisted in this expansion were the admission of certain raw materials free of duty, the imposition of a tariff on some finished goods, and the granting of bounties by central and provincial governments for new factories. These were followed by protection by way of a tariff in 1888 as a specific policy when the home market was shrinking and capital and labour were beginning to leave the colony. Footwear and clothing factories, machinery makers and metal workers were protected by this tariff. A wider protective customs tariff was imposed in 1895. During the depressed years of the eighteen-eighties low wage costs enabled some New Zealand manufacturers to export their products, but this was partly attributable also to the special suitability of some New Zealand products, such as farm implements, to the needs of other developing communities overseas.

The first shipment of refrigerated meat in 1882 opened the way for the establishment and growth of the meat freezing and butter and cheese industries. Ten years after this first shipment, 21 meat-freezing works and 104 butter and cheese factories had been established.

The recovery from the long depression, the resumption of large-scale immigration at the beginning of the present century, the spectacular development of meat-freezing and dairy factories and the breaking-in of new land, especially in the North Island, all contributed to the revival of a strong internal demand which stimulated factory growth.

In the more favourable conditions of the earlier settlement in the South Island, Dunedin and Christchurch had been the predominant manufacturing centres. At the turn of the century Dunedin gradually lost its lead to Auckland until now Dunedin follows the Wellington - Lower Hutt area and Christchurch, in order of manufacturing output.

With the rising population and increased export income to the beginning of the First World War, manufacturing continued to expand at a steady rate. The growth continued to be concentrated on industries processing farm products for export and those supplying the more simple goods, housing materials and equipment, repairs and supplies, for farmers. In this period the electrical, wire-work, sheet-metal, and motor vehicle industries had their beginnings.

Developments in the nineteen-twenties included the expansion of the vehicle industry (particularly motor and cycle works), the sawmills, metal-working, furnishings, and apparel. These developments carried forward the tendency for industries processing farm products to give place in value of production and employment to other types of industry.

During the depression of the nineteen-thirties the volume of output of factories as a whole declined with the contraction of New Zealand's export income and the drop in internal demand. While prices fell the output of factories processing farm products rose, but not sufficiently to offset the loss in volume from other industry. The rapid drop in purchasing power caused the farmer to produce more but its impact on the factories processing "non-farm" materials meant a heavy reduction in the output of consumer goods, building materials, and agricultural and dairy machinery and implements. By 1934-35, however, the volume of factory production had been restored to the 1929-30 level.

industry emerged from the depression in much the same pattern as before - apart from the metal-working and vehicle factories which had improved their position significantly.

The recovery of manufacturing after the depression was primarily the result of better export prices, more public development and an expansionist monetary policy, all of which resulted in the re-engagement of most of the unemployed.

There had been little time for any protective effect of exchange control and import selection to stimulate industrial expansion between the date they were introduced (December 1938) and the outbreak of war in September 1939. It was the war and its shortages which changed the manufacturing pattern and gave the greatest impetus to recent industrial development. The factories using imported materials made the most progress, particularly the engineering and apparel industries, which had contributed so much to war needs.

The factories expanded in response to the need to replace imports that the United Kingdom and other countries could no longer supply; to make uniforms, weapons and equipment for the armed forces and to supply New Zealand and allied troops with preserved foodstuffs and many other kinds of provisions and ordnance.

In the immediate post-war years also the supply shortages and the requests by the United Kingdom not to spend to the full New Zealand's overseas earnings meant that if New Zealand did not produce the scarce goods it would go without.

One protective effect of the war and post-war periods and their associated imports controls was that domestic industry was often enabled to attain its optimum (New Zealand) output quickly without a difficult competitive struggle with imports.

The pattern of New Zealand industry changed again from 1949-50 with the exemption from import control of many items. Industrial production as a whole continued to increase but this was a time of readjustment and within this general rising trend, some firms closed down or ceased production of certain lines, others sustained a fall in production or did not expand to the extent they otherwise would have done. As a whole, factory expansion was sustained by a high level of internal demand, by a widening of the range of products and, to some extent, by the restriction of imports for a short period of exchange control. In this period the food group increased its volume relatively slowly (its output depending largely on the level of farm production), the leather industry production fell (as a result of competition from imports and synthetics), while footwear, other wearing apparel and make-up textile goods also increased slowly, more or less in line with population growth. Spectacular increases in production came from new developments in the pulp and paper and the rubber industries. But it was the engineering factories that contributed most (as in past years) to the growth of factory production since 1949-50. The expansion in this field was stimulated especially by the mechanization of the farms, the high level of investment in New Zealand, the demand for consumer durables and the increased imports of motor vehicles.

This expansion of production has been assisted by increases in manpower engaged and capital used. Since the end of the Second World War there has been a considerable amount of factory building and new machinery installed - for new industries as well as for the extension and modernization of existing industries. A measure of the increase in capital employed is that the value of land and buildings, plant and machinery at the end of the production year for each person engaged was £422 in 1935-36, £436 in 1945-46, rising to £633 in 1950-51 and £1,074 in 1955-56.

The greater use of machinery for manufacturing during the last twenty years is illustrated also by the continuing rise in the average horsepower for each person engaged in manufacturing. In 1935-36 the average horsepower for each person engaged in manufacturing was 2.86, in 1945-46 2.97 and 1955-56 4.43. This expansion has been helped by the growth in electric power generation and by the greater use of the individual drive technique. In the production year 1955-56 the use of electric motors in factories accounted for 90 per cent of the total rated horsepower for all types of engines employed in factories. The number and horsepower of steam, petrol, oil and other nonelectrical engines has declined absolutely as well as relatively.

Industrial progress has been rapid but manufacturing in New Zealand is still organized on a relatively small scale. Nearly two-thirds of the factories in 1955-56 employ ten persons or less, a reflection of the fact that many factories still supply to limited local markets, partly as a result of difficult transport conditions in New Zealand. There were 101 factories in this production year with the number of persons engaged exceeding 200. These factories are engaged in processing goods for export (26 are export meat-freezing works) or supplying the national market.

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 also led to heavier demands on power 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 overall price per unit retailed in 1955-56 was 1.12d., with much lower rates for industrial supply in the urban areas.) Shortage of generating capacity led to restrictions on the use of current from 1941 onwards in the North Island, and from 1947 in the South Island. In April 1953 restrictions were lifted in the North Island after the Maraetai power station came into operation. By mid-1955 it was again necessary to impose controls as demand increased, and even the addition of Whakamaru station in 1956 was not sufficient to permit giving an unlimited supply but factory production was not materially affected. In the South Island restrictions continued until July 1956. when the commissioning of Roxburgh station assured an adequate supply for some years in the South Island.

SCOPE OF STATISTICS.—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 Industrial (previously Factory) Production.

Since the year 1951-52 factories have been classified according to the New Zealand Standard Industrial Classification, and as a result some 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 beginning of the series. 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.

The statistics of factory production collected annually by the Department of Statistics 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 exclusion of the above from the scope of the statistical inquiry, and also of all persons engaged in factories in a purely distributive capacity reduces the total manufacturing labour force from that quoted by the Department of Labour (198,200—average of October 1955 and April 1956 surveys) to the figure recorded in these statistics—158,148. However, the proportion of factory production covered in this inquiry is much greater than the ratio implied by the above mentioned totals, in that practically all of the establishments of any considerable size are included.

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 following table illustrate the growth of New Zealand's factory production to its present standing. Where figures are not available, leaders have been inserted.

YearNumber of EstablishmentsPersons* EngagedSalaries* and Wages PaidCost of MaterialsOther Expenses of ProductionValue of OutputAdded ValueValue of Land and Buildings, Plant and Machinery

*For the year 1915-16 and earlier years, figures refer to productive employees only.

Estimates based on results of sample survey carried out during that year.

 No.£(000)£(000)£(000)£(000)£(000)£(000)
1877-781,09310,604..........2,382
1880-811,43013,922..........2,701
1885-861,83319,653......6,458..4.069
1890-912,15223,7611,657....8,558..4,335
1895-962,36125,3971,7483,562..9,2645,7034,777
1900-013,05938,6512,8117,716..16,4858,7696,546
1905-063,38145.1983,59313,290..21,6108,3209,537
1910-113,42142,1424,35318,738..28,5699,83111,989
1915-163,65744,6735,31729,850..41,92412,07315,799
1918-193,38553,0627,64638,291..53,80615,51519,144
1920-213,89462,97211,75353,009..75,48922,47925,696
1925-264,64370,21214,14951,3037,26278,46827,16532,420
1930-315,04770,62513,88545,3148,44871,72126,40734,496
1931-324,82362,33511,11938,8677,66060,75121,88432,919
1932-334,84762,58310,67438,9457,51960,15921,21432,945
1933-344,88365.96110,72943,5137,53865,90822,39531,965
1934-355,12672,09511,69448,8358,16373,32024,48532,415
1935-365,39178,70113,09156,8598,66583,76626,90733,175
1936-375,58487,82216,29667,4969,77899,37931,88334,386
1937-385,78093,53418,70371,7509,808106,50234,75236,308
1938-396,00293,63819,92771,1739,316106,60835,43538,597
1939-406.19899,34921,89380,21010,345120,32440,11441,020
1940-416,252104,78424,30693,01311,203137,39944,38642,165
1941-426,225108,27526,81396,48212,047145,60849,12643,752
1942-435,985106,17929,427101,90012,541155,77953,87944,674
1943-446,062109,22131,398107,02713,626164,83757,81045,984
1944-456,340113,53434,197116,47614,556178,58662,11048,765
1945-466,847118,88637,910117,05915,312183,54266,48351,781
1946-477,498124,92541,488131,34817,279205,64974,30155,775
1947-487,822130,50447,940174,84520,077259,18184,33663,316
1948-497,852132,42751,402195,05321,955286,39691,343..
1949-507,815133,24556,231215,00924,140317,343102,33477,993
1950-518,113138,43565,005266,88528,867380,200113,31687,617
1951-528,547144,37075,039290,68332,028431,038140,35597,780
1952-538,512143,18078,490318,94535,360464,065145,119109,108
1953-548,377146,42686,579332,85840,393495,377162,519122,269
1954-558,366153,55898,363365,37347,943550,791185,417138,574
1955-568,515158,148107,871382,86756,541584,036201,169169,873
1956-578,488156,651110,868394,89459,890601,900207,006181,423

NOTE.—Further figures for the year 1956-57 are given in the Latest Statistical Information Section at the front of this Year-Book.

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, but the volume of output was more than maintained. Since the war 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 terms of volume, factory production in 1955-56 was nearly 6 per cent higher than the previous year. Three important factors in this production increase were the rise in the number of persons employed, the increase in overtime worked, and the large advance in output of the paper and paper products group.

In the 8,515 establishments recorded in 1955-56 the number of persons engaged was 158,148, an increase of 4,590, or 2.99 per cent, over the 8,366 establishments from which returns were obtained in 1954-55. The amount of salaries and wages paid increased by £9.5 million, or by 9.7 per cent, and wage-earners worked 21,037,049 hours, an increase of 1,407,774 hours, or 7.2 per cent, more overtime. Cost of materials used rose by £17.5 million, or by 4.8 per cent; value of output increased by £33.2 million, or by 6 per cent; and added value increased by £15.8 million, or by 8.5 per cent.

The following table gives the main statistics by provincial districts for the year 1955-56.

Provincial DistrictNumber of EstablishmentsPersons EngagedSalaries and Wages PaidCost of MaterialsValue of OutputAdded Value
TotalPercentage of Total
 No.£(000)£(000)£(000)£(000) 
Auckland3,34464,87244,574163,643248,15784,51542.0
Hawke's Bay3695,4833,80616,59123,3436,7523.4
Taranaki3595,2043,74622,85829,4996,6413.3
Wellington1,83634,13923,98582,520127,55745,03622.4
Marlborough981,0426532,1413,0569150.4
Nelson2672,6231,7564,5978,2063,6091.8
Westland981,0696551,5392,7871,2480.6
Canterbury1,22626,38817,16849,48579,83330,34815.1
Otago—       
    Otago57112,4668,00423,03737,93114,8947.4
    Southland3474,8623,52316,45523,6667,2113.6
                Totals8,515158,148107,871382,867584,036201,169100.0

In the next table the statistics for the year 1955-56 are reclassified by employment districts of the Department of Labour, which provide a more comprehensive locality classification of manufacturing strength. The fairest guide to actual volume of production is the last column in the table on "Added Value". This shows Auckland district's dominance in the manufacturing world; its production nearly equals the total for the South Island.

Employment DistrictNumber of FactoriesPersons EngagedSalaries and Wages PaidCost of MaterialsValue of OutputAdded Value
MalesFemalesMalesFemalesTotalPercentage of Total
 No.No.£(000)£(000)£(000)£(000)£(000) 
Whangarei2452,4812501,8008613,01617,3734,3572.2
Auckland2,02532,03014,56525,5905,94597,107152,76755,66027.7
Hamilton5315,6587514,20430025,08833,6528,5644.3
Paeroa1271,3452729349810,10612,4692,3631.1
Tauranga108884165623683,6984,9761,2780.6
Rotorua2074,8143323,94713211,58022,31210,7325.4
Gisborne1171,3313279701143,4225,3931,9711.0
Napier1431,4314081,0881413,9826,3052,3231.2
Hastings1702,7105542,12422611,19115,1944,0032.0
New Plymouth3433,7656922,86724220,04625,7205,6742.8
Wanganui2342,6778572,0923209,82114,1174,2962.1
Palmerston North4094,4361,3183,30251018,58625,6227,0363.5
Masterton1601,5722551,180956,4738,7102,2371.1
Lower Hutt3097,3802,3076,4051,05432,48948,17315,6847.8
Wellington7809,1364,9957,4752,18019,00635,77416,7688.3
            Totals, North Island5,90881,65028,04864,60011,511285,612428,556142,94471.1
Blenheim98795247566872,1413,0569150.4
Nelson1821,7213431,2231303,7286,6012,8731.4
Westport4326931191114397763380.2
Greymouth1301,077199756631,9233,5051,5820.8
Christchurch1,00416,3416,66712,2052,60738,14764,47826,33113.1
Ashburton67757159580532,6113,7931,1830.6
Timaru1652,1603561,6261348,77411,6722,8981.4
Oamaru56851171621572,8274,4221,5950.8
Dunedin5158,1783,2666,1041,22320,21133,50913,2986.6
Invercargill3474,3235393,32419916,45523,6667,2113.6
            Totals, South Island2,60736,47211,97827,1964,56397,255155,48058,22528.9
            Totals, New Zealand8,515118,12240,02691,79616,075382,867584,036201,169100.0

A further summary of the operations of factories is given below for the three latest years.

1953-541954-551955-56
Number of establishments 8,3778,3668,515
Persons engagedNo.146,426153,558158,148
Production costs—
    Salaries, wages£86,579,12398,362,829107,870,738
    Materials£332,858,177365,373,468382,866,557
    Other expenses£40,392,91747,943,23056,540,803
                Totals£459,830,217511,679,527547,278,098
Value of output£495,376,770550,790,555584,035,667
Manufacturers' surplus£35,546,55339,111,02836,757,569
Value added in manufacture£162,518,593185,417,087201,169,110
Overtime worked by wage-earnersHrs.16,555,37019,629,27521,037,049
Volume index for industry: Base 1949-50(= 1000) 118413051,379
Premises and plant—
    Value at end of year—
        Land and buildings£69,359,86080,687,46197,014,215
        Plant and machinery£52,909,37057,886,92072,859,189
    Capital expenditure during year—    
        Land and buildings£6,511,4378,530,21110,400,461
        Plant and machinery£11,786,76912,061,18215,113,205

The following table gives a summary of some of the principal production statistics for the year 1955-56 classified by individual industries. Totals for the industrial 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 preserving3614,77112,752,539100,008,43421,598,091
Ham and bacon curing42892663,8285,982,3971,394,045
Sausage casings13146105,147800,838161,972
Processed cheese56333,276473,897126,575
Ice cream43481290,6551,739,804889,575
Butter and cheese2923,1822,372,59278,650,7284,786,602
Milk products other than butter and cheese991,3981,058,7449,211,5443,334,797
Fruit and vegetable preserving391,7511,003,2464,889,5641,833,794
Fish preserving94222,538134,82350,286
Grain milling45803530,5604,361,3301,240,873
Biscuits101,361727,0903,084,8651,320,502
Cocoa, chocolate, and sugar confectionery491,840964,7364,942,8901,691,757
Feeds for animals and fowls39289223,0572,539,150598,739
Food preparations n.e.i.561,450997,1269,346,8362,267,468
            Totals77728,46921,745,134226,167,10041,295,076
Beverage Industries
Wine-making2110169,588329,977170,566
Brewing of ale and stout271,3551,113,0857,061,8983,453,159
Malting8147124,5851,146,251414,810
Aerated waters and cordials73592379,4891,470,759855,873
            Totals1292,1951,686,74710,008,8854,894,408
Tobacco Manufactures
Tobacco, cigars, and cigarettes71,100613,6176,069,0381,675,183
Manufacture of Textiles
Woolscouring21430342,27312,441,314713,784
Woollen milling202,5621,506,9735,217,8022,520,795
Other spinning and weaving mills11933546,9752,415,4151,105,709
Hosiery and other knitting mills893,7772,088,7077,164,4033,384,657
Phormium flax18166105,370321,733192,083
Linen flax48040,66347,38647,386
Textiles n.e.i.20375306,7921,524,142736,939
            Totals1838,3234,937,75329,132,1958,701,353
Manufacture of Footwear, Other Wearing Apparel, and Made-up Textile Goods
Leather gloves and apparel1919090,036254,974139,183
Men's and boys' outerwear1804,4542,127,2427,133,2412,780,312
Women's and girls' outerwear3415,6812,540,8657,726,3883,526,437
Underclothing401,718753,0912,917,5461,129,274
Hats, caps, and millinery571,030489,3361,447,597735,964
Corsetry20966470,2191,428,402709,445
Neckties815578,795350,772143,498
Shirts and pyjamas531,558673,2872,718,8041,038,001
Wearing apparel n.e.i.1123,7701,697,8976,493,9802,363,154
Fur coats and necklets43262137,837373,306195,548
Footwear (other than rubber)1334,9572,871,4387,904,0513,896,077
Canvas goods41406235,642935,144402,271
Made-up textiles (other than wearing apparel)58503246,0681,439,222500,885
            Totals1,10525,65012,411,75341,123,42717,560,049
Manufactures of Wood and Cork (Except Manufacture of Furniture)
Sawmills5446,2784,613,64216,898,7119,258,186
Planing mills1441,8611,268,6267,757,6272,471,770
Joinery3403,1722,258,0357,489,4603,599,064
Wooden containers49676466,1492,148,069774,670
Plywood and veneer8532355,5241,331,227800,157
Wood products n.e.i.58397279,239852,601471,076
            Totals1,14312,9169,241,21536,477,69517,374,923
Manufacture of Furniture and Fixtures
Furniture4704,1672,718,7807,207,3063,839,481
Mattress manufacture38539345,4851,835,376649,872
Venetian blinds25244177,403900,609316,731
            Totals5334,9503,241,6689,943,2914,806,084
Manufacture of Paper and Paper Products
Pulp, paper, and paperboard51,8081,660,1819,886,3026,467,805
Cardboard boxes, cartons, and paper bags481,458869,6145,327,1141,803,083
Paper products n.e.i.491,088655,1713,859,9181,371,349
            Totals1024,3543,184,96619,073,3349,642,237
Printing, Publishing, and Allied Inds.
Printing and publishing964,7643,590,93911,305,3387,380,651
Job and general printing2754,3052,889,5317,902,6604,835,493
Service industries for printing trade32388299,394609,298503,022
            Totals4039,4576,779,86419,817,29612,719,166
Manufacture of Leather and Leather Products (Except Footwear)
Tanning14702508,4632,383,805854,258
Fellmongery78960,605807,803136,885
Leather goods83821451,6901,284,253660,706
            Totals1041,6121,020,7584,475,8611,651,849
Manufacture of Rubber Products
Motor tires and tubes3881859,7324,869,9202,193,096
Rubber goods (other than motor tires and tubes)251,388997,6403,395,1791,797,798
Vulcanizing and tire retreading57579431,6271,699,034930,259
            Totals852,8482,288,9999,964,1334,921,153
Manufacture of Chemicals and Chemical Products
Chemical fertilizers91,2611,095,72910,153,7262,809,007
Vegetable and animal oils and fats42347276,9031,654,760785,790
Ink89057,163276,564132,851
Soap and candle14512391,1022,131,212812,870
Paint and varnish27756587,9584,837,5321,437,040
Pharmaceuticals, toilet goods, and cosmetics42735394,6142,549,4811,089,961
Chemical products n.e.i.731,210818,0784,475,3331,915,841
            Totals2154,9113,621,54726,078,6088,983,360
Manufacture of Products of Petroleum and Coal
Petroleum and coal products8120100,2561,040,962228,183
Bituminous paving and roofing materials28178130,9011,088,968421,173
            Totals36298231,1572,129,930649,356
Manufacture of Non-metallic Mineral Products (Except Products of Petroleum and Coal)
Structural clay products481,036790,3821,908,7001,740,091
Pottery, china, and earthenware7477302,333656,259536,640
Cement3549490,7043,708,7012,857,973
Glass and glass products44982714,3702,201,4991,426,924
Concrete products2792,0361.559,5895,412,0712,935,844
Lime84446313,0511,504,5841,049,866
Fibrous plaster66356258,534780,109391,902
Non-metallic mineral products n.e.i.11452354,5531,997,113792,216
            Totals5426,3344,783,51618,169,03611,731,456
Basic Metal Industries
Basic metal industries89861673,7003,131,0191,312,022
Manufacture of Metal Products (Except Machinery and Transport Equipment)
Sheetmetal working1673,5672,674,7229,567,0154,616,912
Wire working24343275,0471,503,880582,398
Nail making6137107,2721,025,114194,930
Electroplating and metal polishing46367298,315594,981462,984
Metal products n.e.i.1433,0912,514,1418,289,0344,300,307
            Totals3867,5055,869,49720,980,02410,157,531
Manufacture, Assembly, and Repair of Machinery (Except Electrical Machinery)
Agricultural and pastoral machinery891,288907,0004,903,9271,575,851
Machinery n.e.i.4107,8596,061,15721,522,8349,994,156
            Totals4999,1476,968,15726,426,76111,570,007
Manufacture of Electrical Machinery, Apparatus, Appliances, and Supplies
Rangemaking91,065736,8122,004,3761,076,573
Radio assembly and manufacture201,014642,8022,787,0641,030,662
Electrical machinery, appliances n.e.i.1072,2061,460,1686,299,9252,793,956
            Totals1364,2852,839,78211,091,3654,901,191
Manufacture of Transport Equipment
Boat building and ship repairing531,216915,3221,998,5531,295,805
Motor vehicle assembly112,8452,463,31625,652,7875,800,694
Motor body building801,172841,4522,353,6021,326,467
Repairs to motor vehicles1,62513,2538,589,13825,052,27313,302,691
Aircraft maintenance and repair201,122809,0651,752,0241,194,839
Perambulators14170101,725278,220151,781
Transport equipment n.e.i.27441345,4651,157,186703,255
            Totals1,83020,21914,065,48358,244,64523,775,532
Miscellaneous Manufacturing Industries
Optical, surgical, and dental, etc., equipment28168119,561302,683159,011
Jewellery55404252,568657,569374,987
Brushes and brooms13399246,139857,946398,476
Toys and sports goods25442247,783802,013417,053
Manufacturing industries n.e.i.901,301799,3742,911,8131,497,647
            Totals2112,7141,665,4255,532,0242,847,174
            Grand totals8,515158,148107,870,738584,035,667201,169,110

ESTABLISHMENTS AND EMPLOYEES.—The increases in the number of factories in the immediate post-war years were the highest recorded annually 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 peak was reached in 1951-52, the three following years showing successive decreases in the number of factories returned. The recovery in 1955-56 just failed to reach the record number of four years previously.

The following table shows the number of factories in each provincial district for the three latest years.

Provincial DistrictNumber of Factories
1953-541954-551955-56
Auckland3,2313,2373,344
Hawke's Bay363366369
Taranaki351363359
Wellington1,8541,8301,836
Marlborough919698
Nelson273257267
Westland10911098
Canterbury1,1921,1961,226
Otago—
Otago portion579562571
Southland portion334349347
                Totals8,3778,3668,515

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. Persons engaged include proprietors actively participating in their own businesses but exclude all persons engaged in selling and distribution. Figures for persons engaged refer to the average number over the whole year.

Industry GroupNumber of FactoriesNumber of Persons Engaged
1953-541954-551955-561953-541954-551955-56
Food82179577726,15427,21728,469
Beverages1651461292,2232,2352,195
Tobacco manufactures7771,2831,2101,100
Textiles1931811838,1878,5648,323
Footwear, other wearing apparel, and made-up textile goods1,1651,1031,10524,80625,53625,650
Wood and cork products (except furniture)1,1221,1131,14312,15712,33412,916
Furniture and fittings5725525335,0595,1534,950
Paper and paper products93951023,1483,3944,354
Printing, publishing, etc.3933894038,6358,9909,457
Leather and leather products (except footwear and apparel)1051091041,6561,6801,612
Rubber products7882852,2672,6422,848
Chemicals and chemical products2212132154,6154,7834,911
Petroleum and coal products272836258258298
Non-metallic mineral products n.e.i.5085325425,8566,1906,334
Basic metal manufactures808589752870861
Metal products (except machinery and transport equipment)3773683866,5627,3557,505
Machinery (except electrical)4444594998,3318,9179,147
Electrical machinery and appliances1431321364,2514,2884,285
Transport equipment1,6491,7581,83017,57519,21820,219
Miscellaneous products2142192112,6512,7242,714
                Totals8,3778,3668,515146,426153,558158,148

Persons engaged are shown in the table below for the year 1955-56 classified into working proprietors, managerial and clerical staff, and wage-earners.

Industry GroupWorking Proprietors, Managers, Clerical StaffWage-earning EmployeesAll Persons Engaged
MalesFemalesMalesFemalesMalesFemalesTotal
Persons Engaged
Food2,90297020,8793,71823,7814,68828,469
Beverages3241161,709462,0331622,195
Tobacco manufactures73503296484026981,100
Textiles4882473,8343,7544,3224,0018,323
Footwear, other wearing apparel, and made-up textile goods1,4839954,81718,3556,30019,35025,650
Wood and cork products (except furniture)1,77027710,72114812,49142512,916
Furniture and fittings6991393,7603524,4594914,950
Paper and paper products3941432,6961,1213,0901,2644,354
Printing, publishing, etc.1,2197026,1501,3867,3692,0889,457
Leather and leather products (except footwear and apparel)187489454321,1324801,612
Rubber products3101192,0044152,3145342,848
Chemicals and chemical products7452933,0468273,7911,1204,911
Petroleum and coal products508240 2908298
Non-metallic mineral products n.e.i.7731555,1732335,9463886,334
Basic metal manufactures13732685782239861
Metal products (except machinery and transport equipment)8712365,7536456,6248817,505
Machinery (except electrical)1,3213327,402928,7234249,147
Electrical machinery and appliances3941652,9128143,3069794,285
Transport equipment3,15785916,02517819,1821,03720,219
Miscellaneous products2981331,4478361,7459692,714
                Totals17,5956,019100,52734,007118,12240,026158,148

Further information is given in the following table on persons engaged in 1955-56. Totals in each industrial group are shown by provincial districts.

Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtagoTotal
Otago PortionSouthland Portion
Number of Persons Engaged 1955-56
Food10,8702,0922,1844,101206601304,2832,3051,79728,469
Beverages9859454379175923323230312,195
Tobacco manufactures62117 921      1,100
Textiles2,026143 1,8334471262,4161,5581708,323
Footwear, other wearing apparel and made-up textile goods11,6523815265,83325985874,7501,84623125,650
Wood and cork products (except furniture)6,5693955701,573846974411,34161663012,916
Furniture and fittings2,067275821,0213982238353891374,950
Paper and paper products2,9524 728   2552351804,354
Printing, publishing, etc.3,2823232402,95251120691,3887992339,457
Leather and leather products (except footwear and apparel)82010412233 388214481,612
Rubber products77621206105  1,3872542,848
Chemicals and chemical products1,5732072121,7222624 631500164,911
Petroleum and coal products17021560   3813 298
Non-metallic mineral products n.e.i.2,89422110280944201191,2485182786,334
Basic metal manufactures322 87196 2 201476861
Metal products (except machinery and transport equipment)3,86384291,64522621,018789477,505
Machinery (except electrical)3,5403223702,1706444631,7185582989,147
Electrical machinery and appliances1,235281,637   954431 4,285 
Transport equipment7,9327396795,0862056291862,7591,25175320,219
Miscellaneous products1,2822530741333 45514232,714
                Totals64,8725,4835,20434,1391,0422,6231,06926,38812,4664,862158,148

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 1955-56 these classes accounted for 75 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 174 females to every 100 males, and footwear and other wearing apparel, etc., where there were 307 females per 100 males. The following table shows the average number of males and females engaged according to industry groups for the year 1955-56.

Industry GroupMalesFemalesTotal
Food23,7814,68828,469
Beverages2,0331622,195
Tobacco manufactures4026981,100
Textiles4,3224,0018,323
Footwear, other wearing apparel, and made-up textile goods6,30019,35025,650
Wood and cork products (except furniture)12,49142512,916
Furniture and fittings4,4594914,950
Paper and paper products3,0901,2644,354
Printing, publishing, etc.7,3692,0889,457
Leather and leather products (except footwear and apparel)1,1324801,612
Rubber products2,3145342,848
Chemicals and chemical products3,7911,1204,911
Petroleum and coal products2908298
Non-metallic mineral products n.e.i.5,9463886,334
Basic metal manufactures82239861
Metal products (except machinery and transport equipment)6,6248817,505
Machinery (except electrical)8,7234249,147
Electrical machinery and appliances3,3069794,285
Transport equipment19,1821,03720,219
Miscellaneous products1,7459692,714
                Totals118,12240,026158,148

Further information is available in the table below on the extent to which females are engaged in factories in New Zealand for 1955-56. 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 1956Total Persons Engaged Per Thousand of Population
 No.No.No.   
Auckland48,21616,65664,872289871,74574
Hawke's Bay4,4241,0595,483418102,32654
Taranaki4,4927125,20463194,10955
Wellington24,5189,62134,139255429,18480
Marlborough7952471,04232225,69741
Nelson2,2433802,62359070,84837
Westland8721971,06944318,50858
Canterbury19,2107,17826,388268307,51386
Otago—      
    Otago portion9,0293,43712,466263168,86174
    Southland portion4,3235394,86280285,27157
                Totals118,12240,026158,1482952,174,06273

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 two latest years are not strictly comparable with those of the earlier years. Since 1951-52, 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.

YearFactories With Persons Engaged Numbering—Total
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
1954-555,3501,4731,0203102138,366
1955-565,3961,5721,0302922258,515
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
1954-5527,20621,43231,65021,74051,530153,558
1955-5627,18022,96932,18420,30955,506158,148

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 63.4 per cent of the total number of factories in 1955-56.

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 1955-56.

Industry GroupEstablishments (E) Persons (P)Factories With Persons Engaged Numbering—Total
Under 66 to 1011 to 2021 to 5051 to 100101 to 200Over 200
FoodE234210153104251833777
 P7691,6252,1693,3111,8062,83615,95328,469
BeveragesE54332112621129
 P1782592904024872583212,195
Tobacco manufacturesE  11 127
 P  12501391177821,100
TextilesE30354141151110183
 P1102626251,3501,0251,7203,2318,323
Footwear, other wearing apparel.E2122183022687421101,105
and made-up textile goodsP7571,6894,5048,3415,2382,7382,38325,650
Wood and cork products (exceptE44033125010112721,143
furniture)P1,4982,5643,6772,98875992850212,916
Furniture and fittingsE27411988457  533
 P9088771,2591,401505  4,950
Paper and pulp productsE191619301143102
 P681142909928306071,4534,354
Printing, publishing, etc.E1519266562549403
 P5047349801,7051,7875483,1999,457
Leather and leather productsE4823111543 104
(except footwear and apparel)P148173156475306354 1,612
Rubber productsE302810822585
 P1042101462611303531,6442,848
Chemicals and chemical productsE724343368112215
 P2223296271,1585731,5114914,911
Petroleum and coal productsE20682   36
 P644612266   298
Non-metallic mineral productsE3001197334574542
n.e.i.P9729201,1049712799511,1376,334
Basic metal manufacturesE38241971  89
Metal products (except machinery and transport equipment)P13518825121275  861
 E14594615024102386
Machinery (except electrical)E21510574731787499
 P5037208521,6871,6101,4676667,505
Electrical machinery andP7247981,0982,3341,1931,0411,9599,147
 E372826181782136
appliancesP1242173985581,2231,2555104,285
Transport equipmentE87852727610630491,830
 P3,0223,9933,9383,1871,9114803,68820,219
Miscellaneous productsE10741302373 211
 P353299471735433423 2,714
                TotalsE3,3042,0921,5721,0302921241018,515
 P11,16316,01722,96932,18420,30917,58737,919158,148

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. For the year 1955-56 both males and females recorded increased average earnings over the previous year of 6.6 and 5.5 per cent respectively.

£
YearMalesFemalesBoth Sexes
TotalAverageTotalAverageTotalAverage
1951-5263,151,27259111,887,52131775,038,793520
1952-5366,604,45162111,886,04133178,490,492548
1953-5473,489,68867213,089,43535386,579,123591
1954-5583,397,42172914,965,40838198,362,829641
1955-5691,796,03577716,074,703402107,870,738682

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 31.5 per cent and for females by 26.8 per cent since 1951-52.

The amount of salaries and wages paid in each industrial group and in all industries during the last three years is given hereunder.

£(000)
Industry GroupSalaries and Wages Paid
1953-541954-551955-56
Food17,75219,76721,745
Beverages1,4791,6071,687
Tobacco manufactures606609614
Textiles4,4124,8644,938
Footwear, other wearing apparel, and made-up textile goods10,61611,88412,412
Wood and cork products (except furniture)7,6918,4479,241
Furniture and fittings2,8893,1633,242
Paper and pulp products1,7842,0333,185
Printing, publishing, etc.5,3736,0976,780
Leather and leather products (except footwear and apparel)9401,0191,021
Rubber products1,5172,0132,289
Chemicals and chemical products2,8103,3143,622
Petroleum and coal products179199231
Non-metallic mineral products n.e.i.3,7874,3284,784
Basic metal manufactures505651674
Metal products (except machinery and transport equipment)4,3005,3645,869
Machinery (except electrical)5,3346,3106,968
Electrical machinery and appliances2,4412,6562,840
Transport equipment10,81412,51314,065
Miscellaneous products1,3521,5251,665
                Totals86,57998,363107,871

In the following table an analysis is made of the 1955-56 totals according to provincial districts in which the industries were carried on.

£(000)
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
Food8,0521,6041,8633,259171382213,3221,5821,490
Beverages76471342969391524918524
Tobacco manufactures** *      
Textiles1,239102 1,183*24*1,36387696
Footwear, other wearing apparel, and made-up textile goods5,7671582132,91010737252,31079097
Wood and cork products (except furniture4,7992733631,12452497323940415456
Furniture and fittings1,4431775068724471348723181
Paper and paper products2,3372 474   140115117
Printing, publishing, etc.2,3582181682,251368548900561156
Leather and leather products (except footwear and apparel)508**77*  24115527
Rubber products64916*506*  1,07620*
Chemicals and chemical products1,1431711571,3001719 42138212
Petroleum and coal products124*1354   318 
Non-metallic mineral products n.e.i.2,231161736523217216832401214
Basic metal manufactures250 *152 * 15839*
Metal products (except machinery and transport equipment)3,05257201,278*18*75864636
Machinery (except electrical)2,7762332701,7484131371,223386223
Electrical machinery and appliances80317 1,108   604307 
Transport equipment5,4614724203,9361384021031,832817483
Miscellaneous products81675102992255542818910
                Totals44,5743,8063,74623,9856531,75665517,1688,0043,523

A further analysis of salaries and wages paid is given in the table below for 1955-56, 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. Males and females are distinguished throughout. £(000)

Industry GroupWorking Proprietors, Managers, Clerical StaffWage-earning EmployeesAll Persons Engaged
MalesFemalesMalesFemalesMalesFemalesTotal
Salaries and Wages Paid
Food2,80541417,1361,39119,9411,80421,745
Beverages303481,318181,621661,687
Tobacco manufactures7926237271316297614
Textiles5341102,7621,5323,2961,6424,938
Footwear, other wearing apparel, and made-up textile goods1,4975373,2967,0814,7937,61812,412
Wood and cork products (except furniture)1,6771097,388689,1651779,241
Furniture and fittings653622,3821443,0352063,242
Paper and paper products490682,2084192,6984873,185
Printing, publishing, etc.1,2022904,7295585,9318486,780
Leather and leather products (except footwear and apparel)182246371788192011,021
Rubber products348531,7141752,0622272,289
Chemical and chemical products7621462,4043103,1664563,622
Petroleum and coal products474181 2284231
Non-metallic mineral products n.e.i.757673,873864,6301534,784
Basic metal manufactures15315502365518674
Metal products (except machinery and transport equipment)9441174,5262845,4694005,869
Machinery (except electrical)1,3821575,369606,7512176,968
Electrical machinery and appliances409822,0053432,4144252,840
Transport equipment2,75835110,8619513,61944614,065
Miscellaneous products306649773171,2843821,665
                Totals17,2892,74374,50713,33291,79616,075107,871

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 later years, the figures shown below should compare reasonably well.

£
YearProprietors Actively EngagedManagers, OverseersAccountants, ClerksWage-earning EmployeesTotals
MalesFemalesMalesFemalesMalesFemalesMalesFemalesMalesFemales
Average Salary or Wage
1945-46367326596350347193359180377184
1946-47372320614365368201365189385194
1947-48428336661409406224401211421216
1949-50491346730463460266460248481253
1950-51531399797499511296514281535286
1951-52596459871525576330566311591317
1952-53628436922568626354593324621331
1953-54746497995590688388639344672353
1954-557975431,071655734410696373729381
1955-568405971,127683795435741390777402

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. Some restrictions in the supply have been necessary during recent years but since July 1956 these have been lifted in the South Island with the commissioning of the Roxburgh Station.

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 Engine1927-281937-381947-481954-551955-56
ElectricNo.12,42825,62670,274125,572135,804
 H.P.111,942181,757342,408546,054635,432
SteamNo.1,8691,4701,001628586
 H.P.63,93050,73634,78824,57623,300
Petrol and light oilNo.297
3,769
511
12,333
1,015714752
 H.P.25,30214,75516,133
Heavy oilNo.411365351
 H.P.20,26721,17821,284
OtherNo.53025587126123
 H.P.16,3676,0592,8854,4284,067
            TotalsNo.15,12427,86272,788127,405137,616
 H.P.196,008250,885425,650610,991700,216

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 1955-56.

Industry GroupRated Horsepower of Engines in Use
ElectricSteamPetrol and Light OilHeavy OilOtherTotal
Food152,59210,3711,2351,950741166,889
Beverages9,67859882193 10,551
Tobacco manufactures1,153  9041,247
Textiles25,5741,218784539 28,115
Footwear, other wearing apparel, and made-up textile goods13,829364186180814,567
Wood and cork products (except furniture)104,4108,7678,76012,9661,259136,162
Furniture and fittings14,941 4  14,945
Paper and paper products85,14326776182 85,668
Printing, publishing, etc.15,07362383261016,544
Leather and leather products (except footwear and apparel)5,95214426815 6,379
Rubber products19,8141044953030920,752
Chemicals and chemical products29,14272130241964531,229
Petroleum and coal products2,28652237 42,579
Non-metallic mineral products n.e.i.60,9235721,2082,16637765,246
Basic metal manufactures4,425 246 4,455
Metal products (except machinery and transport equipment)22,655195621,1972024,453
Machinery (except electrical)28,81737608343 29,805
Electrical machinery and appliances7,61439  7,626
Transport equipment25,308571,2011648526,815
Miscellaneous products6,103 691256,189
                Totals635,43223,30016,13321,2844,067700,216

CONSUMPTION OF COAL.—During the year 1955-56, 988,535 tons of New Zealand coal were used in industries covered by the statistics of factory production. Comparable figures for the two previous years were: 1954-55, 931,397 tons, and 1953-54, 893,800 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 1955-56 used 267,827 tons and 118,358 tons of coal respectively.

The following table shows for the year 1955-56 the consumption of coal by industrial groups.

Industry GroupTons of Coal Used, 1955-56
Food490,400
Beverages20,146
Tobacco manufactures224
Textiles42,116
Footwear, other wearing apparel, and made-up textile goods2,509
Wood and cork products (except furniture)6,049
Furniture and fittings74
Paper and paper products114,925
Printing, publishing, etc.290
Leather and leather products (except footwear and apparel)6,810
Rubber products20,276
Chemicals and chemical products24,139
Petroleum and coal products35,024
Non-metallic mineral products n.e.i.218,064
Basic metal manufactures203
Metal products (except machinery and transport equipment)2,148
Machinery (except electrical)1,012
Electrical machinery and appliances1,480
Transport equipment1,158
Miscellaneous products1,488
                Total988,535

Approximately 83 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 1955-56 are as follows.

IndustryTons
Milk products other than butter and cheese164,650
Meat freezing and preserving156,773
Cement148,168
Butter and cheese112,610
Pulp paper and paperboard112,446
Structural clay products45,027
Petroleum and coal products33,433
Food preparations n.e.i.32,591
Woollen milling21,635
Brewing of ale and stout18,940
Lime15,575
Rubber goods other than tyres and tubes11,530

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. The values shown for materials used include the cost of containers and packing but exclude fuel costs.

Totals for the latest year show that the cost of materials used in food manufacture was £184,872,024 and the goods produced were valued at £226,167,100, while the materials used in the manufacture of wood and cork products cost £19,102,772 and finished goods produced were valued at £36,477,695.

The cost of materials used in each industrial group and in all industries during the latest three years is given hereunder.

£(000)
Industry GroupCost of Materials Used
1953-541954-551955-56
Food170,923179,644184,872
Beverages4,5334,9725,114
Tobacco manufactures4,5564,5394,394
Textiles19,51720,62920,431
Footwear, other wearing apparel, and made-up textile goods21,17923,84323,563
Wood and cork products (except furniture)15,88217,61319,103
Furniture and fittings4,1564,8375,137
Paper and paper products5,9517,4609,431
Printing, publishing, etc.5,7646,6657,098
Leather and leather products (except footwear and apparel)3,1593,0372,824
Rubber products3,4354,1515,043
Chemicals and chemical products14,23216,13817,095
Petroleum and coal products1,0691,3521,481
Non-metallic mineral products n.e.i.4,9505,8566,438
Basic metal manufactures1,3141,7091,819
Metal products (except machinery and transport equipment)7,8109,85110,822
Machinery (except electrical)12,67015,01114,857
Electrical machinery and appliances5,2045,6906,190
Transport equipment24,45429,78634,469
Miscellaneous products2,1012,5922,685
                Totals332,858365,373382,867

An analysis by provincial districts of the cost of materials used for the year 1955-56 is given below.

£(000)
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
Food84,04910,32018,97824,5651,4372,44247619,94110,45912,203
Beverages2,736138585802483411,01541722
Tobacco manufactures** *      
Textiles4,4772,227 4,615*35*5,6972,372873
Footwear, other wearing apparel, and made-up textile goods10,8422945345,65920770524,3381,387181
Wood and cork products (except furniture)10,1415936792,6521119596311,794828715
Furniture and fittings2,468195521,1003137873342984
Paper and paper products6,76020 1,482   526287357
Printing, publishing, etc.2,6301651222,1462556191,181619134
Leather and leather products (except footwear and apparel)1,331**125** 531420404
Rubber products1,33225*1,221*  2,384488
Chemicals and chemical products5,9279101,0835,7853083 1,3571,88339
Petroleum and coal products604*43637   15138 
Non-metallic mineral products n.e.i.3,1872531138513623420864577303
Basic metal manufactures1,064 *316 * 19734*
Metal products (except machinery and transport equipment)5,648211502,386*18*1,3321,13440
Machinery (except electrical)7,1013443473,6544476222,283645339
Electrical machinery and appliances1,99616 2,443   1,445290 
Transport equipment9,84963455717,5391804991353,2731,053748
Miscellaneous products1,5012432424,7641741344441176
                Totals163,64316,59122,85882,5202,1414,5971,53949,48523,03716,455

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, £184,872,024, represented 48 per cent of the total cost of materials used by all industries, £382,866,557. 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. It is the selling value at the factory to customers of all goods made or processed during the year after deducting all costs of selling and distribution.

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.

£(000)
Industry GroupProducts
1953-541954-551955-56
Food206,387217,926226,167
Beverages8,8079,53910,009
Tobacco manufactures6,4396,2646,069
Textiles27,47829,29829,132
Footwear, other wearing apparel, and made-up textile goods36,17340,91241,123
Wood and cork products (except furniture)30,60134,09536,478
Furniture and fittings8,4999,6329,943
Paper and paper products10,81213,80219,073
Printing, publishing, etc.15,88818,33519,817
Leather and leather products (except footwear and apparel)4,6644,6504,476
Rubber products7,1148,8339,964
Chemicals and chemical products21,76724,83326,079
Petroleum and coal products1,5411,8672,130
Non-metallic mineral products n.e.i.13,60016,28718,169
Basic metal manufactures2,2882,9793,131
Metal products (except machinery and transport equipment)15,30219,34820,980
Machinery (except electrical)21,99826,05226,427
Electrical machinery and appliances9,46110,37511,091
Transport equipment42,13350,53258,245
Miscellaneous products4,4265,2335,532
                Totals495,377550,791584,036

A similar analysis by provincial districts, but limited to the year 1955-56, is now given.

£(000)
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
Food99,66814,99722,24130,6031,5963,09652026,27913,56615,601
Beverages4,8463021321,44642202931,96091076
Tobacco manufactures*  *      
Textiles6,5612,414 6,876*75*7,9703,9441,055
Footwear, other wearing apparel, and made-up textile goods18,9735388729,894341121857,5422,445313
Wood and cork products (except furniture)19,5001,1281,2954,6082001,9161,2913,3771,5871,575
Furniture and fittings4,6034641142,12767100281,455781205
Paper and paper products14,73226 2,324   822538631
Printing, publishing, etc.6,9526134206,3571042031002,9051,687476
Leather and leather products (except footwear and apparel)2,154**248*  914664466
Rubber products2,79666*2,248*  4,6719619
Chemicals and chemical products8,8901,3001,5738,91772150 2,2332,87865
Petroleum and coal products980*69785   22659 
Non-metallic mineral products n.e.i.8,6496082372,036901,078582,5661,981867
Basic metal manufactures1,580 *594 * 47397*
Metal products (except machinery and transport equipment)10,741335894,860*45*2,6572,15094
Machinery (except electrical)11,7067627616,687114126834,1731,306709
Electrical machinery and appliances3,39341 4,350   2,616692 
Transport equipment18,4291,3891,22625,5223761,0822946,1132,3161,497
Miscellaneous products3,0033614717,074551323588123317
                Totals248,15723,34329,499127,5573,0568,2062,78779,83337,93123,666

ADDED VALUE.—As indicated under the heading of " Products", the value of products 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 1955-56 totals according to the provincial districts in which the industries were carried on.

£(000)
Industry GroupAdded Value
1953-541954-551955-56
Food35,46338,28241,295
Beverages4,2734,5664,894
Tobacco manufactures1,8831,7241,675
Textiles7,9618,6698,701
Footwear, other wearing apparel, and made-up textile goods14,99417,06817,560
Wood and cork products (except furniture)14,71916,48217,375
Furniture and fittings4,3434,7944,806
Paper and paper products4,8616,3419,642
Printing, publishing, etc.10,12411,67012,719
Leather and leather products (except footwear and apparel)1,5051,6131,652
Rubber products3,6784,6824,921
Chemicals and chemical products7,5368,6968,983
Petroleum and coal products472515649
Non-metallic mineral products n.e.i.8,65110,43211,731
Basic metal manufactures9741,2711,312
Metal products (except machinery and transport equipment)7,4929,49810,158
Machinery (except electrical)9,32911,04111,570
Electrical machinery and appliances4,2574,6864,901
Transport equipment17,67920,74623,776
Miscellaneous products2,3252,6412,847
                Totals162,519185,417201,169

The analysis for 1955-56 by provincial districts now follows.

£(000)
Industry GroupAucklandHawke's BayTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtago
Otago PortionSouthland Portion
* To avoid disclosure of details of individual establishments, figures have been included in Miscellaneous products.
Added Value
Food15,6192,6773,2636,038159654446,3383,1073,398
Beverages2,11016374866181195294549254
Tobacco manufactures** *      
Textiles2,084187 2,261*39*2,2741,573182
Footwear, other wearing apparel, and made-up textile goods8,1312443384,23513451333,2041,059132
Wood and cork products (except furniture)9,3595356161,956899576601,583760860
Furniture and fittings2,135268621,028366320722352121
Paper and paper products7,9725 843   296252274
Printing, publishing, etc.4,3224472974,21179148811,7241,069341
Leather and leather products (except footwear and apparel)824**122** 38324463
Rubber products1,46441*1,027*  2,2874811
Chemicals and chemical products2,9643914913,1324367 87699526
Petroleum and coal products376*25148   7421 
Non-metallic mineral products n.e.i.5,4633551241,18454844371,7021,404565
Basic metal manufactures517 *278 * 27763*
Metal products (except machinery and transport equipment)5,093124392,475*27*1,3251,01655
Machinery (except electrical)4,6054174143,0336950601,890661370
Electrical machinery and appliances1,39725 1,907   1,171401 
Transport equipment8,5797556697,9831965821592,8391,262750
Miscellaneous products1,5021182302,31038910143711611
                Totals84,5156,7526,64145,0369153,6091,24830,34814,8947,211

A further table is shown below giving details of added value by industry groups and the main employment districts of the Department of Labour. This compilation is a comparatively new one in the factory production series and serves to pinpoint the main areas of manufacture far better than does the classification by provincial districts shown in the previous table.

£(000)
Industry GroupAucklandLower HuttWellingtonOther North Island DistrictsChrist-churchDunedinOther South Island DistrictsTotal for New ZealandPercentage of Total

*Included in Miscellaneous.

Excludes total for New Zealand of tobacco manufactures.

Added Value
Food9,5741,29398215,7484,8302,3676,50241,29520.5
Beverages1,661694631,0198394923504,8942.4
Tobacco manufactures****   1,6750.8
Textiles1,9007645401,3281,5381,3651,2658,7014.3
Footwear, clothing7,3846462,5752,3433,1541,04741117,5608.7
Wood manufactures2,3984094319,2281,3276852,89817,3758.6
Furniture and fittings1,8943224138646813502814,8062.4
Paper and paper products2,627795665,5482962522749,6424.8
Printing, publishing3,4111663,3722,3291,5141,03089612,7196.3
Leather and products795237466378244721,6520.8
Rubber products1,260867593802,28748204,9212.5
Chemicals and products2,8451,3481,1831,6018519701868,9834.5
Petroleum, coal products272101351377421 6490.3
Non-metallic mineral products2,9353412473,6031,3021,2252,07811,7315.9
Basic metal products4718713626725363341,3120.7
Metal products4,7951,0909658801,2951,01112110,15851
Machinery3,5941,0581,1522,6651,73653982611,5705.8
Electrical products1,1983541,4882891,171401 4,9012.4
Transport5,2405,2581,3836,1052,3691,0712,34923,77611.8
Miscellaneous1,4041,499605432433116332,8471.4
            Totals, added value55,66015,68416,76854,83326,33113,29818,596201,169100.0
            Percentage of New Zealand Total27.77.88.327.313.16.69.2100.0..

A final table on added value has been compiled which classifies factories into several added value groupings, giving a general picture of size distribution.

Added Value GroupsEstablishmentsPersons EngagedSalaries and Wages PaidCost of Materials usedValue of OutputAdded Value
TotalPer Person Engaged
£No.No.£(000)£(000)£(000)£(000)£
Under 5,0002,7619,6635,7909,96318,5868,623892
5,000-9,9992,20915,9089,90922,35338,20415,850996
10,000-19,9991,72222,74214,42844,20268,29424,0921,059
20,000-49,9991,17431,15519,68474,662110,31135,6491,144
50,000-99,99935719,52712,81356,06580,65624,5911,259
100,000-499,99924035,20424,55574,174120,72646,5521,322
500,000 and over5223,94920,690101,448147,25945,8111,913
                Totals8,515158,148107,871382,867584,036201,1691,272

The development of factory production in New Zealand from 1930-31 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 1955-56 amounted to £547,278,098, of which salaries and wages accounted for £107,870,738, cost of materials for £382,866,557, and other expenses for £56,540,803 while value of output totalled £584,035,667.

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 1955-56.

£(000)
Industry GroupCoalElectricityCoke, Gas, Oils, etc.InsuranceInterest on Loans, etc.DepreciationRentRepairs and MaintenanceOtherTotal
Food2,1161,0411955694213,1031512,5482,64112,784
Beverages10061625765450143194511,578
Tobacco manufactures179172770928249417
Textiles19013048129151668555147352,621
Footwear, other wearing apparel, and made-up textile goods15150391351674474174061,1112,887
Wood and cork products (except furniture)282801514792341,1411131,0531,6675,147
Furniture and fittings 47687501407894295796
Paper and paper products4254462792066722,423505111,4836,496
Printing, publishing, etc.29136114856751143361,5523,004
Leather and leather products (except footwear and apparel)28183321249207589326
Rubber products92103716422426191514741,422
Chemicals and chemical products1141338913462756405838132,725
Petroleum and coal products815301064353869225
Non-metallic mineral products n.e.i.1,111280309148811,090369377314,723
Basic metal manufactures122481516641543104329
Metal products (except machinery and transport equipment)11117801291193951413099542,254
Machinery (except electrical)6105871481365031243019052,314
Electrical machinery and appliances779496261171511185831,181
Transport equipment7209802901707733555772,1654,628
Miscellaneous products8388423114161110246685
                Totals4,2733,3721,6772,8682,58713,5281,8669,05217,31856,541

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 a 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 1955-56. For the year 1955-56 information is also shown by industry groups of the amounts expended during the year by way of capital additions and alterations, together with totals for all industries for the two previous years.

Industry GroupCapital Additions and Alterations During the YearValue at End of Year (Including Estimated Value of Rented Assets)
Land and BuildingsPlant and MachineryTotalLand and BuildingsPlant and MachineryTotal
Totals—
    1953-546,511,43711,786,76918,298,20669,359,86052,909,370122,269,230
    1954-558,530,21112,061,18220,591,39380,687,46157,886,920138,574,381
1955-56—
    Food2,435,8543,257,8055,693,65924,781,92916,644,30441,426,233
    Beverages393,257685,8641,079,1213,050,7642,613,8125,664,576
    Tobacco manufactures4,74662,63967,385473,006348,715821,721
    Textiles236,533778,4341,014,9673,533,2913,317,8436,851,134
    Footwear, other wearing apparel and made-up textile goods339,050467,717806,7677,745,5932,687,46110,433,054
    Wood and cork products (except furniture)924,3751,395,7822,320,1576,952,2827,203,86914,161,151
    Furniture and fittings241,008137,591378,5992,358,912804,2183,163,130
    Paper and paper products665,6842,331,6102,997,2946,778,57813,527,61920,306,197
    Printing, publishing, etc.706,9921,264,3631,971,3555,289,5404,650,2809,939,820
    Leather and leather products (except footwear and apparel)20,90046,57467,474583,736309,355893,091
    Rubber products144,694356,601501,2951,681,3501,638,4333,319,783
    Chemicals and chemical products736,543980,4621,717,0054,159,6733,163,9757,323,648
    Petroleum and coal products24,65140,89165,542247,116207,689454,805
    Non-metallic mineral products n.e.i.397,180825,1001,222,2803,967,0225,015,2678,982,289
    Basic metal manufactures52,72861,961114,689583,879357,429941,308
    Metal products (except machinery and transport equipment)589,199634,1271,223,3263,903,6892,568,5136,472,202
    Machinery (except electrical)695,006554,4401,249,4464,903,4122,460,3467,363,758
    Electrical machinery and appliances115,950150,385266.3351,724,084776,7152,500,799
    Transport equipment1,560,837877,2212,438,05812,737,4893,677,17616,414,665
    Miscellaneous products115,274203,638318,9121,558,870881,1702,440,040
            Totals, 1955-5610,400,46115,113,20525,513,66697,014,21572,859,189169,873,404

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.

Information as to the character of organization of the establishments engaged in factory production during 1955-56 is given in the following table.

Character of OrganizationNumber of EstablishmentsPersons EngagedSalaries and Wages PaidCost of Materials Used or Operated UponValue of Manufactures or ProductsAdded Value
TotalPer Establishment
 No.£(000)£(000)£(000)£(000)£
Individual1,1235,3533,1904,97210,1125,1404,577
Private firm or partnership6123,2332,0543,4526,8663,4145,578
Public registered company86352,00737,033120,564194,83574,27286,063
Private registered company5,39390,30060,315173,012280,853107,84019,996
Municipal and Government1092,5371,8121,8284,4482,62124,042
Co-operative and miscellaneous4154,7183,46779,03986,9227,88318,996
                Totals8,515158,148107,871382,867584,036201,16923,625

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 four and a quarter 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 (53.6 percent in 1955-56, as compared with 36.9 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, partnership, municipal and governmental, and co-operative and miscellaneous types of organization have declined. Very little change has occurred in the percentage of total added value attributable to the operations of public companies.

VALUE AND VOLUME INDICES OF FACTORY PRODUCTION.—Below is a table giving index numbers of added value, value of output, and volume of production based on the year 1938-39. This table commences with the year 1928-29 and runs through to 1950-51, at which stage a new series was commenced based on the year 1949-50.

Base: 1938-39 (=100)
Production YearIndex Numbers of—
Value Added in ManufactureValue of OutputVolume of Production
1928-29807971
1929-30837974
1930-31756869
1931-32625860
1932-33605863
1933-34646365
1934-35706974
1935-36777981
1936-37909392
1937-38999997
1938-39100100100
1939-40113113110
1940-41125129114
1941-42137136116
1942-43151145120
1943-44162154125
1944-45173166129
1945-46185171131
1946-47205191140
1947-48233238151
1948-49252263155
1949-50285290164
1950-51311345172

With the reclassification in 1951-52 a new series of index numbers was commenced based on the year 1949-50; these are shown below. It should be realized in comparing the two series of index numbers that the latter excludes the activities of three important industries. These relate to the logging operations of sawmillers, previously included in the sawmilling industry, and the generation and supply of gas and electricity, accounting in all for the activities of approximately 10,000 persons. However, the effect of the exclusion of these industries entirely from the new series is not great, as the two series in the overlapping period record very similar movements.

Base: 1949-50 (=100)
Production YearIndex Numbers of—
Value Added in ManufactureValue of OutputVolume of Production
1949-50100100100
1950-51111120105
1951-52137136112
1952-53142146112
1953-54159156118
1954-55181174131
1955-56197184138

The table which follows sets out by industry groups, index numbers of value of output, added value, and volume of output for the three latest years. 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
1953-541954-551955-561953-541954-551955-561953-541954-551955-56
* Index not available for the groups, but allowed for in compiling total index.
Food149015731632152716491779106310961134
Beverages159017221807170118181948118213061374
Tobacco manufactures133613001260134012271193117411481122
Textiles156416681658146815981604118512231163
Footwear, other wearing apparel, and made-up textile goods135015271535135015371581105511611170
Wood and cork products (except furniture)163018161943176619772,084119612521275
Furniture and fittings140615941645147516281632***
Paper and paper products19312,4653,40619412,5323,850159919992,868
Printing, publishing, etc.164618992,053157718171981117413631480
Leather and leather products (except footwear and apparel)135013461296121913061337981946883
Rubber products2,3202,8813,2502,1322,7142,85416082,1882,407
Chemicals and chemical products150617181804156918111870123814111488
Petroleum and coal products153318582,119110115281927***
Non-metallic mineral products n.e.i.160419202,142155618762,110115513141397
Basic metal manufactures15642,0362,14015412,0112,076***
Metal products (except machinery and transport equipment)16782,1222,30117472,2152,368***
Machinery (except electrical)2,0972,4842,51917562,0782,177***
Electrical machinery and appliances162317801903160317651846128613961496
Transport equipment17882,1442,47117192,0172,312***
Miscellaneous products144617101808142616201747***
                Totals156117361840158818121966118413051379

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)
1953-541954-551955-56
Food4,958,0145,666,3316,223,045
Beverages467,146491,576514,241
Tobacco manufactures181,757189,518164,234
Textiles687,751744,964681,653
Footwear, other wearing apparel, and made-up textile goods723,641852,580722,239
Wood and cork products (except furniture)1,233,1841,331,0741,482,756
Furniture and fittings304,821385,065377,310
Paper and paper products361,155496,244538,871
Printing, publishing, etc.606,965727,805786,898
Leather and leather products (except footwear and apparel)137,018152,535140,571
Rubber products227,441397,386488,132
Chemicals and chemical products727,088898,343972,756
Petroleum and coal products29,45040,76537,924
Non-metallic mineral products n.e.i.1,238,7181,411,1201,555,524
Basic metal manufactures108,125138,570137,208
Metal products (except machinery and transport equipment)1,126,6921,562,1791,670,469
Machinery (except electrical)1,282,9381,466,1421,576,492
Electrical machinery and appliances374,141489,837459,505
Transport equipment1,642,5242,016,0102,320,875
Miscellaneous products136,801171,231186,346
                Totals16,555,37019,629,27521,037,049

The next table shows, by industry groups, the hours of overtime worked during 1955-56 by males and females separately.

Industry GroupTotal Overtime Hours Worked by Wage-earnersAverage Overtime Hours Worked by All Wage-earners
MalesFemalesMalesFemales
Food5,831,075391,970279.28105.42
Beverages513,844397300.678.63
Tobacco manufactures93,89970,335285.41108.54
Textiles567,105114,548147.9130.51
Footwear, other wearing apparel, and made-up textile goods352,595369,64473.2020.14
Wood and cork products (except furniture)1,475,8576,899137.6646.61
Furniture and fittings369,3177,99398.2222.71
Paper and paper products475,59463,277176.4156.45
Printing, publishing, etc.707,96978,929115.1256.95
Leather and leather products (except footwear and apparel)127,05013,521134.4431.30
Rubber products478,2919,841238.6723.71
Chemicals and chemical products938,62034,136308.1541.28
Petroleum and coal products37,924 158.02 
Non-metallic mineral products n.e.i.1,516,57438,950293.17167.17
Basic metal manufactures136,833375199.7653.57
Metal products (except machinery and transport equipment)1,613,05957,410280.3989.01
Machinery (except electrical)1,552,59023,902209.75259.80
Electrical machinery and appliances414,10445,401142.2155.78
Transport equipment2,295,98024,895143.27139.86
Miscellaneous products152,56733,779105.4440.41
                Totals19,650,8471,386,202195.4840.76

SUMMARY OF OPERATIONS.—The following table contains an analysis of production costs in 1955-56, 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 a 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.

£(000)
Industry GroupProduction CostsValue of ProductsManufacturing Surplus
Salaries and WagesCost of All Materials UsedOther Expenses of OperationTotal
Food21,745184,87212,784219,401226,1676,766
Beverages1,6875,1141,5788,37910,0091,629
Tobacco manufactures6144,3944175,4256,069644
Textiles4,93820,4312,62127,99029,1321,142
Footwear, other wearing apparel, and made-up textile goods12,41223,5632,88738,86241,1232,261
Wood and cork products (except furniture)9,24119,1035,14733,49136,4782,987
Furniture and fittings3,2425,1377969,1759,943768
Paper and paper products3,1859,4316,49619,11219,073-39
Printing, publishing, etc.6,7807,0983,00416,88219,8172,936
Leather and leather products (except footwear and apparel)1,0212,8243264,1714,476305
Rubber products2,2895,0431,4228,7549,9641,210
Chemicals and chemical products3,62217,0952,72523,44226,0792,637
Petroleum and coal products2311,4812251,9362,130194
Non-metallic mineral products n.e.i.4,7846,4384,72315,94418,1692,225
Basic metal manufactures6741,8193292,8213,131310
Metal products (except machinery and transport equipment)5,86910,8222,25418,94620,9802,034
Machinery (except electrical)6,96814,8572,31424,13920,4272,288
Electrical machinery and appliances2,8406,1901,18110,21111,091880
Transport equipment14,06534,4694,62853,16258,2455,082
Miscellaneous products1,6652,6856855,0365,532496
                Totals107,871382,86756,541547,278584,03636,758

LIST OF CERTAIN COMMODITIES PRODUCED IN RECENT YEARS.—The following is a list of certain commodities produced in New Zealand during the years 1953-54 to 1956-57.

1953-541954-551955-561956-57
* Revised
ToastersNo.28,91630,69230,31533,784
IronsNo.61,29559,49164,22119,945
Jugs and kettlesNo.31,83246,49541,99947,131
RadiatorsNo.42,10740,17028,97822,477
Vacuum cleanersNo.36,18341,27331,39928,449
Washing machinesNo.49,85957,37645,45833,746
Refrigerators (home and commercial and freezers)No.44,69366,17671,56458,809
Electric rangesNo.25,37528,50631,04926,028
Electric rangettesNo.6,7126,5595,4694,058
RadiosNo.71,68985,405100,76497,870
Women's fully fashioned nylon hoseDoz. prs.237,556309,373359,576406,930
Men's half hoseDoz. prs.308,378335,111285,365227,722
BlanketsPairs135,755143,515144,671154,006
Floor coverings (textile top coverings)Sq. yd.1,526,826*1,616,444*1,671,106*1,526,215
Mattresses—
    Innerspring—
        SingleNo.15,43815,85421,29926,266
        DoubleNo.10,44412,60918,43120,398
    Soft filled—     
        SingleNo.98,818100,64984,99882,637
        DoubleNo.29,90734,58126,83223,781
        InfantsNo.15,91516,17616,91917,964
Venetian blindsSq. ft.2,631,4954,040,8524,369,9824,331,542
Newspapers produced—
    DailiesThousand256,296262,122269,313276,514
    Other than dailiesThousand40,49341,30943,86845,736
Hot-water bottlesNo.207,676277,570378,166193,319
Soap—
    ToiletTon2,7972,9632,9303,314
    BarTon6,1775,7585,2784,788
    Powder and flakeTon9,9199,6949,72810,040
Paints—
    Ready mixed—
        Oil and alkyd-vehicle typeGallons1,121,1951,441,0691,533,8481,813,890
        EnamelsGallons742,224844,059927,162680,975
ToothpasteCwt.5,4586,5518,4378,805
Furniture and floor polishCwt.18,74020,11623,815*25,355
Shoe polishes and cleanersCwt.3,9353,9913,4303,878
Water heaters—
    Under 10No.14,95313,49511,35513,674
    10 gallons and overNo.29,59535,06934,11334,113
Sinks: stainless steelNo.5,82110,59918,74123,602
Sink tops: stainless steelNo.10,42413,47214,68314,616
WheelbarrowsNo.15,45011,36210,3997,086
Lawnmowers (hand and power)No.46,29948,60559,79562,934
Prams, pushchairs, strollers—
    CaneNo.10,44810,26410,50810,267
    Other than caneNo.16,42018,50420,47221,385
BroomsNo.465,091612,736614,339556,006
ToothbrushesNo.2,141,4001,979,1042,111,4121,838,724

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.

1953-541954-551955-56

* Revised to include products of other establishments.

The values of products and the cost of butterfat in these tables are normally prepared from the companies' financial accounts based on the guaranteed prices of butter and cheese announced at the beginning of each season. During the 1955-56 season, however, the differential payment for cheese manufacture was raised from 2d. to 4d. per pound of butterfat, and at the end of the season a marketing surplus was distributed at the rate of 0.7d. per pound of butterfat received by companies for manufacture into butter and cheese. The total additional payout, as a result of these variations, amounted to approximately £2 million. This amount is not included in the figure shown above for 1955-56.

Revised.

* Revised.

Includes products of establishments classified in other industries.

* Includes production by establishments classified in other industries.

† In addition, in 1953-54, 70,534 gallons; in 1954-55, 86,763 gallons; and in 1955-56, 92,565 gallons were recorded by establishments classified in other industries.

* Revised.

* Revised.

* Revised.

*Principal products shown for this industry include the production of establishments classified in other industries.

* Revised.

* Principal products shown for these industries include the production of establishments classified in other industries.

Meat Freezing and Preserving
Number of establishments 444036
Persons engagedNo.13,20013,74914,771
Production costs—
    Salaries, wages£10,055,37811,394,43112,752,539
    Materials£70,163,46977,078,74078,410,343
    Other expenses£3,758,8034,451,3584,958,005
            Totals£83,977,65092,924,52996,120,887
Value of output£87,275,06396,637,959100,008,434
Value added in manufacture£17,111,59419,559,21921,598,091
Overtime worked by wage-earnersHrs.3,070,7043,374,0803,949,536
Principal products—
    Meat—
        Lamb carcasesNo.13,010,54813,675,57014,430,175
 Cwt.3,901,7924,075,1844,131,141
        Mutton carcasesNo.2,991,6993,215,0203,273,462
 Cwt.1,447,0611,538,5461,536,191
        Boned muttonCwt.128,37099,82276,730
        Mutton and lamb piecesCwt.22,04229,57628,620
        Beef quarters, shipped bone inCwt.1,175,5891,498,7741,981,521
        Beef quarters, without boneCwt.41,9199,84021,490
        Boneless beefCwt.629,164618,790593,603
        Bobby vealCwt.186,634199,489202,097
        Other vealCwt.34,54147,51161,373
        PorkCwt.411,357473,031486,942
        Edible offalsCwt.435,270435,577497,486
        RabbitsNo.696,464312,333 
    By-products—
        Runners£2,781,1383,688,0064,523,599
        Woolly sheepskinsNo.171,119165,064182,968
        PeltsNo.17,640,66018,479,47319,436,137
        Rabbit skinsNo.412,680145,230 
        Cow hidesNo.324,053417,554472,326
        Ox and bull hidesNo.195,305243,043257,544
        Bobby calf hidesNo.1,217,9391,322,6731,351,342
        Other calf hidesNo.23,72237,20540,283
        Woollb.49,948,80050,137,76050,363,438
    Boiling-down products—
        TallowCwt.771,512780,665857,384
        Neatsfoot oilGallons95,570109,690108,885
        ManuresCwt.664,143679,125665,363
        LivermealCwt.22,67429,45624,515
        MeatmealCwt.284,866303,938319,102
Canned and other preserved meats, pastes, extracts, and miscellaneous canningsCwt.337,943226,187176,265
Ham and Bacon Curing
Number of establishments 444242
Persons engagedNo.777815892
Production costs—
    Salaries, wages£528,518578,622663,828
    Materials£4,227,2454,282,9704,588,352
    Other expenses£242,411291,390337,515
            Totals£4,998,1745,152,9825,589,695
Value of output£5,387,6265,422,5495,982,397
Value added in manufacture£1,160,3811,139,5791,394,045
Overtime worked by wage-earnersHrs.102,541129,065152,713
Pigs dealt with—
    CarcasesNo.356,577373,318385,497
    Cost£3,545,2373,545,3913,743,444
Principal products—
    Ham and baconCwt.257,321271,411289,617
    Frozen porkCwt.51,62139,61133,357
    Small goodsCwt.153,209*158,969*174,221
    Lard (edible)Cwt.10,16811,01911,332
Butter, Cheese, and Other Milk Products
Number of establishments—
    Butter and cheeseNo.326318292
    Other milk productsNo.808299
Persons engagedNo.4,5664,5464,580
Production costs—
    Salaries, wages£3,171,9523,215,1003,431,336
    Materials£76,486,69477,525,78179,740,873
    Other expenses£3,733,9333,883,3544,231,277
            Totals£83,392,57984,624,23587,403,486
Value of output£84,408,83985,015,04087,862,272
Value added in manufacture£7,922,1457,489,2598,121,399
Overtime worked by wage-earnersHrs.781,839839,861894,183
Butterfat used—
    For creamery butterlb.(000)333,523344,795369,883
    For cheesemakinglb.(000)92,91591,47885,714
    For whey butter making—
        Recoveries from own wheylb.(000)3,3823,3663,379
        Whey fat purchasedlb.(000)2,3962,3532,102
        Second grade creamery butterfatlb.(000)180169185
            Total whey butterlb.(000)5,9585,8885,666
For other manufacturing or for separation for cream saleslb.(000)7,0148,0237,162
Principal products—
    Creamery butterTons180,820186,867200,174
    Whey butterTons3,1373,1883,067
    CheeseTons102,954101,78495,939
    Condensed and powdered whole milkTons16,70116,81214,674
    Skim-milk powderTons40,60032,49836,099
    Buttermilk powderTons6,3769,91711,992
    CaseinTons7,73311,49114,769
Ice-cream
Number of establishments 444443
Persons engagedNo.382429481
Production costs—
    Salaries, wages£203,865237,545290,655
    Materials£700,051804,331850,229
    Other expenses£245,472258,732309,132
            Totals£1,149,3881,300,6081,450,016
Value of output£1,447,9561,614,3741,739,804
Value added in manufacture£747,905810,043889,575
Overtime worked by wage-earnersHrs.29,00133,26937,852
Main materials used—
    MilkGallons536,183601,989562,193
    CreamGallons17,88722,94034,452
    Ice-cream mixtureCwt.41,62444,765*46,125
    Butterlb.1,059,5221,236,592*1,261,568
    Skim-milk powderlb.1,295,8401,356,5441,600,480
    SugarCwt.22,68924,62827,397
Products—
    Bulk ice-creamGallons2,049,6782,262,866*2,311,898
    Ice-cream, cartoned, wrapped, chocolate-coated, etc.Gallons1,521,1441,680,2681,766,315
Grain Milling
Number of establishments 474745
Persons engagedNo.838849803
Production costs—
    Salaries, wages£488,081539,257530,560
    Materials£3,163,3743,055,9313,120,457
    Other expenses£338,813378,424382,306
            Totals£3,990,2683,973,6124,033,323
Value of output£4,240,8214,309,0464,361,330
Value added in manufacture£1,077,4471,253,1151,240,873
Overtime worked by wage-earnersHrs.57,99591,59993,331
Main materials used—
    WheatBushels8,105,3358,437,8638,196,875
    OatsBushels601,117539,406557,044
Principal products—
    FlourShort Tons177,933183,200179,591
    Wholemeal, wheatmealShort Tons8,152*8,637*8,489
    Bran and pollard ShortTons50,92250,65950,972
Prepared cereals for human consumption—
    Oatmeal, rolled oatsShort Tons6,6076,3025,854
Other (including cereals in biscuit and flake form)Short Tons5,2395,7645,831
Biscuits
Number of establishments 101010
Persons engagedNo.1,0381,3791,361
Production costs—
    Salaries, wages£519,688690,006727,090
    Materials£1,459,1241,661,7251,764,363
    Other expenses£341,163464,981544,758
            Totals£2,319,9752,816,7123,036,211
Value of output£2,603,8282,847,2803,084,865
Value added in manufacture£1,144,7041,185,5551,320,502
Overtime worked by wage-earnersHrs.130,974209,813201,792
Main materials used—
    FlourShort Tons11,29811,26710,427
    SugarTons4,1434,0304,047
    ChocolateCwt.6,0365,9356,207
    Margarine, lard, confectionery fatCwt.57,66852,34247,163
Biscuits manufacturedTons16,32915,87515,125
Cocoa, Chocolate, and Sugar Confectionery
Number of establishments 525049
Persons engagedNo.1,8631,8011,840
Production costs—
    Salaries, wages£868,104894,843964,736
    Materials£3,042,1702,976,1273,251,133
    Other expenses£410,394492,349552,719
            Totals£4,320,6684,363,3194,768,588
Value of output£4,706,7164,759,9984,942,890
Value added in manufacture£1,664,5461,783,8711,691,757
Overtime worked by wage-earnersHrs.120,556172,277164,173
Main materials used—
    SugarTons9,2758,9019,011
    Cocoa beansCwt.55,53838,66947,605
    Cocoa butterCwt.8,6068,6067,324
    GlucoseCwt.67,86261,15558,169
Confectionery manufactured—
Chocolate and chocolate-coatedTons7,3906,2966,506
SugarTons9,5489,5599,748
Fruit and Vegetable Preserving
Number of establishments 444139
Persons engagedNo.1,5511,7171,751
Production costs—
    Salaries, wages£744,950949,0341,003,246
    Materials£2,570,4602,958,8273,055,770
    Other expenses£449,546534,333571,226
            Totals£3,764,9564,442,1944,630,242
Value of output£4,135,0334,866,8284,889,564
Value added in manufacture£1,564,5731,908,0011,833,794
Overtime worked by wage-earnersHrs.359,738508,495422,787
Main materials used—
    FruitTons6,6887,9588,794
    Vegetables and tomatoesTons17,93425,86220,688
    SugarTons3,6793,1033,283
Principal products—
    Canned fruitCwt.50,74667,09591,992
    Canned beans in sauceCwt.45,08339,99546,928
    Canned peasCwt.199,303239,476108,064
    Canned green beansCwt.15,90116,99717,320
    Other canned vegetables (not tomatoes)Cwt.17,41116,272
    Tomato soupGallons317,045336,014344,264
    Pickles and sauces*Gallons530,767546,550508,611
    Jams, jellies, and conservesCwt.73,93747,22548,083
    Canned spaghetti in sauceCwt.35,58440,01849,602
Canned tomatoes (including pulp and puree for sale as such)Cwt.31,59525,22816,490
Quick-frozen vegetables—
    PeasCwt.42,41266,36175,265
    BeansCwt.10,86317,493
    otherCwt.7,6226,955 
Breweries
Number of establishments 333027
Persons engagedNo.1,3501,3701,355
Production costs—
    Salaries, wages£932,9861,038,1751,113,085
    Materials£3,198,1713,484,3643,608,739
    Other expenses£989,4861,100,4381,111,805
            Totals£5,120,6435,622,9775,833,629
Value of output£6,317,1756,673,9827,061,898
Value added in manufacture£3,119,0043,189,6183,453,159
Overtime worked by wage-earnersHrs.380,477408,838424,105
Main materials used—
    MaltBushels1,254,1091,331,6191,375,192
    HopsCwt.6,7896,8186,874
    SugarCwt.65,13469,47974,129
Beer produced for saleGallons40,646,81344,202,96146,470,824
Stout produced for saleGallons454,200445,413447,663
Aerated Waters and Cordials
Number of establishments 847773
Persons engagedNo.546587592
Production costs—
    Salaries, wages£326,542365,072379,489
    Materials£537,216604,725614,886
    Other expenses£171,771202,632251,478
            Totals£1,035,5291,172,4291,245,853
Value of output£1,206,9281,400,5421,470,759
Value added in manufacture£669,712795,817855,873
Overtime worked by wage-earnersHrs.26,02027,67929,683
Main materials used—
    SugarTons3,5424,0094,021
    Essential oils and essenceslb.94,007111,516110,416
    Fruit extracts and juicesGallons75,45485,18474,883
Aerated waters madeGallons4,871,6225,299,8585,973,548
Cordials madeGallons367,329417,870398,349
Tobacco, Cigars, and Cigarettes
Number of establishments 777
Persons engagedNo.1,2831,2101,100
Production costs—
    Salaries, wages£605,535608,844613,617
    Materials£4,555,6054,539,4474,393,855
    Other expenses£392,718420,983417,165
            Totals£5,553,8585,569,2745,424,637
Value of output£6,438,8276,263,8906,069,038
Value added in manufacture£1,883,2221,724,4431,675,183
Overtime worked by wage-earnersHrs.181,757189,518164,234
Tobacco leaf used in manufacturelb.10,687,91010,237,7529,945,245
Cigarettes madeMillion1,9941,9621,903
Tobacco madelb.5,552,8145,379,4305,318,754
Woollen Milling
Number of establishments 181920
Persons engagedNo.2,6362,6282,562
Production costs—
    Salaries, wages£1,480,1401,549,2431,506,973
    Materials*£2,828,1092,948,0132,480,615
    Other expenses£671,327782,701789,960
            Totals*£4,979,5765,279,9574,777,548
Value of output*£5,195,0435,435,5975,001,410
Value added in manufacture£2,366,9342,487,5842,520,795
Overtime worked by wage-earnersHrs.249,790250,762195,479
Main materials used—
    Wool fibres—
        Greasy and slipe woollb.9,085,0768,576,7307,826,236
        Scoured woollb.611,515397,603480,981
            Tops, noilslb.645,755679,075580,132
        Woollen and worsted yarn*lb.60,361103,22888,169
    Non-wool fibres—
       Artificial and syntheticlb.61,083102,14282,029
       Otherlb.16,77227,62511,994
Principal products—
    Woollen clothYd. 54 in.1,411,6161,136,048895,059
    Worsted clothYd. 54 in.819,0171,006,1441,074,661
    FlannelYd. 54 in.450,374500,417444,589
    BlanketsPairs135,755143,515144,671
    RugsNo.37,68334,59050,967
    Yarn produced for sale or transfer—
        Fingeringlb.340,683311,159315,561
        Machine knitting*lb.2,150,4312,103,7491,947,113
Hosiery and Other Knitting Mills
Number of establishments 1009189
Persons engagedNo.3,6243,9223,777
Production costs—
    Salaries, wages£1,752,4352,014,6452,088,707
    Materials£4,292,2034,302,9963,779,746
    Other expenses£763,895925,954959,093
            Totals£6,808,5337,243,5956,827,546
Value of output£7,407,2427,759,3987,164,403
Value added in manufacture£3,115,0393,456,4023,384,657
Overtime worked by wage-earnersHrs.150,050180,265152,090
Clothing
Number of establishments 843801811
Persons engagedNo.18,16418,95919,332
Production costs—
    Salaries, wages£7,309,6688,243,4538,830,732
    Materials£15,518,12017,851,30117,790,645
    Other expenses£1,598,0191,776,7311,950,903
                Totals£24,425,80727,871,48528,572,280
Value of output£25,690,85129,648,56530,216,730
Value added in manufacture£10,172,73111,797,26412,426,085
Overtime worked by wage-earnersHrs.396,684499,409437,173
Footwear
Number of establishments 136130133
Persons engagedNo.5,0505,1124,957
Production costs—
    Salaries, wages£2,596,3142,910,2972,871,438
    Materials£3,798,7884,195,3424,007,974
    Other expenses£602,319698,563715,131
                Totals£6,997,4217,804,2027,594,543
Value of output£7,408,5138,233,4307,904,051
Value added in manufacture£3,609,7254,038,0883,896,077
Overtime worked by wage-earnersHrs.288,669318,378250,820
Main materials used—
    Upper leatherSq, ft.9,221,15910,066,3789,417,445
    Sole leatherlb.5,133,7255,278,9584,776,986
    FeltSq. yd.211,660198,592161,927
Principal products—
    Men's and boys' boots and shoesPairs1,071,0361,126,0981,023,419
    Women's and girls' shoesPairs1,749,7892,041,4021,884,897
    Sandals (all kinds)Pairs683,521711,314*779,871
    Slippers, leather and felt, etc.Pairs1,648,7251,734,3251,669,757
Sawmills
Number of establishments 564542544
Persons engagedNo.5,8185,8666,278
Production costs—
    Salaries, wages£3,772,6614,186,2294,613,642
    Materials£6,487,0197,133,7217,640,525
    Other expenses£2,416,4882,933,3203,448,781
                Totals£12,676,16814,253,27015,702,948
Value of output£14,213,19515,926,27016,898,711
Value added in manufacture£7,726,1768,792,5499,258,186
Overtime worked by wage-earnersHrs.461,423515,685620,339
Rough sawn timber producedThousand ft. b.m.574,289614,177*633,559
Planing Mills
Number of establishments 149147144
Persons engagedNo.1,9601,9891,861
Production costs—
    Salaries, wages£1,191,7491,302,1591,268,626
    Materials£4,334,2594,962,4215,285,857
    Other expenses£537,803571,222580,524
                Totals£6,063,8116,835,8027,135,007
Value of output£6,737,2717,548,8057,757,627
Value added in manufacture£2,403,0122,586,3842,471,770
Overtime worked by wage-earnersHrs.229,251233,671268,005
Rough sawn timber used in manufactureThousand ft, b, m,114,286120,339120,821
Dressed timber produced—
    FloorboardsThousand ft. b.m.31,85033,60234,072
    WeatherboardsThousand ft. b.m.27,40824,51223,878
    OtherThousand ft. b.m.42,95748,34149,040
Joinery work done£1,168,0221,258,8731,258,836
Joinery
Number of establishments 299313340
Persons engagedNo.2,8752,9363,172
Production costs—
    Salaries, wages£1,814,2891,968,5172,258,035
    Materials£3,090,6883,497,0533,890,396
    Other expenses£445,571522,558597,379
                Totals£5,350,5485,988,1286,745,810
Value of output£6,000,9506,734,8377,489,460
Value added in manufacture£2,910,2623,237,7843,599,064
Overtime worked by wage-earnersHrs.370,885415,465424,188
Timber used in manufactureThousand ft. b.m.53,86257,08861,169
Dressed timber produced—
    FloorboardsThousand ft. b.m.2,8382,9323,704
    WeatherboardsThousand ft. b.m.2,0081,6921,910
    OtherThousand ft. b.m.3,5283,7933,458
Joinery and other woodwork£5,600,5286,296,3987,003,702
Furniture
Number of establishments 509487470
Persons engagedNo.4,3264,3494,167
Production costs—
    Salaries, wages£2,454,8002,659,2022,718,780
    Materials£2,728,8173,137,3203,367,825
    Other expenses£516,086565,185598,297
                Totals£5,699,7036,361,7076,684,902
Value of output£6,235,4016,988,6967,207,306
Value added in manufacture£3,506,5843,851,3763,839,481
Overtime worked by wage-earnersHrs.258,234324,919316,716
Pulp, Paper, and Paperboard
Number of establishments 445
Persons engagedNo.9189731,808
Production costs—
    Salaries, wages£644,343700,1461,660,181
    Materials£1,498,1972,000,6613,418,497
    Other expenses£1,288,3952,093,7625,616,007
                Totals£3,430,9354,794,56910,694,685
Value of output£4,044,8365,450,4749,886,302
Value added in manufacture£2,546,6393,449,8136,467,805
Overtime worked by wage-earnersHrs.180,837234,308284,083
Principal products—
    NewsprintTons  39,006
    Other paper*Tons11,32722,91228,880
    Paperboard*Tons16,13217,37922,247
    Fibreboard*Sq. yd. (000)6,6616,8967,650
    Wood pulp for saleTons9,59626,98650,600
Cardboard Boxes, Cartons, and Paper Bags
Number of establishments 464648
Persons engagedNo.1,2911,365*1,458
Production costs—
    Salaries, wages£669,869778,929869,614
    Materials£2,733,0583,226,2653,524,031
    Other expenses£314,907410,316538,231
                Totals£3,717,8344,415,5104,931,876
Value of output£4,062,0554,918,6755,327,114
Value added in manufacture£1,328,9971,692,4101,803,083
Overtime worked by wage-earnersHrs.110,702174,675157,326
Paper used in manufactureTons7,3386,9427,565
Cardboard used in manufactureTons20,60624,38526,486
Cardboard boxes, cartons, made£2,948,8043,732,8333,968,050
Paper bags, made£894,910963,4821,087,434
Printing and Publishing
Number of establishments 1009796
Persons engagedNo.4,2914,4914,764
Production costs—
    Salaries, wages£2,858,9993,249,0863,590,939
    Materials£3,010,7273,456,9143,924,687
    Other expenses£1,297,0751,560,7951,829,613
                Totals£7,166,8018,266,7959,345,239
Value of output£8,863,45110,321,37211,305,338
Value added in manufacture£5,852,7246,864,4587,380,651
Overtime worked by wage-earnersHrs.225,672256,103280,824
Newsprint usedTons35,84441,73646,316
Other paper usedTons2,8143,1673,108
Job and General Printing
Number of establishments 265262275
Persons engagedNo.4,0014,1324,305
Production costs—
    Salaries, wages£2,280,8962,570,7422,889,531
    Materials£2,671,8163,111,0073,067,167
    Other expenses£829,060977,9081,086,818
                Totals£5,781,7726,659,6577,043,516
Value of output£6,576,2907,471,9037,902,660
Value added in manufacture£3,904,4744,360,8964,835,493
Overtime worked by wage-earnersHrs.345,212441,792462,650
Newsprint usedTons917938809
Other paper usedTons9,44510,91011,675
Cardboard usedTons2,5093,2033,438
Tanning
Number of establishments 141514
Persons engagedNo.754757702
Production costs—
    Salaries, wages£493,769541,748508,463
    Materials£1,889,3311,768,7151,529,547
    Other expenses£204,074214,656199,516
            Totals£2,587,1742,525,1192,237,526
Value of output£2,695,3932,613,0042,383,805
Value added in manufacture£806,062844,289854,258
Overtime worked by wage-earnersHrs.90,137109,02995,023
Main materials used—
    Cattle hidesNo.336,278338,257307,255
    Yearling and calf hidesNo.210,614238,602166,819
    PeltsNo.672,522380,991497,563
    Sheep-skinsNo.57,12442,09028,990
Principal products—
    Leather—
        Hides—Bendslb.2,779,7622,634,4112,336,489
                Shoulderslb.1,383,3891,353,6841,294,728
                Bellieslb.1,544,4451,394,9691,294,670
                Chrome and other sidesSq. ft.8,402,3438,796,4117,445,273
        YearlingSq. ft.550,732665,631840,095
        CalfSq.ft.1,250,1991,222,611854,457
        Sheep—BasilsSq. ft.194,903222,694160,656
            RoansSq. ft.1,794,5621,604,660854,909
            ChamoisDoz.17,32014,59822,580
            Woolly skinsSq. ft.246,058194,263144,357
Rubberware
Number of establishments 272728
Persons engagedNo.1,8012,1512,269
Production costs—
    Salaries, wages£1,208,5721,653,4921,857,372
    Materials£2,779,8013,512,7244,274,205
    Other expenses£888,4571,123,4141,141,666
            Totals£4,876,8306,289,6307,273,243
Value of output£5,721,8647,352,0498,265,099
Value added in manufacture£2,942,0633,839,3253,990,894
Overtime worked by wage-earnersHrs.171,148328,229415,483
Crude rubber usedlb.(000)10,62314,60816,195
Principal products—
        Motor tiresNo.337,867518,628601,504
        Motor tubesNo.342,301469,716525,956
        Camelbacklb.2,690,7183,085,3793,442,173
        Milking rubberware£873,592934,217944,433
        Bicycle tires and tubes873,592934,217944,433
        Battery containers 873,592934,217944,433
        Rubber and canvas footwear 873,592934,217944,433
Chemical Fertilizers
Number of establishments 899
Persons engagedNo.1,0961,2361,261
Production costs—
    Salaries, wages£788,071993,4501,095,729
    Materials£5,289,8446,333,0727,344,719
    Other expenses£734,122936,662990,191
            Totals£6,812,0378,263,1849,430,639
Value of output£7,543,0839,125,58810,153,726
Value added in manufacture£2,253,2392,792,5162,809,007
Overtime worked by wage-earnersHrs.385,577452,838516,911
Main materials used—
    Rock phosphateTons412,313534,889568,663
    Serpentine rockTons64,46777,02889,988
    SulphurTons78,099102,138108,876
    Carbonate of limeTons10,29215,87023,362
    Nitrate of sodaTons3,2844,1154,797
    PotashTons9,9808,85817,145
Principal products—
    Serpentine superphosphate and mixturesTons207,303292,498333,652
    Basic and reverted superphosphate and mixturesTons31,10646,84466,340
    Other superphosphate and mixtures containing superphosphateTons477,525639,118652,333
    Super compoundTons46,5842,881182
Soap and Candle Manufacture
Number of establishments 171514
Persons engagedNo.520491512
Production costs—
    Salaries, wages£302,987325,134391,102
    Materials£1,249,8921,302,9441,318,342
    Other expenses£216,534242,719265,743
            Totals£1,769,4131,870,7971,975,187
Value of output£2,069,8592,053,8062,131,212
Value added in manufacture£819,967750,862812,870
Overtime worked by wage-earnersHrs.69,93767,28382,118
Main materials used—
    TallowTons10,37010,6499,800
    Other oilsTons905880948
    Caustic sodaTons1,7511,6621,662
    Soda ashTons2,6482,5612,439
Principal products—
    Soap—
        ToiletTons2,7972,9632,930
        BarTons6,1775,7585,278
        Powder and flakesTons9,9199,6949,728
    CandlesTons283261299
    SandsoapTons681674519
Paint and Varnish
Number of establishments 272527
Persons engagedNo.676751756
Production costs—
    Salaries, wages£420,643544,600587,958
    Materials£2,898,6543,284,8453,400,492
    Other expenses£250,026333,430406,038
            Totals3,569,3234,162,8754,394,488 
Value of output£3,996,3164,703,3024,837,532
Value added in manufacture£1,097,6621,418,4571,437,040
Overtime worked by wage-earnersHrs.104,597159,308154,960
Main materials used—
    White leadCwt.32,25133,93524,852
    Other pigments and extendersCwt.144,852183,705187,474
    Linseed oilGallons621,798618,593570,523
    SolventsGallons1,086,8841,369,6911,555,122
    Gums and resinsCwt.26,93451,10056,459
Principal products—
    Ready mixed paintsGal(000)1,3161,6201,677
    Varnishes (for sale)Gal(000)162132115
    Enamels, lacquersGal(000)8619901,098
Pharmaceuticals, Toilet Goods, and Cosmetics*
Number of establishments 444442
Persons engagedNo.729722735
Production costs—
    Salaries, wages£342,354372,334394,614
    Materials£1,504,4171,555,3671,459,520
    Other expenses£160,296190,758230,662
            Totals£2,007,0672,118,4592,084,796
Value of output£2,397,1062,531,4222,549,481
Value added in manufacture£892,689976,0551,089,961
Overtime worked by wage-earnersHrs.15,07920,74416,746
Principal products—
    Pharmaceutical products£1,250,5201,342,7951,299,052
    Toilet preparations and cosmetics—
        Dentifrices£223,409251,568270,071
        Cosmetic creams and lotions£149,418126,375141,281
        Hair dressings£273,401300,362320,116
        Powder, face and talcum£159,525172,464188,373
        Lipstick£56,31066,14867,671
Structural Clay Products
Number of establishments 484648
Persons engagedNo.9831,0261,036
Production costs—
    Salaries, wages£667,970728,234790,382
    Materials£125,612150,769168,609
    Other expenses£646,247722,378747,929
            Totals£1,439,8291,601,3811,706,920
Value of output£1,586,1231,791,2871,908,700
Value added in manufacture£1,460,5111,640,5181,740,091
Overtime worked by wage-earnersHrs.223,055231,888255,184
Clay used—
    PurchasedTons11,94211,98126,075
    From own quarryTons253,227278,343269,911
Principal products—
    FirebricksNo.3,492,1183,359,1744,015,598
    Building bricksNo.41,637,13747,996,63248,101,367
    Roofing tilesNo.2,718,1762,419,6652,201,600
    Salt-glazed pipes—
        Above 6 in.No.59,86717,69615,815
        6 in. and belowNo.2,051,3282,915,1322,372,981
Pottery, China, and Earthenware
Number of establishments777 
Persons engagedNo.461509477
Production costs—
    Salaries, wages£249,033300,239302,333
    Materials£94,371123,256119,619
    Other expenses£156,787191,172183,946
            Totals£500,191614,667605,898
Value of output£524,075647,676656,259
Value added in manufacture£429,704524,420536,640
Overtime worked by wage-earnersHrs.76,09391,418119,661
Principal products—
    Insulators and refractory insulator elements£163,024209,058210,940
    Crockery, artware, and novelties, stoneware£252,000280,729271,872
    Other earthenware including sanitaryware£87,091129,265141,620
Cement
Number of establishments 333
Persons engagedNo.451528549
Production costs—
    Salaries, wages£351,971435,961490,704
    Materials£616,966717,698850,728
    Other expenses£992,3231,586,6251,900,937
            Totals£1,961,2002,740,2843,242,369
Value of output£2,316,8973,038,5993,708,701
Value added in manufacture£1,699,9312,320,9012,857,973
Overtime worked by wage-earnersHrs.237,726304,998307,557
Principal materials—
    LimestoneTons248,681295,937310,532
    Clay, marl, cement rockTons234,883313,146425,167
    GypsumTons10,60312,39114,862
Cement madeTons288,241361,775422,735
Concrete Products
Number of establishments237262279 
Persons engagedNo.1,7221,8922,036
Production costs—
    Salaries, wages£1,094,4811,319,9961,559,589
    Materials£1,670,8742,067,1992,476,227
    Other expenses£374,071482,859611,321
            Totals£3,139,4263,870,0544,647,137
Value of output£3,667,9434,536,9665,412,071
Value added in manufacture£1,997,0692,469,7672,935,844
Overtime worked by wage-earnersHrs.200,743269,181360,304
Materials used—
    Portland cementTons55,932*69,868*77,068
    Sand, shingleYd.208,261*263,174*329,418
    ReinforcingTons7,05710,56210,933
    PumiceYd.30,80031,66636,026
Principal products—
    Roofing tilesNo.13,266,55113,619,71912,428,290
    Fencing postsNo.1,664,0862,456,3213,111,019
    Housing bricks and blocksNo.3,157,487*4,364,017*5,824,690
    Coppers, boilersNo.13,84810,1019,718
    PipesTons53,13165,55282,080
Plywood and Veneer
Number of establishments 778
Persons engagedNo.493505532
Production costs—
    Salaries, wages£298,435316,201355,524
    Materials£369,374433,854531,070
    Other expenses£170,876208,603245,948
            Totals£838,685958,6581,132,542
Value of output 944,1451,091,4121,331,227
Value added in manufacture 574,771657,558800,157
Overtime worked by wage-earnersHrs.85,76068,67153,021
Species of logs used—
    RimuFt. (H. Dahl)7,980,8238,279,0588,066,327
    MataiFt. (H. Dahl)1,475,8591,610,3521,014,166
    KahikateaFt. (H. Dahl)1,300,3281,018,3001,570,596
    Radiata pineFt. (H. Dahl)1,648,7841,535,7043,211,242
    OtherFt. (H. Dahl)194,34597,907311,430
Plywood made (3/16 in. basis)Sq. ft.30,868,33132,699,25335,660,108
Range Making*
Number of establishments 989
Persons engagedNo.1,0189691,065
Production costs—
    Salaries, wages£616,030629,207736,812
    Materials£674,376691,518927,803
    Other expenses£199,029201,390259,896
            Totals£1,489,4351,522,1151,924,511
Value of output£1,667,2511,694,3582,004,376
Value added in manufacture£992,8751,002,8401,076,573
Overtime worked by wage-earnersHrs.121,856115,783157,500
Iron and steel usedTons4,4804,2124,638
Principal products—
    Domestic electric rangesNo.25,37528,50631,000
    Domestic electric rangettesNo.6,7126,5595,469
    Domestic coal rangesNo.5,1294,2463,613
Radio Assembly and Manufacture*
Number of establishments 272220
Persons engagedNo.1,0481,0641,014
Production costs—
    Salaries, wages£564,724638,059642,802
    Materials£1,608,0581,630,6951,756,402
    Other expenses£191,101247,181247,506
            Totals£2,363,8832,515,9352,646,710
Value of output£2,571,4402,654,5602,787,064
Value added in manufacture£963,3821,023,8651,030,662
Overtime worked by wage-earnersHrs.92,842146,48077,406
Principal products—
    Radio receivers, table models—
        BroadcastNo.26,47130,58936,354
        Broadcast and short-waveNo.11,01913,27312,496
        RadiogramNo.5,9156,8369,304
    Radio receivers, console models—
        BroadcastNo.782400 
        Broadcast and short-waveNo.4685152,273
        RadiogramNo.6,1907,83610,036
    Portable receiversNo.9,10210,7199,006
    Automobile receiversNo.11,74215,23721,295
Motor Vehicle Assembly
Number of establishments 121211
Persons engagedNo.2,1022,5792,845
Production costs—
    Salaries, wages£1,535,7982,091,4072,463,316
    Materials£13,182,12616,846,20819,852,093
    Other expenses£636,224661,792930,940
            Totals£15,354,14819,599,40723,246,349
Value of output£16,419,76221,309,97425,652,787
Value added in manufacture£3,237,6364,463,7665,800,694
Overtime worked by wage-earnersHrs.465,839662,017780,870
Vehicles assembled—
    CarsNo.20,67626,89532,315
    BusesNo.11515682
    VansNo.9901,1481,691
    TrucksNo.3,5775,4707,431
Motor Body Building
Number of establishments 777980
Persons engagedNo.1,1891,1931,172
Production costs—
    Salaries, wages£717,499784,442841,452
    Materials£708,870866,1481,027,135
    Other expenses£182,760199,036228,671
            Totals£1,609,1291,849,6262,097,258
Value of output£1,812,4842,020,1042,353,602
Value added in manufacture£1,103,6141,153,9561,326,467
Overtime worked by wage-earnersHrs.78,967105,634127,798
Main materials—
    TimberFt. b.m.1,231,8011,347,2131,293,009
    PlywoodSq. ft.337,802271,381280,149
    Paints and oilsGallons19,17023,19926,710
Motor bodies built—
    BusesNo.191141219
    VansNo.369488790
    TrucksNo.1,2231,3811,741
Motor Repairs
Number of establishments 1,4481,5541,625
Persons engagedNo.11,54512,62513,253
Production costs—
    Salaries, wages£6,810,4737,715,1048,589,138
    Materials£9,271,74010,506,96311,749,582
    Other expenses£2,002,3682,408,4462,750,650
            Totals£18,084,58120,630,51323,089,370
Value of output£19,912,68122,561,17325,052,273
Value added in manufacture£10,640,94112,054,21013,302,691
Overtime worked by wage-earnersHrs.592,081702,203802,608
Sheetmetal Working
Number of establishments 156154167
Persons engagedNo.3,1683,4753,567
Production costs—
    Salaries, wages£1,998,9772,481,4022,674,722
    Materials£3,890,9414,557,4884,950,103
    Other expenses£631,709816,8781,002,564
            Totals£6,521,6277,855,7688,627,389
Value of output£7,379,3928,881,5559,567,015
Value added in manufacture£3,488,4514,324,0674,616,912
Overtime worked by wage-earnersHrs.534,094773,845839,811
Metal Products n.e.i.
Number of establishments 139137143
Persons engagedNo.2,6303,0443,091
Production costs—
    Salaries and wages£1,794,9462,271,9412,514,141
    Materials£2,792,3113,672,5983,988,727
    Other expenses£642,499922,4051,022,926
            Totals£5,229,7566,866,9447,525,794
Value of output£5,892,4907,787,9838,289,034
Value added in manufacture£3,100,1794,115,3854,300,307
Overtime worked by wage-earnersHrs.465,852638,435655,741
Agricultural and Pastoral Machinery
Number of establishments 958789
Persons engagedNo.1,3361,4421,288
Production costs—
    Salaries, wages£786,226924,002907,000
    Materials£4,314,9414,076,2683,328,076
    Other expenses£227,619267,290265,542
            Totals£5,328,7865,267,5604,500,618
Value of output£5,745,2995,674,5524,903,927
Value added in manufacture£1,430,3581,598,2841,575,851
Overtime worked by wage-earnersHrs.125,593133,202125,412
Machinery n.e.i.
Number of establishments 349372410
Persons engagedNo.6,9957,4757,859
Production costs—
    Salaries, wages£4,547,3915,385,5436,061,157
    Materials£8,354,59010,934,79711,528,678
    Other expenses£1,552,7191,842,9942,048,058
            Totals£14,454,70018,163,33419,637,893
Value of output£16,253,05320,377,79721,522,834
Value added in manufacture£7,898,4639,443,0009,994,156
Overtime worked by wage-earnersHrs.1,157,3451,332,9401,451,080

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 houses and flats. 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 are occupying 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 houses and flats 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, £2-7 million, may be compared with the 1938-39 figure of £12.1 million. 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 houses and flats 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 continued at higher levels in each successive year until 1954-55, since when there have been slight annual decreases.

The value of building permits in urban districts for 1956-57 totalled £69.0 million, compared with £70.2 million in 1955-56. The total value of permits for New Zealand in 1956-57 was £89.4 million, which was a decrease of £0.8 million or 0.9 per cent over the 1955-56 figure.

Building controls introduced as war-time emergency regulations to conserve materials and man-power were finally removed in December 1956.

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. 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.

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 1957
State rental house (976 square feet)1,0611,4792,1722,655
Accommodation on works—
    Single men£30£125£165£257
    Married men£135 £1,000£1,560
Buildings (reinforced concrete): For similar size and type£10,000£15,700£25,100£29,500
Bridge: Concrete, per cubic yard£12 2s.£19 7s.£31 7s.£44
Fencing (labour only), per chain10s. 6d.£1£1 17s. 6d.£2 15s. 0d.

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 1957: hardwood sleepers, 7s. to 35s.; structural steel, £11-£-14 to £65-£70; and cement, £4 8s. 3d. to £10 15s. 8d. per ton.

Building Materials.—Most building materials are in good supply. The following materials call for special comment.

Timber.—The supply of indigenous timber has improved, but as the bush reserves are depleted sales of exotic timber are expected to increase, provided that full use is made of improved methods of preservation, standards of grading, and construction techniques.

Cement.—Two more plants commenced production early in 1957 and the three older plants have been expanded and a sixth unit is planned to commence production in 1958. Production is sufficient to meet New Zealand's requirements.

Bricks, Tiles, and Concrete Products.—The supply of bricks has improved, and there are ample stocks of clay and cement tiles. The use of concrete blocks in building is growing, as these blocks can be produced quickly with low labour and plant costs.

Paints, Varnishes, and Enamels.—Industrial output of paints and varnishes for 1956-57 increased by 3.1 per cent over 1955-56. Production of paints rose from 1,677,000 gallons in 1955-56 to 1,969,000 gallons in 1956-57. In 1956-57 production of varnishes and enamels was 110,000 gallons and 854,000 gallons respectively.

Wallboards.—Production of fibreboards (both soft and hardboard) has increased, and local manufacturers can supply most of the requirements, although boards of special sizes and qualities have to be imported. Additional productive capacity for the manufacture of plasterboard was brought into operation early in 1957, and domestic production should be sufficient to meet demand. The range and production of fancy and specialty boards have increased.

Plywood.—Plywood production has expanded, both from imported and indigenous logs.

Structural and Reinforcing Steel and Galvanized Corrugated and Flat Sheets.—There is no domestic production of these materials. New Zealand's supplies usually come from the United Kingdom and Australia, but during recent years increasing quantities have been obtained from Continental Europe, North America, Japan, and Hong Kong. Imports of all types of structural steel and galvanized sheets, which had been heavy in 1955, were reduced in 1956, particularly galvanized sheets, imports of which dropped from 52,606 tons in 1955 to 34,914 tons in 1956. Nevertheless supplies were adequate through 1957. Duties which had been suspended throughout 1956 were reimposed on heavy structural steel in March 1957, and on light structural and reinforcing steel in October 1957. As some of the requirements of heavy structural steel could not be obtained from British sources, supplies had to be obtained from foreign countries. These supplies attracted the higher rates of duty thus adding to construction costs. Accordingly, duties on heavy structural steel were suspended from October 1957.

Availability of Principal Building Materials.—The following tables show the availability of the principal building materials in the years quoted.

The first of the two tables relates to the production of principal building materials.

PRODUCTION OF PRINCIPAL BUILDING MATERIALS
Year Ended 31 MarchRough-sawn TimberDressed Timber (from Rough-sawn)Building Sheet*PlywoodWall-boardPaints, etc.
PaintsVarnishesEnamels, Lacquers

* Asbestos-cement and cement sheet.

† Information not available.

‡ Includes fibrous plasterboard.

 Ft. b.m. (million)Sq. ft. (million)Gallons (thousand)
1940336.068.917.1560132213
1941342.270.016.3616151228
1942324.567.513.1582189233
1943341.564.316.924.1645158211
1944350.758.015.234.6646171220
1945340.156.318.844.4776175246
1946344.759.822.620.953.8822164306
1947354.067.821.522.852.7702156346
1948430.663.217.924.270.41,009245440
1949470.376.215.225.379.91,179215542
1950478.476.218.626085.51,048182586
1951527.692.223.231.188.71,208179688
1952575.2112.623.832.9102.51,203174807
1953573.0104.525.030.8106.11,093151800
1954572.2113.726.530.9121.81,316162861
1955616.0119.431.232.7124.51,620132990
1956625.8121.128.435.7132.01,6771151,098
19576,160110.126.237.8125.11,969110854
Year Ended 31 MarchRoofing-TilesBricks and BlocksDrainpipes,* Salt Glazed, 6 in, and BelowCement
ClayConcreteBuilding Bricks, ClayConcrete*
BricksBlocks
* Information not available prior to 1952.
 Number (million)Tons
 (000)
19402.54.533.4   231.0
19412.24.730.4   214.6
19422.35.227.6   215.9
19432.22.520.6   214.3
19442.12.815.7   235.2
19452.65.319.0   228.9
19463.27.520.5   234.9
19473.08.023.8   219.5
19484.310.825.1   226.8
19494.612.928.5   243.1
19504.315.134.3   245.6
19513.514.938.1   204.4
19522.614.937.20.81.31.83238.6
19532.816.440.60.91.71.87274.6
19542.713.341.60.32.92.05288.2
19552.413.648.00.44.02.20361.8
19562.212.448.10.35.52.37422.7
19571.810.243.80.55.72.39472.1

To complete the review, the second table deals with imports of these materials.

IMPORTS OF PRINCIPAL BUILDING MATERIALS
Year Ended 31 DecemberTimber, SawnBuilding Sheet*PlywoodWallboardLinseed GilCommon Window Glass

* Asbestos-cement and cement sheet.

Information not available.

 Ft. (b.m.)Sq. ft.Sq. ft.Sq. ft.GallonsSq. ft.
 (million)(000)(000)(000)(000)(000)
193927.26127103,966
194013.5270£9623,570
194112.6327973,981
19427.35857713,975
194310.62402913,190
194411.465803,619
194513.413452,550
194614.952973,935
194726.55913056,693
194820.43,30663011,108
194930.72,7941,0725,0897228,056
195023.34,1098288,2031886,933
195125.49,3241,57611,8396377,427
195246.75,7902,31725,53638012,724
195326.34104201,910349,278
195430.43179182,34655310,138
195542.36214,88615,95796112,616
195630.22874,21913,68855313,902
Year Ended 31 DecemberPlaster of PairsGypsumAsbestos CrudeCementGalvanized-iron SheetAluminium Sheet
CorrugatedFlat
* Information not available.
 Cwt.(000)
1938264.5297.5*27.0268120*
1939234.1489.6*31.0316110*
194056.3661.8*25.618568*
194110.4565.115.611.55538*
19422.6269.646.89.54849*
19435.7263.260.064.67357*
194422.3383.454.213.51358*
194581.5297.369.439.13480*
194623.6487.533.0134.86096*
1947120.2584.145.9273.85689*
194896.0539.137.783.46777*
1949185.8786.430.3631.86010657
1950168.5566.275.71,424.910211770
1951141.2304.347.02,868.113112250
1952365.2702.094.92,466.321816676
1953222.0610.236.53,863.840414515
1954330.8798.369.03,727.164529319
1955425.9781.281.22,695.079925433
1956362.2654.754.5926.150719132

THE HOUSING SITUATION.—The number of new houses and flats constructed each year has approximately doubled since the pre-war period, and reached a peak of 19,200 for each of the years ended 31 March 1956 and 31 March 1957. This rate of house building in relation to population is higher than in most countries. Over 80 per cent of the houses built at present are for private home ownership.

There was a fairly rapid expansion in house building from 1945 to 1951, when there was a noticeable levelling-off at just over 16,000 houses each 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 promoting the building of more houses 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 helped to effect a further expansion in house building to the present level. 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 and provide for the increase in population expected from both natural increase and immigration. This target represented an increase of 25 per cent in the building rate. A National Housing Council was also set up.

The most noteworthy development in house building which has resulted has been the group building scheme. This scheme has been designed to give builders continuity of work, to reduce non-productive time between the finishing of one house and the starting of the next, and to assist builders in administration and supervision by enabling them to build houses for sale in groups. Plans and specifications are checked by the State Advances Corporation, which also inspects the work and, on behalf of the Government, gives an undertaking to take over at approved prices a specified number of any unsold houses. At 31 March 1958 there were 473 builders participating in the scheme, and 11,412 houses were programmed; of these 8,136 had been completed and sold, and 868 were under construction.

In the sphere of building finance, the Minister of Housing announced several policy changes in September 1953. A mortgage guarantee scheme was provided whereby the State Advances Corporation guaranteed financial institutions repayment by the borrower of the difference between the normal housing loan and 90 per cent of the valuation, the maximum loan under this scheme being £2,500. (See Section 33B.) To encourage employers to build houses for their employees, it was provided that they could 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 Post Office National Savings accounts for the acquisition of homes.

In July 1957 the Government announced the commencement of a home lay-by scheme in the Post Office Savings Bank. A subsidy, known as a suspensory free deposit, of £5 per £100 up to a limit of £50 is credited to each home lay-by account when the money is used to acquire a home to be occupied by the depositor. There is no limit to the amount which can be deposited but the maximum amount in any one year on which the subsidy can be credited is £250. The effect of the scheme is that a person who deposits £250 each year in a home lay-by account for four years will qualify for the maximum subsidy of £50, in addition to the normal savings bank interest. Deposits of £100 a year for ten years can also earn the maximum subsidy.

An increase in the maximum housing loans to be advanced by the State Advances Corporation was announced by the Minister in charge of that Department in September 1957. The maximum loan on the normal two-thirds lending basis was increased from £2,250 to £2,500, while special loans in excess of the two-thirds lending margin were increased for applicants with children from £2,000 to £2,150 for those with one child, £2,250 for two children, £2,350 for three, and £2,400 for applicants with four children. These loans are inclusive of any loans granted under the suspensory loan scheme which was instituted in December 1949. As the Corporation has been providing mortgage finance for 35 per cent of all houses constructed, it is expected that the increased loan limits will increase the number of houses built and arrest the decline in building permits issued which had been apparent since 1955.

In February 1958 the Minister of Housing announced the introduction by the State Advances Corporation of building loans at 3 per cent interest for families whose income is not more than £1,000 a year, plus £50 for each dependent child, but excluding family benefit, war disability pension, and any income of the wife or children. The amount of the loan is determined by the circumstances of the applicant. Normal and special loans as mentioned in the previous paragraph continue to be granted to those not eligible for the reduced rate of interest.

Since 1937 the State, using the services of private contractors, has been building rental dwellings. At 31 March 1958 over 52,000 of these houses and flats had been built and, since 1950, 14,708 of them had been sold to the occupiers. About 2,000 of these dwellings are now built each year and let to applicants in difficult housing circumstances with an income of not more than £765 a year. Some 700 houses are also built by the State each year for the accommodation of Government employees.

It has been the policy of the National Housing Council to encourage the holding of Homes Weeks or Parades of Homes in all major centres throughout the country. Since 1954 twenty-seven Parades of Homes have been held, and the popularity of these exhibitions is increasing. The principal objects of a Parade of Homes are to show the latest developments in low and moderate cost housing, to encourage home ownership and stimulate public interest in the building of houses, and to permit builders, manufacturers, and others concerned in house building to display their products. The scheme is probably unique to New Zealand, offering as it does an opportunity to the public of inspecting a group of new houses erected by local builders in open competition.

The building of flats to achieve higher-density housing has been encouraged by the introduction of a system of company ownership of flats. An individual can buy a block of shares, the ownership of which entitles him to permanent occupation of a particular flat in a block of flats.

The achievement of a smoothly operated housing policy depends upon the help of many sections of the community, such as builders, lending institutions, and local authorities. The Minister of Housing has arranged the issue of a number of publications, including a manual for local authorities, Housing the Citizen, two editions of Your Own Home - How? and their successor Home Ownership -How to Achieve it, as well as leaflets on Staff Housing, Plans for Flats, Land Development for Local Authorities, and sets of notes on the operation of the Group Building Scheme, the operation of the Rural Housing Act, and the organization of a Parade of Homes.

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).

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 1/2 per cent per annum to enable them to undertake the erection of accommodation for pensioners or persons in comparable circumstances. Since 1950 there has been a generous Government subsidy for pensioners' housing, and it now is half the net capital cost, with a maximum of £850 for a two-person unit and £700 for a one-person unit. At 31 March 1958 Government subsidies of £533,429 had been granted to local authorities and also loans of £622,315. Local authorities were providing accommodation for 1,226 elderly persons. (These subsidies are separate from those granted to religious and charitable organizations—see Section 5B.)

The State Advances Corporation invests moneys from its General Reserve Fund in loans to local authorities for staff housing at the current ruling rate for local authority loans - i.e., 5 per cent - and many local authorities are building houses to attract and retain staff of good calibre.

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. Loans are made by the State Advances Corporation to local authorities bearing interest at 4 per cent (rate charged by the county to the farmer borrowers is 4 1/2 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 £2,000 to £2,500, and the suspensory loan benefits described in Section 33B are available to applicants who comply with the conditions laid down. At 31 March 1957, £748,586 (in respect of 643 houses) had been uplifted by County Councils.

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 Authorities 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.

STATISTICS OF THE 1951 AND 1956 CENSUSES.—Full details of dwelling statistics as recorded at the 1951 Census were published in Volume VII—Dwellings and Households. Provisional figures on dwellings are available from the population census of 1956. All figures in the following tables include Maori dwellings. The first table gives a full distribution according to the nature of the dwelling, while the remaining tables relate only to inhabited permanent private dwellings. Where available, comparative figures for the 1951 Census are shown. The following table shows the nature of dwellings at April 1956.

Nature of DwellingNumbersPercentage of Total Inhabited
1951195619511956
A. Inhabited dwellings—
Permanent private dwellings—
    Private house, not partly sublet437,078495,63286.5686.53
    Private house, partly sublet1,2253,6840.240.64
    Flat35,02141,6696.947.28
    Combined shop and dwelling, rooms attached to offices, etc.8,0407,6861.591.34
    Bach, hut12,39314,3402.452.50
    Other255410.050.01
                Totals494,012563,05297.8398.30
Temporary dwellings—
    Mobile residences1,6751,5800.330.28
    Other8333440.160.06
                Totals2,5081,9240.490.34
Non-private dwellings—
    Hotels, boardinghouses, etc.6,3546,0711.261.06
    Public and private hospitals5154900.100.09
    Camps5505670.110.10
    Other (including not specified)1,0486550.210.11
                Totals8,4677,7831.681.36
    Grand totals, inhabited dwellings504,987572,759100.00100.00
B. Uninhabited dwellings—
    Occupants temporarily away9,30710,944  
    Untenanted dwellings7,74712,614  
    Baches (weekend or summer dwellings)15,61519,899  
                Totals32,66943,457  
C. Building—
    Dwellings in course of erection9,59710,462  

It will be noted from the preceding figures that new dwellings have increased by 61,013, flats by 6,648, and uninhabited dwellings by 10,788, while hotels, boardinghouses, etc., have decreased by 283.

The following table classifies the inhabited permanent private dwellings according to tenure.

Tenure19511956
NumbersPer Cent of Total SpecifiedNumbersPer Cent of Total Specified
Renting or leasing148,67930.25144,72125.80
Free dwelling provided with job31,5026.4134,2706.11
Loaned without payment9,1221.869,2241.65
Buying on time payment or with table mortgage94,62519.25130,94723.35
With flat mortgage56,29611.4572,76012.97
Unspecified mortgage cases2790.065530.10
Owned without mortgage150,98530.72168,38330.02
Not specified2,524 2,194 
                Totals494,012100.00563,052100.00

The proportion of "owned" dwellings to the total specified cases increased by almost 5 per cent between 1951 and 1956, the greater part of this increase (4.1 per cent) being in those classified as "buying on time payment or with table mortgage". The proportion of "rented" dwellings decreased by 4.45 per cent.

The next two tables present the various amenities in permanent private dwellings and whether they are used solely by the occupants of a dwelling or shared by occupants of other dwellings.

AmenityNot SharedSharedNilNot SpecifiedTotal
Piped water472,5698,67278,1803,631563,052
Hot water service487,6769,29165,206879563,052
Bath or shower517,01913,49431,646893563,052
Flush toilet442,06513,456106,698833563,052
Refrigerator301,5653,281256,6501,556563,052
Washing machine316,5115,356239,3671,818563,052

Of the specified cases, 54.3 per cent of houses have refrigerators and 57.3 per cent have washing machines. Almost 14 per cent of dwellings do not have piped water.

Means of CookingNumberPer Cent of Total Specified
Electric range, stove318,81056.88
Electric cooker, stovette, rangette, plate, ring, etc.2,8310.51
Gas range, stove88,81815.84
Gas cooker, stovette, ring, etc.4110.07
Coal, wood, coke, range108,29119.32
Oil range, stove5910.11
Oil, other, including primus stove2360.04
Electric range and gas range4,5230.81
Electric range and coal, wood, coke, range25,4604.54
Gas range and coal, wood, coke range8,2961.48
Other, including open fire, primus (not stove), camp oven, etc.2,2460.40
Not specified2,539 
                Total563,052100.00

Considering only cases where one means of cooking is used, the electric range holds pride of place, being used in 56.88 per cent of inhabited dwellings; the next place being held by the coal, wood, or coke range which is used in 19.32 per cent of inhabited dwellings. Including cases where alternatives are also installed, it will be noted that 62.23 per cent of the dwellings in New Zealand are equipped with an electric range. When this question was first asked (1945 Census), the position was that in 37.66 per cent of the dwellings a coal, wood, or coke range was used and in 29.95 per cent an electric range. It should be remembered that the 1945 figures do not include Maori dwellings.

GOVERNMENT HOUSING: State House Construction.—A programme of direct home building by the Government was initiated in March 1937 when the building of State rental houses and flats was commenced. These are for letting at moderate rentals to people who are unsatisfactorily housed and who cannot afford to build a home of their own or pay the higher rents of privately-owned accommodation. Since 1950 there has been an income bar (at present £765 per annum) on applicants for tenancies of this class of accommodation.

The Government set up a Housing Construction Branch of the State Advances Corporation in September 1936. In 1944 this Branch was merged with the Public Works Department and it became the Housing Division of what is now the Ministry of Works. The Housing Division acquires and develops sites for houses and flats and accepts tenders from private contractors for their construction. These activities are covered by the Housing Act 1955.

Completed housing units are handed over to the State Advances Corporation for letting and subsequent administration. The total numbers handed over by housing districts from the inception of the scheme to 31 March 1957 are as follows.

Housing District1956-57Previous TotalTotal to 31 March 1957
Auckland54514,99615,541
Hamilton4584,6025,060
Napier2102,7302,940
Palmerston North2644,6044,868
Wellington52910,86911,398
Christchurch6156,7167,331
Dunedin1253,2883,413
            Totals2,74647,80550,551

The totals of State rental units completed and handed over for occupation year by year are shown in the following table.

YearNumber of UnitsCumulative Total
1937-38399399
1938-392,6653,064
1939-403,3686,432
1940-413,90510,337
1941-423,18813,525
1942-431,09414,619
1943-4485615,475
1944-451,91717,392
1945-462,85620,248
1946-472,34222,590
1947-482,87525,465
1948-493,41428,879
1949-503,38832,267
1950-513,36535,632
1951-522,11837,750
1952-532,12439,874
1953-542,78142,655
1954-552,89245,547
1955-562,25847,805
1956-572,74650,551

Special Types of Accommodation.—Included in the 2,746 units handed over last year were 88 pensioners' flats in 11 different towns and 77 houses built in 60 different localities for occupancy by casual farm labourers and by employees of dairy companies and rabbit boards.

Flats and Multi-Unit Dwellings.—In compliance with Government policy aiming at higher density housing in the interests of arresting urban sprawl, the State has continued to build blocks of multi-storey flats in the main centres. Moreover, increasing numbers of multi-unit dwellings, mainly two and four units, have been constructed. The following table sets out the number of multi-units in relation to single units built by the Housing Division up to 31 March 1957.

State HousesClient Department HousesTotal
Single units38,9036,66045,563
Double units9,3141149,428
Three units156 156
Four to eight units67187758
            Total houses49,0446,86155,905
Flats—
    Multi-storey570 570
    Pensioners'937 937
            Total houses and flats50,5516,86157,412

Client Department Houses.—The Client Department houses referred to in the above table represent houses built by the Housing Division for Government Departments mainly for the accommodation of their own employees. The total number of Client Department houses built by the Division to 31 March 1957 was 6,861. This includes large blocks of houses built at the site of major construction tasks such as electric-power schemes and the Kawerau-Murupara pulp and paper project.

Finance.—The cost of the State housing programme, including the acquisition and development of land, is financed from the Housing Construction "vote" in the Public Works Account, i.e., out of national development loan moneys.

The following table shows direct Government expenditure on housing from the Housing Construction "vote".

£
Year Ended 31 MarchState HousingClient DepartmentsLand Purchase and DevelopmentAdministration and GeneralTotal
19507,171,1181,643,1211,359,442534,93910,708,620
19516,591,4561,566,7131,233,850461,9979,854,016
19524,384,7751,035,1851,151,536440,0697,011,565
19536,527,6511,125,6601,639,281461,3129,753,904
19547,573,897776,2701,743,721514,14710,608,035
19556,117,422746,1021,951,324535,9949,350,842
19565,807,5721,043,5053,026,199521,80310,399,079
19576,551,92560,9502,786,396555,4689,954,739

The next table shows total direct Government expenditure on housing by Housing Division and the Department of Maori Affairs.

£
Year Ended 31 MarchClient Departments*Maori HousingVote Murupara DevelopmentVote Housing ConstructionTotal
* Prior to 1956-57 these figures related to Defence housing only. These figures now include all Housing Division expenditure charged directly against the "votes" of client Departments.
195051,536653,673 10,708,62011,413,829
1951182,328799,727 9,854,01610,836,071
1952348,525829,747 7,011,5658,189,837
1953793,6151,125,636 9,753,90411,673,155
19541,251,9271,084,207728,45210,608,03513,672,621
1955521,5071,065,5471,396,8979,350,84212,334,793
1956544,0771,444,492972,84210,399,07913,360,490
19571,328,6921,413,362548,7529,954,73913,245,545

Room Content of Units (State Houses and Client Department Houses).—The types of units according to the number of bedrooms in units built during 1956-57 as compared with the previous year, also the totals to date, are shown in the following table.

1956-571955-56Total to Date
Number of UnitsPercentage of TotalNumber of UnitsPercentage of TotalNumber of UnitsPercentage of Total
One-bedroom or one bed-sitting room1564.5421.43,5056.1
Two bedrooms73521.162621.720,23235.2
Three bedrooms2,32866.92,02670.230,06352.4
Four or more bedrooms2627.51946.73,6126.3
                Totals3,481100.02,888100.057,412100.0

Class of Construction (State Houses and Client Department Houses).—The class of construction of the units built during 1956-57 as compared with the previous year, also the total to date, is as follows.

Material1956-571955-56Total to Date
Weatherboard1,8481,90234,529
Brick40123711,088
Concrete481912,633
Other sheathing7516589,162
                Totals3,4812,88857,412

Land Acquisition.—During 1956-57 a total of 1,207 serviced sections were purchased as a charge against the Housing Construction "vote", also some 642 acres of undeveloped land estimated ultimately to yield 2,196 building sections. About three-fifths of these sections are intended for State rental units and two-fifths for the group building scheme sponsored by the Government.

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 meet, on repayment terms related to financial capacity rather than to the amount of money lent, the urgent housing needs of Maoris whose circumstances are such that they cannot be expected to meet full normal payments.

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 to have the 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 for allocation to suitable eligible Maori applicants a special quota of State rental houses based on the proportion of urgent Maori applications to urgent European applications.

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 1955, 1956, and 1957.

Total to 31 March
195519561957
Houses erected4,6915,2185,763
Houses purchased421432450
Other building work (renovations and additions to houses, cowsheds, and other buildings)3,7023,8973,992
                Totals8,8149,54710,205

In addition to the above, there were 170 houses in course of erection at 31 March 1957.

BUILDING PERMITS: Annual Statistics.—Statistics of building permits issued in cities, boroughs, and town districts during each March year have been collected since 1921-22. These statistics afford a conspectus of changes in building activity from year to year. There is, however, a factor which must be taken into account in using the figures as a guide to short-period fluctuations in building activity. 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 may involve building activity spread over several 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, and more particularly to buildings other than houses or flats.

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 1956 and 1957.

1955-561956-57
New Houses and Flats: NumberNew Houses and Flats: ValueTotal All Buildings: ValueNew Houses and Flats: NumberNew Houses and Flats: ValueTotal, All Buildings: Value
 ££ ££
Urban districts14,16238,511,68770,156,97813,44537,171,05469,009,424
Rural districts5,34212,974,09520,016,2664,90912,042,73220,378,817
        Totals, New Zealand19,50451,485,78290,173,24418,35449,213,78689,388,241

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. From 1947-48 to 1955-56 however, the Building Controller's authorizations were used where counties could not supply information. This source is no longer available following the abolition of building controls, but in the few cases where counties do not issue building permits, the local authorities make an estimate.

The following table shows a summary of New Zealand building activity since 1937-38.

Year Ended 31 MarchPermits Issued for New Houses and FlatsTotal Value, All New Houses and FlatsTotal Value, All Buildings
PrivateGovernmentTotal
* Value of new houses and flats in counties 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
195517,4203,44320,86352,766,84293,405,237
195616,2343,27019,50451,485,78290,173,244
195715,6942,66018,35449,213,78689,388,241

The accompanying diagram, illustrating building-permit figures relating to New Zealand totals since 1937-38 shows clearly the effect of war conditions and the post-war impetus to building.

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.

All Urban Districts CoveredCities, Boroughs, and Town Districts
Year Ended 31 MarchNumber of New Private Houses and FlatsValue of New Houses and FlatsValue of Other New BuildingsTotal Value, All Buildings (Including Alterations and Additions)Number of New Private Houses and FlatsValue of New Houses and FlatsValue of Other New BuildingsTotal Value, All Buildings (Including Alterations and Additions)
  £(000)£(000)£(000) £(000)£(000)£(000)
19386,0435,3172,90010,2925,5685,0192,8579,909
19398,0937,5182,67812,1267,4257,0242,53211,431
19408,0867,7392,05111,4187,4297,1621,99410,714
19417,1477,0942,05411,0606,0996,1281,8969,763
19425,5035,5591,4008,9844,9895,0831,3538,186
19438638345292,6627677515182,500
19443,6044,0351,4948,3103,2203,6411,3357,588
19456,6988,7431,66212,7576,1708,1421,44211,801
19467,73611,2123,10316,9447,02710,3312,89915,737
19479,51614,3073,31921,1608,35612,6462,80418,773
19489,85415,9062,37421,4278,89014,4952,12419,560
194911,10219,0482,92426,4309,58516,5812,25423,046
195011,53020,8223,39730,3669,61317,5403,18126,514
195111,37922,9914,68935,0319,51019,3554,43530,660
195212,44327,7638,85646,2799,18821,4577,96438,118
195311,70028,0459,03747,1808,83622,0368,04439,341
195412,59631,52410,98153,9739,59424,80310,22345,476
195515,44340,24220,48574,59012,06432,19918,89463,870
195614,16238,51216,38270,15710,76730,08414,98559,166
195713,44537,17117,06269,00910,10228,43715,24057,278

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 and boroughs have been excluded consequent on their abolition and 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 houses and flats 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.

Statistics of houses and flats treat each flat as one unit. During the year ended 31 March 1957, 174 blocks of flats, totalling 573 individual 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 permits for houses and flats issued for cities, boroughs, and town districts.

Year Ended 31 MarchCities, Boroughs, and Town Districts
BlocksNumber of Flats
194874263
194967236
195062174
195151141
195264223
195354207
195473189
1955141615
1956118515
1957167558

These figures cover only buildings erected as new blocks of flats. Where flats have been created by conversion of existing buildings, the values of such conversions are included in alterations and additions. However, as this class of work has become more prevalent in recent years it was decided to collect information on the number of flats being created in such a manner, the first data being for the year ended 31 March 1955 for urban districts.

The following table shows the numbers of permits for the last three years for flats to be created by conversion of existing buildings.

Year Ended 31 MarchNew Zealand TotalAll Urban DistrictsCities, Boroughs, and Town Districts
* Not available.
1955*501494
1956532518505
1957682655651

The statistics quoted in the preceding paragraphs relate only to the main types of building activity. More detailed statistics are included in the Annual Report on Population, Migration, and Buildings, compiled by the Department of Statistics.

The total value of urban building operations in the year 1956-57 showed a slight fall on the previous year, which had also registered a fall on the record figure for 1954-55. The 1956-57 total showed a decrease of £1,147,554 or 1.6 per cent from 1955-56.

The number of permits issued in 1956-57 for the erection of new houses and flats was 13,445, a decrease of 717, or 5.1 per cent, compared with 1955-56. However, the value of this class of building dropped by only £1,340,633, or 3.5 per cent, with the result that the average value of a new house or flat increased from £2,719 in 1955-56 to £2,765 in 1956-57.

New "other buildings", together with alterations and additions, which in 1955-56 had shown a decrease on the previous year's value of £2,703,422 or 7.8 per cent, increased by £193,079, or 0.6 per cent, in 1956-57, as compared with 1955-56. It is of interest to note that this increase occurred in the year in which building controls were abolished.

The following table arranges districts with building values of over £300,000 in 1956-57 in descending order.

1956-57
 £
Auckland City5,159,941
Christchurch City4,719,184
Wellington City3,749,382
Dunedin City2,870,219
Waitemata County2,515,127
Waimairi County2,151,083
Manukau County1,949,207
Hutt County1,885,733
Hamilton City1,844,211
Palmerston North City1,790,974
Lower Hutt City1,671,687
Invercargill City1,400,202
Mount Wellington Borough1,342,305
Mount Roskill Borough1,260,536
Paparua County1,240,992
Upper Hutt Borough1,155,289
Mount Maunganui Borough1,109,343
Wanganui City1,107,934
New Plymouth City958,878
Makara County848,682
Hastings City844,458
Napier City842,658
Heathcote County797,548
Timaru City777,598
Whangarei Borough762,999
Gisborne City735,919
Takapuna Borough727,133
Papatoetoe Borough624,079
Tauranga Borough623,567
Masterton Borough607,301
Rotorua Borough593,607
Manurewa Borough568,450
New Lynn Borough492,297
East Coast Bays Borough478,655
Ashburton Borough478,586
Whakatane Borough469,847
Nelson City457,085
Levin Borough445,557
Oamaru Borough428,166
Blenheim Borough425,594
Kawerau Borough420,500
Papakura Borough388,647
Mount Albert Borough351,392
Henderson Borough335,698
Pukekohe Borough335,336
Onehunga Borough330,272
Taupo Borough326,245
Birkenhead Borough317,211
Gore Borough316,424
Mount Eden Borough304,010

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 and Waiheke Island. Most rural districts were able to supply the information required. Previously this was limited in scope, but since 1955-56 this has been returned in full the same as for urban districts. In the few instances where counties do not operate a building permit system estimates of building activity have been accepted.

Data are available for all Government building in rural districts and have been included in the total for rural building.

Excluding the nine counties which are included in urban districts, the total value of rural building in 1956-57 amounted to £20,378,817, an increase of 362,551 as compared with the 1955-56 figures for the same districts. The number of new dwellings, was 4,909, a decrease of 433 from the preceding year.

The following table arranges counties with building values of over £250,000 in 1956-57 in descending order.

1956-57
County£
Southland1,381,233
Hawke's Bay984,093
Rotorua932,638
Matamata844,865
Tauranga799,143
Wallace758,548
Waipa739,014
Buller570,907
Taranaki545,308
Waikato521,952
Franklin507,764
Waimea463,071
Whangarei462,638
Taupo456,911
Horowhenua401,725
Ashburton379,913
Whakatane371,049
Piako351,370
Marlborough334,750
Otamatea317,595
Rangitikei303,536
Rodney300,638
Bay of Islands295,076
Manawatu255,911

The total value of building for the nine counties included in the total for urban districts in 1956-57 was £11,731,511, and the number of new houses and flats 3,343. The comparable value for 1955-56 was £10,991,015, and the number of new houses and flats 3,395.

Government Building of Houses and Flats.—The erection of houses by the Housing Division of the Ministry of Works was commenced in March 1937 with 22 units in Wellington City. Details of houses and flats commenced for the last ten years are as follows.

Year Ended 31 MarchUrban DistrictsRural Districts
19482,656409
19493,641470
19504,130686
19512,020734
19521,914386
19532,880435
19542,572615
19552,871438
19562,610438
19572,250232

Most of these are State rental units and departmental houses, but a few are houses and flats built for sale.

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. As these houses are for individual Maori ownership they are not included in Government figures quoted below.

In addition, houses and flats are erected by the Ministry of Works, Lands and Survey Department, Justice Department, etc.

In all, there were 2,660 Government houses and flats (2,267 in urban and 393 in rural districts) commenced in 1956-57 compared with 3,270 (2,709 in urban and 561 in rural districts) in 1955-56. The value of the houses and flats commenced in 1956-57 was £7,592,336 as against £9,545,135 in 1955-56.

The following table shows urban districts in which twenty or more houses and flats were commenced during 1955-56 and 1956-57 by the various Government Departments concerned.

New Houses and Flats
1955-561956-57
Cities or Boroughs—
    Whangarei32 
    Takapuna134 
    New Lynn 31
    Auckland City408129
    Mount Roskill5438
    Mount Wellington 54
    Papatoetoe 52
    Hamilton City122124
    Te Awamutu 20
    Tauranga26 
    Rotorua2324
    Whakatane 26
    Kawerau 28
    Gisborne City6544
    Napier City4964
    Hastings City5461
    Dannevirke2325
    New Plymouth City5457
    Wanganui City3550
    Palmerston North City9888
    Masterton2227
    Upper Hutt107102
    Lower Hutt City7555
    Wellington City97 
    Christchurch City161116
    Timaru City2736
    Roxburgh24 
    Dunedin City5996
    Mosgiel20 
    Invercargill City 36
    Others334307
                Totals2,1031,690
Counties—
    Waitemata2221
    Manukau2586
    Makara185134
    Paparua6699
    Waimairi215134
    Others2528
                Totals538502
Independent Town Districts—
    Murupara5636
    Bulls 22
    Others116
                Totals6764
Dependent Town Districts111
                Totals, Urban Districts2,7092,267

Rural districts (counties) in which the number was twenty or more in 1955-56 were: Rotorua, 58; Taupo, 186; Waimarino, 22; Rangitikei, 32; Marlborough, 33; and in 1956-57, Rotorua 37, and Taupo 59.

Other Government Building Operations.—In 1956-57 Government building, other than houses and flats, commenced totalled £5,398,830 in value. The comparable figure for 1955-56 was £5,076,613. Buildings erected by or for hospital or education boards are not included in these figures but are included in the total building statistics quoted previously. For the year ended 31 March 1957 the value of building commenced for hospital boards amounted to £1,882,872, while that commenced for education boards was valued at £3,348,239.

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.

While these returns cover 61 per cent of the total population, they represent 66 per cent of the total New Zealand building activity.

BUILDING PERMITS IN LARGER CENTRES
MonthNew BuildingsAlterations to Existing BuildingsTotal
Houses and FlatsTotalNo.ValueNo.Value
No.ValueNo.Value
££££
1956
January8012,222,5798903,167,8571,231553,8702,1213,721,727
February1,0162,781,2871,1553,844,5661,895944,9593,0504,789,525
March1,1093,117,1561,2874,192,8163,3021,868,9754,5896,061,791
April9342,541,5461,1053,556,0901,916811,6523,0214,367,742
May1,1453,170,5571,2834,771,0572,362917,2243,6455,688,281
June9842,802,7021,1333,614,8041,9081,085,7903,0414,700,594
July9242,570,2681,0793,265,4041,9311,247,3843,0104,512,788
August1,0432,938,2251,2154,255,3482,077869,2103,2925,124,558
September9662,667,1991,1373,751,0591,918916,9633,0554,668,022
October9982,772,1911,1403,750,2132,051856,0013,1914,606,214
November1,0692,938,4731,2114,151,0221,9121,107,6703,1235,258,692
December7652,098,8718823,126,7211,6761,173,2242,5584,299,945
1957
January7222,065,2828252,810,2951,246798,0052,0713,608,300
February8622,431,2799863,295,4241,782987,7002,7684,283,124
March1,0412,814,8941,2225,467,3983,0742,223,6284,2967,691,026
April9202,608,5831,0403,749,0002,215953,1543,2554,702,154
May9792,818,5411,1063,968,8172,5921,214,9383,6985,183,755
June8462,412,3919904,516,0841,9941,164,4532,9845,680,537
July1,0463,002,5311,2024,970,6032,6971,339,4863,8996,310,089
August9922,870,3731,1333,838,9652,1561,085,9333,2894,924,898
September1,0282,920,0901,1854,465,2082,0671,071,5323,2525,536,740
October1,1323,227,0051,2744,660,9402,2481,787,2913,5226,448,231
November1,1913,380,4871,3324,823,0621,9891,038,2143,3215,861,276
December9362,832,1961,0614,203,0581,9621,367,8693,0235,570,927

HOUSES AND FLATS COMPLETED.—Local authorities which supply building-permit figures also give particulars of new houses and flats which were completed in their districts.

Statistics of completed houses and flats include any new flats which are created by the conversion of existing buildings, details of which are shown previously. Some difficulty is encountered in obtaining accurate figures for completions from a few local authorities, and in some cases estimates have been made, either by the local authorities concerned, or by the Department of Statistics. While it is therefore believed these figures are reasonably accurate, and enable a comparison to be made of year to year changes, it is the practice of the Department to round completed figures to the nearest hundred. All houses and flats completed by the Government are included.

The results of this collection of statistics for the last five years are given in the following table.

District1952-531953-541954-551955-561956-57
Urban districts11,90012,20013,90014,20014,300
Rural districts4,2004,4004,6005,0004,900
                Totals16,10016,60018,50019,20019,200

Chapter 26. SECTION 26—ELECTRIC POWER AND GAS: GENERATION AND SUPPLY

Chapter 26. SECTION 26—ELECTRIC POWER AND GAS: 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 1957 a total of 4,951,602,000 kWh. was generated by public utilities, of which 4,763,162,000 kWh. (96 per cent) was generated by water power, 183,098,000 kWh. by steam engines, and 5,342,000 kWh. by diesel and petrol engines. A further 15,760,000 kWh. was purchased by public supply authorities from generating stations operated by industrial establishments and fed into the supply system, making a total of 4,967,362,000 kWh. available for distribution. By far the major portion of the generation is undertaken by Government-owned plants, which, in the period under review, generated 4,508,951,000 kWh. by the use of water power, 179,963,000 kWh. by use of team engines, and 4,239,000 kWh. by use of diesel engines.

Construction work on new generating stations was delayed by shortages of labour and materials both during the Second World 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 onwards in the North Island, and from 1947 in the South Island. In April 1953 restrictions were lifted in the North Island after the Maraetai power station came into operation. By mid-1955 it was again necessary to impose controls as demand increased and the addition of Whakamaru station in 1956 was not sufficient to permit the lifting of restrictions. In the South Island restrictions continued until July 1956, when the commissioning of Roxburgh station assured an adequate supply for some years in the South Island. Although it has not been sufficient to meet the full demand throughout New Zealand, supply has, nevertheless, been more than trebled 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. 
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
19552,691,0247,3733161,122,3483,0753163,813,37210,448316
19562,882,0757,8743381,222,7413,3413444,104,81611,215340
19572,999,1958,2173521,231,8803,3753474,231,07511,592351

LEGISLATIVE BACKGROUND.—The provisions of 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 authorising 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 Hydroelectric Department which under this Act took over the control of hydro-electric development previously exercised by the Public Works Department.

The Electric Power Boards Amendment Act 1952 was passed with the object of maintaining existing gas supplies as far as possible in order to reduce added demands for electric power. In 1955 the Electricity and Gas Co-ordination Committee was set up, by an Act of the same name, and, following its report, all but three of the thirty-four gas undertakings then operating were declared essential in the national interest. The report was tabled in Parliament, and as a result there was passed the Electricity and Gas Co-ordination Act 1956, which sets up a permanent board to advise the Minister on matters relating to the gas industry and empowers electrical supply authorities to acquire essential gas undertakings.

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) a 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 and by the end of June 1953 three machines were 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. Construction on Whakamaru commenced in 1949, the station was commissioned with two machines in May 1956 and completed in December 1956 with four machines rated at 100,000 kW.

Arapuni, Karapiro, Maraetai, and Whakamaru power stations have been constructed on the Waikato River. Three other stations are in the course of construction—namely, Atiamuri (scheduled for completion in 1959) and Waipapa and Ohakuri (scheduled for first operation in 1961). A further site at Aratiatia is under consideration. These stations will make use of the greater part of the 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 has been 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 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 by 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 pesigned 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 next largest station to Roxburgh operating in the South Island. Further use of the Waitaki River at Black Jack's Point is envisaged, where a station of 480,000 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 has now been expanded in capacity to 32,000 kW., commenced in 1944.

The Roxburgh station on the Clutha River will ultimately have a capacity of 320,000 kW. First operation of this station was in July 1956, and by December 1956 four machines with a capacity of 160,000 kW. were commissioned. Orders have been placed for the other four machines. Investigation and access roading work was carried on at Lake Rotoroa in connection with the proposed Braeburn scheme of about 60,000 kW. capacity. The Government, however, announced in 1955 that instead of building Braeburn in the meantime it would go ahead with 220 kV. transmission from Islington to provide further supply to the Nelson - Marlborough area.

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 Kikiwa in the Nelson Provincial District to connect Nelson and Marlborough with this network, which will then cover the whole South Island. A 220,000 volt line was constructed from Roxburgh to a major substation at Islington to bring the power from Roxburgh.

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 31 March 1958 and ultimate installed capacity, together with the static head.

Name of StationInstalled Capacity at 31 March 1958Ultimate Installed 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
Whakamaru4100,000111,1004100,000111,100124
Atiamuri*   363,00070,20082
Waipapa*   351,00056,66754
Ohakuri*   384,00093,333115
Mangahao519,20024,000519,20024,000896
Waikaremoana—
    Kaitawa232,00038,000232,00038,000443
    Tuai352,00062,200352,00062,200676
    Piripaua240,00044,400240,00044,400370
Cobb River632,00037,222632,00037,2221,876
Arnold23,0603,60023,0603,60042
Lake Coleridge934,50040,640934,50040,640490
Highbank125,20028,000125,20028,000330
Waitaki7105,000116,6667105,000116,66670
Benmore   6480,000600,000305
Lake Tekapo125,20028,000125,20028,00080-105
Roxburgh4160,000177,7788320,000355,555150
Monowai36,0007,05036,0007,050154

STEAM STATION.—In order to provide additional power for the North Island, a coal-fired steam station is being constructed at Mercer, on the Waikato River. Overseas consultants are engaged in the design and supervision of construction of this station, which will have a capacity of 180,000 kW. The station is being constructed by contractors and is scheduled for first operation in 1958.

GAS TURBINE STATION.—The Installation of a gas turbine station of 107,500 kW. capacity to be sited near Wellington has been authorized.

GEOTHERMAL STEAM.—Preparations have been made at Wairakei, near Taupo, for the development of geothermal steam for the generation of electricity. At Wairakei 58 bores which are 4, 6, or 8 inches in diameter have been drilled to depths varying between 570 ft. and 4,000 ft. With closed bores, well-head pressures vary between 500 and 50 lbs. per square inch. High pressure 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 have been prepared for initial development with the establishment of a generating station of approximately 69,000 kW. capacity, and the Government has engaged the services of a consulting engineer to assist with the proposals. A contract has been let for the supply of steam plant and steam supply pipelines, and ancillary equipment. Construction of the power station is in progress and the Government has approved the second stage of development at Wairakei to bring the capacity to 151,000 kW. At the end of 1957 the quantities of steam and water available from tested bores were:—

Steam at 210 lb./ sq. in.990,000 lb./hr.
Water at 210 lb./ sq. in.6,130,000 lb./hr
Steam at 80 lb./ sq. in.458,000 lb./hr.
Water at 80 lb./ sq. in.1,810,000 lb./hr.

Exploration drilling is being undertaken at Waiotapu and five bores have been drilled to a depth of 1,500 ft. One of them is being deepened to 3,000 ft. or more.

COOK STRAIT SUBMARINE POWER CABLE.—The Government announced in March 1956 that it had been decided to proceed immediately with a detailed investigation into the practicability of linking the power systems of the North and South Islands by a submarine cable across Cook Strait. Following the Combined Committee report referred to below, approval in principle has been given to the interconnection by a direct-current cable designed for 600,000 kW. capacity, and the laying of a trial length of cable in Cook Strait has been authorized.

BASIS OF FORWARD PLANNING.—In March 1957 the Combined Committee consisting of two members of the State Hydro-electric Department, two members of Ministry of Works, and six members from engineers actively serving with the electrical supply authorities, reported to the Government advising how the increasing demand could be met. The Committee kept in mind the necessity for correlating the economic and engineering aspects of its task. In June 1957 the Government announced that the report was approved in principle as a basic plan for the comprehensive and orderly development of a power system to meet the full needs of the country. The programme is estimated to cost some £235 million in the next 13 years. The Committee's report has been published.

The State Hydro-electric Department drew up a plan for financing this huge outlay which is complementary to the report of the Combined Committee. The broad principles of the plan were agreed upon by the Government and the general body of the electrical supply authorities. The procedure involves decreasing dependence on loan monies, thus reducing the interest bill as well as stabilizing the price. Legislation was passed in 1957 which makes the Department no longer liable for income tax, provides that interest formerly capitalised is charged to revenue, and allows for revenue to provide a direct contribution towards capital requirements. Whether the financial system had been changed or not the increasing costs would have had to be added to revenue requirements. Meanwhile Government has decided not to implement the provision whereby revenue would provide a direct contribution to capital requirements.

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 1/4 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 1957 had approved subsidies on 4,890 route-miles of line, to supply some 8,187 consumers. At this date 3,687 miles of line were completed and 6,455 consumers connected. The total capital expenditure is estimated to be £3,369,796 and the annual subsidy approved amounts to £157,572.

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 £377 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 at 1 April 1957 totalled approximately 84,700 square miles, with a population of 2,203,660 people or 99.2 per cent of the total population of New Zealand.

Of the forty-three Electric Power Boards actively functioning at 31 March 1957, fourteen operated generating stations as well as distributing power, and the remaining twenty-nine distributed power purchased in bulk, mainly from Government stations. Only two Boards generated sufficient power to meet fully their entire needs; the other twelve 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 1954-55, 1955-56, and 1956-57. It includes Southland electric power supply, operated by the State Hydro-electric Department, and Rotorua electric power supply, operated by Tourist and Publicity Department.

Year Ended 31 March
195519561957
EstablishmentsNo.171719
Persons engagedNo.1,9122,0192,374
Salaries and wages paid£1,450,8901,552,2081,868,179
ConsumersNo.25,79126,86528,035
Prime movers—
    Hydro b.h.p.1,132,9001,140,9001,504,900
    Thermalb.h.p.81,13981,13981,139
            Totalsb.h.p.1,214,0391,222,0391,586,039
Generators (capacity)—
A.C.kW.859,070859,0701,119,070
kVA.981,215981,2151,269,992
Revenue—
    Sales of power—
        Retail£780,391961,5201,091,463
        Bulk and interchange£7,879,0508,360,8148,676,496
        Other£76,61383,27990,748
            Total revenue£8,736,0549,405,6139,858,707
Expenditure—
    Power purchased (including interchange)£457,004498,039440,864
    Generating costs£1,800,2611,678,1,706,639
    Transmission and distribution costs£833,7651,043,3551,045,449
    Management and general£730,316783,591858,139
    Capital charges (including taxation)£4,808,8625,253,1855,822,039
            Total expenditure£8,630,2089,256,2039,873,130
Capital outlay—
    Total expenditure to date£113,110,109126,544,017143,799,903
    Expenditure during year£13,108,85513,433,90817,255,886
Generation—
    Hydro(000) kWh.3,860,3484,177,4844,508,951
    Steam engines(000) kWh.223,206191,413179,963
    Diesel engines(000) kWh.15,1436,9064,239
            Totals(000) kWh.4,098,6974,375,8034,693,153
Retail sales(000) kWh.156,120203,696273,159

Electric Power Boards.—This table gives similar information concerning generation and distribution by Electric Power Boards.

Year Ended 31 March
195519561957
EstablishmentsNo.434343
Persons engagedNo.2,4692,5252,768
Salaries and wages paid£1,857,3611,987,0432,169,464
ConsumersNo.429,393445,768465,213
Prime movers—
    Hydrob.h.p.25,05024,78024,633
    Thermalb.h.p.4,8024,8904,890
            Totalsb.h.p.29,85229,67029,523
Generators (capacity)—
A.C.kW.20,54320,34120,274
kVA.24,56824,38024,286
Revenue—
    Sales of power—
        Retail£10,933,24511,820,90912,571,547
        Bulk and interchange£547,728579,550584,232
        Other (including rates)£322,547347,549364,427
             Total revenue£11,803,52012,748,00813,520,206
Expenditure—
    Power purchased (including interchange)£5,852,4776,177,0376,441,381
    Generating costs£71,10351,73346,540
    Transmission and distribution costs£1,529,3811,613,0201,817,669
    Management and general£1,034,4971,136,4861,212,036
    Capital charges£2,063,5392,368,3512,661,473
            Total expenditure£10,550,99711,346,62712,179,099
Capital outlay—
        Total expenditure to date£35,799,89039,630,77843,577,537
        Expenditure during year£3,834,0633,830,8882,946,759
Generation—
    Hydro(000) kWh.78,51385,42283,000
    Diesel engines(000) kWh.2,75250634
            Totals(000) kWh.81,26585,92883,034
Retail sales(000) kWh.2,245,6562,441,2242,574,034

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 1957 of nineteen Government owned establishments, four limited liability companies, forty-three Electric Power Boards, ten City Councils, twenty Borough Councils, three County Councils, and two Town Boards.

Year Ended 31 March
195519561957
EstablishmentsNo.9999101
Persons engagedNo.5,6035,8516,612
Salaries and wages paid£4,176,8934,473,0124,904,034
ConsumersNo.671,314699,597725,947
Prime movers—
    Hydrob.h.p.1,236,0261,242,1061,617,937
    Thermalb.h.p.97,07497,29295,010
            Totalsb.h.p.1,333,1001,339,3981,712,947
Generators (capacity)—
D.C.kW.196150 
A.C.kW.939,921940,0111,205,190
kVA.1,081,4231,081,5971,375,111
            TotalskW.940,117940,1611,205,190
Revenue—
    Sales of power—
        Retail£16,645,24318,112,68219,034,919
        Bulk and interchange£8,485,1209,071,5749,342,015
        Other (including rates)£602,404604,541629,802
            Total revenue£25,732,76727,788,79729,006,736
Expenditure—
    Power purchased (including interchange)£8,827,0329,362,0999,625,482
    Generating costs£2,049,9491,885,8071,901,695
    Transmission and distribution costs£3,124,0883,529,2363,766,674
    Management and general£2,139,9312,350,9502,523,346
    Capital charges (including taxation)£7,652,6308,339,6439,293,938
            Total expenditure£23,793,63025,467,73527,111,135
Capital outlay—
    Total expenditure to date£160,973,581180,950,392203,087,812
    Expenditure during year£17,840,78919,976,81122,137,420
Generation—
    Hydro(000) kWh.4,117,2404,530,4614,763,162
    Steam engines(000) kWh.230,032195,278183,098
    Diesel or petrol engines(000) kWh.18,7668.4305,342
            Totals(000) kWh.4,366,0384,734,1694,951,602
Generation per head of mean populationkWh.2,0732,2022,257
Retail sales(000) kWh.3,541,0503,876,3114,064,292

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 1957.

Persons EngagedSalaries and Wages Paid
MalesFemalesTotalTo MalesTo FemalesTotal
 No.No.No.£££
Secretaries, managers, engineers3271328372,260373,171
Clerical staff1,1606351,795913,435275,4241,188,859
Wage-earning employees4,446434,4893,315,51526,4893,342,004
            Totals5,9336796,6124,601,861302,1734,904,034

Capital Outlay.—The following figures of capital expenditure during 1956-57, and of capital outlay to 31 March 1957, include capital invested in trading departments and in other activities.

£
Class of ExpenditureExpenditure During Year Ended 31 March 1957Total Capital Outlay to 31 March 1957
* Special standby plant has now been incorporated with ordinary generating plants.
Land in connection with powerhouse1,627,2834,095,754
Headworks, pipe lines, etc.7,444,63460,424,110
Powerhouse buildings, cottages, etc.2,679,88511,298,841
Generating plant1,129,23216,256,564
Special standby plant*  
Main transmission line and main substations4,390,79846,515,448
Distribution system, substations, land, cottages, etc.3,327,77836,272,740
Public (street) lighting81,604931,067
Office and store buildings, workshops, garages, houses, and service buildings556,9695,194,100
Loose tools, meters, instruments, furniture, trucks, motor cars, equipment, and stocks892,7489,744,030
Interest during construction759,5969,628,105
Loan conversion premiumsCr. 1,15553,316
Miscellaneous (work under construction, cost of raising loans, law costs, etc., and other capital expenditure)Cr. 751,9522,673,737
            Total capital outlay22,137,420203,087,812
Capital cash on hand and investments of capital 641,593
Capital funds used to finance advances to consumers and trading departments133,970 
            Total capital assets 203,863,375

Additions to the capital value of all electrical systems during 1956-57 totalled £22,322,597, while deductions, i.e., sales and amounts written off, amounted to £185,177. The previous table shows for each item the net expenditure only during the year.

Of the total capital additions during 1956-57, £17,255,886 was contributed by the Government, £4,042,394 by electric power boards, £1,015,990 by other local authorities, and £8,327 by companies. The chief items of Government expenditure were: additions to generation systems, £12,985,212, and transmission system, £3,140,140.

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 1957150,376,873 
    Reserve created by loan repayments to date25,389,101 
  175,765,974
Appropriations from revenue 13,604,149
Other reserves used, i.e., depreciation, etc. 13,199,713
Temporary advances, capital creditors, etc. 1,293,539
            Total capital receipts £203,863,375

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 1957, in addition to setting out the reserves and invested funds.

  £
Liabilities
Sundry creditors 4,944,907
Advances from capital for trading departments, etc. 164,708
Reserves—£ 
    Sinking fund reserve1,677,711 
    Depreciation reserve3,846,528 
    Renewal fund reserve908,338 
    General reserve911,463 
    Other reserve528,581 
  7,872,621
Credit balance, net revenue accounts 3,791,568
            Total £,773,804
Assets
Trading department assets, stocks, etc. 3,585,475
Cash, debtors and others current assets 8,063,309
Invested reserve funds—£ 
    Sinking funds1,621,533 
    Depreciation funds1,920,498 
    Renewal funds778,734 
    other reserve funds804,255 
  5,125,020
            Total £16,773,804

Power Plant.—Particulars relating to the power plant in use during the year ended 31 March 1957 are set out hereunder.

Source of PowerNo.B.h.p.
Steam engines1174,100
Water turbines1371,617,937
Oil engines3020,910

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 Hydro-electric 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.

Thousand kWh.
Year Ended 31 MarchKilowatt-hours
GeneratedSold in BulkPurchased in BulkNet TotalSold (Retail)Lost in Transmission, Used Free of Charge, etc.
19533,568,7493,128,5453,138,8223,579,0262,841,457737,569
19544,018,0303,533,9113,545,3724,029,4913,227,879801,611
19554,366,0383,887,6503,904,8354,383,2233,541,050842,173
19564,734,1694,219,2894,233,4544,748,3343,876,311872,023
19574,951,6024,348,7584,364,5184,967,3624,064,292903,070

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.

Thousand kWh.
Year Ended 31 MarchSales (Kilowatt-hours)
DomesticCommercial and IndustrialStreet LightingTramwaysElectric RailwaysOther PurposesTotal
19531,691,6661,065,46816,37944,34816,8336,7632,841,457
19541,946,2631,199,20420,45737,34817,1027,5043,227,879
19552,141,5991,317,45221,79232,96018,4088,8393,541,050
19562,344,6661,476,53123,79528,86521,88510,5693,876,311
19572,366,7071,624,56725,51324,46922,8931434,064,292

The following diagram portrays the growth in the use of electric power since 1931-32, and shows also the principal purposes for which it was employed.

Revenue.—Revenue is derived chiefly from the sale of power, and in 1956-57 this source was responsible for 96.8 per cent of the total. The following table sets out the revenue of all stations for the years 1952-53 to 1956-57.

£
Year Ended 31 MarchSale of Power (Retail)Profits from TradingMiscellaneousInterestRatesTotal*
* Excluding revenue from interchange of power.
195310,581,64299,685454,4428,16864711,144,584
195414,891,478114,147421,9927,19010615,434,913
195516,645,243124,417469,9927,995 17,247,647
195618,112,682109,207479,98015,354 18,717,223
195719,034,91990,638513,68825,476 19,664,721

Expenditure.—Of the total expenditure of £17,600,024 (excluding cost of interchange of power in bulk) recorded in the year ended 31 March 1957, 67.1 per cent represented overhead costs (comprising management expenses and capital charges), while operating expenses or prime costs stood at 32.9 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 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.

£
ItemYear Ended 31 March
1954195519561957

* Does not include the interchange of power between supply authorities.

† 1956-57 costs incorporated in generation costs.

Operating Expenditure
Cost of power purchased*77,911135,896109,389114,371
Cost of generation406,173448,892827,026648,737
Fuel406,3351,165,219953,466958,098
Stores2,5522,3389,3055,516
Repairs117,716185,04657,245289,344
Standby plant270,485251,59738,765
Cost of transmission767,956949,7771,087,9051,176,915
Cost of distribution1,899,4332,105,1102,370,7802,503,399
Public (street) lighting71,69369,20170,55186,360
            Totals4,020,2545,313,0765,524,4325,782,740
Miscellaneous Expenditure
Cost of management1,638,1031,809,5911,987,8142,133,378
Insurance75,32288,82594,76397,496
Losses from trading9,2799,53611,1019,401
Other expenditure222,261231,979257,272283,071
            Totals1,944,9652,139,9312,350,9502,523,346
Capital Charges (Including Taxation)
Interest2,906,9713,320,7643,624,1665,084,968
Sinking fund893,044956,501413,418420,017
Renewals370,142486,768496,052563,281
Depreciation1,264,4871,463,7161,508,7592,075,428
Loan repayment726,198825,5391,598,0251,142,983
Exchange28   
Taxation597,013599,342699,2237,261
            Totals6,757,8837,652,6308,339,6439,293,938
            Grand totals12,723,10215,105,63716,215,02517,600,024

The distribution of the expenditure per unit sold retail is given hereunder.

d.
Year Ended 31 March
1954195519561957
Operating expenses0.2990.3600.3400.341
Miscellaneous expenses0.1450.1450.1460.149
Capital charges0.5020.5190.5160.549
            Totals0.9461.0241.0021.039

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 thirty-four works still operating in 1956.

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
1948-4980,114
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 sold. 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 1956-57 are shown in the following table. Included in the average prices recorded below for the three latest years is a Government subsidy of 2s. per thousand feet of gas sold. Thus the actual average price to consumers would be 2s. lower than that shown.

AVERAGE PRICE OF GAS PER THOUSAND CUBIC FEEt
YearAucklandWellingtonChrist churchDunedin
 s.d.s.d.s.d.s.d.
1910-11445455410
1929-30706117063
1939-40726165511
1954-5513811410691
1955-56131111510691
1956-5714611910891

The decline of the gas industry is viewed with concern by the Government and the authorities which are required to supply the country with electric power, because of the additional demand for electricity which must follow any reduction of the gas supply. In order to conserve the contribution by the gasworks to the national sources of power, the Electricity and Gas Co-ordination Committee was set up by Act of Parliament in 1955 and commenced its work in January 1956, at which time 34 gas undertakings were in operation. In terms of the Act the Committee considered that all but three smaller undertakings were essential in the national interest. On 5 September 1956 the Committee reported to the Minister making recommendations concerning the future operation of essential undertakings and in respect of the acquisition of such undertakings by the local electrical supply authority. Following this report, which was tabled in Parliament, the Electricity and Gas Co-ordination Act 1956 was passed which repealed the 1955 Act and established an Electricity and Gas Co-ordination Board to advise the Minister on the co-ordination of the electricity and gas industries.

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, 1867-1957
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
1955-56351,5836434,8595,222
1956-57341,5666815,1865,240

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 authorized 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, but these provisions were repealed in 1956. The Electricity and Gas Co-ordination Act 1956 requires each supply authority which controls an essential gas undertaking to carry on the undertaking in such manner as to ensure that, as far as practicable, the supply of gas is maintained and that available supplies of electricity are conserved by the encouragement of the use of gas for the generation of heat and power.

The Electricity and Gas Co-ordination Act 1956 makes provision for the appointment of a Board of five members to advise the Minister in Charge of the State Hydro-electric Department in matters affecting the co-ordination of the electricity and gas industries. If a supply authority does not enter into an agreement either to acquire or for the effective control of an essential gas undertaking within its district, the matter is to be reported to the Board, which shall then take necessary steps to arrange an agreement. The Act empowers a supply authority to acquire and carry on a gas undertaking and empowers the Minister of Finance to enter into arrangements enabling the financing of such acquisition. The Board has authority to require a supply authority to submit for approval the rates of charges for electricity and for gas.

RECENT STATISTICS.—Statistics for the years 1954-55 to 1956-57 are set out in the table which follows.

1954-551955-561956-57
WorksNo.373534
Value of land and buildings£629,809642,661681,125
Value of plant (generating and distributing)£4,502,9464,859,1835,185,596
Persons engagedNo.1,6111,5831,566
Salaries and wages paid£1,129,4111,184,5751,214,632
Coal used—
    QuantityTons266,149267,827260,788
    Cost£1,582,7901,608,0651,571,552
Cost of purifying and other materials£65,61182,26664,432
Other expenses (other than salaries and wages and materials)£664,449614,550687,375
Total expenditure£3,442,2613,489,4563,537,991
Total revenue£3,510,7443,532,7463,601,082
ConsumersNo.189,376183,900178,604
Gas generatedCub. ft. (000)5,174,3615,221,6615,239,930
Gas sold—
    QuantityCub. ft. (000)4,194,5154,152,3644,146,754
    Value£2,664,9562,663,4752,698,938
Average price of gas per thousand cubic feet 12s. 8d.12s. 10d.13s. 0d.

A further analysis of the 1956-57 statistics is given below, these being dissected by locality of gasworks (North and South Island) and character of organization. It will be seen that 67.9 per cent of the total quantity of gas was generated in the North Island and 32.1 per cent in the South Island, while proportions generated by registered companies and municipal authorities were 69.0 per cent and 31.0 per cent respectively.

Registered CompaniesMunicipal AuthoritiesTotal

* Depreciated values.

† Undepreciated. Depreciation funds amounted to £28,643.

North Island
WorksNo.91019
Value of land and buildings£276,822*159,424435,246
Value of machinery and plant£2,053,666*1,248,5883,302,254
Capital additions during year—
    Land and buildings£17,5021,65119,153
    Machinery and plant£161,348105,380266,728
Persons engaged—
    MalesNo.7862181,004
    FemalesNo.661278
            TotalsNo.8522301,082
Salaries and wages paid—
    To males£610,954181,958792,912
    To females£34,0394,36138,400
            Totals£644,993186,319831,312
Motive power—
    Engines in useNo.166108274
    Total horse-powerH.p.3,1195573,676
Materials used—
    CoalTons129,09640,650169,746
 £801,741273,7471,075,488
    Other materials£32,6017,08739,688
            Totals£834,342280,8341,115,176
Products—
        Gas generatedCub. ft. (million)2,812,178746,6513,558,829
        Gas soldCub ft. (million)2,190,470555,6362,746,106
 £1,487,910415,0801,902,990
    CokeTons27,5889,21036,798
 £221,23883,111304,349
    TarGal.1,220,545370,9811,591,526
 £122,33735,216157,553
    Other residuals£42,4506,59449,044
            Totals£1,873,935540,0012,413,936
Total expenditure£1,820,11200,8422,420,954
Total revenue£1,898,692554,3522,452,044
ConsumersNo.90,06827,185117,253
Registered CompaniesMunicipal AuthoritiesTotal

* Depreciated values.

† Undepreciated. Depreciation funds amounted to £305,966.

South Island
WorksNo.31215
Value of land and buildings£92,405*153,474245,879
Value of machinery and plant£747,453*1,135,8891,883,342
Capital additions during year—
    Land and buildings£2,6576,4739,130
    Machinery and plant£120,78175,128195,909
Persons engaged—
    MalesNo.197252449
    FemalesNo.221335
            TotalsNo.219265484
Salaries and wages paid—
    To males£162,181207,044369,225
    To females£8,4025,69314,095
            Totals£170,583212,737383,320
Motive power—
    Engines in useNo.72138210
    Total horse-powerH.p.9159131,828
Materials used—
    CoalTons43,86947,17391,042
 £222,176273,888496,064
    Other materials£4,00020,74424,744
            Totals£226,176294,632520,808
Products—
    Gas generatedCub. ft. (million)804,456876,6451,681,101
    Gas soldCub. ft. (million)684,622716,0261.400,648
 £370,918425,030795,948
    CokeTons22,34514,56236,907
 £115,64799,054214,701
    TarGa1.441,905479,749921,654
 £49,60946,26495,873
    Other residuals£8,8074,38613,193
            Totals£544,981574,7341,119,715
Total expenditure£505,975611,0621,117,037
Total revenue£557,185590,8531,148,038
ConsumersNo.22,29039,06161,351

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.—Up to 1948-49 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. Some information available on c.i.f. values of imports enabled assessments to be made for the years 1949-50 to 1951-52, while for the years from 1952-53 onwards the official Customs c.i.f. (cost, including insurance and freight) values have been used.

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
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
1951469.0233.3235.7122.3174.8410.5213.0
1952431.2194.9236.3119.9293.3529.6268.8
1953482.1231.0251.1124.1208.2459.3227.1
1954518.6229.0289.6139.72,101499.7241.0
1955565.1241.6323.5152.8277.2600.7283.8
1956*581.6263.6318.0147.1276.8594.8275.2
VALUE INDEX NUMBERS: BASE 1938-39 (= 100)
1939100100100100100100100
1947171175168153166167152
1948199208193171262223199
1949218208225196197213186
1950258237274235253265227
1951352402313262296305256
1952323336314257496394323
1953362398333266352342273
1954389395385300355372290
1955424417430328469447342
1956*436454422316468443331

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. Quarterly index numbers of volume of exports, easily assembled into June year aggregates have been compiled since 1951. For earlier years the quantitative figures of exports, readily available from the official statistics and confined to a relatively small number of items, made it a comparatively simple matter to compile index numbers of volume for years ending with the month of June. For many years a similar position did not hold in the case of imports, as they are far more diversified in nature, and import volume index numbers were available only for calendar years. Using quarterly import price index numbers obtained by interpolation from the annual series, quarterly figures of values of imports up to and including 1948 have been deflated to pounds of constant value and then expressed as index numbers and reconciled with the calendar year volume index numbers. These quarterly figures, together with the quarterly volume of imports index numbers compiled regularly since 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 aggregates 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. These incorporate some revisions of figures published in earlier issues of the Year-Book.

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
19471181121231118210595
1948123113131117117125111
1949130121137119100121105
1950137118151129122138118
1951141114161135129147123
1952144125159131181169138
1953147134157126125143114
1954152126173135139158123
1955164129191146186188144
1956*169144188141180185138

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.

Following a recovery in the later nineteen-thirties from the low levels of the depression years, the volume of goods available for use fell during the war years, in total as well as on a per-head basis. From 1945-46 the volume began to rise again, the level of 1938-39 being passed by total goods available in 1946-47, and by goods available per head in 1947-48. Except on three occasions, including the latest year shown, increases were recorded in each of the post-war years. Variations in the volume of imports, rather than of retained domestic production, have been the cause of the year-to-year fluctuations.

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 61 per cent and imported goods 39 per cent of the total.

Comparisons in this respect for individual years are given hereunder.

YearLocally Produced Per CentImported Per Cent
1938-395644
1939-406535
1940-417129
1941-427228
1942-437129
1943-446436
1944-456634
1945-467030
1946-476634
1947-485941
1948-496337
1949-506139
1950-516139
1951-525347
1952-536139
1953-546139
1954-555743
1955-565743

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 to 1946-47. The percentages for imports clearly reflects the progressive lifting of import controls from 1950 onwards, the introduction of exchange control in 1952, and its abolition at the end of 1954.

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 head 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 1954-55 to 1956-57 are as follows.

 Consumed in New Zealand Per CentExported Per Cent
Butter20.979.1
Cheese5.994.1
Beef and veal43.256.8
Mutton50.549.5
Lamb4.096.0
Pig-meat79.320.7

Local (New Zealand) consumption of all meats combined, during this same three-year period, amounted to 34 per cent of total meat production.

PER HEAD QUANTITIES OF PR1NCD7AL 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 25.2 per cent of total dairy production in 1956-57 was used for local human consumption. A further 3.5 per cent was accounted for by stock feeding, wastage, changes in stocks, etc., leaving 71.3 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-war1954-551955-561956-57
Whole milk (pint)220.0327.3327.7328.2
Cream (pint)6.93.93.93.9
Ice-cream (pint)3.215.015.2161
Cheese (lb.)4.56.06.06.0
Butter (lb.)41.245.144.844.5
Processed milk (lb.)4.712.212.513.0

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 1957 publication Dairy Produce, issued by the Intelligence Branch of the Commonwealth Economic Committee.

BUTTER AND CHEESE CONSUMPTION PER HEAD
lb.
ButterCheese
1938 or 1938-391956 or 1956-571938 or 1938-391956 or 1956-57
United Kingdom24.115.68.99.4
Sweden24.119.212.8141
Switzerland15.014.617.017.6
Denmark18.319.614.114.8
Netherlands12.36.417.016.1
United States of America16.68.75.98.1
Canada31.920.83.66.4
Republic of Ireland32.244.50.81.9
Australia32.627.54.36.5
New Zealand42.844.54.56.0

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-war1955-561956-57
Beef (lb.)112.0104.2106.4
Veal (lb.)7.56.06.4
Mutton (lb.)60.071.568.2
Lamb (lb.)6.58.78.0
Pork, including chopper meat (lb.)9.012.911.8
Ham and bacon (lb.)17.020.018.8
Edible offal (lb.)9.09.38.9

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. The estimates include, at fresh weights, New Zealand produced fruits and vegetables canned for local consumption; imports of canned produce are excluded. Consumption levels for individual items are estimated as follows.

 Pre-war19551956
Potatoes (lb.)12011080
Kumeras (lb.)7.57.57.5
Cabbages and leaf greens (lb.)30.3530.3530.35
Carrots (lb.)10.1510.1510.15
Tomatoes (lb.)202222
Apples (lb.)444040
Pears and quinces (lb.)61010
Stone fruits (lb.)101520
Citrus fruits (lb.)232121
Bananas (lb.)212821
Pineapples (lb.)10.50.5

Canned Fruit and Vegetables.

Total consumption of canned fruits and vegetables per head is estimated as:

 Pre-war19551956
Canned fruit (lb.)10 to 1110.510.6
Canned tomatoes, including sauces and soups (lb.)Not available3.63.7
Canned vegetables (lb.)1.67.14.0

These figures are inclusive of New Zealand produced canned fruit and vegetables already accounted for as fresh fruit under the preceding heading. Consumptions of (net) imports of these commodities are estimated as:

 Pre-war19551956
Canned fruit (lb.)7.67.05.9
Canned tomatoes, including sauces and soups (lb.)  0.2

Before the war approximately 70 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 some progress in the local canning of fruit, but consumption per head is still only at about 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 high level. Before the war there were some imports of peas and beans, but most requirements are now met from local production. The largest development has been in the production of canned green peas, of which about one-third are exported.

Quick-frozen Fruit and Vegetables.—There has been a remarkable development in the quick-frozen foods industry in recent years and consumption per head of these products is estimated as:

 19551956
Fruits (lb.)negligible0.1
Vegetables (lb.)—
    Peas1.94.3
    Beans0.10.9
    Other0.10.4

Other Foodstuffs.—Estimated annual civilian consumption levels for other items of foodstuffs are given hereunder.

 Pre-war1954-551955-56
Poultry (lb.)3.94.03.5
Fresh fish—edible portion (lb.)11.011.011.0
Shell fish—edible portion (lb.)0.91.51.5
Eggs(dozen)20.020.018.0
Honey (lb.)2.15.23.8
Refined sugar (lb.)104.090.092.0
Dried peas and beans (lb.)1.63.03.0
Flour, wheaten (lb.)185.0177.0179.0
Oatmeal, oaten products (lb.)10.55.65.6
Rice (lb.)5.32.53.3
Tea (lb.)6.87.26.6
Cocoa (lb.)1.81.71.7

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. Wine production has been steadily increasing during the last decade, the 1956 figure being more than double the immediate pre-war output, and now accounts for about two-thirds of total local consumption.

 Pre-war19551956
Beer (gallons)10.821.822.0
Grape wine (gallons)0.200.310.31
Spirits (proof gallons)0.260.490.51
Tobacco (lb.)3.95.35.5

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 Organization's Food and Agricultural Statistics Yearbook. 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.SugarPulses and NutsMeatMilk and Milk Products*Fats and OilsCalories
Per DayPercentage of Animal Origin
FatProtein

* Excluding butter.

† Including butter.

† Negligible.

Kilograms Per Person Per Year
AustraliaPre-war1014953212065163,30040
 1954-55914751510876173,19042
CanadaPre-war93604366287193,01039
 1955-5676694558489203,19043
New ZealandPre-war875048310988173,26048
 195687424851081110193,35050
United KingdomPre-war95824256855213,11038
 1955-56881004660666223,21038
Union of South AfricaPre-war15616232383332,30018
 195515117443373352,60021
United States of AmericaPre-war90644477187203,15036
 195570464069299203,10040
ArgentinaPre-war106662721075692,73036
 1954998639410454132,84033
DenmarkPre-war941205017588273,42035
 1955-56921314845988243,31036
FrancePre-war1241432486145142,87031
 1955-561091352757856122,83031
NetherlandsPre-war1071162963878212,84032
 1955-56921063853879282,97032
SwedenPre-war96122444491110183,11039
 1955-567710241451119223,03042
IndiaPre-war143813223422*1,9708
 1954-5512712132612t241,8506
JapanPre-war16263148422,1805
 1954-5515157116332,2204

Chapter 28. SECTION 28—DISTRIBUTION

Table of Contents

INTRODUCTORY.—Statistics of distribution in New Zealand commenced with the Census of Distribution in 1953. This census was followed by a continuing sample survey covering retail trading, commencing in March 1954.

The field covered by distribution statistics was extended in October 1955 by the inauguration of a restricted survey covering quarterly statistics of consumer credit.

A further Census of Distribution was taken in 1958, which, in the main, closely followed the lines of the first census of this nature, but the results are not yet available.

Details of the results of New Zealand's first Census of Distribution (1953) covering retail and wholesale trading and services were given in the 1955 and 1956 issues of the Year-Book. Full details of the result of this census were published in a separate volume entitled "Census of Distribution 1953".

QUARTERLY SURVEY OF RETAIL TRADING.—The results of the 1953 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 activities 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.

The statistics of retail trading in New Zealand since the census of 1953 are possibly understated to some extent through the operations of additional businesses, particularly in newly settled areas, not at present being specifically covered in the sampling procedure.

The passing of the Pharmacy Amendment Act in 1954, replacing a detailed system of licensing pharmacies which pertained under the Industrial Efficiency Act, resulted in a considerable upsurge in the number of new shops in this particular type of business. A special inquiry into the numbers and turnover of such shops was concluded in June 1957, and, in the following tables, allowance is made for the business of these new shops, earlier figurer being amended where necessary.

Turnover by Store-types.—The estimated turnover figures show that the total value of turnover for all stores decreased slightly, by just under 1 per cent, during the quarterly period ended 30 September 1957 as compared with the previous quarter. As compared with the corresponding quarter the previous year (the three months ended 30 September 1956) turnover increased by 5 per cent.

The following table shows total sales or turnover for the years ended 31 March 1953, 1955, 1956, and 1957, and the quarters ended 30 September 1956 and 1957. Later figures, for December 1957 and March 1958 quarters, will be found in the Latest Statistical Information Section at the front of this Year-Book.

TURNOVER
£(000)
Store TypeNorth IslandSouth IslandTotal, New Zealand
Auckland Urban AreaWellington and Hutt Urban AreasRemainder of North IslandTotal, North IslandChrist-church Urban AreaDunedin Urban AreaRemainder of South Island.Total, 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 furnishing4,3232,2794,92911,5311,5379602,0844,58116,112
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 furnishing4,6842,3895,40812,4811,6571,0122,1284,79717,278
Household appliances, radios, etc.1,9771,3783,2796,6348626501,2622,7749,408
Hardware2,9673,8746,26513,1068624931,9923,34716,453
Chemist1,8641,0932,9155,8727995061,2352,5408,412
General, department, and variety13,5275,34333,99752,8678,1263,22813,93525,28978,156
Other11,7958,98323,22344,00111,4103,1859,27623,87167,872
                Totals69,78945,480135,542250,81139,95118,64755,660114,258365,069
Year Ended 31 March 1956
Butcher, etc.4,1302,8488,99215,9702,3701,4404,1697,97923,949
Grocer8,1256,88817,70132,7145,1872,5878,60916,38349,097
Other food and drink9,7144,93313,67028,3173,7362,3275,47811,54139,858
Footwear1,6451,1882,8455,6788574881,2662,6118,289
Other apparel10,6356,97519,10236,7124,5922,8217,73215,14551,857
Furniture and soft furnishings4,5112,4545,50012,4651,7039762,0104,68917,154
Household appliances, radios, etc.1,8401,5313,3246,6959316911,4193,0419,736
Hardware2,9944,0286,43113,4538785342,0593,47116,924
Chemist2,1671,2533,4446,8649405811,4252,9469,810
General department and variety12,8225,58634,68053,0888,8213,36514,51326,69979,787
Other11,7809,73823,89145,40911,6123,0479,39424,05369,462
                Totals70,36347,422139,580257,36541,62718,85758,074118,558375,923
Year Ended 31 March 1957
Butcher, etc.4,1902,9738,93616,0992,3311,4194,1967,94624,045
Grocer8,4557,13918,67834,2725,4042,7668,79216,96251,234
Other food and drink10,4405,08114,13229,6533,9812,4725,55212,00541,658
Footwear1,6511,2462,9365,8338345161,3232,6738,506
Other apparel10,1316,74818,79235,6714,3742,7757,75414,90350,574
Furniture and soft furnishings4,7932,4385,41412,6451,7271,0292,2384,99417,639
Household appliances, radios, etc.1,5191,5143,4886,5219977181,5123,2279,748
Hardware2,8283,6286,34712,8031,0496241,9153,58816,391
Chemist2,1881,3483,7247,260945881,5603,09410,354
General department, and variety Other12,9175,40935,07253,3988,7003,36914,59126,66080,058
 12,8859,36425,38947,63812,1432,9789,72924,85072,488
                Totals71,99746,888142,908261,79342,48619,25459,162120,902382,695
Quarter Ended 30 September 1956
Butcher, etc.1,0617512,2414,0535993661,0261,9916,044
Grocer2,1261,8364,5238,4851,3866882,1034,17712,662
Other food and drink2,6171,2783,4357,3309796161,3472,94210,272
Footwear3792896451,3131861152855861,899
Other apparel2,4161,6244,2688,3081,0226431,7513,41611,724
Furniture and soft furnishings1,2676071,3733,2474682615391,2684,515
Household appliances, radios, etc.3633187841,4652541723087342,199
Hardware7039011,5583,1622511555019074,069
Chemist5153208781,7132421443777632,476
General, department and variety3,1121,2418,28212,6352,0648033,2966,16318,798
Other3,2242,3695,92111,5142,7416962,2625,69917,213
                Totals17,78311,53433,90863,22510,1924,65913,79528,64691,871
Quarter Ended 30 September 1957
Butcher, etc.1,1598482,3624,3696343971,1392,1706,539
Grocer2,1931,9714,7608,9241,3747052,2464,32513,249
Other food and drink2,5081,2513,3777,1361,0756171,4013,09310,229
Footwear4043206821,4061871223166252,031
Other apparel2,4911,5954,6188,7041,0226621,7873,47112,175
Furniture and soft furnishings1,4096601,4773,5464212886411,3504,896
Household appliances, radios, etc.4043587981,5602282054028352,395
Hardware7369361,6573,3293211535371,0114,340
Chemist5313519211,8032381544188102,613
General, department, and variety3,3441,3348,70813,3861,9578313,5386,32619,712
Other3,1112,4386,58712,1363,0676742,4356,17618,312
                Totals18,29012,06235,94766,29910,5244,80814,86030,19296,491

Commodity Sales or Turnover of Retail Stores.—The following table covering retail trading throughout the whole of New Zealand shows sales by commodity groups for the years ended 31 March 1953, 1955, 1956, and 1957, and for the quarters ended 30 September 1956 and 1957.

£(000)
Commodity GroupYear Ended 31 March—Quarter Ended—
195319551956195730 September 195630 September 1957
* Information obtained in the latest quarterly survey indicates that "Clothing, drapery, dress piece-goods" were divided in the September 1957 quarter in the following proportions:
Groceries and small goods (including butter, bacon, etc.)59,70466,51267,28270,45917,46718,174
Butchers' meat, fish, fruit, and vegetables31,00834,42235,20336,2549,1109,599
Other foods (bread, cakes, pastry, etc.)12,06112,83413,80213,9853,5393,588
Milk, ice-cream, confectionery, soft drinks, etc.10,15111,11911,62011,9202,6962,798
Tobacco, cigarettes, and tobacconists' sundries8,9909,0798,9728,9052,1952,211
Chemists' goods, toiletries, cosmetics (including dispensing)8,76510,02311,65412,1852,9303,089
Clothing, drapery, dress piece-goods*57,34863,53865,42163,77214,79815,306
Footwear8,86210,26310,50010,7952,4132,570
Furniture, bedding, floor coverings, soft furnishings, and household textiles21,76522,53022,20522,6385,8246,296
Musical instruments, including radios4,6815,0765,2525,7661,4211,564
Household appliances and electrical goods9,50112,65112,72412,4392,7982,848
Hardware—
    Domestic hardware, china, and glassware10,55712,01712,42012,3392,8903,106
    Builders' hardware and materials (excluding timber, bricks, and roofing tiles)13,10515,15915,70614,7273,4324,071
Books, stationery, etc.9,1719,7969,63410,1492,2472,384
Other commodities63,05770,05073,52876,36218,11118,887
            Total sales or turnover328,726365,069375,923382,69591,87196,491
Men's and boys' wear32 per cent
Women's, girls' and infants' wear57 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 six years 1952-57, and these are presented in value form in the table which follows. Figures for 30 September 1956 and 1957 are also given.

£(000)
Store TypeActual Value of Stocks
At 31 MarchAt 30 September
19521953195419551956195719561957
Butcher, etc.378441363408338310331319
Grocer4,5204,5854,7124,7584,8174,8184,9455,058
Other food and drink1,6171,8811,8301,8621,8851,8241,8511,880
Footwear2,3212,4682,6253,0313,0883,1273,1993,407
Other apparel14,64015,11915,04217,62617,80618,23418,49718,685
Furniture and soft furnishings4,3284,3914,3454,5654,8234,6694,9164,854
Household appliances, radios, etc.1,2781,4141,3461,5801,7391,8621,7951,914
Hardware2,7783,7433,4773,6174,0423,8133,8223,748
Chemist1,4031,5411,6901,8211,9982,0552,0562,104
General, department, and variety12,85114,25613,38114,75615,19515,38416,18416,455
Other11,97414,52713,41812,65114,32215,04715,25415,513
            Totals, all retail stores58,08864,36662,22966,67570,05371,14372,85173,937

The figures for March 1957 show a rise of 1.6 per cent as compared with one year previous and a rise of 22.5 per cent as compared with March 1952. The increased unit value of retail goods over this period must be considered in comparing figures of values.

SURVEY OF CONSUMER CREDIT.—A restricted survey covering consumer credit transactions was commenced in October 1955 and the first results were published as a supplement to the April 1956 issue of the Monthly Abstract of Statistics.

The totals recorded in the survey are of course incomplete on account of the limited coverage, and care has been exercised to avoid duplication on account of the transfer or assignment of business to finance corporations. It is known that a considerable amount of consumer credit trading is carried on by small retail trading units, particularly in the household appliances field, but such business is not included in this survey.

Despite the limitations in coverage and the resultant considerable understatement, it is considered that the statistics record accurately trends, etc., associated with trading over the period reviewed.

Turnover.—The following analysis of turnover is based on the statistics for 49 firms.

£(000)
Quarter EndedCashCash OrderCharge AccountsInstalment or LaybyHire PurchaseTotals
1953—
    31 March3,532202,8061932,0518,602
    30 June4,088203,1181912,4029,819
    30 September3,932143,3812192,58310,129
    31 December5,184233,8162283,10612,357
1954—
    31 March3,982123,2552482,55710,054
    30 June4,798173,6792682,93411,696
    30 September4,985123,6942803,14312,114
    31 December5,586194,3832713,99014,249
1955—
    31 March4,411113,9022472,82211,393
    30 June5,137154,0542553,10212,563
    30 September5,213104,2442732,80412,544
    31 December5,416184,5952683,42013,717
1956—
    31 March4,585104,1692662,67411,704
    30 June4,943134,0462852,86612,153
    30 September4,89594,0113182,95212,185
    31 December5,353155,0333133,68214,396
1957—
    31 March5,01074,1053032,82412,249
    30 June5,302114,3703342,94912,966

Statistics of turnover for 1937-38 based on those cases where the information was available indicate that turnover has increased by 344 per cent since that year. (To provide a basis for comparison, gross national expenditure increased by 383 per cent over the came period.) An analysis of turnover in 1937-38 gives the following proportionate distribution under the main headings cash 38 per cent, charge accounts 29 per cent, and hire purchase 32 per cent. Similar proportions for the calendar year 1956 were 39 per cent, 34 per cent, and 24 per cent respectively.

The high proportion of hire-purchase trading in relation to total turnover in the financial year 1937-38 was due to the predominance of motor vehicle sales financed in this way.

Hire-purchase Trading.—Not all firms were able to segregate their hire-purchase trading from their overall debtors' accounts, but a comparison based on the available figures is presented below.

Sales of plant and machinery under hire-purchase arrangements are very small in the aggregate and are confined to relatively few firms. Separate figures are not at present being published covering this type of business.

Regulations covering hire-purchase trading specifying, inter alia, minimum deposits, maximum loan values, and maximum periods of credit, were gazetted on 22 July 1955. These were replaced on 14 October 1955 by new regulations containing certain modifications. An amendment to these regulations, dated 11 April 1956, provided for a much smaller deposit and correspondingly increased loan value in respect to certain specific items of household goods. New regulations which came into force on 1 August 1957 exempted all goods (other than motor vehicles) from hire-purchase regulation, but from June 1958 a minimum deposit of 10 per cent was required, and the maximum credit period is eighteen months.

The number of motor vehicles sold under the hire-purchase arrangements is now relatively much smaller than in 1937-38, as is instanced by the following comparison. The 1937-38 figures represent the business of 7 firms, whereas the remaining figures cover the operations of 12 firms.

PeriodNumber of AgreementsAverage Amount Covered by Hire-purchase Agreement
  £
Financial year 1937-3818,771238
1953—March quarter992564
                June quarter1,085492
                September quarter1,125478
                December quarter1,078508
                    Total for year4,280509
1954—March quarter870590
                June quarter1,112558
                September quarter1,394504
                December quarter1,780574
                    Total for year5,156554
1955—March quarter1,462515
                June quarter1,918451
                September quarter1,786446
                December quarter1,886510
                    Total for year7,052479
                1956—March quarter1,461583
                June quarter1,657465
                September quarter1,694453
                December quarter1,861450
                    Total for year6,673484
                1957—March quarter1,769479
                June quarter1,848435

The final column in the following table, showing the precentage of the cash payments to the total value of goods sold, is of special interest. For motor vehicles a peak was reached in September 1955, but for household and personal goods the figure for December 1955 was well above any previous percentage.

PeriodTotal Value of GoodsDetails of PurchasePercentage in Cash to Total Value of Goods Sold
Cash PaymentsAmount Financed Under Hire-purchase Agreements
NOTE.—The values quoted in the above table are exclusive of insurance and hiring charges.
 £(000)£(000)£(000) 
Motor Vehicles
Financial Year 1937-382,4659271,538376
Quarter ended—
    1953—31 March57121735438.0
        30 June56325131244.6
        30 September62527734844.3
        31 December57224532742.8
    1954—31 March53122330842.0
        30 June65328137243.0
        30 September73433639845.8
        31 December1,03344558843.1
    1955—31 March80736444345.1
        30 June93945148848.0
        30 September76740736053.1
        31 December1,05054850252.2
    1956—31 March76539037551.0
        30 June84443740751.8
        30 September79441737752.5
        31 December1,04253350951.2
    1957—31 March90544945649.6
        30 June94947747250.3
Household and Personal Goods
Financial year 1937-388119271911.3
Quarter ended—
    1953—31 March6038052313.3
        30 June7269263412.5
        30 September79410868613.6
        31 December92513479114.5
    1954—31 March72210561714.5
        30 June88812776114.3
        30 September95213082213.7
        31 December1,12915097913.3
    1955—31 March81811570314.1
        30 June98613685013.8
        30 September86713673115.7
        31 December1,10221888419.8
    1956—31 March73814359519.4
        30 June91816775118.2
        30 September99719380419.4
        31 December1,2021951,00716.2
    1957—31 March88613675015.3
        30 June1,01915886115.5

The amounts owing under hire-purchase agreements with firms covered by this survey, amounted to £9,385,000 at 30 June 1957. A comparison covering the operations of 49 firms shows the following amounts owing at the respective dates: the final column shows the percentage of payments overdue.

At End of—Amount Owing Under Hire-purchase AgreementsPercentage of Payments Overdue
* Estimated.
 £(000) 
Financial year 1937-384,560*5.08
1953—31 March6,7183.91
    30 June6,8513.76
    30 September7,0443.86
    31 December7,7964.14
1954—31 March7,7034.29
    30 June7,9294.00
    30 September8,5303.88
    31 December9,9643.80
1955—31 March9,4814.01
    30 June9,5733.71
    30 September9,2183.78
    31 December9,6633.70
1956—31 March9,1753.49
    30 June8,9413.50
    30 September8,8843.70
    31 December9,6003.76
1957—31 March9,4183.78
    30 June9,3853.60

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. The development of this statistical work is the subject of a separate subsection (see Section 29B following) which deals with a fully integrated system of sector accounts for the financial year 1952-53.

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. The item pay and allowances of Armed Forces, while analogous to salary and wage payments, does not necessarily fit in with this concept, when the 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-allowances, 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, 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 the years 1938-39 to 1956-57.

PRINCIPAL INCOME AGGREGATES
£(million)
Year Ended 31 MarchPrivate Income (26)PlusPPLess Transfer IncomesNet National Income at Factor Cost (9)Plus Indirect Taxation (10)Less Subsidies (11)Net National Income at Market Prices (12)Plus Depreciation Allowances (13)Gross National Product (14)
Government Trading Income (6)Lump Sum Payments from United Kingdom Government (7)Social Security Benefits and Pensions (22)Interest on Public Debt Paid in New Zealand (8)
* Provisional.
1938-39200.08.7 −7.5−7.0194.220.6−0.6214.217.0231.2
1939-40215.510.43.0−11.2−7.5210.221.0−0.5230.718.0248.7
1940-41234.911.93.0−12.3−7.8229.722.3−1.6250.418.0268.4
1941-42256.413.43.0−12.7−8.4251.723.2−2.7272.218.0290.2
1942-43294.816.63.0−14.0−9.4291.027.9−3.3315.619.0334.6
1943-44331.617.93.0−15.5−11.3325.731.8−3.1354.420.0374.4
1944-45339.414.55.0−17.2−12.9328.834.0−4.6358.221.0379.2
1945-46360.315.35.0−20.6−13.8346.237.3−6.6376.922.0398.9
1946-47397.114.75.0−34.4−15.1367.343.0−11.8398.526.0424.5
1947-48446.414.05.0−37.2−15.3412.953.0−13.6452.329.0481.3
1948-49464.312.3 −39.0−15.5422.146.1−11.5456.732.0488.7
1949-50526.114.0 −42.2−16.2481.749.8−14.6516.935.0551.9
1950-51659.117.0 −47.1−17.0612.055.6−9.4658.239.0697.2
1951-52675.319.4 −53.0−17.4624.371.0−16.1679.243.0722.2
1952-53709.217.7 −53.7−17.1656.167.0−15.0708.148.0756.1
1953-54786.124.0 −57.7−18.3734.167.5−15.5786.155.0841.1
1954-55853.826.6 −61.3−20.2798.980.7−13.4866.262.0928.2
1955-56897.828.7 −64.4−21.1841.085.3−12.3914.067.0981.0
1956-57*943.329.7 −66.3−23.2883.584.2−13.3954.470.01,024.4

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 708-712.

The estimates are based primarily on details of receipts from the social security charge under the Social Security Act of 1938. This charge was 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 was deductible at source in the case of salary and wage payments, but was 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 Year 1956-57, published by the Government Printer, Wellington.

As mentioned previously, the main series (1938-39 to 1956-57) national income estimates are based on receipts of social security taxation which are then adjusted for national income purposes. This series is therefore entirely consistent both in regards to the primary material from which it derives and as to methods and concepts employed. The following are estimates of gross national product back to 1932-33 based on former computations of aggregate private income as published in previous Year-Books, with suitable adjustments to bring them into line with present-day concepts.

 1932-331933-341934-351935-361936-371937-38
Gross national product £(million)113.7127.0135.6155.4192.3211.9

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 remains the same.

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 708, 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).

After ascertaining personal consumption in the manner outlined above, it becomes possible to make an estimate of private savings. By deducting personal expenditure and direct taxation from aggregate private income, another residual is obtained—viz., private savings (refer table on page 710). Being a residual item it will, of course, contain certain minor errors of estimation inherent in the aggregates from which it is derived. It will be free, however, from the major apparent error which is caused by the understatement of incomes through tax evasion; this is due to the fact that the under-estimate is cancelled out by being included both in the minuend and subtrahend, and the residual is consequently not affected.

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
1938-391943-441952-531953-541954-551955-561956-57*

* Provisional.

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 708-712.

National income (9)£m.194326656734799841884
Gross national product (14)£m.2313747568419289811,024
Personal expenditure on consumer goods and services (15)£m.161177470537612648677
As percentage of gross national product 70476264666666
Gross capital formation in New Zealand (17)£m.4440184162241240233
As percentage of gross national product 19112419262423
Cost of Government provided goods and services (16)£m.32161107114114125136
As percentage of gross national product 14431414121313
Private income (26)£m.200332709786854898943
Private savings (29)£15799395747682
As percentage of private income 8241312989

Between the year ended 31 March 1956 and the year ended 31 March 1957, national income (at factor cost) increased from £841 million to £884 million, an increase of 5.1 percent. Gross national product increased by £43 million to £1,024 million, or an increase of 4.4 per cent.

During the last five years the gross national product valued at prices current in each period increased in the following manner as compared with the preceding year:

In 1952-53 by 4.7 per cent.

In 1953-54 by 11.2 per cent.

In 1956-57 by 4.4 per cent.

In 1954-55 by 10.4 per cent.

In 1955-56 by 5.7 per cent.

Expenditure on personal consumption has increased from £648 million to £677 million, or by 4.5 percent, but the share of the gross national product absorbed by this consumption remained steady at 66 per cent. The cost of Government-provided goods and services, rising from £125 million to £136 million in 1956-57, has increased from 12.7 per cent to 13.3 per cent of gross national product.

Gross capital formation has declined for the second year in succession from the 1954-55 peak of 26.0 per cent of gross national product. It now stands at 22.8 per cent, the Government (including local authorities) having increased its share and private industry having lost some ground relative to each other. Part of the decline in private gross capital formation is due, however, to a decline in the build-up of trading stocks.

For the second year in succession, the balance of payments on current account has shown an improvement. From a deficit of £39 million two years ago, to a deficit of £32 million in 1955-56, the balance of payments has improved still further to an estimated figure of a deficit of £22 million in the latest year. This result of the easing of inflationary pressures can be described numerically by the following diverging trends: the increase in gross national product by 4.4 per cent of which, however, only an extra 3.3 per cent was generated by domestic demand. Put in a different way, in 1955-56 domestic demand exceeded gross product by 3.3 per cent, but only by 2.2 per cent in 1956-57.

To appreciate the change in the economic pattern as revealed by the present expenditure estimates the following tabulation may be of assistance.

In Percentages of Gross National Product
1954-551955-561956-57
Current personal and collective expenditure on goods and services78.278.879.4
Private and Government capital formation26.024.522.8
 104.2103.3102.2
Excess of internal demand over gross national product (balance of payments deficit on current account)4.23.32.2

While the importance of current consumption has not changed greatly over the past three years and very little over the past two years (although certain shifts as between the public and private sector have occurred both in the field of current consumption as well as of capital formation), the main interactions appear to have occurred between capital formation within New Zealand and external borrowing. This is particularly evident if the last two years are compared. In other words a certain rigidity in the consumption ratio combined with monetary and other controls (exercised within a limited field) left all adjustments to be made to the other two demand factors—capital formation and external borrowing. In the event the reduction of the first necessarily meant similar reduction (or from New Zealand's point of view, improvement) of the second.

Altogether, the economy had £43 million more at its disposal in 1956-57 than it had the year before. This originated from an increase in the current value of gross national product.

Because £7 million less was spent on capital formation than in the preceding year, this amount plus the increase in gross national product (£43 million) became available for other uses. The total of £50 million was spent as follows: £29 million (58 per cent) was added to personal consumption, Government and local authorities added £11 million (22 per cent) to their expenditure, and, finally, £10 million (20 per cent) was used to improve New Zealand's balance of payments or, expressed differently, net capital inflow (borrowing) was reduced by that amount.

In the private sector of the economy the composition of private outlay remained, to all intents and purposes, unchanged. Direct taxation absorbed practically the same proportion of private income as in 1955-56 and the changes in personal consumption and private savings as percentages of private income in the two years were only of marginal significance. It is noteworthy, however, that personal consumption is still proportionately higher and private savings proportionately lower than their post-war averages. A sufficiently long series (six years) of undistributed profits of companies has now become available to enable comparisons to be made. With undistributed profits at 26.6 per cent of company income in 1956-57, this percentage is higher than the 24.5 per cent recorded in 1955-56. On the other hand, both figures are lower than the average of the last six years (28.1 per cent).

The increase in national income by £42.5 million, or 5.1 per cent, includes an increase of salary and wage payments by £26.9 million, or 5.7 per cent above their 1955-56 total. Salaries and wages now constitute 56.0 per cent of national income, as against 55.7 per cent in the preceding year. Of all the factor rewards making up national income, salaries and wages have secured the largest increase, all other factor payments remaining to all intents and purposes static or decreasing as a proportion to the total. The advance in company incomes by £3.2 million (or 3.4 per cent) was not sufficient to maintain its share of national income (which fell from 11.2 per cent to 11.0 per cent) and other personal incomes were in a similar position. Increasing by £11.0 million (or 4.7 per cent) their share fell slightly from 28.1 to 28.0 per cent of the total. It is noteworthy, however, that net cash farm incomes also increased by £11 million but of this increase an amount of £3 million is due to withdrawals from primary industry reserve accounts. This is a distribution of past savings and is therefore not counted as part of national income totals.

The four tables on pages 708-712 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 shown 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.

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 712, and is an estimate of the change in our overseas investment consequent on the movement in the balance of payments on current account.

These four tables, then, give a comprehensive picture in broad terms of the changing pattern of New Zealand's economy over a period of eighteen 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 are at prices current during the period 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 recognise this fact and wherever possible make some allowance for it.

The following are the four tables mentioned.

NATIONAL INCOME AND EXPENDITURE
£(million)
March YearSalary and Wage Payments (1)Pay and Allowances of Armed Forces (2)Rental Value, Owner-occupied Houses (3)Other Personal Income (4)Company Income (5)Government and Local Authority Trading Income (6)Lump Sum Payments from United Kingdom Government (7)Less Public Debt Interest Paid in New Zealand (8)Net National Income at Factor Cost (9)Plus Indirect Taxation (10)Less Subsidies (11)Net National Income at Market Prices (12)Plus Depreciation Allowances (13)Gross National Product (14)
* Provisional.
INCOME
1938-391111655209 −719421−121417231
1943-441405897236183−1132632−335420374
1946-4718681011048155−1536743−1239926425
1947-4821061112953145−1541253−1445229481
1948-492275121344813 −1642246−1245732489
1949-502505131595814 −1648250−1551735552
1950-512786142437116 −1761156−965739696
1951-523288151928019 −1762471−1667943722
1952-5334811162047818 −1765667−1570848756
1953-5438412192249024 −1873468−1678655841
1954-5543112202329827 −2079981−1386662928
1955-5646812232369429 −2184185−1291467981
1956-57*49513252479330 −2388484−13954701,024
March YearPersonal Expenditure on Consumer Goods and Services (15)Cost of Government-provided Goods and Services (16)Gross Capital Formation in New Zealand (17)Net Overseas Investment (18)Gross National Expenditure (19)
Private (a)Government (b)
* Provisional.
EXPENDITURE
1938-39161322222−6231
1943-441771612614−4374
1946-4725754582729425
1947-482916310033−6481
1948-493526429395489
1949-503597171474552
1950-51415781235030696
1951-524759512853−29722
1952-5347010711173−5756
1953-54537114837928841
1954-5561211415982−39928
1955-5664812514793−32981
1956-57*677136132101−221,024

The graph which follows demonstrates the use to which resources available in New Zealand were put during selected years. The numerical values for this is 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)
March YearSalary and Wage Payments (20)Pay and Allowances of Armed Forces (21)Social Security Benefits and Pensions (22)Rental Value of Owner-occupied Houses (23)(24) Other Personal IncomeCompany Income Before Distribution (25)Private Income (Before Tax) (26)
Professional Occupations (a)Commerce, Trade, or Business (b)Farming (c)Change in Balances of Primary-produce Stabilization Accounts (d)Change in Balances in Wool Retention Moneys (e)Interest, Rent, etc. (f)Other (g)
* Provisional.
INCOME
1938-391111865926−2 15220200
1943-44140581697236332
1946-47186834109214712 16548397
1947-482106371111246112 16553446
1948-492275391212256411 16648464
1949-502505421314278411 16758526
1950-51278647141633118173318871659
1951-523288531518381056−3181080675
1952-5334811541619411164−6191178709
1953-5438412581921461301−6201290786
1954-5543112612022511321−6201298854
1955-5646812642323541275−6201394898
1956-57*4951266252458138−3−6211598943
March YearPersonal Expenditure on Consumer Goods and Services (27)Direct Taxation (28)Private Savings (29)Private Outlay (30)
Undistributed Profits of Companies (a)Other Private Savings (b)
* Provisional.
OUTLAY
1938-391612415200
1943-441117679332
1946-472577862397
1947-482917778446
1948-493529499464
1949-50359961853526
1950-5141511326105659
1951-524751422533675
1952-534701461974709
1953-545371542966786
1954-556121682945854
1955-566481742353898
1956-57*6771842656943

The following diagram presents the distribution of private outlay (shown in the second part of the preceding table) in graphical form.

GENERAL GOVERNMENT AND LOCAL AUTHORITIES—REVENUE ACCOUNT
£(million)
March YearTaxation (31)Trading Income (32)Less Direct Taxes Paid by Government Trading Undertakings (33)Lump Sum Payments From United Kingdom Government (34)Total Revenue (35)
Direct (a)Indirect (b)
* Provisional.
REVENUE
1938-3924219  53
1943-44773218−13128
1946-47794315−15141
1947-48795314−15149
1948-49954613−1 152
1949-50975014−2 160
1950-511155616−2 185
1951-521447119−2 233
1952-531486718−2 231
1953-541566824−2 245
1954-551718127−3 276
1955-561778529−3 288
1956-57*1878430−3 298
March YearCost of Provision of Goods and Services (36)Transfer IncomeSubsidies (39)Balance of Revenue Over Expenditure (40)Total Expenditure Plus or Minus Revenue Balances (41)
Social Security Benefits and Pensions (37)Interest on Public Debt Paid in New Zealand (38)
* Provisional.
EXPENDITURE
1938-5932871653
1943-4416116113-63128
1946-475434151226141
1947-486337151420149
1948-496439161222152
1949-507142161516160
1950-51784717934185
1951-529553171651233
1952-5310754171538231
1953-5411458181640245
1954-5511461201367276
1955-5612564211265288
1956-57*13666231360298
COMBINED CAPITAL ACCOUNT
£(million)
March YearPrivate Savings (42)Revenue Balances: General Government and Local Authorities (43)Depreciation Allowances (44)Total Savings (45)
* Provisional.
SAVINGS
1938-391561738
1943-4479−632036
1946-47622626114
1947-48782029127
1948-4918223273
1949-50711635122
1950-511313439204
1951-52585143152
1952-53933848179
1953-54954055189
1954-55746762202
1955-56766567208
1956-57*826070211
March YearGross Capital Formation in New Zealand (46)Net Change in Overseas Assets (47)Total Investment (48)
Private (a)General Government (b)Local Authorities (c)
* Provisional.
INVESTMENTS
1938-3922166−638
1943-4426104−436
1946-475821629114
1947-48100267−6127
1948-4929318573
1949-50713894122
1950-51123411030204
1951-521284112−29152
1952-531115518−5179
1953-5483572128189
1954-551595923−39202
1955-561476726−32208
1956-57*1327229−22211

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 life. 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 the years 1938-39, 1943-44, 1946-47, and 1951-52 to 1956-57, which are given further on in this section.

(a) 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 current 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 at the end of this section.

Measured in money expenditures, the cost of Government-provided goods and services increased from £23.2 million in 1938-39 to £100-7 million in 1955-56 and £109.4 million in 1956-57. In 1943-44, with war expenditures at their peak, the figure stood as high as £154.4 million. 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, we find that 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 10.0 per cent of gross national product. It increased to a record level of 41.2 per cent during the war year mentioned earlier, and was 11.6 per cent in 1952-53 (a record for post war years). The figure for 1956-57 is 10.7 per cent.

As far as transfer incomes are concerned (social security benefits and pensions, interest payments) the situation is entirely different. These have increased from £12.2 million in 1938-39 to £85.6 million in 1956-57, and expressed in percentages of gross national product, from 5.3 per cent to 8.4 per cent. It is interesting to note, however, that transfer payments reached their relative peak in 1946-47 when they were equivalent to 11.1 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 a similar trend during the last eighteen years. Rising from £0.6 million in 1938-39 to £13.3 million in 1956-57 (from 0.3 to 1.3 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 in terms of gross national product.

These transfer payments and subsidies have undoubtedly been one of the more important causes in the substantial increase in taxation over the nineteen 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)
1938-391943-441952-531953-541954-551955-561956-57*

* Provisional.

† Includes £1m. contribution under Colombo Plan in each year.

REVENUE
1. Taxation
    (a) Direct—
        Income tax9.331.378.780.888.390.798.1
        Social security taxation5.513.445.549.756.259.961.6
        National security tax 19.2     
        Land tax1.11.01.31.61.01.21.4
        Death duties1.84.58.88.79.48.58.3
        Other0.10.2     
                Totals17.869.6134.3140.8154.8160.3169.4
    (b) Indirect—
        Sales tax3.612.722.021.122.623.422.3
        Customs and excise duties11.713.932.732.234.236.635.7
        Motor vehicles taxation3.11.74.96.216.117.518.4
        Other1.62.95.96.57.07.07.0
                Totals20.031.265.566.079.984.583.4
2. Totals, all taxation37.8100.8199.8206.8234.8244.8252.9
3. Trading income5.413.314.620.022.523.524.2
4. Less direct taxation paid by trading Departments−0.2−1.0−2.4−2.0−2.6−3.0−3.0
                Totals5.212.312.218.019.920.521.2
5. Lump sum payments from United Kingdom Government 3.0     
6. TOTAL REVENUE43.0116.1212.0224.8254.7265.3274.1
EXPENDITURE
7. Cost of Provision of Goods and Services
    (a) General administration2.21.813.613.715.015.215.6
    (b) Interest on General Government debt paid overseas6.86.62.52.52.83.33.4
    (c) Law and order0.80.81.41.61.92.02.5
    (d) Development of primary and secondary industries0.71.36.46.66.57.19.1
Social services—
    (e) Health0.81.44.44.74.95.45.9
    (f) Education4.24.815.717.319.221.223.1
    (g) Non-monetary social security benefits4.510.410.612.615.516.8 
    (h) Other social services3.30.41.01.31.31.41.6
    (i) Defence and war2.1131.225.728.123.625.026.1
    (j) Rehabilitation 0.41.20.81.01.01.0
    (k) Maintenance of public works and services2.31.25.14.33.13.64.4
                Totals23.2154.487.491.591.9100.7109.4
8. Monetary social security benefits and pensions7.515.553.757.761.364.466.3
9. Interest on General Government debt paid in New Zealand4.79.014.815.617.217.719.4
                Totals12.224.568.573.378.582.185.6
10. Transfers to Local Authorities       
    (a) Hospital Boards0.91.19.610.310.710.712.9
    (b) Other4.41.62.52.95.66.27.9
                Totals5.32.712.113.216.316.919.9
11. Subsidies
    (a) Shipping, transport, and incidental 0.20.50.2   
    (b) Coal production and distribution 0.50.1    
    (c) Primary production0.40.80.20.10.1  
    (d) Essential clothing and food-stuffs0.21.612.613.711.910.912.4
    (e) Miscellaneous  0.90.20.50.50.1
    (f) Housing suspensory loans  0.71.30.91.00.9
                Totals0.63.115.015.513.412.413.3
12. TOTAL EXPENDITURE41.3184.7183.0193.5200.1212.1228.2
13. Balance of revenue over expenditure1.7−68.629.031.354.653.245.9
14. TOTAL EXPENDITURE PLUS OR MINUS REVENUE BALANCES43.0116.1212.0224.8254.7265.3274.1

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)
1938-391943-441952-531953-541954-551955-561956-57*
* Provisional.
REVENUE
15. Taxation—
    (a) Direct: Rates6.26.913.814.816.216.717.8
    (b) Indirect: Licence fees0.60.61.51.50.80.70.7
                Totals6.87.515.316.317.017.418.5
16. Trading income3.34.63.24.04.15.25.5
17. Grants from General Government5.32.712.113.216.316.919.9
18. TOTAL REVENUE15.414.830.633.537.439.543.9
EXPENDITURE
19. Cost of provision of goods and services8.46.619.822.521.724.526.6
20 Interest on local authority debt paid in New Zealand2.32.32.32.73.03.23.4
21. TOTAL EXPENDITURE10.78.922.125.224.727.730.0
22. Balance of revenue over expenditure4.75.98.5.312.711.813.9
23. TOTAL EXPENDITURE PLUS REVENUE BALANCES15.414.830.633.537.439.543.9

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, SOCIAL SECURITY FUND, AND NATIONAL ROADS FUND, 1956-57 (PROVISIONAL)
 £(m.)
24. Balance of revenue over current expenditure, per National Income Accounts (table on page 715)45.9
    Less
25. Amortization of debt charged to Consolidated Fund−12.0
26. Transfers to other accounts−1.9
27. Capital expenditure charged to Consolidated Fund and National Roads Fund25.8
    Plus
28. Current expenditure charged to Defence Fund0.7
    Adjustment for Trading Income
29. Profits of Trading Departments−24.2
30. Plus transfers of profits to Consolidated Fund18.7
                Total1.4
31. Consolidated Fund surplus 1956-573.3
32. Social Security Fund surplus 1956-570.3
33. National Roads Fund deficit 1956-57−2.2
                Total surplus of Consolidated Fund, Social Security Fund, and National Roads Fund as shown in the Public Accounts B. 1 [Pt. I] 1956-571.4

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. In 1956-57 other accounts involved were the Social Security Fund, the Public Works Account, and the National Roads Fund.

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 pages 709-710) for the years 1938-39, 1943-44. and 1946-47 to 1956-57. An analysis of private income, in less comprehensive form, is given below for the years between 1938-39 and 1956-57. Group totals are shown in value form, as percentages of private income, and as index numbers on base 1938-39 (= 100).

PRIVATE INCOME
YearSalary and Wage Payments (1)Pay and Allowances of Armed Forces (2)Social Security Benefits and Pensions (22)Rental Value, Owner Occupied Houses (3)Other Personal Income (Excluding Company Dividends) (4)Company Income (Before Distribution) (5)Private Income (26)

* Provisional.

† Includes changes in Primary Produce Stabilization Accounts and wool retention moneys.

£(million)
1938-39111.10.97.56.454.519.6200.0
1939-40110.62.911.26.759.424.7215.5
1940-41117.715.612.37.458.323.6234.9
1941-42120.625.512.77.762.327.6256.4
1942-43126.746.014.08.167.232.8294.8
1943-44140.458.315.58.672.436.4331.6
1944-45147.048.517.28.979.937.9339.4
1945-56161.839.420.69.487.441.7360.3
1946-47186.38.234.410.1110.247.9397.1
1947-48210.16.437.210.9129.152.7446.4
1948-49227.04.539.011.6133.948.3464.3
1949-50249.94.642.212.7158.957.8526.1
1950-51278.25.947.113.6243.371.0659.1
1951-52327.58.453.014.8191.580.1675.3
1952-53347.510.653.716.4203.577.5709.2
1953-54384.011.957.718.6223.590.4786.1
1954-55430.612.161.320.2231.997.7853.8
1955-56468.112.064.422.6236.494.3897.8
1956-57*495.012.666.324.5247.497.5943.3
As Percentage of Private Income
1938-3955.50.43.83.227.39.8100.0
1939-4051.31.35.23.127.611.5100.0
1940-4150.16.65.23.224.810.1100.0
1941-4247.09.95.03.024.310.8100.0
1942-4343.015.64.82.722.811.1100.0
1943-4442.317.64.72.621.811.0100.0
1944-4543.314.35.12.623.511.2100.0
1945-4644.910.95.72.624.311.6100.0
1946-4746.92.18.72.527.712.1100.0
1947-4847.11.48.32.528.911.8100.0
1948-4948.91.08.42.528.810.4100.0
1949-5047.50.98.02.430.211.0100.0
1950-5142.20.97.12.136.910.8100.0
1951-5248.51.27.82.228.411.9100.0
1952-5349.01.57.62.328.710.9100.0
1953-5448.91.57.32.428.411.5100.0
1954-5550.41.47.22.427.211.4100.0
1955-5652.21.37.22.526.310.5100.0
1956-57*52.51.37.02.626.310.3100.0
As Index Numbers (1938-39 = 100)
1938-39100 100100100100100
1939-40100 149105109126108
1940-41106 164116107120117
1941-42109 169120114141128
1942-43114 187127123167147
1943-44126 207134133186166
1944-45132 229139147193170
1945-46146 275147160213180
1946-47168 459158202244199
1947-48189 496170237269223
1948-49204 520181246246232
1949-50225 563198292295263
1950-51250 628213446362330
1951-52295 707231351409338
1952-53313 716256373395355
1953-54346 769291410461393
1954-55388 817316426498427
1955-56421 859353434481449
1956-57*446 884383454497472

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 708-712.

The distribution of private income, as indicated by this table, is affected to a considerable extent by the movement in the 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 55.5 per cent in 1938-39 to 42.3 per cent in 1943-44, and other personal income which decreased similarly from 27.3 per cent to 21.8 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 it has the effect of temporarily inflating salary and wage payments at the expense of other personal income, since many Armed Forces personnel are 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, as in the present case, and consequently care must be used in interpreting the figures shown. Ignoring pay and allowances of the Armed Forces and considering only the postwar period, the percentage of salary and wages to private income was exceptionally low in 1950-51 (42.2 per cent) but rose again to 48.5 per cent in 1951-52 and 52.5 per cent in 1956-57. This latter figure was still below the only recorded pre-war percentage (55.5 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 3.8 per cent in 1938-39 to a peak of 8.7 per cent in 1946-47. Since then they have shown a steadily decreasing tendency constituting 7.0 per cent of private income in. 1956-57. 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., we are here considering "salary and wage payments" not "income of salary and wage earners".

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)
March YearPrivate Income (26)Direct Taxation (28)Indirect Taxation (10)Less Subsidies (11)Total Taxation Less SubsidiesTotal Taxation Less Subsidies as a Percentage of Private Income

* Provisional.

† Excluding direct taxes paid by Government trading departments.

1938-39200.023.820.6−0.643.821.9
1939-40215.530.521.0−0.551.023.7
1940-41234.945.622.3−1.666.328.2
1941-42256.451.423.2−2.771.928.0
1942-43294.866.427.9−3.391.030.9
1943-44331.675.531.8−3.1104.231.4
1944-45339.481.234.1−4.6110.732.6
1945-46360.385.037.3−6.6115.732.1
1946-47397.178.243.0−11.8109.427.5
1947-48446.477.453.0−13.6116.826.2
1948-49464.393.646.1−11.5128.227.6
1949-50526.195.649.8−14.6130.824.9
1950-51659.1113.155.6−9.4159.224.2
1951-52675.3142.171.0−16.1196.929.2
1952-53709.2145.767.0−15.0197.727.8
1953-54786.1153.667.5−15.5205.726.2
1954-55853.8168.480.7−13.4235.727.6
1955-56897.8174.185.3−12.3247.027.5
1956-57*943.3184.284.2−13.3255.127.0

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 708-712.

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 33£ 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. The two following years were markedly affected by steeply rising incomes due to advances in wool prices in 1949-50 and 1950-51. A declining trend, notwithstanding yearly fluctuations, is discernible from 1951-52 (at 29.2 per cent) onwards. Since that period total taxation as a percentage of private income has fallen to 27.0 per cent in 1956-57. Within broad trends, yearly 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.

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 next 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)
March YearPrivate Income Before Tax (26)Less Transfer Payments (8 + 22)Private Income (Excluding Transfer Payments)Total Taxation (Less Subsidies)Less Transfer PaymentsNon-monetary Social Security BenefitsTotal Taxation (Excluding Transfer Payments and Subsidies)Total Taxation as a Percentage of Private Income (Excluding Transfer Payments)

* Provisional.

† Excluding mental hospital benefits.

1938-39200.0−14.5185.543.8−14.5 29.315.8
1939-40215.5−18.7196.851.0−18.7−0.931.416.0
1940-41234.9−20.1214.866.3−20.1−1.644.620.8
1941-42256.4−21.1235.371.9−21.1−2.348.520.6
1942-43294.8−23.4271.491.0−23.4−3.564.123.6
1943-44331.6−26.8304.8104.2−26.8−4.572.923.9
1944-45339.4−30.1309.3110.7−30.1−5.075.624.4
1945-46360.3−34.4325.9115.7−34.4−5.675.723.2
1946-47397.1−49.5347.6109.4−49.5−6.253.715.4
1947-48446.4−52.5393.9116.8−52.5−7.057.314.5
1948-49464.3−54.5409.8128.2−54.5−7.965.816.1
1949-50526.1−58.4467.7130.8−58.4−8.563.913.7
1950-51659.1−64.1595.0159.2−64.1−8.786.414.5
1951-52675.3−70.4604.9196.9−70.4−9.4117.119.4
1952-53709.2−70.8638.4197.7−70.8−10.4116.518.2
1953-54786.1−76.0710.1205.7−76.0−10.6119.116.8
1954-55853.8−81.5772.3235.7−81.5−12.6141.618.3
1955-56897.8−85.5812.3247.0−85.5−15.5146.018.0
1956-57*943.3−89.5853.8255.1−89.5−16.8148.817.4

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 708-712.

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)
March YearSalary and Wage Payments (1)Pay and Allowances of Armed Forces (2)Social Security Benefits and Pensions (22)Other Personal Income (Including Rental Value of Owner-occupied Houses) (3+4)Company Income (Before Distribution) (5)Total

* Provisional.

† Excludes direct taxes on Government trading profits.

PRIVATE INCOME
1938-39111.10.97.560.919.6200.0
1939-40110.62.911.266.124.7215.5
1940-41117.715.612.365.723.6234.9
1941-42120.625.512.770.027.6256.4
1942-43126.746.014.075.332.8294.8
1943-44140.458.315.581.036.4331.6
1944-45147.048.517.288.837.9339.4
1945-46161.839.420.696.841.7360.3
1946-47186.38.234.4120.347.9397.1
1947-48210.16.437.2140.052.7446.4
1948-49226.94.539.0145.548.3464.3
1949-50249.94.642.2171.657.8526.1
1950-51278.25.947.1256.971.0659.1
1951-52327.58.453.0206.380.1675.3
1952-53347.510.653.7219.977.5709.2
1953-54384.011.957.7242.190.4786.1
1954-55430.612.161.3252.197.7853.8
1955-56468.112.064.4259.094.3897.8
1956-57*495.012.666.3271.997.5943.3
Less DIRECT TAXES
1938-394.9  11.87.123.8
1939-408.0  13.39.730.5
1940-4112.50.8 18.813.545.6
1941-4215.61.1 20.714.051.4
1942-4319.53.2 24.119.666.4
1943-4423.43.5 25.922.775.5
1944-4524.33.8 26.426.781.2
1945-4626.63.3 29.625.585.0
1946-4723.81.2 29.224.078.2
1947-4823.60.4 31.022.577.4
1948-4924.70.5 37.930.593.6
1949-5026.50.5 39.529.195.6
1950-5132.50.5 47.932.1113.1
1951-5236.00.6 65.9395.142.1
1952-5343.90.8 60.240.8145.7
1953-5446.40.8 65.640.9153.6
1954-5549.910 71.546.0168.4
1955-5652.210 70.950.0174.0
1956-57*59.61.0 74.549.2184.2
Dispasable Income
1938-39106.20.97.549.112.5176.2
1939-40102.62.911.252.815.5185.0
1940-41105.214.812.346.910.1189.3
1941-42105.024.412.749.313.6205.0
1942-43107.242.814.051.213.2228.4
1943-44117.054.815.555.113.7256.1
1944-45122.744.717.262.411.2258.2
1945-46135.236.120.667.216.2275.3
1946-47162.57.034.491.123.9318.9
1947-48186.56.037.2109.030.2369.0
1948-49202.24.039.0107.617.8370.7
1949-50223.44.142.2132.128.7430.5
1950-51245.75.447.1209.039.0546.0
1951-52291.57.853.0140.440.6533.2
1952-53303.69.853.7159.736.7563.5
1953-54337.611.157.7176.549.5632.5
1954-55380.711.161.3180.651.7685.4
1955-56415.911.064.4188.144.3723.7
1956-57*435.411.666.3197.448.3759.1

NOTE.—The numbers in parentheses after the items refer to items in the tables given on pages 708-712.

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 717. 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
March YearSalary and Wage PaymentsPay and Allowances of Armed ForcesSocial Security Benefits and PensionsOther Personal Income (Including Rental Value of Owner-occupied Houses)Company Income (Before Distribution)Private Disposable Income
* Provisional.
£ (million)
1938-39106.20.97.549.112.5176.2
1939-40102.62.911.252.815.5185.0
1940-41105.214.812.346.910.1189.3
1941-42105.024.412.749.313.6205.0
1942-43107.242.814.051.213.2228.4
1943-44117.054.815.555.113.7256.1
1944-45122.744.717.262.411.2258.2
1945-46135.236.120.667.216.2275.3
1946-47162.57.034.491.123.9318.9
1947-48186.56.037.2109.030.2369.0
1948-49202.24.039.0107.617.8370.7
1949-50223.44.142.2102.128.7430.5
1950-51245.75.447.1209.039.0546.0
1951-52291.57.853.0140.440.6533.2
1952-53303.69.853.7159.736.7563.5
1953-54337.611.157.7176.549.5632.5
1954-55380.711.161.3180.651.7685.4
1955-56415.911.064.4188.144.3723.7
1956-57*435.411.666.3197.448.3759.1
AS PERCENTAGE OF PRIVATE DISPOSABLE INCOME
1938-3960.30.54.227.97.1100.0
1939-4055.51.66.128.58.4100.0
1940-4155.67.86.524.85.3100.0
1941-4251.211.96.224.06.6100.0
1942-1346.918.86.122.45.8100.0
1943-4445.721.46.121.55.3100.0
1944-4547.517.36.724.24.3100.0
1945-1649.113.17.524.45.9100.0
1946-4750.92.210.828.67.5100.0
1947-4850.61.610.129.58.2100.0
1948-1954.61.110.529.04.8100.0
1949-5051.81.09.830.76.7100.0
1950-5145.01.08.638.37.1100.0
1951-5254.71.59.926.37.6100.0
1952-5353.91.89.528.36.5100.0
1953-5453.41.89.127.97.8100.0
1954-5555.51.69.026.37.5100.0
1955-5657.51.58.926.06.1100.0
1956-57*57.41.58.726.06.4100.0
AS INDEX NUMBERS (1938-39 = 100)
1938-39100 100100100100
1939-4097 149108124105
1940-4199 1649681107
1941-4299 169100109116
1942-43101 187104106130
1943-44110 207112110145
1944-45116 22912790147
1945-46127 275137130156
1946-47153 459186191181
1947-48176 496222242209
1948-49190 520219142210
1949-50210 563269230244
1950-51231 628426312310
1951-52274 707286325303
1952-53286 716325294320
1953-54318 769359396359
1954-55358 817368414389
1955-56392 859383354411
1956-57*410 884402386431

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, 346 (310) per cent; other personal incomes, 354 (302) per cent; and company incomes, 397 (286) per cent.

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—SECTOR ACCOUNTS

INTRODUCTION.—Just on two hundred years ago Francois Quesnay published his "Tableau Economique" in which he stressed the interdependence of productive activities. This was the first formal recognition of the fact that changes in a single industry's output have repercussions throughout the economy. Thus the industries supplying raw materials or performing ancillary productive services encounter changes in demand and their outputs are consequently affected. The outputs of the industries supplying them are in turn affected and so on until every industry in the country is affected to a greater or lesser degree.

For example, greater activity in forestry directly influences activity in manufacturing through the extra repairs and maintenance necessary on the new trucks and logging equipment. More transport services are required and there is greater activity in the distributive sectors because of the increased needs for oil, petrol, etc. The banking and insurance sector is also affected as it has to provide additional insurance for trucks and equipment. These direct results of the expansion in forestry lead to indirect effects on all industries providing materials or services for the industries immediately affected and another round of adjustments is set in train, until in the end every part of the economy has felt the impact of the initial increase in logging activity.

A two-way table showing sales of goods and services according to industry of origin and industry of destination is commonly used to illustrate the interdependence of productive activities. The following is a simple example based on New Zealand data. The name "input-output" is often given to such tables because the distribution of each industry's product may be found by reading across the rows and the origin of each industry's input may be found by reading down the columns.

SIMPLE INPUT-OUTPUT TABLE FOR THE NEW ZEALAND ECONOMY, 1952-53
Sales on Current Account in £(m.) OF\TOPrimary IndustrySecondary IndustryTertiary IndustryFinal ConsumersTotal
Primary industry62161591319
Secondary industry3011067494701
Tertiary industry305690331507
Final consumers1973743451841,100
                Totals3197015071,1002,627

According to this example, primary industry disposed of its total output of £319 million in 1952-53 by selling £91 million to final consumers, particularly to households and the rest of the world, and by supplying secondary and tertiary industry respectively with £161 million and £5 million of goods required for their productive activities. (The £161 million is accounted for mainly by sale of stock to freezing works, and butterfat to dairy factories.) The £62 million of sales by primary industry to itself is largely sale of stock. In order to produce its total output of £319 million primary industry required, in addition to the £62 million bought from itself, £30 million of fertilizers, etc., from secondary industry, £30 million of transport and other services, and £197 million of labour services and imports.

Quesnay was forced to use hypothetical figures in his table and Leon Walras, who, in the nineteenth century, developed the theory of economic interdependence much further, was also unable to do anything in the way of empirical investigation because of the absence of adequate statistics. In fact only very recently has there been enough information available in any country to permit a reliable estimation of inter-industry relationships. There is not yet sufficient data, even in the United States, where the most detailed tables have been compiled, to allow thorough checking of the estimates, but in the last twenty or so years the statistics for a number of Western countries have been more or less adequate for inter-industry studies.

The first empirical investigation of inter-industry relationships was carried out by Professor W. W. Leontief in the United States and published in 1936. He endeavoured to estimate input-output patterns in 1919 and 1929 and subsequently directed research into the 1939 input-output pattern. Leontief's work attracted a great deal of attention among business men and Government officials as well as among economists because the techniques which he developed and illustrated promised to be of great assistance to policy makers in handling many major economic problems as well as providing a greater insight into the workings of the economy. The first actual application of input-output analysis was a prediction of the effects of ceasing armament production in the United States at the end of the Second World War. At that time it was commonly thought that large-scale unemployment would result, but the prediction using input-output techniques was for high levels of employment. The input-output prediction was shown by events to be the better one.

Since Leontief's pioneering efforts many input-output tables have been constructed; the most elaborate being the 1947 United States table produced by the Bureau of Labour Statistics. In that study nearly 400 sectors or groups of industries were distinguished, but the cost in time and money was very great. Inter-industry research in the United States is currently occupying more research workers than any other single social science project. A detailed input-output table has been constructed for the United Kingdom but for a pre-war year. Smaller tables are, however, published each year by the Central Statistical Office. The Netherlands statistical office has published a number of such tables and recently similar studies have been made in Norway, Denmark, and, under the auspices of the Mutual Security Agency of the United Nations, for Italy, as well as for Israel and Puerto Rico. Statisticians are at present working on an input-output table, for India.

This section gives the results of the inter-industry study of the New Zealand economy and presents again the complete series of sector accounts as published last year. This being the first study of its kind in New Zealand, a brief history of inter-industry research in other countries has been given. A short discussion of the theoretical problems encountered in this work follows. Attention is given to the ways in which the actual input-output tables may be transformed from an accounting description of inter-industry flows five years ago into a tool of economic analysis which may be useful for handling current problems. A separate portion deals with some possible applications of input-output analysis.

It is not possible to deal in the Year-Book with the many detailed questions related to input-output analysis, its theoretical problems and practical applications. Reference should be made to the "Report on the Inter-Industry Study of the New Zealand Economy 1952-53" (Supplement to the February 1957 issue of the Monthly Abstract of Statistics), which contains additional sections on mathematical theory and techniques used, notes on sources, and a short bibliography.

INPUT-OUTPUT THEORY.—An input-output table shows, for each sector or industry of an economy, purchases from and sales to each of the other sectors during a given period. Each row of the table gives in detail the receipts of an industry from all sectors. Reading across, the entries record firstly, sales to the industrial sectors of goods for further processing, and secondly, on the right-hand side, sales to final consumers. Each column of the table lists the disbursements of an industry to all sectors. Reading down, there are firstly the purchases of intermediate commodities and secondly, at the bottom, what may be termed primary inputs—i.e., labour costs, other factor costs, imports, depreciation, and so on.

An input-output table serves a number of purposes just as it stands. It emphasizes the interdependence of all economic activities and provides a concise description of the economy. It high-lights the relative dependence of each sector upon labour and upon imports and explains why—e.g., a rise in wages may be expected to affect some prices more than others. It provides a weighting pattern for a wholesale price index because wholesale prices are mainly prices of intermediate goods. It is a very useful check upon national income estimates obtained in the usual aggregate manner. If these were the only uses for an input-output table it is doubtful, however, whether the cost of constructing it would be worthwhile.

An input-output table may be changed from a mere description of past events into an important tool for analysing economic problems by making some assumption about the nature of the production functions which relate the output of a sector to its inputs. The simplest and most fruitful assumption is that each purchase is a constant proportion of the total purchases of the sector. Thus the input coefficients or production functions of each sector are found by simply dividing each individual input by the corresponding total input. It should be noted that input-output data are commonly interpreted as physical quantities although measured in money terms. This is done by using "Leontief-units"—i.e., the number of physical units which can be purchased for one unit of money. It should also be noted that the output of each industrial sector is made equal to the input, if necessary, by adjusting net domestic output which includes profits. The equality of inputs and outputs for each sector is thus secured by an accounting convention.

The assumption that for each sector individual inputs are constant proportions in successive years of total input is certainly too simple, but there is insufficient information to permit the derivation of more realistic production functions, and in any case the proportionality assumption may be taken as a first approximation. A most important result of assuming constant input coefficients is the necessity of excluding purchases connected with capital formation from the body of the table. While it may be permissible to assume that the distribution of current inputs into an industry is unchanging, it is certainly not possible to assume constancy of inputs containing capital goods as well as current requirements. This would be equivalent to assuming that investment is a constant proportion of current output. Mere inspection of the tables on pages 736-37 shows furthermore how completely different are the patterns of capital and current inputs. The reasonableness of any constancy assumption of course becomes less as time goes on.

Since all productive activities are encompassed by an input-output table it is necessary somehow to account for the production of capital goods since these are excluded from the body of the table. The customary method is to have a gross capital formation column as part of final demand. In this column are entered each sector's contribution towards gross investment—i.e., its production of capital goods. The equality of sales and purchases is thus maintained.

Another conceptual problem concerns the choice between producers' and purchasers' values for recording transactions. Input-output tables are normally constructed using producers' values so that all outputs are f.o.b., and transport, marketing, and other distributive costs are counted as a purchase by the sector consuming the output.

Another problem is to achieve a reasonable degree of homogeneity in each sectors' output. This can only be obtained by having a large number of sectors and it cannot be pretended that this study goes far enough in this direction. The finer the classification the more stable the production functions may be expected to remain.

Once inputs have been assumed to change proportionately with output the scope of input-output studies is greatly increased. Immediately it becomes possible to predict the effects of a change in the volume of imports available to a sector (as a result of import restrictions, for example), or of a change in the level of indirect taxes or of subsidies, or in the level of employment. For assuming that the relevant prices remain the same it is a simple matter to calculate from the input coefficients the new levels of total output and of inter-industry transactions.

The scope of the input-output technique is still more extended by calculating the "inverse" of the input coefficients. The inverse shows the end result of all possible "feed-back" effects arising from a change in each sector's output or more commonly of its deliveries to final demand. Now it becomes possible to predict the effect of a change in final demand in any sector or of a change in its total output. Thus the effects of changes in consumers' tastes, government purchases, export sales, or of investment demand can be followed through the whole economy. One obvious way in which this knowledge may be useful is in the detection of possible bottlenecks in development programmes.

With a little further mathematical manipulation it is possible to handle variations in prices. Thus both the initial and secondary effects of a change in wage rates or of import prices may be determined at the same time. Another application of input-output analysis is to determine the true net demand of each sector for imports—i.e., net of the import drain passed on to it by other sectors. For example, the manufacturing sector makes the heaviest demand on imports, but a lot of its import requirements arise from the needs of, say, the farming industry.

It is obvious that no predictions or analyses based on input-output techniques can be more accurate than the basic table. In particular the proportion which each input bears to the total input in the corresponding sector is assumed not only to be constant but also to be equal to the proportion observed in the base-year. If the errors in the input-output table are large it is clear that there is little reason to expect constancy in the input coefficients. Thus the fact that coefficients derived from input-output tables for different years were not the same might not be evidence of changed production functions but only of the presence of errors in the estimates in both tables. It is, unfortunately, not possible to give any assessment of the probable size of the errors in this study and the only thing that can be said is that the estimates published in this section are the best which the Department of Statistics has been able to obtain.

STATISTICAL TABLES, 1952-53.—The table on page 732 gives an analysis of factor flows which on the basis of concepts used in New Zealand constitute (net) national income. The columns give items and aggregates of factor payments by sectors and type of factor payment. The total for each industry is the industry's net output and the totals of industry outputs are equal to net national output (at factor cost). The rows in the table are incomes, subdivided by types of income into three groups—Households, Public Administration and Other Sectors. The last named provides for all the adjustments of interest, profits, and dividends between paying and receiving sectors.

It will be noted that the total for national income as shown in the above-mentioned table amounts to £689.5 million which is a figure which can be directly compared with the published figure—arrived at by the aggregative method - of £656.1 million for the year 1952-53. Both totals are, of course, estimates and subject to errors and omissions. But the most appropriate explanation for the difference (£33.4 million) in the totals will be apparent if it is realised that the lower figure—£656.1 million—arrived at by the aggregative method is wholly based on taxation returns and tax paid, whereas the higher figure of £689.5 million in the table on page 732 is to a greater extent based on source material independent of taxation returns. The following reconciliation states broadly the nature of the difference.

 £(m.)
Income
Net national income as per aggregates656.1
    Plus understatement of incomes and errors and omissions33.4
                Total689.5
Output
Net national output as per aggregates656.1
    Plus understatement of output in— 
        Primary industries12.1
        Secondary industries7.3
        Other industries14.0
 33.4
                Total689.5

Net national income (at factor cost) can be defined as the income earned by and accruing to the factors of production in or only temporarily absent from New Zealand in producing the current output of goods and services. This means that national income totals include factor incomes received from overseas or accruing to domestic factors of production from overseas but exclude factor incomes transferred to overseas or accruing to factors domiciled overseas. Inter-sector flows on the other hand are shown in terms of domestic flows; to be able to link intermediate and final consumption flows with net income figures it is necessary to convert national output to domestic output. The adjusting entry between these two output concepts, consists in the addition of factor payments to other countries to national output and in the deduction of factor incomes received from outside New Zealand from national output. The reconciliation is shown in the table "Domestic Income and Output" on page 733.

The lower table on page 733 shows the derivation of the connecting link-factor receipts and payments between the other tables on pages 732 and 733 on the one hand and the table on page 734 on the other. While every receipt must also be a payment and the sum total of one must equal the sum total of the other, this is not true if we consider domestic factor receipts and payments. The totals of the two gross flows will differ by the net difference of factor flows between New Zealand and the rest of the world.

The main result of the inter-industry study is the input-output table on page 736 for twelve industrial sectors, five categories of final demand and five types of primary input. Four of the twelve industrial sectors are primary industries—farming proper, forestry and logging, hunting, fishing, etc., and mining. Manufacturing is subdivided into primary produce processing and other manufacturing. Building and construction, public utilities, transport and communications, and distribution account for one sector each and there are two service industries—banking and insurance, and other services. The categories of final demand are household purchases, Government purchases, exports, capital formation, and stock appreciation. The types of primary input are sales by final demand users (mainly rents), net domestic output (salaries, wages, profits, etc.), imports, depreciation allowances, and indirect taxes net of subsidies.

The input-output table was derived from the estimates contained in the sector accounts supplemented by independent information about the distribution of capital equipment by industry of origin, which is summarised in the table on page 737. The procedure used was to first build up a table of all inter-industry transactions directly from the sector accounts and then to subtract from each purchase that part connected with capital formation so as to obtain the input required for current production purposes.

The table "Total Inter-Industry Transactions" (page 735) was derived from the sector accounts by distributing each sector's credits among other sectors in a straight-forward manner, defining Government purchases as purchases by public administration and defence, charges on public revenue, transfers from public administration, and rates. Transfers by households to services (mainly donations, subscriptions, etc.), were treated as sales by services to households. The table was completed by taking purchases from households, from public administration, and from defence together as sales by final demand users and by taking indirect taxes net of subsidies. Figures of capital formation and depreciation do not appear in this table because purchases occasioned by capital formation appear along with current purchases and because deprecation allowances are not transactions.

The upper table on page 738 gives the input coefficients obtained by dividing each input in the "Input-Output Transactions" table by the corresponding total input which is by definition equal to the sector's total output. The coefficients are expressed as percentages so they measure direct purchase per £100 of output. In the lower table on page 738 are shown the corresponding inverse coefficients which give the direct and indirect requirements per £100 of final demand, thus allowing for the "feed-back" effects arising from the interdependence of industries. For example, the net output of £100 of farm products (i.e., available for final consumption), requires over £127 of sales by farmers, or £27 of sales between farmers, whereas the direct inter-farm sales are only £20. Similarly, direct and indirect requirements by farmers for manufactures are £16 compared with £9 of direct requirements per £100 of net farm output.

DESCRIPTION OF SECTORS.—A very brief description of some of the more important features of each sector is given in the following paragraphs.

Farming.—The industry includes, besides the usual farming pursuits, all forms of contract work on farms and more particularly the aerial top-dressing industry.

Forestry and Logging.—The New Zealand Forest Service is part of this industry. Where sawmills and logging operations form a single enterprise, the sawmilling activities are included under Manufacturing, Other.

Hunting, Fishing, etc.—Includes operations of Rabbit Boards and Government pest-control services.

Mining.—Operations of State coal depots are excluded (these are part of Wholesale and Retail Trade).

Manufacturing, Primary Produce Processing.—This industry includes only two main groups of manufacturing activities; meat works (exclusive of abattoirs) and dairy, cheese, and other milk-processing factories. This is a somewhat arbitrary definition, excluding such industries as flour mills, vegetable and fruit canning, wool scouring, etc. The intention was to include only the two principal manufacturing industries processing our major exports.

Manufacturing, Other.—Included are all other manufacturing units covered by the annual census of factory production plus the naval dockyard, railway workshops, abattoirs, and bakeries.

Building and Construction.—Includes all building and construction firms, contractors, the Ministry of Works, but does not include construction activities of the State Hydro-electric Department, New Zealand Railways, and other undertakings where construction is only ancillary to the main industry. Of local authorities, Catchment, River, and Land Drainage Boards form part of the sector, as well as construction work done by counties, boroughs, cities, and other local authorities.

Public Utilities.—The main undertakings in this sector are the State Hydro-electric Department, private and municipal gas works, Electric Power Boards, and municipal electricity departments. Waterworks, drainage, and sewerage services are part of the sector.

Transport and Communications.—Includes industries, private and Government, usually associated with this industry. The waterfront industry and local transport boards are included.

Wholesale and Retail Trade.—Covers the usual distributive industries (but not restaurants) and various statutory boards which distribute pastoral and agricultural produce—e.g., the New Zealand Meat Producers Board, the Dairy Products Marketing Commission, Wool Disposal Commission, Apple and Pear Board, and the Wheat Committee. The various surpluses obtained by these boards, arising from differentials between overseas realizations and local pay-outs to farmers, are therefore shown as a surplus in the Wholesale and Retail Trade sector.

Banking and Insurance.—The major Government undertakings included here are the State Advances Corporation and the Government Life and Fire Insurance offices, as well as all other private financial institutions. Holding companies and real estate companies are also included.

Public Administration.—The content of this sector has already been fully described in the paragraphs dealing with the principles of industrial classification and inter-sector transactions. The administrative aspect of local authorities is part of the sector, but the administration side of industrial local authorities (Power Boards, Harbour Boards, etc.) is not.

Defence.—Excludes administrative civilian staff of Defence Departments.

Services.—This sector includes a wide range of businesses, institutions, local bodies, and Departments of State. All the community and business services and professions are included—e.g., schools, private and public, university colleges, churches, charitable organizations, trade and political organizations, hospitals and mental institutions, the Department of Scientific and Industrial Research, divisions of the Education and Health Departments, Education Boards, and many others. The major group of Recreation Services (including the National Broadcasting Service and National Film Unit) is also in this sector. Finally, the major group of Personal Services—hotels, restaurants, and a great variety of other industries—is included.

Households.—The industry Ownership of Houses and Flats—i.e., the business of letting land and real property undertaken by private persons other than in connection with some other business—and the rental value of owner-occupied houses (an imputed item), together with the expenditure on owner-occupied houses, is part of this sector.

Rest of the World.—This sector is based on a reclassification of the balance of payments relationship between New Zealand and residents of other countries. The principles underlying the construction of balance of payments accounts is fully described in the annual "Report on the Official Estimates of Balance of Payments" published by the Department of Statistics. The difference between the balance of payments on current account for 1952-53 and the sector Rest of the World is that in the former, international transactions are classified by type of transaction (exports and imports, transportation, travel, investment, income, etc.), whereas in the sector account they are classified by the domestic sector which provides or receives goods and services or factor incomes.

Capital Account.—This account merely brings together various items of savings and investment already appearing in the other accounts and the Input-Output table. It does not account for financial (capital) flows from sectors where they originate to the sectors which utilize them.

NATIONAL INCOME AND OUTPUT, 1952-53
£(million)
Factor ReceiptsFactor PaymentsOutput
FarmingForestry and LoggingHunting, Fishing, etc.MiningManufacturing, Primary Produce ProcessingManufacturing, OtherBuilding and ConstructionPublic UtilitiesTransport and CommunicationsWholesale and Retail TradeBanking and InsurancePublic AdministrationDefenceServicesHouseholdsRest of the WorldNet National Income

* Direct taxation exclusive of direct taxes on household incomes other than unincorporated business profits and rents.

† Trading profits and rates of industrial local authorities which are not departments of general local authorities.

IncomesHouseholds—
    Salaries and wages25.13.61.04.812.291.330.67.147.951.410.814.010.650.01.8 362.2
    Unincorporated business profits93.60.41.10.4 6.011.1 6.116.10.8  23.2  158.8
    Interest0.4    0.3   0.33.3  0.20.40.14.9
    Net rents1.11.7   1.30.2 0.11.9   1.418.9 26.6
    Dividends0.4  0.10.45.10.90.10.78.30.6  0.80.60.618.0
            Totals120.65.72.15.312.6104.042.87.254.878.015.514.010.675.621.7 570.5
Public Administration—
    Direct taxes*25.70.20.20.42.112.82.70.12.021.17.0  4.9  79.2
    Rates*4.2    0.6   1.60.50.1 0.54.3 11.8
    Profits of trading undertakings1.50.3 0.1 0.1 1.50.90.16.5  −0.2 0.210.8
    Interest from Rest of the World           0.7   0.70.7
    Dividends          0.4     0.4
            Totals31.40.50.20.52.113.52.71.62.922.814.40.8 5.24.3 102.9
Other Sectors—
    Undistributed company profits0.7  0.13.46.93.00.10.99.31.6  0.8  26.8
    Profits of local authorities       3.30.4       3.7
    Rates1.2    0.1   0.30.1  0.11.0 2.8
    Primary producers' stabilisation accounts−6.1        3.6      −2.5
    Interest, profits, and dividends paid6.10.10.1 0.84.50.80.10.66.013.1  1.26.03.739.4
        Less                 
        Interest, profits, and dividends received−0.2  −0.1−0.7−5.0−0.2−0.2−0.6−6.9−37.8  −2.4 −10.0−54.1
        Net national output153.76.32.45.818.2124.049.112.159.0113.16.914.810.680.533.0 689.5
DOMESTIC INCOME AND OUTPUT
Net Domestic Income
Net national output153.76.32.45.818.2124.049.112.159.0113.16.914.810.680.533.0 689.5
Rest of the World—
    Interest, profits, dividends received from Rest of the World     −0.1  −0.1−0.5−2.9−0.7 −0.3−0.7 −5.3
    Interest, profits, dividends paid to Rest of the World01  0.10.44.4  0.12.52.3  0.1  10.0
        Net domestic output153.86.32.45.918.6128.349.112.159.0115.16.314.110.680.332.3 694.2
GROSS FACTOR RECEIPTS AND PAYMENTS
Total
Gross Factor Receipts—
    Households              570.5 570.5
    Public administration           102.9    102.9
    Undistributed company profits0.7  0.13.46.93.00.10.99.31.6  0.8  26.8
    Profits of local authorities       3.30.4       3.7
    Rates  0.4   0.40.5     1.5  2.8
    Primary producers' stabilisation accounts−6.1        3.6      −2.5
    Interest, profits, dividends0.2  0.10.75.00.20.20.66.937.8  2.4  54.1
    Adjustment for Rest of the World−01  −0.1−0.4−4.4  −0.1−2.5−2.3  −0.1 +10.0 
        Less
            Public debt interest       −0.1 −1.4−10.5  −0.3  −12.3
            Undistributed profits of overseas companies    −0.1−2.1  −0.1−0.1      −2.4
            Gross factor receipts−5.3 0.40.13.65.43.64.01.715.826.6102.9 4.3570.510.0743.6
Gross Factor Payments—
    Received by households120.65.72.15.312.6104.042.87.254.878.015.514.010.675.621.7 570.5
    Received by public administration31.40.50.20.52.113.52.71.62.922.814.40.8 5.24.3 102.9
    Undistributed company profits0.7  0.13.46.93.00.10.99.31.6  0.8  26.8
    Profits of local authorities       3.30.4       3.7
    Rates1.2    0.1   0.30.1  0.1  2.8
    Primary producers' stabilisation accounts−6.1        3.6     −2.8 
    Interest, profits, dividends6.10.10.1 0.84.50.80.10.66.013.1  1.26.0 39.4
    Adjustment for Rest of the World     −0.1  −0.1−0.5−2.9−0.7 −0.3−0.7+5-3 
            Gross factor payments153.96.32.45.918.9128.949.312.359.5119.541.814.110.682.632.35.3743.6
TOTAL TRANSACTIONS, 1952-53
£ (million)
FromToGross Factor ReceiptsFarmingForestry and LoggingHunting, Fishing, etc.MiningManufacturing—Primary Produce ProcessingManufacturing—OtherBuilding and ConstructionPublic UtilitiesTransport and CommunicationsWholesale and Retail TradeBanking and InsurancePublic AdministrationPublic AdministrationDefenceServicesHouseholdsRest of the WorldCapitalTotals 
Charge on Public revenueSubsidiesTransfers and Public Debt InterestCapital FormationStocks

* Exclusive of rates on rented and owner-occupied houses which have been treated as factor payments.

† Stocks in transit.

Gross factor payments 153.96.32.45.918.9128.9149.312.359.5119.541.1   10.682.632.35.3  743.6  
Farming−5.362.70.1  125.723.4   0.20.20.60.1  0.52.420.155.720.25.3311.9  
Forestry and lodging 0.8  0.1 5.8      0.3    0.4 2.0 9.4 
Hunting, fishing, etc.0.4    0.10.1      0.9   0.10.81.10.1 3.6 
Mining0.1    0.93.21.51.01.2 0.1 0.20.1  0.61.80.81.40.113.0 
Manufacturing—Primary produce processing3.60.7   0.14.7    0.2     1.415.6139.44.11.9171.7 
Manufacturing—Other5.434.50.50.61.64.577.330.73.623.322.83.32.30.50.6 3.311.6163.014.423.914.4442.1 
Building and construction3.63.90.3 0.81.37.8 11.04.93.212.20.323.4 0.42.513.837.2 3.71.5131.8 
Public utilities4.00.7  0.83.00.20.90.21.70.40.11.00.60.10.12.17.0 18.50.241.6  
Transport and communications1.74.60.40.11.65.57.47.62.56.921.31.71.21.10.6 1.03.319.122.819.20.1129.7 
Wholesale and retail trade15.820.60.30.20.43.010.010.71.17.51.12.10.4 12.51.40.52.5108.518.35.820.1242.8 
Banking and insurance26.60.90.1 0.30.43.21.00.21.14.22.51.40.10.710.5 1.19.11.610.4 75.4 
Public administration102.91.5 0.10.20.30.30.10.10.20.50.6 0.2 1.5 0.31.60.310.7 121.4243.8
Public AdministrationDirect taxes on households*                 55.1   55.1 
Indirect taxes 0.70.1   32.90.3 0.526.70.4     4.21.5   67.3
Defence 0.2      0.1  24.8   1.70.1  26.9    
Services4.34.20.1 0.20.24.80.30.10.98.62.17.932.0 0.30.317.760.52.110.40.6157.6158.6
 Transfers               0.3  0.7   1.0
Households570.51.9    2.40.3 0.23.53.81.2  1.70.14.911.41.432.9 636.2697.3
 Transfers              54.2   6.9  61.1 
Rest of the World10.013.80.70.10.64.9114.424.04.315.111.81.28.9   8.05.951.21.6−5.270.0264.3271.8
 Transfers            1.3  6.2   7.5   
CapitalDepreciation 11.70.50.11.21.87.72.81.16.94.91.2     3.31.5   44.7195.3
Undistributed company profits0.7  0.13.34.83.00.10.89.21.6     0.8    24.4 
Savings −6.1      3.30.43.6 34.0    91.0   126.2 
        Totals743.6311.99.43.613.0171.7442.1131.841.6129.7242.875.472.484.615.171.726.9158.6697.3271.8158.137.23,910.3 
             243.8    195.3  
TOTAL INTER-INDUSTRY TRANSACTIONS, 1952-53, INCLUDING NET APPRECIATION OF STOCKS
£(million)
Sales of/Purchases ofFarmingForestry and loggingHunting, Fishing, etc.MiningPrimary Produce ProcessingOther ManufacturingBuilding and ConstructionPublic UtilitiesTransport and CommunicationsWholesale and Retail TradeBanking and InsuranceServicesHousehold PurchasesGovernment PurchasesRest of World—ExportsStocks—net AppreciationTotal Sales
Farming62.70.1  125.723.4   0.20.22.420.11.255.75.3297.0
Forestry and logging0.8  0.1 5.8      0.40.3  7.4
Hunting, fishing, etc.    0.10.1     0.10.81.31.1 3.5
Mining    0.93.21.51.01.2 0.10.61.80.20.80.111.4
Primary produce processing0.7   0.14.7    0.21.415.6 139.41.9164.0
Other manufacturing34.50.50.61.64.577.330.73.623.322.83.311.6163.06.114.414.4412.2
Building and construction3.90.3 0.81.37.8 11.04.93.212.213.837.227.0 1.5124.9
Public utilities0.7   0.83.00.20.90.21.70.42.17.01.7 0.218.9
Transport and communications4.60.40.11.65.57.47.62.56.921.31.73.319.13.322.80.1108.2
Wholesale and retail trade20.60.30.20.43.010.010.71.17.51.12.12.5108.50.918.320.1207.3
Banking and insurance0.90.1 0.30.43.21.00.21.14.22.51.19.11.51.6 27.2
Services4.20.1 0.20.24.80.30.10.98.62.117.761.242.02.10.6145.1
Sales by final demand users3.6 0.10.20.32.70.40.10.54.04.45.214.71.38.7 46.2
Net domestic output153.86.32.45.918.6128.349.112.159.0115.16.380.332.324.7−4.7 689.5
Rest of world—imports13.80.70.10.64.9114.424.04.315.111.81.25.957.418.21.6−7.0267.0
Net indirect taxes0.70.1−0.1 32.30.3−0.6−0.114.2−0.34.21.5   52.2 
            Total purchases305.58.93.511.6166.3428.4125.836.3120.5208.236.4152.2549.7129.7261.837.22,582.0
INPUT-OUTPUT TRANSACTIONS, 1952-53
£(million)
 Output/InputIndustrial SectorsFinal Demand
FarmingForestry and loggingHunting, Fishing, etc.MiningPrimary Produce ProcessingOther ManufacturingBuilding and ConstructionPublic UtilitiesTransport and CommunicationsWholesale and retail TradeBanking and InsuranceServicesHousehold PurchasesGovernment PurchasesRest of World—ExportsGross Domestic Capital FormationStocks—Net AppreciationTotal Output
Industrial SectorsFarming60.80.1  125.723.4   0.20.22.420.11.255.71.95.3297.0
Forestry and logging0.8  0.1 5.8      0.40.3   7.4
Hunting, fishing, etc.    0.10.1     0.10.81.31.1  3.5
Mining    0.93.21.51.0 1.0 0.61.80.20.80.20.111.4
Primary produce processing0.7   0.94.7    0.21.415.6139.4 1.9164.0 
Other manufacturing26.80.30.51.23.271.029.62.318.621.13.111.0163.05.714.426.014.4412.2
Building and construction0.9  0.10.52.1  1.30.42.24.74.317.9 89.01.5124.9
Public utilities0.7   0.83.00.20.90.21.70.42.17.01.7  0.218.9
Transport and communications3.70.20.11.55.2717.51.36.221.11.73.119.13.322.84.20.1108.2
Wholesale and retail trade17.80.20.20.32.69.410.60.86.10.92.12.4108.50.918.36.120.1207.3
Banking and insurance0.90.1 0.30.43.21.00.21.14.22.51.19.11.51.6  27.2
Services4.20.1 0.20.24.80.30.10.98.62.117.761.242.02.1 0.6145.1
Primary InputsSales by final demand users3.6 0.10.20.32.70.40.10.54.04.45.214.71.38.7  46.2
Net domestic output133.65.52.45.918.5127.849.19.056.9115.16.380.332.324.7−4.76.8 689.5
Rest of world—imports10.10.30.10.53.7103.921.62.78.610.91.05.557.417.01.629.1−7.0267.0
Depreciation allowances11.70.50.11.21.87.72.81.16.94.91.23.31.5    44.7
Net indirect taxes0.70.1 −0.1 32.30.3−0.6−0.114.2−0.34.21.5    52.2
            Total Input297.07.43.511.4164.0412.2124.918.9108.2207.327.2145.1518.3119.0261.8163.337.22,626.7
INTER-INDUSTRY TRANSACTIONS CONNECTED WITH GROSS DOMESTIC CAPITAL FORMATION, 1952.53
£(million)
Sales of/Purchases ofFarmingForestry and LoggingHunting, Fishing, etc.MiningPrimary Produce ProcessingOther ManufacturingBuilding and ConstructionPublic UtilitiesTransport and CommunicationsWholesale and Retail TradeBanking and InsuranceServicesHousehold PurchasesGovernment PurchasesTotal Sales
Farming1.9             1.9
Forestry and logging               
Hunting, fishing, etc.               
Mining        0.2     0.2
Primary produce processing               
Other manufacturing7.70.20.10.41.36.31.11.34.71.70.20.6 0.426.0
Building and construction3.00.3 0.70.85.7 11.03.62.810.09.132.99.189.0
Public utilities               
Transport and communications0.90.2 0.10.30.30.11.20.70.2 0.2  4.2
Wholesale and retail trade2.80.1 0.10.40.60.10.31.40.2 0.1  6.1
Banking and insurance               
Services               
Net domestic output0.20.8  0.10.5 3.12.1     6.8
Rest of world—imports3.70.4 0.11.210.52.41.66.50.90.20.4 1.229.1
                Total Purchases20.22.00.11.44.123.93.718.519.25.810.410.432.910.7163.3
DIRECT PURCHASES PER £100 OF OUTPUT, 1952-53
FarmingForestry and LoggingHunting, fishing, etc.MiningPrimary Produce ProcessingOther ManufacturingBuilding and ConstructionPublic UtilitiesTransport and CommunicationsWholesale and Retail TradeBanking and InsuranceServices
Farming20.51.4  76.65.7   0.10.71.7
Forestry and logging0.3  0.9 1.4      
Hunting, fishing, etc.    0.1      0.1
Mining    0.60.81.25.30.9 0.40.4
Primary produce processing0.2   0.11.1    0.71.0
Other manufacturing9.04.114.310.52.017.223.712.217.210.211.47.6
Building and construction0.3  0.90.30.5  1.20.28.13.2
Public utilities0.2   0.50.76.24.80.20.81.51.4
Transport and communications1.22.72.913.23.21.76.06.95.710.26.32.1
Wholesale and retail trade6.02.75.72.61.62.38.54.25.60.47.71.7
Banking and insurance0.31.4 2.60.20.80.81.11.02.09.20.8
Services1.41.4 1.80.11.20.20.50.84.17.712.2
            Totals39.513.522.932.585.233.440.634.932.728.153.732.1
DIRECT AND INDIRECT REQUIREMENTS PER £100 OF FINAL DEMAND, 1952-53
FarmingForestry and LoggingHunting, fishing, etc.MiningPrimary Produce ProcessingOther ManufacturingBuilding and ConstructionPublic UtilitiesTransport and CommunicationsWholesale and Retail TradeBanking and InsuranceServices
Farming127.52.31.61.698.110.42.81.72.11.74.14.6
Forestry and logging0.6100.10.31.10.51.80.50.30.40.20.30.2
Hunting, fishing, etc.  100.0 0.1      0.1
Mining0.20.10.2100.30.81.11.65.81.20.31.00.8
Primary produce processing0.50.10.20.2100.51.50.40.30.30.31.21.3
Other manufacturing16.36.819.418.016.3124.232.819.724.616.523.413.9
Building and construction0.70.30.21.50.90.9100.50.51.70.89.63.9
Public utilities0.60.10.20.31.01.10.6105.30.51.22.21.9
Transport and communications3.13.64.215.36.33.38.59.7107.811.810.23.9
Wholesale and retail trade8.53.46.64.58.54.010.25.97.2102.011.13.3
Banking and insurance0.81.70.43.41.01.31.61.81.62.6110.91.3
Services2.82.00.72.92.52.21.51.61.95.410.8114.5
FARMING ACCOUNT, 1952-53
£(million)
Credits
 Total
Sales of goods and services to sectors—
    Farming62.7
    Forestry and logging0.1
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing125.7
    Manufacturing, other23.4
    Building and construction 
    Public utilities 
    Transport and communications 
    Wholesale and retail trade0.2
    Banking and insurance0.2
    Public administration0.6
    Defence0.5
    Services2.4
    Households20.1
    Rest of the world20.1
Other receipts from public Administration
    Subsidies0.1
    Transfers 
Rates 
Capital formation20.2
Stock change5.3
                  Total credits317.2
Debits
 Total
Salaries and wages25.1
Direct taxes31.1
Surplus97.5
Net output153.7
Net factor payments to the rest of the world0.1
Net domestic output153.7
Net factor payments to the rest of the world0.1
Net domestic output153.8
Purchases of goods and services from sectors—
    Farming62.7
    Forestry and logging0.8
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing0.7
    Manufacturing, other34.5
    Building and construction3.9
    Public utilities0.7
    Transport and communications4.6
    Wholesale and retail trade20.6
    Banking and insurance0.9
    Public administration1.5
    Defence0.2
    Services4.2
    Households1.9
    Rest of the world13.8
Indirect taxes0.7
Depreciation11.7
                  Total debits317.2
FORESTRY AND LOGGING ACCOUNT, 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming0.8
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining0.1
    Manufacturing, primary produce processing 
    Manufacturing, other5.8
    Building and construction 
    Public utilities 
    Transport and communications 
    Wholesale and retail trade 
    Banking and insurance 
    Public administration 
    Defence 
    Services 
    Households0.4
    Rest of the world 
Other receipts from public administration—
    Subsidies 
Charge on public revenue0.3
Transfers 
Rates 
Capital formation2.0
Stock change 
                  Total credits9.4
Debits
Salaries and wages3.6
Direct taxes0.2
Surplus2.5
Net output6.3
Net factor payments to the rest of the world 
Net domestic output6.3
Purchases of goods and services from sectors—
    Farming0.1
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing 
    Manufacturing, other0.5
    Building and construction0.3
    Public utilities 
    Transport and communications0.4
    Wholesale and retail trade0.3
    Banking and insurance0.1
    Public administration 
    Defence0.1
    Services 
    Households0.7
    Rest of the world0.1
Indirect taxes 
Depreciation0.5
                  Total debits9.4
HUNTING, FISHING, ETC, ACCOUNT, 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming 
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing0.1
    Manufacturing, other0.1
    Building and construction 
    Public utilities 
    Transport and communications 
    Wholesale and retail trade 
    Banking and insurance 
    Public administration 
    Defence 
    Services0.1
    Households0.3
    Rest of the world1.1
Other receipts from public administration—
    Subsidies 
    Charge on public revenue0.9
    Transfers 
Rates0.4
Capital formation0.1
Stock change 
                  Total credits3.6
Debits
Salaries and wages1.0
Direct taxes0.2
Surplus1.2
Net output2.4
Net factor payments to the rest of the world 
Net domestic output2.4
Purchases of goods and services from sectors—
    Farming 
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing 
    Manufacturing, other0.6
    Building and construction 
    Public utilities 
    Transport and communications0.1
    Wholesale and retail trade0.2
    Banking and insurance 
    Public administration0.1
    Defence 
    Services 
    Households 
    Rest of the world0.1
Indirect taxes 
Depreciation0.1
                  Total debits3.6
MINING ACCOUNT, 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming 
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing0.9
    Manufacturing, other3.2
    Building and construction1.5
    Public utilities1.0
    Transport and communications1.2
    Wholesale and retail trade 
    Banking and insurance0.1
    Public administration 
    Defence 
    Services0.6
    Households1.8
    Rest of the world0.8
Other receipts from public administration—
    Subsidies0.1
    Charge on public revenue0.2
    Transfers 
    Rates 
    Capital formation1.4
    Stock change0.1
                  Total credits12.9
Debits
Salaries and wages4.8
Direct taxes0.4
Surplus0.6
Net output5.8
Net factor payments to the rest of the world0.1
Net domestic output5.9
Purchases of goods and services from sectors—
    Farming 
    Forestry and logging0.1
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing 
    Manufacturing, other1.6
    Building and construction0.8
    Public utilities 
    Transport and communications1.6
    Wholesale and retail trade0.4
    Banking and insurance0.3
    Public administration0.2
    Defence 
    Services0.2
    Households 
    Rest of the world0.6
Indirect taxes 
Depreciation1.2
                  Total debits12.9
MANUFACTURING, PRIMARY PRODUCE PROCESSING ACCOUNT, 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming0.7
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing0.1
    Manufacturing, other4.7
    Building and construction 
    Public utilities 
    Transport and communications 
    Wholesale and retail trade 
    Banking and insurance0.2
    Public administration 
    Defence 
    Services1.4
    Households15.6
    Rest of the world139.4
Other receipts from public administration—
    Subsidies 
    Charge on public revenue 
    Transfers 
Rates 
Capital formation4.1
Stock change1.9
                  Total credits168.1
Debits
Salaries and wages12.2
Direct taxes2.1
Surplus3.9
Net output18.2
Net factor payments to the rest of the world0.4
Net domestic output18.6
Purchases of goods and services from sectors—
    Farming125.7
    Forestry and logging 
    Hunting, fishing, etc.0.1
    Mining0.9
    Manufacturing, primary produce processing0.1
    Manufacturing, other4.5
    Building and construction1.3
    Public utilities0.8
    Transport and communications5.5
    Wholesale and retail trade3.0
    Banking and insurance0.4
    Public administration0.3
    Defence 
    Services0.2
    Households 
    Rest of the world4.9
Indirect taxes 
Depreciation1.8
                  Total debits168.1
OTHER MANUFACTURING ACCOUNT. 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming34.5
    Forestry and logging0.5
    Hunting, fishing, etc.0.6
    Mining1.6
    Manufacturing, primary produce processing4.5
    Manufacturing, other77.3
    Building and construction30.7
    Public utilities3.6
    Transport and communications23.3
    Wholesale and retail trade22.8
    Banking and insurance3.3
    Public administration2.3
    Defence3.3
    Services11.6
    Households163.0
    Rest of the world14.4
Other receipts from public administration—
    Subsidies0.6
    Charge on public revenue0.5
    Transfers 
Rates 
Capital formation23.9
Stock change14.4
                  Total credits436.7
Debits
Salaries and wages91.3
Direct taxes13.5
Surplus19.2
Net output124.0
Net factor payments to the rest of the world4.3
Net domestic output128.3
Purchases of goods and services from sectors—
    Farming23.4
    Forestry and logging5.8
    Hunting, fishing, etc.0.1
    Mining3.2
    Manufacturing, primary produce processing4.7
    Manufacturing, other77.3
    Building and construction7.8
Public utilities3.0
    Transport and communications7.4
    Wholesale and retail trade10.0
    Banking and insurance3.2
    Public administration0.3
    Defence 
    Services4.8
    Households2.4
    Rest of the world114.4
Indirect taxes32.9
Depreciation7.7
                  Total debits436.7
BUILDING AND CONSTRUCTION ACCOUNT, 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming3.9
    Forestry and logging0.3
    Hunting, fishing, etc. 
    Mining0.8
    Manufacturing, primary produce processing1.3
    Manufacturing, other7.8
    Building and construction 
    Public utilities11.0
    Transport and communications4.9
    Wholesale and retail trade3.2
    Banking and insurance12.2
    Public administration0.3
    Defence2.5
    Services13.8
    Households37.2
    Rest of the world 
Other receipts from public administration—
    Subsidies 
    Charge on public revenue23.4
    Transfers0.4
Rates0.4
Capital formation3.7
Stock change1.5
                  Total credits128.6
Debits
Salaries and wages30.6
Direct taxes2.7
Surplus15.8
Net output49.1
Net factor payments to the rest of the world 
Net domestic output49.1
Purchases of goods and services from sectors—
    Farming 
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining1.5
    Manufacturing, primary produce processing 
    Manufacturing, other30.7
    Building and construction 
    Public utilities0.2
    Transport and communications7.6
    Wholesale and retail trade10.7
    Banking and insurance1.0
    Public administration0.1
    Defence 
    Services0.3
    Households0.3
    Rest of the world24.0
Indirect taxes0.3
Depreciation2.8
                  Total debits128.6
PUBLIC UTILITIES ACCOUNT, 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming0.7
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing0.8
    Manufacturing, other3.0
    Building and construction0.2
    Public utilities0.9
    Transport and communications0.2
    Wholesale and retail trade1.7
    Banking and insurance0.4
    Public administration0.1
    Defence0.1
    Services2.1
    Households7.0
    Rest of the world 
Other receipts from public administration—
    Subsidies0.6
    Charge on public revenue1.0
    Transfers 
Rates0.5
Capital formation18.5
Stock change0.2
    Total credits38.0
Debits
 Total
Salaries and wages7.1
Direct taxes0.1
Surplus4.9
Net output12.1
Net factor payments to the rest of the world 
Net domestic output12.1
Purchases of goods and services from sectors—
    Farming 
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining1.0
    Manufacturing, primary produce processing 
    Manufacturing, other3.6
    Building and construction11.0
    Public utilities0.9
    Transport and communications2.5
    Wholesale and retail trade1.1
    Banking and insurance1.2
    Public administration0.1
    Defence 
    Services0.1
    Households 
    Rest of the world4.3
Indirect taxes 
Depreciation1.1
                  Total debits38.0
TRANSPORT AND COMMUNICATIONS ACCOUNT. 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming4.6
    Forestry and logging0.4
    Hunting, fishing, etc.0.1
    Mining1.6
    Manufacturing, primary produce processing5.5
    Manufacturing, other7.4
    Building and construction7.6
    Public utilities2.5
    Transport and communications6.9
    Wholesale and retail trade21.3
    Banking and insurance1.7
    Public administration1.2
    Defence1.0
    Services3.3
    Households19.1
    Rest of the world22.8
Other receipts from public administration—
    Subsidies0.6
    Charge on public revenue1.1
    Transfers 
    Rates 
Capital formation19.2
Stock change0.1
                  Total credits128.0
Debits
Salaries and wages47.9
Direct taxes2.0
Surplus9.1
Net output59.0
Net factor payments to the rest of the world 
Net domestic output59.0
Purchases of goods and services from sectors—
    Farming 
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining1.2
    Manufacturing, primary produce processing 
    Manufacturing, other23.3
    Building and construction4.9
    Public utilities0.2
    Transport and communications6.9
    Wholesale and retail trade7.5
    Banking and insurance1.1
    Public administration0.
    Defence0.1
    Services0.9
    Households0.2
    Rest of the world15.1
Indirect taxes0.5
Depreciation6.9
                  Total debits128.0
WHOLESALE AND RETAIL TRADE ACCOUNT, 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming20.6
    Forestry and logging0.3
    Hunting, fishing, etc.0.2
    Mining0.4
    Manufacturing, primary produce processing3.0
    Manufacturing, other10.0
    Building and construction10.7
    Public utilities1.1
    Transport and communications7.5
    Wholesale and retail trade1.1
    Banking and insurance2.1
    Public administration0.4
    Defence0.5
    Services2.5
    Households108.5
    Rest of the world18.3
Other receipts from public administration—
    Subsidies12.5
    Charge on public revenue 
    Transfers 
Rates 
Capital formation5.8
Stock change20.1
                  Total credits225.6
Debits
Salaries and wages51.4
Direct taxes23.0
Surplus38.7
Net output113.0
Net factor payments to the rest of the world2.0
Net domestic output115.1
Purchases of goods and services from sectors—
    Farming0.2
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing 
    Manufacturing, other22.8
    Building and construction3.2
    Public utilities1.7
    Transport and communications21.3
    Wholesale and retail trade1.1
    Banking and insurance4.2
    Public administration0.5
    Defence 
    Services8.6
    Households3.5
    Rest of the world11.8
Indirect taxes26.7
Depreciation4.9
                  Total debits225.6
BANKING AND INSURANCE ACCOUNT, 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming0.9
    Forestry and logging0.1
    Hunting, fishing, etc. 
    Mining0.3
    Manufacturing, primary produce processing0.4
    Manufacturing, other3.2
    Building and construction1.0
    Public utilities0.2
    Transport and communications1.1
    Wholesale and retail trade4.2
    Banking and insurance2.5
    Public administration1.4
    Defence 
    Services1.1
    Households9.1
    Rest of the world1.6
Other receipts from public administration—
    Subsidies0.7
    Charge on public revenue0.1
    Transfers 
Rates 
Capital formation10.4
Stock change 
                  Total credits38.3
Debits
 Total
Salaries and wages10.8
Direct taxes7.6
Surplus-11.5
Net output6.9
Net factor payments to the rest of the world-0.6
Net domestic output6.3
Purchases of goods and services from sectors—
    Farming0.2
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining0.1
    Manufacturing, primary produce processing0.2
    Manufacturing, other3.3
    Building and construction12.2
    Public utilities0.4
    Transport and communications1.7
    Wholesale and retail trade2.1
    Banking and insurance2.5
    Public administration0.6
    Defence 
    Services2.1
    Households3.8
    Rest of the world1.2
Indirect taxes0.4
Depreciation 
                  Total debits1.2
PUBLIC ADMINISTRATION ACCOUNT, 1952-53
£(million)
 Total
Credits
 Direct TaxationRatesIndirect TaxesTrading IncomePublic Debt InterestSales of Goods and Services 
Farming25.74.20.71.5 1.533.6
Forestry and logging0.2 0.10.3  0.6
Hunting, fishing, etc.0.2    0.10.3
Mining0.4  0.1 0.20.7
Manufacturing, primary produce processing2.1    0.32.4
Manufacturing, other12.80.632.90.1 0.346.7
Building and construction2.7 0.3  0.13.1
Public utilities0.1  1.5 0.11.7
Transport and communication2.0 0.50.7 0.23.4
Wholesale and retail trade21.11.626.70.1 0.550.0
Banking and insurance7.00.50.46.9 0.615.4
Public administration 0.1  1.5 1.6
Defence       
Services4.90.54.2-0.2 0.39.7
Households55.14.31.5  1.662.5
Rest of the world   0.9 0.21.2
                  Totals134.311.867.311.91.56.1232.9
Charge on public revenue      0.2
Capital formation      10.7
                  Total credit      243.8
Debits
Salaries and wages      14.0
Interest from the rest of the world      0.7
Rates      0.1
Net output      14.8
Net factor payments from the rest of the world      14.8
Net factor payments from the rest of the world      -0.7
Net domestic output      14.1
   Purchases of Goods and ServicesCharge on Public RevenueSubsidiesTransfers and Public Debt Interest 
Farming  0.60.1  0.7
Forestry and logging   0.3  0.3
  Hunting, fishing, etc. 0.9  0.9
Mining   0.20.1 0.3
Manufacturing, primary produce processing       
Manufacturing, other  2.30.50.6 3.4
Building and construction  0.323.4 0.424.1
Public utilities  0.11.00.60.11.8
Transport and communications  1.21.10.6 2.9
Wholesale and retail trade  0.4 12.51.414.3
Banking and insurance  1.40.10.710.512.7
Public administration   0.2 1.51.7
Defence   24.8  24.8
Services7.932.0 0.640.5  
Households  1.2  5.957.1
Rest of the world  8.9  1.310.2
          Totals24.384.615.171.7195.7  
Savings      34.0
                  Total debits      243.8
DEFENCE ACCOUNT. 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming0.2
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing 
    Manufacturing, other 
    Building and construction 
    Public utilities 
    Transport and communications0.1
    Wholesale and retail trade 
    Banking and insurance 
    Public administration 
    Defence 
    Services 
    Households1.7
Rest of the world0.1
Other receipts from public administration—
    Subsidies24.8
    Charge on public revenue 
    Transfers 
Rates 
Capital formation 
Stock change 
                  Total credits26.9
Debits
Pay and Allowances10.6
Direct taxes 
Surplus 
Net output10.6
Net factor payments to the rest of the world 
Net domestic output10.6
Purchases of goods and services from sectors—
    Farming0.5
    Forestry and logging 
    Hunting, fishing, etc. 
    Mining 
    Manufacturing, primary produce processing 
    Manufacturing, other3.3
    Building and construction2.5
    Public utilities0.1
    Transport and communications1.0
    Wholesale and retail trade0.5
    Banking and insurance 
    Public administration 
    Defence 
    Services0.3
    Households0.1
    Rest of the world8.0
Indirect taxes 
Depreciation 
                  Total debits26.9
SERVICE ACCOUNT, 1952-53
£(million)
 Total
Credits
Sales of goods and services to sectors—
    Farming4.2
    Forestry and logging0.1
    Hunting, fishing, etc. 
    Mining0.2
    Manufacturing, primary produce processing0.2
    Manufacturing, other4.8
    Building and construction0.3
    Public utilities0.1
    Transport and communications0.9
    Wholesale and retail trade8.6
    Banking and insurance2.1
    Public administration7.9
    Defence0.3
    Services17.7
    Households60.5
    Rest of the world2.1
Other receipts from public administration—
    Subsidies 
    Charge on public revenue32.0
    Transfers0.3
Transfers from households0.7
Rates1.5
Capital formation10.4
Stock change0.6
                  Total credits155.5
Debits
Salaries and wages50.0
Direct taxes5.5
Surplus25.0
Net output80.5
Net factor payments from the rest of the world-0.2
Net domestic output80.3
Purchases of goods and services from sectors—
    Farming2.4
    Forestry and logging 
    Hunting, fishing, etc.0.1
    Mining0.6
    Manufacturing, primary produce processing1.4
    Manufacturing, other11.6
    Building and construction13.8
    Public utilities2.1
    Transport and communications3.3
    Wholesale and retail trade2.5
    Banking and insurance1.1
    Public administration0.3
    Defence 
    Services17.7
    Households4.9
    Rest of the world5.9
Indirect taxes4.2
Depreciation3.3
                  Total debits155.5
HOUSEHOLD ACCOUNT, 1952-53
£(million)
 Total
Credits
 Salaries and WagesUnincorporated Business ProfitsInterestNet Rents ReceivedDividends Received 
    Farming25.193.60.41.10.4120.6
    Forestry and logging3.60.4 1.7 5.7
    Hunting, fishing, etc.1.01.1   2.1
    Mining4.80.4  0.15.3
    Manufacturing, primary produce processing12.2   0.112.6
    Manufacturing, other91.36.00.31.35.1104.0
    Building and construction30.611.1 0.20.942.8
    Public utilities7.1   0.17.2
    Transport and communications47.96.1 0.10.754.8
    Wholesale and retail trade51.416.10.31.98.378.0
    Banking and insurance10.80.83.3 0.615.5
    Public administration14.0    14.0
    Defence10.6    10.6
    Services50.023.20.21.40.875.6
    Households1.8 0.318.9 21.0
    Rest of the world  0.1 0.60.7
              Totals362.2158.84.926.618.0570.5
Transfers from public administration     54.2
Public debt interest     1.7
Sales of goods and services to sectors—
    Farming     1.9
    Forestry and logging      
    Hunting, fishing, etc.      
    Mining      
    Manufacturing, primary produce processing      
    Manufacturing, other     2.4
    Building and construction     0.3
    Public utilities      
    Transport and communications     0.2
    Wholesale and retail trade     3.5
    Banking and insurance     3.8
    Public administration     1.2
    Defence     0.1
    Services     4.9
    Households     11.4
    Rest of the world     1.4
Transfers from the rest of the world     6.9
Capital formation     32.9
              Total credits     697.3
Debits
Salaries and wages     1.8
Net rents     18.9
Other factor payments     12.3
Net output     33.0
Net factor payments from the rest of the world     -0.7
Net domestic output     32.3
Purchases of goods and services from sectors—
    Farming     20.1
    Forestry and logging     0.4
    Hunting, fishing, etc.     0.8
    Mining     1.8
    Manufacturing, primary produce processing     15.6
    Manufacturing, other     163.0
    Building and construction     37.2
    Public utilities     7.0
    Transport and communications     19.1
    Wholesale and retail trade     108.5
    Banking and insurance     9.1
    Public administration     1.6
    Defence     1.7
    Services     60.5
    Households     11.4
    Rest of the world     51.2
Transfers to—
    Services     0.7
    Rest of the world     6.2
Indirect taxes     1.5
Direct taxes     55.1
Depreciation     1.5
Savings     91.0
              Total debits     697.3
REST OF THE WORLD ACCOUNT, 1952-53
£(million)
Farming  55.755.7
Forestry and logging    
Hunting, fishing, etc.  1.11.1
Mining  0.80.8
Manufacturing, primary produce processing  139.4139.4
Manufacturing, other 0.114.414.5
Building and construction    
Public utilities    
Transport and communications 0.122.822.9
Wholesale and retail trade 0.518.318.8
Banking and insurance 2.91.64.5
Public administration 0.70.31.0
Defence  0.10.1
Services 0.32.12.4
Households 0.71.42.1
Rest of the world  1.61.6
              Totals 5.3259.6264.9
Transfers to households   6.9
              Total credits   271.8
Debits (Imports and payments for services)
 Factor Payments from SectorsPurchases of Goods and Services by SectorsTransfers from SectorsTotal
Farming0.113.8 13.9
Forestry and logging 0.7 0.7
Hunting, fishing, etc. 0.1 0.1
Mining0.10.6 0.7
Manufacturing, primary produce processing0.44.9 5.3
Manufacturing, other4.4114.4 118.8
Building and construction 24.0 24.0
Public utilities 4.3 4.3
Transport and communications0.115.1 15.2
Wholesale and retail trade2.511.8 14.3
Banking and insurance2.31.2 3.5
Public administration 8.91.310.2
Defence 8.0 8.0
Services0.15.9 6.0
Households 51.26.257.4
Rest of the world 1.6 1.6
                  Totals10.0266.57.5284.0
Stocks in transit   -7.0
Balance of payments on current account (net overseas investment)   -5.2
              Totals debits   271.8
CAPITAL ACCOUNT, 1952-53
£(million)
Savings
Farming11.70.7-6.16.3
Forestry and logging0.5  0.5
Hunting, fishing, etc.0.1  0.1
Mining1.20.1 1.3
Manufacturing, primary produce processing1.83.3 5.1
Manufacturing, other7.74.8 12.5
Building and construction2.83.0 5.8
Public utilities1.10.13.34.5
Transport and communications6.90.80.48.1
Wholesale and retail trade4.99.23.617.7
Banking and insurance1.21.6 2.8
Public administration  34.034.0
Defence    
Services3.30.8 4.1
Households1.5 91.092.5
              Totals44.724.4126.2195.3
              Total savings   195.3
Investments
  Capital FormationChanges in StocksTotal
Farming 20.25.325.5
Forestry and logging 2.0 2.0
Hunting, fishing, etc. 0.1 0.1
Mining 1.40.11.5
Manufacturing, primary produce processing 4.11.96.0
Manufacturing, other 23.914.438.3
Building and construction 3.71.55.2
Public utilities 18.50.218.7
Transport and communications 19.20.119.3
Wholesale and retail trade 5.820.125.9
Banking and insurance 10.4 10.4
Public administration 10.7 10.7
Defence    
Services 10.40.611.0
Households 32.9 32.9
              Totals 163.344.2207.5
Rest of the world—
    Balance of payments on current account (net overseas investment)   -5.2
    Adjustment for stocks in transit   -7.0
              Total investments   195.3

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 708). 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 non-residents.

It should be noted that in this instance only the net balance is 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 (Section 29B, page 748), while the net balance—which is purely a change in financial claims or liabilities—finds its place in the capital account.

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 Year 1956-57, 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 services as well as goods 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 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 purchase 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 771) 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, Libya, 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 and Liberia.

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.

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 current account tables on pages 754-764.

£(N.Z.)000
Current Account1952-531953-541954-551955-561956-57
Credits
Exports f.o.b.241,550247,100237,050261,100268,950
Monetary gold200150   
Transportation11,35010,5509,15011,5509,800
Travel1,8001,7501,9502,4503,100
Insurance450400150150400
International investment income—
    Income from direct investment1,6501,9502,1501,9001,750
    Other private investment1,7002,1502,5501,8002,000
    Government and official institutions1,9503,2502,7003,2003,800
            Totals5,3007,3507,4006,9007,550
Government transactions—
    Government expenditure350600550600800
    New Zealand Government receipts1,100600450800950
            Totals1,4501,2001,0001,4001,750
Miscellaneous receipts3,7002,5002,8004,0004,850
Unilateral transfers—
    Personal remittances and other donations and transfers3,3502,9503,7003,6503,800
    Migrants' funds2,4501,7001,5502,1502,400
    Legacies1,1009001,2001,3001,650
            Totals6,9005,5506,4507,1007,850
            Total credits272,700276,550265,950294,650304,250
£(N.Z.)000
Current Account1952-531953-541954-551955-561956-57

Minus (—) sign denotes excess of imports over exports or payments over receipts.

Debits
Imports f.o.b.208,700181,500228,800249,450244,500
Monetary gold     
Transportation28,10019,80027,40029,30029,800
Travel4,8004,7005,9006,6006,700
insurance600750800800900
International investment income—
    Income from direct investment7,40010,45011,40010,95011,750
    Other private investment2,5505501,7508002,600
    Government and official institutions2,5002,4503,0003,2503,400
    Local authority interest200200200300200
            Totals12,65013,65016,35015,30017,950
Government transactions—
    New Zealand Government expenditure9,10012,3009,0006,7506,100
            Totals9,10012,3009,0006,7506,100
Miscellaneous payments5,2505,5505,9507,55010,700
Films7508007501,000900
Unilateral transfers—
    Government contribution to Colombo Plan1,0001,0001,0001,0001,000
    Personal remittances and other donations and transfers3,4504,6504,3003,4003,850
    Migrants' funds1,9502,5003,1503,2002,900
    Legacies1,1001,3001,5001,3501,400
            Totals7,5009,4509,9508,9509,150
            Total debits277,450248,500304,900325,700326,700
Net Balance
Merchandise transactions f.o.b.32,85065,6008,25011,65024,450
Monetary gold200150   
Transportation−16,750−9,250−18,250−17,750−20,000
Travel−3,000−2,950−3,950−4,150−3,600
Insurance150−350−650650500
International investment income−7,350−6,300−8,950−8,400−10,400
Government transactions−7,650−11,100−8,000−5,350−4,350
Miscellaneous receipts and payments−1,550−3,050−3,150−3,550−5,850
Films750−800−750−1,000900
Inilateral transfers600−3,900−3,500−1,850−1,300
            Balance on current account−4,75028,050−38,950−31,050−22,450

The next table repeats the balance of payments current account on a net basis (by offsetting credits against debits in respect of corresponding groups of items) and by countries or currency regions.

£(N.Z.)000
Current Account (Net)United 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.

1952-53 
Merchandise transactions52,800−29,6502,450508,900−1,75032,850
Non-monetary gold     200 
Transportation−14,9502,300500 −3,100−1,500−16,750
Travel−2,600−30050 50 −3,000
Insurance−200 50   −150
International investment income−6,000−550−800 150−100−7,350
Government transactions−4,600−2,100−1,050 5050−7,650
Miscellaneous250−300−1,000 −400−100−1,550
Films−100150−500   −750
Unilateral transfers1,750−1,850150 −400−250−600
                Balance on current account26,350−32,600−250505,150−3,650−4,750
1953-54
Merchandise transactions61,200−28,5504,7005024,6003,60065,600
Non-monetary gold      150
Transportation−7,150200−250 −1,650−400−9,250
Travel−2,650−250  50 −2,950
Insurance−350100−150  50−350
International investment income−3,400−250−3,100 200250−6,300
Government transactions−7,500−3,400−350 10050−11,100
Miscellaneous−800−750−1,150 −30050−3,050
Films−150100−550   −800
Unilateral transfers450−2,100150 −1,900−500−3,900
                Balance on current account39,650−35,100−7005021,0003,00028,050
1954-55
Merchandise transactions24,500−32,850−4,05035018,1002,2508,250
Non-monetary gold       
Transportation−14,50−150−1,250 −1,800−550−18,250
Travel−3,050−650−100 50 −3,950
Insurance−450−300100   −650
International investment income−7,100−300−1,750 100150−8,950
Government transactions−4,600−3,200−400 60150−8,000
Miscellaneous−400−1,200−1,200 −300−50−3,150
Films−150−100−500   −750
Unilateral transfers450−3,050200 −500−600−3,500
                Balance on current account−5,350−41,800−8,95035015,6001,350−38,950
1955-56
Merchandise transactions29,900−37,850−6,85075022,2503,50011,620
Non-monetary gold       
Transportation−14,45050−800 −1,650−900−17,750
Travel−3,550−400−50 −100−50−4,150
Insurance−60050−50  −50−650
International investment income−5,750−100−2,600 100 −8,400
Government transactions−2,650−2,400−200 50−150−5,350
Miscellaneous−1,100−650−1,200 −55050−3,550
Films−150−150−700   1,000
Unilateral transfers1,250−2,55050 −250−350−1,850
                Balance on current account2,900−44,000−12,40075019,8501,950−31,050
1956-57
Merchandise transactions31,550−39,850−80060032,65040024,450
Non-monetary gold       
Transportation−15,200−750−1,000 −2,0501,000−20,000
Travel−3,000−450  −100−50−3,600
Insurance−300−200    −500
International investment income−6,850−450−3,350 20050−10,400
Government transactions−2,650−1,850300 150−300−4,350
Miscellaneous−2,500−850−2,000 −450−50−5,850
Films−150−150−600   −900
Unilateral transfers1,550−2,100100 −450−400−1,300
                Balance on current account2,450−46,650−7,35060029,950−1,350−22,450

The consolidated capital account shown below summarizes capital transactions with all countries; it consists of the "Total, All Countries" column of the capital account tables on pages 760-765, 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).

£(N.Z.)000
Capital Account1952-531953-541954-551955-561956-57

Minus (—) sign denotes a decrease in assets or liabilities.

Increase in Assets
Long-term capital (private)—
    New Zealand direct investment overseas1,0001,8001,6508001,500
    Other long-term capital movements−4,900 −1,000  
Long-term capital (Government)—
    Government investments−2,5001,7503,7001,450−750
Long-term capital (official and banking institutions)—
    New Zealand Wool Commission3,000150100100150
    Wool credit to Czechoslovakia −1,000   
Short-term capital (Government)—
    Government cash balances3503,5001,950−5,400 
Short-term capital (official and banking institutions)—
    Net overseas assets23,15027,100−34,800−9,4504,650
    Monetary gold200150   
    Other short-term capital movements, including errors and omissions 7,75014,250  
    Total increase in assets20,30042,200−15,150−12,5005,550
Increase in Liabilities
Long-term capital (private)—
    Overseas direct investment in New Zealand9,6501,10012,50012,80013,000
    Other long-term capital movements  4,700−350 
Long-term capital (Government)—
    Public debt 12,45011,600−1,8509,750
    Local authority debt50−150−450  
Short-term capital (Government)—
    Other than cash balances500750150550−300
    Other short-term capital movements, including errors and omissions14,950 2,3505,900 
    Total increase in liabilities25,05014,15023,80018,55028,000
Net Balance
    Balance on capital account−4,75028,050−38,950−31,050−22,450

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, e.g., parcel post, and items which are accounted for elsewhere in the balance of payments (export of gold).

£(N.Z.)000
ExportsUnited KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries
1954-55
Exports f.o.b. (excluding ships' stores and exports to Western Samoa)154,95013,45017,30095038,0508,600233,300
    Plus adjustment for parcel post15020050   400
    Plus adjustment for relief supplies50200  150150550
    Plus exports from Cook islands and Western Samoa1,350150150 50 1,700
    Plus exports of ships' stores and bunkers90050  100 1,050
    Plus sale of vessels and aircraft50     50
Exports (adjusted) f.o.b.157,45014,05017,50095038,3508,750237,050
1955-56
Exports f.o.b. (excluding ships' stores and exports to Western Samoa)166,05014,45022,05080042,50011,150257,000
    Plus adjustment for parcel post10015050  300 
    Plus adjustment for relief supplies 200  150200550
    Plus exports from Cook Islands and Western Samoa1,400150450 50 2,000
    Plus exports of ships' stores and bunkers1,10050  50501,250
Exports (adjusted) f.o.b.168,65015,00022,55080042,75011,400261,100
1956-57
Exports f.o.b. (excluding ships' stores and exports to Western Samoa)162,95016,10022,80070051,80010,200264,450
    Plus adjustment for parcel post10030050   450
    Plus adjustment for relief supplies 200  200250700
    Plus exports from Cook Islands and Western Samoa1,100100250 50 1,500
    Plus exports of ships' stores and bunkers1,35050  100501,550
    Plus sale of vessels and aircraft 250 50  300
Exports (adjusted) f.o.b.165,50017,00023,10075052,15010,500268,950

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.

£(N.Z.)000
ImportsUnited KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries
1954-55
Imports f.o.b. (excluding imports from Western Samoa)131,90046,60021,75060020,2506,400227,450
    Plus imports of vessels and aircraft800     800
    Plus imports into Cook Islands and Western Samoa400450150 501001,250
    Less imports of cinematographic films−150−150−350 −50 −700
Imports (adjusted) f.o.b.132,95046,90021,55060020,2506,500228,800
1955-56
Imports f.o.b. (excluding imports from Western Samoa)137,10052,50029,5005020,3007,800247,300
    Plus imports of vessels and aircraft1,250   100 1,350
    Plus imports into Cook Islands and Western Samoa500500200 1001001,350
    Less imports of cinematographic films−100−150−300   −550
Imports (adjusted) f.o.b.138,75052,85029,4005020,5007,900249,450
1956-57
Imports f.o.b. (excluding imports from Western Samoa)126,90056,45023,90015019,00010,000236,400
    Plus imports of vessels and aircraft6,750   400 7,200
    Plus imports into Cook Islands and Western Samoa450550200 1001001,400
    Less imports of cinematographic films−150−150−200   −500
Imports (adjusted) f.o.b.133,95056,85023,900J5019,50010,100244,500

DIRECTION OF TRADE.—The following table showing exports and imports by areas as percentages of the total reveals the direction of New Zealand's trade for the financial years 1950-51 to 1956-57.

Per Cent
United KingdomOther Sterling CountriesUnited States and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries
Exports (f.o.b.)—
    1950-5164.53.612.10.414.15.3100.0
    1951-5257.74.616.90.316.34.2100.0
    1952-5368.64.611.90.311.531100.0
    1953-5467.35.48.20.415.03.7100.0
    1954-5566.45.97.40.416.23.7100.0
    1955-5664.45.88.60.316.44.4100.0
    1956-5761.56.38.60.3    19.43.9100.0
Imports (f.o.b.)—
    1950-5160.020.69.00.94.74.9100.0
    1951-5254.6    19.912.40.38.24.7100.0
    1952-5354.1    19.612.60.39.04.4100.0
    1953-5457.923.18.60.56.93.0100.0
    1954-5558.120.59.40.38.92.8100.0
    1955-5655.621.211.8 8.23.2100.0
    1956-5754.823.39.86.18.04.1100.0

REGIONAL ACCOUNTS.—The tables on the following pages give detailed figures relating to the overall current and capital accounts in the balance of payments as well as particulars for each of the main countries and currency regions. The accounts are presented for the financial years 1954-55 to 1956-57, and each year's account is divided into current credits (gross), current debits (gross), and the capital account.

Current 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.

Current Debits.—Transportation consists mainly of freight and marine insurance on imports paid to non-resident 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 766—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.

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 investments should be treated as short term or long term. The treatment accorded to the item in the table is largely 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.

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 and 1954-55 would point to definite movements of this type of short-term capital.

REGIONAL BALANCE OF PAYMENTS 1954-55
A. CURRENT ACCOUNT
£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries
Credits
Exports f.o.b.157,45014,05017,50095038,3V8,750237,050
Non-monetary gold       
Transportation6,8501,800250 1501009,150
Travel7501,050200   1,950
Insurance 50100   150
International investment income—
    (a) Income from direct investment overseas4501,300300 501002,150
    (b) Other private investment       
income8501,300350 50 2,550
    (c) Interest on investments of Government and official institutions2,500   150502,700
Government transactions—
    (a) Expenditure by foreign governments in New Zealand15010050 100150550
    (b) New Zealand Government current receipts from overseas50200200   450
Miscellaneous receipts1,900600200 100 2,800
Unilateral transfers—
    (a) Personal remittances and other donations and transfers2,2001,050400 50 3,700
    (b) Immigrants' funds1,100300100 50 1,550
    (c) Legacies850200100 50 1,200
Total credits175,10022,00019,75095039,1009,150265,950
Debits
Imports f.o.b.132,95046,90021,55060020,2506,500228,800
Transportation21,4001,9501,500 1,95065027,400
Travel3,8001,700300 50 5,900
Insurance450350    800
International investment income—
    (a) Income from direct investment in New Zealand6,6002,6502,100 50 11,400
    (b) Other private investment income1,100250300 100 1,750
    (c) Interest on Government debt3,000     3,000
    (d) Interest on local authority debt200     200
Government transactions—
Current Government expenditure4,8003,500650 50 9,000
Miscellaneous payments2,3001,8001,400 400505,950
Films150100500   750
Unilateral transfers       
    (a) Government contribution to Colombo Plan 750   2501,000
    (b) Personal remittances and other donations and transfers1,2002,000150 6003504,300
    (c) Emigrants' funds1,7001,250150 50 3,150
    (d) Legacies800600100   1,500
Total debits180,45063,80028,70060023,5007,800304,900
Balance on current account (surplus + ; deficit -)−5,350−41,800−8,950+350+15,600+1,350−38,950
B. CAPITAL ACCOUNT
£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar Countries
Increase inIncrease inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
Long-term capital (private)—
    (a) Overseas direct investment in New Zealand..8,750..1,400..1,750  
    (b) New Zealand direct investment overseas50..1,250..300   
    (c) Other long-term capital movements−1,050200−50−40050100  
Long-term capital (Government)—
    (a) Government investments2,300..−50..1,450   
    (b) Public debt..10,000..1,600    
    (c) Local authority debt..−450      
Long-term capital (official and banking institutions)—
    (a) New Zealand Wool Commission100       
(b) Wool credit to France        
(c) Wool credit to Czechoslovakia        
Short-term capital (Government)—
    (a) Government cash balances1,700..300..−50   
    (b) Other....150     
Short-term capital and monetary gold (Official and banking institutions)        
    (a) Net overseas assets−34,800       
(b) Monetary gold        
Other short-term capital movements (including errors and omissions)44,850  40,500 8,750350 
Multilateral transfers
Balance on capital account−5,350−41,800−8,950+350
O.E.E.C. CountriesOther CountriesTotal, All Countries
Increase inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
Long-term capital (private)
    (a) Overseas direct investment in New Zealand 600   12,500
    (b) New Zealand direct investment overseas50  1,650  
    (c) Other long-term capital movements −50  −1,150−150
Long-term capital (Government)—
    (a) Government investments   3,700  
    (b) Public debt     11,600
    (c) Local authority debt     −450
Long-term capital (official and banking institutions)—
    (a) New Zealand Wool Commission    100 
    (b) Wool credit to France      
    (c) Wool credit to Czechoslovakia  −1,000 −1,000 
Short-term capital (Government)—
    (a) Government cash balances    1,950 
    (b) Other     150
Short-term capital and monetary gold (Official and banking institutions)      
    (a) Net overseas assets    −34,800 
(b) Monetary gold      
Other short-term capital movements (including errors and omission)16,100 2,250 14,250 
Multilateral transfers
Balance on capital account+15,600+1,250−38,950
REGIONAL BALANCE OF PAYMENTS 1955-56
A. CURRENT ACCOUNT
£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries
Credits
Exports f.o.b.168,65015,00022,55080042,75011,400261,100
Non-monetary gold       
Transportation9,5001,450200 25015011,550
Travel8501,350250   2,450
Insurance 20050   150
International investment income—
    (a) Income from direct investment overseas5501,150200   1,900
    (b) Other private investment income6501,200−50  1,800 
    (c) Interest on investments of Government and official institutions3,050   150 3,200
Government transactions—
    (a) Expenditure by foreign governments in New Zealand150150100 15050600
    (b) New Zealand Government current receipts from overseas450200150   800
Miscellaneous receipts2,700950300 50 4,000
Unilateral transfers—
    (a) Personal remittances and other donations and transfers2,2501,000350 50 3,650
    (b) Immigrants' funds1,60045050 50 2,150
    (c) Legacies95030050   1,300
Total credits191,35023,40024,10080043,45011,600294,650
Debits
Imports f.o.b.138,75052,85029,4005020,5007,900249,450
Transportation23,9501,4001,000 1,9001,05029,300
Travel4,4001,750300 100506,600
Insurance600150  50800 
International investment income—
    (a) Income from direct investment in New Zealand5,5502,3502,950 50 10,950
    (b) Other private investment income900100−200   800
    (c) Interest on Government debt3,250     3,250
    (d) Interest on Local Authority debt300     300
Government transactions—
Current Government expenditure3,2502,750450 1002006,750
Miscellaneous payments3,8001,6001,500 600507,550
Films150150700   1,000
Unilateral, transfers—
    (a) Government contribution to Colombo Plan 1,000    1,000
    (b) Personal remittances and other donations and transfers1,3001,400100 2503503,400
    (c) Emigrants' funds1,4501,450200 100 3,200
    (d) Legacies800450100  1,350 
Total debits188,45067,40036,5005023,6009,650325,700
Balance on current account (surplus + ; deficit -)+2,900−44,000−12,400+ 750+19,850+1,950−31,050

The following diagram shows New Zealand's balance of payments by Monetary Areas for the five years 1952-53 to 1956-57.

REGIONAL BALANCE OF PAYMENTS 1955-56—continued
B. CAPITAL ACCOUNT
£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar Countries
Increase inIncrease inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
Long-term capital (private)—
(a) Overseas direct investment in New Zealand 9,700 1,750 1,500  
(b) New Zealand direct investment overseas50 350 350   
(c) Other long-term capital movements−1,4503,600−400−1,250−250200  
Long-term capital (Government)—
(a) Government investments1,450       
(b) Public debt −2,600 150    
(c) Local authority debt        
Long-term capital (official and banking institutions)— 
(a) New Zealand Wool Commission100       
(b) Wool credit to France        
Short-term capital (Government)—
(a) Government cash balances−5,000 −400     
(b) Other  550     
Short-term capital and monetary gold (official and banking institutions)—
(a) Net overseas assets−9,450       
(b) Monetary gold        
Other short-term capital movements including errors and omissions28,500  42,350 10,800750 
Multilateral transfers
    Balance on capital account+2,900−44,000−12,400+750
Long-term capital (private)—
(a) Overseas direct investment in New Zealand −100   12,800
(b) New Zealand direct investment overseas  −50 800 
(c) Other long-term capital movements−50   −2,1502,550
Long-term capital (Government)—
(a) Government investments    1,450 
(b) Public debt     −1,850
(c) Local authority debt      
Long-term capital (official and banking institutions)—
(a) New Zealand Wool Commission    100 
(b) Wool credit to France      
Short-term capital (Government)—
(a) Government cash balances    −5,400 
(b) Other     550
Short-term capital and monetary gold official and banking institutions)—
(a) Net overseas assets    −9,450 
(b) Monetary gold      
Other short-term capital movements including including errors and omissions19,800 1,900  2,350
Multilateral transfers  
Balance on capital account+19,850+1,950−31,050
REGIONAL BALANCE OF PAYMENTS 1956-57
A. CURRENT ACCOUNT
£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar CountriesO.E.E.C. CountriesOther CountriesTotal, All Countries
Credits
Export f.o.b.165,50017,00023,10075052,15010,500268,950
Non-monetary gold       
Transportation8,600650250 250509,800
Travel1,0001,750350   3,100
Insurance350 −50   400
International investment income—
(a) Income from direct investment overseas4501,300−50  501,750
(b) Other private investment income7501,050  200 2,000
(c) Interest on investment of Government and official institutions3,650   150 3,800
Government transactions—
(a) Expenditure by foreign governments in New Zealand50300250 15050800
(b) New Zealand Government current receipts overseas200200550   950
Miscellaneous receipts3,1001,150400 200 4,850
Unilateral transfers—
(a) Personal remittances and other donations and transfers2,3501,050350 50 3,800
(b) Immigrants' funds1,70055050 100 2,400
(c) Legacies1,150400100   1,650
Total credits188,85025,40025,40075053,25010,650304,250
Debits
Imports f.o.b.133,95056,85023,90015019,50010,100244,500
Transportation23,8001,4001,250 2,3001,05029,800
Travel4,0002,200350 100506,700
Insurance65020050   900
International investment income—
(a) Income from direct investment in New Zealand6,1502,3003,200 150 11,750
(b) Other private investment2,050500    2,600
(c) Interest on Government debt3,300 100   3,400
(d) Interest on local authority debt200     200
Government transactions—
Current Government expenditure2,9002,350500  3506,100
Miscellaneous payments5,6002,0002,400 6505010,700
Films150150600   900
Unilateral transfers—
(a) Government contribution to Colombo Plan 1,000    1,000
(b) Personal remittances and other donations and transfers1,3501,500100 5004003,850
(c) Emigrants' funds1,4001,150250 100 2,900
(d) Legacies90045050   1,400
Total debits186,40072,05032,75015023,30012,000326,700
            Balance on current account (surplus + ; deficit -)+2,450−46,650−7,350+600+29,950−1,350−22,450
B. CAPITAL ACCOUNT
£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaOther Dollar Countries
Increase inIncrease inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
Long term capital (private)—
(a) Overseas direct investment in New Zealand 8,000 3,400 1,400  
(b) New Zealand direct investment overseas900 500     
(c) Other long-term capital movements−1,600−1,700−450−900100100  
Long-term capital (Government)—
(a) Government investments−750       
(b) Public debt 5,000 300 4,450  
(c) Local authority debt        
Long-term capital (Official and banking institutions)—
(a) New Zealand Wool Commission150       
(b) Wool credit to France        
Short-term capital (Government)—
(a) Government cash balances−200 200     
(b) Other  −300     
Short-term capital and monetary gold (Official and banking institutions)—
(a) Net overseas assets4,650       
(b) Monetary gold        
Other short-term capital movements including errors and omissions}10,600  44,400 1,300600 
Multilateral transfers        
Balance on capital account+2,450−46,650−7,350+600
O.E.E.C. CountriesOther CountriesTotal, All Countries
Increase inIncrease inIncrease in
AssetsLiabilitiesAssetsLiabilitiesAssetsLiabilities
Long-term capital (private)—
(a) Overseas direct investment in New Zealand 150   13,000
(b) New Zealand direct investment overseas  100 1,500 
(c) Other long-term capital movements    −2,150−2,500
Long-term capital (Government)—
(a) Government investments    −750 
(b) Public debt     9,750
(c) Local authority debt      
Long-term capital (Official and banking institutions)—
(a) New Zealand Wool Commission    150 
(b) Wool credit to France      
Short-term capital (Government)—
(a) Government cash balances      
(b) Other     −300
Short-term capital and monetary gold (Official and banking institutions)—
(a) Net overseas assets   4,650  
(b) Monetary gold      
Other short-term capital movements including errors and omissions30,100  1,450 5,900
Multilateral transfers  
Balance on capital account+29,950−1,350−22,450

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 investment 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, charging up services rendered by the parent company, 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 760-765).

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.

Overseas Private Direct Investment in New Zealand.—Data on overall private direct investment in New Zealand are shown in the following table. The figures are totals reflecting investment changes in firms resident in New Zealand and controlled from overseas irrespective of their legal organization. They include therefore subsidiaries incorporated in New Zealand, companies incorporated in New Zealand which have a majority of shareholders resident overseas or are controlled by individuals resident overseas, and New Zealand branches of overseas companies.

The figures shown in the country or regional area columns refer to the country of incorporation of the New Zealand firm's parent company, head office, or associate company from which the investment flow originates, or the country of residence of individual shareholders who either individually or collectively hold a majority interest in the New Zealand company or who exercise de facto control.

£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaO.E.E.C. CountriesTotal, All Countries
* Provisional estimates.
1952-53
Form of investment increase—
    Increase in paid-up capital5502201,560 2,330
    Increase in net branch assets and inter-company indebtedness2,9404101,540204,910
    Increase in reserves1,290420720 2,430
            Total increase in investment4,7801,0503,820209,670
1953-54
Form of investment increase—
    Increase in paid-up capital1,070360 401,470
    Increase in net branch assets and inter-company indebtedness−1,720−1,260−980−150−4,110
    Increase in reserves1,8004201,500 3,720
            Total increase in investment1,150−480520−1101,080
1954-55
Form of investment increase—
    Increase in paid-up capital64027040 950
    Increase in net branch assets and inter-company indebtedness6,060−609105407,450
    Increase in reserves2,0401,210820404,110
            Total increase in investment8,7401,4201,77058012,510
1955-56
Form of investment increase—
    Increase in paid-up capital2,240350280 2,870
    Increase in net branch assets and inter-company indebtedness5,040240200−1405,350
    Increase in reserves2,4001,1401,020304,590
            Total increase in investment9,6801,7301,500−11012,810
1956-57*
Form of investment increase—
    Increase in paid-up capital3,080590501403,860
    Increase in net branch assets and inter-company indebtedness2,7201,730450−804,820
    Increase in reserves2,2001,1009001004,300
            Total increase in investment8,0003,4201,40016012,980

The graph now presented shows changes in the overseas direct investment in New Zealand for the five years 1952-53 to 1956-57.

Investment in New Zealand Subsidiaries of Overseas Companies.—The table below provides information on subsidiaries only; the figures shown here form part of the totals in the preceding table. The parent company's or associate company's country of incorporation or residence determines the country or regional area column.

£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaO.E.E.C. CountriesTotal, All Countries
* Provisional estimates.
1952-53
Form of investment increase—
    Increase in holdings of paid-up capital5502201,560 2,330
    Increase in intercompany indebtedness4404301,430402,340
    Increase in reserves1,290420720 2,430
            Total increase in investment2,2801,0703,710407,100
1953-54
Form of investment increase—
    Increase in holdings of paid-up capital1,070360 401,470
    Increase in intercompany indebtedness−1,280−100−900−150−2,430
    Increase in reserves1,8004201,500 3,720
            Total increase in investment1,590680600−1102,760
1954-55
Form of investment increase—
    Increase in holdings of paid-up capital64027040 950
    Increase in intercompany indebtedness1,61070870902,640
    Increase in reserves2,0401,210820404,110
            Total increase in investment4,2901,5501,7301307,700
1955-56
Form of investment increase—
    Increase in holdings of paid-up capital2,240350280 2,870
    Increase in intercompany indebtedness1,570220401301,960
    Increase in reserves2,4001,1401,020304,590
            Total increase in investment6,2101,7101,3401609,420
1956-57*
Form of investment increase—
    Increase in holdings of paid-up capital,080590501403,860
    Increase in intercompany indebtedness−2,970370400170−2,030
    Increase in reserves2,2001,1009001004,300
            Total increase in investment2,3102,0601,3504106,130

New Zealand Subsidiaries of Overseas Companies: Dividends.—The table gives an account of dividend appropriations (dividends declared) and remittances of dividends to overseas shareholders. Dividends declared are part of the item "Income from direct investment in New Zealand" on the debit side of each year's balance of payments account where, together with undistributed profits, they account for all subsidiary profits accruing to overseas shareholders. The difference between dividends declared and dividends remitted plus undistributed profits is entered into the capital account and forms part of the figures shown in the tables on pages 766-768, from which it is ultimately transferred into the capital account of the balance of payments.

£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaO.E.E.C. CountriesTotal, All Countries
Dividends Declared
1952-53370440720101,540
1953-547803901,170502,390
1954-555403701,240102,160
1955-566904601,880103,040
1956-571,2505002,280204,050
            Totals, 1952-53 to 1956-573,6302,1607,29010013,180
Dividends Remitted
1952-53290370710 1,370
1953-54670330920401,960
1954-555302901,140101,970
1955-565602801,800 2,660
1956-579103702,150.03,440
            Totals, 1952-53 to 1956-572,9601,6406,7206011,400

New Zealand Branches of Overseas Companies.—Net (after tax) earnings and remittances of such earnings and annual increases in investments by overseas companies in their New Zealand branches are described in the table which follows. Net branch earnings, together with dividends declared and undistributed profits of subsidiaries, account for the whole of "Income from direct investment in New Zealand" as shown amongst the debit items of the current balance of payments. The difference between net (after tax) earnings and remittances of such earnings are part of the third item in the following table (increase in net branch assets and other investments) and is a capital item; it is again repeated in the table on pages 766-767 and finally transferred from there to the balance of payments capital account.

£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaI O.E.E.C. CountriesTotal, All Countries
1952-53
Net earnings of branches (after tax)2,52081080103,420
Net earnings remitted2,14045040202,650
Increase in net branch assets and other investments2,500−20110−202,570
1953-54
Net earnings of branches (after tax)3,0701,150130104,360
Net earnings remitted7601,15040201,970
Increase in net branch assets and other investments−440−1,160−80 −1,680
1954-55
Net earnings of branches (after tax)4,0401,07030105,150
Net earnings remitted72071050101,490
Increase in net branch assets and other investments4,450−130404504,810
1955-56
Net earnings of branches (after tax)2,46077070103,310
Net earnings remitted1,40075070102,230
Increase in net branch assets and other investments3,47020160−2703,390
1956-57
Net earnings of branches (after tax)2,68070030103,420
Net earnings remitted1,20034090101,640
Increase in net branch assets and other investments5,6901,36050−2506,850

Investment by New Zealand Companies Overseas.—The following table presents the converse picture of those immediately preceding—viz., direct investment income and capital investment by New Zealand companies in their overseas subsidiaries and branches. The net earnings (after overseas taxation) series is again repeated in the item "Income from direct investment overseas" on the credit side of the current balance of payments account, and the combined figure for investment in subsidiaries and branches is transferred to each country (regional) area column in the capital account (item "New Zealand direct investment overseas").

£(N.Z.)000
United KingdomOther Sterling CountriesU.S.A. and CanadaO.E.E.C. CountriesOther CountriesTotal, All Countries
* Provisional estimates.
1952-53
Net earnings (after overseas taxation)3001,01035010−301,640
Investment—
    Subsidiaries−90805080 120
    Branches60660120 60900
            Total increase in investment−3074017080601,020
1953-54
Net earnings (after overseas taxation)5001,1708080901,920
Investment—
    Subsidiaries74080−6040 800
    Branches460570−170 120980
            Total increase in investment1,200650−230401201,780
1954-55
Net earnings (after overseas taxation)4401,29028050802,140
Investment—
    Subsidiaries1090−5050 100
    Branches401,150370 101,570
            Total increase in investment501,24032050101,670
1955-56
Net earnings (after overseas taxation)5301,160210 301,930
Investment—
    Subsidiaries−24040−30  −230
    Branches290330390 301,040
            Total increase in investment50370360 30810
1956-57*
Net earnings (after overseas taxation)4601,320−40 501,790
Investment—
    Subsidiaries450−30−20  400
    Branches43052040 1101,100
            Total increase in investment88049020 1101,500

Chapter 30. SECTION 30—GENERAL GOVERNMENT FINANCE

30 A—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 has been 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. 1 [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, docs 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 1957: 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, and National Roads Fund.

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 1955-56 AND 1956-57.—The following table gives a concise statement of the whole of the financial transactions comprised in the Public Account for the years 1955-56 and 1956-57, the source being parliamentary paper B. 6, 1957.

ReceiptsYear Ended 31 MarchExpenditureYear Ended 31 March
1956195719561957

* Expenditure from Public Works Account.

† Transfer from National Development Loans Account.

‡ Sale or purchase of investments by Public Account.

§ Now met from Consolidated Fund, vote "Education".

|| Changes in cash balances only.

Taxation—Social services125.3135.6
    Income-tax90.798.1Defence24.426.2
    Social security charge59.961.6Administration, etc.23.625.1
    Customs30.128.9Stabilization11.812.4
    Sales tax23.422.3Maintenance of works, etc.10.613.2
    Stamp and death duties15.215Development of industry14.516.7
    Other taxation7.98.3Interest and management of the public debt21.823.4
            Totals, taxation227.2234.2 
Interest9.211.7Transfer for repayment of the public debt12.712
Profits from trading2.94.3Transfer to Defence Fund, etc.  
Departmental receipts18.218Transfer to Public Works Account7.5 
             Totals, Consolidated Fund and Social Security Fund expenditure252.2264.6
 Totals, Consolidated Fund and Social Security Fund receipts257.5268.2
National Roads Fund receipts18.919.8 
 276.4288 
 Works and other capital expenditure—
 Housing construction*10.410
 School buildings*6.1§
Receipts from borrowing and sale of investments (less repayments)—  Forest development*1.82
Borrowing in New Zealand—  Electric supply1214.5
National Savings2-2.5Land Settlement11.5
Post Office Savings Bank615.5Railways*5.85.3
Other borrowing6.614.6State Coal  
 14.627.6Post Office4.75
 Murupara Pulp and Paper Scheme*2.71.6
 State Advances Corporation11.410.5
Overseas borrowing—Other*4.52.8
    London and Australia-2.05.3 
United States 4.5 
        Totals, borrowing12.637.4Totals, works, etc.60.453.2
Other capital receipts—Other expenditure—  
Transfers from Consolidated Fund for—12.712Defence Fund1.50.7
Debt repayment12.712National Roads Fund19.521.9
Public Works Account13.71.3 81.475.8
Sinking Fund contributions etc.4.73.8Charges and expenses of repaying loans 0.7
Miscellaneous capital receipts4.54.4Purchase of miscellaneous investments not included above3.74
 35.621.5 
            Totals337.3345.1Totals324.6346.9
 Over-all cash surplus or deficit—
Excess receipts of trading accounts, etc., within the Public Account1.7-5.6Fixed deposits with trading banks in New Zealand-14.6 
 Fixed deposits: London-5 
 Increase in cash (and imprest) balances||18.6-3.8
  -11-3.8
            Grand totals326.3341.3Grand totals326.3341.3

NOTE.—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.

During 1956-57 receipts from taxation, interest, profits, departmental receipts, and National Roads Fund receipts amounted to £288 million, or about £4 million more than in 1955-56. The main increases were £7.4 million in income tax and £1.7 million in social security charge. Borrowings after provision was made for debt repayments were £37.4 million, an increase of £24.8 million. Sundry capital receipts and transfers amounted to £21.5 million, while trading accounts expended £5.6 million more than was received, compared with excess of receipts of £1.7 million in the previous year. Total receipts were therefore £341.3 million.

Payments and transfers from the Consolidated Fund and Social Security Fund were £264.6 million, £12.4 million higher than in 1955.56, an increase in social services expenditure of £10.3 million being mainly responsible for the increase. Defence Fund and National Roads Funds expenditure amounted to £22.6 million. Works and other capital expenditure cost £53.2 million, and miscellaneous purchases of investments and expenses of repaying loans amounted to £4.7 million; the total expenditure therefore was £345.1 million, or £3.8 million more than the receipts.

The cash deficit of £3.8 million in 1956-57 compares with a deficit of £11 million in 1955-56.

ESTIMATES OF RECEIPTS AND EXPENDITURE FOR 1957-58.—The following table supplies a composite account embracing the Consolidated Fund and the Social Security Fund, showing the estimated receipts and payments for 1957-58.

Estimated Receipts1957-58Estimated Payments1957-58
Consolidated Fund
Taxation—Interest and debt repayment33.7
    Customs30Permanent appropriations5.3
    Beer duty7Annual appropriations— 
    Sales tax22.8Stabilization13
    Film-hire tax0.1Defence24.8
    Stamp duties15.3Development of primary and secondary industries17
    Land tax1.4Social services (excluding transfer to Social Security Fund)66.8
    Income tax98.7Other votes48.1
 175.3Supplementary estimates2
Other receipts—  
    Interest11.8  
    Trading profits5.1  
    Departmental17.6  
            Total209.8Total210.7
Social Security Fund
Social security charge65.6Administration and special assistance2.4
Transfer from Consolidated Fund14Medical and hospital benefits17.8
Miscellaneous0.3Monetary benefits59.6
        Total79.9Total79.8

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.

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
1955191,216,241184,376,3256,839,91613,980,6181,802,980
1956197,433,300193,282,1294,151,17111,291,8726,839,916
1957206,276,330202,950,6303,325,70010,466,4024,151,171

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 and to the National Roads Fund. Full details of taxation receipts are contained in Section 30B.

£
Source1954-551955-561956-57
Taxation—
    Customs27,968,86530,065,57128,937,751
    Beer duty6,208,3596,567,3026,753,521
    Sales tax22,621,11923,443,49822,280,915
    Film-hire tax135,959142,021147,218
    Stamp duties6,905,5856,791,1726,889,389
    Death (including gift) duties9,385,1458,483,8108,268,365
    Land tax966,6321,227,6561,399,837
    Income tax88,316,88090,697,96598,117,734
Interest on capital liability—
    Electric supply3,179,9723,592,0014,592,178
    Housing account1,156,6791,258,4581,352,902
    Housing construction115,250107,687122,031
    Post and Telegraph1,326,1031,524,3071,964,607
    Land settlement1,400,0001,400,0001,450,000
    Maori land development, etc.199,330225,556258,192
    New Zealand National Airways Corporation42,00042,00042,000
    New Zealand Railways  716,758
Interest on other public moneys958,767996,6451,055,376
Profits on trading undertakings3,143,9462,906,3624,254,822
Departmental receipts17,185,65017,961,28917,672,735
            Totals191,216,241197,433,300206,276,330

Compared with 1955-56, receipts for 1956-57 showed an increase of £8.8 million, or 4.5 per cent.

Principal changes were increases of £7.4 million in income tax, £2.4 million in interest on capital liability, and £1.2 million in profits on trading undertakings, and decreases of £1.2 million in sales tax and £1.1 million in Customs taxation.

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.

£
Head1954-551955-561956-57
* Expenditure met from vote "Maintenance of Public Works and Services".
Permanent appropriations—
    Civil List143,446162,395171,608
    Debt services—
        Interest20,014,41721,000,62722,728,532
        Amortization12,315,86512,702,81012,006,709
        Administration and management1,033,250830,309673,318
    Superannuation (subsidy and contribution)4,305,0003,602,0003,864,000
    Contribution to National Roads Fund1,000,000**
    Other items430,808589,191731,099
            Totals, permanent appropriations39,242,78638,887,33240,175,265
Annual appropriations—
    Legislative216,237245,317246,256
    Prime Minister's Office19,99321,54020,532
    External Affairs2,070,4502,153,8922,191,975
    Finance—
        Treasury298,948330,351345,182
        Stabilization12,923,12611,824,95412,350,861
        Customs434,935476,403497,915
        Inland Revenue1,295,9641,372,4981,508,451
        Audit194,310203,637216,552
            Totals, finance15,147,28314,207,84314,918,961
    General administration—
        Public Service Commission106,142119,492130,261
        Internal Affairs3,171,6383,554,3093,088,707
        Island Territories1,161,923992,9071,196,092
        Printing and Stationery936,0951,106,8141,169,216
        Marine519,445584,765604,963
        Labour1,792,3941,925,0652,039,124
        Maori Affairs797,625887,182908,226
        Valuation402,264396,302412,870
        Statistics145,621166,260350,055
        Rehabilitation1,145,9091,127,2891,064,680
            Totals, general administration10,179,05610,860,38510,964,194
    Law and order—
        Justice1,560,2301,440,4811,599,794
        Crown Law21,85325,56727,700
        Police1,778,2842,032,5842,630,089
            Totals, law and order3,360,3673,498,6324,257,584
    Defence—
        Navy6,019,7485,817,3636,467,986
        Army7,240,1887,611,5677,678,000
        Air8,947,0168,758,5009,330,169
        Defence Construction and Maintenance1,891,6142,205,7062,745,114
            Totals, defence24,098,56624,393,13626,221,270
    Maintenance—
    Maintenance of Public Works and Services9,043,32210,558,75613,154,578
Development of primary and secondary industries—
        Lands and Survey1,882,3191,944,9021,976,709
        Forest Service2,137,0082,202,0302,436,264
        Agriculture3,801,5554,001,5854,951,204
        Industries and Commerce393,371400,711432,031
        Tourist and Publicity1,362,8841,509,6411,520,915
        Scientific and Industrial Research1,149,3781,212,6581,404,298
        Mines119,172121,860292,686
        Transport568,678567,277587,369
        Civil Aviation and Meteorological Services2,202,7562,552,7273,077,054
            Totals, development of primary and secondary industries13,617,12114,513,39116,678,531
Social services—
        Health5,195,8535,797,3156,346,558
        Subsidies to Hospital Boards10,726,67610,704,31412,895,674
        Education22,886,08627,455,70831,826,068
        War and other pensions8,013,0508,444,5218,927,659
        Payment to Social Security Fund14,000,00014,000,00014,000,000
            Totals, social services60,821,66506,401,85873,995,958
            Totals, annual appropriations138,574,060146,854,750162,649,838
Unauthorized expenditure59,47940,047125,528
Transfer to Public Works Account2,000,0007,500,000 
Transfer to Defence Fund1,000,000  
Transfer to National Development Loans Account3,500,000  
            Grand totals18,376,325193,282,129202,950,630

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], 1957).

Total expenditure in 1956-57 showed an increase of £8.9 million, or 4.8 per cent. Items of expenditure which contributed materially to the increase were education, £4.6 million, maintenance of public works and services, £1.5 million, and debt services, £1.2 million, and transfers to other accounts, £1 million, these being partly offset by a reduction in stabilization of £1.1 million.

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 are recorded in the National Roads Fund.

The Public Works Account bears the cost of all major development works apart from Stats hydro-electric, land settlement, railway improvements, telegraph extension, roads, and, from April 1956, education buildings. 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.

£
1954-551955-561956-57
* Includes amounts transferred from Consolidated Fund: Education (from vote "Education"), £2,400,000 in 1954-55 and £4,800,000 in 1955-56; Public buildings, £1,800,000 in 1954-55, £1,250,000 in 1955-56, and £1,250,000 in 1956-57 (from vote "Maintenance of Public Works and Services"); and Forest development, £100,000 in 1954-55, £100,000 in 1955-56 and £100,000 in 1956-57 (from vote "Forest Service").
Department of Education2,418,550*4,830,650* 
Forest development1,372,483*1,453,107*1,600,775*
Housing construction2,112,3242,086,2041,607,474
Irrigation, water supply, and drainage33,43843,249537
Public buildings1,806,946*1,264,836*1,258,827*
Railway construction37,32134,62717,389
Roads, etc.126,65596,507 
Soil conservation and rivers control50,40053,057 
Transfers from National Development Loans Account13,000,0001,000,0007,500,000
Transfers from Consolidated Fund—
    Surplus from previous year1,802,9796,839,9174,151,171
    During year2,000,0007,500,000 
Repayment of loans of capital advances, and recoveries of capital moneys (various)31,13326,8525,632
Miscellaneous222,760128,802215,305
            Totals25,014,98925,357,80816,357,110

Payments.—Particulars of payments from the account for the three financial years 1954-55 to 1956-57 are now given.

£
1954-551955-561956-57

* Expenditure now met from Consolidated Fund, vote "Public Works and Services".

†Expenditure now met from Consolidated Fund, vote "Education".

Forest development1,575,1421,759,6721,971,971
Housing construction9,350,84210,399,0799,954,739
Irrigation, water supply, and drainage355,556386,540*
Public buildings1,225,9232,030,5722,822,200
Educational buildings5,089,9166,065,358
Railway construction1,119,513780,13938,839
Roads, etc.812,598842,349*
Soil conservation and rivers control621,744653,257*
Murupara development3,137,3652,442,8401,629,712
Other40118,950 
            Totals23,289,00025,378,75616,417,461

For the three years concerned, balances at the end of the year were: 1954-55, £4,252,938; 1955-56, £4,231,990; and 1956-57, £4,171,640.

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.

NATIONAL ROADS FUND.—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.

Receipts and payments of the Fund for the three latest years were as follows.

£
1954-551955-561956-57
Receipts
Transfer from Deposit Account889,406  
Highways revenue16,082,40317,499,06518,421,810
Contribution from Consolidated Fund1,000,0001,000,0001,000,000
Miscellaneous212,078398,799350,723
Interest34,08441,75023,583
                Totals18,217,97118,939,61419,796,116
Payments
Highways maintenance3,905,4314,347,2314,921,930
Highways construction6,268,3149,613,38310,446,481
Payments to local authorities3,441,3593,995,5524,633,105
Administration and general expenses1,151,0081,558,7541,947,296
Unauthorized expenditure 2,000 
            Totals14,766,11219,516,92021,948,812

The balance of this account at the end of March 1955 was £3,451,859, at the end of March 1956 £2,874,553, and at the end of March 1957, £721,176.

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 Electric Supply Account for the last three years were as follows.

£
1954-551955-561956-57
Receipts
Transfer from National Development Loans Account12,000,00012,000,00014,500,000
Sales of electrical energy and miscellaneous receipts9,259,5899,679,30310,076,596
Other3,1306,7004,306
            Totals21,262,71921,686,00324,580,902
Payments
Development of water power, etc.16,601,87416,776,08020,313,064
Interest on capital liability3,179,9723,592,0004,592,178
Debt redemption1,010,895653,567633,533
Taxation—   
    Income tax508,929510,915596,059
    Social security charge88,08488,428103,164
    Subsidy to Government Superannuation Fund41,09740,07743,459
Unauthorized expenditure 557333
            Totals21,430,85121,661,62426,281,790

The balances in the account at the end of each of the three years were: 1954-55, £2,083,786; 1955-56, £2,108,164; and 1956-57, £407,275.

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 Lend 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 1954-55 to 1956-57 is now given.

£
1954-551955-561956-57
Receipts
Transfer from National Development Loans Account1,000,0001,000,0001,500,000
Department of Lands and Survey—
    Capital receipts1,181,3651,027,9891,024,209
    Rents, interest, royalties, etc.1,155,0731,184,2201,220,839
    Land development4,623,9004,357,1683,671,623
    Miscellaneous receipts16,22917,57941,853
    Transfer from Consolidated Fund550,000450,000450,000
Department of Maori Affairs—
    Receipts from land-development schemes1,653,3451,526,7811,512,367
    Repayment of advances under Maori Housing Act429,009556,406619,452
    Receipts from rehabilitation of Maori ex-servicemen197,052196,735198,453
    Receipts from other activities47,54364,14348,506
    Transfer from Consolidated Fund206,781203,796205,411
Interest on investments23,89920,3514,578
            Totals11,084,19610,605,16810,497,291
Payments
Crown lands5,137,5045,992,3365,903,453
Settlement of ex-servicemen
Maori-land settlement3,041,5283,480,1143,489,109
Interest on loans and capital liability1,599,3301,625,5561,708,192
Payment in respect of land and improvements acquired for disposal under Land Act 19481,208,595807,4031,260,797
Other66,915137,673151,420
            Totals11,053,87212,043,08212,512,971

The balances in the account for each of the three years were: 1954-55, £3,835,795; 1955-56, £2,397,880; and 1956-57, £382,201.

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.

Working Railways Account.—Receipts and payments of the Working Railways Account during the last three years were as follows.

£
1954-551955-561956-57
Receipts
Railway revenue30,692,09331,657,97332,181,464
Miscellaneous receipts694,456782,186989,431
Transfer from National Development Loans Account5,200,0005,000,0005,300,000
Interest30,77596,161121,144
            Totals36,617,32437,536,32038,592,039
Payments
Annual appropriations—
    Working Railways33,624,46434,069,34738,811,051
Interest on capital liability  716,758
Subsidy to Government Superannuation Fund333,038346,141362,190
            Totals33,957,50234,415,48839,889,999

At the end of each year the following balances remained in the account: 1954-55, £5,390,399; 1955-56, £8,511,231; and 1956-57, £7,213,271.

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.

£
1954-551955-561956-57
* Includes miscellaneous receipts.
Receipts
Rents, royalties, sale of coal, etc.6,798,7536,817,1627,193,303*
Transfer from National Development Loans Account200,000  
Housing and other loans: repayment of principal and interest40,64345,970 
Sales of stores and equipment44,45419,285 
Miscellaneous receipts34,76843,101 
Totals7,118,6186,925,5187,193,303
Payments
Annual appropriations—
    State Coal Mines6,746,0356,727,9177,549,063
    Transfer to Loans Redemption Account for redemption of securities 145,576 
    Subsidy to Government Superannuation Fund7,4177,6758,408
    Unauthorized expenditure  3,986
            Totals6,753,4526,735,5927,707,033

Balances at the end of March for years 1954-55 to 1956-57 amounted to £386,244, £576,170, and £62,440 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.

£
1954-551955-561956-57
Receipts
Social security charge56,175,15159,910,71761,635,224
Miscellaneous receipts20,05625,82637,266
Contribution from Consolidated Fund14,000,00014,000,00014,000,000
Interest35,09377,43280,738
Deserted wives' maintenance (recoveries)80,59692,67492,233
Recoveries on account reciprocity arrangements3,2144,33211,058
            Totals70,314,11074,110,98175,856,519
Payments
Administration expenses and emergency benefits1,665,9971,874,2172,163,127
Medical, hospital, etc., benefits12,588,92415,547,15416,772,712
Monetary benefits52,901,48455,457,93456,659,935
Balance of maintenance moneys25267115
Reciprocity benefits7,2064,22110,228
            Totals67,163,63672,883,79375,606,117

The balances remaining in this account for the three years were as follows: 1954-55, £15,578,640; 1955-56, £16,805,828; and 1956-57, £17,056,230.

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.

£
1954-551955-561956-57
Receipts
Stock issued39,663,96719,743,24535,184,879
Transfer from Consolidated Fund3,500,000  
Repayment of advance to Tasman Pulp and Paper Co. Ltd.1,000,0005,135,172 
Advance subscriptions  359,340
            Totals44,163,96724,878,41735,544,219
Expenditure
Public Works Account13,000,0001,000,0007,500,000
Electric Supply Account12,000,00012,000,00014,500,000
Land Settlement Account1,000,0001,000,0001,500,000
State Coal Mines Account200,000  
Working Railways Account5,200,0005,000,0005,300,000
Post Office Account6,000,0004,700,0005,000,000
Calls on shares in Dominion Salt Ltd.25,000  
Application moneys and calls in advance on shares in Tasman Pulp and Paper Co. Ltd.1,000,000  
Loan to Tasman Pulp and Paper Co. Ltd.6,100,0005,385,172 
Fully paid shares in Geothermal Development Ltd.20,000  
Transfer to Deposits Account on account Geothermal Development Ltd. 579,950 
            Totals44,545,00029,665,12233,800,000

The balance in the account at the end of each year was as follows: 1954-55, £7,190,659: 1955-56, £2,403,955; and 1956-57, £4,148,174.

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 1954-55 to 1956-57 amounted to £1,161 907, £1,280,563, and £1,441,388, respectively. Interest on investments amounted to £327,630, £382,376, and £436,752. Payments during the same years amounted to £81,214, £80,662 and £173 823, leaving balances of £12,471,752, £14,079,602, and £15,792,855 in the Fund at 31 March 1955, 1956, and 1957, 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, £3,500,000 in 1953-54, and £3,770,000 in 1954—55, together with interest on investments totalling £3,063,940 to 31 March 1957, and a transfer of £12,079,094, being the balance in the former War Expenses Account. After expenditure of £5,420,802, consisting of £4,413,683 on service expenditure in Korea, £1,000,000 in 1955-56 as an advance payment on a naval vessel, and £7,119 other expenditure, a balance of £30,282,231 was left in the Fund at 31 March 1957.

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. These wartime taxes have either been abolished or the rates considerably reduced and later incorporated in the normal tax structure. 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 were 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
AmountPer Head of Mean PopulationAmount
TotalPercentage of Total Taxation (All Sources)TotalPer Head or Mean Population
 ££s.d. ££s.d.
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
1955-56150,608,6827001061.5244,828,777113172
1956-57159,752,9587216263.2252,851,763115410

Excluding the special taxation levied for social security purposes and for the National Roads Fund, taxation revenue in 1956-57 amounted to £172.8 million, an increase of £5.4 million on the 1955-56 figure. Of this amount £98.1 million, or 57 per cent compared with 54 per cent in 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
19531954195519561957
£££££
* Now included under National Roads Fund.
Consolidated Fund—
    Customs revenue27,273,20626,343,30327,968,86530,065,57128,937,751
    Beer duty5,466,7015,833,8716,208,3596,567,3026,753,521
    Highways taxation4,908,4925,328,922***
    Land tax1,315,1361,615,372966,6321,227,6561,399,837
    Income tax78,701,37680,799,71988,316,88090,697,96598,117,734
    Sales tax21,991,70321,133,74022,621,11923,443,49822,280,915
    Death duties8,255,3687,871,7868,475,6697,750,9867,624,902
    Gift duties512,489810,590909,476732,824643,463
    Racing taxation3,301,8253,752,9223,974,1724,065,1554,127,636
    Duty on instruments1,309,3711,484,5341,754,3081,522,3581,496,533
    Amusement tax396,306401,704416,797440,229462,996
    Adhesive stamps226,416186,873166,60459,76444,903
    Impressed stamps428,010452,310492,526519,842543,171
    Other stamps taxation40,59848,699101,178183,825214,150
    Film-hire tax135,348131,190135,959142,020147,218
            Totals154,262,345156,195,535162,508,544167,418,995172,794,730
Social security taxation—
    Social security charge45,507,93849,717,37656,175,15159,910,71761,635,224
            Totals45,507,93849,717,37656,175,15159,910,71761,635,224
National Roads Fund—
    Highways revenue (less rebates) 889,40616,082,40317,499,06518,421,809
            Totals 889,40616,082,40317,499,06518,421,809
    Total taxation receipts199,770,283206,802,317234,766,098244,828,777252,851,763
£s.d.£s.d.£s.d.£s.d.£s.d.
Taxation receipts per head of mean population—
Ordinary (Consolidated Fund)761547515577367717278151
Social security2212112425261362717328110
National Roads Fund   08771298298711
            Totals99831006511199113172115410

Compared with 1955-56 revenue from taxation in 1956-57 showed a rise of £8 million, or 3.3 per cent. Receipts from the social security charge increased by £1.7 million, from income tax by £7.4 million, and highways revenue in the National Roads Fund by £0.9 million. Customs revenue and sales tax decreased by £1.1 million and £1.2 million respectively.

In 1956-57 taxation paid into the Consolidated Fund accounted for 68.3 per cent of the total taxation receipts, social security taxes for 24.4 per cent, and National Roads Fund taxation for 7.3 per cent. If to the total of social security tax is added the £14 million transfer from the Consolidated Fund, the 1956-57 taxation used for social security purposes amounted to 29.9 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 1957 was £187 million, while during the same period £40.5 million 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 £4,611,013 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.

|| Defence Fund, £1,000,000; National Development Loans Account. £3,500,000; Public Works Account, £3,802,980, consisting of £2,000,000 transfer and C1,802,980 from surplus of previous year.

¶ Public Works Account, comprising transfer of £7,500,000 and £6,839,917 from surplus of previous year.

** Public Works Account, comprising surplus of previous year.

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 
1955162,508,54414,000,000 8,302,980||70,175,151 
1956167,418,99514,000,000 14,339,91773,910,717 
1957172,794,73014,000,000 4,151,171**75,635,224 

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
1946-47397.1367.3113.128.530.8
1947-48446.4412.9122.327.429.7
1948-49464.3422.1130.428.130.9
1949-50526.1481.7135.625.828.1
1950-51659.1612.0157.924.025.8
1951-52675.3624.3200.529.732.1
1952-53709.2656.1199.828.230.4
1953-54786.1734.1206.826.328.2
1954-55853.8798.9234.827.529.4
1955-56897.8841.0244.827.128.9
1956-57943.3*883.5*252.926.828.6

The following diagram shows the extent to which taxation receipts have increased since the year 1925-26, and also the extent to which social security taxation has contributed towards this increase.

CUSTOMS AND EXCISE TAXATION.—Revenue included under the heading of Customs is exclusive of receipts from tire tax and from motor-spirits tax. Sales tax receipts are not counted as ordinary Customs revenue, although collected by the Customs Department. 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

* Excise duties other than beer duty are here included with Customs duties.

† Exclusive of social security and, from 1955, national roads taxation.

 £££Per Cent
195327,273,2065,466,70132,739,90721.22
195426,343,3035,833,87132,177,17420.48
195527,968,8656,208,35934,177,22421.03
195630,065,5716,567,30236,632,87321.88
195728,937,7516,753,52135,691,27220.67

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. 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 and all receipts paid into the National Roads Fund. Information in regard to these increases and Customs and excise duties generally is contained in Section 10D, Customs Tariff and Revenue.

ROADS TAXATION.—The National Roads Act 1953 provided for the establishment of the National Roads Board which became the successor to the former Main Highways Board. In contrast to the latter, which exercised responsibility for the State and main highways system only, the National Roads Board has power to administer a national reading system. The revenues received by the former Main Highways Board and a summary of the taxation provisions governing those revenues since 1922 may be found in previous issues of the Year-Book.

The National Roads Fund, also established by the 1953 Act, derives its revenues from a tax on motor spirits (at present 1s. 3d. per gallon), registration and licence fees of motor vehicles, heavy traffic licence fees, a milage tax on vehicles not using motor spirits, and a tax on imported tires (details of the origin of these are also given in earlier Year-Books); other revenues of the Fund, which are not classed as taxation, consist of a Government contribution, interest earned, and miscellaneous receipts—i.e., for the transfer of materials, etc.

Taxation receipts for roads purposes have been as follows during the last five years.

£
Year Ended 31 MarchRegistration and Licence Fees, etc Under Transport Act 1949Tire TaxMotor-spirits TaxationMilage TaxHeavy Traffic FeesTotal
1953995,57725,2243,814,22736,745 4,871,773
19541,090,58317,5515,002,85953,685 6,164,678
19551,864,97228,57112,043,293170,8581,974,71016,082,404
19562,076,87727,53313,014,483206,7742,173,39817,499,065
19572,216,64322,20613,642,291265,4952,275,17418,421,809

NOTE.—Taxation receipts for 1954-55 to 1956-57 are not directly comparable with those for previous years, as the full amount of tax (less collection costs and refunds in certain cases) has been credited to the National Roads Fund; in earlier years, only a proportion of the tire, milage, and motor-spirits taxation was regarded as highways taxation, the remainder being ordinary Customs revenue in those years. Heavy traffic fees were also formerly retained by local authorities.

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 1939 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 made no substantial change in the law.

The Land and Income Tax Amendment Act of 1940 introduced a new scale of basic rates of income tax. This scale of basic rates remained unaltered until the 1954 amendment increased each rate by 6d. in the £1. The maximum rate was not changed. The basic rates were subject to a percentage increase or decrease according to the revenue requirements for the year. The 1941 amendment also 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 was 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 war. It has since been provided that all deferred maintenance deposits existing at 31 March 1960 are to be refunded forthwith.

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 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 was extended annually, but in the case of premises, except for farming and agricultural purposes, it was withdrawn on 21 July 1955, and in the case of plant and machinery and farming premises it was withdrawn as from 9 August 1956, except for those assets where a binding contract for purchase, erection, etc., had been completed before these dates. This allowance was in addition to the ordinary depreciation allowance provided for by the principal Act. It was not to exceed in the aggregate 30 per cent of the cost of the asset and was 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 several countries. 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 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.

The 1950 amendment abolished the 33 1/3 per cent additional charge in the case of unearned income imposed by the 1931 amendment. 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 1959, subject to provisoes where the land is sold within five years. It also 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 (now £300) in the aggregate in any income year where the expenditure is oft 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 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.

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 could 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 enabling a rebate of income tax on interest from the 1953 National Development Loans (since extended to any loans under the New Zealand Loans Act 1953 where the terms of the loan so provide) to ensure a minimum net return after payment of income tax and social security charge 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.

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. The aggregation of the incomes of husband and wife takes place only where the incomes of both were not 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 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.

The 1955 amending Act extended the exemption from income tax of certain milk treatment corporations to other similar corporations. It also exempted veterinary clubs and herd improvement associations. Provision was made for the apportionment over three years on income derived by land dealers from the disposition of land to the Crown. The acceptance of further deferred maintenance deposits was discontinued and any deposits remaining after 31 March 1960 are to be refunded forthwith. The proprietary company provisions were limited to shareholders that were companies.

The Land and Income Tax (Annual) Act 1955 introduced a rebate of 20 per cent from the basic rates of tax with a maximum of £75. This was the first occasion since the introduction of the basic rates that a percentage decrease from basic rates was given; in all previous years there was either a percentage increase or the basic rates applied without either percentage increase or decrease. The rebate applied only to other taxpayers (individuals) and not to companies, etc.

The special exemption for dependent relatives may, since 31 March 1956, be claimed where the relative is receiving a monetary benefit from the social security fund. The 1956 Land and Income Tax Amendment Act also provided that where a farmer was obliged to sell livestock because his lease had expired or his farm had been acquired by the Crown, the excess income represented by the difference between standard and selling values of livestock may be carried forward for the next one or two income years and offset by the writing down of substituted livestock to a new standard value. The special depreciation allowance was withdrawn as from 8 August 1956 unless a binding contract had been completed before that date. The amending Act also provided for the transfer of the administration of income tax law from the Commissioner of Inland Revenue to the local Collector on the passing of an Ordinance providing for local income tax, in the Cook Islands or Niue. This has now been done in the case of the Cook Islands. The penalty for tax remaining unpaid after due date was increased from 5 to 10 per cent, subject to a remission of a one-half of the additional tax if paid within three months after due date. (Penalties for late payment of land tax and social security charge were also amended to make the late payment penalty identical for all three forms of taxation.) The Commissioner is not now to issue a taxation clearance certificate to any person adjudged bankrupt within the last three years, unless he has been discharged from bankruptcy or certain other conditions have been satisfied.

The rebate from the basic rates of tax was reduced from the 20 per cent which applied to the income year 1954-55 to 10 per cent (maximum £40) for the income year 1955-56.

The 1957 amending Act extended the definition of a superannuation fund to include a fund approved by the Commissioner for the purposes of the Act, established for the benefit of contributors who arc "self employed". The maximum special exemption of £250 covers, in addition to contributions to such a "self employed" superannuation fund, insurance premiums, contributions to the insurance fund of a friendly society, and contributions to the National Provident Fund which are not contributions to a "self employed" superannuation fund. The special exemption for the aggregate of the last three types of payment is limited to the lesser of 15 per cent of the assessable income or £175.

Premiums or pure endowment insurance policies now qualify for the special exemption provided that the taxpayer is unable to obtain a normal policy on account of ill-health or physical disabilities. There are restrictions regarding term and maturity date of such policies.

Other provisions of the 1957 Land and Income Tax Amendment Acts included the exemption of the Electric Supply Account and approved research societies and associations from tax; the extension of initial depreciation allowances on farm equipment, and on accommodation for farm and business workers to 31 March 1959; and the exemption of income received as benefits under personal sickness or accident policies of insurance unless the benefits are calculated according to loss of earnings or profits.

The exemptions for land tax were also increased. The ordinary exemption is now £6,000 where the unimproved value does not exceed £6,000, diminished £1 for £1 where the unimproved value exceeds £6,000. The mortgage exemption was increased to £10,000 where the unimproved value does not exceed £10,000, diminished £1 for £1 where the unimproved value exceeds £10,000, so as to leave no exemption when the unimproved value reaches £20,000.

During the year there was an extensive review of the schedule of depreciation allowances and a substantial number of increased allowances were granted.

The rebate from the tax assessed, for individuals but not companies, was raised from 10 per cent with a maximum of £40, to 25 per cent with a maximum of £75 on incomes for the income year 1956-57. In January 1958, after the change of Government, the 25 per cent rebate mentioned above was replaced by a rebate of £100 to each taxpayer (individuals only) or a rebate equal to the amount of tax assessed if less than £100.

Pay As You Earn Income Tax.—A notable feature of the 1957 income tax legislation was the passing of the Income Tax Assessment Act 1957 to provide for the payment of income tax on a "pay as you earn" basis. Income tax now consists of two parts, namely, ordinary income tax and social security income tax, thus incorporating the social security charge previously payable under the Social Security Act 1938.

The Act came into operation as from 1 April 1958. It applies to salary and wage earners, to self-employed individuals, to other incomes of individuals, and to estates. It does not apply to companies, unless incorporated after 25 July 1957, or unless the company voluntarily elects to come within the provisions of the Act

The main features of the scheme are:—

  1. Income tax and social security income tax are to be one combined tax on income.

  2. The combined tax on salary and wages is to be deducted by the employer. In the main, for taxpayers earning less than £1,040 of salary and wages during the year, the tax deductions made by the employer will be final. The taxpayer will not be required to furnish an annual return of income and there will be no "end of the year" adjustment of tax.

  3. All other individuals (including self-employed), estates, and companies within the scheme, will pay provisional tax in three instalments on a provisional declaration of the then current year's income. There will be a final adjustment at the end of the year when the return of income is furnished.

  4. The change from payment of income tax on the previous year's income to tax on the current year's income would involve the payment of income tax for two years' income in one income year, and the Act provides for the remission of income tax (but not social security charge) on income for the year ended 31 March 1958, subject to safeguards to ensure that the income for the year of remission is a normal income.

Employees will fall into three classes: pay-period taxpayers, partial pay-period taxpayers, and others.

Pay-period Taxpayers.—The employee is a pay-period taxpayer where he receives less than £1,040 for the year in income from employment and non-assessable income; less than £12 of interest and investment society dividends; and is not subject to the provisions concerning the aggregation of incomes of husband and wife.

This class of taxpayer is not required to furnish an annual return of income. The tax deductions by the employer are final, and there is no "end of year" adjustment of tax by the Commissioner. The taxpayer may, however, in certain circumstances obtain an adjustment.

Partial Pay-period Taxpayers.—The employee is required to meet the restrictions mentioned above in connection with a pay-period taxpayer. But he may also receive income from other sources not exceeding £400 (provided that the total income, assessable or non-assessable, does not exceed £1,040) if he did not carry on, alone or in partnership, a business at any time during the year.

In this case also the deductions made by the employer are final. A return of income is required, but the tax payable on the non-salary-and-wage income is equal to the difference between the taxes payable on two annual assessments, one including only salary and wages and the other including all income.

Other Employees.—Where the taxpayer does not qualify as a pay-period or a partial pay-period taxpayer the tax deductions made by the employer are not final. An annual return of income is to be furnished to the Commissioner, who will assess the tax payable on the income and allow a credit equal to the amount of the tax deductions made by the employer.

Tax Code Declarations.—Employees are required to deliver a tax code declaration to the employer each year before 1 April. The tax code declaration specifies whether or not the taxpayer has a dependent wife, and the number of other dependants.

There is no obligation on the employer to check the accuracy of the tax code declaration. Except for cases where the employee ends and commences employment during the week, the employee must not have more than one tax code declaration current during the pay-period.

If the employee does not wish to deliver the tax code declaration to the employer, he may deliver it to the Commissioner. The Commissioner may, on application by the employee, issue to the employer a tax code certificate which specifies the employee's tax code as determined on the basis that some or all of the employee's dependants are omitted. In such cases the Commissioner will make an appropriate tax adjustment at the end of the year. There are other circumstances such as, for example, where the employer is not the principal employer, where the Commissioner may issue a tax code certificate specifying the tax code or tax deduction rate applicable to the employee.

At the end of the year the employer completes the tax code declaration by entering the amount of wages and salary paid and the amount of tax deductions made, hands one copy to the employee and sends the other copy to the Commissioner.

Alteration of Tax Code Declaration During Year.—When the employee changes employment during the year, he must deliver a declaration to the new employer. If the declaration is delivered before the end of the first pay-period, it applies from and including the first pay.

Employees who become entitled to claim allowances for new dependants during the year may deliver a new tax code declaration immediately the event occurs (e.g. marriage or the birth of a child). The new tax code applies to the pay-period commencing after the pay-period in which the declaration was delivered.

When it becomes apparent that a dependent wife's income will exceed £125 for the year, the employee must deliver a new tax code declaration immediately and the new code applies to the pay-period following that in which it was delivered.

In other cases where a dependant ceases to be a dependant during the year—i.e., where a dependent wife dies or a child dies or reaches the age of eighteen years—the employee is entitled to retain the tax code including them as dependants until the following 31 March. This applies even when the employee delivers a new tax code declaration on a change of employment.

Tax Deduction Tables: Normal Tables.—The tax code declaration bears a code (M, if the taxpayer is entitled to a wife's exemption; S, if not so entitled; and a number which represents the number of other dependants) and the tax deduction tables specify for each code and number the amount of tax to be deducted from the salary or wage payment for the period.

The following principles have been observed in the calculation of the amounts of tax shown in the deduction tables:

  1. The first two pounds of weekly income are not subject to social security income tax.

  2. That part of the weekly income which corresponds to the amount of the exemptions allowances is taxed at the rate for social security income tax (1s. 6d. in the £1). The annual exemptions (personal, wife, dependants) to which the taxpayer is entitled have been converted into proportionate weekly parts. There is also an allowance for life insurance premiums, whether paid of not.

  3. The residue of the weekly income attracts both ordinary income tax and social security income tax. The tax deduction tables are based on proportionate weekly parts of the annual ordinary income tax basic rates (commencing at 3s. in the £1) less a rebate of 25 per cent.

Amounts paid by an employee to a superannuation fund are deducted from the gross salary for the period. The amount of the tax deduction is then the table deduction appropriate to the net payment to the employee, plus the social security income tax on the amount of the superannuation contribution.

The exemption of the first two pounds of weekly income from the social security income tax is equal to a reduction in tax of £7 16s. for the year. One of the objects of this concession is to provide a means of preventing as far as possible, the pay-period taxation from exceeding that which would have been paid if the total income for the year had been taxed on an annual basis. This could happen, for example, when the employee receives a fluctuating weekly income through the working of irregular overtime.

When there is no tax code declaration or tax code certificate, the tax deduction is at the "no declaration" rate shown in the tables. Up to £45 for the week, this deduction is at the flat rate of 5s. 6d. in the £1, and it thereafter increases.

Special Tables.—Special tables are provided for use when overtime is included in the week's pay. These tables are used when the payment including overtime exceeds £20, but the payment excluding the overtime is less than £20. The excess of income of over £20 is taxed at flat rates which are lower than those provided in the normal tables at corresponding income levels. The flat rates vary with the number of dependants, from 4s. 11d. in the £1 for a single person with no dependants to 1s. 6d. in the £1 for a married man with eight or more dependants.

The same table applies to extra emoluments—e.g., end of year bonuses, and to retrospective wage increases. The extra emolument is treated as a separate payment; the first £20 attracts tax according to the normal table and the balance, is taxed at the special table rate.

Where the employee has two or more employers at the same time, the secondary employers deduct tax at the rates specified in another special table. It is also a flat rate table, with deductions which vary with the number of dependants and whether or not the employee is entitled to a wife's exemption allowance. Exemption allowances, other than those for wife and dependants, do no apply.

There are special arrangements for shearers; and for fruit, hops, or tobacco pickers.

Employer's Duties.—The employer is required to keep a record for each employee showing the amount of the source deduction payment and the amount of tax deducted. Not later than 20 April each year he is to deliver to each employee a signed certificate showing the total amounts of payments and tax deductions for the year (or period of employment if less than one year). A similar certificate is to be given to the employee within seven days from the cessation of employment.

The aggregate amount of all tax deductions is to be remitted to the Commissioner each month. Not later than 15 May each year the employer is to deliver to the Commissioner a reconciliation statement showing the total amount of tax deductions paid to the Commissioner in respect of deductions made during the year, and the total amount of tax deductions shown in the employee's certificates, together with an explanation if the two totals do not agree. The reconciliation statement is accompanied by signed copies of all tax deduction certificates, and all tax code declarations and certificates.

Withholding Payments.—These are payments made for services rendered, but in circumstances where there is no real employer-employee relationship. Instances are, company director's fees, agricultural contract work, fees for free lance journalists, dance bands, etc. Tax is to be deducted from the gross amounts of such payments at flat rates which vary from 1s. 6d. to 5s. in the £1 according to the nature of the work.

The Commissioner may determine from time to time that a proportion of the withholding payment to specified classes is to be regarded as expenditure incurred in the production of the income. In such cases, tax would be deducted from the balance of the payment.

An exemption certificate may be issued by the Commissioner to any person specifying that no tax deduction is to be made from payments to that person. The income so exempted will later be included in the recipient's annual return of income.

Provisional Taxpayers.—Provisional taxpayers are individuals who derive assessable income from sources other than salary or wages or interest and investment society dividends not exceeding £12. Estates, trusts, and companies incorporated after 25 July 1957 are included in this category. Existing companies may voluntarily elect to become provisional taxpayers.

Tax on provisional incomes is paid in three instalments during the year—in June, in November, and in February. Normally the provisional income is an amount equal to the taxpayer's taxable income for the preceding year. When the taxpayer anticipates that the income will be less than that of the preceding year, he may make an estimate of the provisional income and pay provisional tax on the estimated income. If he does this and underestimates the actual final tax or the normal provisional tax (whichever is the smaller) by more than twenty per cent, he may be liable to pay an additional ten per cent on the amount of tax underestimated.

The taxpayer may at any time make voluntary payments of additional provisional tax.

Provisional taxpayers are required to furnish returns of income, irrespective of the amount of income. At the same time the taxpayer is required to estimate (subject to adjustment by the Commissioner) the final tax payable on the income disclosed, and to pay any excess over the provisional tax at the time of furnishing the return. Later the Commissioner will make an assessment of tax, and any difference will be payable by the taxpayer or credited or refunded to him.

Remission of Tax in Transitional Year.—Both salary and wage earners and provisional taxpayers are to have the income tax on the income for the transitional year, which is the 1957-58 income year, remitted in full. This does not apply to companies, whether provisional taxpayers or not. In other respects the 1957—58 income year will be treated as a normal income year for ordinary income tax purposes, losses made will be carried forward, etc. Salary and wage earners have already had social security income tax on salary or wages for 1957-58 deducted at the source. Provisional taxpayers will receive a remission of the first £7 10s. from the social security income tax on the 1957-58 income, and the balance will be payable by instalments spread over three years.

The Act contains a number of clauses designed to prevent the inflation of 1957-58 incomes at the expense of those of other years. When the 1957-58 income is, in the opinion of the Commissioner, greater than the normal income, the Commissioner will determine the amount of the normal income. Any excess income will be added to the assessable or non-assessable income for 1958-59.

In determining the amount of the normal income the Commissioner is required to take into account the income of the three preceding years, and, among other things, whether any income has been included in the transitional year which normally would have been included in another income year, or any normal expenditure diverted from the transitional year to another year. In general the Commissioner is empowered to take into account any matters which are relevant to the ascertainment of the normal income. Final determination of the normal income may be deferred until the nature or amount of the income for the next two succeeding years is known.

A special Transitional Income Tax Appeal Authority is to be set up to hear and determine any objections to the amount of the normal 1957-58 income as determined by the Commissioner.

Statistics relating to the incidence of income tax are given in Section 35 of this volume.

Income Tax.—Individuals pay tax on the amount of taxable income (i.e., the assessable income less any special exemptions to which the taxpayer is entitled).

These special exemptions are—

  1. A personal exemption of £375 (£420 if over 65 years of age).

  2. A wife's (or husband's) exemption of £125, diminished £1 for each £1 of the wife's (or husband's) income in excess of £125.

  3. An exemption, not exceeding £125, for payments to a housekeeper who is employed by a widowed, divorced, or unmarried person to have the care and control of children.

  4. An exemption, not exceeding £75, of the amount contributed to the support of any relative. The term relative includes children, grandchildren, and foster children. The exemption is normally allowed for children up to the age of eighteen years.

  5. An exemption, not exceeding 15 per cent of the assessable income with a maximum of £175, for life insurance premiums, contributions to superannuation funds, etc.

  6. Absentees are only entitled to the personal exemption.

NOTE.— For changes from 1 October 1958, see Latest Statistical Information at the front of this Year-Book.

Exemptions are written into the tax deduction tables under the PAYE system and the above exemptions apply only to those taxpayers who furnish a return of income and receive an "end of year" adjustment of tax.

Any expenditure or loss exclusively incurred in the production of the assessable income may be deducted from the total income derived. Depreciation is allowed. On premises, the allowable depreciation rates vary from 2 1/2 per cent on cost price for wooden walled and framed buildings to 1 per cent on cost price for buildings of reinforced concrete. Various rates of depreciation allowances have been fixed by the Commissioner of Inland Revenue for different classes of plant, machinery, and equipment. These are normally expressed as percentages of the diminishing value of the asset. Special depreciation of premises was discontinued from 9 August 1956, excepting for those assets where a binding contract for acquisition, erection, or extension had been completed before that date. A further type of depreciation allowance also exists. This is initial depreciation and is allowed to farmers for new equipment or new farm accommodation for farm workers, and in the case of other types of business for providing new accommodation for employees. The allowance is 30 per cent and it is not spread over a term of years.

Companies pay tax on their assessable incomes (i.e., there are no special exemptions to be deducted as in the case of individuals) before the distribution of dividends. Recipients of income from dividends do not pay income tax on such income, but the amount is taken into account in fixing the rate of tax payable on other income; however the 1958 Financial Statement proposes changes in this regard. The same principle applies to income derived from "tax-free" Government securities and "tax-free" company debentures.

Certain specified incomes and types of income are exempt from income tax. The incomes of local and public authorities (excepting for certain Government trading departments), building societies, co-operative dairy and milk treatment companies, trustees of superannuation funds, friendly societies, charitable societies, and others of similar character are exempt from income tax. The general principle is where any society or association carries on business exclusively for the purposes for which it was established and does not operate for the private pecuniary profit of any individual, the income is exempt from income tax. Monetary benefits from the Social Security Fund (excepting the Universal Superannuation Benefit), sick benefits from friendly societies, workers' compensation payments, war pensions, etc., are exempt income.

The rates of income tax for the year ended 31 March 1958 (income year ended 31 March 1957) are as follows.

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 already specified, 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 1/150d. 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 basic rates of income tax are as follows: 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. A rebate of £100 from the tax assessed according to these basic rates or the amount of tax assessed if it was less than £100 was given. Originally the legislation concerning income tax on the 1956-57 income year provided for a rebate of 25 per cent, with a maximum of £75, from basic rates. This was subsequently amended to the rebate of £100, and was allowed to "other tax-payers" only. Aggregated assessments were allowed the rebates which would apply if the husband and wife were separately assessed at the rate which applied to the joint taxable incomes.

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 1957-58, and thus relate to incomes received during the income year 1956-57. NOTE.—Ordinary income tax for the 1957-58 income year has been remitted.) 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 which is shown in the table, 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 for the year 1957-58 the amount of the social security charge. This tax, which is payable in addition to tax 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               
4003000               
50037100               
6004500               
70052100               
8006000               
90067100               
1,00075001476            
1,5001121001401891065086113671004913
2,00015000298150256502311762082618500
2,500187100487163437100408893800035239
3,0002250070826650006165058326550126
3,5002621009591398931508556381710078063
4,000300001,2421001,1681501,1251261,083261,04150
4,5003371001,5421001,4671001,4221001,3771001,332100
5,000375001,8421001,7671001,7221001,6771001,632100

In interpreting this table as an indication of the incidence of social security and income taxation in New Zealand in 1957-58 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.

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 £3,000, was increased by the Land and Income Tax Amendment Act 1957 to £6,000, reducible by £1 for each £1 of the excess of the unimproved value over £6,000. The exemption thus disappears at £12,000.

Where the land is subject to a registered mortgage an alternative scale of exemption is provided—viz., £10,000 in cases where the unimproved value does not exceed £10,000, the exemption of £10,000 being diminished by £1 for every £1 above the margin of £10,000 of unimproved value, and disappearing altogether at £20,000. 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.

ESTATE AND GIFT DUTIES.—The law dealing with death duty is now embodied in the Estate and Gift Duties Act 1955, replacing the law formerly contained in the Death Duties Act 1921 and its amendments. The main head of taxation is estate duty, the former succession duty having been abolished for the estates of all persons dying after 20 July 1955. In addition to this there are gift duties and Maori succession duties.

Estate duties are due and payable to the Deputy Commissioner of Inland Revenue (Stamp Duties) on assessment, an additional 5 per cent penalty being payable if duty is not paid within three months after notice. Interest is charged on all duty unpaid within four months after death, at the rate of 4 per cent on duty paid within fifteen months after death and at the rate of 5 per cent on all duty unpaid within fifteen months (though this period may be extended in certain cases). 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.

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
19536,318,9691,936,399512,4898,767,857
19546,042,1011,829,685810,5908,682,376
19556,636,6931,838,976909,4769,385,145
19566,243,9311,507,054732,8248,483,809
19577,624,85051643,4648,268,365

Estate Duty.—When the final balance of the dutiable estate of a deceased person, estimated as at the date of his death, exceeds £1,000, 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, there shall, in respect of the succession acquired by the wife (or each infant child, including stepchild, etc.) of the deceased in his dutiable estate, be deducted from the estate duty, calculated in accordance with the scale of rates set out later, an amount bearing the same proportion to that duty as the value of that succession (or the amount of £500, whichever is the less, in the case of an infant child) bears to the amount of the final balance of the estate. This is subject to a maximum allowance of the proportion that the excess of £12,000 over the final balance bears to the final balance. Exemptions for successions in estates of servicemen are calculated as a proportion of the estate duty, as in the case of a wife.

The Act provides for relief in the case of quick successions, where estate duty is payable twice on the same property by reason of two deaths occurring within a short period. The duty is 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. Where a child of the testator dies in the lifetime of the testator leaving issue living at the testator's death, such child is to be deemed to have died immediately after the testator, for the purposes of relief from successive estate duties.

All income tax and social security charges in respect of income of a deceased person up to the date of death are treated as a debt of the deceased in all cases.

The following table gives the scale of rates of estate duty which applied to estates of persons dying from 21 July 1955 to 26 June 1958 inclusive (refer Latest Statistical Information portion of this Year-Book).

Final Balance of EstateRate
£    £Scale of Rates of Estate Duty
1,001- 2,0004 per cent of the excess of the final balance over £1,000
2,001- 3,000£40 plus 5 per cent of the excess of the final balance over £2,000
3,001- 4,000£90 plus 7 per cent of the excess of the final balance over £3,000
4,001- 5,000£160 plus 9 per cent of the excess of the final balance over £4,000
5,001- 6,000£250 plus 11 per cent of the excess of the final balance over £5,000
6,001- 7,000£360 plus 13 per cent of the excess of the final balance over £6,000
7,001- 8,000£490 plus 15 per cent of the excess of the final balance over £7,000
8,001- 9,000£640 plus 17 per cent of the excess of the final balance over £8,000
9,001- 10,000£810 plus 19 per cent of the excess of the final balance over £9.000
10,001- 11,000£1,000 plus 21 per cent of the excess of the final balance over £10,000
11,001- 12,000£1,210 plus 23 per cent of the excess of the final balance over £11,000
12,001- 14,000£1,440 plus 19 per cent of the excess of the final balance over £12,000
14,001- 16,000£1,820 plus 21 per cent of the excess of the final balance over £14,000
16,001- 18,000£2,240 plus 23 per cent of the excess of the final balance over £16,000
18,001-20,000£2,700 plus 25 per cent of the excess of the final balance over £18,000
20,001- 22,000£3,200 plus 27 per cent of the excess of the final balance over £20,000
22,001-24,000£3,740 plus 29 per cent of the excess of the final balance over £22,000
24,001-26,000£4,320 plus 31 per cent of the excess of the final balance over £24,000
26,001-28,000£4,940 plus 33 per cent of the excess of the final balance over £26,000
28,001- 30,000£5,600 plus 35 per cent of the excess of the final balance over £28,000
30,001- 33,000£6,300 plus 32 per cent of the excess of the final balance over £30,000
33,001- 36,000£7,260 plus 34 per cent of the excess of the final balance over £33,000
36,001- 39,000£8,280 plus 36 per cent of the excess of the final balance over £36,000
39,001- 42,000£9,360 plus 38 per cent of the excess of the final balance over £39,000
42,001- 45,000£10,500 plus 40 per cent of the excess of the final balance over £42,000
45,001- 48,000£11,700 plus 42 per cent of the excess of the final balance over £45,000
48,001- 51,000£12,960 plus 44 per cent of the excess of the final balance over £48,000
51,001- 54,000£14,280 plus 46 per cent of the excess of the final balance over £51,000
54,001- 57,000£15,660 plus 48 per cent of the excess of the final balance over £54,000
57,001- 60,000£17,100 plus 50 per cent of the excess of the final balance over £57,000
60,001- 64,000£18,600 plus 47 per cent of the excess of the final balance over £60,000
64,001- 68,000£20,480 plus 49 per cent of the excess of the final balance over £64,000
68,001- 72,000£22,440 plus 51 per cent of the excess of the final balance over £68,000
72,001- 76,000£24,480 plus 53 per cent of the excess of the final balance over £72,000
76,001- 80,000£26,600 plus 55 per cent of the excess of the final balance over £76,000
80,001- 85,000£28,800 plus 53 per cent of the excess of the final balance over £80,000
85,001- 90,000£31,450 plus 55 per cent of the excess of the final balance over £85,000
90,001- 95,000£34,200 plus 57 per cent of the excess of the final balance over £90,000
95,001-100,000£37,050 plus 59 per cent of the excess of the final balance over £95,000
100,001 and over40 per cent of the final balance

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, reduced where necessary so as not to exceed the amount by which that value exceeds £1,000. There is a general exemption from succession duty if the property is of less value than £1,000.

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 fully adequate consideration in money or its equivalent. There is provision 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 estate duty if made as part of the donor's normal expenditure. Various other exemptions, including gifts to any charitable trust, were contained in the 1955 Act.

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 is based on the following scale.

Value of Gift (Together with Value of All Aggregated Gifts)Rate
£    £Scale of Rates of Gift Duty
501- 1,0005 per cent of the excess of the value over £500
1,001- 2,000£25 plus 7 per cent of the excess of the value over £1,000
2,001- 3,000£95 plus 9 per cent of the excess of the value over £2,000
3,001- 4,000£185 plus 11 per cent of the excess of the value over £3,000
4,001- 5,000£295 plus 13 per cent of the excess of the value over £4,000
5,001- 6,000£425 plus 15 per cent of the excess of the value over £5,000
6,001- 7,000£575 plus 17 per cent of the excess of the value over £6,000
7,001- 8,000£745 plus 19 per cent of the excess of the value over £7,000
8,001- 9,000£935 plus 21 per cent of the excess of the value over £8,000
9,001-10,000£1,145 plus 23 per cent of the excess of the value over £9,000
10,001-11,000£1,375 plus 25 per cent of the excess of the value over £10,000
11,001-12,000£1,625 plus 27 per cent of the excess of the value over £11,000
12,001-14,000£1,895 plus 23 per cent of the excess of the value over £12,000
14,001-16,000£2,355 plus 25 per cent of the excess of the value over £14,000
16,001-18,000£2,855 plus 27 per cent of the excess of the value over £16,000
18,001-20,000£3,395 plus 29 per cent of the excess of the value over £18,000
20,001-22,000£3,975 plus 31 per cent of the excess of the value over £20,000
22,001-24,000£4,595 plus 33 per cent of the excess of the value over £22,000
24,001-26,000£5,255 plus 35 per cent of the excess of the value over £24,000
26,001-28,000£5,955 plus 37 per cent of the excess of the value over £26,000
28,001-30,000£6,695 plus 39 per cent of the excess of the value over £28,000
30,001 and over25 per cent of the value, less £25

STAMP DUTIES.—The term "stamp duties" covers a miscellany of items of taxation imposed by the Stamp Duties Act. The 1951 Finance Act exempted comprehensive motor vehicle insurance policies from stamp duty. The 1952 amendment to the 1923 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 law is now contained in the Stamp Duties Act 1954. The 1956 amendment exempts from stamp duties agreements (other than hire-purchase agreements) for sale of goods.

The receipts for the last five years are shown under the various heads of stamp duties revenue.

£
Year Ended 31 March
19531954195519561957
Adhesive stamps226,416186,873166,60459,76444,903
Duty on instruments1,309,3711,484,5341,754,3081,522,3581,496,533
Fines and penalties3,1022,8352,52512,0352,679
Impressed stamps428,010452,310492,526519,842543,171
Racing taxation3,301,8253,752,9223,974,1724,065,1554,127,636
Amusement tax396,306401,704416,797440,229462,996
Lottery duty37,49645,86443,62366,85065,754
Miscellaneous55,030104,940345,717  
            Totals5,702,5266,327,0426,905,5856,791,1736,889,389

Some 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 2 1/2 per cent, which had been in force since March 1910, prior to which the percentage was 1 1/2. A refund of 2 1/2 per cent, raised from 1 1/4 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 2 1/2 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 2 1/2 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 12 1/2 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 1955 made provision for the Minister of Internal Affairs to grant totalizator licences for not more than eighteen days of racing in addition to the existing number of 362 days in any racing year. The Totalizator Agency Board, established by the Gaming Amendment Act 1949 to conduct off-course betting, receives 7 1/ per cent of the turnover made through totalizator agencies, and a levy for five years from 1 November 1950 of an additional 1/2 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 1/2 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
19531954195519561957

* The Totalizator Agency Board commenced operations in April 1951.

† Retained by the clubs.

Number of racing days359362361369374
Number of races2,8762,8962,8892,9523,005
 £££££
Amount of stakes1,530,1901,561,0081,604,0301,614,6161,598,832
Totalizator turnover—
    On course23,780,23324,076,24724,012,34422,910,69022,562,539
    With T.A.B.*13,059,13818,291,95919,727,33921,145,66721,908,953
            Totals36,839,37142,368,20643,739,68344,056,35744,471,492
Amount paid in dividends30,348,18534,907,59236,031,85436,291,56236,635,240
Government taxes—
    On totalizator turnover1,779,6382,054,5492,130,6962,147,8522,160,125
    On dividends1,602,3631,842,8701,901,5201,916,2961,934,351
    On stakes15,30215,61016,03916,14615,988
            Totals3,397,3033,913,0294,048,2554,080,2944,110,465
Percentage of totalizator turnover retained by clubs2,822,7753,236,1163,331,8653,359,1933,398,812
Unpaid fractions102,223115,239125,050121,178120,607
Levy of 1/2 per cent for Totalizator Agency Board184,196211,841218,698220,277222,357

For the financial year ended 31 March 1957 Government receipts from racing taxation amounted to £4.13 million, as compared with £4.07 million in 1955-56.

The rising tendency in the volume of betting as measured by totalizator turnover continued during the racing year ended 31 July 1957. For this period a record amount of £44.5 million was handled by totalizators, as compared with the previous highest figure of £44.1 million in 1955-56. The volume of turnover handled by the Totalizator Agency Board accounted for the increase, the turnover with this organization amounting to £21.9 million in 1956-57, an increase of £.8 million over the previous year. On the other hand there was a decrease of £.3 million in on-course betting, the figures for 1955-56 and 1956-57 being £22.9 million and £22.6 million respectively.

Of the amount placed on the totalizator in 1956-57, 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 374 racing days in the 1956-57 racing year, 256 were devoted to racing (galloping) meetings and 118 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, £34.7 million was placed at racing meetings and £9.8 million at trotting meetings, giving an average of £135,598 per day for racing clubs and £82,698 per day for trotting clubs. Stakes paid at racing meetings totalled £ 1,129,187 the average amount per race being £549, while at trotting meetings the total was £469,645, and the average amount per race £495.

Doubles totalizator turnover increased from £12.6 million in 1955-56 to £13.1 million in 1956-57. This was an increase of £0.5 million or 4.5 per cent. Of the total doubles turnover £11.0 million was placed at racing meetings and £2.1 million 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. Earlier legislation 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 purposes in New Zealand or elsewhere, 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. Charitable purposes include relief of poverty, advancement of education or religion, or any other matter beneficial to the community.

The following net amounts have been collected during the last eleven years.

Year Ended 31 MarchAmount Collected
 £
1947226,569
1948221,209
1949243,766
1950256,716
1951236,373
1952308,976
1953396,306
1954401,704
1955416,797
1956440,229
1957462,996

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 £135,348 in 1952-53, £131,190 in 1953-54, £135,959 in 1954-55 £142,020 in 1955-56, and £147,218 in 1956-57.

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 1 1/2d. 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—Total
Salaries and WagesOther Income
195326,650,92218,857,01645,507,938
195428,714,79021,002,58649,717,376
195532,423,83123,751,32056,175,151
195635,272,65424,638,06359,910,717
195737,262,66724,372,55761,635,224

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. Other 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, while from 21 July 1955, a further list of exemptions was made, the most important items exempted being bicycles, clocks, and medicinal preparations and drugs. Discount ranging from 1 to 2 1/2 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 yeilded by the sales tax during each of the last five years has been: 1952–53, £21,991,703; 1953–54, £21,133,740; 1954–55, £22,621,119; 1955–56, £23,443,498; and 1956–57, £22,280,915.

Monthly figures of sales tax collected during the four calendar years 1954–57 have been as follows.

£
MonthTotal Sales Tax Receipts
1954195519561957
January1,819,6941,974,3332,141,1452,533,877
February1,062,6991,170,7431,556,915790,989
March2,397,8642,657,0531,756,4322,314,547
April1,926,7561,884,3881,577,6281,999,396
May1,687,4322,135,3072,060,6911,849,016
June2,003,2082,059,9651,717,368985,530
July1,983,1861,897,0711,861,3772,863,103
August1,867,3011,948,8401,824,0522,001,176
September1,816,2252,117,191785,0161,465,979
October1,731,0842,195,0892,946,5082,501,134
November2,034,5802,091,1361,980,5452,185,556
December1,986,3622,085,2791,817,5612,188,308

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.
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
19556,609,03410,652,4021,029,0352,526,1131,295,442659,35422,838,263
19566,598,16811,747,649986,1642,519,8241,235,469724,23523,868,758
19576,309,75210,705,356970,5042,367,1911,171,981638,21822,210,159

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 1956 was as follows.

Year Ended 31 MarchRatesLicences and Other TaxesTotalPer Head of Mean Population
 ££££s.d.
195214,513,7661,396,10415,909,870825
195315,354,0041,481,91316,835,917877
195416,421,1271,532,12017,953,2478142
195518,259,128762,51019,021,63881611
195618,883,183747,40819,630,591927

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, principally by way of loans for national development, are paid. The amounts raised by loans since the inception of this Account to 31 March 1957 totalled £363,181,270, of which £30,522,540 was raised in 1956–57, including £1,090,000 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 1957 was £4,148,174.

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, the interest rate being 3 per cent per annum from the inception of the scheme to 30 June 1956, thereafter 3 1/2 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 1957 are repayable on 30 June 1959, and so on. National savings bonds were issued in three denominations—£1, £10, and £100—-for a term of five years, but the sale of these was discontinued as from 1 May 1956.

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 was shown in the debt tables in New Zealand currency in addition to the nominal amounts. The nominal increase resulting from the adjustment 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 also excluded from 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 £117,282; 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 1937–57, 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.

At 31 MarchAmountPer Head of PopulationAt 31 MarchAmountPer Head of Population
A—Nominal AmountsB—In New Zealand Currency
 £ (000)£s. £ (000)£s.
1937261,479164151937293,33218416
1938264,010164111938295,8921848
1939277,779170191939310,4451912
1940296,716180171940329,63420018
1941323,236197111941356,28221715
1942359,207219161942391,0982396
1943437,634267161943470,6552880
1944500,52630491944533,75532414
1945537,227319161945570,50033912
1946568,14032381946591,77333617
1947578,38032341947602,0133368
1948578,07831651948598,87532712
1949614,986329171949614,98632917
1950643,88033871950643,8803387
1951667,23334461951667,2333446
1952653,66232971952653,6623297
1953667,688327141953667,68832714
1954704,37133781954704,3713378
1955728,593341181955728,59334118
1956735,201337191956735,20133719
1957757,120340171957757,12034017

* See, however, page 603 of 1940 Year-Book.

It should be noted that the figures in the foregoing table are exclusive of £26,191,000 (£(N.Z.)32,739,000 up to 1948) in respect of which interest payments have been suspended by agreement with the United Kingdom Government since 1931. This amount consists of £24,100,000 advances from the United Kingdom Government funded in terms of the Finance Act 1922, and £2,091,000 raised for State Advances purposes.

Outstanding advances of £305,372 by way of overdraft are not included in the public debt at 31 March 1957. This total consists of £296,539 to the Marketing Account for advances for residual marketing activities and £8,833 to the State Fire Insurance Account for purposes of loans to local authorities.

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 are also certain contingent State liabilities in respect of the Government Superannuation Fund and in respect of £26,191,000 funded debt referred to earlier.

At 31 March 1957 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 £135,662,590; and in addition there was a further amount of £1,503,004 in respect of loans to industries by the Corporation.

Another contingent liability of £30,000 covered the guarantee of the overdraft of the Tourist Hotel Corporation.

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 1957 amounted to £5,018,750 to the Government of the French Republic.

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.

£(000)
ClassGross Debt at 31 March
192019301940195019561957
* Includes debt due to United Kingdom Government (see p. 809).
Ordinary121,082197,600245,217358,267461,539488,927
Housing  11,55957,33196,444103,696
War loans (1914–18)80,089*69,784*36,85426,757  
War expenses (1939–45)  3,086201,526177,218164,497
            Totals201,171267,383296,716643,880735,201757,120

The amount per head of population for each class as at 31 March 1957 was as follows: ordinary, £220; housing. £46 14s.; war expenses, 1939–45, £74 3s.

A more detailed allocation of the debt for the last two years is now given. At 31 March—

 19561957
* Excludes contingent liability in respect of debt due to United Kingdom Government (see page 809).
 £(000)
Railways116,209121,051
Hydro-electric schemes111,641125,488
Post and telegraph services47,82853,630
Education buildings15,06915,000
Roads and highways56,36655,860
Forests (State)12,15112,593
Housing96,444103,696
Land settlement and improvement34,16735,668
Irrigation and drainage8,6587,629
Shares in Bank of New Zealand7,6797,630
New Zealand National Airways Corporation1,2001,200
New Zealand Woolpack and Textiles Ltd150150
Mining7,1366,990
Tasman Empire Airways Ltd.811811
Tasman Pulp and Paper Co. Ltd.8,6508,541
Murupara Development5,1965,756
Reserve Bank exchange adjustment20,00020,000
War expenses (1939–45)177,218164,497
National Development Loans (balance)2,4043,789
Miscellaneous assets and services1,9922,969
Cash and investments in hand4,2324,172
Totals735,201*757,120*

MOVEMENT IN PUBLIC DEBT DURING 1956–57.—A summary of transactions in connection with the public debt during the year ended 31 March 1957 is as follows.

£(000)
Amount Outstanding at
31 March 195631 March 1957Increase
External debt: London95,804100,425+4,621
            United States of America 4,429+4,429
Internal debt—
    Long-term debt588,397597,611+9,214
    Floating debt51,00054,655+3,655
            Totals735,201757,120+21,919

A more detailed statement which shows also the main purposes for which loan moneys were raised during the year 1956–57 is now given.

 £££
External Debt—
    London—
        Increases—
            New issues for—
                National development purposes5,000,000  
        Decreases—
            Transfer to New Zealand Register378,850  
  1,621,150 
    United States of America—
        Increases—
            New issues for—
National development purposes4,662,339  
        Decreases—
            Repayments from — Loans Redemption Account233,117  
  4,429,222 
Increase in external debt  9,050,372
Internal debt—
    Increases—
        New Issues for—
            National development purposes25,522,540  
            Repayments in New Zealand241,899,950  
    Transfer from London Register378,850  
  267,801,340 
    Decreases—
        Repayments from—
            Loan Redemption Account13,725,595  
            New issues in New Zealand241,207,665  
  254,933,260 
                Increase in internal debt  12,868,080
                    Total increase in public debt  £21,918,452

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 33 1/3 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, while conversions in the subsequent period up to 31 March 1950 are given on pages 819–820 of the 1957 issue of the Year-Book. Information covering conversions and new loans from 1 April 1950 to date are given in the following paragraphs.

A 5 1/2-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 3 1/2-per-cent stock maturing on 15 December 1963–66. A 5 1/2-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 2 1/2-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.

A conversion offer in October 1954, dealing with two internal loans totalling £20,140,840 at par (2 1/2 per cent maturing 15 June 1954–55 and 4-per-cent stock and debentures maturing 15 June 1952–55) resulted in £15,966,405 being reinvested in either 3 1/2-per-cent stock at par maturing 15 June 1959–60 or 3 3/4-per-cent stock at £2 per cent premium maturing 15 June 1965–66; the new securities were available as ordinary or death-duty stock. Repayment was made of £4,174,435 in cash.

In June 1955 a conversion offer was made in London to holders of £10,000,000 of a total of £11,984,340 3-per-cent stock maturing 1952–55. New 4 1/2-per-cent stock issued at £97 10s. per cent and maturing 1970–73 was offered in exchange. Conversion and new stock issued to cash applicants totalled £10,000,000, while £1,984,340 was repaid in cash.

A conversion offer was made in August 1955, 3 3/4-per-cent stock at 10s. per cent premium and maturing 15 September 1959 being offered to holders of a £9,689,560 internal loan consisting of 3-per-cent stock maturing 15 September 1955. Conversions totalled £5,691,345, the remaining £3,998,215 being repaid in cash.

A conversion offer in March 1956 dealing with four internal loans totalling £49,703,950 (3 per cent maturing 15 May 1956, 2 1/2 percent maturing 15 May 1956, 3 per cent maturing 15 December 1953–56, and 3 1/2-per-cent stock and debentures maturing 15 January 1953–57) resulted in £23,534,250 being reinvested in either 4 5/8-per-cent stock maturing 15 June 1966–67 or 4 1/2-per-cent stock maturing 15 June 1961. Repayment was made of £8,903,120 in cash, while for the balance of £17,266,580 other short-term reinvestment arrangements were made.

A conversion offer was made in September 1957, dealing with two internal loans of 3 per cent, one of £21,071,250 of the longer term issue of the £40,000,000 Victory Loan maturing on 15 February 1958, and the other maturing on 15 November 1957 of £954,210 of tax-free non-transferable stock issued to some of the shareholders of the Bank of New Zealand when that bank was bought by the Government in 1945. Conversions resulted in £17,261,285 being reinvested in 4 1/2-per-cent and 4 3/4-per-cent stock, while new stock issued to cash applicants totalled £4,340,075, and £424,100 was repaid in cash.

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 99 1/2 per cent, or at 2 1/2 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 3 3/4 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 2 1/2-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 1954 National Development Loan was opened in June 1954 for an amount of £30,000,000. Stock was offered at 3 3/4 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 2 1/2-per-cent stocks maturing August 1954 were offered in exchange stock in the new loan. Cash subscriptions totalled £21,755,491, 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 3 1/2-per-cent stock at £98 per cent and maturing 1981–84.

The 1955 National Development Loan was opened in October 1955 for an amount of £10,000,000. Stock was offered at—(a) 3 3/4 per cent for three years issued at £99 10s. per cent repayable 15 August 1958, and (b) eleven years at 4 per cent issued at £99 per cent repayable 15 August 1965–66. Ordinary or death-duty stock alternatives and minimum net returns were similar to the corresponding 1953 loan. Stock issued totalled £9,846,645.

The 1956 Progress Loan for National Development was opened in June 1956 for an amount of £10,000,000. Stock was offered at (a) 4 3/8 per cent for three years, (b) 4 5/8 per cent for five years, and (c) 4 5/8 per cent for eleven years. The loan was issued with the usual option of ordinary or death-duty stock. It was oversubscribed, the total of applications being £13,058,415 from 10,641 subscribers.

To assist its development programme the Government on 6 September 1956 made a successful issue on the London market of £5,000,000 of 5 1/4-per-cent 1978–82 stock at £96 10s. per cent.

In October 1956 the Government offered a £5,000,000 cash loan which was issued at par on the came terms as the previous internal loan earlier in the year. A total of £5,368,870 had been subscribed by 3,875 applicants when the loan closed on 23 November 1956.

The New Zealand Government during 1956 raised a 13,000,000 dollar loan (£4,662,339) 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 4 3/4 per cent.

The 1957 Progress Loan for National Development was opened in June 1957 for an amount of £20,000,000. Stock was offered at (a) 4 1/2 per cent for three years, (b) 4 3/4 per cent for six years, and (c) 4 3/4 per cent for twelve years, with the usual option of ordinary or death-duty stock. The loan was filled with 14,500 applicants subscribing £20,081,400.

DOMICILE OF DEBT.—The table following shows, for each of the last eleven years ended 31 March the amount of New Zealand's public debt domiciled in London, United States of America, 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
LondonUnited States of AmericaAustraliaNew ZealandLondonUnited States of AmericaAustraliaNew Zealand
 £(000)Stg.=£(000)N.Z.£(000)N.Z.£(000)N.Z.£(000)N.Z.Per CentPer CentPer CentPer Cent
194794,529118,161 861482,99019.63 0.1480.23
194883,188103,984 779494,11217.36 0.1382.51
194979,96279,962 628534,39513.00 0.1086.90
195078,14078,140 628565,11212.13 0.1087.77
195177,80877,808  589,42511.66  88.34
195277,80877,808  575,85511.90  88.10
195377,79077,790  589,89811.65  88.35
195487,79087,790  616,58112.46  87.54
195597,78997,789  630,80413.42  86.58
195695,80495,804  639,39713.03  86.97
1957100,425100,4254,429,222 652,26513.260.58 86.16

During the period covered by the table the amount of the debt domiciled in London has decreased (on a New Zealand currency basis) by £17.7 million. The amount domiciled in New Zealand, on the other hand, has risen during the ten years by £169.3 million.

MATURITY YEARS OF DEBT.—The maturity years of the debt outstanding at 31 March 1957 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.

£(000)
Loans Maturing in Year Ended 31 March*Debt Due in—Total
United States of AmericaLondonNew 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.

† Excludes contingent liability to United Kingdom Government of £26,191,000.

Treasury bills   54,65554,655
Promissory notes, various (from 15 November 1956 to 15 May 1966)4,429   4,429
1958  13,9018,12422,025
1959  13,4885,24718,735
1960  26,21234,91361,125
1961 6,29620,60211,28438,182
1962  31,18025,69556,875
1963  30,03418,61448,648
1964 7,33924,9689,24141,548
1965  16,44812,29128,739
1966 17,22314,67021,23153,124
1967 6,79412,57314,45033,817
1968  12,2327,72219,954
1969 15,8181,445 17,263
1970  2,335112,346
1972 4,98020 5,000
1973  7,27020,83028,100
1974 9,9752535,25045,250
1975  2,79640,36043,156
1976   33,94833,948
1977   52,70052,700
1978 7,000 15,50022,500
1979 10,000  10,000
1983 5,000  5,000
1985 10,000  10,000
            Totals4,429100,425230,199422,066757,119

DEPARTMENTAL INVESTMENTS.—As shown in the preceding table, £422,066,000 of the public debt outstanding at 31 March 1957 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—
19561957
 £(000)
Investments held by accounts within the Public Account46,03648,135
New Zealand Broadcasting Service1,3501,450
Marketing Account250250
Government Life Insurance7,5597,589
Government Superannuation Board19,12321,352
Maori Trustee2,0812,080
National Provident Fund3,1274,787
Post Office122,068122,568
Post Office: National Savings65,45063,450
Public Trustee3,8424,389
Reserve Bank60,40860,400
State Advances Corporation2,3042,304
State Fire Insurance Office—
    Accident Branch1,3821,402
    Fire Branch1,4301,363
Dairy Industry Account14,36014,563
Meat Industry Account39,10939,109
Wool Commission Account26,12026,875
            Totals415,979422,066

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 1946–54 and at quarterly intervals from March 1955 to December 1957.

Date3 1/2 Per Cent, 1962–653 1/2 Per Cent, 1955–603 1/2 Per Cent, 1960–644 1/2 Per Cent, 1970–735 Per Cent, 1956–71
 £s.d.£s.d.£s.d.£s.d.£s.d.
1946—Dec. 9112176   113113   12313
1947—Dec. 510339   10613   11613
1948—Dec. 2104189   106139   11689
1949—Dec. 2998150   100189   110163
1950—Dec. 110000   10226   110126
1951—Dec. 69339   951610 1/2   10400
1952—Dec. 491157 1/2   941610 1/2   102163
1953—Dec. 394157 1/2   99144 1/297610 1/210313
1954—Dec. 39807 1/2100181 1/2991610 1/2   102189
1955—Mar. 49344 1/296131 1/295194 1/2   10063
June 390181 1/29581 1/293194 1/2   100113
Sept. 284009181 1/28815091107 1/297163
Dec. 987009278 1/2896392157 1/29878 1/2
1956—Mar. 28410092181 1/288008957 1/296110 1/2
June 18313921398617689144 1/296163
Sept. 78289915086139871110 1/295144 1/2
Dec. 78112691508516385639326
1957—Mar. 1865094899050901639694 1/2
June 7821269212686139861639450
Sept. 684610 1/29376871610 1/28544 1/293150
Dec. 682131 1/29212686163831399131 1/2

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 until recent times, the amount of debt bearing interest at a rate of 4 per cent or under at 31 March 1957 was £680.7 million, or 90 per cent of the total debt (excluding the contingent liability on which interest payments have been suspended since 1931 by agreement with the United Kingdom Government), while on £315.5 million, or approximately 42 per cent, the rate did not exceed 3 per cent. Of the debt domiciled in New Zealand at 31 March 1957, no less than 45 per cent was at rates of 3 per cent or under, the remainder (or 55 per cent) being at rates which did not exceed 5 per cent. A classification of the public debt as at 31 March 1957, according to the rates of interest payable and domicile, is contained in the following table, the values being in terms of New Zealand currency.

£(000)
Rate of Interest (Per Cent)Debt Maturing in—TotalGross Annual Interest Charge
LondonUnited States of AmericaNew Zealand
1  88,65588,655887
2 1/2  10,08010,080252
322,818 193,910216,7286,502
3 1/424,017 23,99348,0091,596
3 1/223,635 104,629128,2644,489
3 3/4  91,74091,7403,440
410,000 87,18797,1873,887
4 1/49,975 2510,000425
4 3/8  8,0748,074353
4 1/2  23,68023,6801,066
4 5/8  19,95419,954923
4 3/4 4,429 4,429205
54,980 3405,320266
5 1/45,000 5,000263 
            Totals100,4254,429652,265757,12024,554

The total amount of interest payable on the public debt—i.e., excluding the contingent liability on which interest payments have been suspended by agreement with the United Kingdom Government—as at 31 March 1957 was £24,553,809, which gives an average rate of £3 4s. 10d. 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.
London3,638,2383125
United States of America204.8514126
New Zealand20,710,720336

The total of interest payments from the Consolidated Fund during the year ended 31 March 1957 was £22,728,532. Of this amount £3,280,599 was paid in London and £93,808 in New Zealand on account of debt domiciled in London, £84,944 was paid on account of debt domiciled in the United States of America, while the remaining £19,269,181 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 1956–57 was £10,498,668, the contributing accounts being Post and Telegraph, £1,964,607; Electric Supply, £4,592,178; Housing Account, £1,352,902; Housing Construction, £122,031; Land Settlement Account, £1,158,192; under section 31 (3) of Land Act 1948, £550,000; New Zealand Railways, £716,758; and New Zealand National Airways Corporation, £42,000. Interest is also received from the investment of other public moneys, the total under this heading being £1,055,376, including £105,367 from the Stale Advances Corporation, £533,333 from the Public Account Cash Balance Investment Account, £48,231 from the Christmas Island Phosphate Commission, £23,016 from the British Phosphate Commission, £11,692 from the Deposits Account, £4,176 from the National Development Loans Account, £94,693 from the Loans Redemption Account, and £157,182 from the Tasman Pulp and Paper Company Ltd. The total interest receipts of the Consolidated Fund were thus £11,554,044, leaving the net interest charges for the year £11,174,488, as compared with £11,853,974 in 1955–56.

The following table shows the gross payments of interest together with the net interest charges for the last eleven financial years.

£(N.Z.)
Year Ended 31 MarchGross PaymentsReceiptsGross Payments, Less Receipts
194717,558,8764,714,10012,844,776
194817,825,0525,002,72812,822,324
194916,619,9605,215,78911,404,171
195016,736,8195,886,35410,850,465
195117,264,2006,566,29010,697,910
195217,712,6407,337,03510,375,605
195317,320,9826,893,59310,427,389
195418,128,1827,745,88210,382,300
195520,014,4178,378,10111,636,316
195621,000,6279,146,65311,853,974
195722,728,53211,554,04411,174,488

Administration and management charges in respect of debt services amounted to £673,318 in 1956–57, as compared with £830,309 in 1955–56.

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 1/3 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 being excluded. The funded debt and a contingent liability linked with it (refer page 819) are not part of the debt nor are they covered by the repayment provisions.

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
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, 1914–186,545,675
Other debt3,769,955
1955219,001,0366,373,3589,397,85715,771,215War expenses6,373,358
Other debt9,397,857
195625,587,9444,451,5958,705,90013,157,495War expenses4,451,595
Other debt8,705,900
1957241,207,6654,898,9659,059,74713,958,712War expenses4,898,965
Other debt9,059,747

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 1957
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
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
19552,779,0883,532,3093,113,5566,645,8656,373,35881,398,987
19563,051,5953,653,4193,379,3917,032,8104,451,59585,850,582
19575,632,8103,676,0063,660,7037,336,7094,898,96590,749,547

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.

When the agreement for funding 1914–18 war debt was entered into with the United Kingdom Government in 1922 a loan of £2,090,909 was expressly excluded. The 1931 agreement for suspension of payments, however, covered both the funded debt and this loan. The United Kingdom Government was willing in 1922 to include the loan in the funding agreement and at the maturity date, 1 December 1955, a further agreement was made linking the loan with the funded debt. In view of this fact, and as the suspension agreement still operates, the amount of £2,090,909 has been omitted from the statement of public debt, and appears under the heading of contingent liabilities alongside the funded debt, which is excluded from the term public debt.

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: 1955–56, £722,022,176 (£331 18s. per head of population); 1956–57, £742,107,996 (£334 2s. 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 have been: 1953, £54,374,428; 1954, £55,756,323; 1955, £49,599,703; 1956, £47,784,435; 1957, £50,604,805.

In addition to the above, Government investments in corporations, etc., held at 31 March 1957 (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 1957
 £(000)
Bank of New Zealand12,018
Bay of Plenty Fertiliser Works Ltd.83
British Phosphate Commissioners565
Christmas Island Phosphate Commission1,347
Dominion Salt Ltd.150
East Coast Farmers' Fertilizer Co. Ltd.45
Kaingaroa Logging Co. Ltd.50
Linen Flax Corporation225
New Zealand National Airways Corporation1,200
New Zealand Woolpack and Textiles Ltd.150
Reserve Bank of New Zealand1,500
State Advances Corporation3,753
Tasman Empire Airways Ltd.811
Tasman Pulp and Paper Co. Ltd.2,000
Miscellaneous116
            Total£24,013

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 1957 a gross indebtedness equivalent to £114,666,577 and if this amount be added to the gross debt of the General Government at 31 March 1957—£757,119,696—the aggregate becomes £871,786,273. This latter total is exclusive of £26,191,000 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, and the Fire Services Council, the total is reduced to approximately £869,858,931.

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 1957 totalled £15,578,997.

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 122 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 composed 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 1958 was 980 made up as follows: County Councils, 119; Borough (including City) Councils, 143; Town Councils (independent), 17; Town Councils (dependent), 14; Road Boards, 3; River Boards (4 boards also have the power of Land-drainage Boards), 12; Catchment Boards, 13; Land-drainage Boards, 42; Electric-power Boards, 41; Water-supply Board, 1; Urban Drainage Boards, 5; Transport Boards, 2; Local Railway Board, 1; Electric-power and Gas Board, 1; Milk Boards (including 34 where the Board is a Borough Council), 44; Nassella Tussock Boards, 2; Harbour Bridge Authority, 1; Road Tunnel Authority, 1; Valley Authority, 1; Plantation Board, 1; Rabbit Boards, 206; Fire Boards (including 168 where the Board is a Borough or County Council, etc.), 232; Harbour Boards (including 18 where the Board is a Borough or County Council, etc.), 41; and Hospital Boards, 37. In addition to the foregoing, there were 21 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.

Detailed statistics relating to each local authority, other than Hospital Boards, are contained in the Local Authorities Handbook, an annual publication of the Department of Statistics. 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 1867. 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. While these measures have long since been superseded 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 detailed work formerly done by the Road Boards.

With increasing settlement the original 63 counties were gradually subdivided until in 1920 the maximum of 129 was reached, although the number of councils formed never exceeded 126. Since 1955 the number of counties has steadily declined as amalgamations and mergers have been made under the policies brought into effect by the Local Government Commission Act 1953. At the present time (April 1958) there are 121 counties, in 119 of which the Counties Act is in force.

Counties are now constituted under the Counties Act 1956, which consolidates earlier legislation relating to counties and road districts, but this Act makes no provision for the constitution of additional road districts.

The provision for the constitution of county towns, first made in the Counties Amendmen Act 1949, enabled county councils to appoint county town committees for the purpose of advising the councils on any matter relating to the administration of the county town. The Counties Act 1956 prescribes a minimum population of two hundred, with an average density of not less than one person to the acre for a county town.

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 United Kingdom 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 until 1955 when the total was 146. In April 1958 the total was 143.

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 remained subject to county control, although such control was practically confined to the main and county roads in the town district; in such circumstances it was 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 1958 was thirty (16 independent and 14 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.

An amendment passed in 1944 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 either of the following qualifications 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. Residential qualification, which may be held by a person who is or has the status of a British subject or is an Irish citizen, and 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. Residential qualification, which may be held by a person who is or has the status of a British subject or is an Irish citizen, and 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.

Town Districts.—The franchise is the same as for boroughs, except that for county electoral purposes in dependent town districts the county qualification is necessary.

Rabbit Districts.—Where the rates of the district are based on the acreage and rateable value of land occupied by the ratepayer, the franchise is the same as that exercised for County Council elections. Where the franchise is based on stock ownership, from one to five votes are allowed according to the number of stock units owned.

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 Metropolitan 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 Authorities Loans Act 1956. 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, Transport Boards, Gas Boards, the Auckland Harbour Bridge Authority, the Christchurch - Lyttelton Road Tunnel Authority, and the Waikato Valley 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 from the action of enemy sympathizers.

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 shall consist of a Chairman and two other members, one of whom shall have a special knowledge of urban local government, and the other a special knowledge of rural local government.

The functions of the Commission are to review the functions and districts of local authorities, and to inquire into proposals and prepare schemes for their reorganization. Reorganization schemes may provide for the union of adjoining districts, the merger, constitution, or abolition of districts, the alteration of boundaries, the conversion of a district into one of a different kind, the transfer of functions of one local authority to another, or the dissolution of a local authority.

The Act provides for the appointment of a Local Government Appeal Authority whose function is to sit as a judicial authority to determine appeals made from decisions of the Commission. Any decision finally approving a scheme of reorganization of districts may be appealed against only by the following parties:

  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.

BORROWING.—The Local Authorities Loans Act 1956 brings together in one Act the whole of local government borrowing legislation formerly provided for in the Local Bodies Finance Act 1921–22, the Local Bodies Loans Act 1926, and the Local Government Loans Board Act 1926. Under this Act all loan proposals of local authorities, except in regard to money borrowed in anticipation of revenue, require the sanction of the Local Authorities 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.

A local authority is 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 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 Authorities 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 cases such as renewal loans, loans raised for emergency expenditure by reason of flood, storm, earthquake, etc., or loans for work of national and local importance and carried out by an agreement between the Government and a local authority.

Where a poll is required it shall be deemed to be carried if a bare majority of the valid votes recorded is in favour of the proposal. 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. 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 Is. in the pound on the annual value is equivalent to 3/4 d. in the pound on the capital value. The Rating Amendment Act 1954 further provides that the Valuer-General may act as a local authority's valuer where an annual value roll is to be prepared. (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 Authorities Loans Act 1956. 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 Act 1956 the ratepayers within a county town may require the County Council to take a poll within the town 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 1955–56 in those districts which 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.

† Includes one Board with the powers of a Drainage Board which also rates on an acreage basis.

Counties6659   126*
Boroughs1141715  146
Town districts16145  35
Road districts12   3
River districts46 3 13
Catchment districts 13   13
Land-drainage districts2813 1 42
Water-supply district   1 1
Rabbit districts 2 1853190
            Totals229126201903569*

The position in regard to the four major classes of local authorities at 1 April 1956 (i.e., the beginning of the 1956–57 financial year) is set out in the following table. The figures in parentheses are proportions per cent of the total.

Rating onTotal for New Zealand
Unimproved ValueCapital ValueAnnual Value
No.PopulationNo.PopulationNo.PopulationNo.Population*

* Population at 17 April 1956, exclusive of persons on shipboard, etc.

† Includes Sounds and Fiord Counties in which the Counties Act was not then wholly in force, and Chatham Islands County for which export and import dues arc charged in lieu of rates on land.

Counties (excluding town districts64445,66058336,477  125†783,623†
 (51.2)(56.9)(46.4)(42.4)    
Cities and boroughs1141,065,9751655,61715238,7551451,360,347
 (78.6)(78.4)(11.0)(4.1)(10.4)(17.5)  
Independent town districts108,89375,15232,0102016,055
 (50.0)(55.4)(35.0)(32.1)(15.0)(12.5)  
Dependent town districts62,47583,6461561156,682
 (40.0)(37.0)(53.3)(54.6)(6.7)(8.4)  
            Totals1941,523,00389400,89219241,3263052,166,707
 (63.6)(70.3)(29.2)(18.5)(6.2)(11.1)  

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.

The following table shows the amounts levied under the various systems of rating and by annual fees or charges by counties, boroughs, and town, and road districts for the year ended 31 March 1956. Amounts levied for other local authorities are included.

£
System of RatingUniform Fees and ChargesTotal
Unimproved ValueCapital ValueAnnual Value
* Includes file rates levied on improvements value, viz.—Counties, £1,612; Boroughs, £1,356.
Counties3,638,9912,485,39411,50831,177*6,167,070
Boroughs7,375,507878,7082,922,1891,304,848*12,481,252
Town districts28,93422,68813,02613,18377,831
Road districts20,8242,878  23,702
            Totals11,064,2563,389,6682,946,7231,349,20818,749,855

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 is 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.

While a district scheme is being prepared a Council may refuse its consent to the carrying out of any development that would be in contravention of the scheme and falls within the definition of a "detrimental work"; but the person injuriously affected may appeal against such a decision to the Appeal Board.

When completed and recommended by the Council a district scheme is publicly notified for inspection, and any member of the public, other local authorities, and the Minister may object to any provision of the scheme. In the event of the objection not being sustained by the Council the objector may appeal to the Appeal Board whose decision is final.

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 Authorities 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 4 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 Authorities 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 Year-Book).

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
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
195416,421,12732,322,1351,200,11449,943,37619,306,55569,249,931
195518,259,12835,313,7313,765,56757,338,42617,279,85674,618,282
195618,883,18338,395,8213,998,83261,277,83621,424,12282,701,958

Local authorities received by way of rates in the financial year 1955–56 a total amount of £18,883,183, and the sum of £747,408 was raised by licences, making £19,630,591 altogether from taxation, which is equivalent to £9 2s. 7d. per head of the total mean population.

During 1955–56 rates formed 30.8 per cent of the revenue proper; public utilities, licences, rents, and other sources yielded 62.7 per cent; and 6.5 per cent came from the General Government.

Revenue proper in 1955–56 was £3,939,410 greater than in 1954–55, while receipts other than revenue increased by £4,144,266. Rates accounted for £624,055 of the revenue increase, and public utilities, licences, rents, etc., for £3,082,090.

Of the revenue proper of counties, which amounted to £9,498,399 in 1955–56, no less a sum than £5,674,585, or 59.7 per cent, was raised by way of rates. Town districts, road districts, river districts, catchment districts, land-drainage districts, and the water-supply district also rely on taxation for the greater part of their income. In the case of boroughs and Harbour Boards, on the other hand, rates supply a considerably smaller proportion of the total revenue. During 1955–56 this source of income accounted for 42.9 per cent of the total revenue of boroughs and 9.0 per cent of that of Harbour Boards Rates collected for, or to meet levies by Urban Drainage Boards, Urban Transport Boards, Nassella Tussock Boards, and Fire Boards are included as revenue from rates by the levying authorities. Electric-power districts did not rate during 1955–56.

The next table shows the receipts for 1955–56 (classified as in the preceding table) for each type of local authority.

£
Revenue FromReceipts not RevenueTotal Receipts
RatesPublic Utilities Licences, Rents, etc.Government

* Including contributions from authorities levying rates.

† Levy on milk.

‡ Harbour improvement rate, £272,291, and rates on land in harbour rating area, £243,049.

Counties5,674,5851,876,9841,946,8305,951,22415,449,623
Boroughs11,503,05413,824,9661,472,7337,270,04534,070,798
Town districts96,62462,02318,50268,071245,220
Road districts22,5473,1595,76932,11863,593
River districts77,87929,214 50,521157,614
Catchment districts413,579337,651 685,5571,436,787
Land-drainage districts103,49924,835 43,674172,008
Electric-power districts 12,748,008 2,862,07715,610,085
Water supply district6,61948 76,674
Urban drainage districts 756,115* 1,117,1691,873,284
Urban transport districts 2,424,823* 523,8242,948,647
Railway district 39,220 63539,855
Gas district 132,970 62,440195,410
Milk districts16,69725,430 37,01179,138
Nassella tussock districts 15,404*12,58010,47538,459
Joint Transit Housing Committee 4,535  4,535
Harbour Bridge Authority 504 609,011609,515
Plantation board 19,825  19,825
Rabbit districts452,76070,661421,146296,2011,240,768
Fire districts 827,499*85,408421,2911,334,198
Harbour boards515,3405,171,94735,8641,382,7717,105,922
Totals18,883,18338,395,8213,998,83221,424,12282,701,958

Of the total rates (£18,883,183) collected during 1955–56 general rates levied brought in £11,976,775 and other rates (including penalty on overdue rates) £6,906,408, Of the latter, £5,663,385 was received by boroughs and £1,004,046 by counties. The whole of the rates collected by Harbour Boards (£515,340) were classed as general rates.

It is of interest to note that for the year 1955–56 the total of all rates collected by counties was equal to £7.62 per £1,000 of rateable capital value (land and improvements) at the beginning of the year. The corresponding figure for boroughs was £10.27, for independent town districts, £11.38, and for dependent town districts £4.82 (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, 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 transport receipts, interest on deposits, wharf dues, etc.

Of the total revenue of £13,824,966 accruing to boroughs under this head in 1955–56, £1,499,970 represented transport receipts, £5,655,263 sales of electric light and power, and £1,017,872 sales of gas. Comparable figures for 1954–55 were £13,062,298, £1,575,388, £5,229,344, and £947,309 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 1956 is given in the next table.

£
Year Ended 31 March
19521953195419551956

* Amount carried over from 1953–54.

† Main Highways Board prior to 1954–55.

Rates on Crown lands31,85021,20721,46119,87525,495
Fire Service Council63,08964,08872,45583,38685,408
Timber and flax royalties44,39547,96049,17654,30061,696
Goldfields revenue and gold duty14,35211,4419,5369,7639,065
Fees and fines27,53737,76937,94839,97243,386
Subsidies—
    National Roads Board†—
        On rates265,958268,688284,0821,636,5091,860,831
        On population1,403,5301,432,260
    Rabbit Destruction Council370,601376,565392,090416,598421,146
Motor-spirits tax280,944294,452325,81894,615* 
Other revenue receipts5,4976,2107,5487,01959,545
                Totals, Revenue Account1,104,2231,128,3801,200,1143,765,5673,998,832
Loans from State Advances Corporation (Housing Account only)48,21281,60290,018155,051182,215
Loans from Treasury15,66193,33648,05525,0369,371
Loans from Ministry of Works6,92013,703143  
Advances from National Roads Board21,63518,3242,4242,80039,000
Advances from Soil Conservation and Rivers Control Council48,17966,47616,39823,60019,535
Advances from Fire Service Council3,675 1,1953,82915,630
Grants for special works, etc., from—
    Department of Labour38,21832,68632,68932,50129,367
    National Roads Board1,409,8491,664,1901,774,6562,309,2653,788,693
Soil Conservation and Rivers Control Council1,394,0611,552,7711,832,977614,423691,517
Ministry of Works757,586974,975
Other Departments1,036,606875,514
            Total receipts from Government4,090,6334,651,4684,998,6698,726,26410,624,649

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
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
195453,663,6321,660,0514,056,2592,594,9436,314,20668,289,091
195558,094,0121,455,1314,583,3572,873,7596,974,28573,980,544
195666,418,0111,080,4204,856,9463,156,9588,046,70183,559,036

Included in the total of other payments for 1955–56 is an amount of £4,708,589 in respect of amortization of debt, which compares with the figure of £4,268,379 for the same purpose in 1954–55.

The main items of expenditure of the various classes of local authorities during 1955–56 are shown below.

£
Works and Utilities (Construction and Maintenance)Hospital Board LeviesAdministrationInterest on Loans and OverdraftAmortization of DebtTotal Expenditure*
*Including other items totalling £3,338,112.
Counties13,287,048453,1051,144,423210,349410,27415,785,069
Boroughs27,493,589621,9571,585,3411,439,7532,130,80134,759,366
Town districts184,8793,82321,9424,48110,664230,612
Road districts50,7851,5356,0817002,07561,847
River districts154,385 13,8336,0937,497182,059
Catchment districts1,154,000 214,27525,53679,4781,504,223
Land-drainage districts136,577 14,5646,74215,749176,424
Electric-power districts11,754,001 1,136,486683,4681,168,82715,261,469
Water supply district6,405 902401547,501
Urban drainage districts1,528,571 117,090158,773154,1492,011,356
Urban transport districts2,610,927 97,658134,552198,4683,069,669
Railway district27,310 3,441229 38,205
Gas district166,879 6,3508,6518,531191,478
Milk districts55,569 15,9651391,06874,326
Nassella tussock districts34,612 1,5817 36,200
Joint Transit Housing Committee1,332 1,112  6,444
Harbour Bridge Authority407,396 7,17615,181 429,753
Plantation board13,685 3,236  17,891
Rabbit districts1,159,971 89,9266,1265,1811,267,093
Fire districts1,071,411 27,24540,55754,7721,267,427
Harbour boards5,118,679 348,319415,581460,9017,180,624
            Totals66,418,0111,080,4204,856,9463,156,9584,708,58983,559,036

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.

Per Cent
Works and Utilities (Construction and Maintenance)Hospital Board LeviesAdministrationInterest on Loans and OverdraftAmortization of DebtTotal Expenditure*

* Includes other items.

† Includes districts not listed.

Counties84.172.877.251.332.60100.00
Boroughs79.101.794.564.146.13100.00
Town districts80.171.669.511.944.62100.00
Catchment districts76.72 14.241.705.28100.00
Electric-power districts77.02 7.454.487.66100.00
Urban drainage districts76.00 5.827.897.66100.00
Urban transport districts85.06 3.184.386.47100.00
Rabbit districts91.55 7.100.480.41100.00
Fire districts84.53 2.153.204.32100.00
Harbour boards71.28 4.855.796.42100.00
Totals, all districts79.491.295.813.785.64100.00

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 WorksTotal
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
1952369,580254,909683,34376,52791,620305,515438,2072,299,701
1953790,786381,5091,145,755136,140162,626462,552437,0963,516,464
19541,004,644427,6531,310,207252,235243,739905,696610,8274,755,001
19551,300,461587,2991,637,042246,448441,824450,956571,7285,235,758
19561,319,290852,4091,802,337299,387686,591365,893546,1655,872,072

ASSETS AND LIABILITIES.—The assets and liabilities of local authorities at the end of the financial year 1955–56 were as shown in the table following.

£
AssetsLiabilities
Cash AssetsOther Assets (as Estimated in Published Balance-sheets)Debentures and Other Securities: Net IndebtednessOther LiabilitiesTotal Net Liabilities
Counties3,243,63310,946,3184,794,0031,394,0766,188,079
Boroughs12,534,56877,996,39336,371,0513,891,32140,262,372
Town districts122,220616,532139,81640,033179,849
Road districts10,57051,29915,8924,81220,704
River districts100,965123,416141,38011,370152,750
Catchment districts449,0051,949,119617,303209,334826,637
Land-drainage districts68,96462,61488,0707,36995,439
Electric-power districts5,452,63442,785,74017,846,3103,518,32721,364,637
Water-supply district2032,385543 543
Urban-drainage districts643,7503,763,3303,968,369178,2884,146,657
Urban transport districts465,3874,942,9093,137,599589,4843,727,083
Railway district997232,291 10,67910,679
Gas district34,910392,287253,30813,968267,276
Milk districts67,3028,9813,45413,55017,004
Nassella tussock districts11,17518,726 1,6451,645
Joint Transit Housing Committee3,62085 3838
Harbour bridge authority415,619806,2911,191,95029,9601,221,910
Plantation board73,389114,055 988988
Rabbit districts534,521893,714119,47776,552196,029
Fire districts548,3562,907,6591,303,682100,0681,403,750
Harbour boards5,143,44524,155,49310,532,681488,29211,020,973
                Totals29,925,233172,769,63780,524,88810,580,15491,105,042

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. The greater part of the expenditure of counties and road districts is made in this direction. For boroughs, although the proportion is very much less, 20.24 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)
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
195427,295,230140,310,389
195529,435,679155,477,570
195629,925,233172,769,637

Cash assets are made up chiefly of loan balances, reserve investments, and cash in hand. Sinking funds, which amounted to £7,458,859 at 31 March 1956, do not appear in the foregoing table, but are shown as a deduction from the gross loan indebtedness of local authorities. Other assets are composed 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 24 per cent, and Harbour Boards for 14 per cent Counties show the comparatively low percentage of 7, 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 £28,434,553 at 31 March 1956, bringing the total (excluding sinking funds) for all local authorities to approximately £231,129,423.

INDEBTEDNESS.—The total gross debt of local authorities at 31 March 1956 amounted to £87,983,747, while net indebtedness (i.e., after deducting accumulated sinking funds from debentures and other securities) was £80,524,888. Included in the total gross debt are several amounts advanced from Government sources, as follows: Highways votes, £77,690; Soil Conservation and Rivers Control Council, £191,239; Fire Service Council, £22,332; and Treasury, £383,857.

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 1956, at the then rates of exchange, was £87,923,377.

The total gross debt of local authorities at 31 March 1956, including Hospital Boards, was £100,882,376. 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 £2,292,969, £7,598,020, £11,843,155, £7,311,003, and £9,948,217 which took place over the years 1951–52 to 1955–56, show the effect of the large loan amounts sanctioned during the previous 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
19521953195419551956
New Zealand Government Insurance Office4,603,6665,027,7315,696,3305,743,8375,675,956
National Provident Fund Board5,247,5037,617,2648,651,6799,508,11513,402,683
Public Trustee4,222,2753,891,6913,514,0093,161,7652,838,871
State Advances Corporation—
Trading4,384,6305,296,0495,101,4945,179,6857,097,569
Housing Account933,373927,575861,392948,673980,578
Rural Housing Act 1939120,990154,412194,479261,601338,770
Other1,896,3921,984,9762,089,8422,082,7492,274,333
            Totals21,408,82924,899,69826,109,22526,886,42532,608,760
Ratio per cent to total gross indebtedness33.434.731.229.632.3

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
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
194956,181,51648,171,008423,50826,83756,605,02448,197,875
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
195473,444,54465,807,6401,0263573,445,57065,807,675
195579,320,05472,074,757  79,320,05472,074,757
195687,983,74780,524,888  87,983,74780,524,888

Of the total net indebtedness of £80,524,888 at 31 March 1956 boroughs were responsible for £36,371,051, which represents 3.0 per cent of their rateable capital value at 31 March 1956. For counties, which have a much less per caput expenditure on works, etc., the aggregate net indebtedness was £4,794,003, and the percentage of rateable capital value at 31 March 1956 only 0.6.

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.

At 31 MarchPopulationGross DebtAnnual Loan Charge
AmountRate per HeadAmountRate per Head
 ££s.d.££s.d.
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
19542,087,74073,445,57035376,996,154370
19552,130,92779,320,05437467,721,7303126
19562,175,37387,983,747408118,977,546426

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.

£
At 31 MarchCounties and Road DistrictsBoroughs and Town DistrictsUrban Drainage DistrictsUrban Transport DistrictsElectric-power DistrictsHarbour BoardsOther DistrictsTotal
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
19494,914,28326,405,0362,611,7311,534,12611,579,5138,046,4611,513,87456,605,024
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
19524,352,44027,517,2262,703,6231,150,69513,003,5047,496,2311,645,45057,869,169
19534,347,09230,136,5283,151,5111,644,69014,421,8568,886,3611,839,14764,427,185
19544,333,24034,208,4133,571,1322,819,58015,969,82910,362,1202,181,25673,445,570
19554,596,49236,815,5473,960,7433,081,53017,213,36310,811,6642,840,71579,320,054
19565,135,96740,250,6554,933,1043,375,91018,827,03311,619,3973,841,68187,983,747

The debt of road districts at 31 March 1956, which is included with that of counties, was £15,892; the town district debt at the same date was £146,221. The debt of "other districts" at 31 March 1956 was mainly that of river districts (£148,190), catchment districts (£643,010), land-drainage districts (£134,020), gas district (£253,720), and fire districts (£1,347,317).

The following table shows the amount of indebtedness, at 31 March 1956, 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
Counties2,825,519611,515 26,3685,4041,651,2695,120,075
Boroughs9,941,08015,659,7951,919,7794,273,81297,8828,212,08640,104,434
Electric-power districts   18,461,918 365,11518,827,033
Urban drainage districts 4,912,856   20,2484,933,104
Urban transport districts  3,375,910   3,375,910
Harbour Boards    11,570,11849,27911,619,397
Other1,199,31777,288 24,4892,4772,700,2234,003,794
            Totals13,965,91621,261,4545,295,68922,786,58711,675,88112,998,22087,983,747

The debt owing on electric supply and lighting is 25.9 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 24.2.

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
195253,233,5814,259,200360,43792.027.360.62
195359,885,0664,185,500351,78992.966.500.54
195469,108,0534,032,000304,49194.105.490.41
195575,404,8193,612,000303,23595.074.550.38
195684,069,8983,612,000301,84995.554.110.34

During 1955–56 the amount domiciled in New Zealand increased by £8,665,079, while the amount domiciled in Australia decreased by £1,386.

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
19464,970,90623,8864,994,792
19474,904,19120,8434,925,034
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
19546,996,118366,996,154
19557,721,730 7,721,730
19568,977,546 8,977,546

Amortization charges are included in the above, the amount payable during 1956–57 on debt at 31 March 1956 being £5,536,620. Interest charges payable during 1956–57 on the debt outstanding at 31 March 1956 aggregated £3,440,926, payable according to countries of domicile, as follows: New Zealand, £3,241,616; Australia, £16,446 (on face value); United Kingdom, £182,864.

The loans outstanding, at 31 March 1956 are classified below according to domicile, and also according to rate of interest. Reference should be made to observations on page 837 in regard to the currencies in which local authority debts are expressed.

£
Rate of Interest Per CentDomiciled in New ZealandDomiciled in United KingdomDomiciled in AustraliaTotal
Free of interest227,527  227,527
31,571,957 9,9001,581,857
3 1/86,467,794  6,467,794
3 1/418,701,049  18,701,049
3 5/161,454  1,454
3 3/8591,336  591,336
3 1/22,474,796  2,474,796
3 5/8121,080  121,080
3 7/1022,865  22,865
3 3/4510,027  510,027
3 7/8167,713  167,713
435,477,621  35,477,621
4 1/8184,395  184,395
4 1/416,080,530  16,080,530
4 2/530,482  30,482
4 1/297,870767,000 864,170
4 3/5124,785 15,000139,785
4 3/41,052,705  1,052,705
4 4/5154,732  154,732
52,8801,150,000 1,152,880
5 1/51,000  1,000
5 1/4 949,700 949,700
5 1/2 745,30025,488770,788
5 3/46,000 251,461257,461
            Totals84,069,8983,612,000301,84987,983,747

The average rates of interest work out as follows: New Zealand, 3.77 per cent; United Kingdom, 5.06 per cent; Australia, 5.58 per cent: total, 3.83 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.

Loan Maturities.—The following table classifies loans outstanding at 31 March 1956 according to years of maturity and countries of domicile.

£
Years of MaturityDomiciled in New ZealandDomiciled in United KingdomDomiciled in AustraliaTotal
Overdue3,200  3,200
195584,665  84,665
1956–6019,365,1402,910,00044,60022,319,740
1961–6534,151,812702,00023,24934,877,061
1966–7013,274,476  13,274,476
1971–757,966,496 234,0008,200,496
1976–807,153,097  7,153,097
1981–20052,071,012  2,071,012
                Totals84,069,8983,612,000301,84987,983,747

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.

Loans Sanctioned, Authorized, Raised, and Uplifted.—Consents to borrowing by local authorities have been much higher during the last eleven years than for any earlier period, while there were particularly large amounts approved during the last six years. The large amounts sanctioned since 1946–47 are due to the commencement of new works deferred during the war years and latterly to exceptional development in most forms of local activity. The reduction in the two most recent years was caused by the restriction of loan sanctions to essential works as an anti-inflationary measure. That local authorities have themselves co-operated in achieving greater stability is indicated by the reduced total amount of applications made for loan sanctions in the last two years.

The following summary of the operations of the Local Authorities 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
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
1953–5424,908,48523,982,810300,204
1954–5528,586,66625,818,955448,971
1955–5622,503,90615,462,255437,400
1956–5720,951,32617,232,79030,000

From statistics of borrowing which local authorities are required to furnish quarterly, it is possible to ascertain the amount of loan authorizations granted and exercised since 1 April 1954. The tables below show summaries of borrowing at 31 March 1957 by each class of local authority.

LOANS AUTHORIZED DURING YEAR ENDED 31 MARCH 1956—-AMOUNTS RAISED AND UPLIFTED TO 31 MARCH 1957
£
Local AuthorityAmounts Authorized*Up to 31 March 1956During Year Ended 31 March 1957Balance Unexercised at 31 March 1957
Amounts RaisedAmounts UpliftedAmounts RaisedAmounts Uplifted

* Adjusted for amounts revoked or lapsed.

† For the authorizations listed.

‡ Original amount £23,912,355.

County Councils1,101,485746,845694,865131,535170,745223,105
Borough Councils7,455,0505,769,7405,580,440809,040968,140876,270
Electric-power and Gas Boards2,958,3102,735,6002,620,275155,160267,48567,550
Urban Drainage Boards1,399,800908,200891,700375,410391,910116,190
Urban Transport Boards402,000167,500167,500196,730196,70037,770
Harbour Bridge Authority5,198,7101,005,710607,3381,003,320716,9193,189,680
Fire Boards273,690273,690244,990 27,200 
Harbour Boards2,080,0001,761,9001,532,540260,100454,91058,000
Hospital Boards2,527,8002,216,2602,136,260294,350372,35017,190
Others, totally uplifted at 31 March 1956148,900148,900148,900   
            Totals23,545,74515,734,34514,624,8083,225,6453,566,3594,585,755
LOANS AUTHORIZED DURING YEAR ENDED 31 MARCH 1956—-AMOUNTS RAISED AND UPLIFTED TO 31 MARCH 1957
£
Local AuthorityAmounts Authorized*Year Ended 31 March 1956Year Ended 31 March 1957Balance Unexercised at 31 March 1957
Amounts RaisedAmounts UpliftedAmounts RaisedAmounts Uplifted

* Adjusted for amounts revoked or lapsed.

† For the authorizations listed.

‡ Original amount £18,341,300.

County Councils1,424,800616,000471,000499,500563,500309,300
Borough Councils6,735,7002,304,0652,090,3652,581,0052,732,3551,850,630
Town Councils25,65025,40023,4002502,250 
Road Boards7,000  7,0007,000 
River Boards47,50025,45017,45017,65025,6504,400
Catchment Boards57,50047,50022,500 25,00010,000
Land-drainage Boards4,5003,0003,000  1,500
Electric-power and Gas Boards2,701,8901,537,9101,506,790961,780992,900202,200
Urban Drainage Boards1,815,000169,875169,875716,930716,930928,195
Urban Transport Boards740,00075,45075,450221,330221,330443,220
Rabbit Boards27,50025,95023,9501,5501,550 
Fire Boards320,765115,250115,25069,51569,515136,000
Harbour Boards1,572,940774,650343,521554,630569,409243,660
Hospital Boards2,062,569466,950378,2001,389,8201,370,220205,799
            Totals17,543,3146,187,4505,240,7517,020,9607,297,6094,334,904
LOANS AUTHORIZED DURING YEAR ENDED 31 MARCH 1957, WITH AMOUNTS RAISED AND UPLIFTED
£
Local AuthorityAmounts Authorized* During YearAmounts Raised During YearBalance Unexercised at End of YearAmounts Uplifted During Year

* Adjusted for amounts revoked or lapsed.

† For the authorizations listed.

‡ Original amount £19,637,730.

County Councils1,229,811526,555703,256509,225
Borough Councils7,175,9693,441,8803,734,0893,328,930
Town Councils13,2006,7006,5003,400
River Boards3,2003,200 3,200
Catchment Boards92,26052,30039,96047,300
Land-drainage Boards12,5005,5007,0005,500
Electric-power and Gas Boards2,961,4401,083,0801,878,360966,380
Urban Drainage Boards1,507,500693,180814,320693,180
Urban Transport Boards601,80033,800568,00033,800
Harbour Bridge Authority600,000 600,000 
Rabbit Boards20,00012,1007,9004,425
Fire Boards246,65092,400154,25046,550
Harbour Boards2,556,0001,136,0091,419,991969,509
Hospital Boards2,613,0001,807,790805,2101,689,790
            Totals19,633,3308,894,49410,738,8368,301,189

Statistics of the amounts authorized are available from the 1952–53 financial year, and the following table shows comparative debt figures.

£
Year Ended 31 MarchAmounts Sanctioned by Loans BoardAmounts Authorized by Orders in CouncilGross Indebtedness at Beginning of YearAmount UpliftedPrincipal RepaidGross Indebtedness at End of Year
* Estimated.
195318,049,89010,843,85364,181,98111,641,0444,043,02471,780,001
195424,283,01412,121,81771,780,00116,621,9324,778,77783,623,156
195526,267,92623,912,35583,623,15612,804,2695,493,26690,934,159
195615,899,65518,341,30090,934,15915,086,1235,137,906100,882,376
195717,262,79019,637,730100,882,37620,388,5356,604,244114,666,667
195826,649,65625,716,595114,666,66724,000,000*6,700,000*131,867,667*

Interest Rates.—The Local Authorities Interest Reduction and Loans Conversion Amendment Act 1934 limited borrowings to an interest rate not exceeding 3 1/2 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 4 1/4 per cent, but during the period 1941 to 1947 market conditions were responsible for a reduction to 3 1/4 per cent. In 1952 the rate was raised again to a maximum of 4 per cent. The Local Government Loans Board Amendment Act 1954 placed the determining of rates of interest in the hands of the Board, subject to the approval of the Minister of Finance. In October 1955 the maximum rate was raised to 4 1/4 per cent, and a further increase to 4 3/4 per cent was made in March 1956. In June 1956 a scheme of graduated rates was introduced providing for the terms of five, eight, and twelve years the maxima of 4 5/8, 4 3/4, and 4 7/8 per cent respectively. This scheme continued until July 1957, when the rates were again altered to 4 3/4 per cent for terms of up to five years, and 5 per cent for longer periods.

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 1951–52 to 1955–56 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 1955–56 was 2,329), while employees of Hospital Boards are shown in a subsequent table.

Class of Local DistrictNumber of Wage Earners (Average of Twelve Months Ended March)
19521953195419551956
Counties3,3663,3653,4443,6053,781
Boroughs8,5478,9159,2019,2959,477
Town districts128117836761
Road districts3319121413
River districts4840423849
Catchment districts278287341343330
Land-drainage districts5451464637
Water-supply district55644
Urban drainage districts200215234251267
Urban transport districts2,1532,0691,9731,3451,659
Local railway district1818181514
Gas district4036353535
Milk districts11142
Nassella tussock districts1011191821
Joint Transit Housing Committee33222
Plantation Board   1113
Rabbit districts1,2211,1581,003907884
Fire districts481472479467450
Harbour Boards2,4273,0052,9993,0013,072
            All districts19,01319,78719,93819,96820,171

The institutional staff of public hospitals and charitable institutions under the control of Hospital Boards was as follows for each of the five years ended 31 March 1956.

Nature or Staff19521953195419551956
Stipendiary medical9731,0141,0651,1221,165
Other professional and technical9641,0631,1541,1431,224
Nursing7,6188,1018,2168,3078,470
Maintenance and ground842860872764846
Other institutional6,0086,3246,2776,3996,475
            Totals16,40517,36217,58417,73518,180

The numbers of visiting medical staff of Hospital Boards for the last five years ended 31 March are as follows: 1952, 542; 1953, 576; 1954, 598; 1955, 597; and 1956, 676.

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; also to the report of the Royal Commission on Monetary, Banking, and Credit Systems, published as parliamentary paper B.3 (1956). 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, Banking, and Credit Systems. The order of reference was 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 report of the Royal Commission was released in April 1956, and is available as parliamentary paper B.3 (1956) from the Government Printer. A summary of the report (reprinted from the April 1956 Reserve Bank of New Zealand Bulletin) was given as Appendix (d) of the 1956 Year-Book.

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 lime 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". This section is subordinate to section 10 (1) as amended and its practical effect is that, if the Reserve Bank is not in agreement with the policy as communicated by the Minister of Finance, the matter may be referred to Parliament, which, by resolution in the House of Representatives, may direct a certain course of action.

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.

It is the duty of the Government to entrust to the Bank, and of the Bank to undertake, all the money, remittance, exchange, and banking transactions of the Government. The duty of the Bank in respect of reserves is set out later.

The Bank administers the Exchange Control Regulations on behalf of the Government.

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 1957, which were subsequently paid to the Consolidated Fund, amounted to £3,475,477, as compared with £2,674,432 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.

Details of the liabilities and assets of the Bank at the end of June for the years 1953–57, and weekly averages for the calendar years 1947–1957, are shown in the following tables.

LIABILITIES OF RESERVE BANK
£(000)
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.

Weekly Average for Calendar Year
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
195570,08714,1802,09355,7511,0709,095152,277
195670,90412,5571,96360,0321,6469,886156,989
195774,26311,4401,22862,3741,43510,489161,229
At End of June
195362,6054,741 102,2492,5948,921181,111
195467,4798,16723386,4802,0897,896172,344
195568,58111,5212,20045,4491,3688,154137,272
195669,43110,1152,08172,3254,1208,585166,657
195772,7129,1711,35169,2871,48812,263166,272
ASSETS OF RESERVE BANK
£(000)
YearReserveSubsidiary CoinAdvancesInvestmentsOther Assets*
GoldSterling ExchangeOther Exchange*StateMarketing OrganizationsOther Advances and DiscountsOverseasIn New Zealand

* Prior to 1950 the figures for "Other Exchange" were 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
19472,80285,300 4728,5101,15753,8267491,046
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
19556,16346,71042457135,58117,38810,93922,95410,666882
19566,16239,75153558641,23115,81812,36426,95912,5031,081
19576,16238,98249658539,92227,7683,75228,29214,1951,075
At End of June
19536,02165,89866562752,63111,1446,01923,84013,1661,100
19546,17093,51943860730,05611,4315,36923,716234805
19556,16154,34037457912,49721,8416,93422,89110,3661,289
19566,16251,71541359736,61217,25214,85927,78610,387875
19576,16254,98931860830,10831,2263,76427,73610,388973

NOTE.—Total assets are equal to total liabilities.

The fall in the Reserve Bark'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 127 and 128 of the Companies Act 1955 (relating to branch registers) apply to banks incorporated in New Zealand; and those of sections 407 to 412 (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; the provisions of Part XV of the Act (which relate to annual licences) shall as far as they are applicable apply to banks; and also the provisions of section 464 (2) (which relates to the production and inspection of books where an offence is suspected); 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. 10 1/2d. 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 7 and 3 per cent respectively. For a summary of the changes in these proportions refer to page 855.

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—the Australia and New Zealand Bank, the Bank of New South Wales, and the Commercial Bank of Australia—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 1957 was £4,904,475, while expenses amounted to £4,431,923, leaving a net profit of £472,552. Comparable figures for the previous year were £4,783,221, £4,272,725 and £510,496 respectively. The total assets at 31 March 1957 amounted to £144,351,233, the principal items comprising this total being: coin, Reserve Bank notes, and deposits with bankers, £25,722,062, money at call and short notice, Government securities and other securities in London, £8,290,760, securities of, or guaranteed by, New Zealand Government, £11,371,271, and advances, etc., £72,199,749. The principal item of liabilities was deposits (£122,858,483), while bills payable, etc., amounted to £8,758,026. The reserve fund, which is invested in United Kingdom Government securities, amounted to £3,575,000, and provision for taxation to £890,723. 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 certain liabilities and assets in respect of New Zealand business. Monthly averages for calendar years 1947–57, and figures as at the last Wednesday in June for the years 1953–57, are given in the next table.

LIABILITIES OF TRADING BANKS
£(000)
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
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
1955236,8765,91152,1161,041295,943
1956236,4855,86042,269857285,471
1957246,6705,70736,6131,001289,992
At End of June
1953219,3783,94157,804848281,971
1954240,9445,73150,7801,100298,554
1955238,6234,67846,093740290,133
1956240,7595,10043,937815290,611
1957255,1864,42635,7831,044296,439
ASSETS OF TRADING BANKS
£(000)
YearCoin and BullionReserve Bank NotesBalances Held in Reserve BankOverseas Assets*Securities HeldAdvances and DiscountsLand, Buildings, etc.Total 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
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
19551,37110,22856,94725,64725,171180,0475,315304,728
19561,32610,76560,26625,83723,783167,3856,157295,517
19571,31112,74763,82626,23423,650162,8066,868297,442
At End of June
19531,5099,858102,12631,69013,848128,2954,044291,371
19541,46210,34386,35928,16126,100149,4584,437306,320
19551,3549,57745,47731,24625,941184,3025,276303,174
19561,3159,93672,21625,59123,793164,6816,104303,636
19571,29812,05069,19635,35823,656156,8056,761305,124

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.

 £(000)Per Cent£(000)£    s.£(000)Per Cent
1947122,06840,460302164,17091    676,47646.58
1948130,94142,690307175,66995    1588,16050.19
1949142,59841,292345186,09299    883,35744.79
1950157,57142,201373202,200105    1894,71546.84
1951205,33642,500483250,723128    15132,91753.01
1952207,04442,436488252,968126    15169,64167.14
1953222,07739,832558265,269129    10136,82751.38
1954236,54640,721581281,750134    10156,57355.71
1955233,36339,414592279,855130    17182,92965.37
1956229,36535,245651268,734123    2170,64863.50
1957235,82238,697609278,858124    18164,87759.13

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 1957 as compared with 1947 being £113.8 million or 93 per cent. Fixed deposits moved slowly upwards from 1944 to 1948, remained stable until 1952, fell in 1953, rose slightly in 1954, and, after decreasing in 1955 and 1956, rose again in 1957. Advances rose steadily until 1955 (apart from a check in 1949 and fluctuations associated with the import boom in 1952). During 1956 and 1957 the policy of credit restraint induced a substantial decline.

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 1953 is shown in the next table.

£(000)
Month19531954195519561957
March257,892282,893291,819277,912279,871
June276,431293,025286,482274,724290,852
September264,395274,289267,710258,595270,457
December271,305282,769270,405269,268274,268

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 1953 is next shown.

£(000)
Month19531954195519561957
March142,133148,588184,771182,101168,596
June132,163150,764187,807169,403162,502
September135,395166,036181,730166,338165,418
December140,651173,355181,164161,442173,118

The following table shows the movement in advances. Government and other securities held, and deposits during the years 1947–57, the amounts being the averages of the figures for the last Wednesday of each month.

YearAdvances (Including Discounts)Securities HeldTotal Advances and SecuritiesTotal DepositsRatio of Advances (Plus Securities) to Total Deposits
GovernmentOther
 £(000)Per Cent
194776,24720,9132,12499,283164,89560.21
194886,47016,9531,942105,366177,63759.32
194981,98112,8561,81396,650188,38551.30
195094,06511,7301,677107,472205,29552.35
1951133,07911,7161,527146,323253,91857.63
1952166,56011,7011,335179,596253,52870.84
1953134,45511,6882,348148,492266,98955.62
1954154,78712,00213,151179,940283,90763.38
1955180,04711,61813,552205,218282,09672.75
1956167,38511,37612,406191,167269,84770.84
1957162,80611,37912,271186,456279,87666.62

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 matured and not to permit reinvestment of the proceeds in Government stocks. The increase in other securities from 1954 reflects the sales of State Advances Corporation securities totalling £12 million to the trading banks in December 1953 and March 1954.

An analysis of advances of the New Zealand trading banks is published by the Reserve Bank of New Zealand, and the classification is given in the following table.

£(000)
27 June 195626 Sept. 195613 March 195711 Sept. 195712 March 1958
BUSINESS AND FARMING ADVANCES
1. Farming, forestry, hunting, and fishing—
    (a) Mainly dairy farming11,95411,60610,57912,11610,616
    (b) Mainly sheep farming9,45710,7559,0669,90910,769
    (c) Other farming4,6114,4903,9553,8914,045
    (d) Farm services424529532562866
    (e) Forestry, hunting, and fishing613530551642570
                Sub-totals27,05827,91024,68427,12026,866
2. Mining and Quarrying382351401631699
3. Manufacturing—
    (a) Dairy companies, factories, etc.2,2279,5663,1759,5102,685
    (b) Freezing works, meat companies, etc.15,6446,95018,5506,83620,149
    (c) Other food, beverages, and tobacco5,2765,1034,6825,0034,677
    (d) Textiles, footwear, and clothing5,2845,6935,8636,1907,166
    (e) Pulp and paper and paper products2,1611,9402,5962,5322,215
    (f) Metal products, machinery, and engineering7,2556,7936,7366,3116,028
    (g) Transport equipment2,5182,4242,8012,7854,077
    (h) Other manufacturing10,64010,78811,31411,21610,418
                Sub-totals51,00649,25655,71750,38457,416
4. Construction7,0037,0977,3997,9067,758
5. Electricity, gas, water, and sanitary services1,0061,1051,3421,3291,091
6. Transport, storage, and communication3,1483,0253,1513,2853,291
7. Commerce, trade, and finance—
    (a) Wholesalers, mainly importers12,13312,95413,23613,58214,793
    (b) Wholesalers, other4,4644,0944,6014,8884,832
    (c) Retailers14,53113,92813,79313,80715,643
    (d) Woolbuyers5,4252,27510,2885,9648,361
    (e) Stock and station agents1,6473,9983,3832,3006,435
    (f) Finance companies (mainly hire-purchase)1,7401,6791,8031,6251,985
    (g) Other financial institutions2,3752,3371,7581,9502,139
                Sub-totals42,31441,26448,86244,11554,188
8. Local authorities1,1369058571,940731
9. Services7,6127,1367,0827,0547,430
PERSONAL ADVANCES
10. (a) For housing purposes8,2117,6147,5527,4318,068
(b) Other personal advances9,5129,2769,4339,75910,382
                Sub-totals17,72316,89016,98517,19018,450
                TOTAL ADVANCES158,390154,938166,480160,954177,919

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 treed from control.

The number of restricted classes was 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 with 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 from 1953–54 without change in the rules relating thereto, except that the period for which advances could be granted for housing purposes was extended to five years from May 1953, provided the advance did 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 authorized 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.

On 31 May 1956 the Reserve Bank announced important changes in the method of calculating the minimum balances which the trading banks must hold at the Reserve Bank. The main changes made are: (a) the banks' holdings of notes will be counted as part of the minimum cash required to be held by them, and (b) the extent to which the banks will need to borrow from the Reserve Bank will be related to the amount by which their actual advances and discounts exceed what is regarded by the Reserve Bank as an appropriate level.

In this way pressure on the banks will be related more directly to the level of their advances, with an assurance that to the extent that they eliminate those excess advances the pressure of the reserve ratios on their cash will be eased.

The figure of excess advances is revised from time to time in the light of changes in actual advances, economic conditions, seasonal requirements, and factors outside the control of the banks themselves.

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.

† From 1 June 1956 figures are not comparable with earlier percentages because the banks' holdings of Reserve Bank notes (normally about £10 million) are included in their minimum cash, which will be the total of balances at the Reserve Bank and notes held.

1934 to 31 July 195273
1 August 1952–7 December 1952105
8 December 1952–10 May 1953*157 1/2
11 May 1953–30 May 19542010
31 May 1954–31 August 19542512 1/2
1 September 1954–30 November 19542010
1 December 1954–27 February 19552512 1/2
28 February 1955–1 June 1955157 1/2
2 June 1955–30 June 195516 1/27 1/2
1 July 1955–31 July 1955207 1/2
1 August 1955–6 October 195521 1/27 1/2
7 October 1955–23 January 1956247 1/2
24 January 1956–28 February 1956267 1/2
29 February 1956–22 April 195673
23 April 1956–2 May 1956203
3 May 1956–31 May 1956243
1 June 1956–12 July 19563210
13 July 1956–26 July 19563010
27 July 1956–13 September 19562710
14 September 1956–30 September 19563010
1 October 1956–8 November 19563412 1/2
9 November 1956–20 December 19562910
21 December 1956–28 February 19573110
1 March 1957–11 April 19571510
12 April 1957–2 May 195722 1/210
3 May 195726 1/210
25 October 19572815
28 February 1958105
28 April 19582610

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 late 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 deal with applications for capital issues, including shares, debentures, mortgages, and deposits, and affecting mainly companies—not private individuals or partnerships. Consent is required if the total raised exceeds £10,000 in any period of twelve months. Approval 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 1953–57.

YearShare IssuesMortgages and DebenturesTotal*
New CompaniesExisting Companies
No.ValueNo.ValueNo.ValueNo.Value

* In some cases a company is granted a share issue and mortgage resulting in the individual items not adding to the total.

† Includes approvals for issues by Tasman Pulp and Paper Co. Ltd. to overseas concerns—viz., £4.5 million (shares £2 million and debentures £2.5 million), and to the public £4.35 million.

  £(000) £(000) £(000) £(000)
19531665,2561818,6032028,21446522,073
19542428,36126916,62627811,41169836,398†
19552076,52126524,9303019,05667940,507†
19562566,79920020,2223509,45867936,479
19573416,17023514,98256019,63489940,786

Debits.—The following table shows weekly averages of bank debits for each of the years 1947 to 1957.

£(000)
YearDebits Other Than GovernmentGovernment Debits
194740,5474,927
194843,0625,862
194945,1616,329
195056,2427,120
195170,2348,496
195270,5549,951
195373,99610,063
195484,62510,792
195590,31710,809
195691,97611,172
1957100,92211,868

Debits represent the total amount debited to customers' accounts 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, 1954, and 1957 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 eight years.

Averages of debits (other than Government) for the four or five weeks ending on the last Wednesday of each of the quarter months from March 1953 onwards are now given.

£(000)
Month19531954195519561957
Debits, Other Than Government
March90,860102,146115,183119,408120,273
June68,69688,10390,59986,51099,834
September68,09781,98480,18182,13490,326
December87,07298,14994,919101,500113,291

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 1947–57.

£(000)
YearAverage for Calendar YearAt End of June
194746,66948,262
194850,65050,216
194957,68658,730
195064,17863,116
195172,23076,425
195269,88868,825
195393,46493,095
1954110,298111,653
1955100,819100,087
195694,56795,035
1957103,743106,228

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 1947–57, and the position as at the last Wednesday in June for the years 1953–57.

£(000)
YearTotal Note IssueNotes Held by Trading BanksNet Note Circulation
Average for Calendar Year
194747,6827,55540,127
194848,9308,13440,796
194951,3128,77742,535
195055,1269,89845,228
195160,36111,39148,970
195262,25211,27350,978
195364,03510,64853,387
195469,21411,54157,673
195570,08810,63159,458
195670,90410,91759,987
195774,26313,04761,216
At End of June
195362,6059,85852,747
195467,47910,34357,136
195568,5819,57759,004
195669,4319,93659,495
195772,71212,05060,662

The following diagram of notes in circulation based on weekly averages 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 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 analysis of the net bank-note circulation, as at the last balance day in June, is compiled by the Reserve Bank of New Zealand, and the figures for the years 1947–57 are contained in the following table.

£(000)
Last Balance Day in JuneReserve Bank Note Issue (Excluding Trading Bank Holdings)Total Reserve Bank Issue in CirculationTrading Banks' Notes OutstandingTotal Net Note Circulation
10s.£1£5£10£50
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
19551,5379,54634,00410,2493,31658,65335159,004
19561,5869,42334,32510,6593,15259,14535059,495
19571,6119,48234,77611,3193,12460,31235060,662

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.

$N.Z.(000)
YearTrading Banks' 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 £27,736,000 at the end of June 1957, and averaged £28,292,000 for the calendar year 1957. Prior to 15 August 1951 the corresponding amounts were shown under the "Sterling Exchange" heading.

Monthly Average for Calendar Year
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
195520,2105,43746,03623,61395,2966,9524288,302
195620,1435,87039,04327,60292,6576,7027085,886
195719,9096,47438,22928,66093,2716,7186386,490
At End of June
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
195525,4715,77554,34023,594109,1795,418120103,642
195619,5576,03451,71528,318105,6145,9154299,667
195729,1196,23954,98928,229118,5765,47034113,071

The overseas assets of the banking system rose during the war years to reach a peak of £102.6 million in 1947. Figures from 1948 to 1950 showed successive declines to an average of £75.1 million. 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. Largely on account of the greater volume of imports there was a marked fall in overseas assets in 1955, and the same factor, associated with higher import prices and reduced export prices for dairy produce, caused a further fall in the latter part of 1957, the December 1957 figure being the lowest December figure since 1942.

The following diagram shows the movement in the net amount of overseas assets from 1938 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.

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 1956 and 1957, 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 to 1955 are given in preceding issues of the Year-Book.

£(N.Z.)00O
Item19561957
Sterling AreaDollar AreaOther CountriesTotalSterling AreaDollar AreaOther CountriesTotal

* Includes £(N.Z.)4,736,000 net contra export prepayments.

NOTE.—Minus sign (-) denotes a deficit.

Receipts
Current items—
    Exports—
        Butter40,9654456,42547,83438,3637421,50740,612
        Cheese20,6881911420,89214,5041359314,732
        Meat62,5121,1536,86870,53359,7896,0854,98670,859
        Wool44,10315,07739,32898,50946,71910,39151,482108,592
        Other26,73910,1847,27044,19329,68510,2539,68349,621
                Totals, export receipts195,00727,04959,904281,961189,06027,60667,751284,416
    Transport3,512292633,8665,681601996,381
    Insurance1,2346861,3081,69262231,778
    Travel (excluding fares)2,529303282,8612,995450283,473
    International investment income—
        Interest and dividends4,684231294,8354,374222114,607
        Other investment income49721525706612211694
    New Zealand Government receipts, and expenditure by other Governments in New Zealand9082712471,4261,3873292461,961
    Miscellaneous—
        Commissions, royalties, and rebates1,255198411,4941,397290631,751
        Expenses of business firms441147296185094632587
        Personal receipts, legacies, and immigrants' transfers7,0475011877,7358,1025631978,860
        Other current transactions39755946147710571654
                Totals, current217,51228,92860,695307,134216,33430,09768,733315,163
Capital transfers—
        Private5,9336161436,6925,1471,1061506,404
        Government5,6194,662110,2821,722 5,0196,741
                Totals, capital11,5545,27814416,9756,8681,1065,16913,144
    Cook Islands exports685230151358851175
    Unidentified541537390102103
            Grand totals, receipts229,18834,27360,872324,333223,32831,30273,955328,584
Payments
Current items—
    Imports—
        Licensed20,4409,1142,22631,77923,2858,4712,67334,429
        Decontrolled167,20316,05511,479194,737198,71019,59515,333233,639
        Government25,6061,4583327,09828,8781,52210730,507
        Other2,866672323,164    
            Totals, import payments216,11526,69313,970256,778250,87329,58818,113298,575
    Transport5,7414591376,3377,7436533018,697
    Insurance—
        Premiums36783378524206549
        Claims5323 76556162
        Other transfers1,1922721,2221,59843 1,643
    Travel (excluding fares)6,3483311296,8095,8374511786,466
International investment income—
        Interest and dividends2,4231,738174,1792,9042,524345,462
        Other investment income2,410460192,8892,022170302,221
        Government interest3,087112 3,1983,547180 3,727
        Local authority interest337  337181  181
    Government expenditure overseas5,2525533486,1548,3164494079,172
    Miscellaneous—
        Commissions, royalties, and rebates2,0125654943,0711,5445786422,765
        Expenses of business firms3,424969974,4903,5427511374,430
        Film hire and entertainment292631139372666299904
        Religious and charitable1,459102101,6782,02414992,137
        Personal remittances, legacies, and emigrants' transfers4,0452652414,5504,4212712804,974
        Transfers by temporary residents1,529119881,7361,398180781,657
        Other current transactions874174321,0808741471051,126
            Totals, current256,96033,13715,803305,899297,66936,65620,422354,747
Capital transfers—
    Private7,737*108237,869*2,621299412,961
    Government1,381209 1,5901,782625 2,407
    Local authority6  6513  513
                Totals, capital9,124318249,4664,916924415,882
    Cook Islands imports701889695298132
    Grand totals, payments266,15433,47315,834315,462302,68137,60920,472360,762
    Surplus of receipts over payments−36,96680045,0378,871−79,353−6,307+ 53,483−32,178

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.)7 per day with a maximum of £(N.Z.)150.

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 were required for all subsequent 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 not 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.

The Prime Minister announced on 1 January 1958 that a policy of overall import licensing would be instituted immediately. The new measures were designed to meet the deterioration in overseas reserves which fell to £45.5 million on 25 December 1957. Under the new policy, overseas funds would be allocated to meet all basic needs for imported foodstuffs and as far as possible factories would get raw materials to the full amount required.

On 2 January 1958 the Minister of Customs gave details of the new policy and stated that, as from 1 January 1958, all imports, apart from a few necessary exceptions, would require licences. The former Import Licensing Schedule for 1958, released in August 1957, was withdrawn and a new schedule made available in its place. Goods which were previously exempt from licensing and which were shipped by a vessel leaving a final port of departure by 31 December 1957 were to be admitted without a licence. Licences issued under normal allocations in the new 1958 Licensing Schedule would be automatically eligible for overseas funds, whilst an importer who had already placed orders in excess of the amount of such allocations could apply for "excess" licences. Such excess licences would not be eligible for overseas funds without the prior consent of the Reserve Bank obtained by application through the importer's own bank. Goods shipped before 1 January 1958 on a 1958 import licence issued under the old schedule were to be admitted, but their value was to be deducted from any new 1958 entitlement. Goods ordered as at 1 January 1958, but not shipped by that date, would be charged against 1958 licences. Where the amount exceeded the ordinary entitlement, excess licences had to be applied for.

The Prime Minister stated on 2 January that bona fide importing contracts already entered into would be honoured but that, where licences for 1958 were exceeded, the balance would be charged against 1959 licences.

On 10 February 1958 the Prime Minister stated that the Government was to review all applications for excess import licences because the Government was disturbed by the accumulated evidence of excessive ordering by importers toward the end of 1957. The normal pattern of importing was not to be interfered with.

The position regarding excess licences was clarified when the Reserve Bank of New Zealand stated on 20 February that where excess licences had been granted by the Customs Department, and there was no evidence of over-ordering, remittances would be approved for goods already imported into New Zealand, for goods which were covered by an "on board" bill of lading dated prior to 20 February 1958. Excess licences in respect of goods covered by an "on board" bill of lading dated on or after 20 February 1958 were to be dealt with by the Reserve Bank in the light of the exchange position, but to the extent that the excess licences were supported by a certificate from the Customs Department that the importer was entitled to a normal allocation (in lieu of the excess licence) for the goods for the time being covered by the excess licence, the Reserve Bank would authorize remittances in the normal course.

POST OFFICE SAVINGS BANK: Establishment.—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.

Branches.—There are now 991 branches of the Bank throughout New Zealand and deposits and withdrawals may be made at any of these branches. At the 178 branches which have ledgers a complete service is available and at present about 84 per cent of the total withdrawals are made at these offices, the remaining 16 per cent being made at non-ledger offices either by the demand-withdrawal system (see page 865) or by savings-bank money order or telegram.

Accounts Available.—To meet the savings requirements of all sections of the community, the Bank offers the following types of accounts: Ordinary Post Office Savings Bank; Thrift Club; Home Lay-by; Investment; National Savings; School Savings Bank. Descriptions of the several types of accounts are given later under appropriate headings.

Deposits, etc.—Any sum of 1s. or more, but not including an odd halfpenny, may be deposited to ordinary, Thrift Club, Home Lay-by, and School Savings Bank accounts.

The conditions concerning deposits to Investment accounts and National Savings accounts are mentioned later.

During the year ended 31 March 1957, deposits to ordinary Savings Bank accounts and Thrift Club accounts totalled £131,443,890 and withdrawals £121,319,490, which represents an increase in the value of deposits of £13,132,133 and in the value of withdrawals of £2,662,691 over the previous year.

The number of deposits made was 5,252,747 and the number of withdrawals 2,816,050. The figures for the previous year were 4,650,070 and 2,753,553 respectively. The total number of accounts open increased by 64,909 to reach 1,650,331, and the total amount at credit of depositors' accounts at £236,605,658 was £16,425,257 greater than the previous year. The increase represents interest credited to depositors for the year of £6,300,857 plus the excess of deposits over withdrawals of £10,124,400. The average amount at credit of each account was £143.

The following table covering the activities of the Post Office Savings Bank since 1946 includes family benefit and Thrift Club deposits, but does not include either Home Lay-by accounts, Investment accounts, 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.

‡ Excess of withdrawals over deposits.

 £££££
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
1,372,67277,963,43073,306,1817,654,9083,821,285
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
19551,554,549117,880,900112,842,4865,038,4144,710,920215,671,146
19561,585,422118,311,757118,656,799345,0424,854,297220,180,402
19571,650,331131,443,890121,319,49010,124,4006,300,857236,605,658

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 1957, represented a nominal value of £236,882,974. A summary of the investments is as follows.

 £
New Zealand Government securities234,524,360
Local authority securities98,119
Securities held in London2,260,495
            Total£236,882,974

Post Office Savings Bank Accounts Classified by Amount Groups.—The following is a classification of the balances in Post Office Savings Bank accounts and Thrift Club accounts at 31 March 1955, 1956, and 1957, shown by amount groups and percentage of accounts within each group.

Amount GroupAt 31 March 1955Percentage of TotalAt 31 March 1956Percentage of TotalAt 31 March 1957Percentage of Total
* Apia and Rarotonga accounts not included.
£Number Number Number 
Under 1354,53523.06342,88621.88345,03720.91
1 and under 10368,07023.95384,66424.54437,41526.50
10 and under 50289,71418.85301,44319.24316,85519.20
50 and under 100123,7868.05126,3118.06130,3767.90
100 and under 200125,9558.19131,6838.40126,9977.70
200 and under 30070,7344.6071,2074.5471,7194.35
300 and under 40045,7772.9847,1743.0147,5502.88
400 and under 50036,9522.4036,7602.3437,4982.27
500 and under 60027,3471.7829,2141.8629,2081.77
600 and under 70016,4861.0716,5931.0618,0261.09
700 and under 80012,3670.8012,9320.8313,6580.83
800 and under 90010,0590.6610,0340.6410,6000.64
900 and under 1,0008,2990.548,5900.559,1840.56
1,000 and under 1,50023,8971.5624,5281.5727,5311.67
1,500 and under 2,00011,0220.7210,7630.6912,5690.76
2,000 and under 3,0009,2170.609,2290.5910,7420.65
3,000 and under 4,0001,8280.121,9120.123,2820.20
4,000 and under 5,0006740.047320.051,1980.07
5,000 and over4870.034890.038860.05
            Total number of accounts1,537,206*100.001,567,144*100.001,650,331*100.00

Demand Withdrawal Service.—This service was introduced on 17 December 1956 to provide facilities for the withdrawal of limited sums of money by an individual depositor at any Savings Bank office in the country irrespective of the location of the account. The system applies to ordinary. Thrift Club, and Home Lay-by accounts only. The service is free. A depositor may have a certified specimen of his signature recorded at any Savings Bank office he nominates and by this means withdraw up to a total of £100 in any period of seven days at selected offices. A depositor who does not have his signature recorded may withdraw up to £20 in any period of seven days, provided he can satisfactorily establish his identity.

For the three months ended 31 March 1957, 62,711 demand withdrawals were made, the value of these being £794,403. This system has largely superseded the Letter of Credit system of which mention is made on page 866.

Ordinary Savings Bank Accounts.—These form the bulk of Post Office Savings Bank accounts. An account may be opened individually, jointly with another person, or as a trustee or beneficiary in a trust account. Clubs, societies, sports bodies, and any other non-mercantile body may also have these accounts.

Thrift Club Accounts.—These accounts are designed to meet the needs of salary and wage earners who wish to save something each pay day to provide for annual recurring charges. Thrift Club accounts may be opened by any group of persons. In most cases, employees have a nominated amount deducted from their salary or wages each pay day for crediting to a Thrift Club account in their own name. Where this system does not operate the persons may themselves appoint an agent to collect from members and make the deposits. A passbook is issued to each depositor who may operate on the account in the same way as an ordinary account.

At 31 March 1958, there were 65,701 accounts open, the amount at credit being £2,945,588.

Home Lay-by Accounts.—These accounts were introduced on 1 July 1957. They are mainly designed to assist the home builder or purchaser. Their main feature is a suspensory free deposit of £5 for every £100 saved with a maximum of £50. These accounts may be operated on in the same way as ordinary accounts and they earn the same rates of interest, in addition to the suspensory free deposit. The free deposit does not become payable until evidence is furnished that the funds will be used to purchase or build a home for the depositor's own occupancy.

At 31 March 1958 there were 1,855 accounts open, the amount at credit being £338,983.

Investment Accounts.—These accounts were introduced on 1 October 1957. They are a type of fixed deposit and accounts may be opened by any person or organization not operating for profit. The minimum deposit is £100 and deposits above £100 must be in multiples of £10. Any number of deposits may be made, but they must not exceed £3,000 in the aggregate in any year commencing on 1 October. The minimum term of investment is one year and deposits not withdrawn are automatically reinvested. Withdrawals are permitted at any time, but if any are required in the first year one week's notice in writing is required.

The interest rates are:

For every complete year and any part of a year after the first two—3 1/2 per cent per annum.

On amounts withdrawn in the first three months of the first year—no interest.

On amounts withdrawn after three months in the first year—2 per cent per annum.

On amounts withdrawn during the second year (the full rate being received for the completed year)—2 1/2 per cent per annum.

By 31 March 1958, 2,694 Investment accounts had been opened with a total credit balance of £2,557,166.

Letters of Credit.—This system has been superseded to a large extent by the demand-withdrawal system introduced in December 1956, but there is still a reasonable demand for the service. The letter of credit (like the demand withdrawal) 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 for each being £50, but more than one letter of credit may be obtained if desired. The fee payable is 7d. for the first £10 and 3d. for each additional £5 or part thereof.

During the year ended 31 March 1957, 4,435 letters of credit were issued, the value of these being £149,820. These figures represent a decrease of 2,011 in number and £60,406 in value on the 1956 issues.

Estates.—The Postmaster-General may pay deposits to a maximum of £200 from any type of account to the legal representative of a deceased depositor without requiring him to take out letters of administration or to prove the will. Where there is more than one type of account the aggregate balances must not exceed £200, except in the case of a National Savings account for which a separate maximum of £200 is permitted. 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 a Post Office Savings Bank, Thrift Club, or a Home Lay-by account after the depositor's death, enables the next-of-kin to obtain possession of perhaps much-needed funds without delay or cost.

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 passbook, 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 at their ledger office or by savings bank money-order. Interest is payable at ordinary Post Office Savings Bank rates.

Over the twenty-three years of operation depositors have banked over £2,718,043 and received £160,544 in interest. During the calendar year 1957 there were 1,966,880 deposits totalling £366,068. Since the inception of the scheme more than 128,000 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.
 £ ££££
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
19551,7491,423,153264,87427,448201,89062,98416,490759,226
19561,8321,482,049284,55530,265212,94571,61020,763851,600
19571,9831,966,880366,06832,282231,671134,39725,5011,011,499

On 31 December 1957 there were 205,059 School Savings Bank accounts open.

TRUSTEE SAVINGS BANKS.—The trustee savings bank movement is generally regarded as having originated in Scotland in 1810. The movement spread quickly, and the first such New Zealand bank was established in Auckland in 1847, 20 years before the New Zealand Post Office Savings Bank commenced business. By 1870 nine trustee banks were in existence, but four, namely Lyttelton, Wellington, Napier, and Nelson did not survive the turn of the century. The five remaining banks—Auckland (1847), New Plymouth (1850), Dunedin (1864), Invercargill (1864), and Hokitika (1866) have grown in strength and their activities have become an important factor in New Zealand's economic structure.

The legislation dealing with trustee savings banks is contained chiefly in the Trustee Savings Bank Act 1948, a consolidation of previous enactments. The Act prohibited the formation of new trustee banks and also laid down that no branch office or agency was to be established more than twenty-five miles from the head office. This prohibition was modified by an amending Act of 1957, by which provision was made for the establishment of new trustee savings banks by Order in Council, subject to such terms and conditions as may be specified. Not less than 50 per cent of investments must be held in the form of Government stock, and at least 5 per cent of depositors' balances are to be kept as cash in hand or on current account. Repayment of deposits is guaranteed by the State.

In addition to ordinary deposits, recent legislation empowers trustee savings banks to accept investments similarly to the Post Office Savings Bank, by way of deposits in Home Lay-by or Investment accounts. The maximum rates of interest payable on deposits are fixed by Order in Council. Maximum rates payable on these and other deposits are given on page 876.

The total amount to credit of depositors at 31 March 1957 was £49,107,943.

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.

NOTE.—This statement does not include national savings investment accounts.

 £££££
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
1955382,35726,924,40326,187,607736,796957,82442,826,141
1956389,25729,207,61728,264,611943,0061,015,87744,785,024
1957400,39533,431,49730,407,8453,023,6521,299,26749,107,943

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 1957.

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.
 £££££
Auckland266,57018,694,71616,784,1271,910,588811,79030,364,313
New Plymouth31,1452,611,3442,182,223429,121114,2094,343,280
Hokitika3,030158,654159,855−1,201*13,658480,540
Dunedin59,4923,993,2033,680,644312,559189,1556,909,448
Invercargill40,1587,973,5807,600,996372,585170,4557,023,690
Totals400,39533,431,49730,407,8453,023,6521,299,26749,107,943

Following is a summary of trustee savings banks' assets at 31 March 1957. The total assets include an amount of £6,917,852 securing National Savings deposits, of which £6,887,693 is invested in New Zealand Government securities and £30,159 held in cash.

£
BankMortgagesNew Zealand Government SecuritiesLocal Authority DebenturesCash in Hand and at BanksTotal (Including Other Assets)
Auckland10,224,24619,473,6344,424,1491,977,17636,669,519
New Plymouth1,766,7382,979,785149,155395,7965,531,324
Hokitika232,169259,77312,18237,124546,590
Dunedin2,733,0694,942,270528,469450,9158,836,124
Invercargill1,619,9783,776,1651,408,062711,5437,656,685
            Totals16,576,20031,431,6276,522,0173,572,55459,240,242

NATIONAL SAVINGS.—The National Savings Act 1940 made provision for the issue of savings bonds and the opening of special savings accounts with the Post Office and the Auckland, New Plymouth, Dunedin, and Invercargill trustee savings banks. These investments bear interest at the rate of 3 1/2 per cent per annum (increased from 3 per cent on 1 July 1956). The sale of national savings bonds was discontinued as from 1 May 1956.

Deposits to National Savings accounts are accepted up to £2,000 in any one year commencing on 1 July and are invested for a two to three year period according to the date of deposit. Interest on amounts withdrawn before the term of investment has expired is credited at Post Office Savings Bank rates. Interest may be withdrawn from 1 July to end of December each year, but if not withdrawn it is compounded and becomes part of the principal.

The following table gives particulars of deposits, withdrawals, etc., in regard to National Savings accounts for the last eleven years and the cumulative totals from the inception of the scheme.

£
Year Ended 31 MarchDepositsWithdrawalsInterest to 30 June, Previous YearAmount to Credit of Depositors
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
195410,328,8379,629,5951,839,43765,469,117
195511,128,28910,281,5121,911,67268,227,566
195610,239,51711,013,7091,997,75369,451,126
19578,836,05713,005,4152,040,23067,321,998
Totals, 1940–57130,215,85980,375,00917,481,149 

The next table gives particulars of national savings bonds sold and redeemed during the same period.

£
Year Ended 31 MarchValue of Bonds Sold*Value of Bonds Redeemed
* Sales discontinued from 1 May 1956.
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
1955339,392549,901
1956201,218595,304
195741,724646,135
Totals, 1940–5715,837,99916,458,227

SMALL SAVINGS.—The following table shows the total amounts of transactions in small savings accounts, including accounts in the Post Office Savings Bank and trustee savings banks, also National Savings accounts, but excluding national savings bonds.

£(000)
Year Ended 31 MarchTotal Amount of DepositsTotal Amount of WithdrawalsExcess of Deposits Over WithdrawalsTotal Amount to Credit of Depositors at End of Year
* Excess of withdrawals over deposits.
194895,97687,9638,012216,291
194993,71787,4146,303227,817
1950106,15697,6158,541253,597
1951116,584110,1116,473266,210
1952132,117122,6339,483282,191
1953132,190128,1384,052293,058
1954143,990131,72312,267312,522
1955155,934149,3126,622326,725
1956157,759157,935−176*334,417
1957173,725164,7338,992353,049
1958196,856181,90714,949378,665

DEPOSITS, ADVANCES, ETC.: STOCK AND STATION AGENCIES.—Relating to 30 June 1957, an initial collection of financial data has been made from stock and station agencies operating in New Zealand. The statistics refer to the whole of the companies' trading operations including, in some cases, activities additional to normal stock and station transactions, such as retail trading in consumer goods.

The deposit figures include only moneys received for an agreed term and rate of interest and exclude amounts secured by mortgage or debenture, and amounts in credit on current account. Secured advances to customers include those made on mortgage or chattel security. The figure for merchandise and commodity stocks includes all types of trading stock which are regarded as current assets but exclude livestock, goods held on consignment, or motor vehicles used by the company.

Returns were collected from thirty agencies.

DEPOSITS HELD (ORIGINAL TERM).
£
Rate of InterestCall and Under Three MonthsThree Months and Under Six MonthsSix months and Under Twelve MonthsTwelve Months and Under Two YearsTwo Years and OverTotals
Per Cent 
1443,066    443,066
1 1/4196    196
1 1/2628,885    628,885
250015,265   15,765
2 1/4  12,806532 13,338
2 1/2  95,3014,6003,124103,025
2 3/4   63,30952,670115,979
3    313,716313,716
3 1/2    367,410367,410
3 3/4    33,07933,079
4    89,50889,508
4 1/2    229,549229,549
            Totals1,072,64715,265108,10768,4411,089,0562,353,516
 £
Customers' credit balances on current account18,887,032
Advances to customers—
    (a) On current account (unsecured)16,554,152
    (b) Other advances (secured)9,119,025
Investments—
    (a) Government securities2,938,748
    (b) Fixed deposits4,290,463
    (c) Other investments891,003
Cash balances (in hand and at bank)3,944,604
Merchandise and commodity stocks9,984,573

DEPOSITS WITH COMPANIES, ETC.—A summary of deposits with societies, finance companies, firms, and businesses as at 31 March 1957 is now given. The figures refer to interest-bearing deposits held for an agreed term, and exclude moneys received on mortgage or debenture security, or in the course of a mercantile current account. The figures of deposits with stock and station agents, given previously, are not included in the table following.

For trading companies the coverage for this initial survey is substantially complete. It is expected that future collections will gradually achieve an almost complete coverage.

£
Rate of Interest Per AnnumCall and Under Three MonthsThree Months and Under Six MonthsSix Months and Under Twelve MonthsTwelve Months and Under Two YearsTwo Years and OverTotals
Per Cent 
16,053    6,053
1 1/21,207,926142   1,208,068
1 3/416200   216
29,81669,707269,496600 349,619
2 1/4 3,000652,54862,420 717,968
2 1/28,594  48,4691,49158,554
2 3/4   216,917 216,917
31,501,1032,9505,0004,517887,2272,400,797
3 1/23,131 13,336 1,807,9201,824,387
3 3/4   4,04326,23130,274
4163,298  40,19254,874258,364
4 1/224,090 9,055 27,22060,365
4 3/410,427    10,427
5135,3967,42512,1932,500 157,514
5 1/4   8,500 8,500
5 1/23,400    3,400
6114,68244,0158,8945,40028,629201,620
6 1/2  8,5851,6002,00012,185
750,757  5,95022,64679,353
7 1/210,250   31,44641,696
816,62117,0002,1455,3999,99051,155
9  1,18638,100 39,286
107,9863,4204,3489,37019,66544,789
            Totals3,273,546147,859986,786453,9772,919,3397,781,507

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 1957
* Includes approximately £3,000,000 of ordinary deposits from Trustee Savings Banks.
 £
Deposits with Reserve Bank (excluding Government and trading banks' deposits)2,266,370
Deposits with trading banks (excluding Government)270,401,703*
Deposits with Post Office Savings Bank236,605,660
Deposits with school savings bank accounts826,388
Deposits with trustee savings banks49,121,271
Deposits in national savings accounts67,321,998
            Total£626,543,390
            Per head of population£282

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 1950–58, the figures quoted being in £(N.Z.) millions.

£(m.)
195019511952195319541955195619571958

*Government and other demand deposits at Reserve Bank, excluding trading banks' balances at Reserve Bank.

†Trading banks' total demand liabilities in New Zealand.

Coin (estimated)3.33.53.63.74.04.24.34.54.6
Notes held by public44.547.450.352.856.458.059.560.662.2
Demand deposits at—
        Reserve Bank*9.218.312.68.911.712.412.012.810.3
        Trading banks163.1194.7195.1195.2229.2242.3242.3252.0252.0
                Totals220.0263.9261.6260.7301.3316.9318.1329.8329.1
Change during year+19.0+43.8—2.3—0.9+40.7+15.6+ 1.2+11.7—0.7

The cumulative effect of the changes in the volume of money during the last eleven years is contained in the following summary.

£(m.)
1947–50 (Three Years)1950–58 (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.

Coin (estimated)+ 0.3+ 1.3
Notes held by public+ 4.8+17.7
Demand deposits at—Reserve Bank*−6.6+ 1.1
                            Trading Banks+37.0+88.9
                Totals+35.4+109.1

The next table shows the causes of the changes in the volume of money that occurred during the period.

£(m.)
1947–50 (Three Years)1950–58 (Eight Years)Movement During Each of Last Three Years
1955–561956–571957–58

* 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.

Overseas transactions*—49.8— 20.7—19.4+ 10.2—34.7
Bank credit—
    Reserve Bank—
        Advances to State for general purposes+66.0— 5.5+ 11.7+ 4.8+ 10.7
        Marketing and other advances+ 14.5+ 26.3— 3.6+ 4.2+ 10.8
    Trading banks—
        Advances and discounts+ 11.9+ 89.4+ 3.1—14.9+ 12.2
        Investments in New Zealand—13.9+ 10.1— 2.1— 0.2— 0.1
Shift from time to demand liabilities of trading banks— 3.4+ 2.7+ 7.3— 3.5— 2.3
Shift from wool retention accounts  + 6.3+ 7.8 
Other items+ 10.1+ 6.7— 2.1+ 3.3+ 2.7
            Change during period+35.4+ 109.1+ 1.2+ 11.7— 0.7

OVERDRAFT AND DISCOUNT RATES.—The trading banks' minimum overdraft rates and rates of discount, which had for many years been at 6 1/2 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 4 1/2 per cent from 30 November 1934, and to 4 per cent from 1 August 1941.

The Minister of Finance announced on 8 February 1956 that more flexibility was to be introduced into the control on interest charged by trading banks for loans on overdraft

The former system, operative since 1941, was the adherence by the trading banks to a minimum rate of 4 per cent and a maximum rate of 5 per cent. Recently it had also been arranged that the average rate over all overdrafts would not exceed 4 3/4 per cent. The new system achieves flexibility by the abolition of the minimum and maximum rates but retains the feature of an average rate, which now must not exceed 5 per cent.

The object is to discourage and deter excessive use of bank overdrafts for relatively non-essential purposes and to provide an additional incentive to borrowers with such overdrafts to reduce these as quickly as they can reasonably do so.

The Reserve Bank's minimum discount or rediscount rate for New Zealand bills was originally 4 per cent, but was reduced to 3 1/2 per cent from 29 July 1935, to 2 1/2 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 1 1/2 per cent from 26 July 1941. The rate was increased, however, to 3 1/2 per cent from 13 April 1954, to 4 per cent on 26 November 1954, to 5 per cent from 1 July 1955, to 6 per cent from 5 September 1955, and to 7 per cent from 19 October 1955.

The increase in the discount rate supports the reserve ratio system as applied to the trading banks, and is in keeping with the Reserve Bank's general policy of credit restraint under present conditions.

In effect, the discount rate is the minimum rate at which trading banks may borrow from the Reserve Bank if they need to do so in order to maintain the statutory minimum balances which they are required to deposit with the Reserve Bank.

The statutory minimum balances are calculated as a certain percentage of the trading banks' demand liabilities, plus a percentage of their time liabilities. These percentages are called the reserve ratios. For further details see page 855.

Discount rate policy is as follows: the Reserve Bank is required by law to publish a rate at which it will discount approved bills of exchange. It does this in its capacity as a "lender of last resort", so that potential borrowers will know the minimum rate which will be charged for Reserve Bank credit. The bank has three kinds of lending operations to which the "bank rate" applies:

  1. It may discount, rediscount, buy and sell bills of exchange arising out of commercial transactions, bearing two good signatures and maturing within specified short periods.

  2. It may grant advances for fixed periods not exceeding three months against specified collateral security.

  3. It may discount, rediscount, buy and sell Treasury bills.

No restrictions are imposed on the Bank as to who may borrow from it, but in practice no transactions of the above types have taken place with the public, for the following reasons:

  1. Bills of exchange are not used to any great extent to finance internal transactions, nor are Treasury bills held by the public.

  2. It is not the Reserve Bank's function to compete with the trading banks for ordinary banking business. The trading banks would normally discount bills of exchange offered them which may be eligible for rediscount with the Reserve Bank.

So far the Reserve Bank's discount rate has applied only to transactions with the trading banks. The discount rate therefore is a supplement to the reserve ratio system as an aid to regulating bank credit. For when a trading bank is short of cash—that is, when its balance at the Reserve Bank is approaching or below the statutory minimum—it may borrow from another bank either in New Zealand or London, or it may sell sterling to the Reserve Bank. The most likely and normal procedure, however, is to borrow from the Reserve Bank. For this money it pays a rate of interest related to the bank's discount rate (3 per cent or a minimum based on bank rate, whichever is the higher). If the trading banks have a safe margin of free cash there would be no need for them to borrow from the Reserve Bank and the discount rate would then be a formality (though it has some psychological impact); but when this margin is small the discount rate acquires a much greater significance.

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.

Per Cent
Date Operative FromThree Months end Under Six MonthsSix Months and Under Twelve MonthsTwelve Months and Under Twenty-four MonthsTwenty-four Months and Upwards
1 June 1912 23 1/24
20 January 192133 1/244 1/2
20 June 19213 1/23 3/444 1/2
11 December 19263 3/43 3/444 1/2
9 May 19273 3/444 1/25
9 July 19283 3/43 3/444 1/2
1 February 19303 3/43 3/44 1/25
22 April 19303 3/444 1/45
1 August 19313 1/23 3/444 1/2
1 June 193233 1/43 1/24
2 December 19322 1/22 3/433 1/4
11 July 193322 1/22 3/43
5 July 19341 1/222 1/22 3/4
2 November 19341 1/41 3/42 1/42 1/2
18 September 19403/41 1/42 1/42 1/2
17 July 19413/41 1/41 3/42
16 February 19561 1/21 3/42 1/42 1/2
14 June 195622 1/42 3/43
1 October 195722 1/23 1/43 1/2

Post Office Savings Bank.—The Post Office Savings Bank pays interest on all deposits. The present rates on ordinary, Thrift Club, Home Lay-by, and School Savings Bank deposits are:

On deposits up to £1,0003 per cent per annum.
On deposits from £1,001 to £7,5002 1/2 per cent per annum.

Interest is calculated on each complete £1 at credit for a calendar month subject to the following provisions:

Deposits made on the 1st, 2nd, and 3rd of a month bear interest for that month.

Withdrawals: No deduction of interest for the current month is made for amounts withdrawn on the last business day of that month.

The rate of interest on National Savings accounts is 3 1/2 per cent per annum but if withdrawals are made before maturity date of the deposits, interest on the amount withdrawn is credited at Savings Bank rates.

The rates of interest on Investment accounts are shown in the description of these accounts on page 866.

Following is a statement of interest rates payable in respect of Post Office Savings Bank deposits since 1921.

Per Cent
Date Operative FromAmount of Deposit
£1-£300£301-£500£501-£1000£1001-£2000£2001-£5000£5001-£7500
* Sec paragraph following.
1 January 1921443 1/43 1/43 1/4Nil
1 April 1928443 1/43 1/4*Nil
1 August 19313 3/43 3/43 1/43 1/4*Nil
1 April 19333333*Nil
1 August 19333332 3/4*Nil
1 August 1934332 1/22 1/2*Nil
1 August 19413322NilNil
1 June 19422 1/22 1/222NilNil
1 September 19522 1/22 1/2221 1/2Nil
1 May 19563332 1/22 1/2Nil
1 August 19573332 1/22 1/22 1/2

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 3 1/4 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 2 3/4 per cent from 1 August 1933, and on the excess over £500 to 2 1/2 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 1 1/2 per cent was made payable on amounts over £2,000 to £5,000; this was raised in May 1956 to 2 1/2 per cent on amounts £1,001 to £5,000, the rate for amounts £1 to £1,000 becoming 3 per cent. As from 1 August 1957 interest at the 2 1/2 per cent rate was extended to amounts from £5,000 to £7,500.

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; from 1 April 1955 the maximum was raised to £750; and from 26 October 1956 the maximum is £1,000. 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 4 1/2 per cent; but, by Order in Council, the maximum interest payable was reduced to 3 3/4 per cent as from 1 July 1932, and to 3 per cent as from 1 April 1933. A further reduction to 2 1/2 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. From 1 April 1955 maximum rates were 2 1/2 per cent up to £500 and 2 per cent for over £500 and up to £750, while from 1 May 1956 the allowable maximum rate on all deposits was increased to 3 per cent on amounts up to £750, this limit being raised to £1,000 from 26 October 1956.

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 from 1932 were 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 ranged from 11 per cent at call and under three months to 3 1/2 per cent for four years and over, and for building and investment societies from 20 November 1952 from 1 1/2 per cent at call and under three months to 3 1/2 per cent for four years and over; the latter range was extended from 29 April 1954 to 3 3/4 per cent for deposits for not less than five years, and 4 per cent for not less than seven years. Increased rates were provided for deposits with trading companies and building and investment societies as from 1 May 1956, the rates being as follows: short call, 1 1/2 per cent; three and under six months, 2 per cent; six months and under one year, 2 1/4 per cent; one and under two years, 2 3/4 per cent; two and under three years, 3 per cent; three and under four years, 31 per cent; 4 years and over, 3 3/4 per cent—this latter group was expanded as from 1 June 1956 to become four years and less than five, 3 3/4 per cent; five years and less than six years, 4 per cent; six years and less than seven years, 4 1/4 per cent; and seven years or more, 4 1/2 per cent. For the savings department of the latter class the rate was increased from 21 per cent to 3 per cent as from 1 June 1956.

As from 1 August 1957 interest rates on deposits with companies, etc., have been freed from control, with the exception of deposits in the savings bank departments of building and investment societies, the maximum allowable rate for this class remaining at 3 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 3 3/4 per cent from 1 April 1956. Reductions were made from 5 1/4 per cent in 1928 to 4 3/4 per cent in 1931, to 4 per cent in 1932, to 31 per cent in 1933, to 3 1/4 per cent in 1945, and to 3 per cent in 1949. There was an increase to 3 1/4 per cent in 1953, to 3 1/2 per cent on 1 January 1955, and to 3 3/4 per cent on 1 April 1956.

Local authorities may also accept deposits (in practice, only for short periods). The restrictions previously applying to maximum rates of interest were abolished from 24 October 1957 by Order in Council.

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 British 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 British 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 December 1957 New Zealand coins of a total face value of £8,584,122 have been minted by the Royal Mint in London. Statistics of the face values of the various denominations of coin minted to 31 December 1957, and the value of New Zealand coin in circulation at 31 December 1957, are as follows.

 Total Minted to 31 December 1957In Circulation
 ££
Crown110,962110,959
Half-crown2,550,1001,214,620
Florin2,527,0001,202,887
Shilling1,030,000709,299
Sixpence938,500698,333
Threepence1,074,500884,001
Penny294,800298,591
Halfpenny58,260

In 1947 cupro-nickel coins were issued in place of silver coins, which were withdrawn from circulation as they were received by the banks.

Withdrawals of silver coinage to 31 December 1957 totalled £1,674,257.

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.—A prohibition placed on the importation of coin in 1941 has been revoked, as also has the Customs Import Prohibition (Bank Notes) Order 1956, which prohibited the importation of bank notes of the Bank of England and of bank notes issued by banks in Scotland and Northern Ireland.

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 £350,196 in 1956) 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 1958 are given in the following table. On demand and usance buying rates change with changes in the Bank of England discount rate.

CategoryBuying (on Basis of £(Stg.)100)Selling (on Basis of £(Stg.)100)
Telegraphic transfers (cable)£(N.Z.)100 7s. 6d.£(N.Z.)101 0s. 0d.
Sterling notes£(N.Z.) 97 10s. 3d.£(N.Z.)101 0s. 0d.
 Air MailSea MailAir and Sea Mail
Bills, cheques, and drafts payable on demand£(N.Z.)99 17s. 6d.£(N.Z.)99 5s. Od.£(N.Z.)101 0s. 0d.
Bills or drafts 3 days sight£(N.Z.)99 15s. 6d.£(N.Z.)99 3s. 0d.No quotation
Bills or drafts 30 days sight£(N.Z.)99 5s. 6d.£(N.Z.)98 13s. 0d.£(N.Z.)100 19s. 3d.
Bills or drafts 60 days sight£(N.Z.)98 15s. 9d.£(N.Z.)98 3s. 3d.£(N.Z.)100 18s. 6d.
Bills or drafts 90 days sight£(N.Z.)98 5s. 9d.£(N.Z.)97 13s. 3d.£(N.Z.)100 17s. 6d.
Bills or drafts 120 days sight£(N.Z.)97 16s. Od.£(N.Z.)97 3s. 6d.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 onAt 28 February 1957At 28 February 1958
BuyingSellingBuyingSelling
United States of America (dollars per £(N.Z.))2.79322.76162.80632.7746
Canada (dollars per £(N.Z.))2.67662.64192.74772.7122
France (francs per £(N.Z.))99496611881155
Belgium (francs per £(N.Z.))141.99138.10141.52137.00
Switzerland (francs per £(N.Z.))12.2912.0512.2912.05
Pakistan (N.Z. pence per rupee)17.90618.34417.90618.344

The rates applicable for telegraphic transfer to Australia in February 1958 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. 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 could 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. On 28 October 1954 regulation 5 was revoked by Gazette notice, and persons acquiring gold are no longer required to offer it to the Reserve Bank.

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 without the consent of the Reserve Bank.

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 Match 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 the Reserve Bank of New Zealand. This rule applies to bank notes or other currency, postal notes, promissory notes, and free bank deposits. 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.

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 1952 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 1952 "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 on 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, unless with prior approval of the Supreme Court.

  • 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 net amount represented by mortgages registered and discharged during each of the last twenty-one years.

Year Ended 31 MarchMortgages RegisteredMortgages Discharged
NumberAmountNumberAmount
  £ £
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
195452,80770,377,86036,72836,012,215
195557,99284,598,68037,93141,155,063
195655,54496,257,84234,07835,367,483
195751,23091,210,53732,66637,688,909

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.

£
District1952-531953-541954-551955-561956-57
North Auckland29,399,41016,642,58221,245,32824,358,51022,861,684
South Auckland 10,154,89512,297,10214,661,80812,986,981
Gisborne1,265,5961,509,3291,500,7881,533,6281,437,448
Hawke's Bay3,410,5173,872,3924,445,9075,874,6264,958,960
Taranaki2,895,0063,430,3433,314,0153,666,5373,802,645
Wellington14,594,91113,160,17016,051,35718,533,38317,231,276
Marlborough871,6411,047,542937,5731,100,768962,785
Nelson2,036,7941,691,0671,726,0002,111,0441,749,927
Westland553,133425,625434,187395,808445,672
Canterbury9,763,1109,970,16011,818,78313,404,53813,424,991
Otago6,292,3975,154,1756,847,9107,504,5366,713,994
Southland3,649,9663,852,6444,638,6514,998,8174,784,954
    Gross totals74,732,48170,910,92485,257,60198,144,00391,361,317
    Duplications1,019,470533,064658,9211,886,161150,780
    Net totals73,713,01170.377,86084,598,68096,257,84291,210,537

In 1952-53, the second full year following the lifting of controls on the sale of land, both the number and amount of mortgage registrations increased slightly. Although the number increased in 1953-54, the value fell slightly to £70,378,000. In 1954-55 an increase occurred in both number and value, and although the value increased to the record total of £96,258,000 for 1955-56 the number dropped by 2,448 to 55,544. In 1956-57 there were 51,230 mortgage registrations, this being the lowest number recorded since 1952-53. The amount secured decreased by £5,047,000 to £91,211,000, which was still the second highest on record.

Of the net total of £84,599,000 registered in 1954-55, only £8,310 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. Since 1955-56 transactions under the deed system have not been separated from those under the Land Transfer Act.

Classification by Amount.—Of the gross total of £91,361,000 represented by mortgages registered during the financial year 1956-57, mortgages under £500 in value represented 2.7 per cent of the total; from £500 to £999, 4.9 per cent; £1,000 to £1,999, 19.8 per cent; £2,000 to £2,999, 28.1 per cent; £3,000 to £3,999, 7.9 per cent; £4,000 to £4,999, 4.8 per cent; £5,000 to £7,499, 9.1 per cent; and from £7,500 and over, 22.7 per cent. The following tables gives the number and amount for town and suburban and country properties according to sum secured.

Amount GroupTown and SuburbanCountryAll Properties
NumberAmountNumberAmountNumberAmount
£   £ £ £ £
Under 5009,9622,296,229784209,08410,7462,505,313
500- 9995,7623,832,073909610,4526,6714,442,525
1,000-1,99910,92215,943,5871,5922,189,91012,51418,133,497
2,000-2,99910,29622,677,2601,3223,006,75011,61825,684,010
3,000-3,9991,3664,417,4108472,769,5962,2137,187,006
4,000-4,9994321,807,4855992,557,8641,0314,365,349
5,000-7,4993702,128,0981,0486,187,2001,4188,315,298
7,500 and over3725,537,8721,14515,190,4471,51720,728,319
Unspecified2,399 1,130 3,529 
    Gross totals41,88158,640,0149,37632,721,30351,25791,361,317
    Duplications1883,655967,12527150,780
    Net totals41,86358,556,3599,36732,654,17851,23091,210,537

Excluding mortgages for which no amounts were shown, the average amount for each mortgage registered in 1956-57 was £1,912 as compared with £1,908 in 1955-56.

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 1956-57 were secured on areas averaging just under one-quarter of an acre in extent, as compared with an average area of some 282 acres in the case of "country" securities.

Town and suburban securities accounted for 82 per cent of the number and 64 per cent of the aggregate value of land-transfer mortgages in 1955-56, as compared with 18 per cent and 36 per cent respectively in the case of country properties.

The following table gives mortgages registered in the various districts during the year 1956-57.

DistrictTown and SuburbanCountry
NumberAreaAmount SecuredNumberAreaAmount Secured
 Acres£
North Auckland12,1033,14917,665,2561,940245,8085,196,428
South Auckland4,1221,1565,805,3551,818342,4237,181,626
Gisborne597211805,492184118,826631,956
Hawke's Bay1,6944512,369,123559387,3532,589,837
Taranaki1,1392931,621,871576134,5102,180,774
Wellington8,4491,97912,842,5841,101330,3104,388,692
Marlborough33296405,598167130,861557,187
Nelson9912501,211,517308141,290538,410
Westland30988303,8587124,300141,814
Canterbury6,7201,5508,985,3781,258396,6334,439,613
Otago4,1078454,567,749726334,4892,146,245
Southland1,3183322,056,233668253,3262,728,721
Totals41,88110,40158,640,0149,3762,640,12932,721,303

Two distinct periods of expansion in registrations can be recognized during the last eleven years. The earlier period, prior to the removal of controls on land sales was one of steady increase - an increase that had occurred in each year since 1943-44 and was due in large measure to the resettlement of ex-servicemen. Restrictions were removed from the sale of all lands other than farm lands in February 1950, and farm lands were released in November 1950. The year 1950-51, the first full year after the lifting of restrictions on the sale value of urban property, saw an increase of £9,399,000, or 42 per cent, in the amount secured on mortgage compared with that for the previous year. This was followed by a further substantial increase of £14,721,000, or 46 per cent, in 1951-52 as compared with 1950-51. Figures remained at much the same level for the next two years. The years 1954-55 and 1955-56 witnessed large increases of £10,600,000 and £11,600,000 respectively, bringing the total amount registered on urban mortgages in the latter year to the record figure of £64,421,000. There were almost 46,000 urban mortgages registered during each of these two years compared with nearly 42,000 in 1953-54. In 1956-57 the numbers of urban mortgages dropped to 41,831, and although the amount secured decreased to £58,640,000 it was still the second highest yet recorded.

The full effect of the lifting of controls over farm lands in November 1950 is shown in 1951-52 when the increase in the amount secured was £12,402,000, or 88 per cent, as compared with the previous year. Further increases occurred in the following years and a record amount of £33,723,000 was registered on rural properties during 1955-56. During 1956-57 the number of mortgages registered, the area, and the amount secured on country properties all decreased.

Year Ended 31 MarchNumberAreaAmount Secured
Town and SuburbanCountryTotalTown and SuburbanCountryTotal
NOTE.—These figures exclude certain miscellaneous registrations, but have not been adjusted to exclude duplications.
 AcresAcresAcres£££
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
195558,02811,6543,560,9153,572,56952,874,45532,374,83685,249,291
195655,58611,2613,148,9783,160,23964,421,03733,722,96698,144,003
195751,25710,4012,640,1292,650,53058,640,01432,721,30391,361,317

Rates of Interest.—The following table gives a classification of mortgages registered according to the various rates of interest, and includes duplicate registrations (to the extent of £1,886,000 in 1955-56 and £150,780 in 1956-57). £

Rate Per Cent1955-561956-57
1/24,400786
3/4 1,990
1137,19574,600
1 1/4550200
1 2/5 600
1 1/26,3954,560
1 4/51,000 
1 7/8 100
2172,171100,955
2 1/10 1,600
2 1/8165400
2 1/420,135700
2 1/2192,122156,730
2 3/47,000250
37,595,8695,960,753
3 1/81,135 
3 1/46,7008,300
3 3/10 1,073
3 1/2267,199160,962
3 5/8 1,445
3 3/423,70512,165
3 4/51,300 
3 7/8550 
42,407,4181,505,924
4 1/107,600 
4 1/813,087,2737,262,912
4 1/59001,861
4 1/4759,053574,385
4 3/10200 
4 1/3945 
4 3/821,17510,715
4 1/27,610,6302,096,919
4 3/51,980 
4 5/847,00628,150
4 3/42,052,9606,841,978
4 4/51,730 
4 7/84,964,6252,136,961
4 9/10250 
538,715,96719,407,390
5 1/103,000 
5 1/815040,088
5 1/6 7,000
5 1/4181,962504,042
5 1/32,800 
5 3/8 950
5 1/24,322,35523,720,819
5 3/4291,650138,490
5 7/81,5805,100
64,815,5557,661,638
6 1/103001,000
6 1/8 2,848
6 1/473,51561,800
6 1/2583,8041,382,899
6 3/5260 
6 5/813,650 
6 2/315,987 
6 3/436,5004,440
6 7/8770 
71,145,5651,092,255
7 1/4 7,380
7 1/2230,630349,179
7 3/42,3004,100
8492,351706,330
8 1/10600 
8 1/47,864850
8 1/3200 
8 1/22,7948,100
929,942839,278
9 1/8 2,653
9 1/21,850 
10215,001257,467
112,000 
11 1/4 1,800
125006,070
12 1/4250 
12 1/28,9253,000
132,000 
156,50413,329
162,500 
202054,272
251,217 
30515 
36300 
48347925
Unspecified7,548,6248,157,729
    Totals98,144,00391,361,317

A further classification of the 1956-57 figures in the preceding table is now given, showing the various rates of interest for town and suburban and country properties.

£
1956-57
Rate Per CentTown and SuburbanCountry
1/2786 
3/41,990 
124,40150,199
1 1/4200 
1 2/6600 
1 1/23,1151,445
1 7/8100 
272,53528,420
2 1/101,600 
2 1/8200200
2 1/4700 
2 1/276,90579,825
2 3/4250 
33,769,8772,190,876
3 1/44,4003,900
3 3/10 1,073
3 1/261,64499,318
3 5/81,445 
3 3/44,8507,315
4396,3451,109,579
4 1/85,722,6061,540,306
4 1/51,861 
4 1/4506,72467,661
4 3/89,7151,000
4 1/21,157,888939,031
4 3/51,980 
4 5/86,74521,405
4 3/46,311,308530,670
4 7/8663,4181,473,543
59,915,9299,491,461
5 1/89,83830,250
5 1/67,000 
5 1/4256,926247,116
5 3/8950 
5 1/215,426,4568,294,363
5 3/470,76067,730
5 7/85,100 
65,694,6331,967,005
6 1/101,000 
6 1/82,848 
6 1/426,80035,000
6 1/2831,223551,676
6 3/5260 
6 5/813,650 
6 3/44,440 
7754,122338,133
7 1/43007,080
7 1/2210,200138,979
7 3/44,100 
8557,819148,511
8 1/4850 
8 1/27,600500
9546,923292,355
9 1/82,653 
10180,61676,851
11 1/41,800 
122,8003,270
12 1/23,000 
157,3296,000
162,500 
204,272 
25557660
30515 
48925 
Unspecified5,282,8072,874,922
Totals58,640,01432,721,303

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 1956-57 was 5.11 per cent, as compared with 5.07 per cent for country properties. The comparative figures for 1955-56 were 4.78 and 4.72 respectively. Averages for recent years for all properties have been as follows.

Year Ended 31 MarchAverage Rate Per Cent
19464.10
19473.85
19483.90
19493.98
19503.99
19514.09
19524.15
19534.29
19544.49
19554.69
19564.76
19575.09

The following table shows interest rates and amounts of first mortgages on town and rural properties for the years ended 31 March 1953-57. It should be noted that mortgages registered with no specified rate of interest are excluded from the calculations of average rates.

Per Cent
Year Ended 31 MarchClass of MortgageTotal, Town and Rural
TownRural
First FlatFirst TableTotal (Including Other)First FlatFirst TableTotal (Including Other)
19534.704.104.334.544.024.244.29
19544.914.334.534.764.214.424.49
19555.074.524.714.864.554.664.69
19565.144.564.784.904.584.724.76
19575.504.835.115.284.865.075.09

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 three years ended 31 March 1955-57.

Class of MortgageAmount £(000) Year Ended 31 MarchAverage Rate of Interest (Per Cent) Year Ended 31 March
195519561957195519561957
First Flat Town12,93217,21315,4885.075.145.50
First Table Town31,08436,89032,7094.524.564.83
Totals, Town (including other)47,57459,09553,3574.714.785.11
First Flat Rural10,00011,51512,5264.864.905.28
First Table Rural15,63314,57912,2704.554.584.86
Totals, Rural (including other)29,91331,50029,8464.664.725.07
            Totals, Town and Rural77,48790,59583,2044.694.765.09

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 1956-57 no less than 38.4, 36.7, 30.2, 28 0, 22.4, 16.8, 16.2, 12.9, 9.3, 7.7 and 65 percent 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 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 1956-57 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 1956-57 were 55.7 and 5.7 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 the last four years. The increase was first shown in the group of over 4 1/2 per cent to 5 per cent, and although this group still contains a high proportion of the registrations there has been a shift from it and also from the group 4 to 4 1/2 per cent to the 5 to 6 per cent class.

Year Ended 31 MarchNot Exceeding 3 Per CentOver 3 Per Cent to 4 Per CentOver 4 Per Cent to 4 1/2 Per CentOver 4 1/2 Per Cent to 5 Per CentOver 5 Per Cent to 6 Per CentExceeding 6 Per Cent
Amount (£)
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
19558,430,8393,546,84121,507,28733,206,6308,354,3622,441,092
19568,137,0022,708,00721,487,77645,782,5389,619,0522,861,004
19576,304,2241,689,8699,946,79228,416,45932,078,1274,768,117
Percentage of Total
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
195125.216.545.39.01.921
195219.515153.37.92.51.7
195318.26.850.618.83.42.2
195415.05.734.735.96.12.6
195510.94.627.842.810.83.1
1956903.023.750.510.63.2
19577.62.012.034.138.65.7

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 eleven years registrations exceeded discharges, the difference for each of the last three years being £43,444,000 in 1954-55, £60,890,000 in 1955-56, and £53,531,000 in 1956-57.

The total amount released in 1954-55 was £41,155,000, the highest total yet recorded. The amount released during 1955-56, at £35,367,000, was the lowest since 1952-53, but an increase to £37,680,000 occurred in 1956-57, this being the second highest total recorded.

The total amount of mortgages discharged, including mortgages under the deeds-registration system, for the last four years is as follows.

District1953-541954-551955-561956-57
NumberAmountNumberAmountNumberAmountNumberAmount
 £ £ £ £
North Auckland8,8906,698,7609,3768,485,7978,2437,508,9608,2199,242,791
South Auckland3,8263,566,1344,0174,481,6813,5623,872,5073,2273,990,081
Gisborne634729,942665752,760603965,577518716,166
Hawke's Bay1,6932,235,2291,6222,224,4711,5871,960,0491,5451,922,810
Taranaki1,5611,827,7741,4421,785,8081,1941,540,4061,1861,605,076
Wellington7,3528,285,8217,3788,508,7096,7897,295,6116,3117,313,423
Marlborough431377,707438548,886392445,978354489,431
Nelson934805,8491,033935,786944825,379923834,338
Westland273201,146272254,489257195,594266168,957
Canterbury5,4466,046,0205,6556,613,9825,2795,885,2105,0566,158,055
Otago3,7473,108,7964,2014,101,9203,6913,081,7733,5473,255,817
Southland1,9442,198,3371,8352,501,5441,5451,830,3891,5141,991,964
Gross totals36,73136,081,51537,93441,195,83334,08635,407,43332,66637,688,909
Duplications369,300340,770839,95039,100
Net totals36,72836,012,21537,93141,155,06334,07835,367,48332,66337,679,809

Details of town and suburban and country discharges for 1956-57 are given in the following table.

DistrictYear Ended 31 March 1957
Town and SuburbanCountry
NumberAreaAmount DischargedNumberAreaAmount Discharged
 Acres£ Acres£
North Auckland6,5661,6586,741,7631,653215,2402,501,028
South Auckland1,9525901,667,5371,275242,7412,322,544
Gisborne359131293,984159115,042422,182
Hawke's Bay1,1092971,037,718436152,435885,092
Taranaki657169598,857529106,5961,006,219
Wellington5,3221,2365,314,989989302,1511,998,434
Marlborough20961176,87314552,110312,558
Nelson671169595,33725252,246239,001
Westland22249135,4414446,15433,516
Canterbury3,8539163,831,4971,203343,7632,326,558
Otago2,8775862,273,470670212,310982,347
Southland928247910,863586205,3211,081,101
Gross totals24,7256,10923,578,3297,9412,046,10814,110,580
Duplications2 7,1001 2,000
Net totals24,7236,10923,571,2297,9402,046,10814,108,580

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 Government 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 buying out 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 director, being such officer of the Treasury as the Minister of Finance may approve from time to time. 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 £2,500 are not usually granted on the security of dwellings to be erected and £2,000 on dwellings to be purchased, although under present policy loans to purchase existing dwellings are only granted in exceptional circumstances, 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, or purchasing new homes not previously occupied, 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, and in September 1957 this maximum was further increased for applicants with children as follows: one child, £2,150; two children, £2,250; three children £2,350; four or more children, £2,400.

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 1957 was 2,630 involving £409,425, and the total to 31 March 1957 was £3,298.841 in respect of 20,246 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 180 suspensory loans of this type were granted involving advances of £265,380. Since the scheme was put into operation a total of 2,608 such suspensory loans have been authorized, the aggregate amount involved being £3,001,860. 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 large majority of the loans granted by the Board are secured by table mortgages for terms varying from ten to thirty years, but the Board also has power to make advances on flat mortgage on certain conditions.

When loans are granted in excess of normal lending margins, mortgagors may be required to offer some form of collateral security (e.g., mortgage of life policy). 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 who receives from the Corporation a loan secured by a mortgage of land is required to pay as a contribution to the General Reserve Fund an amount equal to 2 per cent of the amount of the loan. 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 1955 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 1957 is as follows.

Classification   Number of Accounts   Principal Investment
£
State Advances Corporation—
    Mortgage investments—
        Urban69,76186,003,491
        Rural, including current account24,78153,096,094
    Government and local authority securities9829,297,960
    Loans to industries under section 29881,605,228
Housing Account—
    Dwellings let38,90979,330,290
    Shops, halls, and communal garages184
    Dwellings sold14,06227,118,532
    Loans to local authorities1001,116,769
    Loans to employers27115,897
Rural Housing Act: loans to local authorities77467,220
Advances under Rehabilitation Act 1941—
    Furniture, tools of trade, business, and miscellaneous6,968499,568
    Interest-free supplementary loans 1,646,936
Other agencies—
    Health Department39341,281
    Agriculture Emergency Powers Act 193434,166
    Farmers' Loans Emergency Regulations 19401814,237
    Gas companies4123,614
    Works Department hutments rented to farmers3667
    Suspensory loans (rural and urban)18,8545,656,576
    Timber workers' housing—
        Levies accounts155377,254
        Rental accounts113
    Miscellaneous rentals594 
Totals175,722£266,815,780

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 1957 the authorized capital was £1,000,000, while stock and debentures outstanding were £135,622,140, an increase of £10,500,000 in the case of the latter compared with 31 March 1956.

The General Reserve Fund at 31 March 1957 amounted to £8,894,682, and, in addition, there were specific reserves amounting to £3,171,778, making a total of £12,066,460, as compared with £11,353,770 at 31 March 1956.

Mortgages and accrued interest at 31 March 1957 totalled £140,359,746, an increase of £11,551,651 as compared with 31 March 1956, while Government and local authority securities and accrued interest at £9,394,050 were less by £74,524.

The disposition and appropriation of profits in respect of operations during each of the last three financial years are given in the following table.

£
1954-551955-561956-57
Gross income4,991,9005,542,6206,099,916
    Less interest on General Reserve Fund investments256,329301,195308,655
Gross income (mortgage and temporary investments)4,735,5715,241,4255,791,261
Interest on stock and debentures3,488,6363,833,6694,312,023
Gross profit1,246.9351,407,7561,479,238
Management expenses508,905574,718628,814
Administration of rehabilitation advances62,48046,23534,018
Earthquake insurance30,78534,95240,806
Net profit644,765751,851775,600
    Less reserve for taxes445,000540,000570,000
    Less reserve for losses104,864106,096102,120
Surplus payable to Crown94,901105,755103,480

The gross income of £6,099,916 in 1956-57 included £4,936,671 interest on mortgages and current accounts, £341,518 interest on Government and local authority securities and temporary investments, and £821,727 recovery from the Rehabilitation Division on account of interest concessions to ex-servicemen on rehabilitation advances. Corresponding figures for 1955-56 were £4,386,772, £326,939 and £828,908 respectively.

New Business.—A summary of loan operations (new business) for the last two financial years is given in the following table.

Loans Authorized1955-561956-57
NumberValueNumberValue
££

* Excludes the number of supplementary and suspensory loans.

† Includes 3 loans covering 107 houses.

Urban securities—
    Erection of dwellings6,70713,671,8336,68513,833,388
    Purchase, refinance, and other purposes3,4334,558,1861,7872,153,545
    Supplementary(443)30,970(348)26,580
    Suspensory(3,087)471,130(2,576)399,725
Totals, urban10,140*18,732,1198,472*16,413,238
Rural securities—
    Purchase, refinance, and other purposes1,5466,505,9691,2754,757,198
    Suspensory(432)424,260(240)278,115
Totals, rural1,546*6,930,2291,275*5,035,313
Loans to industry13234,06010494,442
Local authorities1402,478,33571769,160
Grand totals11,839*28,374,7439,828*22,712,153

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 1956Year Ended 31 March 1957Total to 31 March 1957
No.ValueNo.ValueNo.Value
 £ £ £
Business151112,87010784,30011,4327,413,770
Furniture86682,54260758,07862,6475,847,374
Tools of trade51452501,47948,836
Miscellaneous2400  666131,707
Additional advances311,54981,31860751,645
Totals1,055197,506724143,74676,83113,493,332

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)22,31684,002,221
Residential (including supplementary)107,804150,212,338
Local authorities1,03814,542,053
Industries672,756,248
Totals131,225£251,512,860

The lending rate of the Corporation was maintained until the end of 1953 at 4 1/8 per cent. Where first establishment is involved, rehabilitation loans to ex-servicemen for houses and farms are, 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 State Advance: Corporation increased interest rates from 1 January 1954 on loans for the purchase of approved urban and rural properties from 4 1/8 per cent to 4 7/8 per cent and, from 1 April 1956, to 5 per cent. The interest rate applicable to loans for the building of new houses was increased from 4 1/8 per cent to 4 3/4 per cent as from 1 April 1956.

On 12 February 1958 home-building loans with an interest rate of 3 per cent were introduced for families where the earnings of the breadwinner did not exceed £1,000 a year, increased by £50 for each dependent child.

The following summary shows the annual cost—i.e., interest and principal payments—per £100 borrowed on table mortgage at 4 3/4 per cent and 5 per cent for the various periods.

TermAnnual Amount Payable Per £100 Borrowed
4 3/4 Per Cent5 Per Cent
 £s.d.£s.d.
10 years1213812168
15 years9809112
20 years71607194
25 years6176710
30 years6510694

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 fanners 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 over a period of up to five years. 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.

At 28 February 1957 there were eight co-operative rural intermediate credit associations in operation. The loans authorized through this channel during the year 1956-57 amounted to £125,450, and there were 272 loans current at the end of the year for an aggregate amount of £190,665.

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 amount 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 5 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 to tenants first occupying State rental houses after 31 July 1950 are more related to the loan terms for persons erecting new houses (see pp. 894-895). They include—

  1. Suspensory amounts where purchasing tenant is first occupier.

  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 5 per cent reducible to 4 1/8 per cent while conditions of sale are complied with.

  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 1957 the number sold to the tenants was 13,751, for a total sale price of £31,221,635.

33 C—BUILDING SOCIETIES

STATUTORY PROVISIONS.—The law relating to building societies incorporated in New Zealand is in the main contained in the Building Societies Act 1908, which is a consolidation of earlier legislation, most of which had been operative since 1880. Miscellaneous amendments were made by the Building Societies Amendment Act 1955, which provided for the appointment (from 1 January 1957) of a Registrar and Deputy Registrar of Building Societies, and of District Registrars and Assistant Registrars, and prescribe the matters to be recorded in each register. Under previous legislation there was no provision for a central registry, the Assistant Registrar of Companies in each district acting 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 rates of interest payable (according to term of deposit) on deposits lodged with building societies. Although the rates have been varied from time to time by subsequent orders, the restrictions (with the exception of deposits in the societies' savings banks) remained in force until 1 August 1957. Information as to maximum allowable rates of interest on various classes of deposits is given on page 877.

Returns of each society's operations are furnished annually to the Department of Statistics.

CONSTITUTION AND FUNCTIONS.—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 houseowner 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 1956-57 was 72. of which 54 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 each of the years 1952-53 to 1956-57 particulars of permanent societies, including data on number and value of investing and capital shares.

1952-531953-541954-551955-561956-57
Number of societies5555555554
Investing Shares
Number of shares564,495603,463650,457678,553727,814
Members holding26,97427,09027,06026,75126,834
Aggregate value£6,306,917£6,651,211£7,127,400£7,381,598£7,750,980
Capital Shares
Number of shares803,829787,324809,855795,382918,839
Members holding5,7025,7395,7025,6445,868
Aggregate value£1,878,759£1,937,957£1,999,192£2,136,231£2,261,774

At March 1957 the average value of each investing share was £10 12s., and the average value of such shares held by each member was £289. The comparative figures for capital shares were £2 9s. and £385.

Terminating Societies.—Although the number of terminating societies has declined in recent 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. 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 1952-53 to 1956-57. 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
 £
1952-5321308125,077677,9707,816,800
1953-5418317133,421768,4719,150,346
1954-5518341143.698897,63910,765,148
1955-5617366158,7321,071,56012,623,470
1956-5718395183,5201,286,11514,853,317

The average value per share in 1956-57 was £11 10s., and the average value of shares held per member was £80 18s. The figures for 1952-53 were, respectively, £11 11s. and £62 10s.

RECEIPTS AND PAYMENTS.—Following is a summary of receipts and payments for all societies during each of the five years 1952-53 to 1956-57.

£
1952-531953-541954-551955-561956-57
Receipts
Investors' subscriptions and capital shares2,576,5542,829,9463,326,0443,749,5394,131,575
Advances repaid2,727,9183,081,2643,513,0923,546,0063,887,794
Deposits1,693,6582,069,8822,736,2512,695,8242,556,519
Interest568,737627,159686,539740,230791,226
Other receipts437,751465,562698,036602,718679,444
Total receipts8,004,6189,073,81310,959,96211,334,31712,046,558
Payments
Withdrawals668,359685,971748,610947,7701,149,272
Advances4,497,5025,099,2436,417,6806,187,2056,256,209
Expenses of management216,803240,343269,815273,213337,299
Dividends paid105,030108,835111,178126,541129,719
Deposits repaid1,920,3222,029,1532,506,0052,636,0422,662,404
Interest paid185,536196,244230,563251,603269,350
Other payments363,811747,470785,293822,4841,323,207
Total payments7,957,3639,107,25911,069,14411,244,85812,127,460

From 1932 until 1 August 1957 a statutory limitation was imposed on maximum interest rates payable on deposits with building and investment societies, although in recent years increases in rates were authorized from time to time. During the last two years funds available for investment have been comparatively restricted, resulting in a relatively low volume of advances to borrowers. The ratio of loan repayments to advances was 54.7 in 1954-55, 57.3 in 1955-56, and 62.1 per cent in 1956-57.

LOANS.—The number of borrowers and amount of loans outstanding at the end of each of the five years quoted were as follows. Advances on shares are excluded.

YearPermanent SocietiesTerminating SocietiesTotals
NumberAmountNumberAmount*NumberAmount
* Includes balance owing on premiums on loans.
 £ £ £
1952-5315,21212,926,30512,7368,606,40027,94821,532,705
1953-5415,23813,536,97114,40910,143,43929,64723,680,410
1954-5515,39614,960,79816,77711,664,01332,17326,624,811
1955-5614,97315,759,27818,00614,125,26132,97929,884,539
1956-5715,08716,282,69622,04616,348,77237,13332,631,468

The average amount owing by each borrower at the end of each of the five years is given below.

£
Class1952-531953-541954-551955-561956-57
Permanent societies8508889721,0531,079
Terminating societies676704695784742
All societies770799828906879

Particulars of loans granted during each of the last five years follow.

YearPermanent SocietiesTerminating Societies
By BallotBy Auction
NumberAmountNumberAmountNumberAmountPremiums
 £ £ ££
1952-532,3032,087,025803869,7641,2721,377,623433,947
1953-542,7932,753,753824862,7511,2601,386,504496,729
1954-553,0343,463,8401,0221,190,5461,4501,781,495679,500
1955-562,4162,745,4031,0491,229,9021,4382,025,900842,526
1956-572,1572,459,9999441,139,0851,6742,444,9411,088,806

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. The average loan granted by permanent societies amounted to £1,140 and by terminating societies (ballot) £1,207 and (auction) £1,461. The average premium on auctioned loans, representing total interest payments over the period of the loan, was £650.

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 during the last four years a pronounced rise seems to reflect the hardening of interest rates generally. The average premium rates on auctioned loans during the last three years were: 1954-55, £38.2 per cent, 1955-56, £41.6 per cent, and 1956-57 £44.6 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 1956-57, 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 societies462815,1369991,229,954696414,9092,1572,459,999
Terminating societies—
    By ballot197280,359553680,324194178,4029441,139,085
    By auction280389,5681,2221,858,548172196,8651,6742,444,981
        Totals, all societies—
            1956-579391,485,0632,7743,768,8261,062790,1764,7756,044,065
            1955-561,0641,725,7122,6543,412,5561,185862,9374,9036,001,205
            1954-551,2221,784,2022,9053,711,8531,379939,8265,5066,435,881
            1953-549501,169,4132,6312,972,2171,296861,3784,8773,003,008
            1952-539541,071,7562,2772,578,7621,147683,8944,3784,334,412

The fall in loan authorizations for the two latest years may be attributed, as mentioned earlier in this section, to a reduction in investment funds following a decrease in deposit receipts together with increased withdrawals.

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 1952-53 to 1956-57 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
1952-5318,942,0313,675,750925,4861,145,87524,689,142
1953-5421,153,3413,891,2131,373,3491,283,83427,701,737
1954-5523,736,4454,357,9981,495,6481,449,58931,039,680
1955-5625,270,9684,755,4641,464,3741,233,05932,723,865
1956-5728,497,9524,683,7601,603,3641,397,62736,182,703
ASSETS
£
YearAdvances on Mortgage*Advances on SharesOther Investments and AssetsCash in Hand and at BankTotal Assets
* Includes balance owing on premiums on loans.
1952-5322,735,885181,7481,585,668185,84124,689,142
1953-5425,344,661212,7801,906,124238,17227,701,737
1954-5528,499,228264,3192,061,542214,59131,039,680
1955-5630,035,351318,5212,133,083236,91032,723,865
1956-5732,869,474410,2222,689,031213,97636,182,703

The ratio of advances on mortgage to total assets has been at a uniformly high level during the last few years, the figure for 1956-57 being 91.8 per cent.

33 D—JOINT-STOCK COMPANIES

EARLY New Zealand enactments relating to joint-stock companies were those of 1860, 1868, 1882, and 1903. For thirty years following the 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, being finally passed in 1955. The new Companies Act 1955 came into force on 1 January 1957.

A company to acquire legal entity must be incorporated, and under existing law 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 Act of 1955 is substantially modelled on the United Kingdom Companies Act 1948 as far as that may properly be done having regard to New Zealand requirements and conditions. The new requirements are primarily designed to ensure that the annual financial statements exhibit a true and complete account of a company's affairs and transactions, and to this end additional items of information are called for in the accounts. A prescribed form of presentation is provided and comparative figures for the previous year are to be shown. Some of the new or altered provisions of the 1955 legislation are referred to below.

Certain incidental and ancillary objects and powers are implied in the memorandum of every company registered after the commencement of the Act. These objects and powers are set out in the Second Schedule to the Act.

The powers of dairy companies to engage in associated industries are extended.

Restrictions on the names of companies are extended, and the Registrar of Companies may refuse registration where a name contains or resembles a trade mark or which is otherwise undesirable.

A body corporate or its nominee is prohibited from being a member of its holding company.

Legal penalties are prescribed where a company prospectus contains false or misleading statements. This provision, among others, is modelled on a similar clause of the United Kingdom Act.

Provision is made for the establishment of a share premium account, which may be applied towards certain specified purposes. Power is given to both public and private companies (previously restricted to the former) to issue redeemable preference shares, and a new subclause provides that redemption shall not be taken as reducing the amount of the company's authorized share capital.

A proviso, which does not appear in the United Kingdom Act, enables shareholders, even after previous consent, to object to a variation of their rights if the company has failed to disclose material facts. The proportion of shareholders which may object has been reduced from 15 to 5 per cent.

Persons other than debenture holders and members of the company are to be permitted to inspect and obtain copies of registers of debenture holders.

An extraordinary general meeting may be requisitioned by one hundred members although they may hold less than one-tenth of the shares or voting power. In certain circumstances power is given to the Court to authorize one member to hold a meeting.

Public companies are to have at least two directors, and private companies at least one. A director of a public company may be removed by ordinary resolution before the expiration of his term of office. Every company is required to have a secretary, who may not act both as secretary and director. A register of directors' holdings of shares and debentures is to be kept (including its holding company and subsidiaries), and a statement of the aggregate remuneration of directors is to be furnished on demand. Private companies may dispense with the appointment of auditors, and are permitted to have employee members in addition to twenty-five other members.

Any overseas insurance company, whether limited by guarantee or by shares, may carry on insurance business (other than life insurance) if it keeps deposited with the Public Trustee a sum which, together with any deposit made in respect of that business under the Insurance Companies Deposits Act 1953, amounts to £50,000. This authorization was restricted by the previous legislation to overseas companies limited by guarantee and which were engaged in insurance business at 31 March 1934.

The general provisions as to the balance sheet and profit and loss account are set out in the Eighth Schedule to the Act, under which many new requirements are imposed. Fixed assets are to be distinguished from current assets and current liabilities from other liabilities. Separate headings are required for capital reserves, revenue reserves, and provisions (other than provisions for depreciation, renewals, or fall in value of assets). Material changes in these totals from one year to another are to be the subject of explanatory notes. Some of the items required to be stated separately are: share premium account, re issuable redeemed debentures, cumulative dividend arrears, contingent liabilities, investments by type, bank loans and overdraft, preliminary issue expenses, discount and commission on shares and debentures, and intangible assets.

If the directors consider that any of the current assets have a lower realisable value than the amount stated, a note must be made to that effect. Any over provision created before 1 September 1955 is to be shown as a reserve.

In the profit and loss account the following items must be distinguished: investment income according to source, interest on debentures and other fixed loans, asset and tax provisions, total dividend payments, significant changes in reserves and provisions, amounts provided for loan and share capital redemption, and auditors' fees and expenses. Any material changes in the items shown in the profit and loss account as a result of unusual transactions or circumstances or to new methods of accounting are to be the subject of an explanatory note. In the case of holding companies, group accounts are required.

Certain provisions of the Act may be modified by Order in Council where a company or class of companies has an unusually large number of shareholders, and exemption from specified requirements of the Eighth Schedule (presentation of accounts) may be granted to any class of companies where deemed necessary in the public interest, subject to such conditions as may be prescribed.

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 856.

The table following gives a classification of new companies registered in 1956 according to the amount of nominal capital.

Amount of Nominal CapitalPrivate CompaniesPublic CompaniesOverseas Companies
NumberNominal CapitalNumberNominal CapitalNumberNominal Capital
 £ £ £
Under £1,000588221,232  1100
£1,000 and under £2,000719829,555    
£2,000 and under £3,0005511,186,599    
£3,000 and under £4,000316981,938  13,641
£4,000 and under £5,000210863,47214,000  
£5,000 and under £6,0002221,119,001315,000210,000
£6,000 and under £7,000122741,440    
£7,000 and under £8,00057409,29017,500  
£8,000 and under £9,00055442,30018,000  
£9,000 and under £10,00030273,20019,500  
£10,000 and under £15,0002002,068,760440,000220,000
£15,000 and under £20,00056893,190  115,000
£20,000 and under £50,000761,932,350142,0004111,000
£50,000 and over121,771,00081,366,0001020,207,826
Limited by guarantee      
Totals3,21413,733,327201,492,0002120,367,567

Seven private and six public companies were registered with authorized capitals of £100,000 or over. There is no information as to the amount of capital employed by overseas companies in New Zealand, which obviously must be only a small proportion of the total capital.

A slight fall in private company registrations during 1955 was more than offset in 1956 with the record number of 3,214 new registrations, pointing to a continued high level of business opportunity. The increase is most marked among the smaller types of enterprise. The total authorized capital exceeded that for 1955 by £1,533,000.

The extent of changes in registrations and nominal capital of private companies between 1946 and 1956, expressed as percentages of the totals, is shown in the following table.

Per Cent
Amount of CapitalNumberAmount of Nominal Capital
1946195619461956
Under £1,00017.618.31.51.6
£1,000 and under £5,00061.155.922.328.1
£5,000 £10,00014.015.115.021.8
£10,000 and over7.310.761.248.5
Totals100.0100.010001000

Compiled from published sources, the following summary gives the stated objects of all new companies registered during 1954-1956. 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 Group195419551956
Agriculture and livestock production228232449
Forestry, hunting, and fishing111319
Mining and quarrying273533
Manufacturing—
    Food, beverages, and tobacco513551
    Textiles, footwear, and apparel13610890
    Woodwork and furniture715570
    Machinery127127146
    Transport equipment101122173
    Other299237227
Construction292316357
Commerce—
    Wholesale and retail720651880
    Banks and other financial institutions133200185
    Real estate174142194
    Other5 1
Transport, storage, and communication121131146
Services—
    Community and business135143
    Personal116108140
    Other221422
Miscellaneous381829
Totals2,6852,5953,255

In the following table a notable feature is the increase in both the number and aggregate nominal capital of new private companies registered since 1946. For 1956 the average authorized capital per new registration was: private companies, £4,273; public companies, £74,600.

YearPrivate CompaniesPublic CompaniesOverseas Companies
NumberNominal CapitalNumberNominal CapitalNumberNominal Capital
* Of this number one company was limited (as to capital) by guarantee.
 £ £ £
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
19542,64715,831,35321*1,513,3001710,402,100
19552,56412,200,32519*4,541,575121,605,000
19563,21413,733,327201,492,0002120,367,567

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.

Companies on Register, March 1957 and 1958.—The number of public companies on the register at 31 March 1957 was 1,502 and the number of private companies 28,929. At 31 March 1958 the corresponding figures were: public companies 1,537, private companies 32,213. These figures were supplied by the Registrar of Companies; no further particulars are available.

ANALYSIS OF PUBLIC COMPANY FINANCIAL STATEMENTS.—The following article was contributed by the Reserve Bank of New Zealand.

In recent years the Reserve Bank of New Zealand has undertaken an analysis of the annual financial statements of a sample of public companies in New Zealand, with a view to obtaining information concerning company finance and the capital market which would be of use both to the Reserve Bank and the companies themselves. Results of earlier analyses were published in the Reserve Bank Bulletin for November 1953, March, May, and September 1955, and in March 1957, and also in the 1956 issue of the Year-Book. The financial statements of 199 public companies are now analysed over a period of four years, 1952-53 to 1955-56. (In this context the year 1955-56, for example, means financial statements relating to balance dates falling within the year ended 31 March 1956. A high proportion of companies do balance on 31 March but many annual accounts will relate to a somewhat earlier trading period.)

Also a partial analysis has been made of the financial statements of one hundred of these companies which completed their financial year on 31 March 1957. The analysis of annual financial statements has now been supplemented by figures of turnover, gross profit mark-up, expenditure on fixed assets, and estimates of such expenditure for the ensuing year. These additional figures were supplied to the Reserve Bank by nearly two hundred widely representative companies, not necessarily the same as those covered in the analysis of financial statements.

A close study of the whole set of figures, and particularly of the "Sources and Disposition of Funds" tables, enables a picture of the financial history of each period to be obtained. Probably the most interesting feature apparent from the analysis is the effect of the recent tighter trading conditions upon the financial structure of companies and upon the decisions of businessmen generally.

In the tables on pages 923 to 932 are set out detailed statistics of financial trends which have developed, or are developing, in the sample group during the past five years.

GLOSSARY.Current Assets: Those assets which are expected to be turned into cash within 12 months. Current Liabilities: Those liabilities which are expected to be met within 12 months. Liquidity Ratio: Current assets minus stock divided by current liabilities minus bank overdraft. Net Tangible Assets: Total tangible assets less total liabilities owing to others than shareholders. Net Working Capital: The excess of current assets over current liabilities. Stock Turnover Ratio: Annual turnover divided by average stock held. Debtor Collection Ratio: Annual turnover divided by trade debtors plus bills receivable. Proprietary Ratio: Proportion of proprietors' funds to total assets. Sources of Funds or Funds Available: Net increases in liabilities and net decreases in assets between annual balance dates. Disposition of Funds or Funds Used: Net increases in assets and net decreases in liabilities between annual balance dates.

HISTORICAL.1953-1954: The very large stocks built up in 1951 and 1952, as a result of the over-importing of that period, were substantially liquidated during the year ended 31 March 1954. About one-third of the total funds used in business during that year were obtained from sales of stock. This permitted a substantial reduction in bank overdrafts, about one-quarter of the funds received being so employed. Manufacturers' net profits and turnovers increased relative to other sectors of industry, partly as a result of the introduction in April 1952 of the Exchange Allocation Scheme for imports. The liquid position of companies improved generally and an increased rate of dividend was paid. Taxes on the year's operations declined, explained by the reduction of the surcharge on basic company taxation rates.

Total depreciation increased by nearly one-third during the year and fixed assets by 7 per cent, indicating the extensive use of special depreciation allowances and the creation, in some cases, of over-generous provisions against contingencies.

Short-term sources of funds during the year amounted to nearly 40 per cent of total funds employed, whilst half of the total was applied to short-term uses. This showed that part of the long-term funds was utilised for short-term needs. Apart from the reduction in trading stocks (31 percent of total funds), the most important sources of finance were net retained profits (19 per cent) and depreciation (17 per cent). Forty per cent of the money was applied on property and plant and depreciation.

1954-1955: Relatively easy money conditions prevailed during the year. Business prosperity spread more to the distributive sector of industry as imported goods became more freely available. Turnovers, gross profits, and net profits all showed substantial increases. Liquidity again rose. But, as so often occurs during times of easy prosperity and a sellers' market, the stock turn and speed of debtor collections showed considerable declines. Additional overdraft accommodation paid for about one-third of the increased stock held. Funds provided from profits were the main source of finance. The amount was little less than that expended on fixed assets during the year, and was nearly half of the total funds received.

Increased use was made of ordinary share capital and long-term loans during the year. Business prosperity associated with easy money conditions caused share capital to become reasonably easy to obtain. Also the Tasman Company's debenture issue made entrepreneurs more aware of taxation advantages of long-term loans and their cheapness compared with share capital. The consequence of the increased borrowing was that owners' share of businesses declined by 1/2 per cent to 55.8 per cent.

1955-1956: During the latter half of this period business began to feel the first effects of tighter credit and trading conditions.

A mild winter season affected the textile and clothing industry and contributed to a substantial reduction in net profits. The cancellation of the bulk-purchase contracts meant considerable readjustment in the meat processing and dairy industries'.

The reappearance of the buyers' market resulted in a necessarily more analytical approach to liquidity and particularly to stocks, turnover, debtors, and cash and capital budgeting. Turnovers continued to rise but at only about half of the rate of the previous year, and gross profit mark-ups and net profits both increased. The percentage mark-up increased by 1.9 per cent and net profits rose by 7.3 per cent.

The greater attention given to stocks and debtors resulted in a greatly improved debtor collection ratio and the stock turn fell only slightly.

All liquidity ratios fell, indicating a greater reliance on creditors to finance current operations The percentage of the business owned by the proprietors again declined, this year by 1 per cent to 54.8 per cent.

After relying substantially less on short-term funds during the year ended 31 March 1955, compared with the previous year, companies during the period under review increased their proportion of short-term sources of funds to almost a comparable figure with 1953-54. In relation to the earlier year, however, the type of short-term funds obtained was considerably less sound. Funds received from the liquidation of stocks is a considerably better and safer manner of financing business than the method used during the period under review. As the "Sources and Disposition of Funds" table on page 930 shows, a little over one-third of the total "funds received" were obtained from bank overdraft accommodation, sundry creditors, and provision for taxation. This money was sufficient to cover the large expenditure required for a much increased stock-in-trade, upon which one-third of the total funds were spent. Net working capital of the companies amounted to a little over half of the trading stock, some 10 per cent lower than during the previous year. Both figures indicate the reliance of New Zealand business on stock turnover to remain solvent, and how insufficient, cash and debtors usually are for meeting monthly creditors and paying off overdrafts.

During the year a considerably larger percentage of short-term funds was applied to short-term uses than in 1954-55; a number of companies, however, borrowed short to invest long by financing part of their fixed asset expenditures by means of bank overdrafts.

The tighter monetary conditions prevailing and the fact that demand for long-term funds greatly exceeded the supply, made long-term capital for industry more difficult to obtain. Funds provided from profits were again the main source of finance, the proportion to the total being comparable with the previous year. Slightly more than half of the total funds were spent on fixed assets. More than double the amount for the previous year was spent on property and plant. Depreciation, whilst higher in amount than during 1954-55, showed a very much smaller percentage increase than did that year over 1953-54. The smaller rise is, however, consistent with the abolition of the special depreciation allowances on commercial buildings in the 1955 Budget. Capital issues control was also somewhat stricter during the year. As a result of this and of the prevailing scarcity of long-term loanable funds relative to the demand, paid-up share capital and fixed long-term loans provided a much smaller proportion of total funds than in 1954-55.

During the years reviewed the total funds employed in business continued to increase. Between the twelve months ended 31 March 1953 and 1954 the total money received increased by one quarter and between the latter year and the succeeding twelve months the rise was almost half.

Business in New Zealand during the period therefore continued to expand substantially, in spite of the tighter monetary conditions existing in the latter half of 1956.

1956-1957: The figures for this year are not complete. The statistics are calculated from the accounts of some sixty companies only and the results given must therefore be treated with considerable caution. They do, however, show a trend.

Turnovers generally still appeared to be slightly up on the previous year, perhaps by 4 per cent. Some companies, however, for example in the electrical and textile trades, showed substantial decreases. The gross profit mark-up appears to have fallen. Stock turnovers were running substantially below those for 1955-56, but debtor collections had fallen very little, indicating a much closer scrutiny of outstanding accounts than in the previous years.

Net profits were down. The reduction in gross profit mark-ups and in net profits indicates that manufacturers were finding difficulty in passing on increased costs to the consumer, and points to a rise in costs relative to profits and sales.

The working capital position appeared to be slightly better, and the current ratio was stronger. The main sources of funds were retained profits and long-term loans. Ordinary and preference share capital occupied a slightly more important place than for 1955-56, funds obtained from preference share issues in the companies surveyed being greater than from the issue of ordinary shares.

The increased importance of debentures, mortgages, and preference shares relative to ordinary shares probably indicated the higher demand for security by investors combined with the lower yields offered on ordinary shares compared with gilt-edged rates. Entrepreneurs, of course, also obtain cheaper money by issuing preference shares at rates permitted by the Capital Issues Committee and by the issue of loan capital.

The funds obtained from these sources were applied to reduce bank overdrafts (16 per cent of the total), to pay for increased stocks (also 16 per cent), to finance a slight fall in sundry creditors, and to pay for additional fixed assets amounting to about a third of the total funds obtained.

During 1956 entrepreneurs were endeavouring to finance their business more from long-term capital and to rely less on short-term sources of funds. Many had ceased their tendency to over trade and were making efforts to consolidate the business they already had. A more stable balance sheet structure in secondary industry should be the result.

Turnovers generally kept up and there was increased efficiency in watching costs. Substantial falls in sales, however, appeared in some firms and industries but by no means were they wholly due to the effects of restricted bank credit.

DIVIDEND POLICY.—The general dividend policy of directors of New Zealand companies does not appear to aim at keeping a fixed proportion of profits for ploughing back into the business. The policy, rather, seems to be to continue to distribute, if at all possible, the same rate of dividend as in previous years. According to the sample, New Zealand companies distributed for the years ended 31 March 1953, 1954, 1955, and 1956, 52 per cent, 59 per cent, 58 per cent, and 57 per cent of net profits respectively. The total net profit for the 1955-56 year as a percentage of shareholders' funds was below that for the previous year (7.3 and 7.7 per cent respectively) and the average dividend distributed declined slightly from 7.42 per cent to 7.38 per cent of total paid-up capital. Part of this lower figure is explained by the elimination of a previous bonus dividend. Net profits after tax covered preference dividends 18.2 times for the year ended 31 March 1956, and 23.1 times for the previous year. Ordinary dividends, after meeting preference dividends, could be covered out of profits for the same periods 1.94 times and 1.89 times respectively.

DEPOSIT FUNDS.—Deposit money is being increasingly used by companies in recent years. Total deposits (including customers' credit balances of stock and station agency firms) for the companies surveyed during the four years ended 31 March 1956 totalled respectively £10.3 million, £11.6 million, £12.4 million, and £12.6 million. Following the repeal of the Deposit Interest Restriction Order in 1957, money obtained on deposit by trading companies has probably increased appreciably, since interest rates offered can be fully competitive with those obtainable on other investments.

As the following table indicates, the major portion of deposit funds during the years was held by stock and station agents and building societies.

£ (million)
Type of Company1953195419551956
* Includes customers' credit balances.
Stock and station agents*4.85.66.16.1
Building societies4.34.65.15.2
Other groups1.21.31.21.3
Totals10.311.612.412.6

The only company group which showed a continual decline in deposits received was the gas industry where the amount obtained fell from £182,000 in 1952-53 to £47,000 for the year 1955-56.

Steady increases in deposit money received were shown especially by the following groups (total deposit money obtained for year ended 31 March 1956 in parentheses) - mainly wholesale (£176,000), department stores (£338,000), drugs and chemicals (£49,000). The financial group consisting of finance and trustee companies obtained £694,000 during the year ended 31 March 1956, but this was less than was received two years earlier. Deposit figures for woollen mills and the mainly retail groups, which includes two large chain stores, tended to fluctuate according to the circumstances of one or other large firm in the group.

Inter-company lending is becoming more prevalent in New Zealand and businesses with seasonal surplus funds are now often lending them temporarily to other firms, who thus may not need to rely so heavily on bank credit.

SECURITY INVESTMENTS.—Total investments and loans (£35.1 million during 1955-56) show a steady growth during the four years reviewed, the three previous years' totals being £25.7 million, £28.9 million, and £32.6 million.

Most company groups reflected this increase, an exception being the construction group where the adoption of consolidated accounts by one of the largest companies eliminated the previous investments shown in subsidiaries. The much larger investments made by meat processing and stock and station agency companies is an indication of larger business obtained, and consequently profits received, from the primary industries by these firms. It is also indicative of inter-company lending between these two groups and (in the case of the stock and station agents) increased investments in readily realisable securities to meet possible sudden calls on customers' credit balances.

Other company groups showing large increases in investments were breweries, metals and machinery firms, and building societies. In the first two groups, the increased investment was principally in subsidiary companies, but in the latter case the higher total was the result of greater business.

As the next table indicates, only £7.9 million in 1954-55 and £9.9 million in 1955-56, out of the total investments and loans made by all companies during these years, were in the form of outside investments. The two figures given amount to 4.7 per cent and 51 per cent respectively of the total assets of the companies concerned.

£ (million)
Investments and LoansYear Ended 31 March
19551956
Outside investments7.99.9
Normal business investments and loans—
    Mortgage and loan business of building societies and finance companies12.513.1
    Advances by stock and station agency companies2.73.3
    Investments in and loans to subsidiaries and associates8.87.3
    Other0.7     24.71.5     25.2
            Totals32.635.1

Investments in Government stocks increased from £2.1 million to £2.6 million and purchases of shares in other companies apparently in no way connected with the business rose from £0.6 million to £2.1 million. Investments in mortgages, debentures, and local body securities remained small but showed rises in all cases between 1954-55 and 1955-56. Whilst the total amount of investments increased, short-term deposits made by the companies fell appreciably, particularly in the following groups; stock and station agents, metals and machinery, and mainly wholesale.

INTERNATIONAL COMPARISON OF BALANCE SHEET AND PROFIT STRUCTURES.—Whilst a strict comparison by countries of balance sheet structure cannot be completely accurate for many reasons, the methods of obtaining and utilising capital in this country compared with overseas are of interest.

The predominant differences are that companies in overseas countries rely less on bank overdraft and other short-term borrowing than do New Zealand companies, short-term borrowing being about 4 1/2 per cent of total liabilities compared with nearly 10 per cent in this country. Overseas firms make more use of long-term mortgage and debenture capital and retained profit reserves.

The more fully developed capital market in overseas countries probably explains the higher percentage of funds obtained from long-term borrowed money against fixed assets, and the longer period of establishment has enabled the building up of high reserves out of retained profits. The present percentage of net profit before tax retained in the business in New Zealand companies however compares favourably with that of overseas countries. New Zealand companies hold a higher proportion of their shareholders' funds in ordinary shares and a lower percentage in preference share capital. This is probably explained by the pegged preference share rate in this country. Overseas companies show a better working capital position compared with New Zealand, which in its turn shows a slightly higher ratio of fixed assets to long-term liabilities than do firms in overseas countries. The percentage of assets held in the form of stocks by companies in this country is also slightly higher than overseas owing to the large amount of manufacturers' raw materials, which have to come from abroad, and to the time between order and delivery dates.

ANALYSIS OF INDIVIDUAL COMPANY GROUPS

MEAT PROCESSING.—This group at certain times of the year has large amounts of short-term surplus balances. The meat processing and stock and station agency companies are in the habit of lending to each other as their surplus balance peaks are reached at different times during the year. Since the introduction of free marketing of meat overseas, however, the flush seasons of both company groups have come much closer together. Inter-company lending between the two types of company is nevertheless still considerable.

1953-1954: Nearly half of total sources of funds received during the year was obtained from increased sundry creditors, which includes deposits with the firms. Funds provided from profits, amounting to 44 per cent of total money received, accounted for most of the balance of total sources of funds.

Nearly three-quarters of total funds were employed for short-term uses. Slightly over one-third of the total was utilised in increased current investment, and an additional quarter in reducing advances by subsidiaries, associates, the taxation authorities, and, very slightly, by the trading banks. Plant and property plus depreciation also utilised nearly one-fifth of the total funds received. Both the net profit and the liquidity positions of this group declined during this period.

1954-1955: The changeover from bulk-purchase contracts to free marketing of meat took place during the year. A considerable amount of adjustment and reorganisation in the industry was necessary. New London offices were opened. Peak funds did not flow in at the same time and sometimes stocks had to be carried for periods.

During the year the main source of funds was obtained from profits amounting to 40 per cent of the total received. A reduction in current investment provided a further 22 per cent and increased equity capital an additional 15 per cent of total sources of funds.

Of the money so obtained, 43 per cent was employed on property, plant, and depreciation, 22 per cent on increased stock, and 19 per cent on additional long-term investment other than in subsidiaries. Cash and bank credit balances were increased and creditors reduced. Although net profits and the working capital position improved during the year the liquidity ratio of the groups continued to decline.

1955-1956: Total receipts from sales increased during the period by about 10 per cent, and net profits generally as a percentage of turnover were a little above the previous twelve months figures. The liquid position however weakened. A substantial rise in short-term borrowed funds took place during the year. One-third of total sources of funds was received from increased sundry creditors including deposit moneys, and an additional quarter of the total was provided from higher bank overdrafts and running down cash and bank credit balances. The increased bank credit may be partly explained by some switch in financing caused by the cheapness of borrowing in New Zealand compared with the United Kingdom. Net retained profits and depreciation accounted for 38 per cent of the total, and small increases in equity and preference capital provided nearly all of the balance of total sources of funds.

The funds so obtained were utilised by employing 39 per cent in property, plant, and depreciation, and 38 per cent for increased stock. An additional fifth was employed in financing increased debtors and current investment.

The return of the buyers' market in association with the credit squeeze appeared to have had some effect in increasing the efficiency and quality of production.

BEVERAGES.—The beverages group consists for the most part of large brewery companies with substantial assets in the form of land and buildings.

1953-1954: The improvement in working capital and in the ratio of bank overdraft to current assets during this period is explained by the greatly increased use of capital raised from mortgages, debentures, and other fixed charges, 22.4 per cent of the total sources of funds being obtained by these means. Nearly half of total sources of funds was, however, received from ploughed-back profits and about one-fifth came from sundry creditors. Just on half of the total funds received during the year was employed in reducing bank overdraft and much of the balance was invested in property and plant.

1954-1955: Increased turnover and higher profits were received by the groups during this period. Slightly over two-thirds of the total sources of funds during the year ended 31 March 1955 was provided from profits and only 14.6 per cent of the total was obtained from short-term sources of funds compared with 30 per cent during the previous year. The liquid and working capital position of the industry was much improved. Nearly one-quarter of the total sources of funds was employed in financing additional debtors and about half was invested in property and plant.

1955-1956: During this year less funds were employed for short-term uses than were received from short-term sources, thus again strengthening the working capital and liquidity position of the industry. The main source of funds as in previous years was provided from profits which accounted for slightly over half of the total funds received. A substantial issue of ordinary shares by one of the companies made up nearly one-quarter of the total sources of funds. During the year nearly 60 per cent of the funds was used in the purchase of property and plant and approximately one-quarter was invested in long-term securities.

During the period under review the brewery industry in New Zealand has steadily expanded consistent with greater turnover and profits. Its capital structure on 31 March 3956 was also more soundly based than was the case in previous years.

OTHER FOOD.—Firms in this group are relatively small with little in the way of good fixed assets against which to obtain security. Their stock turn is usually high with a consequent smaller need for overdraft accommodation.

1953-1954: During the year this group increased its turnover and profits and financed additional debtors, purchases of property and plant, and increased investment in short-term securities, each of the three approximating slightly less than one-third of the total funds employed. Funds for these purposes were obtained mainly by reducing stocks, cash and bank balances, and by increasing ordinary share capital. In each case the proportion of total sources of funds involved accounted for between one-fifth and one-quarter of the total sources of funds. Funds provided from profits only amounted to about one-seventh of the total sources of funds. Not all the funds obtained from short-term sources were employed in short-term needs and a slightly stronger working capital position resulted.

1954-1955: Total sales were running about 15 per cent above those for the previous year. The debtor collection ratio improved slightly but stock turn and the net profit rates to turnover both showed fairly substantial declines. Net profit rose but at a much lower rate than in the previous year. During this year slightly more than three-quarters of the sources of funds were obtained by running down cash and bank balances or increasing bank overdraft accommodation. Ploughed-back profits contributed just over 18 per cent. The money received was mainly employed in increasing stock, slightly under half of the total, in purchases of property and plant, about one-fifth, and in short and long-term investments in securities, just over one-fifth of the total.

1955-1956: Turnovers were about 2 per cent above the previous twelve months, but net profits were slightly lower and falls were registered in the following ratios: Stock turn, net profit to turnover, and working capital to turnover. The speed of debtor collections also declined, but the cash position was somewhat better. Three-quarters of the sources of funds during this year were provided from profits, small additional amounts being obtained by increasing overdrafts, and reducing debtors and short and long term investments. Nearly 60 per cent of the total funds received provided additional property and plant. Slightly over 10 per cent was expended on stock and nearly one-fifth was utilised in building up cash and bank balances. Creditors also declined but to a larger extent than debtors.

WOOLLEN MILLS.1953-1954: Business conditions for the industry were somewhat patchy. Although turnovers increased and the liquid position was essentially good, costs rose to a larger extent than sales. This is reflected in lower net profits associated with reductions in stocks, (amounting to approximately 60 per cent of total sources of funds) and increased debtors. This permitted a scaling-down in overdraft figures, slightly over 60 per cent of funds being so employed. Ploughed-back profits provided one-third of the funds received and slightly over one-fifth of total funds employed was spent on property and plant.

1954-1955: During this year both stock and bank overdrafts again rose but, whilst stock turn was slightly faster, the speed of debtor collections declined. Increased bank overdraft accounted for one-third of the total sources of funds and larger holdings of stock for nearly two-thirds of the money employed. Debtors and creditors both increased. Higher turnovers and larger gross and net profits were received by companies during the period. Ploughed-back profits explained slightly over one-third of the sources of funds, nearly one-fifth of which was invested in property and plant. Although the liquid position of companies in the groups declined the cash situation still appeared sound.

1955-1956: The main source of funds during the year ended 31 March 1956 was obtained through the issue of ordinary shares (nearly 40 per cent of total sources of funds). Bank overdraft provided an additional quarter and ploughed-back profits in the form of depreciation a further 18 per cent. Turnovers declined slightly and gross and net profits were well below those for 1954-55. The directors of some companies drew on reserves to keep the share dividend rate level with previous years.

Funds received were employed in financing additional stock (nearly 40 per cent of the total), property and plant (approximately one-third), and sundry debtors (16 per cent). Stock turn was slower by about 15 per cent to 20 per cent, but the speed of debtor collections increased and the liquid position slightly improved.

In spite of difficulties the working capital position of the industry remained sound over the four-year period, the current ratio at 31 March 1956 being slightly better than the 2 : 1 classic percentage.

CLOTHING MANUFACTURERS.1953-1954: During the year funds were obtained by a large reduction in trading stock (two-thirds of total sources of funds), and some increase in bank overdraft accommodation and ploughed-back profits. Money so obtained was mainly employed in paying off creditors (slightly over 60 per cent of the total being so utilised) and in increasing debtors and cash and bank balances. The liquid position of the group substantially improved whilst net profits declined by about 12 per cent.

1954-1955: The trend apparent in the previous year was reversed during 1954-55. Sundry creditors became a main source of funds, cash and bank balances declined, and overdraft accommodation decreased. An expansion in property and plant was, however, financed from ploughed-back profits and the issue of ordinary shares. The liquid position weakened considerably and profits fell slightly.

1955-1956: A mild winter season combined with slightly tighter monetary conditions adversely affected turnover, stock turn, and net profits. In consequence trading stock greatly increased, being largely financed from additional bank overdraft accommodation. Funds provided from profits supplied the balance for the increased stock and also paid for the purchase of further property and plant.

FORESTRY AND WOOD.—This group includes some very large firms with substantial fixed assets. Individual large companies usually make big increases in property and plant by means of mortgage and debenture issues and some share capital, particularly preference issues. The methods of financing expansion in this group should be compared with that of the "Other Food" group, made up mainly of small companies which often have difficulty in raising debenture or preference capital.

1953-1954: During the year a large increase in property and plant and reduction in creditors was financed by mortgage and debenture issues and from ploughed-back profits. Net profits rose a little and the working capital and general liquidity position substantially improved.

1954-1955: The main source of finance during this period was retained profits, sundry creditors, and, as in the previous year, mortgage and debenture finance. Some share capital was obtained mainly in the form of preference shares. This enabled a stronger working capital and cash position, some expansion of turnover, and a substantial increase in net profits. Large additions were again made to property and plant and funds were invested in long-term securities.

1955-1956: The further large increase in property and plant this year was mainly financed from ploughed-back profits and to a lesser extent by share capital, reduction in outside investments, and mortgages. The substantial increase in stock was financed by running down cash balances and increasing bank overdrafts. Turnovers and net profits were much higher than during the previous year. Although, as intimated, the liquidity position weakened, the rate of stock turn and debtor collection both fractionally declined.

During the four years reviewed this industry may be said to have expanded steadily. Full use was made of long-term methods of finance for these purposes.

PRINTING AND PUBLISHING.1953-1954: Over 80 per cent of the total sources of funds in this industry was provided from profits and the balance was received from reductions in stock and the issue of shares and mortgage capital. The funds so obtained were utilised in investing in additional property and plant, in reducing bank overdrafts, and in financing substantially increased debtors. The working capital and general liquid position showed a considerable improvement but net profits declined.

1954-1955: The main sources of funds during the year were obtained from the issue of ordinary share capital, mortgages, and stock reductions. One large company made a substantial bonus issue of shares by capitalising reserves, thus net retained profits for the group really showed a fall during the year ended 31 March 1955. Property and plant increased considerably in the group and bank overdrafts declined. Turnover and profits for the period were much in advance of the previous year, but the liquidity position of the groups weakened slightly owing to a large rise in sundry creditors.

1955-1956: Funds provided from profits contributed 60 per cent of the total sources of funds followed by increased bank overdrafts, nearly 20 per cent, and mortgage and debenture capital, 12 per cent. Nearly 70 per cent of the total, funds employed were invested in property and plant and the value of trading stock increased by approximately the same extent as bank overdraft accommodation. Both turnovers and net profits continued their rise, being about 15 per cent and 7 per cent greater respectively. The working capital ratio weakened by 10 per cent but the speed of stock turn and debtor collections increased by 17 per cent and 14 per cent in each case.

DRUGS AND CHEMICALS.1953-1954: During the year, substantial reductions were made in stocks which, in addition to funds provided from profits, permitted an improvement in the cash and bank position of the industry amounting in value to nearly three-quarters of the total funds employed. The liquidity and current ratios both improved during the year in consequence. Although the table indicates that the net profit for the groups as a whole declined, one large company was responsible for this position being shown. Most other firms in the group slightly increased their trading profits.

1954-1955: Money provided from profits was the main source of funds followed by provisions for taxation and the issue of ordinary share capital. Turnovers and net profits both increased substantially necessitating the higher taxation provisions. Approximately half of the total funds employed were utilised in purchasing additional property and plant, and the majority of the balance was used to improve the cash and bank position and to finance debtors.

1955-1956: Although turnovers, gross and net profits, the speed of stock turn, and debtor collections all showed improvements, the cash and bank position of the industry weakened during this period; the funds so obtained being almost exclusively used in adding to stock in trade.

Funds provided from profits and increases in ordinary shares financed additional property and plant.

NON-METALLIC MINERALS.1953-1954: This industry underwent a substantial development programme during the year as reflected by the substantial increase in fixed assets financed mainly by issues of ordinary shares, but to some extent also from bank overdraft and mortgage capital. A poorer liquidity situation resulted, although turnover and net profits improved.

1954-1955: The industry continued to expand during 1954-55, the increase in property and plant being mainly financed from ploughed-back profits and bank overdraft accommodation. Some additional share capital was, however, also obtained. The liquidity situation further weakened and net profits for the groups declined.

1955-1956: During the year a slightly better working capital and liquidity position was obtained. The majority of funds raised during the year were obtained from ploughed-back profits and ordinary share issues. Nearly two-thirds of total funds were employed in additional fixed assets and the balance mainly in reducing bank overdrafts and creditors and increasing debtors. Turnovers and net profits increased substantially during the year, generally about 20 per cent in both cases. The speed of stock turn also rose considerably but the rate of debtor collection varied little.

METALS AND MACHINERY.1953-1954: The main source of funds was provided from profits, 47 per cent of the total, followed by share capital, particularly preference shares, and bank overdrafts. Share capital and bank overdraft each provided about one-fifth of total funds employed. About half of the funds so provided was utilised in addition to property and plant and the balance of the money other than about 16 per cent of the total expended in financing debtors was utilised in small amounts in various ways. Net profits rose by about 4 per cent during the year and, although the current ratio declined slightly, a substantial improvement was shown in the liquidity ratio.

1954-1955: Sundry creditors and share capital were the two main sources of funds, each providing about one-quarter of the total. Ploughed-back profits and bank overdrafts also provided an additional 18 per cent each. The additional creditors were used to finance extra debtors and the added overdraft to pay for the purchase of about half of the further trading stock bought. The long-term sources of funds were partly expended on new plant and property, employing about one-third of the total funds utilised. Net profits and liquidity ratios all showed slight weakening during the year.

1955-1956: Business improved during the year, turnovers generally being about 10 to 12 percent higher, and net profits again rose to 1954 levels. Short-term liquidity and the rate of stock turn, however, declined. Ploughed-back profits provided over 40 per cent of the total funds. Other main sources included share capital, about a quarter, and bank overdraft, slightly over 10 per cent.

Bank overdraft was utilised to finance slightly under half of an increased stock-in-trade, and the long-term sources of funds were employed in the purchase of additional property and plant, a little over half of total funds, and in investment in subsidiaries (about 15 per cent).

ELECTRICAL MACHINERY AND APPLIANCES.1953-1954: A substantial fall in stock-in-trade, 40 per cent of total funds, and a large increase in sundry creditors, nearly a third of the total, were employed in reducing bank overdraft, 43 per cent of the total, and in financing additional debtors, nearly one-quarter of all money employed.

Ploughed-back profits amounting to not quite one-fifth of total funds received were utilised to an approximately similar amount to provide for replacement and purchase of additional property and plant. Net profits declined by nearly 10 per cent.

1954-1955: Business and net profits increased by about 20 and 25 per cent respectively during the year. The speed of stock turn rose slightly and the debtor collection rate remained about stable. During this period the previous year's methods of obtaining and employing funds were reversed. Bank overdraft and sundry creditors both showed considerable increases, 43 and 28 per cent respectively of total sources of funds. These moneys were utilised in increasing stock in trade and sundry debtors, 43 per cent and 30 per cent respectively of all funds employed. The working capital ratio thus declined but the liquidity ratio employed improved a little.

Ploughed-back profits provided one-quarter of the total sources of funds. About one-third of these retained profits was used to finance the replacement and purchase of property and plant, and the balance was invested in subsidiaries.

1955-1956: Although turnovers appeared to have increased during the year costs rose faster and profits remained about the same in amount as during 1954-55. Both stock turn and debtor collection speeds declined, but liquidity ratios showed little variation.

Funds provided from profits were the source of half of total moneys received. Thirty per cent was obtained from running down cash balances and increasing bank overdrafts, and 10 per cent from the issue of mortgages. Nearly 60 per cent of the total funds utilised was expended on stock and slightly over half this figure on additional property and plant.

RUBBER.1953-1954: This group showed considerable improvements in its working capital position and profits during the year, mainly due to a substantial reduction in stocks and the use of funds provided from profits, nearly 50 and 40 per cent of total funds respectively. This permitted a substantial decline in bank overdraft accommodation and the financing of replacements and additions to property and plant, approximately 60 and 30 per cent respectively of total funds employed.

1954-1955: Over three-quarters of total sources of funds was provided from profits. The money so obtained was employed in increased provisions for property and plant, half of the total utilised, and, with funds provided from sundry creditors and the tax authorities, in again reducing bank overdraft accommodation. The working capital situation further improved although the liquidity ratio showed a substantial decline.

1955-1956: Profits and turnover of the group rose during the year. Short-term sources of funds, particularly bank overdraft (29 per cent), provided approximately half of the total money received. These funds were expended on increased stock-in-trade (41 per cent of the total) and most of the rise in debtors (11 per cent).

Funds provided from profits amounting to about 50 per cent of the total sources of funds were mainly employed on increased property and plant (40 per cent) and investment in subsidiaries.

OTHER MANUFACTURING.1953-1954: As in other groups the better liquidity ratio figures are explained by substantial reductions in stock being employed in reducing bank overdrafts and increasing cash and bank balances.

1954-1955: Turnovers increased by about 8 per cent during the year, thus assisting the considerable increase in net profits received.

Trading stock was again considerably reduced and sundry creditors increased; the funds so received being expended in reducing bank overdrafts, but although the working capital position improved the liquidity ratio weakened by a greater percentage.

Funds provided from profits were utilised in purchases of additional property and plant.

1955-1956: Business for the group generally continued to increase but at a little below the rate experienced in the previous year, and the rate of net profit rise was somewhat less than during 1954-55.

Funds provided from profits amounted to nearly half of all moneys received and with an increase in mortgage capital (13 per cent of the total) financed about 80 per cent of the increased expenditure on property and plant, the balance being paid for from short-term sources of funds, principally reductions in stocks, advances by other companies, and decreases in cash and bank balances.

ALL MANUFACTURING.1953-1954: The funds obtained from substantial reductions in stock, approximately a quarter of all money received, were utilised in paying off bank overdrafts and financing some additional current debtors. All liquidity ratios thus strengthened substantially. Ploughed-back profits (nearly half of total funds), plus mortgage and debenture finance together and share capital (each about 10 per cent), were employed in financing the purchase of additional fixed assets, and in current and long-term investment.

1954-1955: Turnovers and net profits both increased substantially but stock turn and debtor collection speeds, liquidity ratios, and net working capital as a percentage of turnover all declined. This indicated some over trading and little attention to costs; the accent being on increasing sales.

Approximately the same proportion of total funds received was again provided from profits. Nearly one-fifth was obtained from share capital, principally equity shares, and about half of this figure from mortgage and debenture finance. These moneys were expended mainly on fixed assets, slightly over half of total money employed, and long-term investment, 11 per cent. The balance of 10 per cent was used to finance additional portions of short-term assets.

A reduction in current creditors, about one-eighth of the total funds, paid for part of the additional debtors, and an increase in bank overdraft and taxation assisted in financing increased stocks, 16 per cent of the total funds being so employed.

1955-1956: Although the rate of turnover increase approximately halved during the year and the increase in net profits was smaller as unit costs increased, yet the speed of debtor collections rose markedly and the rate of stock turn and liquidity ratios fell only slightly.

Half of the total sources of funds was provided from profits and approximately a further fifth was received from share capital and mortgage finance, principally equity shares. These long-term sources of money were employed in financing additional fixed assets.

Increased bank overdrafts and a running down of cash and bank balances paid for slightly over two-thirds of the increase in stock-in-trade. The balance of stock was financed from long-term sources and to a small extent by additional creditors which paid for increased debtors.

CONSTRUCTION.1953-1954: Owing to a reduction in Government and local authority spending and a fall in the rate of private house building, trading was relatively difficult for some companies but conditions improved as the year progressed. Net profits were generally some 20 per cent higher than during the previous twelve months.

Two companies pushed ahead with development programmes and most of the total sources of funds was provided by paid-up capital increases of both ordinary and preference shares. About half of this money was invested in subsidiaries and the balance employed in improving the cash position of the industry, purchasing additional fixed assets and financing increased debtors. The liquidity position of firms in the group markedly strengthened during the year.

1954-1955: The group generally experienced a successful year with increased turnovers and much enlarged profits. Substantial increases in fixed assets were financed from retained profits and ordinary share capital. The larger turnover requiring greater debtors was financed by increasing sundry creditors and reducing stocks and cash and credit balances. The working capital position thus deteriorated a little during the period.

1955-1956: The year was generally an excellent trading period. Turnovers and net profits in some cases were at record levels. Owing to supply difficulties with steel a substantial increase in stocks was made. This was largely financed by increased bank overdrafts and the running down of cash and bank balances. Increased provisions and purchases of property and plant were financed from ploughed-back profits and mortgage and equity share capital. The above comments have been made after taking into account the changeover to consolidated financial statements made during the year.

GAS.1953-1954: This industry is not prosperous and dividends were sometimes paid from reserves. Available figures show that funds were provided from profits, principally depreciation, reduction in outside investment, and increased mortgages. The money so received was utilised in providing additional fixed assets and meeting some of the short-term needs such as increased debtors and reduced creditors. A substantial reduction in current deposits was financed from increased overdraft accommodation. The liquidity situation however slightly improved during the year.

1954-1955: This year showed little improvement on the 1954 figures except that net profits showed some increase. Over two-thirds of the total sources of funds were obtained from money set aside for depreciation. Most of the balance of the money received was obtained from reductions in stock. Over three-quarters of total funds was employed on fixed assets plus depreciation. Some additional long-term security investment was made and net retained profits other than depreciation were slightly reduced.

1955-1956: Over half of the total sources of funds was obtained from increased bank overdrafts, between a third and a half of which was employed in purchases of property and plant. One-third of total money was provided from profits and the balance from a reduction in long-term security investment and the issue of ordinary shares. Nearly three-quarters of total money was utilised on fixed assets and depreciation, the balance being employed in various ways such as an increased purchase of stock, a reduction in debentures, increased debtors, and a reduction in creditors. Net profits were slightly higher and the liquidity position improved markedly.

MAINLY WHOLESALE.1953-1954: The year was generally a prosperous one for the group although the net profit received in some cases was not as high as in the previous year.

Substantial reductions in stocks and sundry debtors, and the issue of share, mortgage, and debenture capital enabled considerable improvements in the liquid position of companies. About two-thirds of total funds was employed in reducing bank overdrafts, in increasing cash and bank balances, and in reducing sundry creditors and short-term advances from various sources. Approximately one-fifth was utilised in the purchase of additional property and plant.

1954-1955: As in most other groups the year proved a most successful trading period, Turnovers and net profit figures were in some cases records, increasing by about 15 per cent and 20 per cent respectively.

The main source of funds for the industry was obtained from large issues of ordinary shares, the money so obtained being utilised in purchases of substantially increased stocks and additional fixed assets. Increased sundry creditors financed the rise in debtors consistent with large turnovers, and a better working capital position was shown at the end of the war.

1955-1956: During the year turnovers increased by about 10 per cent and net profits by approximately 4 per cent. The speed of stock turn and debtor collections rose by about 5 and 3 per cent respectively, but working capital as a percentage of turnover declined.

Over half of the sources of funds was provided from profits, depreciation only providing about 7 per cent. This money was employed in purchasing substantial additional fixed assets. A large increase in bank overdrafts financed similar rises in stock-in-trade and additional debtors were paid for mainly from further debenture capital, decreases in cash and bank credit balances, sundry creditors, and additional share capital. An increased investment in subsidiaries was financed by other subsidiary and associate companies.

MAINLY RETAIL.1953-1954: As in many other groups the main source of funds was obtained from the liquidation of stocks. Half of the total money received was provided from this source and nearly three-quarters of the total funds came from short-term sources. These moneys were employed in improving the industry's cash position, financing debtors (set off by increased creditors), and in paying for the purchase of about half of the additional fixed assets, the other half being financed by retained profits and depreciation. In spite of an improved liquidity ratio resulting from the above measures the working capital position weakened slightly during the year.

1954-1955: Turnovers and net profits generally increased and as in other groups were sometimes records. About half of the total sources of funds was provided from profits and expended on additional fixed assets.

Bank overdrafts increased substantially, the funds so obtained being largely employed in the purchase of stock-in-trade and in reducing mortgages. The additional taxation due to be paid on larger profits was mainly responsible for financing the additional business represented by debtors.

1955-1956: During the period turnovers again increased about 9 per cent but net profits rose only slightly. Debtor collection and stock turn speeds remained fairly stable and liquidity ratios all declined.

As in the previous year increased bank overdrafts provided a considerable proportion (40 per cent) of total sources of funds, and, as before, this money was employed in financing additional stock purchases. Net retained profits and depreciation accounted for a third of total sources of funds and with additional mortgage capita! (11.5 per cent of the total) paid for most of a large increase in fixed assets, the balance being financed from short-term sources of money. An increased investment in subsidiaries was also paid for from short-term funds such as increased tax provisions and decreased cash and bank balances.

DEPARTMENT STORES.1953-1954: Similarly with many other groups these stores commenced the year somewhat overstocked. Although costs, especially wages, had risen, turnovers generally were slightly better than during the previous year. This enabled substantial reductions in stock which was the main source of funds and amounting to 43 per cent of the total. As a result companies made considerable reductions in their bank overdrafts (37 per cent of total funds) and increased cash and bank balances. Increased sundry creditors financed additional sundry debtors. About a third of total sources of funds was obtained from the issue of ordinary share capital and was employed, approximately half each, in the purchase of additional fixed assets and in reducing the amount of debentures outstanding. Net retained profits were reduced to assist in financing the taking over of other business by firms within the group.

At the end of the year the capital and liquid position of the group was somewhat sounder than at the beginning of the period.

1954-1955: The year was generally a very prosperous one. Turnovers and net profits in some cases achieved record figures. Both stocks and overdrafts were again increased - 27 per cent of total sources of funds being obtained from bank overdraft accommodation and 42 per cent of total money employed being expended on stocks.

Much increased debtors, 22 per cent of total funds, consistent with larger turnovers, were financed from long-term sources. Ordinary share capital provided nearly a quarter of total sources of funds, and increased mortgages and a reduction in long-term investments added together made up a similar total source of money. These long-term sources of finance were expended on increases in fixed assets and depreciation, a third of total funds, and the balance was utilised for short-term needs as already shown.

1955-1956: Turnovers continued to rise during the year by between 5 and 10 per cent but at a slower rate than during 1954-55. During the latter half of the year the effects of tighter bank credit began to be felt. Net profits declined by some 15 per cent. The overall liquidity position of firms deteriorated and stock turn slowed down fractionally. A reduction in sundry debtors provided slightly over one-quarter of the total sources of funds and with other smaller short-term sources of money financed increased stocks and increased cash balances. Funds provided from profits, about 30 per cent of the total, plus reduced subsidiary investments and further preference share and fixed-term deposit capital were employed mainly in the purchase of additional fixed assets and depreciation and in financing some short-term needs such as reduced taxation.

STOCK AND STATION AGENTS.—This industry is interesting in that companies in the group receive large amounts of short-term funds on deposit or current account from their farmer clients. The firms employ part of this money as working capital. They are thus able to keep liquid and not require bank overdraft accommodation for several months in the first half of each year.

1953-1954: As with many other groups companies in this industry also found that the reduction of stocks provided their main source of funds, over 40 per cent of total funds received being so obtained. This, together with increased creditors, permitted reduced overdrafts, increased cash and bank credit balances, and financed additional debtors. About two-thirds of total funds was so employed. Increased current deposits and advances by subsidiary and associate companies appeared to be utilised in further current investment. Long-term sources of funds in the form of retained profits and ordinary share capital made available 27 per cent of total funds. Slightly over half of this percentage was utilised in providing for the replacement and purchase of fixed assets and the balance for financing current needs.

1954-1955: Nearly half of the total sources of funds was obtained from increased sundry creditors, mainly clients' current account credit balances, which were employed in financing additional current investments, slightly over half of total money received.

Long-term sources of funds amounting to 40 per cent of the total were received mainly from additional equity share capital, 26 per cent, and net retained profits, 13 per cent. This money was employed in financing the replacement purchase of fixed assets, further investment in subsidiaries etc. and an increase in trading stock amounting to 11 per cent of total funds.

1955-1956: Slightly over 40 per cent of total sources of funds was obtained from running down cash and bank balances and increasing bank overdrafts. Sundry creditors provided a further 11 per cent. These funds were employed in financing additional stock-in-trade, (over one-third of total money being so expended), some increased current investment, and further sundry debtors.

Long-term sources of funds mainly made up of net retained profits and additional equity capital were utilised in providing for the replacement and purchase of fixed asset expenditure, some investment in subsidiaries, and the balance of current investments not financed from short-term sources of funds.

FINANCIAL.—Companies in this group, as in the Building Society section, carry no stock and often have few fixed assets against which long-term loans may be obtained. For these reasons and the necessity for these firms to remain fairly liquid, the main sources of funds for the group are of the short-term variety such as bank overdraft and accepting money on deposit. Bank overdraft as a percentage of current assets is therefore higher than for other companies generally.

1953-1954: Slightly over two-thirds of the total sources of funds was short-term, 38 per cent of the total being increased sundry creditors and 23 per cent current deposits. Funds so obtained were utilised in increasing cash and bank credit balances, 19 per cent, normally a sign of lack of business in this type of company, and in increased debtors, 27 per cent. The balance of the short-term sources of funds, 20 per cent of total funds, was, with long-term funds received, mainly net retained profits, utilised in making loans with more than a year to maturity.

1954-1955: About one-third of total sources of funds was received from decreasing cash and bank credit balances and very slightly increasing bank overdrafts. Forty per cent of the total money received was obtained from increased taxation provisions. Short-term sources of funds thus provided 85 per cent of the total received.

Funds so obtained were employed mainly in reducing creditors, providing for the replacement and purchase of property and some long-term investment.

1955-1956: During the year net profits slightly declined. The main source of funds was sundry creditors which provided 60 per cent of the total money received. An additional 13 per cent was obtained from increased bank overdraft accommodation. Funds provided from profits supplied 22 per cent of the total money.

Nearly three-quarters of total funds was employed in increasing cash and bank balances and reducing bank overdrafts and much of the balance was utilised in additional investment.

BUILDING SOCIETIES.—About 14 per cent of total liabilities for this type of company and slightly under a quarter of total receipts are made up of deposits receipts. Over 90 per cent of total assets is advances on mortgage. Repayment of advances amount to nearly one-third of receipts and advances made to about 55 per cent of total payments. Investors' subscriptions and capital shares total slightly under a third of total receipts.

1953-1954: During the year slightly over one-third of total sources of funds was obtained from deposits and 41 per cent from share subscriptions and capital shares. An increased bank overdraft, together with a small running down of cash and bank credit balances, provided an additional 14 per cent of the total sources of funds. Nearly all of the funds received were employed in long-term investment in mortgages.

1954-1955: The pattern for sources and disposition of funds during the year followed somewhat similar lines to those occurring during 1953-54, except that a slightly greater proportion of funds was utilised in reducing debentures granted against the group.

1955-1956: During the year debenture capital was again increased, about 8 per cent of funds being so obtained. Nearly half of the total money came from subscription and capital shares and 38 per cent form long-term deposits. Current deposits were reduced slightly and a little over three-quarters of the total funds received was employed in long-term mortgage investment. Ten per cent of total money was utilised in reducing bank overdraft accommodation.

TRANSPORT.—This group, like the metals and machinery group, has a very large proportion of its assets in property and plant. The ratio of bank overdraft to current assets is higher in this type of company than in most other groups as transport companies do not carry stock and the trading bank therefore takes fixed assets as security for its loans.

1953-1954: The main source of funds during the year was from retained profits in the form of depreciation, which provided 44 per cent of total funds. Reserves and provisions other than for depreciation declined mainly as a result of one of the larger companies in the group using such funds to purchase a substantial block of shares in an associate company. One-third of total sources of funds was obtained from reduced investment in subsidiaries and nearly another fifth from increased use of bank overdraft accommodation. A marked strengthening of the liquidity ratio, however, took place during the year.

Two-thirds of total funds was employed in property and plant and depreciation provisions. About one-eighth financed increased debtors and 17 per cent was utilised in reducing reserves and provisions other than depreciation as explained above.

1954-1955: Both turnovers and net profits rose during the year by about 17 per cent and 38 per cent respectively.

Slightly over two-thirds of total sources of funds was provided from profits; depreciation accounting for nearly double the net retained profit figure. A little over half of total funds was employed on net property and plant plus depreciation. A further quarter of total sources of funds was made up of reduced sundry debtors, a smaller long-term investment figure and increased ordinary share capital. These amounts plus the balance of funds provided from profits financed a reduction in bank overdraft, a third of total sources of funds, some increased investment in subsidiaries and slightly reduced creditors. The working capital position improved slightly but the liquidity ratio declined by a greater percentage.

1955-1956: Turnovers again increased by about 17 per cent, net profits rose by some 32 per cent and liquidity ratios all strengthened.

Funds provided from profits accounted for 40 per cent of total sources of funds, depreciation provisions slightly more than double net retained profits. Increased ordinary share capital provided an additional third of total sources of money. These long-term sources of funds provided nearly 60 per cent of total money employed in the form of net property and plant plus depreciation. The balance of the funds obtained from long-term sources, in addition to money received from short-term sources, (28 per cent, from increased bank overdraft and sundry creditors), was employed in financing additional debtors, increased cash and bank balances, etc.

STATISTICAL TABLES

Percentage Changes in Various Financial Items Between Annual Balance Dates for a Number of Companies Balancing During Years Ended 31 March
1954-19551955-19561956-1957
Turnover (percentage increase on previous year's actual figure)+ 14.5+ 7.9+ 4.6
Gross profit mark-up (percentage increase on previous year's actual figure)+ 2.4+ 1.9- 4.2
Stock turnover (percentage increase on previous year's ratio figure)- 5.6- 1.1-17.9
Debtor collection (percentage increase on previous year's ratio figure)-12.4+ 7.5- 4.1
Net profit to turnover (percentage increase on previous year's ratio figure)-12.6-22.1- 4.4
Working capital to turnover (percentage increase on previous year's ratio figure)-24.1- 3.4+ 19.1
Certain Ratios for 199 Public Companies Balancing During Years Ended 31 March
 1953195419551956
 Per CentPer CentPer CentPer Cent
Liquidity ratio 82929386
Current ratio (current assets to current liabilities) 144152152146
Proprietary ratio 54575655
Current liabilities to shareholders' funds 65565660
Long-term liabilities to shareholders' funds 22212222
Net profit to shareholders' funds 7.77.17.77.3
Fixed assets to total long-term obligations 77767677
Current liabilities to total long-term obligations 53464650
Fixed assets to net tangible assets 93939394
Property and plant to net tangible assets 66666669
Long-term fixed charges to property and plant 30303230
Net tangible assets were sufficient to cover— TimesTimesTimesTimes
    Fixed charges (debentures and mortgages) 5.05.04.74.9
    Paid-up preference capitalAfter meeting
prior payments
9.669.549.8210.14
    Ordinary and other share capital1.771.821.831.96
Net profits (after tax and depreciation) were sufficient to cover—
    Preference dividend paid 20.1717.0923.0918.24
    Ordinary and other dividends (after meeting preference dividend) 2.101.851.891.94
  Per CentPer CentPer CentPer Cent
Ordinary dividend rate paid 6.506.987.427.38
  (£000)(£000)(£000)(£000)
Net working capital 22,74725,04627,88929,472
Trading stock 45,92540,19343,91954,709
Liabilities
No. of Cos.Current LiabilitiesLong-term Liabilities
Bank OverdraftTotal
195419551956195419551956195419551956
£(000)
MANUFACTURING—
    Meat processing81233071,0863,1293,0985,306606060
    Beverages42661853392,4312,4762,5441,6101,9272,163
    Other food9491711873194334276104
        Totals, all food214386631,6125,8796,0078,2771,6761,9972,227
    Woollen mills101,2811,7132,0832,5483,3003,594784816890
    Clothing manufacturers67966959521,3101,4381,681453439429
    Forestry and wood103162835751,4041,9182,2774,8465,3535,362
    Printing and publishing11311186333782808983204396496
    Drugs and chemicals113892356582,6582,7783,168414605723
    Non-metallic minerals108861,3491,2041,7992,2722,173437439439
    Metals and machinery162,1212,6432,9093,9715,2295,599574764936
    Electrical machinery and appliances42504134718871,1631,2299192117
    Rubber57834097181,3261,2291,74453548
    Other manufacturing7656418406995806798200164198
        Totals, manufacturing other than food907,7898,34410,30917,68020,94123,2568,0089,1039,638
        Totals, all manufacturing1118,2279,00711,92123,55926,94831,5339,68411,10011,865
OTHER—
    Construction466661704244743,96599447
    Gas44144146938248281,011832838813
    Mainly wholesale231,4141,3341,9395,1425,5296,381668732972
    Mainly retail94026551,3142,2702,7263,4492,1012,0152,204
    Department stores75185569722,6493,0563,316177398491
    Stock and station agents115276191,2239,03510,36211,4561,9031,8601,904
    Financial141641972351,9821,8572,070171616
    Building societies10112126511,9091,2631,1013,0944,3604,590
    Transport626617420714364801029896
        Totals, other883,8834,1416,80424,74626,53133,2298,90310,22611,533
        Grand totals19912,11013,14818,72548,30553 47964,76218,58721,32623,398
Shareholders' Funds
Authorised CapitalPaid-up CapitalReserves and Provisions
195419551956195419551956195419551956
£(000)
MANUFACTURING—
    Meat processing2,7383,1883,4381,9722,3132,4301,9102,6043,616
    Beverages3,5503,5506,5502,8102,8623,7051,2032,0523,125
    Other food905905905837845845511517574
        Totals, all food7,1937,64310,8935,6196,0206,9803,6245,1737,315
    Woollen mills3,1103,1804,7802,7212,7313,3862,0812,2252,207
    Clothing manufacturers1,9752,2502,3251,8231,9401,940604608674
    Forestry and wood14,55514,89815,4238,2528,5428,7391,9102,4573,025
    Printing and publishing1,4882,5982,6021,2021,7881,7881,3248551,099
    Drugs and chemicals3,6654,3405,0903,1373,4193,6311,8801,9592,155
    Non-metallic minerals3,2813,2814,1313,0373,1123,412606634653
    Metals and machinery4,6735,4026,7483,6104,4264,9891,2801,4172,282
    Electrical machinery and appliances820820820583583583616709746
    Rubber3,2103,2103,2102,8022,8022,8021,0181,3491,530
    Other manufacturing1,4551,6551,6551,1541,2061,206577531563
        Totals, manufacturing other than food38,23241,63446,78428,32130,54932,47611,89612,74414,946
        Totals, all manufacturing45,42549,27757,67733,94036,56939,45615,52017,91722,261
OTHER—
    Construction3,1253,1554,0752,7752,8053,280263250900
    Gas1,9501,9501,9501,3671,3671,390312316355
    Mainly wholesale4,8635,6345,6984,2194,9444,9962,9062,6823,716
    Mainly retail3,0233,0233,0531,8571,8571,8571,2911,5351,893
    Department stores4,4254,6754,9252,6412,9703,1071,0861,2931,324
    Stock and station agents4,5986,9737,0733,4164,0644,6222,1782,0462,346
    Financial1,3431,3431,354724736748530587621
    Building societies4,3594,6855,0384,2254,5344,886598642672
    Transport852867958784798881121141176
        Totals, other28,53832,30534,12422,00824,07525,7679,2859,49212,003
        Grand totals73,96381,58291,80155,94860,64465,22324,80527,40934,264
MANUFACTURING—
    Meat processing2693503774,1515,2676,4237,3408,42511,789
    Beverages4636226224,4765,5367,4528,5179,93912,159
    Other food1471591891,4951,5211,6081,8191,9642,039
        Totals, all food8791,1311,18810,12212,32415,48317,67620,32825,987
    Woollen mills5816286845,3835,5846,2778,7159,70010,761
    Clothing manufacturers1361211332,5632,6692,7474,3264,5464,857
    Forestry and wood53447153410,69611,47012,29816,94618,74119,937
    Printing and publishing2873414752,8132.9843,3623,8004,1874,851
    Drugs and chemicals2692723145,2865,6506,1008,3589,0339,991
    Non-metallic minerals1-35-393,6443,7114,0385,8806,4226,650
    Metals and machinery9331,0106075,8236,8537,87810,36812,84614,415
    Electrical machinery and appliances1691531951,3681,4451,5242,3462,7002,870
    Rubber1091692533,9294,3204,5855,2605,5846,377
    Other manufacturing66911141,7971,8281,8832,9922,7982,879
        Totals, manufacturing other than food3,0853,2213,27043,30246,51450,69268,99176,55783,588
        Totals, all manufacturing3,9644,3524,45853,42458,83866,17586,66796,885109,575
    OTHER—Construction1111575733,1493,2124,7533,5823,6959,165
    Gas3123741,7101,7061,8193,3653,3723,643
    Mainly wholesale4385075507,5638,1339,26213,37314,39416,615
    Mainly retail75592043,2233,4513,9547,5948,1929,608
    Department stores7026877284,4294,9505,1597,2558,4048,966
    Stock and station agents6879171,0056,2817,0277,97317,21919,24921,333
    Financial6678901,3201,4011,4593,3203,2733,545
    Building societies5849584,8815,2255,6169,88510,74911,307
    Transport5883969631,0221,1531,5761,5561,729
        Totals, other2,2262,5603,37833,51936,12741,14867,16972,88485,911
        Grand totals6,1906,9127,83686,94394,965107,323153,836169,769195,486
Assets
No. of Cos.Current Assets
Sundry Debtors, etc.StockTotal Current Assets
195419551956195419551956195419551956
£(000)
MANUFACTURING—
    Meat processing85794901,0641,2621,7733,3484,0644,1246,365
    Beverages41,1211,6291,6001,5951,5251,6182,7363,3323,277
    Other food9223246231254405430705808851
        Totals, all food211,9232,3652,8953,1113,7035,3967,5058,26410,493
    Woollen mills101,4721,6111,8544,2835,1095,7205,8176,7807,584
    Clothing manufacturers66267206741,8001,7862,1232,6372,6802,953
    Forestry and wood107471,0391,1731,8942,0062,5682,8423,4183,895
    Printing and publishing117808017821,1199791,1432,0952,0382,233
    Drugs and chemicals111,7101,9252,0333,0112,9273,5484,9135,2255,725
    Non-metallic minerals105436427497497327421,5361,4681,547
    Metals and machinery161,8802,5802,5484,4695,5176,0916,7498,5649,103
    Electrical machinery and appliances44996126091,4121,5761,7121,9122,2032,323
    Rubber55166037221,3941,3841,8121,9492,0322,624
    Other manufacturing73573603441,6651,4641,4242,0841,8651,787
        Totals, manufacturing other than food909,13010,89311,48821,79723,48026,88332,53636,27339,774
        Totals, all manufacturing11111,05313,25814,38324,90827,18332,27940,04144,53750,267
OTHER—
    Construction44215211,2313993723,2909199754,579
    Gas4295302330422380423717682753
    Mainly wholesale233,4253,7104,2654,2144,6945,2348,0328,8429,793
    Mainly retail96127537783,2543,4434,0503,9644,3124,857
    Department stores71,639i,9521,5542,7073,2983,6694,4785,3555,546
    Stock and station agents114,9515,0745,3604,2284,4905,68913,20714,84716,299
    Financial141,0501,0341,127   1,6051,4721,709
    Building societies10736   494242
    Transport6250222269615975339304389
        Totals, other8812,65013,57114,92015,28516,73622,43033,31036,83143,967
        Grand totals19923,70326,82929,30340,19343,91954,70973,35181,36894,234
Fixed AssetsTotal Investments and Loans
Property and planetTotal Fixed Assets
195419551956195419551956195419551956
NOTE: Total assets equal total liabilities.
MANUFACTURING—
    Meat processing2,4803,1324,2953,2764,3015,4242,9242,7733,042
    Beverages4,5095,0406,2915,7816,6078,8821,2741,5692,591
    Other food1,0121,0371,0771,1141,1561,188203270253
        Totals, all food8,0019,20911,66310,17112,06415,4944,4014,6125,886
    Woollen mills2,7262,7022,9642,8982,9203,177190222217
    Clothing manufacturers1,5591,7121,7041,6891,8661,904130154200
    Forestry and wood13,32713,82414,82014,10415,32316,0427771,5031,225
    Printing and publishing1,4711,9562,3731,7052,1492,618255213295
    Drugs and chemicals2,6043,0323,3943,4433,8084,266849786882
    Non-metallic minerals3,9814,4724,5574,3444,9545,103473482546
    Metals and machinery3,0443,7814,5433,6194,2825,3128048911,069
    Electrical machinery and appliances34935540343449754785142144
    Rubber2,6812,9103,0553,3113,5523,753650669729
    Other manufacturing7837819389089331,092125152154
        Totals, manufacturing other than food32,52535,52538,75136,45540,28443,8144,3385,2145,461
        Totals, all manufacturing40,52644,73450,41446,62652,34859,3088,7399,82611,347
OTHER—
    Construction4955493,0972,6632,7204,5862,2292,2331,499
    Gas2,5682,5862,8372,6482,6902,8908010453
    Mainly wholesale3,8493,9835,0675,3415,5526,8221,6611,7891,925
    Mainly retail3,5533,8324,6013,6303,8804,7518150150
    Department stores2,4352,7903,3142,7773,0493,420356287119
    Stock and station agents2,7382,8033,1654,0124,4025,0343,8285,4166,463
    Financial1161441441,7151,8011,8361,7861,8491,903
    Building societies4854549,83610,70711,2659,80410,66811,221
    Transport8588809601,2371,2521,340379372380
        Totals, other16,66017,62123,23933,85936,05341,94420,20422,76823,713
        Grand totals57,18662,35573,65380,48588,401101,25228,94332,59435,060
Profit Analysis
No. of Cos.RetainedDistributedNet Profit
195419551956195419551956195419551956
£(000)
* Excess taken from reserves.
MANUFACTURING—
    Meat processing8247257331212253259459510590
    Beverages4198238228258266315456504543
    Other food9293317595871889188
        Totals, all food214745285765295776451,0031,1051,221
    Woollen mills106616070236248271302408341
    Clothing manufacturers611965707912999198194169
    Forestry and wood10312392559161192202473584761
    Printing and publishing1180138152103119123183257275
    Drugs and chemicals11205301313278305315483606628
    Non-metallic minerals1011-26*2159184197170158199
    Metals and machinery16280211187273329366553540553
    Electrical machinery and appliances4477469666871113142140
    Rubber5706710289157167159224269
    Other manufacturing7-18*333658758040108116
        Totals, manufacturing other than food901,1721,4151,5601,5021,8061,8912,6743,2213,451
        Totals, all manufacturing1111,6461,9432,1362,0312,3832,5363,6774,3264,672
OTHER—
    Construction46474142149210241213284383
    Gas4-2*824375140355964
    Mainly wholesale23233294307337388403570682710
    Mainly retail999117160285322286384439446
    Department stores79611273210277256306389329
    Stock and station agents11331376371276282350607658721
    Financial14274029474752748781
    Building societies10303235191203213221235248
    Transport615516968648383115152
        Totals, other888931,1041,2101,6001,8441,9242,4932,9483,134
        Grand totals1992,5393,0473,3463,6314,2274,4606,1707,2747,806
Company Profits
No. of Cos.Shareholders' £(000) FundsNet Profit After Depreciation and Taxation as Percentage of Shareholders' FundsDividends as Percentage of Shareholders' Funds
195419551956195419551956195419551956
MANUFACTURING—
    Meat processing84,1515,2676,42313.59.79.25.14.840
    Beverages44,4765,5367,45210.29.17.35.84.84.2
    Other food91,4951,5211,6085.9605.53.93.84.4
        Totals, all food2110,12212,32415,483100907.95.24.74.2
    Woollen mills105,3835,5846,2775.67.35.44.44.44.3
    Clothing manufacturers62,5632,6692,7477.77.3613.14.83.6
    Forestry and wood1010,69611,47012,2984.45.16.21.51.71.6
    Printing and publishing112,8132,9843,3626.58.68.23.7403.7
    Drugs and chemicals115,2865,6506,1009110.710.35.35.45.2
    Non-metallic minerals103,6443,7114,0384.74.34.94.45.04.9
    Metals and machinery165,8236,8537,8789.57.9704.74.84.6
    Electrical machinery and appliances41,3681,4451,5298.39.89.24.84.74.7
    Rubber53,9294,3204,5854.05.25.92.33.63.6
    Other manufacturing71,7971,8281,8832.25.96.23.24.14.2
        Totals, manufacturing other than food9043,30246,51450,6926.26.96.83.53.93.7
        Totals, all manufacturing11153,42458,83866,1756.97.47.03.84.03.8
OTHER—
    Construction43,1493,2124,7536.88.8814.76.55.1
    Gas41,7101,7061,819203.53.52.2302.2
    Mainly wholesale237,5638,1339,2627.58.47.74.54.84.4
    Mainly retail93,2233,4513,95411.912.711.38.89.37.2
    Department stores74,4294,9505,1596.97.9644.75.65.0
    Stock and station agents116,2817,0277,9739.79.4904.44.04.4
    Financial141,3201,4011,4595.66.25.33.63.43.6
    Building societies104,8815,2255,6164.54.54.43.93.93.8
    Transport69631,0221,1538.611.313.27.16.37.2
        Totals, other8833,51936,12741,1487.48.27.64.85.14.8
        Grand totals19986,94394,965107,3237.17.77.34.24.54.2
Net Profit Before Depreciation and Taxation
No. of Cos.Total £(000)Taxation as Percentage of TotalDepreciation as Percentage of Total
195419551956195419551956195419551956
MANUFACTURING—
    Meat processing81,0401,3971,49831.637.731.224.225.829.4
    Beverages41,4471,6821,63640.539.139.928.031.027.0
    Other food919822727144.940.535.410.619.432.1
        Totals, all food212,6853,3063,40637.438.635.725.228.028.5
    Woollen mills108211,0931,03833.638.340.829.624.326.3
    Clothing manufacturers648852948342040.138.317.423.326.7
    Forestry and wood107541,7781,96422.112.610.215.154.651.1
    Printing and publishing1141358967246.543.540.39.212.918.8
    Drugs and chemicals111,0981,6151,67331.842.246.524.220.218.0
    Non-metallic minerals104517181,05535.523.420.226.854.661.0
    Metals and machinery161,5871,5331,63644.541.735.820.723.030.4
    Electrical machinery and appliances426430732748.145.046.59.18.810.7
    Rubber559674783828.935.637.844.534.430.1
    Other manufacturing720728027956.543.638.724.217.919.7
        Totals, manufacturing other than food906,6799,1899,96537.034.032.123.030.933.3
        Totals, all manufacturing1119,36412,49513,37137.135.233.023.730.232.1
OTHER—
    Construction43784661,03526.723.838.517015.224.5
    Gas422627226727.926.125.156.652.250.9
    Mainly wholesale231,3831,6311,46546.244.639.112.613.512.4
    Mainly retail98931,2291,17139.138.648.817 925.613.1
    Department stores71,0201,06796461.654.34698.49.319.0
    Stock and station agents111,5641,8092,08745.547.148.115.716.517.4
    Financial1414217017445.844.143.72.14.79.8
    Building societies1022223624924:4  0.50.40.4
    Transport627827539124.429.517.644.828.743.5
        Totals, other886,0987,1557,80343.041.641.716.117.217.6
        Grand totals19915,46219,65021,17639.437.536.220.725.526.8

STATEMENT OF SOURCES AND DISPOSITION OF FUNDS DURING YEARS ENDED 31 MARCH.—The statistics given cover the financial statements of these companies relating to balance dates during the years ended 31 March 1954, 1955, and 1956, compared with corresponding figures for the same companies for the preceding years.

SOURCES Being Net Increases in Liabilities and Net Decreases in AssetsFOOD (Net Change)
Number of companies 21
1953-541954-551955-56
£(000)Per Cent£(000)Per Cent£(000)Per Cent
Decrease in cash and bank balances1845.7  2924.2
Bank overdraft  2265.394913.6
Reduction in sundry debtors      
Sundry creditors1,15335.7  1,23517.7
Advances by subsidiaries or associate companies    941.3
Reduction in current investment  47311.1  
Current deposits      
Stock reductions      
Taxation increase  2716.4  
            Total short-term sources of funds1,33741.497022.82,57036.8
Total net retained profits79824.71,57637.02,24932.2
Add back non-cash items—
    Depreciation67721.092621.896913.9
            Total funds provided from profits1,47545.72,50258.83,21846.1
Fixed term deposits (beyond one year)      
Reduction in investment in subsidiaries  611.4  
Reduction in other long-term investment      
Mortgages1213.8601  
Debentures and debenture stock110.3591.4  
Mortgages and debentures (no break-up given)      
Other long-term liabilities2096.52576.02363.4
Paid-up capital increases—
    Preference shares    1762.5
    Ordinary and other shares752.34009.478411.2
            Total long-term sources of funds1,89158.63,28577.24,41463.2
            Total funds from all sources3,2281004,2551006,984100
DISPOSITION Being Net Increases in Assets and Net Decreases in LiabilitiesFOOD (Net Change)
Number of companies21
1953-541954-551955-56
£(000)Per Cent£(000)Per Cent£(000)Per Cent
Cash and bank balances  1984.7  
Reduction in bank overdraft82325.4    
Debtors1384.344410.4  
Reduction in creditors  491.25267.5
Reduction in advances by subsidiaries and associate companies702.2942.2  
Reduction in current deposits      
Current investment70321.8  3004.3
Stock1003159113.91,69324.2
Taxation reduction1243.8  600.9
            Total short-term dispositions1,95860.61,37632*42,57936.9
Reduction in net retained profits      
Investment in subsidiaries782.4  2513.6
Other long-term investment2287174517.472410.4
Reduction in fixed-term deposits      
Property and plant (net property and plant plus depreciation)96429.92,13450.23,42349.0
Reduction in mortgages    70.1
Reduction in debentures and debenture stock      
Reduction in other long-term liabilities      
            Total long-term dispositions1,27039.42,87967.64,40563.1
            Total disposition of funds3,2281004,2551006,984100
SOURCES Being Net Increases in Liabilities and Net Decreases in AssetsFOOD (Net Change)
Number of companies111
1953-541954-551955-56
£(000)Per Cent£(000)Per Cent£(000)Per Cent
Decrease in cash and bank balances    73541
Bank overdraft  7815.32,92516.5
Reduction in sundry debtors      
Sundry creditors4543.9 13.01,4418.1
Advances by subsidiaries or associate companies    2751.5
Reduction in current investment  4272.9  
Current deposits730.6410.3  
Stock reductions3,14427.1    
Taxation increase  9256.3200.1
            Total short-term sources of funds3,67131.64,07427.85,39630.4
Total net retained profits2,99325.82,65918.24,44225.0
Add back non-cash items—
    Depreciation2,21119.13,76625.84,28324.1
            Total funds provided from profits5,20444.96,4254408,72549.1
Fixed term deposits (beyond one year)      
Reduction in investment in subsidiaries  790.5  
Reduction in other long-term investment      
Mortgages7386.44012.74112.3
Debentures and debenture stock4553.97475.1130.1
Mortgages and debentures (no break-up given)190.2  390.2
Other long-term liabilities1741.52691.82891.6
Paid-up capital increases—
    Preference shares3172.73212.25243.0
    Ordinary and other shares1,0268.82,30815.82,36313.3
            Total long-term sources of funds7,93368.410,55072.212,36469.6
            Total funds from all sources11,60410014,62410017,760100
DISPOSITION Being Net Increases in Assets and Net Decreases in LiabilitiesMANUFACTURING (Net Change)
Number of companies111
1953-541954-551955-56
£(000)Per Cent£(000)Per Cent£(000)Per Cent
Cash and bank balances4193.643930  
Reduction in bank overdraft2,80424.2    
Debtors1,0899.42,21315.11,1296.4
Reduction in creditors      
Reduction in advances by subsidiaries and associate companies300.31350.9  
Reduction in current deposits    620.3
Current investments9007.8  2421.4
Stock  2,27315.55,09528.7
Taxation reduction950.8    
            Total short-term dispositions5,3374605,06034.56,52836.8
Reduction in net retained profits      
Investment in subsidiaries4063.5  6363.6
Other long-term investment3963.41,59016.96413.6
Reduction in fixed-term deposits      
Property and plant (net property and plant plus depreciation)5,46547.17,97454.59,95556.1
Reduction in mortgages      
Reduction in debentures and debenture stock      
Reduction in other long-term liabilities      
            Total long-term dispositions6,26754.09,56465.411,23263.3
            Total disposition of funds11,60410014,62410017,760100
SOURCES Being Net Increases in Liabilities and Net Decreases in AssetsTOTAL NET CHANGE ACCORDING TO ITEMS
Number of companies199
1953-541954-551955-56
£(000)Per Cent£(000)Per Cent£(000)Per Cent
Decrease in cash and bank balances    1,3143.9
Bank overdraft  1,3816.45,24715.5
Reduction in sundry debtors      
Sundry creditors1,09l5.93,39015.75,22115.4
Advances by subsidiaries or associate companies90.1730.34461.3
Reduction in current investment      
Current deposits3591.9    
Stock reductions5,72930.9    
Taxation increase  1,2775.92560.7
            Total short-term sources of funds7,18338.86,12128.312,48436.8
Total net retained profits3,45518.72,93713.68,03323.6
Add back non-cash items—
    Depreciation3,19317.25,07323.55,64216.6
            Total funds provided from profits6,64835.98,01037.113,67540.2
Fixed term deposits (beyond one year)440.21,1565.43991.2
Reduction in investment in subsidiaries    1,1713.4
Reduction in other long-term investment      
Mortgages7824.25732.71,0273.1
Debentures and debenture stock3031.67303.42770.8
Mortgages and debentures (no break-up given)19011 3901
Other long-term liabilities1891.02831.3316.9 
Paid-up capital increases—
    Preference shares8524.63211.56762.0
    Ordinary and other shares2,50713.64,37420.33,90511.5
            Total long-term sources of funds11,34461.215,44871.721,48563.2
            Total funds from all sources18,53210021,56910033,969100
DISPOSITION Being Net Increases in Assets and Net Decreases in LiabilitiesTOTAL NET CHANGE ACCORDING TO ITEMS
Number of companies199
1953-541954-551955-56
£(000)Per Cent£(000)Per Cent£(000)Per Cent
Cash and bank balances1,6408.82681.2  
Reduction in bank overdraft4,69925.4    
Debtors1,5118.23,11714.52,4717.3
Reduction in creditors      
Reduction in advances by subsidiaries and associate companies      
Reduction in current deposits  5692.6860.3
Current investment1,3617.39074.29752.9
Stock  3,72317.310,78731.7
Taxation reduction660.4    
            Total short-term dispositions9,27750.18,58439.814,31942.2
Reduction in net retained profits      
Investment in subsidiaries8084.42751.3  
Other long-term investment1,0425.62,46911.42,7208.0
Reduction in fixed-term deposits      
Property and plant (net property and plant plus depreciation)7,40539.910,24147.516,93049.8
Reduction in mortgages      
Reduction in debentures and debenture stock      
Reduction in other long-term liabilities      
            Total long-term dispositions9,25549.912,98560.219,65057.8
            Total disposition of funds18,53210021,56910033,969100
Short-term Liquidity of New Zealand Public Companies According to Financial Statements During Years Ended 31 March, 1953-1956
Number of CompaniesCurrent Ratio (Current Assets to Current Liabilities) Per CentRatio of Bank Overdraft to Current Assets Per CentRatio of Stock to Working Capital Per Cent
195319541955195619531954195519561953195419551956
MANUFACTURING—
    Meat processing8134.9129.9133.1120.06.93.07.417.1128.6135.0172.8316.1
    Beverages497.5112.5134.6128.836.09.75.610.3 523.0178.2220.7
    Other food9237.3221.0186.6199.38.27.021.222.083.165.8108.0101.4
        Totals, all food21121.4127.7137.6127.518.75.88.015.4252.9191.3164.1238.1
    Woollen mills10193.6228.3205.5211.031.522.025.327.5160.5131.0146.8143.4
    Clothing manufacturers6168.0201.3186.4175.723.430.225.932.2197.8135.6143.8166.9
    Forestry and wood10166.7202.4178.2171.16.811.18.314.8179.0131.7133.7158.7
    Printing and publishing11205.5267.9252.2227.220.714.89.114.9117.185.279.691.4
    Drugs and chemicals11153.5184.8188.1180.724.57.94.511.5201.4133.5119.6138.8
    Non-metallic minerals10110.285.464.671.235.857.791.977.8558.8   
    Metals and machinery16171.41700163.8162.629.131.430.932.0168.560.9165.4173.8
    Electrical machinery and appliances4204.7215.6189.4189.018.913.118.720.3152.1137.8151.5156.5
    Rubber5125.4147.0165.3150.561.440.220.127.4396.7223.8172.4205.9
    Other manufacturing7174.3209.4231.4223.940.031.522.422.7203.1152.9138.2144.0
        Totals, manufacturing other than food90166.7184.0173.2171.028.723.923.025.9183.9146.7153.1162.7
        Totals, all manufacturing111157.0170.0165.3159.427.120.520.223.7189.5151.1154.5172.3
OTHER—
    Construction4137.9216.7205.7115.522.17.26.83.7200.080.674.3535.8
    Gas480.287.082.474.543.057.760.792.0    
    Mainly wholesale23138.6156.2159.9153.526.717.615.119.8197.4145.8141.7153.4
    Mainly retail9184.4174.6158.2140.810.610.115.227.1187.2192.1217.1287.6
    Department stores7162.5169.0175.2167.220.611.610.417.5178.1148.0143.5164.5
    Stock and station agents11142.5146.2143.3142.38.74.04.27.5139.5101.3100.1117.5
    Financial1481.881.079.382.610.810.213.413.8    
    Building societies103.82.63.33.874.2228.6300.0121.4    
    Transport661.866.369.781.072.078.557.253.2    
        Totals, other88130.7134.6138.8132.317.111.711.215.5225.1178.5162.5208.9
        Grand totals199143.9151.8152.1145.522.516.516.219.9201.9160.5157.5185.6
Number of CompaniesLiquidity Ratio Per CentImprovements in Cash and Bank Positions (£000)Changes in Stocks (£000)
1953195419551956195419551956195419551956
MANUFACTURING—
    Meat processing899.293.284.271.5 - 22- 996+ 143+ 511+ 1,575
    Beverages463.352.778.975.2+ 690+239- 271+ 26- 70+ 93
    Other food9152.8167.0153.8177.9- 50-243+ 26- 70+ 151+ 25
        Totals, all food2187.080.885.377.1+ 640- 26-1,241+ 99+ 592+ 1,693
    Woollen mills10110.9121.1105.3123.4+ 749-420- 420- 695+ 826+ 611
    Clothing manufacturers655.2162.8120.3113.9+ 34+ 64- 275- 56214+ 337
    Forestry and wood1053.387.186.478.0- 40+201- 510- 89+ 112+ 562
    Printing and publishing11142.7207.2170.3167.7+ 100+ 188- 127- 56- 140+ 164
    Drugs and chemicals1173.383.890.486.7+ 1,146+ 333- 652- 897- 84+ 621
    Non-metallic minerals1088.086.279.783.1- 358- 503+ 107+ 84- 17+ 10
    Metals and machinery16102.1123.2117.8112.0- 220-616- 179+ 10+ 1,048+ 574
    Electrical machinery and appliances474.178.583.680.6+ 120-149- 71- 112+ 164+ 136
    Rubber5107.3102.279.079.1+ 693+ 373- 268- 526- 10+ 428
    Other manufacturing776.9123.6103.492.6+ 359+217- 10- 401- 20140
        Totals, manufacturing other than food9084.4108.6101.699.6+2,583-312-2,405-3,243+ 1,683+ 3,403
        Totals, all manufacturing11185.298.796.791.7+ 3,223-338-3,646-3,144+2,275+ 5,096
OTHER—
    Construction489.3145.3147.8340+ 144- 18- 76- 31- 27+ 2,918
    Gas447.072072.9103.8- 123 - 279+ 4- 42+ 43
    Mainly wholesale2399.1102.498.9102.6+ 1,040+ 74- 699- 653+ 480+ 540
    Mainly retail932.838.042.037.8+ 113-233- 744- 291+ 189+ 607
    Department stores777.083.182.380.1+ 519- 79- 183- 545+ 591+ 371
    Stock and station agents1195.0105.5106.3103.7+ 1,518-100-1,414-1,069+ 262+ 1,199
    Financial1489.788.388.793.1+ 48-155+ 87   
    Building societies103.92.73.74.0- 92- 16+ 77   
    Transport687.2113.593.5115.0- 41+ 87- 11- 3- 2+ 16
        Totals, other8879.386.489.781.5+ 3,126-440-3,142-2,588+ 1,451+ 5,694
        Grand totals19981.891.692.985.9+ 6,349-778-6,888-5,732+ 3,726+ 10,790
Trends in Various Balance Sheet Ratios of New Zealand Companies During Years Ended 31 March
Shareholders Funds as a Percentage of Total LiabilitiesBank Overdraft as a Percentage of Total LiabilitiesFixed Assets as a Percentage of Tangible Assets
195319541955195619531954195519561953195419551956
MANUFACTURING—
    Meat processing60556.662.554.53.61.73.69.278.678.981.784.4
    Beverages50.552.655.761.311.93.11.92.8132.7129.2119.3119.2
    Other foods82.982.277.478.93.22.78.79.272.874.576073.9
      Totals, all food 57.8 57.3 60.6 59.6 7.7 2.5 3.3 6.2 101.5 100.5 97.9 93.6
    Woollen mills55.961.857.658.321.714.717.719.455.453.852.350.6
    Clothing manufacturers52.459.258.756.614.818.415.319.670065.969.969.3
    Forestry and wood63.663.161.261.71.21.91.52.9129.0131.9133.6130.4
    Printing and publishing66.274.071.369.312.18.24.46.962.960.672.077.9
    Drugs and chemicals55.163.262.561.11504.72.66.670.465.167.469.9
    Non-metallic minerals66.762.057.860.710.315.121.0181106.9119.2133.5126.4
    Metals and machinery55.456.253.354.719.720.520.620.258.762.262.567.4
    Electrical machinery and appliances55.458.353.553.115.810.715.316.430.031.734.435.9
    Rubber66.274.777.471 -926.01497.311.387.284.382.281.9
    Other manufacturing52.660.165.365.428.521.914.914.154.650.551.0580
        Totals, manufacturing other than food59.262.860.860.614.611.310.912.383.284.286.686.4
        Totals, all manufacturing58.961.660.760.413.29.59.310.986.587.389089.6
OTHER—
    Construction80.387.986.951.95.91.81.81.991.284.684.796.5
    Gas50.650.850.649.98.712.512.319.0157.8154.9157.7158.9
    Mainly wholesale49.756.656.555.717.210.39.311.771.970.668.373.7
    Mainly retail42042.442.14125.35.38.013.7107.5112.6112.4120.2
    Department stores55.661.058.957.513.27.16.610.864.762.761.666.3
    Stock and station agents35036.536.537.46.73.13.25.767.663.962.663.1
    Financial40.439.842.841.25.24.9606.6127.7129.9128.6125.8
    Building societies49.449.448.649.70.51.11.20.5201.2201.5204.9200.6
    Transport62.861.165.766.713.516.911.2120129.3128.5122.5116.2
        Totals, other47.049.949.647.98.85.55.77.9103.3101.099.8101.9
        Grand totals53.656.555.954.911.37.97.79.693.192.693194.3

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 1957 was £785.220.

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 in the form required by statute are furnished to the Minister of Finance, and it is from copies of 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-six 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
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
195265,213,79519,149,533479,083,831
195373,160,53723,136,940529,107,427
195488,155,49625,472,534591,790,390
1955100,041,69029,679,232662,152,847
1956103,168,96333,102,297732,191,116

During a period of monetary depreciation it is permissible 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 1946 to 1956 the face value of new business written has almost trebled, and the amount of cover in force has risen by 175 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. A further point is the concession, for income-tax purposes, allowed by the deduction from assessable income of premiums to a certain maximum value.

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 is normally much smaller than the growth of new business.

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
 ££ ££ ££
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
195270,66361,470,1001,882,37825,50416,679.264577,563777,180441,210,40113,674,396
195375,82369,197,6452,146,07228,87820,398,532686,656824,125490,009,51515,133,813
195483,92083,699,1922,579,89029,25122,556,045772,546878,794551,152,66216,941,156
195583,39195,623,5292,771,06234,25126,404,3641,005,691927,934620,371,82718,706,528
195681,58899,066,2542,702,16135,39429,726,1481,000,747974,128689,683,53620,407,942

In addition to the figure of £2,702,161 representing annual premiums payable for policies issued during 1956, an amount of £705,872 was paid during that year in the form of single premiums.

The average annual premium for each £100 of new business effected during 1956 was £2 14s. 7d., as compared with £2 17s. 11 d. in 1955. 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 1956 (excluded from these tables) numbered 321, as against 475 in 1955. The corresponding annual amounts were £332,696 and £425,589. There were 3,463 annuities in force at the end of 1956, assuring an annual amount of £1,909,029.

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.
194556318
194657815
194761739
194863619
194968044
3,95075979
1951875116
1952869-6*
195391344
195499784
19551,147150
19561,21467

The average face value of discontinued policies during 1956 was £840, while the average of policies in force at the end of the year was £708.

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 CausesTotal
Number of Policies
19523,7017,1938,8185,08370925,504
19533,8668,03510,2726,12358228,878
19544,2448,28510,1015,93868329,251
19554,0489,06111,2357,0272,88034,251
19564,3799,82912,7407,0181,42835,394
Sum Assured (£)
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
19542,371,8692,427,3519,812,0405,187,0252,757,76022,556,045
19552,491,8032,660,87711,880,9046,498,4282,872,35126,404,364
19562,656,1992,909,25113,328,3557,301,7433,530,60329,726,148

During 1955 two large group policies were changed from an individual to a collective basis, resulting in the cancellation of over two thousand small single policies. This explains the marked rise in the number of discontinuances from other causes, the sum assured under this head not being affected to any great extent.

Reducing the sums assured in the previous table to a percentage basis, the results are as follows.

Per Cent
YearDeathMaturitySurrenderLapseOther CausesTotal
195211.811.543.821.711.2100.0
195310.612.141.922.612.8100.0
195410.510.843.523.012.2100.0
19559.410.145.024.610.9100.0
19568.99.844.824.611.9100.0

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.

19521953195419551956
 £££££
Revenue
New and renewal premiums13,749,57815,290,93917,079,27818,968,22020,761,382
Consideration for annuities81,08887,63392,737119,613103,879
Interest, rents, etc.3,923,2514,411,3555,136,9255,988,2296,836,243
Other revenue1,272491,07954,9411,586
                Totals, revenue17,755,18919,789,97622,310,01925,131,00327,703,090
Expenditure'
Claims by death and maturity4,879,4615,782,7455,958,0766,302,8986,851,632
Annuities124,168126,921133,682138,384141,664
Surrenders823,692948,7041,026,1121,355,2301,614,531
Cash bonuses31,98732,19929,01126,24544,198
Commissions1,069,4551,186,0641,415,8271,510,0261,558,763
Other management1,026,2581,140,7081,296,2771,458,9941,601,639
Taxes534,533483,923613,894671,927815,296
Other expenditure113,18448,08381,73796,106179,137
                Totals, expenditure8,602,7389,749,34710,554,61611,559,81012,806,860
RatiosPer CentPer CentPer CentPer CentPer Cent
Management expenses to premium income15.2415.2215.8815.6515.22
Management expenses to total revenue11.8011.7612.1611.8111.38

Of the excess of revenue as shown in the above statements a large proportion is transferred annually to reserves to meet future payments under policies.

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 decade particularly, the growing popularity of life assurance has not been shared to any extent by the industrial department, the number of policies issued in 1956 being 21,959 fewer than in 1946. Of the fifteen life offices, five also engage in industrial business.

A summary of the course of industrial assurance business from 1946 to 1956 is given in the following table.

YearPolicies IssuedPolicies DiscontinuedPolicies Existing at End of Year
NumberSum AssuredAnnual PremiumsNumberSum AssuredAnnual PremiumsNumberSum AssuredAnnual Premiums
 ££ ££ ££
194649,3693,701,917201,80430,3951,821,929109,271562,33930,403,6911,717,542
194743,7893,851,103184,13830,7901,919,770112,080575,33832,335,0241,789,600
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
195433,0134,456,304205,79841,6632,916,489159,815547,73840,637,7282,006,610
195529,8854,418,161204,56042,4353,274,868176,160535,18841,781,0202,035,009
195627,4104,102,709191,48642,0853,376,149178,098520,51342,507,5802,048,398

The average sum assured under each policy of new business effected in 1956 amounted to £150 with an average annual premium of £6 19s. 8d. Corresponding averages for 1946 were £75 and £4 1s. 9d.

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 CausesTotal
Number of Policies
19522,59121,7354,3177,83710636,586
19532,24625,0095,0147,6298539,983
19542,22826,4074,5548,3938141,663
19552,38227,2704,6807,99111242,435
19562,05127,0674,9787,9454442,085
Sum Assured (£)
1952124,116915,376460,902962,0787,7972,470,269
1953112,6521,064,894592,036958,81910,0072,738,408
1954111,6551,166,888547,9401,081,3828,6242,916,489
1955127,7801,255,676618,4011,263,7739,2383,274,868
1956112,9741,296,896691,8501,267,9106,5203,376,149

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, 4.8 per cent of the ordinary became void in 1956, as compared with 8.1 of the industrial.

In the following table the sums assured for the various classes of discontinuances are expressed as percentages of the total discontinuances.

Per Cent
YearDeathMaturitySurrenderLapseOther CausesTotal
19525.037.118.738.90.3100.0
19534.138.921.635.00.4100.0
19543.840.018.837.10.3100.0
19553.938.318.938.60.3100.0
19563.338.420.537.60.2100.0

Discontinuances by death are relatively lower in industrial than in ordinary business, while the proportion of policies reaching maturity is much higher. The explanation probably lies in the comparatively short terms for which industrial policies are issued, and the fact that premiums are usually collected personally by agents.

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.

19521953195419551956
 £££££
Revenue
Premiums1,906,2001,938,2931,973,4742,002,0252,029,561
Interest, rents, etc.531,360570,074603,983639,395675,592
Other revenue1,60567455434,2112,204
                Totals, revenue2,439,1652,509,0412,578,0112,675,6312,707,357
Expenditure
Claims by death and maturity1,170,8471,322,5041,440,9101,540,9881,592,822
Surrenders83,207103,86597,836106,022122,991
Commissions263,332272,867280,406280,782285,981
Other management292,337316,819340,827357,812367,820
Taxes51,13443,88148,67251,98558,443
Other expenditure27,8611,0522,93530,7679,235
                Totals, expenditure1,888,7182,060,9882,211,5862,368,3562,437,292
RatiosPer CentPer CentPer CentPer CentPer Cent
Management expenses to premium income29.1530.4231.4931.9032.21
Management expenses to total revenue22.7823.5024.0924.1724.15

The higher ratio of management expenses to premium income in the industrial branch is largely accounted for by the cost of renewal commissions on collection of premiums and the greater amount of office work involved in relation to the amount assured. In the ordinary branch, commission (new and renewal) in 1956 was equivalent to 7.5 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 18.1 per cent in the industrial branch, as against 7.7 per cent in the ordinary.

LIFE ASSURANCE DEATH RATES.—The following table shows for the period 1946–56 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 much lower death rate among policy holders, compared with that for the general population, (9.00), points to a lower average age in the insured group, a normal consequence of rapid growth in the life-insurance field.

YearDeath Rate Per 1,000 Policies
Ordinary Life AssuranceIndustrial Life AssuranceOrdinary and Industrial Combined
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
19544.663.784.31
19554.214.124.18
19564.343.654.09

LIABILITIES AND ASSETS.—The principal items in the balance sheets of life assurance companies are summarized below for the three latest years. Both classes of insurance are represented in the figures, which, as in the previous tables, relate to New Zealand business only. In the case of some companies other branches of insurance business are included.

Aggregate liabilities are first shown.

 195419551956
£££
Paid-up share capital236,487235,587235,824
Life assurance and annuity funds150,309,409164,763,423180,022,554
Depreciation, reserve, and other special funds1,722,5981,948,7992,079,308
Claims admitted but not paid952,3331,038,7601,179,957
Other liabilities1,917,9461,849,8401,480,522
                Totals155,138,773169,836,409184,998,165

The assets of the New Zealand branches at the end of each of the three years 1954–56 were as follows.

AssetsAmountProportion to Totals
195419551956195419551956
 £££Per CentPer CentPer Cent
Mortgages on property56,854,20370,206,35281,013,49236.6541.3343.79
Loans on policies4,195,2534,820,0715,586,2282.702.843.02
New Zealand Government securities46,205,47744,560,62544,653,38829.7826.2424.14
Securities of other Governments1,658,959319,640375,6861.070.190.19
Local authority securities30,927,60232,332,20934,058,89419.9419.0418.41
Landed and house property3,756,9014,529,7915,414,1532.422.672.93
Other investments7,525,2688,919,9969,569,7974.855.255.17
Outstanding premiums1,066,5101,215,9631,284,4210.690.710.70
Interest accrued, etc.1,283,8591,254,3171,452,2650.830.740.79
Cash602,916759,711699,2730.390.450.38
Other assets1,061,825917,734890,5680.680.540.48
                Totals155,138,773169,836,409184,998,165100.00100.00100.00

Mortgage securities were again the most favoured form of investment, holdings of Government and local authority securities showing a relative decline during the past few years. Other investments (chiefly company shares and debentures), although small in relation to the total, are also steadily gaining in popularity. These changes are possibly a result of the comparatively low yields obtained in recent years from the usual gilt-edged forms of investment.

For 1956 the average rate of interest earned on the life funds of both departments was £4 9s. 1d. per cent, compared with £4 5s. 11d. during 1955. This rate was calculated by taking the arithmetic mean of funds at the beginning and end of the year less half the amount of interest, etc., earned.

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 since 1948, referred to above, has been the preference for mortgage investment, the proportion rising from 16.8 to 43.8 per cent during the eight-year period.

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 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 1956 is 67, the head offices of the companies concerned being domiciled as follows: Great Britain, 25; Australia, 12; United States of America, 2; Hong Kong, 2; and New Zealand, 26.

Of the New Zealand offices only 11, 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.
 ££££££££
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
1954679,918,054304,14710,222,2016,071,724778,7131,115,5941,090,6439,056,674
19556711,021,538356,07611,377,6147,070,602882,9151,235,7701,197,77910,387,066
19566712,400,463414,79912,815,2628,212,5301,025,2021,395,3521,212,86511,845,949

Premium receipts in 1956 were 12.5 per cent above the 1955 figure, most of the increase being in the fields of employers' liability and motor vehicle comprehensive insurance. Claims, however, were 16.2 per cent greater than in 1955. Expenses other than claims totalled £3,633,419, of which taxation amounted to £307,938. The unexpired risks reserves at the end of 1956 totalled £5,226,522.

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. The claims experience during 1955 and 1956 was slightly less favourable than the average of recent years.

Per Cent
YearClaims to PremiumsCommission to PremiumsSalaries to PremiumsOther Expenses to PremiumsTotal Expenses (Other Than Claims) to PremiumsTotal Expenditure to PremiumsTotal Expenditure to Total Revenue
      261.347.7510.2311.1129.0890.4287.98
195359.347.7010.8311.8230.3589.6987.45
195461.227.8511.2511.0030.1091.3288.60
195564.158.0111.2110.8730.0994.2491.29
195666.238.2711.259.7829.3095.5392.44

Working expenses (excluding taxation) amounted to £2,594,892 in 1954, £2,967,517 in 1955, and £3,325,481 in 1956. The ratio of working expenses to premium income for each of the three years was respectively 26.16, 26.92, and 26.82 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 ComprehensiveMotor Vehicle Third Party RisksOther FormsTotal
Premiums
19522,469,139581,0293,340,9271,023,759773,1098,187,963
19532,594,538659,7364,129,9121,163,106885,7009,432,992
19542,594,371739,5134,655,2861,339,7141,007,31110,336,195
19552,761,516868,2565,209,5151,428,8471,185,23911,453,373
19563,275,572977,4945,755,6781,533,5551,343,54712,885,846
Claims
19521,381,906215,8402,304,873622,327237,3594,762,305
19531,532,935228,1872,580,372817,272259,5825,418,348
19541,861,589283,3043,014,704795,867439,9926,395,456
19551,968,986301,4573,650,922824,321476,7197,222,405
19562,057,663380,0174,337,881877,109497,2718,149,941

Premiums and claims for motor vehicle third-party risks insurance relate to the years ended 30 June following those given.

Reducing the figures of each class for the years 1954–56 to a percentage basis, the following results are obtained.

Per Cent
Class of InsuranceClaims to PremiumsPremiums to Total PremiumsClaims to Total Claims
195419551956195419551956195419551956
Employers' liability71.7571.3062.8125.1024.1125.4229.1127.2625.25
Personal accident and sickness38.3134.7238.877.157.587.594.434.174.66
Motor vehicle comprehensive64.7670.0875.3645.0445.4844.6647.1450.5653.23
Motor vehicle third-party risks59.4157.6957.1912.9612.4811.9012.4411.4110.76
Other43.6840.2237.019.7510.3510.436.886.606.10
                All classes61.8763.0663.25100.00100.00100.00100.00100.00100.00

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 through their negligence 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 receipts and claims actually paid have been shown in the earlier tables, but the claims figures given later also show amounts on account of the estimated liability for claims still outstanding at 30 June 1957, which are necessarily subject to revision.

Premium rates were reduced during the war as a result of the decrease in claims brought about by the restricted use of motor vehicles. With the relaxation of controls and the subsequent spectacular increase in road usage, the claims figures have steadily mounted, resulting in progressively higher premium rates for the various classes of motor vehicles. The table following gives the premium rates for the various classes of motor vehicles over the last four years, together with a comparison of rates ten years previously. The minimum rates for omnibuses, service cars, and contract motor vehicles are subject to increases according to seating capacity.

Class of Motor Vehicle1948–491955–561956–571957–581958–59
* Not applicable.
 £ s.£ s.£ s.£ s.£ s.
Motor cycles162 52 52 22 1
Power cycles*5101515
Tractors and traction engines3101088
Private cars and station wagons1 12 22 22 22 2
Dealers' and business cars1 152 162 162 162 16
Goods service vehicles1 153 83 103 103 10
Fire brigade vehicles102 12 102 102 10
Public taxicabs15 025 122 1020 018 0
Private taxicabs5 012 012 010 08 0
Omnibuses (minimum)8 029 029 029 028 0
Service cars (minimum)4 015 115 015 015 0
Contract motor vehicles (minimum)3 05 105 105 04 10
Trailers24444
Hearses and ambulances102 152 152 152 15
Rental cars4 104 04 04 07 10

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) (a) his own passenger (other than a fare-paying passenger in a vehicle plying for hire); (b) any relative of the owner within the third degree of relationship (except in certain cases of school children travelling to or from school); (c) any employee, except where the accident occurs otherwise than in the course of employment.

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 1957. 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, 1946–47 to 1950–51 inclusive, for which all claims have been settled, it is found that total premiums received were £2,545,645 and total claims paid were £2,207,541, a ratio of claims to premiums of 86.7 per cent. This latter figure refers to claims arising during the period under review, final disposal of some cases being delayed until 1955–56. The actual claims payments during the five years totalled £1,733,843, of which a proportion was on account of accidents occurring prior to 1946–47. From this explanation it follows that the ratios given below are also likely to be reduced in course of time, particularly those for the most recent years.

£
Registration Year Ended 30 June—Total for Ten Years to 30 June 1957
19531954195519561957
Premiums received1,023,7591,163,1061,339,7141,428,8471,533,5559,480,256
Claims actually paid to 30 June 1957870,263684,938746,037562,445117,6545,535,946
Estimated liability for claims still outstanding at 30 June 19578,40042,650247,093876,0251,236,4882,420,556
Ratio per cent of claims paid and outstanding to premiums85.862.674.1100.688.383.9

A summary showing the experience over the last four registration years for each of the principal classes of motor vehicle is given in the table following.

£
Class of Motor VehicleNet Premiums ReceivedClaims PaidEstimated Claims Outstanding
Arising During YearArising During Previous YearArising During YearArising During Previous Year
1953–54
Motor cycles51,3663,91327,92429,95536,412
Private cars502,67144,055326,253397,361297,295
Business cars97,65016,48967,47098,58581,299
Goods service vehicles353,92420,520201,812233,661257,934
Public taxicabs47,3577,38827,13449,85744,145
Public omnibuses48,5225,50530,35629,62534,970
Other classes61,6164,65233,80145,51141,490
                Totals1,163,106102,522714,750884,555793,545
1954–55
Motor cycles51,6002,34644,60425,78223,330
Private cars620,99351,024295,663494,989348,437
Business cars122,03611,15168,43677,86482,471
Goods service vehicles370,88931,886199,510326,012205,950
Public taxicabs50,2693,11832,36332,65062,052
Public omnibuses59,3593,72424,79428,01516,170
Other classes64,5685,48021,77030,17550,315
                Totals1,339,714108,729687,1381,015,487788,725
1955–56
Motor cycles47,5954,22025,11432,57534,435
Private cars679,32553,504331,263577,123366,640
Business cars131,23410,58584,013133,47947,471
Goods service vehicles376,45425,084213,233296,795231,104
Public taxicabs66,2274,07330,19436,43539,750
Public omnibuses59,0904,06415,48140,65526,330
Other classes68,9225,34418,14984,06642,250
                Totals1,428,847106,874717,4471,201,128787,980
1956–57
Motor cycles48,7591,98521,65032,79384,215
Private cars729,33458,667395,907597,878505,099
Business cars154,32612,79355,976138,371134,719
Goods service vehicles404,04732,512197,422326,942308,068
Public taxicabs59,4235,36130,38836,39947,300
Public omnibuses60,8033,26018,05050,85537,840
Other classes76,8633,07640,06253,25066,827
                Totals1,533,555117,654759,4551,236,4881,184,068

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 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 required a minimum paid-up capital of £50,000 intact in the case of limited companies undertaking insurance business (other than life insurance) in New Zealand. A later provision, contained in the Finance Act (No. 3) 1934, allowed overseas companies limited by guarantee which were carrying on insurance business in New Zealand at 31 March 1934 to continue in such business if a sum of not less than £50,000 (including deposits required by law in respect of such business) was kept deposited with the Public Trustee. Part XIII of the Companies Act 1955, which came into force on 1 January 1957, re-enacts the provisions concerning local companies, but the authorization to engage in insurance business is extended to overseas companies limited by shares and regardless of date of commencement. 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 specifically 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 at 31 March 1957, under the Insurance Companies' Deposits Act and amendments, on behalf of 72 companies and three associations, was £2,413,925, as compared with £2,484,802 at 31 March 1956.

Statistics of fire insurance are collected annually by the Department of Statistics. For 1956, statistics were collected from 51 Offices conducting business in New Zealand. The head offices of these were distributed as follows: Great Britain, 26; New Zealand, 15; Australia, 6; 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 51 fire offices, 19 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 £1,459 million.

£
19561955 (Total)1954 (Total)
Overseas CompaniesLocal CompaniesTotal
Paid-up capital73,475,3676,187,49079,662,85775,298,11670,893,799
Reserves821,828,52923,974,041845,802,570769,866,412708,635,475
Other liabilities523,088,23810,398,123533,486,361487,877,697467,186,084
Totals1,418,392,13440,559,6541,458,951,7881,333,042,2251,246,715,358
Life funds1,867,761,42463,1721,867,824,5961,750,985,0431,623,326,268
    Total liabilities (and assets)3,286,153,55840,622,8263,326,776,3843,084,027,2682,870,041,626

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 Zealand195419551956
* Not available.
House and landed property2,258,8532,723,1293,156,361
New Zealand Government securities11,049,01911,260,25211,451,295
New Zealand local-authority securities1,171,7191,424,0831,706,769
Company stocks and shares2,314,9842,541,4472,980,462
Mortgages, etc.1,065,1061,530,7611,922,763
Outstanding premiums1,900,2312,225,2462,219,868
Cash and other assets in New Zealand6,428,0286,575,7465,903,959
Total New Zealand assets26,187,94028,280,66429,341,477

SUMMARY OF BUSINESS.—The amount of business underwritten (new and renewal) has increased very substantially during the last few years. This figure for 1956 shows an increase of £217 million (8.0 per cent) over 1955, while compared with five years earlier the increase amounts to £1,093 million, or 59.7 per cent.

The average premium rate per £100 of insurance cover fell from 11s. 11d. in 1920 to 9s. 2d. in 1930 and 7s. in 1940. The present rate of 4s. 11d. is the lowest recorded, and points to the highly competitive nature of fire insurance business. 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.

195419551956
Amounts Underwritten
Gross amount of insurance cover in force in New Zealand on 31 December£2,137,024,396£2,368,360,954£2,605,679,827
Number of policies representing the foregoing1,238,9151,288,1031,323,900
Gross amount of new and renewal business underwritten during year£2,445,048,401£2,707,810,927£2,924,459,664
Number of policies representing the foregoing1,363,5521,409,2841,448,910
Premiums
Total gross premiums charged on business (new and renewal) underwritten during year£6,635,677£7,015,030£7,171,042
Percentage of gross premiums to total amount of business underwritten5s. 5d.5s. 2d.4s. 11d.
Total premiums (as shown above), less premiums refunded to insured other than to other offices£5,878,463£6,241,319£6,396,843
Losses
Total number of separate fire losses with which offices were concerned18,77521,35423,212
Gross losses£1,745,961£2,077,756£2,174,127
Percentage of gross loss to amount underwritten (new and renewal) during year (as shown above)0-.70.080.07
Percentage of gross loss to total premiums less refunds to insured (as shown above)29.7033.2933.98
Average loss£93£97£94

The next table shows the position of premium income and fire claims during the period 1946-56. 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 wool store fires.

YearPremium IncomeFire ClaimsPercentage of Claims to Premium Income
 ££Per Cent
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
19545,878,4631,745,96129.7
19556,241,3192,077,75633.3
19566,396,8432,174,12734.0

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.

195419551956
GrossNetGrossNetGrossNet
Revenue
Reserve to meet unexpired risks as at beginning of year2,773,0001,461,9832,946,0001,555,8512,989,0001,629,778
Amount of fire premiums receivable during year7,151,8833,910,3167,351,6344,005,8617,672,1794,165,193
Interest and dividends on stock, mortgages, etc.143,602143,602148,738148,738158,286158,286
Rents50,29650,29641,48041,48061,34561,345
Other revenue21,60721,60728,31128,31111.46211,462
Totals10,140,3885,587,80410,516,1635,780,24110,892,2726,026,064
Expenditure
Amount of five claims incurred during year, including adjustment and other expenses of settlement, but less salvage1,810,778976,1332,800,8421,232,9882,467,0791,268,553
Fire authority levies406,953282,915412,551289,443452,789323,118
New Zealand Government taxes519,094471,429487,522393,545559,036423,779
Rents48,52247,10351,62749,62959,34957,209
Depreciation19,68822,37748,33949,87453,47357,144
Allowances and commissions on premiums to agents, sub-agents, and others751,264277,889838,005268,965812,926266,017
Salaries and wages, including commissions on profits or bonuses854,567796,174893,951830,974931,972871,464
Other expenses of management421,274373,593461,451439,571417,015386,423
Reserve to meet unexpired risks as at the end of the year2,949,0001,612,5342,989,0001,627,5983,041,0001,647,346
Totals7,781,1404,860,1478,983,2885,182,5878,794,6395,301,053

The principal items of net revenue and expenditure for 1956 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 companies2,440.1642,497,139765,144585,9582,120,658
Local companies1,725,0291,899,147503,409551,5231,533,049
Totals4,165,1934,396,2861,268,5531,137,4813,653,707

Excluding unexpired risks reserves, the excess of net revenue over net expenditure for 1956 of £742,579 compares with surpluses of £669,401 and £878,208 for 1955 and 1954 respectively.

The following table shows the percentage ratio of working expenses to premium income for the years 1952-56. 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.

Per Cent
Item19521953195419551956
Net working expenses (excluding taxes) to net premium income43.4245.8746.0348.1447.09
Net working expenses (excluding taxes and fire-service levies) to net premium income36.4339.1138.8040.9239.33
Gross working expenses (excluding taxes) to gross premium income (including reinsurances from other offices)32.4533.7234.9936.8135.55
Gross working expenses (excluding taxes and fire-service levies) to gross premium income (including reinsurances from other offices)27.5728.7429.3031.2029.65

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 1956, the figures for earlier years being generally given for purposes of comparison. Payments or recoveries on account of reinsurance are excluded. 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.

From and including 1955, the number of separate fires given in previous years has been replaced by the number of fire loss payments, which includes an unknown number of multiple payments by insurance companies relating to the same outbreak. Experience has shown that the latter figure is greater by some 10 to 15 per cent than the actual number of fires.

A summary of losses over the eleven-year period 1946-56 is given below. The relatively high loss figure for 1947 is attributable to a disastrous wool-store fire at Rongotai, the damage approximating £500,000. Another such loss occurred in February 1951 at Parnell, Auckland, while during 1952 losses approximating £600,000 were experienced in four large fires involving commercial premises, of which three occurred in Dunedin. The claims experience improved during 1953, although a severe loss (in the vicinity of £200,000) occurred in commercial premises at Invercargill. Serious losses during 1954 included that experienced at a meat freezing works at Petone in February and the destruction of the Franz Josef Glacier hotel in August. A further heavy loss of wool stocks occurred in February 1955 at a fire in a Wellington Harbour Board shed, the damage amounting to about £300,000. Higher property values are also reflected in the gradual upward trend in cover and losses during the period.

YearSeparate FiresGross Cover*Gross Loss

* On buildings, etc., affected.

† Fire loss payments.

 ££
19466,93912,730,169764,392
19477,90317,103,4361,599,822
19488,92721,468,138948,660
19499,26821,346,440856,177
195010,17822,195,8691,029,945
195111,66327,415,0241,517,992
195212,60237,033,9381,716,450
195314,24639,936,0361,650,390
195416,56849,175,5801,525,866
195520,60050,048,6482,058,067
195622,19958,277,0421,980,647

The average insurance claim paid for material fire damage per head of population (including Maoris) was 14s. 7d. in 1954, 19s. 3d. in 1955, and 18s. 2d. in 1956.

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 1956 property loss in New Zealand through fire would have amounted to £2.277,745.

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 Fire Loss PaymentsGross Amount of Insurance Cover on Risks AffectedGross Amount of Loss Paid on Risks AffectedPercentage of Loss Paid to Amount at Risk
 ££Per Cent
United urban fire districts5,72219,091,182442,7882.32
Urban fire districts12,42830,338,1761,000,8673.30
Secondary urban fire districts1,3792,061,609169,7798.24
Remainder of New Zealand (including floating risks)2,6706,786,075367,2135.41
Totals22,19958,277,0421,980,6473.40

The relationship between the number of payments and loss incurred is fairly closely sustained for the main types of district; 81 .8 per cent of payments relating to fires which occurred in urban (including united urban) fire districts, the loss amounting to 72.9 per cent of the total.

Causes of Fires.—Particulars regarding causes of fires are contained in the following table which covers the years 1954 to 1956.

Cause of Fire195419551956
Number of FiresAmount of LossNumber of Fire Loss PaymentsAmount of LossNumber of Fire Loss PaymentsAmount of Loss
 £ £ £
Electricity3,77888,0114,838186,5895,129372,739
Gas2764,78937814,8054149,717
Chimneys and flues55322,52568534,39166254,459
Fireplaces and stoves5,76571,2127,162125,6227,761166,936
Smoking and matches2,56236,5353,34167,5683,72384,002
Inflammable spirits and materials19423,11540149,49245270,750
Outside causes44619,19452755,12568272,775
Arson and incendiarism3714,0074261,7246948,695
Other specified causes51927,379669132,067789105,069
Unknown causes2,4381,219,0992,5571,330,6842,518995,505
Totals16,5681,525,86620,6002,058,06722,1991,980,647

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 payment is much greater in these instances. During 1956 the average payment for specified causes was £50, while the average for the unspecified group amounted to £395.

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 1954 to 1956, classified according to the amount of loss. The vast majority of fires cause only minor damage. During 1936 payments of less than £10 accounted for 64.5 per cent of the total number, but only 3.0 per cent of the total loss sustained. The corresponding ratios for losses of under £100 were 83.5 and 6.1 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.

Loss Category195419551956
Number of FiresAmount of LossNumber of Fire Loss PaymentsAmount of LossNumber of Fire Loss PaymentsAmount of Loss
£ £       £ £ £ £
Under      1010,98144,07813,11853,79414,39958,671
10 and under 253,00744,9323,83356,9324,13461,668
25 and under 1001,52369,8562,08895,3712,05396,500
100 and under 1,000801269,6811,205407,4211,211396,560
1,000 and under 2,000145206,424191259,915212283,636
2,000 and under 5,00076229,169114332,119133402,729
5,000 and under 20,00028250,57943423,04350436,864
20,000 and over7411,1478429,4727244,019
Totals16,5681,525,86620,6002,058,06722,1991,980,647

Class Groups.—Losses have been classified in broad groups according to the nature of the risk, the figures for the years 1954-56 being presented in the next table. Fires in private dwellings accounted for 83.2 per cent of the total payments during 1956, but the proportion of loss sustained was only 32.0 per cent. It should be noted that the "contents", where insured, are included in the various class groups. Consequently the total for the houses and flats 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 different occupational groupings.

Class Group195419551956
Number of FiresAmount of LossNumber of Fire Loss PaymentsAmount of LossNumber of Fire Loss PaymentsAmount of Loss
 £ £ £
Private houses and flats, boarding-houses. etc.14,046505,20817,056600,68418,474634,133
Hotels and restaurants48569,90659678,896592151,102
Offices and public buildings29118,13536946,92338346,398
Theatres and entertainment places5552,51917753,35315043,521
Bulk stores and warehouses67216,063117199,461139142,534
Shops42292,972614183,904681217,152
Factories and industrial risks542482,344839587,828855598,075
Farm risks (other than dwellings)16638,48224247,75827863,277
Miscellaneous (including unclassified)8128,92510433,63914265,057
Floating and travelling risks Totals41321,312486225,62150519,398
Totals16,5681,525,86620,6002,058,06722,1991,980,647

MUTUAL INSURANCE ASSOCIATIONS.—Mutual associations are governed by the Mutual Insurance Act 1955, which allows two hundred or more owners or occupiers of isolated or farm properties to subscribe to a declaration, and form themselves into a mutual association to insure against loss to an amount in the aggregate of not less than £200,000. The Act permits 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 insurance associations carrying on employers' liability insurance business are now required to deposit approved securities to a specified value with the Public Trustee.

The Mutual Insurance Regulations, gazetted in 1956, permit these associations to carry on additional types of insurance (other than life insurance).

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..
195369,96175,915154,64011,93438,339181,0481,375,721
195473,53876,163160,02111,64634,192197,0821,541,644
195581,40687,634180,88218,77040,943213,7331,753,106
195690,44299,517201,74726,12952,231218,0621,790,941
195798,312116,526288,70921,45049,685243,6201,202,561

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.

FIRE BRIGADES.—At 31 March 1958 there were 241 fire brigades under the administrative authority of the Fire Service Council, of which 23 were staffed with full-time personnel numbering 120 officers and 353 men, as well as 135 auxiliaries.

The remaining 209 brigades were manned by 3,620 volunteers.

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 1956 was £5,129,325, of which premium income amounted to £3,857,296, annuity purchase money £20,196, and interest, rents, etc. (net) £1,251,833.

During the year 1956 payments were made under the following heads: matured policies (including bonus additions), £711,276; claims by death (including bonuses), £446,483; annuities, £70,282, surrendered policies and bonuses cashed, £354,295; commission, £296,563; other management expenses, £239,474; rates and taxes £95,521; and other expenditure, £41,394.

Income and expenditure figures of the Government Life Insurance Office are now given for each of the five years 1952-56.

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
19522,425,8653,174,719378,9811,536,88011.9415.62
19532,807,1293,640,500417,3151,750,27911.4614.87
19543,171,9284,114,760478,9911,890,28111.6415.10
19553,598,9934,692,546516,9542,033,06911.0214.36
19563,877,4925,129,325536,0372,255,28810.4513.82

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
 ££ ££ ££
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
195421,79320,146,054 453,4766,2394,359,936105,724202,708121,615,9342,806,617 
195522,49422,160,670469,1656,7044,937,385121,110218,514138,839,2193,154,671
195622,62922,672,839483,3607,2225,569,429134,222233,921155,942,6293,503,808

Progress during 1956 continued but at a less rapid rate than in the previous year, the increase over 1955 in face value of new policies written amounting to 2.3 per cent. The average sum assured per policy was £924 in 1954, £985 in 1955, and £1,002 in 1956. In addition to the total sum assured at the end of the year, accrued reversionary bonuses amounted to £7,180,864. Immediate, deferred, and contingent annuities totalled £1,056,524, representing 613 policies.

The Department's balance sheet as at 31 December 1956 showed that the total assets amounted to £31,429,694, 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
195419551956195419551956
* Mainly due and overdue premiums and interest, and interest accrued.
 £££Per CentPer CentPer Cent
Mortgages on freehold property9,790,88711,922,95614,179,67237.9741.7745.12
Loans on policies888,256991,3841,132,6393.443.473.60
Government securities8,100,6808,186,7548,384,68031.4128.6826.68
Local authority securities5,724,1415,694,2125,758,46922.1919.9518.32
Landed and house property643,187857,520963,5002.493.003.07
Miscellaneous assets*640,431884,4621,010,7342.503.103.21
Cash in hand on current account, and on deposit 8,769  0.03 
Totals25,787,58228,546,05731,429,694100.00100.00100.00

Assurance, annuity, and endowment funds, apart from special reserves of £585,000, amounted to £30,446,861, an increase (the largest ever recorded) of £2,874,037 over the corresponding figure at the end of the previous year.

STATE ACCIDENT INSURANCE.—In the year 1901 the Government Life Insurance Office 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£
19521,025,5781,066,108681,059190,906930,22873.71,722,029
19531,128,3601,154,077739,811242,5461,044,41868.72,015,217
19541,234,0231,264,989804,899270,8711,140,00868.22,325,876
19551,344,1001,417,207971,419278,5021,356,90475.32,427,017
19561,517,6671,598,3331,065,883329,9341,456,30173.62,586,390

The ratio of working expenses to earned premiums in 1956 was 21.7 per cent, compared with 20.8 per cent in the previous year. Although salaries and costs generally increased throughout the year, there was a reduction of 1.7 per cent in the claims ratio.

The total assets at 31 December 1956 included £1,373,832 invested in Government securities. Reserves and funds totalled £1,525,188.

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.

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 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.

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. 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 33 1/3 per cent as from 1 January 1951. On 1 January 1954 the bonus rebate on the majority of dwelling risks was increased for the first year from 10 per cent to 33 1/3 per cent, and for the jubilee year of 1955 an additional 10 per cent rebate was allowed on all renewal policies.

Premium income advanced by £58,738 during 1956, while losses increased by only £12,462.

The apportionment for taxes was £76,760, while the net surplus rose from £29,545 in 1955 to £73,156 in 1956.

£
YearNet Premium IncomeTotal Net Income*Net LossesTotal Net Expenditure*Accumulated FundsTotal Assets
* Excluding reserve for unearned premiums.
1952375,801457,248114,046389,0701,727,8881,971,491
1953438,650528,79986,074433,8281,822,8602,051,114
1954510,091599,475126,473496,0551,926,2802,194,153
1955571,102661,950172,697601,8991,986,3302,330,383
1956629,840720,252185,159617,7272,088,8552,339,143

The percentages of various classes of expenditure to earned premiums and total income are given below.

Item  1954  1955  1956
* For comparative purposes the Jubilee Year rebate is not included.
Ratio of claims to earned premiums  26.7  31.9  30.8
Ratio of working expenses to earned premiums  51.3  47.9*  46.0*
Ratio of Fire Service Council levies to earned premiums  9.2  9.0  9.3
Ratio of Government taxes to total income  11.6  5.7  11.7

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 2 1/2 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.

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.

On 1 November 1954 the definition of disaster damage was extended to include volcanic eruption, and authority was given to the Commission to accept insurance against landslip. This latter type of cover does rot apply automatically.

The Earthquake and War Damage Regulations 1956, which came into force on 1 June 1956 consolidated and amended the Earthquake and War Damage Regulations of 1944 and subsequent amendments. The amount of the franchise (proportion of loss to be borne by the insured) was fixed for all cases as one per cent of the loss but not less than £10 where the loss is less than £5,000, and £50 where the loss exceeds £5,000. The franchise may be fixed at a higher rate where the property is more than normally susceptible to damage. Cover under the disaster provisions was widened by the deletion of the word "widespread" from the definition.

The following is a comparative statement for the last six years of the financial operations under the Earthquake and War Damage Act, together with a statement showing the position from the inception of the Fund to 31 March 1951.

£
19 Dec. 1941 to 31 Mar. 19511951-521952-531953-541954-551955-561956-57
*From commencement in November 1949.
Income—-
    Premiums—
        Earthquake and war damage7,238,725754,127860,215939,1091,064,5691,172,8941,296,990
        Storm and flood94,78683,55395,426104,288118,323129,302143,217
    Interest1,005,373220,585258,090309,497359,723417,169464,543
            Totals8,338,8841,058,2651,213,7311,352,8941,542,6151,719,3651,904,750
Outgo—
    Claims—
        Earthquake and war damage45,6744,04489312,1962,0934,5548,575
        Storm and flood8,5929,87522,36427,95328,40921,496139,620
    Salaries and expenses of management37,8724,6984,6615,5856,1055,89310,158
    Discount to insurance offices85,57520,89223,83126,02629,53832,17435,576
    Exchange adjustment339,525............
            Totals517,21039,50951,74971,76066,14564,117193,929
Surplus7,821,6741,018,7561,161,9821,281,1341,476,4701,655,2481,710,821
Earthquake and War Damage Fund7,721,5478,686,0069,773,26810,974,13812,354,39413,892,45615,593,157
Disaster Fund100,127*154,424229,144309,408405,623522,809532,929

The item "exchange adjustment" of £339,525 was 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.

During the year ended 31 March 1957, 318 earthquake and 1,046 storm and flood claims were lodged, compared with 125 and 284 for the previous year. The increase is attributable to bad weather conditions, the broader cover provided, and the reduced franchise.

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.

These statistics are based on a system of estimating from a sample consisting of approximately 10 per cent of the total number of assessments. There is, in addition, a complete coverage of all incomes over a certain limit. 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. Three letters of medium size in regard to numbers of assessments were adopted 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 over a certain limit (£4,000 since the 1953–54 income year), 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 sampled, 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.

Information concerning the system of income tax in New Zealand is given earlier under the heading of "Taxation" (see pp. 791–799).

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 and all individuals engaged in any profession, trade, manufacture, or undertaking carried on for pecuniary profit, were required to furnish returns. All individuals with incomes of £375 and over were under the same obligation. As far as individuals are concerned, the statistical compilation is, with the exception of the table which gives estimates of the numbers of farming and business incomes under £375, limited to taxpayers and to persons whose returnable incomes exceeded that amount.

The reference to individuals whose returnable incomes are £375 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 (other than the universal superannuation benefit) are excluded from the returns, and are therefore completely omitted from these statistics.

It is estimated that in the 1954–55 income year, 13,380 individuals who were engaged in farming, private trading, etc., had returnable incomes of less than £375. Their incomes were distributed as follows.

Amount of Income  Number  Amount of Income
£     £ £
Loss        1,880 
0–99  1,660  80,000
100–199  2,350  360,000
200–299  3,920  1,000,000
300–374  3,570  1,220,000
    Totals  13,380  2,660,000
The industrial distribution of these "under £375" incomes is given in the next table.
Industry GroupNumberAmount of Income
£(000)
Agriculture and livestock production—
    Sheep farming1,340190
    Dairy farming4,260830
    Other farming2,530470
Totals8,1301,490
Forestry, hunting, and fishing7020
Mining and quarrying1010
Manufacturing—
    Food, drink, and tobacco18050
    Apparel, textiles, and footwear31080
    Metals, and metal products17050
    Other26050
Construction620140
Commerce—
    Wholesale and retail trade1,660350
    Other7010
Transport, storage, and communication19040
Services—community—
    Professional27050
    Other1,440330
Totals13,3802,660

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 1954–55, which are, in general, the incomes earned during the twelve months ended 31 March 1955, are also substantially the statistics of the assessment or taxation year 1955–56.

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 1954–55 income year as an example, all assessments made up to approximately the end of May 1956 were included in the statistics. Late assessments for previous income years which were made after the end of May 1955 were also included, on the assumption that they would reasonably represent assessments of 1954–55 incomes not made by the closing date. Incomes of £4,000 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.

Item1950–511951–521952–531953–541954–55
Number of assessments646,809633,385661,883682,557672,989
Number of taxpayers451,386565,013556,136540,876595,598
 £(000)£(000)£(000)£(000)£(000)
Assessable income491,074526,381568,591637,684685,306
Returnable income511,247550,031591,183656,381708,496
Exemptions—
  Personal125,680122,760147,280246,810244,130
  Other62,96066,76077,92092,12099,370
Taxable income302,434336,861343,391298,754341,796
Income tax assessed77,97676,75376,00685,48088,122

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. Combined assessments on husband and wife, which up to 1953–54 were counted as one assessment, are now counted as two assessments. The figures in the above table have been amended accordingly for all the income years shown.

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 £375 and over.

The term "companies" not only covers companies incorporated under the Companies Act 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.

A classification on the basis of class is given in the following fable for each of the last three available tax years.

ClassNumber of AssessmentsNumber of TaxpayersAssessable Income
1952–531953–541954–551952–531953–541954–551952–531953–541954–55
 £(000)£(000)£(000)
Individuals641,270660,550648,860539,250522,960576,000486,910540,760577,520
Companies20,61322,00724,12916,88617,91619,59881,68196,924107,786
  Totals661,883682,557672,989556,136540,876595,598568,591637,684685,306

The numbers of assessments for individuals in the 1954–55 income year covered 553,070 males and 95,790 females. Comparable figures for 1953–54 were: males 556,510 and females 95,790.

The reduction in the number of assessments for individuals is the result of the raising of the minimum returnable income from £300 to £375.

PROVISIONAL ESTIMATES.—It has been previously mentioned that the statistical compilation is not commenced until approximately fifteen months after the end of the income year. This, coupled with the necessary time taken by the statistical processing, means an unduly long time lag before the first results of the compilation are available.

In an endeavour to have the most important data available at an earlier date, a small sample of returns is selected from those which are furnished within a short period after the close of the income year. Each case included in the sample shows the assessable income for the recently completed income year and the two previous income years. The income trends disclosed by this sample are applied to the statistical data of the normal sample collection which are then available for the first of the three income years in question.

The income distributions for the first income year shown in returns for the provisional estimates are compared with the income distributions for the final estimates for the same year, and allowances are made for over and under representation in the sample for provisional estimates. Industrial and occupational representations are similarly compared and corrected. Despite these representation corrections and allowances, the trends shown by the sample may be incorrect. For example, the early closing date means that business returns with balance dates later than March cannot be included in the sample. But for otherwise identical business units one with a December balance date may have a very different net income to one with a June balance date.

Past experience has shown that provisional estimates similar to those given in the following tables have normally been sufficiently accurate for most practical uses. However, it is emphasized that the data in the provisional estimates are definitely provisional and are liable to be revised substantially 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 1954–55 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
1954–551955–561956–57
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
 £(m.) £(m.) £(m.)
Sheep farming22,69053.922,90050.523,30055.0
Dairy farming31,00034.931,30034.631,50038.7
Other farming17,44025.017,80024.118,50027.3
        Totals71,130113.872,000109.273,300121.0
Manufacturing4,6505.84,8006.44,9006.9
Construction11,57013.512,00014.512,30015.4
Commerce13,45015.613,80017.014,10018.4
Transport4,5805.24,7005.74,8006.1
Services—      
  Professional6,44014.26,60015.26,70015.8
  Other6,2706.66,9007.47,3008.1
Miscellaneous (forestry, mining, etc.)1,8802.72,1003.12,2003.3
        Totals119,960177.4122,900178.5125,600195.0
Salary or wages518,130391.2542,800435.7563,100469.9
Investment income10,7708.911,2009.111,70010.1
        Totals648,860577.5676,900623.3700,400675.0

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
1954–551955–561956–57
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
      £         £ £(m.) £(m.) £(m.)
  375- 39914,1105.410,7004.19,2003.5
  400- 49963,32028.451,00023.044,70020.1
  500- 59972,92040.265,70036.159,00032.4
  600- 69995,12061.991,80059.485,60055.5
  700- 79993,23069.796,90072.695,90072.0
  800- 89970,75059.883,60071.191,00077.3
  900- 99944,74042.253,10050.566,70063.3
1,000–1,19938,66041.654,40059.767,10073.7
1,200–1,39911,85015.217,20022.321,20027.5
1,400–1,5995,1407.67,30011.19,60014.6
1,600–1,7992,5604.33,4005.74,0006.8
1,800–1,9991,6003.02,0003.92,3004.4
2,000–2,9992,9907.14,1009.84,90011.3
3,000–3,9997802.61,1003.71,3004.4
4,000–4,9991980.93001.33501.5
5,000 and over1601.22301.42601.6
        Totals518,130391.2542,800435.7563,100469–9

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
1954–551955–561956–57
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
£     £ £(m.) £(m.) £(m.)
  375- 3991,5700.61,1000.49000.3
  400- 4997,0403.26,3002.95,6002.5
  500- 5998,1804.57,4004.16,7003.7
  600- 6999,0805.98,8005.77,5004.9
  700- 7999,5607.29,9007.48,7006.6
  800- 8999,0907.79,6008.28,7007.4
  900- 9998,2007.7-9,4008.98,1007.7
1,000–1,19913,52014.715,10016.715,10016.6
1,200–1,39911,13014.411,40014.813,70017.8
1,400–1,5998,03012.09,00013.610,60015.8
1,600–1,7995,7209.76,50011.27,00011.9
1,800–1,9994,3708.35,0009.55,30010.1
2,000–2,99913,65032.913,60032.716,00038.3
3,000–3,9995,93020.25,30017.96,50022.2
4,000–4,9992,39510.62,1009.12,60011.6
5,000 and over2,49718.02,40015.42,60017.6
                  Totals119,960177.4122,900178.5125,600195.0

The next table shows assessable income from all sources combined (including investment income).

Amount of Assessable IncomeIncome Year
1954–551955–561956–57
Number of AssessmentsAssessable IncomeNumber of AssessmentsAssessable IncomeNumber of AssessmentsAssessable Income
    £         £ £(m.) £(m.) £(m.)
375- 39917,6106.413,6004.911,7004.2
400- 49972,47032.559,40026.952,40023.6
500- 59982,63045.574,70041.167,40037.0
600- 699105,36068.5101,90065.994,50061.3
700- 799103,59077.5107,70080.7105,60079.3
800- 89980,50068.094,00080.0100,50085.4
900- 99953,35050.463,00059.875,30071.5
1,000–1,19952,75057.070,10077.183,00091.2
1,200–1,39923,33030.029,00037.635,30045.9
1,400–1,59913,47020.116,60025.220,50030.9
1,600–1,7998,47014.410,10017.211,20019.1
1,800–1,9996,09011.57,10013.67,70014.7
2,000–2,99916,96040.818,00043.221,30050.4
3,000–3,9996,86023.36,50022.08,00027.1
4,000–4,9992,66011.82,50010.73,00013.4
5,000 and over2,76019.92,70017.43,00020.0
        Totals648,860577.5676,900623.3700,400675.0

The provisional estimates for the salary or wage earners shown in the preceding tables have also been analysed into occupation groups.

Occupation GroupIncome Year
1954–551955–561956–57
NumberAssessable IncomeNumberAssessable IncomeNumberAssessable Income
 £(m.) £(m.) £(m.)
Professional, technical, etc.39,32032.142,20037.244,30040.9
Managers, administrators, etc.18,79027.318,30029.719,00031.9
Clerical and related workers71,05049.576,10057.579,20063.1
Salesmen, etc.39,90029.842,00033.444,20036.5
Farmworkers, fishermen, etc.36,36024.937,80026.938,70028.6
Mine, quarry, etc., occupations5,6204.35,7004.65,7005.0
Operating transport workers45,63035.947,00038.848,50041.4
Craftsmen, production process workers, etc.137,340103.1143,400113.8148,900122.3
Manual workers and related occupations79,00053.983,70060.586,50064.4
Service and related workers28,43018.529,40020.430,40021.8
Armed forces10,2808.010,3008.510,4009.1
Unknown occupations4800.26000.36000.3
Not actively engaged5,9203.76,3004.16,7004.6
        Totals518,130391.2542,800435.7563,100469.9

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 difficult to assess the probable increase in the numbers of incomes of £375 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 has been shared by the different occupational groups.

The previous table completes the data coming under the heading of provisional estimates. The further data which are given in the following pages are based, in the case of individuals, on the normal 10 per cent sample collection and the results are not provisional.

From this point onwards, in the remainder of the statistical tables relating to individuals, combined assessments on husband and wife arc counted as two assessments in the 1953–54 and 1954—55 figures and as one assessment, classified according to the combined income, in the 1952–53 figures. The comparability of the figures has consequently been affected, since the inclusion in the two later years of the separate incomes of the husband and wife has increased numbers in the lower income groups at the expense of the middle and higher income groups. There were approximately 28,000 such combined assessments in the income year 1952–53.

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 six following years. 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
1952–531953–541954–551952–531953–541954–55
    £          £   £(000)£(000)£(000)
Under 40064,99063,32017,61022,76022,1006,390
    400- 49979,73076,11072,47035,94034,20032,530
    500- 599110,290102,12082,63060,62056,21045,450
    600- 699102,580115,950105,36066,28075,06068,490
    700- 79972,37093,490103,59053,92069,72077,480
    800- 89948,80062,39080,50041,22052,64068,050
    900- 99931,06037,95053,35029,34035,82050,380
1,000- 1,19936,30037,69052,75039,27040,63057,010
1,200- 1,39918,97018,74023,33024,44024,13030,050
1,400- 1,59912,16012,54013,47018,10018,69020,060
1,600- 1,7997,5407,9408,47012,73013,42014,360
1,800- 1,9995,1505,9106,0909,73011,20011,530
2,000- 2,99914,20015,64016,96033,95037,61040,770
3,000- 3,9994,8025,9006,86016,43520,12023,290
4,000- 4,9991,9052,2882,6608,42310,15311,753
5,000- 5,9997871,0951,2314,2785,9656,694
6,000- 6,9994065835942,6173,7643,823
7,000- 7,9992172853141,6152,1172,344
8,000- 8,9991391881951,1761,5961,648
9,000- 9,999951211379031,1391,297
10,000–19,9991992652612,5693,3903,315
20,000–29,999172719400641452
30,000 and over6119201448353
        Totals612,720660,550648,860486,910540,760577,520

The changes in the distribution of assessable incomes are perhaps more clearly illustrated by the percentages which appear in the table below.

Per Cent
Amount of Assessable IncomeNumber of AssessmentsAssessable Income
1952–531953–541954–551952–531953–541954–55
  £     £ 
Under 50023.6221.1113.8812.0610.416.74
    500– 99959.5962.3565.5651.6353.5353.65
1,000–1,99913.0712.5416.0521.4119.9923.03
2,000–4,9993.423.614.0912.0712.5513.13
5,000 and over0.300.390.422.833.523.45
Totals100.00100.00100.00100.00100.00100.00

The sharp falls in the percentages for the "under £500" group in 1954–55 are due of course to the increase in the minimum income included in the statistics.

Of those individuals who received £375 or over, the 10 per cent who received the highest incomes had an average assessable income of £2,333 in 1954–55, compared with £2,300 in 1953–54 and £2,204 in 1952–53.

Unearned Income.—The Land and Income Tax Amendment Act 1950 abolished the additional income tax payable on unearned incomes. 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, and other non-assessable income.

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 classed 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) are not assessable and are not included in these statistics.

Amount of Assessable IncomeUnearned IncomeProportion of Assessable Income
1952–531953–541954–551952–531953–541954–55
  £     ££(000)£(000)£(000)Per CentPer CentPer Cent
Under 4009101,1604704.05.27.3
    400– 4991,0801,1201,2103.03.33.7
    500– 5991,1801,3201,2102.02.32.7
    600– 6991,0801,1501,2801.61.51.9
    700– 7999501,0201,1901.81.51.5
    800– 8998308401,0802.01.61.6
900– 9997308109102.52.31.8
1,000–1,1991,1901,2101,3403.03.02.3
1,200–1,3998608809803.53.63.3
1,400–1,5997207408104.04.04.0
1,600–1,7995805205804.63.94.0
1,800– 1,9993705504503.84.93.9
2,000– 2,9991,3701,7001,5804.04.53.9
3,000– 3,9996908609204.24.34.0
4,000– 4,9993924975764.74.94.9
5,000– 5,9992143373425.05.65.1
6,000– 6,9991922242537.36.06.6
7,000– 7,9991331301488.26.16.3
8,000– 8,99971711506.04.49.1
9,000– 9,999581011186.48.99.1
10,000–19,9991862642307.27.86.9
20,000 and over3132125.22.91.5
                Totals13,81015,54015,8302.82.92.7

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.

It will be observed that there is a distinct trend towards an increasing proportion of unearned to assessable income in the lowest income groups. Although there have been increases in the amounts of unearned income in these groups, the principal cause of the altered ratios is evidently the movement of low income earning units of the actively engaged population into higher income groups. Such individuals generally have little or no unearned income.

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, and certain classes of income received from overseas. Company dividends are actually by far the largest source of non-assessable income.

In the 1952–53 income year, "proprietary" income from companies was included in returnable income. Briefly, where the control of the company was in the hands of not more than four persons, the shareholders' proportion of the company's residual taxable and non-assessable income could be transferred to the shareholders' own assessment as "proprietary" income. Fuller information concerning proprietary income will be found in previous issues of the Year-Book. The proprietary income provisions of the Act have since been abolished as far as individuals are concerned. From and including 1953–54, proprietary income has not been included in these statistics, and dividends from proprietary companies have, together with the ordinary non-proprietary dividends, been included in returnable income.

Other things being equal, there should have been a definite fall in the difference between the assessable and returnable incomes for 1953–54. This, however, did not happen. The explanation is that there was an unusually large increase in the amount of company dividends paid during 1953–54.

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*
1952–531953–541954–551952–531953–541954–55
* Including proprietary income for 1952–53, and proprietary dividends for 1953–54, and 1954–55.
      £       £  £(000)£(000)£(000) 
Under 40063,42060,68015,29022,36021,4905,910
    400– 49979,08075,98071,73035,64034,14032,210
    500– 599109,740101,62082,18060,32055,97045,210
    600– 699102,090115,690104,73065,96074,91068,090
    700– 79971,76093,290103,28053,46069,57077,240
    800– 89948,70062,22080,14041,14052,50067,750
    900– 99931,00037,97053,18029,28035,83050,220
1,000– 1,19936,40037,79052,77039,42040,80057,030
1,200– 1,39919,09019,03023,70024,61024,53030,500
1,400– 1,59912.70012,77013,59018,92019,06020,240
1,600– 1,7997,6208,2508,88012,87013,94015,050
1,800– 1,9995,5606,0606,66010,50011,49012,620
2,000– 2,99914,85016,61018,20035,67040,07043,900
3,000– 3,9995,4826,6307,82018,83622,84026,610
4,000– 4,9992,4762,6293,00610,96411,67913,317
5,000– 5,9991,0711,2971,5105,8317,0768,210
6,000– 6,9995797357673,7304,7454,936
7,000– 7,9993123754322,3222,7853,230
8,000– 8,9991972422651,6692,0522,243
9,000– 9,9991561681981,4751,5841,875
10,000–19,9993824104384,9445,2625,679
20,000–29,9993865548861,5481,296
30,000–39,999101419336467650
40,000–49,9995106218453273
50,000 and over376267378360
Totals612,720660,550648,860501,620555,170594,640

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 income. For the income year 1954–55 the aggregate of non-assessable, etc., income was £17,120,000. With the exception of £1,380,000 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 1954 amending Act considerably altered the aggregation provisions, which formerly provided for aggregation if the incomes of both husband and wife exceeded £200. The incomes of husband and wife are now aggregated if (a) they are living together, and (b) the returnable income in each case exceeds £500. The excess of the wife's income over £500 is deemed to be the income of the husband, and an aggregate assessment, which also includes the assessment on that part of the wife's income which is under £500, is made in the name of the husband. In such cases a personal exemption of £375 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. 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 following table shows the numbers of "aggregate" assessments for the three latest income years, according to the amount of the combined returnable incomes. In this table an "aggregate" assessment is counted as one assessment only. Each assessment, however, includes two returns of income.

Amount of Combined Returnable IncomeNumber of Assessments
1952–531953–541954–55
      £       £ 
Under 699200  
    700– 7991,390  
    800– 8993,680  
    900– 9995,400  
1,000–1,1998,6501,090820
1,200–1,3993,6001,8802,660
1,400–1,5991,5801,1202,080
1,600–1,7998806001,030
1,800–1,999480400560
2,000–2,9991,2506801,000
3,000–3,999591470460
4,000–4,999357190222
5,000 and over494575608
                Totals28,5507,0109,440

The substantial character of the 1954 amendment to the law is obvious from these figures.

The size of the husband's income is of interest where incomes have been aggregated. It will be seen from the 1954–55 income year figures which follow, that in two-thirds of these cases the husband's income is less than £1,000.

Amount of Husband's IncomeNumber of AssessmentsAmount of Husband's IncomeNumber of Assessments
    £     £     £     £ 
500–5996701,000–1,199950
600–6991,2201,200–1,399530
700–7991,7701,400–1,599260
800–8991,5501,600 and over1,310
900–9991,180  
  Total           9,440

Two-thirds of the wives had incomes of less than £700; 4.430 received between £500 and £599, and 1,810 received from £600 to £699.

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.—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 1954–55.

Source or Assessable IncomeNumber of AssessmentsAssessable IncomeReturnable IncomeIncome Tax AssessedAverage Assessable IncomeAverage Returnable Income
£(000)£(000)£(000)££
Agricultural and livestock production—
    Sheep farming22,69053,94054,77012,6402,3772,414
    Dairy farming31,00034,89035,0202,9801,1251,130
    Other17,44024,99025,2403,4801,4331,447
                Totals71,130113,820115,03019,1001,6001,617
Forestry, hunting, and fishing8901,0701,0801301,2021,213
Mining and quarrying340560560701,6471,647
Manufacturing—
    Food, drink, and tobacco7809409401101,2051,205
    Apparel, textiles, and footwear9801,0901,1201401,1121,143
    Metals and metal products1,1401,5501,5501901,3601,360
    Other1,7502,2202,2502601,2691,286
Construction11,57013,50013,6301,3301,1671,178
Commerce—      
    Wholesale and retail trade13,45015,56015,8101,7101,1571,175
    Other6501,1201,1702001,7231,800
Transport, storage, and communication4,5805,1905,2404801,1331,144
Services, community—
    Professional6,44014,20014,7702,7202,2052,293
    Other6,2706,6306,7106701,0571,070
                Totals119,960177,440179,85027,1101,4791,499
Salary or wages518,130391,170402,57018,490755777
Investment income10,7708,91012,2201,1408271,135
                Grand totals648,860577,520594,64046,740890916

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 £4,760,000 unearned income, and source investment income includes £1,190,000 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 assessable 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 usually 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 1954–55 are shown for the principal occupational groups.

Occupational GroupNumber of AssessmentsAssessable IncomeReturnable IncomeIncome Tax AssessedAverage Assessable IncomeAverage Returnable Income
 £(000)£(000)£(000)££
Professional, technical, and related workers39,32032,10032,4001,660816824
Managers, administrators, and officials18,79027,27036,6503,7101,4511,950
Clerical, office, and related workers71,05049,54049,7801,980697701
Salesmen and related workers39,90029,76030,0401,290746753
Farmers, fishermen, hunters, lumbermen, and related workers36,36024,88025,060960684689
Workers, in mine, quarry, and related occupations5,6204,3304,330160770770
Workers in operating transport occupations45,63035,90035,9801,500787789
Craftsmen, production process workers, and workers in related occupations137,340103,070103,3604,100750753
Manual workers and labourers, n.e.i.79,00053,88053,9601,990682683
Service and related workers28,43018,51018,570660651653
Unknown and unreported occupations48025028010521583
Armed forces10,2807,9808,000310776778
Not actively engaged5,9203,7004,170150625704
Totals518,130391,170402,57018,490755777

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 certain 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 1954–55 were—

  1. A personal exemption of £375 (or £420 if 65 years of age or over).

  2. An exemption of £125 in respect of a dependent wife (or husband) whose personal income did not exceed £125. The exemption was diminished by £1 for every £1 of the wife's income in excess of £125.

  3. An exemption not exceeding £125 in respect of a housekeeper employed by a widow, widower, or divorced person to have the care and control of any child or children. This is included with the wife's exemption in the statistics.

  4. An exemption for contributions not exceeding £75 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 £175, whichever amount was the lesser.

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, £375; wife, £125; relatives, £225; and £25 life-assurance premiums, etc. The total exemption was thus £750. Assuming that his assessable income was £700, the exemptions were reduced to a total sufficient to make the taxable balance "nil", and were recorded as personal, £375; wife, £125; and relatives, £200.

The next table shows the aggregate amounts of exemptions allowed for the income year 1954–55.

£(000)
Amount of Assessable IncomePersonalWife, HousekeeperChildren and RelativesLife Assurance Premiums, etc.Total
    £          £ 
Under 4006,17020 306,230
    400– 49927,31079017037028,630
    500– 59931,1402,9301,24067035,980
    600– 69939,6706,2304,8301,16051,880
    700– 79939,0107,5707,9901,61056,190
    800– 89930,3006,6107,8901,91046,710
    900– 99920,1004,7705,9801,62032,460
1,000– 1,19919,8904,9305,8702,05032,740
1,200– 1,3998,8102,2102,6201,19014,840
1,400– 1,5995,1001,2501,4807108,550
1,600– 1,7993,2108409805305,560
1,800– 1,9992,3106107004104,020
2,000– 2.9996,4301,6101,9201,33011,290
3,000– 3,9992,6006708006204,700
4,000– 4,9991,0142433032781,838
5,000– 5,999470110133134848
6,000– 6,999228516165405
7,000– 7,999121273236216
8,000– 8,99975162022133
9,000– 9,9995310121690
10,000–19,999101172030168
20,000 and over1123420
            Totals244,13041,51043,06014,800343,500

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 income groups up to and including the £700–£799 income group. There is also a smaller omission of potential exemptions in the 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 IncomeaNumber of Children (Under Sixteen Years)
0123456789 and overTotal
  £        £ 
Under 40016,33033041022090906050101017,610
    400– 49964,6603,1001,9201,270670370280100703072,470
    500– 59965,2906,7504,6702,8201,4207605202401105082,630
    600– 69968,85013,12011,4206,0503,1601,420780310120130105,360
    700– 79955,18015,07016,6309,7003,9501,63075040019090103,590
    800– 89936,75012,54015,2509,2803,9101,5007203601306080,500
    900– 99921,8308,83010,3806,7403,2201,2206502901306053,350
1,000–1,19922,1908,14010,5606,5703,1801,220530210709052,750
1,200–1,3999,7903,5704,5403,2201,4205001609040 23,330
1,400–1,5995,9401,9502,5701,6408203401107030 13,470
1,600–1,7993,5701,1801,6601,130600240602010 8,470
1,800–1,9992,5808301,110950360140902010 6,090
2,000–2,9997,3202,3703,1202,46092053017060 1016,960
3,000–3,9992,9509801,15095061017030 20 6,860
4,000–4,9991,26028846236618860286112,660
5,000 and over1,46231837833318169122322,760
          Totals385,96079,37086,22053,70024,70010,2604,9502,230940530648,860

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 621,140 children represented in the above figures, which therefore fail 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 £375 are not covered. There is, however, evidence which suggests that a 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.

The next table gives in respect of individual incomes particulars of taxable income and of tax assessed for the various assessable income categories in 1954–55 and the two preceding income years.

Amount of Assessable IncomeTaxable IncomeTax Assessed
1952–531953–541954–551952–531953–541954–55
    £              £ 
Under 4006,4101601601306040
    400– 49913,1703,8903,900780590470
    500– 59923,70010,4009,4701,8501,6301,190
    600– 69927,33016,08016,6102,4602,5602,130
    700– 79923,90017,37021,2902,4302,8202,830
    800– 89920,04015,84021,3502,2702,6302,850
    900– 99915,23012,61017,9201,8602,1502,450
1,000– 1,19922,42017,26024,2603,0803,1203,460
1,200– 1,39915,64012,34015,2102,5002,3902,300
1,400– 1,59912,75010,76011,5102,2502,2301,900
1,600– 1,7999,5508,2208,8001,8201,8001,540
1,800– 1,9997,6107,4107,5101,5601,7401,390
2,000– 2,99928,36027,43029,4807,0807,3706,640
3,000– 3,99914,76916,13018,5804,6685,3005,520
4,000– 4,9997,7478,5949,9152,9443,3483,619
5,000– 5,9993,9945,2275,8461,7202,2682,425
6,000– 6,9992,4713,3663,4181,1401,5541,532
7,000– 7,9991,5331,9272,1277459301,003
8,000– 8,9991,1241,4731,515570731737
9,000– 9,9998661,0601,206458539602
10,000–19,9992,4933,2223,1471,3601,7281,658
20,000–29,999393621439227348247
30,000–39,99919916434610094199
40,000 and over278161
                Totals261,710201,830234,01044,01048,09046,740

In 1953–54, there were substantial increases in the amount of exemptions allowed with the result that the amount of taxable income, despite rising incomes, was less than the corresponding figure for 1952–53 in every income group below £2,000. Since the exemptions were not altered in 1954–55, rising incomes alone influenced the position and there was a substantial rise of £32,180,000 in the total taxable income. As there were only 72,860 non-taxpayers compared with 576,000 taxpayers in 1954–55, it is evident that for the great majority of individuals any increase in assessable income means a corresponding increase in taxable income. The amount of tax assessed fell by £1,350,000 as a result of the introduction of a rebate from the tax assessed according to the basic rates.

Rates of Tax: Individuals.—For 1952–53 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 Jo a maximum rate of 12s., which was reached at incomes of £3,800. In 1953–54, the starting point was increased to 3s. in the £1, with the maximum rate retained at 12s. These rates 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 2 1/2 per cent for 1952–53. The new basic rates applied in 1953–54 without either increase or decrease. In 1954–55 there was a rebate of 20 per cent of the tax assessed, with a maximum rebate of £75.

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 £300 and also non-assessable income of £100. The principle of the application of the basic rates to the assessment is as follows:

 £s.d.
      £100 at 3s. Od. in the £1 =1500
plus £100 " 3s. 3d. " £1 =1650
plus £100 " 3s. 6d. " £1 =17100
plus £100 " 3s. 9d. " £1 =18150
      £400£67100

The effective rate for each £1 of income is found by dividing the tax as computed above by the number of pounds included in the income. In this instance, £67 10s. £ 400 = ££cdot168750. Therefore the tax, which is payable on the taxable income only, at the effective rates is £300 x ££cdot168750 which equals £50 12s. 6d. The inclusion of the £100 non-assessable income in determining the effective rate of tax has increased the amount of tax payable by £1 17s. 6d.

The total tax as calculated is then increased or decreased by the percentage ruling for the particular year.

Geographical Distribution.—The following table shows for the last three available income years the number of assessments and average assessable income for each of the fifteen district offices of the Inland Revenue Department. These districts arc indicated by the name of the town in which the district office is situated.

Income-tax DistrictNumber of AssessmentsAverage Assessable Income
1952–531953–541954–551952–531953–541954–55
 £££
Whangarei19,22019,88017,540775793850
Auckland124,900133,490135,560755762827
Hamilton76,66057,63057,450832871921
Tauranga26,08026,190786827
Napier36,30038,94039,1608719381,009
New Plymouth22,52024,03023,530842876925
Wanganui19,02020,25020,730870886940
Palmerston North28,78030,35030,810865897964
Wellington96,050105,030100,420772776856
Nelson16,53018,20016,300748782857
Christchurch67,94073,95073,470738766845
Greymouth12,11012,40011,690715738814
Timaru19,49020,98020,4908509521,057
Dunedin47,24050,80048,260780817897
Invercargill25,96028,54027,2808949391,062
                Totals612,720660,550648,860795819890

In 1954–55 for the first time the average assessable income exceeded £1,000 in three districts. These were Napier, Timaru, and Invercargill. These districts have heavy representations of sheep farmers who, as a class, have the highest average assessable incomes. Average incomes have not of course risen to the extent indicated by the averages given in the table, as the 1953–54 and 1954–55 averages are not comparable on account of the increase in the minimum income from £300 to £375.

The proportions of salary and wage earners to total population largely determined the district average income. It will be noticed that Auckland, Wellington, and Christchurch. three of the districts which include major urban centres, have averages which are well down in the order of magnitude.

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 960.

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.

The following table gives particulars of the number of companies and their aggregate assessable incomes for 1954–55 and the two preceding income years.

Amount of Assessable IncomeNumber of AssessmentsAssessable Income
1952–531953–541954–551952–531953–541954–55
          £       £   £(000)£(000)£(000)
            0– 992,1932,3432,462757981
        100– 1991,1641,1311,210168164173
        200– 2991,0061,0111,039247247256
        300– 399828854872289297304
        400– 499843817857375364384
        500– 599687808877374440477
        600– 699633591687409383444
        700– 799527543627395406468
        800– 899480542582408459494
        900– 999439446519416423493
    1,000– 1,9992,9183,1613,4384,1474,5444,924
    2,000– 2,9991,3771,5451,7893,3663,7724,385
    3,000– 3,9998379219842,8843,2023,384
    4,000– 4,9995655777362,5242,5743,297
    5,000– 5,9994094374922,2302,3912,682
    6,000– 6,9992853003281,8261,9432,113
    7,000– 7,9991902102481,4131,5661,852
    8,000– 8,9991421831871,2011,5481,584
    9,000– 9,9991271401701,2001,3331,609
  10,000– 19,9996186457158,5138,9929,984
  20,000– 29,9991972362644,8035,6936,447
  30,000– 39,9991121221243,8394,2064,297
  40,000– 49,9996468712,8443,0433,182
  50,000– 99,9991281401718,7669,65611,800
100,000– 199,99973777610,15710,37510,599
200,000– 299,99941222718,8125,3406,402
300,000– 399,99915145,0204,924
400,000-499,999893,4714,215
500,000 and over191814,99416,529
Current net loss3,0433,1823,469   
Assessable income before losses6879131,067   
                Totals20,61322,00724,12981,68196,924107,786

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 six income 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 1954–55 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.
£             £ £(000)£(000)£(000)£(000)£(000)£(000)
            0– 992,462121811,5631237
        100– 1991,210223173234152313
        200– 2991,039286256336 3519
        300– 399872342304383 4423
        400– 499857402384393 5528
        500– 599877509477806 7335
        600– 699687478444470 6834
        700– 799627490468471207335
        800– 899582514494499 8037
        900– 999519505493496118236
    1,000– 1,9993,4385,0654,9245,17320935367
    2,000– 2,9991,7894,4254,3854,567 1,016328
    3,000– 3,9999843,3983,3843,498 920253
    4,000– 4,9997363,3083,2973,334 1,045246
    5,000– 5,9994922,7192,6822,708 953201
    6,000– 6,9993282,1162,1132,170 839158
    7,000– 7,9992481,8571,8522,003 783139
    8,000– 8,9991871,5881,5841,592 689119
    9,000– 9,9991701,6091,6091,691 696124
  10,000– 19,99971510,0689,98410,371 4,330744
  20,000–29,9992646,4706,4477,119 2,802481
  30,000– 39,9991244,3054,2974,504 1,866319
  40,000– 49,999713,1823,1823,235 1,381235
  50,000– 99,99917111,80011,80012,237 5,127885
100,000–199,9997610,61010,59910,817 4,443760
200,000–299,999276,4026,4026,494 2,723463
300,000–399,999144,9244,9245,080 1,860302
400,000–499,99994,2154,2154,219 1,619245
500,000 and over1816,52916,52917,037 6,8011,200
Net loss3,469  3033,826  
Assessable income before losses1,067996 55   
Totals—1954–5524,129109,456107,786113,8563,89341,3827,834
1953–5422,00799,53296,924101,2113,59137,3907,086
1952–5320,61383,77381,68189,5634,11831,9965,975

Before 1953–54, proprietary income received from proprietary companies was included in the returnable income of these statistics. Dividends received from proprietary companies were omitted. From 1953–54, this position was reversed, proprietary income was omitted and proprietary dividends were included. It should be noted that although proprietary income has been dropped from the statistics, the amount of tax assessed is determined by the amount of proprietary income, if any. This may result in some apparent anomalies in these statistics—cases where the amount of tax assessed is greater than the amount which would normally be appropriate to the amount of income concerned.

Companies are classified by industry, the classification being identical with that used for individuals with the minor exception that community service —professional—do not form a separate group. Attention is drawn to the remarks on page 969 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 1954–55.

Industry GroupNumber of AssessmentsAssessable Income Before Losses*Assessable IncomeReturnable IncomeCurrent Net LossIncome Tax AssessedSocial Security Change

* This column represents assessable income plus losses which have been carried forward from previous years.

 £(000)£(000)£(000)£(000)£(000) 
Agriculture and livestock production8902,1932,1262,169197751160
Forestry, hunting, and fishing103208187192276314
Mining and quarrying1835635475518119940
Manufacturing—       
  Food, drink, tobacco91510,08710,02310,1532514,214751
  Apparel, textiles, and footwear8674,3784,2234,2851901,673315
  Metals and metal products1,7447,1587,0227,1033232,689526
  Other2,34615,54115,35115,5783706,1851,145
Construction1,6844,7404,6514,7045951,638348
Electricity, gas, water and sanitary services201,3651,3621,36217588103
Commerce—       
  Wholesale and retail trade8,64440,41439,82740,8061,04915,6252,983
  Other3,29315,58115,46719,5742235,281887
Transport, storage, and communication1,2813,6903,5943,7213641,304313
Community services2,1013,4793,3513,6031941,154245
Other5858555512174
              Totals—1954–5524,129109,456107,786113,8563,89341,3827,834
                            1953–5422,00799,53296,924101,2113,59137,3907,086
                            1952–5320,61383,77381,68189,5634,11831,9965,975

Rates of Tax: Companies.—For incomes received during the income year 1954–55 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. 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 pages 797–798.

The next table shows some additional data concerning companies which relate to the income year 1954–55.

£(000)
Industry GroupStocks at End of PeriodIncome FromSalaries and WagesInterest PaidRent PaidDepreciationGross Profit
Sales and ServicesInterestGross Rents
* Gross profit not normally available.
Agriculture and livestock production3,86111,35226422,6851941626886,302
Forestry, hunting, and fishing781,3724104452193496403
Mining and quarrying4179,00723364,264266103539*
Manufacturing—
  Food, drink, and tobacco34,697286,40616833827,4516715363,67238,469
  Apparel, textiles, and footwear16,64968,6795010817,3334376231,179113,376
  Metals and metal products18,75392,3457322120,2864355481,50319,380
  Other30,682160,29513943835,9451,0381,2066,78036,527
Construction11,81569,9705918920,9563032671,50612,136
Electricity, gas, water, and sanitary services49711,2594662,9692,600111,3225,810
Commerce—
  Wholesale and retail trade139,258833,4501,5611,33165,1322,4583,9475,918129,079
  Other46247,64723,4083,07414,2346,4024121,230*
Transport, storage, and communication63340,4717216814,3332302472,959*
Community services1,70437,68415265111,3222491,7601,0026,991
Other or undefined130864211214369127
Totals—1954–55259,6351,670,80225,7436,765237,48315,3079,89328,402268,600
1953-54220,6131,455,92522,6465,800203,35013,2898,59322,249240,529
1952–53229,5481,334,86120,8997,045180,64113,5787,60019,833265,313

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 should 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 publication does not reveal the individual industries where the gross profit is nil. Apart from "Mining and Quarrying", "Commerce, other" and "Transport, etc.", there are a number of industries included in "Services, community" which do not show gross profit.

The paid-up capital and shareholders' funds for 1954–55 are given in the two following tables.

Industry GroupNumber of AssessmentsAssessable Income*Dividends PaidShareholders' Funds
TotalPaid-up Capital
* Excluding proprietary income.
  £(000)£(000)£(000)£(000)
Agriculture and livestock production8902,12668714,4428,250
Forestry, hunting, and fishing103187632,9582,480
Mining and quarrying1835472153,9612,589
Manufacturing—
  Food, drink, and tobacco91510,0231,99561,51131,096
  Apparel, textiles, and footwear8674,2231,47923,56212,489
  Metals and metal products1,7447,0222,17430,39515,643
  Other2,34615,3514,89881,93650,663
Construction1,6844,6511,68615,4466,821
Electricity, gas, water, and sanitary services201,362608,6051,874
Commerce—
  Wholesale and retail trade8,64439,82712,098179,17486,844
  Other3,29315,4674,004122,90461,603
Transport, storage, and communication1,2813,5941,21021,62312,150
Community services2,1013,3511,34921,2837,509
Other or undefined585531482232
                Totals—1954–5524,129107,78631,949588,283300,043
                                1953–5422,00796,92427,343523,733268,471
                                1952–5320,61381,68122,926471,866248,004

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.

An analysis of companies by amount of paid-up capital for 1954–55 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' FundsDividends Paid
            £            ££(000)£(000)£(000) 
            Nil1,602 26,642205
                0–4991,3462955,574435
            500– 9991,9731,2616,761610
      1,000– 1,9994,4195,55019,6981,822
      2,000– 2,9993,2057,11519,6721,733
      3,000– 3,9992,2077,04115,5981,248
      4,000– 4,9991,4195,96312,534937
      5,000– 5,9991,5027,66817,0811,250
      6,000– 6,9999385,77611,522773
      7,000– 7,9995784,2008,066536
      8,000– 8,9994243,4736,629479
      9,000– 9,9993343,0965,394266
      10,000– 19,9992,13026,54251,0113,251
      20,000– 29,99977517,57332,5462,036
      30,000– 39,99932310,45618,1501,351
      40,000– 49,9991747,40414,671624
      50,000– 59,9991467,60614,229902
      60,000– 69,999784,8948,659630
      70,000–79,999684,9868,194571
      80,000– 89,999403,3485,596311
      90,000– 99,999242,2573,948259
    100,000– 199,99920125,71345,2852,931
    200,000– 299,9997617,51129,0991,169
    300,000– 399,9993912,98322,4071,136
    400,000– 499,999229,39814,5761,229
    500,000– 599,9992412,47724,4351,031
    600,000– 699,999106,4369,512362
    700,000– 799,999118,20814,043451
    800,000– 899,99932,4503,728110
    900,000–999,99965,6879,494765
1,000,000 and over3262,677103,5262,535
    Totals—1954–5524,129300,043588,28331,949
                    1953–5422,007268,471523,73327,343
                    1952–5320,613248,004471,86622,926

An increasing number of companies are now raising the paid-up capital to a sum more in keeping with the amount of capital required to finance transactions at present price levels. This is being done partly by the introduction of further capital and partly by the capitalization of some of the reserves created by the retention of profits.

An analysis by the type of company—i.e., private, public, overseas, etc.—is given in the three following tables, which present some of the principal data for the year 1954–55.

NEW ZEALAND PRIVATE COMPANIES
Industry GroupNumber of ReturnsAssessable IncomeIncome Tax and Social Security ChargeNet Business LossShareholders' FundsDividends Paid
Paid-up CapitalTotal
 £(000)£(000)£(000)£(000)£(000)(000)
Agriculture and livestock production8741,9798381947,58513,555663
Forestry, hunting, and fishing88149602052372949
Mining and quarrying158415174401,0101,631103
Manufacturing—
  Food, beverages, and tobacco5654,2802,0601239,71420,146907
  Textiles, wearing apparel, and made-up textiles8162,0979151895,54810,873804
Wood, paper, chemical products (including miscellaneous manufacturing)2,1048,3053,78526816,97035,3372,807
  Metals and metal products1,6805,4402,41629011,02221,6201,830
Construction1,6674,3031,8104746,20214,4321,638
Electricity, gas, water, and sanitary services49437671 
Commerce—
  Wholesale and retail8,03525,36911,36596951,480111,5138,975
  Other2,7272,08369611525,50439,6101,971
Transport, storage, and communication1,1462,3889753195,75311,428940
Services, community and business, recreation1,2972,3839661265,81810,5881,213
Unknown and not stated4852201222947931
            Totals21,20959,25026,0843,140147,395292,00921,935
NEW ZEALAND PRIVATE COMPANIES
Industry GroupNumber of ReturnsAssessable IncomeIncome Tax and Social Security ChargeNet Business LossShareholders' FundsDividends Paid
Paid-up CapitalTotal
 £(000)£(000)£(000)£(000)£(000)(000)
Agriculture and livestock production137938321737123
Forestry, hunting, and fishing15381771,9572,22914
Mining and quarrying2513265411,5792,330112
Manufacturing—
  Food, beverages, and tobacco3304,8922,4748416,46234,6801,052
  Textiles, wearing apparel, and made-up textiles472,1211,0726,87012,531675 
  Wood, paper, chemical products (including miscellaneous manufacturing)1946,4793,2689532,34944,1002,089
  Metals and metal products541,381701304,3718,206332
Construction12191966641468648
Electricity, gas, water, and sanitary services161,353686171,6378,53859
Commerce—
  Wholesale and retail27510,8495,4353929,57551,9402,598
  Other3155,9232,8063327,637.58,0781,925
Transport, storage, and communication1161,100591436,1749,297260
Services, community and business, recreation68497241251,6564,764129
Unknown and not stated       
            Totals1,48035,03517,490484130,898237,7509,313
Industry GroupNumber of ReturnsAssessable IncomeIncome Tax and Social Security ChargeNet Business LossShareholders' FundsDividends Paid
Paid-up CapitalTotal
 £(000)£(000)£(000)£(000)£(000)(000)
Agriculture and livestock production36835 4485161
Forestry, hunting, and fishing       
Mining and quarrying       
Manufacturing—
  Food, beverages, and tobacco20851431444,9206,68536
  Textiles, wearing apparel, and made-up textiles451171158 
  Wood, paper, chemical products (including miscellaneous manufacturing)4856827971,3442,4993
  Metals and metal products1020198325056912
Construction51578055205328 
Electricity, gas, water, and sanitary services       
Commerce—
  Wholesale and retail3343,6091,808415,78915,721525
  Other2517,4612,666758,46225,216108
Transport, storage, and communication1910651222389810
Services, community and business, recreation73647119243355,9317
Unknown and not stated1031 33 
            Totals1,44013,5015,64126921,75058,524701

Government departments which are liable for income tax have been classified as New Zealand public companies. In a small percentage of cases, precise information concerning the type of company was not available and there consequently may be a few instances of incorrect classifications.

Private companies are in an overwhelming majority from the viewpoint of numbers of companies. On average, they are much smaller than are public companies, but in the aggregate they employ a slightly larger amount of paid-up capital. Their shareholders' funds are also a rather higher percentage of the paid-up capital (199 per cent against 182 per cent for public companies). However, as shareholders' funds include advances from shareholders (£34,280,000), the bulk of which relate to private companies, it is evident that the relation of retained income to paid-up capital is practically identical for both types of companies. The earning power per unit of shareholders' funds employed is considerably higher in the case of private companies, since their assessable incomes total £59,250,000 against the £35,035.000 for public companies. This earning power is also reflected in the amount of dividends paid, which is more than twice that paid by public companies.

While on the subject of dividends paid, it should be pointed out that the disposable profits of the New Zealand branches of overseas companies are remitted to their overseas head offices and that these disposable profits are not included as dividends paid in New Zealand. Where the overseas company operates through a New Zealand subsidiary company, the New Zealand company is classified as either public or private and any dividends paid will be included in the statistics.

ASSETS OF COMPANIES.—A feature introduced for the 1953–54 income year was the collection of information on assets for a sample group of companies. The sample comprised a random selection of ten per cent of the number of companies, plus a complete coverage of those which were deemed to fall into a "large company" category.

The estimates for the various classes of assets are given in the table which appears hereunder, and which relates to the income year 1954–55. At present these estimates should be regarded as being only approximately correct. The figures show the position at the close of the income year. Estimates of the assets of clubs, associations, etc., which form part of the "community services" group, and the assets of the "other or undefined" group have not been included.

£(million)
Industry GroupLand and BuildingsOther Fixed AssetsInvestmentsClosing StocksOther Current AssetsTotal
Agriculture and livestock production10.742.061.683.862.9921.33
Forestry, hunting, and fishing0.732.91 0.081.004.72
Mining and quarrying1.047.260.440.424.8113.97
Manufacturing—      
  Food, drink, and tobacco25.1422.447.8334.7027.45117.56
  Apparel, textiles, and footwear4.956.621.5216.6510.9640.70
  Metals and metal products7.809.461.6318.7515.6053.24
  Other26.9838.448.8830.6827.04132.02
Construction3.878.342.2411.827.9034.17
Electricity, gas, water, and sanitary services0.82104.380.190.506.11112.00
Commerce—
  Wholesale and retail trade46.6529.7422.92139.26125.27363.84
  Other37.732.37416.670.46323.01780.24
Transport, storage and communication4.8713.581.940.6311.8032.82
Community services13.406.524.011.637.5633.12
            Totals—1954–55184.72254.12469.95259.44571.501,739.73
                        1953–54160.08227.76424.45220.56540.441,573.29

The 1953–54 totals given in the table above differ from those which appeared in the 1957 Year-Book. The estimate for the "forestry, hunting, and fishing" group was revised, with a consequent amendment to the grand totals.

Several points about the classification adopted should be noted. "Other current assets " was used to some extent as a residual class. It includes assets such as goodwill, establishment accounts, etc. Other nominal assets, such as accumulated losses and similar accounts, were excluded from the assets and deducted from shareholders' funds.

Where the balance sheet did not distinguish between land and buildings and other fixed assets, the whole amount was included in the class deemed the greatest part in value of the assets.

Loans secured by mortgages of property were treated as investments. Loans and advances by banks on overdraft, by finance companies for hire purchase credit, etc., and others of a like nature were classed as "other current assets". This is particularly important in the "commerce-other" industry group which includes banks, insurance companies, holding companies, government lending institutions, etc.

It has been previously mentioned that the term "companies" includes Government departments which are liable to pay income tax, and that the capital loan liabilities of these departments are not included in either paid-up capital or shareholders' funds. These capital loan liabilities are, however, represented by investments which appear in the assets. This should be remembered if the ratios of shareholders' funds to total assets are being examined.

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.

CENSUS STATISTICS OF INCOMES.—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. Data for the 1956 Census are given in the Latest Statistical Information at the front of this Year-Book.

Chapter 36. SECTION 36—PRICES

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 many additional items subsequently decontrolled outdated the Positive List issued on 14 March 1955, and it was replaced by a new Positive List gazetted on 14 March 1957. Since then further items have been exempted and one, namely honey, has been recontrolled.

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.

A further amendment to the Act in October 1956 transferred from the Price Tribunal to the Minister the function of exempting goods or services from price fixation.

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. Other Advisory Committees have since been established to deal with the pricing problems of particular industries, and representatives of the business groups concerned meet under the chairmanship of a senior officer of the Department of Industries and Commerce.

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, the maximum price of motor spirits is fixed by Order in Council (on the recommendation of the Minister of Industries and Commerce) under the Motor Spirits (Regulation of Prices) Act 1933; while, in certain circumstances, the Tenancy Act 1955 provides for the fixation, on application, of rents by a Magistrate's Court or by a Rents Officer of the Department of Labour. 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 1958) 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 Department of Statistics. 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 (or, strictly, unit values) 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. These 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 November 1957 of a number of the commodities which enter into the Consumers' Price Index are shown hereunder.

ItemUnitPrice
 s.d.
Milk, fresh, deliveredPint04 3/4
Butterlb.20
Cheese, mildlb.20
Bread28 oz. loaf07 1/2
Flour25 lb. bag67 3/1
Oatmeal5 lb. bag50
Ricelb.011 3/4
Sugar6 lb.410 1/2
Honeylb. carton24
Eggs (in carton)Dozen50
Tealb. packet70
Cocoa1/2 lb. packet29 3/4
Coffee, pure ground, looselb80 3/4
Jam, raspberry28 oz. tin51 3/4
Salt5 lb. bag21 1/4
Baked beans16 oz. tin110
Tomato sauce10 oz. bottle22 1/2
Tomato soup11 oz. tin12 1/4
Milk powder, full cream21/2 lb. tin79 1/2
Aerated water10 oz. bottle07
Chocolate3 oz. tablet13
Ice-creamPint block20
Appleslb.13 1/2
Orangeslb.12
Cabbagelb.09
Carrotslb.07 3/4
Peaches, canned30 oz. tin42 3/4
Peas, fresh, frozen12 oz. packet20
Onionslb.06
Potatoes, main croplb.06
Beef—
    Sirloinlb.32 1/4
    Prime ribslb.30
    Rump steaklb.36 3/4
Mutton—
    Leglb.210 1/2
    Forequarterlb.19 3/4
    Chopslb.28 3/4
Pork—   
    Leglb.35
    Chopslb.35 3/4
Sausages, beeflb.15 1/2
Ham, cooked, slicedlb.72 1/4
Bacon, sidelb.42 1/4
Fish—
    Tarakihi, filletslb.30
    Groper (hapuku), pieceslb.26
    Sole or flounder, guttedlb.30
    Smoked fishlb.26
    Herrings, canned14 oz. tin20 1/2
Coal, domestic1/4 ton450
Firewood1/28 cord63 1/2
Coke1 cwt.104 3/4
Gas (cooking)1,600 cu. ft.188
Electric current, excluding water heating140 kWh112 1/4
Electric current, including water heating380 kWh2511 3/4
Men's—
    Suit, ready madeEach3602
    Sports coat, ready madeEach2208
    Raincoat, woollen gabardineEach2858
    Overcoat, oilskinEach1839
    Trousers—
        WorkingPair250
        SportsPair968
    Shirt—
        NegligeEach371
        WorkingEach1811
    Singlet—
        All woolEach296
        Cotton, athleticEach810
    Pullover, all woolEach341
    Pyjamas, flannelettePair262
    Socks, wool and nylonPair102
    Hat, fur feltEach496
    Bathing costume, all woolEach331
    HandkerchiefEach39
Boys'—
    Sports coat, ready madeEach8511
    Trousers, shorts, tweedPair266
    Raincoat, proofed cottonEach1035
    Shirt, grey flannelEach261
    Pullover, all woolEach385
    Three-quarter hose, schoolPair97 1/2
    School capEach138
Women's—
    Costume, coat and skirt, ready madeEach3685
    Raincoat, woollen gabardineEach30711
    Skirt, worstedEach1188
    Cardigan, all woolEach678
    Smock, cotton printEach298
    Stockings—
        Fully fashioned, nylonPair119
        Pure silk and rayonPair109
    Underslip, nylonEach576
    Vest, silk and woolEach131
    Panties, interlockPair83
    Nightdress, locknitEach318
    Nightdress, winceyetteEach341
    CorsetsEach766
    BrassiereEach189
Girls'—
    Gym frock, sergeEach746
    Blazer, all woolEach525
    Blouse, cotton, long sleevesEach2110
    Pyjamas, winceyettePair236
    Bloomers, interlockPair510 3/4
    Stockings, lislePair107
    Ankle sox, cotton and rayonPair31 1/4
    Beret, schoolEach97
Infants'—
    Nursery squaresDoz.491
    Baby wool1 oz.31
Piece goods—
    Clydella, plainYard92
    Velours coatingYard280
    Figure printYard64
    Opaque nylonYard148
    RayonYard79
Wool, hand knitting1 oz.26
Drapery—
    Blankets, singlePair14610
    Sheets, singlePair450
    Towel, turkishEach85 1/2
    Tea towel, linenEach46 3/4
Men's—
    Boots, heavyPair672
    Shoes—
        HeavyPair541
        LightPair835
    SandshoesPair117
    Slippers, leatherPair361
    Shoe repairsPair196
Boys'—
    Football bootsPair440
    Shoes, heavyPair426
    SandalsPair285
    Gum bootsPair311
    Shoe repairsPair156
Women's—
    Shoes—
        HeavyPair689
        LightPair71 0
    Slippers, feltPair196
    Shoe repairsPair129
Girls'—
    Shoes—
        SchoolPair409
        LightPair3910
        Shoe repairsPair76
Infants'—
    Shoes, glace kidPair225
Tallboy, four-drawerEach2040
Bedstead and rails 4 ft. 6 in.Each2015
Mattress—
    4 ft. 6 in. wireEach11410
    4 ft. 6 in. kapokEach3019
    4 ft. 6 in. foam rubberEach5320
Pillow, 2 lb. kapokEach189
Child's cotEach1509
Dining—
    Table, drawleafEach2595
    ChairEach1026
Sideboard, leadlightEach3968
Kitchen—
    TableEach835
    ChairEach260
Suite, upholsteredEach1,260 0
Linoleum, inlaidYard282
Carpet, Axminster, 27 inYard470
Feltex, marbled, 5 ft.Yard497
Hammer, carpenter'sEach242
Spade, garden,Each326
Fork, gardenEach283
Axe, 4 lb.Each329
Broom, hair and fibreEach143
Mop, white cottonEach89
Scrubbing brushEach34 1/2
Bucket, galvanized, 12 in.Each911
Electric light bulb, 60 wattEach19
Pressure cooker, 10 1/4 pintEach1519
Saucepan, aluminium, 8 in.Each210
Piedish, enamel, 11 in.Each80
Cup and saucer, tea size1/2 doz.200
Plate, 10 in.1/2 doz.214
Preserving jars, glass, quart sizeDoz.146
Knives, table, stainless1/2 doz.444
Forks, table, E.P.N.S. A11/2 doz.3611
Doormat, coir, 24 in. x 18 in.Each119
Soap—
    Laundry2.8 lb. bar33
    PowderStandard pkt20
DetergentPacket18
Starch1 lb. packet21
Kerosene26 oz. bottle14
Boot polishMedium tin010 1/2
Toilet paperRoll10
Household cleaning pasteTin23
Lunch wrapRoll24
Torch battery, dry cellEach011
RefrigeratorEach1,990 0
Washing machineEach1,272 6
Vacuum cleanerEach4976
Radio receiving setEach3780
Electric—
    RadiatorEach1050
    JugEach550
    ToasterEach726
    IronEach676
    RazorEach1576
Lawnmower, hand typeEach1426
Sewing machineEach1,070 0
Bicycle—
    Men's, sports roadsterEach4610
    TireEach170
    TubeEach711
PerambulatorEach2876
Paint, lead, final coat1 gallon tin570
Wallpaper, EnglishRoll80
Tennis—
    RacquetEach550
    BallsPair63
Meccano setEach3811
Teddy bearEach496
Attache case, fibreEach160
Watch—
    Wristlet, men'sEach1800
    Repair feeEach250
Alarm clockEach276
Cinema admissionSeat30 1/2
Football—
    AdmissionSeat16
    SubscriptionEach150
Golf green feesEach30
Library subscriptionBook08
Radio licenceEach300
Dry cleaning, men's suitSuit96
Laundering, sheetEach010
Hair cut—
    MenEach30
    WomenEach30
Hair set, womenEach66
Permanent waveEach350
SpectaclesPair950
Dental—
    ExtractionEach176
    FillingEach126
    DenturesSet4800
Medical (excess over social security)—
    Consultation feeEach50
    Specialist feeEach136
    Private, general hospitalDay256
Union dues (annual subscription)—
    EngineersMale400
    WorkersMale520
    Railway servantsMale350
    Shop assistantsMale280
    Shop assistantsFemale180
    Clerical workersMale300
    Clerical workersFemale216
Face powder, block typeEach36
Vanishing creamJar36
LipstickEach411
Baby talcum powderTin23
Bobby pinsCard of 1003
ToothbrushEach111
ToothpasteLarge tube25
Toilet soapMedium cake07
Hair creamJar311
Razor bladesPacket of 1032
AspirinPacket of 2715
Antiseptic healing creamTin36
DisinfectantBottle23
Popular bookEach33
DictionaryEach66
Writing padEach16
EnvelopesPacket of 20010
Camera filmEach29
Developing and printing filmPer film310
Tobacco2 oz.38
CigarettesPacket of 1010
PetrolGallon32

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 generally to the month of September 1957, 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

ItemUnitNew Zealand (Wellington) September 1957Australia (Sydney) September 1957South Africa (Cape Town) September 1957Great Britain (London) September 1957Canada (Dominion Average) September 1957United States of America (Average Fifty-six Large Cities) July 1957

* 1 3/4 lb.

† Not available.

‡ At price for 3 lb. lots.

§ September Quarter, 1957.

|| Cooking quality.

¶ Sirloin.

** Loose.

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.

 s.d.s.d.s.d.s.d.s.d.s.d.
Bread2 1b.07 1/210 1/4010011*21 1/228 1/2
Flour25 1b.67 3/4121099132 1/4148 3/4196 1/2
Tea1b.70410 3/476 3/47091 1/4
Coffeelb.80 3/4**56 3/471174 1/473 1/4
Sugarlb.010080506 3/401109 1/2
Milk (fresh)Quart09 1/216 1/21114 1/218 1/421 1/4
Butterlb.2037 3/4343250 3/453 1/4
Cheeselb.2028 3/429214641 1/2
Baconlb.42 1/456 1/24035 1/28459 3/4
Pruneslb.29 3/424 3/42625 1/4
Canned peaches30 oz. tin4333 3/431 1/236 3/426
Beef—rib roastlb.211 3/425§292858 3/454 3/4
Mutton—leg211 1/419 1/4§324051152 1/4 
Pork—leglb.3540 1/4§2742
chopslb.35 3/440 3/4§2114462 1/267 1/2
Margarinelb.17 1/2||22 1/21927 1/421 3/4

COMPARISON OF WHOLESALE PRICES OF CERTAIN COMMODITIES

ItemUnitNew Zealand, September 1957South Africa, August 1957Great Britain, September 1957Canada, September 1957United States of America, September 1957

* Not available.

† Sheet.

‡ Price excluding tax (including tax the price ranges from Is. 6 1/2d. to ls. 10 3/4d., according to the State).

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.

 £s.d.£s.d.£s.d.£s.d.£s.d.
WheatBush.01290161 1/2091101210170 1/4
OatsBush.077 1/2*072 3/4068 1/2059 3/4
FlourTon141243313103500435842189
SugarCwt.424229308388 1/2372
Butterlb.0110 1/2030 1/2029 1/4048 1/4045 1/2
Cheeselb.018 1/40210 1/2016 1/4*029 1/2
Motor spiritsGal.0211 3/40210 1/20311 1/2018 3/4010 1/4
Copper (electrolytic)Cwt.251702911991211912210116
LeadCwt.893101664911418115120

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 had been current up to 1949, while pages 998–1003 of the same volume provide a brief description of the original Consumers' Price Index initiated in that year. For fuller details, however, reference should be made to the 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". This index has now been completely revised, a full description of the revision being published as a special supplement to the November 1956 issue of the Monthly Abstract of Statistics under the title "Consumers' Price Index. 1955 Revision". Extracts from that publication were also reprinted as an Appendix to the 1957 Year-Book (pages 1214–37), and a brief account of the revised index is given below. For the complete regimen however (i.e., the schedule of items comprised with comparative weights) as well as for a continuation up to 1955 of the historical survey of retail prices, direct reference should be made to the 1956 special supplement.

Revision of Consumers' Price Index.—The first revision of the Consumers' Price Index (which had been inaugurated in the first quarter of 1949) was commenced in 1955 and completed in 1956.

During the progress of the revision interim figures of the old series on the base first quarter of 1949 were published in the Monthly Abstract of Statistics for the first three quarters of 1956, but these were later superseded by the figures of the revised index. A comparison of the old and new indices for the overlapping period is shown on pages 68–70 of the special supplement referred to above.

The weight base of the revised index is the year ended 31 March 1953 and the comparison base the calendar year 1955. To obtain a long-term linked series, index numbers of the first quarter 1949 base and earlier series have been converted to the 1955 base.

A brief summary of the salient features of the revised index is as follows:

  1. The basic formula used is that of Laspeyres in its aggregative form.

  2. The index relates primarily to urban dwellers living as families.

  3. About 85 per cent of personal expenditure is now covered, compared with about 65 per cent before revision.

  4. The number of items regularly priced has been increased from 313 to 375 by discontinuing 39 of the old items and adding 101 new items.

  5. The revision base is: 1952–53 consumption costed as 1955 prices.

  6. (f) Sources of group and commodity weights were (1) The Census of Distribution 1952–53; (2) an analysis of household budgets collected privately in 1952–53; and (3) an extension of regularly compiled statistics of consumable goods.

  7. Prices are collected by field officers in twenty-three towns.

  8. A scientific sample of rented houses and flats (other than those owned by the State) has been selected for the collection of statistics of house and flat rentals.

  9. Special techniques are employed for costs of owner-occupiers, for prices of seasonal fruits and vegetables, and for transport charges.

  10. Index numbers are compiled for all food and its sub-groups at monthly intervals, and for all other groups and sub-groups at quarterly intervals.

  11. Individual town index numbers are published for twenty-one towns showing each town both on a common base and on its own base.

  12. To provide a continuous series the pre-revision all-groups index has been recalculated on a 1955 base.

The actual work of the revision broadly comprised, first a review of the list of commodities and services to be priced periodically, and secondly a general redetermination of the index weights based on an exhaustive survey of the spending habits of the community. The resultant regimen, as it is called, determines the unchanging pattern of spending, the changing cost of which the index aims to measure.

In the course of the revision decisions had to be made, not only as to the weight base and the comparison base to be adopted, but also as to the mathematical and technical methods to be used in calculating the index numbers; the types of individuals or families whose spending the index envisages (having regard to race, location, family composition, and income grouping); the inclusion of luxury consumption; the treatment of capital spending, savings, and taxation; the localities and individual stores to be visited for pricing; and the method of publication of the results and of linking on earlier series. Final decisions as to the items to be included could only be based on the analysis of family spending which constituted the major task of the revision, in the light of the requirements:

  1. That each approved field of spending should be adequately but not excessively covered;

  2. That items previously included which had fallen into comparative disuse should be eliminated;

  3. That suitable inclusions should be made of new items or items of growing importance.

Where considered desirable the base weight assigned to selected items was broadened to allow for expenditure on kindred items not selected for pricing.

The mechanics of the actual index number calculations are essentially:

  1. (1) Reduction of the base weights, initially expenditures per head per annum, to fixed quantities by division by base prices. If the weights have been broadened so also will be the fixed quantities.

  2. (2) Recosting of these fixed quantities each time that prices are collected.

  3. (3) Comparison of the current aggregate expenditure with the corresponding base aggregate expenditure which is arbitrarily equated to 1000.

Included in the 101 new items in the revised index are beer and expenses of private motoring (i.e., depreciation, petrol, lubrication, tires, repairs, licensing, and insurance). The inclusion of these two items brings New Zealand into line with other countries having a similarly high standard of living.

Costs of the following items are still, for various reasons, outside the scope of the index: Hotel accommodation, licensed and private; long distance rail and bus transport; all sea and air transport; legal fees, commissions on sales etc.; gambling; church and charitable donations; private and boarding school fees; music, elocution, dancing, etc., tuition fees; instalment credit interest and similar financial charges; personal accident insurance; funeral directors' charges; photographers' charges; wages of domestic servants, jobbing gardeners, etc.; fees to chiropractors, herbalists, chiropodists, etc.; sundry licences (marriage, dog, etc.); direct taxation; savings, including amortisations of capital debts, investments, and life insurance; spirits and wine; jewellery and florists' goods; durable goods other than replacements; private holiday transport; cost of removal to another locality.

In addition to the all-groups index, group and sub-group indices are calculated and published for six groups and fifteen sub-groups instead of five groups and eleven sub-groups as previously.

The population weights used for combining the index numbers of separate towns are derived from population estimates at 1 April 1955.

For the fruits, vegetables, and eggs sub-group, the technique employed in the original Consumers' Price Index has been substantially continued. This allows the items in season to be changed from month to month, a correct relation being maintained between the various crops in season in any one month, and yet permits a series of monthly index numbers to be calculated which are comparable among themselves.

A new method of collecting rent information has been brought into use, application being now made to a scientifically selected sample of property owners instead of to house agents.

House owners' costs are in the main treated as previously, but simplified methods of calculating depreciation and return on capital have been introduced. It is now considered that the average owner-occupied property changes hands every ten years, and so ten-year-moving averages are used for building costs and interest rates.

In general the index assumes a constant pattern of expenditure for all towns, whether large cities or provincial centres, whether with warm or cool climates, etc. In transportation, however, the revised index compromises by setting up a constant base expenditure on transport for all towns, but allowing a varying dissection between the various modes of transport from town to town, according to local circumstances. (For instance, suburban rail fares have a heavy weight in Wellington but are entirely omitted in Nelson.) Consequently there are no true "each on all" indices for transportation, but "each on each" indices can be used to produce "all on all" indices. ("Each on all" means an Index for an individual town which uses as base the average for all towns, etc.)

An efficient system of price collection being already in operation, no innovations in that regard appear in the revised index. The method of personal visits to stores by field officers commenced in 1948 has proved highly successful in obtaining correct basic data. Nevertheless, to improve the price coverage, the duties of price collectors have been widened by the addition to their tours of supplementary stores. In particular, the quarterly collection of prices of clothing, footwear, furniture, hardware, and cleaning supplies has been extended to cover also Gisborne, Wanganui, and Timaru, thus embracing all the New Zealand cities.

The table immediately following provides a long-term linked series of retail price (all groups) index numbers combining the present Consumers' Price Index with its predecessors back to 1907, the whole being placed on a uniform base, i.e., the calendar year 1955.

RETAIL PRICES INDEX NUMBERS (ALL GROUPS) LONG TERM LINKED SERIES

Base: Calendar Year 1955 (= 1000)

YearIndex Number
1907308
1908309
1909305
1910308
1911306
1912315
1913322
1914332
1915357
1916382
1917415
1918449
1919482
1920538
1921546
1922503
1923507
1924520
1925530
1926533
1927529
1928531
1929530
1930518
1931479
1932443
1933420
1934427
1935442
1936456
1937488
1938502
1939523
1940547
1941567
1942586
1943599
1944610
1945618
1946623
1947643
1948694
1949706
1950745
1951828
1952892
1953933
1954976
19551000
19561035
19571057

The following diagram shows the movement in retail prices index numbers over the period 1907–57, the data being drawn from the figures given in the preceding table (long-term linked series) and those given on page 993.

Consumers' Price Index Numbers.—The tables which now follow relate to the revised Consumers' Price Index only; accordingly the comparison base is no longer the first quarter of 1949 but the calendar year 1955. The title "Consumers' Price Index" is, however, retained unamended despite the revision.

The first table supplies all-groups index numbers and index numbers of individual groups and sub-groups for twenty-one towns combined in respect of the calendar years 1955–57 and of each of the four quarters of 1956 and 1957. The revised group and sub-group weights are also shown as percentages of the base expenditure.

CONSUMERS' PRICE INDEX.—QUARTERLY INDEX NUMBERS (ALL GROUPS), TWENTY-ONE TOWNS COMBINED

Base: Weighted average twenty-one towns, 1955 (= 1000)

FoodHousingHousehold OperationApparelTransportationMiscellaneousAll Groups
Groups—
  Percentages of base expenditure32.2615.4010.6015.438.7617.55100.00
Calendar Year—
  19551000100010001000100010001000
  1956105710551013999101610301035
  19571054111810381005107610551057
Quarter ended—
  1956—31 March1015103210071001100910091013
                30 June104310481011998101510231027
                30 September1092106110161000101510421049
                31 December107810791018998102610461049
  1957—31 March102510981033998106910471041
                30 June1057111210351001107710561056
                30 September1066112410381009107610581063
                31 December1069113810441011108310611068
Meat and FishFruits, Vegetables, and EggsOther FoodsRentHome OwnershipFuel and LightHome FurnishingDomestic Supplies and ServicesClothingFootwearPublic TransportPrivate TransportTobacco and AlcoholOther SuppliesOther ServicesAll Groups
Sub-groups— 
  Percentages of base expenditure8.248.0315.994.6610.743.204.702.7013.062.372.486.288.534.904.12100.00
Calendar Year—
  19551000100010001000100010001000100010001000100010001000100010001000
  195699512311002104810581015101010169921039100710201010103510661035
  1957105411051029109811261042102210599921078112210581014106411311057
Quarter Ended—
  1956—
        31 March10081045100410241036101010031012996103099910131000101810161013
        30 June9861191997104510501012100810149911039100810171013103110341027
        30 September98913751002105110651017101410179931039100810181013103911041049
        31 December 1957—99513121003107310821022101510209891048101310311013105111081049 
        31 March99210911010108911011039101510569881054111310521013105111101041
        30 June102811411029109711181043101610579881076111310631014106411321056
        30 September108010981042110311331043102310599951090112210581014107011361063
        31 December111510881035110311531044103310659961092114010601014107111471068

In the table which follows, monthly figures where available are shown for all index towns combined in respect to the years 1955–57 and each of the fifteen months ended December 1957.

CONSUMERS' PRICE INDEX.—MONTHLY INDEX NUMBERS (FOOD), TWENTY-ONE TOWNS COMBINED

Base: Weighted average twenty-one towns, 1955 (= 1000)

Meat and FishFruits, Vegetables, and EggsOther FoodsAll Food
Calendar Year—
  19551000100010001000
  1956995123110021057
  19571054110510291054
Month—
  1956—October999136010021090
              November993137710031093
              December992119810061050
  1957—January990111710071030
              February992108310101024
              March994107510121023
              April1007113110171043
              May1026112810291053
              June1052116410431075
              July1054112410431066
              August1072108810451063
              September1113108310371068
              October1121107310351067
              November1117109910351072
              December1108109310341067

The following tables distinguish individual towns and groupings of towns, but the sub-group indices are omitted; the periods covered are the calendar years 1956 and 1957 and the separate quarters of 1957. Attention is called however to the two-fold method of presentation: in the first place current prices in each town are compared with prices in the same town during the base period; in the second current prices in each town are compared with average prices over all the twenty-one towns in the base period.

CONSUMERS' PRICE INDEX.—ANNUAL INDEX NUMBERS FOR INDIVIDUAL TOWNS AND GROUPINGS

Base: Weighted average each town, and grouping, separately, 1955 (= 1000)

Calendar Year 1956Calendar Year 1957
FoodHousingHousehold OperationApparelTransportationMiscellaneousAll GroupsFoodHousingHousehold OperationApparelTransportationMiscellaneousAll Groups
Auckland1059105810189881015103111,035105011231039992112310561058
Wellington-Hutt10551060101710001022103110361067112810441005106110521062
Christchurch10601044100610101012102810341058109310261014105910571053
Dunedin10631047101310131010102910371052111510431009105210611056
        Four chief centres1059105410519981015103010351056111810381001108710561058
Hamilton1054105110119941017103110331057112710511020107010561062
Gisborne10621071101310061016103110391051113810411025105110521059
Napier–Hastings10621054100810081018103110371051111110491006105210521053
New Plymouth10491067102110051017103110361044114010491010106510521057
Wanganui10451055101410121016103110331052112010351021105810521056
Palmerston North1054106210159981018103110351053112210361001105610521054
Nelson1054 1054 100810111016102810341061111810241006106710571057
Timaru1057107110119971020102810361051112910371009106310581057
Invercargill10421037101010041018102910281043109010161013105110611046
        Nine provincial towns10531057101210031017103010341051112110401012106010541056
Whangarei10581062990988102110311032104311131008992105410561045
Tauranga1054104710039941021103110321063111410281020106910561060
Rotorua106010639979941016103110351055110810341020105310561055
Masterton10431058102110001020103110321053110310241005105410521050
Blenheim1050106199110111017102810321049115010061006105110571055
Greymouth10461045100910101016102810311042108310371012104910571046
Ashburton1061105310069971020102810341048112710291009105810571054
Oamaru10711064101110131020102910421048112310401009105510611055
        Eight other towns10551056100310001019103010331050111010261009105510561052
        Twenty-one towns combined1057105510139991016103010351054111810381005107610551057

CONSUMERS' PRICE INDEX.—ANNUAL INDEX NUMBERS FOR INDIVIDUAL TOWNS AND GROUPINGS

Base: Weighted average twenty-one town, 1955 (= 1000)

Calendar Year 1956Calendar Year 1957
FoodHousingHousehold OperationApparelTransportationMiscellaneousAll GroupsFoodHousingHousehold OperationApparelTransportationMiscellaneousAll Groups
Auckland10591077102310191015103310431049114310451023112310581067
Wellington-Hutt106911091010985102210291045108111811037990106110501070
Christchurch10511044994981101210341027104910931014984105910631045
Dunedin104010309491012101010171018102910989771008105210481063
        Four chief centres10571073100610021015103010371055113710291055108710561060
Hamilton10791007985969101710331028108310801025994107010581057
Gisborne10591019112810041016102910431049108311591023105110501062
Napier-Hastings1018990105710051018102910181007104411011002105210501033
New Plymouth103710371025994101710291026103211091054999106510501047
Wanganui1061983103610051016102910281067104410581014105810501051
Palmerston North107410451036995101810291041107411041057999105610501059
Nelson103810511014995101610341028104511151030990106710641051
Timaru1044103998410131020103210281038109510091026106310621048
Invercargill10571044103810151018101610361057109710451024105110491055
        Nine provincial towns1053102110299971017102910301052108310571005106010531051
Whangarei10881041101110191021103310471073109110291023105410581059
Tauranga1068106293596910211033102710771130959994106910581056
Rotorua108210431037969101610331039107610871075994105310581060
Masterton105710381064985102010291035106710821068990105410501053
Blenheim103010241020995101710341022103011101035990105110631044
Greymouth10431018985985101610341020103910561013986104910631036
Ashburton1064994108810131020103410391051106411131026105810641058
Oamaru10511000104710121020101610281029105510771008105510481041
        Eight other towns1063103110189911019103210331058108410411000105510581051
        Twenty-one towns combined1057105510139991016103010351054111810381005107610551057

CONSUMERS' PRICE INDEX.—QUARTERLY INDEX NUMBERSFOR INDIVIDUAL TOWNS AND GROUPINGS

Base: Weighted average each town, and grouping, separately, 1955 (= 1000)

Quarter Ended 31 March 1957Quarter Ended 30 June 1957
FoodHousingHousehold OperationApparelTransportationMiscellaneousAll GroupsFoodHousingHousehold OperationApparelTransportationMiscellaneousAll Groups
Auckland102711091039986112010511047105311171037989112610561058
Wellington-Hutt1025110710399951057104310411066112010421000106310531060
Christchurch10341069102110081047104710381064108510231009105510541052
Dunedin10211084103010051031104210341057111310341007103810641055
        Four chief centres102710981034995107910471042105911111035998108610561057
Hamilton10351097104810061065105110461066112310491016107510561064
Gisborne10111112102810171043104310371062112610381021105210541060
Napier-Hastings10181091103910081046104310371045110410501001105610581050
New Plymouth10251115104710001055104410431037112710491007106410541053
Wanganui10231102103510131053104310401053111710351021106210531056
Palmerston North1017110010279961048104310351058111810321000105810531055
Nelson1019110010199961062104710371070111610221001107010541059
Timaru10301110103110021057104710431054111910361008106710551056
Invercargill10141075101010101044104210301024109110151007105510641040
        Nine provincial towns10221099103410051053104510391052111510381008106210551055
Whangarei103411011002986105010511038105111141004989105910561047
Tauranga10381088102610061061105110441079109910251016107410561063
Rotorua10301085102610061041105110391062109510291016105010561054
Masterton1013108510279951044104310311050109810201000106010531048
Blenheim1009113410039961045104710351062114710041001105510541057
Greymouth10071086102110051043104710311044107810231006105210541044
Ashburton10271110102210021052104710401048112210291008106210541053
Oamaru10331103103210051049104210421058111510391007106010641057
        Eight other towns10241095102010001048104810371056110410211005105810561052
        Twenty-one towns combined1025109810339981069104710411057111210351001107710561056
Quarter Ended 30 September 1957Quarter Ended 31 December 1957
FoodHousingHousehold OperationApparelTransportationMiscellaneousAll GroupsFoodHousingHousehold OperationApparelTransportationMiscellaneousAll Groups
Auckland105811261037998112310581063106011401044995112410591066
Wellington-Hutt10841137104510101060105510701090114910511015106210551076
Christchurch10651102102710161067105710581068111610341022106910711066
Dunedin10631126105110111034106810621070113610561013110410701073
        Four chief centres10671124103810061086105810641070113710451007109510611069
Hamilton10671132105010261070105810671060115710571031107210591070
Gisborne10661148104810281048105510671067116410491034106110551071
Napier-Hastings10721117105110071051105510611068113210571006105310551063
New Plymouth10501149104810131069105510621065117110521020107110551071
Wanganui10681120103410261058105510621062114210381025106010551064
Palmerston North10721133103810061057105510631065113810451004106010551062
Nelson10741124102510141067105710641080113310291013106910711070
Timaru10601130104010111063105810611062115910431016106510701069
Invercargill10471088101910151050106910491086110710221018105410701066
        Nine provincial towns10641126104110161060105710621067114410451018106310601067
Whangarei104611111009998105510581047104011271016995105210581048
Tauranga10751124102710261070105810671063114610351031107210591068
Rotorua10681116103710261060105810631059113410441031106210591065
Masterton10711106102310101055105510571077112210281015105710551064
Blenheim10651153100710141051105710611062116610101013105310711065
Greymouth10531078104910161049105710511063109210561020105110701060
Ashburton10601131103210111058105710591058114610331016106010711064
Oamaru10521126104310111055106810591051114710481013105810691063
        Eight other towns10611113102910141056105810571059113010351017105810631061
        Twenty-one towns combined10661124103810091076105810631069113810441011108310611068

CONSUMERS' PRICE INDEX.—QUARTERLY INDEX NUMBERSFOR INDIVIDUAL TOWNS AND GROUPINGS

Base: Weighted average twenty-one towns, 1955 (= 1000)

Quarter Ended 31 March 1957Quarter Ended 30 June 1957
FoodHousingHousehold OperationApparelTransportationMiscellaneousAll GroupsFoodHousingHousehold OperationApparelTransportationMiscellaneousAll Groups
Auckland10261129104410171120105310551053113710421020112610581067
Wellington-Hutt103911581032980105710411049108011731035985106310521068
Christchurch102510691009979104710531030105510851011979105510601044
Dunedin99810679651004103110301015103410969691006103810511036
        Four chief centres1026111710259991079104810441058113110261002108610561059
Hamilton105910501022981106510531041109210751023991107510581059
Gisborne10091058114510141043104110401060107111561019105210521063
Napier-Hastings976102510901004104610411018100110371102997105610521030
New Plymouth101310841051988105510421033102510961054996106410521043
Wanganui10381027105710061053104110351069104110581014106210521051
Palmerston North103710821048993104810411040107910991054997105810521060
Nelson100510961025981106210531031105511131028985107110601052
Timaru10171076100310181057105110341041108510081024106710591047
Invercargill10281082103810221044103010381037109810441018105510521048
        Nine provincial towns1022106210519991053104410341052107810561002106210541050
Whangarei10641079102310171050105310521081109210251020105910581061
Tauranga1051110395798110611053103910931114957991107410581058
Rotorua1051106510669,811104110531043108410751070991105010581059
Masterton102610641071980104410411034106410771064985106010521051
Blenheim99010951032981104510531025104211071033985105510601047
Greymouth1004105899797910431053102010411051998981105210601033
Ashburton10291047110510181052105410451051105911121024106210601057
Oamaru10131037106810041049103010271038104810761006106010511043
        Eight other towns103210691034991104810501036106510781036996105810571051
        Twenty-one towns combined1025109810339981069104710411057111210351001107710561056
Quarter Ended 30 September 1957Quarter Ended 31 December 1957
FoodHousingHousehold OperationApparelTransportationMiscellaneousAll GroupsFoodHousingHousehold OperationApparelTransportationMiscellaneousAll Groups
Auckland10581146104210301123106010721059116010501026112410611075
Wellington-Hutt1099119010389941060105310791105120310441000106210531084
Christchurch105611021015987106710631050105911161022992106910771057
Dunedin103911099841010103410561042104611189891012110410571053
        Four chief centres10661144102910101086105810661069115710361011109510621071
Hamilton10931085102410001070106010621086110810311005107210611065
Gisborne10641093116810261048105310701064110811691031106110531075
Napier-Hastings10281050110210041051105310421024106411091003105310531044
New Plymouth10371117105310021069105410511052113910561008107110541061
Wanganui10841044105610191058105310571077106410601018106010531059
Palmerston North10931115106010031057105310691086111910661001106010531068
Nelson105811201032998106710641057106411291035998106910771064
Timaru10471096101210271063106210521049112410141032106510751060
Invercargill10611095104810261050105610581101111410501029105410571075
        Nine provincial towns10651089105810091060105610571068110610631011106310581062
Whangarei10761089103010301055106010611070110510381026105210611062
Tauranga108911409581000107010601062107611639651005107210611064
Rotorua10901096107810001060106010681081111410851005106210611069
Masterton1085108510669941055105310611092110110711000105710531067
Blenheim104511131036998105110631051104211261039998105310771055
Greymouth105010511024990104910631040105910641031994105110771049
Ashburton1063106811161027105810631063106010821117103210601077 1068 
Oamaru10321058108010101055105610441031107810851012105810571048
        Eight other towns10691087104410051056106010571068110410501008105810651061
        Twenty-one towns combined10661124103810091076105810631069113810441011108310611068

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.

Revisions of the Wholesale Prices Index were effected in 1926 and 1937, each involving a review of the list of commodities included and a reconstruction of the weighting pattern. The Wholesale Prices Index is again being revised; a full account of this revision will be published later. A detailed account of the currently-published index is given in the Statistical Report on Prices, etc., for 1937. The base period is still 1926–30 (= 1000).

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
19512,315
19522,572
19532,546
19542,523
19552,551
19562,647
19572,679

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)

Group1914193919531954195519561957
1. Foodstuffs, etc., of vegetable origin—
            A. Agricultural produce64213283,1133,0393,1505,0423,099
            B. Fresh fruits and vegetables76410552,3342,2792,4152,4852,470
            C. Milled agricultural products64477610291089108712121224
            D. Other foods and groceries of vegetable origin61311892,5842,6402,6512,6412,717
            A–D. Four subgroups combined63411242,3552,3822,4162,7682,475
2. Textile manufactures5358152,5912,3792,3512,3242,337
3. Wood and wood products58211842,6092,6882,7752,8373,096
4. Animal products—
            A. Meats94110112,6942,8432,7942,4832,877
            B. Semi-manufactured animal products (not foods)8386912,5482,6312,3992,3152,529
            C. Leather67611292,5482,5382,5182,5032,408
            D. Other foods and groceries of animal origin78596515421713171317191753
            A–D. Four subgroups combined8439922,1972,3362,3032,1642,349
5. Metals and their products91912773,2463,0693,2133,4083,522
6. Non-metallic minerals and their products—       
            A. Mineral oils116412352,075198919892,0562,160
            B. Coal53910852,7353,0073,0203,0683,224
            C. Other non-metallic minerals and their products60010232,4992,5052,4912,6282,624
            A–C. Three subgroups combined82111402,4102,4832,4862,5562,664
7. Chemicals and manures9548612,2562,1482,1332,1472,212
                All groups combined74810712,5462,5232,5512,6472,679

The respective group weights (i.e., percentages 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; 4A, 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 percent; 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 increased by 163 per cent up to 1952, and that for locally produced commodities by 109 per cent. By 1956, however, these respective percentage increases over 1939 had become 149 and 145, and by 1957, 156 and 143.

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
1947155717741823160516451653136818591649
194816511952196818701773189215012,0891837
194916121945199218641746189215322,0441825
195017442,0932,1582,04918842,07317442,1681987
19512,0222,4572,4482,4052,1972,4142,0302,5282,315
19522,2102,6142,8072,7212,3732,7402,2002,8502,572
19532,3732,4422,7882,6352,4012,6692,3282,7092,546
19542,4252,4582,7572,5482,4392,5942,4372,5872,523
19552,3992,4402,8342,6192,4162,6672,4432,6332,551
19562,6052,4702,9432,6682,5512,7292,5752,7012,647
19572,5352,5393,0572,7252,5372,7992,5552,7712,679

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 recently 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 had 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, to 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 subsisted. 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 reporting agencies 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 the Department of Statistics.

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 1947–57 and for years ending 30 June from 1947 to 1957.

EXPORT PRICES—INDEX NUMBERS

Base: Export Prices During 1952 (= 100)
PeriodButterCheeseAll Dairy ProduceMeatWoolMeat, Wool, and By-productsAll Pastoral and Dairy Produce
Calendar Year—
  194775797777526870
  194883878576667677
  194980798071707575
  195086868677147119107
  195194929386178144125
  1952100100100100100100100
  1953106108106109120115112
  1954108105106117126120115
  1955111111108133121122117
  195691143102130120121114
  1957848484135132129112
Year ended 30 June—       
  194771767372466164      
  194882888477647577      
  194979818071657274      
  195083848374958886      
  195192899180218160134      
  195297959794103103100      
  1953104105104104116110108      
  1954108109107112124118114      
  195510596100128122121113      
  1956108134111132115119115      
  19578711994130136129116      
              
PeriodAll FoodsAil Non-foodsAll Groups
To United KingdomTo Other CountriesTo All Countries

* Not available.

Calendar Year—
  1947****69.8
  1948****77.5
  1949****75.0
  19508214097125105.9
  195190173112149124.3
  1952100100100100100.0
  1953106118110113111.2
  1954109123115114114.7
  1955116117120108116.4
  1956112116116109113.5
  1957102125110114111.5
Year ended 30 June—
  1947****64.3
  1948****77.4
  1949****74.3
  19507995839185.8
  195186200118165133.1
  19529510898106100.5
  1953104113107109107.6
  1954108122113115113.8
  1955110118115109113.1
  1956118121120106115.4
  1957107128115117115.6
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.

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 1957.

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
1955117116
1956114114
1957112111

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 1955 index was the second highest on record. The year 1956, however, saw a slight fall to a figure below that for 1954. 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 She 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 was constructed using the items of the more detailed 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 was similarly 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.

When the Standard International Trade Classification was brought into use in 1955 it became necessary to draw up a revised list of items for use in computing the index. Various items in the classification previously in use could not be precisely matched with items in the Standard International Trade Classification. The revised series of items now used, however, represents approximately the same proportion of the total imports.

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 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 rate?, 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, to the extent that it exceeded the rise in commodity prices, was not 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 Number
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
1955273
1956284
1957301

TERMS OF TRADE.—The table below shows, for the years 1947 to 1956, 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. For some years the terms of trade series was expressed on the base 1936–38 (= 100). A change was made in the method of expressing this series in 1955, and the last available complete calendar year is now used as the base, so that in the following table the base is 1956 (= 100). Following the completion of the calculations for 1957 the base will be changed to 1957 (= 100), and so on. If export prices rise by a greater percentage, or fall by a lesser percentage, than import prices, either of these relative movements is favourable to New Zealand, enabling more imports to be purchased for the same quantity of exports. For 1957 figures see Latest Statistical Information at the front of this volume.

INDEX NUMBERS OF PRICES AND TERMS OF TRADE OF EXPORT COMMODITIES—BASE: 1956 (= 100)

YearImport PricesButterCheeseMeatWoolAll Exports
Export PriceTerms of TradeExport PriceTerms of TradeExport PriceTerms of TradeExport PriceTerms of TradeExport PriceTerms of Trade
194779831055570597544566177
194881911126175587255686884
194974881195574557459806689
195081951176074597312215193115
19519510310864676669149157110116
19521031101077068777584828885
1953971171217577838610110498101
19549611912473769094105109101105
1955971231277779102105101104103106
1956100100100100100100100100100100100

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 Department of Statistics for some considerable time, but 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-three 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 (= 1OO0).

Shares in industrial companies and in finance, etc., companies have been computed separately and the annual index numbers from 1926 to 1957 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
195115662,0271796
1952127316971485
1953121617471482
195413582,0491703
195514492,1661807
195614702,2611865
195716462,4212,034

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)

Calendar YearFrozen MeatWoollensGasTimberMineralsMiscellaneous (Industrial)All Industrial Groups
19472,0672,0058941650126214321444
19482,09219558751542132114041430
19492,00918908691478132513091368
19502,12519339341792140014631499
19512,31119738182,210147615041566
1952172616656661694125412481273
1953186416346241387113511961216
19542,22719435981488128613191358
19552,5002,0356931810128714621449
19562,80916719641648118214311470
19573,85616059141632126914701646
        
Calendar YearAll Industrial GroupsBanksInsuranceLoan and AgencyMiscellaneous (Other)All Finance, etc., GroupsAll Groups Combined
19471444128418761729194016971570
19481430117117701715189316091520
19491368107917451709186815661467
1950149912202,0122,1742,03217951647
1951156612512,3502,5872,2632,0271796
19521273102919722,058196716971485
1953121610392,0802,091197117471482
1954135812522,3832,6822,2582,0491703
1955144912232,5692,9642,3732,1661807
1956147011852,9942,8432,1162,2611865
1957164613453,1893,2412,0912,4212,034
NOTE.—Index numbers in these tables are comparable vertically but not horizontally.

Monthly index numbers of share prices for selected years (including the latest three years) are given in the following table, the base being 1938 (= 1000).

Month193219351939194519491953195519561957
Industrial Group.

* Interpolated.

January6681086956124013951178140214381535
February6321075954124713771162141014511524
March6211071938125213631162140414441515
April6181103941126713551165142414381570
May6301097968127013581185144214511616
June6461112948127613421195145914591674
July6691132958130513461226147814831718
August7011106939132113511248150814821737
September738109O927132113641263147814951719
October7181111959131513721282147215011715
November69911231004130013811268145914861717
December*66211171022130514101264144715111717
Finance, etc., Groups
January86511369471315158016392,1352,2352,260
February82411019421325156216462,1392,2682,297
March82311079331334153516512,1162,2462,307
April81511369211355152916752,1332,2632,412
May80911259461376157516962,1362,3122,465
June81211269341401154817072,1672,3222,485
July86911399501425154817602,2152,3242,562
August90111559411432156617812,2292,2462,501
September92011179271414156718062,1652,2232,470
October89710999491404157418322,1712,2332,454
November87510979741502158418842,1762,2222,431
December*81810929781511162518902,2052,2502,414
All Groups
January7771114951128114871408176818361897
February7381094947129014701404177518591910
March7321091935129714491407176018451911
April7261121930131514421420177818511991
May7281113956132814661441178918822,040
June7381120940134514451451181318912,080
July7791136954137114471493184619042,140
August8111133940138214591515186918642,119
September8381105927137214661535182218592,095
October8171105953136414731557182218672,084
November7961109987140114831576181818542,074
December*7481103998140815181577182618712,066

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 have in most cases been 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 1957.

YearIndustrial GroupsFinance, etc., GroupsAll Groups
* The respective base percentage yields were: Industrial groups, 4.918; finance, etc., groups, 4.215; and all groups, 4.540.
1929110410911097
1930127412771276
1931134714341395
1932123412781258
1933881890886
1934806777790
1935749813784
1936823860843
1937886884885
19381000*1000*1000*
1939104210671055
194099710321016
194199110161005
1942943991969
1943735819781
1944698754729
1945676714697
1946632697664
1947657698677
1948680725703
1949698753726
1950663693678
1951678676677
1952778890834
1953878925901
1954840850845
1955828894861
1956868960914
1957845927886

Monthly index numbers of yields on base: average for each group, 1938 (= 1000), are given hereunder for each month of the years 1955 to 1957.

MonthIndustrial GroupsFinance, etc., GroupsAll Groups
195519561957195519561957195519561957
*Interpolated.
January830846862874908973852877918
February830862869878913963854887916
March847864860895925958871894909
April843867859889945928866906894
May841857861888943901864900881
June829879828874979897852929862
July824866799857978877841922838
August797875799871991896834933848
September813873820911993916862933868
October816875825919982938867929882
November827883822939995938883939880
December*841873834923939935882928885

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: 1955 (= 1000), with the exception of those of import and export prices which are on the base: 1955 (= 100).

YearBase: 1955 (= 1O0)Base: 1955 (= 1000)
Import PricesExport PricesWholesale PricesRetail PricesShare Prices (All Groups)
Pastoral and Dairy ProduceAll GroupsLocally Produced CommoditiesImported CommoditiesAll GroupsFoodAll Groups
1926463636421407413455533613
1927443636406383392435529594
1928414039412374390445531615
1929413838412370387449530644
1930403030396364377432518557
1931372223349356353375479448
1932352021328354344344443426
1933362021323374354325420496
1934362526332371356343427582
1935352425359372367370442615
1936352829368372370386456585
1937373334396403401424488592
1938373031404407406439502553
1939383030431412420466523527
1940433535441487468477547553
1941483536466547514489567554
1942533637488600555500586559
1943583838493662593503599650
1944614040505684611511610708
1945624344515694621510618745
1946704748523692623511623822
1947836060560706646543643869
1948846667614793720613694841
1949776464627776715630706812
1950849291714823779692745911
195199107107831960907796828994
1952108868690110821008876892822
195310296969531029998929933820
19541009999998983989977976942
1955100100100100010001000100010001000
19561029898105410261038105710351032
19571089696104610521050105410571126

A further comparative table, now of March year index numbers of various price and wage rates series from the year ended 31 March 1937 onwards, is presented below.

Year Ended 31 MarchBase: Calendar Year 1955 (= 1000)
Wholesale PricesRetail PricesWage RatesShare Prices (All Groups)
Locally Produced CommoditiesImported CommoditiesAll GroupsFoodAll GroupsNominalEffective
1937375375376395462381825581
1938401409406432493409830588
1939408406407443505426844541
1940436423428472528432818537
1941444508483478550449816549
1942475553522493570460807551
1943490618566501589485823581
1944500671602505602496824669
1945505686612510612502820712
1946514697623511620550887766
1947532685623513624566907838
1948576732668565659590895867
1949620792722617698624894831
1950634780721635709669944827
1951754848809718763721945946
19528561005944822851813955954
195390810771008889901852946803
19549681013995944945922976847
19551005983993985983973990966
1956998100610041007100510029971011
19571052103510421059104210339911040

Chapter 37. SECTION 37—WAGE RATES AND HOURS OF LABOUR

Table of Contents

WAGE RATES.—Wage rates are to be distinguished from rates of earnings which include additions by way of overtime and bonus payments. Wage rates themselves may be either minimum rates or actual rates and on either basis may be calculated as weekly rates or hourly rates, etc. Basically all these are nominal rates, which, when corrected for price changes, yield effective rates. An age-sex classification shows rates for adult males, adult females, juvenile males, and juvenile females separately. This Section deals firstly with nominal minimum weekly wage rates for each of the age-sex classes mentioned, together with nominal minimum hourly wage rates for adult males and effective minimum weekly wage rates for adult males and adult females, all in the form of index numbers; then with selected minimum wage rates in shillings and pence weekly from each age-sex group; then with statistics of rates of earnings; and finally with index numbers of average weekly hours of labour for adult males and adult females. There is no complete coverage of actual wage rates.

Minimum Wage Rates.—The material used by the Department of Statistics 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. The rates specified in these awards and orders are minimum rates; they take into account neither overtime nor ruling rates which may be above the prescribed minima. 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.

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.

Revision of Index Numbers.—A revision of the index numbers of wage rates was completed in 1955. For the new indices the calendar year 1954 was adopted as the expression base, and the average wage rates for this period were equated to 1000. The series superseded were based on the quinquennium 1926-30.

The purpose of this revision was threefold:

  1. To establish a currently representative weighting pattern.

  2. To provide a homogeneous system of occupation, industry, and industrial group weights for ease of calculating the index numbers. Assembly into any desired grouping of occupations is also facilitated.

  3. To reclassify the designations of occupations to bring them into line with descriptions currently used in awards and in orders of wage-fixing tribunals.

As far as possible the weighting pattern has been based on information obtained from the Census of 1951, but supplementary data were obtained from the statistics of Industrial Production, the half-yearly surveys of employment published by the Department of Labour in the Labour and Employment Gazette, figures of union membership published in the parliamentary paper (H. 11), the Census of Distribution 1953, and other special material and surveys.

The fourteen industrial groups of the series superseded have been retained, new industries having been incorporated into the appropriate existing group. The series are still predominantly indices of wage rates of manual workers, such occupations as clerical and office workers, professional, technical and related workers, managers, officials, and administrators, and most service workers being excluded. Besides all primary and secondary industries the following distributive trades and services are however still included:

  1. Retailing of meat, groceries, softgoods, and coal and firewood.

  2. Provision of accommodation, meals, and personal services.

  3. Transport industries.

As previously, four series of wage-rates index numbers have been compiled; these comprise indices for adult males, adult females, juvenile males, and juvenile females. The adult male index alone covers the fourteen industrial groups and the revised weights for these industrial groups are as follows.

Industrial GroupGroup Weight
Provision of—
    Food, drink, etc.1,244
    Clothing, footwear, and textiles439
    Building and construction1,629
    Power, heat, and light241
    Transport by water and air611
    Transport by land927
    Accommodation, meals, and personal service354
Working in or on—
    Wood, wicker, seagrass, etc.818
    Metal1,255
    Stone, clay, glass, chemicals, etc.358
    Paper, printing, etc.220
    Skins, leather, etc.63
    Mines and quarries274
    The land1,567
    All groups10,000

These group weights represent the sum of the weights assigned to the occupations within each industry which form the industrial group as listed.

A full exposition of the revision, together with details of the weighting, can be found in the appendix to the Report on Prices, Wages, and Labour Statistics for the year 1954.

Wage Rates of Adult Male Workers.—Index numbers of annual averages of nominal weekly wage rates of adult males over the period 1914-57 are given in the following table. This "long-term linked series" has been obtained by combining the successive series and converting the whole to the base of the new index, which is the weighted average of weekly wage rates for adult males in 1954 (= 1000).

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT MALES), ALL INDUSTRIAL GROUPS
Base: 1954 (= 1000)
YearIndex Number
1914253
1915263
1916273
1917289
1918303
1919329
1920371
1921402
1922389
1923375
1924378
1925387
1926393
1927401
1928413
1929414
1930414
1931383
1932351
1933339
1934341
1935349
1936386
1937421
1938440
1939447
1940460
1941476
1942497
1943513
1944518
1945562
1946583
1947606
1948646
1949682
1950729
1951829
1952871
1953929
19541000
19551035
19561055
19571104

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 Pound
Class 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 underlying statutory and judicial changes have been briefly surveyed in previous issues of the Year-Book, the period 1919-42 being covered on pages 636-637 of the 1947-49 issue and the period 1942-56 on pages 988-990 of the 1957 Year-Book. In this connection attention is also called to the distinctions between the "basic wage", the "minimum wage", "standard rates of wages", and "general orders" which are elaborated in Section 38c of this Year-Book.

During recent years, general orders of the Court of Arbitration have been issued on 19 November 1953, 28 October 1954, and 26 October 1956, successively increasing all award rates as follows: from 15 September 1953 by 10 per cent on the first £12 weekly in the case of adult males, £9 weekly in the case of adult females, and £7 weekly in the case of junior workers; from 18 November 1954 by revoking the 1953 order but substituting an increase of 13 per cent for that of 10 per cent with similar limitations; and from 19 November 1956 by revoking the 1954 order but substituting an increase of 18 per cent for that of 13 per cent with amended limitations, the remuneration in each week exceeding £13 in the case of adult males. £9 15s. in the case of adult females, and £7 10s. in the case of junior workers being excluded from the scope of the order. Special provisions apply in certain cases; for instance, where new awards which were issued shortly after the 1953 general order incorporated the 10 per cent increase, the 1954 order produced an increase of 2.73 per cent and the 1956 order of approximately 4.425 per cent applied cumulatively. In general the maximum increases on September 1953 rates granted by the 1956 order were approximately £2 6s. 10d. weekly for adult males, £1 15s. 1d. weekly for adult females, and £1 7s. weekly for junior workers. The wage rates prescribed in the last standard rates pronouncement and effective from 1 September 1952 have by the 1956 general order been virtually raised to the following levels; skilled workers, 5s. 10.8d. per hour; semi-skilled workers, 5s. 2.54d. to 5s. 6.08d. per hour; and unskilled workers, 5s. 0.77d. per hour.

The next table shows the index numbers of nominal weekly wage rates of adult males for each industrial group and for all groups combined for the years 1955-57. The base in this instance is the New Zealand weighted average wage rate for all groups combined, 1954 (= 1000).

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT MALES)
Base: All groups combined, 1954 (= 1000)
Industrial GroupCalendar Year1957: At—
19551956195731 March30 June30 Sept.31 Dec.
NOTE.—The index numbers in this table are comparable both vertically and horizontally.
Provision of—
    Food, drink, etc.1091111811681163116411661185
    Clothing, footwear, and textiles1023104610921086109110971101
    Building and construction991100510571057105710571066
    Power, heat, and light95898610341033103310331036
    Transport by water and air1212124313031303130313031303
    Transport by land1032105911061103110811081119
    Accommodation, meals, and personal service999100710521049105110511083
Working in or on—
    Wood, wicker, seagrass, etc.1045106611211121112111211122
    Metal1093111911681168116811681168
    Stone, clay, glass, chemicals, etc.981100310501044104410551062
    Paper, printing, etc.1108113011881188118811881188
    Skins, leather, etc.998101410551054105410561056
    Mines and quarries1011105611291119112911291129
    The land (farming pursuits)950952991982982995995
All groups combined1035105511041101110211061112

In the groups "accommodation, meals, and personal service", and "transport by water and air", the estimated value of board and lodging, and in the "working on the land" group, the value of rations as well as the estimated value of board and lodging are, 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 and air" 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 and air 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, 1954 (= 1000), the heavy ruled vertical line indicating the commencement of the new series.

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (ADULT MALES)
Base: Each group separately, 1954 (= 1000)
Industrial Group1914193919531954195519561957
Provision of—
    Food, drink, etc.2574889321000105210781126
    Clothing, footwear, and textiles2464549351000103410571104
    Building and construction2744729341000103010451099
    Power, heat, and light2664839301000103310631115
    Transport by water and air2374409081000104010671118
    Transport by land2564639291000104210691116
    Accommodation, meals, and personal service2824609221000103810471094
Working in or on—
    Wood, wicker, seagrass, etc.2534709311000103010511105
    Metal2744759271000103310581104
    Stone, clay, glass, chemicals, etc.2524869291000104010631113
    Paper, printing, etc.2874729291000104110621117
    Skins, leather, etc.2624879301000103010481090
    Mines and quarries2684509201000103410801155
    The land (farming pursuits)2263739351000102310241066
All groups combined2534479291000103510551104

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.

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 1037-1041. 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 of the first table is the New Zealand average hourly wage rate (computed as described after the two following tables) for all groups combined, 1954 (= 1000).

HOURLY WAGE-RATES INDEX NUMBERS (ADULT MALES)
Base: All groups combined, 1954 (= 1000)
Industrial Group1954195519561957
Provision of—
    Food, drink, etc.1024107711041153
    Clothing, footwear, and textiles977101010331078
    Building and construction9509799921044
    Power, heat, and light9169469741020
    Transport by water and air1108115211821238
    Transport by land979101910461093
    Accommodation, meals, and personal service9509869951038
Working in or on—
    Wood, wicker, seagrass, etc.1002103210531107
    Metal1045107911051153
    Stone, clay, glass, chemicals, etc.9329699901036
    Paper, printing, etc.1051109411161174
    Skins, leather, etc.95698510021042
    Mines and quarries1038107311211200
All groups combined1000103710601111

The next table shows the movement in individual groups. The base is the New Zealand average hourly wage rate for each group individually, 1954 (= 1000), the heavy ruled vertical line indicating the commencement of the new series.

HOURLY WAGE-RATES INDEX NUMBERS (ADULT MALES)
Base: Each group separately, 1954 (= 1000)
Industrial Group1914193919531954195519561957
Provision of—
    Food, drink, etc.1964489321000105210781126
    Clothing, footwear, and textiles2134439351000103410571104
    Building and construction2414739341000103010451099
    Power, heat, and light2214819301000103310631114
    Transport by water and air1884188941000104010671118
    Transport by land2134439281000104210691117
    Accommodation, meals, and personal service1854479221000103810671093
Working in or on—
    Wood, wicker, seagrass, etc.2204719311000103010511105
    Metal2364759271000103310581103
    Stone, clay, glass, chemicals, etc.2124839291000104010631112
    Paper, printing, etc.2614739291000104110621117
    Skins, leather, etc.2184689301000103010471090
    Mines and quarries2184159201000103410801156
All groups combined2174559271000103710601111

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. Although only twenty-one occupations are taken into consideration in the case of women workers, these occupations normally cover a large proportion of the total women in industry—more than sufficient to constitute a representative sample for measuring movements in wages.

The following table shows index numbers of women's wage rates on base: New Zealand all-groups weighted average, 1954 (= 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, 1954 (= 1000)
Industrial Group1954195519561957
Provision of—
    Food, drink, etc.909938960998
    Clothing, footwear, and textiles981101910371088
    Accommodation, meals, and personal service1083112711381190
Working in paper, printing, etc.9199619881045
All groups combined1000103910561106

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, 1954 (= 1000), the heavy ruled vertical line indicating the commencement of the new series. As with the similar table relating to male wage rates (p. 1016), 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, 1954 (= 1000)
Industrial Group1914193919531954195519561957
Provision of—
    Food, drink, etc.1533759351000103310561099
    Clothing, footwear, and textiles1923729341000103910581109
    Accommodation, meals, and personal service2754419211000104010501098
Working in paper, printing, etc.1993768091000104610751137
All groups combined2133909241000103910561106

Weekly Wage Rates: All Adult Workers.—A series of index numbers has been computed on the base, 1954 (= 1000) for all adult workers. In general this has followed the index for adult males, although for some years after 1945 there were signs of increasing divergence as female wage rates made on the whole 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: 1954 (= 1000)
YearIndex
1943507
1944511
1945556
1946579
1947602
1948644
1949682
1950729
1951828
1952869
1953929
19541000
19551036
19561055
19571105

Wage Rates of Juvenile Workers.—Index numbers of wages rates of juveniles, male and female, are compiled for each calendar year. 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-six occupations representing twelve out of the fourteen industrial groups are included in the case of juvenile males, and five 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 respective bases are the New Zealand average weekly wage rates for each industrial group, 1954 (= 1000), the heavy ruled vertical line indicating the commencement of the new series.

NOMINAL WEEKLY WAGE-RATES INDEX NUMBERS (JUVENILE WORKERS)
Base: Each group and each sex separately, 1954 (= 1000)
Industrial Group1914193919531954195519561957
* No provision made in awards for juvenile females.c
Juvenile Males
Provision of—
    Food, drink, etc.2154079281000105410891147
    Clothing, footwear, and textiles1733299351000103510571112
    Building and construction1773219361000103310471115
    Transport by land and air2554859181000104710771125
    Accommodation, meals, and personal service1683399311000103210551111
Working in or on—
    Wood, wicker, seagrass, etc.1763619311000102610491120
    Metal1463619231000103010581115
    Stone, clay, glass, chemicals, etc.1924879251000103910841172
    Paper, printing, etc.1842959301000103810611117
    Skins, leather, etc.2664319171000103910621123
    Mines and quarries2644689561000102111331265
    The land (farming pursuits)1903409351000102510271050
All industrial groups1843549321000103210511099
Juvenile Females
Provision of—
    Food, drink, etc.1443749351000103110551095
    Clothing, footwear, and textiles1823869331000104110591116
Working in paper, printing, etc.*3959291000102411041179
All industrial groups1803859331000103910611118

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-rates index numbers for juvenile males now tend to move in sympathy with the index numbers of male adult wage rates. In the above table horizontal comparisons are valid, but vertical comparisons merely show in which groups the greater or smaller movements have occurred.

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 (both series of index numbers having first been set on a common base) and multiplying the result 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 1947-57. 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
1947659606571920866
1948711646624909878
1949723682674943932
1950764729727954952
1951848829817978963
1952914871852953932
1953956929924972967
195410001000100010001000
195510241035103910111015
1956106110551056994995
195710831104110610191021

The continuous series of retail prices index numbers required for the foregoing table has been obtained by linking the revised consumers' price index to the earlier series and converting the whole to the base: calendar year 1954 (= 1000).

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 1014). Nor do the retail prices index numbers take cognizance of all classes of household expenditure; income tax, charitable and other gifts, sea and air travel, domestic help, etc., 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.

AVERAGE RATES OF WAGES.—The following table shows the New Zealand minimum weekly wage rates in various occupations for the years 1914, 1939, and 1953-57. 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 1958 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
1914193919531954195519561957
s.d.s.d.s.d.s.d.s.d.s.d.s.d.

* Not available

NOTE.—The following perquisites (as assessed for statistical purposes) as at 31 March 1957 should be added to the listed occupations: dairy-farm workers, 36s. per week for board and lodging; general farm workers, ploughmen, shepherds, and youths (eighteen years of age) employed on agricultural and dairy (mixed) farms, 39s. 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), 50s. 10d. per week as value of board and lodging; and hotel first cooks and waiters, female cooks, housemaids, and waitresses, 44s. 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.

Adult Males
Bakers—
    Journeymen5501150205422510232023782482
    Labourers480950173619010196120182108
Butchers—
    First shopmen726123221922411247825062646
    Second shopmen626110820402245230623322465
Butter-factory employees—
    Churning and buttermaking: Others450900175419210215122092306
Flourmilling—
    Kilnmen48099419262189224823032404
    Assistant smuttermen480914183420882143219112296
    Rollermen560103420762353241724732580
Meat freezing—
    Slaughtermen, per 100 sheep276450903983105510651117
    Workers not otherwise specified540113821002310239224692578
Meat preserving—
    Boners62013202500274028210289630410
    Others596110021002310239224872597
    Sausage-casing making: Workers not otherwise specified588117421682384246925432656
Aerated water and cordial making—
    Cordialmakers5899610182120152061121292244
    Others450883173619111197220352147
    Brewing: Others477945189120902204220423811
Tailors—
    Journeymen5391012200022002299229923911
    Stock cutters (factory)550926200022002260229923911
    Footwear manufacturing workers526918200022002260234624410
Woollen mills—
    Spinners5101034203422382299235524510
    Others4669341818199102053210112203
Building—
    Bricklayers685115021262335240824082518
    Carpenters and joiners643112620682268233723652481
    Plasterers679114720972303240024002555
    Plumbers6601100210102315243024302595
    Builders' labourers526934188102079214021402248
    General labourers5269341717188919310194102074
Sawmilling—
    Sawyers5301126214723612456246112639
    Tailers-out439968195521502231122542412
    Yardmen, head5581100210023102404241102584
    Workers not specified510950191821010220222112369
    Boatbuilding: Shipwrights6281266212623312393245425510
Metal works, etc.—
    Boilermakers, journeymen6281100204222472309237424710
    Iron and brass moulders647110020262266235623562509
    Tinsmiths, journeymen628110020422247237024132533
    Engineering fitters, etc.6471100206822712371024362541
    Electrical wiremen6110110520892292238723992585
    Motor mechanics64811002126232112438249425911
Printing—
    Linotype (day)740115021262366246924692636
    Letterpress machinist (day)650107620422274237423742538
Skin and leather workers—
    Curriers580105019422137221422512350
    All other workers49690017181881019510200020810
Mineral and stone workers—
Flanger and moulder5311108419402146222322412381
    All other workers46995017531944202020352166
Mining (coal)—
Surface: Tippers53791319711217922711228102676
    Miners (on day wages, per shift)1142010423466479479533
    Truckers551197619212114214321432400
    Quarrymen52894217751951200520142109
Agricultural and pastoral workers—
    General farm workers26445014001520156015601616
    Threshing-mill: Other workers, per hour132849 1/45354 3/454 3/457 1/2
    Ploughmen30446314001520156015601616
    Shearers (per 100 sheep shorn)200286616680726720680
    Shepherds31252614001520156015601616
    Wool pressers300846221102458262226042458
    Dairy-farm workers23052617001850190019001900
Railways—
    Engine drivers, average third and sixth years750120022212444261826182839
    Firemen, average second and ninth years600102112018221102339233925211
    Guards, average first and third years6301139212112370250525052713
Tramways—
    Drivers536101319262119217622602360
    Conductors (after six months)47795718502036209121762272
Shipping and cargo working—
Assistant stewards, first grade25872418582043215721572310
    Assistant stewards, second grade18870018242007212321232271
    Chief cooks608106102293252226410264102826
    Second cooks37488220662272239023902557
    Able seamen37489119911219112318231824711
    Ordinary seamen: 18 years or over280601015471701178917891908
    Waterside workers: Ordinary cargo624106820002218238424842597
Hotel workers—
    First cooks900112019212161022710227102386
    Waiters3116501341153016210162101700
Miscellaneous—
    Retailing of apparel—
        Shop assistants5501026195421410220922602360
    Grocers' assistants5001026187120510216121612258
    Warehouse storemen489900186820542101121672262
Adult Females
Biscuit and confectionery factory workers200490118213001336136111430
    Tailoresses (factory): Journey-women276500128014010144814891554
    Footwear manufacturing workers276501012401398143614921559
    Woollen-mill workers25050012681412145014891554
Hotel workers—
    Cooks295580136111561166016601734
    Housemaids1723669201068112511251175
    Waitresses2253669201068112511251175
    Restaurant workers—
Cooks42687015681724182818281909
    Waitresses31148611081219130813081366
    Pantrymaids29248611081219130813081366
Printing workers*58611701320138513851505
Retailing of apparel: Shop assistants276576130914310147915081574
Juvenile Males
Bakers' apprentice: After three years' service2766501336146101501015461614
Butchers' assistant: Eighteen years of age3010495103211511121712571334
Butter and cheese factory: Youth, eighteen years of age300526112612391441147101545
Flour-mill: Youth, after three years' service270500101611501180121101270
Meat freezing and preserving: Youth, eighteen years of age2565501139125212911137101440
Aerated water and cordial manufacture: Youth, eighteen years of age2504679079981024118412510
Tailoring, etc.: Apprentice, after three years' service192400118012910133413571417
Footwear manufacturing: Apprentice, after three years' service250400118012910133413841445
Woollen-mill: Youth, eighteen years of age226468113412481281131101378
Bricklayers' apprentice: After three years' service242426126913911434144714910
Carpenters' apprentice: After three years' service24643212481366140714231491
Plasterers' apprentice: After three years' service24042612491361114210142101525
Plumbers' apprentice: After three years' service19540012651387146114611559
Sawmill: Youth, eighteen years of age2564899891088111711171245
Engineering: Apprentice, after three years' service20050012301350141814501513
Brick, tile, etc., works: Youth, eighteen years of age21053596101079111711421269
Tannery: Youth, eighteen years of age33451398310811151011851251
Coalmining: Trucker, eighteen years of age46582916681774181618162250
Agriculture and dairying (mixed farms): Youth, eighteen years of age*31010331116114611461146
Retailing of apparel: Shop assistant, after three years' service20045011421257129013241382
Grocers' assistant: After three years' service2504261126123912911129111358
Juvenile Females
Biscuit and confectionery factory: Assistant, after three years' service16041610051106113611641215
Footwear manufacturing: Assistant, after three years' service1904008901012104011531204
Woollen-mill: Worker, after three years' service22641010201122115311811234
Clothing factory: Improver, after three years' service1924301000110011301151012011
Printing trade: Worker, after three years' service*44610001122115311531329

EARNINGS AND HOURS WORKED IN INDUSTRY.—The following pages supply information extracted from the half-yearly surveys conducted by the Department of Labour (see page 1089), the particulars relating to a sample week at the end of each half-year.

The first table shows a synopsis over a period of years of the grand totals, all industries surveyed, of pay-roll strength and aggregate weekly wage payout, together with the average weekly payout per person. For comparative purposes the average nominal minimum weekly wage rate for adult males prescribed by awards and industrial agreements as at the end of the preceding month is appended. The average payout per person includes all ages, sexes, and occupations within the industry in one figure. In this table the figures of pay-roll strength and weekly wage payout include, up to April 1953, the small seasonal industry threshing and chaff-cutting.

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*

* Assessed by the formula: Aggregate payout for one week./Full-time employees in same week.

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

 ££s.d.£s.d.
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
October487,2665,409,85911 2 1101410  
1954—April502,4426,089,624122510150
October502,4476,206,036127010164
1955—April516,5736,590,487121521147
October519,2556,853,35313401159
1956—April531,7127,090,09913681174
October531,6497,185,456131041191
1957—April543,7997,694,773143011198

The foregoing table terminates at April 1957. The reason for this is that for the April 1957 survey some important changes were made in the employment information cards filled in by employers. Nevertheless, to provide a link with the new hourly-rates table, the average weekly payout per person was calculated for April 1957 for the last time. The new table shown below commences from April 1957 and will continue at half-yearly intervals. It exhibits: (a) average minimum hourly wage rates as prescribed in awards and agreements for adult male workers in thirteen industrial groups (excluding farming); (b) average hourly earnings in ordinary time for all workers covered by the half-yearly survey; (c) average hourly earnings in overtime for the same workers; (d) overall average hourly earnings for the same workers (ordinary time and overtime combined); (e) estimated average weekly ordinary-time hours worked by full-time employees covered by the half-yearly survey; (f) estimated average weekly overtime hours worked by the same workers; and (g) average total weekly hours worked by all employees covered by the survey. The totals from which these averages are derived are published in the Labour and Employment Gazette, where also the basis of each of the items (e) and (f) is explained (see pages 29-30 of the August 1957 Gazette). For item (e), aggregate ordinary-time hours worked during one week has been divided by the sum of full-time employees plus half only of the part-time employees. For item (f), the aggregate overtime hours worked during one week has been divided by the full-time employees only. If there are any part-time workers the sum of items (e) and (f) will not be equal to item (g).

Average Minimum Hourly Rates as Prescribed in Awards and Industrial Agreements for Adult Males in Thirteen Industrial Groups (Excluding Farming) as at End of Preceding MonthAverage Hourly Earnings for All Workers Covered by Half-yearly SurveyAverage Weekly Hours Worked by Workers Covered by Half-yearly Survey
Ordinary TimeOvertimeOrdinary Time and Overtime CombinedOrdinary Time (Estimated) Worked by Full-time EmployeesOvertime (Estimated) Worked by Full-time EmployeesOrdinary Time and Overtime Worked by Full-time and Part-time Employees Combined
 s.d.s.d.s.d.s.d.HoursHoursHours
April 195761.368.5910.8610.837.72.439.1
October 195761.569.1100.7611.337.72.339.0

The preceding table combines all industries. A dissection by industrial groups of the last line of that table - relating to October 1957 - is now provided. Minimum hourly rates are omitted.

Industrial GroupAverage Hourly Earnings for All Workers Covered by Half-yearly SurveyAverage Weekly Hours Worked by Workers Covered by Half-yearly Survey
Ordinary TimeOvertimeOrdinary Time and Overtime CombinedOrdinary Time (Estimated) Worked by Full-time EmployeesOvertime (Estimated) Worked by Full-time EmployeesOrdinary Time and Overtime Worked by Full-time and Part-time Employees Combined
 s.d.s.d.s.d.HoursHoursHours
Forestry, logging, mining, and quarrying—
    Forestry64.1113.164.937.90.638.3
    Logging80.695.482.138.03.841.6
    Coalmining100.8118.6101.932.92.034.8
    Other mining611.898.273.139.24.643.5
    Quarrying (n.e.i.)70.396.874.438.56.044.2
Totals83.0103.484.735.92.638.4
Seasonal manufacturing—
    Meat processing, etc.711.7112.683.834.84.238.9
    Fruit and vegetable preserving55.089.457.737.52.740.0
    Dairy factories71.9911.377.438.97.646.3
Totals76.0106.6710.536.25.141.1
Food, drink, and tobacco (other than seasonal)—
    Grain milling69.396.0611.338.22.440.4
    Bread bakeries68.7100.870.237.73.838.9
    Biscuit making57.9810.9511.337.33.739.8
    Cake and pastry making52.2911.353.538.61.035.9
    Sugar and confectionery511.9811.362.236.62.738.2
    Other food52.284.563.737.32.338.8
    Beverages611.2101.673.638.75.143.4
    Tobacco manufacture510.1911.962.036.83.139.9
Totals62.797.565.837.73.239.5
Textiles, clothing, and leather—
    Tanneries70.390.872.337.93.541.1
    Fur dressing and manufacture63.0150.063.138.30.136.5
    Leather goods57.993.059.238.01.237.9
    Knitted wear and hosiery510.9810.060.437.11.738.1
    Flax, rope, and twine73.790.374.837.32.139.2
    Woollen mills510.480.460.137.12.739.5
    Other textile production610.098.370.837.13.339.8
    Clothing manufacture51.374.651.936.40.936.3
    Footwear manufacture62.882.664.037.01.938.3
    Footwear repair57.492.558.139.50.638.8
    Other textile articles510.089.1511.637.21.838.3
Totals57.383.058.536.81.537.5
Industrial GroupAverage Hourly Earnings for All Workers Covered by Half-yearly SurveyAverage Weekly Hours Worked by Workers Covered by Half-yearly Survey
Ordinary TimeOvertimeOrdinary Time and Overtime CombinedOrdinary Time (Estimated) Worked by Full-time EmployeesOvertime (Estimated) Worked by Full-time EmployeesOrdinary Time and Overtime Worked by Full-time and Part-time Employees Combined
 s.d.s.d.s.d.HoursHoursHours
Building materials and furnishings—
    Sawmilling, plywoods, etc.73.1910.875.137.72.639.9
    Builders' woodwork67.791.5610.038.23.341.1
    Furniture and cabinets63.196.165.738.32.840.4
    Other wood manufacture510.2911.861.137.72.439.3
    Structural clay products611.293.272.438.35.042.8
    Pottery and glass66.895.669.638.33.341.4
    Lime, cement, etc.71.9104.676.437.65.042.1
Totals610.399.671.137.93.340.8
Engineering and metalworking—
    Engineering and machinery611.6910.372.838.04.041.5
    Electrical manufacture67.290.268.738.22.139.8
    Ships, locomotives, etc.611.5116.874.937.24.141.3
    Vehicle and cycle manufacture75.0109.0710.237.85.743.3
    Vehicle repair and aircraft64.8104.566.438.51.439.3
Totals69.3103.670.438.13.140.7
Miscellaneous manufacturing—
    Chemicals and by-products71.5101.474.737.53.740.6
    Rubber manufacture86.197.587.037.32.739.8
    Paper and paper products78.0102.6710.937.53.941.1
    Printing, publishing, and allied610.1110.571.038.12.339.2
    Instruments, clocks, jewellery60.299.961.138.60.838.4
    Other manufacturing (n.e.i.)61.785.463.836.73.138.7
            Totals71.5102.574.237.72.939.8
            Totals, manufacturing industries67.7100.0610.637.53.039.9
Power, water, and sanitary services72.2103.075.338.43.641.7
Building and construction69.0100.470.638.73.942.6
Transport and communication—
    Rail transport71.8118.378.838.45.744.1
    Road transport610.5910.072.338.34.742.3
    Water transport (not waterfront)78.7105.480.338.64.943.3
    Air transport811.295.2811.738.73.542.0
    Post and telegraph69.7107.3610.438.32.440.2
Totals70.2109.974.738.44.242.2
Distribution and finance—
    Wholesale and retail trade65.296.365.938.20.837.7
    Storage71.095.172.639.62.540.2
    Finance710.696.4710.836.60.336.6
    Insurance75.7103.175.937.20.336.9
    Real estate611.792.670.038.00.436.8
Totals67.796.468.238.00.737.6
Wool and grain stores (seasonal)66.194.868.937.23.340.4
            Totals (including wool and grain stores)67.796.368.238.00.837.6
Domestic and personal services—
    Provision of lodging, food, etc.57.1810.757.937.30.934.6
    Portrait and photo studios56.6111.957.638.00.736.5
    Laundries, cleaning, etc.55.472.756.236.11.632.9
    Barbers, beauty shops, etc.42.1510.942.239.10.138.0
    Recreation, sports, etc.69.799.5610.631.61.125.9
    Undertaking, etc.69.491.9610.938.82.240.1
Totals58.988.559.736.01.032.5
Administration and professional—
    Hospitals55.178.856.538.62.138.8
    Medical and allied services511.494.9511.537.50.136.5
    Education and instruction80.6164.481.136.10.234.4
    Arts, sciences, and religion76.7120.077.137.70.337.0
    Government services (n.e.i.)81.8910.582.036.80.436.9
    Local authorities (n.e.i.)71.995.373.238.52.039.5
    Miscellaneous services and agencies62.995.363.136.62.735.8
            Totals70.2810.770.737.20.936.8
            Grand totals, all industries (including seasonal)69.1100.7611.337.72.339.0

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 years from 1946 to 1957. 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 each industrial group, 1954 (= 1000).

INDEX NUMBERS OF AVERAGE HOURS OF LABOUR
Base: Each group and each sex separately, 1954 (=1000)
Industrial Group191419391946194719481949 to 1957
NOTE.—Inter-group comparisons in this table are indicative merely of the relative movements in each industrial group, not of the actual relative level of hours of labour in the different groups.
Adult Males
Provision of—
    Food, drink, etc.131010891000100010001000
    Clothing, footwear, and textiles115510251000100010001000
    Building and construction114110001000100010001000
    Power, heat, and light122510051005100010001000
    Transport by water and air124110341032100010001000
    Transport by land120710451042100010001000
    Accommodation, meals, and personal service153110291011100010001000
Working in or on—
    Wood, wicker, seagrass, etc.114610001000100010001000
    Metal116410001000100010001000
    Stone, clay, glass, chemicals, etc.118610071000100010001000
    Paper, printing, etc.109410001000100010001000
    Skins, leather, etc.120110411000100010001000
    Mines and quarries122710831083108310411000
All groups combined120510281015100310021000
Adult Females
Provision of—
    Food, drink, etc.112510001000100010001000
    Clothing, footwear, and textiles115810391000100010001000
    Accommodation, meals, and personal service140310281012100010001000
Working in paper, printing, etc.112610001000100010001000
All groups combined121610331003100010001000

A historical survey of changes in weekly working hours between 1936 and 1949, including a summary of the general introduction of the forty-hour week, appeared on pages 1003-4 of the 1957 Year-Book.

SUMMARY OF INDEX NUMBERS.—The following table gives a summary for the years 1947-57 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: 1954 (= 1000)
YearNominal Weekly Wage RatesHourly* Wage Rates: Males, AdultHours of Labour
AdultsJuvenilesMales*Females
MalesFemalesCombinedMalesFemales
* Excluding the agricultural and pastoral group.
194760657160258057361210031000
194864662464462763364610021000
194968267468267268268510001000
195072972772973274872910001000
195182981782882185282810001000
195287185286986688086110001000
195392992492993293392710001000
195410001000100010001000100010001000
195510351039103610321039103710001000
195610551056105510511061106010001000
195711041106110510991118111110001000

Chapter 38. SECTION 38—LABOUR LAWS AND ALLIED LEGISLATION

38 A—LABOUR LAWS, ETC.: 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 providing for the welfare 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 common law disabilities which rendered valueless in practice the injured worker's claim for damages for his employer's negligence.

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 16 1/2 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 (March 1958) figure of £201 10s.

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 which introduced unemployment insurance before 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 and later in the 1955 Act, attempted to encourage the principle of profit-sharing among workers. Any company registered under the Companies Act was 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 privileges 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 of workers—e.g., domestic servants—their relations with their employers are still governed mainly by the common law affecting master and servant.

New Zealand had 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 had 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 were 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, 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 1057-61 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, and the Social Security (Reciprocity with the United Kingdom) Act 1956.

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 legislation was consolidated and improved by the Workers' Compensation Act 1956 (see section of this Year-Book on Workers' Compensation). 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 Act 1955 (a consolidation and Amendment of previous legislation), 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, 1953, and 1955; 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 1936-56 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 provided 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.

In accordance with the recommendations of the Royal Commission on the waterfront industry appointed in 1950, 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 dealt 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 and further amended in the consolidating Tenancy Act 1955. 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—LABOUR LAWS, ETC.: 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 1957 and the Hospital Employment Regulations 1957.

  • 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.—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.

ANZAC DAY ACT.—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, thus bringing under the Act places where one self-employed person was engaged, 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 varied to read "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", thus excluding places where one self-employed person was engaged and reverting to the 1935 position. 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. No woman shall work more than three hours' overtime 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 eighty 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 work for industries where raw materials which, in the opinion of the Inspector, are subject to rapid deterioration are processed for sale as foodstuffs or where, in the opinion of the Inspector, extended hours are necessary in order to meet a public demand.

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 1038.

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 Act 1955 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 Friday, Saturday, or Sunday. The effect of the Act is broadly to provide that provisions regarding the granting of a holiday or observance of certain hours of labour or payment of certain specified rates of wages are carried over from Saturday and Sunday to Monday (or Tuesday). In a similar way, where an anniversary day of any province falls on a Friday, Saturday, or Sunday, the provisions governing a holiday, pay, etc., on anniversary day apply on the next succeeding Monday; if it falls on a Tuesday, Wednesday, or Thursday, the provisions apply to the immediately preceding Monday as if it were the anniversary day. Labour Day is deemed to be the fourth Monday in October.

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. 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 1921-22 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. The whole body of legislation was amended and consolidated in the Shops and Offices Act 1955.

A "shop" is defined to include an hotel, a restaurant, a hairdressing saloon, an auction market, and an automatic vending machine, but does not include a warehouse or a private hotel or boarding-house; special provisions are contained relating to hotels and restaurants as well as to chemists, fruiterers, tobacconists, and other particular shops.

An "office" covers any building in which any person is employed, directly or indirectly, to do any clerical work in connection with any business carried on by the occupier, but does not include any building in which the clerical work of a factory or shop is carried on if situated within the factory or shop.

The definition of the term "shop assistant" was extended in 1936 to include those employed in the general management or control of a shop, subject to a wage qualification.

Hours of Work and Overtime.—A forty-hour week for shop assistants is provided for. Reduction to this limit occurred in 1945, the then limit of forty-four hours having been introduced in 1936.

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 an hour, the extra time over this is to be regarded as time worked.

Provision is made for two free days for each shop assistant in each week, thus providing for a normal working week of five days.

Limited overtime (to be paid for at time and half rates) may be worked for stocktaking and on special occasions. A break of not less than three-quarters of an hour for rest and refreshment must be allowed after four and one-quarter hours' continuous overtime work.

For shop assistants the hour of commencing work for persons under sixteen years must not be earlier than 7 a.m., except that newspapers may be delivered from 6 a.m. by persons aged twelve years and under sixteen, and milk by persons aged fourteen years and under sixteen from the same hour. Boys under eighteen or females may not be employed after 10.30 p.m. The Act provides that female assistants and boys under eighteen cannot be employed in restaurants before 5 a.m. or after 10.30 p.m. However, it is not unlawful to employ female assistants over the age of eighteen up to 11.30 p.m. or to midnight in connection with social functions (or if over twenty-one years, between midnight and 5.30 a.m.), if satisfactory provision for conveying these assistants to their homes 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.

There are no provisions as to hours of employment in offices or as to the times when they may be open. In practice a five-day week is worked in most offices. Employment in excess of forty hours in offices is permitted, payment for overtime at the rate of time and a half being mandatory in respect of such overtime.

Opening and Closing Hours of Shops.—The closing hours of shops in any district were for many years fixed pursuant to the former 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 were thus determined in very many trades and districts. These matters from 1955 are now left to be fixed by the Court of Arbitration.

The Court of Arbitration has power when making an award in any trade to fix the opening and closing hours on Sundays as well as week-days of any shops substantially (i.e. at least 20 per cent of turnover) carrying on the particular trade in that industrial district, 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. The Court is empowered (with the prior consent of the Minister of Labour except in the case of chemists' shops) to fix the times during which shops may be open on Sundays. Any organizations are entitled to be heard by the Court when dealing with these matters if in the opinion of the Judge they may be affected by the result of the proceedings. The Court is not to make an award without a hearing unless the Judge so directs.

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.

Sunday Trading.—Sunday trading is prohibited except (a) if provision is made in an award, the prior consent of the Minister being required to such inclusion, (b) for sale of exempted goods listed later, (c) if individual shops are granted exemption by Magistrates to permit them to open on Sunday. This is designed to enable shops in motor camps and other holiday resorts to cater for the needs of the travelling public. The Magistrate is to have regard to the interest of the occupier of any other shop which may be affected, but shall also have regard to the desirability of providing service to the public at all reasonable times.

The term "exempted goods" means (a) tobacco, cigarettes, cigarette papers, cigars, and matches; (b) confectionery and sweetmeats; (c) milk, cream, eggs, butter, and cheese; (d) motor spirits, petrol, and oil; (e) motor accessories urgently and necessarily required for the functioning of a motor vehicle; (f) fruit, vegetables, and flowers, if for sale by the grower on the premises where grown; (g) goods of a class exempted from the provisions of the Act relating to the closing of shops by Order in Council. The list of exempted goods was extended in June 1957.

Non-exempted goods must be properly locked away from the view of the public.

Holiday Provisions.—These are governed by the provisions of awards or industrial agreements. Employees are entitled to the benefits of the Annual Holidays Act 1944. The provisions of the Public Holidays Act 1955 also apply (refer page 1039).

Minimum Rates of Pay.—Wage rates are fixed by awards and industrial agreements. The provisions of the Minimum Wage Act 1945, and Orders made under it, also apply.

Safety, Health, and Welfare Provisions.—The Act also makes provision for the welfare, health, and safety of assistants. Particular matters that are covered relate to dangerous liquids and noxious gases, limitation of loads, safe means of access, construction and maintenance of floors, passages, stairs, fire precautions, lighting, cleanliness, ventilation, drinking water, drainage, washing facilities, clothing accommodation, seating and first aid facilities, rest rooms for women, sanitary conveniences, temperature and heating appliances, accommodation for meals, etc.

Other Provisions.—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 an Inspector as a school for learners in a trade or business, and the payment is made pursuant to a written agreement that is approved by an Inspector. An 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. An Inspector must not approve of any agreement under this section unless he is satisfied that the terms of the agreement are reasonable.

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 quarry men generally are determined in awards made by the Court of Arbitration. In the coal mining industry working conditions are usually determined by direct negotiation between the coal mine owners and the workers' organizations. In each case conditions may be, and probably are, more favourable than those required by statute but in no case can the award or agreement 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.

Since 1948 an underground shift of seven hours has applied in the mining industry 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 Inspectors of Machinery under the former Act and, by the Mining Amendment 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. These regulations have been amended from time to time in subsequent years. All accidents in mines rendering a workman unfit for work are now notifiable under the 1953 amendment.

A levy at the rate of 6d. a ton on coal other than lignite and 4 1/2d. a ton for lignite is paid into a 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 coalmining 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 directs 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 assembled 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 150 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—Load Line Rules 1953; 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 Watertight Bulkheads 1954. Regulations—Ballast 1937; Deck Cargo 1950; Transport of Radioactive Substances 1951; Collisions Regulations Order 1953; Shipping (Accepted Safety Convention) 1953; Timber Cargo 1953; Load Line (Particulars of Depth of Loading) 1954; Crew Accommodation 1954; Certificates of Competency as A.B. 1954. (These certificates have reciprocity with the United Kingdom certificates.)

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 16 May to 15 October and eighty-eight per fortnight from 16 October to 15 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, or forty-four in any one week, and in the longer period ten hours per day or forty-eight in any one week. Overtime rates are payable in respect of hours worked outside the limits mentioned.

The ordinary hours of work for those employed in market gardens, 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 field section in the tobacco industry in the Nelson Industrial District during the months of May to December inclusive 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 months of January, February, March, and April 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. Workers employed in the shed section of the industry work a forty-hour week from Monday to Friday and between 7.30 a.m. and 5 p.m., except females, who may not be called upon to start work before 8 a.m. Provision is made for shift work to cope with essential or continuous process work. Overtime rates are payable for hours in excess of eight per day or outside the clock hours named or in excess of eight per shift. 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 following specific conditions pertain, in respect of workers on farms and stations used for the commercial production of wool, meat, or grain (including seed). Such 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, workers in the tobacco industry, and workers employed in market gardens are covered by the Annual Holidays Act 1944 and, in addition, are allowed certain prescribed statutory 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 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 (April 1958) the minimum rate for workers in casual employment and for permanent adult male workers on tobacco farms amounts to 5s, per hour, with lesser rates for male and female workers according to specified ages, and for harvesters on farms 5s. 1d. 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. 3, the minimum rate for an adult male worker being £8 1s. 6d. per week, increased by £1 19s. per week if the worker is not provided with board and lodging by the employer, or by £1 10s. 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, Amendment No. 2, at £10 18s. weekly. The corresponding rate for workers in market gardens provided for in Amendment No. 3 to the 1953 extension order is £10 15s. 8d.

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 Amendment 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—616 at 31 March 1957—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 frame-work 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 1957 while the Hospital Employment Regulations 1957 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 applied (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 were fixed by any award or industrial agreement.

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, not with-standing 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 1956, and operating from 5 December 1956, are given below, while those in force during the earlier periods are also shown.

Category1 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 to 4 Dec. 19565 Dec. 1956 Onwards
 £s.d.£s.d.£s.d.£s.d.£s.d.£s.d.£s.d.£s.d.
Males—
    Paid by hour or by piecework03003303503904104604710410
    Paid by day14016017411001128116011701186
    Other (per week)5150650611875071848150900976
Females—
    Paid by hour or by piecework01110220 2 3 1/2026029030031033
    Paid by day015401740184100120140148160
    Other (per week)313043048041645645164600660

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 1058).

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 5 1/2. 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.

Per Hour
Class of Worker (Adult Male)Standard Rates of Wages: Pronouncement of-
19191920192519371945194719491952
 s.d.s.d.s.d.s.d.s.d.s.d.s.d.s.d.
Skilled workers17 1/220232930 1/23731150
Semi-skilled workers14 1/2 to18 to111 to25 to28 1/2 to33 1/2 to36 to45 to
 1611021 1/227 1/221135 1/238 3/448
Unskilled workers13 1/2171102427 1/231/23543 1/2

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 1021-1024).

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) 2 1/2d. per hour; 1920 (1 January) 3 1/2d. per hour; 1920 (1 May) 5d. per hour; 1920 (1 May after issue of new standard rates) 3d. per hour; 1920 (1 November) 3 3/4d. per hour; 1922 (15 May) 2 1/2d. per hour; 1922 (4 December) 1 3/4d. 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 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 further 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 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.

A 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 those gross minimum rates payable immediately prior to that month were 7s. 2 1/2d. maxima for adult males, and 5s. 5d. and 4s. 2 1/2d. weekly maxima for adult females and junior workers respectively. Certain specified awards and industrial agreements were excluded for various reasons from the operation of this order, and others were amended by increasing the rates of wages by a lesser amount.

A further general order, effective from 19 November 1956, and revoking the general order of 1954 as from that date, was made by the Court on 26 October 1956. This order increased the rates of remuneration prescribed by all awards and industrial agreements to which it applied by 18 per cent on amounts up to and including £13 per week for adult males and £9 15s. and £7 10s. per week for adult females and junior workers respectively, except certain adult female workers employed under awards and industrial agreements by which they are required to be paid adult male rates.

As in the case of previous orders this increase of 18 per cent was in substitution for, and not in addition to the 13 per cent given in the 1954 order.

Here again certain specified awards and industrial agreements were, for various reasons, excluded from the operation of the order, it being open to any party to any such award or agreement to apply to the Court under Regulation 4 of the Economic Stabilization Regulations for a subsequent order amending the rates of remuneration prescribed thereby.

The order of 26 October 1956 increased minimum remuneration payable prior to 19 November 1956 in the following manner:

 4.425 Per Cent Increase on18 Per Cent Increase onNo Increase on
Adult males and adult females covered by clauses 6 and 8 of orderRemuneration up to £12 a weekRemuneration above £12 but not above £13 a weekRemuneration above £13 a week
Adult females, except those covered by clauses 6 and 8 of orderRemuneration up to £9 a weekRemuneration above £9 but not above £9 15s. a weekRemuneration above £9 15s. a week
Junior workers (under twenty-one years)Remuneration up to £7 a weekRemuneration above £7 but not above £7 10s. a weekRemuneration above £7 10s. a week

The effect was to provide increases up to the following maximum: For adult male workers (and for adult female workers for whom "equal pay" rates are provided in some nineteen awards and industrial agreements), 15s. 7.2d. a week; for all other adult female workers, 11s. 8.4d; and for junior workers, 8s. 9.6d.

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 1957 and the Hospital Employment Regulations 1957. Two other groups of employees may also be 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 Act 1956, 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 the 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 at quarterly intervals, 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 2 1/2 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. It applied, however, only to such portion of the weekly remuneration as did not exceed £6 in the case of male workers, and to such lesser portion as the Court thought fit in the case of female workers, junior workers, and apprentices.

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.

In making any general order the Court could exclude from the scope of the order such portion of the weekly remuneration of male, female, and junior workers, and of apprentices as exceeded amounts determined by the Court for those groups of workers.

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 could similarly be applied 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 (March 1958) no appointed members of the Commission, its functions being discharged by the Minister in Charge of Stabilization.

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 permitting the exclusion of special classes of workers from general orders, and the 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 1058 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 could be 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 fixed 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 was omitted, and a new provision was 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 Court is enabled to make general orders amending the rates of remuneration in all awards and agreements, subject to the alterations made in the preceding paragraph; special classes of workers may be excluded from general orders; the application of general orders to apprentices is provided for; 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.

An amendment to these regulations made later in the month of May 1953 provides 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 gives the Court a discretionary power to fix a date for the commencement of its general order before the date on which it is made.

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 of 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 1050 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 law relating to the taking of secret ballots by members of industrial unions 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 for 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 LEGISLATION AND TRADES EXAMINATIONS

Apprenticeship Legislation.—The first statutory provision for apprenticeship in New Zealand was in a Masters and Apprentices Act of 1865, which, copied from English legislation, concerned itself with the welfare of orphans and destitute children. A Government Apprentices Act of 1875 dealt with apprenticeships in Government Departments. These two Acts were consolidated into two Parts of a Master and Apprentice Act of 1908, a year in which there was a general consolidation of legislation. Part Two (Government Apprentices), still remains in force, but Part One was repealed in 1948.

From 1898 onwards there were an increasing number of awards, made under the Industrial Conciliation and Arbitration Act, in which there were clauses relating to the employment of apprentices. Some of the clauses that then appeared remain unchanged in apprenticeship orders today.

A new Apprentices Act was passed in 1923. It was amended in various ways in 1927 and 1930, and was substantially added to by an amending Act of 1946. There had been a Commission of Inquiry into Apprenticeship and Related Matters in 1944, and its recommendations were incorporated almost unchanged into the Act of 1946. The basic administrative structure of 1923 was not, however, changed, but was improved in a number of ways. The operation of the original Act, and the effects of the changes made in amending and consolidating legislation of latter years, appear in the description of the present system that follows below.

There have been certain other statutes and regulations that have had a bearing on apprenticeship. In the years of the depression the Finance Acts of 1931 and 1932 gave opportunities for the relief of employers who could not reasonably be expected to carry out the terms of the contracts of apprenticeship into which they had entered. A Finance Act of 1936 restored the position obtaining before 1931. The Statutes Amendment Acts of 1936 and 1941 dealt also with minor apprenticeship matters.

In the war years 1939 to 1945 and for a few years thereafter, there were in operation Suspension of Apprenticeship Regulations, originally made in 1939, and re-issued in a revised form in 1944. These regulations dealt with the problems attaching to the enlistment of apprentices in the Armed Forces. For a period also, up to 1952, Economic Stabilization Regulations made reference to apprenticeship orders.

The Apprentices Act provides for orders governing apprenticeships to be made by the Court of Arbitration, which consists of a judge, a workers' member and an employers' member. Orders are made on the recommendations of New Zealand Apprenticeship Committees, which consist of three (or four) representatives of employers, three (or four) representatives of workers, a person conversant with technical education, and the Commissioner of Apprenticeship, who is ex officio chairman of each Committee. The New Zealand Committees are in effect policy-making Committees. There are twenty-seven Committees, which normally meet once or twice a year.

Day-to-day administration of the Apprentices Act and the apprenticeship orders is carried on by local apprenticeship committees, of which there are 204. They consist of three representatives of employers, three representatives of workers, a person conversant with technical education, and the District Commissioner of Apprenticeship, who is ex officio chairman of all Committees for the district for which he is appointed. District Commissioners delegate chairmanship to other officers of the Department of Labour when necessary.

The methods of training that are followed are on the lines of the traditional apprenticeship system. The apprentice learns by doing tasks under supervision. Provision is made in a number of apprenticeship orders for a specific list of operations and skills to be taught apprentices by their employers. Both employers and apprentices are thus helped to define the scope of training, and Apprenticeship Committees, when called on to do so, are enabled to judge whether or not training is adequate.

As no employer may engage an apprentice without the prior consent of the appropriate local Committee, the facilities for training are known to the Committee in each case. When an employer who has not previously had an apprentice applies for permission to engage one, arrangements are made for an inspection of his workshop by two members of the local Committee. On their report the full Committee makes the appropriate decision. Every apprentice has a contract of apprenticeship, which is registered by the District Commissioner. 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.

Local committees deal with complaints from apprentices and employers, with applications to transfer apprentices to other employers, and applications to discharge apprentices for misconduct. Their decisions, which are of a semi-judicial nature, are subject to review by way of appeal to the Court of Arbitration.

In the major industries there are provisions in apprenticeship orders for the attendance of apprentices at technical classes, both during working hours and in the evening. In the 40-hour week four hours are spent at day classes, with usually an equivalent amount of time at evening classes. The classes are operated by technical and other post-primary schools, as an adjunct to the post-primary education provided for school pupils. There are no separate vocational schools in New Zealand.

Although technical schools are semi-autonomous bodies, the general policy regarding apprentice education is determined by the Department of Education. That Department itself operates a Technical Correspondence School, which provides courses of instruction for those apprentices who live too far from any school to allow them to attend evening classes.

A statutory body, the New Zealand Trades Certification Board, conducts examinations for apprentices. The examinations are voluntary and, except in the electrical trade and in plumbing, no examination test is required for the practice of a trade. There is very close liaison between New Zealand Apprenticeship Committees and the Board, the Commissioner of Apprenticeship being ex officio a member of the Board.

TRADES EXAMINATIONS.—The Trades Certification Act 1948 provides 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 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 prerequisite 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 met from the annual vote for the Department of Education.

The number of candidates over a five-year period sitting for trades examinations is given on page 177 of this Year-Book.

38 F—WORKERS' COMPENSATION; EMPLOYMENT AND UNEMPLOYMENT LEGISLATION

WORKERS' COMPENSATION.—Prior to 1900 the only remedy open to a worker who met with an accident at work was an action at common law against his employer for the latter's negligence. The Employers' Liability Act 1882, and later amendments, removed some of the common law disabilities on the worker's action. In 1900 the first Workers' Compensation Act in New Zealand introduced the principle that where a worker suffered injury by accident arising out of and in the course of employment he was entitled to compensation from his employer, irrespective of whether the latter had been negligent. The Workers' Compensation Act 1956, with regulations made under it, represents the existing law on workers' compensation, subject to certain other relevant legislation mentioned later in this section. "Worker" for the purposes of the Act means any person who has entered into, or works under, a contract of service or apprenticeship with an employer, whether by way of manual labour, clerical work, or otherwise, and whether remunerated by wages, salary, or otherwise. Thus all workers (manual and non-manual) are afforded the protection of the Act, irrespective of the amount of remuneration. As well, the definition includes several classes of persons not normally regarded as "workers" because they are not working under contracts of service—namely, share farmers, 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), salesmen, canvassers, collectors, insurance agents, and other persons paid wholly or partly by commission, unless the commission is received in connection with a trade or business carried on by the recipient or by a firm of which he is a member, and 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. A worker who is the husband or wife of his or her employer is not a worker for the purposes of the Act, except for the provisions enabling employers to take out voluntary insurance cover in respect of certain classes of persons as if they were workers covered by the Act.

"Employer," for the purposes of the Act, means a person (which includes a corporation sole and a body of persons incorporated or not) employing any worker or workers, and includes the representative of a deceased employer. The term also includes the person who has contracted with the various classes of contractors deemed to be "workers" under the Act (share farmers, hire-drivers, commission agents, and contractors in hazardous occupations as mentioned in the previous paragraph), and the Crown (with certain minor exceptions).

The worker is entitled to compensation from his employer where he suffers personal injury by accident arising out of and in the course of the employment, and this is so whether or not the employment is for the purposes of any trade or business carried on by the employer and whether or not the employment is of a casual nature. Even if the worker is working under an illegal contract of service at the time of an accident arising out of and in the course of employment, he is entitled to compensation if the illegality consists in evasion of a statutory minimum age provision, of if the Judge, Magistrate, or other person dealing with the matter decides, having regard to all the circumstances, to treat the contract as valid. No compensation is payable in respect of any accident which is attributable to the serious and wilful misconduct of the worker injured, unless the injury results in death or serious or 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. Certain accidents are deemed to arise out of and in the course of employment, namely:

  1. Accidents to apprentices attending compulsory classes at technical schools:

  2. Accidents to workers acting in breach of any Act, regulations, or orders affecting their employment or acting without instructions from the employer (provided that the worker would have been entitled to compensation had there been no breach of Act, etc.):

  3. Accidents to workers travelling to or from work by transport provided by the employer primarily for conveyance of the workers, authorized by him, or arranged with the workers or their union, the employer meeting the whole or part of the cost:

  4. Accidents to workers during meal or rest times, happening on premises occupied by the employer, on premises to which the workers have by virtue of their employment the right of access, or on premises where the workers are entitled to be by authorization of the employer provided that in each case the accident is of a type that would entitle the worker to compensation had it happened at his work-place.

Diseases are deemed to be personal injuries by accident if they are due to the nature of any employment in which the worker was employed during a prescribed period before the date of commencement of the incapacity. In the case of diseases due to exposure to radio-activity the prescribed period is five years, and two years in all other cases. If the worker contracts any disease in respect of which he would be entitled to a miner's benefit under the Social Security Act he is not entitled to receive any compensation under the Workers' Compensation 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.

The present Act repeats in an amended form a provision introduced in 1943 whereby compensation was declared not payable for any period for which wages payable pursuant to any statutory obligation are paid. It is now made clear that this provision does not apply in respect of paid holidays. In this case compensation will be payable in addition to the holiday pay.

In assessing compensation, account is not to be taken of any money accruing to the claimant under any insurance policy taken out by anyone not the employer, nor, in the case of a partial dependant of a deceased worker, of any gain to the estate or the dependant, nor of any money payable by or to a friendly society or other organization.

The Act generally applies only to accidents happening in New Zealand, but also applies to accidents on New Zealand ships and aircraft and to accidents to seamen or airmen employed in New Zealand ships or aircraft.

As regards the fixing of rates of compensation, the principle introduced in the Workers' Compensation Amendment Act 1953 of having the rates fixed by Order in Council has been made universal in the 1956 Act. All the maximum rates, whether for weekly payments of the various allowances, such as dependants' allowances and medical expenses, are now to be so fixed. The Act also adopts the method of having the various maximum total payments of compensation for death or incapacity expressed in terms of the current maximum weekly payment, so that any variation in the latter automatically varies the maxima for total payments. Compensation rates at present (by virtue of the Workers' Compensation Order 1957) are as follows:

  1. In case of death:

    1. Where the worker leaves total dependants, a sum equal to the aggregate of the prescribed maximum weekly payments for 274 weeks (£2,589); or

    2. Where the worker leaves partial dependants only, a sum reasonable and proportionate to the injury to these dependants, but not exceeding the sum specified in (a).

    Compensation received prior to death by the injured person in respect of the accident which causes his death is deducted from the above amounts, to arrive at the amounts payable to dependants, to the extent that such prior compensation exceeds the aggregate of the prescribed maximum weekly payments for 39 weeks (£369).

  2. In the case of injury:

    1. During total incapacity, weekly payments equal to 80 per cent of the worker's weekly earnings (maximum £9 9s. per week, minimum £2 7s.):

    2. During partial incapacity, weekly payments equal to 80 per cent of the difference between the worker's pre-accident weekly earnings and the weekly amount he is earning or able to earn in suitable employment or business after the accident.

Weekly payments are payable for a maximum of six years. They are payable for all periods of incapacity, the former exclusion of periods of incapacity lasting less than three days being removed by the Workers' Compensation Amendment Act (No. 2) 1951. The worker's weekly earnings are deemed to be his ordinary weekly earnings (exclusive of overtime) at the time of the accident, increased or reduced during his incapacity according to increases or decreases in ordinary rates of pay, ruling rates of pay, or minimum rates of wages. As an alternative, the worker may elect to have his weekly payments based on his average weekly earnings (exclusive of overtime) over the last twelve months or some shorter period in the employment of the same employer, increased or decreased during incapacity according to increases or decreases in the minimum wage under the Minimum Wage Act 1945. Permanently incapacitated apprentices, trainees, or workers under twenty-one years of age have their weekly earnings computed on adult or journeymen's rates.

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 percentage (varying according to the nature of the dismemberment) of an amount equal to the aggregate of maximum weekly payments of compensation for six years (£2,958). In assessing the compensation payable for such injuries, any period of total incapacity due to illness resulting from the injury is deducted from the six years.

In addition to the ordinary compensation, dependants' allowances are now payable under the Worker's Compensation Act 1956. Where the death of the worker results from the injury, an allowance of £50 is payable in respect of each total dependant under sixteen years of age, and a proportionate amount in respect of each partial dependant under sixteen. Where the worker's total incapacity results from the injury, an allowance of £1 per week is payable in respect of his wife or dependant woman in a position of parent to children under sixteen years of age maintained by the worker, provided that the combined amount of weekly payments and dependants' allowances is not to exceed 90 per cent of the worker's weekly earnings. A child over sixteen and under eighteen years of age is treated as being under sixteen if still at school or undergoing training without pay.

Various other allowances and expenses are payable in addition to the ordinary compensation. An injured worker is entitled to an allowance to £2 per week for any period during which he requires constant personal attendance and is not being maintained free of charge in a hospital. In the case of death there is payable reasonable expenses of medical and surgical attendance and of the funeral up to £100. In the case of incapacity there is payable reasonable expenses of medical and surgical attendance up to a maximum:

  1. In respect of the total sum, £50;

  2. In respect of each occasion of attendance, 12s. 6d. (with certain variations in the case of specialist services, X-ray diagnostic services, and physiotherapeutic services).

Where as a result of the injury to a worker an artificial limb or aid is necessary, the employer must pay the reasonable cost of the artificial limb or aid, and the reasonable cost of keeping it in repair for three years up to a maximum of £25. Where, as a result of accident arising out of and in the course of employment, the worker suffers damage to teeth, an artificial limb or aid, clothing or spectacles he is wearing (in this case the injury suffered must be one for which compensation is payable), the employer must pay for the reasonable cost of repair or replacement to a maximum of £50. Where the worker needs to be removed to a doctor or hospital after the accident, the employer must pay the costs of removal. Where a worker requires medical treatment in another town or at a place more than five miles from his residence, the employer must pay the expenses of transport and meals or lodging up to a maximum of £50.

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 incapacity and the worker has actually returned to work;

  2. By agreement with the worker;

  3. By leave of the Compensation Court upon payment of a lump sum in lieu of weekly payments;

  4. By leave of the Compensation Court or Magistrate's Court where a doctor certifies that the worker has wholly or partially recovered or that any incapacity is not due in whole or part to the accident. The Court will not grant such leave in the case of partial recovery unless the worker is working in some suitable employment or business, or some suitable employment has been provided by his employer;

  5. By judgment or order of a Court of competent jurisdiction;

  6. After the expiration of the maximum period of six years;

  7. Where the weekly payment is in respect of total incapacity and the worker's doctor has certified he is fit to resume work and the worker has not done so. If in fact the Compensation Court is satisfied that the worker was not fit to resume work, it shall declare that the ending of payments was unlawful. The additional amount to be paid by way of penalty is in the discretion of the Court.

If the employer wrongfully terminates or diminishes weekly compensation payments, he is liable to pay double compensation to the worker.

Proceedings under the Act were formerly 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. The Court was re-established without change on a statutory basis by the Workers' Compensation Amendment Act 1952. The Court consists of a Judge, and there is provision in the Act for the appointment of a Registrar for each industrial district under the Industrial Conciliation and Arbitration Act 1954. Procedure is determined by regulations—the Workers' Compensation Rules. No appeal lies to any other Court from any order made by the Compensation Court, nor may any such order be removed into another Court to be quashed or varied except upon the ground of want or excess of jurisdiction. All proceedings for the recovery of compensation and the determination of any questions under the Act are, with certain exceptions, taken in the Compensation Court and not otherwise. Rights of indemnity conferred by the Act are enforceable in the Supreme Court or some other Court of competent jurisdiction, and not (except with the consent of the parties) in the Compensation Court. Where the parties agree or the amount claimed does not exceed £50, proceedings for the recovery of compensation in respect of any injury which has not caused the death of a worker may be taken in the Magistrate's Court. Medical, funeral, and surgical expenses and other allowances of a similar nature may be recovered in the Magistrate's Court equally with the Compensation Court.

Proceedings under the Act for the recovery of compensation are not maintainable unless written notice of the accident has been given to the employer as soon as practicable after its happening. Action for recovery must also be commenced within twelve months after the date of the accident or death, or date of the last payment of compensation or signing of admission of liability. The Court has power to excuse failure to give notice or to commence action within the limited time if the employer has not been prejudiced, or the failure was due to mistake, absence from New Zealand, or other reasonable cause.

As regards apportionment of compensation payable in respect of the death of a worker, the Workers' Compensation Amendment Act 1952 enacted new provisions in line with the corresponding provisions of the consolidated Deaths by Accident Compensation Act 1952. The provisions are substantially repeated in the present Act. Compensation is apportioned by the Compensation Court, and is to be paid to the dependants entitled, but where the dependant is an infant or of unsound mind or the Court so orders, the amount is to be held on trust subject to the directions of the Court. The Court may order that such amount be held on trust as a class fund to be applied for the benefit of the persons concerned, at the discretion of the trustee subject to directions from the Court. These provisions of the Act relating to apportionment in the case of death are applied to cases of incapacity where compensation is payable in the form of a lump sum and the injured worker is an infant or of unsound mind, or the Court orders that the whole or part of the lump sum be held on trust for the worker. In the case of an infant worker, the application of the provisions is subject to there being no settlement between the parties in writing approved by a Magistrate's Court, in which case the Magistrate may order that the compensation be paid to the infant or held on trust under the apportionment provisions of the Act.

With certain exceptions it is compulsory for all employers to insure against their liability to pay compensation or damages in respect of injuries to workers. By the Workers' Compensation Amendment Act 1947, workers' compensation insurance, or, as it is known, employers' liability insurance, became, in general, a monopoly of a branch of the State Fire Insurance Office known as the Government Accident Insurance Office, but the 1950 Amendment Act contained provisions restoring the right of insurance companies to undertake this insurance, and these provisions have been continued in the present Act. Insurance is compulsory except where the employer is exempted by the Secretary of Labour who has power to grant exemption where the employer has adequate financial resources, or is a Commonwealth shipping company indemnified by a United Kingdom mutual protecting club or is employing workers domiciled outside New Zealand and adequately protected by compensation rights and insurance enforceable in the country of their domicile or in the country where they were engaged. The National Airways Corporation, the Linen Flax Corporation, and Education Boards and other school authorities are not required to insure their workers. The Secretary of Labour may grant exemption to the trustees of the General Trust Fund established under the New Zealand Rules of Racing. The insurance provisions of the Act do not apply with respect to overseas workers temporarily employed in New Zealand by overseas employers for a period of six months or less.

Insurance is effected by the delivery of wages statements by employers to authorized insurers (insurance companies who have notified the Secretary of Labour that they have made the necessary deposit under the Insurance Companies Deposits Act 1953). Maximum rates of premiums for the different categories of workers are fixed by the Employers' Liability Insurance Regulations. The employer is required to give prompt notification of details of accidents causing death or personal injury to workers, to his insurer, and to an Inspector of Factories.

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 Underwriters' Associations of New Zealand, one employers' representative, and one workers' representative, was originally established by the Workers' Compensation Amendment Act 1950. Its functions include recommending the maximum rates of premiums and rates of commission for insurance agents, administering the Workers' Compensation Account used in carrying out the Board's functions, undertaking and assisting accident prevention, research into causes, incidence and prevention of accidents, and the care and assistance of injured workers. Penal rates up to 100 per cent in excess of the prescribed maximum rates may be imposed by the Board in cases where the risks to workers are unusually great. To finance the activities of the Board, levies are collected from authorized insurers and exempted employers. The Board also acts as the insurer of employers who have neglected to insure their workers with an authorized insurer, so that workers are protected in all cases. The Board may collect from delinquent employers moneys it pays out as insurer.

Various offences are recognized under the legislation. They include refusing or failing to give or deliver any statement or information as required by the Act, or reasonably required by the insurer or the Board, wilfully or negligently making any false return or giving any false or misleading information concerning liability to any premiums or in relation to any claim, and making any false or otherwise misleading statements to obtain benefits or avoid obligations under the Act. In the case of intentional evasion of liability to pay premiums there is the additional liability to a penal charge up to treble the deficient premium.

Damages received in respect of an accident may be set off against compensation recoverable in respect of the same accident, or vice versa. Where judgment has been recovered for compensation, no damages are thereafter recoverable unless the Court is satisfied that the judgment has not been satisfied though all reasonable steps have been taken to obtain satisfaction. The same rule applies with respect to compensation, where judgment has been recovered for damages.

Where the injury for which compensation is payable was caused 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.

Certain other statutes are relevant to the question of workers' compensation. By the Law Reform Act 1936, all causes of action (with certain exceptions) subsisting against or vested in a person who dies survive against or for the benefit of his estate. The Workers' Compensation Act makes it clear that this applies to rights to recover compensation. The Law Reform Act also provides that the amount of compensation or damages payable to a worker shall be a charge on the insurance moneys payable in respect of liability to compensation or damages, so that the injured worker is protected in the event of an employer becoming bankrupt, or in the case of a corporation, being wound up. This Act also provides for contribution between joint tort-feasors. It completely abolished all remnants of the common law defence of common employment, whereby an injured worker could not recover damages from his employer where the injury was caused by the negligence of a fellow-worker. The defence had been previously abrogated in the Workers' Compensation Act 1922, but subject to the condition that the injured worker could not recover more than £1,000 damages. The Contributory Negligence Act 1947 removed the common law disability on a plaintiff, guilty of contributory negligence, to sue for damages, and provided that in such case the damages recoverable should be reduced to such extent as the Court thought just, having regard to the plaintiff's share in the responsibility for the damage. Section 23 of the Tuberculosis Act 1948 creates a presumption in favour of a person who contracts tuberculosis while employed on nursing duties or the like, that the disease was contracted whilst so employed. By the Deaths by Accident Compensation Act 1952, when the death of any person is caused by another's negligence the executor or administrator of the deceased person's estate, or certain relatives, have the right, which did not exist at common law, to bring an action for damages. Section 16 of the Finance Act (No. 2) 1952, amending section 29 of the Social Security Act 1938, provides that in any proceedings under the Deaths by Accident Compensation Act or the Workers' Compensation Act for damages or compensation in respect of the death of any person, no account is to be taken in assessing the damages or compensation payable by or to any person of any family benefit under the Social Security Act. By provisions of the Companies Act 1955 and the Bankruptcy Act 1956 workers' compensation is given equal priority with wages in bankruptcy and the winding up of a company.

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 215 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 1950. The Joint Family Homes Act 1950, as amended in 1951, 1952, and 1955 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 (this limit was removed by the 1955 amendment), 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 £3,000 (increased from £2,000 by the 1955 amendment), 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 455 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 rental 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. The Housing Act 1955 consolidated and amended the 1919 Act and subsequent amendments. Part I of the 1955 Act relates to State houses, the acquisition of land therefor, the general programmes of development, the adjustment of State house rentals, and the sale, lease, or tenancy of State housing land. 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 1954. They are also empowered to guarantee loans for the erection of flats, subject to the consent of the Local Authorities 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 653).

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, but few complete surveys were undertaken. 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 assist Maoris urgently in need of houses but whose circumstances are such that they cannot be expected to meet normal loan repayments in full. 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 was 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 now contained in the Housing Act 1955. 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 899 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 for erection of houses 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. 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 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, other than land used for agricultural purposes. 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. This provision was however omitted from the Tenancy Act 1955.

The Tenancy Act 1948 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 Tenancy Act 1955, however, consolidated and amended the 1948 Act and its later amendments.

Up to the passing of the Tenancy Act 1955, rent for dwellinghouses erected prior to 1942 was based on their value as at 1942 increased by 15 per cent. The 1955 Act provides for a further increase of 20 per cent in the present basis of valuation (i.e., a rent based on a value exceeding the 1953 fair rent value by 20 per cent and by the cost of improvements made after 1 September 1942 and including an allowance to cover outgoings). For dwellinghouses built since 1942, or purchased after February 1950 and let after December 1951, and after the date of purchase, the rent may be based on the capital cost to the landlord when built or purchased, increased by the cost of improvements made and an allowance to cover outgoings, or on the same basis as dwellings erected prior to 1942, whichever is the greater. The maximum interest rate which may be applied to the value of the premises in assigning the fair rent has been fixed by the Tenancy Regulations 1956 at 5 per cent. Where, however, there is a mortgage on the premises at a higher rate of interest, such rate of interest may be applied to as much of the value of the premises as is represented by the mortgage.

A landlord or a tenant is enabled to apply to the Court to fix the fair rent, or the parties may agree on a rent and submit this for the approval of a Rents Officer.

A new feature enables a landlord or a tenant to apply to a Rents Officer to assess the fair rent. Notice of his assessment is given to both parties, stating that it will become the fair rent as if fixed by the Court unless application is made within twenty-one days by either party to the Court to fix the fair rent. This procedure enables either party to have the fair rent assessed without cost.

The rent of commercial properties may be based on the present-day values, the 1955 Act not altering the law in this respect.

The provisions as to rent restriction of tenancies (inclusive of subtenancies) relates to dwelling-houses and to all leased properties, except that the definition of the term "property" excludes farm lands and licensed hotels and camp sites (let for periods not exceeding six weeks). The definition of the term "rent" includes money's worth. Rents Officers exercise the functions of Inspectors of Factories under the Fair Rents Act 1936, and of authorized persons under the earlier regulations. The Court for fixing the fair rent is the Magistrate's Court, with a right of appeal to the Supreme Court where the fair rent exceeds an annual rental of £525.

The following exemptions from the operation of the Act are contained in the Tenancy Act 1955: all new dwellinghouses and properties erected after the date of commencement of the Act (21 October 1955), as well as the existing exemptions of blocks of flats and buildings converted into self-contained flats after 12 November 1953; new tenancies of dwellinghouses not let during the three months prior to the date of commencement of the Act; dwellinghouses let for periods of six weeks or less; and properties let after October 1955 for terms of not less than four years.

A section extends to all premises the provision which prevents the basic rent from being affected by including furniture in the tenancy. As far as a "fair rent" is concerned, the Court can fix the fair rent payable by the landlord where he is himself a tenant. A fair rent fixed for a dwellinghouse or property 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. In the case of a dwellinghouse, the rent:

  2. In the case of either a dwellinghouse or property, 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 rendered 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 twelve months.

Exemption from the restrictions on recovery of possession from a tenant is provided for where, in the case of the letting of any dwellinghouse or 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 IV and sections 45, 46, and 47 of the Tenancy Act or the corresponding portions of the former 1948 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 unless the landlord consents or the Court orders that those provisions shall continue. The Act also includes in the list of exemptions leases of properties for more than five years.

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. and

  5. For a dwelling or a property, that the premises are reasonably required by the landlord or joint landlords for his or their own occupation:

  6. and

  7. For a dwelling or a property, that the landlord is a trustee, and the premises are required by the beneficiaries under the trust for their own occupation:

  8. and

  9. For a dwelling or a property, that an agreement for its sale has been made and that premises are required by the purchaser for his occupation:

  10. 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:

  11. For a dwelling, that the premises are required for occupation by any person in (or intended to be in) the regular employment of the landlord:

  12. The tenant, by subletting the premises, or part thereof, is making a profit which, compared with the rent paid, is unreasonable:

  13. For a property, that possession is required only of a part of the premises in excess of the reasonable requirements of the tenant:

  14. For a dwelling, that the premises are not reasonably required for occupation as such by the tenant:

  15. 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:

  16. That the premises are required for demolition or reconstruction or for removal to another site:

  17. 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:

  18. That suitable alternative accommodation is available for the tenant or will be available for him when the order takes effect.

Suitable alternative accommodation has to be provided or greater hardship established before orders can be made in respect of applications on grounds (d), (e), (f), (g), (k), (o), listed above. Suitable alternative accommodation is also required for grounds (h), (i), (p), or (q).

In any Court proceedings on ground (r) the onus of proving that the accommodation offered is suitable is placed on the applicant for the order. In any proceedings except on ground (r), where the Court is satisfied that any alternative accommodation is or will be available for the tenant, that accommodation shall be 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.

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 (q) 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 of a dwellinghouse or property a right to apply for an order for the recovery of excess land for building purposes, or for sale for that purpose or for the purposes of his business, 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 and subject to the Act to the same extent as the old tenancy, and also make it an offence for a landlord to evict a tenant without an order of a Court or the tenant's consent; extend protection of tenancy in case of death to members of the deceased's family; preserve a tenancy for the wife or husband of the tenant in cases of separation or desertion; prescribe conditions implied in tenancies; require receipts to be given for rent payments; make 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.

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 of employment—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.

INDUSTRIAL DISTRIBUTION, OCCUPATIONS, AND OCCUPATIONAL STATUS.—Statistics on industrial distribution, occupations, and occupational status compiled from the population census taken on 17 April 1956 are given in the following tables. The tables illustrate the extent to which the population directly participated in the economic life of the country, according to industry, occupation, and the nature of their activities, i.e., employer, wage, or salary earner, etc.

Excluded from the tables are members of the Armed Services overseas at census dates, numbering 1,894 in 1951 and 2,162 in 1956. Maoris are included in all tables and figures are provisional only.

The table below shows the numbers and proportions actively engaged or otherwise.

1951 Census1956 Census
MalesFemalesTotalMalesFemalesTotal
Numbers
Actively engaged568,963171,533740,496622,758194,094816,852
Not actively engaged405,005793,9711,198,976470,453886,7571,357,210
                Totals973,968965,5041,939,4721,093,2111,080,8512,174,062
Proportions Per Cent
Actively engaged58.4217.7738.1856.9717.9637.57
Not actively engaged41.5882.2361.8243.0382.0462.43
                Totals100.00100.00100.00100.00100.00100.00

The proportion per cent of actively engaged males to total male population has dropped from 58.42 to 56.97 between 1951 and 1956. This is a reflection of the large increase recorded in the under 15 years age group between 1951 and 1956 as compared with the increase in the working age group of 15 to 64 years.

This would, in normal circumstances, have meant a similar drop in the proportion per cent of actively engaged females, but, owing mainly to the substantial increase in numbers of married women working, the percentage for females has increased from 17.77 to 17.96.

Industrial Distribution 1956: Divisions.—The industrial distribution of the population by the principal divisions of industry at the 1956 census is now given.

DivisionNumbersProportion Per Cent of Actively Engaged
MalesFemalesTotalMalesFemalesTotal
Agriculture, forestry, hunting, and fishing122,7959,132131,92719.724.70 116.15
Mining and quarrying7,2721127,3841.170.060.90
Manufacturing149,97843,681193,65924.0822.5123.71
Construction79,6561,42581,08112.790.739.93
Electricity, gas, water, and sanitary services9,38875410,1421.510.391.24
Commerce96,20848,795145,00315.4525.1417.75
Transport, storage, and communication73,7559,80683,56111.845.0510.22
Services80,49279,424159,91612.9240.9219.58
Activities not adequately described3,2149654,1790.520.500.52
            Totals, actively engaged622,758194,094816,852100.00100.00100.00
            Not actively engaged470,453886,7571,357,210......
            Grand totals1,093,2111,080,8512,174,062......

The numbers in the division "Agriculture, forestry, hunting, and fishing" have fallen from 135,889 in 1951 to 131,927, while "Mining and quarrying" has declined from 7,807 to 7,384. All other defined groups recorded increases, the largest percentage increase being recorded in "Construction", which rose from 62,314 to 81,081, or by 30.15 per cent.

Industrial Distribution 1956: Major Groups.—A more detailed classification by major groups is shown below.

Industrial Division and Major GroupMalesFemalesTotal
Agriculture, forestry, hunting, and fishing
            Agriculture and livestock production116,7758,907125,682
            Forestry and logging3,3561783,534
            Hunting, trapping, and game propagation1,235251,260
            Fishing1,429221,451
Mining and quarrying
            Coal mining4,656714,727
            Metal mining2445249
            Crude petroleum and natural gas76278
            Stone quarrying, clay, and sand pits2,220332,253
            Non-metallic mining and quarrying not elsewhere classified76177
Manufacturing
            Food manufacturing industries, except beverage industries30,9305,79936,729
            Beverage industries2,5372862,823
            Tobacco manufactures5686931,261
            Manufacture of textiles4,3633,7938,156
            Manufacture of footwear, other wearing apparel, and made-up textile goods7,79419,30327,097
            Manufacture of wood and cork, except manufacture of furniture15,76155716,318
            Manufacture of furniture and fixtures5,0875685,655
            Manufacture of paper and paper products3,0018913,892
            Printing, publishing, and allied industries8,5972,78111,378
            Manufacture of leather and leather products, except footwear1,3705081,878
            Manufacture of rubber products2,7096493,358
            Manufacture of chemicals and chemical products4,8151,6296,444
            Manufacture of products of petroleum and coal30620326
            Manufacture of non-metallic mineral products, except products of petroleum and coal7,2785387,816
            Basic metal industries1,9891482,137
            Manufacture of metal products, except machinery and transport equipment5,4816736,154
            Manufacture of machinery, except electrical machinery12,8391,04213,881
            Manufacture of electrical machinery, apparatus, appliances, and supplies4,1131,0785,191
            Manufacture of transport equipment27,5621,59229,154
            Miscellaneous manufacturing industries2,8781,1334,011
Construction
Construction79,6561,42581,081
Electricity, gas, water, and sanitary services
Electricity, gas, and steam8,0927388,830
            Water and sanitary services1,296161,312
Commerce
Wholesale and retail trade83,25941,353124,612
            Banks and other financial institutions7,1234,32011,443
            Insurance4,4272,6997,126
            Real estate1,3994231,822
            Transport, storage, and communication—
Transport59,3953,84263,237
            Storage and warehousing25216268
            Communication14,1085,94820,056
Services
Government services25,0286,74931,777
            Community and business services36,43048,06284,492
            Recreation services4,9771,6696,646
            Personal services14,05722,94437,001
Activities not adequately described3,2149654,179
                Totals, actively engaged622,758194,094816,852
                Not actively engaged470,453886,7571,357,210
                Grand totals1,093,2111,080,8512,174,062

Occupations 1956: Major Groups.—The following table shows occupations by major groups.

NOTE: n.e.c. = not elsewhere classified
Occupational Division and Major GroupMalesFemalesTotal
Professional, technical, and related workers
            Architects, engineers, surveyors, draughtsmen, and related technicians n.e.c.6,5253616,886
            Physicists, chemists, pharmacists, and related technicians n.e.c.3,2607664,026
            Biologists, argricultural, silvicultural, animal scientists, veterinarians, and related workers1,8743072,181
            Physicians, surgeons, and dentists2,7851992,984
            Nurses, health technicians, and midwives1,97513,32515,300
            Teachers (including university teachers)10,39711,50721,904
            Jurists and other specialised legal workers2,4984292,927
            Clergy2,3151,5303,845
            Authors, journalists, and related workers1,1511901,341
            Creative artists and designers1,2176201,837
            Other professional, technical, and related workers (including professional accountants, social scientists, and social workers)7,1891,1668,355
Managers, administrators, clerical, and related workers
Administrative officials, Government2,399782,477
            Proprietors, directors, and managers: Wholesale and retail trade15,8651,60117,466
            Proprietors, directors, and managers: Insurance, real estate, banks, and other financial institutions3,200343,234
            Proprietors, directors, and managers: Mining and quarrying, manufacturing, construction, electricity, gas, water, and sanitary services, transport, storage, and communication13,10930513,414
            Proprietors, directors, and managers n.e.c.3,4961,1984,694
            Bookkeepers and cashiers1,5273,0694,596
            Typists, stenographers, and related workers20521,75921,964
            Ticket sellers and takers, office9799196
            Office clerks n.e.c.40,26126,24266,503
            Secretaries2,5371,4333,970
Sales workers
Salesmen, shop assistants, and related workers: Wholesale and retail trade29,63224,73754,369
            Commercial travellers and manufacturers' agents7,1175577,674
            Insurance and real estate salesmen: Salesmen of securities and services1,207991,306
            Purchasing agents, auctioneers, valuers, and related workers2,867272,894
Farmers, fishermen, hunters, forestry, and related workers
Farmers, farm managers, and overseers73,4864,58778,073
            Specialized farm workers (including farm machinery drivers and operators, shearers, etc.)11,72936212,091
            Other farm workers33,2423,44636,688
            Hunters and related workers1,086101,096
            Fishermen and related workers1,470101,480
            Forestry and related workers (including loggers)4,150214,171
Workers in mine, quarry, and related occupations
            Miners and related workers3,000..3,000
            Quarrymen792..792
            Mineral treaters (including mill men)5..5
            Well drillers and related workers269..269
            Labourers, mining, quarrying, and drilling1,022..1,022
            Other workers in mine, quarry, and related occupations224..224
Workers in transport and communication occupations
            Deck officers, engineer officers, and pilots (ship)1,872..1,872
            Other ship and barge crews and boatmen3,00833,011
            Stevedores, dock, and wharf labourers6,502..6,502
            Aeroplane pilots, flight engineers, and navigators6631664
            Drivers and firemen, railway engine2,024..2,024
            Brakemen and conductors, railway644..644
            Drivers n.e.c. and deliverymen29,83518630,021
            Other workers in transport occupations (including inspectors, stationmasters, foremen, conductors (excluding railway), dispatchers, signalmen, lighthouse keepers, lock keepers)5,0721595,231
            Telephone, telegraph, and related tele-communications operators2,4263,5255,951
            Postmen, messengers, and other workers in communication occupations1,7475042,251
Craftsmen, production process workers, and labourers
           Spinners, weavers, knitters, dyers, and related workers3,6473,2126,859
            Tailors, cutters, furriers, and related workers4,54418,02222,566
            Leather cutters, lasters, and sewers (except garment) and related workers3,2061,9705,176
            Carpenters, joiners, cabinetmakers, coopers, and related workers48,50331148,814
            Furnacemen, rollers, drawers, moulders, and related metal making and treating workers5,494805,574
            Toolmakers, machinists, plumbers, welders, platers, and related workers53,53299854,530
            Electricians and related electric and electronics workers14,67437015,044
            Bricklayers, masons, and related workers15,0495415,103
            Stationary engine and excavating and lifting equipment operators6,425..6,425
            Compositors, pressmen, photo-engravers, bookbinders, and related workers5,6131,6657,278
            Potters, kilnmen, glass formers, moulders, and related ceramics workers1,7752952,070
            Bakers, millers, brewmasters, and related food and beverage workers16,4942,74819,242
            Skilled and semi-skilled production process and related workers n.e.c.9,5112,60812,119
            Labourers n.e.c.48,8512,46751,318
Service workers and workers in entertainment, sport, and recreation
           Fire fighters, police, guards, and related workers3,4322123,644
            Housekeepers, stewards, maids, cooks (domestic, restaurant, canteen), and related workers3,07818,06621,144
            Waiters, bartenders, and related workers3,8023,4667,268
            Building caretakers, cleaners, and related workers4,4961,9026,398
            Hairdressers, beauticians, and related workers1,3921,7813,173
            Launderers, dry-cleaners, and pressers1,1071,9043,011
            Other personal service workers2,1045,0647,168
            Actors, musicians, and related workers8389041,742
            Professional athletes and sportsmen and related workers1,197491,246
            Other service workers3,6911513,842
Occupations unidentifiable or not reported1,9836682,651
            Armed forces personnel9,34767510,022
            Totals actively engaged622,758194,094816,852
            Not actively engaged470,453886,7571,357,210
            Grand totals1,093,2111,080,8512,174,062

Occupational Status 1956.—The following table shows the distribution of the population according to the character of participation or non-participation in industry.

Occupational Status1951 Census1956 Census
MalesFemalesTotalMalesFemalesTotal
Employer63,5705,93369,50366,8645,98372,847
Own account71,2357,68378,91872,2397,85680,095
Wage or salary earner423,174154,520577,694476,637176,721653,358
Unemployed7,9021,7269,6285,5582,3787,936
Relative assisting, unpaid1,9661,2483,2141,2081,0382,246
Not specified1,1164231,539252118370
            Totals, actively engaged568,963171,533740,496622,758194,094816,852
            Not actively engaged405,005793,9711,198,976470,453886,7571,357,210
            Grand totals973,968965,5041,939,4721,093,2111,080,8512,174,062

The total number actively engaged has increased by 76,356, or 10.31 per cent, since 1951. In the wage or salary earner group the increase was 75,664, or 13.1 per cent.

Female wage or salary earners increased by 22,201, or 14.37 per cent, and a substantial increase in the number of married females working boosted the increase in this particular group.

It is quite likely that the number of males unemployed in 1951 was inflated owing to industrial disturbances at that time.

POST-WAR DISTRIBUTION OF LABOUR FORCE.—Information is available for the years 1947–57 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 (including Maoris), by broad industrial groups in April of each year from 1947 to 1957.

The figures have been adjusted into line with the 1951 census data.

(000)
YearIndustry GroupArmed ForcesUnemployedTotals' Labour Force
Primary IndustryManufacturing IndustryPower, Water, and Sanitary ServicesBuilding and ConstructionTransport and CommunicationDistribution and FinanceDomestic and Personal ServicesAdministration and ProfessionalTotals
Males
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
1951135.9141.29.752.866.281.418.350.8556.310.0..566.3
1952135.9142.69.856.168.982.818.251.6565.910.0..575.9
1953136.4145.110.860.568.984.118.653.1577.51.11..588.6
1954137.0149.410.864.869.086.819.254.6591.610.90.1602.6
1955137.5152.411.067.969.088.619.255.0600.69.7..610.3
1956138.7154.711069.170.990.819.157.6611.98.96.1620.9
1957139.2156.911.369.672.994.419.760.4624.49.20.4634.0
Females
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
195512.846.40.81.38.542.226.551.6190.10.8..190.9
195612.845.40.81.39.143.826.953.3193.40.7..194.1
195712.845.90.81.39.645.127.355.8198.60.7..199.3
Total
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
1955150.3198.811.869.277.5130.845.7106.6790.710.5..801.2
1956151.5200.111.870.480.0134.646 0110.9805.39.60.1815.0
1957152.0202.812.170.982.5139.547.0116.2823.09.90.4833.3

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 Department of Statistics 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 four censuses have taken place, one on 24 March 1936, one on 25 September 1945, one on 17 April 1951, and one on 17 April 1956. The unemployment figures from the 1956 census were 5,558 males and 2,378 females.

The following table gives relevant census data on unemployment for each census since 1896.

CensusNumber of Males UnemployedProportion Per Thousand Male Wage-earners
* Including Maoris.
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 19455,82316
17 April 1951*7,90218
17 April 1956*5,55812

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 1956 was only 6, but since then the number of benefits has increased, there being 251 in force at the end of June 1958.

Subject to the conditions set out on page 215, 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 prerequisite 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 1100 (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 1093 to have been reduced by 60.2 per cent between 1950 and 1957. The only employment promotion measure continuing in operation to any extent is Scheme 13, under which 62 men were employed at 31 March 1958, as compared with 64 on 31 March 1957. 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 six centres, including Lower Hutt and Hamilton, are in operation.

The numbers of those enrolled who were placed in employment during each of the calendar years 1950 to 1957 were as follows.

Year Ended 31 DecemberNumber Placed by CentresNumber Self-placedTotals
19501,6124562,068
19511,4753651,840
19521,5904362,026
19531,4095251,934
19541,2824031,685
19551,2035201,723
19561,2524991,751
19571,4495001,949

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 résume 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 functions and duties of the Department are set out in the Labour Department Act 1954. On the employment side the duties include: the provision of a complete employment service for the purpose of placing workers in employment, assisting employers to provide employment, helping persons to find better or more suitable employment, and aiding persons who require occupational readjustment or training; the collection and publication of information relating to employment and unemployment; the making of surveys and forecasts of the classes of employment required or available; the promotion of voluntary placing of suitable persons in such employment; and in general the promotion and maintenance of full employment. In particular the Department may operate hostels for workers, provide a home-aid service, and arrange for the selection, transport, and accommodation of immigrants.

Accordingly the Department seeks to maintain a policy of full employment at the highest productive level, operates twenty-five district employment offices, provides through a home-aid service domestic help for families in urgent circumstances, and administers employment schemes, subsidized where necessary, for those unfit to compete in the ordinary labour market.

The twenty-three camps and hostels operated by or for the Department at 31 March 1957—comprising industrial workers' camps and hostels, immigration hostels, Public Service hostels, miners' hostels, Maori youth hostels, and one home-aid hostel—provided accommodation for 2,432 workers.

The 1954 Act provided also (in section 11) for the establishment of Advisory Councils and Committees as required to assist the Department in the effective administration of the Act.

Immigration matters, including the maintenance of immigration hostels, are as already indicated handled by the Department. Reference to assisted immigration has been made on pages 38–39 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 and continues to operate under the Act of 1954. 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.

STATISTICS OF EMPLOYMENT.—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 taken from the Labour and Employment Gazette showing the figures for April of each year from 1947 to 1957, and for October 1957, taken from these surveys, a dissection being provided into the chief industrial groups. Separate tables are given for males and females (except for part-time employees by industrial groups), working proprietors are in general distinguished from employees, and the numbers of vacancies reported and of establishments covered are appended.

Since the introduction of half-yearly employment surveys there have been several changes in the industrial classification of units to bring the New Zealand classification into line with the United Nations Standard Industrial Classification. In respect of working proprietors and employees the effects of the various reclassifications have been carried back to 1946, and the figures in the following tables are on the revised basis.

Since April 1953 the industry of threshing and chaff-cutting has been treated as a branch of farming and hence omitted from the inquiry, and the following tables exclude threshing and chaff-cutting throughout.

A summary of the tables referred to is first provided.

Full-time Employees and Working ProprietorsVacanciesPart time WorkersPercentage Rate of Labour Turnover
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotalMalesFemales
 Per CentPer Cent
April—
            1947328,852122,048450,90018,22414,77132,9954,3506,19910,5491728
            1948340,726125,143465,86917,15312,56229,7154,4196,89211,3111930
            1949348,790127,398476,18816,37712,62629,0034,6887,59812,2861830
            1950355,864131,531487,39520,80113,08033,8815,2258,76613,9911930
            1951356,233134,917491,15021,40411,39232,7966,17810,00616,1842032
            1952366,344136,668503,01221,6078,51030,1176,5429,91116,4532132
            1953376,743138,282515,02514,1976,21720,4147,20410,01717,2211828
            1954390,320144,807535,12715,2337,49622,7297,63811,53919,1771930
            1955399,992150,784550,77618,9838,54527,5289,04813,05822,1062132
            1956412,676154,915567,59115,9516,53422,4859,66514,66924,3342032
            1957423,720159,606583,32611,9835,56217,54511,22115,40826,6291931
October—
            1957422,756161,205583,96111,5205,83917,35911,11416,60027,7141727

Employment in industry on 15 April of the years 1947–57, and on 15 October 1957, is given in the following table. No industrial dissection of part-time employment is available prior to April 1957.

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
* Not included in any other figures in this table.
Male Employees
April—
            194710,591111,5348,57032,48745,50352,55210,01635,448306,701
            194811,187116,2238,59034,03346,81455,11010,40436,198318,559
            194911,644117,7988,89634,53648,82755,93310,66337,180325,477
            195011,529120,4379,21335,85749,24157,57410,73937,941332,531
            195111,243121,0289,50835,12147,88359,25610,80138,595333,435
            195210,963125,0989,61938,01149,42260,74510,76039,186343,804
            195310,619127,64110,37241,30650,71161,94211,05840,523354,172
            195410,428131,18210,81044,57950,59663,30311,23741,066363,201
            195510,234134,65510,95547,59050,44865,31811,22341,439371,862
            195610,339137,80511,02249,19751,75567,78511,25143,957383,111
            195710,705139,01111,30349,33153,74669,74911,49645,887391,228
October—
            195710,504135,58311,34349,61754,48269,94211,54946,506389,526
Male Working Proprietors
April—
            19472996,64483,4801,5766,7932,52282922,151
            19483217,04893,4971,5506,5882,45270222,167
            19493547,843103,7121,5476,6402,60060723,313
            19503597,83073,7481,5896,7632,62341423,333
            19513307,34973,9221,5356,6972,56239622,798
            19523487,17484,0251,5056,6222,44541322,540
            19533307,26943,9711,4196,6762,53536722,571
            19543508,30065,0321,6478,3132,84063127,119
            19553048,48955,4651,6308,8102,93649128,130
            19563518,82196,0381,7569,1242,97049629,565
            19574569,77696,3441,96910,1053,26057332,492
October—
            19574459,98776,4791,99310,4613,39646233,230
Female Employees
April—
            194720136,6605857565,69327,92813,47032,948118,241
            194820637,3325817716,24228,63113,74833,670121,181
            194921437,4996108476,46729,05013,97734,295122,959
            195021239,3436588476,73730,10113,85835,358127,114
            195118540,6316778986,99631,37713,43736,222130,423
            195220640,1206959097,46432,11913,22437,414132,151
            195321538,6547169647,72832,88913,41439,128133,708
            195420541,1517741,0487,81034,21113,54640,496139,241
            195522643,0807881,1277,98936,14013,62841,733144,711
            195623742,3538091,2038,57537,88713,96643,571148,601
            195725742,7647921,1948,98538,74714,15945,673152,571
October—
            195727144,1378071,2359,06438,66813,87545,934153,991
Female Working Proprietors
April—
            19471845  291,3061,3892373,807
            19482924  291,3311,4592173,962
            194921,164 291,4531,5762154,439 
            195021,127  311,4771,5732074,417
            195131,129  381,5541,5791914,494
            195231,087 1451,7061,5101654,517
            195311,058 1341,7441,5771594,574
            195411,192 4392,4291,7191825,566
            1955 1,204 3352,8051,8252016,073
            1956 1,210 1492,9791,9011746,314
            195721,278  703,4262,0701897,035
October—
            195711,300  713,5412,1061957,214
Part-time Employees—
Males and Females Combined*
April—
            1957815,11110311,1526,0317,4166,73426,629
October—
            1957645,29496 1,0376,3977,8157,01127,714

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)Textiles, Clothing, and LeatherBuilding Materials and FurnishingsEngineering and MetalworkingMiscellaneous ManufacturingTotal Manufacturing Industry
* Not included in any other figures in this table.
Male Employees
April—
            194718,7388,92512,37619,48138,18613,828111,534
            194818,7489,01412,80721,01140,15014,493116,223
            194918,8679,05412,69021,60840,75214,827117,798
            195019,0128,97612,88222,16941,95315,445120,437
            195117,8088,86813,04422,61842,77315,917121,028
            195220,2378,90512,48723,41144,40315,655125,098
            195321,2869,01012,06323,42146,06115,800127,641
            195420,6789,07012,44624,24948,02116,718131,182
            195520,5118,88412,27724,58050,78217,621134,655
            195621,5488,89711,86624,99351,34719,154137,805
            195721,9989,06811,58824,31052,31319,734139,011
October—
            195717,0539,10811,78024,40253,25719,983135,583
Male Working Proprietors
April—
            1947789909241,2492,6637406,644
            1948701,0689231,3392,8827667,048
            1949701,1831,0371,6043,1468037,843
            1950621,1571,0111,6163,1628227,830
            1951571,0779581,4763,0027797,349
            1952609609141,4663,0277477,174
            1953529588701,5473,1167267,269
            1954661,0359811,7163,6618418,300
            1955629879971,7973,7648828,489
            1956641,0011,0271,8913,9229168,821
            1957831,0491,1592,0534,4101,0229,776
October—
            1957861,0601,1952,0584,5461,0429,987
Female Employees
April—
            19471,3934,58420,5811,1473,4595,49636,660
            19481,4174,58821,1361,1483,6105,43337,332
            19491,3204,74321,3921,0833,5495,41237,499
            19501,4774,89722,3091,1543,6845,82239,343
            19511,5554,53023,5731,2033,8715,89940,631
            19521,6364,58022,5281,2764,2255,87540,120
            19531,8234,80520,8391,2274,3115,64938,654
            19541,7774,76322,6621,3214,6146,01441,151
            19551,6614,91023,5391,4445,1776,34943,080
            19561,7484,76422,7631,5065,0596,51342,353
            19571,9604,97622,5461,4535,1276,70242,764
October—
            19571,7545,10323,5771,4925,3356,87644,137
Female Working Proprietors
April—
            19478352391111865845
            194812351450103368924
            1949104485512652771,164
            195054615281641761,127
            195144525331360671,129
            195244115351950681,087
            195344374982039601,058
            195474555562573761,192
            195584605433174881,204
            195674515552778921,210
            19579452552361241051,278
October—
            19579432574411351091,300
Part-time Employees—Males and Females Combined*
April—
            19571719191,4394931,1029875,111
October—
            19571399531,4835211,1531,0455,294

The following table shows the number of vacancies reported by employers in the half-yearly surveys. Figures on the basis of the revised industrial classification are not available for the years prior to 1953.

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) 19533335,0803511,9043,8031,4171731,13614,197
            19542025,3023842,4903,7811,6921551,22715,233
            19554096,8673882,9714,2492,2312721,59618,983
            19563035,3075302,3233,9201,7772591,53215,951
            19571334,0183161,5283,2041,3992241,16111,983
            1957 (October)1193,9542931,5932,7981,2662361,26111,520
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)         
1953112,7285913238862891,9206,217
            195483,73413 3541,1543081,9257,496
            1955114,1602413371,4964632,0538,545
            195672,6802712281,1703932,0286,534
            1957122,20421 1849794171,7455,562
            1957 (October)52,3281141811,0125041,7945,839

Reported vacancies in manufacturing industry included in the previous table are now shown separately.

Food, Drink, and Tobacco (Other Than Seasonal)Textiles, Clothing, and LeatherBuilding Materials and FurnishingsEngineering and MetalworkingMiscellaneous ManufacturingTotals, Manufacturing Industry*
* Excluding seasonal manufacturing.
Males
April—
            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)
            19531455758973,0004635,080
            19541306789482,8876595,302
            19553107591,3243,6648106,867
            19561603929753,0807005,307
            19571353547992,2864444,018
            1957 (October)1393417652,2674423,954
Females
April—
            19478357,451634511,1439,943
            19484276,1311243808627,924
            19494955,991494038477,785
            19504955,993564089427,894
            19512925,118753266816,492
            19523942,654472344953,824
(Revised basis)
            19531492,24331992062,728
            19541752,934652053553,734
            19552963,201622443574,160
            19561372,075331562792,680
            19571111,783191061852,204
            1957 (October)1281,864241341782,328

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. Figures on the basis of the revised industrial classification are not available for the years prior to 1953.

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)
195359211,7402443,8962,35912,4684,0643,40938,772
195461112,0952414,7162,45713,4594,2783,54041,397
195560312,3752435,1872,48514,1534,4013,63543,082
195662512,5992475,6752,51314,7204,4453,72444,548
195763212,5442425,8992,54315,1434,5013,73945,243
1957 (October)61512,5992516,0372,54315,4784,5893,79145,903
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)
            19535401,3761,9632,4704,1031,28811,740
            19545401,3691,9492,5534,3471,33712,095
            19555351,3331,9802,6004,5671,36012,375
            19565271,3151,9752,6614,7351,38612,599
            19575291,2851,8752,5994,8661,39012,544
            1957 (October)5201,2551,8992,6054,9151,40512,599

The table now following shows the half-yearly survey totals of employment in industry, under a more detailed industrial classification, as at 15 April 1956 and 1957; employment by the General Government, by local authorities, and by private employers being distinguished at the same time in the 1957 figures.

IndustryNumber of Persons* in Industry at 15 April 1956Number of Persons* in Industry at 15 April 1957
MalesFemales
MalesFemalesGovernmentLocal AuthoritiesPrivate*GovernmentLocal AuthoritiesPrivate*

* These figures of full-time employment only are inclusive of working proprietors.

* These figures are inclusive of working proprietors.

Primary industry (other than farming, fishing, and hunting)—
            Forestry2,1321502,221..169163..2
            Logging2,89318152..2,6035..15
            Coalmining4,239513,421..1,11747..2
            Other mining2134....173....1
            Quarrying (n.e.i.)1,21314..1371,168..123
Seasonal manufacturing—
            Meat processing, etc.16,62676022916,581..1748 
            Fruit and vegetable preserving748584....934....807
            Dairy factories4,238411....4,337....413
Food, drink, and tobacco (other than seasonal)—
            Grain milling80973....801....76
            Bread bakeries2,117562....2,105....573
            Biscuit making578707....662....737
            Cake and pastry making9831,300....1,004....1,327
            Sugar and confectionery1,401892....1,420....963
            Other food969703....1,051....739
            Beverages2,56329816..2,5832..305
            Tobacco manufacture478680....475....706
Textiles, clothing, and leather—
            Tanneries1,252115....1,220....116
            Fur dressing and manufacture106143....91....125
            Leather goods507441....472....399
            Knitted wear and hosiery1,3422,342....1,270....2,470
            Flax, rope, and twine41557....394....53
            Woollen mills1,4891,128....1,508....1,201
            Other textile production814404....945....432
            Clothing manufacture3,46715,945....3,387....15,498
            Footwear manufacture2,4971,982....2,429....1,988
            Footwear repair28224....296....31
            Other textile articles722737....735....785
Building materials and furnishings—
            Sawmilling, plywoods, etc.9,404323479..8,57715..321
            Builders' woodwork4,3551135404,300....109
            Furniture and cabinets4,228352....4,221....358
            Other wood manufacture1,09921820..1,0358..189
            Brick, tile, and stoneware1,18935....1,142....30
            Pottery and glass1,494300....1,407....286
            Lime, cement, etc.5,115192..465,091....173
Engineering and metal-working—
            Engineering and machinery20,4182,031..320,167....2,020
            Electrical manufacture4,0351,121....4,026....1,084
            Ships, locomotives, etc.6,482575,707..1,02438..20
            Vehicle and cycle manufacture4,200338....4,459....384
            Vehicle repair and aircraft20,1341,5901251,15120,0612141,689
Miscellaneous manufacturing—
            Chemicals and by-products4,4271,442..34,550....1,438
            Rubber manufacture2,562591....2,517....570
            Paper and pulp products2,941976....3,084....1,018
            Printing, publishing, and allied7,8982,431564..7,616131..2,403
            Instruments, clocks, jewellery1,001368....1,016....375
            Other manufacturing (n.e.i.)1,241797....1,406....872
            Power, water, and sanitary services11,0318093,3346,9681,01017354079
            Building and construction55,2351,20411,0572,17742,44142065709
Transport and communication—
            Rail transport17,3601,20218,15463..1,1985 
            Road transport16,1161,0101,4841,92612,84962130780
            Water transport (not waterfront)4,4604431542,9271,499382369
            Air transport1,497325598..98263..294
            Post and telegraph14,0785,64415,079....6,069  
Distribution and finance—
            Wholesale and retail trade62,80133,7815223764,828241034,996
            Storage57197....599....101
            Finance6,9864,2471,202..5,998767..3,439
            Insurance3,1392,290555..2,747445..1,955
            Real estate1,150415....1,149....405
            Wool and grain stores (seasonal)2,26236....2,487....31
Domestic and personal services—
            Provision of lodging, food, etc.7,36410,50044..7,611101410,471
            Portrait and photo studios440558....482....588
            Laundries, cleaning, etc.1,7022,154....1,782....2,338
            Barbers, beauty shops, etc.8021,336....798....1,382
            Recreation, sport, etc.3,5071,2909748901,75838751865
            Undertaking40629..185232..537
Administration and professional—
            Hospitals6,17316,2991,5744,7671401,49113,8201,994
            Medical and allied services5991,89368..5211,102..822
            Education and instruction12,26013,9131,7189,2751,4611,37410,8762,094
            Arts, sciences, and religion1,264415716..717201..299
            Government services (n.e.i.)12,2914,81712,967....5,159  
            Local authorities (n.e.i.)7,633919..8,144....962 
            Miscellaneous services and agencies4,2335,489204..4,188158..5,510
                            Totals412,676154,91582,64439,168301,90819,60826,566113,432

NOTE.—The preceding table does not include Armed Forces personnel, numbering 9,600 in April 1956, and 9,900 in April 1957, or persons engaged in farming, fishing, hunting, waterfront work, one-man business units, etc., estimated to total 237,700 in April 1956 and 239,700 in April 1957.

An effective correlation of the figures shown in the preceding tables with those of employment in factories found in Section 24 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 1066–68. 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 1956 and 31 March 1957.

TradeApprenticeship Contracts
Registered During Year Ended 31 MarchCompleted During Year Ended 31 March*In Force at 31 March
195619571956195719561957
* Exclusive of lapses and cancellations.
Aircraft26372124120124
Baking34332217119118
Boilermaking42271219109104
Boot repairing1110665651
Bricklaying50532215123151
Carpentering1,2051,0217106904,4874,673
Clothing49384529163157
Coachbuilding225259127128805865
Coopering  1 11
Dentistry58352325
Electrical3382732542251,1661,166
Engineering3353022232131,2601,300
Motor engineering8938474724433,0923,315
Footwear manufacturing50453220178186
Furniture239186206159948908
Gardening9291375576
Hairdressing41282520107108
Jewellery32222823136129
Lead burning3  165
Masonry1 3153
Moulding12108114137
Painting1431439081493510
Photo-engraving251817148887
Plastering78674946282281
Plumbing2732221161001,0121,086
Printing17618012195598652
Radio49462123135146
Refrigeration servicing28121518124111
Saddlery, leather, and canvas goods710653739
Sheet-metal working32331820127134
Shipbuilding232617117387
Terazzo work 1  34
Other3547171087114
                Totals4,4694,0332,7202,47916,05916,753

VACANCIES, PLACEMENTS, AND DISENGAGED PERSONS.—In addition to the 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. 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 1956 to December 1957 (together with monthly averages for the calendar years 1947–57 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 IslandTotal
Monthly Average For Calendar Years
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
19552,2555,6923,1151,5557531,48414,854
19561,7275,2612,3971,3529141,33512,986
19571,4723,2761,7577346521,0358,926
Monthly Totals
1956—
          December1,5974,1672,1931,2428631,25511,317
1957—
          January1,7713,9812,1121,1797311,22811,002
          February1,5053,7082,1361,1167381,21610,419
          March1,3073,6022,0198106551,1699,562
          April1,3483,5241,8377676591,1039,238
          May1,3843,4071,7136856281,0298,846
          June1,2993,4251,6746776079678,649
          July1,2513,0421,5566036029327,986
          August1,4382,9021,5725646239208,019
          September1,4732,9331,6655766229218,190
          October1,5403,0021,6295426589618,332
          November1,6223,0111,6646206249978,538
          December1,7202,7801,5046716739828,330

Placements.—An industrial analysis of placements by the Department of Labour during the years 1947 to 1957 and for each month from December 1956 to December 1957 follows: not all these placements were, however, of disengaged persons.

Primary IndustryManufacturing IndustryBuilding and ConstructionPower, Water, and Sanitary ServicesTransport and CommunicationDistribution and Finance, etc.Domestic and Personal ServicesAdministration and ProfessionalTotal
Annual Totals
19475,1836,8222,6323201,2432,7721,4921,75222,216
19485,3395,8262,7472691,0301,7841,3571,91320,265
19495,5796,1772,8193001,3521,7161,6002,00721,550
19506,1296,3482,8023359741,7261,4572,00921,780
19515,7966,5953,0203761,5301,8151,6772,15822,967
19525,4027,0413,5493821,9391,6311,7002,41124,055
19534,8626,9543,8812981,4521,5601,4852,19622,688
19544,3234,5462,7462659921,4461,2571,45717,032
19553,5684,0722,7982786531,4971,2001,43115,497
19563,5633,6772,4612529401,5361,1981,53315,160
19573,4334,2742,4402261,1621,8691,3131,70616,423
Monthly Totals
1956—
          Dec.1342671607611109087916
1957—
         Jan.66937219415891661191961,820
          Feb.1,011474228231002021101852,333
          March374312189134915497991,287
          April165227199135511199109978
          May206595259301812031452191,838
          June117347215261151161051221,163
          July166350203211071521211381,258
          Aug.161438263221811841171891,555
          Sept.1153091722268132114991,031
          Oct.96287191115311988105950
          Nov.2252761662070153101871,098
          Dec.1282871611094177971581,112

A classification of these placements by district grouping is contained in the next table.

AucklandWellington and Lower HuttOther North IslandChristchurchDunedinOther South IslandTotal
Annual Totals
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
19551,8122,3873,7321,4582,1993,90915,497
19561,6752,9793,3081,2801,9443,97415,160
19571,7203,8383,7781,3341,9843,76916,423
Monthly Totals
1956—
          December13116819699163159916
1957—
          January1534082541411377271,820
          February1754272891921491,1012,333
          March1312402571151164281,287
          April11916031474120191978
          May2295114391362572661,838
          June132249321632291691,163
          July1213603581181691321,258
          August1624764431032111601,555
          September103253327991411081,031
          October10823126199131120950
          November90197332781782231,098
          December1973261831161461441,112

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 1956 to December 1957, together with monthly averages for the calendar years 1947–57 inclusive.

Vacancies at End of MonthPlacements During MonthDisengaged Persons at End of Month
MalesFemalesTotalMalesFemalesTotalMalesFemalesTotal
Monthly Average For Calendar Years
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
195510,1534,70114,8549013901,291441256
19568,9584,02812,9868663971,26324019259
19575,8643,0628,9269414281,36936826394
Monthly Totals
1956—
          Dec.7,5173,80011,31766325391625717274
1957—
          Jan.7,3213,68111,0021,1117091,82025530285
          Feb.6,9723,44710,4191,2361,0972,33320215217
          March6,4323,1309,5628544331,28729931330
          April6,1503,0889,23869628297828321304
          May5,8393,0078,8461,3574811,83837530405
          June5,6063,0438,6498722911,16351327540
          July5,2692,7177,9869513071,25858726613
          Aug.5,2232,7968,0191,1404151,55550333536
          Sept.5,3662,8248,1908002311,03147830508
          Oct.5,3842,9488,33267327795033021351
          Nov.5,4333,1058,5388232751,09827422296
          Dec.5,3682,9628,3307723401,11231228340

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 1957 was 217 in February of that year. In general the figures from May 1956 onwards have been the highest recorded since 1946, but most of these disengaged persons have been in the unskilled and semi-skilled categories.

EMPLOYMENT ON FARMS.—The omission of farm employment from the Department of Labour statistics shown on the preceding pages is partly made good by figures derived from the collection of farm production statistics undertaken by the Department of Statistics.

A table giving special detailed statistics of farm workers and farm population 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 1956 to April 1957. 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 StoresTotal, Seasonal Industry
Males
                1956
April16,5817294,2382,26123,809
May15,2627693,8591,91221,802
June13,6437843,5701,42319,420
July12,0997863,6481,41517,948
August11,8967804,0751,61018,361
September11,2487804,5961,83018,454
October10,9597924,8942,16418,809
November13,2438275,0833,33522,488
December18,9811,3985,0733,53828,990
                1957
January20,0241,5314,9703,46229,987
February19,3181,5304,7893,10128,738
March18,5161,2624,5412,67126,990
April16,7539124,3332,48224,480

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 1947 to 1957 and at quarterly intervals from December 1956 to December 1957. 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—
          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
          19552,8633,0074,958133288
          19562,8452,7985,582118257
          19572,7343,3945,157186350
Month—
          1956—December2,8252,9095,677111309
          1957—March2,7893,2615,474191358
                June2,7373,4575,062209378
                September2,6663,6144,847208324
                December2,6633,5774,810163368
Average for calendar year—
            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
            19555,3093451421,86018,905
            19565,540471332,01419,658
            19574,4512291182,63919,258
Month—
            1956—December4,988490 2,15919,468
            1957—March4,7661891362,80119,965
                June4,3202311292,75419,277
                September4,2931981582,63818,946
                December3,8611091012,56418,216

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 AUTHORITIES STATISTICS.—The following table shows employment by local authorities for each month from April 1952 to March 1957. Employees of Electric Power Boards and Fire Boards are included here but not those of Hospital Boards.

Month1952–531953–541954–551955–561956–57
April21,03421,77622,23522,19422,581
May21,43521,95622,26222,50723,058
June21,41922,18722,28322,44423,225
July21,75822,32122,44622,42323,332
August21,75122,38122,48422,65323,468
September21,86522,32622,40122,52323,369
October21,80522,26622,23222,36723,247
November21,91122,18422,21322,44223,265
December22,21722,37222,42822,75723,329
January21,94622,12322,29422,52623,065
February21,98321,99822,40222,54323,117
March22,07221,98422,15422,58723,087

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 1954 consolidated the former 1925 Act and its amendments.

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 is made under section 79 of the Industrial Conciliation and Arbitration Act 1954 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 1957 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. Industrial districts are provided for by section 6 of the Industrial Conciliation and Arbitration Act 1954, and eight such districts have been gazetted (See Statutory Regulations 1954/221). 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 warrants it, 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 1952-56 are shown in the following table.

At 31 DecemberIndustrial District
NorthernWellingtonCanterburyOtago and SouthlandTaranakiMarlboroughNelsonWestlandNorth IslandSouth IslandNew ZealandTotal

* 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.

‡ Membership of 267 unions only; membership of 1 union (Northern District) not available. Membership of this union in 1953 was 11.

§ Membership of 258 unions only; membership of 5 unions (Wellington District, 1; Canterbury, 2; Otago and Southland, 1; and Taranaki, 1) not available. Membership of these 5 unions in 1954 was 66.

∥ Membership of 259 unions only; membership of 1 union (Canterbury District) not available. Membership of this union in 1955 was 48.

Number of Unions
195247824238851065130274
195347793936951055131267
195448793936951055131268
19554577383595964134263
19564674373485964136260
Membership
19524,2103,2361,6091,5934668532113910087,78419,551*
19534,6603,2431,6451,6334798432711010687,86020,155
19544,6783,2231,5941,6104698932612410368,14820,370
19554,8153,1361,6161,624448913041318468,71020,965§
19564,9043,0901,6801,597468903161298568,96121,326

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 1956 figure of 21,326 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.—The following table shows membership only of industrial unions of workers for each year from 1900 to 1956. The outstanding feature is the large increase consequent upon the 1936 Amendment to the Industrial Conciliation and Arbitration Act which made union membership compulsory whenever an award or industrial agreement existed; on the other hand the effect of both world wars, of the economic depression of the 1930's, and of the waterfront strike of 1951 (which incidentally was responsible for an incomplete coverage in the 1950 statistics) are clearly discernible. For every year since 1950 an increased membership has been recorded. A provisional figure for December 1957 is 317,115.

MEMBERSHIP OF INDUSTRIAL UNIONS OF WORKERS
190017,989
190123,768
190223,816
190327,640
190430,271
190529,869
190634,978
190745,614
190849,347
190954,519
191057,091
191155,629
191260,622
191371,544
191473,991
191567,661
191671,587
191772,873
191871,447
191982,553
192096,350
192197,719
192296,838
192394,438
192496,822
1925100,540
192699,567
1927101,071
1928103,980
1929102,646
1930101,526
193190,526
193279,283
193371,888
193474,391
193580,929
1936185,527
1937232,986
1938249,231
1939254,690
1940248,081
1941231,049
1942218,398
1943214,628
1944223,027
1945229,103
1946247,498
1947260,379
1948271,100
1949275,977
1950267,225
1951272,843
1952283,456
1953290,149
1954299,242
1955304,277
1956307,619

The same information is now depicted graphically at five-yearly intervals in the diagram below.

The next table shows both numbers of workers' unions and their membership as at the end of each of the five years 1952 to 1956, dissected into industrial districts. It, should be noted that the statistics cover only unions registered under the Industrial Conciliation and Arbitration Act.

At 31 DecemberIndustrial District
NorthernWellingtonCanterburyOtago and SouthlandTaranakiMarlboroughNelsonWestlandNorth IslandSouth IslandNew ZealandTotal

* Membership of 414 unions only; membership of one union (Otago and Southland District) not available. Membership of this union in 1951 was 40.

† Membership of 412 unions only; membership of one union (Wellington District) not available. Membership of this union in 1953 was 12.

‡ Membership of 407 unions only; membership of 3 unions (Wellington District, 1; Taranaki, 1; and Nelson, 1) not available. Membership of these 3 unions in 1954 was 243.

§ Membership of 408 unions only; membership of 5 unions (Northern District. 1; Wellington, 2; Canterbury, 1; and Otago and Southland, 1) not available. Membership of these 5 unions in 1955 was 412.

Number of Unions
195210081428919920163135415
19539485438619919174135412
19549789448519919173229413
19559789438615919193129410
19569990448616919172130413
Membership
195264,44845,43027,81125,2204,9791,4132,4653,4173,39232104,849283,456*
195365,98847,17028,24524,6415,2771,1932,4233,4923,88534107,801290,149
195471,57451,78832,07725,5156,0891,5693,9094,5684,2877397,793299,242
195575,61452,82431,74526,7835,5621,4213,2304,5984,7553397,712304,277
195674,36553,60433,52426,9345,7841,4643,6714,5754,5763199,091307,619

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 OverTotal
Number of Unions
190114230195411......202
1911182532623148........307
19212397036282811321..418
193123958313029143..1..405
19411847038383227131052419
19511656944383928111173415
1953155674541452591483412
19541605843444724141193413
19551545749414431101293410
19561556445394429131293413
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
19517,76110,22510,39414,67127,27439,65827,36443,21840,27852,000272,843
19537,0029,42310,74216,12332,36936,04820,54053,27250,58554,045290,149
19547,3958,3739,88617,23234,47333,55533,49942,83957,50154,489299,242
19557,0347,43011,37815,85632,40144,54123,93146,81360,12354,770304,277
19566,7758,80210,31415,16431,35440,01931,16747,02362,10154,900307,619
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
19512.93.73.85.410.014.510.015.914.819.0100.0
19532.43.23.75.611.212.47.118.417.418.6100.0
19542.52.83.35.811.511.211.214.319.218.2100.0
19552.42.43.75.210.714.67.915.419.718.0100.0
19562.22.93.44.910.213.010.115.320.217.8100.0

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 413 workers' unions registered in 1956 was 745.

INDUSTRIAL AND GEOGRAPHICAL DISTRIBUTION.—In the next table industrial unions of employers as at the end of 1956 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 ZealandTotal
Provision of—
Food, drink, etc.2,4146464136912681114334....784,69859
            Clothing, footwear, and textiles4278517............3,2843,46211
            Building and construction1,6021,06857150912052121........4,04350
            Power, heat and light..355130124............10070911
            Transport by water162020694103....2311114
            Transport by land1121245465........1267044311
            Accommodation, meals, and personal service46339831812258234292....7092,22532
Working in or on—
            Wood, wicker, seagrass, etc.57634114............4005759
            Metal3026............18..76083413
            Stone, clay, glass, chemicals, etc...43114........29..6126998
            Paper, printing, etc.139129525213..........1940418
            Skins, leather, etc.94113..............276
            Mines and quarries The land (farming pursuits)20758..........26..2,4992,62810
Miscellaneous..61................4074688
                Totals4,9043,0901,6801,597468903161298568,96121,326260

Similar information to that given for industrial unions of employers is now given for workers' unions, as at the end of 1956.

Industrial GroupMembership—Industrial DistrictNumber of Unions
NorthernWellingtonCanterburyOtago and SouthlandTaranakiMarlboroughNelsonWestlandNorth IslandSouth IslandNew ZealandTotal
Provision of—
Food, drink etc.10,0406,2034,6035,31385917741118270316,27034,19577
            Clothing, footwear, and textiles7,6005,6364,7922,611..............20,63917
            Building and construction13,2885,0494,0732,8421,0172528151,073....1,60630,91539
            Power, heat, and light27166133652273414......4685
            Transport by water3,7953,2019271,41631046102122....3,31613,23546
            Transport by land3,5283,3292,7001,811575208510225....21,50934,39521
            Transport by air....................1851851
            Accommodation, meals, and personal service9,8716,9393,4642,901894278346435......25,12826
Working in or on—
Wood, wicker, seagrass, etc.1,7021,2287634396760394980....8,09013,72317
            Metal1,0801,4767052,630922273224,306..23,89034,29625
            Stone, clay, glass, chemicals, etc.1,17583437939180..143......1303,13220
            Paper, printing, etc.881....292............5,0476,2203
            Skins, leather, etc.6943351714816..5........1,2697
            Mines and quarries263..33241......1,041......1,57816
            The land (farming pursuits)19147....32..........16,98217,2524
Miscellaneous20,23018,26110,7815,9341,820414838645....12,06670,98989
                            Totals74,36553,60433,52426,9345,7841,4643,6714,5754,5763199,091307,619413

INDUSTRIAL ASSOCIATIONS.—At 31 December 1956 there were 18 industrial associations of employers and 39 of workers, the former having 135 affiliated unions and the latter 216. 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
19551956195519561955195619551956
Provision of—
            Food, drink, etc.553937553131
            Clothing, footwear, and textiles........331211
            Building and construction334040332322
            Transport by water111010442525
            Transport by land1144111212
            Accommodation, meals, and personal service222121331718
Working in or on—
            Wood, wicker, seagrass, etc.11442277
            Metal........331010
            Stone, clay, glass, chemicals, etc.1133331010
            Paper, printing, etc.221111    
            Skins, leather, etc.11331144
            Mines and quarries........2245
            The land (farming pursuits)11221132
Miscellaneous........885859
                Totals18181371353939216216

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 for total wage earners are derived from census enumerations and 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 EarnersCalendar Year Nearest to Census 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 (April)577,6941950 (December)267,225*46
1956 (April)653,3581955 (December)304,27747

Chapter 41. SECTION 41—INDUSTRIAL DISPUTES

Table of Contents

THE compilation of statistics regarding industrial disputes was first undertaken by the Department of Statistics at the beginning of the year 1920. Information concerning disputes prior to that year was obtained by the 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 pages 1064-65 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 1921-57.

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 1921-57 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
195565 6511420,22452,043185,287
195650 5042613,57923,87084,206
195751 518815,54528,18683,023

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 1953-57 being 101 (134 stop-work meetings), involving 44,857 workers, and the loss of 21,331 working days and of £65,219 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 1953 these cases comprised 44 out of 73 stoppages; in 1954, 30 out of 61; in 1955, 25 out of 65; in 1956, 17 out of 50; and in 1957, 18 out of 51.

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. Since 1951 there has been comparative peace in industry; the numbers of disputes, working days lost, workers involved, and estimated loss in wages have been much smaller than the annual figures recorded over the period 1947 to 1951 (inclusive).

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. During its course 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 working 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. 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. Two disputes accounted for over 50 per cent of the working days lost in 1955; a strike at the Roxburgh hydro-electric construction works involved the loss of 17,178 working days, and a dispute over employment conditions in the building and construction industry resulted in the loss of 9,179 days. In 1956 two industrial groups—meat industry, and building and construction—accounted for about two-thirds of the number of working days lost and estimated loss in wages. During 1957 the majority of the time lost was in the building and construction, meat-freezing, and coal mining industries, a number of comparatively minor disputes having occurred in each of these fields. The single project most affected was the Meremere (Mercer) power station.

NATURE AND DURATION.—The next table shows the nature of the disputes and the number of workers involved during the years 1947-57.

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.
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
195461   6116,153   16,153
19556221 6520,04412357 20,224
195650   5013,579   13,579
195751   5115,545   15,545

The table following illustrates the duration of disputes during 1957.

DurationNumber of DisputesNumber of Firms AffectedNumber of Workers InvolvedNumber of Working Days LostEstimated Loss in Wages
 £
1 day and less20437,0935,19221,682
Over 1 day but not over 2 days881,2382,2306,321
Over 2 days but not over 3 days9204,6534,93218,487
Over 3 days but less than 1 week553091,0833,575
1 week but less than 2 weeks8101,5867,42322,187
2 weeks but less than 4 weeks126667,32610,771
4 weeks but less than 8 weeks     
8 weeks and over     
                Totals518815,54528,18683,023

GEOGRAPHICAL DISTRIBUTION.—The following table shows the number of disputes in each industrial district for the years 1953-57 and also the number of workers involved. In 1957 the Northern District had the greater number of strikes, and the greatest number of workers involved. The building and construction, waterfront, paper, meat, milk, and brick industries accounted for all the workers involved in the Northern District disputes for 1957.

YearNorthernTaranakiWellingtonMarlboroughNelsonWestlandCanterburyOtago and SouthlandTotal
Number of Disputes
195317 4 73141073
195418 9  255461
19553025  173865
195619 4  714650
195733 5  52651
Number of Workers Involved
195311,441 348 2,0625,4712,02183222,175
19546,446 1,925  4,7281,5171,53716,153
195510,5751321,142  3,8681,4663,04120,224
19562,529 1,773  1,4664,7753,03613,579
195710,319 726  3,15061673415,545

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 Group19531954195519561957
Number of Disputes
Provision of—
    Food, drink, etc.68101714
    Clothing, footwear, and textiles21   
    Building and construction91124622
    Power, heat, and light111  
    Transport by water and air13544
    Transport by land51211
    Accommodation, meals, and personal service12   
Working in or on—
    Wood, etc.13 1 
    Metal1121 
    Stone, clay, glass, chemicals, etc. 2281
    Paper, printing, etc.   32
    Skins, leather, etc.     
    Mines and quarries—
        Coal mines46261875
        Gold mines     
    The land (farming pursuits)     
Miscellaneous 2122
                Totals7361655051
Number of Workers Involved
Provision of—
    Food, drink, etc.2462,3481,9075,4342,122
    Clothing, footwear, and textiles2,10014   
    Building and construction1,8453,4446,0921,5514,238
    Power, heat, and light3950519  
    Transport by water and air1,0083,5444,1732,4384,903
    Transport by land1781321,47810320
    Accommodation, meals, and personal service971612   
Working in or on—
    Wood, etc.292217 150 
    Metal7,0506270137 
    Stone, clay, glass, chemicals, etc. 1806691,31772
    Paper, printing, etc.   938430
    Skins, leather, etc.     
    Mines and quarries—
        Coal mines8,4464,9284,9961,4663,150
        Gold mines     
    The land (farming pursuits)     
Miscellaneous 16782045610
                Totals22,17516,15320,22413,57915,545

Out of a total of 300 disputes during the five years 1953-57, 102 disputes, involving 22,986 workers, occurred in the mining and quarrying group; 72 involving 17,170 workers in the building and construction group; 55 involving 12,057 workers in the group covering provision of food, etc. (mainly meat freezing); 17 involving 16,066 workers in the group covering transport by water and air (mainly waterfront industries); while in the metal-working group there were 5 disputes involving however, 7,319 workers. A more detailed analysis of disputes occurring during 1957 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.14221,8412812,1226,43220,300
    Clothing, footwear, and textiles       
    Building and construction22234,238 4,23814,28532,255
    Power, heat, and light       
    Transport by water and air4304,903 4,9032,17510,450
    Transport by land1120 2050160
    Accommodation, meals and personal service       
Working in or on—
    Wood etc.       
    Metal       
    Stones, clay, glass, chemicals, etc.1172 72144322
    Paper, printing, etc.22430 4305505,000
    Skins, leather, etc.       
Mines and quarries—
        Coal mines579642,1863,1503,15011,136
        Gold mines       
The land (farming pursuits)       
Miscellaneous22610 6101,4003,400
                Totals518813,0782,46715,54528,18683,023

CAUSES.—In the next table the causes of disputes which occurred during the years 1953-57 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.

Cause19531954195519561957
Number of Disputes
Wages2018111914
Hours  11 
Employment1317211720
Other working conditions10815512
Sympathy  2  
Other causes30181585
                Totals7361655051
Number of Workers Involved
Wages3,3754,1322,9906,8823,920
Hours  860135 
Employment1,9034,0307,6422,5185,453
Other working conditions2,4771,8572,5739643,648
Sympathy  123  
Other causes14,4206,1346,0363,0802,524
                Totals22,17516,15320,22413,57915,545

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 1957 will be found on page 1118.

METHODS OF SETTLEMENT.—Following is a table showing the methods of settlement of disputes during the years 1952-56. “Negotiations under Act” from 1952 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 Settlement19531954195519561957
Number of Disputes
Negotiations under Act     
Private negotiations between parties2020262418
Intervention of third party869915
Substitution     
Voluntary return to work4430251718
Other155  
                Totals7361655051
Number of Workers Involved
Negotiations under Act     
Private negotiations between parties4,1382,5567,2336,5803,757
Intervention of third party6422,6832,4941,1202,115
Substitution     
Voluntary return to work17,3449,8059,5095,8799,673
Other511,109988  
                Totals22,17516,15320,22413,57915,545

Further information for the year 1957 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 parties18193,75714,36329,826
Intervention of third party15202,1155,23116,911
Substitution     
Voluntary return to work18499,6738,59236,286
Other     
                Totals518815,54528,18683,023

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

Result19531954195519561957
Number of Disputes
In favour of workers511131114
In favour of employers38896
Compromise21111485
Indeterminate4431302226
                Totals7361565051
Number of Workers Involved
In favour of workers2052,4852,7571,4652,434
In favour of employers9711,0731,1681,529976
Compromise4,2532,9683,8452,930406
Indeterminate16,7469,62712,4547,65511,729
                Totals22,17516,15320,22413,57915,545
Number of Working Days Lost
In favour of workers2408,0959,5122,99210,102
In favour of employers9711,2107138,4014,062
Compromise6,4205,68531,0495,4001,144
Indeterminate11,6605,48410,7697,07712,878
                Totals19,29120,47452,04323,87028,186

Of disputes ending definitely in favour of one party or the other during the five years 1953-57, workers succeeded in 54 instances and employers in 34. In the previous five years (1948-52) workers were successful in 80 instances and employers in 31.

CAUSES AND RESULTS.—In the following table the causes and results of disputes occurring during 1957 are shown in conjunction.

ResultCause
WagesHoursEmploymentOther Working ConditionsSympathyOtherTotal
Number of Disputes
In favour of workers4 73  14
In favour of employers1 32  6
Compromise1 22 5 
Indeterminate8 85 526
                Totals14 2012 551
Number of Firms Affected
In favour of workers9 83  20
In favour of employers1 32  6
Compromise1 22  5
Indeterminate10 195 2357
                Totals21 3212 2388
Number of Workers Involved
In favour of workers349 9311,154  2,434
In favour of employers20 368588  976
Compromise145 75186  406
Indeterminate3,406 4,0791,720 2,52411,729
                Totals3,920 5,4533,648 2,52415,545
Number of Days Lost
In favour of workers448 7,7761,878  10.102
In favour of employers20 8393,203  4,062
Compromise725 240179  1,144
Indeterminate5,620 4,6101,326 1,32212,878
                Totals6,813 13,4656,586 1,32228,186
Estimated Loss in Wages
 £££££££
In favour of workers1,447 12,4036,210  20,060
In favour of employers47 2,8867,272  10,205
Compromise3,516 828803  5,147
Indeterminate17,633 17,9343,588 8,45647,611
                Totals22,643 34,05117,873 8,45683,023

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 the Year-Book.

The present Section relates in particular to the years 1952 to 1956, and continues the new series of statistics of industrial accidents commenced in 1949, with a further revision in 1951. The main reason for the lack of comparability of the statistics for recent years 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.

In 1951, despite the closing of the monopoly, the extended coverage was maintained, and even improved, through the assistance of the 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 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 coverage has been further improved by the reporting, from the beginning of 1956, of accidents in all Government Departments. Previously the only Departments covered were Printing and Stationery, State Hydro-electric, New Zealand Government Railways, Post and Telegraph, Mines, Ministry of Works, and New Zealand Forest Service.

The statistics in this Section are all collected and compiled by the Department of 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. A similar basis has been used for subsequent years.

Until 1 December 1951 no compensation was payable for absence from work of less than three days. Since the repeal of this provision, effective from 1 December 1951, all accidents have been included where disability lasted beyond the day (or shift) in which the accident occurred.

Under arrangements with insurers and self-insurers, 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. Where long absences from work or lengthy negotiations prevent returns by that time, they must be included in the statistics for a subsequent year.

This arrangement does not apply to tabulations in respect of annual periods prior to 1953, but ensures that the statistics from 1953 onwards are comparable.

A survey of the 1953 returns shows that there were 1,075 reports of accidents occurring in years prior to 1953. Included in this total were 12 fatal accidents, 2 resulting in permanent total disability, and 165 in permanent partial disability.

NUMBER OF ACCIDENTS AND AMOUNT OF COMPENSATION PAID.—The distribution of industrial accidents in 1955 and 1956, according to the source of information, is indicated in the following table.

In this and in the subsequent tables the compensation figures include damages awarded by the judgment of a Court or by private negotiation, medical and travelling 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*Compensation (Including Damages)Compensation Per Case
19551956195519561955195619551956

* Accidents per 100,000 man-hours worked.

 ££££
Ministry of Works7998965.2314.47350,30629,66963.033.1
State Hydro-electric Department2872774.5643.1986,5679,54422.934.5
New Zealand Forest Service3514848.9018.1348,97910,70125.622.1
New Zealand Government Railways Department2,1713,0384.0575.53161,828148,77528.549.0
Post and Telegraph Department7858131.9981.92920,73833,24026.440.9
Mining and quarrying2,4042,61419.88720.329137,987188,92457.472.3
Other Government Departments 391 0.663 11,632 29.7
Other private industry and local authorities35,24135,1172.9293.1741,687,8761,910,13847.954.4
     Totals42,03843,6303.1523.3311,974,2812,342,62347.053.7

In the table following, industrial accidents during the year 1956 are classified into certain important industrial groups. The New Zealand Standard Industrial Classification of all Economic Activities has been followed since 1951.

The figures for calendar days lost are arrived at by adding together the actual days lost through temporary incapacity; the expectation of working life (taken according to the age of the worker from the "Tables of Working Life, 1951") lost through each fatal accident; and a percentage of this for each accident resulting in permanent disability, according to the percentage of that disability.

For earlier years these figures were calculated without reference to the age of the worker, so that the figures for calendar days lost in the following table are not comparable with those in previous issues of the Year-Book. (In subsequent tables in this section the Time Charge and Physical Injury Severity Rate are calculated without reference to the age of the worker.)

Industrial GroupTotal AccidentsCalendar Days LostTotal Compensation (Including Damages)
TotalAverageTotalAverage
 ££
Agriculture, forestry, hunting, and fishing—
   Agriculture and livestock production3,233435,276135217,36067.2
   Forestry and logging1,196147,35212380,52967.3
   Hunting, trapping, and game propagation5410,6591974,46382.6
   Fishing737,93510910,367142.0
Mining and quarrying—
   Coal mining2,244142,81764137,13661.1
   Metal mining272,329861,92671.3
   Crude petroleum and natural gas81251617922.4
   Stone quarrying, clay and sand pits33077,07423449,597150.3
   Non-metallic mining and quarrying568148617.2
Manufacturing—
   Food5,939227,86038210,12035.4
   Beverages27114,4885312,09044.6
   Tobacco581,365242,80548.4
   Textiles31217,9155714,54746.6
   Footwear, other wearing apparel, and made-up textile goods34314,1224111,72334.2
   Wood and cork (excluding furniture)2,245221,67699128,43857.2
   Furniture and fixtures28431,85111215,31353.9
   Paper and paper products55336,4546628,02750.7
   Printing, publishing, and allied industries23919,3918111,61148.6
   Leather and leather products (except footwear)1147,720685,22445.8
   Rubber products20219,3849615,85278.5
   Chemicals and chemical products57331,6075526,87246.9
   Products of petroleum and coal491,323271,72935.3
   Products of non-metallic minerals86765,3137548,15255.5
   Metal products (except machinery and transport equipment)68051,3657642,77662.9
   Machinery (except electrical machinery) and general engineering1,62265,3934067,72041.8
   Electrical machinery, apparatus, appliances, and supplies2009,2804611,05455.3
   Transport equipment1,694117,0516981,18547.9
   Miscellaneous industries7810,9571407,01589.9
   Construction6,923535,07459371,31453.6
Electricity, gas, water, and sanitary services—
   Electricity, gas, and steam811133,85616583,847103.4
   Water and sanitary services25520,282808,60733.8
Commerce—
   Wholesale and retail trade2,680193,84372135,79150.7
   Banks and other financial institutions112252038935.4
   Insurance104644655955.9
   Real estate104274357357.3
Transport, storage, and communication—
   Transport6,468409,40363359,18255.5
   Storage and warehousing2368,3053510,37043.9
   Communication81543,2135333,26240.8
Services—
   Government2194,825225,84626.7
   Community and business77437,1974839,14350.6
   Recreation18716,7048914,74478.8
   Personal73646,5976335,05847.6
   Ill-defined and not specified232164221.0
     Totals43,6303,238,597742,342,62353.7

The following table shows, for the last five years, 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
 £ £ £ £
1952541,544.9495473.036,65222.837,20130.8
1953561,385.6782703.038,68524.139,52339.5
1954621,649.8961808.439,55825.340,58146.3
1955631,918.6982773.840,99326.742,03847.0
1956972,239.4949976.442,58428.243,63053.7

The maximum amount, irrespective of travelling, medical, legal, funeral, and similar expenses payable under the Workers' Compensation Act in respect of a fatality was raised from £1,000 to £1,500 in 1948, with the new provision that no deduction was to be made from this amount of any weekly payments prior to death unless the total of the principal amount and the weekly payments exceeded £1,750. The minimum amount was raised from £300 to £750. At the same time the maximum and minimum payments of weekly compensation became £5 10s. and £2.

The amounts payable under these headings from that date are set out in the next table.

Effective DateMaximum PrincipalMaximum Before ReductionMinimum PrincipalMaximum WeeklyMinimum Weekly
 ££££s.d.£s.d.
1 April 19481,5001,7507505100200
1 September 19491,7502,000750600200
1 December 19501,7502,0007506100200
13 July 19511,7502,0007507100200
1 December 19512,0002,3007507100200
19 September 19522,0002,300750800200
17 September 19532,1502,450750800200
24 December 19532,3702,7008258160240
23 December 19542,4302,770850910250
13 December 19562,5402,890890990270
1 April 19572,5902,958None990270

With the Workers' Compensation Act 1956, effective from 1 April 1957, there became payable for the first time an allowance of £1 a week for a dependent wife, and 10s. for each dependent child. An allowance of £50 is also payable on the death of a worker for each dependent child.

The Act, it should be remembered, does not affect civil liability, and a worker or his dependants may take action at common law against negligent persons. The damages recoverable are consequently not limited to the statutory maximum under the Act.

CAUSE OF ACCIDENT AND RESULTING DISABILITY.—Accidents are divided according to the resulting disability into four classes—fatal accidents, accidents causing temporary disability, accidents causing permanent partial disability, and accidents causing permanent total disability. Few cases of total disability occur in New Zealand.

The following table relates cause of accident and degree of resulting disability for the five-year period 1952-56.

CauseFatalityPermanent Disability*Temporary DisabilityTotalPercentage of Total Accidents

* Including permanent total disability cases as follows: 1952, 2; 1953, 3; 1954, 4; 1955, 6; 1956, 5; total, 20.

Machinery391,86831,76233,66916.6
Farming equipment26932,6082,7271.3
Vehicles10421312,35512,6726.2
Electricity29154324760.2
Explosions, fires, and hot substances9544,2724,3352.1
Poisonous and corrosive substances6141,7071,7270.9
Falls of persons3740723,65724,10111.9
Stepping on or striking against fixed objects—
Stepping on112,2972,2991.1
Striking against 496,2206,2693.1
Falling objects, not being handled by the person injured351116,2416,3873.2
Falls of earth14541,3641,4320.7
Handling of objects—
Heavy653648,14048,68224.0
Sharp 7110,24310,3145.1
Hand trucks 393,8543,8931.9
Continual handling 37037060.4
Hand tools448430,64631,13415.3
Animals and insects5572,8922,9541.5
Miscellaneous171009,0799,1964.5
Totals3324,169198,472202,973100.0

Similar information is now given according to employment group.

Employment GroupFatalityPermanent Disability*Temporary DisabilityTotalPercentage of Total Accidents

* Including permanent total disability cases as follows: 1952, 2; 1953, 3; 1954, 4; 1955, 6; 1956, 5; total, 20.

Ministry of Works12523,9874,0512.0
State Hydro-electric Department8171,3591,3840.7
New Zealand Forest Service 192,0182,0371.0
Railways Department206412,15612,2406.0
Post and Telegraph Department7123,4493,4681.7
Mining and quarrying1817712,60112,7966.3
Other Government Departments 53863910.2
Other private industry and local authorities2673,823162,516166,60682.1
Totals3324,169198,472202,973100.0

Further information on resulting disability, by industrial groups, will be found in the table on pages 1128-1129.

AGE OF WORKER.—The following table supplies a percentage distribution of accidents, recorded during each of the years 1952-56, according to age group of the person injured.

Age (Completed Years)19521953195419551956
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 162390.62670.73050.83250.83510.8
16-204,30411.64,34411.04,66311.54,93111.75,30812.2
21-244,70712.75,02912.75,01512.44,93311.75,11911.7
25-349,43525.410,34926.210,68626.310,87125.911,16225.6
35-447,36719.87,89520.07,95619.68,30619.78,66519.9
45-545,63815.15,9871516,45415.96,62515.86,75915.5
55-642,6477.12,7687.02,7936.93,0547.33,3257.6
65 and over6041.66171.66291.57441.86501.5
Not stated2,2606.12,2675.72,0805.12,2495.32,2915.2
     Totals37,201100.039,523100.040,581100.042,038100.043,630100.0

NATURE OF INJURY.—A classification of accidents according to injury sustained gives the following results for the years 1952-56.

Injury19521953195419551956Total, 1952-56
Bruises, contusions, and abrasions9,3627,0477,3447,8588,09839,709
Burns1,3111,4301,6871,5171,5377,482
Concussions2482121912462891,186
Lacerations, punctures, and open wounds10,28711,75011,92312,10112,23758,298
Ruptures2963823973553801,810
Amputations (traumatic)2602363693833461,594
Dislocations2432482432492281,211
Fractures2,8863,8543,9954,2574,31119,303
Sprains and strains9,47811,50212,03112,23213,33358,576
Occupational dermatitis4805435466135212,703
Other and ill-defined2,3502,3191,8552,2272,35011,101
     Totals37,20139,52340,58142,03843,630202,973
Cases where septic poisoning occurred—
   Number3,7523,7125,0635,5295,64523,701
   Percentage of all accidents10.19.412.513.212.911.7

Of the septic cases shown in the preceding table, 26.0 per cent occurred in the handling of sharp objects (including pricks and scratches by bones and thorns in slaughtering and packing operations), and 21.8 per cent in the use of hand tools.

PART OF BODY INJURED.—The number and percentage of cases in which different parts of the body were injured in industrial accidents is given in the following table for the years 1952-56.

Part of Body Injured19521953195419551956Totals 1952-56
NumberPer Cent
Head6576816558127763,5811.8
Eyes1,5041,6081,6821,8341,8428,4704.2
Rest of face5546276446206673,1121.5
Neck77871039 
Back and chest5,4356,0686,0836,5526,97831,11615.3
Abdomen and contents4144785114615332,3971.2
External genitals111671136 
Upper limbs—
   Collarbone and shoulder1,2341,2971,3241,4251,3556,6353.3
   Arm2,0292,2812,4692,4322,53511,7465.8
   Hand and wrist12,57013,38214,33614,10214,36168,75133.9
Lower limbs—
   Hip, thigh, and leg4,7584,9895,2055,4245,70326,07912.8
   Ankle and foot4,7915,0535,0505,4865,69826,07812.8
Multiple or undefined3,2473,0412,6082,8763,16114,9337.4
     Totals37,20139,52340,58142,03843,630202,973100.0

DURATION OF INCAPACITY.—A further measure of severity in cases of temporary disability is the length of absence from work resulting from the accident.

A summary of this aspect and the number of cases of fatality, permanent total, and permanent partial disability is given below for the years 1953 to 1956, together with the totals for the five-year period 1952-56.

Duration1953195419551956Total, 1952-56
NumberPer CentNumberPer CentNumberPer CentNumberPer CentNumberPer Cent
1 week or under11,81829.812,01829.612,88130.613,15130.159,94429.5
Over 1 week to 2 weeks11,29528.611,80429.111,88528.312,50628.758,84429.0
Over 2 weeks to 4 weeks8,31921.18,61521.28,95821.39,20621.143,60521.5
Over 4 weeks to 6 weeks3,0167.63,0997.73,1797.63,3697.715,6717.7
Over 6 weeks to 13 weeks3,1137.93,0167.43,1037.43,1477.215,1287.5
Over 13 weeks to 6 months8942.38092.07721.89042.14,1502.0
Over 6 months2300.61970.52150.53010.71,1300.6
Number of accidents resulting in—
   Temporary disability38,68597.939,55897.540,99397.542,58497.6198,47297.8
   Fatality560.1620.1630.2970.23320.2
Permanent total disability3 4 6 5 20 
   Permanent partial disability7792.09572.49762.39442.24,1492.0
     Totals39,523100.040,581100.042,038100.043,630100.0202,973100.0

In many cases the injured employee did not cease work immediately, a considerable period intervening in some instances. The following table shows by broad industrial (employer) groups, for such cases occurring during the year 1956, the length of time elapsing before the employee left work.

ClassPeriod Elapsing, in WeeksTotal Delayed Action CasesPercentage of All Accidents
One or LessOver One and Under TwoOver Two
Ministry of Works215151724727.6
State Hydro-electric Department9891011742.2
New Zealand Forest Service1063311223.1
New Zealand Government Railways Department1,21462901,36645.0
Post and Telegraph Department234171726833.0
Mining and quarrying690463076629.3
Other Government Departments9071010727.4
Other private industry and local authorities8,29085988910,03828.6
     Totals10,9371,0181,06613,02129.8

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, by the establishment of first-aid posts, to reduce aggravation of injuries through neglect.

One of the main responsibilities of the Workers' Compensation Board is the reduction of the accident rate in industry. It has sponsored the National Safety Association, comprised of representatives of industry and interested Government Departments, with an objective of preventing accidents and lessening human suffering and loss arising from injuries received at work and elsewhere.

Further, the Board in conjunction with the Department of Health has opened an Industrial Health Centre in Penrose, Auckland, and is prepared to assist in the establishment of further centres in areas of concentrated industrial activity. Also, the Department of Health is associated with other industrial health centres in Auckland, Wellington, Lyttelton, Christchurch, and Dunedin.

ACCIDENT SEVERITIES.—Severity rates are calculated according to the formula: Man-hours lost through accidents per 100,000 man-hours worked.

Where an accident causes a fatality or permanent disability, the assessment of time lost may, or may not, take into account the differences caused by the variations in the ages of the workers injured and in the expectation of working life destroyed by the accident. Now because the worker's age is not relevant to the character of the hazard from which his accident occurred, the true injury severity rate must ignore the factor of age. Therefore in calculating the severity rates shown in the following tables a constant allowance of time lost is made for all fatalities, with a percentage of this for each permanent disability according to the percentage of that disability as set out in the First Schedule to the Workers' Compensation Act 1956.

This allowance has been in previous years 9,545 calendar days, but the production of the New Zealand Tables of Working Life 1951 has enabled the more accurate figure of 9,263 calendar days to be set. This is the average working life expectancy of workers in New Zealand who suffer accidents causing fatality or permanent disability.

To the calendar days lost through fatal and permanently disabling accidents are added the actual days lost through temporary disabilities, adjusted to allow for the different age distribution of workers suffering this kind of accident. From the total the man-hours lost are calculated.

A severity rate calculated similarly, but taking into account the workers' ages, is however not without interest. This rate, called the Economic Loss Severity Rate, will be found in the Report on the Industrial Accident Statistics of New Zealand.

The "Time Charge" shown in the following tables is a further, simpler measure of severity, being the total calendar days lost divided by the number of accidents.

The Physical Injury Severity Rate and Time Charge for all industry are shown below for the years 1952 to 1955 on the old basis and for 1955 and 1956 on the new basis.

195219531954195519551956

* Man-hours lost per 100,000 man-hours worked.

Total cases resulting in—
   Fatality545662636397
   Permanent total disability234665
   Permanent partial disability493779957976976944
   Temporary disability36,65238,68539,55840,99340,99342,584
     Totals37,20139,52340,58142,03842,03843,630
Time charge (calendar days)546872726974
Physical injury severity rate*1,0081,3151,3801,3941,3561,513

The Severity Rates and Time Charges for the main Government Departments are now shown for 1955 and 1956 on the new basis. For the miscellaneous Departments that were covered only in 1956 the Severity Rate was 108 and the Time Charge 30.

Ministry of WorksState Hydroelectric DepartmentNew Zealand Forest ServiceNew Zealand Government Railways DepartmentPost and Telegraph DepartmentTotal
195519561955195619551956195519561955195619551956
Total cases resulting in—
   Fatality4 1  914514  
   Permanent total disability1     1  11 
   Permanent partial disability813 343721132043
   Temporary disability7868832872733474812,1643,0077838064,3675,450
     Totals7998962872773514842,1713,0387858134,3935,508
Time charge (calendar days)1103516693421266632664257
Physical injury severity rate3,6838844681,2541,7939976692,3743767549881,493

Severity rates for any year are greatly affected by the number of serious accidents in that year. In the following cumulative table (on the new basis) for the four years 1953-56 this effect is minimized by the larger number of accidents.

Ministry of WorksState Hydroelectric DepartmentNew Zealand Forest ServiceNew Zealand Government Railways DepartmentPost and Telegraph Department
Number of accidents resulting in—
   Fatality108 157
   Permanent disability411718519
   Temporary disability3,1781,1161,6039,7982,964
     Totals3,2291,1411,6219,8642,980
Frequency rate5.2784.61610.1914.5601.921
Time charge (calendar days)74123304443
Physical injury severity rate2,5133,6951,8101,291479

In the following table, which covers the years 1952-56, accidents are classified by industrial group, the time charge for each group and an analysis by extent of disability being shown.

Industrial GroupNumber of Accidents Resulting In—Time Charge (in Calendar Days)
FatalityPermanent Total DisabilityPermanent Partial DisabilityTemporary DisabilityTotal
Agriculture, forestry, hunting, and fishing—
   Agriculture and livestock production58245515,14015,655107
   Forestry and logging3111135,5655,710105
   Hunting, trapping, and game propagation3 8305316160
   Fishing114271277117
Mining and quarrying—
   Coal mining8 13211,21911,35949
   Metal mining1 9217227116
   Crude petroleum and natural gas   121230
   Stone quarrying, clay and sand pits91351,1121,157171
   Non-metallic   414122
Manufacturing—
   Food6136828,32128,69636
   Beverages2 281,2721,30256
   Tobacco, cigars, and cigarettes  527027541
   Textiles1 711,7081,78069
   Footwear, other apparel, and made-up textile goods  371,7281,76539
   Wood and cork913529,92510,28780
   Furniture and fixtures  921,3961,48890
   Paper and paper products2 411,6571,70060
   Printing, publishing, etc.1 439641,00877
   Leather and leather products  1850252064
   Rubber products212595798582
   Chemicals and chemical products1 482,7112,76051
   Products of petroleum and coal 18226235131
   Non-metallic mineral products7 864,3494,44263
   Metal products2 1153,4463,56366
   Machinery, founding and general engineering1 1617,9408,10246
   Electrical machinery, appliances, and supplies1 301,2451,27658
   Transport equipment6 1637,3147,48357
   Miscellaneous1 1843945879
Construction65174530,85731,66873
Electricity, gas, water, and sanitary services—
   Electricity, gas, and steam244593,7413,828115
   Water and sanitary services2189961,00758
Commerce—
   Wholesale and retail trade24126512,71413,00467
   Financial   525214
   Insurance  33538175
   Real estate   292935
Transport, storage, and communication—
   Transport49440428,19228,64958
   Storage and warehousing  770371035
   Communication7 123,4593,47840
Services—
   Government1 348048445
   Community and business4 632,9533,02077
   Recreational1 2568471098
   Personal2 903,3103,40268
Ill-defined or not stated   151531
     Totals332204,149198,472202,97366

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 HourYearCause, 1952-56
19521953195419551956MachineryFalls of PersonsHandling ObjectsHand ToolsOtherTotal, 1952-56
8 a.m.1,3961,4651,4511,5161,6401,2961,1172,2189811,8567,468
9 a.m.3,2673,3983,5683,6063,8503,3212,0005,9162,9713,48117,689
10 a.m.4,7634,9335,1675,1875,4804,4592,9058,5184,3515,29725,530
11 a.m.5,1105,3485,6185,6415,8804,9042,9279,4184,7175,63127,597
12 noon2,3632,7092,7112,7992,9402,5661,7623,7952,3963,00313,522
1 p.m.1,2751,4551,4861,5241,6161,5989341,7991,1231,9027,356
2 p.m.3,8664,0024,2314,3364,3854,0692,2406,5313,6654,31520,820
3 p.m.4,2844,4734,4944,7854,8734,3282,8177,5323,7934,43922,909
4 p.m.3,7564,1004,1854,2834,2254,1242,6236,6203,1903,99220,549
5 p.m.1,8681,9822,0462,1892,2431,7861,4962,8881,5052,65310,328
Other hours2,9093,0742,9283,1543,4992,6402,6024,2111,2024,90915,564
Not stated1,7571,8911,7491,8382,0141,2246713,5891,1962,5699,249
Not applicable5876939471,180985817560443,7004,392
     Totals37,20139,52340,58142,03843,63036,39624,10163,59531,13447,747202,973

This table indicates that accidents are 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 the length of time the employee had worked on the day when the accident occurred.

Number of Hours Already WorkedYearCause, 1952-56
19521953195419551956MachineryFalls of PersonsHandling ObjectsHand ToolsOtherTotal, 1952-56
Under 12,0462,0612,1682,1902,3812,0131,7023,1351,4522,54410,846
1 and under 23,9024,1174,3644,4094,5924,1042,3877,0903,5134,29021,384
2 and under 34,5364,8245,0025,0815,2674,4122,8228,1904,0265,26024,710
3 and under 45,0735,2745,6405,6475,8895,0213,0179,0144,7265,74527,523
4 and under 52,7272,9763,0913,2823,3862,9912,0214,2942,6573,49915,462
5 and under 63,2143,5783,6793,6593,7203,4381,9925,3933,0923,93517,850
6 and under 74,2094,4294,6064,7604,7974,1752,7697,3723,7564,72922,801
7 and under 83,7063,9813,9574,0994,1893,970936,2883,1074,07419,932
8 or over3,0293,2073,2063,6203,6002,8892,995,0672,1374,17016,662
Not stated4,1724,3833,9214,1114,8243,3022,4927,1922,6245,80121,411
Not applicable5876939471,180985817560443,7004,392
     Totals37,20139,52340,58142,03843,63036,39624,10163,59531,13447,747202,973

The foregoing table 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 8.2 per cent of all accidents in 1956.

Accidents in 1956 were also classified according to the day of the week and the following table presents the detail.

SundayMondayTuesdayWednesdayThursdayFridaySaturdayNot StatedTotal
Number
9578,6927,9857,6907,7227,1972,50788043,630
Percentage of All Accidents
2.219.918.317.617.716.55.82.0100.0

A table of accidents caused by industrial machines according to the month of the year in which the accident occurred, by cause group and injury group is now given.

Average for Period Shown—
January-FebruaryMarch-MayJune-AugustSeptember-NovemberDecemberTwelve Months
Cause
Prime movers and pumps14121214612
Mechanical power transmission apparatus232423
Hoisting apparatus919688836887
Conveyors333428272229
Abrasive, grinding, polishing, and buffing equipment273335422734
Agitators, mixing machines, and drum mixers15151512513
Casting, forging, and welding equipment405949492748
Crushers, grinding mills, and pulverizers11101010710
Drilling, boring, and turning machines413334421736
Milling machines, planers, and shapers365551473547
Packing and wrapping machines12161210912
Opening, picking, carding, and combing machines323212
Presses283929332732
Rolls171814121315
Saws (woodworking)859887714181
Saws (metal and other substances)345314
Screening and separating machines17141012512
Sewing and stitching machines597958
Shears, slicers, and slitters292927191325
Spinning, weaving, and knitting machines457415
Injury
Fracture of skull, spine, and trunk1086828
Fracture of upper limb272630242727
Fracture of lower limb16141315914
Dislocation without fracture222112
Sprains and strains768976624073
Head injury (excluding skull fracture)996838
Internal injury of chest, abdomen, and pelvis321112
Laceration, puncture, and open wound of face, neck, and trunk111115171214
Laceration, puncture, and open wound of upper limb198233212210126207
Laceration, puncture, and open wound of lower limb141111181614
Superficial injury, scratches, etc.273941301433
Bruising, crushing, and contusion687358524961
Foreign body in eye or ear18191416916
Burns and scalds233229311929
Injury to nerves and spinal cord      
Other and unspecified9131112411

SAFETY 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, air-receivers and other pressure vessels, 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 power cranes 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 crane or lift which does not carry a current certificate of inspection issued by the Marine Department.

Particulars of inspections of boilers and machinery by the Marine Department during the year ended 31 December 1956 were as follows.

 Number
Boiler inspections—
   Fired boilers4,539
   Pressure vessels19,248
   Hydraulic tests1,818
     Total boilers25,605
Machinery inspections—
   Lifts3,567
   Cranes1,637
   Winding engines12
     Total machinery5,216
     Grand Total30,821

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.

£
1952-531953-541954-551955-561956-57
Revenue—
   Inspection fees, etc.18,95117,65025,94832,23434,617
   Examination fees, etc.728685420521539
     Totals19,67918,33526,36832,75535,156
Expenditure44,86547,47945,54850,18452,193

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 steam 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 was 331; of this number 264 were successful and 67 failed in their examination.

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.

Until 1957 the Department was responsible for the administration of the New Zealand Reparation Estates in Western Samoa. The Reparation Estates were 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 were operated as a plantation and trading venture. With the realisation of self-government in the territory the ownership of the Estates has been transferred to the Samoan people. The direction of the Estates is now in the hands of the Western Samoa Trust Estates Corporation, and the directorate comprises four members appointed by the High Commissioner, one member appointed by the Minister of Island Territories, the General Manager of the Corporation, and the Director of Agriculture of Western Samoa. Out of a present total of 32,399 acres, the Estates have 15,547 acres under cultivation and 5,098 leased to tenants. A total of 81,161 acres has been divested from the Estates and passed over to the Government of Western Samoa for occupation by Samoans. Up to 31 March 1956 some £732,000 from the profits of the Estates had been expended on general development in the interests of the Territory. In 1956-57 the Estates' production was as follows: copra, 1,973 tons; and cocoa, 399 tons. During this period 73,372 superficial feet of timber were produced, and 1,850 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 206 children have won scholarships, of whom 53 have already returned to employment in the islands. Last year ten boys were awarded technical scholarships.

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 normally 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 1957 numbered 8. This is the only island of the Kermadec Group that is inhabited.

COOK ISLANDS: Descriptive.—The Cook Islands were proclaimed a British Protectorate in 1888, 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 88 square miles, while Niue has an area slightly in excess of that figure.

Some of the islands of the Southern 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 Southern 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 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 Southern 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 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. A reticulation system was recently installed in some villages of Aitutaki.

Following is a brief description of the individual islands.

SOUTHERN GROUP.—Rarotonga (16,472 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 (12,828 acres, 110 miles from Rarotonga) is the south easternmost 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 (6,654 acres, 116 miles from Rarotonga) 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 recent years.

Mauke (4,552 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 (3,946 acres, 140 miles from Rarotonga) is about eighteen miles in circuit and one of the most fertile of the islands forming the Southern Group. It has an airfield, and a flying-boat base which has been used regularly by the Coral Route service to Tahiti. Tomatoes, oranges, and copra are the main exports.

Mitiaro (2,529 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. It is owned by the people of Atiu and worked by them as a copra plantation.

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, but the lagoon was closed to diving in 1956.

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 15 ft. above sea level. The legendary history of its settlement is interesting through its New Zealand associations. One version states 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 and dialect 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 (960 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 is owned by the people of Pukapuka, who utilize the island for its copra.

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.

During 1956 the Government felt that the time had come to evaluate the stage of political and constitutional development reached and to examine how best to achieve the Government's policy of placing more responsibility for local affairs in the hands of local authorities. Dr C. C. Aikman, Professor of Constitutional Law at Victoria University College, was asked to undertake the necessary constitutional survey, which he carried out during 1956. The recommendations contained in his report were fully supported by the Cook Islands Legislative Council at its 1956 session. The Cook Islands Amendment Act 1957 contains the new constitutional provisions, which will be brought into force in 1958. The Act provides for (a) the establishment of a new legislature with widened composition and powers to replace the present Legislative Council. The new legislature will be called the Legislative Assembly and will have an elected majority in place of the present official majority. In particular it will have increased financial authority; (b) the setting up of an Executive Committee with elected and official representation to advise the Resident Commissioner in the carrying out of his duties and to provide a link between the legislature and the executive; (c) the development of the authority of Island Councils to the point where they become the principal organs of island or local government as distinct from the central executive government; and (d) the creation of village committees with limited police and judicial authority.

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 1956 recorded a total population (exclusive of Niue) of 16,680, an increase of 1,601, or 10.6 per cent, as compared with the census of 25 September 1951. Details of the population of the islands of the group as at 31 March 1957 are set out in the following table.

ESTIMATED POPULATION AS AT 31 MARCH 1957
IslandMalesFemalesTotals
IndigenousNon-indigenousIndigenousNon-indigenous
Rarotonga3,6342303,2891307,283
Mangaia1,039795412,001
Mauke4256401 832
Mitiaro1421137 280
Atiu6864627 1,317
Aitutaki1,300131,25052,568
Palmerston32 45 77
Pukapuka313 319 632
Manihiki3271348 676
Rakahanga1681181 350
Penrhyn3271300 628
Manuae35117 53
Takutea     
Nassau59 54 113
Suwarrow     
     Totals8,4872657,92213616,810
 8,7528,058 

During the year ended 31 March 1957 births numbered 788 and deaths 276. The number of deaths of children under one year of age in 1956-57 was 73.

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 1956-57 numbered 115. Only the Chief Medical Officer, the Assistant Medical Officer, the Matron, and three or four certificated New Zealand nurses were Europeans. There were 14 Cook Islands medical practitioners, 5 health inspectors, 19 trained and 28 trainee nurses, 8 male nurses, 13 mosquito inspectors, 17 dressers, and 7 technicians. The Dental Clinic is staffed by a European dentist and nurse, and 5 Cook Islands staff.

A general hospital (58-bed) equipped with dispensary, X-ray, and laboratory facilities, and a tuberculosis sanatorium (64-bed) are maintained in Rarotonga. In the outer islands dispensaries with accommodation for a few patients are operated by assistant medical practitioners. A new cottage hospital has been built at Aitutaki. Atiu and Penrhyn also have small hospitals.

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. In addition there are two Maori dental assistants at Aitutaki, one at Atiu, one at Mauke, and one at Mangaia. One Maori officer is undergoing training at Suva. During 1956, 5,978 children were rendered dentally fit. In all 33,891 dental operations were carried out in the Cook Islands.

Total expenditure on health services during the financial year ended 31 March 1957 amounted to £90,182.

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 1957 the total number of pupils on the rolls was 4,403, comprising 3,942 pupils at Government schools and 461 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 in temporary accommodation at Avarua School have been transferred to a secondary school at Tereora. Construction of the first two blocks of Tereora College has now been completed. The Government scholarship scheme has been continued, and six ordinary and four trade scholars proceeded to New Zealand early in 1957. The total number of scholarships granted since 1946 is now 56.

The Cook Islands School Journal is of great value in providing some literature in the vernacular. Other assignments are prepared in the vernacular. Simple booklets in English are also made available.

Total expenditure on education for the year amounted to £128,481. Costs of the scholarship scheme for Cook Islands' students in New Zealand are not included in the figure quoted.

Adult education work has continued in Rarotonga.

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 standards 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 Southern 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 and a factory for manufacturing articles from paua shell. Products from both industries are exported to the New Zealand market. The manufacture of handicrafts is on a domestic basis.

The Rarotonga electric-power scheme has been extended during recent years. There are no power schemes on any of the outlying islands, except a small unit servicing Aitutaki airport area.

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 no longer recruited by the French Phosphate Company of Oceania to work the phosphate deposits 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 Southern Group.

A number of Cook Island Maoris go to New Zealand to engage in 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, copra, 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 1957, 437 acres had been planted under the scheme. 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 24,002 cases of pineapples to New Zealand in 1956-57.

The following are the estimated areas planted in the principal crops: coconuts, 28,250 acres; citrus fruits, 767 acres; taro, 400 acres; bananas, 1,380 acres; tomatoes, 800 acres; pineapples, 250 acres; manioc, 325 acres; kumeras, 200 acres; yams, 50 acres.

There are 1,719 horses, 312 head of cattle, 10,297 pigs, and 2,281 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 order to aid the economy of the Cook Islands, the New Zealand Government has arranged for 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 Southern 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.

Afforestation on a moderate scale is under way, and a commencement was made on the fern lands of Atiu in 1951, the species planted being Albizzia and Pinus radiata. The main objects of the scheme are to prevent soil erosion and provide timber for fruit cases. In Atiu 120 acres are now planted with trees.

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 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 Southern Group. Occasional calls are made by trans-Pacific cargo vessels at Rarotonga. The Tasman Empire Airways operates a fortnightly Coral Route service which calls at Aitutaki, the only island in the Cook Group served by this 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 years available is contained in the next table.

£
19521953195419551956
Imports, by Country of Origin
New Zealand386,669433,647506,501425,237557,023
Australia16,34411,48519,2567,65719,060
United Kingdom117,96960,58471,52256,042108,291
Canada23,32521,9668,12229,39314,797
United States of America17,91313,37215,96723,92715,301
Other30,19510,96521,32830,10854,738
     Totals592,415552,019642,696572,364769,210
Exports, by Country of Destination
New Zealand267,379304,324310,085329,180381,891
Australia2,6061,3913,35615,12092
United States of America53,85639,09055,77151,71047,236
United Kingdom35,0651,003 44462
Italy  4,32410,78021,717
Other6,4935,73411,51513,21933,719
     Totals365,399351,542385,051420,053485,117

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.

Details of the quantities and values of the principal commodities exported in 1956, with 1955 figures also given, are shown below.

Commodity19551956
QuantityValueQuantityValue
 Cases£Cases£
Citrus fruits39,45355,13861,40386,641
Bananas9469061,1051,071
Pineapples15,71013,85822,80113,526
 BoxesBoxes  
Tomatoes91,91299,97896,599101,660
 Tons Tons 
Copra1,07671,6841,43987,573
Mother-of-pearl shell24291,888149101,490
Arrowroot    
Handicrafts, grassware, etc. 491 786
Manufactured goods (apparel) 59,266 64,396

Foodstuffs continue to be the largest class of import; major imports for 1956, with comparative figures for 1955, are set out in the following table.

CommodityValuePercentage of Total Imports
1955195619551956
 ££Per CentPer Cent
Foodstuffs180,076227,18031.529.5
Drapery and piece-goods68,85177,19012.010.0
Oils and petrol, etc.39,96251,1397.06.6
Tobacco and cigarettes28,05936,3134.94.7
Vehicles and parts27,45542,0104.85.5
Fruit cases and sacks11,55126,6222.03.0

Public Finance.—New Zealand currency is in use in the Group. The principal sources of revenue within the Group are import duties £49,424, export duties £7,476, stamp sales £6,598, and income tax £14,154. Apart from income tax, 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.

£
YearSubsidies From New ZealandRevenue From Cook IslandsExpenditure
1952-53276,382225,736453,557
1953-54354,992257,217548,674
1954-55339,727248,582488,004
1955-56294,243285,021568,313
1956-57275,000305,940622,745

The principal items of expenditure in 1956-57 were £128,471 on education, £95,751 on health services, and £54,622 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 1958.

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 78.5 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 during recent years. The increase would, however, be greater by 100 or more annually if it were not for the increasing emigration of Niueans to New Zealand. Totals of the ten censuses taken since 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
19564,707

The following table shows the population as at the Official Census of September 1956.

NiueanEuropeanTotal
Males2,246332,279
Females2,404242,428
Totals4,650574,707

The inhabitants are distributed amongst twelve villages of which Alofi, is the largest. The inhabitants of Niue are British subject and New Zealand citizens.

For the calendar year 1957 births totalled 232 and deaths 37. There were 7 deaths of children under one year of age, the infant mortality rate per 1,000 live births being 30.2.

Health.—Niue, although situated in the tropics, is largely free from diseases prevalent in tropical countries. However, certain other infections, notably tuberculosis, have become established, which, together with periodic epidemics, have provided the main health problems. There were no cases of diphtheria or whooping cough throughout the year. Tuberculosis showed a decrease in 1956 of 2 cases on the previous year. An energetic tuberculosis campaign is being carried out by the Chief Medical Officer and his staff. Prior to November 1956 the average number of fresh cases of yaws per month was 2. In November and December a yaws campaign was carried out, covering 75 per cent of the population. The Niuean standard of general hygiene is very good by Pacific standards. The people have very quickly gained full confidence in the medical and hospital staff, so that the previously prevalent practice of consulting bush medicine men has almost died out.

All medical and dental treatment including hospital services is provided free of charge to the inhabitants, the money for this expenditure being provided out of subsidies from the New Zealand Government. There is a Government hospital. A new system of district supervision has been introduced whereby, instead of the Chief Medical Officer visiting each village once a week accompanied by the Child Welfare Sister, four visits to each village are now made every week—two by the Assistant Niuean Medical Practitioner, and one each by the Chief Medical Officer and the Child Welfare Sister. This improved service resulted in many hitherto concealed cases being brought to light. Attached to the hospital is an out-patients department, X-ray unit, laboratory, and dispensary. The staff at December 1956 consisted of the Chief Medical Officer, Matron, Child Welfare Sister, a theatre tutor sister, one assistant medical practitioner, two assistant dental practitioners, fifteen nurses, and fifteen others employed in ancillary services such as dispensary, laundry, and kitchen duties, and a part-time physiotherapist, and four junior nurses.

The total expenditure on public health for 1956-57 amounted to 17.5 per cent of the total expenditure for the Island. The amounts expended on public health during the past five years were as follows.

1952-531953-541954-551955-561956-57
Amount expended£17,539£17,748£22,745£34,875£42,724
Population4,6134,7084,7344,6794,707
Amount per head of population£3 16s. 4d.£3 15s. 5d.£4 16s. 1d.£7 9s. Od.£9 0s. 0d.

Health education is carried out by the use of posters and pamphlets, by articles published in the Newsletter, and by lectures and discussions by the Chief Medical Officer and the Child Welfare Sister.

Education.—The seven primary schools, the two post primary classes, an accelerate class, and the side school (European and selected Niuean pupils) are all under the control of the Administration. The Education Department is controlled by the European Education Officer with a staff of five European and seventy-three Niuean teachers.

The curriculum is based on that of New Zealand only in so far as it is relevant to the Island's needs. The bias is towards agriculture, weaving, sewing, manual training, and domestic science and the curriculum is modified so as to give full scope to the teaching of these subjects. It is established policy to use the vernacular during the child's first two years at school, English being taught only as an oral subject. In the third and subsequent years English reading is introduced. Niuean is still taught, but the amount of time devoted to it diminishes each year as English becomes the medium of instruction and expression.

The total number of children attending school in Niue at the end of 1956 was 1,060, and scholarship pupils attending school or receiving training in New Zealand numbered 11. Education is free and compulsory for those aged from five to fourteen years.

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 Agriculture Department has been functioning for a little over three years. Before any actual plant improvements could be made it was necessary for soil studies to be made, pilot trials commenced, and for the Department to be organized and staff trained. Much of this has been achieved.

Agricultural education is carried out by lectures and discussions in the villages and through the education staff, as well as by articles published in the Newsletter.

The principal agricultural exports are copra, bananas, and kumeras. All the copra exported is grown by the Niueans, there being no European planters. All copra is shipped under a contract with the United Kingdom Ministry of Food.

Steps are taken to ensure that every able-bodied male plants sufficient food crops each month for the sustenance of his wife and family.

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 72 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 1956 inward cargo totalled 2,213 tons, while outward cargo totalled 1,463 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
195282,971102,595185,566
195372,685116,852189,537
195469,398142,172211,570
195578,360158,082236,442
195663,608162,739226,347

Exports of principal commodities over the last five years were as follows.

Item19521953195419551956
QuantityValueQuantityValueQuantityValueQuantityValueQuantityValue
 £ £ £ £ £
Copra (tons)95663,27760141,06655839,06895262,05083148,978
Bananas (cases)5,2673.5803,3252,8585,7945,5564,9834,9834,0704,070
Kumeras (bags)8191,16619,19217,74023,53711,053168190260
Plaited ware 8,251 7,163 10,068 8,091 6,321

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 £1 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
1952-5342,315100,91858,60349,671- 8,932
1953-5468,865137,06968,20483,184+ 14,980
1954-5573,660188,269114,60999,254- 15,355
1955-56103,666221,498117,832109,953- 7,879
1956-57101,761243,951142,190137,172- 5,018

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.—Western Samoa was administered by Germany until 29 August 1914, when the Territory was occupied by a New Zealand military force. A Mandate for the administration of Western Samoa, conferred upon His Britannic Majesty to be exercised on His behalf by the New Zealand Government, was confirmed by the Council of the League of Nations on 17 December 1920.

Following the establishment of an International Trusteeship System, under the Charter of the United Nations, New Zealand in 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 of that year.

In this agreement (printed as parliamentary paper A-26,1947) the Government of New Zealand is designated the Administering Authority for Western Samoa.

As a result of a request by the Samoan people in 1947 for self-government, a Trusteeship Council Mission of Inquiry visited the Territory, publishing its report in October 1947. This report was found to be closely in line with the New Zealand Government proposals for political development outlined in the New Zealand Parliament in August 1947. 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.

The High Commissioner (who is appointed by the Governor-General) is the representative in Western Samoa of the Government of New Zealand, as well as the head of the Executive Government of the Territory. He is subject to the general control of the Minister of Island Territories, who recommends to the Governor-General the officers to be appointed to the positions of Deputy High Commissioner, Public Service Commissioner, and Assistant Public Service Commissioner. The Minister directly appoints the Judges and Commissioners of the High Court.

Under the Samoa Amendment Acts of 1956 and 1957 the Executive Council, first constituted in 1953 as an advisory body, became effectively "the principal instrument of policy" of the executive government of Western Samoa. The 1957 Act provided that members of the Executive Council (other than the High Commissioner and Fautua) should be designated Ministers.

The Executive Council now consists of the High Commissioner as President, the Fautua, the official members for the time being of the Legislative Assembly (at present the Secretary to the Government, the Attorney-General, and the Financial Secretary); five Ministers appointed by the High Commissioner from among the Sampan elected members of the Legislative Assembly on the nomination of those members, and two Ministers appointed by the High Commissioner from among the European elected members of the Assembly on the nomination of those members. All members of the Council, with the exception of the High Commissioner and the two Fautua, hold portfolios which are allocated by the High Commissioner. The High Commissioner may delegate to any Minister such of his powers and functions as he deems expedient.

The Council of State is composed of the High Commissioner and the Fautua. At present 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 in the exercise of those powers about which he is not bound to consult the Executive Council, other than those he exercises as representative of New Zealand.

The Legislative Assembly is composed of 41 elected Samoan members, five elected European members, and not more than three official members.

For those persons possessing European status suffrage is universal but in the forty-one Samoan constituencies (in accordance with the present wishes of the Samoan people) only persons whose names appear on the Register of Matai may register as electors or be nominated for election.

Two ordinary sessions of the Legislative Assembly are held each year. The first session, at which the Budget is presented, is held in March, and the second in August, when most legislation is enacted. Following the 1957 general election, a formal session lasting two days was held in November for the purpose of electing a Speaker and nominating Ministers for appointment by the High Commissioner. The duration of normal sessions is usually about three weeks.

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. At 31 December 1956, certificates of naturalization had been granted to 54 Samoans and 103 inhabitants of European status.

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.

Under the proposals agreed upon in early 1956 between the Administering Authority and the Samoan leaders there remain only two major changes to be made in the governmental structure of the Territory before complete self-government is achieved. The first, which (it is hoped) will take place towards the end of 1960, is the withdrawal from the Executive Council of the High Commissioner and the replacement of the projected Leader of Government Business by a Premier who will preside over his own Cabinet. At a later stage, when the future relationship between New Zealand and Western Samoa is defined, the Fautua will assume the position of Joint Heads of State and the office of High Commissioner as a part of the Government will be abolished and a New Zealand representative of lesser status and powers appointed.

The Judiciary.—The High Court of Western Samoa consists of the Chief Judge, a Judge, 4 Commissioners, 4 Samoan Associate Judges, and 14 Samoan District Judges.

The High Court has full jurisdiction both civil and criminal for the administration of the law of Western Samoa. In more serious defended criminal cases, the High Court is constituted with four assessors and the Chief Judge.

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 1956, approximately 3,000 persons were employed in the Western Samoa Public Service, of whom 70 were domiciled overseas.

Population and Vital Statistics.—The last population census was held in 1956 and showed a total population of 97,327, an increase of 12,418 since the 1951 census.

The following table shows the summarized results, together with the corresponding figures for the 1951 census.

1951 Census1956 Census

* Including other Polynesians.

Samoans80,153*88,036
Part-Samoans4,1427,900
Europeans450662
Chinese164 
Other Pacific Islanders 531
Others 149
Not stated 49
     Totals84,90997,327

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 18,000. 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 estimated population at 31 December 1956 was 97,327 (males, 49,863; females, 47,464). During 1956 there were 3,926 births and 657 deaths, while arrivals in the Territory numbered 6,505 and departures, 6,898. The Samoan infant-mortality rate was 42-16 per 1,000 live births.

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 250 beds, half in European style buildings, the other half in Samoan fale-type wards. In 1955 a modern maternity block was opened accommodating 28 cases.

The Hospital provides all the facilities usual to general hospitals including those for surgery, radiology, and laboratory investigation.

The Health Department is under the control of the Director of Health, who is assisted by a Medical Officer of Health, 4 medical officers, and 42 S.M.P.s (Samoan medical practitioners).

The district medical facilities vary according to accessibility. Where there are inadequate transport services, provision must be made to deal locally with a larger variety of cases than otherwise, and in these areas district hospitals are required. In better served areas dispensary stations are sufficient, all seriously ill cases being brought to Apia.

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 1956, 3,931 in-patients and 16,625 out-patients were treated by the hospital, while 943 operations were performed. The amount expended on medical services in 1956 was £230,000, (approx.), or 17 per cent of the total expenditure of the Territory.

Education.—The Education Department of the Government of Western Samoa consists of a Director of Education, an Assistant Director of Education, a Senior Samoan Inspector, who is assisted in the supervision of the village schools by eight Samoan Inspectors, and Samoan and European Headmasters and staffs for the various schools.

The Government and mission schools function side by side, close co-operation being maintained by the controlling bodies. There are 326 mission schools throughout the Territory with some 7,525 pupils. In addition to the 116 Government primary schools, there are three advanced Government schools, manual and domestic training centres, and a Teachers' Training College.

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, whence most proceed to higher establishments for professional or trade training. The scheme was inaugurated in 1945 and since then 118 pupils from Western Samoa have been awarded scholarships.

Although there is as yet no provision for compulsory education, where there are Government schools there is free primary education for boys and girls. Secondary education is available for children selected by competitive examination at Samoa College (opened in February 1953), which in 1956 had a roll number of 156 in the secondary department. The College will eventually become a boarding establishment, and it is intended that when it is fully developed the College will replace the present scholarship scheme, instead of which selected secondary school pupils will receive scholarships for study at universities in New Zealand.

In 1956, the total expenditure for Government education covering primary, secondary, and vocational schools was £276,353, the money coming from the following sources: Samoan Government, £237,020; New Zealand Government, £39,333.

Educational Statistics.—The figures given below record the number of scholars at the various schools in 1956.

 Number of Scholars, 1956

* Includes adult night classes.

† Plus 145 in mission theological colleges.

Government primary schools, 5-18 years19,026
Government vocational, 16-21 years383
Government secondary, 13-19 years303*
Total, Government schools19,712
Mission primary schools, 5-18 years7,086
Mission secondary, 13-19 years346
Mission vocational, 16-21 years93
     Total, mission schools7,525
     Grand total27,237

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.—Outside of Apia there is very little employment for wages except on plantations under the control of the Western Samoa Trust Estates and by private planters, who often engage co-operative or community groups on casual work. In the stores and in the Administration where regular daily tasks are required, the personnel turnover is large. On the other hand no difficulty is experienced in obtaining labour for the two or three days of intensive work available when a vessel is in port.

A Commissioner of Labour is responsible for the enforcement of the Contracts of Employment Ordinance (1950), which includes provisions to safeguard the position of the indigenous workers.

No system of apprenticeship exists at the moment, but a Committee of Technical Education has been established to investigate and advise the Government on methods of trade training.

Nineteen co-operative societies have been registered since 1954, when a Registrar of Co-operative Societies was appointed.

There is a section of the New Zealand Public Service Association, whose membership is open to all permanent Government employees, whether indigenous or seconded.

The basic minimum wage for Government employees in 1956 was 10s. per day, with higher rates for semi-skilled and skilled workers.

A cost-of-living index is maintained by the Samoan Government.

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 mechanized 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 Western Samoa Trust Estates and other plantations. Horses and mules are used as pack animals. Western Samoa Trust Estates cattle, which number approximately 8,450 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 breeds, 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, 32,000 acres of Western Samoa Trust Estates land, and about 16,000 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, 36,042 acres; bananas, 13,326 acres; cocoa, 8,026 acres; taro, 4,643 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 two sawmilling concerns, a soap factory established in 1953, and a tyre retreading plant, 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. There are no known mineral resources available for development.

Communications.—There is a twice-monthly passenger and cargo service from New Zealand to Western Samoa, via Fiji and Tonga, while a twice-weekly service operates between Apia and Pago Pago in American Samoa.

A fortnightly air-service is maintained by Tasman Empire Airways flying boat between Fiji and Tahiti, via Western Samoa and Aitutaki. The seadrome at Satapuala and the aerodrome Faleolo are situated some 20 miles from Apia.

There are 363 miles of road, of which 76 are of bitumen surface. At the end of 1956 there were 296 cars, 84 buses, and 349 lorries registered in the Territory.

There is only one telephone system, which has approximately 76 miles of local wires and 496 subscribers. The Government maintains a short-wave radio station for normal overseas communications.

Trade.—The exports and imports of Western Samoa for each of the last twelve years are as follows.

£
YearExportsImports
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
19542,211,8471,710,494
19552,511,8991,894,542
19561,805,6961,860,420

The following table shows for the years 1955 and 1956 the value of exports and imports according to country of destination and country of origin.

£
CountryExports (Including Re-exports)Imports
1955195619551956
New Zealand596,595420,784591,769570,083
Australia95,77371,475324,529396,077
United Kingdom1,418,5981,085.228459,396349,651
Fiji 677,15069,304
Canada8,172 74,44956,346
India 34,22140,395 
United States of America367,238224,95091,674129,662
Other25,5233,253241,354248,902
     Totals2,511,8991,805,6961,894,5421,860,420

The principal exports consisted of cocoa, 3,338 tons. £668,171; copra, 13,581 tons, £817,494; and bananas, 294,887 cases, £303,871. At the end of 1956 the Copra Reserve Fund stood at £342,500. 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. per ton, in 1952 and 1953, £65 per ton, in 1954 it was £70 per ton, in 1955 it was £65 per ton, and in 1956, £58 10s.

The principal imports for 1956 were: 42,164 cwt. of sugar, value £98,117; 602,909 yards of cotton piece-goods, £60,911; meat in tins and kegs, 26,743 cwt., £153,883; and motor vehicles, parts, etc., £125,876.

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.—Subject to specific provisions of the Samoa Act 1921, which relate to the reserved items of Defence and External Affairs, the Legislative Assembly is empowered to authorize such payments for public purposes out of the public moneys of Western Samoa as it thinks fit. The Government financial year ends on 31 December. No public debt exists in the Territory.

The following table shows the total revenue and expenditure for the last five years. The principal items of expenditure are also shown.

RevenueExpenditure
EducationPublic HealthPublic WorksTotal, Including Others
1952781,980110,552170,983282,255811,580
1953929,120128,610174,050455,8101,054,320
19541,128,870121,570176,030478,6201,145,810
19551,224,360194,150219,940492,2701,297,150
19561,232,000236,000230,000323,0001,349,000

The policy of the New Zealand Government has been to devote the trading profits derived from the former New Zealand Reparation Estates towards expenditure on social and economic developmental schemes for the benefit of the Territory. Details of such grants since the policy came into full operation are as follows.

£
AgricultureEducation and Overseas ScholarshipsHealthBroadcastingPublic Works
Year ended 31 March—
   1947 2,351  8,100
   1948 7,552 22,47512,985
   1949 10,880 1,28928,915
   195060324,07250,000 25,000
Period ended 31 December—     
   19501665,748   
Calendar year—
   195131240,358   
   195242547,501   
   195348028,470   
   19542,00024,630  25,000
   19552,31021,5508,240 2,930
   19563,47046,735  64,580
     Totals9,766259,84758,24023,764167,510

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 was abolished as from April 1955 and replaced by a graduated salary and company tax. 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.

Receipts of revenue from the various sources of taxation for the calendar years 1954, 1955, and 1956 were as follows.

£(000)
Source195419551956
Amusement tax11 
Arms licences111
Building tax 58
Export duties180214159
Import duties428455428
Licences and fees12159
Income tax910139
Stamp duties627
Store tax98125 
Water rates222
Vehicle licences91011
Shipping and port duties333
     Totals754846760

Money and Banking.—There is one trading bank in the Territory, a branch of the Bank of New Zealand which provides all the normal banking facilities.

£
1953195419551956
Amount of currency in circulation126,740150,000160,000150,000
Aggregate deposit money—
   Post Office Savings Bank343,760389,470389,000365,000
   Bank of New Zealand300,000500,000500,000300,000

No gold resources are held. Foreign exchange is obtained from the common sterling pool. Currency is backed by New Zealand Government securities held by the New Zealand Government.

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 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.

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 is no resident European administrative staff, but an Administrative officer was appointed in 1955. He is based at Apia, Western Samoa, and co-ordinates administrative services for the group.

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 1956 a census showed a total population of 1,620. The indigenous population was as follows.

IslandMalesFemalesTotal
Fakaofo312375687
Atafu226241467
Nukunono199266465
     Totals7378821,619

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. Apart from this, there are no other 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.

Three Samoan medical practitioners are stationed in the group. 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. These were replaced as soon as possible by trained Tokelau teachers. There are now ten trained Tokelau teachers in the group. All the necessary school equipment, stationery, and textbooks arc supplied by the New Zealand Government; the schools also receive copies of the Samoan Teachers Monthly Guideand 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 1957 were as follows: Fakaofo, 203; Atafu, 134; Nukunono, 162. 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 Western Samoa Trust Estates, Western Samoa. Inter-island communications are carried out by the visiting aircraft and trading vessels, canoe journeys between the islands being discouraged.

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 Western Samoa Trust Estates. The quantity of copra shipped for the year ended 31 March 1957 amounted to 144 tons. Apart from copra the only exports are handicrafts.

Revenue is derived principally from export duty on copra, Customs duty of 12 1\2 per cent ad valorem on all goods entering the islands, trading profits, and the sale of postage stamps. Revenue for the year 1956 was £29,589 (including subsidy from New Zealand) and expenditure £22,517.

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 1957 there was £4,100 in the fund.

ROSS DEPENDENCY: DESCRIPTIVE.—The Ross Dependency comprises the sector of the Antarctic continent between 160° east and 150° west longitude, together with the islands lying between those degrees of longitude and south of latitude 60° south.

Within these boundaries there are an estimated 160,000-175,000 square miles of land and 130,000 square miles of permanent ice shelf. The land is, however, virtually entirely covered by ice, and is normally uninhabited.

Administration.—By Order in Council of 30 July 1923 under the British Settlements Act 1887 (Imp.) the territories of the Ross Dependency were brought within the jurisdiction of the New Zealand Government. From time to time laws for the Dependency have been made by regulations promulgated by the Governor-General of New Zealand.

Administrative powers are vested in the Governor-General of New Zealand, and administrative officers (commonly referred to as Administrators) have been appointed from time to time since 1923. In 1956 a Deputy Administrator was also appointed, and other officers were given the powers of stipendiary magistrate, coroner, and postmaster.

In 1956 a set of Ross Dependency stamps was issued. A post office has been established at Scott Base.

The New Zealand Geographic Board, which is the place-names authority for the Ross Dependency, has published a provisional Gazetteer of the Ross Dependency.

In March 1958 the Government appointed the Ross Dependency Research Council to coordinate and supervise all New Zealand activity in the Ross Dependency, with particular reference to the scientific and technical programme.

Exploration.—Various expeditions have operated within the area of the Dependency since the coastline was explored by Sir James Ross in 1841. In the twentieth century British and American explorers have investigated parts of the territory, but much still remains to be done.

In December 1956 a New Zealand expedition under the leadership of Sir Edmund Hillary sailed for McMurdo Sound in H.M.N.Z.S. Endeavour. In January 1957 Scott Base was established near Cape Armitage on Ross Island. The purpose of the expedition was two-fold: to take part in the crossing of the Continent from the Weddell Sea to Scott Base by the Commonwealth Trans-Antarctic Expedition, and to participate in the Antarctic programme of the International Geophysical Year. During the early months of 1957 the expedition was successful in finding a route and setting up depots across the Ross Ice Shelf and up the Skelton Glacier to the Polar Plateau.

For the purposes of the International Geophysical Year a joint New Zealand - United States of America scientific station, known as Adare Station, was established at Cape Hallett in January 1957. A United States expedition has also re-established Little America base near Kainan Bay, has operated an air-strip on the bay ice in McMurdo Sound near Hut Point, and has built an I.G.Y. station at the South Pole.

In the summer of 1957-58 the expedition explored a route farther south and established depots for the use of the Crossing Party of the Commonwealth Trans-Antarctic Expedition. Sir Edmund Hillary and four other New Zealanders reached the South Pole on 3 January 1958. The crossing of the continent was successfully achieved on 20 March 1958 when Sir Vivian Fuchs' party reached Scott Base. Further reference to these activities is made in Appendix (d) of this Year-Book.

Whaling.—To date there has been little development of the economic resources of the territory, and commercial activity has been restricted to whaling.

Regulations dated 24 October 1929 prohibited whaling in the territorial waters of the Ross Dependency without a licence. During recent years, however, the whales taken in the Ross Sea have been caught by pelagic whalers. New Zealand is a member of the International Whaling Commission, the purpose of which is to enforce conservation of whale stocks.

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).

NAURU.—Nauru Island is about half 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 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. Before the Japanese occupied it on 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. Nauru was brought under the International Trusteeship system by a trusteeship agreement which was approved by the General Assembly of the United Nations on 1 November 1947. The Governments of Australia, New Zealand, and the United Kingdom were designated as the joint administering authority, and it was agreed that the Australian Government should continue to administer the island on their behalf.

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 Commissioners, 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 Commissioners. The royalty payable on phosphate shipments to or on behalf of the Nauruans is calculated at 1s. 6d. per ton and amounted to £114,016 for 1955-56. Administrative expenses are covered by direct payments by the Commissioners. These amounted to £257,274 for 1955-56.

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 1,467,794 tons of phosphate exported in 1955-56 Australia received 882,025 tons and New Zealand 483,619 tons; the remainder was exported to the United Kingdom.

The following table shows the population of Nauru for the years 1952-56.

19521953195419551956

* Includes 598 Gilbert and Ellice Islanders employed under contract by the British Phosphate Commissioners.

Nauruans1,6721,7451,8281,9351,976
Immigrants—
   European253270291262286
   Chinese759515552568696
   Other Pacific Islands560874846911935*
     Total Population3,2443,4043,5173,6763,893

Revenue and expenditure and trade of the Nauru Administration since 1951-52 are given in the following table.

£
YearRevenueExpenditureExportsImports
1951-5290,414146,7421,725,420544,001
1952-53163,408179,4231,994,045674,190
1953-54237,174226,9961,931,520615,716
1954-55303,674276,7832,165,163706,238
1955-56261,164257,2742,568,640877,264

Imports consist almost entirely of food supplies and of machinery for the working of the phosphate deposits.

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 revenue of the County Council from this source for the year ended 31 March 1957 amounted to £9,457.

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 March 1957, 18,405 sheep, 3,152 bales of wool, and 625 tons of fish were exported. Imports totalled 1,536 tons.

Flying boats have been chartered from time to time as found necessary to transport passengers to and from New Zealand. 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 radio-telephones. A radio-telephone service was established with New Zealand early in 1953.

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 1957), 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 administrator 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; and administrator of compensation moneys payable in respect of the death of a worker (unless the Court orders otherwise). 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 18,367 estates and funds of a total value of £68,796,898 were under the Public Trustee's administration at 31 March 1957, 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
195618,32167,131,484169,348
195718,36768,796,898173,547

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 in the period 1940 to 1950 was 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 1957, and of all estates and funds under administration at that date.

New Estates and Funds During 1956-57Estates and Funds Under Administration at 31 March 1957
NumberValueNumberValue
 £ £
Wills estates2,4478,082,5808,12633,679,229
Trusts and agencies3431,139,9162,47214,877,541
Intestate estates608787,8701,5751,601,721
Mental patients' estates8582,095,9014,1787,502,440
Miscellaneous estates and funds1181,151,7742,01611,135,967
     Totals4,37413,258,04118,36768,796,898

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 3 3/4 to 4 per cent from 1 January 1958) and is free of all 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 1957 totalled £1,613,000, the favourable terms offered by the Office again proving popular with borrowers. The investments held by the Office at 31 March 1957, inclusive of those held on behalf of certain estates and funds whose moneys are required to be specially invested, totalled £25,172,879.

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 1957, 9,266 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 173,547 at 31 March 1957. 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 1957 effect was given in 6,750 cases to changes desired by testators.

ESTATES PASSED FOR DEATH DUTY.—Particulars of deceased persons' estates certified during the calendar year 1956 are given in the tables following. Comparative figures for 1955 and 1954, where available, are appended. Estates of Maoris, in value a negligible proportion of the total, are included, other than hereditary interests in Maori Land.

Size of Estate (Net Value)Number of EstatesAggregate Net Value of EstatesEstate Duties AssessedDuties as Per Cent of Net Value
MalesTotalMalesTotal
Estates Passed for Duty 1956
£(000)      £(000)  £££Per Cent
Under 11,8703,517852,8821,627,1732,1400.13
1 and under 21,2022,2371,779,2933,362,39932,3750.96
2 and under 39301,5932,394,1644,043,15471,6221.77
3 and under 45819882,022,1483,411,54079,2402.32
4 and under 53645761,622,3402,569,29876,1032.96
5 and under 62523851,375,2942,101,42874,9233.57
6 and under 71732961,108,3981,907,76891,4584.79
7 and under 81542361,212,2151,826,162126,1696.91
8 and under 91282091,087,5101,778,670126,2017.10
9 and under 101221751,154,1641,656,711135,1428.16
10 and under 1182131865,3071,376,731135,1609.82
11 and under 1286123990,4421,415,378158,94211.23
12 and under 152012632,703,2173,539,031443,32612.53
15 and under 202292973,933,3685,088,347680,20413.37
20 and under 251391813,091,8004,008,376676,14316.87
25 and under 3073891,997,6412,439,538474,43319.45
30 and under 3559711,930,0922,310,337491,87121.29
35 and under 4037461,387,2161,727,002400,11023.17
40 and under 4532391,354,0361,649,837406,19324.62
45 and under 5027331,281,2231,564,881407,91726.07
50 and under 6023281,271,0011,539,509445,88928.96
60 and under 701318837,4511,162,685271,75331.97
70 and under 801112822,482893,420302,13633.82
80 and under 9078589,770671,448241,45535.96
90 and under 10033284,355284,355118,37241.63
100 and over16183,171,7593,431,0191,347,91239.29
     Totals, 19566,81411,57241,119,56857,386,1977,917,18913.80
     Totals, 19556,50311,15634,617,71349,833,6157,477,42115.00
     Totals, 19546,44411,00435,997,19250,531,5078,444,01216.71

The average net value per estate certified in 1956 was £4,959, inclusive of a small number of "nil" estates (males £6,035; females, £3,419). Duty on male estates amounted to £6,330,125 and on female estates £1,587,064.

The aggregate net value of estates certified during 1956 rose by over 15 per cent, but the yield in death duties showed little increase. The fall in the percentage of duty assessed over the past two years follows the far-reaching changes in the law relating to death duties introduced by the Estate and Gift Duties Act 1955, which applied to the estates of all persons dying on or after 21 July 1955. By this Act, to which more detailed reference is made in Section 30B (Taxation), estate and succession duties were replaced by a single duty scale of estate duties, involving a marked reduction in estimated tax yield. The great majority of 1956 estates were certified under the new provisions.

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 Estate (Net Value)Average Net Value Per EstateAverage Duty Assessed Per EstateAverage Duty as Percentage of Average Value
MalesTotalMalesTotalMalesTotal
£(000)      £(000)££££Per CentPer Cent
Under145646310.200.13
1 and under 21,4801,50310140.680.93
2 and under 32,5742,53827451051.77
3 and under 43,4803,45354801.552.32
4 and under 54,4574,461961322.152.96
5 and under 65,4585,4581391952.553.57
6 and under 76,4076,4452333093.644.79
7 and under 87,8727,7385195356.596.91
8 and under 98,4968,5105456046.41710
9 and under 109,4609,4677337727.758.15
10 and under 1110,55310,5099881,0329.369.82
11 and under 1211,51711,5071,2751,29211.0711.23
12 and under 1513,44913,4561,6911,68612.5712.53
15 and under 2017,17617,1322,5112,29014.6213.37
20 and under 2522,24322,1463,7663,73616.9316.87
25 and under 3027,36527,4115,3015,33119.3719.45
30 and under 3532,71332,5406,9946,92821.3821.29
35 and under 4037,49237,5448,6548,69823.0823.17
40 and under 4542,31442,30410,47810,41524.7624.62
45 and under 5047,45347,42112,37112,36126.0726.07
50 and under 6055,26154,98216,02315,92529.0028.96
60 and under 7064,41964,59420,56720,65331.9331.97
70 and under 8074,77174,45225,29125,17833.8233.82
80 and under 9084,25383,93130,25330,18235.9135.96
90 and under 10094,78594,78539,45739,45741.6341.63
100 and over198,235190,61278,02574,88439.3639.29
     Totals, 19566,0354,95992968415.3913.79
     Totals, 19555,3234,46784467015.8615.00
     Totals, 19545,5864,59298576717.6316.71

A summary showing gross assets, notional estate, and debts and charges, classified in broad groups according to size of estate, is now given. As the figures for assets are taken from the administrators' statements, prior to checking and adjustment, the residual value (total assets less debts and charges) does not agree with the figure for aggregate net value of estates given in the preceding table, the difference amounting to some £1,700,000. This may be accounted for by the fact that under rather than over valuation is more common in the statement of gross assets, and that subsequent investigation sometimes discloses the existence of unstated assets.

Estates Passed For Duty—1956
Size of Estate (Net Value)
Under £5,000£5,000 and Under £10,000£10,000 and Under £20,000£20,000 and Under £50,000£50,000 and Under £100,000£100,000 and OverAll Estates
Gross assets—
   New Zealand Property—
     Cash     £(000)3,7021,7931,8171,5423713809,604
     Average per estate     £4251,3782,2353,3595,37821,114830
     Furniture, effects, etc.     £(000)1,10837833530754392,221
     Average per estate     £1242904126707802,139192
     Farm, stock, implements, etc.     £(000)1412685159342481972,304
     Average per estate     £ 161096332,0353,59410,939199
     Private business interests     £(000)144326532690244151,951
     Average per estate     £162506551,5033,538840169
     Assurance policies     £(000)911485498640248872,870
     Average per estate     £1023736131,3953,5974,841248
     Loans     £(000)8661,0181,3101,7404391315,503
     Average per estate     £977821,6113,7906,3697,256476
     Shares, stock, etc.     £(000)8141,2222,0693,3121,7081,41410,540
     Average per estate     £919402,5457,21624,75978,577911
     Real property     £(000)7,2383,2593,7063,86895972419,755
     Average per estate     £8122,5054,5588,42713,90240,2411,707
     Interests, estates, trusts     £(000)258203192247434947
     Average per estate     £2915623753861721582
     Other property     £(000)4692552782741211601,557
     Average per estate     £531963425971,7548,871135
     Foreign property     £(000)3191731832551162221,269
     Average per estate     £361332255561,67912,320110
     Notional estate     £(000)7293533625302381172,328
     Average per estate     £822714451,1553,4526,474201
Debts—
   Unsecured (New Zealand)     £(000)933299376533243742,458
   Secured (New Zealand)     £(000)1,21843950036773222,620
     Total (including foreign)     £(000)2,191743876902330975,139
       Average per estate     £2465711,0781,9664,7815,374444

The number of estates in each age and group for 1956 are classified below according to net value of estate.

Age Group, in YearsUnder £500£500 to £999£1,000 to £1,999£2,000 to £2,999£3,000 to £3,999£4,000 to £4,999£5,000 to £9,999£10,000 to £14,999£15,000 to £19,999£20,000 to £29,999£30,000 to £39,999£40,000 to £49,999£50,000 to £99,999£100,000 and overTotal
Under 20167411 1       30
20 and under 2528262010111  1    88
25 and under 30201918103461  2   83
30 and under 3519122022133161 1    107
35 and under 402924342494144231 1 149
40 and under 45383145222416219112121 223
45 and under 506436735320164317126321 346
50 and under 5580598762522964241218344 498
55 and under 6011896134845641833625205231704
60 and under 651531261901198738994021191074 913
65 and under 7023118225722313174143673340137721,410
70 and under 75314236352275148862007451471991431,828
75 and under 803502553882861931122419455442413332,061
80 and under 852452083242151417720575393517131621,612
85 and under 901541032121337554113542817139104979
90 and under 9548335739251740167155441311
95 and over211010136252111 1174
Unspecified111161223262 1   1156
     Totals2,0391,4782,2371,5939885761,30151729727011772691811,572
     Per cent17.612.819.313.88.55.011.24.52.62.31.00.60.60.2100.00

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 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 on a resolution by creditors.

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. From and including 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 or Annulment GrantedOrders for Winding-up Companies by Assignee

* Not available.

19532151744141*
1954263214496114
1955293257366311
1956371309628019
1957421364577416

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 decided upward trend, although the numbers in recent years are still well below the average of the period 1920-40. Regard should be paid to the fact that the number of business units is also increasing.

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 1166.

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. For the four latest years company windings-up are included in the totals.

YearNumber of BankruptciesAmounts Realized by Official AssigneesAmounts 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.

† Including 2 deceased person's estates under Part IV of the Administration Act 1908.

 £££ 
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
195427782,571413,44759,2124,938
1955304*112,418382,32296,4849,337
1956390130,574547,75178,5036,921
1957437180,364782,226100,4888,134

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
194760431.07
194896822.59
19491,13512.07
195088731.62
195194434.28
19521,49511.57
19531,77212.31
19541,49314.32
19551,25825.24
19561,40414.33
19571,90612.53

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.

Liabilities19531954195519561957

* Total excludes 1 partnership.

† Total excludes 2 partnerships. The liabilities for each partner are included, but not the partnership.

‡ Total excludes 3 partnerships.

Under £25039525275159
£250 and under £5004564597571
£500 and under £1,0004858789779
£1,000 and under £2,0003665657660
£2,000 " £5,0003627344646
£5,000 and over1011161919
     Totals214*277304388434

Most failures are for comparatively small amounts. Of a total of 1,617 bankruptcies during the five years surveyed 23 per cent were for liabilities of less than £250 and 43 per cent for liabilities under £500.

Occupations of Bankrupts.—The table below shows in broad groups the occupations by industry of those persons adjudged bankrupt in the last five years. The revised classification is based on the international standard industrial code. Companies are here excluded.

19531954195519561957

* Excludes 3 partnerships.

Agriculture and livestock production1015282534
Forestry, hunting, and fishing257312
Mining and quarrying 1121
Manufacturing—
   Food and beverages234815
   Footwear and textiles25265
   Wood, furniture, and fixtures465107
   Printing and publishing3 1 1
   Machinery (not electrical)75454
   Transport equipment3410106
   Other55275
Construction3349657167
Wholesale and retail trade3847485064
Other commerce 2 3 
Transport, storage, and communication3829306366
Personal and community services1425302933
Activities not adequately described—
   Contractor13175510
   Labourer2427182654
   Other1618334634
     Totals214263293369418*

The types of activity in which bankrupts were engaged at the time of failure frequently bear little relationship to the fact of insolvency. Personal extravagance or business incompetence are probably much more important factors in the majority of cases.

Of the 16 companies wound up by Court order during 1957 the nature of activity in each case was described as follows: bakery, 1; book importers, 2; building, 2; chemical laboratory, 1; contractor, 1; electrical, 1; fibrous plastering, 1; roading, 1; board manufacturers, 1; wholesale and retail trade, 5.

The occupational status of individual bankrupts during each of the calendar years 1947-57 is given in the following table.

YearOccupational Status
Working for Salary or WagesEmployer of LabourWorking on Own Account But Not Employing LabourTotal

* Excludes 1 partnership.

† Total includes one retired person.

‡ Excludes 2 partnerships. The occupation of each partner is included, but not the partnership.

§ Total excludes 3 partnerships.

194727182974
1948483664148
1949523493179
1950444355142
1951612657144*
1952644063167*
1953913489214*
195410337123263
195510839145293
195618849132369
195721171136418§

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 150 (2) of the Stamp Duties Act 1954.

Amount of Liabilities.—The following table classifies estates assigned during the last five years available according to the amount of liabilities.

Liabilities19521953195419551956

* Includes 1 estate in which the assignor was subsequently adjudged bankrupt.

† Includes one assignment not proceeded with.

‡ Includes 3 estates in which the assignors were subsequently adjudged bankrupt.

§ Excludes 1 assignment not proceeded with and 1 assignment for which no information is available.

Under £250  
£250 and under £5001   1
£500 " £1,00023111
£1,000 " £2,00014586
£2,000 " £5,0006861217
£5,000 and over2781013
Unspecified11 2 
Totals13*23203338§

The amounts of liabilities involved are relatively much higher for private assignments than for bankruptcies. For the five years 1952-56, 92 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. The classification used follows that of the occupational table of bankrupts given earlier in this section.

19521953195419551956

* Includes 1 estate in which the assignor was subsequently adjudged bankrupt.

† Includes one assignment not proceeded with.

‡ Includes 3 estates in which the assignors were subsequently adjudged bankrupt.

§ Excludes 1 assignment not proceeded with and 1 assignment for which no information is available.

Agriculture and livestock production11 34
Manufacturing33 2 
Construction21191612
Wholesale and retail trade4 3518
Transport, storage and communication 1321
Personal and community services21341
Activities not adequately described16212
     Totals13*23203338§

Of the 1956 total, 19 were employers of labour, one was an employee, and 18 were working on own account.

Provisional figures for 1957 show the number of private assignments as 39. 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.

PICTURE THEATRES.—These statistics 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 picture theatres was inaugurated in 1938-39 and continued annually until 1945-46; thereafter the frequency of collection has been every alternate year, except in 1956-57 when there was an interval of two years between collections. 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.

1951-521953-541956-57

* Not available.

Theatres—
   Screening 6 days per week198195206
   Screening odd days per week320328332
   Circuit715940
       Totals589582578
Theatres according to seating accommodation—
   Other than circuit theatre—
     Under 2009191105
     200 and under 500219220215
     500 and under 1,000167170179
     1,000 and under 1,500313229
     Over 1,500101010
   Circuit theatres715940
       Totals589582578
Seating accommodation (all theatres)—
   Seats, 1s. 6d. and under (excluding amusement tax)   No.120, 200102, 96270,846
   Seats, 2s. (excluding amusement tax)   No.86,27298,309149,281
   Seats, 2s. 6d. (excluding amusement tax)   No. 46,872 
   Seats, 3s. (excluding amusement tax)   No.59,74111,27744,298
   Seats over 3s. (excluding amusement tax)   No. 5,482 
       Totals   No.266,213264,902264,425
Number of paid admissions (000)   No.36,34237,36837,596
Average admission charge (including amusement tax)   d.20.723.628.6
Average attendance per head of population   No.18.618.117.1
Number of performances for year   No.**153,262
Average attendance per performance   No.**245
Average seating capacity per hall   No.**457
Average number of screenings per week—
   Theatres—
     Screening 6 days per week   No.**10.7
     Screening odd days per week   No.**2.1
     Circuit   No.**0.9
Persons engaged—
   Full time—
     Males   No.637590594
     Females   No.542456449
   Part time—
     Males   No.842908987
     Females   No1,2391,2741,462
       Totals   No.3,2603,2283,492
Revenue—
   Admission receipts (including amusement tax)   £(000)3,1323,6804,483
   Screen advertising   £(000)83127132
   Other receipts   £(000)172153114
       Totals   £(000)3,3863,9594,729
Expenditure—
   Salaries and wages   £(000)7338401,009
   Film hire   £(000)8279821,186
   Freight   £(000)464957
   Advertising   £(000)214253273
   Amusement tax   £(000)205300370
   Rent   £(000)306319350
   Repairs and maintenance   £(000)123116192
   Depreciation   £(000)7981135
   Other expenses   £(000)378465475
       Totals   £(000)2,9113,4044,047

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 28.6d. record a rise of 21 per cent over those of the previous year covered (1953-54) and although paid admissions increased to 37,596,000, about a quarter of a million more than 1953-54, the average annual attendance per head of population has fallen from 18.1 to 17.1.

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
 (000)£££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
1956-5737,5964,482,651369,9584,112,69328.617.1

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 are taken from UNESCO (1956) Basic Facts and Figures.

CountryYearNumber of Admissions
Total (Millions)Per Head
United Kingdom19541,27625.0
New Zealand19533718.1
Canada195325917.5
United States of America19542,55816.4
Italy195376816.0
Republic of Ireland19504615.5
Australia195413415.3
Malta and Gozo1952515.1
Hong Kong19523415.1
German Federal Republic and West Berlin195473314.2
Saar19511414.2
Israel19512213.6
Denmark19535913.5
Austria19539313.4
Belgium195211413.0
Russia (U.S.S.R.)19552,50512.5
Czechoslovakia195415012.0
Spain195331411.0
Norway1953339.9
British Guiana195249.9
Sweden1952679.4
France19543818.9

Classification by Provincial Districts.—The following two tables show some of the principal statistics of cinemas for 1956-57 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 17.9 visits a year to the cinema for every member of the population as against 14.8 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 20.5, far exceeding those of other districts, and approximately 20 per cent higher than the average attendance for New Zealand.

Provincial DistrictPopulation 1 April 1957Number of TheatresSeating AccommodationPaid AdmissionsAverage Admission ChargeAverage Attendance Per PersonGross Admission Takings

* Based on mean population in this case.

 No.No.No. of Seats(000)d.No.£
Auckland897,209257109,97115,95127.817.81,848,570
Hawke's Bay104,4003012,5521,85628.117.8217,291
Taranaki95,6003113,3681,47227.115.4166,332
Wellington434,9008453,3008,12529.518.7997,169
Marlborough26,50093,17131929.612.039,311
Nelson71,800289,6671,04125.614.5111,186
Westland18,700114,01638426920.543,015
Canterbury314,7605728,7674,75131.415.1621,712
Otago—       
Otago portion169,7004618,8202,41529.314.2295,039
Southland portion87,6002510,7931,28226.814.6143,026
     Totals2,221,169578264,42537,59628.617.1*4,482,651
Provincial DistrictAmusement TaxNet Admission TakingsFilm HireFilm Hire as a Proportion of Net Admission TakingsNumber of Performances for YearAverage Attendance Per PerformanceAverage Seating Capacity Per Hall
 £££Per CentNo.No.No.
Auckland145,7141,702,856473,33227.864,660247428
Hawke's Bay18,280199,01164,94632.68,087229418
Taranaki13,586152,74641,08826.96,990211431
Wellington84,056913,113267,11829.333,150245635
Marlborough3,49435,8176,95119.41,556205352
Nelson8,694102,49230,38529.65,152202345
Westland3,46439,55110,21225.82,184176365
Canterbury56,154565,558168,00529.717,314274505
Otago—       
   Otago portion24,490270,54980,10029.68,868272409
   Southland portion12,026131,00043,52033.25,301242428
     Totals369,9534,112,6931,185,65728.8153,262245457

Classification by Urban Areas.—Statistics have been prepared for the principal urban areas for the latest year and are shown in the table below. The Hutt urban area has been included with Wellington for the purposes of these statistics.

This table shows that the average attendance per person is over 20 per cent higher in Wellington and Auckland than the two South Island urban areas of Christchurch and Dunedin. On the other hand, average admission charges are higher in the South Island, as is the average attendance per performance.

Seating accommodation of cinemas as a proportion of population show Wellington to be very well off, 1 cinema seat for each 7.5 persons. Auckland comes next with 1 seat for every 8.7 persons, then Dunedin with 1 seat for 10.3 persons, while Christchurch seem relatively low with only 1 seat for every 13.0 persons.

Urban AreasPopulation 1 April 1957Number of TheatresSeating AccommodationPaid AdmissionsAdmissions per SeatAverage Admission ChargeAverage Attendance Per PersonGross Admission TakingsAmusement Tax
 (000)No.No. of Seats(000)No.d.No.££
Auckland390.85645,0768,460187.729.621.61,041,67386,729
Wellington (incl. Hutt)228.44330,3714,919162.030.521.5624,77652,819
Christchurch199.21915,3763,501227.732.717.6476,42043,960
Dunedin100.4139,7561,706174.931.717.0225,33019,656
     Totals918.8131100,57918,586184.830.620.22,368,199203,164
Urban AreasNet Admission TakingsFilm HireFilm Hire as Proportion of Net Admission TakingsRevenueExpenditureNumber of Performance for YearAverage Attendance Per PerformanceAverage Number of Seats Available Per PerformanceProportion of Hall Capacity Filled Per Performance
 ££Per Cent£(000)(£000)No.No.No.Per Cent
Auckland954,944274,52828.81,10093130,32027999828.0
Wellington (incl. Hutt)571,957164,25828.765356518,98825988829.2
Christchurch432,460131,44230.449944210,89632189635.8
Dunedin205,67464,68231.52352055,2523251,06030.6
     Totals2,165,035634,91029.32,4872,14365,45628495429.8

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 ChargeGross Admission Takings

* Twelve circuits.

 No.No. of Seats(000)No.d.£
Six days per week206170,60931,996187.529.73,962,999
Odd days per week33287,9465,40861.522.3502,216
Circuit40*5,87019232.721.817,436
     Totals578264,42537,596142.228.64,482,651
ScreeningAmusement TaxNet Admission TakingsFilm HireFilm Hire as a Proportion of Net Admission TakingsRevenueExpenditure
 £££Per Cent£(000)£(000)
Six days per week336,9603,626,0391,056,22729.14,1603,547
Odd days per week32,065470,151124,94326.6549481
Circuit93316,5034,48727.21920
     Totals369,9584,112,6931,185,65728.84,7294,047
ScreeningPersons EngagedNumber of Performances For YearAverage Attendance Per PerformanceAverage Number of Seats Available Per PerformanceProportion of Hall Capacity Filled Per Performance
Full TimePart Time
MaleFemaleMaleFemale
 No.No.No.No.No.No.No.Per Cent
Six days per week5334434561,155114,55827990430.9
Odd days per week55651330236,80014732944.7
Circuit6 1851,90410117657.1
     Totals5944499871,462153,26224575732.4

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 for the grant of letters patent and for the registration of designs and trade marks during the financial year 1956-57 was 4,432, which was 242 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 twelve years.

YearPatentsTrade MarksDesigns

* Year ended 31 March.

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
1954-55*2,4381,703245
1955-56*2,2981,631261
1956-57*2,3241,858250

The total receipts of the Patent Office for 1956-57 amounted to £45,535, of which patent fees amounted to £29,755; trade mark fees, £15,019; design fees, £732, and copyright fees, £29. Payments during 1956-57 amounted to £35,281.

Patents.—The number of applications for letters patent in 1956-57 was 2,324, as compared with 2,298 in 1955-56 and 2,438 in 1954-55.

The applications received during 1956-57 may be broadly classified as follows: Mechanical engineering, 689; chemistry, 499, primary industries, 275; building construction, 283; home science and miscellaneous, 282.

New Zealand with 728 applications held the lead from Great Britain (661), followed by the United States of America (382), Australia (201), with the remainder (352) distributed among twenty-one other countries.

Trade Marks.—The number of applications in respect of trade marks during 1956-57 was 1,858, as compared with 1,631 in 1955-56 and 1,703 in 1954-55. Classes 5 (pharmaceutical, veterinary, and sanitary substances) and 25 (clothing) again predominated with 267 and 205 applications respectively; and they were followed by Class 9 (scientific and electrical apparatus, etc.), 143; Class 24 (piece goods and textiles), 113; Class 3 (soap, perfumery, etc.), 110; and Class 1 (chemicals, etc.), 108.

The countries from which the applications originated were: New Zealand, 544; Great Britain, 466; United States of America, 319; Australia, 198; with the remainder (331) distributed between twenty-two other countries.

Renewal of the registration of 1,480 trade marks was effected during the year.

Designs.—Applications for the registration of designs in 1956-57 totalled 250, as compared with 261 in 1955-56 and 245 in 1954-55. The total number of applications since the inception of design registration in New Zealand is 7,656.

Licensed Industries.—The Industries and Commerce Act 1956 which came into force on 1 April 1957 repealed the Industrial Efficiency Act 1936 but provides for the continuation of licensing of industry by regulation under clauses 19 and 20. Only three industries—the manufacture of paua shell for sale, of pulp, paper, and multi wall bags, and of pneumatic rubber tires and tubes for motor vehicles—which were still subject to licensing under the Industrial Efficiency Act, are subject to regulation under the provisions of the Industries and Commerce Act 1956. The Licensed Industries Committee, the licensing authority for these three industries, was constituted by the Licensed Industries Regulations 1957/122. This committee comprises three members, the Chairman, who is the Secretary of Industries and Commerce (ex officio) or his deputy, and two members appointed by the Minister of Industries and Commerce.

Two industries previously licensed under the 1936 Act are now licensed under separate legislation.

The Motor Spirits Distribution Act 1953 was passed for the purpose of taking over control of the licensing of the wholesaling and retailing of motor spirits. This Act was brought into operation by Proclamation on 10 March 1955.

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 1954 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 1957, voting in New Zealand for both European and Maori electorates taking place on the thirtieth day of November.

The total number of electors on the roll for the election was 1,244,748, comprising European, 1,202,017 and Maori, 42,731. The number of votes recorded, including informal, was 1,163,061 (European 1,125,522; Maori 37,539), this figure including 7,581 special votes cast by persons who were not en the roll.

Votes cast for candidates by political affiliations were as follows: Labour, 559,096; National, 511,699; Social Credit, 83,498; independent Social Credit, 804; Communist, 706; Unofficial Labour, 529; Liberal, 282; Kauhanganui, 271; Maoritanga Labour, 154; Independent, 140; Independent Ratana, 111; Independent Constitutionalist, 75.

NOTE.—In all the above figures there are included the votes for the Clutha electoral district, where the election was postponed until 18 January 1958 because of the death of a candidate between nomination and the polling day for the General Election.

The strength of the political party representation among Members of Parliament after the 1957 elections was Labour 41, National 39.

A statement of voting in individual electorates (both European and Maori) at the general election in 1957 is now given.

NOTE.—Abbreviations used: C, Communist; I, Independent; I Con, Independent Constitutionalist; I N, Independent National; I S C, Independent Social Credit; L, Labour; Lib, Liberal; N, National; S C, Social Credit.

Electoral Districts, Names of Candidates, and Party AffiliationsNumber of Votes RecordedNumber of Electors on RollPopulation at Census, 1956
Ashburton—
   Gerard (N)7,874  
   Glassey (L)6,105  
   Hooper (S C)559  
     Informal32  
       Totals14,57015,66725,862
Auckland Central—   
   Anderton (L)9,144  
   Joyce (N)5,288  
   Liddle (S C)768  
     Informal137  
       Totals15,33716,87427,547
Avon—
   Cullen (S C)1,049  
   Mathison (L)9,743  
   Olds (N)3,643  
     Informal55  
       Totals14,49015,70126,086
Awarua—
   Anderson (S C)1,277  
   Grieve (N)6,746  
   Wyatt (L)5,110  
     Informal86  
       Totals13,21914,47825,941
Bay of Plenty—   
   Allen (N)6,290  
   Blaymires (S C)935  
   Santon (L)5,380  
     Informal75  
       Totals12,68013,43825,316
Buller—
   Bensemann (N)4,886  
   Matthews (S C)1,357  
   Skinner (L)7,563  
     Informal49  
       Totals13,85514,89126,814
Christchurch Central—
   Campbell (S C)811  
   Locke (C)153  
   Maefarlane (L)8,763  
   McLachlan (N)4,692  
     Informal86  
       Totals14,50515,94126,092
Clutha—
   Aberdeen (S C)328  
   Fahey (L)5,015  
   Roy (N)7,187  
     Informal33  
       Totals12,56315,23326,813
Dunedin Central—
   Anderson (N)6,463  
   Connolly (L)8,241  
   King (S C)850  
     Informal76  
       Totals15,63016,73626,413
Eden—
   Grove (S C)599  
   Rae (N)8,744  
   Watkins (L)8,246  
     Informal108  
       Totals17,69718,85527,415
Egmont—
   Parker (L)4,166  
   Sheat (N)6,863  
   Smith (S C)1,848  
     Informal53  
       Totals12,93014,05325,301
Fendalton—
   Collins (S C)824  
   Watts (N)8,307  
   White (L)6,140  
     Informal29  
       Totals15,30016,21426,112
Franklin—
   Allen (N)8,522  
   Mountfort (L)4,281  
   Wheeler (S C)1,386  
     Informal68  
       Totals14,25715,49426,984
Gisborne—
   Keeling (L)8,038  
   Macpherson (N)6,856  
   Orr (S C)614  
     Informal65  
       Totals15,57316,32326,705
Grey Lynn—
   Griffiths (N)4,106  
   Hackett (L)9,893  
   James (S C)733  
     Informal79  
       Totals14,81115,64725,108
Hamilton—
   Ross (N)7,721  
   Waters (L)6,611  
   Young (S C)983  
     Informal40  
       Totals15,35516,49826,786
Hastings—
   Keating (L)8,146  
   Sivewright (N)7,076  
   Thew (S C)782  
     Informal83  
       Totals16,08717,02027,060
Hauraki—
   Dynes (L)5,582  
   Kinsella (N)6,743  
   Mackey (S C)1,677  
     Informal43  
       Totals14,04515,09026,546
Hawke's Bay—
   Fischer (L)4,600  
   Harker (N)7,458  
   Owen (S C)897  
     Informal62  
       Totals13,01714,04925,021
Heretaunga—
   Allan (S C)812  
   Holloway (L)9,382  
   McCready (N)4,265  
     Informal54  
       Totals14,51315,30226,954
Hobson—
   Elvidge (S C)3,152  
   Moyle (L)3,753  
   Smith (N)6,887  
     Informal63  
       Totals13,85515,13927,176
Hurunui—
   Cate (S C)1,057  
   Christie (L)5,865  
   Gillespie (N)7,614  
     Informal56  
       Totals14,59215,56525,838
Hutt—
   Adams - Schneider (N)4,545  
   Milne (S C)808  
   Nash (L)8,975  
     Informal72  
       Totals14,40015,32927,018
Invercargill—
   Doyle (L)6,898  
   Hanan (N)7,577  
   Russell (S C)673  
     Informal41  
       Totals15,18916,15526,181
Island Bay—
   Elliott (S C)683  
   Goldsmith (N)5,159  
   Nordmeyer (L)9,368  
   Nunes (C)105  
     Informal116  
       Totals15,43116,60626,704
Karori—
   Daniel (S C)555  
   Marshall (N)9,481  
   Simpson (I Con)75  
   Spry (L)6,420  
     Informal137  
       Totals16,66817,69126,683
Lyttelton—
   Kirk (L)8,064  
   Lake (N)7,497  
   Owen (S C)1,014  
     Informal48  
       Totals16,62317,34227,484
Manawatu—
   Kelliher (L)5,681  
   O'Brien (S C)1,248  
   Pedley (Lib)124  
   Tennent (N)7,256  
     Informal65  
       Totals14,37415,39226,613
Manukau—
   Gotz (N)7,480  
   Higham (S C)820  
   Stamp (L)7,321  
     Informal60  
       Totals15,68116,53425,680
Marlborough—
   Evans (L)5,890  
   Kerr (S C)1,184  
   Shand (N)7,672  
     Informal43  
       Totals14,78915,49025,858
Marsden—
   Hill (I S C)332  
   Hosking (L)5,818  
   McKay (N)7,906  
   Vallance (S C)994  
     Informal73  
       Totals15,12316,23127,397
Miramar—6,340   Fox (L)8,417
   Johnson (S C)736     Informal48
       Totals15,54116,50625,888
Mornington—
   Hudson (L)7,756  
   Macdougall (N)4,939  
   Marston (C)38  
   Milburn (S C)1,227  
     Informal52  
       Totals14,01214,98825,050
Mt. Albert—
   Freer (L)8,766  
   Gerrard (S C)892  
   Taylor (N)4,779  
     Informal91  
       Totals14,52815,37125,136
Napier—
   Edwards (L)9,140  
   Foster (N)6,727  
   Frampton (S C)671  
     Informal59  
       Totals16,59717,35926,362
Nelson—
   Martin (N)7,083  
   Toomer (S C)1,138  
   Whitehead (L)7,592  
     Informal63  
       Totals15,87616,72527,053
New Plymouth—
   Aderman (N)8,386  
   Barclay (L)7,729  
   Lattimer (S C)686  
     Informal70  
       Totals16,87117,78027,552
North Dunedin—
   McMillan (L)8,616  
   McMullan (S C)1,180  
   Terry (N)5,208  
     Informal79  
       Totals15,08315,91526,066
North Shore—
   Eyre (N)8,122  
   Holloway (I)140  
   Richards (S C)544  
   Smith (L)7,660  
     Informal65  
       Totals16,53117,26826,945
Onehunga—
   Pealing (S C)667  
   Watson (N)4,066  
   Watt (L)9,752  
     Informal83  
       Totals14,56815,38325,353
Onslow—
   Buckley (S C)779  
   May (L)8,882  
   O'Brien (N)6,207  
     Informal56  
       Totals15,92416,68526,915
Otago Central—
   George (N)7,196  
   Rapson (L)4,408  
   Sloan (S C)1,033  
     Informal39  
       Totals12,67613,40726,002
Otahuhu—
   Deas (L)8,927  
   Haszard (N)5,485  
   Jordan (S C)714  
     Informal59  
       Totals15,18515,89226,025
Otaki—
   Clunie (S C)1,379  
   Maher (N)7,620  
   Shamy (L)6,498  
     Informal72  
       Totals15,56916,38725,747
Pahiatua—
   Gunn (SC)887  
   Holyoake (N)8,075  
   Rose (L)4,055  
     Informal43  
       Totals13,06014,00725,091
Palmerston North—
   Brown (N)6,583  
   Keningston (S C)978  
   Skoglund (L)7,931  
     Informal54  
       Totals15,54616,53825,604
Patea—
   Duggan (Lib)158  
   Jack (N)6,172  
   Mullins (S C)1,262  
   Winchcombe (L)5,270  
     Informal79  
       Totals12,94113,89425,062
Petone—
   Long (S C)737  
   Moohan (L)9,401  
   Riddiford (N)5,242  
     Informal56  
       Totals15,43616,49726,963
Piako—
   Goosman (N)7,650  
   Thompson (S C)1,271  
   Walker (L)3,838  
     Informal44  
       Totals12,80314,16226,674
Ponsonby—
   Jackson (C)286  
   Macdonald (L)11,029  
   Ross (S C)686  
   Smith (N)4,437  
     Informal145  
       Totals16,58317,79127,375
Raglan—
   Baxter (L)6,110  
   Carter (N)6,271  
   Roberts (S C)1,106  
     Informal57  
       Totals13,54414,34625,403
Rangitikei—
   Needham (S C)1,286  
   Roberton (L)4,601  
   Shelton (N)7,584  
     Informal47  
       Totals13,51814,58425,583
Remuera—
   Algie (N)9,717  
   Penney (L)4,951  
   Wood (S C)759  
     Informal85  
       Totals15,51216,56425,593
Riccarton—
   Colechin (S C)740  
   Connelly (L)8,128  
   Sergel (N)5,261  
     Informal46  
       Totals14,17515,25024,976
Rodney—
   Hunter (S C)2,423  
   Scott (N)6,815  
   Webber (L)3,703  
     Informal48  
       Totals12,98914,05725,114
Roskill—
   Faulkner (L)8,197  
   Langstone (S C)527  
   Rae (N)6,080  
     Informal50  
       Totals14,85415,57724,983
Rotorua—
   Boord (L)8,204  
   Buckingham (S C)998  
   Linton (N)6,195  
     Informal67  
       Totals15,46416,41027,523
St. Albans—
   Penrose (S C)759  
   Pickering (L)7,960  
   Wills (N)7,459  
     Informal56  
       Totals16,23417,24026,576
St. Kilda—
   Barnes (N)7,267  
   Emslie (S C)509  
   Fraser (L)8,058  
   Poole (I S C)153  
     Informal90  
       Totals16,07716,80325,853
Selwyn—
   Cook (L)5,833  
   McAlpine (N)7,564  
   Morton (S C)823  
     Informal42  
       Totals14,26215,31126,224
Stratford—
   Deegan (L)4,242  
   Murray (N)7,414  
   Tuffery (S C)1,669  
     Informal32  
       Totals13,35714,44826,749
Sydenham—
   Howard (L)10,213  
   Lynne (S C)860  
   Moody (N)3,763  
     Informal85  
       Totals14,92116,27226,074
Tamaki—
   Halstead (N)7,160  
   Norris (S C)400  
   Tizard (L)7,749  
     Informal29  
       Totals15,33815,82025,065
Tauranga—
   Liddell (L)4,472  
   McGowan (S C)2,127  
   Walsh (N)7,814  
     Informal55  
       Totals14,46815,67225,965
Timaru—
   Carr (L)8,379  
   Davey (N)6,657  
   Isitt (S C)562  
     Informal63  
       Totals15,66116,47726,436
Waikato—
   Crawley (S C)1,139  
   Ingram (L)4,664  
   Sim (N)6,677  
     Informal40  
       Totals12,52013,72725,838
Waipa—
   Bennett (S C)1,622  
   Johnstone (N)7,197  
   Tucker (L)5,384  
     Informal80  
       Totals14,28315,38326,327
Wairarapa—
   Cooksley (N)7,121  
   Feast (S C)1,588  
   Wilkie (L)6,063  
     Informal44  
       Totals14,81615,53126,604
Waitakere—
   Bradley (N)5,581  
   Mason (L)9,263  
   Robertson (S C)1,204  
     Informal92  
       Total16,14016,99426,381
Waitaki—
   Braddick (L)6,324  
   Hayes (S C)990  
   Hayman (N)7,942  
     Informal67  
       Totals15,32315,98226,726
Waitemata—
   Jordan (S C)1,036  
   King (L)8,771  
   Muldoon (N)6,580  
     Informal70  
       Totals16,45717,23726,395
Waitomo—
   Haines (L)4,568  
   Mason (S C)1,482  
   Seath (N)7,042  
     Informal55  
       Total13,14714,49326,843
Wallace—
   Reid (L)3,947  
   Stack (S C)919  
   Talboys (N)8,266  
     Informal63  
       Totals13,19514,48226,200
Wanganui—
   Cotterill (L)6,550  
   Maclean (N)5,131  
   Marks (S C)3,378  
     Informal50  
       Totals15,10915,89425,078
Wellington Central—
   Kitts (L)8,980  
   Norris (S C)699  
   Wall (N)7,295  
     Informal126  
       Totals17,10018,44727,244
Westland—
   Boustridge (N)4,414  
   Fraser (S C)790  
   Kent (L)9,159  
   McEwen (C)124  
     Informal82  
       Totals14,56915,48326,780

A statement is also given of the voting in the Maori electorates at the 1957 General Election.

NOTE.—Abbreviations used: I R, Independent Ratana; I S C, Independent Social Credit; K, Kauhanganui; L, Labour; L U, Labour (Unofficial); M L, Maoritanga Labour; N, National; S C, Social Credit.

Electoral Districts, Names of Candidates, and Party AffiliationsNumber of Votes RecordedNumber of Electors on Roll
Eastern Maori—
   Maxwell (N)2,372 
   Omana (L)6,569 
   Reedy (S C)2,021 
     Informal235 
       Totals11,19712,574
Northern Maori—
   Davis (N)1,464 
   Maihi (S C)773 
   Paikea (L)5,774 
   Sutherland (L U)529 
   Te Pania (I S C)319 
   Witehira (K)39 
     Informal144 
       Totals9,04210,224
Southern Maori—
   Makitanara (K)113 
   Ropiha (S C)394 
   Stratton (N)952 
   Tirikatene (L)5,335 
     Informal102 
       Totals6,8968,101
Western Maori—
   Awatere (S C)1,171 
   Jones (N)1,523 
   Kaihau (M L)154 
   Patara (I R)111 
   Ratana (L)7,076 
   Te Hira (K)119 
     Informal250 
       Totals10,40411,832

National Licensing Polls.—The licensing poll of 30 November 1957, held in conjunction with the parliamentary elections, was the tenth 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 1957 poll, together with those of the four preceding polls, were as follows.

 19431946194919541957
For national continuance529,386542,681660,573672,754723,059
For State purchase and control123,701202,664135,982164,380160,483
For national prohibition269,800259,162268,567250,460260,132

The percentage of votes recorded for State purchase and control was 13.4 of the total votes in 1943. 20.2 in 1946, 12.8 in 1949. 15.1 in 1954, and 14.0 in 1957. 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 rose slightly to 61.9 per cent in 1954 and 63.2 per cent in 1957. 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, 23.0 per cent and 22.8 per cent were recorded in 1949, 1954, and 1957 respectively.

The voting results in each licensing district, for the local option polls, and for the special licensing polls in 1957, are now given.

Licensing DistrictFor National ContinuanceFor State Purchase and ControlFor National Prohibition
Ashburton9,0721,6223,783
Auckland Central9,6762,6882,647
Avon9,1052,3462,887
Awarua8,2501,0373,835
Bay of Plenty7,8902,0132,640
Buller9,5851,3272,832
Christchurch Central9,0482,1583,153
Clutha4,1374852,549
Dunedin Central9,5212,2073,744
Eden10,1922,6044,631
Egmont9,1211,0242,666
Fendalton9,7801,8733,528
Franklin8,5232,0333,542
Gisborne10,1091,9033,407
Grey Lynn8,5652,7393,193
Hamilton9,2192,1773,819
Hastings10,4021,9413,599
Hauraki8,7691,8123,377
Hawke's Bay9,2531,3122,361
Heretaunga9,1253,0012,233
Hobson8,1862,1413,402
Hurunui9,5331,4883,452
Hutt8,5532,6473,076
Invercargill9,4411,0354,595
Island Bay9,6132,4833,034
Karori10,6942,4223,353
Lyttelton10,1822,5143,751
Manawatu9,2521,5143,460
Manukau9,1572,4903,892
Marlborough10,0941,3693,189
Marsden9,0422,3783,565
Miramar9,9072,1693,225
Mornington8,2401,9873,697
Mount Albert8,2632,4523,600
Napier10,3692,2343,815
Nelson9,9331,4634,352
New Plymouth10,8661,6924,104
North Dunedin8,7202,0024,218
North Shore10,0462,8723,441
Onehunga8,2742,9413,208
Onslow10,2192,5612,995
Otago Central8,3391,2852,955
Otahuhu9,0593,0292,922
Otaki9,8341,9203,621
Pahiatua9,0141,1122,823
Palmerston North9,7941,7903,794
Patea9,1941,1452,475
Petone9,5122,9192,786
Pinko8,1631,3943,117
Portsonby9,7672,9853,492
Raglan8,3432,2992,737
Rangitikei9,4201,0942,891
Remuera9,8482,0353,465
Riccarton9,0132,0952,951
Rodney8,1201,5293,186
Roskill8,8372,4073,411
Rotorua9,4173,3672,481
St. Albans9,9002,1903,984
St. Kilda9,7961,9814,162
Selwyn9,4321,8032,905
Stratford9,7838462,613
Sydenham9,0972,2753,402
Tamaki9,6112,6022,973
Tauranga8,5932,0443,685
Timaru9,6662,0993,772
Waikato7,9711,7642,666
Waipa8,8892,0223,120
Wairarapa9,7611,5953,307
Waitakere9,8192,8073,272
Waitaki8,9731,8344,352
Waitemata9,6353,0363,528
Waitomo9,4581,5312,036
Wallace8,6058643,643
Wanganui9,8181,5553,576
Wellington Central11,4122,4982,882
Westland10,4931,5882,354
Eastern Maori5,8182,6182,305
Northern Maori4,4121,9162,274
Southern Maori3,7681,3311,556
Western Maori4,7492,1232,808
     Totals723,059160,483260,132
Local Restoration Polls
Licensing DistrictFor Local Restoration of LicenceFor Local No-licenceNumber of Valid Votes Recorded
Auckland Suburbs16,25012,65728,907
Eden5,8197,22213,041
Grey Lynn7,1787,96715,145
Oamaru6,8634,79611,659
Roskill11,03213,68024,712
Wellington6,8817,55314,434
Wellington South5,9014,51410,415
Wellington West7,1357,79314,928
     Totals67,05966,182133,241

The poll for local restoration was not carried in any district.

LIQUOR LICENSING.—The principal Act dealing with the sale of liquor is the Licensing Act 1908 and its amendments.

History.—The earliest legislation relating to the sale of liquor in New Zealand was the Licensing Ordinance 1842. This required all persons selling liquor in quantities of less than two gallons to obtain a licence. It did not place any restrictions on the number of licences which might be granted, nor did it regulate the conduct of the trade generally. Under this Ordinance the hours during which liquor might be sold were from 6 in the morning until 10 at night on weekdays and from 1 to 7 in the afternoon on Sundays, with a proviso that Justices might grant an extension until midnight on working days.

The growth of the temperance and prohibition movements led to the passing of the Licensing Act 1881, which comprehensively regulated and controlled the liquor trade and is the source of many of the provisions of the present law. The Act created a system of licensing committees, which originally consisted of five members elected annually by ratepayers. The districts over which licensing committees had jurisdiction were small and fragmentary but they were extended by the Alcoholic Liquors Sale Control Act 1893 to coincide with parliamentary electoral boundaries. The same Act provided that the committees should consist of a Resident Magistrate as Chairman and eight members (reduced to five in 1895) elected every three years by the electors of the district. Except for the substitution of Stipendiary Magistrates for Resident Magistrates the constitution of licensing committees has remained unaltered up to the present.

In 1893 a system of local option was introduced. The electors of every licensing district were given the opportunity of voting periodically for the continuance, reduction, or abolition of licences in the district. In consequence of this many hotels lost their licences and a number of districts (the first being Clutha) carried "no licence". The right to vote for reduction of licences was abolished in 1910 and the provisions relating to local option were repealed in 1918 and replaced by provisions for a periodical nation-wide vote on the issues of continuance, prohibition, and state purchase and control. Those areas which had carried no-licence were, however, to remain "dry" until a 60 per cent majority of the electors had voted for restoration of licences.

The most important developments in the law since 1920 have been the establishment in 1948 of the Licensing Control Commission and the introduction in certain former no-licence districts of a system of control through licensing trusts referred to later in this section.

The principal functions of the Licensing Control Commission are to authorize new publicans', tourist house, and wholesale licences, to deal with applications for the grant of club charters, to cancel unnecessary licences and to determine the compensation payable to their holders, to prescribe minimum standards of accommodation, amenities, and services, and generally to supervise the work of licensing committees. There is a right of appeal to the Supreme Court against any decision of the Commission—(a) cancelling licences on grounds that they are not needed; (b) awarding compensation for cancelled or surrendered licences; or (c) determining appeals 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.

Principles of Licensing Law.—The principles on which the licensing law of New Zealand rests are that no liquor may be sold without a licence, that apart from special cases (for instance, chartered clubs) liquor may not be sold for consumption on the premises unless accommodation for the travelling public is provided on the same premises, that the number of licences should be limited and that there should be strict regulation of the conduct of the trade and of the provision of accommodation and services.

The following types of licence for the sale of liquor are authorized by law in New Zealand: publican's accommodation, tourist house, packet, New Zealand wine, works canteen, wholesale, wine-seller's, wine-maker's, brewer's, conditional. In addition, charters may be issued to certain clubs.

The publican's licence is the most important and numerous form of licence. It authorizes the sale of liquor in any quantity for consumption on or off the premises. In return for the privilege of selling liquor the holder of a publican's licence must provide accommodation and amenities in accordance with the requirements of the Licensing Control Commission, with a minimum in boroughs of six rooms for guests.

The number of new publicans' licences which may be granted is limited by statute to a number equal to the total of—

  1. The number of publicans' licences in force on the passing of the Licensing Amendment Act 1948, together with an additional 20;

  2. The number granted in place of accommodation licences;

  3. The number granted following the carrying of restoration in a no-license district (including the King Country); and

  4. One additional licence for every 10,000 increase in the population of New Zealand.

It should be made clear that the number of publicans' licences which may be authorized under these heads is in addition to the number of hotels existing in licensing trust districts.

Accommodation licences were granted in earlier times on the terms of keeping a road or bridge in repair or of providing accommodation or of performing some similar obligation. No new accommodation licences may be granted and this form of licence is not of significance at the present day.

Tourist house licences were first provided for in the Licensing Amendment Act 1948. They are authorized by the Licensing Control Commission and their number may not exceed 25. They confer the right to sell liquor to guests staying or dining at the hotel for consumption on the premises.

Packet licences authorize the sale of liquor to passengers on ships.

New Zealand wine licences authorize the sale of wine produced in New Zealand in quantities of not more than two gallons. Only three New Zealand wine licences are in operation and the law prohibits the grant of any further licences of this type.

A works canteen licence is a form of licence created in 1948. It authorizes the sale of liquor for consumption on the premises at canteens in a public works camp. No works canteen licences have in fact been granted.

Wholesale licences authorize the sale of liquor in quantities of not less than two gallons to any one person at any one time. The holder of a wholesale licence is not required by law to, and in most cases does not in fact, confine his sales to the holders of other licences, and sales by wholesale licensees to the general public are extensive.

A wine-seller's licence authorizes its holder to sell New Zealand wine for consumption off the premises in quantities of not less than one reputed quart in the case of wine whose strength is not more than 25 per cent proof spirit, and not less than half a gallon in the case of wines whose strength exceeds 25 per cent proof.

Wine-makers' licences are granted not by a licensing committee but by a Magistrate, and authorize the sale of New Zealand wine by producers in the same quantities as are permitted by a wine-seller's licence.

Brewers' licences are not issued under the Licensing Act but under Customs legislation. A brewer's licence authorizes the sale of beer, whether to the holders of licences or to the general public, in quantities of not less than two gallons.

Conditional licences authorize the sale of liquor at shows, races, and similar functions for any period not exceeding seven days. In the nature of things the number of conditional licences in force at any time fluctuates considerably.

New Licences.—The Licensing Control Commission determines after a public sitting whether a new publican's tourist house, or wholesale licence should be authorized in any particular locality and (in the case of a publican's or tourist house licence) the minimum standards of accommodation and services which must be provided. There is provision for a poll of residents on the question whether a licence is desired in the locality, and if the majority of valid votes recorded at the poll is against a licence the Commission may not authorize one unless special circumstances exist.

In authorizing any new licence the Commission fixes a fair price which a successful applicant for the licence must pay. Broadly speaking, the fair price represents the difference between the value of the proposed premises with a licence to sell liquor and without one. The amount received by way of fair price for new licences is paid into the Licensing Fund set up by the 1948 Amendment Act. Compensation for cancelled licences is paid out of this Fund. In the accounts of the Licensing Fund for the year ended 31 March 1957 were receipts from fair prices, at £11,700, and payments as compensation for licences cancelled, at £16,018. The Fund stood at £48,079 at the end of the year.

Once a licence has been authorized, the licensing committee having jurisdiction in respect of the locality calls for applications from persons who wish to establish premises on a site of their choosing which comply with the minimum standards laid down in the Commission's authorization. The licensing committee determines between competing applicants for the licence, and its decision, in effect, fixes the exact site of the proposed premises. In the case of a publican's licence there is provision for 20 or more residents within a certain radius to object to the establishment of a hotel on the site, on the grounds that it is in the vicinity of a school, church, or hospital, or that the area is predominantly residential and a substantial number of residents object to a hotel there. This objection is heard by a Magistrate who may uphold or dismiss it or direct a poll of residents.

Amending legislation in 1955 provides that if, following a special poll of residents which favours trust control, an application for a licence which has been authorized is made on behalf of a local licensing trust to be formed the licence must, other things being equal, be granted to the proposed trust.

By the end of March 1956 the Commission had completed its initial review of 1,288 licences—1,128 publicans' or accommodation, 157 wholesale, and 3 tourist-house. Of this total, rebuilding was ordered in 52 cases, and major improvements ordered in 306 instances. Applications for new licences, with authorizations shown in parentheses, during the period were as follows: publicans', 102 (63); tourist-house, 45 (26); and wholesale, 68 (21).

During the year ended 31 March 1957 the Commission reviews in the licensing districts dealt with a total of 102 publicans', accommodation, and wholesale licences, compared with a total of 21 in the previous year. In addition, representations for new licences totalled 28. The following table shows the number of licences either in force or authorized at 31 March 1957.

Publicans' and Accommodation LicencesTourist-house LicencesWholesale Licences
Number of licences allowable under sections 27 (1) and (2), 28 (1) and (2), of the 1948 amending Act and under the 1953 amendment1,16825217
Number of licences either in force or authorized at 1 April 19561,12022166
Number of licences cancelled or surrendered, 1956-57143 
Number of new licences authorized, 1956-57341
Total number of licences either in force or authorized at 1 April 19571,10923167

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 1957, 159 applications had been filed for the grant of club charters. These had been dealt with as follows: charters issued, 92; granted but charters withheld pending compliance with conditions, 3; adjourned sine die, 23; declined, 20; withdrawn, 8; decisions not issued, 6; and awaiting to be heard, 7. One charter has been revoked.

The commission was also concerned with 104 appeals lodged against decisions of Licensing Committees up to 31 March 1957, these being dealt with as follows: withdrawn, 20; heard, 80; dismissed. 65; and allowed, 14, while 4 cases awaited hearing.

Notices of cancellation or surrender of licences to 31 March 1957 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 40 publicans' and 5 accommodation licences determined.

Hours of Sale.—In 1917 the Sale of Liquor Restriction Act provided for the closing of licensed premises, so far as the sale of liquor was concerned, on weekdays between the hours, of 6 p.m. in the evening and 9 a.m. on the following morning, and all day on Sundays, Christmas Day, and Good Friday, except that wholesalers and brewers (also wine makers and wine sellers) might sell liquor between 7 a.m. and 9 a.m. on weekday mornings. This legislation was originally intended as a temporary wartime measure but was made permanent in 1918.

In 1949 a referendum was held pursuant to the provisions of the Licensing Amendment Act 1948 on the question of hours for the sale of liquor in hotel bars. The proposal for the retention of the existing hours was carried by a large majority, the vote in favour of the existing hours being 473,768 and the vote for the alternative proposal of a total of 9 hours between 10 a.m. and 10 p.m. being 153,854.

The Licensing Amendment Act 1955 removed the restrictions as to the hours during which holders of brewers' licences might sell and deliver to other licensed premises. The Licensing Amendment Act 1957 extended the hours during which holders of wine-makers' licences might sell and deliver to other licensed premises, to between 6 a.m. and 8 p.m.

Licensing Trusts.—The system of trust control in New Zealand is an alternative to the traditional means of controlling the sale of liquor through privately held licences supervised by licensing committees and since 1949 by the Licensing Control Commission. The system of licensing committees controlled by the Licensing Control Commission gives the public an indirect control over the conditions under which liquor is sold. In the case of trusts public control is direct, since the whole of the liquor trade in a trust district is conducted by the trust, which is elected by the residents and is responsible to them.

The first licensing trust in New Zealand was set up in 1944 following the carrying of restoration in the former Invercargill no-licence district. This trust was originally an appointed body but was made elective in 1950 to bring it into line with other licensing trusts.

Following the carrying of restoration in the Masterton no-licence district in 1946, the electors of that area were given the opportunity of recording their views as to whether they desired trust control. The district was divided into three areas, trust control being carried in the southern area (mainly comprising the borough of Masterton) and being 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 in 1947.

As a result of special licensing polls held on 9 March 1949 in the Ashburton and Geraldine areas, the restoration proposal was carried by the necessary 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 trusts were established in these two districts.

The Licensing Trusts Act 1949 provides a general code for the taking of polls on the issue of trust control in former no-licence districts, which have carried restoration, and for the constitution, functions and powers of licensing trusts. An amendment in 1950 provided for the taking of polls in any area where the Licensing Control Commission has authorized a new licence to determine whether the majority of the residents wish that licence to be conducted by a local licensing trust. It may be mentioned that the powers of a local licensing trust operating an individual licence are more limited than those of a district licensing trust. The Licensing Act applies virtually in its entirety to a local licensing trust which, unlike district licensing trusts, is subject to supervision by the licensing committee and the Licensing Control Commission.

Following a vote in favour of trust control in the areas of Clutha and Mataura, provision was made in the Licensing Amendment Act 1955 for the division of districts into wards for the purpose of elections.

Pursuant to the provisions of the Licensing Amendment Act 1953, special polls were held in the King Country, Johnsonville and Porirua areas in 1954 to determine whether liquor should be sold in those areas and if so whether its control should be in the hands of licensing trusts. In the King Country the necessary majority voted in favour of the sale, of liquor and rejected the proposal for trust control: in Johnsonville the proposal for the sale of liquor was not carried: in Porirua the majority favoured the sale of liquor and the establishment of a trust.

The total number of district trusts in New Zealand is at present seven—Ashburton, Clutha Geraldine, Invercargill, Masterton, Mataura and Porirua. In addition two local trusts at Cheviot in Canterbury and Mount Wellington in the Auckland suburbs are operating hotels.

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 Stamp Duties Act 1954 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 1957, 2,700 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, 16 licences were issued in respect of the regular £10,000 art unions. The aggregate results of these regular art unions for the past seven years have been as follows.

1950-511951-521952-531953-541954-551955-561956-57
Number of lotteries13131313131516
Gross sales        £268,418258,886305,856418,279404,449608,620605,738
Commission on sales    £40,26338,83345,87862,74160,66791,29390,860
Expenses        £33,43735,01041,22248,60849,95264,06062,919
Prizes        £65,00065,00071,00091,00091,000150,000160,000
Net proceeds        £129,718120,043147,756215,930202,830303,267291,959
Lottery duty        £26,84125,88830,58541,82740,44560,86260,574
Net profit        £102,87794,155117,171174,103162,385242,405231,385

Allocation of funds earned from the art unions in the preceding table during 1956-57 was as follows: £85,589 to charitable and philanthropic organizations; £14,576 to various mayoral or other recognized relief of distress funds; £21,260 to the Cultural Fund; £22,254 to sporting bodies; £15,647 to children's health camps; £4,000 to the New Zealand Patriotic Fund Board for benefit of servicemen overseas; £6,350 to old folks' associations; £21,125 to youth organizations (Y.M.C.A., Boys' Brigade, etc.); £4,300 to the bands' associations; national water safety—£15,000; and miscellaneous grants, £20,854.

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 1957 the numbers of such districts and areas were 76 and 446 respectively. A Controller, an Assistant Controller, 6 district welfare officers, and 24 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 1957 the Maori Women's Welfare League had a total strength of 3,017 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 1957 amounted to £19,859. Total subsidies paid under the Act amount to £207,476.

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 1957 wardens' certificates were held by 346 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, Superintendent 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 11 1/2 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 THROUGH STATION ZLW on a WAVELENGTH OF 18,710 Kc/s (16.84 METRES) I.C.W.

    The signals are transmitted between 12h. 24m. and 12h. 30m. p.m. on Tuesdays and Thursdays, and are in accordance with the "English" system. The procedure is as follows:

    At 12h. 24m. 00s. the "Attention" call (— . — . —), followed by the Observatory call sign ZMO (— — . . — — — — —); repeated every ten seconds till 12h. 24m. 40s.

    From 12h. 25m. 00s. to 12h. 30m. 00s. dots at each second, with lengthened dots at 00s. of each minute.

    These signals are intended primarily for longitude comparisons with Mount Stromlo Observatory, New South Wales. Corrections to the nearest millisecond (0.001 second) will be available eventually.

  3. 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.10.59 a.m. 11.00 a.m. 2YA only (daily).
    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.

  4. TIME SIGNALS BY TELEGRAPH

    The Observatory sends time signals by telegraph to the General Post Office and the Railways Department, Wellington, at 9.00 a.m. daily. This signal is transmitted to all telegraph offices in New Zealand and to all railway stations in the North Island.

  5. PUBLIC CLOCKS

    The Government Buildings clock (Wellington) is checked at 9.00 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.

TOURIST ATTRACTIONS.—Reference to pages 1143-1152 of the 1955 Year-Book will provide a brief description of the main tourist attractions in New Zealand, together with a series of photographs illustrating some of them. A second series of photographs only appeared in the 1956 volume.

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.

LIST OF LEGISLATION, 1957.—During the parliamentary session of 1957, which commenced on 11 June, and which ended on 25 October, the General Assembly passed 110 public Acts, 8 local Acts, and 6 private Acts. The following is a list of public Acts passed during the session, suffixed in each case as appropriate by "N.A."—new Act, "A.A."—amending Act, "C.A."—consolidation Act, "C.A.A."—consolidating and amending Act, or "V.C.A."—validating and confirming Act.

  • Administration Amendment. (A.A.)

  • Adoption Amendment. (A.A.)

  • Aged and Infirm Persons Protection Amendment. (A.A.)

  • Agriculture (Emergency Regulations Confirmation). (V.C.A.)

  • Aliens Amendment. (A.A.)

  • Apprentices Amendment. (A.A.)

  • Appropriation. (N.A.)

  • Arbitration Clauses (Protocol) and the Arbitration (Foreign Awards) Amendment. (A.A.) Archives. (N.A.)

  • Atomic Energy Amendment. (A.A.)

  • Auckland Harbour Bridge Amendment. (A.A.)

  • Auctioneers Amendment. (A.A.)

  • Charitable Trusts. (C.A.A.)

  • Civil List Amendment. (A.A.)

  • Cook Islands Amendment. (A.A.)

  • Counties Amendment. (A.A.)

  • Dairy Board Amendment. (A.A.)

  • Dairy Industry Amendment. (A.A.)

  • Dairy Products Marketing Commission Amendment. (A.A.)

  • Dangerous Goods. (C.A.A.)

  • Diplomatic Immunities and Privileges. (A.A.)

  • Education Amendment. (A.A.)

  • Electric Power Boards Amendment. (A.A.)

  • Emergency Regulations Amendment. (A.A.)

  • Estate and Gift Duties Amendment. (A.A.)

  • Explosives. (C.A.A.)

  • Federation of Malaya. (N.A.)

  • Finance. (N.A.)

  • Fire Services Amendment. (A.A.)

  • Food and Drugs Amendment. (A.A.)

  • Friendly Societies Amendment. (A.A.)

  • Geothermal Energy Amendment. (A.A.)

  • Government Railways Amendment. (A.A.)

  • Harbours Amendment. (A.A.)

  • Historic Places Amendment. (A.A.)

  • Hospitals. (C.A.A.)

  • Imprest Supply. (N.A.)

  • Imprest Supply (No. 2). (N.A.)

  • Imprest Supply (No. 3). (N.A.)

  • Imprest Supply (No. 4). (N.A.)

  • Income Tax Assessment. (N.A.)

  • Industrial and Provident Societies Amendment. (A.A.)

  • Infants Amendment. (A.A.)

  • Joint Family Homes Amendment. (A.A.)

  • Judicature Amendment. (A.A.)

  • Juries Amendment. (A.A.)

  • Justices of the Peace. (C.A.A.)

  • Land and Income Tax Amendment. (A.A.)

  • Land and Income Tax Amendment (No. 2). (A.A.)

  • Land and Income Tax (Annual). (N.A.)

  • Land and Income Tax (Annual) (No. 2). (N.A.)

  • Law Practitioners Amendment. (A.A.)

  • Law Reform Amendment. (A.A.)

  • Licensing Amendment. (A.A.)

  • Local Authorities (Members' Contracts) Amendment. (A.A.)

  • Local Elections and Polls Amendment. (A.A.)

  • Local Legislation. (N.A.)

  • Maori Purposes. (A.A.)

  • Maori Soldiers Trust. (N.A.)

  • Marlborough College Amendment. (A.A.)

  • Meat Amendment. (A.A.)

  • Meat Export Prices Amendment. (A.A.)

  • Medical Practitioners Amendment. (A.A.)

  • Mental Health Amendment. (A.A.)

  • Municipal Corporations Amendment. (A.A.)

  • National Provident Fund Amendment. (A.A.)

  • National Roads Amendment. (A.A.)

  • New Zealand Army Amendment. (A.A.)

  • New Zealand National Airways Amendment. (A.A.)

  • New Zealand University Amendment. (A.A.)

  • Nurses and Midwives Amendment. (A.A.)

  • Oaths and Declarations. (C.A.A.)

  • Pharmacy Amendment. (A.A.)

  • Post and Telegraph Amendment. (A.A.)

  • Primary Products Marketing Regulations Confirmation. (V.C.A.)

  • Property Law Amendment. (A.A.)

  • Public Revenues Amendment. (A.A.)

  • Public Trust Office. (C.A.A.)

  • Rangitaiki Land Drainage Amendment. (A.A.)

  • Rating Amendment. (A.A.)

  • Rehabilitation Amendment. (A.A.)

  • Reserves and Domains Amendment. (A.A.)

  • Reserves and Other Lands Disposal. (N.A.)

  • Royal New Zealand Air Force Amendment. (A.A.)

  • Royal New Zealand Institute of Horticulture Amendment. (A.A.)

  • Samoa Amendment. (A.A.)

  • Sharebrokers Amendment. (A.A.)

  • Shipping and Seamen Amendment. (A.A.)

  • Social Security Amendment. (A.A.)

  • Soil Conservation and Rivers Control Amendment. (A.A.)

  • Stamp Duties Amendment. (A.A.)

  • State Supply of Electrical Energy Amendment. (No. 2). (A.A.)

  • Stock Amendment. (A.A.)

  • Summary Proceedings. (C.A.A.)

  • Superannuation Amendment. (A.A.)

  • Taranaki Scholarships Trust Board. (N.A.)

  • Tenancy Amendment. (A.A.)

  • Town and Country Planning Amendment. (A.A.)

  • Trustee Amendment. (A.A.)

  • Trustee Savings Banks Amendment. (A.A.)

  • Tuberculosis Amendment. (A.A.)

  • University of Auckland Amendment. (A.A.)

  • University of Canterbury Amendment. (A.A.)

  • Valuation Equalisation. (N.A.)

  • Vegetables Levy. (N.A.)

  • Victoria University of Wellington Amendment. (A.A.)

  • Visiting Forces Amendment. (A.A.)

  • War Pensions Amendment. (A.A.)

  • Water Supply Amendment. (A.A.)

  • Wool Labelling Amendment. (A.A.)

PUBLIC HOLIDAYS.—These are listed below for 1958 and 1959—

 19581959

* Date of Queen's birthday, 21 April 1926.

New Year's Day1 January1 January
Good Friday4 April27 March
Easter Monday7 April30 March
Anzac Day25 April25 April
Queen's Birthday* (observance)2 June1 June
Labour Day27 October26 October
Christmas Day25 December25 December
Boxing Day26 December26 December

In addition to the above, there is in each provincial district a holiday for the provincial anniversary. The actual anniversary days are as follows: Auckland, 29 January; Canterbury, 16 December; Hawke's Bay, 16 October; Marlborough, 1 November; Nelson, 1 February; Otago and Southland, 23 March; Taranaki, 31 March; Wellington, 22 January; and Westland, 1 December.

When Anniversary Day falls on Friday or later, the holiday is observed on the next Monday; if earlier, it is observed on the preceding Monday. In some cases the holiday is taken on the local show day or some other day.

Chapter 45. SECTION 45—OFFICIAL

GOVERNOR-GENERAL OF NEW ZEALAND

His Excellency the Right Hon. Viscount Cobham, G.C.M.G., T.D.

Official Secretary—D. E. Fouhy, Esq., C.V.O., C.B.E.

Comptroller—Lieut.-Colonel J. B. Harrison, O.B.E., New Zealand Regular Force.

Aides-de-Camp—Captain B. A. Stewart-Wilson, Scots Guards. Lieutenant N. Durden-Smith, Royal Navy.

(His Excellency assumed office on 5 September 1957.)

PREVIOUS VICE-REGAL REPRESENTATIVES

Details of previous vice-regal representatives up to 1930 were listed in the 1931 issue of the Year-Book (pp. 59-60). Governors-General since 1930 are listed below.

Assumed OfficeRetired
The Right Hon. Charles Bathurst, Viscount Bledisloe, P.C., G.C.M.G., K.B.E., M.A. (Oxon.)19 Mar. 193015 Mar. 1935
The Right Hon. George Vere Arundell, Viscount Galway, G.C.M.G., D.S.O. O.B.E.12 April 19353 Feb. 1941
Marshal of the Royal Air Force The Right Hon. Cyril Louis Norton, Baron Newall, G.C.B., O.M., G.C.M.G., C.B.E., A.M.22 Feb. 194119 April 1946
Lieutenant-General the Right Hon. Bernard Cyril, Baron Freyberg, V.C., G.C.M.G., K.C.B., K.B.E., D.S.O.,17 June 194615 Aug. 1952
Lieutenant-General the Right Hon. Charles Willoughby Moke, Baron Norrie, G.C.M.G., G.C.V.O., C.B., D.S.O., M.C.2 Dec. 195225 July 1957

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. Sir Sidney George Holland, G.C.B., C.H.13 Dec. 194926 Sept. 1957
43. HolyoakeRt. Hon. Keith Jacka Holyoake26 Sept. 195712 Dec. 1957
44. LabourRt. Hon. Walter Nash12 Dec. 1957 

EXECUTIVE COUNCIL, MARCH 1958

His Excellency the GOVERNOR-GENERAL

Rt. Hon. W. Nash, Prime Minister, Minister of External Affairs, Minister of Maori Affairs, Minister in Charge of the Legislative Department, Minister in Charge of the Audit Office, Minister in Charge of the Department of Statistics.

Hon. C. F. SKINNER, M.C., Deputy Prime Minister, Minister of Agriculture, Minister of Lands, Minister in Charge of Rehabilitation.

Hon. A. H. NORDMEYER, Minister of Finance, Minister in Charge of Inland Revenue Department, Minister in Charge of the National Provident Fund, Minister in Charge of the Government Superannuation Fund.

Hon. H. G. R. MASON, Q.C., Attorney-General, Minister of Justice, Minister of Health, Minister in Charge of the Electoral Department.

Hon. F. HACKETT, Minister of Labour, Minister of Mines, Minister of Immigration.

Hon. W. A. FOX, Minister of Marine, Minister of Housing, Minister in Charge of the Valuation Department, Minister in Charge of the State Advances Corporation.

Hon. H. WATT, Minister of Works, Minister in Charge of State Electricity.

Hon. E. T. TIRIKATENE, Minister of Forests, Minister in Charge of the Government Printing and Stationery Department, Associate to Minister of Maori Affairs.

Hon. P. G. CONNOLLY, D.S.C., V.R.D., Minister of Defence, Minister in Charge of Police, Minister in Charge of War Pensions.

Hon. M. MOOHAN, Minister of Railways, Postmaster-General and Minister of Telegraphs.

Hon. P. N. HOLLOWAY, Minister of Industries and Commerce, Minister in Charge of the Department of Scientific and Industrial Research.

Hon. P. O. S. SKOGLUND, Minister of Education, Minister in Charge of the State Fire Insurance Office, Minister in Charge of Earthquake and War Damage Commission.

Hon. Miss M. B. HOWARD, Minister of Social Security, Minister for the Welfare of Women and Children, Minister in Charge of the Child Welfare Department.

Hon. J. MATHISON, Minister of Transport, Minister of Island Territories, Minister in Charge of Civil Aviation, Minister in Charge of Tourist and Health Resorts.

Hon. R. BOORD, Minister of Customs, Minister in Charge of Broadcasting, Minister in Charge of Publicity and Information.

Hon. W. T. ANDERTON, Minister of Internal Affairs, Minister in Charge of the Public Trust Office, Minister in Charge of the Government Life Insurance Office, Minister in Charge of Friendly Societies.

Clerk of the Executive Council—T. J. Sherrard, O.B.E., M.S.M., J.P.

HOLYOAKE MINISTRY

26 September to 12 December 1957

Rt. Hon. K. J. HOLYOAKE, Prime Minister, Minister of Maori Affairs, Minister in Charge of the Legislative Department, and Minister in Charge of the Audit Office.

Hon. J. R. MARSHALL, Deputy Prime Minister, Attorney-General, Minister of Justice, Minister in Charge of the Electoral Department, Minister in Charge of Publicity and Information.

Hon. J. T. WATTS, Minister of Finance, Minister in Charge of the Inland Revenue Department, Minister in Charge of the Department of Statistics.

Rt. Hon. Sir SIDNEY HOLLAND, G.C.B., C.H., Minister without portfolio.

Hon. R. M. ALGIE, Minister of Education, Minister in Charge of Broadcasting, Minister in Charge of the Department of Scientific and Industrial Research.

Hon. W. S. GOOSMAN, Minister of Works, Minister of Transport, Minister in Charge of the State Hydro-electric Department.

Hon. T. L. MACDONALD, Minister of External Affairs, Minister of Island Territories.

Hon. Dame HILDA ROSS, D.B.E., Minister of Social Security, Minister for the Welfare of Women and Children, and Minister in Charge of the Child Welfare Department.

Hon. S. W. SMITH, Minister of Agriculture, Minister of Internal Affairs, Minister in Charge of the Valuation Department.

Hon. D. J. EYRE, Minister of Defence, Minister of Police, Minister in Charge of War Pensions, Minister in Charge of Tourist and Health Resorts, Minister in Charge of the State Fire Insurance Office, Minister in Charge of the Government Life Insurance Office, Minister in Charge of Earthquake and War Damage Commission.

Hon. E. H. HALSTEAD, Minister of Industries and Commerce, Minister of Customs.

Hon. J. R. HANAN, Minister of Health, Minister of Immigration, Minister in Charge of Friendly Societies, Minister in Charge of the Public Trust Office.

Hon. J. K. McALPINE, Minister of Railways, Minister of Labour, Minister of Mines.

Hon. T. P. SHAND, Postmaster-General and Minister of Telegraphs, Minister in Charge of Rehabilitation, Minister in Charge of Civil Aviation.

Hon. R. G. GERARD, Minister of Lands, Minister of Forests, Minister of Marine.

Hon. J. RAE, Minister of Housing, Minister in Charge of the State Advances Corporation, Minister in Charge of the Government Superannuation Fund, Minister in Charge of the National Provident Fund, Minister in Charge of the Government Printing and Stationery Department.

HOUSE OF REPRESENTATIVES

Roll of Members of the House of Representatives, June 1958

Speaker—Hon. R. M. MACFARLANE, C.M.G. Chairman of Committees—R. A. KEELING

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.
Allen, A. E.Franklin.
Allen, P. B.Bay of Plenty.
Anderton, Hon. W. T.*Auckland Central.
Boord, Hon. R.*Rotorua.
Carr, Rev. Clyde*Timaru.
Carter, D. J.Raglan.
Connelly, M. A.*Riccarton.
Connolly, Hon. P. G., D.S.C., V.R.D.*Dunedin Central.
Cooksley, B. V., M.M.Wairarapa.
Cotterill, J. B. F.*Wanganui.
Deas, J. M.*Otahuhu.
Edwards, J. G.*Napier.
Eyre, Hon. D. J.North Shore.
Faulkner, A. J.*Roskill.
Fox, Hon. W. A.*Miramar.
Fraser, W. A.*St. Kilda.
Freer, W. W.*Mount Albert.
George, J. H.Central Otago.
Gerard, R. G.Ashburton.
Gillespie, W. H.Hurunui.
Goosman, Hon. W. S.Piako.
Gotz, F. L. A.Manukau.
Grieve, G. G.Awarua.
Hackett, Hon. F.*Grey Lynn.
Hanan, Hon. J. R.Invercargill.
Harker, C. G. E.Hawke's Bay
Hayman, T. L.Waitaki.
Holloway, Hon. P. N.*Heretaunga.
Holyoake, Right Hon. K. J.Pahiatua.
Howard, Hon. Miss M. B.*Sydenham.
Hudson, W. A.*Mornington.
Jack, R. E.Patea.
Johnstone, H.Waipa.
Keating, E. J.*Hastings.
Keeling, R. A.*Gisborne.
Kent, J. B.*Westland.
King, N. J.*Waitemata.
Kinsella, A. E.Hauraki.
Kirk, N. E.*Lyttelton.
Kitts, F. J.*Wellington Central.
McAlpine, Hon. J. K.Selwyn.
Macdonald, R.*Ponsonby.
Mactarlane, Hon. R. M., C.M.G.*Christchurch Central.
McKay, D. N.Marsden.
McMillan, Mrs E. E.*North Dunedin.
Maher, J. J.Otaki.
Marshall, Hon. J. R.Karori.
Mason, Hon. H. G. R., Q.C.*Waitakere.
Mathison, Hon. J.*Avon.
May, H. L. J.*Onslow.
Moohan, Hon. M.*Petone.
Murray, T. T., M.C., M.M.Stratford.
Nash, Right Hon. W.*Hut.
Nordmeyer, Hon. A. H.*Island Bay.
Pickering, N. G.*St. Albans.
Rae, D. M.Eden.
Ross, Hon. Dame Hilda, D.B.E.Hamilton.
Roy, J. A. McL., M.C.Clutha.
Scott, W. J.Rodney.
Seath, D. C.Waitomo.
Shand, Hon. T. P.Marlborough.
Sheat, W. A.Egmont.
Shelton, N. L.Rangitikei.
Sim, G. F.Waikato.
Skinner, Hon. C. F., M.C.*Buller.
Skoglund, Hon. P. O. S.*Palmerston North.
Smith, Hon. S. W.Hobson.
Talboys, B. E.Wallace.
Tennent, W. B.Manawatu.
Tizard, R. J.*Tamaki.
Walsh, G. A.Tauranga.
Watt, Hon. H.*Onehunga.
Watts, Hon. J. T.Fendalton.
Whitehead, S. A.*Nelson.
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 19552 November 195529 Oct. 1957
  4 April 195626 October 1956
11 June 195725 October 1957
Thirty-second21 January 19585 February 1958..
10 June 1958

JUDICIARY

Judges of the Court of Appeal and Supreme Court—

Chief Justice: Right Hon. Sir Harold Eric Barrowclough, K.C.M.G., C.B., D.S.O., M.C., E.D.

Court of Appeal: Hon. Sir Kenneth Gresson, K.B.E., President; Hon. A. K. North; Hon. T. P. Cleary.

Supreme Court, Puisne Judges: Hon. J. D. Hutchison; Hon. F. B. Adams; Hon. A. K. Turner; Hon. G. I. McGregor; Hon. W. P. Shorland; Hon. T. E. Henry; Hon. T. A. Gresson; Hon. T. P. McCarthy; Hon. A. L. Haslam; Hon. R. Hardie Boys.

Judges of the Court of Arbitration.—Hon. Sir Arthur Tyndall, K.B., C.M.G.; Hon. W. F. Stilwell.

Judges of Compensation Court.—Hon. D. J. Dalglish; Hon. K. G. Archer.

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 1957; (b) in January 1958.]

Civil Division

Knight Grand Cross of the Most Honourable Order of the Bath (G.C.B.)—

The Rt. Hon. Sidney George Holland, C.H. (in September 1957).

Knight Commander of the Most Distinguished Order of Saint Michael and Saint George (K.C.M.G.)—

The Hon. William Sullivan (a).

Knight Commander of the Most Excellent Order of the British Empire (K.B.E.)—

The Hon. Kenneth Macfarlane Gresson (b).

Knight Bachelor (K.B.)—

William Edward Hale, C.B.E. (b); Dr Ernest Marsden, C.M.G., C.B.E., M.C. (b).

Companion of the Most Distinguished Order of Saint Michael and Saint George (C.M.G.)—

The Most Reverend A. W. Averill (a); Dr D. D. McKenzie (b); G. G. G. Watson (a).

Commander of the Most Excellent Order of the British Empire (C.B.E.)—

Professor P. W. Burbidge (a); A. H. Cockayne, I.S.O. (a); W. G. V. Fernie (a); J. P. D. Johnsen (b); Hon. J. T. Paul (b); E. D. Wilkinson (b).

Officer of the Most Excellent Order of the British Empire (O.B.E.)—

K. T. Anaru (a); Dr A. T. M. Blair (a); Mrs D. A. G. Bray (b); R. S. Chadwick (b); Dr J. R. H. Fulton (a); W. J. Gaudin (b); W. P. Glue (b); Professor T. V. Griffiths (a); F. G. Hall-Jones (a); L. D. Hickford (a); Mrs L. Hunt (b); H. C. McCoy (a); Captain D. N. McLeish (b); Dr J. Mark (a); W. G. Rodger (a); R. M. Strang (b); H. D. Tait (b); T. H. T. Tamaka (b); Captain D. M. Todd (a); A. G. Wilson (b); C. R. Wilson, D.C.M. (a); Dr P. R. Woodhouse, D.S.O., M.C., V.D. (b); Miss C. M. J. Wylie (a).

Companion of the Imperial Service Order (I.S.O.)—

W. E. Hodges (a); F. G. Oborn (a).

Member of the Most Excellent Order of the British Empire (M.B.E.)—

Mrs I. A. Aldridge (b); Miss V. P. L. Anquetil (a); F. R. Ball (a); R. M. Barker (a); W. R. Brinsley, Snr. (a); A. C. Buist (b); A. M. Burrows (a); B. J. Cooke (a); Mrs E. M. Cordner (a); W. H. Down (b); Mrs C. D. Elliott (a); Mrs J. C. Evans (b); W. R. Fee (b); N. B. Fippard (b); Miss P. J. Fletcher (a); A. E. Greig (b); H. V. Haywood (a); Mrs L. Hughes (a); W. L. Hughes (a); S. Lawn (b); J. McCarthy (a); R. McCaw (b); Mrs A. K. McLean (a); J. C. D. Mackley (a); Mrs A. E. Morrison (a); Mrs O. T. Moss (a); F. Parsons (b); Mrs A. Rose (b); W. J. Schollum (b); N. L. Shaw (a); R. W. Sparrow (b); G. Stratton (a); Miss R. Trafford (a); Mrs R. Wright (b); Mrs L. A. M. Wyatt (a).

British Empire Medal (B.E.M.)—

Sergeant N. Kempt (b); Constable D. C. Muir (a); Constable R. M. Peggie (a); Instructor A. H. V. Waters (a).

The Queen's Fire Service Medal—

Chief Fire Officer L. B. Davies (b); Chief Fire Officer J. W. Grant (b).

Military Division

Companion of the Most Honourable Order of the Bath (C.B.)—

Air Vice-Marshal C. E. Kay, C.B.E., D.F.C. (b).

Commander of the Most Excellent Order of the British Empire (C.B.E.)—

Commodore G. R. Davis-Goff, D.S.C. (b); Brigadier L. W. Thornton, O.B.E. (a).

Officer of the Most Excellent Order of the British Empire (O.B.E.)—

Lieut-Colonel C. C. Johansen E.D. (b); Commander R. L. Laurenson, V.R.D. (b); Squadron Leader E. D. McCabe (b); Lieut.-Colonel T. B. Morten, D.S.O., E.D. (a); Actg. Commander E. P. Reade, D.S.C. (a): Captain L. S. Stanners (b); Wing Commander J. W. Todd, M.B.E. (a).

Member of the Most Excellent Order of the British Empire (M.B.E.)—

Flight Lieutenant A. J. C. Clark (a); Warrant Officer (Class I) I. F. Forsyth (b); Major D. G. W. Green (a); Captain E. P. Hogan (a); Warrant Officer (Class I) L. A. Ims (b); Major A. E. M. Lawrence (a); Major W. D. Leuchars (b); Squadron Leader C. C. C. Manson (a); Second Officer M. V. Morten (b); Squadron Leader F. L. Pearson (b); Lieut.-Commander J. F. Y. Schischka, V.R.D. (a); Squadron Leader J. B. Spencer (b); Major J. F. Spring (b); Warrant Officer (Class II) O. A. Wahrlich (a).

Air Force Cross (A.F.C.)—

Flight Lieutenant J. H. Bayliss (b); Flight Lieutenant R. C. MacFarlane (a); Squadron Leader R. A. Manners, M.B.E. (a).

Associate of the Royal Red Cross (A.R.R.C.)—

Matron E. J. Lepper (b).

British Empire Medal (B.E.M.)—

Chief Petty Officer Wren B. R. Bilton (a); Sergeant E. J. Brown (a); Sergeant P. P. C. Cooper (a); Engine Room Artificer (Class I) B. B. French (b); Staff Sergeant W. L. Hall (b); Chief Electrician J. C. Harris (a); Bombardier J. P. Horn (b); Chief Ordnance Artificer T. G. Lloyd (b); Sergeant D. J. C. Malcolm (b); Flight Sergeant L. Meeking (b); Sick Berth Chief Petty Officer J. S. Mitchell (b); Engine Room Artificer (Class I) E. A. Newman (a); Sick Berth Chief Petty Officer W. R. Robb (a); Flight Sergeant J. W. Sharp (a); Stores Chief Petty Officer W. G. B. Suckling (b); Master at Arms J. V. Thomson (b); Corporal H. C. Wright (a).

Commendation for Valuable Services in the Air—

Flight Lieutenant T. J. Danaher (b); Squadron Leader K. A. Sawyer, D.F.C. (b); Flight Lieutenant J. E. Wood, D.F.C. (a).

In May 1958 Her Majesty the Queen approved the award of the Polar Medal to the following New Zealand citizens in recognition of their services as members of the Commonwealth Trans-Antarctic Expedition.

Sir Edmund Hillary, K.B.E.; H. H. Ayres; Dr R. W. Balham; J. G. Bates; E. S. Bucknell; R. A. Carlyon; Squadron Leader J. R. Claydon; Flying Officer W. J. Cranfield; M. H. Douglas; M. R. Ellis; J. E. Gawn; B. M. Gunn; Flight Lieutenant G. Haslop; W. G. Lowe, O.B.E.; J. H. Miller; Chief Radio Electrician P. D. Mulgrew; Sergeant L. W. Tarr; G. Warren.

GOVERNMENT DEPARTMENTS

LIST OF DEPARTMENTS OF THE NEW ZEALAND GOVERNMENT, WITH TITLES AND NAMES OF PERMANENT HEADS, JULY 1958
DepartmentPermanent Head
TitleName
AgricultureDirector-GeneralR. B. Tennent, Dip. Nat. Dairy.
AirChief of Air Staff and First Air Force Member of the Air BoardAir Vice-Marshal M. F. Calder, C.B., C.B.E., D.F.C.
 Air SecretaryB. R. Rae, M.B.E., B.Com.
    Civil AviationDirectorAir Vice-Marshal Sir A. De. T. Nevill, K.B.E., C.B., M.Sc., F.R.Ae.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 C. E. Weir, C.B., C.B.E., D.S.O., and Bar.
 Army SecretaryF. B. Dwyer, I.S.O., A.R.A.N.Z.
AuditController and Auditor-GeneralC. R. J. Atkin, A.R.A.N.Z.
BroadcastingDirectorW. Yates, C.B.E., A.R.A.N.Z.
Crown LawSolicitor-GeneralH. R. C. Wild, Q.C., LL.M.
CustomsComptrollerE. S. Gale.
EducationDirectorC. E. Beeby, C.M.G., M.A., Ph.D.
External AffairsSecretaryA. D. M. McIntosh, C.M.G., 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 CommerceSecretary(Vacant).
Inland RevenueCommissionerF. R. Macken, LL.M.
 Chief Deputy CommissionerJ. F. Boyd, Accts. Prof.
 Deputy Commissioner (Taxes Division)J. E. Curran, A.R.A.N.Z
 Deputy Commissioner (Duties Division)D. S. Evans, Law Prof.
Internal AffairsSecretary and Clerk of WritsA. G. Harper, C.V.O., C.B.E.
    Dominion MuseumDirectorR. A. Falla, D.Sc., M.A.
    National Art GalleryDirectorS. B. Maclennan, A.R.C.A.
    RehabilitationDeputy DirectorJ. C. Dow.
Island TerritoriesSecretaryJ. M. McEwen, LL.B.
JusticeSecretary for JusticeS. T. Barnett, Law Prof.
    Patent OfficeCommissionerA. D. McGregor, LL.B.
LabourSecretary of LabourH. L. Bockett, A.R.A.N.Z.
Lands and SurveyDirector-GeneralD. N. R. Webb.
Law DraftingLaw DraftsmanD. A. S. Ward, B.A., LL.B.
LegislativeClerk of House of RepresentativesH. N. Dollimore, LL.B.
Maori AffairsSecretary, and Maori TrusteeM. Sullivan, Accts. Prof.
MarineSecretaryG. L. O'Halloran, LL.B.
MinesUnder-SecretaryC. H. Benney, Accts. Prof.
NavyChief of the Naval Staff and First Naval Member of the Naval BoardJ. M. Villiers, O.B.E., R.N.
 Navy SecretaryD. A. Wraight.
New Zealand Forest ServiceDirectorA. R. Entrican, C.B.E., A.A.S.E., A.M.I.C.E.
PoliceController-GeneralW. S. Brown, M.V.O.
 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, C.M.G., M.A.
 Chief Private Secretary(Vacant).
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.
Public TrustPublic TrusteeG. E. Turney, Accts. Prof.
RailwaysGeneral ManagerA.T. Gandell, M.I.C.E., M.N.Z.I.E.
Scientific and Industrial ResearchSecretaryW. M. Hamilton, D.Sc., M. Agric. Sc., N.D.H.(N.Z.).
Social SecurityDirector, Chairman, 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 DirectorK.J. Caverhill, A.R.A.N.Z.
 General ManagerJ. D. R. Wood.
State Fire and Accident InsuranceGeneral ManagerH. C. R. Blackwood.
State Hydro-electricGeneral ManagerA. E. Davenport, B.E. (Elect.), M.I.E.E.
StatisticsGovernment StatisticianJ. V. T. Baker, M.A., M.Com., F.R.A.N.Z., D.P.A.
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., A.R.A.N.Z.
    Government Actuary's BranchGovernment ActuaryS. Beckingsale, F.I.A.
    SuperannuationControllerM. Aldred, Accts. Prof.
    National Provident Fund ValuationSuperintendent
ValuationValuer-GeneralR. J. MacLachlan, B.A., B.Com., Dip. U.V. (Auck.).
Works, Ministry ofCommissioner of WorksF. H. M. Hanson, D.S.O., and Bar, O.B.E., M.M., E.D., M.S.I.N.Z., M.N.Z.I.E.
 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.

Thirty-eight State Departments are under the control of the Public Service Commission, and employed approximately 36,000 permanent officers and 2,300 temporary staff (excluding casuals) at 1 April 1958. Two other 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.

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.

Efficiency and Economy.—The Commission is responsible for efficiency and economy in the Public Service. Its Inspectors carry out general inspections of Departments; and it has an Organization and Methods (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.

Office Accommodation.—The Commission is represented on the Government Office Accommodation Board. The Board's Secretariat are members of, and attached to, the Commission's staff.

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 £2,740, members £2,240.

  2. Administrative Division.—Various rates, according to position held; fixed by annual appropriation.

  3. Other Divisions.—As prescribed by Public Service Salary Order 1957 (Serial Number 1957/55). Salaries payable in the Professional and Clerical Divisions from 19 November 1956 were (teachers' salaries are shown in the Education Section; various rates are payable in the General Division):

    ClassSalary Incremental Range
    VI£280, £325, £375, £425, £480, £535, £580, £625, £665, £720, £765.
    V£665, £720, £765, £810, £850.
    IV£895, £935.
    III£970, £1,000.
    II£1,040, £1,080.
    I£1,150, £1,225.
    Sp.£1,290, £1,340, £1,390, £1,465, £1,540, £1,640, £1,740, £1,840, £1,940, £2,040, £2,140, £2,240.

The commencing salary for those with three years' secondary education is £325; with School Certificate, £375; with Endorsed School Certificate, £375, with increment to next step after six months' service; with University Entrance £425; and for those with University Entrance and Higher School Certificate, £425, with increment to next step after six months' service. The initial maximum for a female clerk is £625.

NEW ZEALAND REPRESENTATIVES OVERSEAS

June 1958

Argentina.—Hon. Representative of Department of Industries and Commerce, T. E. B. Poole, Alsina, 1146, Buenos Aires.

Australia.—High Commissioner, the Hon. F. Jones; First Secretary, J. H. Weir; Third Secretary, P. C. Cotton, Canberra, A.C.T.; Head, New Zealand Joint Services Liaison Staff, Group Captain W. H. Stratton, D.F.C., R.N.Z.A.F., Victoria Barracks, Melbourne, S.C. 1; Senior Trade Commissioner in Australia and Commercial Adviser, R. V. Jackson; Trade Commissioner and Assistant Commercial Adviser, E. J. Sutch; Travel Manager (Tourist and Publicity), R. W. Coupland; Assistant Trade Commissioner, K. J. Futter; Trade Commissioner (Timber), T. A. Foley, 14 Martin Place (P.O. Box 365F), Sydney; Trade Commissioner and Commercial Adviser, R. J. Inglis; Assistant Trade Commissioner and Assistant Commercial Adviser, A. K. Robinson; Travel Manager (Tourist and Publicity), A. N. Reid, 428 Collins Street (P.O. Box 2136), Melbourne.

Burma.—Hon. New Zealand Government Agents, New Zealand Insurance Co., Rangoon.

Canada.—High Commissioner, Foss Shanahan; First Secretary, R. Q. Quentin-Baxter; Third Secretaries, G. K. Ansell and A. A. Burnett; Military, Naval, and Air Adviser, Air Commodore T. F. Gill, D.S.O., R.N.Z.A.F.; Assistant Military, Naval, and Air Adviser, Lieutenant-Colonel J. A. Pountney, M.B.E., Suite 804, Commonwealth Building, 77 Metcalfe Street (P.O. Box 1222, Sparke Street), Ottawa; Trade Commissioner, N. S. Mountain; Assistant Trade Commissioner, J. D. Kerr, 609 Sun Life Building, Montreal.

Ceylon.—Trade Commissioner, J. B. McGuire (resident in Bombay).

Federation of Malaya and Singapore.—Acting Commissioner for New Zealand in South-East Asia, B. S. Lendrum; First Secretary; J. Shepherd; Third Secretary, R. M. Mullins; Third Secretary, H. L. Hobson; Third Secretary (Administration), C. A. Mark; Military Liaison Officer, Lieutenant-Colonel H. A. Purcell, D.S.O.; Trade Commissioner, R. G. Hampton; Assistant Trade Commissioner, H. W. Shepherd, 4th Floor, Asia Insurance Building, Finlayson Green, Singapore.

Fiji.—Hon. New Zealand Government Agents, W. R. Carpenter and Co. (Fiji) Ltd., Suva.

France.—Ambassador, J. V. Wilson; First Secretary, O. P. Gabites; Second Secretary, M. Norrish, 9 Rue Leonard de Vinci, Paris.

Hawaii.—Hon. New Zealand Government Agent, H. C. Tennent (P.O. Box 3556), Honolulu.

India.—Trade Commissioner, J. B. McGuire; Assistant Trade Commissioner, C. C. Petersen, Mercantile Bank Buildings, Mahatma Gandhi Road (P.O. Box 1194), Bombay. Hon. New Zealand Government Agents, New Zealand Insurance Co., Calcutta.

Japan.—Ambassador, J. S. Reid; First Secretary, R. R. Cunninghame; Trade Commissioner and Commercial Secretary, J. S. Scott; Assistant Commercial Secretary, C. A. H. Paul, 26 Sanbancho Kojimachi Chiyodaku, Tokyo.

Netherlands.—Consul, T. A. N. Johnson, 53 Anna Paulownastraat, The Hague.

South-East Asia Treaty Organization.—Acting Council Representative, R. L. G. Challis, Bangkok.

Thailand.—Chargè d' Affaires, a.i., R. L. G. Challis; First Secretary, B. S. Lendrum; Third Secretary, W. B. Harland, New Zealand Embassy, Phyathai Road, Bangkok.

United Kingdom of Great Britain and Northern Ireland.—Acting High Commissioner, R. M. Campbell, C.M.G.; Counsellor, F. H. Corner; Counsellor, J. V. Scott; Counsellor (Economic), L. V. Castle; Third Secretary, H. H. Francis; Senior R.N.Z.A.F. Officer, Air Commodore R. J. Cohen, C.B.E., A.F.C., R.N.Z.A.F.; Senior Army Liaison Officer, Brigadier A. H. Andrews, O.B.E.; Senior R.N.Z.N. Liaison Officer, Captain J. O'C. Ross, R.N.Z.N.; Financial Secretary, S. C. Parker; Senior Trade Commissioner and Commercial Counsellor, G. R. J. Hope; Trade Commissioner and Commercial Secretary, C. H. Fowler; Assistant Trade Commissioner and Commercial Secretary, D. P. Taylor; Public Relations Officer, A. T. Campbell; Scientific Adviser, B. W. Collins; Agricultural Adviser, C. V. Dayus; Inspector of Dairy Products, J. J. Walker; Chief Migration Officer, J. V. Brennan; Customs Adviser, J. R. Osbaldiston; Travel Manager (Tourist and Publicity), J. E. Hartstonge; Communications Adviser, H. W. Curtis; Representative of the Public Trust Office, G. J. Duncan; Advisory Engineer, New Zealand Railways, R. F. Marriott.

United Nations.—Permanent Representative, Sir Leslie Munro, K.C.M.G., K.C.V.O.; Counsellor Trusteeship Affairs, T. P. Davin; First Secretary, R. M. Miller; Second Secretary, W. G. Thorp; Third Secretary, R. B. Atkins; Attachè, R. J. Lawrence; the Permanent Mission of New Zealand to the United Nations, Suite 530, International Building, Rockefeller Centre, New York.

United States of America.—Ambassador, Sir Leslie Munro, K.C.M.G., K.C.V.O.; Counsellor, G. D. L. White; First Secretary, N. V. Lough; Second Secretary, H. P. Jeffery; Third Secretary, E. Farnon; Third Secretary, D. G. Harper; New Zealand Embassy, 19 Observatory Circle, Washington. Armed Forces Attachè, Air Commodore T. F. Gill, D.S.O., R.N.Z.A.F.; Assistant Armed Forces Attachè, Lieutenant-Colonel J. A. Pountney, M.B.E., Munitions Building, 20th and Constitution Avenues, Washington. Trade Commissioner and Commercial Counsellor, D. W. Woodward; Assistant Trade Commissioner and Commercial Attachè, G. L. Easterbrook-Smith, Suite 306, Associations Building, 1145 19th Street, Washington, N.W. Consul-General, T. P. Davin; Consul, R. J. Lawrence; Consul (Commercial) and Trade Commissioner, G. Laurence; Travel Commissioner, J. P. Campbell, Suite 530, International Building, Rockefeller Centre, New York. Consul-General and New Zealand Travel Commissioner for the United States and Canada, R. M. Firth; Vice-Consul, G. N. Parkinson, New Zealand Consulate-General, 153 Kearney Street, San Francisco.

OVERSEAS REPRESENTATIVES IN NEW ZEALAND

June 1958

Argentina.—Consul-General, Romula M. Zabala, Government Life Insurance Building, Customhouse Quay, Wellington.

Australia.—High Commissioner, His Excellency Vice-Admiral Sir John Collins, K.B.E., C.B.; Counsellor, C. Lee; Defence Representative, Captain R. Rhodes, R.A.N.; Second Secretary, J. H. Hoyle, Government Life Insurance Building, Customhouse Quay, Wellington; Senior Trade Commissioner, H. C. Menzies; Assistant Trade Commissioner, G. F. Johnson, Government Life Insurance Building, Customhouse Quay, Wellington. Trade Commissioner, B. G. Dawson, 27 Queen Street, Auckland. Trade Commissioner, H. Sullivan, Phoenix Assurance Building, 89 Worcester Street, Christchurch.

Austria.—Chargè d'Affaires (with jurisdiction in New Zealand), Dr Johann Manz, Canberra; Hon. Consul, S. Clarke, Wellington.

Belgium.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr Armand Nihotte; Secretary of Legation, 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; Hon. Vice-Consul, P. J. Treadwell, Wellington.

Canada.—High Commissioner, His Excellency Mr G. R. Heasman, O.B.E.; Secretary, John Mac-Naught, Government Life Insurance Building, Customhouse Quay, Wellington.

Ceylon.—High Commissioner (with jurisdiction in New Zealand), His Excellency Mr B. F. Perera, C.M.G., O.B.E.; Second Secretary, H. O. Wijegoonawardena, Canberra; Second Secretary (Commercial) and Trade Commissioner, K. Manikkalingam, Sydney; Hon. Trade Commissioner, D. H. Scott, Wellington.

Chile.—Consul (with jurisdiction in New Zealand), J. R. Dundas Smith, Sydney; Hon. Consul, H. O. Taylor, Auckland.

China.—Consul-General, Tien Fang Cheng; Consul, Tai Hsin-Chuan, D.I.C. Buildings, 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; Vice-Consul and Acting Consul-General, V. Janak, 38 Roxburgh Street, Wellington.

Denmark.—Chargè d'Affaires, a.i., Thorkild Wegener-Clausen, Government Life Insurance Building, Customhouse Quay, Wellington. Hon. Consuls: L. J. Stevens, Auckland; A. C. Perry, Christchurch. Hon. Vice-Consul, G. C. Petersen, Palmerston North.

Dominican Republic.—Hon. Consul, F. Russell Baker, Auckland.

Fiji.—New Zealand Agents for the Colony of Fiji, L. D. Nathan and Co. Ltd., Auckland.

Finland.—Chargè d'Affairs (with jurisdiction in New Zealand), P. I. Simelius, Sydney. Hon. Vice-Consul, J. T. Christiansen, Auckland.

France.—Ambassador Extraordinary and Plenipotentiary, His Excellency Mr Roger de Bercegol de Lile; Counsellor, C. L. Beguin-Billecocq; Commercial Counsellor, E. L. Lestocquoy; Assistant Commercial Attachè, M. Baillard; Attachè, G. L. Bidaud, Government Life Insurance Building, Customhouse Quay, Wellington. Army, Naval, and Air Attachè, Capitaine de Fregate, M. de Brossard (Resident in Noumea). Hon. Consular Agents: R. G. McElroy, Auckland; F. Farrell, Christchurch; A. N. Haggitt, Dunedin; E. F. Paul, Apia, Western Samoa.

German Federal Republic.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Dr H. Nöhring; Second Secretary, R. Achenbach, 3 Claremont Grove, Wellington.

Greece.—Envoy Extraordinary and Minister Plenipotentiary (with jurisdiction in New Zealand), His Excellency Mr George Christodulo; First Secretary, E. Verghis, Canberra. Hon. Consul-General, T. E. Y. Seddon, Wellington; Hon. Deputy Consul-General, S. Garland, Wellington.

India.—High Commissioner (with jurisdiction in New Zealand), His Excellency Mr P. Achutha Menon, Canberra; Press Attachè, K. C. Sen Gupta, Sydney; First Secretary (Commercial) and Acting High Commissioner, S. K. Chowdhry, 49 Willis Street, Wellington.

Indonesia.—Envoy Extraordinary and Minister Plenipotentiary, Dr A. Y. Helmi, Canberra.

Israel.—Envoy Extraordinary and Minister Plenipotentiary (with jurisdiction in New Zealand), 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, 24 Grant Road, Wellington. Hon. Consular Agents, Renato Forti, Auckland; P. P. Amodeo, Christchurch.

Japan.—Ambassador Extraordinary and Plenipotentiary, His Excellency Mr Hisanaga Shimadzu; Second Secretary and Chargè d' Affaires, a.i., Keiichi Tachiband; Second Secretary, Zensai Imamura, Eva Street, Wellington.

Lebanon.—Consul-General (with jurisdiction in New Zealand), J. Shadid, Sydney.

Malaya.—His Excellency Mr Gunn Lay Teik, O.B.E.; Second Secretary, Tengku Ngah Mohamed.

Nepal.—In New Zealand, the High Commissioner of India acts on behalf of the Government of Nepal.

Netherlands.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr B. A. Piets; First Secretary, J. Kneppelhout; Attachè of Legation, J. F. E. Breman, D.I.C. Building, Lambton Quay, Wellington; Emigration Attachè, C. A. Korndörffer, D.I.C. Building, Lambton Quay, Wellington. Hon. Consul, C. S. O. Hughes; Migration Officer, H. W. F. M. Knottenbelt, Auckland; Assistant Emigration Attachè, E. J. F. Westerhuis, Christchurch. Hon. Vice-Consuls: G. N. Francis, Christchurch; J. M. Ritchie, Dunedin.

Nicaragua.—Consul-General (with jurisdiction in New Zealand), C. Paray, Sydney.

Norway.—Consul-General (with jurisdiction in New Zealand), Sigurd S. Klingenberg, Sydney. Hon. Consul, Dr A. B. Andersen, Wellington. Hon. Vice-Consuls: D. Millar, Auckland; J. Heaton Rhodes, Christchurch; W. F. Edmond, Dunedin.

Pakistan.—High Commissioner (with jurisdiction in New Zealand), His Excellency Lieutenant-General Mohammed Yusuf; Counsellor, S. A. A. K. Durrani; Second Secretary, Z. A. Farooqi; Commercial Secretary, F. H. Chowdhury; Press Attachè, Farced S. Jafri, Sydney.

Panama.—Hon. Consul, P. C. Griffiths, Auckland.

The Philippines.—Envoy Extraordinary and Minister Plenipotentiary (with jurisdiction in New Zealand), His Excellency Dr Jose F. Imperial; Second Secretary and Consul, Dr G. P. Provido; Military Attachè, Lieutenant-Colonel Ernesto del Castillo; Assistant Attachè, A. Prats, jun., Sydney; Hon. Consul, E. O. Faber, Auckland.

Portugal.—Hon. Consuls: L. D. Nathan, Auckland; W. S. Wheeler, Wellington. Hon. Vice-Consul, I. D. Reid, Wellington.

Sweden.—Envoy Extraordinary and Minister Plenipotentiary, His Excellency Mr F. H. Arnfast, 105 Customhouse Quay, Wellington; Hon. Acting Consul, C. E. Taylor, Wellington. Hon. Vice-Consuls: C. M. Richwhite, Auckland; I. Machin, Christchurch; R. S. Glendining, Dunedin; G. M. Corbet, Invercargill.

Switzerland—Consel-General, P. H. Aubaret; Vice-Consul, W. A. Sollberger, D.I.C. Building, Wellington.

Thailand.—Ambassador Extraordinary and Plenipotentiary (with jurisdiction in New Zealand), His Excellency Mr Konthi Suphamongkhon, Canberra; Military Attachè, Colonel Prapat Kuvanonda; Attachè, Subhadra Gajajiva, Melbourne.

Tonga.—New Zealand Agents for the Government of Tonga, Messrs Spedding Ltd., Auckland.

Turkey.—Hon. Consul, E. G. Cowell, Auckland.

Union of South Africa.—Hon. Trade Commissioner, M. G. C. McCaul, Wellington.

Union of Soviet Socialist Republics.—Chargè d'Affaires, a.i., G. M. Rodionov; Second Secretary, A. I. Ivantsov; Commercial Counsellor, E. I. Gergel; Third Secretaries, E. P. Lutskij, V. N. Dubinin, and S. N. Smirnov, 57 Messines Road, Wellington.

United Kingdom of Great Britain and Northern Ireland.—High Commissioner, His Excellency Sir George Mallaby, K.C.M.G., O.B.E.; Deputy High Commissioner, D. M. Geary; First Secretary, R. C. Ormerod; First Secretary, R. T. Reed; Second Secretary, S. F. St. C. Duncan; Information Officer, J. L. Hayden, O.B.E.; Trade Commissioner, M. E. Browne; Assistant Trade Commissioners, J. H. Barwick, H. A. Williams; First Secretary (Agriculture and Food) E. G. Griffiths, Government Life insurance Building, Customhouse Quay, Wellington. Service Liaison Staff: Navy, Captain H. R. Hewlett, R.N.; Army, Colonel J. M. Clift; Air, Group Captain R. G. Dutton, D.S.O., D.F.C., R.A.F.; Joint Secretary, Major J. M. T. Greene, Government Life Insurance Building, Customhouse Wellington. Trade Commissioner, A. P. Timms; Assistant Trade Commissioner, T. A. per, Customs St. East, Auckland.

United States of America.—Ambassador extraordinary and Plenipotentiary, His Excellency Mr Francis H. Russell; Chargè d'Affaires, a.i., Samuel D. Berger; Army Attachè, Colonel John V. Lanterman; Air Attachè, Colonel John J. Hussey (resident in Melbourne); Assistant Air Attachès, Lieutenant-Colonel Collas G. Harris, Major Leonard F. Donnelly (resident in Melbourne); Naval Attachè and Naval Attachè for Air, Captain Marbury White, jun. (resident in Melbourne); Assistant Naval Attachè and Assistant Naval Attachè for Air, Lieutenant John C. Marsh (resident in Melbourne); First Secretary (Economic and Commercial), William Kling; First Secretary, Leon Crutcher; Attachè and Consul (Administrative Officer), Thomas T. Turner; Public Affairs Officer, James T. Pettus; Agricultural Attachè, Eugene T. Ransom; Second Secretary (Economic and Commercial), Laurence G. Pickering; Second Secretary and Vice-Consul, Mrs Edith A. Stensby, Government Life Insurance Building, Customhouse Quay, Wellington. Consul, George M. Fennemore; Vice-Consul, John E. Crump, Auckland. Consular Agent, William G. Quirk, Christchurch.

Yugoslavia.—Consul-General, N. Krajinovic, 35 Arawa Road, Hataitai, 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 3, 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.
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
19241,370,4031,347,5831,352,6181,334,02936,25430,487
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
19441,676,2861,643,9001,655,7951,637,5703,7473,640
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
19552,164,7342,130,9272,138,9462,105,76761,61054,580
19562,209,1322,175,3732,182,8332,150,29066,47258,380
19572,262,8752,221,1692,232,6192,194,10876,05564,563
VITAL STATISTICS (EXCLUDING MAORIS)
YearNumbersRates Per 1,000 of Mean PopulationDeaths Under 1 Year Per 1,000 Live Births
Live BirthsMarriages*DeathsDeaths Under 1 YearLive BirthsMarriages*Deaths
* From 1942 figures relate to total marriages (i.e. European and Maori).
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
192128,56710,63510,6821,36623.368.698.7347.82
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
194744,81619,04715,9041,12220.4710.599.3925.04
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
195549,86917,79517,9531,00224.868.328.9520.09
195650,43017,53118,40397824.678.039.0019.39
195751,85217,61419,4111,03624.827.899.2919.79
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).
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
1914178,96922,2475,0726,4181,8961,8398502,257
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
1949242,03824,96013,28822,6177,32012,5049,18211,000
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
1954314,94444,24014,08635,6168,36418,26812,56810,304
1955321,53745,96313,98840,8248,87618,29212,90310,331
1956335,64548,43413,99643,1118,61819,06914,53410,493
1957348,94049,64413,28447,1418,82317,49615,73811,039
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.

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
195480,21038.293260.161480.071,1960.57
195577,80636.383770.181470.071,1180.52
195687,39440.406010.282040.091,3620.62
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
1906–07206,1855,605,25227.18351,92911,201,78931.83
1907–08193,0315,567,13928.84386,88515,021,86138.82
1908–09252,3918,772,79034.75406,90818,906,78846.46
1909–10311,0008,661,10028.00377,00013,804,00037.00
1910–11322,1678,290,22125.73302,82710,118,91733.41
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
1914–15229,6006,644,33628.94287,56111,436,301*39.77
1915–16329,7087,120,77121.60213,5867,673,60135.93
1916–17217,7435,051,22723.19177,5245,371,43630.26
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
1925–26151,6734,617,04130.44102,4854,115,60640.14
1926–27220,0837,952,44236.13117,3264,997,53542.58
1927–28260,9879,541,44436.5688,2233,852,68743.66
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
1941–42258,0028,671,24433.6170,7963,444,81248.66
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
1954–55103,9894,113,44439.5631,1641,602,05851.41
1955–5668,4792,658,42838.8242,1681,947,40446.18
1956–5765,7432,950,27344.8856,4962,888,31051.12
LIVESTOCK
YearHorsesTotal CattleDairy CowsSheepPigs

* Not available.

† Figures from 1917 onwards include dairy cows in milk only.

NOTE.—With the exception of sheep, figures from 1931 onwards exclude stock within boroughs.

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*
1911404,2842,020,171633,73323,996,126348,754
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
1918378,0502,869,465710,56126,538,302258,694
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
1928307,1603,273,7691,242,72927,133,810586,898
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
1933263,8834,155,0581,703,32827,755,966583,921
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
1938265,1534,469,1171,743,19032,378,774748,805
1939261,7894,527,9831,723,89331,897,091675,802
1940258,5874,496,0671,719,28931,062,875706,340
1941253,0524,538,9081,759,01831,751,660761,519
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
1955147,0635,886,7771,994,76139,117,300681,359
1956***40,255,488*
1957129,3095,808,635 11,997,81942,382,008602,469
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.

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.

 ££ s. d.££ s. d.££
190720,061,64120 15 016,539,70717 2 27,316763,154
190816,075,20516 3 1017,247,16217 7 5242,289224,122
190919,636,15119 5 214,817,46214 10 825,845857,257
191022,152,47321 5 1016,748,22316 1 1127,736303,360
191118,980,18517 16 1018,782,60817 13 148,305763,271
191221,511,62619 15 120,576,57918 17 11258,955399,995
191322,810,36320 7 1121,653,63219 7 2176,359634,670
191426,253,92523 0 621,144,22718 10 117,522711,869
191531,430,82227 7 020,658,72017 19 6318,0901,070,114
191633,281,05728 19 225,045,40321 15 105,8801,293,880
191731,517,07227 8 820,742,13018 1 170,475177,135
191828,480,57824 14 124,131,79220 18 835,610102,215
191953,907,92545 4 030,309,16725 8 362,150362,531
192046,405,36637 7 061,553,85349 10 1136,58041,975
192144,828,46035 2 342,744,12233 9 8367198,321
192242,725,94932 14 934,826,07426 13 8300186,487
192345,939,79334 11 943,363,98332 13 027,37214,510
192452,509,22338 16 548,527,60335 17 6103,488 
192555,243,04739 18 152,425,75737 17 419,22530,650
192645,268,92432 0 649,811,76335 4 86,65177,800
192748,496,35433 14 044,782,66631 2 5 280
192855,570,38138 3 344,844,10230 16 0618,10042,164
192954,930,06337 5 748,734,47233 1 6649,00063,505
193044,940,51730 2 044,339,65429 14 0175363,087
193134,950,69823 1 826,498,15117 10 0202,33056,155
193235,609,91923 6 524,646,00616 2 101,355,86155,310
193341,005,91926 12 825,581,36616 12 4296,032424,704
193447,342,84730 10 331,339,55220 4 02,283,9001,242,000
193546,538,38129 15 936,317,26723 4 11521,000381,821
193656,751,94036 0 744,258,88628 1 1145,24536,601
193766,713,37941 19 256,160,69535 6 53,500318,510
193858,376,28336 6 855,422,18934 9 1031,80531,274
193958,049,31635 12 1149,387,18330 6 62,79525,364
194073,741,13345 0 948,937,66929 18 6 36,646
194167,479,41341 7 649,7,01030 2 1110,015205,409
194281,284,63749 11 653,856,01232 16 1125,375147,010
194371,862,59843 18 995,242,33058 4 71,240461,800
194477,786,94646 19 786,397,21252 3 7400159,640
194581,631,27648 3 555,088,18032 10 24,400208,148
1946101,302,26657 11 671,571,33340 13 64,532418,970
1947129,419,64771 19 5128,640,82671 10 910,375184,990
1948147,821,02580 11 5128,534,25270 1 255,169624,755
1949147,280,95178 13 9120,033,47264 2 7570,2201,040,725
1950183,752,29196 5 0157,942,87682 14 8514,455169,823
1951248,127,172127 8 1206,533,515106 1 0280,150250,108
1952240,560,704120 10 3229,447,309114 18 1126,94384,567
1953235,860,047115 2 5163,613,30079 17 27,929107,106
1954244,466,206116 13 11213,155,037101 15 07,57321,360
1955259,288,724121 4 5250,660,996117 3 913,25543,726
1956277,812,896127 5 5234,778,732107 11 22,46312,027
1957?276,079,183123 13 2262,598,517117 12 514,52648,931
TRADE
YearExports of New Zealand Produce
WoolFrozen Meat*Tallow
QuantityValueQuantityValueQuantityValue

* Includes exports of chilled beef.

† Provisional.

 lb.£Cwt.£Cwt.£
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
1951316,863,280128,176,0515,496,02325,393,538596,9582,567,627
1952438,107,60681,998,1417,711,21540,474,955979,0274,752,184
1953391,607,13384,597,9966,533,75139,886,599803,0581,944,611
1954392,900,02088,437,3067,415,83651,905,763782,2382,576,777
1955417,362,85893,887,0917,563,55360,740,204868,6752,871,937
1956427,882,28791,527,8678,283,04463,874,998792,3542,655,219
1957430,233,092105,635,7757,759,65263,949,814923,7173,031,773
TRADE
YearExports of New Zealand Produce
ButterCheeseGold
QuantityValueQuantityValueQuantityValue
* Provisional.
 Cwt.£Cwt.£Oz.£
1907328,4411,615,345236,833662,355508,2102,027,490
1908229,9711,171,182280,798783,419506,4232,004,925
1909321,1081,639,380400,6071,105,390506,3712,006,900
1910356,5351,811,975451,9151,195,373478,2881,896,328
1911302,3871,576,917439,1741,192,057455,2261,816,782
1912378,1172,088,809577,0701,680,393343,1631,345,131
1913372,2582,061,651611,6631,770,297376,1611,459,499
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
19231,250,14010,689,2001,441,4606,870,397169,512698,583
19241,269,45511,641,6681,594,4867,023,297133,631551,788
19251,245,32410,240,1321,376,7545,800,808114,696472,364
19261,168,0408,695,1881,461,5485,939,359125,777516,207
19271,455,53910,915,2331,492,7925,582,596130,171534,639
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
19322,185,54510,639,0531,790,4314,951,268200,6481,092,288
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
19362,796,14515,317,5761,658,2065,122,438168,0731,398,656
19372,976,08516,986,4771,647,1605,371,878172,3171,435,216
19382,614,54916,520,2261,610,5235,935,061152,4871,296,839
19392,443,29716,111,2071,677,2575,869,890176,3701,628,526
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
19431,985,18714,392,7592,009,9479,125,958149,5631,542,793
19442,306,80418,553,4841,554,0597,443,632138,0481,423,556
19452,069,53219,277,7041,748,5149,519,363121,0841,262,884
19462,035,87519,841,4551,514,9178,448,321111,5311,184,783
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
19502,765,33035,873,3741,997,80114,535,757110,4861,310,795
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
19542,649,61244,806,8991,807,92016,380,360414,84487,662
19553,019,30751,021,9381,700,84713,681,70221,840260,809
19563,348,98853,468,3091,777,54822,244,37220,450243,652
1957*2,900,40638,453,1131,759,20317,842,00326,769310,951
TRADE
YearExports of New Zealand Produce
Rabbit SkinsGrass and Clover SeedsMilk and Cream (Dried and Condensed)
QuantityValueQuantityValueQuantityValue
* Provisional.
 Number£Cwt.£lb.£
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
1954768,53310,259184,2532,802,421101,299,3414,091,835
1955662,2389,64679,3981,348,133114,071,6643,586,598
195695,5191,784146,4031,597,467106,817,7604,384,527
1957*68,6941,734162,2051,187,004151,655,9525,741,134
TRADE
YearExports of New Zealand Produce
Cattle HidesCalf SkinsSheep Skins
Cattle HidesCalf SkinsAggregate ValueWith WoolWithout WoolAggregate Value

* Not available.

† Provisional.

 NumberNumber£NumberNumber£
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
1954502,6751,129,3662,583,7241,067,72017,831,0277,659,441
1955654,4061,304,3482,822,3801,064,47419,249,3036,082,408
1956838,1901,117,3682,965,8021,088,05418,285,2477,317,113
1957904,6211,237,1223,206,1421,061,76618,708,9626,631,014
PRODUCTION
SeasonWool ProductionButterfat ProductionTimber ProductionMeat Production
Total Production (Greasy Basis)Average Price Per Pound (Greasy Wool)Total ProductionYield Per Cow in MilkAverage Payout Per Pound
* Provisional.
 lb.(m.)d.lb.(m.)lb.d.Bd. ft.(m.)Ton(000)
1914–1522911112........
1915–162291512018016.5309..
1916–1723115127186......
1917–1823915121170......
1918–1924115124170......
1919–202291513617421.0301..
1920–21217715517428.0308..
1921–22210819919614.5315..
1922–2320910.8522620117.0304..
1923–2421615.7822919315.5317..
1924–2522320.2124120217.0344..
1925–2622811.9323419818.0353..
1926–2724112.7025921915.5306..
1927–2825316.6726421318.0270..
1928–2926314.8828922418.5270..
1929–302628.5531422616.0282..
1930–312595.6732221511.5229..
1931–322705.2634021511.0154..
1932–332775.153972309.0166..
1933–3429011.074272359.0198..
1934–352656.544102249.5244..
1935–363049.1343724012.5293..
1936–3730315.7145825413.7306..
1937–3829710.0443524715.2323..
1938–393289.1740022916.5317..
1939–4031012.8543124716.7336..
1940–4133212.8746626216.7342..
1941–4234512.8843724616.8324..
1942–4334014.5840723417.1342..
1943–4433014.6038723218.2351..
1944–4537214.6143225420.3340..
1945–4636514.5137322121.2345541
1946–4736717.8340824323.7354560
1947–4836225.1141824126.6431549
1948–4936725.8145725927.8470556
1949–5039037.9847125229.2478577
1950–5139087.8449726031.0528530
1951–5240740.1950526334.6575602
1952–5341846.1953927337.2575578
1953–5442650.2550125038.9574589
1954–5545549.6750925438.2616637
1955–5646246.1953126437.7626670
1956–5749154.7652526238.1597669
1957–58497*41.16......597..
FACTORY PRODUCTION (REVISED SERIES)
YearNumber of EstablishmentsPersons EngagedSalaries and Wages PaidCost of MaterialsOther ExpensesValue of OutputAdded Value

* Productive employees.

† Not available.

‡ Estimated from results of restricted collection.

   £££££
1877–781,09310,604*
1880–811,43013,922*
1885–861,83319,653*6,457,796
1890–912,15223,761*1,656,694*8,557,987
1895–962,36125,397*1,747,685*3,561,5609,264,3085,702,748
1900–013,05938,651*2,810,506*7,716,30816,484,8208,768,512
1905–063,38145,198*3,592,888*13,290,42621,610,1888,319,762
1910–113,42142,142*4,353,476*18,738,35428,568,8639,830,509
1915–163,65744,673*5,316,689*29,850,41741,923,74412,073,327
1918–193,38553,0627,645,64838,290,58853,805,95915,515,371
1920–213,89462,97211,753,11253,009,24475,488,71422,479,470
1925–264,64370,21214,149,41151,302,7747,261,52478,467,62527,164,851
1930–315,04770,62513,885,25245,313,5028,448,35071,720,97226,407,470
1931–324,82362,33511,199,32138,867,3697,660,24560,751,00021,883,631
1932–334,84762,58310,673,96738,944,8267,518,51260,159,20821,214,382
1933–344,88365,96110,729,26643,512,9627,537,85065,908,30822,395,346
1934–355,12672,09511,694,49848,835,3218,163,09273,320,08924,484,768
1935–365,39178,70113,090,74556,858,5248,665,40283,766,00026,907,476
1936–375,58487,82216,295,72067,495,5719,778,29699,378,53731,882,966
1937–385,78093,53418,702,77271,750,0399,807,798106,502,10034,752,061
1938–396,00293,63819,926,91571,173,3149,315,674106,607,91935,434,605
1939–406,19899,34921,893,07680,209,86210,344,742120,323,71640,113,854
1940–416,252104,78424,305,58093,012,93411,202,984137,398,96344,386,029
1941–426,225108,27526,812,79396,481,96512,047,029145,608,16649,126,201
1942–435,985106,17929,427,395101,899,57712,541,492155,778,82653,879,249
1943–446,062109,22131,398,117107,026,67813,626,265164,837,15857,810,480
1944–456,340113,53434,196,853116,476,19714,556,029178,585,78362,109,586
1945–466,847118,88637,910,226117,058,55815,311,709183,541,93366,483,375
1946–477,498124,92541,488,195131,348,22917,279,008205,649,49874,301,269
1947–487,822130,50447,940,238174,845,30120,076,507259,181,23284,335,931
1948–497,852132,42751,402,307195,052,92221,954,771286,395,75291,342,830
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
1954–558,366153,55898,362,829365,373,46847,943,230550,790,555185,417,087
1955–568,515158,148107,870,738382,866,55756,540,803584,035,667201,169,110
1956–578,488156,651110,868,088394,894,09559,890,151601,900,034207,005,939
REVENUE AND EXPENDITURE OF GENERAL GOVERNMENT                £
Year Ended 31 MarchConsolidated Fund*
ReceiptsPaymentsDeficitSurplus
From TaxationFrom Other SourcesTotal

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.

* See p. 775 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.

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
1955162,508,54428,707,697191,216,241184,376,325..6,839,916
1956167,418,99530,014,305197,433,300193,282,129..4,151,171
1957172,794,73033,481,600206,276,330202,950,630..3,325,700
1958158,925,15534,655,268193,580,423193,735,560155,137
INDEBTEDNESS OF GENERAL GOVERNMENT—AMOUNT OF DEBENTURES AND STOCK IN CIRCULATION (Nominal Amounts)
As at 31 MarchDomiciled inTotalPer Head of Population
LondonAustraliaNew Zealand

NOTE.—The figures for 1932 and later years exclude £26,191,000 contingent liability in respect of which interest payments have been suspended by agreement with the United Kingdom Government since 1931.

* Includes £4,429,000 domiciled in United States of America.

 £(000)£(000)£(000)£(000)£ s.
190851,1593,55511,74166,45467 9
190954,6313,87012,43870,93969 16
191057,7344,11413,04374,89172 7
191162,2224,21414,64281,07876 15
191264,0054,21416,13584,35478 0
191368,9294,21416,91790,06181 0
191478,6244,28716,81999,73087 10
191576,4103,97919,671100,06087 0
191681,4653,52124,652109,63795 6
191783,8783,38642,573129,836112 16
191888,7083,38658,747150,840130 13
191995,7083,38676,982176,076149 8
192095,7083,386102,077201,171162 13
192199,6921,655104,977206,324162 16
1922105,9192,287110,848219,054168 7
1923110,6682,159106,126218,953165 4
1924114,8772,107104,633221,616164 8
1925120,8182,952104,044227,815165 3
1926128,0483,643107,165238,855169 8
1927132,5134,042109,296245,851170 19
1928139,7574,169107,470251,396172 18
1929149,3464,168110,677264,192179 12
1930146,5814,277116,526267,383179 11
1931154,5474,175117,311276,033182 12
1932133,4513,915118,386255,752167 13
1933135,2102,869118,354256,432166 15
1934134,7172,908138,976276,601178 9
1935134,7812,184117,425254,390162 19
1936132,5211,593122,257256,370162 18
1937130,546892130,041261,479164 15
1938130,666883132,462264,010164 11
1939130,662880146,238277,779170 19
1940131,672880164,165296,716180 17
1941132,180880190,176323,236197 11
1942127,564862230,780359,207219 16
1943132,083862304,689437,634267 16
1944132,917862366,747500,526304 9
1945133,091861403,274537,227319 16
194694,529861472,750568,140323 8
194794,529861482,990578,380323 4
194883,188779494,112578,078316 5
194979,962628534,395614,986329 17
195078,140628565,112643,880338 7
195177,808..589,425667,233344 6
195277,808..575,855653,662329 7
195377,790..589,898667,688327 14
195487,790..616,581704,371337 8
195597,789..630,804728,593341 18
195695,804..639,397735,201337 19
1957100,425..652,265757,120*340 17
LOCAL AUTHORITIES*                 £
Year Ended 31 MarchReceiptsPaymentsTotal Gross Indebtedness
RevenueOther ReceiptsTotal
From RatesFrom Other Sources

* Exclusive of Hospital Boards.

† 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 1957 amounted to £(N.Z.)99,032,165.

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
195416,421,12733,522,24919,306,55569,249,93168,289,09073,445,570
195518,259,12839,079,29817,279,85674,618,28273,980,54479,320,054
195618,883,18342,394,65321,424,12282,701,95883,559,03687,983,747
195720,658,79943,875,02226,058,29290,592,11390,739,63499,087,670
LOCAL AUTHORITIES*—LOAN INDEBTEDNESS
(Exclusive of Inscribed Debt)
£
As at 31 MarchCountiesBoroughsHarbour BoardsElectric Power DistrictsOtherTotal

* Exclusive of Hospital Boards.

† Debt shown at its nominal amount, that portion domiciled overseas not being converted to its New Zealand currency equivalent.

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
19544,312,59734,005,16610,362,12015,969,8298,794,83273,444,544
19554,578,52836,696,20810,811,66417,213,36310,020,29179,320,054
19565,120,07540,104,43411,619,39718,827,03312,312,80887,983,747
19575,929,25444,683,82413,059,66819,789,47615,625,44899,087,670
TRADING BANKS—ASSETS AND LIABILITIES: NET NOTE CIRCULATION (Average of Four Quarters up to 1929, thereafter Weekly Averages)
£
YearTrading Banks—AssetsTrading Banks—LiabilitiesNotes in Circulation*
AdvancesCoin and Bullion*Total (All Assets)DepositsTotal (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.

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
1955182,928,5411,383,469300,303,387279,855,391299,528,76859,457,510
1956170,648,3961,338,479287,681,405268,734,439284,367,56759,987,304
1957164,877,1091,320,906299,550,612278,857,861296,135,50761,215,722
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.

 Number     
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
1917566,35117,106,52914,461,1692,645,360947,82129,196,390
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
....11,447,7543,792,8467,654,908..170,982,452
1949–501,372,67277,963,43073,306,1814,657,2493,821,285
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
1954–551,554,549117,880.901112,842,4865,038,4154,710,920215,671,147
1955–561,585,422118,311,757118,656,799— 345,0424,854,297220,180,402
1956–571,650,331131,443,890121,319,48910,124,4016,300,857236,605,660
1957–581,719,564149,024,227133,993,51515,030,7126,869,034258,505,406
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.

    £ ££
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
1913223,961,200338,400,371690,7453,357,7742,238,842711,518695,736
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
1954180,104,940386,381,2541,235,97020,586,8482,277,7501,100,8066,675,037
1955187,487,096408,097,4551,336,54125,460,8522,333,9981,085,9387,217,771
1956191,979,197412,379,0121,382,63326,300,3872,230,3811,071,9547,633,451
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££
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
19092,67427,762,5927,458,23610,457,1445,135,4082,929,5262,114,815
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
19172,96035,378,6649,146,33114,173,1156,239,1734,800,8102,926,864
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
19553,489103,554,07314,419,9207,803,81310,336,33127,009,45925,542,214
19563,422108,548,18414,883,7247,975,19610,677,92327,871,41026,774,949
19573,418120,101,25115,101,8218,132,35210,324,68428,507,10928,694,418
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)
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
194814850,280143,2821,7518,684
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
195427782,571413,4472,68527,746
1955304112,418382,3222,69518,347
1956390130,574547,7513,25520,608
1957437180,364782,2263,50280,543
INSURANCE
YearLife (Ordinary and Industrial)AccidentFire
Policies in ForceSum AssuredNet Revenue*Net Expenditure*Net Revenue*Net Expenditure*
 Number£(000)££££
*Excluding unexpired risks reserves.
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
19461,095,583265,8533,378,6232,841,5641,828,3891,543,546
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
19521,344,699470,0848,186,5047,202,6123,408,7942,792,279
19531,380,513529,1079,183,4618,030,9363,754,8453,083,966
19541,426,532591,79010,222,2019,056,6744,125,8213,247,613
19551,463,122662,15311,377,61410,387,0664,224,3903,554,989
19561,498,104732,19112,815,26211,845,9494,396,2863,653,707

Appendix A. APPENDICES
PRINCIPAL EVENTS

CHRONOLOGICAL LIST OF SOME NOTEWORTHY EVENTS IN THE HISTORY OF NEW ZEALAND
1642.European 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.
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.Ngati-Toa migration from Kawhia to Otaki.
1823–28.Jurisdiction of Courts of Justice in New South Wales extended to British subjects in New Zealand.
1825.First attempt at colonization, by an expedition under Captain Herd.
1827.Hongi's forces destroyed mission station at Whangaroa.
1829.Brig Hawes captured by Maoris.
1830.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.
1833.Mr. James Busby appointed British Resident at Bay of Islands.
1834.Waimate Pa, near Opunake, 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 tribes.
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. 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. 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. 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.Triennial Parliaments Act passed. Adult male suffrage introduced. Kaitangata coal-mine explosion, whereby thirty-four lives lost.
1881.Wreck of s.s. Tararua, with loss of 130 lives.
1882.First shipment of frozen meat from New Zealand.
1883.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.
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 nearly seven 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 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. Naval engagement off River Plate 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.Daylight saving period extended to cover whole year. 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. Mobilization of women for essential work.
1943.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. 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). War 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.£12,500,000 presented to United Kingdom Government by New Zealand. 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. Clothing rationing abolished.
1948.Compulsory motor-spirits rationing reintroduced. Licensing Control Commission appointed. Mount Ngauruhoe erupts after twenty-two years' quiescence. Abolition of tea, sugar, and meat rationing. Adjustment of exchange rate to parity with sterling as from 20 August.
1949.The Government adopted new consumers' price index covering a greater range of retail prices. Polls on the establishment of off-course betting and on an alteration in hotel hours held in March. 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. Labour Government defeated and National Government assumed office on 13 December for first of three successive terms.
1950.British Empire Games held at Auckland. Control of land sales, except of farm land, lifted. Control of sterling funds and securities relaxed. Seven and one-half per cent surcharge imposed on cargo freights from United Kingdom to Auckland. Abolition of 33 1/3 percent 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. 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. Kayforce sailed from Wellington for Korea on 10 December. Death of Right Hon. Peter Fraser, Prime Minister, 1940-49.
1951.General order increasing rates of wages by 15 per cent issued. Government decided to hod prices of butter, milk, bread, and flour at existing levels by means of subsidies. 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 from United Kingdom and American Atlantic ports. 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. United States of America, Australia, and New Zealand signed Pacific Security Treaty.
1952.Minimum floor-prices plan for wool operative. Millionth passenger carried by N.A.C aircraft. 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. New Zealand team at Olympic Games at Helsinki most successful, one gold and two bronze medals won and one Olympic record made. The Minister of External Affairs attended first meeting of Pacific Council. 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. Arrival of Sir Willoughby Norrie on 2 December to assume the office of Governor-General.
1953.Construction work on Murupara pulp and paper project commenced. Bulk tariffs to electric supply authorities increased. Power restrictions suspended in North Island, first time for twelve years. Termination of Wellington-Nelson passenger steamer service in April. Coronation Day for Her Majesty Queen Elizabeth the Second marked in New Zealand by nation-wide civic programmes. Mt. Everest conquered on 29 May by British expedition, the summit being reached by the New Zealander Edmund Hillary and the Sherpa Tensing. National Housing Conference held in Wellington in August. Armistice agreement signed in Korea. Inauguration of Wellington - Hutt Valley electric train services. National Roads Board replaced Main Highways Board. The London-Christchurch air race won by R.A.F. Canberra No. 3 in record time of 23 hours 51 minutes. General order increased wages by 10 per cent, with certain weekly maxima. Price rises notified, following 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. The first Proclamation issued by a reigning Sovereign in New Zealand summoned Parliament for its opening by the Queen on 12 January 1954.
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. 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. Reorganization of Pacific air services, B.C.P.A. withdrawing, TEAL becoming equally owned by Australia and New Zealand. 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. Bulk purchase dairy contract with United Kingdom terminated at end of July. Exchange allocation scheme for imports finished at end of year. New Zealand signed the South-East Asia Treaty at Manila. Auckland Harbour Bridge contract signed. General wage order issued increasing wages by just under 3 per cent up to certain weekly maxima.
1955.First New Zealand owned helicopter flown at Auckland. Prime Minister announced Government's approval to New Zealand participation in Antarctic expedition; Sir Edmund Hillary confirmed as leader. New Zealand made contribution to defence of South-East Asia by sending squadron of fighter bombers and part transport squadron to Malaya and, later in the year, an Army Special Air Service Squadron. First train run from Murupara to Kawerau in April, this followed later in the year by the successful operation of newsprint mills at Kawerau. Sea freights between U.K. and N.Z. and vice versa raised by 5 per cent during year. Schedule of meat floor prices brought into force. Nelson-Glenhope railway closed. Rimutaka tunnel opened for traffic in November. Government announced proposals for electrical supply authorities to take over gasworks and for the establishment of the Electricity and Gas Co-ordination Committee. Strict control of credit in force during year. Approval given to National Airways Corporation ordering Viscount turbo-prop airliners for main trunk air routes. Formal agreement signed for initiation of reciprocal N.Z.-U.K. social security scheme as from following April.
1956.Start made on Ohakuri hydro-electric power station, the seventh on the Waikato River, and steam power station at Mercer. Tourist Hotel Corporation formed. Trade discussions held with Australia. Record annual total of houses (19,200) erected. Survey made of floor of Cook Strait for possible laying of power cable between North and South Islands. Price of New Zealand butter in United Kingdom reached lowest point since 1951-52. Concern expressed at distribution of American surpluses of butter and cheese. Government proposal to build Benmore hydro-electric power station of up to 350,000 kW. on Waitaki River. Interest rates on Post Office Savings Bank accounts increased. Report of Royal Commission on Monetary, Banking, and Credit Systems released. Census taken. Roxburgh and Whakamaru power stations in operation. Shipping freights and passenger fares to Australia and passenger fares to Britain raised, also coastal fares and freights. Guaranteed price scheme for potatoes announced. Immigration target reduced to 10,000 a year. Inoculation of 40,000 children against poliomyelitis. Sheep population reached forty million. Income tax rebate reduced from 20 to 10 per cent. Government capital expenditure for year estimated to be £78 million. Guaranteed prices of butter and cheese increased. More goods and services removed from price control. General wage order provided for award wage increases. Increase in social security benefits. Rise of 10 per cent in railway fares and freights. Petition for increased state aid to private schools rejected. Increase in telephone charges. Building controls abolished. Team of fifty-three competitors sent to Olympic Games at Melbourne wins two gold medals. Colombo Plan Conference held in Wellington. Antarctic expedition, led by Sir Edmund Hillary, sailed in H.M.N.Z.S. Endeavour. Duke of Edinburgh visited New Zealand.
1957.New Zealand Antarctic Expedition established Scott Base at Pram Point, McMurdo Sound. Trade discussions between New Zealand and United Kingdom Governments held during April and May in London. Acreage of wheat sown in 1956-57 was lowest for 87 years. Technological school planned for Auckland. Committee to be appointed to investigate the whole issue of equal pay for women. New Zealand shared fully in programme for International Geophysical Year, including Antarctic section. Average wool prices next highest to record season of 1950-51. Rongotai airport scheduled to be finished in March 1959. Dairy produce given unrestricted, duty-free right of entry to Britain till 1967. Plan announced to almost double present generating capacity of New Zealand's power systems by 1970 at cost of £235 million, including the laying of a cable across Cook Strait. Budget contained tax concessions and provision for increased social security benefits; restraints on credit continued. Commencement of PAYE taxation on incomes to be introduced from 1 April 1958. Lord Cobham succeeded Lord Norrie as Governor-General on 5 September. Freight rates on refrigerated cargo from New Zealand increased by 12 3/4 per cent from 1 September. Rt. Hon. Sir Sidney Holland relinquished office of Prime Minister, succeeded by Rt. Hon. K. J. Holyoake. Royal Commission on Local Authority Finance appointed. Separate Court of Appeal constituted. Sir Leslie Munro elected President of United Nations General Assembly. National income exceeded £1,000 million for first time. November agricultural consultations held in London. Start made on Benmore power station. National Government defeated and Labour Government assumed office on 12 December. Battalion sailed for service in Malaya. Sir Edmund Hillary and companions set off from Depot 700 for South Pole.

Appendix 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
New Zealand: Its tourist industry, tourist and sporting attractions, and travel information19551143
Royal Commission on Monetary, Banking, and Credit Systems: Summary of report19561201
Consumers' Price Index—1955 Revision19571214

Appendix 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. (Chief 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 Department of Statistics. 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

ASSOCIATED BOOKSELLERS OF N.Z. A list of N.Z. books in print 1957. Hamilton. Offset Printers, 1957

BAGNALL, A. G., 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. G. (editor). Union list of serials in New Zealand libraries. Wellington. N.Z. Library Service, 1953. Supplements have been issued.

FAIR, Andrew Peter Rasch. Guide to book values—New Zealand, Australia, Pacific, Antarctic: book auction records 1952-56. Wellington, 1956.

HARRIS, Wm. J. Guide to New Zealand reference material and other sources of information, 2nd edition. Wellington. N.Z. Library Association, 1950.

JENKINS, David Lloyd. Union list of theses of the University of New Zealand, 1910-1954. Wellington. N.Z. Library Association, 1956.

JOHNSTONE, Arthur H. Canterbury books, 1847-1955: a bibliography. Christchurch. Whitcombe & Tombs, 1956.

MILLER, David. Bibliography of New Zealand Entomology, 1775-1952. Wellington. Government Printer, 1956.

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.

TAYLOR, David Mortimer. The oldest manuscripts in New Zealand. Wellington. New Zealand Council for Educational Research, 1955.

RELIGION AND MYTHOLOGY

GREY, Sir George. Polynesian mythology and ancient traditional history of the Maori. 3rd edition. Edited by W. W. Bird. Illustrated by Russell Clark. Christchurch. Whitcombe & Tombs, 1956.

JOHANSEN, J. Prytz. The Maori and his religion in its non-ritualistic aspects. Kobenhavn. Ejnar Munksgaard, 1954.

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

AIREY, Willis Thomas Goodwin. New Zealand foreign policy related to New Zealand social development and current world trends. Wellington. New Zealand Student Labour Federation, 1954.

ALEXANDER, Robert Ritchie. The story of Te Aute College. (The leading secondary school for Maori boys.) Wellington. Reed, 1951.

BAKER, Richard St. B. Land of Tane: the threat of erosion. London. Butterworth, 1956.

BARR, Janet R. Within sound of the bell. Christchurch. Whitcombe & Tombs, 1953.

BEACHAM, A. The position of coal in the New Zealand economy. Dunedin. University of Otago, 1957.

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. New Zealand 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.

GREEN, William Albert Edward and others. Social services in New Zealand. A group report. Revised edition. Wellington. New Zealand Institute of Public Administration, 1954.

HADFIELD, J. W. Linen flax fibre production in New Zealand. Christchurch. Linen Flax Corporation of New Zealand, 1953.

JONES, Frederick George Hall. The history and activities of Rotary in New Zealand. Invercargill. Southland Historical Committee, 1955.

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 Sheepfarming annual (since 1938). Palmerston North.

MILNE, R. S. (editor). Bureaucracy in New Zealand. Wellington. New Zealand Institute of Public Administration, 1957.

NEALE, Edward Percy. Guide to New Zealand official statistics. Third edition. Auckland. Whitcombe & Tombs, 1955.

NEW ZEALAND COMMISSION of INQUIRY appointed to inquire into certain matters relating to the conduct of members of the Police Force. Final Report. Sir Robert Kennedy, Chairman. Wellington. Government Printer, 1955.

New ZEALAND GOVERNMENT. The New Zealand economy 1939-1951. Wellington. Government Printer, 1951.

New ZEALAND Economic Survey. Annual since 1952. Wellington. Government Printer.

NEW ZEALAND MINISTER of WORKS. Roads. Statement of policy by Hon. W. S. Goosman. Wellington. Government Printer, 1954.

NEW ZEALAND SOIL CONSERVATION and RIVERS CONTROL COUNCIL. Catchments of New Zealand. Wellington. Government Printer, 1956.

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 The University of New Zealand Calendar. Wellington. (Annual). Individual colleges issue separate calendars.

NEW ZEALAND WOOL BOARD. Annual Report. Annually. Wellington.

NIXON, Allan Johnston. Divorce in New Zealand. Auckland. Auckland University College, 1954.

ORCHISTON, H. D. Fertilizers, lime and farm production in New Zealand. 1900-1952. Christchurch. Canterbury Agricultural College, 1957.

PARKER, R. S. (editor). Economic stability in New Zealand. Wellington. New Zealand Institute of Public Administration, 1953.

PARKYN, George William (editor). The administration of education in New Zealand. Wellington. New Zealand Institute of Public Administration, 1954.

PHILLIPPS, H. A survey of fellmongering calf skin and hide production and leather manufacture in New Zealand and Australia. British Leather Manufacturers' Research Association, 1957.

POLASCHEK, Raymond J. (editor). Local government in New Zealand. Wellington. New Zealand Institute of Public Administration, 1956.

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, 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.

TYNDALL, Sir Arthur. The settlement of labour disputes in New Zealand. Cambridge, Mass. Massachusetts Institute of Technology, 1955.

WILD, L. J. The development of agricultural education in New Zealand. Christchurch. Whitcombe & Tombs, 1953. (The Macmillan Brown Lectures.)

LAW

ANDERSON, H. E. The law relating to companies in New Zealand. 2nd edition. Edited by D. J. Dalglish and others. Wellington. Brooker, 1957.

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.

MARSHALL, John R. and PAGE, E. F. The law of watercourses and a handbook for catchment boards. Wellington. N.Z. Catchment Boards Association, 1957.

MERCANTILE GAZETTE of N.Z. Digest of legal, commercial, and statistical information. Christchurch. Trade Auxiliary, 1950.

ROBSON, John Lochiel (editor). New Zealand: the development of its laws and constitution. London. Stevens, 1954.

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.

STEPHENS, A. C. The law relating to family protection in New Zealand. 2nd edition. Wellington. Butterworth, 1957.

PHILATELY and COMMUNICATION

COLLINS, Raymond J. G. (editor). The postage stamps of New Zealand. Vol. 3. Wellington. Royal Philatelic Society of New Zealand, 1955.

FRANKS, L. J. S. Postal history catalogue of New Zealand. Vol. 1. Christchurch. 1958.

N.Z. PHILATELIC SOCIETY. Catalogue of New Zealand stamps. Vol. 2, 1951.

NEW ZEALAND POST OFFICE. One hundred years of postage stamps. 1855-1955. Wellington. New Zealand Post Office, 1955.

PALMER, A. N., and STEWART, W. W. Cavalcade of New Zealand locomotives . . . the railway engine since 1863. Wellington. Reed, 1956.

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, He Konae Aronui. Proverbs and sayings of the Maori. Wellington. Reed, 1951.

WILLIAMS, H. W. Dictionary of the Maori language. 6th edition. Revised under the auspices of the Polynesian Society. Wellington. Government Printer, 1957.

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.

SAINSBURY, George Osborne King. A handbook of the New Zealand mosses. Wellington. Royal Society, 1955.

STEVENSON, Greta Barbara. A book of ferns. Dunedin. John McIndoe, 1954.

WALL, Arnold. Botanical names of the flora of New Zealand. Auckland. Whitcombe & Tombs, 1950.

WESTON, G. C. Exotic forest trees in New Zealand. Wellington. New Zealand Forest Service, 1957.

ETHNOLOGY

ADKIN, G. Leslie. Horowhenua. Wellington. Polynesian Society, 1949.

ARCHEY, Gilbert Edward. Sculpture and design, an outline of Maori Art. Auckland. War Memorial Museum, 1955.

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.

JEFFERSON, Christina. Dendroglyphs of the Chatham Islands. Moriori designs. Wellington. Polynesian Society, 1956.

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.

PADOVAN, Renzo. The Maori as an artist. Wellington. Reed, 1957.

PHILLIPPS, Wm. J. Maori carving. Wellington. Tombs, 1950.

PHILLIPPS, Maori houses and food stores. Wellington. Dominion Museum (Monograph No. 8), 1952.

PHILLIPPS, Carved Maori houses of western and northern areas of New Zealand. Wellington. Government Printer, 1955.

PHILLIPPS, The great carved house Mataatoa. Wellington. Polynesian Society, 1956.

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.

SHARP, C. Andrew. Ancient voyagers in the Pacific. Wellington. Polynesian Society, 1956.

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.

BUCHANAN, Ruthven A. A breeding analysis concerning the dual purpose Romney in New Zealand. Palmerston North, 1957.

COTTON, Charles Andrew. New Zealand geomorphology, 1912-25. Wellington. New Zealand University Press, 1955. 281 pp.

EIBY, George. Earthquakes. London. Muller, 1957.

ELPHICK, John Oliver. A users' directory of New Zealand coals. Wellington. Department of Scientific and Industrial Research, 1956.

GRAHAM, David. A treasury of New Zealand fishes. Wellington. Reed, 1953.

GRANGE, Leslie Issott. Prospecting for radio-active minerals in New Zealand. Wellington. Department of Scientific and Industrial Research, 1956.

NEW ZEALAND ASTRONOMICAL HANDBOOK. (Annual.) Wellington. Royal Astronomical Society of New Zealand.

NEW ZEALAND DAIRY SCIENCE ASSOCIATION. The contribution of dairy scientists during the last twenty-five years to the advancement of the New Zealand dairy industry. Palmerston North. 1954.

NEW ZEALAND SOIL BUREAU. General survey of the soils of North Island, New Zealand. Wellington. Government Printer, 1954.

OLIVER, Walter Reginald Brook. New Zealand birds. 2nd edition. Wellington. Reed, 1955.

PACIFIC SCIENCE CONGRESS. Proceedings of the seventh Pacific Science Congress, 1949. Wellington. Royal Society of New Zealand, 1954.

RICHDALE, L. E. A population study of penguins. Oxford. Clarendon Press, 1957.

RINEY, Thane A. Identification of big game animals in New Zealand. Wellington. Dominion Museum, 1955.

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.

GORDON, Doris C. Doctor down under. London. Faber, 1957.

HEWAT, Robert Eric Tamlyn, and D. F. Eastcott. Dental caries in New Zealand: report of an epidemiological and racial study. Christchurch. Medical Research Council, 1956.

RECREATION

FAIRBURN, John (editor). The 1956 Springboks in New Zealand. Auckland. A.D. Organ, 1956.

McCARTHY, Winston John. Round the world with the All Blacks, 1953-54. Wellington. Sporting Publications, 1954.

RUGBY ALMANACK of NEW ZEALAND, 1957, edited by Arthur Carman, Read Masters, and Arthur C. Swan. Wellington. Sporting Publications, 1957.

POETRY

BAXTER, James Keir. Recent trends in New Zealand poetry. Christchurch. Caxton, 1951.

BAXTER, The fallen house: Poems. Christchurch. Caxton, 1953.

CAMPBELL, Alistair. Mine eyes dazzle. Poems, 1947-49. Christchurch. Caxton, 1950.

CHAPMAN, Robert M., and BENNETT, Jonathan (editors). An anthology of New Zealand verse. Oxford University Press, 1956.

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 Press, 1953.

GLOVER, Since then. Wellington. Mermaid, 1957.

JOHNSON. Louis (editor). New Zealand poetry annual. Vol. 5. Wellington. Pegasus Press, 1955.

The Night Shift. Poems . . . by J. K. Baxter, Chas. Doyle, Louis Johnson, and Kendrick Smithyman. Wellington. Capricorn, 1957.

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

BAXTER, James Keir. The fire and the anvil. Notes on modern poetry. Wellington. New Zealand University Press, 1955.

BERKMAN, Sylvia Leah. Katherine Mansfield : A critical study. New Haven. Yale University Press, 1951.

BURTON, Ormond Edward. Spring fires: a study in New Zealand writing. Auckland. Book Centre, 1956.

HOFMAN, Helen L. (editor). The puritan and the waif. Critical essays on the work of Frank Sargeson by Walter Allen and others. Auckland. 1954.

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. Eric Lee-Johnson, with a biographical introduction, Hamilton. Paul's Book Arcade, 1956.

McCORMICK, Frances Hodgkins and her circle. An exhibition. Auckland. Pelorus Press, 1954.

McCORMICK, 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.

TAYLOR, Ernest Mervyn. Engravings on wood. Wellington. Mermaid, 1957.

FICTION

CARMAN, Dulce. Dream of the dark. London. Wright and Brown, 1955.

CARMAN, The witching hour. A romance of Maoriland. London. Wright and Brown, 1955.

DAVIN, D. M. (editor). New Zealand short stories. Oxford University Press, 1953.

DAVIN, D. M. The sullen bell. London. Michael Joseph, 1956.

DUGGAN, Maurice. Immanuel's land. Auckland. Pilgrim Press, 1956.

FRAME, Janet. Owls do cry. Christchurch. Pegasus, 1957.

GOULTER, Mary Catherine. Keeper of the sheep. Christchurch. Pegasus Press, 1955.

GUTHRIE, John. Paradise Bay. London. Werner Laurie, 1952.

MANSFIELD, Katherine. Selected short stories, with an introduction by D. M. Davin. Oxford University Press, 1953.

PARK, Ruth. One-a-pecker, two-a-pecker. Sydney. Angus and Robertson, 1957.

WILSON, Guthrie Edward. Julien Ware. London. Robert Hale, 1952.

WILSON, Sweet White Wine. London. Hale, 1956.

DESCRIPTION and TRAVEL

ACRES, Thyna A. M. Opo the gay dolphin. Wellington. Reed, 1956.

BRUNNER, Thomas. The great journey. An expedition to explore the interior of the Middle Island, 1846-48. Edited by John Pascoe. Christchurch. Pegasus, 1952.

CLUNE, Frank. Roaming round New Zealand. Sydney. Angus & Robertson, 1956.

CRANWELL PUBLISHING Co. Farms and stations of New Zealand. Vol. 1. Auckland. 1957.

DOLLIMORE, Edward Stewart. New Zealand guide, incorporating Wise's every place in New Zealand. Dunedin. Wise, 1952.

DOUGLAS, Charles Edward. Mr. Explorer Douglas. Edited by John D. Pascoe. Wellington. Reed, 1957.

DUFF, Oliver. New Zealand now. London. Allen and Unwin, 1956.

GOLDBLATT, David. Democracy at ease, a New Zealand profile. London. Pall Mall Press, 1957.

HALL, David Oswald William. Portrait of New Zealand. Wellington. Reed, 1955.

HARDWICK, John M. D. Opportunity in New Zealand. London. Rockliff, 1955.

HARDWICK, John M. D. 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.

HILLARY, Sir Edmund. High adventure. London. Hodder & Stoughton, 1955.

MEAD, Arthur D. Wanganui River. Wellington. Reed, 1957.

MORRELL, W. P., and HALL, D. O. W. A history of New Zealand life. Christchurch. Whitcombe and Tombs, 1957.

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.

PETERSEN, G. C. Lake Taupo. Wellington. Reed, 1957.

REED, Arnold Wyclif. 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, James Harray. Milford Sound. Wellington. Reed, 1955.

RICHARDS, Rangi and Rotorua. Wellington. Reed, 1955.

RICHARDS, 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.

WINKS, Robin William. These New Zealanders. Christchurch. Whitcombe & Tombs, 1954.

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, 1955. Wellington. Watkins, 1955.

SIMPSON, Frank A. (editor). Who's who in New Zealand. 6th edition. Wellington. Reed, 1956.

TILLMAN, Harry. Great men of New Zealand Rugby. Christchurch. Lancaster, 1957.

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.

ANDERSEN, J. C., and PETERSEN, G. C. The Mair family. Wellington. Reed, 1956.

BURDON, Randal Mathews. Scholar errant: a biography of Professor A. W. Bickerton. Christchurch. Pegasus Press, 1956.

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.

FRY, A. S. The Aunt Daisy story. Wellington. Reed, 1957.

KEYS, Lillian G. The life and times of Bishop Pompallier, Christchurch. Pegasus, 1957.

HILLARY, Sir Edmund P., and LOWE, Geo. East of Everest. An account of the New Zealand Alpine Club Himalayan expedition, 1954. London. Hodder & Stoughton, 1956.

OPIE, June. Over my dead body. London. Methuen, 1957.

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.

WILLIAMS, John B. The New Zealand Journal, 1842-1844. Edited by Robert W. Kenny. Salem. Peabody Museum, 1956.

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. 8th edition. Christchurch. Whitcombe & Tombs, 1957.

COOK, James. Journals on his voyages of discovery. Edited by J. C. Beaglehole (and others). Vol. 1: The voyage of the Endeavour, 1768-1771. Cambridge University Press for the Hakluyt Society, 1955.

COOK, Charts and views drawn by Cook and his officers and reproduced from the original manuscripts. Edited by R. A. Skelton. Cambridge University Press for the Hakluyt Society, 1955.

CRUISE, Richard A. Journal of a ten months residence in New Zealand, 1820. Edited by A. G. Bagnall. Christchurch. Pegasus Press, 1957.

DUMONT D'URVILLE, Jules S. C. The voyage of the Astrolabe, 1840. An English version by Olive Wright. Wellington. Reed, 1955.

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 of the Governor-General. Wellington. Department of Internal Affairs, 1953.

NEW ZEALAND DOMINION Archives of the Army Department. Wellington. Department of Internal Affairs, 1953.

NEW ZEALAND DOMINION 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.

NEW ZEALAND NATIONAL HISTORICAL PLACES TRUST. Rules. Wellington. Government Printer, 1956.

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.

BAGNALL, A. G. Old Greytown, 1854-1954. Greytown Centennial Book Committee, 1953.

BAGNALL, A. G. A history of Carterton; the story of the first hundred years. Carterton. Borough Council, 1957.

BEILBY, Geo T. Roads to tomorrow . . . one hundred years of Baptist work in New Zealand. Christchurch. Baptist Union of New Zealand, 1957.

COLE, J. R. Pompallier, the house and the mission of Bishop Pompallier in early New Zealand. Wellington. Department of Internal Affairs, 1957.

COOK, JAMES. Captain Cook in New Zealand. Extracts from the journals, edited by A. H. and A. W. Reed. Wellington. Reed, 1951.

GLASSON, H. A. The golden cobweb: a saga of the Otago goldfields, 1861-64. Dunedin. Otago Daily Times, 1957.

GODLEY, Charlotte (Wynne). Letters from early New Zealand, 1850-1853. Christchurch. Whitcombe & Tombs, 1951.

GOULTER, Mary C. Sons of France. A forgotten influence on New Zealand History. Wellington. Whitcombe & Tombs, 1957.

GRAINGER, John. The Auckland story . . . through the years. Wellington. Reed. 1953.

GRAYLAND, Eugene C. New Zealand disasters. Wellington. Reed, 1957.

HASSALL, Charles Edward. A short history of the Port of Timaru, 1852-1955. Timaru. Harbour Board, 1955.

HIGHT, Sir James, and Straubel, C. R. A history of Canterbury. Christchurch. Canterbury Centennial Association, 1957.

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.

McNEISH, Jas. Taverns in the town. Wellington. Reed, 1957.

MANSON, Cecil M., and Cecilia E. Tides of Hokianga. Wellington. Wingfield Press, 1956.

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.

MILLAR, John Halket. Death round the bend. Nelson. Stiles, 1955.

MILLER, Frederick Walter Gascoyne. Beyond the blue mountains. A history of the West Otago district. Dunedin. Otago Centennial Historical Publications, 1954.

MONAGHAN, Harold W. From age to age: the story of the Church of England in the Diocese of Wellington 1858-1958. Wellington. Diocesan Committee of Wellington, 1957.

NEW ZEALAND TANGIWAI RAILWAY DISASTER BOARD of ENQUIRY. Report. Wellington. Government Printe, 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.

REED, Arnold Wyclif. Auckland, city of the seas. Wellington. Reed, 1955.

REED, Vernon H. The gift of Waitangi. Wellington. Reed, 1957.

RHODES, William Barnard. The whaling journal of Captain W. B. Rhodes. Barque Australian, 1836-38. Notes by C. R. Straubel, Christchurch. Whitcombe & Tombs, 1954.

SCOTT, R. G. The Parihaka story. Auckland. Southern Cross Books, 1954.

SINCLAIR, Keith. Maori land league. Auckland University College, 1950.

SINCLAIR, Keith. The origins of the Maori Wars. Wellington. New Zealand University Press, 1957.

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.

WAKEFIELD, Edward Jerningham. Adventure in New Zealand. An abridgment by Joan Stevens. Christchurch. Whitcombe & Tombs, 1955.

WATERS, Sydney David. Union Line: A short history of the Union Steam Ship 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.

CODY, J. F. 28 (Maori) Battalion. 1957.

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.

PHILLIPS, N. C. Italy. Vol. 1. The Sangro to Cassino. 1957.

PRINGLE, D. J. C., and GLUE, W. A. 20 Battalion and Armoured Regiment. 1957.

ROSS, John Macaulay Sutherland. Royal New Zealand Air Force. 1955.

SCOULLAR, J. L. Battle for Egypt. 1955.

SINCLAIR, D. W. 19 Battalion and Armoured Regiment. 1954.

STOUT, T. D. M. New Zealand Medical services in Middle East and Italy. 1957.

STOUT, T. D. M. War Surgery and Medicine. 1954.

THOMPSON, H. L. New Zealanders with the Royal Air Force. 2 vols. 1953-56.

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.

WATERS, Sydney David. The Royal New Zealand Navy. 1956.

Episodes and Studies

The following is the complete range of Episodes and Studies published by War History Branch, Department of Internal Affairs, Wellington, from 1948-55.

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

AIKMAN, Colin Campbell. First report on constitutional survey of the Cook Islands. Wellington. Department of Island Territories, 1956.

BEAGLEHOLE, Ernest. Social change in the South Pacific: Rarotonga and Aitutaki. London. Allen and Unwin, 1957.

COOK ISLANDS REGISTRAR of CO-OPERATIVE SOCIETIES. Co-operation for the Maoris of the Cook Islands. Wellington. Government Printer, 1956.

CUMBERLAND, Kenneth Brailey. South-west Pacific. A geography. Christchurch. Whitcombe & Tombs, 1954.

DAVIS, Thomas R. A. H. Doctor to the islands, by Tom and Lydia Davis. London. M. Joseph, 1955.

EDEN, Allan William. Islands of despair . . . the subantarctic islands of New Zealand. London. Melrose, 1955.

McCARTHY, Dennis Douglas (editor). New Zealand medical research in the South-West Pacific . . . Western Samoa, Rarotonga, and Pukapuka. Dunedin. Coulls, Somerville, Wilkie, 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.

JAMES, Clifford Samuel. Diseases commonly met with in Melanesia and Polynesia. Diagnosis, prevention and treatment. Auckland. Institute Print, 1956.

KEESING, Felix M., and M. M. Elite communication in Samoa. A study of leadership. Stanford. University Press, 1956.

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.

STACE, Vernon Desmond. Western Samoa, an economic survey. Noumea. South Pacific Commission, 1956.

ROSS DEPENDENCY

THE ANTARCTIC To-day. Compiled by members of the New Zealand Antarctic Society. Wellington. Reed, 1952.

GEOLOGICAL SOCIETY of NEW ZEALAND ANTARCTIC RESEARCH COMMITTEE. Preliminary bibliography of the geology of the Ross Dependency, 1956 (duplicated). (These were followed by a series of geological and biological reports.)

HELM, A. S. Provisional gazetteer of the Ross Dependency. Wellington. New Zealand Geographic Board, 1957.

ROSS SEA COMMITTEE. N.Z. Antarctic Manual, 1956-58. Scott Base, Ross Dependency, 1958.

Appendix D. NEW ZEALAND ACTIVITIES IN THE ANTARCTIC

M.A., F.R.G.S., Secretary, Ross Sea Committee, Wellington. A. S. Helm

Table of Contents

The Antarctic Continent, long the most neglected part of the earth's surface, has been the scene of intense activity during the past two or three years.

Almost six million square miles, an area nearly as great as that of Europe and the United States of America combined, lie in a compact land-mass almost entirely within the Antarctic Circle. The average height of this continent is greater than any other, with an enormous polar plateau in the centre, from which peaks thrust up to 15,000 ft. above sea-level. An ice-cap many thousands of feet thick covers most of the land. Even in summer, navigation in the Antarctic is usually difficult and often dangerous, while in winter the continent is surrounded by a belt of pack-ice from 100 to 1,000 miles wide formed by the freezing of the southern ocean.

The Ross Dependency, which has been under New Zealand's jurisdiction since 1923, comprises in the main two strips of coastline, Victoria Land on the west of the Ross Sea, and King Edward VII Land on the east, together with a wedge of the polar plateau and a large area of permanent ice known as the Ross Ice Shelf.

In many ways the Ross Dependency is the most interesting sector of the continent. It was from this area that the great explorers, Captain Robert Scott, Sir Ernest Shackleton, Captain Ronald Amundsen, and Rear Admiral Richard Byrd set off to the South Pole. In fact until Sir Vivian Fuchs reached the Pole from the Weddell Sea, no serious attempt had been made from any region other than the Ross Dependency.

In its associations with earlier expeditions New Zealand built up a reputation for hospitality and assistance; moreover many people in this country were greatly interested in such Antarctic activities.

With the conquest of the South Pole by Amundsen, in December 1911, and by Scott in the following month, a new challenge presented itself, the 2,000-mile crossing of the continent. William Bruce, a Scottish explorer at the beginning of this century, first conceived the idea and then it was taken up by Shackleton. In 1914 the latter planned to cross Antarctica with a sledge party from the Weddell Sea to the Ross Sea, where another party was to meet him for the final stages of the journey. His Weddell Sea party, however, met with disaster, through the loss of their ship in the ice before the party could get ashore. Shackleton died during his next expedition of 1921-22, and the transpolar project was laid aside and for many years the challenge went unanswered.

Dr Vivian Fuchs of Cambridge, England, whilst leader at a British base in the Falkland Islands, revived the idea of this project in 1948-49 and upon his return to the United Kingdom he was active in sponsoring it, not only with the United Kingdom Government but with Commonwealth Governments whose interests lay in Antarctica. As the estimated cost of such an expedition - almost £500,000 - was so heavy, Government support was essential.

The New Zealand Antarctic Society had been urging the New Zealand Government to undertake an expedition to the Ross Dependency and as soon as the Society learned of Dr Fuchs' projected expedition, it gave the proposal every support.

The New Zealand Government made an initial grant of £50,000 and three other Commonwealth Governments recognized the value and importance of the venture and contributed the following amounts: the United Kingdom £100,000, Australia £20,000, and South Africa £18,000.

New Zealand's special interest in the expedition was clear. The proposed route passed through the Antarctic territory under her jurisdiction, and the reception base was planned to be located at McMURDO Sound. New Zealand was given the opportunity of organizing the Ross Sea party which was to provide support to the British party coming across the continent from the Weddell Sea by establishing depots southwards from McMURDO Sound. With Government support, the Ross Sea Committee, under the chairmanship of the Hon. C. M. Bowden, was set up in Wellington "to organize New Zealand participation in the Trans-Antarctic Expedition". Representatives of the Royal Society, the Antarctic Society, the Federated Mountain Clubs, various Government Departments, as well as prominent public figures were appointed to the Committee, which was then incorporated as a society under the name "The Trans-Antarctic Expedition New Zealand (Inc.)".

Appeal for Funds.—It was realised that in addition to the Government grant of £50,000, the mounting of the New Zealand effort would require a great deal more money. A target of £100,000 was fixed, and a national appeal was launched by the Prime Minister, strongly supported by the Leader of the Opposition. Sixty-seven appeal committees were set up in the centres, and each committee was given a quota to raise. Response varied greatly in the different centres, and while some raised their money readily others had difficulty and fell short of the target.

One of the more successful ways of raising funds and which at the same time interested a great many people in the expedition was the sponsoring of a husky by schools which paid £50 for the dog's upkeep in the Antarctic. Another means was the sale of "Share in Adventure" Certificates.

In addition to cash, many large offers of goods in kind were received, and these reduced the sum required. Gifts in kind ranged from mammoth contributions made by an oil company which supplied all fuels and lubricants for the expedition, down through other gifts valued at several thousands of pounds to individual items worth a few shillings. All these were greatly appreciated and contributed to the success of the undertaking.

Ultimately the New Zealand Government, in addition to its original contribution of £50,000, gave further most generous support to the expedition, totalling almost £200,000. This took the form of the purchase of an Auster aircraft, the purchase and manning of H.M.N.Z.S. Endeavour, radio equipment valued at £25,000, the secondment of personnel both from Government Departments and the Armed Forces, and expert advice and help in countless other ways.

No other Government contributed so much to the eventual success of the expedition. The overall cost of New Zealand's participation in the Trans-Antarctic Expedition (excluding International Geophysical Year expenditure) amounted to approximately £400,000.

Personnel.—Many hundreds of applications for membership of the New Zealand party were received by the Ross Sea Committee. From the varied types of men offering, it was possible to select a strong team of considerable experience and capability.

One of the Committee's first tasks was to find a leader for the party. The choice was not difficult - Sir Edmund Hillary. Later Mr J. H. (Bob) Miller was chosen as second-in-command, in addition to being stores officer and chief surveyor. Each member of the party had to be versatile, as many were expected to attend to more than one task. Members were required to undergo a most searching medical examination prior to final acceptance.

In August 1956 all the expedition members gathered at the Malte Brun Hut on the Tasman Glacier, where they carried out a realistic training programme using dog teams and ski-equipped aircraft. Here, for the first time, was used the technique, which later proved so useful, of transporting dog teams by aircraft. Not only did the members experience conditions similar to those which they would encounter in the Ross Dependency, but they also had the chance to get to know each other. As a result, they went south as a well-knit team.

Huskies.—The sixty huskies, making six dog teams of nine dogs each, used by the New Zealand party came from three sources. Some were bred in the Auckland Zoo, some were generously donated by the Australian Antarctic Station at Mawson, and the others were purchased from Greenland. The Australian dogs were flown from Melbourne to Christchurch and, together with those from the Auckland Zoo, were taken to a camp set up in the Southern Alps near Mt. Cook. There the dogs were placed under the care of the two British members of the party, Dr G. Marsh and Lieutenant-Commander R. Brooke, R.N., both of whom had previously worked dog teams. Mr H. Ayres and Mr M. Douglas also assisted with the care and training of the teams. The Greenland dogs travelled out from England on the Endeavour.

Buildings.—The Ross Sea Committee set out to ensure that the New Zealand party was provided with the best equipment available for its task. Plans were drawn up by architects from the Ministry of Works for eight specially heated and insulated buildings, which were prefabricated and shipped in sections. Four buildings were purchased from an Australian firm which had previously contracted for buildings at the Australian Antarctic Station at Mawson, and the other four were made in New Zealand.

So that the field parties could begin their work soon after arrival at McMurdo Sound, the Royal New Zealand Navy arranged for a special construction unit, provided by the Armed Services, to assist in the establishment of the base.

Other Equipment.—A multitude of items of equipment was needed for the establishment of an Antarctic base and for the use of field parties. Much careful preparation was required before the final lists were drawn up and the items were either donated or purchased.

Special clothing for each member of the party had to be taken south, and this was selected with careful emphasis to correct size. Many of the items were available in New Zealand, while others had to be purchased in the United Kingdom or elsewhere.

Supplies of food and fuel adequate for all contingencies had also to be provided, and their collection was the responsibility of the stores officer and deputy leader. The services of an expert stores officer were made available by the Ministry of Works, and accommodation was provided by the Royal New Zealand Air Force at its Gracefield store.

Advance Parties.—In the summer of 1955-56 three separate parties were sent from New Zealand to gain experience. Sir Edmund Hillary, Mr J. H. Miller, and Squadron-Leader J. R. Claydon visited the Weddell Sea with Dr Fuchs and a party in the Theron, for the purpose of making a preliminary appreciation of conditions in the area and to establish a base in the vicinity of Vahsel Bay. The Theron met with adverse ice conditions in the Weddell Sea, and considerable difficulty was experienced, but its mission was successfully accomplished.

Following the Theron's return to England, Hillary and Miller spent a week in Norway with Mr D. Pratt, engineer for Dr Fuchs' party, studying the use of tractors in snow conditions, with a particular study of light wheeled tractors adapted for snow work by the addition of full-tracks. This experience was to have an important bearing on the planning of field work in the Ross Dependency.

On returning to England Mr Miller spent some time at the London Office of the Trans Antarctic Expedition making himself familiar with various items of equipment and arranging for stores and supplies to be shipped to New Zealand.

Secondly, Mr H. Ayres visited Mawson with the Australian National Antarctic Research Expedition, and after making a study of conditions there, brought back twenty-six huskies, bred in the Antarctic, which had been given to the New Zealand party by Australia.

The third party of Dr T. Hatherton, Lieutenant-Commander W. Smith, and Mr B. Gunn accompanied the U.S. Navy's Task Force 43 to the Ross Sea. They visited McMurdo Sound and made a survey of the area. This party made a round trip of 135 miles up the Ferrar Glacier and discovered what appeared to be a suitable base near Butter Point. Their man-hauling trip to the top of the Ferrar glacier was the first into that region since Scott's 1910-13 expedition. Gunn also flew over the Skelton glacier area and upon his return reported that this glacier offered an alternative route to the polar plateau.

Logistic Support.—The problem of purchasing or chartering a suitable vessel for the transport of men and materials to McMurdo Sound, and also strong enough to withstand the ice conditions, concerned the Committee for many months. Finally it was decided to purchase the John Biscoe, a vessel which had been used for many years by the Falkland Island Dependencies Survey, and which was about to be replaced by a new and larger ship. Protracted negotiations were carried out in London on behalf of the Committee, but finally the Government of New Zealand decided to purchase the vessel for the Royal New Zealand Navy, which undertook the responsibility of arranging transport south for the personnel, stores, and equipment.

Captain H. Kirkwood, R.N., was seconded from the Royal Navy and placed in command of the vessel. He had a wide experience of polar conditions dating back many years to when he sailed for the Antarctic on Discovery II. He had also commanded the John Biscoe for many of its voyages to the Antarctic and thus knew both the vessel and the conditions to be encountered.

The vessel was renamed H.M.N.Z.S. Endeavour after the ship in which Captain Cook first visited New Zealand. A party of ten naval officers and ratings was flown to the United Kingdom to form the nucleus of the crew to bring the ship to New Zealand.

The Endeavour is a wooden-hulled vessel of about 900 tons gross register powered by diesel electric motors. She was built in the United States as a net layer in 1944 and during the war served with the British fleet as H.M.S. Pretext. In 1947 she was bought by the Falkland Islands Government, renamed the John Biscoe, extensively refitted, and equipped for ice conditions. This included sheathing the hull in three-inch greenheart timber. Following upon her Antarctic service she was extensively refitted prior to being taken over by the Royal New Zealand Navy.

Voyage South.—Fully laden with expedition supplies and personnel, H.M.N.Z.S. Endeavour sailed from Wellington on 15 December 1956. Two frigates, H.M.N.Z.S. Pukaki and Hawea provided a naval escort to the edge of the ice pack.

The voyage to McMurdo Sound was a particularly smooth one. Penetrating the pack ice took but five days, and only one severe storm, of two days' duration, was experienced. Near Beaufort Island the ship encountered heavy pack ice, but Rear-Admiral G. Dufek of the United States Navy very generously sent the ice-breaker U.S.S. Glacier to break a channel.

Assistance by United States of America.—The expedition received most generous support from the Americans engaged in "Operation Deep Freeze" in the Ross Dependency. Not only was much of the equipment taken south in the Private John R. Towle but three members of the New Zealand party travelled in this vessel. Sixteen others were transported in the U.S.S. Glacier. At McMurdo Sound the Americans helped with transport, both on land and in the air. Urgently needed supplies were flown from New Zealand in U.S.A.F. Globemasters, and much other assistance was freely given.

Close co-operation between the United States and New Zealand was a feature of the Antarctic arrangements. New Zealand provided wide facilities for United States ships and aircraft engaged in "Operation Deep Freeze", and in return the United States provided transport for many New Zealand men and materials.

Selection of Base Site.—It had been expected after the reconnaissance trip in the 1955-56 summer that the base would be established on the coast of Victoria Land, about 2 miles from Butter Point. Because of the thick bay ice, however, it proved impossible for Endeavour to get closer than 18 miles from the proposed site. Efforts to find a suitable route across this ice, which consisted of broken segments frozen together, showed that it would be a long and arduous task to transport supplies. A melt pool finally barred the way from the bay ice to the site, and the only possible alternative was the steep descent from the Bowers Piedmont glacier. Tractor and dog teams set out and after difficult travelling proved that the logistic problems were too severe for consideration, particularly as there was a strong possibility, which actually happened later, of the bay ice going out to sea. This would have crippled the expedition. The American authorities were anxious for the Private John R. Towle, which carried much of the stores and equipment, to be unloaded as quickly as possible and return to New Zealand. As there would not have been an opportunity of sledging this material to the site directly from the Private John R. Towle, and it would not have been advisable for the Americans to risk their heavy transport on this particular stretch of bay ice, recourse would have been necessary to the dumping of stores on the ice until they could have been transported by the tractors to the base. Had this risk been taken, these stores would have drifted out to sea before they could have been moved to safe ground. In any case, the Endeavour would have been on a lee shore during the whole of the unloading operations.

In view of the impossibility of finding a satisfactory route to Butter Point, Hillary decided to look for another site. After a reconnaissance in a United States helicopter, he and Miller decided on Pram Point, near Cape Armitage on Ross Island.

This site had a great many advantages. It was very close to the Ross Ice Shelf and there was no possibility of being cut off from the latter, as happened with Shackleton's base at Cape Royds, and Scott's base at Cape Evans, when the bay ice was out for several months each year. Ample room, on a solid rock foundation, was provided for all the buildings and radio masts. A large Weddell seal rookery was in close proximity and provided study for the biologists and food for the dogs. The base was suitable for the scientific needs of the International Geophysical Year Party, and a tide-gauge could be set up in the vicinity. Helicopters could land right on the site, and an airstrip for the two aircraft was situated within quarter of a mile. The Antarctic terminal for aircraft flying from New Zealand was only 4 miles distant, so the air facilities could scarcely have been bettered. There was an assured route for tractor transport from the edge of the ice where the ships were moored, and the supply line was considerably shorter than the one to the Butter Point site. Although close to the American camp, the New Zealand base was still a distinct unit.

Butter Point had been selected in the expectation that a route would be found to the polar plateau by way of the Ferrar Glacier. When later it proved impossible to obtain access from the bay ice to the foot of the Ferrar Glacier, the move to Pram Point, although already accomplished, was further vindicated, for Scott Base is the nearest practicable point to the Skelton Glacier via the Ross Ice Shelf

For unloading, a 10-mile drive across the sea ice was necessary at first, though this distance was shortened later as portions of the ice moved out to sea. However, it was an excellent route and unloading proceeded without any delay. The five Ferguson tractors and the two Weasel tractors worked round the clock and soon a mountain of material was safely stored on the rocky slope below Scott Base.

Construction of Scott Base.—The construction of Scott Base proceeded very smoothly and expeditiously once the site was chosen. Giant American bulldozers levelled the ground, thus saving much valuable time. The trial erection of the buildings at Rongotai prior to going South, expensive though it was, proved well worthwhile. The Navy construction party, under the leadership of Mr R. Heke of the Ministry of Works, put in very long hours every day to build the base in a few short weeks. American and other visitors expressed admiration at the speed with which the buildings were assembled, and at the provision for the personal comfort of the expedition members.

The building team was assisted by summer and winter expedition personnel and by crew members from the Endeavour. On 20 January 1957 the New Zealand flag was hoisted over the base. Each building was equipped with fire-fighting apparatus and adequate precautions against fire were taken. When the summer party left to return to New Zealand in February, the base was fully operational, and this was in very large measure due to the careful planning by the Ministry of Works section under Mr W. F. Ponder.

Scott Base is an eight-hut village which includes sleeping quarters, a mess hut, a first-class laboratory, a dark-room, laundry, and hospital, and separate seismic and non-magnetic huts for geomagnetic recording. These buildings have proved very successful, and great praise has been lavished on Scott Base by foreign observers, many of whom consider it to be the finest base in the Antarctic. One feature is its permanency. Being built on rock foundations, it should be capable of serving New Zealand's needs in the Ross Dependency for many decades.

Radio Communications.—The speed with which radio communications were established between Scott Base and New Zealand was a credit to the planning of the radio communications sub-committee of the Ross Sea Committee and the work of those Expedition members concerned with the communications installation. A major part of the IGY programme covered ionospheric research necessitating extensive electronic and aerial systems, and in the initial installation period IGY and Expedition radio personnel worked as a team to expedite the entire base radio and aerial installations.

With the mild weather enjoyed by the Expedition during the middle of summer, the nine 62-ft. masts were quickly erected, and within three weeks the first telegraph messages were passing to and fro between Scott Base and Awarua Radio in the South Island of New Zealand. By this time, the first field parties were heading towards the Skelton Glacier and daily schedules were kept, both with them and with the Expedition supply ship, H.M.N.Z.S. Endeavour, some 20 miles away in McMurdo Sound. Soon after the telegraph service had settled down to a twice daily routine, a daily telephone service, the first from the Antarctic, was started with Wellington. This service was much appreciated by the Expedition members and their families, who were able to make use of this facility in communicating with each other.

Radio facsimile equipment had been installed at Scott Base and during the late summer the first radio photograph was sent successfully to Wellington, this proving to be the first radio photograph sent to the outside world from the Antarctic Continent.

An early attempt was made to contact Dr Fuchs and the British party at Shackleton Base, and after the first telegraph contacts, both leaders were able to conduct weekly telephone conversations during most of the winter and the early part of the second summer. Communication was also maintained with the French Base at Pointe Geologie in Adelie Land, with the IGY Base at Cape Hallett, and with the United States Base at Hut Point, McMurdo Sound.

On the arrival of the first dog teams from Scott Base to the head of the Skelton Glacier at the edge of the polar plateau, a small depot radio station was set up to facilitate the establishment of Depot 280. This station maintained communication between Base and the Expedition aircraft flying in food and fuel to the Depot.

Under the extraordinary conditions experienced in Antarctica, weaknesses were displayed during the first season in certain features of the sledge radio sets. Acting on information from the Expedition radio operators, this problem was studied by the New Zealand Post Office, and for the second season a new set, made by a private firm in Wellington, was provided and proved eminently successful.

During the second season, and the final phases of the Expedition, twice-weekly schedules were maintained with all field parties by means of Morse code, and to this end all members of the field parties spent an hour each day of the winter months learning Morse up to a standard of ten words per minute.

The tractor party laying the depots towards the South Pole kept daily schedules with Scott Base by both voice and Morse. Once Depot 700 had been reached, additional schedules were maintained with Fuchs' party approaching the South Pole, and with the Pole Station itself.

Skelton Glacier.—When the Ferrar Glacier proved impracticable as a route to the polar plateau, it became necessary to seek an alternative. Gunn, who had been a member of the reconnaissance party the previous year, had suggested using the Skelton Glacier, and attention was now paid to this route. Flights over the area showed that it had possibilities, although it meant that the route to be followed by Fuchs and his party would have to be considerably lengthened.

The Skelton Inlet is a re-entrant about 10 miles wide, lying in the north-west part of Moore Bay on the western edge of the Ross Ice Shelf. The Skelton Glacier which flows from the polar plateau to the Ross Ice Shelf at Skelton Inlet, narrows to about 4 miles wide at 30 miles inland. It attains a height of approximately 8,000 ft. at a distance of 90 miles from the Ice Shelf.

Once it had been proved practicable from the air, the next step was to establish a depot at Skelton Inlet by use of the Beaver aircraft, and then fly in two dog teams with an advance field party consisting of Brooke, Ayres, Ellis, and Douglas. This party set off up the Skelton Glacier, and after nine days, and 110 miles of sledging, the field party proved that it was a first-class route for dog teams and vehicles to the polar plateau, Although this completed the major task for the season, there still remained a great deal of work before the approach of winter recalled all the field parties. Five tons of supplies had to be flown in to the Plateau depot, 270 miles from Scott Base by the route the dog teams had to travel, although considerably less in a straight line.

The first problem was to test whether or not the Beaver aircraft could successfully land at the altitude of this depot. A proving flight was made in the Beaver with Squadron-Leader Claydon at the controls. The Auster aircraft was flown in support by Flying Officer Cranfield. Mail was carried for the dog team members, and a successful landing was made by both planes on 9 February 1957. It was the first time aircraft had ever landed in this area, and though the Beaver had no difficulty in taking off again, the Auster was working very close to its maximum operating height. Accordingly the decision was made to use the Beaver only for ferrying supplies to the plateau. Mulgrew was flown in to this depot to give radio support to the party, while Ellis returned to assist in building Scott Base.

Once the Beaver had brought in all the necessary supplies to stock the depot the sledgers started back down the Skelton Glacier prior to being flown out from the Skelton depot.

Meanwhile, Miller and Carlyon, neither of whom had previously driven dog teams, were making a splendid journey of 180 miles from Scott Base, round Black and White Islands and Minna Bluff, and across the Ross Ice Shelf to prove the route to the Skelton Inlet. They averaged 16 miles a day, which was magnificent under the prevailing conditions.

Previous expeditions using dog teams in the Antarctic had found that they were not of great use during the first summer, but this was not the experience of the New Zealand party. From the time they were put ashore near Butter Point, the three trained teams behaved splendidly. Three more teams were trained at base and all six teams were fully utilized in the second summer.

Skelton Geological Party.—A third group, consisting of geologists Gunn and Warren, assisted by Heine, was flown in from Scott Base to the foot of the Skelton Glacier at the beginning of February 1957 to make the first geological survey of the new area. Using two man-hauling sledges in the same manner as Scott and Shackleton, they covered 60 miles and made some notable geological discoveries, the chief of which was the finding of greywacke in an area where it was previously thought to be non-existent.

On 10 February the three men set out to make the first ascent of a major peak on the Antarctic Continent itself. Their objective was Mt. Harmsworth (9,090 ft.), which is the highest point in the Worcester Range, lying to the south of the Skelton Glacier.

The ascent took over 16 hours to accomplish from their base camp. From the summit the view was most spectacular. To the west they could see across the Skelton and Mulock neves to the polar plateau. From the Lashly Mountains to the north, through west to south, there was a magnificent array of named and unnamed peaks. Bluffs, coloured orange and black in the early morning sunlight, rising sheer from a sea of ice, stood in groups far to the horizon. To the south were the twisted and tangled birthplaces of the Ross Ice Shelf - the Mulock and the Barne. To the east, far below them out on the Ross Ice Shelf, was the spot where Scott and his men made their last camp.

Cape Crozier Journey.—Across the sea ice in front of Pram Point, upon which Scott Base is built, a party of three men had wearily pulled a sledge in the winter of 1911. They were Dr Edward Wilson, Lieutenant "Birdie" Bowers, and Apsley Cherry-Garrard, and they were engaged in that famous trip from Cape Evans to Cape Crozier, which has since become widely known as "The Worst Journey in the World".

On 19 March 1957 there set out for Cape Crozier a tractor-drawn sledging party led by Hillary, who planned this journey with the purpose of testing the Ferguson tractors under conditions of low temperatures and soft snow. He was accompanied by Ellis, Bates, and Mulgrew.

Both tractors had been thoroughly overhauled, and had been fitted with canvas canopies to protect the drivers from the searing winds which had become an everyday part of life at Scott Base. Each tractor was towing 3 tons of stores and fuel on two sledges.

Twelve and a half miles were covered the first day, mostly through very soft snow and in bad visibility which made it necessary to send two men ahead on skis to enable the party to hold a consistent course. Though the tractors sank deeply into the soft snow they still made good progress. Later, under more normal conditions, they were able to travel at speeds of up to six miles an hour, and they camped at their destination of the Knoll on the evening of the second day.

Mulgrew had taken a copy of Cherry-Garrard's book "The Worst Journey in the World" with him and, using this as a guide, they commenced a search for the stone igloo erected by Wilson's party. Just when it seemed that they were to be unsuccessful, came the most spectacular discovery of an historical nature to be made in the Antarctic for many years. The remains of the shelter were found only 500 yards south of their own camp. Only 18 in. high, the stone wall still had a ring of green canvas held securely between the rocks.

Inside was a 9-ft. man-hauling sledge. Admiration was expressed at the quality of the workmanship, the tradesman-like lashing, and perfectly preserved leather lashing straps. In a corner were some Emperor penguin carcases and a pick-axe. All the items were in a remarkable state of preservation. Of primary interest was a scientific case belonging to Wilson, containing pencils and preserving fluids. Other material included a thermos flask, and three sealed rolls of unexposed film. Six thermometers were in perfect working condition. Also there were tins of pemmican, tea, a primus stove, a blubber stove, a canvas satchel, and a hurricane lamp.

The four-man party attempted to emulate the feat of Wilson and his companions by climbing down the steep slopes to the sea ice at the foot of Cape Crozier. However, the pressure ridges had changed considerably and the lack of snow drifts forming a possible bridge between the cliffs and the ice prevented them attaining this object.

When the party returned to Scott Base they took with them all the items of historical interest found in the igloo. This return trip of 48 miles was made, apart from one breakdown, in the amazingly good time of 12 hours. One vehicle, when only 9 miles from home, was halted by a block in the fuel system. At a temperature of —46° F., the engineers Bates and Ellis had to resort to the drastic treatment of heating the petrol tank and fuel line with a blow torch before the ice melted and drained off.

This journey gave Hillary every confidence in the ability of the tractors to make long trips in the following spring and summer if required.

Winter Months.—From the time the sun first briefly set in late February 1957 until it disappeared altogether on 14 April for the following four or five months, the days shortened quickly and the temperature became gradually colder. During March almost 600 drums of fuel were restacked so that no absolutely necessary journey would be more than 200 yards from the main base buildings.

There was plenty to do at Scott Base over the winter months, and everyone was kept busy. The dogs had to be fed and looked after, and the sledges, tents, and dog harness had to be repaired for the strenuous time ahead. Those who were to belong to the tractor party had much to occupy themselves with the stripping, overhauling, and modifying of the vehicles plus the designing and building of the "Caboose", a caravan on skis which was designed for radio and living quarters for some of the tractor party. Geologists were busily employed in cutting up their rocks and in writing reports, surveyors pored over masses of computations and emerged with a splendid map of the Skelton area, while the other scientists were kept hard at work. Air Force personnel not only continued flying the Auster during the moonlight portions of the winter months but assisted with other tasks as well. In addition to special tasks there was a great deal of necessary maintenance work around the base itself. Food had to be brought inside from the storage area, snow and ice were required daily for the snow-melter, the generators needed attention, and the pile-up of snow around the doorways of the covered way had to be removed.

The six dog teams were kept in perfect condition by running them through distances of up to 12 miles on moonlight days during the winter.

During the winter months Gawn instituted morse classes for members of the field parties. His course also included the operation and maintenance of radio equipment generally.

Three times weekly for a period of two months, navigation classes were conducted by Miller for all members of the field parties and others who were interested. All relevant topics of astronavigation, map projections, and dead reckoning were covered.

Spring Journeys.—Several spring journeys were undertaken with the objective of giving practice to the men and dogs, and ascertaining how the equipment modified during the winter would stand up to sledging conditions.

Brooke and Gunn, using a Greenland sledge, took a dog team and fourteen days' provisions across McMurdo Sound and ascended the Blue Glacier. They were accompanied as far as the Stranded Moraines by Miller and Carlyon who assisted in carrying their provisions. The Blue Glacier proved to be very rough and icy but the two men persisted in their aim of either proving or disproving the existence of a snow valley reported by Scott's first expedition, but removed from the maps of the second expedition after a visit to the locality.

It was found that there was a snow valley, 15 miles long, narrowing to little more than 1 mile at its upper end. Brooke reported that it was not surprising that the members of Scott's second expedition did not see it as it lies tucked close under the Royal Society Range.

A party with three dog teams attempted to force a way up the Ferrar Glacier but were repulsed by impassable conditions due to the rough going and the icy surface. They then continued geological observations and surveying on the western coast of McMurdo Sound to beyond Gneiss Point. On the return trip a two-day blizzard struck them when 6 miles out on the sea ice from the western shore of McMurdo Sound, and confined them to the tents. A glorious day later enabled them to make a slashing run of 32 miles in under seven hours - a fitting end to almost a fortnight's sledging in which they covered about 175 miles.

Three tractors with Hillary, Bates, Ellis, and Mulgrew also visited the western side of McMurdo Sound. They replenished the depot earlier established near Butter Point, and at the terminus of the Ferrar proved that this route was impracticable for tractors. Moving northwards to Gneiss Point they made a supply depot for use by the Northern party which was to pass along this coast later in the season. The tractor party arrived back at Scott Base after covering 38 miles in just under seven hours on the last day. In the eight days they were away the three modified Ferguson tractors had covered 161 miles without breakdown or mishap. This performance was most encouraging for the southern trip which was scheduled to start three weeks later.

THE JOURNEY TO THE SOUTH POLE.—The main purpose for which the expedition was in Antarctica came closer to fulfilment when on Monday, 14 October 1957, the tractor party set out from Scott Base on its journey to meet Fuchs and the Crossing party. Grim weather had hampered the final preparations and the departure was delayed by an 86-mile-an-hour blizzard.

Four vehicles, three Ferguson tractors, and a Weasel, made up the convoy and they towed seven sledges carrying a payload of 10 tons. Hillary drove the leading tractor, followed by Balham and Mulgrew. Ellis was in charge of the Weasel, which towed the caboose, a caravan which could sleep two persons and also housed the radio and cooking primuses.

The payload included thirty-six 44-gallon drums of gasolene. Everything that a mechanised unit should have to enable it to operate unsupported for over four months was carried. Naturally enough, tools figured prominently on the manifest: from a gas welding plant to a winch, hand tools, jacks, spanners, angle iron, canvas heater, blow torches, fuel pumps and tow ropes; from bridging timbers to spare axles, everything had been planned in detail and loaded according to probable requirements.

After making their laborious way through the difficult pressure ridge area near the camp the tractor team came out on the Ross Ice Shelf, an area the size of France, on which Scott, Shackleton, and Amundsen had pursued their way to the rim of mountains far out of sight to the south and then upwards through the huge glacier highways to the polar plateau. The objective was the Skelton depot at the foot of the Skelton Glacier, 180 miles from Scott Base. The route led in a wide half-circle rather than a straight line. This lengthy detour was necessary to avoid the difficult crevassed area near White Island and Minna Bluff, which lie eastward of the direct path.

Barely 5 miles from camp the tractor team had its first reverse, when one of the sledges carrying twelve drums of fuel broke into a crevasse. Several hours of hard work resulted in the drums being off-loaded and the sledge pulled clear with draglines. In all, only 7 miles were covered that first day. Next day, deep soft snow caused progress to be slowed to 1 mile in two hours, and drastic action became necessary. Eight drums of fuel were unloaded in a dump and the team then pushed forward, camping 23 miles from Scott Base and out of sight from it. Calm sunny days, with the temperature in the -30° F. range made for pleasant travelling and despite a great deal of mechanical trouble with the Weasel they usually managed to cover 30 miles a day. The initial trouble was carburettor icing followed by the fracture of its distributor shaft on 19 November, when the train was about 40 miles from the Skelton depot. The team, however, struggled on to the depot where repairs were carried out.

Claydon and Cranfield had meanwhile flown three sorties in the Beaver aircraft to the depot, but found that the snow surface there was extremely hummocked and dangerous for landing. They had flown in the two dog teams of Miller and Marsh, and also brought in Bates to assist in repairing the Weasel. Inside two days everything was ready to start once more.

This was the crucial part of the journey, for unless a route could be found for the vehicles it augured ill for Fuchs and his party being able to descend this glacier, and another and more suitable route would have had to be explored. From a height of 250 ft. at the Skelton depot, the glacier makes a broad upward sweep to attain a height of 8,200 ft at the polar plateau.

Leaving the depot late on Tuesday afternoon 22 October and travelling over a hard surface, the tractor party covered a distance of 18 miles in four hours. The tractors performed very well on this hard, rough going which was more suitable for them than the soft snow of the ice shelf. Miller and Marsh with their two dog teams lightly laden, had earlier covered the same distance in seven hours, but having no less than thirteen capsizes in the 18 miles. This going did not suit the dog teams as well as the tractors.

While they camped that night the weather changed for the worse and a violent wind and drifting snow blanketed out the splendid view. Next day a blizzard pinned them to their tents. On Thursday, in the face of blinding snow, the parties set out again and covered 20 miles under difficult conditions. Narrow crevasses caused trouble for the dog teams and extreme care had to be taken in negotiating these hazards, which the tractors surged across. The icy slopes were swept clear of snow, and it was only by holding on to either a tractor or a sledge that the tractor party could stand in the teeth of the strong wind. Nineteen and a half miles were covered by the tractor team before they camped under better conditions. Long before this, contact had been lost with the dog teams, which had been forced to camp early.

Ahead of the tractors stretched the steepest portion of the Skelton Glacier, where it rose in two great sweeps appropriately named the Lower and Upper Staircase, separated by a flat area named the Landing. A rise of over 4,000 ft. takes place in a distance of only 6 miles. However, despite misgivings, only on the very steepest portions was it necessary to relay, and the next day the party covered 12 miles before camping at a height of over 3,000 ft. Concern had been felt about the dog party, for the tractors had taken on most of its rations so as to lighten the loads. Hillary decided to wait where they were till the dog teams arrived, and the time was spent in checking over the vehicles, re-tying all the loads, and building snow-cairns. Later that day the dog party climbed up the slope to the tents and camped.

Weather conditions remained bad, but soon inaction became wearing and the decision was made to push on despite poor visibility. The dog teams went ahead and the tractors followed in their footsteps. This was a day of stopping and starting, of tumbling over invisible sastrugi and rough going. However the dogs had performed splendidly, and eventually the parties emerged through the crevasses of the Upper Staircase and on to the enormous expanse of the Skelton Neve at a height of 5,600 ft. above sea-level. Here the two parties separated, with the tractors forging ahead towards the rim of the polar plateau. It had been anticipated that an intermediate depot would have to be established on the neve itself, but the going was so good that this depot was eliminated.

Finally, in the teeth of bitter winds and -30° F. temperatures, the party clambered up the hard sastrugi-roughened slope and came to the Plateau depot at a height of 8,200 ft. They had covered 290 miles from base, and it was now 31 October. However, owing to the wide sweep in a westerly direction, they were only 10 miles nearer to the South Pole than Scott Base. This fact did not cause any undue worry, for there was a general feeling of satisfaction from the surmounting of the greatest difficulty. Ayres and Carlyon, with their dog teams, were at the Plateau depot awaiting the arrival of the party. No conclusive decision was reached on whether the best method was to fly in dog teams from base to the plateau for the start of a long trek while they were fresh and strong, or whether they should be given the opportunity for gradual acclimatization to colder conditions by slow marches in the ascent of the glacier.

Load after load of petrol, oil, dog food, and man rations for the British and the New Zealand parties were flown in by the Beaver. Bad weather interfered with flying operations and delayed the departure, while minor accidents led to changes in the party. Mulgrew had been working on a tractor in a storm when a very strong gust blew him off the vehicle and he landed on a towing-bar, cracking a rib. Ellis strained his back while lifting a heavy weight. Both these men were flown back to Scott Base to recuperate, while they were replaced by Gawn and Wright. Balham returned to base to continue his biological studies. Hillary spent a few days at base before flying back to the Plateau depot.

Miller and Marsh having reached the Plateau depot and enjoyed a brief rest, all four dog teams pushed off into unknown country on 8 November. Initially they headed north-west to avoid the disturbed terrain, and they approached Scott's Western Journey route of 1902. At this high altitude, even with light loads on the sledges, progress was laboriously slow in heavy soft snow.

By the evening of 12 November Hillary had returned to the depot and the tractors moved off again. They were five days ahead of the original schedule, although later than had been anticipated after the quick run up the Skelton glacier. The sledges carried a load of 11 tons, and when the tractors were hitched on they could hardly move. After a few miles the vehicles bogged down on a slightly steeper slope, and there was nothing to do but relay. Under the soft snow conditions the Weasel had come into its own and was pulling almost as much as the three tractors combined. For a short time it appeared as if the journey were coming to an end with the difficulties experienced in vehicular movement. However, when they swung in a south-westerly direction the going improved in a surprising manner and the tractors forged ahead once more. Constant westerly winds blowing over the high plateau rim caused long stretches of hard sastrugi and made travelling most unpleasant. With firmer surfaces, daily travelling increased to 30 miles.

A week after leaving Plateau depot the tractors overhauled the dog teams and then took the lead. A few days later the tractors encountered a very badly crevassed area, and had to move westward to find a safe route. On 25 November they reached an area suitable for aircraft to land and, as they were about 210 miles from the Plateau depot, they decided to set up Depot 480 there. Three days later the dog teams arrived. Tractors were checked and sledges repaired after the gruelling time on the rough plateau surfaces. Ayres and Carlyon moved eastward from this depot to carry out exploration and mapping in the Darwin Glacier area. Miller and Marsh pushed on southwards after a halt of two days. At the foot of the Darwin Glacier an air staging depot had been set up earlier, and supplies ferried in to await the teams at Depot 480. This arrangement cut down the tractor party's time at the depot, due to a quicker aircraft turnround, with increased payloads over shorter distances.

The stocking of Depot 480 with large quantities of food and fuel was hampered by bad weather; no flying was possible in the first three days of the time allowed for this work. When the weather did clear the Beaver was flying continuously until the task was completed and flying personnel were practically worn out by working round the clock.

Ellis and Mulgrew, now recovered, rejoined the tractor party, and Mackenzie, the expedition's official correspondent, also joined them. Gawn returned to Scott Base once more to take over the vital duties of radio officer.

Six days after the southern dog teams left the depot they had covered 100 miles and Miller was able to report back that there was only one crevassed area, which had a depth of about 5 miles.

Leaving the depot on 6 December, Hillary and his party, consisting of Ellis, Mulgrew, Bates, Wright, and McKenzie, made a total distance of 93 miles in two days. The first night they did a magnificent 53 miles. More than 15 hours were spent on the trail to make the best use of blue skies and little or no wind. When the men emerged from their sleeping bags next evening the weather was still glorious, and 40 miles were clocked off, again under brilliantly fine conditions. The plateau was still about 8,000 ft. above sea-level, with constant long undulations of several hundred feet. Temperatures continued about 20 degrees below zero. Travel was made at night for the convenience of reading the sun compass while facing into the southerly sun. However, the effort was a great strain on the Weasel, which was again in mechanical difficulties. Another depot, known as Midway depot was set up with six drums of fuel, 130 miles out of Depot 480. Crevasses were encountered without any warning the following day, when a sledge abruptly broke through the crust. Carrying all the party's food and tents, the sledge canted over at an angle of 45 degrees and sank to half the height of its load. The tractor train, being linked by ropes between all vehicles and sledges, at once stopped. The run of the narrow crevasse was determined and the sledge was pulled out again, after a little trouble, by two tractors. Two hundred yards further on another sledge went through. Hillary and some of the men roped up and went ahead on foot, probing for crevasses and marking a route. It took eight and a half hours to cover 3 miles.

After a determined effort to repair the Weasel it was finally abandoned, and the three tractors pulled all the loads. Deep snow in the hollows of the undulations caused them to resort to relaying, and the hard surfaces of the ridges were often crevassed.

With 58 miles to go before reaching Depot 700 the tractor party hopefully broke camp on Thursday evening, 12 December. But the run made - the poorest of the whole journey - was only slightly more than 17 miles. This still left the depot within striking distance on the Friday night march, if the surface was reasonable. However, with about 10 miles to go, crevasses were reached and Hillary ordered camp.

The day was now well into Saturday, and the start was fixed for 5 a.m. Sunday. The camp rose at 3 a.m. When 2 miles had been covered, the leading tractor lurched wildly and sank back heavily into a crevasse it had just failed to straddle. Its peaked tow bar pointed upwards at 70 degrees like some ludicrous anti-aircraft weapon. A passage was found for the other two tractors which crossed over, and, after much snow had been shovelled away, they pulled their companion tractor out. A few hours later the whole tractor train trundled down the last slope to the black tents and the dog lines of Depot 700. The party had covered the 220 miles from Depot 480 in nine days.

Leaving Depot 480 six days ahead of the tractor party, Miller and Marsh with their two dog teams had reached the site of Depot 700 two days ahead of the others. Over the distance they had averaged just under 18 miles a day - a splendid performance considering the altitude.

Once again the R.N.Z.A.F. party had a strenuous time flying in supplies to this major depot. This time a staging post was set up at the foot of the Shackleton Inlet. After flying continuously, the Beaver made the last flight on 20 December and the depot was completed. The New Zealand party had now completed all that had been asked of them in the way of depots, in their task of supporting the Trans-Antarctic Expedition. In fact, it had earlier been envisaged that the final depot would have been at Mt. Albert Markham, near where Depot 480 had been established.

As Fuchs had encountered difficult terrain and adverse weather conditions on the first portion of his journey across the Antarctic continent, it was realised that it would be several weeks before his party could reach Depot 700. Naturally the New Zealanders would not wish to wait idly in the desolate conditions at Depot 700 for such a long time. The question of still further extension of New Zealand's participation had been raised a few weeks earlier, and an indication was given to Hillary that the Ross Sea Committee would raise no objection provided that such an extension could be undertaken within his existing resources of men, food, fuel, and transport, and that Fuchs and the London Committee were in agreement. When they were approached, the London Committee raise no objection provided the objective of the expedition was not in jeopardy.

Hillary was then 500 miles from the South Pole, and he had managed to accumulate 20 drums of fuel - the bare minimum for such a journey with three tractors. He considered he could do a useful job establishing the route through the crevasse areas which were thought to lie ahead, and thus make progress easier for Fuchs once the latter reached this region. He decided to push ahead. Four men accompanied him on this stage of his journey, Bates, Ellis, Mulgrew, and Wright. They broke camp on 20 December and at first headed south and west to avoid bad going. Loads had been drastically reduced and they were towing only 6 tons behind their three tractors. Two areas of crevasses were encountered inside the first 60 miles, and these were marked with snow cairns. The party then turned south and for the next six days they drove for long hours and averaged over 40 miles a day. Christmas Day was spent charging and checking their tractors.

By 26 December, when they were 325 miles from the Pole, surface conditions had improved and they were travelling over a large featureless snow plain at an altitude of 9,450 ft. Next day colder weather and a high altitude brought only satisfactory progress in soft snow of the consistency of sugar. A fresh breeze and - 12° F. temperature added to the unpleasant conditions. Early on the morning of 28 December the point of no return was reached, 250 miles out from Depot 700. Despite a white-out and deep snow, 41 miles had been run the previous night, and the altitude was then over 10,000 ft. Difficulty was experienced in getting the tractors out of second gear.

By 29 December, the party were less than 200 miles from the Pole and the previous night's run was 44 miles. The terrain continued to rise gradually and the altitude was then 10,400 ft. A persistent steady climb brought them to 11,000 ft. the next evening. Temperatures had dropped and the vehicles were labouring in deep soft snow, and petrol consumption had risen alarmingly. On New Year's Eve it took six hours to cover 6 miles, and at this rate of progress the party would have run out of fuel long before reaching the Pole. Everything possible - sledges, food, kerosene, and tractor spares - was off-loaded into a depot, leaving the party to continue without reserves but with their minimum requirements.

On 2 January they were still some 70 miles from their destination and had exactly 180 gallons of fuel left for the three tractors. Hillary decided to make a non-stop run for the Pole. For the next 20 hours they drove steadily onwards to cover 60 miles. Every six hours the position was checked with bubble sextant, as it was imperative to be exactly right and not to overshoot the American camp at the Pole.

Finally they came on some black radar reflection flags and camped 12 miles from the United States station. They pushed on next morning and at midday, on 4 January 1958, they arrived at the South Pole to receive a wonderful ovation from the Americans there. The three farm tractors and the five men had covered a weary 1,200 miles - the longest land journey ever made to the Pole -and the first ever made by vehicles. It was a close call, for only 20 gallons of fuel were left when their destination was reached. Amundsen in December 1911, and Scott in January 1912, were their only predecessors by land, for the United States camp had been established, stocked and maintained purely by aircraft. Word of the achievement was flashed to the waiting world and congratulations began to pour in.

After a brief stay, Hillary and three other members of his party left by air for Scott Base where Hillary resumed command and was busily engaged in making arrangements for the various parties still in the field. Meanwhile Mulgrew remained at the Pole Station with a New Zealand radio set specially designed for Antarctic conditions. His task was to act as a relay station between Fuchs and Scott Base.

Hillary flew back to the South Pole in time to greet Fuchs on his arrival there on 20 January and then returned to Scott Base.

When Fuchs and his party reached Depot 700, Hillary was flown in on 9 February to guide him over the remainder of the journey to Scott Base. The New Zealander's local knowledge of conditions and of the crevassed areas was of great value in speeding up the latter portion of the long trek across the Continent. For the first two days after leaving Depot 700, 52 and 53 miles respectively were covered.

After delays caused through necessary repairs to some of the Snow-cats, a run of 63 miles brought the party to Depot 480 on 17 February. By this time the weather was seriously deteriorating and they had to devise special methods of moving under white-out conditions. On 21 February the Crossing party saw the first mountains they had encountered since leaving the Which away Nunataks, 1,500 miles away. By 23 February they were at the Plateau depot, ready to begin the run down the Skelton Glacier to the Ross Ice Shelf.

On the descent, the assistance of Hillary became invaluable, for his knowledge of the area enabled the party to skirt the crevassed areas without any delay. Winding their way unhesitatingly to and fro across the glacier, sometimes close under a rocky spur, sometimes far out on the undulating surface, they descended steadily for 52 miles in one day.

Travel on the Ross Ice Shelf, as expected, proved comparatively easy for the Snow-cats, and soon they could see many of the famous landmarks made familiar through their reading of the accounts of Scott and Shackleton.

Finally, at 1.50 p.m., on 2 March 1958, the long journey of 2,200 miles drew to a successful conclusion when the Crossing party reached Scott Base and received the warmest possible welcome. Their task had been successfully completed, and it was soon to be climaxed by the news that Her Majesty the Queen had conferred a knighthood on Dr Fuchs in recognition of the splendid achievement of his party in accomplishing the first land crossing of Antarctica.

Two New Zealanders had been among the party at Shackleton Base. Lowe, Hillary's companion on Everest, accompanied the party across the continent, while Flying Officer Haslop, after flying operations at Shackleton were completed, was one of the party of four men to make the first flight in a single-engined aeroplane across Antarctica.

The main portion of the New Zealand Party of the Trans-Antarctic Expedition left for New New Zealand in the Endeavour on 5 March 1958.

SOUTHERN SURVEY JOURNEY.—On 19 December the two teams of nine dogs each under Miller and Marsh set off from Depot 700 on a mapping and exploring mission to the south-east. From Depot 700 onwards they had to transport all their own food and equipment as well as food for the 18 dogs.

After four days' travel and two days confined to the tent through blizzard, they established their own depot on Christmas Day, naming this Christmas depot. Also on Christmas Day, they first came in sight of two entirely new mountain ranges, one immediately ahead appearing to run south-westward from Mt. Markham which had been visible for some days to the north-east, and the second an even nearer one, running parallel to and 30 miles westward of the other range.

Mapping of this mountain area began on Boxing Day, and on 27 December a camp was made at the southern end of the more westward range. The following three days were spent in occupying two survey stations on this range at heights of 9,000 to 10,000 ft., the second one necessitating a 15-hour trudge of 27 miles. The glacier between the two ranges was too crevassed to allow dogs to be taken along the range. On New Year's Day a 25-mile journey was made across the great unnamed glacier between the two ranges, crossing on the way a large crevassed area which was found to run right down the centre of the glacier. Camp that evening was made at the entrance of what is to be called "New Year Pass". This had been observed from the survey stations on the more westerly range, and it was hoped that this would give access into the very heart of the Queen Alexandra Mountains. This proved to be the case, for on the following two days, the two teams sledged onwards and performing magnificently, climbed to a height of 10,000 ft., to make camp on 2 January on a col to be named "January Col". From there it was possible to look at the eastern face of Mt. Markham and the range running south from it, and to view the western face of the mountain range bordering the Ross Ice Shelf.

During 3 and 4 January two ascents were made of the 11,000 ft. Col Peak, from which it was possible, for the first time, to appreciate the complex glacier drainage of the whole area. The vista was inspiring. The great rocky ramparts of the Queen Alexandra Mountains, formerly thought to be one range but now definitely established as five distinct chains, reared up to 15,000 ft. The men could see small glaciers grinding down the gaunt mountain faces to mingle with the vast glacier system below. Away to the north they could see the towering peak of Mt. Markham, whose height they confirmed at 15,200 ft - the highest confirmed mountain in the Antarctic. Through breaks in the mountains they looked out on the great expanse of the southern edge of the Ross Ice Shelf far below them.

The following week was spent at an altitude of above 10,000 ft., travelling southward in the heart of the mountains. Daily survey stations were occupied to complete the picture of all the country west of the Beardmore Glacier, which was the route of Shackleton and Scott to the polar plateau. From the more southerly stations, on 8 and 9 January, views were obtained of the distant peaks of the Marshall Mountains and Mt. Darwin at the head of the Beardmore Glacier.

At this time the small party were at the extremity of their range, being now 350 miles from the South Pole, and a little over 900 sledge miles from Scott Base.

Some days earlier a request for further fuel at Depot 700 had been received from Fuchs. Plans were being made at Scott Base for this to be flown in by the Beaver and Otter aircraft. To do this it was necessary to have a ground party at the depot to establish a homing beacon for the aeroplanes. The only party which could possibly do this was the Southern Survey party, and the date set for arrival at Depot 700 was 16 January, thus the concluding days of survey work by Miller and Marsh were coupled with quick westward travel through the southern extensions of the new ranges, to Christmas depot on 12 January, and to Depot 700, reached with a day in hand on 15 January. Throughout this week, travelling was done in anything but favourable conditions. One complete day was lost in blizzard, and for several days sledging was pursued in strong south-easterly winds with drifting snow obscuring the vision - to such an extent that the 10 ft. snow cairn marking Christmas depot was not visible until the men were within a few hundred yards.

A glorious day on 16 January enabled the two aeroplanes to fly in, bringing the first new faces for 30 days and welcome mail. The weather immediately deteriorated and the long trek back towards Scott Base was begun on 17 January by Miller and Marsh in complete "white-out". However, good progress was maintained and Midway depot was reached in four days. On this section the outgoing tracks of the tractor party and the outgoing dog tracks were plainly visible although no attempt was made to follow them too closely. On the outgoing journey a snow cairn had been built at each over-night camp site. With only one exception all of these were picked up on the return journey. Just north of Midway depot a severe blizzard was encountered, pinning the party down for four days, but further favourable weather and long marches brought the party to Depot 480 on 30 January.

Routes of Survey Parties and Areas Surveyed.

Area A—Northern Survey (party flown out from Skelton Depot).

Area B—Darwin Glacier Survey (party flown to Plateau Depot and flown out from Darwin Glacier).

Area C—Southern Survey (party flown in to Skelton Depot).

The dog teams were now in the habit of travelling up to 22 to 27 miles per day, and when, on 9 February, the Plateau depot was reached, the previous 30 days' sledging which included five lie-up days, had seen 620 miles covered.

This stage of the season was bringing less favourable weather for sledging. The persistent south-westerly winds and the lower temperatures of early February were reminiscent of the outward journey over this same section between the Plateau depot and Depot 480 in November, when temperatures as low as —42° F. were experienced. Many of the days over this section were such that it might have been wiser not to have travelled at all, so severe were the blizzard conditions and so poor the visibility. The only saving feature was that winds were now at their backs.

Shocking snow conditions were met in the vicinity of Plateau depot and in the Skelton Neve, but improving weather and almost oppressively high temperatures saw the party down the Skelton Glacier and to the Skelton depot on 14 February.

By now the party was again at sea-level after having spent 110 days at altitudes above 8,000 ft. Dog teams had never before been called upon to function at such altitudes for so long a period, but perfect acclimatization and the excellence of the dog pemmican made in New Zealand enabled them to set a record which would be difficult to exceed.

To complete the 1,670 mile journey there now remained the 180 miles, across the Ross Ice Shelf to Scott Base. Fresh snow falls on 16 and 17 February and poor visibility for several days made progress more difficult. Once Minna Bluff was rounded and Ross Island in sight there was no stopping the teams and Scott Base was reached on 23 February, thus completing one of the longest trips with dog-sledge ever made.

The credit side of this journey will show new maps of an area of 15,000 square miles, covering the previously unknown region to the west of the Beardmore Glacier. In addition a geological collection was made in the course of the survey and 40 lb. of specimens, together with the notes and diagrams of their place of origin, will enable the professional geologists of the expedition to obtain a comprehensive geological picture of this same region.

DARWIN GLACIER JOURNEY.—As it was planned that Ayres and Carlyon with their dog teams would do survey work and exploration from Depot 480 in the unknown Darwin Glacier region, flights over the area were arranged for both men.

They planned to travel east to a prominent feature, known as Westhaven Nunatak, where the aircraft made a depot of rations. From here the plan was to take 20 days' supplies and travel north, surveying the mountain range there, return to the depot, pick up supplies for 15 to 20 days and survey the range to the south. Back at the depot they would restock with enough food to take them down the Darwin Glacier to the R.N.Z.A.F. staging depot at the foot and from there be flown back to Scott Base. This emergence from the polar plateau via the Darwin Glacier would have several advantages. It would save valuable time by obviating the necessity of trudging back 225 miles at a high altitude over ground already covered; it would be easier on the dog teams, and if successful would prove an entirely new route down from the polar plateau. At that time only three routes had been pioneered between the Ross Ice Shelf and the polar plateau. These were via the Beardmore, Axel Heiberg, and Skelton Glaciers.

Air reconnaissance having proved promising, Ayres and Carlyon left Depot 480 on the morning of 7 December, heading due eastwards. After eight days of rest at the depot the dogs were fit and fresh and despite the rough going earlier in the day accomplished a very creditable total of almost 20 miles before camp was made. Next day nearly 22 miles were covered and the perfect weather continued. Westhaven Nunatak and Mt. McClintock in the Britannia Range being in sight, navigation provided no problems. They completed the distance of 76 miles to the Westhaven Nunatak in three and a half days, arriving there on 10 December.

Their plan to climb Westhaven Nunatak and set up a survey station next morning was frustrated by high cloud and overcast conditions, but they set off on ski to collect rock samples from an 8,000-ft. ridge. On 12 December they climbed Westhaven Nunatak, 8,300 ft. high, and spent five hours surveying from the summit.

Overcast skies and fog kept them at the depot next morning and in the afternoon they left unessential gear at camp and repacked their sledges preparatory to setting off northwards.

The day was cloudy when they set off for the Britannia Range on 14 December and the run of 18 miles was uneventful.

Next day, Ayres was leading and they picked their way through rough crevassed ice and seemed almost clear of all trouble when they stopped for cocoa and a slab of chocolate at 1 p.m. After lunch they set off again, each moving on skis beside his sledge. Ayres' team reached a crevasse which gave no indication whatever of its presence until the team stopped and a dog went through. Ayres went up to the team and the ground commenced to collapse slowly; he had just time to extricate himself before all the dogs and the sledge went plummeting downwards.

The two men investigated the long hole in the surface, and saw the sledge jammed about 10 ft. from the surface. There was no sign of the dogs save for an occasional whimper from the blue depths. The sledge itself weighed about 700 lb. and there was 750 lb. of dog hanging below it. A steel dog span from Carlyon's sledge was anchored by dead-men and Ayres was lowered down the crevasse on a rope and attached the steel rope to the sledge, thus ensuring that it and the dogs suspended from it would not fall any further down the crevasse.

They then concentrated on getting the dogs to the surface. It was soon ascertained that one dog had fallen from the trace and was dead at the bottom. The two men took turns being lowered down the crevasse, finally having to go down 70 ft. to the bottom to retrieve the two remaining dogs and some of the items which had fallen off the sledge. Then they concentrated on getting the supplies off the sledge and after they had retrieved their camping gear left the remainder of the task until the morning. Finally the sledge itself was brought to the surface. Fortunately no irreparable damage was done to the sledge or its contents, and the worst feature of the accident was the loss of the dog. Had it been a wide crevasse the sledge would have gone to the bottom, probably wrecking it completely and killing most of the dogs.

On 17 December Ayres and Carlyon discovered a new mountain 8,500 ft. high, and also a new long ridge running across the Mulock Glacier. The mountain had an interesting geological structure of alternate layers of red, brown and grey rock. Next morning they climbed this peak, and from the summit could see many new mountains. They established a survey station on top and spent four and a half hours taking a round of angles and photographs.

After making a survey station on an unnamed rock peak, 8,500 ft. high, on 22 December, they climbed Mt. Longhurst, 9,200 ft. high, the following day, and surveyed from its summit. With base line observations from several points, this completed the survey of the area between the Mulock and Darwin Glaciers. They found that most of the mapped features were several miles out of position, which was understandable as they were surveyed from 30 to 40 miles out on the Ross Ice Shelf by Scott's expedition, in 1901–4.

Christmas Day was celebrated by a special meal and on Boxing Day they commenced the move back to Westhaven depot. A skua gull flew round them that day while they were travelling at a height of 7,000 ft. above sea level. For the first two days they made the remarkable run - considering they were on the polar plateau - of 52 miles. By 28 December they were back at the depot, where they reorganized their loads and set off for the south two days later. As the weather by this time was starting to deteriorate they could not make as good time as was hoped. Five and a half days were spent waiting for the weather to clear, to enable a survey station to be set up on one peak. Mt. Henderson, 9,120 ft. high, was climbed on 8 January and this proved to be their most extensive survey station. The view from the top was outstanding, extending over the upper half of the glacier which flows into Barne Inlet and far to the southward. An unnamed peak on the edge of the glacier was climbed two days later and this completed the survey of the Darwin and Barne areas.

Turning northwards, they were back at Westhaven depot again on 12 January where they rested until being joined on 14 January by Cranfield and Bucknell, who had come out to join them on the journey down the Darwin Glacier. Ayres and Carlyon received mail for the first time in five weeks, but they had been in contact with Scott Base twice weekly so were not completely out of touch with the outside world.

They set off down the Darwin Glacier on 16 January. On the first day's run they dropped 700 ft. and covered 21 miles. Several tricky patches had to be negotiated next day but when they camped 23 miles were behind them, a drop of 1,700 ft. had been made, and the solution of several of their problems seen from the air had been safely accomplished. A strong wind, gusting up to 50 miles an hour, pinned them to their tents the following day. Their camp was pitched in a bad area, and three crevasses lay between the two tents. On 19 January they moved on in a strong wind and low drift, and crevassing gave them some anxious moments for a start. However, they ran out of trouble and the weather became fine, so that by camping time they had covered almost 25 miles and dropped a further 2,000 ft.

Morning brought new problems, for the glacier became constricted into a narrow flow and crevasses 15 ft. wide could not be by-passed but had to be crossed. These crevasses were poorly covered with sunken snow bridges, and one collapsed just after the second sledge had crossed it. When this area had been negotiated the party came to rough hard ice and numerous thaw stream channels.

Fog hampered them on their final day, and the thaw pools were covered with a thin layer of ice through which they broke three times. After reaching the mouth of the glacier and proceeding 4 miles out on the Ross Ice Shelf they camped for a few hours before finishing the journey to the Darwin depot. This completed their sledging, which had added approximately 10,000 miles of new territory to the map and pioneered the fourth route between the Ross Ice Shelf and the polar plateau.

On a clear fine day on 22 January the aeroplane made two journeys to transport the four men back to Scott Base.

NORTHERN SURVEY JOURNEY.–The Northern Survey party, operating in the mountains of Victoria Land, possibly achieved a greater amount of topographical and geological survey than any other similar unit in Antarctica to date. This party was under the leadership of Brooke as surveyor, and consisted of geologists Gunn and Warren, and guide Douglas.

They left Scott Base on their long journey on Friday, 4 October 1957, and were away from base for 126 days, or just over four months.

Their object was to survey and geologize an area as large as possible without leaving any major blanks and to complete the journey at the Skelton area in time to finish the survey of that region begun the previous summer. They planned to go north along the coast of Victoria Land penetrating into the valleys en route, then find their way up some suitable glacier to the plateau and travel south along the plateau edge to the Skelton. The depots were to be supplied by air, and they had to know which glacier they would ascend before they started the journey, especially as they had the lowest priority on the use of the aircraft. Therefore several flights were made northwards in the autumn and spring to reconnoitre the various glaciers, but unfortunately cloud prevented a clear decision until the day before the party set out. The Mackay Glacier was chosen as the route. After hurried reorganization that evening they left on a windy murky day with temperatures down to –30° F. This was the coldest day they experienced on the trip, for the weather was incredibly kind to them. After that day it never dropped to below –10° F., and at times their major problem was avoiding the heat. By the end of October, it was too hot for the dogs to sledge near the coast in the daytime, and even on the plateau edge in December and January they often had to sledge early in the morning to avoid the heat. In the first two and a half months of their journey, there were only two days on which they had to lie up in their tents because of bad weather, although the days were not always good for surveying. For the last seven weeks the weather became progressively more unsettled, with increasing cloud and snowfall and during this time they had to lie up for another nine days.

Their journey first took them across McMurdo Sound where, three days after setting out and over 60 miles from base, they picked up at Gneiss Point the supplies left for them by the spring tractor party.

A survey station was set up on Mt. Newall, 7,000 ft. high, and then surveying and geology were done from a camp at Cape Roberts. Here a most interesting find was made of a cache of clothing, a blubber stove, and personal effects left by a party which had worked in this area from Scott's 1910–13 Expedition. Supplies were flown in to this forward base, and then the party went northwards along the coast, exploring, surveying and geologizing for the rest of October in the area of Granite Harbour, Tripp Island, Cape Ross, Gregory Island, and Mawson Glacier before returning to the depot at Cape Roberts. Frequently the party split into two units in order to give a wider coverage.

During November they worked in the Debenham Glacier, Dry Valley, Miller Glacier, Mackay Glacier and Fry Glacier area and up to the polar plateau.

Early in December they received a supply of food by air which made them quite independent for the rest of their journey. They worked north and east as far as they could in the time, and returned to the depot by the middle of the month. Then they went south, on the plateau, carrying out their work as they went towards the Skelton Glacier area. On 20 January when they were out of the interesting geological area, Douglas and Warren flew out to Scott Base and joined a United States vessel bound for New Zealand.

Brooke and Gunn then surveyed the country west of Mt. Lister, which almost completed the survey work. The next objective was an ascent of Mt. Huggins, the highest peak of the Royal Society Range, which had majestically watched over all the parties struggling up or down the Skelton Glacier. The peak was fine enough to justify the climb for its own sake, but Brooke also wanted to take photographs from the summit to ascertain the elusive Koettlitz–Skelton watershed between Mt. Kempe and Mt. Cocks. In climbing this 12,100-ft. peak they carried out the best piece of mountaineering so far recorded in Antarctica. (Although Mt. Erebus, 13,350 ft. high, had already twice been climbed, this was technically of little challenge to mountaineers.) A bivouac camp was put in at a height of 8,000 ft., at the head of the trench-like glacier on the north face of Mt. Huggins. From this camp they faced a steep climb over broken ice face with powder snow 1 ft. deep which gave them extremely hard work. On the last section on the north rock ridge they had to surmount, at the end, an overhanging cornice. From the summit there was a superb view of the peaks to the north.

Back at the lower level they were snow-bound for several days, and then sledged back to Twin Rocks where Brooke found that there had been an accumulation of 5 ft. of snow since his visit a year before. They sledged down the Skelton Glacier to the depot. Looking at the monotony of the Ross Ice Shelf in comparison with the fine scenery during their journey, they decided to fly back to Scott Base, which was reached on 6 February completing a remarkably successful trip.

The survey work done by this party was quite different from that usually done in Antarctic regions by sledge teams. Most parties had made extensive use of sledge wheel and compass traverses. The Norwegian-British-Swedish Expedition at Maudheim went to the other extreme and did an elaborate triangulation. Brooke's party was somewhat in between. They used a theodolite with a calibrated camera mounted on top to record the detail. There were three main reasons for this. Firstly, Brooke did not have a sledge wheel until reaching the plateau. Second, almost all their sledging was done in country where they had to follow the lie of the land and not a compass course. Third, almost all of the coastal country from the Skelton to Mawson Glaciers was composed of comparatively narrow valleys with steep rocky dividing ridges, and from the valleys where a sledge could go they could see very little; thus they were forced to do most of their surveying from the peaks. Twenty-nine mountain-top survey stations were set up and only 16 at the camp sites.

Until they reached the plateau their work was much more akin to mountain surveying than it was to polar surveying. Once the plateau was reached they had much more open country to work in, but they continued to use the same methods, as they wished not only to survey the plateau aspect of the mountains, but to obtain views of the other rather inaccessible country on their eastern flanks. One great advantage of surveying from mountain tops, even when only fixed by sun sights, was that soon a rough and ready triangulation was built up, and the whole area could be plotted far more rigidly than would be possible with sun sights alone.

Up till the arrival of the party at Mt. Suess about the middle of November, the geology exploration had been rather dull, with a great deal of granite and little else revealed, but the party then discovered fossils, which were thenceforth found in plenty. Also early in December a fairly extensive low-grade coal field was discovered. It was seen first from the air and later the two geologists sledged in to it. Fossil leaves and tree stems 2 ft. in diameter were found in the semi bituminous coal. Similar coal deposits had been found by earlier expeditions in the Beardmore Glacier region far to the south.

The Mawson Glacier outcrops were in a bare snow-free hillside. Above the coal seam the hills rise another 1,800 ft. The coal was embedded in the steep hill which was of compact sandstone. No estimate was possible of the depth of the seams, which could only be ascertained by drilling.

GENERAL

Air Support.–The Royal New Zealand Air Force supplied a plane, two pilots and one flight-mechanic, augmented by summer party personnel, to give air support to the expedition. This flight was established in May 1956, with one R.N.Z.A.F. Auster capable of being operated on wheels, floats, or skis; and one Beaver provided by the Ross Sea Committee, capable of being operated on wheels or skis.

Training and preparation took place in New Zealand where the aeroplanes were assembled, tested, and modified in order that they could carry out the important and varied tasks allotted them. Unfortunately, the Auster was extensively damaged during a landing mishap on the Tasman Glacier when a new type of wheel/ski combination was being tested. However, permanent repairs were soon carried out, and the two aeroplanes and the flight went south on the Endeavour.

On arrival at the ice edge, the Beaver was uncrated and assembled and had its first Antarctic test flight on 15 January 1957. From then onwards the Beaver commenced its many duties of long-range reconnaissance, air supply, liaison, and photographic survey.

Unfortunately, the Auster had again been damaged at Lyttelton on the way to the Antarctic, and it was not operational until 28 January, after spares had been received from New Zealand.

During the summer programme both planes flew in support of the field parties, carried out aerial reconnaissance, stocked Skelton depot and partly stocked the Plateau depot, and also carried out an aerial photographic survey.

The first season the Beaver was flown for 145 hours, representing upwards of 17,500 miles, before being placed in storage for the winter.

Throughout the winter, except for the month of June, when it was completely drifted over by a severe blizzard, the Auster continued to fly. This winter flying programme proved most valuable, as ice reconnaissance, biological study of seal and penguin counting, and temperature measurements at various altitudes were carried out, as well as experience being gained in the operation of aircraft under sub-zero conditions.

In all, during the first year, 120 hours were flown in the Auster, being almost equally divided between summer and winter seasons. This represented approximately 12,000 miles of travel.

With the return of the sun and the rise in temperature, the Beaver was re-assembled and the main task of flying out the field parties, depot laying, and supporting the field parties was begun. The Auster was used mainly for minor tasks and flew for only 34 hours, covering 3,400 miles during the second season. This was contrasted by the Beaver's performance in flying 266 hours, representing a total of 31,300 miles.

While in the Antarctic the flying commitments had been greatly increased over the total envisaged when plans were first made in New Zealand. In order to cope with the extra work and to hasten the periodic servicings, extra R.N.Z.A.F. tradesmen were flown down.

Plateau temperatures were down to –40° F. for the stocking of the Plateau depot. For the stocking of Depot 480 a relaying or staging depot was established at the foot of the Darwin Glacier. Two men were flown out to establish this staging post complete with two tents, communications equipment, and supplies sufficient for several weeks. This arrangement served to reduce the field parties' waiting periods once they reached Depot 480, owing to a quicker aircraft turn round with increased payload over shorter distances.

A similar plan was employed for the stocking of Depot 700, with the relaying depot being set up near the foot of the Nimrod Glacier.

With the stocking of Depot 700 completed, the major commitment of the aircraft was over, and they were diverted to carry out secondary tasks, such as aerial photography and extra flights to the field parties.

The flying programme came to an end when, in January and February, the field parties were flown back to base. Finally, when the Crossing party was within reach of Scott Base and was in no danger of requiring air rescue, the aircraft were free to be dismantled and placed in storage.

Great credit is due to the planning of the Royal New Zealand Air Force for the way in which the Antarctic Flight performed. In the Antarctic, Claydon and Cranfield did a magnificent job in flying the planes, and Tarr worked untiringly and efficiently in keeping the planes airworthy for the maximum possible time. Without their efforts, routes could not have been reconnoitred so efficiently, nor could the depots have been laid. The first landing of the Beaver aircraft at a height of 8,000 ft. on the polar plateau in particular was a most significant achievement, for it ensured that all the high altitude depots could be stocked by air.

Field Rations.–A very generous ration scale was worked out for the men, but instead of the cooked meals of a high standard provided by Bucknell at Scott Base, the field parties had to live on a spartan diet.

Pemmican, a highly concentrated food, was the principal item, and provided an astonishing amount of energy for little weight or bulk. The main ingredients were dried meat, fat, and a carbohydrate. Rations were packed in containers each holding 43 lb. of food in which there was little or no moisture content. In addition to the pemmican there was chocolate, cocoa, potato powder, rolled oats, marching biscuits, sugar, dried onion, bacon, dried milk, butter, raisins, tea, soup powder, salt, curry powder, lemon or lemon barley crystals, and sweets. Each ration box was designed to last two men for ten days. Similar boxes were used in stocking depots.

Health of the Party.–The health of the party was in general excellent. Colds, particularly following the arrival of new parties by air from New Zealand, were the only sickness, apart from one case of diphtheria. Mulgrew and Ellis received injuries at the Plateau Depot during the second summer, otherwise the party was remarkably free of accidental injuries.

Philatelic.–A special set of four stamps - the first to be issued for the Ross Dependency - was placed on sale on 11 January 1957. This was the date of the opening of Scott Base Post Office. Worldwide interest was taken in these stamps and approximately 100,000 first-day covers were sent down by philatelists for cancelling. The bulk of the covers were designed by the Ross Sea Committee and were sold to augment its funds.

The next summer, another cover produced by the Committee depicted the meeting of the two parties and over 120,000 covers had to be stamped at Scott Base.

Publicity from Scott Base.–In both summer seasons a qualified journalist was sent south by the Ross Sea Committee to provide press coverage of events. In the winter months, the task of sending out press and radio publicity was ably handled by Miller.

A radio commentator was sent to Scott Base the second season to handle broadcasting and tape recording.

Wright of the National Film Unit was a member of both summer parties, and after his return each autumn an excellent documentary film covering the season's activity was produced, while McIntyre, a New Zealand artist, spent some weeks of the summer painting pictures of the Antarctic.

Biological Work.–Much biological work was carried out by Dr R. Balham. Fishing was done through ice holes - one at Pram Point pressure ice which was 4 fathoms deep and the second through a seal hole at Cape Armitage which was 70 fathoms deep. Both were kept going from January to May, and they were opened up again from December to February. Plankton trawls plus fishing with traps and line and bottom sampling were carried out. Some of the dominant invertebrates found included sponges, corals, star fish, sea spiders, marine worms, crustaceans, and small fish.

The Weddell seal population in the pressure ice and barrier ice opposite Pram Point was studied. Checks were made on population and with that in view a long term branding programme was instigated the first summer by branding with a hot iron some 70 or 80 adult seals. The following summer this was continued on a smaller scale, and the young of the year were also branded.

In the time available, studies were made on the behaviour of newly-born seals in the nursery group at Pram Point.

During the early spring, a trip was made to Cape Crozier to obtain a check on the population of the breeding colony of Emperor penguins. A count was also made of the number of young adult birds. Balham found that the colony was larger than when last visited in the winter of 1911, when Dr E. Wilson estimated the population about two hundred birds. Now the colony, which included many three-week-old chicks, numbered about a thousand.

The similarity of size of all the chicks indicated that they had all been hatched within days of each other. A noteworthy feature was the number of unemployed birds, probably sub-adults who, not having attained the three or four years required for parenthood, did, however, take part in the fierce competition of claiming a chick which might for a moment appear to be without a guardian. It was probable that the greater part of the infant mortality was caused by this fighting for possession of the young. The proportion of unemployed birds varied from one in four to one in eight in different parts of the colony.

The Emperor penguin is a majestic fellow standing a full 4 ft. high and weighing up to 70 lb. The whole colony occupied an incredibly small space with the birds standing only inches apart. Of all known birds, the Emperor penguin is the only one which nests and hatches its young on ice.

Several brief trips were made to the Adelie penguin rookery at Cape Royds to make spot checks on the population and ratio of young to adults.

Samples of algae, mosses, soil, and litter were collected generally throughout the area covered by the Expedition. During the last summer the emphasis on the biological work was placed on working from the Endeavour, and also there was a journey into the Dry Valley area for a limnological and biological investigation of the frozen lake.

ENDEVAOUR AND THE SCIENTIFIC PROGRAMME.–After completion of unloading by the end of the sixth day after arrival at McMurdo Sound, Captain Kirkwood arranged for the historic huts at Cape Evans and Cape Royds to be cleaned and repaired. Plaques sent down by the New Zealand Historic Places Trust were affixed to these huts and also to the one at Hut Point.

On the voyage south on H.M.N.Z.S. Endeavour the four members of the summer party scientific personnel completed 80 bathythermograph recordings at four-hourly intervals, stepped up to two-hourly intervals during the passage through the Sub-Antarctic Convergence. Phytoplankton surveys were carried out at four-hourly intervals and 60 samples were taken. Bird notes and observations were made. Off Scott Island the vessel stopped to enable a plankton sample to be taken at a depth of 880 metres.

Four scientific members made a most interesting trip to the Dry Valley area of Victoria Land 80 miles from Scott Base. They were transported, together with 1,500 lb. of field equipment and stores by a United States Navy helicopter. Their work consisted of a biological survey of the area, and investigation into the freshwater lakes of the area. A careful study of these lakes included their physical and chemical measurements, taking of bottom samples, water analysis, and algae collections. A lichen collection (transects) was also made, and photographic panoramas were taken and rough magnetic bearings were made.

Those on board H.M.N.Z.S. Endeavour embarked on an elaborate scientific programme in the Antarctic, initially in McMurdo Sound and then further afield. Opportunity was taken by the scientists while the vessel was at Cape Royds and Cape Evans to obtain ecological collections, bottom samples, and marine and fresh water algae collections. This was followed by a five-day cruise to Cape Crozier, north into the Ross Sea, Franklin Island, Granite Harbour, and back to McMurdo Sound. Sixteen hydrological stations were kept, bathythermograph recordings, water samples, phytoplankton and zoo plankton surface tows were carried out, and bottom dredgings were made. Rich hauls were made at widely scattered points, resulting in a large representative collection of the marine bottom fauna being obtained from 6 to 100 fathoms. This will be particularly valuable as no collection of a similar nature has hitherto been available in New Zealand. Landings were made at Franklin Island and at Botany Bay, Granite Harbour, where mosses, lichens, and geological specimens were collected. On the return voyage to New Zealand, despite the rough voyage, bathythermograph recordings were made at eight-hourly intervals.

GEOLOGICAL SURVEY.–An eight-man Geological Survey Expedition to the Ross Dependency was approved by the New Zealand Government on 1 July 1957, and on 12 July the United States Navy agreed to take the party to Cape Hallett in an American ice-breaker. Exploration, topographical mapping, and geological mapping were the general objectives of the party which was led by Dr H. J. Harrington. As in the case of the International Geophysical Year Antarctic programme, the cost of this expedition was borne by the New Zealand Government.

Hallett Station, at Cape Hallett, is an IGY base built by the United States of America and staffed jointly by United States and New Zealand scientists, with a United States maintenance staff to assist them. Although it is several hundred miles north of McMurdo Sound, the Cape Haliett area is difficult of access except late in the summer season. It was on the southern part of this coast that in the summer of 1912 the Terra Nova was unable to pick up the northern party led by Commander Campbell of Scott's 1911–14 Antarctic Expedition, and the party had to spend a winter under the most miserable conditions. Even in 1956–57 two American vessels scheduled to call at Cape Hallett were unable to get there.

As a result of its inaccessibility, apart from the coastline and peaks visible from near the coastline, the northern part of Victoria Land, in which Cape Hallett is situated, was topographically unknown, and the only geological work that had been done was at Robertson Bay, near Cape Adare. There was thus a large blank to be filled in on the map of the Ross Dependency. Aerial reconnaissance by American planes showed that there seemed to be a practicable route inland for the party to the south of Cape Hallett.

On 22 November 1957 the eight members of Harrington's party left Lyttelton on the U.S.S. Atka bound for Cape Hallett. Unfortunately, ice conditions near the entrance to Moubray Bay prevented the Atka approaching Cape Hallett, and the vessel had to proceed instead to Little America. After three weeks at the latter station, the party was taken by the U.S.S. Glacier to McMurdo Sound. Finally the expedition arrived at Hallett Station from McMurdo Sound in two rather overloaded flights of a United States Dakota R4D aircraft on 16 and 17 December. They were met by the United States and New Zealand scientists and given a warm welcome to the spacious and comfortable station which has a mountainous setting of truly scenic grandeur. The station is built on a low coastal spit backed by 1,000-ft. cliffs leading up to a 5,000-ft. ridge. This coastal spit is also the home of an Adelie penguin rookery containing between 70,000 and 200,000 birds. The only real disadvantage of the base was that, until a land air strip was built, the only reasonable exit for a trail party was on the sea ice. Without previous knowledge of the conditions, the party nevertheless correctly estimated that the ice in Hallett and Moubray Bays would go out to sea in a fortnight's time, and there was a great deal to be done before then.

One team, using Weasels and man-hauling methods of transportation, left immediately on a six-day reconnaissance northwards across the sea ice to Moubray Bay, to make a tenuous link with the work that had been done fifty years earlier by the Borchgrevinck party and Scott's northern party at Cape Adare and Robertson Bay 70 miles north of Cape Hallett.

It had been observed from the air that a major valley glacier (Tucker Glacier) flowed into Tucker Inlet 20 or 30 miles south of the station. A second team went 15 miles in a southerly direction, making a large food and fuel depot beyond the sea ice at the head of Hallett Bay. The topographic team of four men established several survey stations on high points around Hallett Bay. Finally the food depot was hauled to the top of the 2,000-ft. pass (Football Pass) leading to the Tucker Glacier, and became an advanced base. Parts of the overland route back to the station from Football Pass were reconnoitred, a traverse was made around the shore in Hallett Bay, a survey base line was measured on the sea ice, several survey stations were established on high points around the bay, and two lines of ablation and accumulation stakes were placed on Hallett. Glacier and surveyed.

For these two weeks in the field they had been joined by Turnbull, an English paleomagnetist, under contract to the United States IGY Committee, who collected oriented rock samples before returning to McMurdo Sound for further collections.

The Survey Expedition was established on firm land, on or near Football Pass, one day after the sea ice broke up around the station and floated out to the Ross Sea. The second and main phase of the expedition then began with the party descending from Football Pass to the Tucker Glacier, which fortunately proved to be a great highway leading north-westward from the coast through the Admiralty Mountains to the polar plateau. It is one of the best routes to the interior of Antarctica that has been found.

An attempt to get four men into another glacier (Whitehall Glacier) leading southwards to the Lady Newnes Ice Shelf was defeated by an area of melt pools and dangerous crevasses. Therefore the party split into two teams, one for geology and the other for surveying, and worked their way up one side of the Tucker to the neve region, and down the other. At their furthest point, 66 miles from Football Pass and 80 miles from the sea, four men climbed two peaks about 9,000 ft. high, which they named Mt. Midnight and Mt. Shadow. In the cold, clear air, free of smog and heat haze, they were rewarded with views of 100 miles radius across the pyramidal peaks of the Admiralty Range (one of the most extensive areas of high mountains in the world) and out to the polar plateau. Some of the peaks of this range rise to heights between 10,000 and 12,000 ft. or more above sea-level and extend inland for over 100 miles, gradually fading to nunataks nearly submerged beneath the ice of the plateau.

Survey stations were established and the geology mapped, while snow pits were dug, lichens, mosses, and insects collected, and regular weather observations were taken.

The last few days of field work were the heaviest of the expedition, the sledges having to be hauled in relays from nearly sea level to over 5,000 ft. in soft newly-fallen snow, and then along the top of Hallett Peninsula back to Hallett Station. After nearly eight weeks of field work, in calm sunny weather, they arrived back at the station on 8 February, were picked up by the U.S.S. Glacier on 19 February, and reached New Zealand on 24 February 1958.

One of the two main tasks of the party was to explore the district and map it topographically. Fitzgerald, a surveyor, established over 20 permanent survey stations ("trig stations") on high points 3,000 to 4,000 ft. above the camps, with the assistance of three other members. These positions were fixed to within 100 yards by sun-shots with a theodolite and details were filled in with a phototheodolite. Roughly 1,500 photographs were developed and printed for plotting the detailed topography, and sun-shots have now been computed. The map will cover an area of about 6,000 square miles, extending for roughly 100 miles along the coast between the Lady Newnes Ice Shelf and Cape Adare, with accuracy fairly high in the central part of about 1,500 square miles, but fading away towards the margins. A minor problem in compiling this map is that a dozen mountains in the district were named by Sir James Clark Ross during his visit into the Ross Sea in 1841, but there are so many mountains that there is difficulty in identifying those he named.

Geologically the expedition not only usefully filled a blank in the map but also contributed to a much greater knowledge of the "Robertson Bay Beds", which was the reason for the team being sent to Hallett rather than to other possible localities. The Robertson Bay Beds are metamorphosed greywackes and argillites which were examined for about 30 miles along the shore of Robertson Bay near Cape Adare by Sir Raymond Priestley of Scott's Northern Party in 1911. Nothing like them had been found elsewhere in East Antarctica, though comparable beds had been mapped in Marie Byrd Land in West Antarctica. Harrington's party found that nearly the whole of the northern part of Victoria Land consists of the Robertson Bay group, which possibly also extends several hundred miles further south to the Skelton Glacier and beyond. This extensive distribution is comparable with, or greater than, that of the Beacon Sandstone. Its discovery was unexpected and quite alters the general picture of the Ross Sea geology. There was also another surprise in the discovery that the Robertson Bay Beds strike not to the north-east, but to the west-north-west, in the same direction as the greywackes and argillites of Marie Byrd Land on the other side of the Ross Sea. It is a reasonable working hypothesis that the beds are continuous under the Ross Sea which in turn implies that East and West Antarctica are geologically one continent, whether or not they are geographically two continents or a collection of islands.

The work of this expedition has shown, too, that Hallett Station can be used as a base for trail parties ranging widely over the northern part of Victoria Land, for the Tucker Glacier is a highway into the heart of the region.

INTERNATIONAL GEOPHYSICAL YEAR ACTIVITIES.–New Zealand took an intense interest in the International Geophysical Year programme. This country was in a unique position for participation, for its territories extend from the tropics to the Antarctic, and 37 IGY stations were set up. The Rome Conference of October 1954 invited New Zealand to set up a scientific station in the vicinity of Ross Island and detailed the observations to be carried out in the area.

When the Government decided to contribute towards the Trans-Antarctic Expedition, it also approved New Zealand's participation in the International Geophysical Year on the basis recommended by the Rome Conference. At the same time the full cost of the IGY programme was budgeted for as a Government expenditure, £44,400 being the estimated cost of the Antarctic project. An Inter-Departmental IGY Committee was set up under the chairmanship of Dr E. I. Robertson. Because of logistic and supply needs, close liaison was maintained between this committee and the Ross Sea Committee, and it was agreed that the base should be shared by the TAE and IGY parties for the first year, being then taken over by the IGY party for their second season in Antarctica. Dr T. Hatherton was appointed as Chief Scientist for New Zealand IGY activities and he led the first term IGY party at Scott Base.

Although the International Geophysical Year was not scheduled to begin until 1 July 1957, it was necessary, because of transport, for those serving in the Antarctic to be there well in advance of that date. A party of five scientists was selected, received specialised training, and went to the Antarctic with the members of the Expedition party.

The time in hand was spent in building the base, installing the various intricate items of scientific equipment, and giving them a thorough test under actual Antarctic conditions. Hatherton had allowed until the end of April for installation, but most of the equipment had been tested by March.

As leader, Hatherton had the overall responsibilities of his team, and in addition undertook to cover two aspects of investigations himself. During the long winter period he took auroral observations. Although for this purpose he had erected an all-sky camera which consisted of a camera so mounted as to be able to photograph the whole sky, he found that there was no better way of recording the changes in an auroral display than by getting out through an astro hatch with a note-book and pencil - a chilling experience with temperatures far below zero.

From the onset of darkness there were many nights when well defined auroral displays occurred. With a radius of 1,500 miles the centre of the auroral belt passed almost midway between New Zealand and the Antarctic Continent, which meant that most of the displays were seen to the north of Scott Base.

Some of the displays lasted for five or six hours. There was general disappointment among members that the displays did not appear to reach the spectacular brilliance noted by former observers. With four notable exceptions the aurorae seen from the base were whitish-yellow, although they portrayed the familiar features of bands, rays, and fans associated with any occurrence. However, during sunspot maximum the auroral belt is thought to move to the north resulting in less frequent and less intense displays in the Ross Island area.

Two associated fields of endeavour, magnetic surveys and ionosphere studies, were closely related to the incidence of aurorae. Magnetic storms, variations in the height and form of the ionospheric layers, and aurorae, are all effects of energy interchanges between the sun's radiations and the atmosphere.

Hatherton discovered that of all the clear days from the middle of May to the middle of August, there were only two on which an auroral display did not occur and auroral activity was present for about one-third of that time. The cheerless hours of 4–5 a.m. (local time) were the times of highest probability of auroral occurrence.

Hatherton's other task was to make a gravimetric survey of as wide an area as possible within a radius of several hundreds of miles of Scott Base. When the Beaver aircraft was making flights to the various field parties, Hatherton made several trips to the Skelton Glacier area and to the Ross Ice Shelf and took gravimetric readings. During the second summer he joined the United States Ross Ice Shelf traverse team as an observer.

Orr was in charge of the seismometers for earthquake investigations, which were housed in a small hut 200 yards away from the main base. From these instruments, cables carried the electrical signals recording the arrival of earthquakes to a small dark room in the main laboratory where the signals were reproduced on photographic film. Thus the remote hut had only to be visited occasionally for adjustment to instruments.

About 800 earthquakes were recorded during 1957, including many distant ones, some in the Ross Sea area, and a few local tremors probably due to Mt. Erebus.

Gerard of the Magnetic Survey, Christchurch, was responsible for the magnetic programme at Scott Base. Observations of the earth's magnetic field are a classical expedition investigation and during the summer of 1957–58 by re-observing at Cape Royds and Cape Evans it was possible to "tie-in" the results of the present expedition with previous ones to McMurdo Sound.

However, the present work has much more significance than that of the earlier expeditions because of the association of magnetic disturbances with the aurora and ionosphere changes which are taken together to be used in investigating the physics of the upper atmosphere. The conventional magnetic instruments were located in remote huts at Scott Base and recorded on photographic paper in dark rooms. The changing of these records meant a twice daily journey in every kind of weather to the magnetic huts. Three new fluxgate instruments developed by Gerard were also installed at Scott Base. The vital parts were installed in a remote hut but were connected by cables to the main scientific hut where they recorded visually by pen and ink on a moving paper. Thus the scientific staff were immediately aware of all changes in the geomagnetic field as they occurred.

Macdonald was responsible for the measurements of radiation and also of sea level. The earth's climate is due to the combination of the sun's radiation, the motion of the earth and its configuration, acting on the earth's atmosphere. Consequently a knowledge of the radiation balance of the earth's atmosphere is essential to fundamental studies in meteorology. At Scott Base the hours of sunshine, solar radiation and net radiation (i.e., incoming minus outgoing) were measured. His sunshine recorder was the same instrument used in the 1901–4 Scott Expedition and it recorded the 24 hours of continuous sunshine in a day experienced on occasions at Scott Base.

The sea-level recorder which registered not only tides but seasonal and long-term variations in sea level was the simplest scientific instrument at the base, but its operation was beset by the most difficulties. With great patience Macdonald dug a hole through 15 ft. of solid ice and anchored the base of his tide gauge to the sea-bed in just over 20 ft. of water. The difficulty lay in stopping the ice from forming around the main stem supporting the gauge and thus causing the whole apparatus to ride the tide with the sea ice. A hurricane lamp was kept burning continuously inside the shelter around the gauge to keep ice from forming and to keep the clockwork mechanism working. After weeks of struggle he mastered the problem of keeping the clockwork mechanism working at temperatures of 90 degrees of frost, but unfortunately, the pressure head of the gauge 15 ft. below the surface was then in solid ice.

During the construction period at Scott Base, Sandford was busy assisting the radio team to erect their intricate web of aerials for the communication system. In return, they helped him to erect the two masts, each over 80 ft. high, which carried aerials for the transmitter and receiver of his ionosonde equipment. Six times an hour a signal was sent out and the reflections from the ionised layers of the atmosphere were photographically recorded. Despite upwards of 1,000 mechanical and electrical parts in this delicate recording apparatus, so effectively was it packed at the University of Canterbury where it was manufactured, that after shipment to McMurdo Sound and the vicissitudes of a 10 mile sledge journey to Scott Base, the equipment behaved almost perfectly on its first trial.

Sandford's other responsibility as a scientist was the operation of the pulse transmitter. This study was aimed at the investigation of the little understood problem of interference in radio reception by auroral displays, by propagating radio signals by pulse transmitter from Scott Base and observing the intensity of the signal received within and without the auroral belt. Receivers were located at Campbell Island, Invercargill, Hobart, Mawson, and d'Urville where the characteristics of the incoming signals were recorded on film.

When H.M.N.Z.S. Endeavour departed from Scott Base in March 1958, eleven men were left behind to carry out the second year of the IGY programme. None of the new team had previously wintered in the Antarctic, but Martin, the leader, had spent a previous summer there.

The scientific programme was continued in all respects, with the addition of an investigation of the microclimatology of the buildings. From this will be known the difference in barometric pressure inside the rooms and out, the temperature gradients from floor to ceiling, and the incidence, if any, of carbon monoxide, especially in the sleeping quarters.

CONCLUSION.–The main body of the New Zealand party of the Trans-Antarctic Expedition left for New Zealand in the Endeavour on 5 March 1958, having accomplished a great deal more than had been envisaged when they sailed southwards. At the end of the southern summer the International Geophysical Year scientists, who had spent the previous winter in the Antarctic, also returned to New Zealand. All could look back with pride to a great many solid scientific achievements in addition to the more spectacular aspects of their sojourn in Antarctica.

In particular, a cause for rejoicing was the fact that no lives had been lost by either the New Zealand or the Crossing party. Several years may elapse before the final scientific reports are produced, but the work done will be a splendid monument to those who so ably carried out this country's part in a great undertaking.

On 27 February 1958 the Prime Minister, Right Hon. W. Nash, announced that the Government had decided in principle that the New Zealand bases in the Ross Dependency would be continued to be operated after the conclusion of the International Geophysical Year. On 15 April 1958 the Prime Minister announced that the Government had set up a Committee to be known as the Ross Dependency Research Committee to co-ordinate and supervise future New Zealand activity in the Ross Dependency.

TAE WINTER PARTY 1956–58
Scott Base
Sir Edmund HillaryLeader.
Mr J. H. MillerDeputy Leader, Senior Surveyor.
Mr H. H. AyresDog Expert.
Dr R. W. BalhamBiologist.
Mr J. G. BatesDiesel Mechanic.
Lt/Cdr F. R. BrookeSurveyor.
Mr E. S. BucknellCook.
Mr R. A. CarlyonSurveyor.
S/Ldr J. R. ClaydonChief Pilot.
F/O W. J. CranfieldPilot.
Mr M. H. DouglasMountaineer.
Mr M. R. EllisEngineer.
Mr J. E. GawnRadio Operator.
Mr B. M. GunnGeologist.
Dr G. W. MarshMedical Doctor, Dog Expert.
CPO P. D. MulgrewChief Radio Operator.
Sgt L. W. TarrAircraft Mechanic.
Mr G. WarrenGeologist.
IGY WINTER PARTY 1956–58
Scott Base
Dr T. HathertonLeader.
Mr V. B. GerardPhysicist.
Mr R. H. OrrTechnical Officer.
Mr W. J. P. MacdonaldTechnical Officer.
Mr H. N. SandfordTechnical Officer.
TAE SUMMER PARTY - FIRST YEAR
Scott Base
Mr R. E. BarwickBiologist.
Cpl E. BecconsallConstruction Unit.
Mr K. J. BoydConstruction Unit.
Cpl A. EdwardsConstruction Unit.
Dr J. F. FindlayMedical Doctor, Biologist.
Mr A. S. HelmLiaison and Postal Officer.
Mr R. M. HekeConstruction Foreman.
Mr G. Lee MartinReporter.
Mr R. R. MitchellArchitectural Draughtsman.
CPO Z. PriceConstruction Unit.
L/C N. SinclairConstruction Unit.
Cpl P. H. TateAircraft Mechanic, Radio Operator.
CPO P. VoisinConstruction Unit.
Mr R. D. WrightCinematographer.
IGY SUMMER PARTY - FIRST YEAR
Scott Base
Mr A. J. HeineTechnical Officer.
Mr L. H. MartinProfessional Engineer.
Mr J. E. HoffmanExplosives Expert.
TAE SUMMER PARTY - SECOND YEAR
Scott Base
Mr R. E. BarwickBiologist.
LAC A. M. BreeseR.N.Z.A.F.
Mr B. G. BroadheadN.Z. Broadcasting Service Representative.
Pte K. L. BurtonMaintenance Party.
LAC I. A. ChapmanR.N.Z.A.F.
Dr F. A. De HamelMedical Doctor.
Cpl A. EdwardsMaintenance Party.
Mr R. C. D. McKenzieReporter.
Mr R. R. MitchellArchitectural Draughtsman.
Mr A. PackardBiologist.
Cpl P. H. TateAircraft Mechanic, Radio Operator.
Mr R. D. WrightCinematographer.
IGY SUMMER PARTY - SECOND YEAR
Scott Base
Mr J. E. HoffmanExplosives Expert.
Mr A. F. DavidsonTechnician.
GEOLOGICAL SURVEY ANTARCTIC EXPEDITION
Dr H. J. HarringtonLeader.
Mr B. L. WoodGeologist.
Mr I. C. McKellarGeologist.
Mr A. J. HeineStores Officer.
Mr G. J. LensonGeologist.
Mr E. B. FitzgeraldSurveyor.
Mr W. G. CrollAssistant Surveyor.
Mr B. HearfieldAssistant Surveyor.

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, 110, 121, 126, 132.
Accident Funds, 597–598.
Accident Insurance, 592, 940–945, 1226.
State, 955.
Accidents—
Aircraft, 112, 128.
Cases Treated in Hospitals, 128.
Causes of, 1123.
Deaths from, 69, 106, 111–113, 118, 394, 419, 588, 596, 1122–1123, 1125–1129.
Farming, 113.
Frequency Rates, 1120, 1128.
Industrial, 1068–1073, 1119–1131.
Mining, 113, 588, 596, 1119–1131.
Motor-vehicle, 69, 106, 111, 112, 118, 128, 416–420.
Railway, 112, 128, 394, 418, 1120, 1123, 1126–1128.
Time Lost Through, 1125–1129.
Tramway, 112, 418.
Transport, 111, 112, 128, 418–420.
Acclimatization of Fishes, 7, 580.
Accommodation Licences, 1179–1183.
Accommodation, Subsidized, 157–158.
Accounts, Public, 772–786.
Accounts, Sector, 726–749.
Acreage and Yield of Crops, 523–540, 1208.
Acreage of Holdings, 450–451.
Acts Passed in 1957, 1187–1188.
Added Value in Manufacturing, 602–608, 620–622, 624, 625, 626, 630–646, 1216.
Administration, 24–26.
Cook Islands, 1136–1137.
Niue Island, 1142.
Western Samoa, 1145–1147.
Adolescent Dental Service, 137.
Adoptions, 81.
Adult Education, 199–200.
Adultery, 88, 91.
Advances—
Bank, 848, 850–855, 1221.
Bank Control Policy, 854–855.
Building Societies, 900–904.
Rural, 459–460, 467, 893–899.
State (see State Advances and State Aid).
Advertisements, Medical 133–134.
Advertising by Radio, 443–448.
Aerated Water and Cordial Industry, 605, 634.
Aerial Surveys, 425, 475–476.
Aerial Work Operations, 425.
Aero Clubs, 428–429.
Aerodromes, 279, 430.
Afforestation, 552–559, 561.
Bondholders, 904.
Companies, 561, 904.
Age Benefits, 205, 207, 208–210, 225, 1031.
Age Distribution, 57–58.
Ages of—
Cancer Decedents, 109.
Infants Dying, 100–101, 119.
Injured Employees, 1124.
Inmates of Mental Hospitals, 164.
Maoris Dying, 116, 119.
Migrants, 37.
Mothers or Parents, 76, 77, 79, 80.
Offenders Probationed, 259.
Patients in Public Hospitals, 124.
Persons Dying, 95–98, 116, 119.
Persons Married, 85–87.
Population, 57–58.
Prisoners, 265.
Public School Pupils, 181, 183.
Tubercular Decedents, 107.
Aggregation of Incomes, 967–968.
Agricultural and Pastoral Production, 484–551, 1208, 1209.
Persons Engaged in, 1100.
Value of, 484–490.
Volume of, 486, 490.
Agricultural Aviation, 425, 461–462.
Agricultural Machinery, 522, 523, 608, 646.
Agricultural Produce—
Consumed Locally, 487, 692–694.
Exported, 313, 315, 330, 333, 334, 487.
Gross Farming Income, 484–486.
Agricultural Workers Act, 1047–1049.
Agriculture, 484–541.
Department of, 516–517.
Research in, 516–518, 529, 530, 541.
Aids, Artificial, 224–225, 226.
Aids, Nursing, 145.
Air Force, 278–280, 282, 285.
Casualties, 283, 285.
Expenditure on, 280, 778.
Air Mails, 422–428, 430–432.
Air Training Corps, 279.
Air Transport and Aviation, 278–280, 285, 421–432.
Aircraft, 279–280, 421–432.
Accidents, 112, 128.
Licensing and Control, 421–430.
Aitutaki Island, 2, 1135, 1137.
Alcoholic Liquors—
Consumption of, 693.
Duty on, 361–364, 787, 790.
Exports of, 313, 315.
Imports of, 337, 345, 355.
Sale of, 1179–1183.
Alexander Turnbull Library, 1235.
Aliens, Naturalization and Registration of, 41–44.
Alps, 4–5.
Ambassadors, 1200, 1201, 1203.
Ambulance, St. John, 147.
Amortization of Debt, 152, 777, 781, 818–820, 834.
Amputees, 230.
Amusement Tax, 787, 803, 805, 1168–1171.
Angling, 579-580.
Animal Life, 14.
Animals, Noxious, 556.
Anniversary Days, 1188.
Annual Holidays Act, 1038.
Annuities, 225, 236–239, 936.
Antarctic, New Zealand Activities in the, 1247–1274.
Ante-natal Services, 157.
Anthracite, 588.
Antimony Ore, 584.
Antipodes Islands, 2, 1134.
Anzac Day, 1038.
Apiaries or Apiculture, 536, 551.
Apparel, Duty on, 361.
Apples, 526, 538–539.
Consumption of, 692.
Exported, 313, 315, 330, 333, 334.
Fixation of Prices of, 495.
Marketing of, 495–496.
Apprentices, 289, 1066–1067, 1096.
Appropriation, Expenditure under, 777–778.
Arbitration (see Industrial Conciliation and Arbitration).
Area—
Of Land Holdings, 450, 451.
Of New Zealand, 1–3, 54, 450.
Of Properties Transferred, 456–458.
Of Provincial Districts, 45.
Top-dressed, 535–536.
Under Crops, 523–541, 1208.
Under Cultivation, 451, 526–540.
Armed Forces—
Casualties in, 282–285.
Demobilization of, 294.
Honours Conferred, 1195.
Overseas at Census Dates, 31.
Pay and Allowances, 708, 717, 722, 723.
Serving Overseas, 271, 273, 277, 279–281.
Strengths of, 273, 277, 280, 282, 1087.
Army, 274–277, 281–283.
Expenditure on, 277, 778.
Arrivals (see Migration).
Arson and Incendiarism, 951.
Art Unions, 1183–1184.
Articles on Special Subjects in Previous Issues, 1234–1235.
Artificial Aids, 224–225, 226.
Artificial Limbs, 225.
Asbestos, 585.
Assessable Income, 799, 958–982.
Assessment of—
Income Tax, 791–799, 958–977.
Land Tax, 799.
Land Values, 480.
Assets of—
Bankrupts, 1164, 1225.
Banks, 848, 850, 859–860, 869, 1221.
Building Societies, 904.
Companies, 982–983.
Electric-power Undertakings, 679.
Factory Industries, 623–624.
Fire Insurance Companies, 947.
Friendly Societies, 244.
Life Assurance Companies, 939.
Local Government, 836–837.
Atafu Islands, 2, 3,1153–1155.
Atiu Island, 2, 1135, 1137.
Auckland—
Broadcasting Stations, 444–446.
Building Values, 663.
Climate, 11, 13.
Houses and Flats, New State, 665.
Population, 47, 48, 51.
Sales Tax Receipts, 807.
Shipping, 332, 357, 373, 375–379.
Trustee Savings Bank, 867, 868.
University of, 193.
Urban Transport, 395, 400–402.
Auckland Islands, 2, 1134.
Audit of Expenditure, 772–773.
Australia—
Birth and Natural Increase Rates, 74.
Consumption of Foodstuffs, 692, 694.
Debt Domiciled in, 814, 839, 1218.
New Zealand Representatives in, 1199.
Population, Annual Average Increase, 33.
Prices in, 988.
Reciprocal Trade with, 366–367.
Representatives in New Zealand, 1201.
Social Security Reciprocity with, 203, 204, 205, 218.
Automobiles (see Motor Vehicles).
Aviation, Agricultural, 425, 461–462.
Aviation and Air Transport, 278-280, 285, 421–432.

B

Bachelors Marrying, 85.
Bacon and Ham, Consumption of, 692.
Bacon and Ham Curing, 605, 631.
Balance of Payments, 750–771.
Capital Account, 750–751, 755, 758, 760, 762–765.
Current Account, 750, 752–754, 759, 761, 763, 764.
Merchandise Transactions, 755–757.
Regional Accounts, 757–765.
Survey of Companies with Overseas Affiliations, 765–771.
Balance of Trade, 298.
Bananas, 497, 1139, 1141, 1144, 1151.
Consumption of, 692.
Imports of, 344, 355, 358.
Bank Notes, 845–850, 857–859, 878–879.
Denominations of, 859, 879.
In Circulation, 857–859, 873, 1221.
Bank of New Zealand, 811, 820, 849.
Banking and Currency, 845–882, 1221, 1222.
Banking and Insurance Sector Account, 731, 744.
Bankruptcy, 1057, 1162–1167, 1225.
Banks, Overseas Assets of, 850, 859–860.
Banks, Savings—
Post Office, 864–867, 875–876, 1222.
School, 866–867.
Trustee, 867–869.
Barley, 526, 527, 528, 531, 541.
Exports of, 313, 315.
Beds, Hospital, 155, 156.
Beef—
Cattle, 546.
Cattle Farms, 548.
Chilled, 333, 334, 504, 505, 547.
Consumption of, 691, 692.
Export of, 333, 334, 491.
Slaughterings, 514, 630.
Beer—
Consumption of, 693.
Duty on, 361, 362, 364, 776, 787, 790.
Production of, 634.
Bees, 551.
Benefits, Social Security, 137, 168, 205–227, 703, 714, 717, 784.
Bentonite, 582, 593, 595.
Beverages, Production of, 609–628, 634.
Bibliography—
General, 1236–1246.
New Zealand Flora, 14.
Bills, Treasury, 809, 815.
Birthplaces, 59–61.
Births, 66, 70–82, 1205.
Excess of, over Deaths, 44, 67, 73.
In Cook Islands, 1137.
In Niue Island, 1142.
In Western Samoa, 1147.
Of Maoris, 66, 114–115.
Biscuit Industry, 605, 633.
Bituminous Coal, 585–588.
Blind, Benefits for and Education of, 178, 213, 218, 289.
Board of School Children, 188.
Board of Trade, 359.
Bobby Calves, 514.
Boilers, Inspection of, 1132.
Bonds, National Savings, 808, 869–870.
Boroughs, 822–844.
Area of, 51–52.
Bridges in, 403.
Capital and Unimproved Values, 482.
Debt, 836, 839, 1220.
Employees of, 844.
Housing, 653, 665, 830.
Mileage of Streets, 403.
Population, 51-52.
Borstal Institutions, 252, 255, 262, 267.
Boundaries of New Zealand, 1–3.
Bounty Islands, 2, 1134.
Bread, Price Fixation of, 984.
Bread Subsidy, 507.
Breeding Bulls, 546.
Breeding Ewes, 542–545.
Breeding Sows, 542, 543, 548.
Breweries, 605, 634.
Brick Production, 642.
Brides and Grooms, 84–87.
Bridges, 385, 403.
Bridle-tracks, 403.
Brigades, Fire, 560, 953.
British Countries, Representatives in New Zealand, 1201–1203.
British Nationality, 41.
British Phosphates Commission, 2, 820, 1156.
British Postal Orders, 435.
British Preference, 364–368.
British Sovereignty, 3.
British Trade Representatives, 1202–1203.
Broadcasting, 443–449.
For Schools, 192, 446.
Time Signals, 446, 1185–1186.
Bronze Coinage, 877.
Building, 647–666.
Building and Construction Sector Account, 731, 742.
Building, Construction, and Housing, 647–666, 893–900.
Group Building Scheme, 652.
Persons Engaged in, 1087, 1091.
Wages and Hours Worked of Employees, 1021, 1027.
Building Costs, 648.
Building Materials, 648–651.
Imports of, 339, 650–651.
Building Permits, 648, 659–666.
Building Societies, 900–904.
Deposits, 877, 902, 904.
Buildings, Education, 179.
Bulk Purchase Agreement, 493.
Bullion, Exports of, 312, 314, 333, 334, 1212.
Bullion Production, 7, 582–583.
Burials, 92, 134.
Bursaries, 131.
Dental, 137–138, 195.
Ex-servicemen's, 195, 291.
Medical, 195.
Physical Education, 190.
Post-primary Teachers', 190.
Secondary Schools, 187.
Servicemen's Dependants, 291.
Technical Schools, 187.
University, 194–196.
Bush, 14, 452, 552–557.
Bushel Units, Weights of, 526.
Business, Census of, 695.
Business Failures, 1057, 1162–1167, 1225.
Business Loans, 292–294, 896–898.
Butter (see Dairy Produce).
Butterfat Production, 509–511, 631, 1215.
Butterfat Yields, 509, 510.

C

Cabinet, 25.
Cable Tramways, 395.
Cables, Ocean, 439.
Cadets—
Army, 276.
Navy, 272.
Calf-skins Exported, 313, 314, 328, 333, 334, 1214.
Calves Slaughtered, 514.
Campbell Island, 2, 30, 1134.
Camps, Health, 135, 147.
Canada—
Consumption of Foodstuffs. 692, 694.
Exchange Rate with, 881.
New Zealand Representatives in, 1200.
Population, Annual Average Increase, 33.
Prices in, 988, 989.
Reciprocal Trade with, 367–368.
Representatives in New Zealand, 1201.
Canadian Pacific Air Lines, 427, 428.
Cancer, 69, 106, 107–109, 118, 125, 168.
Candle and Soap Industry, 607, 640.
Canned and Preserved Meats, Production of, 630.
Canned Fish, 578.
Imports of, 344, 355.
Canned Fruits, 634.
Consumption of, 693.
Canned Meat Exported, 313, 314, 325, 333, 334, 378.
Canned Vegetables, 313, 315, 333, 334, 634.
Consumption of, 693.
Canterbury Agricultural College, 173, 175, 193, 196, 290.
Capital—
Expenditure of Government, 780.
Invested in Electric-power Undertakings, 672, 675–678.
Invested in Factories, 623–624.
Invested in Railways, 385, 1224.
Invested in Telegraph Construction, 435.
Invested in Telephone Construction, 437.
Invested in Urban Transport, 398, 401.
Of Banks, 845, 849.
Of Joint-stock Companies, 904–908.
Capital Formation, 705–712.
Capital Issues Control, 856.
Capital Sector Account, 731, 749.
Capital Transfers, 861, 862.
Capital Value of Land, 478–483.
Rating on, 827–829.
Capitation Scheme, Social Security, 220.
Cargo Carried by Air Transport, 422–428.
Cargo Handled at Ports, 371–380.
Carnegie Corporation, 199.
Carpets and Rugs, Imports of, 348.
Carton, Paper Bag, etc., Industry, 638.
Casein Exported, 313, 314, 329, 333, 334.
Casein Produced, 511, 631.
Cash Order Trading, 698.
Cassiterite, 584.
Casualties in War, 282–285.
Casualties, Shipping, 383.
Catchment Boards, 461, 560, 822–844.
Cattle, 542, 546–548, 1209.
Cattle Hides Exported, 313, 314, 328, 333, 334, 1214.
Cattle Slaughtered, 514.
Causes of—
Accidents, 1123
Deaths, 68–69, 100–114, 117–120, 168.
Fires, 951–952.
Industrial Disputes, 1115–1116, 1118.
Infant Mortality, 102–104.
Maori Deaths, 117–120.
Mental Illness, 162–163, 165.
Still-birth, 104.
Cement, 595.
Carried on Railways, 392.
Exports of, 312, 314.
Imports of, 349, 356.
Industry, 607, 642.
Cemeteries, 134.
Census. 27, 31, 44–47, 54–65, 79, 983.
Employment Statistics, 1081–1086.
Of Agriculture, 451, 520–521, 525, 536, 543.
Of Distribution, 695.
Of Dwellings, 56, 653–656.
Of Poultry, 56, 549–550.
Of Religions, 63–64.
Unemployment Statistics, 1087.
Central Reserve Bank (see Reserve Bank).
Cereals, 523–531, 1208.
Consumption of, 694.
Certificates—
Dentist's Practising, 144.
Engine-drivers', 1132.
Land Titles, 454–455.
Marine Officers', 381–382, 1046.
Medical Practitioners', 144.
Mine Officials', 597, 1043.
Naturalization, 41–43.
Occupational Therapists', 145.
Opticians', 146.
Physiotherapists', 145.
Teachers', 177.
Certification of Seed, 532, 541.
Certification of Trades, 177, 1067.
Charitable Aid, 153–154, 157.
Chatham Islands, 2, 439, 1157, 1245.
Schools, 175, 189.
Cheese (see Dairy Produce).
Chemicals and Chemical Products Industry, 607, 609–628, 640–641.
Chemists, Registration of, 147.
Child Hygiene, 134–136.
Child Migration, 39.
Child Welfare, 134–136, 147–148, 178, 196–199, 257.
Childbirth, Accidents, etc., of, 69, 102, 104–105, 106, 110–111, 118, 121, 126, 132.
Children—
Adopted, 81
Affected by Divorce Proceedings, 92.
Allowances in Respect of, 203–240.
Backward, 135, 174, 196–198.
Born, Numbers and Rates, 66, 71–73, 115.
Born, Sexes of, 74–76, 82, 115.
Crippled, 147, 188.
Dental Treatment of, 136.
Fathers' Income Group, 972.
Intellectually Handicapped, 158.
Legitimated, 80.
Medical Inspection of, 135.
Offences by, 196–198, 257–259.
Under One, Deaths of, 69–70, 95, 96, 99–104,118–120, 1205.
Children's Courts, 196–198, 257–259.
Children's Homes, 157, 198.
Chilled Beef, 333, 334, 504, 505, 547.
Chinese, 58, 1147, 1157.
Christchurch—
Broadcasting Stations, 444, 445.
Building Values, 663
Climate, 11, 13.
Houses and Flats, New State, 665.
Population, 47, 48, 52.
Sales Tax Receipts, 807.
University of Canterbury, 193.
Urban Transport, 395, 397–399.
Churches, 87–88.
Cigarettes and Tobacco—
Duty on, 360, 362, 364.
Imports of, 337, 345, 355.
Production of, 540, 605, 609–628, 635.
Cinematograph Film-hire Tax, 776, 787, 805.
Cinematograph Theatres, 1167-1172.
Cinnabar, 584.
Cities, Population of, 48, 51, 52.
Citizenship, 41.
Citrus Fruits, 497, 526, 538, 539, 1139, 1141.
Consumption of, 692.
Imports of, 355, 358.
Civil Aviation, 421–432.
Civil Law Cases, 246–250.
Civil List, 23–24, 25, 777.
Claims, Insurance, 933–957.
Clays 582, 595.
Clergy of Each Church, and Marriages by 87–88.
Climate, 4–5, 11–13, 1134, 1142, 1145.
Clinics—
Ante-natal, 157.
School Dental, 136.
Venereal Disease, 122.
Clocks, Public, 1186.
Closing Hours of Shops, 1041.
Clothing and Footwear, Retail Prices of, 987.
Clothing, Imports of, 338.
Clothing Industry, 605–606, 635–636.
Clothing, Subsidy on, 507.
Clover Seed (see Grass and Clover Seed).
Club Charters, 1182.
Clubs, Aero, 428–429.
Clubs, Agricultural, 189.
Clubs, Rifle, 277.
Clubs, Working-men's, 243.
Coal—
Carried on Railways, 392, 393.
Consumption of, 590, 617, 685.
Exports of, 312, 314, 333, 334.
Production of, 581, 585–592.
Public Ownership of, 581.
Research, 597.
Resources, 586–587.
Subsidy on, 507, 715.
Coal Mines Act, 581, 1043–1044.
Coal Mining, 556, 581, 585–592.
Strikes, 1114, 1115.
Wages and Hours Worked of Employees, 1022, 1026.
Welfare and Research Fund, 597–598.
Coast Line, 4.
Coastal Shipping, 374, 377–380.
Coastal Vessels Registered, 381.
Coin Held by Banks, 848, 850.
Coin Imported and Exported, 308, 1210.
Coin in Circulation, 873.
Coinage and Currency, 877–879.
Colleges—
Agricultural, 173, 175, 193, 196, 290, 518.
Military, 275.
Naval, 272.
Pharmacy, 147.
Teachers' Training, 173, 177, 178, 190–191.
Collieries, 585–592.
State, 590-592.
Commerce, Overseas, 295–380, 1210–1214.
Commercial Failures, 1057, 1162–1167, 1225.
Commodities, Consumption of, 688–694.
Commodity Sales, Retail, 697.
Community Centres, 148, 200.
Companies—
Assets of, 982–983.
In Manufacturing Industries, 624.
In Manufacturing Industries, 624.
Bank Advances to, 853.
In Manufacturing Industries, 624.
In Manufacturing Industries, 624.
Co-operative Dairy, 512.
In Manufacturing Industries, 624.
In Manufacturing Industries, 624.
Deposits with, 871, 877.
In Manufacturing Industries, 624.
In Manufacturing Industries, 624.
Financial Statements, Analysis of, 908–932.
In Manufacturing Industries, 624.
In Manufacturing Industries, 624.
Income of, 708–725, 960, 975–982.
In Manufacturing Industries, 624.
In Manufacturing Industries, 624.
Joint Stock, 904–932, 981.
In Manufacturing Industries, 624.
In Manufacturing Industries, 624.
Overseas, 906, 907, 947, 949.
In Manufacturing Industries, 624.
Paid-up Capital, 980.
In Manufacturing Industries, 624.
Private, 906–908, 981.
In Manufacturing Industries, 624.
Registered, 904–908, 1225.
Share Price Indices, 1005–1011.
Taxation of, 204, 798, 960, 975–982.
Comparisons with Other Countries—
Birth and Natural Increase Rates, 74.
Cinema Attendance, 1169.
Consumption of Foodstuffs, 694.
Dairy Produce Consumption, 692.
Death Rates, 68, 95.
Expectation of Life, 99.
External Trade Per Head, 298.
Health Insurance, 1031.
Infant-mortality Rates, 70, 99–100.
Marriage Rates, 84.
Population, Annual Average Increase, 33.
Prices, 988–989.
Telephones to Population, 436.
Unemployment Insurance, 1031.
Compassionate Allowances, 227.
Compensation, Workers', 1068–1073, 1119–1122.
Compulsory Insurance, 956, 1072.
Compulsory Unionism, 1062–1063.
Conciliation Councils, 1031, 1061–1066.
Concrete Products Industry, 607, 643.
Confectionery Industry, 633.
Confinement, Deaths in, 69, 102, 106, 110–111, 118, 126.
Confinements, 75, 78, 80.
Conjugal Condition of Persons Marrying, 84–85.
Conjugal Rights, Restitution of, 88, 89.
Conservation of Forests, 552.
Conservation of Soil, 461–462, 560, 779, 780.
Consolidated Fund, 204, 775–778, 786–789, 1217.
Constitution, 20–25.
Of Local Districts, 823–824.
Construction, Building, and Housing, 647–666, 893–900.
Wages and Hours Worked of Employees, 1021, 1027.
Consuls, 1200–1203.
Consumer Credit, Survey of, 698–701.
Consumers' Goods, Imports of, 339, 340, 341.
Consumers' Price Index, 989–996.
Consumption of—
Coal, 590, 617, 685.
Commodities, 688–694.
Electricity, 667, 679–680.
Farm Produce, 486–487, 512, 513, 530, 691–694.
Motor Spirits, 412.
Wool, 515, 635.
Contact Lenses, 224.
Contagious Diseases, 69, 102, 103, 106, 117, 121–126, 132.
Contractors' Liens, 1056.
Contributory Negligence, 1073.
Control of—
Bank Advances, 854–855.
Capital Issues, 856.
Exchange, 303–305, 861, 880.
Exports, 308–309, 494.
Imports, 309, 361–362.
Poultry, 550.
Prices, 984–986.
Rivers, 779, 780.
Convictions—
For Drunkenness, 251, 252, 253–254, 256.
For Traffic Offences, 251, 252–253.
Of Juveniles, 257–259.
Of Maoris, 257.
Of Women, 250, 253, 254, 257.
Convictions in Magistrates' Courts, 249–254, 257, 1207.
Convictions in Supreme Court, 254–255, 257, 1207.
Cook Islands, 1–3, 40, 236, 1134–1141.
Bibliography, 1245.
Exports to, 335–336.
Imports from, 357–358.
Population, 30, 1137.
Public Finance, 1141.
Radio Stations, 439, 1140.
Trade, 1140–1141.
Co-operative Credit Associations, 899.
Co-operative Dairy Companies, 512.
Copper Ore, 584.
Cordial and Aerated-water Industry, 634.
Corn Crops, 526–528.
Correspondence Classes, 175, 186, 189.
Cosmetics, Manufacture of, 641.
Cost of Living, 984–996.
Bonuses, 1052.
Costs—
Railway Construction, 385, 780, 1224.
Roading, 404–410, 780.
Council, Defence, 269.
Council, Dental, 144.
Council, Executive, 24–25.
Members of, 1190–1191.
Council, Fire Service, 833, 953.
Council for Educational Research, 199.
Council, Legislative, Abolition of, 21.
Council, Medical, 144.
Council, Medical Research, 143.
Council of Adult Education, 199.
Council of Legal Education, 193.
Council of Scientific and Industrial Research, 517.
Counties, 822–844.
Area of, 49–50.
Bridges in, 403.
Building Values, 664.
Capital and Unimproved Values, 482.
Debt, 836, 839, 1220.
Employees of, 844.
Employees' Superannuation, 240–242.
Mileage of Roads, 403.
Population, 48–50.
Country Lands, Mortgages on, 886–887, 889, 896.
Courts—
Appeal, 246–247, 250, 256, 1194.
Arbitration, 247, 1012, 1014, 1031–1067, 1194.
Bankruptcy, 1162–1163
Children's, 196–198, 257–259.
Compensation, 247, 1071 1073, 1194.
Divorce, 89, 90.
Judges of, 1194.
Land Valuation, 247, 459, 480, 1194.
Magistrates', 247, 248–249, 257, 1207.
Maori Appellate, 470.
Maori Land, 470.
Supreme, 89, 90, 247, 249, 254–256, 1207.
Cover, Fire, 948.
Cow Testing, 516, 519.
Cranes, Inspection of, 1132.
Crayfish, 575, 578, 579.
Exports of, 312, 314.
Cream, Consumption of, 691.
Cream Separators on Farms, 522.
Credit, Consumer, Survey of, 698–701.
Credit, Letters of, Post Office Savings Bank, 866.
Credit, Rural Intermediate, 899.
Creditors' Petitions, 1163.
Crematoria, 134.
Crews of Overseas Vessels, 36, 37.
Crime, Law and, 246–268, 1207.
Criminals, Habitual, 267.
Crippled Children, 147, 188.
Crops, 451, 523–541, 1208.
Research, 518.
Crown Land, 452, 462–469, 782.
Rates Paid to Local Authorities, 833.
Crown Tenants, 463–466.
Cultivation, Area Under, 451, 526–540.
Cupro-nickel Coinage, 877.
Currency and Banking, 845–882, 1221, 1222.
Customary Land, 469.
Customs, Representative Overseas, 1200.
Customs Tariff and Revenue, 358–370.
Customs Taxation, 358–370, 714, 776, 787, 790.

D

Dairy Cows, 522, 542, 546–548, 1209.
Dairy Farms, 521, 547.
Dairy Industry, 484–494, 499–504, 522, 546–548, 605, 631, 853, 1026, 1047–1049.
Dairy Industry Stabilization Account, 506.
Dairy Produce, 499–504, 509–512.
Bulk Purchases of, 493.
Carried on Railways, 392, 393.
Consumption of, 691–692.
Export of, 311–316, 326–327, 333, 334, 378, 491, 691, 1212.
Factories, 509–512, 631.
Fixation of Prices, 500–504.
Grading of, 512, 516.
Gross Farming Income, 484–486.
Marketing of, 491, 494.
Prices Paid for, 499–504.
Production of, 509–512, 631.
Subsidy on, 507.
Dairy Products Marketing Commission, 494, 500–503.
Dairying Machinery, 315, 522.
Damage (Earthquake and War) Insurance, 785, 956–957.
Daylight Saving, 1185.
Death Duties, 714, 776, 787, 800–802.
Estates Passed for, 1160–1162.
Death Penalty Abolished and Restored, 256.
Deaths, 68–69, 73, 92–114, 116–120, 125–127, 394, 419, 588, 596, 1205.
Accidental (see Accidents).
Distribution Over Year, 95.
Due to Earthquakes, 11.
Foetal, 82.
From External Causes, 111–113.
From Puerperal Causes, 69, 105, 106, 110-111, 118, 126.
In Cook Islands, 1137.
In Hospitals 125–127, 155.
In Mental Hospitals, 166–168.
In Niue Island, 1142.
In Western Samoa, 1147.
Inquests on, 260–261.
Neo-natal, 95, 100–105, 119–120.
Of Friendly Society Members, 244.
Of Infants, 69–70, 95–97, 99–104, 116, 118–120, 1205.
Of Insured Persons, 935– 938.
Of Maoris, 68, 114, 116–120.
Of Servicemen Overseas, 93, 282–285.
Violent, 69, 106, 111–113, 118, 260, 419, 588, 596.
Debenture Tax, 798.
Debentures, 808, 837–840, 869, 1218.
Debits, Bank, 856.
Debt, Conversion of, 812–814.
Debt, Location of, 814, 839, 1218.
Debt of Local Government, 154, 821, 837–843, 1219, 1220.
Debt, Public, 777, 808–821, 1218.
Debtors' Petitions, 1163.
Deceased Persons Estates, 1160–1162.
Decrees in Divorce, 88–92.
Deeds Registration, 455, 883.
Defence, 269–285.
Council, 269.
Expenditure on, 273, 277, 280, 714, 778.
Fund, 786.
Science, 269-270.
Sector Account, 731, 746.
Degrees, University, 144, 193.
Demobilization of Servicemen, 294.
Demography, 30-65, 1204, 1205.
Density of Population, 54.
Dental Benefits (Social Security), 137, 224, 226.
Dental Services, Hygiene, etc., 136–138, 144, 224.
Department of Agriculture, 516–517.
Department of Health, 130–131.
Department of Scientific and Industrial Research, 517–518.
Departments, Government, 25–26, 1158, 1190–1191, 1195–1197.
Departures (see Migration).
Dependants of Soldiers, Pensions for, 228–236.
Dependent Children, Care of, 178, 196–199.
Deposits—
By Insurance Companies, 933, 946.
Interest Rates on, 874–877.
With Building Societies, 877, 902, 904.
With Local Authorities, 877.
With Reserve Bank, 847.
With Savings Banks, 864–870, 1222.
With Stock and Station Agencies, 871.
With Trading Banks, 851–852, 872, 875, 1221.
With Trading Companies, 877.
Depreciation Allowances, 623, 703, 712, 739–747, 791.
Depreciation of New Zealand Currency, 880.
Desertion, 88, 91, 210.
Desertion, Ship, 251, 1046.
Designs, Registration of, 1172, 1173.
Detention, Reformative, 255, 262, 267.
Diagnostic, Laboratory, Services, 224.
Diagnostic, X-ray, Services, 222–223, 226.
Diagrams and Graphs—
Balance of Payments—
By Monetary Areas, 762.
Changes in Overseas Direct Investment, 767.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Banking, 851, 858, 860.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Building Permits, 661.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Butterfat Production, 511.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Cows in Milk, 511.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Dairy Produce, Prices for, 499.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Dairy Production, 511.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Electricity Consumption, 680.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Exports, 302.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Factory Production, 622.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Imports, 302.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Infant Death Rates, 101.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Life Assurance, 933, 940.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Mortgages, 892.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Motor Vehicles Licensed, 412.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Motor-spirits Consumption, 412.
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
National Income and Expenditure—
Expenditure, 709.
Private Income, 720.
Private Outlay, 710.
Note Circulation, 858.
Overseas Assets of Banks, 860.
Pigs, 511.
Price Indices, 1006, 992.
Production, 511, 529, 622.
Rates of Interest on Mortgages, 892.
Retail Prices Indices, 992.
School Population, 176.
Share Prices Indices, 1006.
Taxation Revenue, 789.
Trading Banks, 851, 860.
Union Membership, 1106.
Vital Statistics, 74, 105.
Wheat Production, 529.
Dietitians, 146.
Diphtheria, 69, 102, 106, 121, 122, 132, 135.
Diplomas, 144, 178, 194.
Diplomatic Representatives, 1199–1203.
Disabilities from Industrial Accidents, 1119–1129.
Disabled Servicemen, 228–236, 289.
Discharged Soldiers Settlement, 286–294, 467–469, 898.
Discount Rates, 874–875.
Disease, Prevention of, 135.
Diseases, Notifications of, 121–123, 132.
Diseases, Principal, Deaths from, 69, 105–111, 117–119, 125–126.
Diseases Treated in Hospitals, 124–126.
Diseases, Tropical, 1138, 1148, 1154.
Disengaged Persons, 1100.
Displaced Persons, 39.
Disputes, Industrial, 1050, 1061–1066, 1110–1118.
Dissolution of Parliament, Dates of, 1193.
Distribution, Census of, 695.
Distribution of Population, 44–53.
By Ages, 57–58.
By Industries, 1082–1083.
By Occupational Status, 1086.
By Occupations, 1084–1086.
Distribution of Private Income, 717–725.
Distribution Statistics, 695–701.
District High Schools, 175, 184–186, 192, 1206.
Districts—
Electoral, 26–27, 1192.
Income Tax, 974.
Land, 452, 462.
List of Local, 822.
Local, 822–844.
Roads Councils, 404.
Dividends, Bankruptcy, 1164.
Dividends, Totalizator, 804.
Divorce, 88–92.
Divorced Persons Remarrying, 84–86.
Dogs, 549.
Domains, Public, 452–453.
Domestic Assistance, 218, 223, 226.
Domestic Income and Output Table, 733.
Domicile of Debt, 814, 839, 1218.
Drainage Districts, 822–844.
Dredging, Gold, 582.
Drivers' Licences, 410, 833.
Drowning Accidents, 111.
Drugs, 133, 220.
Drunkenness, 88, 91, 251, 252, 253–254, 256.
Ducks, 549.
Dunedin—
Broadcasting Stations, 444, 445.
Building Values, 663.
Climate, 11, 13.
Houses and Flats, New State, 665.
Population, 47, 48, 52.
Sales Tax Receipts, 807.
Shipping, 332, 357, 373, 375–379.
Trustee Savings Bank, 867, 868.
University of Otago, 193.
Urban Transport, 395, 400–402.
Duties—
Customs and Excise, 358–370, 714, 776, 787, 790.
Death, 714, 776, 787, 800–802.
Export, 362–363, 1152.
Gift, 787, 800, 802.
On Instruments, 787, 803.
On Lottery Tickets, 803, 1184.
Stamp, 776, 787, 802–803.
Dwellings (see also Houses and Flats).
Household Amenities, 655.
Means of Cooking, 655.
Tenure of, 655.

E

Earthquake and War Damage Insurance, 785, 897, 956–957.
Earthquakes, 9–11.
Economic Pensions, 231.
Economic Stabilization, 984–985, 1034–1035, 1057–1061.
Education, 170–202, 1138, 1143, 1148–1149, 1154–1155, 1206.
Boards, 170–172.
Buildings, 179.
Buildings, Debt on, 811.
Endowments, 171, 179.
Expenditure on, 178, 188, 714, 778.
Of Ex-Servicemen, 291, 294.
Of New Settlers, 200.
Physical, 148, 190.
Educational Association, Workers', 200.
Educational Research, 199.
Effective Weekly Wage-rates, 1020.
Eggs, 550.
Consumption of, 693.
Marketing of, 496–497.
Retail Prices of, 986.
Subsidy on, 507.
Elections, General, 22–23, 1173–1178.
Representation Commission, 27.
Electoral Districts, 26–27, 1192.
Electoral Provisions, 26–28.
Electoral Qualifications, 28, 824–826.
Electors, Registration of, 28, 825.
Electric—
Power Boards, 672, 676, 822–844, 1220.
Employees' Superannuation, 240–242.
Power, Development of, 668–670.
Power, Generation and Supply, 667–682.
Steam Station, 590, 670.
Power in Factories, 601, 616.
Power on Farms, 522.
Power, Review of Operations, 675–682.
Railways, 384–386.
Tramways, 395, 399–400.
Electric Supply Account, 781.
Electrical Machinery and Appliances Industry, 608, 609–628, 644.
Electricity, Consumption of, 667, 679–680.
Emergency Benefits, 205, 217, 225.
Emergency Reserve Corps, 282.
Pensions for, 225, 232, 234.
Emigration, 36–38.
Employees—
Electric Supply, 675–677.
Factory, 602–613, 624, 630–646, 1087, 1091–1096, 1101, 1216.
Farm, 1100.
Fire Brigade, 953.
Hospital Boards, 844.
In Industry, 1087, 1091–1096.
Legislation Affecting, 1030–1080.
Local Government, 844, 1094–1095, 1102.
Mining, 588, 589, 592, 595, 596.
Picture Theatres, 1168, 1172.
Post and Telegraph, 442, 1095.
Public Service, 1197.
Public Works, 1050, 1101–1102.
Railway, 393–394, 1095.
State Coal Mines, 592.
Unions of, 1061–1066, 1103–1109.
Urban Transport, 396, 399, 402.
Employers, 1105, 1109.
Employers' Liability Insurance, 941–943, 955, 1068–1073.
Employers' Unions, 1105, 1109.
Employment and Unemployment, 1073–1074, 1081–1102.
Employment Districts, Factory Production in, 604.
Employment Placement Scheme, 1074, 1089, 1098–1100.
Employment Promotion, 1073–1074, 1088–1090.
Taxation, 806, 1014.
Employment, Seasonal Fluctuations in, 1100–1101.
Employment Service, National, 1074, 1089–1090.
Employment, Subsidized, 1088.
Employment, Survey of, 1090–1096.
Employment Vacancies, 1093, 1097, 1100.
Endowment Land, 464–467.
Endowments, Education, 171, 179.
Engine-drivers' Certificates, 1132.
Engineering Industries, 644–646.
Engines—
Employed in Factories, 616.
Employed on Farms, 522.
Inspection of, 1132.
Railway, 385, 386.
Ensilage (see Silage).
Entertainments Tax, 787, 803, 805, 1168–1171.
Erosion, 560.
Estate Duty, 800–801.
Estates–
Administered by Public Trust Office, 1158–1160.
Assigned, 1162–1167.
Intestate, 1159.
Passed for Deaty, 1160–1162.
Ewes, Breeding, 542–545.
Examinations—
Education Department, 177.
Electric-tram Drivers', 1132.
Engine-drivers', 1132.
Marine Officers', 381–382.
Medical, of School Children, 135.
Medical Practitioners', 144.
Mining, 597, 1043.
Teachers', 177.
University, 144, 177.
Exchange Allocation, 309, 862–863.
Exchange (Currency), 880–881.
Control of, 303–305, 861, 880.
Expenditure on, 808.
New Zealand – London, 880–881.
Rates of, 880–881.
Reserve, 848, 859, 860.
Exchanges, Telephone, 435–438.
Excise Duties, 362, 364, 787, 790.
Executive Council, 24–25.
Members of, 1190–1191.
Exemptions from Taxation—
Income Tax, 791–799, 970–972.
Land Tax, 799.
Ex-nuptial Infants—
Births of, 79–80.
Legitimation of, 80.
Protection of, 198.
Exotic Forests, 554, 558–559.
Expectation of Life, 98–99, 117.
Expeditionary Forces, 280–282, 283–284, 1229–1231.
Expenditure—
Air Force, 280, 778.
Army, 277, 778.
Audit of, 772–773.
Broadcasting, 447.
Civil Aviation, 422.
Defence, 273, 277, 280, 714, 778.
Education, 178, 188, 714, 778.
Electric Power, 672, 675–678, 681–682.
Forest Service, 561–562.
Government, 713–717, 772–786, 1217.
Health, 131, 778.
Insurance Companies, 936, 938, 941, 949–950, 953–957, 1226.
Local Government, 152–153, 672, 676, 678, 716, 834–835, 1219.
Mental Hospitals, 168–169.
National, 702–725.
National Roads Fund, 406, 780.
Naval, 273, 778.
Picture Theatres, 1167–1171.
Post and Telegraph, 435, 437, 441.
Railway, 387–389, 783, 1224.
Rehabilitation, 292–294, 777.
Roads, 406, 409.
Urban Transport, 399, 401, 402.
War, 810, 811.
Export Control, 308–309, 494.
Dairy Produce, 494, 512.
Honey, 497.
Meat, 494.
Export Duties, 362–363, 1152.
Export Licences, 309.
Export Prices, 499–502.
Index Numbers of, 999–1003.
By Classes, 1002, 1003.
By Commodity Groups, 1002, 1003.
By Destination, 1002.
Exports, 295–336, 366–368, 688–691, 755–756, 1210–1214.
Apples, 313, 315, 330, 333, 334.
By Ports, 332.
By Section and Division, 315–317.
Casein, 313, 314, 329, 333, 334.
Classification of, 311–317.
Crayfish, 312, 314.
Currency, Restrictions on, 878.
Dairy Produce, 311–316, 326–327, 333, 334, 378, 491, 691, 1212.
Destination of, 317–331.
Excess over Imports, 298.
Fats, 313, 314, 327, 333, 334, 378.
Fish, 312, 314, 331, 333, 334, 578.
Gold, 312, 314, 333, 334, 1212.
Hides, Skins, and Pelts, 311, 313, 314, 328–329, 333, 334, 378.
List of, 312–315.
Meat, 311–316, 323–325, 333, 334, 378, 691, 1211.
Milk, Dried and Condensed, 313, 314, 333, 334.
Newsprint, 312, 314, 331, 333, 334.
Receipts from, 861.
Sausage Casings, 313, 314, 329, 333, 334.
Scrap Metal, 313, 315.
Seeds (Grass and Clover), 313, 315, 330, 333, 334.
Specie, 308, 1210.
Timber, 312, 314, 331, 333, 334, 569–571.
Valuation of, 295, 310.
Value in Sterling, 297.
Values, Index Numbers, 307, 689.
Volume, Index Numbers, 306, 690.
Woodpulp, 312, 314, 331, 333, 334.
Wool, 311, 313, 314, 323, 333, 334, 378, 1211.
External Migration, 36–39, 1204.
External Trade, 295–380, 1210–1214.

F

Factories, 599-646, 1173, 1216.
Accidents in, 1119–1131.
Act, 138, 1038–1040.
Classification of, 601, 605–608.
Classified by Size, 612–613.
Coal Consumed in, 617.
Dairy, 509–512, 631.
Employees, 602–613, 624, 630–646, 1087, 1091–1096, 1101, 1216.
Fire Losses on, 952.
Registered, 602.
Summary of Operations, 628–6.
Factory Production, 488–490, 599–646, 1216.
By Employment Districts, 604.
By Provincial Districts, 603.
Fair Rents Act, 1076–1078.
Fakaofo Island, 2, 3, 1153–1155.
Fallow Land, 451, 527.
Family Benefits, 203, 205, 207, 212–213, 225, 799.
Family Homes Act, Joint, 455, 1074–1075.
Farm Employees, 1100.
Farm Employees, Wage-rates, etc., 1015, 1016, 1022, 1024, 1048.
Farm Finance, Provision of, 292–294, 463–469, 853, 893–899.
Farm Holdings, 450–451.
Classification of, 520–521.
Farm Implements, 522, 523.
Manufacture of, 646.
Farm Industry Reserves, 506.
Farm Loans for Ex-servicemen, 292–294.
Farm Machinery, 522–523.
Imports of, 339, 351.
Farm Produce—
Consumption of, 486–487, 512, 513, 530, 691–694.
Export of, 311–316, 323–330, 333, 334, 378, 486–487, 1211–1214.
Marketing of, 491–498.
Farm Subsidies, 507, 518–520.
Farm Training and Settlement of Discharged Servicemen, 289–290, 294, 467–469.
Farmers—
Advice for, 516–518.
Financial Assistance to, 459–460, 467, 853, 893–899.
Mutual Insurance Associations, 953.
Farming, 484–551.
Farming Income, Gross, 484–486.
Farming Lands, Mortgages on, 886–887, 889, 896.
Farming Sector Account, 730, 739.
Fathers—
Ages of, 76.
Average Number of Children, 78.
Occupations of, 78.
Fats Exported, 313, 314, 327, 333, 334, 1211.
Fauna, 14.
Female Suffrage, 28, 1229.
Female Wage Rates, 1018–1020, 1023, 1024, 1052.
Ferns, 14.
Fertilizer Industry, 607, 640.
Fertilizer Used in Aerial Top-dressing, 425.
Fertilizers, Imports of, 338.
Fertilizers, Subsidy on Imported, 520.
Fertilizers, Subsidy on Transport of, 519–520.
Fever, Scarlet, 69, 106.
Field Crops, 523–541.
Film Library, National, 192.
Film Unit, National, 1235.
Film-hire Tax, 776, 787, 805.
Finance and Investment, 883–932.
Finance, Farm, 292–294, 459–460, 463–469, 853, 893–899.
Finance, Government, 713–717, 772–821, 1217, 1218.
Finance, Local Government, 151–154, 676, 715–716, 830–843, 1219, 1220.
Hospital Boards, 151–154.
Fire Brigades, 560, 953.
Fire Districts, 556, 822-844.
Fire Insurance, 945–953, 1226.
State, 955–956.
Fire Losses, 948–952, 956.
Fire Prevention in Forests, 556, 559–560.
Fires on Vessels, 383.
First Births, 78–79.
Fish, 7, 574–580.
Canned, 578.
Imports of, 344, 355.
Consumption of, 693.
Exported, 312, 314, 331, 333, 334, 578.
Value of Production, 489, 575.
Fishing, Big-game, 579.
Fish-liver Oil, 578.
Fixed Deposits, 851, 875, 877.
Flats, 654, 657.
Pensioners', 158.
Flax Lands, 452, 540.
Flax, Linen, 527, 540, 820.
Exports of, 313, 315.
Flax, Phormium (see Phormium).
Floating Debt, 809, 811.
Flogging Abolished, 256.
Flora, 14.
Flour—
Consumption of, 693.
Price Fixation of, 984.
Production of, 632.
Subsidy, 507.
Fodder Cro, 526–527, 530, 533.
Foetal Deaths, 82.
Fog Signals, 382.
Food and Drugs, Sale of, 133.
Food Consumption, 688–694.
Food Poisoning, 121, 122, 132.
Food Production, 605, 609–634.
Food, Retail Prices of, 986, 988.
Footwear and Clothing, Retail Prices of, 987.
Footwear, Imports of, 338, 346, 355.
Footwear Industry, 606, 636, 1026.
Foreign Vessels, 374.
Foreigners, Naturalization of, 41–43.
Forest Fire Prevention, 556, 559–560.
Forest Produce Exported, 312, 314, 331, 333, 334, 569–571.
Forest Trees, 14, 573.
Forestry, 552–573.
And Logging Sector Account, 730, 739.
Persons Engaged in, 1094.
Research, 572–573.
Value of Production, 489.
Forty-hour Week, 1028, 1039.
Fowls, 549.
Franchise, General Government, 28–29.
Franchise, Local Government, 824–826.
Freehold, Crown Land Made, 467.
Freehold Land, 452.
Freight—
Carried by Air Transport, 422–428.
Carried by Shipping, 371–380.
Carried by Trains, 389–393, 1224.
Subsidy, 519–520.
Train Mileage, 393.
Frequency Rates of Accidents, 1120, 1128.
Friendly Societies, 243–245.
Fruit—
Consumption of, 692, 693.
Export of, 313, 315, 330, 333, 334.
Fixation of Prices of, 495, 497.
Imports of, 344, 355, 358.
Industry, 451, 526–527, 538–539.
Fruit and Vegetable Preserving Industry, 605, 633–634.
Fuels and Lubricants, Imports of, 339, 340, 348, 356.
Funds of Public Account, 772–786.
Funeral and Sick Funds, 244.
Furniture and Fittings Industry, 606, 609–628, 637.
Furniture Loans, 292, 294, 898.

G

Gaming Act, 1183–1184.
Gaols, Prisoners in, 263–265, 1207.
Gardens, Acreage in, 451, 526, 536–537.
Gardens (Commercial) Registration of, 537.
Gas District, 822–844.
Gas Generation and Supply, 682–687.
Gas Price, 683.
Gas Subsidy, 507, 683.
Geese, 549.
General Assembly, 21–24, 1192.
Generating Stations, 668–670.
Geographic Board, 476.
Geographical Features, 4–8.
Geology, 9, 596–597.
Geophysical Year, International, 1271–1273.
Geothermal Steam, 671.
Geysers, 4.
Gift Duty, 787, 800, 802.
Gilbert and Ellice Islands, 3.
Glaciers, 6.
Glass and Glass Products Industry, 607.
Gold, Discovery of, 7, 1228.
Gold Exported, 312, 314, 333, 334, 1212.
Duty on, 362.
Gold Mining and Production, 7, 581–583.
Gold Reserve, 848.
Gonorrhoea, 122, 125, 132.
Goods Available for Use, 688–691.
Goods Carried on Railways, 390–393, 1224.
Goods-service Licences, 414–416.
Government Departments, 25–26, 1158, 1190–1191, 1195–1197.
Government Finance, 713–717, 772–821, 1217, 1218.
Government Housing, 648, 656–658, 664–665, 780, 811, 899–900, 1076.
Government Insurance, 953–957.
Government Marketing, 493.
Government Railways, 384–394, 1224.
Industrial Tribunal, 394, 1049.
Superannuation Fund, 236, 394.
Government Representatives Overseas, 1199–1200.
Government Roads, 408.
Government Service Tribunal Act, 1049.
Government Superannuation Fund, 236–238.
Government, System of, 21–26.
Governments, Provincial, 170, 822.
Governor-General, 1189.
Powers, Duties, etc., 20.
Grading of—
Dairy Produce, 512, 516.
Public Servants, 1198, 1199.
Graduates, University, 193.
Grain Crops, 526–531, 1208.
Grain Milling, 605, 632, 1021, 1026.
Granite, 594.
Grapes and Vineyards, 536, 538.
Graphs (see Diagrams).
Grass and Clover Seed, 525–527, 534.
Exports of, 313, 315, 330, 333, 334, 1213.
Grass Lands, 451, 452, 508, 527, 535.
Gratuities Ex-servicemen's, 864.
Gravel and Sand, 582, 595.
Greenstone, 594.
Groceries, Retail Prices of, 986.
Gross Factor Receipts and Payments Table, 733.
Gross Farming Income, 484–486.
Gross Indebtedness, 809–810, 1218.
Of Local Government, 821, 837–839, 1219.
Of Local Government, Purpose for Which Raised, 839.
Of Local Government to Government Departments, 837.
Gross Reproduction Rate, 32.
Guaranteed Prices, 500–504.
Guidance, Vocational, 187–188, 1088–1089.
Gum, Kauri, 593.
Exported, 312, 314, 333, 334, 593.

H

Half-castes, 56, 58, 115.
Ham and Bacon, Consumption of, 692.
Ham and Bacon Curing, 605, 631.
Harbour Boards, 822–844, 1220.
Employees' Superannuation, 240–242.
Harbour Bridge Authority, 822–843.
Harbour-ferry Services, 414–416.
Harbours, (see also Ports), 4.
Hardwoods, Imported, 569.
Harvests, 523–541, 1208.
Hay, 533.
Heads of Government Departments, 1195–1197.
Health Camps, 135, 147.
Health, Department of, 130–131.
Health Education, 138.
Health Insurance, 203, 213–226, 1031.
Health, Occupational, 138–139.
Health, Public, 129–169.
Hearing Aids, 224.
Heavy-traffic Fees, 405, 413.
Herd Testing, 516.
Hides, Skins, and Pelts Exported, 311, 313, 314, 328–329, 333, 334, 378, 1213, 1214.
High Commissioners, 1199–1202.
High Schools, 175, 184–186, 192, 1206.
Higher Education, 175, 192–196, 1206.
Highways, 408.
Taxation, 404–405, 410, 787, 790.
Hire Purchase, 698–701.
History, Early and From 1870, 15–19.
History of Labour Laws and Allied Legislation, 1030–1037.
History of New Zealand, 1227–1233.
Hoarding Prohibited, 984.
Hoes, Rotary, and Garden Tractors, 522.
Holdings (see Land Holdings).
Holidays, 1038, 1039, 1041, 1042, 1045, 1048, 1188.
Home Lay-by Accounts, Post Office Savings Bank, 866.
Home-nursing Services, 223.
Homes, Benevolent, 157.
Homes, Children's, 157, 198.
Homicide, 69, 106, 111, 118, 255, 260.
Honey, 551.
Consumption of, 693.
Exported, 313, 314, 333, 334, 551.
Marketing of, 497–498.
Honours Conferred, 1194–1195.
Hops, 540, 634.
Exports of, 313, 315.
Horse-racing, 803–805.
Horses, 521, 523, 542, 549, 1209.
Exported, 313, 315.
Horticulture, 517, 521, 536.
Hosiery and Other Knitting Mills, 635.
Hosiery, Imports of, 346, 355.
Hospital Benefits, 205, 219–226.
Hospital Boards, 149–157, 221, 822.
Employees of, 844.
Employees, Superannuation, 240–242.
Finances of, 151–154.
Indebtedness of, 821.
Levies on Local Government, 151, 152, 154, 834, 835.
Hospital Districts, 149.
Hospitals, 123–128, 149–169, 221–226, 1137, 1138, 1143, 1148.
Accommodation of, 155–156.
Maternity, 138, 156–157, 221–222.
Mental, 158–169, 221.
Private, 156, 221, 222, 226.
Private Mental, 158, 160.
Public, 123–128, 155, 222, 226.
St. Helens, 138, 156, 157, 222.
Staff of, 844.
Hostels, 158, 1089.
Hot Springs, 4, 1186.
Hotels and Restaurants, Fire Losses on, 952.
Hotels, Licensed, 1179–1183.
Hourly Wage Rates, 1016–1017.
Hours of Labour, 626–627, 1025–1029, 1039–1043, 1045, 1047–1048.
House of Representatives, 21–24, 1192.
Broadcast of Proceedings of, 446.
Members of, 1192.
House Rents, 1076–1080.
Household Sector Account, 731, 747.
Houses and Flats, 647–666.
Advances for, 292–294, 830, 893–904.
Census Enumerations, 653–656.
Completed, 656–659, 666.
Fire Losses on, 952.
In Course of Erection, 664–665.
Maori, 294, 659, 1075.
Rents, 1074–1080.
Sale of State, 899–900.
State, 648, 656–658, 664–665, 1076.
Housing, 647–666, 779, 780, 830, 893–900, 1074–1080.
Conference, 651–652.
Debt, 810, 811.
Group Building Scheme, 652.
Home Lay-by Scheme, 652.
Local Government, 830, 835.
Of Ex-servicemen, 292–294.
Of Maoris, 294, 659, 1075.
State, 648, 656–658, 664–665, 780, 811, 899–900, 1076.
Hungarian Refugees, 39.
Hunting, Fishing, etc., Sector Account, 730, 740.
Hydatids, 121, 122, 132, 133.
Hydro-electric Power, 6, 7, 667–682, 811.
Capital Outlay, 672, 675–678.
Development of, 668–670.
Used for Industrial Purposes, 601, 616.
Hydrogenation of Coal, 590.
Hygiene—
Child, 134–136.
Dental, 136–138.
Environmental, 132.
Industrial, 138–139.
Mental, 158.
Public 131–134.
School, 134.
Social, 122, 132.

I

Ice-cream, Consumption of, 691.
Ice-cream Industry, 605, 632.
Illegitimacy (see Ex-nuptial).
Immigration, 36–41, 1090, 1204.
Assisted, 38–39.
Hostels, 1089.
Restriction on, 40–41, 1073.
Imperial Preference, 365.
Implements, Farm, 522, 523.
Manufacture of, 646.
Import Control and Licences, 309, 361–362.
Cook Islands, 1140.
Import Price Indices, 1004, 1010.
Importers, Bank Advances to, 853.
Imports, 295–309, 336–358, 364–370, 688–690, 756–757, 1210.
By Ports, 356–357.
Classification of, 336–341.
Currency, Restrictions on, 878.
Excess of Exports over, 298.
Free and Dutiable, 358–370.
List of, 344–356.
Origin of, 341–354.
Payments on Account of, 861.
Purpose or Use of, 336–341.
Restrictions on, 309, 361–362.
Cook Islands, 1140.
Specie, 308, 878, 1210.
Valuation of, 295–296, 336.
Value in Sterling, 297.
Value of, Index Numbers, 307, 689.
Volume of, Index Numbers, 306, 690.
Income—
Company, 708–725, 960, 975–982.
Gross Farming, 484–486.
National, 702–725.
Of Individuals, 960–975.
Personal, 708, 709.
Private, 703–710, 717–725.
Returnable, 960, 966–967, 976–977.
Income Tax, 714, 776, 781, 787, 791–799, 958–983.
Non-resident Traders, 983.
Increase of Population, 30–32, 44–47, 67, 73–74.
Indebtedness of Local Government, 154, 821, 837–843, 1219, 1220.
Indebtedness, State, 808–821, 1218.
Index Numbers—
Consumers' Price, 992–996.
By Classes, 1002, 1003.
By Commodity Groups, 1002, 1003.
By Destination, 1002.
Value, 490, 625–626.
Volume, 490, 625–626.
Deaths, Sex-ratio, 94.
By Classes, 1002, 1003.
By Commodity Groups, 1002, 1003.
By Destination, 1002.
Value, 490, 625–626.
Volume, 490, 625–626.
Electricity, Consumption of, 667.
By Classes, 1002, 1003.
By Commodity Groups, 1002, 1003.
By Destination, 1002.
Value, 490, 625–626.
Volume, 490, 625–626.
Export Prices, 999–1003, 1010.
By Classes, 1002, 1003.
By Commodity Groups, 1002, 1003.
By Destination, 1002.
Value, 490, 625–626.
Volume, 490, 625–626.
Factory Production—
Value, 490, 625–626.
Volume, 490, 625–626.
Farm Production, Value and Volume, 486, 490.
Gross Farming Income, 486.
Hours of Labour, 1028, 1029.
House Rent, 993.
Import Prices, 1004, 1010.
Private Income, 718, 725.
Production, 486, 490.
Factory, Value of, 490, 625–626.
Factory, Volume of, 490, 625–626.
Farm, Value and Volume of, 486, 490.
By Classes, 999.
By Groups, 998.
Retail Prices, 989–996, 1010, 1011.
By Classes, 999.
By Groups, 998.
Share Prices, 1005–1011.
By Classes, 999.
By Groups, 998.
Value of Exports, 307.
By Classes, 999.
By Groups, 998.
Value of Goods Available for Use, 689.
By Classes, 999.
By Groups, 998.
Value of Imports, 307, 689.
By Classes, 999.
By Groups, 998.
Value of Production, 486, 490.
By Classes, 999.
By Groups, 998.
Value of Trade, 307.
By Classes, 999.
By Groups, 998.
Volume of Dairy Production, 511.
By Classes, 999.
By Groups, 998.
Volume of Exports, 306, 690.
By Classes, 999.
By Groups, 998.
Volume of Goods Available for Use, 690.
By Classes, 999.
By Groups, 998.
Volume of Imports, 306, 690.
By Classes, 999.
By Groups, 998.
Volume of Production, 486, 490, 625–626.
By Classes, 999.
By Groups, 998.
Volume of Trade, 306.
By Classes, 999.
By Groups, 998.
Wage Rates, 1011, 1012–1020, 1029.
By Classes, 999.
By Groups, 998.
Wholesale Prices, 997–999, 1010, 1011.
By Classes, 999.
By Groups, 998.
Wool Prices, 498.
Indigenous Forests, 452, 554–557.
Industrial Accidents, 1068–1073, 1119–1131.
Nature and Location of, 1124–1125.
Severity Rates, 1126–1128.
Time Charge of, 1126–1129.
Industrial Associations, 1109.
Industrial Conciliation and Arbitration, 1049–1066, 1103–1109, 1116–1117.
Industrial Distribution of Population, 1082–1083.
Industrial Efficiency, 1173.
Industrial Hygiene, 138–139.
Industrial Relations Act, 1066.
Industrial Unions, 1061–1066, 1103–1109.
Industries—
Bank Advances to, 853.
Classification of, 601, 605–608.
Licensing of, 1173.
Manufacturing, 599–646, 1173, 1216.
Industry—
Earnings and Hours Worked in, 1025–1027.
Fatigue in, 1130.
Manufacturing Sector Account, 741.
Organization of, 624–625.
Persons Engaged in, 602–613, 624, 630–646,1087, 1091–1096.
Sector Accounts, 726–749.
State Aid to, 896–898.
Infancy, Diseases of, 69, 102–103, 118–120, 126.
Infant Mortality, 69–70, 95–97, 99–104, 118–120, 1205.
Maori, 69–70.
Infantile Paralysis (Poliomyelitis), 69, 102, 106, 117, 121, 122, 132.
Infectious Diseases—
Control of, in Schools, 135.
Deaths from, 69, 106, 107, 117, 125.
Hospital Cases, 125.
Notification of, 121–123, 132.
Injuries (see Accidents).
Input-Output Table, 726, 729, 734.
Input-Output Theory, 727–729.
Inquests, 92, 260–261.
Insanity, 88, 91, 158–169.
Insolvency, 1057, 1162–1167, 1225.
Instalment Sales, 698.
Instruments, Duty on, 787, 803.
Instruments, Registration of, 454.
Insurance, 623, 933–957, 1226.
Accident, 592, 940–945, 1226.
Earthquake and War Damage, 785, 897, 956–957.
Fire, 945–953, 1226.
Life, 933–940, 953–954, 1226.
Motor-vehicles Third-party Risks, 940–945.
State, 953–957.
Inter Industry Accounts, 726–749.
Interest—
Credited by Savings Banks, 864, 867–869, 1222.
On Local Government Debt, 152, 716, 840–841.
On Mortgages, 888–892, 898, 899.
On Post and Telegraph Capital Liability, 441, 776.
On Public Debt, 703, 708, 715, 777, 817–818.
On Railways Capital Liability, 387.
Payments Overseas, 817, 840.
Payments to Consolidated Fund, 776.
Rates (see Rates of Interest).
Reduction of, 874–877.
Intermediate Credit, 899.
Intermediate Schools, 175, 182, 183, 189, 191.
International Air Services, 426–428.
International Geophysical Year, 1271–1273.
International Investment Income, 861.
International Payments, 861–862.
International Refugee Organization, 39.
Intoxicating Liquor—
Duty on, 361–364, 787, 790.
Sale of, 1179–1183.
Invalids' Benefits, 205, 207, 213–214, 225.
Investment Accounts, Post Office Savings Bank, 866.
Investment and Finance, 883–932.
Investment Certificates, 808.
Investment in New Zealand and Overseas, 765–771.
Investment Pool, National Provident Fund, 240–241.
Investment Societies, 900–904.
Deposits, 877, 902, 904.
Investments, Reserve Bank, 848.
Investments, State, 811, 816.
Invisible Imports and Exports, 861–862.
Iron and Steel, Imports of, 349, 356.
Iron Ores and Ironsands, 581, 583.
Irrigation and Water Supply, 779, 780, 1101.
Island Territories, 2, 30, 1133–1157.
Islands—
Administered on Trust, 1–3, 30, 1145–1153, 1156.
Annexed, 1133–1145.
Outlying, 1, 1133.

J

Joinery Industry, 606, 637.
Joint Family Homes Act, 455, 1074–1075.
Joint-stock Companies, 904–932.
In Manufacturing Industries, 624.
Journal of Agriculture, 517, 535.
Journal, School, 192, 1134.
Judiciary, 26.
Members of, 1194.
June Year Exports, 297, 332–334.
June Year Imports, 297.
Juries, 248.
Justice, 246–268, 777, 1207.
Justices of the Peace, 250.
Juvenile Offenders, 196–199, 257–259.
Juvenile Wage-rates, 1023–1024, 1029.

K

Kale, 526, 533, 541.
Kauri Gum, 593.
Exported, 312, 314, 333, 334, 593.
Kea, Destruction of, 519.
Kermadec Islands, 1–3, 30, 1134.
Kindergarten Schools, 172, 175, 180.
Knitting Mills and Hosiery Industry, 635.

L

Laboratory Diagnostic Services, 224, 226.
Labour, Department of, 1074, 1086–1087, 1089–1096.
Labour Force, 1086–1087.
Labour, Hours of, 626–627, 1025–1029, 1039–1043, 1045, 1047–1048.
Labour Laws and Allied Legislation, 1030–1080.
Labour Shares, 1032.
Lakes, 7–8, 668–670.
Lamb, Consumption of, 513, 691, 692.
Lamb Exported, 333, 334, 491, 691.
Lamb Produced, 512, 513.
Lambs, 542–545.
Slaughtered, 514, 630.
Land Act, 179, 462–469.
Land Boards, 462, 471.
Land Development, 463–469, 472–473.
Land Districts, 452, 462.
Land Drainage Districts, 822-844.
Land for Ex-servicemen, 289–290, 467–469.
Land Holdings, 450–451.
Classification by Farm Types, 520–521.
Mortgages on, 883–892, 896.
Land Marginal, 459–460.
Land, Occupation of, 450–452.
Land, Purchase of, 462–469, 472.
Land Sales, Control of, 459.
Land Settlement, 450–473.
Land Settlement Account, 781–782.
Land Settlement Promotion Act, 458–459.
Land Surveys, 474–477.
Land Tax, 714, 776, 787, 791, 799.
Land Tenure and Settlement, 450–473.
Land Titles, Registration of, 454–455.
Land Transfer, 454–458.
Land, Valuation of, 477–483.
Lands Open for Selection, 464.
Law and Crime, 246–268, 1207.
Law, Mortgage, 883–884.
Law, Revision of, 246.
Laws Affecting Labour, 1030–1074.
Laws Enacted in 1957, 1187–1188.
Leasehold Landholdings, 452, 464–467.
Leases, Renewable, 463–468.
Leather and Leather Products Industry, 607, 609–628, 639.
Legacy Duty, 800–802.
Legal Education, 193.
Legal Tender, 878.
Legations, 1200–1202.
Legislation—
Labour and Allied, 1030–1080.
Passed in 1957, 1187–1188.
Legislative Authority, 21–24.
Legislative Council, Abolition of, 21.
Legitimation, 80.
Letter Boxes, 433.
Letter Telegrams, 436.
Letters of Credit, Post Office Savings Bank, 866.
Letters Posted, 431, 433, 1223.
Levies by Fire Authorities, 949.
Levies by Hospital Boards, 151, 152, 154, 834, 835.
Levy—
Coal Production, 597, 1043.
Dairy Produce, 512.
Electric Power, 672.
Meat, 363.
Orchard, 538.
Totalizator, 804.
Wool, 363, 495, 516.
Liabilities of—
Bankrupts, 1164–1165, 1166, 1225.
Banks, 847, 850, 859, 860, 1221.
Building Societies, 904.
Electric-power Undertakings, 679.
Fire Insurance Companies, 947.
Friendly Societies, 244.
Life Assurance Companies, 939.
Local Government, 154, 836.
Reserve Bank, 847.
Library, Alexander Turnbull, 1235.
Library Services, 178, 200–201, 266.
Licences—
Aerodrome, 430.
By Local Authorities, 833.
Drivers', 410, 833.
Export, 309.
Fishing, 580.
Fishing Vessels, 574.
Flight Crew, etc., 429–430.
Import, 309, 361–362.
Motor Vehicle, 410–413.
Petroleum Prospecting, 592–593.
Plumbers', 146.
Publicans', 833, 1179–1183.
Radio, 448–449.
Raffle, 1183–1184.
Ross Sea Whaling, 1156.
Transport, 414–416.
Licensing, 1179–1183.
Authority, 414–416.
Control Commission, 1180–1183.
Poll, 1178–1179.
Trusts, 1183.
Licensing of—
Commercial Air Services, 422.
Industries, 1173.
Lotteries, 1183–1184.
Motor Vehicles, 410–413.
Private Hospitals, 156.
Sale of Alcoholic Liquor, 1179–1183.
Liens, Contractors', 1056.
Life Assurance, 933–940, 953–954, 1226.
Death-rates, 939.
State, 953–954.
Life, Expectation of, 98–99, 117.
Lifts, Inspection of, 1132.
Lighthouses, 382–383.
Lignite, 585–588.
Lime Industry, 607.
Lime, Land Top-dressed with, 535.
Lime, Subsidy on Transport of, 519–520.
Limestone, 582, 595.
Linen Flax, 527, 540, 605, 820.
Exports of, 313, 315.
Linseed, 527, 533.
Liquidations of Companies, 904.
Liquor Licensing, 1179–1183.
Literature, New Zealand, 1236–1246.
Livestock, 541–551, 1209.
Carried on Railways, 391, 392.
Slaughterings of, 514.
Loans—
Allocation of, 811.
By Building Societies, 900–904.
Conversion of, 812–814.
Dates of Maturity of, 812–815, 841.
Domicile of, 814, 839, 1218.
Guaranteed, 810.
National Development, 785, 813, 814.
Of Hospital Boards, 152, 154.
Of Local Government, 152, 154, 827, 837–843, 1219–1220.
On Assurance Policies, 939, 954.
Raised for War Purposes, 810.
Redemption of, 777, 781, 811–814, 834.
Rehabilitation, 292–294, 895–898.
State Advances, 652, 833, 893–900.
Supplementary, 292, 896, 897.
Suspensory, 292, 894, 896, 897.
Local Government, 149–157, 672, 676, 715–716, 822–844, 1219–1220.
Advances to, 406–408, 830, 833, 896–898, 1075.
Assets of, 836–837
Borrowing, 827.
Commission, 826.
Debt of, 154, 821, 837–843, 1219–1220.
Deposits with 877.
Employees of, 844, 1094–1095, 1102.
Expenditure of, 152–153, 672, 676, 716, 834–835, 1219.
History of, 822–824.
Levies on, by Hospital Boards, 151, 152, 154, 834.
Liabilities of, 154, 836.
Obligations under Health Act, 130.
Pensioners' Flats, 158.
Receipts of, 152, 676, 715, 831–833, 1219.
Superannuation, 239.
Taxation by, 715, 807, 827–829.
Urban Transport Operated by, 395–402.
Local Option, 1179.
Local Railway District, 822–844.
Lockouts, 1061–1066, 1110, 1111.
Locomotives, 385, 386.
Lodges, Friendly Societies, 243–245.
Losses from Fire, 948–952, 956.
In Forests, 559–560.
Lotteries, 1183–1184.
Duty on, 803, 1184.
Lubricants and Fuels, Imports of, 339, 340, 348, 356.
Lucerne, 526, 527.
Lump-sum Payments, 703.

M

Machinery—
Accidents, 1123, 1131.
Factory, 616, 624.
Farm, 522–523.
Imports of, 338, 351.
Industry, 608, 609–628, 646.
Safety of, 1132.
Magistrates, Superannuation of, 237.
Mails, 433, 1223.
Air, 422–428, 430–432.
Main Highways, 408.
Maize, 526, 527, 528.
Malting Barley, 531.
Malting Industry, 605.
Mangaia Island, 2, 1135, 1137.
Manganese Ore, 581, 584.
Mangolds, 527.
Manihiki Island, 2, 1135, 1137.
Manuae Island, 2, 1135, 1137.
Manufacturing Production, 488–490, 599–646, 1216.
By Employment Districts, 604.
By Provincial Districts, 603.
Persons Engaged in, 602–613, 624, 630–646, 1087, 1091–1096.
Manufacturing Sector Accounts, 730, 741.
Manure Industry, 640.
Manures, Imports of, 338, 353, 356.
Manures, Land Top-dressed with, 535.
Manures Used for Aerial Top-dressing, 425.
Maori Affairs, Board of, 470.
Maori Electorates, 1192.
Maori Housing, 294, 659, 1075.
Maori Lands, 469–473.
Maori Succession Duty, 802.
Maori Trustee, 470–471, 816.
Maori Welfare, 1184.
Maoris—
Births of, 66, 109–110.
Children Attending Schools, 175, 182–185, 187, 189.
Deaths of, 68, 114, 116–120.
Employment, 1090.
Expectation of Life, 117.
Franchise, 28.
Half-castes, 56, 58, 115.
In Mental Hospitals, 168.
In Prisons, 257, 265.
Infant Mortality of, 69–70, 118–120.
Marriages of, 67, 115.
Members of Parliament, 23, 1192.
Natural Increase of, 67.
Offences by, 256–257.
Population, 30, 45–47, 54–56.
Rehabilitation of, 290, 294.
Schools for, 173–174, 175, 178, 180, 182–185, 187, 188.
Sex Proportions of, 33.
Still-births, 82.
Map of New Zealand (End of Volume).
Maps and Mapping, 477.
Maps, Geological, 597.
Maps Showing Power Stations, etc., 673–674.
Marble, 594.
Marine Officers' Certificates, 381–382, 1046.
Marital Status, 62–63, 84–85.
Market Gardens, 526, 536–537, 1047–1049.
Registration of, 537.
Market Prices of Shares, Yield on, 1009.
Marketing of Primary Produce, 491–498.
Marriages, 67–68, 82–92, 115, 1205.
Masculinity Rate, 75, 82.
Masseurs (see Physiotherapists).
Massey Agricultural College, 173, 175, 193, 196, 290.
Materials Used in Factories, 602–604, 617–619, 624, 628–646, 1216.
Maternal Mortality, 69, 105, 106, 110–111, 118, 126.
Maternal Welfare, 131, 138.
Maternity Benefits, 156, 205, 221–222, 225, 226.
Maternity Hospitals, 138, 155, 156–157, 221–222.
Maternity Nurses, 145, 157, 221, 222.
Maternity Services, 156–157, 221–222, 225.
Maturity Dates of Loans, 812–815, 841.
Mauke Island, 2, 1135, 1137.
Mean Population, 32, 35, 490, 1204.
Mean Time, 1185.
Measures and Weights, 474, 526.
Meat—
Bulk-purchase of, 493.
Consumption of, 512, 513, 691, 692, 694.
Export Control, 494.
Export of, 311–316, 323–325, 333, 334, 378, 491, 1211.
Export Price Index, 1002.
Freezing and Preserving Industry, 605, 630, 853.
Industry Reserve Accounts, 506.
Inspection of, 516.
Levy on Exports of, 363.
Marketing of, 494–495.
Prices for, 494–495, 504–506.
Production, 512–514, 630–631, 1215.
Retail Prices of, 986.
Meat Producers Board, 494–495, 504.
Medical Advertisements, 133–134.
Medical Benefits, 205, 219–220, 225, 226.
Medical Bursaries, 195.
Medical Council, 144.
Medical Practitioners, 144, 220.
Medical Research Council, 143.
Medical Services, 129–169, 219–226.
In Cook Islands, 1137–1138.
In Niue Island, 1143.
In Western Samoa, 1148.
Medical Statistics, 120–128, 143, 244.
Medicine, Physical, 141–142.
Members of Parliament, 22–24, 1192.
Superannuation of, 24, 237.
Meningitis, 132.
Meningococcal Infections, 69, 102, 106, 117, 121.
Mental Defectives, 158–168, 263.
Mental Hospitals, 158–169, 221.
Mercantile Marine, 283, 285, 371–383.
Pensions, 225, 232, 234.
Merchandise, Exports of, 295–336, 366–368, 688–691, 755–756, 1210–1214.
Merchandise, Imports of, 295–309, 336–358, 364–370, 688–690, 756–757, 1210.
Merchandise Transhipped, 377–380.
Mercury, 584.
Metal Products Industry, 608, 609–628.
Metal, Scrap, Exports of, 313, 315.
Meteorology, 11–13, 430, 1134, 1142, 1145.
Midwives, 142, 144–145, 157, 221, 222.
Migration, External, 36–39. 1204.
Child, 39.
Mileage of—
Bus and Tramcar Routes, 397, 400.
Commercial Air Services, 423, 426.
Highways, 407, 408.
Railways, 384, 390, 394, 1224.
Roads, 403.
Mileage Tax, 405.
Military Colleges, 275.
Military Forces, 274–277, 283–284.
Military Pensions, 228–236.
Military Training Act, 270–271.
Milk—
Boards, 822.
Consumption, 691, 694.
Control of Prices and Sale of, 496.
Districts, 822–824.
Dried and Condensed, Exports of, 313, 314, 327, 333, 334, 1213.
Dried and Condensed, Production of, 511.
Examination and Testing of, 512, 516.
For School Children, 135, 189.
Marketing of, 496.
Subsidy, 507.
Milk Products (see Dairy Produce).
Milking Machines, 522.
Mills, 599–646.
Mineral Waters, 1186.
Minerals and Mineral Production, 581–598.
Miners' Benefits, 205, 207, 214–215, 225, 597–598.
Miners' Phthisis, 214.
Mining, 581–598, 811.
Accidents, 113, 588, 596, 1119–1131.
Act, Examinations under, 597.
Legislation, 581, 1042–1044.
Persons Engaged in, 588, 589, 592, 595, 596, 1094.
Produce Exported, 312, 314, 333, 334.
Sector Account, 730, 740.
Strikes, 1114, 1115.
Value of Production, 489, 581.
Ministers of Each Church, and Marriages by, 87–88.
Ministers Plenipotentiary, 1201–1203.
Ministries, Successive, 1189–1190.
Minors, Marriages of, 87.
Mission Schools, 175, 182, 1148, 1149, 1154.
Mitiaro Island, 2, 1135, 1137.
Monarch, The, 20–21.
Monetary, Banking, and Credit Systems, Royal Commission on, 845.
Monetary Benefits, Social Security, 205–219, 225–226, 784, 1088.
Money Orders Issued and Paid, 434–435, 1223.
Morbidity, 120–128, 244.
Mortality (see Deaths).
Mortgage Corporation, 893–894.
Mortgage Exemption, 799.
Mortgagee, Rights of, 884.
Mortgages, 883–893, 896, 939.
Rates of Interest on, 888–892, 898, 899.
State Advances, 893–900.
Mothers, Ages of, 76, 77, 79.
In Ex-nuptial Cases, 80.
Mothers, Average Issue of, 77.
Mothers, Previous Issue of, 77.
Motive Power in Factories, 616.
Motor Body Building and Repairs Industry, 645.
Motor Spirits—
Consumption of, 412.
Imports of, 348, 356.
Price Fixation of, 984.
Resellers, Licensing of, 1173.
Taxation on, 361, 364, 405, 413, 790, 833.
Motor Transport, 388, 395–402, 410–420.
Motor Vehicles—
Accidents, 69, 106, 111, 112, 118, 128, 416–420.
Assembly of, 608, 644.
Dormant Registrations, 413.
Drivers' Licences, 410, 833.
Duty on, 361.
Imports of, 354, 356.
Insurance, 940–945.
Methods of Purchasing, 699–700.
Registration and Licensing of, 410–413.
Repairs Industry, 608.
Taxation, 361, 405, 410, 714, 790.
Traffic Offences, 251, 252–253, 417–418.
Motor Vessels Registered, 381.
Motor-engineering Industry, 644–645.
Motorways, 409.
Mountains, 4–5.
Multiple Births, 75–76.
Murder, 69, 88, 106, 111, 118, 255, 260.
Abolition and Restoration of Death Penalty for, 256.
Museums, 192.
Mussels, 575, 578.
Mutton, Consumption of, 513, 691, 692.
Mutton Exported, 333, 334, 491, 691.
Mutton Produced, 512, 513, 630.
Mutual Insurance Associations, 953.

N

Nassau Island, 2, 1136, 1137.
Nassella Tussock Districts, 822–844.
National Airways Corporation, 422, 423, 776, 811, 820.
National Council of Adult Education, 199.
National Development Loans, 785, 813, 814.
National Employment Service, 1074, 1089–1090.
National Film Library, 192.
National Film Unit, 1235.
National Health Institute, 143.
National Income and Expenditure, 702–725.
National Income and Output Table, 729, 732.
National Library Service, 178, 200–201, 266.
National Licensing Polls, 1178–1179.
National Provident Fund, 239–242, 816.
National Roads Board, 403–404, 790.
National Roads Fund, 403–406, 780, 790.
National Savings, 808, 816, 869–870.
Nationality, 41–43.
Of Naturalized Persons, 42.
Of Overseas Shipping, 373–374.
Of Registered Aliens, 43–44.
Native Animals, 14.
Native Bush, 14, 452, 552–557.
Native Fresh-water Fishes, 580.
Native Grasses, 14.
Natural Increase of Population, 31–32, 44, 67, 73–74.
Naturalization, 41–43.
Nauru Island, 2, 1156–1157.
Naval Defence, 271–273, 281, 282, 283, 285.
Naval Expenditure, 273, 778.
Neo-natal Deaths, 95, 100–105, 119–120.
Nephrite, 594.
Net National Income, 729, 732.
Net National Output, 729, 732.
Net Note Circulation, 857–859.
Net Reproduction Rate, 32.
New Zealand Broadcasting Service, 192, 443–446, 816.
New Zealand Dairy Board, 493, 501, 502, 512.
New Zealand Mean Time, 1185.
New Zealand Red Cross Society, 148.
New Zealand Representatives Overseas, 1199–1200.
Newspapers Produced, 629.
Newspapers Registered, 434.
Newsprint, Exports of, 312, 314, 331, 333, 334, 572.
Newsprint, Imports of, 352, 571.
Newsprint, Production of, 565, 566.
Niue Island, 1, 2, 30, 335, 439, 1142–1145.
Note Issue, 847, 850, 857–859, 878–879.
Notes in Circulation, 857–859, 873, 1221.
Notification of Births, 71, 114.
Notification of Diseases, 121–123, 132.
Nukunono Island, 2, 3, 1153–1155.
Nullity of Marriage, 89–90.
Nurseries, 536, 537.
Nurses—
Dental, 136, 224.
District, 223.
In Public Hospitals, 844.
Industrial, 139.
Male, 145.
Maternity, 145, 157, 221, 222.
Plunket, 135, 147, 157.
Psychiatric, 145.
Public Health, 135, 147.
Registration of, 145.
Superannuation for, 240.
Nursing, 142–143, 223.
Nursing Aids, 145.

O

Oatmeal, etc., Consumption of, 693.
Oatmeal, etc., Production of, 632.
Oats, 526, 527, 528, 530, 533, 541, 1208.
Observatory, Time Signals From, 446, 1185–1186.
Occupation of Land, 450–452.
Occupational Health, 138–139.
Occupational Status, 1086.
Occupational Therapists, 145.
Occupational Training of Discharged Servicemen, 288–289, 293.
Occupations of Bankrupts, 1165–1166.
Occupations of Fathers, 78.
Ocean Island, 1156.
Offences, 250–259.
By Children, 196–199, 257–259.
By Maoris, 256–257.
By Women, 256.
Offenders Probation Act, 259, 267.
Officers' Certificates (Marine), 381–382, 1046.
Offices Act, Shops and, 1040–1042.
Official Representatives, 1199–1203.
Oil, Fish Liver, 578.
Oil, Production from Coal, 590.
Oil Wells, 592–593.
Oil, Whale, 312, 314, 575, 579.
Old People's Homes, 152, 157, 158.
Omnibuses Licensed, 411.
Onions, 527, 532, 541.
Exports of, 313, 315.
Opencast Mining, 589, 591.
Opium, Prohibition of, 133.
Opossum Skins Exported, 313, 314, 333, 334.
Opticians, Registration of, 146.
Oranges, Imports of, 344, 355, 358.
Orchards, 526, 527, 536, 538–539, 1048.
Orchestra, National, 446, 447.
Origin of Immigrants, 38.
Origin of Imports, 341–354.
Orphanages, 157.
Orphans' Benefits, 205, 207, 212, 225.
Ottawa Agreement, 359, 365.
Outlying Islands, 1, 1133.
Out-patients, 155.
Maternity Hospitals, 157.
Overdraft Authorities, Unexercised, 857.
Overdraft Rates, 874.
Overtime, 626–627, 1026–1027, 1039–1043, 1045, 1047–1048.
Owner-occupied Houses, Rental Value of, 702, 708, 717.
Oysters, 575, 578.

P

Pacific Islands, Annexed, 1133–1145.
Bibliography, 1245.
Education, 201–202.
Radio Communication, 439–440, 1140, 1144.
Paint and Varnish Industry, 607, 641.
Palmerston Island, 2, 1136, 1137.
Pan American World Airways, 427, 428.
Paper and Paper Products Industry, 606, 609–628, 638.
Paper and Pulp, External Trade in, 571–572.
Paper, Imports of, 352, 353, 356.
Paralysis Infantile (Poliomyelitis), 69, 102, 106, 117, 121, 122, 132.
Parcel-post, 332, 431, 434.
Parents—
Ages of, 76, 77.
Duration of Marriage of, 78.
Parks, National, 453.
Parliament, 21–24.
Members of, 22–24, 1192.
Parliamentary Elections, 22–23, 1173–1178.
Parliaments, Successive, 1193.
Parole Board, 266–267.
Passenger Mileage—
Air Services, 424–427.
Railways, 390.
Passenger Services, 414–416.
Passengers—
Buses, Tramcars, etc., 396, 398, 401.
Commercial Aircraft, 424–428.
Motor Vehicle, 416.
Overseas, 36–37, 1204.
Railway, 389–391, 1224.
Passports, 39–40.
Pastoral and Agricultural Production, 484–551, 1208, 1209.
Persons Engaged in, 1100.
Value of, 484–490.
Volume of, 486, 490.
Pastoral Produce—
Consumed Locally, 487, 691–692, 694.
Export of, 311–334, 487, 551, 1211–1214.
Gross Farming Income, 484–486.
Pasture Grasses, 451, 527, 535.
Patents, Designs, and Trade Marks, 1172–1173.
Patients in Mental Hospitals, 160–168.
Patients in Public Hospitals, 123–124, 155.
PAYE, 204, 794–797.
Payments, Balance of, 750–771.
Payments Overseas, 303–305, 861–862.
Peaks, Altitude of, 5.
Pears, 526, 538–539.
Export of, 313, 315.
Marketing of, 495–496.
Peas, 526, 527, 528, 531.
Export of, 313, 315, 330, 333, 334.
Pelts, Hides, and Skins, Export of, 311, 313, 314, 328–329, 333, 334, 378, 1213, 1214.
Penrhyn (Tongareva) Island, 2, 1135, 1137.
Pensions, 203–242, 703, 717.
Perinatal Mortality and Prematurity, 104–105.
Perlite, 583, 595.
Permanent Building Societies, 901–903.
Permanent Heads of Government Departments, 1195–1197.
Permits, Building, 648, 659–666.
Petitions—
Bankruptcy, 1163.
Divorce, 88–91.
Petrol (see Motor Spirits).
Petroleum, 581, 592–593.
Imports of, 356.
Pharmaceutical Benefits, 205, 220, 225, 226.
Pharmaceutical Chemists, 147.
Pharmaceuticals, Manufacture of, 641.
Pharmacy, 147, 1173.
Phormium, 452, 521, 540.
Industry, 605.
Phosphate Rock, 594, 640.
From Nauru Island, 2, 1156–1157.
Imports of, 353, 356.
Phthisis (see Tuberculosis).
Miners', 214.
Physical Welfare and Recreation, 148.
Physiography, 1–8.
Physiotherapists, 145.
Physiotherapy Benefits, 223, 226.
Picture Theatres, 1167–1172.
Pig-meats, 333, 334, 505, 630, 691, 692.
Pigs, 511, 521, 542, 543, 548–549, 1209.
Slaughtered, 514.
Pilots, Air, 429.
Pisciculture, 580.
Placement Service, 1074, 1089, 1098–1100.
Plaints, 249.
Planing Mills, 606, 637.
Planning, Town and Country, 829–830.
Plantations, 451, 521, 527, 536–537, 552–554.
State, 553.
Plants, New Zealand, 14.
Platinum, 584.
Plumbers, Registration of, 146.
Plunket System, 147, 157.
Plywood and Veneer, 566–567, 606, 643.
Poisoning, 111, 121, 122, 126, 132, 1124.
Poisons, 133.
Police Force, 267–268, 777.
Superannuation, 236.
Policies, Insurance, 933–954, 1226.
Poliomyelitis, 69, 102, 106, 117, 121, 122, 132.
Vaccination, 135.
Polling at—
General Elections, 1173–1178.
Licensing Polls, 1179.
Population, 30–65, 490, 1204.
Age Distribution of, 57–58.
Distribution of, 44–53.
Industrial Distribution of, 1082–1083.
Method of Compilation of, 34.
Occupational Status of, 1086.
Occupations of, 1084–1086.
Of Campbell Island, 30.
Of Cook Islands, 30, 1137.
Of Kermadec Islands, 30, 1134.
Of Nauru Island, 1157.
Of Niue Island, 30, 1142.
Of Ross Dependency, 30.
Of Tokelau Islands, 30, 1154.
Of Western Samoa, 30, 1147.
Projection, 32.
Pork Consumed, 513, 692.
Pork Exported, 333, 334, 691.
Pork Produced, 512, 513, 630.
Portfolios of Ministers, 1190–1191.
Ports—
Fishing, 577.
Of Arrival and Departure, 373.
Of Registry, 381.
Shipping and Trade of, 332, 356–357, 371–379.
Post Office Account, 785.
Post Office Employees, 442, 1095.
Accidents to, 1120, 1123, 1126–1128.
Superannuation of, 236–237.
Wages and Hours Worked of, 1027.
Post Office Savings Bank, 864–867, 875–876, 1222.
Postal and Telegraphic, 433–442, 776, 811. 816, 1223.
Tribunal, 1050, 1055.
Postal Notes, 435, 1223.
Post-primary Education, 171–177, 184–187, 1206.
Potatoes, 526, 527, 531–532.
Consumption of, 692, 694.
Export of, 313, 315, 333, 334.
Marketing of, 496.
Pottery, China, and Earthenware Industry, 607, 642.
Poultry, 521, 549–551.
Consumption of, 693.
Poultry Runs Registration, 550–551.
Pounamu (Greenstone), 594.
Power Boards, 672, 676, 822–844, 1220.
Power, Electric (see Electric).
Power Used in Factories, 616.
Preferential Tariff, 358–361, 364–369.
Pregnancy, Diseases, etc., of, 69, 102, 104–105, 106, 110–111, 118, 121, 126.
Premiers, Successive, 1189–1190.
Premium Income, 933–957.
Preserved Meats, Production of, 630.
Prevention of Forest Fires, 556, 559–560.
Prevention of Profiteering, 984.
Price Tribunal, 984–986.
Prices, 984–1011.
Collection of, 990, 997.
Comparisons with Other Countries, 988–989.
Effect on Exports and Imports, 1005.
Fixation of, 984–985.
Guaranteed, 500–504.
Of New Zealand Stocks, 816.
Post-war Control of, 985–986.
Regulation of, 984–986.
Stabilization of, 984–986.
Primage Duty, 359, 364.
Primary Products—
Consumption of, 486–487, 691–694.
Export of, 310–334, 378, 486–487, 1211–1214.
Marketing of, 491–498.
Primary Schools, 172–177, 180–184, 189–191, 1149, 1206.
Prime Ministers, Successive, 1189–1190.
Principal Events, 1227–1233.
Printing and Publishing Industry, 606, 609–628, 638.
Prisoners of War, 283.
Prisons and Prisoners, 257, 261–267, 1207.
Private Assignments, 1166–1167.
Probation, 251, 255, 259–260, 266.
Producers' Equipment, Imports of, 339, 340, 341.
Producers' Materials, Imports of, 339, 340.
Production—
Agricultural and Pastoral, 484–551, 1208, 1209.
Clothing, 635–636.
Dairy, 509–512, 631, 1215.
Factory, 489, 490, 599–646, 1216.
Fisheries, 575–577.
Forestry, 489.
Local Consumption of, 486–487, 691–692.
Meat, 512–514, 630–631, 1215.
Mineral, 489, 581–597.
Per Head of Population, 490.
Pulp and Paper, etc., 565–566.
Timber, 563–566, 636, 1215.
Value of, 484–490, 689.
Volume of, 486, 489–490, 625–626, 689–691.
Wool, 485, 515–516, 1215.
Professors, University, 193.
Profit Sharing, 1032.
Profiteering, Prevention of, 984.
Prohibition Issue, 1178–1179.
Prohibition Orders, 251.
Promotion of Employment, 1073–1074, 1088–1090.
Promotion of Industries, 1074.
Properties Transferred, 454–458.
Proprietors, Working, 1091, 1092.
Prorogation of Parliament, Dates of, 1193.
Protection of Wages, 1056–1057.
Provident Fund, National, 239–242, 816.
Provincial Districts, 822.
Area and Population of, 44–45.
Density of Population in, 54.
Factory Production in, 603.
Public Accounts, 772–786.
Public Administration Sector Account, 731, 745.
Public Buildings, Expenditure on, 780.
Public Debt, 808–821, 1218.
Repayment of, 777, 808–814, 818–820.
Public Finance, 772–821, 1217, 1218.
Public Health, 129–169.
Public Holidays, 1188.
Public Service, 1049, 1197–1199.
Board of Appeal, 1198.
Classification, 1198, 1199.
Commission, 1197–1199.
Employees, 1197.
Superannuation, 236–237.
Public Trust Office, 1158–1160.
Public Utilities Sector Account, 731, 742.
Public Works—
Accidents, 1120, 1123, 1126–1128.
Account, 779–780, 785.
Co-operative System, 1032.
Employees, 1050, 1101–1102.
Housing Construction, 656–658, 664–665, 779, 780.
Railway Construction, 384, 779, 780.
Road Construction, 403–404, 779, 780.
Public Works and Services, Maintenance of, 714, 778–780.
Publicans' Licences, 833, 1179–1183.
Publications—
Agriculture, Department of, 517, 535.
Census, 56.
Education, Department of, 192, 1134.
General Bibliography, 1236–1246.
Labour and Employment Gazette, 1090.
Lands and Survey, Department of, 476–477.
New Zealand Flora, 14.
New Zealand Listener, 445, 447.
Register of Newspapers, 434.
Statistics, Department of (see Forefront of Book).
Publishing and Printing Industry, 606, 609–628, 638.
Puerperal Accidents, etc., 69, 102, 104–105, 106, 110–111, 118, 121, 126.
Puisne Judges, 1194.
Pukapuka (Danger) Island, 2, 1136, 1137.
Pulp and Paper, External Trade in, 571–572.
Pulp and Paper Industry, 565–566, 638.
Pulp and Paperboard, Imports of, 356.
Pumice, 312, 314, 582, 595.
Pupils, School, 175–189, 1206.

Q

Quackery Prevention, 133.
Quadruplets Born, 75.
Quarries, 595, 1042, 1044.
Accidents at, 113, 596, 1120, 1128.
Persons Engaged in, 596, 1094.
Quartz Mining, 583.
Quicksilver, 584.
Quorum—
Executive Council, 25.
House of Representatives, 22.
Quotations, New Zealand Stocks, 816.

R

Rabbit Districts, 822–844.
Rabbit Skins Exported, 313, 314, 333, 334, 1213.
Rabbits, Destruction of, 425, 519.
Racial Origins, 58–59.
Racing Taxation, 787, 803–805.
Radiation Protection, 139–141.
Radio Advertising, 443–448.
Radio Assembly and Manufacture, 608, 629, 644.
Radio Beacons, 382.
Radio Broadcasting, 192, 443–449.
Radio Communication, 439–440, 1140, 1144.
Radio Licences, 448–449.
Radio Stations, 439, 440, 443–446, 1140, 1144.
Radio Time Signals, 446, 1185–1186.
Radioactive Substances Act, 140.
Radiography Statistics, 141.
Radiologists, 139–141, 222, 226.
Radio-telephone Services, 440.
Raffles, 1183–1184.
Rail Cars, 385
Railway and Tramway Equipment, Imports of, 339, 354.
Railways, 384–394, 1224.
Accidents, 112, 128, 394, 418.
Air Freight Service, 424.
Debt, 811.
Employees, 393–394, 1095.
Private, 384, 394.
Revenue and Expenditure, 387–389, 783, 1224.
School Children's Transport, 188.
Superannuation, 236–237, 394.
Tribunal, 394, 1049, 1055.
Wages and Hours Worked of Employees, 1022, 1027.
Rainfall, 11–13.
Rakahanga (Reirson) Island, 2, 1136, 1137.
Rangemaking Industry, 608, 644.
Ranges, Mountain, 4–5.
Raoul Island, 1134.
Rape, 526, 541.
Rarotonga Island, 2, 1135, 1137–1140.
Rateable Value of Land, 489.
Rates, Local Government, 715, 807, 827–829, 1219.
Rates of Exchange, 880–881.
Rates of Interest—
On Building Societies' Deposits, 877.
On Company Deposits, 877.
On Fixed Deposits, 875, 877.
On Local Government Debt, 840–841, 843.
On Mortgages, 888–892, 898, 899.
On Public Debt, 812–814, 817.
On Rehabilitation Loans, 292.
On Rural Intermediate Credit, 899.
Paid by Savings Banks, 875–876.
Rates of Tax, 791–799, 973–974, 977.
Rates of Wages, 1012–1027, 1040, 1041, 1042, 1045, 1048, 1051–1061.
Rates of War Pensions, 229–232.
Rating by Local Government, 151, 827–829.
On Unimproved Value, 828.
On Urban Farm Lands, 480.
Receipts, Overseas, 303–305, 861.
Reciprocal Benefits, Social Security, 203, 204, 205, 218–219, 784.
Reciprocal Tariff and Trade, 364–370.
Reclamation of Sand Dunes, 561.
Recreation and Physical Welfare, 148.
Recruiting—
Air Force, 279.
Army, 274–275.
Navy, 272.
Police, 268.
Red Cross Society, 148.
Redemption of Loans, 777, 781, 811–814, 834.
Redemption of Mortgages, 883–884, 892–893.
Redemption of Savings Bonds, 870.
Re-exports, 335.
Reformative Detention, 255, 262.
Refrigerators, 629, 655.
Refuge Homes, 157.
Refugee Organization, International, 39.
Registrars, Marriages Before, 82, 87.
Registration of—
Adopted Children, 81.
Aliens, 43–44.
Apiaries, 551.
Apprenticeships, 1067.
Births, 66, 70–71, 114.
Building Societies, 900.
Chemists, 147.
Companies, 904–908, 1225.
Dairy Companies, 512.
Deaths, 92–93, 116.
Deeds, 455, 883.
Dentists, 144.
Designs, 1172, 1173.
Electors, 28, 825.
Ex-nuptial Births, 71, 79.
Fishing Vessels, 574.
Friendly Societies, 243.
Hospital Dietitians, 146.
Industrial Unions, 1103.
Land Titles, 454–455.
Male Nurses, 145.
Maori Births, 114–115.
Maori Deaths, 93, 114, 116.
Maori Electors, 28.
Market Gardens, 537.
Marriages, 82, 115.
Maternity Nurses, 145.
Medical Practitioners, 144.
Midwives, 145.
Mortgages, 883–893.
Motor Vehicles, 410–413.
Newspapers, 434.
Nurseries, 537.
Nurses, 145.
Nursing Aids, 145.
Occupational Therapists, 145.
Opticians, 146.
Orchards, 538.
Patents, 1172, 1173.
Pharmaceutical Chemists, 147.
Physiotherapists, 145.
Plumbers, 146.
Poultry-runs, 550–551.
Private Schools, 183.
Psychiatric Nurses, 145.
Still-births, 81, 93, 104.
Trade Marks, 1172, 1173.
Trade Unions, 1103.
Unemployed, 1088.
Vessels, 380–381.
Registry, Ports of, 381.
Regulation of Prices, 984–986.
Regulation of Wages, 1014.
Rehabilitation, 195, 286–294, 714, 777, 895–898, 1047.
Relief Institutions, 149–158.
Relief of Unemployment, 215–216, 1073–1074, 1088.
Relief, Outdoor, 153–154.
Religious Professions, 63–64.
Marriages by Ministers of, 87–88.
Officiating Ministers, 82, 87–88.
Renewable Leases, 463–468.
Rent Restrictions, 1076–1080.
Rental Cars, 411.
Rental Value, Owner-occupied Houses, 702, 708, 717.
Renters, Film, Taxation of, 805.
Rents, House, 1076–1080.
Rents, Stabilization of, 1077.
Repayment of Public Debt, 777, 811–814, 818–820.
Representation Commission, 27.
Representatives, House of, 21–24, 1192.
Broadcast of Proceedings of, 446.
Election of, 22–23, 1173–1178.
Members of, 1192.
Representatives in New Zealand, 1201–1203.
Representatives Overseas, 1199–1200.
Reproduction Rate, 32.
Research, Agricultural, 516–518, 529, 530, 541.
Research, Coal, 590.
Research, Dental, 137.
Research, Educational, 199.
Research, Forestry, 572–573.
Research Institute, Wheat, 529, 530.
Research, Medical, 143.
Research, Mining, 596–597.
Research Scholarships, 195.
Reserve Bank, 303–305, 816, 820, 845–848, 878–879.
Reserves, Air Force, 280.
Reserves, Farm Industry, 506.
Reserves, Military, 277.
Reserves, Naval, 273.
Reserves, Public or Scenic, 452–453.
Residence, Duration of, of Overseas Born, 61.
Restrictions on Employment, 1039, 1042–1043, 1045, 1049.
Retail and Wholesale Trade Sector Account, 731, 743.
Retail Prices, 986–988.
Retail Trading, Quarterly Surveys, 695–698.
Retailers, Bank Advances to, 853.
Revaluations, Land, 480.
Revenue, 772–807, 1217.
Broadcasting, 447.
Customs, 363–364, 787, 790.
Electric Power, 675–677, 678, 680, 833.
Forest Service, 561–562.
Insurance Companies, 936, 938, 949, 941, 953–957, 1226.
Local Government, 152, 676, 715, 831–833, 1219.
National Roads Fund, 405, 780.
Picture Theatres, 1167–1171.
Post and Telegraph, 435, 436, 440, 441.
Railway, 387–389, 392, 393, 783, 1224.
Social Security Fund, 204, 784, 787, 806.
Urban Transport, 398, 399, 401, 402.
Rice, Imports of, 355.
Rivers, 6–7, 668–670.
Control of, 779, 780.
Road Districts, 822–824.
Bridges in, 403.
Debt of, 836.
Mileage of Roads, 403.
Road Goods Services, 414–416.
Road Passenger Services, 395–402, 414–416.
Road Safety, 416–418.
Road Transport, 395–402, 413–416.
Roads, 403–420.
Accidents on, 69, 106, 111, 112, 118, 418–420.
Expenditure on, 404–410, 780, 811.
Taxation, 404–405, 410, 413, 787, 790.
Roll, Valuation, 478–479, 828.
Rolling Stock—
Buses, Tramcars, etc., 397, 398, 400.
Railway, 385–386.
Roman Catholic Schools, 174, 184, 1138.
Ross Dependency, 2, 3, 30, 1155–1156, 1246, 1247–1274.
Whaling, 1156.
Rotorua Thermal Springs, 1186.
Royal New Zealand Air Force, 278–280, 285.
Royal New Zealand Navy, 271–273, 281, 282, 283, 285.
Rubber Products Industry, 607, 609–628, 639,1027.
Rural Advances, 459–460, 467, 893–899.
Rural Education, 188–189.
Rural Housing, 660, 663–664, 830, 896, 1076.
Rural Intermediate Credit, 899.
Rural Mail Deliveries, 433.
Rural Mortgages, 886–887, 889, 896.
Rural Population, 45–46.
Ryecorn, 526, 541.

S

St. Helens Hospitals, 138, 156, 157, 222.
St. John Ambulance, 147.
Safety of Machinery, 1132.
Salaries and Wages, 153, 399, 402, 441, 602–608, 613–615, 628–646, 675–677, 685–687, 708, 717, 722, 723, 739–747, 969, 1168, 1216.
Charge on, 151, 204, 784, 787, 806, 1014.
Salaries of Members of—
Executive Council, 23.
House of Representatives, 23–24.
Public Service, 1199.
Sales Tax, 714, 776, 787, 806–807.
Salmon, 580.
Salt, 582, 594, 820.
Samoa (see Western Samoa).
Sanatoria, 155.
Sanctuaries, Wildlife, 454.
Sand and Gravel, 582, 595.
Sand Dunes, Reclamation of, 561.
Sanitation, 129–134.
Sausage Casings, Export of, 313, 314, 329, 333, 334.
Savai'i Island, 3, 1145.
Savings Accounts and Bonds (National), 808, 869–870.
Savings Banks, 864–870, 875–876, 1222.
Savings, Private, 705–712.
Savings, Small, 870.
Sawmills, etc., 563–569, 606, 636.
Wages and Hours Worked of Employees, 1022, 1026.
Scheelite, 312, 314, 583.
Scholarships, 194–196, 1148.
School Certificate, 173, 177.
School Children, 175–189, 1206.
Dental Treatment of, 136.
Medical Inspection of, 135.
Milk for, 135, 189.
Transport and Board of, 188.
School Committees, 170, 171.
School Inspectors, 181, 183, 185.
School Journal, 192, 1134.
School Savings Bank, 866–867.
School System, 172–175.
School Teachers, 170–172, 183, 184, 190–192.
Superannuation, 236–237.
Schools, 170–202, 1138, 1143, 1148, 1149.
Carpentry, 288.
Combined, 175, 184–187, 189, 192.
Consolidation of, 188.
Denominational, 174, 184, 1138, 1148, 1149.
Dental Clinics, 136.
Military, 275–276.
Of Mines, 193, 596.
Private, 175, 183–184, 189, 1206.
Public, 170–192, 1206.
Special, 178, 198.
Science, Defence, 269–270.
Scientific and Industrial Research, Department of, 517–518.
Sea Fisheries, 574–580.
Seals, 579.
Seamen, 225, 232, 234, 1045–1047.
Seamen Act, Shipping and, 1045.
Secondary Education, 171–177, 184–189, 192, 1206.
Sector Accounts, 726–749.
Seed Certification, 532, 541.
Seed Sowing, Aerial, 425.
Seeds, Grass and Clover, 526, 527, 534.
Exported, 313, 315, 330, 333, 334, 1213.
Seismology, 9–11.
Sentences on Criminals, 254–255, 1207.
Separate Rates, 827.
Separation, Judicial, 89, 90.
Separators, Cream, 522.
Serpentine, 582, 594, 595, 640.
Service, Public (see Public Service).
Service-car Licences, 411.
Servicemen—
Acquisition of Land by, 289–290, 467–469.
Casualties Overseas, 282–285.
Demobilization of, 294.
Educational Facilities for, 291.
Financial Assistance to, 292–294, 467–469, 895–898.
Pensions for, 225, 228–236.
Registration of Deaths of, 93.
Rehabilitation of, 195, 286–294, 714, 895–898, 1047.
Services—
Air Force, 278–280, 282, 285.
Army, 274–277, 281–283.
Navy, 271–273, 281, 282, 283, 285.
Services Sector Account, 731, 746.
Sessions, Parliamentary, Successive, 1193.
Settlement of Industrial Disputes, 1061–1066, 1116–1117.
Settlement of Land, 450–473.
Settlement, Servicemen's, 289–290, 292–294, 467–469.
Settlement, Small Farms, 463–469.
Sex Proportions, 33–34.
Sexes of—
Children Born, 74–76, 82, 115.
Factory Employees, 610–612.
Patients in Mental Hospitals, 160–168.
Patients in Public Hospitals, 124.
Prisoners, 263.
Scholars and Students, 181, 183–186, 193, 194.
School Teachers, 183, 184, 190–192.
Twin Births, 76.
Share Prices, Index Numbers, 1005–1011.
Sharemilking Agreements, 1047.
Shares in Building Societies, 901, 902.
Shares, Labour, 1032.
Shearers' Wage Rates, 1022, 1055–1056.
Shearing Machines on Farms, 522.
Sheep, 542–546, 1209.
Sheep and Lambs Slaughtered, 514, 630.
Sheep Farms, 521.
Sheep Skins and Pelts Exported, 313, 314, 328–329, 333, 334, 1214.
Sheetmetal Working Industry, 608, 645.
Shipping, 371–383.
Shipping and Seamen Act, 1045.
Ships (see Vessels).
Shoe and Boot Industry, 636.
Shops and Offices Act, 1040–1042.
Shops, Fire Losses on, 952.
Short-wave Radio Broadcasting, 443, 445.
Sick Funds, 244, 394, 441.
Sickness, 120–128, 244.
Benefits, 205, 207, 216–217, 225.
Insurance, 244, 940.
Signals, Time, 446, 1185–1186.
Silage, 533.
Silica Sand, 582, 595.
Silver, 581, 583.
Coins, New Zealand, 877.
Exported, 312, 314, 333, 334.
Silviculture, 556–559.
Sinking Funds, 154, 679, 681.
Skins, Hides, and Pelts, Export of, 311, 313, 314, 328–329, 333, 334, 378, 1213, 1214.
Slaughter of Animals for Food, 514.
Snares Islands, 2, 1134.
Soap and Candle Industry, 607, 640.
Social Accounts, 702–771.
Social Security, 151, 203–227, 1031, 1035.
Benefits, 137, 168, 205–227, 703, 714, 717, 784.
Charge, 151, 204, 784, 787, 806, 976, 977, 1014.
Fund, 137, 204, 784, 788, 806.
Reciprocity with Australia, 203, 204, 205, 218.
Reciprocity with Great Britain, 203, 205, 218–219.
Special Assistance, 217.
Taxation, 204, 714, 784, 787–789, 806, 1014.
Soil Conservation, 461–462, 560, 779, 780.
Soil Survey, 518.
Solander Island, 2, 1134.
Soldiers, 274–277, 281–283.
Sources of Income, 969–970.
South Africa, Union of—
Birth and Natural Increase Rates, 74.
Population, Annual Average Increase, 33.
Prices in, 988, 989.
Reciprocal Trade with, 365–366.
South African War Pensions, 225, 228, 231, 234.
Southern Alps, 4–5.
Sovereignty, 19–20.
Spas, 1186.
Specialist Services, 223, 226.
Specie, Movement of, 308, 1210.
Speed Limit, 416–417.
Spinsters Marrying, 85.
Spirits, Consumption of, 693.
Spirits, Duty on, 361, 362, 364.
Spirits, Imports of, 345, 355.
Sports, 148.
Stabilization of—
Prices, 984–986.
Rents, 1077.
Wages, 1057–1061.
Stabilization Subsidies, 506–507, 703, 715, 777.
Stakes, Tax on, 804.
Stamp Duties, 776, 787, 802–803.
Standard Time, 1185.
Standardized Death Rates for Cancer, 108.
State Advances, 830, 833, 893–900, 1075.
Corporation, 652, 653, 816, 820, 830, 893-900, 1075.
State Aid to—
Afforestation, 560.
Building, 652–653, 830, 893–900, 1075.
Cook Islands, 1141.
Discharged Servicemen, 286–294, 467–469, 895–898.
Farming Industry, 462–469, 516–520, 893–899.
Hospital Boards, 151, 152, 154.
Housing, 830, 893–900, 1075.
Immigrants, 38–39.
Local Government, 151, 152, 154, 406–408, 715, 830, 894–898.
Manufacturing, 896–898.
Mining, 596–597.
Niue Island, 1145.
Prospecting, 596.
Purchases of Private Land, 467.
Superannuation Funds, 238, 241.
Unemployed, 215–216, 225, 1073–1074, 1088.
Wheat Growing, 529, 530.
State Coal Mines, 590–592.
Account, 783–784.
Persons Employed in, 592.
State Departments, 25–26, 1158, 1190–1191, 1195–1197.
State Finance, 713–717, 772–821, 1217, 1218.
State Forests, 552–559, 811.
Accidents, 1120, 1123, 1126–1128.
State Housing, 648, 656–658, 664–665, 780, 811, 1076.
Sale of, 899–900.
State Hydro-electric Department, 668, 1101.
Accidents to Employees, 1120, 1123, 1126–1128.
State Indebtedness, 808–821, 1218.
State Insurance—
Accident, 816, 955.
Earthquake and War Damage, 785, 956–957
Fire, 816, 955–956.
Life, 953–954.
State Marketing, 493.
State Maternity Hospitals, 156–157, 221–222.
State Placement Service, 1074, 1089, 1098–1100.
Stations—
Air Force, 279.
Fire Brigade, 953.
Hydro-electric, 668–670.
Meteorological, 11, 13, 1134.
Naval, 272.
Radio, 439, 440, 443–446, 1134, 1140, 1144.
Telephone, 436.
Statistical Information, Latest (see Forefront of Book).
Statistical Publications (see Forefront of Book).
Statistical Summary, 1204–1226.
Statutes of 1957, 1187–1188.
Steam, Geothermal, 671.
Steel and Iron, Imports of, 349, 356.
Sterling Exchange—
Holdings of, 848, 859, 860.
Rates, 880–881.
Sterling Values of Currency, 880–881.
Sterling Values of Trade, 297.
Stewart Island, 2, 3.
Oysters, 578.
Population, 50.
Still-births, 75, 76, 81–82, 103–105.
Registration of, 81, 93, 104.
Stock and Station Agents—
Advances to, 853.
Deposits, etc., with, 870–871, 877.
Stock, Live (see Livestock).
Stock, Quotations for, 816.
Stocks, Retail, 698.
Stone Fruits, 526, 538, 539, 692.
Stone Quarries, 595, 1044.
Stones, Building and Ornamental, 582, 594, 595.
Stranding of Vessels, 383.
Streets and Roads, Length of, 403.
Strikes, 1050, 1061–1066, 1110–1118.
Students, 175–178.
Students, University, 175, 177, 193, 194, 1206.
Subscribers, Telephone, 436.
Subsidies—
Highways, 406–408.
On Coal Production and Distribution, 507, 715.
On Food and Clothing, 507, 715.
Stabilization, 506–507, 703, 715, 777.
To Farming Industry, 507, 715.
To Gasworks, 507, 683.
To Hospital Boards, 151, 152, 154.
To Local Government, 833.
To Mining, 596.
To National Provident Fund, 241.
To Superannuation Funds, 238, 441, 781, 783, 784.
To Transport Industry, 507, 715.
Succession Duty, 800–802.
Suffrage, 23, 28, 824–826.
Sugar—
Consumption of, 693, 694.
Duty on, 360, 362, 364.
Exported, 313, 315.
Imports of, 345, 355.
International Agreement, 370.
Price Fixation of, 984.
Used by Factories, 632, 633, 634.
Sugar of Milk Exported, 313, 314, 333, 334.
Suicide, 69, 106, 113–114, 118, 260.
Sulphur, 356, 585, 640.
Summary Convictions, 250–254, 257, 1207.
Summer Time (Daylight Saving), 1185.
Sunshine, 11–13.
Superannuation, 24, 152, 236–239, 394, 777.
Benefits, Social Security, 205, 208, 225.
Private Funds, 238–239.
Superphosphate and Fertilizer Industry, 640.
Superphosphate, Price Fixation of, 984.
Supplementary Medical, etc., Benefits, 205, 222–226.
Surtax, 359.
Survey of Companies with Overseas Affiliations, 765–771.
Survey Publications, 476–477.
Survey System, 474–475.
Surveys, 474–477.
Aerial, 425, 475–476.
Geodetic, 474.
Geological, 586, 592, 596–597.
National Forest, 555.
Of Coal Resources, 586–587.
Of Consumer Credit, 698–701.
Of Employment, 1090–1096.
Of Retail Prices, 989.
Of Retail Trading, Quarterly, 695–698.
Of Ships, 382.
Soil, 518.
Tidal, 476.
Sustenance Allowances, 1073, 1088.
Suwarrow (Anchorage) Island, 2, 1136, 1137.
Swedes, 526, 527, 533, 541.
Sweepstakes, 1183–1184.
Swimming, 148.
Drowning Accidents, 111.
Swordfish, 579.
Syphilis, 69, 102, 106, 117, 119, 122, 125, 132, 162, 163, 165.

T

Takutea Island, 2, 1135, 1137.
Tallow Exported, 313, 314, 327, 333, 334, 378, 1211.
Tallow Produced, 630.
Tanning Industry, 607, 639, 1026.
Tariff, Customs, 358–370.
Tariffs and Trade Agreement (GATT), 369.
Tasman Empire Airways Ltd., 426–427, 811, 820.
Tasman Pulp and Paper Co. Ltd., 566, 820.
Tax, Income, 714, 776, 781, 787, 791–799, 958–983.
Tax, Land, 714, 776, 787, 791, 799.
Taxation, 363, 703–725, 776, 786–807, 1217.
Amusement, 787, 805, 1168–1171.
Customs, 358–370, 714, 787, 790.
Direct, 710, 711, 714, 715, 719–722, 786.
Employment Promotion, 806, 1014.
Film Hire, 776, 787, 805.
Forest, 561.
Highways, 404–405, 787, 790.
Indirect, 703, 711, 714, 719, 720.
Local Government, 715, 807, 827–829.
Motor Spirits, 361, 364, 405, 413, 790, 833.
Motor Vehicles, 361, 405, 410, 714, 790.
Orchards, 538.
Racing, 787, 803–805.
Roads 404–405, 776, 787, 790.
Sales, 714, 776, 787, 806–807.
Social Security, 204, 714, 784, 787–789, 806, 1014.
War, 360–362, 788.
Taxis, 411.
Taxpayers, Incomes of, 958–983.
Tea—
Consumption of, 693.
Duty on, 360.
Imports of, 345, 355.
Teachers' Grading, 171.
Teachers' Superannuation, 236–237.
Teachers' Training Colleges, 173, 177, 178, 190–191.
Teaching Aids, 192.
Teaching Profession, 190–192.
Technical Correspondence School, 175, 186.
Technical Education, 175, 184–187, 192, 1206.
Telegraph Services, 435–436, 439.
Telephones, 435–439.
Television, 445.
Temperature Records, 11–13.
Tenancy and Rents, 1074–1080.
Tenure of Crown Lands, 462–469.
Tenure of Dwellings, 655.
Tenure of Occupied Land, 452, 464–466.
Terminating Building Societies, 901–903.
Terms of Trade, 1005.
Territorial Air Force, 278–280.
Territorial Forces, 274–277.
Pensions for, 228.
Textiles, Duty on, 361.
Textiles, Production of, 605, 609–628, 635.
Theatres, etc., Fire Losses on, 952.
Theatres, Picture, 1167–1172.
Therapists, Occupational, 145.
Third-party Risks Insurance, 940–945.
Thorium, 584–585.
Three Kings Islands, 2, 1134.
Threshing Machines, 522, 523.
Thrift Club Accounts, Post Office Savings Bank, 865–866.
Tidal Survey, 476.
Timber—
Carried on Railways, 392, 393.
Export Duty on, 362.
Export of, 312, 314, 331, 333, 334, 569–571.
Import Duty on, 361, 367.
Imports of, 351, 356, 569–570.
Output, 563–566, 636, 1215.
Value of, 489.
Plantations, 451, 521, 527, 536–537, 552–554.
Preservation of, 567–569.
Resources, 552–554.
Royalties, 562.
Sales, 562.
Trees, 14, 573.
Timbers, Strengths of, 573.
Time Lost—
Through Industrial Accidents, 1125–1129.
Through Industrial Disputes, 1111–1118.
Time Service, 446, 1185–1186.
Tin, 584.
Tire Tax, 361, 405, 790.
Title, Certificates of, Issued, 454–455.
Titles, Compulsory Registration of, 454.
Tobacco, 527, 540.
Consumption of, 693.
Duty on, 360, 362, 364.
Factories, 605, 609–628, 635, 1026.
Imports of, 337, 345, 355.
Tokelau (Union) Islands, 1–3, 30, 40, 1153–1155.
Toll Communications, 436, 438–439.
Ton-miles Flown, 424–427.
Tonnage of Registered Vessels, 380–381.
Tonnage of Shipping and Cargo, 371–381.
Tons, One-mile, Railway, 392, 393.
Top-dressing, 425, 535–536.
Topographical Mapping, 475.
Totalizator Taxation, 803–805.
Totalizator, Turnover on, 804.
Tourist Agents Overseas, 1199–1200.
Tourist Attractions, 1186.
Tourists, 37.
Tourists' Rail Tickets Issued, 391.
Town and Country Planning, 829–830.
Town Districts, 822–824.
Area of, 53.
Bridges in, 403.
Capital and Unimproved Values, 482.
Debt, 836, 839.
Mileage of Streets, 403.
Population, 53.
Tractors, Imports of, 351, 356.
Tractors on Farms, 522, 523.
Trade, 295–380, 1210–1214.
Agreements, 364–370.
Balance of, 298.
Board of, 359.
Classification of Statistics, 307.
Commissioner Service, 310.
Cook Islands, 335–336, 357–358, 1140–1141.
Direction of, 299–303.
Nauru Island, 1157.
Niue Island, 335, 1144.
Of Ports, 332, 356–357, 371–379.
Representatives, 1199–1203.
Terms of, 1005.
Volume of, 306, 690.
Western Samoa, 1150–1151.
Trade Marks, 1172, 1173.
Trade Training of Discharged Servicemen, 288–289, 294.
Trade Unions, 1061–1066, 1103–1109.
Trades Certification, 177, 1067.
Trading Accounts, State, 782–784.
Trading Banks, 848–857, 873, 1221.
Trading Companies, Deposits, 877.
Trading, Retail, Quarterly Surveys, 695–698.
Traffic—
Accidents, 69, 106, 111, 112, 118, 128, 394, 416–420.
Air, 421–432.
Motor, 410–420.
Offences, 251, 252–253.
Railway, 388–393, 1224.
Training of—
Defence Forces, 271–280.
Dental Nurses, 136.
Discharged Servicemen, 288–289, 294.
Nurses, 142.
Police Recruits, 268.
Teachers, 177, 178, 190–191.
Tramways, etc., 395–402.
Accidents, 112, 418.
Cable, 395.
Transhipment of Cargo, 377–380.
Transport, 371–432.
Districts, Urban, 822–844.
Equipment, Imports of, 339, 340, 341.
Equipment Industry, 608, 609–628, 644–645.
Licensing, 414–416.
Of School Children, 188.
Persons Engaged in, 1095.
Urban, 395–402.
Transport and Communications Sector Account, 731, 743.
Trawling, 574, 577.
Treasury Bills, 809, 815.
Treaty of Waitangi, 19, 469.
Tree Planting, 552–561.
Trees, Forest, 14, 573.
Triplets, Born, 75–76.
Trolley-buses, 397–400.
Trout, 7, 580.
Trust (Liquor) Control, 1183.
Trust Territory, 1–3, 30, 40, 236, 1145–1153, 1156.
Trustee, Maori, 470–471, 816.
Trustee, Public, 1158–1160.
Trustee Savings Bank, 867–869, 876.
Tuberculin Tests, 123.
Tuberculosis, 69, 102, 103, 106, 107, 108, 119, 121, 122–123, 125, 130, 131, 132, 134, 148, 155, 168, 1138.
Maori Deaths from, 117.
Register, 123.
Tungsten Ore, 581, 583–584.
Tunnels, Railway, 384, 385.
Turkeys, 549.
Turnbull, Alexander, Library, 1235.
Turnips, 526, 527, 533, 541.
Tussock Boards, Nassella, 822–844.
Tussock Land 535.
Twins and Triplets Born, 75–76, 80.

U

Undergraduates, 193.
Under-Secretaries, Parliamentary, 23.
Unemployment, 1073–1074, 1087–1088.
Benefits, 205, 207, 215–216, 225, 1074, 1088.
Taxation, 806, 1014.
Unexercised Overdraft Authorities, 857.
Unimproved Occupied Land, 452.
Unimproved Value of Land, 478–483.
Land Tax Assessed on, 799.
Rating on, 828.
Unions, Trade, 1061–1066, 1103–1109.
United Kingdom—
Birth and Natural Increase Rates, 74.
Consumption of Foodstuffs, 692, 694.
Dairy Produce and Meat Imported into, 491.
Debt Domiciled in, 811–817, 839, 1218.
New Zealand Representatives in, 1200.
Population, Annual Average Increase, 33.
Prices in, 988, 989.
Representatives in New Zealand, 1202–1203.
Social Security Reciprocity, 203, 205, 218–219.
United Nations, 3, 74, 84, 95, 99, 1145.
United States of America—
Birth and Natural Increase Rates, 74.
Consumption of Foodstuffs, 692, 694.
Debt Domiciled in, 814.
Exchange Rate with, 881.
New Zealand Representatives in, 1200.
Population, Annual Average Increase, 33.
Prices in, 988, 989.
Representatives in New Zealand, 1203.
University Education, 173, 175, 177, 186, 192–196, 1206.
University Professors, 193.
University Scholarships, 194–196.
Unpaid Fractions, Totalizator, 804.
Upolu Island, 3, 1145.
Uranium, 584–585, 596.
Urban Drainage Districts, 822–844.
Urban Drift, 45.
Urban Farm Lands, Rating on, 480.
Urban Housing, 659–666.
Urban Mortgage, 886–887, 889, 896.
Urban Population, 45–48.
Urban Transport, 395–402.
Urban Transport Districts, 822–844.

V

Vacancies, Employment, 1093, 1097, 1100.
Vaccination, 134, 135.
Valuation—
Of Exports, 295, 310.
Of Imports, 295–296, 336.
Of Land, 477–483.
Of Personal Expenditure, 705.
Roll, 478–479, 828.
Value Added in Manufacturing, 602–608, 620–622, 624, 625, 626, 630–646, 1216.
Value of—
Currency, 880–881.
Factory Production, 488–490, 602–646, 1216.
Farm Production, 484–490.
Goods Available for Use, 688–689.
Materials Used in Factories, 602–646, 1216.
Production, 484–490, 689.
Veal—
Consumption of, 513, 692.
Export of, 333, 334.
Production of, 512, 513, 630.
Vegetable Gardens, 537.
Home Production in, 537.
Vegetables—
Consumption of, 692, 693.
Exported, Canned, 313, 315.
Retail Prices of, 986.
Vegetation, 14.
Vehicles—
Buses, Tramcars, etc., 395–402.
Motor (see Motor Vehicles).
Railway, 385.
Veneer and Plywood, 566–567, 606, 643.
Venereal Diseases, 69, 102, 106, 117, 119, 122, 125, 132, 162, 163, 165.
Vessels—
Crews of, 36, 37.
Entered and Cleared, 371–376.
Fishing, 575.
Nationality of, 373–374.
Naval, 271, 273, 281, 285.
Radio Communication with, 440.
Registered, 380–381.
Survey of, 382.
Wrecked, 383.
Veterans' Allowances, 225, 228, 232, 234.
Veterinary Services, 516, 519.
Vineyards and Grapes, 536, 538.
Visitors to New Zealand, 37.
Visual Aids in Teaching, 192.
Vital Statistics, 66–128, 1205.
Cook Islands, 1137.
Niue Island, 1142.
Western Samoa, 1147.
Vocational Guidance, 187–188, 1088–1089.
Volcanoes, 4, 5.
Volume of—
Exports, 306, 690.
Factory Production, 489–490, 625–626.
Farm Production, 486, 489–490.
Goods Available for Use, 690.
Imports, 306, 690.
Money in Circulation, 873.
Production, 486, 489–490, 625–626.
Trade, 306, 690.
Voluntary Contributions to Hospitals, 152.
Voluntary Welfare Organizations, 147.
Voting—
At General Election, 1173–1178.
At Licensing Polls, 1179.
Qualifications, 28–29, 824–826.
Vouchers, Audit of, 772–773.

W

Wage, Basic, 1051.
Wage Earners, 602–613, 844, 1109.
Wage, Minimum, 1040, 1041, 1048, 1051–1052.
Wage Rates, 1011, 1012–1027, 1040, 1041, 1042, 1045, 1048, 1051–1061.
Wages—
And Salary Payments, 153, 399, 402, 441, 602–608, 613–615, 628–646, 675–677, 685–687, 708, 717, 722, 723, 739–747, 969, 1163, 1216.
And Wage Rate Legislation, 1051–1061.
Average Weekly Wage in Industry, 1026–1027.
Increases in, 1040, 1051–1061.
Legislative Changes in, 1051–1061.
Lost Through Industrial Disputes, 1111–1118.
Minimum Weekly Rates, 1021–1024.
Of Electric-supply Employees, 675–677.
Of Factory Employees, 602–608, 613–615, 628–646, 1216.
Of Picture Theatre Employees, 1168.
Protection of, 1056–1057.
Shearers', 1022, 1055–1056.
Stabilization of, 1057–1061.
Tax on, 151, 204, 784, 787, 806, 1014.
Waitangi, Treaty of, 19, 469.
War, 280–285.
Bursaries for Soldiers' Dependants, 291.
Casualities, 282–285.
Damage and Earthquake Insurance, 785, 956–957.
Deaths Register, 93.
Debt, 810, 811.
Expenditure, 810, 811.
Expenses Account, 788.
Loans, 810, 811.
Measures Affecting—
Apprentices, 1066.
Labour Legislation, 1034, 1057–1058.
Prices, 984–985.
Pensions, 225, 228–236.
Pensions Appeal Board, 233.
Pensions Emergency Assistance, 232.
Publications Pertaining to, 1244–1245.
Service Overseas, 65.
Taxation, 360–362, 788.
Veterans' Allowances, 225, 228, 232, 234.
Warships, 271, 273, 281, 285.
Washing Machines, 629, 655.
Water Power, 667–682, 811.
Waterfront Control, 1037, 1050.
Weather, 11–13, 430, 1134, 1142, 1145.
Weights and Measures, 474, 526.
Welfare, Maori, 1184.
Welfare, Maternal, 131, 138.
Welfare of Workers, 1040, 1041, 1043–1044, 1046, 1049.
Welfare Organizations, 147–148.
Wellington—
Broadcasting Stations, 443–446.
Building Values, 663.
Climate, 11, 13.
Houses and Flats, New State, 665.
Population, 47, 48, 51.
Retail Prices, 986–988.
Sales Tax Receipts, 807.
Shipping, 332, 357, 373, 375–379.
Urban Transport, 395, 400–402.
Victoria University of, 193.
Western Samoa, 1–3, 40, 236, 1145–1153.
Bibliography, 1246.
Broadcasting Station, 445.
Education, 1148–1149.
Population of, 30, 1147.
Radio Communication, 440.
Trade, 1150–1151.
Whale Oil, 312, 314, 575, 579.
Whales and Whaling, 579, 1156.
Wheat, 526–530, 1208.
Imports of, 345, 355.
International Agreement, 369–370.
Milled, 632.
Price Fixation, 984.
Research, 517.
Subsidy on, 507.
Whey Butter, 511, 631.
Whipping Abolished, 256.
Whitebait, 575, 580.
Wholesale and Retail Trade Sector Account, 731, 743.
Wholesale Liquor Licences, 1180–1182.
Wholesale Prices, 989, 997–999.
Whooping-cough, 69, 102, 106, 117, 119, 135.
Widowers, Remarriages of, 85, 86.
Widows—
Benefits, 205, 207, 210–211, 225.
Remarriages of, 85, 86.
War Pensions, 228–236.
Wills Administered by Public Trust Office, 1158–1160.
Wine, Consumption of, 693.
Wine, Duty on, 361.
Wine Licences, 1180–1183.
Wine-making Industry, 605.
Withdrawals from Savings Banks, 864–870, 1222.
Wives, Aggregation of Income, 967–968.
Wives, Allowances in Respect of, 208–237.
Women—
Air Force, Royal New Zealand, 278, 280.
Army Corps, Royal New Zealand, 274.
Deaths of, in Childbirth, 69, 106, 110–111, 118, 126.
Eligible for Parliament, 23.
Employed in Factories, 610–612, 1087, 1091, 1092, 1094–1095.
Nationality Laws, re, 41.
Naval Service, Royal New Zealand, 272.
Of Child-bearing Ages, 72–73.
Offences by, 256.
Police, 268.
Wage Rates of, 1018–1020, 1023, 1024, 1052.
Working Conditions of, 1039, 1040–1041, 1042.
Working Hours of, 1028, 1029.
Wood Preservation, 567–569.
Woodpulp, Exports of, 312, 314, 331, 333, 334.
Woodpulp, Production of, 565–566.
Wool, 485, 515–516, 630, 1215.
Capital Account, 506.
Carried on Railways, 392, 393.
Commission Account, 506.
Commissions, 495.
Export Price Index, 1002.
Exports of, 311, 313, 314, 323, 333, 334, 378, 1211.
Imports of, 345.
Levy, 363, 495, 516.
Marketing of, 495.
Prices for, 498, 1213.
Retention Moneys, 506, 709.
Used at Local Mills, 515, 635.
Woollen Mills, 605, 635, 1026.
Woolscouring Industry, 605.
Workers' Compensation, 1068–1073, 1119–1122.
Insurance, 941, 955.
Workers' Educational Association, 200.
Working Conditions, 1037–1050.
Working Conditions in the Government Service, 1049.
Working Days Lost Through Industrial Disputes, 1111–1118.
Working Hours, 626–627, 1025–1029, 1039–1043, 1045, 1047–1048.
Working Proprietors, 1091, 1092.
Wrecks, 383.

X

X-ray, 140–141.
Diagnostic Services, 222–223, 226.
Examinations, 123, 134, 222–223.
Plants, 141.

Y

Yields—
Butterfat, 509, 510.
Crops, 528–534, 1208.
On Market Prices of Shares, 1009.
Youth Centres, 188, 1088.
Youth Hostels, 158.
Youths—
Wage Rates of, 1023–1024, 1029.
Working Conditions of, 1039, 1040, 1042–1043.

Z

Zoology, 14.